Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Jul. 15, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | PARAMOUNT GROUP, INC. | |
Trading Symbol | PGRE | |
Title of 12(b) Security | Common stock of Paramount Group, Inc.,$0.01 par value per share | |
Security Exchange Name | NYSE | |
Entity Central Index Key | 0001605607 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity File Number | 001-36746 | |
Entity Tax Identification Number | 32-0439307 | |
Entity Address, Address Line One | 1633 Broadway | |
Entity Address, Address Line Two | Suite 1801 | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10019 | |
City Area Code | 212 | |
Local Phone Number | 237-3100 | |
Entity Incorporation, State or Country Code | MD | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes | |
Entity Common Stock, Shares Outstanding | 218,961,000 |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | |
Real estate, at cost: | |||
Land | $ 1,966,237 | $ 1,966,237 | |
Buildings and improvements | 6,011,239 | 5,997,078 | |
Rental property, at cost | 7,977,476 | 7,963,315 | |
Accumulated depreciation and amortization | (1,026,542) | (966,697) | |
Real estate, net | 6,950,934 | 6,996,618 | |
Cash and cash equivalents | 475,289 | 434,530 | |
Restricted cash | 32,552 | 30,794 | |
Investments in unconsolidated joint ventures | 407,564 | 412,724 | |
Investments in unconsolidated real estate funds | 12,979 | 12,917 | |
Accounts and other receivables | 13,366 | 17,502 | |
Deferred rent receivable | 339,874 | 330,239 | |
Deferred charges, net of accumulated amortization of $62,761 and $56,612 | 111,275 | 116,278 | |
Intangible assets, net of accumulated amortization of $245,405 and $283,332 | 135,764 | 153,519 | |
Other assets | 53,543 | 48,976 | |
Total assets | [1] | 8,533,140 | 8,554,097 |
Liabilities and Equity | |||
Notes and mortgages payable, net of unamortized deferred financing costs of $15,105 and $18,695 | 3,816,759 | 3,800,739 | |
Revolving credit facility | 0 | 0 | |
Accounts payable and accrued expenses | 103,895 | 101,901 | |
Dividends and distributions payable | 16,897 | 16,796 | |
Intangible liabilities, net of accumulated amortization of $106,086 and $107,981 | 50,392 | 55,996 | |
Other liabilities | 65,074 | 62,931 | |
Total liabilities | [1] | 4,053,017 | 4,038,363 |
Commitments and contingencies | |||
Paramount Group, Inc. equity: | |||
Common stock $0.01 par value per share; authorized 900,000,000 shares; issued and outstanding 218,961,870 and 218,817,337 shares in 2021 and 2020, respectively | 2,189 | 2,188 | |
Additional paid-in-capital | 4,113,889 | 4,120,173 | |
Earnings less than distributions | (507,321) | (456,393) | |
Accumulated other comprehensive loss | (8,478) | (12,791) | |
Paramount Group, Inc. equity | 3,600,279 | 3,653,177 | |
Noncontrolling interests in: | |||
Consolidated joint ventures | 442,428 | 437,161 | |
Consolidated real estate fund | 79,085 | 79,017 | |
Operating Partnership (21,799,022 and 20,756,618 units outstanding) | 358,331 | 346,379 | |
Total equity | 4,480,123 | 4,515,734 | |
Total liabilities and equity | $ 8,533,140 | $ 8,554,097 | |
[1] | Represents the consolidated assets and liabilities of Paramount Group Operating Partnership LP, a Delaware limited partnership (the “Operating Partnership”). The Operating Partnership is a consolidated variable interest entity (“VIE”), of which we are the sole general partner and own approximately 91.0% as of June 30, 2021. As of June 30, 2021, the Operating Partnership includes $4,053,771 and $2,560,820 of assets and liabilities, respectively, of certain VIEs that are consolidated by the Operating Partnership. See Note 11, Variable Interest Entities (“VIEs”). |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parentheticals) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2021 | Dec. 31, 2020 | ||
Deferred charges, accumulated amortization | $ 62,761 | $ 56,612 | |
Intangible assets, accumulated amortization | 245,405 | 283,332 | |
Notes and mortgages payable, net of unamortized deferred financing costs | 15,105 | 18,695 | |
Intangible liabilities, accumulated amortization | $ 106,086 | $ 107,981 | |
Common stock, par value | $ 0.01 | $ 0.01 | |
Common stock, shares authorized | 900,000,000 | 900,000,000 | |
Common stock, shares issued | 218,961,870 | 218,817,337 | |
Common stock, shares outstanding | 218,961,870 | 218,817,337 | |
Operating partnership, units outstanding | 21,799,022 | 20,756,618 | |
Total assets | [1] | $ 8,533,140 | $ 8,554,097 |
Total liabilities | [1] | 4,053,017 | 4,038,363 |
Variable Interest Entities [Member] | |||
Total assets | 4,053,771 | 4,025,387 | |
Total liabilities | $ 2,560,820 | $ 2,546,914 | |
Variable Interest Entities [Member] | Paramount Group Operating Partnership [Member] | |||
Percentage of ownership in operating partnership | 91.00% | ||
[1] | Represents the consolidated assets and liabilities of Paramount Group Operating Partnership LP, a Delaware limited partnership (the “Operating Partnership”). The Operating Partnership is a consolidated variable interest entity (“VIE”), of which we are the sole general partner and own approximately 91.0% as of June 30, 2021. As of June 30, 2021, the Operating Partnership includes $4,053,771 and $2,560,820 of assets and liabilities, respectively, of certain VIEs that are consolidated by the Operating Partnership. See Note 11, Variable Interest Entities (“VIEs”). |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenues: | ||||
Rental revenue | $ 174,628 | $ 163,989 | $ 347,774 | $ 339,414 |
Fee and other income | 7,641 | 7,129 | 15,661 | 15,690 |
Total revenues | 182,269 | 171,118 | 363,435 | 355,104 |
Expenses: | ||||
Operating | 64,072 | 64,313 | 130,690 | 131,327 |
Depreciation and amortization | 59,925 | 58,716 | 118,230 | 117,143 |
General and administrative | 18,418 | 17,901 | 32,782 | 30,150 |
Transaction related costs | 135 | 258 | 416 | 461 |
Total expenses | 142,550 | 141,188 | 282,118 | 279,081 |
Other income (expense): | ||||
Loss from unconsolidated joint ventures | (15,717) | (5,955) | (21,033) | (10,176) |
Income from unconsolidated real estate funds | 148 | 89 | 328 | 141 |
Interest and other income, net | 1,070 | 2,252 | 2,372 | 1,256 |
Interest and debt expense | (34,914) | (36,009) | (69,653) | (72,628) |
Loss from continuing operations, before income taxes | (9,694) | (9,693) | (6,669) | (5,384) |
Income tax expense | (434) | (138) | (1,575) | (742) |
Loss from continuing operations, net | (10,128) | (9,831) | (8,244) | (6,126) |
Income from discontinued operations, net | 2,147 | 3,668 | ||
Net loss | (10,128) | (7,684) | (8,244) | (2,458) |
Less net (income) loss attributable to noncontrolling interests in: | ||||
Consolidated joint ventures | (7,428) | (405) | (13,156) | (1,919) |
Consolidated real estate fund | 29 | 1,235 | (56) | 1,212 |
Operating Partnership | 1,584 | 584 | 1,935 | 243 |
Net loss attributable to common stockholders | $ (15,943) | $ (6,270) | $ (19,521) | $ (2,922) |
(Loss) Income per Common Share - Basic | ||||
Loss from continuing operations, net | $ (0.07) | $ (0.04) | $ (0.09) | $ (0.03) |
Income from discontinued operations, net | 0.01 | 0.02 | ||
Net loss per common share | $ (0.07) | $ (0.03) | $ (0.09) | $ (0.01) |
Weighted average common shares outstanding | 218,696,284 | 221,573,199 | 218,681,228 | 224,671,206 |
(Loss) Income per Common Share - Diluted | ||||
Loss from continuing operations, net | $ (0.07) | $ (0.04) | $ (0.09) | $ (0.03) |
Income from discontinued operations, net | 0.01 | 0.02 | ||
Net loss per common share | $ (0.07) | $ (0.03) | $ (0.09) | $ (0.01) |
Weighted average common shares outstanding | 218,696,284 | 221,573,199 | 218,681,228 | 224,671,206 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net loss | $ (10,128) | $ (7,684) | $ (8,244) | $ (2,458) |
Other comprehensive loss: | ||||
Pro rata share of other comprehensive income (loss) of unconsolidated joint ventures | 365 | (1,696) | 4,749 | (16,357) |
Comprehensive loss | (9,763) | (9,380) | (3,495) | (18,815) |
Less comprehensive (income) loss attributable to noncontrolling interests in: | ||||
Consolidated joint ventures | (7,428) | (405) | (13,156) | (1,919) |
Consolidated real estate fund | 29 | 1,233 | (68) | 1,208 |
Operating Partnership | 1,552 | 729 | 1,511 | 1,744 |
Comprehensive loss attributable to common stockholders | $ (15,610) | $ (7,823) | $ (15,208) | $ (17,782) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid in Capital [Member] | Earnings Less than Distributions [Member] | Accumulated Other Comprehensive (Loss) Income [Member] | Noncontrolling Interest [Member]Consolidated Joint Ventures [Member] | Noncontrolling Interest [Member]Consolidated Real Estate Fund [Member] | Noncontrolling Interest [Member]Operating Partnership [Member] |
Beginning balance at Dec. 31, 2019 | $ 4,630,962 | $ 2,274 | $ 4,133,184 | $ (349,557) | $ (171) | $ 360,778 | $ 72,396 | $ 412,058 |
Common stock, shares outstanding at Dec. 31, 2019 | 227,432,000 | |||||||
Net loss | (2,458) | (2,922) | 1,919 | (1,212) | (243) | |||
Common shares issued upon redemption of common units | $ 51 | 85,260 | ||||||
Common shares issued upon redemption of common units | 5,126,000 | |||||||
Redemption of minority interest in operating partnerships | (85,311) | |||||||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | (316) | $ 3 | (319) | |||||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | 63,000 | |||||||
Repurchases of common shares | (100,000) | $ (109) | (99,891) | |||||
Repurchases of common shares, shares | (10,856,865) | |||||||
Dividends and distributions | (48,634) | (44,422) | (4,212) | |||||
Contributions from noncontrolling interests | 11,555 | 3,500 | 8,055 | |||||
Distributions to noncontrolling interests | (6,357) | (6,357) | ||||||
Pro rata share of other comprehensive income (loss) of unconsolidated joint ventures | (16,357) | (14,860) | 4 | (1,501) | ||||
Amortization of equity awards | 9,708 | 692 | 9,016 | |||||
Sale of a 10.0% interest in 1633 Broadway | 109,573 | 33,230 | 76,343 | |||||
Reallocation of noncontrolling interest | (18,933) | 18,933 | ||||||
Ending balance at Jun. 30, 2020 | 4,587,676 | $ 2,219 | 4,133,542 | (397,220) | (15,031) | 436,183 | 79,243 | 348,740 |
Common stock, shares outstanding at Jun. 30, 2020 | 221,764,000 | |||||||
Beginning balance at Dec. 31, 2019 | 4,630,962 | $ 2,274 | 4,133,184 | (349,557) | (171) | 360,778 | 72,396 | 412,058 |
Common stock, shares outstanding at Dec. 31, 2019 | 227,432,000 | |||||||
Repurchases of common shares | (120,000) | |||||||
Repurchases of common shares, shares | (13,813,158) | |||||||
Ending balance at Dec. 31, 2020 | $ 4,515,734 | $ 2,188 | 4,120,173 | (456,393) | (12,791) | 437,161 | 79,017 | 346,379 |
Common stock, shares outstanding at Dec. 31, 2020 | 218,817,337 | 218,817,000 | ||||||
Beginning balance at Mar. 31, 2020 | $ 4,507,192 | $ 2,219 | 4,102,287 | (368,767) | (13,478) | 359,120 | 80,476 | 345,335 |
Common stock, shares outstanding at Mar. 31, 2020 | 221,750,000 | |||||||
Net loss | (7,684) | (6,270) | 405 | (1,235) | (584) | |||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | (7) | (7) | ||||||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | 14,000 | |||||||
Dividends and distributions | (24,292) | (22,176) | (2,116) | |||||
Contributions from noncontrolling interests | 3,500 | 3,500 | ||||||
Distributions to noncontrolling interests | (3,185) | (3,185) | ||||||
Pro rata share of other comprehensive income (loss) of unconsolidated joint ventures | (1,696) | (1,553) | 2 | (145) | ||||
Amortization of equity awards | 4,275 | 294 | 3,981 | |||||
Sale of a 10.0% interest in 1633 Broadway | 109,573 | 33,230 | 76,343 | |||||
Reallocation of noncontrolling interest | (2,269) | 2,269 | ||||||
Ending balance at Jun. 30, 2020 | 4,587,676 | $ 2,219 | 4,133,542 | (397,220) | (15,031) | 436,183 | 79,243 | 348,740 |
Common stock, shares outstanding at Jun. 30, 2020 | 221,764,000 | |||||||
Beginning balance at Dec. 31, 2020 | $ 4,515,734 | $ 2,188 | 4,120,173 | (456,393) | (12,791) | 437,161 | 79,017 | 346,379 |
Common stock, shares outstanding at Dec. 31, 2020 | 218,817,337 | 218,817,000 | ||||||
Net loss | $ (8,244) | (19,521) | 13,156 | 56 | (1,935) | |||
Common shares issued upon redemption of common units | 165 | |||||||
Common shares issued upon redemption of common units | 10,000 | |||||||
Redemption of minority interest in operating partnerships | (165) | |||||||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | (200) | $ 1 | (201) | |||||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | 135,000 | |||||||
Repurchases of common shares, shares | 0 | |||||||
Dividends and distributions | (33,786) | (30,654) | (3,132) | |||||
Contributions from noncontrolling interests | 121 | 121 | ||||||
Distributions to noncontrolling interests | (8,562) | (8,562) | ||||||
Pro rata share of other comprehensive income (loss) of unconsolidated joint ventures | 4,749 | 4,313 | 12 | 424 | ||||
Amortization of equity awards | 10,311 | 611 | 9,700 | |||||
Reallocation of noncontrolling interest | (7,060) | 7,060 | ||||||
Other | (552) | 552 | ||||||
Ending balance at Jun. 30, 2021 | $ 4,480,123 | $ 2,189 | 4,113,889 | (507,321) | (8,478) | 442,428 | 79,085 | 358,331 |
Common stock, shares outstanding at Jun. 30, 2021 | 218,961,870 | 218,962,000 | ||||||
Beginning balance at Mar. 31, 2021 | $ 4,505,935 | $ 2,189 | 4,111,144 | (476,051) | (8,809) | 438,937 | 79,114 | 359,411 |
Common stock, shares outstanding at Mar. 31, 2021 | 218,950,000 | |||||||
Net loss | (10,128) | (15,943) | 7,428 | (29) | (1,584) | |||
Common shares issued upon redemption of common units | 165 | |||||||
Common shares issued upon redemption of common units | 10,000 | |||||||
Redemption of minority interest in operating partnerships | (165) | |||||||
Common shares issued under Omnibus share plan, net of shares withheld for taxes | 2,000 | |||||||
Dividends and distributions | (16,897) | (15,327) | (1,570) | |||||
Distributions to noncontrolling interests | (3,937) | (3,937) | ||||||
Pro rata share of other comprehensive income (loss) of unconsolidated joint ventures | 365 | 331 | 34 | |||||
Amortization of equity awards | 4,785 | 304 | 4,481 | |||||
Reallocation of noncontrolling interest | 2,276 | (2,276) | ||||||
Ending balance at Jun. 30, 2021 | $ 4,480,123 | $ 2,189 | $ 4,113,889 | $ (507,321) | $ (8,478) | $ 442,428 | $ 79,085 | $ 358,331 |
Common stock, shares outstanding at Jun. 30, 2021 | 218,961,870 | 218,962,000 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) (Parentheticals) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement Of Stockholders Equity [Abstract] | ||||
Dividends and distributions, Per share and unit | $ 0.07 | $ 0.10 | $ 0.14 | $ 0.20 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash Flows from Operating Activities: | ||
Net loss | $ (8,244,000) | $ (2,458,000) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Depreciation and amortization | 118,230,000 | 117,833,000 |
Straight-lining of rental revenue | (9,632,000) | (19,731,000) |
Amortization of stock-based compensation expense | 10,229,000 | 9,638,000 |
Loss from unconsolidated joint ventures | 21,033,000 | 10,176,000 |
Amortization of deferred financing costs | 4,640,000 | 4,637,000 |
Distributions of earnings from unconsolidated joint ventures | 623,000 | 1,459,000 |
Distributions of earnings from unconsolidated real estate funds | 266,000 | 353,000 |
