14 Investment Property

In CHF million 
Notes  20092008
Balance as at 1 January
  12 66312 252
Effect of amendment to IAS 40
  92
Additions
  694220
Capitalised subsequent expenditure
  215111
Classification as assets held for sale and other disposals
  –524–155
Gains/losses from fair value adjustments
  184194
Transfers from/to property and equipment
16  –16256
Foreign currency translation differences
  –16–215
Balance as at end of period
  13 29212 663
 
Investment property consists of
 
completed investment property
  12 96612 663
investment property under construction
  326
Total investment property
  13 29212 663


Investment property held by the Group includes residential, commercial and mixed-use properties primarily located within Switzerland, and comprises both completed investment property and investment property under construction. Property held for investment purposes comprises land and buildings owned by the Group to earn rentals and/or for capital appreciation. Property that is used by the Group itself or leased to, and occupied by, another entity of the Group is classified as owner-occupied property under property and equipment. Property acquired with a view to its subsequent disposal in the near future is carried under assets held for sale.

Rental income from investment property from continuing operations was CHF 735 million for the period ended 31 December 2009 (2008: CHF 701 million). Operating expenses arising from investment property from continuing operations that generated rental income stood at CHF 158 million for the period ended 31 December 2009 (2008: CHF 162 million). Operating expenses arising from investment property from continuing operations that did not generate rental income during the period stood at CHF 0.1 million for the period ended 31 December 2009 (2008: CHF 0.1 million).

As described in the Summary of Significant Accounting Policies section, property under construction or development for future use as investment property was reclassified from property and equipment to investment property as at 1 January 2009. The amount reclassified came to CHF 92 million.

 
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