Property Dispositions

12 Months Ended

Dec. 31, 2014

Discontinued Operations and Disposal Groups [Abstract]

Property Disposition

Property Dispositions

During the year endedDecember 31, 2014, the Company disposed of 45 single-tenant properties, 65 multi-tenant properties, and one billboard for an aggregate gross sales price of $2.1 billion (the “2014 Property Dispositions”). There were no properties disposed of during the year endedDecember 31, 2013. No disposition fees were paid to affiliates in connection with the sale of the 2014 Property Dispositions and the Company has no continuing involvement with these properties. As of December 31, 2014, two properties were classified as held for sale. As of December 31, 2013, the Company classified one property as held for sale, which has been presented as discontinued operations on the Company’s consolidated statements of operations.

Multi-tenant Shopping Center Portfolio Sale

On June 11, 2014, the OP, through indirect subsidiaries, entered into an agreement of purchase and sale with (the “Blackstone/DDR Joint Venture”), a joint venture between Blackstone and DDR Corp., by which the Blackstone/DDR Joint Venture agreed to purchase 67 multi-tenant properties and nine single-tenant properties and the adjacent land and related properties. The properties to be sold pursuant to such agreement were the same properties that the Company had previously intended to spin off into an externally managed, NASDAQ-traded REIT, American Realty Capital Centers, Inc. In light of the Company’s entry into such agreement, it abandoned its previously contemplated spin-off.

On October 17, 2014, the Company completed the final sale of a portfolio consisting of 64 multi-tenant properties and seven single-tenant properties (the “Multi-tenant Portfolio”) to the Blackstone/DDR Joint Venture for $1.9 billion to the Joint Venture Blackstone and DDR. Additionally, the Company entered into a letter of intent with an unrelated third party to sell five multi-tenant properties for $52.3 million bringing total expected sale proceeds to $2.0 billion. The transaction aimed to simplify the Company’s business model, allowing it to focus solely on its single-tenant, net lease investments. The disposition to Blackstone and DDR provided $1.3 billion of net proceeds, of which $1.2 billion were used to reduce the Company’s leverage by paying down the Company’s line of credit. In connection with the sale, $542.8 million of secured mortgage debt was either repaid or assumed by the Blackstone/DDR Joint Venture, providing the Company with $1.3 billion in net proceeds and resulting in a net loss on sale of $262.0 million, which includes the write-off of $195.5 million of goodwill allocated to the cost basis of the Multi-tenant Portfolio.

As the sale does not represent a change in strategic direction for the Company and will not have a significant effect on the operations or financial results of the Company, the operating results of the Multi-tenant Portfolio are not classified as discontinued operations for any periods presented. However, the Company has determined that the Multi-tenant Portfolio is an individually significant component of the Company.

The following table summarizes the operating income from continued operations of the Multi-Tenant Portfolio for the year endedDecember 31, 2014 and 2013 (in thousands):

	Year Ended December 31,
	2014			2013
Total revenue	$	122,522		$	—
Total expenses	(123,776		)	—
Income from assets held for sale	$	(1,254	)	$	—