Amortization of above and below-market leases, net | (1,613,000) | (2,744,000) |
Realized and unrealized (gains) losses on marketable securities | (1,480,000) | 560,000 |
Income from unconsolidated real estate funds | (328,000) | (141,000) |
Other non-cash adjustments | 868,000 | 152,000 |
Changes in operating assets and liabilities: | ||
Accounts and other receivables | 4,136,000 | 493,000 |
Deferred charges | (4,506,000) | (8,107,000) |
Other assets | (5,569,000) | (4,367,000) |
Accounts payable and accrued expenses | 3,698,000 | (4,148,000) |
Other liabilities | 2,107,000 | (494,000) |
Net cash provided by operating activities | 134,458,000 | 103,111,000 |
Cash Flows from Investing Activities: | ||
Additions to real estate | (52,114,000) | (46,575,000) |
Contributions of capital to unconsolidated joint ventures | (11,750,000) | |
Purchases of marketable securities | (9,562,000) | (9,248,000) |
Sales of marketable securities | 11,381,000 | 19,049,000 |
Repayment of amounts due from affiliates | 36,918,000 | |
Contributions of capital to unconsolidated real estate funds | (2,936,000) | |
Net cash used in investing activities | (62,045,000) | (2,792,000) |
Cash Flows from Financing Activities: | ||
Dividends paid to common stockholders | (30,643,000) | (44,989,000) |
Proceeds from notes and mortgages payable | 12,430,000 | 3,073,000 |
Distributions to noncontrolling interests | (8,562,000) | (6,357,000) |
Distributions paid to common unitholders | (3,042,000) | (4,608,000) |
Contributions from noncontrolling interests | 121,000 | 11,555,000 |
Repurchase of shares related to stock compensation agreements and related tax withholdings | (200,000) | (316,000) |
Borrowings under revolving credit facility | 163,082,000 | |
Proceeds from the sale of a 10.0% interest in 1633 Broadway | 111,984,000 | |
Repurchases of common shares | (100,000,000) | |
Repayment of note payable issued in connection with the acquisition of noncontrolling interest in unconsolidated real estate fund | (8,771,000) | |
Net cash (used in) provided by financing activities | (29,896,000) | 124,653,000 |
Net increase in cash and cash equivalents and restricted cash | 42,517,000 | 224,972,000 |
Cash and cash equivalents and restricted cash at beginning of period | 465,324,000 | 331,487,000 |
Cash and cash equivalents and restricted cash at end of period | 507,841,000 | 556,459,000 |
Reconciliation of Cash and Cash Equivalents and Restricted Cash: | ||
Cash and cash equivalents at beginning of period | 434,530,000 | 306,215,000 |
Restricted cash at beginning of period | 30,794,000 | 25,272,000 |
Cash and cash equivalents and restricted cash at beginning of period | 465,324,000 | 331,487,000 |
Cash and cash equivalents at end of period | 475,289,000 | 522,502,000 |
Restricted cash at end of period | 32,552,000 | 33,957,000 |
Cash and cash equivalents and restricted cash at end of period | 507,841,000 | 556,459,000 |
Supplemental Disclosure of Cash Flow Information: | ||
Cash payments for interest | 65,227,000 | 68,920,000 |
Cash payments for income taxes, net of refunds | 210,000 | 1,130,000 |
Non-Cash Transactions: | ||
Dividends and distributions declared but not yet paid | 16,897,000 | 24,292,000 |
Additions to real estate included in accounts payable and accrued expenses | 10,484,000 | 16,232,000 |
Write-off of fully amortized and/or depreciated assets | 37,149,000 | 8,612,000 |
Common shares issued upon redemption of common units | $ 165,000 | $ 85,311,000 |
Organization and Business
Organization and Business | 6 Months Ended |
Jun. 30, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization And Business | 1. Organization and Business As used in these consolidated financial statements, unless otherwise indicated, all references to “we,” “us,” “our,” the “Company,” and “Paramount” refer to Paramount Group, Inc., a Maryland corporation, and its consolidated subsidiaries, including Paramount Group Operating Partnership LP (the “Operating Partnership”), a Delaware limited partnership. We are a fully-integrated real estate investment trust (“REIT”) focused on owning, operating, managing, acquiring and redeveloping high-quality, Class A office properties in select central business district submarkets of New York City and San Francisco. As of June 30, 2021, our portfolio consisted of 13 Class A properties aggregating 12.9 million square feet. We conduct our business through, and substantially all of our interests in properties and investments are held by, the Operating Partnership. We are the sole general partner of, and owned approximately 91.0% of, the Operating Partnership as of June 30, 2021. In March 2020, the World Health Organization declared coronavirus 2019 (“COVID-19”) a global pandemic. The outbreak of COVID-19 caused severe disruptions in the global economy. These disruptions have adversely impacted businesses and financial markets, including that of New York and San Francisco, the markets in which we operate and where all of our assets are located. As a result, several of our tenants sought deferrals and/or short-term relief of their rental obligations and we provided relief to select tenants. By February 2021, the U.S. Food and Drug Administration had issued emergency use authorizations of three vaccines for the prevention of COVID-19. In July 2021, New York and San Francisco lifted most COVID-19 restrictions since a significant portion of their populations have been vaccinated. Notwithstanding the vaccination success, multiple variants of the virus that cause COVID-19 continue to persist globally and in the United States. While we continue to navigate the crisis and monitor the impact of the pandemic on our business, the rapid development and fluidity of this situation precludes us at this time from making any predictions as to the ultimate impact COVID-19 may have on our future financial condition, results of operations and cash flows. |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Basis Of Presentation And Significant Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | 2. Basis of Presentation and Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements are unaudited and have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in conjunction with the instructions to Form 10-Q of the Securities and Exchange Commission (“SEC”). Accordingly, certain information and footnote disclosures required by GAAP for complete financial statements have been condensed or omitted. These consolidated financial statements include the accounts of Paramount and its consolidated subsidiaries, including the Operating Partnership. In the opinion of management, all significant adjustments (which include only normal recurring adjustments) and eliminations (which include intercompany balances and transactions) necessary to present fairly the financial position, results of operations and changes in cash flows have been made. The consolidated balance sheet as of December 31, 2020 was derived from audited financial statements as of that date, but does not include all information and disclosures required by GAAP. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the SEC. Significant Accounting Policies There are no material changes to our significant accounting policies as disclosed in our Annual Report on Form 10-K for the year ended December 31, 2020. Use of Estimates We have made estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ materially from those estimates. The results of operations for the three and six months ended June 30, 2021, are not necessarily indicative of the operating results for the full year. Recently Issued Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, an update to ASC Topic 740, Income Taxes. In March 2020, the FASB issued ASU 2020-04, which adds ASC Topic 848, Reference Rate Reform: Facilitation of the Effects of Reference Rate Reform on Financial Reporting In August 2020, the FASB issued ASU 2020-06, an update to ASC Topic 470, Subtopic - 20, Debt - Debt with Conversion and Other Options Derivatives and Hedging - Contracts in Entity's Own Equity Earnings Per Share, In October 2020, the FASB issued ASU 2020-10, Codification Improvements |
Discontinued Operations
Discontinued Operations | 6 Months Ended |
Jun. 30, 2021 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Discontinued Operations Disclosure Text Block | 3 . Discontinued Operations Over the past three years, we sold the remaining assets in our Washington, D.C. portfolio, thereby exiting the Washington, D.C. office market. These dispositions represented a strategic shift in our operations and met the criteria for classifying our Washington, D.C. segment as “discontinued operations,” in accordance with ASC Topic 205, Presentation of Financial Statements. The tables below provide the details of the results of operations and the details of the cash flows related to discontinued operations for the periods set forth below. (Amounts in thousands) For the Three Months For the Six Months Income Statement: (1) Ended June 30, 2020 Ended June 30, 2020 Revenues: Rental revenue $ 3,515 $ 7,078 Other income 31 130 Total revenues 3,546 7,208 Expenses: Operating 1,399 2,850 Depreciation and amortization - 690 Total expenses 1,399 3,540 Income from discontinued operations, net $ 2,147 $ 3,668 (Amounts in thousands) For the Six Months Statement of Cash Flows: (1) Ended June 30, 2020 Cash provided by operating activities $ 2,292 Additional Cash Flow information: Depreciation and amortization $ 690 (1) Represents revenues, expenses, net income and cash flow information of 1899 Pennsylvania Avenue, which was sold on December 24, 2020. |
Investments in Unconsolidated J
Investments in Unconsolidated Joint Ventures | 6 Months Ended |
Jun. 30, 2021 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in Unconsolidated Joint Ventures | 4 . Investments in Unconsolidated Joint Ventures The following tables summarize our investments in unconsolidated joint ventures as of the dates thereof and the income or loss from these investments for the periods set forth below. (Amounts in thousands) Paramount As of Our Share of Investments: Ownership June 30, 2021 December 31, 2020 712 Fifth Avenue (1) 50.0% $ - $ - Market Center 67.0% 189,985 192,306 55 Second Street (2) 44.1% 90,829 92,298 111 Sutter Street 49.0% 36,634 37,818 60 Wall Street (2) 5.0% 19,198 19,164 One Steuart Lane (2) 35.0% (3) 67,292 67,505 Oder-Center, Germany (2) 9.5% 3,626 3,633 Investments in unconsolidated joint ventures $ 407,564 $ 412,724 For the Three Months Ended For the Six Months Ended (Amounts in thousands) June 30, June 30, Our Share of Net Loss: 2021 2020 2021 2020 712 Fifth Avenue (1) $ (11,128 ) $ 229 $ (11,128 ) $ 229 Market Center (2,914 ) (3,070 ) (7,044 ) (5,924 ) 55 Second Street (2) (847 ) (662 ) (1,469 ) (1,346 ) 111 Sutter Street (699 ) (919 ) (1,189 ) (1,529 ) 60 Wall Street (2) 17 (9 ) 34 (91 ) One Steuart Lane (2) (132 ) (1,549 ) (225 ) (1,550 ) Oder-Center, Germany (2) (14 ) 25 (12 ) 35 Loss from unconsolidated joint ventures $ (15,717 ) $ (5,955 ) $ (21,033 ) $ (10,176 ) (1) At December 31, 2020, our basis in the joint venture that owns 712 Fifth Avenue was negative $22,345. Since we have no further obligation to fund additional capital to the joint venture, we no longer recognize our proportionate share of earnings from the joint venture. Instead, we recognize income only to the extent we receive cash distributions from the joint venture and recognize losses to the extent we make cash contributions to the joint venture. During the three months ended June 30, 2021, we received a $622 distribution from the joint venture and made an $11,750 contribution to the joint venture. Accordingly, we recognized a loss of $11,128, which is included in “loss from unconsolidated joint ventures” on our consolidated statements of income for the three and six months ended June 30, 2021. Additionally, the joint venture had net losses of $2,426 for the six months ended June 30, 2021, of which our 50.0% share was $1,213. Accordingly, our basis in the joint venture, taking into account distributions received, contributions made and our share of losses, was negative $12,430 as of June 30, 2021. (2) As of June 30, 2021, the carrying amount of our investments in 55 Second Street, 60 Wall Street, One Steuart Lane and Oder-Center is greater than our share of equity in these investments by $483, $2,640, $970 and $4,781, respectively, and primarily represents the unamortized portion of our capitalized acquisition costs. Basis differences allocated to depreciable assets are being amortized into income or loss from the unconsolidated joint ventures to which they relate, over the estimated useful life of the related assets. (3) Represents our consolidated Residential Development Fund’s economic interest in One Steuart Lane. The following tables provide the combined summarized financial information of our unconsolidated joint ventures as of the dates thereof and for the periods set forth below. (Amounts in thousands) As of Balance Sheets: June 30, 2021 December 31, 2020 Real estate, net $ 2,709,681 $ 2,674,858 Cash and cash equivalents and restricted cash 173,497 120,149 Intangible assets, net 83,907 110,307 Other assets 45,704 45,761 Total assets $ 3,012,789 $ 2,951,075 Notes and mortgages payable, net $ 1,871,120 $ 1,801,084 Intangible liabilities, net 22,524 26,772 Other liabilities 71,917 87,575 Total liabilities 1,965,561 1,915,431 Equity 1,047,228 1,035,644 Total liabilities and equity $ 3,012,789 $ 2,951,075 (Amounts in thousands) For the Three Months Ended June 30, For the Six Months Ended June 30, Income Statements: 2021 2020 2021 2020 Revenues: Rental revenue $ 57,195 $ 59,136 $ 113,723 $ 121,583 Other income 581 777 1,338 1,524 Total revenues 57,776 59,913 115,061 123,107 Expenses: Operating 25,467 29,642 50,577 55,582 Depreciation and amortization 27,014 29,099 54,467 59,281 Total expenses 52,481 58,741 105,044 114,863 Other income (expense): Interest and other (loss) income (23 ) (29 ) (56 ) 48 Interest and debt expense (13,892 ) (14,305 ) (27,632 ) (30,214 ) Net loss before income taxes (8,620 ) (13,162 ) (17,671 ) (21,922 ) Income tax benefit (expense) 1 (5 ) (15 ) (44 ) Net loss $ (8,619 ) $ (13,167 ) $ (17,686 ) $ (21,966 ) |
Investments in Unconsolidated R
Investments in Unconsolidated Real Estate Funds | 6 Months Ended |
Jun. 30, 2021 | |
Real Estate Fund [Abstract] | |
Investments in Unconsolidated Real Estate Funds | 5 . Investments in Unconsolidated Real Estate Funds We are the general partner and investment manager of Paramount Group Real Estate Fund VIII, LP (“Fund VIII”) and Paramount Group Real Estate Fund X, LP and its parallel fund, Paramount Group Real Estate Fund X-ECI, LP, (collectively, “Fund X”), our Alternative Investment Funds, which invest in mortgage and mezzanine loans and preferred equity investments. While Fund VIII’s investment period has ended, Fund X’s investment period ends in December 2025. As of June 30, 2021, Fund X has invested $78,791,000 of the $192,000,000 of capital committed. Our ownership interest in Fund VIII and Fund X was approximately 1.3% and 7.8%, respectively, as of June 30, 2021. As of June 30, 2021 and December 31, 2020, our share of the investments in the above mentioned unconsolidated real estate funds aggregated $12,979,000 and $12,917,000, respectively, and we recognized $148,000 and $89,000 for our share of income in the three months ended June 30, 2021 and 2020, respectively, and $328,000 and $141,000 for our share of income in the six months ended June 30, 2021 and 2020, respectively. |
