11. PARTNERS’ EQUITY OF THE OPERATING PARTNERSHIP

Earnings per Common Partnership Unit

The following tables detail the number of units and net income used to calculate basic and diluted earnings per common partnership unit (in thousands, except unit and per unit amounts; results may not add due to rounding):

	Three-month periods ended September 30,
	2017						2016
	Basic			Diluted			Basic			Diluted
Numerator
Income from continuing operations	$	19,046		$	19,046		$	7,884		$	7,884
Nonforfeitable dividends allocated to unvested restricted unitholders		(73	)		(73	)		(79	)		(79	)
Preferred unit dividends		-			-			(1,725	)		(1,725	)
Net income attributable to non-controlling interests		(12	)		(12	)		(6	)		(6	)
Net income attributable to common unitholders	$	18,961		$	18,961		$	6,074		$	6,074
Denominator
Weighted-average units outstanding		176,913,456			176,913,456			176,606,909			176,606,909
Contingent securities/Share based compensation		-			1,401,365			-			1,237,505
Total weighted-average units outstanding		176,913,456			178,314,821			176,606,909			177,844,414
Earnings per Common Partnership Unit:
Net income attributable to common unitholders	$	0.11		$	0.11		$	0.03		$	0.03

	Nine-month periods ended September 30,
	2017						2016
	Basic			Diluted			Basic			Diluted
Numerator
Income from continuing operations	$	48,015		$	48,015		$	52,871		$	52,871
Nonforfeitable dividends allocated to unvested restricted unitholders		(245	)		(245	)		(263	)		(263	)
Preferred unit dividends		(2,032	)		(2,032	)		(5,175	)		(5,175	)
Preferred unit redemption charge		(3,181	)		(3,181	)		-			-
Net income attributable to non-controlling interests		(26	)		(26	)		(12	)		(12	)
Net income attributable to common unitholders	$	42,531		$	42,531		$	47,421		$	47,421
Denominator
Weighted-average units outstanding		176,795,380			176,795,380			176,491,311			176,491,311
Contingent securities/Share based compensation		-			1,283,751			-			1,032,824
Total weighted-average units outstanding		176,795,380			178,079,131			176,491,311			177,524,135
Earnings per Common Partnership Unit:
Net income attributable to common unitholders	$	0.24		$	0.24		$	0.27		$	0.27

Unvested restricted units are considered participating securities which require the use of the two-class method for the computation of basic and diluted earnings per share. For the three- and nine-month periods ended September 30, 2017 and 2016, earnings representing nonforfeitable dividends as noted in the table above were allocated to the unvested restricted units issued to the Parent Company in connection with awards to the Parent Company’s executives and other employees under the Parent Company's shareholder-approved long-term incentive plan.

Common Partnership Units and Preferred Mirror Units

On September 12, 2017, the Operating Partnership declared a distribution of $0.16 per common partnership unit, totaling $28.4 million, which was paid on October 18, 2017 to unitholders of record as of October 4, 2017.

On April 11, 2017, the Operating Partnership redeemed all of its outstanding 4,000,000 Series E-Linked Preferred Mirror Units at an aggregate redemption price of $25.51 per unit, which includes $2.0 million of dividends accrued through the redemption date. The redemption of preferred units was funded with existing cash balances on hand.

Also on April 11, 2017, the Operating Partnership recognized a $3.2 million charge related to the underwriting discount and related expenses incurred at issuance of the Series E-Linked Preferred Mirror Units on April 11, 2012. This charge is included in the earnings per share calculations above, as well as within the Operating Partnership’s consolidated income statements as a reduction in net income to arrive at net income attributable to common partnership unitholders under the caption “Preferred unit redemption charge.” There were no comparable charges for the prior year.