American Assets Trust, Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>American Assets Trust, Inc. has filed its Q1 2024 10-Q report.</b>

AI Summary

American Assets Trust, Inc. (AAT) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. American Assets Trust, Inc. filed its 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of 2024. The company's principal business address is in San Diego, CA. The filing includes data for American Assets Trust, L.P. The report was filed on May 3, 2024.

Why It Matters

For investors and stakeholders tracking American Assets Trust, Inc., this filing contains several important signals. This 10-Q filing provides investors with the latest financial performance and operational details for American Assets Trust, Inc. for the first quarter of 2024. The inclusion of data for American Assets Trust, L.P. indicates the consolidated financial reporting structure of the entity.

Risk Assessment

Risk Level: low — American Assets Trust, Inc. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain immediate red flags or significant negative developments, indicating a low level of immediate risk from this specific document.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis within the 10-Q to understand the company's performance and outlook.

Key Numbers

• 2024-03-31 — Reporting Period End Date (The end date for the financial period covered by the 10-Q.)
• 2024-05-03 — Filing Date (The date the 10-Q report was officially filed with the SEC.)
• 2024-01-01 — Quarter Start Date (The beginning of the reporting period.)

Key Players & Entities

• American Assets Trust, Inc. (company) — Filer of the 10-Q report.
• American Assets Trust, L.P. (company) — Subsidiary or related entity included in the filing.
• San Diego, CA (location) — Business and mailing address for the company.

FAQ

Industry Context

American Assets Trust, Inc. operates as a real estate investment trust (REIT).

Regulatory Implications

The filing is a standard 10-Q quarterly report submitted to the Securities and Exchange Commission (SEC) under the 1934 Act.

What Investors Should Do

1. Analyze the balance sheet, income statement, and cash flow statement for Q1 2024.
2. Review any disclosures regarding debt, equity, and other financial instruments.
3. Examine management's discussion and analysis (MD&A) for insights into operational performance and future outlook.

Year-Over-Year Comparison

This is the initial 10-Q filing for the fiscal year 2024, following the 2023 annual report.

Key Financial Figures

• $0.01 — ets Trust, Inc. Common Stock, par value $0.01 per share AAT New York Stock Exchange

Filing Documents

• aat-20240331.htm (10-Q) — 1470KB
• aat-ex311xq12024ng.htm (EX-31.1) — 9KB
• aat-ex312xq12024ng.htm (EX-31.2) — 9KB
• aat-ex313xq12024ng.htm (EX-31.3) — 9KB
• aat-ex314xq12024ng.htm (EX-31.4) — 9KB
• aat-ex321xq12024ng.htm (EX-32.1) — 4KB
• aat-ex322xq12024ng.htm (EX-32.2) — 4KB
• aat-20240331_g1.jpg (GRAPHIC) — 24KB
• 0001500217-24-000027.txt (&nbsp;) — 8527KB
• aat-20240331.xsd (EX-101.SCH) — 64KB
• aat-20240331_cal.xml (EX-101.CAL) — 91KB
• aat-20240331_def.xml (EX-101.DEF) — 345KB
• aat-20240331_lab.xml (EX-101.LAB) — 708KB
• aat-20240331_pre.xml (EX-101.PRE) — 572KB
• aat-20240331_htm.xml (XML) — 1115KB

Financial Statements

Item 1. Financial Statements Consolidated Financial Statements of American Assets Trust, Inc.: Consolidated Balance Sheets as of March 3 1 , 202 4 (unaudited) and December 31, 20 23 1 Consolidated Statements of Comprehensive Income (unaudited) for the three months ended March 3 1 , 202 4 and 20 23 2 Consolidated Statement of Equity (unaudited) for the three months ended March 3 1 , 202 4 and 20 23 3 Consolidated Statements of Cash Flows (unaudited) for the three months ended March 3 1 , 202 4 and 20 23 4 Consolidated Financial Statements of American Assets Trust, L.P.: Consolidated Balance Sheets as of March 3 1 , 202 4 (unaudited) and December 31, 20 23 5 Consolidated Statements of Comprehensive Income (unaudited) for the three months ended March 3 1 , 202 4 and 20 23 6 Consolidated Statement of Partners' Capital (unaudited) for the three months ended March 3 1 , 202 4 and 20 23 7 Consolidated Statements of Cash Flows (unaudited) for the three months ended March 3 1 , 202 4 and 20 23 8

Notes to Consolidated Financial Statements (unaudited)

Notes to Consolidated Financial Statements (unaudited) 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 29

