Reportable Segments

12 Months Ended

Dec. 31, 2013

Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]

Segment Reporting Disclosure [Text Block]

17. Reportable Segments

Operating segments are defined as components of an enterprise that engage in business activities from which they may earn revenues and incur expenses and about which discrete financial information is available that is evaluated regularly by the chief operating decision maker. The chief operating decision maker decides how resources are allocated and assesses performance on a recurring basis at least quarterly.

The Company’s primary business is the acquisition, development and management of multifamily residential properties, which includes the generation of rental and other related income through the leasing of apartment units to residents. The chief operating decision maker evaluates the Company's operating performance geographically by market and both on a same store and non-same store basis. The Company’s operating segments located in its core markets represent its reportable segments (with the aggregation of Los Angeles, Orange County and San Diego into the Southern California reportable segment). The Company's operating segments located in its non-core markets that are not material have also been aggregated in the tables presented below.

The Company’s fee and asset management and development (including its partially owned properties) activities are other business activities that do not constitute an operating segment and as such, have been aggregated in the "Other" category in the tables presented below.

All revenues are from external customers and there is no customer who contributed 10% or more of the Company’s total revenues during the three years ended December 31, 2013, 2012 or 2011.

The primary financial measure for the Company’s rental real estate segment is net operating income (“NOI”), which represents rental income less: 1) property and maintenance expense; 2) real estate taxes and insurance expense; and 3) property management expense (all as reflected in the accompanying consolidated statements of operations and comprehensive income). The Company believes that NOI is helpful to investors as a supplemental measure of its operating performance because it is a direct measure of the actual operating results of the Company’s apartment communities. Current year NOI is compared to prior year NOI and current year budgeted NOI as a measure of financial performance. The following tables present NOI for each segment from our rental real estate specific to continuing operations for the years ended December 31, 2013, 2012 and 2011, respectively, as well as total assets and capital expenditures at December 31, 2013 and 2012, respectively (amounts in thousands):

	Year Ended December 31, 2013							Year Ended December 31, 2012							Year Ended December 31, 2011
	Rental Income		Operating Expenses		NOI			Rental Income		Operating Expenses		NOI			Rental Income			Operating Expenses			NOI
Same store (1)
Boston	$	175,031	$	57,261	$	117,770		$	168,063	$	54,888	$	113,175		$	142,514		$	49,317		$	93,197
Denver	100,425		30,028		70,397			93,571		28,204		65,367			99,681			32,564			67,117
New York	286,345		114,587		171,758			274,683		109,667		165,016			254,441			104,492			149,949
San Francisco	173,011		59,104		113,907			159,535		57,373		102,162			126,951			43,627			83,324
Seattle	129,283		43,718		85,565			122,267		41,041		81,226			122,494			45,275			77,219
South Florida	185,361		69,891		115,470			177,675		67,811		109,864			174,417			66,838			107,579
Southern California	333,917		107,346		226,571			320,749		103,925		216,824			299,508			98,907			200,601
Washington DC	253,056		76,033		177,023			247,880		75,580		172,300			240,755			75,492			165,263
Non-core	132,851		49,275		83,576			128,816		48,548		80,268			310,688			122,159			188,529
Total same store	1,769,280		607,243		1,162,037			1,693,239		587,037		1,106,202			1,771,449			638,671			1,132,778
Non-same store/other (2) (3)
Boston	61,139		18,238		42,901			—		—		—			8,115			2,361			5,754
Denver	2,805		744		2,061			1,325		429		896			—			1			(1		)
New York	136,182		43,055		93,127			14,611		5,988		8,623			6,794			366			6,428
San Francisco	119,749		42,851		76,898			7,268		3,022		4,246			3,889			1,796			2,093
Seattle	19,462		6,284		13,178			4,747		1,510		3,237			6,012			2,149			3,863
South Florida	2,653		1,031		1,622			—		—		—			14,488			5,165			9,323
Southern California	74,123		31,599		42,524			3,040		1,179		1,861			30,539			12,144			18,395
Washington DC	179,077		58,759		120,318			13,124		3,984		9,140			36,657			11,373			25,284
Other (3)	13,534		17,998		(4,464		)	575		17,666		(17,091		)	(3,477		)	7,326			(10,803		)
Properties sold in 2013 (4)	—		—		—			—		—		—			(358,272		)	(116,699		)	(241,573		)
Total non-same store/other	608,724		220,559		388,165			44,690		33,778		10,912			(255,255		)	(74,018		)	(181,237		)
Total	$	2,378,004	$	827,802	$	1,550,202		$	1,737,929	$	620,815	$	1,117,114		$	1,516,194		$	564,653		$	951,541

