nvestments in Partially Owned Entities

The Company has co-invested in various properties with unrelated third parties which are either consolidated or accounted for under the equity method of accounting (unconsolidated). The following tables and information summarize the Company’s investments in partially owned entities as of June 30, 2012 (amounts in thousands except for project and apartment unit amounts):



	Consolidated											Unconsolidated
	Development Projects (VIEs) (4)
	Held for and/or Under Development		Completed and Stabilized			Other			Total			Institutional Joint Ventures (5)

Total projects (1)	—		2			19			21			—

Total apartment units (1)	—		441			3,475			3,916			—

Balance sheet information at 6/30/12 (at 100%):
ASSETS
Investment in real estate	$	146,582	$	114,615		$	451,434		$	712,631		$	103,716
Accumulated depreciation	—		(14,312		)	(151,987		)	(166,299		)	—
Investment in real estate, net	146,582		100,303			299,447			546,332			103,716
Cash and cash equivalents	3,382		1,602			11,521			16,505			63
Deposits – restricted	43,593		2,284			5			45,882			—
Escrow deposits – mortgage	—		80			—			80			—
Deferred financing costs, net	—		9			1,089			1,098			6
Other assets	5,817		121			129			6,067			1
Total assets	$	199,374	$	104,399		$	312,191		$	615,964		$	103,786

LIABILITIES AND EQUITY/CAPITAL
Mortgage notes payable	$	—	$	32,950		$	200,337		$	233,287		$	12,968
Accounts payable & accrued expenses	815		525			1,148			2,488			2,723
Accrued interest payable	—		99			782			881			35
Other liabilities	1,272		91			1,115			2,478			71
Security deposits	—		127			1,498			1,625			—
Total liabilities	2,087		33,792			204,880			240,759			15,797

Noncontrolling Interests – Partially Owned Properties	79,719		1,078			(6,351		)	74,446			70,428
Company equity/General and Limited Partners' Capital	117,568		69,529			113,662			300,759			17,561
Total equity/capital	197,287		70,607			107,311			375,205			87,989
Total liabilities and equity/capital	$	199,374	$	104,399		$	312,191		$	615,964		$	103,786

Debt – Secured (2):
Company/Operating Partnership Ownership (3)	$	—	$	32,950		$	159,068		$	192,018		$	2,594
Noncontrolling Ownership	—		—			41,269			41,269			10,374
Total (at 100%)	$	—	$	32,950		$	200,337		$	233,287		$	12,968



	Consolidated												Unconsolidated
	Development Projects (VIEs) (4)
	Held for and/or Under Development			Completed and Stabilized			Other			Total			Institutional Joint Ventures (5)
Operating information for the six months ended 6/30/12 (at 100%):
Operating revenue	$	—		$	4,733		$	30,467		$	35,200		$	—
Operating expenses	75			1,358			9,711			11,144			—
Net operating (loss) income	(75		)	3,375			20,756			24,056			—
Depreciation	—			2,085			7,683			9,768			—
General and administrative/other	42			3			30			75			—
Operating (loss) income	(117		)	1,287			13,043			14,213			—
Interest and other income	1			2			—			3			—
Other expenses	(126		)	—			—			(126		)	—
Interest:
Expense incurred, net	—			(671		)	(4,694		)	(5,365		)	—
Amortization of deferred financing costs	—			(135		)	(89		)	(224		)	—
(Loss) income before income and other taxes	(242		)	483			8,260			8,501			—
Income and other tax (expense) benefit	(25		)	—			(21		)	(46		)	—
Net (loss) income	$	(267	)	$	483		$	8,239		$	8,455		$	—


(1)	Project and apartment unit counts exclude all uncompleted development projects until those projects are substantially completed.


(2)	All debt is non-recourse to the Company.


(3)	Represents the Company’s/Operating Partnership’s current economic ownership interest.


(4)	A development project with a noncontrolling interest balance of $78.7 million is not a VIE.


(5)	These development projects (Nexus Sawgrass and Domain) are owned 20% by the Company and 80% by an institutional partner in two separate unconsolidated joint ventures. Construction will be predominately funded with two separate long-term, non-recourse secured loans from the partner. The Company is responsible for constructing the projects and has given certain construction cost overrun guarantees.

The Company is the controlling partner in various consolidated partnership properties and development properties having a noncontrolling interest book value of $74.4 million at June 30, 2012. The Company has identified certain development partnerships as VIEs as the Company provides substantially all of the capital for these ventures (other than third party mortgage debt, if any) despite the fact that each partner legally owns 50% of each venture. The Company is the primary beneficiary as it exerts the most significant power over the ventures, absorbs the majority of the expected losses and has the right to receive a majority of the expected residual returns. The assets net of liabilities of the Company’s VIEs are restricted in their use to the specific VIE to which they relate and are not available for general corporate use. The Company does not have any unconsolidated VIEs.

In December 2011, the Company and Toll Brothers (NYSE: TOL) jointly acquired a vacant land parcel at 400 Park Avenue South in New York City. The Company's and Toll Brothers' allocated portions of the purchase price were approximately $76.1 million and $57.9 million, respectively. The Company is the managing member and Toll Brothers does not have substantive kick-out or participating rights. Until the core and shell of the building is complete, the building and land will be owned jointly and are required to be consolidated on the Company's balance sheet (not a VIE). Thereafter, the Company will solely own and control the rental portion of the building (floors 2-22) and Toll Brothers will solely own and control the for sale portion of the building (floors 23-40). Once the core and shell are complete, the Toll Brothers' portion of the property will be deconsolidated from the Company's balance sheet. The acquisition was financed through contributions by the Company and Toll Brothers of approximately $102.5 million and $75.7 million, respectively, which included the land purchase noted above, restricted deposits and taxes and fees. As of June 30, 2012, the Company's and Toll Brothers' consolidated contributions to the joint venture were approximately $189.9 million, of which Toll Brothers' noncontrolling interest balance totaled $78.7 million.

The Company admitted an 80% institutional partner to two separate entities/transactions (one in December 2010 and the other in August 2011), each owning a developable land parcel, in exchange for $40.1 million in cash and retained a 20% equity interest in both of these entities. These land parcels are now unconsolidated. Total project costs are approximately $232.8 million and construction will be predominantly funded with two separate long-term, non-recourse secured loans from the partner. While the Company is the managing member of both of the joint ventures, is responsible for constructing both of the projects and has given certain construction cost overrun guarantees, all major decisions are made jointly, the large majority of funding is provided by the partner and the partner has significant involvement in and oversight of the ongoing projects, neither of which is a VIE. The Company currently has no further funding obligations related to these projects.