Real Estate Assets, Net

9 Months Ended

Sep. 30, 2019

The net book value of real estate assets consisted of the following as of September 30, 2019 and December 31, 2018 (in thousands):



	September 30, 2019		December 31, 2018
Occupied single-family properties	$	7,597,689	$	7,448,330
Single-family properties recently acquired	34,304		212,870
Single-family properties in turnover process	262,979		294,093
Single-family properties leased, not yet occupied	64,554		65,304
Single-family properties in operation, net ⁽¹⁾	7,959,526		8,020,597
Development land	155,505		97,207
Single-family properties under development	106,633		56,444
Single-family properties held for sale	247,529		318,327
Total real estate assets, net	$	8,469,193	$	8,492,575

(1)

Single-family properties in operation, net as of September 30, 2019 and December 31, 2018 included $0.4 million and $5.9 million, respectively, related to properties for which the recorded grant deed had not been received. For these properties, the trustee or seller has warranted that all legal rights of ownership have been transferred to us on the date of the sale, but there was a delay for the deeds to be recorded.

Depreciation expense related to single-family properties was $78.3 million and $75.2 million for the three months ended September 30, 2019 and 2018, respectively, and $233.7 million and $224.7 million for the nine months ended September 30, 2019 and 2018, respectively.

The following table summarizes the Company’s dispositions of single-family properties and land for the three and nine months ended September 30, 2019 and 2018 (in thousands, except property data):



	For the Three Months Ended				For the Nine Months Ended
	September 30, 2019		September 30, 2018		September 30, 2019		September 30, 2018
Single-family properties:
Properties sold	341		95		954		311
Net proceeds ⁽¹⁾	$	64,014	$	17,352	$	179,465	$	46,994
Net gain on sale	$	13,506	$	3,458	$	32,655	$	8,816
Land:
Net proceeds	$	316	$	263	$	1,511	$	763
Net gain on sale	$	15	$	82	$	240	$	220

(1)

Total net proceeds for the nine months ended September 30, 2019 included a $30.7 million note receivable, before a $1.2 million discount, which is presented in escrow deposits, prepaid expenses and other assets (see Note 6).