Real Estate Investments, Net (Tables)
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12 Months Ended |
Dec. 31, 2019 |
Real Estate [Abstract] |
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Summary of Investment in Owned Properties |
The following table summarizes the Company’s investment in owned properties at December 31, 2019 and December 31, 2018 (dollars in thousands): | | | | | | | | | | December 31, 2019 | | December 31, 2018 | Land | $ | 204,154 |
| | $ | 166,948 |
| Buildings and improvements | 1,400,927 |
| | 1,201,209 |
| Integral equipment, furniture and fixtures | 93,005 |
| | 87,623 |
| Identified intangible assets | 1,650 |
| | 2,382 |
| Real estate investments | 1,699,736 |
| | 1,458,162 |
| Accumulated depreciation and amortization | (285,536 | ) | | (241,925 | ) | Real estate investments, net | $ | 1,414,200 |
| | $ | 1,216,237 |
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Schedule of Total Future Minimum Rental Revenues |
As of December 31, 2019, the Company’s total future minimum rental revenues for all of its tenants, excluding operating expense reimbursements, were (dollars in thousands): | | | | | Year | Amount | 2020 | $ | 168,394 |
| 2021 | 169,175 |
| 2022 | 169,272 |
| 2023 | 168,968 |
| 2024 | 169,069 |
| Thereafter | 1,144,102 |
| | $ | 1,988,980 |
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Schedule of Total Future Minimum Rental Revenues at Prior Year End |
As of December 31, 2018, the Company’s total future minimum rental revenues for all of its tenants, excluding operating expense reimbursements, were (dollars in thousands):
| | | | | Year | Amount | 2019 | $ | 146,010 |
| 2020 | 146,560 |
| 2021 | 147,132 |
| 2022 | 147,719 |
| 2023 | 148,169 |
| Thereafter | 1,055,012 |
| | $ | 1,790,602 |
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Schedule of Rental Income |
The following table summarizes components of the Company’s rental income (dollars in thousands): | | | | | | For the Year Ended December 31, 2019 | Rental Income | | Contractual rent due(1) | $ | 166,056 |
| Straight-line rent | 1,385 |
| Adjustment for collectibility of rental income(2) | (11,774 | ) | Total | $ | 155,667 |
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| | (1) | Initial cash rent including operating expense reimbursements adjusted for rental escalators and increases due to landlord funded capital improvements. |
| | (2) | In accordance with the new lease ASUs, the Company evaluated the collectibility of lease payments through maturity and determined that it was not probable that the Company would collect substantially all of the contractual obligations from five operators through maturity. As such, the Company reversed rental income comprised of $7.8 million of unpaid contractual rent, $3.5 million of straight-line rent and $0.5 million of property tax reimbursements during the year ended December 31, 2019. If lease payments are subsequently deemed probable of collection, the Company increases rental income accordingly. |
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Schedule of Real Estate Acquisitions |
The following table summarizes the Company’s acquisitions for the year ended December 31, 2019 (dollar amounts in thousands): | | | | | | | | | | | | | | | Type of Property | Purchase Price(1) | | Initial Annual Cash Rent(2) | | Number of Properties | | Number of Beds/Units(3) | Skilled nursing | $ | 254,760 |
| | $ | 22,909 |
| | 17 |
| | 2,099 |
| Multi-service campuses | 59,344 |
| | 5,203 |
| | 4 |
| | 762 |
| Assisted living | 12,596 |
| | 1,031 |
| | 1 |
| | 96 |
| Total | $ | 326,700 |
| | $ | 29,143 |
| | 22 |
| | 2,957 |
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| | (1) | Purchase price includes capitalized acquisition costs. |
| | (2) | Initial annual cash rent excludes ground lease income. |
| | (3) | The number of beds/units includes operating beds at acquisition date. |
The following table summarizes the Company’s acquisitions for the year ended December 31, 2018 (dollar amounts in thousands): | | | | | | | | | | | | | | | | Type of Property | Purchase Price(1) | | Initial Annual Cash Rent | | Number of Properties | | Number of Beds/Units(2) | Skilled nursing | $ | 85,814 |
| | $ | 7,715 |
| | 10 |
| | 926 |
| Multi-service campuses | 27,520 |
| (3) | 2,240 |
| | 2 |
| | 177 |
| Assisted living | — |
| | — |
| | — |
| | — |
| Total | $ | 113,334 |
| | $ | 9,955 |
| | $ | 12 |
| | 1,103 |
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| | (1) | Purchase price includes capitalized acquisition costs. |
| | (2) | The number of beds/units includes operating beds at acquisition date. |
(3) The Company has committed to fund approximately $1.4 million in revenue-producing capital expenditures over the next 24 months based on the in-place lease yield, which is included in the purchase price.
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