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Real Estate Owned
 3 Months Ended
Mar. 31, 2013
Real Estate [Abstract]  
REAL ESTATE OWNED
REAL ESTATE OWNED
Real estate assets owned by the Company consist of income producing operating properties, properties under development and land held for future development. As of March 31, 2013, the Company owned and consolidated 143 communities in 10 states plus the District of Columbia totaling 41,750 apartment homes. The following table summarizes the carrying amounts for our real estate owned (at cost) as of March 31, 2013 and December 31, 2012 (dollar amounts in thousands):
 
March 31, 2013
 
December 31, 2012
Land
$
1,945,846

 
$
1,907,169

Depreciable property — held and used:
 
 
 
Building and improvements
5,502,984

 
5,384,971

Furniture, fixtures and equipment
280,470

 
272,640

Under development:
 
 
 
Land
119,750

 
151,154

Construction in progress
333,066

 
339,894

Real estate owned
8,182,116

 
8,055,828

Accumulated depreciation
(2,007,482
)
 
(1,924,682
)
Real estate owned, net
$
6,174,634

 
$
6,131,146



All development projects and related carrying costs are capitalized and reported on the Consolidated Balance Sheets as “Real estate under development.” The costs of development projects which include interest, real estate taxes, insurance and allocated development overhead related to support costs for personnel working directly on the development are capitalized during the construction period. These costs, excluding the direct costs of development and capitalized interest for the three months ended March 31, 2013 and 2012 were $3.0 million and $2.7 million, respectively. During the three months ended March 31, 2013 and 2012, total capitalized interest was $8.4 million and $4.9 million, respectively.

In October 2012, Hurricane Sandy hit the East Coast, affecting three of the Company’s operating communities (1,706 apartment homes) located in New York City. The properties suffered some physical damage, and were closed to residents for a period following the hurricane. The Company has insurance policies that provide coverage for property damage and business interruption.
Based on the claims filed and management’s estimates, the Company recognized a $9.0 million impairment charge for the damaged assets’ net book value and incurred $10.4 million of repair and cleanup costs during the year ended December 31, 2012. The impairment charge and the repair and cleanup costs incurred were reduced as of December 31, 2012 by $14.5 million of estimated insurance recovery, and were classified in “Hurricane related (recoveries)/charges, net” on the Consolidated Statements of Operations. During the three months ended March 31, 2013, no further impairment charge related to the damaged assets' net book value has been recognized. With the exception of one of the properties that is under redevelopment at March 31, 2013, the rehabilitation of the remaining two properties is expected to be completed in the third quarter of 2013. See Note 14, Hurricane Related (Recoveries)/Charges for additional information.