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Investments in Real Estate (Tables)

6 Months Ended

Jun. 30, 2020

Real Estate Investments, Net [Abstract]

Below is a summary of our acquisitions for the six months ended June 30, 2020:


	Number of Properties	Square Feet (in millions)	Investment ($ in millions)		Weighted Average Lease Term (Years)	Initial Average Cash Lease Yield
Six months ended June 30, 2020 ⁽¹⁾
Acquisitions - U.S. (in 25 states)	80	1.8	$	412.6	14.4	6.5	%
Acquisitions - U.K. ⁽²⁾	6	0.5	223.7		11.8	5.3	%
Total acquisitions	86	2.3	636.3		13.6	6.1	%
Properties under development - U.S.	8	0.2	3.9		10.5	8.8	%
Total ⁽³⁾	94	2.5	$	640.2	13.6	6.1	%

⁽¹⁾None of our investments during the first six months of 2020 caused any one tenant to be 10% or more of our total assets at June 30, 2020. All of our investments in acquired properties during the first six months of 2020 are 100% leased at the acquisition date.

⁽²⁾Represents investments of £180.1 million Sterling during the six months ended June 30, 2020 converted at the applicable exchange rate on the date of acquisition.

⁽³⁾The tenants occupying the new properties operate in 17 industries, and are 96.5% retail and 3.5% industrial, based on rental revenue. Approximately 37% of the rental revenue generated from acquisitions during the first six months of 2020 is from investment grade rated tenants, their subsidiaries or affiliated companies.

Below is a summary of our acquisitions for the six months ended June 30, 2019:


	Number of Properties	Square Feet (in millions)	Investment ($ in millions)		Weighted Average Lease Term (Years)	Initial Average Cash Lease Yield
Six months ended June 30, 2019 ⁽¹⁾
Acquisitions - U.S. (in 34 states)	175	4.2	$	1,040.9	15.9	6.8	%
Acquisitions - U.K. ⁽²⁾	12	1.1	549.2		14.8	5.3	%
Total acquisitions	187	5.3	1,590.1		15.5	6.3	%
Properties under development - U.S.	12	0.4	24.1		16.5	7.2	%
Total ⁽³⁾	199	5.7	$	1,614.2	15.6	6.3	%

⁽¹⁾None of our investments during 2019 caused any one tenant to be 10% or more of our total assets at June 30, 2019. All of our investments in acquired properties during the first six months of 2019 are 100% leased at the acquisition date.

⁽²⁾Represents investments of £433.9 million Sterling during the six months ended June 30, 2019 converted at the applicable exchange rate on the date of the acquisition.

⁽³⁾The tenants occupying the new properties operated in 17 industries, and are 99.1% retail and 0.9% industrial, based on rental revenue. Approximately 18% of the rental revenue generated from acquisitions during the first six months of 2019 was from investment grade rated tenants, their subsidiaries or affiliated companies.

Schedule allocation of acquisitions

The acquisitions during the first six months of 2020, which had no associated contingent consideration, were allocated as follows (dollars in millions):


	Acquisitions - U.S.		Acquisitions - U.K.
Six months ended June 30, 2020	(USD)		(£ Sterling)
Land ⁽¹⁾	$	82.9	£	22.8
Buildings and improvements	278.4		60.8
Lease intangible assets	54.5		42.0
Other assets⁽²⁾	1.5		54.5
Lease intangible liabilities	(2.3)		—
Other liabilities ⁽³⁾	(0.9)		—
	$	414.1	£	180.1

⁽¹⁾ U.K. land includes £6.4 million of right of use assets under long-term ground leases.

⁽²⁾U.S. other assets consists of $810,000 financing receivables with above-market terms and $689,000 of right of use assets under ground leases. U.K. other assets entirely consists of right of use assets under ground leases.

⁽³⁾U.S. other liabilities entirely consists of lease liabilities under ground leases.

The acquisitions during the first six months of 2019, which had no associated contingent consideration, were allocated as follows (dollars in millions):


	Acquisitions - U.S.		Acquisitions - U.K.
Six months ended June 30, 2019	(USD)		(£ Sterling)
Land ⁽¹⁾	$	234.7	£	164.4
Buildings and improvements	704.5		182.0
Lease intangible assets	80.3		90.8
Other assets⁽²⁾	53.8		—
Lease intangible liabilities	(23.0)		(3.3)
Other liabilities⁽³⁾	(7.4)		—
	$	1,042.9	£	433.9

⁽¹⁾ U.K. land includes £13.6 million of right of use assets under long-term ground leases.

⁽²⁾U.S. other assets entirely consists of financing receivables with above-market terms.

⁽³⁾U.S. other liabilities entirely consists of deferred rent on certain below-market leases.

Schedule of future impact related to amortization of above-market, below-market and in-place lease intangibles

The following table presents the estimated impact during the next five years and thereafter related to the amortization of the above-market and below-market lease intangibles and the amortization of the in-place lease intangibles at June 30, 2020 (dollars in thousands):


	Net decrease to rental revenue		Increase to amortization expense
2020	$	(12,694)	$	64,254
2021	(24,568)		122,159
2022	(23,020)		110,185
2023	(21,483)		97,909
2024	(19,872)		89,245
Thereafter	(93,824)		506,220
Totals	$	(195,461)	$	989,972