SEGMENT REPORTING

We operate in a single reportable segment which includes the ownership, management, development, redevelopment, and acquisition of apartment communities. Each of our operating properties is considered a separate operating segment because each property earns revenues, incurs expenses, and has discrete financial information. Our chief operating decision-makers evaluate each property's operating results to make decisions about resources to be allocated and to assess performance. We do not group our operations based on geography, size, or type. Our apartment communities have similar long-term economic characteristics and provide similar products and services to our residents. No apartment community comprises more than 10% of consolidated revenues, profits, or assets. Accordingly, our apartment communities are aggregated into a single reportable segment.

Our executive management team comprises our chief operating decision-makers. This team measures the performance of our reportable segment based on net operating income (“NOI”), which we define as total real estate revenues less property operating expenses, including real estate taxes. We believe that NOI is an important supplemental measure of operating performance for real estate because it provides a measure of operations that is unaffected by depreciation, amortization, financing, property management overhead, casualty losses, and general and administrative expense. NOI does not represent cash generated by operating activities in accordance with GAAP and should not be considered an alternative to net income, net income available for common shareholders, or cash flow from operating activities as a measure of financial performance.

The following tables present NOI for the three-month periods ended March 31, 2019 and 2018, respectively, along with reconciliations to net income in the condensed consolidated financial statements. Segment assets are also reconciled to total assets as reported in the condensed consolidated financial statements.



	(in thousands)
Three Months Ended March 31, 2019	Multifamily		All Other		Total
Revenue	$	44,814	$	794	$	45,608
Property operating expenses, including real estate taxes	19,688		348		20,036
Net operating income	$	25,126	$	446	$	25,572
Property management					(1,554		)
Casualty gain (loss)					(641		)
Depreciation and amortization					(18,111		)
General and administrative expenses					(3,806		)
Interest expense					(7,896		)
Loss on debt extinguishment					(2		)
Interest and other income					424
Income (loss) before gain (loss) on sale of real estate and other investments					(6,014		)
Gain (loss) on sale of real estate and other investments					54
Net income (loss)					$	(5,960	)



	(in thousands)
Three Months Ended March 31, 2018	Multifamily		All Other		Total
Revenue	$	40,054	$	2,981	$	43,035
Property operating expenses, including real estate taxes	18,128		1,139		19,267
Net operating income	$	21,926	$	1,842	$	23,768
Property management					(1,377		)
Casualty gain (loss)					(50		)
Depreciation and amortization					(20,516		)
General and administrative expenses					(3,619		)
Interest expense					(8,296		)
Loss on debt extinguishment					(121		)
Interest and other income					689
Income (loss) before gain (loss) on sale of real estate and other investments and income (loss) from discontinued operations					(9,522		)
Gain (loss) on sale of real estate and other investments					2,304
Income (loss) from continuing operations					(7,218		)
Income (loss) from discontinued operations					13,882
Net income (loss)					$	6,664

Segment Assets and Accumulated Depreciation

Segment assets are summarized as follows as of March 31, 2019, and December 31, 2018, respectively, along with reconciliations to the condensed consolidated financial statements:



	(in thousands)
As of March 31, 2019	Multifamily			All Other			Total
Segment assets
Property owned	$	1,628,195		$	44,963		$	1,673,158
Less accumulated depreciation	(357,420		)	(14,252		)	(371,672		)
Total property owned	$	1,270,775		$	30,711		$	1,301,486
Cash and cash equivalents							23,329
Restricted cash							4,819
Other assets							29,166
Unimproved land							2,252
Mortgage loans receivable							10,260
Total Assets							$	1,371,312



	(in thousands)
As of December 31, 2018	Multifamily			All Other			Total
Segment assets
Property owned	$	1,582,917		$	44,719		$	1,627,636
Less accumulated depreciation	(340,081		)	(13,790		)	(353,871		)
Total property owned	$	1,242,836		$	30,929		$	1,273,765
Cash and cash equivalents							13,792
Restricted cash							5,464
Other assets							27,265
Unimproved land							5,301
Mortgage loans receivable							10,410
Total Assets							$	1,335,997