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 in 2016 and 2015. Combined condensed financial information of these ventures (at 100%) is summarized as follows (in thousands):



	December 31,
	2016			2015
Combined Condensed Balance Sheets

ASSETS
Property	$	1,196,770		$	1,290,784
Accumulated depreciation	(261,392		)	(293,474		)
Property, net	935,378			997,310
Other assets, net	114,554			130,251
Total Assets	$	1,049,932		$	1,127,561

LIABILITIES AND EQUITY
Debt, net (primarily mortgages payable)	$	301,480		$	345,186
Amounts payable to Weingarten Realty Investors and Affiliates	12,585			12,285
Other liabilities, net	24,902			29,509
Total Liabilities	338,967			386,980
Equity	710,965			740,581
Total Liabilities and Equity	$	1,049,932		$	1,127,561



	Year Ended December 31,
	2016		2015		2014
Combined Condensed Statements of Operations
Revenues, net	$	138,316	$	148,875	$	153,301
Expenses:
Depreciation and amortization	38,242		37,771		40,235
Interest, net	16,076		17,053		22,657
Operating	26,126		26,797		27,365
Real estate taxes, net	17,408		18,525		18,159
General and administrative	816		839		916
Provision for income taxes	113		197		417
Impairment loss	1,303		7,487		1,526
Total	100,084		108,669		111,275
Gain on sale of non-operating property	373		—		—
Gain on dispositions	14,816		5,171		12,949
Net Income	$	53,421	$	45,377	$	54,975

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 $2.6 million and $4.9 million at December 31, 2016 and 2015, 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 centers was not recoverable and that the centers should be written down to fair value. For the year ended December 31, 2016, 2015 and 2014, our unconsolidated real estate joint ventures and partnerships recorded an impairment charge of $1.3 million, $7.5 million and $1.5 million, respectively, associated primarily with various centers that have been marketed and sold during the period.

Fees earned by us for the management of these real estate joint ventures and partnerships totaled $5.1 million in 2016, $4.5 million in 2015 and $4.6 million in 2014. During 2016, we paid an unconsolidated joint venture $4.8 million for a receivable that was included in their Other assets, net at December 31, 2015.

During 2016, five centers and a land parcel were sold with aggregate gross sales proceeds of approximately $78.7 million, of which our share of the gain, included in equity earnings in real estate joint ventures and partnerships, totaled $3.9 million. Additionally, one center with a gross purchase price of $73 million was acquired, of which our interest aggregated 69%.

In September 2016, we acquired our partner's 50% interest in an unconsolidated tenancy-in-common arrangement for approximately $13.5 million that we had previously accounted for under the equity method. This transaction resulted in the consolidation of the property in our consolidated financial statements. In October 2016, an unconsolidated joint venture distributed land to both us and our partner, totaling $4.4 million.

In December 2016, we entered into a new joint venture agreement for the development of a mixed-use project, of which we anticipate having an aggregated 90% interest upon the future purchase of land in 2017 (See Note 21 for additional information).

As of December 31, 2015, we held a combined 51% interest in an unconsolidated real estate joint venture that owned three centers in Colorado with total assets and debt of $43.7 million and $72.4 million, respectively. In February 2016, in exchange for our partners' aggregate 49% interest in this venture and $2.5 million in cash, we distributed one center to our partners. We have consolidated this venture as of the transaction date and re-measured our investment in this venture to its fair value (See Note 23 for additional information).

During 2015, we sold one center held in a 50% owned unconsolidated real estate joint venture for approximately $1.1 million, of which our share of the gain totaled $.6 million. Associated with this transaction, a gain of $.9 million on our investment of this real estate joint venture was realized. Additionally, we sold three centers and other property held in unconsolidated joint ventures for approximately $17.6 million, of which our share of the gain totaled $1.0 million. Also, a 51% owned unconsolidated real estate joint venture acquired real estate assets of approximately $54.1 million.