American Campus Communities Operating Partnership LP

CIK:0001357369|SEC Filings

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Revenues
Total revenues	$ 870,584	$ 943,042	$ 880,810
Operating expenses (income)
Third-party development and management services	21,700	19,915	15,459
General and administrative	36,874	31,081	34,537
Depreciation and amortization	267,703	275,046	263,203
Ground/facility leases	13,513	14,151	11,855
(Gain) loss from disposition of real estate, net	(48,525)	53	(42,314)
Provision for impairment	0	17,214	0
Other operating income	0	0	(2,648)
Total operating expenses	683,240	763,152	668,215
Operating income	187,344	179,890	212,595
Nonoperating income (expenses)
Interest income	2,939	3,686	4,834
Interest expense	(112,507)	(111,287)	(99,228)
Amortization of deferred financing costs	(5,259)	(5,012)	(5,816)
(Loss) gain from extinguishment of debt, net	(4,827)	20,992	7,867
Other nonoperating income	3,507	0	1,301
Total nonoperating expenses	(116,147)	(91,621)	(91,042)
Income before income taxes	71,197	88,269	121,553
Income tax provision	(1,349)	(1,507)	(2,429)
Net income	69,848	86,762	119,124
Net loss (income) attributable to noncontrolling interests – partially owned properties	2,955	(1,793)	(2,029)
Net income attributable to ACC, Inc. and Subsidiaries common stockholders	72,803	84,969	117,095
Other comprehensive loss
Change in fair value of interest rate swaps and other	(5,831)	(12,549)	(1,696)
Comprehensive income	$ 66,972	$ 72,420	$ 115,399
Net income per share attributable to ACC, Inc. and Subsidiaries common stockholders
Basic (in dollars per share)	$ 0.51	$ 0.61	$ 0.84
Diluted (in dollars per share)	$ 0.51	$ 0.60	$ 0.84
Weighted-average common shares outstanding:
Basic (in shares)	137,588,964	137,295,837	136,815,051
Diluted (in shares)	138,710,430	138,286,778	137,722,049
Owned Properties
Revenues
Revenues from owned properties and on-campus participating properties	$ 818,298	$ 877,565	$ 825,959
Operating expenses (income)
Operating expenses for owned properties and on-campus participating properties	378,454	390,664	373,521
On-campus participating properties, net
Revenues
Revenues from owned properties and on-campus participating properties	29,906	36,346	34,596
Operating expenses (income)
Operating expenses for owned properties and on-campus participating properties	13,521	15,028	14,602
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Revenues
Total revenues	870,584	943,042	880,810
Operating expenses (income)
Third-party development and management services	21,700	19,915	15,459
General and administrative	36,874	31,081	34,537
Depreciation and amortization	267,703	275,046	263,203
Ground/facility leases	13,513	14,151	11,855
(Gain) loss from disposition of real estate, net	(48,525)	53	(42,314)
Provision for impairment	0	17,214	0
Other operating income	0	0	(2,648)
Total operating expenses	683,240	763,152	668,215
Operating income	187,344	179,890	212,595
Nonoperating income (expenses)
Interest income	2,939	3,686	4,834
Interest expense	(112,507)	(111,287)	(99,228)
Amortization of deferred financing costs	(5,259)	(5,012)	(5,816)
(Loss) gain from extinguishment of debt, net	(4,827)	20,992	7,867
Other nonoperating income	3,507	0	1,301
Total nonoperating expenses	(116,147)	(91,621)	(91,042)
Income before income taxes	71,197	88,269	121,553
Income tax provision	(1,349)	(1,507)	(2,429)
Net income	69,848	86,762	119,124
Net income attributable to ACC, Inc. and Subsidiaries common stockholders	73,107	85,364	117,909
Series A preferred units distributions	(56)	(68)	(124)
Net income attributable to common unitholders	73,051	85,296	117,785
Other comprehensive loss
Change in fair value of interest rate swaps and other	(5,831)	(12,549)	(1,696)
Comprehensive income	$ 67,220	$ 72,747	$ 116,089
Net income per unit attributable to common unitholders
Basic (in dollars per unit)	$ 0.51	$ 0.61	$ 0.85
Diluted (in dollars per unit)	$ 0.51	$ 0.60	$ 0.84
Weighted-average common units outstanding
Basic (in units)	138,057,439	137,826,949	137,586,759
Diluted (in units)	139,178,905	138,817,890	138,493,757
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Owned Properties
Revenues
Revenues from owned properties and on-campus participating properties	$ 818,298	$ 877,565	$ 825,959
Operating expenses (income)
Operating expenses for owned properties and on-campus participating properties	378,454	390,664	373,521
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| On-campus participating properties, net
Revenues
Revenues from owned properties and on-campus participating properties	29,906	36,346	34,596
Operating expenses (income)
