Real Estate Disposition Activities

6 Months Ended

Jun. 30, 2012

Real Estate Disposition Activities

Real Estate Disposition Activities

6.  Real Estate Disposition Activities

During the three months ended June 30, 2012, the Company sold two communities:  Waterford, located in Oakland, CA and Arlington Heights, located in Chicago, IL.  These communities, containing a total of 953 apartment homes, were sold for an aggregate price of $173,750,000.  The dispositions resulted in an aggregate gain in accordance with GAAP of $95,049,000.

The Company sold one unimproved land parcel in Chicago, IL, for $12,300,000, resulting in an aggregate gain in accordance with GAAP of $280,000. The Company recorded impairment charges of approximately $16,363,000 related to this asset in prior years when it was determined that the site would not be developed.

As of June 30, 2012, the Company did not have any real estate assets that qualified as held for sale.

The operations for any real estate assets sold from January 1, 2011 through June 30, 2012 have been presented as income from discontinued operations in the accompanying Condensed Consolidated Statements of Comprehensive Income. Accordingly, certain reclassifications have been made to prior years to reflect discontinued operations consistent with current year presentation.

The following is a summary of income from discontinued operations for the periods presented (dollars in thousands):

	For the three months ended						For the six months ended
	(unaudited)						(unaudited)
	6-30-12			6-30-11			6-30-12			6-30-11
Rental income	$	3,065		$	9,278		$	6,986		$	18,363
Operating and other expenses	(1,114		)	(5,600		)	(2,486		)	(11,289		)
Interest expense, net	(53		)	(1,311		)	(133		)	(2,611		)
Loss on extinguishment of debt	(602		)	—			(602		)	—
Depreciation expense	(144		)	(2,084		)	(895		)	(4,160		)
Income from discontinued operations	$	1,152		$	283		$	2,870		$	303