Three months ended June 30,

Six months ended June 30,

2018

2017

% change

2018

2017

% change

Revenues (in thousands)

$

96,389

$

70,890

36.0

%

$

186,759

$

137,452

35.9

%

Per share data:

Net income (loss) (1)

$

(0.66)

$

(0.40)

—

$

(0.81)

$

0.09

—

FFO (2)

$

0.38

$

0.31

22.6

%

$

0.75

$

0.65

15.4

%

AFFO (2)

$

0.37

$

0.31

19.4

%

$

0.63

$

0.58

8.6

%

Dividends (3)

$

0.255

$

0.235

8.5

%

$

0.505

$

0.455

11.0

%

Property

Location (MSA)

Units

Beds

Leasable
square feet

Student housing properties:

The Tradition

College Station, TX

427

808

n/a

The Retreat at Orlando

Orlando, FL

221

894

n/a

The Bloc

Lubbock, TX

140

556

n/a

788

2,258

Grocery-anchored shopping centers:

Greensboro Village

Nashville, TN

n/a

70,203

Governors Towne Square

Atlanta, GA

n/a

68,658

Neapolitan Way

Naples, FL

n/a

137,580

Conway Plaza

Orlando, FL

n/a

117,705

394,146

Owned as of
June 30, 2018

Potential additions
from real estate
loan investment
portfolio (1) (2)

Potential total

Multifamily communities:

Properties

31

11

42

Units

9,768

3,226

12,994

Grocery-anchored shopping centers:

Properties

43

—

43

Gross leasable area (square feet)

4,449,860

—

4,449,860

Student housing properties:

Properties

7

1

8

Units

1,679

248

1,927

Beds

5,208

816

6,024

Office buildings:

Properties

5

—

5

Rentable square feet

1,539,000

—

1,539,000

(1)  We evaluate each project individually and we make no assurance that we will acquire any of the underlying 
          properties from our real estate loan investment portfolio.

(2)  On May 7, 2018, we terminated purchase options on three multifamily communities and two student housing 
          properties in exchange for aggregate termination fees of approximately $12.5 million. Potential additions 
          to our real estate asset portfolio excludes the properties supported by these five loans.

Aster at Lely Resort

Avenues at Cypress

Avenues at Northpointe

Citi Lakes

Lenox Portfolio

McNeil Ranch

Overton Rise

Sorrel

Venue at Lakewood Ranch

Vineyards

Multifamily Established Communities' Same Store Net Operating Income

Three months ended:

(in thousands)

6/30/2018

6/30/2017

$ change

% change

Revenues:

Rental revenues

$

11,491

$

11,110

$

381

3.4

%

Other property revenues

1,209

1,081

128

11.8

%

Total revenues

12,700

12,191

509

4.2

%

Operating expenses:

Property operating and maintenance

1,675

1,571

104

6.6

%

Payroll

1,054

1,025

29

2.8

%

Property management fees

509

495

14

2.8

%

Real estate taxes

1,904

1,912

(8)

(0.4)

%

Other

561

523

38

7.3

%

Total operating expenses

5,703

5,526

177

3.2

%

Same store net operating income

$

6,997

$

6,665

$

332

5.0

%

Reconciliation of Multifamily Established Communities' Same Store Net Operating Income (NOI) to Net Income (Loss)

Three months ended:

(in thousands)

6/30/2018

6/30/2017

Same store net operating income

$

6,997

$

6,665

Add:

Non-same-store property revenues

65,656

44,872

Less:

Non-same-store property operating expenses

24,367

16,788

Property net operating income

48,286

34,749

Add:

Interest revenue on notes receivable

13,658

8,490

Interest revenue on related party notes receivable

4,374

5,338

Less:

Equity stock compensation

950

871

Depreciation and amortization

42,095

28,457

Interest expense

22,347

16,398

Acquisition costs

—

5

Management fees

6,621

4,864

Insurance, professional fees and other

1,068

876

Gain on sale of real estate

2

6,915

Loss on extinguishment of debt

—

888

Income from consolidated VIEs

54

—

Waived asset management and general and administrative expense fees

(1,429)

(171)

Net (loss) income

$

(5,278)

$

3,304

Multifamily Established Communities' Same Store Net Operating Income

Six months ended:

(in thousands)

6/30/2018

6/30/2017

$ change

% change

Revenues:

