Property and Equipment

6 Months Ended

Jun. 30, 2017

Property and Equipment

Property and Equipment

4.  Property and Equipment

Property and equipment, net, consists of the following:

	June 30,		December 31,
	2017		2016
	(in thousands)
Property and equipment - non-master lease
Land and improvements	$	294,535	$	294,590
Building and improvements		405,024		404,158
Furniture, fixtures and equipment		1,374,884		1,355,615
Leasehold improvements		119,730		118,940
Construction in progress		38,619		16,375
		2,232,792		2,189,678
Less Accumulated depreciation		(1,296,962)		(1,224,596)
		935,830		965,082
Property and equipment - master lease
Land and improvements		435,043		382,246
Building and improvements		2,248,257		2,219,018
		2,683,300		2,601,264
Less accumulated depreciation		(791,413)		(745,963)
		1,891,887		1,855,301
Property and equipment, net	$	2,827,717	$	2,820,383

Property and equipment, net increased by $7.3 million for the six months ended June 30, 2017 primarily due to the addition of Bally’s and Resorts in Tunica as well as improvements at Tropicana Las Vegas and Hollywood Casino St. Louis. This net increase is partially offset by depreciation expense for the six months ended June 30, 2017.

Depreciation expense, for property and equipment including assets under capital leases, totaled $63.7 million and $128.7 million and $65.7 million and $131.3 million for the three and six months ended June 30, 2017 and 2016, respectively, of which $23.0 million and $45.7 million and $22.8 million and $45.7 million related to assets under the Master Lease, respectively. Interest capitalized in connection with major construction projects totaled $0.1 million for the three and six months ended June 30, 2017 as compared to zero for the three and six months ended June 30, 2016.