Dispositions and Impairment

12 Months Ended

Dec. 31, 2023

Discontinued Operations and Disposal Groups [Abstract]

For the years ended December 31, 2023, 2022 and 2021, the Company disposed of its interests in various properties for an aggregate gross disposition price of $100,152, $196,989 and $823,966, respectively, which resulted in gains on sales of $33,010, $59,094 and $367,274, respectively, including, in 2021 the sale of 22 special purpose industrial assets to a newly-formed joint venture, NNN MFG Cold JV L.P. (“MFG Cold JV”), with an unaffiliated third-party.

Included in the 2021 dispositions are three non-industrial properties with a disposition price of $35,369, which was satisfied through (i) the redemption of 1,598,906 OP units, (ii) the assumption of $11,610 of third party mortgage financing that encumbered two of the properties and (iii) $1,497 of seller financing. The seller financing note receivable has a fixed interest rate of 6.0% per annum which was paid in full during the year ended December 31, 2023.

For the years ended December 31, 2023 and December 31, 2022 the Company recognized no debt satisfaction charges relating to properties sold. For the year ended December 31, 2021, the Company recognized net debt satisfaction charges relating to properties sold of $229.

The Company had two and three properties classified as held for sale at December 31, 2023 and December 31, 2022, respectively. Assets and liabilities of the held for sale properties consisted of the following:


	December 31, 2023		December 31, 2022
Assets:
Real estate, at cost	$	9,018	$	131,557
Real estate, intangible assets	—		9,942
Accumulated depreciation and amortization	—		(76,205)


Other	150		1,140
Total assets held for sale	$	9,168	$	66,434
Liabilities:

Accounts payable and other liabilities	$	5	$	637
Deferred revenue	53		143
Prepaid rent	359		370
Total liabilities held for sale	$	417	$	1,150

The Company assesses on a regular basis whether there are any indicators that the carrying value of its real estate assets may be impaired. Potential indicators may include an increase in vacancy at a property, tenant financial instability, change in the estimated holding period of the asset, the potential sale or transfer of the property in the near future and changes in economic conditions. An asset is determined to be impaired if the asset's carrying value is in excess of its estimated fair value and the Company estimates that its cost will not be recovered.

During 2023, 2022 and 2021, the Company recognized aggregate impairment charges on real estate properties of $16,490, $3,037 and $5,541, respectively. During 2023, 2022 and 2021, the aggregate impairment charges were recognized on properties that were primarily impaired due to a reduction in the anticipated holding period for those properties.