Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 31, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | NXRT | |
Entity Registrant Name | NexPoint Residential Trust, Inc. | |
Entity Central Index Key | 1,620,393 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 21,059,269 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Operating Real Estate Investments | ||
Land | $ 167,245 | $ 165,863 |
Buildings and improvements | 768,499 | 733,374 |
Intangible lease assets | 3,021 | 5,140 |
Construction in progress | 1,850 | 2,828 |
Furniture, fixtures, and equipment | 41,190 | 36,616 |
Total Gross Operating Real Estate Investments | 981,805 | 943,821 |
Accumulated depreciation and amortization | (78,387) | (60,214) |
Total Net Operating Real Estate Investments | 903,418 | 883,607 |
Real estate held for sale, net of accumulated depreciation of $3,397 and $6,099, respectively | 32,915 | 79,430 |
Total Net Real Estate Investments | 936,333 | 963,037 |
Cash and cash equivalents | 92,695 | 22,705 |
Restricted cash | 29,417 | 32,556 |
Accounts receivable | 3,298 | 3,008 |
Prepaid and other assets | 3,923 | 1,678 |
Fair market value of interest rate swaps | 11,759 | 12,413 |
TOTAL ASSETS | 1,077,425 | 1,035,397 |
Liabilities: | ||
Mortgages payable, net | 694,968 | 367,453 |
Mortgages payable held for sale, net | 30,327 | 55,685 |
Credit facilities, net | 29,803 | 310,492 |
Bridge facility, net | 54,531 | 29,874 |
Accounts payable and other accrued liabilities | 5,229 | 5,551 |
Accrued real estate taxes payable | 11,443 | 6,534 |
Accrued interest payable | 1,820 | 1,067 |
Security deposit liability | 1,451 | 1,364 |
Prepaid rents | 1,627 | 1,275 |
Total Liabilities | 831,199 | 779,295 |
Redeemable noncontrolling interests in the Operating Partnership (see Note 10) | 2,110 | |
Equity: | ||
Preferred stock, $0.01 par value: 100,000,000 shares authorized; 0 shares issued | ||
Common stock, $0.01 par value: 500,000,000 shares authorized; 21,095,769 and 21,043,669 shares issued and outstanding, respectively | 211 | 213 |
Additional paid-in capital | 206,613 | 241,450 |
Accumulated earnings less dividends | 28,960 | (14,584) |
Accumulated other comprehensive income | 8,332 | 9,052 |
Common stock held in treasury at cost; 0 and 250,156 shares, respectively | (4,587) | |
Total Stockholders' Equity | 244,116 | 231,544 |
Noncontrolling interests | 24,558 | |
Total Equity | 244,116 | 256,102 |
TOTAL LIABILITIES AND EQUITY | $ 1,077,425 | $ 1,035,397 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Statement Of Financial Position [Abstract] | ||
Net of accumulated depreciation | $ 3,397 | $ 6,099 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares, issued | 21,095,769 | 21,043,669 |
Common stock, shares, outstanding | 21,095,769 | 21,043,669 |
Common stock, par value | $ 0.01 | $ 0.01 |
Treasury stock, shares | 0 | 250,156 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | ||
Revenues | |||||
Rental income | $ 32,148 | $ 28,632 | $ 94,564 | $ 87,406 | |
Other income | 4,949 | 4,447 | 14,758 | 12,841 | |
Total revenues | 37,097 | 33,079 | 109,322 | 100,247 | |
Expenses | |||||
Property operating expenses | 10,075 | 9,874 | 29,611 | 28,947 | |
Acquisition costs | 386 | 386 | |||
Real estate taxes and insurance | 4,853 | 3,973 | 14,911 | 12,326 | |
Property management fees | [1] | 1,110 | 989 | 3,280 | 3,007 |
Advisory and administrative fees | [2] | 1,870 | 1,698 | 5,544 | 4,944 |
Corporate general and administrative expenses | 1,623 | 1,023 | 4,842 | 2,649 | |
Property general and administrative expenses | 1,594 | 1,527 | 4,756 | 4,473 | |
Depreciation and amortization | 11,215 | 8,667 | 35,866 | 26,363 | |
Total expenses | 32,340 | 28,137 | 98,810 | 83,095 | |
Operating income | 4,757 | 4,942 | 10,512 | 17,152 | |
Interest expense | (8,257) | (4,791) | (22,479) | (15,650) | |
Loss on extinguishment of debt and modification costs | (914) | (888) | (5,717) | (1,722) | |
Gain on sales of real estate | 58,490 | 9,562 | 78,386 | 25,932 | |
Net income | 54,076 | 8,825 | 60,702 | 25,712 | |
Net income attributable to noncontrolling interests | 1,735 | 2,836 | 4,047 | ||
Net income attributable to redeemable noncontrolling interests in the Operating Partnership | 162 | 162 | |||
Net income attributable to common stockholders | 53,914 | 7,090 | 57,704 | 21,665 | |
Other comprehensive income (loss) | |||||
Unrealized gains (losses) on interest rate derivatives | 214 | (1,084) | (835) | (1,128) | |
Total comprehensive income | 54,290 | 7,741 | 59,867 | 24,584 | |
Comprehensive income attributable to noncontrolling interests | 1,627 | 2,720 | 3,935 | ||
Comprehensive income attributable to redeemable noncontrolling interests in the Operating Partnership | 163 | 163 | |||
Comprehensive income attributable to common stockholders | $ 54,127 | $ 6,114 | $ 56,984 | $ 20,649 | |
Weighted average common shares outstanding - basic | 21,085 | 21,260 | 21,057 | 21,282 | |
Weighted average common shares outstanding - diluted | 21,453 | 21,376 | 21,407 | 21,322 | |
Earnings per share - basic | $ 2.56 | $ 0.33 | $ 2.74 | $ 1.02 | |
Earnings per share - diluted | 2.51 | 0.33 | 2.70 | 1.02 | |
Dividends declared per common share | $ 0.220 | $ 0.206 | $ 0.660 | $ 0.618 | |
[1] | Fees incurred to an unaffiliated third party that is an affiliate of the noncontrolling limited partner of the Company’s operating partnership (see Notes 10 and 11). | ||||
[2] | Fees incurred to the Company’s adviser (see Note 11). |
CONSOLIDATED STATEMENT OF EQUIT
CONSOLIDATED STATEMENT OF EQUITY (Unaudited) - 9 months ended Sep. 30, 2017 - USD ($) | Total | Common Stock | Additional Paid-in Capital | Accumulated Earnings Less Dividends | Accumulated Other Comprehensive Income (Loss) | Common Stock Held in Treasury at Cost | Noncontrolling Interests |
Beginning Balance, Values at Dec. 31, 2016 | $ 256,102,000 | $ 213,000 | $ 241,450,000 | $ (14,584,000) | $ 9,052,000 | $ (4,587,000) | $ 24,558,000 |
Beginning Balance, Shares at Dec. 31, 2016 | 21,043,669 | 21,293,825 | |||||
Net income attributable to common stockholders | $ 57,704,000 | 57,704,000 | |||||
Net income attributable to noncontrolling interests | 2,836,000 | 2,836,000 | |||||
Contributions by noncontrolling interests | 38,000 | 38,000 | |||||
Distributions to noncontrolling interests | (4,789,000) | (4,789,000) | |||||
Purchase of noncontrolling interests | (53,840,000) | (31,313,000) | (22,527,000) | ||||
Repurchase of common stock | $ (1,354,000) | (1,354,000) | |||||
Retirement of common stock held in treasury | $ (3,000) | (5,938,000) | $ 5,941,000 | ||||
Retirement of common stock held in treasury, shares | (308,313) | (308,313) | |||||
Vesting of stock-based compensation | $ 2,415,000 | $ 1,000 | 2,414,000 | ||||
Vesting of stock-based compensation, shares | 110,257 | ||||||
Common stock dividends declared | (14,160,000) | (14,160,000) | |||||
Other comprehensive loss | (836,000) | (720,000) | $ (116,000) | ||||
Ending Balance, Values at Sep. 30, 2017 | $ 244,116,000 | $ 211,000 | $ 206,613,000 | $ 28,960,000 | $ 8,332,000 | ||
Ending Balance, Shares at Sep. 30, 2017 | 21,095,769 | 21,095,769 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Cash flows from operating activities | ||
Net income | $ 60,702 | $ 25,712 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Gain on sales of real estate | (78,386) | (25,932) |
Depreciation and amortization | 35,866 | 26,363 |
Amortization/write-off of deferred financing costs | 2,551 | 1,782 |
Change in fair value on derivative instruments included in interest expense | 1,235 | 331 |
Net cash paid for derivative settlements | (777) | (430) |
Amortization of fair market value adjustment of assumed debt | (155) | (98) |
Vesting of stock-based compensation | 2,415 | 296 |
Changes in operating assets and liabilities, net of effects of acquisitions: | ||
Operating assets | (413) | (2,273) |
Operating liabilities | 4,461 | 530 |
Net cash provided by operating activities | 27,499 | 26,281 |
Cash flows from investing activities | ||
Net proceeds from sales of real estate | 224,416 | 131,786 |
Prepaid acquisition deposits | (1,500) | (1,425) |
Additions to real estate investments | (17,192) | (18,022) |
Acquisitions of real estate investments | (138,106) | (6,474) |
Net cash provided by investing activities | 67,618 | 105,865 |
Cash flows from financing activities | ||
Mortgage proceeds received | 583,713 | |
Mortgage payments | (275,840) | (271,274) |
Credit facilities proceeds received | 25,000 | 200,000 |
Credit facilities payments | (310,000) | |
Bridge facility proceeds received | 65,875 | |
Bridge facility payments | (41,278) | (29,000) |
Deferred financing costs paid | (3,742) | (2,538) |
Repurchase of common stock | (1,354) | (1,524) |
Dividends paid to common stockholders | (13,996) | (13,154) |
Distributions to redeemable noncontrolling interests in the Operating Partnership | (53) | |
Contributions from noncontrolling interests | 38 | 710 |
Distributions to noncontrolling interests | (4,789) | (8,884) |
Purchase of noncontrolling interests | (51,840) | (1,381) |
Net cash used in financing activities | (28,266) | (127,045) |
Net increase in cash and restricted cash | 66,851 | 5,101 |
Cash and restricted cash, beginning of period | 55,261 | 63,095 |
Cash and restricted cash, end of period | 122,112 | 68,196 |
Supplemental Disclosure of Cash Flow Information | ||
Interest paid | 19,098 | 15,255 |
Prepayment penalties paid | 2,701 | 827 |
Supplemental Disclosure of Noncash Activities | ||
Issuance of operating partnership units for purchase of noncontrolling interests | 2,000 | |
Capitalized construction costs included in accounts payable and other accrued liabilities | 1,245 | 935 |
Change in fair value on derivative instruments designated as hedges | 835 | 1,128 |
Liabilities assumed from acquisitions | 690 | 232 |
Other assets acquired from acquisitions | 84 | 63 |
Assumed debt on acquisition of real estate investment | 15,812 | |
Increase in dividends payable on restricted stock units | $ 164 | $ 43 |
Organization and Description of
Organization and Description of Business | 9 Months Ended |
Sep. 30, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Description of Business | 1. Organization and Description of Business NexPoint Residential Trust, Inc. (the “Company”, “we”, “our”) was incorporated in Maryland on September 19, 2014, and has elected to be taxed as a real estate investment trust (“REIT”). The Company is focused on “value-add” multifamily investments primarily located in the Southeastern and Southwestern United States. Substantially all of the Company’s business is conducted through NexPoint Residential Trust Operating Partnership, L.P. (the “OP”), the Company’s operating partnership. The Company owns its properties (the “Portfolio”) through the OP and its wholly owned taxable REIT subsidiary (“TRS”). The OP owns approximately 99.9% of the Portfolio; the TRS owns approximately 0.1% of the Portfolio. The Company’s wholly owned subsidiary, NexPoint Residential Trust Operating Partnership GP, LLC (the “OP GP”), is the sole general partner of the OP. As of September 30, 2017, there were 21,116,902 common units in the OP (“OP Units”) outstanding, of which 21,043,669, or 99.7%, were owned by the Company and 73,233, or 0.3%, were owned by an unaffiliated limited partner (see Note 10). The Company began operations on March 31, 2015 as a result of the transfer and contribution by NexPoint Credit Strategies Fund (“NHF”) of all but one of the multifamily properties owned by NHF through its wholly owned subsidiary NexPoint Real Estate Opportunities, LLC (fka Freedom REIT, LLC) (“NREO”). We use the term “predecessor” to mean the carve-out business of NREO. On March 31, 2015, NHF distributed all of the outstanding shares of the Company's common stock held by NHF to holders of NHF common shares. We refer to the distribution of our common stock by NHF as the “Spin-Off.” The Company is externally managed by NexPoint Real Estate Advisors, L.P. (the “Adviser”) through an agreement dated March 16, 2015, as amended, and renewed on March 13, 2017 for a one-year term set to expire on March 16, 2018 (the “Advisory Agreement”), by and among the Company, the OP and the Adviser. The Adviser conducts substantially all of the Company’s operations and provides asset management services for its real estate investments. The Company expects it will only have accounting employees while the Advisory Agreement is in effect. All of the Company’s investment decisions are made by the Adviser, subject to general oversight by the Adviser’s investment committee and the Company’s board of directors (the “Board”). The Adviser is wholly owned by NexPoint Advisors, L.P., which is an affiliate of Highland Capital Management, L.P. (the “Sponsor” or “Highland”). The Company’s investment objectives are to maximize the cash flow and value of properties owned, acquire properties with cash flow growth potential, provide quarterly cash distributions and achieve long-term capital appreciation for its stockholders through targeted management and a value-add program. Consistent with the Company’s policy to acquire assets for both income and capital gain, the Company intends to hold at least majority interests in its properties for long-term appreciation and to engage in the business of directly or indirectly acquiring, owning, and operating well-located multifamily properties with a value-add component in large cities and suburban submarkets of large cities primarily in the Southeastern and Southwestern United States consistent with its investment objectives. Economic and market conditions may influence the Company to hold properties for different periods of time. From time to time, the Company may sell a property if, among other deciding factors, the sale would be in the best interest of its stockholders. The Company may also participate with third parties in property ownership through limited liability companies (“LLCs”), funds or other types of co-ownership or acquire real estate or interests in real estate in exchange for the issuance of common stock, OP Units, preferred stock or options to purchase stock. These types of investments may permit the Company to own interests in larger assets without unduly restricting diversification, which provides flexibility in structuring the Company’s portfolio. The Company may allocate up to thirty percent of the portfolio to investments in real estate-related debt and securities with the potential for high current income or total returns. These allocations may include first and second mortgages and subordinated, bridge, mezzanine, construction and other loans, as well as debt securities related to or secured by multifamily real estate and common and preferred equity securities, which may include securities of other REITs or real estate companies. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Predecessor With the exception of a nominal amount of initial cash funded at inception, the Company did not own any assets prior to March 31, 2015. The business and operations of the Company prior to March 31, 2015 occurred under the predecessor. The predecessor included all of the properties in the Portfolio that were held directly or indirectly by NREO prior to the Spin-Off that occurred on March 31, 2015. However, the Company’s consolidated financial statements reflect operations of the predecessor through March 31, 2015 as if they were incurred by the Company. The predecessor was determined in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). References throughout these consolidated financial statements to the “Company”, “we”, or “our”, include the activity of the predecessor defined above. Basis of Accounting The accompanying unaudited consolidated financial statements have been prepared according to the rules and regulations of the SEC. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted according to such rules and regulations, although management believes that the disclosures are adequate to make the information presented not misleading. In the opinion of management, all adjustments and eliminations necessary for the fair presentation of the Company’s financial position as of September 30, 2017, and results of operations for the three and nine months ended September 30, 2017 and 2016 have been included. Such adjustments are normal and recurring in nature. The interim results presented are not necessarily indicative of future financial results. The unaudited information included in this quarterly report on Form 10-Q should be read in conjunction with the Company’s audited financial statements for the year ended December 31, 2016 and notes thereto included in its annual report on Form 10-K filed with the SEC on March 15, 2017. The accompanying unaudited consolidated financial statements are presented in accordance with GAAP. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities at the dates of the unaudited consolidated financial statements and the amounts of revenues and expenses during the reporting periods. Actual amounts realized or paid could differ from those estimates. All significant intercompany accounts and transactions have been eliminated in consolidation. There have been no significant changes to the Company’s significant accounting policies during the nine months ended September 30, 2017. Principles of Consolidation The Company accounts for subsidiary partnerships, joint ventures and other similar entities in which it holds an ownership interest in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 810, Consolidation Revenue Recognition The Company’s primary operations consist of rental income earned from its residents under lease agreements typically with terms of one year or less. Rental income is recognized when earned. This policy effectively results in income recognition on the straight-line method over the related terms of the leases. Resident reimbursements and other income consist of charges billed to residents for utilities, carport and garage rental, and pets, administrative, application and other fees and are recognized when earned. Real Estate Investments Upon acquisition of a property, the purchase price and related acquisition costs (“total consideration”) are allocated to land, buildings, improvements, furniture, fixtures, and equipment, and intangible lease assets in accordance with FASB ASC 805, Business Combinations Clarifying the Definition of a Business (Topic 805) , The allocation of total consideration, which is determined using inputs that are classified within Level 3 of the fair value hierarchy established by FASB ASC 820, Fair Value Measurement and Disclosures Real estate assets, including land, buildings, improvements, furniture, fixtures and equipment, and intangible lease assets are stated at historical cost less accumulated depreciation and amortization. Costs incurred in making repairs and maintaining real estate assets are expensed as incurred. Expenditures for improvements, renovations, and replacements are capitalized at cost. Real estate-related depreciation and amortization are computed on a straight-line basis over the estimated useful lives as described in the following table: Land Not depreciated Buildings 30 years Improvements 15 years Furniture, fixtures, and equipment 3 years Intangible lease assets 6 months Construction in progress includes the cost of renovation projects being performed at the various properties. Once a project is complete, the historical cost of the renovation is placed into service in one of the categories above depending on the type of renovation project and is depreciated over the estimated useful lives as described in the table above. Real estate assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In such cases, the Company will evaluate the recoverability of such real estate assets based on estimated future cash flows and the estimated liquidation value of such real estate assets, and provide for impairment if such undiscounted cash flows are insufficient to recover the carrying amount of the real estate asset. If impaired, the real estate asset will be written down to its estimated fair value. The Company periodically classifies real estate assets as held for sale when certain criteria are met, in accordance with GAAP. At that time, the Company presents the net real estate assets and the net debt associated with the real estate held for sale separately in its consolidated balance sheet, and the Company ceases recording depreciation and amortization expense related to that property. Real estate held for sale is reported at the lower of its carrying amount or its estimated fair value less estimated costs to sell. Reclassifications Certain reclassifications have been made to amounts in the prior year consolidated statements of operations and comprehensive income to conform to current year presentations as a result of an accounting policy election to classify certain expenses incurred in connection with the extinguishment or modification of debt separately from interest expense. These expenses are recorded in loss on extinguishment of debt and modification costs on the consolidated statements of operations and comprehensive income. As a result, for the three and nine months ended September 30, 2016, interest expense decreased by approximately $0.9 million and $1.7 million, respectively. See Note 6 for additional information. Reportable Segment Substantially all of the Company’s net income (loss) is from investments in real estate properties within the multifamily sector that the Company owns through LLCs. The Company evaluates operating performance on an individual property level and views its real estate assets as one industry segment and, accordingly, its properties are aggregated into one reportable segment. Income Taxes The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Code and expects to continue to qualify as a REIT. To qualify as a REIT, the Company must meet a number of organizational and operational requirements, including a requirement to distribute annually at least 90% of its “REIT taxable income,” as defined by the Code, to its stockholders. As a REIT, the Company will be subject to federal income tax on its undistributed REIT taxable income and net capital gain and to a 4% nondeductible excise tax on any amount by which distributions it pays with respect to any calendar year are less than the sum of (1) 85% of its ordinary income, (2) 95% of its capital gain net income and (3) 100% of its undistributed income from prior years. The Company intends to operate in such a manner so as to qualify as a REIT, but no assurance can be given that the Company will operate in a manner so as to qualify as a REIT. Taxable income from certain non-REIT activities is managed through a TRS and is subject to applicable federal, state, and local income and margin taxes. The Company has no significant taxes associated with its TRS for the nine months ended September 30, 2017 and 2016. If the Company fails to meet these requirements, it could be subject to federal income tax on all of the Company’s taxable income at regular corporate rates for that year. The Company would not be able to deduct distributions paid to stockholders in any year in which it fails to qualify as a REIT. Additionally, the Company will also be disqualified from electing to be taxed as a REIT for the four taxable years following the year during which qualification was lost unless the Company is entitled to relief under specific statutory provisions. As of September 30, 2017, the Company believes it is in compliance with all applicable REIT requirements. The Company evaluates the accounting and disclosure of tax positions taken or expected to be taken in the course of preparing the Company’s tax returns to determine whether the tax positions are “more-likely-than-not” (greater than 50 percent probability) of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. The Company’s management is required to analyze all open tax years, as defined by the statute of limitations, for all major jurisdictions, which include federal and certain states. The Company has no examinations in progress and none are expected at this time. The Company recognizes its tax positions and evaluates them using a two-step process. First, the Company determines whether a tax position is more likely than not to be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. Second, the Company will determine the amount of benefit to recognize and record the amount that is more likely than not to be realized upon ultimate settlement. The Company had no material unrecognized tax benefit or expense, accrued interest or penalties as of September 30, 2017. The Company and its subsidiaries are subject to federal income tax as well as income tax of various state and local jurisdictions. The 2016 and 2015 tax years remain open to examination by tax jurisdictions to which the Company and its subsidiaries are subject. When applicable, the Company recognizes interest and/or penalties related to uncertain tax positions on its consolidated statements of operations and comprehensive income. Recent Accounting Pronouncements Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 13(a) of the Exchange Act, for complying with new or revised accounting standards applicable to public companies. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company has elected to take advantage of this extended transition period. As a result of this election, the Company’s financial statements may not be comparable to companies that comply with public company effective dates for such new or revised standards. The Company may elect to comply with public company effective dates at any time, and such election would be irrevocable pursuant to Section 107(b) of the JOBS Act. The following recent accounting pronouncements reflect effective dates that delay the adoption until those standards would otherwise apply to private companies. In January 2017, the FASB issued ASU 2017-01, Clarifying the Definition of a Business (Topic 805) In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash September 30, 2017 September 30, 2016 Cash and cash equivalents $ 92,695 $ 34,086 Restricted cash 29,417 34,110 Total cash and restricted cash $ 122,112 $ 68,196 In February 2015, the FASB issued ASU 2015-02, Amendments to the Consolidation Analysis In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers – Deferral of the Effective Date In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases |
Investments in Subsidiaries
Investments in Subsidiaries | 9 Months Ended |
Sep. 30, 2017 | |
Schedule Of Investments [Abstract] | |
