Real Estate (Tables)

3 Months Ended

Mar. 31, 2018

The following outlines key information for NNN’s leases:



	March 31, 2018
Lease classification:
Operating	2,830
Direct financing	7
Building portion – direct financing/land portion – operating	2
Weighted average remaining lease term (years)	11.4

Real estate subject to operating leases consisted of the following as of (dollars in thousands):



	March 31, 2018			December 31, 2017
Land and improvements⁽¹⁾	$	2,305,669		$	2,288,917
Buildings and improvements	5,056,056			4,968,778
Leasehold interests	3,971			5,261
	7,365,696			7,262,956
Less accumulated depreciation and amortization	(910,559		)	(878,236		)
	6,455,137			6,384,720
Work in progress for buildings and improvements	74,773			41,920
	$	6,529,910		$	6,426,640

⁽¹⁾ Includes $30,434 and $25,799 in land for Properties under construction at March 31, 2018 and December 31,

2017, respectively.

Real estate held for sale consisted of the following as of (dollars in thousands):



	March 31, 2018			December 31, 2017
Land and improvements	$	2,864		$	3,058
Building and improvements	5,134			6,284
	7,998			9,342
Less accumulated depreciation and amortization	(2,846		)	(2,885		)
Less impairment	(1,361		)	(86		)
	$	3,791		$	6,371

The following table summarizes the Properties sold and the corresponding gain recognized on the disposition of Properties (dollars in thousands):



	Quarter Ended March 31,
	2018				2017
	# of Sold Properties	Gain			# of Sold Properties	Gain
Gain on disposition of real estate	15	$	38,596	⁽¹⁾	17	$	14,624
⁽¹⁾ Amount includes the recognition of a deferred gain related to a leasehold interest that was fully amortized in 2018

These construction commitments, as of March 31, 2018, are outlined in the table below (dollars in thousands):



Total commitment⁽¹⁾	$	147,559
Amount funded	105,207
Remaining commitment	42,352
⁽¹⁾ Includes land, construction costs, tenant improvements, lease costs and capitalized interest.