Rental revenues

$

22,916

$

22,166

$

750

3.4

%

Other property revenues

2,351

2,164

187

8.6

%

Total revenues

25,267

24,330

937

3.9

%

Operating expenses:

Property operating and maintenance

3,121

3,026

95

3.1

%

Payroll

2,013

2,064

(51)

(2.5)

%

Property management fees

1,013

982

31

3.2

%

Real estate taxes

3,840

4,054

(214)

(5.3)

%

Other

1,086

1,060

26

2.5

%

Total operating expenses

11,073

11,186

(113)

(1.0)

%

Same store net operating income

$

14,194

$

13,144

$

1,050

8.0

%

Reconciliation of Multifamily Established Communities' Same Store Net Operating Income (NOI) to Net Income

Six months ended:

(in thousands)

6/30/2018

6/30/2017

Same store net operating income

$

14,194

$

13,144

Add:

Non-same-store property revenues

128,895

86,531

Less:

Non-same-store property operating expenses

47,016

32,391

Property net operating income

96,073

67,284

Add:

Interest revenue on notes receivable

23,958

16,438

Interest revenue on related party notes receivable

8,639

10,152

Less:

Equity stock compensation

2,085

1,744

Depreciation and amortization

82,711

53,283

Interest expense

43,315

31,407

Acquisition costs

—

14

Management fees

12,862

9,377

Insurance, professional fees and other

1,771

1,780

Gain on sale of real estate

20,356

37,639

Loss on extinguishment of debt

—

888

Income from consolidated VIEs

54

—

Waived asset management and general and administrative expense fees

(2,649)

(346)

Net income

$

8,985

$

33,366

Preferred Apartment Communities, Inc.

Consolidated Statements of Operations

(Unaudited)

Three months ended June 30,

(In thousands, except per-share figures)

2018

2017

Revenues:

Rental revenues

$

66,199

$

48,241

Other property revenues

12,158

8,821

Interest income on loans and notes receivable

13,658

8,490

Interest income from related parties

4,374

5,338

Total revenues

96,389

70,890

Operating expenses:

Property operating and maintenance

10,107

7,198

Property salary and benefits

4,228

3,219

Property management fees

2,776

2,061

Real estate taxes

10,063

7,680

General and administrative

1,957

1,654

Equity compensation to directors and executives

950

871

Depreciation and amortization

42,095

28,457

Acquisition and pursuit costs

—

5

Asset management and general and administrative expense

fees to related party

6,621

4,864

Insurance, professional fees, and other expenses

2,008

1,377

Total operating expenses

80,805

57,386

Waived asset management and general and administrative

expense fees

(1,429)

(171)

Net operating expenses

79,376

57,215

Operating income

17,013

13,675

Interest expense

22,347

16,398

Change in fair value of net assets of consolidated VIE

54

—

Loss on debt extinguishment

—

888

Net income (loss) before gain on sale of real estate

(5,280)

(3,611)

Gain on sale of real estate

2

6,915

Net income (loss)

(5,278)

3,304

Consolidated net (income) loss attributable to non-controlling interests

140

(97)

Net income (loss) attributable to the Company

(5,138)

3,207

Dividends declared to preferred stockholders

(20,924)

(15,235)

Earnings attributable to unvested restricted stock

(6)

(6)

Net loss attributable to common stockholders

$

(26,068)

$

(12,034)

Net loss per share of Common Stock available to common stockholders,

basic and diluted

$

(0.66)

$

(0.40)

Dividends per share declared on Common Stock

$

0.255

$

0.235

Weighted average number of shares of Common Stock outstanding,

basic and diluted

39,383

29,894

Reconciliation of FFO and AFFO

to Net (Loss) Income Attributable to Common Stockholders (A)

Three months ended June 30,

(In thousands, except per-share figures)

2018

2017

Net (loss) income attributable to common stockholders (See note 1)

$

(26,068)

$

(12,034)

Add:

Depreciation of real estate assets

29,441

20,616

Amortization of acquired real estate intangible assets and deferred leasing costs

12,314

7,670

Income attributable to non-controlling interests (See note 2)

(140)

97

Less:

Gain on sale of real estate

(2)

(6,915)

FFO

15,545

9,434

Add:

Acquisition and pursuit costs

—

5

Loan cost amortization on acquisition term note

19

43

Amortization of loan coordination fees paid to the Manager (See note 3)