(1) For the years ended December 31, 2013 and 2012, same store primarily includes all properties acquired or completed and stabilized prior to January 1, 2012, less properties subsequently sold, which represented 80,247 apartment units. For the year ended December 31, 2011, same store primarily includes all properties acquired or completed and stabilized prior to January 1, 2011, less properties subsequently sold, which represented 98,577 apartment units.

(2) For the years ended December 31, 2013 and 2012, non-same store primarily includes properties acquired after January 1, 2012, plus any properties in lease-up and not stabilized as of January 1, 2012 . For the year ended December 31, 2011, non-same store primarily includes properties acquired after January 1, 2011, plus any properties in lease-up and not stabilized as of January 1, 2011.

(3) Other includes development and other corporate operations.

(4) Reflects discontinued operations for properties sold during 2013.

	Year Ended December 31, 2013				Year Ended December 31, 2012
	Total Assets		Capital Expenditures		Total Assets		Capital Expenditures
Same store (1)
Boston	$	1,087,370	$	15,630	$	1,133,098	$	22,592
Denver	520,999		5,330		542,243		4,593
New York	2,678,546		8,982		2,742,346		12,437
San Francisco	968,840		11,767		999,267		18,010
Seattle	835,584		6,398		865,068		6,892
South Florida	1,157,283		14,550		1,193,506		17,338
Southern California	2,177,336		16,580		2,250,301		17,747
Washington DC	1,873,897		10,069		1,941,446		15,426
Non-core	645,418		5,186		674,360		6,989
Total same store	11,945,273		94,492		12,341,635		122,024
Non-same store/other (2) (3)
Boston	946,747		2,097		—		—
Denver	20,481		54		20,974		5
New York	2,092,454		3,024		406,013		142
San Francisco	1,824,550		9,989		178,339		1,176
Seattle	312,240		1,598		90,205		67
South Florida	50,414		300		—		—
Southern California	1,078,038		3,975		70,389		141
Washington DC	2,664,702		14,877		276,901		1,062
Other (3)	1,899,646		5,410		3,816,544		28,211
Total non-same store/other	10,889,272		41,324		4,859,365		30,804
Total	$	22,834,545	$	135,816	$	17,201,000	$	152,828

(1) Same store primarily includes all properties acquired or completed and stabilized prior to January 1, 2012, less properties subsequently sold, which represented 80,247 apartment units.

(2) Non-same store primarily includes properties acquired after January 1, 2012, plus any properties in lease-up and not stabilized as of January 1, 2012.

(3) Other includes development and other corporate operations.

Note: Markets/Metro Areas included in the above Southern California and Non-core segments are as follows:

(a) Southern California – Los Angeles, Orange County and San Diego.

(b) Non-core – Inland Empire, CA, New England (excluding Boston), Orlando and Phoenix.

The following table presents a reconciliation of NOI from our rental real estate specific to continuing operations for the years ended December 31, 2013, 2012 and 2011, respectively (amounts in thousands):

	Year Ended December 31,
	2013			2012			2011
Rental income	$	2,378,004		$	1,737,929		$	1,516,194
Property and maintenance expense	(449,461		)	(332,190		)	(304,380		)
Real estate taxes and insurance expense	(293,999		)	(206,723		)	(178,406		)
Property management expense	(84,342		)	(81,902		)	(81,867		)
Total operating expenses	(827,802		)	(620,815		)	(564,653		)
Net operating income	$	1,550,202		$	1,117,114		$	951,541