Segment Information

12 Months Ended

Dec. 31, 2020

Segment Reporting [Abstract]

Segment Information

NOTE 19–SEGMENT INFORMATION

As of December 31, 2020, we operated through three reportable business segments: triple-net leased properties, senior living operations and office operations. In our triple-net leased properties segment, we invest in and own senior housing and healthcare properties throughout the United States and the United Kingdom and lease those properties to healthcare operating companies under “triple-net” or “absolute-net” leases that obligate the tenants to pay all property-related expenses. In our senior living operations segment, we invest in senior housing communities throughout the United States and Canada and engage independent operators, such as Atria and Sunrise, to manage those communities. In our office operations segment, we primarily acquire, own, develop, lease and manage MOBs and research and innovation centers throughout the United States. Information provided for “all other” includes income from loans and investments and other miscellaneous income and various corporate-level expenses not directly attributable to any of our three reportable business segments. Assets included in “all other” consist primarily of corporate assets, including cash, restricted cash, loans receivable and investments, and miscellaneous accounts receivable.

Our chief operating decision makers evaluate performance of the combined properties in each reportable business segment and determine how to allocate resources to those segments, in significant part, based on segment NOI and related measures. We define segment NOI as total revenues, less interest and other income, property-level operating expenses and office building services costs. We consider segment NOI useful because it allows investors, analysts and our management to measure unlevered property-level operating results and to compare our operating results to the operating results of other real estate companies between periods on a consistent basis. In order to facilitate a clear understanding of our historical consolidated operating results, segment NOI should be examined in conjunction with net income attributable to common stockholders as presented in our Consolidated Financial Statements and other financial data included elsewhere in this Annual Report on Form 10-K.

Interest expense, depreciation and amortization, general, administrative and professional fees, income tax expense and other non-property-specific revenues and expenses are not allocated to individual reportable business segments for purposes of assessing segment performance. There are no intersegment sales or transfers.

Summary information by reportable business segment is as follows:

	For the Year Ended December 31, 2020
	Triple-Net Leased Properties		Senior Living Operations		Office Operations		All Other		Total
	(In thousands)
Revenues:
Rental income	$	695,265	$	—	$	799,627	$	—	$	1,494,892
Resident fees and services	—		2,197,160		—		—		2,197,160
Office building and other services revenue	—		—		8,675		6,516		15,191
Income from loans and investments	—		—		—		80,505		80,505
Interest and other income	—		—		—		7,609		7,609
Total revenues	$	695,265	$	2,197,160	$	808,302	$	94,630	$	3,795,357
Total revenues	$	695,265	$	2,197,160	$	808,302	$	94,630	$	3,795,357
Less:
Interest and other income	—		—		—		7,609		7,609
Property-level operating expenses	22,160		1,658,671		256,612		—		1,937,443
Office building services costs	—		—		2,315		—		2,315
Segment NOI	$	673,105	$	538,489	$	549,375	$	87,021	1,847,990
Interest and other income									7,609
Interest expense									(469,541)
Depreciation and amortization									(1,109,763)
General, administrative and professional fees									(130,158)
Loss on extinguishment of debt, net									(10,791)
Merger-related expenses and deal costs									(29,812)
Allowance on loans receivable and investments									(24,238)
Other									(707)
Income from unconsolidated entities									1,844
Gain on real estate dispositions									262,218
Income tax benefit									96,534
Income from continuing operations									441,185
Net income									441,185
Net income attributable to noncontrolling interests									2,036
Net income attributable to common stockholders									$	439,149

