Operating Property Activities

Acquisitions

and Dispositions

–

During the

nine

months ended

September 30, 2018,

the Company acquired

two

land parcels adjacent to existing shopping centers located in Ardmore, PA and Elmont, NY, in separate transactions, for an aggregate purchase price of

$5.4

million.

The table below summarizes the Company’s disposition activity relating to consolidated operating properties and parcels (dollars in millions):

	Nine Months Ended September 30 ,
	2018		2017
Aggregate sales price/gross fair value	$	973.5	$	230.2
Gain on sale of operating properties/change in control of interests	$	180.5	$	62.1
Impairment charges	$	16.3	$	13.0
Number of operating properties sold/deconsolidated		45		15
Number of out-parcels sold		4		8

Included in the table above, during the

nine

months ended

September 30, 2018,

the Company sold a portion of its investment in a consolidated operating property to its partner based on a gross fair value of

$320.0

million, including

$206.0

million of non-recourse mortgage debt, and amended the partnership agreement to provide for joint control of the entity. As a result of the amendment, the Company

longer consolidates the entity and as such, reduced noncontrolling interests by

$43.8

million and recognized a gain on change in control of

$6.8

million, in accordance with the adoption of ASU

2017

effective as of

January 1, 2018 (

See Footnote

to the Notes to the Company’s Condensed Consolidated Financial Statements for additional discussion). The Company now has an investment in this unconsolidated property (

$62.4

million as of the date of deconsolidation), included in Investments in and advances to real estate joint ventures on the Company’s Condensed Consolidated Balance Sheets. The Company’s share of this investment is subject to change and is based upon a cash flow waterfall provision within the partnership agreement (

54.8%

as of the date of deconsolidation).

During the

nine

months ended

September 30, 2018,

the Company disposed of

land parcels, in separate transactions, for an aggregate sales price of

$9.7

million, which resulted in an aggregate gain of

$6.3

million, included in Other income, net on the Company’s Condensed Consolidated Statements of Income.

Held-for-Sale

September 30, 2018,

the Company had

one

consolidated property classified as held-for-sale at a net carrying amount of

$31.2

million (including accumulated depreciation and amortization of

$9.3

million), which is included in Other assets on the Company’s Condensed Consolidated Balance Sheets. The Company’s determination of the fair value of the property was based upon an executed contract of sale with a

third

party, which is in excess of the carrying value of the property.

Impairments

–

During the

nine

months ended

September 30, 2018,

the Company recognized aggregate impairment charges of

$33.9

million. These impairment charges consist of (i)

$17.6

million related to adjustments to property carrying values for properties which the Company has marketed for sale as part of its active capital recycling program and as such has adjusted the anticipated hold period for such properties and (ii)

$16.3

million related to the sale of certain operating properties, as discussed above. The Company’s estimated fair values of these properties were primarily based upon estimated sales prices from (i) signed contracts or letters of intent from

third

party offers or (ii) discounted cash flow models. See Footnote

to the Notes to the Company’s Condensed Consolidated Financial Statements for fair value disclosure.