0000766704 well:BeaconsfieldQcBfdSeniorHousingOperatingMemberMooseJawSkMjwSeniorHousingOperatingMember well:SeniorsHousingOperatingMember 2018-12-312019-12-31 0000766704 well:ColchesterCtClhSeniorHousingTripleNetMember well:TripleNetMember 2019-12-31
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 10-K
 
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 20182019

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ____ to ____
Commission File No. Number 1-8923
welllogoa12.gif  
WELLTOWER INC.
(Exact name of registrant as specified in its charter)
Delaware34-1096634
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
   
4500 Dorr Street,Toledo,Ohio 43615
(Address of principal executive offices)(Zip Code)
(419) (419247-2800
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of Each ClassTrading Symbol(s)Name of Each Exchange on Which Registered
Common Stock, $1.00 par valueNew York Stock Exchange
6.50% Series I Cumulative
Convertible Perpetual Preferred Stock, $1.00 par value
WELL
New York Stock Exchange
4.800% Notes due 2028WELL28New York Stock Exchange
4.500% Notes due 2034WELL34New York Stock Exchange
 
Securities registered pursuant to Section 12(g) of the Act:  None 
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.  Yes  þYes  No  ¨
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act.  Yes  ¨   No  þNo
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes  þYes  No  ¨
Indicate by check mark whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes  þYes  No  ¨
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.  þ  
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and "emerging growth company" in Rule 12b-2 of the Exchange Act. 
Large accelerated filerþAccelerated filer¨

Non-accelerated filer¨

Smaller reporting company¨Emerging growth company¨
(Do not check if a smaller reporting company)
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes  ¨   No  þ
The aggregate market value of the shares of voting common stock held by non-affiliates of the registrant, computed by reference to the closing sales price of such shares on the New York Stock Exchange as of the last business day of the registrant’s most recently completed second fiscal quarter was $23,282,837,560.$32,986,689,000. 
As of February 13, 2019,January 31, 2020, the registrant had 386,361,193410,331,441 shares of common stock outstanding.
 
DOCUMENTS INCORPORATED BY REFERENCE 
Portions of the registrant’s definitive proxy statement for the annual stockholders’ meeting to be held May 2, 2019,April 30, 2020, are incorporated by reference into Part III.



WELLTOWER INC. AND SUBSIDIARIES
20182019 FORM 10-K ANNUAL REPORT
TABLE OF CONTENTS
 
  Page
 PART I
   
Item 1.Business
Item 1A.Risk Factors
Item 1B.Unresolved Staff Comments
Item 2.Properties
Item 3.Legal Proceedings
Item 4.Mine Safety Disclosures
   
 PART II
   
Item 5.Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
Item 6.Selected Financial Data
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations
Item 7A.Quantitative and Qualitative Disclosures About Market Risk
Item 8.Financial Statements and Supplementary Data
Item 9.Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
Item 9A.Controls and Procedures
Item 9B.Other Information
   
 PART III
   
Item 10.Directors, Executive Officers and Corporate Governance
Item 11.Executive Compensation
Item 12.Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
Item 13.Certain Relationships and Related Transactions and Director Independence
Item 14.Principal Accounting Fees and Services
   
 PART IV
   
Item 15.Exhibits and Financial Statement Schedules
Item 16.Form 10-K Summary
   
 Signature



PART I 
Item 1.  Business 
General
Welltower Inc. (NYSE:WELL), an S&P 500 company headquartered in Toledo, Ohio, is driving the transformation of health care infrastructure. The company invests with leading seniors housing operators, post-acute providers and health systems to fund the real estate and infrastructure needed to scale innovative care delivery models and improve people’s wellness and overall health care experience. Welltower, a real estate investment trust (“REIT”), owns interests in properties concentrated in major, high-growth markets in the United States (“U.S.”), Canada and the United Kingdom (“U.K.”), consisting of seniors housing, and post-acute communities and outpatient medical properties. More information is available on the Internet at www.welltower.com. The information on our website is not incorporated by reference in this Annual Report on Form 10-K, and our web address is included as an inactive textual reference only.
Our primary objectives are to protect stockholder capital and enhance stockholder value. We seek to pay consistent cash dividends to stockholders and create opportunities to increase dividend payments to stockholders as a result of annual increases in net operating income and portfolio growth. To meet these objectives, we invest across the full spectrum of seniors housing and health care real estate and diversify our investment portfolio by property type, relationship and geographic location.
References herein to “we,” “us,” “our” or the “company” refer to Welltower Inc., a Delaware corporation, and its subsidiaries unless specifically noted otherwise.
Portfolio of Properties
Please see “Item 7 – Management’s Discussion and Analysis of Financial Condition and Results of Operation – Executive Summary – Company Overview” for a table that summarizes our portfolio as of December 31, 2018.2019.
Property Types
We invest in seniors housing and health care real estate and evaluate our business through three reportable segments: Seniors Housing Operating, Triple-net and Outpatient Medical. For additional information regarding our segments, please see Note 1718 to our consolidated financial statements. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note 2 to our consolidated financial statements. The following is a summary of our various property types. 
Seniors Housing Operating
Our seniors housing operating properties offer services includinginclude seniors apartments, independent living and independent supportive living, continuing care retirement communities, assisted living, Alzheimer's/dementia care and include care homes with or without nursing (U.K.), which assist with activities of daily living that preserve a person's mobility and social systems to promote cognitive engagement. Our properties include stand-alone properties that provide one level of service, combination properties that provide multiple levels of service and communities or campuses that provide a wide range of services. Properties are primarily held in joint venture entities with operating partners. We utilize the structure authorized by the REIT Investment Diversification and Empowerment Act of 2007, which is commonly referred to as a “RIDEA” structure (the provisions of the Internal Revenue Code authorizing the RIDEA structure were enacted as part of the Housing and Economic Recovery Act of 2008). 
Seniors Apartments Seniors apartments refer to age-restricted multi-unit housing with self-contained living units for older adults, usually aged 55+ who are able to care for themselves. Seniors apartments generally do not offer other additional services such as meals or transportation.
Independent Living and Independent Supportive Living (Canada)  Independent living and independent supportive living refers to age-restricted, multifamily properties with central dining that provide residents access to meals and other services such as housekeeping, linen service, transportation and social and recreational activities. 
Continuing Care Retirement Communities  Continuing care retirement communities typically include a combination of detached homes and properties offering independent living, assisted living and/or long-term/post-acute care services on one campus. These communities appeal to residents because there is no need to relocate when health and medical needs change. Resident payment plans vary, but can include entrance fees, condominium fees and rental fees. Many of these communities also charge monthly maintenance fees in exchange for a living unit, meals and some health services. 
Assisted Living  Assisted living refers to state-regulated rental properties that provide independent living services, but also provide supportive care from trained employees to residents who require assistance with activities of daily living, including, but not limited to, management of medications, bathing, dressing, toileting, ambulating and eating.
Alzheimer’s/Dementia Care  Certain properties offering assisted living may include state-licensed settings that specialize in caring for those afflicted with Alzheimer’s disease and/or other types of dementia.

Care Homes with or without Nursing (U.K.)  Care homes without nursing, regulated by the Care Quality Commission ("CQC”), are rental properties that provide essentially the same services as U.S. assisted living. Care homes with nursing, also regulated by

the CQC, are licensed daily rate or rental properties where most individuals require 24-hour nursing and/or medical care. Generally, these properties are licensed for various national and local reimbursement programs. Unlike the U.S., care homes with nursing in the U.K. generally do not provide post-acute care.
Our Seniors Housing Operating segment accounted for 69%67%, 65%69% and 59%65% of total revenues for the years ended December 31, 2019, 2018 2017 and 2016,2017, respectively. As of December 31, 2018,2019, we had relationships with 2125 operators to manage our seniors housing operating properties. In each instance, our partner provides management services to the properties pursuant to an incentive-based management contract. We rely on our partners to effectively and efficiently manage these properties. For the year ended December 31, 2018,2019, our relationship with Sunrise Senior Living accounted for approximately 36%35% of our Seniors Housing Operating segment revenues and 25%24% of our total revenues.
Triple-net
Our triple-net properties offer services including independent living and independent supportive living (Canada), assisted living, continuing care retirement communities, Alzheimer's/dementia care and care homes with or without nursing (U.K.) described above, as well as long-term/post-acute care. We invest primarily through acquisitions, development and joint venture partnerships. Our properties are primarily leased to operators under long-term, triple-net master leases that obligate the tenant to pay all operating costs, utilities, real estate taxes, insurance, building repairs, maintenance costs and all obligations under certain ground leases. We are not involved in property management. Our properties include stand-alone properties that provide one level of service, combination facilities that provide multiple levels of service, and communities or campuses that provide a wide range of services. 
Long-Term/Post-Acute Care Facilities  Post-acute care is at the leading edge of reducing health care costs while improving quality. These high-impact centers help patients recover from illness or surgery with the goals of getting the patient home and healed faster and reducing hospital readmission rates. Our long-term/post-acute care properties generally offer skilled nursing/post-acute care, inpatient rehabilitation and long-term acute care services. Skilled nursing/post-acute care refers to licensed daily rate or rental properties where most individuals require 24-hour nursing and/or medical care. Generally, these properties are licensed for Medicaid and/or Medicare reimbursement in the U.S. or provincial reimbursement in Canada. All properties offer some level of rehabilitation services. Some properties focus on higher acuity patients and offer rehabilitation units specializing in cardiac, orthopedic, dialysis, neurological or pulmonary rehabilitation. Inpatient rehabilitation properties provide intensive inpatient services after illness, injury or surgery to patients able to tolerate and benefit from three hours of rehabilitation hours per day. Long-term acute care properties provide inpatient services for patients with complex medical conditions that require more intensive care, monitoring or emergency support than is available in most skilled nursing/post-acute care properties.
Our Triple-net segment accounted for 19%, 22%19% and 28%22% of total revenues for the years ended December 31, 2019, 2018 2017 and 2016,2017, respectively. For the year ended December 31, 2018,2019, our revenues related to our relationship with ProMedica Health System ("ProMedica") accounted for approximately 22% of our Triple-net segment revenues and 4% of total revenues. As of December 31, 2019, our relationship with ProMedica was comprised of a master lease for 218 properties owned by a joint venture landlord of which we own 80%. In addition to rent, the master lease requires ProMedica to pay all operating costs, utilities, real estate taxes, insurance, building repairs, maintenance costs and all obligations under certain ground leases. All obligations under the master lease have been guaranteed by ProMedica. For the year ended December 31, 2019, our revenues related to our relationship with Genesis HealthCare (“Genesis”) accounted for approximately 15%14% of our Triple-net segment revenues and 3% of our total revenues. As of December 31, 2018,2019, our relationship with Genesis was comprised of a master lease for 8754 properties owned 100% by us, two real estatesix loans totaling approximately $187with a net balance of $296 million, approximately 9.5 million shares of GEN Series A common stock (representing approximately 9% of total GEN common stock) and a 25% ownership stake in an unconsolidated joint venture that includes a master lease for 28 properties operated by Genesis. In addition to rent, the master lease requires Genesis to pay all operating costs, utilities, real estate taxes, insurance, building repairs, maintenance costs and all obligations under certain ground leases. All obligations under the master lease have been guaranteed by FC-GEN Operations Investment, LLC, a subsidiary of Genesis.
Outpatient Medical
Outpatient Medical Buildings  Demand for outpatient medical services is growing as more procedures are performed safely and efficiently outside the hospital setting. State-of-the-art outpatient centers are needed in accessible, consumer-friendly locations. Our portfolio of outpatient medical buildings is an integral part of creating health care provider connectivity in local markets and generally include physician offices, ambulatory surgery centers, diagnostic facilities, outpatient services and/or labs. Approximately 95%94% of our outpatient medical building portfolio is affiliated with health systems (buildings directly on hospital campuses or with tenants that are satellite locations for the health system and its physicians). We typically lease our outpatient medical buildings to multiple tenants and provide varying levels of property management. Our Outpatient Medical segment accounted for 12%13%, 13%12% and 13% of total revenues for each of the years ended December 31, 2019, 2018 2017 and 2016,2017, respectively. No single tenant exceeds 20% of segment revenues.

3


Investments
Providing high-quality and affordable health care to an aging global population requires vast investments and infrastructure development. We invest in seniors housing and health care real estate primarily through acquisitions, developments and joint venture partnerships. For additional information regarding acquisition and development activity, please see Note 3 to our consolidated financial statements. Our portfolio creates opportunities to connect partners across the continuum of care and drive efficiency. We seek to diversify our investment portfolio by property type, relationship and geographic location. In determining whether to invest in a property, we focus on the following: (1) the experience of the obligor’s/partner’s management team; (2) the

historical and projected financial and operational performance of the property; (3) the credit of the obligor/partner; (4) the security for any lease or loan; (5) the real estate attributes of the building and its location; (6) the capital committed to the property by the obligor/partner; and (7) the operating fundamentals of the applicable industry. 
We monitor our investments through a variety of methods determined by the type of property. Our asset management process for seniors housing properties generally includes review of monthly financial statements and other operating data for each property, review of obligor/partner creditworthiness, property inspections, and review of covenant compliance relating to licensure, real estate taxes, letters of credit and other collateral. Our internal property management division manages and monitors the outpatient medical portfolio with a comprehensive process including review of, among other things, tenant relations, lease expirations, the mix of health service providers, hospital/health system relationships, property performance, capital improvement needs, and market conditions. 
Investment Types 
Real Property  Our properties are primarily comprised of land, buildings, improvements and related rights. Our triple-net properties are generally leased to operators under long-term operating leases. The leases generally have a fixed contractual term of 12 to 15 years and contain one or more five to 15-year renewal options. Certain of our leases also contain purchase options, a portion of which could result in the disposition of properties for less than full market value if the options were to be exercised. Most of our rents are received under triple-net leases requiring the operator to pay rent and all additional charges incurred in the operation of the leased property. The tenants are required to repair, rebuild and maintain the leased properties. Substantially all these operating leases are designed with escalating rent structures. Leases with fixed annual rental escalators are generally recognized on a straight-line basis over the initial lease period, subject to a collectability assessment. Rental income related to leases with contingent rental escalators is generally recorded based on the contractual cash rental payments due for the period. 
At December 31, 2018,2019, approximately 94%95% of our triple-net properties were subject to master leases. A master lease is a lease of multiple properties to one tenant entity under a single lease agreement. From time to time, we may acquire additional properties that are then leased to the tenant under the master lease. The tenant is required to make one monthly payment that represents rent on all the properties that are subject to the master lease. Typically, the master lease tenant can exercise its right to purchase the properties or to renew the master lease only with respect to all leased properties at the same time. We believe this bundling feature benefits us because the tenant cannot limit the purchase or renewal to better performing properties and terminate the leasing arrangement with respect to poorer performing properties. This spreads our risk among the entire group of properties within the master lease. The bundling feature should provide a similar advantage to us if the master lease tenant is in bankruptcy. Subject to certain restrictions, a debtor in bankruptcy has the right to assume or reject its unexpired leases and executory contracts. In the context of integrated master leases such as ours, our tenants in bankruptcy would be required to assume or reject the master lease as a whole, rather than deciding on a property by property basis. 
Our outpatient medical portfolio is primarily self-managed and consists principally of multi-tenant properties leased to health care providers. Our leases typically include increasers and some form of operating expense reimbursement by the tenant. As of December 31, 2018, 75%2019, 77% of our portfolio included leases with full pass through, 23%20% with a partial expense reimbursement (modified gross) and 2%3% with no expense reimbursement (gross). Our outpatient medical leases are non-cancellable operating leases that have a weighted-average remaining term of sixseven years at December 31, 20182019 and are often credit enhanced by security deposits, guarantiesguarantees and/or letters of credit.
Construction  We provide for the construction of properties for tenants primarily as part of long-term operating leases. We capitalize certain interest costs associated with funds used for the construction of properties owned by us. The amount capitalized is based upon the amount advanced during the construction period using the rate of interest that approximates our company-wide cost of financing. Our interest expense is reduced by the amount capitalized. We also typically charge a transaction fee at the commencement of construction which we defer and amortize to income over the term of the resulting lease. The construction period commences upon funding and terminates upon the earlier of the completion of the applicable property or the end of a specified period. During the construction period, we advance funds to the tenants in accordance with agreed upon terms and conditions which require, among other things, periodic site visits by a company representative. During the construction period, we generally require an additional credit enhancement in the form of payment and performance bonds and/or completion guaranties.guarantees. At December 31, 2018,2019, we had outstanding construction investments of $194,365,000$507,931,000 and were committed to provide additional funds of approximately $436,984,000$446,633,000 to complete construction for investment properties. We also provide for construction loans which, depending on the terms and conditions, could be treated as loans, real property or investments in unconsolidated entities. 

Real Estate Loans  Our real estate loans are typically structured to provide us with interest income, principal amortization and transaction feesfees. Real estate loans consist of mortgage loans and other real estate loans which are primarily collateralized by a first, second or third mortgage lien, a leasehold mortgage on, or an assignment of the partnership interest in the related properties, corporate guarantees and/or personal guarantees. Non real estate loans are generally secured by first/second mortgage liens, leasehold mortgages, corporate guaranties and/or personal guaranties.loans with no real estate backing. At December 31, 2018,2019, we had gross outstanding real estate loans, net of $398,711,000. Theallowances, of $607,236,000 with an interest yield averagedof approximately 7.9%8.0% per annum on our outstanding real estate loan balances.annum. Our yield on real estate loans depends upon a number of factors, including the stated interest rate, average principal amount outstanding during the term of the loan and any interest rate adjustments. The real estate loans outstanding at December 31, 20182019 are generally subject to one to 15-year terms with principal amortization schedules and/or balloon payments of the outstanding principal balances at the end of the term. Typically, real estate

loans are cross-defaulted and cross-collateralized with other real estate loans, operating leases or agreements between us and the obligor and its affiliates.
Investments in Unconsolidated Entities Investments in entities that we do not consolidate but for which we can exercise significant influence over operating and financial policies are reported under the equity method of accounting. Our investments in unconsolidated entities generally represent interests ranging from 10% to 50% in real estate assets. Under the equity method of accounting, our share of the investee’s earnings or losses is included in our consolidated results of operations. To the extent that our cost basis is different from the basis reflected at the entity level, the basis difference is generally amortized over the lives of the related assets and liabilities, and such amortization is included in our share of equity in earnings of the entity. The initial carrying value of investments in unconsolidated entities is based on the amount paid to purchase the entity interest inclusive of transaction costs. We evaluate our equity method investments for impairment based upon a comparison of the estimated fair value of the equity method investment to its carrying value. When we determine a decline in the estimated fair value of such an investment below its carrying value is other-than-temporary, an impairment is recorded. 
In Substance Real Estate Additionally, we provide loans to third parties for the acquisition, development and construction of real estate. Under these arrangements, it is possible that we will participate in the expected residual profits of the project through the sale, refinancing or acquisition of the property. We evaluate the characteristics of each arrangement, including its risks and rewards, to determine whether they are more similar to those associated with a loan or an investment in real estate. Arrangements with characteristics implying real estate joint ventures are treated as in substance real estate investments, accounted for using the equity method, and are presented as investments in unconsolidated entities. We have made loans totaling $165,193,000 related to seven properties as of December 31, 2019, which are classified as in substance real estate investments.
Principles of Consolidation
The consolidated financial statements are in conformity with U.S general accepted accounting principles (“U.S. GAAP”) and include the accounts of our wholly-owned subsidiaries and joint venture entities that we control, through voting rights or other means. All material intercompany transactions and balances have been eliminated in consolidation.
At inception of joint venture transactions, we identify entities for which control is achieved through means other than voting rights (“variable interest entities” or “VIEs”) and determine which business enterprise is the primary beneficiary of its operations. A VIE is broadly defined as an entity where either (i) the equity investors as a group, if any, do not have a controlling financial interest, or (ii) the equity investment at risk is insufficient to finance that entity’s activities without additional subordinated financial support. We consolidate investments in VIEs when we are determined to be the primary beneficiary. Accounting Standards Codification Topic 810, "Consolidations", requires enterprises to perform a qualitative approach to determining whether or not a VIE will need to be consolidated. This evaluation is based on an enterprise’s ability to direct and influence the activities of a VIE that most significantly impact that entity’s economic performance.
For investments in joint ventures, U.S. GAAP may preclude consolidation by the sole general partner in certain circumstances based on the type of rights held by the limited partner(s). We assess the limited partners’ rights and their impact on our consolidation conclusions, and we reassess if there is a change to the terms or in the exercisability of the rights of the limited partners, the sole general partner increases or decreases its ownership of limited partnership interests, or there is an increase or decrease in the number of outstanding limited partnership interests. We similarly evaluate the rights of managing members of limited liability companies.
Borrowing Policies
We utilize a combination of debt and equity to fund investments. Generally, we intend to issue unsecured, fixed-rate public debt with long-term maturities to approximate the maturities on our triple-net leases and investment strategy. For short-term purposes, we may borrow on our primary unsecured credit facility or issue commercial paper. We replace these borrowings with long-term capital such as senior unsecured notes or common stock. When terms are deemed favorable, we may invest in properties subject to existing mortgage indebtedness. In addition, we may obtain secured financing for unleveraged properties in which we have invested or may refinance properties acquired on a leveraged basis. In certain agreements with our lenders, we are subject to restrictions with respect to secured and unsecured indebtedness.

5


Competition
We compete with other real estate investment trusts, real estate partnerships, private equity and hedge fund investors, banks, insurance companies, finance/investment companies, government-sponsored agencies, taxable and tax-exempt bond funds, health care operators, developers and other investors in the acquisition, development, leasing and financing of health care and seniors housing properties. We compete for investments based on a number of factors including relationships, certainty of execution, investment structures and underwriting criteria. Our ability to successfully compete is impacted by economic and demographic trends, availability of acceptable investment opportunities, our ability to negotiate beneficial investment terms, availability and cost of capital, construction and renovation costs and applicable laws and regulations.
The operators/tenants of our properties compete with properties that provide comparable services in the local markets. Operators/tenants compete for patients and residents based on a number of factors including quality of care, reputation, physical appearance of properties, location, services offered, family preferences, physicians, staff, and price. We also face competition from other health care facilities for tenants, such as physicians and other health care providers that provide comparable facilities and services.
For additional information on the risks associated with our business, please see “Item 1A — Risk Factors” of this Annual Report on Form 10-K.

Corporate ResponsibilityEnvironmental, Social and Governance
Environmental, Social and Governance ("ESG") ApproachSustainability Approach Our corporate responsibility and sustainability strategy is focused on adopting the best environmental, social and governanceESG practices across our business and we have been recognized for our leadership in this space.space, including over the past year:
Named to Fortune's World's Most recently, Welltower was listedAdmired Companies List;
Named to the 2018top quintile of Newsweek's inaugural America's Most Responsible Companies list;
Named to Corporate Responsibility Magazine's 20th Annual 100 Best Corporate Citizens ranking;
Named to Dow Jones Sustainability World Index for the second consecutive year and named an industry moverto the Dow Jones Sustainability North American Index for the fourth consecutive year;
Named Energy Star Partner of the Year for the first time;
Designated as GRESB Green Star for sustainability performance for the fifth consecutive year;
Named to the Bloomberg Gender-Equality Index;
Achieved ISS-ESG Prime status; and
Garnered highest corporate sustainability assessmentenvironmental and social quality score increaseratings by sustainable investment specialists RobecoSAM.ISS.
Environmental We strive to reduce our environmental impact by increasing energy and water efficiency, reducing greenhouse gas emissions, and investing in projects that reduce energy and water consumption that meet our rate of return thresholds.thresholds and focusing on the environmental aspects within our supply chain. We have comprehensive employee, tenant and vendor engagement programs in place focused on operational strategies to drive energy and water efficiency. In our medical office building portfolio, we have transitioned to a standard green lease, which aligns tenant and landlord interests on energy and water efficiency.efficiency, and as of the end of 2018 have executed over 405,000 square feet of green leases. We seek to increase our consumption of green and renewable energy where possible and have on-site solar installations at seven properties in our medical office building portfolio.consumed over 32,000 MWh of renewable electricity, an increase of over 6,000 MWh versus the previous year. We are actively pursuing LEED or BREEAM certification for over 200,000 square feet of our new developments and have 3812 BREEAM, 78 ENERGY STAR, certified properties25 IREM, 12 LEED and 11 IREM Certified Sustainable Property63 Welltower Green Arrow property certifications across our portfolio. Additionally, 100% of our control boundary, comprised of our managed outpatient medical portfolio, is benchmarked in EPA ENERGY STAR Portfolio Manager.Manager and we are constantly working to add to that number.
Year(1)
 
Total energy consumption in control boundary(2)
 Control boundary energy use intensity (EUI) 
Like-for-like change in energy consumption within control boundary(3)
 
Percent renewable energy consumed within control boundary(4)
 
Total energy consumption in control boundary (MWh)(2)
 Control boundary energy use intensity (kWH/square feet) 
Like-for-like change in energy consumption within control boundary(3)
 
Percent renewable energy consumed within control boundary(4)
2018 300,094 26.20 (1)% 10.82%
2017 375,059 MWh 24.35 kWh/sq ft (1)% 7.25% 302,001 26.37 n/a 8.76%
2016 360,165 MWh 22.82 kWh/sq ft n/a n/a 360,342 22.82 n/a n/a
2015 350,342 MWh 21.49 kWh/sq ft n/a n/a

Year(1)
 
Control Boundary Water consumption(2)
 Water use intensity (WUI) 
Like-for-like change in water consumption within control boundary(3)
 
Control boundary water consumption (kgal)(2)
 Water use intensity (gallons/square feet) 
Like-for-like change in water consumption within control boundary(3)
2018 293,609 25.6 (3.40)%
2017 319,045 kgal 24.0 gal/sq ft (6.23)% 303,616 26.5 0.38%
2016 337,081 kgal 26.4 gal/sq ft 7.01% 337,081 26.4 n/a
2015 319,630 kgal 25.0 gal/sq ft n/a
(1) Full 20182019 calendar year energy and water data is not available until March 2019. 20172020. 2018 is the most recent year for which fill energy and water is available and externally verified.
(2) Our control boundary refers to its managed medical office building portfolio. Energy and water data reported is reflective of control boundary energy and water consumption.
(3) Like-for-like change in energy consumption within control boundary is not available prior to 2017 due to a change in energy consumption methodology. 2017 represents the first year where tenant data is included in our sustainability performance metrics. Like-for-like change in water consumption within control boundary is not available prior to 20162017 due to lack of available data.
(4) Renewable energy consumption data within control boundary is not available prior to 2017 due to lack of data. The data represent on-site and off-site renewable energy generated and consumed by properties within our control boundary.

We understand that as we continue to make our operations and buildings more sustainable, we also have a responsibility to look towards our supply chain and the effect of our purchasing decisions. Welltower created a Supplier Code of Conduct that is generally integrated into our standard contract to help ensure our suppliers abide by Welltower's ethical standards. We also developed a Supplier Sustainability Survey that was delivered to our highest spend national accounts. Additionally, we partner with suppliers that offer take back programs for their products, look for the ENERGY STAR label when purchasing eligible items, seek to purchase office supply products that contain recycled content and purchase paper products that are either Forest Stewardship Council or Sustainable forestry initiative certified.
Social We have a number of social initiatives in place that are focused on fostering a more diverse workforce, giving back to our communities and ensuring the health and wellbeing of our employees, tenants and residents. We were recently awarded Silver levelOver the past five years, since we began reporting the impact of recognition byour charitable contributions through programs such as the American Heart Association's Workplace Health Achievement Index. Through our Welltower Foundation, we have donated over $2.5$40 million since 2015 to organizations that supportcharitable initiatives related to aging, health care, education and wellness, the artsarts.
We value and education.are committed to our employees. In addition to enacting progressive recruitment and development programs, we have reinforced our already strong commitment to diversity and inclusion with the creation of a Diversity Council, which together with other employee initiatives, supports our efforts to compete for and foster talent in a changing workforce.
Governance We announced two newchanges and appointments to our Board of Directors, resulting in 55%75% of our independent director positions being held by minorities and women as of December 31, 2018.2019. We continue to bolster our commitment to transparency and published our 7th consecutive Annual Corporate Social Responsibility Report in accordance with Global Reporting Initiative Standards. Additionally, we also improved our already high Dow Jones Sustainability Index, GRESB, ISS and ISS-ESG scores through enhanced tracking and reporting.
Employees As of January 31, 2019,2020, we had 384443 employees.
Credit Concentrations Please see Note 89 to our consolidated financial statements.
Geographic Concentrations Please see “Item 2 – Properties” below and Note 1718 to our consolidated financial statements.

Health Care Industry
The demand for health care services, and consequently health care properties, is projected to reach unprecedented levels in the near future. The Centers for Medicare and Medicaid Services (“CMS”) projects that national health expenditures will rise to approximately $3.7 trillion in 2018 or 18.5% of gross domestic product. The average annual growth in national health expenditures for 2015 through 2025 is expected to be 5.8%. While demographics are the primary driver of demand, economic conditions and availability of services contribute to health care service utilization rates. We believe the health care property market may be less susceptible to fluctuations and economic downturns relative to other property sectors. Investor interest in the market remains strong, especially in specific sectors such as private-pay seniors housing and outpatient medical buildings. The total U.S. population for 2015 through 2025 is projected to increase by 9.3%. The elderly population aged 65 and over is projected to increase by 36% through 2025. The elderly are an important component of health care utilization, especially independent living services, assisted living services, long-term/post-acute care services, inpatient and outpatient hospital services and physician ambulatory care. Most health care services are provided within a health care facility such as a hospital, a physician’s office or a seniors housing community. Therefore, we believe there will be continued demand for companies, such as ours, with expertise in health care real estate. 
Health care real estate investment opportunities tend to increase as demand for health care services increases.  We recognize the need for health care real estate as it correlates to health care service demand.  Health care providers require real estate to house their businesses and expand their services.  We believe that investment opportunities in health care real estate will continue to be present due to:
The specialized nature of the industry, which enhances the credibility and experience of the company;
The projected population growth combined with stable or increasing health care utilization rates, which ensures demand; and
The on-going merger and acquisition activity.
Certain Government Regulations
United States
Health Law Matters — Generally
Typically, operators of seniors housing facilities do not receive significant funding from government programs and are largely subject to state laws, as opposed to federal laws. Operators of long-term/post-acute care facilities and hospitals do receive significant funding from government programs, and these facilities are subject to extensive regulation, including federal and state laws covering the type and quality of medical and/or nursing care provided, ancillary services (e.g., respiratory, occupational, physical and infusion therapies), qualifications of the administrative personnel and nursing staff, the adequacy of the physical plant and equipment, reimbursement and rate setting and operating policies. In addition, as described below, operators of these facilities are subject to extensive laws and regulations pertaining to health care fraud and abuse, including, but not limited to, the federal Anti-Kickback Statute (“AKS”), the federal Stark Law (“Stark Law”), and the federal False Claims Act (“FCA”), as well as comparable state laws. Hospitals, physician group practice clinics, and other health care providers that operate in our portfolio are subject to extensive federal, state, and local licensure, registration, certification, and inspection laws, regulations, and industry standards, as well as other conditions of participation in federal and state government programs such as Medicare orand Medicaid. Further, operators of long-term care facilities are required to have in place compliance and ethics programs that meet the requirements of federal laws and regulations. Our tenants’ failure to comply with applicable laws and regulations could result in, among other things: loss of

accreditation; denial of reimbursement; imposition of fines; suspension, decertification, or exclusion from federal and state health care programs; loss of license; or closure of the facility. See risk factors “The requirements of, or changes to, governmental reimbursement programs, such as Medicare or Medicaid, could have a material adverse effect on our obligors’ liquidity, financial condition and results of operations, which could adversely affect our obligors’ ability to meet their obligations to us” and “Our operators’ or tenants’ failure to comply with federal, state, local, and industry-regulated licensure, certification and inspection laws, regulations, and standards could adversely affect such operators’ or tenants’ operations, which could adversely affect our operators’ and tenants’ ability to meet their obligations to us” in “Item 1A – Risk Factors” below. Moreover, in light of certain arrangements that Welltower may pursue with healthcare entities who are directly subject to laws and regulations pertaining to health care fraud and abuse, and given that certain of our arrangements are structured under the provisions of the REIT Investment Diversification and Empowerment Act of 2007 ("RIDEA"), certain health care fraud and abuse laws and data privacy laws could apply directly to Welltower. See risk factor "We assume operational and legal risks with respect to our properties managed in RIDEA structures that could have a material adverse effect on our business results of operations, and financial condition" in "Item 1A - Risk Factors" below.
Licensing and Certification
The primary regulations that affect long-term and post-acute care facilities are state licensing and registration laws. For example, certain health care facilities are subject to a variety of licensure and certificate of need (“CON”) laws and regulations. Where applicable, CON laws generally require, among other requirements, that a facility demonstrate the need for (1) constructing a new facility, (2) adding beds or expanding an existing facility, (3) investing in major capital equipment or adding new services, (4) changing the ownership or control of an existing licensed facility or (5) terminating services that have been previously approved through the CON process. Certain state CON laws and regulations may restrict the ability of operators to add new properties or expand an existing facility’s size or services. In addition, CON laws may constrain the ability of an operator to transfer responsibility for operating a particular facility to a new operator.

With respect to licensure, generally our long-term/post-acute care facilities are required to be licensed and certified for participation in Medicare, Medicaid and other federal and state health care programs. The failure of our operators to maintain or renew any required license or regulatory approval as well as the failure of our operators to correct serious deficiencies identified in a compliance survey could require those operators to discontinue operations at a property. In addition, if a property is found to be out of compliance with Medicare, Medicaid or other federal or state health care program conditions of participation, the property operator may be excluded from participating in those government health care programs.
Reimbursement
The reimbursement methodologies applied to health care facilities continue to evolve. Federal and state authorities have considered and implemented and may seekcontinue seeking to implement new or modified reimbursement methodologies, including value-based reimbursement methodologies that may negatively impact health care property operations. Likewise, third-party payors may continue imposing greater controls on operators, including through changes in reimbursement rates and fee structures. The impact of any such changes, if implemented, may result in a material adverse effect on our portfolio. No assurance can be given that current revenue sources or levels will be maintained. Accordingly, there can be no assurance that payments under a government health care program are currently, or will be in the future, sufficient to fully reimburse the property operators for their operating and capital expenses.
Seniors Housing Facilities  The majority of the revenues received by the operators of U.S. seniors housing facilities are from private pay sources. The remaining revenue source is primarily Medicaid provided under state waiver programs for home and community based care. There can be no guarantee that a state Medicaid program operating pursuant to a waiver will be able to maintain its waiver status. Rates paid by self-pay residents are set by the facilities and are determined by local market conditions and operating costs. Generally, facilities receive a higher payment per day for a private pay resident than for a Medicaid beneficiary who requires a comparable level of care. The level of Medicaid reimbursement varies from state to state. Thus, the revenues generated by operators of our assisted living facilities may be adversely affected by payor mix, acuity level, changes in Medicaid eligibility and reimbursement levels.
Long-Term/Post-Acute Care Facilities  The majority of the revenues received by the operators of these facilities are from the Medicare and Medicaid programs, with the balance representing reimbursement payments from private payors. Consequently, changes in federal or state reimbursement policies may adversely affect an operator’s ability to cover its expenses, including our rent or debt service. Long-term/post-acute care facilities are subject to periodic pre- and post-payment reviews and other audits by federal and state authorities. A review or audit of a property operator’s claims could result in recoupments, denials or delay of payments in the future. Due to the significant judgments and estimates inherent in payor settlement accounting, no assurance can be given as to the adequacy of any reserves maintained by our property operators to cover potential adjustments to reimbursements or to cover settlements made to payors.
Medicare Reimbursement  Generally, long-term/post-acute care facilities are reimbursed by Medicare under prospective payment systems, which generally provide reimbursement based upon a predetermined fixed amount per episode of care and are updated by CMS, an agency of the Department of Health and Human Services (“HHS”) annually. There is a risk under these payment systems that costs will exceed the fixed payments, or that payments may be set below the costs to provide certain items and services. In addition, the HHS Office of Inspector General has released recommendations to address SNF billing practices and Medicare payment rates. If followed, these recommendations regarding SNF payment reform may impact our tenants and operators.

under these payment systems that costs will exceed the fixed payments, or that payments may be set below the costs to provide certain items and services. In addition, the HHS Office of Inspector General has released recommendations to address SNF billing practices and Medicare payment rates. If followed, these recommendations regarding SNF payment reform may impact our tenants and operators.
Medicaid Reimbursement  Many states reimburse SNFs using fixed daily rates, which are applied prospectively based on patient acuity and the historical costs incurred in providing patient care. In most states, Medicaid does not fully reimburse the cost of providing services. Certain states are attempting to slow the rate of Medicaid growth by freezing rates or restricting eligibility and benefits. In addition, Medicaid reimbursement rates may decline if state revenues in a particular state are not sufficient to fund budgeted expenditures.
Medicare Reimbursement for Physicians, Hospital Outpatient Departments (“HOPDs”), and Ambulatory Surgical Centers (“ASCs”) Changes in reimbursement to physicians, HOPDs and ASCs may further affect our tenants and operators.  Generally, Medicare reimburses physicians under the Physician Fee Schedule, while HOPDs and ASCs are reimbursed under prospective payment systems. The Physician Fee Schedule and the HOPD and ASC prospective payment systems are updated annually by CMS. These annual Medicare payment regulations have resulted in lower net pay increases than providers of those services have often expected. In addition, the Medicare and Children’s Health Insurance Program Reauthorization Act of 2015 (“MACRA”) includes payment reductions for providers who do not meet government quality standards. The implementation of pay-for-quality models like those required under MACRA is expected to produce funding disparities that could adversely impact some provider tenants in outpatient medical buildings and other health care properties. Changes in Medicare Advantage plan payments may also indirectly affect our operators and tenants that contract with Medicare Advantage plans.
Health Reform Laws The Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 (collectively, the “Health Reform Laws”) dramatically altered how health care is delivered and reimbursed in the U.S. and contained various provisions, including Medicaid expansion and the establishment of Health Insurance Exchanges (“HIEs”) providing subsidized health insurance, that may directly impact us or the operators and tenants of our properties. The status of the Health Reform Laws may be subject to change as a result of political, legislative, regulatory and administrative developments and judicial proceedings. While legislative attempts to completely repeal the Health Reform Laws have been unsuccessful to date, there have been multiple attempts to repeal or amend the Health Reform Laws through legislative action and legal challenges. Since taking office, President Trump and the current U.S. Congress have sought to modify, repeal or otherwise invalidate all or portions of the Health Reform Laws. For example, in December 2017, the U.S. Congress passed the Tax Cuts and Jobs Act, which included a provision that eliminates the penalty under the Health Reform Laws’ individual mandate, effective in 2019, and could impact the future state of the HIEs established by the Health Reform Laws. In December 2018, a federal district court in Texas ruled the individual mandate was unconstitutional and could not be severed from the Health Reform Laws. As a result, the court ruled the remaining provisions of the Health Reform Laws were also invalid, though the court declined to issue a preliminary injunction with respect to the Health Reform Laws. In December 2019, the Fifth Circuit Court of Appeals agreed that the individual mandate was unconstitutional, but remanded the case back to the district court to reassess how much of the Health Reform Laws would be damaged without the individual mandate provision, and if the individual mandate could indeed be severed. In January 2020, 21 state Attorney Generals urged the Supreme Court of the United States to decide whether or not the Health Reform Laws should be struck down as unconstitutional, claiming that the Fifth Circuit erroneously remanded the case to the Texas district court. The House of Representatives filed a similar petition and motion to expedite. This litigation is still ongoing, but places great uncertainty upon the longevity and nature of the Health Reform Laws moving forward. There is still uncertainty with respect to the additional impact President Trump’s Administration and the U.S. Congress may have, if any, and any changes will likely take time to unfold, and could have an impact on coverage and reimbursement for health care items and services covered by plans that were authorized by the Health Reform Laws. We cannot predict whether the existing Health Reform Laws, or future health care reform legislation or regulatory changes, will have a material impact on our operators’ or tenants’ property or business.

portions of the Health Reform Laws. For example, in October 2017, President Trump issued an executive order in which he stated that it is his Administration’s policy to seek the prompt repeal of the Health Reform Laws and directed executive departments and federal agencies to waive, defer, grant exemptions from, or delay the implementation of the provisions of the Health Reform Laws to the maximum extent permitted by law. On the same day, the federal government separately announced that cost-sharing reduction payments to insurers offering qualified health plans through the HIEs would end, effective immediately, unless Congress appropriated the funds. Further, in December 2017, the U.S. Congress passed the Tax Cuts and Jobs Act, which included a provision that eliminates the penalty under the Health Reform Laws’ individual mandate and could impact the future state of the HIEs established by the Health Reform Laws. There is still uncertainty with respect to the additional impact President Trump’s Administration and the U.S. Congress may have, if any, and any changes will likely take time to unfold, and could have an impact on coverage and reimbursement for health care items and services covered by plans that were authorized by the Health Reform Laws. We cannot predict whether the existing Health Reform Laws, or future health care reform legislation or regulatory changes, will have a material impact on our operators’ or tenants’ property or business.
Fraud & Abuse Enforcement
Long-term/post-acute care facilities (and seniors housing facilities that receive Medicaid payments) are subject to federal, state, and local laws, regulations, and applicable guidance that govern the operations and financial and other arrangements that may be entered into by health care providers. Certain of these laws, such as the AKS and Stark Law, prohibit direct or indirect payments of any kind for the purpose of inducing or encouraging the referral of patients for medical products or services reimbursable by government health care programs. Other government health program laws require providers to furnish only medically necessary services and submit to the government valid and accurate statements for each service. Our operators and tenants that receive payments from federal healthcarehealth care programs, such as Medicare and Medicaid, are subject to substantial financial penalties under the Civil Monetary Penalties Act and the FCA upon a finding of noncompliance with such laws. In addition, states may also have separate false claims acts, which, among other things, generally prohibit health care providers from filing false claims or making false statements to receive payments. Federal and state FCAs contain "whistleblower" provisions that permit private individuals to bring health care fraud enforcement claims on behalf of the government. Still other laws require providers to comply with a variety of safety, health and other requirements relating to the condition of the licensed property and the quality of care

provided. Sanctions for violations of these laws, regulations and other applicable guidance may include, but are not limited to, criminal and/or civil penalties and fines, loss of licensure, immediate termination of government payments, exclusion from any government health care program, damage assessments and imprisonment. In certain circumstances, violation of these rules (such as those prohibiting abusive and fraudulent behavior) with respect to one property may subject other facilities under common control or ownership to sanctions, including exclusion from participation in the Medicare and Medicaid programs, as well as other government health care programs. In the ordinary course of its business, a property operator is regularly subjected to inquiries, investigations and audits by the federal and state agencies that oversee these laws and regulations.
Prosecutions, investigations or whistleblower actions could have a material adverse effect on a property operator’s liquidity, financial condition, and operations, which could adversely affect the ability of the operator to meet its financial obligations to us. In addition, government investigations and enforcement actions brought against the health care industry have increased dramatically over the past several years and are expected to continue. The costs for an operator of a health care property associated with both defending such enforcement actions and the undertakings in settling these actions can be substantial and could have a material adverse effect on the ability of an operator to meet its obligations to us. In addition, Welltower could potentially be directly subject to these health care fraud and abuse laws, as well as potential investigation or enforcement, as a result of our RIDEA-structured arrangements, and certain collaboration or other arrangements we may pursue with stakeholders who are directly subject to these laws.
Federal and State Data Privacy and Security Laws
The Health Insurance Portability and Accountability Act of 1996 (“HIPAA”), as amended by the Health Information Technology for Economic and Clinical Health Act, and numerous other state and federal laws govern the collection, security, dissemination, use, access to and confidentiality of personal information, including individually identifiable health information. Violations of these laws may result in substantial civil and/or criminal fines and penalties. The costs to the business or for an operator of a health care property associated with developing and maintaining HIPAA complianceprograms and systems to comply with data privacy and security laws, defending against privacy and security related claims or enforcement actions and paying any assessed fines, can be substantial andsubstantial. Moreover, such costs could have a material adverse effect on the ability of an operator to meet its obligations to us. Finally, data privacy and security laws and regulations continue to develop, including with regard to HIPAA and U.S. state privacy laws such as the California Consumer Privacy Act. These developments may add potential uncertainty towards compliance obligations, business operations or transactions that depend on data. These new privacy laws may create restrictions or requirements in our, operators and other business partner's use, sharing and securing of data. New privacy and security laws further could require substantial investment in resources to comply with regulatory changes as privacy and security laws proliferate in divergent ways or impose additional obligations.
United Kingdom
In the U.K., care home services are principally regulated by the Health and Social Care Act 2008 (as amended) and other regulations. This legislation subjects service providers to a number of legally binding “Fundamental Standards” and requires, amongst other things, that all persons carrying out “Regulated Activities” in the U.K., and the managers of such persons, be registered. Providers of care home services are also subject (as data controllers) to laws governing their use of personal data (including in relation to their employees, clients and recipients of their services). These laws currently take the form of the U.K.’s Data Protection Act 2018 and the European Union’s (“EU”) General Data Protection Regulation (“GDPR”) among other laws. The Data Protection Act and the GDPR impose a significant number of new obligations on controllers with the potential for fines of up to 4% of annual worldwide turnover or €20 million, whichever is greater. Entities incorporated in or carrying on a business in the U.K., as well as individuals residing in the U.K., are also subject to the U.K. Bribery Act 2010. The U.K. has recently introduced a new

national minimum wage legislation with a maximum fine for non-payment of £20,000 per worker and employers who fail to pay will be banned from being a company director for up to 15 years. The national minimum wage is set to increase in April 2020.
The U.K. recently voted to exitexited from the EU (“Brexit”). Negotiations on January 31, 2020. U.K. There will be a transition period until the end of 2020 during which time the U.K. will continue to abide by all EU rules while it seeks to negotiate its relationship with the EU, which would include inter alia the regulation and import of medicines. Further, the impact of Brexit on the exit agreementhealth and care workforce will depend on future migration policy and the barriers or incentives to live in the U.K. Until the terms of the withdrawal are underway but at present it is not possible tofinally determined we cannot predict whetherthe impact of Brexit will have a material impact on our operators’ or tenants’ property or business.U.K. regulations.
Canada
Retirement homesSenior living residences in Canada are provincially regulated. Within each province, there are different categories for senior living residences that are generally based on the level of care sought and/or required by a resident (e.g. assisted or retirement living, senior living residences, residential care, long-term care). In some of these categories and long-term care homesdepending on the province, residences may be government funded, or the individual residents may be eligible for a government subsidy, while other residences are subject to regulation,exclusively private-pay. The governing legislation and long-term care homes receive funding, under provincial law. There is no federal regulation in this area. Set out below are summariesregulations vary by province, but generally the object of the principal regulatorylaws is to set licensing requirements and minimum standards for senior living residences, and regulate operations. These laws empower regulators in the provinces where we have a material number of facilities.
Licensing and Regulation
Alberta 
In Alberta, there are three relevant designations for seniors’ living arrangements, ordered below from the most independenteach province to the highest level of care.
Retirement Homes (also called independent living) are designed for older adults able to live on their own, and may offer various lifestyle amenities. These residences may be rented, privately owned, or life-leased, and may be operated for profit or non-profit. Support services are not usually offered, but can be arranged by residents. Retirement homes do not generally receive government funding; residents pay for tenancy and services received. Rental subsidies may be available to qualified seniors. Independent living residences are subject to provincial tenancy and housing laws.
Supportive Living (also called assisted living) provides home-like accommodation for residents who wish or need to access care, assistance, and services. Operators provide at least one meal a day and/or housekeeping services. There are four levels of supportive living, addressing care needs from basic to advanced. In addition, there are two specialized designations of supportive care to address the needs of residents who require the highest level of care including for those who have cognitive impairments. Supportive living can include senior lodges, group homes, and mental health and designated supportive living accommodations, which can be operated by private for-profit or not-for-profit, or public operators. Supportive living services are licensed and regulated under provincial laws, and governed by the Ministry of Health. Operators receiving public funds for health and personal care services must also comply with additional provincial legislation, and are subject to legislated safeguards aimed at investigation of suspected abuse. The maximum accommodation fee in publicly-funded designated supportive living is regulated by Alberta Health. In other supportive living settings, the operator sets the cost of accommodation. Health services are publicly-funded and provided through Alberta Health Services. Private sector operators are eligible to apply for government funding under a government capital grant program that provides funding to develop long-term care and affordable supportive living spaces.
Nursing Homes (also called long-term care) are for residents who have complex, unpredictable medical needs and who require 24-hour on-site registered nurse assessment or treatment. Nursing homes are regulated by provincial laws, and governed by the Ministry of Health. Operators are not licensed, but enter into agreements with the Ministry for the operation of nursing homes and must comply with certain accommodation standards. Homes can be operated by private for-profit or not-for-profit, or public operators. Operators that receive public funds for health and personal care services must also comply with certain health service standards and legislation aimed at protecting residents. Alberta Health regulates the maximum accommodation fee in publicly-funded nursing homes. Health services in long-term care are publicly-funded, provided through Alberta Health Services. Private sector operators are eligible to apply for government funding, and the Minister may make grants to an operator in respect of its operating or capital costs.
Ontario
Retirement homes are regulated and licensed under a provincial law aimed at protecting residents. Retirement homes do not receive government funding; residents enter into tenancy agreements under provincial tenancy law, and pay for tenancy and services received. Residents may access publicly-funded external care services at the home from external suppliers. Retirement home licenses are granted by the Retirement Homes Regulatory Authority (“RHRA”), and are non-transferable. The RHRA administers the law governing retirement homes, to ensure that licensees are meeting certain standards, generally with respect to care and safety. The law requires any person to report to the RHRA when there are reasonable grounds to suspect abuse of a resident by anyone, or neglect of a resident by staff. The RHRA conducts a mandatory inspection and issues a report that is posted on the RHRA’s public website, and also must be posted in the subject home if it is the most recent report. The Registrar of the RHRA can receive complaints about a retirement home contravening a provision of the law, and if such a complaint is received, it must be reviewed promptly. The Registrar has broad powers relating to complaint investigation and action. The RHRA Registrar has the power to inspect a retirement home at any time without warning or issue a warrant to ensure compliance. Compliance inspections occur at least every three years. The Registrar has the power to maketake a variety of orders includingsteps to ensure compliance, conduct inspections, issue reports and generally regulate the imposition of a fine or an order revoking the operator’s license. The applicable law also enumerates offenses, such as operating without a license, and provides for penalties for offenses.industry.

British Columbia
Provincial laws regulate and license “community care facilities” (long-term care homes)Our operations in substantially the same manner as retirement homes are regulated under Ontario laws. Community care facilities are defined as premises used for the purpose of supervising vulnerable persons who require three or more prescribed services (from a list that includes regular assistance with activities of daily living; distribution of medication; management of cash resources; monitoring of food intake; structured behavior management and intervention; and psychosocial or physical rehabilitative therapy).
Provincial law also recognizes and regulates “assisted living residences,” for seniors who can live independently, but require assistance with certain activities. Services available can include meals, housekeeping, monitoring and emergency support, social/recreational opportunities, and transportation. Assisted living residences do not require a license, but must be registered with the registrar of assisted living residences and must be operated in a manner that does not jeopardize the health or safety of residents. If the registrar believes the standard is not being met, the registrar may inspect the residence and may suspend or cancel a registration.  Independent living residences offer housing and hospitality services for retired adults who are functionally independent and able to direct their own care.
Québec
Provincial laws in Québec regulate retirement homes (private seniors’ residences) as well as long-term care homes (residential and long-term care centers). Private seniors’ residences are required to obtain a certificate of compliance based on prescribed operating standards. A certificate of compliance is issued for a period of four years and is renewable. The regional health and social agency may revoke or refuse to issue or renew a certificate of compliance if, among other things, the operator fails to comply with the applicable law. The agency may also order corrective measures, further to an inspection, complaint or investigation. The agency is authorized to inspect a residence, at any reasonable time of day, in order to ascertain whether it complies with the law. 
Private seniors’ residences may belong to either or both of the following categories: (i) those offering services to independent elderly persons and (ii) those offering services to semi-independent elderly persons. The operator must, for each category, comply with the applicable criteria and standards, with some exceptions for residences with fewer than six or ten rooms or apartments. There are requirements with respect to residents’ health and safety, meal services and recreation, content of residents’ files, disclosure of information to residents, and staffing, among other things.
In May 2017, Quebec adopted the Act to combat maltreatment of seniors and other persons of full age in vulnerable situations, which aims to implement a Quebec-wide framework agreement to combat maltreatment, targets all facilities that provide health services and social services to seniors and vulnerable persons, including health establishments and private residences. We expect that it will affect private seniors’ residences in the following ways:
Health establishments are required to adopt an “Anti-Maltreatment Policy”, providing notably for the measures put in place to prevent maltreatment of persons in vulnerable situations;
The policy adopted by health establishments will notably have to include the required adaptation for the implementation of the policy in private sector residences; and
Operators of private seniors’ residences will be required to apply the policy adopted by the integrated health and social services center in their territory, as well as ensure that the policy is known by residents, their family members and their employees.
Other Related Laws
Privacy
The services provided in our facilitiesCanada are subject to privacy legislation, in Canada, including, in certain provinces, privacy laws specifically related to personal health information. Although the obligations of custodians of personal informationsenior living residences in the various provinces differ, they all include the obligation to protect thepersonal information. The organizations with which we have management agreements may be the custodianUnder some of personal information collected in connection with the operation of our facilities.
Privacythese laws, in Canada are consent-based and require the implementation of a privacy program involving policies, procedures and the designation of an individual or team with primary responsibility for privacy law compliance. Mandatory breach notification to affected individuals is a requirement under some laws. Mandatory breach notification to the applicable regulator in the event of an actual or suspected privacy breach is a requirement in some provinces. Some laws require notification where personal information is processed or stored outside of Canada. One provincial law (in Quebec) provides for fines where an organization fails to perform due diligence before outsourcing activities involving personal information to a service provider outside of the province.
mandatory. The powers of privacy regulators and penalties for violations of privacy law vary according to the applicable law or are left to the courts. To date, monetary penalties granted have been on the low side, although that is changing with civil actions for breach of privacy andSenior living residences may change further as a result of class action activity. There are over 60 privacy class actions which have been filed in Canada over recent years although none have yet been decided on their merits. Regulators have the authority to make public

the identity of a custodian that has been found to have committed a breach, so there is a reputational risk associated with privacy law violations even where no monetary damages are incurred. The notification of residents (mandatory under some privacy laws) and other activities required to manage a privacy breach can give rise to significant costs.
Other Legislation
Retirement homes mayalso be subject to laws pertaining to residential tenancy, laws, such that there can be restrictions on rent increases and termination of tenancies, for instance. Other provincial and/or municipal laws applicable to fire safety, food services, zoning, occupational health and safety, public health and the provision of community health care and funded long-term/post-acute care may also apply to retirement homes.care.

Taxation

The following summary of the taxation of the company and the material U.S. federal income tax consequences to the holders of our debt and equity securities is for general information only and is not tax advice. This summary does not address all aspects of taxation that may be relevant to certain types of holders of stock or securities (including, but not limited to, insurance companies, tax-exempt entities, financial institutions or broker-dealers, persons holding shares of common stock as part of a hedging, integrated conversion, or constructive sale transaction or a straddle, traders in securities that use a mark-to-market method of accounting for their securities, investors in pass-through entities and foreign corporations and persons who are not citizens or residents of the United States).

This summary does not discuss all of the aspects of U.S. federal income taxation that may be relevant to you in light of your particular investment or other circumstances. In addition, this summary does not discuss any state or local income taxation or foreign income taxation or other foreign tax consequences. This summary is based on current U.S. federal income tax law, including the provisions of the “Tax Cuts and Jobs Act” (the “Tax Act”).laws. A discussion of the potential implications to the Company of the Tax Act is provided at the end of this summary below. Subsequent developments in U.S. federal income tax law, including changes in law or differing interpretations, which may be applied retroactively, could have a material effect on the U.S. federal income tax consequences of purchasing, owning and disposing of our securities as set forth in this summary. Before you purchase our securities, you should consult your own tax advisor regarding the particular U.S. federal, state, local, foreign and other tax consequences of acquiring, owning and selling our securities.

General

We elected to be taxed as a real estate investment trust (a “REIT”) commencing with our first taxable year. We intend to continue to operate in such a manner as to qualify as a REIT, but there is no guarantee that we will qualify or remain qualified as a REIT for subsequent years. Qualification and taxation as a REIT depends upon our ability to meet a variety of qualification tests imposed under U.S. federal income tax law with respect to our income, assets, distributions and share ownership, as discussed below under “Qualification as a REIT.” There can be no assurance that we will qualify or remain qualified as a REIT.

In any year in which we qualify as a REIT, in general, we will not be subject to U.S. federal income tax on that portion of our REIT taxable income or capital gain that is distributed to stockholders. We may, however, be subject to tax at normal corporate rates on any taxable income or capital gain not distributed. If we elect to retain and pay income tax on our net capital gain, stockholders would be taxed on their proportionate share of our undistributed net capital gain and would receive a refundable credit for their share of any taxes paid by us on such gain.

Despite the REIT election, we may be subject to U.S. federal income and excise tax as follows:
To the extent that we do not distribute all of our net capital gain or distribute at least 90%, but less than 100%, of our “REIT taxable income,” as adjusted, we will be subject to tax on the undistributed amount at regular corporate tax rates;
If we have net income from the sale or other disposition of “foreclosure property” that is held primarily for sale to customers in the ordinary course of business or other non-qualifying income from foreclosure property, such income will be taxed at the highest corporate rate;
Any net income from prohibited transactions (which are, in general, sales or other dispositions of property held primarily    for sale to customers in the ordinary course of business, other than dispositions of foreclosure property) will be subject    to a 100% tax;
If we fail to satisfy either the 75% or 95% gross income tests (as discussed below), but nonetheless maintain our qualification as a REIT because certain other requirements are met, we will be subject to a 100% tax on an amount equal to (1) the gross income attributable to the greater of (i) 75% of our gross income over the amount of qualifying gross income for purposes

of the 75% gross income test (discussed below) or (ii) 95% of our gross income over the amount of qualifying gross income for purposes of the 95% gross income test (discussed below) multiplied by (2) a fraction intended to reflect our profitability;
If we fail to distribute during each year at least the sum of (1) 85% of our REIT ordinary income for the year, (2) 95% of our REIT capital gain net income for such year (other than capital gain that we elect to retain and pay tax on) and (3) any undistributed taxable income from preceding periods, we will be subject to a 4% excise tax on the excess of such required distribution over amounts actually distributed; and

We will be subject to a 100% tax on certain amounts from certain transactions involving our “taxable REIT subsidiaries” that are not conducted on an arm’s length basis. See “Qualification as a REIT - Investments in Taxable REIT Subsidiaries.
If we acquire any assets from a corporation, which is or has been a “C” corporation, in a carryover basis transaction (including where a “C” corporation elects REIT status), we could be liable for specified liabilities that are inherited from the “C” corporation. A “C” corporation is generally defined as a corporation that is required to pay full corporate level U.S. federal income tax. If we recognize gain on the disposition of the assets during the five-year period beginning on the date on which the assets were acquired by us, then, to the extent of the assets’ “built-in gain” (i.e.(e.g., the excess of the fair market value of the asset over the adjusted tax basis inof the asset, in each case determined as of the beginning of the five-year period), we will be subject to tax on the gain at the highest regular corporate rate applicable. The results described in this paragraph with respect to the recognition of built-in gain assume that the “C” corporation did not make and was not treated as making an election to treat the built-in gain assets as sold to an unrelated party. For those properties that are subject to the built-in gains tax, the potential amount of built-in gains tax will be an additional factor when considering a possible sale of the properties within the five-year period beginning on the date on which the properties were acquired by us. See Note 1819 to our consolidated financial statements for additional information regarding the built-in gains tax.

Qualification as a REIT

A REIT is defined as a corporation, trust or association:
(1)which is managed by one or more trustees or directors;
(2)the beneficial ownership of which is evidenced by transferable shares or by transferable certificates of beneficial interest;
(3)which would be taxable as a domestic corporation but for the U.S. federal income tax law relating to REITs;
(4)which is neither a financial institution nor an insurance company;
(5)the beneficial ownership of which is held by 100 or more persons in each taxable year of the REIT except for its first
taxable year;
(6)not more than 50% in value of the outstanding stock of which is owned during the last half of each taxable year, excluding
its first taxable year, directly, indirectly or constructively, by or for five or fewer individuals (which includes certain
entities) (the “Five or Fewer Requirement”); and
(7)which meets certain income and asset tests described below.

Conditions (1) to (4), inclusive, must be met during the entire taxable year and condition (5) must be met during at least 335 days of a taxable year of 12 months or during a proportionate part of a taxable year of less than 12 months. For purposes of conditions (5) and (6), pension funds and certain other tax-exempt entities are treated as individuals, subject to a “look-through” exception in the case of condition (6).

Based on publicly available information, we believe we have satisfied the share ownership requirements set forth in (5) and (6) above. In addition, Article VI of our by-laws provides for restrictions regarding ownership and transfer of shares. These restrictions are intended to assist us in continuing to satisfy the share ownership requirements described in (5) and (6) above but may not ensure that we will, in all cases, be able to satisfy such requirements.

We have complied with, and will continue to comply with, regulatory rules to send annual letters to certain of our stockholders requesting information regarding the actual ownership of our stock. If, despite sending the annual letters, we do not know, or after exercising reasonable diligence would not have known, whether we failed to meet the Five or Fewer Requirement, we will be treated as having met the Five or Fewer Requirement. If we fail to comply with these regulatory rules, we will be subject to a monetary penalty. If our failure to comply were due to intentional disregard of the requirement, the penalty would be increased. However, if our failure to comply were due to reasonable cause and not willful neglect, no penalty would be imposed.

We may own a number of properties through wholly owned subsidiaries. A corporation will qualify as a “qualified REIT subsidiary” if 100% of its stock is owned by a REIT, and the REIT does not elect to treat the subsidiary as a taxable REIT subsidiary. A “qualified REIT subsidiary” will not be treated as a separate corporation for U.S. federal income tax purposes, and all assets, liabilities and items of income, deductions and credits of a “qualified REIT subsidiary” will be treated as assets, liabilities and items (as the case may be) of the REIT for U.S. federal income tax purposes. A “qualified REIT subsidiary” is not subject to U.S.

federal income tax, and our ownership of the voting stock of a qualified REIT subsidiary will not violate the restrictions against ownership of securities of any one issuer which constitute more than 10% of the value or total voting power of such issuer or more than 5% of the value of our total assets, as described below under “- Asset Tests.”


If we invest in an entity treated as a partnership for U.S. federal income tax purposes, we will be deemed to own a proportionate share of the entity’s assets. Likewise, we will be treated as receiving our share of the income and loss of the entity, and the gross income will retain the same character in our hands as it has in the hands of the entity. These “look-through” rules apply for purposes of the income tests and assets tests described below.

The deduction of business interest is limited to 30% of adjusted taxable income, which may limit the deductibility of interest expense by us, our taxable REIT subsidiaries, or our joint venture and partnership arrangements. A “real property trade or business” may irrevocably elect out of the applicability of the limitation, but if it does so it must use the less favorable alternative depreciation system to depreciate real property used in the trade or business. Proposed regulations provide guidance on how to allocate interest deductions among multiple trades or businesses and contain special rules, including a safe harbor, regarding the allocation of a REIT’s interest deductions to a “real property trade or business.”

Income Tests  There are two separate percentage tests relating to our sources of gross income that we must satisfy each taxable year:
At least 75% of our gross income (excluding gross income from certain sales of property held primarily for sale) generally must be directly or indirectly derived each taxable year from “rents from real property,” other income from investments relating to real property or mortgages on real property or certain income from qualified temporary investments.
At least 95% of our gross income (excluding gross income from certain sales of property held primarily for sale) generally must be directly or indirectly derived each taxable year from any of the sources qualifying for the 75% gross income test and from dividends (including dividends from taxable REIT subsidiaries) and interest.

Income from hedging and foreign currency transactions is excluded from the 95% and 75% gross income tests if certain requirements are met but otherwise will constitute gross income which does not qualify under the 95% or 75% gross income tests.

Rents received by us will qualify as “rents from real property” for purposes of satisfying the gross income tests for a REIT only if several conditions are met:
The amount of rent must not be based in whole or in part on the income or profits of any person, although rents generally will not be excluded merely because they are based on a fixed percentage or percentages of receipts or sales.
Rents received from a tenant will not qualify as rents from real property if the REIT, or an owner of 10% or more of the REIT, also directly or constructively owns 10% or more of the tenant, unless the tenant is our taxable REIT subsidiary and certain other requirements are met with respect to the real property being rented.
If rent attributable to personal property leased in connection with a lease of real property is greater than 15% of the total rent received under the lease, then the portion of rent attributable to such personal property will not qualify as “rents from real property.”
For rents to qualify as rents from real property, we generally must not furnish or render services to tenants, other than through a taxable REIT subsidiary or an “independent contractor” from whom we derive no income, except that we may directly provide services that are usually or customarily rendered in the geographic area in which the property is located in connection with the rental of real property for occupancy only or are not otherwise considered rendered to the occupant for his convenience.
We may lease “qualified health care properties” on an arm’s-length basis to a taxable REIT subsidiary if the property is operated on behalf of such subsidiary by a person who qualifies as an “independent contractor” and who is, or is related to a person who is, actively engaged in the trade or business of operating health care facilities for any person unrelated to us or our taxable REIT subsidiary (such person, an “eligible independent contractor”). If this is the case, the rent that the REIT receives from the taxable REIT subsidiary generally will be treated as “rents from real property.” A “qualified health care property” includes any real property and any personal property that is, or is necessary or incidental to the use of, a hospital, nursing facility, assisted living facility, congregate care facility, qualified continuing care facility, or other licensed facility that extends medical or nursing or ancillary services to patients and is operated by a provider of such services that is eligible for participation in the Medicare program with respect to such facility.


A REIT is permitted to render a de minimis amount of impermissible services to tenants and still treat amounts received with respect to that property as rent from real property. The amount received or accrued by the REIT during the taxable year for the impermissible services with respect to a property may not exceed 1% of all amounts received or accrued by the REIT directly or indirectly from the property. The amount received for any service or management operation for this purpose shall be deemed to be not less than 150% of the direct cost of the REIT in furnishing or rendering the service or providing the management or operation. Furthermore, impermissible services may be furnished to tenants by a taxable REIT subsidiary subject to certain conditions, which would permit us to still treat rents received with respect to the property as rent from real property.


The term “interest” generally does not include any amount if the determination of the amount depends in whole or in part on the income or profits of any person, although an amount generally will not be excluded from the term “interest” solely by reason of being based on a fixed percentage of receipts or sales.

If we fail to satisfy one or both of the 75% or 95% gross income tests for any taxable year, we may nevertheless qualify as a REIT for such year if we are eligible for certain relief provisions provided by the Internal Revenue Code. These relief provisions generally will be available if (1) following our identification of the failure, we file a schedule for such taxable year describing each item of our gross income, and (2) the failure to meet such tests was due to reasonable cause and not due to willful neglect. It is not now possible to determine the circumstances under which we may be entitled to the benefit of these relief provisions. If these relief provisions apply, a 100% tax is imposed on an amount equal to (a)(1) the gross income attributable to (1)(i) 75% of our gross income over the amount of qualifying gross income for purposes of the 75% income test and (2)(ii) 95% of our gross income over the amount of qualifying gross income for purposes of the 95% income test, multiplied by (b)(2) a fraction intended to reflect our profitability. The Secretary of the Treasury is given broad authority to determine whether particular items of income or gain qualify under the 75% and 95% gross income tests and to exclude items from the measure of gross income for such purposes.

Asset Tests  Within 30 days after the close of each quarter of our taxable year, we must also satisfy several tests relating to the nature and diversification of our assets determined in accordance with generally accepted accounting principles. At least 75% of the value of our total assets must be represented by real estate assets (including interests in real property, interests in mortgages on real property or on interests in real property, shares in other REITs and debt instruments issued by publicly offered REITs), cash, cash items (including receivables arising in the ordinary course of our operation), government securities and qualified temporary investments. Although the remaining 25% of our assets generally may be invested without restriction, we are prohibited from owning securities representing more than 10% of either the vote (the “10% vote test”) or value (the “10% value test”) of the outstanding securities of any issuer other than a qualified REIT subsidiary, another REIT or a taxable REIT subsidiary. Further, no more than 20% of our total assets may be represented by securities of one or more taxable REIT subsidiaries (the “20% asset test”) and no more than 5% of the value of our total assets may be represented by securities of any non-governmental issuer other than a qualified REIT subsidiary (the “5% asset test”), another REIT or a taxable REIT subsidiary. Each of the 10% vote test, the 10% value test and the 20% and 5% asset tests must be satisfied at the end of each quarter. There are special rules which provide relief if the value-related tests are not satisfied due to changes in the value of the assets of a REIT.

Certain items are excluded from the 10% value test, including: (1) straight debt securities meeting certain requirements; (2) any loan to an individual or an estate; (3) any rental agreement described in Section 467 of the Internal Revenue Code, other than with a “related person”; (4) any obligation to pay rents from real property; (5) certain securities issued by a state or any subdivision thereof, the District of Columbia, a foreign government, or any political subdivision thereof, or the Commonwealth of Puerto Rico; (6) any security issued by a REIT; and (7) any other arrangement that, as determined by the Secretary of the Treasury, is excepted from the definition of security (“excluded securities”). If a REIT, or its taxable REIT subsidiary, holds (1) straight debt securities of a corporate or partnership issuer and (2) securities of such issuer that are not excluded securities and have an aggregate value greater than 1% of such issuer’s outstanding securities, the straight debt securities will be included in the 10% value test.

A REIT’s interest as a partner in a partnership is not treated as a security for purposes of applying the 10% value test to securities issued by the partnership. Further, any debt instrument issued by a partnership that is not an excluded security will not be a security for purposes of applying the 10% value test (1) to the extent of the REIT’s interest as a partner in the partnership or (2) if at least 75% of the partnership’s gross income (excluding gross income from prohibited transactions) would qualify for the 75% gross income test. For purposes of the 10% value test, a REIT’s interest in a partnership’s assets is determined by the REIT’s proportionate interest in any securities issued by the partnership (other than the excluded securities described in the preceding paragraph).

For taxable years beginning after July 30, 2008, if theIf a REIT or its “qualified business unit” uses a foreign currency as its functional currency, the term “cash” includes such foreign currency, but only to the extent such foreign currency is (i) held for use in the normal course of the activities of the REIT or “qualified business unit” which give rise to items of income or gain that are included in the 95% and 75% gross income tests or are directly related to acquiring or holding assets qualifying under the 75% asset test, and (ii) not held in connection with dealing or engaging in substantial and regular trading in securities.


With respect to corrections of failures as to violations of the 10% vote test, the 10% value test or the 5% asset test, a REIT may avoid disqualification as a REIT by disposing of sufficient assets to cure a violation due to the ownership of assets that doesdo not exceed the lesser of 1% of the REIT’s assets at the end of the relevant quarter or $10,000,000, provided that the disposition occurs within six months following the last day of the quarter in which the REIT first identified the assets. For violations of any of the REIT asset tests due to reasonable cause and not willful neglect that exceed the thresholds described in the preceding sentence, a REIT can avoid disqualification as a REIT after the close of a taxable quarter by taking certain steps, including disposition of sufficient assets within the six month period described above to meet the applicable asset test, paying a tax equal to the greater of $50,000 or the highest corporate tax rate multiplied by the net income generated by the non-qualifying assets during the period of time that the assets were held as non-qualifying assets and filing a schedule with the Internal Revenue Service that describes the non-qualifying assets.


Investments in Taxable REIT Subsidiaries  REITs may own more than 10% of the voting power and value of securities in taxable REIT subsidiaries. Unlike a qualified REIT subsidiary, other disregarded entity or partnership, the income and assets of a taxable REIT subsidiary are not attributable to the REIT for purposes of satisfying the income and asset ownership requirements applicable to REIT qualification. We and any taxable corporate entity in which we own an interest are allowed to jointly elect to treat such entity as a “taxable REIT subsidiary.”

Certain of our subsidiaries have elected taxable REIT subsidiary status. Taxable REIT subsidiaries are subject to full corporate level U.S. federal taxation on their earnings but are permitted to engage in certain types of activities that cannot be performed directly by REITs without jeopardizing their REIT status. Our taxable REIT subsidiaries will attempt to minimize the amount of these taxes, but there can be no assurance whether or the extent to which measures taken to minimize taxes will be successful. To the extent our taxable REIT subsidiaries are required to pay U.S. federal, state or local taxes, the cash available for distribution as dividends to us from our taxable REIT subsidiaries will be reduced.

The Internal Revenue Service may redetermine amounts from transactions between a REIT and its taxable REIT subsidiary where there is a lack of arm’s-length dealing between the parties. Any taxable income allocated to, or deductible expenses allocated away, from a taxable REIT subsidiary would increase its tax liability. Further, certain amounts from certain transactions involving a REIT and its taxable REIT subsidiaries could be subject to a 100% tax if not conducted on an arm’s length basis. Additional taxable REIT subsidiary elections may be made in the future for additional entities in which we obtain an interest.

Annual Distribution Requirements  In order to avoid being taxed as a regular corporation, we are required to make distributions (other than capital gain distributions) to our stockholders which qualify for the dividends paid deduction in an amount at least equal to (1) the sum of (i) 90% of our “REIT taxable income” (computed without regard to the dividends paid deduction and our net capital gain) and (ii) 90% of the after-tax net income, if any, from foreclosure property, minus (2) a portion of certain items of non-cash income. These distributions must be paid in the taxable year to which they relate, or in the following taxable year if declared before we timely file our tax return for that year and if paid on or before the first regular distribution payment after such declaration. Prior to 2014, with respect to all REITs the amount distributed could not be preferential. This means that every stockholder of the class of stock to which a distribution is made must be treated the same as every other stockholder of that class, and no class of stock may be treated otherwise than in accordance with its dividend rights as a class (the “preferential dividend rule”). Beginning in tax years after 2014, the preferential dividend rule no longer applies to publicly offered REITs, however, the rule is still applicable to other entities taxed as REITs, which would include several of our subsidiaries. To the extent that we do not distribute all of our net capital gain or distribute at least 90%, but less than 100%, of our “REIT taxable income,” as adjusted, we will be subject to tax on the undistributed amount at regular corporate tax rates. As discussed above, we may be subject to an excise tax if we fail to meet certain other distribution requirements. We believe we have satisfied the annual distribution requirements for the year of our initial REIT election and each year thereafter through the year ended December 31, 2018.2019. Although we intend to make timely distributions sufficient to satisfy these annual distribution requirements for subsequent years, economic, market, legal, tax or other factors could limit our ability to meet those requirements. See “Item 1A - Risk Factors.”

It is also possible that, from time to time, we may not have sufficient cash or other liquid assets to meet the 90% distribution requirement, or to distribute such greater amount as may be necessary to avoid income and excise taxation, due to, among other things, (1) timing differences between (i) the actual receipt of income and actual payment of deductible expenses and (ii) the inclusion of income and deduction of expenses in arriving at our taxable income, or (2) the payment of severance benefits that may not be deductible to us. In the event that timing differences occur, we may find it necessary to arrange for borrowings or, if possible, pay dividends in the form of taxable stock dividends in order to meet the distribution requirement.

Under certain circumstances, including in the event of a deficiency determined by the Internal Revenue Service, we may be able to rectify a resulting failure to meet the distribution requirement for a year by paying “deficiency dividends” to stockholders in a later year, which may be included in our deduction for distributions paid for the earlier year. Thus, we may be able to avoid being disqualified as a REIT and/or taxed on amounts distributed as deficiency dividends; however, we will be required to pay applicable penalties and interest based upon the amount of any deduction taken for deficiency dividend distributions.

Failure to Qualify as a REIT

If we fail to qualify for taxation as a REIT in any taxable year, we will be subject to U.S. federal income tax on our taxable income at regular corporate rates. Distributions to stockholders in any year in which we fail to qualify as a REIT will not be deductible nor will any particular amount of distributions be required to be made in any year. All distributions to stockholders will be taxable as dividends to the extent of current and accumulated earnings and profits allocable to these distributions and, subject to certain limitations, will be eligible for the dividends received deduction for corporate stockholders. Unless entitled to relief under specific statutory provisions, we also will be disqualified from taxation as a REIT for the four taxable years following the year during which qualification was lost. It is not possible to state whether in all circumstances we would be entitled to statutory relief. Failure to qualify for even one year could result in our need to incur indebtedness or liquidate investments in order to pay potentially significant resulting tax liabilities.


In addition to the relief described above under “Income Tests” and “Asset Tests,” relief is available in the event that we violate a provision of the Internal Revenue Code that would result in our failure to qualify as a REIT if: (1) the violation is due to reasonable cause and not due to willful neglect; (2) we pay a penalty of $50,000 for each failure to satisfy the provision; and (3) the violation does not include a violation described under “Income Tests” or “Asset Tests” above. It is not now possible to determine the circumstances under which we may be entitled to the benefit of these relief provisions.