	For the Year Ended December 31, 2019
	Triple-Net Leased Properties		Senior Living Operations		Office Operations		All Other		Total
	(In thousands)
Revenues:
Rental income	$	780,898	$	—	$	828,978	$	—	$	1,609,876
Resident fees and services	—		2,151,533		—		—		2,151,533
Office building and other services revenue	—		—		7,747		3,409		11,156
Income from loans and investments	—		—		—		89,201		89,201
Interest and other income	—		—		—		10,984		10,984
Total revenues	$	780,898	$	2,151,533	$	836,725	$	103,594	$	3,872,750
Total revenues	$	780,898	$	2,151,533	$	836,725	$	103,594	$	3,872,750
Less:
Interest and other income	—		—		—		10,984		10,984
Property-level operating expenses	26,561		1,521,398		260,249		—		1,808,208
Office building services costs	—		—		2,319		—		2,319
Segment NOI	$	754,337	$	630,135	$	574,157	$	92,610	2,051,239
Interest and other income									10,984
Interest expense									(451,662)
Depreciation and amortization									(1,045,620)
General, administrative and professional fees									(158,726)
Loss on extinguishment of debt, net									(41,900)
Merger-related expenses and deal costs									(15,235)
Other									10,339
Loss from unconsolidated entities									(2,454)
Gain on real estate dispositions									26,022
Income tax benefit									56,310
Income from continuing operations									439,297
Net income									439,297
Net income attributable to noncontrolling interests									6,281
Net income attributable to common stockholders									$	433,016

	For the Year Ended December 31, 2018
	Triple-Net Leased Properties		Senior Living Operations		Office Operations		All Other		Total
	(In thousands)
Revenues:
Rental income	$	737,796	$	—	$	776,011	$	—	$	1,513,807
Resident fees and services	—		2,069,477		—		—		2,069,477
Office building and other services revenue	2,522		—		7,592		3,302		13,416
Income from loans and investments	—		—		—		124,218		124,218
Interest and other income	—		—		—		24,892		24,892
Total revenues	$	740,318	$	2,069,477	$	783,603	$	152,412	$	3,745,810
Total revenues	$	740,318	$	2,069,477	$	783,603	$	152,412	$	3,745,810
Less:
Interest and other income	—		—		—		24,892		24,892
Property-level operating expenses	—		1,446,201		243,679		—		1,689,880
Office building services costs	—		—		1,418		—		1,418
Segment NOI	$	740,318	$	623,276	$	538,506	$	127,520	2,029,620
Interest and other income									24,892
Interest expense									(442,497)
Depreciation and amortization									(919,639)
General, administrative and professional fees									(145,978)
Loss on extinguishment of debt, net									(58,254)
Merger-related expenses and deal costs									(30,547)
Other									(72,772)
Loss from unconsolidated entities									(55,034)
Gain on real estate dispositions									46,247
Income tax benefit									39,953
Income from continuing operations									415,991
Discontinued operations									(10)
Net income									415,981
Net income attributable to noncontrolling interests									6,514
Net income attributable to common stockholders									$	409,467

Assets by reportable business segment are as follows:

	As of December 31,
	2020				2019
	(Dollars in thousands)
Assets:
Triple-net leased properties	$	5,147,503	21.6	%	$	6,381,657	25.8	%
Senior living operations	10,653,428		44.5		10,142,023		41.1
Office operations	6,709,602		28.0		7,173,401		29.1
All other assets	1,418,871		5.9		995,127		4.0
Total assets	$	23,929,404	100.0	%	$	24,692,208	100.0	%

Capital expenditures, including investments in real estate property and development project expenditures, by reportable business segment are as follows:

	For the Years Ended December 31,
	2020		2019		2018
	(In thousands)
Capital expenditures:
Triple-net leased properties	$	42,930	$	55,429	$	58,744
Senior living operations	191,891		944,214		337,750
Office operations	372,475		519,129		332,147
Total capital expenditures	$	607,296	$	1,518,772	$	728,641

Our portfolio of properties and mortgage loan and other investments are located in the United States, Canada and the United Kingdom. Revenues are attributed to an individual country based on the location of each property. Geographic information regarding our operations is as follows:

	For the Years Ended December 31,
	2020		2019		2018
	(In thousands)
Revenues:
United States	$	3,381,357	$	3,578,341	$	3,524,875
Canada	389,205		266,946		192,350
United Kingdom	24,795		27,463		28,585
Total revenues	$	3,795,357	$	3,872,750	$	3,745,810

	As of December 31,
	2020		2019
	(In thousands)
Net real estate property:
United States	$	17,303,816	$	18,636,838
Canada	2,983,924		2,830,850
United Kingdom	262,295		266,885
Total net real estate property	$	20,550,035	$	21,734,573