Schedule III - Real Estate and Accumulated Depreciation

12 Months Ended

Dec. 31, 2016

SEC Schedule III, Real Estate and Accumulated Depreciation Disclosure [Abstract]

Schedule III- Real Estate and Accumulated Depreciation

W. P. CAREY INC.

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION

December 31, 2016

(in thousands)

			Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (a)		Increase  (Decrease) in Net Investments (b)			Gross Amount at which  Carried at Close of Period (c)						Accumulated Depreciation (c)		Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances		Land		Buildings							Land		Buildings		Total
Real Estate Under Operating Leases
Industrial facilities in Erlanger, KY	$	10,794	$	1,526	$	21,427	$	2,966	$	141		$	1,526	$	24,534	$	26,060	$	12,048	1979; 1987	Jan. 1998	40 yrs.
Industrial facilities in Thurmont, MD and Farmington, NY	—		729		5,903		—		—			729		5,903		6,632		1,057		1964; 1983	Jan. 1998	15 yrs.
Retail facility in Montgomery, AL	—		855		6,762		277		(6,978		)	142		774		916		490		1987	Jan. 1998	40 yrs.
Warehouse facilities in Anchorage, AK and Commerce, CA	—		4,905		11,898		—		12			4,905		11,910		16,815		4,018		1948; 1975	Jan. 1998	40 yrs.
Industrial facility in Toledo, OH	—		224		2,408		—		—			224		2,408		2,632		1,405		1966	Jan. 1998	40 yrs.
Industrial facility in Goshen, IN	—		239		940		—		—			239		940		1,179		321		1973	Jan. 1998	40 yrs.
Office facility in Raleigh, NC	—		1,638		2,844		187		(2,554		)	828		1,287		2,115		737		1983	Jan. 1998	20 yrs.
Office facility in King of Prussia, PA	—		1,219		6,283		1,295		—			1,219		7,578		8,797		3,445		1968	Jan. 1998	40 yrs.
Industrial facility in Pinconning, MI	—		32		1,692		—		—			32		1,692		1,724		804		1948	Jan. 1998	40 yrs.
Industrial facilities in San Fernando, CA	6,466		2,052		5,322		—		(1,889		)	1,494		3,991		5,485		1,913		1962; 1979	Jan. 1998	40 yrs.
Retail facilities in several cities in the following states: Alabama, Florida, Georgia, Illinois, Louisiana, Missouri, New Mexico, North Carolina, South Carolina, Tennessee, and Texas	—		9,382		—		238		12,618			9,025		13,213		22,238		1,779		Various	Jan. 1998	15 yrs.
Land in Glendora, CA	—		1,135		—		—		17			1,152		—		1,152		—		N/A	Jan. 1998	N/A
Warehouse facility in Doraville, GA	—		3,288		9,864		15,374		(11,409		)	3,288		13,829		17,117		58		2016	Jan. 1998	40 yrs.
Office facility in Collierville, TN and warehouse facility in Corpus Christi, TX	47,006		3,490		72,497		—		(15,609		)	288		60,090		60,378		11,877		1989; 1999	Jan. 1998	40 yrs.
Land in Irving and Houston, TX	—		9,795		—		—		—			9,795		—		9,795		—		N/A	Jan. 1998	N/A
Industrial facility in Chandler, AZ	8,984		5,035		18,957		7,435		541			5,035		26,933		31,968		12,102		1989	Jan. 1998	40 yrs.
Office facility in Bridgeton, MO	—		842		4,762		2,523		71			842		7,356		8,198		2,886		1972	Jan. 1998	40 yrs.
Retail facilities in Drayton Plains, MI and Citrus Heights, CA	—		1,039		4,788		236		193			1,039		5,217		6,256		1,576		1972	Jan. 1998	35 yrs.
Warehouse facility in Memphis, TN	—		1,882		3,973		294		(3,892		)	328		1,929		2,257		942		1969	Jan. 1998	15 yrs.
Retail facility in Bellevue, WA	—		4,125		11,812		393		(123		)	4,371		11,836		16,207		5,495		1994	Apr. 1998	40 yrs.
Warehouse facilities in Houston, TX	—		3,260		22,574		1,628		(26,145		)	211		1,106		1,317		268		1982	Jun. 1998	40 yrs.
Office facility in Rio Rancho, NM	—		1,190		9,353		3,016		—			2,287		11,272		13,559		4,888		1999	Jul. 1998	40 yrs.
Office facility in Moorestown, NJ	—		351		5,981		1,516		43			351		7,540		7,891		3,637		1964	Feb. 1999	40 yrs.
Office facility in Illkirch, France	6,993		—		18,520		6		(4,352		)	—		14,174		14,174		9,325		2001	Dec. 2001	40 yrs.
Industrial facilities in Lenexa, KS and Winston-Salem, NC	—		1,860		12,539		2,875		(1,135		)	1,725		14,414		16,139		4,731		1968; 1980	Sep. 2002	40 yrs.