U.S. Federal Income Taxation of Holders of Our Stock

Treatment of Taxable U.S. Stockholders  The following summary applies to you only if you are a “U.S. stockholder.” A “U.S. stockholder” is a holder of shares of stock who, for U.S. federal income tax purposes, is:
a citizen or resident of the United States;
a corporation, partnership or otheran entity classified as a corporation or partnership, for these purposes, created or organizeorganized in or under the laws of the United States or of any political subdivision of the United States, including any state;
an estate, the income of which is subject to U.S. federal income taxation regardless of its source; or
a trust, if, in general, a U.S. court is able to exercise primary supervision over the trust’s administration and one or more U.S. persons, within the meaning of the Internal Revenue Code, has the authority to control all of the trust’s substantial decisions.
So long as we qualify for taxation as a REIT, distributions on shares of our stock made out of the current or accumulated earnings and profits allocable to these distributions (and not designated as capital gain dividends) will be taxable as dividends for U.S. federal income tax purposes. None of these distributions will be eligible for the dividends received deduction for U.S. corporate stockholders.

Generally, the current maximum marginal rate of tax payable by individuals on dividends received from corporations that are subject to a corporate level of tax is 20%. Except in limited circumstances, this tax rate will not apply to dividends paid to you by us on our shares, because generally we are not subject to U.S. federal income tax on the portion of our REIT taxable income or capital gains distributed to our stockholders. The reduced maximum U.S. federal income tax rate will apply to that portion, if any, of dividends received by you with respect to our shares that are attributable to: (1) dividends received by us from non-REIT corporations or other taxable REIT subsidiaries; (2) income from the prior year with respect to which we were required to pay U.S. federal corporate income tax during the prior year (if, for example, we did not distribute 100% of our REIT taxable income for the prior year); or (3) the amount of any earnings and profits that were distributed by us and accumulated in a non-REIT year.

Although the preferential 20% rate on qualified dividends is generally not applicable to dividends to our shareholders, the Tax ActInternal Revenue Code provides for a deduction from income for individuals, trusts and estates for 20% of taxable REIT dividends not eligible for the preferential rate, excluding capital gain dividends. This deduction is not taken into account for purposes of determining the 3.8% tax on net investment income (described below) and, unlike the preferential rate, expires after 2025.

Distributions that are designated as capital gain dividends will be taxed as long-term capital gains (to the extent they do not exceed our actual net capital gain for the taxable year), without regard to the period for which you held our stock. However, if you are a corporation, you may be required to treat a portion of some capital gain dividends as ordinary income.

If we elect to retain and pay income tax on any net capital gain and designate such amount in a timely notice to you, you would include in income, as long-term capital gain, your proportionate share of this net capital gain. You would also receive a refundable

tax credit for your proportionate share of the tax paid by us on such retained capital gains, and you would have an increase in the basis of your shares of our stock in an amount equal to your includable capital gains less your share of the tax deemed paid.

You may not include in your U.S. federal income tax return any of our net operating losses or capital losses. U.S. federal income tax rules may also require that certain minimum tax adjustments and preferences be apportioned to you. In addition, any distribution declared by us in October, November or December of any year on a specified date in any such month shall be treated as both paid by us and received by you on December 31 of that year, provided that the distribution is actually paid by us no later than January 31 of the following year.

We will be treated as having sufficient earnings and profits to treat as a dividend any distribution up to the amount required to be distributed in order to avoid imposition of the 4% excise tax discussed under “General” and “Qualification as a REIT - Annual Distribution Requirements” above. As a result, you may be required to treat as taxable dividends certain distributions that would otherwise result in a tax-free return of capital. Moreover, any “deficiency dividend” will be treated as a dividend (an ordinary dividend or a capital gain dividend, as the case may be), regardless of our earnings and profits. Any other distributions in excess of current or accumulated earnings and profits will generally not be taxable to you to the extent these distributions do not exceed the adjusted tax basis of your shares of our stock. You will be required to reduce the tax basis of your shares of our stock by the amount of these distributions until the basis has been reduced to zero, after which these distributions will be taxable as capital gain, if the shares of our stock are held as capital assets. The tax basis as so reduced will be used in computing the capital gain or

loss, if any, realized upon the sale of the shares of our stock. Any loss upon a sale or exchange of shares of our stock which were held for six months or less (after application of certain holding period rules) will generally be treated as a long-term capital loss to the extent you previously received capital gain distributions with respect to these shares of our stock.

Upon the sale or exchange of any shares of our stock to or with a person other than us or a sale or exchange of all shares of our stock (whether actually or constructively owned) with us, you will generally recognize gain or loss equal to the difference between the amount realized on the sale or exchange and your adjusted tax basis in these shares of our stock. This gain or loss will be capital gain or loss if you held these shares of our stock as a capital asset.

If we redeem any of your shares in us, the treatment can only be determined on the basis of particular facts at the time of redemption. In general, you will recognize gain or loss (as opposed to dividend income) equal to the difference between the amount received by you in the redemption and your adjusted tax basis in your shares redeemed if such redemption: (1) results in a “complete termination” of your interest in all classes of our equity securities; (2) is a “substantially disproportionate redemption”; or (3) is “not essentially equivalent to a dividend” with respect to you. In applying these tests, you must take into account your ownership of all classes of our equity securities (e.g., common stock, preferred stock, depositary shares and warrants). You also must take into account any equity securities that are considered to be constructively owned by you.

If, as a result of a redemption by us of your shares, you no longer own (either actually or constructively) any of our equity securities or only own (actually and constructively) an insubstantial percentage of our equity securities, then it is probable that the redemption of your shares would be considered “not essentially equivalent to a dividend” and, thus, would result in gain or loss to you. However, whether a distribution is “not essentially equivalent to a dividend” depends on all of the facts and circumstances, and if you rely on any of these tests at the time of redemption, you should consult your tax advisor to determine their application to the particular situation.

Generally, if the redemption does not meet the tests described above, then the proceeds received by you from the redemption of your shares will be treated as a distribution taxable as a dividend to the extent of the allocable portion of current or accumulated earnings and profits. If the redemption is taxed as a dividend, your adjusted tax basis in the redeemed shares will be transferred to any other shareholdings in us that you own. If you own no other shareholdings in us, under certain circumstances, such basis may be transferred to a related person, or it may be lost entirely.

Gain from the sale or exchange of our shares held for more than one year is generally taxed at a maximum long-term capital gain rate of 20% in the case of stockholders who are individuals and 21% in the case of stockholders that are corporations. Pursuant to Internal Revenue Service guidance, we may classify portions of our capital gain dividends as eligible for specific treatment provided under the Internal Revenue Code, which, depending on the nature of the capital gains, may result in taxation of such portions at rates of either 20% or 25%. Capital losses recognized by a stockholder upon the disposition of our shares held for more than one year at the time of disposition will be considered long-term capital losses. The deduction for capital losses is subject to limitations.

An additional tax of 3.8% generally will be imposed on the “net investment income” of U.S. stockholders who meet certain requirements and are individuals, estates or certain trusts. Among other items, “net investment income” generally includes gross income from dividends and net gain attributable to the disposition of certain property, such as shares of our common stock or

warrants. In the case of individuals, this tax will only apply to the extent such individual’s modified adjusted gross income exceeds $200,000 ($250,000 for married couples filing a joint return and surviving spouses, and $125,000 for married individuals filing a separate return). U.S. stockholders should consult their tax advisors regarding the possible applicability of this additional tax in their particular circumstances.

Treatment of Tax-Exempt U.S. Stockholders  Tax-exempt entities, including qualified employee pension and profit sharing trusts and individual retirement accounts (“Exempt Organizations”), generally are exempt from U.S. federal income taxation. However, they are subject to taxation on their unrelated business taxable income (“UBTI”). The Internal Revenue Service has issued a published revenue ruling that dividend distributions from a REIT to an exempt employee pension trust do not constitute UBTI, provided that the shares of the REIT are not otherwise used in an unrelated trade or business of the exempt employee pension trust. Based on this ruling, amounts distributed by us to Exempt Organizations generally should not constitute UBTI. However, if an Exempt Organization finances its acquisition of the shares of our stock with debt, a portion of its income from us will constitute UBTI pursuant to the “debt financed property” rules. Likewise, a portion of the Exempt Organization’s income from us would constitute UBTI if we held a residual interest in a real estate mortgage investment conduit. A tax-exempt U.S. stockholder that is subject to tax on its UBTI will be required to segregate its taxable income and loss for each unrelated trade or business activity for purposes of determining its UBTI.

Backup Withholding and Information Reporting Under certain circumstances, you may be subject to backup withholding at applicable rates on payments made with respect to, or cash proceeds of a sale or exchange of, shares of our stock. Backup withholding will apply only if you: (1) fail to provide a correct taxpayer identification number, which if you are an individual, is ordinarily your social security number; (2) furnish an incorrect taxpayer identification number; (3) are notified by the Internal Revenue Service that you have failed to properly report payments of interest or dividends; or (4) fail to certify, under penalties of perjury,

that you have furnished a correct taxpayer identification number and that the Internal Revenue Service has not notified you that you are subject to backup withholding.

Backup withholding will not apply with respect to payments made to certain exempt recipients, such as corporations and tax-exempt organizations. You should consult with a tax advisor regarding qualification for exemption from backup withholding, and the procedure for obtaining an exemption. Backup withholding is not an additional tax. Rather, the amount of any backup withholding with respect to a payment to a stockholder will be allowed as a credit against such stockholder’s U.S. federal income tax liability and may entitle such stockholder to a refund, provided that the required information is provided to the Internal Revenue Service. In addition, withholding a portion of capital gain distributions made to stockholders may be required for stockholders who fail to certify their non-foreign status.

Taxation of Foreign Stockholders  The following summary applies to you only if you are a foreign person. A “foreign person” is a holder of shares of stock who, for U.S. federal income tax purposes, is not a U.S. stockholder. The U.S. federal taxation of foreign persons is a highly complex matter that may be affected by many considerations.

Except as discussed below, distributions to you of cash generated by our real estate operations in the form of ordinary dividends, but not by the sale or exchange of our capital assets, generally will be subject to U.S. withholding tax at a rate of 30%, unless an applicable tax treaty reduces that tax and you file with us the required form evidencing the lower rate.

In general, you will be subject to U.S. federal income tax on a graduated rate basis rather than withholding with respect to your investment in our stock if such investment is “effectively connected” with your conduct of a trade or business in the United States. A corporate foreign stockholder that receives income that is, or is treated as, effectively connected with a United States trade or business may also be subject to the branch profits tax, which is payable in addition to regular United States corporate income tax. The following discussion will apply to foreign stockholders whose investment in us is not so effectively connected. We expect to withhold United States income tax, as described below, on the gross amount of any distributions paid to you unless (1) you file an Internal Revenue Service Form W-8ECI with us claiming that the distribution is “effectively connected” or (2) certain other exceptions apply.

Distributions by us that are attributable to gain from the sale or exchange of a United States real property interest will be taxed to you under the Foreign Investment in Real Property Tax Act of 1980 (“FIRPTA”) as if these distributions were gains “effectively connected” with a United States trade or business. Accordingly, you will be taxed at the normal capital gain rates applicable to a U.S. stockholder on these amounts, subject to any applicable alternative minimum tax and a special alternative minimum tax in the case of nonresident alien individuals. Distributions subject to FIRPTA may also be subject to a branch profits tax in the hands of a corporate foreign stockholder that is not entitled to treaty exemption. We will be required to withhold tax at a rate of 21% from distributions subject to FIRPTA. We will be required to withhold from distributions subject to FIRPTA, and remit to the Internal Revenue Service, 21% of designated capital gain dividends, or, if greater, 21% of the amount of any distributions that could be designated as capital gain dividends. In addition, if we designate prior distributions as capital gain dividends, subsequent

distributions, up to the amount of the prior distributions not withheld against, will be treated as capital gain dividends for purposes of withholding.

Any capital gain dividend with respect to any class of stock that is “regularly traded” on an established securities market will be treated as an ordinary dividend if the foreign stockholder did not own more than 10% of such class of stock at any time during the taxable year. Foreign stockholders generally will not be required to report distributions received from us on U.S. federal income tax returns and all distributions received by such stockholders treated as dividends for U.S. federal income tax purposes (including any such capital gain dividends) will be subject to a 30% U.S. withholding tax (unless reduced under an applicable income tax treaty) as discussed above. In addition, the branch profits tax will not apply to such distributions.

Unless our shares constitute a “United States real property interest” within the meaning of FIRPTA or are effectively connected with a U.S. trade or business, a sale of our shares by you generally will not be subject to United States taxation. Even if our shares were to constitute a “United States real property interest,” non-U.S. stockholders that are “qualified foreign pension funds” (or are owned by a qualified foreign pension fund) meeting certain requirements may be exempt from FIRPTA withholding on the sale or disposition of our shares. Our shares will not constitute a United States real property interest if we qualify as a “domestically controlled REIT.” We believe that we qualify as and expect to continue to qualify as a domestically controlled REIT. A domestically controlled REIT is a REIT in which at all times during a specified testing period less than 50% in value of its shares is held directly or indirectly by foreign stockholders. Generally, we are permitted to assume that holders of less than 5% of our shares at all times during a specified testing period are U.S. persons. However, if you are a nonresident alien individual who is present in the United States for 183 days or more during the taxable year and certain other conditions apply, you will be subject to a 30% tax on such capital gains. In any event, a purchaser of our shares from you will not be required under FIRPTA to withhold on the purchase price if the purchased shares are “regularly traded” on an established securities market or if we are a domestically controlled REIT. Otherwise, under FIRPTA, the purchaser may be required to withhold 15% of the purchase price and remit such amount to the Internal Revenue Service.


Backup withholding tax and information reporting will generally not apply to distributions paid to you outside the United States that are treated as: (1) dividends to which the 30% or lower treaty rate withholding tax discussed above applies; (2) capital gains dividends; or (3) distributions attributable to gain from the sale or exchange by us of U.S. real property interests. Payment of the proceeds of a sale of stock within the United States or conducted through certain U.S. related financial intermediaries is subject to both backup withholding and information reporting unless the beneficial owner certifies under penalties of perjury that he or she is not a U.S. person (and the payor does not have actual knowledge that the beneficial owner is a U.S. person) or otherwise establishedestablishes an exemption. You may obtain a refund of any amounts withheld under the backup withholding rules by filing the appropriate claim for refund with the Internal Revenue Service.

Withholding tax at a rate of 30% will be imposed on certain payments to you or certain foreign financial institutions (including investment funds) and other non-US persons receiving payments on your behalf, including distributions in respect of shares of our stock, if you or such institutions fail to comply with certain due diligence, disclosure and reporting rules, as set forth in Treasury regulations. Accordingly, the entity through which shares of our stock are held will affect the determination of whether such withholding is required. Stockholders that are otherwise eligible for an exemption from, or reduction of, U.S. withholding taxes with respect to such dividends will be required to seek a refund from the Internal Revenue Service to obtain the benefit of such exemption or reduction. Additional requirements and conditions may be imposed pursuant to an intergovernmental agreement, if and when entered into, between the United States and such institution’s home jurisdiction. We will not pay any additional amounts to any stockholders in respect of any amounts withheld. You are encouraged to consult with your tax advisor regarding U.S. withholding taxes and the application of Treasury regulations in light of your particular circumstances.

U.S. Federal Income Taxation of Holders of Depositary Shares

Owners of our depositary shares will be treated as if you were owners of the series of preferred stock represented by the depositary shares. Thus, you will be required to take into account the income and deductions to which you would be entitled if you were a holder of the underlying series of preferred stock.

Conversion or Exchange of Shares for Preferred Stock  No gain or loss will be recognized upon the withdrawal of preferred stock in exchange for depositary shares and the tax basis of each share of preferred stock will, upon exchange, be the same as the aggregate tax basis of the depositary shares exchanged. If you held your depositary shares as a capital asset at the time of the exchange for shares of preferred stock, the holding period for your shares of preferred stock will include the period during which you owned the depositary shares.

U.S. Federal Income and Estate Taxation of Holders of Our Debt Securities


The following is a general summary of the U.S. federal income tax consequences and, in the case that you are a holder that is a non-U.S. holder, as defined below, the U.S. federal estate tax consequences, of purchasing, owning and disposing of debt securities periodically offered under one or more indentures (the “notes”). This summary assumes that you hold the notes as capital assets. This summary applies to you only if you are the initial holder of the notes and you acquire the notes for a price equal to the issue price of the notes. The issue price of the notes is the first price at which a substantial amount of the notes is sold other than to bond houses, brokers or similar persons or organizations acting in the capacity of underwriters, placement agents or wholesalers. In addition, this summary does not consider any foreign, state, local or other tax laws that may be applicable to us or a purchaser of the notes.

U.S. Holders

The following summary applies to you only if you are a U.S. holder, as defined below.

Definition of a U.S. Holder  A “U.S. holder” is a beneficial owner of a note or notes that is for U.S. federal income tax purposes:
a citizen or resident of the United States;
a corporation, partnership or other entity classified as a corporation or partnership for these purposes, created or organized in or under the laws of the United States or of any political subdivision of the United States, including any state;
an estate, the income of which is subject to U.S. federal income taxation regardless of its source; or
a trust, if, in general, a U.S. court is able to exercise primary supervision over the trust’s administration and one or more U.S. persons, within the meaning of the Internal Revenue Code, has the authority to control all of the trust’s substantial decisions.
Payments of Interest  Stated interest on the notes generally will be taxed as ordinary interest income from domestic sources at the time it is paid or accrues in accordance with your method of accounting for tax purposes.



Sale, Exchange or Other Disposition of Notes  The adjusted tax basis in your note will generally be your cost. You generally will recognize taxable gain or loss when you sell or otherwise dispose of your notes equal to the difference, if any, between:
the amount realized on the sale or other disposition, less any amount attributable to any accrued interest, which will be taxable in the manner described under “Payments of Interest” above; and
your adjusted tax basis in the notes.

Your gain or loss generally will be capital gain or loss. This capital gain or loss will be long-term capital gain or loss if at the time of the sale or other disposition you have held the notes for more than one year. Subject to limited exceptions, your capital losses cannot be used to offset your ordinary income (except in the case of individuals, who may offset up to $3,000 of ordinary income each year).

Backup Withholding and Information Reporting  In general, “backup withholding” may apply to any payments made to you of principal and interest on your note, and to the payment of the proceeds of a sale or other disposition of your note before maturity, if you are a non-corporate U.S. holder and: (1) fail to provide a correct taxpayer identification number, which if you are an individual, is ordinarily your social security number; (2) furnish an incorrect taxpayer identification number; (3) are notified by the Internal Revenue Service that you have failed to properly report payments of interest or dividends; or (4) fail to certify, under penalties of perjury, that you have furnished a correct taxpayer identification number and that the Internal Revenue Service has not notified you that you are subject to backup withholding.

The amount of any reportable payments, including interest, made to you (unless you are an exempt recipient) and the amount of tax withheld, if any, with respect to such payments will be reported to you and to the Internal Revenue Service for each calendar year. You should consult your tax advisor regarding your qualification for an exemption from backup withholding and the procedures for obtaining such an exemption, if applicable. The backup withholding tax is not an additional tax and will be credited against your U.S. federal income tax liability, provided that correct information is provided to the Internal Revenue Service.

Non-U.S. Holders

The following summary applies to you if you are a beneficial owner of a note and are not a U.S. holder, as defined above (a “non-U.S. holder”).


Special rules may apply to certain non-U.S. holders such as “controlled foreign corporations,” “passive foreign investment companies” and “foreign personal holding companies.” Such entities are encouraged to consult their tax advisors to determine the U.S. federal, state, local and other tax consequences that may be relevant to them.

U.S. Federal Withholding Tax  Subject to the discussion below, U.S. federal withholding tax will not apply to payments by us or our paying agent, in its capacity as such, of principal and interest on your notes under the “portfolio interest” exception of the Internal Revenue Code, provided that:
you do not, directly or indirectly, actually or constructively, own 10% or more of the total combined voting power of all classes of our stock entitled to vote;
you are not (1) a controlled foreign corporation for U.S. federal income tax purposes that is related, directly or indirectly, to us through sufficient stock ownership, as provided in the Internal Revenue Code, or (2) a bank receiving interest described in Section 881(c)(3)(A) of the Internal Revenue Code;
such interest is not effectively connected with your conduct of a U.S. trade or business; and
you provide a signed written statement, under penalties of perjury, which can reliably be related to you, certifying that you are not a U.S. person within the meaning of the Internal Revenue Code and providing your name and address to us or our paying agent; or
a securities clearing organization, bank or other financial institution that holds customers’ securities in the ordinary course of its trade or business and holds your notes on your behalf and that certifies to us or our paying agent under penalties of perjury that it, or the bank or financial institution between it and you, has received from you your signed, written statement and provides us or our paying agent with a copy of such statement.

Treasury regulations provide that:
if you are a foreign partnership, the certification requirement will generally apply to your partners, and you will be required to provide certain information;
if you are a foreign trust, the certification requirement will generally be applied to you or your beneficial owners depending on whether you are a “foreign complex trust,” “foreign simple trust,” or “foreign grantor trust” as defined in the Treasury regulations; and
look-through rules will apply for tiered partnerships, foreign simple trusts and foreign grantor trusts.


If you are a foreign partnership or a foreign trust, you should consult your own tax advisor regarding your status under these Treasury regulations and the certification requirements applicable to you.

If you cannot satisfy the portfolio interest requirements described above, payments of interest will be subject to the 30% United States withholding tax, unless you provide us with a properly executed (1) Internal Revenue Service Form W-8BEN claiming an exemption from or reduction in withholding under the benefit of an applicable treaty or (2) Internal Revenue Service Form W-8ECI stating that interest paid on the note is not subject to withholding tax because it is effectively connected with your conduct of a trade or business in the United States. Alternative documentation may be applicable in certain circumstances.

If you are engaged in a trade or business in the United States and interest on a note is effectively connected with the conduct of that trade or business, you will be required to pay U.S. federal income tax on that interest on a net income basis (although you will be exempt from the 30% withholding tax provided the certification requirement described above is met) in the same manner as if you were a U.S. person, except as otherwise provided by an applicable tax treaty. If you are a foreign corporation, you may be required to pay a branch profits tax on the earnings and profits that are effectively connected to the conduct of your trade or business in the United States.

Withholding tax at a rate of 30% will be imposed on payments of interest (including original issue discount) to you or certain foreign financial institutions (including investment funds) and other non-US persons receiving payments on your behalf if you or such institutions fail to comply with certain due diligence, disclosure and reporting rules, as set forth in Treasury regulations. We will not pay any additional amounts to any holders of our debt instruments in respect of any amounts withheld. You are encouraged to consult with your tax advisor regarding U.S. withholding taxes and the application of the relevant Treasury regulations in light of your particular circumstances.

Sale, Exchange or other Disposition of Notes  You generally will not have to pay U.S. federal income tax on any gain or income realized from the sale, redemption, retirement at maturity or other disposition of your notes, unless:

in the case of gain, you are an individual who is present in the United States for 183 days or more during the taxable year of the sale or other disposition of your notes, and specific other conditions are met;
you are subject to tax provisions applicable to certain United States expatriates; or
the gain is effectively connected with your conduct of a U.S. trade or business.

If you are engaged in a trade or business in the United States, and gain with respect to your notes is effectively connected with the conduct of that trade or business, you generally will be subject to U.S. income tax on a net basis on the gain. In addition, if you are a foreign corporation, you may be subject to a branch profits tax on your effectively connected earnings and profits for the taxable year, as adjusted for certain items.

U.S. Federal Estate Tax.  If you are an individual and are not a U.S. citizen or a resident of the United States, as specially defined for U.S. federal estate tax purposes, at the time of your death, your notes will generally not be subject to the U.S. federal estate tax, unless, at the time of your death (1) you owned actually or constructively 10% or more of the total combined voting power of all our classes of stock entitled to vote, or (2) interest on the notes is effectively connected with your conduct of a U.S. trade or business.

Backup Withholding and Information Reporting  Backup withholding will not apply to payments of principal or interest made by us or our paying agent, in its capacity as such, to you if you have provided the required certification that you are a non-U.S. holder as described in “U.S. Federal Withholding Tax” above, and provided that neither we nor our paying agent have actual knowledge that you are a U.S. holder, as described in “U.S. Holders” above. We or our paying agent may, however, report payments of interest on the notes.

The gross proceeds from the disposition of your notes may be subject to information reporting and backup withholding tax. If you sell your notes outside the United States through a non-U.S. office of a non-U.S. broker and the sales proceeds are paid to you outside the United States, then the U.S. backup withholding and information reporting requirements generally will not apply to that payment. However, U.S. information reporting, but not backup withholding, will apply to a payment of sales proceeds, even if that payment is made outside the United States, if you sell your notes through a non-U.S. office of a broker that:
is a U.S. person, as defined in the Internal Revenue Code;
derives 50% or more of its gross income in specific periods from the conduct of a trade or business inthat has certain connections with the United States;
is a “controlled foreign corporation” for U.S. federal income tax purposes; or
is a foreign partnership, if at any time during its tax year, one or more of its partners are U.S. persons who in the aggregate hold more than 50% of the income or capital interests in the partnership, or the foreign partnership is engaged in a U.S. trade or business, unless the broker has documentary evidence in its files that you are a non-U.S. person and certain other conditions are met or you otherwise establish an exemption. If you receive payments of the proceeds of a sale of your notes to or through a U.S. office of a broker, the payment is subject to both U.S. backup withholding and information reporting unless you provide a Form W-8BEN certifying that you are a non-U.S. person or you otherwise establish an exemption.

States.
You should consult your own tax advisor regarding application of backup withholding in your particular circumstance and the availability of and procedure for obtaining an exemption from backup withholding. Any amounts withheld under the backup withholding rules from a payment to you will be allowed as a refund or credit against your U.S. federal income tax liability, provided the required information is furnished to the Internal Revenue Service.



U.S. Federal Income of Holders of Our Warrants

Exercise of Warrants  You will not generally recognize gain or loss upon the exercise of a warrant. Your basis in the debt securities, preferred stock, depositary shares or common stock, as the case may be, received upon the exercise of the warrant will be equal to the sum of your adjusted tax basis in the warrant and the exercise price paid. Your holding period in the debt securities, preferred stock, depositary shares or common stock, as the case may be, received upon the exercise of the warrant will not include the period during which the warrant was held by you.

Expiration of Warrants  Upon the expiration of a warrant, you will generally recognize a capital loss in an amount equal to your adjusted tax basis in the warrant.

Sale or Exchange of Warrants  Upon the sale or exchange of a warrant to a person other than us, you will recognize gain or loss in an amount equal to the difference between the amount realized on the sale or exchange and your adjusted tax basis in the warrant.

Such gain or loss will generally be capital gain or loss and will be long-term capital gain or loss if the warrant was held for more than one year. Upon the sale of the warrant to us, the Internal Revenue Service may argue that you should recognize ordinary income on the sale. You are advised to consult your own tax advisors as to the consequences of a sale of a warrant to us.

Potential Legislation or Other Actions Affecting Tax Consequences

Current and prospective securities holders should recognize that the present U.S. federal income tax treatment of an investment in us may be modified by legislative, judicial or administrative action at any time and that any such action may affect investments and commitments previously made. The rules dealing with U.S. federal income taxation are constantly under review by persons involved in the legislative process and by the Internal Revenue Service and the Department of the Treasury, resulting in revisions of regulations and revised interpretations of established concepts as well as statutory changes. Revisions in U.S. federal tax laws and interpretations of these laws could adversely affect the tax consequences of an investment in us.

State, Local and Foreign Taxes

We, and holders of our debt and equity securities, may be subject to state, local or foreign taxation in various jurisdictions, including those in which we or they transact business, own property or reside. It should be noted that we own properties located in a number of state, local and foreign jurisdictions, and may be required to file tax returns in some or all of those jurisdictions. The state, local or foreign tax treatment of us and holders of our debt and equity securities may not conform to the U.S. federal income tax consequences discussed above. Consequently, you are urged to consult your advisor regarding the application and effect of state, local and foreign tax laws with respect to any investment in our securities.

Changes in applicable tax regulations could negatively affect our financial results

The Company is subject to taxation inBecause the U.S. and numerous foreign jurisdictions. Because, even with the passage of the Tax Act, the U.S.generally maintains a worldwide corporate tax system, the foreign and U.S. tax systems are somewhat interdependent. Longstanding international tax norms that determine each country’s jurisdiction to tax cross-border international trade are evolving and could reduce the ability of our foreign subsidiaries to deduct for foreign tax purposes the interest they pay on loans from the Company, thereby increasing the foreign tax liability of the subsidiaries. It is also possible that foreign countries could increase their withholding taxes on dividends and interest. Given the unpredictability of these possible changes and their potential interdependency, it is very difficult to assess the overall effect of such potential tax changes on our earnings and cash flow, but such changes could adversely impact our financial results.
Internet Access to Our SEC Filings
Our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and amendments to those reports, as well as our proxy statements and other materials that are filed with, or furnished to, the Securities and Exchange Commission (“SEC”) are made available, free of charge, on the Internet at www.welltower.com/investors, as soon as reasonably practicable after they are filed with, or furnished to, the SEC. We routinely post important information on our website at www.welltower.com in the “Investors” section, including corporate and investor presentations and financial information. We intend to use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included on our website under the heading “Investors.” Accordingly, investors should monitor such portion of our website in addition to following our press releases, public conference calls, and filings with the SEC. The information on our website is not incorporated by reference in this Annual Report on Form 10-K, and our web address is included as an inactive textual reference only.
Cautionary Statement Regarding Forward-Looking Statements
This Annual Report on Form 10-K and the documents incorporated by reference contain statements that constitute “forward-looking statements,” within the meaning of the Private Securities Litigation Reform Act of 1995. When we use words such as “may,” “will,” “intend,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate” or similar expressions that do not relate solely to historical matters, we are making forward-looking statements. In particular, these forward-looking statements include, but are not limited to, those relating to our opportunities to acquire, develop or sell properties; our ability to close our anticipated acquisitions, investments or dispositions on currently anticipated terms, or within currently anticipated timeframes; the expected

performance of our operators/tenants and properties; our expected occupancy rates; our ability to declare and to make distributions to stockholders; our investment and financing opportunities and plans; our continued qualification as a REIT; and our ability to access capital markets or other sources of funds. 
Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause our actual results to differ materially from our expectations discussed in the forward-looking statements. This may be a result of various factors, including, but not limited to:
the status of the economy;
the status of capital markets, including availability and cost of capital;

uncertainty from the expected discontinuance of LIBOR and the transition to any other interest rate benchmark;
issues facing the health care industry, including compliance with, and changes to, regulations and payment policies, responding to government investigations and punitive settlements and operators’/tenants’ difficulty in cost-effectively obtaining and maintaining adequate liability and other insurance;
changes in financing terms;
competition within the health care and seniors housing industries;
negative developments in the operating results or financial condition of operators/tenants, including, but not limited to, their ability to pay rent and repay loans;
our ability to transition or sell properties with profitable results;
the failure to make new investments or acquisitions as and when anticipated;
natural disasters and other acts of God affecting our properties;
our ability to re-lease space at similar rates as vacancies occur;
our ability to timely reinvest sale proceeds at similar rates to assets sold;
operator/tenant or joint venture partner bankruptcies or insolvencies;
the cooperation of joint venture partners;
government regulations affecting Medicare and Medicaid reimbursement rates and operational requirements;
liability or contract claims by or against operators/tenants;
unanticipated difficulties and/or expenditures relating to future investments or acquisitions;
environmental laws affecting our properties;
changes in rules or practices governing our financial reporting;
the movement of U.S. and foreign currency exchange rates;
our ability to maintain our qualification as a REIT;
key management personnel recruitment and retention; and
the risks described under “Item 1A — Risk Factors.”
We undertake no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events, or otherwise.
Item 1A. Risk Factors
This section discusses the mosthighlights significant factors, events and uncertainties that affectcould create risk with an investment in our securities. The events and consequences discussed in these risk factors could, in circumstances we may not be able to accurately predict, recognize or control, have a material adverse effect on our business, operationsgrowth, reputation, prospects, financial condition, operating results, cash flows, liquidity, ability to pay dividends and financial condition. It doesstock price. These risk factors do not describeidentify all risks and uncertainties applicable to us,that we face: our industryoperations could also be affected by factors, events or ownership of our securities. If any of the following risks, as well as other risks and uncertainties that are not addressed in this sectionpresently known to us or that we havecurrently do not yet identified, actually occur, we could be materially adversely affected and the value ofconsider to present significant risks to our securities could decline.operations. We group these risk factors into three categories:
Risks arising from our business;
Risks arising from our capital structure; and
Risks arising from our status as a REIT. 

Risks Arising from Our Business
Our investments in and acquisitions of health care and seniors housing properties may be unsuccessful or fail to meet our expectations 
We are exposed to the risk that some of our acquisitions may not prove to be successful. We could encounter unanticipated difficulties and expenditures relating to any acquired properties, including contingent liabilities, and acquired properties might require significant management attention that would otherwise be devoted to our ongoing business. If we agree to provide construction funding to an operator/tenant and the project is not completed, we may need to take steps to ensure completion of the project. Such expenditures may negatively affect our results of operations. Investments in and acquisitions of seniors housing and health care properties entail risks associated with real estate investments generally, including risks that the investment will not achieve expected returns, that the cost estimates for necessary property improvements will prove inaccurate or that the tenant, operator or manager will fail to meet performance expectations. Furthermore, there can be no assurance that our anticipated acquisitions and investments, the completion of which is subject to various conditions, will be consummated in accordance with

anticipated timing, on anticipated terms, or at all. We may be unable to obtain or assume financing for acquisitions on favorable terms or at all. Health care properties are often highly customizable and the development or redevelopment of such properties may require costly tenant-specific improvements. We also may be unable to quickly and efficiently integrate new acquisitions, particularly acquisitions of portfolios of properties, into our existing operations, and this could have an adverse effect on our results of operations and financial condition. Acquired properties may be located in new markets, either within or outside the United States, where we may face risks associated with a lack of market knowledge or understanding of the local economy, lack of business relationships in the area, costs associated with opening a new regional office and unfamiliarity with local governmental and permitting procedures. As a result, we cannot assure you that we will achieve the economic benefit we expect from acquisitions, investment, development and redevelopment opportunities. All
Acquired properties may expose us to unknown liability
We may acquire properties or invest in joint ventures that own properties subject to liabilities and without any recourse, or with only limited recourse, against the prior owners or other third parties with respect to unknown liabilities. As a result, if a liability were asserted against us based upon ownership of those properties, we might have to pay substantial sums to settle or contest it, which could adversely affect our results of operations and cash flow. Unknown liabilities with respect to acquired properties might include: liabilities for clean up of undisclosed environmental contamination, claims by tenants, vendors or other persons against the former owners of the foregoing couldproperties, liabilities incurred in the ordinary course of business and claims for indemnification by general partners, directors and others indemnified by the former owners of the properties.
Competition for acquisitions may result in increased prices for properties
We may face competition for acquisition opportunities from other well-capitalized investors, including publicly traded and privately held REITs, private real estate funds, domestic and foreign financial institutions, life insurance companies, sovereign wealth funds, pension trusts, partnerships and individual investors. This competition may adversely affect our abilityus by subjecting us to continue paying dividends at the current rate.following risks: we may be unable to acquire a desired property because of competition from other well-capitalized real estate investors and, even if we are able to acquire a desired property, competition from other real estate investors may significantly increase the purchase price.
Our investments in joint ventures could be adversely affected by our lack of exclusive control over these investments, our partners’ insolvency or failure to meet their obligations, and disputes between us and our partners 
We have entered into, and may continue in the future to enter into, partnerships or joint ventures with other persons or entities. Joint venture investments involve risks that may not be present with other methods of ownership, including the possibility that our partner might become insolvent, refuse to make capital contributions when due or otherwise fail to meet its obligations, which may result in certain liabilities to us for guarantees and other commitments; that our partner might at any time have economic or other business interests or goals that are or become inconsistent with our interests or goals; that we could become engaged in a dispute with our partner, which could require us to expend additional resources to resolve such dispute and could have an adverse impact on the operations and profitability of the joint venture; and that our partner may be in a position to take action or withhold consent contrary to our instructions or requests. In addition,requests; and that our ability to transfer our interest in a joint venture to a third partypartners may be restricted.structured differently than us for tax purposes, which could create conflicts of interest and risks to our REIT status. In some instances, we and/or our partner may have the right to trigger a buy-sell, put right or forced sale arrangement, which could cause us to sell our interest, or acquire our partner’s interest or sell the underlying asset at a time when we otherwise would not have initiated such a transaction. Our ability to acquire our partner’s interest may be limited if we do not have sufficient cash, available borrowing capacity or other capital resources. In such event, we may be forced to sell our interest in the joint venture when we would otherwise prefer to retain it. On the other hand, our ability to transfer our interest in a joint venture to a third party may be restricted and the market for our interest may be limited and/or valued lower than fair market value. Joint ventures may require us to share decision-making authority with our partners, which could limit our ability to control the properties in the joint ventures. Even when we have a controlling interest, certain major decisions may require partner approval, such as the sale, acquisition or financing of a property.

We are exposed to operational risks with respect to our seniors housing operatingSeniors Housing Operating properties that could adversely affect our revenue and operations
We are exposed to various operational risks with respect to our seniors housing operatingSeniors Housing Operating properties that may increase our costs or adversely affect our ability to generate revenues. These risks include fluctuations in occupancy, Medicare and Medicaid reimbursement, if applicable, and private pay rates; economic conditions; competition; federal, state, local, and industry-regulated licensure, certification and inspection laws, regulations, and standards; the availability and increases in cost of general and professional liability insurance coverage; state regulation and rights of residents related to entrance fees; and the availability and increases in the cost of labor (as a result of unionization or otherwise). Any one or a combination of these factors may adversely affect our revenue and operations.
We assume operational and legal risks with respect to our properties managed in RIDEA structures that could have a material adverse effect on our business, results of operations and financial condition
We have entered into various joint ventures that were structured under the provisions of the REIT Investment Diversification and Empowerment Act of 2007 (“RIDEA”), which permits REITs to own or partially own “qualified health care properties” in a structure through which we can participate directly in the cash flow of the properties’ operations (as compared to receiving only contractual rent payments) in compliance with REIT requirements. A “qualified health care property” includes real property and any personal property that is, or is necessary or incidental to the use of, a hospital, nursing facility, assisted living facility, congregate care facility, qualified continuing care facility, or other licensed facility which extends medical or nursing or ancillary services to patients.
Under a RIDEA structure, we are required to rely on our operator to manage and operate the property, including complying with laws and providing resident care. However, as the owner of the property under a RIDEA structure, we are responsible for operational and legal risks and liabilities of the property, including, but not limited to, those relating to employment matters of our operators, compliance with health care fraud and abuse and other laws, governmental reimbursement matters, compliance with federal, state, local and industry-related licensure, certification and inspection laws, regulations, and standards, and litigation involving our properties or residents/patients, even though we have limited ability to control or influence our operators’ management of these risks. Further, our taxable REIT subsidiary (“TRS”) is generally required to hold the applicable health care license and enroll in the applicable government health care programs (e.g., Medicare and Medicaid), which subjects us to potential liability under various health care regulatory laws. Penalties for failure to comply with applicable laws may include loss or suspension of licenses and certificates of need, certification or accreditation, exclusion from government health care programs (e.g., Medicare and Medicaid), administrative sanctions and civil monetary penalties. Although we have some general oversight approval rights and the right to review operational and financial reporting information, our operators are ultimately in control of the day-to-day business of the property, including clinical decision-making, we rely on them to operate the properties in compliance with a manner that complies with applicable law.
Decreases in our operators’ revenues or increases in our operators’ expenses could affect our operators’ ability to make payments to us
We have very limited control over the success or failure of our operators' businesses and, at any time, an operator may experience a downturn in its business that weakens its financial condition. Our operators’ revenues are primarily driven by occupancy, private pay rates, and Medicare and Medicaid reimbursement, if applicable. Expenses for these facilities are primarily driven by the costs of labor, food, utilities, taxes, insurance and rent or debt service. Revenues from government reimbursement have, and may continue to, come under pressure due to reimbursement cuts and state budget shortfalls. Operating costs continue to increase for our operators. To the extent that any decrease in revenues and/or any increase in operating expenses result in a property not generating enough cash to make payments to us, the credit of our operator and the value of other collateral would have to be relied upon. To the extent the value of such property is reduced, we may need to record an impairment for such asset. Furthermore, if we determine to dispose of an underperforming property, such sale may result in a loss. Any such impairment or loss on sale would negatively affect our financial results. AllThese risks are magnified where we lease multiple properties to a single operator under a master lease, as an operator failure or default under a master lease would expose us to these risks across multiple properties. Although our lease agreements give us the right to exercise certain remedies in the event of default on the foregoing could affectobligations owing to us, we may determine not to do so if we believe that enforcement of our abilityrights would be more detrimental to continue paying dividends at the current rate. our business than seeking alternative approaches.
Increased competition and oversupply may affect our operators’ ability to meet their obligations to us 
The operators of our properties compete on a local and regional basis with operators of properties and other health care providers that provide comparable services for residents and patients, including on the basis of the scope and quality of care and services provided, reputation and financial condition, physical appearance of the properties, price, and location. Our operators are expected to encounter increased competition in the future that could limit their ability to attract residents or expand their businesses. In addition, we expect that there will continue to be a more than adequate inventory of seniors housing facilities. We cannot be certain that the operators of all of our facilities will be able to achieve and maintain occupancy and rate levels that will enable them to

meet all of their obligations to us. If our operators cannot compete effectively or if there is an oversupply of facilities, their financial performance and ability to meet their obligations to us could have a material adverse effect on our financial results. 
A severe cold and flu season, epidemics or any other widespread illnesses could adversely affect the occupancy of our seniors housing operatingSeniors Housing Operating and triple-netTriple-net properties

Our revenues and our operators’ revenues are dependent on occupancy. It is impossible to predict the severity of the cold and flu season or the occurrence of epidemics or any other widespread illnesses. The occupancy of our seniors housing operatingSeniors Housing Operating and triple-netTriple-net properties could significantly decrease in the event of a severe cold and flu season, an epidemic or any other widespread illness. Such a decrease could affect the operating income of our seniors housing operatingSeniors Housing Operating properties and the ability of our triple-netTriple-net operators to make payments to us. In addition, a flu pandemic could significantly increase the cost burdens faced by our operators, including if they are required to implement quarantines for residents, and adversely affect their ability to meet their obligations to us, which would have a material adverse effect on our financial results. 
The insolvency or bankruptcy of our tenants, operators, borrowers, managers and other obligors may adversely affect our business, results of operations and financial condition 
We are exposed to the risk that our tenants, operators, borrowers, managers or other obligors may not be able to meet the rent, principal and interest or other payments due us, which may result in a tenant, operator, borrower, manager or other obligor bankruptcy or insolvency, or that a tenant, operator, borrower, manager or other obligor might become subject to bankruptcy or insolvency proceedings for other reasons. Although our operating lease agreements provide us with the right to evict a tenant, demand immediate payment of rent and exercise other remedies, and our loans provide us with the right to terminate any funding obligation, demand immediate repayment of principal and unpaid interest, foreclose on the collateral and exercise other remedies, the bankruptcy and insolvency laws afford certain rights to a party that has filed for bankruptcy or reorganization. A tenant, operator, borrower, manager or other obligor in bankruptcy or subject to insolvency proceedings may be able to limit or delay our ability to collect unpaid rent in the case of a lease or to receive unpaid principal and interest in the case of a loan, and to exercise other rights and remedies. In addition, if a lease is rejected in a tenant bankruptcy, our claim against the tenant may be limited by applicable provisions of the bankruptcy law. We may be required to fund certain expenses (e.g., real estate taxes and maintenance) to preserve the value of an investment property, avoid the imposition of liens on a property and/or transition a property to a new tenant. In some instances, we have terminated our lease with a tenant and relet the property to another tenant. In some of those situations, we have provided working capital loans to and limited indemnification of the new obligor. If we cannot transition a leased property to a new tenant, we may take possession of that property, which may expose us to certain successor liabilities. Publicity about the operator's financial condition and insolvency proceedings may also negatively impact their and our reputations, decreasing customer demand and revenues. Should such events occur, our revenue and operating cash flow may be adversely affected. All of the foregoing could affect our ability to continue paying dividends at the current rate.
We may not be able to timely reinvest our sale proceeds on terms acceptable to us 
From time to time, we will have cash available from the proceeds of sales of our securities, principal payments on our loans receivable or the sale of properties, including non-elective dispositions, under the terms of master leases or similar financial support arrangements. In order to maintain current revenues and continue generating attractive returns, we expect to re-investreinvest these proceeds in a timely manner. We compete for real estate investments with a broad variety of potential investors, including other health care REITs, real estate partnerships, health care providers, health care lenders and other investors, including developers, banks, insurance companies, pension funds, government-sponsored entities and private equity firms, some of whom may have greater financial resources and lower costs of capital than we do. This competition for attractive investments may negatively affect our ability to make timely investments on terms acceptable to us. 
The properties managed by Sunrise Senior Living, LLC (“Sunrise”) account for a significant portion of our revenues and net operating income and any adverse developments in its business or financial condition could adversely affect us 
As of December 31, 2018,2019, Sunrise managed 161165 of our seniors housing operatingSeniors Housing Operating properties. These properties account for a significant portion of our revenues and net operating income. Although we have various rights as the property owner under our management agreements, we rely on SunriseSunrise’s personnel, expertise, technical resources and information systems, proprietary information, good faith and judgment to manage theseour Seniors Housing Operating properties efficiently and effectively. We also rely on Sunrise to set appropriate resident fees, to provide accurate property-level financial results for our properties in a timely manner and to otherwise operate them in compliance with the terms of our management agreements and all applicable laws and regulations. Any adverse developments in Sunrise’s business or financial condition could impair its ability to manage our properties efficiently and effectively, which could adversely affect our business, results of operations, and financial condition. For example, we depend on Sunrise’s ability to attract and retain skilled management personnel who are responsible for the day-to-day operations of our Seniors Housing Operating properties. A shortage of nurses or other trained personnel or general inflationary pressures may force Sunrise to enhance its pay and benefits packages to compete effectively for such personnel, but it may not be able to offset these added costs by increasing the rates charged to residents. Any increase in labor costs and other property operating expenses, any failure by Sunrise to attract and retain qualified personnel, or significant changes in Sunrise’s senior management or equity ownership could adversely affect the income we receive from our Seniors Housing Operating properties and have a material adverse effect on us. Also, if Sunrise experiences any significant financial, legal, accounting or regulatory difficulties, such difficulties

could result in, among other things, acceleration of its indebtedness, impairment of its continued access to capital or the commencement of insolvency proceedings by or against it under the U.S. Bankruptcy Code, which, in turn, could adversely affect our business, results of operations and financial condition. If we determine to sell or transition additional properties currently managed by Sunrise, we may experience operational challenges and/or significantly declining financial performance for those properties. See Note 89 to our consolidated financial statements for additional information. 
We depend on Genesis HealthCare (“Genesis”), Brookdale Senior Living (“Brookdale”) and ProMedica Health System ("ProMedica") and Genesis HealthCare (“Genesis”) for a significant portion of our revenues and any failure, inability or unwillingness by them to satisfy obligations under their agreements with us could adversely affect us 
The properties we lease to Genesis, BrookdaleProMedica and ProMedicaGenesis account for a significant portion of our revenues, and because these leases are triple-net leases, we also depend on Genesis, BrookdaleProMedica and ProMedicaGenesis to pay all insurance, taxes, utilities and maintenance and repair expenses in connection with the leased properties. We cannot assure you that Genesis, BrookdaleProMedica and ProMedicaGenesis will have sufficient assets, income and access to financing to enable them to make rental payments to us or to otherwise satisfy their respective obligations under our leases, and any failure, inability or unwillingness by ProMedica and Genesis Brookdale or ProMedica

to do so could have an adverse effect on our business, results of operations and financial condition. Genesis, BrookdaleProMedica and ProMedicaGenesis have also agreed to indemnify, defend and hold us harmless from and against various claims, litigation and liabilities arising in connection with their respective businesses, and we cannot assure you that Genesis, BrookdaleProMedica and ProMedicaGenesis will have sufficient assets, income, access to financing and insurance coverage to enable them to satisfy their respective indemnification obligations. Genesis, BrookdaleProMedica and ProMedica'sGenesis's failure to effectively conduct their operations or to maintain and improve our properties could adversely affect their business reputations and their ability to attract and retain patients and residents in our properties, which, in turn, could adversely affect our business, results of operations and financial condition. Additionally, we have made real estate and other loans to Genesis and their operational or other failures could adversely impact their ability to repay these loans when due.
Ownership of property outside the U.S. may subject us to different or greater risks than those associated with our domestic operations 
We have operations in Canada and the U.K. and Canada which represent 10.0%8.8% and 9.6%9.1% of total Welltower revenues, respectively. As of December 31, 2018,2019, Revera managed 9894 of our seniors housing operatingSeniors Housing Operating properties in Canada, representing a significant portion of our revenues, and also owned a controlling interest in Sunrise. International development, ownership, and operating activities involve risks that are different from those we face with respect to our domestic properties and operations. These risks include, but are not limited to, any international currency gain recognized with respect to changes in exchange rates, which may not qualify under the 75% gross income test or the 95% gross income test that we mustrequired for us to satisfy annually in order to qualify and maintain our status as a REIT; challenges with respect to the repatriation of foreign earnings and cash; impact from international trade disputes and the associated impact on our tenants' supply chain and consumer spending levels; changes in foreign political, regulatory, and economic conditions (regionally, nationally and locally) including, but not limited to, continuing uncertainty surrounding the process of Brexit and the macroeconomic and regulatory effects of Brexit, including impacts on the U.K. real estate market; challenges in managing international operations; challenges of complying with a wide variety of foreign laws and regulations, including those relating to real estate, corporate governance, operations, taxes, employment and other civil and criminal legal proceedings; foreign ownership restrictions with respect to operations in foreign countries; local businesses and cultural factors that differ from our usual standards and practices; differences in lending practices and the willingness of domestic or foreign lenders to provide financing; regional or country-specific business cycles and political and economic instability; and failure to comply with applicable laws and regulations in the U.S. that affect foreign operations, including, but not limited to, the U.S. Foreign Corrupt Practices Act. If we are unable to successfully manage the risks associated with international expansion and operations, our results of operations and financial condition may be adversely affected. 
The business and financial results of our operations located in the U.K. may be negatively impacted as a result of Brexit
The U.K.’s referendum on withdrawal from the EU in 2016 (commonly referred to as “Brexit”), and subsequent notification of the U.K.’s intention to withdraw from the EU given in March 2017, have adversely impacted global markets and foreign currencies. The terms governing the future relationship between the U.K. and the EU, as well as the legal and economic consequences of those terms, remain unclear, including with respect to the post-Brexit regulatory environment in the U.K. It is possible that the level of health care and other economic activity in the U.K. and the rest of Europe will be adversely impacted and that we will face increased regulatory and legal complexities in these regions which could have an adverse impact on the financial condition and results of operations of our properties in the U.K.
Moreover, the value of the British Pound Sterling incurred significant fluctuations. If the value of the British Pound Sterling continues to incur similar fluctuations, unfavorable exchange rate changes may negatively affect the value of our operations located in the U.K., as translated to our reporting currency, the U.S. Dollar, in accordance with U.S. GAAP, which may impact the revenue and earnings we report. Continued fluctuations in the British Pound Sterling may also result in the imposition of price adjustments by E.U.-based suppliers to our U.K. operations, as those suppliers seek to compensate for the changes in value of the British Pound Sterling as compared to the European Euro.

If our tenants do not renew their existing leases, or if we are required to sell properties for liquidity reasons, we may be unable to lease or sell the properties on favorable terms, or at all
We cannot predict whether our tenants will renew existing leases at the end of their lease terms, which expire at various times. If these leases are not renewed, we would be required to find other tenants to occupy those properties, or sell them. There can be no assurance that we would be able to identify suitable replacement tenants or enter into leases with new tenants on terms as favorable to us as the current leases or that we would be able to lease those properties at all. Our competitors may offer space at rental rates below current market rates or below the rental rates we currently charge our customers, we may lose potential customers, and we may be pressured to reduce our rental rates below those we currently charge to retain customers when leases expire. In addition, our ability to reposition our properties with a suitable replacement tenant or operator could be significantly delayed or limited by state licensing, receivership, CON or other laws, as well as by the Medicare and Medicaid change-of-ownership rules, and we could incur substantial additional expenses in connection with any licensing, receivership or change-of-ownership proceedings. Even if tenants decide to renew or lease new space, the terms of renewals or new leases, including the cost of required renovations or concessions to tenants, may be less favorable to us than current lease terms.
Real estate investments are relatively illiquid and most of the property we own is highly customized for specific uses. Our ability to quickly sell or exchange any of our properties in response to changes in operator, economic and other conditions will be limited. No assurances can be given that we will recognize full value for any property that we are required to sell. Our inability to respond rapidly to changes in the performance of our investments could adversely affect our financial condition and results of operations. In addition, we are exposed to the risks inherent in concentrating investments in real estate, and in particular, the seniors housing and health care industries. A downturn in the real estate industry could adversely affect the value of our properties and our ability to sell properties for a price or on terms acceptable to us. All of the foregoing could affect our ability to continue paying dividends at the current rate.
Our tenants, operators and managers may not have the necessary insurance coverage to insure adequately against losses 
We maintain or require our tenants, operators and managers to maintain comprehensive insurance coverage on our properties and their operations with terms, conditions, limits and deductibles that we believe are customary for similarly-situatedsimilarly situated companies in our industry and we frequently review our insurance programs and requirements. That said, we cannot assure you that we or ourOur tenants, operators or managers will continue toand manager may not be able to maintain adequate levels of insurance and required coverages or thatcoverages. Also, we will continuemay not be able to require the same levels of insurance coverage under our lease, management and other agreements, which could adversely affect us in the event of a significant uninsured loss. Also,We cannot make any guarantee as to the future financial viability of the insurers that underwrite our policies and the policies maintained by our tenants, operators and managers. Insurance may not be available at a reasonable cost in the future or policies may not be maintained at a level that will fully cover all losses on our properties upon the occurrence of a catastrophic event. This may be especially the case due to increases in property insurance costs. In addition, in recent years, long-term/post-acute care and seniors housing operators and managers have experienced substantial increases in both the number and size of patient care liability claims. As a result, general and professional liability costs have increased in some markets. General and professional liability insurance coverage may be restricted or very costly, which may adversely affect the tenants’, operators’ and managers’ future operations, cash flows and financial condition,conditions, and may have a material adverse effect on the tenants’, operators’ and managers’ ability to meet their obligations to us.
Our ownership of properties through ground leases exposes us to the loss of such properties upon breach or termination of the ground leases 

We have acquired an interest in certain of our properties by acquiring a leasehold interest in the property on which the building is located, and we may acquire additional properties in the future through the purchase of interests in ground leases. Many of these ground leases impose significant limitations on our uses of the subject properties, restrict our ability to sell or otherwise transfer our interests in the properties or restrict the leasing of the properties. These restrictions may limit our ability to timely sell or exchange the properties, impair the properties’ value or negatively impact our ability to find suitable tenants for the properties. As the lessee under a ground lease, we are exposed to the possibility of losing the property upon termination of the ground lease or an earlier breach of the ground lease by us.
The requirements of, or changes to, governmental reimbursement programs, such as Medicare, Medicaid or government funding, could have a material adverse effect on our obligors’ liquidity, financial condition and results of operations, which could adversely affect our obligors’ ability to meet their obligations to us 
Some of our obligors’ businesses are affected by government reimbursement. To the extent that an operator/tenant receives a significant portion of its revenues from government payors, primarily Medicare and Medicaid, such revenues may be subject to statutory and regulatory changes, retroactive rate adjustments, recovery of program overpayments or set-offs, court decisions, administrative rulings, policy interpretations, payment or other delays by fiscal intermediaries or carriers, government funding restrictions (at a program level or with respect to specific facilities), any lapse in Congressional funding of the Centers for Medicare and Medicaid Services and interruption or delays in payments due to any ongoing government investigations and audits at such property. In recent years, government payors have frozen or reduced payments to health care providers due to budgetary pressures. Federal and state authorities may continue seeking to implement new or modified reimbursement methodologies that may negatively impact health care property operations. See “Item 1 - Business - Certain Government Regulations - United States - Reimbursement”

above for additional information. Health care reimbursement will likely continue to be of paramount importance to federal and state authorities. We cannot make any assessment as to the ultimate timing or effect any future legislative reforms may have on the financial condition of our obligors and properties. There can be no assurance that adequate reimbursement levels will be available for services provided by any property operator, whether the property receives reimbursement from Medicare, Medicaid or private payors. Significant limits on the scope of services reimbursed and on reimbursement rates and fees could have a material adverse effect on an obligor’s liquidity, financial condition and results of operations, which could adversely affect the ability of an obligor to meet its obligations to us. 
TheSince January 1, 2014, the Health Reform Laws providehave provided those states that expand their Medicaid coverage to otherwise eligible state residents with incomes at or below 138% of the federal poverty level with an increased federal medical assistance percentage, effective January 1, 2014, when certain conditions are met. Given that the federal government substantially funds the Medicaid expansion, it is unclear how many states will ultimately pursue this option, although, as of early February 2018,January 2020, more than 60%70% of the states have expanded Medicaid coverage. The participation by states in the Medicaid expansion could have the dual effect of increasing our tenants’ revenues, through new patients, but further straining state budgets and their ability to pay our tenants. We expect that
The status of the Health Reform Laws may be subject to change as a result of political, legislative, regulatory, and administrative developments and judicial proceedings. The current Presidential Administration and U.S. Congress willhave sought to and may continue to seek to modify, repeal, or otherwise invalidate all, or certain provisions of, the Health Reform Laws, including Medicaid expansion. Since taking office, President Trump has continued to support the repeal of all or portions of the Health Reform Laws.  See “Item 1 — Business — Certain Government Regulations — United States — Reimbursement” above for additional information. If the operations, cash flows or financial condition of our operators and tenants are materially adversely impacted by the Health Reform Laws or future legislation, our revenue and operations may be adversely affected as well. More generally, and because of the dynamic nature of the legislative and regulatory environment for health care products and services, and in light of existing federal deficit and budgetary concerns, we cannot predict the impact that broad-based, far-reaching legislative or regulatory changes could have on the U.S. economy, our business, or that of our operators and tenants. 
If controls imposed on certain of our tenants who provide health care services that are reimbursed by Medicare, Medicaid and other third-party payors to reduce admissions and length of stay affect inpatient volumes at our health care facilities, the financial condition or results of operations of those tenants could be adversely affected
Controls imposed by Medicare, Medicaid and commercial third-party payors designed to reduce admissions and lengths of stay, commonly referred to as “utilization reviews,” have affected and are expected to continue to affect certain of our health care facilities, specifically our acute care hospitals and post-acute facilities. Utilization review entails the review of the admission and course of treatment of a patient by managed care plans. Inpatient utilization, average lengths of stay and occupancy rates continue to be negatively affected by payor-required preadmission authorization and utilization review and by payor pressures to maximize outpatient and alternative health care delivery services for less acutely ill patients. Efforts to impose more stringent cost controls and reductions are expected to continue, which could negatively impact the financial condition of our tenants who provide health care services in our hospitals and post-acute facilities. If so, this could adversely affect these tenants’ ability and willingness to comply with the terms of their leases with us and/or renew those leases upon expiration, which could have a material adverse effect on us.
Our operators’ or tenants’ failure to comply with federal, state, province, local, and industry-regulated licensure, certification and inspection laws, regulations, and standards could adversely affect such operators’ or tenants’ operations, which could adversely affect our operators’ and tenants’ ability to meet their obligations to us 
Our operators and tenants generally are subject to or impacted by varying levels of federal, state, local, and industry-regulated licensure, certification and inspection laws, regulations, and standards. These laws and regulations include, among others: laws protecting consumers against deceptive practices; laws relating to the operation of our properties and how our tenants and operators conduct their business, such as fire, health and safety, data security and privacy laws; federal and state laws affecting hospitals, clinics and other health care communities that participate in both Medicare and Medicaid that specify reimbursement rates, pricing, reimbursement procedures and limitations, quality of services and care, background checks, food service and physical plants, and similar foreign laws regulating the health care industry; resident rights laws (including abuse and neglect laws) and fraud laws; anti-kickback and physician referral laws; the ADA and similar state and local laws; and safety and health standards set by the Occupational Safety and Health Administration or similar foreign agencies. Our operators’ or tenants’ failure to comply with any of these laws, regulations, or standards could result in loss of accreditation, denial of reimbursement, imposition of fines, suspension, decertification or exclusion from federal and state health care programs, civil liability, and in certain limited instances, criminal penalties, loss of license, or closure of the facility.facility and/or the incurrence of considerable costs arising from an investigation or regulatory action. Such actions may have an effect on our operators’ or tenants’ ability to make lease payments to us and, therefore, adversely impact us. In addition, we may be directly subject to certain health care fraud and abuse laws and data privacy laws, as well as potential investigation or enforcement, as a result of our RIDEA-structured arrangements, and certain other arrangements we may pursue with healthcare entities who are directly subject to these laws. See “Item 1 - Business - Certain Government Regulations

- United States - Fraud & Abuse Enforcement” and “Item 1 - Business - Certain Government Regulations - United States - Health Care Matters - Generally” above.
Many of our properties may require a license, registration, and/or CON to operate. Failure to obtain a license, registration, or CON, or loss of a required license, registration, or CON would prevent a facility from operating in the manner intended by the operators or tenants. These events could materially adversely affect our operators’ or tenants’ ability to make rent or other obligatory payments to us. State and local laws also may regulate the expansion, including the addition of new beds or services or acquisition of medical equipment, and the construction or renovation of health care facilities, by requiring a CON or other similar approval from a state agency. See “Item 1 — Business — Certain Government Regulations — United States — Licensing and Certification” above. 
The real estate market and our business may be negatively impacted byIn addition, we cannot assure you that future changes to U.S. tax laws
The Tax Cuts and Jobs Act ("Tax Act") enacted in December 2017 significantly changes the U.S. income tax rules for individuals and corporations. Although the Tax Act involves comprehensive changes to the system of corporate income tax, it doesgovernment regulation will not substantively change the manner in which REITs are taxed. Although numerous provisions of the Tax Act do affect REITs, we are

generally not subject to federal taxes applicable to regular corporations if we comply with the tax law governing REIT status and distribute annually an amount at least equal to our taxable income. Nonetheless, the Tax Act makes numerous changes to the individual income tax rules that mayadversely affect the real estate market in the U.S.,health care industry, including limitations on the deductibility of state and local property taxes and interest. Although the impact of these changes is likely to be most significant in the residential real estate market, rather than in the sectors where we operate, the effects of these changes on the broader real estate market in the geographic areas in which we operate and on our tenants remain uncertain.and operators, nor can we be certain that our tenants and operators will achieve and maintain occupancy and rate levels or labor cost levels that will enable them to satisfy their obligations to us.
Changes in applicable tax regulations could negatively affect our financial results 
We are subject to taxation in the U.S. and numerous foreign jurisdictions. Because even with the passage of the Tax Act, the U.S. maintains a worldwide corporate tax system, the foreign and U.S. tax systems are somewhat interdependent. Longstanding international norms that determine each country’s jurisdiction to tax cross-border international trade are evolving and could reduce the ability of our foreign subsidiaries to deduct for foreign tax purposes the interest they pay on loans from us, thereby increasing the foreign tax liability of the subsidiaries; it is also possible that foreign countries could increase their withholding taxes on dividends and interest. Given the unpredictability of these possible changes and their potential interdependency, it is very difficult to assess the overall effect of such potential tax changes on our earnings and cash flow, but such changes could adversely impact our financial results.
Unfavorable resolution of pending and future litigation matters and disputes could have a material adverse effect on our financial condition
From time to time, we may beare directly involved in a number of legal proceedings, lawsuits and other claims. We may also beare named as defendants in lawsuits allegedly arising out of our actions or the actions of our operators/tenants or managers in which such operators/tenants or managers have agreed to indemnify, defend and hold us harmless from and against various claims, litigation and liabilities arising in connection with their respective businesses. An unfavorable resolution of pending or future litigation or legal proceedings may have a material adverse effect on our business, results of operations and financial condition. Regardless of its outcome, litigation may result in substantial costs and expenses and significantly divert the attention of management. There can be no assurance that we will be able to prevail in, or achieve a favorable settlement of, pending or future litigation. In addition, pending litigation or future litigation, government proceedings or environmental matters could lead to increased costs or interruption of our normal business operations. An unfavorable resolution of pending or future litigation or legal proceedings may have a material adverse effect on our business, results of operations and financial condition. Regardless of its outcome, litigation may result in substantial costs and expenses, significantly divert the attention of management, and could damage our reputation and our brand. In addition, any such resolution could involve our agreement to terms that restrict the operation of our business. We cannot guarantee losses incurred in connection with any current or future legal or regulatory proceedings or actions will not exceed any provisions we may have set aside in respect of such proceedings or actions or will not exceed any available insurance coverage.
Development, redevelopment and construction risks could affect our profitability
At any given time, we may be in the process of constructing one or more new facilities that ultimately will require a CON and license before they can be utilized by the operator for their intended use. The operator also may need to obtain Medicare and Medicaid certification and enter into Medicare and Medicaid provider agreements and/or third party payor contracts. In the event that the operator is unable to obtain the necessary CON, licensure, certification, provider agreements or contracts after the completion of construction, there is a risk that we will not be able to earn any revenues on the facility until either the initial operator obtains a license or certification to operate the new facility and the necessary provider agreements or contracts or we find and contract with a new operator that is able to obtain a license to operate the facility for its intended use and the necessary provider agreements or contracts. 
In connection with our renovation, redevelopment, development and related construction activities, we may be unable to obtain, or suffer delays in obtaining, necessary zoning, land-use, building, occupancy and other required governmental permits and authorizations. These factors could result in increased costs or our abandonment of these projects. In addition, we may not be able to obtain financing on favorable terms, which may render us unable to proceed with our development activities, and we may not be able to complete construction and lease-up of a property on schedule, which could result in increased debt service expense or construction costs. Additionally, the time frame required for development, construction and lease-up of these properties means that we may have to wait years for significant cash returns. Because we are required to make cash distributions to our stockholders, if the cash flow from operations or refinancing is not sufficient, we may be forced to borrow additional money to fund such distributions. We may be unable to obtain financing with favorable terms, or at all, for the proposed development, which may cause us to delay or abandon an opportunity. Newly developed and acquired properties may not produce the cash flow that we expect, which could adversely affect our overall financial performance. 
In deciding whether to acquire or develop a particular property, we make assumptions regarding the expected future performance of that property. In particular, we estimate the return on our investment based on expected occupancy, rental rates and capital costs. If our financial projections with respect to a new property are inaccurate as a result of increases in capital costs or other factors, the property may fail to perform as we expected in analyzing our investment. Our estimate of the costs of repositioning or redeveloping an acquired property may prove to be inaccurate, which may result in our failure to meet our profitability goals. Additionally, we may acquire new properties that are not fully leased, and the cash flow from existing operations may be insufficient to pay the operating expenses and debt service associated with that property. 


New facilities that we construct often require a CON and license before they can be utilized by the operator for their intended use. The operator also may need to obtain Medicare and Medicaid certification and enter into Medicare and Medicaid provider agreements and/or third-party payor contracts. In the event that the operator is unable to obtain the necessary CON, licensure, certification, provider agreements or contracts after the completion of construction, there is a risk that we will not be able to earn any revenues on the facility until either the initial operator obtains a license or certification to operate the new facility and the necessary provider agreements or contracts or we find and contract with a new operator that is able to obtain a license to operate the facility for its intended use and the necessary provider agreements or contracts. 
We may experience losses caused by severe weather conditions, or natural disasters or the physical effects of climate change, which could result in an increase of our or our tenants’ cost of insurance, unanticipated costs associated with evacuation, a decrease in our anticipated revenues or a significant loss of the capital we have invested in a property 

We maintain or require our tenants to maintain comprehensive insurance coverage on our properties with terms, conditions, limits and deductibles that we believe are appropriate given the relative risk and costs of such coverage, and we frequently review our insurance programs and requirements. However, a large number of our properties are located in areas particularly susceptible to revenue loss, cost increase or damage caused by severe weather conditions or natural disasters such as hurricanes, earthquakes, tornadoes and floods.floods, as well as the effects of climate change. We believe, given current industry practice and analysis prepared by outside consultants, that our and our tenants’ insurance coverage is appropriate to cover reasonably anticipated losses that may be caused by hurricanes, earthquakes, tornadoes, floods and other severe weather conditions and natural disasters, including the effects of climate change. Nevertheless, we are always subject to the risk that such insurance will not fully cover all losses and, depending on the severity of the event and the impact on our properties, such insurance may not cover a significant portion of the losses.losses including but not limited to the costs associated with evacuation. These losses may lead to an increase of our and our tenants’ cost of insurance, a decrease in our anticipated revenues from an affected property and a loss of all or a portion of the capital we have invested in an affected property.  In addition, we or our tenants may not purchase insurance under certain circumstances if the cost of insurance exceeds, in our or our tenants’ judgment, the value of the coverage relative to the risk of loss. Also, changes in federal and state legislation and regulation relating to climate change could result in increased capital expenditures to improve the energy efficiency and resiliency of our existing properties and could also necessitate us to spend more on our new development properties without a corresponding increase in revenue.
To the extent that significant changes in the climate occur in areas where our communities are located, we may experience extreme weather and changes in precipitation and temperature, all of which may result in physical damage to or a decrease in demand for properties located in these areas or affected by these conditions. Should the impact of climate change be material in nature, including significant property damage to or destruction of our communities, or occur for lengthy periods of time, our financial condition or results of operations may be adversely affected. In addition, changes in federal, state and local legislation and regulation based on concerns about climate change could result in increased capital expenditures on our existing properties and our new development properties without a corresponding increase in revenue, resulting in adverse impacts to our net income.
We may incur costs to remediate environmental contamination at our properties, which could have an adverse effect on our or our obligors’ business or financial condition
Under various laws, owners or operators of real estate may be required to respond to the presence or release of hazardous substances on the property and may be held liable for property damage, personal injuries or penalties that result from environmental contamination or exposure to hazardous substances. These laws often impose liability without regard to whether the owner or operator knew of the release of the substances or caused the release. We may become liable to reimburse the government for damages and costs it incurs in connection with the contamination. Generally, such liability attaches to a person based on the person’s relationship to the property. Our tenants or borrowers are primarily responsible for the condition of the property. Moreover, we review environmental site assessments of the properties that we own or encumber prior to taking an interest in them. Those assessments are designed to meet the “all appropriate inquiry” standard, which we believe qualifies us for the innocent purchaser defense if environmental liabilities arise. Based upon such assessments, we do not believe that any of our properties are subject to material environmental contamination. However, environmental liabilities may be present in our properties and we may incur costs to remediate contamination, which could have a material adverse effect on our business or financial condition or the business or financial condition of our obligors. 
Cybersecurity incidents could disrupt our business and result in the loss of confidential information
Our business is at risk from and may be impacted by cybersecurity attacks, including attempts to gain unauthorized access to our confidential data through phishing or other malicious activity, attempts to interrupt our access to or use of IT systems through distributed denial-of-service or ransomware attacks, breaches related to our increased receipt and use of data from multiple sources, and other electronic security breaches or other cybersecurity incidents, including those resulting from human error, product defects and technology failures. Such cyber-attacks can range from individual attempts to gain unauthorized access to our information technology systems to more sophisticated security threats.threats, and may be specifically targeted to our business or more general industry wide risks. Our information technology networks and related systems are essential to our ability to perform day-to-day operations of our business. While we employ a number of measures to prevent, detect and mitigate these threats, there is no guarantee such

efforts will be successful in preventing a cyber-attack. Even the most well-protected information, networks, systems and facilities remain potentially vulnerable because the techniques used in such attempted cybersecurity breaches evolve and generally are not recognized until launched against a target, and in some cases are designed not to be detected and, in fact, may not be detected. Accordingly, we may be unable to anticipate these techniques or to implement adequate cybersecurity barriers or other preventative measures, and thus it is impossible for us to entirely mitigate this risk. In the past, we have experienced cybersecurity breaches, which to date have not had a material impact on our operations; however, there is no assurance that such impacts will not be material in the future. We must continuously monitor and develop our systems to protect our technology infrastructure and data from misappropriation or corruption. Cybersecurity incidents could disrupt our business, damage our reputation, cause us to incur significant remediation expense and have a materially adverse effect on our business, financial condition and results of operations. Cybersecurity breaches that compromise proprietary, personal identifying or confidential information of our employees, operators, tenants and partners could result in legal claims or proceedings, including under data privacy regulations.
Our success depends on key personnel whose continued service is not guaranteed 
Our success depends on the continued availability and service of key personnel, including our executive officers and other highly qualified employees, and competition for their talents is intense. There is substantial competition for qualified personnel. We cannot assure you that we will retain our key personnel or that we will be able to recruit and retain other highly qualified employees in the future. Losing any key personnel could, at least temporarily, have a material adverse effect on our business, financial position and results of operations. 
Risks Arising from Our Capital Structure 
Our certificate of incorporation and by-laws contain anti-takeover provisions 
Our certificate of incorporation and by-laws contain anti-takeover provisions (restrictions on share ownership and transfer and super majority stockholder approval requirements for business combinations) that could make it more difficult for or even prevent a third party from acquiring us without the approval of our incumbent Board of Directors. Provisions and agreements that inhibit or discourage takeover attempts could reduce the market value of our common stock. 
We may become more leveraged 
Permanent financing for our investments is typically provided through a combination of public offerings of debt and equity securities and the incurrence or assumption of secured debt. The incurrence or assumption of indebtedness may cause us to become more leveraged, which could (1) require us to dedicate a greater portion of our cash flow to the payment of debt service, (2) make

us more vulnerable to a downturn in the economy, (3) limit our ability to obtain additional financing, or (4) negatively affect our credit ratings or outlook by one or more of the rating agencies.agencies or (5) make us more vulnerable to increases in interest rates because of the variable interest rates on some of our borrowings to the extent we have not entirely hedged such variable rate debt. 
Cash available for distributions to stockholders may be insufficient to make dividend contributions at expected levels and are made at the discretion of the Board of Directors 
If cash available for distribution generated by our assets decreases due to dispositions or otherwise, we may be unable to make dividend distributions at expected levels. Our inability to make expected distributions would likely result in a decrease in the market price of our common stock. All distributions are made at the discretion of our Board of Directors in accordance with Delaware law and depend on our earnings, our financial condition, debt and equity capital available to us, our expectation of our future capital requirements and operating performance, restrictive covenants in our financial and other contractual arrangements, maintenance of our REIT qualification, restrictions under Delaware law and other factors as our Board of Directors may deem relevant from time to time. Additionally, our ability to make distributions will be adversely affected if any of the risks described herein, or other significant adverse events, occur. 
We are subject to covenants in our debt agreements that could have a material adverse impacteffect on our business, results of operations and financial condition
Our debt agreements contain various covenants, restrictions and events of default. Among other things, these provisions require us to maintain certain financial ratios and minimum net worth and impose certain limits on our ability to incur indebtedness, create liens and make investments or acquisitions. Breaches of these covenants could result in defaults under the instruments governing the applicable indebtedness, in addition to any other indebtedness cross-defaulted against such instruments. These defaults could have a material adverse impacteffect on our business, results of operations and financial condition. 
Limitations on our ability to access capital could have an adverse effect on our ability to make future investments or to meet our obligations and commitments
We cannot assure you that we will be able to raise the capital necessary to make future investments or to meet our obligations and commitments as they mature. Our access to capital depends upon a number of factors over which we have little or no control, including rising interest rates, inflation and other general market conditions; the market’s perception of our growth potential and our current and potential future earnings and cash distributions; the market price of the shares of our capitalcommon stock and the credit

ratings of our debt securities; the financial stability of our lenders, which might impair their ability to meet their commitments to us or their willingness to make additional loans to us; changes in the credit ratings on U.S. government debt securities; oruncertainty from the expected discontinuance of LIBOR and the transition to any other interest rate benchmark; and default or delay in payment by the U.S. of its obligations. We also rely on the financial institutions that are parties to our revolving credit facilities. If these institutions become capital constrained, tighten their lending standards or become insolvent or if they experience excessive volumes of borrowing requests from other borrowers within a short period of time, they may be unable or unwilling to honor their funding commitments to us, which would adversely affect our ability to draw on our revolving credit facilities and, over time, could negatively impact our ability to consummate acquisitions, repay indebtedness as it matures, fund capital expenditures or make distributions to our stockholders. If our access to capital is limited by these factors or other factors, it could negatively impact our ability to acquire properties, repay or refinance our indebtedness, fund operations or make distributions to our stockholders.
Changes affecting the availability of the London Interbank Offered Rate (“LIBOR”) may have consequences for us that cannot yet reasonably be predicted
We have outstanding debt, hedge agreements and receivable transactions with variable interest rates based on LIBOR. The LIBOR benchmark has been subject of national, international, and other regulatory guidance and proposals for reform. In July 2017, the U.K. Financial Conduct Authority, which regulates LIBOR, announced that it intends to phase out LIBOR by the end of 2021. These reforms may cause LIBOR to perform differently than in the past and LIBOR may ultimately cease to exist after 2021. While it is not currently possible to determine precisely whether, or to what extent, the withdrawal and replacement of LIBOR would affect us, the implementation of alternative benchmark rates to LIBOR may have an adverse effect on our business, results of operations or financial condition. Any new benchmark rate will likely not replicate LIBOR exactly, which could impact contracts that terminate after 2021. There is uncertainty about how applicable law, the courts or we will address the replacement of LIBOR with alternative rates on agreements that do not include alternative rate fallback provisions. In addition, any changes to benchmark rates may have an uncertain impact on our cost of funds and our access to the capital markets, which could impact our results of operations and cash flows. Uncertainty as to the nature of such potential changes may also adversely affect the trading market for our securities. Additional financing, therefore, may be unavailable, more expensive or restricted by the terms of our outstanding indebtedness.
Downgrades in our credit ratings could have a material adverse impacteffect on our cost and availability of capital
We plan to manage the company to maintain a capital structure consistent with our current profile, but there can be no assurance that we will be able to maintain our current credit ratings. Any downgrades in terms of ratings or outlook by any or all of the rating agencies could have a material adverse impacteffect on our cost and availability of capital, which could in turn have a material adverse impacteffect on our results of operations, liquidity, and/or financial condition.cash flows, the trading/redemption price of our securities and our ability to satisfy our debt service obligations and to pay dividends and distributions to our equity holders.
Increases in interest rates could have a material adverse impacteffect on our cost of capital
An increase in interest rates may increase interest cost on new and existing variable rate debt.  Such increases in the cost of capital could adversely impact our ability to finance operations, the acquisitionacquire and development ofdevelop properties, and refinance existing debt. Additionally, increased interest rates may also result in less liquid property markets, limiting our ability to sell existing assets.
Fluctuations in the value of foreign currencies could adversely affect our results of operations and financial position
Currency exchange rate fluctuations could affect our results of operations and financial position, including exchange rate fluctuations resulting from Brexit. We generate a portion of our revenue and expenses in such foreign currencies as the Canadian dollar and the British pound sterling. Although we may enter into foreign exchange agreements with financial institutions and/or obtain local currency mortgage debt in order to reduce our exposure to fluctuations in the value of foreign currencies, we cannot assure you that foreign currency fluctuations will not have a material adverse effect on us.
Our entry into hedge agreements may not effectively reduce our exposure to changes in interest rates or foreign currency exchange rates 
We enter into hedge agreements from time to time to manage some of our exposure to interest rate and foreign currency exchange rate volatility. These agreements involve risks, such as the risk that counterparties may fail to honor their obligations under these arrangements.arrangements, that the amount of income we earn from hedging transactions may be limited by federal tax provisions governing REITs, and that these arrangements may cause us to pay higher interest rates on our debt obligations than otherwise would be the case. In addition, these arrangements may not be effective in reducing our exposure to changes in interest rates or foreign

currency exchange rates. When we use forward-starting interest rate swaps, there is a risk that we will not complete the long-term borrowing against which the swap is intended to hedge. If such events occur, our results of operations may be adversely affected. 

