(3) 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 Company's co-investments (dollars in thousands):

	March 31,		December 31,
	2012		2011
Investments in joint ventures accounted for under the equity method of accounting:

Membership interest in Wesco I	$	74,697	$	75,588
Partnership interest in Fund II		64,735		64,294
Membership interest in a limited liability company that owns Essex Skyline at MacArthur Place		22,424		24,063
Total operating co-investments		161,856		163,945

Membership interests in limited liability companies that own and are developing Cadence, West Dublin, and Elkhorn		81,499		62,897
Membership interest in a limited liability company that owns and is developing Expo (formerly Queen Anne)		18,273		17,981
Membership interests in limited liability companies that own and are developing Fountain at La Brea and Santa Monica at La Brea		15,381		15,194
Total development co-investments		115,153		96,072

Membership interest in Wesco II that owns a preferred equity interest in Parkmerced with a perferred return of 10.1%		89,065		88,075
Preferred interests in limited liability companies that own apartment communities in downtown Los Angeles with preferred returns of 9% and 10%		22,792		22,792
Preferred interest in a related limited liability company that owns Madison Park at Anaheim with a preferred return of 13%		12,665		12,528
Total preferred interest investments		124,522		123,395
Total co-investments	$	401,531	$	383,412

The combined summarized balance sheet and statements of operations for co-investments, which are accounted for under the equity method, are as follows (dollars in thousands).

	March 31,			December 31,
	2012			2011
Balance sheets:
Rental properties and real estate under development	$	1,705,899		$	1,659,078
Other assets		93,170			63,847

Total assets	$	1,799,069		$	1,722,925

Debt	$	918,811		$	900,095
Other liabilities		59,832			48,518
Equity		820,426			774,312

Total liabilities and equity	$	1,799,069		$	1,722,925

Company's share of equity	$	401,531		$	383,412

	Three Months Ended
	March 31,
		2012			2011
Statements of operations:
Property revenues	$	34,323		$	18,512
Property operating expenses		(13,137	)		(7,976	)
Net property operating income		21,186			10,536

Interest expense		(8,545	)		(4,861	)
General and administrative		(796	)		(984	)
Depreciation and amortization		(13,896	)		(8,063	)

Net loss	$	(2,051	)	$	(3,372	)
Company's share of net income (loss)	$	2,340		$	(1,373	)