Operating expenses for owned properties and on-campus participating properties	13,521	15,028	14,602
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Partially owned properties
Nonoperating income (expenses)
Net loss (income) attributable to noncontrolling interests – partially owned properties	3,259	(1,398)	(1,215)
Third-party development services
Revenues
Revenues	7,543	13,051	7,281
Third-party development services \| AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Revenues
Revenues	7,543	13,051	7,281
Third-party management services
Revenues
Revenues	12,436	12,936	9,814
Third-party management services \| AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Revenues
Revenues	12,436	12,936	9,814
Resident services
Revenues
Revenues	2,401	3,144	3,160
Resident services \| AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Revenues
Revenues	$ 2,401	$ 3,144	$ 3,160

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Operating activities
Net income	$ 69,848	$ 86,762	$ 119,124
Adjustments to reconcile net income to net cash provided by operating activities:
(Gain) loss from disposition of real estate	(48,525)	53	(42,314)
Gain from insurance and litigation settlements	(1,100)	0	(1,245)
Loss (gain) from extinguishment of debt	4,827	(20,992)	(7,867)
Gain from early repayment of notes receivable	(2,136)	0	0
Provision for impairment	0	17,214	0
Depreciation and amortization	267,703	275,046	263,203
Amortization of deferred financing costs and debt premiums/discounts	1,140	538	885
Share-based compensation	15,424	13,617	12,176
Income tax provision	1,349	1,507	2,429
Amortization of interest rate swap terminations	1,705	1,133	412
Termination of interest rate swaps	0	(13,159)	0
Changes in operating assets and liabilities:
Student contracts receivable, net	2,340	(5,407)	148
Other assets	10,757	(4,445)	(9,570)
Accounts payable and accrued expenses	(5,308)	(1,532)	31,299
Other liabilities	33,093	20,044	7,941
Net cash provided by operating activities	351,117	370,379	376,621
Investing activities
Proceeds from disposition of properties	146,144	108,562	242,284
Cash paid for land acquisitions	(22,032)	(8,559)	(26,626)
Proceeds from notes receivable	45,432	5,333	0
Other investing activities	(980)	(3,370)	(1,669)
Net cash used in investing activities	(207,432)	(416,140)	(335,812)
Financing activities
Proceeds from unsecured notes	795,808	398,816	0
Pay-off of mortgage and construction loans	(124,559)	(53,818)	(186,347)
Defeasance costs related to early extinguishment of debt	(4,156)	0	(2,726)
Proceeds from revolving credit facility	1,902,600	949,000	1,095,500
Paydowns of revolving credit facility	(1,957,200)	(910,600)	(835,800)
Proceeds from construction loans	0	31,611	100,882
Proceeds from mortgage loans	0	0	330,000
Scheduled principal payments on debt	(11,852)	(11,938)	(11,704)
Debt issuance costs	(9,614)	(6,462)	(656)
Increase in ownership of consolidated subsidiary	(77,200)	(105,109)	(10,486)
Contribution by noncontrolling interests	5,414	1,174	379,391
Taxes paid on net-share settlements	(4,175)	(3,975)	(2,756)
Distributions paid to common and restricted stockholders	(260,771)	(258,620)	(250,521)
Net cash (used) provided by financing activities	(151,061)	20,592	936
Net change in cash, cash equivalents, and restricted cash	(7,376)	(25,169)	41,745
Cash, cash equivalents, and restricted cash at beginning of period	81,348	106,517	64,772
Cash, cash equivalents, and restricted cash at end of period	73,972	81,348	106,517
Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets
Total cash, cash equivalents, and restricted cash at end of period	81,348	106,517	106,517
Supplemental disclosure of non-cash investing and financing activities
Conversion of common and preferred operating partnership units to common stock	0	6,077	13,332
Contribution of Property	696	0	8,729
Accrued development costs and capital expenditures	28,994	37,260	54,975
Change in fair value of redeemable noncontrolling interest	2,002	(14,350)	(66,079)
Change in ownership of consolidated subsidiary	0	0	(175,529)
Initial recognition of operating lease right of use assets	0	463,445	0
Initial recognition of operating lease liabilities	0	462,495	0
Non-cash extinguishment of debt, including accrued interest	0	(34,570)	0
Net assets surrendered in conjunction with extinguishment of debt	0	13,578	0
Supplemental disclosure of cash flow information
Interest paid, net of amounts capitalized	108,791	114,450	101,841
Income taxes paid	1,455	3,041	1,060
Noncontrolling Interests - Partially Owned Properties
Financing activities
Distributions paid	(5,356)	(9,487)	(153,841)
Owned Properties