Investments in Subsidiaries | 3. Investments in Subsidiaries The Company has in the past and may in the future invest in joint ventures. The Company consolidates the entities that it controls as well as any VIEs where it is the primary beneficiary. In connection with its indirect equity investments in the properties acquired, the Company, through the OP and the TRS, directly or indirectly holds 100% of the membership interests in single-asset LLCs that directly own the properties. All of the properties the Company has acquired are consolidated in the Company’s financial statements. The assets of each entity can only be used to settle obligations of that particular entity, and the creditors of each entity have no recourse to the assets of other entities or the Company. Additionally, the Company has in the past and may in the future enter into purchase and sale transactions structured as reverse like-kind exchanges (“1031 Exchanges”) under Section 1031 of the Internal Revenue Code of 1986, as amended (the “Code”). For a reverse 1031 Exchange in which the Company purchases a new property prior to selling the property to be matched in the like-kind exchange (the Company refers to a new property being acquired in the 1031 Exchange prior to the sale of the related property as a “Parked Asset”), legal title to the Parked Asset is held by an Exchange Accommodation Titleholder (“EAT”) engaged to execute the 1031 Exchange until the sale transaction and the 1031 Exchange are completed. The Company, through a wholly owned subsidiary, enters into a master lease agreement with the EAT whereby the EAT leases the acquired property and all other rights acquired in connection with the acquisition to the Company. The term of the master lease agreement is until the earlier of the completion of the reverse 1031 Exchange or 180 days from the date that the property was acquired. The EAT is classified as a VIE as it does not have sufficient equity investment at risk to finance its activities without additional subordinated financial support. The Company consolidates the EAT as its primary beneficiary because it has the ability to control the activities that most significantly impact the EAT's economic performance and the Company retains all of the legal and economic benefits and obligations related to the Parked Assets prior to completion of the 1031 Exchange. As such, the Parked Assets are included in the Company’s consolidated financial statements as VIEs until legal title is transferred to the Company upon either completion of the 1031 Exchange or termination of the master lease agreements, at which time they will be consolidated as wholly owned subsidiaries. As of September 30, 2017, the Company was invested in 32 properties. The following table represents the Company’s investments as of September 30, 2017 and December 31, 2016: Property Name Location Year Effective Ownership Percentage at September 30, 2017 Effective Ownership Percentage at December 31, 2016 The Miramar Apartments Dallas, Texas 2013 — (1) 100 % Arbors on Forest Ridge Bedford, Texas 2014 100 % (2) 90 % Cutter’s Point Richardson, Texas 2014 100 % (2) 90 % Eagle Crest Irving, Texas 2014 100 % (2) 90 % Silverbrook Grand Prairie, Texas 2014 100 % (2) 90 % Timberglen (3) Dallas, Texas 2014 100 % (2) 90 % Toscana Dallas, Texas 2014 — (1) 90 % The Grove at Alban Frederick, Maryland 2014 — (1) 76 % (4) Edgewater at Sandy Springs Atlanta, Georgia 2014 100 % (2) 90 % Beechwood Terrace Nashville, Tennessee 2014 100 % (2) 90 % Willow Grove Nashville, Tennessee 2014 100 % (2) 90 % Woodbridge Nashville, Tennessee 2014 100 % (2) 90 % Abbington Heights Antioch, Tennessee 2014 100 % (2) 90 % (4) The Summit at Sabal Park Tampa, Florida 2014 100 % (2) 90 % (4) Courtney Cove Tampa, Florida 2014 100 % (2) 90 % (4) Radbourne Lake Charlotte, North Carolina 2014 100 % (2) 90 % (4) Timber Creek Charlotte, North Carolina 2014 100 % (2) 90 % (4) Belmont at Duck Creek Garland, Texas 2014 100 % (2) 90 % (4) The Arbors Tucker, Georgia 2014 — (1) 90 % (4) The Crossings Marietta, Georgia 2014 — (1) 90 % (4) The Crossings at Holcomb Bridge Roswell, Georgia 2014 — (1) 90 % (4) The Knolls Marietta, Georgia 2014 — (1) 90 % (4) Regatta Bay Seabrook, Texas 2014 — (1) 90 % (4) Sabal Palm at Lake Buena Vista Orlando, Florida 2014 100 % (2) 90 % (4) Southpoint Reserve at Stoney Creek (3) Fredericksburg, Virginia 2014 100 % (2) 85 % (4) Cornerstone Orlando, Florida 2015 100 % (2) 90 % (4) Twelve 6 Ten at the Park Dallas, Texas 2015 — (1) 90 % (4) The Preserve at Terrell Mill Marietta, Georgia 2015 100 % (2) 90 % (4) The Ashlar Dallas, Texas 2015 100 % (2) 90 % (4) Heatherstone Dallas, Texas 2015 100 % (2) 90 % (4) Versailles Dallas, Texas 2015 100 % (2) 90 % (4) Seasons 704 Apartments West Palm Beach, Florida 2015 100 % (2) 90 % (4) Madera Point Mesa, Arizona 2015 100 % (2) 95 % The Pointe at the Foothills Mesa, Arizona 2015 100 % (2) 95 % Venue at 8651 Fort Worth, Texas 2015 100 % (2) 95 % Parc500 West Palm Beach, Florida 2016 100 % (2) 91 % The Colonnade Phoenix, Arizona 2016 100 % (2) 97 % Old Farm Houston, Texas 2016 100 % (2) 100 % (5) Stone Creek at Old Farm Houston, Texas 2016 100 % (2) 100 % (5) Hollister Place Houston, Texas 2017 100 % — (6) Rockledge Apartments Marietta, Georgia 2017 100 % — (6) (1) Properties were sold during the nine months ended September 30, 2017. (2) The Company purchased 100% of the ownership interest in the property held by the noncontrolling interest holders on June 30, 2017 (see Note 10). (3) Properties were classified as held for sale as of September 30, 2017. (4) Properties were considered VIEs at December 31, 2016. (5) Properties were Parked Assets and considered VIEs at December 31, 2016. The Company completed the reverse 1031 Exchanges of these properties during the nine months ended September 30, 2017 with the sales of the replacement properties, at which time legal title to the properties transferred to the Company. Upon the transfer of title, the properties were no longer considered Parked Assets or VIEs (see Note 5). (6) Properties were acquired in 2017; therefore, no ownership as of December 31, 2016. |
Real Estate Investments Statist
Real Estate Investments Statistics | 9 Months Ended |
Sep. 30, 2017 | |
Business Combinations [Abstract] | |
Real Estate Investments Statistics | 4. Real Estate Investments Statistics As of September 30, 2017, the Company is invested in a total of 32 multifamily properties, as listed below: Property Name Rentable Square Footage (in thousands) Number of Units Date Acquired Average Effective Monthly Rent Per Unit (1) % Occupied as of September 30, 2017 (2) % Occupied as of December 31, 2016 (2) Arbors on Forest Ridge 155 210 1/31/2014 859 95.2 % 92.9 % Cutter’s Point 198 196 1/31/2014 1,052 94.4 % 93.9 % Eagle Crest 396 447 1/31/2014 876 95.3 % 94.4 % Silverbrook 526 642 1/31/2014 781 95.6 % 93.5 % Timberglen (3) 221 304 1/31/2014 846 95.1 % 92.8 % Edgewater at Sandy Springs 727 760 7/18/2014 929 94.5 % 94.5 % Beechwood Terrace 272 300 7/21/2014 921 96.0 % 95.3 % Willow Grove 229 244 7/21/2014 912 93.4 % 96.7 % Woodbridge 247 220 7/21/2014 945 95.5 % 87.7 % Abbington Heights 239 274 8/1/2014 879 93.8 % 95.3 % The Summit at Sabal Park 205 252 8/20/2014 907 95.2 % 90.9 % Courtney Cove 225 324 8/20/2014 817 93.8 % 94.4 % Radbourne Lake 247 225 9/30/2014 1,059 93.3 % 96.9 % Timber Creek 248 352 9/30/2014 819 95.2 % 95.5 % Belmont at Duck Creek 198 240 9/30/2014 990 95.4 % 95.0 % Sabal Palm at Lake Buena Vista 371 400 11/5/2014 1,158 93.5 % 95.0 % Southpoint Reserve at Stoney Creek (3) 116 156 12/18/2014 1,069 96.8 % 92.9 % Cornerstone 318 430 1/15/2015 910 94.9 % 95.8 % The Preserve at Terrell Mill 692 752 2/6/2015 850 93.1 % 92.0 % The Ashlar 206 264 2/26/2015 819 92.4 % 91.3 % Heatherstone 116 152 2/26/2015 838 94.1 % 92.8 % Versailles 301 388 2/26/2015 860 95.1 % 93.0 % Seasons 704 Apartments 217 222 4/15/2015 1,056 95.9 % 95.0 % Madera Point 193 256 8/5/2015 797 93.8 % 93.8 % The Pointe at the Foothills 473 528 8/5/2015 817 92.2 % 92.2 % Venue at 8651 289 333 10/30/2015 800 94.3 % 90.4 % Parc500 266 217 7/27/2016 1,167 93.5 % 93.5 % The Colonnade 256 415 10/11/2016 695 92.0 % 88.0 % Old Farm 697 734 12/29/2016 1,177 92.8 % 93.6 % Stone Creek at Old Farm 186 190 12/29/2016 1,186 93.7 % 93.2 % Hollister Place 246 260 2/1/2017 969 93.5 % — (4) Rockledge Apartments 802 708 6/30/2017 1,153 91.9 % — (4) 10,078 11,395 (1) Average effective monthly rent per unit is equal to the average of the contractual rent for commenced leases as of September 30, 2017 minus any tenant concessions over the term of the lease, divided by the number of units under commenced leases as of September 30, 2017. (2) Percent occupied is calculated as the number of units occupied as of September 30, 2017 and December 31, 2016, divided by the total number of units, expressed as a percentage. (3) Properties were classified as held for sale as of September 30, 2017. (4) Properties were acquired in 2017. |
Real Estate Investments
Real Estate Investments | 9 Months Ended |
Sep. 30, 2017 | |
Real Estate [Abstract] | |
Real Estate Investments | 5. Real Estate Investments As of September 30, 2017, the major components of the Company’s investments in multifamily properties were as follows (in thousands): Operating Properties Land Buildings Intangible Construction in Progress Furniture, Fixtures and Equipment Totals Arbors on Forest Ridge $ 2,330 $ 11,073 $ — $ — $ 794 $ 14,197 Cutter’s Point 3,330 12,995 — — 946 17,271 Eagle Crest 5,450 22,227 — — 1,231 28,908 Silverbrook 4,860 25,643 — — 2,363 32,866 Edgewater at Sandy Springs 14,290 43,959 — 9 4,057 62,315 Beechwood Terrace 1,390 20,662 — 78 1,229 23,359 Willow Grove 3,940 10,739 — — 882 15,561 Woodbridge 3,651 12,995 — 1 1,029 17,676 Abbington Heights 1,770 16,602 — 112 1,101 19,585 The Summit at Sabal Park 5,770 13,355 — — 1,107 20,232 Courtney Cove 5,880 12,913 — — 1,055 19,848 Radbourne Lake 2,440 21,801 — 5 1,255 25,501 Timber Creek 11,260 13,429 — — 1,086 25,775 Belmont at Duck Creek 1,910 17,157 — — 1,170 20,237 Sabal Palm at Lake Buena Vista 7,580 41,173 — — 1,024 49,777 Cornerstone 1,500 30,357 — — 1,395 33,252 The Preserve at Terrell Mill 10,170 48,609 — — 3,895 62,674 The Ashlar 4,090 12,631 — — 1,459 18,180 Heatherstone 2,320 7,862 — — 909 11,091 Versailles 6,720 19,735 — 6 2,155 28,616 Seasons 704 Apartments 7,480 14,071 — 2 867 22,420 Madera Point 4,920 17,369 — 43 1,130 23,462 The Pointe at the Foothills 4,840 46,402 — 108 1,669 53,019 Venue at 8651 2,350 16,910 — 813 1,744 21,817 Parc500 3,860 19,297 — 589 1,217 24,963 The Colonnade 8,340 36,677 — 55 805 45,877 Old Farm 11,078 69,718 — 29 1,304 82,129 Stone Creek at Old Farm 3,493 19,123 — — 350 22,966 Hollister Place 2,782 20,719 — — 593 24,094 Rockledge Apartments 17,451 92,296 3,021 — 1,369 114,137 167,245 768,499 3,021 1,850 41,190 981,805 Accumulated depreciation and amortization — (57,876 ) (1,007 ) — (19,504 ) (78,387 ) Total Operating Properties $ 167,245 $ 710,623 $ 2,014 $ 1,850 $ 21,686 $ 903,418 Held For Sale Properties Timberglen 2,510 14,718 — — 1,049 18,277 Southpoint Reserve at Stoney Creek 6,120 11,252 — — 663 18,035 8,630 25,970 — — 1,712 36,312 Accumulated depreciation and amortization — (2,630 ) — — (767 ) (3,397 ) Total Held For Sale Properties $ 8,630 $ 23,340 $ — $ — $ 945 $ 32,915 Total $ 175,875 $ 733,963 $ 2,014 $ 1,850 $ 22,631 $ 936,333 As of December 31, 2016, the major components of the Company’s investments in multifamily properties were as follows (in thousands): Operating Properties Land Buildings and Improvements Intangible Lease Assets Construction in Progress Furniture, Fixtures and Equipment Totals Arbors on Forest Ridge $ 2,330 $ 11,014 $ — $ 3 $ 717 $ 14,064 Cutter's Point 3,330 12,871 — — 810 17,011 Eagle Crest 5,450 21,990 — — 1,052 28,492 Silverbrook 4,860 25,335 — — 1,996 32,191 Timberglen 2,510 14,527 — — 894 17,931 Edgewater at Sandy Springs 14,290 43,709 — 123 3,295 61,417 Beechwood Terrace 1,390 20,561 — — 940 22,891 Willow Grove 3,940 10,672 — — 668 15,280 Woodbridge 3,650 12,708 — 215 759 17,332 Abbington Heights 1,770 16,426 — 75 916 19,187 The Summit at Sabal Park 5,770 13,342 — 9 956 20,077 Courtney Cove 5,880 12,886 — 42 910 19,718 Radbourne Lake 2,440 21,445 — 257 1,025 25,167 Timber Creek 11,260 13,252 — 69 864 25,445 Belmont at Duck Creek 1,910 17,034 — — 941 19,885 The Arbors 1,730 6,587 — 5 413 8,735 The Crossings 3,982 17,662 — 155 1,429 23,228 The Crossings at Holcomb Bridge 5,560 10,925 — — 1,178 17,663 The Knolls 3,410 17,707 — 8 1,615 22,740 Regatta Bay 1,660 16,155 — 89 891 18,795 Sabal Palm at Lake Buena Vista 7,580 41,147 — 3 874 49,604 Cornerstone 1,500 30,354 — 29 906 32,789 The Preserve at Terrell Mill 10,170 48,163 — 516 2,872 61,721 The Ashlar 4,090 12,348 — 124 1,129 17,691 Heatherstone 2,320 7,521 — 224 749 10,814 Versailles 6,720 20,267 — 286 1,597 28,870 Seasons 704 Apartments 7,480 14,043 — — 696 22,219 Madera Point 4,920 17,079 — 15 865 22,879 The Pointe at the Foothills 4,840 45,975 — 157 1,289 52,261 Venue at 8651 2,350 16,815 — 311 1,162 20,638 Parc500 3,860 18,700 491 113 504 23,668 The Colonnade 8,340 35,473 723 — 376 44,912 Old Farm 11,078 69,580 3,354 — 1,052 85,064 Stone Creek at Old Farm 3,493 19,101 572 — 276 23,442 165,863 733,374 5,140 2,828 36,616 943,821 Accumulated depreciation and amortization — (46,044 ) (650 ) — (13,520 ) (60,214 ) Total Operating Properties $ 165,863 $ 687,330 $ 4,490 $ 2,828 $ 23,096 $ 883,607 Held For Sale Properties The Grove at Alban 3,640 19,033 — — 1,318 23,991 The Miramar Apartments 1,580 8,870 — — 711 11,161 Toscana 1,730 7,341 — 3 684 9,758 Southpoint Reserve at Stoney Creek 6,120 11,218 — 31 605 17,974 Twelve 6 Ten at the Park 3,610 18,088 — 21 925 22,644 16,680 64,550 — 55 4,243 85,528 Accumulated depreciation and amortization — (4,896 ) — — (1,202 ) (6,098 ) Total Held For Sale Properties $ 16,680 $ 59,654 $ — $ 55 $ 3,041 $ 79,430 Total $ 182,543 $ 746,984 $ 4,490 $ 2,883 $ 26,137 $ 963,037 Depreciation expense was $10.0 million and $8.5 million for the three months ended September 30, 2017 and 2016, respectively. Depreciation expense was $29.5 million and $25.5 million for the nine months ended September 30, 2017 and 2016, respectively. Amortization expense related to the Company’s intangible lease assets was $1.2 million and $0.2 million for the three months ended September 30, 2017 and 2016, respectively. Amortization expense related to the Company’s intangible lease assets was $6.4 million and $0.9 million for the nine months ended September 30, 2017 and 2016, respectively. Amortization expense related to the Company’s intangible lease assets for all acquisitions completed through September 30, 2017 is expected to be $2.0 million for the remainder of the year ended December 31, 2017. Due to the six-month useful life attributable to intangible lease assets, the value of intangible lease assets on any acquisition prior to March 31, 2017 has been fully amortized and the assets and related accumulated amortization have been written off as of September 30, 2017. Acquisitions The following table presents the Company’s acquisitions of real estate during the nine months ended September 30, 2017 (dollars in thousands); the Company acquired one property for approximately $22.4 million during the nine months ended September 30, 2016 (see Notes 3, 4 and 6). Property Name Location Date of Acquisition Purchase Price Debt (1) # Units Effective Ownership Hollister Place Houston, Texas February 1, 2017 $ 24,500 $ 24,500 260 100 % Rockledge Apartments Marietta, Georgia June 30, 2017 113,500 113,500 708 100 % $ 138,000 $ 138,000 968 (1) For additional information regarding the Company’s debt, see Note 6. Dispositions The following table presents the Company’s sales of real estate during the nine months ended September 30, 2017 (in thousands). The Company sold seven properties for approximately $134.0 million during the nine months ended September 30, 2016. Property Name Location Date of Sale Sales Price Net Cash Proceeds Gain on Sale of Real Estate The Miramar Apartments (2) Dallas, Texas April 3, 2017 $ 16,550 $ 16,326 $ 6,368 Toscana (3) Dallas, Texas April 3, 2017 13,250 13,040 4,283 The Grove at Alban Frederick, Maryland April 3, 2017 27,500 27,021 4,514 Twelve 6 Ten at the Park (2) Dallas, Texas April 27, 2017 26,600 26,349 4,731 Regatta Bay (4) Seabrook, Texas July 14, 2017 28,200 27,670 10,423 The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls (5) Atlanta, Georgia September 29, 2017 116,000 114,010 48,067 $ 228,100 $ 224,416 (6) $ 78,386 (1) Represents sales price, net of closing costs. (2) The Company completed the reverse 1031 Exchange of Old Farm with the sales of The Miramar Apartments and Twelve 6 Ten at the Park. (3) The Company completed the reverse 1031 Exchange of Stone Creek at Old Farm with the sale of Toscana. (4) The Company completed the reverse 1031 Exchange of Hollister Place with the sale of Regatta Bay. (5) Properties were sold as a portfolio. The Company completed the reverse 1031 Exchange of Rockledge Apartments with the sales of The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls (the “NAVA Portfolio”). Approximately $14.1 million of the proceeds from the sale of the NAVA Portfolio was placed with a qualified intermediary for use in a forward 1031 Exchange that was completed on October 25, 2017 (see Note 13). (6) During the nine months ended September 30, 2017, the Company used cash on hand plus its share of the proceeds, net of mortgage repayments and distributions to noncontrolling interests, from the sales of these properties to repay the entire $30.0 million outstanding on its 2016 bridge facility, which retired the bridge facility, to pay down $10.0 million on its $30.0 million credit facility and to pay down approximately $11.3 million on its 2017 bridge facility (see Note 6). Other Activity In August and September 2017, parts of Texas and Florida were hit by two hurricanes, causing severe property damage in the affected areas. As of September 30, 2017, the Company owned three properties in the Houston area, two properties in the Miami area, two properties in the Tampa Bay area, and two properties in the Orlando area. The Company’s properties in these areas suffered minimal damage, which the Company estimates to be approximately $40,000. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Debt | 6. Debt Mortgage Debt The following table contains summary information concerning the mortgage debt of the Company as of September 30, 2017 (dollars in thousands): Operating Properties Type Term Outstanding Principal (1) Interest Rate (2) Maturity Date Arbors on Forest Ridge (3) Floating 84 $ 13,130 2.91% 7/1/2024 Cutter's Point (3) Floating 84 16,640 2.91% 7/1/2024 Eagle Crest (3) Floating 84 29,510 2.91% 7/1/2024 Silverbrook (3) Floating 84 30,590 2.91% 7/1/2024 Edgewater at Sandy Springs (3) Floating 84 52,000 2.91% 7/1/2024 Beechwood Terrace (3) Floating 84 20,150 2.91% 7/1/2024 Willow Grove (3) Floating 84 14,818 3.01% 7/1/2024 Woodbridge (3) Floating 84 13,677 3.01% 7/1/2024 The Summit at Sabal Park (3) Floating 84 13,560 2.85% 7/1/2024 Courtney Cove (3) Floating 84 13,680 2.85% 7/1/2024 The Preserve at Terrell Mill (3) Floating 84 42,480 2.85% 7/1/2024 The Ashlar (3) Floating 84 14,520 2.85% 7/1/2024 Heatherstone (3) Floating 84 8,880 2.85% 7/1/2024 Versailles (3) Floating 84 23,880 2.85% 7/1/2024 Seasons 704 Apartments (3) Floating 84 17,460 2.85% 7/1/2024 Madera Point (3) Floating 84 15,150 2.85% 7/1/2024 The Pointe at the Foothills (3) Floating 84 34,800 2.85% 7/1/2024 Venue at 8651 (3) Floating 84 13,734 3.01% 7/1/2024 The Colonnade (3) Floating 84 28,093 2.91% 7/1/2024 Old Farm (3) Floating 84 52,886 2.91% 7/1/2024 Stone Creek at Old Farm (3) Floating 84 15,274 2.91% 7/1/2024 Timber Creek (4) Floating 120 19,482 3.05% 10/1/2024 Radbourne Lake (4) Floating 120 19,213 3.04% 10/1/2024 Sabal Palm at Lake Buena Vista (4) Floating 120 37,680 3.04% 12/1/2024 Abbington Heights (5) Fixed 120 10,053 3.79% 9/1/2022 Belmont at Duck Creek (6) Fixed 84 10,995 4.68% 9/1/2018 Cornerstone (7) Fixed 120 22,771 4.24% 3/1/2023 Parc500 (8) Fixed 120 15,793 4.49% 8/1/2025 Hollister Place (3) Floating 84 13,475 3.47% 2/1/2024 Rockledge Apartments (3) Floating 84 68,100 2.80% 7/1/2024 $ 702,474 Fair market value adjustment 852 (9) Deferred financing costs, net of accumulated amortization of $592 (8,358 ) $ 694,968 Held for Sale Properties Timberglen (3) Floating 84 17,226 3.11% 7/1/2024 Southpoint Reserve at Stoney Creek (3) Floating 84 13,600 3.34% 1/1/2022 $ 30,826 Deferred financing costs, net of accumulated amortization of $80 (499 ) $ 30,327 (1) Mortgage debt that is non-recourse to the Company and encumbers the multifamily properties. (2) Interest rate is based on one-month LIBOR plus an applicable margin, except for fixed rate mortgage debt. One-month LIBOR as of September 30, 2017 was 1.2322%. (3) Loan can be pre-paid in the first 12 months of the term at par plus 5.00%. Starting in the 13 th st (4) Loan can be pre-paid in the first 12 months of the term at par plus 5.00%. Starting in the 13 th th (5) Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last three months of the term. (6) Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last six months of the term. (7) Debt in the amount of $18.0 million was assumed upon acquisition of this property at approximated fair value. The assumed debt carries a 4.09% fixed rate, was originally issued in March 2013, and had a term of 120 months with an initial 24 months of interest only. At the time of acquisition, the principal balance of the first mortgage remained unchanged and had a remaining term of 98 months with 2 months of interest only. The first mortgage is pre-payable and subject to yield maintenance from month 13 through August 31, 2022 and is pre-payable at par September 1, 2022 until maturity. Concurrently with the acquisition of the property, the Company placed a supplemental second mortgage on the property with a principal amount of approximately $5.8 million, a fixed rate of 4.70%, and with a maturity date that is the same time as the first mortgage. The supplemental second mortgage is pre-payable and subject to yield maintenance from the date of issuance through August 31, 2022 and is pre-payable at par September 1, 2022 until maturity. As of September 30, 2017, the total indebtedness secured by the property had a blended interest rate of 4.24%. (8) Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last four months of the term. (9) The Company reflected valuation adjustments on its fixed rate debt for Belmont at Duck Creek and Parc500 to adjust it to fair market value on the date of acquisition for the difference between the fair value and the assumed principal amount of debt. The difference is amortized into interest expense over the remaining terms of the mortgages. On June 30, 2017, the Company entered into 22 first mortgages, with a combined principal amount of $502.1 million, on certain of its properties, replacing the $168.4 million of existing mortgage debt outstanding on nine properties and the $300.0 million outstanding under a credit facility (the “$300 Million Credit Facility”). The refinancing of the existing mortgage debt incurred approximately $1.7 million of prepayment penalties, which is included in loss on extinguishment of debt and modification costs on the consolidated statements of operations and comprehensive income. The Federal Home Loan Mortgage Corporation (“Freddie Mac”), who was the lender on the existing mortgage debt and the $300 Million Credit Facility, also originated the 22 new first mortgages (the “Freddie Refinance”). In accordance with FASB ASC 470-50, Debt – Modifications and Extinguishments The following nine properties had existing mortgage debt that was refinanced: The Summit at Sabal Park, Courtney Cove, The Preserve at Terrell Mill, The Ashlar, Heatherstone, Versailles, Seasons 704 Apartments, Madera Point and The Pointe at the Foothills. The following twelve properties, which were refinanced as described above, were previously cross-collateralized as security for the $300 Million Credit Facility: Arbors on Forest Ridge, Cutter’s Point, Eagle Crest, Silverbrook, Timberglen, Edgewater at Sandy Springs, Beechwood Terrace, Willow Grove, Woodbridge, Venue at 8651, Old Farm and Stone Creek at Old Farm. The Colonnade, which obtained a first mortgage as described above, was not previously encumbered by mortgage debt or credit facility debt. During the nine months ended September 30, 2017, the Company sold nine properties and repaid the related mortgage loans that encumbered eight of the properties, as detailed in the table below (in thousands): Property Name Date of Sale Type Outstanding Principal (1) The Miramar Apartments April 3, 2017 Floating $ 8,400 The Grove at Alban April 3, 2017 Floating 18,374 Twelve 6 Ten at the Park April 27, 2017 Floating 15,711 Regatta Bay July 14, 2017 Floating 14,000 The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls (2) September 29, 2017 Floating 50,177 $ 106,662 (1) Represents the outstanding principal balance when the loan was repaid. (2) Properties were sold as a portfolio. The ninth property the Company sold, Toscana, was released from the collateral pool of the $300 Million Credit Facility upon its sale on April 3, 2017. The Company incurred prepayment penalties of approximately $0.9 million in connection with the payoff of these mortgage loans and $0.1 million of fees in connection with the release of Toscana, both of which are included in loss on extinguishment of debt and modification costs on the consolidated statements of operations and comprehensive income. The weighted average interest rate of the Company’s mortgage indebtedness was 3.04% as of September 30, 2017 and 2.95% as of December 31, 2016. The increase between the periods is primarily related to increases in LIBOR, partially offset by a weighted average reduction of 57 basis points in the borrowing spread related to the Freddie Refinance. As of September 30, 2017, the adjusted weighted average interest rate of the Company’s mortgage indebtedness was 3.14%. For purposes of calculating the adjusted weighted average interest rate of the outstanding mortgage indebtedness, the Company has included the weighted average fixed rate of 1.3388% on its combined $650.0 million notional amount of interest rate swap agreements, which effectively fix the interest rate on $650.0 million of the Company’s floating rate mortgage indebtedness (see Note 7). The interest rate cap agreements the Company has entered into effectively cap one-month LIBOR on $293.2 million of the Company’s floating rate mortgage indebtedness at a weighted average rate of 4.20% (see Note 7). Each of the Company’s mortgages is a non-recourse obligation subject to customary provisions. The loan agreements contain customary events of default, including defaults in the payment of principal or interest, defaults in compliance with the covenants contained in the documents evidencing the loan, defaults in payments under any other security instrument covering any part of the property, whether junior or senior to the loan, and bankruptcy or other insolvency events. As of September 30, 2017, the Company believes it is in compliance with all provisions. Freddie Mac Multifamily Green Advantage . In order to obtain more favorable pricing on the Company’s mortgage debt financing with Freddie Mac, the Company has decided to participate in Freddie Mac’s new Multifamily Green Advantage program. The Company has escrowed approximately $4.2 million to finance smarter, greener property improvements at 20 of its properties, which will be completed by the summer of 2019. The Company plans to reduce water/sewer costs at each property by at least 15% through the replacement of showerheads, plumbing fixtures and toilets with modern energy efficient upgrades. By participating in this program, the Company was able to lower the interest rate on the properties it refinanced in the Freddie Refinance by 10 basis points. Credit and Bridge Facilities The following table contains summary information concerning the Company’s credit and bridge facilities as of September Type Term Amortization (months) Outstanding Principal Interest Rate (1) Maturity Date $30 Million Credit Facility Floating 24 360 $ 30,000 5.23% 12/29/2018 Deferred financing costs, net of accumulated amortization of $115 (197 ) $ 29,803 2017 Bridge Facility Floating 4 360 $ 54,597 4.98% 10/31/2017 Deferred financing costs, net of accumulated amortization of $198 (66 ) $ 54,531 (1) Interest rate is based on one-month LIBOR plus an applicable margin. One-month LIBOR as of September 30, 2017 was 1.2322%. $30 Million Credit Facility . On December 29, 2016, the Company, through the OP, entered into a $30.0 million credit facility (the “$30 Million Credit Facility”) and immediately drew $15.0 million to fund a portion of the purchase price of Old Farm and Stone Creek at Old Farm. On February 1, 2017, the Company drew $14.0 million and used $12.0 million to fund a portion of the purchase price of Hollister Place and $2.0 million to fund value-add renovations at the Company’s properties. In April 2017, the Company used cash on hand plus its share of the proceeds, net of distributions to noncontrolling interests, from four properties it sold to pay down $10.0 million on the $30 Million Credit Facility. On June 30, 2017, the Company drew $11.0 million to fund a portion of the BH Buyout. The $30 Million Credit Facility is a full-term, interest-only facility, has one 12-month extension option and is guaranteed by the OP. 2017 Bridge Facility . On June 30, 2017 , the Company, through the OP, entered into a $65.9 million bridge facility (the “2017 Bridge Facility”) with KeyBank. The Company drew $44.5 million to fund a portion of the purchase price of Rockledge Apartments and $21.4 million to fund a portion of the BH Buyout. In July 2017, the Company used proceeds from the sale of Regatta Bay to pay down $11.3 million on the 2017 Bridge Facility. The 2017 Bridge Facility is a full-term, interest-only facility with an initial four-month term (see below) and is guaranteed by the Company. Interest accrues on the 2017 Bridge Facility at an interest rate of one-month LIBOR plus 3.75%. In October 2017, the Company used proceeds from the sale of the NAVA Portfolio to pay down approximately $46.0 million on the 2017 Bridge Facility, bringing the outstanding balance to approximately $8.6 million, and also extended the maturity date to March 31, 2018 (see Note 13). The Company intends on paying the outstanding principal balance of the 2017 Bridge Facility with proceeds from the sales of properties classified as held for sale as of September 30, 2017 or cash on hand. The credit and bridge facilities agreements contain customary provisions with respect to events of default, covenants and borrowing conditions. Certain prepayments may be required upon a breach of covenants or borrowing conditions. As of September 30, 2017, the Company believes it is in compliance with all provisions of the agreements. $300 Million Credit Facility . On June 6, 2016, the Company, through certain of its subsidiaries, entered into a $200.0 million credit facility, which was expanded to $300.0 million (the “$300 Million Credit Facility”) during the fourth quarter of 2016 to acquire three properties. The $300 Million Credit Facility was cross-collateralized by the following 12 properties: Arbors on Forest Ridge, Cutter’s Point, Eagle Crest, Silverbrook, Timberglen, Edgewater at Sandy Springs, Beechwood Terrace, Willow Grove, Woodbridge, Venue at 8651, Old Farm and Stone Creek at Old Farm. On June 30, 2017, in connection with the Freddie Refinance, the Company repaid and retired the $300 Million Credit Facility. The refinancing of this existing credit facility debt did not incur prepayment penalties. 2016 Bridge Facility . On December 29, 2016, the Company, through the OP, entered into a $30.0 million bridge facility (the “2016 Bridge Facility”) with KeyBank and drew $30.0 million to fund a portion of the purchase price of Old Farm and Stone Creek at Old Farm. In April 2017, the Company paid down the entire $30.0 million of principal on the 2016 Bridge Facility, which was funded with its share of the proceeds, net of distributions to noncontrolling interests, from properties the Company sold in April 2017. The 2016 Bridge Facility was retired on April 28, 2017. Deferred Financing Costs The Company defers costs incurred in obtaining financing and amortizes the costs over the terms of the related loans using the straight-line method, which approximates the effective interest method. Deferred financing costs, net of amortization, are recorded as a reduction from the related debt on the Company’s consolidated balance sheets. Upon repayment of or in conjunction with a material change in the terms of the underlying debt agreement, any unamortized costs are charged to loss on extinguishment of debt and modification costs (see “Loss on Extinguishment of Debt and Modification Costs” below). For the three months ended September 30, 2017 and 2016, the Company wrote-off deferred financing costs of $0.6 million and $0.4 million, respectively, which is included in loss on extinguishment of debt and modification costs on the consolidated statements of operations and comprehensive income. For the nine months ended September 30, 2017 and 2016, the Company wrote-off deferred financing costs of $1.0 million and $0.7 million, respectively, which is included in loss on extinguishment of debt and modification costs on the consolidated statements of operations and comprehensive income. Amortization of deferred financing costs of $0.6 million and $0.4 million is included in interest expense on the consolidated statements of operations and comprehensive income for the three months ended September 30, 2017 and 2016, respectively. Amortization of deferred financing costs of $1.5 million and $1.1 million is included in interest expense on the consolidated statements of operations and comprehensive income for the nine months ended September 30, 2017 and 2016, respectively. Loss on Extinguishment of Debt and Modification Costs Upon repayment of or in conjunction with a material change (i.e. a 10% or greater difference in the cash flows between instruments) in the terms of an underlying debt agreement, the Company writes off any unamortized deferred financing costs related to the original debt. Loss on extinguishment of debt and modification costs also includes prepayment penalties incurred on the early repayment of debt and costs incurred in a debt modification that are not capitalized as deferred financing costs. Schedule of Debt Maturities The aggregate scheduled maturities, including amortizing principal payments, of total debt for the next five calendar years subsequent to September 30, 2017 are as follows (in thousands): Operating Properties & Other Secured Debt Held For Sale Properties Total 2017 $ 54,993 $ — $ 54,993 2018 43,352 276 43,628 2019 2,448 309 2,757 2020 2,483 316 2,799 2021 2,531 326 2,857 Thereafter 681,264 29,599 710,863 Total $ 787,071 $ 30,826 $ 817,897 |
