Real estate assets held for sale included in real estate assets, net

  
EXTRA SPACE STORAGE INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (unaudited) (continued)Amounts in thousands, except store and share data, unless otherwise stated4.     REAL ESTATE ASSETSThe components of real estate assets are summarized as follows:

|  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |
|  | June 30, 2022 |  | December 31, 2021 |
| Land | $ | 2,223,174  |  |  | $ | 2,151,319  |  |
| Buildings, improvements and other intangibles | 8,560,995  |  |  | 8,227,094  |  |
| Right of use asset - finance lease | 136,209  |  |  | 117,718  |  |
| Intangible assets - tenant relationships | 138,994  |  |  | 134,577  |  |
| Intangible lease rights | 12,943  |  |  | 12,443  |  |
|  | 11,072,315  |  |  | 10,643,151  |  |
| Less: accumulated depreciation and amortization | (1,992,922) |  |  | (1,867,750) |  |
| Net operating real estate assets | 9,079,393  |  |  | 8,775,401  |  |
| Real estate under development/redevelopment | 56,071  |  |  | 59,248  |  |
| Real estate assets, net | $ | 9,135,464  |  |  | $ | 8,834,649  |  |
| Real estate assets held for sale included in real estate assets, net | $ | —  |  |  | $ | 8,436  |  |

As of June 30, 2022, the Company had no assets classified as held for sale.   
5.     OTHER ASSETSThe components of other assets are summarized as follows:

|  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |
|  | June 30, 2022 |  | December 31, 2021 |
| Equipment and fixtures, net | $ | 34,782  |  |  | $ | 29,060  |  |
| Deferred line of credit financing costs, net | 6,699  |  |  | 7,408  |  |
| Prepaid expenses and deposits | 36,356  |  |  | 39,384  |  |
| Receivables, net | 73,983  |  |  | 83,050  |  |
| Goodwill | 170,811  |  |  | —  |  |
| Fair value of interest rate swaps | 31,336  |  |  | 270  |  |
|  | $ | 353,967  |  |  | $ | 159,172  |  |

We evaluate goodwill for impairment annually in the fourth quarter and whenever events, circumstances, and other related factors indicate that fair value of the related reporting unit may be less than the carrying value. If we determine that the fair value of the reporting unit exceeds the aggregate carrying amount, no impairment charge is recorded. Otherwise, we record an impairment charge to the extent the carrying amount of the goodwill exceeds the amount that would be allocated to goodwill if the reporting unit were acquired for estimated fair value.16
