Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | Apr. 28, 2017 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | Gramercy Property Trust | |
Entity Central Index Key | 1,297,587 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Trading Symbol | gpt | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 151,873,041 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Real estate investments, at cost: | ||
Land | $ 804,044 | $ 805,264 |
Building and improvements | 4,108,891 | 4,053,125 |
Less: accumulated depreciation | (235,318) | (201,525) |
Total real estate investments, net | 4,677,617 | 4,656,864 |
Cash and cash equivalents | 56,256 | 67,529 |
Restricted cash | 13,101 | 12,904 |
Investment in unconsolidated equity investments | 105,187 | 101,807 |
Assets held for sale, net | 8,962 | 0 |
Tenant and other receivables, net | 75,730 | 72,795 |
Acquired lease assets, net of accumulated amortization of $154,753 and $133,710 | 596,811 | 618,680 |
Other assets | 73,196 | 72,948 |
Total assets | 5,606,860 | 5,603,527 |
Liabilities: | ||
Senior unsecured revolving credit facility | 121,759 | 65,837 |
Exchangeable senior notes, net | 109,488 | 108,832 |
Mortgage notes payable, net | 549,924 | 558,642 |
Total long-term debt, net | 2,502,695 | 2,454,775 |
Accounts payable and accrued expenses | 42,381 | 58,380 |
Dividends payable | 53,677 | 53,074 |
Below market lease liabilities, net of accumulated amortization of $28,350 and $26,416 | 216,401 | 230,183 |
Liabilities related to assets held for sale | 3,128 | 0 |
Other liabilities | 49,409 | 46,081 |
Total liabilities | 2,867,691 | 2,842,493 |
Commitments and contingencies | ||
Noncontrolling interest in the Operating Partnership | 6,129 | 8,643 |
Equity: | ||
Common shares, par value $0.01, 141,522,527 and 140,647,971 issued and outstanding at March 31, 2017 and December 31, 2016, respectively | 1,415 | 1,406 |
Additional paid-in-capital | 3,911,889 | 3,887,793 |
Accumulated other comprehensive loss | (1,611) | (4,128) |
Accumulated deficit | (1,262,842) | (1,216,753) |
Total shareholders' equity | 2,733,245 | 2,752,712 |
Noncontrolling interest in other partnerships | (205) | (321) |
Total equity | 2,733,040 | 2,752,391 |
Total liabilities and equity | 5,606,860 | 5,603,527 |
Series A Preferred Stock [Member] | ||
Equity: | ||
Series A cumulative redeemable preferred shares, par value $0.01, liquidation preference $87,500, and 3,500,000 shares authorized, issued and outstanding at March 31, 2017 and December 31, 2016 | 84,394 | 84,394 |
Senior unsecured notes, net [Member] | ||
Liabilities: | ||
Unsecured debt | 496,524 | 496,464 |
Senior unsecured term loans [Member] | ||
Liabilities: | ||
Unsecured debt | $ 1,225,000 | $ 1,225,000 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Acquired lease assets, accumulated amortization (in dollars) | $ 154,753 | $ 133,710 |
Deferred costs, accumulated amortization (in dollars) | 0 | 892 |
Below market lease liabilities, accumulated amortization (in dollars) | $ 28,350 | $ 26,416 |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares issued | 141,522,527 | 140,647,971 |
Common stock, shares outstanding | 141,522,527 | 140,647,971 |
Cumulative redeemable preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Cumulative redeemable preferred stock, shares outstanding | 3,500,000 | |
Series A Preferred Stock [Member] | ||
Cumulative redeemable preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Cumulative redeemable preferred stock, liquidation preference (in dollars) | $ 87,500 | $ 87,500 |
Cumulative redeemable preferred stock, shares authorized | 3,500,000 | 3,500,000 |
Cumulative redeemable preferred stock, shares issued | 3,500,000 | 3,500,000 |
Cumulative redeemable preferred stock, shares outstanding | 3,500,000 | 3,500,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues | ||
Rental revenue | $ 103,282 | $ 92,095 |
Third-party management fees | 4,592 | 5,046 |
Operating expense reimbursements | 20,368 | 22,582 |
Other income | 1,752 | 822 |
Total revenues | 129,994 | 120,545 |
Operating Expenses | ||
Property operating expenses | 23,186 | 24,169 |
Property management expenses | 3,084 | 4,521 |
Depreciation and amortization | 62,217 | 58,248 |
General and administrative expenses | 8,756 | 7,722 |
Acquisition expenses | 0 | 410 |
Total operating expenses | 97,243 | 95,070 |
Operating Income | 32,751 | 25,475 |
Other Expenses: | ||
Interest expense | (23,056) | (21,953) |
Other-than-temporary impairment | (4,081) | 0 |
Portion of impairment recognized in other comprehensive loss | (809) | 0 |
Net impairment recognized in earnings | (4,890) | 0 |
Equity in net loss of unconsolidated equity investments | (94) | (2,755) |
Loss on extinguishment of debt | (208) | (5,757) |
Impairment of real estate investments | (12,771) | 0 |
Loss from continuing operations before provision for taxes | (8,268) | (4,990) |
Provision for taxes | 196 | (703) |
Loss from continuing operations | (8,072) | (5,693) |
Income (loss) from discontinued operations before gain on extinguishment of debt | (24) | 2,710 |
Gain on extinguishment of debt | 0 | 1,930 |
Income (loss) from discontinued operations | (24) | 4,640 |
Loss before net gain on disposals | (8,096) | (1,053) |
Net gain on disposals | 17,377 | 0 |
Net income (loss) | 9,281 | (1,053) |
Net (income) loss attributable to noncontrolling interest | (154) | 120 |
Net income (loss) attributable to Gramercy Property Trust | 9,127 | (933) |
Preferred share dividends | (1,559) | (1,559) |
Net income (loss) available to common shareholders | $ 7,568 | $ (2,492) |
Basic earnings per share: | ||
Net income (loss) from continuing operations, after preferred dividends (in usd per share) | $ 0.05 | $ (0.05) |
Net income (loss) from discontinued operations (in usd per share) | 0 | 0.03 |
Net income (loss) available to common stockholders (in usd per share) | 0.05 | (0.02) |
Diluted earnings per share: | ||
Net income (loss) from continuing operations, after preferred dividends (in usd per share) | 0.05 | (0.05) |
Net income (loss) from discontinued operations (in usd per share) | 0 | 0.03 |
Net income (loss) available to common stockholders (in usd per share) | $ 0.05 | $ (0.02) |
Basic weighted average common shares outstanding (in shares) | 140,907,399 | 140,060,405 |
Diluted weighted average common shares and common share equivalents outstanding (in shares) | 141,875,619 | 140,060,405 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ 9,281 | $ (1,053) |
Other comprehensive income (loss): | ||
Unrealized gain (loss) on available for sale debt securities | (2,820) | 934 |
Unrealized gain (loss) on derivative instruments | 4,378 | (22,189) |
Foreign currency translation adjustments | 691 | 6,119 |
Reclassification of unrealized loss on terminated derivative instruments into earnings | 268 | 360 |
Other comprehensive income (loss) | 2,517 | (14,776) |
Comprehensive income (loss) | 11,798 | (15,829) |
Net (income) loss attributable to noncontrolling interest | (154) | 120 |
Other comprehensive (income) loss attributable to noncontrolling interest | (11) | 48 |
Comprehensive income (loss) attributable to Gramercy Property Trust | $ 11,633 | $ (15,661) |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Shareholders' Equity (Deficit) and Noncontrolling Interests - 3 months ended Mar. 31, 2017 - USD ($) $ in Thousands | Total | Total Gramercy Property Trust [Member] | Common Shares [Member] | Preferred Shares [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings/(Accumulated Deficit) [Member] | Noncontrolling Interest [Member] |
Balance (in shares) at Dec. 31, 2016 | 140,647,971 | 140,647,971 | ||||||
Balance at Dec. 31, 2016 | $ 2,752,391 | $ 2,752,712 | $ 1,406 | $ 84,394 | $ 3,887,793 | $ (4,128) | $ (1,216,753) | $ (321) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 9,247 | 9,127 | 9,127 | 120 | ||||
Change in net unrealized loss on derivative instruments | 4,378 | 4,378 | 4,378 | |||||
Change in net unrealized gain on debt securities | (2,820) | (2,820) | (2,820) | |||||
Reclassification of unrealized gain on terminated derivative instruments into earnings | 268 | 268 | 268 | |||||
Offering costs | (606) | (606) | (606) | |||||
Issuance of shares (in shares) | 731,453 | |||||||
Issuance of shares | 20,000 | 20,000 | $ 7 | 19,993 | ||||
Share based compensation - fair value (in shares) | 59,311 | |||||||
Share based compensation - fair value | $ 2,170 | 2,170 | $ 1 | 2,169 | ||||
Dividend reinvestment program proceeds (in shares) | 2,976 | 2,976 | ||||||
Dividend reinvestment program proceeds | $ 81 | 81 | 81 | |||||
Conversion of OP Units to commons shares (in shares) | 80,816 | |||||||
Conversion of OP Units to common shares | 2,164 | 2,164 | $ 1 | 2,163 | ||||
Reallocation of noncontrolling interest in the Operating Partnership | 296 | 296 | 296 | |||||
Foreign currency translation adjustment | 687 | 691 | 691 | (4) | ||||
Dividends on preferred shares | (1,559) | (1,559) | (1,559) | |||||
Dividends on common shares | $ (53,657) | (53,657) | (53,657) | |||||
Balance (in shares) at Mar. 31, 2017 | 141,522,527 | 141,522,527 | ||||||
Balance at Mar. 31, 2017 | $ 2,733,040 | $ 2,733,245 | $ 1,415 | $ 84,394 | $ 3,911,889 | $ (1,611) | $ (1,262,842) | $ (205) |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating Activities: | ||
Net income (loss) | $ 9,281 | $ (1,053) |
Adjustments to net cash provided by operating activities: | ||
Depreciation and amortization | 62,217 | 58,248 |
Amortization of acquired leases to rental revenue and expense | (633) | (163) |
Amortization of deferred costs | 615 | 2,675 |
Amortization of discounts and other fees | (409) | (1,109) |
Amortization of lease inducement costs | 86 | 86 |
Straight-line rent adjustment | (7,260) | (6,761) |
Other-than-temporary impairment on retained bonds | 4,890 | 0 |
Non-cash impairment charges | 12,771 | 0 |
Net gain on sale of properties | (17,377) | 0 |
Distributions received from unconsolidated equity investments | 352 | 9,961 |
Equity in net loss of unconsolidated equity investments | 94 | 2,755 |
Loss on extinguishment of debt | 208 | 3,827 |
Amortization of share-based compensation | 2,054 | 1,150 |
Changes in operating assets and liabilities: | ||
Restricted cash | (235) | 5,598 |
Payment of capitalized leasing costs | (3,790) | (3,973) |
Tenant and other receivables | 11,707 | (2,151) |
Other assets | (4,368) | (10,519) |
Accounts payable and accrued expenses | (9,755) | (33,738) |
Other liabilities | (2,204) | (3,085) |
Net cash provided by operating activities | 58,244 | 21,748 |
Investing Activities: | ||
Capital expenditures | (18,429) | (6,416) |
Distributions from investing activities received from unconsolidated equity investments | 0 | 47,408 |
Proceeds from sale of real estate | 33,053 | 416,094 |
Return of restricted cash held in escrow for 1031 exchange | 31 | (145,500) |
Unconsolidated equity investments | (2,650) | (4,790) |
Acquisition of real estate | (99,613) | (52,874) |
Restricted cash for tenant improvements | 917 | 198 |
Proceeds from servicing advances receivable | 0 | 1,390 |
Net cash provided by (used in) investing activities | (86,691) | 255,510 |
Financing Activities: | ||
Proceeds from unsecured term loan and credit facility | 60,000 | 75,000 |
Proceeds from senior unsecured notes | 0 | 50,000 |
Repayment of unsecured term loans and credit facility | (5,000) | (250,000) |
Proceeds from mortgage notes payable | 2,582 | 9,550 |
Repayment of mortgage notes payable | (3,915) | (198,189) |
Offering costs | (606) | 0 |
Proceeds from sale of common shares | 20,081 | 0 |
Payment of deferred financing costs | (252) | (551) |
Payment of debt extinguishment costs | 0 | (13,803) |
Preferred share dividends paid | (1,559) | (1,559) |
Common share dividends paid | (53,025) | (8,736) |
Proceeds from exercise of share options and purchases under the employee share purchase plan | 0 | 167 |
Distribution to noncontrolling interest in the Operating Partnership | (118) | (29) |
Change in restricted cash from financing activities | (909) | (12) |
Net cash provided by (used in) financing activities | 17,279 | (338,162) |
Net decrease in cash and cash equivalents | (11,168) | (60,904) |
Decrease in cash and cash equivalents related to foreign currency translation | (105) | (3) |
Cash and cash equivalents at beginning of period | 67,529 | 128,031 |
Cash and cash equivalents at end of period | $ 56,256 | $ 67,124 |
Business and Organization
Business and Organization | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business and Organization | Business and Organization Gramercy Property Trust, or the Company or Gramercy, a Maryland real estate investment trust, or REIT, is a leading global investor and asset manager of commercial real estate. Gramercy specializes in acquiring and managing high quality, income producing commercial real estate leased to high quality tenants in major markets in the United States and Europe. Gramercy earns revenues primarily through rental revenues on properties that it owns in the United States and asset management revenues on properties owned by third parties in the United States and Europe. The Company also owns unconsolidated equity investments in the United States, Europe, and Asia. As of March 31, 2017 , the Company’s wholly-owned portfolio consists of 318 properties comprising 66,732,561 rentable square feet with 98.4% occupancy. As of March 31, 2017 , the Company has ownership interests in 48 industrial and office properties which are held in unconsolidated equity investments in the United States and Europe and two properties held through the investment in CBRE Strategic Partners Asia. As of March 31, 2017 , the Company’s asset management business manages approximately $1,147,000 of commercial real estate assets, primarily on behalf of its joint venture partners, including approximately $918,000 of assets in Europe. During the three months ended March 31, 2017 , the Company acquired seven properties aggregating 2,257,311 square feet for a total purchase price of approximately $124,672 , including the acquisition of a previously consolidated variable interest entity, or VIE, for $29,605 and the acquisition of a vacant property for $2,400 . During the three months ended March 31, 2017 , the Company sold seven properties aggregating 487,872 square feet for total gross proceeds of approximately $51,683 . Prior to December 17, 2015, the Company was known as Chambers Street Properties, or Chambers. On December 17, 2015, Chambers completed a merger, or the Merger, with Gramercy Property Trust Inc. While Chambers was the surviving legal entity, immediately following consummation of the Merger, the Company changed its name to “Gramercy Property Trust” and its New York Stock Exchange, or NYSE, trading symbol to “GPT.” The Company has elected to be taxed as a REIT under the Internal Revenue Code of 1986, as amended, or the Internal Revenue Code, or IRC, and generally will not be subject to U.S. federal income taxes to the extent it distributes its taxable income, if any, to its shareholders. The Company has in the past established, and may in the future establish taxable REIT subsidiaries, or TRSs, to effect various taxable transactions. Those TRSs would incur U.S. federal, state and local taxes on the taxable income from their activities. The Company’s operating partnership, GPT Operating Partnership LP, or the Operating Partnership, is the 100.0% owner of all of its direct and indirect subsidiaries. As of March 31, 2017 , third-party holders of limited partnership interests in the Operating Partnership owned approximately 0.40% of the beneficial interest of the Company. These interests are referred to as the noncontrolling interests in the Operating Partnership. See Note 12 for more information on the Company’s noncontrolling interests. |
Significant Accounting Policies
Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Basis of Quarterly Presentation The accompanying Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States, or GAAP, for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In management’s opinion, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included. The 2017 operating results for the period presented are not necessarily indicative of the results that may be expected for the year ending December 31, 2017. These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The Condensed Consolidated Balance Sheet at December 31, 2016 was derived from the audited Consolidated Financial Statements at that date. Reclassifications Certain prior year balances have been reclassified to conform with the current year presentation. These reclassifications had no effect on the previously reported net income (loss). On the Condensed Consolidated Statements of Operations, the Company reclassified investment income of $443 for the three months ended March 31, 2016 into other income. Principles of Consolidation The Condensed Consolidated Financial Statements include the Company’s accounts and those of the Company’s subsidiaries which are wholly-owned or controlled by the Company, or entities which are VIEs in which the Company is the primary beneficiary. The primary beneficiary is the party that absorbs a majority of the VIE’s anticipated losses and/or a majority of the expected returns. The Company has evaluated its investments for potential classification as variable interests by evaluating the sufficiency of each entity’s equity investment at risk to absorb losses. Entities which the Company does not control and are considered VIEs, but where the Company is not the primary beneficiary, are accounted for under the equity method. All significant intercompany balances and transactions have been eliminated. The equity interests of other limited partners in the Company’s Operating Partnership are reflected as noncontrolling interests. Real Estate Investments Real Estate Acquisitions In January 2017, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2017-01, Amendments to Business Combinations, which clarifies the framework for determining whether an integrated set of assets and activities meets the definition of a business. The revised framework narrows the definition of a business, which is expected to result in fewer transactions being accounted for as business combinations. Acquisitions of integrated sets of assets and activities that do not meet the definition of a business are accounted for as asset acquisitions. Although the Company is not required to implement ASU 2017-01 until annual periods beginning after December 15, 2017, including interim periods within those periods, the Company early adopted the new standard in the first quarter of 2017. As a result, the Company evaluated its real estate acquisitions during the first quarter of 2017 under the new framework and determined the properties acquired did not meet the definition of a business, thus the transactions were accounted for as asset acquisitions. Refer to the "Recently Issued Accounting Pronouncements" section below for more information on the new guidance and refer to Note 4 for more information on the transactions during the first quarter of 2017. The Company evaluates its acquisitions of real estate, including equity interests in entities that predominantly hold real estate assets, to determine if the acquired assets meet the definition of a business and need to be accounted for as a business combination, or alternatively, should be accounted for as an asset acquisition. An integrated set of assets and activities acquired does not meet the definition of a business if either (i) substantially all the fair value of the gross assets acquired is concentrated in either a single identifiable asset or a group of similar identifiable assets, or (ii) the asset and activities acquired do not contain at least an input and a substantive process that together significantly contribute to the ability to create outputs. The Company expects that its acquisitions of real estate will continue to not meet the revised definition of a business. Acquisitions of real estate that do not meet the definition of a business, including sale-leaseback transactions that have newly-originated leases and real estate investments under construction, or build-to-suit investments, are recorded as asset acquisitions. The accounting for asset acquisitions is similar to the accounting for business combinations, except that the acquisition consideration, including acquisition costs, is allocated to the individual assets acquired and liabilities assumed on a relative fair value basis. Based on this allocation methodology, asset acquisitions do not result in the recognition of goodwill or a bargain purchase. Additionally, for build-to-suit investments in which the Company may engage a developer to construct a property or provide funds to a tenant to develop a property, the Company capitalizes the funds provided to the developer/tenant and real estate taxes, if applicable, during the construction period. To determine the fair value of assets acquired and liabilities assumed in an acquisition, which generally include land, building, improvements, and intangibles, such as the value of above- and below-market leases and origination costs associated with the in-place leases at the acquisition date, the Company utilizes various estimates, processes and information to determine the as-if-vacant property value. Estimates of value are made using customary methods, including data from appraisals, comparable sales, and discounted cash flow analyses. Estimates of future cash flows are based on a number of factors including the historical operating results, known trends, and market/economic conditions that may affect the property. The Company assesses the fair value of leases assumed at acquisition based upon estimated cash flow projections that utilize appropriate discount rates and available market information. Refer to the policy section "Intangible Assets and Liabilities" for more information on the Company’s accounting for intangibles. Depreciation is computed using the straight-line method over the shorter of the estimated useful life at acquisition of the capitalized item or 40 years for buildings, five to ten years for building equipment and fixtures, and the lesser of the useful life or the remaining lease term for tenant improvements and leasehold interests. Maintenance and repair expenditures are charged to expense as incurred. For transactions that qualify as business combinations, the Company recognizes the assets acquired and liabilities assumed at fair value, including the value of intangible assets and liabilities, and any excess or deficit of the consideration transferred relative to the fair value of the net assets acquired is recorded as goodwill or a bargain purchase gain, as appropriate. Acquisition costs of business combinations are expensed as incurred. Capital Improvements In leasing space, the Company may provide funding to the lessee through a tenant allowance. Certain improvements are capitalized when they are determined to increase the useful life of the building. During construction of qualifying projects, the Company capitalizes project management fees as permitted to be charged under the lease, if incremental and identifiable. In accounting for tenant allowances, the Company determines whether the allowance represents funding for the construction of leasehold improvements and evaluates the ownership of such improvements. If the Company is considered the owner of the leasehold improvements, the Company capitalizes the amount of the tenant allowance and depreciates it over the shorter of the useful life of the leasehold improvements or the lease term. If the tenant allowance represents a payment for a purpose other than funding leasehold improvements, or in the event the Company is not considered the owner of the improvements for accounting purposes, the allowance is considered to be a lease incentive and is recognized over the lease term as a reduction of rental revenue. Factors considered during this evaluation usually include (i) who holds legal title to the improvements, (ii) evidentiary requirements concerning the spending of the tenant allowance, and (iii) other controlling rights provided by the lease agreement (e.g. unilateral control of the tenant space during the build-out process). Determination of the accounting for a tenant allowance is made on a case-by-case basis, considering the facts and circumstances of the individual tenant lease. Impairments The Company reviews the recoverability of a property’s carrying value when circumstances indicate a possible impairment of the value of a property, such as an adverse change in future expected occupancy or a significant decrease in the market price of an asset. The review of recoverability is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as changes in strategy resulting in an increased or decreased holding period, expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If management determines impairment exists due to the inability to recover the carrying value of a property, for properties to be held and used, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property and for assets held for sale, an impairment loss is recorded to the extent that the carrying value exceeds the fair value less estimated cost of disposal. These assessments are recorded as an impairment loss in the Condensed Consolidated Statements of Operations in the period the determination is made. The estimated fair value of the asset becomes its new cost basis. For a depreciable long-lived asset to be held and used, the new cost basis will be depreciated or amortized over the remaining useful life of that asset. Cash and Cash Equivalents The Company considers all highly liquid investments with maturities of three months or less when purchased to be cash equivalents. Restricted Cash The Company had restricted cash of $13,101 and $12,904 at March 31, 2017 and December 31, 2016 , respectively, which primarily consisted of reserves for certain capital improvements, leasing, interest and real estate tax and insurance payments as required by certain mortgage loan obligations. Variable Interest Entities The Company had two and three consolidated VIEs as of March 31, 2017 and December 31, 2016 , respectively. The Company had four unconsolidated VIEs as of March 31, 2017 and December 31, 2016 . The following is a summary of the Company’s involvement with VIEs as of March 31, 2017 : Company carrying value-assets Company carrying value-liabilities Face value of assets held by the VIEs Face value of liabilities issued by the VIEs Consolidated VIEs: Operating Partnership $ 5,606,860 $ 2,867,691 $ 5,606,860 $ 2,867,691 Gramercy Europe Asset Management (European Fund Manager) $ 1,062 $ 9 $ 1,062 $ 1,473 Unconsolidated VIEs: Gramercy Europe Asset Management (European Fund Carry Co.) $ 7 $ — $ 28 $ — Retained CDO Bonds $ 4,828 $ — $ 446,451 $ 577,169 The following is a summary of the Company’s involvement with VIEs as of December 31, 2016 : Company carrying value-assets Company carrying value-liabilities Face value of assets held by the VIEs Face value of liabilities issued by the VIEs Consolidated VIEs: Operating Partnership $ 5,603,527 $ 2,842,493 $ 5,603,527 $ 2,842,493 Proportion Foods $ 22,836 $ 3,041 $ 22,836 $ 23,514 Gramercy Europe Asset Management (European Fund Manager) $ 1,100 $ 47 $ 1,100 $ 1,742 Unconsolidated VIEs: Gramercy Europe Asset Management (European Fund Carry Co.) $ 8 $ — $ 31 $ — Retained CDO Bonds $ 11,906 $ — $ 391,990 $ 592,414 Consolidated VIEs Operating Partnership The Company’s Operating Partnership is a consolidated VIE because the Company is its primary beneficiary due to its majority ownership and ability to exercise control over every aspect of the Operating Partnership’s operations. The assets and liabilities of the Company and its Operating Partnership are substantially the same. Gramercy Europe Asset Management (European Fund Manager) In connection with the Company’s December 2014 investment in the Gramercy European Property Fund, the Company acquired equity interests in the entity, hereinafter European Fund Manager, which provides investment and asset management services to the Gramercy European Property Fund. The Company determined that European Fund Manager is a VIE, as the equity holders of that entity do not have controlling financial interests and do not have the obligation to absorb losses. As Gramercy Europe Asset Management, through an investment advisory agreement with the VIE, controls the activities that most significantly affect the economic outcome of European Fund Manager, the Company concluded that it is the entity’s primary beneficiary and has consolidated the VIE. The Company receives net cash inflows from European Fund Manager in the form of management fees, and if the VIE’s cash inflows are not sufficient to cover its obligations, the Company may provide financial support for the VIE. Proportion Foods In December 2015, the Company entered into a non-recourse financing arrangement with Big Proportion Austin LLC, or BIG, for a build-to-suit industrial property in Round Rock, Texas, or Proportion Foods. Concurrently, the Company entered into a forward purchase agreement with BIG, pursuant to which the Company will acquire the property, which is 100.0% leased to Proportion Foods, upon substantial completion of the facility’s development. The Company determined that Proportion Foods was a VIE, as the equity holders of the entity did not have controlling financial interests and were not obligated to absorb losses. The Company controlled the activities that most significantly affected the economic outcome of Proportion Foods through its financing arrangement to fund the property’s development and its forward purchase agreement with BIG. As such, the Company concluded it was the entity’s primary beneficiary and consolidated the VIE. The construction of the facility on the property was completed in March 2017. The Company acquired the property upon completion in March 2017. As of March 31, 2017 , the property was wholly-owned by the Company and was no longer a consolidated VIE. Unconsolidated VIEs Gramercy Europe Asset Management (European Fund Carry Co.) In connection with the Company’s December 2014 investment in the Gramercy European Property Fund, the Company acquired equity interests in the entity, hereinafter European Fund Carry Co., entitled to receive certain preferential distributions, if any, made from time-to-time by the Gramercy European Property Fund. The Company determined that European Fund Carry Co. is a VIE, as the equity holders of that entity do not have controlling financial interests and do not have the obligation to absorb losses in excess of capital committed. Decisions that most significantly affect the economic performance of European Fund Carry Co. are decided by a majority vote of that VIE’s shareholders. As such, the Company does not have a controlling financial interest in the VIE and accounts for it as an equity investment. Investment in Retained CDO Bonds The Company has retained non-investment grade subordinate bonds, preferred shares and ordinary shares of three collateralized debt obligations, or CDOs, together the Retained CDO Bonds. The Company does not control the activities that most significantly impact the Retained CDO Bonds’ economic performance and is not obligated to provide any financial support to them, thus the Retained CDO Bonds have been determined to be unconsolidated VIEs, in which the Company’s interest is recorded at fair value within other assets on the Condensed Consolidated Balance Sheets. The Retained CDO Bonds may provide the potential for the Company to receive continuing cash flows in the future, however, there is no guarantee that the Company will realize any proceeds from the Retained CDO Bonds or what the timing of the proceeds may be. The Company’s maximum exposure to loss is limited to its interest in the Retained CDO Bonds. Tenant and Other Receivables Tenant and other receivables are derived from rental revenue, tenant reimbursements, and management fees. Rental revenue is recorded on a straight-line basis over the initial term of the lease. Since many leases provide for rental increases at specified intervals, straight-line basis accounting requires the Company to record a receivable, and include in revenues, unbilled rent receivables that will only be received if the tenant makes all rent payments required through the expiration of the initial term of the lease. Tenant and other receivables also include receivables related to tenant reimbursements for common area maintenance expenses and certain other recoverable expenses that are recognized as revenue in the period in which the related expenses are incurred. Tenant and other receivables are recorded net of the allowances for doubtful accounts, which as of March 31, 2017 and December 31, 2016 were $230 and $57 , respectively. The Company continually reviews receivables related to rent, tenant reimbursements, and management fees, including incentive fees, and determines collectability by taking into consideration the tenant or asset management clients’ payment history, the financial condition of the tenant or asset management client, business conditions in the industry in which the tenant or asset management client operates and economic conditions in the area in which the property or asset management client is located. In the event that the collectability of a receivable is in doubt, the Company increases the allowance for doubtful accounts or records a direct write-off of the receivable, as appropriate. Management fees, including incentive management fees, are recognized as earned in accordance with the terms of the management agreements. The management agreements may contain provisions for fees related to dispositions, administration of the assets including fees related to accounting, valuation and legal services, and management of capital improvements or projects on the underlying assets. Intangible Assets and Liabilities As discussed above in the policy section “Real Estate Acquisitions” the Company follows the acquisition method of accounting for its asset acquisitions and business combinations and thus allocates the purchase price of acquired properties to tangible and identifiable intangible assets acquired based on their respective fair values. Identifiable intangible assets include amounts allocated to acquired leases for above- and below- market lease rates and the value of in-place leases. Management also considers information obtained about each property as a result of its pre-acquisition due diligence. Above-market and below-market lease values for properties acquired are recorded based on the present value of the difference between the contractual amount to be paid pursuant to each in-place lease and management’s estimate of the fair market lease rate for each such in-place lease, measured over a period equal to the remaining non-cancelable term of the lease. The present value calculation utilizes a discount rate that reflects the risks associated with the leases acquired. The above-market and below-market lease values are amortized as a reduction of and increase to rental revenue, respectively, over the remaining non-cancelable terms of the respective leases. If a tenant terminates its lease prior to its contractual expiration and no future rental payments will be received, any unamortized balance of the market lease intangibles will be written off to rental revenue. The aggregate value of in-place leases represents the costs of leasing costs, other tenant related costs, and lost revenue that the Company did not have to incur by acquiring a property that is already occupied. Factors considered by management in its analysis of the in-place lease intangibles include an estimate of carrying costs during the expected lease-up period for each property taking into account current market conditions and costs to execute similar leases, including leasing commissions and other related expenses. In estimating carrying costs, management includes real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the anticipated lease-up period. The value of in-place leases is amortized to depreciation and amortization expense over the remaining non-cancelable term of the respective leases, but never over a term that exceeds the remaining depreciable life of the building. If a tenant terminates its lease prior to its contractual expiration and no future rental payments will be received, any unamortized balance of the in-place lease intangible will be written off to depreciation and amortization expense. Above-market and below-market ground rent intangibles are recorded for properties acquired in which the Company is the lessee pursuant to a ground lease assumed at acquisition. The above-market and below-market ground rent intangibles are valued similarly to above-market and below-market leases, except that, because the Company is the lessee as opposed to the lessor, the above-market and below-market ground lease values are amortized as a reduction of and increase to rent expense, respectively, over the remaining non-cancelable terms of the respective leases. Intangible assets and liabilities consist of the following: March 31, 2017 December 31, 2016 Intangible assets: In-place leases, net of accumulated amortization of $137,416 and $117,717 $ 536,913 $ 553,924 Above-market leases, net of accumulated amortization of $17,325 and $15,719 56,198 59,647 Below-market ground rent, net of accumulated amortization of $306 and $274 5,078 5,109 Amounts related to assets held for sale, net of accumulated amortization of $294 and $0 (1,378 ) — Total intangible assets $ 596,811 $ 618,680 Intangible liabilities: Below-market leases, net of accumulated amortization of $28,485 and $26,168 $ 212,415 $ 223,110 Above-market ground rent, net of accumulated amortization of $302 and $248 7,000 7,073 Amounts related to liabilities of assets held for sale, net of accumulated amortization of $437 and $0 (3,014 ) — Total intangible liabilities $ 216,401 $ 230,183 The following table provides the weighted-average amortization period as of March 31, 2017 for intangible assets and liabilities and the projected amortization expense for the next five years. Weighted-Average Amortization Period April 1 to December 31, 2017 2018 2019 2020 2021 In-place leases 9.7 $ 68,372 $ 83,678 $ 70,384 $ 58,007 $ 50,453 Total to be included in depreciation and amortization expense $ 68,372 $ 83,678 $ 70,384 $ 58,007 $ 50,453 Above-market lease assets 7.3 $ 8,236 $ 10,510 $ 9,340 $ 7,224 $ 6,012 Below-market lease liabilities 19.2 (9,844 ) (12,763 ) (12,414 ) (12,120 ) (11,984 ) Total to be included in rental revenue $ (1,608 ) $ (2,253 ) $ (3,074 ) $ (4,896 ) $ (5,972 ) Below-market