Company: HPP
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001482512-25-000043
Chunk: 87

Company: Hudson Pacific Properties, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 8
Chunk 87
---
 in thousands, except square footage, share and unit data)

The table below reconciles net loss to total profit from all segments:Three Months Ended March 31,20252024NET LOSS$(80,278)$(53,355)General and administrative18,483 19,710 Depreciation and amortization93,085 91,854 Loss from unconsolidated real estate entities1,254 743 Fee income(1,359)(1,125)Interest expense43,505 44,089 Interest income(435)(854)Management services reimbursement income—unconsolidated real estate entities(975)(1,156)Management services expense—unconsolidated real estate entities975 1,156 Transaction-related expenses— 2,150 Unrealized loss on non-real estate investments449 898 Gain on sale of real estate, net(10,023)— Impairment loss18,476 — Loss on extinguishment of debt1,858 — Other income(8)(143)Income tax provision194 — TOTAL PROFIT FROM ALL SEGMENTS$85,201 $103,967 

19. Related Party Transactions

Employment AgreementsThe Company has entered into employment agreements with certain of its executive officers, effective January 1, 2025, that provide for various severance and change in control benefits and other terms and conditions of employment.Cost Reimbursements from Unconsolidated Real Estate EntitiesThe Company is reimbursed for certain costs incurred in managing certain of its unconsolidated real estate entities. During the three months ended March 31, 2025 and 2024, the Company recognized $1.0 million and $1.2 million, respectively, of such reimbursement income in management services reimbursement income—unconsolidated real estate entities on the Consolidated Statement of Operations.Related Party LeasesThe Company’s wholly-owned subsidiary is party to long-term operating lease agreements with an unconsolidated joint venture for office space and fitness and conference facilities. As of March 31, 2025, the Company’s ROU assets and lease liabilities related to these lease obligations were $4.7 million and $4.8 million, respectively as compared to ROU assets and lease liabilities of $4.9 million and $5.1 million, respectively, as of December 31, 2024. During the three months ended March 31, 202