631

416

Mortgage loan refinancing and extinguishment costs

20

1,058

Insurance recovery in excess of weather-related property operating losses  (See note 4)

66

—

Contingent management fees recognized

—

387

Non-cash equity compensation to directors and executives

950

871

Amortization of loan closing costs (See note 5)

1,213

1,053

Depreciation/amortization of non-real estate assets

340

171

Net loan fees received (See note 6)

411

417

Accrued interest income received (See note 7)

2,769

2,795

Cash received for termination of purchase options (See note 8)

2,514

—

Deemed dividends from cash redemptions of preferred stock

201

—

Non-cash dividends on Series M Preferred Stock

47

—

Amortization of lease inducements (See note 9)

311

93

Less:

Non-cash loan interest income (See note 7)

(5,690)

(4,349)

Amortization of acquired above and below market lease intangibles

and straight-line rental revenues (See note 10)

(2,505)

(1,740)

Amortization of deferred revenues (See note 11)

(642)

(170)

Normally recurring capital expenditures and leasing costs (See note 12)

(1,080)

(972)

AFFO

$

15,120

$

9,512

Common Stock dividends and distributions to Unitholders declared:

Common Stock dividends

$

10,104

$

7,539

Distributions to Unitholders (See note 2)

273

212

Total

$

10,377

$

7,751

Common Stock dividends and Unitholder distributions per share

$

0.255

$

0.235

FFO per weighted average basic share of Common Stock and Unit outstanding

$

0.38

$

0.31

AFFO per weighted average basic share of Common Stock and Unit outstanding

$

0.37

$

0.31

Weighted average shares of Common Stock and Units outstanding: (A)

Basic:

39,383

29,894

Common Stock

1,070

902

Class A Units

40,453

30,796

Common Stock and Class A Units

Diluted Common Stock and Class A Units (B)

41,009

32,627

Actual shares of Common Stock outstanding, including 25 and 24 unvested shares

 of restricted Common Stock at June 30, 2018 and 2017, respectively

39,750

32,445

Actual Class A Units outstanding at June 30, 2018 and 2017, respectively.

1,070

901

Total

40,820

33,346

(A) Units and Unitholders refer to Class A Units in our Operating Partnership, or Class A Units, and holders of Class A Units, respectively.
Unitholders include recipients of awards of Class B Units in our Operating Partnership, or Class B Units, for annual service which became
vested and earned and automatically converted to Class A Units. Unitholders also include the entity that contributed the Wade Green
grocery-anchored shopping center. The Class A Units collectively represent an approximate 2.64% weighted average non-controlling
interest in the Operating Partnership for the three-month period ended June 30, 2018.

(B) Since our FFO and AFFO results are positive for the periods reflected above, we are presenting recalculated diluted weighted average
shares of Common Stock and Class A Units for these periods for purposes of this table, which includes the dilutive effect of common

stock equivalents from grants of the Class B Units, warrants included in units of Series A Preferred Stock issued, as well as annual grants

of restricted Common Stock. The weighted average shares of Common Stock outstanding presented on the Consolidated Statements of

Operations are the same for basic and diluted for any period for which we recorded a net loss available to common stockholders, excluding
any gains from sales of real estate assets.

Reconciliation of FFO and AFFO

to Net (Loss) Income Attributable to Common Stockholders (A)

Six months ended June 30,

(In thousands, except per-share figures)

2018

2017

Net (loss) income attributable to common stockholders (See note 1)

$

(31,704)

$

2,641

Add:

Depreciation of real estate assets

57,153

38,748

Amortization of acquired real estate intangible assets and deferred leasing costs

24,905

14,202

Income attributable to non-controlling interests (See note 2)

240

1,096

Less:

Gain on sale of real estate

(20,356)

(37,639)

FFO

30,238

19,048

Add:

Acquisition and pursuit costs

—

14

Loan cost amortization on acquisition term note

44

70

Amortization of loan coordination fees paid to the Manager (See note 3)

1,107

771

Mortgage loan refinancing and extinguishment costs

61

1,058

Insurance recovery in excess of weather-related property operating losses  (See note 4)

(194)

—

Contingent management fees recognized

—

387

Non-cash equity compensation to directors and executives

2,085

1,744

Amortization of loan closing costs (See note 5)

2,258

1,851

Depreciation/amortization of non-real estate assets

653

333

Net loan fees received (See note 6)

1,211

417

Accrued interest income received (See note 7)

