diff --git a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetPsiFactory.java b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetPsiFactory.java
index ab9ad23aa7c..4c0dced694d 100644
--- a/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetPsiFactory.java
+++ b/compiler/frontend/src/org/jetbrains/jet/lang/psi/JetPsiFactory.java
@@ -54,7 +54,7 @@ public class JetPsiFactory {
         return createProperty(project, text);
     }
 
-    private static JetProperty createProperty(Project project, String text) {
+    public static JetProperty createProperty(Project project, String text) {
         return createDeclaration(project, text, JetProperty.class);
     }
 
diff --git a/idea/src/org/jetbrains/jet/plugin/codeInsight/ImplementMethodsHandler.java b/idea/src/org/jetbrains/jet/plugin/codeInsight/ImplementMethodsHandler.java
index 921ff3a4938..7b03f6eef67 100644
--- a/idea/src/org/jetbrains/jet/plugin/codeInsight/ImplementMethodsHandler.java
+++ b/idea/src/org/jetbrains/jet/plugin/codeInsight/ImplementMethodsHandler.java
@@ -96,9 +96,32 @@ public class ImplementMethodsHandler implements LanguageCodeInsightActionHandler
                 JetElement target = overrideFunction(project, (FunctionDescriptor) descriptor);
                 body.addBefore(target, body.getRBrace());
             }
+            else if (descriptor instanceof PropertyDescriptor) {
+                JetElement target = overrideProperty(project, (PropertyDescriptor) descriptor);
+                body.addBefore(target, body.getRBrace());
+            }
         }
     }
 
+    private static JetElement overrideProperty(Project project, PropertyDescriptor descriptor) {
+        StringBuilder bodyBuilder = new StringBuilder("override ");
+        if (descriptor.isVar()) {
+            bodyBuilder.append("var ");
+        }
+        else {
+            bodyBuilder.append("val ");
+        }
+        bodyBuilder.append(descriptor.getName()).append(": ").append(descriptor.getOutType());
+        String initializer = defaultInitializer(descriptor.getOutType(), JetStandardLibrary.getJetStandardLibrary(project));
+        if (initializer != null) {
+            bodyBuilder.append("=").append(initializer);
+        }
+        else {
+            bodyBuilder.append("= ?");
+        }
+        return JetPsiFactory.createProperty(project, bodyBuilder.toString());
+    }
+
     private static JetElement overrideFunction(Project project, FunctionDescriptor descriptor) {
         StringBuilder bodyBuilder = new StringBuilder("override fun ");
         bodyBuilder.append(descriptor.getName());
@@ -120,19 +143,27 @@ public class ImplementMethodsHandler implements LanguageCodeInsightActionHandler
             bodyBuilder.append(": ").append(returnType.toString());
         }
         bodyBuilder.append("{");
+        final String initializer = defaultInitializer(returnType, stdlib);
+        if (initializer != null) {
+            bodyBuilder.append("return " ).append(initializer);
+        }
+        bodyBuilder.append("}");
+        return JetPsiFactory.createFunction(project, bodyBuilder.toString());
+    }
+
+    private static String defaultInitializer(JetType returnType, JetStandardLibrary stdlib) {
         if (returnType.isNullable()) {
-            bodyBuilder.append("return null");
+            return "null";
         }
         else if (returnType.equals(stdlib.getIntType()) || returnType.equals(stdlib.getLongType()) ||
                  returnType.equals(stdlib.getShortType()) || returnType.equals(stdlib.getByteType()) ||
                  returnType.equals(stdlib.getFloatType()) || returnType.equals(stdlib.getDoubleType())) {
-            bodyBuilder.append("return 0");
+            return "0";
         }
         else if (returnType.equals(stdlib.getBooleanType())) {
-            bodyBuilder.append("return false");
+            return "false";
         }
-        bodyBuilder.append("}");
-        return JetPsiFactory.createFunction(project, bodyBuilder.toString());
+        return null;
     }
 
     private static MemberChooser<DescriptorClassMember> showOverrideImplementChooser(Project project,
diff --git a/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java b/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java
index 54cb3e97069..e4a3f0d4901 100644
--- a/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java
+++ b/idea/src/org/jetbrains/jet/plugin/formatter/JetFormattingModelBuilder.java
@@ -29,6 +29,7 @@ public class JetFormattingModelBuilder implements FormattingModelBuilder {
         return new SpacingBuilder(settings)
                 .before(COMMA).spaceIf(settings.SPACE_BEFORE_COMMA)
                 .after(COMMA).spaceIf(settings.SPACE_AFTER_COMMA)
+                .around(EQ).spaceIf(settings.SPACE_AROUND_ASSIGNMENT_OPERATORS)
                 .beforeInside(BLOCK, FUN).spaceIf(settings.SPACE_BEFORE_METHOD_LBRACE)
                 .afterInside(LBRACE, BLOCK).lineBreakInCode()
                 .beforeInside(RBRACE, CLASS_BODY).lineBreakInCode()
diff --git a/idea/testData/codeInsight/overrideImplement/property.kt b/idea/testData/codeInsight/overrideImplement/property.kt
new file mode 100644
index 00000000000..0f08af46b60
--- /dev/null
+++ b/idea/testData/codeInsight/overrideImplement/property.kt
@@ -0,0 +1,7 @@
+trait T {
+    val v : Int
+}
+
+class GC() : T {
+    <caret>
+}
diff --git a/idea/testData/codeInsight/overrideImplement/property.kt.after b/idea/testData/codeInsight/overrideImplement/property.kt.after
new file mode 100644
index 00000000000..bfff67330db
--- /dev/null
+++ b/idea/testData/codeInsight/overrideImplement/property.kt.after
@@ -0,0 +1,8 @@
+trait T {
+    val v : Int
+}
+
+class GC() : T {
+
+    override val v: Int = 0
+}
diff --git a/idea/tests/org/jetbrains/jet/plugin/codeInsight/OverrideImplementTest.java b/idea/tests/org/jetbrains/jet/plugin/codeInsight/OverrideImplementTest.java
index c821b510dd6..b5d6d95016c 100644
--- a/idea/tests/org/jetbrains/jet/plugin/codeInsight/OverrideImplementTest.java
+++ b/idea/tests/org/jetbrains/jet/plugin/codeInsight/OverrideImplementTest.java
@@ -39,9 +39,17 @@ public class OverrideImplementTest extends LightCodeInsightFixtureTestCase {
     }
     
     public void testGenericMethod() {
-        myFixture.configureByFile("genericMethod.kt");
+        doFileTest();
+    }
+
+    public void testProperty() {
+        doFileTest();
+    }
+
+    private void doFileTest() {
+        myFixture.configureByFile(getTestName(true) + ".kt");
         doImplement();
-        myFixture.checkResultByFile("genericMethod.kt.after");
+        myFixture.checkResultByFile(getTestName(true) + ".kt.after");
     }
 
     private void doDirectoryTest() {