ground rent 41.1 $ 95 $ 127 $ 127 $ 127 $ 127 Above-market ground rent 33.0 (161 ) (214 ) (214 ) (214 ) (214 ) Total to be included in property operating expense $ (66 ) $ (87 ) $ (87 ) $ (87 ) $ (87 ) The Company recorded $24,172 and $27,560 of amortization of in-place lease intangible assets as part of depreciation and amortization for the three months ended March 31, 2017 and 2016 , respectively. The Company recorded $621 and $181 of amortization of market lease intangible assets and liabilities as an increase to rental revenue for the three months ended March 31, 2017 and 2016 , respectively. The Company recorded $21 and $9 of amortization of ground rent intangible assets and liabilities as a reduction of other property operating expense for the three months ended March 31, 2017 and 2016 , respectively. Revenue Recognition Real Estate Investments Rental revenue from leases on real estate investments is recognized on a straight-line basis over the term of the lease, regardless of when payments are contractually due. The excess of rental revenue recognized over the amounts contractually due according to the underlying leases are included in other liabilities on the Condensed Consolidated Balance Sheets. For leases on properties that are under construction at the time of acquisition, the Company begins recognition of rental revenue upon completion of construction of the leased asset and delivery of the leased asset to the tenant. The Company’s lease agreements with tenants also generally contain provisions that require tenants to reimburse the Company for real estate taxes, insurance costs, common area maintenance costs, and other property-related expenses. Under lease arrangements in which the Company is the primary obligor for these expenses, such amounts are recognized as both revenues and operating expenses for the Company. Under lease arrangements in which the tenant pays these expenses directly, such amounts are not included in revenues or expenses. These reimbursement amounts are recognized in the period in which the related expenses are incurred. The Company recognizes sales of real estate properties only upon closing. Payments received from purchasers prior to closing are recorded as deposits. Profit on real estate sold is recognized using the full accrual method upon closing when the collectability of the sale price is reasonably assured and the Company is not obligated to perform significant activities after the sale. Profit may be deferred in whole or part until the sale meets the requirements of profit recognition on sale of real estate. Asset Management Business The Company’s asset and property management agreements may contain provisions for fees related to dispositions, administration of the assets including fees related to accounting, valuation and legal services, and management of capital improvements or projects on the underlying assets. The Company recognizes revenue for fees pursuant to its management agreements in the period in which they are earned. Deferred revenue from management fees received prior to the date earned are included in other liabilities on the Condensed Consolidated Balance Sheets. Certain of the Company’s asset management contracts include provisions that may allow it to earn additional fees, generally described as incentive fees or profit participation interests, based on the achievement of a targeted valuation of the managed assets or the achievement of a certain internal rate of return on the managed assets. The Company recognizes incentive fees on its asset management contracts based upon the amount that would be due pursuant to the contract, if the contract were terminated at the reporting date. If the contract may be terminated at will, revenue will only be recognized to the amount that would be due pursuant to that termination. If the incentive fee is a fixed amount, only a proportionate share of revenue is recognized at the reporting date, with the remaining fees recognized on a straight-line basis over the measurement period. The values of incentive management fees are periodically evaluated by management. For the three months ended March 31, 2017 and 2016, the Company recognized incentive fees of $1,449 and $973 , respectively. Other Income Other income primarily consists of income accretion on the Company’s Retained CDO Bonds, which are measured at fair value on a quarterly basis using a discounted cash flow model, realized foreign currency exchange gains (losses), interest income, and miscellaneous property related income. Foreign Currency Gramercy Europe Asset Management operates an asset and property management business in the United Kingdom. The Company has unconsolidated equity investments in Europe and Asia and had two wholly-owned properties in Canada and one wholly-owned property in the United Kingdom until their dispositions in March 2017 and December 2016, respectively. The Company also has borrowings outstanding in euros and British pounds sterling under the multicurrency portion of its revolving credit facility. Refer to Note 5 for more information on the Company’s foreign unconsolidated equity investments. Foreign Currency Translation During the periods presented, the Company has had interests in Europe and Canada for which the functional currencies are the euro, the British pound sterling, and the Canadian dollar, respectively. The Company performs the translation from these foreign currencies to the U.S. dollar for assets and liabilities using the exchange rates in effect at the balance sheet date and for revenue and expense accounts using a weighted average exchange rate during the period. The Company reports the gains and losses resulting from such translation as a component of other comprehensive income (loss). For the three months ended March 31, 2017 and 2016, the Company recorded net translation gains of $691 and $6,119 , respectively. Translation gains and losses are reclassified to other income within earnings when the Company has substantially exited from all investments in the related currency. Foreign Currency Transactions A transaction gain or loss realized upon settlement of a foreign currency transaction will be included in earnings for the period in which the transaction is settled. Foreign currency intercompany transactions that are scheduled for settlement are included in the determination of net income. Intercompany foreign currency transactions of a long-term nature that do not have a planned or foreseeable future settlement date, in which the entities to the transactions are consolidated or accounted for by the equity method in the Company’s financial statements, are not included in net income but are reported as a component of other comprehensive income (loss). For the three months ended March 31, 2017 and 2016, the Company recognized net realized foreign currency transaction gains (losses) of $(9) and $105 , respectively, on such transactions. Other Assets The Company includes prepaid expenses, capitalized software costs, contract intangible assets, deferred costs, goodwill, derivative assets, servicing advances receivable, and Retained CDO Bonds in other assets. Goodwill Goodwill represents the fair value of the collaboration expected to be achieved upon consummation of a business combination and is measured as the excess of consideration transferred over the net assets acquired at acquisition date. The Company initially recognized goodwill of $3,887 related to the acquisition of Gramercy Europe Limited, or Gramercy Europe Asset Management, which was adjusted to $3,802 in 2015 as a result of finalization of the purchase price allocation for the acquisition. The carrying value of goodwill is adjusted each reporting period for the effect of foreign currency translation adjustments. The carrying value of goodwill at March 31, 2017 and December 31, 2016 was $3,039 and $2,988 , respectively. The Company’s goodwill has an indeterminate life and is not amortized, but is tested for impairment on an annual basis, or more frequently if events or changes in circumstances indicate that the asset might be impaired. The Company takes a qualitative approach to consider whether an impairment of goodwill exists prior to quantitatively determining the fair value of the reporting unit in step one of the impairment test. The Company did not record any impairment on its goodwill during the three months ended March 31, 2017 or 2016 . Retained CDO Bonds The Retained CDO Bonds are non-investment grade subordinate bonds, preferred shares and ordinary shares of three CDOs. Management estimated the timing and amount of cash flows expected to be collected and recognized an investment in the Retained CDO Bonds equal to the |
Dispositions, Assets Held for S
Dispositions, Assets Held for Sale, and Discontinued Operations | 3 Months Ended |
Mar. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Dispositions, Assets Held for Sale, and Discontinued Operations | Dispositions, Assets Held for Sale, and Discontinued Operations Real Estate Dispositions and Impairments During the three months ended March 31, 2017 , the Company sold seven properties, which comprised an aggregate 487,872 square feet and generated gross proceeds of $51,683 . The Company recognized a gain on disposals of $17,377 during the three months ended March 31, 2017 related to the properties sold during the period. Of the properties sold in 2017, one of the sales was structured as a like-kind exchange within the meaning of Section 1031 of the IRC. As a result of the sale, the Company deposited $23,218 of the total sale proceeds into an IRC Section 1031 exchange escrow account with a qualified intermediary. The Company then used $23,218 of these funds as consideration for one property acquisition during the three months ended March 31, 2017. During the three months ended March 31, 2017 , the Company recognized an impairment on real estate investments of $12,771 related to two properties held by the Company as of March 31, 2017, for which the Company determined there were non-recoverable declines in value. Refer to Note 9 for more information on how the Company determined the non-recurring fair value of these two properties. Assets Held for Sale The Company separately classifies properties held for sale in the Condensed Consolidated Financial Statements. The Company had one asset and two offices that are part of another asset classified as held for sale as of March 31, 2017 with total net asset value of $5,834 and no assets classified as held for sale as of December 31, 2016 . In the normal course of business, the Company identifies non-strategic assets for sale. Real estate investments to be disposed of are reported at the lower of carrying amount or estimated fair value, less costs to sell. Once an asset is classified as held for sale, depreciation and amortization expense is no longer recorded. The following table summarizes the assets held for sale and liabilities related to the assets held for sale as of March 31, 2017 : Assets held for sale March 31, 2017 Real estate investments $ 7,538 Acquired lease assets 1,378 Other assets 46 Total assets $ 8,962 Liabilities related to assets held for sale Below-market lease liabilities 3,014 Other liabilities 114 Total liabilities $ 3,128 Net assets held for sale $ 5,834 Discontinued Operations The Company’s discontinued operations for the three months ended March 31, 2017 and 2016 were related to the assets that were assumed in the Merger and simultaneously designated as held for sale. The following operating results for the three months ended March 31, 2017 and 2016 are included in discontinued operations for all periods presented: Three Months Ended March 31, 2017 2016 Revenues $ (6 ) $ 5,857 Operating expenses 6 (2,180 ) General and administrative expense (24 ) (12 ) Interest expense — (955 ) Gain on extinguishment of debt — 1,930 Net income (loss) from discontinued operations $ (24 ) $ 4,640 Discontinued operations have not been segregated in the Condensed Consolidated Statements of Cash Flows. The table below presents additional relevant information pertaining to results of discontinued operations for the three months ended March 31, 2017 and 2016, including depreciation, amortization, capital expenditures, and significant operating and investing noncash items: Three Months Ended March 31, 2017 2016 Significant operating noncash items $ — $ (9,455 ) Increase in cash and cash equivalents related to foreign currency translation — 275 Total $ — $ (9,180 ) |
Real Estate Investments
Real Estate Investments | 3 Months Ended |
Mar. 31, 2017 | |
Real Estate [Abstract] | |
Real Estate Investments | Real Estate Investments Property Acquisitions During the three months ended March 31, 2017 , the Company acquired seven properties comprising 2,257,311 square feet for an aggregate contract purchase price of approximately $124,672 , including the acquisition of a consolidated VIE for $29,605 and the acquisition of a vacant property for $2,400 . Total value of the properties acquired during the three months ended March 31, 2017 was comprised of $115,504 of real estate assets, $11,296 of intangible assets, and $774 of intangible liabilities, including transaction costs capitalized for the asset acquisitions. Property Purchase Price Allocations During the first quarter of 2017, the Company adopted ASU 2017-01, Amendments to Business Combinations, which amends the definition of a business and provides a revised framework for the determination of whether an integrated set of assets and activities meets the definition of a business. The Company evaluated its real estate acquisitions during the first quarter of 2017 under the new framework and determined the properties acquired did not meet the definition of a business, thus the transactions were accounted for as asset acquisitions. The Company expects that its acquisitions of real estate will not meet the revised definition of a business and will be accounted for as asset acquisitions going forward. Refer to Note 2 for more information on the new accounting standard and the Company’s adoption thereof. As noted above, the Company’s acquisitions in 2017 were accounted for as asset acquisitions, however the majority of the Company’s acquisitions prior to 2017 were accounted for as business combinations pursuant to the definition of a business prior to the adoption of ASU 2017-01. Of the acquisitions prior to 2017, there were 21 properties acquired in 2016 that were accounted for as business combinations which had preliminary purchase price allocations recorded as of December 31, 2016. The Company finalized the purchase price allocations of these 21 properties during the first quarter of 2017. The aggregate changes recorded from the preliminary purchase price allocations to the finalized purchase price allocations, are shown in the table below: Preliminary Allocations recorded Finalized Allocations recorded Period Finalized No. of Acquisitions Real Estate Assets Intangible Assets Intangible Liabilities Real Estate Assets Intangible Assets Intangible Liabilities Decrease to Rental Revenue Increase to Depreciation and Amortization Expense Three Months Ended March 31, 2017 21 $ 513,424 $ 61,178 $ 11,093 $ 513,087 $ 60,627 $ 10,205 $ 27 $ 16 |
Unconsolidated Equity Investmen
Unconsolidated Equity Investments | 3 Months Ended |
Mar. 31, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Unconsolidated Equity Investments | Unconsolidated Equity Investments The Company accounts for substantially all of its unconsolidated equity investments under the equity method of accounting because it exercises significant influence, but does not unilaterally control the entities, and is not considered to be the primary beneficiary. In unconsolidated equity investments, the rights of the other investors are protective and participating. Unless the Company is determined to be the primary beneficiary, these rights preclude it from consolidating the investments. The investments are recorded initially at cost as unconsolidated equity investments, as applicable, and subsequently are adjusted for equity interest in net income (loss) and contributions and distributions. The amount of the investments on the Condensed Consolidated Balance Sheets is evaluated for impairment at each reporting period. None of the unconsolidated equity investment debt is recourse to the Company. Transactions with unconsolidated equity method entities are eliminated to the extent of the Company’s ownership in each such entity. Accordingly, the Company’s share of net income (loss) of these equity method entities is included in consolidated net income (loss). As a result of the Merger in 2015, the Company acquired an interest in four unconsolidated entities, the Goodman Europe JV, the Goodman UK JV, the Duke JV, and CBRE Strategic Partners Asia. The Company’s equity investment in the entities was fair valued on the Merger closing date, and the difference between the historical carrying value of the net assets and the fair value was recorded as a basis difference, which is amortized to equity in net income (loss) from unconsolidated equity investments over the remaining weighted average useful life of the underlying assets of each entity. As of March 31, 2017 and December 31, 2016 , the Company owned properties through unconsolidated equity investments and had investment interests in these unconsolidated entities as follows: As of March 31, 2017 As of December 31, 2016 Investment Ownership % Voting Interest % Partner Investment in Unconsolidated Equity Investment 1 No. of Properties Investment in Unconsolidated Equity Investment 1 No. of Properties Gramercy European Property Fund 2 14.2 % 14.2 % Various $ 51,524 27 $ 50,367 26 Goodman Europe JV 3 5.1 % 5.1 % Gramercy European Property Fund 3,269 8 3,491 8 Strategic Office Partners 25.0 % 25.0 % TPG Real Estate 18,444 7 15,872 6 Goodman UK JV 80.0 % 50.0 % Goodman Group 25,336 2 25,309 2 CBRE Strategic Partners Asia 5.07 % 5.07 % Various 3,999 2 4,145 2 Philips JV 25.0 % 25.0 % Various — 1 — 1 Morristown JV 50.0 % 50.0 % 21 South Street 2,615 1 2,623 1 Total $ 105,187 48 $ 101,807 46 1. The amounts presented include basis differences of $2,279 and $3,918 , net of accumulated amortization, for the Goodman Europe JV and Goodman UK JV, respectively, as of March 31, 2017 . The amounts presented include basis differences of $2,286 and $3,941 , net of accumulated amortization, for the Goodman Europe JV and Goodman UK JV, respectively, as of December 31, 2016. 2. Includes European Fund Carry Co., which has a carrying value of $7 and $8 for the Company’s 25.0% interest as of March 31, 2017 and December 31, 2016, respectively. 3. As of March 31, 2017 , the Company has a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest of Goodman Europe JV through its 14.2% interest in the Gramercy European Property Fund. In the table above, as of December 31, 2016, the Company’s 94.9% interest in Goodman Europe JV held through its 14.2% interest in the Gramercy European Property Fund is included in the amount shown for the Gramercy European Property Fund and the Company’s 5.1% direct interest in the Goodman Europe JV is presented separately as the amount shown for the Goodman Europe JV. The following is a summary of the Company’s unconsolidated equity investments for the three months ended March 31, 2017 : Unconsolidated Equity Investments Balance at January 1, 2017 $ 101,807 Contributions to unconsolidated equity investments 2,650 Equity in net loss of unconsolidated equity investments, including adjustments for basis differences (94 ) Other comprehensive loss of unconsolidated equity investments 1,176 Distributions from unconsolidated equity investments (352 ) Balance at March 31, 2017 $ 105,187 Gramercy European Property Fund In December 2014, the Company, along with several equity investment partners, formed the Gramercy European Property Fund, a private real estate investment fund that targets single-tenant industrial, office and specialty retail assets throughout Europe. In the second quarter of 2016, the Gramercy European Property Fund acquired 74.9% of the Company’s 80.0% interest in the Goodman Europe JV. As of March 31, 2017 and December 31, 2016, the Company has a 14.2% interest in the Gramercy European Property Fund, which has a 94.9% ownership interest in the Goodman Europe JV. As of March 31, 2017 and December 31, 2016, the Company has a 5.1% direct interest in the Goodman Europe JV, as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. Since inception, the equity investors, including the Company, have collectively funded $395,213 ( €352,500 ) in equity capital to the Gramercy European Property Fund. As of March 31, 2017 and December 31, 2016 the Company's cumulative contributions to the Gramercy European Property Fund were $55,892 ( €50,000 ). As of March 31, 2017, the remaining commitments of all equity investors to the Gramercy European Property Fund were $53,260 ( €50,000 ), including $13,315 ( €12,500 ) from the Company. During the three months ended March 31, 2017 and 2016, the Company received distributions of $352 and $3,561 , respectively, from the Goodman Europe JV. During three months ended March 31, 2017 and the year ended December 31, 2016, the Gramercy European Property Fund acquired one and 13 properties, respectively, located in Germany, the Netherlands, Poland, and the United Kingdom, and in 2016 also acquired the Company's 5.1% interest in one property located in Lille, France held by the Goodman Europe JV. Refer to Note 8 for additional information on the equity transactions related to the Gramercy European Property Fund and Goodman Europe JV. As of March 31, 2017 , there were 27 properties in the Gramercy European Property Fund and eight additional properties held in the Goodman Europe JV. Strategic Office Partners In August 2016, the Company partnered with TPG Real Estate, or TPG, to form Strategic Office Partners, an unconsolidated equity investment created for the purpose of acquiring, owning, operating, leasing and selling single-tenant office properties located in high-growth metropolitan areas in the United States. In September 2016, the Company contributed six properties to Strategic Office Partners and in the first quarter of 2017 Strategic Office Partners acquired one property. The Company provides asset and property management, accounting, construction, and leasing services to Strategic Office Partners, for which it earns management fees and is entitled to a promoted interest. TPG and the Company have committed to fund an aggregate $400,000 to Strategic Office Partners, including $100,000 from the Company. During the three months ended March 31, 2017 , the Company contributed $2,650 to Strategic Office Partners and as of March 31, 2017 , the Company's remaining commitment is $81,323 . During the three months ended March 31, 2017 , the Company received no distributions from the Strategic Office Partners. Goodman UK JV The Goodman UK JV invests in industrial properties in the United Kingdom. During the three months ended March 31, 2017 and 2016, the Company received no distributions from the Goodman UK JV. Duke JV The Duke JV invested in industrial and office properties located throughout the United States. In June 2016, the Company and Duke entered into a Dissolution and Liquidation Agreement, pursuant to which the Duke JV distributed seven of its properties to the Company and one of its properties to Duke on June 30, 2016, then was dissolved in July 2016 following the disposition of its remaining property and final distributions of cash to its members. During the three months ended March 31, 2016, the Company received cash distributions of $53,807 from the Duke JV. CBRE Strategic Partners Asia CBRE Strategic Partners Asia is a real estate investment fund with investments in China. CBRE Strategic Partners Asia has an eight -year term, which began on January 31, 2008 and may be extended for up to two one -year periods with the approval of two-thirds of the limited partners. In March 2016, the limited partners approved a one-year extension. CBRE Strategic Partners Asia's commitment period has ended, however, it may call capital to fund operations, obligations and liabilities. For the three months ended March 31, 2017 , the Company did not receive any distributions from CBRE Strategic Partners Asia. In February 2017, the fund commenced liquidation and will wind up over the succeeding 24 months. Philips JV The Company has a 25.0% interest in 200 Franklin Square Drive, a 199,900 square foot building located in Somerset, New Jersey which is 100.0% net leased to Philips Holdings, USA Inc., a wholly-owned subsidiary of Royal Philips Electronics, through December 2021, or the Philips JV. During the three months ended March 31, 2017 and 2016, the Company received no distributions and recognized no revenue from the Philips JV. Morristown JV In October 2015, the Company contributed 50.0% of its interest in an office property located in Morristown, New Jersey to a joint venture the Company formed with 21 South Street, a subsidiary of Hampshire Partners Fund VIII LP, or the Morristown JV. Concurrent with the contribution, the Company sold the remaining 50.0% equity interest of the property to 21 South Street. The balance sheets for the Company’s unconsolidated equity investments at March 31, 2017 are as follows: Gramercy European Property Fund 1 Goodman Europe JV Gramercy European Property Fund 2 Total Strategic Office Partners Goodman UK JV CBRE Strategic Partners Asia Other 3 Assets: Real estate assets, net 4 $ 224,122 $ 480,477 $ 704,599 $ 181,655 $ 30,763 $ 85,175 $ 49,342 Other assets 27,485 94,407 121,892 46,673 2,057 11,992 3,251 Total assets $ 251,607 $ 574,884 $ 826,491 $ 228,328 $ 32,820 $ 97,167 $ 52,593 Liabilities and members’ equity: Mortgages payable $ 140,245 $ 285,499 $ 425,744 $ 142,498 $ — $ — $ 39,557 Other liabilities 2,753 20,958 23,711 9,974 957 14,314 3,445 Total liabilities 142,998 306,457 449,455 152,472 957 14,314 43,002 Gramercy Property Trust equity 11,924 42,862 54,786 18,444 25,336 3,999 2,622 Other members’ equity 96,685 225,565 322,250 57,412 6,527 78,854 6,969 Liabilities and members’ equity $ 251,607 $ 574,884 $ 826,491 $ 228,328 $ 32,820 $ 97,167 $ 52,593 1. As of March 31, 2017 , the Company has a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. In the table above, the Company’s equity interest in the Goodman Europe JV includes both its direct 5.1% interest as well as its indirect interest that is held through its 14.2% interest in the Gramercy European Property Fund, and the Company’s equity interest in the Gramercy European Property Fund represents its interest in all of the properties owned by the Gramercy European Property Fund except for the properties in the Goodman Europe JV. 2. Excludes the Gramercy European Property Fund’s 94.9% interest in the Goodman Europe JV. 3. Includes the Philips JV, the Morristown JV, and European Fund Carry Co. 4. Includes basis adjustments that were recorded by the Company to adjust the unconsolidated equity investments to fair value upon closing of the Merger. The balance sheets for the Company’s unconsolidated equity investments at December 31, 2016 are as follows: Gramercy European Property Fund 1 Goodman Europe JV Gramercy European Property Fund 2 Total Strategic Office Partners Goodman UK JV CBRE Strategic Partners Asia Other 3 Assets: Real estate assets, net 4 $ 285,087 $ 347,069 $ 632,156 $ 149,484 $ 25,128 $ 87,852 $ 49,580 Other assets 86,273 63,523 149,796 42,323 6,650 12,247 3,020 Total assets $ 371,360 $ 410,592 $ 781,952 $ 191,807 $ 31,778 $ 100,099 $ 52,600 Liabilities and members' equity: Mortgages payable $ 174,269 $ 215,980 $ 390,249 $ 121,894 $ — $ — $ 39,730 Other liabilities 7,778 19,940 27,718 4,347 934 14,383 3,259 Total liabilities 182,047 235,920 417,967 126,241 934 14,383 42,989 Gramercy Property Trust equity 12,734 41,116 53,850 15,872 25,309 4,145 2,631 Other members' equity 176,579 133,556 310,135 49,694 5,535 81,571 6,980 Liabilities and members' equity $ 371,360 $ 410,592 $ 781,952 $ 191,807 $ 31,778 $ 100,099 $ 52,600 1. As of December 31, 2016, the Company has a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. In the table above, the Company’s equity interest in the Goodman Europe JV includes both its direct 5.1% interest as well as its indirect interest that is held through its 14.2% interest in the Gramercy European Property Fund, and the Company’s equity interest in the Gramercy European Property Fund represents its interest in all of the properties owned by the Gramercy European Property Fund except for the properties in the Goodman Europe JV. 2. Excludes the Gramercy European Property Fund’s 94.9% interest in the Goodman Europe JV. 3. Includes the Philips JV, the Morristown JV, and European Fund Carry Co. 4. Includes basis adjustments that were recorded by the Company to adjust the unconsolidated equity investments to fair value upon closing of the Merger. Certain real estate assets in the Company’s unconsolidated equity investments are subject to mortgage loans. The following is a summary of the secured financing arrangements within the Company’s unconsolidated equity investments as of March 31, 2017 : Outstanding Balance 2 Property Unconsolidated Equity Investment Economic Ownership Interest Rate 1 Maturity Date March 31, 2017 December 31, 2016 Strategic Office Partners portfolio 3 Strategic Office Partners 25.0% 3.83% 10/7/2019 $ 145,800 $ 125,000 Durrholz, Germany Gramercy European Property Fund 14.2% 1.52% 3/31/2020 12,303 12,289 Venray, Germany Gramercy European Property Fund 14.2% 3.32% 12/2/2020 13,149 13,015 Lille, France Gramercy European Property Fund 14.2% 3.13% 12/17/2020 27,429 27,081 Carlisle, United Kingdom Gramercy European Property Fund 14.2% 3.32% 2/19/2021 10,620 10,443 Oud Beijerland, Netherlands Gramercy European Property Fund 14.2% 2.09% 12/30/2022 8,148 8,077 Zaandam, Netherlands Gramercy European Property Fund 14.2% 2.08% 12/30/2022 11,749 11,647 Kerkrade, Netherlands Gramercy European Property Fund 14.2% 2.08% 12/30/2022 9,706 9,622 Friedrichspark, Germany Gramercy European Property Fund 14.2% 2.08% 12/30/2022 8,770 8,694 Fredersdorf, Germany Gramercy European Property Fund 14.2% 2.08% 12/30/2022 11,345 11,247 Breda, Netherlands Gramercy European Property Fund 14.2% 1.90% 12/30/2022 10,035 9,948 Juechen, Germany Gramercy European Property Fund 14.2% 1.89% 12/30/2022 19,017 18,852 Piaseczno, Poland Gramercy European Property Fund 14.2% 1.98% 12/30/2022 8,212 8,141 Strykow, Poland Gramercy European Property Fund 14.2% 1.98% 12/30/2022 19,335 19,167 Uden, Netherlands Gramercy European Property Fund 14.2% 1.98% 12/30/2022 8,992 8,913 Rotterdam, Netherlands Gramercy European Property Fund 14.2% 1.89% 12/30/2022 7,700 7,633 Frechen, Germany Gramercy European Property Fund 14.2% 1.49% 12/30/2022 6,101 6,043 Meerane, Germany Gramercy European Property Fund 14.2% 1.35% 12/30/2022 10,236 10,138 Amsterdam, Netherlands Gramercy European Property Fund 14.2% 1.59% 12/30/2022 3,123 3,093 Tiel, Netherlands Gramercy European Property Fund 14.2% 1.59% 12/30/2022 9,262 9,174 Netherlands portfolio 4 Gramercy European Property Fund 14.2% 3.02% 6/28/2023 13,581 13,409 Kutno, Poland Gramercy European Property Fund 14.2% 1.91% 7/21/2023 5,965 5,890 European Facility 1 5 Goodman Europe JV 18.6% 6 0.90% 11/16/2023 31,957 31,551 European Facility 2 5 Goodman Europe JV 18.6% 6 1.75% 11/16/2023 108,289 106,917 Utrecht, Netherlands Gramercy European Property Fund 14.2% 1.95% 1/16/2024 36,616 — Worksop, United Kingdom Gramercy European Property Fund 14.2% 3.94% 10/20/2026 10,668 10,551 Somerset, NJ Philips JV 25.0% 6.90% 9/11/2035 39,557 39,730 Total mortgage notes payable $ 607,665 $ 546,265 Net deferred financing costs and net debt premium 134 5,608 Total mortgage notes payable, net $ 607,799 $ 551,873 1. Represents the current effective rate as of March 31, 2017 , including the swapped interest rate for loans that have interest rate swaps. The current interest rate is not adjusted to include the amortization of fair market value premiums or discounts. 2. Mortgage loans amounts are presented at 100.0% of the amount in the unconsolidated equity investment. 3. There are seven properties under this mortgage loan. 4. There are five properties under this mortgage loan. 5. There are eight properties under this loan facility. 6. Represents the Company’s economic ownership in the Goodman Europe JV, which includes both its 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. The statements of operations for the Company’s unconsolidated equity investments for the three months ended March 31, 2017 or partial period for acquisitions or dispositions which closed during these periods, are as follows: Gramercy European Property Fund 1 Goodman Europe JV Gramercy European Property Fund 2 Total Strategic Office Partners Goodman UK JV CBRE Strategic Partners Asia Other 3 Revenues $ 4,955 $ 10,118 $ 15,073 $ 5,526 $ 295 $ (2,445 ) $ 1,114 Operating expenses 922 2,951 3,873 1,474 302 418 158 Interest expense 672 1,474 2,146 1,510 — — 641 Depreciation and amortization 2,021 4,473 6,494 2,503 375 — 333 Total expenses 3,615 8,898 12,513 5,487 677 418 1,132 Net income (loss) from operations 1,340 1,220 2,560 39 (382 ) (2,863 ) (18 ) Gain (loss) on derivatives — 1,221 1,221 (349 ) — — — Provision for taxes (17 ) 146 129 — (8 ) — — Net income (loss) $ 1,323 $ 2,587 $ 3,910 $ (310 ) $ (390 ) $ (2,863 ) $ (18 ) Company's share in net income (loss) $ 67 $ 446 $ 513 $ (15 ) $ (312 ) $ (146 ) $ (9 ) Adjustments for REIT basis (36 ) — (36 ) — (89 ) — — Company's equity in net income (loss) within continuing operations $ 31 $ 446 $ 477 $ (15 ) $ (401 ) $ (146 ) $ (9 ) 1. As of and for the three months ended March 31, 2017 , the Company had a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. For the three months ended March 31, 2017 , the Company’s equity in net income (loss) of the entities is based on these ownership interest percentages during the period. 2. Excludes the results of the Gramercy European Property Fund’s 94.9% interest in the Goodman Europe JV, as the Goodman Europe JV is separately presented. 3. Includes the Philips JV, the Morristown JV, and European Fund Carry Co. The statements of operations for the Company’s unconsolidated equity investments for the three months ended March 31, 2016 or partial period for acquisitions or dispositions which closed during these periods, are as follows: Goodman Europe JV Gramercy European Property Fund Goodman UK JV Duke JV Other 1 Revenues $ 6,121 $ 5,057 $ 4,284 $ 10,536 $ 301 Operating expenses 862 502 287 2,991 712 Acquisition expenses — 666 — — — Interest expense 923 927 — 436 729 Depreciation and amortization 2,290 2,345 750 3,729 333 Total expenses 4,075 4,440 1,037 7,156 1,774 Net income (loss) from operations 2,046 617 3,247 3,380 (1,473 ) Loss on derivatives — (3,814 ) — — — Loss on extinguishment of debt — — — (7,962 ) — Net gain on disposals — — — 38,535 — Provision for taxes — (315 ) — — — Net income (loss) $ 2,046 $ (3,512 ) $ 3,247 $ 33,953 $ (1,473 ) Company's share in net income (loss) $ 1,637 $ (695 ) $ 2,597 $ 27,162 $ (79 ) Adjustments for REIT basis (486 ) — (270 ) (32,621 ) — Company's equity in net income (loss) within continuing operations $ 1,151 $ (695 ) $ 2,327 $ (5,459 ) $ (79 ) 1. Includes the Philips JV, the Morristown JV, European Fund Carry Co., and CBRE Strategic Partners Asia. |
Debt Obligations
