12. Investments in Affiliates

Our investments in affiliates balance is related to our investments in unconsolidated non-construction entities that we account for using the equity method of accounting, including investments in foreign affiliates, real estate entities and an asphalt terminal entity.

As part of the acquisition of Layne, we acquired investments in foreign affiliates that are engaged in mineral drilling services and the manufacture and supply of drilling equipment, parts and supplies in Latin America. The real estate entities were formed to accomplish specific real estate development projects in which our wholly owned subsidiary, Granite Land Company, participates with third-party partners. The asphalt terminal entity is a 50% interest in a limited liability company which owns and operates an asphalt terminal and operates an emulsion plant in Nevada.

Our investments in affiliates balance consists of the following:

(in thousands)	September 30, 2018		December 31, 2017		September 30, 2017
Equity method investment in foreign affiliates	$	54,620	$	—	$	—
Equity method investments in real estate affiliates		20,930		29,472		28,634
Equity method investment in asphalt terminal affiliate		9,290		8,997		11,312
Total investments in affiliates	$	84,840	$	38,469	$	39,946

The following table provides summarized balance sheet information for our affiliates accounted for under the equity method on a combined basis:

(in thousands)	September 30, 2018		December 31, 2017		September 30, 2017
Current assets	$	138,887	$	31,320	$	26,442
Noncurrent assets		168,402		129,039		137,272
Total assets		307,289		160,359		163,714
Current liabilities		71,940		30,131		32,463
Long-term liabilities¹		46,961		31,636		32,761
Total liabilities		118,901		61,767		65,224
Net assets		188,388		98,592		98,490
Granite’s share of net assets	$	84,840	$	38,469	$	39,946

¹The balance primarily relates to debt associated with our real estate investments. The increase in the balance since December 31, 2017 is related to debt of our foreign affiliates associated with purchase of equipment and buildings.

Of the $307.3 million in total assets as of September 30, 2018, foreign entities had total assets ranging from $0.1 million to $63.0 million, real estate entities had total assets ranging from $0.4 million to $53.5 million and the non-real estate entity had total assets of $26.0 million. We have direct and indirect investments in the foreign entities and our percent ownership ranged from 25.0% to 50.0% as of September 30, 2018. The equity method investments in real estate affiliates included $17.5 million, $24.3 million and $23.6 million in residential real estate in Texas as of September 30, 2018, December 31, 2017 and September 30, 2017, respectively. The remaining balances were in commercial real estate in Texas.