Notes to the Consolidated Financial Statements
Dollar amounts are in thousands of Canadian dollars (except share and per share amounts)
5. Investment Properties
The Company has used the following hierarchy for determining the fair value measurement of its investment properties and IPUC:
Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities.
Level 2: Other techniques for which all inputs that have a significant effect on the recorded fair value are observable, either directly or 
indirectly.
Level 3: Techniques which use inputs that have significant effect on the recorded fair value that are not based on observable market data.
As at and for the year ended December 31, 2013
segment apartments mHcs other IPUC t otal
level 3 3 3 3
Balance, beginning of year $1,126,189 $168,401 $2,134 $57,941 $1,354,665
Fair value gains included in net income
Fair value gains on investment property 1,272 11,798 ‑ ‑ 13,070
Acquisitions and dispositions
Acquisitions 118,277 1,390 ‑ 7,294 126,961
Dispositions ‑ (69,680) ‑ ‑ (69,680)
Other movements
Transfer from IPUC 70,315 ‑ ‑ (70,315) ‑
Capital expenditure on investment property 18,100 3,505 42 ‑ 21,647
Capital expenditure on IPUC ‑ ‑ ‑ 28,356 28,356
Interest capitalized on IPUC ‑ ‑ ‑ 1,097 1,097
Balance, end of year $1,334,153 $115,414 $2,176 $24,373 $1,476,116
as at and for the year ended December 31, 2012                 
segment apartments mHcs other IPUC t otal
level 3 3 3 3
Balance, beginning of year $1,012,847 $231,747 $2,051 $11,574 $1,258,219
Fair value gains (losses) included in net income
Fair value gains (losses) on investment property33,573 6,133 ‑ (1,980) 37,726
Acquisitions and dispositions
Acquisitions 60,730 65 ‑ ‑ 60,795
Dispositions ‑ (72,889) ‑ ‑ (72,889)
Other movements
Capital expenditure on investment property 19,039 3,345 83 ‑ 22,467
Capital expenditure on IPUC ‑ ‑ ‑ 47,284 47,284
Interest capitalized on IPUC ‑ ‑ ‑ 1,063 1,063
Balance, end of year $1,126,189 $168,401 $2,134 $57,941 $1,354,665
During the year ended December 31, 2013,  the Company capitalized salaries of $2.8 million (2012 ‑ $2.0 million), as part of its project 
improvement, suite renovation and development programs.
78 Killam ProPerties inc | 2013