Intangible Assets and Liabiliti
Intangible Assets and Liabilities | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Liabilities | 6. Intangible Assets and Liabilities The following tables summarize our intangible assets (acquired above-market leases and acquired in-place leases) and intangible liabilities (acquired below-market leases) and the related amortization as of the dates thereof and for the periods set forth below. As of (Amounts in thousands) June 30, 2021 December 31, 2020 Intangible assets: Gross amount $ 381,169 $ 436,851 Accumulated amortization (245,405 ) (283,332 ) $ 135,764 $ 153,519 Intangible liabilities: Gross amount $ 156,478 $ 163,977 Accumulated amortization (106,086 ) (107,981 ) $ 50,392 $ 55,996 For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands) 2021 2020 2021 2020 Amortization of above and below-market leases, net (component of "rental revenue") $ 758 $ 1,235 $ 1,613 $ 2,778 Amortization of acquired in-place leases (component of "depreciation and amortization") 6,551 9,190 13,770 18,682 The following table sets forth annual amortization of acquired above and below-market leases, net and amortization of acquired in-place leases for each of the five succeeding years commencing from January 1, 2022. (Amounts in thousands) For the Year Ending December 31, Above and Below-Market Leases, Net In-Place Leases 2022 $ 1,345 $ 21,644 2023 5,080 17,705 2024 6,020 14,248 2025 4,674 10,451 2026 2,801 7,896 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | 7 . Debt The following table summarizes our consolidated outstanding debt. Interest Rate Maturity Fixed/ as of As of (Amounts in thousands) Date Variable Rate June 30, 2021 June 30, 2021 December 31, 2020 Notes and mortgages payable: 1633 Broadway (1) Dec-2029 Fixed 2.99 % $ 1,250,000 $ 1,250,000 One Market Plaza (1) Feb-2024 Fixed 4.03 % 975,000 975,000 1301 Avenue of the Americas (2) Nov-2021 Fixed 3.05 % 500,000 500,000 Nov-2021 L + 180 bps 1.93 % 350,000 350,000 2.59 % 850,000 850,000 31 West 52nd Street June-2026 Fixed 3.80 % 500,000 500,000 300 Mission Street (1) Oct-2023 Fixed 3.65 % 256,864 244,434 Total notes and mortgages payable 3.32 % 3,831,864 3,819,434 Less: unamortized deferred financing costs (15,105 ) (18,695 ) Total notes and mortgages payable, net $ 3,816,759 $ 3,800,739 $1.0 Billion Revolving Credit Facility Jan-2022 (3) L + 115 bps n/a $ - $ - (1) Our ownership interests in 1633 Broadway, One Market Plaza and 300 Mission Street are 90.0%, 49.0% and 31.1%, respectively. (2) We are currently (3) The $1.0 billion revolving credit facility matures on January 10, 2022 and has two six-month extension options. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2021 | |
Stockholders Equity Note [Abstract] | |
Equity | 8 . Equity Stock Repurchase Program On November 5, 2019, we received authorization from our Board of Directors to repurchase up to $200,000,000 of our common stock, from time to time, in the open market or in privately negotiated transactions. During 2020, we repurchased 13,813,158 common shares at a weighted average price of $8.69 per share, or $120,000,000 in the aggregate, of which 10,856,865 common shares were repurchased in the six months ended June 30, 2020, at a weighted average price of $9.21 per share, or $100,000,000 in the aggregate. We did not repurchase any shares in the six months ended June 30, 2021. We have $80,000,000 available for future repurchases under the existing program. The amount and timing of future repurchases, if any, will depend on a number of factors, including, the price and availability of our shares, trading volume, general market conditions and available funding. The stock repurchase program may be suspended or discontinued at any time. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jun. 30, 2021 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | 9 . Accumulated Other Comprehensive Loss The following table sets forth changes in accumulated other comprehensive loss by component for the three and six months ended June 30, 2021 and 2020, including amounts attributable to noncontrolling interests in the Operating Partnership. For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands) 2021 2020 2021 2020 Amount of (loss) income related to unconsolidated joint ventures recognized in other comprehensive loss (1) $ (637 ) $ (2,104 ) 2,785 (16,672 ) Amounts reclassified from accumulated other comprehensive loss increasing loss from unconsolidated joint ventures (1) 1,002 408 1,964 315 ( 1 ) Represents amounts related to interest rate swap with a notional value of $402,000, which was designated as cash flow hedge. |
Noncontrolling Interests
Noncontrolling Interests | 6 Months Ended |
Jun. 30, 2021 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | 1 0 . Noncontrolling Interests Consolidated Joint Ventures Noncontrolling interests in consolidated joint ventures consist of equity interests held by third parties in 1633 Broadway, One Market Plaza and 300 Mission Street. As of June 30, 2021 and December 31, 2020, noncontrolling interests in our consolidated joint ventures aggregated $442,428,000 and $437,161,000, respectively. Consolidated Real Estate Fund Noncontrolling interests in our consolidated real estate fund consists of equity interests held by third parties in our Residential Development Fund. As of June 30, 2021 and December 31, 2020, the noncontrolling interest in our consolidated real estate fund aggregated $79,085,000 and $79,017,000, respectively. Operating Partnership Noncontrolling interests in the Operating Partnership represent common units of the Operating Partnership that are held by third parties, including management, and units issued to management under equity incentive plans. Common units of the Operating Partnership may be tendered for redemption to the Operating Partnership for cash. We, at our option, may assume that obligation and pay the holder either cash or common shares on a one-for-one basis. Since the number of common shares outstanding is equal to the number of common units owned by us, the redemption value of each common unit is equal to the market value of each common share and distributions paid to each common unitholder is equivalent to dividends paid to common stockholders. As of June 30, 2021 and December 31, 2020, noncontrolling interests in the Operating Partnership on our consolidated balance sheets had a carrying amount of $358,331,000 and $346,379,000, respectively, and a redemption value of $219,516,000 and $187,640,000, respectively, based on the closing share price of our common stock on the New York Stock Exchange. |
Variable Interest Entities ("VI
Variable Interest Entities ("VIEs") | 6 Months Ended |
Jun. 30, 2021 | |
Variable Interest Entities [Abstract] | |
Variable Interest Entities ("VIEs") | 1 1 . Variable Interest Entities (“VIEs”) In the normal course of business, we are the general partner of various types of investment vehicles, which may be considered VIEs. We may, from time to time, own equity or debt securities through vehicles, each of which are considered variable interests. Our involvement in financing the operations of the VIEs is generally limited to our investments in the entity. We consolidate these entities when we are deemed to be the primary beneficiary. Consolidated VIEs We are the sole general partner of, and owned approximately 91.0% of, the Operating Partnership as of June 30, 2021. The Operating Partnership is considered a VIE and is consolidated in our consolidated financial statements. Since we conduct our business through and substantially all of our interests are held by the Operating Partnership, the assets and liabilities on our consolidated financial statements represent the assets and liabilities of the Operating Partnership. As of June 30, 2021 and December 31, 2020, the Operating Partnership held interests in consolidated VIEs owning properties and a real estate fund that were determined to be VIEs. The assets of these consolidated VIEs may only be used to settle the obligations of the entities and such obligations are secured only by the assets of the entities and are non-recourse to the Operating Partnership or us. The following table summarizes the assets and liabilities of consolidated VIEs of the Operating Partnership. As of (Amounts in thousands) June 30, 2021 December 31, 2020 Real estate, net $ 3,454,201 $ 3,470,766 Cash and cash equivalents and restricted cash 178,873 134,647 Investments in unconsolidated joint ventures 67,292 67,505 Accounts and other receivables 5,236 6,871 Deferred rent receivable 202,371 192,401 Deferred charges, net 52,008 55,156 Intangible assets, net 69,171 76,545 Other assets 24,619 21,496 Total VIE assets $ 4,053,771 $ 4,025,387 Notes and mortgages payable, net $ 2,470,718 $ 2,457,272 Accounts payable and accrued expenses 54,186 51,590 Intangible liabilities, net 30,504 33,566 Other liabilities 5,412 4,486 Total VIE liabilities $ 2,560,820 $ 2,546,914 Unconsolidated VIEs As of June 30, 2021, the Operating Partnership held variable interests in entities that own our unconsolidated real estate funds that were deemed to be VIEs. The following table summarizes our investments in these unconsolidated real estate funds and the maximum risk of loss from these investments. As of (Amounts in thousands) June 30, 2021 December 31, 2020 Investments $ 12,979 $ 12,917 Asset management fees and other receivables 236 561 Maximum risk of loss $ 13,215 $ 13,478 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 1 2 . Fair Value Measurements Financial Assets Measured at Fair Value The following table summarizes the fair value of our financial assets that are measured at fair value on our consolidated balance sheets as of the dates set forth below, based on their levels in the fair value hierarchy. As of June 30, 2021 (Amounts in thousands) Total Level 1 Level 2 Level 3 Marketable securities (included in "other assets") $ 16,839 $ 16,839 $ - $ - Total assets $ 16,839 $ 16,839 $ - $ - As of December 31, 2020 (Amounts in thousands) Total Level 1 Level 2 Level 3 Marketable securities (included in "other assets") $ 17,178 $ 17,178 $ - $ - Total assets $ 17,178 $ 17,178 $ - $ - Financial Liabilities Not Measured at Fair Value Financial liabilities not measured at fair value on our consolidated balance sheets consist of notes and mortgages payable, and the revolving credit facility. The following table summarizes the carrying amounts and fair value of these financial instruments as of the dates set forth below. As of June 30, 2021 As of December 31, 2020 (Amounts in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Notes and mortgages payable $ 3,831,864 $ 3,878,237 $ 3,819,434 $ 3,871,644 Revolving credit facility - - - - Total liabilities $ 3,831,864 $ 3,878,237 $ 3,819,434 $ 3,871,644 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Leases | 1 3 . Leases We lease office, retail and storage space to tenants, primarily under non-cancellable operating leases, which generally have terms ranging from five to fifteen years. Most of our leases provide tenants with extension options at either fixed or market rates and few of our leases provide tenants with options to early terminate, but such options generally impose an economic penalty on the tenant upon exercising. Rental revenue is recognized in accordance with ASC Topic 842, Leases, The following table sets forth the details of our rental revenue. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Rental revenue: Fixed $ 159,641 $ 153,868 (1) $ 320,270 $ 314,544 (1) Variable 14,987 (2) 10,121 27,504 (2) 24,870 Total rental revenue $ 174,628 $ 163,989 $ 347,774 $ 339,414 (1) Includes (2) Includes $5,051 of income in connection with a tenant’s lease termination at 300 Mission Street. The following table is a schedule of future undiscounted cash flows under non-cancellable operating leases in effect as of June 30, 2021, for the six-month period from July 1, 2021 through December 31, 2021, and each of the five succeeding years and thereafter commencing January 1, 2022. (Amounts in thousands) 2021 $ 320,578 2022 632,390 2023 607,310 2024 580,419 2025 522,620 2026 426,925 Thereafter 2,007,828 Total $ 5,098,070 |
Fee and Other Income
Fee and Other Income | 6 Months Ended |
Jun. 30, 2021 | |
Revenues [Abstract] | |
Fee and Other Income | 14. The following table sets forth the details of our fee and other income. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Fee income: Asset management $ 3,409 $ 3,571 $ 6,895 $ 7,092 Property management 2,085 2,239 4,281 4,689 Acquisition, disposition and leasing 439 - 439 - Other 268 399 1,256 758 Total fee income 6,201 6,209 12,871 12,539 Other income (1) 1,440 920 2,790 3,151 Total fee and other income $ 7,641 $ 7,129 $ 15,661 $ 15,690 (1) Primarily comprised of (i) tenant requested services, including overtime heating and cooling and (ii) parking income. |
Interest and Other Income, net
Interest and Other Income, net | 6 Months Ended |
Jun. 30, 2021 | |
Interest And Other Income [Abstract] | |
Interest and Other Income, net | 1 5 . Interest and Other Income, net The following table sets forth the details of interest and other income, net. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Interest income, net $ 397 $ 428 $ 787 $ 1,416 Mark-to-market of investments in our deferred compensation plans (1) 673 1,824 1,585 (160 ) Total interest and other income, net $ 1,070 $ 2,252 $ 2,372 $ 1,256 (1) The change resulting from the mark-to-market of the deferred compensation plan assets is entirely offset by the change in deferred compensation plan liabilities, which is included as a component of “general and administrative” expenses on our consolidated statements of income. |
Interest and Debt Expense
Interest and Debt Expense | 6 Months Ended |
Jun. 30, 2021 | |
Interest And Debt Expense [Abstract] | |
Interest and Debt Expense | 1 6 . Interest and Debt Expense The following table sets forth the details of interest and debt expense. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Interest expense $ 32,593 $ 33,690 $ 65,013 $ 67,991 Amortization of deferred financing costs 2,321 2,319 4,640 4,637 Total interest and debt expense $ 34,914 $ 36,009 $ 69,653 $ 72,628 |
Incentive Compensation
