Real Estate (Tables)

3 Months Ended

Mar. 31, 2021

Tenant Concentration

The following table contains information regarding tenant concentration in our portfolio, excluding $2.5 million for our corporate office and a credit loss reserve balance of $4.9 million, based on the percentage of revenues for the three months ended March 31, 2021 and 2020, related to tenants or affiliates of tenants, that exceed 10% of total revenue ($ in thousands):


	as of March 31, 2021						Revenues1
	Asset	Number of	Real		Notes		Three Months Ended March 31,
	Class	Properties	Estate		Receivable		2021			2020

Senior Living Communities	EFC	10	$	573,631	$	44,189	$	12,723	16%	$	12,717	15%
Bickford Senior Living	ALF	48	534,376		35,079		10,207		13%	13,603		16%
Holiday Retirement	ILF	26	532,672		—		10,185		13%	10,176		12%
National HealthCare Corporation (NHC)	SNF	42	171,235		—		9,452		12%	9,448		11%
All others2	Various		1,451,799		226,906		36,157		44%	35,579		42%
Escrow funds received from tenants
for property operating expenses	Various		—		—		2,161		2%	1,553		2%
			$	3,263,713	$	306,174	$	80,885		$	83,076

1 includes interest income on notes receivable

2 includes prior period amounts for disposals or transitioned to new operators

Summary of NHC Percentage Rent

NHC Percentage Rent

Under the terms of our two leases with NHC, rent escalates by 4% of the increase, if any, in each of the facility’s revenue over a base year and is referred to as percentage rent. The following table summarizes the percentage rent income from NHC ($ in thousands):


	Three Months Ended March 31,
		2021		2020
Current year		$	920	$	926
Prior year final certification1		(5)		(14)
Total percentage rent income		$	915	$	912

1 For purposes of the percentage rent calculation described in the master lease agreement, NHC’s annual revenue by facility for a given year is certified to NHI by March 31st of the following year.

Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]

Future minimum lease payments to be received by us under our operating leases at March 31, 2021, are as follows ($ in thousands):


Remainder of 2021	$	215,167
2022	287,817
2023	283,511
2024	277,004
2025	273,507
2026	277,816
Thereafter	1,158,838
	$	2,773,660

Schedule of Fixed and Variable Lease Payments [Table Text Block]

The table below indicates the revenue recognized as a result of fixed and variable lease escalators ($ in thousands):


	Three Months Ended
	March 31,
		2021		2020
Lease payments based on fixed escalators, net of deferrals		$	67,281	$	68,669
Lease payments based on variable escalators		1,326		1,364
Straight-line rent income		4,241		5,177
Escrow funds received from tenants for property operating expenses		2,161		1,553
Amortization of lease incentives		(260)		(236)
Rental income		$	74,749	$	76,527