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Co-investments | 9 Months Ended
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Sep. 30, 2017
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures [Abstract] |
Co-investments | Co-investments The Company has joint ventures and preferred equity investments in co-investments which are accounted for under the equity method. The co-investments own, operate, and develop apartment communities. The carrying values of the Company's co-investments as of September 30, 2017 and December 31, 2016 are as follows (in thousands, except in parenthetical):
| Weighted Average Essex Ownership Percentage |  | September 30, 2017 |  | December 31, 2016
Membership interest/Partnership interest in: |  |  |  |  |
CPPIB | 54 | % |  | $ | 502,419 |  |  | $ | 422,068 |
Wesco I, III, IV, and V | 50 | % |  | 225,041 |  |  | 180,687 |
Palm Valley (1) | 50 | % |  | — |  |  | 68,396 |
BEXAEW | 50 | % |  | 45,523 |  |  | 47,963 |
BEX II (2) | 50 | % |  | (36,245 | ) |  | 19,078 |
Other | 53 | % |  | 40,471 |  |  | 43,713 |
Total operating and other co-investments, net |  |  | 777,209 |  |  | 781,905 |
Total development co-investments, net | 50 | % |  | 85,670 |  |  | 157,317 |
Total preferred interest co-investments (includes related party investments of $20.7 million and $35.9 million as of September 30, 2017 and December 31, 2016, respectively) |  |  | 225,453 |  |  | 222,053 |
Total co-investments, net |  |  | $ | 1,088,332 |  |  | $ | 1,161,275 |
(1) In January 2017, the Company purchased its joint venture partner's 50.0% interest in Palm Valley and as a result of this acquisition, the Company consolidates Palm Valley. (2) This co-investment was classified as a liability as of September 30, 2017. The combined summarized entity financial information of co-investments and preferred equity investments is as follows ($ in thousands).
| September 30, 2017 |  | December 31, 2016
Combined balance sheets: |  |  |
Rental properties and real estate under development | $ | 3,671,101 |  |  | $ | 3,807,245 |
Other assets | 111,372 |  |  | 121,505 |
Total assets | $ | 3,782,473 |  |  | $ | 3,928,750 |
Debt | $ | 1,597,597 |  |  | $ | 1,617,639 |
Other liabilities | 65,865 |  |  | 74,607 |
Equity (1) | 2,119,011 |  |  | 2,236,504 |
Total liabilities and equity | $ | 3,782,473 |  |  | $ | 3,928,750 |
Company's share of equity | $ | 1,088,332 |  |  | $ | 1,161,275 |
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2017 |  | 2016 |  | 2017 |  | 2016
Combined statements of income: |  |  |  |  |  |  |
Property revenues | $ | 76,303 |  |  | $ | 72,124 |  |  | $ | 224,319 |  |  | $ | 216,434 |
Property operating expenses | (27,753 | ) |  | (24,976 | ) |  | (79,028 | ) |  | (75,377 | )
Net operating income | 48,550 |  |  | 47,148 |  |  | 145,291 |  |  | 141,057 |
Gain on sale of real estate | 10,058 |  |  | — |  |  | 10,058 |  |  | 28,291 |
Interest expense | (13,718 | ) |  | (10,978 | ) |  | (39,663 | ) |  | (35,260 | )
General and administrative | (2,452 | ) |  | (1,496 | ) |  | (6,147 | ) |  | (4,276 | )
Depreciation and amortization | (27,884 | ) |  | (25,569 | ) |  | (84,211 | ) |  | (79,676 | )
Net income | $ | 14,554 |  |  | $ | 9,105 |  |  | $ | 25,328 |  |  | $ | 50,136 |
Company's share of net income (1) | $ | 19,727 |  |  | $ | 9,568 |  |  | $ | 40,934 |  |  | $ | 38,932 |
(1) Includes the Company's share of equity income from co-investments and preferred equity investments, gain on sales of co-investments, co-investment promote income and income from early redemption of preferred equity investments. Includes related party income of $0.5 million and $0.8 million for the three months ended September 30, 2017 and 2016, respectively, and $1.5 million and $2.5 million for the nine months ended September 30, 2017 and 2016, respectively.

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- Definition The entire disclosure for cost method and equity method investments included basis, impairment losses, recognized or unrecognized gains (losses). + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 325 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=2197087 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -URI http://asc.fasb.org/topic&trid=2196965 + Details
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