Property, net

3 Months Ended

Mar. 31, 2022

Property, Plant and Equipment [Abstract]

Property, net:

Property, net consists of the following:


	March 31, 2022		December 31, 2021
Land	$	1,433,989	$	1,441,858
Buildings and improvements	6,341,408		6,306,764
Tenant improvements	690,166		685,242
Equipment and furnishings(1)	190,498		191,266
Construction in progress	191,208		222,420
	8,847,269		8,847,550
Less accumulated depreciation(1)	(2,623,285)		(2,563,344)
	$	6,223,984	$	6,284,206

(1) Equipment and furnishings and accumulated depreciation include the cost and accumulated amortization of ROU assets in connection with finance leases at March 31, 2022 and December 31, 2021 (See Note 8—Leases).

Depreciation expense was $67,786 and $71,664 for the three months ended March 31, 2022 and 2021, respectively.

Gain (loss) on sale or write-down of assets, net for the three months ended March 31, 2022 and 2021 consist of the following:


	For the Three Months Ended March 31,
		2022		2021

Gain on property sales, net(1)		$	—	$	4,229
Loss on write-down of assets(2)		(8,629)		(29,608)

Gain on land sales, net		15,082		4,096
		$	6,453	$	(21,283)

(1) Includes $4,229 of gain related to the sale of Paradise Valley Mall (See Note 15-Dispositions).

(2) Includes impairment loss of $5,492 relating to the Company's investment in MS Portfolio LLC (See Note 4-Investments in Unconsolidated Joint Ventures) during the three months ended March 31, 2022 and impairment loss of $27,281 on Estrella Falls during the three months ended March 31, 2021. The impairment losses were due to the reduction of the estimated holding periods of the properties. The remaining amounts for the three months ended March 31, 2022 and 2021 mainly pertain to the write off of development costs.

The following table summarizes certain of the Company's assets that were measured on a nonrecurring basis as a result of the impairment losses recorded for the three months ended March 31, 2022 and 2021, as described above:


	Total Fair Value Measurement		Quoted Prices in Active Markets for Identical Assets		Significant Other Unobservable Inputs		Significant Unobservable Inputs
			(Level 1)		(Level 2)		(Level 3)

March 31, 2022	$	830	$	—	$	830	$	—

The fair values relating to the 2022 impairment was based on a sales contract and is classified within Level 2 of the fair value hierarchy.