5. REDEEMABLE NON-CONTROLLING INTERESTS

In 2016, the Company purchased additional interest in a partnership which was classified as redeemable non-controlling interest. The purchase price was $1.2 million in cash and $0.1 million in a seller note that is due and payable, with any accrued interest, in January 2018.

The non-controlling interests that are reflected as redeemable non-controlling interests in the consolidated financial statements consist of those owners who have certain redemption rights that are currently exercisable, and that, if exercised, require that the Company purchase the non-controlling interest of those owners. The redeemable non-controlling interests are adjusted to the fair value in the reporting period in which the Company deems it probable that the limited partner will assert the redemption rights and it will be adjusted each reporting period thereafter. The adjustments are charged to additional paid-in capital and are not reflected in the statements of net income.

For the three months ended March 31, 2016, the following table details the changes in the carrying amount of redeemable non-controlling interest:

	Three Months Ended March 31, 2016
Beginning balance	$	8,843
Operating results allocated to redeemable non-controlling interest partners		140
Distributions to redeemable non-controlling interest partners		(130	)
Payments for purchase of redeemable non-controlling interests		(1,262	)
Ending balance	$	7,591