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SEC Filings

10-Q
FOREST CITY REALTY TRUST, INC. filed this Form 10-Q on 10/30/2018
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$1,133,000 related to the change in fair market value of certain derivatives not qualifying for hedge accounting between the comparable periods, which was marked to market through interest expense.
Operations - $451,000
($8,973,000) primarily related to the receipt of a New York State Empire Zone tax credit related to previously paid real estate taxes at Westchester’s Ridge Hill of $7,159,000 during the three months ended September 30, 2017 and decreased interest income recognition on the Nets note receivable which was paid in full in April 2018, partially offset by increased interest income recognition on notes receivable related to QIC (Regional Mall dispositions);
$7,595,000 related to decreased development, management, corporate and other expenses due primarily to the transfer of service and management functions to QIC and Madison International relating to the properties sold under the signed definitive agreements and reduced overhead as a result of our recent reorganization;
($5,656,000) related to increased organizational transformation and termination benefits in 2018 compared to 2017;
$3,595,000 related to a combined fluctuation in revenues and operating expenses for properties in our comparable operating portfolio;
$2,941,000 related to a combined fluctuation in revenues and operating expenses at properties in which we recently acquired our partners’ interest; and
$949,000 related to a combined fluctuation in revenues and operating expenses for operations and development properties in lease-up or recently stabilized but not comparable and other non-comparable properties at September 30, 2018.
Non-Cash Transactions - $62,086,000
$54,888,000 related to impairments of real estate in 2017;
$6,019,000 related to a decrease in depreciation and amortization expense in 2018 compared with 2017 primarily due to properties sold in 2017 and 2018, the 2017 deed-in-lieu transaction at Boulevard Mall, and accelerated depreciation in 2017 at 26 Landsdowne Street, an office building in Cambridge, Massachusetts, which is undergoing redevelopment, partially offset by increases from properties in which we recently acquired our partners’ interest; and
$1,179,000 related to decreased write-offs of abandoned development projects and demolition costs included in equity in earnings in 2018 compared to 2017.
Income Taxes
($3,043,000) due to increased income tax expense.
Net earnings attributable to Forest City Realty Trust, Inc. for the nine months ended September 30, 2018 was $715,432,000 versus $103,124,000 for the nine months ended September 30, 2017. The variance to the prior year period is primarily attributable to the following fluctuations, which are pre-tax, include unconsolidated investment activity and are net of noncontrolling interests:
Asset Dispositions and Acquisitions - $499,756,000
$337,377,000 related to the 2018 gains on change of control in interest related to the deconsolidation of Bayside Village, an apartment community in San Francisco, California, and the acquisition of our partner’s 50% interest in three life science office properties at University Park at MIT and 49% of our partner's equity interest in DKLB BKLN;
$214,717,000 related to increased gains on disposition of rental properties and unconsolidated investments in 2018 compared to 2017;
$(52,520,000) related to a combined fluctuation in revenues and operating expenses at properties in which we disposed of our interests during 2018 and 2017;
$6,625,000 related to an increased net gain on disposition of development project in 2018 compared to 2017; and
$(6,443,000) related to decreased land sales in 2018 compared to 2017, primarily at our Stapleton project.
Financing Transactions - $18,763,000
$21,118,000 primarily related to decreases in interest expense on nonrecourse mortgage debt due to property sales in 2017 and 2018 and our ongoing deleveraging strategy, partially offset by increases at properties opened in 2017 and 2018;
$(5,267,000) related to an increase in interest expense in 2018 compared with 2017 due to decreased capitalized interest on projects under construction and development as we decreased our construction pipeline;
$1,939,000 related to the change in fair market value of certain derivatives not qualifying for hedge accounting between the comparable periods, which was marked to market through interest expense; and

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