Incentive Compensation | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Incentive Compensation | 17. Incentive Compensation Stock-Based Compensation Our Amended and Restated 2014 Equity Incentive Plan provides for grants of equity awards to our executive officers, non-employee directors and employees in order to attract and motivate talent for which we compete. In addition, equity awards are an effective management retention tool as they vest over multiple years based on continued employment. Equity awards are granted in the form of (i) restricted stock and (ii) long-term incentive plan (“LTIP”) units, which represent a class of partnership interests in our Operating Partnership and are typically comprised of performance-based LTIP units, time-based LTIP units and time-based appreciation only LTIP (“AOLTIP”) units. We account for all stock-based compensation in accordance with ASC 718, Compensation – Stock Compensation 2020 Equity Grants 2020 Performance-Based Awards Program (“2020 Performance Program”) On January 11, 2021, the Compensation Committee of our Board of Directors (the “Compensation Committee”) approved the 2020 Performance Program, a multi-year performance-based long-term incentive compensation program. Under the 2020 Performance Program, participants may earn awards in the form of LTIP units based on our Total Shareholder Return (“TSR”) over a three-year four-year Time-Based Unit Awards Program (“LTIP and AOLTIP Units”) On January 11, 2021, we granted an aggregate of 579,520 LTIP units and 2,171,875 AOLTIP units to our executive officers and employees that will vest over a period of three to four years. LTIP units are similar to common units of our Operating Partnership in that they are redeemable for cash, or at our election, may be converted on a one-for-one basis into shares of our common stock. AOLTIP units are similar to stock options in that it permits the holder to realize the benefit of any increase in the per share value of our common stock above the value at the time the AOLTIP units were granted and can be converted into a number of common units of our Operating Partnership that have an aggregate value equal to such increase. The common units issued upon the conversion of AOLTIP units are redeemable for cash, or at our election, may be converted on a one-for-one basis into shares of our common stock. The fair value of LTIP units and AOLTIP units on the date of grant were $4,598,000 and $4,344,000, respectively, and these awards are being amortized into expense on a straight-line basis over the vesting period. Restricted Stock On January 11, 2021, we granted an aggregate of 166,686 shares of restricted stock to our employees that will vest over a period of four years. The fair value of the shares of restricted stock on the date of grant was $1,439,000, which is being amortized into expense on a straight-line basis over the vesting period. Completion of the 2017 Performance-Based Awards Program (“2017 Performance Program”) On January 11, 2021, the Compensation Committee determined that the performance goals set forth in the 2017 Performance Program were not satisfied during the performance measurement period, which ended on December 31, 2020. Accordingly, all of the 1,382,807 LTIP units that were granted on February 5, 2018, were forfeited, with no awards being earned. These awards had a grant date fair value of $7,009,000 and a remaining unrecognized compensation cost of $416,000 as of June 30, 2021, which will be amortized over a weighted-average period of 0.5 years. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 1 8 . Earnings Per Share The following table summarizes our net loss and the number of common shares used in the computation of basic and diluted loss per common share, which includes the weighted average number of common shares outstanding and the effect of dilutive potential common shares, if any. For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands, except per share amounts) 2021 2020 2021 2020 Numerator: Continuing Operations: Net loss from continuing operations attributable to common stockholders $ (15,943 ) $ (8,234 ) $ (19,521 ) $ (6,266 ) Earnings allocated to unvested participating securities (18 ) (14 ) (37 ) (26 ) Numerator for loss from continuing operations per common share - basic and diluted (15,961 ) (8,248 ) (19,558 ) (6,292 ) Discontinued Operations: Net income from discontinued operations attributable to common stockholders - 1,964 - 3,344 Earnings allocated to unvested participating securities - (4 ) - (11 ) Numerator for income from discontinued operations per common share - basic and diluted - 1,960 - 3,333 Numerator for loss per common share - basic and diluted $ (15,961 ) $ (6,288 ) $ (19,558 ) $ (2,959 ) Denominator: Denominator for basic loss per common share - weighted average shares 218,696 221,573 218,681 224,671 Effect of dilutive stock-based compensation plans (1) - - - - Denominator for diluted loss per common share - weighted average shares 218,696 221,573 218,681 224,671 (Loss) Income per Common Share - Basic and Diluted: Continuing operations, net $ (0.07 ) $ (0.04 ) $ (0.09 ) $ (0.03 ) Discontinued operations, net - 0.01 - 0.02 Loss per common share - basic and diluted $ (0.07 ) $ (0.03 ) $ (0.09 ) $ (0.01 ) (1) The effect of dilutive securities and 22,917 weighted average share equivalents for the three months ended June 30, 2021 and 2020, respectively, and 23,738 and 24,201 weighted average share equivalents for the six months ended June 30, 2021 and 2020, respectively, as their effect was anti-dilutive. |
Related Parties
Related Parties | 6 Months Ended |
Jun. 30, 2021 | |
Related Party Transactions [Abstract] | |
Related Parties | 19 . Related Parties Management Agreements We provide property management, leasing and other related services to certain properties owned by members of the Otto Family. We recognized fee income of $710,000 and $259,000 for the three months ended June 30, 2021 and 2020, respectively, and $1,227,000 and $707,000 for the six months ended June 30, 2021 and 2020, respectively, in connection with these agreements, which is included as a component of “fee and other income” on our consolidated statements of income. As of June 30, 2021 and December 31, 2020, amounts owed to us under these agreements aggregated $474,000 and $34,000, respectively, which are included as a component of “accounts and other receivables” on our consolidated balance sheets. We also provide property management, asset management, leasing and other related services to our unconsolidated joint ventures and real estate funds. We recognized fee income of $4,916,000 and $5,396,000 for the three months ended June 30, 2021 and 2020, respectively, and $10,502,000 and $10,709,000 for the six months ended June 30, 2021 and 2020, respectively, in connection with these agreements, which is included as a component of “fee and other income” on our consolidated statements of income. “accounts and other receivables” on our consolidated balance sheets. Hamburg Trust Consulting HTC GmbH (“HTC”) We have an agreement with HTC, a licensed broker in Germany, to supervise selling efforts for our private equity real estate funds (or investments in feeder vehicles for these funds) to investors in Germany, including distribution of securitized notes of feeder vehicles for Fund X. Pursuant to this agreement, we have agreed to pay HTC for the costs incurred to sell investments in these funds or their feeder vehicles, including certain incremental costs incurred by HTC as a result of the engagement, plus a mark-up of 10%. HTC is 100% owned by Albert Behler, our Chairman, Chief Executive Officer and President. We incurred expenses of $123,000 and $126,000 for the three months ended June 30, 2021 and 2020, respectively, and $245,000 and $265,000 for the six months ended June 30, 2021 and 2020, respectively, in connection with this agreement, which is included as a component of “transaction related costs” on our consolidated statements of income. As of June 30, 2021 and December 31, 2020, we owed $123,000 to HTC under this agreement, which are included as a component of “accounts payable and accrued expenses” on our consolidated balance sheets. Mannheim Trust A subsidiary of Mannheim Trust leases office space at 712 Fifth Avenue , our 50.0% owned unconsolidated joint venture, pursuant to a lease agreement which expires in April 2023. Dr. Martin Bussmann (a member of our Board of Directors) is also a trustee and a director of Mannheim Trust. We recognized $91,000 and $90,000 in the three months ended June 30, 2021 and 2020, respectively, and $181,000 in each of the six months ended June 30, 2021 and 2020 for our share of rental income pursuant to this lease. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 2 0 . Commitments and Contingencies Insurance We carry commercial general liability coverage on our properties, with limits of liability customary within the industry. Similarly, we are insured against the risk of direct and indirect physical damage to our properties including coverage for the perils such as floods, earthquakes and windstorms. Our policies also cover the loss of rental income during an estimated reconstruction period. Our policies reflect limits and deductibles customary in the industry and specific to the buildings and portfolio. We also obtain title insurance policies when acquiring new properties. We currently have coverage for losses incurred in connection with both domestic and foreign terrorist-related activities. While we do carry commercial general liability insurance, property insurance and terrorism insurance with respect to our properties, these policies include limits and terms we consider commercially reasonable. In addition, there are certain losses (including, but not limited to, losses arising from known environmental conditions or acts of war) that are not insured, in full or in part, because they are either uninsurable or the cost of insurance makes it, in our belief, economically impractical to maintain such coverage. Should an uninsured loss arise against us, we would be required to use our own funds to resolve the issue, including litigation costs. We believe the policy specifications and insured limits are adequate given the relative risk of loss, the cost of the coverage and industry practice and, in consultation with our insurance advisors, we believe the properties in our portfolio are adequately insured. Other Commitments and Contingencies We are a party to various claims and routine litigation arising in the ordinary course of business. Some of these claims or others to which we may be subject from time to time, including claims arising specifically from the formation transactions, in connection with our initial public offering, may result in defense costs, settlements, fines or judgments against us, some of which are not, or cannot be, covered by insurance. Payment of any such costs, settlements, fines or judgments that are not insured could have an adverse impact on our financial position and results of operations. Should any litigation arise in connection with the formation transactions, we would contest it vigorously. In addition, certain litigation or the resolution of certain litigation may affect the availability or cost of some of our insurance coverage, which could adversely impact our results of operations and cash flow, expose us to increased risks that would be uninsured, and/or adversely impact our ability to attract officers and directors. The terms of our mortgage debt and certain side letters in place include certain restrictions and covenants which may limit, among other things, certain investments, the incurrence of additional indebtedness and liens and the disposition or other transfer of assets and interests in the borrower and other credit parties, and require compliance with certain debt yield, debt service coverage and loan to value ratios. In addition, our revolving credit facility contains representations, warranties, covenants, other agreements and events of default customary for agreements of this type with comparable companies. As of June 30, 2021, we believe we are in compliance with all of our covenants. Transfer Tax Assessments During 2017, the New York City Department of Finance issued Notices of Determination (“Notices”) assessing additional transfer taxes (including interest and penalties) in connection with the transfer of interests in certain properties during our 2014 initial public offering. We believe, after consultation with legal counsel, that the likelihood of a loss is reasonably possible, and while it is not possible to predict the outcome of these Notices, we estimate the range of loss could be between $0 and $49,800,000. Since no amount in this range is a better estimate than any other amount within the range, we have not accrued any liability arising from potential losses relating to these Notices in our consolidated financial statements. |
Segments
Segments | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
Segments | 2 1 . Segments Our reportable segments are separated by region, based on the two regions in which we conduct our business: New York and San Francisco. Our determination of segments is aligned with our method of internal reporting and the way our Chief Executive Officer, who is also our Chief Operating Decision Maker, makes key operating decisions, evaluates financial results and manages our business. The following tables provide Net Operating Income (“NOI”) for each reportable segment for the periods set forth below. For the Three Months Ended June 30, 2021 (Amounts in thousands) Total New York San Francisco Other Property-related revenues $ 176,068 $ 108,191 $ 68,674 $ (797 ) Property-related operating expenses (64,072 ) (45,801 ) (17,067 ) (1,204 ) NOI from unconsolidated joint ventures 10,557 2,749 7,852 (44 ) NOI (1) $ 122,553 $ 65,139 $ 59,459 $ (2,045 ) For the Three Months Ended June 30, 2020 (Amounts in thousands) Total New York San Francisco Other (2) Property-related revenues $ 168,455 $ 110,679 $ 54,827 $ 2,949 Property-related operating expenses (65,712 ) (47,213 ) (16,054 ) (2,445 ) NOI from unconsolidated joint ventures 10,376 2,680 9,165 (1,469 ) NOI (1) $ 113,119 $ 66,146 $ 47,938 $ (965 ) For the Six Months Ended June 30, 2021 (Amounts in thousands) Total New York San Francisco Other Property-related revenues $ 350,564 $ 220,028 $ 132,146 $ (1,610 ) Property-related operating expenses (130,690 ) (94,825 ) (34,005 ) (1,860 ) NOI from unconsolidated joint ventures 20,883 5,570 15,389 (76 ) NOI (1) $ 240,757 $ 130,773 $ 113,530 $ (3,546 ) For the Six Months Ended June 30, 2020 (Amounts in thousands) Total New York San Francisco Other (2) Property-related revenues $ 349,773 $ 232,256 $ 111,494 $ 6,023 Property-related operating expenses (134,177 ) (96,242 ) (32,973 ) (4,962 ) NOI from unconsolidated joint ventures 23,768 5,624 19,547 (1,403 ) NOI (1) $ 239,364 $ 141,638 $ 98,068 $ (342 ) (1) NOI is used to measure the operating performance of our properties. NOI consists of rental revenue (which includes property rentals, tenant reimbursements and lease termination income) and certain other property-related revenue less operating expenses (which includes property-related expenses such as cleaning, security, repairs and maintenance, utilities, property administration and real estate taxes). We use NOI internally as a performance measure and believe it provides useful information to investors regarding our financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level. Other real estate companies may use different methodologies for calculating NOI and, accordingly, our presentation of NOI may not be comparable to other real estate companies. ( 2 ) NOI for the three and six months ended June 30, 2020 includes NOI from discontinued operations. See Note 3, Discontinued Operations The following table provides a reconciliation of NOI to net loss attributable to common stockholders for the periods set forth below. For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands) 2021 2020 2021 2020 NOI $ 122,553 $ 113,119 $ 240,757 $ 239,364 Add (subtract) adjustments to arrive to net income: Fee income 6,201 6,209 12,871 12,539 Depreciation and amortization expense (59,925 ) (58,716 ) (118,230 ) (117,143 ) General and administrative expenses (18,418 ) (17,901 ) (32,782 ) (30,150 ) NOI