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Discontinued Operations (Tables)
 12 Months Ended
Dec. 31, 2018
Discontinued Operations and Disposal Groups [Abstract]  
Schedule of Discontinued Operations
The following is a summary of the assets and liabilities related to discontinued operations and real estate assets held for sale as of December 31, 2018 and 2017 (in thousands):

 
December 31, 2018
 
December 31, 2017
Carrying amount of major classes of assets included in discontinued operations:
 
 
 
 
Cash
 
$
—

 
$
2,198

Intangible assets, net (1)
 
—

 
9,892

Other assets, net (2)
 
—

 
6,975

Goodwill (3)
 
—

 
124,812

Due from Cole REITs, net
 
—

 
1,284

Loss recognized on classification as held for sale (4)
 
—

 
(19,509
)
Assets related to discontinued operations, net
 
$
—

 
$
125,652

 
 
 
 
 
Carrying amount of major classes of liabilities included in discontinued operations:
 
 
 
 
Accounts payable and accrued expenses
 
$
—

 
$
14,269

Other liabilities
 
—

 
1,512

Due to Cole REITs
 
—

 
100

Liabilities related to discontinued operations
 
$
—

 
$
15,881

___________________________________
(1)
The intangible assets consisted of management and advisory contracts that the Company had with certain Cole REITs. Accumulated amortization was $44.1 million as of December 31, 2017.
(2)
Includes program development costs of $3.3 million as of December 31, 2017, which were net of reserves of $7.6 million.
(3)
The Company performed the annual goodwill test using the $120.0 million cash proceeds provided for under the Cole Capital Purchase and Sale Agreement, plus the estimated fair value of the Net Revenue Payments and determined the carrying amount exceeded the estimated fair value. As such, no goodwill impairment was recorded during the year ended December 31, 2017.
(4)
The Company recognized a loss of $20.0 million on classification of the discontinued operations as held for sale, of which $0.5 million represented estimated costs to sell that were subsequently accrued in accounts payable and accrued expenses as of December 31, 2017. In determining the loss recognized on classification as held for sale, the Company elected to account for the future Net Revenue Payments as a gain contingency. Under this approach, the Company will not recognize any Net Revenue Payments until realized.

The following is a summary of the financial information for discontinued operations for the years ended December 31, 2018, 2017 and 2016 (in thousands):
 
 
Year Ended December 31,
Revenues:
 
2018
 
2017
 
2016
Offering-related fees and reimbursements
 
$
1,027

 
$
16,096

 
$
36,526

Transaction service fees and reimbursements
 
334

 
13,929

 
12,533

Management fees and reimbursements
 
6,452

 
76,214

 
68,686

Total revenues
 
$
7,813


$
106,239


$
117,745

Operating expenses:
 
 
 
 
 
 
Cole Capital reallowed fees and commissions
 
602

 
9,879

 
23,174

Transaction costs (1)
 
(654
)
 
3,802

 
—

General and administrative
 
4,450

 
63,783

 
82,558

Amortization of intangible assets
 
—

 
14,490

 
26,148

Goodwill and intangible asset impairments
 
—

 
—

 
120,931

Total operating expenses
 
4,398


91,954


252,811

Other income, net
 
—

 
464

 
292

Loss on disposition and assets held for sale
 
(1,815
)
 
(20,027
)
 
—

Income (loss) before taxes
 
1,600


(5,278
)

(134,774
)
Benefit from (provision for) income taxes
 
2,095

 
(13,839
)
 
10,837

Income (loss) from discontinued operations, net of income taxes
 
$
3,695


$
(19,117
)

$
(123,937
)
____________________________________
(1)
The negative balance for the year ended December 31, 2018 is a result of estimated costs accrued in prior periods that exceeded actual expenses incurred.
The following is a summary of cash flows related to discontinued operations for the years ended December 31, 2018, 2017 and 2016 (in thousands):
 
 
Year Ended December 31,
 
 
2018
 
2017
2016
Cash flows related to discontinued operations:
 
 
 
 
 
Cash flows (used in) provided by operating activities
 
$
(10,468
)
 
$
33,232

$
35,251

Cash flows provided by investing activities
 
$
122,915

 
$
—

$
—
Schedule of Effective Income Tax Rate Reconciliation
The following table presents the reconciliation of the (benefit from) provision for income taxes with the amount computed by applying the statutory federal income tax rate to loss before income taxes for the years ended December 31, 2018, 2017 and 2016 (in thousands):
 
 
Year Ended December 31,
 
 
2018
 
2017
 
2016
Income (loss) before taxes
 
$
1,600

 
$
(5,278
)
 
$
(134,774
)
Less: Income from non-taxable entities
 
(685
)
 
(9,523
)
 
(9,008
)
Income (loss) attributable to taxable subsidiaries before income taxes
 
$
915


$
(14,801
)

$
(143,782
)
 
 
 
 
 
 
 
Federal provision at statutory rate
 
192

 
(5,180
)
 
(50,324
)
Impairment of goodwill
 
—

 
—

 
42,327

Nondeductible portion of transaction costs and loss recognized on classification as held for sale
 
(719
)
 
8,283

 
—

Impact of change in federal tax rate
 
—

 
3,481

 
—

Impact of valuation allowance
 
(1,158
)
 
6,165

 
—

State income taxes and other
 
(410
)
 
1,090

 
(2,840
)
Total (benefit from) provision for income taxes - Cole Capital
 
$
(2,095
)

$
13,839


$
(10,837
)
Schedule of Components of Income Tax Expense (Benefit)
The following table presents the components of the (benefit from) provision for income taxes for the years ended December 31, 2018, 2017 and 2016 (in thousands):
 
 
Year Ended December 31,
 
 
2018
 
2017
 
2016
Current
 
 
 
 
 
 
Federal
 
$
(74
)
 
$
(120
)
 
$
2,244

State
 
(166
)
 
602

 
(2,762
)
Total current (benefit from) provision for income taxes
 
(240
)

482


(518
)
Deferred
 
 
 
 
 
 
Federal
 
(1,756
)
 
12,016

 
(9,021
)
State
 
(99
)
 
1,341

 
(1,298
)
Total deferred (benefit from) provision for income taxes
 
(1,855
)

13,357

 
(10,319
)
Total (benefit from) provision for income taxes - Cole Capital
 
$
(2,095
)

$
13,839


$
(10,837
)