Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2021 | Apr. 23, 2021 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-36523 | |
Entity Registrant Name | URBAN EDGE PROPERTIES | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 47-6311266 | |
Entity Address, Address Line One | 888 Seventh Avenue | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10019 | |
City Area Code | (212) | |
Local Phone Number | 956-2556 | |
Title of 12(b) Security | Common shares of beneficial interest, par value $0.01 per share | |
Trading Symbol | UE | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 117,026,289 | |
Entity Central Index Key | 0001611547 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 | |
Urban Edge Properties LP | ||
Entity Information [Line Items] | ||
Entity File Number | 333-212951-01 | |
Entity Registrant Name | URBAN EDGE PROPERTIES LP | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 36-4791544 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Real estate, at cost: | ||
Land | $ 563,346 | $ 568,662 |
Buildings and improvements | 2,331,880 | 2,326,450 |
Construction in progress | 40,629 | 44,689 |
Furniture, fixtures and equipment | 7,118 | 7,016 |
Total | 2,942,973 | 2,946,817 |
Accumulated depreciation and amortization | (741,874) | (730,366) |
Real estate, net | 2,201,099 | 2,216,451 |
Operating lease right-of-use assets | 79,185 | 80,997 |
Cash and cash equivalents | 324,508 | 384,572 |
Restricted cash | 52,412 | 34,681 |
Tenant and other receivables | 16,549 | 15,673 |
Receivable arising from the straight-lining of rents | 60,980 | 62,106 |
Identified intangible assets, net of accumulated amortization of $33,980 and $37,009, respectively | 53,714 | 56,184 |
Deferred leasing costs, net of accumulated amortization of $16,494 and $16,419, respectively | 18,237 | 18,585 |
Debt issuance costs, net | 3,069 | 3,347 |
Prepaid expenses and other assets | 70,198 | 70,311 |
Total assets | 2,876,882 | 2,939,560 |
Liabilities: | ||
Mortgages payable, net | 1,584,978 | 1,587,532 |
Operating lease liabilities | 73,327 | 74,972 |
Accounts payable, accrued expenses and other liabilities | 71,745 | 132,980 |
Identified intangible liabilities, net of accumulated amortization of $73,898 and $71,375, respectively | 145,462 | 148,183 |
Total liabilities | 1,875,512 | 1,943,667 |
Commitments and contingencies | ||
Shareholders’ equity: | ||
Common shares: $0.01 par value; 500,000,000 shares authorized and 117,026,289 and 117,014,317 shares issued and outstanding, respectively | 1,170 | 1,169 |
Additional paid-in capital | 987,518 | 989,863 |
Accumulated deficit | (37,145) | (39,467) |
Noncontrolling interests: | ||
Operating partnership | 43,523 | 38,456 |
Partners’ capital: | ||
Consolidated subsidiaries | 6,304 | 5,872 |
Total equity | 1,001,370 | 995,893 |
Total liabilities and equity | 2,876,882 | 2,939,560 |
Urban Edge Properties LP | ||
Real estate, at cost: | ||
Buildings and improvements | 2,331,880 | 2,326,450 |
Construction in progress | 40,629 | 44,689 |
Furniture, fixtures and equipment | 7,118 | 7,016 |
Total | 2,942,973 | 2,946,817 |
Accumulated depreciation and amortization | (741,874) | (730,366) |
Real estate, net | 2,201,099 | 2,216,451 |
Operating lease right-of-use assets | 79,185 | 80,997 |
Cash and cash equivalents | 324,508 | 384,572 |
Restricted cash | 52,412 | 34,681 |
Tenant and other receivables | 16,549 | 15,673 |
Receivable arising from the straight-lining of rents | 60,980 | 62,106 |
Identified intangible assets, net of accumulated amortization of $33,980 and $37,009, respectively | 53,714 | 56,184 |
Deferred leasing costs, net of accumulated amortization of $16,494 and $16,419, respectively | 18,237 | 18,585 |
Prepaid expenses and other assets | 70,198 | 70,311 |
Total assets | 2,876,882 | 2,939,560 |
Liabilities: | ||
Mortgages payable, net | 1,584,978 | 1,587,532 |
Operating lease liabilities | 73,327 | 74,972 |
Accounts payable, accrued expenses and other liabilities | 71,745 | 132,980 |
Identified intangible liabilities, net of accumulated amortization of $73,898 and $71,375, respectively | 145,462 | 148,183 |
Total liabilities | 1,875,512 | 1,943,667 |
Commitments and contingencies | ||
Shareholders’ equity: | ||
Accumulated deficit | (39,827) | (42,313) |
Partners’ capital: | ||
General partner: 117,026,289 and 117,014,317 units outstanding, respectively | 988,688 | 991,032 |
Limited partners: 5,352,644 and 4,729,010 units outstanding, respectively | 46,205 | 41,302 |
Total partners’ capital | 995,066 | 990,021 |
Consolidated subsidiaries | 6,304 | 5,872 |
Total equity | 1,001,370 | 995,893 |
Total liabilities and equity | $ 2,876,882 | $ 2,939,560 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Accumulated depreciation, identifiable intangible assets | $ 33,980 | $ 37,009 |
Accumulated amortization, deferred leasing costs | 16,494 | 16,419 |
Accumulated amortization, deferred financing costs | 5,097 | 4,819 |
Accumulated amortization, identified intangible liabilities | $ 73,898 | $ 71,375 |
Common stock, par value (in dollars per share) | $ 0.01 | |
Common stock, shares authorized (in shares) | 500,000,000 | |
Common stock, shares, outstanding (in shares) | 117,026,289 | 117,014,317 |
Urban Edge Properties LP | ||
Accumulated depreciation, identifiable intangible assets | $ 33,980 | $ 37,009 |
Accumulated amortization, deferred leasing costs | 16,494 | 16,419 |
Accumulated amortization, identified intangible liabilities | $ 73,898 | $ 71,375 |
Common stock, shares, outstanding (in shares) | 117,026,289 | 117,014,317 |
Limited Partners, units outstanding (in units) | 5,352,644 | 4,729,010 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
REVENUE | ||
Rental revenue | $ 94,619 | $ 93,000 |
Total revenue | 95,661 | 93,360 |
EXPENSES | ||
Depreciation and amortization | 22,875 | 23,471 |
Real estate taxes | 16,601 | 14,966 |
Property operating | 20,291 | 14,537 |
General and administrative | 8,668 | 9,847 |
Lease expense | 3,306 | 3,434 |
Total expenses | 71,741 | 66,255 |
Gain on sale of real estate | 11,722 | 39,775 |
Interest income | 136 | 1,683 |
Interest and debt expense | (14,827) | (17,175) |
Income before income taxes | 20,951 | 51,388 |
Income tax expense | (235) | (100) |
Net income | 20,716 | 51,288 |
Less net (income) loss attributable to noncontrolling interests in: | ||
Operating partnership | (875) | (2,308) |
Consolidated subsidiaries | 79 | 0 |
Net income (loss) attributable to common shareholders | $ 19,920 | $ 48,980 |
Earnings per common share - Basic (in dollars per share) | $ 0.17 | $ 0.40 |
Earnings per common share - Diluted (in dollars per share) | $ 0.17 | $ 0.40 |
Weighted average shares outstanding - Basic (in shares) | 116,956 | 120,966 |
Weighted average shares outstanding - Diluted (in shares) | 117,024 | 121,051 |
Management and development fees | ||
REVENUE | ||
Revenues | $ 365 | $ 314 |
Other income | ||
REVENUE | ||
Revenues | 677 | 46 |
Urban Edge Properties LP | ||
REVENUE | ||
Rental revenue | 94,619 | 93,000 |
Total revenue | 95,661 | 93,360 |
EXPENSES | ||
Depreciation and amortization | 22,875 | 23,471 |
Real estate taxes | 16,601 | 14,966 |
Property operating | 20,291 | 14,537 |
General and administrative | 8,668 | 9,847 |
Lease expense | 3,306 | 3,434 |
Total expenses | 71,741 | 66,255 |
Gain on sale of real estate | 11,722 | 39,775 |
Interest income | 136 | 1,683 |
Interest and debt expense | (14,827) | (17,175) |
Income before income taxes | 20,951 | 51,388 |
Income tax expense | (235) | (100) |
Net income | 20,716 | 51,288 |
Less net (income) loss attributable to noncontrolling interests in: | ||
Consolidated subsidiaries | 79 | 0 |
Net income (loss) attributable to common shareholders | $ 20,795 | $ 51,288 |
Earnings per common share - Basic (in dollars per share) | $ 0.17 | $ 0.41 |
Earnings per common share - Diluted (in dollars per share) | $ 0.17 | $ 0.40 |
Weighted average shares outstanding - Basic (in shares) | 120,763 | 125,844 |
Weighted average shares outstanding - Diluted (in shares) | 122,166 | 126,755 |
Urban Edge Properties LP | Management and development fees | ||
REVENUE | ||
Revenues | $ 365 | $ 314 |
Urban Edge Properties LP | Other income | ||
REVENUE | ||
Revenues | $ 677 | $ 46 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - USD ($) | Total | Urban Edge Properties LP | Urban Edge Properties LPAccumulated Earnings (Deficit) | Urban Edge Properties LPNCI in Consolidated Subsidiaries | Urban Edge Properties LPGeneral Partner | Urban Edge Properties LPLimited Partners | Common Shares | Additional Paid-In Capital | Accumulated Earnings (Deficit) | Operating Partnership | NCI in Consolidated Subsidiaries | Operating PartnershipUrban Edge Properties LPLimited Partners | |
Beginning balance (in shares) at Dec. 31, 2019 | 121,370,125 | 5,833,318 | 121,370,125 | ||||||||||
Beginning balance at Dec. 31, 2019 | $ 1,014,776,000 | $ 1,014,776,000 | $ (56,166,000) | $ 424,000 | $ 1,020,362,000 | $ 50,156,000 | [1] | $ 1,213,000 | $ 1,019,149,000 | $ (52,546,000) | $ 46,536,000 | $ 424,000 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Net Income (Loss) Attributable to Parent | 48,980,000 | 51,288,000 | 51,288,000 | 48,980,000 | |||||||||
Net income attributable to noncontrolling interests | 2,308,000 | 2,308,000 | 0 | ||||||||||
Common units issued as a result of common shares issued by Urban Edge (in shares) | 30,292 | ||||||||||||
Common units issued as a result of common shares issued by Urban Edge | (1,000) | 30,000 | $ (31,000) | $ (164,462) | |||||||||
Units redeemed for common shares (in shares) | 1,025,836 | (1,025,836) | 1,025,836 | ||||||||||
Equity redemption of OP units | $ 8,346,000 | 8,346,000 | $ 8,346,000 | $ 0 | [1] | $ 10,000 | 8,336,000 | 0 | |||||
Repurchase of common shares (in shares) | (4,452,223) | ||||||||||||
Limited partnership units issued, net | $ (42,801,000) | (42,801,000) | 42,801,000 | $ (45,000) | (42,756,000) | ||||||||
Limited partnership units issued, net (in shares) | 0 | ||||||||||||
Limited partnership units issued, net | 0 | ||||||||||||
Reallocation of noncontrolling interests | (8,346,000) | (8,346,000) | 907,000 | $ (9,253,000) | [1] | 907,000 | (9,253,000) | ||||||
Common shares issued (in shares) | 30,292 | ||||||||||||
Common shares issued | $ 1,000 | 30,000 | (30,000) | ||||||||||
Dividends to common shareholders | (26,647,000) | (26,647,000) | |||||||||||
Distributions to redeemable NCI | (1,314,000) | (1,314,000) | |||||||||||
Distributions to Partners | (27,961,000) | (27,961,000) | |||||||||||
Share-based compensation expense | 3,248,000 | 3,248,000 | $ 1,151,000 | $ 2,097,000 | [1] | 1,151,000 | 0 | 2,097,000 | |||||
Share-based awards retained for taxes (in shares) | (17,999) | (17,999) | |||||||||||
Share-based awards retained for taxes | (328,000) | (328,000) | $ (328,000) | (328,000) | |||||||||
Ending balance (in shares) at Mar. 31, 2020 | 117,956,031 | 4,971,944 | 117,956,031 | ||||||||||
Ending balance at Mar. 31, 2020 | $ 998,223,000 | $ 998,223,000 | $ (32,869,000) | 424,000 | $ 987,668,000 | $ 43,000,000 | [1] | $ 1,179,000 | 986,489,000 | $ (30,243,000) | $ 40,374,000 | 424,000 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.22 | $ 0.22 | |||||||||||
Distributions to redeemable NCI (in dollars per unit) | $ 0.22 | $ 0.22 | |||||||||||
Noncontrolling interest percentage | 4.00% | ||||||||||||
Beginning balance (in shares) at Dec. 31, 2020 | 117,014,317 | 117,014,317 | 117,014,317 | 4,729,010 | 117,014,317 | ||||||||
Beginning balance at Dec. 31, 2020 | $ 995,893,000 | $ 995,893,000 | $ (42,313,000) | 5,872,000 | $ 991,032,000 | $ 41,302,000 | [2] | $ 1,169,000 | 989,863,000 | $ (39,467,000) | $ 38,456,000 | 5,872,000 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Net Income (Loss) Attributable to Parent | 19,920,000 | 20,795,000 | 20,795,000 | 19,920,000 | |||||||||
Net income attributable to noncontrolling interests | $ 796,000 | (79,000) | (79,000) | 875,000 | (79,000) | ||||||||
Common units issued as a result of common shares issued by Urban Edge (in shares) | 24,283 | ||||||||||||
Common units issued as a result of common shares issued by Urban Edge | (1,000) | 83,000 | $ (84,000) | $ 0 | |||||||||
Repurchase of common shares (in shares) | 0 | ||||||||||||
Limited partnership units issued, net | 0 | ||||||||||||
Limited partnership units issued, net (in shares) | 623,634 | ||||||||||||
Reallocation of noncontrolling interests | $ 0 | 0 | (2,817,000) | $ 2,817,000 | [2] | (2,817,000) | 2,817,000 | ||||||
Common shares issued (in shares) | 24,283 | ||||||||||||
Common shares issued | 1,000 | $ 1,000 | 83,000 | (83,000) | |||||||||
Dividends to common shareholders | (17,515,000) | (17,515,000) | |||||||||||
Distributions to redeemable NCI | (711,000) | (711,000) | |||||||||||
Distributions to Partners | (18,226,000) | (18,226,000) | |||||||||||
Share-based compensation expense | 2,683,000 | 2,683,000 | $ 597,000 | $ 2,086,000 | [2] | 597,000 | 0 | 2,086,000 | |||||
Share-based awards retained for taxes (in shares) | (12,311) | (12,311) | |||||||||||
Share-based awards retained for taxes | $ (208,000) | $ (208,000) | $ (208,000) | (208,000) | |||||||||
Ending balance (in shares) at Mar. 31, 2021 | 117,026,289 | 117,026,289 | 117,026,289 | ||||||||||
Ending balance (in shares) at Mar. 31, 2021 | 117,026,289 | 5,352,644 | |||||||||||
Ending balance at Mar. 31, 2021 | $ 1,001,370,000 | $ 1,001,370,000 | $ (39,827,000) | 6,304,000 | $ 988,688,000 | $ 46,205,000 | [2] | $ 1,170,000 | $ 987,518,000 | $ (37,145,000) | $ 43,523,000 | 6,304,000 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.15 | $ 0.15 | |||||||||||
Distributions to redeemable NCI (in dollars per unit) | $ 0.15 | $ 0.15 | |||||||||||
Noncontrolling Interest, Increase From Contributions From noncontrolling Interest Holders | $ 511,000 | $ 511,000 | $ 511,000 | $ 511,000 | |||||||||
Noncontrolling interest percentage | 4.40% | ||||||||||||
[1] | Limited partners have a 4.0% common limited partnership interest in the Operating Partnership as of March 31, 2020 in the form of units of interest in the OP Units and LTIP units. | ||||||||||||
[2] | Limited partners have a 4.4% common limited partnership interest in the Operating Partnership as of March 31, 2021 in the form of units of interest in the OP Units and LTIP units. |
CONSOLIDATED STATEMENT OF CHA_2
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Distributions to redeemable NCI (in dollars per unit) | $ 0.15 | $ 0.22 |
Accumulated Earnings (Deficit) | Urban Edge Properties LP | ||
Dividends on common shares (in dollars per share) | 0.15 | 0.22 |