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

		Initial Cost to Company		Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Office facilities in Playa Vista and Venice, CA	45,301	2,032	10,152	52,817	1		5,889	59,113	65,002	9,967	1991; 1999	Sep. 2004; Sep. 2012	40 yrs.
Warehouse facility in Greenfield, IN	—	2,807	10,335	223	(8,383	)	967	4,015	4,982	1,426	1995	Sep. 2004	40 yrs.
Industrial facility in Scottsdale, AZ	—	586	46	—	—		586	46	632	14	1988	Sep. 2004	40 yrs.
Retail facility in Hot Springs, AR	—	850	2,939	2	(2,614	)	—	1,177	1,177	362	1985	Sep. 2004	40 yrs.
Warehouse facilities in Apopka, FL	—	362	10,855	920	(155	)	337	11,645	11,982	3,335	1969	Sep. 2004	40 yrs.
Land in San Leandro, CA	—	1,532	—	—	—		1,532	—	1,532	—	N/A	Dec. 2006	N/A
Fitness facility in Austin, TX	2,466	1,725	5,168	—	—		1,725	5,168	6,893	1,829	1995	Dec. 2006	29 yrs.
Retail facility in Wroclaw, Poland	6,188	3,600	10,306	—	(4,373	)	2,636	6,897	9,533	1,554	2007	Dec. 2007	40 yrs.
Office facility in Fort Worth, TX	31,081	4,600	37,580	—	—		4,600	37,580	42,180	6,499	2003	Feb. 2010	40 yrs.
Warehouse facility in Mallorca, Spain	—	11,109	12,636	—	(2,791	)	9,785	11,169	20,954	1,835	2008	Jun. 2010	40 yrs.
Retail facilities in Florence, AL; Snellville, GA; Concord, NC; Rockport, TX; and Virginia Beach, VA	21,984	5,646	12,367	—	—		5,646	12,367	18,013	1,412	2005; 2007	Sep. 2012	40 yrs.
Hotels in Irvine, Sacramento, and San Diego, CA; Orlando, FL; Des Plaines, IL; Indianapolis, IN; Louisville, KY; Linthicum Heights, MD; Newark, NJ; Albuquerque, NM; and Spokane, WA	135,299	32,680	198,999	—	—		32,680	198,999	231,679	23,301	1989; 1990	Sep. 2012	34 - 37 yrs.
Industrial facilities in Auburn, IN; Clinton Township, MI; and Bluffton, OH	7,310	4,403	20,298	—	(3,870	)	2,589	18,242	20,831	2,082	1968; 1975; 1995	Sep. 2012; Jan. 2014	30 yrs.
Land in Irvine, CA	1,619	4,173	—	—	—		4,173	—	4,173	—	N/A	Sep. 2012	N/A
Industrial facility in Alpharetta, GA	7,014	2,198	6,349	1,248	—		2,198	7,597	9,795	921	1997	Sep. 2012	30 yrs.
Office facility in Clinton, NJ	21,952	2,866	34,834	—	—		2,866	34,834	37,700	4,943	1987	Sep. 2012	30 yrs.
Office facilities in St. Petersburg, FL	—	3,280	24,627	—	—		3,280	24,627	27,907	3,483	1996; 1999	Sep. 2012	30 yrs.
Movie theater in Baton Rouge, LA	—	4,168	5,724	—	—		4,168	5,724	9,892	813	2003	Sep. 2012	30 yrs.
Industrial and office facility in San Diego, CA	—	7,804	16,729	1,725	—		7,804	18,454	26,258	2,774	2002	Sep. 2012	30 yrs.
Industrial facility in Richmond, CA	—	895	1,953	—	—		895	1,953	2,848	277	1999	Sep. 2012	30 yrs.
Warehouse facilities in Kingman, AZ; Woodland, CA; Jonesboro, GA; Kansas City, MO; Springfield, OR; Fogelsville, PA; and Corsicana, TX	56,061	16,386	84,668	—	—		16,386	84,668	101,054	11,916	Various	Sep. 2012	30 yrs.
Industrial facilities in Orlando, FL; Rocky Mount, NC; and Lewisville, TX	—	2,163	17,715	—	—		2,163	17,715	19,878	2,514	Various	Sep. 2012	30 yrs.
Industrial facilities in Chattanooga, TN	—	558	5,923	—	—		558	5,923	6,481	831	1974; 1989	Sep. 2012	30 yrs.

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

				Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
		Initial Cost to Company
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Industrial facility in Mooresville, NC	4,536	756	9,775	—	—		756	9,775	10,531	1,368	1997	Sep. 2012	30 yrs.
Industrial facility in McCalla, AL	—	960	14,472	7,466	—		2,076	20,822	22,898	3,337	2004	Sep. 2012	31 yrs.
Office facility in Lower Makefield Township, PA	9,052	1,726	12,781	—	—		1,726	12,781	14,507	1,784	2002	Sep. 2012	30 yrs.
Industrial facility in Fort Smith, AZ	—	1,063	6,159	—	—		1,063	6,159	7,222	853	1982	Sep. 2012	30 yrs.
Retail facilities in Greenwood, IN and Buffalo, NY	8,176	—	19,990	—	—		—	19,990	19,990	2,738	2000; 2003	Sep. 2012	30 - 31 yrs.
Industrial facilities in Bowling Green, KY and Jackson, TN	6,004	1,492	8,182	—	—		1,492	8,182	9,674	1,130	1989; 1995	Sep. 2012	31 yrs.
Education facilities in Avondale, AZ; Rancho Cucamonga, CA; Glendale Heights, IL; and Exton, PA	30,593	14,006	33,683	—	(1,961	)	12,045	33,683	45,728	4,480	1988; 2004	Sep. 2012	31 - 32 yrs.
Industrial facilities in St. Petersburg, FL; Buffalo Grove, IL; West Lafayette, IN; Excelsior Springs, MO; and North Versailles, PA	9,131	6,559	19,078	—	—		6,559	19,078	25,637	2,613	Various	Sep. 2012	31 yrs.
Industrial facilities in Tolleson, AZ; Alsip, IL; and Solvay, NY	11,285	6,080	23,424	—	—		6,080	23,424	29,504	3,183	1990; 1994; 2000	Sep. 2012	31 yrs.
Land in Kahl, Germany	—	6,694	—	—	(1,207	)	5,487	—	5,487	—	N/A	Sep. 2012	N/A
Fitness facilities in Englewood, CO; Memphis TN; and Bedford, TX	7,210	4,877	4,258	5,169	4,823		4,877	14,250	19,127	1,462	1990; 1995; 2001	Sep. 2012	31 yrs.
Office facility in Mons, Belgium	7,061	1,505	6,026	653	(1,504	)	1,234	5,446	6,680	697	1982	Sep. 2012	32 yrs.
Warehouse facilities in Oceanside, CA and Concordville, PA	3,354	3,333	8,270	—	—		3,333	8,270	11,603	1,127	1989; 1996	Sep. 2012	31 yrs.
Self-storage facilities located throughout the United States	—	74,551	319,186	—	(50	)	74,501	319,186	393,687	43,024	Various	Sep. 2012	31 yrs.
Warehouse facility in La Vista, NE	20,675	4,196	23,148	—	—		4,196	23,148	27,344	2,941	2005	Sep. 2012	33 yrs.
Office facility in Pleasanton, CA	9,584	3,675	7,468	—	—		3,675	7,468	11,143	1,004	2000	Sep. 2012	31 yrs.
Office facility in San Marcos, TX	—	440	688	—	—		440	688	1,128	92	2000	Sep. 2012	31 yrs.
Office facilities in Espoo, Finland	31,853	40,555	15,662	—	(24,614	)	23,499	8,104	31,603	377	1972; 1975	Sep. 2012	31 yrs.
Office facility in Chicago, IL	13,753	2,169	19,010	—	—		2,169	19,010	21,179	2,536	1910	Sep. 2012	31 yrs.
Industrial facility in Louisville, CO	7,201	5,342	8,786	1,849	—		5,481	10,496	15,977	1,745	1993	Sep. 2012	31 yrs.
Industrial facilities in Hollywood and Orlando, FL	—	3,639	1,269	—	—		3,639	1,269	4,908	169	1996	Sep. 2012	31 yrs.
Warehouse facility in Golden, CO	—	808	4,304	77	—		808	4,381	5,189	641	1998	Sep. 2012	30 yrs.
Industrial facility in Texarkana, TX	—	1,755	4,493	—	(2,783	)	216	3,249	3,465	433	1997	Sep. 2012	31 yrs.
Industrial facility in Eugene, OR	4,360	2,286	3,783	—	—		2,286	3,783	6,069	505	1980	Sep. 2012	31 yrs.
Industrial facility in South Jordan, UT	11,940	2,183	11,340	—	—		2,183	11,340	13,523	1,513	1995	Sep. 2012	31 yrs.
Warehouse facility in Ennis, TX	2,232	478	4,087	145	—		478	4,232	4,710	667	1989	Sep. 2012	31 yrs.

