Investment In Real Estate Joint Ventures And Partnerships

6 Months Ended

Jun. 30, 2012

Equity Method Investment, Summarized Financial Information [Abstract]

Investment In Real Estate Joint Ventures And Partnerships

Investment in Real Estate Joint Ventures and Partnerships

We own interests in real estate joint ventures or limited partnerships and have tenancy-in-common interests in which we exercise significant influence, but do not have financial and operating control. We account for these investments using the equity method, and our interests range from 10% to 75% for the 2012 periods presented and 7.8% to 75% for the 2011 periods presented. Combined condensed financial information of these ventures (at 100%) is summarized as follows (in thousands):

	June 30, 2012			December 31, 2011
Combined Condensed Balance Sheets
Property	$	1,933,796		$	2,108,745
Accumulated depreciation	(310,024		)	(296,496		)
Property, net	1,623,772			1,812,249
Other assets, net	169,644			173,130
Total	$	1,793,416		$	1,985,379
Debt, net (primarily mortgages payable)	$	551,012		$	556,920
Amounts payable to Weingarten Realty Investors and affiliates	106,952			170,007
Other liabilities, net	41,837			41,907
Total	699,801			768,834
Accumulated equity	1,093,615			1,216,545
Total	$	1,793,416		$	1,985,379

	Three Months Ended June 30,					Six Months Ended June 30,
	2012			2011		2012			2011
Combined Condensed Statements of Operations
Revenues, net	$	50,026		$	50,866	$	99,873		$	102,192
Expenses:
Depreciation and amortization	15,481			16,913		31,617			34,544
Interest, net	8,961			9,573		18,047			18,837
Operating	8,571			8,936		17,196			17,830
Real estate taxes, net	6,159			6,128		12,397			12,606
General and administrative	225			877		586			1,969
Provision for income taxes	95			116		168			201
Impairment loss	96,498			—		96,498			2,058
Total	135,990			42,543		176,509			88,045
Gain (loss) on sale of property	246			—		246			(21		)
Net (loss) income	$	(85,718	)	$	8,323	$	(76,390	)	$	14,126

Our investment in real estate joint ventures and partnerships, as reported in our Condensed Consolidated Balance Sheets, differs from our proportionate share of the entities' underlying net assets due to basis differences, which arose upon the transfer of certain assets to the joint ventures. The net basis differences, which totaled $5.7 million and $7.5 million at June 30, 2012 and December 31, 2011, respectively, are generally amortized over the useful lives of the related assets.

At June 30, 2012, our real estate joint ventures and partnerships determined that the carrying amount of certain properties was not recoverable and that the properties should be written down to fair value. For both the three and six months ended June 30, 2012, our unconsolidated real estate joint ventures and partnerships recorded an impairment charge of $96.5 million on various properties that are being marketed for sale. For the six months ended June 30, 2011, our unconsolidated real estate joint ventures and partnerships recorded an impairment charge of $2.1 million.

Fees earned by us for the management of these real estate joint ventures and partnerships totaled $1.6 million and $1.5 million for the three months ended June 30, 2012 and 2011, respectively, and $3.3 million and $3.1 million for the six months ended June 30, 2012 and 2011, respectively.

In February 2012, we sold a 47.8% unconsolidated joint venture interest in a Colorado development project to our partner with gross sales proceeds totaling $29.1 million, which includes the assumption of our share of debt, generating a gain of $3.5 million.

In April 2011, we acquired a 50%-owned unconsolidated real estate joint venture interest in three shopping centers for approximately $11.6 million. We also acquired our partner’s 50% unconsolidated joint venture interest in a Florida development property that we had previously accounted for under the equity method. This transaction resulted in the consolidation of the property in our consolidated financial statements.