Accumulated Earnings (Deficit) | ||
Dividends on common shares (in dollars per share) | 0.15 | 0.22 |
Operating Partnership | ||
Distributions to redeemable NCI (in dollars per unit) | $ 0.15 | $ 0.22 |
Operating Partnership | Limited Partners | Urban Edge Properties LP | ||
Noncontrolling interest percentage | 4.40% | 4.00% |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 20,716 | $ 51,288 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 23,330 | 23,977 |
Gain on sale of real estate | (11,722) | (39,775) |
Amortization of below market leases, net | (2,412) | (2,249) |
Noncash lease expense | 1,813 | 1,806 |
Straight-lining of rent | 964 | (674) |
Share-based compensation expense | 2,683 | 3,248 |
Change in operating assets and liabilities: | ||
Tenant and other receivables | (876) | 2,558 |
Deferred leasing costs | (600) | (636) |
Prepaid expenses and other assets | (6,879) | (9,786) |
Lease liabilities | (1,645) | (1,578) |
Accounts payable, accrued expenses and other liabilities | (6,547) | (7,383) |
Net cash provided by operating activities | 18,825 | 20,796 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Real estate development and capital improvements | 7,810 | 6,538 |
Acquisitions of real estate | 0 | 92,132 |
Proceeds from sale of operating properties | 23,208 | 54,402 |
Net cash provided by (used in) investing activities | 15,398 | (44,268) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Debt repayments | (2,727) | (2,076) |
Dividends to common shareholders | (71,348) | (26,647) |
Distributions to redeemable noncontrolling interests | (2,784) | (1,314) |
Taxes withheld for vested restricted shares | (208) | (328) |
Borrowings under unsecured credit facility | 0 | 250,000 |
Repurchase of common shares | 0 | (38,656) |
Proceeds from Noncontrolling Interests | 511 | 0 |
Net cash (used in) provided by financing activities | (76,556) | 180,979 |
Net (decrease) increase in cash and cash equivalents and restricted cash | (42,333) | 157,507 |
Cash and cash equivalents and restricted cash at beginning of period | 419,253 | 485,136 |
Cash and cash equivalents and restricted cash at end of period | 376,920 | 642,643 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Cash payments for interest, net of amounts capitalized of $81 and $125, respectively | 16,015 | 16,291 |
Cash payments for income taxes | 3 | 6 |
NON-CASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures included in accounts payable and accrued expenses | 8,632 | 2,013 |
Write-off of fully depreciated and impaired assets | 1,107 | 5,225 |
Assumption of debt through the acquisition of real estate | 0 | 72,473 |
Cash and cash equivalents at beginning of period | 384,572 | 432,954 |
Cash and cash equivalents at end of period | 324,508 | 622,667 |
Restricted cash at beginning of period | 34,681 | 52,182 |
Restricted cash at end of period | 52,412 | 19,976 |
Cash and cash equivalents and restricted cash at beginning/end of period | 376,920 | 642,643 |
Noncash Accrued Common Share Repurchase | 0 | 4,145 |
Urban Edge Properties LP | ||
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | 20,716 | 51,288 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 23,330 | 23,977 |
Gain on sale of real estate | (11,722) | (39,775) |
Amortization of below market leases, net | (2,412) | (2,249) |
Noncash lease expense | 1,813 | 1,806 |
Straight-lining of rent | 964 | (674) |
Share-based compensation expense | 2,683 | 3,248 |
Change in operating assets and liabilities: | ||
Tenant and other receivables | (876) | 2,558 |
Deferred leasing costs | (600) | (636) |
Prepaid expenses and other assets | (6,879) | (9,786) |
Lease liabilities | (1,645) | (1,578) |
Accounts payable, accrued expenses and other liabilities | (6,547) | (7,383) |
Net cash provided by operating activities | 18,825 | 20,796 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Real estate development and capital improvements | 7,810 | 6,538 |
Acquisitions of real estate | 0 | 92,132 |
Proceeds from sale of operating properties | 23,208 | 54,402 |
Net cash provided by (used in) investing activities | 15,398 | (44,268) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Debt repayments | (2,727) | (2,076) |
Distributions to partners | 74,132 | 27,961 |
Taxes withheld for vested restricted shares | (208) | (328) |
Borrowings under unsecured credit facility | 0 | 250,000 |
Repurchase of common shares | 0 | (38,656) |
Proceeds from Noncontrolling Interests | 511 | 0 |
Net cash (used in) provided by financing activities | (76,556) | 180,979 |
Net (decrease) increase in cash and cash equivalents and restricted cash | (42,333) | 157,507 |
Cash and cash equivalents and restricted cash at beginning of period | 419,253 | 485,136 |
Cash and cash equivalents and restricted cash at end of period | 376,920 | 642,643 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Cash payments for interest, net of amounts capitalized of $81 and $125, respectively | 16,015 | 16,291 |
Cash payments for income taxes | 3 | 6 |
NON-CASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures included in accounts payable and accrued expenses | 8,632 | 2,013 |
Write-off of fully depreciated and impaired assets | 1,107 | 5,225 |
Assumption of debt through the acquisition of real estate | 0 | 72,473 |
Cash and cash equivalents at beginning of period | 384,572 | 432,954 |
Cash and cash equivalents at end of period | 324,508 | 622,667 |
Restricted cash at beginning of period | 34,681 | 52,182 |
Restricted cash at end of period | 52,412 | 19,976 |
Cash and cash equivalents and restricted cash at beginning/end of period | 376,920 | 642,643 |
Noncash Accrued Common Share Repurchase | $ 0 | $ 4,145 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Capitalized interest | $ 81 | $ 125 |
Urban Edge Properties LP | ||
Capitalized interest | $ 81 | $ 125 |
ORGANIZATION
ORGANIZATION | 3 Months Ended |
Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | ORGANIZATION Urban Edge Properties (“UE”, “Urban Edge” or the “Company”) (NYSE: UE) is a Maryland real estate investment trust focused on managing, developing, redeveloping, and acquiring retail real estate in urban communities, primarily in the New York metropolitan area. Urban Edge Properties LP (“UELP” or the “Operating Partnership”) is a Delaware limited partnership formed to serve as UE’s majority-owned partnership subsidiary and to own, through affiliates, all of the Company’s real estate properties and other assets. Unless the context otherwise requires, references to “we”, “us” and “our” refer to Urban Edge Properties and UELP and their consolidated entities/subsidiaries. The Operating Partnership’s capital includes general and common limited partnership interests in the operating partnership (“OP Units”). As of March 31, 2021, Urban Edge owned approximately 95.6% of the outstanding common OP Units with the remaining limited OP Units held by members of management, Urban Edge’s Board of Trustees and contributors of property interests acquired. Urban Edge serves as the sole general partner of the Operating Partnership. The third-party unitholders have limited rights over the Operating Partnership such that they do not have characteristics of a controlling financial interest. As such, the Operating Partnership is considered a variable interest entity (“VIE”), and the Company is the primary beneficiary which consolidates it. The Company’s only investment is the Operating Partnership. The VIE’s assets can be used for purposes other than the settlement of the VIE’s obligations and the Company’s partnership interest is considered a majority voting interest. As of March 31, 2021, our portfolio consisted of 70 shopping centers, five malls and two industrial parks totaling approximately 16.2 million square feet (“sf”), which is inclusive of a 95% controlling interest in Walnut Creek, CA (Mt. Diablo), and an 82.5% controlling interest in Sunrise Mall, in Massapequa, NY. |
BASIS OF PRESENTATION AND PRINC
BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION AND COMBINATION | 3 Months Ended |
Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION | BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions of Form 10-Q. Certain information and footnote disclosures included in our annual financial statements have been condensed or omitted. In the opinion of management, the consolidated financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position of the Company and the Operating Partnership and the results of operations and cash flows for the interim periods presented. Operating results for the three months ended March 31, 2021 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2021. Accordingly, these consolidated financial statements should be read in conjunction with our consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the Securities Exchange Commission (“SEC”). The consolidated balance sheets as of March 31, 2021 and December 31, 2020 reflect the consolidation of wholly-owned subsidiaries and those entities in which we have a controlling financial interest. As of March 31, 2021 and December 31, 2020, excluding the Operating Partnership, we consolidated two VIEs with total assets of $44.2 million and $43.6 million, respectively and total liabilities of $32.0 million and $31.5 million, respectively. The consolidated statements of income for the three months ended March 31, 2021 and 2020 include the consolidated accounts of the Company and the Operating Partnership. All intercompany transactions have been eliminated in consolidation. In accordance with ASC 205 Presentation of Financial Statements, certain prior year balances have been reclassified in order to conform to the current period presentation. Our primary business is the ownership, management, redevelopment, development and operation of retail shopping centers and malls. We do not distinguish our primary business or group our operations on a geographical basis for purposes of measuring performance. The Company’s chief operating decision maker reviews operating and financial information for each property on an individual basis and therefore, each property represents an individual operating segment. None of our tenants accounted for more than 10% of our revenue or property operating income as of March 31, 2021. We aggregate all of our properties into one reportable segment due to their similarities with regard to the nature and economics of the properties, tenants and operations, as well as long-term average financial performance. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Real Estate — Real estate is carried at cost, net of accumulated depreciation and amortization. Expenditures for ordinary maintenance and repairs are expensed to operations as they are incurred. Significant renovations that improve or extend the useful lives of assets are capitalized. As real estate is undergoing redevelopment activities, all property operating expenses directly associated with and attributable to the redevelopment, including interest, are capitalized to the extent the capitalized costs of the property do not exceed the estimated fair value of the property when completed. If the cost of the redeveloped property, including the net book value of the existing property, exceeds the estimated fair value of redeveloped property, the excess is charged to impairment expense. The capitalization period begins when redevelopment activities are underway and ends when the project is substantially complete. Depreciation is recognized on a straight-line basis over estimated useful lives which range from one to 40 years. Upon the acquisition of real estate, we assess the fair value of acquired assets (including land, buildings and improvements, identified intangibles, such as acquired above and below-market leases, acquired in-place leases and tenant relationships) and acquired liabilities and we allocate the purchase price based on these assessments on a relative fair value basis. We assess fair value based on estimated cash flow projections utilizing appropriate discount and capitalization rates and available market information. Estimates of future cash flows are based on a number of factors including historical operating results, known trends, and market/economic conditions. We record acquired intangible assets (including acquired above-market leases, acquired in-place leases and tenant relationships) and acquired intangible liabilities (including below-market leases) at their estimated fair value. We amortize identified intangibles that have finite lives over the period they are expected to contribute directly or indirectly to the future cash flows of the property or business acquired. Our properties are individually reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Such events and changes include macroeconomic conditions, including those caused by global pandemics, like the recent coronavirus disease pandemic (“COVID-19” or the “COVID-19 pandemic”), which resulted in property operational disruption and indicate that the carrying amount may not be recoverable. An impairment exists when the carrying amount of an asset exceeds the aggregate projected future cash flows over the anticipated holding period on an undiscounted basis taking into account the appropriate capitalization rate in determining a future terminal value. An impairment loss is measured based on the excess of the property’s carrying amount over its estimated fair value. Estimated fair value may be based on discounted future cash flows utilizing appropriate discount and capitalization rates and, in addition to available market information, third-party appraisals, broker selling estimates or sale agreements under negotiation. Impairment analyses are based on our current plans, intended holding periods and available market information at the time the analyses are prepared. If our estimates of the projected future cash flows change based on uncertain market conditions, our evaluation of impairment losses may be different and such differences could be material to our consolidated financial statements. Tenant and Other Receivables and Changes in Collectibility Assessment — Tenant receivables include unpaid amounts billed to tenants, disputed enforceable charges and accrued revenues for future billings to tenants for property expenses. We evaluate the collectibility of amounts due from tenants and disputed enforceable charges on both a lease-by-lease and a portfolio-level, which result from the inability of tenants to make required payments under their operating lease agreements. In light of the recent and ongoing