REAL ESTATE ACTIVITY

9 Months Ended

Sep. 30, 2017

Real Estate [Abstract]

REAL ESTATE ACTIVITY

NOTE 2. REAL ESTATE ACTIVITY

Below is a summary of the real estate owned as of September 30, 2017 (dollars in thousands):

Apartments	$	699,127
Apartments under construction		77,537
Commercial properties		206,982
Land held for development		71,238
Real estate subject to sales contract		46,403
Total real estate	$	1,101,287
Less accumulated depreciation		(172,352	)
Total real estate, net of depreciation	$	928,935

The highlights of our significant real estate transactions for the nine months ended September 30, 2017, are discussed below.

Purchases

During the nine months ended September 30, 2017, we acquired three land parcels for development for a total purchase price of $11.4 million, adding 29.7 acres to the development portfolio.

Sales

During the nine months ended September 30, 2017, TCI sold a combined 14.16 acres of land located in Texas to independent third parties for a total sales price of $2.4 million. We recorded an aggregate gain of $0.5 million from the land sales.

In addition, during the nine months ended September 30, 2017, we recognized deferred gains of $9.8 million related to prior years’ sales of two income-producing properties to a related party.

As of September 30, 2017, the Company has approximately 91 acres of land, at various locations that were sold to related parties in multiple transactions. These transactions are treated as “subject to sales contract” on the Consolidated Balance Sheets. Due to the related party nature of the transactions, TCI has deferred the recording of the sales in accordance with ASC 360-20.

We continue to invest in the development of multifamily properties. During the nine months ended September 30, 2017, we disbursed $41.4 million related to the construction or predevelopment of various apartment complexes and capitalized $1.6 million of interest costs.