Property and Equipment

6 Months Ended

Jun. 30, 2014

Property Plant And Equipment [Abstract]

Property and Equipment

6. Property and Equipment

Property and equipment, net consisted of the following (in thousands):

	June 30, 2014			December 31, 2013
Land	$	148,993		$	122,126
Buildings and improvements		154,060			124,479
Leasehold improvements		8,286			7,437
Equipment and other		85,626			76,236
Property and equipment in service, at cost		396,965			330,278
Accumulated depreciation and amortization		(52,482	)		(43,808	)
Property and equipment in service, net		344,483			286,470
Construction in progress		3,722			2,259
Property and equipment, net	$	348,205		$	288,729

Depreciation expense, including amortization of assets recorded under sale-leasebacks and capital lease obligations, was $4.9 million and $3.8 million for the three months ended June 30, 2014 and 2013, and $9.4 million and $7.6 million for the six months ended June 30, 2014 and 2013, respectively.

In addition to the business combinations discussed in Note 3, the following asset purchases and divestitures occurred in the six months ended June 30, 2014 and 2013:

• The Partnership sold two sites during the six months ended June 30, 2014, resulting in a gain of $1.5 million.

• In May 2013, the Partnership repurchased four sites in Ohio for $7.1 million. These sites were previously leased through sale-leaseback transactions that were accounted for as lease financing obligations with a remaining balance of $5.1 million. The $2.0 million difference between the purchase price and the remaining balance of the lease financing obligation was recorded as an increase to property and equipment.

• In June 2013, the Partnership purchased two sites in Florida for $1.6 million, of which $0.6 million was paid in cash and the remaining balance was financed as a note payable.