Quarterly report [Sections 13 or 15(d)]

Redeemable Noncontrolling Interests

v3.25.1
Redeemable Noncontrolling Interests
3 Months Ended
Mar. 31, 2025
Noncontrolling Interest [Abstract]  
Redeemable Noncontrolling Interests Redeemable Noncontrolling Interest
Redeemable noncontrolling interest on our consolidated balance sheets included the ownership interest of our partner in LW Redstone Company, LLC due to the partner’s rights to require us to acquire their interest. The table below sets forth the activity for redeemable noncontrolling interest (in thousands):
For the Three Months Ended March 31,
2025 2024
Beginning balance $ 23,974  $ 23,580 
Distributions to noncontrolling interest (605) (468)
Net income attributable to noncontrolling interest 605  469 
Adjustments for changes in fair value of interest (435) (615)
Ending balance $ 23,539  $ 22,966 
We determine the fair value of the interest based on unobservable inputs after considering the assumptions that market participants would make in pricing the interest. We apply a discount rate to the estimated future cash flows allocable to our partner from the properties underlying the respective joint venture. Estimated cash flows used in such analyses are based on our plans for the properties and our views of market and economic conditions, and consider items such as current and future rental rates, occupancy projections and estimated operating and development expenditures.