Fair Value of Derivative and Fi
Fair Value of Derivative and Financial Instruments | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measures and Derivative Financial Instruments | 7. Fair Value of Derivatives and Financial Instruments Fair value measurements are determined based on the assumptions that market participants would use in pricing an asset or liability. As a basis for considering market participant assumptions in fair value measurements, FASB ASC 820, Fair Value Measurement and Disclosures • Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. • Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs may include quoted prices for similar assets and liabilities in active markets, as well as inputs that are observable for the asset or liability (other than quoted prices), such as interest rates and yield curves that are observable at commonly quoted intervals. • Level 3 inputs are the unobservable inputs for the asset or liability, which are typically based on an entity’s own assumption, as there is little, if any, related market activity. In instances where the determination of the fair value measurement is based on input from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. The Company utilizes independent third parties to perform the allocation of value analysis for each property acquisition and to perform the market valuations on its derivative financial instruments and has established policies, as described above, processes and procedures intended to ensure that the valuation methodologies for investments and derivative financial instruments are fair and consistent as of the measurement date. Derivative Financial Instruments and Hedging Activities The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company may enter into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash payments principally related to the Company’s borrowings. In order to minimize counterparty credit risk, the Company enters into and expects to enter into hedging arrangements only with major financial institutions that have high credit ratings. The Company utilizes an independent third party to perform the market valuations on its derivative financial instruments. The valuation of these instruments is determined using widely accepted valuation techniques, including discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash receipts (or payments) and the discounted expected variable cash payments (or receipts). The variable cash payments (or receipts) are based on an expectation of future interest rates (forward curves) derived from observable market interest rate curves. The fair values of interest rate caps are determined using the market standard methodology of discounting the future expected cash receipts that would occur if variable interest rates rise above the strike rate of the caps. The variable interest rates used in the calculation of projected receipts on the cap are based on an expectation of future interest rates derived from observable market interest rate curves and volatilities. To comply with the provisions of ASC 820, the Company incorporates credit valuation adjustments to appropriately reflect both the Company’s own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of the Company’s derivative contracts for the effect of nonperformance risk, the Company has considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts and guarantees. Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with the Company’s derivatives utilize Level 3 inputs, such as estimates of current credit spreads, to evaluate the likelihood of default by the Company and its counterparties. The Company has determined that the significance of the impact of the credit valuation adjustments made to its derivative contracts, which determination was based on the fair value of each individual contract, was not significant to the overall valuation. As a result, all of the Company’s derivatives held as of September 30, 2017 and December 31, 2016 were classified as Level 2 of the fair value hierarchy. The Company’s main objective in using interest rate derivatives is to add stability to interest expense related to floating rate debt. To accomplish this objective, the Company primarily uses interest rate swaps and caps as part of its interest rate risk management strategy. Interest rate swaps involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The interest rate swaps have terms ranging from four to five years. Interest rate caps involve the receipt of variable-rate amounts from a counterparty if interest rates rise above the strike rate on the contract in exchange for an up-front premium. The interest rate caps have terms ranging from three to four years. During the nine months ended September 30, 2017 and 2016, such derivatives were used to hedge the variable cash flows associated with a majority of the Company’s floating rate debt. The interest rate cap agreements the Company has entered into effectively cap one-month LIBOR on $293.2 million of the Company’s floating rate mortgage indebtedness at a weighted average rate of 4.20%. The effective portion of changes in the fair value of derivative financial instruments that are designated as cash flow hedges is recorded in other comprehensive income (loss) (“OCI”) and is subsequently reclassified into net income (loss) in the period that the hedged forecasted transaction affects earnings. Amounts reported in OCI related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s floating rate debt. The ineffective portion of the change in fair value of the derivatives is recognized directly in net income (loss) as interest expense. During the three months ended September 30, 2017 and 2016, the Company recorded less than $0.1 million and $0.6 million, respectively, of gain related to the ineffective portion of changes in the fair value of its derivatives designated as cash flow hedges, which is recorded as a reduction to interest expense on the accompanying consolidated statements of operations and comprehensive income. During the nine months ended September 30, 2017 and 2016, the Company recorded approximately $0.1 million and $0.6 million, respectively, of gain related to the ineffective portion of changes in the fair value of its derivatives designated as cash flow hedges. As of September 30, 2016, the Company had four interest rate swap derivatives, with a notional amount of $400.0 million, designated as cash flow hedges. In order to fix a portion of, and mitigate the risk associated with, the Company’s floating rate indebtedness (without incurring substantial prepayment penalties or defeasance costs typically associated with fixed rate indebtedness when repaid early or refinanced), the Company, through the OP, has entered into seven interest rate swap transactions with KeyBank (the “Counterparty”) with a combined notional amount of $650.0 million. The interest rate swaps the Company has entered into effectively replace the floating interest rate (one-month LIBOR) with respect to that amount with a weighted average fixed rate of 1.3388%. The Company has designated these interest rate swaps as cash flow hedges of interest rate risk. As of September 30, 2017, the Company had the following outstanding interest rate swaps that were designated as cash flow hedges of interest rate risk (dollars in thousands): Effective Date Termination Date Notional Fixed Rate Floating Rate Option (1) July 1, 2016 June 1, 2021 $ 100,000 1.1055 % One-month LIBOR July 1, 2016 June 1, 2021 100,000 1.0210 % One-month LIBOR July 1, 2016 June 1, 2021 100,000 0.9000 % One-month LIBOR September 1, 2016 June 1, 2021 100,000 0.9560 % One-month LIBOR April 1, 2017 April 1, 2022 100,000 1.9570 % One-month LIBOR May 1, 2017 April 1, 2022 50,000 1.9610 % One-month LIBOR July 1, 2017 July 1, 2022 100,000 1.7820 % One-month LIBOR $ 650,000 1.3388 % (2) (1) As of September 30, 2017, one-month LIBOR was 1.2322%. (2) Represents the weighted average fixed rate of the interest rate swaps. Derivatives not designated as hedges are not speculative and are used to manage the Company’s exposure to interest rate movements but either do not meet the strict requirements to apply hedge accounting in accordance with FASB ASC 815, Derivatives and Hedging As of September 30, 2017, the Company had the following outstanding derivatives that were not designated as hedges in qualifying hedging relationships (dollars in thousands): Product Number of Instruments Notional Interest rate caps 17 $ 293,184 The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of September 30, 2017 and December 31, 2016 (in thousands): Asset Derivatives Liability Derivatives Balance Sheet Location September 30, 2017 December 31, 2016 September 30, 2017 December 31, 2016 Derivatives designated as hedging instruments: Interest rate swaps Fair market value of interest rate swaps $ 11,759 $ 12,413 $ 713 (1) $ — Derivatives not designated as hedging instruments: Interest rate caps Prepaid and other assets — 5 — — Total $ 11,759 $ 12,418 $ 713 $ — (1) Included in accounts payable and other accrued liabilities on the consolidated balance sheet. The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income for the three and nine months ended September 30, 2017 and 2016 (in thousands): Amount of gain (loss) recognized in OCI on derivative (effective portion) Location of gain (loss) reclassified from accumulated OCI into income Amount of gain (loss) reclassified from accumulated OCI into income (effective portion) Location of gain (loss) recognized in income on derivative Amount of gain (loss) recognized in income on derivative (ineffective portion)* 2017 2016 (effective portion) 2017 2016 (ineffective portion)* 2017 2016 Derivatives designated as hedging instruments: For the three months ended September 30, Interest rate products (241 ) (1,576 ) Interest expense (360 ) (479 ) Interest expense (63 ) (1) 599 For the nine months ended September 30, Interest rate products (2,162 ) (1,619 ) Interest expense (1,142 ) (491 ) Interest expense (88 ) (2) 599 * Includes amounts excluded from effectiveness testing. (1) Includes approximately $90,000 of loss reclassified from OCI for missed forecasted transactions due to hedged forecasted transactions being no longer probable. (2) Includes approximately $185,000 of loss reclassified from OCI for missed forecasted transactions due to hedged forecasted transactions being no longer probable. Location of gain (loss) Amount of gain (loss) recognized in income on derivative recognized in income 2017 2016 Derivatives not designated as hedging instruments: For the three months ended September 30, Interest rate products Interest expense — (2 ) For the nine months ended September 30, Interest rate products Interest expense (5 ) (8 ) Other Financial Instruments Carried at Fair Value Redeemable noncontrolling interests in the OP have a redemption feature and are marked to their redemption value if such value exceeds the carrying value of the redeemable noncontrolling interests in the OP (see Note 10). The redemption value is based on the fair value of the Company’s common stock at the redemption date, and therefore, is calculated based on the fair value of the Company’s common stock at the balance sheet date. Since the valuation is based on observable inputs such as quoted prices for similar instruments in active markets, redeemable noncontrolling interests in the OP are classified as Level 2 if they are adjusted to their redemption value. Financial Instruments Not Carried at Fair Value At September 30, 2017 and December 31, 2016, the fair values of cash and cash equivalents, restricted cash, accounts receivable, prepaid assets, accounts payable and other accrued liabilities, accrued real estate taxes payable, accrued interest payable, security deposits and prepaid rent approximated their carrying values because of the short term nature of these instruments. The estimated fair values of other financial instruments were determined by the Company using available market information and appropriate valuation methodologies. Considerable judgment is necessary to interpret market data and develop estimated fair values. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company would realize on the disposition of the financial instruments. The use of different market assumptions or estimation methodologies may have a material effect on the estimated fair value amounts. Long-term indebtedness is carried at amounts that reasonably approximate their fair value. In calculating the fair value of its long-term indebtedness, the Company used interest rate and spread assumptions that reflect current credit worthiness and market conditions available for the issuance of long-term debt with similar terms and remaining maturities. These financial instruments utilize Level 2 inputs. Real estate assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In such cases, the Company will evaluate the recoverability of such real estate assets based on estimated future cash flows and the estimated liquidation value of such real estate assets, and provide for impairment if such undiscounted cash flows are insufficient to recover the carrying amount of the real estate asset. If impaired, the real estate asset will be written down to its estimated fair value. There can be no assurance that the estimates discussed herein, using Level 3 inputs, are indicative of the amounts the Company could realize on disposition of the real estate asset. For the nine months ended September 30, 2017 and 2016, the Company did not record any impairment charges related to real estate assets. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Stockholders' Equity | 8. Stockholders’ Equity Common Stock The Company began operations on March 31, 2015 as a result of the Spin-Off. During the three and nine months ended September 30, 2017, the Company issued 110,257 shares of common stock pursuant to its long-term incentive plan and retired 308,313 shares of common stock it had repurchased pursuant to its share repurchase program (see “Share Repurchase Program” and “Long Term Incentive Plan” below). As of September Share Repurchase Program On June 15, 2016, the Board authorized the repurchase by the Company of up to $30.0 million of its common stock, $0.01 par value per share. This authorization expires on June 15, 2018. The Company may utilize various methods to effect the repurchases, and the timing and extent of the repurchases will depend upon several factors, including market and business conditions, regulatory requirements and other corporate considerations, including whether the Company’s common stock is trading at a significant discount to net asset value per share. Repurchases under this program may be discontinued at any time. During the nine months ended September 30, 2017, the Company repurchased 58,157 shares of its common stock, $0.01 par value per share, at a total cost of approximately $1,354,000, or $23.27 per share. As of September 30, 2017, the Company has repurchased 308,313 shares of its common stock, $0.01 par value per share, at a total cost of approximately $5,941,000, or $19.27 per share. Treasury Stock From time to time, in accordance with the Company’s share repurchase program, the Company may repurchase shares of its common stock in the open market. Until any such shares are retired, the cost of the shares is included in common stock held in treasury at cost on the consolidated balance sheet. The number of shares of common stock classified as treasury shares reduces the number of shares of the Company’s common stock outstanding and, accordingly, are considered in the weighted average number of shares outstanding during the period. During the nine months ended September 30, 2017, the Company retired 308,313 shares of its common stock held in treasury. As of September 30, 2017 and December 31, 2016, the Company had 0 shares and 250,156 shares, respectively, of common stock held in treasury. Long Term Incentive Plan On June 15, 2016, the Company’s stockholders approved a long-term incentive plan (the “2016 LTIP”) and the Company filed a registration statement on Form S-8 registering 2,100,000 shares of common stock, $0.01 par value per share, that the Company may issue pursuant to the 2016 LTIP. The 2016 LTIP authorizes the compensation committee of the Board to provide equity-based compensation in the form of stock options, appreciation rights, restricted shares, restricted stock units, performance shares, performance units and certain other awards denominated or payable in, or otherwise based on, the Company’s common stock or factors that may influence the value of the Company’s common stock, plus cash incentive awards, for the purpose of providing the Company’s directors, officers and other key employees (and those of the Adviser and the Company’s subsidiaries), the Company’s non-employee directors, and potentially certain non-employees who perform employee-type functions, incentives and rewards for performance. Restricted Stock Units . Under the 2016 LTIP, restricted stock units may be granted to the Company’s directors, officers and other key employees (and those of the Adviser and the Company’s subsidiaries) and typically vest over a three to four year period for officers and annually for directors. Beginning on the date of grant, restricted stock units earn dividends that are payable in cash on the vesting date. On August 11, 2016, pursuant to the 2016 LTIP, the Company granted 209,797 restricted stock units to its directors and officers. On March 16, 2017, pursuant to the 2016 LTIP, the Company granted 219,802 restricted stock units to its directors and officers. The following table includes the number of restricted stock units granted, vested, forfeited and outstanding as of September 30, 2017: 2017 Number of Units Weighted Average Grant Date Fair Value Outstanding January 1, 209,797 $ 19.20 Granted 219,802 22.57 Vested (110,257 ) 19.20 Forfeited — — Outstanding September 30, 319,342 (1) $ 21.52 (1) 49,768 restricted stock units vest in August 2018 and 49,772 restricted stock units vest in August 2019. 80,742 restricted stock units vest in March 2018 and 69,530 restricted stock units vest in each of March 2019 and March 2020. As of September 30, 2017, the Company has issued 110,257 shares of common stock under the 2016 LTIP. For the three months ended September 30, 2017 and 2016, the Company recognized approximately $0.8 million and $0.3 million, respectively, of equity-based compensation expense related to grants of restricted stock units, which is included in corporate general and administrative expenses on the consolidated statements of operations and comprehensive income. For the nine months ended September 30, 2017 and 2016, the Company recognized approximately $2.4 million and $0.3 million, respectively, of equity-based compensation expense related to grants of restricted stock units. As of September 30, 2017, the Company has recognized a liability of approximately $0.3 million related to dividends earned on restricted stock units that are payable in cash upon vesting. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | 9. Earnings (Loss) Per Share Basic earnings (loss) per share is computed by dividing net income (loss) attributable to common stockholders by the weighted average number of shares of the Company’s common stock outstanding, which is adjusted for shares classified as treasury shares during the period and excludes any unvested restricted stock units issued pursuant to the 2016 LTIP. Diluted earnings (loss) per share is computed by adjusting basic earnings (loss) per share for the dilutive effect of the assumed vesting of restricted stock units. During periods of net loss, the assumed vesting of restricted stock units is anti-dilutive and is not included in the calculation of earnings (loss) per share. The effect of the conversion of OP Units held by noncontrolling limited partners is not reflected in the computation of basic and diluted earnings (loss) per share, as they are exchangeable for common stock on a one-for-one basis. The income (loss) allocable to such units is allocated on this same basis and reflected as net income attributable to redeemable noncontrolling interests in the Operating Partnership in the accompanying consolidated statements of operations and comprehensive income. As such, the assumed conversion of these units would have no net impact on the determination of diluted earnings (loss) per share. See Note 10 for additional information. The following table sets forth the computation of basic and diluted earnings per share for the periods presented (in thousands, except per share amounts): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2017 2016 2017 2016 Numerator for earnings per share: Net income $ 54,076 $ 8,825 $ 60,702 $ 25,712 Net income attributable to noncontrolling interests — 1,735 2,836 4,047 Net income attributable to redeemable noncontrolling interests in the Operating Partnership 162 — 162 — Net income attributable to common stockholders $ 53,914 $ 7,090 $ 57,704 $ 21,665 Denominator for earnings per share: Weighted average common shares outstanding 21,085 21,260 21,057 21,282 Denominator for basic earnings per share 21,085 21,260 21,057 21,282 Unvested restricted stock units 368 116 350 40 Denominator for diluted earnings per share 21,453 21,376 21,407 21,322 Earnings per weighted average common share: Basic $ 2.56 $ 0.33 $ 2.74 $ 1.02 Diluted $ 2.51 $ 0.33 $ 2.70 $ 1.02 |
Noncontrolling Interests
Noncontrolling Interests | 9 Months Ended |