COVID-19 pandemic, the Company is closely monitoring changes in the collectibility assessment of its tenant receivables as a result of certain tenants suffering adverse financial consequences. We recognize changes in the collectibility assessment of these operating leases as adjustments to rental revenue in accordance with ASC 842 Leases . Management exercises judgment in assessing collectibility and considers payment history, current credit status and publicly available information about the financial condition of the tenant, among other factors. Tenant receivables, including receivables arising from the straight-lining of rents, are written-off directly when management deems that the collectibility of substantially all future lease payments from a specific lease is not probable for collection, at which point, the Company will begin recognizing revenue from such leases prospectively, based on actual amounts received. This write-off effectively reduces cumulative non-cash rental income recognized from the straight-lining of rents since lease commencement. In addition, future revenue recognition is limited to amounts paid by the lessee. We generally reclassify tenant receivables to the accrual basis of accounting, if and when, collectability of substantially all the remaining contractual lease payments is reasonably probable. Recently Issued Accounting Literature — Effective for the fiscal period beginning January 1, 2020, we adopted ASU 2016-13, Financial Instruments - Credit Losses (ASC 326): Measurement of Credit Losses . In connection with the adoption of ASU 2016-03, we also adopted (i) ASU 2018-19 Codification Improvements to ASC 326, Financial Instruments - Credit Losses, (ii) ASU 2019-04, Codification Improvements to ASC 326, Financial Statements - Credit Losses, Topic 815, Derivatives and Hedging and Topic 825, Financial Instruments , ( iii) ASU 2019-05 Financial Instruments - Credit Losses (ASC 326): Targeted Transition Relief and (iv) ASU 2019-11 Codification Improvements to ASC 326, Financial Instruments - Credit Losses. ASU 2016-13 introduces a new model for estimating credit losses for certain types of financial instruments and also modifies the impairment model with new methodology for estimating credits losses. In November 2018, the FASB issued ASU 2018-19 Codification Improvements to Topic 326, Financial Instruments — Credit Losses , which included amendments to clarify receivables arising from operating leases are within the scope ASC 842 Leases . Due to the adoption of ASC 842 on January 1, 2019, the Company includes rental revenue deemed uncollectible as a reduction to rental revenue in "Rental revenue" in the consolidated statements of income . As of March 31, 2021, the Company did not have any material outstanding financial instruments. The adoption of ASU 2016-13 has had no impact to our consolidated financial statements and disclosures. In December 2019, the FASB issued ASU 2019-12 Income Taxes (ASC 740): Simplifying the Accounting for Income Taxes , which enhances and simplifies various aspects of the income tax accounting. ASU 2019-12 is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2020. Early adoption is permitted. We adopted ASU 2019-12 effective January 1, 2021. The adoption of ASU 2019-12 did not have a material impact on our consolidated financial statements and disclosures. In March 2020 and January 2021, the FASB issued ASU 2020-04 Reference Rate Reform (ASC 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , and ASU 2021-01 Reference Rate Reform (ASC 848): Scope which provides temporary optional guidance to ease the potential burden in accounting for reference rate reform in contracts and other transactions that reference the London Interbank Offered Rate or another reference rate expected to be discontinued because of reference rate reform, if certain criteria are met. ASU 2020-04 and ASU 2021-01 are effective for all entities as of March 12, 2020 through December 31, 2022. We currently do not anticipate the need to modify our existing debt agreements as a result of reference rate reform in the current year, however if any modification is executed as a result of reference rate reform, the Company will elect the optional expedient available under ASU 2020-04 and ASU 2021-01, which allows entities to account for the modification as if the modification was not substantial. We will disclose the nature of and reason for electing the optional expedient in each interim and annual financial statement period if and when applicable through December 31, 2022. In April 2020, the FASB issued a question-and-answer document (the “Lease Modification Q&A”) focused on the application of lease accounting guidance to lease concessions provided as a result of COVID-19. Under existing lease guidance, the Company would have to determine, on a lease by lease basis, if a lease concession was the result of a new arrangement reached with the tenant (treated with the lease modification accounting framework) or if a lease concession was under the enforceable rights and obligations within the existing lease agreement (precluded from applying the lease modification accounting framework). The Lease Modification Q&A clarifies that entities may elect to not evaluate whether lease-related relief, that lessors provide to mitigate the economic effects of COVID-19 on lessees, is a lease modification under ASC 842. Instead, when the cash flows resulting from the lease concession granted for COVID-19 rent relief are substantially the same or less than the cash flows of the original contract, an entity may elect to apply the modification guidance (i.e. assume the relief was always contemplated by the contract or assume the relief was not contemplated by the contract). The FASB stated that there are multiple ways to account for rent concessions, none of which the FASB believes are more preferable than the others. Two of those methods are: (i) account for the concessions as if no changes to the lease contract were made; under that accounting, a lessor would continue to increase its lease receivable and continue to recognize income, referred to as the “receivable approach”; or (ii) account for the deferred payments or abatements as variable lease payments; under that accounting, a lessor would recognize the payment as income in profit or loss in the period in which the changes in facts and circumstances on which the variable lease payments are based occurred, referred to as the “variable approach”. The Company is evaluating its election on a disaggregated basis, with such election applied consistently to leases with similar characteristics and similar circumstances. As of March 31, 2021, the Company granted rent deferrals with an aggregate deferral amount of $8.2 million, with $5.2 million accounted for under the receivable approach by electing the Lease Modification Q&A and $3.0 million accounted for as modifications due to term extensions of the leases. The Company also granted abatements with an aggregate abatement amount of $6.7 million as of March 31, 2021, $1.0 million accounted for under the variable approach and $5.7 million accounted for as modifications due to the executed agreements including other rental term modifications, such as term extensions and substantial changes in cash flows. The Company remains in active discussions with its impacted tenants to grant further concessions. The full future impact of the Lease Modification Q&A is dependent upon the extent of lease concessions granted to tenants as a result of COVID-19 and the elections made by the Company at the time of entering into such concessions. Refer to Note 10 to the unaudited consolidated financial statements in Part I, Item I of this Quarterly Report on Form 10-Q. |
ACQUISITIONS AND DISPOSITIONS
ACQUISITIONS AND DISPOSITIONS | 3 Months Ended |
Mar. 31, 2021 | |
Business Combinations [Abstract] | |
ACQUISITIONS AND DISPOSITIONS | ACQUISITIONS AND DISPOSITIONS Acquisitions During the three months ended March 31, 2021, no acquisitions were completed by the Company. During the three months ended March 31, 2020, we closed on the following acquisitions: Date Purchased Property Name City State Square Feet Purchase Price (in thousands) February 12, 2020 Kingswood Center Brooklyn NY 130,000 $ 90,212 February 12, 2020 Kingswood Crossing Brooklyn NY 110,000 77,077 2020 Total $ 167,289 (1) (1) The total purchase price for the properties acquired during the three months ended March 31, 2020 includes $2.5 million of transaction costs incurred related to the acquisitions. On February 12, 2020, the Company acquired Kingswood Center and Kingswood Crossing for $167.3 million, including transaction costs. The properties are located along Kings Highway in the Midwood neighborhood of Brooklyn, NY and were funded via 1031 exchanges using cash proceeds from dispositions. Additionally, as part of the acquisition of Kingswood Center, the Company assumed a $65.5 million mortgage, which matures in 2028. The aggregate purchase price of the above property acquisitions has been allocated as follows: Property Name Land Buildings and improvements Identified intangible assets (1) Identified intangible liabilities (1) Debt premium Total Purchase Price (in thousands) Kingswood Center $ 15,690 $ 76,766 $ 9,263 $ (4,534) $ (6,973) $ 90,212 Kingswood Crossing 8,150 64,159 4,768 — — 77,077 2020 Total $ 23,840 $ 140,925 $ 14,031 $ (4,534) $ (6,973) $ 167,289 (1) As of March 31, 2021, the remaining weighted average amortization periods of the identified intangible assets and identified intangible liabilities acquired were 8.1 years and 9.6 years, respectively. Dispositions During the three months ended March 31, 2021 , we disposed of one property and one property parcel and received proceeds of $23.6 million, net of selling costs, resulting in a $11.7 million net gain on sale of real estate. |
IDENTIFIED INTANGIBLE ASSETS AN
IDENTIFIED INTANGIBLE ASSETS AND LIABILITIES | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
IDENTIFIED INTANGIBLE ASSETS AND LIABILITIES | IDENTIFIED INTANGIBLE ASSETS AND LIABILITIES Our identified intangible assets (acquired in-place and above-market leases) and liabilities (acquired below-market leases), net of accumulated amortization, were $53.7 million and $145.5 million, respectively, as of March 31, 2021 and $56.2 million and $148.2 million, respectively, as of December 31, 2020. Amortization of acquired below-market leases, net of acquired above-market leases resulted, in additional rental income of $2.4 million for the three months ended March 31, 2021 and $2.2 million for the same period in 2020. Amortization of acquired in-place leases inclusive of customer relationships resulted in additional depreciation and amortization expense of $2.1 million for the three months ended March 31, 2021, and $2.0 million for the same period in 2020. The following table sets forth the estimated annual amortization income and expense related to intangible assets and liabilities for the remainder of 2021 and the five succeeding years: (Amounts in thousands) Below-Market Above-Market In-Place Lease Year Operating Lease Amortization Operating Lease Amortization Amortization 2021 (1) $ 7,891 $ (860) $ (5,576) 2022 10,449 (803) (5,962) 2023 10,404 (695) (4,822) 2024 10,168 (631) (4,335) 2025 9,995 (452) (3,702) 2026 9,660 (434) (3,466) (1) |
MORTGAGES PAYABLE
MORTGAGES PAYABLE | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
MORTGAGES PAYABLE | MORTGAGES PAYABLE The following is a summary of mortgages payable as of March 31, 2021 and December 31, 2020. Interest Rate at March 31, December 31, (Amounts in thousands) Maturity March 31, 2021 2021 2020 First mortgages secured by: Variable rate Cherry Hill (Plaza at Cherry Hill) (1) 5/24/2022 1.72% $ 28,930 $ 28,930 Westfield (One Lincoln Plaza) (1) 5/24/2022 1.72% 4,730 4,730 Woodbridge (Plaza at Woodbridge) (1) 5/25/2022 1.72% 55,340 55,340 Jersey City (Hudson Commons) (2) 11/15/2024 2.02% 28,448 28,586 Watchung (2) 11/15/2024 2.02% 26,484 26,613 Bronx (1750-1780 Gun Hill Road) (2) 12/1/2024 2.02% 25,049 25,172 Total variable rate debt 168,981 169,371 Fixed rate Bergen Town Center - West, Paramus 4/8/2023 3.56% 300,000 300,000 Bronx (Shops at Bruckner) 5/1/2023 3.90% 10,189 10,351 Jersey City (Hudson Mall) 12/1/2023 5.07% 22,713 22,904 Yonkers Gateway Center 4/6/2024 4.16% 28,058 28,482 Brick 12/10/2024 3.87% 50,000 50,000 North Plainfield 12/10/2025 3.99% 25,100 25,100 Las Catalinas 2/1/2026 4.43% 126,759 127,669 Middletown 12/1/2026 3.78% 31,400 31,400 Rockaway 12/1/2026 3.78% 27,800 27,800 East Hanover (200 - 240 Route 10 West) 12/10/2026 4.03% 63,000 63,000 North Bergen (Tonnelle Ave) 4/1/2027 4.18% 100,000 100,000 Manchester 6/1/2027 4.32% 12,500 12,500 Millburn 6/1/2027 3.97% 23,270 23,381 Totowa 12/1/2027 4.33% 50,800 50,800 Woodbridge (Woodbridge Commons) 12/1/2027 4.36% 22,100 22,100 East Brunswick 12/6/2027 4.38% 63,000 63,000 East Rutherford 1/6/2028 4.49% 23,000 23,000 Brooklyn (Kingswood Center) 2/6/2028 5.07% 71,475 71,696 Hackensack 3/1/2028 4.36% 66,400 66,400 Marlton 12/1/2028 3.86% 37,400 37,400 East Hanover Warehouses 12/1/2028 4.09% 40,700 40,700 Union (2445 Springfield Ave) 12/10/2028 4.01% 45,600 45,600 Freeport (Freeport Commons) 12/10/2029 4.07% 43,100 43,100 Montehiedra 6/1/2030 5.00% 80,712 81,141 Montclair 8/15/2030 3.15% 7,250 7,250 Garfield 12/1/2030 4.14% 40,300 40,300 Mt Kisco 11/15/2034 6.40% 12,813 12,952 Total fixed rate debt 1,425,439 1,428,026 Total mortgages payable 1,594,420 1,597,397 Unamortized debt issuance costs (9,442) (9,865) Total mortgages payable, net of unamortized debt issuance costs 1,584,978 1,587,532 (1) Bears interest at one month LIBOR plus 160 bps. (2) Bears interest at one month LIBOR plus 190 bps. The net carrying amount of real estate collateralizing the above indebtedness amounted to approximately $1.3 billion as of March 31, 2021. Our mortgage loans contain covenants that limit our ability to incur additional indebtedness on these properties and in certain circumstances require lender approval of tenant leases and/or yield maintenance upon repayment prior to maturity. As of March 31, 2021, we were in compliance with all debt covenants. As of March 31, 2021, the principal repayments of the Company’s total outstanding debt for the next five years and thereafter are as follows: (Amounts in thousands) Year Ending December 31, 2021 (1) $ 11,538 2022 103,586 2023 349,814 2024 163,720 2025 40,946 2026 230,694 Thereafter 694,122 (1) Remainder of 2021. Revolving Credit Agreement On January 15, 2015, we entered