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

				Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
		Initial Cost to Company
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Retail facility in Braintree, MA	2,958	2,409	—	6,184	(1,403	)	1,006	6,184	7,190	588	1994	Sep. 2012	30 yrs.
Office facility in Paris, France	53,713	23,387	43,450	—	(12,053	)	19,170	35,614	54,784	4,629	1975	Sep. 2012	32 yrs.
Retail facilities in Bydgoszcz, Czestochowa, Jablonna, Katowice, Kielce, Lodz, Lubin, Olsztyn, Opole, Plock, Rybnik, Walbrzych, and Warsaw, Poland	107,618	26,564	72,866	—	(17,930	)	21,774	59,726	81,500	10,663	Various	Sep. 2012	23 - 34 yrs.
Industrial facility in Laupheim, Germany	—	2,072	8,339	—	(1,877	)	1,699	6,835	8,534	1,456	1960	Sep. 2012	20 yrs.
Industrial facilities in Danbury, CT and Bedford, MA	9,078	3,519	16,329	—	—		3,519	16,329	19,848	2,324	1965; 1980	Sep. 2012	29 yrs.
Warehouse facilities in Venlo, Netherlands	—	10,154	18,590	—	(5,443	)	8,231	15,070	23,301	1,631	1998; 1999	Apr. 2013	35 yrs.
Industrial and office facility in Tampere, Finland	—	2,309	37,153	—	(7,554	)	1,843	30,065	31,908	3,442	2012	Jun. 2013	40 yrs.
Office facility in Quincy, MA	—	2,316	21,537	—	—		2,316	21,537	23,853	2,073	1989	Jun. 2013	40 yrs.
Office facility in Salford, United Kingdom	—	—	30,012	—	(6,392	)	—	23,620	23,620	2,022	1997	Sep. 2013	40 yrs.
Office facility in Lone Tree, CO	—	4,761	28,864	2,822	—		4,761	31,686	36,447	2,713	2001	Nov. 2013	40 yrs.
Office facility in Mönchengladbach, Germany	27,988	2,154	6,917	44,205	(3,449	)	2,024	47,803	49,827	1,631	2015	Dec. 2013	40 yrs.
Fitness facility in Houston, TX	3,172	2,430	2,270	—	—		2,430	2,270	4,700	295	1995	Jan. 2014	23 yrs.
Fitness facility in St. Charles, MO	—	1,966	1,368	80	—		1,966	1,448	3,414	154	1987	Jan. 2014	27 yrs.
Fitness facility in Salt Lake City, UT	2,814	856	2,804	—	—		856	2,804	3,660	316	1999	Jan. 2014	26 yrs.
Land in Scottsdale, AZ	10,316	22,300	—	—	—		22,300	—	22,300	—	N/A	Jan. 2014	N/A
Industrial facility in Aurora, CO	2,952	737	2,609	—	—		737	2,609	3,346	241	1985	Jan. 2014	32 yrs.
Warehouse facility in Burlington, NJ	—	3,989	6,213	377	—		3,989	6,590	10,579	733	1999	Jan. 2014	26 yrs.
Industrial facility in Albuquerque, NM	—	2,467	3,476	606	—		2,467	4,082	6,549	429	1993	Jan. 2014	27 yrs.
Industrial facilities in North Salt Lake, UT and Radford, VA	1,350	10,601	17,626	—	(14,477	)	4,963	8,787	13,750	979	1981; 1998	Jan. 2014	26 yrs.
Industrial facilities in Lexington, NC and Murrysville, PA	—	2,185	12,058	—	2,713		1,608	15,348	16,956	1,613	1940; 1995	Jan. 2014	28 yrs.
Land in Welcome, NC	—	980	11,230	—	(11,724	)	486	—	486	—	N/A	Jan. 2014	N/A
Industrial facilities in Evansville, IN; Lawrence, KS; and Baltimore, MD	25,292	4,005	44,192	—	—		4,005	44,192	48,197	5,405	1911; 1967; 1982	Jan. 2014	24 yrs.
Industrial facilities in Colton, CA; Bonner Springs, KS; and Dallas, TX and land in Eagan, MN	19,214	8,451	25,457	—	298		8,451	25,755	34,206	2,615	1978; 1979; 1986	Jan. 2014	17 - 34 yrs.
Retail facility in Torrance, CA	24,215	8,412	12,241	1,213	(77	)	8,335	13,454	21,789	1,573	1973	Jan. 2014	25 yrs.
Office facility in Houston, TX	3,393	6,578	424	223	—		6,578	647	7,225	81	1978	Jan. 2014	27 yrs.
Land in Doncaster, United Kingdom	—	4,257	4,248	—	(7,893	)	612	—	612	—	N/A	Jan. 2014	N/A