Debt Obligations | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt Obligations | Debt Obligations Secured Debt Mortgage Loans Certain real estate assets are subject to mortgage loans. During the three months ended March 31, 2017 , the Company assumed $3,680 of non-recourse mortgages in connection with one real estate acquisition. During the year ended December 31, 2016, the Company assumed $244,188 of non-recourse mortgages in connection with 27 real estate acquisitions. During the three months ended March 31, 2017 , the Company refinanced the debt on two properties encumbered by a mortgage loan, subsequently transferred the mortgage on these two properties to the buyer of the properties, and, as a result, recorded a net loss on the early extinguishment of debt of $208 . During the three months ended March 31, 2016 , the Company paid off the debt on six properties encumbered by mortgage loans and transferred one property encumbered by a mortgage loan, and as a result, the Company recorded a net loss on the early extinguishment of debt of $3,827 , including a net gain on extinguishment of debt of $1,930 within discontinued operations. The gains and losses recorded for extinguishments of debt are related to unamortized deferred financing costs and mortgage premiums (discounts) that were immediately expensed upon termination as well as early termination fees incurred. The Company’s mortgage loans include a series of financial and other covenants with which the Company must comply in order to borrow under them. The Company was in compliance with the covenants under the mortgage loan facilities as of March 31, 2017 . The following is a summary of the Company’s secured financing arrangements as of March 31, 2017 : Property Interest Rate 1 Maturity Date Outstanding Balance March 31, 2017 December 31, 2016 Buford, GA 4.67% 7/1/2017 $ 15,393 $ 15,512 Woodcliff Lake, NJ 3.04% 9/15/2017 35,024 35,366 Logistics Portfolio - Pool 2 2 4.48% 1/1/2018 36,139 36,279 Dallas, TX 3 3.05% 3/1/2018 9,485 9,540 Cincinnati, KY 3 3.29% 3/1/2018 6,590 6,628 Jacksonville, FL 3 3.05% 3/1/2018 6,813 6,852 Phoenix, AZ 3 3.05% 3/1/2018 4,097 4,120 Minneapolis, MN 3 3.05% 3/1/2018 5,967 6,001 Ames, IA 5.05% 5/1/2018 16,312 16,436 Columbus, OH 3.57% 5/31/2018 19,474 19,708 Greenwood, IN 3.59% 6/15/2018 7,392 7,436 Greenfield, IN 3.63% 6/15/2018 5,974 6,010 Logistics Portfolio - Pool 3 2 3.96% 8/1/2018 43,300 43,300 Philadelphia, PA 4.99% 1/1/2019 12,232 12,328 Columbus, OH 3.94% 1/31/2019 5,862 5,908 Bridgeview, IL 3.90% 5/1/2019 5,971 6,014 Spartanburg, SC 3.20% 6/1/2019 929 1,025 Charleston, SC 3.11% 8/1/2019 856 986 Lawrence, IN 5.02% 1/1/2020 20,545 20,703 Charlotte, NC 3.28% 1/1/2020 2,051 2,217 Hawthorne, CA 3.52% 8/1/2020 17,556 17,638 Charleston, SC 2.97% 10/1/2020 925 984 Charleston, SC 3.37% 10/1/2020 925 984 Charleston, SC 3.32% 10/1/2020 941 1,001 Charlotte, NC 3.38% 10/1/2020 802 853 Des Plaines, IL 5.54% 10/31/2020 2,444 2,463 Waco, TX 4.75% 12/19/2020 15,113 15,187 Deerfield, IL 3.71% 1/1/2021 10,716 10,804 Winston-Salem, NC 3.41% 6/1/2021 3,992 4,199 Winston-Salem, NC 3.42% 7/1/2021 1,320 1,388 Logistics Portfolio - Pool 1 2 4.29% 1/1/2022 38,842 39,002 CCC Portfolio 2 4.46% 10/6/2022 23,162 23,280 Durham, NC 4.02% 9/6/2024 3,680 — Logistics Portfolio - Pool 4 2 4.36% 12/5/2022 79,500 79,500 KIK USA Portfolio 2 4.63% 7/6/2023 7,376 7,450 Yuma, AZ 5.27% 12/6/2023 12,007 12,058 Allentown, PA 5.16% 1/6/2024 22,979 23,078 Spartanburg, SC 3.72% 2/1/2024 6,183 6,360 Charleston, SC 3.80% 2/1/2025 6,497 6,658 Hackettstown, NJ 4.95% 3/6/2026 9,550 9,550 Hutchins, TX 7.65% 6/1/2029 22,476 22,764 KIK Canada Portfolio 2 3.57% 5/5/2019 — 7,914 Total mortgage notes payable $ 547,392 $ 555,484 Net deferred financing costs and net debt premium 2,532 3,158 Total mortgage notes payable, net $ 549,924 $ 558,642 1. Represents the interest rate as of March 31, 2017 or date of extinguishment if loan was extinguished during the period, that was recorded for financial reporting purposes, which reflects the effect of interest rate swaps and amortization of financing costs and fair market value premiums or discounts. 2. There are five properties under the Logistics Portfolio - Pool 2 loan, two properties under the Logistics Portfolio - Pool 3 loan, three properties under the Logistics Portfolio - Pool 1 loan, five properties under the CCC Portfolio loan, six properties under the Logistics Portfolio - Pool 4 loan, three properties under the KIK USA Portfolio loan, and two properties under the KIK Canada Portfolio loan. 3. These five mortgage loans are cross-collateralized. Unsecured Debt 2015 Credit Facility and Term Loans In December 2015, the Company entered into an agreement, or the Credit Agreement, for a new $1,900,000 credit facility, or the 2015 Credit Facility, consisting of an $850,000 senior unsecured revolving credit facility, or the 2015 Revolving Credit Facility, and $1,050,000 term loan facility with JPMorgan Securities LLC and Merrill Lynch, Pierce, Fenner and Smith Incorporated and terminated Legacy Gramercy's 2014 Credit Facility. The 2015 Revolving Credit Facility consists of a $750,000 U.S. dollar revolving credit facility and a $100,000 multicurrency revolving credit facility. The 2015 Revolving Credit Facility matures in January 2020, but may be extended for two additional six month periods upon the payment of applicable fees and satisfaction of certain customary conditions. The term loan facility, or the 2015 Term Loan, consists of a $300,000 term loan facility that matures in January 2019 with one 12-month extension option, or the 3-Year Term Loan, and a $750,000 term loan facility that matures in January 2021, or the 5-Year Term Loan. Outstanding borrowings under the 2015 Revolving Credit Facility incur interest at a floating rate based upon, at the Company’s option, either (i) adjusted London Interbank Offered Rate, or LIBOR, plus an applicable margin ranging from 0.875% to 1.55% , depending on the Company’s credit ratings, or (ii) the alternate base rate plus an applicable margin ranging from 0.00% to 0.55% , depending on the Company’s credit ratings. The Company is also required to pay quarterly in arrears a 0.125% to 0.30% facility fee, depending on the Company's credit ratings, on the total commitments under the 2015 Revolving Credit Facility. Outstanding borrowings under the 2015 Term Loan incur interest at a floating rate based upon, at the Company’s option, either (i) adjusted LIBOR plus an applicable margin ranging from 0.90% to 1.75% , depending on the Company’s credit ratings, or (ii) the alternate base rate plus an applicable margin ranging from 0.00% to 0.75% , depending on the Company’s credit ratings. The alternate base rate is the greater of (x) the prime rate announced by JPMorgan Chase Bank, N.A., (y) 0.50% above the Federal Funds Effective Rate and (z) the adjusted LIBOR for a one-month interest period plus 1.00% . In December 2015, the Company also entered into a new $175,000 seven-year unsecured term loan with Capital One, N.A., or the 7-Year Term Loan, which matures in January 2023. Outstanding borrowings under the 7-Year Term Loan incur interest at a floating rate based upon, at the Company’s option, either (i) adjusted LIBOR plus an applicable margin ranging from 1.30% to 2.10% , depending on the Company’s credit ratings, or (iii) the alternate base rate plus an applicable margin ranging from 0.30% to 1.10% , depending on the Company’s credit ratings. The alternate base rate is the greatest of (x) the prime rate announced by Capital One, (y) 0.50% above the Federal Funds Effective Rate, and (z) the adjusted LIBOR for a one-month interest period plus 1.00% . The Company’s unsecured borrowing facilities include a series of financial and other covenants that the Company has to comply with in order to borrow under the facilities. The Company was in compliance with the covenants under the facilities as of March 31, 2017 . Refer to the table at the end of Note 6 for specific terms and the Company’s outstanding borrowings under the facilities. Senior Unsecured Notes During 2016 and 2015, the Company issued and sold $400,000 and $100,000 aggregate principal amount of senior unsecured notes payable, respectively, in private placements, which have maturities ranging from 2022 through 2026 and bear interest semiannually at rates ranging from 3.89% to 4.97% . Refer to the table later in Note 6 for specific terms of the Company's Senior Unsecured Notes. Exchangeable Senior Notes On March 18, 2014, the Company issued $115,000 of 3.75% Exchangeable Senior Notes. The Exchangeable Senior Notes are senior unsecured obligations of a subsidiary of the Operating Partnership and are guaranteed by the Company on a senior unsecured basis. The Exchangeable Senior Notes mature on March 15, 2019, unless redeemed, repurchased or exchanged in accordance with their terms prior to such date and will be exchangeable, under certain circumstances, for cash, for common shares or for a combination of cash and common shares, at the election of the Operating Partnership. The Exchangeable Senior Notes will also be exchangeable prior to the close of business on the second scheduled trading day immediately preceding the stated maturity date, at any time beginning on December 15, 2018, and also upon the occurrence of certain events. On or after March 20, 2017, in certain circumstances, the Operating Partnership may redeem all or part of the Exchangeable Senior Notes for cash at a price equal to 100.0% of the principal amount of the Exchangeable Senior Notes to be redeemed, plus accrued and unpaid interest up to, but excluding, the redemption date. As of March 31, 2017 , the Exchangeable Senior Notes have a current exchange rate of 14.0843 units of Merger consideration, where one unit of Merger consideration represents 3.1898 of the Company's common shares, or approximately 44.9261 of the Company's common shares for each $1.0 principal amount of the Exchangeable Senior Notes, representing an exchange price of $22.26 per common share of the Company. The fair value of the Exchangeable Senior Notes was determined at issuance to be $106,689 . The discount is being amortized to interest expense over the expected life of the Exchangeable Senior Notes. As of March 31, 2017 and December 2016, the Exchangeable Senior Notes were recorded as a liability at carrying value of $109,488 and $108,832 , respectively, net of unamortized discount and deferred financing costs of $5,512 and $6,168 , respectively. The fair value of the Exchangeable Senior Notes’ embedded exchange option of $11,726 was recorded in additional paid-in-capital within shareholders’ equity as of March 31, 2017 and December 31, 2016. The terms of the Company’s unsecured debt obligations and outstanding balances as of March 31, 2017 and December 31, 2016 are set forth in the table below: Stated Interest Rate Effective Interest Rate 1 Maturity Date Outstanding Balance March 31, 2017 December 31, 2016 2015 Revolving Credit Facility - U.S. dollar tranche 1.95 % 1.95 % 1/8/2020 $ 55,000 $ — 2015 Revolving Credit Facility - Multicurrency tranche 1.02 % 1.02 % 1/8/2020 66,759 65,837 3-Year Term Loan 2.10 % 2.33 % 1/8/2019 300,000 300,000 5-Year Term Loan 2.10 % 2.70 % 1/8/2021 750,000 750,000 7-Year Term Loan 2.31 % 3.34 % 1/9/2023 175,000 175,000 2015 Senior Unsecured Notes 4.97 % 5.07 % 12/17/2024 150,000 150,000 2016 Senior Unsecured Notes 3.89 % 4.00 % 12/15/2022 150,000 150,000 2016 Senior Unsecured Notes 4.26 % 4.38 % 12/15/2025 100,000 100,000 2016 Senior Unsecured Notes 4.32 % 4.43 % 12/15/2026 100,000 100,000 Exchangeable Senior Notes 3.75 % 6.36 % 3/15/2019 115,000 115,000 Total unsecured debt 1,961,759 1,905,837 Net deferred financing costs and net debt discount (8,988 ) (9,704 ) Total unsecured debt, net $ 1,952,771 $ 1,896,133 1. Represents the rate at which interest expense is recorded for financial reporting purposes as of March 31, 2017, which reflects the effect of interest rate swaps and amortization of financing costs and fair market value premiums or discounts. Combined aggregate principal maturities of the Company’s unsecured debt obligations, non-recourse mortgages, and Exchangeable Senior Notes, in addition to associated interest payments, as of March 31, 2017 are as follows: 2015 Revolving Credit Facility Term Loans Mortgage Notes Payable 1 Senior Unsecured Notes Exchangeable Senior Notes Interest Payments 2 Total April 1 to December 31, 2017 $ — $ — $ 61,474 $ — $ — $ 65,562 $ 127,036 2018 — — 170,819 — — 80,435 251,254 2019 — 300,000 33,672 — 115,000 70,155 518,827 2020 121,759 — 60,103 — — 65,605 247,467 2021 — 750,000 16,364 — — 39,682 806,046 Thereafter — 175,000 204,960 500,000 — 89,275 969,235 Above market interest — — — — — (6,456 ) (6,456 ) Total $ 121,759 $ 1,225,000 $ 547,392 $ 500,000 $ 115,000 $ 404,258 $ 2,913,409 1. Mortgage loan payments reflect accelerated repayment dates, when applicable, pursuant to related loan agreement. 2. Interest payments do not reflect the effect of interest rate swaps. |
Leasing Agreements
Leasing Agreements | 3 Months Ended |
Mar. 31, 2017 | |
Leases, Operating [Abstract] | |
Leasing Agreements | Leasing Agreements The Company’s properties are leased to tenants under operating leases with expiration dates extending through the year 2039 . These leases generally contain rent increases and renewal options. Future minimum rental revenues under non-cancelable leases excluding reimbursements for operating expenses as of March 31, 2017 are as follows: Operating Leases April 1 to December 31, 2017 $ 289,129 2018 385,259 2019 358,794 2020 330,608 2021 305,318 Thereafter 1,615,136 Total minimum lease rental income $ 3,284,244 |
Transactions with Trustee Relat
Transactions with Trustee Related Entities and Related Parties | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Transactions with Trustee Related Entities and Related Parties | Transactions with Trustee Related Entities and Related Parties In December 2016, the Company sold its 5.1% interest in one property located in Lille, France held by the Goodman Europe JV to the Gramercy European Property Fund, in which the Company has a 14.2% ownership interest, for gross proceeds of $2,662 ( €2,563 ). On June 30, 2016, the Company sold 74.9% of its outstanding 80.0% interest in the Goodman Europe JV to the Gramercy European Property Fund, in which the Company has a 14.2% interest as of March 31, 2017 . The Company has made cumulative contributions of $55,892 ( €50,000 ) to the Gramercy European Property Fund and has a remaining funding commitment of $13,315 ( €12,500 ) as of March 31, 2017 . The Company’s CEO, who is on the board of directors, also has capital commitments to the investment, as noted below. The Company sold 74.9% of its interest in the Goodman Europe JV to the Gramercy European Property Fund for gross proceeds of $148,884 ( €134,336 ), based on third-party valuations for the underlying properties. The Company’s sale of 74.9% of its interest in the Goodman Europe JV resulted in the Company recording a gain of $5,341 during the period, primarily related to depreciation and amortization recorded since Merger closing date. Following the sale transaction, the Company has a 5.1% continuing direct interest in the Goodman Europe JV. The transaction was entered into in order to achieve efficiencies from the combination of the two European platforms. The Company’s CEO, Gordon F. DuGan, is on the board of directors of the Gramercy European Property Fund and has committed and fully funded approximately $1,388 ( €1,250 ) in capital to the Gramercy European Property Fund. The two Managing Directors of Gramercy Europe Asset Management have collectively committed and fully funded approximately $1,388 ( €1,250 ) in capital to the Gramercy European Property Fund. One of the properties acquired in December 2015 as part of the Merger was partially leased to Duke Realty, the Company’s partner in the Duke JV. Duke Realty acted as the managing member of the Duke JV which was dissolved in July 2016 as described in Note 5, and as such provided asset management, construction, development, leasing and property management services, for which it was entitled to fees as well as a promoted interest. From the date of the Merger through lease expiration in May 2016, Duke Realty leased 30,777 square feet of one of the Company’s office properties located in Minnesota which had an aggregate 322,551 rentable square feet. Duke Realty paid the Company $176 under the lease for the three months ended March 31, 2016. See Note 5 for more information on the Company’s transactions with the Duke JV. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements ASC 820-10, “Fair Value Measurements and Disclosures,” among other things, establishes a hierarchical disclosure framework associated with the level of pricing observability utilized in measuring financial instruments and other assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, or an exit price. The Company discloses fair value information, whether or not recognized in the financial statements, for which it is practicable to estimate that value. In cases where quoted market prices are not available, fair values are based upon the application of discount rates to estimated future cash flows based upon market yields or by using other valuation methodologies. Considerable judgment is necessary to interpret market data and develop estimated fair value. Accordingly, fair values are not necessarily indicative of the amounts the Company could realize on disposition of the financial instruments and other assets and liabilities measured at fair value. The use of different market assumptions and/or estimation methodologies may have a material effect on estimated fair value amounts. The level of pricing observability generally correlates to the degree of judgment utilized in measuring the fair value of financial instruments and other assets and liabilities. The three broad levels defined are as follows: Level I - This level is comprised of financial instruments and other assets and liabilities that have quoted prices that are available in liquid markets for identical assets or liabilities. Level II - This level is comprised of financial instruments and other assets and liabilities for which quoted prices are available but which are traded less frequently and instruments that are measured at fair value using management’s judgment, where the inputs into the determination of fair value can be directly observed. Level III - This level is comprised of financial instruments and other assets and liabilities that have little to no pricing observability as of the reported date. These financial instruments do not have active markets and are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment and assumptions. Instruments that are generally in this category include derivatives. The following table presents the carrying value in the financial statements and approximate fair value of assets and liabilities measured on a recurring and nonrecurring basis at March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016 Carrying Value Fair Value Carrying Value Fair Value Financial assets: Interest rate swaps $ 8,010 $ 8,010 $ 3,769 $ 3,769 Retained CDO Bonds $ 4,828 $ 4,828 $ 11,906 $ 11,906 Investment in CBRE Strategic Partners Asia $ 3,999 $ 3,999 $ 4,145 $ 4,145 Real estate investments 1 $ 46,188 $ 46,188 $ 2,413 $ 2,413 Financial liabilities: Interest rate swaps $ 517 $ 517 $ 700 $ 700 Long-term debt 2015 Revolving Credit Facility 2 $ 121,759 $ 113,887 $ 65,837 $ 65,897 3-Year Term Loan 2 $ 300,000 $ 298,894 $ 300,000 $ 300,213 5-Year Term Loan 2 $ 750,000 $ 744,112 $ 750,000 $ 750,959 7-Year Term Loan 2 $ 175,000 $ 176,653 $ 175,000 $ 172,850 Mortgage notes payable 2 $ 549,924 $ 559,553 $ 558,642 $ 567,705 Senior Unsecured Notes 2 $ 496,524 $ 500,598 $ 496,464 $ 498,650 Exchangeable Senior Notes 2 $ 109,488 $ 116,382 $ 108,832 $ 115,625 1. Amounts as of March 31, 2017 and December 31, 2016 represent two and one real estate investments, respectively, that were impaired during the three months ended March 31, 2017 and the year ended December 31, 2016, respectively, and were owned as of the end of the respective reporting periods. 2. Long-term debt instruments are classified as Level III due to the significance of unobservable inputs which are based upon management assumptions. The following methods and assumptions were used to estimate the fair value of each class of assets and liabilities for which it is practicable to estimate the value: Cash and cash equivalents, accrued interest, and accounts payable: These balances in the Condensed Consolidated Financial Statements reasonably approximate their fair values due to the short maturities of these items. Retained CDO Bonds: Non-investment grade, subordinate CDO bonds, preferred shares and ordinary shares are presented in other assets on the Condensed Consolidated Financial Statements at fair value, which is determined using an internally developed discounted cash flow model. CBRE Strategic Partners Asia: The investment manager of CBRE Strategic Partners Asia applies valuation techniques for the Company’s investment carried at fair value based upon the application of the income approach, the direct market comparison approach, the replacement cost approach or third-party appraisals to the underlying assets held in the unconsolidated entity in determining the net asset value attributable to the Company’s ownership interest therein. Refer to Note 5 for more information on this investment. Real estate investments: Real estate investments impaired during a period are reported at estimated fair value and real estate investments impaired during a period that are classified as held for sale as of the end of the period are reported at estimated fair value less costs to sell. Derivative instruments: The Company’s derivative instruments, which are comprised of interest rate swap agreements, are carried at fair value in the Condensed Consolidated Financial Statements based upon third-party valuations. Derivative fair values are presented within other assets or other liabilities, depending on the balance at the end of the period. Changes in fair value of derivative instruments that represent realized gains (losses) are recorded within interest expense on the Condensed Consolidated Statements of Operations. Refer to Note 10 for more information on the derivative instruments. Mortgage notes payable, unsecured term loans, unsecured revolving credit facilities and senior unsecured notes: These instruments are presented in the Condensed Consolidated Financial Statements at amortized cost and not at fair value. The fair value of each instrument is estimated by a discounted cash flows model, using discount rates that best reflect current market rates for financings with similar characteristics and credit quality. Mortgage premiums and discounts are amortized to interest expense on the Condensed Consolidated Statements of Operations using the effective interest method over the terms of the related notes. Refer to Note 6 for more information on these instruments. Exchangeable Senior Notes: The Exchangeable Senior Notes are presented at amortized cost on the Condensed Consolidated Financial Statements. The fair value is determined based upon a discounted cash-flow methodology using discount rates that best reflect current market rates for instruments with similar with characteristics and credit quality. Refer to Note 6 for more information on these instruments. Disclosure about fair value measurements is based on pertinent information available to the Company at the reporting date. Although the Company is not aware of any factors that would significantly affect the reasonable fair value amounts, such amounts have not been comprehensively revalued for the purpose of these financial statements since March 31, 2017 and December 31, 2016, and current estimates of fair value may differ significantly from the amounts presented herein. The following discussion of fair value was determined by the Company using available market information and appropriate valuation methodologies. Considerable judgment is necessary to interpret market data and develop estimated fair value. Accordingly, fair values are not necessarily indicative of the amounts the Company could realize on disposition of the assets or liabilities. Determining which category an asset or liability falls within the hierarchy requires significant judgment and the Company evaluates its hierarchy disclosures each quarter. Assets and liabilities measured at fair value on a recurring basis and on a non-recurring basis are categorized in the table below based upon the lowest level of significant input to the valuations. At March 31, 2017 Total Level I Level II Level III Financial Assets: Retained CDO Bonds $ 4,828 $ — $ — $ 4,828 Real estate investments 46,188 — — 46,188 Investment in CBRE Strategic Partners Asia 3,999 — — 3,999 Interest rate swaps 8,010 — — 8,010 $ 63,025 $ — $ — $ 63,025 Financial Liabilities: Interest rate swaps $ (517 ) $ — $ — $ (517 ) $ (517 ) $ — $ — $ (517 ) At December 31, 2016 Total Level I Level II Level III Financial Assets: Retained CDO Bonds $ 11,906 $ — $ — $ 11,906 Real estate investments 2,413 — — 2,413 Investment in CBRE Strategic Partners Asia 4,145 — — 4,145 Interest rate swaps 3,769 — — 3,769 $ 22,233 $ — $ — $ 22,233 Financial Liabilities: Interest rate swaps $ (700 ) $ — $ — $ (700 ) $ (700 ) $ — $ — $ (700 ) Valuation of Level III Instruments Retained CDO Bonds: Retained CDO Bonds are valued on a recurring basis using an internally developed discounted cash flow model. Management estimates the timing and amount of cash flows expected to be collected and applies a discount rate equal to the yield that the Company would expect to pay for similar securities with similar risks at the valuation date. Future expected cash flows generated by management require significant assumptions and judgment regarding the expected resolution of the underlying collateral, which includes loans and other lending investments, and real estate investments. The resolution of the underlying collateral requires further management assumptions regarding capitalization rates, lease-up periods, future occupancy rates, market rental rates, holding periods, capital improvements, net property operating income, timing of workouts and recoveries, loan loss severities and other factors. The models are most sensitive to the unobservable inputs such as the timing of a loan default or property sale and the severity of loan losses. Significant increases (decreases) in any of those inputs in isolation as well as any change in the expected timing of those inputs would result in a significantly lower (higher) fair value measurement. Due to the inherent uncertainty in the determination of fair value, the Company has designated its Retained CDO Bonds as Level III. Investment in CBRE Strategic Partners Asia: The Company’s investment in CBRE Strategic Partners Asia is based on the Level III valuation inputs applied by the investment manager of CBRE Strategic Partners Asia, utilizing a mix of different approaches for valuing the underlying real estate related investments within the investment company. The approaches include the income approach, direct market comparison approach and the replacement cost approach for newer properties. For investments owned more than one year, except for investments under construction or incurring significant renovation, CBRE Strategic Partners Asia obtains a third-party appraisal. For investments in real estate under construction or incurring significant renovation, the valuation analysis is prepared by the investment manager of CBRE Strategic Partners Asia. The valuations are most sensitive to the unobservable inputs of discount rates, as well as capitalization rates an expected future cash flows, and significant increases (decreases) in these inputs would result in a significantly lower (higher) fair value measurement. The fund’s term ended in January 2017 and commencement of the fund's liquidation was filed in early February 2017. The fund will wind up over the succeeding 24 months. Real estate investments: Real estate investments impaired during a period are reported at estimated fair value and real estate investments impaired during a period that are classified as held for sale as of the end of the period are reported at estimated fair value less costs to sell. The fair value of real estate investments and their related lease intangibles is determined using third-party valuation support, including purchase-sale contracts and other available market information. Key assumptions in the valuations, to which the fair value determinations are most sensitive, include discount and capitalization rates as well as expected future cash flows. Significant increases (decreases) in these inputs would result in a significantly lower (higher) fair value measurement. As the inputs are unobservable, the Company determined the inputs used to value this liability falls within Level III for fair value reporting. Derivative instruments: Interest rate swaps are valued with the assistance of a third-party derivative specialist using a discounted cash flow model, which requires a combination of observable market-based inputs, such as interest rate curves, and unobservable inputs which require significant judgment such as the credit valuation adjustments due to the risk of nonperformance by both the Company and its counterparties. The most significant unobservable input in the fair valuation of derivative instruments is the credit valuation adjustment as it requires significant management judgment regarding changes in the credit risk of the Company or its counterparties, however the primary driver of the fair value of the interest rate swaps is the forward interest rate curve. Total unrealized gains (losses) from derivatives for the three months ended March 31, 2017 and 2016 were $4,378 and $(22,189) , respectively, in accumulated other comprehensive income (loss). Fair Value on a Recurring Basis Quantitative information regarding the valuation techniques and the range of significant unobservable Level III inputs used to determine fair value measurements on a recurring basis as of March 31, 2017 are as follows: Financial Asset (Liability) Fair Value Valuation Technique Unobservable Inputs Range Non-investment grade, subordinate CDO bonds $ 4,828 Discounted cash flows Discount rate 16.5% Interest rate swaps 1 $ 7,493 Hypothetical derivative method Credit borrowing spread 135 to 230 basis points Investment in CBRE Strategic Partners Asia $ 3,999 Discounted cash flows Discount rate 20.0% 1. Fair value includes interest rate swap liabilities with an aggregate value of $517 . The following rollforward table reconciles the beginning and ending balances of financial assets (liabilities) measured at fair value on a recurring basis using Level III inputs as of March 31, 2017 : Retained CDO Bonds Investment in CBRE Strategic Partners Asia Interest Rate Swaps Total Financial Assets (Liabilities) - Level III Balance at January 1, 2017 $ 11,906 $ 4,145 $ 3,069 $ 19,120 Amortization of discounts or premiums 632 — — 632 Adjustments to fair value: Ineffective portion of change in derivative instruments — — 46 46 Unrealized gain on derivatives — — 4,378 4,378 Unrealized loss in other comprehensive income from fair value adjustment (2,820 ) — — (2,820 ) Other-than-temporary impairments (4,890 ) — — (4,890 ) Total loss on fair value adjustments — (146 ) — (146 ) Balance at March 31, 2017 $ 4,828 $ 3,999 $ 7,493 $ 16,320 Fair Value on a Non-Recurring Basis The Company measured its real estate investments that were impaired during the period on a non-recurring basis at estimated fair value based on the respective selling prices as of March 31, 2017 and December 31, 2016. The Company recorded impairment on these assets as a result of a change in intent to hold the real estate investments. The Company had two assets in this classification recorded at $46,188 as of March 31, 2017 and one asset in this classification recorded at $2,413 as of December 31, 2016. |
Derivatives and Non-Derivative
Derivatives and Non-Derivative Hedging Instruments | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Non-Derivative Hedging Instruments | Derivatives and Non-Derivative Hedging Instruments In the normal course of business, the Company is exposed to the effect of interest rate changes and foreign exchange rate changes. The Company limits these risks by following established risk management policies and procedures including the use of derivatives and net investment hedges. The Company uses a variety of derivative instruments to manage, or hedge, interest rate risk. The Company enters into hedging and derivative instruments that will be maximally effective in reducing the interest rate risk and foreign currency exchange rate risk exposure that they are designated to hedge. This effectiveness is essential for qualifying for hedge accounting. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. The Company uses a variety of commonly used derivative products that are considered “plain vanilla” derivatives. These derivatives typically include interest rate swaps, caps, collars and floors. The Company expressly prohibits the use of unconventional derivative instruments and using derivative instruments for trading or speculative purposes. Further, the Company has a policy of only entering into contracts with major financial institutions based upon their credit ratings and other factors. The Company recognizes all derivatives on the Condensed Consolidated Balance Sheets at fair value within other assets or other liabilities, depending on the balance at the end of the period. Derivatives that are not designated as hedges must be adjusted to fair value through income. If a derivative is a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedged asset, liability or firm commitment through earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings. The ineffective portion of a derivative’s change in fair value will be immediately recognized in earnings. Derivative accounting may increase or decrease reported net income and shareholders’ equity prospectively, depending on future levels of the LIBOR swap spreads and other variables affecting the fair values of derivative instruments and hedged items, but will have no effect on cash flows, provided the contract is carried through to full term. Borrowings on the Company’s multicurrency tranche of the 2015 Revolving Credit Facility, which are designated as non-derivative net investment hedges, are recognized at par value based on the exchange rate in effect on the date of the draw. Subsequent changes in the exchange rate of the Company’s non-derivative net investment hedge are recognized as part of the cumulative foreign currency translation adjustment within other comprehensive income (loss). Refer to Note 9 for additional information on the Company's hedging instruments, including the fair value measurement of these instruments. The Company’s derivatives and hedging instruments as of March 31, 2017 are as follows: Benchmark Rate Notional Value Strike Rate Effective Date Expiration Date Fair Value Interest Rate Swap - Waco 1 mo. USD-LIBOR-BBA 15,113 USD 4.55% 12/19/2013 12/19/2020 $ (356 ) Interest Rate Swap - Atrium I 1 mo. USD-LIBOR-BBA 19,474 USD 1.78% 8/16/2011 5/31/2018 (108 ) Interest Rate Swap - Easton III 1 mo. USD-LIBOR-BBA 5,862 USD 1.95% 8/16/2011 1/31/2019 (52 ) Interest Rate Swap - 3-Year Term Loan 1 mo. USD-LIBOR-BBA 100,000 USD 1.22% 12/19/2016 12/17/2018 371 Interest Rate Swap - 3-Year Term Loan 1 mo. USD-LIBOR-BBA 100,000 USD 1.23% 12/19/2016 12/17/2018 364 Interest Rate Swap - 3-Year Term Loan 1 mo. USD-LIBOR-BBA 100,000 USD 1.24% 12/19/2016 12/17/2018 345 Interest Rate Swap - 5-Year Term Loan 1 mo. USD-LIBOR-BBA 750,000 EUR 1.60% 12/17/2015 12/17/2020 5,328 Interest Rate Swap - 7-Year Term Loan 1 mo. USD-LIBOR-BBA 175,000 EUR 1.82% 12/17/2015 1/9/2023 1,601 Net Investment Hedge in EUR-denominated investments USD-EUR exchange rate 45,000 GBP N/A 9/28/2015 N/A — Net Investment Hedge in GBP-denominated investments USD-GBP exchange rate 15,000 GBP N/A 7/15/2016 N/A — Total hedging instruments $ 7,493 As of March 31, 2017 , the Company’s derivative instruments consist of interest rate swaps, which are cash flow hedges. Through its interest rate swaps, the Company is hedging exposure to variability in future interest payments on its debt facilities. At March 31, 2017 , the Company's interest rate swap derivative instruments were reported in other assets at fair value of $8,010 and in other liabilities at fair value of $(517) . Swap gain (loss) of $46 and $(1,830) , was recognized in interest expense in the Condensed Consolidated Statements of Operations for the three months ended March 31, 2017 and 2016 , respectively, with respect to interest rate swap hedge ineffectiveness, or to amounts excluded from ineffectiveness, which relates to the off-market financing element associated with certain derivatives. During the three months ended March 31, 2017 and 2016 , the Company reclassified $268 and $315 , respectively, from accumulated other comprehensive income (loss) into interest expense related to a derivative terminated in 2015. Over time, the realized and unrealized gains and losses held in accumulated other comprehensive income (loss) will be reclassified into earnings in the same periods in which the hedged interest payments affect earnings. During the next 12 months, the Company expects that $3,536 will be reclassified from other comprehensive income as an increase in interest expense for the Company’s interest rate swaps as of March 31, 2017 . Additionally, the Company will recognize $2,382 in interest expense on a straight-line basis over the remaining original term of terminated swaps through June 2019, representing amortization of the remaining accumulated other comprehensive income balance related to the swap, and of this amount $1,087 will be recognized in interest expense during the next 12 months. The Company hedges its investments based in foreign currencies using non-derivative net investment hedges in conjunction with borrowings under the multicurrency tranche of its 2015 Revolving Credit Facility. The Company’s non-derivative net investment hedge on its euro-denominated investments, which was entered into in September 2015, is used to hedge exposure to changes in the euro U.S. dollar exchange rate underlying its unconsolidated equity investments in the Gramercy European Property Fund and the Goodman Europe JV, both of which have euros as their functional currency. The Company’s non-derivative net investment hedge on its British pound sterling-denominated investments, which was entered into in July 2016, is used to hedge exposure to changes in the British pound sterling U.S. dollar exchange rate underlying its unconsolidated equity investment in the Goodman UK JV and its wholly-owned property in Coventry, UK until its disposition in December 2016, both of which have British pounds sterling as their functional currency. At March 31, 2017 , the non-derivative net investment hedge value is reported at carrying value as a net liability of $66,759 , which is included in the balance of the senior unsecured revolving credit facility on the Condensed Consolidated Balance Sheets. During the three months ended March 31, 2017 and 2016, the Company recorded a net loss of $923 and $1,036 , respectively, in other comprehensive income (loss) from the impact of exchange rates related to the non-derivative net investment hedges. When the non-derivative net investments being hedged are sold or substantially liquidated, the balance of the translation adjustment accumulated in other comprehensive income will be reclassified into earnings. |
Shareholders' Equity (Deficit)