into a $500 million Revolving Credit Agreement (the “Agreement”) with certain financial institutions. On March 7, 2017, we amended and extended the Agreement to increase the credit facility size by $100 million to $600 million and extended the maturity date to March 7, 2021, with two six-month extension options. On July 29, 2019, we entered into a second amendment to the Agreement to extend the maturity date to January 29, 2024, with two six-month extension options. On June 3, 2020, we entered into a third amendment to the Agreement, which among other things, modifies certain definitions and the measurement period for certain financial covenants to a trailing four-quarter period instead of the most recent quarter period annualized. Company borrowings under the Agreement are subject to interest at LIBOR plus 1.05% to 1.50% and an annual facility fee of 15 to 30 basis points. Both the spread over LIBOR and the facility fee are based on our current leverage ratio and are subject to increase if our leverage ratio increases above predefined thresholds. The Agreement contains customary financial covenants including a maximum leverage ratio of 60% and a minimum fixed charge coverage ratio of 1.5x. No amounts were drawn or outstanding under the Agreement as of March 31, 2021 or December 31, 2020, respectively. Financing costs associated with executing the Agreement of $3.1 million and $3.3 million as of March 31, 2021 and December 31, 2020, respectively, are included in deferred financing costs, net in the consolidated balance sheets. Mortgage on Las Catalinas Mall In April 2020, we notified the servicer of the $129 million non-recourse mortgage loan on Las Catalinas Mall in Puerto Rico that cash flow would be insufficient to service the debt and that we were unwilling to fund the shortfalls. In December 2020, the non-recourse mortgage loan on Las Catalinas Mall was modified to convert the mortgage from an amortizing 4.43% loan to interest only payments, starting at 3.00% in 2021 and increasing 50 basis points annually until returning to 4.43% in 2024 and thereafter, and to include the ability for the Company to repay the loan at a discounted value of $72.5 million, beginning in August 2023 through the extended maturity date of February 2026. We have accrued interest of $5.4 million related to this mortgage, which is included in accounts payable, accrued expenses and other liabilities on the consolidated balance sheet as of March 31, 2021. We incurred $1.2 million of lender fees in connection with the loan modification which are treated as a reduction of the mortgage payable balance and amortized over the term of the loan in accordance with the provisions under ASC 470-60 Troubled Debt Restructurings . Mortgage on The Outlets at Montehiedra |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The Company elected to be taxed as a REIT under sections 856-860 of the Internal Revenue Code of 1986, as amended (the “Code”), commencing with the filing of its 2015 tax return for its tax year ended December 31, 2015. With the exception of the Company’s taxable REIT subsidiary (“TRS”), to the extent the Company meets certain requirements under the Code, the Company will not be taxed on its federal taxable income. If we fail to qualify as a REIT for any taxable year, we will be subject to federal income taxes at regular corporate rates, including any alternative minimum tax, which, for corporations, was repealed under the Tax Cuts and Jobs Act (“TCJA”) and may not be able to qualify as a REIT for the four subsequent taxable years. In addition to its TRS, the Company is subject to certain foreign and state and local income taxes, in particular income taxes arising from its operating activities in Puerto Rico, which are included in income tax expense in the consolidated statements of income. For U.S. federal income tax purposes, the REIT and other minority members are partners in the Operating Partnership. As such, the partners are required to report their share of taxable income on their respective tax returns. However, during the three months ended March 31, 2021 and 2020, certain non-real estate operating activities that could not be performed by the REIT, occurred through the Company’s taxable REIT subsidiary (“TRS”), and the Company’s TRS is subject to federal, state and local income taxes. These income taxes are included in the income tax expense in the consolidated statements of income. During the three months ended March 31, 2021, the REIT was subject to Puerto Rico corporate income taxes on its allocable share of the Company’s Puerto Rico operating activities. For the three months ended March 31, 2021 and 2020, the Puerto Rico income tax expense was $0.2 million and $0.1 million, respectively. All amounts for the three months ended March 31, 2021 and 2020 are included in income tax expense on the consolidated statements of income. The Puerto Rico corporate income tax consists of a flat 18.5% tax rate plus a graduated income surcharge tax for a maximum corporate income tax rate of 37.5%. In addition, the REIT is subject to a 10% branch profit tax on the earnings and profits generated from its allocable share of the Company’s Puerto Rico operating activities and such tax is included in income tax expense in the consolidated statements of income. During the three months ended March 31, 2020 both Puerto Rico malls were special partnerships and subject to a 29% non-resident withholding tax on the net income from operating activities allocated to the Operating Partnership. |
LEASES (Notes)
LEASES (Notes) | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
LEASES | LEASES All rental revenue was generated from operating leases for the three months ended March 31, 2021 and March 31, 2020, respectively. The components of rental revenue for the three months ended March 31, 2021 and 2020 were as follows: Three Months Ended March 31, (Amounts in thousands) 2021 2020 Rental Revenue Fixed lease revenue $ 65,653 $ 69,097 Variable lease revenue 28,966 23,903 Total rental revenue $ 94,619 $ 93,000 |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS ASC 820, Fair Value Measurement and Disclosures defines fair value and establishes a framework for measuring fair value. The objective of fair value is to determine the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (the exit price). ASC 820 establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three levels: Level 1 - quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities; Level 2 - observable prices based on inputs not quoted in active markets, but corroborated by market data; and Level 3 - unobservable inputs used when little or no market data is available. The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider counterparty credit risk in our assessment of fair value. Financial Assets and Liabilities Measured at Fair Value on a Recurring or Non-Recurring Basis There were no financial assets or liabilities measured at fair value on a recurring or non-recurring basis as of March 31, 2021 and December 31, 2020. Financial Assets and Liabilities not Measured at Fair Value Financial assets and liabilities that are not measured at fair value on the consolidated balance sheets include cash and cash equivalents and mortgages payable. Cash and cash equivalents are carried at cost, which approximates fair value. The fair value of mortgages payable is calculated by discounting the future contractual cash flows of these instruments using current risk-adjusted rates available to borrowers with similar credit ratings, which are provided by a third-party specialist. The fair value of cash and cash equivalents is classified as Level 1 and the fair values of mortgages payable is classified as Level 2. The table below summarizes the carrying amounts and fair value of these financial instruments as of March 31, 2021 and December 31, 2020. As of March 31, 2021 As of December 31, 2020 (Amounts in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Assets: Cash and cash equivalents $ 324,508 $ 324,508 $ 384,572 $ 384,572 Liabilities: Mortgages payable (1) $ 1,594,420 $ 1,610,513 $ 1,597,397 $ 1,611,868 (1) Carrying amounts exclude unamortized debt issuance costs of $9.4 million and $9.9 million as of March 31, 2021 and December 31, 2020, respectively. Nonfinancial Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis We assess the carrying value of our properties for impairment when events or changes in circumstances indicate that the carrying value may not be recoverable. Such events and changes include macroeconomic conditions, including those caused by global pandemics, such as COVID-19, which may result in property operational disruption and indicate that the carrying amount may not be recoverable. No impairment charges were recognized during the three months ended March 31, 2021 or March 31, 2020. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES There are various legal actions against us in the ordinary course of business. After consultation with legal counsel, we have concluded that the outcome of such matters will not have a material adverse effect on our financial condition, results of operations or cash flows. Redevelopment As of March 31, 2021, we had approximately $121.1 million of active development, redevelopment and anchor repositioning projects under way, of which $81.7 million remains to be funded. Further, while we have identified future projects in our development pipeline, we are under no obligation to execute and fund any of these projects and each of these projects is being reevaluated considering market conditions. Insurance The Company’s primary and excess insurance policies providing coverage for pollution related losses have an aggregate limit of $50 million and provide remediation and business interruption coverage for pollution incidents, which pursuant to our policies expressly include the presence and dispersal of viruses. On December 23, 2020, the Company initiated litigation in New Jersey state court, Bergen County, under these policies to recover uncollected rents and other amounts resulting from the COVID-19 virus. Insurance premiums are typically charged directly to each of the properties but not all of the cost of such premiums are recovered. The Company is responsible for deductibles, losses in excess of insurance coverage, and the portion of premiums not reimbursable by tenants at our properties, which could be material. We continue to monitor the state of the insurance market and the scope and costs of available coverage. We cannot anticipate what coverage will be available on commercially reasonable terms in the future and expect premiums across most coverage lines to increase in light of recent events. The incurrence of uninsured losses, costs or uncovered premiums could materially and adversely affect our business, results of operations and financial condition. Certain of our loans and other agreements contain customary covenants requiring the maintenance of insurance coverage. Although we believe that we currently have adequate insurance coverage for purposes of these agreements, we may not be able to obtain an equivalent amount of coverage at reasonable costs in the future. If lenders or other counterparties insist on greater coverage than we are able to obtain, such requirement could materially and adversely affect our ability to finance our properties and expand our portfolio. Environmental Matters Each of our properties has been subjected to varying degrees of environmental assessment at various times. Based on these assessments, we have accrued costs of $1.8 million on our consolidated balance sheets as of both March 31, 2021 and December 31, 2020, for remediation costs for environmental contamination at certain properties. While this accrual reflects our best estimates of the potential costs of remediation at these properties, there can be no assurance that the actual costs will not exceed these amounts. Although we are not aware of any other material environmental contamination, there can be no assurance that the identification of new areas of contamination, changes in the extent or known scope of contamination, the discovery of additional sites, or changes in cleanup requirements would not result in significant costs to us. Pandemic-Related Contingencies On January 30, 2020, the spread of the COVID-19 outbreak was declared a Public Health Emergency of International Concern by the World Health Organization ("WHO"). On March 11, 2020, WHO characterized the COVID-19 outbreak as a pandemic. Since March, the continually evolving COVID-19 pandemic impacted our tenants and business operations. The Company has taken precautions to protect the safety, health and well-being of its employees and tenants. Many of our tenants have faced adverse financial consequences from reduced business operations and social distancing requirements resulting from the COVID-19 pandemic. As of March 31, 2021, substantially all of our portfolio's gross leasable area was open for business and the Company collected approximately 93% of rental revenue for the first quarter of 2021. Since the pandemic was declared in 2020, the Company has granted rent concessions and other lease-related relief, such as rent deferrals, to certain impacted tenants. We evaluate rent relief requests on a case-by-case basis and not all requests are granted. Rent relief, deferral or abatements and tenant defaults on lease obligations, such as repayment of deferred rent may have a negative impact on our rental revenue and net income. As of March 31, 2021, the Company executed rent deferrals aggregating $8.2 million with a weighted average payback period of approximately 18 months. Additionally, as of March 31, 2021, the Company executed rent abatements aggregating $6.7 million. The Company is not currently aware of any other loss contingencies related to the COVID-19 pandemic that would require recognition at this time, with the exception of abatements already discussed with tenants or tenant receivables that may not be collected. Bankruptcies Although our rental revenue is supported by long-term leases, leases may be rejected in a bankruptcy proceeding and the related tenant stores may permanently vacate prior to lease expiration. In the event a tenant with a significant number of leases or square footage in our shopping centers files for bankruptcy and rejects its leases with us, we could experience a reduction in our revenues. We monitor the operating performance and rent collections of all tenants in our shopping centers, especially those tenants in arrears or operating retail formats that are experiencing significant changes in competition, business practice, or store closings in other locations. Given the economic environment brought upon by COVID-19, certain tenants experienced liquidity or financial hardships and filed for Chapter 11 bankruptcy protection since the pandemic was declared. Although some of these tenants intend to exit the Chapter 11 bankruptcy process and resume operations, the outcomes of such proceedings are unknown and the Company is currently exploring leasing alternatives for these spaces. |
