Investments in Partnerships (Tables)

3 Months Ended

Mar. 31, 2016

Equity Method Investments and Joint Ventures [Abstract]

Summary of Equity Investments

The following table presents summarized financial information of the equity investments in our unconsolidated partnerships as of March 31, 2016 and December 31, 2015:

(in thousands of dollars)	As of March 31, 2016			As of December 31, 2015
ASSETS:
Investments in real estate, at cost:
Operating properties	$	639,874		$	636,774
Construction in progress	128,479			126,199
Total investments in real estate	768,353			762,973
Accumulated depreciation	(191,450		)	(186,580		)
Net investments in real estate	576,903			576,393
Cash and cash equivalents	29,711			37,362
Deferred costs and other assets, net	37,999			39,890
Total assets	644,613			653,645
LIABILITIES AND PARTNERS’ INVESTMENT:
Mortgage loans payable	444,599			440,450
Other liabilities	22,853			30,425
Total liabilities	467,452			470,875
Net investment	177,161			182,770
Partners’ share	91,516			95,165
PREIT’s share	85,645			87,605
Excess investment (1)	7,638			7,877
Net investments and advances	$	93,283		$	95,482
Investment in partnerships, at equity	$	157,995		$	161,029
Distributions in excess of partnership investments	(64,712		)	(65,547		)
Net investments and advances	$	93,283		$	95,482

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⁽¹⁾  Excess investment represents the unamortized difference between our investment and our share of the equity in the underlying net investment in the partnerships. The excess investment is amortized over the life of the properties, and the amortization is included in “Equity in income of partnerships.”

Summary of Share of Equity in Income of Partnerships

The following table summarizes our share of equity in income of partnerships for the three months ended March 31, 2016 and 2015:

	Three Months Ended   March 31,
(in thousands of dollars)	2016			2015
Real estate revenue	$	29,191		$	26,497
Operating expenses:
Property operating expenses	(10,212		)	(10,706		)
Interest expense	(5,392		)	(5,350		)
Depreciation and amortization	(5,722		)	(6,370		)
Total expenses	(21,326		)	(22,426		)
Net income	7,865			4,071
Less: Partners’ share	(4,216		)	(2,036		)
PREIT’s share	3,649			2,035
Amortization of excess investment	234			48
Equity in income of partnerships	$	3,883		$	2,083