Shareholders' Equity (Deficit) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Shareholders' Equity (Deficit) | Shareholders’ Equity (Deficit) As of March 31, 2017 and December 31, 2016, the Company's authorized capital shares consists of 500,000,000 shares of beneficial interest, $0.01 par value per share, of which the Company is authorized to issue up to 490,000,000 common shares of beneficial interest, $0.01 par value per share, or common shares, and 10,000,000 preferred shares of beneficial interest, $0.01 par value per share, or preferred shares. As of March 31, 2017 , 141,522,527 common shares and 3,500,000 preferred shares were issued and outstanding. In December 2016, the Company's board of trustees approved a 1-for-3 reverse share split of its common shares and outstanding OP Units. The reverse share split was effective after the close of trading on December 30, 2016 and the Company's common shares began trading on a reverse-split-adjusted basis on the NYSE on January 3, 2017. In February 2017, the Company’s board of trustees authorized and the Company declared a dividend of $0.375 per common share for the first quarter of 2017, which was paid on April 14, 2017 to holders of record as of March 31, 2017. Dividend Reinvestment Plan In June 2016, the Company adopted a dividend reinvestment plan, or DRIP, under which shareholders may use their dividends and optional cash payments to purchase additional common shares of the Company. In August 2016, the Company registered 3,333,333 common shares related to the DRIP. During the three months ended March 31, 2017 , 2,976 shares were issued under the DRIP and as of March 31, 2017 there were 3,329,660 shares available for issuance under the DRIP. Share Repurchase Program In February 2016, the Company’s board of trustees approved a share repurchase program authorizing the Company to repurchase up to $100,000 of the Company’s outstanding common shares. As of March 31, 2017 , the Company had not repurchased any shares under the share repurchase program. At-The-Market Equity Offering Program In July 2016, the Company’s board of trustees approved the establishment of an “at the market” equity issuance program, or ATM Program, pursuant to which the Company may offer and sell common shares with an aggregate gross sales price of up to $375,000 . During the three months ended March 31, 2017 , the Company sold 731,453 common shares through the ATM Program for net proceeds of $19,700 . Preferred Shares Holders of the Company's 7.125% Series A Preferred Shares, or Series A Preferred Shares, are entitled to receive annual dividends of $1.78125 per share on a quarterly basis and dividends are cumulative, subject to certain provisions. On or after August 15, 2019, the Company can, at its option, redeem the Series A Preferred Shares at par for cash. At March 31, 2017 , the Company had 3,500,000 of its Series A Preferred Shares outstanding with a mandatory liquidation preference of $25.00 per share. Equity Incentive Plans In June 2016, the Company instituted its 2016 Equity Incentive Plan, which was approved by the Company’s board of trustees and shareholders. As of March 31, 2017 , there were 3,343,365 shares available for grant under the 2016 Equity Incentive Plan. The Company accounts for share-based compensation awards using fair value recognition provisions and assumes an estimated forfeiture rate which impacts the amount of compensation cost recognized over the benefit period. Through March 31, 2017 , 908,985 restricted shares had been issued under the equity incentive plans, including the 2016 Equity Incentive Plan and the Company’s previous equity incentive plans, of which 73.1% have vested. Compensation expense of $817 and $483 was recorded for the three months ended March 31, 2017 and 2016, respectively, related to the issuance of restricted shares. Compensation expense of $5,741 will be recorded over the course of the next 33 months representing the remaining weighted average vesting period of equity awards issued under the equity incentive plans as of March 31, 2017 . As of March 31, 2017 and December 31, 2016 , the Company had 334,689 and 318,807 weighted average restricted shares outstanding, respectively. Compensation expense of $1,056 and $488 was recorded for the three months ended March 31, 2017 and March 31, 2016, respectively, for the Company's Outperformance Plans. Compensation expense of $6,969 will be recorded over the course of the next 37 months , representing the remaining weighted average vesting period of the awards issued under the Outperformance Plans as of March 31, 2017 . Earnings per Share The Company presents both basic and diluted earnings per share, or EPS. Basic EPS is computed by dividing net income (loss) available to common shareholders, as adjusted for unallocated earnings attributable to certain participating securities, if any, by the weighted average number of common shares outstanding during the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common shares were exercised or converted into common shares, as long as their inclusion would not be anti-dilutive. The two-class method is an earnings allocation methodology that determines earnings per share for common shares and participating securities according to dividends declared or accumulated and participation rights in undistributed earnings. The Company has certain share-based payment awards that contain nonforfeitable rights to dividends, which are considered participating securities for the purposes of computing earnings per share pursuant to the two-class method, and therefore the Company applies the two-class method in its computation of EPS. Earnings per share for the three months ended March 31, 2017 and 2016 are computed as follows: Three Months Ended March 31, 2017 2016 Numerator – Income (loss): Net loss from continuing operations $ (8,072 ) $ (5,693 ) Net income (loss) from discontinued operations (24 ) 4,640 Loss before net gain on disposals (8,096 ) (1,053 ) Net gain on disposals 17,377 — Net income (loss) 9,281 (1,053 ) Less: Net (income) loss attributable to noncontrolling interest (154 ) 120 Less: Nonforfeitable dividends allocated to participating shareholders (276 ) (199 ) Less: Preferred share dividends (1,559 ) (1,559 ) Net income (loss) available to common shares outstanding $ 7,292 $ (2,691 ) Denominator – Weighted average shares 1 : Weighted average basic shares outstanding 140,907,399 140,060,405 Effect of dilutive securities: Unvested non-participating share based payment awards 71,848 — Options 15,576 — Exchangeable Senior Notes 880,796 — Weighted average diluted shares outstanding 141,875,619 140,060,405 1. Share and per share amounts have been adjusted for the 1-for-3 reverse share split completed on December 30, 2016. The Company’s options and other share-based payment awards used in the computation of EPS were calculated using the treasury share method. The Company only includes the effect of the excess conversion premium in the calculation of Diluted EPS, as the Company has the intent and ability to settle the debt component of the Exchangeable Senior Notes in cash and the excess conversion premium in shares. For the three months ended March 31, 2016, 961,155 unvested share based payment awards, 5,445 share options, and 458,101 common shares related to outside interests in the Operating Partnership were computed using the treasury share method, which due to the net loss from continuing operations excluding amounts attributable to noncontrolling interest and adjusted for preferred dividends declared during the period were anti-dilutive and excluded from Diluted EPS. The weighted average price of the Company’s common shares during the three months ended March 31, 2016 was below the exchange price of the Exchangeable Senior Notes for the period, thus there was no potential dilutive effect of the excess conversion premium and no effect was included in the calculation of Diluted EPS for the three months ended March 31, 2016. For the three months ended ended March 31, 2016, the Company excluded unvested restricted share awards of 259,976 from its weighted average basic shares outstanding due to the net loss from continuing operations excluding amounts attributable to noncontrolling interest and adjusted for preferred dividends declared during the period. For the three months ended March 31, 2017, the net income attributable to the outside interests in the Operating Partnership has been excluded from the numerator and 620,586 of weighted average shares related to the outside interests in the Operating Partnership has been excluded from the denominator for the purpose of calculating Diluted EPS as there would have been no effect had such amounts been included. Refer to Note 13 for more information on the outside interests in the Operating Partnership. Accumulated other comprehensive income (loss) Accumulated other comprehensive income (loss) as of March 31, 2017 and December 31, 2016 is comprised of the following: March 31, 2017 December 31, 2016 Net unrealized gain (loss) on derivative securities $ 3,938 $ (440 ) Net unrealized gain on debt instruments 879 3,699 Foreign currency translation adjustments: Gain on non-derivative net investment hedges 1 4,245 5,168 Write-off on non-derivative net investment hedge (652 ) (652 ) Other foreign currency translation adjustments (9,638 ) (11,252 ) Reclassification of accumulated foreign currency translation adjustments due to disposal (3,737 ) (3,737 ) Disposition of European investment 1,944 1,944 Reclassification of swap gain into interest expense 1,410 1,142 Total accumulated other comprehensive loss $ (1,611 ) $ (4,128 ) 1. The foreign currency translation adjustment associated with the Company’s non-derivative net investment hedges related to its European investments are included in other comprehensive income (loss). |
Noncontrolling Interest
Noncontrolling Interest | 3 Months Ended |
Mar. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest | Noncontrolling Interest Noncontrolling interests represent the outside equity interests in the Company’s Operating Partnership as well as third-party equity interests in the Company’s other consolidated subsidiaries. Outside equity interests in Operating Partnership The outside equity interests in the Company’s Operating Partnership include common units of limited partnership interest in the Operating Partnership, or OP Units, and the earned and vested portion of limited partnership interests in the Operating Partnership granted by the Company pursuant to its share-based compensation plans, or LTIP Units, which are convertible on a one-for-one basis into OP Units. The aggregate outstanding noncontrolling interest in the Operating Partnership as of March 31, 2017 represented an interest of approximately 0.40% in the Company. The Company attributes a portion of its net income (loss) during each reporting period to noncontrolling interest based on the weighted average percentage ownership of both OP Unit holders and earned and vested LTIP Unit holders relative to the sum of the Company’s total outstanding common shares, OP Units, and earned and vested LTIP Units. OP Units As of March 31, 2017 , 233,023 OP Units were outstanding, which can be redeemed for 233,023 of the Company's shares. During the three months ended March 31, 2017 and the year ended December 31, 2016, 80,816 and 156,452 OP Units, respectively, were converted on a one-for-one basis into common shares of the Company. At March 31, 2017 , 233,023 common shares of the Company were reserved for issuance upon redemption of units of limited partnership interest of the Company's Operating Partnership. OP Units are recorded at the greater of cost basis or fair market value based on the closing share price of the Company’s common shares at the end of the reporting period. As of March 31, 2017 , the value of the OP units was $6,129 . LTIP Units As of March 31, 2017 , noncontrolling interest owners held 329,759 earned and vested LTIP Units, which, upon conversion into OP Units, can be redeemed for 329,759 of the Company’s common shares. During the three months ended March 31, 2017 and year ended December 31, 2016, there were no earned and vested LTIP Units converted into OP Units or redeemed for common shares of the Company. At March 31, 2017 , 329,759 common shares of the Company were reserved for issuance upon conversion of the earned and vested LTIP Units into OP Units and their subsequent redemption for common shares. Below is the rollforward of the activity relating to the noncontrolling interests in the Operating Partnership as of March 31, 2017 : Noncontrolling Interest Balance at January 1, 2017 $ 8,643 Redemption of noncontrolling interests in the Operating Partnership (2,164 ) Net income attribution 34 Fair value adjustments (296 ) Dividends (88 ) Balance at March 31, 2017 $ 6,129 Interests in Other Operating Partnerships In connection with the Company’s December 2014 investment in the Gramercy European Property Fund, the Company acquired a 50.0% equity interest in European Fund Manager, which provides investment and asset management services to the Gramercy European Property Fund. European Fund Manager is a consolidated VIE of the Company and is consolidated into its Condensed Consolidated Financial Statements. Refer to Note 2 for further discussion of the VIE and consolidation considerations. As of March 31, 2017 and December 31, 2016 , the value of the Company’s interest in European Fund Manager was $(205) and $(321) , respectively. The Company’s interest in European Fund Manager is presented in the equity section of its Condensed Consolidated Balance Sheets. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Funding Commitments During the three months ended March 31, 2017, construction was completed on our build-to-suit property in Round Rock, Texas, which we acquired upon completion in March 2017 for $29,605 . The Company is obligated to fund the development of one build-to-suit industrial property as of March 31, 2017, which is located in Summerville, South Carolina and projected to have 240,800 rentable square feet upon completion. The Company’s remaining future commitment for this property as of March 31, 2017 is approximately $24,382 . As of March 31, 2017 and December 31, 2016 , the Company has made cumulative contributions to the Gramercy European Property Fund of $55,892 ( €50,000 ). As of March 31, 2017, the Company’s remaining commitment to the Gramercy European Property Fund is $13,315 ( €12,500 ). Foreign currency commitments have been converted into U.S. dollars based on (i) the foreign exchange rate at the closing date for completed transactions and (ii) the exchange rate that prevailed on March 31, 2017 , in the case of unfunded commitments. The Company has committed to fund $100,000 to Strategic Office Partners, of which $18,677 and $16,027 was funded as of March 31, 2017 and December 31, 2016, respectively. See Note 5 for further information on the Gramercy European Property Fund and Strategic Office Partners. Legal Proceedings The Company evaluates litigation contingencies based on information currently available, including the advice of counsel and the assessment of available insurance coverage. The Company will establish accruals for litigation and claims when a loss contingency is considered probable and the related amount is reasonably estimable. The Company will periodically review these contingencies which may be adjusted if circumstances change. The outcome of a litigation matter and the amount or range of potential losses at particular points may be difficult to ascertain. If a range of loss is estimated and an amount within such range appears to be a better estimate than any other amount within that range, then that amount is accrued. Legacy Gramercy, its board of directors, and Chambers were named as defendants in various putative class action lawsuits brought by purported Legacy Gramercy stockholders challenging the Merger. The lawsuits were consolidated into a New York state court action, or the New York Action, and a Maryland state court action, or the Maryland Action. On March 1, 2017, the court entered a Final Order and Judgment approving the settlement, awarding plaintiffs’ attorney fees and expenses, and dismissing the New York Action with prejudice. On March 22, 2017, pursuant to the stipulation of settlement, plaintiffs in the Maryland Action filed a notice of dismissal with prejudice with the Circuit Court for Baltimore County, Maryland, which the court entered on April 11, 2017. In connection with the Company’s property acquisitions and the Merger, the Company has determined that there is a risk it will have to pay future amounts to tenants related to continuing operating expense reimbursement audits. In 2017, the Company settled the majority of its operating expense reimbursement audits and paid $3,500 pursuant to the settlement in February 2017. As of March 31, 2017, the Company has estimated a range of loss of $0 to $360 and determined that its best estimate of total loss is $360 , which is related to the Merger and has been accrued and recorded in other liabilities as of March 31, 2017 and December 31, 2016 . In addition, the Company and/or one or more of its subsidiaries is party to various litigation matters that are considered routine litigation incidental to its business, none of which are considered material. Office Leases The Company has several office locations, which are each subject to operating lease agreements. These office locations include the Company’s corporate office at 90 Park Avenue, New York, New York, and the Company’s seven regional offices located across the United States and Europe. Capital and Operating Ground Leases Certain properties acquired are subject to ground leases, which are accounted for as operating and capital leases, as applicable. The ground leases have varying ending dates, renewal options and rental rate escalations, with the latest lease extending to June 2053 . Future minimum rental payments to be made by the Company under these non-cancelable ground leases, excluding increases resulting from increases in the consumer price index, are as follows: Ground Leases - Operating Ground Leases - Capital Total April 1 to December 31, 2017 $ 1,685 $ — $ 1,685 2018 2,262 1 2,263 2019 2,271 — 2,271 2020 2,263 — 2,263 2021 2,231 — 2,231 Thereafter 61,857 329 62,186 Total minimum rent expense $ 72,569 $ 330 $ 72,899 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company has elected to be taxed as a REIT, under Sections 856 through 860 of the Internal Revenue Code beginning with its taxable year ended December 31, 2004. To qualify as a REIT, the Company must meet certain organizational and operational requirements, including a requirement to distribute annually at least 90.0% of its ordinary taxable income to its shareholders. As a REIT, the Company generally will not be subject to U.S. federal income tax on taxable income that it distributes to its shareholders. The Company’s TRSs are subject to federal, state and local taxes. The asset management agreement with KBS has been terminated effective in the first quarter of 2017, therefore the activity in the Company’s TRS will be immaterial going forward. Consequently, the tax expense from our TRSs for the three months ended March 31, 2017 is immaterial. Prior to 2017, income taxes, primarily related to the Company’s TRSs, were accounted for under the asset and liability method. Deferred tax assets and liabilities were recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities recorded in accordance with GAAP and their respective tax basis and operating loss carryforwards. Deferred tax assets and liabilities were measured using enacted tax rates in effect for the year in which those temporary differences were expected to be recovered or settled. A valuation allowance was provided if the Company believed it was more likely than not that all or a portion of a deferred tax asset would not be realized. Any increase or decrease in a valuation allowance was included in the tax provision when such a change occurs. The Company recorded $(196) and $703 of income tax expense for the three months ended March 31, 2017 and 2016, respectively. The Company’s policy for interest and penalties, if any, on material uncertain tax positions recognized in the financial statements is to classify these as interest expense and operating expense, respectively. As of March 31, 2017 and December 31, 2016, the Company did not incur any material interest or penalties. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting As of March 31, 2017 , the Company has determined that it has two reportable operating segments: Asset Management and Investments/Corporate. The reportable segments are determined based upon the management approach, which looks to the Company’s internal organizational structure. The Company’s lines of business require different support infrastructures. All significant inter-segment balances and transactions have been eliminated. The Asset Management segment includes substantially all of the Company’s activities related to asset and property management of commercial properties located throughout the United States and Europe. The Asset Management segment generates revenues from fee income related to the management agreements for properties owned by third parties throughout the United States and Europe. The Investments/Corporate segment includes all of the Company’s activities related to the investment and ownership of commercial properties located throughout the United States and Europe. The Investments/Corporate segment generates revenues from rental revenues from properties owned by the Company, either directly or in unconsolidated equity investments. The Company evaluates performance based on the following financial measures for each segment: Asset Management Investments / Corporate Total Company Three Months Ended March 31, 2017 Total revenues $ 4,584 $ 125,410 $ 129,994 Equity in net loss from unconsolidated equity investments — (94 ) (94 ) Total operating and interest expense 1 (1,603 ) (118,696 ) (120,299 ) Other expenses (41 ) (17,632 ) (17,673 ) Net income (loss) from continuing operations $ 2,940 $ (11,012 ) $ (8,072 ) Asset Management Investments / Corporate Total Company Three Months Ended March 31, 2016 Total revenues $ 5,151 $ 115,394 $ 120,545 Equity in net loss from unconsolidated equity investments — (2,755 ) (2,755 ) Total operating and interest expense 1 (5,075 ) (111,948 ) (117,023 ) Other expenses (384 ) (6,076 ) (6,460 ) Net loss from continuing operations $ (308 ) $ (5,385 ) $ (5,693 ) Asset Management Investments / Corporate Total Company Total Assets: March 31, 2017 $ 14,191 $ 5,592,669 $ 5,606,860 December 31, 2016 $ 21,004 $ 5,582,523 $ 5,603,527 1. Total operating and interest expense includes operating costs on commercial property assets for the Investments/Corporate segment and costs to perform required functions under the management agreement for the Asset Management segment. Depreciation and amortization of $62,217 and $58,248 and provision for taxes of $196 and $(703) for the three months ended March 31, 2017 and 2016 , respectively, are included in the amounts presented above. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Mar. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information The following table represents supplemental cash flow disclosures for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, 2017 2016 Supplemental cash flow disclosures: Interest paid $ 17,447 $ 20,638 Income taxes paid $ 71 $ 322 Proceeds from 1031 exchanges from sales of real estate $ 23,219 $ 175,808 Use of funds from 1031 exchanges for acquisitions of real estate $ (23,218 ) $ (30,308 ) Non-cash activity: Fair value adjustment to noncontrolling interest in the Operating Partnership $ (296 ) $ 1,207 Debt assumed in acquisition of real estate $ 3,680 $ — Debt transferred in disposition of real estate $ (10,456 ) $ (101,432 ) Non-cash acquisition of consolidated VIE $ 24,930 $ — Dividend reinvestment plan proceeds $ 81 $ — Redemption of units of noncontrolling interest in the Operating Partnership for common shares $ (2,164 ) $ (524 ) |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events In April 2017, the Company closed on the acquisition of two industrial properties which comprise an aggregate 787,074 rentable square feet and are 100.0% occupied for an aggregate purchase price of $51,500 and also closed on the acquisition of a land parcel for $1,000 , on which it has committed to construct an industrial facility for an estimated $25,805 , with projected completion in October 2017. In April 2017, the Company closed on the disposition of three office properties which comprised an aggregate 208,336 rentable square feet for gross proceeds of $47,030 . On April 26, 2017, the Company completed an underwritten public offering of 10,350,000 common shares, which includes the exercise in full by the underwriters of their option to purchase 1,350,000 additional common shares. The common shares were issued at a public offering price of $27.60 per share and the net proceeds from the offering were approximately $274,234 . In April 2017, the Company entered into an agreement to sell its 14.2% interest in the Gramercy European Property Fund and its 5.1% interest in the Goodman Europe JV. The transaction is expected to close in the third quarter of 2017; however, there can be no assurances that the transaction will close at all or the amount and timing of the transaction. In May 2017, the Company declared a second quarter 2017 common dividend of $0.375 per share, payable on July 14, 2017 to shareholders of record as of June 30, 2017. In May 2017, the Company also declared a second quarter 2017 dividend on its 7.125% Series A Preferred Shares in the amount of $0.44531 per share, payable on June 30, 2017 to preferred shareholders of record as of the close of business on June 20, 2017. |
Significant Accounting Polici25
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Reclassifications | Reclassifications Certain prior year balances have been reclassified to conform with the current year presentation. These reclassifications had no effect on the previously reported net income (loss). On the Condensed Consolidated Statements of Operations, the Company reclassified investment income of $443 for the three months ended March 31, 2016 into other income. |
Principles of Consolidation | Principles of Consolidation The Condensed Consolidated Financial Statements include the Company’s accounts and those of the Company’s subsidiaries which are wholly-owned or controlled by the Company, or entities which are VIEs in which the Company is the primary beneficiary. The primary beneficiary is the party that absorbs a majority of the VIE’s anticipated losses and/or a majority of the expected returns. The Company has evaluated its investments for potential classification as variable interests by evaluating the sufficiency of each entity’s equity investment at risk to absorb losses. Entities which the Company does not control and are considered VIEs, but where the Company is not the primary beneficiary, are accounted for under the equity method. All significant intercompany balances and transactions have been eliminated. The equity interests of other limited partners in the Company’s Operating Partnership are reflected as noncontrolling interests. |
Real Estate Investments | Real Estate Investments Real Estate Acquisitions In January 2017, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2017-01, Amendments to Business Combinations, which clarifies the framework for determining whether an integrated set of assets and activities meets the definition of a business. The revised framework narrows the definition of a business, which is expected to result in fewer transactions being accounted for as business combinations. Acquisitions of integrated sets of assets and activities that do not meet the definition of a business are accounted for as asset acquisitions. Although the Company is not required to implement ASU 2017-01 until annual periods beginning after December 15, 2017, including interim periods within those periods, the Company early adopted the new standard in the first quarter of 2017. As a result, the Company evaluated its real estate acquisitions during the first quarter of 2017 under the new framework and determined the properties acquired did not meet the definition of a business, thus the transactions were accounted for as asset acquisitions. Refer to the "Recently Issued Accounting Pronouncements" section below for more information on the new guidance and refer to Note 4 for more information on the transactions during the first quarter of 2017. The Company evaluates its acquisitions of real estate, including equity interests in entities that predominantly hold real estate assets, to determine if the acquired assets meet the definition of a business and need to be accounted for as a business combination, or alternatively, should be accounted for as an asset acquisition. An integrated set of assets and activities acquired does not meet the definition of a business if either (i) substantially all the fair value of the gross assets acquired is concentrated in either a single identifiable asset or a group of similar identifiable assets, or (ii) the asset and activities acquired do not contain at least an input and a substantive process that together significantly contribute to the ability to create outputs. The Company expects that its acquisitions of real estate will continue to not meet the revised definition of a business. Acquisitions of real estate that do not meet the definition of a business, including sale-leaseback transactions that have newly-originated leases and real estate investments under construction, or build-to-suit investments, are recorded as asset acquisitions. The accounting for asset acquisitions is similar to the accounting for business combinations, except that the acquisition consideration, including acquisition costs, is allocated to the individual assets acquired and liabilities assumed on a relative fair value basis. Based on this allocation methodology, asset acquisitions do not result in the recognition of goodwill or a bargain purchase. Additionally, for build-to-suit investments in which the Company may engage a developer to construct a property or provide funds to a tenant to develop a property, the Company capitalizes the funds provided to the developer/tenant and real estate taxes, if applicable, during the construction period. To determine the fair value of assets acquired and liabilities assumed in an acquisition, which generally include land, building, improvements, and intangibles, such as the value of above- and below-market leases and origination costs associated with the in-place leases at the acquisition date, the Company utilizes various estimates, processes and information to determine the as-if-vacant property value. Estimates of value are made using customary methods, including data from appraisals, comparable sales, and discounted cash flow analyses. Estimates of future cash flows are based on a number of factors including the historical operating results, known trends, and market/economic conditions that may affect the property. The Company assesses the fair value of leases assumed at acquisition based upon estimated cash flow projections that utilize appropriate discount rates and available market information. Refer to the policy section "Intangible Assets and Liabilities" for more information on the Company’s accounting for intangibles. Depreciation is computed using the straight-line method over the shorter of the estimated useful life at acquisition of the capitalized item or 40 years for buildings, five to ten years for building equipment and fixtures, and the lesser of the useful life or the remaining lease term for tenant improvements and leasehold interests. Maintenance and repair expenditures are charged to expense as incurred. For transactions that qualify as business combinations, the Company recognizes the assets acquired and liabilities assumed at fair value, including the value of intangible assets and liabilities, and any excess or deficit of the consideration transferred relative to the fair value of the net assets acquired is recorded as goodwill or a bargain purchase gain, as appropriate. Acquisition costs of business combinations are expensed as incurred. Capital Improvements In leasing space, the Company may provide funding to the lessee through a tenant allowance. Certain improvements are capitalized when they are determined to increase the useful life of the building. During construction of qualifying projects, the Company capitalizes project management fees as permitted to be charged under the lease, if incremental and identifiable. In accounting for tenant allowances, the Company determines whether the allowance represents funding for the construction of leasehold improvements and evaluates the ownership of such improvements. If the Company is considered the owner of the leasehold improvements, the Company capitalizes the amount of the tenant allowance and depreciates it over the shorter of the useful life of the leasehold improvements or the lease term. If the tenant allowance represents a payment for a purpose other than funding leasehold improvements, or in the event the Company is not considered the owner of the improvements for accounting purposes, the allowance is considered to be a lease incentive and is recognized over the lease term as a reduction of rental revenue. Factors considered during this evaluation usually include (i) who holds legal title to the improvements, (ii) evidentiary requirements concerning the spending of the tenant allowance, and (iii) other controlling rights provided by the lease agreement (e.g. unilateral control of the tenant space during the build-out process). Determination of the accounting for a tenant allowance is made on a case-by-case basis, considering the facts and circumstances of the individual tenant lease. Impairments The Company reviews the recoverability of a property’s carrying value when circumstances indicate a possible impairment of the value of a property, such as an adverse change in future expected occupancy or a significant decrease in the market price of an asset. The review of recoverability is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as changes in strategy resulting in an increased or decreased holding period, expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If management determines impairment exists due to the inability to recover the carrying value of a property, for properties to be held and used, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property and for assets held for sale, an impairment loss is recorded to the extent that the carrying value exceeds the fair value less estimated cost of disposal. These assessments are recorded as an impairment loss in the Condensed Consolidated Statements of Operations in the period the determination is made. The estimated fair value of the asset becomes its new cost basis. For a depreciable long-lived asset to be held and used, the new cost basis will be depreciated or amortized over the remaining useful life of that asset. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with maturities of three months or less when purchased to be cash equivalents. |
Restricted Cash | Restricted Cash The Company had restricted cash of $13,101 and $12,904 at March 31, 2017 and December 31, 2016 , respectively, which primarily consisted of reserves for certain capital improvements, leasing, interest and real estate tax and insurance payments as required by certain mortgage loan obligations. |
Variable Interest Entities, Consolidated and Unconsolidated | Consolidated VIEs Operating Partnership The Company’s Operating Partnership is a consolidated VIE because the Company is its primary beneficiary due to its majority ownership and ability to exercise control over every aspect of the Operating Partnership’s operations. The assets and liabilities of the Company and its Operating Partnership are substantially the same. Gramercy Europe Asset Management (European Fund Manager) In connection with the Company’s December 2014 investment in the Gramercy European Property Fund, the Company acquired equity interests in the entity, hereinafter European Fund Manager, which provides investment and asset management services to the Gramercy European Property Fund. The Company determined that European Fund Manager is a VIE, as the equity holders of that entity do not have controlling financial interests and do not have the obligation to absorb losses. As Gramercy Europe Asset Management, through an investment advisory agreement with the VIE, controls the activities that most significantly affect the economic outcome of European Fund Manager, the Company concluded that it is the entity’s primary beneficiary and has consolidated the VIE. The Company receives net cash inflows from European Fund Manager in the form of management fees, and if the VIE’s cash inflows are not sufficient to cover its obligations, the Company may provide financial support for the VIE. Proportion Foods In December 2015, the Company entered into a non-recourse financing arrangement with Big Proportion Austin LLC, or BIG, for a build-to-suit industrial property in Round Rock, Texas, or Proportion Foods. Concurrently, the Company entered into a forward purchase agreement with BIG, pursuant to which the Company will acquire the property, which is 100.0% leased to Proportion Foods, upon substantial completion of the facility’s development. The Company determined that Proportion Foods was a VIE, as the equity holders of the entity did not have controlling financial interests and were not obligated to absorb losses. The Company controlled the activities that most significantly affected the economic outcome of Proportion Foods through its financing arrangement to fund the property’s development and its forward purchase agreement with BIG. As such, the Company concluded it was the entity’s primary beneficiary and consolidated the VIE. The construction of the facility on the property was completed in March 2017. The Company acquired the property upon completion in March 2017. As of March 31, 2017 , the property was wholly-owned by the Company and was no longer a consolidated VIE. Unconsolidated VIEs Gramercy Europe Asset Management (European Fund Carry Co.) In connection with the Company’s December 2014 investment in the Gramercy European Property Fund, the Company acquired equity interests in the entity, hereinafter European Fund Carry Co., entitled to receive certain preferential distributions, if any, made from time-to-time by the Gramercy European Property Fund. The Company determined that European Fund Carry Co. is a VIE, as the equity holders of that entity do not have controlling financial interests and do not have the obligation to absorb losses in excess of capital committed. Decisions that most significantly affect the economic performance of European Fund Carry Co. are decided by a majority vote of that VIE’s shareholders. As such, the Company does not have a controlling financial interest in the VIE and accounts for it as an equity investment. Investment in Retained CDO Bonds The Company has retained non-investment grade subordinate bonds, preferred shares and ordinary shares of three collateralized debt obligations, or CDOs, together the Retained CDO Bonds. The Company does not control the activities that most significantly impact the Retained CDO Bonds’ economic performance and is not obligated to provide any financial support to them, thus the Retained CDO Bonds have been determined to be unconsolidated VIEs, in which the Company’s interest is recorded at fair value within other assets on the Condensed Consolidated Balance Sheets. The Retained CDO Bonds may provide the potential for the Company to receive continuing cash flows in the future, however, there is no guarantee that the Company will realize any proceeds from the Retained CDO Bonds or what the timing of the proceeds may be. The Company’s maximum exposure to loss is limited to its interest in the Retained CDO Bonds. |