PREPAID EXPENSES AND OTHER ASSE
PREPAID EXPENSES AND OTHER ASSETS | 3 Months Ended |
Mar. 31, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
PREPAID EXPENSES AND OTHER ASSETS | PREPAID EXPENSES AND OTHER ASSETS The following is a summary of the composition of the prepaid expenses and other assets in the consolidated balance sheets: Balance at (Amounts in thousands) March 31, 2021 December 31, 2020 Other assets $ 6,879 $ 5,953 Deferred tax asset, net 39,484 39,677 Deferred financing costs, net of accumulated amortization of $5,097 and $4,819, respectively 3,069 3,347 Finance lease right-of-use asset 2,724 2,724 Real estate held for sale — 7,056 Prepaid expenses: Real estate taxes 8,097 8,093 Insurance 7,888 1,583 Licenses/fees 2,057 1,878 Total Prepaid expenses and other assets $ 70,198 $ 70,311 |
ACCOUNTS PAYABLE, ACCRUED EXPEN
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES | 3 Months Ended |
Mar. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES | ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES The following is a summary of the composition of accounts payable, accrued expenses and other liabilities in the consolidated balance sheets: Balance at (Amounts in thousands) March 31, 2021 December 31, 2020 Dividend payable $ — $ 55,905 Deferred tenant revenue 22,775 26,594 Accrued interest payable 9,423 11,095 Accrued capital expenditures and leasing costs 9,387 7,797 Security deposits 5,781 5,884 Finance lease liability 2,996 2,993 Accrued payroll expenses 3,098 5,797 Other liabilities and accrued expenses 18,285 16,915 Total accounts payable, accrued expenses and other liabilities $ 71,745 $ 132,980 |
INTEREST AND DEBT EXPENSE
INTEREST AND DEBT EXPENSE | 3 Months Ended |
Mar. 31, 2021 | |
Other Income and Expenses [Abstract] | |
INTEREST AND DEBT EXPENSE | INTEREST AND DEBT EXPENSE The following table sets forth the details of interest and debt expense in the consolidated statements of income: Three Months Ended March 31, (Amounts in thousands) 2021 2020 Interest expense $ 14,070 $ 16,469 Amortization of deferred financing costs 757 706 Total Interest and debt expense $ 14,827 $ 17,175 |
EQUITY AND NONCONTROLLING INTER
EQUITY AND NONCONTROLLING INTEREST | 3 Months Ended |
Mar. 31, 2021 | |
Noncontrolling Interest [Abstract] | |
EQUITY AND NONCONTROLLING INTEREST | EQUITY AND NONCONTROLLING INTEREST Share Repurchase Program In March 2020, the Company’s Board of Trustees authorized a share repurchase program for up to $200 million of the Company’s common shares. Under the program, the Company may repurchase its shares from time to time in the open market or in privately negotiated transactions in compliance with Securities and Exchange Commission Rule 10b-18. The amount and timing of the purchases will depend on a number of factors including the price and availability of the Company’s shares, trading volume and general market conditions. The share repurchase program does not obligate the Company to acquire any particular amount of common shares and may be suspended or discontinued at any time at the Company’s discretion. During the three months ended March 31, 2021, no shares were repurchased by the Company. During the three months ended March 31, 2020, the Company repurchased 4.5 million common shares at a weighted average share price of $9.61 under this program, for a total of $42.8 million. Dividends and Distributions During the three months ended March 31, 2021 and March 31, 2020, the Company declared distributions on common shares and OP units of $0.15 and $0.22 per share/unit, respectively. Noncontrolling Interests in Operating Partnership Noncontrolling interests in the Operating Partnership reflected on the consolidated balance sheets of the Company are comprised of OP units and limited partnership interests in the Operating Partnership in the form of LTIP unit awards. LTIP unit awards were granted to certain executives pursuant to our 2015 Omnibus Share Plan (the “Omnibus Share Plan”) and our 2018 Inducement Equity Plan (the “Inducement Plan”). OP units were issued to contributors in exchange for their property interests in connection with the Company’s property acquisitions in 2017. The total of the OP units and LTIP units represent a 4.2% weighted-average interest in the Operating Partnership for the three months ended March 31, 2021. Holders of outstanding vested LTIP units may, from and after two years from the date of issuance, redeem their LTIP units for cash, or for the Company’s common shares on a one-for-one basis, solely at our election. Holders of outstanding OP units may redeem their units for cash or the Company’s common shares on a one-for-one basis, solely at our election. Noncontrolling Interests in Consolidated Subsidiaries The Company’s noncontrolling interests relate to the 5% interest held by others in our property in Walnut Creek, CA (Mount Diablo) and 17.5% held by others in our property in Massapequa, NY. T |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION Share-Based Compensation Expense Share-based compensation expense, which is included in general and administrative expenses in our consolidated statements of income, is summarized as follows: Three Months Ended March 31, (Amounts in thousands) 2021 2020 Share-based compensation expense components: Restricted share expense $ 178 $ 260 Stock option expense 413 868 LTIP expense (1) 1,130 1,183 Performance-based LTI expense (2) 956 915 Deferred share unit (“DSU”) expense 6 22 Total Share-based compensation expense $ 2,683 $ 3,248 (1) LTIP expense includes the time-based portion of the 2018, 2019, 2020 and 2021 LTI Plans. (2) Performance-based LTI expense includes the 2017 OPP plan and the performance-based portion of the 2018, 2019, 2020 and 2021 LTI Plans. Equity award activity during the three months ended March 31, 2021 included: (i) 273,615 LTIP units granted, (ii) 32,618 restricted shares vested, (iii) 17,933 restricted shares granted and (iv) 1,142 restricted shares forfeited. 2021 Long-Term Incentive Plan On February 10, 2021, the Compensation Committee of the Board of Trustees of the Company approved the Company’s 2021 Long-Term Incentive Plan (“2021 LTI Plan”). The Plan is a multi-year, equity compensation program under which participants, including our Chairman and Chief Executive Officer, have the opportunity to earn awards in the form of LTIP units that vest based on the passage of time (one-half of the program) and performance goals tied to our relative and absolute total shareholder return (“TSR”) during the three-year performance period following their grant (one-half of the program). The total grant date fair value under the 2021 LTI Plan was $7.8 million comprising both performance-based and time-based awards as described further below: Performance-based awards For the performance-based awards under the 2021 LTI Plan, participants, have the opportunity to earn awards in the form of LTIP Units if Urban Edge’s absolute and/or relative TSR meets certain criteria over the three-year performance measurement period (the “Performance Period”) beginning on February 10, 2021 and ending on February 9, 2024. The Company granted performance-based awards under the 2021 LTI Plan that represent 398,977 LTIP Units. The fair value of the performance-based award portion of the 2021 LTI Plan on the date of grant was $3.9 million using a Monte Carlo simulation to estimate the fair value through a risk-neutral premise. Under the Absolute TSR component, 40% of the LTIP Units will be earned if the Company’s TSR over the Performance Period is equal to 18%, 100% of the LTIP Units will be earned if the Company’s TSR over the Performance Period is equal to 27%, and 165% of the LTIP Units will be earned if the Company’s TSR over the Performance Period is equal to or greater than 36%. The Relative TSR component is based on the Company’s performance compared to a peer group comprised of 16 companies. Under the Relative TSR Component, 40% of the LTIP Units will be earned if the Company’s TSR over the Performance Period is equal to the 35 th percentile of the peer group, 100% of the LTIP Units will be earned if the Company’s TSR over the Performance Period is equal to the 55 th percentile of the peer group, and 165% of the LTIP Units will be earned if the Company’s TSR over the Performance Period is equal to or above the 75th percentile of the peer group, with earning determined using linear interpolation if in between such relative and absolute TSR thresholds. Time-based awards The time-based awards granted under the 2021 LTI Plan, also granted in the form of LTIP Units, vest ratably over three years except in the case of our Chairman and Chief Executive Officer, where the vesting is ratably over four years. As of March 31, 2021, the Company granted time-based awards under the 2021 LTI Plan that represent 273,615 LTIP units with a grant date fair value of $3.9 million. |
EARNINGS PER SHARE AND UNIT
EARNINGS PER SHARE AND UNIT | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE AND UNIT | EARNINGS PER SHARE AND UNIT Urban Edge Earnings per Share We have calculated earnings per share (“EPS”) under the two-class method. The two-class method is an earnings allocation methodology whereby EPS for each class of Urban Edge common shares and participating securities is calculated according to dividends declared and participating rights in undistributed earnings. Restricted shares issued pursuant to our share-based compensation program are considered participating securities, and as such have non-forfeitable rights to receive dividends. The following table sets forth the computation of our basic and diluted earnings per share: Three Months Ended March 31, (Amounts in thousands, except per share amounts) 2021 2020 Numerator: Net income attributable to common shareholders $ 19,920 $ 48,980 Less: Earnings allocated to unvested participating securities (12) (34) Net income available for common shareholders - basic $ 19,908 $ 48,946 Impact of assumed conversions: OP and LTIP units — — Net income available for common shareholders - dilutive $ 19,908 $ 48,946 Denominator: Weighted average common shares outstanding - basic 116,956 120,966 Effect of dilutive securities (1) : Restricted share awards 68 85 Assumed conversion of OP and LTIP units — — Weighted average common shares outstanding - diluted 117,024 121,051 Earnings per share available to common shareholders: Earnings per common share - Basic $ 0.17 $ 0.40 Earnings per common share - Diluted $ 0.17 $ 0.40 ( 1) For the three months ended March 31, 2021 and 2020, respectively, the effect of the redemption of OP and LTIP units for Urban Edge common shares would have an anti-dilutive effect on the calculation of diluted EPS. Accordingly, the impact of such redemption has not been included in the determination of diluted EPS for these periods. Operating Partnership Earnings per Unit The following table sets forth the computation of basic and diluted earnings per unit: Three Months Ended March 31, (Amounts in thousands, except per unit amounts) 2021 2020 Numerator: Net income attributable to unitholders $ 20,795 $ 51,288 Less: net income attributable to participating securities (12) (34) Net income available for unitholders $ 20,783 $ 51,254 Denominator: Weighted average units outstanding - basic 120,763 125,844 Effect of dilutive securities issued by Urban Edge 68 85 Unvested LTIP units 1,335 826 Weighted average units outstanding - diluted 122,166 126,755 Earnings per unit available to unitholders: Earnings per unit - Basic $ 0.17 $ 0.41 Earnings per unit - Diluted $ 0.17 $ 0.40 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Accounting | The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions of Form 10-Q. Certain information and footnote disclosures included in our annual financial statements have been condensed or omitted. In the opinion of management, the consolidated financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position of the Company and the Operating Partnership and the results of operations and cash flows for the interim periods presented. Operating results for the three months ended March 31, 2021 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2021. Accordingly, these consolidated financial statements should be read in conjunction with our consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the Securities Exchange Commission (“SEC”). |
Consolidation and Noncontrolling Interests | The consolidated balance sheets as of March 31, 2021 and December 31, 2020 reflect the consolidation of wholly-owned subsidiaries and those entities in which we have a controlling financial interest. As of March 31, 2021 and December 31, 2020, excluding the Operating Partnership, we consolidated two VIEs with total assets of $44.2 million and $43.6 million, respectively and total liabilities of $32.0 million and $31.5 million, respectively. The consolidated statements of income for the three months ended March 31, 2021 and 2020 include the consolidated accounts of the Company and the Operating Partnership. All intercompany transactions have been eliminated in consolidation. |
