these amounts were partially offset by a decrease in gains on the sale of unconsolidated communities in various joint ventures and related promote income , coupled with increases in depreciation and interest expense . established communities noi for the year ended december 31 , 2018 increased by $ 26,248,000 , or 2.3 % , over the prior year . the increase was driven by an increase in rental revenue of 2.5 % , partially offset by an increase in operating expenses of 3.2 % over 2017 . during 2018 , we raised approximately $ 1,572,833,000 of gross capital through the issuance of unsecured notes , sale of common shares under cep iv and the sale of consolidated operating communities and other real estate . this amount does not include proceeds from joint venture dispositions . the funds raised from the sale of real estate consist of the proceeds from the sale of eight operating communities , as well as the five communities contributed to the nyc joint venture and one ancillary land parcel . we believe that our current capital structure will continue to provide financial flexibility to access capital on attractive terms . 36 we believe our development activity will continue to create long-term value . during 2018 , we completed the construction of seven communities containing an aggregate of 1,915 apartment homes and 10,000 square feet of retail space , for an aggregate total capitalized cost of $ 742,000,000 , or $ 693,000,000 when including only our 55.0 % interest in one community developed through an unconsolidated joint venture . we also started the construction of eight communities containing an aggregate of 2,154 apartment homes , which are expected to be completed for an estimated total capitalized cost of $ 718,000,000 . in addition , during 2018 we completed the redevelopment of eight communities containing an aggregate of 3,368 apartment homes for a total investment of $ 217,000,000 , excluding costs incurred prior to the redevelopment . we also achieved portfolio growth through acquisitions , acquiring four communities containing an aggregate of 1,096 apartment homes for an aggregate purchase price of $ 334,450,000 . we believe that our balance sheet strength , as measured by our current level of indebtedness , our current ability to service interest and other fixed charges , and our current moderate use of financial encumbrances ( such as secured financing ) provide us with adequate access to liquidity from the capital markets . we expect to be able to meet our reasonably foreseeable liquidity needs , as they arise , through a combination of one or more of the following sources : existing cash on hand ; operating cash flows ; borrowings under our credit facility ; secured debt ; the issuance of corporate securities ( which could include unsecured debt , preferred equity and or common equity ) ; the sale of apartment communities ; or through the formation of joint ventures . see the discussion under `` liquidity and capital resources . `` communities overview as of december 31 , 2018 we owned or held a direct or indirect ownership interest in 291 apartment communities containing 85,158 apartment homes in 12 states and the district of columbia , of which 21 communities were under development and nine communities were under redevelopment . of these communities , 15 were owned by entities that were not consolidated for financial reporting purposes , including five owned by the u.s. fund , five owned by the nyc joint venture and two owned by the ac jv . in addition , we held a direct or indirect ownership interest in development rights to develop an additional 28 wholly-owned communities that , if developed as expected , will contain an estimated 9,769 apartment homes . our real estate investments consist primarily of current communities , development communities and development rights . our current communities are further distinguished as established communities , other stabilized communities , lease-up communities , redevelopment communities and unconsolidated communities . established communities are generally consolidated communities in markets where we have a significant presence that were owned and had stabilized occupancy as of the beginning of the prior year , allowing for a meaningful comparison of operating results between years . other stabilized communities are generally all other completed consolidated communities that have stabilized occupancy during the fiscal year . lease-up communities are consolidated communities where construction has been complete for less than one year and stabilized occupancy has not been achieved . redevelopment communities are consolidated communities where substantial redevelopment is in progress or is planned to begin during the fiscal year . unconsolidated communities are communities that we have an indirect ownership interest in through our investment interest in an unconsolidated joint