Tenant and Other Receivables | Tenant and Other Receivables Tenant and other receivables are derived from rental revenue, tenant reimbursements, and management fees. Rental revenue is recorded on a straight-line basis over the initial term of the lease. Since many leases provide for rental increases at specified intervals, straight-line basis accounting requires the Company to record a receivable, and include in revenues, unbilled rent receivables that will only be received if the tenant makes all rent payments required through the expiration of the initial term of the lease. Tenant and other receivables also include receivables related to tenant reimbursements for common area maintenance expenses and certain other recoverable expenses that are recognized as revenue in the period in which the related expenses are incurred. Tenant and other receivables are recorded net of the allowances for doubtful accounts, which as of March 31, 2017 and December 31, 2016 were $230 and $57 , respectively. The Company continually reviews receivables related to rent, tenant reimbursements, and management fees, including incentive fees, and determines collectability by taking into consideration the tenant or asset management clients’ payment history, the financial condition of the tenant or asset management client, business conditions in the industry in which the tenant or asset management client operates and economic conditions in the area in which the property or asset management client is located. In the event that the collectability of a receivable is in doubt, the Company increases the allowance for doubtful accounts or records a direct write-off of the receivable, as appropriate. Management fees, including incentive management fees, are recognized as earned in accordance with the terms of the management agreements. The management agreements may contain provisions for fees related to dispositions, administration of the assets including fees related to accounting, valuation and legal services, and management of capital improvements or projects on the underlying assets. |
Intangible Assets and Liabilities | Intangible Assets and Liabilities As discussed above in the policy section “Real Estate Acquisitions” the Company follows the acquisition method of accounting for its asset acquisitions and business combinations and thus allocates the purchase price of acquired properties to tangible and identifiable intangible assets acquired based on their respective fair values. Identifiable intangible assets include amounts allocated to acquired leases for above- and below- market lease rates and the value of in-place leases. Management also considers information obtained about each property as a result of its pre-acquisition due diligence. Above-market and below-market lease values for properties acquired are recorded based on the present value of the difference between the contractual amount to be paid pursuant to each in-place lease and management’s estimate of the fair market lease rate for each such in-place lease, measured over a period equal to the remaining non-cancelable term of the lease. The present value calculation utilizes a discount rate that reflects the risks associated with the leases acquired. The above-market and below-market lease values are amortized as a reduction of and increase to rental revenue, respectively, over the remaining non-cancelable terms of the respective leases. If a tenant terminates its lease prior to its contractual expiration and no future rental payments will be received, any unamortized balance of the market lease intangibles will be written off to rental revenue. The aggregate value of in-place leases represents the costs of leasing costs, other tenant related costs, and lost revenue that the Company did not have to incur by acquiring a property that is already occupied. Factors considered by management in its analysis of the in-place lease intangibles include an estimate of carrying costs during the expected lease-up period for each property taking into account current market conditions and costs to execute similar leases, including leasing commissions and other related expenses. In estimating carrying costs, management includes real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the anticipated lease-up period. The value of in-place leases is amortized to depreciation and amortization expense over the remaining non-cancelable term of the respective leases, but never over a term that exceeds the remaining depreciable life of the building. If a tenant terminates its lease prior to its contractual expiration and no future rental payments will be received, any unamortized balance of the in-place lease intangible will be written off to depreciation and amortization expense. Above-market and below-market ground rent intangibles are recorded for properties acquired in which the Company is the lessee pursuant to a ground lease assumed at acquisition. The above-market and below-market ground rent intangibles are valued similarly to above-market and below-market leases, except that, because the Company is the lessee as opposed to the lessor, the above-market and below-market ground lease values are amortized as a reduction of and increase to rent expense, respectively, over the remaining non-cancelable terms of the respective leases. |
Goodwill | Goodwill Goodwill represents the fair value of the collaboration expected to be achieved upon consummation of a business combination and is measured as the excess of consideration transferred over the net assets acquired at acquisition date. The Company initially recognized goodwill of $3,887 related to the acquisition of Gramercy Europe Limited, or Gramercy Europe Asset Management, which was adjusted to $3,802 in 2015 as a result of finalization of the purchase price allocation for the acquisition. The carrying value of goodwill is adjusted each reporting period for the effect of foreign currency translation adjustments. The carrying value of goodwill at March 31, 2017 and December 31, 2016 was $3,039 and $2,988 , respectively. The Company’s goodwill has an indeterminate life and is not amortized, but is tested for impairment on an annual basis, or more frequently if events or changes in circumstances indicate that the asset might be impaired. The Company takes a qualitative approach to consider whether an impairment of goodwill exists prior to quantitatively determining the fair value of the reporting unit in step one of the impairment test. |
Revenue Recognition | Revenue Recognition Real Estate Investments Rental revenue from leases on real estate investments is recognized on a straight-line basis over the term of the lease, regardless of when payments are contractually due. The excess of rental revenue recognized over the amounts contractually due according to the underlying leases are included in other liabilities on the Condensed Consolidated Balance Sheets. For leases on properties that are under construction at the time of acquisition, the Company begins recognition of rental revenue upon completion of construction of the leased asset and delivery of the leased asset to the tenant. The Company’s lease agreements with tenants also generally contain provisions that require tenants to reimburse the Company for real estate taxes, insurance costs, common area maintenance costs, and other property-related expenses. Under lease arrangements in which the Company is the primary obligor for these expenses, such amounts are recognized as both revenues and operating expenses for the Company. Under lease arrangements in which the tenant pays these expenses directly, such amounts are not included in revenues or expenses. These reimbursement amounts are recognized in the period in which the related expenses are incurred. The Company recognizes sales of real estate properties only upon closing. Payments received from purchasers prior to closing are recorded as deposits. Profit on real estate sold is recognized using the full accrual method upon closing when the collectability of the sale price is reasonably assured and the Company is not obligated to perform significant activities after the sale. Profit may be deferred in whole or part until the sale meets the requirements of profit recognition on sale of real estate. Asset Management Business The Company’s asset and property management agreements may contain provisions for fees related to dispositions, administration of the assets including fees related to accounting, valuation and legal services, and management of capital improvements or projects on the underlying assets. The Company recognizes revenue for fees pursuant to its management agreements in the period in which they are earned. Deferred revenue from management fees received prior to the date earned are included in other liabilities on the Condensed Consolidated Balance Sheets. Certain of the Company’s asset management contracts include provisions that may allow it to earn additional fees, generally described as incentive fees or profit participation interests, based on the achievement of a targeted valuation of the managed assets or the achievement of a certain internal rate of return on the managed assets. The Company recognizes incentive fees on its asset management contracts based upon the amount that would be due pursuant to the contract, if the contract were terminated at the reporting date. If the contract may be terminated at will, revenue will only be recognized to the amount that would be due pursuant to that termination. If the incentive fee is a fixed amount, only a proportionate share of revenue is recognized at the reporting date, with the remaining fees recognized on a straight-line basis over the measurement period. The values of incentive management fees are periodically evaluated by management. For the three months ended March 31, 2017 and 2016, the Company recognized incentive fees of $1,449 and $973 , respectively. Other Income Other income primarily consists of income accretion on the Company’s Retained CDO Bonds, which are measured at fair value on a quarterly basis using a discounted cash flow model, realized foreign currency exchange gains (losses), interest income, and miscellaneous property related income. |
Foreign Currency | Foreign Currency Gramercy Europe Asset Management operates an asset and property management business in the United Kingdom. The Company has unconsolidated equity investments in Europe and Asia and had two wholly-owned properties in Canada and one wholly-owned property in the United Kingdom until their dispositions in March 2017 and December 2016, respectively. The Company also has borrowings outstanding in euros and British pounds sterling under the multicurrency portion of its revolving credit facility. Refer to Note 5 for more information on the Company’s foreign unconsolidated equity investments. Foreign Currency Translation During the periods presented, the Company has had interests in Europe and Canada for which the functional currencies are the euro, the British pound sterling, and the Canadian dollar, respectively. The Company performs the translation from these foreign currencies to the U.S. dollar for assets and liabilities using the exchange rates in effect at the balance sheet date and for revenue and expense accounts using a weighted average exchange rate during the period. The Company reports the gains and losses resulting from such translation as a component of other comprehensive income (loss). For the three months ended March 31, 2017 and 2016, the Company recorded net translation gains of $691 and $6,119 , respectively. Translation gains and losses are reclassified to other income within earnings when the Company has substantially exited from all investments in the related currency. Foreign Currency Transactions A transaction gain or loss realized upon settlement of a foreign currency transaction will be included in earnings for the period in which the transaction is settled. Foreign currency intercompany transactions that are scheduled for settlement are included in the determination of net income. Intercompany foreign currency transactions of a long-term nature that do not have a planned or foreseeable future settlement date, in which the entities to the transactions are consolidated or accounted for by the equity method in the Company’s financial statements, are not included in net income but are reported as a component of other comprehensive income (loss). |
Other Assets | Other Assets The Company includes prepaid expenses, capitalized software costs, contract intangible assets, deferred costs, goodwill, derivative assets, servicing advances receivable, and Retained CDO Bonds in other assets. |
Retained CDO Bonds | Retained CDO Bonds The Retained CDO Bonds are non-investment grade subordinate bonds, preferred shares and ordinary shares of three CDOs. Management estimated the timing and amount of cash flows expected to be collected and recognized an investment in the Retained CDO Bonds equal to the net present value of these discounted cash flows. There is no guarantee that the Company will realize any proceeds from this investment, or what the timing will be for the expected remaining life of the Retained CDO Bonds. The Company considers these investments to be not of high credit quality and does not expect a full recovery of interest and principal. Therefore, the Company has suspended interest income accruals on these investments. The Company classifies the Retained CDO Bonds as available for sale. On a quarterly basis, the Company evaluates the Retained CDO Bonds to determine whether significant changes in estimated cash flows or unrealized losses on these investments, if any, reflect a decline in value which is other-than-temporary. If there is a decrease in estimated cash flows and the investment is in an unrealized loss position, the Company will record an other-than-temporary impairment, or OTTI, in the Condensed Consolidated Statements of Operations. To determine the component of the OTTI related to expected credit losses, the Company compares the amortized cost basis of the Retained CDO Bonds to the present value of the revised expected cash flows, discounted using the pre-impairment effective yield. Conversely, if the security is in an unrealized gain position and there is a decrease or significant increase in expected cash flows, the Company will prospectively adjust the yield using the effective yield method. Refer to Note 9 for further discussion regarding the fair value measurement of the Retained CDO Bonds. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash investments, debt investments and accounts receivable. The Company places its cash investments in excess of insured amounts with high quality financial institutions. Concentrations of credit risk also arise when a number of the Company’s tenants or asset management clients are engaged in similar business activities or are subject to similar economic risks or conditions that could cause their inability to meet contractual obligations to the Company. The Company regularly monitors its portfolio to assess potential concentrations of credit risk. Management believes the current credit risk portfolio is reasonably well diversified. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with Generally Accepted Accounting Principles, or GAAP, requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers, which is a comprehensive new revenue recognition model requiring a company to recognize revenue to depict the transfer of goods or services to customers in an amount reflecting the consideration it expects to receive in exchange for those goods or services. The guidance also requires enhanced disclosures related to the nature, amount, timing, and uncertainty of revenue that is recognized. In April 2016, the FASB issued ASU 2016-10, which amends the new revenue recognition guidance on identifying performance obligations. In February 2017, the FASB issued ASU 2017-05, which clarifies the scope of gains and losses from the derecognition of nonfinancial assets and provides guidance for the partial sales of nonfinancial assets in context of the new revenue standard. The new revenue recognition guidance is effective for the first interim period within annual reporting periods beginning after December 15, 2017, with early adoption permitted for the first interim period within annual reporting periods beginning after December 15, 2016. Companies may use either a full retrospective or a modified retrospective approach to adopt the new guidance. A substantial portion of the Company’s revenue consists of rental revenue from leasing arrangements, which is specifically excluded from the new revenue guidance, however the Company also generates revenue from operating expense reimbursements, management fees, and gains and impairments on disposals, which will be impacted by the new revenue standard. The Company is continuing to analyze the impact of the new revenue guidance on its recognition and disclosure of these streams of revenue. The Company currently expects to adopt the standard in the first quarter of 2018 using the modified retrospective approach. I n February 2016, the FASB issued ASU 2016-02, Leases, which amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets and making targeted changes to lessor accounting. The update will be effective beginning in the first quarter of 2019 and early adoption is permitted. The new standard requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. The Company’s accounting for leases in which it is a lessor, which represents most of its leasing arrangements, will be largely unchanged under ASU 2016-02, however the Company is a lessee in several operating and ground leases and the accounting for these arrangements is more significantly impacted by the new standard. Pursuant to the new guidance, lessees are required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. The Company is continuing to evaluate the impact of adopting the new leases standard on its Condensed Consolidated Financial Statements. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation: Improvements to Employee Share-Based Payment Accounting. The update serves to simplify the accounting for share-based payment award transactions, including income tax consequences, classification of awards as either equity or liabilities, and classification of awards on the statement of cash flows. The guidance in the ASU is effective for fiscal years beginning after December 15, 2016. The Company adopted the new guidance in the first quarter of 2017. The adoption of this guidance did not have a material impact on the Company’s Condensed Consolidated Financial Statements. In January 2017, the FASB issued ASU 2017-01, Amendments to Business Combinations, which amends the current guidance to clarify the definition of a business in order to assist entities in evaluating whether transactions should be accounted for as acquisitions or disposals of assets or businesses. The guidance is effective for annual and interim periods beginning after December 15, 2017, with early adoption permitted under certain circumstances. The amendments must be applied prospectively as of the beginning of the period of adoption. The Company elected to early adopt ASU 2017-01 in the first quarter of 2017, as described in the “Real Estate Acquisitions” section above. |
Significant Accounting Polici26
Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of Variable Interest Entities | The following is a summary of the Company’s involvement with VIEs as of March 31, 2017 : Company carrying value-assets Company carrying value-liabilities Face value of assets held by the VIEs Face value of liabilities issued by the VIEs Consolidated VIEs: Operating Partnership $ 5,606,860 $ 2,867,691 $ 5,606,860 $ 2,867,691 Gramercy Europe Asset Management (European Fund Manager) $ 1,062 $ 9 $ 1,062 $ 1,473 Unconsolidated VIEs: Gramercy Europe Asset Management (European Fund Carry Co.) $ 7 $ — $ 28 $ — Retained CDO Bonds $ 4,828 $ — $ 446,451 $ 577,169 The following is a summary of the Company’s involvement with VIEs as of December 31, 2016 : Company carrying value-assets Company carrying value-liabilities Face value of assets held by the VIEs Face value of liabilities issued by the VIEs Consolidated VIEs: Operating Partnership $ 5,603,527 $ 2,842,493 $ 5,603,527 $ 2,842,493 Proportion Foods $ 22,836 $ 3,041 $ 22,836 $ 23,514 Gramercy Europe Asset Management (European Fund Manager) $ 1,100 $ 47 $ 1,100 $ 1,742 Unconsolidated VIEs: Gramercy Europe Asset Management (European Fund Carry Co.) $ 8 $ — $ 31 $ — Retained CDO Bonds $ 11,906 $ — $ 391,990 $ 592,414 |
Schedule of Intangible Assets and Acquired Lease Obligations | Intangible assets and liabilities consist of the following: March 31, 2017 December 31, 2016 Intangible assets: In-place leases, net of accumulated amortization of $137,416 and $117,717 $ 536,913 $ 553,924 Above-market leases, net of accumulated amortization of $17,325 and $15,719 56,198 59,647 Below-market ground rent, net of accumulated amortization of $306 and $274 5,078 5,109 Amounts related to assets held for sale, net of accumulated amortization of $294 and $0 (1,378 ) — Total intangible assets $ 596,811 $ 618,680 Intangible liabilities: Below-market leases, net of accumulated amortization of $28,485 and $26,168 $ 212,415 $ 223,110 Above-market ground rent, net of accumulated amortization of $302 and $248 7,000 7,073 Amounts related to liabilities of assets held for sale, net of accumulated amortization of $437 and $0 (3,014 ) — Total intangible liabilities $ 216,401 $ 230,183 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The following table provides the weighted-average amortization period as of March 31, 2017 for intangible assets and liabilities and the projected amortization expense for the next five years. Weighted-Average Amortization Period April 1 to December 31, 2017 2018 2019 2020 2021 In-place leases 9.7 $ 68,372 $ 83,678 $ 70,384 $ 58,007 $ 50,453 Total to be included in depreciation and amortization expense $ 68,372 $ 83,678 $ 70,384 $ 58,007 $ 50,453 Above-market lease assets 7.3 $ 8,236 $ 10,510 $ 9,340 $ 7,224 $ 6,012 Below-market lease liabilities 19.2 (9,844 ) (12,763 ) (12,414 ) (12,120 ) (11,984 ) Total to be included in rental revenue $ (1,608 ) $ (2,253 ) $ (3,074 ) $ (4,896 ) $ (5,972 ) Below-market ground rent 41.1 $ 95 $ 127 $ 127 $ 127 $ 127 Above-market ground rent 33.0 (161 ) (214 ) (214 ) (214 ) (214 ) Total to be included in property operating expense $ (66 ) $ (87 ) $ (87 ) $ (87 ) $ (87 ) |
Schedule of Retained Collateralized Debt Obligation Bonds | A summary of the Company’s Retained CDO Bonds as of March 31, 2017 is as follows: Number of Securities Face Value Amortized Cost Gross Unrealized Gain Other-than-temporary impairment Fair Value Weighted Average Expected Life 9 $ 387,304 $ 8,839 $ 879 $ (4,890 ) $ 4,828 1.8 |
Other Than Temporary Impairment Credit Losses Recognized in Earnings | The following table summarizes the activity related to credit losses on the Retained CDO Bonds for the three months ended March 31, 2017 and for the year ended December 31, 2016 : 2017 2016 Balance as of January 1, 2017 and 2016, respectively, of credit losses on Retained CDO Bonds for which a portion of an OTTI was recognized in other comprehensive income (loss) $ (491 ) $ 3,196 Additions to credit losses: On Retained CDO Bonds for which an OTTI was not previously recognized — — On Retained CDO Bonds for which an OTTI was previously recognized and a portion of an OTTI was recognized in other comprehensive income (loss) (4,890 ) — On Retained CDO Bonds for which an OTTI was previously recognized without any portion of OTTI recognized in other comprehensive income (loss) — — Reduction for credit losses: — — On Retained CDO Bonds for which no OTTI was recognized in other — — On Retained CDO Bonds sold during the period — — On Retained CDO Bonds charged off during the period — — For increases in cash flows expected to be collected that are recognized over the remaining life of the Retained CDO Bonds — (3,687 ) Balance as of March 31, 2017 and December 31, 2016, respectively, of credit of losses on Retained CDO Bonds for which a portion of an OTTI was recognized in other comprehensive income (loss) $ (5,381 ) $ (491 ) |
Dispositions, Assets Held for27
Dispositions, Assets Held for Sale, and Discontinued Operations (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary of Disposal Groups and Discontinued Operations | The following table summarizes the assets held for sale and liabilities related to the assets held for sale as of March 31, 2017 : Assets held for sale March 31, 2017 Real estate investments $ 7,538 Acquired lease assets 1,378 Other assets 46 Total assets $ 8,962 Liabilities related to assets held for sale Below-market lease liabilities 3,014 Other liabilities 114 Total liabilities $ 3,128 Net assets held for sale $ 5,834 |
Schedule Of Operating Results Of Assets Held For Sale Including In Discontinued Operations | The following operating results for the three months ended March 31, 2017 and 2016 are included in discontinued operations for all periods presented: Three Months Ended March 31, 2017 2016 Revenues $ (6 ) $ 5,857 Operating expenses 6 (2,180 ) General and administrative expense (24 ) (12 ) Interest expense — (955 ) Gain on extinguishment of debt — 1,930 Net income (loss) from discontinued operations $ (24 ) $ 4,640 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Schedule of Supplemental Cash Flow Activities | The following table represents supplemental cash flow disclosures for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, 2017 2016 Supplemental cash flow disclosures: Interest paid $ 17,447 $ 20,638 Income taxes paid $ 71 $ 322 Proceeds from 1031 exchanges from sales of real estate $ 23,219 $ 175,808 Use of funds from 1031 exchanges for acquisitions of real estate $ (23,218 ) $ (30,308 ) Non-cash activity: Fair value adjustment to noncontrolling interest in the Operating Partnership $ (296 ) $ 1,207 Debt assumed in acquisition of real estate $ 3,680 $ — Debt transferred in disposition of real estate $ (10,456 ) $ (101,432 ) Non-cash acquisition of consolidated VIE $ 24,930 $ — Dividend reinvestment plan proceeds $ 81 $ — Redemption of units of noncontrolling interest in the Operating Partnership for common shares $ (2,164 ) $ (524 ) |
Discontinued Operations [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Schedule of Supplemental Cash Flow Activities | The table below presents additional relevant information pertaining to results of discontinued operations for the three months ended March 31, 2017 and 2016, including depreciation, amortization, capital expenditures, and significant operating and investing noncash items: Three Months Ended March 31, 2017 2016 Significant operating noncash items $ — $ (9,455 ) Increase in cash and cash equivalents related to foreign currency translation — 275 Total $ — $ (9,180 ) |
Real Estate Investments (Tables
Real Estate Investments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Real Estate [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The aggregate changes recorded from the preliminary purchase price allocations to the finalized purchase price allocations, are shown in the table below: Preliminary Allocations recorded Finalized Allocations recorded Period Finalized No. of Acquisitions Real Estate Assets Intangible Assets Intangible Liabilities Real Estate Assets Intangible Assets Intangible Liabilities Decrease to Rental Revenue Increase to Depreciation and Amortization Expense Three Months Ended March 31, 2017 21 $ 513,424 $ 61,178 $ 11,093 $ 513,087 $ 60,627 $ 10,205 $ 27 $ 16 |
Unconsolidated Equity Investm29
Unconsolidated Equity Investments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Equity Method Investments | As of March 31, 2017 and December 31, 2016 , the Company owned properties through unconsolidated equity investments and had investment interests in these unconsolidated entities as follows: As of March 31, 2017 As of December 31, 2016 Investment Ownership % Voting Interest % Partner Investment in Unconsolidated Equity Investment 1 No. of Properties Investment in Unconsolidated Equity Investment 1 No. of Properties Gramercy European Property Fund 2 14.2 % 14.2 % Various $ 51,524 27 $ 50,367 26 Goodman Europe JV 3 5.1 % 5.1 % Gramercy European Property Fund 3,269 8 3,491 8 Strategic Office Partners 25.0 % 25.0 % TPG Real Estate 18,444 7 15,872 6 Goodman UK JV 80.0 % 50.0 % Goodman Group 25,336 2 25,309 2 CBRE Strategic Partners Asia 5.07 % 5.07 % Various 3,999 2 4,145 2 Philips JV 25.0 % 25.0 % Various — 1 — 1 Morristown JV 50.0 % 50.0 % 21 South Street 2,615 1 2,623 1 Total $ 105,187 48 $ 101,807 46 1. The amounts presented include basis differences of $2,279 and $3,918 , net of accumulated amortization, for the Goodman Europe JV and Goodman UK JV, respectively, as of March 31, 2017 . The amounts presented include basis differences of $2,286 and $3,941 , net of accumulated amortization, for the Goodman Europe JV and Goodman UK JV, respectively, as of December 31, 2016. 2. Includes European Fund Carry Co., which has a carrying value of $7 and $8 for the Company’s 25.0% interest as of March 31, 2017 and December 31, 2016, respectively. 3. As of March 31, 2017 , the Company has a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest of Goodman Europe JV through its 14.2% interest in the Gramercy European Property Fund. In the table above, as of December 31, 2016, the Company’s 94.9% interest in Goodman Europe JV held through its 14.2% interest in the Gramercy European Property Fund is included in the amount shown for the Gramercy European Property Fund and the Company’s 5.1% direct interest in the Goodman Europe JV is presented separately as the amount shown for the Goodman Europe JV. |
Summary Investment Holdings | The following is a summary of the Company’s unconsolidated equity investments for the three months ended March 31, 2017 : Unconsolidated Equity Investments Balance at January 1, 2017 $ 101,807 Contributions to unconsolidated equity investments 2,650 Equity in net loss of unconsolidated equity investments, including adjustments for basis differences (94 ) Other comprehensive loss of unconsolidated equity investments 1,176 Distributions from unconsolidated equity investments (352 ) Balance at March 31, 2017 $ 105,187 |
Schedule of Combined Balance Sheet for the Company's Joint Venture | The balance sheets for the Company’s unconsolidated equity investments at March 31, 2017 are as follows: Gramercy European Property Fund 1 Goodman Europe JV Gramercy European Property Fund 2 Total Strategic Office Partners Goodman UK JV CBRE Strategic Partners Asia Other 3 Assets: Real estate assets, net 4 $ 224,122 $ 480,477 $ 704,599 $ 181,655 $ 30,763 $ 85,175 $ 49,342 Other assets 27,485 94,407 121,892 46,673 2,057 11,992 3,251 Total assets $ 251,607 $ 574,884 $ 826,491 $ 228,328 $ 32,820 $ 97,167 $ 52,593 Liabilities and members’ equity: Mortgages payable $ 140,245 $ 285,499 $ 425,744 $ 142,498 $ — $ — $ 39,557 Other liabilities 2,753 20,958 23,711 9,974 957 14,314 3,445 Total liabilities 142,998 306,457 449,455 152,472 957 14,314 43,002 Gramercy Property Trust equity 11,924 42,862 54,786 18,444 25,336 3,999 2,622 Other members’ equity 96,685 225,565 322,250 57,412 6,527 78,854 6,969 Liabilities and members’ equity $ 251,607 $ 574,884 $ 826,491 $ 228,328 $ 32,820 $ 97,167 $ 52,593 1. As of March 31, 2017 , the Company has a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. In the table above, the Company’s equity interest in the Goodman Europe JV includes both its direct 5.1% interest as well as its indirect interest that is held through its 14.2% interest in the Gramercy European Property Fund, and the Company’s equity interest in the Gramercy European Property Fund represents its interest in all of the properties owned by the Gramercy European Property Fund except for the properties in the Goodman Europe JV. 2. Excludes the Gramercy European Property Fund’s 94.9% interest in the Goodman Europe JV. 3. Includes the Philips JV, the Morristown JV, and European Fund Carry Co. 4. Includes basis adjustments that were recorded by the Company to adjust the unconsolidated equity investments to fair value upon closing of the Merger. The balance sheets for the Company’s unconsolidated equity investments at December 31, 2016 are as follows: Gramercy European Property Fund 1 Goodman Europe JV Gramercy European Property Fund 2 Total Strategic Office Partners Goodman UK JV CBRE Strategic Partners Asia Other 3 Assets: Real estate assets, net 4 $ 285,087 $ 347,069 $ 632,156 $ 149,484 $ 25,128 $ 87,852 $ 49,580 Other assets 86,273 63,523 149,796 42,323 6,650 12,247 3,020 Total assets $ 371,360 $ 410,592 $ 781,952 $ 191,807 $ 31,778 $ 100,099 $ 52,600 Liabilities and members' equity: Mortgages payable $ 174,269 $ 215,980 $ 390,249 $ 121,894 $ — $ — $ 39,730 Other liabilities 7,778 19,940 27,718 4,347 934 14,383 3,259 Total liabilities 182,047 235,920 417,967 126,241 934 14,383 42,989 Gramercy Property Trust equity 12,734 41,116 53,850 15,872 25,309 4,145 2,631 Other members' equity 176,579 133,556 310,135 49,694 5,535 81,571 6,980 Liabilities and members' equity $ 371,360 $ 410,592 $ 781,952 $ 191,807 $ 31,778 $ 100,099 $ 52,600 1. As of December 31, 2016, the Company has a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. In the table above, the Company’s equity interest in the Goodman Europe JV includes both its direct 5.1% interest as well as its indirect interest that is held through its 14.2% interest in the Gramercy European Property Fund, and the Company’s equity interest in the Gramercy European Property Fund represents its interest in all of the properties owned by the Gramercy European Property Fund except for the properties in the Goodman Europe JV. 2. Excludes the Gramercy European Property Fund’s 94.9% interest in the Goodman Europe JV. 3. Includes the Philips JV, the Morristown JV, and European Fund Carry Co. 4. Includes basis adjustments that were recorded by the Company to adjust the unconsolidated equity investments to fair value upon closing of the Merger. |
Schedule of Long-term Debt | The following is a summary of the secured financing arrangements within the Company’s unconsolidated equity investments as of March 31, 2017 : Outstanding Balance 2 Property Unconsolidated Equity Investment Economic Ownership Interest Rate 1 Maturity Date March 31, 2017 December 31, 2016 Strategic Office Partners portfolio 3 Strategic Office Partners 25.0% 3.83% 10/7/2019 $ 145,800 $ 125,000 Durrholz, Germany Gramercy European Property Fund 14.2% 1.52% 3/31/2020 12,303 12,289 Venray, Germany Gramercy European Property Fund 14.2% 3.32% 12/2/2020 13,149 13,015 Lille, France Gramercy European Property Fund 14.2% 3.13% 12/17/2020 27,429 27,081 Carlisle, United Kingdom Gramercy European Property Fund 14.2% 3.32% 2/19/2021 10,620 10,443 Oud Beijerland, Netherlands Gramercy European Property Fund 14.2% 2.09% 12/30/2022 8,148 8,077 Zaandam, Netherlands Gramercy European Property Fund 14.2% 2.08% 12/30/2022 11,749 11,647 Kerkrade, Netherlands Gramercy European Property Fund 14.2% 2.08% 12/30/2022 9,706 9,622 Friedrichspark, Germany Gramercy European Property Fund 14.2% 2.08% 12/30/2022 8,770 8,694 Fredersdorf, Germany Gramercy European Property Fund 14.2% 2.08% 12/30/2022 11,345 11,247 Breda, Netherlands Gramercy European Property Fund 14.2% 1.90% 12/30/2022 10,035 9,948 Juechen, Germany Gramercy European Property Fund 14.2% 1.89% 12/30/2022 19,017 18,852 Piaseczno, Poland Gramercy European Property Fund 14.2% 1.98% 12/30/2022 8,212 8,141 Strykow, Poland Gramercy European Property Fund 14.2% 1.98% 12/30/2022 19,335 19,167 Uden, Netherlands Gramercy European Property Fund 14.2% 1.98% 12/30/2022 8,992 8,913 Rotterdam, Netherlands Gramercy European Property Fund 14.2% 1.89% 12/30/2022 7,700 7,633 Frechen, Germany Gramercy European Property Fund 14.2% 1.49% 12/30/2022 6,101 6,043 Meerane, Germany Gramercy European Property Fund 14.2% 1.35% 12/30/2022 10,236 10,138 Amsterdam, Netherlands Gramercy European Property Fund 14.2% 1.59% 12/30/2022 3,123 3,093 Tiel, Netherlands Gramercy European Property Fund 14.2% 1.59% 12/30/2022 9,262 9,174 Netherlands portfolio 4 Gramercy European Property Fund 14.2% 3.02% 6/28/2023 13,581 13,409 Kutno, Poland Gramercy European Property Fund 14.2% 1.91% 7/21/2023 5,965 5,890 European Facility 1 5 Goodman Europe JV 18.6% 6 0.90% 11/16/2023 31,957 31,551 European Facility 2 5 Goodman Europe JV 18.6% 6 1.75% 11/16/2023 108,289 106,917 Utrecht, Netherlands Gramercy European Property Fund 14.2% 1.95% 1/16/2024 36,616 — Worksop, United Kingdom Gramercy European Property Fund 14.2% 3.94% 10/20/2026 10,668 10,551 Somerset, NJ Philips JV 25.0% 6.90% 9/11/2035 39,557 39,730 Total mortgage notes payable $ 607,665 $ 546,265 Net deferred financing costs and net debt premium 134 5,608 Total mortgage notes payable, net $ 607,799 $ 551,873 1. Represents the current effective rate as of March 31, 2017 , including the swapped interest rate for loans that have interest rate swaps. The current interest rate is not adjusted to include the amortization of fair market value premiums or discounts. 2. Mortgage loans amounts are presented at 100.0% of the amount in the unconsolidated equity investment. 3. There are seven properties under this mortgage loan. 4. There are five properties under this mortgage loan. 5. There are eight properties under this loan facility. 6. Represents the Company’s economic ownership in the Goodman Europe JV, which includes both its 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. |
Schedule of Combined Income Statement for the Company's Joint Venture | The statements of operations for the Company’s unconsolidated equity investments for the three months ended March 31, 2017 or partial period for acquisitions or dispositions which closed during these periods, are as follows: Gramercy European Property Fund 1 Goodman Europe JV Gramercy European Property Fund 2 Total Strategic Office Partners Goodman UK JV CBRE Strategic Partners Asia Other 3 Revenues $ 4,955 $ 10,118 $ 15,073 $ 5,526 $ 295 $ (2,445 ) $ 1,114 Operating expenses 922 2,951 3,873 1,474 302 418 158 Interest expense 672 1,474 2,146 1,510 — — 641 Depreciation and amortization 2,021 4,473 6,494 2,503 375 — 333 Total expenses 3,615 8,898 12,513 5,487 677 418 1,132 Net income (loss) from operations 1,340 1,220 2,560 39 (382 ) (2,863 ) (18 ) Gain (loss) on derivatives — 1,221 1,221 (349 ) — — — Provision for taxes (17 ) 146 129 — (8 ) — — Net income (loss) $ 1,323 $ 2,587 $ 3,910 $ (310 ) $ (390 ) $ (2,863 ) $ (18 ) Company's share in net income (loss) $ 67 $ 446 $ 513 $ (15 ) $ (312 ) $ (146 ) $ (9 ) Adjustments for REIT basis (36 ) — (36 ) — (89 ) — — Company's equity in net income (loss) within continuing operations $ 31 $ 446 $ 477 $ (15 ) $ (401 ) $ (146 ) $ (9 ) 1. As of and for the three months ended March 31, 2017 , the Company had a 5.1% direct interest in the Goodman Europe JV as well as an indirect interest in the remaining 94.9% interest that is held through the Company’s 14.2% interest in the Gramercy European Property Fund. For the three months ended March 31, 2017 , the Company’s equity in net income (loss) of the entities is based on these ownership interest percentages during the period. 2. Excludes the results of the Gramercy European Property Fund’s 94.9% interest in the Goodman Europe JV, as the Goodman Europe JV is separately presented. 3. Includes the Philips JV, the Morristown JV, and European Fund Carry Co. The statements of operations for the Company’s unconsolidated equity investments for the three months ended March 31, 2016 or partial period for acquisitions or dispositions which closed during these periods, are as follows: Goodman Europe JV Gramercy European Property Fund Goodman UK JV Duke JV Other 1 Revenues $ 6,121 $ 5,057 $ 4,284 $ 10,536 $ 301 Operating expenses 862 502 287 2,991 712 Acquisition expenses — 666 — — — Interest expense 923 927 — 436 729 Depreciation and amortization 2,290 2,345 750 3,729 333 Total expenses 4,075 4,440 1,037 7,156 1,774 Net income (loss) from operations 2,046 617 3,247 3,380 (1,473 ) Loss on derivatives — (3,814 ) — — — Loss on extinguishment of debt — — — (7,962 ) — Net gain on disposals — — — 38,535 — Provision for taxes — (315 ) — — — Net income (loss) $ 2,046 $ (3,512 ) $ 3,247 $ 33,953 $ (1,473 ) Company's share in net income (loss) $ 1,637 $ (695 ) $ 2,597 $ 27,162 $ (79 ) Adjustments for REIT basis (486 ) — (270 ) (32,621 ) — Company's equity in net income (loss) within continuing operations $ 1,151 $ (695 ) $ 2,327 $ (5,459 ) $ (79 ) 1. Includes the Philips JV, the Morristown JV, European Fund Carry Co., and CBRE Strategic Partners Asia. |
