XML 51 R34.htm IDEA: XBRL DOCUMENT v3.3.1.900
Real Estate (Tables)
 12 Months Ended
Dec. 31, 2015
Real Estate [Abstract]  
Classification of Investment Property Leases
The following outlines key information for NNN’s leases at December 31, 2015:
 
Lease classification:
 
Operating
2,294

Direct financing
10

Building portion – direct financing/land portion – operating
2

Weighted average remaining lease term (years)
11.4
Summary of Real Estate Subject to Operating Leases
Real estate subject to operating leases consisted of the following as of December 31 (dollars in thousands):
 
2015
 
2014
Land and improvements
$
1,922,579

 
$
1,776,222

Buildings and improvements
3,891,239

 
3,386,810

Leasehold interests
1,290

 
1,290

 
5,815,108

 
5,164,322

Less accumulated depreciation and amortization
(620,188
)
 
(508,229
)
 
5,194,920

 
4,656,093

Work in progress
61,354

 
28,908

 
$
5,256,274

 
$
4,685,001
Schedule of Future Minimum Lease Payments for Capital Leases
The following is a schedule of future minimum lease payments to be received on noncancellable operating leases at December 31, 2015 (dollars in thousands):
 
2016
$
478,512

2017
469,698

2018
445,099

2019
426,224

2020
408,372

Thereafter
3,267,955

 
$
5,495,860
Net Investment in Direct Financing Leases
The following lists the components of net investment in direct financing leases at December 31 (dollars in thousands):
 
 
2015
 
2014
Minimum lease payments to be received
$
13,900

 
$
17,376

Estimated unguaranteed residual values
7,589

 
8,274

Less unearned income
(6,971
)
 
(8,676
)
Net investment in direct financing leases
$
14,518

 
$
16,974
Schedule of Future Minimum Lease Receivables for Financing Leases
The following is a schedule of future minimum lease payments to be received on direct financing leases held for investment at December 31, 2015 (dollars in thousands):
 
2016
$
2,700

2017
1,862

2018
1,834

2019
1,512

2020
1,043

Thereafter
4,949

 
$
13,900
Disclosure of Long Lived Assets Held-for-sale
Real estate held for sale consisted of the following as of December 31 (dollars in thousands):
 
2015
 
2014
Land and improvements
$
9,419

 
$
11,518

Building and improvements
27,881

 
32,525

 
37,300

 
44,043

Less accumulated depreciation and amortization
(4,419
)
 
(4,947
)
Less impairment
(215
)
 
(1,022
)
 
$
32,666

 
$
38,074
Disclosure of Long Lived Assets Held-for-sale, Gains Recognized
The following table summarizes the Properties sold and the corresponding gain recognized on the disposition of Properties for the years ended December 31 (dollars in thousands):
 
2015
 
2014
 
2013
 
# of Sold
Properties
 
Gain
 
# of Sold
Properties
 
Gain
 
# of Sold
Properties
 
Gain
 
Gain on disposition of real estate
19
 
$
10,807

(1) 
25
 
$
11,587

 
—
 
$
173

 
Income tax expense
 
 
(357
)
 
 
 
(318
)
 
 
 
(66
)
 
 
 
 
10,450

 
 
 
11,269

 
 
 
107

 
Gain on disposition of real estate included in discontinued operations
—
 
—

 
2
 
155

(1) 
35
 
6,272

(1) 
Income tax expense
 
 
—

 
 
 
—

 
 
 
(784
)
 
 
 
 
$
10,450

 
 
 
$
11,424

 
 
 
$
5,595

 
(1) Amount includes the recognition of deferred gains on previously sold properties.
Remaining Funding Commitments
These construction commitments, at December 31, 2015, are outlined in the table below (dollars in thousands):
Number of properties
 
27

Total commitment(1)
 
$
116,394

Amount funded
 
$
87,406

Remaining commitment
 
$
28,988

(1)
Includes land, construction costs, tenant improvements and lease costs.
Real Estate Impairments
As a result of the Company’s review of long lived assets, including identifiable intangible assets, NNN recognized the following real estate impairments for the years ended December 31 (dollars in thousands):
 
 
2015
 
2014
 
2013
Continuing operations
$
3,970

 
$
760

 
$
3,565

Discontinued operations
—

 
63

 
541

 
$
3,970

 
$
823

 
$
4,106