Investing activities
Capital expenditures	(58,312)	(70,846)	(70,809)
Owned properties under development
Investing activities
Capital expenditures	(315,586)	(444,362)	(475,338)
On-campus participating properties, net
Investing activities
Capital expenditures	(2,098)	(2,898)	(3,654)
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Operating activities
Net income	69,848	86,762	119,124
Adjustments to reconcile net income to net cash provided by operating activities:
(Gain) loss from disposition of real estate	(48,525)	53	(42,314)
Gain from insurance and litigation settlements	(1,100)	0	(1,245)
Loss (gain) from extinguishment of debt	4,827	(20,992)	(7,867)
Gain from early repayment of notes receivable	(2,136)	0	0
Provision for impairment	0	17,214	0
Depreciation and amortization	267,703	275,046	263,203
Amortization of deferred financing costs and debt premiums/discounts	1,140	538	885
Share-based compensation	15,424	13,617	12,176
Income tax provision	1,349	1,507	2,429
Amortization of interest rate swap terminations	1,705	1,133	412
Termination of interest rate swaps	0	(13,159)	0
Changes in operating assets and liabilities:
Student contracts receivable, net	2,340	(5,407)	148
Other assets	10,757	(4,445)	(9,570)
Accounts payable and accrued expenses	(5,308)	(1,532)	31,299
Other liabilities	33,093	20,044	7,941
Net cash provided by operating activities	351,117	370,379	376,621
Investing activities
Proceeds from disposition of properties	146,144	108,562	242,284
Cash paid for land acquisitions	(22,032)	(8,559)	(26,626)
Proceeds from notes receivable	45,432	5,333	0
Other investing activities	(980)	(3,370)	(1,669)
Net cash used in investing activities	(207,432)	(416,140)	(335,812)
Financing activities
Proceeds from unsecured notes	795,808	398,816	0
Pay-off of mortgage and construction loans	(124,559)	(53,818)	(186,347)
Defeasance costs related to early extinguishment of debt	(4,156)	0	(2,726)
Proceeds from revolving credit facility	1,902,600	949,000	1,095,500
Paydowns of revolving credit facility	(1,957,200)	(910,600)	(835,800)
Proceeds from construction loans	0	31,611	100,882
Proceeds from mortgage loans	0	0	330,000
Scheduled principal payments on debt	(11,852)	(11,938)	(11,704)
Debt issuance costs	(9,614)	(6,462)	(656)
Increase in ownership of consolidated subsidiary	(77,200)	(105,109)	(10,486)
Contribution by noncontrolling interests	5,414	1,174	379,391
Taxes paid on net-share settlements	(4,175)	(3,975)	(2,756)
Net cash (used) provided by financing activities	(151,061)	20,592	936
Net change in cash, cash equivalents, and restricted cash	(7,376)	(25,169)	41,745
Cash, cash equivalents, and restricted cash at beginning of period	81,348	106,517	64,772
Cash, cash equivalents, and restricted cash at end of period	73,972	81,348	106,517
Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets
Total cash, cash equivalents, and restricted cash at end of period	81,348	81,348	106,517
Supplemental disclosure of non-cash investing and financing activities
Conversion of common and preferred operating partnership units to common stock	0	6,077	13,332
Contribution of Property	696	0	8,729
Accrued development costs and capital expenditures	28,994	37,260	54,975
Change in fair value of redeemable noncontrolling interest	2,002	(14,350)	(66,079)
Change in ownership of consolidated subsidiary	0	0	(175,529)
Initial recognition of operating lease right of use assets	0	463,445	0
Initial recognition of operating lease liabilities	0	462,495	0
Non-cash extinguishment of debt, including accrued interest	0	(34,570)	0
Net assets surrendered in conjunction with extinguishment of debt	0	13,578	0
Supplemental disclosure of cash flow information
Interest paid, net of amounts capitalized	108,791	114,450	101,841
Income taxes paid	1,455	3,041	1,060
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Common and preferred units
Financing activities
Distributions paid	(259,566)	(257,780)	(250,515)
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Unvested restricted Awards
Financing activities
Distributions paid	(2,142)	(1,902)	(1,522)
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Partially owned properties
Financing activities
Distributions paid	(4,419)	(8,425)	(152,325)
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Owned Properties
Investing activities
Capital expenditures	(58,312)	(70,846)	(70,809)
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Owned properties under development
Investing activities
Capital expenditures	(315,586)	(444,362)	(475,338)
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| On-campus participating properties, net
Investing activities