Sep. 30, 2017 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | 10. Noncontrolling Interests Redeemable Noncontrolling Interests in the OP Interests in the OP held by limited partners are represented by OP Units. Net income (loss) is allocated to holders of OP Units based upon net income (loss) attributable to common stockholders and the weighted average number of OP Units outstanding to total common shares plus OP Units outstanding during the period. Capital contributions, distributions, and profits and losses are allocated to OP Units in accordance with the terms of the partnership agreement of the OP. Each time the OP distributes cash to the Company, outside limited partners of the OP receive their pro-rata share of the distribution. On June 30, 2017, the Company and the OP entered into a contribution agreement (the “Contribution Agreement”) with BH Equities, LLC and its affiliates (collectively, “BH Equity”), whereby the Company purchased 100% of the joint venture interests in the Portfolio owned by BH Equity, representing approximately 8.4% ownership in the Portfolio (the “BH Buyout”), for total consideration of approximately $51.7 million (the “Purchase Amount”). The Purchase Amount consisted of approximately $49.7 million in cash that was paid on June 30, 2017 and 73,233 OP Units (initially valued at $2.0 million) that were issued on August 1, 2017. The number of OP Units issued was calculated by dividing $2.0 million by the midpoint of the range of the Company’s net asset value as publicly disclosed in connection with the Company’s release of its second quarter of 2017 earnings results, which was $27.31 per share. The Company financed the cash portion of the Purchase Amount with $21.4 million of proceeds from the 2017 Bridge Facility, $16.3 million of proceeds from the Freddie Refinance, $11.0 million of proceeds from the $30 Million Credit Facility and $1.0 million of cash on hand. In connection with the issuance of OP Units to BH Equity on August 1, 2017, the Company and the OP amended the partnership agreement of the OP (the “Amendment”). Pursuant to the Amendment, limited partners holding OP Units have the right to cause the OP to redeem their units at a redemption price equal to and in the form of the Cash Amount (as defined in the partnership agreement of the OP), provided that such OP Units have been outstanding for at least one year. The Company, through the OP GP, as the general partner of the OP may, in its sole discretion, purchase the OP Units by paying to the limited partner either the Cash Amount or the REIT Share Amount (one share of common stock of the Company for each OP Unit), as defined in the partnership agreement of the OP. Notwithstanding the foregoing, a limited partner will not be entitled to exercise its redemption right to the extent the issuance of the Company’s common stock to the redeeming limited partner would (1) be prohibited, as determined in the Company’s sole discretion, under the Company’s charter or (2) cause the acquisition of common stock by such redeeming limited partner to be "integrated" with any other distribution of the Company’s common stock for purposes of complying with the Securities Act of 1933, as amended. Accordingly, the Company records the OP Units held by noncontrolling limited partners outside of permanent equity and reports the OP Units at the greater of their carrying value or their redemption value using the Company’s stock price at each balance sheet date. The following table sets forth the redeemable noncontrolling interests in the OP for the nine months ended September 30, 2017 (in thousands): Redeemable noncontrolling interests in the OP, December 31, 2016 $ — Issuance of redeemable noncontrolling interests in the OP 2,000 Net income attributable to redeemable noncontrolling interests in the OP 162 Other comprehensive income attributable to redeemable noncontrolling interests in the OP 1 Distributions to redeemable noncontrolling interests in the OP (53 ) Redeemable noncontrolling interests in the OP, September 30, 2017 $ 2,110 Noncontrolling Interests Noncontrolling interests have in the past and may in the future be comprised of joint venture partners’ interests in joint ventures the Company consolidates. When applicable, the Company reports its joint venture partners’ interests in its consolidated joint ventures and other subsidiary interests held by third parties as noncontrolling interests. The Company records these noncontrolling interests at their initial fair value, adjusting the basis prospectively for their share of the respective consolidated investment’s net income or loss, equity contributions, return of capital, and distributions. Generally, these noncontrolling interests are not redeemable by the equity holders and are presented as part of permanent equity. Income and losses are allocated to the noncontrolling interest holder based on its economic ownership percentage. During the period ended June 30, 2017, prior to the BH Buyout, the Company purchased 100% of the noncontrolling interests in three of its joint ventures for approximately $2.0 million. On June 30, 2017, in connection with the BH Buyout, the Company purchased 100% of the outstanding noncontrolling interests in its remaining joint ventures for approximately $51.7 million. On June 30, 2017, prior to the BH Buyout, the carrying value of such noncontrolling interests was approximately $20.5 million. On June 30, 2017, the Company eliminated the carrying value of such noncontrolling interests on its consolidated balance sheet. The remaining $31.2 million of the Purchase Amount resulted in a reduction to additional paid-in capital on the Company’s consolidated balance sheet. In connection with the Contribution Agreement, the Company fully indemnified BH Equity on all non-recourse carve out guarantees it had previously provided for mortgage indebtedness secured by certain properties in the Portfolio. In consideration of the guarantees previously provided by BH Equity, it was entitled to an additional profit interest in each entity (the “Total Promote”) such that distributions were to be made to the members of the entity pro rata in proportion to their relative percentage interests until the members received an internal rate of return equal to 13%. Then, the proportion of distributions changed to a predetermined allocation according to the agreements between each entity and BH Equity. The Total Promote due by the Company to BH Equity was relinquished in connection with the BH Buyout. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 11. Related Party Transactions Fees and Reimbursements to BH and its Affiliates The Company has entered into management agreements with BH Management Services, LLC (“BH”), the Company’s property manager and an independently owned third party, who manages the Company’s properties and supervises the implementation of the Company’s value-add program. BH is an affiliate of BH Equity, who was a noncontrolling interest member of the Company’s joint ventures prior to the BH Buyout on June 30, 2017. Through BH Equity’s noncontrolling interests in such joint ventures, BH Equity was deemed to be a related party. With the completion of the BH Buyout, BH Equity is no longer deemed to be a related party. BH Equity became a noncontrolling limited partner of the OP upon execution of the Amendment. BH and its affiliates do not have common ownership in any joint venture with the Company’s Adviser; there is also no common ownership between BH and its affiliates and the Company’s Adviser. The property management fee paid to BH is approximately 3% of the monthly gross income from each property managed. Currently, BH manages all of the Company’s properties. Additionally, the Company may pay BH certain other fees, including: (1) a fee of $15.00 per unit for the one-time setup and inspection of properties, (2) a construction supervision fee of 5-6% of total project costs, which is capitalized, (3) acquisition fees and due diligence costs reimbursements, and (4) other owner approved fees at $55 per hour. BH also acts as a paymaster for the properties and is reimbursed at cost for various operating expenses it pays on behalf of the properties. The following is a summary of fees that the properties incurred to BH and its affiliates, as well as reimbursements paid to BH from the properties for various operating expenses, for the three and nine months ended September 30, 2017 and 2016 (in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2017 2016 2017 2016 Fees incurred Property management fees (1) $ 1,110 $ 989 $ 3,280 $ 3,007 Construction supervision fees (2) 213 247 651 624 Acquisition fees (3) — 139 505 139 Reimbursements Payroll and benefits (4) 4,131 4,140 11,855 12,212 Other reimbursements (5) 432 460 1,457 1,465 (1) Included in property management fees on the consolidated statements of operations and comprehensive income. (2) Capitalized on the consolidated balance sheets and reflected in buildings and improvements. (3) Includes due diligence costs. Acquisition fees incurred prior to October 1, 2016 are included in acquisition costs on the consolidated statements of operations and comprehensive income. Acquisition fees incurred for the period beginning on October 1, 2016 are capitalized to operating real estate assets on the consolidated balance sheets. (4) Included in property operating expenses on the consolidated statements of operations and comprehensive income. (5) Includes property operating expenses such as repairs and maintenance costs and certain property general and administrative expenses, which are included on the consolidated statements of operations and comprehensive income. Asset Management Fee Until the BH Buyout on June 30, 2017, in accordance with the operating agreement of each entity that owns the properties, the Company earned an asset management fee for services provided in connection with monitoring the operations of the properties. The asset management fee was equal to 0.5% per annum of the aggregate effective gross income of the properties, as defined in each of the operating agreements. For the three and six months ended June 30, 2017, the properties incurred asset management fees to the Company of approximately $0.2 million and $0.4 million, respectively. For the three and nine months ended September 30, 2016, the properties incurred asset management fees to the Company of approximately $0.2 million and $0.5 million, respectively. Since the fees were paid to the Company (and not the Adviser) by consolidated properties, they have been eliminated in consolidation. However, because the Company’s previous joint venture partners owned a portion of each of a majority of the properties in the Portfolio, prior to the Company’s purchase of 100% of their joint venture interests, they absorbed their pro rata share of the asset management fee. This amount is reflected on the consolidated statements of operations and comprehensive income in the net income attributable to noncontrolling interests. Advisory and Administrative Fee In accordance with the Advisory Agreement, the Company pays the Adviser an advisory fee equal to 1.00% of the Average Real Estate Assets (as defined below). The duties performed by the Company’s Adviser under the terms of the Advisory Agreement include, but are not limited to: providing daily management for the Company, selecting and working with third party service providers, managing the Company’s properties or overseeing the third party property manager, formulating an investment strategy for the Company and selecting suitable properties and investments, managing the Company’s outstanding debt and its interest rate exposure through derivative instruments, determining when to sell assets, and managing the value-add program or overseeing a third party vendor that implements the value-add program. “Average Real Estate Assets” means the average of the aggregate book value of Real Estate Assets before reserves for depreciation or other non-cash reserves, computed by taking the average of the book value of real estate assets at the end of each month (1) for which any fee under the Advisory Agreement is calculated or (2) during the year for which any expense reimbursement under the Advisory Agreement is calculated. “Real Estate Assets” is defined broadly in the Advisory Agreement to include, among other things, investments in real estate-related securities and mortgages and reserves for capital expenditures (the value-add program). The advisory fee is payable monthly in arrears in cash, unless the Adviser elects, in its sole discretion, to receive all or a portion of the advisory fee in shares of common stock, subject to certain limitations. In accordance with the Advisory Agreement, the Company also pays the Adviser an administrative fee equal to 0.20% of the Average Real Estate Assets. The administrative fee is payable monthly in arrears in cash, unless the Adviser elects, in its sole discretion, to receive all or a portion of the administrative fee in shares of common stock, subject to certain limitations. The advisory and administrative fees paid to the Adviser on the Contributed Assets (as defined below) are subject to an annual cap of approximately $5.4 million (the “Contributed Assets Cap”) (see “Expense Cap” below). Pursuant to the terms of the Advisory Agreement, the Company will reimburse the Adviser for all documented Operating Expenses and Offering Expenses it incurs on behalf of the Company. “Operating Expenses” include legal, accounting, financial and due diligence services performed by the Adviser that outside professionals or outside consultants would otherwise perform, the Company’s pro rata share of rent, telephone, utilities, office furniture, equipment, machinery and other office, internal and overhead expenses of the Adviser required for the Company’s operations, and compensation expenses under the 2016 LTIP. Operating Expenses do not include expenses for the advisory and administrative services described in the Advisory Agreement. Certain Operating Expenses, such as the Company’s ratable share of rent, telephone, utilities, office furniture, equipment, machinery and other office, internal and overhead expenses incurred by the Adviser or its affiliates that relate to the operations of the Company, may be billed monthly to the Company under a shared services agreement. “Offering Expenses” include all expenses (other than underwriters’ discounts) in connection with an offering, including, without limitation, legal, accounting, printing, mailing and filing fees and other documented offering expenses. For the three and nine months ended September 30, 2017 and 2016, the Adviser did not bill any Operating Expenses or Offering Expenses to the Company and any such expenses the Adviser incurred during the periods are considered to be permanently waived. Expense Cap Pursuant to the terms of the Advisory Agreement, expenses paid or incurred by the Company for advisory and administrative fees payable to the Adviser and Operating Expenses will not exceed 1.5% of Average Real Estate Assets per calendar year (or part thereof that the Advisory Agreement is in effect (the “Expense Cap”)). The Expense Cap does not limit the reimbursement of expenses related to Offering Expenses. The Expense Cap also does not apply to legal, accounting, financial, due diligence and other service fees incurred in connection with mergers and acquisitions, extraordinary litigation or other events outside the Company’s ordinary course of business or any out-of-pocket acquisitions or due diligence expenses incurred in connection with the acquisition or disposition of real estate assets. Also, advisory and administrative fees are further limited on Contributed Assets to approximately $5.4 million in any calendar year. Contributed Assets refers to all Real Estate Assets contributed to the Company as part of the Spin-Off. The Contributed Assets Cap is not reduced for dispositions of such assets subsequent to the Spin-Off. Advisory and administrative fees on New Assets are not subject to the above limitation and are based on an annual rate of 1.2% on Average Real Estate Assets, but are subject to the Expense Cap. New Assets are all Real Estate Assets that are not Contributed Assets. For the three months ended September 30, 2017 and 2016, the Company incurred advisory and administrative fees of $1.9 million and $1.7 million, respectively. The amount paid for the three months ended September 30, 2017 and 2016 represents the maximum fee allowed on Contributed Assets (as defined in the Advisory Agreement) under the Advisory Agreement plus approximately $0.5 million and $0.3 million, respectively, of advisory and administrative fees incurred on New Assets (as defined in the Advisory Agreement). For the nine months ended September 30, 2017 and 2016, the Company incurred advisory and administrative fees of $5.5 million and $4.9 million, respectively. The amount paid for the nine months ended September 30, 2017 and 2016 represents the maximum fee allowed on Contributed Assets (as defined in the Advisory Agreement) under the Advisory Agreement plus approximately $1.5 million and $0.9 million, respectively, of advisory and administrative fees incurred on New Assets (as defined in the Advisory Agreement). These fees are reflected on the consolidated statements of operations and comprehensive income in advisory and administrative fees. The increase in advisory and administrative fees on New Assets between both the periods was due to the acquisition of additional properties classified as New Assets after the Spin-Off, for which the Adviser has elected to receive fees on, and the timing of the acquisitions (the Company acquired one property in July 2016 and one property in October 2016 that the Adviser elected to receive advisory and administrative fees on). For the three and nine months ended September 30, 2017, the Adviser elected to voluntarily waive the advisory and administrative fees incurred on the two properties acquired in December 2016, the property acquired in February 2017 and the property acquired in June 2017, which are considered to be permanently waived for the periods. The Adviser is not contractually obligated to waive fees on New Assets in the future and may cease waiving fees on New Assets at its discretion. Other Related Party Transactions The Company has in the past, and may in the future, utilize the services of affiliated parties. For the nine months ended September 30, 2017 and 2016, the Company paid approximately $1.2 million and $0.6 million, respectively, to NexBank Title, Inc. (“NexBank Title”). NexBank Title is an affiliate of the Adviser through common beneficial ownership. NexBank Title provides title insurance and work related to providing title insurance on properties related to acquisitions, dispositions and refinancing transactions. These amounts are either capitalized as real estate assets or deferred financing costs, expensed as loss on extinguishment of debt and modification costs, or expensed as selling costs when determining gain (loss) on sales of real estate, depending on the appropriate accounting as determined for each specific transaction. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 12. Commitments and Contingencies Commitments In the normal course of business, the Company enters into various rehabilitation construction related purchase commitments with parties that provide these goods and services. In the event the Company were to terminate rehabilitation construction services prior to the completion of projects, the Company could potentially be committed to satisfy outstanding or uncompleted purchase orders with such parties. As of September 30, 2017, management does not anticipate any material deviations from schedule or budget related to rehabilitation projects currently in process. Contingencies In the normal course of business, the Company is subject to claims, lawsuits, and legal proceedings. While it is not possible to ascertain the ultimate outcome of all such matters, management believes that the aggregate amount of such liabilities, if any, in excess of amounts provided or covered by insurance, will not have a material adverse effect on the consolidated balance sheets or consolidated statements of operations and comprehensive income of the Company. The Company is not involved in any material litigation nor, to management’s knowledge, is any material litigation currently threatened against the Company or its properties or subsidiaries. The Company is not aware of any environmental liability with respect to the properties that could have a material adverse effect on the Company’s business, assets, or results of operations. However, there can be no assurance that such a material environmental liability does not exist. The existence of any such material environmental liability could have an adverse effect on the Company’s results of operations and cash flows. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | 13. Subsequent Events Acquisition of Multifamily Property Subsequent to September 30, 2017, the Company acquired the following property through a 1031 Exchange with the NAVA Portfolio and a reverse 1031 Exchange with Timberglen (anticipated to close in the first quarter of 2018) (dollars in thousands) (unaudited): Property Name Location Date of Acquisition Purchase Price Debt # Units Ownership Atera Dallas, Texas October 25, 2017 $ 59,200 (1) $ 29,500 (2) 380 100 % (1) The Company used approximately $14.1 million of proceeds from the sale of the NAVA Portfolio to fund part of the equity portion of the purchase price. (2) The Company placed a first mortgage on the property with a floating interest rate at 1.48% over one-month LIBOR and an 84-month term that is full-term, interest-only. 2017 Bridge Facility On October 19, 2017, the Company used proceeds from the sale of the NAVA Portfolio to pay down approximately $46.0 million on the 2017 Bridge Facility. On October 26, 2017, the Company, through the OP, amended the 2017 Bridge Facility (the “Extension”) to extend the maturity date on the remaining balance of approximately $8.6 million to March 31, 2018. The Company paid an amendment fee of approximately $34,000 in connection with the Extension. Dividends Declared On October 30, 2017, the Company’s board of directors increased the Company’s quarterly dividend 13.6%, or by $0.03 per share, declaring a quarterly dividend of $0.25 per share, payable on December 29, 2017 to stockholders of record on December 15, 2017. |
Summary of Significant Accoun20
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Predecessor | Predecessor With the exception of a nominal amount of initial cash funded at inception, the Company did not own any assets prior to March 31, 2015. The business and operations of the Company prior to March 31, 2015 occurred under the predecessor. The predecessor included all of the properties in the Portfolio that were held directly or indirectly by NREO prior to the Spin-Off that occurred on March 31, 2015. However, the Company’s consolidated financial statements reflect operations of the predecessor through March 31, 2015 as if they were incurred by the Company. The predecessor was determined in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). References throughout these consolidated financial statements to the “Company”, “we”, or “our”, include the activity of the predecessor defined above. |
Basis of Accounting | Basis of Accounting The accompanying unaudited consolidated financial statements have been prepared according to the rules and regulations of the SEC. Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted according to such rules and regulations, although management believes that the disclosures are adequate to make the information presented not misleading. In the opinion of management, all adjustments and eliminations necessary for the fair presentation of the Company’s financial position as of September 30, 2017, and results of operations for the three and nine months ended September 30, 2017 and 2016 have been included. Such adjustments are normal and recurring in nature. The interim results presented are not necessarily indicative of future financial results. The unaudited information included in this quarterly report on Form 10-Q should be read in conjunction with the Company’s audited financial statements for the year ended December 31, 2016 and notes thereto included in its annual report on Form 10-K filed with the SEC on March 15, 2017. The accompanying unaudited consolidated financial statements are presented in accordance with GAAP. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities at the dates of the unaudited consolidated financial statements and the amounts of revenues and expenses during the reporting periods. Actual amounts realized or paid could differ from those estimates. All significant intercompany accounts and transactions have been eliminated in consolidation. There have been no significant changes to the Company’s significant accounting policies during the nine months ended September 30, 2017. |
Principles of Consolidation | Principles of Consolidation The Company accounts for subsidiary partnerships, joint ventures and other similar entities in which it holds an ownership interest in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 810, Consolidation |
Revenue Recognition | Revenue Recognition The Company’s primary operations consist of rental income earned from its residents under lease agreements typically with terms of one year or less. Rental income is recognized when earned. This policy effectively results in income recognition on the straight-line method over the related terms of the leases. Resident reimbursements and other income consist of charges billed to residents for utilities, carport and garage rental, and pets, administrative, application and other fees and are recognized when earned. |
Real Estate Investments | Real Estate Investments Upon acquisition of a property, the purchase price and related acquisition costs (“total consideration”) are allocated to land, buildings, improvements, furniture, fixtures, and equipment, and intangible lease assets in accordance with FASB ASC 805, Business Combinations Clarifying the Definition of a Business (Topic 805) , The allocation of total consideration, which is determined using inputs that are classified within Level 3 of the fair value hierarchy established by FASB ASC 820, Fair Value Measurement and Disclosures Real estate assets, including land, buildings, improvements, furniture, fixtures and equipment, and intangible lease assets are stated at historical cost less accumulated depreciation and amortization. Costs incurred in making repairs and maintaining real estate assets are expensed as incurred. Expenditures for improvements, renovations, and replacements are capitalized at cost. Real estate-related depreciation and amortization are computed on a straight-line basis over the estimated useful lives as described in the following table: Land Not depreciated Buildings 30 years Improvements 15 years Furniture, fixtures, and equipment 3 years Intangible lease assets 6 months Construction in progress includes the cost of renovation projects being performed at the various properties. Once a project is complete, the historical cost of the renovation is placed into service in one of the categories above depending on the type of renovation project and is depreciated over the estimated useful lives as described in the table above. Real estate assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In such cases, the Company will evaluate the recoverability of such real estate assets based on estimated future cash flows and the estimated liquidation value of such real estate assets, and provide for impairment if such undiscounted cash flows are insufficient to recover the carrying amount of the real estate asset. If impaired, the real estate asset will be written down to its estimated fair value. The Company periodically classifies real estate assets as held for sale when certain criteria are met, in accordance with GAAP. At that time, the Company presents the net real estate assets and the net debt associated with the real estate held for sale separately in its consolidated balance sheet, and the Company ceases recording depreciation and amortization expense related to that property. Real estate held for sale is reported at the lower of its carrying amount or its estimated fair value less estimated costs to sell. |
Reclassifications | Reclassifications Certain reclassifications have been made to amounts in the prior year consolidated statements of operations and comprehensive income to conform to current year presentations as a result of an accounting policy election to classify certain expenses incurred in connection with the extinguishment or modification of debt separately from interest expense. These expenses are recorded in loss on extinguishment of debt and modification costs on the consolidated statements of operations and comprehensive income. As a result, for the three and nine months ended September 30, 2016, interest expense decreased by approximately $0.9 million and $1.7 million, respectively. See Note 6 for additional information. |
Reportable Segment | Reportable Segment Substantially all of the Company’s net income (loss) is from investments in real estate properties within the multifamily sector that the Company owns through LLCs. The Company evaluates operating performance on an individual property level and views its real estate assets as one industry segment and, accordingly, its properties are aggregated into one reportable segment. |