Debt Obligations (Tables)
Debt Obligations (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Mortgage Notes Payable | The following is a summary of the Company’s secured financing arrangements as of March 31, 2017 : Property Interest Rate 1 Maturity Date Outstanding Balance March 31, 2017 December 31, 2016 Buford, GA 4.67% 7/1/2017 $ 15,393 $ 15,512 Woodcliff Lake, NJ 3.04% 9/15/2017 35,024 35,366 Logistics Portfolio - Pool 2 2 4.48% 1/1/2018 36,139 36,279 Dallas, TX 3 3.05% 3/1/2018 9,485 9,540 Cincinnati, KY 3 3.29% 3/1/2018 6,590 6,628 Jacksonville, FL 3 3.05% 3/1/2018 6,813 6,852 Phoenix, AZ 3 3.05% 3/1/2018 4,097 4,120 Minneapolis, MN 3 3.05% 3/1/2018 5,967 6,001 Ames, IA 5.05% 5/1/2018 16,312 16,436 Columbus, OH 3.57% 5/31/2018 19,474 19,708 Greenwood, IN 3.59% 6/15/2018 7,392 7,436 Greenfield, IN 3.63% 6/15/2018 5,974 6,010 Logistics Portfolio - Pool 3 2 3.96% 8/1/2018 43,300 43,300 Philadelphia, PA 4.99% 1/1/2019 12,232 12,328 Columbus, OH 3.94% 1/31/2019 5,862 5,908 Bridgeview, IL 3.90% 5/1/2019 5,971 6,014 Spartanburg, SC 3.20% 6/1/2019 929 1,025 Charleston, SC 3.11% 8/1/2019 856 986 Lawrence, IN 5.02% 1/1/2020 20,545 20,703 Charlotte, NC 3.28% 1/1/2020 2,051 2,217 Hawthorne, CA 3.52% 8/1/2020 17,556 17,638 Charleston, SC 2.97% 10/1/2020 925 984 Charleston, SC 3.37% 10/1/2020 925 984 Charleston, SC 3.32% 10/1/2020 941 1,001 Charlotte, NC 3.38% 10/1/2020 802 853 Des Plaines, IL 5.54% 10/31/2020 2,444 2,463 Waco, TX 4.75% 12/19/2020 15,113 15,187 Deerfield, IL 3.71% 1/1/2021 10,716 10,804 Winston-Salem, NC 3.41% 6/1/2021 3,992 4,199 Winston-Salem, NC 3.42% 7/1/2021 1,320 1,388 Logistics Portfolio - Pool 1 2 4.29% 1/1/2022 38,842 39,002 CCC Portfolio 2 4.46% 10/6/2022 23,162 23,280 Durham, NC 4.02% 9/6/2024 3,680 — Logistics Portfolio - Pool 4 2 4.36% 12/5/2022 79,500 79,500 KIK USA Portfolio 2 4.63% 7/6/2023 7,376 7,450 Yuma, AZ 5.27% 12/6/2023 12,007 12,058 Allentown, PA 5.16% 1/6/2024 22,979 23,078 Spartanburg, SC 3.72% 2/1/2024 6,183 6,360 Charleston, SC 3.80% 2/1/2025 6,497 6,658 Hackettstown, NJ 4.95% 3/6/2026 9,550 9,550 Hutchins, TX 7.65% 6/1/2029 22,476 22,764 KIK Canada Portfolio 2 3.57% 5/5/2019 — 7,914 Total mortgage notes payable $ 547,392 $ 555,484 Net deferred financing costs and net debt premium 2,532 3,158 Total mortgage notes payable, net $ 549,924 $ 558,642 1. Represents the interest rate as of March 31, 2017 or date of extinguishment if loan was extinguished during the period, that was recorded for financial reporting purposes, which reflects the effect of interest rate swaps and amortization of financing costs and fair market value premiums or discounts. 2. There are five properties under the Logistics Portfolio - Pool 2 loan, two properties under the Logistics Portfolio - Pool 3 loan, three properties under the Logistics Portfolio - Pool 1 loan, five properties under the CCC Portfolio loan, six properties under the Logistics Portfolio - Pool 4 loan, three properties under the KIK USA Portfolio loan, and two properties under the KIK Canada Portfolio loan. 3. These five mortgage loans are cross-collateralized. |
Schedule of Line of Credit Facilities | The terms of the Company’s unsecured debt obligations and outstanding balances as of March 31, 2017 and December 31, 2016 are set forth in the table below: Stated Interest Rate Effective Interest Rate 1 Maturity Date Outstanding Balance March 31, 2017 December 31, 2016 2015 Revolving Credit Facility - U.S. dollar tranche 1.95 % 1.95 % 1/8/2020 $ 55,000 $ — 2015 Revolving Credit Facility - Multicurrency tranche 1.02 % 1.02 % 1/8/2020 66,759 65,837 3-Year Term Loan 2.10 % 2.33 % 1/8/2019 300,000 300,000 5-Year Term Loan 2.10 % 2.70 % 1/8/2021 750,000 750,000 7-Year Term Loan 2.31 % 3.34 % 1/9/2023 175,000 175,000 2015 Senior Unsecured Notes 4.97 % 5.07 % 12/17/2024 150,000 150,000 2016 Senior Unsecured Notes 3.89 % 4.00 % 12/15/2022 150,000 150,000 2016 Senior Unsecured Notes 4.26 % 4.38 % 12/15/2025 100,000 100,000 2016 Senior Unsecured Notes 4.32 % 4.43 % 12/15/2026 100,000 100,000 Exchangeable Senior Notes 3.75 % 6.36 % 3/15/2019 115,000 115,000 Total unsecured debt 1,961,759 1,905,837 Net deferred financing costs and net debt discount (8,988 ) (9,704 ) Total unsecured debt, net $ 1,952,771 $ 1,896,133 1. Represents the rate at which interest expense is recorded for financial reporting purposes as of March 31, 2017, which reflects the effect of interest rate swaps and amortization of financing costs and fair market value premiums or discounts. |
Schedule of Maturities of Long-term Debt | Combined aggregate principal maturities of the Company’s unsecured debt obligations, non-recourse mortgages, and Exchangeable Senior Notes, in addition to associated interest payments, as of March 31, 2017 are as follows: 2015 Revolving Credit Facility Term Loans Mortgage Notes Payable 1 Senior Unsecured Notes Exchangeable Senior Notes Interest Payments 2 Total April 1 to December 31, 2017 $ — $ — $ 61,474 $ — $ — $ 65,562 $ 127,036 2018 — — 170,819 — — 80,435 251,254 2019 — 300,000 33,672 — 115,000 70,155 518,827 2020 121,759 — 60,103 — — 65,605 247,467 2021 — 750,000 16,364 — — 39,682 806,046 Thereafter — 175,000 204,960 500,000 — 89,275 969,235 Above market interest — — — — — (6,456 ) (6,456 ) Total $ 121,759 $ 1,225,000 $ 547,392 $ 500,000 $ 115,000 $ 404,258 $ 2,913,409 1. Mortgage loan payments reflect accelerated repayment dates, when applicable, pursuant to related loan agreement. 2. Interest payments do not reflect the effect of interest rate swaps. |
Leasing Agreements (Tables)
Leasing Agreements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Leases, Operating [Abstract] | |
Schedule of Future Minimum Rental Payments for Lease Agreements | Future minimum rental revenues under non-cancelable leases excluding reimbursements for operating expenses as of March 31, 2017 are as follows: Operating Leases April 1 to December 31, 2017 $ 289,129 2018 385,259 2019 358,794 2020 330,608 2021 305,318 Thereafter 1,615,136 Total minimum lease rental income $ 3,284,244 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Carrying Value and Fair Value of Financial Instruments | The following table presents the carrying value in the financial statements and approximate fair value of assets and liabilities measured on a recurring and nonrecurring basis at March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016 Carrying Value Fair Value Carrying Value Fair Value Financial assets: Interest rate swaps $ 8,010 $ 8,010 $ 3,769 $ 3,769 Retained CDO Bonds $ 4,828 $ 4,828 $ 11,906 $ 11,906 Investment in CBRE Strategic Partners Asia $ 3,999 $ 3,999 $ 4,145 $ 4,145 Real estate investments 1 $ 46,188 $ 46,188 $ 2,413 $ 2,413 Financial liabilities: Interest rate swaps $ 517 $ 517 $ 700 $ 700 Long-term debt 2015 Revolving Credit Facility 2 $ 121,759 $ 113,887 $ 65,837 $ 65,897 3-Year Term Loan 2 $ 300,000 $ 298,894 $ 300,000 $ 300,213 5-Year Term Loan 2 $ 750,000 $ 744,112 $ 750,000 $ 750,959 7-Year Term Loan 2 $ 175,000 $ 176,653 $ 175,000 $ 172,850 Mortgage notes payable 2 $ 549,924 $ 559,553 $ 558,642 $ 567,705 Senior Unsecured Notes 2 $ 496,524 $ 500,598 $ 496,464 $ 498,650 Exchangeable Senior Notes 2 $ 109,488 $ 116,382 $ 108,832 $ 115,625 1. Amounts as of March 31, 2017 and December 31, 2016 represent two and one real estate investments, respectively, that were impaired during the three months ended March 31, 2017 and the year ended December 31, 2016, respectively, and were owned as of the end of the respective reporting periods. 2. Long-term debt instruments are classified as Level III due to the significance of unobservable inputs which are based upon management assumptions. |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis and on a non-recurring basis are categorized in the table below based upon the lowest level of significant input to the valuations. At March 31, 2017 Total Level I Level II Level III Financial Assets: Retained CDO Bonds $ 4,828 $ — $ — $ 4,828 Real estate investments 46,188 — — 46,188 Investment in CBRE Strategic Partners Asia 3,999 — — 3,999 Interest rate swaps 8,010 — — 8,010 $ 63,025 $ — $ — $ 63,025 Financial Liabilities: Interest rate swaps $ (517 ) $ — $ — $ (517 ) $ (517 ) $ — $ — $ (517 ) At December 31, 2016 Total Level I Level II Level III Financial Assets: Retained CDO Bonds $ 11,906 $ — $ — $ 11,906 Real estate investments 2,413 — — 2,413 Investment in CBRE Strategic Partners Asia 4,145 — — 4,145 Interest rate swaps 3,769 — — 3,769 $ 22,233 $ — $ — $ 22,233 Financial Liabilities: Interest rate swaps $ (700 ) $ — $ — $ (700 ) $ (700 ) $ — $ — $ (700 ) |
Fair Value, Assets and Liabilities Measured on Recurring Basis, Valuation Techniques | Quantitative information regarding the valuation techniques and the range of significant unobservable Level III inputs used to determine fair value measurements on a recurring basis as of March 31, 2017 are as follows: Financial Asset (Liability) Fair Value Valuation Technique Unobservable Inputs Range Non-investment grade, subordinate CDO bonds $ 4,828 Discounted cash flows Discount rate 16.5% Interest rate swaps 1 $ 7,493 Hypothetical derivative method Credit borrowing spread 135 to 230 basis points Investment in CBRE Strategic Partners Asia $ 3,999 Discounted cash flows Discount rate 20.0% 1. Fair value includes interest rate swap liabilities with an aggregate value of $517 . |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following rollforward table reconciles the beginning and ending balances of financial assets (liabilities) measured at fair value on a recurring basis using Level III inputs as of March 31, 2017 : Retained CDO Bonds Investment in CBRE Strategic Partners Asia Interest Rate Swaps Total Financial Assets (Liabilities) - Level III Balance at January 1, 2017 $ 11,906 $ 4,145 $ 3,069 $ 19,120 Amortization of discounts or premiums 632 — — 632 Adjustments to fair value: Ineffective portion of change in derivative instruments — — 46 46 Unrealized gain on derivatives — — 4,378 4,378 Unrealized loss in other comprehensive income from fair value adjustment (2,820 ) — — (2,820 ) Other-than-temporary impairments (4,890 ) — — (4,890 ) Total loss on fair value adjustments — (146 ) — (146 ) Balance at March 31, 2017 $ 4,828 $ 3,999 $ 7,493 $ 16,320 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | The following rollforward table reconciles the beginning and ending balances of financial assets (liabilities) measured at fair value on a recurring basis using Level III inputs as of March 31, 2017 : Retained CDO Bonds Investment in CBRE Strategic Partners Asia Interest Rate Swaps Total Financial Assets (Liabilities) - Level III Balance at January 1, 2017 $ 11,906 $ 4,145 $ 3,069 $ 19,120 Amortization of discounts or premiums 632 — — 632 Adjustments to fair value: Ineffective portion of change in derivative instruments — — 46 46 Unrealized gain on derivatives — — 4,378 4,378 Unrealized loss in other comprehensive income from fair value adjustment (2,820 ) — — (2,820 ) Other-than-temporary impairments (4,890 ) — — (4,890 ) Total loss on fair value adjustments — (146 ) — (146 ) Balance at March 31, 2017 $ 4,828 $ 3,999 $ 7,493 $ 16,320 |
Derivatives and Non-Derivativ33
Derivatives and Non-Derivative Hedging Instruments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The Company’s derivatives and hedging instruments as of March 31, 2017 are as follows: Benchmark Rate Notional Value Strike Rate Effective Date Expiration Date Fair Value Interest Rate Swap - Waco 1 mo. USD-LIBOR-BBA 15,113 USD 4.55% 12/19/2013 12/19/2020 $ (356 ) Interest Rate Swap - Atrium I 1 mo. USD-LIBOR-BBA 19,474 USD 1.78% 8/16/2011 5/31/2018 (108 ) Interest Rate Swap - Easton III 1 mo. USD-LIBOR-BBA 5,862 USD 1.95% 8/16/2011 1/31/2019 (52 ) Interest Rate Swap - 3-Year Term Loan 1 mo. USD-LIBOR-BBA 100,000 USD 1.22% 12/19/2016 12/17/2018 371 Interest Rate Swap - 3-Year Term Loan 1 mo. USD-LIBOR-BBA 100,000 USD 1.23% 12/19/2016 12/17/2018 364 Interest Rate Swap - 3-Year Term Loan 1 mo. USD-LIBOR-BBA 100,000 USD 1.24% 12/19/2016 12/17/2018 345 Interest Rate Swap - 5-Year Term Loan 1 mo. USD-LIBOR-BBA 750,000 EUR 1.60% 12/17/2015 12/17/2020 5,328 Interest Rate Swap - 7-Year Term Loan 1 mo. USD-LIBOR-BBA 175,000 EUR 1.82% 12/17/2015 1/9/2023 1,601 Net Investment Hedge in EUR-denominated investments USD-EUR exchange rate 45,000 GBP N/A 9/28/2015 N/A — Net Investment Hedge in GBP-denominated investments USD-GBP exchange rate 15,000 GBP N/A 7/15/2016 N/A — Total hedging instruments $ 7,493 |
Shareholders' Equity (Deficit)
Shareholders' Equity (Deficit) (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | Earnings per share for the three months ended March 31, 2017 and 2016 are computed as follows: Three Months Ended March 31, 2017 2016 Numerator – Income (loss): Net loss from continuing operations $ (8,072 ) $ (5,693 ) Net income (loss) from discontinued operations (24 ) 4,640 Loss before net gain on disposals (8,096 ) (1,053 ) Net gain on disposals 17,377 — Net income (loss) 9,281 (1,053 ) Less: Net (income) loss attributable to noncontrolling interest (154 ) 120 Less: Nonforfeitable dividends allocated to participating shareholders (276 ) (199 ) Less: Preferred share dividends (1,559 ) (1,559 ) Net income (loss) available to common shares outstanding $ 7,292 $ (2,691 ) Denominator – Weighted average shares 1 : Weighted average basic shares outstanding 140,907,399 140,060,405 Effect of dilutive securities: Unvested non-participating share based payment awards 71,848 — Options 15,576 — Exchangeable Senior Notes 880,796 — Weighted average diluted shares outstanding 141,875,619 140,060,405 1. Share and per share amounts have been adjusted for the 1-for-3 reverse share split completed on December 30, 2016. |
Schedule of Accumulated Other Comprehensive Income (Loss) | Accumulated other comprehensive income (loss) as of March 31, 2017 and December 31, 2016 is comprised of the following: March 31, 2017 December 31, 2016 Net unrealized gain (loss) on derivative securities $ 3,938 $ (440 ) Net unrealized gain on debt instruments 879 3,699 Foreign currency translation adjustments: Gain on non-derivative net investment hedges 1 4,245 5,168 Write-off on non-derivative net investment hedge (652 ) (652 ) Other foreign currency translation adjustments (9,638 ) (11,252 ) Reclassification of accumulated foreign currency translation adjustments due to disposal (3,737 ) (3,737 ) Disposition of European investment 1,944 1,944 Reclassification of swap gain into interest expense 1,410 1,142 Total accumulated other comprehensive loss $ (1,611 ) $ (4,128 ) 1. The foreign currency translation adjustment associated with the Company’s non-derivative net investment hedges related to its European investments are included in other comprehensive income (loss). |
Noncontrolling Interest (Tables
Noncontrolling Interest (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest in the Operating Partnership | Below is the rollforward of the activity relating to the noncontrolling interests in the Operating Partnership as of March 31, 2017 : Noncontrolling Interest Balance at January 1, 2017 $ 8,643 Redemption of noncontrolling interests in the Operating Partnership (2,164 ) Net income attribution 34 Fair value adjustments (296 ) Dividends (88 ) Balance at March 31, 2017 $ 6,129 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments | Future minimum rental payments to be made by the Company under these non-cancelable ground leases, excluding increases resulting from increases in the consumer price index, are as follows: Ground Leases - Operating Ground Leases - Capital Total April 1 to December 31, 2017 $ 1,685 $ — $ 1,685 2018 2,262 1 2,263 2019 2,271 — 2,271 2020 2,263 — 2,263 2021 2,231 — 2,231 Thereafter 61,857 329 62,186 Total minimum rent expense $ 72,569 $ 330 $ 72,899 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Evaluation of Performance Based on Financials Measure for Each Segment | The Company evaluates performance based on the following financial measures for each segment: Asset Management Investments / Corporate Total Company Three Months Ended March 31, 2017 Total revenues $ 4,584 $ 125,410 $ 129,994 Equity in net loss from unconsolidated equity investments — (94 ) (94 ) Total operating and interest expense 1 (1,603 ) (118,696 ) (120,299 ) Other expenses (41 ) (17,632 ) (17,673 ) Net income (loss) from continuing operations $ 2,940 $ (11,012 ) $ (8,072 ) Asset Management Investments / Corporate Total Company Three Months Ended March 31, 2016 Total revenues $ 5,151 $ 115,394 $ 120,545 Equity in net loss from unconsolidated equity investments — (2,755 ) (2,755 ) Total operating and interest expense 1 (5,075 ) (111,948 ) (117,023 ) Other expenses (384 ) (6,076 ) (6,460 ) Net loss from continuing operations $ (308 ) $ (5,385 ) $ (5,693 ) Asset Management Investments / Corporate Total Company Total Assets: March 31, 2017 $ 14,191 $ 5,592,669 $ 5,606,860 December 31, 2016 $ 21,004 $ 5,582,523 $ 5,603,527 1. Total operating and interest expense includes operating costs on commercial property assets for the Investments/Corporate segment and costs to perform required functions under the management agreement for the Asset Management segment. Depreciation and amortization of $62,217 and $58,248 and provision for taxes of $196 and $(703) for the three months ended March 31, 2017 and 2016 , respectively, are included in the amounts presented above. |
Supplemental Cash Flow Inform38
Supplemental Cash Flow Information (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Cash Flow Activities | The following table represents supplemental cash flow disclosures for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, 2017 2016 Supplemental cash flow disclosures: Interest paid $ 17,447 $ 20,638 Income taxes paid $ 71 $ 322 Proceeds from 1031 exchanges from sales of real estate $ 23,219 $ 175,808 Use of funds from 1031 exchanges for acquisitions of real estate $ (23,218 ) $ (30,308 ) Non-cash activity: Fair value adjustment to noncontrolling interest in the Operating Partnership $ (296 ) $ 1,207 Debt assumed in acquisition of real estate $ 3,680 $ — Debt transferred in disposition of real estate $ (10,456 ) $ (101,432 ) Non-cash acquisition of consolidated VIE $ 24,930 $ — Dividend reinvestment plan proceeds $ 81 $ — Redemption of units of noncontrolling interest in the Operating Partnership for common shares $ (2,164 ) $ (524 ) |
Business and Organization (Narr
Business and Organization (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Mar. 31, 2017USD ($)ft²Property | Dec. 31, 2015Property | Mar. 31, 2017building | Mar. 31, 2017Property | Mar. 31, 2017USD ($) | Mar. 31, 2017impaired_property | Mar. 31, 2017ft² | Dec. 31, 2016 | Dec. 31, 2016Property | Dec. 31, 2016impaired_property | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Number of Properties | 48 | 2 | 46 | 1 | ||||||
Area of real estate property | ft² | 487,872 | |||||||||
Number of Acquisitions | Property | 7 | 21 | ||||||||
Square Feet | ft² | 2,257,311 | |||||||||
Purchase Price | $ 124,672 | |||||||||
Number of real estate properties sold | Property | 7 | |||||||||
Area of real estate properties sold | ft² | 487,872 | |||||||||
Proceeds from sale of property held-for-sale | $ 51,683 | |||||||||
GPT Property Trust Limited Partnership [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Ownership % | 100.00% | |||||||||
Ownership percentage by noncontrolling owners | 0.40% | |||||||||
Wholly Owned Properties [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Number of Properties | building | 318 | |||||||||
Area of real estate property | ft² | 66,732,561 | |||||||||
Occupancy rate | 98.40% | |||||||||
Unconsolidated Properties [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Number of Properties | Property | 48 | |||||||||
Gramercy Asset Management [Member] | Commercial Lease Properties [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Commercial real estate assets | $ 1,147,000 | |||||||||
Europe [Member] | Gramercy Asset Management [Member] | Commercial Lease Properties [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Commercial real estate assets | $ 918,000 | |||||||||
CBRE Strategic Partners Asia [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Number of Properties | Property | 2 | 2 | ||||||||
Ownership % | 5.07% | |||||||||
Consolidated VIE [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Purchase Price | $ 29,605 | |||||||||
Land [Member] | ||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||||||||
Purchase Price | $ 2,400 |
Significant Accounting Polici40
Significant Accounting Policies (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2017USD ($) | Dec. 31, 2016Property | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Mar. 31, 2017Property | Mar. 31, 2017USD ($) | Mar. 31, 2017impaired_property | Mar. 31, 2017entity | Dec. 31, 2016USD ($) | Dec. 31, 2016impaired_property | Dec. 31, 2016entity | Dec. 19, 2014USD ($) | |
Accounting Policies [Line Items] | ||||||||||||
Restricted cash | $ 13,101 | $ 12,904 | ||||||||||
Number of consolidated VIEs | entity | 2 | 3 | ||||||||||
Number of unconsolidated variable interest entities | entity | 4 | 4 | ||||||||||
Allowance for doubtful accounts receivable | 230 | 57 | ||||||||||
Amortization of intangible assets | $ 24,172 | $ 27,560 | ||||||||||
Amortization of off market lease unfavorable and off market lease favorable | 621 | 181 | ||||||||||
Incentive fee recognized | 1,449 | 973 | ||||||||||
Number of Properties | 46 | 48 | 2 | 1 | ||||||||
Foreign currency translation gain (loss) | 691 | 6,119 | ||||||||||
Foreign currency transaction gain (loss), realized | (9) | 105 | ||||||||||
Available-for-sale Securities [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Retained collateralized debt obligations (CDOs) bonds, other-than-temporary impairment | $ 4,890 | $ 0 | ||||||||||
KBS [Member] | Management Fee Income Concentration [Member] | Customer Concentration Risk [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Concentration risk, percentage | 68.80% | 86.30% | ||||||||||
Bank Of America [Member] | Sales Revenue, Goods, Net [Member] | Customer Concentration Risk [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Concentration risk, percentage | 10.80% | |||||||||||
Bank Of America [Member] | Sales Revenue, Goods, Net [Member] | Customer Concentration Risk [Member] | Below-market lease liabilities [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Concentration risk, percentage | 2.90% | |||||||||||
Proportion Foods [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Percentage of area leased property | 100.00% | |||||||||||
Gramercy Europe Asset [Member] | Gramercy Europe Asset [Member] | Management Fee Income Concentration [Member] | Customer Concentration Risk [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Concentration risk, percentage | 26.80% | 12.80% | ||||||||||
Gramercy Europe Asset [Member] | Canada [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Number of Properties | Property | 2 | |||||||||||
Gramercy Europe Asset [Member] | United Kingdom [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Number of Properties | Property | 1 | |||||||||||
Restatement Adjustment [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Investment income reclassified | $ (443) | |||||||||||
Gramercy Europe Limited [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Goodwill | $ 3,039 | $ 2,988 | ||||||||||
Gramercy Europe Limited [Member] | Preliminary Allocations [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Goodwill | $ 3,887 | |||||||||||
Gramercy Europe Limited [Member] | Finalized Allocations [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Goodwill | $ 3,802 | |||||||||||
Ground Lease [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Reduction of other property operating expense for ground rent intangible assets and liabilities | $ (21) | $ (9) | ||||||||||
Building [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Property, plant and equipment, useful life | 40 years | |||||||||||
Building Equipment and Fixtures [Member] | Minimum [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Property, plant and equipment, useful life | 5 years | |||||||||||
Building Equipment and Fixtures [Member] | Maximum [Member] | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Property, plant and equipment, useful life | 10 years |
Significant Accounting Polici41
Significant Accounting Policies (Schedule of Variable Interest Entities) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Retained CDO Bonds [Member] | ||
Unconsolidated VIEs: | ||
Company carrying value-assets, unconsolidated | $ 4,828 | $ 11,906 |
Company carrying value - liabilities, unconsolidated | 0 | 0 |
Face value of assets held by the VIEs, unconsolidated | 446,451 | 391,990 |
Face value of liabilities issued by the VIEs, unconsolidated | 577,169 | 592,414 |
Operating Partnership [Member] | ||
Consolidated VIEs: | ||
Company carrying value-assets, consolidated | 5,606,860 | 5,603,527 |
Company carrying value - liabilities, consolidated | 2,867,691 | 2,842,493 |
Face value of assets held by the VIEs, consolidated | 5,606,860 | 5,603,527 |
Face value of liabilities issued by the VIEs, consolidated | 2,867,691 | 2,842,493 |
Proportion Foods [Member] | ||
Consolidated VIEs: | ||
Company carrying value-assets, consolidated | 22,836 | |
Company carrying value - liabilities, consolidated | 3,041 | |
Face value of assets held by the VIEs, consolidated | 22,836 | |
Face value of liabilities issued by the VIEs, consolidated | 23,514 | |
Gramercy Europe Asset Management - European Fund Manager [Member] | ||
Consolidated VIEs: | ||
Company carrying value-assets, consolidated | 1,062 | 1,100 |
Company carrying value - liabilities, consolidated | 9 | 47 |
Face value of assets held by the VIEs, consolidated | 1,062 | 1,100 |
Face value of liabilities issued by the VIEs, consolidated | 1,473 | 1,742 |
Gramercy Europe Asset Management - European Fund Carry Co [Member] | ||
Unconsolidated VIEs: | ||
Company carrying value-assets, unconsolidated | 7 | 8 |
Company carrying value - liabilities, unconsolidated | 0 | 0 |
Face value of assets held by the VIEs, unconsolidated | 28 | 31 |
Face value of liabilities issued by the VIEs, unconsolidated | $ 0 | $ 0 |
Significant Accounting Polici42
Significant Accounting Policies (Schedule of Intangible Assets and Acquired Lease Obligations) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Intangible assets: | ||
Total intangible assets | $ 596,811 | $ 618,680 |
Finite-lived intangible assets, accumulated amortization | 154,753 | 133,710 |
Intangible liabilities: | ||
Total intangible liabilities | 216,401 | 230,183 |
In-place leases [Member] | ||
Intangible assets: | ||
Total intangible assets | 536,913 | 553,924 |
Finite-lived intangible assets, accumulated amortization | 137,416 | 117,717 |
Above-market lease assets [Member] | ||
Intangible assets: | ||
Total intangible assets | 56,198 | 59,647 |
Finite-lived intangible assets, accumulated amortization | 17,325 | 15,719 |
Below-market ground rent [Member] | ||
Intangible assets: | ||
Total intangible assets | 5,078 | 5,109 |
Finite-lived intangible assets, accumulated amortization | 306 | 274 |
Below-market lease liabilities [Member] | ||
Intangible liabilities: | ||
Total intangible liabilities | 212,415 | 223,110 |
Finite-lived intangible liabilities, accumulated amortization | 28,485 | 26,168 |
Above-market ground rent [Member] | ||
Intangible liabilities: | ||
Total intangible liabilities | 7,000 | 7,073 |
Finite-lived intangible liabilities, accumulated amortization | 302 | 248 |
Assets Held-for-sale [Member] | ||
Intangible assets: | ||
Amounts related to assets held for sale, net of accumulated amortization of $294 and $0 | (1,378) | 0 |
Finite-lived intangible assets, accumulated amortization | 294 | 0 |
Intangible liabilities: | ||
Amounts related to liabilities of assets held for sale, net of accumulated amortization of $437 and $0 | (3,014) | 0 |
Finite-lived intangible liabilities, accumulated amortization | $ 437 | $ 0 |
Significant Accounting Polici43
Significant Accounting Policies (Schedule of Finite-Lived Intangible Assets, Future Amortization Expense) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Depreciation and Amortization Expense [Member] | |
Finite-Lived Intangible Assets | |
April 1 to December 31, 2017 | $ 68,372 |
2,018 | 83,678 |
2,019 | 70,384 |
2,020 | 58,007 |
2,021 | 50,453 |
Rental Revenue [Member] | |
Finite-Lived Intangible Assets, Amortization Expense And Below Market Leases, Amortized Income | |
April 1 to December 31, 2017 | (1,608) |
2,018 | (2,253) |
2,019 | (3,074) |
2,020 | (4,896) |
2,021 | (5,972) |
Property Operating Expense [Member] | |
Finite-Lived Intangible Assets, Amortization Expense And Below Market Leases, Amortized Income | |
April 1 to December 31, 2017 | (66) |
2,018 | (87) |
2,019 | (87) |
2,020 | (87) |
2,021 | $ (87) |
In-place leases [Member] | |
Schedule of Finite Lived Intangible Assets Future Amortization Expense [Line Items] | |
Weighted-Average Amortization Period | 9 years 8 months 12 days |
In-place leases [Member] | Depreciation and Amortization Expense [Member] | |
Finite-Lived Intangible Assets | |
April 1 to December 31, 2017 | $ 68,372 |
2,018 | 83,678 |
2,019 | 70,384 |
2,020 | 58,007 |
2,021 | $ 50,453 |
Above-market lease assets [Member] | |
Schedule of Finite Lived Intangible Assets Future Amortization Expense [Line Items] | |
Weighted-Average Amortization Period | 7 years 3 months 18 days |
Above-market lease assets [Member] | Rental Revenue [Member] | |
Finite-Lived Intangible Assets | |
April 1 to December 31, 2017 | $ 8,236 |
2,018 | 10,510 |
2,019 | 9,340 |
2,020 | 7,224 |
2,021 | $ 6,012 |
Below-market lease liabilities [Member] | |
Schedule of Finite Lived Intangible Assets Future Amortization Expense [Line Items] | |
Weighted-Average Amortization Period | 19 years 2 months 12 days |
Below-market lease liabilities [Member] | Rental Revenue [Member] | |
Below Market Lease | |
April 1 to December 31, 2017 | $ (9,844) |
2,018 | (12,763) |
2,019 | (12,414) |
2,020 | (12,120) |
2,021 | $ (11,984) |
Below-market ground rent [Member] | |
Schedule of Finite Lived Intangible Assets Future Amortization Expense [Line Items] | |
Weighted-Average Amortization Period | 41 years 1 month 6 days |
Below-market ground rent [Member] | Property Operating Expense [Member] | |
Finite-Lived Intangible Assets | |
April 1 to December 31, 2017 | $ 95 |
2,018 | 127 |
2,019 | 127 |
2,020 | 127 |
2,021 | $ 127 |
Above-market ground rent [Member] | |
Schedule of Finite Lived Intangible Assets Future Amortization Expense [Line Items] | |
Weighted-Average Amortization Period | 33 years |
Above-market ground rent [Member] | Property Operating Expense [Member] | |
Finite-Lived Intangible Assets, Amortization Expense And Below Market Leases, Amortized Income | |
April 1 to December 31, 2017 | $ (161) |
2,018 | (214) |
2,019 | (214) |
2,020 | (214) |
2,021 | $ (214) |
Significant Accounting Polici44
Significant Accounting Policies (Schedule of Retained Collateralized Debt Obligation Bonds) (Details) - Available-for-sale Securities [Member] $ in Thousands | 3 Months Ended | |
Mar. 31, 2017USD ($)security | Mar. 31, 2016USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Securities | security | 9 | |
Face Value | $ 387,304 | |
Amortized Cost | 8,839 | |
Gross Unrealized Gain | 879 | |
Other-than-temporary impairment | (4,890) | $ 0 |
Fair Value | $ 4,828 | |
Weighted Average Expected Life | 1 year 9 months 18 days |
Significant Accounting Polici45
Significant Accounting Policies (Other Than Temporary Impairment Credit Losses Recognized in Earnings) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 2,752,712 | |
Reduction for credit losses: | ||
Ending balance | 2,733,245 | |
OTTI on Retained CDO Bonds [Member] | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (491) | $ 3,196 |
Additions to credit losses: | ||
On Retained CDO Bonds for which an OTTI was not previously recognized | 0 | 0 |
On Retained CDO Bonds for which an OTTI was previously recognized and a portion of an OTTI was recognized in other comprehensive income (loss) | (4,890) | 0 |
On Retained CDO Bonds for which an OTTI was previously recognized without any portion of OTTI recognized in other comprehensive income (loss) | 0 | 0 |
Reduction for credit losses: | ||
On Retained CDO Bonds for which no OTTI was recognized in other comprehensive income at current measurement date | 0 | 0 |
On Retained CDO Bonds sold during the period | 0 | 0 |
On Retained CDO Bonds charged off during the period | 0 | 0 |
For increases in cash flows expected to be collected that are recognized over the remaining life of the Retained CDO Bonds | 0 | (3,687) |
Ending balance | $ (5,381) | $ (491) |
Dispositions, Assets Held for46
Dispositions, Assets Held for Sale, and Discontinued Operations (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Mar. 31, 2017USD ($)Property | Dec. 31, 2015Property | Mar. 31, 2017USD ($) | Mar. 31, 2017impaired_property | Mar. 31, 2017ft² | Dec. 31, 2016Property | Dec. 31, 2016impaired_property | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties sold | Property | 7 | ||||||
Area of real estate property | ft² | 487,872 | ||||||
Proceeds from sale of property held-for-sale | $ | $ 51,683 | ||||||
Gain on disposal | $ | $ 17,377 | ||||||
Number of Acquisitions | Property | 7 | 21 | |||||
Impairment charge | $ | $ (12,771) | ||||||
Number of Properties | 48 | 2 | 46 | 1 | |||
Assets Held-for-sale [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of properties held-for-sale | Property | 1 | 0 | |||||
Net asset value | $ | $ 5,834 | ||||||
Exchange of Productive Assets [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties sold | Property | 1 | ||||||
Proceeds from sale of property held-for-sale | $ | $ 23,218 | ||||||
Purchase price of real estate | $ | $ 23,218 | ||||||
Number of Acquisitions | Property | 1 | ||||||
Office [Member] | Assets Held-for-sale [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of properties held-for-sale | Property | 2 |
Dispositions, Assets Held for47
Dispositions, Assets Held for Sale, and Discontinued Operations (Summary of Assets and Liabilities Held-for-sale) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Assets held for sale | ||
Total assets | $ 8,962 | $ 0 |
Liabilities related to assets held for sale | ||
Total liabilities | 3,128 | 0 |
Assets Held-for-sale [Member] | ||
Assets held for sale | ||
Real estate investments | 7,538 | |
Acquired lease assets | 1,378 | 0 |
Other assets | 46 | |
Total assets | 8,962 | |
Liabilities related to assets held for sale | ||
Below-market lease liabilities | 3,014 | $ 0 |
Other liabilities | 114 | |
Total liabilities | 3,128 | |
Net assets held for sale | $ 5,834 |
Dispositions, Assets Held for48
Dispositions, Assets Held for Sale, and Discontinued Operations (Schedule of Operating Results of Assets Held-for-sale Including Discontinued Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Income (loss) from discontinued operations | $ (24) | $ 4,640 |
Assets Held-for-sale [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Revenues | (6) | 5,857 |
Operating expenses | (6) | 2,180 |
General and administrative expense | 24 | 12 |
Interest expense | 0 | 955 |
Gain on extinguishment of debt | 0 | 1,930 |
Income (loss) from discontinued operations | $ (24) | $ 4,640 |
Dispositions, Assets Held for49
Dispositions, Assets Held for Sale, and Discontinued Operations (Schedule of Significant Operating and Investing Noncash Transactions) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Increase in cash and cash equivalents related to foreign currency translation | $ (105,000) | $ (3,000) |
Discontinued Operations [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Significant operating noncash items | 0 | 9,455,000 |
Increase in cash and cash equivalents related to foreign currency translation | 0 | 275,000 |
Total | $ 0 | $ (9,180,000) |
Real Estate Investments (Narrat
Real Estate Investments (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)ft²Property | Dec. 31, 2015Property | |
Business Acquisition [Line Items] | ||
Number of Acquisitions | Property | 7 | 21 |
Square Feet | ft² | 2,257,311 | |
Purchase Price | $ 124,672 | |
Consolidated VIE [Member] | ||
Business Acquisition [Line Items] | ||
Purchase Price | 29,605 | |
Land [Member] | ||
Business Acquisition [Line Items] | ||
Purchase Price | 2,400 | |
Series of Individually Immaterial Business Acquisitions [Member] | ||
Business Acquisition [Line Items] | ||
Real estate assets | 115,504 | |
Intangible Assets | 11,296 | |
Intangible Liabilities | $ 774 |
Real Estate Investments (Proper
Real Estate Investments (Property Purchase Price Allocation) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017USD ($)Property | Dec. 31, 2015Property | |
Real Estate Properties [Line Items] | ||
Number of Acquisitions | Property | 7 | 21 |
Preliminary Allocations [Member] | 2016 Acquisitions Finalized [Member] | ||
Real Estate Properties [Line Items] | ||
Number of Acquisitions | Property | 21 | |
Real Estate Assets | $ 513,424 | |
Intangible Assets | 61,178 | |
Intangible Liabilities | 11,093 | |
Finalized Allocations [Member] | 2016 Acquisitions Finalized [Member] | ||
Real Estate Properties [Line Items] | ||
Real Estate Assets | 513,087 | |
Intangible Assets | 60,627 | |
Intangible Liabilities | 10,205 | |
Decrease to Rental Revenue | 27 | |
Increase to Depreciation and Amortization Expense | $ 16 |
Unconsolidated Equity Investm52