Risks Arising from Our Status as a REIT 
We might fail to qualify or remain qualified as a REIT 
We intend to operate as a REIT under the Internal Revenue Code of 1986, as amended (the “Code”), and believe we have operated and will continue to operate in such a manner. If we lose our status as a REIT, we will face serious income tax consequences that will substantially reduce the funds available for satisfying our obligations and for distribution to our stockholders because:
we would not be allowed a deduction for distributions to stockholders in computing our taxable income and would be subject to U.S. federal income tax at regular corporate rates;
we couldwould be subject to possibly increased state and local taxes; and
unless we are entitled to relief under statutory provisions, we could not elect to be subject to tax as a REIT for four taxable    years following the year during which we were disqualified. 
Since REIT qualification requires us to meet a number of complex requirements, it is possible that we may fail to fulfill them, and if we do, our earnings will be reduced by the amount of U.S. federal and other income taxes owed. A reduction in our earnings would affect the amount we could distribute to our stockholders. If we do not qualify as a REIT, we wouldwill not be required to make distributions to stockholders, since a non-REIT is not required to pay dividends to stockholders in order to maintain REIT status or avoid an excise tax. In addition, if we fail to qualify as a REIT, all distributions to stockholders wouldwill continue to be treated as dividends to the extent of our current and accumulated earnings and profits, although corporate stockholders may be eligible for the dividends received deduction, and individual stockholders may be eligible for taxation at the rates generally applicable to long-term capital gains (currently at a maximum rate of 20%) with respect to distributions. 
As a result of all these factors, our failure to qualify as a REIT also could impair our ability to implement our business strategy and would adversely affect the value of our common stock. Qualification as a REIT involves the application of highly technical and complex Code provisions for which there are only limited judicial and administrative interpretations. The determination of various factual matters and circumstances not entirely within our control may affect our ability to remain qualified as a REIT. Although we believe that we qualify as a REIT, we cannot assure you that we will remain qualified as a REIT for U.S. federal income tax purposes. 
Certain subsidiaries might fail to qualify or remain qualified as a REIT
We own interests in a number of entities which have elected to be taxed as REITs for U.S. federal income tax purposes, some of which we consolidate for financial reporting purposes but each of which is treated as a separate REIT for federal income tax purposes (each a “Subsidiary REIT”). To qualify as a REIT, each Subsidiary REIT must independently satisfy all of the REIT qualification requirements under the Code, together with all other rules applicable to REITs. Provided that each Subsidiary REIT qualifies as a REIT, our interests in the Subsidiary REITs will be treated as qualifying real estate assets for purposes of the REIT asset tests. If a Subsidiary REIT fails to qualify as a REIT in any taxable year, such Subsidiary REIT will be subject to federal and state income taxes and may not be able to qualify as a REIT for the four subsequent taxable years. Any such failure could have an adverse effect on our ability to comply with the REIT income and asset tests, and thus our ability to qualify as a REIT, unless we are able to avail ourselves of certain relief provisions. 
The 90% annual distribution requirement will decrease our liquidity and may limit our ability to engage in otherwise beneficial transactions 
To comply with the 90% distribution requirement applicable to REITs and to avoid the nondeductible excise tax, we must make distributions to our stockholders. Although we anticipate that we generally will have sufficient cash or liquid assets to enable us to satisfy the REIT distribution requirement, it is possible that, from time to time, we may not have sufficient cash or other liquid assets to meet the 90% distribution requirement, or we may decide to retain cash or distribute such greater amount as may be necessary to avoid income and excise taxation.requirement. This may be due to timing differences between the actual receipt of income and actual payment of deductible expenses, on the one hand, and the inclusion of that income and deduction of those expenses in arriving at our taxable income, on the other hand. In addition, non-deductible expenses such as principal amortization or repayments or capital expenditures in excess of non-cash deductions may cause us to fail to have sufficient cash or liquid assets to enable us to satisfy the 90% distribution requirement. In the event that timing differences occur, or we deem it appropriate to retain cash, we may borrow funds, even if the then-prevailing market conditions are not favorable for these borrowings, issue additional equity securities (although we cannot assure you that we will be able to do so), pay taxable stock dividends, if possible, distribute other property or securities or engage in other transactions intended to enable us to meet the REIT distribution requirements. This may require us to raise additional capital to meet our obligations. 
Our use of TRSs is limited under the Code
Under the Code, no more than 20% of the value of the gross assets of a REIT may be represented by securities of one or more TRSs. This limitation may affect our ability to increase the size of our TRSs’ operations and assets, and there can be no assurance that we will be able to comply with the applicable limitation, or that such compliance will not adversely affect our business. Also, our TRSs may not, among other things, operate or manage certain health care facilities, which may cause us to forgo investments

we might otherwise make. Finally, we may be subject to a 100% excise tax on the income derived from certain transactions with our TRSs that are not on an arm's-length basis. We believe our arrangements with our TRSs are on arm's-length terms and intend to continue to operate in a manner that allows us to avoid incurring the 100% excise tax described above, but there can be no assurance that we will be able to avoid application of that tax.
The lease of qualified health care properties to a taxable REIT subsidiary is subject to special requirements

We lease certain qualified health care properties to taxable REIT subsidiaries (or limited liability companies of which the taxable REIT subsidiaries are members), which lessees contract with managers (or related parties) to manage the health care operations at these properties. The rents from this taxable REIT subsidiary lessee structure are treated as qualifying rents from real property if (1) they are paid pursuant to an arms-lengtharm's-length lease of a qualified health care property with a taxable REIT subsidiary and (2) the manager qualifies as an eligible independent contractor (as defined in the Code). If any of these conditions are not satisfied, then the rents will not be qualifying rents. 
If certain sale-leaseback transactions are not characterized by the Internal Revenue Service (“IRS”) as “true leases,” we may be subject to adverse tax consequences 
We have purchased certain properties and leased them back to the sellers of such properties, and we may enter into similar transactions in the future. We intend for any such sale-leaseback transaction to be structured in such a manner that the lease will be characterized as a “true lease,” thereby allowing us to be treated as the owner of the property for U.S. federal income tax purposes. However, depending on the terms of any specific transaction, the IRS might take the position that the transaction is not a “true lease” but is more properly treated in some other manner. In the event any sale-leaseback transaction is challenged and successfully re-characterized by the IRS, we would not be entitled to claim the deductions for depreciation and cost recovery generally available to an owner of property. Furthermore, if a sale-leaseback transaction were so re-characterized, we might fail to satisfy the REIT asset tests or income tests and, consequently, could lose our REIT status effective with the year of re-characterization. Alternatively, the amount of our REIT taxable income could be recalculated, which may cause us to fail to meet the REIT annual distribution requirements for a taxable year. 
We could be subject to changes in our tax rates, the adoption of new U.S. or international tax legislation, or exposure to additional tax liabilities
We are subject to taxes in the U.S. and foreign jurisdictions.  Our analysis of the Tax Act may be impacted by any corrective legislation and any guidance provided by the U.S. Treasury and the IRS. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretation. We are also subject to the examination of our tax returns and other tax matters by the IRS and other tax authorities and governmental bodies. We regularly assess the likelihood of an adverse outcome resulting from these examinations to determine the adequacy of our provision for taxes. There can be no assurance as to the outcome of these examinations. If we were subject to review or examination by the IRS or applicable foreign jurisdiction as the result of any new tax law changes, (including the recently enacted Tax Act) the ultimate determination of which may change our taxes owed for an amount in excess of amounts previously accrued or recorded, our financial condition, operating results, and cash flows could be adversely affected.

The present federal income tax treatment of REITs may be modified, possibly with retroactive effect, by legislative, judicial or administrative action at any time, which could affect the federal income tax treatment of an investment in us. The federal income tax rules dealing with U.S. federal income taxation and REITs are constantly under review by persons involved in the legislative process, the IRS and the U.S. Treasury Department, which results in statutory changes as well as frequent revisions to regulations and interpretations. We cannot predict how changes in the tax laws might affect our investors or us. Revisions in federal tax laws and interpretations thereof could significantly and negatively affect our ability to qualify as a REIT, as well as the tax considerations relevant to an investment in us, or could cause us to change our investments and commitments.
Item 1B.  Unresolved Staff Comments
None.

35


Item 2.  Properties 
We lease our corporate headquarters located at 4500 Dorr Street, Toledo, Ohio 43615. We also lease corporate offices throughout the U.S., Canada, the United Kingdom and Luxembourg and have ground leases relating to certain of our properties. The following table sets forth certain information regarding the properties that comprise our consolidated real property and real estate loan investments as of December 31, 20182019 (dollars in thousands):
 Seniors Housing Operating Triple-net Outpatient Medical Seniors Housing Operating Triple-net Outpatient Medical
Property Location Number of PropertiesTotal Investment
Annualized Revenues(1)
 Number of PropertiesTotal Investment
Annualized Revenues(1)
 Number of PropertiesTotal Investment
Annualized Revenues(1)
 Number of PropertiesTotal Investment
Annualized Revenues(1)
 Number of PropertiesTotal Investment
Annualized Revenues(1)
 Number of PropertiesTotal Investment
Annualized Revenues(1)
Alaska 
$
$
 
$
$
 2
$28,820
$3,628
 
$
$
 
$
$
 2
$29,810
$(2,240)
Alabama 


 4
33,434
3,356
 7
80,968
7,782
 2
15,133
6,083
 2
19,705
2,569
 8
94,244
10,565
Arkansas 


 


 1
22,949
2,228
 


 


 2
42,529
3,529
Arizona 3
52,715
20,712
 3
34,957
2,192
 4
61,618
8,539
 6
86,883
32,517
 


 8
87,655
11,077
California 84
2,762,952
715,203
 16
390,915
40,140
 34
877,181
89,356
 82
3,052,393
688,631
 23
456,935
64,633
 45
1,092,865
105,239
Colorado 4
114,217
32,053
 13
331,738
29,536
 2
31,643
5,947
 11
427,566
87,463
 12
302,374
32,854
 2
33,628
5,074
Connecticut 18
443,781
148,458
 13
145,985
16,087
 1
41,820
4,746
 3
66,838
17,820
 8
117,918
15,211
 1
41,421
5,499
District Of Columbia 1
61,763
14,680
 


 


 2
78,356
14,540
 


 


Delaware 4
85,736
28,372
 6
101,096
16,269
 
19,687
340
 3
69,290
25,484
 7
114,126
9,544
 
46,998
1,402
Florida 11
820,940
138,385
 51
580,495
54,033
 38
465,835
54,695
 14
898,178
144,974
 51
583,500
56,682
 42
529,060
74,346
Georgia 6
110,534
29,961
 6
59,190
6,874
 10
164,211
27,547
 9
127,018
38,612
 3
40,852
3,570
 13
236,915
32,572
Iowa 1
31,059
11,937
 10
105,633
10,551
 1
6,435
1,438
 4
75,655
28,926
 7
57,537
5,884
 1
7,734
1,648
Idaho 


 1
4,096
1,098
 


 1
22,405
5,433
 
67

 2
55,317
1,399
Illinois 14
428,803
113,909
 27
399,815
35,118
 7
106,276
10,514
 16
454,088
119,759
 25
356,243
31,919
 7
108,941
14,426
Indiana 


 30
385,372
41,623
 9
156,095
19,261
 


 28
358,904
45,696
 10
164,034
22,324
Kansas 2
29,458
10,668
 28
300,665
28,286
 5
61,037
13,562
 3
67,263
15,133
 27
242,844
27,460
 5
62,249
8,665
Kentucky 2
37,556
14,754
 7
59,124
13,121
 1
6,872
797
 2
37,074
14,461
 6
50,485
4,187
 1
6,792
762
Louisiana 2
48,893
11,173
 3
18,177
2,717
 


 3
50,062
15,957
 1
8,076
840
 


Massachusetts 40
1,103,287
261,207
 18
152,967
13,766
 


 19
565,730
113,921
 9
110,005
16,484
 7
110,662
4,556
Maryland 6
250,315
74,605
 24
306,394
17,290
 6
175,587
18,271
 8
393,479
90,687
 24
298,974
18,155
 12
283,567
28,576
Maine 2
48,130
19,155
 


 1
18,293
2,404
 1
25,151
11,995
 


 1
18,601
2,693
Michigan 5
105,899
23,987
 24
281,423
30,649
 2
29,874
6,221
 6
165,217
32,231
 18
207,961
20,225
 3
70,250
7,706
Minnesota 4
108,830
21,491
 10
218,152
18,909
 8
159,033
30,553
 3
83,838
15,771
 11
233,938
21,552
 9
182,594
30,679
Missouri 5
142,202
23,278
 1
12,376
968
 8
137,216
19,352
 6
153,312
25,085
 1
12,089
854
 11
201,245
23,578
Mississippi 


 3
25,835
1,057
 


 2
14,870
8,354
 1
10,820

 1
37,866
1,020
Montana 1
5,710
4,302
 1
6,281
752
 


 1
5,635
4,484
 1
6,131
767
 


North Carolina 2
119,188
20,243
 50
362,777
60,081
 11
103,708
8,906
 2
113,352
19,680
 50
372,570
54,641
 26
479,061
39,975
Nebraska 


 4
30,897
4,067
 2
32,719
5,310
 


 4
29,852
4,418
 2
32,943
4,885
New Hampshire 4
114,495
32,511
 4
49,700
4,136
 1
12,705
1,770
 


 4
47,720
7,341
 1
12,038
1,721
New Jersey 26
693,703
201,450
 46
815,490
60,776
 9
268,927
43,281
 26
688,084
210,140
 41
771,913
84,672
 15
407,653
51,813
New Mexico 1
17,772
1,793
 


 3
30,344
3,796
 1
17,505
1,548
 


 3
29,424
3,594
Nevada 2
35,225
11,279
 3
32,315
4,309
 5
42,113
3,263
 4
47,210
23,816
 1
18,780
3,767
 8
100,851
10,794
New York 12
428,241
111,700
 4
42,201
5,795
 9
162,066
10,114
 27
596,987
141,993
 4
41,850
7,271
 18
434,793
17,454
Ohio 6
299,653
41,009
 42
363,009
34,429
 5
49,245
8,985
 17
422,614
66,041
 34
288,499
35,030
 9
125,346
13,712
Oklahoma 2
38,951
2,576
 21
208,973
20,907
 2
22,695
3,591
 2
37,620
3,650
 20
219,772
25,505
 2
22,736
4,361
Oregon 


 1
2,914
804
 1
9,330
1,562
 1
10,339
2,678
 1
2,793
818
 2
55,131
4,059
Pennsylvania 9
155,558
61,400
 77
1,012,532
99,319
 1
35,687
1,386
 14
222,217
67,864
 71
837,818
116,500
 1
34,315
2,312
Rhode Island 3
59,381
20,945
 


 


South Carolina 2
7,101
10,190
 8
49,243
4,889
 1
23,837
2,364
 1
4,086
7,121
 8
37,460
3,069
 3
33,762
3,684
Tennessee 2
48,089
15,482
 4
38,684
4,536
 6
62,239
10,622
 2
48,041
16,259
 4
37,879
4,791
 9
177,859
18,778
Texas 28
820,461
192,066
 41
483,016
55,358
 62
973,590
101,286
 33
1,088,682
234,874
 37
393,201
53,592
 71
1,386,701
135,489
Utah 2
20,765
12,356
 2
26,538
2,775
 


 2
20,355
7,875
 1
23,614
2,103
 


Virginia 5
243,676
60,168
 28
299,224
34,530
 4
58,476
6,337
 5
282,587
77,302
 27
281,446
29,811
 6
119,944
14,492
Vermont 1
25,536
7,160
 


 


Washington 14
474,394
90,927
 14
195,075
21,038
 9
225,029
23,975
 24
625,662
137,873
 7
93,483
10,254
 9
218,008
26,987
Wisconsin 


 7
105,832
11,694
 2
29,513
2,197
 2
19,850
8,493
 4
67,702
8,640
 5
94,723
6,123
West Virginia 


 4
65,116
8,866
 


 


 3
45,336
5,107
 


Total domestic 336
10,394,969
2,611,545
 659
8,137,656
822,701
 280
4,793,673
565,926
 370
11,180,625
2,585,528
 586
7,201,172
836,416
 383
7,310,265
755,328
                  
Canada 110
2,101,067
451,347
 6
143,362
9,944
 


 106
2,150,044
452,734
 6
146,737
10,341
 


United Kingdom 54
1,475,141
321,623
 61
1,111,086
113,498
 4
263,815
24,742
 57
1,634,009
352,658
 66
1,228,409
106,336
 4
268,010
25,587
Total international 164
3,576,208
772,970
 67
1,254,448
123,442
 4
263,815
24,742
 163
3,784,053
805,392
 72
1,375,146
116,677
 4
268,010
25,587
                  
Grand total 500
$13,971,177
$3,384,515
 726
$9,392,104
$946,143
 284
$5,057,488
$590,668
 533
$14,964,678
$3,390,920
 658
$8,576,318
$953,093
 387
$7,578,275
$780,915
(1) Represents revenue for the month ended December 31, 20182019 annualized.


The following table sets forth occupancy coverages and average annualized revenues for certain property types (excluding investments in unconsolidated entities):
 
Occupancy(1)
 
Coverages(1,2)
 
Average Annualized Revenues(3)
   
Occupancy(1)
 
Average Annualized Revenues(2)
  
 2018 2017 2018 2017 2018 2017   2019 2018 2019 2018  
Seniors Housing Operating(4)(3)
 87.5% 86.5% n/a n/a $60,635
 $60,828
 per unit 86.9% 87.5% $56,329
 $60,635
 per unit
Triple-net(5)(4)
 84.9% 85.8% 1.39x 1.34x   12,831
 15,663
 per bed/unit 84.3% 84.9% 14,578
 12,831
 per bed/unit
Outpatient Medical(6)(5)
 93.1% 93.7% n/a n/a 34
 33
 per sq. ft. 94.1% 93.1% 34
 34
 per sq. ft.
     
(1) We use unaudited, periodic financial information provided solely by tenants/borrowers to calculate occupancy and coverages for properties other than outpatient medicalOutpatient Medical buildings and have not independently verified the information.
(2) Represents the ratio of our triple-net customers' earnings before interest, taxes, depreciation, amortization, rent and management fees to contractual rent or interest due us. Data reflects the twelve months ended September 30 for the periods presented.
(3) RepresentsDecember annualized revenues divided by total beds, units or square feet as presented in the tables above.
(4)(3) Occupancy represents average occupancy for the three months ended December 31.
(5)(4) Occupancy represents average quarterly operating occupancy based on the quarters ended September 30 and excludes properties that are unstabilized, closed or for which data is not available or meaningful.
(6)(5) Occupancy represents the percentage of total rentable square feet leased and occupied (including month-to-month and holdover leases and excluding terminations) as of December 31.

The following table sets forth information regarding lease expirations for certain portions of our portfolio as of December 31, 20182019 (dollars in thousands):
 
Expiration Year(1)
 
Expiration Year(1)
 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Thereafter 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Thereafter
Triple-net:                                            
Properties 67
 
 8
 12
 
 4
 55
 95
 19
 33
 410
 11
 7
 10
 1
 4
 48
 76
 18
 15
 15
 431
Base rent(2)
 $58,718
 $
 $13,691
 $8,272
 $
 $11,096
 $62,108
 $123,694
 $35,006
 $49,075
 $452,444
 $3,782
 $12,292
 $8,889
 $840
 $11,262
 $53,216
 $103,179
 $35,381
 $22,036
 $33,619
 $492,113
% of base rent 7.2% % 1.7% 1.0% % 1.4% 7.6% 15.2% 4.3% 6.0% 55.6% 0.5% 1.6% 1.1% 0.1% 1.5% 6.9% 13.3% 4.6% 2.8% 4.3% 63.3%
Units 8,401
 
 1,416
 1,245
 
 692
 4,140
 7,717
 2,401
 2,840
 43,019
 1,101
 1,394
 1,264
 70
 692
 3,033
 6,085
 2,350
 1,633
 1,429
 44,811
% of units 11.7% % 2.0% 1.7% % 1.0% 5.8% 10.7% 3.3% 4.0% 59.9% 1.7% 2.2% 2.0% 0.1% 1.1% 4.7% 9.5% 3.7% 2.6% 2.2% 70.2%
Outpatient Medical:  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
Square feet 1,232,245
 1,346,567
 1,630,750
 1,769,937
 1,398,798
 1,404,470
 834,530
 1,327,844
 579,397
 763,969
 4,660,901
 1,748,858
 2,053,686
 2,165,074
 2,158,927
 2,230,230
 1,305,946
 1,670,290
 1,025,948
 1,052,671
 1,148,176
 6,183,564
Base rent(2)
 $34,810
 $38,060
 $45,882
 $47,951
 $38,075
 $41,464
 $22,411
 $33,712
 $14,550
 $20,441
 $95,301
 $48,233
 $57,464
 $58,846
 $58,295
 $65,687
 $34,681
 $42,112
 $25,805
 $27,501
 $29,829
 $139,889
% of base rent 8.0% 8.8% 10.6% 11.1% 8.8% 9.6% 5.2% 7.8% 3.4% 4.7% 22.0% 8.2% 9.8% 10.0% 9.9% 11.2% 5.9% 7.2% 4.4% 4.7% 5.1% 23.6%
Leases 350
 332
 323
 313
 312
 181
 134
 154
 86
 88
 171
 471
 422
 433
 442
 355
 213
 208
 137
 118
 152
 214
% of leases 14.3% 13.6% 13.2% 12.8% 12.8% 7.4% 5.5% 6.3% 3.5% 3.6% 7.0% 14.9% 13.3% 13.7% 14.0% 11.2% 6.7% 6.6% 4.3% 3.7% 4.8% 6.8%
 
(1) Excludes investments in unconsolidated entities.entities, developments, land parcels, loans receivable and sub-leases. Investments classified as held for sale are included in 2019.2020.
(2) The most recent monthly cash base rent annualized. Base rent does not include tenant recoveries or amortization of above and below market lease intangibles or other non cash income.
Item 3.  Legal Proceedings
From time to time, there are various legal proceedings pending against us that arise in the ordinary course of our business.  Management does not believe that the resolution of any of these legal proceedings either individually or in the aggregate will have a material adverse effect on our business, results of operations or financial condition. Further, from time to time, we are party to certain legal proceedings for which third parties, such as tenants, operators and/or managers are contractually obligated to indemnify, defend and hold us harmless. In some of these matters, the indemnitors have insurance for the potential damages.  In other matters, we are being defended by tenants and other obligated third parties and these indemnitors may not have sufficient insurance, assets, income or resources to satisfy their defense and indemnification obligations to us. The unfavorable resolution of such legal proceedings could, individually or in the aggregate, materially adversely affect the indemnitors’ ability to satisfy their respective obligations to us, which, in turn, could have a material adverse effect on our business, results of operations or financial condition.  It is management’s opinion that there are currently no such legal proceedings pending that will, individually or in the aggregate, have such a material adverse effect. Despite management’s view of the ultimate resolution of these legal proceedings, we may have significant legal expenses and costs associated with the defense of such matters. Further, management cannot predict the outcome of these legal proceedings and if management’s expectation regarding such matters is not correct, such proceedings could have a material adverse effect on our business, results of operations or financial condition.
Item 4.  Mine Safety Disclosures
None.

37


PART II
Item 5.  Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 
Our common stock trades on the New York Stock Exchange (NYSE:WELL). There were 3,6683,564 stockholders of record as of January 31, 2019.2020.

Stockholder Return Performance Presentation 
Set forth below is a line graph comparing the yearly percentage change and the cumulative total stockholder return on our shares of common stock against the cumulative total return of the S & P Composite-500 Stock Index and the FTSE NAREIT Equity Index. As of December 31, 2018, 1612019, 155 companies comprised the FTSE NAREIT Equity Index, which consists of REITs identified by NAREIT as equity (those REITs which have at least 75% of their investments in real property). The data are based on the closing prices as of December 31 for each of the five years. 20132014 equals $100 and dividends are assumed to be reinvested.
chart-6efd936e8c2b57b4bd9.jpgchart-f475887e28c65e45a33.jpg
 12/31/2013
 12/31/2014
 12/31/2015
 12/31/2016
 12/31/2017
 12/31/2018
 12/31/2014
 12/31/2015
 12/31/2016
 12/31/2017
 12/31/2018
 12/31/2019
S & P 500 $100.00
 $113.69
 $115.26
 $129.05
 $157.22
 $150.33
 $100.00
 $101.38
 $113.51
 $138.29
 $132.23
 $173.86
Welltower Inc. 100.00
 148.51
 140.01
 144.73
 145.02
 167.21
 100.00
 94.28
 97.45
 97.65
 112.59
 138.52
FTSE NAREIT Equity 100.00
 130.14
 134.30
 145.74
 153.36
 146.27
 100.00
 103.20
 111.99
 117.84
 112.39
 141.61
 
Except to the extent that we specifically incorporate this information by reference, the foregoing Stockholder Return Performance Presentation shall not be deemed incorporated by reference by any general statement incorporating by reference this Annual Report on Form 10-K into any filing under the Securities Act of 1933, as amended, or under the Securities Exchange Act of 1934, as amended. This information shall not otherwise be deemed filed under such Acts.  
Issuer Purchases of Equity Securities
Period 
Total Number of Shares Purchased(1)
 Average Price Paid Per Share 
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(2)
 Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs 
Total Number of Shares Purchased(1)
 Average Price Paid Per Share 
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(2)
 Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
October 1, 2018 through October 31, 2018 1,739
 $62.01
    
November 1, 2018 through November 30, 2018 416
 69.17
    
December 1, 2018 through December 31, 2018 
 
    
October 1, 2019 through October 31, 2019 4,546
 $91.04
    
November 1, 2019 through November 30, 2019 728
 86.12
    
December 1, 2019 through December 31, 2019 891
 78.67
    
Totals 2,155
 $63.39
     6,165
 $89.43
    
(1) During the three months ended December 31, 2018,2019, the company acquired shares of common stock held by employees who tendered owned shares to satisfy tax withholding obligations.
(2) No shares were purchased as part of publicly announced plans or programs.

38


Item 6.  Selected Financial Data
The following selected financial data for the five years ended December 31, 20182019 are derived from our audited consolidated financial statements (in thousands, except per share data):
 Year Ended December 31, Year Ended December 31,
 2014 2015 2016 2017 2018 2015 2016 2017 2018 2019
Operating Data                    
Total revenues $3,343,546
 $3,859,826
 $4,281,160
 $4,316,641
 $4,700,499
 $3,859,826
 $4,281,160
 $4,316,641
 $4,700,499
 $5,121,306
Total expenses 2,959,333
 3,223,709
 3,571,907
 4,017,025
 4,277,009
 3,223,709
 3,571,907
 4,017,025
 4,277,009
 4,578,414
                    
Income from continuing operations before income taxes and other items 384,213
 636,117
 709,253
 299,616
 423,490
 636,117
 709,253
 299,616
 423,490
 542,892
Income tax (expense) benefit 1,267
 (6,451) 19,128
 (20,128) (8,674) (6,451) 19,128
 (20,128) (8,674) (2,957)
Income (loss) from unconsolidated entities (27,426) (21,504) (10,357) (83,125) (641) (21,504) (10,357) (83,125) (641) 42,434
Gain (loss) on real estate dispositions, net 147,111
 280,387
 364,046
 344,250
 415,575
 280,387
 364,046
 344,250
 415,575
 748,041
Income from continuing operations 505,165
 888,549
 1,082,070
 540,613
 829,750
 888,549
 1,082,070
 540,613
 829,750
 1,330,410
Income from discontinued operations, net 7,135
 
 
 
 
Net income 512,300
 888,549
 1,082,070
 540,613
 829,750
 888,549
 1,082,070
 540,613
 829,750
 1,330,410
Preferred stock dividends 65,408
 65,406
 65,406
 49,410
 46,704
 65,406
 65,406
 49,410
 46,704
 
Preferred stock redemption charge 
 
 
 9,769
 
 
 
 9,769
 
 
Net income (loss) attributable to noncontrolling interests 147
 4,799
 4,267
 17,839
 24,796
 4,799
 4,267
 17,839
 24,796
 97,978
Net income attributable to common stockholders $446,745
 $818,344
 $1,012,397
 $463,595
 $758,250
 $818,344
 $1,012,397
 $463,595
 $758,250
 $1,232,432
                    
Other Data                    
Average number of common shares outstanding:                    
Basic 306,272
 348,240
 358,275
 367,237
 373,620
 348,240
 358,275
 367,237
 373,620
 401,845
Diluted 307,747
 349,424
 360,227
 369,001
 375,250
 349,424
 360,227
 369,001
 375,250
 403,808
                    
Per Share Data                    
Basic:                    
Income from continuing operations $1.65
 $2.55
 $3.02
 $1.47
 $2.22
 $2.55
 $3.02
 $1.47
 $2.22
 $3.31
Discontinued operations, net $0.02
 $
 $
 $
 $
Net income attributable to common stockholders $1.46
 $2.35
 $2.83
 $1.26
 $2.03
 $2.35
 $2.83
 $1.26
 $2.03
 $3.07
                    
Diluted:                    
Income from continuing operations $1.64
 $2.54
 $3.00
 $1.47
 $2.21
 $2.54
 $3.00
 $1.47
 $2.21
 $3.29
Discontinued operations, net $0.02
 $
 $
 $
 $
Net income attributable to common stockholders $1.45
 $2.34
 $2.81
 $1.26
 $2.02
 $2.34
 $2.81
 $1.26
 $2.02
 $3.05
                    
Cash distributions per common share $3.18
 $3.30
 $3.44
 $3.48
 $3.48
 $3.30
 $3.44
 $3.48
 $3.48
 $3.48
                    
 December 31, December 31,
Balance Sheet Data 2014 2015 2016 2017 2018 2015 2016 2017 2018 2019
Net real estate investments $22,851,196
 $26,888,685
 $26,563,629
 $26,171,077
 $28,420,769
Net real estate investments(1)
 $26,888,685
 $26,563,629
 $26,171,077
 $28,420,769
 $31,119,271
Total assets 24,962,923
 29,023,845
 28,865,184
 27,944,445
 30,342,072
 29,023,845
 28,865,184
 27,944,445
 30,342,072
 33,380,751
Total long-term obligations 10,776,640
 12,967,686
 12,358,245
 11,731,936
 13,297,144
Total debt and lease obligations(1)
 12,967,686
 12,358,245
 11,731,936
 13,297,144
 15,388,765
Total liabilities 11,403,465
 13,664,877
 13,185,279
 12,643,799
 14,331,427
 13,664,877
 13,185,279
 12,643,799
 14,331,427
 16,398,247
Total preferred stock 1,006,250
 1,006,250
 1,006,250
 718,503
 718,498
 1,006,250
 1,006,250
 718,503
 718,498
 
Total equity 13,473,049
 15,175,885
 15,281,472
 14,925,452
 15,586,599
 15,175,885
 15,281,472
 14,925,452
 15,586,599
 16,506,627
                    
(1) Effective January 1, 2019, we adopted new guidance on leases using the prospective method. See Note 2 to the consolidated financial statements for further details.(1) Effective January 1, 2019, we adopted new guidance on leases using the prospective method. See Note 2 to the consolidated financial statements for further details.

39

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

EXECUTIVE SUMMARY
  
Company Overview
Business Strategy
Key Transactions
Key Performance Indicators, Trends and Uncertainties
Corporate Governance
  
LIQUIDITY AND CAPITAL RESOURCES
  
Sources and Uses of Cash
Off-Balance Sheet Arrangements
Contractual Obligations
Capital Structure
  
RESULTS OF OPERATIONS
  
Summary
Seniors Housing Operating
Triple-net
Outpatient Medical
Non-Segment/Corporate
  
OTHER
  
Non-GAAP Financial Measures
Critical Accounting Policies
 

40

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis is based primarily on the consolidated financial statements of Welltower Inc. presented in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) for the periods presented and should be read together with the notes thereto contained in this Annual Report on Form 10-K. Other important factors are identified in “Item 1 — Business” and “Item 1A — Risk Factors” above.
Executive Summary
Company Overview
Welltower Inc. (NYSE:WELL), an S&P 500 company headquartered in Toledo, Ohio, is driving the transformation of health care infrastructure. The company invests with leading seniors housing operators, post-acute providers and health systems to fund the real estate and infrastructure needed to scale innovative care delivery models and improve people’s wellness and overall health care experience. Welltower, a real estate investment trust (“REIT”), owns interests in properties concentrated in major, high-growth markets in the United States (“U.S.”), Canada and the United Kingdom (“U.K.”), consisting of seniors housing and post-acute communities and outpatient medical properties. Our capital programs, when combined with comprehensive planning, development and property management services, make us a single-source solution for acquiring, planning, developing, managing, repositioning and monetizing real estate assets.
The following table summarizes our consolidated portfolio for the year ended December 31, 20182019 (dollars in thousands):
   Percentage of Number of   Percentage of Number of
Type of Property 
NOI(1)
 NOI Properties 
NOI(1)
 NOI Properties
Seniors Housing Operating $985,022
 43.5% 500
 $1,039,520
 42.8% 533
Triple-net 900,049
 39.7% 726
 918,743
 37.9% 658
Outpatient Medical 380,136
 16.8% 284
 469,035
 19.3% 387
Totals $2,265,207
 100.0% 1,510
 $2,427,298
 100.0% 1,578
(1) Represents consolidated NOInet operating income ("NOI") and excludes our share of investments in unconsolidated entities. Entities in which we have a joint venture with a minority partner are shown at 100% of the joint venture amount. See Non-GAAP Financial Measures for additional information and reconciliation.
Business Strategy
Our primary objectives are to protect stockholder capital and enhance stockholder value. We seek to pay consistent cash dividends to stockholders and create opportunities to increase dividend payments to stockholders as a result of annual increases in net operating income and portfolio growth. To meet these objectives, we invest across the full spectrum of seniors housing and health care real estate and diversify our investment portfolio by property type, relationship and geographic location.
Substantially all of our revenues are derived from operating lease rentals, resident fees/services and interest earned on outstanding loans receivable. These items represent our primary sources of liquidity to fund distributions and depend upon the continued ability of our obligors to make contractual rent and interest payments to us and the profitability of our operating properties. To the extent that our obligors/partners experience operating difficulties and become unable to generate sufficient cash to make payments or operating distributions to us, there could be a material adverse impact on our consolidated results of operations, liquidity and/or financial condition. To mitigate this risk, we monitor our investments through a variety of methods determined by the type of property. Our asset management process for seniors housing properties generally includes review of monthly financial statements and other operating data for each property, review of obligor/partner creditworthiness, property inspections and review of covenant compliance relating to licensure, real estate taxes, letters of credit and other collateral. Our internal property management division manages and monitors the outpatient medical portfolio with a comprehensive process including review of tenant relations, lease expirations, the mix of health service providers, hospital/health system relationships, property performance, capital improvement needs and market conditions among other things. We evaluate the operating environment in each property’s market to determine the likely trend in operating performance of the facility. When we identify unacceptable trends, we seek to mitigate, eliminate or transfer the risk. Through these efforts, we generally aim to intervene at an early stage to address any negative trends, and in so doing, support both the collectability of revenue and the value of our investment.
In addition to our asset management and research efforts, we also aim to structure our relevant investments to mitigate payment risk. Operating leases and loans are normally credit enhanced by guarantiesguarantees and/or letters of credit. In addition, operating leases are typically structured as master leases and loans are generally cross-defaulted and cross-collateralized with other real estate loans, operating leases or agreements between us and the obligor and its affiliates.
For the year ended December 31, 2018,2019, resident fees/services and rental income represented 69%67% and 29%31%, respectively, of total revenues. Substantially all of our operating leases are designed with escalating rent structures. Leases with fixed annual rental escalators are generally recognized on a straight-line basis over the initial lease period, subject to a collectability assessment. Rental income related to leases with contingent rental escalators is generally recorded based on the contractual cash rental payments due for the period. Our yield on loans receivable depends upon a number of factors, including the stated interest rate, the average principal amount outstanding during the term of the loan and any interest rate adjustments.

41

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Our primary sources of cash include resident fees/fees and services, rent and interest receipts, borrowings under our primary unsecured revolving credit facility and commercial paper program, public issuances of debt and equity securities, our commercial paper program, proceeds from investment dispositions and principal payments on loans receivable. Our primary uses of cash include dividend distributions, debt service payments (including principal and interest), real property investments (including acquisitions, capital expenditures, construction advances and transaction costs), loan advances, property operating expenses and general and administrative expenses. Depending upon the availability and cost of external capital, we believe our liquidity is sufficient to fund these uses of cash.
We also continuously evaluate opportunities to finance future investments. New investments are generally funded from temporary borrowings under our primary unsecured revolving credit facility and commercial paper program, internally generated cash and the proceeds from investment dispositions. Our investments generate cash from net operating income.NOI and principal payments on loans receivable. Permanent financing for future investments, which replaces funds drawn under our primary unsecured revolving credit facility and commercial paper program, has historically been provided through a combination of the issuance of public debt and equity securities and the incurrence or assumption of secured debt.
Depending upon market conditions, we believe that new investments will be available in the future with spreads over our cost of capital that will generate appropriate returns to our stockholders. It is also likely that investment dispositions may occur in the future. To the extent that investment dispositions exceed new investments, our revenues and cash flows from operations could be adversely affected. We expect to reinvest the proceeds from any investment dispositions in new investments. To the extent that new investment requirements exceed our available cash on-hand, we expect to borrow under our primary unsecured revolving credit facility.facility and commercial paper program. At December 31, 2018,2019, we had $215,376,000$284,917,000 of cash and cash equivalents, $100,753,000$100,849,000 of restricted cash and $1,853,000,000$1,411,400,000 of available borrowing capacity under our primary unsecured revolving credit facility.
Key Transactions
Capital  The following summarizes key capital transactions that occurred and supported new investments made during the year ended December 31, 2018:2019:
In April 2018,January 2019, we issued $550,000,000established an unsecured commercial paper program. Under the terms of 4.25%the program, we may issue, from time to time, unsecured commercial paper with maturities that vary, but do not exceed 397 days from the date of issue, up to a maximum aggregate principal amount outstanding at any time of $1,000,000,000.
In February 2019, we elected to effect the mandatory conversion of all of the outstanding 6.50% Series I Cumulative Convertible Preferred Stock. Each share of convertible stock was converted into 0.8857 shares of common stock.
In February 2019, we entered into an amended and restated Equity Shelf Program (as defined below) pursuant to which we may offer and sell up to $1,500,000,000 of common stock from time to time. We sold 18,591,000 shares of common stock under our current and previous Equity Shelf Programs and DRIP (as defined below), via both cash settle and forward sale agreements, generating expected gross proceeds of approximately $1,498,731,000.
In February 2019, we completed the issuance of $500,000,000 of 3.625% senior unsecured notes due 20282024 and $550,000,000 of 4.125% senior unsecured notes due 2029 for net proceeds of approximately $545,074,000.$1,036,964,000.
In connection with the QCP acquisition, in July 2018,March 2019 we drew on a $1,000,000,000 term loan facility to fund a portionrepaid our $600,000,000 of the cash consideration and other expenses.
In August 2018, we issued $200,000,000 of 4.25%4.125% senior unsecured notes due 2028, $600,000,0002019 and $450,000,000 of 3.95%6.125% senior unsecured notes due 20232020.
In August 2019, we completed the issuance of $750,000,000 of 3.10% senior unsecured notes due 2030 and $500,000,000a follow-on issuance of $450,000,000 of 3.625% senior unsecured notes due 2024 priced to yield 2.494%, for net proceeds of approximately $1,209,328,000.
In September 2019, we repaid our $450,000,000 of 4.95% senior unsecured notes due 2048 for aggregate2021 and $600,000,000 of 5.25% senior unsecured notes due 2022.
In December 2019, we completed the issuance of $500,000,000 of 2.70% senior unsecured notes due 2027. The net proceeds of approximately $1,283,226,000. Proceeds from these issuances were$495,066,000 will be used to repay advances underfund renewable energy, water conservation, energy efficiency and green building projects. Additionally, we completed the $1,000,000,000 term loan facility drawn on in July 2018 and the primaryissuance of $300,000,000 of 2.95% Canadian-denominated senior unsecured credit facility.notes due 2027 generating net proceeds of approximately CAD $297,668,000.
In July 2018,December 2019, we closed on a new $3,700,000,000redeemed all of the outstanding $300,000,000 Canadian-denominated 3.35% senior unsecured credit facility with improved pricing across both our line of credit and term loan facility and terminated the existing unsecured credit facility. The credit facility includes a $3,000,000,000 revolving credit facility at a borrowing rate of 0.825% over LIBOR, a $500,000,000 USD unsecured term credit facility at a borrowing rate of 0.90% over LIBOR and a $250,000,000 CAD unsecured term credit facility at 0.90% over CDOR.notes due 2020.
We extinguished $306,553,000$230,108,000 of secured debt at a blended average interest rate of 5.36%.4.35% throughout 2019.
We repaid our $450,000,000

42

Item 7.Management’s Discussion and Analysis of 2.25% senior unsecured notes at par upon maturity on March 15, 2018. Financial Condition and Results of Operations
We raised $794,649,000 through our dividend reinvestment program and our Equity Shelf Program (as defined below).
Investments The following summarizes our property acquisitions and joint venture investments made during the year ended December 31, 20182019 (dollars in thousands):
 Properties 
Investment Amount(1)
 
Capitalization Rates(2)
 
Book Amount(3)
 Properties 
Investment Amount(1)
 
Capitalization Rates(2)
 
Book Amount(3)
Seniors Housing Operating 12
 $673,374
 6.7% $742,675
 62
 $1,459,254
 5.1% $1,802,836
Triple-net 246
 2,438,899
 6.9% 3,062,427
 10
 217,658
 6.5% 227,379
Outpatient Medical 30
 605,866
 5.8% 628,824
 105
 2,396,642
 5.6% 2,491,159
Totals 288
 $3,718,139
 6.7% $4,433,926
 177
 $4,073,554
 5.4% $4,521,374
 
(1) Represents stated pro rata purchase price including cash and any assumed debt but excludes fair value adjustments pursuant to U.S. GAAP.
(2) Represents annualized contractual or projected net operating incomeNOI to be received in cash divided by investment amounts.
(3) Represents amounts recorded in real property including fair value adjustments pursuant to U.S. GAAP. See Note 3 to our consolidated financial statements for additional information.

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Dispositions The following summarizes property dispositions made during the year ended December 31, 20182019 (dollars in thousands):
 Properties 
Proceeds(1)
 
Capitalization Rates(2)
 
Book Amount(3)
 Properties 
Proceeds(1)
 
Capitalization Rates(2)
 
Book Amount(3)
Seniors Housing Operating(4) 4
 $40,073
 7.5% $36,627
 55
 $1,803,413
 5.4% $1,232,816
Triple-net 107
 1,050,290
 5.3% 835,093
 57
 902,731
 7.9% 667,632
Outpatient Medical(5) 21
 464,843
 6.2% 253,397
 1
 8,500
 10.5% 482
Totals 132
 $1,555,206
 5.6% $1,125,117
 113
 $2,714,644
 6.3% $1,900,930
 
(1) Represents pro rata proceeds received upon disposition.
(2) Represents annualized contractual net operating income that was being received in cash at date of disposition divided by disposition proceeds.
(3) Represents carrying value of assets at time of disposition. See Note 5 to our consolidated financial statements for additional information.

(4) Includes the disposition of an unconsolidated real estate investment.
(5) Reflects the disposition of an excess land parcel.
Dividends Our Board of Directors announced the 20192020 annual cash dividend of $3.48 per common share ($0.87 per share quarterly), consistent with 2018,2019, beginning in February 2019.2020. The dividend declared for the quarter ended December 31, 20182019 represents the 191195stth consecutive quarterly dividend payment.
Key Performance Indicators, Trends and Uncertainties
We utilize several key performance indicators to evaluate the various aspects of our business. These indicators are discussed below and relate to operating performance, credit strength and concentration risk. Management uses these key performance indicators to facilitate internal and external comparisons to our historical operating results, in making operating decisions, and for budget planning purposes.
Operating Performance We believe that net income and net income attributable to common stockholders (“NICS”) per the Statement of Comprehensive Income are the most appropriate earnings measures. Other useful supplemental measures of our operating performance include funds from operations attributable to common stockholders (“FFO”), and consolidated net operating income (“NOI”) and same store NOI (“SSNOI”); however, these supplemental measures are not defined by U.S. GAAP. Please refer to the section entitled “Non-GAAP Financial Measures” for further discussion and reconciliations. These earnings measures are widely used by investors and analysts in the valuation, comparison and investment recommendations of companies. The following table reflects the recent historical trends of our operating performance measures for the periods presented (in thousands):  
 Year Ended December 31, Year Ended December 31,
 2016 2017 2018 2019 2018 2017
Net income $1,082,070
 $540,613
 $829,750
 $1,330,410
 $829,750
 $540,613
Net income attributable to common stockholders 1,012,397
 463,595
 758,250
 1,232,432
 758,250
 463,595
Funds from operations attributable to common stockholders 1,582,940
 1,165,576
 1,392,183
 1,577,080
 1,392,183
 1,165,576
Consolidated net operating income 2,404,177
 2,232,716
 2,267,482
 2,431,264
 2,267,482
 2,232,716
Same store net operating income 1,528,340
 1,544,462
 1,551,424
 
Credit Strength We measure our credit strength both in terms of leverage ratios and coverage ratios. The leverage ratios indicate how much of our balance sheet capitalization is related to long-term debt, net of cash and Internal Revenue Code (“IRC”) section 1031 deposits. The coverage ratios indicate our ability to service interest and fixed charges (interest, secured debt principal amortization and preferred dividends). We expect to maintain capitalization ratios and coverage ratios sufficient to maintain a capital structure consistent with our current profile. The coverage ratios are based on adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”). Please refer to the section entitled “Non-GAAP Financial Measures” for further discussion and reconciliation of these measures. Leverage ratios and coverage ratios are widely used by investors, analysts and rating agencies in the valuation, comparison, investment recommendations and rating of companies. The following table reflects the recent historical trends for our credit strength measures for the periods presented:  

  Year Ended December 31,
  2016 2017 2018
Net debt to book capitalization ratio 42.9% 42.9% 45.0%
Net debt to undepreciated book capitalization ratio 37.4% 36.3% 37.8%
Net debt to market capitalization ratio 31.1% 31.2% 31.3%
       
Adjusted interest coverage ratio 4.21x 4.36x 4.11x
Adjusted fixed charge coverage ratio 3.34x 3.54x 3.44x
43

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

  Year Ended December 31,
  2019 2018 2017
Net debt to book capitalization ratio 46.5% 45.0% 42.9%
Net debt to undepreciated book capitalization ratio 39.4% 37.8% 36.3%
Net debt to market capitalization ratio 29.6% 31.3% 31.2%
       
Adjusted interest coverage ratio 4.14x 4.11x 4.36x
Adjusted fixed charge coverage ratio 3.78x 3.44x 3.54x
 
Concentration Risk We evaluate our concentration risk in terms of NOI by property mix, relationship mix and geographic mix. Concentration risk is a valuable measure in understanding what portion of our NOI could be at risk if certain sectors were to experience downturns. Property mix measures the portion of our NOI that relates to our various property types. Relationship mix measures the portion of our NOI that relates to our current top five relationships. Geographic mix measures the portion of our NOI that
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

relates to our current top five states (or international equivalents). The following table reflects our recent historical trends of concentration risk by NOI for the years indicated below:
 
December 31,(1)
 
December 31,(1)
 2016 2017 2018 2019 2018 2017
Property mix:Property mix:      Property mix:      
Seniors Housing Operating 34% 40% 43%Seniors Housing Operating 43% 43% 40%
Triple-net 50% 43% 40%Triple-net 38% 40% 43%
Outpatient Medical 16% 17% 17%Outpatient Medical 19% 17% 17%
  
Relationship mix:Relationship mix:      Relationship mix:      
Sunrise Senior Living(2)
 13% 14% 15%
Sunrise Senior Living(2)
 14% 15% 14%
Revera(2)
 6% 7% 7%ProMedica 9% 4% —%
Brookdale Senior Living 6% 7% 6%
Revera(2)
 6% 7% 7%
Genesis HealthCare 16% 9% 6%Genesis HealthCare 5% 6% 9%
Benchmark Senior Living 4% 4% 4%Belmont Village 3% 3% 3%
Remaining 55% 59% 62%Remaining 63% 65% 67%
  
Geographic mix:Geographic mix:      Geographic mix:      
California 10% 13% 14%California 13% 14% 13%
United Kingdom 8% 9% 9%United Kingdom 8% 9% 9%
Canada 7% 8% 8%Texas 8% 8% 7%
Texas 7% 7% 8%New Jersey 7% 8% 8%
New Jersey 8% 8% 7%Canada 7% 7% 8%
Remaining 60% 55% 54%Remaining 57% 54% 55%
 
(1) Excludes our share of investments in unconsolidated entities and non-segment/corporate NOI. Entities in which we have a joint venture with a minority partner are shown at 100% of the joint venture amount.
(2) Revera owns a controlling interest in Sunrise Senior Living.

We evaluate our key performance indicators in conjunction with current expectations to determine if historical trends are indicative of future results. Our expected results may not be achieved and actual results may differ materially from our expectations. Factors that may cause actual results to differ from expected results are described in more detail in “Item 1 — Business — Cautionary Statement Regarding Forward-Looking Statements” and “Item 1A — Risk Factors” and other sections of this Annual Report on Form 10-K. Management regularly monitors economic and other factors to develop strategic and tactical plans designed to improve performance and maximize our competitive position. Our ability to achieve our financial objectives is dependent upon our ability to effectively execute these plans and to appropriately respond to emerging economic and company-specific trends. Please refer to “Item 1 — Business,” “Item 1A — Risk Factors” in this Annual Report on Form 10-K for further discussion of these risk factors.
Corporate Governance
Maintaining investor confidence and trust is important in today’s business environment. Our Board of Directors and management are strongly committed to policies and procedures that reflect the highest level of ethical business practices. Our corporate governance guidelines provide the framework for our business operations and emphasize our commitment to increase stockholder value while meeting all applicable legal requirements. These guidelines meet the listing standards adopted by the New York Stock Exchange and are available on the Internet at www.welltower.com/investors/governance. The information on our website is not incorporated by reference in this Annual Report on Form 10-K, and our web address is included as an inactive textual reference only.

44

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Liquidity and Capital Resources
Sources and Uses of Cash
Our primary sources of cash include resident fees/fees and services, rent and interest receipts, borrowings under our primary unsecured revolving credit facility and commercial paper program, public issuances of debt and equity securities, proceeds from investment dispositions and principal payments on loans receivable. Our primary uses of cash include dividend distributions, debt service payments (including principal and interest), real property investments (including acquisitions, capital expenditures, construction advances and transaction costs), loan advances, property operating expenses and general and administrative expenses. These sources and uses of cash are reflected in our Consolidated Statements of Cash Flows and are discussed in further detail below. The following is a summary of our sources and uses of cash flows for the periods presented (dollars in thousands):
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

 Year Ended One Year Change Year Ended One Year Change Two Year Change Year Ended One Year Change Year Ended One Year Change Two Year Change
 December 31, December 31,     December 31,         December 31, December 31,     December 31,        
 2016 2017 $ % 2018 $ % $ % 2019 2018 $ % 2017 $ % $ %
Beginning cash, cash equivalents and restricted cash $422,690
 $607,220
 $184,530
 44 % $309,303
 $(297,917) -49 % $(113,387) -27 %
Cash, cash equivalents and restricted cash at beginning of period $316,129
 $309,303
 $6,826
 2 % $607,220
 $(297,917) -49 % $(291,091) -48 %
Net cash provided from (used in):     
 

   
 

 
 

     
 

   
 

 
 n/a
Operating activities 1,639,064
 1,434,177
 (204,887) -13 % 1,583,944
 149,767
 10 % (55,120) -3 % 1,535,968
 1,583,944
 (47,976) -3 % 1,434,177
 149,767
 10 % 101,791
 7 %
Investing activities (183,443) 154,581
 338,024
 n/a
 (2,386,471) (2,541,052) n/a
 (2,203,028) 1,201 % (2,048,791) (2,386,471) 337,680
 -14 % 154,581
 (2,541,052) n/a
 (2,203,372) n/a
Financing activities (1,250,817) (1,913,527) (662,710) 53 % 818,368
 2,731,895
 n/a
 2,069,185
 n/a
 577,150
 818,368
 (241,218) -29 % (1,913,527) 2,731,895
 n/a
 2,490,677
 n/a
Effect of foreign currency translation (20,274) 26,852
 47,126
 n/a
 (9,015) (35,867) n/a
 11,259
 -56 % 5,310
 (9,015) 14,325
 n/a
 26,852
 (35,867) n/a
 (21,542) -80 %
Ending cash, cash equivalents and restricted cash $607,220
 $309,303
 $(297,917) -49 % $316,129
 $6,826
 2 % $(291,091) -48 %
Cash, cash equivalents and restricted cash at end of period $385,766
 $316,129
 $69,637
 22 % $309,303
 $6,826
 2 % $76,463
 25 %
 
Operating Activities The change in net cash provided from operating activities is attributable to changes in NOI, which is primarily due to acquisitions and annual rent increasers, partially offset to dispostions.by dispositions. Please see “Results of Operations” below for further discussion. For the years ended December 31, 2016,2019, 2018 and 2017, and 2018, cash flows from operations exceeded cash distributions to stockholders.
Investing Activities  The changes in net cash used in investing activities are primarily attributable to net changes in real property investments, real estate loans receivable and investments in unconsolidated entities which are summarized above in “Key Transactions.” Please refer to Notes 3, 6,7, and 78 of our consolidated financial statements for additional information. The following is a summary of cash used in non-acquisition capital improvement activities for the periods presented (dollars in thousands):
 Year Ended One Year Change Year Ended One Year Change Two Year Change Year Ended One Year Change Year Ended One Year Change Two Year Change
 December 31, December 31,     December 31,         December 31, December 31,     December 31,        
 2016 2017 $ % 2018 $ % $ % 2019 2018 $ % 2017 $ % $ %
New development $403,131
 $232,715
 $(170,416) -42 % $160,706
 $(72,009) -31 % $(242,425) -60 % $323,488
 $160,706
 $162,782
 101% $232,715
 $(72,009) -31 % $90,773
 39%
Recurring capital expenditures, tenant improvements and lease commissions 66,332
 67,797
 1,465
 2 % 90,190
 22,393
 33 % 23,858
 36 % 136,535
 90,190
 46,345
 51% 67,797
 22,393
 33 % 68,738
 101%
Renovations, redevelopments and other capital improvements 152,814
 182,479
 29,665
 19 % 175,993
 (6,486) -4 % 23,179
 15 % 192,289
 175,993
 16,296
 9% 182,479
 (6,486) -4 % 9,810
 5%
Total $622,277
 $482,991
 $(139,286) -22 % $426,889
 $(56,102) -12 % $(195,388) -31 % $652,312
 $426,889
 $225,423
 53% $482,991
 $(56,102) -12 % $169,321
 35%
 
The change in new development is primarily due to the number and size of construction projects on-going during the relevant periods. Renovations, redevelopments and other capital improvements include expenditures to maximize property value, increase net operating income, maintain a market-competitive position and/or achieve property stabilization. Generally, these expenditures have increased as a result of acquisitions, primarily in our Seniors Housing Operating segment.
Financing Activities The changes in net cash provided from financing activities are primarily attributable to changes related to our long-term debt arrangements, the issuance/redemptions of common and preferred stock and dividend payments which are summarized above in “Key Transactions.” Please refer to Notes 9, 10, 11 and 1314 of our consolidated financial statements for additional information.
Off-Balance Sheet Arrangements
At December 31, 2018,2019, we had investments in unconsolidated entities with our ownership generally ranging from 10% to 50%. We use financial derivative instruments to hedge interest rate and foreign currency exchange rate exposure. At December 31, 2018,2019, we had fourteenthirteen outstanding letter of credit obligations. Please see Notes 7, 118, 12 and 1213 to our consolidated financial statements for additional information.

45

Contractual Obligations
The following table summarizes our payment requirements under contractual obligations as of December 31, 2018 (in thousands):
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Contractual Obligations
The following table summarizes our payment requirements under contractual obligations as of December 31, 2019 (in thousands):
 Payments Due by Period Payments Due by Period
Contractual Obligations Total 2019 2020-2021 2022-2023 Thereafter Total 2020 2021-2022 2023-2024 Thereafter
Unsecured revolving credit facility(1)
 $1,147,000
 $
 $
 $1,147,000
 $
Unsecured revolving credit facility and commercial paper(1,2)
 $1,588,600
 $643,600
 $
 $945,000
 $
Senior unsecured notes and term credit facilities:(2)
 

  
  
  
  
 

  
  
  
  
U.S. Dollar senior unsecured notes 7,450,000
 600,000
 900,000
 1,700,000
 4,250,000
 8,100,000
 
 
 2,450,000
 5,650,000
Canadian Dollar senior unsecured notes(3)
 219,989
 
 219,989
 
 
 231,446
 
 
 
 231,446
Pounds Sterling senior unsecured notes(3)
 1,339,170
 
 
 
 1,339,170
 1,393,245
 
 
 
 1,393,245
U.S. Dollar term credit facility 507,500
 
 7,500
 500,000
 
 510,000
 
 10,000
 500,000
 
Canadian Dollar term credit facility(3)
 183,325
 
 
 183,325
 
 192,871
 
 
 192,871
 
Secured debt:(2,3)
 

  
  
  
  
 

  
  
  
  
Consolidated 2,485,711
 508,899
 507,412
 605,789
 863,611
 2,993,342
 354,329
 861,052
 771,911
 1,006,050
Unconsolidated
 790,643
 51,614
 88,024
 39,495
 611,510
 826,396
 57,728
 52,172
 95,783
 620,713
Contractual interest obligations:(4)
 

  
  
  
  
 

  
  
  
  
Unsecured revolving credit facility 171,910
 38,202
 76,405
 57,303
 
Unsecured revolving credit facility and commercial paper 86,065
 25,302
 48,610
 12,153
 
Senior unsecured notes and term loans(3)
 3,930,812
 424,529
 758,541
 638,183
 2,109,559
 4,144,774
 410,322
 838,436
 735,197
 2,160,819
Consolidated secured debt(3)
 478,922
 90,861
 144,026
 96,873
 147,162
 510,973
 101,577
 163,885
 100,441
 145,070
Unconsolidated secured debt(3)
 211,077
 30,919
 51,892
 47,904
 80,362
 179,382
 28,056
 52,130
 39,623
 59,573
Capital lease obligations(5)
 84,265
 4,173
 8,346
 71,746
 
Financing lease liabilities(5)
 186,335
 9,121
 16,935
 70,601
 89,678
Operating lease obligations(5)
 1,138,046
 18,242
 35,392
 33,965
 1,050,447
 1,185,632
 23,356
 45,469
 43,411
 1,073,396
Purchase obligations(5)(6)
 1,704,293
 1,599,477
 104,816
 
 
 727,558
 536,105
 150,656
 27,787
 13,010
Other long-term liabilities(6)
 1,229
 1,229
 
 
 
Total contractual obligations $21,843,892
 $3,368,145
 $2,902,343
 $5,121,583
 $10,451,821
 $22,856,619
 $2,189,496
 $2,239,345
 $5,984,778
 $12,443,000
(1) Relates to our unsecured revolving credit facility and commercial paper with an aggregate commitment of $3,000,000,000. See Note 910 to our consolidated financial statements.
(2) Amounts represent principal amounts due and do not reflect unamortized premiums/discounts or other fair value adjustments as reflected on the balance sheet.
(3) Based on foreign currency exchange rates in effect as of balance sheet date.
(4) Based on variable interest rates in effect as of December 31, 2018.2019.
(5) See Note 126 to our consolidated financial statements for additional information.
(6) Primarily relates See Note 13 to payments to be made under a supplemental executive retirement planour consolidated financial statements for one former executive officer.additional information.

Capital Structure
Please refer to “Credit Strength” above for a discussion of our leverage and coverage ratio trends. Our debt agreements contain various covenants, restrictions and events of default. Certain agreements require us to maintain financial ratios and minimum net worth and impose certain limits on our ability to incur indebtedness, create liens and make investments or acquisitions. As of December 31, 2018,2019, we were in compliance with all of the covenants under our debt agreements. None of our debt agreements contain provisions for acceleration which could be triggered by our debt ratings. However, under our primary unsecured credit facility, the ratings on our senior unsecured notes are used to determine the fees and interest charged. We plan to manage the company to maintain compliance with our debt covenants and with a capital structure consistent with our current profile. Any downgrades in terms of ratings or outlook by any or all of the rating agencies could have a material adverse impact on our cost and availability of capital, which could in turn have a material adverse impact on our consolidated results of operations, liquidity and/or financial condition.
On May 17, 2018, we filed with the Securities and Exchange Commission (1) an open-ended automatic or “universal” shelf registration statement covering an indeterminate amount of future offerings of debt securities, common stock, preferred stock, depositary shares, warrants and units and (2) a registration statement in connection with our enhanced dividend reinvestment plan (“DRIP”) under which we may issue up to 15,000,000 shares of common stock. As of February 13, 2019, 8,526,222January 31, 2020, 2,728,696 shares of common stock remained available for issuance under the DRIP registration statement. On August 3, 2018,February 25, 2019, we entered into separate amended and restated equity distribution agreements with each of Morgan StanleyBarclays Capital Inc., Citigroup Global Markets Inc., Credit Agricole Securities (USA) Inc., Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC;LLC, J.P. Morgan Securities LLC, KeyBanc Capital Markets Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated; Goldman SachsIncorporated, Morgan Stanley & Co. LLC;LLC, MUFG Securities Americas Inc., RBC Capital Markets, LLC, UBS Securities LLC and Wells Fargo Securities, LLC relating to the offer and sale from time to time of up to $784,083,001$1,500,000,000 aggregate amount of our common stock (“Equity Shelf Program”)., which replaced our existing equity shelf program entered into on August 3, 2018. The Equity Shelf Program also allows us to enter into forward sale agreements. We expect that, if entered into, we will physically settle each forward sale agreement on one or more dates on or prior to the maturity date of that particular forward sale agreement, in which case we will expect to receive per share cash proceeds at settlement equal to the forward sale price under the relevant forward sale agreement.  However, we may elect to cash settle or net share settle a forward sale agreement. As of February 13, 2019,January 31, 2020, we had $227,958,000$1,075,537,000 of remaining capacity under the Equity Shelf Program, which excludes

46

Item 7.Management’s Discussion and there were no outstanding Analysis of Financial Condition and Results of Operations

forward sales agreements.agreements outstanding for the sale of 6,799,978 shares with maturity dates in 2020 and 2021. We expect to physically settle the forward sales for cash proceeds. Depending upon market conditions, we anticipate issuing securities under our registration statements to invest in additional properties and to repay borrowings under our primary unsecured revolving credit facility.facility and commercial paper program.
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Results of Operations
Summary
Our primary sources of revenue include resident fees/fees and services,rent and interest income. Our primary expenses include interest expense, depreciation and amortization, property operating expenses, other expenses and general and administrative expenses.  We evaluate our business and make resource allocations on our three business segments: Seniors Housing Operating, Triple-net and Outpatient Medical. The primary performance measures for our properties are NOI and SSNOI and other supplemental measures include FFO and Adjusted EBITDA, which are further discussed below. Please see Non-GAAP"Non-GAAP Financial MeasuresMeasures" for additional information and reconciliations. reconciliations related to these supplemental measures. 
This section of this Form 10-K generally discusses 2019 and 2018 items and year-to-year comparisons between 2019 and 2018. Discussions of 2017 items and year-to-year comparisons between 2018 and 2017 that are not included in this Form 10-K can be found in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018.
The following is a summary of our results of operations for the periods presented (dollars in thousands, except per share amounts):
 Year Ended One Year Change Year Ended One Year Change Two Year Change Year Ended One Year Change Year Ended One Year Change Two Year Change
 December 31, December 31,     December 31,         December 31, December 31,     December 31,        
 2016 2017 Amount % 2018 Amount % Amount % 2019 2018 Amount % 2017 Amount % Amount %
Net income $1,082,070
 $540,613
 $(541,457) -50 % $829,750
 $289,137
 53 % $(252,320) -23 % $1,330,410
 $829,750
 $500,660
 60% $540,613
 $289,137
 53 % $789,797
 146 %
NICS 1,012,397
 463,595
 (548,802) -54 % 758,250
 294,655
 64 % (254,147) -25 % 1,232,432
 758,250
 474,182
 63% 463,595
 294,655
 64 % 768,837
 166 %
FFO 1,582,940
 1,165,576
 (417,364) -26 % 1,392,183
 226,607
 19 % (190,757) -12 % 1,577,080
 1,392,183
 184,897
 13% 1,165,576
 226,607
 19 % 411,504
 35 %
Adjusted EBITDA 2,256,864
 2,128,429
 (128,435) -6 % 2,153,005
 24,576
 1 % (103,859) -5 % 2,328,202
 2,153,005
 175,197
 8% 2,128,429
 24,576
 1 % 199,773
 9 %
Consolidated NOI 2,404,177
 2,232,716
 (171,461) -7 % 2,267,482
 34,766
 2 % (136,695) -6 % 2,431,264
 2,267,482
 163,782
 7% 2,232,716
 34,766
 2 % 198,548
 9 %
Same store NOI 1,528,340
 1,544,462
 16,122
 1 % 1,551,424
 6,962
  % 23,084
 2 %
       
     

   

       

     

   

Per share data (fully diluted):       
     

   

       

     

   

Net income attributable to common
stockholders
 $2.81
 $1.26
 $(1.55) -55 % $2.02
 $0.76
 60 % $(0.79) -28 % $3.05
 $2.02
 $1.03
 51% $1.26
 $0.76
 60 % $1.79
 142 %
Funds from operations attributable to
common stockholders
 4.39
 3.16
 (1.23) -28 % 3.71
 0.55
 17 % (0.68) -15 % $3.91
 $3.71
 $0.20
 5% $3.16
 $0.55
 17 % $0.75
 24 %
                         

     

   

Adjusted interest coverage ratio 4.21x
 4.36x
 0.15x
 4 % 4.11x
 -0.25x
 -6 % 0.15x
 4 % 4.14x
 4.11x
 0.03x
 1% 4.36x
 -0.25x
 -6 % -0.22x
 -5 %
Adjusted fixed charge coverage ratio 3.34x
 3.54x
 0.20x
 6 % 3.44x
 -0.10x
 -3 % 0.20x
 6 % 3.78x
 3.44x
 0.34x
 10% 3.54x
 -0.10x
 -3 % 0.24x
 7 %
 
The following table represents the changes in outstanding common stock for the period from January 1, 20162017 to December 31, 20182019 (in thousands):
 Year Ended   Year Ended  
 December 31, 2016 December 31, 2017 December 31, 2018 Totals December 31, 2019 December 31, 2018 December 31, 2017 Totals
Beginning balance 354,778
 362,602
 371,732
 354,778
 383,675
 371,732
 362,602
 362,602
Dividend reinvestment plan issuances 4,145
 5,640
 6,529
 16,314
 5,799
 6,529
 5,640
 17,968
Preferred stock conversions 
 4
 
 4
 12,712
 
 4
 12,716
Redemption of equity membership units 
 91
 
 91
 
 
 91
 91
Option exercises 141
 253
 57
 451
 11
 57
 253
 321
Equity Shelf Program issuances 3,135
 2,987
 5,241
 11,363
 7,856
 5,241
 2,987
 16,084
Other, net 403
 155
 116
 674
 204
 116
 155
 475
Ending balance 362,602
 371,732
 383,675
 383,675
 410,257
 383,675
 371,732
 410,257
                
Average number of shares outstanding:Average number of shares outstanding:      Average number of shares outstanding:      
Basic 358,275
 367,237
 373,620
   401,845
 373,620
 367,237
  
Diluted 360,227
 369,001
 375,250
   403,808
 375,250
 369,001
  
 
During the past three years, inflation has not significantly affected our earnings because of the moderate inflation rate. Additionally, a portion of our earnings are derived primarily from long-term investments with predictable rates of return. These investments are mainly financed with a combination of equity, senior unsecured notes, secured debt and borrowings under our primary unsecured credit facility. During inflationary periods, which generally are accompanied by rising interest rates, our ability to grow may be adversely affected because the yield on new investments may increase at a slower rate than new borrowing costs. Presuming the current inflation rate remains moderate and long-term interest rates do not increase significantly, we believe that inflation will not impact the availability of equity and debt financing for us.

47

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Seniors Housing Operating 
The following is a summary of our same store NOI and SSNOI("SSNOI") for the Seniors Housing Operating segment for the years presented (dollars in thousands):
  Year Ended One Year Change Year Ended One Year Change Two Year Change
  December 31, December 31,     December 31,        
  2016 2017 $ % 2018 $ % $ %
NOI $814,114
 $880,026
 $65,912
 8 % $985,022
 $104,996
 12 % $170,908
 21 %
Non-cash NOI attributable to same store properties(1)
 1,990
 1,242
 (748) -38 % 836
 (406) -33 % (1,154) -58 %
NOI attributable to non same store properties(2)
 (77,334) (132,604) (55,270) 71 % (251,803) (119,199) 90 % (174,469) 226 %
SSNOI(1)
 $738,770
 $748,664
 $9,894
 1 % $734,055
 $(14,609) -2 % $(4,715) -1 %
  2018 and 2019 Same Store Pool One Year Change 2017 and 2018 Same Store Pool One Year Change
  2019 2018 $ % 2018 2017 $ %
SSNOI(1)
 $699,867
 $701,493
 $(1,626) -0.2 % $816,416
 824,415
 $(7,999) -1.0 %
 
(1) Relates to 348 same store properties.
(2) Primarily relates to341 properties for the acquisition of 662018 and 2019 Same Store Pool and 390 properties subsequent to January 1, 2016for the 2017 and the transition of 69 properties from Triple-net to Seniors Housing Operating.

2018 Same Store Pool.
The following is a summary of our results of operations for the Seniors Housing Operating segment for the years presented (dollars in thousands):
   Year Ended One Year Change Year Ended One Year Change Two Year Change   Year Ended One Year Change Year Ended One Year Change Two Year Change
   December 31, December 31,     December 31,           December 31, December 31,     December 31,        
   2016 2017 $ % 2018 $ % $ %   2019 2018 $ % 2017 $ % $ %
Revenues:Revenues:                  Revenues:                  
 Resident fees and services $2,504,731
 $2,779,423
 $274,692
 11 % $3,234,852
 $455,429
 16 % $730,121
 29 % Resident fees and services $3,448,175
 $3,234,852
 $213,323
 7 % $2,779,423
 $455,429
 16 % $668,752
 24 %
 Interest income 4,180
 69
 (4,111) -98 % 578
 509
 738 % (3,602) -86 % Interest income 36
 578
 (542) -94 % 69
 509
 738 % (33) -48 %
 Other income 17,085
 5,127
 (11,958) -70 % 5,024
 (103) -2 % (12,061) -71 % Other income 8,658
 5,024
 3,634
 72 % 5,127
 (103) -2 % 3,531
 69 %
 Total revenues 2,525,996
 2,784,619
 258,623
 10 % 3,240,454
 455,835
 16 % 714,458
 28 % Total revenues 3,456,869
 3,240,454
 216,415
 7 % 2,784,619
 455,835
 16 % 672,250
 24 %
Property operating expensesProperty operating expenses 1,711,882
 1,904,593
 192,711
 11 % 2,255,432
 350,839
 18 % 543,550
 32 %Property operating expenses 2,417,349
 2,255,432
 161,917
 7 % 1,904,593
 350,839
 18 % 512,756
 27 %
 
NOI(1)
 814,114
 880,026
 65,912
 8 % 985,022
 104,996
 12 % 170,908
 21 % 
NOI(1)
 1,039,520
 985,022
 54,498
 6 % 880,026
 104,996
 12 % 159,494
 18 %
Other expenses:Other expenses:       
     
   
Other expenses:     

 

   

 

 

 

 Depreciation and amortization 415,429
 484,796
 69,367
 17 % 529,449
 44,653
 9 % 114,020
 27 % Depreciation and amortization 553,189
 529,449
 23,740
 4 % 484,796
 44,653
 9 % 68,393
 14 %
 Interest expense 81,853
 63,265
 (18,588) -23 % 69,060
 5,795
 9 % (12,793) -16 % Interest expense 67,983
 69,060
 (1,077) -2 % 63,265
 5,795
 9 % 4,718
 7 %
 
Transaction costs(2)
 29,207
 
 (29,207) -100 % 
 
 n/a
 (29,207) -100 % Loss (gain) on extinguishment of debt, net 1,614
 110
 1,504
 1,367 % 3,785
 (3,675) -97 % (2,171) -57 %
 Loss (gain) on extinguishment of debt, net (88) 3,785
 3,873
 -4,401 % 110
 (3,675) -97 % 198
 -225 % Impairment of assets 2,145
 7,599
 (5,454) -72 % 21,949
 (14,350) -65 % (19,804) -90 %
 Impairment of assets 12,403
 21,949
 9,546
 77 % 7,599
 (14,350) -65 % (4,804) -39 % Other expenses 26,348
 6,624
 19,724
 298 % 8,347
 (1,723) -21 % 18,001
 216 %
 
Other expenses(2)
 
 8,347
 8,347
 n/a
 6,624
 (1,723) -21 % 6,624
 n/a
 651,279
 612,842
 38,437
 6 % 582,142
 30,700
 5 % 69,137
 12 %
 538,804
 582,142
 43,338
 8 % 612,842
 30,700
 5 % 74,038
 14 %
Income (loss) from continuing operations before income taxes and other itemsIncome (loss) from continuing operations before income taxes and other items 275,310
 297,884
 22,574
 8 % 372,180
 74,296
 25 % 96,870
 35 %Income (loss) from continuing operations before income taxes and other items 388,241
 372,180
 16,061
 4 % 297,884
 74,296
 25 % 90,357
 30 %
Income tax benefit (expense)Income tax benefit (expense) (3,762) (16,430) (12,668) 337 % 1,202
 17,632
 -107 % 4,964
 -132 %Income tax benefit (expense) 6,246
 1,202
 5,044
 420 % (16,430) 17,632
 107 % 22,676
 138 %
Income (loss) from unconsolidated entitiesIncome (loss) from unconsolidated entities (20,442) (105,236) (84,794) 415 % (28,142) 77,094
 -73 % (7,700) 38 %Income (loss) from unconsolidated entities 12,388
 (28,142) 40,530
 144 % (105,236) 77,094
 73 % 117,624
 112 %
Gain (loss) on real estate dispositions, netGain (loss) on real estate dispositions, net 9,880
 56,295
 46,415
 470 % (2,245) (58,540) -104 % (12,125) -123��%Gain (loss) on real estate dispositions, net 528,747
 (2,245) 530,992
 23,652 % 56,295
 (58,540) -104 % 472,452
 839 %
Income from continuing operationsIncome from continuing operations 260,986
 232,513
 (28,473) -11 % 342,995
 110,482
 48 % 82,009
 31 %Income from continuing operations 935,622
 342,995
 592,627
 173 % 232,513
 110,482
 48 % 703,109
 302 %
Net income (loss)Net income (loss) 260,986
 232,513
 (28,473) -11 % 342,995
 110,482
 48 % 82,009
 31 %Net income (loss) 935,622
 342,995
 592,627
 173 % 232,513
 110,482
 48 % 703,109
 302 %
Less: Net income (loss) attributable to noncontrolling interestsLess: Net income (loss) attributable to noncontrolling interests 2,292
 8,472
 6,180
 270 % (660) (9,132) -108 % (2,952) -129 %Less: Net income (loss) attributable to noncontrolling interests 56,513
 (660) 57,173
 8,663 % 8,472
 (9,132) -108 % 48,041
 567 %
Net income (loss) attributable to common stockholdersNet income (loss) attributable to common stockholders $258,694
 $224,041
 $(34,653) -13 % $343,655
 $119,614
 53 % $84,961
 33 %Net income (loss) attributable to common stockholders $879,109
 $343,655
 $535,454
 156 % $224,041
 $119,614
 53 % $655,068
 292 %
 
(1) See Non-GAAP Financial Measures below.
(2) See Note 3 to our consolidated financial statements.