Recently Issued Accounting Literature | Recently Issued Accounting Literature — Effective for the fiscal period beginning January 1, 2020, we adopted ASU 2016-13, Financial Instruments - Credit Losses (ASC 326): Measurement of Credit Losses . In connection with the adoption of ASU 2016-03, we also adopted (i) ASU 2018-19 Codification Improvements to ASC 326, Financial Instruments - Credit Losses, (ii) ASU 2019-04, Codification Improvements to ASC 326, Financial Statements - Credit Losses, Topic 815, Derivatives and Hedging and Topic 825, Financial Instruments , ( iii) ASU 2019-05 Financial Instruments - Credit Losses (ASC 326): Targeted Transition Relief and (iv) ASU 2019-11 Codification Improvements to ASC 326, Financial Instruments - Credit Losses. ASU 2016-13 introduces a new model for estimating credit losses for certain types of financial instruments and also modifies the impairment model with new methodology for estimating credits losses. In November 2018, the FASB issued ASU 2018-19 Codification Improvements to Topic 326, Financial Instruments — Credit Losses , which included amendments to clarify receivables arising from operating leases are within the scope ASC 842 Leases . Due to the adoption of ASC 842 on January 1, 2019, the Company includes rental revenue deemed uncollectible as a reduction to rental revenue in "Rental revenue" in the consolidated statements of income . As of March 31, 2021, the Company did not have any material outstanding financial instruments. The adoption of ASU 2016-13 has had no impact to our consolidated financial statements and disclosures. In December 2019, the FASB issued ASU 2019-12 Income Taxes (ASC 740): Simplifying the Accounting for Income Taxes , which enhances and simplifies various aspects of the income tax accounting. ASU 2019-12 is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2020. Early adoption is permitted. We adopted ASU 2019-12 effective January 1, 2021. The adoption of ASU 2019-12 did not have a material impact on our consolidated financial statements and disclosures. In March 2020 and January 2021, the FASB issued ASU 2020-04 Reference Rate Reform (ASC 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , and ASU 2021-01 Reference Rate Reform (ASC 848): Scope which provides temporary optional guidance to ease the potential burden in accounting for reference rate reform in contracts and other transactions that reference the London Interbank Offered Rate or another reference rate expected to be discontinued because of reference rate reform, if certain criteria are met. ASU 2020-04 and ASU 2021-01 are effective for all entities as of March 12, 2020 through December 31, 2022. We currently do not anticipate the need to modify our existing debt agreements as a result of reference rate reform in the current year, however if any modification is executed as a result of reference rate reform, the Company will elect the optional expedient available under ASU 2020-04 and ASU 2021-01, which allows entities to account for the modification as if the modification was not substantial. We will disclose the nature of and reason for electing the optional expedient in each interim and annual financial statement period if and when applicable through December 31, 2022. In April 2020, the FASB issued a question-and-answer document (the “Lease Modification Q&A”) focused on the application of lease accounting guidance to lease concessions provided as a result of COVID-19. Under existing lease guidance, the Company would have to determine, on a lease by lease basis, if a lease concession was the result of a new arrangement reached with the tenant (treated with the lease modification accounting framework) or if a lease concession was under the enforceable rights and obligations within the existing lease agreement (precluded from applying the lease modification accounting framework). The Lease Modification Q&A clarifies that entities may elect to not evaluate whether lease-related relief, that lessors provide to mitigate the economic effects of COVID-19 on lessees, is a lease modification under ASC 842. Instead, when the cash flows resulting from the lease concession granted for COVID-19 rent relief are substantially the same or less than the cash flows of the original contract, an entity may elect to apply the modification guidance (i.e. assume the relief was always contemplated by the contract or assume the relief was not contemplated by the contract). The FASB stated that there are multiple ways to account for rent concessions, none of which the FASB believes are more preferable than the others. Two of those methods are: (i) account for the concessions as if no changes to the lease contract were made; under that accounting, a lessor would continue to increase its lease receivable and continue to recognize income, referred to as the “receivable approach”; or (ii) account for the deferred payments or abatements as variable lease payments; under that accounting, a lessor would recognize the payment as income in profit or loss in the period in which the changes in facts and circumstances on which the variable lease payments are based occurred, referred to as the “variable approach”. The Company is evaluating its election on a disaggregated basis, with such election applied consistently to leases with similar characteristics and similar circumstances. As of March 31, 2021, the Company granted rent deferrals with an aggregate deferral amount of $8.2 million, with $5.2 million accounted for under the receivable approach by electing the Lease Modification Q&A and $3.0 million accounted for as modifications due to term extensions of the leases. The Company also granted abatements with an aggregate abatement amount of $6.7 million as of March 31, 2021, $1.0 million accounted for under the variable approach and $5.7 million accounted for as modifications due to the executed agreements including other rental term modifications, such as term extensions and substantial changes in cash flows. The Company remains in active discussions with its impacted tenants to grant further concessions. The full future impact of the Lease Modification Q&A is dependent upon the extent of lease concessions granted to tenants as a result of COVID-19 and the elections made by the Company at the time of entering into such concessions. Refer to Note 10 to the unaudited consolidated financial statements in Part I, Item I of this Quarterly Report on Form 10-Q. |
ACQUISITIONS AND DISPOSITIONS (
ACQUISITIONS AND DISPOSITIONS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | During the three months ended March 31, 2021, no acquisitions were completed by the Company. During the three months ended March 31, 2020, we closed on the following acquisitions: Date Purchased Property Name City State Square Feet Purchase Price (in thousands) February 12, 2020 Kingswood Center Brooklyn NY 130,000 $ 90,212 February 12, 2020 Kingswood Crossing Brooklyn NY 110,000 77,077 2020 Total $ 167,289 (1) (1) The total purchase price for the properties acquired during the three months ended March 31, 2020 includes $2.5 million of transaction costs incurred related to the acquisitions. |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The aggregate purchase price of the above property acquisitions has been allocated as follows: Property Name Land Buildings and improvements Identified intangible assets (1) Identified intangible liabilities (1) Debt premium Total Purchase Price (in thousands) Kingswood Center $ 15,690 $ 76,766 $ 9,263 $ (4,534) $ (6,973) $ 90,212 Kingswood Crossing 8,150 64,159 4,768 — — 77,077 2020 Total $ 23,840 $ 140,925 $ 14,031 $ (4,534) $ (6,973) $ 167,289 |
IDENTIFIED INTANGIBLE ASSETS _2
IDENTIFIED INTANGIBLE ASSETS AND LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Estimated Annual Amortization Expense | The following table sets forth the estimated annual amortization income and expense related to intangible assets and liabilities for the remainder of 2021 and the five succeeding years: (Amounts in thousands) Below-Market Above-Market In-Place Lease Year Operating Lease Amortization Operating Lease Amortization Amortization 2021 (1) $ 7,891 $ (860) $ (5,576) 2022 10,449 (803) (5,962) 2023 10,404 (695) (4,822) 2024 10,168 (631) (4,335) 2025 9,995 (452) (3,702) 2026 9,660 (434) (3,466) (1) |
MORTGAGES PAYABLE (Tables)
MORTGAGES PAYABLE (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Mortgages Payable | The following is a summary of mortgages payable as of March 31, 2021 and December 31, 2020. Interest Rate at March 31, December 31, (Amounts in thousands) Maturity March 31, 2021 2021 2020 First mortgages secured by: Variable rate Cherry Hill (Plaza at Cherry Hill) (1) 5/24/2022 1.72% $ 28,930 $ 28,930 Westfield (One Lincoln Plaza) (1) 5/24/2022 1.72% 4,730 4,730 Woodbridge (Plaza at Woodbridge) (1) 5/25/2022 1.72% 55,340 55,340 Jersey City (Hudson Commons) (2) 11/15/2024 2.02% 28,448 28,586 Watchung (2) 11/15/2024 2.02% 26,484 26,613 Bronx (1750-1780 Gun Hill Road) (2) 12/1/2024 2.02% 25,049 25,172 Total variable rate debt 168,981 169,371 Fixed rate Bergen Town Center - West, Paramus 4/8/2023 3.56% 300,000 300,000 Bronx (Shops at Bruckner) 5/1/2023 3.90% 10,189 10,351 Jersey City (Hudson Mall) 12/1/2023 5.07% 22,713 22,904 Yonkers Gateway Center 4/6/2024 4.16% 28,058 28,482 Brick 12/10/2024 3.87% 50,000 50,000 North Plainfield 12/10/2025 3.99% 25,100 25,100 Las Catalinas 2/1/2026 4.43% 126,759 127,669 Middletown 12/1/2026 3.78% 31,400 31,400 Rockaway 12/1/2026 3.78% 27,800 27,800 East Hanover (200 - 240 Route 10 West) 12/10/2026 4.03% 63,000 63,000 North Bergen (Tonnelle Ave) 4/1/2027 4.18% 100,000 100,000 Manchester 6/1/2027 4.32% 12,500 12,500 Millburn 6/1/2027 3.97% 23,270 23,381 Totowa 12/1/2027 4.33% 50,800 50,800 Woodbridge (Woodbridge Commons) 12/1/2027 4.36% 22,100 22,100 East Brunswick 12/6/2027 4.38% 63,000 63,000 East Rutherford 1/6/2028 4.49% 23,000 23,000 Brooklyn (Kingswood Center) 2/6/2028 5.07% 71,475 71,696 Hackensack 3/1/2028 4.36% 66,400 66,400 Marlton 12/1/2028 3.86% 37,400 37,400 East Hanover Warehouses 12/1/2028 4.09% 40,700 40,700 Union (2445 Springfield Ave) 12/10/2028 4.01% 45,600 45,600 Freeport (Freeport Commons) 12/10/2029 4.07% 43,100 43,100 Montehiedra 6/1/2030 5.00% 80,712 81,141 Montclair 8/15/2030 3.15% 7,250 7,250 Garfield 12/1/2030 4.14% 40,300 40,300 Mt Kisco 11/15/2034 6.40% 12,813 12,952 Total fixed rate debt 1,425,439 1,428,026 Total mortgages payable 1,594,420 1,597,397 Unamortized debt issuance costs (9,442) (9,865) Total mortgages payable, net of unamortized debt issuance costs 1,584,978 1,587,532 (1) Bears interest at one month LIBOR plus 160 bps. |
Schedule of Principal Repayments | As of March 31, 2021, the principal repayments of the Company’s total outstanding debt for the next five years and thereafter are as follows: (Amounts in thousands) Year Ending December 31, 2021 (1) $ 11,538 2022 103,586 2023 349,814 2024 163,720 2025 40,946 2026 230,694 Thereafter 694,122 (1) |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Schedule of Components of Rental Revenue | The components of rental revenue for the three months ended March 31, 2021 and 2020 were as follows: Three Months Ended March 31, (Amounts in thousands) 2021 2020 Rental Revenue Fixed lease revenue $ 65,653 $ 69,097 Variable lease revenue 28,966 23,903 Total rental revenue $ 94,619 $ 93,000 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Instrument Carrying Amounts and Fair Values | The table below summarizes the carrying amounts and fair value of these financial instruments as of March 31, 2021 and December 31, 2020. As of March 31, 2021 As of December 31, 2020 (Amounts in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Assets: Cash and cash equivalents $ 324,508 $ 324,508 $ 384,572 $ 384,572 Liabilities: Mortgages payable (1) $ 1,594,420 $ 1,610,513 $ 1,597,397 $ 1,611,868 (1) Carrying amounts exclude unamortized debt issuance costs of $9.4 million and $9.9 million as of March 31, 2021 and December 31, 2020, respectively. |
PREPAID EXPENSES AND OTHER AS_2
PREPAID EXPENSES AND OTHER ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Composition of Prepaid Expenses and Other Assets | The following is a summary of the composition of the prepaid expenses and other assets in the consolidated balance sheets: Balance at (Amounts in thousands) March 31, 2021 December 31, 2020 Other assets $ 6,879 $ 5,953 Deferred tax asset, net 39,484 39,677 Deferred financing costs, net of accumulated amortization of $5,097 and $4,819, respectively 3,069 3,347 Finance lease right-of-use asset 2,724 2,724 Real estate held for sale — 7,056 Prepaid expenses: Real estate taxes 8,097 8,093 Insurance 7,888 1,583 Licenses/fees 2,057 1,878 Total Prepaid expenses and other assets $ 70,198 $ 70,311 |
ACCOUNTS PAYABLE, ACCRUED EXP_2
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Composition of Accounts Payable, Accrued Expenses and Other Liabilites | The following is a summary of the composition of accounts payable, accrued expenses and other liabilities in the consolidated balance sheets: Balance at (Amounts in thousands) March 31, 2021 December 31, 2020 Dividend payable $ — $ 55,905 Deferred tenant revenue 22,775 26,594 Accrued interest payable 9,423 11,095 Accrued capital expenditures and leasing costs 9,387 7,797 Security deposits 5,781 5,884 Finance lease liability 2,996 2,993 Accrued payroll expenses 3,098 5,797 Other liabilities and accrued expenses 18,285 16,915 Total accounts payable, accrued expenses and other liabilities $ 71,745 $ 132,980 |
INTEREST AND DEBT EXPENSE (Tabl
INTEREST AND DEBT EXPENSE (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Income and Expenses [Abstract] | |
Schedule of Interest and Debt Expense | The following table sets forth the details of interest and debt expense in the consolidated statements of income: Three Months Ended March 31, (Amounts in thousands) 2021 2020 Interest expense $ 14,070 $ 16,469 Amortization of deferred financing costs 757 706 Total Interest and debt expense $ 14,827 $ 17,175 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Share-based Compensation Expense | Share-based compensation expense, which is included in general and administrative expenses in our consolidated statements of income, is summarized as follows: Three Months Ended March 31, (Amounts in thousands) 2021 2020 Share-based compensation expense components: Restricted share expense $ 178 $ 260 Stock option expense 413 868 LTIP expense (1) 1,130 1,183 Performance-based LTI expense (2) 956 915 Deferred share unit (“DSU”) expense 6 22 Total Share-based compensation expense $ 2,683 $ 3,248 (1) LTIP expense includes the time-based portion of the 2018, 2019, 2020 and 2021 LTI Plans. (2) Performance-based LTI expense includes the 2017 OPP plan and the performance-based portion of the 2018, 2019, 2020 and 2021 LTI Plans. |
EARNINGS PER SHARE AND UNIT (Ta