Unconsolidated Equity Investments (Narrative) (Details) € in Thousands, $ in Thousands | Jun. 30, 2016Property | Sep. 30, 2016USD ($)Property | Mar. 31, 2017USD ($)Property | Mar. 31, 2017EUR (€)Property | Mar. 31, 2016USD ($) | Dec. 31, 2016Property | Dec. 31, 2015USD ($)Property | Mar. 31, 2017Property | Mar. 31, 2017USD ($) | Mar. 31, 2017impaired_property | Mar. 31, 2017entity | Mar. 31, 2017ft² | Mar. 31, 2017EUR (€) | Mar. 31, 2017extension | Dec. 31, 2016Property | Dec. 31, 2016USD ($) | Dec. 31, 2016impaired_property | Dec. 31, 2016entity | Dec. 31, 2016EUR (€) | Jun. 29, 2016 | Dec. 31, 2015EUR (€) | Oct. 31, 2015 |
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Number of unconsolidated variable interest entities | entity | 4 | 4 | ||||||||||||||||||||
Contributions to unconsolidated equity investments | $ 2,650 | |||||||||||||||||||||
Distributions received from unconsolidated equity investments | $ 352 | $ 9,961 | ||||||||||||||||||||
Number of Acquisitions | Property | 7 | 7 | 21 | |||||||||||||||||||
Number of Properties | 48 | 2 | 46 | 1 | ||||||||||||||||||
Investment in unconsolidated equity investment | $ 105,187 | $ 101,807 | ||||||||||||||||||||
Area of real estate property | ft² | 487,872 | |||||||||||||||||||||
Gramercy Europe Committed [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Initial equity capital available | $ 395,213 | 53,260 | € 352,500 | |||||||||||||||||||
Gramercy European Property Fund [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Initial equity capital available | 13,315 | € 12,500 | 13,315 | € 12,500 | ||||||||||||||||||
Contributions to unconsolidated equity investments | $ 55,892 | € 50,000 | ||||||||||||||||||||
Ownership % | 14.20% | 14.20% | 14.20% | |||||||||||||||||||
Number of Properties | Property | 27 | 26 | ||||||||||||||||||||
Investment in unconsolidated equity investment | 51,524 | 50,367 | ||||||||||||||||||||
Voting Interest % | 14.20% | 14.20% | ||||||||||||||||||||
Goodman Europe JV [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Ownership % | 5.10% | 5.10% | 5.10% | 80.00% | ||||||||||||||||||
Distributions received from unconsolidated equity investments | $ 352 | 3,561 | ||||||||||||||||||||
Number of Acquisitions | Property | 1 | 1 | 13 | |||||||||||||||||||
Number of Properties | Property | 8 | 8 | ||||||||||||||||||||
Investment in unconsolidated equity investment | 3,269 | 3,491 | ||||||||||||||||||||
Voting Interest % | 5.10% | 5.10% | ||||||||||||||||||||
Strategic Office Partners [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Contributions to unconsolidated equity investments | $ 2,650 | |||||||||||||||||||||
Ownership % | 25.00% | 25.00% | ||||||||||||||||||||
Number of Acquisitions | Property | 1 | 1 | ||||||||||||||||||||
Number of Properties | Property | 7 | 6 | ||||||||||||||||||||
Number of properties contributed | Property | 6 | |||||||||||||||||||||
Commitment amount | 400,000 | |||||||||||||||||||||
Investment in unconsolidated equity investment | 18,444 | 15,872 | ||||||||||||||||||||
Remaining commitment amount | 81,323 | |||||||||||||||||||||
Voting Interest % | 25.00% | 25.00% | ||||||||||||||||||||
Strategic Office Partners [Member] | Parent Company [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Commitment amount | $ 100,000 | 100,000 | ||||||||||||||||||||
Goodman UK JV [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Ownership % | 80.00% | 80.00% | ||||||||||||||||||||
Number of Properties | Property | 2 | 2 | ||||||||||||||||||||
Investment in unconsolidated equity investment | 25,336 | 25,309 | ||||||||||||||||||||
Voting Interest % | 50.00% | 50.00% | ||||||||||||||||||||
Duke JV [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Distributions received from unconsolidated equity investments | $ 53,807 | |||||||||||||||||||||
Number of Acquisitions | Property | 7 | |||||||||||||||||||||
CBRE Strategic Partners Asia [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Ownership % | 5.07% | 5.07% | ||||||||||||||||||||
Number of Properties | Property | 2 | 2 | ||||||||||||||||||||
Investment in unconsolidated equity investment | 3,999 | 4,145 | ||||||||||||||||||||
Term of agreement | 8 years | 8 years | ||||||||||||||||||||
Number of extensions | extension | 2 | |||||||||||||||||||||
Term of extensions | 1 year | 1 year | ||||||||||||||||||||
Voting Interest % | 5.07% | 5.07% | ||||||||||||||||||||
Philips Building [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Ownership % | 25.00% | 25.00% | ||||||||||||||||||||
Number of Properties | Property | 1 | 1 | ||||||||||||||||||||
Investment in unconsolidated equity investment | 0 | 0 | ||||||||||||||||||||
Voting Interest % | 25.00% | 25.00% | ||||||||||||||||||||
Phillips JV [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Area of real estate property | ft² | 199,900 | |||||||||||||||||||||
Percentage of occupancy for leased office and industrial property | 100.00% | 100.00% | ||||||||||||||||||||
Morristown JV [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Ownership % | 50.00% | 50.00% | 50.00% | |||||||||||||||||||
Number of Properties | Property | 1 | 1 | ||||||||||||||||||||
Investment in unconsolidated equity investment | $ 2,615 | $ 2,623 | ||||||||||||||||||||
Voting Interest % | 50.00% | 50.00% | 50.00% | |||||||||||||||||||
Duke Realty [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Number of Acquisitions | Property | 1 | |||||||||||||||||||||
Gramercy European Property Fund [Member] | Goodman Europe JV [Member] | ||||||||||||||||||||||
Investments in and Advances to Affiliates [Line Items] | ||||||||||||||||||||||
Ownership percentage acquired | 74.90% | |||||||||||||||||||||
Ownership % | 94.90% | 94.90% |
Unconsolidated Equity Investm53
Unconsolidated Equity Investments (Summary of Unconsolidated Equity Investments) (Details) $ in Thousands | Mar. 31, 2017 | Mar. 31, 2017Property | Mar. 31, 2017USD ($) | Mar. 31, 2017impaired_property | Dec. 31, 2016 | Dec. 31, 2016Property | Dec. 31, 2016USD ($) | Dec. 31, 2016impaired_property | Jun. 29, 2016 | Oct. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | ||||||||||
Investment in unconsolidated equity investment | $ 105,187 | $ 101,807 | ||||||||
Number of Properties | 48 | 2 | 46 | 1 | ||||||
Gramercy European Property Fund [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 14.20% | 14.20% | ||||||||
Voting Interest % | 14.20% | |||||||||
Investment in unconsolidated equity investment | 51,524 | 50,367 | ||||||||
Number of Properties | Property | 27 | 26 | ||||||||
Goodman Europe JV [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 5.10% | 5.10% | 80.00% | |||||||
Voting Interest % | 5.10% | |||||||||
Investment in unconsolidated equity investment | 3,269 | 3,491 | ||||||||
Number of Properties | Property | 8 | 8 | ||||||||
Basis difference | 2,279 | 2,286 | ||||||||
Strategic Office Partners [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 25.00% | |||||||||
Voting Interest % | 25.00% | |||||||||
Investment in unconsolidated equity investment | 18,444 | 15,872 | ||||||||
Number of Properties | Property | 7 | 6 | ||||||||
Goodman UK JV [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 80.00% | |||||||||
Voting Interest % | 50.00% | |||||||||
Investment in unconsolidated equity investment | 25,336 | 25,309 | ||||||||
Number of Properties | Property | 2 | 2 | ||||||||
Basis difference | 3,918 | 3,941 | ||||||||
CBRE Strategic Partners Asia [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 5.07% | |||||||||
Voting Interest % | 5.07% | |||||||||
Investment in unconsolidated equity investment | 3,999 | 4,145 | ||||||||
Number of Properties | Property | 2 | 2 | ||||||||
Philips JV [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 25.00% | |||||||||
Voting Interest % | 25.00% | |||||||||
Investment in unconsolidated equity investment | 0 | 0 | ||||||||
Number of Properties | Property | 1 | 1 | ||||||||
Morristown JV [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 50.00% | 50.00% | ||||||||
Voting Interest % | 50.00% | 50.00% | ||||||||
Investment in unconsolidated equity investment | 2,615 | 2,623 | ||||||||
Number of Properties | Property | 1 | 1 | ||||||||
Gramercy Europe Asset Management - European Fund Carry Co [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 25.00% | |||||||||
Investment in unconsolidated equity investment | $ 7 | $ 8 | ||||||||
Gramercy European Property Fund [Member] | Goodman Europe JV [Member] | ||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||
Ownership % | 94.90% |
Unconsolidated Equity Investm54
Unconsolidated Equity Investments (Rollforward of Unconsolidated Equity Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
SEC Schedule III, Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward] | ||
Beginning balance | $ 101,807 | |
Contributions to unconsolidated equity investments | 2,650 | |
Equity in net loss of unconsolidated equity investments | (94) | $ (2,755) |
Other comprehensive loss of unconsolidated equity investments | 1,176 | |
Distributions from unconsolidated equity investments | (352) | |
Ending Balance | $ 105,187 |
Unconsolidated Equity Investm55
Unconsolidated Equity Investments (Combined Balance Sheets for the Company's Joint Ventures) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Jun. 29, 2016 |
Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | $ 49,580 | ||
Other assets | 3,020 | ||
Total assets | 52,600 | ||
Liabilities and members' equity: | |||
Mortgages payable | 39,730 | ||
Other liabilities | 3,259 | ||
Total liabilities | 42,989 | ||
Gramercy Property Trust equity | 2,631 | ||
Other members' equity | 6,980 | ||
Liabilities and members' equity | $ 52,600 | ||
Gramercy European Property Fund [Member] | |||
Liabilities and members' equity: | |||
Ownership % | 14.20% | 14.20% | |
Goodman Europe JV [Member] | |||
Liabilities and members' equity: | |||
Ownership % | 5.10% | 5.10% | 80.00% |
Goodman Europe JV [Member] | Gramercy European Property Fund [Member] | |||
Liabilities and members' equity: | |||
Ownership % | 94.90% | ||
Strategic Office Partners [Member] | |||
Liabilities and members' equity: | |||
Ownership % | 25.00% | ||
Strategic Office Partners [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | $ 181,655 | $ 149,484 | |
Other assets | 46,673 | 42,323 | |
Total assets | 228,328 | 191,807 | |
Liabilities and members' equity: | |||
Mortgages payable | 142,498 | 121,894 | |
Other liabilities | 9,974 | 4,347 | |
Total liabilities | 152,472 | 126,241 | |
Gramercy Property Trust equity | 18,444 | 15,872 | |
Other members' equity | 57,412 | 49,694 | |
Liabilities and members' equity | $ 228,328 | 191,807 | |
Goodman UK JV [Member] | |||
Liabilities and members' equity: | |||
Ownership % | 80.00% | ||
Goodman UK JV [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | $ 30,763 | 25,128 | |
Other assets | 2,057 | 6,650 | |
Total assets | 32,820 | 31,778 | |
Liabilities and members' equity: | |||
Mortgages payable | 0 | 0 | |
Other liabilities | 957 | 934 | |
Total liabilities | 957 | 934 | |
Gramercy Property Trust equity | 25,336 | 25,309 | |
Other members' equity | 6,527 | 5,535 | |
Liabilities and members' equity | $ 32,820 | 31,778 | |
CBRE Strategic Partners Asia [Member] | |||
Liabilities and members' equity: | |||
Ownership % | 5.07% | ||
CBRE Strategic Partners Asia [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | $ 85,175 | 87,852 | |
Other assets | 11,992 | 12,247 | |
Total assets | 97,167 | 100,099 | |
Liabilities and members' equity: | |||
Mortgages payable | 0 | 0 | |
Other liabilities | 14,314 | 14,383 | |
Total liabilities | 14,314 | 14,383 | |
Gramercy Property Trust equity | 3,999 | 4,145 | |
Other members' equity | 78,854 | 81,571 | |
Liabilities and members' equity | 97,167 | 100,099 | |
Other [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | 49,342 | ||
Other assets | 3,251 | ||
Total assets | 52,593 | ||
Liabilities and members' equity: | |||
Mortgages payable | 39,557 | ||
Other liabilities | 3,445 | ||
Total liabilities | 43,002 | ||
Gramercy Property Trust equity | 2,622 | ||
Other members' equity | 6,969 | ||
Liabilities and members' equity | 52,593 | ||
Europe [Member] | Gramercy European Property Fund [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | 704,599 | 632,156 | |
Other assets | 121,892 | 149,796 | |
Total assets | 826,491 | 781,952 | |
Liabilities and members' equity: | |||
Mortgages payable | 425,744 | 390,249 | |
Other liabilities | 23,711 | 27,718 | |
Total liabilities | 449,455 | 417,967 | |
Gramercy Property Trust equity | 54,786 | 53,850 | |
Other members' equity | 322,250 | 310,135 | |
Liabilities and members' equity | 826,491 | 781,952 | |
Europe [Member] | Goodman Europe JV [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | 224,122 | 285,087 | |
Other assets | 27,485 | 86,273 | |
Total assets | 251,607 | 371,360 | |
Liabilities and members' equity: | |||
Mortgages payable | 140,245 | 174,269 | |
Other liabilities | 2,753 | 7,778 | |
Total liabilities | 142,998 | 182,047 | |
Gramercy Property Trust equity | 11,924 | 12,734 | |
Other members' equity | 96,685 | 176,579 | |
Liabilities and members' equity | 251,607 | 371,360 | |
Europe [Member] | Gramercy European Property Fund (excluding legacy Goodman Europe Joint Venture) [Member] | Corporate Joint Venture [Member] | |||
Assets: | |||
Real estate assets, net | 480,477 | 347,069 | |
Other assets | 94,407 | 63,523 | |
Total assets | 574,884 | 410,592 | |
Liabilities and members' equity: | |||
Mortgages payable | 285,499 | 215,980 | |
Other liabilities | 20,958 | 19,940 | |
Total liabilities | 306,457 | 235,920 | |
Gramercy Property Trust equity | 42,862 | 41,116 | |
Other members' equity | 225,565 | 133,556 | |
Liabilities and members' equity | $ 574,884 | $ 410,592 |
Unconsolidated Equity Investm56
Unconsolidated Equity Investments (Real Estate Assets Subject to Mortgages) (Details) $ in Thousands | Mar. 31, 2017USD ($)Property | Dec. 31, 2016USD ($) | Jun. 29, 2016 |
Schedule of Equity Method Investments [Line Items] | |||
Total mortgage notes payable, net | $ 2,913,409 | ||
Percentage of face amount of debt presented | 100.00% | ||
Strategic Office Partners [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 25.00% | ||
Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | 14.20% | |
Goodman Europe JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 5.10% | 5.10% | 80.00% |
Wholly Owned Properties [Member] | Strategic Office Partners Portfolio [Member] | Strategic Office Partners [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 25.00% | ||
Wholly Owned Properties [Member] | Durrholz [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Venray [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Lille [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Carlisle [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Oud-Beijerland [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Zaandam [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Kerkrade [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Friedrichspark [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Fredersdorf [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Breda [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Juechen [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Piaseczno [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Strykow [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Uden [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Rotterdam [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Frechen [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Meerane [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Amsterdam [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Tiel [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Netherlands Portfolio [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Kutno [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | European Facility 1 [Member] | Goodman Europe JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 18.60% | ||
Wholly Owned Properties [Member] | European Facility 2 [Member] | Goodman Europe JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 18.60% | ||
Wholly Owned Properties [Member] | Utrecht [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Worksop [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 14.20% | ||
Wholly Owned Properties [Member] | Somerset [Member] | Phillips JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Economic Ownership | 25.00% | ||
Mortgages [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Total mortgage notes payable, net | $ 547,392 | ||
Mortgages [Member] | Wholly Owned Properties [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Outstanding Balance | 607,665 | $ 546,265 | |
Net deferred financing costs and net debt premium | 134 | 5,608 | |
Total mortgage notes payable, net | $ 607,799 | 551,873 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Strategic Office Partners Portfolio [Member] | Strategic Office Partners [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 3.83% | ||
Outstanding Balance | $ 145,800 | 125,000 | |
Number of real estate properties pledged under debt | Property | 7 | ||
Mortgages [Member] | Wholly Owned Properties [Member] | Durrholz [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.52% | ||
Outstanding Balance | $ 12,303 | 12,289 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Venray [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 3.32% | ||
Outstanding Balance | $ 13,149 | 13,015 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Lille [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 3.13% | ||
Outstanding Balance | $ 27,429 | 27,081 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Carlisle [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 3.32% | ||
Outstanding Balance | $ 10,620 | 10,443 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Oud-Beijerland [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 2.09% | ||
Outstanding Balance | $ 8,148 | 8,077 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Zaandam [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 2.08% | ||
Outstanding Balance | $ 11,749 | 11,647 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Kerkrade [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 2.08% | ||
Outstanding Balance | $ 9,706 | 9,622 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Friedrichspark [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 2.08% | ||
Outstanding Balance | $ 8,770 | 8,694 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Fredersdorf [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 2.08% | ||
Outstanding Balance | $ 11,345 | 11,247 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Breda [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.90% | ||
Outstanding Balance | $ 10,035 | 9,948 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Juechen [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.89% | ||
Outstanding Balance | $ 19,017 | 18,852 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Piaseczno [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.98% | ||
Outstanding Balance | $ 8,212 | 8,141 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Strykow [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.98% | ||
Outstanding Balance | $ 19,335 | 19,167 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Uden [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.98% | ||
Outstanding Balance | $ 8,992 | 8,913 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Rotterdam [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.89% | ||
Outstanding Balance | $ 7,700 | 7,633 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Frechen [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.49% | ||
Outstanding Balance | $ 6,101 | 6,043 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Meerane [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.35% | ||
Outstanding Balance | $ 10,236 | 10,138 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Amsterdam [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.59% | ||
Outstanding Balance | $ 3,123 | 3,093 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Tiel [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.59% | ||
Outstanding Balance | $ 9,262 | 9,174 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Netherlands Portfolio [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 3.02% | ||
Outstanding Balance | $ 13,581 | 13,409 | |
Number of real estate properties pledged under debt | Property | 5 | ||
Mortgages [Member] | Wholly Owned Properties [Member] | Kutno [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.91% | ||
Outstanding Balance | $ 5,965 | 5,890 | |
Mortgages [Member] | Wholly Owned Properties [Member] | European Facility [Member] | Goodman Europe JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of real estate properties pledged under debt | Property | 8 | ||
Mortgages [Member] | Wholly Owned Properties [Member] | European Facility 1 [Member] | Goodman Europe JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 0.90% | ||
Outstanding Balance | $ 31,957 | 31,551 | |
Mortgages [Member] | Wholly Owned Properties [Member] | European Facility 2 [Member] | Goodman Europe JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.75% | ||
Outstanding Balance | $ 108,289 | 106,917 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Utrecht [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 1.95% | ||
Outstanding Balance | $ 36,616 | 0 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Worksop [Member] | Gramercy European Property Fund [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 3.94% | ||
Outstanding Balance | $ 10,668 | 10,551 | |
Mortgages [Member] | Wholly Owned Properties [Member] | Somerset [Member] | Phillips JV [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Interest Rate | 6.90% | ||
Outstanding Balance | $ 39,557 | $ 39,730 |
Unconsolidated Equity Investm57
Unconsolidated Equity Investments (Combined Income Statement for the Company's Joint Ventures) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Jun. 29, 2016 | |
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | $ (94) | $ (2,755) | ||
Gramercy European Property Fund [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Ownership % | 14.20% | 14.20% | ||
Goodman Europe JV [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Ownership % | 5.10% | 5.10% | 80.00% | |
Strategic Office Partners [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Ownership % | 25.00% | |||
Goodman UK JV [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Ownership % | 80.00% | |||
CBRE Strategic Partners Asia [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Ownership % | 5.07% | |||
Corporate Joint Venture [Member] | Goodman Europe JV [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 6,121 | |||
Operating expenses | 862 | |||
Acquisition expenses | 0 | |||
Interest expense | 923 | |||
Depreciation and amortization | 2,290 | |||
Total expenses | 4,075 | |||
Net income (loss) from operations | 2,046 | |||
Gain (loss) on derivatives | 0 | |||
Loss on extinguishment of debt | 0 | |||
Net gain on disposals | 0 | |||
Provision for taxes | 0 | |||
Net income (loss) | 2,046 | |||
Company's share in net income (loss) | 1,637 | |||
Adjustments for REIT basis | (486) | |||
Corporate Joint Venture [Member] | Goodman Europe JV [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | 1,151 | |||
Corporate Joint Venture [Member] | Gramercy European Property Fund (excluding legacy Goodman Europe Joint Venture) [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 5,057 | |||
Operating expenses | 502 | |||
Acquisition expenses | 666 | |||
Interest expense | 927 | |||
Depreciation and amortization | 2,345 | |||
Total expenses | 4,440 | |||
Net income (loss) from operations | 617 | |||
Gain (loss) on derivatives | (3,814) | |||
Loss on extinguishment of debt | 0 | |||
Net gain on disposals | 0 | |||
Provision for taxes | (315) | |||
Net income (loss) | (3,512) | |||
Company's share in net income (loss) | (695) | |||
Adjustments for REIT basis | 0 | |||
Corporate Joint Venture [Member] | Gramercy European Property Fund (excluding legacy Goodman Europe Joint Venture) [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | (695) | |||
Corporate Joint Venture [Member] | Strategic Office Partners [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | $ 5,526 | |||
Operating expenses | 1,474 | |||
Interest expense | 1,510 | |||
Depreciation and amortization | 2,503 | |||
Total expenses | 5,487 | |||
Net income (loss) from operations | 39 | |||
Gain (loss) on derivatives | (349) | |||
Provision for taxes | 0 | |||
Net income (loss) | (310) | |||
Company's share in net income (loss) | (15) | |||
Adjustments for REIT basis | 0 | |||
Corporate Joint Venture [Member] | Strategic Office Partners [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | (15) | |||
Corporate Joint Venture [Member] | Goodman UK JV [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 295 | 4,284 | ||
Operating expenses | 302 | 287 | ||
Acquisition expenses | 0 | |||
Interest expense | 0 | 0 | ||
Depreciation and amortization | 375 | 750 | ||
Total expenses | 677 | 1,037 | ||
Net income (loss) from operations | (382) | 3,247 | ||
Gain (loss) on derivatives | 0 | 0 | ||
Loss on extinguishment of debt | 0 | |||
Net gain on disposals | 0 | |||
Provision for taxes | (8) | 0 | ||
Net income (loss) | (390) | 3,247 | ||
Company's share in net income (loss) | (312) | 2,597 | ||
Adjustments for REIT basis | (89) | (270) | ||
Corporate Joint Venture [Member] | Goodman UK JV [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | (401) | 2,327 | ||
Corporate Joint Venture [Member] | Duke Joint Venture [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 10,536 | |||
Operating expenses | 2,991 | |||
Acquisition expenses | 0 | |||
Interest expense | 436 | |||
Depreciation and amortization | 3,729 | |||
Total expenses | 7,156 | |||
Net income (loss) from operations | 3,380 | |||
Gain (loss) on derivatives | 0 | |||
Loss on extinguishment of debt | (7,962) | |||
Net gain on disposals | 38,535 | |||
Provision for taxes | 0 | |||
Net income (loss) | 33,953 | |||
Company's share in net income (loss) | 27,162 | |||
Adjustments for REIT basis | (32,621) | |||
Corporate Joint Venture [Member] | Duke Joint Venture [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | (5,459) | |||
Corporate Joint Venture [Member] | CBRE Strategic Partners Asia [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | (2,445) | |||
Operating expenses | 418 | |||
Interest expense | 0 | |||
Depreciation and amortization | 0 | |||
Total expenses | 418 | |||
Net income (loss) from operations | (2,863) | |||
Gain (loss) on derivatives | 0 | |||
Provision for taxes | 0 | |||
Net income (loss) | (2,863) | |||
Company's share in net income (loss) | (146) | |||
Adjustments for REIT basis | 0 | |||
Corporate Joint Venture [Member] | CBRE Strategic Partners Asia [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | (146) | |||
Corporate Joint Venture [Member] | Other [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 1,114 | 301 | ||
Operating expenses | 158 | 712 | ||
Acquisition expenses | 0 | |||
Interest expense | 641 | 729 | ||
Depreciation and amortization | 333 | 333 | ||
Total expenses | 1,132 | 1,774 | ||
Net income (loss) from operations | (18) | (1,473) | ||
Gain (loss) on derivatives | 0 | 0 | ||
Loss on extinguishment of debt | 0 | |||
Net gain on disposals | 0 | |||
Provision for taxes | 0 | 0 | ||
Net income (loss) | (18) | (1,473) | ||
Company's share in net income (loss) | (9) | (79) | ||
Adjustments for REIT basis | 0 | 0 | ||
Corporate Joint Venture [Member] | Other [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | (9) | $ (79) | ||
Europe [Member] | Corporate Joint Venture [Member] | Gramercy European Property Fund [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 15,073 | |||
Operating expenses | 3,873 | |||
Interest expense | 2,146 | |||
Depreciation and amortization | 6,494 | |||
Total expenses | 12,513 | |||
Net income (loss) from operations | 2,560 | |||
Gain (loss) on derivatives | 1,221 | |||
Provision for taxes | 129 | |||
Net income (loss) | 3,910 | |||
Company's share in net income (loss) | 513 | |||
Adjustments for REIT basis | (36) | |||
Europe [Member] | Corporate Joint Venture [Member] | Gramercy European Property Fund [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | 477 | |||
Europe [Member] | Corporate Joint Venture [Member] | Goodman Europe JV [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 4,955 | |||
Operating expenses | 922 | |||
Interest expense | 672 | |||
Depreciation and amortization | 2,021 | |||
Total expenses | 3,615 | |||
Net income (loss) from operations | 1,340 | |||
Gain (loss) on derivatives | 0 | |||
Provision for taxes | (17) | |||
Net income (loss) | 1,323 | |||
Company's share in net income (loss) | 67 | |||
Adjustments for REIT basis | (36) | |||
Europe [Member] | Corporate Joint Venture [Member] | Goodman Europe JV [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | 31 | |||
Europe [Member] | Corporate Joint Venture [Member] | Gramercy European Property Fund (excluding legacy Goodman Europe Joint Venture) [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Revenues | 10,118 | |||
Operating expenses | 2,951 | |||
Interest expense | 1,474 | |||
Depreciation and amortization | 4,473 | |||
Total expenses | 8,898 | |||
Net income (loss) from operations | 1,220 | |||
Gain (loss) on derivatives | 1,221 | |||
Provision for taxes | 146 | |||
Net income (loss) | 2,587 | |||
Company's share in net income (loss) | 446 | |||
Adjustments for REIT basis | 0 | |||
Europe [Member] | Corporate Joint Venture [Member] | Gramercy European Property Fund (excluding legacy Goodman Europe Joint Venture) [Member] | Continuing Operations [Member] | ||||
Investments in and Advances to Affiliates [Line Items] | ||||
Company's equity in net income (loss) within continuing operations | $ 446 |
Debt Obligations (Secured Debt)
Debt Obligations (Secured Debt) (Narrative) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017USD ($)Propertymortgage | Mar. 31, 2016USD ($)Propertymortgage | Dec. 31, 2016USD ($)Property | Dec. 31, 2015Property | |
Debt Instrument [Line Items] | ||||
Number of Acquisitions | Property | 7 | 21 | ||
Number of real estate properties in which secured debt repaid | Property | 2 | |||
Loss on extinguishment of debt | $ | $ 208 | $ 5,757 | ||
Mortgages [Member] | ||||
Debt Instrument [Line Items] | ||||
Number of Acquisitions | Property | 6 | |||
Mortgages transferred | mortgage | 2 | 1 | ||
Loss on extinguishment of debt | $ | $ 3,827 | |||
Gain on extinguishment of debt | $ | $ 1,930 | |||
Series of Individually Immaterial Business Acquisitions [Member] | Mortgages [Member] | ||||
Debt Instrument [Line Items] | ||||
Non-recourse debt | $ | $ 3,680 | $ 244,188 | ||
Number of Acquisitions | Property | 1 | 27 |
Debt Obligations (Schedule of M
Debt Obligations (Schedule of Mortgage Notes Payable) (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017USD ($)PropertySecurityLoan | Dec. 31, 2016USD ($) | |
Debt Instrument [Line Items] | ||
Total mortgage notes payable, net | $ 2,913,409 | |
Number of real estate properties in which secured debt repaid | Property | 2 | |
Number of loans cross collateralized by properties | SecurityLoan | 5 | |
Mortgage Notes Payable [Member] | ||
Debt Instrument [Line Items] | ||
Outstanding Balance | $ 547,392 | $ 555,484 |
Net deferred financing costs and net debt premium | 2,532 | 3,158 |
Total mortgage notes payable, net | $ 549,924 | 558,642 |
Mortgage Notes Payable [Member] | Buford [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.67% | |
Outstanding Balance | $ 15,393 | 15,512 |
Mortgage Notes Payable [Member] | Woodcliff Lake [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.04% | |
Outstanding Balance | $ 35,024 | 35,366 |
Mortgage Notes Payable [Member] | Logistics Portfolio - Pool 2 [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.48% | |
Outstanding Balance | $ 36,139 | 36,279 |
Number of real estate properties pledged under debt | Property | 5 | |
Mortgage Notes Payable [Member] | Dallas [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.05% | |
Outstanding Balance | $ 9,485 | 9,540 |
Mortgage Notes Payable [Member] | Cincinnati [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.29% | |
Outstanding Balance | $ 6,590 | 6,628 |
Mortgage Notes Payable [Member] | Jacksonville [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.05% | |
Outstanding Balance | $ 6,813 | 6,852 |
Mortgage Notes Payable [Member] | Phoenix [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.05% | |
Outstanding Balance | $ 4,097 | 4,120 |
Mortgage Notes Payable [Member] | Minneapolis [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.05% | |
Outstanding Balance | $ 5,967 | 6,001 |
Mortgage Notes Payable [Member] | Ames [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.05% | |
Outstanding Balance | $ 16,312 | 16,436 |
Mortgage Notes Payable [Member] | Columbus [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.57% | |
Outstanding Balance | $ 19,474 | 19,708 |
Mortgage Notes Payable [Member] | Greenwood [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.59% | |
Outstanding Balance | $ 7,392 | 7,436 |
Mortgage Notes Payable [Member] | Greenfield [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.63% | |
Outstanding Balance | $ 5,974 | 6,010 |
Mortgage Notes Payable [Member] | Logistics Portfolio - Pool 3 [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.96% | |
Outstanding Balance | $ 43,300 | 43,300 |
Number of real estate properties pledged under debt | Property | 2 | |
Mortgage Notes Payable [Member] | Philadelphia [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.99% | |
Outstanding Balance | $ 12,232 | 12,328 |
Mortgage Notes Payable [Member] | Columbus [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.94% | |
Outstanding Balance | $ 5,862 | 5,908 |
Mortgage Notes Payable [Member] | Bridgeview [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.90% | |
Outstanding Balance | $ 5,971 | 6,014 |
Mortgage Notes Payable [Member] | Spartanburg [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.20% | |
Outstanding Balance | $ 929 | 1,025 |
Mortgage Notes Payable [Member] | Charleston [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.11% | |
Outstanding Balance | $ 856 | 986 |
Mortgage Notes Payable [Member] | Lawrence [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.02% | |
Outstanding Balance | $ 20,545 | 20,703 |
Mortgage Notes Payable [Member] | Charlotte [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.28% | |
Outstanding Balance | $ 2,051 | 2,217 |
Mortgage Notes Payable [Member] | Hawthorne [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.52% | |
Outstanding Balance | $ 17,556 | 17,638 |
Mortgage Notes Payable [Member] | Charleston [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.97% | |
Outstanding Balance | $ 925 | 984 |
Mortgage Notes Payable [Member] | Charleston [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.37% | |
Outstanding Balance | $ 925 | 984 |
Mortgage Notes Payable [Member] | Charleston [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.32% | |
Outstanding Balance | $ 941 | 1,001 |
Mortgage Notes Payable [Member] | Charlotte [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.38% | |
Outstanding Balance | $ 802 | 853 |
Mortgage Notes Payable [Member] | Des Plaines [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.54% | |
Outstanding Balance | $ 2,444 | 2,463 |
Mortgage Notes Payable [Member] | Waco [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.75% | |
Outstanding Balance | $ 15,113 | 15,187 |
Mortgage Notes Payable [Member] | Deerfield [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.71% | |
Outstanding Balance | $ 10,716 | 10,804 |
Mortgage Notes Payable [Member] | Winston-Salem [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.41% | |
Outstanding Balance | $ 3,992 | 4,199 |
Mortgage Notes Payable [Member] | Winston-Salem [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.42% | |
Outstanding Balance | $ 1,320 | 1,388 |
Mortgage Notes Payable [Member] | Logistics Portfolio - Pool 1 [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.29% | |
Outstanding Balance | $ 38,842 | 39,002 |
Number of real estate properties pledged under debt | Property | 3 | |
Mortgage Notes Payable [Member] | CCC Portfolio [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.46% | |
Outstanding Balance | $ 23,162 | 23,280 |
Number of real estate properties pledged under debt | Property | 5 | |
Mortgage Notes Payable [Member] | Durham [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.02% | |
Outstanding Balance | $ 3,680 | 0 |
Mortgage Notes Payable [Member] | Logistics Portfolio - Pool 4 [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.36% | |
Outstanding Balance | $ 79,500 | 79,500 |
Number of real estate properties pledged under debt | Property | 6 | |
Mortgage Notes Payable [Member] | KIK USA Portfolio [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.63% | |
Outstanding Balance | $ 7,376 | 7,450 |
Number of real estate properties pledged under debt | Property | 3 | |
Mortgage Notes Payable [Member] | Yuma [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.27% | |
Outstanding Balance | $ 12,007 | 12,058 |
Mortgage Notes Payable [Member] | Allentown [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.16% | |
Outstanding Balance | $ 22,979 | 23,078 |
Mortgage Notes Payable [Member] | Spartanburg [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.72% | |
Outstanding Balance | $ 6,183 | 6,360 |
Mortgage Notes Payable [Member] | Charleston [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.80% | |
Outstanding Balance | $ 6,497 | 6,658 |
Mortgage Notes Payable [Member] | Hackettstown [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.95% | |
Outstanding Balance | $ 9,550 | 9,550 |
Mortgage Notes Payable [Member] | Hutchins [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 7.65% | |
Outstanding Balance | $ 22,476 | 22,764 |
Mortgage Notes Payable [Member] | KIK Canada Portfolio [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.57% | |
Outstanding Balance | $ 0 | $ 7,914 |
Number of real estate properties in which secured debt repaid | Property | 2 |
Debt Obligations (Unsecured Deb
Debt Obligations (Unsecured Debt) (Narrative) (Details) | 3 Months Ended | |||
Mar. 31, 2017extension | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 17, 2015USD ($) | |
Unsecured Debt [Member] | 2015 Revolving Credit Facility - U.S. Dollar Tranche [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate | 1.95% | |||
Unsecured Debt [Member] | 2015 Revolving Credit Facility - Multicurrency Tranche [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate | 1.02% | |||