Income Taxes | Income Taxes The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Code and expects to continue to qualify as a REIT. To qualify as a REIT, the Company must meet a number of organizational and operational requirements, including a requirement to distribute annually at least 90% of its “REIT taxable income,” as defined by the Code, to its stockholders. As a REIT, the Company will be subject to federal income tax on its undistributed REIT taxable income and net capital gain and to a 4% nondeductible excise tax on any amount by which distributions it pays with respect to any calendar year are less than the sum of (1) 85% of its ordinary income, (2) 95% of its capital gain net income and (3) 100% of its undistributed income from prior years. The Company intends to operate in such a manner so as to qualify as a REIT, but no assurance can be given that the Company will operate in a manner so as to qualify as a REIT. Taxable income from certain non-REIT activities is managed through a TRS and is subject to applicable federal, state, and local income and margin taxes. The Company has no significant taxes associated with its TRS for the nine months ended September 30, 2017 and 2016. If the Company fails to meet these requirements, it could be subject to federal income tax on all of the Company’s taxable income at regular corporate rates for that year. The Company would not be able to deduct distributions paid to stockholders in any year in which it fails to qualify as a REIT. Additionally, the Company will also be disqualified from electing to be taxed as a REIT for the four taxable years following the year during which qualification was lost unless the Company is entitled to relief under specific statutory provisions. As of September 30, 2017, the Company believes it is in compliance with all applicable REIT requirements. The Company evaluates the accounting and disclosure of tax positions taken or expected to be taken in the course of preparing the Company’s tax returns to determine whether the tax positions are “more-likely-than-not” (greater than 50 percent probability) of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. The Company’s management is required to analyze all open tax years, as defined by the statute of limitations, for all major jurisdictions, which include federal and certain states. The Company has no examinations in progress and none are expected at this time. The Company recognizes its tax positions and evaluates them using a two-step process. First, the Company determines whether a tax position is more likely than not to be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. Second, the Company will determine the amount of benefit to recognize and record the amount that is more likely than not to be realized upon ultimate settlement. The Company had no material unrecognized tax benefit or expense, accrued interest or penalties as of September 30, 2017. The Company and its subsidiaries are subject to federal income tax as well as income tax of various state and local jurisdictions. The 2016 and 2015 tax years remain open to examination by tax jurisdictions to which the Company and its subsidiaries are subject. When applicable, the Company recognizes interest and/or penalties related to uncertain tax positions on its consolidated statements of operations and comprehensive income. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 13(a) of the Exchange Act, for complying with new or revised accounting standards applicable to public companies. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company has elected to take advantage of this extended transition period. As a result of this election, the Company’s financial statements may not be comparable to companies that comply with public company effective dates for such new or revised standards. The Company may elect to comply with public company effective dates at any time, and such election would be irrevocable pursuant to Section 107(b) of the JOBS Act. The following recent accounting pronouncements reflect effective dates that delay the adoption until those standards would otherwise apply to private companies. In January 2017, the FASB issued ASU 2017-01, Clarifying the Definition of a Business (Topic 805) In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash September 30, 2017 September 30, 2016 Cash and cash equivalents $ 92,695 $ 34,086 Restricted cash 29,417 34,110 Total cash and restricted cash $ 122,112 $ 68,196 In February 2015, the FASB issued ASU 2015-02, Amendments to the Consolidation Analysis In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers – Deferral of the Effective Date In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases |
Summary of Significant Accoun21
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Estimated Useful Lives of Assets | Expenditures for improvements, renovations, and replacements are capitalized at cost. Real estate-related depreciation and amortization are computed on a straight-line basis over the estimated useful lives as described in the following table: Land Not depreciated Buildings 30 years Improvements 15 years Furniture, fixtures, and equipment 3 years Intangible lease assets 6 months |
Summary of Company's Cash and Restricted Cash | The following is a summary of the Company’s cash and restricted cash total as presented in the consolidated statements of cash flows for the nine months ended September 30, 2017 and 2016 (in thousands): September 30, 2017 September 30, 2016 Cash and cash equivalents $ 92,695 $ 34,086 Restricted cash 29,417 34,110 Total cash and restricted cash $ 122,112 $ 68,196 |
Investments in Subsidiaries (Ta
Investments in Subsidiaries (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Schedule Of Investments [Abstract] | |
Schedule of Investments | The following table represents the Company’s investments as of September 30, 2017 and December 31, 2016: Property Name Location Year Effective Ownership Percentage at September 30, 2017 Effective Ownership Percentage at December 31, 2016 The Miramar Apartments Dallas, Texas 2013 — (1) 100 % Arbors on Forest Ridge Bedford, Texas 2014 100 % (2) 90 % Cutter’s Point Richardson, Texas 2014 100 % (2) 90 % Eagle Crest Irving, Texas 2014 100 % (2) 90 % Silverbrook Grand Prairie, Texas 2014 100 % (2) 90 % Timberglen (3) Dallas, Texas 2014 100 % (2) 90 % Toscana Dallas, Texas 2014 — (1) 90 % The Grove at Alban Frederick, Maryland 2014 — (1) 76 % (4) Edgewater at Sandy Springs Atlanta, Georgia 2014 100 % (2) 90 % Beechwood Terrace Nashville, Tennessee 2014 100 % (2) 90 % Willow Grove Nashville, Tennessee 2014 100 % (2) 90 % Woodbridge Nashville, Tennessee 2014 100 % (2) 90 % Abbington Heights Antioch, Tennessee 2014 100 % (2) 90 % (4) The Summit at Sabal Park Tampa, Florida 2014 100 % (2) 90 % (4) Courtney Cove Tampa, Florida 2014 100 % (2) 90 % (4) Radbourne Lake Charlotte, North Carolina 2014 100 % (2) 90 % (4) Timber Creek Charlotte, North Carolina 2014 100 % (2) 90 % (4) Belmont at Duck Creek Garland, Texas 2014 100 % (2) 90 % (4) The Arbors Tucker, Georgia 2014 — (1) 90 % (4) The Crossings Marietta, Georgia 2014 — (1) 90 % (4) The Crossings at Holcomb Bridge Roswell, Georgia 2014 — (1) 90 % (4) The Knolls Marietta, Georgia 2014 — (1) 90 % (4) Regatta Bay Seabrook, Texas 2014 — (1) 90 % (4) Sabal Palm at Lake Buena Vista Orlando, Florida 2014 100 % (2) 90 % (4) Southpoint Reserve at Stoney Creek (3) Fredericksburg, Virginia 2014 100 % (2) 85 % (4) Cornerstone Orlando, Florida 2015 100 % (2) 90 % (4) Twelve 6 Ten at the Park Dallas, Texas 2015 — (1) 90 % (4) The Preserve at Terrell Mill Marietta, Georgia 2015 100 % (2) 90 % (4) The Ashlar Dallas, Texas 2015 100 % (2) 90 % (4) Heatherstone Dallas, Texas 2015 100 % (2) 90 % (4) Versailles Dallas, Texas 2015 100 % (2) 90 % (4) Seasons 704 Apartments West Palm Beach, Florida 2015 100 % (2) 90 % (4) Madera Point Mesa, Arizona 2015 100 % (2) 95 % The Pointe at the Foothills Mesa, Arizona 2015 100 % (2) 95 % Venue at 8651 Fort Worth, Texas 2015 100 % (2) 95 % Parc500 West Palm Beach, Florida 2016 100 % (2) 91 % The Colonnade Phoenix, Arizona 2016 100 % (2) 97 % Old Farm Houston, Texas 2016 100 % (2) 100 % (5) Stone Creek at Old Farm Houston, Texas 2016 100 % (2) 100 % (5) Hollister Place Houston, Texas 2017 100 % — (6) Rockledge Apartments Marietta, Georgia 2017 100 % — (6) (1) Properties were sold during the nine months ended September 30, 2017. (2) The Company purchased 100% of the ownership interest in the property held by the noncontrolling interest holders on June 30, 2017 (see Note 10). (3) Properties were classified as held for sale as of September 30, 2017. (4) Properties were considered VIEs at December 31, 2016. (5) Properties were Parked Assets and considered VIEs at December 31, 2016. The Company completed the reverse 1031 Exchanges of these properties during the nine months ended September 30, 2017 with the sales of the replacement properties, at which time legal title to the properties transferred to the Company. Upon the transfer of title, the properties were no longer considered Parked Assets or VIEs (see Note 5). (6) Properties were acquired in 2017; therefore, no ownership as of December 31, 2016. |
Real Estate Investments Stati23
Real Estate Investments Statistics (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Multifamily Properties | |
Business Acquisition [Line Items] | |
Summary of Investment in Multifamily Properties | As of September 30, 2017, the Company is invested in a total of 32 multifamily properties, as listed below: Property Name Rentable Square Footage (in thousands) Number of Units Date Acquired Average Effective Monthly Rent Per Unit (1) % Occupied as of September 30, 2017 (2) % Occupied as of December 31, 2016 (2) Arbors on Forest Ridge 155 210 1/31/2014 859 95.2 % 92.9 % Cutter’s Point 198 196 1/31/2014 1,052 94.4 % 93.9 % Eagle Crest 396 447 1/31/2014 876 95.3 % 94.4 % Silverbrook 526 642 1/31/2014 781 95.6 % 93.5 % Timberglen (3) 221 304 1/31/2014 846 95.1 % 92.8 % Edgewater at Sandy Springs 727 760 7/18/2014 929 94.5 % 94.5 % Beechwood Terrace 272 300 7/21/2014 921 96.0 % 95.3 % Willow Grove 229 244 7/21/2014 912 93.4 % 96.7 % Woodbridge 247 220 7/21/2014 945 95.5 % 87.7 % Abbington Heights 239 274 8/1/2014 879 93.8 % 95.3 % The Summit at Sabal Park 205 252 8/20/2014 907 95.2 % 90.9 % Courtney Cove 225 324 8/20/2014 817 93.8 % 94.4 % Radbourne Lake 247 225 9/30/2014 1,059 93.3 % 96.9 % Timber Creek 248 352 9/30/2014 819 95.2 % 95.5 % Belmont at Duck Creek 198 240 9/30/2014 990 95.4 % 95.0 % Sabal Palm at Lake Buena Vista 371 400 11/5/2014 1,158 93.5 % 95.0 % Southpoint Reserve at Stoney Creek (3) 116 156 12/18/2014 1,069 96.8 % 92.9 % Cornerstone 318 430 1/15/2015 910 94.9 % 95.8 % The Preserve at Terrell Mill 692 752 2/6/2015 850 93.1 % 92.0 % The Ashlar 206 264 2/26/2015 819 92.4 % 91.3 % Heatherstone 116 152 2/26/2015 838 94.1 % 92.8 % Versailles 301 388 2/26/2015 860 95.1 % 93.0 % Seasons 704 Apartments 217 222 4/15/2015 1,056 95.9 % 95.0 % Madera Point 193 256 8/5/2015 797 93.8 % 93.8 % The Pointe at the Foothills 473 528 8/5/2015 817 92.2 % 92.2 % Venue at 8651 289 333 10/30/2015 800 94.3 % 90.4 % Parc500 266 217 7/27/2016 1,167 93.5 % 93.5 % The Colonnade 256 415 10/11/2016 695 92.0 % 88.0 % Old Farm 697 734 12/29/2016 1,177 92.8 % 93.6 % Stone Creek at Old Farm 186 190 12/29/2016 1,186 93.7 % 93.2 % Hollister Place 246 260 2/1/2017 969 93.5 % — (4) Rockledge Apartments 802 708 6/30/2017 1,153 91.9 % — (4) 10,078 11,395 (1) Average effective monthly rent per unit is equal to the average of the contractual rent for commenced leases as of September 30, 2017 minus any tenant concessions over the term of the lease, divided by the number of units under commenced leases as of September 30, 2017. (2) Percent occupied is calculated as the number of units occupied as of September 30, 2017 and December 31, 2016, divided by the total number of units, expressed as a percentage. (3) Properties were classified as held for sale as of September 30, 2017. (4) Properties were acquired in 2017. |
Real Estate Investments (Tables
Real Estate Investments (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Real Estate [Abstract] | |
Summary of Major Components of Investments in Multifamily Properties | As of September 30, 2017, the major components of the Company’s investments in multifamily properties were as follows (in thousands): Operating Properties Land Buildings Intangible Construction in Progress Furniture, Fixtures and Equipment Totals Arbors on Forest Ridge $ 2,330 $ 11,073 $ — $ — $ 794 $ 14,197 Cutter’s Point 3,330 12,995 — — 946 17,271 Eagle Crest 5,450 22,227 — — 1,231 28,908 Silverbrook 4,860 25,643 — — 2,363 32,866 Edgewater at Sandy Springs 14,290 43,959 — 9 4,057 62,315 Beechwood Terrace 1,390 20,662 — 78 1,229 23,359 Willow Grove 3,940 10,739 — — 882 15,561 Woodbridge 3,651 12,995 — 1 1,029 17,676 Abbington Heights 1,770 16,602 — 112 1,101 19,585 The Summit at Sabal Park 5,770 13,355 — — 1,107 20,232 Courtney Cove 5,880 12,913 — — 1,055 19,848 Radbourne Lake 2,440 21,801 — 5 1,255 25,501 Timber Creek 11,260 13,429 — — 1,086 25,775 Belmont at Duck Creek 1,910 17,157 — — 1,170 20,237 Sabal Palm at Lake Buena Vista 7,580 41,173 — — 1,024 49,777 Cornerstone 1,500 30,357 — — 1,395 33,252 The Preserve at Terrell Mill 10,170 48,609 — — 3,895 62,674 The Ashlar 4,090 12,631 — — 1,459 18,180 Heatherstone 2,320 7,862 — — 909 11,091 Versailles 6,720 19,735 — 6 2,155 28,616 Seasons 704 Apartments 7,480 14,071 — 2 867 22,420 Madera Point 4,920 17,369 — 43 1,130 23,462 The Pointe at the Foothills 4,840 46,402 — 108 1,669 53,019 Venue at 8651 2,350 16,910 — 813 1,744 21,817 Parc500 3,860 19,297 — 589 1,217 24,963 The Colonnade 8,340 36,677 — 55 805 45,877 Old Farm 11,078 69,718 — 29 1,304 82,129 Stone Creek at Old Farm 3,493 19,123 — — 350 22,966 Hollister Place 2,782 20,719 — — 593 24,094 Rockledge Apartments 17,451 92,296 3,021 — 1,369 114,137 167,245 768,499 3,021 1,850 41,190 981,805 Accumulated depreciation and amortization — (57,876 ) (1,007 ) — (19,504 ) (78,387 ) Total Operating Properties $ 167,245 $ 710,623 $ 2,014 $ 1,850 $ 21,686 $ 903,418 Held For Sale Properties Timberglen 2,510 14,718 — — 1,049 18,277 Southpoint Reserve at Stoney Creek 6,120 11,252 — — 663 18,035 8,630 25,970 — — 1,712 36,312 Accumulated depreciation and amortization — (2,630 ) — — (767 ) (3,397 ) Total Held For Sale Properties $ 8,630 $ 23,340 $ — $ — $ 945 $ 32,915 Total $ 175,875 $ 733,963 $ 2,014 $ 1,850 $ 22,631 $ 936,333 As of December 31, 2016, the major components of the Company’s investments in multifamily properties were as follows (in thousands): Operating Properties Land Buildings and Improvements Intangible Lease Assets Construction in Progress Furniture, Fixtures and Equipment Totals Arbors on Forest Ridge $ 2,330 $ 11,014 $ — $ 3 $ 717 $ 14,064 Cutter's Point 3,330 12,871 — — 810 17,011 Eagle Crest 5,450 21,990 — — 1,052 28,492 Silverbrook 4,860 25,335 — — 1,996 32,191 Timberglen 2,510 14,527 — — 894 17,931 Edgewater at Sandy Springs 14,290 43,709 — 123 3,295 61,417 Beechwood Terrace 1,390 20,561 — — 940 22,891 Willow Grove 3,940 10,672 — — 668 15,280 Woodbridge 3,650 12,708 — 215 759 17,332 Abbington Heights 1,770 16,426 — 75 916 19,187 The Summit at Sabal Park 5,770 13,342 — 9 956 20,077 Courtney Cove 5,880 12,886 — 42 910 19,718 Radbourne Lake 2,440 21,445 — 257 1,025 25,167 Timber Creek 11,260 13,252 — 69 864 25,445 Belmont at Duck Creek 1,910 17,034 — — 941 19,885 The Arbors 1,730 6,587 — 5 413 8,735 The Crossings 3,982 17,662 — 155 1,429 23,228 The Crossings at Holcomb Bridge 5,560 10,925 — — 1,178 17,663 The Knolls 3,410 17,707 — 8 1,615 22,740 Regatta Bay 1,660 16,155 — 89 891 18,795 Sabal Palm at Lake Buena Vista 7,580 41,147 — 3 874 49,604 Cornerstone 1,500 30,354 — 29 906 32,789 The Preserve at Terrell Mill 10,170 48,163 — 516 2,872 61,721 The Ashlar 4,090 12,348 — 124 1,129 17,691 Heatherstone 2,320 7,521 — 224 749 10,814 Versailles 6,720 20,267 — 286 1,597 28,870 Seasons 704 Apartments 7,480 14,043 — — 696 22,219 Madera Point 4,920 17,079 — 15 865 22,879 The Pointe at the Foothills 4,840 45,975 — 157 1,289 52,261 Venue at 8651 2,350 16,815 — 311 1,162 20,638 Parc500 3,860 18,700 491 113 504 23,668 The Colonnade 8,340 35,473 723 — 376 44,912 Old Farm 11,078 69,580 3,354 — 1,052 85,064 Stone Creek at Old Farm 3,493 19,101 572 — 276 23,442 165,863 733,374 5,140 2,828 36,616 943,821 Accumulated depreciation and amortization — (46,044 ) (650 ) — (13,520 ) (60,214 ) Total Operating Properties $ 165,863 $ 687,330 $ 4,490 $ 2,828 $ 23,096 $ 883,607 Held For Sale Properties The Grove at Alban 3,640 19,033 — — 1,318 23,991 The Miramar Apartments 1,580 8,870 — — 711 11,161 Toscana 1,730 7,341 — 3 684 9,758 Southpoint Reserve at Stoney Creek 6,120 11,218 — 31 605 17,974 Twelve 6 Ten at the Park 3,610 18,088 — 21 925 22,644 16,680 64,550 — 55 4,243 85,528 Accumulated depreciation and amortization — (4,896 ) — — (1,202 ) (6,098 ) Total Held For Sale Properties $ 16,680 $ 59,654 $ — $ 55 $ 3,041 $ 79,430 Total $ 182,543 $ 746,984 $ 4,490 $ 2,883 $ 26,137 $ 963,037 |
Schedule for Acquisitions of Real Estate | The following table presents the Company’s acquisitions of real estate during the nine months ended September 30, 2017 (dollars in thousands); Property Name Location Date of Acquisition Purchase Price Debt (1) # Units Effective Ownership Hollister Place Houston, Texas February 1, 2017 $ 24,500 $ 24,500 260 100 % Rockledge Apartments Marietta, Georgia June 30, 2017 113,500 113,500 708 100 % $ 138,000 $ 138,000 968 (1) For additional information regarding the Company’s debt, see Note 6. |
Summary of Sold Properties | The following table presents the Company’s sales of real estate during the nine months ended September 30, 2017 (in thousands). The Company sold seven properties for approximately $134.0 million during the nine months ended September 30, 2016. Property Name Location Date of Sale Sales Price Net Cash Proceeds Gain on Sale of Real Estate The Miramar Apartments (2) Dallas, Texas April 3, 2017 $ 16,550 $ 16,326 $ 6,368 Toscana (3) Dallas, Texas April 3, 2017 13,250 13,040 4,283 The Grove at Alban Frederick, Maryland April 3, 2017 27,500 27,021 4,514 Twelve 6 Ten at the Park (2) Dallas, Texas April 27, 2017 26,600 26,349 4,731 Regatta Bay (4) Seabrook, Texas July 14, 2017 28,200 27,670 10,423 The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls (5) Atlanta, Georgia September 29, 2017 116,000 114,010 48,067 $ 228,100 $ 224,416 (6) $ 78,386 (1) Represents sales price, net of closing costs. (2) The Company completed the reverse 1031 Exchange of Old Farm with the sales of The Miramar Apartments and Twelve 6 Ten at the Park. (3) The Company completed the reverse 1031 Exchange of Stone Creek at Old Farm with the sale of Toscana. (4) The Company completed the reverse 1031 Exchange of Hollister Place with the sale of Regatta Bay. (5) Properties were sold as a portfolio. The Company completed the reverse 1031 Exchange of Rockledge Apartments with the sales of The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls (the “NAVA Portfolio”). Approximately $14.1 million of the proceeds from the sale of the NAVA Portfolio was placed with a qualified intermediary for use in a forward 1031 Exchange that was completed on October 25, 2017 (see Note 13). (6) During the nine months ended September 30, 2017, the Company used cash on hand plus its share of the proceeds, net of mortgage repayments and distributions to noncontrolling interests, from the sales of these properties to repay the entire $30.0 million outstanding on its 2016 bridge facility, which retired the bridge facility, to pay down $10.0 million on its $30.0 million credit facility and to pay down approximately $11.3 million on its 2017 bridge facility (see Note 6). |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Summary of Mortgage Debt of Company and Encumbers Multifamily Properties | The following table contains summary information concerning the mortgage debt of the Company as of September 30, 2017 (dollars in thousands): Operating Properties Type Term Outstanding Principal (1) Interest Rate (2) Maturity Date Arbors on Forest Ridge (3) Floating 84 $ 13,130 2.91% 7/1/2024 Cutter's Point (3) Floating 84 16,640 2.91% 7/1/2024 Eagle Crest (3) Floating 84 29,510 2.91% 7/1/2024 Silverbrook (3) Floating 84 30,590 2.91% 7/1/2024 Edgewater at Sandy Springs (3) Floating 84 52,000 2.91% 7/1/2024 Beechwood Terrace (3) Floating 84 20,150 2.91% 7/1/2024 Willow Grove (3) Floating 84 14,818 3.01% 7/1/2024 Woodbridge (3) Floating 84 13,677 3.01% 7/1/2024 The Summit at Sabal Park (3) Floating 84 13,560 2.85% 7/1/2024 Courtney Cove (3) Floating 84 13,680 2.85% 7/1/2024 The Preserve at Terrell Mill (3) Floating 84 42,480 2.85% 7/1/2024 The Ashlar (3) Floating 84 14,520 2.85% 7/1/2024 Heatherstone (3) Floating 84 8,880 2.85% 7/1/2024 Versailles (3) Floating 84 23,880 2.85% 7/1/2024 Seasons 704 Apartments (3) Floating 84 17,460 2.85% 7/1/2024 Madera Point (3) Floating 84 15,150 2.85% 7/1/2024 The Pointe at the Foothills (3) Floating 84 34,800 2.85% 7/1/2024 Venue at 8651 (3) Floating 84 13,734 3.01% 7/1/2024 The Colonnade (3) Floating 84 28,093 2.91% 7/1/2024 Old Farm (3) Floating 84 52,886 2.91% 7/1/2024 Stone Creek at Old Farm (3) Floating 84 15,274 2.91% 7/1/2024 Timber Creek (4) Floating 120 19,482 3.05% 10/1/2024 Radbourne Lake (4) Floating 120 19,213 3.04% 10/1/2024 Sabal Palm at Lake Buena Vista (4) Floating 120 37,680 3.04% 12/1/2024 Abbington Heights (5) Fixed 120 10,053 3.79% 9/1/2022 Belmont at Duck Creek (6) Fixed 84 10,995 4.68% 9/1/2018 Cornerstone (7) Fixed 120 22,771 4.24% 3/1/2023 Parc500 (8) Fixed 120 15,793 4.49% 8/1/2025 Hollister Place (3) Floating 84 13,475 3.47% 2/1/2024 Rockledge Apartments (3) Floating 84 68,100 2.80% 7/1/2024 $ 702,474 Fair market value adjustment 852 (9) Deferred financing costs, net of accumulated amortization of $592 (8,358 ) $ 694,968 Held for Sale Properties Timberglen (3) Floating 84 17,226 3.11% 7/1/2024 Southpoint Reserve at Stoney Creek (3) Floating 84 13,600 3.34% 1/1/2022 $ 30,826 Deferred financing costs, net of accumulated amortization of $80 (499 ) $ 30,327 (1) Mortgage debt that is non-recourse to the Company and encumbers the multifamily properties. (2) Interest rate is based on one-month LIBOR plus an applicable margin, except for fixed rate mortgage debt. One-month LIBOR as of September 30, 2017 was 1.2322%. (3) Loan can be pre-paid in the first 12 months of the term at par plus 5.00%. Starting in the 13 th st (4) Loan can be pre-paid in the first 12 months of the term at par plus 5.00%. Starting in the 13 th th (5) Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last three months of the term. (6) Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last six months of the term. (7) Debt in the amount of $18.0 million was assumed upon acquisition of this property at approximated fair value. The assumed debt carries a 4.09% fixed rate, was originally issued in March 2013, and had a term of 120 months with an initial 24 months of interest only. At the time of acquisition, the principal balance of the first mortgage remained unchanged and had a remaining term of 98 months with 2 months of interest only. The first mortgage is pre-payable and subject to yield maintenance from month 13 through August 31, 2022 and is pre-payable at par September 1, 2022 until maturity. Concurrently with the acquisition of the property, the Company placed a supplemental second mortgage on the property with a principal amount of approximately $5.8 million, a fixed rate of 4.70%, and with a maturity date that is the same time as the first mortgage. The supplemental second mortgage is pre-payable and subject to yield maintenance from the date of issuance through August 31, 2022 and is pre-payable at par September 1, 2022 until maturity. As of September 30, 2017, the total indebtedness secured by the property had a blended interest rate of 4.24%. (8) Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last four months of the term. (9) The Company reflected valuation adjustments on its fixed rate debt for Belmont at Duck Creek and Parc500 to adjust it to fair market value on the date of acquisition for the difference between the fair value and the assumed principal amount of debt. The difference is amortized into interest expense over the remaining terms of the mortgages. |
Sale of Properties and Repayment of Related Mortgage Loans | During the nine months ended September 30, 2017, the Company sold nine properties and repaid the related mortgage loans that encumbered eight of the properties, as detailed in the table below (in thousands): Property Name Date of Sale Type Outstanding Principal (1) The Miramar Apartments April 3, 2017 Floating $ 8,400 The Grove at Alban April 3, 2017 Floating 18,374 Twelve 6 Ten at the Park April 27, 2017 Floating 15,711 Regatta Bay July 14, 2017 Floating 14,000 The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls (2) September 29, 2017 Floating 50,177 $ 106,662 (1) Represents the outstanding principal balance when the loan was repaid. (2) Properties were sold as a portfolio. |
Summary of Credit and Bridge Facilities | The following table contains summary information concerning the Company’s credit and bridge facilities as of September Type Term Amortization (months) Outstanding Principal Interest Rate (1) Maturity Date $30 Million Credit Facility Floating 24 360 $ 30,000 5.23% 12/29/2018 Deferred financing costs, net of accumulated amortization of $115 (197 ) $ 29,803 2017 Bridge Facility Floating 4 360 $ 54,597 4.98% 10/31/2017 Deferred financing costs, net of accumulated amortization of $198 (66 ) $ 54,531 (1) Interest rate is based on one-month LIBOR plus an applicable margin. One-month LIBOR as of September 30, 2017 was 1.2322%. |
Schedule of Debt Maturities | The aggregate scheduled maturities, including amortizing principal payments, of total debt for the next five calendar years subsequent to September 30, 2017 are as follows (in thousands): Operating Properties & Other Secured Debt Held For Sale Properties Total 2017 $ 54,993 $ — $ 54,993 2018 43,352 276 43,628 2019 2,448 309 2,757 2020 2,483 316 2,799 2021 2,531 326 2,857 Thereafter 681,264 29,599 710,863 Total $ 787,071 $ 30,826 $ 817,897 |
Fair Value of Derivative and 26
Fair Value of Derivative and Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Summary of Company's Outstanding Interest Rate Swaps | As of September 30, 2017, the Company had the following outstanding interest rate swaps that were designated as cash flow hedges of interest rate risk (dollars in thousands): Effective Date Termination Date Notional Fixed Rate Floating Rate Option (1) July 1, 2016 June 1, 2021 $ 100,000 1.1055 % One-month LIBOR July 1, 2016 June 1, 2021 100,000 1.0210 % One-month LIBOR July 1, 2016 June 1, 2021 100,000 0.9000 % One-month LIBOR September 1, 2016 June 1, 2021 100,000 0.9560 % One-month LIBOR April 1, 2017 April 1, 2022 100,000 1.9570 % One-month LIBOR May 1, 2017 April 1, 2022 50,000 1.9610 % One-month LIBOR July 1, 2017 July 1, 2022 100,000 1.7820 % One-month LIBOR $ 650,000 1.3388 % (2) (1) As of September 30, 2017, one-month LIBOR was 1.2322%. (2) Represents the weighted average fixed rate of the interest rate swaps. |
Schedule of Outstanding Interest Rate Derivatives | As of September 30, 2017, the Company had the following outstanding derivatives that were not designated as hedges in qualifying hedging relationships (dollars in thousands): Product Number of Instruments Notional Interest rate caps 17 $ 293,184 |
Summary of Derivative Financial Instruments and Classification on the Consolidated Balance Sheet | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of September 30, 2017 and December 31, 2016 (in thousands): Asset Derivatives Liability Derivatives Balance Sheet Location September 30, 2017 December 31, 2016 September 30, 2017 December 31, 2016 Derivatives designated as hedging instruments: Interest rate swaps Fair market value of interest rate swaps $ 11,759 $ 12,413 $ 713 (1) $ — Derivatives not designated as hedging instruments: Interest rate caps Prepaid and other assets — 5 — — Total $ 11,759 $ 12,418 $ 713 $ — (1) Included in accounts payable and other accrued liabilities on the consolidated balance sheet. |
Summary of Derivative Financial Instruments and Combined Consolidated Statements of Operations and Comprehensive Loss | The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income for the three and nine months ended September 30, 2017 and 2016 (in thousands): Amount of gain (loss) recognized in OCI on derivative (effective portion) Location of gain (loss) reclassified from accumulated OCI into income Amount of gain (loss) reclassified from accumulated OCI into income (effective portion) Location of gain (loss) recognized in income on derivative Amount of gain (loss) recognized in income on derivative (ineffective portion)* 2017 2016 (effective portion) 2017 2016 (ineffective portion)* 2017 2016 Derivatives designated as hedging instruments: For the three months ended September 30, Interest rate products (241 ) (1,576 ) Interest expense (360 ) (479 ) Interest expense (63 ) (1) 599 For the nine months ended September 30, Interest rate products (2,162 ) (1,619 ) Interest expense (1,142 ) (491 ) Interest expense (88 ) (2) 599 * Includes amounts excluded from effectiveness testing. (1) Includes approximately $90,000 of loss reclassified from OCI for missed forecasted transactions due to hedged forecasted transactions being no longer probable. (2) Includes approximately $185,000 of loss reclassified from OCI for missed forecasted transactions due to hedged forecasted transactions being no longer probable. Location of gain (loss) Amount of gain (loss) recognized in income on derivative recognized in income 2017 2016 Derivatives not designated as hedging instruments: For the three months ended September 30, Interest rate products Interest expense — (2 ) For the nine months ended September 30, Interest rate products Interest expense (5 ) (8 ) |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Summary of Restricted Stock Units | The following table includes the number of restricted stock units granted, vested, forfeited and outstanding as of September 30, 2017: 2017 Number of Units Weighted Average Grant Date Fair Value Outstanding January 1, 209,797 $ 19.20 Granted 219,802 22.57 Vested (110,257 ) 19.20 Forfeited — — Outstanding September 30, 319,342 (1) $ 21.52 (1) 49,768 restricted stock units vest in August 2018 and 49,772 restricted stock units vest in August 2019. 80,742 restricted stock units vest in March 2018 and 69,530 restricted stock units vest in each of March 2019 and March 2020. |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share for the periods presented (in thousands, except per share amounts): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2017 2016 2017 2016 Numerator for earnings per share: Net income $ 54,076 $ 8,825 $ 60,702 $ 25,712 Net income attributable to noncontrolling interests — 1,735 2,836 4,047 Net income attributable to redeemable noncontrolling interests in the Operating Partnership 162 — 162 — Net income attributable to common stockholders $ 53,914 $ 7,090 $ 57,704 $ 21,665 Denominator for earnings per share: Weighted average common shares outstanding 21,085 21,260 21,057 21,282 Denominator for basic earnings per share 21,085 21,260 21,057 21,282 Unvested restricted stock units 368 116 350 40 Denominator for diluted earnings per share 21,453 21,376 21,407 21,322 Earnings per weighted average common share: Basic $ 2.56 $ 0.33 $ 2.74 $ 1.02 Diluted $ 2.51 $ 0.33 $ 2.70 $ 1.02 |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Noncontrolling Interest [Abstract] | |
