Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2019

Commitments and Contingencies Disclosure [Abstract]

Schedule of minimum future rental payments under operating leases

At December 31, 2019, minimum future rental payments for the next five years and thereafter are as follows (dollars in millions):



	Ground Leases Paid by Realty Income ⁽¹⁾		Ground Leases Paid by Our Tenants ⁽²⁾		Total
2020	$	1.6	$	13.5	$	15.1
2021	1.4		13.3		14.7
2022	1.4		13.2		14.6
2023	1.3		13.2		14.5
2024	1.3		13.3		14.6
Thereafter	18.9		68.9		87.8
Total	$	25.9	$	135.4	$	161.3
Present value adjustment for remaining lease payments ⁽³⁾					(39.0		)
Lease liability - operating leases, net					$	122.3


⁽¹⁾	Realty Income currently pays the ground lessors directly for the rent under the ground leases.


⁽²⁾	Our tenants, who are generally sub-tenants under the ground leases, are responsible for paying the rent under these ground leases. In the event a tenant fails to pay the ground lease rent, we are primarily responsible.

⁽³⁾The range of discount rates used to calculate the present value of the lease payments is 2.42% to 5.50%. At December 31, 2019, the weighted average discount rate is 4.29% and the weighted average remaining lease term is 12.3 years. The discount rates are derived using a hypothetical corporate credit curve for the ground leases based on our outstanding senior notes and relevant market data. The discount rates are specific for individual leases primarily based on the lease term.

Schedule of minimum future rental payments under operating leases at prior year end

At December 31, 2018, minimum future rental payments for the next five years and thereafter were as follows (dollars in millions):



	Ground Leases Paid by Realty Income ⁽¹⁾		Ground Leases Paid by Our Tenants ⁽²⁾		Total
2019	$	1.5	$	13.5	$	15.0
2020	1.4		13.5		14.9
2021	1.2		13.2		14.4
2022	1.2		13.1		14.3
2023	1.2		13.1		14.3
Thereafter	19.8		82.0		101.8
Total	$	26.3	$	148.4	$	174.7


⁽¹⁾	Realty Income currently pays the ground lessors directly for the rent under the ground leases.

⁽²⁾

Our tenants, who are generally sub-tenants under the ground leases, are responsible for paying the rent under these ground leases. In the event a tenant fails to pay the ground lease rent, we are primarily responsible.