Distributions

12 Months Ended

Dec. 31, 2022

Distributions

Distributions

12. Distributions

We must distribute at least 90% of our taxable income in order to continue to qualify as a REIT. This distribution requirement can be satisfied by current year distributions or, to a certain extent, by distributions in the following year.

For federal tax purposes, distributions to stockholders are treated as ordinary income, capital gains, return of capital or a combination thereof. Distributions for 2022, 2021 and 2020 were cash distributions. The federal income tax classification of the per share common stock distributions are as follows (unaudited):

	Year Ended December 31,
	2022		2021		2020
Ordinary taxable distribution	$	1.095	$	1.220	$	0.936
Return of capital		—		0.750		—
Unrecaptured Section 1250 gain		0.502		0.252		0.894
Long-term capital gain		0.683		0.058		0.450
Total	$	2.280	$	2.280	$	2.280