4,112

5,319

Cash received for termination of purchase options (See note 8)

2,514

—

Deemed dividends from cash redemptions of preferred stock

519

—

Non-cash dividends on Series M Preferred Stock

153

—

Amortization of lease inducements (See note 9)

568

93

Less:

Non-cash loan interest income (See note 7)

(10,622)

(8,648)

Cash paid for loan closing costs

(391)

—

Amortization of acquired above and below market lease intangibles

(5,694)

(3,556)

and straight-line rental revenues (See note 10)

Amortization of deferred revenues (See note 11)

(1,139)

(170)

Normally recurring capital expenditures and leasing costs (See note 12)

(1,954)

(1,817)

AFFO

$

25,529

$

16,914

Common Stock dividends and distributions to Unitholders declared:

Common Stock dividends

$

19,906

$

13,510

Distributions to Unitholders (See note 2)

540

411

Total

$

20,446

$

13,921

Common Stock dividends and Unitholder distributions per share

$

0.505

$

0.455

FFO per weighted average basic share of Common Stock and Unit outstanding

$

0.75

$

0.65

AFFO per weighted average basic share of Common Stock and Unit outstanding

$

0.63

$

0.58

Weighted average shares of Common Stock and Units outstanding: (A)

Basic:

39,241

28,423

Common Stock

1,070

914

Class A Units

40,311

29,337

Common Stock and Class A Units

Diluted Common Stock and Class A Units (B)

41,273

30,855

Actual shares of Common Stock outstanding, including 25 and 24 unvested shares

 of restricted Common Stock at June 30, 2018 and 2017, respectively

39,750

32,445

Actual Class A Units outstanding at June 30, 2018 and 2017, respectively.

1,070

901

Total

40,820

33,346

(A) Units and Unitholders refer to Class A Units in our Operating Partnership, or Class A Units, and holders of Class A Units, respectively.
Unitholders include recipients of awards of Class B Units in our Operating Partnership, or Class B Units, for annual service which became
vested and earned and automatically converted to Class A Units. Unitholders also include the entity that contributed the Wade Green
grocery-anchored shopping center. The Class A Units collectively represent an approximate 2.65% weighted average non-controlling
interest in the Operating Partnership for the six-month period ended June 30, 2018.

(B) Since our FFO and AFFO results are positive for the periods reflected above, we are presenting recalculated diluted weighted average
shares of Common Stock and Class A Units for these periods for purposes of this table, which includes the dilutive effect of common stock
equivalents from grants of the Class B Units, warrants included in units of Series A Preferred Stock issued, as well as annual grants of
restricted Common Stock. The weighted average shares of Common Stock outstanding presented on the Consolidated Statements of
Operations are the same for basic and diluted for any period for which we recorded a net loss available to common stockholders, excluding

any gains from sales of real estate assets.

1)

Rental and other property revenues and property operating expenses for the quarter ended June 30, 2018 include activity for the four grocery-anchored shopping centers and three student housing properties acquired during the quarter only from their respective dates of acquisition. In addition, the second quarter 2018 period includes a full quarter of activity for the seven multifamily communities, six grocery-anchored shopping centers, two student housing properties and two office buildings acquired during the third and fourth quarters 2017 and first quarter 2018. Rental and other property revenues and expenses for the second quarter 2017 include activity for the acquisitions made during that period only from their respective dates of acquisition.

2)

Non-controlling interests in our Operating Partnership consisted of a total of 1,070,103 Class A Units as of June 30, 2018. Included in this total are 419,228 Class A Units which were granted as partial consideration to the seller in conjunction with the seller's contribution to us on February 29, 2016 of the Wade Green grocery-anchored shopping center. The remaining Class A units were awarded primarily to our key executive officers. The Class A Units are apportioned a percentage of our financial results as non-controlling interests. The weighted average ownership percentage of these holders of Class A Units was calculated to be 2.64% and 2.93% for the three-month periods ended June 30, 2018 and 2017, respectively.