Unsecured Debt [Member] | 3-Year Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate | 2.10% | |||
Unsecured Debt [Member] | 7-Year Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate | 2.31% | |||
Unsecured Debt [Member] | Senior Unsecured Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | $ 400,000,000 | $ 100,000,000 | ||
JPMorgan Chase Bank [Member] | 2015 Revolving Credit Facility - U.S. Dollar Tranche [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 1,900,000,000 | |||
Line of credit facility, number of extensions | extension | 2 | |||
JPMorgan Chase Bank [Member] | Term Loans [Member] | 3-Year Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | 300,000,000 | |||
JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, number of extensions | extension | 1 | |||
JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | Federal Funds Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.50% | |||
JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | LIBOR 30-Day [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.00% | |||
JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | Line of Credit [Member] | Unsecured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | 850,000,000 | |||
JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | Line of Credit [Member] | 2015 Revolving Credit Facility - US Dollars Tranche [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | 750,000,000 | |||
JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | Line of Credit [Member] | 2015 Revolving Credit Facility - Multicurrency Tranche [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | 100,000,000 | |||
JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | Term Loans [Member] | Unsecured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | 1,050,000,000 | |||
Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | $ 175,000,000 | |||
Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | Federal Funds Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.50% | |||
Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | LIBOR 30-Day [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.00% | |||
Minimum [Member] | Unsecured Debt [Member] | Senior Unsecured Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate | 3.89% | |||
Minimum [Member] | JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.90% | |||
Minimum [Member] | JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.00% | |||
Minimum [Member] | JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Commitment fee percentage | 0.125% | |||
Minimum [Member] | JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.875% | |||
Minimum [Member] | JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.00% | |||
Minimum [Member] | Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.30% | |||
Minimum [Member] | Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.30% | |||
Maximum [Member] | Unsecured Debt [Member] | Senior Unsecured Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest Rate | 4.97% | |||
Maximum [Member] | JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.75% | |||
Maximum [Member] | JPMorgan Chase Bank [Member] | Term Loans [Member] | JPM Term Loan [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.75% | |||
Maximum [Member] | JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Commitment fee percentage | 0.30% | |||
Maximum [Member] | JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.55% | |||
Maximum [Member] | JPMorgan Chase Bank [Member] | Revolving Credit Facility [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.55% | |||
Maximum [Member] | Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 2.10% | |||
Maximum [Member] | Capital One [Member] | Term Loans [Member] | 7-Year Term Loan [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.10% |
Debt Obligations (Exchangeable
Debt Obligations (Exchangeable Senior Notes) (Narrative) (Details) | Mar. 18, 2014USD ($)$ / shares | Mar. 31, 2017USD ($)$ / sharesshares | Mar. 31, 2016USD ($) | Dec. 31, 2016USD ($) |
Debt Instrument [Line Items] | ||||
Reclassification of fair value of embedded exchange option on 3.75% exchangeable senior notes | $ 11,726,000 | |||
Convertible Debt [Member] | Exchangeable Senior Notes 3.75% [Member] | ||||
Debt Instrument [Line Items] | ||||
Face amount | $ 115,000,000 | |||
Interest Rate | 3.75% | |||
Redemption price, percentage of principal amount redeemed | 100.00% | |||
Conversion ratio | 14.0843 | |||
Conversion of principal (in usd per share) | $ / shares | $ 1 | |||
Debt, fair value | $ 106,689,000 | |||
Carrying value of discount | $ 109,488,000 | $ 108,832,000 | ||
Unamortized discount | $ 5,512,000 | $ 6,168,000 | ||
Chambers Street Properties [Member] | Convertible Debt [Member] | Exchangeable Senior Notes 3.75% [Member] | ||||
Debt Instrument [Line Items] | ||||
Number of shares issued in acquisition (in shares) | shares | 44.9261 | |||
Common Shares [Member] | Convertible Debt [Member] | Exchangeable Senior Notes 3.75% [Member] | ||||
Debt Instrument [Line Items] | ||||
Conversion price (in usd per share) | $ / shares | $ 22.26 |
Debt Obligations (Schedule of C
Debt Obligations (Schedule of Credit Facilities and Term Loans) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Line of Credit Facility [Line Items] | ||
Long-term Debt | $ 2,913,409 | |
2015 Revolving Credit Facility - U.S. Dollar Tranche [Member] | ||
Line of Credit Facility [Line Items] | ||
Long-term Debt | 121,759 | |
Unsecured Debt [Member] | ||
Line of Credit Facility [Line Items] | ||
Outstanding Balance | 1,961,759 | $ 1,905,837 |
Unamortized discount and deferred financing costs | (8,988) | (9,704) |
Long-term Debt | $ 1,952,771 | 1,896,133 |
Unsecured Debt [Member] | 2015 Revolving Credit Facility - U.S. Dollar Tranche [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 1.95% | |
Effective Interest Rate | 1.95% | |
Outstanding Balance | $ 55,000 | 0 |
Unsecured Debt [Member] | 2015 Revolving Credit Facility - Multicurrency Tranche [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 1.02% | |
Effective Interest Rate | 1.02% | |
Outstanding Balance | $ 66,759 | 65,837 |
Unsecured Debt [Member] | 3-Year Term Loan [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 2.10% | |
Effective Interest Rate | 2.33% | |
Outstanding Balance | $ 300,000 | 300,000 |
Unsecured Debt [Member] | 5-Year Term Loan [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 2.10% | |
Effective Interest Rate | 2.70% | |
Outstanding Balance | $ 750,000 | 750,000 |
Unsecured Debt [Member] | 7-Year Term Loan [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 2.31% | |
Effective Interest Rate | 3.34% | |
Outstanding Balance | $ 175,000 | 175,000 |
Unsecured Debt [Member] | 2015 Senior Notes Due 2024 [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 4.97% | |
Effective Interest Rate | 5.07% | |
Outstanding Balance | $ 150,000 | 150,000 |
Unsecured Debt [Member] | 2016 Senior Notes Due 2022 [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 3.89% | |
Effective Interest Rate | 4.00% | |
Outstanding Balance | $ 150,000 | 150,000 |
Unsecured Debt [Member] | 2016 Senior Notes Due 2025 [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 4.26% | |
Effective Interest Rate | 4.38% | |
Outstanding Balance | $ 100,000 | 100,000 |
Unsecured Debt [Member] | 2016 Senior Notes Due 2026 [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 4.32% | |
Effective Interest Rate | 4.43% | |
Outstanding Balance | $ 100,000 | 100,000 |
Unsecured Debt [Member] | Exchangeable Senior Notes [Member] | ||
Line of Credit Facility [Line Items] | ||
Stated Interest Rate | 3.75% | |
Effective Interest Rate | 6.36% | |
Outstanding Balance | $ 115,000 | $ 115,000 |
Debt Obligations (Schedule of63
Debt Obligations (Schedule of Maturities of Long-term Debt) (Details) $ in Thousands | Mar. 31, 2017USD ($) |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
Long-term Debt | $ 2,913,409 |
Long-term Debt, Interest Payments, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017, interest | 65,562 |
2018, interest | 80,435 |
2019, interest | 70,155 |
2020, interest | 65,605 |
2021, interest | 39,682 |
Thereafter, interest | 89,275 |
Above market interest | (6,456) |
Interest payments, total | 404,258 |
Long-term Debt and Interest, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017, total | 127,036 |
2018, total | 251,254 |
2019, total | 518,827 |
2020, total | 247,467 |
2021, total | 806,046 |
Thereafter, total | 969,235 |
Net premium, total | (6,456) |
2015 Revolving Credit Facility [Member] | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 121,759 |
2,021 | 0 |
Thereafter | 0 |
Long-term Debt | 121,759 |
Long-term Debt, Interest Payments, Fiscal Year Maturity [Abstract] | |
Above market interest | 0 |
Senior Unsecured Notes [Member] | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 500,000 |
Long-term Debt | 500,000 |
Long-term Debt, Interest Payments, Fiscal Year Maturity [Abstract] | |
Above market interest | 0 |
Exchangeable Senior Notes 3.75% [Member] | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017 | 0 |
2,018 | 0 |
2,019 | 115,000 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 0 |
Long-term Debt | 115,000 |
Long-term Debt, Interest Payments, Fiscal Year Maturity [Abstract] | |
Above market interest | 0 |
Term Loans [Member] | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017 | 0 |
2,018 | 0 |
2,019 | 300,000 |
2,020 | 0 |
2,021 | 750,000 |
Thereafter | 175,000 |
Long-term Debt | 1,225,000 |
Long-term Debt, Interest Payments, Fiscal Year Maturity [Abstract] | |
Above market interest | 0 |
Mortgage Notes Payable [Member] | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
April 1 to December 31, 2017 | 61,474 |
2,018 | 170,819 |
2,019 | 33,672 |
2,020 | 60,103 |
2,021 | 16,364 |
Thereafter | 204,960 |
Long-term Debt | 547,392 |
Long-term Debt, Interest Payments, Fiscal Year Maturity [Abstract] | |
Above market interest | $ 0 |
Leasing Agreements (Schedule of
Leasing Agreements (Schedule of Future Minimum Rental Payments) (Details) $ in Thousands | Mar. 31, 2017USD ($) |
Leases, Operating [Abstract] | |
April 1 to December 31, 2017 | $ 289,129 |
2,018 | 385,259 |
2,019 | 358,794 |
2,020 | 330,608 |
2,021 | 305,318 |
Thereafter | 1,615,136 |
Total minimum lease rental income | $ 3,284,244 |
Transactions with Trustee Rel65
Transactions with Trustee Related Entities and Related Parties (Narrative) (Details) € in Thousands, $ in Thousands | Jun. 30, 2016USD ($) | Jun. 30, 2016EUR (€) | Dec. 31, 2016USD ($) | Dec. 31, 2016EUR (€) | Mar. 31, 2017USD ($)ft²director | Mar. 31, 2016USD ($) | Mar. 31, 2017EUR (€)ft²director | Dec. 31, 2016EUR (€) | Jun. 29, 2016 | May 31, 2016ft² | Dec. 31, 2015 |
Related Party Transaction [Line Items] | |||||||||||
Proceeds from sale of investment | $ 0 | $ 47,408 | |||||||||
Investments in joint ventures | $ 101,807 | $ 105,187 | |||||||||
Area of real estate property | ft² | 487,872 | 487,872 | |||||||||
Duke Realty [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Amount of related party transaction | $ 176 | ||||||||||
Lille [Member] | Gramercy European Property Fund [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Proceeds from sale of real estate | $ 2,662 | € 2,563 | |||||||||
Minnesota [Member] | Duke Realty [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Area of property leased | ft² | 30,777 | ||||||||||
Area of real estate property | ft² | 322,551 | ||||||||||
The Company [Member] | Gramercy Europe [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Initial equity capital available | $ 55,892 | € 50,000 | |||||||||
Chief Executive Officer [Member] | Gramercy Europe [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Investments in joint ventures | 1,388 | 1,250 | |||||||||
Managing Directors [Member] | Gramercy Europe [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Investments in joint ventures | $ 1,388 | € 1,250 | |||||||||
Goodman Europe JV [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership % | 5.10% | 5.10% | 5.10% | 5.10% | 80.00% | ||||||
Proceeds from sale of investment | $ 148,884 | € 134,336 | |||||||||
Gain on sale of investment | $ 5,341 | ||||||||||
Goodman Europe JV [Member] | Gramercy European Property Fund [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership % | 94.90% | 94.90% | |||||||||
Ownership percentage acquired | 74.90% | 74.90% | |||||||||
Gramercy European Property Fund [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership % | 14.20% | 14.20% | 14.20% | 14.20% | |||||||
Initial equity capital available | $ 13,315 | $ 13,315 | € 12,500 | € 12,500 | |||||||
Gramercy Europe Asset [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership % | 50.00% | ||||||||||
Number of managing directors | director | 2 | 2 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2017USD ($)Property | Mar. 31, 2016USD ($) | Mar. 31, 2017impaired_property | Dec. 31, 2016Property | Dec. 31, 2016impaired_property | |
Fair Value Disclosures [Abstract] | |||||
Change in net unrealized gain (loss) on derivative instruments | $ 4,378 | $ (22,189) | |||
Number of Properties | 48 | 2 | 46 | 1 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Carrying Value and Fair Value of Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Retained CDO Bonds [Member] | ||
Financial assets: | ||
Investments | $ 4,828 | |
Carrying Value [Member] | ||
Long-term debt | ||
2015 Revolving Credit Facility | 121,759 | $ 65,837 |
Mortgage notes payable | 549,924 | 558,642 |
Carrying Value [Member] | 3-Year Term Loan [Member] | ||
Long-term debt | ||
Term loans | 300,000 | 300,000 |
Carrying Value [Member] | 5-Year Term Loan [Member] | ||
Long-term debt | ||
Term loans | 750,000 | 750,000 |
Carrying Value [Member] | 7-Year Term Loan [Member] | ||
Long-term debt | ||
Term loans | 175,000 | 175,000 |
Carrying Value [Member] | Senior Unsecured Notes [Member] | ||
Long-term debt | ||
Senior notes | 496,524 | 496,464 |
Carrying Value [Member] | Exchangeable Senior Notes [Member] | ||
Long-term debt | ||
Senior notes | 109,488 | 108,832 |
Carrying Value [Member] | Interest Rate Swap [Member] | ||
Financial assets: | ||
Interest rate swaps | 8,010 | 3,769 |
Financial liabilities: | ||
Interest rate swaps | 517 | 700 |
Carrying Value [Member] | Retained CDO Bonds [Member] | ||
Financial assets: | ||
Investments | 4,828 | 11,906 |
Carrying Value [Member] | Investment in CBRE Strategic Partners Asia [Member] | ||
Financial assets: | ||
Investments | 3,999 | 4,145 |
Carrying Value [Member] | Real Estate Investments [Member] | ||
Financial assets: | ||
Investments | 46,188 | 2,413 |
Fair Value [Member] | ||
Long-term debt | ||
2015 Revolving Credit Facility | 113,887 | 65,897 |
Mortgage notes payable | 559,553 | 567,705 |
Fair Value [Member] | 3-Year Term Loan [Member] | ||
Long-term debt | ||
Term loans | 298,894 | 300,213 |
Fair Value [Member] | 5-Year Term Loan [Member] | ||
Long-term debt | ||
Term loans | 744,112 | 750,959 |
Fair Value [Member] | 7-Year Term Loan [Member] | ||
Long-term debt | ||
Term loans | 176,653 | 172,850 |
Fair Value [Member] | Senior Unsecured Notes [Member] | ||
Long-term debt | ||
Senior notes | 500,598 | 498,650 |
Fair Value [Member] | Exchangeable Senior Notes [Member] | ||
Long-term debt | ||
Senior notes | 116,382 | 115,625 |
Fair Value [Member] | Interest Rate Swap [Member] | ||
Financial assets: | ||
Interest rate swaps | 8,010 | 3,769 |
Financial liabilities: | ||
Interest rate swaps | 517 | 700 |
Fair Value [Member] | Retained CDO Bonds [Member] | ||
Financial assets: | ||
Investments | 4,828 | 11,906 |
Fair Value [Member] | Investment in CBRE Strategic Partners Asia [Member] | ||
Financial assets: | ||
Investments | 3,999 | 4,145 |
Fair Value [Member] | Real Estate Investments [Member] | ||
Financial assets: | ||
Investments | $ 46,188 | $ 2,413 |
Fair Value Measurements (Sche68
Fair Value Measurements (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - Estimate of Fair Value Measurement [Member] - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | $ 63,025 | $ 22,233 |
Financial Liabilities: | (517) | (700) |
Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Liabilities: | (517) | (700) |
Retained CDO Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 4,828 | 11,906 |
Investments [Member] | Real Estate Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 46,188 | 2,413 |
Investments [Member] | Investment in CBRE Strategic Partners Asia [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 3,999 | 4,145 |
Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 8,010 | 3,769 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Financial Liabilities: | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Liabilities: | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Retained CDO Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Investments [Member] | Real Estate Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Investments [Member] | Investment in CBRE Strategic Partners Asia [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Financial Liabilities: | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Liabilities: | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Retained CDO Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Investments [Member] | Real Estate Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Investments [Member] | Investment in CBRE Strategic Partners Asia [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 63,025 | 22,233 |
Financial Liabilities: | (517) | (700) |
Fair Value, Inputs, Level 3 [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Liabilities: | (517) | (700) |
Fair Value, Inputs, Level 3 [Member] | Retained CDO Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 4,828 | 11,906 |
Fair Value, Inputs, Level 3 [Member] | Investments [Member] | Real Estate Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 46,188 | 2,413 |
Fair Value, Inputs, Level 3 [Member] | Investments [Member] | Investment in CBRE Strategic Partners Asia [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | 3,999 | 4,145 |
Fair Value, Inputs, Level 3 [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Assets: | $ 8,010 | $ 3,769 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value, Assets and Liabilities Measured on Recurring Basis, Valuation Techniques) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Dec. 31, 2016 | |
CBRE Strategic Partners Asia [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, Fair Value | $ 3,999 | |
Discount rate | 20.00% | |
Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative, Fair Value | $ 7,493 | |
Interest Rate Swap [Member] | Estimate of Fair Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swaps | $ 517 | $ 700 |
Minimum [Member] | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 1.35% | |
Maximum [Member] | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 2.30% | |
Non-investment grade, subordinate CDO bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, Fair Value | $ 4,828 | |
Discount rate | 16.50% | |
Non-investment grade, subordinate CDO bonds [Member] | Estimate of Fair Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, Fair Value | $ 4,828 | $ 11,906 |
Fair Value Measurements (Fair70
Fair Value Measurements (Fair Value, Assets (Liabilities) Measured on Recurring Basis, Unobservable Input Reconciliation) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | $ 19,120 |
Amortization of discounts or premiums | 632 |
Adjustments to fair value: | |
Unrealized loss in other comprehensive income from fair value adjustment | (2,820) |
Other-than-temporary impairments | (4,890) |
Total loss on fair value adjustments | (146) |
Ending balance | 16,320 |
Adjustments To Fair Value, Assets (Liabilities) [Abstract] | |
Ineffective portion of change in derivative instruments | 46 |
Unrealized gain on derivatives | 4,378 |
Investment in CBRE Strategic Partners Asia [Member] | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | 4,145 |
Adjustments to fair value: | |
Total loss on fair value adjustments | (146) |
Ending balance | 3,999 |
Interest Rate Swap [Member] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | 3,069 |
Adjustments To Fair Value, Assets (Liabilities) [Abstract] | |
Ineffective portion of change in derivative instruments | 46 |
Unrealized gain on derivatives | 4,378 |
Ending balance | 7,493 |
Retained CDO Bonds [Member] | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | 11,906 |
Amortization of discounts or premiums | 632 |
Adjustments to fair value: | |
Unrealized loss in other comprehensive income from fair value adjustment | (2,820) |
Other-than-temporary impairments | (4,890) |
Ending balance | $ 4,828 |
Derivatives and Non-Derivativ71
Derivatives and Non-Derivative Hedging Instruments (Schedule of Derivative Instruments) (Details) - Not Designated as Hedging Instrument [Member] £ in Thousands, $ in Thousands | Mar. 31, 2017USD ($) | Mar. 31, 2017GBP (£) |
Derivative [Line Items] | ||
Fair Value | $ 7,493 | |
Interest Rate Swap Strike Rate 4.55% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 15,113 | |
Strike Rate | 4.55% | 4.55% |
Fair Value | $ (356) | |
Interest Rate Swap Strike Rate 1.78% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 19,474 | |
Strike Rate | 1.78% | 1.78% |
Fair Value | $ (108) | |
Interest Rate Swap Strike Rate 1.95% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 5,862 | |
Strike Rate | 1.95% | 1.95% |
Fair Value | $ (52) | |
Interest Rate Swap Strike Rate 1.22% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 100,000 | |
Strike Rate | 1.22% | 1.22% |
Fair Value | $ 371 | |
Interest Rate Swap Strike Rate 1.23% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 100,000 | |
Strike Rate | 1.23% | 1.23% |
Fair Value | $ 364 | |
Interest Rate Swap Strike Rate 1.24% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 100,000 | |
Strike Rate | 1.24% | 1.24% |
Fair Value | $ 345 | |
Interest Rate Swap Strike Rate 1.60% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 750,000 | |
Strike Rate | 1.60% | 1.60% |
Fair Value | $ 5,328 | |
Interest Rate Swap Strike Rate 1.82% [Member] | ||
Derivative [Line Items] | ||
Notional Value | $ 175,000 | |
Strike Rate | 1.82% | 1.82% |
Fair Value | $ 1,601 | |
Net Investment Hedge in Euro-denominated Investments [Member] | ||
Derivative [Line Items] | ||
Notional Value | 45,000 | |
Fair Value | 0 | |
Net Investment Hedge in GBP-denominated Investments [Member] | ||
Derivative [Line Items] | ||
Notional Value | £ | £ 15,000 | |
Fair Value | $ 0 |
Derivatives and Non-Derivativ72
Derivatives and Non-Derivative Hedging Instruments (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Derivative [Line Items] | ||
Gain (loss) on derivative | $ 46 | $ (1,830) |
Interest expense | 23,056 | 21,953 |
Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Derivative asset, fair value | 8,010 | |
Net liability of derivative | 517 | |
Interest expense | 268 | 315 |
Amounts reclassified from OCI | 3,536 | |
Interest expense to be recognized | 2,382 | |
Remaining AOCI balance related to swap to be reclassified in the next twelve months | 1,087 | |
Net Investment Hedge in GBP-denominated Investments [Member] | ||
Derivative [Line Items] | ||
Net liability of derivative | 66,759 | |
Loss on hedge ineffectiveness | $ (923) | $ (1,036) |
Shareholders' Equity (Deficit73
Shareholders' Equity (Deficit) (Narrative) (Details) | 1 Months Ended | 3 Months Ended | ||||
Jan. 31, 2017USD ($) | Dec. 31, 2016$ / sharesshares | Jun. 30, 2016shares | Mar. 31, 2017USD ($)$ / sharesshares | Mar. 31, 2016$ / shares | Feb. 29, 2016USD ($) | |
Class of Stock [Line Items] | ||||||
Capital units, authorized (in shares) | 500,000,000 | 500,000,000 | ||||
Common stock, par value (in usd per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Capital stock, par value (in usd per share) | $ / shares | $ 0.01 | |||||
Common stock, shares authorized (in shares) | 490,000,000 | 490,000,000 | ||||
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 | ||||
Preferred stock, shares outstanding (in shares) | 3,500,000 | |||||
Common stock, shares issued (in shares) | 140,647,971 | 141,522,527 | ||||
Stock split conversion ratio | 0.3333 | |||||
Dividends declared (in usd per share) | $ / shares | $ 0.375 | |||||
Shares registered for DRIP (in shares) | 3,333,333 | |||||
Dividend reinvestment program proceeds (in shares) | 2,976 | |||||
Authorized repurchase amount | $ | $ 100,000,000 | |||||
Shares available for issuance under DRIP (in shares) | 3,329,660 | |||||
At-the-market offering | $ | $ 375,000,000 | |||||
Series A Preferred Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock, shares authorized (in shares) | 3,500,000 | 3,500,000 | ||||
Cumulative redeemable preferred stock, par value (in usd per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Preferred stock, shares outstanding (in shares) | 3,500,000 | 3,500,000 | ||||
Preferred stock, shares issued (in shares) | 3,500,000 | 3,500,000 | ||||
At Market Offering Program [Member] | ||||||
Class of Stock [Line Items] | ||||||
Issuance of shares (in shares) | 731,453 | |||||
Proceeds from sale of stock | $ | $ 19,700,000 |
Shareholders' Equity (Deficit74
Shareholders' Equity (Deficit) (Preferred Stock) (Narrative) (Details) - $ / shares | Dec. 17, 2015 | Mar. 31, 2017 | Dec. 31, 2016 |
Class of Stock [Line Items] | |||
Preferred stock, shares outstanding (in shares) | 3,500,000 | ||
Series A Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock, shares outstanding (in shares) | 3,500,000 | 3,500,000 | |
Preferred stock, redemption price per share (in usd per share) | $ 25 | ||
7.125% Series A Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividend rate on preferred stock | 7.125% | 7.125% | |
Preferred stock, dividend rate (in usd per share) | $ 1.78125 |
Shareholders' Equity (Deficit75
Shareholders' Equity (Deficit) (Equity Plan Summaries and Activities) (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unvested restricted shares outstanding (in shares) | 334,689 | 259,976 | 318,807 |
2016 Equity Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for grant (in shares) | 3,343,365 | ||
Grants in period (in shares) | 908,985 | ||
Shares vesting percentage | 73.10% | ||
2016 Equity Incentive Plan [Member] | Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 817 | $ 483 | |
Share based compensation expense, not yet recognized | $ 5,741 | ||
Share based compensation expense, not yet recognized, period of recognition | 33 months | ||
Outperformance Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 1,056 | $ 488 | |
Share based compensation expense, not yet recognized | $ 6,969 | ||
Share based compensation expense, not yet recognized, period of recognition | 37 months |
Shareholders' Equity (Deficit76
Shareholders' Equity (Deficit) (Schedule of Calculation of Numerator and Denominator in Earnings Per Share) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Numerator - Income (loss) | ||
Net loss from continuing operations | $ (8,072) | $ (5,693) |
Net income (loss) from discontinued operations | (24) | 4,640 |
Loss before net gain on disposals | (8,096) | (1,053) |
Net gain on disposals | 17,377 | 0 |
Net income (loss) | 9,281 | (1,053) |
Net (income) loss attributable to noncontrolling interest | (154) | 120 |
Less: Nonforfeitable dividends allocated to participating shareholders | (276) | (199) |
Preferred share dividends | (1,559) | (1,559) |
Net income (loss) available to vested common shares outstanding | $ 7,292 | $ (2,691) |
Denominator – Weighted average shares | ||
Weighted average basic shares outstanding (in shares) | 140,907,399 | 140,060,405 |
Effect of dilutive securities | ||
Unvested share based payment awards (in shares) | 71,848 | 0 |
Option (in shares) | 15,576 | 0 |
Exchangeable Senior Notes (in shares) | 880,796 | 0 |
Diluted shares (in shares) | 141,875,619 | 140,060,405 |
Shareholders' Equity (Deficit77
Shareholders' Equity (Deficit) (Earnings per Share) (Narrative) (Details) - shares | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Equity Option [Member] | |||
Class of Stock [Line Items] | |||
Securities excluded from computation of EPS (in shares) | 961,155 | ||
Stock Compensation Plan [Member] | |||
Class of Stock [Line Items] | |||
Securities excluded from computation of EPS (in shares) | 5,445 | ||
OP Units [Member] | |||
Class of Stock [Line Items] | |||
Securities excluded from computation of EPS (in shares) | 458,101 | ||
Outside Interests in Operating Partnership [Member] | |||
Class of Stock [Line Items] | |||
Securities excluded from computation of EPS (in shares) | 620,586 | ||
Restricted Stock [Member] | |||
Class of Stock [Line Items] | |||
Unvested restricted shares outstanding (in shares) | 334,689 | 259,976 | 318,807 |
Shareholders' Equity (Deficit78
Shareholders' Equity (Deficit) (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Equity [Abstract] | |||
Net unrealized gain (loss) on derivative securities | $ 3,938 | $ (440) | |
Net unrealized gain on debt instruments | 879 | 3,699 | |
Foreign currency translation adjustments: | |||
Gain on non-derivative net investment hedges | 4,245 | 5,168 | |
Write-off on non-derivative net investment hedge | (652) | (652) | |
Other foreign currency translation adjustments | (9,638) | (11,252) | |
Reclassification of accumulated foreign currency translation adjustments due to disposal | (3,737) | (3,737) | |
Disposition of European investment | 1,944 | 1,944 | |
Reclassification of swap gain into interest expense | 1,410 | $ 1,142 | |
Total accumulated other comprehensive loss | $ (1,611) | $ (4,128) |
Noncontrolling Interest (Narrat
Noncontrolling Interest (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Noncontrolling Interest [Line Items] | ||||
Noncontrolling interest in operating partnership (in usd) | $ 6,129 | $ 8,643 | ||
Noncontrolling interest in other partnerships | $ (205) | $ (321) | ||
Operating Partnership Units [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Shares outstanding (in shares) | 233,023 | |||
Capital shares reserved for future issuance (in shares) | 233,023 | |||
Shares converted | 80,816 | 156,452 | ||
Gramercy Europe Asset [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Ownership % | 50.00% | |||
GPT Property Trust Limited Partnership [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Ownership percentage by noncontrolling owners | 0.40% | |||
Ownership % | 100.00% | |||
Long-term Incentive Plan Units [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Capital shares reserved for future issuance (in shares) | 329,759 | |||
Shares vested (in shares) | 329,759 |
Noncontrolling Interest (Noncon
Noncontrolling Interest (Noncontrolling Interest in the Operating Partnership) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |
Balance at beginning of period | $ 8,643 |
Redemption of noncontrolling interests in the Operating Partnership | (2,164) |
Net income attribution | 34 |
Fair value adjustments | (296) |
Dividends | (88) |
Balance at end of period | $ 6,129 |
Commitments and Contingencies81
Commitments and Contingencies (Narrative) (Details) € in Thousands, $ in Thousands | 1 Months Ended | |||||
Feb. 28, 2017USD ($) | Mar. 31, 2017USD ($)ft²Property | Mar. 31, 2017EUR (€)ft²Property | Dec. 31, 2016USD ($) | Dec. 31, 2016EUR (€) | Sep. 30, 2016USD ($) | |
Commitments And Contingencies [Line Items] | ||||||
Area of real estate property | ft² | 487,872 | 487,872 | ||||
Round Rock [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Real Estate Assets | $ 29,605 | |||||
The Company [Member] | Gramercy Europe [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Initial equity capital available | 55,892 | € 50,000 | ||||
Minimum [Member] | Clayton, Missouri 130 South Bemiston Ave [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Estimate of possible loss | 0 | |||||
Maximum [Member] | Clayton, Missouri 130 South Bemiston Ave [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Estimate of possible loss | 360 | |||||
Chambers Street Properties [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Estimate of possible loss | 360 | |||||
Proportion Foods [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Amount committed | 24,382 | |||||
Gramercy European Property Fund [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Initial equity capital available | 13,315 | € 12,500 | $ 13,315 | € 12,500 | ||
Strategic Office Partners [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Commitment amount | 400,000 | |||||
Amount funded in joint venture | 18,677 | $ 16,027 | ||||
Strategic Office Partners [Member] | Parent Company [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Commitment amount | $ 100,000 | $ 100,000 | ||||
Operating expense reimbursement audits [Member] | Settled Litigation [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Payments for settlement | $ 3,500 | |||||
Build-to-suit Property [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Properties obligated to build | Property | 1 | 1 | ||||
Build-to-suit Property [Member] | Summerville [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Area of real estate property | ft² | 240,800 | 240,800 |
Commitments and Contingencies82
Commitments and Contingencies (Schedule of Future Minimum Rental Payments) (Details) $ in Thousands | Mar. 31, 2017USD ($) |
Ground Leases - Operating | |
April 1 to December 31, 2017, operating | $ 1,685 |
2018, operating | 2,262 |
2019, operating | 2,271 |
2020, operating | 2,263 |
2021, operating | 2,231 |
Thereafter, operating | 61,857 |
Total minimum rent expense, operating | 72,569 |
Ground Leases - Capital | |
April 1 to December 31, 2017 | 0 |
2,018 | 1 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter, capital | 329 |
Total minimum rent expense, capital | 330 |
Total | |
April 1 to December 31, 2017 | 1,685 |
2,018 | 2,263 |
2,019 | 2,271 |
2,020 | 2,263 |
2,021 | 2,231 |
Thereafter | 62,186 |
Total minimum rent expense | $ 72,899 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense (benefit) | $ (196) | $ 703 |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2017segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Number of reportable segments | 2 |
Segment Reporting (Evaluation o
Segment Reporting (Evaluation of Performance by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Total revenues | $ 129,994 | $ 120,545 | |
Equity in net loss from unconsolidated equity investments | (94) | (2,755) | |
Total operating and interest expense | (120,299) | (117,023) | |
Other expenses | (17,673) | (6,460) | |
Loss from continuing operations | (8,072) | (5,693) | |
Assets: | |||
Total assets | 5,606,860 | $ 5,603,527 | |
Depreciation and amortization | 62,217 | 58,248 | |
Income tax benefit | 196 | (703) | |
Asset Management [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 4,584 | 5,151 | |
Equity in net loss from unconsolidated equity investments | 0 | 0 | |
Total operating and interest expense | (1,603) | (5,075) | |
Other expenses | (41) | (384) | |
Loss from continuing operations | 2,940 | (308) | |
Assets: | |||
Total assets | 14,191 | 21,004 | |
Investments/Corporate [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenues | 125,410 | 115,394 | |
Equity in net loss from unconsolidated equity investments | (94) | (2,755) | |
Total operating and interest expense | (118,696) | (111,948) | |
Other expenses | (17,632) | (6,076) | |
Loss from continuing operations | (11,012) | $ (5,385) | |
Assets: | |||
Total assets | $ 5,592,669 | $ 5,582,523 |
Supplemental Cash Flow Inform86
Supplemental Cash Flow Information (Non-Cash Activities Recognized in Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Supplemental Cash Flow Elements [Abstract] | ||
Interest paid | $ 17,447 | $ 20,638 |
Income taxes paid | 71 | 322 |
Proceeds from 1031 exchanges from sales of real estate | 23,219 | 175,808 |
Use of funds from 1031 exchanges for acquisitions of real estate | (23,218) | (30,308) |
Non-cash activity: | ||
Fair value adjustment to noncontrolling interest in the Operating Partnership | (296) | 1,207 |
Debt assumed in acquisition of real estate | 3,680 | 0 |
Debt transferred in disposition of real estate | (10,456) | (101,432) |
Non-cash acquisition of consolidated VIE | 24,930 | 0 |
Dividend reinvestment plan proceeds | 81 | 0 |
Redemption of units of noncontrolling interest in the Operating Partnership for common shares | $ (2,164) | $ (524) |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) $ / shares in Units, $ in Thousands | Dec. 17, 2015 | May 31, 2017$ / shares | Apr. 30, 2017USD ($)ft²Property$ / sharesshares | Mar. 31, 2017USD ($)ft²Property | Mar. 31, 2016USD ($)$ / shares | Dec. 31, 2016Property | Dec. 31, 2015Property | Jun. 29, 2016 |
Subsequent Event [Line Items] | ||||||||
Number of Acquisitions | Property | 7 | 21 | ||||||
Square Feet | ft² | 2,257,311 | |||||||
Area of real estate properties sold | ft² | 487,872 | |||||||
Proceeds from sale of common shares | $ 20,081 | $ 0 | ||||||
Dividends declared (in usd per share) | $ / shares | $ 0.375 | |||||||
Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Number of Acquisitions | Property | 2 | |||||||
Properties sold | Property | 3 | |||||||
Area of real estate properties sold | ft² | 208,336 | |||||||
Proceeds from sale of real estate | $ 47,030 | |||||||
Share price (in usd per share) | $ / shares | $ 27.60 | |||||||
Proceeds from sale of common shares | $ 274,234 | |||||||
Dividends declared (in usd per share) | $ / shares | $ 0.375 | |||||||
Dividends declared (in usd per share) | $ / shares | $ 0.44531 | |||||||
Industrial Property [Member] | Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Square Feet | ft² | 787,074 | |||||||
Occupancy rate | 100.00% | |||||||
Purchase Price | $ 51,500 | |||||||
Land [Member] | Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Purchase Price | 1,000 | |||||||
Project commitment | $ 25,805 | |||||||
Public Offering [Member] | Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Shares issued in offering (in shares) | shares | 10,350,000 | |||||||
Underwriters Option [Member] | Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Shares issued in offering (in shares) | shares | 1,350,000 | |||||||
Gramercy European Property Fund [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Ownership % | 14.20% | 14.20% | ||||||
Gramercy European Property Fund [Member] | Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Ownership % | 14.20% | |||||||
Goodman Europe JV [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Number of Acquisitions | Property | 1 | 13 | ||||||
Ownership % | 5.10% | 5.10% | 80.00% | |||||
Goodman Europe JV [Member] | Subsequent Event [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Ownership % | 5.10% | |||||||
7.125% Series A Preferred Stock [Member] | ||||||||
Subsequent Event [Line Items] | ||||||||
Dividend rate on preferred stock | 7.125% | 7.125% |