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Reportable Segments
 6 Months Ended
Jun. 30, 2017
Segment Reporting [Abstract]  
Reportable Segments
Reportable Segments
We have identified two reportable segments which are: (i) Property Operations and (ii) Home Sales and Rentals Operations. The Property Operations segment owns and operates land lease Properties and the Home Sales and Rentals Operations segment purchases, sells and leases homes at the Properties. The distribution of the Properties throughout the United States reflects our belief that geographic diversification helps insulate the portfolio from regional economic influences.
All revenues are from external customers and there is no customer who contributed 10% or more of our total revenues during the quarters and six months ended June 30, 2017 or 2016.
The following tables summarize our segment financial information for the quarters and six months ended June 30, 2017 and 2016 (amounts in thousands):
Quarter Ended June 30, 2017
 
Property
Operations
 
Home Sales
and Rentals
Operations
 
Consolidated
Operations revenues
$
206,594

 
$
11,811

 
$
218,405

Operations expenses
(102,649
)
 
(10,481
)
 
(113,130
)
Income from segment operations
103,945

 
1,330

 
105,275

Interest income
754

 
1,041

 
1,795

Depreciation on real estate assets and rental homes
(27,609
)
 
(2,638
)
 
(30,247
)
Amortization of in-place leases
(958
)
 
—

 
(958
)
Income (loss) from operations
$
76,132

 
$
(267
)
 
$
75,865

Reconciliation to Consolidated net income:
 
 
 
 
 
Corporate interest income
 
 
 
 
3

Income from other investments, net
 
 
 
 
1,109

General and administrative
 
 
 
 
(8,461
)
Property rights initiatives and other
 
 
 
 
(271
)
Interest and related amortization
 
 
 
 
(24,822
)
Equity in income of unconsolidated joint ventures
 
 
 
 
1,040

Consolidated net income
 
 
 
 
$
44,463

 
 
 
 
 
 
Total assets
$
3,267,947

 
$
217,411

 
$
3,485,358


Quarter Ended June 30, 2016
 
Property
Operations
 
Home Sales
and Rentals
Operations
 
Consolidated
Operations revenues
$
193,184

 
$
13,002

 
$
206,186

Operations expenses
(94,375
)
 
(11,867
)
 
(106,242
)
Income from segment operations
98,809

 
1,135

 
99,944

Interest income
736

 
867

 
1,603

Depreciation on real estate assets and rental homes
(26,317
)
 
(2,712
)
 
(29,029
)
Amortization of in-place leases
(428
)
 
—

 
(428
)
Income (loss) from operations
$
72,800

 
$
(710
)
 
$
72,090

Reconciliation to Consolidated net income:
 
 
 
 
 
Corporate interest income
 
 
 
 
22

Income from other investments, net
 
 
 
 
2,270

General and administrative
 
 
 
 
(8,255
)
Property rights initiatives and other
 
 
 
 
(527
)
Interest and related amortization
 
 
 
 
(25,561
)
Equity in income of unconsolidated joint ventures
 
 
 
 
765

Consolidated net income
 
 
 
 
$
40,804

 
 
 
 
 
 
Total assets
$
3,249,375

 
$
236,200

 
$
3,485,575


Six Months Ended June 30, 2017
 
Property
Operations
 
Home Sales
and Rentals
Operations
 
Consolidated
Operations revenues
$
425,582

 
$
22,685

 
$
448,267

Operations expenses
(199,906
)
 
(20,076
)
 
(219,982
)
Income from segment operations
225,676

 
2,609

 
228,285

Interest income
1,484

 
2,079

 
3,563

Depreciation on real estate assets and rental homes
(55,062
)
 
(5,295
)
 
(60,357
)
Amortization of in-place leases
(1,990
)
 
—

 
(1,990
)
Income (loss) from operations
$
170,108

 
$
(607
)
 
$
169,501

Reconciliation to Consolidated net income:
 
 
 
 
 
Corporate interest income
 
 
 
 
5

Income from other investments, net
 
 
 
 
1,866

General and administrative
 
 
 
 
(15,834
)
Property rights initiatives and other
 
 
 
 
(490
)
Interest and related amortization
 
 
 
 
(49,701
)
Equity in income of unconsolidated joint ventures
 
 
 
 
2,190

Consolidated net income
 
 
 
 
$
107,537

 
 
