VARIABLE INTEREST ENTITIES, CONTINGENT LIABILITIES AND CONSOLIDATED JOINT VENTURES (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Variable Interest Entities through Ground Leases and Carrying Amount and Maximum Exposure to Loss

The following chart details the Company's VIEs through its ground leases and the aggregate carrying amount and maximum exposure to loss as of December 31, 2016 (dollars in thousands):

Description of Property(a)	Date Acquired	Land Contract Purchase Price		# Units in Apartment Complex		Owner/ Operator Mortgage from Third Party(b)		Type of Exposure	Carrying Amount and Maximum Exposure to Loss
The Meadows Apartments, Lakemoor, Illinois	March 24, 2015	$	9,300		496	$	43,824	Land	$	9,592
The Briarbrook Village Apartments, Wheaton, Illinois	August 2, 2016		10,530		342		39,411	Land		10,536
The Vue Apartments, Beachwood, Ohio	August 16, 2016		13,896		348		67,444	Land		13,901

Totals		$	33,726		1,186	$	150,679		$	34,029


(a)	Simultaneously with each purchase, the Company entered into a triple net ground lease with affiliates of Strategic Properties of North America, the owner/operators of these properties.
(b)	Simultaneously with the closing of each acquisition, the owner/operator obtained a mortgage from a third party which, together with the Company's purchase of the land, provided substantially all of the aggregate funds to acquire the complex. The Company provided its land as collateral for the respective owner/operator's mortgage loans; accordingly, each land position is subordinated to the applicable mortgage. Other than as described above, no other financial support has been provided by the Company to the owner/operator.

Consolidated JV

Summary of our variable interests in identified VIEs

The following is a summary of the consolidated VIEs' carrying amounts and classification in the Company's consolidated balance sheets, none of which are restricted (amounts in thousands):

	December 31,
	2016			2015(a)
Land	$	17,844		$	18,400
Buildings and improvements, net of accumulated depreciation of $2,732 and $2,076, respectively		32,535			34,287
Cash		1,796			1,960
Unbilled rent receivable		775			330
Unamortized intangible lease assets, net		1,595			1,996
Escrow, deposits and other assets and receivables		1,355			752
Mortgages payable, net of deferred financing costs of $539 and $438, respectively		33,121			25,926
Accrued expenses and other liabilities		893			793
Unamortized intangible lease liabilities, net		2,200			2,392
Accumulated other comprehensive loss		(70	)		(126	)
Non-controlling interests in consolidated joint ventures		1,794			1,931


(a)	Includes a consolidated joint venture located in Deptford, New Jersey in which the Company purchased its partner's 5% interest and obtained 100% ownership in October 2016 (see Note 4).

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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