This excerpt taken from the EQR 10-Q filed Aug 7, 2006.
Interest and other income from continuing operations decreased by approximately $0.8 million, primarily as a result of lower interest income on mortgages receivable and profit participation income from joint venture partners.
Interest expense from continuing operations, including amortization of deferred financing costs, increased approximately $15.2 million primarily as a result of higher variable interest rates and overall debt levels outstanding. During the quarter ended June 30, 2006, the Company capitalized interest costs of approximately $3.8 million as compared to $2.9 million for the quarter ended June 30, 2005. This capitalization of interest primarily relates to projects under development. The effective interest cost on all indebtedness for the quarter ended June 30, 2006 was 6.14% as compared to 6.20% for the quarter ended June 30, 2005.
Loss from investments in unconsolidated entities was consistent between the periods under comparison. See Note 4 in the Notes to Consolidated Financial Statements for further discussion.
Net gain (loss) on sales of land parcels was consistent between the periods under comparison.
Discontinued operations, net of minority interests, increased approximately $9.3 million between the periods under comparison. This increase is primarily the result of higher per unit sales prices and lower real estate net book values for properties sold during the quarter ended June 30, 2006 as compared to the same period in 2005.