venture . a more detailed description of our reportable segments and other related operating information can be found in note 8 , “ segment reporting , ” of our consolidated financial statements . although each of these categories is important to our business , we generally evaluate overall operating , industry and market trends based on the operating results of established communities , for which a detailed discussion can be found in “ results of operations ” as part of our discussion of overall operating results . we evaluate our current and future cash needs and future operating potential based on acquisition , disposition , development , redevelopment and financing activities within other stabilized , redevelopment and development communities . discussions related to current and future cash needs and financing activities can be found under `` liquidity and capital resources . `` noi of our current operating communities is one of the financial measures that we use to evaluate the performance of our communities . noi is affected by the demand and supply dynamics within our markets , our rental rates and occupancy levels and our ability to control operating costs . story_separator_special_tag the increase in 2018 was primarily due to an increase in compensation related expenses and a decrease in legal recoveries . the increase in 2017 was primarily due to an increase in compensation related expenses , professional fees , and sales and use tax expense . 42 casualty and impairment loss ( gain ) , net of $ 215,000 for 2018 primarily consists of an impairment charge of $ 826,000 recognized for a land parcel we had acquired for development and no longer intend to develop , partially offset by $ 554,000 of legal settlement proceeds relating to construction defects at a community acquired as part of the archstone acquisition . the loss of $ 6,250,000 for 2017 consists of a $ 9,350,000 impairment charge recognized for a land parcel we had acquired for development in 2004 and sold in july 2017 , and the net impact of the maplewood casualty loss , net of associated insurance receivables , of $ 2,338,000 , partially offset by $ 5,438,000 of legal settlement proceeds relating to construction defects at a community acquired as part of the archstone acquisition . equity in income of unconsolidated real estate entities decreased $ 55,474,000 , or 78.4 % , and increased $ 5,782,000 , or 8.9 % , in 2018 and 2017 , respectively , as compared to the prior years . the decrease in 2018 was primarily due to gains on the sale of communities in various ventures and the recognition of income for the company 's promoted interest from fund ii in the prior year period , coupled with the resulting decreased noi from the ventures in the current year period , due to disposition activity in 2017 and 2018. the increase in 2017 was primarily due to the recognition of income for the company 's promoted interest , partially offset by decreased gains on the sale of communities in various ventures in the current year , and decreased noi from the ventures due to disposition activity in 2016 and 2017. gain on sale of communities increased in 2018 and decreased in 2017 as compared to the prior years . the amount of gain realized in a given period depends on many factors , including the number of communities sold , the size and carrying value of the communities sold and the market conditions in the local area . the gain of $ 374,976,000 in 2018 was primarily due to the sale of eight wholly-owned operating communities and the recognition of the gain associated with the contribution of five wholly-owned operating communities to the nyc joint venture , a venture in which we retained a 20.0 % interest . the gain of $ 252,599,000 in 2017 was primarily due to the sale of six wholly-owned operating communities . gain ( loss ) on other real estate transactions of $ 345,000 in 2018 was primarily composed of gains on ancillary real estate . the loss of $ 10,907,000 in 2017 was primarily composed of the non-cash write-off of prepaid rent associated with the purchase of land previously subject to a ground lease . story_separator_special_tag . financial covenants we are subject to financial and other covenants contained in the credit facility , the term loan and the indenture under which our unsecured notes were issued . the principal financial covenants include the following : limitations on the amount of total and secured debt in relation to our overall capital structure ; limitations on the amount of our unsecured debt relative to the undepreciated basis of real estate assets that are not encumbered by property-specific financing ; and minimum levels of debt service coverage . we were in compliance with these covenants at december 31 , 2018 . in addition , our secured borrowings may include yield maintenance , defeasance , or prepayment penalty provisions , which would result in us incurring an additional charge in the event of a full or partial prepayment of outstanding principal before the scheduled maturity . these provisions in our secured borrowings are generally consistent with other similar types of debt instruments issued during the same time period in which our borrowings were secured . 