Fluctuations in resident fees/fees and services and property operating expenses are primarily a result of acquisitions, segment transitions and the movement of U.S. and foreign currency exchange rates. The fluctuations in depreciation and amortization are due to acquisitions and variations in amortization of short-lived intangible assets. To the extent that we acquire or dispose of additional properties in the future, these amounts will change accordingly. The decrease in other income for the year ended December 31, 2018 is primarily a result of insurance proceeds received during 2017 relating to a property as well as a bargain purchase gain recognized in conjunction with a single property acquisition. 
During the three years presented, we recorded impairment charges on certain held for sale and held for use properties as the carrying value exceeded the estimated fair value less costs to sell.values. The fluctuations in gains (losses) on real estate dispositions are due to the volume of property sales and sales prices. Beginning January 1, 2017, transactionThe significant gain on real estate dispositions recognized during the year ended December 31, 2019 is related to the sale of the Benchmark Senior Living portfolio. Transaction costs related to asset acquisitions are capitalized as a component of the purchase price. The increase in other expenses during the year ended December 31, 2019 is primarily due to additional noncapitalizable transaction costs associated with acquisitions and operator transitions.
During the year ended December 31, 2019, we completed two Seniors Housing Operating construction projects representing $28,117,000 or $109,405 per unit. The following is a summary of our Seniors Housing Operating construction projects, excluding expansions, pending as of December 31, 2019 (dollars in thousands):

48

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

as a component of purchase price. The increase in other expenses since 2016 are primarily due to noncapitalizable transaction costs from acquisitions.
During the year ended December 31, 2018, we completed two seniors housing operating construction projects representing $86,931,000 or $459,952 per unit and one expansion project totaling $2,672,000. The following is a summary of our Seniors Housing Operating construction projects, excluding expansions, pending as of December 31, 2018 (dollars in thousands):
Location Units/Beds Commitment Balance Est. Completion Units/Beds Commitment Balance Est. Completion
Wandsworth, UK 98
 $75,185
 $41,833
 1Q20 97
 $78,221
 $69,877
 1Q20
Taylor, PA 113
 14,272
 12,405
 1Q20
Beavercreek, OH 100
 12,032
 11,561
 1Q20
Potomac, MD 120
 56,623
 7,627
 4Q20 120
 56,720
 23,145
 4Q20
Beckenham, UK 100
 62,497
 27,423
 3Q21
Hendon, UK 102
 74,041
 33,698
 4Q21
Barnet, UK 100
 68,335
 28,499
 4Q21
 218
 $131,808
 49,460
   732
 $366,118
 206,608
  
Toronto, ON Project in planning stage 39,898
  Project in planning stage 43,854
 
Washington, DC Project in planning stage 18,394
 
Brookline, MA Project in planning stage 17,382
 
     $89,358
      $268,873
 
 
Interest expense represents secured debt interest expense which fluctuates based on the net effect and timing of assumptions, segment transitions, fluctuations in foreign currency rates, extinguishments and principal amortizations. The fluctuations in loss (gain) on extinguishment of debt is primarily attributable to the volume of extinguishments and terms of the related secured debt.  The following is a summary of our Seniors Housing Operating property secured debt principal activity (dollars in thousands):
 Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended
 December 31, 2016 December 31, 2017 December 31, 2018 December 31, 2019 December 31, 2018 December 31, 2017
   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.
 Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate
Beginning balance $2,290,552
 3.96% $2,463,249
 3.94% $1,988,700
 3.66% $1,810,587
 3.87% $1,988,700
 3.66% $2,463,249
 3.94%
Debt transferred in 
 —% 
 —% 35,830
 3.84% 
 —% 35,830
 3.84% 
 —%
Debt issued 293,860
 2.90% 228,772
 2.72% 45,447
 3.40% 343,696
 3.11% 45,447
 3.40% 228,772
 2.72%
Debt assumed 60,898
 4.30% 
 —% 121,612
 5.55% 183,061
 4.58% 121,612
 5.55% 
 —%
Debt extinguished (159,498) 3.66% (668,804) 4.81% (240,095) 4.83% (219,864) 4.28% (240,095) 4.83% (668,804) 4.81%
Debt transferred out (12,072) 3.89% 
 —% 
 —%
Debt deconsolidated 
 —% (60,000) 3.80% 
 0.00% 
 —% 
 —% (60,000) 3.80%
Principal payments (49,112) 3.89% (47,153) 3.60% (47,886) 3.59% (43,997) 3.45% (47,886) 3.59% (47,153) 3.60%
Foreign currency 26,549
 3.48% 72,636
 3.23% (93,021) 3.31% 53,626
 3.33% (93,021) 3.31% 72,636
 3.23%
Ending balance $2,463,249
 3.94% $1,988,700
 3.66% $1,810,587
 3.87% $2,115,037
 3.54% $1,810,587
 3.87% $1,988,700
 3.66%
              
Monthly averages $2,391,706
 3.93% $2,065,477
 3.66% $1,915,663
 3.74% $1,966,892
 3.70% $1,915,663
 3.74% $2,065,477
 3.66%
The majority of our seniors housing operatingSeniors Housing Operating properties are formed through partnership interests. The fluctuationsincrease in income (loss) from unconsolidated entities are largely due to a gain on the recognitiondisposition of impairments related to one of our investments inan unconsolidated entitiesentity during the year ended December 31, 2017. Losses are also attributable to depreciation and amortization of short-lived intangible assets related to certain investments in unconsolidated joint ventures.2019. Net income attributable to noncontrolling interests represents our partners’ share of net income (loss) related to joint ventures. The increase during the year ended December 31, 2019 relates primarily to our partner's share of the gain recognized on the sale of the Benchmark Senior Living portfolio.

49

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Triple-net 
The following is a summary of our NOI and SSNOI for the Triple-net segment for the periods presented (dollars in thousands):
  Year Ended One Year Change Year Ended One Year Change Two Year Change
  December 31, December 31,     December 31,        
  2016 2017 $ % 2018 $ % $ %
NOI $1,208,860
 $967,084
 $(241,776) -20 % $900,049
 $(67,035) -7 % $(308,811) -26 %
Non-cash NOI attributable to same store properties(1)
 (28,538) (23,764) 4,774
 -17 % (17,093) 6,671
 -28 % 11,445
 -40 %
NOI attributable to non same store properties(2)
 (709,606) (465,820) 243,786
 -34 % (401,878) 63,942
 -14 % 307,728
 -43 %
SSNOI(1)
 $470,716
 $477,500
 $6,784
 1 % $481,078
 $3,578
 1 % $10,362
 2 %
  2018 and 2019 Same Store Pool One Year Change 2017 and 2018 Same Store Pool One Year Change
  2019 2018 $ % 2018 2017 $ %
SSNOI(1)
 $516,340
 $508,897
 $7,443
 1.5% $516,008
 $508,257
 $7,751
 1.5%
 
(1) Relates to 364 same store properties.
(2) Primarily relates to368 properties for the acquisition of 2642018 and 2019 Same Store Pool and 366 properties for the 2017 and 40 properties sold or held for sale at December 31, 2018.

2018 Same Store Pool.
The following is a summary of our results of operations for the Triple-net segment for the years presented (dollars in thousands):
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

  Year Ended One Year Change Year Ended One Year Change Two Year Change  Year Ended One Year Change Year Ended One Year Change Two Year Change
  December 31, December 31,     December 31,          December 31, December 31,     December 31,        
  2016 2017 $ % 2018 $ % $ %  2019 2018 $ % 2017 $ % $ %
Revenues:Revenues:                  Revenues:                  
Rental income $1,112,325
 $885,811
 $(226,514) -20 % $828,865
 $(56,946) -6 % $(283,460) -25 %Rental income $903,798
 $828,865
 $74,933
 9 % $885,811
 $(56,946) -6 % $17,987
 2 %
Interest income 90,476
 73,742
 (16,734) -18 % 54,926
 (18,816) -26 % (35,550) -39 %Interest income 62,599
 54,926
 7,673
 14 % 73,742
 (18,816) -26 % (11,143) -15 %
Other income 6,059
 7,531
 1,472
 24 % 17,173
 9,642
 128 % 11,114
 183 %Other income 6,246
 17,173
 (10,927) -64 % 7,531
 9,642
 128 % (1,285) -17 %
Total revenues 1,208,860
 967,084
 (241,776) -20 % 900,964
 (66,120) -7 % (307,896) -25 %Total revenues 972,643
 900,964
 71,679
 8 % 967,084
 (66,120) -7 % 5,559
 1 %
Property operating expenses 
 
 
 n/a
 915
 915
 n/a
 (915) n/a
Property operating expenses 53,900
 915
 52,985
 5,791 % 
 915
 n/a
 53,900
 n/a
NOI(1)
 1,208,860
 967,084
 (241,776) -20 % 900,049
 (67,035) -7 % (306,981) -25 %
NOI(1)
 918,743
 900,049
 18,694
 2 % 967,084
 (67,035) -7 % (48,341) -5 %
Other expenses:Other expenses:        
     

   

Other expenses:     

 

   

 

 

 

Depreciation and amortization 297,197
 243,830
 (53,367) -18 % 235,480
 (8,350) -3 % (61,717) -21 %Depreciation and amortization 232,626
 235,480
 (2,854) -1 % 243,830
 (8,350) -3 % (11,204) -5 %
Interest expense 21,370
 15,194
 (6,176) -29 % 14,225
 (969) -6 % (7,145) -33 %Interest expense 12,892
 14,225
 (1,333) -9 % 15,194
 (969) -6 % (2,302) -15 %
Loss (gain) on derivatives and financial instruments, net 68
 2,284
 2,216
 3,259 % (4,016) (6,300) -276 % (4,084) -6,006 %Loss (gain) on derivatives and financial instruments, net (4,399) (4,016) (383) -10 % 2,284
 (6,300) -276 % (6,683) -293 %
Transaction costs(2)
 10,016
 
 (10,016) -100 % 
 
 n/a
 (10,016) -100 %Loss (gain) on extinguishment of debt, net 
 (32) 32
 100 % 29,083
 (29,115) -100 % (29,083) -100 %
Loss (gain) on extinguishment of debt, net 863
 29,083
 28,220
 3,270 % (32) (29,115) -100 % (895) -104 %Provision for loan losses 18,690
 
 18,690
 n/a
 62,966
 (62,966) -100 % (44,276) -70 %
Provision for loan losses 6,935
 62,966
 56,031
 808 % 
 (62,966) -100 % (6,935) -100 %Impairment of assets 11,926
 107,980
 (96,054) -89 % 96,909
 11,071
 11 % (84,983) -88 %
Impairment of assets 20,169
 96,909
 76,740
 380 % 107,980
 11,071
 11 % 87,811
 435 %
Other expenses(2)
 13,771
 90,975
 (77,204) -85 % 116,689
 (25,714) -22 % (102,918) -88 %
Other expenses(2)
 
 116,689
 116,689
 n/a
 90,975
 (25,714) -22 % 90,975
 n/a
  285,506
 444,612
 (159,106) -36 % 566,955
 (122,343) -22 % (281,449) -50 %
  356,618
 566,955
 210,337
 59 % 444,612
 (122,343) -22 % 87,994
 25 %
Income from continuing operations before income taxes and other itemsIncome from continuing operations before income taxes and other items 852,242
 400,129
 (452,113) -53 % 455,437
 55,308
 14 % (396,805) -47 %Income from continuing operations before income taxes and other items 633,237
 455,437
 177,800
 39 % 400,129
 55,308
 14 % 233,108
 58 %
Income tax benefit (expense)Income tax benefit (expense) (1,087) (4,291) (3,204) 295 % 1,611
 5,902
 -138 % 2,698
 -248 %Income tax benefit (expense) (4,209) 1,611
 (5,820) -361 % (4,291) 5,902
 138 % 82
 2 %
Income (loss) from unconsolidated entitiesIncome (loss) from unconsolidated entities 9,767
 19,428
 9,661
 99 % 21,938
 2,510
 13 % 12,171
 125 %Income (loss) from unconsolidated entities 22,985
 21,938
 1,047
 5 % 19,428
 2,510
 13 % 3,557
 18 %
Gain (loss) on real estate dispositions, netGain (loss) on real estate dispositions, net 355,394
 286,325
 (69,069) -19 % 196,589
 (89,736) -31 % (158,805) -45 %Gain (loss) on real estate dispositions, net 218,322
 196,589
 21,733
 11 % 286,325
 (89,736) -31 % (68,003) -24 %
Income from continuing operationsIncome from continuing operations 1,216,316
 701,591
 (514,725) -42 % 675,575
 (26,016) -4 % (540,741) -44 %Income from continuing operations 870,335
 675,575
 194,760
 29 % 701,591
 (26,016) -4 % 168,744
 24 %
Net incomeNet income 1,216,316
 701,591
 (514,725) -42 % 675,575
 (26,016) -4 % (540,741) -44 %Net income 870,335
 675,575
 194,760
 29 % 701,591
 (26,016) -4 % 168,744
 24 %
Less: Net income attributable to noncontrolling interestsLess: Net income attributable to noncontrolling interests 1,221
 4,603
 3,382
 277 % 19,306
 14,703
 319 % 18,085
 1,481 %Less: Net income attributable to noncontrolling interests 36,271
 19,306
 16,965
 88 % 4,603
 14,703
 319 % 31,668
 688 %
Net income attributable to common stockholdersNet income attributable to common stockholders $1,215,095
 $696,988
 $(518,107) -43 % $656,269
 $(40,719) -6 % $(558,826) -46 %Net income attributable to common stockholders $834,064
 $656,269
 $177,795
 27 % $696,988
 $(40,719) -6 % $137,076
 20 %
 
(1) See Non-GAAP Financial Measures below.
(2) See Note 318 to our consolidated financial statements.

The 2017 and 2018 decreases inincrease to rental income arefor the year ended December 31, 2019 is primarily attributable to acquisitions including Quality Care Properties ("QCP") in July 2018. In addition, we have recorded certain real estate property taxes on a gross basis, with the offset to property operating expenses, as a result of our ASC 842 adoption on January 1, 2019. These increases are partially offset by the disposition or segment transition of properties exceeding new acquisitions, segment transitions and the reduction in the Genesis HealthCare ("Genesis") annual cash rent obligation due to the restructuring of the master lease as of January 1, 2018.various properties. Certain of our leases contain annual rental escalators that are contingent upon changes in the Consumer Price Index (“CPI”) and/or changes in the gross operating revenues of the tenant’s properties. These escalators are not fixed, so no straight-line rent is recorded; however, rental income is recorded based on the contractual cash rental payments due for the period. If gross operating revenues at our facilities and/or the CPI do not increase, a portion of our revenues may not continue to increase. Our leases could renew above or below current rent rates, resulting in an increase or decrease in rental income. For the three months ended December 31, 2018,2019, we had 1720 leases with rental rate increasers ranging from 0.18%0.12% to 0.76% in our triple-netTriple-net portfolio. The decrease in interest income is primarily attributable to the volume of loan payoffs during the three years presented.The increase in other income for the year ended December 31, 2018 is primarily due to $10,805,000 of net lease termination fees recognized.
Depreciation and amortization decreased primarily as a result of the disposition of triple-net properties exceeding acquisition and segment transitions. To the extent we acquire or dispose of additional properties in the future, our provision for depreciation and amortization will change accordingly.
TheDuring the year ended December 31, 2019, we recognized a provision for loan losses is relatedloss of $18,690,000 to our critical accounting estimatefully reserve for the allowance for loan losses and is discussed in “Critical Accounting Policies” beloweventually wrote off certain real estate loans receivable that are no longer deemed collectible.

50

Item 7.Management’s Discussion and Note 6 to our consolidated financial statements. During the years ended December 31, 2017Analysis of Financial Condition and 2016, we recorded provision for loan losses related to certain first mortgage loans to GenesisResults of $62,966,000 and $6,935,000, respectively.Operations

During the three years presented, we recorded impairment charges on certain held for sale and held for use properties as the carrying value exceeded the estimated fair value less costs to sell.values. The fluctuations in gains on real estate dispositions are due to the volume of property sales and sales prices. Beginning January 1, 2017, transactionTransaction costs related to asset acquisitions are capitalized as a component of purchase price.
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Other The fluctuations in other expenses is primarily representsdue noncapitalizable transaction costs from acquisitions, segment transitions and the termination/restructuring of pre-existingpreexisting relationships. In addition, during the year ended December 31, 2017, we recognized an other than temporary charge of $18,294,000 in other expenses on the Genesis available-for-sale equity investment.
During the year ended December 31, 2018, we completed two triple-netrecognized $79,576,000 related to a joint venture transaction, including the conversion of properties from Triple-net to Seniors Housing Operating and termination/restructuring of preexisting relationships.
During the year ended December 31, 2019, there were no construction projects totaling $90,055,000 or $283,472 per bed/unit and two expansion projects totaling $17,357,000.completed. The following is a summary of triple-netTriple-net construction projects, excluding expansions, pending as of December 31, 20182019 (dollars in thousands):
Location Units/Beds Commitment Balance Est. Completion Units/Beds Commitment Balance Est. Completion
Union, KY 162
 $34,600
 $25,649
 1Q20
Westerville, OH 90
 $22,800
 $8,160
 3Q19 102
 22,800
 19,922
 1Q20
Union, KY 162
 34,600
 9,848
 1Q20
Droitwich , UK 70
 16,153
 4,573
 4Q20
Droitwich, UK 70
 16,805
 11,730
 2Q20
Thousand Oaks, CA 82
 24,763
 9,971
 4Q20
Redhill, UK 76
 21,098
 6,287
 1Q21
Leicester, UK 60
 14,861
 3,505
 1Q21
Wombourne, UK 66
 15,923
 3,515
 2Q21
Total 322
 $73,553
 $22,581
   618
 $150,850
 $80,579
  
 
Total interest expense represents secured debt interest expense and related fees. The change in secured debt interest expense is due to the net effect and timing of assumptions, segment transitions, fluctuations in foreign currency rates, extinguishments and principal amortizations. The fluctuations in loss (gain) on extinguishment of debt is primarily attributable to the volume of extinguishments and terms of the related secured debt. The fluctuation in loss (gain) on derivatives and financial instruments, net is primarily attributable to the mark-to-market adjustment recorded on theour Genesis HealthCare available-for-sale investment in accordance with the adoption of Accounting Standards Update 2016-01 described in Note 2 to our consolidated financial statements.investment. The following is a summary of our Triple-net secured debt principal activity for the periods presented (dollars in thousands):
 Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended
 December 31, 2016 December 31, 2017 December 31, 2018 December 31, 2019 December 31, 2018 December 31, 2017
   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.
 Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate
Beginning balance $554,014
 5.49% $594,199
 4.58% $347,474
 3.55% $288,386
 3.63% $347,474
 3.55% $594,199
 4.58%
Debt transferred in 12,072
 3.89% 
 —% 
 —%
Debt issued 166,155
 2.21% 13,000
 4.57% 
 —% 
 —% 
 —% 13,000
 4.57%
Debt extinguished (118,500) 5.56% (274,048) 5.95% (4,107) 4.94% 
 —% (4,107) 4.94% (274,048) 5.95%
Debt transferred out 
 —% 
 —% (35,830) 3.84% 
 —% (35,830) 3.84% 
 —%
Principal payments (10,627) 5.68% (5,863) 5.66% (3,982) 5.38% (4,017) 5.21% (3,982) 5.38% (5,863) 5.66%
Foreign currency 3,157
 5.25% 20,186
 2.91% (15,169) 3.44% 9,597
 2.99% (15,169) 3.44% 20,186
 2.91%
Ending balance $594,199
 4.58% $347,474
 3.55% $288,386
 3.63% $306,038
 3.60% $288,386
 3.63% $347,474
 3.55%
              
Monthly averages $497,213
 5.41% $408,688
 3.91% $321,730
 3.51% $294,080
 3.63% $321,730
 3.51% $408,688
 3.91%
 
A portion of our triple-net properties were formed through partnerships. Income or loss from unconsolidated entities represents our share of net income or losses from partnerships where we are the noncontrolling partner. Net income attributable to noncontrolling interests represents our partners’ share of net income relating to those partnerships where we are the controlling partner.
Outpatient Medical 
The following is a summary of our NOI and SSNOI for the Outpatient Medical segment for the periods presented (dollars in thousands):
  Year Ended One Year Change Year Ended One Year Change Two Year Change
  December 31, December 31,     December 31,        
  2016 2017 $ % 2018 $ % $ %
NOI $380,264
 $384,068
 $3,804
 1 % $380,136
 $(3,932) -1 % $(128)  %
Non-cash NOI attributable to same store properties(1)
 (8,190) (7,694) 496
 -6 % (8,226) (532) 7 % (36)  %
NOI attributable to non same store properties(2)
 (53,220) (58,076) (4,856) 9 % (35,619) 22,457
 -39 % 17,601
 -33 %
SSNOI(1)
 $318,854
 $318,298
 $(556)  % $336,291
 $17,993
 6 % $17,437
 5 %
  2018 and 2019 Same Store Pool One Year Change 2017 and 2018 Same Store Pool One Year Change
  2019 2018 $ % 2018 2017 $ %
SSNOI(1)
 $311,612
 $308,139
 $3,473
 1.1% $343,059
 $336,990
 $6,069
 1.8%

(1) Relates to 212 same store properties.
(2) Primarily relates to197 properties for the acquisition of 482018 and 2019 Same Store Pool and 224 properties for the 2017 and the conversion of 15 construction projects into revenue-generating properties subsequent to January 1, 2016.2018 Same Store Pool.

The following is a summary of our results of operations for the Outpatient Medical segment for the periods presented (dollars in thousands): 

51

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

  Year Ended One Year Change Year Ended One Year Change Two Year Change  Year Ended One Year Change Year Ended One Year Change Two Year Change
  December 31, December 31,     December 31,          December 31, December 31,     December 31,        
  2016 2017 $ % 2018 $ % $ %  2019 2018 $ % 2017 $ % $ %
Revenues:Revenues:                  Revenues:                  
Rental income $536,490
 $560,060
 $23,570
 4 % $551,557
 $(8,503) -2 % $15,067
 3 %Rental income $684,602
 $551,557
 $133,045
 24 % $560,060
 $(8,503) -2 % $124,542
 22 %
Interest income 3,307
 
 (3,307) -100 % 310
 310
 n/a
 (2,997) -91 %Interest income 1,195
 310
 885
 285 % 
 310
 n/a
 1,195
 n/a
Other income 5,568
 3,340
 (2,228) -40 % 4,939
 1,599
 48 % (629) -11 %Other income 2,031
 4,939
 (2,908) -59 % 3,340
 1,599
 48 % (1,309) -39 %
Total revenues 545,365
 563,400
 18,035
 3 % 556,806
 (6,594) -1 % 11,441
 2 %Total revenues 687,828
 556,806
 131,022
 24 % 563,400
 (6,594) -1 % 124,428
 22 %
Property operating expensesProperty operating expenses 165,101
 179,332
 14,231
 9 % 176,670
 (2,662) -1 % 11,569
 7 %Property operating expenses 218,793
 176,670
 42,123
 24 % 179,332
 (2,662) -1 % 39,461
 22 %
NOI(1)
 380,264
 384,068
 3,804
 1 % 380,136
 (3,932) -1 % (128)  %
NOI(1)
 469,035
 380,136
 88,899
 23 % 384,068
 (3,932) -1 % 84,967
 22 %
Other expenses:Other expenses:       

     

   

Other expenses:       

     

   

Depreciation and amortization 188,616
 193,094
 4,478
 2 % 185,530
 (7,564) -4 % (3,086) -2 %Depreciation and amortization 241,258
 185,530
 55,728
 30 % 193,094
 (7,564) -4 % 48,164
 25 %
Interest expense 19,087
 10,015
 (9,072) -48 % 7,051
 (2,964) -30 % (12,036) -63 %Interest expense 13,411
 7,051
 6,360
 90 % 10,015
 (2,964) -30 % 3,396
 34 %
Transaction costs(2)
 3,687
 
 (3,687) -100 % 
 
 n/a
 (3,687) -100 %Loss (gain) on extinguishment of debt, net 
 11,928
 (11,928) -100 % 4,373
 7,555
 173 % (4,373) -100 %
Loss (gain) on extinguishment of debt, net 
 4,373
 4,373
 n/a
 11,928
 7,555
 173 % 11,928
 n/a
Impairment of assets 14,062
 
 14,062
 n/a
 5,625
 (5,625) -100 % 8,437
 150 %
Provision for loan losses.
 3,280
 
 (3,280) -100 % 
 
 n/a
 (3,280) -100 %Other expenses 1,788
 7,570
 (5,782) -76 % 1,911
 5,659
 296 % (123) -6 %
Impairment of assets 4,635
 5,625
 990
 21 % 
 (5,625) -100 % (4,635) -100 %  270,519
 212,079
 58,440
 28 % 215,018
 (2,939) -1 % 55,501
 26 %
Other expenses(2)
 
 1,911
 1,911
 n/a
 7,570
 5,659
 296 % 7,570
 n/a
  219,305
 215,018
 (4,287) -2 % 212,079
 (2,939) -1 % (7,226) -3 %
Income from continuing operations before income taxes and other itemIncome from continuing operations before income taxes and other item 160,959
 169,050
 8,091
 5 % 168,057
 (993) -1 % 7,098
 4 %Income from continuing operations before income taxes and other item 198,516
 168,057
 30,459
 18 % 169,050
 (993) -1 % 29,466
 17 %
Income tax benefit (expense)Income tax benefit (expense) (511) (1,477) (966) 189 % (125) 1,352
 -92 % 386
 -76 %Income tax benefit (expense) (2,710) (125) (2,585) -2,068 % (1,477) 1,352
 92 % (1,233) -83 %
Income (loss) from unconsolidated entitiesIncome (loss) from unconsolidated entities 318
 2,683
 2,365
 744 % 5,563
 2,880
 107 % 5,245
 1,649 %Income (loss) from unconsolidated entities 7,061
 5,563
 1,498
 27 % 2,683
 2,880
 107 % 4,378
 163 %
Gain (loss) on real estate dispositions, netGain (loss) on real estate dispositions, net (1,228) 1,630
 2,858
 n/a
 221,231
 219,601
 13,472 % 222,459
 n/a
Gain (loss) on real estate dispositions, net 972
 221,231
 (220,259) -100 % 1,630
 219,601
 13,472 % (658) -40 %
Income from continuing operationsIncome from continuing operations 159,538
 171,886
 9,490
 6 % 394,726
 3,239
 2 % 12,729
 8 %Income from continuing operations 203,839
 394,726
 (190,887) -48 % 171,886
 222,840
 130 % 31,953
 19 %
Net income (loss)Net income (loss) 159,538
 171,886
 12,348
 8 % 394,726
 222,840
 130 % 235,188
 147 %Net income (loss) 203,839
 394,726
 (190,887) -48 % 171,886
 222,840
 130 % 31,953
 19 %
Less: Net income (loss) attributable to noncontrolling interestsLess: Net income (loss) attributable to noncontrolling interests 768
 4,765
 3,997
 520 % 6,150
 1,385
 29 % 5,382
 701 %Less: Net income (loss) attributable to noncontrolling interests 5,194
 6,150
 (956) -16 % 4,765
 1,385
 29 % 429
 9 %
Net income (loss) attributable to common stockholdersNet income (loss) attributable to common stockholders $158,770
 $167,121
 $8,351
 5 % $388,576
 $221,455
 133 % $229,806
 145 %Net income (loss) attributable to common stockholders $198,645
 $388,576
 $(189,931) -49 % $167,121
 $221,455
 133 % $31,524
 19 %
 
(1) See Non-GAAP Financial Measures below.
(2) See Note 3 to our consolidated financial statements.

The fluctuations in rental income are primarily attributable to the acquisitions of new properties and the conversion of newly constructed outpatient medical properties, particularly the $1.25 billion CNL Healthcare Properties portfolio acquisition that closed in May 2019, partially offset by dispositions. Certain of our leases contain annual rental escalators that are contingent upon changes in the CPI. These escalators are not fixed, so no straight-line rent is recorded; however, rental income is recorded based on the contractual cash rental payments due for the period. If the CPI does not increase, a portion of our revenues may not continue to increase. Our leases could renew above or below current rent rates, resulting in an increase or decrease in rental income. For the three months ended December 31, 2018,2019, our consolidated outpatient medical portfolio signed 77,850193,173 square feet of new leases and 184,349424,579 square feet of renewals. The weighted-average term of these leases was sevensix years, with a rate of $36.23$31.95 per square foot and tenant improvement and lease commission costs of $21.90$23.59 per square foot. Substantially all of these leases contain an annual fixed or contingent escalation rent structure ranging from 2.0% to 3.9%3.5%.
The fluctuation in property operating expenses and depreciation and amortization are primarily attributable to acquisitions and construction conversions of new outpatient medical facilities, offset by dispositions. To the extent that we acquire or dispose of additional properties in the future, these amounts will change accordingly. During 2016 and 2017, weWe recognized impairment charges related to certain held-for-saleheld for sale properties as the carrying values exceeded the estimated fair values less costs to sell. Changes in gains/losses on sales of properties are related to volume of property sales and the sales prices. 
During the year ended December 31, 2018,2019, we completed one outpatient medicalOutpatient Medical construction project representing $11,358,000$21,006,000 or $296$286 per square foot. The following is a summary of outpatient medicalOutpatient Medical construction projects pending as of December 31, 20182019 (dollars in thousands):
Location Square Feet Commitment Balance Est. Completion Square Feet Commitment Balance Est. Completion
Porter, TX 55,000
 $20,800
 $16,124
 1Q20
Lowell, MA 50,668
 11,900
 10,288
 1Q20
Katy, TX 36,500
 12,028
 3,251
 2Q20
Brooklyn, NY 140,955
 $105,306
 $58,390
 3Q19 140,955
 105,306
 80,799
 3Q20
Houston, TX 73,500
 23,455
 5,097
 4Q19
Porter, TX 55,000
 20,800
 4,198
 4Q19
Total 269,455
 $149,561
 $67,685
   283,123
 $150,034
 $110,462
  
 
Total interest expense represents secured debt interest expense. The change in secured debt interest expense is primarily due to the net effect and timing of assumptions, extinguishments and principal amortizations. The fluctuations in loss (gain) on
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

extinguishment of debt is primarily attributable the volume of extinguishments and terms of the related secured debt. The following is a summary of our Outpatient Medical secured debt principal activity for the periods presented (dollars in thousands):

  Year Ended Year Ended Year Ended
  December 31, 2016 December 31, 2017 December 31, 2018
    Weighted Avg.   Weighted Avg.   Weighted Avg.
  Amount Interest Rate Amount Interest Rate Amount Interest Rate
Beginning balance $627,689
 5.18% $404,079
 4.85% $279,951
 4.72%
Debt assumed 
 —% 23,094
 6.67% 171,275
 3.99%
Debt extinguished (210,115) 5.97% (137,416) 5.99% (61,291) 7.43%
Principal payments (13,495) 6.55% (9,806) 6.85% (3,197) 5.91%
Ending balance $404,079
 4.85% $279,951
 4.72% $386,738
 4.20%
             
Monthly averages $536,774
 5.11% $294,694
 4.62% $238,214
 4.25%
52

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

  Year Ended Year Ended Year Ended
  December 31, 2019 December 31, 2018 December 31, 2017
    Weighted Avg.   Weighted Avg.   Weighted Avg.
  Amount Interest Rate Amount Interest Rate Amount Interest Rate
Beginning balance $386,738
 4.20% $279,951
 4.72% $404,079
 4.85%
Debt assumed 202,084
 4.12% 171,275
 3.99% 23,094
 6.67%
Debt extinguished (10,244) 5.75% (61,291) 7.43% (137,416) 5.99%
Principal payments (6,311) 4.97% (3,197) 5.91% (9,806) 6.85%
Ending balance $572,267
 3.97% $386,738
 4.20% $279,951
 4.72%
             
Monthly averages $397,756
 4.15% $238,214
 4.25% $294,694
 4.62%
 
A portion of our outpatient medicalOutpatient Medical properties were formed through partnerships. Income or loss from unconsolidated entities represents our share of net income or losses from partnerships where we are the noncontrolling partner. Net income attributable to noncontrolling interests represents our partners’ share of net income or loss relating to those partnerships where we are the controlling partner.
Non-Segment/Corporate
The following is a summary of our results of operations for the non-segment/corporate activities (dollars in thousands):
  Year Ended One Year Change Year Ended One Year Change Two Year Change  Year Ended One Year Change Year Ended One Year Change Two Year Change
  December 31, December 31,     December 31,          December 31, December 31,     December 31,        
  2016 2017 $ % 2018 $ % $ %  2019 2018 $ % 2017 $ % $ %
Revenues:Revenues:                  Revenues:                  
Other income $939
 $1,538
 $599
 64 % $2,275
 $737
 48 % $1,336
 142 %Other income $3,966
 $2,275
 $1,691
 74 % $1,538
 $737
 48 % $2,428
 158 %
Expenses:Expenses:     
 

   
 

 
 

Expenses:     
 

   
 

 
 

Interest expense 399,035
 396,148
 (2,887) -1 % 436,256
 40,108
 10 % 37,221
 9 %Interest expense 461,273
 436,256
 25,017
 6 % 396,148
 40,108
 10 % 65,125
 16 %
General and administrative expenses 155,241
 122,008
 (33,233) -21 % 126,383
 4,375
 4 % (28,858) -19 %General and administrative expenses 126,549
 126,383
 166
 0 % 122,008
 4,375
 4 % 4,541
 4 %
Loss (gain) on derivatives and financial instruments, net (2,516) 
 2,516
 -100 % 
 
 n/a
 2,516
 -100 %Loss (gain) on extinguishments of debt, net 82,541
 4,091
 78,450
 1,918 % 
 4,091
 n/a
 82,541
 n/a
Loss (gain) on extinguishments of debt, net 16,439
 
 (16,439) -100 % 4,091
 4,091
 n/a
 (12,348) -75 %Other expenses 10,705
 7,729
 2,976
 39 % 50,829
 (43,100) -85 % (40,124) -79 %
Other expenses 11,998
 50,829
 38,831
 324 % 7,729
 (43,100) -85 % (4,269) -36 %Total expenses 681,068
 574,459
 106,609
 19 % 568,985
 5,474
 1 % 112,083
 20 %
Total expenses 580,197
 568,985
 (11,212) -2 % 574,459
 5,474
 1 % (5,738) -1 %
Loss from continuing operations before income taxesLoss from continuing operations before income taxes (579,258) (567,447) 11,811
 -2 % (572,184) (4,737) 1 % 7,074
 -1 %Loss from continuing operations before income taxes (677,102) (572,184) (104,918) -18 % (567,447) (4,737) -1 % (109,655) -19 %
Income tax benefit (expense)Income tax benefit (expense) 24,488
 2,070
 (22,418) -92 % (11,362) (13,432) n/a
 (35,850) n/a
Income tax benefit (expense) (2,284) (11,362) 9,078
 80 % 2,070
 (13,432) -649 % (4,354) -210 %
Net loss (554,770) (565,377) (10,607) 2 % (583,546) (18,169) 3 % (28,776) 5 %
Loss from continuing operationsLoss from continuing operations (679,386) (583,546) (95,840) -16 % (565,377) (18,169) -3 % (114,009) -20 %
Preferred stock dividendsPreferred stock dividends 65,406
 49,410
 (15,996) -24 % 46,704
 (2,706) -5 % (18,702) -29 %Preferred stock dividends 
 46,704
 (46,704) -100 % 49,410
 (2,706) -5 % (49,410) -100 %
Preferred stock redemption chargePreferred stock redemption charge 
 9,769
 9,769
 n/a
 
 (9,769) -100 % 
 n/a
Preferred stock redemption charge 
 
 
 n/a
 9,769
 (9,769) -100 % (9,769) -100 %
Net loss attributable to common stockholdersNet loss attributable to common stockholders $(620,176) $(624,556) $(4,380) 1 % $(630,250) $(5,694) 1 % $(10,074) 2 %Net loss attributable to common stockholders $(679,386) $(630,250) $(49,136) -8 % $(624,556) $(5,694) -1 % $(54,830) -9 %
The following is a summary of our non-segment/corporateNon-Segment/Corporate interest expense for the periods presented (dollars in thousands):
 Year Ended One Year Change Year Ended One Year Change Two Year Change Year Ended One Year Change Year Ended One Year Change Two Year Change
 December 31, December 31,     December 31,         December 31, December 31,     December 31,        
 2016 2017 $ % 2018 $ % $ % 2019 2018 $ % 2017 $ % $ %
Senior unsecured notes $368,775
 $364,773
 $(4,002) -1 % $387,955
 $23,182
 6 % $19,180
 5 % $402,133
 $387,955
 $14,178
 4 % $364,773
 $23,182
 6 % $37,360
 10 %
Secured debt 310
 127
 (183) -59 % 115
 (12) -9 % (195) -63 % 
 115
 (115) -100 % 127
 (12) -9 % (127) -100 %
Primary unsecured credit facility 16,811
 17,863
 1,052
 6 % 34,626
 16,763
 94 % 17,815
 106 %
Unsecured revolving credit facility and commercial paper program 43,861
 34,626
 9,235
 27 % 17,863
 16,763
 94 % 25,998
 146 %
Loan expense 13,139
 13,385
 246
 2 % 13,560
 175
 1 % 421
 3 % 15,279
 13,560
 1,719
 13 % 13,385
 175
 1 % 1,894
 14 %
Totals $399,035
 $396,148
 $(2,887) -1 % $436,256
 $40,108
 10 % $37,221
 9 % $461,273
 $436,256
 $25,017
 6 % $396,148
 $40,108
 10 % $65,125
 16 %
 
The change in interest expense on senior unsecured notes is due to the net effect of issuances and extinguishments.extinguishments, as well as the movement in foreign exchange rates and related hedge activity. Please refer to Note 1011 to consolidated financial statements for additional information. The change in interest expense on our primary unsecured revolving credit facility and commercial paper program is due primarily to the net effect and timing of draws, paydowns and variable interest rate changes. Please refer to Note 910 of our consolidated financial statements for additional information regarding our primary unsecured revolving credit facility.facility and commercial paper program. Loan expenses represent the amortization of costs incurred in connection with senior unsecured notes issuances. The loss on extinguishment of debtrecognized in 20162019 is due primarily to the early extinguishment of the 2017$600,000,000 of 4.125% senior unsecured notes.notes due 2019 and the $450,000,000 of 6.125% senior unsecured notes due 2020 in March 2019, the early extinguishment of the $450,000,000 of 4.95% senior unsecured notes due 2021 and the $600,000,000 of 5.25% senior unsecured notes due 2022 in September 2019 and the early redemption of the $300 million Canadian-denominated 3.35% senior unsecured notes due 2020 in December 2019. The loss on extinguishment of debt in 2018 is due to the term loan facility drawn on in July 2018 and paid off in August 2018.

53

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

General and administrative expenses as a percentage of consolidated revenues for the years ended December 31, 2019, 2018 and 2017 were 2.47%, 2.69% and 2016 were 2.69%, 2.83% and 3.63%, respectively. The decrease in general and administrative expenses since 2016 is primarily related to a reduction in professional service fees for tax and legal consulting and compensation costs as a result of execution of our strategic initiatives.  
Other expenses for 2017 primarily represents $40,730,000 of costs related to finalization of an agreement with the University of Toledo Foundation to transfer our corporate headquarters as a donation. Other expenses for all years also includesinclude severance-related costs associated with the departure of certain executive officers and key employees. 
The fluctuationsdecrease in income taxes are primarilypreferred dividends is due to benefits recognized inthe conversion of all outstanding Series I Cumulative Convertible Perpetual Preferred Stock during the year ended December 31, 2016 related to the release of a valuation allowance reserve on a taxable subsidiary and the restructuring of an unconsolidated investment. The decrease in preferred dividends and the preferred stock redemption charge are due to the redemption of our 6.5% Series J preferred stock during the three months ended March 31, 2017.2019.
Other
Non-GAAP Financial Measures
We believe that net income and net income attributable to common stockholders (“NICS”), as defined by U.S. GAAP, are the most appropriate earnings measurements. However, we consider FFO, NOI, SSNOI, EBITDA and Adjusted EBITDA to be useful supplemental measures of our operating performance. Historical cost accounting for real estate assets in accordance with U.S. GAAP implicitly assumes that the value of real estate assets diminishes predictably over time as evidenced by the provision for depreciation. However, since real estate values have historically risen or fallen with market conditions, many industry investors and analysts have considered presentations of operating results for real estate companies that use historical cost accounting to be insufficient. In response, the National Association of Real Estate Investment Trusts (“NAREIT”) created funds from operations attributable to common stockholders (“FFO”) as a supplemental measure of operating performance for REITs that excludes historical cost depreciation from net income. FFO, as defined by NAREIT, means NICS, computed in accordance with U.S. GAAP, excluding gains (or losses) from sales of real estate and impairment of depreciable assets, plus depreciation and amortization, and after adjustments for unconsolidated entities and noncontrolling interests.
Consolidated net operating income (“NOI”) is used to evaluate the operating performance of our properties. We define NOI as total revenues, including tenant reimbursements, less property operating expenses. Property operating expenses represent costs associated with managing, maintaining and servicing tenants for our seniors housing operating and outpatient medical facility properties. These expenses include, but are not limited to, property-related payroll and benefits, property management fees paid to operators, marketing, housekeeping, food service, maintenance, utilities, property taxes and insurance. General and administrative expenses represent costs unrelated to property operations. These expenses include, but are not limited to, payroll and benefits, professional services, office expenses and depreciation of corporate fixed assets. Same store NOI (“SSNOI”) is used to evaluate the operating performance of our properties using a consistent population which controls for changes in the composition of our portfolio. As used herein, same store is generally defined as those revenue-generating properties in the portfolio for the reporting period subsequent to January 1, 2016.eight quarters ended December 31, 2019 ("2018 and 2019 Same Store Pool") and December 31, 2018 ("2017 and 2018 Same Store Pool"). Land parcels, loans and sub-leases, as well as any properties acquired, developed /redeveloped,under development, transitioned to a different segment, sold or classified as held for sale during that period are excluded from the same store amounts. Additionally, unconsolidated properties are excluded from the same store amounts. We believe NOI and SSNOI provide investors relevant and useful information because they measure the operating performance of our properties at the property level on an unleveraged basis. We use NOI and SSNOI to make decisions about resource allocations and to assess the property level performance of our properties.
EBITDA stands for earnings (net income) before interest, taxes, depreciation and amortization. We believe that EBITDA, along with net income and cash flow provided from operating activities, is an important supplemental measure because it provides additional information to assess and evaluate the performance of our operations. We primarily utilize EBITDA to measure our interest coverage ratio, which represents EBITDA divided by total interest, and our fixed charge coverage ratio, which represents EBITDA divided by fixed charges. Fixed charges include total interest, secured debt principal amortization, and preferred dividends. Covenants in our senior unsecured notes and primary unsecured credit facility contain financial ratios based on a definition of EBITDA that is specific to those agreements. Failure to satisfy these covenants could result in an event of default that could have a material adverse impact on our cost and availability of capital, which could in turn have a material adverse impact on our consolidated results of operations, liquidity and/or financial condition. Due to the materiality of these debt agreements and the financial covenants, we have disclosed Adjusted EBITDA, which represents EBITDA as defined above excluding unconsolidated entities and adjusted for items per our covenant. We use Adjusted EBITDA to measure our adjusted fixed charge coverage ratio, which represents Adjusted EBITDA divided by fixed charges on a trailing twelve months basis. Fixed charges include total interest (excluding capitalized interest and non-cash interest expenses), secured debt principal amortization and preferred dividends. Our covenant requires an adjusted fixed charge coverage ratio of at least 1.50 times.
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Our supplemental reporting measures and similarly entitled financial measures are widely used by investors, equity and debt analysts and rating agencies in the valuation, comparison, rating and investment recommendations of companies. Management uses these financial measures to facilitate internal and external comparisons to our historical operating results and in making operating decisions. Additionally, these measures are utilized by the Board of Directors to evaluate management. None of our supplemental measures represent net income or cash flow provided from operating activities as determined in accordance with U.S. GAAP and should not be considered as alternative measures of profitability or liquidity. Finally, the supplemental measures, as defined by us, may not be comparable to similarly entitled items reported by other real estate investment trusts or other companies.

54

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

The table below reflects the reconciliation of FFO to NICS, the most directly comparable U.S. GAAP measure, for the periods presented. Noncontrolling interest and unconsolidated entity amounts represent adjustments to reflect our share of depreciation and amortization, gains/loss on real estate dispositions and impairments of assets. Amounts are in thousands except for per share data.
 Year Ended December 31, Year Ended December 31,
FFO Reconciliation: 2016 2017 2018 2019 2018 2017
Net income attributable to common stockholders $1,012,397
 $463,595
 $758,250
 $1,232,432
 $758,250
 $463,595
Depreciation and amortization 901,242
 921,720
 950,459
 1,027,073
 950,459
 921,720
Impairment of assets 37,207
 124,483
 115,579
 28,133
 115,579
 124,483
Loss (gain) on real estate dispositions, net (364,046) (344,250) (415,575) (748,041) (415,575) (344,250)
Noncontrolling interests (71,527) (60,018) (69,193) (20,197) (69,193) (60,018)
Unconsolidated entities 67,667
 60,046
 52,663
 57,680
 52,663
 60,046
Funds from operations attributable to common stockholders $1,582,940
 $1,165,576
 $1,392,183
 $1,577,080
 $1,392,183
 $1,165,576
            
Average common shares outstanding:      
Basic 358,275
 367,237
 373,620
Diluted 360,227
 369,001
 375,250
Average diluted shares outstanding: 403,808
 375,250
 369,001
            
Per share data:      
Per diluted share data:      
Net income attributable to common stockholders       $3.05
 $2.02
 $1.26
Basic $2.83
 $1.26
 $2.03
Diluted 2.81
 1.26
 2.02
      
Funds from operations attributable to common stockholders       $3.91

$3.71

$3.16
Basic $4.42
 $3.17
 $3.73
Diluted 4.39

3.16

3.71
 
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

The table below reflects the reconciliation of EBITDA and Adjusted EBITDA to net income, the most directly comparable U.S. GAAP measure, for the periods presented. Dollars are in thousands.
 Year Ended December 31, Year Ended December 31,
Adjusted EBITDA Reconciliation: 2016 2017 2018 2019 2018 2017
Net income $1,082,070
 $540,613
 $829,750
 $1,330,410
 $829,750
 $540,613
Interest expense 521,345
 484,622
 526,592
 555,559
 526,592
 484,622
Income tax expense (benefit) (19,128) 20,128
 8,674
 2,957
 8,674
 20,128
Depreciation and amortization 901,242
 921,720
 950,459
 1,027,073
 950,459
 921,720
EBITDA 2,485,529

1,967,083

2,315,475
 2,915,999

2,315,475

1,967,083
Loss (income) from unconsolidated entities 10,357
 83,125
 641
 (42,434) 641
 83,125
Transaction costs 42,910
 
 
Stock-based compensation expense(1)
 28,869
 19,102
 27,646
 25,047
 27,646
 19,102
Loss (gain) on extinguishment of debt, net 17,214
 37,241
 16,097
 84,155
 16,097
 37,241
Loss (gain) on real estate dispositions, net (364,046) (344,250) (415,575) (748,041) (415,575) (344,250)
Impairment of assets 37,207
 124,483
 115,579
 28,133
 115,579
 124,483
Provision for loan losses 10,215
 62,966
 
 18,690
 
 62,966
Loss (gain) on derivatives and financial instruments, net (2,448) 2,284
 (4,016) (4,399) (4,016) 2,284
Other expenses(1)
 7,721
 176,395
 111,990
 51,052
 111,990
 176,395
Additional other income (16,664) 
 (14,832) 
 (14,832) 
Adjusted EBITDA $2,256,864

$2,128,429

$2,153,005
 $2,328,202

$2,153,005

$2,128,429
            
Adjusted Interest Coverage Ratio:            
Interest expense $521,345
 $484,622
 $526,592
 $555,559
 $526,592
 $484,622
Capitalized interest 16,943
 13,489
 7,905
 15,272
 7,905
 13,489
Non-cash interest expense (1,681) (10,359) (10,860) (8,645) (10,860) (10,359)
Total interest 536,607

487,752

523,637
 562,186

523,637

487,752
Adjusted EBITDA $2,256,864

$2,128,429

$2,153,005
 $2,328,202

$2,153,005

$2,128,429
Adjusted interest coverage ratio 4.21x

4.36x

4.11x
 4.14x

4.11x

4.36x
            
Adjusted Fixed Charge Coverage Ratio:            
Total interest $536,607
 $487,752
 $523,637
 $562,186
 $523,637
 $487,752
Secured debt principal payments 74,466
 64,078
 56,288
 54,325
 56,288
 64,078
Preferred dividends 65,406
 49,410
 46,704
 
 46,704
 49,410
Total fixed charges 676,479

601,240

626,629
 616,511

626,629

601,240
Adjusted EBITDA $2,256,864

$2,128,429

$2,153,005
 $2,328,202

$2,153,005

$2,128,429
Adjusted fixed charge coverage ratio 3.34x

3.54x

3.44x
 3.78x

3.44x

3.54x
 
(1) Certain severance-related costs are included in stock-based compensation and excluded from other expenses.

55

Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Our leverage ratios include book capitalization, undepreciated book capitalization and market capitalization. Book capitalization represents the sum of net debt (defined as total long-term debt less cash and cash equivalents and any IRC section 1031 deposits), total equity and redeemable noncontrolling interests. Undepreciated book capitalization represents book capitalization adjusted for accumulated depreciation and amortization. Market capitalization represents book capitalization adjusted for the fair market value of our common stock. Our leverage ratios are defined as the proportion of net debt to total capitalization. The table below reflects the reconciliation of our leverage ratios to our balance sheets for the periods presented. Amounts are in thousands, except share price.
Item 7.Management’s Discussion and Analysis of Financial Condition and Results of Operations

   Year Ended December 31,   Year Ended December 31,
   2016 2017 2018   2019 2018 2017
Book capitalization:Book capitalization:      Book capitalization:      
Borrowings under primary unsecured credit facility $645,000
 $719,000
 $1,147,000
Unsecured credit facility and commercial paperUnsecured credit facility and commercial paper $1,587,597
 $1,147,000
 $719,000
Long-term debt obligations(1)
Long-term debt obligations(1)
 11,713,245
 11,012,936
 12,150,144
Long-term debt obligations(1)
 13,436,365
 12,150,144
 11,012,936
Cash and cash equivalents(2)
Cash and cash equivalents(2)
 (557,659) (249,620) (215,376)
Cash and cash equivalents(2)
 (284,917) (215,376) (249,620)
Total net debtTotal net debt 11,800,586

11,482,316

13,081,768
Total net debt 14,739,045
 13,081,768

11,482,316
Total equity and noncontrolling interests(3)
Total equity and noncontrolling interests(3)
 15,679,905
 15,300,646
 16,010,645
Total equity and noncontrolling interests(3)
 16,982,504
 16,010,645
 15,300,646
Book capitalizationBook capitalization $27,480,491

$26,782,962

$29,092,413
Book capitalization $31,721,549
 $29,092,413

$26,782,962
 Net debt to book capitalization ratio 42.9%
42.9%
45.0% Net debt to book capitalization ratio 46.5% 45.0%
42.9%
            
Undepreciated book capitalization:Undepreciated book capitalization:      Undepreciated book capitalization:      
Total net debtTotal net debt $11,800,586
 $11,482,316
 $13,081,768
Total net debt $14,739,045
 $13,081,768
 $11,482,316
Accumulated depreciation and amortizationAccumulated depreciation and amortization 4,093,494
 4,838,370
 5,499,958
Accumulated depreciation and amortization 5,715,459
 5,499,958
 4,838,370
Total equity and noncontrolling interests(3)
Total equity and noncontrolling interests(3)
 15,679,905
 15,300,646
 16,010,645
Total equity and noncontrolling interests(3)
 16,982,504
 16,010,645
 15,300,646
Undepreciated book capitalizationUndepreciated book capitalization $31,573,985

$31,621,332

$34,592,371
Undepreciated book capitalization $37,437,008
 $34,592,371

$31,621,332
 Net debt to undepreciated book capitalization ratio 37.4%
36.3%
37.8% Net debt to undepreciated book capitalization ratio 39.4% 37.8%
36.3%
            
Market capitalization:Market capitalization:      Market capitalization:      
Common shares outstandingCommon shares outstanding 362,602
 371,732
 383,675
Common shares outstanding 410,257
 383,675
 371,732
Period end share pricePeriod end share price $66.93
 $63.77
 $69.41
Period end share price $81.78
 $69.41
 $63.77
Common equity market capitalizationCommon equity market capitalization $24,268,952
 $23,705,350
 $26,630,882
Common equity market capitalization $33,550,817
 $26,630,882
 $23,705,350
Total net debtTotal net debt 11,800,586
 11,482,316
 13,081,768
Total net debt 14,739,045
 13,081,768
 11,482,316
Noncontrolling interests(3)
Noncontrolling interests(3)
 873,512
 877,499
 1,378,311
Noncontrolling interests(3)
 1,442,060
 1,378,311
 877,499
Preferred stockPreferred stock 1,006,250
 718,503
 718,498
Preferred stock 
 718,498
 718,503
Market capitalization:Market capitalization: $37,949,300

$36,783,668

$41,809,459
Market capitalization: $49,731,922
 $41,809,459

$36,783,668
 Net debt to market capitalization ratio 31.1%
31.2%
31.3% Net debt to market capitalization ratio 29.6% 31.3%
31.2%
 
(1) Amounts include senior unsecured notes, secured debt and capital lease obligationsliabilities related to financing leases, as reflected on our Consolidated Balance Sheet.
(2) Inclusive of IRC section 1031 deposits, if any.
(3) Includes allamounts attributable to both redeemable noncontrolling interests (redeemable and permanent)noncontrolling interests as reflected on our Consolidated Balance Sheet.

The following tables reflect the reconciliation of NOI and SSNOI to net income, the most directly comparable U.S. GAAP measure, for the years presented. Dollar amounts are in thousands.
     Year Ended December 31, Year Ended December 31,
NOI Reconciliation:NOI Reconciliation: 2016 2017 2018 2019 2018 2017
Net incomeNet income $1,082,070
 $540,613
 $829,750
 $1,330,410
 $829,750
 $540,613
Loss (gain) on real estate dispositions, netLoss (gain) on real estate dispositions, net (364,046) (344,250) (415,575) (748,041) (415,575) (344,250)
Loss (income) from unconsolidated entitiesLoss (income) from unconsolidated entities 10,357
 83,125
 641
 (42,434) 641
 83,125
Income tax expense (benefit)Income tax expense (benefit) (19,128) 20,128
 8,674
 2,957
 8,674
 20,128
Other expensesOther expenses 11,998
 177,776
 112,898
 52,612
 112,898
 177,776
Impairment of assetsImpairment of assets 37,207
 124,483
 115,579
 28,133
 115,579
 124,483
Provision for loan lossesProvision for loan losses 10,215
 62,966
 
 18,690
 
 62,966
Loss (gain) on extinguishment of debt, netLoss (gain) on extinguishment of debt, net 17,214
 37,241
 16,097
 84,155
 16,097
 37,241
Loss (gain) on derivatives and financial instruments, netLoss (gain) on derivatives and financial instruments, net (2,448) 2,284
 (4,016) (4,399) (4,016) 2,284
Transaction costs 42,910
 
 
General and administrative expensesGeneral and administrative expenses 155,241
 122,008
 126,383
 126,549
 126,383
 122,008
Depreciation and amortizationDepreciation and amortization 901,242
 921,720
 950,459
 1,027,073
 950,459
 921,720
Interest expenseInterest expense 521,345
 484,622
 526,592
 555,559
 526,592
 484,622
Consolidated net operating income (NOI)Consolidated net operating income (NOI) $2,404,177

$2,232,716

$2,267,482
 $2,431,264
 $2,267,482

$2,232,716
            
NOI by segment:NOI by segment:            
 Seniors Housing Operating $814,114
 $880,026
 $985,022
 Triple-net 1,208,860
 967,084
 900,049
 Outpatient Medical 380,264
 384,068
 380,136
 Non-segment/corporate 939
 1,538
 2,275
   Total NOI $2,404,177

$2,232,716

$2,267,482
Seniors Housing Operating $1,039,520
 $985,022
 $880,026
Triple-net 918,743
 900,049
 967,084
Outpatient Medical 469,035
 380,136
 384,068
Non-segment/corporate 3,966
 2,275
 1,538
Total NOI $2,431,264
 $2,267,482

$2,232,716

56

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following is a reconciliation of our consolidated NOI to same store NOI for the periods presented for the respective pools. Dollar amounts are in thousands.
 Year Ended December 31, 2018 and 2019 Same Store Pool 2017 and 2018 Same Store Pool
SSNOI Reconciliation: 2016 2017 2018
SSNOI Reconciliations: 2019 2018
2018 2017
NOI:        
      
Seniors Housing Operating $814,114
 $880,026
 $985,022
 $1,039,520
 $985,022
 $985,022
 $880,026
Triple-net 1,208,860
 967,084
 900,049
 918,743
 900,049
 900,049
 967,084
Outpatient Medical 380,264
 384,068
 380,136
 469,035
 380,136
 380,136
 384,068
Total 2,403,238

2,231,178

2,265,207
 2,427,298
 2,265,207
 2,265,207
 2,231,178
Adjustments:              
Seniors Housing Operating:              
Non-cash NOI on same store properties 1,990
 1,242
 836
Non-cash SSNOI on same store properties (1,720) (1,344) (1,176) (1,542)
NOI attributable to non same store properties (77,334) (132,604) (251,803) (337,933) (282,185) (167,430) (54,069)
Subtotal (75,344)
(131,362)
(250,967) (339,653) (283,529) (168,606) (55,611)
Triple-net:              
Non-cash NOI on same store properties (28,538) (23,764) (17,093)
Non-cash SSNOI on same store properties 28,033
 25,981
 17,057
 23,970
NOI attributable to non same store properties (709,606) (465,820) (401,878) (430,436) (417,133) (401,098) (482,797)
Subtotal (738,144)
(489,584)
(418,971) (402,403) (391,152) (384,041) (458,827)
Outpatient Medical:        
  
   

Non-cash NOI on same store properties (8,190) (7,694) (8,226)
Non-cash SSNOI on same store properties 7,067
 7,224
 9,551
 9,576
NOI attributable to non same store properties (53,220) (58,076) (35,619) (164,490) (79,221) (46,628) (56,654)
Subtotal (61,410)
(65,770)
(43,845) (157,423) (71,997) (37,077) (47,078)
Total (874,898) (686,716) (713,783)
SSNOI by segment:      
SSNOI:  
  
   

Seniors Housing Operating 738,770
 748,664
 734,055
 699,867
 701,493
 816,416

824,415
Triple-net 470,716
 477,500
 481,078
 516,340
 508,897
 516,008
 508,257
Outpatient Medical 318,854
 318,298
 336,291
 311,612
 308,139
 343,059
 336,990
Total $1,528,340

$1,544,462

$1,551,424
 $1,527,819
 $1,518,529
 $1,675,483
 $1,669,662
SSNOI Property Reconciliation:      
Total properties 1,510
    
Acquisitions (378)    
Developments (32)    
Disposals/Held-for-sale (55)    
Segment transitions (113)    
Other(1)
 (8)    
Same store properties 924
    
(1) Includes seven land parcels and one loan.

  2018 and 2019 Same Store Pool 2017 and 2018 Same Store Pool
SSNOI Property Reconciliations: Seniors Housing Operating Triple-net Outpatient Medical Total Seniors Housing Operating Triple-net Outpatient Medical Total
Total properties 533
 658
 387
 1,578
 501
 726
 281
 1,508
Recent acquisitions/development
    conversions
 (77) (237) (138) (452) (26) (246) (44) (316)
Developments (11) (7) (4) (22) (4) (9) (4) (17)
Held for sale (18) (11) (42) (71) (13) (40) (2) (55)
Segment transitions (86) (18) 
 (104) (68) (44) 
 (112)
Loans, land parcels and subleases(1)
 
 (17) (6) (23) 
 (21) (7) (28)
Same store properties 341
 368
 197
 906
 390
 366
 224
 980
                 
(1) Includes eight land parcels, eight subleases and seven loans for the 2018 and 2019 Same Store Pool and nine land parcels, eight subleases and 11 loans for the 2017 and 2018 Same Store Pool.
Critical Accounting Policies
Our consolidated financial statements are prepared in accordance with U.S. GAAP, which requires us to make estimates and assumptions. Management considers accounting estimates or assumptions critical if:
the nature of the estimates or assumptions is material due to the levels of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change; and
the impact of the estimates and assumptions on financial condition or operating performance is material.
Management has discussed the development and selection of its critical accounting policies with the Audit Committee of the Board of Directors and the Audit Committee has reviewed the disclosure presented below relating to them. Management believes the current assumptions and other considerations used to estimate amounts reflected in our consolidated financial statements are appropriate and are not reasonably likely to change in the future. However, since these estimates require assumptions to be made that were uncertain at the time the estimate was made, they bear the risk of change. If actual experience differs from the assumptions and other considerations used in estimating amounts reflected in our consolidated financial statements, the resulting changes could have a material adverse effect on our consolidated results of operations, liquidity and/or financial condition. Please refer to Note 2 to our consolidated financial statements for further information on significant accounting policies that impact us and for the impact of new accounting standards, including accounting pronouncements that were issued but not yet adopted by us.
The following table presents information about our critical accounting policies, as well as the material assumptions used to develop each estimate:

57

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Nature of Critical
Accounting Estimate
Assumptions/Approach
Used
Impairment of Real Property

Assessing impairment of real property involves subjectivity in determining if indicators of impairment are present and in estimating the future undiscounted cash flows or estimated fair value of an asset. In estimating the undiscounted cash flows or fair value, key assumptions that would be made are the estimation of future rental revenues, operating expenses, capitalization rates and the ability and intent to hold the respective asset, all of which are affected by our expectations of future market or economic conditions. These estimates can have a significant impact on the undiscounted cash flows or estimated fair value of an asset.

Quarterly, we evaluate our real estate investments on a property by property basis to determine if there are indicators of impairment. These indicators may include expected operational performance, the tenant's ability to make rent payments, a decision to dispose of an asset before the end of its estimated useful life and changes in the market that may permanently reduce the value of the property. If indicators of impairment exist, an undiscounted cash flow analysis will be prepared and the results of such analysis will be compared to the current net book value to determine if an impairment charge is necessary. This analysis requires us to use judgment in determining whether indicators of impairment exist and to estimate the expected future undiscounted cash flows or estimated fair values of the property. Properties that meet the held for sale criteria are recorded at the lesser of the fair value less costs to sell or carrying value.
Real Estate Acquisitions

We believe that substantially all of our real estate acquisitions are considered asset acquisitions for which we record the related real estate acquired (tangible assets and identifiable intangible assets and liabilities) at cost on a relative fair value basis. Liabilities assumed and any associated noncontrolling interests are reflected at fair value. Tangible assets consist primarily of land, building and improvements. Identifiable intangible assets and liabilities primarily consist of the above or below market component of in-place leases and the value of in-place leases. The total amount of other intangible assets acquired is further allocated to in-place lease values and customer relationship values based on management's evaluation of the specific characteristics of each tenant's lease and our overall relationship with respect to that tenant.
 

The allocation of the purchase price to the related real estate acquired (tangible assets and intangible assets and liabilities) involves subjectivity as such allocations are based on a relative fair value analysis. In determining the fair values that drive such analysis, we estimate the fair value of each component of the real estate acquired which generally includes land, buildings and improvements, the above or below market component of in-place leases and the value of in-place leases. Significant assumptions used to determine such fair values include comparable land sales, capitalization rates, discount rates, market rental rates and property operating data, all of which can be impacted by expectations about future market or economic conditions. Our estimates of the values of these components affect the amount of depreciation and amortization we record over the estimated useful life of the property or the term of the lease.
Principles of Consolidation

The consolidated financial statements include our accounts, the accounts of our wholly-owned subsidiaries, and the accounts of joint venture entities in which we own a majority voting interest with the ability to control operations and where no substantive participating rights or substantive kick out rights have been granted to the noncontrolling interests. In addition, we consolidate those entities deemed to be variable interest entities (“VIEs”) in which we are determined to be the primary beneficiary. All material intercompany transactions and balances have been eliminated in consolidation.
 

We make judgments about which entities are VIEs based on an assessment of whether (i) the equity investors as a group, if any, do not have a controlling financial interest, or (ii) the equity investment at risk is insufficient to finance that entity’s activities without additional subordinated financial support. We make judgments with respect to our level of influence or control of an entity and whether we are (or are not) the primary beneficiary of a VIE. Consideration of various factors includes, but is not limited to, our ability to direct the activities that most significantly impact the entity's economic performance, our form of ownership interest, our representation on the entity's governing body, the size and seniority of our investment, our ability and the rights of other investors to participate in policy making decisions, replace the manager and/or liquidate the entity, if applicable. Our ability to correctly assess our influence or control over an entity at inception of our involvement or on a continuous basis when determining the primary beneficiary of a VIE affects the presentation of these entities in our consolidated financial statements. If we perform a primary beneficiary analysis at a date other than at inception of the VIE, our assumptions may be different and may result in the identification of a different primary beneficiary.
Real Estate Acquisitions

On January 1, 2017, we adopted Accounting Standards Update 2017-01, Clarifying the Definition of a Business (“ASU 2017-01”) which narrows the Financial Accounting Standards Board’s (“FASB”) definition of a business and provides a framework that gives entities a basis for making reasonable judgments about whether a transaction involves an asset or a business. ASU 2017-01 states that when substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the acquired asset is not a business. If this initial test is not met, an acquired asset cannot be considered a business unless it includes an input and a substantive process that together significantly contribute to the ability to create output. The primary differences between business combinations and asset acquisitions include recording the asset acquisition at relative fair value, capitalizing transaction costs, and the elimination of the measurement period in which to record adjustments to the transaction. We believe that substantially all our real estate acquisitions are considered asset acquisitions. We are applying ASU 2017-01 prospectively for acquisitions after January 1, 2017. Regardless of whether an acquisition is considered an asset acquisition or a business combination, the cost of real property acquired is allocated to net tangible and identifiable intangible assets based on their respective fair values. Tangible assets primarily consist of land, buildings, and improvements. The remaining purchase price is allocated among identifiable intangible assets primarily consisting of the above or below market component of in-place leases and the value of in-place leases. The total amount of other intangible assets acquired is further allocated to in-place lease values and customer relationship values based on management’s evaluation of the specific characteristics of each tenant’s lease and our overall relationship with that respective tenant. Real property developed by us is recorded at cost, including the capitalization of construction period interest.


We make estimates as part of our allocation of the purchase price of acquisitions to the various components of the acquisition based upon the relative fair value of each component. The most significant components of our allocations are typically the allocation of fair value to the buildings as-if-vacant, land, and in-place leases. In the case of the fair value of buildings and the allocation of value to land and other intangibles, our estimates of the values of these components will affect the amount of depreciation and amortization we record over the estimated useful life of the property acquired or the remaining lease term. In the case of the value of in-place leases, we make our best estimates based on our evaluation of the specific characteristics of each tenant's lease. Factors considered include estimates of carrying costs during hypothetical expected lease-up periods, market conditions, and costs to execute similar leases. Our assumptions affect the amount of future revenue that we will recognize over the remaining lease term for the acquired in-place leases.

We compute depreciation and amortization on our properties using the straight-line method based on their estimated useful lives which range from 15 to 40 years for buildings and five to 15 years for improvements. Amortization periods for intangibles are based on the remaining life of the lease or lease-up period.


58

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Nature of Critical
Accounting Estimate
Assumptions/Approach
Used
Allowance for Loan Losses

The allowance for loan losses is maintained at a level believed adequate to absorb potential losses in our loans receivable. The determination of the allowance is based on a quarterly evaluation of all outstanding loans. If this evaluation indicates that there is a greater risk of loan charge-offs, additional allowances or placement on non-accrual status may be required. A loan is impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due as scheduled according to the contractual terms of the original loan agreement or if it has been modified in a troubled debt restructuring. Consistent with this definition, all loans on non-accrual are deemed impaired. To the extent circumstances improve and the risk of collectability is diminished, we will return these loans to income accrual status.
 

The determination of the allowance is based on a quarterly evaluation of all outstanding loans, including general economic conditions and estimated collectability of loan payments. We evaluate the collectability of our loans receivable based on a combination of factors, including, but not limited to, delinquency status, historical loan charge-offs, financial strength of the borrower and guarantors, and value of the underlying collateral. Any loans with collectability concerns are subjected to a projected payoff valuation. The valuation is based on the expected future cash flows and/or the estimated fair value of the underlying collateral. The valuation is compared to the outstanding balance to determine the reserve needed for each loan. We may base our valuation on a loan’s observable market price, if any, or the fair value of collateral, net of sales costs, if the repayment of the loan is expected to be provided solely by the collateral.
Revenue Recognition

Revenue is recognized in a manner to depict the transfer of goods or services to a customer at an amount that reflects the consideration expected to be received in exchange for those goods or services. Interest income on loans is recognized as earned based upon the principal amount outstanding subject to an evaluation of collectability risk. Substantially all of our operating leases contain fixed and/or contingent escalating rent structures. Leases with fixed annual rental escalators are generally recognized on a straight-line basis over the initial lease period, subject to a collectability assessment. Rental income related to leases with contingent rental escalators is generally recorded based on the contractual cash rental payments due for the period. We recognize resident fees and services, other than move-in fees, monthly as services are provided. Lease agreements with residents generally have a term of one year and are cancelable by the resident with 30 days’ notice.

We evaluate the collectability of our revenues and related receivables on an on-going basis. We evaluate collectability based on assumptions and other considerations including, but not limited to, the certainty of payment, payment history, the financial strength of the investment’s underlying operations as measured by cash flows and payment coverages, the value of the underlying collateral and guaranties, and current economic conditions.

If our evaluation indicates that collectability is not reasonably assured, we may place an investment on non-accrual or reserve against all or a portion of current income as an offset to revenue.
Impairment of Long-Lived Assets

An impairment charge must be recognized when the carrying value of a long-lived asset is not recoverable. The carrying value is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. If it is determined that a permanent impairment of a long-lived asset has occurred, the carrying value of the asset is reduced to its fair value and an impairment charge is recognized for the difference between the carrying value and the fair value.

The net book value of long-lived assets is reviewed quarterly on a property by property basis to determine if there are indicators of impairment. These indicators may include anticipated operating losses at the property level, the tenant’s inability to make rent payments, a decision to dispose of an asset before the end of its estimated useful life, and changes in the market that may permanently reduce the value of the property. If indicators of impairment exist, then the undiscounted future cash flows from the most likely uses of the property are compared to the current net book value. This analysis requires us to determine if indicators of impairment exist and to estimate the most likely stream of cash flows to be generated from the property during the period the property is expected to be held. Properties that meet the held-for-sale criteria are recorded at the lesser of fair value less costs to sell or carrying value.


59


Item 7A.Quantitative and Qualitative Disclosures About Market Risk
We are exposed to various market risks, including the potential loss arising from adverse changes in interest rates and foreign currency exchange rates. We seek to mitigate the underlying foreign currency exposures with gains and losses on derivative contracts hedging these exposures. We seek to mitigate the effects of fluctuations in interest rates by matching the terms of new investments with new long-term fixed rate borrowings to the extent possible. We may or may not elect to use financial derivative instruments to hedge interest rate exposure. These decisions are principally based on our policy to match our variable rate investments with comparable borrowings, but are also based on the general trend in interest rates at the applicable dates and our perception of the future volatility of interest rates. This section is presented to provide a discussion of the risks associated with potential fluctuations in interest rates and foreign currency exchange rates. For more information, see Notes 1112 and 1617 to our consolidated financial statements.
We historically borrow on our primary unsecured revolving credit facility and commercial paper program to acquire, construct or make loans relating to health care and seniors housing properties. Then, as market conditions dictate, we will issue equity or long-term fixed rate debt to repay the borrowings under our primary unsecured revolving credit facility and new commercial paper program. We are subject to risks associated with debt financing, including the risk that existing indebtedness may not be refinanced or that the terms of refinancing may not be as favorable as the terms of current indebtedness. The majority of our borrowings were completed under indentures or contractual agreements that limit the amount of indebtedness we may incur. Accordingly, in the event that we are unable to raise additional equity or borrow money because of these limitations, our ability to acquire additional properties may be limited.
A change in interest rates will not affect the interest expense associated with our fixed rate debt. Interest rate changes, however, will affect the fair value of our fixed rate debt. Changes in the interest rate environment upon maturity of this fixed rate debt could have an effect on our future cash flows and earnings, depending on whether the debt is replaced with other fixed rate debt, variable rate debt or equity or repaid by the sale of assets. To illustrate the impact of changes in the interest rate markets, we performed a sensitivity analysis on our fixed rate debt instruments whereby we modeled the change in net present values arising from a hypothetical 1% increase in interest rates to determine the instruments’ change in fair value. The following table summarizes the analysis performed as of the dates indicated (in thousands):
 December 31, 2018 December 31, 2017 December 31, 2019 December 31, 2018
 Principal balance Fair value change Principal balance Fair value change Principal balance Change in fair value Principal balance Change in fair value
Senior unsecured notes $9,009,159
 $(548,558) $7,710,219
 $(500,951) $9,724,691
 $(751,848) $9,009,159
 $(548,558)
Secured debt 1,639,983
 (59,522) 1,749,958
 (63,492) 1,814,229
 (69,756) 1,639,983
 (59,522)
Totals $10,649,142

$(608,080)
$9,460,177

$(564,443) $11,538,920

$(821,604)
$10,649,142

$(608,080)
 
Our variable rate debt, including our primary unsecured revolving credit facility and commercial paper program, is reflected at fair value. At December 31, 2018,2019, we had $2,683,553,000$3,470,584,000 outstanding related to our variable rate debt. Assuming no changes in outstanding balances, a 1% increase in interest rates would result in increased annual interest expense of $26,836,000.$34,706,000. At December 31, 2017,2018, we had $2,294,678,000$2,683,553,000 outstanding under our variable rate debt. Assuming no changes in outstanding balances, a 1% increase in interest rates would have resulted in increased annual interest expense of $22,947,000.$26,836,000.
We are subject to currency fluctuations that may, from time to time, affect our financial condition and results of operations. Increases or decreases in the value of the Canadian Dollar or British Pounds Sterling relative to the U.S. Dollar impact the amount of net income we earn from our investments in Canada and the United Kingdom. Based solely on our results for the year ended December 31, 2018,2019, including the impact of existing hedging arrangements, if these exchange rates were to increase or decrease by 10%, our net income from these investments would increase or decrease, as applicable, by less than $10,000,000.$13,000,000. We will continue to mitigate these underlying foreign currency exposures with non-U.S. denominated borrowings and gains and losses on derivative contracts. If we increase our international presence through investments in, or acquisitions or development of, seniors housing and health care properties outside the U.S., we may also decide to transact additional business or borrow funds in currencies other than U.S. Dollars, Canadian Dollars or British Pounds Sterling. To illustrate the impact of changes in foreign currency markets, we performed a sensitivity analysis on our derivative portfolio whereby we modeled the change in net present values arising from a hypothetical 1% increase in foreign currency exchange rates to determine the instruments’ change in fair value.  The following table summarizes the results of the analysis performed, excluding cross currency hedge activity (dollars in thousands):
 December 31, 2018 December 31, 2017 December 31, 2019 December 31, 2018
 Carrying value Fair value change Carrying value Fair value change Carrying value Change in fair value Carrying value Change in fair value
Foreign currency exchange contracts $23,620
 $16,163
 $23,238
 $12,929
 $26,767
 $12,136
 $23,620
 $16,163
Debt designated as hedges 1,559,159
 15,592
 1,620,273
 16,203
 1,586,116
 15,861
 1,559,159
 15,592
Totals $1,582,779

$31,755

$1,643,511

$29,132
 $1,612,883

$27,997

$1,582,779

$31,755

60


Item 8.  Financial Statements and Supplementary Data
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 
TheTo the Shareholders and the Board of Directors of Welltower Inc. 
Opinion on the Financial Statements 
We have audited the accompanying consolidated balance sheets of Welltower Inc. and subsidiaries (the Company) as of December 31, 20182019 and 2017,2018, the related consolidated statements of comprehensive income, equity and cash flows for each of the three years in the period ended December 31, 2018,2019, and the related notes and financial statement schedules listed in the Index at Item 15(a) (collectively referred to as the “consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at December 31, 20182019 and 20172018 and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2018,2019, in conformity with U.S. generally accepted accounting principles. 
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company’s internal control over financial reporting as of December 31, 2018,2019, based on criteria established in Internal Control – Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) and our report dated February 25, 201914, 2020 expressed an unqualified opinion thereon.
Adoption of New Accounting Standard
As discussed in Note 2 to the consolidated financial statements, the Company changed its method of accounting for leases effective January 1, 2019.
Basis for Opinion 
These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. 
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
Critical Audit Matters
The critical audit matters communicated below are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions on the critical audit matters or on the accounts or disclosures to which they relate.
Impairment of Real Property
Description of the MatterAt December 31, 2019, the Company’s net real property owned was approximately $30.3 billion. As discussed in Note 2 to the consolidated financial statements, the Company reviews its real property quarterly on a property-by-property basis to determine if facts and circumstances suggest that the real property may be impaired. If the undiscounted cash flows indicate that the real property will not be recoverable, the carrying value of the real property is reduced to its estimated fair value and an impairment charge is recognized for the difference between the carrying value and the fair value.
Auditing the Company’s process to evaluate real property owned for impairment was complex due to the high degree of subjectivity in determining whether indicators of impairment were present for certain properties, and in determining the future undiscounted cash flows and estimated fair values, if necessary, of properties where indicators of impairment were determined to be present. In particular, the undiscounted cash flows and fair value estimates were sensitive to significant assumptions, including future rental revenues and operating expenses, capitalization rates, and anticipated hold period, which are affected by expectations about future market or economic conditions.

