RESULTS OF OPERATIONS Comparison of Year Ended December 31, 2011 to the Year Ended December 31, 2010 The Company’s average financial occupancies for the Company’s stabilized apartment communities or “2011/2010 Same-Properties” (stabilized properties consolidated by the Company for the years ended December 31, 2011 and 2010) decreased 50 basis points to 96.4% in 2011 from 96.9% in 2010.
Financial occupancy is defined as the percentage resulting from dividing actual rental revenue by total possible rental revenue.
Actual rental revenue represents contractual rental revenue pursuant to leases without considering delinquency and concessions.
Total possible rental revenue represents the value of all apartment units, with occupied units valued at contractual rental rates pursuant to leases and vacant units valued at estimated market rents.
We believe that financial occupancy is a meaningful measure of occupancy because it considers the value of each vacant unit at its estimated market rate.
Market rates are determined using a variety of factors such as effective rental rates at the property based on recently signed leases and asking rates for comparable properties in the market.
The recently signed effective rates at the property are used as the starting point in the determination of the market rates of vacant units.
The Company then increases or decreases these rates based on the supply and demand in the apartment community’s market.
The Company will check the reasonableness of these rents based on its position within the market and compare the rents against the asking rents by comparable properties in the market.
Financial occupancy may not completely reflect short-term trends in physical occupancy and financial occupancy rates as disclosed by other REITs may not be comparable to the Company’s calculation of financial occupancy.
The Company does not take into account delinquency and concessions to calculate actual rent for occupied units and market rents for vacant units.
The calculation of financial occupancy compares contractual rates for occupied units to estimated market rents for unoccupied units, thus the calculation compares the gross value of all apartment units excluding delinquency and concessions.
For apartment communities that are development properties in lease-up without stabilized occupancy figures, the Company believes the physical occupancy rate is the appropriate performance metric.
While an apartment community is in the lease-up phase, the Company’s primary motivation is to stabilize the property which may entail the use of rent concessions and other incentives, and thus financial occupancy which is based on contractual revenue is not considered the best metric to quantify occupancy.
The regional breakdown of the Company’s 2011/2010 Same-Property portfolio for financial occupancy for the years ended December 31, 2011 and 2010 is as follows:
## Table 0 ##
The following table provides a breakdown of revenue amounts, including the revenues attributable to 2011/2010 Same-Properties.
## Table 1 ##
(1) Includes twelve communities acquired after January 1, 2010, two redevelopment communities, eight development communities, and three commercial buildings.
ESSEX PROPERTY TRUST, INC.  AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS December 31, 2011, 2010, and 2009 F-13 The Company uses the specific identification method to determine the cost basis of a security sold and to reclassify amounts from accumulated other comprehensive income for securities sold.
For the years ended December 31, 2011, 2010 and 2009, the proceeds from sales of available for sale securities totaled $33.0 million, $102.0 million and $23.0 million, respectively.
These sales all resulted in gains, which totaled $5.0 million, $12.4 million and $1.0 million for the years ended December 31, 2011, 2010 and 2009, respectively.
(g) Notes Receivable Notes receivable relate to real estate financing arrangements including mezzanine and bridge loans and are secured by real estate.
Interest is recognized over the life of the note.
Each note is analyzed to determine if it is impaired.
A note is impaired if it is probable that the Company will not collect all principal and interest contractually due.
The Company does not accrue interest when a note is considered impaired and a loan allowance is recorded for any principal and previously accrued interest that are not believed to be collectable.
All cash receipts on impaired notes are applied to reduce the principal amount of such notes until the principal has been recovered and, thereafter, are recognized as interest income.
As of December 31, 2011 and 2010, no notes are impaired.
(h) Interest and Other Income Interest income is generated primarily from cash balances and marketable securities as well as notes receivables.
Other income primarily consists of gains on sales of marketable securities.
Total interest and other income are comprised of the following for the years ended December 31 ($ in thousands):
## Table 2 ##
(i) Fair Value of Financial Instruments The Company values its financial instruments based on the fair value hierarchy of valuation techniques described in the FASB’s accounting standard for fair value measurements.
Level 1 inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.
Level 2 inputs include quoted prices for similar assets and liabilities in active markets and inputs other than quoted prices observable for the asset or liability.