44 continuous equity offering program in december 2015 , we commenced a fourth continuous equity program ( “ cep iv ” ) under which we may sell up to $ 1,000,000,000 of our common stock from time to time . actual sales will depend on a variety of factors to be determined , including market conditions , the trading price of our common stock and determinations of the appropriate sources of funding . in conjunction with cep iv , we engaged sales agents who will receive compensation of up to 2.0 % of the gross sales price for shares sold . cep iv also allows us to enter into forward sale agreements up to $ 1,000,000,000 in aggregate sales price of our common stock . we expect that we will physically settle each forward sale agreement on one or more dates prior to the maturity date of that particular forward sale agreement , in which case we will expect to receive aggregate net cash proceeds at settlement equal to the number of shares underlying the particular forward agreement multiplied by the relevant forward sale price . however , we may also elect to cash settle or net share settle a forward sale agreement . in connection with each forward sale agreement , we will pay the relevant forward seller , in the form of a reduced initial forward sale price , commission of up to 2.0 % of the sales prices of all borrowed shares of common stock sold . in 2018 , we sold 244,924 shares at an average sales price of $ 189.14 per share , for net proceeds of $ 45,629,000 . as of january 31 , 2019 , we had $ 846,591,000 of shares remaining authorized for issuance under this program and no forward sales agreements outstanding . forward interest rate swap

liquidity and capital resources we employ a disciplined approach to our liquidity and capital management . when we source capital , we take into account both our view of the most cost effective alternative then available and our desire to maintain a balance sheet that provides us with flexibility . our principal short-term liquidity needs are to fund : development and redevelopment activity in which we are currently engaged ; the minimum dividend payments on our common stock required to maintain our reit qualification under the code ; debt service and principal payments either at maturity or opportunistically before maturity ; and normal recurring operating expenses and corporate overhead expenses . factors affecting our liquidity and capital resources are our cash flows from operations , financing activities and investing activities ( including dispositions ) as well as general economic and market conditions . operating cash flow has historically been determined by : ( i ) the number of apartment homes currently owned , ( ii ) rental rates , ( iii ) occupancy levels and ( iv ) operating expenses with respect to apartment homes . the timing and type of capital markets activity in which we engage , as well as our plans for development , redevelopment , acquisition and disposition activity , are affected by changes in the capital markets environment , such as changes in interest rates or the availability of cost-effective capital .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources we employ a disciplined approach to our liquidity and capital management . when we source capital , we take into account both our view of the most cost effective alternative then available and our desire to maintain a balance sheet that provides us with flexibility . our principal short-term liquidity needs are to fund : development and redevelopment activity in which we are currently engaged ; the minimum dividend payments on our common stock required to maintain our reit qualification under the code ; debt service and principal payments either at maturity or opportunistically before maturity ; and normal recurring operating expenses and corporate overhead expenses . factors affecting our liquidity and capital resources are our cash flows from operations , financing activities and investing activities ( including dispositions ) as well as general economic and market conditions . operating cash flow has historically been determined by : ( i ) the number of apartment homes currently owned , ( ii ) rental rates , ( iii ) occupancy levels and ( iv ) operating expenses with respect to apartment homes . the timing and type of capital markets activity in which we engage , as well as our plans for development , redevelopment , acquisition and disposition activity , are affected by changes in the capital markets environment , such as changes in interest rates or the availability of cost-effective capital .