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

		Initial Cost to Company		Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Warehouse facility in Norwich, CT	10,695	3,885	21,342	—	2		3,885	21,344	25,229	2,203	1960	Jan. 2014	28 yrs.
Warehouse facility in Norwich, CT	—	1,437	9,669	—	—		1,437	9,669	11,106	998	2005	Jan. 2014	28 yrs.
Retail facility in Johnstown, PA and warehouse facility in Whitehall, PA	—	7,435	9,093	—	17		7,435	9,110	16,545	1,151	1986; 1992	Jan. 2014	23 yrs.
Retail facilities in York, PA	8,603	3,776	10,092	—	—		3,776	10,092	13,868	949	1992; 2005	Jan. 2014	26 - 34 yrs.
Industrial facility in Pittsburgh, PA	—	1,151	10,938	—	—		1,151	10,938	12,089	1,288	1991	Jan. 2014	25 yrs.
Warehouse facilities in Atlanta, GA and Elkwood, VA	—	5,356	4,121	—	(2,104	)	4,284	3,089	7,373	324	1975	Jan. 2014	28 yrs.
Warehouse facility in Harrisburg, NC	—	1,753	5,840	—	(111	)	1,642	5,840	7,482	653	2000	Jan. 2014	26 yrs.
Education facility in Nashville, TN	5,240	1,098	7,043	2,611	—		1,098	9,654	10,752	799	1988	Jan. 2014	31 yrs.
Industrial facility in Chandler, AZ; industrial, office, and warehouse facility in Englewood, CO; and land in Englewood, CO	4,989	4,306	7,235	—	3		4,306	7,238	11,544	698	1978; 1987	Jan. 2014	30 yrs.
Industrial facility in Cynthiana, KY	2,358	1,274	3,505	480	(107	)	1,274	3,878	5,152	363	1967	Jan. 2014	31 yrs.
Industrial facility in Columbia, SC	—	2,843	11,886	—	—		2,843	11,886	14,729	1,534	1962	Jan. 2014	23 yrs.
Land in Midlothian, VA	—	2,824	—	—	—		2,824	—	2,824	—	N/A	Jan. 2014	N/A
Net-lease student housing facility in Laramie, WY	15,626	1,966	18,896	—	—		1,966	18,896	20,862	2,698	2007	Jan. 2014	33 yrs.
Office facility in Greenville, SC	8,477	562	7,916	—	43		562	7,959	8,521	925	1972	Jan. 2014	25 yrs.
Warehouse facilities in Mendota, IL; Toppenish and Yakima, WA; and Plover, WI	—	1,444	21,208	—	—		1,444	21,208	22,652	2,758	1996	Jan. 2014	23 yrs.
Industrial facility in Allen, TX and office facility in Sunnyvale, CA	10,243	9,297	24,086	—	—		9,297	24,086	33,383	2,271	1981; 1997	Jan. 2014	31 yrs.
Industrial facilities in Hampton, NH	8,843	8,990	7,362	—	—		8,990	7,362	16,352	708	1976	Jan. 2014	30 yrs.
Industrial facilities located throughout France	—	36,306	5,212	—	(9,367	)	28,115	4,036	32,151	514	Various	Jan. 2014	23 yrs.
Retail facility in Fairfax, VA	4,944	3,402	16,353	—	—		3,402	16,353	19,755	1,810	1998	Jan. 2014	26 yrs.
Retail facility in Lombard, IL	4,944	5,087	8,578	—	—		5,087	8,578	13,665	950	1999	Jan. 2014	26 yrs.
Warehouse facility in Plainfield, IN	19,958	1,578	29,415	—	—		1,578	29,415	30,993	2,828	1997	Jan. 2014	30 yrs.
Retail facility in Kennesaw, GA	3,719	2,849	6,180	—	—		2,849	6,180	9,029	684	1999	Jan. 2014	26 yrs.
Retail facility in Leawood, KS	8,782	1,487	13,417	—	—		1,487	13,417	14,904	1,485	1997	Jan. 2014	26 yrs.
Office facility in Tolland, CT	7,955	1,817	5,709	—	11		1,817	5,720	7,537	608	1968	Jan. 2014	28 yrs.
Warehouse facilities in Lincolnton, NC and Mauldin, SC	9,734	1,962	9,247	—	—		1,962	9,247	11,209	960	1988; 1996	Jan. 2014	28 yrs.
Retail facilities located throughout Germany	257,606	81,109	153,927	—	(53,029	)	62,809	119,198	182,007	12,254	Various	Jan. 2014	Various

