Dispositions, Assets Held for Sale and Discontinued Operations

9 Months Ended

Sep. 30, 2015

Disclosure Dispositions, Assets Held for Sale and Discontinued Operations [Abstract]

Dispositions, Assets Held for Sale and Discontinued Operations

5. Dispositions, Assets Held for Sale and Discontinued Operations

We periodically sell properties for various reasons, including favorable market conditions or the exercise of tenant purchase options. The following is a summary of our real property disposition activity for the periods presented (in thousands):

		Nine Months Ended
		September 30, 2015			September 30, 2014
Real estate dispositions:
	Triple-net		$	246,116		$	56,713
	Outpatient medical(1)			166,919			343,337
	Land parcels			5,724			-
	Total dispositions			418,759			400,050
Gain (loss) on real estate dispositions, net				249,002			42,683
Proceeds from real estate dispositions			$	667,761		$	442,733
(1) Dispositions occurring in the nine-month period ending September 30, 2015 primarily related to the disposition of an unconsolidated equity investment with Forest City Enterprises.

Dispositions and Assets Held for Sale

Pursuant to our adoption of ASU No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity” (“ASU 2014-08”), operating results attributable to properties sold subsequent to or classified as held for sale after January 1, 2014 and which do not meet the definition of discontinued operations are no longer reclassified on our Consolidated Statements of Comprehensive Income. The following represents the activity related to these properties for the periods presented (in thousands):

			Three Months Ended				Nine Months Ended
			September 30,				September 30,
		2015		2014		2015		2014
Revenues:
	Rental income	$	7,164	$	26,123	$	24,237	$	89,593
Expenses:
	Interest expense		1,041		4,507		3,991		18,512
	Property operating expenses		1,577		1,595		4,586		6,017
	Provision for depreciation		123		7,878		4,760		27,106
	Total expenses		2,741		13,980		13,337		51,635
Income (loss) from real estate dispositions, net		$	4,423	$	12,143	$	10,900	$	37,958

Discontinued Operations

We have reclassified the income and expenses attributable to all properties sold prior to or held for sale at January 1, 2014 to discontinued operations in accordance with ASU 2014-08. The following illustrates the reclassification impact as reported in our Consolidated Statements of Comprehensive Income as a result of classifying these properties as discontinued operations for the periods presented (in thousands):

			Three Months Ended				Nine Months Ended
			September 30,				September 30,
		2015		2014		2015		2014
Revenues:
	Rental income	$	-	$	-	$	-	$	881
Expenses:
	Interest expense		-		-		-		157
	Total expenses		-		-		-		157
Income (loss) from discontinued operations, net		$	-	$	-	$	-	$	724