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 Suspicious Activity Report : these amounts were partially offset by a decrease in gains on the sale of unconsolidated communities in various joint ventures and related promote income , coupled with increases in depreciation and interest expense . established communities noi for the year ended december 31 , 2018 increased by $ 26,248,000 , or 2.3 % , over the prior year . the increase was driven by an increase in rental revenue of 2.5 % , partially offset by an increase in operating expenses of 3.2 % over 2017 . during 2018 , we raised approximately $ 1,572,833,000 of gross capital through the issuance of unsecured notes , sale of common shares under cep iv and the sale of consolidated operating communities and other real estate . this amount does not include proceeds from joint venture dispositions . the funds raised from the sale of real estate consist of the proceeds from the sale of eight operating communities , as well as the five communities contributed to the nyc joint venture and one ancillary land parcel . we believe that our current capital structure will continue to provide financial flexibility to access capital on attractive terms . 36 we believe our development activity will continue to create long-term value . during 2018 , we completed the construction of seven communities containing an aggregate of 1,915 apartment homes and 10,000 square feet of retail space , for an aggregate total capitalized cost of $ 742,000,000 , or $ 693,000,000 when including only our 55.0 % interest in one community developed through an unconsolidated joint venture . we also started the construction of eight communities containing an aggregate of 2,154 apartment homes , which are expected to be completed for an estimated total capitalized cost of $ 718,000,000 . in addition , during 2018 we completed the redevelopment of eight communities containing an aggregate of 3,368 apartment homes for a total investment of $ 217,000,000 , excluding costs incurred prior to the redevelopment . we also achieved portfolio growth through acquisitions , acquiring four communities containing an aggregate of 1,096 apartment homes for an aggregate purchase price of $ 334,450,000 . we believe that our balance sheet strength , as measured by our current level of indebtedness , our current ability to service interest and other fixed charges , and our current moderate use of financial encumbrances ( such as secured financing ) provide us with adequate access to liquidity from the capital markets . we expect to be able to meet our reasonably foreseeable liquidity needs , as they arise , through a combination of one or more of the following sources : existing cash on hand ; operating cash flows ; borrowings under our credit facility ; secured debt ; the issuance of corporate securities ( which could include unsecured debt , preferred equity and or common equity ) ; the sale of apartment communities ; or through the formation of joint ventures . see the discussion under `` liquidity and capital resources . `` communities overview as of december 31 , 2018 we owned or held a direct or indirect ownership interest in 291 apartment communities containing 85,158 apartment homes in 12 states and the district of columbia , of which 21 communities were under development and nine communities were under redevelopment . of these communities , 15 were owned by entities that were not consolidated for financial reporting purposes , including five owned by the u.s. fund , five owned by the nyc joint venture and two owned by the ac jv . in addition , we held a direct or indirect ownership interest in development rights to develop an additional 28 wholly-owned communities that , if developed as expected , will contain an estimated 9,769 apartment homes . our real estate investments consist primarily of current communities , development communities and development rights . our current communities are further distinguished as established communities , other stabilized communities , lease-up communities , redevelopment communities and unconsolidated communities . established communities are generally consolidated communities in markets where we have a significant presence that were owned and had stabilized occupancy as of the beginning of the prior year , allowing for a meaningful comparison of operating results between years . other stabilized communities are generally all other completed consolidated communities that have stabilized occupancy during the fiscal year . lease-up communities are consolidated communities where construction has been complete for less than one year and stabilized occupancy has not been achieved . redevelopment communities are consolidated communities where substantial redevelopment is in progress or is planned to begin during the fiscal year . unconsolidated communities are communities that we have an indirect ownership interest in through our investment interest in an unconsolidated joint venture . a more detailed description of our reportable segments and other related operating information can be found in note 8 , “ segment reporting , ” of our consolidated financial statements . although each of these categories is important to our business , we generally evaluate overall operating , industry and market trends based on the operating results of established communities , for which a detailed discussion can be found in “ results of operations ” as part of our discussion of overall operating results . we evaluate our current and future cash needs and future operating potential based on acquisition , disposition , development , redevelopment and financing activities within other stabilized , redevelopment and development communities . discussions related to current and future cash needs and financing activities can be found under `` liquidity and capital resources . `` noi of our current operating communities is one of the financial measures that we use to evaluate the performance of our communities . noi is affected by the demand and supply dynamics within our markets , our rental rates and occupancy levels and our ability to control operating costs . story_separator_special_tag the increase in 2018 was primarily due to an increase in compensation related expenses and a decrease in legal recoveries . the increase in 2017 was primarily due to an increase in compensation related expenses , professional fees , and sales and use tax expense . 