How We Addressed the
Matter in Our Audit

We obtained an understanding, evaluated the design, and tested the operating effectiveness of controls over the Company’s process to evaluate real property owned for impairment. This included testing controls over the Company’s review of impairment indicators by property and management's review and approval of the significant assumptions described above.
To test the Company's evaluation of real property for impairment, we performed audit procedures that included, among others, assessing the methodologies used by management, evaluating the significant assumptions discussed above and testing the completeness and accuracy of the underlying data used by the Company in its analyses. We compared the significant assumptions used by management to current industry and economic trends and evaluated whether changes to the Company’s business and other relevant factors would affect the significant assumptions. In addition, we assessed the historical accuracy of the Company’s estimates and performed sensitivity analyses of the significant assumptions to evaluate the changes in the undiscounted future cash flows and estimated fair values of the property that would result from changes in the significant assumptions.

Real Estate Acquisitions
Description of the MatterDuring 2019, the Company completed approximately $4.0 billion of real estate acquisitions. As disclosed in Note 3 of the consolidated financial statements, the total purchase price for all properties acquired has been allocated to the related real estate acquired (tangible assets and identifiable intangible assets and liabilities) based upon their relative fair values.
Auditing the fair values allocated by management to the real estate acquired was complex because the fair value estimates were sensitive to significant assumptions, including comparable land sales, capitalization rates, discount rates, market rental rates and property operating data, which can be impacted by expectations about future market or economic conditions.
How We Addressed the
Matter in Our Audit
We obtained an understanding, evaluated the design, and tested the operating effectiveness of controls over the Company’s process to account for real estate acquisitions, including controls over the Company’s review of the significant assumptions discussed above.
To test the fair values allocated to the real estate acquired, we performed audit procedures that included, among others, assessing the methodologies used by management and evaluating the significant assumptions used by the Company discussed above. We compared certain of management’s assumptions to external market data for similar properties and tested the clerical accuracy of the valuation models. We involved our valuation specialist in our evaluation of the significant assumptions used by the Company and the review of the valuation models.

/s/  Ernst & Young LLP

We have served as the Company’s auditor since 1970.
Toledo, Ohio
February 25, 201914, 2020

62


CONSOLIDATED BALANCE SHEETS
WELLTOWER INC. AND SUBSIDIARIES
(in thousands)
 December 31,
2018
 December 31,
2017
 December 31,
2019
 December 31,
2018
Assets    
Real estate investments:        
Real property owned:        
Land and land improvements $3,205,091
 $2,734,467
 $3,486,620
 $3,205,091
Buildings and improvements 28,019,502
 25,373,117
 29,163,305
 28,019,502
Acquired lease intangibles 1,581,159
 1,502,471
 1,617,051
 1,581,159
Real property held for sale, net of accumulated depreciation 590,271
 734,147
 1,253,008
 590,271
Construction in progress 194,365
 237,746
 507,931
 194,365
Gross real property owned 33,590,388
 30,581,948
 36,027,915
 33,590,388
Less accumulated depreciation and amortization (5,499,958) (4,838,370) (5,715,459) (5,499,958)
Net real property owned 28,090,430
 25,743,578
 30,312,456
 28,090,430
Real estate loans receivable 398,711
 495,871
Less allowance for losses on loans receivable (68,372) (68,372)
Net real estate loans receivable 330,339
 427,499
Right of use assets, net 536,433
 
Real estate loans receivable, net of allowance 270,382
 330,339
Net real estate investments 28,420,769
 26,171,077
 31,119,271
 28,420,769
Other assets:        
Investments in unconsolidated entities 482,914
 445,585
 583,423
 482,914
Goodwill 68,321
 68,321
 68,321
 68,321
Cash and cash equivalents 215,376
 243,777
 284,917
 215,376
Restricted cash 100,753
 65,526
 100,849
 100,753
Straight-line receivable 367,093
 389,168
 466,222
 367,093
Receivables and other assets 686,846
 560,991
 757,748
 686,846
Total other assets 1,921,303
 1,773,368
 2,261,480
 1,921,303
Total assets $30,342,072
 $27,944,445
 $33,380,751
 $30,342,072
        
Liabilities and equity        
Liabilities:        
Borrowings under primary unsecured credit facility $1,147,000
 $719,000
Unsecured credit facility and commercial paper $1,587,597
 $1,147,000
Senior unsecured notes 9,603,299
 8,331,722
 10,336,513
 9,603,299
Secured debt 2,476,177
 2,608,976
 2,990,962
 2,476,177
Capital lease obligations 70,668
 72,238
Lease liabilities 473,693
 70,668
Accrued expenses and other liabilities 1,034,283
 911,863
 1,009,482
 1,034,283
Total liabilities 14,331,427
 12,643,799
 16,398,247
 14,331,427
        
Redeemable noncontrolling interests 424,046
 375,194
 475,877
 424,046
        
Equity:        
Preferred stock 718,498
 718,503
 
 718,498
Common stock 384,465
 372,449
 411,005
 384,465
Capital in excess of par value 18,424,368
 17,662,681
 20,190,107
 18,424,368
Treasury stock (68,499) (64,559) (78,955) (68,499)
Cumulative net income 6,121,534
 5,316,580
 7,353,966
 6,121,534
Cumulative dividends (10,818,557) (9,471,712) (12,223,534) (10,818,557)
Accumulated other comprehensive income (loss) (129,769) (111,465) (112,157) (129,769)
Other equity 294
 670
 12
 294
Total Welltower Inc. stockholders’ equity 14,632,334
 14,423,147
 15,540,444
 14,632,334
Noncontrolling interests 954,265
 502,305
 966,183
 954,265
Total equity 15,586,599
 14,925,452
 16,506,627
 15,586,599
Total liabilities and equity $30,342,072
 $27,944,445
 $33,380,751
 $30,342,072
 
See accompanying notes

63


CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
WELLTOWER INC. AND SUBSIDIARIES
(In thousands, except per share data)
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Revenues:            
Resident fees and services $3,234,852
 $2,779,423
 $2,504,731
 $3,448,175
 $3,234,852
 $2,779,423
Rental income 1,380,422
 1,445,871
 1,648,815
 1,588,400
 1,380,422
 1,445,871
Interest income 55,814
 73,811
 97,963
 63,830
 55,814
 73,811
Other income 29,411
 17,536
 29,651
 20,901
 29,411
 17,536
Total revenues 4,700,499
 4,316,641
 4,281,160
 5,121,306
 4,700,499
 4,316,641
Expenses:            
Property operating expenses 2,433,017
 2,083,925
 1,876,983
 2,690,042
 2,433,017
 2,083,925
Depreciation and amortization 950,459
 921,720
 901,242
 1,027,073
 950,459
 921,720
Interest expense 526,592
 484,622
 521,345
 555,559
 526,592
 484,622
General and administrative expenses 126,383
 122,008
 155,241
 126,549
 126,383
 122,008
Transaction costs 
 
 42,910
Loss (gain) on derivatives and financial instruments, net (4,016) 2,284
 (2,448) (4,399) (4,016) 2,284
Loss (gain) on extinguishment of debt, net 16,097
 37,241
 17,214
 84,155
 16,097
 37,241
Provision for loan losses 
 62,966
 10,215
 18,690
 
 62,966
Impairment of assets 115,579
 124,483
 37,207
 28,133
 115,579
 124,483
Other expenses 112,898
 177,776
 11,998
 52,612
 112,898
 177,776
Total expenses 4,277,009
 4,017,025
 3,571,907
 4,578,414
 4,277,009
 4,017,025
            
Income from continuing operations before income taxes and other items 423,490
 299,616
 709,253
 542,892
 423,490
 299,616
Income tax (expense) benefit (8,674) (20,128) 19,128
 (2,957) (8,674) (20,128)
Income (loss) from unconsolidated entities (641) (83,125) (10,357) 42,434
 (641) (83,125)
Gain (loss) on real estate dispositions, net 415,575
 344,250
 364,046
 748,041
 415,575
 344,250
Income from continuing operations 829,750
 540,613
 1,082,070
Income (loss) from continuing operations 1,330,410
 829,750
 540,613
            
Net income 829,750
 540,613
 1,082,070
 1,330,410
 829,750
 540,613
Less: Preferred stock dividends 46,704
 49,410
 65,406
 
 46,704
 49,410
Less: Preferred stock redemption charge 
 9,769
 
 
 
 9,769
Less: Net income (loss) attributable to noncontrolling interests(1)
 24,796
 17,839
 4,267
 97,978
 24,796
 17,839
Net income attributable to common stockholders $758,250
 $463,595
 $1,012,397
Net income (loss) attributable to common stockholders $1,232,432
 $758,250
 $463,595
            
Average number of common shares outstanding:            
Basic 373,620
 367,237
 358,275
 401,845
 373,620
 367,237
Diluted 375,250
 369,001
 360,227
 403,808
 375,250
 369,001
            
Earnings per share:            
Basic:            
Income from continuing operations $2.22
 $1.47
 $3.02
Net income attributable to common stockholders $2.03
 $1.26
 $2.83
Income (loss) from continuing operations $3.31
 $2.22
 $1.47
Net income (loss) attributable to common stockholders $3.07
 $2.03
 $1.26
            
Diluted:            
Income from continuing operations $2.21
 $1.47
 $3.00
Net income attributable to common stockholders $2.02
 $1.26
 $2.81
Income (loss) from continuing operations $3.29
 $2.21
 $1.47
Net income (loss) attributable to common stockholders $3.05
 $2.02
 $1.26
(1) Includes amounts attributable to redeemable noncontrolling interests
See accompanying notes

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (CONTINUED)
WELLTOWER INC. AND SUBSIDIARIES
(In thousands)
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Net income $829,750
 $540,613
 $1,082,070
 $1,330,410
 $829,750
 $540,613
            
Other comprehensive income (loss):            
Unrecognized gain (loss) on equity investments 
 
 5,120
Reclassification adjustment for write down of equity investment 
 (5,120) 
 
 
 (5,120)
Unrecognized gain (loss) on cash flow hedges 
 2
 1,414
Unrecognized actuarial gain (loss) 344
 269
 190
 540
 344
 269
Foreign currency translation gain (loss) (41,632) 85,263
 (85,557) 161,915
 (253,022) 337,433
Derivative and financial instruments designated as hedges gain (loss) (131,120) 211,390
 (252,168)
Total other comprehensive income (loss) (41,288) 80,414
 (78,833) 31,335
 (41,288) 80,414
            
Total comprehensive income 788,462
 621,027
 1,003,237
Total comprehensive income (loss) 1,361,745
 788,462
 621,027
Less: Total comprehensive income (loss) attributable to
noncontrolling interests(1)
 1,812
 40,187
 6,722
 111,701
 1,812
 40,187
Total comprehensive income attributable to stockholders $786,650
 $580,840
 $996,515
Total comprehensive income (loss) attributable to common stockholders $1,250,044
 $786,650
 $580,840
(1) Includes amounts attributable to redeemable noncontrolling interests.
See accompanying notes

65


CONSOLIDATED STATEMENTS OF EQUITY
WELLTOWER INC. AND SUBSIDIARIES
(in thousands)             Accumulated                   Accumulated      
     Capital in       Other           Capital in       Other      
 Preferred Common Excess of Treasury Cumulative Cumulative Comprehensive Other Noncontrolling   Preferred Common Excess of Treasury Cumulative Cumulative Comprehensive Other Noncontrolling  
 Stock Stock Par Value Stock Net Income Dividends Income (Loss) Equity Interests Total Stock Stock Par Value Stock Net Income Dividends Income (Loss) Equity Interests Total
Balances at December 31, 2015 $1,006,250
 $354,811
 $16,478,300
 $(44,372) $3,725,772
 $(6,846,056) $(88,243) $4,098
 $585,325
 $15,175,885
Comprehensive income:                    
Net income         1,077,803
       9,277
 1,087,080
Other comprehensive income (loss)             (81,288)   2,455
 (78,833)
Total comprehensive income                   1,008,247
Net change in noncontrolling interests     (51,478)           (121,978) (173,456)
Amounts related to issuance of common stock                   
from dividend reinvestment and stock                   
incentive plans, net of forfeitures   839
 46,938
 (10,369)       (1,305)   36,103
Net proceeds from issuance of common stock   7,421
 525,931
             533,352
Option compensation expense               266
   266
Dividends paid:                   
Common stock dividends           (1,233,519)       (1,233,519)
Preferred stock dividends           (65,406)       (65,406)
Balances at December 31, 2016 1,006,250
 363,071
 16,999,691
 (54,741) 4,803,575
 (8,144,981) (169,531) 3,059
 475,079
 15,281,472
 $1,006,250
 $363,071
 $16,999,691
 $(54,741) $4,803,575
 $(8,144,981) $(169,531) $3,059
 $475,079
 $15,281,472
Comprehensive income:                                        
Net income         522,774
       20,819
 543,593
Net income (loss)         522,774
       20,819
 543,593
Other comprehensive income (loss)             58,066
   22,348
 80,414
             58,066
   22,348
 80,414
Total comprehensive income                   624,007
                   624,007
Net change in noncontrolling interests     13,473
           (15,941) (2,468)     13,473
           (15,941) (2,468)
Amounts related to issuance of common stock                                       
from dividend reinvestment and stock                                       
incentive plans, net of forfeitures   402
 21,494
 (9,807)       (2,399)   9,690
   402
 21,494
 (9,807)       (2,399)   9,690
Net proceeds from issuance of common stock   8,881
 612,555
             621,436
   8,881
 612,555
             621,436
Redemption of equity membership units   91
 5,465
 (11)           5,545
   91
 5,465
 (11)           5,545
Redemption of preferred stock (287,500)   9,760
   (9,769)         (287,509) (287,500)   9,760
   (9,769)         (287,509)
Conversion of preferred stock (247) 4
 243
             
 (247) 4
 243
             
Option compensation expense               10
   10
               10
   10
Dividends paid:                                       
Common stock dividends           (1,277,321)       (1,277,321)           (1,277,321)       (1,277,321)
Preferred stock dividends           (49,410)       (49,410)           (49,410)       (49,410)
Balances at December 31, 2017 718,503
 372,449
 17,662,681
 (64,559) 5,316,580
 (9,471,712) (111,465) 670
 502,305
 14,925,452
 718,503
 372,449
 17,662,681
 (64,559) 5,316,580
 (9,471,712) (111,465) 670
 502,305
 14,925,452
Comprehensive income:                                        
Net income         804,954
       25,065
 830,019
Net income (loss)         804,954
       25,065
 830,019
Other comprehensive income (loss)             (18,304)   (22,984) (41,288)             (18,304)   (22,984) (41,288)
Total comprehensive income                   788,731
                   788,731
Net change in noncontrolling interests     (43,101)           449,879
 406,778
     (43,101)           449,879
 406,778
Amounts related to issuance of common stock                                        
from dividend reinvestment and stock                                        
incentive plans, net of forfeitures   188
 28,277
 (3,940)       (376)   24,149
   188
 28,277
 (3,940)       (376)   24,149
Net proceeds from issuance of common stock   11,828
 776,506
             788,334
   11,828
 776,506
             788,334
Conversion of preferred stock (5)   5
             
 (5)   5
             
Dividends paid:                                        
Common stock dividends           (1,300,141)       (1,300,141)           (1,300,141)       (1,300,141)
Preferred stock dividends           (46,704)       (46,704)           (46,704)       (46,704)
Balances at December 31, 2018 $718,498
 $384,465
 $18,424,368
 $(68,499) $6,121,534
 $(10,818,557) $(129,769) $294
 $954,265
 $15,586,599
 718,498
 384,465
 18,424,368
 (68,499) 6,121,534
 (10,818,557) (129,769) 294
 954,265
 15,586,599
Comprehensive income:                    
Net income (loss)         1,232,432
       67,365
 1,299,797
Other comprehensive income (loss)             17,612
   13,440
 31,052
Total comprehensive income                   1,330,849
Net change in noncontrolling interests     3,583
           (68,887) (65,304)
Amounts related to issuance of common stock                    
from dividend reinvestment and stock                    
incentive plans, net of forfeitures   162
 25,445
 (10,456)       (282)   14,869
Net proceeds from issuance of common stock   13,666
 1,030,925
             1,044,591
Conversion of preferred stock (718,498) 12,712
 705,786
             
Dividends paid:                    
Common stock dividends           (1,404,977)       (1,404,977)
Balances at December 31, 2019 $
 $411,005
 $20,190,107
 $(78,955) $7,353,966
 $(12,223,534) $(112,157) $12
 $966,183
 $16,506,627
 
See accompanying notes

66


CONSOLIDATED STATEMENTS OF CASH FLOWS
WELLTOWER INC. AND SUBSIDIARIES
(in thousands)
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Operating activities:            
Net income $829,750
 $540,613
 $1,082,070
 $1,330,410
 $829,750
 $540,613
Adjustments to reconcile net income to net cash provided from (used in) operating            
activities:            
Depreciation and amortization 950,459
 921,720
 901,242
 1,027,073
 950,459
 921,720
Other amortization expenses 17,000
 16,521
 8,822
 16,827
 17,000
 16,521
Provision for loan losses 
 62,966
 10,215
 18,690
 
 62,966
Impairment of assets 115,579
 124,483
 37,207
 28,133
 115,579
 124,483
Stock-based compensation expense 27,646
 19,102
 28,869
 25,047
 27,646
 19,102
Loss (gain) on derivatives and financial instruments, net (4,016) 2,284
 (2,448) (4,399) (4,016) 2,284
Loss (gain) on extinguishment of debt, net 16,097
 37,241
 17,214
 84,155
 16,097
 37,241
Loss (income) from unconsolidated entities 641
 83,125
 10,357
 (42,434) 641
 83,125
Rental income in excess of cash received (32,857) (80,398) (83,233) (106,331) (32,857) (80,398)
Amortization related to above (below) market leases, net 2,608
 357
 322
 (676) 2,608
 357
Loss (gain) on real estate dispositions, net (415,575) (344,250) (364,046) (748,041) (415,575) (344,250)
Other (income) expense, net 
 2
 (4,853)
Distributions by unconsolidated entities 21
 116
 1,065
 
 21
 116
Increase (decrease) in accrued expenses and other liabilities 70,762
 26,809
 14,298
 (29,068) 70,762
 26,811
Decrease (increase) in receivables and other assets 5,829
 23,486
 (18,037) (63,418) 5,829
 23,486
Net cash provided from (used in) operating activities 1,583,944
 1,434,177
 1,639,064
 1,535,968
 1,583,944
 1,434,177
            
Investing activities:            
Cash disbursed for acquisitions, net of cash acquired (3,560,360) (805,264) (2,145,374) (3,959,683) (3,560,360) (805,264)
Cash disbursed for capital improvements to existing properties (266,183) (250,276) (219,146) (328,824) (266,183) (250,276)
Cash disbursed for construction in progress (160,706) (232,715) (403,131) (323,488) (160,706) (232,715)
Capitalized interest (7,905) (13,489) (16,943) (15,272) (7,905) (13,489)
Investment in real estate loans receivable (83,048) (83,738) (129,884)
Principal collected on real estate loans receivable 180,830
 96,023
 249,552
Investment in loans receivable (119,699) (112,048) (101,216)
Principal collected on loans receivable 127,706
 203,935
 214,980
Other investments, net of payments (50,430) 57,385
 4,760
 (8,282) (44,535) (44,094)
Contributions to unconsolidated entities (136,854) (114,365) (101,415) (279,631) (136,854) (114,365)
Distributions by unconsolidated entities 90,916
 70,287
 119,723
 216,231
 90,916
 70,287
Proceeds from (payments on) derivatives 65,399
 52,719
 108,347
 (8,499) 65,399
 52,719
Proceeds from sales of real property 1,541,870
 1,378,014
 2,350,068
 2,650,650
 1,541,870
 1,378,014
Net cash provided from (used in) investing activities (2,386,471) 154,581
 (183,443) (2,048,791) (2,386,471) 154,581
            
Financing activities:            
Net increase (decrease) under unsecured credit facilities 428,000
 74,000
 (190,000)
Net increase (decrease) under unsecured credit facility and commercial paper 440,597
 428,000
 74,000
Proceeds from issuance of senior unsecured notes 2,824,176
 7,500
 693,560
 3,974,559
 2,824,176
 7,500
Payments to extinguish senior unsecured notes (1,450,000) (5,000) (865,863) (3,335,290) (1,450,000) (5,000)
Net proceeds from the issuance of secured debt 45,447
 241,772
 460,015
 343,696
 45,447
 241,772
Payments on secured debt (362,841) (1,144,346) (563,759) (284,433) (362,841) (1,144,346)
Net proceeds from the issuance of common stock 789,575
 621,987
 534,194
 1,056,125
 789,575
 621,987
Redemption of preferred stock 
 (287,500) 
 
 
 (287,500)
Payments for deferred financing costs and prepayment penalties (29,691) (54,333) (22,196) (84,142) (29,691) (54,333)
Contributions by noncontrolling interests(1)
 39,207
 56,560
 148,666
 55,365
 39,207
 56,560
Distributions to noncontrolling interests(1)
 (109,871) (87,711) (134,578) (172,940) (109,871) (87,711)
Cash distributions to stockholders (1,348,863) (1,325,617) (1,298,925) (1,400,712) (1,348,863) (1,325,617)
Other financing activities (6,771) (10,839) (11,931) (15,675) (6,771) (10,839)
Net cash provided from (used in) financing activities 818,368
 (1,913,527) (1,250,817) 577,150
 818,368
 (1,913,527)
Effect of foreign currency translation on cash and cash equivalents and restricted cash (9,015) 26,852
 (20,274) 5,310
 (9,015) 26,852
Increase (decrease) in cash, cash equivalents and restricted cash 6,826
 (297,917) 184,530
 69,637
 6,826
 (297,917)
Cash, cash equivalents and restricted cash at beginning of period 309,303
 607,220
 422,690
 316,129
 309,303
 607,220
Cash, cash equivalents and restricted cash at end of period $316,129
 $309,303
 $607,220
 $385,766
 $316,129
 $309,303
            
Supplemental cash flow information:            
Interest paid $501,404
 $488,265
 $541,545
 $574,536
 $501,404
 $488,265
Income taxes paid 2,250
 10,410
 8,011
 14,338
 2,250
 10,410
(1) Includes amounts attributable to redeemable noncontrolling interests.
See accompanying notes.


67

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


1. Business 
Welltower Inc., an S&P 500 company headquartered in Toledo, Ohio, is driving the transformation of health care infrastructure.  The company invests with leading seniors housing operators, post-acute providers and health systems to fund the real estate and infrastructure needed to scale innovative care delivery models and improve people’s wellness and overall health care experience.  Welltower, a real estate investment trust (“REIT”), owns interests in properties concentrated in major, high-growth markets in the United States (“U.S.”), Canada and the United Kingdom (“U.K.”), consisting of seniors housing, and post-acute communities and outpatient medical properties. 
2. Accounting Policies and Related Matters
Use of Estimates
The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Principles of Consolidation
The consolidated financial statements include the accounts of our wholly-owned subsidiaries and joint venture (“JV”) entities that we control, through voting rights or other means. All material intercompany transactions and balances have been eliminated in consolidation. At inception of JV transactions, we identify entities for which control is achieved through means other than voting rights (“variable interest entities” or “VIEs”) and determine which business enterprise is the primary beneficiary of its operations. A VIE is broadly defined as an entity where either (i) the equity investors as a group, if any, do not have a controlling financial interest, or (ii) the equity investment at risk is insufficient to finance that entity’s activities without additional subordinated financial support. We consolidate investments in VIEs when we are determined to be the primary beneficiary. Accounting Standards Codification Topic 810, Consolidations (“ASC 810”), requires enterprises to perform a qualitative approach to determining whether or not a VIE will need to be consolidated. This evaluation is based on an enterprise’s ability to direct and influence the activities of a VIE that most significantly impact that entity’s economic performance. For investments in JVs, U.S. GAAP may preclude consolidation by the sole general partner in certain circumstances based on the type of rights held by the limited partner(s). We assess the limited partners’ rights and their impact on our consolidation conclusions, and we reassess if there is a change to the terms or in the exercisability of the rights of the limited partners, the sole general partner increases or decreases its ownership of limited partnership interests, or there is an increase or decrease in the number of outstanding limited partnership interests. We similarly evaluate the rights of managing members of limited liability companies.
Revenue Recognition
On January 1, 2018 we adopted Accounting Standards Update ("ASU") 2014-09, "Revenue from Contracts with Customers (ASC 606)," which isFor our Triple-net and Outpatient Medical segments, a comprehensive new revenue recognition model that requires revenue to be recognized in a manner to depict the transfer of goods or services to a customer at an amount that reflects the consideration expected to be received in exchange for those goods or services. We adopted ASC 606 using the modified retrospective method.
We have evaluated our various revenue streams to identify whether they would be subject the provisions of ASC 606 and any differences in timing, measurement or presentation of revenue recognition. A significant source of our revenue is generated through leasing arrangements, which are specifically excluded from ASC 606. Substantially all of our operating leases contain escalating rent structures.arrangements. Leases with fixed annual rental escalators are generally recognized on a straight-line basis over the initial lease period, subject to a collectability assessment. Rental income related to leases with contingent rental escalators is generally recorded based on the contractual cash rental payments due for the period. Leases in our outpatient medicalOutpatient Medical portfolio typically include some form of operating expense reimbursement by the tenant. Certain payments made to operators are treated as lease incentives and amortized as a reduction of revenue over the lease term. 
We recognizeFor our Seniors Housing Operating segment, revenue from resident fees and services other than move-in fees,is predominantly service-based, and generally are recognized monthly as services are provided. Lease agreementsAgreements with residents generally have a term of one year and are cancelable by the resident with 30 days’ notice. Interest income on loans is recognized as earned based upon the principal amount outstanding subject to an evaluation of collectability risk. Management contracts are present in some of our joint venture agreements to provide asset and property management, leasing, marketing and other services. Under ASC 606,
Interest income on loans is recognized as earned based upon the patternprincipal amount outstanding subject to an evaluation of collectability risk.
We recognize gains on the disposition of real estate when the recognition criteria have been met, generally at the time the risks and timing of recognition of income from these contracts is consistentrewards and title have transferred and we no longer have substantial continuing involvement with the prior accounting model.real estate sold. We recognize losses from disposition of real estate when known.
Cash and Cash Equivalents
Cash and cash equivalents consist of all highly liquid investments with an original maturity of three months or less.


WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Restricted Cash
Restricted cash primarily consists of amounts held by lenders to provide future payments for real estate taxes, insurance, tenant and capital improvements, amounts held in escrow relating to transactions we are entitled to receive over a period of time as outlined in the escrow agreement and net proceeds from property sales that were executed as tax-deferred dispositions under Internal Revenue Code (“IRC”) section 1031.

68

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Deferred Loan Expenses
Deferred loan expenses are costs incurred by us in connection with the issuance, assumption and amendments of debt arrangements. Deferred loan expenses related to debt instruments, excluding the primary unsecured credit facility, are recorded as a reduction of the related debt liability. Deferred loan expenses related to the primary unsecured credit facility are included in other assets. We amortize these costs over the term of the debt using the straight-line method, which approximates the effective interest method.
Investments in Unconsolidated Entities
Investments in entities that we do not consolidate but have the ability to exercise significant influence over operating and financial policies are reported under the equity method of accounting. Under the equity method, our share of the investee’s earnings or losses is included in our consolidated results of operations. The initial carrying value of investments in unconsolidated entities is based on the amount paid to purchase the entity interest inclusive of transaction costs. To the extent that our cost basis is different from the basis reflected at the entity level, the basis difference is generally amortized over the lives of the related assets and liabilities, and such amortization is included in our share of equity in earnings of the entity. We evaluate our equity method investments for impairment based upon a comparison of the estimated fair value of the equity method investment to its carrying value. When we determine a decline in the estimated fair value of such an investment below its carrying value is other-than-temporary, an impairment is recorded.
Equity Securities
In 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-01 "Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Liabilities," which requires entities to measure their investmentsEquity securities are measured at fair value with gains and recognize any changes in fair value in net income rather than through accumulated other comprehensive income. During the year ended December 31, 2018, welosses recognized a gain of $4,016,000 related to our equity securities in loss (gain) on derivatives and financial instruments, net onin the Consolidated StatementStatements of Comprehensive Income. There was no adjustment to accumulated other comprehensive income upon adoption at January 1, 2018 as accumulated losses of $18,294,000 were recognized as other-than-temporary impairment during the year ended December 31, 2017.
Redeemable Noncontrolling Interests
Certain noncontrolling interests are redeemable at fair value. Accordingly, we record the carrying amount of the noncontrolling interests at the greater of (i) the initial carrying amount, increased or decreased for the noncontrolling interest’s share of net income or loss and its share of other comprehensive income or loss, and dividends or (ii) the redemption value. If it is probable that the interests will be redeemed in the future, we accrete the carrying value to the redemption value over the period until expected redemption, currently a weighted-average period of approximately one year. In accordance with ASC 810, the redeemable noncontrolling interests are classified outside of permanent equity, as a mezzanine item, in the balance sheet. At December 31, 2018,2019, the current redemption value of redeemable noncontrolling interests exceeded the carrying value of $424,046,000$475,877,000 by $18,891,000.$14,953,000.
During 2014 and 2015, weWe entered into certain DownREIT partnerships which give a real estate seller the ability to exchange its property on a tax deferred basis for equity membership interests (“OP units”). The OP units may be redeemed any time following the first anniversary of the date of issuance at the election of the holders for one share of our common stock per unit or, at our option, cash.
Real Property Owned
On January 1, 2017, we adopted ASU 2017-01, Clarifying the Definition of a Business (“ASU 2017-01”) which narrows the FASB's definition of a business and provides a framework that gives entities a basis for making reasonable judgments about whether a transaction involves an asset or a business. ASU 2017-01 states that when substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the acquired asset is not a business. If this initial test is not met, an acquired asset cannot be considered a business unless it includes an input and a substantive process that together significantly contribute to the ability to create output. The primary differences between business combinations and asset acquisitions include recording the asset acquisition at relative fair value, capitalizing transaction costs, and the elimination of the measurement period in which to record adjustments to the transaction. We believe that substantially all our realReal estate acquisitions are consideredgenerally classified as asset acquisitions. We are applying ASU 2017-01 prospectivelyacquisitions for acquisitions after January 1, 2017. Real property developed by us is recorded at cost, including the capitalization of construction period interest. Expenditures for repairs and maintenance are expensed as incurred.
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Regardless of whether an acquisition is considered an asset acquisition or a business combination, the cost of real property acquired, which represents substantially all of the purchase price, is allocated to netwe record tangible assets and identifiable intangible assets basedand liabilities at cost on theira relative fair values. These propertiesvalue basis. Liabilities assumed and any associated noncontrolling interests are depreciated on a straight-line basis over their estimated useful lives which range from 15 to 40 years for buildings and 5 to 15 years for improvements.reflected at fair value. Tangible assets primarily consist of land, buildings and improvements, including those related to capital leases. We consider costs incurred in conjunction with re-leasing properties, including tenant improvements and lease commissions, to represent the acquisition of productiveimprovements.
Identifiable intangible assets and accordingly, such costs are reflected as investment activities in our consolidated statement of cash flows.
The remaining purchase price is allocated among identifiable intangible assetsliabilities consist primarily consisting of the above or below market component of in-place leases and the value associated with the presence of in-place leases. The value allocable to the above or below market component of the acquired in-place lease is determined based upon the present value (using a discount rate which reflects the risks associated with the acquired leases) of the difference between (i) the contractual amounts to be paid pursuant to the lease over its remaining term, and (ii) management’s estimate of the amounts that would be paid using fair market rates over the remaining term of the lease. The amounts allocated to above market leases are included in acquired lease intangibles and below market leases are included in other liabilities in the balance sheet and are amortized to rental income over the remaining terms of the respective leases or lease-up period.
The total amount of other intangible assets acquired is further allocated to in-place lease values and customer relationship values for in-place tenants based on management’s evaluation of the specific characteristics of each tenant’s lease and our overall relationship with that respective tenant. Characteristics considered by management in allocating these values include the nature and extent of our existing business relationships with the tenant, growth prospects for developing new business with the tenant, the tenant’s credit quality and expectations of lease renewals, among other factors. The total amount of other intangible assets acquired is further allocated to in-place lease values for in-place residents with such value representing (i) value associated with lost revenue related to tenant reimbursable operating costs that would be incurred in an assumed re-leasing period, and (ii) value associated with lost rental revenue from existing leases during an assumed re-leasing period. This intangible asset will beis amortized over the remaining life of the lease or the assumed re-leasing period.

69

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Real property developed by us is recorded at cost, including the capitalization of construction period interest. These properties are depreciated on a straight-line basis over their estimated useful lives which range from 15 to 40 years for buildings and 5 to 15 years for improvements. We consider costs incurred in conjunction with re-leasing properties, including tenant improvements and lease commissions, to represent the acquisition of productive assets and, accordingly, such costs are reflected as investment activities in our Consolidated Statement of Cash Flows.
The net book value of long-lived assets is reviewed quarterly on a property by property basis to determine if facts and circumstances suggest that the assets may be impaired or that the depreciable life may need to be changed. We consider external factors relating to each asset and the existence of a master lease which may link the cash flows of an individual asset to a larger portfolio of assets leased to the same tenant. If these factors and the projected undiscounted cash flows of the assets over the remaining depreciation period indicate that the assets will not be recoverable, the carrying value is reduced to the estimated fair market value. In addition, we are exposed to the risks inherent in concentrating investments in real estate, and in particular, the seniors housing and health care industries. A downturn in the real estate industry could adversely affect the value of our properties and our ability to sell properties for a price or on terms acceptable to us. Additionally, properties that meet the held-for-saleheld for sale criteria are recorded at the lessor of fair value less costs to sell or the carrying value.
Expenditures for repairs and maintenance are expensed as incurred.
Capitalization of Construction Period Interest
We capitalize interest costs associated with funds used for the construction of properties owned directly by us. The amount capitalized is based upon the balance outstanding during the construction period using the rate of interest which approximates our company-wide cost of financing. Our interest expense reflected in the consolidated statementsConsolidated Statements of comprehensive incomeComprehensive Income has been reduced by the amounts capitalized.
Gain on Real Estate DispositionsLoans Receivable
In 2017, the FASB issued ASU 2017-05, “Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets.” The standard clarifies that a financial asset is within the scope of Subtopic 610-20 if it meets the definition of an in substance nonfinancial asset. The standard also defines the term "in substance nonfinancial asset" and clarifies that an entity should identify each distinct nonfinancial asset or in substance nonfinancial asset promised to a counterparty and derecognize each asset when a counterparty obtains control over it. We adopted Subtopic 610-20 using a modified retrospective approach on January 1, 2018 and it did not have a material impactLoans receivable are recorded on our consolidated financial statements.
Prior to the adoption of Subtopic 610-20, we recognized sales ofConsolidated Balance Sheets in real estate assets only upon the closingloans receivable, net of the transaction with the purchaser. Payments received from purchasers prior to closing were recorded as deposits and classified as other assets on our consolidated balance sheets. Gains onallowance, or for non real estate assets sold were recognized using the full accrual method upon closing when (i) the collectability of the sales price was reasonably assured, (ii) we were not obligated to perform significant activities after the sale to earn the profit, (iii) we have received adequate initial investment from the purchaser,loans receivable, in receivables and (iv) other profit recognition criteria have been satisfied. Gains may have been deferred in whole or in part until the sales satisfy the requirements of gain recognition on sales of real estate.

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Real Estate Loans Receivable
assets. Real estate loans receivable consistconsists of mortgage loans and other real estate loans. Interest income on loans is recognized as earned based upon the principal amount outstanding subject to an evaluation of collectability risks. The loanswhich are primarily collateralized by a first, second or third mortgage lien, a leasehold mortgage on, or an assignment of the partnership interest in, the related properties, corporate guarantiesguarantees and/or personal guaranties.guarantees. Non real estate loans are generally corporate loans with no real estate backing. Interest income on loans is recognized as earned based upon the principal amount outstanding subject to an evaluation of collectability risks.
In Substance Real Estate Investments
We provide loans to third parties for the acquisition, development and construction of real estate. Under these arrangements, it is possible that we will participate in the expected residual profits of the project through the sale, refinancing or acquisition of the property. We evaluate the characteristics of each arrangement, including its risks and rewards, to determine whether they are more similar to those associated with a loan or an investment in real estate. Arrangements with characteristics implying loan classification are presented as real estate loans receivable and result in the recognition of interest income. Arrangements with characteristics implying real estate joint ventures are treated as in substance real estate investments and presented as investments in unconsolidated entities and are accounted for using the equity method. The classification of each arrangement as either a real estate loan receivable or investment in unconsolidated entity involves judgment and relies on various factors, including market conditions, amount and timing of expected residual profits, credit enhancements in the form of guarantees, estimated fair value of the collateral, and significance of borrower equity in the project, among others. The classification of such arrangements is performed at inception, and periodically reassessed when significant changes occur in the circumstances or conditions described above.
Allowance for Losses on Loans Receivable
The allowance for losses on loans receivable is maintained at a level believed adequate to absorb potential losses in our loans receivable. The determination of the allowance is based on a quarterly evaluation of these loans, including general economic conditions and estimated collectability of loan payments. We evaluate the collectability of our loans receivable based on a combination of factors, including, but not limited to, delinquency status, historical loan charge-offs, financial strength of the borrower and guarantors, and value of the underlying collateral. If such factors indicate that there is greater risk of loan charge-offs, additional allowances or placement on non-accrual status may be required. A loan is impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due as scheduled according to the contractual terms of the original loan agreement. Consistent with this definition, all loans on non-accrual are deemed impaired. To the extent circumstances improve and the risk of collectability is diminished, we will return these loans to income accrual status. While a loan is on non-accrual status, any cash receipts are applied against the outstanding principal balance. Any loans with collectability concerns are subjected to a projected payoff valuation. The valuation is based on the expected future cash flows and/or the estimated fair value of the underlying collateral. The valuation is compared to the outstanding balance to determine the reserve needed for each loan. We may base our valuation on a loan’s observable market price, if any, or the fair value of collateral, net of sales costs, if the repayment of the loan is expected to be provided solely by the collateral.

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Goodwill
Goodwill is tested annually for impairment and is tested for impairment more frequently if events and circumstances indicate that the asset might be impaired. An impairment loss is recognized to the extent that the carrying amount, including goodwill, exceeds the reporting unit’s fair value and the implied fair value of goodwill is less than the carrying amount of that goodwill. We have not had any goodwill impairments.
 Fair Value of Derivative Instruments
Derivatives are recorded at fair value on the balance sheet as assets or liabilities. The valuation of derivative instruments requires us to make estimates and judgments that affect the fair value of the instruments. Fair values of our derivatives are estimated by pricing models that consider the forward yield curves and discount rates. The fair value of our forward exchange contracts are estimated by pricing models that consider foreign currency spot rates, forward trade rates and discount rates. Such amounts and the recognition of such amounts are subject to significant estimates that may change in the future. See Note 1112 for additional information.
Federal Income Tax
We have elected to be treated as a REIT under the applicable provisions of the IRC, commencing with our first taxable year, and made no provision for U.S. federal income tax purposes prior to our acquisition of our taxable REIT subsidiaries (“TRSs”). As a result of these as well as subsequent acquisitions, we now record income tax expense or benefit with respect to certain of our entities that are taxed as TRSs under provisions similar to those applicable to regular corporations and not under the REIT provisions. We account for deferred income taxes using the asset and liability method and recognize deferred tax assets and liabilities for the expected future tax consequences of events that have been included in our consolidated financial statements or tax returns. Under this method, we determine deferred tax assets and liabilities based on the differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Any increase or decrease in the deferred tax liability that results from a change in circumstances, and that causes a change in our judgment about expected future tax consequences of events, is included in the tax provision when such changes occur. Deferred income taxes also reflect the impact of operating loss and tax credit carryforwards. A valuation allowance is provided if we believe it is more likely than not that all or some portion of the deferred tax asset will not be realized. Any increase or decrease in the valuation allowance that results from a change in circumstances, and that causes a change in our judgment about the realizability of the related deferred tax asset, is included in the tax provision when such changes occur. See Note 1819 for additional information.
Foreign Currency
Certain of our subsidiaries’ functional currencies are the local currencies of their respective countries. We translate the results of operations of our foreign subsidiaries into U.S. Dollars using average rates of exchange in effect during the period, and we translate balance sheet accounts using exchange rates in effect at the end of the period. We record resulting currency translation adjustments in accumulated other comprehensive income, a component of stockholders’ equity, on our consolidated balance sheets.

WELLTOWER INC. AND SUBSIDIARIES
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Consolidated Balance Sheets.
Earnings Per Share
Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of shares outstanding for the period adjusted for non-vested shares of restricted stock. The computation of diluted earnings per share is similar to basic earnings per share, except that the number of shares is increased to include the number of additional common shares that would have been outstanding if the potentially dilutive common shares had been issued.
Reclassifications
Certain amounts in prior years have been reclassified to conform to current year presentation.
New Accounting Standards
During the year ended December 31, 2018, weWe adopted the following additional accounting standard, which did not have a material impact on our consolidated financial statements:

In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities," which expands and refines hedge accounting for both nonfinancial and financial risk components and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. It also includes certain targeted improvements to simplify the application of current guidance related to hedge accounting. The early adoption of this standard on April 1, 2018, did not result in a cumulative effect adjustment and all applicable changes for the company were prospectively made. Please refer to Note 11 of the consolidated financial statements for additional detail on this adoption.
The following ASUs have been issued but not yet adopted:    
In 2017, the FASB issued ASUStandards Update ("ASU") 2016-02, “Leases (codified under Leases (Topic 842) ("ASC 842),”842") which requires lessees to recognize assets and liabilities on their consolidated balance sheetConsolidated Balance Sheet related to the rights and obligations created by most leases, while continuing to recognize expenses on their consolidated statementsConsolidated Statement of comprehensive incomeComprehensive Income over the lease term. It willWe adopted ASC 842 as of January 1, 2019, using the modified retrospective approach and have elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, permits us to carry forward our prior conclusions for lease classification and initial direct costs on existing leases. We also require disclosures designedmade an accounting policy election to give financial statement users information regarding amount, timing,keep short-term leases less than twelve months off the balance sheet for all classes of underlying assets.
In July 2018, the Financial Accounting Standards Board ("FASB") issued ASU 2018-11 "Leases (Topic 842): Targeted Improvements" that (1) simplifies transition requirements for both lessees and uncertaintylessors by adding an option that permits entities to apply the transition provisions of cash flows arising from leases. While we are currently evaluating the impactnew standard at its adoption date instead of this adoption, we believe it will likely have a material impact to our consolidatedat the earliest comparative period presented in its financial statements and (2) allows lessors to elect, as a practical expedient, to not separate lease and non-lease components in

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a contract, and instead to account for as a single lease component, if certain criteria are met. This practical expedient causes an entity to assess whether a contract is predominantly lease or service-based and recognize the recognition of certain operating leases as right-of-use assets and lease liabilities where we areentire contract under the lessee. Specifically, we believe the impact to our consolidated financial statements will primarilyrelevant accounting guidance (e.g. predominantly lease-based would be attributable to the approximately 139 ground leases and various office and equipment leases which are currently accounted for under ASC 842 and predominantly service-based would be accounted for under ASU 2014-09, "Revenue from Contracts with Customers (ASC 606)"). For the year ended December 31, 2018, we recognized revenue for our Seniors Housing Operating resident agreements in accordance with the provisions of the prior lease guidance, ASC 840, "Leases,""Leases". Upon adoption of ASC 842, we elected the lessor practical expedient described above and recognized our revenue for our Seniors Housing Operating segment based upon the predominant component, generally the non-lease service component. Therefore, beginning on January 1, 2019, we accounted for the majority of such resident agreements under ASC 606. The timing and pattern of revenue recognition is substantially the same as operating leases. Future lease payments under these leases total $1,138,046,000.that prior to adoption.
The FASB also issued ASU 2018-20 "Leases (Topic 842) - Narrow-scope: Narrow Improvements for Lessors" in December 2018,, which provides lessors the ability to make an accounting policy election not to evaluate whether certain sales taxes and other similar taxes imposed by a governmental authority on a specific lease revenue-producing transaction are the primary obligation of the lessor as owner of the underlying leased asset. A lessor that makes this election will exclude these taxes from the measurement of lease revenue and the associated expense. We expect to utilize theUpon adoption of ASC 842, we utilized this practical expedient in ASU 2018-20 as partinstances in which real estate taxes are paid directly by our tenants to taxing authorities. For triple-net leasing arrangements in which the tenant remits payment for real estate taxes to us and we pay the taxing authority, we have included the associated revenue and expense in rental income and property operating expenses on the Consolidated Statements of Comprehensive Income. This reporting had no impact on our net income.
For leases in which the Company is the lessee, primarily consisting of ground leases and various office and equipment leases, we recognized upon adoption a right of this guidance.
Upon adoptionuse asset of ASU 2016-02, lessors are required to separately recognize and measure$509,386,000 which included the present value of minimum leases payments, existing above and/or below market lease component of a contract with a customer utilizing the provisions of ASC 842 and the non-lease components utilizing the provisions of ASC 606. To separately account for the components, transaction price is allocated based upon the estimated stand-alone selling prices of the components. Additionally, certain components of a contract which were previously included within the lease element and recognized in accordance with ASC 840 prior to the adoption of ASC 2016-02 (such as common area maintenance services, other basic services and executory costs), are recognized as non-lease components subject to the provisions of ASC 606 subsequent to the adoption of ASC 2016-02. Entities are required to recognize a cumulative effect adjustment to beginning retained earnings as of the initial application of ASU 2016-02 for changes to amounts recognized for these certain components for the transition from ASC 840 to ASC 606.
The FASB issued ASU 2018-11, "Leases (Topic 842) Targeted Improvements" in July 2018, which provides lessors with a practical expedient, allowing them to not separate lease and non-lease components in a contract, and instead to account for as a single lease component, if certain criteria are met. This practical expedient causes an entity to assess whether a contract is predominantly lease or service-based and recognize the entire contract under the relevant accounting guidance (i.e., predominantly lease-based would be accounted for under ASC 842 and predominantly service-based would be accounted for under ASC 606). Entities that elect to utilize this practical expedient upon initial application of ASC 842 are required to apply to all newintangible values and existing transactions asstraight-line rent liabilities associated with such leases. We also recognized operating lease liabilities of the initial application date with a cumulative effect adjustment to beginning retained earnings$357,070,000. The standard did not materially impact our Consolidated Statements of Comprehensive Income or our Consolidated Statement of Cash Flows. See Note 6 for any changes to amounts recognized related to existing transactions. For the year ended December 31, 2018, we recognized revenue for our Seniors Housing Operating segment in accordance with the provisions of ASC 840. Upon adoption of ASU 2016-02, we will elect the lessor practical expedient and will recognize the revenue
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


for our Seniors Housing Operating segment based upon the predominant component, which we have determined to be the non-lease component, and therefore, will account for these contracts under ASC 606. After the adoption of ASU 2016-02, we expect the timing and pattern of revenue recognition will be substantially the same as that prior to the adoption of the standard.additional details.
In 2017,2016, the FASB issued ASU 2016-13, “Measurement of Credit Losses on Financial Instruments.” This standard requires a new forward-looking “expected loss” model to be used for receivables, held-to-maturity debt, loans receivable, and other instruments. In November 2018, the FASB issued an amendment excluding operating lease receivables accounted for under the new leases standard from the scope of the new credit loss standard. ASU 2016-13 is effective for fiscal years,the Company on January 1, 2020.
We have continued our implementation efforts, including data collection and interim periods within those years, beginning after December 15, 2019,processing, model development and early adoption is permitted for fiscal years beginning after December 15, 2018.validation, and establishment of the governance and control processes. We are currently evaluating the impactdo not believe that the standardadoption of this new guidance will have a material impact on our consolidated financial statements.
3. Real Property Acquisitions and Development 
The total purchase price for all properties acquired has been allocated to the tangible and identifiable intangible assets and liabilities at cost on a relative fair value basis. Liabilities assumed and any associated noncontrolling interests based upon their relativeare reflected at fair values in accordance with our accounting policies.value. The results of operations for these acquisitions have been included in our consolidated results of operations since the date of acquisition and are a component of the appropriate segments. Transaction costs primarily represent costs incurred with property acquisitions, including due diligence costs, fees for legal and valuation services, termination of pre-existing relationships computed based on the fair value of the assets acquired, lease termination fees and other acquisition-related costs. Effective January 1, 2017, with our adoption of ASU 2017-01, transactionTransaction costs related to asset acquisitions are capitalized as a component of the purchase price and all other non-capitalizable costs are reflected in "Other expenses"other expenses on our Consolidated Statement of Comprehensive Income. Acquisitions
The following tables summarize our real property investment activity by segment for the years ended December 31, 2019, 2018 and 2017 (in thousands):

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  Year Ended December 31, 2019
  Seniors Housing Operating Triple-net Outpatient Medical Total
Land and land improvements   $154,470
 $24,097
 $293,933
 $472,500
Buildings and improvements   1,518,748
 203,282
 1,954,928
 3,676,958
Acquired lease intangibles   76,009
 
 183,921
 259,930
Real property held for sale 17,435
 
 
 17,435
Construction in progress 36,174
 
 
 36,174
Right of use assets, net 
 
 58,377
 58,377
Receivables and other assets 15,634
 
 1,586
 17,220
Total assets acquired(1)
 1,818,470
 227,379
 2,492,745
 4,538,594
Secured debt  
 (194,408) 
 (206,754) (401,162)
Lease liabilities 
 
 (47,740) (47,740)
Accrued expenses and other liabilities (12,024) 
 (32,893) (44,917)
Total liabilities assumed (206,432) 
 (287,387) (493,819)
Noncontrolling interests(2)
 (67,987) (4,015) (1,201) (73,203)
Non-cash acquisition related activity(3)
(11,889) 
 
 (11,889)
 Cash disbursed for acquisitions 1,532,162
 223,364
 2,204,157
 3,959,683
Construction in progress additions 227,018
 61,414
 60,884
 349,316
Capitalized interest (8,889) (2,385) (3,998) (15,272)
Foreign currency translation (8,643) (878) 
 (9,521)
Accruals(4)
 
 
 (1,035) (1,035)
Cash disbursed for construction in progress 209,486
 58,151
 55,851
 323,488
Capital improvements to existing properties 260,413
 17,426
 50,985
 328,824
Total cash invested in real property, net of cash acquired  
 $2,002,061
 $298,941
 $2,310,993
 $4,611,995
(1) Excludes $2,090,000 of unrestricted and restricted cash acquired.
(2) Includes amounts attributable to both redeemable noncontrolling interests and noncontrolling interests.
(3) Relates to the acquisition of assets previously recognized as investments in unconsolidated entities.
(4) Represents non-cash accruals for amounts to be paid in future periods for properties that occurred priorconverted, off-set by amounts paid in the current period.
  Year Ended December 31, 2018
  Seniors Housing Operating Triple-net Outpatient Medical Total
Land and land improvements   $51,440
 $413,588
 $77,239
 $542,267
Buildings and improvements   621,731
 2,242,884
 478,740
 3,343,355
Acquired lease intangibles   69,504
 9,690
 50,813
 130,007
Real property held for sale 
 396,265
 22,032
 418,297
Receivables and other assets   1,492
 1,354
 1,185
 4,031
Total assets acquired(1)
 744,167

3,063,781

630,009
 4,437,957
Secured debt   (134,752) 
 (169,156) (303,908)
Accrued expenses and other liabilities (18,463) (13,199) (14,896) (46,558)
Total liabilities assumed (153,215)
(13,199)
(184,052) (350,466)
Noncontrolling interests(2)
 (14,390) (512,741) 
 (527,131)
Cash disbursed for acquisitions 576,562

2,537,841

445,957
 3,560,360
Construction in progress additions 82,621
 55,558
 26,565
 164,744
Capitalized interest (3,190) (2,238) (2,477) (7,905)
Foreign currency translation 3,934
 272
 
 4,206
Accruals(3)
 
 
 (339) (339)
Cash disbursed for construction in progress 83,365

53,592

23,749
 160,706
Capital improvements to existing properties 201,001
 10,046
 55,136
 266,183
Total cash invested in real property, net of cash acquired   $860,928

$2,601,479

$524,842
 $3,987,249
(1) Excludes $395,397,000 of unrestricted and restricted cash acquired.
(2) Includes amounts attributable to January 1, 2017 were accountedboth redeemable noncontrolling interests and noncontrolling interests.
(3) Represents non-cash accruals for amounts to be paid in future periods for properties that converted, off-set by amounts paid in the current period.

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  Year Ended December 31, 2017
  Seniors Housing Operating Triple-net Outpatient Medical Total
Land and land improvements   $42,525
 $33,416
 $40,565
 $116,506
Buildings and improvements   428,777
 248,459
 159,643
 836,879
Acquired lease intangibles   63,912
 
 24,014
 87,926
Receivables and other assets   3,959
 
 10
 3,969
Total assets acquired(1)
 539,173
 281,875
 224,232
 1,045,280
Secured debt   
 
 (25,708) (25,708)
Accrued expenses and other liabilities (46,301) (21,236) (3,181) (70,718)
Total liabilities assumed (46,301) (21,236) (28,889) (96,426)
Noncontrolling interests(2)
 (4,701) (7,275) (9,080) (21,056)
Non-cash acquisition related activity(3)
 (67,633) (54,901) 
 (122,534)
Cash disbursed for acquisitions 420,538
 198,463
 186,263
 805,264
Construction in progress additions 84,874
 120,797
 37,094
 242,765
Capitalized interest (9,106) (4,713) (2,406) (16,225)
Foreign currency translation (6,830) (610) 
 (7,440)
Accruals(4)
 
 
 13,615
 13,615
Cash disbursed for construction in progress 68,938
 115,474
 48,303
 232,715
Capital improvements to existing properties 185,473
 19,989
 44,814
 250,276
Total cash invested in real property, net of cash acquired   $674,949
 $333,926
 $279,380
 $1,288,255
(1) Excludes $6,591,000 of unrestricted and restricted cash acquired.
(2) Includes amounts attributable to both redeemable noncontrolling interests and noncontrolling interests.
(3) For the Seniors Housing Operating segment, includes $59,665,000 related to the acquisition of assets previously financed as business combinations. Certaininvestments in unconsolidated entities and $7,968,000 related to the acquisition of our subsidiaries' functional currencies areassets previously financed as loans receivable. For the local currenciesTriple-net segment, amount is related to the acquisition of their respective countries.assets previously financed as loans receivable.
(4) Represents non-cash accruals for amounts to be paid in future periods for properties that converted, off-set by amounts paid in the current period.
Acquisition of Quality Care Properties
On July 26, 2018, we completed the acquisition of Quality Care Properties Inc. ("QCP"), with QCP shareholders receiving $20.75 of cash for each share of QCP common stock and all existing QCP debt was repaid upon closing. Prior to the acquisition, ProMedica Health System ("ProMedica") completed the acquisition of HCR ManorCare. Immediately following the acquisition of QCP, we formed an 80/20 joint venture with ProMedica to own the real estate associated with the 218 seniors housing properties leased to ProMedica under a lease agreement with the following key terms: (i) 15-year absolute triple-net master lease with three3 five-year renewal options; (ii) initial annual cash rent of $179 million with a year one escalator of 1.375% and 2.75% annual escalators thereafter; and (iii) full corporate guarantee of ProMedica. Additionally, we acquired 59 seniors housing properties classified as held for sale and leased to ProMedica under a non-yielding lease, 12 seniors housing properties and one1 surgery center classified as held for sale and leased to operators under existing triple-net leases, 14 seniors housing properties leased to operators under existing triple-net leases and one1 multi-tenant medical office building leased to various tenants.

We drew on a $1.0 billion term loan facility to fund a portion of the acquisition cash consideration and other related expenses. The term loan facility matures two years from the closing. In addition to the term loan facility draw, we drew on our unsecured credit facility described in Note 9, in order to fund the acquisition. The aggregate consideration to acquire the QCP shares and repay outstanding QCP debt was approximately $3.5 billion.

We concluded that the QCP acquisition met the definition of an asset acquisition under ASU 2017-01, "Clarifying the Definition of a Business". The following table presents the purchase price calculation and the allocation to assets acquired and liabilities assumed based upon their relative fair value:
(In thousands)   
Land and land improvements $417,983
 
Buildings and improvements 2,253,451
 
Acquired lease intangibles 12,820
 
Real property held for sale 418,297
 
Cash and cash equivalents 381,913
 
Restricted cash 4,981
 
Receivables and other assets 1,354
 
 Total assets acquired 3,490,799
 
Accrued expenses and other liabilities   (13,199) 
 Total liabilities assumed (13,199) 
Noncontrolling interests (512,741) 
 Net assets acquired $2,964,859
 


Net assets acquired in the QCP acquisition detailed above are included in the respective segment tables below.
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Seniors Housing Operating Activity
(In thousands)  
Land and land improvements $417,983
Buildings and improvements 2,253,451
Acquired lease intangibles 12,820
Real property held for sale 418,297
Cash and cash equivalents 381,913
Restricted cash 4,981
Receivables and other assets 1,354
Total assets acquired 3,490,799
Accrued expenses and other liabilities   (13,199)
Total liabilities assumed (13,199)
Noncontrolling interests (512,741)
Net assets acquired $2,964,859
Acquisitions of seniors housing operating properties are structured under RIDEA, which is described in Note 18. This structure results in the inclusion of all resident revenues and related property operating expenses from the operation of these qualified health care properties in our consolidated statements of comprehensive income. The following is a summary of our Seniors Housing Operating real property investment activity for the periods presented (in thousands):
  Year Ended December 31,
  2018 2017 2016
Land and land improvements  
 $51,440
 $42,525
 $164,653
Buildings and improvements  
 621,731
 428,777
 1,518,472
Acquired lease intangibles  
 69,504
 63,912
 115,643
Receivables and other assets  
 1,492
 3,959
 2,462
Total assets acquired(1)
 744,167
 539,173
 1,801,230
Secured debt  
 (134,752) 
 (63,732)
Accrued expenses and other liabilities (18,463) (46,301) (23,681)
Total liabilities assumed (153,215) (46,301) (87,413)
Noncontrolling interests (14,390) (4,701) (6,007)
Non-cash acquisition related activity(2)

 (67,633) (47,065)
 Cash disbursed for acquisitions 576,562
 420,538
 1,660,745
Construction in progress additions 82,621
 84,874
 157,845
Capitalized interest (3,190) (9,106) (5,793)
Foreign currency translation 3,934
 (6,830) (8,500)
Cash disbursed for construction in progress 83,365
 68,938
 143,552
Capital improvements to existing properties 201,001
 185,473
 138,673
Total cash invested in real property, net of cash acquired  
 $860,928
 $674,949
 $1,942,970
(1) Excludes $5,784,000, $6,273,000 and $351,000 of cash and restricted cash acquired during the years ended December 31, 2018, 2017 and 2016, respectively.
(2) For the year ended December 31, 2017, includes $59,665,000 related to the acquisition of assets previously financed as investments in unconsolidated entities and $6,349,000 related to the acquisition of assets previously financed as real estate loans receivable. For the year ended December 31, 2016, includes $43,372,000 related to the acquisition of assets previously financed as investments in unconsolidated entities.

Triple-net Activity
The following provides our purchase price allocations and other Triple-net real property investment activity for the periods presented (in thousands):
   Year Ended December 31, 
   2018 2017 2016 
Land and land improvements  
 $413,588
 $33,416
 $104,754
 
Buildings and improvements  
 2,242,884
 248,459
 418,633
 
Acquired lease intangibles  
 9,690
 
 2,876
 
Real property held for sale 396,265
 
 
 
Receivables and other assets  
 1,354
 
 551
 
 
Total assets acquired(1)
 3,063,781

281,875

526,814
 
Accrued expenses and other liabilities (13,199) (21,236) (3,384) 
 Total liabilities assumed (13,199)
(21,236)
(3,384) 
Noncontrolling interests (512,741) (7,275) (26,771) 
Non-cash acquisition related activity(2)
 
 (54,901) (51,733) 
 Cash disbursed for acquisitions 2,537,841

198,463

444,926
 
Construction in progress additions 55,558
 120,797
 181,084
 
Capitalized interest (2,238) (4,713) (8,729) 
Foreign currency translation 272
 (610) (3,665) 
Cash disbursed for construction in progress 53,592

115,474

168,690
 
Capital improvements to existing properties 10,046
 19,989
 32,603
 
 
Total cash invested in real property, net of cash acquired  
 $2,601,479

$333,926

$646,219
 
(1) Excludes $386,894,000, $318,000 and $682,000 of cash and restricted cash acquired during the years ended December 31, 2018, 2017 and 2016, respectively.
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


(2) For the year ended December 31, 2017, $54,901,000 is related to the acquisition of assets previously financed as real estate loans receivable.  For the year ended December 31, 2016, primarily relates to $45,044,000 for the acquisition of assets previously financed as real estate loans receivable and $6,630,000 previously financed as equity investments.
Outpatient Medical Activity
The following is a summary of our Outpatient Medical real property investment activity for the periods presented (in thousands):
  Year Ended December 31,
  2018 2017 2016 
Land and land improvements  
 $77,239
 $40,565
 $5,738
 
Buildings and improvements  
 478,740
 159,643
 46,056
 
Acquired lease intangibles  
 50,813
 24,014
 4,592
 
Real property held for sale 22,032
 
 
 
Receivables and other assets  
 1,185
 10
 
 
Total assets acquired(1)
 630,009
 224,232
 56,386
 
Secured debt  
 (169,156) (25,708) 
 
Accrued expenses and other liabilities (14,896) (3,181) (1,670) 
Total liabilities assumed (184,052) (28,889) (1,670) 
Noncontrolling interests 
 (9,080) 
 
Non-cash acquisition related activity(2)
 
 
 (15,013) 
Cash disbursed for acquisitions 445,957
 186,263
 39,703
 
Construction in progress additions 26,565
 37,094
 113,933
 
Capitalized interest (2,477) (2,406) (3,723) 
Accruals(3)
 (339) 13,615
 (19,321) 
Cash disbursed for construction in progress 23,749
 48,303
 90,889
 
Capital improvements to existing properties 55,136
 44,814
 47,870
 
Total cash invested in real property, net of cash acquired  
 $524,842
 $279,380
 $178,462
 
(1) Excludes $2,719,000 of unrestricted and restricted cash acquired during the year ended December 31, 2018.
(2) Relates to the acquisition of assets previously financed as real estate loans. Please refer to Note 6 for additional information.
(3) Represents non-cash accruals for amounts to be paid in future periods for properties that converted, off-set by amounts paid in the current period.
Construction Activity 
The following is a summary of the construction projects that were placed into service and began generating revenues during the periods presented (in thousands):
 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
Development projects:            
Seniors Housing Operating $86,931
 $3,634
 $18,979
 $28,117
 $86,931
 $3,634
Triple-net 90,055
 283,472
 46,094
 
 90,055
 283,472
Outpatient Medical 11,358
 63,036
 108,001
 21,006
 11,358
 63,036
Total development projects 188,344
 350,142
 173,074
 49,123
 188,344
 350,142
Expansion projects 20,029
 10,336
 11,363
 
 20,029
 10,336
Total construction in progress conversions $208,373
 $360,478
 $184,437
 $49,123
 $208,373
 $360,478
 
At December 31, 2018, future minimum lease payments receivable under operating leases (excluding properties in our Seniors Housing Operating partnerships and excluding any operating expense reimbursements) are as follows (in thousands):
2019 $1,309,186
2020 1,275,683
2021 1,245,611
2022 1,222,519
2023 1,171,081
Thereafter 9,359,018
Totals $15,583,098

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


4. Real Estate Intangibles 
The following is a summary of our real estate intangibles, excluding those classified as held for sale, as of the dates indicated (dollars in thousands):
 December 31, 2018 December 31, 2017 December 31, 2019 December 31, 2018
Assets:        
In place lease intangibles $1,410,725
 $1,352,139
 $1,513,836
 $1,410,725
Above market tenant leases 63,935
 58,443
 59,540
 63,935
Below market ground leases(1) 64,513
 58,784
 
 64,513
Lease commissions 41,986
 33,105
 43,675
 41,986
Gross historical cost 1,581,159
 1,502,471
 1,617,051
 1,581,159
Accumulated amortization (1,197,336) (1,125,437) (1,181,158) (1,197,336)
Net book value $383,823
 $377,034
 $435,893
 $383,823
        
Weighted-average amortization period in years 16.0
 15.1
 10.3
 16.0
        
Liabilities:        
Below market tenant leases $81,676
 $60,430
 $99,035
 $81,676
Above market ground leases(1) 8,540
 8,540
 
 8,540
Gross historical cost 90,216
 68,970
 99,035
 90,216
Accumulated amortization (44,266) (39,629) (49,390) (44,266)
Net book value $45,950
 $29,341
 $49,645
 $45,950
        
Weighted-average amortization period in years 14.7
 20.1
 8.6
 14.7

(1) Effective on January 1, 2019 with the adoption of ASC 842, above and below market ground lease intangibles are reported within the right of use assets, net line on the Consolidated Balance Sheet.
The following is a summary of real estate intangible amortization income (expense) for the periods presented (in thousands):

  Year Ended December 31,
  2018 2017 2016
Rental income related to (above)/below market tenant leases, net $(1,269) $875
 $919
Property operating expenses related to above/(below) market ground leases, net (1,339) (1,231) (1,241)
Depreciation and amortization related to in place lease intangibles and lease commissions (122,515) (145,132) (132,141)
75

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


  Year Ended December 31,
  2019 2018 2017
Rental income related to (above)/below market tenant leases, net $508
 $(1,269) $875
Depreciation and amortization related to in place lease intangibles and lease commissions (135,047) (122,515) (145,132)


The future estimated aggregate amortization of intangible assets and liabilities is as follows for the periods presented (in thousands):
 Assets Liabilities Assets Liabilities
2019 $97,199
 $7,005
2020 62,641
 6,475
 $119,973
 $9,498
2021 29,855
 5,838
 59,824
 8,529
2022 24,270
 5,300
 40,802
 7,758
2023 20,304
 3,440
 34,803
 5,483
2024 27,415
 3,362
Thereafter 149,554
 17,892
 153,076
 15,015
Totals $383,823
 $45,950
 $435,893
 $49,645
 
5. Dispositions and AssetsReal Property Held for Sale
We periodically sell properties for various reasons, including favorable market conditions, the exercise of tenant purchase options or reduction of concentrations (e.g. property type, relationship or geography). During the year ended December 31, 2019, we disposed of our Benchmark Senior Living portfolio for a gross sale price of $1.8 billion and a gain on sale of $520 million.
At December 31, 2018, 13 seniors housing operating, 40 triple-net2019, 18 Seniors Housing Operating, 11 Triple-net and two outpatient medical42 Outpatient Medical properties with an aggregate net real estate balance of $590,271,000$1,253,008,000 were classified as held for sale. Impairmentsale for which we expect gross sales proceeds of approximately $1,960,685,000. In addition to the real property balances held for sale, secured debt of $112,589,000 and net other assets as reflectedand liabilities of $25,194,000 are included in ourthe Consolidated StatementsBalance Sheet related to held for sale properties. During the year ended December 31, 2019, we recorded net impairment charges of Comprehensive Income, primarily represents the charges necessary$13,130,000 related to adjustcertain held for sale properties for which the carrying values of certain properties to estimatedvalue exceeded the fair values, less estimated costs to sell.sell, and $15,003,000 related to 5 held for use properties for which the carrying value exceeded the sum of the future undiscounted cash flows. The following is a summary of our real property disposition activity for the periods presented (in thousands):
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
Real property dispositions:            
Seniors Housing Operating $36,627
 $74,832
 $
 $1,232,816
 $36,627
 $74,832
Triple-net 835,093
 916,689
 1,773,614
 667,632
 835,093
 916,689
Outpatient Medical 253,397
 19,697
 78,786
 482
 253,397
 19,697
Total dispositions 1,125,117
 1,011,218
 1,852,400
 1,900,930
 1,125,117
 1,011,218
Gain (loss) on sales of real property, net 415,575
 344,250
 364,046
 748,041
 415,575
 344,250
Net other assets (liabilities) disposed 1,178
 22,546
 133,622
 1,679
 1,178
 22,546
Proceeds from real property sales $1,541,870
 $1,378,014
 $2,350,068
 $2,650,650
 $1,541,870
 $1,378,014


During the year ended December 31, 2016, we completed two portfolio dispositions of properties leased to Genesis HealthCare (“Genesis”) for which we received loans in the amount of $74,445,000 for termination fees relating to the properties sold under the master lease. The related termination fee income has been deferred and will be recognized as the principal balance of the loans are repaid. At December 31, 2018, $61,994,000 of principal is outstanding on the loans.
Dispositions and Assets Held for Sale 
Pursuant to our adoption of ASU 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 statementsConsolidated Statements of comprehensive income.Comprehensive Income. The following represents the activity related to these properties for the periods presented (in thousands):

  
Year Ended
December 31,
  2018 2017 2016
Revenues:      
Total revenues $148,725
 $275,087
 $565,450
Expenses:      
Interest expense 294
 6,655
 52,675
Property operating expenses 81,698
 81,182
 89,666
Provision for depreciation 16,900
 55,294
 122,153
Total expenses 98,892
 143,131
 264,494
Income (loss) from real estate dispositions, net $49,833
 $131,956
 $300,956
76

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


  Year Ended December 31,
  2019 2018 2017
Revenues:      
Total revenues $449,080
 $665,384
 $769,835
Expenses:      
Interest expense 4,924
 6,617
 12,458
Property operating expenses 257,510
 383,907
 374,370
Provision for depreciation 65,698
 109,674
 153,009
Total expenses 328,132
 500,198
 539,837
Income (loss) from real estate dispositions, net $120,948
 $165,186
 $229,998
 
6. Real Estate Loans ReceivableLeases
We lease land, buildings, office space and certain equipment. Many of our leases include a renewal option to extend the term from one to 25 years or more. Renewal options that we are reasonably certain to exercise are recognized in our right-of-use assets and lease liabilities. As most of our leases do not provide a rate implicit in the lease agreement, we use our incremental borrowing rate available at lease commencement to determine the present value of lease payments. The incremental borrowing rates were determined using our longer term borrowing rates (actual pricing through 30 years, as well as other longer-term market rates). For leases that commenced prior to January 1, 2019, we used the incremental borrowing rate on December 31, 2018.
We sublease certain real estate to a third party. Our sublease portfolio consists of a finance lease with Genesis HealthCare for 7 buildings.
The following is a summarycomponents of our real estate loans receivablelease expense were as follows for the period presented (in thousands):
  December 31,
  2018 2017
Mortgage loans $317,443
 $374,492
Other real estate loans 81,268
 121,379
Totals $398,711
 $495,871
  Classification Year Ended December 31, 2019
Operating lease cost: (1)
    
Real estate lease expense Property operating expenses $25,166
Non-real estate investment lease expense General and administrative expenses 1,654
Finance lease cost:    
Amortization of leased assets Property operating expenses 7,795
Interest on lease liabilities Interest expense 4,748
Sublease income Rental income (4,173)
Total   $35,190
(1) Includes short-term leases which are immaterial.

