Quarterly report pursuant to Section 13 or 15(d)

Equity

v3.21.2
Equity
 9 Months Ended
Sep. 30, 2021
Equity [Abstract]  
Equity Equity
Dividends and Distributions
Our board of directors declared the following dividends in 2020 and 2021:

Announced Date Record Date Pay Date Amount per
share
2/20/2020 4/2/2020 4/10/2020 $ 0.34 
6/5/2020 7/2/2020 7/9/2020 0.34 
8/6/2020 10/2/2020 10/9/2020 0.34 
11/5/2020 12/28/2020
(1)
 01/8/2021 0.34 
2/18/2021 04/5/2021 04/12/2021 0.35 
5/4/2021 7/2/2021 7/9/2021 0.35 
8/5/2021 10/1/2021 10/8/2021 0.35 
(1) This dividend was treated as a distribution in 2021 for tax purposes.
Equity Offerings
We have an effective universal shelf registration statement registering the potential offer and sale, from time to time and in one or more offerings, of any combination of our common stock, preferred stock, depositary shares, debt securities, warrants and rights (collectively referred to as the “securities”). We may offer the securities directly, through agents, or to or through underwriters by means of ordinary brokers’ transactions on the NYSE or otherwise at market prices prevailing at the time of sale or at negotiated prices and may include “at the market” (“ATM”) offerings to or through a market maker or into an existing trading market on an exchange or otherwise. We completed the following public offerings (including ATM issuances) of our common stock during 2021 and 2020:
Date/Period Common Stock Offerings Shares Issued
Price Per Share (2)
Net Proceeds (1)
  (amounts in millions, except per share amounts)
Q1 2020 ATM 4.500  $ 25.84  $ 115 
Q2 2020 ATM 1.938  23.10  44 
Q3 2020 ATM 0.875  33.81  29 
Q4 2020 ATM 2.204  50.35  110 
Q1 2021 ATM 1.639  63.55  103 
Q2 2021 None —  —  — 
Q3 2021 ATM 0.857 57.56  49 
(1)Net proceeds from the offerings are shown after deducting underwriting discounts, commissions and other offering costs.
(2)Represents the average price per share at which investors in our ATM offerings purchased our shares.
Equity-based Compensation Awards under our 2013 Plan
We have issued equity awards that vest from 2022 to 2025 subject to service, performance and market conditions. During the nine months ended September 30, 2021, our board of directors awarded employees and directors 434,159 shares of restricted stock, restricted stock units and LTIP Units that vest from 2022 to 2025. As of September 30, 2021, we have concluded that it is probable that the performance conditions will be met for previously issued restricted stock awards with performance conditions. Refer to Note 4 to our financial statements in this Form 10-Q for background on the LTIP Units.
For the three and nine months ended September 30, 2021 we recorded $4 million and $14 million of stock based compensation, respectively, compared to $4 million and $12 million during the three and nine months ended September 30, 2020. Of the current nine-month period expense, $2 million is related to the acceleration of compensation expense related to an employee with a change in employment status that occurred in the first quarter of 2021. The total unrecognized compensation expense related to awards of shares of restricted stock and restricted stock units was approximately $19 million as of September 30, 2021. We expect to recognize compensation expense related to our equity awards over a weighted-average term of approximately 2 years. A summary of the unvested shares of restricted common stock that have been issued is as follows:

Restricted Shares of Common Stock Weighted Average Grant Date Fair Value Value
(per share) (in millions)
Ending Balance — December 31, 2019 750,242  $ 20.08  $ 15.1 
Granted 194,077  32.93  6.4 
Vested (576,880) 19.50  (11.3)
Forfeited (262) 28.59  — 
Ending Balance — December 31, 2020 367,177  $ 27.77  $ 10.2 
Granted 80,886  59.41  4.8 
Vested (250,758) 29.22  (7.3)
Forfeited (50) 63.59  — 
Ending Balance — September 30, 2021 197,255  $ 38.89  $ 7.7 
A summary of the unvested shares of restricted stock units that have market-based vesting conditions that have been issued is as follows:

Restricted Stock Units (1)
Weighted Average Grant Date Fair Value Value
(per share) (in millions)
Ending Balance — December 31, 2019 435,578  $ 20.12  $ 8.8 
Granted 23,342  27.18  0.6 
Incremental performance shares granted 216,932  18.99  4.1 
Vested (439,986) 19.04  (8.4)
Forfeited (266) 25.90  — 
Ending Balance — December 31, 2020 235,600  $ 21.78  $ 5.1 
Granted 17,426  71.23  1.2 
Incremental performance shares granted 171,180  20.24  3.5 
Vested (342,360) 20.24  (6.9)
Forfeited —  —  — 
Ending Balance — September 30, 2021 81,846  $ 35.52  $ 2.9 

(1)    As discussed in Note 2 to our financial statements in this Form 10-Q, restricted stock units with market-based vesting conditions can vest between 0% and 200% subject to both the absolute performance of the Company's common stock as well as relative performance compared to a group of peers. The incremental performance shares granted relate to the vesting of an award at the 200% level.
A summary of the unvested LTIP Units that have time-based vesting conditions that have been issued is as follows:

LTIP Units (1)
Weighted Average Grant Date Fair Value Value
(per share) (in millions)
Ending Balance — December 31, 2019 201,310  $ 25.84  $ 5.2 
Granted 165,346  18.56  3.1 
Vested (80,974) 25.87  (2.1)
Forfeited —  —  — 
Ending Balance — December 31, 2020 285,682  $ 21.62  $ 6.2 
Granted 249,573  54.73  13.7 
Vested (151,209) 21.58  (3.3)
Forfeited —  —  — 
Ending Balance — September 30, 2021 384,046  $ 43.15  $ 16.6 

(1)    See Note 4 to our financial statements in this Form 10-Q for information on the vesting of LTIP Units.
A summary of the unvested LTIP Units that have market-based vesting conditions that have been issued is as follows:

LTIP Units (1)
Weighted Average Grant Date Fair Value Value
(per share) (in millions)
Ending Balance — December 31, 2019 180,500  $ 26.70  $ 4.8 
Granted 132,204  12.25  1.6 
Vested —  —  — 
Forfeited —  —  — 
Ending Balance — December 31, 2020 312,704  $ 20.59  $ 6.4 
Granted 86,274  65.28  5.6 
Incremental performance shares granted 51,500  21.09  1.1 
Vested (103,000) 21.09  (2.1)
Forfeited —  —  — 
Ending Balance — September 30, 2021 347,478  $ 31.61  $ 11.0 
(1)    See Note 4 to our financial statements in this Form 10-Q for information on the vesting of LTIP Units. LTIP Units with market-based vesting conditions can vest between 0% and 200% subject to both the absolute performance of the Company's common stock as well as relative performance compared to a group of peers.