EARNINGS PER SHARE AND UNIT (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings per Share and Unit | The following table sets forth the computation of our basic and diluted earnings per share: Three Months Ended March 31, (Amounts in thousands, except per share amounts) 2021 2020 Numerator: Net income attributable to common shareholders $ 19,920 $ 48,980 Less: Earnings allocated to unvested participating securities (12) (34) Net income available for common shareholders - basic $ 19,908 $ 48,946 Impact of assumed conversions: OP and LTIP units — — Net income available for common shareholders - dilutive $ 19,908 $ 48,946 Denominator: Weighted average common shares outstanding - basic 116,956 120,966 Effect of dilutive securities (1) : Restricted share awards 68 85 Assumed conversion of OP and LTIP units — — Weighted average common shares outstanding - diluted 117,024 121,051 Earnings per share available to common shareholders: Earnings per common share - Basic $ 0.17 $ 0.40 Earnings per common share - Diluted $ 0.17 $ 0.40 ( 1) For the three months ended March 31, 2021 and 2020, respectively, the effect of the redemption of OP and LTIP units for Urban Edge common shares would have an anti-dilutive effect on the calculation of diluted EPS. Accordingly, the impact of such redemption has not been included in the determination of diluted EPS for these periods. Operating Partnership Earnings per Unit The following table sets forth the computation of basic and diluted earnings per unit: Three Months Ended March 31, (Amounts in thousands, except per unit amounts) 2021 2020 Numerator: Net income attributable to unitholders $ 20,795 $ 51,288 Less: net income attributable to participating securities (12) (34) Net income available for unitholders $ 20,783 $ 51,254 Denominator: Weighted average units outstanding - basic 120,763 125,844 Effect of dilutive securities issued by Urban Edge 68 85 Unvested LTIP units 1,335 826 Weighted average units outstanding - diluted 122,166 126,755 Earnings per unit available to unitholders: Earnings per unit - Basic $ 0.17 $ 0.41 Earnings per unit - Diluted $ 0.17 $ 0.40 |
ORGANIZATION (Details)
ORGANIZATION (Details) ft² in Millions | 3 Months Ended |
Mar. 31, 2021ft²property | |
Real Estate Properties [Line Items] | |
Area of real estate property (in sq ft) | ft² | 16.2 |
Wholly owned properties | Shopping Center | |
Real Estate Properties [Line Items] | |
Number of real estate properties | 70 |
Wholly owned properties | Mall | |
Real Estate Properties [Line Items] | |
Number of real estate properties | 5 |
Wholly owned properties | Warehouse Park | |
Real Estate Properties [Line Items] | |
Number of real estate properties | 2 |
Operating Partnership | Parent | Vornado Realty L.P. | |
Real Estate Properties [Line Items] | |
Noncontrolling interest percentage | 95.60% |
Walnut Creek (Mt. Diablo), CA | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Equity Method Investment, Ownership Percentage | 95.00% |
Sunrise Mall Massapequa, NY | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Equity Method Investment, Ownership Percentage | 82.50% |
BASIS OF PRESENTATION AND PRI_2
BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION AND COMBINATION (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021USD ($)entitysegment | Dec. 31, 2020USD ($) | |
Variable Interest Entity [Line Items] | ||
Number of reportable segments | segment | 1 | |
Number Of Variable Interest Entities | entity | 2 | |
Assets | $ 2,876,882 | $ 2,939,560 |
Liabilities | 1,875,512 | 1,943,667 |
Variable Interest Entity, Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Assets | 44,200 | 43,600 |
Liabilities | $ 32,000 | $ 31,500 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - COVID-19 $ in Millions | Mar. 31, 2021USD ($) |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Rent deferrals granted, amount | $ 8.2 |
Rent deferrals granted under lease modification method | 5.2 |
Rent deferrals granted with lease term modifications | 3 |
Abatements granted, aggregate amount | 6.7 |
Abatements granted, portion under variable approach | 1 |
Abatements granted, modifications | $ 5.7 |
ACQUISITIONS AND DISPOSITIONS_2
ACQUISITIONS AND DISPOSITIONS (Details) $ in Thousands | Feb. 12, 2020USD ($) | Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($)property |
Business Acquisition [Line Items] | |||
Purchase price | $ 167,289 | ||
Number of acquisitions completed by the Company | 0 | ||
Gain on sale of real estate | $ 11,722 | $ 39,775 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Business Acquisition [Line Items] | |||
Number of disposed properties | property | 3 | ||
Aggregate sale price of disposed properties | 23,600 | $ 58,100 | |
Gain on sale of real estate | (11,700) | $ (39,800) | |
Kingswood Center And Kingswood Crossing | |||
Business Acquisition [Line Items] | |||
Purchase price | 167,300 | ||
Purchase price of real estate property acquired | 167,289 | ||
Kingswood Center | |||
Business Acquisition [Line Items] | |||
Purchase price | 90,212 | ||
Purchase price of real estate property acquired | $ 90,212 | ||
Kingswood Crossing | |||
Business Acquisition [Line Items] | |||
Purchase price | 77,077 | ||
Purchase price of real estate property acquired | $ 77,077 | ||
Reverse Section 1031 like-kind exchange, term | 180 days | ||
Mortgages | Kingswood Center | |||
Business Acquisition [Line Items] | |||
Mortgage loan related to property sales | $ 65,500 |
ACQUISITIONS AND DISPOSITIONS -
ACQUISITIONS AND DISPOSITIONS - Summary of Acquisition Activity (Details) $ in Thousands | Feb. 12, 2020USD ($)ft² | Mar. 31, 2021USD ($)ft² | Mar. 31, 2020USD ($) |
Business Acquisition [Line Items] | |||
Gain on sale of real estate | $ 11,722 | $ 39,775 | |
Area of real estate property (in sq ft) | ft² | 16,200,000 | ||
Purchase price | $ 167,289 | ||
Transaction costs | 2,500 | ||
Kingswood Center | |||
Business Acquisition [Line Items] | |||
Area of real estate property (in sq ft) | ft² | 130,000 | ||
Purchase price | 90,212 | ||
Purchase Price | $ 90,212 | ||
Kingswood Crossing | |||
Business Acquisition [Line Items] | |||
Area of real estate property (in sq ft) | ft² | 110,000 | ||
Purchase price | 77,077 | ||
Purchase Price | $ 77,077 | ||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Business Acquisition [Line Items] | |||
Gain on sale of real estate | $ (11,700) | $ (39,800) |
ACQUISITIONS AND DISPOSITIONS_3
ACQUISITIONS AND DISPOSITIONS - Aggregate Purchase Price Allocations (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Business Acquisition [Line Items] | |
Land | $ 23,840 |
Buildings and improvements | 140,925 |
Identified intangible assets | 14,031 |
Identified intangible liabilities | (4,534) |
Debt premium | (6,973) |
Total Purchase Price | $ 167,289 |
Weighted average useful life | 8 years 1 month 6 days |
Weighted average related liabilities | 9 years 7 months 6 days |
Kingswood Center | |
Business Acquisition [Line Items] | |
Land | $ 15,690 |
Buildings and improvements | 76,766 |
Identified intangible assets | 9,263 |
Identified intangible liabilities | (4,534) |
Debt premium | (6,973) |
Total Purchase Price | 90,212 |
Kingswood Crossing | |
Business Acquisition [Line Items] | |
Land | 8,150 |
Buildings and improvements | 64,159 |
Identified intangible assets | 4,768 |
Identified intangible liabilities | 0 |
Debt premium | 0 |
Total Purchase Price | $ 77,077 |
IDENTIFIED INTANGIBLE ASSETS _3
IDENTIFIED INTANGIBLE ASSETS AND LIABILITIES - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Identified intangible assets, net of accumulated amortization | $ 53,714 | $ 56,184 | |
Identified intangible liabilities, net of accumulated amortization | 145,462 | $ 148,183 | |
Amortization of acquired below-market leases, net of above-market leases | 2,400 | $ 2,200 | |
Amortization expense of intangible assets | $ 2,100 | $ 2,000 |
IDENTIFIED INTANGIBLE ASSETS _4
IDENTIFIED INTANGIBLE ASSETS AND LIABILITIES - Schedule of Estimated Annual Amortization Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | ||
Amortization of acquired below-market leases, net of above-market leases | $ 2,400 | $ 2,200 |
Below-Market Operating Lease Amortization | ||
Reminder of 2019 | 7,891 | |
2019 | 10,449 | |
2020 | 10,404 | |
2021 | 10,168 | |
2022 | 9,995 | |
2024 | 9,660 | |
In-Place Leases | ||
Amortization of Intangible Assets | 2,100 | $ 2,000 |
Above-Market | ||
Above-Market Operating Lease Amortization | ||
Remainder of 2019 | (860) | |
2020 | (803) | |
2021 | (695) | |
2022 | (631) | |
2023 | (452) | |
2024 | (434) | |
In-Place Leases | ||
Remainder of 2019 | (860) | |
2020 | (803) | |
2021 | (695) | |
2022 | (631) | |
2023 | (452) | |
2024 | (434) | |
Amortization | ||
Above-Market Operating Lease Amortization | ||
Remainder of 2019 | (5,576) | |
2020 | (5,962) | |
2021 | (4,822) | |
2022 | (4,335) | |
2023 | (3,702) | |
2024 | (3,466) | |
In-Place Leases | ||
Remainder of 2019 | (5,576) | |
2020 | (5,962) | |
2021 | (4,822) | |
2022 | (4,335) | |
2023 | (3,702) | |
2024 | $ (3,466) |
MORTGAGES PAYABLE - Summary of
MORTGAGES PAYABLE - Summary of Mortgages Payable (Details) - Mortgages - First Mortgage - USD ($) | 3 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | Apr. 30, 2020 | |
Debt Instrument [Line Items] | ||||
Long-term Debt, Gross | $ 1,594,420,000 | $ 1,597,397,000 | ||
Unamortized debt issuance costs | (9,442,000) | (9,865,000) | ||
Total mortgages payable, net of unamortized debt issuance costs | 1,584,978,000 | 1,587,532,000 | ||
Variable rate | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt, Gross | $ 168,981,000 | 169,371,000 | ||
Variable rate | The Plaza at Cherry Hill | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 1.72% | |||
Long-term Debt, Gross | $ 28,930,000 | 28,930,000 | ||
Variable rate | The Plaza at Cherry Hill | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate spread on variable rate | 160.00% | 160.00% | ||
Variable rate | Westfield - One Lincoln Plaza | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 1.72% | |||
Long-term Debt, Gross | $ 4,730,000 | 4,730,000 | ||
Variable rate | Westfield - One Lincoln Plaza | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate spread on variable rate | 160.00% | 160.00% | ||
Variable rate | The Plaza at Woodbridge | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 1.72% | |||
Long-term Debt, Gross | $ 55,340,000 | 55,340,000 | ||
Variable rate | The Plaza at Woodbridge | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate spread on variable rate | 160.00% | 160.00% | ||
Variable rate | Hudson Commons | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.02% | |||
Long-term Debt, Gross | $ 28,448,000 | 28,586,000 | ||
Variable rate | Hudson Commons | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate spread on variable rate | 190.00% | |||
Variable rate | Watchung, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.02% | |||
Long-term Debt, Gross | $ 26,484,000 | 26,613,000 | ||
Variable rate | Watchung, NJ | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate spread on variable rate | 190.00% | |||
Variable rate | Bronx (1750-1780 Gun Hill Road), NY | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.02% | |||
Long-term Debt, Gross | $ 25,049,000 | 25,172,000 | ||
Variable rate | Bronx (1750-1780 Gun Hill Road), NY | LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest rate spread on variable rate | 190.00% | |||
Fixed rate | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt, Gross | $ 1,425,439,000 | 1,428,026,000 | ||
Fixed rate | Bergen Town Center | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.56% | |||
Long-term Debt, Gross | $ 300,000,000 | 300,000,000 | ||
Fixed rate | Shops at Bruckner | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.90% | |||
Long-term Debt, Gross | $ 10,189,000 | 10,351,000 | ||
Fixed rate | Hudson Mall | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.07% | |||
Long-term Debt, Gross | $ 22,713,000 | 22,904,000 | ||
Fixed rate | Yonkers Gateway Center | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.16% | |||
Long-term Debt, Gross | $ 28,058,000 | 28,482,000 | ||
Fixed rate | Las Catalinas | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.43% | |||
Long-term Debt, Gross | $ 126,759,000 | 127,669,000 | ||
Total mortgages payable | $ 129,000,000 | |||
Accrued interest | $ 5,400,000 | |||
Fixed rate | Brick, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.87% | |||
Long-term Debt, Gross | $ 50,000,000 | 50,000,000 | ||
Fixed rate | North Plainfield | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.99% | |||
Long-term Debt, Gross | $ 25,100,000 | 25,100,000 | ||
Fixed rate | Middletown, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.78% | |||
Long-term Debt, Gross | $ 31,400,000 | 31,400,000 | ||
Fixed rate | Rockaway | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.78% | |||
Long-term Debt, Gross | $ 27,800,000 | 27,800,000 | ||
Fixed rate | East Hanover (200 - 240 Route 10 West), NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.03% | |||
Long-term Debt, Gross | $ 63,000,000 | 63,000,000 | ||
Fixed rate | North Bergen (Tonnelle Avenue), NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.18% | |||
Long-term Debt, Gross | $ 100,000,000 | 100,000,000 | ||
Fixed rate | Manchester Plaza | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.32% | |||
Long-term Debt, Gross | $ 12,500,000 | 12,500,000 | ||
Fixed rate | Millburn | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.97% | |||
Long-term Debt, Gross | $ 23,270,000 | 23,381,000 | ||
Fixed rate | Totowa, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.33% | |||
Long-term Debt, Gross | $ 50,800,000 | 50,800,000 | ||
Fixed rate | Woodbridge Commons | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.36% | |||
Long-term Debt, Gross | $ 22,100,000 | 22,100,000 | ||
Fixed rate | East Brunswick, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.38% | |||
Long-term Debt, Gross | $ 63,000,000 | 63,000,000 | ||
Fixed rate | East Rutherford, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.49% | |||
Long-term Debt, Gross | $ 23,000,000 | 23,000,000 | ||
Fixed rate | Brooklyn (Kingswood Center) | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.07% | |||
Long-term Debt, Gross | $ 71,475,000 | 71,696,000 | ||
Fixed rate | Hackensack, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.36% | |||
Long-term Debt, Gross | $ 66,400,000 | 66,400,000 | ||
Fixed rate | Marlton, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.86% | |||
Long-term Debt, Gross | $ 37,400,000 | 37,400,000 | ||
Fixed rate | East Hanover Warehouses | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.09% | |||
Long-term Debt, Gross | $ 40,700,000 | 40,700,000 | ||
Fixed rate | Union (2445 Springfield Avenue), NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.01% | |||
Long-term Debt, Gross | $ 45,600,000 | 45,600,000 | ||
Fixed rate | Freeport (437 East Sunrise Highway), NY | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.07% | |||
Long-term Debt, Gross | $ 43,100,000 | 43,100,000 | ||
Fixed rate | Montehiedra Town Center | Senior Loan | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.00% | |||