Maturities of lease liabilities as of December 31, 2019 are as follows (in thousands):
  Operating Leases Finance Leases
2020 $23,356
 $9,121
2021 23,322
 8,786
2022 22,147
 8,149
2023 22,117
 69,182
2024 21,294
 1,419
Thereafter 1,073,396
 89,678
Total lease payments 1,185,632
 186,335
Less: Imputed interest (820,829) (77,445)
Total present value of lease liabilities $364,803
 $108,890


Supplemental balance sheet information related to leases was as follows as of December 31, 2019 (in thousands, except lease terms and discount rate):

77

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


 Classification December 31, 2019
Right of use assets:   
Operating leases - real estateRight of use assets, net $374,217
Finance leases - real estateRight of use assets, net 162,216
Real estate right of use assets, net  536,433
Operating leases - non-real estate investmentsReceivables and other assets 12,474
Total right of use assets, net  $548,907
    
Lease liabilities:   
Operating leases  $364,803
Financing leases  108,890
Total lease liabilities  $473,693
    
Weighted average remaining lease term (years):   
Operating leases  46.0
Finance leases  15.9
    
Weighted average discount rate:   
Operating leases  5.00%
Finance leases  5.18%


Supplemental cash flow information related to leases was as follows for the date indicated (in thousands):
 Classification Year Ended December 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:  
Operating cash flows from operating leasesDecrease (increase) in receivables and other assets $6,397
Operating cash flows from operating leasesIncrease (decrease) in accrued expenses and other liabilities (5,489)
Operating cash flows from finance leasesDecrease (increase) in receivables and other assets 10,732
Financing cash flows from finance leasesOther financing activities (3,401)


Substantially all of our operating leases in which we are the lessor contain escalating rent structures. Leases with fixed annual rental escalators are generally recognized on a straight-line basis over the initial lease period, subject to a collectability assessment. Rental income related to leases with contingent rental escalators is generally recorded based on the contractual cash rental payments due for the period. Leases in our Outpatient Medical portfolio typically include some form of operating expense reimbursement by the tenant. We recognized $1,588,400,000 of rental and other revenues related to operating leases, of which $200,564,000 was for variable lease payments, for the year ended December 31, 2019, which primarily represents the reimbursement of operating costs such as common area maintenance expenses, utilities, insurance and real estate taxes. The following is a summary oftable sets forth the future minimum lease payments receivable for leases in effect at December 31, 2019 (excluding properties in our real estate loan activity for the periods presentedSeniors Housing Operating portfolio and excluding any operating expense reimbursements) (in thousands):
2020 $1,430,978
2021 1,384,721
2022 1,346,917
2023 1,302,601
2024 1,265,988
Thereafter 9,026,163
Totals $15,757,368


78

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


7. Loans Receivable
  Year Ended
  December 31, 2018 December 31, 2017 December 31, 2016
  
Seniors
Housing
Operating
 Triple-net 
Outpatient
Medical
 Totals Triple-net 
Outpatient
Medical
 Totals Triple-net 
Outpatient
Medical
 Totals
Advances on real estate loans receivable:                    
Investments in new loans $11,806
 $13,062
 $23,421
 $48,289
 $12,091
 $
 $12,091
 $8,445
 $
 $8,445
Draws on existing loans 
 34,759
 
 34,759
 71,647
 
 71,647
 118,788
 2,651
 121,439
Net cash advances on real estate loans 11,806
 47,822
 23,421
 83,048
 83,738
 
 83,738
 127,233
 2,651
 129,884
Receipts on real estate loans receivable:                    
Loan payoffs 15,000
 116,161
 
 131,161
 157,912
 60,500
 218,412
 275,439
 27,303
 302,742
Principal payments on loans 
 49,669
 
 49,669
 1,219
 
 1,219
 6,867
 
 6,867
Sub-total 15,000
 165,830
 
 180,830
 159,131
 60,500
 219,631
 282,306
 27,303
 309,609
Less: Non-cash activity(1)
 
 
 
 
 (63,108) (60,500) (123,608) (45,044) (15,013) (60,057)
Net cash receipts on real estate loans 15,000
 165,830
 
 180,830
 96,023
 
 96,023
 237,262
 12,290
 249,552
Net cash advances (receipts) on real estate loans $(3,194) $(118,008) $23,421
 $(97,781) $(12,285) $
 $(12,285) $(110,029) $(9,639) $(119,668)
The following is a summary of our loans receivable (in thousands):
  Year Ended December 31,
  2019 2018
Mortgage loans $188,062
 $317,443
Other real estate loans 124,696
 81,268
Allowance for losses on real estate loans receivable (42,376) (68,372)
Real estate loans receivable, net of allowance 270,382
 330,339
Non real estate loans 362,850
 282,443
Allowance for losses on non real estate loans receivable (25,996) 
Non real estate loans receivable, net of allowance(1)
 336,854
 282,443
Total loans receivable, net of allowance $607,236
 $612,782

(1) Triple-net primarily represents acquisitions Included in receivables and other assets on the Consolidated Balance Sheets

The following is a summary of assets previously financed as real estate loans. Please see Note 3 for further information. Outpatient Medical represents a deed in lieu of foreclosure on a previously financed first mortgage propertyour loan activity for the year ended December 31, 2017 and acquisition of assets previously financed as real estate loans for the year ended December 31, 2016.periods presented (in thousands):
  Year Ended
  December 31, 2019 December 31, 2018 December��31, 2017
Advances on loans receivable:      
Investments in new loans $46,824
 $77,289
 $61,122
Draws on existing loans 72,875
 34,759
 40,094
Net cash advances on loans receivable 119,699
 112,048
 101,216
Receipts on loans receivable:      
Loan payoffs 118,703
 144,700
 181,549
Principal payments on loans 9,003
 59,235
 33,431
Net cash receipts on loans 127,706
 203,935
 214,980
Net cash advances (receipts) on loans $(8,007) $(91,887) $(113,764)


In 2016, we restructured two triple-net real estate loans with Genesis. The existing loans, with a combined principal balance of $317,000,000, were scheduled to mature in 2017Genesis Healthcare and 2018. These loans were restructured into four separate loans effective October 1, 2016, one of which was repaid during 2017. Each loan had a five year term, a 10% interest rate and 25 basis point annual escalator. We recorded a loan loss charge in the amount of $6,935,000 on one of the loans as the present value of expected future cash flows was less than the carrying value of the loan. During 2017, we recorded a provision foran additional loan loss charge of $62,966,000 relating to three real estate loans receivable from Genesis. During 2018, aggregate principal payments of $85,289,000 were received on the loans. The allowance for losses on loans receivable totals $68,372,000 and is deemed to be sufficient to absorb expected losses relating to the loans. Such allowance wasGenesis HealthCare based on an estimation of expected future cash flows discounted at the effective interest rate of the loans. In 2019, we recognized a provision for eachloan losses of $18,690,000 to fully reserve for and eventually wrote off certain Triple-net real estate loans receivable that were no longer deemed collectible. In the fourth quarter of 2019 one of the Genesis Healthcare real estate loans transitioned to a non real estate loan due to the sale of the underlying properties that served as collateral for the loan. As of December 31, 2019, the total allowance for loan loss balance of $68,372,000 is deemed to be sufficient to absorb expected losses. In addition, at December 31, 2018,2019, we had one1 real estate loan with an outstanding balance of $2,567,000$2,534,000 on non-accrual status. NoNaN provision for loan loss has been recorded for this loan given the underlying collateral value.
The following is a summary of the allowance for losses on loans receivable for the periods presented (in thousands):
  Year Ended December 31,
  2019 2018 2017
Balance at beginning of year $68,372
 $68,372
 $6,563
Provision for loan losses 18,690
 
 62,966
Charge-offs (18,690) 
 
Change in present value 
 
 (1,157)
Balance at end of year $68,372
 $68,372
 $68,372
  Year Ended December 31,
  2018 2017 2016
Balance at beginning of year $68,372
 $6,563
 $
Provision for loan losses(1)
 
 62,966
 6,935
Change in present value 
 (1,157) (372)
Balance at end of  year $68,372
 $68,372
 $6,563
(1) Excludes direct write down of an impaired loan receivable in 2016.

The following is a summary of our impaired loans (in thousands):

79

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Balance of impaired loans at end of year $189,272
 $282,882
 $377,549
 $188,018
 $189,272
 $282,882
Allowance for loan losses 68,372
 68,372
 6,563
 (68,372) (68,372) (68,372)
Balance of impaired loans not reserved $120,900
 $214,510
 $370,986
 $119,646
 $120,900
 $214,510
Average impaired loans for the year $236,077
 $330,216
 $188,775
 $192,728
 $236,077
 $330,216
Interest recognized on impaired loans(1)
 17,241
 27,793
 8,707
 16,235
 17,241
 27,793
 (1) Represents cash interest recognized in the period since loans were identified as impaired.
7.8. Investments in Unconsolidated Entities 
We participate in a number of joint ventures, which generally invest in seniors housing and health care real estate. The results of operations for these properties have been included in our consolidated results of operations from the date of acquisition by the joint ventures and are reflected in our Consolidated Statements of Comprehensive Income as income or loss from unconsolidated entities. The following is a summary of our investments in unconsolidated entities (dollars in thousands):
 
Percentage Ownership(1)
 December 31, 2018 December 31, 2017 
Percentage Ownership(1)
 December 31, 2019 December 31, 2018
Seniors Housing Operating 10% to 50% $344,982
 $352,430
 10% to 50% $463,741
 $344,982
Triple-net 10% to 49% 34,284
 22,856
 10% to 34% 7,740
 34,284
Outpatient Medical 43% to 50% 103,648
 70,299
 43% to 50% 111,942
 103,648
Total $482,914
 $445,585
 $583,423
 $482,914
(1) Excludes ownership of in substancein-substance real estate.
During the year ended December 31, 2017, we increased our ownership in
We own 34% of Sunrise Senior Living Management, Inc. (“Sunrise”("Sunrise") from 24% to 34%. Sunrise, who provides comprehensive property management and accounting services with respect to certain of our seniors housing operatingSeniors Housing Operating properties that Sunrise operates, for which weoperates. We pay Sunrise annual management fees pursuant to long-term management agreements. Our management agreements with Sunrise have initial terms expiring through December 20322034 plus, if applicable, optional renewal periods ranging from an additional 5 to 15 years depending on the property. The management fees payable to Sunrise under the management agreements include a fee based on a percentage of revenues generated by the applicable properties plus, if applicable, positive or negative adjustments based on specified performance targets. For the years ended December 31, 2019, 2018 2017 and 2016,2017, we recognized fees to Sunrise of $41,200,000, $36,378,000 $37,573,000, and $37,751,000,$37,573,000, respectively, which are reflected within property operating expenses in our Consolidated Statements of Comprehensive Income. 
During the year ended December 31, 2019, we sold our interest in a Seniors Housing Operating joint venture and recognized a gain of $38,681,000 in income (loss) from unconsolidated entities in our Consolidated Statements of Comprehensive Income.
At December 31, 2018,2019, the aggregate unamortized basis difference of our joint venture investments of $105,471,000$101,275,000 is primarily attributable to the difference between the amount for which we purchased our interest in the entity, including transaction costs, and the historical carrying value of the net assets of the entity. This difference is being amortized over the remaining useful life of the related assetsproperties and included in the reported amount of income from unconsolidated entities.
We have made loans totaling $165,193,000 related to 7 properties as of December 31, 2019 for the development and construction of certain properties which are classified as in substance real estate investments. We believe that such borrowers typically represent variable interest entities (“VIE” or VIE’s”) in accordance with ASC 810 Consolidation. VIE’s are required to be consolidated by their Primary Beneficiary (“PB”) which is the enterprise that has both: (i) the power to direct the activities of the VIE that most significantly impacts the entity’s economic performance; and (ii) the obligation to absorb losses or the right to receive benefits of the VIE that could be significant to the entity. We have concluded that we are not the PB of such borrowers, therefore, the loan arrangements were assessed based on among other factors, the amount and timing of expected residual profits, the estimated fair value of the collateral and the significance of the borrower’s equity in the project. Based on these assessments the arrangements have been classified as in substance real estate investments. We expect to fund an additional $139,472,000 related to these investments.
8.9. Credit Concentration
We use consolidated net operating income (“NOI”) as our credit concentration metric. See Note 1718 for additional information and reconciliation. The following table summarizes certain information about our credit concentration for the year ended December 31, 2018,2019, excluding our share of NOI in unconsolidated entities (dollars in thousands):

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


 Number of Total Percent of Number of Total Percent of
Concentration by relationship:(1)
 Properties NOI 
NOI(2)
 Properties NOI 
NOI(2)
Sunrise Senior Living(3)
 161
 $335,456
 15% 165
 $342,595
 14%
ProMedica 218
 215,083
 9%
Revera(3)
 98
 154,194
 7% 94
 146,451
 6%
Brookdale Senior Living 102
 142,768
 6%
Genesis HealthCare 87
 137,054
 6% 54
 119,928
 5%
Benchmark Senior Living 48
 99,439
 4%
Belmont Village 21
 76,354
 3%
Remaining portfolio 1,014
 1,398,571
 62% 1,026
 1,530,853
 63%
Totals 1,510
 $2,267,482
 100% 1,578
 $2,431,264
 100%
(1) Genesis isHealthCare and ProMedica are in our Triple-net segment. Sunrise Senior Living, Revera and ReveraBelmont Village are in our Seniors Housing Operating segment. Brookdale Senior Living and Benchmark Senior Living are in both our Triple-net and Seniors Housing Operating segments.
(2) NOI with our top five relationships comprised 41%38% of total NOI for the year ending December 31, 2017.2018.
(3) Revera owns a controlling interest in Sunrise Senior Living. For the year ended December 31, 2018,2019, we recognized $1,154,025,000$1,219,253,000 of revenue from properties managed by Sunrise Senior Living.
9.10. Borrowings Under Credit Facilities and Related ItemsCommercial Paper Program
At December 31, 2018,2019, we had a primary unsecured credit facility with a consortium of 31 banks that includes a $3,000,000,000 unsecured revolving credit facility ($945,000,000 outstanding at December 31, 2019), a $500,000,000 unsecured term credit facility and a $250,000,000 Canadian-denominated unsecured term credit facility. We have an option, through an accordion feature, to upsize the unsecured revolving credit facility and the $500,000,000 unsecured term credit facility by up to an additional $1,000,000,000, in the aggregate, and the $250,000,000 Canadian-denominated unsecured term credit facility by up to an additional $250,000,000. The primary unsecured credit facility also allows us to borrow up to $1,000,000,000 in alternate currencies (none(NaN outstanding at December 31, 2018)2019). Borrowings under the unsecured revolving credit facility are subject to interest payable at the applicable margin over LIBOR interest rate (3.33%(2.59% at December 31, 2018)2019). The applicable margin is based on our debt ratings and was 0.825% at December 31, 2018.2019. In addition, we pay a facility fee quarterly to each bank based on the bank’s commitment amount. The facility fee depends on our debt ratings and
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


was 0.15% at December 31, 2018.2019. The term credit facilities mature on July 19, 2023. The revolving credit facility is scheduled to mature on July 19, 2022 and can be extended for two2 successive terms of six months each at our option.
In January 2019, we established an unsecured commercial paper program. Under the terms of the program, we may issue unsecured commercial paper notes with maturities that vary, but do not exceed 397 days from the date of issue, up to a maximum aggregate face or principal amount outstanding at any time of $1,000,000,000. As of December 31, 2019, there was a balance of $642,597,000 outstanding on the commercial paper program ($643,600,000 in principal outstanding net of an unamortized discount of $1,003,000), which reduces the borrowing capacity on the unsecured revolving credit facility. The notes bear interest at various floating rates with a weighted average of 2.16% as of December 31, 2019 and a weighted average maturity of 26 days as of December 31, 2019.
The following information relates to aggregate borrowings under the primary unsecured revolving credit facility and commercial paper program for the periods presented (dollars in thousands):
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Balance outstanding at year end $1,147,000
 $719,000
 $645,000
 $1,588,600
 $1,147,000
 $719,000
Maximum amount outstanding at any month end $2,148,000
 $1,010,000
 $1,560,000
 $2,880,000
 $2,148,000
 $1,010,000
Average amount outstanding (total of daily principal balances            
divided by days in period) $950,581
 $597,422
 $762,896
 $1,376,813
 $950,581
 $597,422
Weighted-average interest rate (actual interest expense divided            
by average borrowings outstanding) 3.07% 2.02% 1.39% 2.84% 3.07% 2.02%
 
10.11. Senior Unsecured Notes and Secured Debt
We may repurchase, redeem or refinance senior unsecured notes from time to time, taking advantage of favorable market conditions when available. We may purchase senior notes for cash through open market purchases, privately negotiated transactions, a tender offer or, in some cases, through the early redemption of such securities pursuant to their terms. The senior unsecured notes are redeemable at our option, at any time in whole or from time to time in part, at a redemption price equal to the sum of (1) the principal amount of the notes (or portion of such notes) being redeemed plus accrued and unpaid interest thereon up to the redemption date and (2) any “make-whole” amount due under the terms of the notes in connection with early redemptions. Redemptions and repurchases of debt, if any, will depend on prevailing market conditions, our liquidity requirements, contractual restrictions, and other factors. At December 31, 2018,2019, the annual principal payments due on these debt obligations were as follows (in thousands):

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


  
Senior
Unsecured Notes(1,2)
 
Secured
Debt (1,3)
 Totals
2019 $600,000
 $508,899
 $1,108,899
2020(4)
 677,489
 138,288
 815,777
2021 450,000
 369,124
 819,124
2022 600,000
 280,418
 880,418
2023(5,6)
 1,783,325
 325,371
 2,108,696
Thereafter(7,8)
 5,589,170
 863,611
 6,452,781
Totals $9,699,984
 $2,485,711
 $12,185,695
  
Senior
Unsecured Notes(1,2)
 
Secured
Debt (1,3)
 Totals
2020 $
 $354,329
 $354,329
2021 
 439,176
 439,176
2022 10,000
 421,876
 431,876
2023(4,5)
 1,792,871
 467,378
 2,260,249
2024 1,350,000
 304,533
 1,654,533
Thereafter(6,7,8)
 7,274,691
 1,006,050
 8,280,741
Totals $10,427,562
 $2,993,342
 $13,420,904
(1) Amounts represent principal amounts due and do not include unamortized premiums/discounts, debt issuance costs, or other fair value adjustments as reflected on the Consolidated Balance Sheet.
(2) Annual interest rates range from 3.05%2.40% to 6.50%.
(3) Annual interest rates range from 1.69%1.25% to 12.00%. Carrying value of the properties securing the debt totaled $5,347,428,000$6,550,033,000 at December 31, 2018.2019.
(4) Includes a $300,000,000$250,000,000 Canadian-denominated 3.35% senior unsecured notes due 2020term credit facility (approximately $219,989,000$192,871,000 based on the Canadian/U.S. Dollar exchange rate on December 31, 2018).
(5) Includes a $250,000,000 Canadian-denominated unsecured term credit facility (approximately $183,325,000 based on the Canadian/U.S. Dollar exchange rate on December 31, 2018)2019). The loan matures on July 19, 2023 and bears interest at the Canadian Dealer Offered Rate plus 0.9% (3.15%(2.93% at December 31, 2018)2019).
(6)(5) Includes a $500,000,000 unsecured term credit facility. The loan matures on July 19, 2023 and bears interest at LIBOR plus 0.9% (3.37%(2.66% at December 31, 2018)2019).
(6) Includes a $300,000,000 Canadian-denominated 2.95% senior unsecured notes due 2027 (approximately $231,446,000 based on the Canadian/U.S. Dollar exchange rate on December 31, 2019).
(7) Includes a £550,000,000 4.80% senior unsecured notes due 2028 (approximately $701,470,000$729,795,000 based on the Pounds Sterling/U.S. Dollar exchange rate in effect on December 31, 2018)2019).
(8) Includes a £500,000,000 4.50% senior unsecured notes due 2034 (approximately $637,700,000$663,450,000 based on the Pounds Sterling/U.S. Dollar exchange rate in effect on December 31, 2018)2019).

The following is a summary of our senior unsecured note principal activity during the periods presented (dollars in thousands):
 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.
 Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate
Beginning balance $8,417,447
 4.31% $8,260,038
 4.25% $8,645,758
 4.24% $9,699,984
 4.48% $8,417,447
 4.31% $8,260,038
 4.25%
Debt issued 2,850,000
 4.57% 7,500
 1.97% 705,000
 4.23% 3,987,790
 3.34% 2,850,000
 4.57% 7,500
 1.97%
Debt extinguished (1,450,000) 3.46% (5,000) 1.83% (850,000) 4.19% (3,335,290) 4.39% (1,450,000) 3.46% (5,000) 1.83%
Foreign currency (117,463) 4.16% 154,909
 4.29% (240,720) 4.57% 75,078
 4.22% (117,463) 4.16% 154,909
 4.29%
Ending balance $9,699,984
 4.48% $8,417,447
 4.31% $8,260,038
 4.25% $10,427,562
 4.03% $9,699,984
 4.48% $8,417,447
 4.31%
 
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


The following is a summary of our secured debt principal activity for the periods presented (dollars in thousands):
 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.
 Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate Amount Interest Rate
Beginning balance $2,618,408
 3.76% $3,465,066
 4.09% $3,478,207
 4.44% $2,485,711
 3.90% $2,618,408
 3.76% $3,465,066
 4.09%
Debt issued 45,447
 3.40% 241,772
 2.82% 460,015
 2.65% 343,696
 3.11% 45,447
 3.40% 241,772
 2.82%
Debt assumed 292,887
 4.64% 23,094
 6.67% 60,898
 4.30% 385,145
 4.34% 292,887
 4.64% 23,094
 6.67%
Debt extinguished (306,553) 5.36% (1,080,268) 5.25% (489,293) 5.11% (230,108) 4.35% (306,553) 5.36% (1,080,268) 5.25%
Debt deconsolidated 
 —% (60,000) 3.80% 
 —% 
 —% 
 —% (60,000) 3.80%
Principal payments (56,288) 3.91% (64,078) 4.34% (74,466) 4.66% (54,325) 3.75% (56,288) 3.91% (64,078) 4.34%
Foreign currency (108,190) 3.33% 92,822
 3.16% 29,705
 3.67% 63,223
 3.28% (108,190) 3.33% 92,822
 3.16%
Ending balance $2,485,711
 3.90% $2,618,408
 3.76% $3,465,066
 4.09% $2,993,342
 3.63% $2,485,711
 3.90% $2,618,408
 3.76%


Our debt agreements contain various covenants, restrictions and events of default. Certain agreements require us to maintain certain financial ratios and minimum net worth and impose certain limits on our ability to incur indebtedness, create liens and make investments or acquisitions. As of December 31, 2018,2019, we were in compliance with all of the covenants under our debt agreements.

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11.
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


12. Derivative Instruments
We are exposed to, among other risks, the impact of changes in foreign currency exchange rates as a result of our non-U.S. investments.investments and interest rate risk related to our capital structure. Our risk management program is designed to manage the exposure and volatility arising from these risks, and utilizes derivative financial instrumentsforeign currency forward contracts, cross currency swap contracts, interest rate swaps, interest rate locks and debt issued in foreign currencies to offset a portion of these risks.
Foreign Currency Forward Contracts Designated as Cash Flow Hedges
For instruments that are designated as and qualify as a cash flow hedge, the effective portion of the gain or loss on the derivative is deferred as a component of other comprehensive income (“OCI”), and reclassified into earnings in the same period, or periods, during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in earnings. 
Cash Flow Hedges of Interest Rate Risk
We enter into interest rate swaps in order to maintain a capital structure containing targeted amounts of fixed and floating-rate debt and manage interest rate risk. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for our fixed-rate payments. These interest rate swap agreements were used to hedge the variable cash flows associated with variable-rate debt.
Periodically, we enter into and designate interest rate locks to partially hedge the risk of changes in interest rate payments attributable to increases in the benchmark interest rate during the period leading up to the probable issuance of fixed-rate debt. We designate our interest rate locks as cash flow hedges. Gains and losses when we settle our interest rate locks are amortized into income over the life of the related debt, except where a material amount is deemed to be ineffective, which would be immediately reclassified to the Consolidated Statements of Comprehensive Income.
Foreign Currency Forward Contracts and Cross Currency Swap Contracts Designated as Net Investment Hedges
We use foreign currency forward and cross currency forward swap contracts to hedge a portion of the net investment in foreign subsidiaries against fluctuations in foreign exchange rates. For instruments that are designated and qualify as net investment hedges, the variability in the foreign currency to U.S. Dollar of the instrument is recorded as a cumulative translation adjustment component of OCI. 
In the second quarter of 2018, we redesignated these derivative financial instruments that qualify as hedges of net investments in foreign operations using the spot method in order to more closely align the underlying economics of the hedged transactions. The changes in fair values and the excluded components of derivative instruments designated as net investment hedges are recognized as a cumulative translation adjustment component of OCI. The cross currency basis spread is recognized in interest expense on the Consolidated Statement of Comprehensive Income using the swap accrual process. Prior to the adoption of ASU 2017-12, all settlements and changes in the fair values of these instruments were recognized as a cumulative translation adjustment component of OCI and there had been no ineffectiveness on these hedging relationships.
During the years ended December 31, 2019, 2018, and 2017 we settled certain net investment hedges generating cash proceeds of $6,716,000, $70,897,000, and $52,719,000, respectively. The balance of the cumulative translation adjustment will be reclassified to earnings when the hedged investment is sold or substantially liquidated.
Derivative Contracts Undesignated
We use foreign currency exchange contracts to manage existing exposures to foreign currency exchange risk. Gains and losses resulting from changes in the fair value of these instruments are recorded in interest expense on the Consolidated Statement of Comprehensive Income, and are substantially offset by net revaluation impacts on foreign currency denominated balance sheet exposures. In addition, we have several interest rate cap contracts related to variable rate secured debt agreements. Gains and losses resulting from the changes in the fair values of these instruments are also recorded in interest expense.

The following presents the notional amount of derivatives and other financial instruments as of the dates indicated (in thousands):
  December 31, 2019 December 31, 2018
Derivatives designated as net investment hedges:    
Denominated in Canadian Dollars $725,000
 $575,000
Denominated in Pounds Sterling £1,340,708
 £890,708
     
Financial instruments designated as net investment hedges:    
Denominated in Canadian Dollars $250,000
 $250,000
Denominated in Pounds Sterling £1,050,000
 £1,050,000
     
Interest rate swaps designated as cash flow hedges:    
Denominated in U.S. Dollars(1)
 $1,188,250
 $
     
Derivative instruments not designated:    
Interest rate caps denominated in U.S. Dollars $405,819
 $405,819
Forward purchase contracts denominated in Canadian Dollars $
 $(325,000)
Forward sales contracts denominated in Canadian Dollars $
 $405,000
Forward purchase contracts denominated in Pounds Sterling £(125,000) £(350,000)
Forward sales contracts denominated in Pounds Sterling £125,000
 £350,000
(1) At December 31, 2019 the maximum maturity date was July 15, 2021.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


  December 31, 2018 December 31, 2017
Derivatives designated as net investment hedges:    
Denominated in Canadian Dollars $575,000
 $575,000
Denominated in Pounds Sterling £890,708
 £550,000
     
Financial instruments designated as net investment hedges:    
Denominated in Canadian Dollars $250,000
 $250,000
Denominated in Pounds Sterling £1,050,000
 £1,050,000
     
Derivatives designated as cash flow hedges:    
Denominated in Canadian Dollars $
 $36,000
     
Derivative instruments not designated:    
Interest rate caps denominated in U.S. Dollars $405,819
 $408,007
Forward purchase contracts denominated in Canadian Dollars $(325,000) $
Forward sales contracts denominated in Canadian Dollars $405,000
 $80,000
Forward purchase contracts denominated in Pounds Sterling £(350,000) £
Forward sales contracts denominated in Pounds Sterling £350,000
 £
The following presents the impact of derivative instruments on the Consolidated Statements of Comprehensive Income for the periods presented (in thousands):
   Year Ended   Year Ended
 Location December 31, 2018 December 31, 2017 December 31, 2016 Location December 31, 2019 December 31, 2018 December 31, 2017
Gain (loss) on derivative instruments designated as hedges recognized in income Interest expense $12,271
 $(2,476) $7,871
 Interest expense $26,419
 $12,271
 $(2,476)
Gain (loss) on derivative instruments not designated as hedges recognized in income Interest expense $5,233
 $(49) $673
 Interest expense $(2,310) $5,233
 $(49)
Gain on release of cumulative translation adjustment related to ineffectiveness on net investment hedge Loss (gain) on derivatives, net $
 $
 $(2,516)
Gain (loss) on foreign exchange contracts and term loans designated as net investment hedge recognized in OCI OCI $211,390
 $(252,168) $357,021
Gain (loss) on derivative and financial instruments designated as hedges recognized in OCI

 OCI $(131,120) $211,390
 $(252,168)

12.13. Commitments and Contingencies
At December 31, 2018,2019, we had 1413 outstanding letter of credit obligations totaling $50,805,000$47,180,000 and expiring between 20192020 and 2024. At December 31, 2018,2019, we had outstanding construction in process of $194,365,000 for leased properties$507,931,000 and were committed to providing additional funds of approximately $436,984,000$446,633,000 to complete construction. Purchase obligations at December 31, 2018,2019, include $1,250,000,000$261,000,000 representing a definitive agreement to acquire outpatient medical facilities in 2019.2020. Purchase obligations also include contingent purchase obligations totaling $17,309,000. These contingent purchase obligations relate to unfunded capital improvement obligations and$19,925,000 of contingent obligations on acquisitions.to fund capital improvements. Rents due from the tenant are increased to reflect the additional investment in the property. During the year ended December 31, 2017, we finalized an agreement with the University of Toledo Foundation to transfer our corporate headquarters as a gift and recognized an expense of $40,730,000.
We evaluate our leases for operating versus capital lease treatment in accordance with ASC 840. A lease is classified as a capital lease if it provides for transfer of ownership of the leased asset at the end of the lease term, contains a bargain purchase option, has a lease term greater than 75% of the economic life of the leased asset, or if the net present value of the future minimum lease payments are in excess of 90% of the fair value of the leased asset. Certain leases contain bargain purchase options and have been classified as capital leases. At December 31, 2018, we had operating lease obligations of $1,138,046,000 relating to certain ground leases and company office space. Regarding the ground leases, we have sublease agreements with certain of our operators that require the operators to reimburse us for our monthly operating lease obligations. At December 31, 2018, aggregate future minimum rentals to be received under these noncancelable subleases totaled $72,789,000.
At December 31, 2018, future minimum lease payments due under operating and capital leases are as follows (in thousands):
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


  Operating Leases 
Capital Leases(1)
2019 $18,242
 $4,173
2020 17,785
 4,173
2021 17,607
 4,173
2022 16,961
 4,173
2023 17,004
 67,573
Thereafter 1,050,447
 
Totals $1,138,046
 $84,265
(1) Amounts above represent principal and interest obligations under capital lease arrangements. Related assets with a gross value of $167,324,000 and accumulated depreciation of $33,676,000 are recorded in real property.
13.14. Stockholders’ Equity 
The following is a summary of our stockholders’ equity capital accounts as of the dates indicated:
 December 31, 2018 December 31, 2017 December 31, 2019 December 31, 2018
Preferred Stock, $1.00 par value:        
Authorized shares 50,000,000
 50,000,000
 50,000,000
 50,000,000
Issued shares 14,375,000
 14,375,000
 
 14,375,000
Outstanding shares 14,369,965
 14,370,060
 
 14,369,965
Common Stock, $1.00 par value:        
Authorized shares 700,000,000
 700,000,000
 700,000,000
 700,000,000
Issued shares 384,849,236
 372,852,311
 411,550,857
 384,849,236
Outstanding shares 383,674,603
 371,731,551
 410,256,615
 383,674,603
Preferred Stock.Stock  
The following is a summary of our preferred stock activity during the periods presented:
 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.   Weighted Avg.
 Shares Dividend Rate Shares Dividend Rate Shares Dividend Rate Shares Dividend Rate Shares Dividend Rate Shares Dividend Rate
Beginning balance 14,370,060
 6.50% 25,875,000
 6.50% 25,875,000
 6.50% 14,369,965
 6.50% 14,370,060
 6.50% 25,875,000
 6.50%
Shares redeemed 
 —% (11,500,000) 6.50% 
 —% 
 —% 
 —% (11,500,000) 6.50%
Shares converted (95) 6.50% (4,940) 6.50% 
 —% (14,369,965) 6.50% (95) 6.50% (4,940) 6.50%
Ending balance 14,369,965
 6.50% 14,370,060
 6.50% 25,875,000
 6.50% 
 —% 14,369,965
 6.50% 14,370,060
 6.50%

During the three monthsyear ended MarchDecember 31, 2011,2019, we issued 14,375,000converted all of 6.50% Series I Cumulative Convertible Perpetual Preferred Stock (the "Series I Preferred Stock"). These shares have a liquidation value of $50.00 per share. Dividends are payable quarterly in arrears. Thethe outstanding Series I Preferred Stock is not redeemable by us and are convertible, at the holder’s option,Stock. Each share was converted into 0.84600.8857 shares of common stock (equal to an initial conversion price of approximately $59.10). On or after April 30, 2018, we may at our option cause all outstanding shares of the Series I Preferred Stock to be automatically converted into a number of shares of common stock equal to the then-prevailing conversion rate if the daily volume-weighted average prices of our common stock for each day equals or exceeds 130% of the then-prevailing conversion price for at least 20 trading days in a period of 30 consecutive trading days.
During the three months ended March 31, 2012, we issued 11,500,000 of 6.50% Series J Cumulative Redeemable Preferred Stock. Duringstock. In addition, during the year ended December 31, 2017, we recognized a charge of $9,769,000 in connection with the redemption of the Series J preferred stock.
Common Stock
In February 2019, we entered into separate amended and restated equity distribution agreements whereby we can offer and sell up to $1,500,000,000 aggregate amount of our common stock ("Equity Shelf Program"). The Equity Shelf Program also allows us to enter into forward sale agreements. As of December 31, 2019, we had $1,075,537,000 of remaining capacity under the Equity Shelf Program, which excludes forward sales agreements outstanding for the sale of 4,935,804 shares with maturity dates in 2020 and 2021. We expect to physically settle the forward sales for cash proceeds. The following is a summary of our common stock activity during the periods indicated (dollars in thousands, except average price amounts):

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WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


 Shares Issued Average Price Gross Proceeds Net Proceeds Shares Issued Average Price Gross Proceeds Net Proceeds
2016 Dividend reinvestment plan issuances 4,145,457
 $70.40 $291,852
 $291,571
2016 Option exercises 141,405
 47.13 6,664
 6,664
2016 Equity Shelf Program issuances 3,134,901
 76.01 238,286
 235,959
2016 Stock incentive plans, net of forfeitures 402,740
 
 
2016 Totals 7,824,503
 $536,802
 $534,194
              
2017 Dividend reinvestment plan issuances 5,640,008
 $70.13 $395,526
 $394,639
 5,640,008
 $70.13
 $395,526
 $394,639
2017 Option exercises 252,979
 51.16 12,942
 12,942
 252,979
 51.16
 12,942
 12,942
2017 Equity Shelf Program issuances 2,986,574
 72.30 215,917
 214,406
 2,986,574
 72.30
 215,917
 214,406
2017 Preferred stock conversions 4,300
 
 
 4,300
   
 
2017 Redemption of equity membership units 91,180
 
 
 91,180
   
 
2017 Stock incentive plans, net of forfeitures 154,337
 
 
 154,337
   
 
2017 Totals 9,129,378
 $624,385
 $621,987
 9,129,378
   $624,385
 $621,987
              
2018 Dividend reinvestment plan issuances 6,529,417
 $65.55 $428,009
 $423,075
 6,529,417
 $65.55
 $428,009
 $423,075
2018 Option exercises 56,960
 42.66 2,430
 2,430
 56,960
 42.66
 2,430
 2,430
2018 Equity Shelf Program issuances 5,241,349
 69.95 366,640
 364,070
 5,241,349
 69.95
 366,640
 364,070
2018 Preferred stock conversions 83
 
 
 83
   
 
2018 Stock incentive plans, net of forfeitures 115,243
 
 
 115,243
   
 
2018 Totals 11,943,052
 $797,079
 $789,575
 11,943,052
   $797,079
 $789,575
        
2019 Dividend reinvestment plan issuances 5,798,979 $77.18
 $447,559
 $443,929
2019 Option exercises 10,736 51.32 551
 551
2019 Equity Shelf Program issuances 7,855,956 78.15 613,948
 611,645
2019 Preferred stock conversions 12,712,452   
 
2019 Stock incentive plans, net of forfeitures 203,889   
 
2019 Totals 26,582,012
   $1,062,058
 $1,056,125

Dividends
The increase in dividends is primarily attributable to increases in our common shares outstanding, offset by the conversion and redemption of the Series I and Series J preferred stock, as described above. Please refer to Note 1819 for information related to federal income tax of dividends. The following is a summary of our dividend payments (in thousands, except per share amounts):
 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
 Per Share Amount Per Share Amount Per Share Amount Per Share Amount Per Share Amount Per Share Amount
Common Stock $3.4800
 $1,300,141
 $3.4800
 $1,277,321
 $3.4400
 $1,233,519
 $3.4800
 $1,404,977
 $3.4800
 $1,300,141
 $3.4800
 $1,277,321
Series I Preferred Stock 3.2500
 46,704
 3.2500
 46,711
 3.2500
 46,719
 
 
 3.2500
 46,704
 3.2500
 46,711
Series J Preferred Stock 
 
 0.2347
 2,699
 1.6251
 18,687
 
 
 
 
 0.2347
 2,699
Totals   $1,346,845
   $1,326,731
   $1,298,925
   $1,404,977
   $1,346,845
   $1,326,731

Accumulated Other Comprehensive Income.
The following is a summary of accumulated other comprehensive income/(loss) for the periods presented (in thousands):
  Unrecognized gains (losses) related to:  
  Foreign Currency Translation Available for Sale Securities Actuarial losses Cash Flow Hedges Total
Balance at December 31, 2017 $(110,581) $
 $(884) $
 $(111,465)
Other comprehensive income (loss) (18,648) 
 344
 
 (18,304)
           
Net current-period other comprehensive income (loss) (18,648) 
 344
 
 (18,304)
Balance at December 31, 2018 $(129,229) $
 $(540) $
 $(129,769)
           
Balance at December 31, 2016 $(173,496) $5,120
 $(1,153) $(2) $(169,531)
Other comprehensive income (loss) before reclassification adjustments 62,915
 
 269
 2
 63,186
Reclassification adjustment for write down of equity investment 
 (5,120) 
 
 (5,120)
           
Net current-period other comprehensive income (loss) 62,915
 (5,120) 269
 2
 58,066
Balance at December 31, 2017 $(110,581) $
 $(884) $
 $(111,465)
  December 31, 2019
December 31, 2018
Foreign currency translation $(719,814)
$(868,006)
Derivative and financial instruments designated as hedges 607,657

738,777
Actuarial losses 

(540)
Total accumulated other comprehensive loss $(112,157)
$(129,769)

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


14.15. Stock Incentive Plans
In May 2016, our shareholders approved the 2016 Long-Term Incentive Plan (“2016 Plan”), which authorizesauthorized up to 10,000,000 shares of common stock to be issued at the discretion of the Compensation Committee of the Board of Directors. Awards granted after May 5, 2016 are issued out of the 2016 Plan. The awards granted under the Amended and Restated 2005 Long-Term Incentive Plan continue to vest and options expire ten years from the date of grant. Our non-employee directors, officers and key employees are eligible to participate in the 2016 Plan. The 2016 Plan allows for the issuance of, among other things, stock options, stock appreciation rights, restricted stock, deferred stock units and dividend equivalent rights. Vesting periods for options, deferred stock units and restricted shares generally range from three to five years.
Under our long-term incentive plan, certain restricted stock awards are market, performance and time-based. For market and performance based awards, we will grant a target number of restricted stock units, with the ultimate award determined by the total

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shareholder return and operating performance metrics, measured in each case over a measurement period of two to three years. Generally awards vest over two to three years after the end of the performance period with a portion vesting immediately at the end of the performance periods. The expected term represents the period from the grant date to the end of the performance period. Compensation expense for these performance grants is measured based on the probability of achievement of certain performance goals and is recognized over both the performance period and vesting period. For the portion of the grant for which the award is determined by the operating performance metrics, the compensation cost is based on the grant date closing price and management’s estimate of corporate achievement of the financial metrics. If the estimated number of performance based restricted stock to be earned changes, an adjustment will be recorded to recognize the accumulated difference between the revised and previous estimates. For the portion of the grant determined by the total shareholder return, management used a Monte Carlo model to assess the fair value and compensation cost. Forfeitures are accounted for as they occur.
The following table summarizes compensation expense (a component of general and administrative expenses and property operating expenses) recognized for the periods presented (in thousands):
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Stock options $
 $10
 $266
 $
 $
 $10
Restricted stock 27,646
 19,092
 28,603
 25,047
 27,646
 19,092
 $27,646
 $19,102
 $28,869
 $25,047
 $27,646
 $19,102

Restricted Stock
The fair value of the restricted stock is equal to the market price of the company’s common stock on the date of grant and is amortized over the vesting periods. As of December 31, 2018,2019, there was $35,834,000$30,755,000 of total unrecognized compensation expense related to unvested restricted stock that is expected to be recognized over a weighted-average period of two years. The following table summarizes information about non-vested restricted stock incentive awards as of and for the year ended December 31, 2018:2019: 
 Restricted Stock Restricted Stock
 
Number of
Shares
(000's)
 
Weighted-Average
Grant Date
Fair Value
 Number of Shares (000's) 
Weighted-Average
Grant Date Fair Value
Non-vested at December 31, 2017 698
 $61.00
Non-vested at December 31, 2018 1,220
 $62.56
Vested (166) 63.88
 (364) 52.15
Granted 723
 54.16
 367
 85.80
Terminated (35) 60.90
 (117) 66.25
Non-vested at December 31, 2018 1,220
 $62.56
Non-vested at December 31, 2019 1,106
 $70.26
 
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


15.16. Earnings Per Share
The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data):
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Numerator for basic and diluted earnings per share -            
net income attributable to common stockholders $758,250
 $463,595
 $1,012,397
 $1,232,432
 $758,250
 $463,595
            
Denominator for basic earnings per      
share: weighted-average shares 373,620
 367,237
 358,275
Denominator for basic earnings per share - weighted average shares 401,845
 373,620
 367,237
Effect of dilutive securities:            
Employee stock options 9
 47
 110
 
 9
 47
Non-vested restricted shares 512
 482
 449
 835
 512
 482
Redeemable shares 1,096
 1,235
 1,393
 1,112
 1,096
 1,235
Employee stock purchase program 13
 
 
 16
 13
 
Dilutive potential common shares 1,630
 1,764
 1,952
 1,963
 1,630
 1,764
Denominator for diluted earnings per      
share: adjusted-weighted average shares 375,250
 369,001
 360,227
Denominator for diluted earnings per share - adjusted weighted average shares 403,808
 375,250
 369,001
            
Basic earnings per share $2.03
 $1.26
 $2.83
 $3.07
 $2.03
 $1.26
Diluted earnings per share $2.02
 $1.26
 $2.81
 $3.05
 $2.02
 $1.26

TheAs of December 31, 2018 and December 31, 2017, the Series I Cumulative Convertible Perpetual Preferred Stock were excluded from the calculations as the effect of the conversions were anti-dilutive. As of December 31, 2019, forward sales agreements outstanding for the sale of 4,935,804 shares of common stock were not included in the computation of diluted earnings per share because such forward sales were anti-dilutive for the period.

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16.17. Disclosure about Fair Value of Financial Instruments 
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A three-level valuation hierarchy exists for disclosures of fair value measurements based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels are defined below:
Level 1 - Quoted prices in active markets for identical assets or liabilities.
Level 2 - Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. 
Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. 
The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value: 
Mortgage Loans, and Other Real Estate Loans and Non Real Estate Loans Receivable— The carryingfair value of mortgage loans, and other real estate loans and non real estate loans receivable is net of related reserves. The fair value is generally estimated by using Level 2 and Level 3 inputs such as discounting the estimated future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. 
Cash and Cash Equivalents and Restricted Cash — The carrying amount approximates fair value. 
Equity Securities — Equity securities are recorded at their fair value based on Level 1 publicly available trading prices. 
Borrowings Under Primary Unsecured Credit Facility and Commercial Paper Program — The carrying amount of the primary unsecured credit facility and commercial paper program approximates fair value because the borrowings are interest rate adjustable. 
Senior Unsecured Notes — The fair value of the senior unsecured notes payable was estimated based on Level 1 publicly available trading prices. The carrying amount of the variable rate senior unsecured notes approximates fair value because they are interest rate adjustable. 
Secured Debt — The fair value of fixed rate secured debt is estimated using Level 2 inputs by discounting the estimated future cash flows using the current rates at which similar loans would be made with similar credit ratings and for the same remaining
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


maturities. The carrying amount of variable rate secured debt approximates fair value because the borrowings are interest rate adjustable. 
Foreign Currency Forward Contracts, Interest Rate Swaps and Cross Currency Swaps — Foreign currency forward contracts, interest rate swaps and cross currency swaps are recorded in other assets or other liabilities on the balance sheet at fair value that is derived from observable market value. Fair market value is determined using Level 2 inputs by estimating the future value of the currency pair based on existingdata, including yield curves and foreign exchange rates comprised(all of current spot and traded forward points, and calculating a present value of the net amount using a discount factor based on observable traded interest rates.our derivative instruments are Level 2).  
Redeemable OP Unitholder Interests — Our redeemable OP unitholder interests are recorded on the balance sheet at fair value using Level 2 inputs. The fair value is measured using the closing price of our common stock, as units may be redeemed at the election of the holder for cash or, at our option, one share of our common stock per unit, subject to adjustment in certain circumstances. 

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The carrying amounts and estimated fair values of our financial instruments are as follows as of the dates presented (in thousands):
 December 31, 2018 December 31, 2017 December 31, 2019 December 31, 2018
 Carrying Fair Carrying Fair Carrying Fair Carrying Fair
 Amount Value Amount Value Amount Value Amount Value
Financial assets:                
Mortgage loans receivable $249,071
 $257,337
 $306,120
 $332,508
 $145,686
 $150,217
 $249,071
 $257,337
Other real estate loans receivable 81,268
 82,742
 121,379
 125,480
 124,696
 128,512
 81,268
 82,742
Equity securities 11,286
 11,286
 7,269
 7,269
 15,685
 15,685
 11,286
 11,286
Cash and cash equivalents 215,376
 215,376
 243,777
 243,777
 284,917
 284,917
 215,376
 215,376
Restricted cash 100,753
 100,753
 65,526
 65,526
 100,849
 100,849
 100,753
 100,753
Foreign currency forward contracts and cross currency swaps 94,729
 94,729
 15,604
 15,604
Non real estate loans receivable 336,854
 379,239
 282,443
 384,150
Foreign currency forward contracts, interest rate swaps and cross currency swaps 18,554
 18,554
 94,729
 94,729
                
Financial liabilities:                
Borrowings under unsecured credit facilities $1,147,000
 $1,147,000
 $719,000
 $719,000
Borrowings under unsecured credit facility and commercial paper $1,587,597
 $1,587,597
 $1,147,000
 $1,147,000
Senior unsecured notes 9,603,299
 10,043,797
 8,331,722
 9,168,432
 10,336,513
 11,400,571
 9,603,299
 10,043,797
Secured debt 2,476,177
 2,499,130
 2,608,976
 2,641,997
 2,990,962
 3,041,893
 2,476,177
 2,499,130
Foreign currency forward contracts and cross currency swaps 71,109
 71,109
 38,654
 38,654
Foreign currency forward contracts, interest rate swaps and cross currency swaps 53,601
 53,601
 71,109
 71,109
                
Redeemable OP unitholder interests $103,071
 $103,071
 $97,476
 $97,476
 $121,440
 $121,440
 $103,071
 $103,071


Items Measured at Fair Value on a Recurring Basis 
The market approach is utilized to measure fair value for our financial assets and liabilities reported at fair value on a recurring basis. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. The following summarizes items measured at fair value on a recurring basis (in thousands):
 Fair Value Measurements as of December 31, 2018 Fair Value Measurements as of December 31, 2019
 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3
Equity securities $11,286
 $11,286
 $
 $
 $15,685
 $15,685
 $
 $
Foreign currency forward contracts and cross currency swaps, net asset (liability)(1)
 23,620
 
 23,620
 
Foreign currency forward contracts, interest rate swaps and cross currency swaps, net asset (liability)(1)
 (35,047) 
 (35,047) 
Redeemable OP unitholder interests 103,071
 
 103,071
 
 121,440
 
 121,440
 
Totals  $137,977
 $11,286
 $126,691
 $
 $102,078
 $15,685
 $86,393
 $

(1) Please see Note 1112 for additional information.
Items Measured at Fair Value on a Nonrecurring Basis 
In addition to items that are measured at fair value on a recurring basis, we have assets and liabilities that are measured at fair value on a nonrecurring basis that are not included in the tables above. Assets, liabilities and noncontrolling interests that are measured at fair value on a nonrecurring basis include those acquired or assumed. Asset impairments (if applicable, see Note 5 for impairments of real property and Note 67 for impairments of real estate loans receivable) are also measured at fair value on a nonrecurring basis. We have determined that the fair value measurements included in each of these assets and liabilities rely primarily on company-specific inputs and our assumptions about the use of the assets and settlement of liabilities, as observable
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


inputs are not available. As such, we have determined that each of these fair value measurements generally resides within Level 3 of the fair value hierarchy. We estimate the fair value of real estate and related intangibles using the income approach using unobservable data such as net operating income, estimated capitalization and discount rates. We also consider local and national industry market data including comparable sales, and commonly engage an external real estate appraiser to assist us in our estimation of fair value. We estimate the fair value of assets held for sale based on current sales price expectations or, in the absence of such price expectations, Level 3 inputs described above. We estimate the fair value of loans receivable using projected payoff valuations based on the expected future cash flows and/or the estimated fair value of collateral, net of sales costs, if the repayment of the loan is expected to be provided solely by the collateral. We estimate the fair value of secured debt assumed in business combinations and asset acquisitions using current interest rates at which similar borrowings could be obtained on the transaction date. 
17.18. Segment Reporting
We invest in seniors housing and health care real estate. We evaluate our business and make resource allocations on our three3 operating segments: Seniors Housing Operating, Triple-net and Outpatient Medical. Our seniors housing operatingSeniors Housing Operating properties include seniors apartments, assisted living, independent living/continuing care retirement communities, independent support living (Canada), care homes with and without nursing (U.K.), and combinations thereof that are owned and/or operated through RIDEA structures (see Note 18)19). Our triple-netTriple-net properties include the property types described above as well as long-term/post-acute care.care facilities. Under the Triple-net segment, we invest in seniors housing and health care real estate through acquisition and financing of primarily single tenant properties. Properties acquired are primarily leased under triple-net leases and we are not involved in the management of the property. Our outpatient medicalOutpatient Medical properties include outpatient medical buildings which are typically leased to multiple tenants and generally require a certain level of property management by us.
We evaluate performance based upon NOI of each segment. We define NOI as total revenues, including tenant reimbursements, less property operating expenses. We believe NOI provides investors relevant and useful information because it measures the operating performance of our properties at the property level on an unleveraged basis. We use NOI to make decisions about resource allocations and to assess the property level performance of our properties.
Non-segment revenue consists mainly of interest income on certain non-real estate investments and other income. Non-segment assets consist of corporate assets including cash, deferred loan expenses and corporate offices and equipment among others. Non-property specific revenues and expenses are not allocated to individual segments in determining NOI.
The accounting policies of the segments are the same as those described in the summary of significant accounting policies (see Note 2). The results of operations for all acquisitions described in Note 3 are included in our consolidated results of operations from the acquisition dates and are components of the appropriate segments. There are no intersegment sales or transfers.
Summary information for the reportable segments (which excludes unconsolidated entities) during the years ended December 31, 2019, 2018 2017 and 20162017 is as follows (in thousands):
Year Ended December 31, 2019: Seniors Housing Operating Triple-net Outpatient Medical Non-segment / Corporate Total
Resident fees and services $3,448,175
 $
 $
 $
 $3,448,175
Rental income 
 903,798
 684,602
 
 1,588,400
Interest income 36
 62,599
 1,195
 
 63,830
Other income 8,658
 6,246
 2,031
 3,966
 20,901
Total revenues 3,456,869
 972,643
 687,828
 3,966
 5,121,306
          

Property operating expenses 2,417,349
 53,900
 218,793
 
 2,690,042
Consolidated net operating income 1,039,520
 918,743
 469,035
 3,966
 2,431,264
          

Depreciation and amortization 553,189
 232,626
 241,258
 
 1,027,073
Interest expense 67,983
 12,892
 13,411
 461,273
 555,559
General and administrative expenses 
 
 
 126,549
 126,549
Loss (gain) on derivatives and financial instruments, net 
 (4,399) 
 
 (4,399)
Loss (gain) on extinguishment of debt, net 1,614
 
 
 82,541
 84,155
Provision for loan losses 
 18,690
 
 
 18,690
Impairment of assets 2,145
 11,926
 14,062
 
 28,133
Other expenses 26,348
 13,771
 1,788
 10,705
 52,612
Income (loss) from continuing operations before income taxes and other items 388,241
 633,237
 198,516
 (677,102) 542,892
Income tax (expense) benefit 6,246
 (4,209) (2,710) (2,284) (2,957)
(Loss) income from unconsolidated entities 12,388
 22,985
 7,061
 
 42,434
Gain (loss) on real estate dispositions, net 528,747
 218,322
 972
 
 748,041
Income (loss) from continuing operations 935,622
 870,335
 203,839
 (679,386) 1,330,410
Net income (loss) $935,622
 $870,335
 $203,839
 $(679,386) $1,330,410
          

Total assets $15,784,898
 $9,434,817
 $7,991,521
 $169,515
 $33,380,751


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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Year Ended December 31, 2018: Seniors Housing Operating Triple-net Outpatient Medical Non-segment / Corporate Total
Resident fees and services $3,234,852
 $
 $
 $
 $3,234,852
Rental income 
 828,865
 551,557
 
 1,380,422
Interest income 578
 54,926
 310
 
 55,814
Other income 5,024
 17,173
 4,939
 2,275
 29,411
Total revenues 3,240,454
 900,964
 556,806
 2,275
 4,700,499
          

Property operating expenses 2,255,432
 915
 176,670
 
 2,433,017
Consolidated net operating income 985,022
 900,049
 380,136
 2,275
 2,267,482
          

Depreciation and amortization 529,449
 235,480
 185,530
 
 950,459
Interest expense 69,060
 14,225
 7,051
 436,256
 526,592
General and administrative 
 
 
 126,383
 126,383
Loss (gain) on derivatives and financial instruments, net 
 (4,016) 
 
 (4,016)
Loss (gain) on extinguishment of debt, net 110
 (32) 11,928
 4,091
 16,097
Impairment of assets 7,599
 107,980
 
 
 115,579
Other expenses 6,624
 90,975
(1) 
7,570
 7,729
 112,898
Income (loss) from continuing operations before income taxes and other items 372,180
 455,437
 168,057
 (572,184) 423,490
Income tax benefit (expense) 1,202
 1,611
 (125) (11,362) (8,674)
(Loss) income from unconsolidated entities (28,142) 21,938
 5,563
 
 (641)
Gain (loss) on real estate dispositions, net (2,245) 196,589
 221,231
 
 415,575
Income (loss) from continuing operations 342,995
 675,575
 394,726
 (583,546) 829,750
Net income (loss) $342,995
 $675,575
 $394,726
 $(583,546) $829,750
          

Total assets $14,607,127
 $10,111,227
 $5,426,810
 $196,908
 $30,342,072

Year Ended December 31, 2018: Seniors Housing Operating Triple-net Outpatient Medical Non-segment / Corporate Total
Resident fees and services $3,234,852
 $
 $
 $
 $3,234,852
Rental income 
 828,865
 551,557
 
 1,380,422
Interest income 578
 54,926
 310
 
 55,814
Other income 5,024
 17,173
 4,939
 2,275
 29,411
Total revenues 3,240,454

900,964
 556,806
 2,275
 4,700,499
          

Property operating expenses 2,255,432
 915
 176,670
 
 2,433,017
Consolidated net operating income 985,022

900,049
 380,136
 2,275
 2,267,482
          

Depreciation and amortization 529,449
 235,480
 185,530
 
 950,459
Interest expense 69,060
 14,225
 7,051
 436,256
 526,592
General and administrative expenses 
 
 
 126,383
 126,383
Loss (gain) on derivatives and financial instruments, net 
 (4,016) 
 
 (4,016)
Loss (gain) on extinguishment of debt, net 110
 (32) 11,928
 4,091
 16,097
Impairment of assets 7,599
 107,980
 
 
 115,579
Other expenses 6,624
 90,975
(1) 
7,570
 7,729
 112,898
Income (loss) from continuing operations before income taxes and other items 372,180

455,437
 168,057
 (572,184) 423,490
Income tax (expense) benefit 1,202
 1,611
 (125) (11,362) (8,674)
(Loss) income from unconsolidated entities (28,142) 21,938
 5,563
 
 (641)
Gain (loss) on real estate dispositions, net (2,245) 196,589
 221,231
 
 415,575
Income (loss) from continuing operations 342,995

675,575
 394,726
 (583,546) 829,750
Net income (loss) $342,995

$675,575
 $394,726
 $(583,546) $829,750
          

Total assets $14,607,127
 $10,111,227
 $5,426,810
 $196,908
 $30,342,072
(1) Represents non-capitalizable transaction costs of $81,116,000$81,116,000 primarily related to a joint venture transaction with an existing seniors housing operator including the conversion of properties from Triple-net to Seniors Housing Operating and termination/restructuring of pre-existingpreexisting relationships.

89

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Year Ended December 31, 2017: Seniors Housing Operating Triple-net Outpatient Medical Non-segment / Corporate Total
Resident fees and services $2,779,423
 $
 $
 $
 $2,779,423
Rental income 
 885,811
 560,060
 
 1,445,871
Interest income 69
 73,742
 
 
 73,811
Other income 5,127
 7,531
 3,340
 1,538
 17,536
Total revenues 2,784,619

967,084
 563,400
 1,538
 4,316,641
          

Property operating expenses 1,904,593
 
 179,332
 
 2,083,925
Consolidated net operating income 880,026

967,084
 384,068
 1,538
 2,232,716
          

Depreciation and amortization 484,796
 243,830
 193,094
 
 921,720
Interest expense 63,265
 15,194
 10,015
 396,148
 484,622
General and administrative 
 
 
 122,008
 122,008
Loss (gain) on derivatives and financial instruments, net 
 2,284
 
 
 2,284
Loss (gain) on extinguishment of debt, net 3,785
 29,083
 4,373
 
 37,241
Provision for loan losses 
 62,966
 
 
 62,966
Impairment of assets 21,949
 96,909
 5,625
 
 124,483
Other expenses 8,347
 116,689
(1) 
1,911
 50,829
(2) 
177,776
Income (loss) from continuing operations before income taxes and other items 297,884

400,129
 169,050
 (567,447) 299,616
Income tax (expense) benefit (16,430) (4,291) (1,477) 2,070
 (20,128)
(Loss) income from unconsolidated entities (105,236) 19,428
 2,683
 
 (83,125)
Gain (loss) on real estate dispositions, net 56,295
 286,325
 1,630
 
 344,250
Income (loss) from continuing operations 232,513

701,591
 171,886
 (565,377) 540,613
Net income (loss) $232,513

$701,591
 $171,886
 $(565,377) $540,613

Year Ended December 31, 2017: Seniors Housing Operating Triple-net Outpatient Medical Non-segment / Corporate Total
Resident fees and services $2,779,423
 $
 $
 $
 $2,779,423
Rental income 
 885,811
 560,060
 
 1,445,871
Interest income 69
 73,742
 
 
 73,811
Other income 5,127
 7,531
 3,340
 1,538
 17,536
Total revenues 2,784,619

967,084
 563,400
 1,538
 4,316,641
          

Property operating expenses 1,904,593
 
 179,332
 
 2,083,925
Consolidated net operating income 880,026

967,084
 384,068
 1,538
 2,232,716
          

Depreciation and amortization 484,796
 243,830
 193,094
 
 921,720
Interest expense 63,265
 15,194
 10,015
 396,148
 484,622
General and administrative 
 
 
 122,008
 122,008
Loss (gain) on derivatives and financial instruments, net 
 2,284
 
 
 2,284
Loss (gain) on extinguishment of debt, net 3,785
 29,083
 4,373
 
 37,241
Provision for loan losses 
 62,966
 
 
 62,966
Impairment of assets 21,949
 96,909
 5,625
 
 124,483
Other expenses 8,347
 116,689
(1) 
1,911
 50,829
(2) 
177,776
Income (loss) from continuing operations before income taxes and other items 297,884

400,129
 169,050
 (567,447) 299,616
Income tax benefit (expense) (16,430) (4,291) (1,477) 2,070
 (20,128)
(Loss) income from unconsolidated entities (105,236) 19,428
 2,683
 
 (83,125)
Gain (loss) on real estate dispositions, net 56,295
 286,325
 1,630
 
 344,250
Income (loss) from continuing operations 232,513

701,591
 171,886
 (565,377) 540,613
Net income (loss) $232,513

$701,591
 $171,886
 $(565,377) $540,613
          

Total assets $13,432,001
 $9,325,344
 $5,082,145
 $104,955
 $27,944,445
(1) Primarily represents non-capitalizable transaction costs, including $88,316,000 due to a joint venture transaction with an existing seniors housing operator which converted a portfolio of properties from Triple-net to Seniors Housing Operating and termination/restructuring of pre-existingpreexisting relationships. In addition,Also includes $18,294,000 other-than-temporary impairment charge on the Genesis available-for-sale equity investment.
(2) Primarily related to $40,730,000 expense recognized for the donation of the corporate headquarters.
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


Year Ended December 31, 2016: Seniors Housing Operating Triple-net Outpatient Medical Non-segment / Corporate Total
Resident fees and services $2,504,731
 $
 $
 $
 $2,504,731
Rental income 
 1,112,325
 536,490
 
 1,648,815
Interest income 4,180
 90,476
 3,307
 
 97,963
Other income 17,085
 6,059
 5,568
 939
 29,651
Total revenues 2,525,996

1,208,860
 545,365
 939
 4,281,160
          

Property operating expenses 1,711,882
 
 165,101
 
 1,876,983
Consolidated net operating income 814,114

1,208,860
 380,264
 939
 2,404,177
          

Depreciation and amortization 415,429
 297,197
 188,616
 
 901,242
Interest expense 81,853
 21,370
 19,087
 399,035
 521,345
General and administrative 
 
 
 155,241
 155,241
Loss (gain) on derivatives and financial instruments, net 
 68
 
 (2,516) (2,448)
Transaction costs 29,207
 10,016
 3,687
 
 42,910
Loss (gain) on extinguishment of debt, net (88) 863
 
 16,439
 17,214
Provision for loan losses 
 6,935
 3,280
 
 10,215
Impairment of assets 12,403
 20,169
 4,635
 
 37,207
Other expenses 
 
 
 11,998
 11,998
Income (loss) from continuing operations before income taxes and other items 275,310

852,242
 160,959
 (579,258) 709,253
Income tax benefit (expense) (3,762) (1,087) (511) 24,488
 19,128
(Loss) income from unconsolidated entities (20,442) 9,767
 318
 
 (10,357)
Gain (loss) on real estate dispositions, net 9,880
 355,394
 (1,228) 
 364,046
Income from continuing operations 260,986

1,216,316
 159,538
 (554,770) 1,082,070
Net income (loss) $260,986

$1,216,316
 $159,538
 $(554,770) $1,082,070

Our portfolio of properties and other investments are located in the U.S., the U.K. and Canada. Revenues and assets are attributed to the country in which the property is physically located. The following is a summary of geographic information for the periods presented (dollars in thousands):
 Year Ended Year Ended
 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2019 December 31, 2018 December 31, 2017
Revenues: Amount % Amount % Amount % 
Amount(1)
 % Amount % Amount %
United States $3,777,960
 80.4% $3,464,527
 80.3% $3,453,485
 80.6% $4,205,492
 82.1% $3,777,960
 80.4% $3,464,527
 80.3%
United Kingdom 452,956
 9.6% 407,351
 9.4% 388,383
 9.1% 452,698
 8.8% 452,956
 9.6% 407,351
 9.4%
Canada 469,583
 10.0% 444,763
 10.3% 439,292
 10.3% 463,116
 9.1% 469,583
 10.0% 444,763
 10.3%
Total $4,700,499
 100.0% $4,316,641
 100.0% $4,281,160
 100.0% $5,121,306
 100.0% $4,700,499
 100.0% $4,316,641
 100.0%
                        
 As of     As of    
 December 31, 2018 December 31, 2017     December 31, 2019 December 31, 2018    
Assets: Amount % Amount %     Amount % Amount %    
United States $24,884,292
 82.0% $22,274,443
 79.7%     $27,513,911
 82.4% $24,884,292
 82.0%    
United Kingdom 3,078,994
 10.1% 3,239,039
 11.6%     3,405,388
 10.2% 3,078,994
 10.1%    
Canada 2,378,786
 7.9% 2,430,963
 8.7%     2,461,452
 7.4% 2,378,786
 7.9%    
Total $30,342,072
 100.0% $27,944,445
 100.0%     $33,380,751
 100.0% $30,342,072
 100.0%    
 
(1) The United States, United Kingdom and Canada represent 77%, 10% and 13%, respectively, of our resident fees and services revenue stream for the year ended December 31, 2019.

90

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


18.19. Income Taxes and Distributions 
We elected to be taxed as a REIT commencing with our first taxable year. To qualify as a REIT for federal income tax purposes, at least 90% of taxable income (excluding net capital gains) must be distributed to stockholders. REITs that do not distribute a
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


certain amount of current year taxable income are also subject to a 4% federal excise tax. The main differences between net income for federal income tax purposes and consolidated financial statement purposes are the recognition of straight-line rent for reporting purposes, basis differences in acquisitions, recording of impairments, differing useful lives and depreciation and amortization methods for real property and the provision for loan losses for reporting purposes versus bad debt expense for tax purposes. 
Cash distributions paid to common stockholders, for federal income tax purposes, are as follows for the periods presented:
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Per share:            
Ordinary dividend(1)
 $2.1988
 $1.8117
 $2.5067
 $2.6937
 $2.1988
 $1.8117
Long-term capital gain/(loss)(2)
 1.1153
 1.5755
 0.8760
 0.7863
 1.1153
 1.5755
Return of capital 0.1659
 0.0928
 0.0573
 
 0.1659
 0.0928
Totals $3.4800
 $3.4800
 $3.4400
 $3.4800
 $3.4800
 $3.4800
(1) For the years ended December 31, 2019 and 2018, includes Section 199A dividends of $2.6937 and $2.1988, respectively. For the year ended December 31, 2018,2017, includes Section 199A dividendsQualified Dividend of $2.1988.$0.0038.
(2) For the years ended December 31, 20172019, 2018 and 2016, includes Qualified Dividend of $0.0038 and $0.0047, respectively.
(2) For the years ended December 31, 2018, 2017, and 2016, includes Unrecaptured SEC. 1250 Gains of $0.2835, $0.3822 and $0.3557, and $0.4120, respectively.

Our consolidated provision for income tax expense (benefit) is as follows for the periods presented (in thousands):
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Current $15,850
 $7,633
 $14,944
 $12,594
 $15,850
 $7,633
Deferred (7,176) 12,495
 (34,072) (9,637) (7,176) 12,495
Totals $8,674
 $20,128
 $(19,128) $2,957
 $8,674
 $20,128

REITs generally are not subject to U.S. federal income taxes on that portion of REIT taxable income or capital gain that is distributed to stockholders. For the tax year ended December 31, 2018,2019, as a result of ownership of investments in Canada and the U.K., we were subject to foreign income taxes under the respective tax laws of these jurisdictions. 
The provision for income taxes for the year ended December 31, 20182019 primarily relates to state taxes, foreign taxes, and taxes based on income generated by entities that are structured as TRSs. For the tax years ended December 31, 2019, 2018 2017 and 2016,2017, the foreign tax provision/(benefit) amount included in the consolidated provision for income taxes was $(3,892,000), $9,804,000 $4,806,000 and $(3,315,000),$4,806,000, respectively.
A reconciliation of income taxes, which is computed by applying the federal corporate tax rate for the years ended December 31, 2019, 2018 2017 and 2016,2017, to the income tax expense/(benefit) is as follows for the periods presented (in thousands):
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Tax at statutory rate on earnings from continuing operations before unconsolidated entities, noncontrolling interests and income taxes $176,069
 $199,588
 $372,030
 $280,005
 $176,069
 $199,588
Increase (decrease) in valuation allowance(1)
 28,309
 30,445
 (2,128) 3,465
 28,309
 30,445
Tax at statutory rate on earnings not subject to federal income taxes (206,937) (234,468) (399,571) (311,224) (206,937) (234,468)
Foreign permanent depreciation 8,110
 10,065
 9,205
 9,260
 8,110
 10,065
Other differences 3,123
 14,498
 1,336
 21,451
 3,123
 14,498
Totals $8,674
 $20,128
 $(19,128) $2,957
 $8,674
 $20,128
(1) Excluding purchase price accounting.
Each TRS and foreign entity subject to income taxes is a tax paying component for purposes of classifying deferred tax assets and liabilities. The tax effects of taxable and deductible temporary differences, as well as tax asset/(liability) attributes, are summarized as follows for the periods presented (in thousands):

91

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Investments and property, primarily differences in investment basis, depreciation and amortization, the basis of land assets and the treatment of interests and certain costs $(2,533) $(11,812) $(7,089) $(13,064) $(2,533) $(11,812)
Operating loss and interest deduction carryforwards 98,713
 94,654
 82,469
 127,525
 98,713
 94,654
Expense accruals and other 48,804
 25,146
 15,978
 43,056
 48,804
 25,146
Valuation allowance (155,592) (127,283) (96,838) (159,057) (155,592) (127,283)
Net deferred tax assets (liabilities) $(10,608) $(19,295) $(5,480) $(1,540) $(10,608) $(19,295)

We assess the available positive and negative evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets. We apply the concepts on an entity-by-entity, jurisdiction-by-jurisdiction basis. With respect to the analysis of certain entities in multiple jurisdictions, a significant piece of objective negative evidence evaluated was the cumulative loss incurred over the three-year period ended December 31, 2018. Such objective evidence limits the ability to consider other subjective evidence such as our projections for future growth. 
On the basis of the evaluations performed as required by the codification, valuation allowances totaling $155,592,000$159,057,000 were recorded on U.S. taxable REIT subsidiaries as well as entities in other jurisdictions to limit the deferred tax assets to the amount that we believe is more likely that not realizable. However, the amount of the deferred tax asset considered realizable could be adjusted if (i) estimates of future taxable income during the carryforward period are reduced or increased or (ii) objective negative evidence in the form of cumulative losses is no longer present (and additional weight may be given to subjective evidence such as our projections for growth). The valuation allowance rollforward is summarized as follows for the periods presented (in thousands):
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Beginning balance $127,283
 $96,838
 $98,966
 $155,592
 $127,283
 $96,838
Expense (benefit) 28,309
 30,445
 (2,128) 3,465
 28,309
 30,445
Ending balance $155,592
 $127,283
 $96,838
 $159,057
 $155,592
 $127,283

As a result of certain acquisitions, we are subject to corporate level taxes for any related asset dispositions that may occur during the five-year period immediately after such assets were owned by a C corporation (“built-in gains tax”). The amount of income potentially subject to this special corporate level tax is generally equal to the lesser of (a)(i) the excess of the fair value of the asset over its adjusted tax basis as of the date it became a REIT asset, or (b)(ii) the actual amount of gain. Some but not all gains recognized during this period of time could be offset by available net operating losses and capital loss carryforwards. During the year ended December 31, 2017, we acquired certain additional assets with built-in gains as of the date of acquisition that could be subject to the built-in gains tax if disposed of prior to the expiration of the applicable five-year period. We have not recorded a deferred tax liability as a result of the potential built-in gains tax based on our intentions with respect to such properties and available tax planning strategies. 
Under the provisions of the REIT Investment Diversification and Empowerment Act of 2007 (“RIDEA”), the REIT may lease “qualified health care properties” on an arm’s-length basis to a TRS if the property is operated on behalf of such subsidiary by a person who qualifies as an “eligible independent contractor.” Generally, the rent received from the TRS will meet the related party rent exception and will be treated as “rents from real property.” A “qualified health care property” includes real property and any personal property that is, or is necessary or incidental to the use of, a hospital, nursing facility, assisted living facility, congregate care facility, qualified continuing care facility, or other licensed facility which extends medical or nursing or ancillary services to patients. We have entered into various joint ventures that were structured under RIDEA. Resident level rents and related operating expenses for these facilities are reported in the consolidated financial statements and are subject to federal, state and foreign income taxes as the operations of such facilities are included in a TRS. Certain net operating loss carryforwards could be utilized to offset taxable income in future years. 
Given the applicable statute of limitations, we generally are subject to audit by the Internal Revenue Service (“IRS”) for the year ended December 31, 20152016 and subsequent years. The statute of limitations may vary in the states in which we own properties or conduct business. We do not expect to be subject to audit by state taxing authorities for any year prior to the year ended December 31, 2012.2015. We are also subject to audit by the Canada Revenue Agency and provincial authorities generally for periods subsequent to May 2013 related to entities acquired or formed in connection with acquisitions, and by the U.K.’s HM Revenue & Customs for periods subsequent to August 2013 related to entities acquired or formed in connection with acquisitions. 
At December 31, 2018,2019, we had a net operating loss (“NOL”) carryforward related to the REIT of $348,031,000.$337,287,000. Due to our uncertainty regarding the realization of certain deferred tax assets, we have not recorded a deferred tax asset related to NOLs generated by the REIT. These amounts can be used to offset future taxable income (and/or taxable income for prior years if an
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


audit determines that tax is owed), if any. The REIT will be entitled to utilize NOLs and tax credit carryforwards only to the extent that REIT taxable income exceeds our deduction for dividends paid. The NOL carryforwards generated through December 31, 2017 will expire through 2037. Beginning with tax years after December 31, 2017, the Tax Cuts and Jobs Act eliminates the carryback period, limits the NOLs to 80% of taxable income and replaces the 20-year carryforward period with an indefinite carryforward period. 
At December 31, 20182019 and 2017,2018, we had an NOL carryforward related to Canadian entities of $154,029,000,$195,791,000, and $134,552,000,$154,029,000, respectively. These Canadian losses have a 20-year carryforward period. At December 31, 20182019 and 2017,2018, we had an NOL carryforward related to U.K. entities of $242,377,000$209,776,000 and $183,712,000,$242,377,000, respectively. These U.K. losses do not have a finite carryforward period. 

92

WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


19.20. Quarterly Results of Operations (Unaudited) 
The following is a summary of our unaudited quarterly results of operations for the years ended December 31, 20182019 and 20172018 (in thousands, except per share data). The sum of individual quarterly amounts may not agree to the annual amounts included in the Consolidated Statements of Comprehensive Income due to rounding.
  Year Ended December 31, 2019
  1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Revenues $1,272,245
 $1,320,106
 $1,266,133
 $1,262,822
Net income (loss) attributable to common stockholders 280,470
 137,762
 589,876
 224,324
Net income (loss) attributable to common stockholders per share:        
Basic $0.72
 $0.34
 $1.46
 $0.55
Diluted $0.71
 $0.34
 $1.45
 $0.55
         
  Year Ended December 31, 2018
  1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Revenues $1,096,965
 $1,125,912
 $1,236,379
 $1,241,243
Net income attributable to common stockholders 437,671
 154,432
 64,384
 101,763
Net income attributable to common stockholders per share:        
Basic $1.18
 $0.42
 $0.17
 $0.27
Diluted $1.17
 $0.41
 $0.17
 $0.27
  Year Ended December 31, 2018
  1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Revenues $1,096,965
 $1,125,912
 $1,236,379
 $1,241,243
Net income (loss) attributable to common stockholders 437,671
 154,432
 64,384
 101,763
Net income (loss) attributable to common stockholders per share:        
Basic $1.18
 $0.42
 $0.17
 $0.27
Diluted $1.17
 $0.41
 $0.17
 $0.27
         
  Year Ended December 31, 2017
  1st Quarter 2nd Quarter 3rd Quarter 
4th Quarter(1)
Revenues $1,062,298
 $1,058,602
 $1,091,483
 $1,104,257
Net income attributable to common stockholders 312,639
 188,429
 74,043
 (111,523)
Net income attributable to common stockholders per share:        
Basic $0.86
 $0.51
 $0.20
 $(0.31)
Diluted $0.86
 $0.51
 $0.20
 $(0.31)
(1) The decrease in net income (loss) and amounts per share are primarily attributable to $99,821,100 impairment of assets and $62,966,000 provision for loan losses recognized in the fourth quarter.

20.21. Variable Interest Entities 
We have entered into joint ventures to own certain seniors housing and outpatient medical assets which are deemed to be variable interest entities (“VIEs”). We have concluded that we are the primary beneficiary of these VIEs based on a combination of operational control of the joint venture and the rights to receive residual returns or the obligation to absorb losses arising from the joint ventures. Except for capital contributions associated with the initial joint venture formations, the joint ventures have been and are expected to be funded from the ongoing operations of the underlying properties. Accordingly, such joint ventures have been consolidated, and the table below summarizes the balance sheets of consolidated VIEs in the aggregate (in thousands):
 December 31, 2018 December 31, 2017 December 31, 2019 December 31, 2018
Assets:        
Net real property owned $973,813
 $1,002,137
Net real estate investments $960,093
 $973,813
Cash and cash equivalents 18,678
 12,308
 27,522
 18,678
Receivables and other assets 14,600
 16,330
 14,586
 14,600
Total assets(1)
 $1,007,091
 $1,030,775
 $1,002,201
 $1,007,091
Liabilities and equity:        
Secured debt $465,433
 $471,103
 $460,117
 $465,433
Lease liabilities 1,326
 
Accrued expenses and other liabilities 18,229
 14,832
 22,215
 18,229
Total equity 523,429
 544,840
 518,543
 523,429
Total liabilities and equity $1,007,091
 $1,030,775
 $1,002,201
 $1,007,091
 
(1) Note that assets of the consolidated VIEs can only be used to settle obligations relating to such VIEs. Liabilities of the consolidated VIEs represent claims against the specific assets of the VIEs.
WELLTOWER INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


21. Subsequent Events
93
Senior Notes Activity
On February 15, 2019, we completed the issuance of $500 million of 3.625% senior unsecured notes due 2024 and $550 million of 4.125% senior unsecured notes due 2029.
On February 15, 2019, we also announced the redemption of $600 million of 4.125% senior unsecured notes due 2019 and $450 million of 6.125% senior unsecured notes due 2020.
Preferred Stock Activity
On February 21, 2019, we announced that we elected to effect the conversion of all of the outstanding Series I Preferred Stock. Each share of convertible preferred stock will be converted into 0.8857 shares of common stock on February 28, 2019.


Item 9.  Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
Not applicable.
Item 9A.  Controls and Procedures
Disclosure Controls and Procedures
An evaluation was carried out under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the disclosure controls and procedures (as defined in Rule 13a-15(e) of the Securities Exchange Act of 1934, as amended) as of the end of the period covered by this report. Based on that evaluation, the Chief Executive Officer and Chief Financial Officer concluded that the disclosure controls and procedures were effective as of the end of the period covered by this report.
Management’s Report on Internal Control over Financial Reporting
Management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13a-15(f) of the Securities Exchange Act of 1934, as amended). The Company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. generally accepted accounting principles. The Company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial statements. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Management has assessed the effectiveness of the Company’s internal control over financial reporting as of December 31, 20182019 based on the criteria established by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) in a report entitled Internal Control — Integrated Framework.
Based on this assessment, using the criteria above, management concluded that the Company’s system of internal control over financial reporting was effective as of December 31, 2018.2019.
The independent registered public accounting firm of Ernst & Young LLP, as auditors of the Company’s consolidated financial statements, has issued an attestation report on the Company’s internal control over financial reporting.
Changes in Internal Control over Financial Reporting
No change in our internal control over financial reporting (as defined in Rule 13a-15(f) of the Securities Exchange Act of 1934, as amended) occurred during the fourth quarter of the one-year period covered by this report that materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 
TheTo the Shareholders and the Board of Directors of Welltower Inc. 
Opinion on Internal Control over Financial reportingReporting
We have audited Welltower Inc. and subsidiaries’ internal control over financial reporting as of December 31, 2018,2019, based on criteria established in Internal Control – Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) (the “COSO Criteria”)COSO criteria). In our opinion, Welltower Inc. and subsidiaries (the Company) maintained, in all material respects, effective internal control over financial reporting as of December 31, 2018,2019, based on the COSO Criteria.criteria.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated balance sheets of Welltower Inc. and subsidiaries as of December 31, 20182019 and 2017,2018, the related consolidated statements of comprehensive income, equity and cash flows for each of the three years in the period ended December 31, 2018,2019, and the related notes and financial statement schedules listed in the index at Item 15(a) and our report dated February 25, 201914, 2020 expressed an unqualified opinion thereon.
Basis for Opinion
The Company’s management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting included in the accompanying Management’s Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the Company’s internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects.
Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.
Definition and Limitations of Internal Control over Financial Reporting 
A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
 
/s/  Ernst & Young LLP
 
Toledo, Ohio
February 25, 201914, 2020

95


Item 9B. Other Information
None.