Level 3 inputs are unobservable inputs for the asset or liability.
The Company uses Level 1 inputs for the fair values of its cash equivalents and its marketable securities except for unsecured bonds and mortgage backed securities.
The Company uses Level 2 inputs for its investments in unsecured bonds, mortgage backed securities, notes receivable, notes payable, and derivative liabilities.
These inputs include interest rates for similar financial instruments.
The Company’s valuation methodology for derivatives is described in more detail in Note 9.
The Company's valuation methodology for the swap related to the multifamily revenue refunding bonds for the 101 San Fernando community is described in detail in Note 9.
The Company does not use Level 3 inputs to estimate fair values of any of its financial instruments.
The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability.
Management believes that the carrying amounts of its amounts outstanding under lines of credit, notes receivable and other receivables approximate fair value as of December 31, 2011 and 2010, because interest rates, yields and other terms for these instruments are consistent with yields and other terms currently available for similar instruments.
Management has estimated that the fair value of the Company’s $1.77 billion and $1.56 billion of fixed rate debt at
Unregistered Sales of Equity Securities During the years ended December 31, 2015 and 2014, the Operating Partnership issued partnership units in private placements in reliance on the exemption from registration provided by Section 4(2) of the Securities Act, in the amounts and for the consideration set forth below: During the year ended December 31, 2015 and 2014, ESS issued an aggregate of 203,556 and 185,387 shares of its common stock upon the exercise of stock options, respectively.
ESS contributed the proceeds from the option exercises of $26.5 million and $11.0 million to our Operating Partnership in exchange for an aggregate of 203,556 and 185,387 common OP Units, as required by the Operating Partnership’s partnership agreement, respectively.
During the year ended December 31, 2015 and 2014, ESS issued an aggregate of 22,939 and 126,931 shares of its common stock in connection with restricted stock awards for no cash consideration, respectively.
For each share of common stock issued by ESS in connection with such awards, our Operating Partnership issued common OP units to ESS as required by the partnership agreement, for an aggregate of 22,939 and 126,931 units during the year ended December 31, 2015 and 2014, respectively.
During the years ended December 31, 2015 and 2014, ESS issued and sold an aggregate of 1,481,737 and 2,964,315 shares of its common stock, respectively, pursuant to a registration statement and its equity distribution program.
ESS contributed the net proceeds from these share issuances of $332.3 million and $534.0 million in exchange for an aggregate of 1,481,737 and 2,964,315 common OP Units, respectively, as required by the Operating Partnership’s partnership agreement.
Item 6.
Selected Financial Data The following tables set forth summary financial and operating information for the ESS and the Operating Partnership from January 1, 2011 through December 31, 2015.
Essex Property Trust, Inc.  and Subsidiaries
## Table 3 ##
(1) Reclassifications have been made in prior periods to conform to the current year’s presentation.
The Company’s interest rate risk is monitored using a variety of techniques.
The table below presents the principal amounts and weighted average interest rates by year of expected maturity to evaluate the expected cash flows.
Management has estimated that the fair value of the Company’s $4.8 billion of fixed rate debt at December 31, 2015, to be $4.8 billion.
Management has estimated the fair value of the Company’s $525.3 million of variable rate debt at December 31, 2015, is $527.6 million based on the terms of existing mortgage notes payable and variable rate demand notes compared to those available in the marketplace ($ in thousands).