from unconsolidated joint ventures (10,557 ) (10,376 ) (20,883 ) (23,768 ) Loss from unconsolidated joint ventures (15,717 ) (5,955 ) (21,033 ) (10,176 ) Interest and other income, net 1,070 2,252 2,372 1,256 Interest and debt expense (34,914 ) (36,009 ) (69,653 ) (72,628 ) Adjustments related to discontinued operations - (2,147 ) - (4,358 ) Other, net 13 (169 ) (88 ) (320 ) Loss from continuing operations, before income taxes (9,694 ) (9,693 ) (6,669 ) (5,384 ) Income tax expense (434 ) (138 ) (1,575 ) (742 ) Loss from continuing operations, net (10,128 ) (9,831 ) (8,244 ) (6,126 ) Income from discontinued operations, net - 2,147 - 3,668 Net loss (10,128 ) (7,684 ) (8,244 ) (2,458 ) Less: net (income) loss attributable to noncontrolling interests in: Consolidated joint ventures (7,428 ) (405 ) (13,156 ) (1,919 ) Consolidated real estate fund 29 1,235 (56 ) 1,212 Operating Partnership 1,584 584 1,935 243 Net loss attributable to common stockholders $ (15,943 ) $ (6,270 ) $ (19,521 ) $ (2,922 ) The following table provides the total assets for each of our reportable segments as of the dates set forth below. (Amounts in thousands) Total Assets as of: Total New York San Francisco Other June 30, 2021 $ 8,533,140 $ 5,359,621 $ 2,711,847 $ 461,672 December 31, 2020 8,554,097 5,388,596 2,698,983 466,518 |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements are unaudited and have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in conjunction with the instructions to Form 10-Q of the Securities and Exchange Commission (“SEC”). Accordingly, certain information and footnote disclosures required by GAAP for complete financial statements have been condensed or omitted. These consolidated financial statements include the accounts of Paramount and its consolidated subsidiaries, including the Operating Partnership. In the opinion of management, all significant adjustments (which include only normal recurring adjustments) and eliminations (which include intercompany balances and transactions) necessary to present fairly the financial position, results of operations and changes in cash flows have been made. The consolidated balance sheet as of December 31, 2020 was derived from audited financial statements as of that date, but does not include all information and disclosures required by GAAP. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the SEC. |
Significant Accounting Policies | Significant Accounting Policies There are no material changes to our significant accounting policies as disclosed in our Annual Report on Form 10-K for the year ended December 31, 2020. |
Use of Estimates | Use of Estimates We have made estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ materially from those estimates. The results of operations for the three and six months ended June 30, 2021, are not necessarily indicative of the operating results for the full year. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, an update to ASC Topic 740, Income Taxes. In March 2020, the FASB issued ASU 2020-04, which adds ASC Topic 848, Reference Rate Reform: Facilitation of the Effects of Reference Rate Reform on Financial Reporting In August 2020, the FASB issued ASU 2020-06, an update to ASC Topic 470, Subtopic - 20, Debt - Debt with Conversion and Other Options Derivatives and Hedging - Contracts in Entity's Own Equity Earnings Per Share, In October 2020, the FASB issued ASU 2020-10, Codification Improvements |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Schedule of Operations and Cash Flow from Discontinued Operations | The tables below provide the details of the results of operations and the details of the cash flows related to discontinued operations for the periods set forth below. (Amounts in thousands) For the Three Months For the Six Months Income Statement: (1) Ended June 30, 2020 Ended June 30, 2020 Revenues: Rental revenue $ 3,515 $ 7,078 Other income 31 130 Total revenues 3,546 7,208 Expenses: Operating 1,399 2,850 Depreciation and amortization - 690 Total expenses 1,399 3,540 Income from discontinued operations, net $ 2,147 $ 3,668 (Amounts in thousands) For the Six Months Statement of Cash Flows: (1) Ended June 30, 2020 Cash provided by operating activities $ 2,292 Additional Cash Flow information: Depreciation and amortization $ 690 (1) Represents revenues, expenses, net income and cash flow information of 1899 Pennsylvania Avenue, which was sold on December 24, 2020. |
Investments in Unconsolidated_2
Investments in Unconsolidated Joint Ventures (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Summary of Financial Information of Unconsolidated Joint Ventures | The following tables summarize our investments in unconsolidated joint ventures as of the dates thereof and the income or loss from these investments for the periods set forth below. (Amounts in thousands) Paramount As of Our Share of Investments: Ownership June 30, 2021 December 31, 2020 712 Fifth Avenue (1) 50.0% $ - $ - Market Center 67.0% 189,985 192,306 55 Second Street (2) 44.1% 90,829 92,298 111 Sutter Street 49.0% 36,634 37,818 60 Wall Street (2) 5.0% 19,198 19,164 One Steuart Lane (2) 35.0% (3) 67,292 67,505 Oder-Center, Germany (2) 9.5% 3,626 3,633 Investments in unconsolidated joint ventures $ 407,564 $ 412,724 For the Three Months Ended For the Six Months Ended (Amounts in thousands) June 30, June 30, Our Share of Net Loss: 2021 2020 2021 2020 712 Fifth Avenue (1) $ (11,128 ) $ 229 $ (11,128 ) $ 229 Market Center (2,914 ) (3,070 ) (7,044 ) (5,924 ) 55 Second Street (2) (847 ) (662 ) (1,469 ) (1,346 ) 111 Sutter Street (699 ) (919 ) (1,189 ) (1,529 ) 60 Wall Street (2) 17 (9 ) 34 (91 ) One Steuart Lane (2) (132 ) (1,549 ) (225 ) (1,550 ) Oder-Center, Germany (2) (14 ) 25 (12 ) 35 Loss from unconsolidated joint ventures $ (15,717 ) $ (5,955 ) $ (21,033 ) $ (10,176 ) (1) At December 31, 2020, our basis in the joint venture that owns 712 Fifth Avenue was negative $22,345. Since we have no further obligation to fund additional capital to the joint venture, we no longer recognize our proportionate share of earnings from the joint venture. Instead, we recognize income only to the extent we receive cash distributions from the joint venture and recognize losses to the extent we make cash contributions to the joint venture. During the three months ended June 30, 2021, we received a $622 distribution from the joint venture and made an $11,750 contribution to the joint venture. Accordingly, we recognized a loss of $11,128, which is included in “loss from unconsolidated joint ventures” on our consolidated statements of income for the three and six months ended June 30, 2021. Additionally, the joint venture had net losses of $2,426 for the six months ended June 30, 2021, of which our 50.0% share was $1,213. Accordingly, our basis in the joint venture, taking into account distributions received, contributions made and our share of losses, was negative $12,430 as of June 30, 2021. (2) As of June 30, 2021, the carrying amount of our investments in 55 Second Street, 60 Wall Street, One Steuart Lane and Oder-Center is greater than our share of equity in these investments by $483, $2,640, $970 and $4,781, respectively, and primarily represents the unamortized portion of our capitalized acquisition costs. Basis differences allocated to depreciable assets are being amortized into income or loss from the unconsolidated joint ventures to which they relate, over the estimated useful life of the related assets. (3) Represents our consolidated Residential Development Fund’s economic interest in One Steuart Lane. |
Unconsolidated Joint Ventures [Member] | |
Summary of Financial Information of Unconsolidated Joint Ventures | The following tables provide the combined summarized financial information of our unconsolidated joint ventures as of the dates thereof and for the periods set forth below. (Amounts in thousands) As of Balance Sheets: June 30, 2021 December 31, 2020 Real estate, net $ 2,709,681 $ 2,674,858 Cash and cash equivalents and restricted cash 173,497 120,149 Intangible assets, net 83,907 110,307 Other assets 45,704 45,761 Total assets $ 3,012,789 $ 2,951,075 Notes and mortgages payable, net $ 1,871,120 $ 1,801,084 Intangible liabilities, net 22,524 26,772 Other liabilities 71,917 87,575 Total liabilities 1,965,561 1,915,431 Equity 1,047,228 1,035,644 Total liabilities and equity $ 3,012,789 $ 2,951,075 (Amounts in thousands) For the Three Months Ended June 30, For the Six Months Ended June 30, Income Statements: 2021 2020 2021 2020 Revenues: Rental revenue $ 57,195 $ 59,136 $ 113,723 $ 121,583 Other income 581 777 1,338 1,524 Total revenues 57,776 59,913 115,061 123,107 Expenses: Operating 25,467 29,642 50,577 55,582 Depreciation and amortization 27,014 29,099 54,467 59,281 Total expenses 52,481 58,741 105,044 114,863 Other income (expense): Interest and other (loss) income (23 ) (29 ) (56 ) 48 Interest and debt expense (13,892 ) (14,305 ) (27,632 ) (30,214 ) Net loss before income taxes (8,620 ) (13,162 ) (17,671 ) (21,922 ) Income tax benefit (expense) 1 (5 ) (15 ) (44 ) Net loss $ (8,619 ) $ (13,167 ) $ (17,686 ) $ (21,966 ) |
Intangible Assets and Liabili_2
Intangible Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Intangible Assets and Liabilities | The following tables summarize our intangible assets (acquired above-market leases and acquired in-place leases) and intangible liabilities (acquired below-market leases) and the related amortization as of the dates thereof and for the periods set forth below. As of (Amounts in thousands) June 30, 2021 December 31, 2020 Intangible assets: Gross amount $ 381,169 $ 436,851 Accumulated amortization (245,405 ) (283,332 ) $ 135,764 $ 153,519 Intangible liabilities: Gross amount $ 156,478 $ 163,977 Accumulated amortization (106,086 ) (107,981 ) $ 50,392 $ 55,996 For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands) 2021 2020 2021 2020 Amortization of above and below-market leases, net (component of "rental revenue") $ 758 $ 1,235 $ 1,613 $ 2,778 Amortization of acquired in-place leases (component of "depreciation and amortization") 6,551 9,190 13,770 18,682 |
Schedule of Estimated Annual Amortization of Acquired Below-Market Leases, Net of Acquired Above-Market Leases and In Place Leases | The following table sets forth annual amortization of acquired above and below-market leases, net and amortization of acquired in-place leases for each of the five succeeding years commencing from January 1, 2022. (Amounts in thousands) For the Year Ending December 31, Above and Below-Market Leases, Net In-Place Leases 2022 $ 1,345 $ 21,644 2023 5,080 17,705 2024 6,020 14,248 2025 4,674 10,451 2026 2,801 7,896 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Summary of Outstanding Debt | The following table summarizes our consolidated outstanding debt. Interest Rate Maturity Fixed/ as of As of (Amounts in thousands) Date Variable Rate June 30, 2021 June 30, 2021 December 31, 2020 Notes and mortgages payable: 1633 Broadway (1) Dec-2029 Fixed 2.99 % $ 1,250,000 $ 1,250,000 One Market Plaza (1) Feb-2024 Fixed 4.03 % 975,000 975,000 1301 Avenue of the Americas (2) Nov-2021 Fixed 3.05 % 500,000 500,000 Nov-2021 L + 180 bps 1.93 % 350,000 350,000 2.59 % 850,000 850,000 31 West 52nd Street June-2026 Fixed 3.80 % 500,000 500,000 300 Mission Street (1) Oct-2023 Fixed 3.65 % 256,864 244,434 Total notes and mortgages payable 3.32 % 3,831,864 3,819,434 Less: unamortized deferred financing costs (15,105 ) (18,695 ) Total notes and mortgages payable, net $ 3,816,759 $ 3,800,739 $1.0 Billion Revolving Credit Facility Jan-2022 (3) L + 115 bps n/a $ - $ - (1) Our ownership interests in 1633 Broadway, One Market Plaza and 300 Mission Street are 90.0%, 49.0% and 31.1%, respectively. (2) We are currently (3) The $1.0 billion revolving credit facility matures on January 10, 2022 and has two six-month extension options. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Summary of Changes in Accumulated Other Comprehensive Loss by Component | The following table sets forth changes in accumulated other comprehensive loss by component for the three and six months ended June 30, 2021 and 2020, including amounts attributable to noncontrolling interests in the Operating Partnership. For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands) 2021 2020 2021 2020 Amount of (loss) income related to unconsolidated joint ventures recognized in other comprehensive loss (1) $ (637 ) $ (2,104 ) 2,785 (16,672 ) Amounts reclassified from accumulated other comprehensive loss increasing loss from unconsolidated joint ventures (1) 1,002 408 1,964 315 ( 1 ) Represents amounts related to interest rate swap with a notional value of $402,000, which was designated as cash flow hedge. |
Variable Interest Entities ("_2
Variable Interest Entities ("VIEs") (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Consolidated VIEs [Member] | |
Summary of Assets and Liabilities of Consolidated Variable Interest Entities | The following table summarizes the assets and liabilities of consolidated VIEs of the Operating Partnership As of (Amounts in thousands) June 30, 2021 December 31, 2020 Real estate, net $ 3,454,201 $ 3,470,766 Cash and cash equivalents and restricted cash 178,873 134,647 Investments in unconsolidated joint ventures 67,292 67,505 Accounts and other receivables 5,236 6,871 Deferred rent receivable 202,371 192,401 Deferred charges, net 52,008 55,156 Intangible assets, net 69,171 76,545 Other assets 24,619 21,496 Total VIE assets $ 4,053,771 $ 4,025,387 Notes and mortgages payable, net $ 2,470,718 $ 2,457,272 Accounts payable and accrued expenses 54,186 51,590 Intangible liabilities, net 30,504 33,566 Other liabilities 5,412 4,486 Total VIE liabilities $ 2,560,820 $ 2,546,914 |
Unconsolidated VIEs [Member] | |
Summary of Investments in Unconsolidated Real Estate Funds and Maximum Risk of Loss from Investments | The following table summarizes our investments in these unconsolidated real estate funds and the maximum risk of loss from these investments. As of (Amounts in thousands) June 30, 2021 December 31, 2020 Investments $ 12,979 $ 12,917 Asset management fees and other receivables 236 561 Maximum risk of loss $ 13,215 $ 13,478 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value of Financial Assets Measured at Fair Value | The following table summarizes the fair value of our financial assets that are measured at fair value on our consolidated balance sheets as of the dates set forth below, based on their levels in the fair value hierarchy. As of June 30, 2021 (Amounts in thousands) Total Level 1 Level 2 Level 3 Marketable securities (included in "other assets") $ 16,839 $ 16,839 $ - $ - Total assets $ 16,839 $ 16,839 $ - $ - As of December 31, 2020 (Amounts in thousands) Total Level 1 Level 2 Level 3 Marketable securities (included in "other assets") $ 17,178 $ 17,178 $ - $ - Total assets $ 17,178 $ 17,178 $ - $ - |
Summary of Carrying Amounts and Fair Value of Financial Instruments | The following table summarizes the carrying amounts and fair value of these financial instruments as of the dates set forth below. As of June 30, 2021 As of December 31, 2020 (Amounts in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Notes and mortgages payable $ 3,831,864 $ 3,878,237 $ 3,819,434 $ 3,871,644 Revolving credit facility - - - - Total liabilities $ 3,831,864 $ 3,878,237 $ 3,819,434 $ 3,871,644 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Schedule of Rental Revenues | The following table sets forth the details of our rental revenue. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Rental revenue: Fixed $ 159,641 $ 153,868 (1) $ 320,270 $ 314,544 (1) Variable 14,987 (2) 10,121 27,504 (2) 24,870 Total rental revenue $ 174,628 $ 163,989 $ 347,774 $ 339,414 (1) Includes (2) Includes $5,051 of income in connection with a tenant’s lease termination at 300 Mission Street. |