Schedule of Redeemable Noncontrolling Interests | The following table sets forth the redeemable noncontrolling interests in the OP for the nine months ended September 30, 2017 (in thousands): Redeemable noncontrolling interests in the OP, December 31, 2016 $ — Issuance of redeemable noncontrolling interests in the OP 2,000 Net income attributable to redeemable noncontrolling interests in the OP 162 Other comprehensive income attributable to redeemable noncontrolling interests in the OP 1 Distributions to redeemable noncontrolling interests in the OP (53 ) Redeemable noncontrolling interests in the OP, September 30, 2017 $ 2,110 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Related Party Transactions [Abstract] | |
Summary of Fees Incurred to BH And Its Affiliates As Well As Reimbursements Paid to BH | The following is a summary of fees that the properties incurred to BH and its affiliates, as well as reimbursements paid to BH from the properties for various operating expenses, for the three and nine months ended September 30, 2017 and 2016 (in thousands): For the Three Months Ended September 30, For the Nine Months Ended September 30, 2017 2016 2017 2016 Fees incurred Property management fees (1) $ 1,110 $ 989 $ 3,280 $ 3,007 Construction supervision fees (2) 213 247 651 624 Acquisition fees (3) — 139 505 139 Reimbursements Payroll and benefits (4) 4,131 4,140 11,855 12,212 Other reimbursements (5) 432 460 1,457 1,465 (1) Included in property management fees on the consolidated statements of operations and comprehensive income. (2) Capitalized on the consolidated balance sheets and reflected in buildings and improvements. (3) Includes due diligence costs. Acquisition fees incurred prior to October 1, 2016 are included in acquisition costs on the consolidated statements of operations and comprehensive income. Acquisition fees incurred for the period beginning on October 1, 2016 are capitalized to operating real estate assets on the consolidated balance sheets. (4) Included in property operating expenses on the consolidated statements of operations and comprehensive income. (5) Includes property operating expenses such as repairs and maintenance costs and certain property general and administrative expenses, which are included on the consolidated statements of operations and comprehensive income. |
Subsequent Events (Tables)
Subsequent Events (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Schedule for Acquisitions of Real Estate | The following table presents the Company’s acquisitions of real estate during the nine months ended September 30, 2017 (dollars in thousands); Property Name Location Date of Acquisition Purchase Price Debt (1) # Units Effective Ownership Hollister Place Houston, Texas February 1, 2017 $ 24,500 $ 24,500 260 100 % Rockledge Apartments Marietta, Georgia June 30, 2017 113,500 113,500 708 100 % $ 138,000 $ 138,000 968 (1) For additional information regarding the Company’s debt, see Note 6. |
Multifamily Properties | |
Schedule for Acquisitions of Real Estate | Subsequent to September 30, 2017, the Company acquired the following property through a 1031 Exchange with the NAVA Portfolio and a reverse 1031 Exchange with Timberglen (anticipated to close in the first quarter of 2018) (dollars in thousands) (unaudited): Property Name Location Date of Acquisition Purchase Price Debt # Units Ownership Atera Dallas, Texas October 25, 2017 $ 59,200 (1) $ 29,500 (2) 380 100 % (1) The Company used approximately $14.1 million of proceeds from the sale of the NAVA Portfolio to fund part of the equity portion of the purchase price. (2) The Company placed a first mortgage on the property with a floating interest rate at 1.48% over one-month LIBOR and an 84-month term that is full-term, interest-only. |
Organization and Description 32
Organization and Description of Business - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2017shares | |
Real Estate Properties [Line Items] | |
Date of incorporation | Sep. 19, 2014 |
OP Units, outstanding | 21,116,902 |
OP Units, outstanding owned by company | 21,043,669 |
Percentage of OP Units, outstanding owned by company | 99.70% |
OP Units, outstanding owned by unaffiliated limited partner | 73,233 |
Percentage of OP Units, outstanding owned by unaffiliated limited partner | 0.30% |
Maximum | |
Real Estate Properties [Line Items] | |
Investments in real estate-related debt and securities | 30.00% |
OP | |
Real Estate Properties [Line Items] | |
Percentage of ownership in portfolio | 99.90% |
TRS | |
Real Estate Properties [Line Items] | |
Percentage of ownership in portfolio | 0.10% |
Summary of Significant Accoun33
Summary of Significant Accounting Policies - Estimated Useful Lives of Assets (Details) | 9 Months Ended |
Sep. 30, 2017 | |
Land | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | Not depreciated |
Buildings | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 30 years |
Improvements | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 15 years |
Furniture, Fixtures, and Equipment | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 3 years |
Intangible Lease Assets | |
Property Plant And Equipment [Line Items] | |
Estimated useful lives of assets | 6 months |
Summary of Significant Accoun34
Summary of Significant Accounting Policies - Additional Information (Details) | Jan. 01, 2016USD ($) | Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($)Segment | Sep. 30, 2016USD ($) |
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of reportable segments | Segment | 1 | |||
Minimum percentage of distributed taxable income to qualify as REIT | 90.00% | |||
Percentage of non-deductible excise tax on distribution | 4.00% | |||
Percentage of ordinary income considered for payment of distribution | 85.00% | |||
Percentage of capital gain net income considered for payment of distribution | 95.00% | |||
Percentage of undistributed income of prior considered for payment of distribution | 100.00% | |||
Unrecognized tax benefit or expense, accrued interest or penalties | $ 0 | |||
Net cash provided by operating activities | 27,499,000 | $ 26,281,000 | ||
Net cash used in investing activities | 67,618,000 | 105,865,000 | ||
Increase (decrease) in cash and restricted cash | $ 66,851,000 | 5,101,000 | ||
Minimum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Percentage of uncertain tax positions likelihood of being sustained | 50.00% | |||
Reclassifications | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Interest expense decreased | $ 900,000 | 1,700,000 | ||
Reclassification of deferred financing costs, net | ASU 2016-18 | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Net cash provided by operating activities | (2,200,000) | |||
Net cash used in investing activities | $ 10,600,000 | |||
Increase (decrease) in cash and restricted cash | $ 46,900,000 |
Summary of Significant Accoun35
Summary of Significant Accounting Policies - Summary of Company's Cash and Restricted Cash (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 |
Cash And Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 92,695 | $ 22,705 | $ 34,086 | |
Restricted cash | 29,417 | 32,556 | 34,110 | |
Total cash and restricted cash | $ 122,112 | $ 55,261 | $ 68,196 | $ 63,095 |
Investments in Subsidiaries - A
Investments in Subsidiaries - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2017subsidiary | |
Schedule Of Investments [Abstract] | |
Consolidated investment in single-asset LLCs | 100.00% |
Number of wholly owned subsidiaries | 32 |
Investments in Subsidiaries - S
Investments in Subsidiaries - Schedule of Investments (Details) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
The Miramar Apartments | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,013 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Arbors on Forest Ridge | Bedford | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Cutter’s Point | Richardson | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Eagle Crest | Irving | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Silverbrook | Grand Prairie | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Timberglen | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Toscana | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 90.00% | |
The Grove at Alban | Frederick | Maryland | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
The Grove at Alban | Frederick | Maryland | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 76.00% | |
Edgewater at Sandy Springs | Atlanta | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Beechwood Terrace | Nashville | Tennessee | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Willow Grove | Nashville | Tennessee | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Woodbridge | Nashville | Tennessee | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 90.00% |
Abbington Heights | Antioch | Tennessee | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Abbington Heights | Antioch | Tennessee | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Summit at Sabal Park | Tampa | Florida | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
The Summit at Sabal Park | Tampa | Florida | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Courtney Cove | Tampa | Florida | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Courtney Cove | Tampa | Florida | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Radbourne Lake | Charlotte | North Carolina | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Radbourne Lake | Charlotte | North Carolina | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Timber Creek | Charlotte | North Carolina | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Timber Creek | Charlotte | North Carolina | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Belmont at Duck Creek | Garland | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Belmont at Duck Creek | Garland | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Arbors | Tucker | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
The Arbors | Tucker | Georgia | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Crossings | Marietta | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
The Crossings | Marietta | Georgia | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Crossings at Holcomb Bridge | Roswell | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
The Crossings at Holcomb Bridge | Roswell | Georgia | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Knolls | Marietta | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
The Knolls | Marietta | Georgia | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Regatta Bay | Seabrook | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Regatta Bay | Seabrook | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Sabal Palm at Lake Buena Vista | Orlando | Florida | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Sabal Palm at Lake Buena Vista | Orlando | Florida | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Southpoint Reserve at Stoney Creek | Fredericksburg | Virginia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,014 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Southpoint Reserve at Stoney Creek | Fredericksburg | Virginia | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 85.00% | |
Cornerstone | Orlando | Florida | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Cornerstone | Orlando | Florida | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Twelve 6 Ten at the Park | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Twelve 6 Ten at the Park | Dallas | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Preserve at Terrell Mill | Marietta | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
The Preserve at Terrell Mill | Marietta | Georgia | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
The Ashlar | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
The Ashlar | Dallas | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Heatherstone | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Heatherstone | Dallas | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Versailles | Dallas | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Versailles | Dallas | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Seasons 704 Apartments | West Palm Beach | Florida | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Seasons 704 Apartments | West Palm Beach | Florida | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 90.00% | |
Madera Point | Mesa | Arizona | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 95.00% |
The Pointe at the Foothills | Mesa | Arizona | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 95.00% |
Venue at 8651 | Fort Worth | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,015 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 95.00% |
Parc500 | West Palm Beach | Florida | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,016 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 91.00% |
The Colonnade | Phoenix | Arizona | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,016 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | 97.00% |
Old Farm | Houston | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,016 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Old Farm | Houston | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 100.00% | |
Stone Creek at Old Farm | Houston | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,016 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Stone Creek at Old Farm | Houston | Texas | Variable Interest Entities | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Effective ownership percentage, variable interest entities | 100.00% | |
Hollister Place | Houston | Texas | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,017 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Rockledge Apartments | Marietta | Georgia | ||
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | ||
Year of acquisition | 2,017 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% |
Investments in Subsidiaries -38
Investments in Subsidiaries - Schedule of Investments (Parenthetical) (Details) | Sep. 30, 2017 |
Voting Interest Entities | Noncontrolling Interests | |
Wholly Owned Subsidiaries And Variable Interest Entities [Line Items] | |
Acquisition of ownership interest in property held by noncontrolling interest, percentage | 100.00% |
Real Estate Investments Stati39
Real Estate Investments Statistics - Additional Information (Details) | Sep. 30, 2017Property |
Multifamily Properties | |
Business Acquisition [Line Items] | |
Number of multifamily properties | 32 |
Real Estate Investments Stati40
Real Estate Investments Statistics - Summary of Investment in Multifamily Properties (Details) ft² in Thousands | 9 Months Ended | ||
Sep. 30, 2017ft²Property$ / Units | Dec. 31, 2016 | ||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 10,078 | ||
Number of Units | Property | 11,395 | ||
Arbors on Forest Ridge | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 155 | ||
Number of Units | Property | 210 | ||
Date Acquired | Jan. 31, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 859 | |
% Occupied | [2] | 95.20% | 92.90% |
Cutter’s Point | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 198 | ||
Number of Units | Property | 196 | ||
Date Acquired | Jan. 31, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,052 | |
% Occupied | [2] | 94.40% | 93.90% |
Eagle Crest | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 396 | ||
Number of Units | Property | 447 | ||
Date Acquired | Jan. 31, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 876 | |
% Occupied | [2] | 95.30% | 94.40% |
Silverbrook | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 526 | ||
Number of Units | Property | 642 | ||
Date Acquired | Jan. 31, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 781 | |
% Occupied | [2] | 95.60% | 93.50% |
Timberglen | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | [3] | 221 | |
Number of Units | Property | [3] | 304 | |
Date Acquired | [3] | Jan. 31, 2014 | |
Average Effective Monthly Rent Per Unit | $ / Units | [1],[3] | 846 | |
% Occupied | [2],[3] | 95.10% | 92.80% |
Edgewater at Sandy Springs | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 727 | ||
Number of Units | Property | 760 | ||
Date Acquired | Jul. 18, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 929 | |
% Occupied | [2] | 94.50% | 94.50% |
Beechwood Terrace | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 272 | ||
Number of Units | Property | 300 | ||
Date Acquired | Jul. 21, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 921 | |
% Occupied | [2] | 96.00% | 95.30% |
Willow Grove | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 229 | ||
Number of Units | Property | 244 | ||
Date Acquired | Jul. 21, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 912 | |
% Occupied | [2] | 93.40% | 96.70% |
Woodbridge | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 247 | ||
Number of Units | Property | 220 | ||
Date Acquired | Jul. 21, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 945 | |
% Occupied | [2] | 95.50% | 87.70% |
Abbington Heights | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 239 | ||
Number of Units | Property | 274 | ||
Date Acquired | Aug. 1, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 879 | |
% Occupied | [2] | 93.80% | 95.30% |
The Summit at Sabal Park | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 205 | ||
Number of Units | Property | 252 | ||
Date Acquired | Aug. 20, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 907 | |
% Occupied | [2] | 95.20% | 90.90% |
Courtney Cove | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 225 | ||
Number of Units | Property | 324 | ||
Date Acquired | Aug. 20, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 817 | |
% Occupied | [2] | 93.80% | 94.40% |
Radbourne Lake | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 247 | ||
Number of Units | Property | 225 | ||
Date Acquired | Sep. 30, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,059 | |
% Occupied | [2] | 93.30% | 96.90% |
Timber Creek | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 248 | ||
Number of Units | Property | 352 | ||
Date Acquired | Sep. 30, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 819 | |
% Occupied | [2] | 95.20% | 95.50% |
Belmont at Duck Creek | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 198 | ||
Number of Units | Property | 240 | ||
Date Acquired | Sep. 30, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 990 | |
% Occupied | [2] | 95.40% | 95.00% |
Sabal Palm at Lake Buena Vista | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 371 | ||
Number of Units | Property | 400 | ||
Date Acquired | Nov. 5, 2014 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,158 | |
% Occupied | [2] | 93.50% | 95.00% |
Southpoint Reserve at Stoney Creek | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | [3] | 116 | |
Number of Units | Property | [3] | 156 | |
Date Acquired | [3] | Dec. 18, 2014 | |
Average Effective Monthly Rent Per Unit | $ / Units | [1],[3] | 1,069 | |
% Occupied | [2],[3] | 96.80% | 92.90% |
Cornerstone | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 318 | ||
Number of Units | Property | 430 | ||
Date Acquired | Jan. 15, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 910 | |
% Occupied | [2] | 94.90% | 95.80% |
The Preserve at Terrell Mill | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 692 | ||
Number of Units | Property | 752 | ||
Date Acquired | Feb. 6, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 850 | |
% Occupied | [2] | 93.10% | 92.00% |
The Ashlar | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 206 | ||
Number of Units | Property | 264 | ||
Date Acquired | Feb. 26, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 819 | |
% Occupied | [2] | 92.40% | 91.30% |
Heatherstone | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 116 | ||
Number of Units | Property | 152 | ||
Date Acquired | Feb. 26, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 838 | |
% Occupied | [2] | 94.10% | 92.80% |
Versailles | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 301 | ||
Number of Units | Property | 388 | ||
Date Acquired | Feb. 26, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 860 | |
% Occupied | [2] | 95.10% | 93.00% |
Seasons 704 Apartments | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 217 | ||
Number of Units | Property | 222 | ||
Date Acquired | Apr. 15, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,056 | |
% Occupied | [2] | 95.90% | 95.00% |
Madera Point | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 193 | ||
Number of Units | Property | 256 | ||
Date Acquired | Aug. 5, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 797 | |
% Occupied | [2] | 93.80% | 93.80% |
The Pointe at the Foothills | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 473 | ||
Number of Units | Property | 528 | ||
Date Acquired | Aug. 5, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 817 | |
% Occupied | [2] | 92.20% | 92.20% |
Venue at 8651 | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 289 | ||
Number of Units | Property | 333 | ||
Date Acquired | Oct. 30, 2015 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 800 | |
% Occupied | [2] | 94.30% | 90.40% |
Parc500 | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 266 | ||
Number of Units | Property | 217 | ||
Date Acquired | Jul. 27, 2016 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,167 | |
% Occupied | [2] | 93.50% | 93.50% |
The Colonnade | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 256 | ||
Number of Units | Property | 415 | ||
Date Acquired | Oct. 11, 2016 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 695 | |
% Occupied | [2] | 92.00% | 88.00% |
Old Farm | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 697 | ||
Number of Units | Property | 734 | ||
Date Acquired | Dec. 29, 2016 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,177 | |
% Occupied | [2] | 92.80% | 93.60% |
Stone Creek at Old Farm | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 186 | ||
Number of Units | Property | 190 | ||
Date Acquired | Dec. 29, 2016 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,186 | |
% Occupied | [2] | 93.70% | 93.20% |
Hollister Place | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 246 | ||
Number of Units | Property | 260 | ||
Date Acquired | Feb. 1, 2017 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 969 | |
% Occupied | [2] | 93.50% | |
Rockledge Apartments | |||
Real Estate Properties [Line Items] | |||
Rentable Square Footage | ft² | 802 | ||
Number of Units | Property | 708 | ||
Date Acquired | Jun. 30, 2017 | ||
Average Effective Monthly Rent Per Unit | $ / Units | [1] | 1,153 | |
% Occupied | [2] | 91.90% | |
[1] | Average effective monthly rent per unit is equal to the average of the contractual rent for commenced leases as of September 30, 2017 minus any tenant concessions over the term of the lease, divided by the number of units under commenced leases as of September 30, 2017 | ||
[2] | Percent occupied is calculated as the number of units occupied as of September 30, 2017 and December 31, 2016, divided by the total number of units, expressed as a percentage. | ||
[3] | Properties were classified as held for sale as of September 30, 2017. |
Real Estate Investments - Summa
Real Estate Investments - Summary of Major Components of Investments in Multifamily Properties (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Real Estate Properties [Line Items] | ||
Land | $ 167,245 | $ 165,863 |
Buildings and improvements | 768,499 | 733,374 |
Intangible lease assets | 3,021 | 5,140 |
Construction in progress | 1,850 | 2,828 |
Furniture, fixtures, and equipment | 41,190 | 36,616 |
Real estate investment, gross | 981,805 | 943,821 |
Accumulated depreciation and amortization | (78,387) | (60,214) |
Total Net Operating Real Estate Investments | 903,418 | 883,607 |
Accumulated depreciation and amortization | (3,397) | (6,099) |
Total Held For Sale Properties | 32,915 | 79,430 |
Total Net Real Estate Investments | 936,333 | 963,037 |
Multifamily Properties | ||
Real Estate Properties [Line Items] | ||
Accumulated depreciation and amortization | (3,397) | (6,098) |
Total Held For Sale Properties | 32,915 | 79,430 |
Total Net Real Estate Investments | 936,333 | 963,037 |
Multifamily Properties | Intangible Lease Assets | ||
Real Estate Properties [Line Items] | ||
Total Net Real Estate Investments | 2,014 | 4,490 |
Multifamily Properties | Land | ||
Real Estate Properties [Line Items] | ||
Total Held For Sale Properties | 8,630 | 16,680 |
Total Net Real Estate Investments | 175,875 | 182,543 |
Multifamily Properties | Buildings and Improvements | ||
Real Estate Properties [Line Items] | ||
Accumulated depreciation and amortization | (2,630) | (4,896) |
Total Held For Sale Properties | 23,340 | 59,654 |
Total Net Real Estate Investments | 733,963 | 746,984 |
Multifamily Properties | Construction in Progress | ||
Real Estate Properties [Line Items] | ||
Total Held For Sale Properties | 55 | |
Total Net Real Estate Investments | 1,850 | 2,883 |
Multifamily Properties | Furniture, Fixtures, and Equipment | ||
Real Estate Properties [Line Items] | ||
Accumulated depreciation and amortization | (767) | (1,202) |
Total Held For Sale Properties | 945 | 3,041 |
Total Net Real Estate Investments | 22,631 | 26,137 |
Multifamily Properties | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 36,312 | 85,528 |
Multifamily Properties | Held For Sale Properties | Land | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 8,630 | 16,680 |
Multifamily Properties | Held For Sale Properties | Buildings and Improvements | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 25,970 | 64,550 |
Multifamily Properties | Held For Sale Properties | Construction in Progress | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 55 | |
Multifamily Properties | Held For Sale Properties | Furniture, Fixtures, and Equipment | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 1,712 | 4,243 |
Multifamily Properties | Arbors on Forest Ridge | ||
Real Estate Properties [Line Items] | ||
Land | 2,330 | 2,330 |
Buildings and improvements | 11,073 | 11,014 |
Construction in progress | 3 | |
Furniture, fixtures, and equipment | 794 | 717 |
Real estate investment, gross | 14,197 | 14,064 |
Multifamily Properties | Cutter’s Point | ||
Real Estate Properties [Line Items] | ||
Land | 3,330 | 3,330 |
Buildings and improvements | 12,995 | 12,871 |
Furniture, fixtures, and equipment | 946 | 810 |
Real estate investment, gross | 17,271 | 17,011 |
Multifamily Properties | Eagle Crest | ||
Real Estate Properties [Line Items] | ||
Land | 5,450 | 5,450 |
Buildings and improvements | 22,227 | 21,990 |
Furniture, fixtures, and equipment | 1,231 | 1,052 |
Real estate investment, gross | 28,908 | 28,492 |
Multifamily Properties | Silverbrook | ||
Real Estate Properties [Line Items] | ||
Land | 4,860 | 4,860 |
Buildings and improvements | 25,643 | 25,335 |
Furniture, fixtures, and equipment | 2,363 | 1,996 |
Real estate investment, gross | 32,866 | 32,191 |
Multifamily Properties | Timberglen | ||
Real Estate Properties [Line Items] | ||
Land | 2,510 | |
Buildings and improvements | 14,527 | |
Furniture, fixtures, and equipment | 894 | |
Real estate investment, gross | 17,931 | |
Multifamily Properties | Timberglen | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Land | 2,510 | |
Buildings and improvements | 14,718 | |
Furniture, fixtures, and equipment | 1,049 | |
Real estate investment, gross | 18,277 | |
Multifamily Properties | Edgewater at Sandy Springs | ||
Real Estate Properties [Line Items] | ||
Land | 14,290 | 14,290 |
Buildings and improvements | 43,959 | 43,709 |
Construction in progress | 9 | 123 |
Furniture, fixtures, and equipment | 4,057 | 3,295 |
Real estate investment, gross | 62,315 | 61,417 |
Multifamily Properties | Beechwood Terrace | ||
