SEGMENT INFORMATION


a)	Operating segments

IFRS 8, Operating Segments, requires operating segments to be determined based on internal reports that are regularly reviewed by the chief operating decision maker (“CODM”) for the purpose of allocating resources to the segment and to assessing its performance. On July 1, 2018, the partnership realigned its LP Investments segment (formerly referred to as Opportunistic) to include the corporate function of the Brookfield-sponsored real estate opportunity funds, previously included in the Corporate segment, to more closely align with how the partnership now presents financial information to the CODM and investors. All prior period segment disclosures have been recast to reflect the changes in the partnership’s operating segments. The partnership’s operating segments are organized into four reportable segments: i) Core Office, ii) Core Retail, iii) LP Investments and iv) Corporate. These segments are independently and regularly reviewed and managed by the Chief Executive Officer, who is considered the CODM.


b)	Basis of measurement

The CODM measures and evaluates the performance of the partnership’s operating segments based on funds from operations (“FFO”). This performance metric does not have standardized meanings prescribed by IFRS and therefore may differ from similar metrics used by other companies and organizations. Management believes that while not an IFRS measure, FFO is the most consistent metric to measure the partnership’s financial statements and for the purpose of allocating resources and assessing its performance.

The partnership defines FFO as net income, prior to fair value gains, net, depreciation and amortization of real estate assets, and income taxes less non-controlling interests of others in operating subsidiaries and properties share of these items. When determining FFO, the partnership also includes its proportionate share of the FFO of unconsolidated partnerships and joint ventures and associates.


b)	Reportable segment measures

The following summaries present certain financial information regarding the partnership’s operating segments for the year ended December 31, 2019, 2018, and 2017.



(US$ Millions)	Total revenue						FFO
Years ended Dec. 31,	2019		2018		2017		2019			2018			2017
Core Office	$	2,149	$	2,105	$	2,147	$	582		$	520		$	534
Core Retail⁽¹⁾	1,589		584		—		707			552			486
LP Investments	4,452		4,544		3,987		268			228			281
Corporate	13		6		1		(410		)	(434		)	(428		)
Total	$	8,203	$	7,239	$	6,135	$	1,147		$	866		$	873


⁽¹⁾	Represents revenue from Core Retail subsequent to the acquisition of GGP on August 28, 2018, when the partnership started consolidating Core Retail’s results. See Note 4, Acquisition of GGP Inc. for further information. The prior periods presented represent the partnership’s equity accounted interest in GGP prior to the acquisition, 34% as of December 31, 2017.

The following summary presents the detail of total revenue from the partnership’s operating segments for the year ended December 31, 2019 and 2018:



(US$ Millions)	Lease revenue		Other revenue from tenants		Hospitality revenue		Investment and other revenue		Total revenue
Year ended Dec. 31, 2019	Lease revenue		Other revenue from tenants		Hospitality revenue		Investment and other revenue		Total revenue
Core Office	$	1,426	$	477	$	12	$	234	$	2,149
Core Retail	1,082		312		—		195		1,589
LP Investments	2,077		317		1,897		161		4,452
Corporate	—		—		—		13		13
Total	$	4,585	$	1,106	$	1,909	$	603	$	8,203



(US$ Millions)	Lease revenue		Other revenue from tenants		Hospitality revenue		Investment and other revenue		Total revenue
Year ended Dec. 31, 2018	Lease revenue		Other revenue from tenants		Hospitality revenue		Investment and other revenue		Total revenue
Core Office	$	1,604	$	358	$	17	$	126	$	2,105
Core Retail	400		111		—		73		584
LP Investments	2,233		337		1,896		78		4,544
Corporate	—		—		—		6		6
Total	$	4,237	$	806	$	1,913	$	283	$	7,239

The following summary presents information about certain consolidated balance sheet items of the partnership, on a segmented basis, as of December 31, 2019 and 2018:



	Total assets				Total liabilities
(US$ Millions)	Dec. 31, 2019		Dec. 31, 2018		Dec. 31, 2019		Dec. 31, 2018
Core Office	$	36,758	$	34,095	$	17,592	$	15,033
Core Retail	32,921		29,658		16,996		13,749
LP Investments	41,838		58,610		27,457		41,604
Corporate	126		157		4,663		5,394
Total	$	111,643	$	122,520	$	66,708	$	75,780

The following summary presents a reconciliation of FFO to net income for the years ended December 31, 2019, 2018, and 2017:



(US$ Millions) Years ended Dec. 31,	2019			2018			2017
FFO⁽¹⁾	$	1,147		$	866		$	873
Depreciation and amortization of real estate assets	(283		)	(264		)	(244		)
Fair value gains, net	596			2,466			1,254
Share of equity accounted income - non-FFO	1,055			114			82
Income tax benefit (expense)	(196		)	(81		)	(192		)
Non-controlling interests of others in operating subsidiaries and properties - non-FFO	(363		)	(1,123		)	(1,398		)
Net income attributable to unitholders⁽²⁾	1,956			1,978			375
Non-controlling interests of others in operating subsidiaries and properties	1,201			1,676			2,093
Net income	$	3,157		$	3,654		$	2,468


⁽¹⁾	FFO represents interests attributable to GP Units, LP Units, Exchange LP Units, Redeemable/Exchangeable Partnership Units, Special LP Units, FV LTIP Units and BPR Units. The interests attributable to Exchange LP Units, Redeemable/Exchangeable Units, Special LP Units, FV LTIP Units and BPR Units are presented as non-controlling interests in the consolidated statements of income.


⁽²⁾	Includes net income attributable to general partner, limited partners, Exchange LP Units, Redeemable/Exchangeable Partnership Units, Special LP Units, FV LTIP Units and BPR Units. The interests attributable to Exchange LP Units, Redeemable/Exchangeable Units, Special LP Units, FV LTIP Units and BPR Units are presented as non-controlling interests in the consolidated statements of income.

The following summary presents financial information by the partnership’s geographic regions in which it operates:



	Total revenue for the years ended Dec. 31,						Total non-current assets as at Dec. 31,
(US$ Millions)	2019		2018		2017		2019		2018
United States	$	5,926	$	4,914	$	4,127	$	75,118	$	84,648
Canada	536		563		462		5,157		4,535
Australia	210		240		227		3,316		3,631
Europe	901		944		829		15,412		14,051
Brazil	117		113		134		2,121		1,901
China	6		7		1		94		389
India	288		247		161		3,880		3,142
South Korea	219		211		194		3,089		2,986
United Arab Emirates	—		—		—		167		123
Total	$	8,203	$	7,239	$	6,135	$	108,354	$	115,406