Lease Commitments

12 Months Ended

Dec. 31, 2016

7) LEASE COMMITMENTS

Three of our hospital facilities are held under operating leases with Universal Health Realty Income Trust with terms expiring in 2021 (see Note 9 for additional disclosure). We also lease the real property of certain facilities (see Item 2. Properties for additional disclosure).

A summary of property under capital lease follows (amounts in thousands):

	As of December 31,
	2016			2015
Land, buildings and equipment	$	45,768		$	45,665
Less: accumulated amortization		(28,864	)		(27,169	)
	$	16,904		$	18,496

Future minimum rental payments under lease commitments with a term of more than one year as of December 31, 2016, are as follows (amounts in thousands):

Year	Capital Leases			Operating Leases
	(000s)
2017	$	4,010		$	66,086
2018		4,078			55,248
2019		3,998			46,943
2020		3,339			37,611
2021		3,429			32,060
Later years		18,626			132,085
Total minimum rental	$	37,480		$	370,033
Less: Amount representing interest		(14,034	)
Present value of minimum rental commitments		23,446
Less: Current portion of capital lease obligations		(1,661	)
Long-term portion of capital lease obligations	$	21,785

We assumed capital lease obligations of approximately $152,000 in 2016, $7 million in 2015 and $16 million in 2014, in connection with the leases on certain real estate assets. In the ordinary course of business, our facilities routinely lease equipment pursuant to new lease arrangements that will likely result in future lease and rental expense in excess of amounts indicated above.