3)

As of January 1, 2016, we pay loan coordination fees to Preferred Apartment Advisors, LLC, our Manager, related to obtaining mortgage financing for acquired properties. Loan coordination fees were introduced to reflect the administrative effort involved in arranging debt financing for acquired properties. The portion of the loan coordination fees paid up until July 1, 2017 attributable to the financing were amortized over the lives of the respective mortgage loans, and this non-cash amortization expense is an addition to FFO in the calculation of AFFO. Beginning effective July 1, 2017, the loan coordination fee was lowered from 1.6%  to 0.6% of the amount of any mortgage indebtedness on newly-acquired properties or refinancing. All of the loan coordination fees paid to our Manager subsequent to July 1, 2017 are amortized over the life of the debt. At June 30, 2018, aggregate unamortized loan coordination fees were approximately $12.6 million, which will be amortized over a weighted average remaining loan life of approximately 10.2 years.

4)

We sustained weather-related operating losses due to Hurricane Harvey at our Stone Creek multifamily community during the first and second quarters 2018; these costs are added back to FFO in our calculation of AFFO. Included in these adjustments are the receipt from our insurance carrier of approximately $588,000 for recoveries of lost rent, which was recognized in our statements of operations for the six months ended June 30, 2018. Lost rent and other operating costs incurred during the three-month period ended June 30, 2018 totaled approximately $66,000.

5)

We incur loan closing costs on our existing mortgage loans, which are secured on a property-by-property basis by each of our acquired real estate assets, and also for occasional amendments to our syndicated revolving line of credit with Key Bank National Association, or our Revolving Line of Credit. On March 23, 2018, but effective April 13, 2018, the maximum borrowing capacity on the Revolving Line of Credit was increased from $150 million to $200 million. These loan closing costs are also amortized over the lives of the respective loans and the Revolving Line of Credit, and this non-cash amortization expense is an addition to FFO in the calculation of AFFO. Neither we nor the Operating Partnership have any recourse liability in connection with any of the mortgage loans, nor do we have any cross-collateralization arrangements with respect to the assets securing the mortgage loans, other than security interests in 49% of the equity interests of the subsidiaries owning such assets, granted in connection with our Revolving Line of Credit, which provides for full recourse liability. At June 30, 2018, aggregate unamortized loan costs were approximately $20.8 million, which will be amortized over a weighted average remaining loan life of approximately 7.7 years.

6)

We receive loan origination fees in conjunction with the origination of certain real estate loan investments. These fees are then recognized as revenue over the lives of the applicable loans as adjustments of yield using the effective interest method. The total fees received after the payment of loan origination fees to our Manager are additive adjustments in the calculation of AFFO. Correspondingly, the amortized non-cash income is a deduction in the calculation of AFFO. Over the lives of certain loans, we accrue additional interest amounts that become due to us at the time of repayment of the loan or refinancing of the property, or when the property is sold. This non-cash interest income is subtracted from FFO in our calculation of AFFO. The amount of additional accrued interest becomes an additive adjustment to FFO once received from the borrower (see note 7).

7)

This adjustment reflects the receipt during the periods presented of additional interest income (described in note 6 above) which was earned and accrued prior to those periods presented on various real estate loans.

8)

On May 7, 2018, we terminated our existing purchase options on the Encore, Bishop Street and Hidden River multifamily communities and the Haven 46 and Haven Charlotte student housing properties, all of which are partially supported by real estate loan investments held by us. In exchange, we are to receive termination fees aggregating approximately $12.5 million from the developers. During the second quarter, we received approximately $2.5 million in cash in excess of the recognized termination fees, which are added to FFO in our calculation of AFFO.

9)

This adjustment removes the non-cash amortization of costs incurred to induce tenants to lease space in our office buildings and grocery-anchored shopping centers.

10)

This adjustment reflects straight-line rent adjustments and the reversal of the non-cash amortization of below-market and above-market lease intangibles, which were recognized in conjunction with our acquisitions and which are amortized over the estimated average remaining lease terms from the acquisition date for multifamily communities and over the remaining lease terms for grocery-anchored shopping center assets and office buildings. At June 30, 2018, the balance of unamortized below-market lease intangibles was approximately $40.3 million, which will be recognized over a weighted average remaining lease period of approximately 9.2 years.

11)

This adjustment removes the non-cash amortization of deferred revenue recorded by us in conjunction with Company-owned lessee-funded tenant improvements in our office buildings, as well as non-cash revenue earned from our investment in the collateralized mortgage-backed security in the Freddie Mac K Program.