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

		Initial Cost to Company		Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Office facility in Southfield, MI	—	1,726	4,856	89	—		1,726	4,945	6,671	462	1985	Jan. 2014	31 yrs.
Office facility in The Woodlands, TX	19,882	3,204	24,997	—	—		3,204	24,997	28,201	2,314	1997	Jan. 2014	32 yrs.
Industrial facilities in Shah Alam, Malaysia	4,447	—	10,429	—	(2,651	)	—	7,778	7,778	760	1992	Jan. 2014	30 yrs.
Warehouse facilities in Lam Luk Ka and Bang Pa-in, Thailand	9,717	13,054	19,497	—	(2,506	)	12,049	17,996	30,045	1,684	2003; 2005	Jan. 2014	31 yrs.
Warehouse facilities in Valdosta, GA and Johnson City, TN	8,015	1,080	14,998	—	—		1,080	14,998	16,078	1,645	1978; 1998	Jan. 2014	27 yrs.
Industrial facility in Amherst, NY	7,959	674	7,971	—	—		674	7,971	8,645	1,037	1984	Jan. 2014	23 yrs.
Industrial and warehouse facilities in Westfield, MA	—	1,922	9,755	5,146	9		1,922	14,910	16,832	1,126	1954; 1997	Jan. 2014	28 yrs.
Warehouse facilities in Kottka, Finland	—	—	8,546	—	(1,928	)	—	6,618	6,618	884	1999; 2001	Jan. 2014	21 - 23 yrs.
Office facility in Bloomington, MN	—	2,942	7,155	—	—		2,942	7,155	10,097	736	1988	Jan. 2014	28 yrs.
Warehouse facility in Gorinchem, Netherlands	3,505	1,143	5,648	—	(1,532	)	885	4,374	5,259	450	1995	Jan. 2014	28 yrs.
Retail facility in Cresskill, NJ	—	2,366	5,482	—	19		2,366	5,501	7,867	515	1975	Jan. 2014	31 yrs.
Retail facility in Livingston, NJ	5,186	2,932	2,001	—	14		2,932	2,015	4,947	216	1966	Jan. 2014	27 yrs.
Retail facility in Maplewood, NJ	—	845	647	—	4		845	651	1,496	70	1954	Jan. 2014	27 yrs.
Retail facility in Montclair, NJ	—	1,905	1,403	—	6		1,905	1,409	3,314	151	1950	Jan. 2014	27 yrs.
Retail facility in Morristown, NJ	—	3,258	8,352	—	26		3,258	8,378	11,636	899	1973	Jan. 2014	27 yrs.
Retail facility in Summit, NJ	—	1,228	1,465	—	8		1,228	1,473	2,701	158	1950	Jan. 2014	27 yrs.
Industrial and office facilities in Bunde, Dransfeld, and Wolfach, Germany	—	2,789	8,750	—	(2,564	)	2,160	6,815	8,975	816	1898; 1956; 1978	Jan. 2014	24 yrs.
Industrial facilities in Georgetown, TX and Woodland, WA	—	965	4,113	—	—		965	4,113	5,078	356	1998; 2001	Jan. 2014	33 - 35 yrs.
Education facilities in Union, NJ; Allentown and Philadelphia, PA; and Grand Prairie, TX	—	5,365	7,845	—	5		5,365	7,850	13,215	822	Various	Jan. 2014	28 yrs.
Industrial facility in Ylämylly, Finland	6,554	1,669	6,034	—	(1,738	)	1,292	4,673	5,965	400	1999	Jan. 2014	34 yrs.
Industrial facility in Salisbury, NC	6,132	1,499	8,185	—	—		1,499	8,185	9,684	860	2000	Jan. 2014	28 yrs.
Industrial facilities in Solon and Twinsburg, OH and office facility in Plymouth, MI	3,671	2,831	10,565	—	—		2,831	10,565	13,396	1,133	1970; 1991; 1995	Jan. 2014	26 - 27 yrs.
Industrial facility in Cambridge, Canada	—	1,849	7,371	—	(1,562	)	1,536	6,122	7,658	571	2001	Jan. 2014	31 yrs.
Industrial facilities in Peru, IL; Huber Heights, Lima, and Sheffield, OH; and Lebanon, TN	11,303	2,962	17,832	—	—		2,962	17,832	20,794	1,664	Various	Jan. 2014	31 yrs.

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

		Initial Cost to Company		Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Industrial facility in Ramos Arizpe, Mexico	—	1,059	2,886	—	—		1,059	2,886	3,945	269	2000	Jan. 2014	31 yrs.
Industrial facilities in Salt Lake City, UT	—	2,783	3,773	—	—		2,783	3,773	6,556	352	1983; 2002	Jan. 2014	31 - 33 yrs.
Net-lease student housing facility in Blairsville, PA	11,321	1,631	23,163	—	—		1,631	23,163	24,794	3,052	2005	Jan. 2014	33 yrs.
Industrial facility in Nashville, TN	—	1,078	5,619	—	—		1,078	5,619	6,697	768	1962	Jan. 2014	21 yrs.
Office facility in Lafayette, LA	1,680	1,048	1,507	—	—		1,048	1,507	2,555	162	1995	Jan. 2014	27 yrs.
Warehouse facilities in Atlanta, Doraville, and Rockmart, GA	—	6,488	77,192	—	—		6,488	77,192	83,680	7,889	1959; 1962; 1991	Jan. 2014	23 - 33 yrs.
Warehouse facilities in Flora, MS and Muskogee, OK	3,342	554	4,353	—	—		554	4,353	4,907	388	1992; 2002	Jan. 2014	33 yrs.
Industrial facility in Richmond, MO	4,511	2,211	8,505	—	—		2,211	8,505	10,716	899	1996	Jan. 2014	28 yrs.
Warehouse facility in Dallas, TX	5,860	468	8,042	—	—		468	8,042	8,510	994	1997	Jan. 2014	24 yrs.
Industrial facility in Tuusula, Finland	—	6,173	10,321	—	(3,721	)	4,781	7,992	12,773	914	1975	Jan. 2014	26 yrs.
Office facility in Turku, Finland	22,030	5,343	34,106	—	(8,901	)	4,137	26,411	30,548	2,767	1981	Jan. 2014	28 yrs.
Industrial facility in Turku, Finland	4,046	1,105	10,243	—	(2,546	)	855	7,947	8,802	836	1981	Jan. 2014	28 yrs.
Industrial facility in Baraboo, WI	—	917	10,663	—	—		917	10,663	11,580	2,375	1988	Jan. 2014	13 yrs.
Warehouse facility in Phoenix, AZ	18,485	6,747	21,352	—	—		6,747	21,352	28,099	2,243	1996	Jan. 2014	28 yrs.
Land in Calgary, Canada	—	3,721	—	—	(631	)	3,090	—	3,090	—	N/A	Jan. 2014	N/A
Industrial facilities in Sandersville, GA; Erwin, TN; and Gainesville, TX	2,204	955	4,779	—	—		955	4,779	5,734	449	1950; 1986; 1996	Jan. 2014	31 yrs.
Industrial facility in Buffalo Grove, IL	6,771	1,492	12,233	—	—		1,492	12,233	13,725	1,154	1996	Jan. 2014	31 yrs.
Warehouse facility in Spanish Fork, UT	6,842	991	7,901	—	—		991	7,901	8,892	705	2001	Jan. 2014	33 yrs.
Industrial facilities in West Jordan, UT and Tacoma, WA; office facility in Eugene, OR; and warehouse facility in Perris, CA	—	8,989	5,435	—	8		8,989	5,443	14,432	565	Various	Jan. 2014	28 yrs.
Office facility in Carlsbad, CA	—	3,230	5,492	—	—		3,230	5,492	8,722	679	1999	Jan. 2014	24 yrs.
Land in Pensacola, FL	—	1,746	—	—	—		1,746	—	1,746	—	N/A	Jan. 2014	N/A
Movie theater in Port St. Lucie, FL	—	4,654	2,576	—	—		4,654	2,576	7,230	275	2000	Jan. 2014	27 yrs.
Movie theater in Hickory Creek, TX	—	1,693	3,342	—	—		1,693	3,342	5,035	364	2000	Jan. 2014	27 yrs.
Industrial facility in Nurieux-Volognat, France	—	121	5,328	—	(1,136	)	93	4,220	4,313	381	2000	Jan. 2014	32 yrs.
Warehouse facility in Suwanee, GA	14,981	2,330	8,406	—	—		2,330	8,406	10,736	725	1995	Jan. 2014	34 yrs.
Retail facilities in Wichita, KS and Oklahoma City, OK and warehouse facility in Wichita, KS	7,057	1,878	8,579	—	—		1,878	8,579	10,457	1,068	1954; 1975; 1984	Jan. 2014	24 yrs.

