ACQUISITIONS AND DISPOSITIONS

The fair value of real estate acquired is recorded to the acquired tangible assets, consisting primarily of land, land improvements, building and improvements, tenant improvements, and furniture, fixtures, and equipment, and identified intangible assets and liabilities, consisting of the value of acquired above-market and below-market leases, in-place leases and ground leases, if any, based in each case on their respective fair values. Loan premiums, in the case of above-market rate loans, or loan discounts, in the case of below-market rate loans, are recorded based on the fair value of any loans assumed in connection with acquiring the real estate.

There were no acquisitions during the three months ended March 31, 2017.

On March 28, 2017, we sold a 100% fee-simple interest in 211 Main Street located in San Francisco, California to an unrelated third party. The results of operations of this office property have been included in the consolidated statements of operations through the date of disposition. Transaction costs expensed in connection with this sale totaled $2,943,000 and included a prepayment penalty of $1,508,000 incurred in connection with the prepayment of the property's mortgage (Note 8).

Property

Asset

Type

Date of Sale

Square Feet

Sales

Price

Gain on

Sale

(in thousands)

211 Main Street, San Francisco, CA

Office

March 28, 2017

417,266

292,882

187,734

The following is the detail of the carrying amount of assets and liabilities at the time of the sale of 211 Main Street in March 2017:



	(in thousands)
Assets
Investments in real estate, net	$	93,747
Deferred rent receivable and charges, net	10,822
Other intangible assets, net	32
Total assets	104,601
Liabilities
Debt, net (1)	25,996
Intangible liabilities, net	1,731
Total liabilities	27,727

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(1)	Net of $665,000 of premium on assumed mortgage.

There were no acquisitions during the three months ended March 31, 2016.

On February 2, 2016, we sold a 100% fee-simple interest in the Courtyard Oakland located in Oakland, California to an unrelated third party. The results of operations of this hotel have been included in the consolidated statement of operations through the date of disposition.

Property

Asset
Type

Date of Sale

Rooms

Sales
Price

Gain on
Sale

(in thousands)

Courtyard Oakland, Oakland, CA

Hotel

February 2, 2016

162

43,800

24,739

We have entered into five purchase and sale agreements, each as a separate transaction with unrelated third parties, for the sale of an office property located at 200 S College Street in Charlotte, North Carolina; an office property located at 980 9th Street and a parking structure located at 1010 8th Street, both in Sacramento, California; an office property located at 7083 Hollywood Boulevard in Los Angeles, California; a multifamily property located at 4649 Cole Avenue in Dallas, Texas; and two multifamily properties located at 3636 McKinney Avenue and 3839 McKinney Avenue both in Dallas, Texas. The aggregate contract sales price for these properties is approximately $409,400,000. In connection with these dispositions, approximately $60,600,000 of the outstanding mortgages payable at March 31, 2017 will be repaid or assumed by the buyer. We expect the closings of these sales transactions to occur during the second and third quarters of 2017. Each of the purchase and sale agreements were either entered into or became subject to non-refundable deposits after March 31, 2017. Therefore, none of the individual properties have been classified as held for sale as of March 31, 2017.