96


PART III 
Item 10.  Directors, Executive Officers and Corporate Governance 
The information required by this Item is incorporated herein by reference to the information under the headings “Election of Directors,” “Corporate Governance,” “Executive Officers,” and “Security Ownership of Directors and Management and Certain Beneficial Owners — Section 16(a) Beneficial Ownership Reporting Compliance” in our definitive proxy statement, which will be filed with the Securities and Exchange Commission (the “Commission”) prior to May 1, 2019.2020. 
We have adopted a Code of Business Conduct and Ethics that applies to our directors, officers and employees. The code is posted on the Internet at www.welltower.com/investors/governance. Any amendment to, or waivers from, the code that relate to any officer or director of the company will be promptly disclosed on the Internet at www.welltower.com. 
In addition, the Board has adopted charters for the Audit, Compensation and Nominating/Corporate Governance Committees. These charters are posted on the Internet at www.welltower.com/investors/governance.  Please refer to “Item 7 – Management’s Discussion and Analysis of Financial Condition and Results of Operations – Executive Summary – Corporate Governance” in the Annual Report on Form 10-K for further discussion of corporate governance. 
The information on our website is not incorporated by reference in this Annual Report on Form 10-K, and our web address is included as an inactive textual reference only. 
Item 11.  Executive Compensation 
The information required by this Item is incorporated herein by reference to the information under the headings “Executive Compensation” and “Director Compensation” in our definitive proxy statement, which will be filed with the Commission prior to May 1, 2019.2020.
Item 12.  Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 
The information required by this Item is incorporated herein by reference to the information under the headings “Security Ownership of Directors and Management and Certain Beneficial Owners” and “Equity Compensation Plan Information” in our definitive proxy statement, which will be filed with the Commission prior to May 1, 2019.2020.
Item 13.  Certain Relationships and Related Transactions and Director Independence
The information required by this Item is incorporated herein by reference to the information under the headings “Corporate Governance — Independence and Meetings” and “Security Ownership of Directors and Management and Certain Beneficial Owners — Certain Relationships and Related Transactions” in our definitive proxy statement, which will be filed with the Commission prior to May 1, 2019.2020.
Item 14.  Principal Accounting Fees and Services
The information required by this Item is incorporated herein by reference to the information under the heading “Ratification of the Appointment of the Independent Registered Public Accounting Firm” in our definitive proxy statement, which will be filed with the Commission prior to May 1, 2019.2020.

97


PART IV
Item 15. Exhibits and Financial Statement Schedules
(a)1.
1. (i)     Our Consolidated Financial Statements are included in Part II, Item 8:  
Report of Independent Registered Public Accounting Firm
Consolidated Balance Sheets – December 31, 20182019 and 20172018
Consolidated Statements of Comprehensive Income — Years ended December 31, 2019, 2018 2017 and 20162017
Consolidated Statements of Equity — Years ended December 31, 2019, 2018 2017 and 20162017
Consolidated Statements of Cash Flows — Years ended December 31, 2019, 2018 2017 and 20162017
Notes to Consolidated Financial Statements
 
2.
The following Financial Statement Schedules are included beginning on page 105:
(ii)    The following Financial Statement Schedules are included beginning on page 105
III – Real Estate and Accumulated Depreciation
IV – Mortgage Loans on Real Estate 
The financial statement schedule required by Item15(a) (Schedule II, Valuation and Qualifying Accounts) is included in Item 8 of this Annual Report on Form 10-K. 
(b)Exhibits:
2.     Exhibits:
The exhibits listed below are either filed with this Form 10-K or incorporated by reference in accordance with Rule 12b-32 of the Securities Exchange Act of 1934.




















2.1
3.1(a)     Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 10-K filed March 20, 2000 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(b)     Certificate of Amendment of Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 10-K filed March 20, 2000 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(c)      Certificate of Amendment of Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 8-K filed June 13, 2003 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(d)     Certificate of Amendment of Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.9 to the Company’s Form 10-Q filed August 9, 2007 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(e)      Certificate of Change of Location of Registered Office and of Registered Agent of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 10-Q filed August 6, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(f)      Certificate of Designation of 6.50% Series I Cumulative Convertible Perpetual Preferred Stock of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 8-K filed March 7, 2011 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(g)      Certificate of Amendment of Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 8-K filed May 10, 2011 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(h)     Certificate of Amendment of Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 8-K filed May 6, 2014 (File No. 001-08923), and incorporated herein by reference thereto).
3.1(i)       Certificate of Amendment of Second Restated Certificate of Incorporation of the Company (filed with the Commission as Exhibit 3.1 to the Company’s Form 8-K filed September 30, 2015 (File No. 001-08923), and incorporated herein by reference thereto).
3.2
4.1(a)     Indenture, dated as of March 15, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.1 to the Company’s Form 8-K filed March 15, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(b)     Supplemental Indenture No. 1, dated as of March 15, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed March 15, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(c)      Amendment No. 1 to Supplemental Indenture No. 1, dated as of June 18, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.3 to the Company’s Form 8-K filed June 18, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(d)     Supplemental Indenture No. 2, dated as of April 7, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed April 7, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(e)      Amendment No. 1 to Supplemental Indenture No. 2, dated as of June 8, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.3 to the Company’s Form 8-K filed June 8, 2010 (File No. 001-08923), and incorporated herein by reference thereto).

4.1(f)      Supplemental Indenture No. 3, dated as of September 10, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed September 13, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(g)      Supplemental Indenture No. 4, dated as of November 16, 2010, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed November 16, 2010 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(h)     Supplemental Indenture No. 5, dated as of March 14, 2011, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed March 14, 2011 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(i)       Supplemental Indenture No. 6, dated as of April 3, 2012, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed April 4, 2012 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(j)      Supplemental Indenture No. 7, dated as of December 6, 2012, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed December 11, 2012 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(k)     Supplemental Indenture No. 8, dated as of October 7, 2013, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed October 9, 2013 (File No. 001-08923), and incorporated herein by reference thereto).  
4.1(l)       Supplemental Indenture No. 9, dated as of November 20, 2013, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed November 20, 2013 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(m)    Supplemental Indenture No. 10, dated as of November 25, 2014, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed November 25, 2014 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(n)     Supplemental Indenture No. 11, dated as of May 26, 2015, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed May 27, 2015 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(o)     Amendment No. 1 to Supplemental Indenture No. 11, dated as of October 19, 2015, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.3 to the Company’s Form 8-K filed October 20, 2015 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(p)     Supplemental Indenture No. 12, dated as of March 1, 2016, between the Company and The Bank of New York Mellon Trust Company, N.A. (filed with the Commission as Exhibit 4.2 to the Company’s Form 8-K filed March 3, 2016 (File No. 001-08923), and incorporated herein by reference thereto).
4.1(q)
4.1(r)
4.1(s)
4.1(t)

4.1(u)
4.2         Form of Indenture for Senior Subordinated Debt Securities (filed with the Commission as Exhibit 4.2 to the Company’s Form S-3 (File No. 333-2250004) filed May 17, 2018, and incorporated herein by reference thereto).
4.3          Form of Indenture for Junior Subordinated Debt Securities (filed with the Commission as Exhibit 4.3 to the Company’s Form S-3 (File No. 333-2250004) filed May 17, 2018, and incorporated herein by reference thereto).

4.4(a)     Indenture, dated as of November 25, 2015, by and among HCN Canadian Holdings-1 LP, the Company and BNY Trust Company of Canada (filed with the Commission as Exhibit 4.5(a) to the Company’s Form 10-K  filed February 18, 2016 (File No. 001-08923), and incorporated herein by reference thereto).
4.4(b)     First Supplemental Indenture, dated as of November 25, 2015, by and among HCN Canadian Holdings-1 LP, the Company and BNY Trust Company of Canada (filed with the Commission as Exhibit 4.5(b) to the Company’s Form 10-K filed February 18, 2016 (File No. 001-08923), and incorporated herein by reference thereto).
10.14.4(c)
4.5
10.1(a)
10.1(b)
10.2        Equity Purchase Agreement, dated as of February 28, 2011, by and among the Company, FC-GEN Investment, LLC and FC-GEN Operations Investment, LLC (filed with the Commission as Exhibit 10.1 to the Company’s Form 8-K filed February 28, 2011 (File No. 001-08923), and incorporated herein by reference thereto).
10.3(a)10.2(a)   Amended and Restated Health Care REIT, Inc. 2005 Long-Term Incentive Plan (filed with the Commission as Appendix A to the Company’s Proxy Statement for the 2009 Annual Meeting of Stockholders, filed March 25, 2009 (File No. 001-08923), and incorporated herein by reference thereto).*
10.3(b)10.2(b)   Form of Stock Option Agreement (with Dividend Equivalent Rights) for Executive Officers under the 2005 Long-Term Incentive Plan (filed with the Commission as Exhibit 10.9 to the Company’s Form 8-K filed January 5, 2009 (File No. 001-08923), and incorporated herein by reference thereto).*
10.3(c)10.2(c)   Form of Stock Option Agreement (without Dividend Equivalent Rights) for Executive Officers under the Amended and Restated 2005 Long-Term Incentive Plan (filed with the Commission as Exhibit 10.2 to the Company’s Form 10-Q filed May 10, 2010 (File No. 001-08923), and incorporated herein by reference thereto).*
10.3(d)10.2(d)   Form of Restricted Stock Agreement for the Chief Executive Officer under the Amended and Restated 2005 Long-Term Incentive Plan (filed with the Commission as Exhibit 10.3 to the Company’s Form 10-Q filed May 10, 2010 (File No. 001-08923), and incorporated herein by reference thereto).*
10.3(e)10.2(e)   Form of Restricted Stock Agreement for Executive Officers under the Amended and Restated 2005 Long-Term Incentive Plan (filed with the Commission as Exhibit 10.4 to the Company’s Form 10-Q filed May 10, 2010 (File No. 001-08923), and incorporated herein by reference thereto).*

10.4(a)10.3(a)   Amended and Restated Employment Agreement, dated January 3, 2017, between the Company and Thomas J. DeRosa (filed with the Commission as Exhibit 10.4(a) to the Company’s Form 10-K filed February 22, 2017 (File No. 001-08923), and incorporated herein by reference thereto).*
10.4(b)10.3(b)   Performance-Based Restricted Stock Unit Grant Agreement, dated effective as of July 30, 2014, between the Company and Thomas J. DeRosa (filed with the Commission as Exhibit 10.2 to the Company’s Form 10-Q filed November 4, 2014 (File No. 001-08923), and incorporated herein by reference thereto).*
10.5(a)10.4
10.5(b)10.5
10.6Amended and Restated Employment Agreement, dated June 16, 2017, by and between the Company and Mercedes T. Kerr (filed with the Commission as Exhibit 10.2 to the Company’s Form 10-Q filed July 28, 2017 (File No. 001-08923), and incorporated herein by reference thereto).*

10.7      Form of Indemnification Agreement between the Company and each director, executive officer and officer of the Company (filed with the Commission as Exhibit 10.1 to the Company’s Form 8-K filed February 18, 2005 (File No. 001-08923), and incorporated herein by reference thereto).*
10.8      Summary of Director Compensation.*
10.9(a) Health Care REIT, Inc. 2015-2017 Long-Term Incentive Program (filed with the Commission as Exhibit 10.3 to the Company’s Form 10-Q filed August 4, 2015 (File No. 001-08923), and incorporated herein by reference thereto).*
10.9(b) Form of Performance Restricted Stock Unit Award Agreement under the 2015-2017 Long-Term Incentive Program (filed with the Commission as Exhibit 10.4 to the Company’s Form 10-Q filed August 4, 2015
10.7
10.8(a)
10.8(b)
10.8(c)
10.8(d)
10.9(a)
10.9(b)
10.12(f)
10.10(f)
10.13
10.14(a)
21           Subsidiaries of the Company.
24           Powers of Attorney.
101.INS   Inline XBRL Instance DocumentDocument. The instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
101.SCH   Inline XBRL Taxonomy Extension Schema Document
101.CAL   Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB   Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE    Inline XBRL Taxonomy Extension Presentation Linkbase Document
101.DEF    Inline XBRL Taxonomy Extension Definition Linkbase Document
104The cover page from the Company's Annual Report on Form 10-K for the year ended December 31, 2019, formatted in Inline XBRL (included in Exhibit 101)    
                          
 
* Management Contract or Compensatory Plan or Arrangement.
Item 16.  Form 10-K Summary
None.

102


SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. 
Date:  February 25, 201914, 2020
WELLTOWER INC. 
By: /s/  Thomas J. DeRosa                                             
Thomas J. DeRosa,
Chairman and Chief Executive Officer and Director 
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below on February 25, 201914, 2020 by the following persons on behalf of the Registrant and in the capacities indicated. 
/s/  Jeffrey H. Donahue ** /s/  Johnese SpissoKathryn M. Sullivan **
Jeffrey H. Donahue, Chairman of the BoardLead Director Johnese Spisso,Kathryn M. Sullivan, Director
   
/s/  Kenneth J. Bacon ** /s/  R. Scott Trumbull **
Kenneth J. Bacon, Director R. Scott Trumbull, Director
   
/s/  Karen B. DeSalvo **/s/  Gary Whitelaw **
Karen DeSalvo, DirectorGary Whitelaw, Director
/s/  Geoffrey G. Meyers ** /s/  Thomas J. DeRosa **
Geoffrey G. Meyers,Karen B. DeSalvo, Director Thomas J. DeRosa, Chairman and Chief Executive Officer and Director
  (Principal Executive Officer)
   
/s/  Timothy J. NaughtonSharon M. Oster ** /s/  John A. GoodeyTimothy G. McHugh **
Timothy J. Naughton,Sharon M. Oster, Director John A. Goodey, ExecutiveTimothy G. McHugh, Senior Vice President and Chief
             Financial Officer (Principal Financial Officer)
   
/s/  Sharon M. OsterSergio D. Rivera ** /s/  Joshua T. Fieweger**
Sharon M. Oster,Sergio D. Rivera, Director Joshua T. Fieweger, Senior Vice President and
  Controller (Principal Accounting Officer)
/s/  Johnese M. Spisso **  
/s/  Judith C. Pelham **Johnese M. Spisso, Director **By:     /s/  Thomas J. DeRosa          
Judith C. Pelham, Director                            Thomas J. DeRosa, Attorney-in-Fact
   
/s/  Sergio D. Rivera **  
Sergio D. Rivera, Director  

103


Welltower Inc.Welltower Inc.  Welltower Inc.  
Schedule IIISchedule III  Schedule III  
Real Estate and Accumulated DepreciationReal Estate and Accumulated Depreciation  Real Estate and Accumulated Depreciation  
December 31, 2018  
December 31, 2019December 31, 2019  
(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Acton, MA $
 $
 $31,346
 $1,691
 $24
 $33,013
 $6,127
 2013 2000 10 Devon Drive
Adderbury, UK 
 2,144
 12,549
 
 2,144
 12,549
 621
 2015 2017 Banbury Road $
 $2,144
 $12,549
 $657
 $2,230
 $13,120
 $1,032
 2015 2017 Banbury Road
Albertville, AL 
 170
 6,203
 489
 176
 6,686
 1,998
 2010 1999 151 Woodham Dr.
Albuquerque, NM 
 1,270
 20,837
 2,139
 1,354
 22,892
 6,475
 2010 1984 500 Paisano St NE 
 1,270
 20,837
 2,653
 1,354
 23,406
 7,255
 2010 1984 500 Paisano St NE
Alexandria, VA 
 8,280
 50,914
 
 8,280
 50,914
 1,055
 2016 2018 5550 Cardinal Place 
 8,280
 50,914
 296
 8,280
 51,210
 2,459
 2016 2018 5550 Cardinal Place
Alhambra, CA 
 600
 6,305
 9,067
 600
 15,372
 2,124
 2011 1923 1118 N. Stoneman Ave.
Altrincham, UK 
 4,244
 25,187
 1,700
 4,388
 26,743
 5,790
 2012 2009 295 Hale Road 
 4,244
 25,187
 3,274
 4,565
 28,140
 6,892
 2012 2009 295 Hale Road
Amherst, NY 
 1,131
 10,520
 806
 1,131
 11,326
 623
 2019 2013 1880 Sweet Home Road
Amherstview, ON 486
 473
 4,446
 508
 493
 4,934
 799
 2015 1974 4567 Bath Road 
 473
 4,446
 691
 519
 5,091
 1,019
 2015 1974 4567 Bath Road
Anderson, SC 
 710
 6,290
 456
 710
 6,746
 3,524
 2003 1986 311 Simpson Rd. 
 710
 6,290
 878
 710
 7,168
 3,811
 2003 1986 311 Simpson Rd.
Ankeny, IA 
 1,129
 10,239
 
 1,129
 10,239
 970
 2016 2012 1275 SW State Street
Apple Valley, CA 
 480
 16,639
 262
 486
 16,895
 4,633
 2010 1999 11825 Apple Valley Rd. 
 480
 16,639
 856
 486
 17,489
 5,084
 2010 1999 11825 Apple Valley Rd.
Arlington, TX 
 1,660
 37,395
 3,019
 1,660
 40,414
 10,850
 2012 2000 1250 West Pioneer Parkway
Arlington, VA 
 8,385
 31,198
 14,030
 8,385
 45,228
 6,530
 2017 1992 900 N Taylor Street 
 8,385
 31,198
 15,162
 8,386
 46,359
 13,165
 2017 1992 900 N Taylor Street
Arlington, VA 
 
 2,338
 
 
 2,338
 89
 2018 1992 900 N Taylor Street 
 
 2,338
 1,657
 5
 3,990
 259
 2018 1992 900 N Taylor Street
Arnprior, ON 147
 788
 6,283
 422
 810
 6,683
 1,505
 2013 1991 15 Arthur Street 
 788
 6,283
 880
 851
 7,100
 1,783
 2013 1991 15 Arthur Street
Atlanta, GA 
 2,100
 20,603
 1,532
 2,197
 22,038
 4,140
 2014 2000 1000 Lenox Park Blvd NE 
 2,058
 14,914
 2,148
 2,080
 17,040
 12,165
 1997 1999 1460 S Johnson Ferry Rd.
Atlanta, GA 
 2,100
 20,603
 1,824
 2,197
 22,330
 4,829
 2014 2000 1000 Lenox Park Blvd NE
Austin, TX 
 1,560
 21,413
 511
 1,560
 21,924
 2,984
 2014 2013 11330 Farrah Lane 
 880
 9,520
 1,902
 885
 11,417
 6,144
 1999 1998 12429 Scofield Farms Dr.
Austin, TX 
 4,200
 74,850
 746
 4,200
 75,596
 8,063
 2015 2014 4310 Bee Caves Road 
 1,560
 21,413
 750
 1,560
 22,163
 3,533
 2014 2013 11330 Farrah Lane
Avon, CT 
 1,550
 30,571
 4,211
 1,590
 34,742
 10,488
 2011 1998 101 Bickford Extension
Azusa, CA 
 570
 3,141
 7,872
 570
 11,013
 3,286
 1998 1953 125 W. Sierra Madre Ave.
Austin, TX 
 4,200
 74,850
 1,287
 4,200
 76,137
 10,166
 2015 2014 4310 Bee Caves Road
Bagshot, UK 
 4,960
 29,881
 2,920
 5,133
 32,628
 7,189
 2012 2009 14 - 16 London Road 
 4,960
 29,881
 6,822
 5,340
 36,323
 8,360
 2012 2009 14 - 16 London Road
Banstead, UK 
 6,695
 55,113
 4,444
 6,956
 59,296
 12,237
 2012 2005 Croydon Lane 
 6,695
 55,113
 9,912
 7,246
 64,474
 14,801
 2012 2005 Croydon Lane
Basingstoke, UK 
 3,420
 18,853
 1,014
 3,535
 19,752
 2,578
 2014 2012 Grove Road 
 3,420
 18,853
 1,958
 3,678
 20,553
 3,155
 2014 2012 Grove Road
Basking Ridge, NJ 
 2,356
 37,710
 1,623
 2,395
 39,294
 8,040
 2013 2002 404 King George Road 
 2,356
 37,710
 1,738
 2,395
 39,409
 9,083
 2013 2002 404 King George Road
Bassett, UK 
 4,874
 32,304
 4,413
 5,051
 36,540
 8,138
 2013 2006 111 Burgess Road 
 4,874
 32,304
 8,919
 5,255
 40,842
 10,030
 2013 2006 111 Burgess Road
Bath, UK 
 2,696
 11,876
 
 2,696
 11,876
 571
 2015 2017 Clarks Way, Rush Hill 
 2,696
 11,876
 783
 2,805
 12,550
 979
 2015 2017 Clarks Way, Rush Hill
Baton Rouge, LA 8,838
 790
 29,436
 1,139
 842
 30,523
 6,086
 2013 2009 9351 Siegen Lane 12,930
 790
 29,436
 1,242
 886
 30,582
 6,912
 2013 2009 9351 Siegen Lane
Beaconsfield, UK 
 5,566
 50,952
 2,287
 5,765
 53,040
 10,591
 2013 2009 30-34 Station Road 
 5,566
 50,952
 4,746
 5,998
 55,266
 12,416
 2013 2009 30-34 Station Road
Beaconsfield, QC 
 1,149
 17,484
 641
 1,225
 18,049
 4,937
 2013 2008 505 Elm Avenue 
 1,149
 17,484
 1,808
 1,289
 19,152
 5,644
 2013 2008 505 Elm Avenue
Bedford, NH 
 2,527
 28,748
 2,299
 2,551
 31,023
 5,760
 2011 2012 5 Corporate Drive
Bee Cave, TX 
 1,820
 21,084
 819
 1,820
 21,903
 2,369
 2016 2014 14058 A Bee Cave Parkway 
 1,820
 21,084
 632
 1,820
 21,716
 2,694
 2016 2014 14058 A Bee Cave Parkway
Bellevue, WA 
 2,800
 19,004
 2,183
 2,816
 21,171
 5,325
 2013 1998 15928 NE 8th Street 
 2,800
 19,004
 2,392
 2,816
 21,380
 6,062
 2013 1998 15928 NE 8th Street
Bellingham, WA 
 1,500
 19,861
 822
 1,507
 20,676
 5,982
 2010 1996 4415 Columbine Dr.
Belmont, CA 
 3,000
 23,526
 2,395
 3,000
 25,921
 6,832
 2011 1971 1301 Ralston Avenue 
 
 35,300
 2,426
 178
 37,548
 9,080
 2013 2002 1010 Alameda de Las Pulgas
Belmont, CA 
 
 35,300
 2,308
 157
 37,451
 8,026
 2013 2002 1010 Alameda de Las Pulgas
Berkeley, CA 12,195
 3,050
 32,677
 5,086
 3,050
 37,763
 4,759
 2016 1966 2235 Sacramento Street
Bethel Park, PA 
 1,609
 12,989
 
 1,609
 12,989
 259
 2019 2019 631 McMurray Road
Bethesda, MD 
 
 45,309
 677
 3
 45,983
 9,551
 2013 2009 8300 Burdett Road 
 
 45,309
 1,263
 3
 46,569
 10,744
 2013 2009 8300 Burdett Road
Bethesda, MD 
 
 45
 682
 
 727
 136
 2013 2009 8300 Burdett Road 
 
 45
 886
 
 931
 229
 2013 2009 8300 Burdett Road
Bethesda, MD 
 
 212
 907
 
 1,119
 319
 2013 2009 8300 Burdett Road 
 
 212
 926
 
 1,138
 480
 2013 2009 8300 Burdett Road
Billerica, MA 
 1,619
 21,381
 867
 1,624
 22,243
 3,170
 2015 2000 20 Charnstaffe Lane
Birmingham, UK 
 1,480
 13,014
 654
 1,530
 13,618
 776
 2015 2016 47 Bristol Road South
Bethesda, MD 
 
 
 69,690
 3,513
 66,252
 1,421
 2016 2018 4925 Battery Lane


(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Birmingham, UK 
 2,807
 11,313
 605
 2,902
 11,823
 645
 2015 2016 134 Jockey Road 
 148
 18,956
 
 148
 18,956
 4,844
 2013 2006 5 Church Road, Edgbaston
Birmingham, UK 
 1,480
 13,014
 1,302
 1,592
 14,204
 1,211
 2015 2016 47 Bristol Road South
Birmingham, UK 
 2,807
 11,313
 1,598
 3,019
 12,699
 1,038
 2015 2016 134 Jockey Road
Blainville, QC 
 2,077
 8,902
 429
 2,156
 9,252
 2,925
 2013 2008 50 des Chateaux Boulevard 
 2,077
 8,902
 1,388
 2,301
 10,066
 3,242
 2013 2008 50 des Chateaux Boulevard
Bloomfield Hills, MI 
 2,000
 35,662
 1,067
 2,133
 36,596
 7,455
 2013 2009 6790 Telegraph Road 
 2,000
 35,662
 1,413
 2,133
 36,942
 8,446
 2013 2009 6790 Telegraph Road
Boca Raton, FL 
 6,565
 111,247
 18,834
 6,565
 130,081
 7,491
 2018 1994 6343 Via De Sonrise Del Sur 32,270
 6,565
 111,247
 23,813
 6,565
 135,060
 17,762
 2018 1994 6343 Via De Sonrise Del Sur
Boise, ID 
 2,220
 18,703
 1,830
 2,220
 20,533
 349
 2019 1999 10250 W Smoke Ranch Drive
Borehamwood, UK 
 5,367
 41,937
 2,246
 5,584
 43,966
 9,285
 2012 2003 Edgwarebury Lane 
 5,367
 41,937
 4,370
 5,810
 45,864
 10,954
 2012 2003 Edgwarebury Lane
Bothell, WA 
 1,350
 13,439
 6,074
 1,798
 19,065
 2,344
 2015 1988 10605 NE 185th Street 
 1,350
 13,439
 6,927
 1,798
 19,918
 3,354
 2015 1988 10605 NE 185th Street
Boulder, CO 
 2,994
 27,458
 2,271
 3,022
 29,701
 7,497
 2013 2003 3955 28th Street 
 2,994
 27,458
 2,434
 3,064
 29,822
 8,429
 2013 2003 3955 28th Street
Bournemouth, UK 
 5,527
 42,547
 2,338
 5,725
 44,687
 9,186
 2013 2008 42 Belle Vue Road 
 5,527
 42,547
 4,509
 5,966
 46,617
 10,820
 2013 2008 42 Belle Vue Road
Braintree, MA 
 
 41,290
 1,079
 100
 42,269
 8,961
 2013 2007 618 Granite Street 
 
 41,290
 1,251
 100
 42,441
 10,092
 2013 2007 618 Granite Street
Brampton, ON 40,685
 10,196
 59,989
 
 10,196
 59,989
 10,075
 2015 2009 100 Ken Whillans Drive 41,370
 10,196
 59,989
 3,806
 10,736
 63,255
 12,158
 2015 2009 100 Ken Whillans Drive
Brandon, MS 
 1,220
 10,241
 277
 1,220
 10,518
 2,594
 2010 1999 140 Castlewoods Blvd
Brick, NJ 
 1,170
 17,372
 1,530
 1,211
 18,861
 4,186
 2010 1998 515 Jack Martin Blvd 
 1,170
 17,372
 1,752
 1,213
 19,081
 4,778
 2010 1998 515 Jack Martin Blvd
Brick, NJ 
 690
 17,125
 5,610
 695
 22,730
 4,152
 2010 1999 1594 Route 88 
 690
 17,125
 5,803
 695
 22,923
 4,778
 2010 1999 1594 Route 88
Bridgewater, NJ 
 1,730
 48,201
 1,562
 1,767
 49,726
 10,329
 2010 1999 2005 Route 22 West 
 1,730
 48,201
 2,785
 1,774
 50,942
 11,700
 2010 1999 2005 Route 22 West
Brighton, MA 9,686
 2,100
 14,616
 1,712
 2,135
 16,293
 4,736
 2011 1995 50 Sutherland Road 
Brockport, NY 
 1,500
 23,496
 582
 1,705
 23,873
 3,890
 2015 1999 90 West Avenue 
 1,500
 23,496
 639
 1,705
 23,930
 4,631
 2015 1999 90 West Avenue
Brockville, ON 4,288
 484
 7,445
 432
 498
 7,863
 1,170
 2015 1996 1026 Bridlewood Drive 4,375
 484
 7,445
 916
 524
 8,321
 1,480
 2015 1996 1026 Bridlewood Drive
Brookfield, CT 
 2,250
 30,180
 3,337
 2,271
 33,496
 9,272
 2011 1999 246A Federal Road 
Brookfield, WI 
 1,300
 12,830
 147
 1,300
 12,977
 2,137
 2012 2013 1105 Davidson Road
Broomfield, CO 
 4,140
 44,547
 11,976
 10,135
 50,528
 16,614
 2013 2009 400 Summit Blvd 
 4,140
 44,547
 12,797
 10,140
 51,344
 18,769
 2013 2009 400 Summit Blvd
Brossard, QC 10,432
 5,499
 31,854
 285
 5,427
 32,211
 5,560
 2015 1989 2455 Boulevard Rome 10,516
 5,499
 31,854
 2,991
 5,720
 34,624
 7,003
 2015 1989 2455 Boulevard Rome
Buckingham, UK 
 2,979
 13,880
 744
 3,080
 14,523
 1,882
 2014 1883 Church Street 
 2,979
 13,880
 1,801
 3,231
 15,429
 2,436
 2014 1883 Church Street
Buffalo Grove, IL 
 2,850
 49,129
 3,154
 2,850
 52,283
 10,571
 2012 2003 500 McHenry Road 
 2,850
 49,129
 3,932
 2,850
 53,061
 12,104
 2012 2003 500 McHenry Road
Burbank, CA 
 4,940
 43,466
 2,067
 4,940
 45,533
 10,721
 2012 2002 455 E. Angeleno Avenue 
 4,940
 43,466
 4,101
 4,940
 47,567
 12,013
 2012 2002 455 E. Angeleno Avenue
Burbank, CA 19,237
 3,610
 50,817
 3,983
 3,610
 54,800
 5,663
 2016 1985 2721 Willow Street 18,865
 3,610
 50,817
 4,219
 3,610
 55,036
 7,089
 2016 1985 2721 Willow Street
Burke, VA 
 
 
 52,827
 2,575
 50,252
 1,194
 2016 2018 9617 Burke Lake Road
Burleson, TX 
 3,150
 10,437
 659
 3,150
 11,096
 1,354
 2012 2014 621 Old Highway 1187 
 3,150
 10,437
 681
 3,150
 11,118
 1,669
 2012 2014 621 Old Highway 1187
Burlingame, CA 
 
 62,786
 85
 
 62,871
 4,858
 2016 2015 1818 Trousdale Avenue 
 
 62,786
 93
 
 62,879
 7,356
 2016 2015 1818 Trousdale Avenue
Burlington, ON 11,514
 1,309
 19,311
 623
 1,338
 19,905
 4,321
 2013 1990 500 Appleby Line 11,513
 1,309
 19,311
 1,829
 1,413
 21,036
 5,071
 2013 1990 500 Appleby Line
Burlington, MA 
 2,443
 34,354
 1,388
 2,522
 35,663
 8,007
 2013 2005 24 Mall Road 
 2,443
 34,354
 1,645
 2,578
 35,864
 8,967
 2013 2005 24 Mall Road
Burlington, MA 
 2,750
 57,488
 3,304
 2,750
 60,792
 6,120
 2016 2011 50 Greenleaf Way
Burlington, WA 
 877
 14,938
 915
 877
 15,853
 1,085
 2019 1999 410 S Norris St
Burlington, WA 
 768
 7,619
 568
 768
 8,187
 695
 2019 1996 210 / 212 N Skagit St
Bushey, UK 
 12,690
 36,482
 
 12,690
 36,482
 308
 2015 2018 Elton House, Elton Way 
 12,690
 36,482
 2,005
 13,203
 37,974
 1,554
 2015 2018 Elton House, Elton Way
Calgary, AB 11,323
 2,252
 37,415
 1,286
 2,298
 38,655
 8,580
 2013 2003 20 Promenade Way SE 11,355
 2,252
 37,415
 3,512
 2,424
 40,755
 10,035
 2013 2003 20 Promenade Way SE
Calgary, AB 12,909
 2,793
 41,179
 1,065
 2,843
 42,194
 9,176
 2013 1998 80 Edenwold Drive NW 12,899
 2,793
 41,179
 3,625
 2,991
 44,606
 10,754
 2013 1998 80 Edenwold Drive NW
Calgary, AB 10,237
 3,122
 38,971
 1,241
 3,184
 40,150
 8,632
 2013 1998 150 Scotia Landing NW 10,250
 3,122
 38,971
 3,592
 3,358
 42,327
 10,117
 2013 1998 150 Scotia Landing NW
Calgary, AB 21,247
 3,431
 28,983
 1,676
 3,498
 30,592
 5,754
 2013 1989 9229 16th Street SW 21,583
 3,431
 28,983
 3,573
 3,680
 32,307
 6,936
 2013 1989 9229 16th Street SW
Calgary, AB 24,199
 2,385
 36,776
 1,152
 2,427
 37,886
 5,774
 2015 2006 2220-162nd Avenue SW 25,255
 2,385
 36,776
 3,595
 2,553
 40,203
 7,071
 2015 2006 2220-162nd Avenue SW
Camberley, UK 
 2,654
 5,736
 21,500
 8,150
 21,937
 1,230
 2014 2016 Fernhill Road 
 2,654
 5,736
 20,735
 6,091
 23,034
 1,967
 2014 2016 Fernhill Road
Camillus, NY 
 2,064
 11,132
 766
 2,064
 11,898
 748
 2019 2016 3877 Milton Avenue
Cardiff, UK 
 3,191
 12,566
 884
 3,307
 13,334
 3,647
 2013 2007 127 Cyncoed Road 
 3,191
 12,566
 2,206
 3,457
 14,506
 4,212
 2013 2007 127 Cyncoed Road
Cardiff by the Sea, CA 37,025
 5,880
 64,711
 4,243
 5,880
 68,954
 15,985
 2011 2009 3535 Manchester Avenue 36,097
 5,880
 64,711
 4,838
 5,880
 69,549
 18,178
 2011 2009 3535 Manchester Avenue
Carol Stream, IL 
 1,730
 55,048
 2,104
 1,730
 57,152
 12,748
 2012 2001 545 Belmont Lane
Carrollton, TX 
 4,280
 31,444
 1,041
 4,280
 32,485
 4,207
 2013 2010 2105 North Josey Lane
Cary, NC 
 740
 45,240
 744
 740
 45,984
 8,360
 2013 2009 1206 West Chatham Street
Cary, NC 
 6,112
 70,008
 8,355
 6,112
 78,363
 3,652
 2018 1999 300 Kildaire Woods Drive
Cedar Park, TX 
 1,750
 15,664
 1,162
 1,750
 16,826
 1,215
 2016 2015 800 C-Bar Ranch Trail
Cerritos, CA 
 
 27,494
 6,570
 
 34,064
 6,011
 2016 2002 11000 New Falcon Way

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Carmichael, CA 24,548
 2,440
 41,988
 1,935
 2,440
 43,923
 
 2019 2014 4717 Engle Road
Carol Stream, IL 
 1,730
 55,048
 3,139
 1,730
 58,187
 14,359
 2012 2001 545 Belmont Lane
Carrollton, TX 
 4,280
 31,444
 1,477
 4,280
 32,921
 5,127
 2013 2010 2105 North Josey Lane
Cary, NC 
 740
 45,240
 918
 740
 46,158
 9,522
 2013 2009 1206 West Chatham Street
Cary, NC 
 6,112
 70,008
 9,070
 6,155
 79,035
 9,215
 2018 1999 300 Kildaire Woods Drive
Cedar Park, TX 
 1,750
 15,664
 742
 1,750
 16,406
 1,351
 2016 2015 800 C-Bar Ranch Trail
Cerritos, CA 
 
 27,494
 6,833
 
 34,327
 7,207
 2016 2002 11000 New Falcon Way
Charlottesville, VA 
 4,651
 91,468
 11,276
 4,651
 102,744
 6,952
 2018 1991 2610 Barracks Road 
 4,651
 91,468
 13,629
 4,651
 105,097
 15,730
 2018 1991 2610 Barracks Road
Chatham, ON 895
 1,098
 12,462
 1,809
 1,193
 14,176
 3,167
 2015 1965 25 Keil Drive North 642
 1,098
 12,462
 3,290
 1,255
 15,595
 3,709
 2015 1965 25 Keil Drive North
Chelmsford, MA 
 1,040
 10,951
 1,525
 1,040
 12,476
 4,625
 2003 1997 4 Technology Dr.
Chelmsford, MA 
 1,589
 26,432
 1,301
 1,656
 27,666
 3,882
 2015 1997 199 Chelmsford Street 
 1,040
 10,951
 2,018
 1,120
 12,889
 4,935
 2003 1997 4 Technology Dr.
Chertsey, UK 
 9,566
 25,886
 
 9,566
 25,886
 743
 2015 2018 Bittams Lane 
 9,566
 25,886
 1,951
 9,952
 27,451
 1,660
 2015 2018 Bittams Lane
Chesterfield, MO 
 1,857
 48,366
 1,462
 1,917
 49,768
 9,624
 2013 2001 1880 Clarkson Road 
 1,857
 48,366
 1,512
 1,917
 49,818
 10,924
 2013 2001 1880 Clarkson Road
Chorleywood, UK 
 5,636
 43,191
 3,864
 5,833
 46,858
 10,193
 2013 2007 High View, Rickmansworth Road 
 5,636
 43,191
 6,354
 6,076
 49,105
 12,352
 2013 2007 High View, Rickmansworth Road
Chula Vista, CA 
 2,072
 22,163
 1,201
 2,162
 23,274
 4,942
 2013 2003 3302 Bonita Road 
 2,072
 22,163
 1,484
 2,162
 23,557
 5,574
 2013 2003 3302 Bonita Road
Church Crookham, UK 
 2,591
 14,215
 835
 2,691
 14,950
 2,596
 2014 2014 Bourley Road 
 2,591
 14,215
 1,882
 2,806
 15,882
 3,197
 2014 2014 Bourley Road
Cincinnati, OH 
 2,060
 109,388
 13,733
 2,080
 123,101
 26,921
 2007 2010 5445 Kenwood Road 
 1,750
 11,279
 79
 1,750
 11,358
 355
 2019 2019 732 Clough Pike Road
Cincinnati, OH 
 2,060
 109,388
 13,965
 2,106
 123,307
 30,961
 2007 2010 5445 Kenwood Road
Citrus Heights, CA 
 2,300
 31,876
 726
 2,300
 32,602
 8,987
 2010 1997 7418 Stock Ranch Rd. 
 2,300
 31,876
 1,658
 2,300
 33,534
 9,837
 2010 1997 7418 Stock Ranch Rd.
Claremont, CA 
 2,430
 9,928
 1,479
 2,483
 11,354
 2,806
 2013 2001 2053 North Towne Avenue 
 2,430
 9,928
 1,765
 2,515
 11,608
 3,183
 2013 2001 2053 North Towne Avenue
Clay, NY 
 1,296
 10,695
 734
 1,296
 11,429
 702
 2019 2014 8547 Morgan Road
Cohasset, MA 
 2,485
 26,147
 1,919
 2,493
 28,058
 6,009
 2013 1998 125 King Street (Rt 3A) 
 2,485
 26,147
 2,040
 2,500
 28,172
 6,861
 2013 1998 125 King Street (Rt 3A)
Colleyville, TX 
 1,050
 17,082
 47
 1,050
 17,129
 921
 2016 2013 8100 Precinct Line Road 
 1,050
 17,082
 53
 1,050
 17,135
 1,385
 2016 2013 8100 Precinct Line Road
Colorado Springs, CO 
 800
 14,756
 1,980
 1,026
 16,510
 3,610
 2013 2001 2105 University Park Boulevard 
 800
 14,756
 2,026
 1,026
 16,556
 4,211
 2013 2001 2105 University Park Boulevard
Colts Neck, NJ 
 780
 14,733
 1,759
 1,092
 16,180
 3,628
 2010 2002 3 Meridian Circle 
 780
 14,733
 2,599
 1,131
 16,981
 4,194
 2010 2002 3 Meridian Circle
Concord, NH 
 720
 21,164
 852
 789
 21,947
 5,450
 2011 2001 300 Pleasant Street 
Coquitlam, BC 9,139
 3,047
 24,567
 775
 3,098
 25,291
 6,583
 2013 1990 1142 Dufferin Street 9,102
 3,047
 24,567
 2,439
 3,264
 26,789
 7,628
 2013 1990 1142 Dufferin Street
Costa Mesa, CA 
 2,050
 19,969
 1,404
 2,050
 21,373
 5,647
 2011 1965 350 West Bay St
Crystal Lake, IL 
 875
 12,461
 1,482
 971
 13,847
 3,480
 2013 2001 751 E Terra Cotta Avenue 
 875
 12,461
 1,556
 971
 13,921
 3,869
 2013 2001 751 E Terra Cotta Avenue
Dallas, TX 
 6,330
 114,794
 1,613
 6,330
 116,407
 13,498
 2015 2013 3535 N Hall Street 
 6,330
 114,794
 2,288
 6,330
 117,082
 16,762
 2015 2013 3535 N Hall Street
Danvers, MA 
 1,120
 14,557
 1,505
 1,145
 16,037
 4,429
 2011 2000 1 Veronica Drive
Danvers, MA 
 2,203
 28,761
 342
 2,257
 29,049
 4,487
 2015 1997 9 Summer Street
Davenport, IA 
 1,403
 35,893
 4,269
 1,480
 40,085
 10,506
 2006 2009 4500 Elmore Ave. 
 1,403
 35,893
 4,830
 1,614
 40,512
 11,931
 2006 2009 4500 Elmore Ave.
Decatur, GA 
 1,946
 26,575
 2,504
 1,946
 29,079
 6,609
 2013 1998 920 Clairemont Avenue 
 
 
 31,177
 1,946
 29,231
 7,458
 2013 1998 920 Clairemont Avenue
Denver, CO 
 1,450
 19,389
 3,671
 1,450
 23,060
 4,957
 2012 1997 4901 South Monaco Street
Denver, CO 
 2,910
 35,838
 2,010
 2,910
 37,848
 9,701
 2012 2007 8101 E Mississippi Avenue
Denver, CO 
 2,910
 35,838
 1,827
 2,971
 37,604
 9,558
 2012 2007 8101 E Mississippi Avenue 
 5,411
 104,641
 8,008
 5,411
 112,649
 3,672
 2019 2014 1500 Little Raven St
Dix Hills, NY 
 3,808
 39,014
 1,861
 3,947
 40,736
 8,624
 2013 2003 337 Deer Park Road 
 3,808
 39,014
 2,045
 3,959
 40,908
 9,751
 2013 2003 337 Deer Park Road
Dollard-Des-Ormeaux, QC 
 1,957
 14,431
 538
 2,039
 14,887
 4,786
 2013 2008 4377 St. Jean Blvd 
 1,957
 14,431
 1,585
 2,145
 15,828
 5,414
 2013 2008 4377 St. Jean Blvd
Dresher, PA 
 1,900
 10,664
 1,151
 1,914
 11,801
 3,660
 2013 2006 1650 Susquehanna Road 8,380
 1,900
 10,664
 1,211
 1,914
 11,861
 4,008
 2013 2006 1650 Susquehanna Road
Dublin, OH 
 1,680
 43,423
 6,837
 1,850
 50,090
 14,301
 2010 1990 6470 Post Rd 
 1,680
 43,423
 7,075
 1,850
 50,328
 16,148
 2010 1990 6470 Post Rd
Dublin, OH 
 1,169
 25,345
 47
 1,169
 25,392
 2,232
 2016 2015 4175 Stoneridge Lane 
 1,169
 25,345
 112
 1,169
 25,457
 3,252
 2016 2015 4175 Stoneridge Lane
East Haven, CT 
 2,660
 35,533
 3,458
 2,685
 38,966
 12,649
 2011 2000 111 South Shore Drive 
East Amherst, NY 
 1,626
 10,721
 863
 1,626
 11,584
 704
 2019 2015 8040 Roll Road
East Meadow, NY 
 69
 45,991
 1,471
 124
 47,407
 9,848
 2013 2002 1555 Glen Curtiss Boulevard 
 69
 45,991
 1,837
 124
 47,773
 11,123
 2013 2002 1555 Glen Curtiss Boulevard
East Setauket, NY 
 4,920
 37,354
 1,647
 4,975
 38,946
 8,143
 2013 2002 1 Sunrise Drive 
 4,920
 37,354
 1,982
 4,986
 39,270
 9,211
 2013 2002 1 Sunrise Drive
Eastbourne, UK 
 4,145
 33,744
 1,554
 4,298
 35,145
 7,685
 2013 2008 6 Upper Kings Drive 
 4,145
 33,744
 3,384
 4,472
 36,801
 8,971
 2013 2008 6 Upper Kings Drive
Edgbaston, UK 
 2,720
 13,969
 722
 2,812
 14,599
 1,490
 2014 2015 Pershore Road 
 2,720
 13,969
 1,524
 2,926
 15,287
 2,003
 2014 2015 Pershore Road
Edgewater, NJ 
 4,561
 25,047
 1,518
 4,564
 26,562
 5,889
 2013 2000 351 River Road 
 4,561
 25,047
 1,767
 4,564
 26,811
 6,634
 2013 2000 351 River Road
Edison, NJ 
 1,892
 32,314
 2,249
 1,905
 34,550
 9,486
 2013 1996 1801 Oak Tree Road
Edmonds, WA 
 1,650
 24,449
 4,823
 1,672
 29,250
 3,548
 2015 1976 21500 72nd Avenue West
Edmonton, AB 8,239
 1,589
 29,819
 1,093
 1,632
 30,869
 6,909
 2013 1999 103 Rabbit Hill Court NW
Edmonton, AB 10,728
 2,063
 37,293
 1,514
 2,094
 38,776
 10,602
 2013 1968 10015 103rd Avenue NW
Encinitas, CA 
 1,460
 7,721
 2,662
 1,460
 10,383
 4,496
 2000 1988 335 Saxony Rd.
Encino, CA 
 5,040
 46,255
 2,211
 5,040
 48,466
 11,067
 2012 2003 15451 Ventura Boulevard

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Edison, NJ 
 1,892
 32,314
 3,498
 1,911
 35,793
 10,447
 2013 1996 1801 Oak Tree Road
Edmonds, WA 
 1,650
 24,449
 8,055
 1,686
 32,468
 4,664
 2015 1976 21500 72nd Avenue West
Edmonton, AB 8,211
 1,589
 29,819
 3,016
 1,753
 32,671
 8,106
 2013 1999 103 Rabbit Hill Court NW
Edmonton, AB 10,735
 2,063
 37,293
 3,913
 2,209
 41,060
 12,124
 2013 1968 10015 103rd Avenue NW
El Dorado Hills, CA 
 5,190
 52,171
 156
 5,190
 52,327
 
 2017 2019 2020 Town Center West Way
Encino, CA 
 5,040
 46,255
 5,021
 5,040
 51,276
 12,449
 2012 2003 15451 Ventura Boulevard
Englishtown, NJ 
 690
 12,520
 1,873
 834
 14,249
 3,230
 2010 1997 49 Lasatta Ave 
 690
 12,520
 2,267
 860
 14,617
 3,781
 2010 1997 49 Lasatta Ave
Escondido, CA 
 1,520
 24,024
 1,323
 1,520
 25,347
 6,708
 2011 1987 1500 Borden Rd
Erie, PA 
 1,422
 8,198
 792
 1,422
 8,990
 586
 2019 2013 4400 East Lake Road
Esher, UK 
 5,783
 48,361
 2,365
 5,999
 50,510
 9,941
 2013 2006 42 Copsem Lane 
 5,783
 48,361
 7,998
 6,242
 55,900
 11,709
 2013 2006 42 Copsem Lane
Fairfax, VA 
 19
 2,678
 312
 53
 2,956
 941
 2013 1991 9207 Arlington Boulevard
Fairfield, NJ 
 3,120
 43,868
 1,373
 3,175
 45,186
 9,629
 2013 1998 47 Greenbrook Road 
 3,120
 43,868
 2,277
 3,180
 46,085
 10,815
 2013 1998 47 Greenbrook Road
Fairfield, CA 
 1,460
 14,040
 1,565
 1,460
 15,605
 6,635
 2002 1998 3350 Cherry Hills St. 
 1,460
 14,040
 2,711
 1,460
 16,751
 7,033
 2002 1998 3350 Cherry Hills St.
Fairfield, OH 
 1,416
 12,566
 294
 1,416
 12,860
 517
 2019 2018 520 Patterson Boulevard
Fareham, UK 
 3,408
 17,970
 1,077
 3,536
 18,919
 2,887
 2014 2012 Redlands Lane 
 3,408
 17,970
 2,088
 3,681
 19,785
 3,622
 2014 2012 Redlands Lane
Florence, AL 
 353
 13,049
 729
 385
 13,746
 3,938
 2010 1999 3275 County Road 47
Flossmoor, IL 
 1,292
 9,496
 1,835
 1,339
 11,284
 3,068
 2013 2000 19715 Governors Highway 
 1,292
 9,496
 2,090
 1,339
 11,539
 3,515
 2013 2000 19715 Governors Highway
Folsom, CA 
 1,490
 32,754
 84
 1,490
 32,838
 4,420
 2015 2014 1574 Creekside Drive 
 1,490
 32,754
 93
 1,490
 32,847
 5,416
 2015 2014 1574 Creekside Drive
Fort Worth, TX 
 1,740
 19,799
 1,089
 1,740
 20,888
 2,265
 2016 2014 7001 Bryant Irvin Road 
 7,118
 52,772
 1,744
 7,118
 54,516
 1,910
 2019 2017 3401 Amador Drive
Franklin, MA 
 2,430
 30,597
 2,564
 2,467
 33,124
 6,623
 2013 1999 4 Forge Hill Road
Fort Worth, TX 
 2,080
 27,888
 4,371
 2,080
 32,259
 8,525
 2012 2001 2151 Green Oaks Road
Fort Worth, TX 
 1,740
 19,799
 732
 1,740
 20,531
 2,435
 2016 2014 7001 Bryant Irvin Road
Fremont, CA 
 3,400
 25,300
 3,331
 3,456
 28,575
 10,193
 2005 1987 2860 Country Dr. 
 3,400
 25,300
 5,295
 3,456
 30,539
 11,041
 2005 1987 2860 Country Dr.
Fresno, CA 23,720
 2,459
 33,048
 1,755
 2,459
 34,803
 
 2019 2014 5605 North Gates Avenue
Frome, UK 
 2,720
 14,813
 832
 2,812
 15,553
 2,122
 2014 2012 Welshmill Lane 
 2,720
 14,813
 1,884
 2,926
 16,491
 2,706
 2014 2012 Welshmill Lane
Fullerton, CA 
 1,964
 19,989
 883
 1,998
 20,838
 4,718
 2013 2008 2226 North Euclid Street 
 1,964
 19,989
 1,168
 1,998
 21,123
 5,300
 2013 2008 2226 North Euclid Street
Gahanna, OH 
 772
 11,214
 1,609
 787
 12,808
 2,765
 2013 1998 775 East Johnstown Road 
 772
 11,214
 1,884
 787
 13,083
 3,180
 2013 1998 775 East Johnstown Road
Gardnerville, NV 
 1,143
 10,831
 1,364
 1,164
 12,174
 9,112
 1998 1999 1565-A Virginia Ranch Rd.
Gig Harbor, WA 
 1,560
 15,947
 1,155
 1,583
 17,079
 4,706
 2010 1994 3213 45th St. Court NW
Gilbert, AZ 15,436
 2,160
 28,246
 1,429
 2,176
 29,659
 8,274
 2013 2008 580 S. Gilbert Road 14,200
 2,160
 28,246
 2,025
 2,180
 30,251
 9,137
 2013 2008 580 S. Gilbert Road
Gilroy, CA 
 760
 13,880
 24,966
 1,588
 38,018
 11,161
 2006 2007 7610 Isabella Way
Glen Cove, NY 
 4,594
 35,236
 1,877
 4,643
 37,064
 9,193
 2013 1998 39 Forest Avenue 
 4,594
 35,236
 2,276
 4,643
 37,463
 10,265
 2013 1998 39 Forest Avenue
Glenview, IL 
 2,090
 69,288
 3,353
 2,090
 72,641
 15,745
 2012 2001 2200 Golf Road 
 2,090
 69,288
 4,276
 2,090
 73,564
 17,854
 2012 2001 2200 Golf Road
Golden Valley, MN 
 1,520
 33,513
 1,383
 1,602
 34,814
 7,025
 2013 2005 4950 Olson Memorial Highway 3,600
 1,520
 33,513
 1,578
 1,634
 34,977
 8,005
 2013 2005 4950 Olson Memorial Highway
Granbury, TX 
 2,040
 30,670
 651
 2,040
 31,321
 6,325
 2011 2009 100 Watermark Boulevard 
 2,040
 30,670
 710
 2,040
 31,380
 7,189
 2011 2009 100 Watermark Boulevard
Greenville, SC 
 310
 4,750
 36
 310
 4,786
 1,927
 2004 1997 23 Southpointe Dr.
Grimsby, ON 
 636
 5,617
 271
 649
 5,875
 990
 2015 1991 84 Main Street East 
 636
 5,617
 732
 683
 6,302
 1,224
 2015 1991 84 Main Street East
Grosse Pointe Woods, MI 
 950
 13,662
 611
 950
 14,273
 2,835
 2013 2006 1850 Vernier Road 
 950
 13,662
 891
 950
 14,553
 3,255
 2013 2006 1850 Vernier Road
Grosse Pointe Woods, MI 
 1,430
 31,777
 1,118
 1,435
 32,890
 6,544
 2013 2005 21260 Mack Avenue 
 1,430
 31,777
 1,282
 1,435
 33,054
 7,444
 2013 2005 21260 Mack Avenue
Grove City, OH 36,420
 3,575
 85,764
 1,420
 3,575
 87,184
 15
 2018 2017 3717 Orders Road 36,420
 3,575
 85,764
 865
 3,491
 86,713
 3,901
 2018 2017 3717 Orders Road
Guelph, ON 3,985
 1,190
 7,597
 407
 1,224
 7,970
 1,551
 2015 1978 165 Cole Road
Guildford, UK 
 5,361
 56,494
 2,457
 5,542
 58,770
 11,811
 2013 2006 Astolat Way, Peasmarsh 
 5,361
 56,494
 5,122
 5,766
 61,211
 13,881
 2013 2006 Astolat Way, Peasmarsh
Gurnee, IL 
 890
 27,931
 2,110
 935
 29,996
 5,768
 2013 2002 500 North Hunt Club Road 
 890
 27,931
 2,478
 935
 30,364
 6,640
 2013 2002 500 North Hunt Club Road
Haddonfield, NJ 
 520
 16,363
 22
 527
 16,378
 1,796
 2011 2015 132 Warwick Road 
 520
 16,363
 590
 527
 16,946
 2,315
 2011 2015 132 Warwick Road
Hamden, CT 
 1,460
 24,093
 1,912
 1,493
 25,972
 7,593
 2011 1999 35 Hamden Hills Drive 
Hamburg, NY 
 967
 10,006
 821
 967
 10,827
 622
 2019 2009 4600 Southwestern Blvd
Hamilton, OH 
 1,163
 11,960
 
 1,163
 11,960
 364
 2019 2019 1740 Eden Park Drive
Hampshire, UK 
 4,172
 26,035
 1,185
 4,322
 27,070
 5,857
 2013 2006 22-26 Church Road 
 4,172
 26,035
 2,581
 4,496
 28,292
 6,835
 2013 2006 22-26 Church Road
Happy Valley, OR 
 709
 9,889
 446
 709
 10,335
 706
 2019 1998 8915 S.E. Monterey
Haverford, PA 
 1,880
 33,993
 1,305
 1,885
 35,293
 7,263
 2010 2000 731 Old Buck Lane 
 1,880
 33,993
 2,648
 1,904
 36,617
 8,274
 2010 2000 731 Old Buck Lane
Haverhill, MA 
 1,720
 50,046
 1,165
 1,729
 51,202
 7,876
 2015 1997 254 Amesbury Road
Henderson, NV 
 880
 29,809
 994
 897
 30,786
 6,451
 2011 2009 1935 Paseo Verde Parkway
Henderson, NV 
 1,190
 11,600
 968
 1,253
 12,505
 3,765
 2013 2008 1555 West Horizon Ridge Parkway
High Wycombe, UK 
 3,567
 13,422
 
 3,567
 13,422
 622
 2015 2017 The Row Lane End
Highland Park, IL 
 2,250
 25,313
 1,378
 2,265
 26,676
 6,466
 2013 2005 1601 Green Bay Road
Hingham, MA 
 1,440
 32,292
 269
 1,444
 32,557
 4,511
 2015 2012 1 Sgt. William B Terry Drive
Holbrook, NY 
 3,957
 35,337
 1,819
 4,021
 37,092
 7,637
 2013 2001 320 Patchogue Holbrook Road
Horley, UK 
 2,332
 12,144
 776
 2,418
 12,834
 2,253
 2014 2014 Court Lodge Road
Houston, TX 
 3,830
 55,674
 6,995
 3,830
 62,669
 15,150
 2012 1998 2929 West Holcombe Boulevard
Houston, TX 
 1,750
 15,603
 1,531
 1,750
 17,134
 1,328
 2016 2014 10120 Louetta Road

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Henderson, NV 
 1,190
 11,600
 1,111
 1,253
 12,648
 4,139
 2013 2008 1555 West Horizon Ridge Parkway
High Wycombe, UK 
 3,567
 13,422
 1,140
 3,711
 14,418
 1,087
 2015 2017 The Row Lane End
Highland Park, IL 
 2,820
 15,832
 796
 2,820
 16,628
 3,013
 2011 2012 1651 Richfield Avenue
Highland Park, IL 
 2,250
 25,313
 1,556
 2,271
 26,848
 7,216
 2013 2005 1601 Green Bay Road
Hingham, MA 
 1,440
 32,292
 318
 1,444
 32,606
 5,373
 2015 2012 1 Sgt. William B Terry Drive
Holbrook, NY 
 3,957
 35,337
 2,351
 4,145
 37,500
 8,607
 2013 2001 320 Patchogue Holbrook Road
Horley, UK 
 2,332
 12,144
 1,851
 2,516
 13,811
 2,788
 2014 2014 Court Lodge Road
Houston, TX 
 3,830
 55,674
 7,693
 3,830
 63,367
 16,958
 2012 1998 2929 West Holcombe Boulevard
Houston, TX 
 1,040
 31,965
 5,466
 1,040
 37,431
 8,478
 2012 1999 505 Bering Drive
Houston, TX 
 1,750
 15,603
 1,595
 1,750
 17,198
 1,485
 2016 2014 10120 Louetta Road
Houston, TX 
 960
 16,151
 
 960
 16,151
 7,703
 2011 1995 10225 Cypresswood Dr 
 960
 15,275
 
 960
 15,275
 7,461
 2011 1995 10225 Cypresswood Dr
Howell, NJ 8,493
 1,066
 21,577
 936
 1,077
 22,502
 4,782
 2010 2007 100 Meridian Place 8,096
 1,066
 21,577
 1,348
 1,149
 22,842
 5,460
 2010 2007 100 Meridian Place
Huntington Beach, CA 
 3,808
 31,172
 2,573
 3,886
 33,667
 8,390
 2013 2004 7401 Yorktown Avenue 
 3,808
 31,172
 2,646
 3,931
 33,695
 9,396
 2013 2004 7401 Yorktown Avenue
Hutchinson, KS 
 600
 10,590
 324
 604
 10,910
 3,986
 2004 1997 2416 Brentwood
Independence, MO 
 1,550
 14,463
 
 1,550
 14,463
 396
 2019 2019 19301 East Eastland Ctr Ct
Irving, TX 
 1,030
 6,823
 1,332
 1,030
 8,155
 2,320
 2007 1999 8855 West Valley Ranch Parkway 
 1,030
 6,823
 882
 1,030
 7,705
 2,246
 2007 1999 8855 West Valley Ranch Parkway
Jacksonville, FL 
 6,550
 29,316
 
 6,550
 29,316
 100
 2019 2019 10520 Validus Drive
Johns Creek, GA 
 1,580
 23,285
 827
 1,588
 24,104
 5,111
 2013 2009 11405 Medlock Bridge Road 
 1,580
 23,285
 1,070
 1,588
 24,347
 5,794
 2013 2009 11405 Medlock Bridge Road
Johnson City, NY 
 1,392
 11,828
 876
 1,392
 12,704
 727
 2019 2013 1035 Anna Maria Drive
Kanata, ON 
 1,689
 28,670
 87
 1,663
 28,783
 6,073
 2012 2005 70 Stonehaven Drive 
 1,689
 28,670
 1,972
 1,750
 30,581
 7,368
 2012 2005 70 Stonehaven Drive
Kansas City, MO 
 1,820
 34,898
 5,057
 1,856
 39,919
 11,822
 2010 1980 12100 Wornall Road 
 1,820
 34,898
 5,277
 1,889
 40,106
 13,314
 2010 1980 12100 Wornall Road
Kansas City, MO 5,265
 1,930
 39,997
 4,923
 1,963
 44,887
 13,359
 2010 1986 6500 North Cosby Ave 4,880
 1,930
 39,997
 5,488
 1,987
 45,428
 14,964
 2010 1986 6500 North Cosby Ave
Kansas City, MO 
 541
 23,962
 274
 548
 24,229
 3,142
 2015 2014 6460 North Cosby Avenue 
 541
 23,962
 320
 548
 24,275
 3,884
 2015 2014 6460 North Cosby Avenue
Kelowna, BC 5,190
 2,688
 13,647
 1,125
 2,739
 14,721
 3,777
 2013 1999 863 Leon Avenue 5,176
 2,688
 13,647
 2,123
 2,895
 15,563
 4,386
 2013 1999 863 Leon Avenue
Kennebunk, ME 
 2,700
 30,204
 5,353
 3,200
 35,057
 12,239
 2013 2006 One Huntington Common Drive ��
 2,700
 30,204
 5,587
 3,223
 35,268
 13,375
 2013 2006 One Huntington Common Drive
Kenner, LA 
 1,100
 10,036
 1,392
 1,100
 11,428
 10,059
 1998 2000 1600 Joe Yenni Blvd
Kennett Square, PA 
 1,050
 22,946
 356
 1,092
 23,260
 4,837
 2010 2008 301 Victoria Gardens Dr. 
 1,050
 22,946
 833
 1,103
 23,726
 5,474
 2010 2008 301 Victoria Gardens Dr.
Kingston, ON 4,202
 1,030
 11,416
 844
 1,060
 12,230
 1,768
 2015 1983 181 Ontario Street 4,229
 1,030
 11,416
 1,597
 1,115
 12,928
 2,200
 2015 1983 181 Ontario Street
Kingwood, TX 
 480
 9,777
 1,096
 480
 10,873
 2,698
 2011 1999 22955 Eastex Freeway 
 480
 9,777
 854
 480
 10,631
 2,704
 2011 1999 22955 Eastex Freeway
Kingwood, TX 
 1,683
 24,207
 2,465
 1,683
 26,672
 2,493
 2017 2012 24025 Kingwood Place 
 1,683
 24,207
 2,471
 1,683
 26,678
 3,931
 2017 2012 24025 Kingwood Place
Kirkland, WA 24,600
 3,450
 38,709
 1,204
 3,523
 39,840
 8,936
 2011 2009 14 Main Street South 
 1,880
 4,315
 1,231
 1,880
 5,546
 2,073
 2003 1996 6505 Lakeview Dr.
Kitchener, ON 1,327
 708
 2,744
 111
 650
 2,913
 764
 2013 1979 164 - 168 Ferfus Avenue 1,329
 708
 2,744
 296
 684
 3,064
 901
 2013 1979 164 - 168 Ferfus Avenue
Kitchener, ON 4,293
 1,130
 9,939
 417
 1,163
 10,323
 2,398
 2013 1988 20 Fieldgate Street 3,323
 1,093
 7,327
 889
 1,182
 8,127
 2,513
 2013 1964 290 Queen Street South
Kitchener, ON 3,271
 1,093
 7,327
 346
 1,112
 7,654
 2,201
 2013 1964 290 Queen Street South 12,374
 1,341
 13,939
 4,284
 1,400
 18,164
 3,702
 2016 2003 1250 Weber Street E
Kitchener, ON 12,164
 1,341
 13,939
 2,763
 1,324
 16,719
 3,178
 2016 2003 1250 Weber Street E
La Palma, CA 
 2,950
 16,591
 1,313
 2,973
 17,881
 3,857
 2013 2003 5321 La Palma Avenue 
 2,950
 16,591
 1,269
 2,973
 17,837
 4,369
 2013 2003 5321 La Palma Avenue
Lackawanna, NY 
 1,011
 5,254
 478
 1,011
 5,732
 453
 2019 2002 133 Orchard Place
Lafayette Hill, PA 
 1,750
 11,848
 2,311
 1,867
 14,042
 3,981
 2013 1998 429 Ridge Pike 
 1,750
 11,848
 2,372
 1,867
 14,103
 4,471
 2013 1998 429 Ridge Pike
Laguna Hills, CA 
 12,820
 75,926
 17,135
 12,820
 93,061
 12,877
 2016 1988 24903 Moulton Parkway 
 12,820
 75,926
 19,001
 12,820
 94,927
 18,601
 2016 1988 24903 Moulton Parkway
Laguna Woods, CA 
 11,280
 76,485
 12,253
 11,280
 88,738
 12,298
 2016 1987 24441 Calle Sonora 
 11,280
 76,485
 12,995
 11,280
 89,480
 15,798
 2016 1987 24441 Calle Sonora
Laguna Woods, CA 
 9,150
 57,842
 8,919
 9,150
 66,761
 9,651
 2016 1986 24962 Calle Aragon 
 9,150
 57,842
 11,547
 9,150
 69,389
 12,299
 2016 1986 24962 Calle Aragon
Lake Zurich, IL 
 1,470
 9,830
 3,002
 1,470
 12,832
 4,506
 2011 2007 550 America Court 
 1,470
 9,830
 2,707
 1,470
 12,537
 4,401
 2011 2007 550 America Court
Lancaster, CA 
 700
 15,295
 781
 712
 16,064
 4,731
 2010 1999 43051 15th St. West 
 700
 15,295
 1,364
 712
 16,647
 5,201
 2010 1999 43051 15th St. West
Lancaster, NY 
 1,252
 11,084
 976
 1,252
 12,060
 689
 2019 2011 18 Pavement Road
Laval, QC 21,982
 2,105
 32,161
 3,051
 2,105
 35,212
 721
 2018 2005 269, boulevard Ste. Rose 22,375
 2,105
 32,161
 5,368
 2,214
 37,420
 4,851
 2018 2005 269, boulevard Ste. Rose
Laval, QC 4,283
 2,383
 5,968
 550
 2,383
 6,518
 136
 2018 1989 263, boulevard Ste. Rose
Lawrenceville, GA 
 1,500
 29,003
 741
 1,529
 29,715
 6,432
 2013 2008 1375 Webb Gin House Road
Leatherhead, UK 
 4,682
 17,835
 
 4,682
 17,835
 718
 2015 2017 Rectory Lane
Lecanto, FL 
 200
 6,900
 371
 200
 7,271
 2,705
 2004 1986 2341 W. Norvell Bryant Hwy.
Lenexa, KS 
 826
 26,251
 1,285
 922
 27,440
 6,432
 2013 2006 15055 West 87th Street Parkway
Leominster, MA 
 944
 23,164
 688
 995
 23,801
 3,687
 2015 1999 1160 Main Street
Lincroft, NJ 
 9
 19,958
 1,706
 79
 21,594
 4,667
 2013 2002 734 Newman Springs Road
Linwood, NJ 
 800
 21,984
 1,168
 861
 23,091
 5,012
 2010 1997 432 Central Ave
Litchfield, CT 
 1,240
 17,908
 11,060
 1,258
 28,950
 4,862
 2010 1998 19 Constitution Way
Little Neck, NY 
 3,350
 38,461
 1,421
 3,358
 39,874
 8,411
 2010 2000 55-15 Little Neck Pkwy.
Livingston, NJ 
 8,000
 44,424
 160
 8,000
 44,584
 2,119
 2015 2017 369 E Mt Pleasant Avenue
Lombard, IL 15,975
 2,130
 59,943
 1,474
 2,147
 61,400
 12,455
 2013 2009 2210 Fountain Square Dr
London, UK 
 3,121
 10,027
 934
 3,231
 10,851
 1,465
 2014 2012 71 Hatch Lane
London, UK 
 7,691
 16,797
 
 7,691
 16,797
 1,007
 2015 2016 6 Victoria Drive

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Laval, QC 4,306
 2,383
 5,968
 1,419
 2,507
 7,263
 894
 2018 1989 263, boulevard Ste. Rose
Lawrenceville, GA 
 1,500
 29,003
 794
 1,529
 29,768
 7,241
 2013 2008 1375 Webb Gin House Road
Leatherhead, UK 
 4,682
 17,835
 1,727
 4,871
 19,373
 1,338
 2015 2017 Rectory Lane
Leawood, KS 
 2,490
 32,493
 3,749
 5,610
 33,122
 8,386
 2012 1999 4400 West 115th Street
Lecanto, FL 
 200
 6,900
 421
 208
 7,313
 2,884
 2004 1986 2341 W. Norvell Bryant Hwy.
Lenexa, KS 9,700
 826
 26,251
 1,332
 922
 27,487
 7,167
 2013 2006 15055 West 87th Street Parkway
Lincroft, NJ 
 9
 19,958
 1,906
 131
 21,742
 5,324
 2013 2002 734 Newman Springs Road
Linwood, NJ 
 800
 21,984
 1,489
 861
 23,412
 5,695
 2010 1997 432 Central Ave
Litchfield, CT 
 1,240
 17,908
 11,640
 1,272
 29,516
 5,671
 2010 1998 19 Constitution Way
Little Neck, NY 
 3,350
 38,461
 3,016
 3,358
 41,469
 9,556
 2010 2000 5515 Little Neck Pkwy.
Livingston, NJ 
 8,000
 44,424
 919
 8,017
 45,326
 3,595
 2015 2017 369 E Mt Pleasant Avenue
Lombard, IL 17,010
 2,130
 59,943
 1,755
 2,218
 61,610
 14,083
 2013 2009 2210 Fountain Square Dr
London, UK 
 3,121
 10,027
 1,988
 3,370
 11,766
 1,952
 2014 2012 71 Hatch Lane
London, UK 
 7,691
 16,797
 1,369
 8,001
 17,781
 1,592
 2015 2016 6 Victoria Drive
London, ON 34
 987
 8,228
 628
 1,030
 8,813
 1,477
 2015 1989 760 Horizon Drive 
 987
 8,228
 1,204
 1,084
 9,335
 1,829
 2015 1989 760 Horizon Drive
London, ON 11,009
 1,969
 16,985
 1,214
 1,998
 18,170
 3,022
 2015 1953 1486 Richmond Street North 11,200
 1,969
 16,985
 2,534
 2,102
 19,386
 3,680
 2015 1953 1486 Richmond Street North
London, ON 
 1,445
 13,631
 953
 1,579
 14,450
 2,131
 2015 1950 81 Grand Avenue 32
 1,445
 13,631
 2,213
 1,667
 15,622
 2,672
 2015 1950 81 Grand Avenue
Longueuil, QC 9,064
 3,992
 23,711
 1,778
 4,102
 25,379
 4,144
 2015 1989 70 Rue Levis 9,155
 3,992
 23,711
 4,584
 4,340
 27,947
 5,201
 2015 1989 70 Rue Levis
Los Angeles, CA 
 
 11,430
 1,951
 
 13,381
 3,690
 2008 1971 330 North Hayworth Avenue
Lorain, OH 
 1,394
 12,956
 23
 1,394
 12,979
 340
 2019 2018 5401 North Pointe Pkwy
Los Angeles, CA 60,018
 
 114,438
 2,355
 
 116,793
 28,628
 2011 2009 10475 Wilshire Boulevard 58,514
 
 114,438
 6,152
 
 120,590
 31,800
 2011 2009 10475 Wilshire Boulevard
Los Angeles, CA 
 3,540
 19,007
 2,583
 3,540
 21,590
 4,919
 2012 2001 2051 N. Highland Avenue 
 3,540
 19,007
 3,369
 3,540
 22,376
 5,696
 2012 2001 2051 N. Highland Avenue
Los Angeles, CA 
 
 28,050
 3,370
 
 31,420
 3,286
 2016 2006 4061 Grand View Boulevard 
 
 28,050
 5,879
 71
 33,858
 4,310
 2016 2006 4061 Grand View Boulevard
Louisville, KY 
 2,420
 20,816
 1,863
 2,420
 22,679
 5,317
 2012 1999 4600 Bowling Boulevard 
 2,420
 20,816
 2,470
 2,420
 23,286
 6,078
 2012 1999 4600 Bowling Boulevard
Louisville, KY 10,562
 1,600
 20,326
 774
 1,600
 21,100
 4,926
 2013 2010 6700 Overlook Drive 13,650
 1,600
 20,326
 1,044
 1,600
 21,370
 5,524
 2013 2010 6700 Overlook Drive
Louisville, CO 
 2,023
 31,562
 1,769
 2,023
 33,331
 1,416
 2019 2008 1336 E Hecla Drive
Louisville, CO 
 1,158
 26,656
 