42 casualty and impairment loss ( gain ) , net of $ 215,000 for 2018 primarily consists of an impairment charge of $ 826,000 recognized for a land parcel we had acquired for development and no longer intend to develop , partially offset by $ 554,000 of legal settlement proceeds relating to construction defects at a community acquired as part of the archstone acquisition . the loss of $ 6,250,000 for 2017 consists of a $ 9,350,000 impairment charge recognized for a land parcel we had acquired for development in 2004 and sold in july 2017 , and the net impact of the maplewood casualty loss , net of associated insurance receivables , of $ 2,338,000 , partially offset by $ 5,438,000 of legal settlement proceeds relating to construction defects at a community acquired as part of the archstone acquisition . equity in income of unconsolidated real estate entities decreased $ 55,474,000 , or 78.4 % , and increased $ 5,782,000 , or 8.9 % , in 2018 and 2017 , respectively , as compared to the prior years . the decrease in 2018 was primarily due to gains on the sale of communities in various ventures and the recognition of income for the company 's promoted interest from fund ii in the prior year period , coupled with the resulting decreased noi from the ventures in the current year period , due to disposition activity in 2017 and 2018. the increase in 2017 was primarily due to the recognition of income for the company 's promoted interest , partially offset by decreased gains on the sale of communities in various ventures in the current year , and decreased noi from the ventures due to disposition activity in 2016 and 2017. gain on sale of communities increased in 2018 and decreased in 2017 as compared to the prior years . the amount of gain realized in a given period depends on many factors , including the number of communities sold , the size and carrying value of the communities sold and the market conditions in the local area . the gain of $ 374,976,000 in 2018 was primarily due to the sale of eight wholly-owned operating communities and the recognition of the gain associated with the contribution of five wholly-owned operating communities to the nyc joint venture , a venture in which we retained a 20.0 % interest . the gain of $ 252,599,000 in 2017 was primarily due to the sale of six wholly-owned operating communities . gain ( loss ) on other real estate transactions of $ 345,000 in 2018 was primarily composed of gains on ancillary real estate . the loss of $ 10,907,000 in 2017 was primarily composed of the non-cash write-off of prepaid rent associated with the purchase of land previously subject to a ground lease . story_separator_special_tag . financial covenants we are subject to financial and other covenants contained in the credit facility , the term loan and the indenture under which our unsecured notes were issued . the principal financial covenants include the following : limitations on the amount of total and secured debt in relation to our overall capital structure ; limitations on the amount of our unsecured debt relative to the undepreciated basis of real estate assets that are not encumbered by property-specific financing ; and minimum levels of debt service coverage . we were in compliance with these covenants at december 31 , 2018 . in addition , our secured borrowings may include yield maintenance , defeasance , or prepayment penalty provisions , which would result in us incurring an additional charge in the event of a full or partial prepayment of outstanding principal before the scheduled maturity . these provisions in our secured borrowings are generally consistent with other similar types of debt instruments issued during the same time period in which our borrowings were secured . 44 continuous equity offering program in december 2015 , we commenced a fourth continuous equity program ( “ cep iv ” ) under which we may sell up to $ 1,000,000,000 of our common stock from time to time . actual sales will depend on a variety of factors to be determined , including market conditions , the trading price of our common stock and determinations of the appropriate sources of funding . in conjunction with cep iv , we engaged sales agents who will receive compensation of up to 2.0 % of the gross sales price for shares sold . cep iv also allows us to enter into forward sale agreements up to $ 1,000,000,000 in aggregate sales price of our common stock . we expect that we will physically settle each forward sale agreement on one or more dates prior to the maturity date of that particular forward sale agreement , in which case we will expect to receive aggregate net cash proceeds at settlement equal to the number of shares underlying the particular forward agreement multiplied by the relevant forward sale price . however , we may also elect to cash settle or net share settle a forward sale agreement . in connection with each forward sale agreement , we will pay the relevant forward seller , in the form of a reduced initial forward sale price , commission of up to 2.0 % of the sales prices of all borrowed shares of common stock sold . in 2018 , we sold 244,924 shares at an average sales price of $ 189.14 per share , for net proceeds of $ 45,629,000 . as of january 31 , 2019 , we had $ 846,591,000 of shares remaining authorized for issuance under this program and no forward sales agreements outstanding . forward interest rate swap

