11. Variable Interest Entities (VIE) Included within the Companys consolidated operating properties at March 31, 2019 and December 31, 2018, are 23 consolidated entities that are VIEs, for which the Company is the primary beneficiary. These entities have been established to own and operate real estate property. The Companys involvement with these entities is through its majority ownership and management of the properties. The entities were deemed VIEs primarily because the unrelated investors do not have substantive kick-out rights to remove the general or managing partner by a vote of a simple majority or less and they do not have substantive participating rights. The Company determined that it was the primary beneficiary of these VIEs as a result of its controlling financial interest. At March 31, 2019, total assets of these VIEs were $1.1 billion and total liabilities were $76.1 million. At December 31, 2018, total assets of these VIEs were $1.1 billion and total liabilities were $75.2 million. The majority of the operations of these VIEs are funded with cash flows generated from the properties. The Company has not provided financial support to any of these VIEs that it was not previously contractually required to provide, which consists primarily of funding any capital expenditures, including tenant improvements, which are deemed necessary to continue to operate the entity and any operating cash shortfalls that the entity may experience. Additionally, included within the Companys real estate development projects at March 31, 2019 and December 31, 2018, is one consolidated entity that is a VIE, for which the Company is the primary beneficiary. This entity has been established to develop a real estate property to hold as a long-term investment. The Companys involvement with this entity is through its majority ownership and management of this property. This entity was deemed a VIE primarily based on the fact that the equity investment at risk is not sufficient to permit the entity to finance its activities without additional financial support. The initial equity contributed to this entity was not sufficient to fully finance the real estate construction as development costs are funded by the partners throughout the construction period. The Company determined that it was the primary beneficiary of this VIE as a result of its controlling financial interest. At March 31, 2019, total assets of this real estate development VIE were $295.9 million and total liabilities were $64.7 million. At December 31, 2018, total assets of this real estate development VIE were $275.6 million and total liabilities were $68.0 million. Substantially all the projected remaining development costs to be funded for this real estate development project, aggregating $96.8 million, will be funded with capital contributions from the Company, when contractually obligated, and/or construction loan financing. The Company has not provided financial support to this VIE that it was not previously contractually required to provide. All liabilities of these consolidated VIEs are non-recourse to the Company (VIE Liabilities). The assets of the unencumbered VIEs are not restricted for use to settle only the obligations of these VIEs. The remaining VIE assets are encumbered by third party non-recourse mortgage debt and a construction loan. The assets associated with these encumbered VIEs (Restricted Assets) are collateral under the respective mortgages and a construction loan and are therefore restricted and can only be used to settle the corresponding liabilities of the VIE. The table below summarizes the consolidated VIEs and the classification of the Restricted Assets and VIE Liabilities on the Companys Condensed Consolidated Balance Sheets as follows (dollars in millions): As of March 31, 2019 As of December 31, 2018 Number of unencumbered VIEs 20 20 Number of encumbered VIEs 4 4 Total number of consolidated VIEs 24 24 Restricted Assets: Real estate, net $ 229.4 $ 229.2 Cash and cash equivalents 5.2 4.4 Accounts and notes receivable, net 2.9 2.1 Other assets 4.0 3.3 Total Restricted Assets $ 241.5 $ 239.0 VIE Liabilities: Mortgages and construction loan payable, net $ 88.0 $ 83.8 Other liabilities 52.8 59.4 Total VIE Liabilities $ 140.8 $ 143.2