Real Estate Properties [Line Items] | ||
Land | 1,390 | 1,390 |
Buildings and improvements | 20,662 | 20,561 |
Construction in progress | 78 | |
Furniture, fixtures, and equipment | 1,229 | 940 |
Real estate investment, gross | 23,359 | 22,891 |
Multifamily Properties | Willow Grove | ||
Real Estate Properties [Line Items] | ||
Land | 3,940 | 3,940 |
Buildings and improvements | 10,739 | 10,672 |
Furniture, fixtures, and equipment | 882 | 668 |
Real estate investment, gross | 15,561 | 15,280 |
Multifamily Properties | Woodbridge | ||
Real Estate Properties [Line Items] | ||
Land | 3,651 | 3,650 |
Buildings and improvements | 12,995 | 12,708 |
Construction in progress | 1 | 215 |
Furniture, fixtures, and equipment | 1,029 | 759 |
Real estate investment, gross | 17,676 | 17,332 |
Multifamily Properties | Abbington Heights | ||
Real Estate Properties [Line Items] | ||
Land | 1,770 | 1,770 |
Buildings and improvements | 16,602 | 16,426 |
Construction in progress | 112 | 75 |
Furniture, fixtures, and equipment | 1,101 | 916 |
Real estate investment, gross | 19,585 | 19,187 |
Multifamily Properties | The Summit at Sabal Park | ||
Real Estate Properties [Line Items] | ||
Land | 5,770 | 5,770 |
Buildings and improvements | 13,355 | 13,342 |
Construction in progress | 9 | |
Furniture, fixtures, and equipment | 1,107 | 956 |
Real estate investment, gross | 20,232 | 20,077 |
Multifamily Properties | Courtney Cove | ||
Real Estate Properties [Line Items] | ||
Land | 5,880 | 5,880 |
Buildings and improvements | 12,913 | 12,886 |
Construction in progress | 42 | |
Furniture, fixtures, and equipment | 1,055 | 910 |
Real estate investment, gross | 19,848 | 19,718 |
Multifamily Properties | Radbourne Lake | ||
Real Estate Properties [Line Items] | ||
Land | 2,440 | 2,440 |
Buildings and improvements | 21,801 | 21,445 |
Construction in progress | 5 | 257 |
Furniture, fixtures, and equipment | 1,255 | 1,025 |
Real estate investment, gross | 25,501 | 25,167 |
Multifamily Properties | Timber Creek | ||
Real Estate Properties [Line Items] | ||
Land | 11,260 | 11,260 |
Buildings and improvements | 13,429 | 13,252 |
Construction in progress | 69 | |
Furniture, fixtures, and equipment | 1,086 | 864 |
Real estate investment, gross | 25,775 | 25,445 |
Multifamily Properties | Belmont at Duck Creek | ||
Real Estate Properties [Line Items] | ||
Land | 1,910 | 1,910 |
Buildings and improvements | 17,157 | 17,034 |
Furniture, fixtures, and equipment | 1,170 | 941 |
Real estate investment, gross | 20,237 | 19,885 |
Multifamily Properties | The Arbors | ||
Real Estate Properties [Line Items] | ||
Land | 1,730 | |
Buildings and improvements | 6,587 | |
Construction in progress | 5 | |
Furniture, fixtures, and equipment | 413 | |
Real estate investment, gross | 8,735 | |
Multifamily Properties | The Crossings | ||
Real Estate Properties [Line Items] | ||
Land | 3,982 | |
Buildings and improvements | 17,662 | |
Construction in progress | 155 | |
Furniture, fixtures, and equipment | 1,429 | |
Real estate investment, gross | 23,228 | |
Multifamily Properties | The Crossings at Holcomb Bridge | ||
Real Estate Properties [Line Items] | ||
Land | 5,560 | |
Buildings and improvements | 10,925 | |
Furniture, fixtures, and equipment | 1,178 | |
Real estate investment, gross | 17,663 | |
Multifamily Properties | The Knolls | ||
Real Estate Properties [Line Items] | ||
Land | 3,410 | |
Buildings and improvements | 17,707 | |
Construction in progress | 8 | |
Furniture, fixtures, and equipment | 1,615 | |
Real estate investment, gross | 22,740 | |
Multifamily Properties | Regatta Bay | ||
Real Estate Properties [Line Items] | ||
Land | 1,660 | |
Buildings and improvements | 16,155 | |
Construction in progress | 89 | |
Furniture, fixtures, and equipment | 891 | |
Real estate investment, gross | 18,795 | |
Multifamily Properties | Sabal Palm at Lake Buena Vista | ||
Real Estate Properties [Line Items] | ||
Land | 7,580 | 7,580 |
Buildings and improvements | 41,173 | 41,147 |
Construction in progress | 3 | |
Furniture, fixtures, and equipment | 1,024 | 874 |
Real estate investment, gross | 49,777 | 49,604 |
Multifamily Properties | Cornerstone | ||
Real Estate Properties [Line Items] | ||
Land | 1,500 | 1,500 |
Buildings and improvements | 30,357 | 30,354 |
Construction in progress | 29 | |
Furniture, fixtures, and equipment | 1,395 | 906 |
Real estate investment, gross | 33,252 | 32,789 |
Multifamily Properties | The Preserve at Terrell Mill | ||
Real Estate Properties [Line Items] | ||
Land | 10,170 | 10,170 |
Buildings and improvements | 48,609 | 48,163 |
Construction in progress | 516 | |
Furniture, fixtures, and equipment | 3,895 | 2,872 |
Real estate investment, gross | 62,674 | 61,721 |
Multifamily Properties | The Ashlar | ||
Real Estate Properties [Line Items] | ||
Land | 4,090 | 4,090 |
Buildings and improvements | 12,631 | 12,348 |
Construction in progress | 124 | |
Furniture, fixtures, and equipment | 1,459 | 1,129 |
Real estate investment, gross | 18,180 | 17,691 |
Multifamily Properties | Heatherstone | ||
Real Estate Properties [Line Items] | ||
Land | 2,320 | 2,320 |
Buildings and improvements | 7,862 | 7,521 |
Construction in progress | 224 | |
Furniture, fixtures, and equipment | 909 | 749 |
Real estate investment, gross | 11,091 | 10,814 |
Multifamily Properties | Versailles | ||
Real Estate Properties [Line Items] | ||
Land | 6,720 | 6,720 |
Buildings and improvements | 19,735 | 20,267 |
Construction in progress | 6 | 286 |
Furniture, fixtures, and equipment | 2,155 | 1,597 |
Real estate investment, gross | 28,616 | 28,870 |
Multifamily Properties | Seasons 704 Apartments | ||
Real Estate Properties [Line Items] | ||
Land | 7,480 | 7,480 |
Buildings and improvements | 14,071 | 14,043 |
Construction in progress | 2 | |
Furniture, fixtures, and equipment | 867 | 696 |
Real estate investment, gross | 22,420 | 22,219 |
Multifamily Properties | Madera Point | ||
Real Estate Properties [Line Items] | ||
Land | 4,920 | 4,920 |
Buildings and improvements | 17,369 | 17,079 |
Construction in progress | 43 | 15 |
Furniture, fixtures, and equipment | 1,130 | 865 |
Real estate investment, gross | 23,462 | 22,879 |
Multifamily Properties | Parc500 | ||
Real Estate Properties [Line Items] | ||
Land | 3,860 | 3,860 |
Buildings and improvements | 19,297 | 18,700 |
Intangible lease assets | 491 | |
Construction in progress | 589 | 113 |
Furniture, fixtures, and equipment | 1,217 | 504 |
Real estate investment, gross | 24,963 | 23,668 |
Multifamily Properties | The Pointe at the Foothills | ||
Real Estate Properties [Line Items] | ||
Land | 4,840 | 4,840 |
Buildings and improvements | 46,402 | 45,975 |
Construction in progress | 108 | 157 |
Furniture, fixtures, and equipment | 1,669 | 1,289 |
Real estate investment, gross | 53,019 | 52,261 |
Multifamily Properties | Venue at 8651 | ||
Real Estate Properties [Line Items] | ||
Land | 2,350 | 2,350 |
Buildings and improvements | 16,910 | 16,815 |
Construction in progress | 813 | 311 |
Furniture, fixtures, and equipment | 1,744 | 1,162 |
Real estate investment, gross | 21,817 | 20,638 |
Multifamily Properties | The Colonnade | ||
Real Estate Properties [Line Items] | ||
Land | 8,340 | 8,340 |
Buildings and improvements | 36,677 | 35,473 |
Intangible lease assets | 723 | |
Construction in progress | 55 | |
Furniture, fixtures, and equipment | 805 | 376 |
Real estate investment, gross | 45,877 | 44,912 |
Multifamily Properties | Old Farm | ||
Real Estate Properties [Line Items] | ||
Land | 11,078 | 11,078 |
Buildings and improvements | 69,718 | 69,580 |
Intangible lease assets | 3,354 | |
Construction in progress | 29 | |
Furniture, fixtures, and equipment | 1,304 | 1,052 |
Real estate investment, gross | 82,129 | 85,064 |
Multifamily Properties | Rockledge Apartments | ||
Real Estate Properties [Line Items] | ||
Land | 17,451 | |
Buildings and improvements | 92,296 | |
Intangible lease assets | 3,021 | |
Furniture, fixtures, and equipment | 1,369 | |
Real estate investment, gross | 114,137 | |
Multifamily Properties | Stone Creek at Old Farm | ||
Real Estate Properties [Line Items] | ||
Land | 3,493 | 3,493 |
Buildings and improvements | 19,123 | 19,101 |
Intangible lease assets | 572 | |
Furniture, fixtures, and equipment | 350 | 276 |
Real estate investment, gross | 22,966 | 23,442 |
Multifamily Properties | Hollister Place | ||
Real Estate Properties [Line Items] | ||
Land | 2,782 | |
Buildings and improvements | 20,719 | |
Furniture, fixtures, and equipment | 593 | |
Real estate investment, gross | 24,094 | |
Multifamily Properties | Southpoint Reserve at Stoney Creek | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Land | 6,120 | 6,120 |
Buildings and improvements | 11,252 | 11,218 |
Construction in progress | 31 | |
Furniture, fixtures, and equipment | 663 | 605 |
Real estate investment, gross | 18,035 | 17,974 |
Multifamily Properties | Operating Properties | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 981,805 | 943,821 |
Accumulated depreciation and amortization | (78,387) | (60,214) |
Total Net Operating Real Estate Investments | 903,418 | 883,607 |
Multifamily Properties | Operating Properties | Intangible Lease Assets | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 3,021 | 5,140 |
Accumulated depreciation and amortization | (1,007) | (650) |
Total Net Operating Real Estate Investments | 2,014 | 4,490 |
Multifamily Properties | Operating Properties | Land | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 167,245 | 165,863 |
Total Net Operating Real Estate Investments | 167,245 | 165,863 |
Multifamily Properties | Operating Properties | Buildings and Improvements | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 768,499 | 733,374 |
Accumulated depreciation and amortization | (57,876) | (46,044) |
Total Net Operating Real Estate Investments | 710,623 | 687,330 |
Multifamily Properties | Operating Properties | Construction in Progress | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 1,850 | 2,828 |
Total Net Operating Real Estate Investments | 1,850 | 2,828 |
Multifamily Properties | Operating Properties | Furniture, Fixtures, and Equipment | ||
Real Estate Properties [Line Items] | ||
Real estate investment, gross | 41,190 | 36,616 |
Accumulated depreciation and amortization | (19,504) | (13,520) |
Total Net Operating Real Estate Investments | $ 21,686 | 23,096 |
Multifamily Properties | The Grove at Alban | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Land | 3,640 | |
Buildings and improvements | 19,033 | |
Furniture, fixtures, and equipment | 1,318 | |
Real estate investment, gross | 23,991 | |
Multifamily Properties | The Miramar Apartments | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Land | 1,580 | |
Buildings and improvements | 8,870 | |
Furniture, fixtures, and equipment | 711 | |
Real estate investment, gross | 11,161 | |
Multifamily Properties | Toscana | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Land | 1,730 | |
Buildings and improvements | 7,341 | |
Construction in progress | 3 | |
Furniture, fixtures, and equipment | 684 | |
Real estate investment, gross | 9,758 | |
Multifamily Properties | Twelve 6 Ten at the Park | Held For Sale Properties | ||
Real Estate Properties [Line Items] | ||
Land | 3,610 | |
Buildings and improvements | 18,088 | |
Construction in progress | 21 | |
Furniture, fixtures, and equipment | 925 | |
Real estate investment, gross | $ 22,644 |
Real Estate Investments - Addit
Real Estate Investments - Additional Information (Details) | Sep. 30, 2017USD ($)Property | Apr. 30, 2017Property | Sep. 30, 2017USD ($) | Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($)Property | Sep. 30, 2016USD ($)Property |
Real Estate Properties [Line Items] | ||||||
Depreciation expense | $ | $ 10,000,000 | $ 8,500,000 | $ 29,500,000 | $ 25,500,000 | ||
Amortization expense of intangible lease assets | $ | 1,200,000 | $ 200,000 | 6,400,000 | $ 900,000 | ||
Number of properties acquired | Property | 1 | |||||
Purchase Price | $ | $ 138,000,000 | $ 22,400,000 | ||||
Number of real estate properties sold | Property | 4 | 9 | 7 | |||
Sales of real estate | $ | $ 228,100,000 | $ 134,000,000 | ||||
Estimated damage costs | $ | $ 40,000 | |||||
Houston | ||||||
Real Estate Properties [Line Items] | ||||||
Number of real estate properties damaged by hurricanes | Property | 3 | |||||
Miami | ||||||
Real Estate Properties [Line Items] | ||||||
Number of real estate properties damaged by hurricanes | Property | 2 | |||||
Tampa | ||||||
Real Estate Properties [Line Items] | ||||||
Number of real estate properties damaged by hurricanes | Property | 2 | |||||
Orlando | ||||||
Real Estate Properties [Line Items] | ||||||
Number of real estate properties damaged by hurricanes | Property | 2 | |||||
Intangible Lease Assets | ||||||
Real Estate Properties [Line Items] | ||||||
Amortization expense of intangible lease assets, remainder of fiscal year | $ | $ 2,000,000 | $ 2,000,000 | $ 2,000,000 |
Real Estate Investments - Sum43
Real Estate Investments - Summary of Acquisitions of Real Estate Property (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017USD ($)Property | Sep. 30, 2016USD ($) | |
Real Estate Properties [Line Items] | ||
Purchase Price | $ 138,000 | $ 22,400 |
Debt | $ 138,000 | |
Number of Units | Property | 968 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Hollister Place | Houston | Texas | ||
Real Estate Properties [Line Items] | ||
Date of Acquisition | Feb. 1, 2017 | |
Purchase Price | $ 24,500 | |
Debt | $ 24,500 | |
Number of Units | Property | 260 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% | |
Rockledge Apartments | Marietta | Georgia | ||
Real Estate Properties [Line Items] | ||
Date of Acquisition | Jun. 30, 2017 | |
Purchase Price | $ 113,500 | |
Debt | $ 113,500 | |
Number of Units | Property | 708 | |
Effective ownership percentage, wholly owned subsidiary | 100.00% |
Real Estate Investments - Sum44
Real Estate Investments - Summary of Sold Properties (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Real Estate Properties [Line Items] | ||||
Sales Price | $ 228,100 | $ 134,000 | ||
Net proceeds from sales of real estate | 224,416 | 131,786 | ||
Gain on sales of real estate | $ 58,490 | $ 9,562 | $ 78,386 | $ 25,932 |
The Miramar Apartments | Dallas | Texas | ||||
Real Estate Properties [Line Items] | ||||
Date of Sale | Apr. 3, 2017 | |||
Sales Price | $ 16,550 | |||
Net proceeds from sales of real estate | 16,326 | |||
Gain on sales of real estate | $ 6,368 | |||
Toscana | Dallas | Texas | ||||
Real Estate Properties [Line Items] | ||||
Date of Sale | Apr. 3, 2017 | |||
Sales Price | $ 13,250 | |||
Net proceeds from sales of real estate | 13,040 | |||
Gain on sales of real estate | $ 4,283 | |||
The Grove at Alban | Frederick | Maryland | ||||
Real Estate Properties [Line Items] | ||||
Date of Sale | Apr. 3, 2017 | |||
Sales Price | $ 27,500 | |||
Net proceeds from sales of real estate | 27,021 | |||
Gain on sales of real estate | $ 4,514 | |||
Twelve 6 Ten at the Park | Dallas | Texas | ||||
Real Estate Properties [Line Items] | ||||
Date of Sale | Apr. 27, 2017 | |||
Sales Price | $ 26,600 | |||
Net proceeds from sales of real estate | 26,349 | |||
Gain on sales of real estate | $ 4,731 | |||
Regatta Bay | Seabrook | Texas | ||||
Real Estate Properties [Line Items] | ||||
Date of Sale | Jul. 14, 2017 | |||
Sales Price | $ 28,200 | |||
Net proceeds from sales of real estate | 27,670 | |||
Gain on sales of real estate | $ 10,423 | |||
The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls | Atlanta | Georgia | ||||
Real Estate Properties [Line Items] | ||||
Date of Sale | Sep. 29, 2017 | |||
Sales Price | $ 116,000 | |||
Net proceeds from sales of real estate | 114,010 | |||
Gain on sales of real estate | $ 48,067 |
Real Estate Investments - Sum45
Real Estate Investments - Summary of Sold Properties (Parenthetical) (Details) - USD ($) $ in Thousands | Oct. 25, 2017 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | Dec. 29, 2016 |
Real Estate Properties [Line Items] | ||||||||
Net proceeds from sales of real estate | $ 224,416 | $ 131,786 | ||||||
Bridge facility, net | 54,531 | $ 29,874 | ||||||
Repayments of bridge loan | 41,278 | $ 29,000 | ||||||
Repayments of Lines of Credit | 310,000 | |||||||
$30 Million Credit Facility | ||||||||
Real Estate Properties [Line Items] | ||||||||
Repayments of Lines of Credit | $ 10,000 | 10,000 | ||||||
Credit facility, maximum borrowing capacity | 30,000 | $ 30,000 | ||||||
2016 Bridge Facility | ||||||||
Real Estate Properties [Line Items] | ||||||||
Bridge facility, net | 30,000 | $ 30,000 | ||||||
Repayments of bridge loan | $ 30,000 | 30,000 | ||||||
2017 Bridge Facility | ||||||||
Real Estate Properties [Line Items] | ||||||||
Bridge facility, net | 54,531 | |||||||
Repayments of bridge loan | $ 11,300 | $ 11,300 | ||||||
Subsequent Event | 2017 Bridge Facility | ||||||||
Real Estate Properties [Line Items] | ||||||||
Bridge facility, net | $ 8,600 | |||||||
Repayments of bridge loan | $ 46,000 | |||||||
Subsequent Event | The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls | ||||||||
Real Estate Properties [Line Items] | ||||||||
Net proceeds from sales of real estate | $ 14,100 |
Debt - Summary of Mortgage Debt
Debt - Summary of Mortgage Debt Nonrecourse to Company and Encumbers Multifamily Properties (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | |||
Deferred financing costs, net of accumulated amortization | $ (4,900) | ||
Mortgages payable, net | $ 694,968 | $ 367,453 | |
Mortgages Payable | Operating Properties | |||
Debt Instrument [Line Items] | |||
Outstanding Principal | 702,474 | ||
Fair market value adjustment | 852 | ||
Deferred financing costs, net of accumulated amortization | (8,358) | ||
Mortgages payable, net | $ 694,968 | ||
Mortgages Payable | Arbors on Forest Ridge | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,130 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Courtney Cove | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,680 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Cutter’s Point | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 16,640 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | The Summit at Sabal Park | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,560 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Eagle Crest | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 29,510 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | The Preserve at Terrell Mill | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 42,480 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Silverbrook | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 30,590 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | The Ashlar | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 14,520 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Heatherstone | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 8,880 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Edgewater at Sandy Springs | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 52,000 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Versailles | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 23,880 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Beechwood Terrace | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 20,150 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Seasons 704 Apartments | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 17,460 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Willow Grove | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 14,818 | ||
Interest Rate | 3.01% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Timber Creek | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 120 months | ||
Outstanding Principal | $ 19,482 | ||
Interest Rate | 3.05% | ||
Maturity Date | Oct. 1, 2024 | ||
Mortgages Payable | Woodbridge | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,677 | ||
Interest Rate | 3.01% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Radbourne Lake | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 120 months | ||
Outstanding Principal | $ 19,213 | ||
Interest Rate | 3.04% | ||
Maturity Date | Oct. 1, 2024 | ||
Mortgages Payable | Sabal Palm at Lake Buena Vista | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 120 months | ||
Outstanding Principal | $ 37,680 | ||
Interest Rate | 3.04% | ||
Maturity Date | Dec. 1, 2024 | ||
Mortgages Payable | Abbington Heights | Debt With Fixed Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 120 months | ||
Outstanding Principal | $ 10,053 | ||
Interest Rate | 3.79% | ||
Maturity Date | Sep. 1, 2022 | ||
Mortgages Payable | Belmont at Duck Creek | Debt With Fixed Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 10,995 | ||
Interest Rate | 4.68% | ||
Maturity Date | Sep. 1, 2018 | ||
Mortgages Payable | Cornerstone | Debt With Fixed Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 120 months | ||
Outstanding Principal | $ 22,771 | ||
Interest Rate | 4.24% | ||
Maturity Date | Mar. 1, 2023 | ||
Mortgages Payable | Madera Point | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 15,150 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Venue at 8651 | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,734 | ||
Interest Rate | 3.01% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | The Pointe at the Foothills | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 34,800 | ||
Interest Rate | 2.85% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | The Colonnade | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 28,093 | ||
Interest Rate | 2.91% | ||
Mortgages Payable | Old Farm | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 52,886 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Hollister Place | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,475 | ||
Interest Rate | 3.47% | ||
Maturity Date | Feb. 1, 2024 | ||
Mortgages Payable | Stone Creek at Old Farm | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 15,274 | ||
Interest Rate | 2.91% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Parc500 | Debt With Fixed Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 120 months | ||
Outstanding Principal | $ 15,793 | ||
Interest Rate | 4.49% | ||
Maturity Date | Aug. 1, 2025 | ||
Mortgages Payable | Rockledge Apartments | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 68,100 | ||
Interest Rate | 2.80% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | The Colonnade | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Held For Sale Properties | |||
Debt Instrument [Line Items] | |||
Outstanding Principal | $ 30,826 | ||
Deferred financing costs, net of accumulated amortization | (499) | ||
Mortgages payable, net | $ 30,327 | ||
Mortgages Payable | Held For Sale Properties | Timberglen | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 17,226 | ||
Interest Rate | 3.11% | ||
Maturity Date | Jul. 1, 2024 | ||
Mortgages Payable | Held For Sale Properties | Southpoint Reserve at Stoney Creek | Debt With Floating Interest Rate | |||
Debt Instrument [Line Items] | |||
Term (months) | 84 months | ||
Outstanding Principal | $ 13,600 | ||
Interest Rate | 3.34% | ||
Maturity Date | Jan. 1, 2022 |
Debt - Summary of Mortgage De47
Debt - Summary of Mortgage Debt Nonrecourse to Company and Encumbers Multifamily Properties (Parenthetical) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Debt Instrument [Line Items] | |
Deferred financing costs, net of accumulated amortization | $ 592 |
13th month through 81st month | |
Debt Instrument [Line Items] | |
Mortgage loans payable description | Loan can be pre-paid in the first 12 months of the term at par plus 5.00%. Starting in the 13th month of the term through the 81st month of the term, the loan can be pre-paid at par plus 1.00% of the unpaid principal balance and at par during the last three months of the term. |
Loan prepayment fee as a percentage of unpaid principal balance | 1.00% |
First 12 months | |
Debt Instrument [Line Items] | |
Loan prepayment fee as a percentage of unpaid principal balance | 5.00% |
13th month through 116th month | |
Debt Instrument [Line Items] | |
Mortgage loans payable description | Loan can be pre-paid in the first 12 months of the term at par plus 5.00%. Starting in the 13th month of the term through the 116th month of the term, the loan can be pre-paid at par plus 1.00% of the unpaid principal balance and at par during the last four months of the term. |
Loan prepayment fee as a percentage of unpaid principal balance | 1.00% |
Abbington Heights | Last Three Months | |
Debt Instrument [Line Items] | |
Mortgage loans payable description | Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last three months of the term. |
Belmont at Duck Creek | Last Six Months | |
Debt Instrument [Line Items] | |
Mortgage loans payable description | Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last six months of the term. |
Cornerstone | Debt With Fixed Interest Rate | |
Debt Instrument [Line Items] | |
Interest Rate | 4.09% |
Fair value of debt assumed upon acquisition | $ 18,000 |
Debt instrument, payment terms | The assumed debt carries a 4.09% fixed rate, was originally issued in March 2013, and had a term of 120 months with an initial 24 months of interest only. |
Blended pay rate | 4.24% |
Cornerstone | Debt With Fixed Interest Rate | First Mortgage | |
Debt Instrument [Line Items] | |
Debt instrument, payment terms | At the time of acquisition, the principal balance of the first mortgage remained unchanged and had a remaining term of 98 months with 2 months of interest only. The first mortgage is pre-payable and subject to yield maintenance from month 13 through August 31, 2022 and is pre-payable at par September 1, 2022 until maturity. |
Cornerstone | Debt With Fixed Interest Rate | Second Mortgage | |
Debt Instrument [Line Items] | |
Interest Rate | 4.70% |
Debt instrument, payment terms | The supplemental second mortgage is pre-payable and subject to yield maintenance from the date of issuance through August 31, 2022 and is pre-payable at par September 1, 2022 until maturity. |
Acquired property mortgage loan principle amount | $ 5,800 |
Parc500 | Last Four Months | |
Debt Instrument [Line Items] | |
Mortgage loans payable description | Debt was assumed upon acquisition of this property at approximated fair value. The loan is open to pre-payment in the last four months of the term |
Mortgages Payable | Abbington Heights | Debt With Fixed Interest Rate | |
Debt Instrument [Line Items] | |
Interest Rate | 1.2322% |
Held For Sale Properties | |
Debt Instrument [Line Items] | |
Deferred financing costs, net of accumulated amortization | $ 80 |
Debt - Additional Information (
Debt - Additional Information (Details) | Jun. 30, 2017USD ($) | Jun. 30, 2017USD ($)PropertyLoan | Feb. 01, 2017USD ($) | Dec. 29, 2016USD ($) | Jun. 06, 2016USD ($)Property | Oct. 31, 2017USD ($) | Jul. 31, 2017USD ($) | Apr. 30, 2017USD ($)Property | Sep. 30, 2017USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Sep. 30, 2017USD ($)Property | Sep. 30, 2016USD ($)Property | Dec. 31, 2016USD ($) |
Debt Instrument [Line Items] | ||||||||||||||
Mortgage indebtedness | $ 168,400,000 | $ 168,400,000 | $ 168,400,000 | |||||||||||
Number of properties refinanced under existing mortgage debt | Property | 9 | |||||||||||||
Credit facilities, net | $ 29,803,000 | $ 29,803,000 | $ 310,492,000 | |||||||||||
Deferred financing costs, net | 4,900,000 | $ 4,900,000 | 4,900,000 | |||||||||||
Loss on extinguishment of debt and modification costs | $ 914,000 | $ 888,000 | $ 5,717,000 | $ 1,722,000 | ||||||||||
Number of properties sold | Property | 4 | 9 | 7 | |||||||||||
Number of properties encumbered | Property | 8 | |||||||||||||
Derivative financial instruments cap weighted average rate | 4.20% | 4.20% | ||||||||||||
Credit facilities proceeds received | 11,000,000 | $ 25,000,000 | $ 200,000,000 | |||||||||||
Proceeds from expansion of credit facility to fund a portion of purchase price | 17,192,000 | 18,022,000 | ||||||||||||
Repayments of Lines of Credit | 310,000,000 | |||||||||||||
Repayments of bridge loan | 41,278,000 | $ 29,000,000 | ||||||||||||
Bridge facility, net | $ 54,531,000 | 54,531,000 | $ 29,874,000 | |||||||||||
Credit facility, additional borrowing capacity | 30,000,000 | $ 30,000,000 | 30,000,000 | |||||||||||
Number of properties acquired | Property | 1 | |||||||||||||
Number Of Cross Collateralized Properties | Property | 12 | |||||||||||||
Drawing from bridge facility | 65,875,000 | |||||||||||||
Write-off deferred financing costs | 600,000 | 400,000 | 1,000,000 | $ 700,000 | ||||||||||
2017 Bridge Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Deferred financing costs, net | 66,000 | 66,000 | ||||||||||||
