Prudential Checklist

THE NHP FOUNDATION AND ITS AFFILIATED ENTITIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED YEARS ENDED DECEMBER 31, 2018 and 2017

NOTE 8 - LAND, BUILDINGS, IMPROVEMENTS AND EQUIPMENT, NET As of December 31, 2018 and 2017, land, buildings, improvements and equipment consisted of the following:

2018

2017

Land

$

63,650,019

$

56,828,389

Buildings, improvements and equipment

521,216,194

457,660,212

584,866,213 (90,747,966)

514,488,601 (81,050,813)

Less: Accumulated depreciation

$

494,118,247

$

433,437,788

Depreciation expense for 2018 and 2017 amounted to $12,822,109 and $12,286,605, respectively. Construction in progress of $9,300,869 and $15,159,975 at December 31, 2018 and 2017, respectively, is included in buildings, improvements and equipment. Accumulated depreciation includes a one-time elimination adjustment related to intercompany gain on sales. Refer to Note 13 for the acquisition and disposition of properties during 2018 and 2017.

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