Fair Value Measurements
 6 Months Ended
Jun. 30, 2017
Fair Value Disclosures [Abstract]  
Fair Value Measurements
Fair Value Measurements
Recurring Fair Value Measurements
The Company did not have any assets or liabilities that are required to be measured at fair value on a recurring basis as of June 30, 2017 and December 31, 2016.
Nonrecurring Fair Value Measurements
Fair value measurement of an asset on a nonrecurring basis occurs when events or changes in circumstances related to an asset indicate that the carrying amount of the asset is no longer recoverable. The following table sets forth the Company’s assets that were accounted for at fair value on a nonrecurring basis (in thousands):
 
 
Fair Value Hierarchy Level
 
Impairment
Charges (1)
Description
 
Level 1
 
Level 2
 
Level 3
 
June 30, 2017
 
 
 
 
 
 
 
 
Retail
 
$
—

 
$
—

 
$
14,202

 
$
(23,410
)
Industrial
 
—

 
—

 
3,409

 
(4,701
)
Office
 
—

 
—

 
3,124

 
(4,202
)
Long-lived assets held and used
 
—

 
—

 
20,735

 
(32,313
)
Long-lived assets held for sale
 
—

 
—

 
30,616

 
(18,059
)
 
 
 
 
 
 
 
 
$
(50,372
)
December 31, 2016
 
 
 
 
 
 
 
 
Retail
 
$
—

 
$
—

 
$
37,934

 
$
(37,445
)
Industrial
 
—

 
—

 
3,741

 
(5,948
)
Office
 
—

 
—

 
8,538

 
(10,121
)
Long-lived assets held and used
 
—

 
—

 
50,213

 
(53,514
)
Lease intangible assets
 
—

 
—

 
6,384

 
(9,116
)
Other assets
 
—

 
—

 
27

 
(198
)
Long-lived assets held for sale
 
—

 
—

 
61,400

 
(25,447
)
 
 
 
 
 
 
 
 
$
(88,275
)

(1) Impairment charges are presented for the six months ended June 30, 2017 and for the year ended December 31, 2016.
Real estate assets and their related intangible assets are evaluated for impairment based on certain indicators including, but not limited to: the asset being held for sale, vacant, non-operating or the lease on the asset expiring in twelve months or less. The fair values of impaired real estate and intangible assets were determined by using the following information, depending on availability, in order of preference: signed purchase and sale agreements or letters of intent; recently quoted bid or ask prices, or market prices for comparable properties; estimates of cash flow, which consider, among other things, contractual and forecasted rental revenues, leasing assumptions, and expenses based upon market conditions; and expectations for the use of the real estate. Based on these inputs, the Company determined that its valuation of the impaired real estate and intangible assets falls within Level 3 of the fair value hierarchy.
During the six months ended June 30, 2017 and for the year ended December 31, 2016, we determined that 21 and 33 long-lived assets held and used, respectively, were impaired. The Company estimated the fair value of these properties using weighted average sales price per square foot of comparable properties for seven of the 21 impaired properties during the six months ended June 30, 2017 and for 16 of the 33 impaired properties during the year ended December 31, 2016.
The following table provides information about the weighted average sales price per square foot of comparable properties used to estimate fair value (price per square foot in dollars):
 
 
June 30, 2017
 
December 31, 2016
Description
 
Range
 
Weighted Average
 
Square Footage
 
Range
 
Weighted Average
 
Square Footage
Long-lived assets held and used by asset type
 
 
 
 
 
 
Retail
 
$44.19 - $211.57
 
$
65.76

 
133,058

 
$17.17 - $502.23
 
$
58.78

 
290,770

Industrial
 
—
 
—

 
—

 
$26.43
 
$
26.43

 
104,864

Office
 
$24.82
 
$
24.82

 
141,525

 
$35.00
 
$
35.00

 
135,675


The Company estimated the fair value on the 14 remaining impaired properties using the weighted average listing price of comparable properties or broker opinion of value per square foot during the six months ended June 30, 2017 and on 17 of the 33 impaired properties during the year ended December 31, 2016.
The following table provides information about the weighted average listing price and broker opinion of value per square foot of comparable properties used to estimate fair value (price per square foot in dollars):
 
 
June 30, 2017
 
December 31, 2016
Description
 
Range
 
Weighted Average
 
Square Footage
 
Range
 
Weighted Average
 
Square Footage
Long-lived assets held and used by asset type
 
 
 
 
 
 
Retail
 
$6.35 - $69.89
 
$
16.06

 
368,077

 
$15.40 - $170.02
 
$
40.80

 
516,916

Industrial
 
$5.73 - $8.40
 
$
6.60

 
549,074

 
$9.09
 
$
9.09

 
149,627

Office
 
—
 
$
—

 
—

 
$56.81
 
$
56.81

 
34,992


Estimated Fair Value of Financial Instruments
Financial assets and liabilities for which the carrying values approximate their fair values include cash and cash equivalents, restricted cash and escrow deposits, and accounts receivable and payable. Generally, these assets and liabilities are short-term in duration and are recorded at cost, which approximates fair value, on the accompanying consolidated balance sheets.
In addition to the disclosures for assets and liabilities required to be measured at fair value at the balance sheet date, companies are required to disclose the estimated fair values of all financial instruments, even if they are not carried at their fair values. The fair values of financial instruments are estimates based upon market conditions and perceived risks at June 30, 2017 and December 31, 2016. These estimates require management’s judgment and may not be indicative of the future fair values of the assets and liabilities.
The estimated fair values of the loans receivable, Revolving Credit Facility, Term Loan, Senior Unsecured Notes, Convertible Notes and the fixed-rate mortgages and notes payable have been derived based on market quotes for comparable instruments or discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. The loans receivable, Revolving Credit Facility, Term Loan, Senior Unsecured Notes, Convertible Notes and the mortgages and notes payable were measured using a market approach from nationally recognized financial institutions with market observable inputs such as interest rates and credit analytics. These measurements are classified as Level 2 of the fair value hierarchy. The following table discloses fair value information for these financial instruments (in thousands): 
 
June 30, 2017
 
December 31, 2016
 
Carrying
Value
 
Estimated
Fair Value
 
Carrying
Value
 
Estimated
Fair Value
Loans receivable, net
$
66,415

 
$
71,495

 
$
66,578

 
$
71,895

Revolving Credit Facility
320,000

 
320,005

 
86,000

 
87,718

Term Loan, net (1)
418,880

 
420,042

 
418,471

 
428,441

Senior Unsecured Notes, net (1)
295,135

 
293,985

 
295,112

 
283,473

Mortgages and notes payable, net (1)
2,103,425

 
2,227,511

 
2,162,403

 
2,282,142

Convertible Notes, net (1)
709,183

 
743,334

 
702,642

 
784,175


(1) The carrying value of the debt instruments are net of unamortized deferred financing costs and certain debt discounts/premiums.