9.	Impairment Charges

The Company recorded impairment charges during the three and nine months ended September 30, 2016 and 2015, based on the difference between the carrying value of the assets and the estimated fair market value as follows (in millions):

	Three Months				Nine Months
	Ended September 30,				Ended September 30,
	2016		2015		2016		2015
Assets marketed for sale or assets sold^(A)	$	104.9	$	—	$	104.9	$	179.7
Undeveloped land previously held for development^(B)		—		—		—		99.3
Total impairment charges	$	104.9	$	—	$	104.9	$	279.0

(A)

In March 2015, the Company’s senior management team initiated changes to the business strategy that involved the acceleration of asset sales in connection with a portfolio quality improvement and leverage reduction initiative. The Company recorded impairment charges at 25 operating shopping centers to be sold over a 12 to 24-month period. In the third quarter of 2016, in conjunction with the change of the chief executive officer, the Company’s management team and board of directors decided to increase the volume of asset sales over a 12 to 18-month period beyond the level contemplated in 2015, to make accelerated progress on its more aggressive deleveraging goals. As a result, these decisions triggered the recording of impairment charges on operating shopping centers that management identified as short-term disposition candidates.

(B)	Amounts recorded primarily were related to land previously held for future development. The asset impairments were triggered primarily by the decision made by the Company’s senior management in March 2015 to sell the land and no longer consider development alternatives.

Items Measured at Fair Value on a Non-Recurring Basis

For a description of the Company’s methodology on determining the fair value, refer to Note 12 of the Company’s Financial Statements filed in its Annual Report on Form 10-K for the year ended December 31, 2015.

The following table presents information about the Company’s impairment charges on both financial and non-financial assets that were measured on a fair value basis for the nine months ended September 30, 2016, and the year ended December 31, 2015. The table also indicates the fair value hierarchy of the valuation techniques used by the Company to determine such fair value (in millions).

	Fair Value Measurements
	Level 1		Level 2		Level 3		Total		Total Losses
September 30, 2016
Long-lived assets held and used	$	—	$	—	$	387.7	$	387.7	$	104.9
December 31, 2015
Long-lived assets held and used		—		—		407.1		407.1		279.0
Unconsolidated joint venture investments		—		—		—		—		1.9

The following table presents quantitative information about the significant unobservable inputs used by the Company to determine the fair value of non-recurring items (in millions, except per square foot, which is in thousands):

Quantitative Information about Level 3 Fair Value Measurements

Fair Value at

Range

September 30,

December 31,

Valuation

Unobservable

Description

2016

2015

Technique

Inputs

2016

2015

Impairment of consolidated assets

9.7

33.8

Indicative

Bid^(A)/

Contracted

Price

Indicative

Bid^(A)/

Contracted

Price

N/A

351.4

287.6

Income

Capitalization

Approach^(B)/

Sales

Comparison

Approach

Market

Capitalization

Rate

7%–10%

8%–9%

Price per

Square Foot

$15–$31

$10–$40

26.6

51.5

Indicative

Bid^(A)

Indicative

Bid^(A)

N/A

Discounted

Cash Flow

Discount

Rate

10%–11%

10%–14%

Terminal

Capitalization

Rate

10%–12%

8%–10%

—

34.2

Indicative

Bid^(A)/

Sales

Comparison

Approach

Indicative

Bid^(A)

N/A

(A)

Fair value measurements based upon indicative bids were developed by third-party sources (including offers and comparable sales values), subject to the Company’s corroboration for reasonableness. The Company does not have access to certain unobservable inputs used by these third parties to determine these estimated fair values.

(B)	Vacant space in certain assets was valued based on a price per square foot.