Long-term Debt, Gross | $ 80,712,000 | 81,141,000 | ||
Fixed rate | Montclair, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 3.15% | |||
Long-term Debt, Gross | $ 7,250,000 | 7,250,000 | ||
Fixed rate | Garfield, NJ | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.14% | |||
Long-term Debt, Gross | $ 40,300,000 | 40,300,000 | ||
Fixed rate | Mount Kisco (Target) | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.40% | |||
Long-term Debt, Gross | $ 12,813,000 | $ 12,952,000 |
MORTGAGES PAYABLE - Additional
MORTGAGES PAYABLE - Additional Information (Details) | Jun. 29, 2019 | Mar. 07, 2017USD ($)extension_option | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Apr. 30, 2020USD ($) | Jan. 15, 2015USD ($) |
Debt Instrument [Line Items] | ||||||
Net carrying amount of real estate collateralizing indebtedness | $ 1,300,000,000 | |||||
Debt issuance costs, net | 3,069,000 | $ 3,347,000 | ||||
Line of Credit | Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | $ 600,000,000 | $ 500,000,000 | ||||
Increase in credit facility | $ 100,000,000 | |||||
Number of extension options | extension_option | 2 | |||||
Term of each extension option | 6 months | |||||
Gross debt issuance costs | 3,100,000 | 3,300,000 | ||||
Line of Credit | Revolving Credit Facility | Maximum | ||||||
Debt Instrument [Line Items] | ||||||
Financial covenants, maximum leverage ratio | 0.60 | |||||
Facility fee | 30.00% | |||||
Line of Credit | Revolving Credit Facility | Minimum | ||||||
Debt Instrument [Line Items] | ||||||
Financial covenants, minimum fixed charge coverage ratio | 1.5 | |||||
Facility fee | 15.00% | |||||
Line of Credit | Revolving Credit Facility | LIBOR | Maximum | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate spread on variable rate | 1.50% | |||||
Line of Credit | Revolving Credit Facility | LIBOR | Minimum | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate spread on variable rate | 1.05% | |||||
First Mortgage | Mortgages | ||||||
Debt Instrument [Line Items] | ||||||
Total mortgages payable, net of unamortized debt issuance costs | $ 1,584,978,000 | $ 1,587,532,000 | ||||
First Mortgage | Mortgages | Las Catalinas | Fixed rate | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing rate | 4.43% | |||||
Annual increase in interest rate | 50.00% | |||||
Discounted value | $ 72,500,000 | |||||
Accrued interest | 5,400,000 | |||||
Debt instrument, face amount | $ 129,000,000 | |||||
Debt issuance costs, net | $ 1,200,000 | |||||
First Mortgage | Mortgages | Las Catalinas | Fixed rate | Maximum | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing rate | 4.43% | 4.43% | ||||
First Mortgage | Mortgages | Las Catalinas | Fixed rate | Minimum | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing rate | 3.00% | |||||
First Mortgage | Mortgages | Montclair, NJ | Fixed rate | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing rate | 3.15% | |||||
Senior Loan | First Mortgage | Mortgages | Montehiedra Town Center | Fixed rate | ||||||
Debt Instrument [Line Items] | ||||||
Borrowing rate | 5.00% | |||||
Four-Year Revolving Credit Agreement January 2015 | Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Long-term line of credit | $ 0 | |||||
Property Lease Guarantee | ||||||
Debt Instrument [Line Items] | ||||||
Conditional corporate guarantee | $ 12,500,000 |
MORTGAGES PAYABLE - Schedule of
MORTGAGES PAYABLE - Schedule of Maturities (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Debt Disclosure [Abstract] | |
Remainder of 2018 | $ 11,538 |
2019 | 103,586 |
2020 | 349,814 |
2021 | 163,720 |
2022 | 40,946 |
2023 | 230,694 |
Thereafter | $ 694,122 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Income Tax Contingency [Line Items] | |||
Deferred tax liabilities, net | $ (2,996) | $ (2,993) | |
Deferred tax assets, net | (39,484) | $ (39,677) | |
Income tax expense | $ 235 | $ 100 | |
Puerto Rico | |||
Income Tax Contingency [Line Items] | |||
Branch profit tax | 10.00% | ||
Commonwealth of Puerto Rico | Puerto Rico | |||
Income Tax Contingency [Line Items] | |||
Non-resident withholding tax percentage | 29.00% | ||
Income tax expense | $ 200 | $ 100 | |
Minimum | Puerto Rico | |||
Income Tax Contingency [Line Items] | |||
State and local income taxes | 18.50% | ||
Maximum | Puerto Rico | |||
Income Tax Contingency [Line Items] | |||
State and local income taxes | 37.50% |
LEASES - Components of Rental R
LEASES - Components of Rental Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases [Abstract] | ||
Fixed lease revenue | $ 65,653 | $ 69,097 |
Variable lease revenue | 28,966 | 23,903 |
Total rental revenue | $ 94,619 | $ 93,000 |
FAIR VALUE MEASUREMENTS - Balan
FAIR VALUE MEASUREMENTS - Balance Sheet Grouping (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents | $ 324,508 | $ 384,572 | $ 622,667 | $ 432,954 |
Carrying Amount | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents | 324,508 | 384,572 | ||
Carrying Amount | Mortgages | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Mortgages payable | 1,594,420 | 1,597,397 | ||
Unamortized debt issuance costs | (9,400) | (9,900) | ||
Fair Value | Level 1 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents | 324,508 | 384,572 | ||
Fair Value | Level 2 | Mortgages | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Mortgages payable | $ 1,610,513 | $ 1,611,868 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Loss Contingencies [Line Items] | |
Real estate redevelopment in process | $ 121,100,000 |
Estimated cost to complete development and redevelopment projects | 81,700,000 |
Insurance coverage, pollution insurance, limit per occurence | 50,000,000 |
Deferred lease expense | $ 1,800,000 |
COVID-19 | |
Loss Contingencies [Line Items] | |
Rents received, percent | 93.00% |
Rent deferrals granted, amount | $ 8,200,000 |
Abatements granted, aggregate amount | $ 6,700,000 |
PREPAID EXPENSES AND OTHER AS_3
PREPAID EXPENSES AND OTHER ASSETS (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Other assets | $ 6,879 | $ 5,953 |
Deferred Tax Assets, Net | 39,484 | 39,677 |
Real estate held for sale | 0 | 7,056 |
Finance lease right-of-use asset | 2,724 | 2,724 |
Prepaid expenses: | ||
Real estate taxes | 8,097 | 8,093 |
Insurance | 7,888 | 1,583 |
Licenses/fees | 2,057 | 1,878 |
Total Prepaid expenses and other assets | 70,198 | 70,311 |
Debt issuance costs, net | $ 3,069 | $ 3,347 |
ACCOUNTS PAYABLE, ACCRUED EXP_3
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Deferred tenant revenue | $ 22,775 | $ 26,594 |
Accrued capital expenditures and leasing costs | 9,387 | 7,797 |
Accrued interest payable | 9,423 | 11,095 |
Security deposits | 5,781 | 5,884 |
Finance lease liability | 2,996 | 2,993 |
Accrued payroll expenses | 3,098 | 5,797 |
Other liabilities and accrued expenses | 18,285 | 16,915 |
Total accounts payable, accrued expenses and other liabilities | 71,745 | 132,980 |
Dividends Payable | $ 0 | $ 55,905 |
INTEREST AND DEBT EXPENSE (Deta
INTEREST AND DEBT EXPENSE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Other Income and Expenses [Abstract] | ||
Interest expense | $ 14,070 | $ 16,469 |
Amortization of deferred financing costs | 757 | 706 |
Total Interest and debt expense | $ 14,827 | $ 17,175 |
EQUITY AND NONCONTROLLING INT_2
EQUITY AND NONCONTROLLING INTEREST (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Noncontrolling Interest [Line Items] | ||
Stock Repurchase Program, Authorized Amount | $ 200,000,000 | |
Repurchase of common shares (in shares) | 0 | 4,452,223 |
Treasury stock acquired, average cost per share (in dollars per share) | $ 9.61 | |
Repurchase of common shares | $ 42,801,000 | |
Common stock, par value (in dollars per share) | $ 0.01 | |
Distributions to redeemable NCI (in dollars per unit) | $ 0.15 | $ 0.22 |
OP Units | ||
Noncontrolling Interest [Line Items] | ||
Conversion to stock, conversion rate | 1 | |
LTIP Units | ||
Noncontrolling Interest [Line Items] | ||
Award vesting period | 2 years | |
Conversion to stock, conversion rate | 1 | |
Operating Partnership | OP Units | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest percentage | 4.20% | |
Walnut Creek (Mt. Diablo), CA | Noncontrolling Interest | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest percentage | 5.00% | |
Sunrise Mall Massapequa, NY | Noncontrolling Interest | Sunrise Mall Massapequa, NY | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest percentage | 17.50% | |
Vornado Realty L.P. | Operating Partnership | Parent | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest percentage | 95.60% |
SHARE-BASED COMPENSATION - Shar
SHARE-BASED COMPENSATION - Share-based Compensation Expense (Details) - General and Administrative Expense - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total Share-based compensation expense | $ 2,683 | $ 3,248 |
Restricted share expense | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total Share-based compensation expense | 178 | 260 |
Stock option expense | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total Share-based compensation expense | 413 | 868 |
LTIP expense(1) | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total Share-based compensation expense | 1,130 | 1,183 |
Performance-based LTI expense(2) | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total Share-based compensation expense | 956 | 915 |
Deferred share unit (“DSU”) expense | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total Share-based compensation expense | $ 6 | $ 22 |
SHARE-BASED COMPENSATION - Addi
SHARE-BASED COMPENSATION - Additional Information (Details) | Feb. 10, 2021companyshares | Feb. 20, 2020USD ($) | Mar. 31, 2021shares | Mar. 10, 2021USD ($) |
Twenty Twenty-One Long-term Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity awards percentage of absolute component of TSR equal to 18% | 18.00% | |||
Equity awards percentage of absolute component of TSR equal to 27% | 27.00% | |||
Equity awards percentage of absolute component of TSR equal to 36% | 36.00% | |||
Number of REIT peer groups | company | 16 | |||
Equity awards percentage of relative component of TSR equal to 35 percentile of peer group | 3500.00% | |||
Equity awards percentage of relative component of TSR equal to 55 percentile of peer group | 5500.00% | |||
Equity awards percentage of relative component of TSR equal to 75 percentile of peer group | 7500.00% | |||
LTIP Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number or equity awards granted (in shares) | 273,615 | |||
LTIP Units | Long-Term Incentive Plan 2020 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Performance measurement period of equity awards | 3 years | |||
Time-based LTIP Shares | Long-Term Incentive Plan 2020 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted percentage of equity awards | $ | $ 0.3333 | |||
Time-based LTIP Shares | Twenty Twenty-One Long-term Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number or equity awards granted (in shares) | 273,615 | |||
Grant date fair value of equity awards | $ | $ 3,900,000 | |||
Performance-based LTIP Shares | Long-Term Incentive Plan 2020 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted percentage of equity awards | $ | 0.6666 | |||
Performance-based LTIP Shares | Twenty Twenty-One Long-term Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number or equity awards granted (in shares) | 398,977 | |||
Grant date fair value of equity awards | $ | $ 3,900,000 | |||
Time-based and Performance-based LTIP Shares | Long-Term Incentive Plan 2020 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Grant date fair value of equity awards | $ | $ 7,800,000 | |||
Restricted Shares | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number or equity awards granted (in shares) | 17,933 | |||
Number of awards vested (in shares) | 32,618 | |||
Number of shares forfeited (in shares) | 1,142 | |||
LTIP expense(1) | Twenty Twenty-One Long-term Incentive Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity awards earned percentage based on absolute TSR component of equal to 18% | 40.00% | |||
Equity awards earned percentage based on absolute TSR component of equal to 27% | 100.00% | |||
Equity awards earned percentage based on absolute TSR component of equal to 36% | 165.00% | |||
Equity awards earned percentage based on relative TSR component of 35 percentile of peer group | 40.00% | |||
Equity awards earned percentage based on relative TSR component of 55 percentile of peer group | 100.00% | |||
Equity awards earned percentage based on relative TSR component of 75 percentile of peer group | 165.00% |
EARNINGS PER SHARE AND UNIT (De
EARNINGS PER SHARE AND UNIT (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Numerator: | ||
Net Income (Loss) Attributable to Parent | $ 19,920 | $ 48,980 |
Less: Earnings allocated to unvested participating securities | (12) | (34) |
Net income available for common shareholders - basic | 19,908 | 48,946 |
OP and LTIP units | 0 | 0 |
Net income available for common shareholders - dilutive | $ 19,908 | $ 48,946 |
Denominator: | ||
Weighted average common shares outstanding - basic (in shares) | 116,956 | 120,966 |
Effect of dilutive securities: | ||
Assumed conversion of OP and LTIP units (in shares) | 0 | 0 |
Weighted average common shares outstanding - diluted (in shares) | 117,024 | 121,051 |
Earnings per share available to common shareholders: | ||
Earnings per common share - Basic (in dollars per share) | $ 0.17 | $ 0.40 |
Earnings per common share - Diluted (in dollars per share) | $ 0.17 | $ 0.40 |
Urban Edge Properties LP | ||
Numerator: | ||
Net Income (Loss) Attributable to Parent | $ 20,795 | $ 51,288 |
Less: Earnings allocated to unvested participating securities | (12) | (34) |
Net income available for common shareholders - basic | $ 20,783 | $ 51,254 |
Denominator: | ||
Weighted average common shares outstanding - basic (in shares) | 120,763 | 125,844 |
Effect of dilutive securities: | ||
Stock options using treasure stock method and restricted stock awards (in shares) | 68 | 85 |
Assumed conversion of OP and LTIP units (in shares) | 1,335 | 826 |
Weighted average common shares outstanding - diluted (in shares) | 122,166 | 126,755 |
Earnings per share available to common shareholders: | ||
Earnings per common share - Basic (in dollars per share) | $ 0.17 | $ 0.41 |
Earnings per common share - Diluted (in dollars per share) | $ 0.17 | $ 0.40 |
Restricted share expense | ||
Effect of dilutive securities: | ||
Stock options using treasure stock method and restricted stock awards (in shares) | 68 | 85 |