Dispositions of Real Estate and Discontinued Operations

9 Months Ended

Sep. 30, 2013

Dispositions of Real Estate and Discontinued Operations

Dispositions of Real Estate and Discontinued Operations

(4)   Dispositions of Real Estate and Discontinued Operations

During the nine months ended September 30, 2013, the Company sold a senior housing facility for $4 million. In addition, in September 2013, the Company sold a 62-bed hospital located in Greenfield, Wisconsin in exchange for a 60-bed hospital located in Webster, Texas and recognized a gain of $8 million based on the fair value of the hospital acquired. During the nine months ended September 30, 2012, the Company sold a medical office building for $7 million.

At September 30, 2013, four hospitals were classified as held for sale, with a carrying value of $131 million. At December 31, 2012, properties classified as held for sale included a senior housing facility and five hospitals with a combined aggregate carrying value of $146 million.

The following table summarizes operating loss from discontinued operations and gain on sales of real estate included in discontinued operations (dollars in thousands):

	Three Months Ended September 30,					Nine Months Ended September 30,
	2013			2012		2013		2012
Rental and related revenues	$	6,460		$	10,260	$	20,458	$	31,023
Depreciation and amortization expenses	1,433			2,969		4,346		11,876
Operating expenses	3			18		9		75
Other income (expense), net	(74		)	593		229		2,452
Income before gain on sales of real estate	$	5,098		$	6,680	$	15,874	$	16,620
Gain on sales of real estate, net of income taxes	$	8,298		$	—	$	9,185	$	2,856
Number of properties included in discontinued operations	5			9		6		10