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

		Initial Cost to Company		Cost Capitalized Subsequent to Acquisition (a)	Increase  (Decrease) in Net Investments (b)		Gross Amount at which  Carried at Close of Period (c)			Accumulated Depreciation (c)	Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances	Land	Buildings				Land	Buildings	Total
Industrial facilities in Fort Dodge, IA and Menomonie and Oconomowoc, WI	8,350	1,403	11,098	—	—		1,403	11,098	12,501	1,990	1996	Jan. 2014	16 yrs.
Industrial facility in Mesa, AZ	4,528	2,888	4,282	—	—		2,888	4,282	7,170	458	1991	Jan. 2014	27 yrs.
Industrial facility in North Amityville, NY	7,446	3,486	11,413	—	—		3,486	11,413	14,899	1,280	1981	Jan. 2014	26 yrs.
Warehouse facilities in Greenville, SC	—	567	10,217	—	15		567	10,232	10,799	1,448	1960	Jan. 2014	21 yrs.
Industrial facility in Fort Collins, CO	—	821	7,236	—	—		821	7,236	8,057	643	1993	Jan. 2014	33 yrs.
Land in Elk Grove Village, IL	1,650	4,037	—	—	—		4,037	—	4,037	—	N/A	Jan. 2014	N/A
Office facility in Washington, MI	—	4,085	7,496	—	—		4,085	7,496	11,581	667	1990	Jan. 2014	33 yrs.
Office facility in Houston, TX	—	522	7,448	227	—		522	7,675	8,197	838	1999	Jan. 2014	27 yrs.
Industrial facilities in Conroe, Odessa, and Weimar, TX and industrial and office facility in Houston, TX	6,165	4,049	13,021	—	133		4,049	13,154	17,203	2,054	Various	Jan. 2014	12 - 22 yrs.
Education facility in Sacramento, CA	26,898	—	13,715	—	—		—	13,715	13,715	1,197	2005	Jan. 2014	34 yrs.
Industrial facilities in City of Industry, CA; Chelmsford, MA; and Lancaster, TX	—	5,138	8,387	—	43		5,138	8,430	13,568	887	1969; 1974; 1984	Jan. 2014	27 yrs.
Office facility in Tinton Falls, NJ	—	1,958	7,993	13	—		1,958	8,006	9,964	763	2001	Jan. 2014	31 yrs.
Industrial facility in Woodland, WA	—	707	1,562	—	—		707	1,562	2,269	129	2009	Jan. 2014	35 yrs.
Warehouse facilities in Gyál and Herceghalom, Hungary	31,993	14,601	21,915	—	(8,239	)	11,306	16,971	28,277	2,423	2002; 2004	Jan. 2014	21 yrs.
Industrial facility in Windsor, CT	—	453	637	3,422	—		453	4,059	4,512	56	1999	Jan. 2014	33 yrs.
Industrial facility in Aurora, CO	2,743	574	3,999	—	—		574	3,999	4,573	297	2012	Jan. 2014	40 yrs.
Office facility in Chandler, AZ	—	5,318	27,551	—	—		5,318	27,551	32,869	2,203	2000	Mar. 2014	40 yrs.
Warehouse facility in University Park, IL	—	7,962	32,756	221	—		7,962	32,977	40,939	2,486	2008	May 2014	40 yrs.
Office facility in Stavanger, Norway	—	10,296	91,744	—	(28,513	)	7,490	66,037	73,527	4,037	1975	Aug. 2014	40 yrs.
Office facility in Westborough, MA	—	3,409	37,914	—	—		3,409	37,914	41,323	2,490	1992	Aug. 2014	40 yrs.
Office facility in Andover, MA	—	3,980	45,120	—	—		3,980	45,120	49,100	2,684	2013	Oct. 2014	40 yrs.
Office facility in Newport, United Kingdom	—	—	22,587	—	(5,293	)	—	17,294	17,294	981	2014	Oct. 2014	40 yrs.
Industrial facilities located throughout Australia	—	30,455	94,724	10,007	(22,044	)	24,974	88,168	113,142	11,235	Various	Oct. 2014	Various
Industrial facility in Lewisburg, OH	—	1,627	13,721	—	—		1,627	13,721	15,348	834	2014	Nov. 2014	40 yrs.
Industrial facility in Opole, Poland	—	2,151	21,438	—	(3,591	)	1,824	18,174	19,998	1,094	2014	Dec. 2014	38 yrs.
Office facilities located throughout Spain	—	51,778	257,624	10	(42,401	)	47,382	219,629	267,011	11,612	Various	Dec. 2014	Various

