Property, net:

Property, net consists of the following:



	June 30, 2016			December 31, 2015
Land	$	1,635,761		$	1,894,717
Buildings and improvements	6,527,339			7,752,892
Tenant improvements	578,102			637,355
Equipment and furnishings	164,547			169,841
Construction in progress	298,020			234,851
	9,203,769			10,689,656
Less accumulated depreciation	(1,760,781		)	(1,892,744		)
	$	7,442,988		$	8,796,912

Depreciation expense was $68,175 and $91,124 for the three months ended June 30, 2016 and 2015, respectively, and $138,078 and $181,321 for the six months ended June 30, 2016 and 2015, respectively.

The gain (loss) on sale or write down of assets, net was $10,915 and $(4,671) for the three months ended June 30, 2016 and 2015, respectively, and $445,371 and $(3,736) for the six months ended June 30, 2016 and 2015, respectively.

The gain (loss) on sale or write down of assets, net for the three and six months ended June 30, 2016 includes a gain of $24,897 on the sale of Capitola Mall and a loss of $3,058 on the sale of a former Mervyns' store (See Note 14—Dispositions).

The gain (loss) on sale or write down of assets, net for the six months ended June 30, 2016 includes a gain of $104,297 on the sale of a 40% ownership interest in Arrowhead Towne Center (See Note 4—Investments in Unconsolidated Joint Ventures) and $340,745 on the sale of a 49% ownership interest in the MAC Heitman Portfolio (See Note 4—Investments in Unconsolidated Joint Ventures).

The gain (loss) on sale or write down of assets, net for the three and six months ended June 30, 2016 includes an impairment loss of $7,188 due to the reduction of the estimated holding period of The Marketplace at Flagstaff. The gain (loss) on sale or write down of assets, net for the three and six months ended June 30, 2015 includes an impairment loss of $5,916 due to the reduction of the estimated holding period of a freestanding store.

In addition, the Company recorded a loss of $2,456 and $14,750 for the three and six months ended June 30, 2016, respectively, for adjustments to a contingent consideration obligation (See Note 13—Acquisitions).