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 20% to 75% for the periods presented. Combined condensed financial information of these ventures (at 100%) is summarized as follows (in thousands):



	December 31,
	2014			2013
Combined Condensed Balance Sheets

ASSETS
Property	$	1,331,445		$	1,401,982
Accumulated depreciation	(279,067		)	(261,454		)
Property, net	1,052,378			1,140,528
Other assets, net	126,890			142,638
Total Assets	$	1,179,268		$	1,283,166

LIABILITIES AND EQUITY
Debt, net (primarily mortgages payable)	$	380,816		$	453,390
Amounts payable to Weingarten Realty Investors and Affiliates	13,749			30,214
Other liabilities, net	26,226			29,711
Total Liabilities	420,791			513,315
Equity	758,477			769,851
Total Liabilities and Equity	$	1,179,268		$	1,283,166



	Year Ended December 31,
	2014		2013		2012
Combined Condensed Statements of Operations
Revenues, net	$	153,301	$	165,365	$	195,109
Expenses:
Depreciation and amortization	40,235		45,701		59,330
Interest, net	22,657		28,787		35,491
Operating	27,365		28,929		34,989
Real estate taxes, net	18,159		18,929		23,899
General and administrative	916		934		1,106
Provision for income taxes	417		278		316
Impairment loss	1,526		1,887		96,781
Total	111,275		125,445		251,912
Operating income (loss)	$	42,026	$	39,920	$	(56,803	)

Our investment in real estate joint ventures and partnerships, as reported in our Consolidated Balance Sheets, differs from our proportionate share of the entities’ underlying net assets due to basis differences, which arose upon the transfer of assets to the joint ventures. The net positive basis differences, which totaled $5.2 million and $6.1 million at December 31, 2014 and 2013, respectively, are generally amortized over the useful lives of the related assets.

Our real estate joint ventures and partnerships have determined from time to time that the carrying amount of certain properties was not recoverable and that the properties should be written down to fair value. For the year ended December 31, 2014, 2013 and 2012, our unconsolidated real estate joint ventures and partnerships recorded an impairment charge of $1.5 million, $1.9 million and $96.8 million, respectively, associated primarily with various properties that are being either marketed for sale, have been sold or with shorter holding periods of finite life joint ventures where the joint ventures’ ability to recover the carrying cost of the property may be limited by the term of the venture life.

Fees earned by us for the management of these real estate joint ventures and partnerships totaled $4.6 million in 2014, $5.0 million in 2013 and $6.1 million in 2012.

During 2014, we had a partial disposition of a 50% interest at an unconsolidated real estate joint venture for approximately $5.1 million, resulting in a gain on our investment of $1.7 million. Also, we sold four centers and other property held in unconsolidated real estate joint ventures, for approximately $19.9 million, of which our share of the gain totaled $4.9 million.

During 2013, the final two industrial properties in an unconsolidated real estate joint venture were sold. This joint venture was liquidated resulting in an $11.5 million gain on our investment. Also, three shopping centers were sold, and our gross sales proceeds from the disposition of these five properties totaled $35.5 million, of which our share of the gain totaled $16.0 million. Furthermore, we sold our 10% interest in two unconsolidated tenancy-in-common arrangements and two unconsolidated real estate joint ventures that we previously accounted for under the equity method, for approximately $15.7 million, resulting in a gain of $1.9 million.

During 2013, a 51% owned unconsolidated real estate joint venture acquired real estate assets of approximately $41.2 million. We also acquired our partner’s 50% unconsolidated real estate joint venture interest in a California 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 (see Note 23 for additional information).