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 43

Controls and Procedures

Item 4. Controls and Procedures 43

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 44

Risk Factors

Item 1A. Risk Factors 44

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 44

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 45

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 45

Other Information

Item 5. Other Information 45

Exhibits

Item 6. Exhibits 45

SIGNATURES

SIGNATURES 46 Table of Contents PART 1 - FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS American Assets Trust, Inc. Consolidated Balance Sheets (In Thousands, Except Share Data) March 31, December 31, 2024 2023 (unaudited) ASSETS Real estate, at cost Operating real estate $ 3,516,354 $ 3,502,251 Construction in progress 235,719 239,030 Held for development 487 487 3,752,560 3,741,768 Accumulated depreciation ( 1,061,670 ) ( 1,036,453 ) Real estate, net 2,690,890 2,705,315 Cash and cash equivalents 98,553 82,888 Accounts receivable, net 7,606 7,624 Deferred rent receivables, net 90,884 89,210 Other assets, net 100,266 99,644 TOTAL ASSETS $ 2,988,199 $ 2,984,681 LIABILITIES AND EQUITY LIABILITIES: Secured notes payable, net $ 74,691 $ 74,669 Unsecured notes payable, net 1,615,608 1,614,958 Accounts payable and accrued expenses 65,292 61,312 Security deposits payable 8,862 8,880 Other liabilities and deferred credits, net 68,358 71,187 Total liabilities 1,832,811 1,831,006 Commitments and contingencies (Note 11) EQUITY: American Assets Trust, Inc. stockholders' equity Common stock, $ 0.01 par value, 490,000,000 shares authorized, 60,894,491 and 60,895,786 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively 609 609 Additional paid-in capital 1,470,823 1,469,206 Accumulated dividends in excess of net income ( 281,183 ) ( 280,239 ) Accumulated other comprehensive income 9,304 8,282 Total American Assets Trust, Inc. stockholders' equity 1,199,553 1,197,858 Noncontrolling interests ( 44,165 ) ( 44,183 ) Total equity 1,155,388 1,153,675 TOTAL LIABILITIES AND EQUITY $ 2,988,199 $ 2,984,681 The accompanying notes are an integral part of these consolidated financial statements. 1 Table of Contents American Assets Trust, Inc. Consolidated Statements of Comprehensive Income (Unaudited) (In Thousands, Except Shares and Per Share Data) Three Months Ended March 31, 2024 2023 REVENUE: Rental income $ 105,021 $ 102,710 Other property income 5,674 5,044

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements March 31, 2024 (Unaudited) NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business and Organization American Assets Trust, Inc. (which may be referred to in these financial statements as the "company," "we," "us," or "our") is a Maryland corporation formed on July 16, 2010 that did not have any operating activity until the consummation of our initial public offering on January 19, 2011. The company is the sole general partner of American Assets Trust, L.P., a Maryland limited partnership formed on July 16, 2010 (the "Operating Partnership"). The company's operations are carried on through our Operating Partnership and its subsidiaries, including our taxable real estate investment trust ("REIT") subsidiary ("TRS"). Since the formation of our Operating Partnership, the company has controlled our Operating Partnership as its general partner and has consolidated its assets, liabilities and results of operations. We are a full service, vertically integrated, and self-administered REIT with approximately 230 employees providing substantial in-house expertise in asset management, property management, property development, leasing, tenant improvement construction, acquisitions, repositioning, redevelopment and financing. As of March 31, 2024, we owned or had a controlling interest in 31 office, retail, multifamily and mixed-use operating properties, the operations of which we consolidate. Additionally, as of March 31, 2024, we owned land at three of our properties that we classify as held for development and/or construction in progress. A summary of the properties owned by us is as follows: Office La Jolla Commons One Beach Street Corporate Campus East III Torrey Reserve Campus First & Main Bel-Spring 520 Torrey Point Lloyd Portfolio Solana Crossing City Center Bellevue The Landmark at One Market Eastgate Office Park Retail Carmel Country Plaza Gateway Marketplace Alamo Quarry Market Carmel Mountain Plaza Del

Notes to Consolidated Financial Statements—(Continued)

Notes to Consolidated Financial Statements—(Continued) March 31, 2024 (Unaudited) Basis of Presentation Our consolidated financial statements include the accounts of the company, our Operating Partnership and our subsidiaries. The equity interests of other investors in our Operating Partnership are reflected as noncontrolling interests. The company follows the Financial Accounting Standards Board (the "FASB") guidance for determining whether an entity is a variable interest entity ("VIE") and requires the performance of a qualitative rather than a quantitative analysis to determine the primary beneficiary of a VIE. Under this guidance, an entity would be required to consolidate a VIE if it has (i) the power to direct the activities that most significantly impact the entity's economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could be significant to the VIE. American Assets Trust, Inc. has concluded that the Operating Partnership is a VIE, and because American Assets Trust, Inc. has both the power and the rights to control the Operating Partnership, American Assets Trust, Inc. is the primary beneficiary and is required to continue to consolidate the Operating Partnership. Substantially all of the assets and liabilities of the company are related to the operating partnership VIE. All intercompany transactions and balances are eliminated in consolidation. The accompanying consolidated financial statements of the company and the Operating Partnership have been prepared in accordance with the rules applicable to Form 10-Q and in

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View this 10-Q filing on SEC EDGAR