12)

We deduct from FFO normally recurring capital expenditures that are necessary to maintain our assets' revenue streams in the calculation of AFFO. This adjustment also deducts from FFO capitalized amounts for third party costs during the period to originate or renew leases in our grocery-anchored shopping centers and office buildings. No adjustment is made in the calculation of AFFO for nonrecurring capital expenditures. See Capital Expenditures, Grocery-Anchored Shopping Center Portfolio, and Office Buildings Portfolio sections for definitions of these terms.

Preferred Apartment Communities, Inc.

Consolidated Balance Sheets

(Unaudited)

(In thousands, except per-share par values)

June 30, 2018

December 31, 2017

Assets

Real estate

Land

$

470,014

$

406,794

Building and improvements

2,345,033

2,043,853

Tenant improvements

84,988

63,425

Furniture, fixtures, and equipment

255,096

210,779

Construction in progress

18,546

10,491

Gross real estate

3,173,677

2,735,342

Less: accumulated depreciation

(222,785)

(172,756)

Net real estate

2,950,892

2,562,586

Real estate loan investments, net of deferred fee income

314,440

255,345

Real estate loan investments to related parties, net

59,768

131,451

Total real estate and real estate loan investments, net

3,325,100

2,949,382

Cash and cash equivalents

21,303

21,043

Restricted cash

53,982

51,969

Notes receivable

9,400

17,318

Note receivable and revolving lines of credit due from related parties

27,956

22,739

Accrued interest receivable on real estate loans

32,126

26,865

Acquired intangible assets, net of amortization

99,878

102,743

Deferred loan costs on Revolving Line of Credit, net of amortization

1,353

1,385

Deferred offering costs

7,876

6,544

Tenant lease inducements, net

18,827

14,425

Tenant receivables and other assets

43,752

37,957

Variable Interest Entity ("VIE") assets, at fair value

266,673

—

Total assets

$

3,908,226

$

3,252,370

Liabilities and equity

Liabilities

Mortgage notes payable, net of deferred loan costs

$

1,998,514

$

1,776,652

Revolving line of credit

38,500

41,800

Term note payable, net of deferred loan costs

—

10,994

Real estate loan investment participation obligation

10,920

13,986

Unearned purchase option termination fees

10,234

—

Deferred revenue

34,352

27,947

Accounts payable and accrued expenses

43,573

31,253

Accrued interest payable

5,998

5,028

Dividends and partnership distributions payable

17,338

15,680

Acquired below market lease intangibles, net of amortization

40,350

38,857

Security deposits and other liabilities

13,091

9,407

VIE liabilities, at fair value

261,879

—

Total liabilities

2,474,749

1,971,604

Commitments and contingencies

Equity

Stockholders' equity

Series A Redeemable Preferred Stock, $0.01 par value per share; 3,050

   shares authorized; 1,443 and 1,250 shares issued; 1,418 and 1,222

shares outstanding at June 30, 2018 and December 31, 2017, respectively

14

12

Series M Redeemable Preferred Stock, $0.01 par value per share; 500

   shares authorized; 29 and 15 shares issued and outstanding

at June 30, 2018 and December 31, 2017, respectively

—

—

Common Stock, $0.01 par value per share; 400,067 shares authorized;

39,726 and 38,565 shares issued and outstanding at

June 30, 2018 and December 31, 2017, respectively

397

386

Additional paid-in capital

1,430,713

1,271,040

Accumulated earnings

—

4,449

      Total stockholders' equity

1,431,124

1,275,887

Non-controlling interest

2,353

4,879

Total equity

1,433,477

1,280,766

Total liabilities and equity

$

3,908,226

$

3,252,370

Preferred Apartment Communities, Inc.

Consolidated Statements of Cash Flows

(Unaudited)

Six months ended June 30,

(In thousands)

2018

2017

Operating activities:

Net income

$

8,985

$

33,366

Reconciliation of net income to net cash provided by operating activities:

Depreciation and amortization expense

82,711

53,283

Amortization of above and below market leases

(2,387)

(1,562)

Deferred revenues and fee income amortization

(2,154)

(804)

Purchase option termination fee amortization

(2,236)

—

Amortization of market discount on assumed debt and lease incentives

699

92

Deferred loan cost amortization

3,279

2,650

(Increase) in accrued interest income on real estate loans

(5,261)

(2,976)

Change in fair value of net assets of consolidated VIE

(54)

—

Equity compensation to executives and directors

2,085

1,744

Gain on sale of real estate

(20,356)

(37,639)

Cash received for purchase option terminations

5,100

—

Loss on extinguishment of debt

—