Schedule of Future Undiscounted Cash Flows Under Non-Cancellable Operating Leases | The following table is a schedule of future undiscounted cash flows under non-cancellable operating leases in effect as of June 30, 2021, for the six-month period from July 1, 2021 through December 31, 2021, and each of the five succeeding years and thereafter commencing January 1, 2022. (Amounts in thousands) 2021 $ 320,578 2022 632,390 2023 607,310 2024 580,419 2025 522,620 2026 426,925 Thereafter 2,007,828 Total $ 5,098,070 |
Fee and Other Income (Tables)
Fee and Other Income (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disaggregation Of Revenue [Abstract] | |
Summary of Fee and Other Income | The following table sets forth the details of our fee and other income. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Fee income: Asset management $ 3,409 $ 3,571 $ 6,895 $ 7,092 Property management 2,085 2,239 4,281 4,689 Acquisition, disposition and leasing 439 - 439 - Other 268 399 1,256 758 Total fee income 6,201 6,209 12,871 12,539 Other income (1) 1,440 920 2,790 3,151 Total fee and other income $ 7,641 $ 7,129 $ 15,661 $ 15,690 (1) Primarily comprised of (i) tenant requested services, including overtime heating and cooling and (ii) parking income. |
Interest and Other Income, net
Interest and Other Income, net (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Interest And Other Income [Abstract] | |
Schedule of Interest and Other Income, net | The following table sets forth the details of interest and other income, net. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Interest income, net $ 397 $ 428 $ 787 $ 1,416 Mark-to-market of investments in our deferred compensation plans (1) 673 1,824 1,585 (160 ) Total interest and other income, net $ 1,070 $ 2,252 $ 2,372 $ 1,256 (1) The change resulting from the mark-to-market of the deferred compensation plan assets is entirely offset by the change in deferred compensation plan liabilities, which is included as a component of “general and administrative” expenses on our consolidated statements of income. |
Interest and Debt Expense (Tabl
Interest and Debt Expense (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Interest And Debt Expense [Abstract] | |
Details of Interest and Debt Expense | The following table sets forth the details of interest and debt expense. For the Three Months Ended June 30, For the Six Months Ended June 30, (Amounts in thousands) 2021 2020 2021 2020 Interest expense $ 32,593 $ 33,690 $ 65,013 $ 67,991 Amortization of deferred financing costs 2,321 2,319 4,640 4,637 Total interest and debt expense $ 34,914 $ 36,009 $ 69,653 $ 72,628 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Summary of Computation of Earnings Per Share | The following table summarizes our net loss and the number of common shares used in the computation of basic and diluted loss per common share, which includes the weighted average number of common shares outstanding and the effect of dilutive potential common shares, if any. For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands, except per share amounts) 2021 2020 2021 2020 Numerator: Continuing Operations: Net loss from continuing operations attributable to common stockholders $ (15,943 ) $ (8,234 ) $ (19,521 ) $ (6,266 ) Earnings allocated to unvested participating securities (18 ) (14 ) (37 ) (26 ) Numerator for loss from continuing operations per common share - basic and diluted (15,961 ) (8,248 ) (19,558 ) (6,292 ) Discontinued Operations: Net income from discontinued operations attributable to common stockholders - 1,964 - 3,344 Earnings allocated to unvested participating securities - (4 ) - (11 ) Numerator for income from discontinued operations per common share - basic and diluted - 1,960 - 3,333 Numerator for loss per common share - basic and diluted $ (15,961 ) $ (6,288 ) $ (19,558 ) $ (2,959 ) Denominator: Denominator for basic loss per common share - weighted average shares 218,696 221,573 218,681 224,671 Effect of dilutive stock-based compensation plans (1) - - - - Denominator for diluted loss per common share - weighted average shares 218,696 221,573 218,681 224,671 (Loss) Income per Common Share - Basic and Diluted: Continuing operations, net $ (0.07 ) $ (0.04 ) $ (0.09 ) $ (0.03 ) Discontinued operations, net - 0.01 - 0.02 Loss per common share - basic and diluted $ (0.07 ) $ (0.03 ) $ (0.09 ) $ (0.01 ) (1) The effect of dilutive securities and 22,917 weighted average share equivalents for the three months ended June 30, 2021 and 2020, respectively, and 23,738 and 24,201 weighted average share equivalents for the six months ended June 30, 2021 and 2020, respectively, as their effect was anti-dilutive. |
Segments (Tables)
Segments (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
Schedule of NOI for Each Reportable Segment Information | The following tables provide Net Operating Income (“NOI”) for each reportable segment for the periods set forth below. For the Three Months Ended June 30, 2021 (Amounts in thousands) Total New York San Francisco Other Property-related revenues $ 176,068 $ 108,191 $ 68,674 $ (797 ) Property-related operating expenses (64,072 ) (45,801 ) (17,067 ) (1,204 ) NOI from unconsolidated joint ventures 10,557 2,749 7,852 (44 ) NOI (1) $ 122,553 $ 65,139 $ 59,459 $ (2,045 ) For the Three Months Ended June 30, 2020 (Amounts in thousands) Total New York San Francisco Other (2) Property-related revenues $ 168,455 $ 110,679 $ 54,827 $ 2,949 Property-related operating expenses (65,712 ) (47,213 ) (16,054 ) (2,445 ) NOI from unconsolidated joint ventures 10,376 2,680 9,165 (1,469 ) NOI (1) $ 113,119 $ 66,146 $ 47,938 $ (965 ) For the Six Months Ended June 30, 2021 (Amounts in thousands) Total New York San Francisco Other Property-related revenues $ 350,564 $ 220,028 $ 132,146 $ (1,610 ) Property-related operating expenses (130,690 ) (94,825 ) (34,005 ) (1,860 ) NOI from unconsolidated joint ventures 20,883 5,570 15,389 (76 ) NOI (1) $ 240,757 $ 130,773 $ 113,530 $ (3,546 ) For the Six Months Ended June 30, 2020 (Amounts in thousands) Total New York San Francisco Other (2) Property-related revenues $ 349,773 $ 232,256 $ 111,494 $ 6,023 Property-related operating expenses (134,177 ) (96,242 ) (32,973 ) (4,962 ) NOI from unconsolidated joint ventures 23,768 5,624 19,547 (1,403 ) NOI (1) $ 239,364 $ 141,638 $ 98,068 $ (342 ) (1) NOI is used to measure the operating performance of our properties. NOI consists of rental revenue (which includes property rentals, tenant reimbursements and lease termination income) and certain other property-related revenue less operating expenses (which includes property-related expenses such as cleaning, security, repairs and maintenance, utilities, property administration and real estate taxes). We use NOI internally as a performance measure and believe it provides useful information to investors regarding our financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level. Other real estate companies may use different methodologies for calculating NOI and, accordingly, our presentation of NOI may not be comparable to other real estate companies. ( 2 ) NOI for the three and six months ended June 30, 2020 includes NOI from discontinued operations. See Note 3, Discontinued Operations |
Schedule of Reconciliation of NOI to Net Loss Attributable to Common Stockholders | The following table provides a reconciliation of NOI to net loss attributable to common stockholders for the periods set forth below. For the Three Months Ended For the Six Months Ended June 30, June 30, (Amounts in thousands) 2021 2020 2021 2020 NOI $ 122,553 $ 113,119 $ 240,757 $ 239,364 Add (subtract) adjustments to arrive to net income: Fee income 6,201 6,209 12,871 12,539 Depreciation and amortization expense (59,925 ) (58,716 ) (118,230 ) (117,143 ) General and administrative expenses (18,418 ) (17,901 ) (32,782 ) (30,150 ) NOI from unconsolidated joint ventures (10,557 ) (10,376 ) (20,883 ) (23,768 ) Loss from unconsolidated joint ventures (15,717 ) (5,955 ) (21,033 ) (10,176 ) Interest and other income, net 1,070 2,252 2,372 1,256 Interest and debt expense (34,914 ) (36,009 ) (69,653 ) (72,628 ) Adjustments related to discontinued operations - (2,147 ) - (4,358 ) Other, net 13 (169 ) (88 ) (320 ) Loss from continuing operations, before income taxes (9,694 ) (9,693 ) (6,669 ) (5,384 ) Income tax expense (434 ) (138 ) (1,575 ) (742 ) Loss from continuing operations, net (10,128 ) (9,831 ) (8,244 ) (6,126 ) Income from discontinued operations, net - 2,147 - 3,668 Net loss (10,128 ) (7,684 ) (8,244 ) (2,458 ) Less: net (income) loss attributable to noncontrolling interests in: Consolidated joint ventures (7,428 ) (405 ) (13,156 ) (1,919 ) Consolidated real estate fund 29 1,235 (56 ) 1,212 Operating Partnership 1,584 584 1,935 243 Net loss attributable to common stockholders $ (15,943 ) $ (6,270 ) $ (19,521 ) $ (2,922 ) |
Schedule of Total Assets for Each Reportable Segments Information | The following table provides the total assets for each of our reportable segments as of the dates set forth below. (Amounts in thousands) Total Assets as of: Total New York San Francisco Other June 30, 2021 $ 8,533,140 $ 5,359,621 $ 2,711,847 $ 461,672 December 31, 2020 8,554,097 5,388,596 2,698,983 466,518 |
Organization and Business - Add
Organization and Business - Additional Information (Details) ft² in Millions | 3 Months Ended | 6 Months Ended |
Mar. 31, 2021 | Jun. 30, 2021ft²Properties | |
Real Estate Properties [Line Items] | ||
Number of Real Estate Properties | Properties | 13 | |
Area of office and retail properties | ft² | 12.9 | |
Variable Interest Entities [Member] | Paramount Group Operating Partnership [Member] | ||
Real Estate Properties [Line Items] | ||
Percentage of ownership in operating partnership | 91.00% | 91.00% |
Discontinued Operations - Sched
Discontinued Operations - Schedule of Results of Operations Related to Discontinued Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2020 | ||
Expenses: | |||
Income from discontinued operations, net | $ 2,147 | $ 3,668 | |
1899 Pennsylvania Avenue [Member] | |||
Revenues: | |||
Rental revenue | [1] | 3,515 | 7,078 |
Other income | [1] | 31 | 130 |
Total revenues | [1] | 3,546 | 7,208 |
Expenses: | |||
Operating | [1] | 1,399 | 2,850 |
Depreciation and amortization | [1] | 690 | |
Total expenses | [1] | 1,399 | 3,540 |
Income from discontinued operations, net | [1] | $ 2,147 | $ 3,668 |
[1] | Represents revenues, expenses, net income and cash flow information of 1899 Pennsylvania Avenue, which was sold on December 24, 2020. |
Discontinued Operations - Sch_2
Discontinued Operations - Schedule of Cash Flows from Discontinued Operations (Details) - 1899 Pennsylvania Avenue [Member] $ in Thousands | 6 Months Ended | |
Jun. 30, 2020USD ($) | [1] | |
Statement of Cash Flows: | ||
Cash provided by operating activities | $ 2,292 | |
Additional Cash Flow information: | ||
Depreciation and amortization | $ 690 | |
[1] | Represents revenues, expenses, net income and cash flow information of 1899 Pennsylvania Avenue, which was sold on December 24, 2020. |
Investments in Unconsolidated_3
Investments in Unconsolidated Joint Ventures - Summary of Investments and Income from Investments In Unconsolidated Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Schedule Of Equity Method Investments [Line Items] | |||||
Investments in unconsolidated joint ventures | $ 407,564 | $ 407,564 | $ 412,724 | ||
Loss from unconsolidated joint ventures | $ (15,717) | $ (5,955) | $ (21,033) | $ (10,176) | |
712 Fifth Avenue [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 50.00% | 50.00% | |||
Loss from unconsolidated joint ventures | $ (11,128) | 229 | $ (11,128) | 229 | |
Market Center [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 67.00% | 67.00% | |||
Investments in unconsolidated joint ventures | $ 189,985 | $ 189,985 | 192,306 | ||
Loss from unconsolidated joint ventures | $ (2,914) | (3,070) | $ (7,044) | (5,924) | |
55 Second Street [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 44.10% | 44.10% | |||
Investments in unconsolidated joint ventures | $ 90,829 | $ 90,829 | 92,298 | ||
Loss from unconsolidated joint ventures | $ (847) | (662) | $ (1,469) | (1,346) | |
111 Sutter Street [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 49.00% | 49.00% | |||
Investments in unconsolidated joint ventures | $ 36,634 | $ 36,634 | 37,818 | ||
Loss from unconsolidated joint ventures | $ (699) | (919) | $ (1,189) | (1,529) | |
60 Wall Street [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 5.00% | 5.00% | |||
Investments in unconsolidated joint ventures | $ 19,198 | $ 19,198 | 19,164 | ||
Loss from unconsolidated joint ventures | $ 17 | (9) | $ 34 | (91) | |
One Steuart Lane [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 35.00% | 35.00% | |||
Investments in unconsolidated joint ventures | $ 67,292 | $ 67,292 | 67,505 | ||
Loss from unconsolidated joint ventures | $ (132) | (1,549) | $ (225) | (1,550) | |
Oder-Center, Germany [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Equity method paramount ownership percentage | 9.50% | 9.50% | |||
Investments in unconsolidated joint ventures | $ 3,626 | $ 3,626 | $ 3,633 | ||
Loss from unconsolidated joint ventures | $ (14) | $ 25 | $ (12) | $ 35 |
Investments in Unconsolidated_4
Investments in Unconsolidated Joint Ventures - Summary of Investments and Income from Investments In Unconsolidated Joint Ventures (Parenthetical) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Schedule Of Equity Method Investments [Line Items] | |||||
Distributions of earnings from unconsolidated joint ventures | $ 623 | $ 1,459 | |||
Contribution to the joint venture | 11,750 | ||||
Loss from unconsolidated joint ventures | $ 15,717 | $ 5,955 | 21,033 | 10,176 | |
712 Fifth Avenue [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Distributions made in excess of share of earnings recognized negative basis | 12,430 | $ 22,345 | |||
Distributions of earnings from unconsolidated joint ventures | 622 | ||||
Contribution to the joint venture | 11,750 | ||||
Loss from unconsolidated joint ventures | 11,128 | (229) | 11,128 | (229) | |
Income (Loss) of investment accounted under equity method accounting | (2,426) | ||||
Proportionate share of income (loss) of equity method investment not recognized | (1,213) | ||||
55 Second Street [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Loss from unconsolidated joint ventures | 847 | 662 | 1,469 | 1,346 | |
Difference between carrying amount of investment and equity | 483 | 483 | |||
60 Wall Street [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Loss from unconsolidated joint ventures | (17) | 9 | (34) | 91 | |
Difference between carrying amount of investment and equity | 2,640 | 2,640 | |||
One Steuart Lane [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Loss from unconsolidated joint ventures | 132 | 1,549 | 225 | 1,550 | |
