Co-investments

The Company has co-investments, which are accounted for under the equity method. The co-investments own, operate and develop apartment communities. The following table details the carrying value of Company's co-investments (in thousands):



	June 30, 2015		December 31, 2014
Membership interest/Partnership interest in:
Wesco I and III	$	156,024	$	188,853
Fund II	228		696
Expo	6,825		7,352
The Huxley	—		11,471
CPPIB	339,600		336,977
Wesco IV	65,720		67,937
BEXAEW	92,260		97,686
Palm Valley	69,494		70,186
Total operating co-investments	730,151		781,158
Total development co-investments	194,442		152,574
Total preferred interest co-investments	119,615		108,691
Total co-investments	$	1,044,208	$	1,042,423

The combined summarized financial information of co-investments are as follows (in thousands).



	June 30, 2015		December 31, 2014
Combined balance sheets: ⁽¹⁾
Rental properties and real estate under development	$	3,275,960	$	3,426,574
Other assets	110,690		107,902
Total assets	$	3,386,650	$	3,534,476
Debt	$	1,391,474	$	1,568,398
Other liabilities	95,386		91,579
Equity ⁽¹⁾	1,899,790		1,874,499
Total liabilities and equity	$	3,386,650	$	3,534,476
Company's share of equity	$	1,044,208	$	1,042,423



	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Combined statements of income: ⁽¹⁾
Property revenues	$	62,092		$	48,784		$	125,589		$	76,744
Property operating expenses	(23,184		)	(18,556		)	(46,138		)	(30,116		)
Net operating income	38,908			30,228			79,451			46,628
Gain on sale of real estate	—			—			14			11,369
Interest expense	(11,097		)	(9,422		)	(22,413		)	(15,445		)
General and administrative	(1,473		)	(1,811		)	(3,079		)	(3,199		)
Equity income from co-investments ⁽²⁾	—			4,784			—			9,543
Depreciation and amortization	(24,265		)	(17,885		)	(49,646		)	(28,578		)
Net income	$	2,073		$	5,894		$	4,327		$	20,318
Company's share of net income ⁽³⁾	$	4,472		$	5,629		$	8,783		$	16,155

⁽¹⁾ Includes preferred equity investments held by the Company.

⁽²⁾ Represents income from Wesco II's preferred equity investment in Park Merced.

⁽³⁾ Includes the Company's share of equity income from co-investments and preferred equity investments, gain on sales of co-investments, co-investment promote income and income from early redemption of preferred equity investments.