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

			Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (a)		Increase  (Decrease) in Net Investments (b)			Gross Amount at which  Carried at Close of Period (c)						Accumulated Depreciation (c)		Date of Construction	Date Acquired	Life on which Depreciation in Latest Statement of  Income is Computed
Description	Encumbrances		Land		Buildings							Land		Buildings		Total
Retail facilities located throughout the United Kingdom	—		66,319		230,113		—		(55,893		)	53,814		186,725		240,539		11,936		Various	Jan. 2015	20 - 40 yrs.
Warehouse facility in Rotterdam, Netherlands	—		—		33,935		—		(2,417		)	—		31,518		31,518		1,594		2014	Feb. 2015	40 yrs.
Retail facility in Bad Fischau, Austria	—		2,855		18,829		—		(472		)	2,793		18,419		21,212		1,039		1998	Apr. 2015	40 yrs.
Industrial facility in Oskarshamn, Sweden	—		3,090		18,262		—		(1,886		)	2,817		16,649		19,466		706		2015	Jun. 2015	40 yrs.
Office facility in Sunderland, United Kingdom	—		2,912		30,140		—		(6,940		)	2,300		23,812		26,112		971		2007	Aug. 2015	40 yrs.
Industrial facilities in Gersthofen and Senden, Germany and Leopoldsdorf, Austria	—		9,449		15,838		—		(1,343		)	8,947		14,997		23,944		724		2008; 2010	Aug. 2015	40 yrs.
Hotels in Clive, IA; Baton Rouge, LA; St. Louis, MO; Greensboro, NC; Mount Laurel, NJ; and Fort Worth, TX	—		—		49,190		—		—			—		49,190		49,190		1,760		1988; 1989; 1990	Oct. 2015	38 - 40 yrs.
Retail facilities in Almere, Amsterdam, Eindhoven, Houten, Nieuwegein, Utrecht, Veghel, and Zwaag, Netherlands	—		5,698		38,130		79		(817		)	5,592		37,498		43,090		1,325		Various	Nov. 2015	30 - 40 yrs.
Office facility in Irvine, CA	—		7,626		16,137		—		—			7,626		16,137		23,763		435		1977	Dec. 2015	40 yrs.
Education facility in Windermere, FL	—		5,090		34,721		—		—			5,090		34,721		39,811		1,234		1998	Apr. 2016	38 yrs.
Industrial facilities located throughout the United States	—		66,845		87,575		—		—			66,845		87,575		154,420		4,891		Various	Apr. 2016	Various
Industrial facilities in North Dumfries, Ottawa, Saint-Eustache, Uxbridge, and Whitchurch-Stouffville, Canada	—		17,155		10,665		—		(3,686		)	14,292		9,842		24,134		703		Various	Apr. 2016	Various
Education facilities in Coconut Creek, FL and Houston, TX	—		15,550		83,862		—		—			15,550		83,862		99,412		1,688		1979; 1984	May 2016	37 - 40 yrs.
Office facility in Southfield, MI and warehouse facilities in London, KY and Gallatin, TN	—		3,585		17,254		—		—			3,585		17,254		20,839		72		1969; 1987; 2000	Nov. 2016	35 - 36 yrs.
Industrial facilities in Brampton, Toronto, and Vaughan, Canada	—		28,759		13,998		—		—			28,759		13,998		42,757		70		Various	Nov. 2016	28 - 35 yrs.
Industrial facilities in Queretaro and San Juan del Rio, Mexico	—		5,152		12,614		—		13			5,156		12,623		17,779		30		Various	Dec. 2016	28 - 40 yrs.
	$	1,586,581	$	1,252,460	$	4,215,721	$	190,568	$	(476,482	)	$	1,128,933	$	4,053,334	$	5,182,267	$	472,294

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

			Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (a)		Increase  (Decrease) in Net Investments (b)			Gross Amount at which Carried at Close of Period Total		Date of Construction	Date Acquired
Description	Encumbrances		Land		Buildings
Direct Financing Method
Retail facilities in Jacksonville and Panama City, Florida; Baton Rouge and Hammond, Louisiana; St. Peters, Missouri; and Kannapolis, Morgantown, and Shelby, North Carolina	$	—	$	—	$	16,416	$	—	$	(13,903	)	$	2,513	1984; 1985; 1986	Jan. 1998
Industrial facilities in Glendora, CA and Romulus, MI	—		454		13,251		9		(3,907		)	9,807		1950; 1970	Jan. 1998
Industrial facilities in Irving and Houston, TX	—		—		27,599		—		(3,976		)	23,623		1978	Jan. 1998
Retail facility in Freehold, NJ	7,897		—		17,067		—		(146		)	16,921		2004	Sep. 2012
Office facilities in Corpus Christi, Odessa, San Marcos, and Waco, TX	3,838		2,089		14,211		—		(455		)	15,845		1969; 1996; 2000	Sep. 2012
Retail facilities in Arnstadt, Borken, Bünde, Dorsten, Duisburg, Freiberg, Gütersloh, Leimbach-Kaiserro, Monheim, Oberhausen, Osnabrück, Rodewisch, Sankt Augustin, Schmalkalden, Stendal, and Wuppertal Germany	—		28,734		145,854		—		(31,861		)	142,727		Various	Sep. 2012
Warehouse facility in Brierley Hill, United Kingdom	—		2,147		12,357		—		(2,791		)	11,713		1996	Sep. 2012
Industrial and warehouse facility in Mesquite, TX	6,148		2,851		15,899		—		(1,468		)	17,282		1972	Sep. 2012
Industrial facility in Rochester, MN	3,645		881		17,039		—		(1,666		)	16,254		1997	Sep. 2012
Office facility in Irvine, CA	6,287		—		17,027		—		(823		)	16,204		1981	Sep. 2012
Industrial facility in Brownwood, TX	—		722		6,268		—		(1		)	6,989		1964	Sep. 2012
Office facility in Scottsdale, AZ	19,926		—		43,570		—		(494		)	43,076		1977	Jan. 2014
Retail facilities in El Paso and Fabens, TX	—		4,777		17,823		—		(17		)	22,583		Various	Jan. 2014
Industrial facility in Dallas, TX	—		3,190		10,010		—		62			13,262		1968	Jan. 2014
Industrial facility in Eagan, MN	6,938		—		11,548		—		(141		)	11,407		1975	Jan. 2014
Industrial facilities in Albemarle and Old Fort, NC; Holmesville, OH; and Springfield, TN	8,677		6,542		20,668		—		(1,360		)	25,850		Various	Jan. 2014
Movie theater in Midlothian, VA	—		—		16,546		—		166			16,712		2000	Jan. 2014
Industrial facilities located throughout France	—		—		27,270		—		(5,470		)	21,800		Various	Jan. 2014
Retail facility in Gronau, Germany	5,503		281		4,401		—		(1,056		)	3,626		1989	Jan. 2014
Industrial and office facility in Marktheidenfeld, Germany	—		1,629		22,396		—		(6,194		)	17,831		2002	Jan. 2014
Industrial and warehouse facility in Newbridge, United Kingdom	9,748		6,851		22,868		—		(8,140		)	21,579		1998	Jan. 2014
Education facility in Mooresville, NC	3,359		1,795		15,955		—		2			17,752		2002	Jan. 2014
Industrial facility in Mount Carmel, IL	—		135		3,265		—		(34		)	3,366		1896	Jan. 2014
Retail facility in Vantaa, Finland	—		5,291		15,522		—		(4,695		)	16,118		2004	Jan. 2014
Retail facility in Linköping, Sweden	—		1,484		9,402		—		(3,083		)	7,803		2004	Jan. 2014
Industrial facility in Calgary, Canada	—		—		7,076		—		(1,195		)	5,881		1965	Jan. 2014
Industrial facilities in Kearney, MO; Fair Bluff, NC; York, NE; Walbridge, OH; Middlesex Township, PA; Rocky Mount, VA; and Martinsburg, WV	9,880		5,780		40,860		—		(160		)	46,480		Various	Jan. 2014
Industrial and office facility in Leeds, United Kingdom	—		2,712		16,501		—		(17,569		)	1,644		1980	Jan. 2014
Movie theater in Pensacola, FL	—		—		13,034		—		(492		)	12,542		2001	Jan. 2014
Industrial facility in Monheim, Germany	—		2,939		7,379		—		(2,452		)	7,866		1992	Jan. 2014

SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION (Continued)

December 31, 2016

(in thousands)

			Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (a)		Increase  (Decrease) in Net Investments (b)			Gross Amount at which Carried at Close of Period Total		Date of Construction	Date Acquired
Description	Encumbrances		Land		Buildings
Industrial facility in Göppingen, Germany	—		10,717		60,120		—		(16,978		)	53,859		1930	Jan. 2014
Warehouse facility in Elk Grove Village, IL	3,216		—		7,863		—		1			7,864		1980	Jan. 2014
Industrial facility in Sankt Ingbert, Germany	—		2,786		26,902		—		(7,082		)	22,606		1960	Jan. 2014
Industrial facility in McKees Hill, Australia	—		283		2,978		—		(587		)	2,674		1980	Oct. 2014
	$	95,062	$	95,070	$	726,945	$	9	$	(137,965	)	$	684,059

			Initial Cost to Company						Costs  Capitalized Subsequent to Acquisition (a)		Increase  (Decrease) in Net Investments (b)		Gross Amount at which Carried  at Close of Period (c)												Life on which Depreciation in Latest Statement of Income is Computed
Description	Encumbrances		Land		Buildings		Personal Property						Land		Buildings		Personal Property		Total		Accumulated Depreciation(c)		Date of Construction	Date Acquired
Operating Real Estate – Hotels
Bloomington, MN	$	—	$	3,810	$	29,126	$	3,622	$	1,834	$	—	$	3,874	$	30,313	$	4,205	$	38,392	$	4,928	2008	Jan. 2014	34 yrs.
Memphis, TN	26,486		2,120		36,594		3,647		958		—		2,167		37,304		3,848		43,319		7,215		1985	Jan. 2014	22 yrs.
	$	26,486	$	5,930	$	65,720	$	7,269	$	2,792	$	—	$	6,041	$	67,617	$	8,053	$	81,711	$	12,143

__________

(a) Consists of the cost of improvements subsequent to acquisition and acquisition costs, including construction costs on build-to-suit transactions, legal fees, appraisal fees, title costs, and other related professional fees. For business combinations, transaction costs are excluded.

(b) The increase (decrease) in net investment was primarily due to (i) sales of properties, (ii) impairment charges, (iii) changes in foreign currency exchange rates, (iv) allowances for credit loss, and (v) the amortization of unearned income from net investments in direct financing leases, which produces a periodic rate of return that at times may be greater or less than lease payments received.

(c) A reconciliation of real estate and accumulated depreciation follows:

W. P. CAREY INC.

NOTES TO SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION

(in thousands)

	Reconciliation of Real Estate Subject to Operating Leases
	Years Ended December 31,
	2016			2015			2014
Beginning balance	$	5,308,211		$	4,976,685		$	2,506,804
Dispositions	(446,144		)	(19,597		)	(137,018		)
Additions	404,161			548,521			2,785,863
Foreign currency translation adjustment	(94,738		)	(181,064		)	(157,262		)
Impairment charges	(41,660		)	(25,773		)	(20,677		)
Reclassification from real estate under construction	28,989			55,362			—
Improvements	16,169			24,014			18,474
Reclassification from direct financing lease	9,740			—			13,663
Write-off of fully depreciated assets	(2,461		)	(6,443		)	—
Reclassification to assets held for sale	—			(63,494		)	(33,162		)
Ending balance	$	5,182,267		$	5,308,211		$	4,976,685

	Reconciliation of Accumulated Depreciation for Real Estate Subject to Operating Leases
	Years Ended December 31,
	2016			2015			2014
Beginning balance	$	372,735		$	253,627		$	168,076
Depreciation expense	142,432			137,144			112,758
Dispositions	(35,172		)	(1,566		)	(20,740		)
Foreign currency translation adjustment	(5,240		)	(6,159		)	(5,318		)
Write-off of fully depreciated assets	(2,461		)	(6,443		)	—
Reclassification to assets held for sale	—			(3,868		)	(1,149		)
Ending balance	$	472,294		$	372,735		$	253,627

	Reconciliation of Operating Real Estate
	Years Ended December 31,
	2016			2015			2014
Beginning balance	$	82,749		$	84,885		$	6,024
Dispositions	(3,188		)	(2,663		)	—
Improvements	1,542			527			438
Reclassification from real estate under construction	608			—			—
Additions	—			—			78,423
Ending balance	$	81,711		$	82,749		$	84,885

	Reconciliation of Accumulated Depreciation for Operating Real Estate
	Years Ended December 31,
	2016			2015			2014
Beginning balance	$	8,794		$	4,866		$	882
Depreciation expense	4,235			4,275			3,984
Dispositions	(886		)	(347		)	—
Ending balance	$	12,143		$	8,794		$	4,866

At December 31, 2016, the aggregate cost of real estate that we and our consolidated subsidiaries own for federal income tax purposes was approximately $6.9 billion.