Difference between carrying amount of investment and equity | 970 | 970 | |||
Oder-Center, Germany [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Loss from unconsolidated joint ventures | 14 | $ (25) | 12 | $ (35) | |
Difference between carrying amount of investment and equity | $ 4,781 | $ 4,781 |
Investments in Unconsolidated_5
Investments in Unconsolidated Joint Ventures - Summary of Financial Information of Unconsolidated Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | ||
Schedule Of Equity Method Investments [Line Items] | ||||||
Total assets | [1] | $ 8,533,140 | $ 8,533,140 | $ 8,554,097 | ||
Total liabilities | [1] | 4,053,017 | 4,053,017 | 4,038,363 | ||
Equity | 3,600,279 | 3,600,279 | 3,653,177 | |||
Total liabilities and equity | 8,533,140 | 8,533,140 | 8,554,097 | |||
Rental revenue | 174,628 | $ 163,989 | 347,774 | $ 339,414 | ||
Other income | 1,440 | 920 | 2,790 | 3,151 | ||
Total revenues | 182,269 | 171,118 | 363,435 | 355,104 | ||
Operating | 64,072 | 64,313 | 130,690 | 131,327 | ||
Depreciation and amortization | 59,925 | 58,716 | 118,230 | 117,143 | ||
Total expenses | 142,550 | 141,188 | 282,118 | 279,081 | ||
Interest and other (loss) income | 1,070 | 2,252 | 2,372 | 1,256 | ||
Interest and debt expense | (34,914) | (36,009) | (69,653) | (72,628) | ||
Net loss before income taxes | (9,694) | (9,693) | (6,669) | (5,384) | ||
Income tax benefit (expense) | (434) | (138) | (1,575) | (742) | ||
Net loss attributable to common stockholders | (15,943) | (6,270) | (19,521) | (2,922) | ||
Unconsolidated Joint Ventures [Member] | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Real estate, net | 2,709,681 | 2,709,681 | 2,674,858 | |||
Cash and cash equivalents and restricted cash | 173,497 | 173,497 | 120,149 | |||
Intangible assets, net | 83,907 | 83,907 | 110,307 | |||
Other assets | 45,704 | 45,704 | 45,761 | |||
Total assets | 3,012,789 | 3,012,789 | 2,951,075 | |||
Notes and mortgages payable, net | 1,871,120 | 1,871,120 | 1,801,084 | |||
Intangible liabilities, net | 22,524 | 22,524 | 26,772 | |||
Other liabilities | 71,917 | 71,917 | 87,575 | |||
Total liabilities | 1,965,561 | 1,965,561 | 1,915,431 | |||
Equity | 1,047,228 | 1,047,228 | 1,035,644 | |||
Total liabilities and equity | 3,012,789 | 3,012,789 | $ 2,951,075 | |||
Rental revenue | 57,195 | 59,136 | 113,723 | 121,583 | ||
Other income | 581 | 777 | 1,338 | 1,524 | ||
Total revenues | 57,776 | 59,913 | 115,061 | 123,107 | ||
Operating | 25,467 | 29,642 | 50,577 | 55,582 | ||
Depreciation and amortization | 27,014 | 29,099 | 54,467 | 59,281 | ||
Total expenses | 52,481 | 58,741 | 105,044 | 114,863 | ||
Interest and other (loss) income | (23) | (29) | (56) | 48 | ||
Interest and debt expense | (13,892) | (14,305) | (27,632) | (30,214) | ||
Net loss before income taxes | (8,620) | (13,162) | (17,671) | (21,922) | ||
Income tax benefit (expense) | 1 | (5) | (15) | (44) | ||
Net loss attributable to common stockholders | $ (8,619) | $ (13,167) | $ (17,686) | $ (21,966) | ||
[1] | Represents the consolidated assets and liabilities of Paramount Group Operating Partnership LP, a Delaware limited partnership (the “Operating Partnership”). The Operating Partnership is a consolidated variable interest entity (“VIE”), of which we are the sole general partner and own approximately 91.0% as of June 30, 2021. As of June 30, 2021, the Operating Partnership includes $4,053,771 and $2,560,820 of assets and liabilities, respectively, of certain VIEs that are consolidated by the Operating Partnership. See Note 11, Variable Interest Entities (“VIEs”). |
Investments in Unconsolidated_6
Investments in Unconsolidated Real Estate Funds - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Investment Holdings [Line Items] | |||||
Investments in unconsolidated real estate funds | $ 12,979,000 | $ 12,979,000 | $ 12,917,000 | ||
Income from unconsolidated real estate funds | 148,000 | $ 89,000 | 328,000 | $ 141,000 | |
Fund X [Member] | |||||
Investment Holdings [Line Items] | |||||
Capital commitments | 192,000,000 | ||||
Capital commitments invested | $ 78,791,000 | $ 78,791,000 | |||
Alternative Investment Fund, Interest Rate | 7.80% | 7.80% | |||
Fund VIII [Member] | |||||
Investment Holdings [Line Items] | |||||
Alternative Investment Fund, Interest Rate | 1.30% | 1.30% |
Intangible Assets and Intangibl
Intangible Assets and Intangible Liabilities - Summary of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Intangible assets: | |||||
Gross amount | $ 381,169 | $ 381,169 | $ 436,851 | ||
Accumulated amortization | (245,405) | (245,405) | (283,332) | ||
Intangible assets, Net | 135,764 | 135,764 | 153,519 | ||
Intangible liabilities: | |||||
Gross amount | 156,478 | 156,478 | 163,977 | ||
Accumulated amortization | (106,086) | (106,086) | (107,981) | ||
Intangible Liabilities, Net | 50,392 | 50,392 | $ 55,996 | ||
Leases, Acquired-in-Place, Market Adjustment [Member] | |||||
Intangible liabilities: | |||||
Amortization of above and below-market leases, net (component of "rental revenue") | 758 | $ 1,235 | 1,613 | $ 2,778 | |
Leases, Acquired-in-Place [Member] | |||||
Intangible liabilities: | |||||
Amortization of acquired in-place leases (component of "depreciation and amortization") | $ 6,551 | $ 9,190 | $ 13,770 | $ 18,682 |
Intangible Assets and Intangi_2
Intangible Assets and Intangible Liabilities - Schedule of Estimated Annual Amortization of Acquired Below-Market Leases, Net of Acquired Above-Market Leases and In Place Leases (Details) $ in Thousands | Jun. 30, 2021USD ($) |
Finite Lived Intangible Assets [Line Items] | |
2022 | $ (1,345) |
2023 | (5,080) |
2024 | (6,020) |
2025 | (4,674) |
2026 | (2,801) |
Leases, Acquired-in-Place [Member] | |
Finite Lived Intangible Assets [Line Items] | |
2022 | 21,644 |
2023 | 17,705 |
2024 | 14,248 |
2025 | 10,451 |
2026 | $ 7,896 |
Debt - Summary of Outstanding D
Debt - Summary of Outstanding Debt (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Debt Instrument [Line Items] | ||
Notes and mortgages payable, Interest Rate | 3.32% | |
Notes and mortgages payable | $ 3,831,864 | $ 3,819,434 |
Credit Facility | 0 | 0 |
Less: unamortized deferred financing costs | (15,105) | (18,695) |
Total notes and mortgages payable, net | $ 3,816,759 | 3,800,739 |
Credit Facility With Variable Rate [Member] | Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2022-01 | |
Credit Facility With Variable Rate [Member] | London Interbank Offered Rate (LIBOR) [Member] | Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Fixed/Variable Rate | 1.15% | |
1633 Broadway [Member] | Mortgages and Notes Payable with Fixed Rate [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2029-12 | |
Notes and mortgages payable, Interest Rate | 2.99% | |
Notes and mortgages payable | $ 1,250,000 | 1,250,000 |
One Market Plaza [Member] | Mortgages and Notes Payable with Fixed Rate [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2024-02 | |
Notes and mortgages payable, Interest Rate | 4.03% | |
Notes and mortgages payable | $ 975,000 | 975,000 |
1301 Avenue of Americas [Member] | ||
Debt Instrument [Line Items] | ||
Notes and mortgages payable, Interest Rate | 2.59% | |
Notes and mortgages payable | $ 850,000 | 850,000 |
1301 Avenue of Americas [Member] | Mortgages and Notes Payable with Fixed Rate [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2021-11 | |
Notes and mortgages payable, Interest Rate | 3.05% | |
Notes and mortgages payable | $ 500,000 | 500,000 |
1301 Avenue of Americas [Member] | Mortgages and Notes Payable with Variable Rate [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2021-11 | |
Notes and mortgages payable, Interest Rate | 1.93% | |
Notes and mortgages payable | $ 350,000 | 350,000 |
1301 Avenue of Americas [Member] | Mortgages and Notes Payable with Variable Rate [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Fixed/Variable Rate | 1.80% | |
31 West 52nd Street [Member] | Mortgages and Notes Payable with Fixed Rate [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2026-06 | |
Notes and mortgages payable, Interest Rate | 3.80% | |
Notes and mortgages payable | $ 500,000 | 500,000 |
300 Mission Street [Member] | Mortgages and Notes Payable with Fixed Rate [Member] | ||
Debt Instrument [Line Items] | ||
Maturity date of debt | 2023-10 | |
Notes and mortgages payable, Interest Rate | 3.65% | |
Notes and mortgages payable | $ 256,864 | $ 244,434 |
Debt - Summary of Outstanding_2
Debt - Summary of Outstanding Debt (Parenthetical) (Details) - USD ($) $ in Billions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Credit Facility With Variable Rate [Member] | Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Maximum borrowing capacity | $ 1 | $ 1 |
1633 Broadway [Member] | ||
Debt Instrument [Line Items] | ||
Ownership percentage of Property | 90.00% | 90.00% |
One Market Plaza [Member] | ||
Debt Instrument [Line Items] | ||
Ownership percentage of Property | 49.00% | 49.00% |
300 Mission Street [Member] | ||
Debt Instrument [Line Items] | ||
Ownership percentage of Property | 31.10% | 31.10% |
Equity - Additional Information
Equity - Additional Information (Details) - USD ($) | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Nov. 05, 2019 | |
Class Of Stock [Line Items] | ||||
Common stock shares authorized amount | $ 200,000,000 | |||
Stock repurchased, price per share | $ 9.21 | $ 8.69 | ||
Stock repurchased, value | $ 100,000,000 | $ 120,000,000 | ||
Stock repurchase amount available for future repurchase | $ 80,000,000 | |||
Common Stock [Member] | ||||
Class Of Stock [Line Items] | ||||
Stock repurchased | 0 | 10,856,865 | 13,813,158 | |
Stock repurchased, value | $ 109,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Summary of Changes in Accumulated Other Comprehensive Loss by Component (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | ||||
Amount of (loss) income related to unconsolidated joint ventures recognized in other comprehensive loss (1) | $ (637) | $ (2,104) | $ 2,785 | $ (16,672) |
Amounts reclassified from accumulated other comprehensive loss increasing loss from unconsolidated joint ventures (1) | $ 1,002 | $ 408 | $ 1,964 | $ 315 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Summary of Changes in Accumulated Other Comprehensive Loss by Component (Parenthetical) (Details) | Jun. 30, 2021USD ($) |
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Unconsolidated Joint Ventures [Member] | |
Accumulated Other Comprehensive Income Loss [Line Items] | |
Aggregate notional amount | $ 402,000,000 |
Noncontrolling Interests - Addi
Noncontrolling Interests - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Noncontrolling Interest [Abstract] | ||
Consolidated joint ventures | $ 442,428 | $ 437,161 |
Noncontrolling interests in consolidated real estate fund aggregated | 79,085 | 79,017 |
Operating partnerships | 358,331 | 346,379 |
Redemption value | $ 219,516 | $ 187,640 |
Common units conversion basis | one-for-one |
Variable Interest Entities ("_3
Variable Interest Entities ("VIEs") - Additional Information (Details) | 3 Months Ended | 6 Months Ended |
Mar. 31, 2021 | Jun. 30, 2021 | |
Variable Interest Entities [Member] | Paramount Group Operating Partnership [Member] | ||
Variable Interest Entity [Line Items] | ||
Percentage of ownership in operating partnership | 91.00% | 91.00% |
Variable Interest Entities ("_4
Variable Interest Entities ("VIEs") - Summary of Assets and Liabilities of Consolidated Variable Interest Entities (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | |
Variable Interest Entity [Line Items] | |||||
Real estate, net | $ 6,950,934 | $ 6,996,618 | |||
Cash and cash equivalents and restricted cash | 507,841 | 465,324 | $ 556,459 | $ 331,487 | |
Deferred rent receivable | 339,874 | 330,239 | |||
Deferred charges, net | 111,275 | 116,278 | |||
Intangible assets, net | 135,764 | 153,519 | |||
Other assets | 53,543 | 48,976 | |||
Total assets | [1] | 8,533,140 | 8,554,097 | ||
Notes and mortgages payable, net | 3,816,759 | 3,800,739 | |||
Accounts payable and accrued expenses | 103,895 | 101,901 | |||
Intangible liabilities, net | 50,392 | 55,996 | |||
Other liabilities | 65,074 | 62,931 | |||
Total liabilities | [1] | 4,053,017 | 4,038,363 | ||
Variable Interest Entities [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Real estate, net | 3,454,201 | 3,470,766 | |||
Cash and cash equivalents and restricted cash | 178,873 | 134,647 | |||
Investments in unconsolidated joint ventures | 67,292 | 67,505 | |||
Accounts and other receivables | 5,236 | 6,871 | |||
Deferred rent receivable | 202,371 | 192,401 | |||
Deferred charges, net | 52,008 | 55,156 | |||
Intangible assets, net | 69,171 | 76,545 | |||
Other assets | 24,619 | 21,496 | |||
Total assets | 4,053,771 | 4,025,387 | |||
Notes and mortgages payable, net | 2,470,718 | 2,457,272 | |||
Accounts payable and accrued expenses | 54,186 | 51,590 | |||
Intangible liabilities, net | 30,504 | 33,566 | |||
Other liabilities | 5,412 | 4,486 | |||
Total liabilities | $ 2,560,820 | $ 2,546,914 | |||
[1] | Represents the consolidated assets and liabilities of Paramount Group Operating Partnership LP, a Delaware limited partnership (the “Operating Partnership”). The Operating Partnership is a consolidated variable interest entity (“VIE”), of which we are the sole general partner and own approximately 91.0% as of June 30, 2021. As of June 30, 2021, the Operating Partnership includes $4,053,771 and $2,560,820 of assets and liabilities, respectively, of certain VIEs that are consolidated by the Operating Partnership. See Note 11, Variable Interest Entities (“VIEs”). |
Variable Interest Entities ("_5
Variable Interest Entities ("VIEs") - Summary of Investments in Unconsolidated Real Estate Funds and Maximum Risk of Loss from Investments (Details) - Unconsolidated Real Estate Funds [Member] - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Carrying Value of Investments [Member] | ||
Variable Interest Entity [Line Items] | ||
Investments in unconsolidated real estate funds | $ 12,979 | $ 12,917 |
Asset Management Fees and Other Receivables [Member] | ||
Variable Interest Entity [Line Items] | ||
Investments in unconsolidated real estate funds | 236 | 561 |
Maximum Risk of Loss [Member] | ||
Variable Interest Entity [Line Items] | ||
Investments in unconsolidated real estate funds | $ 13,215 | $ 13,478 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Fair Value of Financial Assets Measured at Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities (included in "other assets") | $ 16,839 | $ 17,178 |
Total assets | 16,839 | 17,178 |
Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities (included in "other assets") | 16,839 | 17,178 |
Total assets | $ 16,839 | $ 17,178 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Carrying Amounts and Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Carrying Amount [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Notes and mortgages payable | $ 3,831,864 | $ 3,819,434 |
Total liabilities | 3,831,864 | 3,819,434 |
Fair Value [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Notes and mortgages payable | 3,878,237 | 3,871,644 |
Total liabilities | $ 3,878,237 | $ 3,871,644 |
Leases - Additional Information
Leases - Additional Information (Details) | Jun. 30, 2021 |
Minimum [Member] | |
Lessor Lease Description [Line Items] | |
Lease term | 5 years |
Maximum [Member] | |
Lessor Lease Description [Line Items] | |
