Rental Properties

The following table summarizes the carrying amounts of rental properties as of December 31, 2013 and 2012 (in thousands):



	2013			2012
Buildings and improvements	$	1,937,661		$	1,734,300
Furniture, fixtures & equipment	26,676			34,028
Land	549,457			492,449
	2,513,794			2,260,777
Accumulated depreciation	(409,643		)	(375,684		)
Total	$	2,104,151		$	1,885,093

Depreciation expense on rental properties was $50.7 million, $43.8 million and $40.0 million for the years ended December 31, 2013, 2012 and 2011, respectively.

On March 29, 2011, the Company sold its Toronto Dundas Square entertainment retail center and related signage business in downtown Toronto. The gross sale proceeds were approximately $226.0 million Canadian (CAD) and the net sales proceeds, after selling costs, were $222.7 million CAD. The acquirer did not purchase any of the pre-acquisition receivables, payables or accrued liabilities and the purchase and sale agreement called for the establishment of $15.3 million CAD of escrow accounts primarily for the payment of previously accrued property taxes. This amount has been netted against the net proceeds from sale of real estate from discontinued operations in the consolidated statement of cash flows for the year ended December 31, 2011. The net proceeds from this sale, after the aforementioned escrows, were converted to U.S. dollars primarily through a foreign currency forward contract that was entered into on February 3, 2011 and designated as a net investment hedge. This forward contract allowed the Company to sell $200.0 million CAD for $201.5 million U.S. The Company used the proceeds to pay down its revolving line of credit and recorded a net gain of $18.3 million U.S. on the sale of real estate, including the impact of foreign currency and the settlement of the forward contract. From 2011 to 2013, approximately $15.2 million CAD, was paid from reserves leaving an outstanding balance of $0.1 million CAD at December 31, 2013. During the fourth quarter of 2011 and the first quarter of 2012, the Company recorded an additional gain on sale or acquisition of real estate of $1.2 million U.S. and $282 thousand U.S, respectively, related to the settlement of certain reserves. The results of operations of the project have been classified within discontinued operations (see Note 19 for further details). As of December 31, 2013, the Company's consolidated balance sheet includes $0.3 million CAD of assets and $3.8 million CAD of liabilities related to Toronto Dundas Square; however, the Company has no significant continuing involvement with the ownership or operation of the project.

During the year ended December 31, 2011, the Company sold three winery and vineyard properties located in California. The total proceeds for these sales were $20.7 million and the Company recognized a gain of $16 thousand. During the year ended December 31, 2012, the Company sold two winery and vineyard properties located in California for $44.4 million and the Company recognized a net loss of $308 thousand. In consideration for one of these properties the Company received $10 million in cash and a mortgage note receivable of $2.5 million, due in December 2017. During the year ended December 31, 2013, the Company sold five winery and vineyard properties located in California. The total proceeds for these sales were $49.8 million and the Company recognized a net gain of $4.3 million. In consideration for one of these properties, the Company received $1.0 million in cash and a mortgage note receivable of $2.5 million, due in November 2016. As further detailed in Note 19, the results of operations of these properties have been classified within discontinued operations.