Capital expenditures	(2,098)	(2,898)	(3,654)
Unsecured notes, net
Financing activities
Payoff of unsecured debt	(400,000)	0	0
Unsecured notes, net \| AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Financing activities
Payoff of unsecured debt	(400,000)	0	0
Term loans
Financing activities
Payoff of unsecured debt	0	0	(450,000)
Term loans \| AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Financing activities
Payoff of unsecured debt	$ 0	$ 0	$ (450,000)

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Investments in real estate
Investments in real estate, net	$ 6,791,025	$ 6,769,903
Cash and cash equivalents	54,017	54,650
Restricted cash	19,955	26,698
Student contracts receivable, net	11,090	13,470
Operating lease right of use assets	457,573	460,857
Other assets	197,500	234,176
Total assets	7,531,160	7,559,754
Liabilities
Secured mortgage and bond debt, net	646,827	787,426
Accounts payable and accrued expenses	85,070	88,411
Operating lease liabilities	486,631	473,070
Other liabilities	185,352	157,368
Total liabilities	4,350,056	4,116,699
Commitments and Contingencies
Redeemable noncontrolling interests	24,567	104,381
American Campus Communities, Inc. and Subsidiaries stockholders’ equity
Common stock, $0.01 par value, 800,000,000 shares authorized, 137,540,345 and 137,326,824 shares issued and outstanding at December 31, 2020 and December 31, 2019, respectively	1,375	1,373
Additional paid in capital	4,472,170	4,458,456
Common stock held in rabbi trust, 91,746 and 77,928 shares at December 31, 2020 and December 31, 2019, respectively	(3,951)	(3,486)
Accumulated earnings and dividends	(1,332,689)	(1,144,721)
Accumulated other comprehensive loss	(22,777)	(16,946)
Total American Campus Communities, Inc. and Subsidiaries stockholders’ equity	3,114,128	3,294,676
Noncontrolling interests – partially owned properties	42,409	43,998
Total equity	3,156,537	3,338,674
Partners’ capital
Accumulated other comprehensive loss	(22,777)	(16,946)
Total liabilities and equity/capital	$ 7,531,160	$ 7,559,754
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	800,000,000	800,000,000
Unsecured notes, net
Liabilities
Unsecured debt, net	$ 2,375,603	$ 1,985,603
Unsecured term loans, net
Liabilities
Unsecured debt, net	199,473	199,121
Unsecured revolving credit facility
Liabilities
Unsecured debt, net	371,100	425,700
Owned Properties
Investments in real estate
Investments in real estate, net	6,721,744	6,694,715
On-campus participating properties, net
Investments in real estate
Investments in real estate, net	69,281	75,188
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP
Investments in real estate
Investments in real estate, net	6,791,025	6,769,903
Cash and cash equivalents	54,017	54,650
Restricted cash	19,955	26,698
Student contracts receivable, net	11,090	13,470
Operating lease right of use assets	457,573	460,857
Other assets	197,500	234,176
Total assets	7,531,160	7,559,754
Liabilities
Secured mortgage and bond debt, net	646,827	787,426
Accounts payable and accrued expenses	85,070	88,411
Operating lease liabilities	486,631	473,070
Other liabilities	185,352	157,368
Total liabilities	4,350,056	4,116,699
Commitments and Contingencies
Redeemable noncontrolling interests	24,567	104,381
American Campus Communities, Inc. and Subsidiaries stockholders’ equity
Accumulated other comprehensive loss	(22,777)	(16,946)
Partners’ capital
General partner - 12,222 OP units outstanding at both December 31, 2020 and December 31, 2019	23	40
Limited partner - 137,619,869 and 137,392,530 OP units outstanding at December 31, 2020 and December 31, 2019, respectively	3,136,882	3,311,582
Accumulated other comprehensive loss	(22,777)	(16,946)
Total partners’ capital	3,114,128	3,294,676
Noncontrolling interests – partially owned properties	42,409	43,998
Total capital	3,156,537	3,338,674
Total liabilities and equity/capital	7,531,160	7,559,754
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Unsecured notes, net
Liabilities
Unsecured debt, net	2,375,603	1,985,603
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Unsecured term loans, net
Liabilities
Unsecured debt, net	199,473	199,121
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Unsecured revolving credit facility
Liabilities
Unsecured debt, net	371,100	425,700
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| Owned Properties
Investments in real estate
Investments in real estate, net	6,721,744	6,694,715
AMERICAN CAMPUS COMMUNITIES OPERATING PARTNERSHIP LP \| On-campus participating properties, net
Investments in real estate
Investments in real estate, net	$ 69,281	$ 75,188