Lease term | 15 years |
Leases - Schedule of Rental Rev
Leases - Schedule of Rental Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Abstract] | ||||
Fixed rental revenues | $ 159,641 | $ 153,868 | $ 320,270 | $ 314,544 |
Variable rental revenues | 14,987 | 10,121 | 27,504 | 24,870 |
Total rental revenue | $ 174,628 | $ 163,989 | $ 347,774 | $ 339,414 |
Leases - Schedule of Rental R_2
Leases - Schedule of Rental Revenues (Parenthetical) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Line Items] | ||||
Non-cash write-offs, primarily for straight-line rent receivables | $ 11,309 | $ 11,309 | ||
Uncollectible accounts receivable | 2,051 | 2,051 | ||
Variable rental revenues | $ 14,987 | $ 10,121 | $ 27,504 | $ 24,870 |
Tenant Lease Termination [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Variable rental revenues | $ 5,051 | $ 5,051 |
Leases - Schedule of Future Und
Leases - Schedule of Future Undiscounted Cash Flows Under Non-Cancellable Operating Leases (Details) $ in Thousands | Jun. 30, 2021USD ($) |
Leases [Abstract] | |
2021 | $ 320,578 |
2022 | 632,390 |
2023 | 607,310 |
2024 | 580,419 |
2025 | 522,620 |
2026 | 426,925 |
Thereafter | 2,007,828 |
Total | $ 5,098,070 |
Fee and Other Income - Summary
Fee and Other Income - Summary of Fee and Other Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Fee income: | ||||
Total fee income | $ 6,201 | $ 6,209 | $ 12,871 | $ 12,539 |
Other income | 1,440 | 920 | 2,790 | 3,151 |
Total fee and other income | 7,641 | 7,129 | 15,661 | 15,690 |
Property Management Fees [Member] | ||||
Fee income: | ||||
Total fee income | 2,085 | 2,239 | 4,281 | 4,689 |
Asset Management Fees [Member] | ||||
Fee income: | ||||
Total fee income | 3,409 | 3,571 | 6,895 | 7,092 |
Acquisition Disposition And Leasing [Member] | ||||
Fee income: | ||||
Total fee income | 439 | 439 | ||
Other Fee Income [Member] | ||||
Fee income: | ||||
Total fee income | $ 268 | $ 399 | $ 1,256 | $ 758 |
Interest and Other Income, ne_2
Interest and Other Income, net - Schedule of Interest and Other Income, net (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Interest And Other Income [Abstract] | ||||
Interest income, net | $ 397 | $ 428 | $ 787 | $ 1,416 |
Mark-to-market of investments in our deferred compensation plans | 673 | 1,824 | 1,585 | (160) |
Total interest and other income, net | $ 1,070 | $ 2,252 | $ 2,372 | $ 1,256 |
Interest and Debt Expense - Det
Interest and Debt Expense - Details of Interest and Debt Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Interest And Debt Expense [Abstract] | ||||
Interest expense | $ 32,593 | $ 33,690 | $ 65,013 | $ 67,991 |
Amortization of deferred financing costs | 2,321 | 2,319 | 4,640 | 4,637 |
Total interest and debt expense | $ 34,914 | $ 36,009 | $ 69,653 | $ 72,628 |
Incentive Compensation - Additi
Incentive Compensation - Additional Information (Details) - USD ($) | Jan. 11, 2021 | Feb. 05, 2018 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 4,743,000 | $ 4,241,000 | $ 10,229,000 | $ 9,638,000 | ||
Restricted Stock [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Fair value of awards granted | $ 1,439,000 | |||||
Vesting period | 4 years | |||||
Shares available for grant | 166,686 | |||||
2020 Performance Program [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Performance measurement period, term | 3 years | |||||
Performance measurement period, start date | Jan. 1, 2021 | |||||
Performance measurement period, end date | Dec. 31, 2023 | |||||
Reduction in percentage on number of LTIP units earned if negative TSR | 30.00% | |||||
Fair value of awards granted | $ 7,303,000 | |||||
Vesting period | 4 years | |||||
2020 Performance Program [Member] | Share-Based Compensation Award Tranche One [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Percentage of earned units | 50.00% | |||||
Percentage of the awards that vest | 50.00% | |||||
2020 Performance Program [Member] | Share-Based Compensation Award Tranche Two [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Percentage of earned units | 50.00% | |||||
Percentage of the awards that vest | 50.00% | |||||
Long Term Incentive Plan [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Fair value of awards granted | $ 4,598,000 | |||||
Shares available for grant | 579,520 | |||||
Long Term Incentive Plan [Member] | Minimum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Vesting period | 3 years | |||||
Long Term Incentive Plan [Member] | Maximum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Vesting period | 4 years | |||||
Appreciation Only Long Term Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Fair value of awards granted | $ 4,344,000 | |||||
Shares available for grant | 2,171,875 | |||||
2017 Performance Program [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Shares available for grant | 1,382,807 | |||||
Fair value granted | $ 7,009,000 | |||||
Unrecognized compensation cost | $ 416,000 | $ 416,000 | ||||
Unrecognized compensation cost expected to be recognized over a weighted-average period | 6 months |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Computation of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Numerator: | ||||
Net loss from continuing operations attributable to common stockholders | $ (15,943) | $ (8,234) | $ (19,521) | $ (6,266) |
Earnings allocated to unvested participating securities | (18) | (14) | (37) | (26) |
Numerator for loss from continuing operations per common share - basic and diluted | (15,961) | (8,248) | (19,558) | (6,292) |
Net income from discontinued operations attributable to common stockholders | 1,964 | 3,344 | ||
Earnings allocated to unvested participating securities | (4) | (11) | ||
Numerator for income from discontinued operations per common share - basic and diluted | 1,960 | 3,333 | ||
Numerator for loss per common share - basic and diluted | $ (15,961) | $ (6,288) | $ (19,558) | $ (2,959) |
Denominator: | ||||
Denominator for basic loss per common share - weighted average shares | 218,696,284 | 221,573,199 | 218,681,228 | 224,671,206 |
Denominator for diluted loss per common share - weighted average shares | 218,696,284 | 221,573,199 | 218,681,228 | 224,671,206 |
(Loss) Income per Common Share - Basic and Diluted: | ||||
Continuing operations, net | $ (0.07) | $ (0.04) | $ (0.09) | $ (0.03) |
Discontinued operations, net | 0.01 | 0.02 | ||
Loss per common share - basic and diluted | $ (0.07) | $ (0.03) | $ (0.09) | $ (0.01) |
Earnings Per Share - Summary _2
Earnings Per Share - Summary of Computation of Earnings Per Share (Parenthetical) (Details) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Earnings Per Share [Abstract] | ||||
Effect of dilutive securities excluded from computation of earning per share | 23,822 | 22,917 | 23,738 | 24,201 |
Related Parties - Additional In
Related Parties - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Related Party Transaction [Line Items] | |||||
Fee and other income | $ 7,641,000 | $ 7,129,000 | $ 15,661,000 | $ 15,690,000 | |
Accounts and other receivables, net | 13,366,000 | 13,366,000 | $ 17,502,000 | ||
Property management, asset management, leasing and other related services fee income | 6,201,000 | 6,209,000 | 12,871,000 | 12,539,000 | |
Transaction related costs | 135,000 | 258,000 | 416,000 | 461,000 | |
Accounts payable and accrued expenses | $ 103,895,000 | $ 103,895,000 | 101,901,000 | ||
712 Fifth Avenue [Member] | |||||
Related Party Transaction [Line Items] | |||||
Equity method paramount ownership percentage | 50.00% | 50.00% | |||
CNBB-RDF Holdings Otto Family [Member] | Management Agreements [Member] | |||||
Related Party Transaction [Line Items] | |||||
Fee and other income | $ 710,000 | 259,000 | $ 1,227,000 | 707,000 | |
Accounts and other receivables, net | 474,000 | 474,000 | 34,000 | ||
Unconsolidated Joint Ventures and Real Estate Funds [Member] | Management Agreements [Member] | |||||
Related Party Transaction [Line Items] | |||||
Accounts and other receivables, net | 4,399,000 | 4,399,000 | 5,011,000 | ||
Property management, asset management, leasing and other related services fee income | $ 4,916,000 | 5,396,000 | $ 10,502,000 | 10,709,000 | |
Hamburg Trust Consulting GMBH ("HTC") [Member] | |||||
Related Party Transaction [Line Items] | |||||
Mark-up cost percentage | 10.00% | 10.00% | |||
Transaction related costs | $ 123,000 | 126,000 | $ 245,000 | 265,000 | |
Accounts payable and accrued expenses | $ 123,000 | $ 123,000 | $ 123,000 | ||
Hamburg Trust Consulting GMBH ("HTC") [Member] | Chairman, Chief Executive Officer and President [Member] | |||||
Related Party Transaction [Line Items] | |||||
Percentage of ownership | 100.00% | 100.00% | |||
Mannheim Trust [Member] | Board of Director [Member] | 712 Fifth Avenue [Member] | |||||
Related Party Transaction [Line Items] | |||||
Equity method paramount ownership percentage | 50.00% | 50.00% | |||
Lease rental income | $ 91,000 | $ 90,000 | $ 181,000 | $ 181,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - New York State Division Of Taxation And Finance [Member] | Feb. 16, 2018USD ($) |
Minimum [Member] | |
Other Commitments [Line Items] | |
Loss Contingency, Estimate of Possible Loss | $ 0 |
Maximum [Member] | |
Other Commitments [Line Items] | |
Loss Contingency, Estimate of Possible Loss | $ 49,800,000 |
Segments - Additional Informati
Segments - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2021Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segments - Schedule of NOI for
Segments - Schedule of NOI for Each Reportable Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||||
Segment Reporting Information [Line Items] | |||||||
Property-related revenues | $ 176,068 | $ 168,455 | $ 350,564 | $ 349,773 | |||
Property-related operating expenses | (64,072) | (65,712) | (130,690) | (134,177) | |||
NOI from unconsolidated joint ventures | 10,557 | 10,376 | 20,883 | 23,768 | |||
NOI | [1] | 122,553 | 113,119 | 240,757 | 239,364 | ||
New York [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Property-related revenues | 108,191 | 110,679 | 220,028 | 232,256 | |||
Property-related operating expenses | (45,801) | (47,213) | (94,825) | (96,242) | |||
NOI from unconsolidated joint ventures | 2,749 | 2,680 | 5,570 | 5,624 | |||
NOI | [1] | 65,139 | 66,146 | 130,773 | 141,638 | ||
San Francisco [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Property-related revenues | 68,674 | 54,827 | 132,146 | 111,494 | |||
Property-related operating expenses | (17,067) | (16,054) | (34,005) | (32,973) | |||
NOI from unconsolidated joint ventures | 7,852 | 9,165 | 15,389 | 19,547 | |||
NOI | [1] | 59,459 | 47,938 | 113,530 | 98,068 | ||
Other [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Property-related revenues | (797) | 2,949 | [2] | (1,610) | 6,023 | [2] | |
Property-related operating expenses | (1,204) | (2,445) | [2] | (1,860) | (4,962) | [2] | |
NOI from unconsolidated joint ventures | (44) | (1,469) | [2] | (76) | (1,403) | [2] | |
NOI | [1] | $ (2,045) | $ (965) | [2] | $ (3,546) | $ (342) | [2] |
[1] | NOI is used to measure the operating performance of our properties. NOI consists of rental revenue (which includes property rentals, tenant reimbursements and lease termination income) and certain other property-related revenue less operating expenses (which includes property-related expenses such as cleaning, security, repairs and maintenance, utilities, property administration and real estate taxes). We use NOI internally as a performance measure and believe it provides useful information to investors regarding our financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level. Other real estate companies may use different methodologies for calculating NOI and, accordingly, our presentation of NOI may not be comparable to other real estate companies. | ||||||
[2] | NOI for the three and six months ended June 30, 2020 includes NOI from discontinued operations. See Note 3, Discontinued Operations |
Segments - Schedule of Reconcil
Segments - Schedule of Reconciliation of NOI to Net Loss Attributable to Common Stockholders (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
Segment Reporting [Abstract] | |||||
NOI | [1] | $ 122,553 | $ 113,119 | $ 240,757 | $ 239,364 |
Fee income | 6,201 | 6,209 | 12,871 | 12,539 | |
Depreciation and amortization expense | (59,925) | (58,716) | (118,230) | (117,143) | |
General and administrative expenses | (18,418) | (17,901) | (32,782) | (30,150) | |
NOI from unconsolidated joint ventures | (10,557) | (10,376) | (20,883) | (23,768) | |
Loss from unconsolidated joint ventures | (15,717) | (5,955) | (21,033) | (10,176) | |
Interest and other income, net | 1,070 | 2,252 | 2,372 | 1,256 | |
Interest and debt expense | (34,914) | (36,009) | (69,653) | (72,628) | |
Adjustments related to discontinued operations | (2,147) | (4,358) | |||
Other, net | 13 | (169) | (88) | (320) | |
Loss from continuing operations, before income taxes | (9,694) | (9,693) | (6,669) | (5,384) | |
Income tax expense | (434) | (138) | (1,575) | (742) | |
Loss from continuing operations, net | (10,128) | (9,831) | (8,244) | (6,126) | |
Income from discontinued operations, net | 2,147 | 3,668 | |||
Net loss | (10,128) | (7,684) | (8,244) | (2,458) | |
Consolidated joint ventures | (7,428) | (405) | (13,156) | (1,919) | |
Consolidated real estate fund | 29 | 1,235 | (56) | 1,212 | |
Operating Partnership | 1,584 | 584 | 1,935 | 243 | |
Net loss attributable to common stockholders | $ (15,943) | $ (6,270) | $ (19,521) | $ (2,922) | |
[1] | NOI is used to measure the operating performance of our properties. NOI consists of rental revenue (which includes property rentals, tenant reimbursements and lease termination income) and certain other property-related revenue less operating expenses (which includes property-related expenses such as cleaning, security, repairs and maintenance, utilities, property administration and real estate taxes). We use NOI internally as a performance measure and believe it provides useful information to investors regarding our financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level. Other real estate companies may use different methodologies for calculating NOI and, accordingly, our presentation of NOI may not be comparable to other real estate companies. |
Segments - Schedule of Total As
Segments - Schedule of Total Assets for Each Reportable Segments Information (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Total assets | [1] | $ 8,533,140 | $ 8,554,097 |
New York [Member] | |||
Segment Reporting Information [Line Items] | |||
Total assets | 5,359,621 | 5,388,596 | |
San Francisco [Member] | |||
Segment Reporting Information [Line Items] | |||
Total assets | 2,711,847 | 2,698,983 | |
Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Total assets | $ 461,672 | $ 466,518 | |
[1] | Represents the consolidated assets and liabilities of Paramount Group Operating Partnership LP, a Delaware limited partnership (the “Operating Partnership”). The Operating Partnership is a consolidated variable interest entity (“VIE”), of which we are the sole general partner and own approximately 91.0% as of June 30, 2021. As of June 30, 2021, the Operating Partnership includes $4,053,771 and $2,560,820 of assets and liabilities, respectively, of certain VIEs that are consolidated by the Operating Partnership. See Note 11, Variable Interest Entities (“VIEs”). |