Investments in Unconsolidated Joint Ventures: (Tables)

3 Months Ended

Mar. 31, 2013

Investments in Unconsolidated Joint Ventures:

Combined Condensed Balance Sheets of Unconsolidated Joint Ventures and Other Related Information

	March 31, 2013			December 31, 2012
Assets(1):
Properties, net	$	3,664,484		$	3,653,631
Other assets		324,402			411,862
Total assets	$	3,988,886		$	4,065,493
Liabilities and partners' capital(1):
Mortgage notes payable(2)	$	3,274,872		$	3,240,723
Other liabilities		171,073			148,711
Company's capital		237,806			304,477
Outside partners' capital		305,135			371,582
Total liabilities and partners' capital	$	3,988,886		$	4,065,493
Investments in unconsolidated joint ventures:
Company's capital	$	237,806		$	304,477
Basis adjustment(3)		514,521			516,833
	$	752,327		$	821,310
Assets—Investments in unconsolidated joint ventures	$	945,935		$	974,258
Liabilities—Distributions in excess of investments in unconsolidated joint ventures		(193,608	)		(152,948	)
	$	752,327		$	821,310

(1)

These amounts include the assets and liabilities of the following joint ventures as of March 31, 2013 and December 31, 2012:

	Pacific Premier Retail LP		Tysons Corner LLC
As of March 31, 2013:
Total Assets	$	1,035,401	$	431,221
Total Liabilities	$	939,057	$	330,230
As of December 31, 2012:
Total Assets	$	1,039,742	$	409,622
Total Liabilities	$	942,370	$	329,145

(2)

Certain mortgage notes payable could become recourse debt to the Company should the joint venture be unable to discharge the obligations of the related debt. As of March 31, 2013 and December 31, 2012, a total of $51,151 and $51,171, respectively, could become recourse debt to the Company. As of March 31, 2013 and December 31, 2012, the Company has indemnity agreements from joint venture partners for $21,270 of the guaranteed amount.

Included in mortgage notes payable are amounts due to affiliates of Northwestern Mutual Life ("NML") of $435,262 and $436,857 as of March 31, 2013 and December 31, 2012, respectively. NML is considered a related party because it is a joint venture partner with the Company in Macerich Northwestern Associates—Broadway Plaza. Interest expense incurred on these borrowings amounted to $6,943 and $11,055 for the three months ended March 31, 2013 and 2012, respectively.

(3)

The Company amortizes the difference between the cost of its investments in unconsolidated joint ventures and the book value of the underlying equity into income on a straight-line basis consistent with the lives of the underlying assets. The amortization of this difference was $2,562 and $(57) for the three months ended March 31, 2013 and 2012, respectively.

Assets and liabilities of significant subsidiaries

	Pacific Premier Retail LP		Tysons Corner LLC
As of March 31, 2013:
Total Assets	$	1,035,401	$	431,221
Total Liabilities	$	939,057	$	330,230
As of December 31, 2012:
Total Assets	$	1,039,742	$	409,622
Total Liabilities	$	942,370	$	329,145

Combined Condensed Statements of Operations of Unconsolidated Joint Ventures

	Pacific Premier Retail LP		Tysons Corner LLC		Other Joint Ventures			Total
Three Months Ended March 31, 2013
Revenues:
Minimum rents	$	33,132	$	15,497	$	60,961		$	109,590
Percentage rents		989		566		1,302			2,857
Tenant recoveries		13,954		11,024		27,212			52,190
Other		1,251		918		7,413			9,582
Total revenues		49,326		28,005		96,888			174,219
Expenses:
Shopping center and operating expenses		14,448		8,482		36,171			59,101
Interest expense		11,574		2,240		24,117			37,931
Depreciation and amortization		10,910		4,430		21,821			37,161
Total operating expenses		36,932		15,152		82,109			134,193
Loss on sale or distribution of assets		—		—		(190	)		(190	)
Net income	$	12,394	$	12,853	$	14,589		$	39,836
Company's equity in net income	$	5,691	$	4,877	$	7,547		$	18,115
Three Months Ended March 31, 2012
Revenues:
Minimum rents	$	33,635	$	15,340	$	90,105		$	139,080
Percentage rents		963		400		3,290			4,653
Tenant recoveries		13,474		10,815		42,412			66,701
Other		1,266		677		8,580			10,523
Total revenues		49,338		27,232		144,387			220,957
Expenses:
Shopping center and operating expenses		14,162		8,514		55,923			78,599
Interest expense		13,288		3,021		39,123			55,432
Depreciation and amortization		10,462		5,076		31,053			46,591
Total operating expenses		37,912		16,611		126,099			180,622
Gain on sale or distribution of assets		—		—		22,990			22,990
Net income	$	11,426	$	10,621	$	41,278		$	63,325
Company's equity in net income	$	5,810	$	4,047	$	20,761		$	30,618