 
 
 
 
Total assets
$
3,267,947

 
$
217,411

 
$
3,485,358

Capital improvements
$
31,731

 
$
21,733

 
$
53,464

Six Months Ended June 30, 2016
 
Property
Operations
 
Home Sales
and Rentals
Operations
 
Consolidated
Operations revenues
$
397,910

 
$
25,040

 
$
422,950

Operations expenses
(184,887
)
 
(22,507
)
 
(207,394
)
Income from segment operations
213,023

 
2,533

 
215,556

Interest income
1,453

 
1,785

 
3,238

Depreciation on real estate assets and rental homes
(52,281
)
 
(5,403
)
 
(57,684
)
Amortization of in-place leases
(763
)
 
—

 
(763
)
Income (loss) from operations
$
161,432

 
$
(1,085
)
 
$
160,347

Reconciliation to Consolidated net income:
 
 
 
 
 
Corporate interest income
 
 
 
 
47

Income from other investments, net
 
 
 
 
3,993

General and administrative
 
 
 
 
(15,663
)
Property rights initiatives and other
 
 
 
 
(1,181
)
Interest and related amortization
 
 
 
 
(51,195
)
Equity in income of unconsolidated joint ventures
 
 
 
 
1,646

Consolidated net income
 
 
 
 
$
97,994

 
 
 
 
 
 
Total assets
$
3,249,375

 
$
236,200

 
$
3,485,575



    



The following table summarizes our financial information for the Property Operations segment for the quarters and six months ended June 30, 2017 and 2016 (amounts in thousands):    
 
Quarters Ended
 
Six Months Ended
 
June 30,
2017
 
June 30,
2016
 
June 30,
2017
 
June 30,
2016
Revenues:
 
 
 
 
 
 
 
Community base rental income
$
121,964

 
$
115,385

 
$
242,656

 
$
229,461

Resort base rental income
50,055

 
44,732

 
111,123

 
100,166

Right-to-use annual payments
11,350

 
11,187

 
22,602

 
22,241

Right-to-use contracts current period, gross
3,798

 
3,086

 
7,004

 
5,618

Right-to-use contract upfront payments, deferred, net
(1,321
)
 
(798
)
 
(2,096
)
 
(1,100
)
Utility and other income
20,650

 
19,523

 
42,776

 
40,316

Ancillary services revenues, net
98

 
69

 
1,517

 
1,208

Total property operations revenues
206,594

 
193,184

 
425,582

 
397,910

Expenses:
 
 
 
 
 
 
 
Property operating and maintenance
72,901

 
66,647

 
140,955

 
129,601

Real estate taxes
13,943

 
12,869

 
27,980

 
26,067

Sales and marketing, gross
2,894

 
2,931

 
5,584

 
5,424

Right-to-use contract commissions, deferred, net
(112
)
 
(116
)
 
(196
)
 
(12
)
Property management
13,023

 
12,044

 
25,583

 
23,807

Total property operations expenses
102,649

 
94,375

 
199,906

 
184,887

Income from property operations segment
$
103,945

 
$
98,809

 
$
225,676

 
$
213,023


The following table summarizes our financial information for the Home Sales and Rentals Operations segment for the quarters and six months ended June 30, 2017 and 2016 (amounts in thousands):
 
Quarters Ended
 
Six Months Ended
 
June 30,
2017
 
June 30,
2016
 
June 30,
2017
 
June 30,
2016
Revenues:
 
 
 
 
 
 
 
Gross revenue from home sales
$
7,833

 
$
9,130

 
$
14,860

 
$
17,344

Brokered resale revenues, net
346

 
329

 
588

 
608

Rental home income (a)
3,632

 
3,543

 
7,237

 
7,088

Total revenues
11,811

 
13,002

 
22,685

 
25,040

Expenses:
 
 
 
 
 
 
 
Cost of home sales
7,895

 
9,481

 
15,014

 
17,762

Home selling expenses
929

 
805

 
1,854

 
1,639

Rental home operating and maintenance
1,657

 
1,581

 
3,208

 
3,106

Total expenses
10,481

 
11,867

 
20,076

 
22,507

Income from home sales and rentals operations segment
$
1,330

 
$
1,135

 
$
2,609

 
$
2,533

______________________
(a)
Segment information does not include Site rental income included in Community base rental income.