Real Estate Investments

6 Months Ended

Jun. 30, 2017

Real Estate [Abstract]

Real Estate Disclosure [Text Block]

Note 3 – Real Estate Investments

Real Estate Portfolio

As of June 30, 2017, the Company owned 413 properties, with a total gross leasable area of 7.9 million square feet. Net Real Estate Investments totaled $1.1 billion as of June 30, 2017. As of December 31, 2016, the Company owned 366 properties, with a total gross leasable area of 7.0 million square feet. Net Real Estate Investments totaled $950.3 million as of December 31, 2016.

Investments

During the three months ended June 30, 2017, the Company acquired 36 retail net lease assets for approximately $131.2 million, which includes acquisition and closing costs. These properties are located in 19 states and are leased to 31 different tenants operating in 18 diverse retail sectors for a weighted average lease term of approximately 12.7  years.

During the six months ended June 30, 2017, the Company acquired 47 retail net lease assets for approximately $184.4 million, which includes acquisition and closing costs. These properties are located in 21 states and are leased to 38 different tenants operating in 20 diverse retail sectors for a weighted average lease term of approximately 12.1 years.

The aggregate acquisitions for the six months ended June 30, 2017 were allocated $35.7 million to land, $106.7 million to buildings and improvements, and $42.0 million to lease intangibles and other assets. The acquisitions were all cash purchases and there were no contingent considerations associated with these acquisitions.

None of the Company’s acquisitions during the first six months of 2017 caused any new or existing tenant to comprise 10% or more of its total assets or generate 10% or more of its total annualized base rent at June 30, 2017.

Developments

During the second quarter of 2017, construction continued on three new development and Partner Capital Solutions (“PCS”) projects with anticipated total project costs of approximately $24.1 million. The projects consist of the Company’s first PCS project with Art Van Furniture in Canton, Michigan, as well as the Company’s first two development projects with Mister Car Wash in Urbandale, Iowa and Bernalillo, New Mexico.

For the first six months of 2017, the Company had seven development or PCS projects completed or under construction. Anticipated total costs for those projects are approximately $45.9 million and include the following completed or commenced projects:

Tenant	Location	Lease Structure	Lease Term	Actual or Anticipated Rent Commencement	Status
Camping World	Tyler, TX	Build-to-Suit	20 Years	Q1 2017	Completed
Burger King(1)	Heber, UT	Build-to-Suit	20 Years	Q1 2017	Completed
Camping World	Georgetown, KY	Build-to-Suit	20 Years	Q2 2017	Completed
Orchard Supply	Boynton Beach, FL	Build-to-Suit	15 Years	Q3 2017	Under Construction
Mister Car Wash	Urbandale, IA	Build-to-Suit	20 years	Q4 2017	Under Construction
Mister Car Wash	Bernalillo, NM	Build-to-Suit	20 years	Q4 2017	Under Construction
Art Van Furniture	Canton, MI	Build-to-Suit	20 years	Q1 2018	Under Construction

Notes:

(1) Franchise restaurant operated by Meridian Restaurants Unlimited, L.C.

Dispositions

During the three months ended June 30, 2017, the Company sold real estate properties for net proceeds of $11.7 million and a net gain of $4.8 million (net of any expected losses on real estate held for sale).

During the six months ended June 30, 2017, the Company sold real estate properties for net proceeds of $21.9 million and a net gain of $9.5 million (net of any expected losses on real estate held for sale).