Interest rate description | one-month LIBOR plus 3.75%. | |||||||||||||
Bridge facility | 65,900,000 | $ 65,900,000 | $ 65,900,000 | |||||||||||
Repayments of bridge loan | $ 11,300,000 | 11,300,000 | ||||||||||||
Bridge facility, net | 54,531,000 | 54,531,000 | ||||||||||||
Bridge facility extension term | 4 months | |||||||||||||
2017 Bridge Facility | Subsequent Event | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Repayments of bridge loan | $ 46,000,000 | |||||||||||||
Bridge facility, net | $ 8,600,000 | |||||||||||||
Maturity Date | Mar. 31, 2018 | |||||||||||||
2016 Bridge Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Repayments of bridge loan | $ 30,000,000 | 30,000,000 | ||||||||||||
Bridge facility, net | $ 30,000,000 | $ 30,000,000 | $ 30,000,000 | |||||||||||
Maturity Date | Apr. 28, 2017 | |||||||||||||
Drawing from bridge facility | 30,000,000 | |||||||||||||
Bridge facility principal payment funded with share proceeds | 30,000,000 | |||||||||||||
BH Equities, LLC | 2017 Bridge Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Payments for property | $ 21,400,000 | |||||||||||||
Freddie Mac Multifamily Green Advantage Program | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Percentage of weighted average reduction | 0.10% | 0.10% | ||||||||||||
Mortgage debt financing, amount escrowed | $ 4,200,000 | $ 4,200,000 | ||||||||||||
Number of properties covered under mortgage loan program | Property | 20 | |||||||||||||
Freddie Mac Multifamily Green Advantage Program | Minimum | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Percentage of expected cost reduction at each property | 15.00% | |||||||||||||
Mortgages Payable | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Adjusted weighted average interest rate | 3.14% | 3.14% | ||||||||||||
Weighted average fixed rate | 1.3388% | 1.3388% | ||||||||||||
Interest rate description | The interest rate cap agreements the Company has entered into effectively cap one-month LIBOR on $293.2 million of the Company’s floating rate mortgage indebtedness at a weighted average rate of 4.20% | |||||||||||||
Derivative financial instruments cap weighted average rate | 4.20% | 4.20% | ||||||||||||
Mortgages Payable | One-month LIBOR | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Mortgage indebtedness | $ 293,200,000 | $ 293,200,000 | ||||||||||||
Mortgages Payable | Floating Interest Rate Swap | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Combined notional amount | 650,000,000 | 650,000,000 | ||||||||||||
Mortgages Payable | Interest Rate Swap | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Mortgage indebtedness | 650,000,000 | 650,000,000 | ||||||||||||
Interest expense | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Amortization of deferred financing fees | $ 600,000 | $ 400,000 | 1,500,000 | $ 1,100,000 | ||||||||||
Toscana | Loss on early extinguishment of debt and other | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Mortgage prepayment penalties | 900,000 | |||||||||||||
Mortgage fee | $ 100,000 | |||||||||||||
Rockledge Apartments | 2017 Bridge Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Payments for property | $ 44,500,000 | |||||||||||||
Freddie Refinance | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Number of mortgages | Loan | 22 | |||||||||||||
Mortgage loan principal amount | $ 502,100,000 | |||||||||||||
Refinancing of existing mortgage debt incurred, prepayment penalties | 1,700,000 | |||||||||||||
Deferred financing costs, net | 2,900,000 | 2,900,000 | $ 2,900,000 | |||||||||||
Loss on extinguishment of debt and modification costs | 2,000,000 | |||||||||||||
Proceeds from mortgage debt to fund BH buyout | 16,300,000 | |||||||||||||
Freddie Refinance | Mortgages Payable | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Weighted average interest rate of mortgage indebtedness | 3.04% | 3.04% | 2.95% | |||||||||||
Percentage of weighted average reduction | 0.57% | 0.57% | ||||||||||||
$300 Million Credit Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Credit facilities, net | 300,000,000 | 300,000,000 | $ 300,000,000 | |||||||||||
Credit facility, maximum borrowing capacity | $ 200,000,000 | |||||||||||||
Credit facility, additional borrowing capacity | $ 300,000,000 | |||||||||||||
Number of properties acquired | Property | 3 | |||||||||||||
$300 Million Credit Facility | Freddie Refinance | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Credit facility repaid and retired | 300,000,000 | |||||||||||||
Prepayment penalties | $ 0 | |||||||||||||
$30 Million Credit Facility | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Credit facilities, net | $ 14,000,000 | $ 29,803,000 | $ 29,803,000 | |||||||||||
Deferred financing costs, net | 197,000 | 197,000 | ||||||||||||
Credit facility, maximum borrowing capacity | 30,000,000 | $ 30,000,000 | 30,000,000 | |||||||||||
Credit facilities proceeds received | $ 15,000,000 | |||||||||||||
Credit facility, one extension term | 12 months | |||||||||||||
Proceeds from expansion of credit facility to fund a portion of purchase price | 2,000,000 | |||||||||||||
Repayments of Lines of Credit | $ 10,000,000 | $ 10,000,000 | ||||||||||||
$30 Million Credit Facility | BH Equities, LLC | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Payments for property | $ 11,000,000 | |||||||||||||
$30 Million Credit Facility | Hollister Place | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Payments for property | $ 12,000,000 |
Debt - Sale of Properties and R
Debt - Sale of Properties and Repayment of Related Mortgage Loans That Encumbered (Details) - Mortgages Loans - Debt With Floating Interest Rate $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Debt Instrument [Line Items] | |
Outstanding Principal | $ 106,662 |
The Miramar Apartments | |
Debt Instrument [Line Items] | |
Date of Sale | Apr. 3, 2017 |
Outstanding Principal | $ 8,400 |
The Grove at Alban | |
Debt Instrument [Line Items] | |
Date of Sale | Apr. 3, 2017 |
Outstanding Principal | $ 18,374 |
Twelve 6 Ten at the Park | |
Debt Instrument [Line Items] | |
Date of Sale | Apr. 27, 2017 |
Outstanding Principal | $ 15,711 |
Regatta Bay | |
Debt Instrument [Line Items] | |
Date of Sale | Jul. 14, 2017 |
Outstanding Principal | $ 14,000 |
The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls | |
Debt Instrument [Line Items] | |
Date of Sale | Sep. 29, 2017 |
Outstanding Principal | $ 50,177 |
Debt - Summary of the Company's
Debt - Summary of the Company's Credit and Bridge Facilities (Details) - USD ($) $ in Thousands | 9 Months Ended | |||
Sep. 30, 2017 | Jun. 30, 2017 | Feb. 01, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | ||||
Deferred financing costs, net of accumulated amortization | $ (4,900) | |||
Credit facilities, net | $ 29,803 | $ 310,492 | ||
Bridge facility, net | 54,531 | $ 29,874 | ||
2017 Bridge Facility | ||||
Debt Instrument [Line Items] | ||||
Deferred financing costs, net of accumulated amortization | (66) | |||
Bridge facility | $ 65,900 | |||
Bridge facility, net | $ 54,531 | |||
2017 Bridge Facility | Debt With Floating Interest Rate | ||||
Debt Instrument [Line Items] | ||||
Term (months) | 4 months | |||
Amortization (months) | 360 months | |||
Interest Rate | 4.98% | |||
Bridge facility | $ 54,597 | |||
Maturity Date | Oct. 31, 2017 | |||
$30 Million Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Deferred financing costs, net of accumulated amortization | $ (197) | |||
Credit facilities, net | $ 29,803 | $ 14,000 | ||
$30 Million Credit Facility | Debt With Floating Interest Rate | ||||
Debt Instrument [Line Items] | ||||
Term (months) | 24 months | |||
Amortization (months) | 360 months | |||
Interest Rate | 5.23% | |||
Credit facilities | $ 30,000 | |||
Maturity Date | Dec. 29, 2018 |
Debt - Summary of the Company51
Debt - Summary of the Company's Credit and Bridge Facilities (Parenthetical) (Details) | Sep. 30, 2017 |
One-month LIBOR | |
Debt Instrument [Line Items] | |
Interest Rate | 1.2322% |
Debt - Schedule of Debt Maturit
Debt - Schedule of Debt Maturities (Details) $ in Thousands | Sep. 30, 2017USD ($) |
Debt Instrument [Line Items] | |
2,017 | $ 54,993 |
2,018 | 43,628 |
2,019 | 2,757 |
2,020 | 2,799 |
2,021 | 2,857 |
Thereafter | 710,863 |
Total | 817,897 |
Operating Properties & Other Secured Debt | |
Debt Instrument [Line Items] | |
2,017 | 54,993 |
2,018 | 43,352 |
2,019 | 2,448 |
2,020 | 2,483 |
2,021 | 2,531 |
Thereafter | 681,264 |
Total | 787,071 |
Held For Sale Properties | |
Debt Instrument [Line Items] | |
2,018 | 276 |
2,019 | 309 |
2,020 | 316 |
2,021 | 326 |
Thereafter | 29,599 |
Total | $ 30,826 |
Fair Value of Derivative and 53
Fair Value of Derivative and Financial Instruments - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017USD ($)DerivativeInstrument | Sep. 30, 2016USD ($)DerivativeInstrument | Sep. 30, 2017USD ($)DerivativeInstrument | Sep. 30, 2016USD ($)DerivativeInstrument | |
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Derivative financial instruments cap weighted average rate | 4.20% | 4.20% | ||
Impairment charges related to real estate assets | $ 0 | $ 0 | ||
KeyBank | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Combined notional amount | $ 650,000,000 | $ 650,000,000 | ||
Weighted average fixed rate | 1.3388% | 1.3388% | ||
Designated as hedging instrument | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Gain (loss) ineffectiveness to derivatives designated as cash flow hedges | $ 0.1 | 0.1 | ||
One-month LIBOR | KeyBank | Interest Rate Swap | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Combined notional amount | $ 650,000,000 | $ 650,000,000 | ||
Interest rate description | floating interest rate (one-month LIBOR) | |||
Weighted average fixed rate | 1.3388% | 1.3388% | ||
Interest rate caps | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Interest rate description | The interest rate cap agreements the Company has entered into effectively cap one-month LIBOR on $293.2 million of the Company’s floating rate mortgage indebtedness at a weighted average rate of 4.20%. | |||
Interest rate caps | Not designated as hedging instrument | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Derivative notional amount | $ 293,184,000 | $ 578,300,000 | $ 293,184,000 | $ 578,300,000 |
Interest rate caps | DerivativeInstrument | 17 | 36 | 17 | 36 |
Interest rate caps | One-month LIBOR | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Combined notional amount | $ 293,200,000 | $ 293,200,000 | ||
Interest Rate Swap | Designated as hedging instrument | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Number of derivatives designated as cash flow hedges | DerivativeInstrument | 4 | 4 | ||
Derivative notional amount | $ 400,000,000 | $ 400,000,000 | ||
Minimum | Interest rate caps | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Interest rate term range | 3 years | |||
Minimum | Interest Rate Swap | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Interest rate term range | 4 years | |||
Maximum | Designated as hedging instrument | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Gain (loss) ineffectiveness to derivatives designated as cash flow hedges | $ 100,000 | $ 600,000 | ||
Maximum | Interest rate caps | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Interest rate term range | 4 years | |||
Maximum | Interest Rate Swap | ||||
Fair Value Inputs Assets Quantitative Information [Line Items] | ||||
Interest rate term range | 5 years |
Fair Value of Derivative and 54
Fair Value of Derivative and Financial Instruments - Summary of Company's Outstanding Interest Rate Swaps (Details) - KeyBank | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Debt Instrument [Line Items] | |
Notional Amount | $ 650,000,000 |
Fixed Rate | 1.3388% |
Interest Rate Swap Transaction One | |
Debt Instrument [Line Items] | |
Effective Date | Jul. 1, 2016 |
Termination Date | Jun. 1, 2021 |
Notional Amount | $ 100,000,000 |
Fixed Rate | 1.1055% |
Floating Rate Option | One-month LIBOR |
Interest Rate Swap Transaction Two | |
Debt Instrument [Line Items] | |
Effective Date | Jul. 1, 2016 |
Termination Date | Jun. 1, 2021 |
Notional Amount | $ 100,000,000 |
Fixed Rate | 1.021% |
Floating Rate Option | One-month LIBOR |
Interest Rate Swap Transaction Three | |
Debt Instrument [Line Items] | |
Effective Date | Jul. 1, 2016 |
Termination Date | Jun. 1, 2021 |
Notional Amount | $ 100,000,000 |
Fixed Rate | 0.90% |
Floating Rate Option | One-month LIBOR |
Interest Rate Swap Transaction Four | |
Debt Instrument [Line Items] | |
Effective Date | Sep. 1, 2016 |
Termination Date | Jun. 1, 2021 |
Notional Amount | $ 100,000,000 |
Fixed Rate | 0.956% |
Floating Rate Option | One-month LIBOR |
Interest Rate Swap Transaction Five | |
Debt Instrument [Line Items] | |
Effective Date | Apr. 1, 2017 |
Termination Date | Apr. 1, 2022 |
Notional Amount | $ 100,000,000 |
Fixed Rate | 1.957% |
Floating Rate Option | One-month LIBOR |
Interest Rate Swap Transaction Six | |
Debt Instrument [Line Items] | |
Effective Date | May 1, 2017 |
Termination Date | Apr. 1, 2022 |
Notional Amount | $ 50,000,000 |
Fixed Rate | 1.961% |
Floating Rate Option | One-month LIBOR |
Interest Rate Swap Transaction Seven | |
Debt Instrument [Line Items] | |
Effective Date | Jul. 1, 2017 |
Termination Date | Jul. 1, 2022 |
Notional Amount | $ 100,000,000 |
Fixed Rate | 1.782% |
Floating Rate Option | One-month LIBOR |
Fair Value of Derivative and 55
Fair Value of Derivative and Financial Instruments - Summary of Company's Outstanding Interest Rate Swaps (Parenthetical) (Details) | Sep. 30, 2017 |
One-month LIBOR | KeyBank | |
Debt Instrument [Line Items] | |
LIBOR, interest rate | 1.2322% |
Fair Value of Derivative and 56
Fair Value of Derivative and Financial Instruments - Outstanding Interest Rate Derivatives Not Designated as Cash Flow Hedges of Interest Rate Risk (Details) - Not designated as hedging instrument - Interest rate caps | Sep. 30, 2017USD ($)DerivativeInstrument | Sep. 30, 2016USD ($)DerivativeInstrument |
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Interest rate caps | DerivativeInstrument | 17 | 36 |
Derivative notional amount | $ | $ 293,184,000 | $ 578,300,000 |
Fair Value of Derivative and 57
Fair Value of Derivative and Financial Instruments - Summary of Derivative Financial Instruments and Classification on the Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Asset Derivatives | $ 11,759 | $ 12,418 |
Liability Derivatives | 713 | |
Fair Market Value Of Interest Rate Swaps | Interest rate swaps | Designated as hedging instrument | ||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Asset Derivatives | 11,759 | 12,413 |
Liability Derivatives | $ 713 | |
Prepaid and Other Assets | Interest rate caps | Not designated as hedging instrument | ||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Asset Derivatives | $ 5 |
Fair Value of Derivative and 58
Fair Value of Derivative and Financial Instruments - Summary of Derivative Financial Instruments and Combined Consolidated Statements of Operations and Comprehensive Loss (Details) - Interest rate products - Interest expense - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of gain (loss) recognized in OCI on derivative (effective portion) | $ (241) | $ (1,576) | $ (2,162) | $ (1,619) |
Amount of gain (loss) reclassified from accumulated OCI into income (effective portion) | (360) | (479) | (1,142) | (491) |
Amount of gain (loss) recognized in income on derivative (ineffective portion)* | $ (63) | 599 | (88) | 599 |
Amount of gain (loss) recognized in income on derivative | $ (2) | $ (5) | $ (8) |
Fair Value of Derivative and 59
Fair Value of Derivative and Financial Instruments - Summary of Derivative Financial Instruments and Combined Consolidated Statements of Operations and Comprehensive Loss (Parenthetical) (Details) - USD ($) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2017 | Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | ||
Loss reclassified from OCI | $ 90,000 | $ 185,000 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) - USD ($) | Sep. 30, 2017 | Mar. 16, 2017 | Aug. 11, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | Jun. 15, 2016 |
Class Of Stock [Line Items] | |||||||||
Common stock, shares, issued | 21,095,769 | 21,095,769 | 21,095,769 | 21,043,669 | |||||
Common stock, shares, retired | 308,313 | ||||||||
Common stock, shares, outstanding | 21,095,769 | 21,095,769 | 21,095,769 | 21,043,669 | |||||
Common stock, par value | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Share repurchase program, authorized amount | $ 30,000,000 | ||||||||
Stock repurchase program, expiration date | Jun. 15, 2018 | ||||||||
Share repurchase program, treasury stock shares | 308,313 | 58,157 | |||||||
Share repurchase program, treasury stock, value | $ 5,941,000 | $ 1,354,000 | |||||||
Share repurchase program, treasury stock, per share | $ 19.27 | $ 23.27 | |||||||
Treasury stock, shares | 0 | 0 | 0 | 250,156 | |||||
Restricted Stock Units | |||||||||
Class Of Stock [Line Items] | |||||||||
Restricted stock units, granted | 219,802 | ||||||||
2016 LTIP | |||||||||
Class Of Stock [Line Items] | |||||||||
Common stock, shares, issued | 110,257 | 110,257 | 110,257 | ||||||
Common stock, par value | $ 0.01 | ||||||||
Number of shares authorized to issue | 2,100,000 | ||||||||
2016 LTIP | Restricted Stock Units | |||||||||
Class Of Stock [Line Items] | |||||||||
Equity-based compensation expense | $ 300,000 | $ 800,000 | $ 300,000 | $ 2,400,000 | |||||
Dividends earned on restricted stock units | $ 300,000 | $ 300,000 | $ 300,000 | ||||||
2016 LTIP | Restricted Stock Units | Director | |||||||||
Class Of Stock [Line Items] | |||||||||
Vesting period description | annually | ||||||||
2016 LTIP | Restricted Stock Units | Directors and Officers | |||||||||
Class Of Stock [Line Items] | |||||||||
Restricted stock units, granted | 219,802 | 209,797 | |||||||
2016 LTIP | Restricted Stock Units | Minimum | Officers | |||||||||
Class Of Stock [Line Items] | |||||||||
Restricted stock units, vesting period | 3 years | ||||||||
2016 LTIP | Restricted Stock Units | Maximum | Officers | |||||||||
Class Of Stock [Line Items] | |||||||||
Restricted stock units, vesting period | 4 years |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Restricted Stock Units (Details) - Restricted Stock Units | 9 Months Ended |
Sep. 30, 2017$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Units, Outstanding at beginning of the period | shares | 209,797 |
Number of Units, Granted | shares | 219,802 |
Number of Units, Vested | shares | (110,257) |
Number of Units, Outstanding at ending of the period | shares | 319,342 |
Weighted Average Grant Date Fair Value, Outstanding at beginning of the period | $ / shares | $ 19.20 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 22.57 |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 19.20 |
Weighted Average Grant Date Fair Value, Outstanding at ending of the period | $ / shares | $ 21.52 |
Stockholders' Equity - Summar62
Stockholders' Equity - Summary of Restricted Stock Units (Parenthetical) (Details) | 9 Months Ended |
Sep. 30, 2017shares | |
Vest in August 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Restricted stock units, vested | 49,768 |
Vest in August 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Restricted stock units, vested | 49,772 |
Vest in March 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Restricted stock units, vested | 80,742 |
Vest in March 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Restricted stock units, vested | 69,530 |
Vest in March 2020 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Restricted stock units, vested | 69,530 |
Earnings (Loss) Per Share - Add
Earnings (Loss) Per Share - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Stock conversion ratio | 100.00% |
Earnings (Loss) Per Share - Sch
Earnings (Loss) Per Share - Schedule of Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Numerator for earnings per share: | ||||
Net income | $ 54,076 | $ 8,825 | $ 60,702 | $ 25,712 |
Net income attributable to noncontrolling interests | 1,735 | 2,836 | 4,047 | |
Net income attributable to redeemable noncontrolling interests in the Operating Partnership | 162 | 162 | ||
Net income attributable to common stockholders | $ 53,914 | $ 7,090 | $ 57,704 | $ 21,665 |
Denominator for earnings per share: | ||||
Weighted average common shares outstanding - basic | 21,085 | 21,260 | 21,057 | 21,282 |
Unvested restricted stock units | 368 | 116 | 350 | 40 |
Denominator for diluted earnings per share | 21,453 | 21,376 | 21,407 | 21,322 |
Earnings per weighted average common share: | ||||
Basic | $ 2.56 | $ 0.33 | $ 2.74 | $ 1.02 |
Diluted | $ 2.51 | $ 0.33 | $ 2.70 | $ 1.02 |
Noncontrolling Interests - Addi
Noncontrolling Interests - Additional Information (Details) | Aug. 01, 2017USD ($)$ / sharesshares | Jun. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2016USD ($) |
Minority Interest [Line Items] | |||||
Common units transferred to acquire ownership interest in properties of noncontrolling interest holders, per share | $ / shares | $ 27.31 | ||||
Amount used for calculation of OP units of net asset value | $ 2,000,000 | ||||
Proceeds from a bridge facility | 21,400,000 | ||||
Proceeds from refinancing of properties | 16,300,000 | ||||
Proceeds from a credit facility | 11,000,000 | $ 25,000,000 | $ 200,000,000 | ||
Credit facility, maximum borrowing capacity | 30,000,000 | $ 30,000,000 | |||
Cash on hand | $ 1,000,000 | $ 1,000,000 | |||
Maximum | |||||
Minority Interest [Line Items] | |||||
Internal rate of return in VIE | 13.00% | ||||
BH Equity Portfolio | |||||
Minority Interest [Line Items] | |||||
Percentage of noncontrolling interests in joint ventures acquired | 100.00% | 100.00% | |||
Consideration transferred to acquire ownership interest in properties of noncontrolling interest holders | $ 51,700,000 | ||||
Payment to acquire ownership interest in properties of noncontrolling interest holders | 49,700,000 | ||||
Common units transferred to acquire ownership interest in properties of noncontrolling interest holders | shares | 73,233 | ||||
Value of common units transferred to acquire ownership interest in properties of noncontrolling interest holders | $ 2,000,000 | ||||
Carrying value of noncontrolling interests | 20,500,000 | $ 20,500,000 | |||
Reduction in additional paid in capital | $ 31,200,000 | ||||
BH Equity Portfolio | B H Equity | |||||
Minority Interest [Line Items] | |||||
Percentage of ownership interests in portfolio | 8.40% | 8.40% | |||
BH Equity | |||||
Minority Interest [Line Items] | |||||
Common stock redemption ratio | 1 | ||||
BH Equity Portfolio Prior | |||||
Minority Interest [Line Items] | |||||
Percentage of noncontrolling interests in joint ventures acquired | 100.00% | 100.00% | |||
Consideration transferred to acquire ownership interest in properties of noncontrolling interest holders | $ 2,000,000 |
Noncontrolling Interests - Sche
Noncontrolling Interests - Schedule of Redeemable Noncontrolling Interests (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Noncontrolling Interest [Abstract] | |
Issuance of redeemable noncontrolling interests in the OP | $ 2,000 |
Net income attributable to redeemable noncontrolling interests in the OP | 162 |
Other comprehensive income attributable to redeemable noncontrolling interests in the OP | 1 |
Distributions to redeemable noncontrolling interests in the OP | (53) |
Redeemable noncontrolling interests in the OP, September 30, 2017 | $ 2,110 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||||
Dec. 31, 2016Property | Oct. 31, 2016Property | Jul. 31, 2016Property | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Sep. 30, 2017USD ($)$ / Property$ / h | Sep. 30, 2016USD ($)Property | |
Related Party Transaction [Line Items] | |||||||||
Number of properties acquired | Property | 1 | ||||||||
Advisory and Administrative Fees | |||||||||
Related Party Transaction [Line Items] | |||||||||
Number of properties acquired | Property | 2 | 1 | 1 | ||||||
Operating Agreement | |||||||||
Related Party Transaction [Line Items] | |||||||||
Asset management fee percent | 0.50% | ||||||||
Asset management fees | $ 200,000 | $ 200,000 | $ 400,000 | $ 500,000 | |||||
Effective ownership percentage, variable interest entities | 100.00% | ||||||||
NexPoint Real Estate Advisors, L.P | |||||||||
Related Party Transaction [Line Items] | |||||||||
Advisory fee percentage, paid monthly | 1.00% | ||||||||
Percentage of annual administrative fee, paid monthly | 0.20% | ||||||||
Advisory and administrative fees on contributed assets | $ 5,400,000 | ||||||||
Advisory and administrative fees percentage | 1.20% | ||||||||
Advisory and administrative fees | $ 1,900,000 | 1,700,000 | $ 5,500,000 | 4,900,000 | |||||
Additional advisory and administrative fees | $ 500,000 | $ 300,000 | 1,500,000 | 900,000 | |||||
NexBank Title, Inc. | |||||||||
Related Party Transaction [Line Items] | |||||||||
Payment to affiliate for services rendered | 1,200,000 | $ 600,000 | |||||||
Maximum | NexPoint Real Estate Advisors, L.P | |||||||||
Related Party Transaction [Line Items] | |||||||||
Advisory and administrative fees on contributed assets | $ 5,400,000 | ||||||||
Advisory and administrative fees percentage | 1.50% | ||||||||
BH Management Services, LLC | |||||||||
Related Party Transaction [Line Items] | |||||||||
Property management fee percent | 3.00% | ||||||||
Inspection of properties fee, per unit | $ / Property | 15 | ||||||||
Other owner approved fees, per hour | $ / h | 55 | ||||||||
BH Management Services, LLC | Maximum | |||||||||
Related Party Transaction [Line Items] | |||||||||
Construction supervision fee, percent fee | 6.00% | ||||||||
BH Management Services, LLC | Minimum | |||||||||
Related Party Transaction [Line Items] | |||||||||
Construction supervision fee, percent fee | 5.00% |
Related Party Transactions - Su
Related Party Transactions - Summary of Fees Incurred to BH And Its Affiliates As Well As Reimbursements Paid to BH (Details) - BH Management Services, LLC - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Fees incurred | ||||
Property management fees | $ 1,110 | $ 989 | $ 3,280 | $ 3,007 |
Construction supervision fees | 213 | 247 | 651 | 624 |
Acquisition fees | 139 | 505 | 139 | |
Reimbursements | ||||
Payroll and benefits | 4,131 | 4,140 | 11,855 | 12,212 |
Other reimbursements | $ 432 | $ 460 | $ 1,457 | $ 1,465 |
Subsequent Events - Schedule fo
Subsequent Events - Schedule for Acquisitions of Real Estate (Details) $ in Thousands | Oct. 25, 2017USD ($)Property | Sep. 30, 2017USD ($)Property | Sep. 30, 2016USD ($) |
Subsequent Event [Line Items] | |||
Purchase Price | $ 138,000 | $ 22,400 | |
Debt | $ 138,000 | ||
Number of Units | Property | 968 | ||
Subsequent Event | Multifamily Properties | Atera | Dallas | Texas | |||
Subsequent Event [Line Items] | |||
Date of Acquisition | Oct. 25, 2017 | ||
Purchase Price | $ 59,200 | ||
Debt | $ 29,500 | ||
Number of Units | Property | 380 | ||
Ownership | 100.00% |
Subsequent Events - Schedule 70
Subsequent Events - Schedule for Acquisitions of Real Estate (Parenthetical) (Details) - USD ($) $ in Thousands | Oct. 25, 2017 | Sep. 30, 2017 | Sep. 30, 2016 |
Subsequent Event [Line Items] | |||
Net proceeds from sales of real estate | $ 224,416 | $ 131,786 | |
Subsequent Event | First Mortgage | |||
Subsequent Event [Line Items] | |||
Mortgage loan term | 84 months | ||
Subsequent Event | One-month LIBOR | First Mortgage | |||
Subsequent Event [Line Items] | |||
LIBOR, interest rate | 1.48% | ||
Subsequent Event | The Arbors, The Crossings, The Crossings at Holcomb Bridge and The Knolls | |||
Subsequent Event [Line Items] | |||
Net proceeds from sales of real estate | $ 14,100 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | Oct. 30, 2017 | Oct. 26, 2017 | Oct. 19, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 |
Subsequent Event [Line Items] | ||||||
Repayments of bridge loan | $ 41,278 | $ 29,000 | ||||
Bridge facility, net | $ 54,531 | $ 29,874 | ||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Percentage of increase in quarterly dividend | 13.60% | |||||
Increase in dividends payable, amount per share | $ 0.03 | |||||
Dividends payable, amount per share | $ 0.25 | |||||
Dividends payable, date declared | Oct. 30, 2017 | |||||
Dividends payable, date of record | Dec. 15, 2017 | |||||
Dividends payable, date to be paid | Dec. 29, 2017 | |||||
2017 Bridge Facility | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Repayments of bridge loan | $ 46,000 | |||||
Amended 2017 Bridge Facility | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Bridge facility, extended maturity date | Mar. 31, 2018 | |||||
Bridge facility, net | $ 8,600 | |||||
Amendment fee | $ 34,000 |