Tables referenced above, in order (Table 0 first):
<table><tr><td></td><td colspan="2">Years endedDecember 31,</td></tr><tr><td></td><td>2011</td><td>2010</td></tr><tr><td>Southern California</td><td>96.3%</td><td>96.8%</td></tr><tr><td>Northern California</td><td>96.6%</td><td>97.2%</td></tr><tr><td>Seattle Metro</td><td>96.4%</td><td>96.9%</td></tr></table>
<table><tr><td></td><td rowspan="2">Number of Properties</td><td colspan="2">Years EndedDecember 31,</td><td rowspan="2">Dollar Change</td><td rowspan="2">Percentage Change</td></tr><tr><td></td><td>2011</td><td>2010</td></tr><tr><td>Property Revenues($ in thousands)</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>2011/2010 Same-Properties:</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Southern California</td><td>60</td><td>$207,813</td><td>$202,354</td><td>$5,459</td><td>2.7%</td></tr><tr><td>Northern California</td><td>28</td><td>123,451</td><td>116,796</td><td>6,655</td><td>5.7</td></tr><tr><td>Seattle Metro</td><td>23</td><td>61,827</td><td>59,101</td><td>2,726</td><td>4.6</td></tr><tr><td>Total 2011/2010 Same-Property revenues</td><td>111</td><td>393,091</td><td>378,251</td><td>14,840</td><td>3.9</td></tr><tr><td>2011/2010 Non-Same Property Revenues -1</td><td></td><td>75,687</td><td>30,483</td><td>45,204</td><td>148.3</td></tr><tr><td>Total property revenues</td><td></td><td>$468,778</td><td>$408,734</td><td>$60,044</td><td>14.7%</td></tr></table>
<table><tr><td></td><td>2011</td><td>2010</td><td>2009</td></tr><tr><td>Interest income</td><td>$10,501</td><td>$15,350</td><td>$11,841</td></tr><tr><td>Gains on sales of marketable securities</td><td>4,956</td><td>12,491</td><td>1,014</td></tr><tr><td>Tax benefit - Taxable REIT Subsidiary</td><td>1,682</td><td>-</td><td>-</td></tr><tr><td>Other income</td><td>-</td><td>-</td><td>185</td></tr><tr><td></td><td>$17,139</td><td>$27,841</td><td>$13,040</td></tr></table>
<table><tr><td></td><td colspan="5">Years Ended December 31,</td></tr><tr><td></td><td>2015</td><td>2014</td><td>2013</td><td>2012</td><td>2011</td></tr><tr><td></td><td colspan="5">($ in thousands, except per share amounts)</td></tr><tr><td>OPERATING DATA:<sup>-1</sup></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Rental and other property</td><td>$1,185,498</td><td>$961,591</td><td>$603,327</td><td>$527,945</td><td>$461,866</td></tr><tr><td>Management and other fees from affiliates</td><td>8,909</td><td>9,347</td><td>7,263</td><td>8,457</td><td>5,428</td></tr><tr><td>Income before discontinued operations</td><td>$248,239</td><td>$134,438</td><td>$140,882</td><td>$127,653</td><td>$46,958</td></tr><tr><td>Income from discontinued operations</td><td>—</td><td>—</td><td>31,173</td><td>11,937</td><td>10,558</td></tr><tr><td>Net income</td><td>248,239</td><td>134,438</td><td>172,055</td><td>139,590</td><td>57,516</td></tr><tr><td>Net income available to common stockholders</td><td>$226,865</td><td>$116,859</td><td>$150,811</td><td>$119,812</td><td>$40,368</td></tr><tr><td>Per share data:</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Basic:</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Income before discontinued operations available to common stockholders</td><td>$3.50</td><td>$2.07</td><td>$3.26</td><td>$3.10</td><td>$0.94</td></tr><tr><td>Net income available to common stockholders</td><td>$3.50</td><td>$2.07</td><td>$4.05</td><td>$3.42</td><td>$1.24</td></tr><tr><td>Weighted average common stock outstanding</td><td>64,872</td><td>56,547</td><td>37,249</td><td>35,032</td><td>32,542</td></tr><tr><td>Diluted:</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Income before discontinued operations available to common stockholders</td><td>$3.49</td><td>$2.06</td><td>$3.25</td><td>$3.09</td><td>$0.94</td></tr><tr><td>Net income available to common stockholders</td><td>$3.49</td><td>$2.06</td><td>$4.04</td><td>$3.41</td><td>$1.24</td></tr><tr><td>Weighted average common stock outstanding</td><td>65,062</td><td>56,697</td><td>37,335</td><td>35,125</td><td>32,629</td></tr><tr><td>Cash dividend per common share</td><td>$5.76</td><td>$5.11</td><td>$4.84</td><td>$4.40</td><td>$4.16</td></tr></table>

Question: What will Rental and other property be like in 2016 if it develops with the same increasing rate as current? (in thousands)
Answer: 1.46154e+06
Reasoning program: subtract(1185498,961591), divide(#0,961591), add(const_1,#1), multiply(#2,1185498)