 1,158
 26,656
 447
 2019 2019 1800 Plaza Drive
Louisville, CO 
 2,672
 50,972
 6,311
 2,672
 57,283
 2,492
 2019 1999 1331 E Hecla Drive
Louisville, CO 
 1,480
 15,546
 682
 1,480
 16,228
 881
 2019 1999 282 McCaslin Blvd
Louisville, CO 
 2,567
 42,712
 2,681
 2,567
 45,393
 1,811
 2019 2004 1331 E Hecla Drive
Lynnfield, MA 
 3,165
 45,200
 2,580
 3,507
��47,438
 10,225
 2013 2006 55 Salem Street 
 3,165
 45,200
 2,707
 3,736
 47,336
 11,558
 2013 2006 55 Salem Street
Mahwah, NJ 
 1,605
 27,249
 17
 1,605
 27,266
 2,539
 2012 2015 15 Edison Road 
 1,605
 27,249
 913
 1,606
 28,161
 3,280
 2012 2015 15 Edison Road
Malvern, PA 
 1,651
 17,194
 2,128
 1,739
 19,234
 5,499
 2013 1998 324 Lancaster Avenue 
 1,651
 17,194
 2,421
 1,800
 19,466
 6,072
 2013 1998 324 Lancaster Avenue
Mansfield, MA 
 3,320
 57,011
 8,714
 3,486
 65,559
 17,826
 2011 1998 25 Cobb Street 
Manteca, CA 
 1,300
 12,125
 1,648
 1,312
 13,761
 5,447
 2005 1986 430 N. Union Rd. 
 1,300
 12,125
 2,947
 1,312
 15,060
 5,908
 2005 1986 430 N. Union Rd.
Maple Ridge, BC 8,159
 2,875
 11,922
 321
 2,943
 12,175
 1,489
 2015 2009 12241 224th Street 8,331
 2,875
 11,922
 5,974
 3,097
 17,674
 1,858
 2015 2009 12241 224th Street
Marieville, QC 6,198
 1,278
 12,113
 117
 1,302
 12,206
 1,691
 2015 2002 425 rue Claude de Ramezay 6,335
 1,278
 12,113
 1,088
 1,385
 13,094
 2,154
 2015 2002 425 rue Claude de Ramezay
Markham, ON 36,530
 3,727
 48,939
 1,429
 3,825
 50,270
 13,999
 2013 1981 7700 Bayview Avenue 50,918
 3,727
 48,939
 4,472
 4,032
 53,106
 15,995
 2013 1981 7700 Bayview Avenue
Marlboro, NJ 
 2,222
 14,888
 1,395
 2,250
 16,255
 3,791
 2013 2002 3A South Main Street 
 2,222
 14,888
 1,542
 2,250
 16,402
 4,281
 2013 2002 3A South Main Street
Marysville, WA 
 620
 4,780
 1,652
 620
 6,432
 2,434
 2003 1998 9802 48th Dr. N.E.
Medicine Hat, AB 10,262
 1,432
 14,141
 48
 1,460
 14,161
 2,923
 2015 1999 223 Park Meadows Drive SE 10,438
 1,432
 14,141
 998
 1,541
 15,030
 3,491
 2015 1999 223 Park Meadows Drive SE
Medina, OH 
 1,683
 12,036
 457
 1,683
 12,493
 545
 2019 2017 699 North Huntington St
Melbourne, FL 
 7,070
 48,257
 31,652
 7,070
 79,909
 19,642
 2007 2009 7300 Watersong Lane 
 7,070
 48,257
 31,764
 7,070
 80,021
 25,011
 2007 2009 7300 Watersong Lane
Melville, NY 
 4,280
 73,283
 4,916
 4,313
 78,166
 15,980
 2010 2001 70 Pinelawn Rd 
 4,280
 73,283
 7,212
 4,326
 80,449
 18,189
 2010 2001 70 Pinelawn Rd
Memphis, TN 
 1,800
 17,744
 1,919
 1,800
 19,663
 5,597
 2012 1999 6605 Quail Hollow Road
Meriden, CT 
 1,500
 14,874
 1,429
 1,542
 16,261
 5,727
 2011 2001 511 Kensington Avenue 
Metairie, LA 12,521
 725
 27,708
 778
 725
 28,486
 5,596
 2013 2009 3732 West Esplanade Ave. S
Middletown, CT 
 1,430
 24,242
 1,986
 1,460
 26,198
 7,799
 2011 1999 645 Saybrook Road
Milford, CT 
 3,210
 17,364
 2,328
 3,233
 19,669
 6,536
 2011 1999 77 Plains Road 
Mill Creek, WA 
 10,150
 60,274
 1,320
 10,179
 61,565
 18,700
 2010 1998 14905 Bothell-Everett Hwy
Milton, ON 13,723
 4,542
 25,321
 1,962
 4,627
 27,198
 3,433
 2015 2012 611 Farmstead Drive
Minnetonka, MN 
 2,080
 24,360
 2,571
 2,450
 26,561
 6,303
 2012 1999 500 Carlson Parkway
Minnetonka, MN 
 920
 29,344
 1,161
 964
 30,461
 5,900
 2013 2006 18605 Old Excelsior Blvd.
Mission Viejo, CA 13,850
 6,600
 52,118
 7,758
 6,600
 59,876
 7,475
 2016 1998 27783 Center Drive
Mississauga, ON 8,358
 1,602
 17,996
 621
 1,626
 18,593
 4,140
 2013 1984 1130 Bough Beeches Boulevard
Mississauga, ON 2,816
 873
 4,655
 232
 887
 4,873
 1,147
 2013 1978 3051 Constitution Boulevard
Mississauga, ON 26,718
 3,649
 35,137
 1,441
 3,723
 36,504
 8,161
 2015 1988 1490 Rathburn Road East
Mississauga, ON 5,916
 2,548
 15,158
 1,751
 2,589
 16,868
 3,177
 2015 1989 85 King Street East
Missoula, MT 
 550
 7,490
 437
 550
 7,927
 2,767
 2005 1998 3620 American Way
Mobberley, UK 
 5,146
 26,665
 1,834
 5,340
 28,305
 7,514
 2013 2007 Barclay Park, Hall Lane
Monterey, CA 
 6,440
 29,101
 1,549
 6,440
 30,650
 6,486
 2013 2009 1110 Cass St.
Montgomery, MD 
 6,482
 83,642
 10,924
 6,482
 94,566
 3,480
 2018 1992 3701 International Dr
Montgomery Village, MD 
 3,530
 18,246
 6,745
 4,279
 24,242
 9,021
 2013 1993 19310 Club House Road
Montreal-Nord, QC 11,740
 4,407
 23,719
 2,992
 4,407
 26,711
 511
 2018 1988 6700, boulevard Gouin Est

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Memphis, TN 
 1,800
 17,744
 2,736
 1,800
 20,480
 6,270
 2012 1999 6605 Quail Hollow Road
Menomonee Falls, WI 
 1,020
 6,984
 2,256
 1,020
 9,240
 2,550
 2006 2007 W128 N6900 Northfield Drive
Mesa, AZ 
 950
 9,087
 2,881
 950
 11,968
 5,472
 1999 2000 7231 E. Broadway
Metairie, LA 14,200
 725
 27,708
 948
 725
 28,656
 6,367
 2013 2009 3732 West Esplanade Ave. S
Mill Creek, WA 
 10,150
 60,274
 3,448
 10,179
 63,693
 20,215
 2010 1998 14905 Bothell-Everett Hwy
Milton, ON 19,890
 4,542
 25,321
 3,668
 4,882
 28,649
 4,305
 2015 2012 611 Farmstead Drive
Minnetonka, MN 
 920
 29,344
 1,257
 964
 30,557
 6,768
 2013 2006 18605 Old Excelsior Blvd.
Mission Viejo, CA 13,570
 6,600
 52,118
 8,447
 6,600
 60,565
 9,097
 2016 1998 27783 Center Drive
Mississauga, ON 8,491
 1,602
 17,996
 1,803
 1,711
 19,690
 4,855
 2013 1984 1130 Bough Beeches Boulevard
Mississauga, ON 2,861
 873
 4,655
 569
 934
 5,163
 1,359
 2013 1978 3051 Constitution Boulevard
Mississauga, ON 27,219
 3,649
 35,137
 3,795
 3,946
 38,635
 9,565
 2015 1988 1490 Rathburn Road East
Mississauga, ON 6,066
 2,548
 15,158
 2,904
 2,724
 17,886
 3,821
 2015 1989 85 King Street East
Missoula, MT 
 550
 7,490
 563
 553
 8,050
 2,968
 2005 1998 3620 American Way
Mobberley, UK 
 5,146
 26,665
 3,279
 5,563
 29,527
 8,637
 2013 2007 Barclay Park, Hall Lane
Monterey, CA 
 6,440
 29,101
 2,549
 6,443
 31,647
 7,438
 2013 2009 1110 Cass St.
Montgomery, MD 
 6,482
 83,642
 12,311
 6,482
 95,953
 9,510
 2018 1992 3701 International Dr
Montgomery Village, MD 
 3,530
 18,246
 7,214
 4,291
 24,699
 10,011
 2013 1993 19310 Club House Road
Montreal-Nord, QC 11,903
 4,407
 23,719
 7,965
 4,637
 31,454
 3,715
 2018 1988 6700, boulevard Gouin Est
Moorestown, NJ 
 2,060
 51,628
 1,982
 2,083
 53,587
 11,069
 2010 2000 1205 N. Church St 
 2,060
 51,628
 5,205
 2,095
 56,798
 12,519
 2010 2000 1205 N. Church St
Moose Jaw, SK 2,076
 582
 12,973
 906
 590
 13,871
 3,039
 2013 2001 425 4th Avenue NW 1,973
 582
 12,973
 1,885
 621
 14,819
 3,548
 2013 2001 425 4th Avenue NW
Morton Grove, IL 
 1,900
 19,374
 864
 1,900
 20,238
 4,284
 2010 2011 5520 N. Lincoln Ave.
Murphy, TX 
 1,950
 19,182
 805
 1,950
 19,987
 1,781
 2015 2012 304 West FM 544 
 1,950
 19,182
 811
 1,950
 19,993
 2,350
 2015 2012 304 West FM 544
Naperville, IL 
 1,550
 12,237
 2,433
 1,550
 14,670
 3,760
 2012 2013 1936 Brookdale Road 
 1,550
 12,237
 2,195
 1,550
 14,432
 3,841
 2012 2013 1936 Brookdale Road
Naperville, IL 
 1,540
 28,204
 1,392
 1,573
 29,563
 6,517
 2013 2002 535 West Ogden Avenue 
 1,540
 28,204
 1,435
 1,593
 29,586
 7,300
 2013 2002 535 West Ogden Avenue
Naples, FL 56,105
 8,989
 119,398
 5,055
 9,088
 124,354
 22,444
 2015 2000 4800 Aston Gardens Way 55,188
 8,989
 119,398
 7,188
 9,088
 126,487
 25,666
 2015 2000 4800 Aston Gardens Way
Nashua, NH 
 1,264
 43,026
 1,373
 1,264
 44,399
 5,491
 2015 1999 674 West Hollis Street
Nashville, TN 
 3,900
 35,788
 2,848
 3,900
 38,636
 10,313
 2012 1999 4206 Stammer Place 
 3,900
 35,788
 3,911
 3,900
 39,699
 11,568
 2012 1999 4206 Stammer Place
Needham, MA 
 1,240
 32,992
 1,322
 1,240
 34,314
 2,853
 2016 2011 880 Greendale Avenue
Nepean, ON 5,387
 1,575
 5,770
 528
 1,613
 6,260
 1,447
 2015 1988 1 Mill Hill Road 5,491
 1,575
 5,770
 1,110
 1,697
 6,758
 1,716
 2015 1988 1 Mill Hill Road
New Braunfels, TX 
 1,200
 19,800
 10,352
 2,729
 28,623
 4,906
 2011 2009 2294 East Common Street 
 1,200
 19,800
 10,408
 2,729
 28,679
 5,682
 2011 2009 2294 East Common Street
Newark, DE 
 560
 21,220
 1,569
 560
 22,789
 8,065
 2004 1998 200 E. Village Rd.
Newbury, UK 
 2,850
 12,796
 672
 2,946
 13,372
 810
 2015 2016 370 London Road 
 2,850
 12,796
 1,498
 3,065
 14,079
 1,239
 2015 2016 370 London Road
Newburyport, MA 
 1,750
 29,187
 1,194
 1,750
 30,381
 2,656
 2016 2015 4 Wallace Bashaw Junior Way
Newmarket, UK 
 4,071
 11,902
 1,190
 4,228
 12,935
 2,005
 2014 2011 Jeddah Way 
 4,071
 11,902
 2,441
 4,398
 14,016
 2,596
 2014 2011 Jeddah Way
Newton, MA 
 2,250
 43,614
 1,253
 2,263
 44,854
 11,966
 2011 1996 2300 Washington Street
Newton, MA 14,881
 2,500
 30,681
 3,183
 2,574
 33,790
 9,409
 2011 1996 280 Newtonville Avenue 
Newton, MA 
 3,360
 25,099
 1,820
 3,385
 26,894
 8,053
 2011 1994 430 Centre Street
Newtown Square, PA 
 1,930
 14,420
 1,161
 1,946
 15,565
 4,577
 2013 2004 333 S. Newtown Street Rd. 
 1,930
 14,420
 1,149
 1,953
 15,546
 4,989
 2013 2004 333 S. Newtown Street Rd.
Niagara Falls, ON 6,335
 1,225
 7,963
 466
 1,242
 8,412
 1,457
 2015 1991 7860 Lundy's Lane
North Andover, MA 
 1,960
 34,976
 2,116
 2,111
 36,941
 10,087
 2011 1995 700 Chickering Road 
North Chelmsford, MA 
 880
 18,478
 999
 951
 19,406
 5,126
 2011 1998 2 Technology Drive 
North Dartmouth, MA 
 1,700
 35,337
 1,723
 1,700
 37,060
 3,374
 2016 1997 239 Cross Road
North Tonawanda, NY 
 1,172
 7,297
 600
 1,172
 7,897
 517
 2019 2005 705 Sandra Lane
North Tustin, CA 
 2,880
 18,059
 891
 2,975
 18,855
 3,564
 2013 2000 12291 Newport Avenue 
 2,880
 18,059
 933
 3,044
 18,828
 4,067
 2013 2000 12291 Newport Avenue
Oak Harbor, WA 
 739
 7,667
 448
 739
 8,115
 669
 2019 1998 171 SW 6th Ave
Oak Park, IL 
 1,250
 40,383
 1,749
 1,250
 42,132
 9,526
 2012 2004 1035 Madison Street 
 1,250
 40,383
 2,640
 1,250
 43,023
 10,749
 2012 2004 1035 Madison Street
Oakdale, PA 
 1,865
 11,925
 880
 1,865
 12,805
 724
 2019 2017 7420 Steubenville Pike
Oakland, CA 
 3,877
 47,508
 3,252
 4,036
 50,601
 10,954
 2013 1999 11889 Skyline Boulevard 
 3,877
 47,508
 3,465
 4,114
 50,736
 12,439
 2013 1999 11889 Skyline Boulevard
Oakton, VA 
 2,250
 37,576
 2,218
 2,378
 39,666
 8,352
 2013 1997 2863 Hunter Mill Road 
 2,250
 37,576
 2,851
 2,393
 40,284
 9,511
 2013 1997 2863 Hunter Mill Road
Oakville, ON 5,499
 1,252
 7,382
 373
 1,278
 7,729
 1,795
 2013 1982 289 and 299 Randall Street 5,618
 1,252
 7,382
 922
 1,346
 8,210
 2,113
 2013 1982 289 and 299 Randall Street
Oakville, ON 9,164
 2,134
 29,963
 1,107
 2,165
 31,039
 7,349
 2013 1994 25 Lakeshore Road West 9,189
 2,134
 29,963
 3,314
 2,280
 33,131
 8,518
 2013 1994 25 Lakeshore Road West
Oakville, ON 4,797
 1,271
 13,754
 606
 1,289
 14,342
 2,929
 2013 1988 345 Church Street 4,812
 1,271
 13,754
 1,646
 1,361
 15,310
 3,474
 2013 1988 345 Church Street
Oceanside, CA 
 2,160
 18,352
 4,094
 2,243
 22,363
 6,097
 2011 2005 3500 Lake Boulevard
Ogden, UT 
 360
 6,700
 731
 360
 7,431
 2,689
 2004 1998 1340 N. Washington Blv. 
 360
 6,700
 936
 360
 7,636
 2,880
 2004 1998 1340 N. Washington Blv.
Okotoks, AB 17,892
 714
 20,943
 557
 728
 21,486
 3,640
 2015 2010 51 Riverside Gate 18,824
 714
 20,943
 1,908
 780
 22,785
 4,375
 2015 2010 51 Riverside Gate
Oshawa, ON 6,547
 841
 7,570
 458
 884
 7,985
 1,834
 2013 1991 649 King Street East
Ottawa, ON 9,469
 1,341
 15,425
 1,439
 1,396
 16,809
 2,176
 2015 2001 110 Berrigan Drive
Ottawa, ON 17,808
 3,454
 23,309
 1,351
 3,559
 24,555
 6,617
 2015 1966 2370 Carling Avenue
Ottawa, ON 20,414
 4,256
 39,141
 
 4,256
 39,141
 5,917
 2015 2005 751 Peter Morand Crescent
Ottawa, ON 7,070
 2,103
 18,421
 3,150
 2,180
 21,494
 3,096
 2015 1989 1 Eaton Street
Ottawa, ON 13,444
 2,963
 26,424
 1,880
 3,041
 28,226
 3,647
 2015 2008 691 Valin Street
Ottawa, ON 10,161
 1,561
 18,170
 1,336
 1,647
 19,420
 2,412
 2015 2006 22 Barnstone Drive
Ottawa, ON 13,568
 3,403
 31,090
 1,941
 3,467
 32,967
 4,134
 2015 2009 990 Hunt Club Road
Ottawa, ON 17,204
 3,411
 28,335
 4,152
 3,502
 32,396
 5,257
 2015 2009 2 Valley Stream Drive
Ottawa, ON 2,765
 724
 4,710
 231
 735
 4,930
 1,171
 2013 1995 1345 Ogilvie Road

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Orange, CA 36,000
 8,021
 65,234
 3,238
 8,021
 68,472
 
 2019 2018 630 The City Drive South
Oshawa, ON 6,698
 841
 7,570
 985
 957
 8,439
 2,167
 2013 1991 649 King Street East
Ottawa, ON 9,668
 1,341
 15,425
 2,720
 1,469
 18,017
 2,719
 2015 2001 110 Berrigan Drive
Ottawa, ON 18,152
 3,454
 23,309
 3,181
 3,760
 26,184
 7,627
 2015 1966 2370 Carling Avenue
Ottawa, ON 20,738
 4,256
 39,141
 2,962
 4,477
 41,882
 7,129
 2015 2005 751 Peter Morand Crescent
Ottawa, ON 7,212
 2,103
 18,421
 4,969
 2,294
 23,199
 3,852
 2015 1989 1 Eaton Street
Ottawa, ON 13,711
 2,963
 26,424
 3,754
 3,196
 29,945
 4,611
 2015 2008 691 Valin Street
Ottawa, ON 10,377
 1,561
 18,170
 2,828
 1,751
 20,808
 3,069
 2015 2006 22 Barnstone Drive
Ottawa, ON 13,702
 3,663
 30,633
 
 3,663
 30,633
 5,208
 2015 2009 990 Hunt Club Road
Ottawa, ON 17,456
 3,411
 28,335
 6,228
 3,684
 34,290
 6,357
 2015 2009 2 Valley Stream Drive
Ottawa, ON 2,809
 724
 4,710
 623
 774
 5,283
 1,375
 2013 1995 1345 Ogilvie Road
Ottawa, ON 2,012
 818
 2,165
 1,192
 691
 3,484
 888
 2013 1993 370 Kennedy Lane 2,044
 818
 2,165
 1,484
 727
 3,740
 1,040
 2013 1993 370 Kennedy Lane
Ottawa, ON 9,559
 2,809
 27,299
 1,253
 2,880
 28,481
 7,177
 2013 1998 43 Aylmer Avenue 9,559
 2,809
 27,299
 3,021
 3,020
 30,109
 8,289
 2013 1998 43 Aylmer Avenue
Ottawa, ON 4,441
 1,156
 9,758
 481
 1,227
 10,168
 2,151
 2013 1998 1351 Hunt Club Road 4,517
 1,156
 9,758
 1,129
 1,290
 10,753
 2,564
 2013 1998 1351 Hunt Club Road
Ottawa, ON 5,778
 746
 7,800
 541
 763
 8,324
 1,805
 2013 1999 140 Darlington Private 5,876
 746
 7,800
 1,142
 803
 8,885
 2,129
 2013 1999 140 Darlington Private
Ottawa, ON 8,729
 1,176
 12,764
 778
 1,231
 13,487
 1,876
 2015 1987 10 Vaughan Street 8,898
 1,176
 12,764
 1,663
 1,298
 14,305
 2,340
 2015 1987 10 Vaughan Street
Outremont, QC 17,544
 6,746
 45,981
 5,133
 6,746
 51,114
 1,007
 2018 1976 1000, avenue Rockland 17,866
 6,746
 45,981
 11,155
 7,098
 56,784
 6,385
 2018 1976 1000, avenue Rockland
Overland Park, KS 
 1,540
 16,269
 1,663
 1,670
 17,802
 3,918
 2012 1998 9201 Foster
Palo Alto, CA 
 
 39,639
 3,055
 24
 42,670
 8,872
 2013 2007 2701 El Camino Real 25,050
 
 39,639
 3,072
 24
 42,687
 10,156
 2013 2007 2701 El Camino Real
Paramus, NJ 
 2,840
 35,728
 1,729
 2,947
 37,350
 7,659
 2013 1998 567 Paramus Road 
 2,840
 35,728
 1,855
 2,986
 37,437
 8,755
 2013 1998 567 Paramus Road
Parkland, FL 55,694
 4,880
 111,481
 4,087
 4,904
 115,544
 20,538
 2015 2000 5999 University Drive 54,784
 4,880
 111,481
 5,181
 4,904
 116,638
 23,531
 2015 2000 5999 University Drive
Parma, OH 
 1,533
 9,185
 701
 1,533
 9,886
 631
 2019 2016 11500 Huffman Road
Paso Robles, CA 
 1,770
 8,630
 707
 1,770
 9,337
 4,032
 2002 1998 1919 Creston Rd. 
 1,770
 8,630
 1,379
 1,770
 10,009
 4,288
 2002 1998 1919 Creston Rd.
Peabody, MA 6,012
 2,250
 16,071
 1,099
 2,324
 17,096
 2,858
 2013 1994 73 Margin Street 5,892
 2,250
 16,071
 1,250
 2,380
 17,191
 3,328
 2013 1994 73 Margin Street
Pella, IA 
 870
 6,716
 63
 870
 6,779
 1,218
 2012 2002 2602 Fifield Road
Pembroke, ON 
 1,931
 9,427
 433
 1,901
 9,890
 2,011
 2012 1999 1111 Pembroke Street West 
 1,931
 9,427
 1,082
 2,000
 10,440
 2,485
 2012 1999 1111 Pembroke Street West
Pennington, NJ 
 1,380
 27,620
 1,115
 1,491
 28,624
 5,562
 2011 2000 143 West Franklin Avenue 
 1,380
 27,620
 1,418
 1,507
 28,911
 6,386
 2011 2000 143 West Franklin Avenue
Peoria, AZ 
 766
 21,796
 1,635
 766
 23,431
 1,482
 2018 2014 13391 N 94th Drive 
 766
 21,796
 1,468
 766
 23,264
 2,628
 2018 2014 13391 N 94th Drive
Pittsburgh, PA 
 1,580
 18,017
 925
 1,587
 18,935
 4,437
 2013 2009 900 Lincoln Club Dr. 
 1,580
 18,017
 1,143
 1,587
 19,153
 5,010
 2013 2009 900 Lincoln Club Dr.
Placentia, CA 
 8,480
 17,076
 5,087
 8,480
 22,163
 3,576
 2016 1987 1180 N Bradford Avenue 
 8,480
 17,076
 5,896
 8,513
 22,939
 4,445
 2016 1987 1180 N Bradford Avenue
Plainview, NY 
 3,066
 19,901
 1,018
 3,182
 20,803
 4,124
 2013 2001 1231 Old Country Road 
 3,066
 19,901
 1,211
 3,182
 20,996
 4,693
 2013 2001 1231 Old Country Road
Plano, TX 
 3,120
 59,950
 3,124
 3,173
 63,021
 16,579
 2013 2006 4800 West Parker Road 28,960
 3,120
 59,950
 3,806
 3,227
 63,649
 18,286
 2013 2006 4800 West Parker Road
Plano, TX 
 1,750
 15,390
 1,954
 1,750
 17,344
 1,626
 2016 2014 3690 Mapleshade Lane 
 1,750
 15,390
 1,505
 1,750
 16,895
 1,660
 2016 2014 3690 Mapleshade Lane
Playa Vista, CA 
 1,580
 40,531
 1,636
 1,605
 42,142
 8,978
 2013 2006 5555 Playa Vista Drive 
 1,580
 40,531
 3,084
 1,605
 43,590
 10,040
 2013 2006 5555 Playa Vista Drive
Plymouth, MA 
 1,444
 34,951
 1,122
 1,453
 36,064
 5,093
 2015 1998 157 South Street
Plymouth, MA 13,169
 2,550
 35,055
 2,256
 2,550
 37,311
 3,895
 2016 1970 60 Stafford Hill
Pleasanton, CA 
 
 
 52,166
 3,676
 48,490
 1,289
 2016 2017 5700 Pleasant Hill Road
Port Perry, ON 11,989
 3,685
 26,788
 2,365
 3,747
 29,091
 3,509
 2015 2009 15987 Simcoe Street 12,123
 3,685
 26,788
 4,160
 3,932
 30,701
 4,569
 2015 2009 15987 Simcoe Street
Port St. Lucie, FL 
 8,700
 47,230
 20,478
 8,700
 67,708
 15,304
 2008 2010 10685 SW Stony Creek Way 
 8,700
 47,230
 20,937
 8,700
 68,167
 19,243
 2008 2010 10685 SW Stony Creek Way
Portage, MI 42,000
 2,857
 59,848
 2,569
 2,857
 62,417
 3,653
 2019 2017 3951 W. Milham Ave.
Princeton, NJ 
 1,730
 30,888
 1,839
 1,810
 32,647
 6,494
 2011 2001 155 Raymond Road 
 1,730
 30,888
 2,236
 1,814
 33,040
 7,486
 2011 2001 155 Raymond Road
Purley, UK 
 7,365
 35,161
 2,104
 7,625
 37,005
 8,905
 2012 2005 21 Russell Hill Road 
 7,365
 35,161
 4,079
 7,982
 38,623
 10,333
 2012 2005 21 Russell Hill Road
Puyallup, WA 
 1,150
 20,776
 1,494
 1,156
 22,264
 6,346
 2010 1985 123 Fourth Ave. NW
Quebec City, QC 8,495
 2,420
 21,977
 1,767
 2,420
 23,744
 466
 2018 2000 795, rue Alain 8,325
 2,420
 21,977
 3,662
 2,546
 25,513
 2,956
 2018 2000 795, rue Alain
Quebec City, QC 12,067
 3,300
 28,325
 2,207
 3,300
 30,532
 605
 2018 1987 650 and 700, avenue Murray 12,294
 3,300
 28,325
 5,172
 3,472
 33,325
 3,740
 2018 1987 650 and 700, avenue Murray
Queensbury, NY 
 1,260
 21,744
 1,014
 1,264
 22,754
 3,140
 2015 1999 27 Woodvale Road
Quincy, MA 
 1,350
 12,584
 981
 1,428
 13,487
 4,083
 2011 1998 2003 Falls Boulevard
Rancho Cucamonga, CA 
 1,480
 10,055
 1,848
 2,073
 11,310
 2,978
 2013 2001 9519 Baseline Road
Rancho Palos Verdes, CA 
 5,450
 60,034
 2,453
 5,450
 62,487
 14,179
 2012 2004 5701 Crestridge Road
Randolph, NJ 
 1,540
 46,934
 1,379
 1,619
 48,234
 9,841
 2013 2006 648 Route 10 West
Red Deer, AB 12,026
 1,247
 19,283
 592
 1,273
 19,849
 3,093
 2015 2004 3100 - 22 Street
Red Deer, AB 14,153
 1,199
 22,339
 632
 1,219
 22,951
 3,655
 2015 2004 10 Inglewood Drive
Redondo Beach, CA 
 
 9,557
 913
 
 10,470
 6,436
 2011 1957 514 North Prospect Ave
Regina, SK 6,224
 1,485
 21,148
 638
 1,525
 21,746
 5,280
 2013 1999 3651 Albert Street
Regina, SK 6,158
 1,244
 21,036
 716
 1,267
 21,729
 4,579
 2013 2004 3105 Hillsdale Street
Regina, SK 15,076
 1,539
 24,053
 2,617
 1,579
 26,630
 3,750
 2015 1992 1801 McIntyre Street
Rehoboth Beach, DE 
 960
 24,248
 8,847
 993
 33,062
 6,077
 2010 1999 36101 Seaside Blvd
Renton, WA 20,790
 3,080
 51,824
 1,999
 3,124
 53,779
 11,898
 2011 2007 104 Burnett Avenue South
Ridgefield, CT 
 3,100
 80,614
 5,250
 3,152
 85,812
 13,614
 2015 1998 640 Danbury Road

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Queensbury, NY 
 1,260
 21,744
 577
 1,273
 22,308
 3,213
 2015 1999 27 Woodvale Road
Rancho Cucamonga, CA 
 1,480
 10,055
 2,144
 2,084
 11,595
 3,388
 2013 2001 9519 Baseline Road
Rancho Palos Verdes, CA 
 5,450
 60,034
 3,646
 5,450
 63,680
 16,003
 2012 2004 5701 Crestridge Road
Randolph, NJ 29,300
 1,540
 46,934
 2,370
 1,718
 49,126
 11,141
 2013 2006 648 Route 10 West
Red Deer, AB 12,551
 1,247
 19,283
 2,099
 1,339
 21,290
 3,727
 2015 2004 3100 - 22 Street
Red Deer, AB 14,770
 1,199
 22,339
 2,201
 1,282
 24,457
 4,460
 2015 2004 10 Inglewood Drive
Redding, CA 26,887
 4,474
 36,857
 2,161
 4,474
 39,018
 
 2019 2017 2150 Bechelli Lane
Regina, SK 6,218
 1,485
 21,148
 2,096
 1,678
 23,051
 6,144
 2013 1999 3651 Albert Street
Regina, SK 6,204
 1,244
 21,036
 1,989
 1,333
 22,936
 5,411
 2013 2004 3105 Hillsdale Street
Regina, SK 15,477
 1,539
 24,053
 4,685
 1,663
 28,614
 4,673
 2015 1992 1801 McIntyre Street
Rehoboth Beach, DE 
 960
 24,248
 9,200
 993
 33,415
 6,994
 2010 1999 36101 Seaside Blvd
Reno, NV 
 1,060
 11,440
 930
 1,060
 12,370
 4,762
 2004 1998 5165 Summit Ridge Court
Ridgeland, MS 
 520
 7,675
 901
 520
 8,576
 3,384
 2003 1997 410 Orchard Park
Riviere-du-Loup, QC 2,892
 592
 7,601
 761
 590
 8,364
 1,150
 2015 1956 35 des Cedres 2,854
 592
 7,601
 1,820
 665
 9,348
 1,574
 2015 1956 35 des Cedres
Riviere-du-Loup, QC 11,905
 1,454
 16,848
 3,500
 1,563
 20,239
 3,453
 2015 1993 230-235 rue Des Chenes 12,164
 1,454
 16,848
 5,339
 1,812
 21,829
 4,316
 2015 1993 230-235 rue Des Chenes
Rocky Hill, CT 
 1,090
 6,710
 1,534
 1,090
 8,244
 3,089
 2003 1996 60 Cold Spring Rd.
Rocky Hill, CT 
 810
 16,351
 833
 926
 17,068
 4,679
 2011 2000 1160 Elm Street 
 1,090
 6,710
 1,752
 1,090
 8,462
 3,291
 2003 1996 60 Cold Spring Rd.
Rohnert Park, CA 
 6,500
 18,700
 2,205
 6,556
 20,849
 7,644
 2005 1986 4855 Snyder Lane 
 6,500
 18,700
 3,756
 6,546
 22,410
 8,277
 2005 1986 4855 Snyder Lane
Romeoville, IL 
 854
 12,646
 61,135
 6,197
 68,438
 16,480
 2006 2010 605 S Edward Dr. 
 854
 12,646
 61,722
 6,197
 69,025
 18,583
 2006 2010 605 S Edward Dr.
Roseville, MN 
 1,540
 35,877
 1,053
 1,607
 36,863
 7,263
 2013 2002 2555 Snelling Avenue, North 
 1,540
 35,877
 1,252
 1,628
 37,041
 8,190
 2013 2002 2555 Snelling Avenue, North
Roseville, CA 
 3,300
 41,652
 6,273
 3,300
 47,925
 6,003
 2016 2000 5161 Foothills Boulevard 
 3,300
 41,652
 6,832
 3,300
 48,484
 7,624
 2016 2000 5161 Foothills Boulevard
Roswell, GA 
 1,107
 9,627
 1,876
 1,114
 11,496
 8,369
 1997 1999 655 Mansell Rd.
Roswell, GA 
 2,080
 6,486
 1,686
 2,380
 7,872
 1,913
 2012 1997 75 Magnolia Street
Sabre Springs, CA 
 
 
 47,090
 3,726
 43,364
 1,047
 2016 2017 12515 Springhurst Drive
Sacramento, CA 
 940
 14,781
 314
 952
 15,083
 4,097
 2010 1978 6350 Riverside Blvd 
 940
 14,781
 612
 952
 15,381
 4,492
 2010 1978 6350 Riverside Blvd
Sacramento, CA 
 1,300
 23,394
 1,402
 1,369
 24,727
 5,105
 2013 2004 345 Munroe Street 
 1,300
 23,394
 1,556
 1,369
 24,881
 5,802
 2013 2004 345 Munroe Street
Saint-Lambert, QC 33,431
 10,259
 61,903
 366
 10,499
 62,029
 12,901
 2015 1989 1705 Avenue Victoria 34,002
 10,259
 61,903
 3,868
 11,054
 64,976
 15,584
 2015 1989 1705 Avenue Victoria
Salem, NH 
 980
 32,721
 4,326
 1,054
 36,973
 8,805
 2011 2000 242 Main Street
Salinas, CA 
 5,110
 41,424
 7,694
 5,110
 49,118
 7,379
 2016 1990 1320 Padre Drive 
 5,110
 41,424
 9,387
 5,150
 50,771
 8,906
 2016 1990 1320 Padre Drive
Salisbury, UK 
 2,720
 15,269
 719
 2,812
 15,896
 2,011
 2014 2013 Shapland Close 
 2,720
 15,269
 1,676
 2,926
 16,739
 2,579
 2014 2013 Shapland Close
Salt Lake City, UT 
 1,360
 19,691
 1,601
 1,360
 21,292
 6,988
 2011 1986 1430 E. 4500 S. 
 1,360
 19,691
 779
 1,360
 20,470
 6,592
 2011 1986 1430 E. 4500 S.
San Angelo, TX 
 260
 8,800
 459
 266
 9,253
 3,349
 2004 1997 2695 Valleyview Blvd.
San Antonio, TX 
 6,120
 28,169
 2,630
 6,120
 30,799
 6,947
 2010 2011 2702 Cembalo Blvd
San Antonio, TX 
 6,120
 28,169
 2,590
 6,120
 30,759
 6,071
 2010 2011 2702 Cembalo Blvd 
 5,045
 58,048
 3,253
 5,045
 61,301
 5,962
 2017 2015 11300 Wild Pine
San Antonio, TX 
 5,045
 58,048
 3,228
 5,045
 61,276
 3,306
 2017 2015 11300 Wild Pine 
 11,683
 69,623
 3,634
 11,683
 73,257
 2,722
 2019 2016 6870 Heuermann Road
San Diego, CA 
 4,200
 30,707
 731
 4,243
 31,395
 5,825
 2011 2011 2567 Second Avenue 
 5,810
 63,078
 3,968
 5,810
 67,046
 18,976
 2012 2001 13075 Evening Creek Drive S
San Diego, CA 
 5,810
 63,078
 2,808
 5,810
 65,886
 17,092
 2012 2001 13075 Evening Creek Drive S 
 3,000
 27,164
 1,521
 3,016
 28,669
 6,231
 2013 2003 810 Turquoise Street
San Diego, CA 
 3,000
 27,164
 881
 3,016
 28,029
 5,495
 2013 2003 810 Turquoise Street 29,843
 4,179
 40,639
 1,920
 4,179
 42,559
 
 2019 2017 955 Grand Ave
San Francisco, CA 
 5,920
 91,639
 12,609
 5,920
 104,248
 13,874
 2016 1998 1550 Sutter Street 
 5,920
 91,639
 13,564
 5,920
 105,203
 17,446
 2016 1998 1550 Sutter Street
San Francisco, CA 
 11,800
 77,214
 9,969
 11,800
 87,183
 11,932
 2016 1923 1601 19th Avenue 
 11,800
 77,214
 10,401
 11,800
 87,615
 14,542
 2016 1923 1601 19th Avenue
San Gabriel, CA 
 3,120
 15,566
 948
 3,138
 16,496
 3,797
 2013 2005 8332 Huntington Drive 
 3,120
 15,566
 1,135
 3,165
 16,656
 4,208
 2013 2005 8332 Huntington Drive
San Jose, CA 
 2,850
 35,098
 811
 2,858
 35,901
 8,000
 2011 2009 1420 Curvi Drive 
 3,280
 46,823
 3,925
 3,280
 50,748
 12,727
 2012 2002 500 S Winchester Boulevard
San Jose, CA 
 3,280
 46,823
 3,149
 3,280
 49,972
 11,218
 2012 2002 500 S Winchester Boulevard 
 11,900
 27,647
 5,198
 11,966
 32,779
 5,773
 2016 2002 4855 San Felipe Road
San Jose, CA 
 11,900
 27,647
 4,820
 11,900
 32,467
 4,801
 2016 2002 4855 San Felipe Road
San Juan Capistrano, CA 
 1,390
 6,942
 1,450
 1,390
 8,392
 3,797
 2000 2001 30311 Camino Capistrano
San Rafael, CA 
 1,620
 27,392
 2,858
 1,832
 30,038
 3,412
 2016 2001 111 Merrydale Road 
 1,620
 27,392
 3,964
 1,854
 31,122
 4,342
 2016 2001 111 Merrydale Road
San Ramon, CA 
 8,700
 72,223
 9,628
 8,700
 81,851
 11,263
 2016 1992 9199 Fircrest Lane 
 8,700
 72,223
 9,954
 8,716
 82,161
 13,500
 2016 1992 9199 Fircrest Lane
Sandy Springs, GA 
 2,214
 8,360
 1,307
 2,220
 9,661
 2,733
 2012 1997 5455 Glenridge Drive NE 
 2,214
 8,360
 1,454
 2,220
 9,808
 3,133
 2012 1997 5455 Glenridge Drive NE
Santa Maria, CA 
 6,050
 50,658
 3,231
 6,089
 53,850
 14,846
 2011 2001 1220 Suey Road
Santa Monica, CA 18,727
 5,250
 28,340
 950
 5,263
 29,277
 6,184
 2013 2004 1312 15th Street
Santa Rosa, CA 
 2,250
 26,273
 3,303
 2,250
 29,576
 3,623
 2016 2001 4225 Wayvern Drive
Saskatoon, SK 3,840
 981
 13,905
 501
 995
 14,392
 2,916
 2013 1999 220 24th Street East
Saskatoon, SK 13,125
 1,382
 17,609
 766
 1,403
 18,354
 3,632
 2013 2004 1622 Acadia Drive
Schaumburg, IL 
 2,460
 22,863
 1,175
 2,497
 24,001
 5,884
 2013 2001 790 North Plum Grove Road
Scottsdale, AZ 
 2,500
 3,890
 1,664
 2,500
 5,554
 1,614
 2008 1998 9410 East Thunderbird Road
Seal Beach, CA 
 6,204
 72,954
 2,078
 6,271
 74,965
 19,259
 2013 2004 3850 Lampson Avenue
Seattle, WA 
 5,190
 9,350
 748
 5,199
 10,089
 3,616
 2010 1962 11501 15th Ave NE
Seattle, WA 27,180
 10,670
 37,291
 1,094
 10,700
 38,355
 12,353
 2010 2005 805 4th Ave N
Seattle, WA 48,540
 6,790
 85,369
 3,258
 6,825
 88,592
 20,335
 2011 2009 5300 24th Avenue NE
Seattle, WA 
 1,150
 19,887
 1,284
 1,153
 21,168
 2,724
 2015 1995 11039 17th Avenue

(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Santa Monica, CA 15,820
 5,250
 28,340
 1,091
 5,266
 29,415
 6,912
 2013 2004 1312 15th Street
Santa Rosa, CA 
 2,250
 26,273
 3,525
 2,292
 29,756
 4,508
 2016 2001 4225 Wayvern Drive
Saskatoon, SK 3,836
 981
 13,905
 1,407
 1,047
 15,246
 3,431
 2013 1999 220 24th Street East
Saskatoon, SK 13,372
 1,382
 17,609
 1,763
 1,476
 19,278
 4,307
 2013 2004 1622 Acadia Drive
Schaumburg, IL 
 2,460
 22,863
 1,277
 2,497
 24,103
 6,501
 2013 2001 790 North Plum Grove Road
Scottsdale, AZ 
 2,500
 3,890
 1,476
 2,500
 5,366
 1,458
 2008 1998 9410 East Thunderbird Road
Scranton, PA 
 875
 10,504
 695
 875
 11,199
 666
 2019 2014 1651 Dickson Avenue
Seal Beach, CA 
 6,204
 72,954
 2,876
 6,271
 75,763
 21,133
 2013 2004 3850 Lampson Avenue
Seattle, WA 
 5,190
 9,350
 1,726
 5,199
 11,067
 3,888
 2010 1962 11501 15th Ave NE
Seattle, WA 27,180
 10,670
 37,291
 1,618
 10,700
 38,879
 13,281
 2010 2005 805 4th Ave N
Seattle, WA 
 1,150
 19,887
 2,737
 1,153
 22,621
 3,336
 2015 1995 11039 17th Avenue
Selbyville, DE 
 750
 25,912
 508
 769
 26,401
 5,564
 2010 2008 21111 Arrington Dr 
 750
 25,912
 867
 769
 26,760
 6,298
 2010 2008 21111 Arrington Dr
Sevenoaks, UK 
 6,181
 40,240
 4,176
 6,390
 44,207
 10,318
 2012 2009 64 - 70 Westerham Road 
 6,181
 40,240
 6,340
 6,648
 46,113
 12,282
 2012 2009 64 - 70 Westerham Road
Severna Park, MD 
 
 67,623
 5,574
 24
 73,173
 8,947
 2016 1997 43 W McKinsey Road 
 
 67,623
 5,944
 38
 73,529
 10,854
 2016 1997 43 W McKinsey Road
Shelburne, VT 
 720
 31,041
 1,966
 777
 32,950
 8,191
 2011 1988 687 Harbor Road
Shelby Township, MI 
 1,040
 26,344
 1,439
 1,105
 27,718
 5,566
 2013 2006 46471 Hayes Road 13,180
 1,040
 26,344
 1,438
 1,110
 27,712
 6,384
 2013 2006 46471 Hayes Road
Shelton, CT 
 2,246
 33,967
 42
 2,246
 34,009
 3,424
 2013 2014 708A Bridgeport Avenue
Shrewsbury, NJ 
 2,120
 38,116
 1,244
 2,138
 39,342
 8,247
 2010 2000 5 Meridian Way 
 2,120
 38,116
 2,333
 2,148
 40,421
 9,371
 2010 2000 5 Meridian Way
Shrewsbury, MA 
 950
 26,824
 1,397
 956
 28,215
 4,209
 2015 1997 3111 Main Street
Sidcup, UK 
 7,446
 56,570
 3,312
 7,714
 59,614
 15,051
 2012 2000 Frognal Avenue 
 7,446
 56,570
 6,330
 8,030
 62,316
 17,441
 2012 2000 Frognal Avenue
Silver Spring, MD 
 
 
 64,540
 3,436
 61,104
 1,466
 2016 2018 2201 Colston Drive
Simi Valley, CA 
 3,200
 16,664
 1,092
 3,298
 17,658
 4,909
 2013 2009 190 Tierra Rejada Road 
 3,200
 16,664
 1,889
 3,298
 18,455
 5,390
 2013 2009 190 Tierra Rejada Road
Simi Valley, CA 
 5,510
 51,406
 8,073
 5,510
 59,479
 8,314
 2016 2003 5300 E Los Angeles Avenue 
 5,510
 51,406
 8,426
 5,510
 59,832
 10,275
 2016 2003 5300 E Los Angeles Avenue
Solihull, UK 
 5,070
 43,297
 4,211
 5,241
 47,337
 10,579
 2012 2009 1270 Warwick Road 
 5,070
 43,297
 6,660
 5,453
 49,574
 12,641
 2012 2009 1270 Warwick Road
Solihull, UK 
 3,571
 26,053
 1,429
 3,692
 27,361
 6,320
 2013 2007 1 Worcester Way 
 3,571
 26,053
 2,969
 3,894
 28,699
 7,375
 2013 2007 1 Worcester Way
Solihull, UK 
 1,851
 10,585
 499
 1,913
 11,022
 770
 2015 2016 Warwick Road 
 1,851
 10,585
 1,421
 1,990
 11,867
 1,153
 2015 2016 Warwick Road
Sonning, UK 
 5,644
 42,155
 2,660
 5,853
 44,606
 9,317
 2013 2009 Old Bath Rd. 
 5,644
 42,155
 4,828
 6,100
 46,527
 11,020
 2013 2009 Old Bath Rd.
Sonoma, CA 
 1,100
 18,400
 1,773
 1,109
 20,164
 7,332
 2005 1988 800 Oregon St. 
 1,100
 18,400
 3,764
 1,109
 22,155
 7,932
 2005 1988 800 Oregon St.
Sonoma, CA 
 2,820
 21,890
 2,683
 2,820
 24,573
 3,043
 2016 2005 91 Napa Road 
 2,820
 21,890
 3,158
 2,827
 25,041
 3,787
 2016 2005 91 Napa Road
Southlake, TX 
 6,207
 56,675
 7,624
 6,207
 64,299
 3,184
 2019 2008 101 Watermere Drive
Spokane, WA 
 3,200
 25,064
 1,019
 3,200
 26,083
 7,538
 2013 2001 3117 E. Chaser Lane
Spokane, WA 
 2,580
 25,342
 382
 2,580
 25,724
 6,597
 2013 1999 1110 E. Westview Ct.
St. Albert, AB 7,432
 1,145
 17,863
 1,854
 1,185
 19,677
 5,098
 2014 2005 78C McKenney Avenue 9,894
 1,145
 17,863
 3,192
 1,247
 20,953
 5,779
 2014 2005 78C McKenney Avenue
St. John's, NL 5,444
 706
 11,765
 73
 711
 11,833
 1,575
 2015 2005 64 Portugal Cove Road 5,449
 706
 11,765
 829
 748
 12,552
 2,009
 2015 2005 64 Portugal Cove Road
Stittsville, ON 4,237
 1,175
 17,397
 753
 1,192
 18,133
 3,630
 2013 1996 1340 - 1354 Main Street 4,227
 1,175
 17,397
 1,884
 1,263
 19,193
 4,306
 2013 1996 1340 - 1354 Main Street
Stockport, UK 
 4,369
 25,018
 1,329
 4,521
 26,195
 6,471
 2013 2008 1 Dairyground Road 
 4,369
 25,018
 2,864
 4,720
 27,531
 7,480
 2013 2008 1 Dairyground Road
Stockton, CA 
 2,280
 5,983
 513
 2,372
 6,404
 2,006
 2010 1988 6725 Inglewood 
 2,280
 5,983
 1,214
 2,372
 7,105
 2,223
 2010 1988 6725 Inglewood
Strongsville, OH 
 1,113
 10,882
 656
 1,113
 11,538
 651
 2019 2017 15100 Howe Road
Stuart, FL 
 5,276
 23,796
 730
 5,276
 24,526
 223
 2019 2019 2625 SE Cove Road
Studio City, CA 
 4,006
 25,307
 1,151
 4,109
 26,355
 6,453
 2013 2004 4610 Coldwater Canyon Avenue 
 4,006
 25,307
 1,360
 4,115
 26,558
 7,094
 2013 2004 4610 Coldwater Canyon Avenue
Suffield, CT 
 4,409
 27,694
 2,392
 4,409
 30,086
 826
 2019 1998 7 Canal Road
Sugar Land, TX 
 960
 31,423
 1,339
 960
 32,762
 8,143
 2011 1996 1221 Seventh St 
 960
 31,423
 999
 960
 32,422
 8,673
 2011 1996 1221 Seventh St
Sugar Land, TX 
 4,272
 60,493
 6,530
 4,272
 67,023
 4,864
 2017 2015 744 Brooks Street 
 4,272
 60,493
 6,540
 4,272
 67,033
 8,760
 2017 2015 744 Brooks Street
Sun City, FL 20,951
 6,521
 48,476
 5,134
 6,648
 53,483
 11,537
 2015 1995 231 Courtyards 20,609
 6,521
 48,476
 6,439
 6,648
 54,788
 13,348
 2015 1995 231 Courtyards
Sun City, FL 23,606
 5,040
 50,923
 4,577
 5,369
 55,171
 10,639
 2015 1999 1311 Aston Gardens Court 23,220
 5,040
 50,923
 5,782
 5,388
 56,357
 12,170
 2015 1999 1311 Aston Gardens Court
Sunnyvale, CA 
 5,420
 41,682
 2,155
 5,420
 43,837
 10,239
 2012 2002 1039 East El Camino Real
Surrey, BC 6,323
 3,605
 18,818
 1,018
 3,658
 19,783
 5,725
 2013 2000 16028 83rd Avenue
Surrey, BC 15,142
 4,552
 22,338
 1,332
 4,631
 23,591
 7,190
 2013 1987 15501 16th Avenue
Sutton, UK 
 4,096
 14,532
 730
 4,234
 15,124
 851
 2015 2016 123 Westmead Road
Suwanee, GA 
 1,560
 11,538
 1,665
 1,560
 13,203
 3,281
 2012 2000 4315 Johns Creek Parkway
Sway, UK 
 4,145
 15,508
 1,113
 4,334
 16,432
 3,004
 2014 2008 Sway Place
Swift Current, SK 1,871
 492
 10,119
 455
 505
 10,561
 2,324
 2013 2001 301 Macoun Drive
Tacoma, WA 17,640
 2,400
 35,053
 1,276
 2,493
 36,236
 8,057
 2011 2008 7290 Rosemount Circle
Tacoma, WA 
 1,535
 6,068
 67
 1,537
 6,133
 1,095
 2015 2012 7290 Rosemount Circle
Tacoma, WA 
 4,170
 73,377
 12,917
 4,170
 86,294
 11,797
 2016 1987 8201 6th Avenue
Tampa, FL 69,330
 4,910
 114,148
 5,229
 4,996
 119,291
 20,181
 2015 2001 12951 W Linebaugh Avenue
Tewksbury, MA 
 2,350
 24,118
 2,172
 2,350
 26,290
 3,205
 2016 2006 2000 Emerald Court
The Woodlands, TX 
 480
 12,379
 679
 480
 13,058
 3,238
 2011 1999 7950 Bay Branch Dr
Toledo, OH 
 2,040
 47,129
 3,722
 2,144
 50,747
 15,040
 2010 1985 3501 Executive Parkway
Toms River, NJ 
 1,610
 34,627
 1,077
 1,681
 35,633
 7,529
 2010 2005 1587 Old Freehold Rd
Toronto, ON 17,086
 2,927
 20,713
 1,635
 2,997
 22,278
 3,323
 2015 1900 54 Foxbar Road
Sun City West, AZ 
 1,250
 21,778
 1,162
 1,250
 22,940
 5,012
 2012 1998 13810 West Sandridge Drive
(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Sunnyvale, CA 
 5,420
 41,682
 2,715
 5,420
 44,397
 11,522
 2012 2002 1039 East El Camino Real
Surrey, BC 6,316
 3,605
 18,818
 2,466
 3,849
 21,040
 6,563
 2013 2000 16028 83rd Avenue
Surrey, BC 15,386
 4,552
 22,338
 2,939
 4,905
 24,924
 8,226
 2013 1987 15501 16th Avenue
Sutton, UK 
 4,096
 14,532
 2,444
 4,408
 16,664
 1,396
 2015 2016 123 Westmead Road
Suwanee, GA 
 1,560
 11,538
 1,531
 1,560
 13,069
 3,743
 2012 2000 4315 Johns Creek Parkway
Sway, UK 
 4,145
 15,508
 2,261
 4,509
 17,405
 3,692
 2014 2008 Sway Place
Swift Current, SK 1,790
 492
 10,119
 1,185
 531
 11,265
 2,713
 2013 2001 301 Macoun Drive
Sylvania, OH 
 1,205
 12,024
 
 1,205
 12,024
 270
 2019 2019 4120 King Road
Syracuse, NY 
 1,385
 11,555
 863
 1,385
 12,418
 743
 2019 2011 6715 Buckley Road
Tacoma, WA 
 4,170
 73,377
 17,171
 4,170
 90,548
 17,187
 2016 1987 8201 6th Avenue
Tampa, FL 69,330
 4,910
 114,148
 7,556
 5,073
 121,541
 23,400
 2015 2001 12951 W Linebaugh Avenue
Tampa, FL 
 3,451
 25,775
 
 3,451
 25,775
 65
 2019 2019 11330 Countryway Blvd
The Woodlands, TX 
 480
 12,379
 557
 480
 12,936
 3,351
 2011 1999 7950 Bay Branch Dr
Toledo, OH 
 2,040
 47,129
 4,107
 2,144
 51,132
 16,567
 2010 1985 3501 Executive Parkway
Toms River, NJ 
 1,610
 34,627
 1,428
 1,695
 35,970
 8,532
 2010 2005 1587 Old Freehold Rd
Tonawanda, NY 
 1,534
 13,264
 1,252
 1,534
 14,516
 820
 2019 2011 300 Fries Road
Tonawanda, NY 
 2,425
 12,433
 1,428
 2,425
 13,861
 852
 2019 2009 285 Crestmount Avenue
Toronto, ON 8,268
 5,082
 25,493
 1,375
 5,178
 26,772
 5,294
 2015 1988 645 Castlefield Avenue 17,976
 2,927
 20,713
 4,001
 3,157
 24,484
 4,292
 2015 1900 54 Foxbar Road
Toronto, ON 12,478
 2,008
 19,620
 
 2,008
 19,620
 3,033
 2015 1999 4251 Dundas Street West 8,049
 5,082
 25,493
 3,119
 5,448
 28,246
 6,299
 2015 1988 645 Castlefield Avenue
Toronto, ON 36,296
 5,132
 41,657
 2,931
 5,209
 44,511
 10,383
 2015 1964 10 William Morgan Drive 12,756
 2,008
 19,620
 1,286
 2,113
 20,801
 3,744
 2015 1999 4251 Dundas Street West
Toronto, ON 4,268
 2,480
 7,571
 492
 2,527
 8,016
 1,724
 2015 1971 123 Spadina Road 36,974
 5,132
 41,657
 5,581
 5,484
 46,886
 12,124
 2015 1964 10 William Morgan Drive
Toronto, ON 1,217
 1,079
 5,364
 269
 1,095
 5,617
 1,246
 2013 1982 25 Centennial Park Road 7,665
 2,480
 7,571
 1,099
 2,662
 8,488
 2,084
 2015 1971 123 Spadina Road
Toronto, ON 7,531
 2,513
 19,695
 969
 2,583
 20,594
 3,845
 2013 2002 305 Balliol Street 4,701
 1,079
 5,364
 731
 1,152
 6,022
 1,488
 2013 1982 25 Centennial Park Road
Toronto, ON 17,407
 3,400
 32,757
 1,488
 3,456
 34,189
 7,774
 2013 1973 1055 and 1057 Don Mills Road 7,545
 2,513
 19,695
 2,250
 2,718
 21,740
 4,677
 2013 2002 305 Balliol Street
Toronto, ON 751
 1,361
 2,915
 303
 1,414
 3,165
 1,155
 2013 1985 3705 Bathurst Street 17,746
 3,400
 32,757
 3,552
 3,635
 36,074
 9,152
 2013 1973 1055 and 1057 Don Mills Road
Toronto, ON 5,685
 1,447
 3,918
 358
 1,494
 4,229
 1,147
 2013 1987 1340 York Mills Road 5,807
 1,447
 3,918
 673
 1,572
 4,466
 1,361
 2013 1987 1340 York Mills Road
Toronto, ON 30,679
 5,304
 53,488
 2,130
 5,387
 55,535
 15,694
 2013 1988 8 The Donway East 31,276
 5,304
 53,488
 8,935
 5,675
 62,052
 17,963
 2013 1988 8 The Donway East
Torrance, CA 
 3,497
 73,138
 16
 3,497
 73,154
 4,639
 2016 2016 25525 Hawthorne Boulevard 
 3,497
 73,138
 186
 3,497
 73,324
 6,464
 2016 2016 25535 Hawthorne Boulevard
Tucson, AZ 
 830
 6,179
 4,055
 830
 10,234
 2,031
 2012 1997 5660 N. Kolb Road
Tulsa, OK 
 1,330
 21,285
 4,417
 1,362
 25,670
 7,149
 2010 1986 8887 South Lewis Ave 
 1,330
 21,285
 4,679
 1,362
 25,932
 8,192
 2010 1986 8887 South Lewis Ave
Tulsa, OK 
 1,500
 20,861
 3,934
 1,581
 24,714
 7,228
 2010 1984 9524 East 71st St 
 1,500
 20,861
 4,285
 1,614
 25,032
 8,129
 2010 1984 9524 East 71st St
Tustin, CA 
 840
 15,299
 744
 840
 16,043
 3,784
 2011 1965 240 East 3rd St
Turlock, CA 
 2,266
 12,737
 1,122
 2,266
 13,859
 263
 2019 2001 3791 Crowell Road
Twinsburg, OH 
 1,035
 8,302
 543
 1,035
 8,845
 569
 2019 2016 3092 Kendal Lane
Upland, CA 
 3,160
 42,596
 55
 3,160
 42,651
 5,414
 2015 2014 2419 North Euclid Avenue 
 3,160
 42,596
 68
 3,160
 42,664
 6,592
 2015 2014 2419 North Euclid Avenue
Upper Providence, PA 
 1,900
 28,195
 37
 1,900
 28,232
 2,719
 2013 2015 1133 Black Rock Road 
 1,900
 28,195
 404
 1,906
 28,593
 3,475
 2013 2015 1133 Black Rock Road
Upper St Claire, PA 
 1,102
 13,455
 1,396
 1,125
 14,828
 3,714
 2013 2005 500 Village Drive 
 1,102
 13,455
 1,623
 1,153
 15,027
 4,186
 2013 2005 500 Village Drive
Vacaville, CA 
 900
 17,100
 1,756
 907
 18,849
 7,022
 2005 1987 799 Yellowstone Dr. 
 900
 17,100
 3,051
 900
 20,151
 7,599
 2005 1987 799 Yellowstone Dr.
Vallejo, CA 
 4,000
 18,000
 2,476
 4,030
 20,446
 7,573
 2005 1989 350 Locust Dr. 
 4,000
 18,000
 4,463
 4,030
 22,433
 8,210
 2005 1989 350 Locust Dr.
Vallejo, CA 
 2,330
 15,407
 390
 2,330
 15,797
 4,505
 2010 1990 2261 Tuolumne 
 2,330
 15,407
 1,224
 2,330
 16,631
 4,928
 2010 1990 2261 Tuolumne
Vancouver, WA 
 1,820
 19,042
 438
 1,821
 19,479
 5,299
 2010 2006 10011 NE 118th Ave 
 1,820
 19,042
 1,052
 1,821
 20,093
 5,810
 2010 2006 10011 NE 118th Ave
Vancouver, BC 
 7,282
 6,572
 
 7,282
 6,572
 5,332
 2015 1974 2803 West 41st Avenue 
 7,282
 6,572
 1,440
 7,661
 7,633
 5,714
 2015 1974 2803 West 41st Avenue
Vankleek Hill, ON 750
 389
 2,960
 293
 400
 3,242
 820
 2013 1987 48 Wall Street 665
 389
 2,960
 541
 421
 3,469
 960
 2013 1987 48 Wall Street
Vaudreuil, QC 7,822
 1,852
 14,214
 546
 1,829
 14,783
 2,234
 2015 1975 333 rue Querbes
Venice, FL 64,425
 6,820
 100,501
 4,362
 6,892
 104,791
 19,357
 2015 2002 1000 Aston Gardens Drive
Vero Beach, FL 
 2,930
 40,070
 25,658
 2,930
 65,728
 19,456
 2007 2003 7955 16th Manor
Victoria, BC 6,833
 2,856
 18,038
 565
 2,898
 18,561
 4,657
 2013 1974 3000 Shelbourne Street
Victoria, BC 6,299
 3,681
 15,774
 555
 3,736
 16,274
 4,244
 2013 1988 3051 Shelbourne Street
Victoria, BC 7,064
 2,476
 15,379
 1,020
 2,516
 16,359
 2,115
 2015 1990 3965 Shelbourne Street
Virginia Water, UK 
 7,106
 29,937
 5,937
 5,629
 37,351
 8,494
 2012 2002 Christ Church Road
Voorhees, NJ 
 3,700
 24,312
 1,821
 3,854
 25,979
 4,025
 2012 2013 311 Route 73
Wall, NJ 
 1,650
 25,350
 2,679
 1,692
 27,987
 5,356
 2011 2003 2021 Highway 35
Walnut Creek, CA 
 3,700
 12,467
 2,280
 3,808
 14,639
 4,072
 2013 1998 2175 Ygnacio Valley Road
Walnut Creek, CA 
 10,320
 100,890
 15,190
 10,320
 116,080
 15,633
 2016 1988 1580 Geary Road
Waltham, MA 
 2,462
 40,062
 1,457
 2,551
 41,430
 6,700
 2015 2000 126 Smith Street
Washington, DC 30,162
 4,000
 69,154
 3,157
 4,004
 72,307
 14,549
 2013 2004 5111 Connecticut Avenue NW
Watchung, NJ 
 1,920
 24,880
 1,348
 2,048
 26,100
 5,131
 2011 2000 680 Mountain Boulevard
Wayland, MA 
 1,207
 27,462
 2,157
 1,334
 29,492
 6,527
 2013 1997 285 Commonwealth Road
Webster Groves, MO 
 1,790
 15,425
 2,391
 1,793
 17,813
 4,543
 2011 2012 45 E Lockwood Avenue
Welland, ON 6,041
 983
 7,530
 94
 969
 7,638
 1,060
 2015 2006 110 First Street
Wellesley, MA 
 4,690
 77,462
 219
 4,690
 77,681
 11,776
 2015 2012 23 & 27 Washington Street
West Babylon, NY 
 3,960
 47,085
 2,224
 3,960
 49,309
 9,640
 2013 2003 580 Montauk Highway
West Bloomfield, MI 
 1,040
 12,300
 835
 1,094
 13,081
 2,977
 2013 2000 7005 Pontiac Trail


(Dollars in thousands)(Dollars in thousands)  (Dollars in thousands)  
   Initial Cost to Company   Gross Amount at Which Carried at Close of Period         Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Seniors Housing Operating:                                        
Vaudreuil, QC 8,012
 1,852
 14,214
 1,686
 1,924
 15,828
 2,837
 2015 1975 333 rue Querbes
Venice, FL 64,425
 6,820
 100,501
 5,560
 6,958
 105,923
 22,077
 2015 2002 1000 Aston Gardens Drive
Vero Beach, FL 
 2,930
 40,070
 25,748
 2,930
 65,818
 24,423
 2007 2003 7955 16th Manor
Victoria, BC 6,877
 2,856
 18,038
 1,833
 3,049
 19,678
 5,414
 2013 1974 3000 Shelbourne Street
Victoria, BC 6,340
 3,681
 15,774
 1,700
 3,931
 17,224
 4,936
 2013 1988 3051 Shelbourne Street
Victoria, BC 7,109
 2,476
 15,379
 2,265
 2,647
 17,473
 2,713
 2015 1990 3965 Shelbourne Street
Virginia Water, UK 
 7,106
 29,937
 7,580
 5,856
 38,767
 10,904
 2012 2002 Christ Church Road
Voorhees, NJ 
 3,700
 24,312
 2,503
 3,854
 26,661
 4,867
 2012 2013 311 Route 73
Wall, NJ 
 1,650
 25,350
 2,985
 1,694
 28,291
 6,175
 2011 2003 2021 Highway 35
Walnut Creek, CA 
 3,700
 12,467
 2,931
 3,808
 15,290
 4,571
 2013 1998 2175 Ygnacio Valley Road
Walnut Creek, CA 
 10,320
 100,890
 18,143
 10,320
 119,033
 20,636
 2016 1988 1580 Geary Road
Washington, DC 
 4,000
 69,154
 3,222
 4,004
 72,372
 16,427
 2013 2004 5111 Connecticut Avenue NW
Watchung, NJ 
 1,920
 24,880
 1,979
 2,055
 26,724
 5,918
 2011 2000 680 Mountain Boulevard
Waukee, IA 
 1,870
 31,878
 790
 1,870
 32,668
 5,905
 2012 2007 1650 SE Holiday Crest Circle
Wayland, MA 
 1,207
 27,462
 2,349
 1,340
 29,678
 7,435
 2013 1997 285 Commonwealth Road
Webster Groves, MO 
 1,790
 15,425
 2,637
 1,801
 18,051
 5,039
 2011 2012 45 E Lockwood Avenue
Welland, ON 6,027
 983
 7,530
 793
 1,019
 8,287
 1,338
 2015 2006 110 First Street
Wellesley, MA 
 4,690
 77,462
 347
 4,690
 77,809
 13,734
 2015 2012 23 & 27 Washington Street
West Babylon, NY 
 3,960
 47,085
 2,440
 3,960
 49,525
 11,042
 2013 2003 580 Montauk Highway
West Bloomfield, MI 
 1,040
 12,300
 905
 1,100
 13,145
 3,320
 2013 2000 7005 Pontiac Trail
West Hills, CA 
 2,600
 7,521
 1,545
 2,636
 9,030
 2,681
 2013 2002 9012 Topanga Canyon Road 
 2,600
 7,521
 1,714
 2,658
 9,177
 2,957
 2013 2002 9012 Topanga Canyon Road
West Seneca, NY 
 1,232
 6,600
 634
 1,232
 7,234
 546
 2019 2000 1187 Orchard Park Drive
West Seneca, NY 
 1,035
 7,438
 604
 1,035
 8,042
 546
 2019 2007 2341 Union Road
West Vancouver, BC 17,668
 7,059
 28,155
 1,997
 7,168
 30,043
 7,104
 2013 1987 2095 Marine Drive 17,934
 7,059
 28,155
 4,380
 7,545
 32,049
 8,354
 2013 1987 2095 Marine Drive
Westbourne, UK 
 5,441
 41,420
 3,300
 5,627
 44,534
 9,612
 2013 2006 16-18 Poole Road 
 5,441
 41,420
 8,236
 5,854
 49,243
 11,299
 2013 2006 16-18 Poole Road
Westford, MA 
 1,440
 32,607
 319
 1,468
 32,898
 4,202
 2015 2013 108 Littleton Road 
 1,440
 32,607
 400
 1,468
 32,979
 5,100
 2015 2013 108 Littleton Road
Weston, MA 
 1,160
 6,200
 1,274
 1,160
 7,474
 1,583
 2013 1998 135 North Avenue 
 1,160
 6,200
 1,555
 1,160
 7,755
 1,879
 2013 1998 135 North Avenue
Westworth Village, TX 
 2,060
 31,296
 60
 2,060
 31,356
 3,346
 2014 2014 25 Leonard Trail 
 2,060
 31,296
 64
 2,060
 31,360
 4,169
 2014 2014 25 Leonard Trail
Weybridge, UK 
 7,899
 48,240
 2,386
 8,166
 50,359
 12,363
 2013 2008 Ellesmere Road 
 7,899
 48,240
 4,888
 8,496
 52,531
 14,169
 2013 2008 Ellesmere Road
Weymouth, UK 
 2,591
 16,551
 880
 2,714
 17,308
 2,114
 2014 2013 Cross Road 
 2,591
 16,551
 1,841
 2,824
 18,159
 2,702
 2014 2013 Cross Road
White Oak, MD 
 2,304
 24,768
 1,936
 2,316
 26,692
 5,465
 2013 2002 11621 New Hampshire Avenue 
 2,304
 24,768
 2,991
 2,358
 27,705
 6,232
 2013 2002 11621 New Hampshire Avenue
Whitesboro, NY 
 1,575
 11,873
 789
 1,575
 12,662
 737
 2019 2015 4770 Clinton Road
Willoughby, OH 
 1,298
 10,514
 662
 1,298
 11,176
 688
 2019 2016 35100 Chardon Road
Wilmington, DE 
 1,040
 23,338
 1,771
 1,129
 25,020
 5,281
 2013 2004 2215 Shipley Street 
 1,040
 23,338
 2,208
 1,176
 25,410
 5,951
 2013 2004 2215 Shipley Street
Winchester, UK 
 6,009
 29,405
 1,472
 6,220
 30,666
 7,194
 2012 2010 Stockbridge Road 
 6,009
 29,405
 3,178
 6,471
 32,121
 8,270
 2012 2010 Stockbridge Road
Winnipeg, MB 11,756
 1,960
 38,612
 2,244
 2,058
 40,758
 12,275
 2013 1999 857 Wilkes Avenue 11,736
 1,960
 38,612
 4,839
 2,206
 43,205
 13,892
 2013 1999 857 Wilkes Avenue
Winnipeg, MB 14,961
 1,276
 21,732
 1,083
 1,419
 22,672
 4,820
 2013 1988 3161 Grant Avenue 25,459
 1,276
 21,732
 2,563
 1,493
 24,078
 5,682
 2013 1988 3161 Grant Avenue
Winnipeg, MB 12,124
 1,317
 15,609
 1,864
 1,346
 17,444
 3,116
 2015 1999 125 Portsmouth Boulevard 12,328
 1,317
 15,609
 2,937
 1,420
 18,443
 3,740
 2015 1999 125 Portsmouth Boulevard
Woking, UK 
 2,990
 12,523
 
 2,990
 12,523
 363
 2016 2017 12 Streets Heath, West End 
 2,990
 12,523
 1,032
 3,118
 13,427
 786
 2016 2017 12 Streets Heath, West End
Wolverhampton, UK 
 2,941
 8,922
 724
 3,047
 9,540
 3,114
 2013 2008 73 Wergs Road 
 2,941
 8,922
 1,393
 3,170
 10,086
 3,591
 2013 2008 73 Wergs Road
Woodbridge, CT 
 1,370
 14,219
 1,594
 1,426
 15,757
 5,754
 2011 1998 21 Bradley Road
Woodland Hills, CA 
 3,400
 20,478
 1,079
 3,447
 21,510
 5,278
 2013 2005 20461 Ventura Boulevard 
 3,400
 20,478
 1,383
 3,447
 21,814
 5,855
 2013 2005 20461 Ventura Boulevard
Worcester, MA 
 1,140
 21,664
 1,382
 1,166
 23,020
 6,192
 2011 1999 340 May Street 
Yarmouth, ME 
 450
 27,711
 1,410
 484
 29,087
 7,458
 2011 1999 27 Forest Falls Drive
Yonkers, NY 
 3,962
 50,107
 2,111
 3,967
 52,213
 10,824
 2013 2005 65 Crisfield Street 
 3,962
 50,107
 2,314
 3,956
 52,427
 12,283
 2013 2005 65 Crisfield Street
Yorkton, SK 3,085
 463
 8,760
 340
 473
 9,090
 2,004
 2013 2001 94 Russell Drive 3,108
 463
 8,760
 886
 496
 9,613
 2,348
 2013 2001 94 Russell Drive
Seniors Housing Operating Total $1,810,587

$1,331,171

$14,047,033

$1,206,757

$1,373,258

$15,211,900

$2,962,334
  $1,990,607

$1,383,927

$13,886,675

$1,879,176

$1,469,078

$15,680,700

$3,194,057
 


104


Welltower Inc.  
Schedule III  
Real Estate and Accumulated Depreciation  
December 31, 2019  
(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Abilene, TX $
 $950
 $20,987
 $11,660
 $950
 $32,647
 $3,442
 2014 1998 6565 Central Park Boulevard
Abilene, TX 
 990
 8,187
 1,089
 990
 9,276
 1,262
 2014 1985 1250 East N 10th Street
Aboite Twp, IN 
 1,770
 19,930
 1,601
 1,770
 21,531
 5,178
 2010 2008 611 W County Line Rd South
Agawam, MA 
 880
 16,112
 2,134
 880
 18,246
 8,476
 2002 1993 1200 Suffield St.
Akron, OH 
 633
 3,003
 
 633
 3,003
 121
 2018 1999 171 North Cleveland Massillon Road
Alexandria, VA 
 2,452
 6,829
 
 2,452
 6,829
 267
 2018 1964 1510 Collingwood Road
Alhambra, CA 
 600
 6,305
 8,847
 600
 15,152
 2,322
 2011 1923 1118 N. Stoneman Ave.
Allen Park, MI 
 1,767
 5,027
 
 1,767
 5,027
 199
 2018 1960 9150 Allen Road
Allentown, PA 
 494
 11,849
 
 494
 11,849
 457
 2018 1995 5151 Hamilton Boulevard
Allentown, PA 
 1,491
 4,823
 
 1,491
 4,823
 195
 2018 1988 1265 Cedar Crest Boulevard
Ames, IA 
 330
 8,870
 
 330
 8,870
 2,314
 2010 1999 1325 Coconino Rd.
Ann Arbor, MI 
 2,172
 11,127
 
 2,172
 11,127
 463
 2018 1997 4701 East Huron River Drive
Annandale, VA 
 1,687
 18,980
 
 1,687
 18,980
 716
 2018 2002 7104 Braddock Road
Arlington, VA 
 4,016
 8,805
 
 4,016
 8,805
 339
 2018 1976 550 South Carlin Southprings Road
Asheboro, NC 
 290
 5,032
 261
 290
 5,293
 2,265
 2003 1998 514 Vision Dr.
Asheville, NC 
 204
 3,489
 
 204
 3,489
 1,938
 1999 1999 4 Walden Ridge Dr.
Asheville, NC 
 280
 1,955
 518
 280
 2,473
 1,086
 2003 1992 308 Overlook Rd.
Atchison, KS 
 140
 5,610
 23
 140
 5,633
 634
 2015 2001 1301 N 4th St.
Aurora, CO 
 2,440
 28,172
 
 2,440
 28,172
 12,556
 2006 2007 14211 E. Evans Ave.
Austin, TX 
 1,691
 5,006
 
 1,691
 5,006
 257
 2018 2000 11630 Four Iron Drive
Avon, IN 
 1,830
 14,470
 
 1,830
 14,470
 3,942
 2010 2004 182 S Country RD. 550E
Avon, IN 
 900
 19,444
 
 900
 19,444
 2,896
 2014 2013 10307 E. CR 100 N
Avon, CT 
 2,132
 7,627
 
 2,132
 7,627
 359
 2018 2000 100 Fisher Drive
Azusa, CA 
 570
 3,141
 7,429
 570
 10,570
 3,172
 1998 1953 125 W. Sierra Madre Ave.
Baldwin City, KS 
 190
 4,810
 55
 190
 4,865
 560
 2015 2000 321 Crimson Ave
Baltimore, MD 
 4,306
 4,305
 
 4,306
 4,305
 181
 2018 1978 6600 Ridge Road
Baltimore, MD 
 3,069
 3,150
 
 3,069
 3,150
 141
 2018 1996 4669 Falls Road
Barberton, OH 
 1,307
 9,313
 
 1,307
 9,313
 356
 2018 1979 85 Third Street
Bartlesville, OK 
 100
 1,380
 
 100
 1,380
 860
 1996 1995 5420 S.E. Adams Blvd.
Battle Creek, MI 
 857
 1,822
 
 857
 1,822
 99
 2018 1965 200 Roosevelt Avenue East
Bay City, MI 
 633
 2,620
 
 633
 2,620
 115
 2018 1968 800 Mulholland Street
Bedford, PA 
 637
 4,434
 
 637
 4,434
 201
 2018 1965 136 Donahoe Manor Road
Belmont, CA 
 3,000
 23,526
 1,653
 3,000
 25,179
 6,778
 2011 1971 1301 Ralston Avenue
Belvidere, NJ 
 2,001
 26,191
 
 2,001
 26,191
 771
 2019 2009 1 Brookfield Ct
Benbrook, TX 
 1,550
 13,553
 2,747
 1,550
 16,300
 3,242
 2011 1984 4242 Bryant Irvin Road
Berkeley, CA 11,947
 3,050
 32,677
 4,982
 3,050
 37,659
 5,614
 2016 1966 2235 Sacramento Street
Bethel Park, PA 
 1,700
 16,007
 
 1,700
 16,007
 4,712
 2007 2009 5785 Baptist Road
Bethel Park, PA 
 1,008
 6,742
 
 1,008
 6,742
 276
 2018 1986 60 Highland Road
Bethesda, MD 
 2,218
 6,871
 
 2,218
 6,871
 259
 2018 1974 6530 Democracy Boulevard
Bethlehem, PA 
 1,191
 16,892
 
 1,191
 16,892
 620
 2018 1979 2021 Westgate Drive


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Bethlehem, PA 
 1,143
 13,592
 
 1,143
 13,592
 502
 2018 1982 2029 Westgate Drive
Beverly Hills, CA 
 6,000
 13,385
 
 6,000
 13,385
 1,761
 2014 2000 220 N Clark Drive
Bexleyheath, UK 
 3,750
 10,807
 1,101
 4,034
 11,624
 1,567
 2014 1996 35 West Street
Bingham Farms, MI 
 781
 15,676
 
 781
 15,676
 597
 2018 1999 24005 West 13 Mile Road
Birmingham, UK 
 1,647
 14,853
 1,246
 1,771
 15,975
 1,964
 2015 2010 Clinton Street, Winson Green
Birmingham, UK 
 1,591
 19,092
 1,564
 1,712
 20,535
 2,488
 2015 2010 Braymoor Road, Tile Cross
Birmingham, UK 
 1,462
 9,056
 794
 1,572
 9,740
 1,216
 2015 2010 Clinton Street, Winson Green
Birmingham, UK 
 1,184
 10,085
 852
 1,274
 10,847
 1,324
 2015 1997 122 Tile Cross Road, Garretts Green
Bloomington, IN 
 670
 17,423
 
 670
 17,423
 2,146
 2015 2015 363 S. Fieldstone Boulevard
Boca Raton, FL 
 2,200
 4,976
 
 2,200
 4,976
 247
 2018 1994 7225 Boca Del Mar Drive
Boca Raton, FL 
 2,826
 4,063
 
 2,826
 4,063
 180
 2018 1984 375 Northwest 51st Street
Boulder, CO 
 3,601
 21,371
 
 3,601
 21,371
 870
 2018 1990 2800 Palo Parkway
Bournemouth, UK 
 2,589
 15,984
 
 2,589
 15,984
 44
 2019 2017 Poole Lane
Boynton Beach, FL 
 2,138
 10,204
 
 2,138
 10,204
 425
 2018 1991 3600 Old Boynton Road
Boynton Beach, FL 
 2,804
 14,226
 
 2,804
 14,226
 541
 2018 1984 3001 South Congress Avenue
Bracknell, UK 
 4,081
 11,470
 217
 4,246
 11,522
 713
 2014 2017 Bagshot Road
Bradenton, FL 
 252
 3,298
 
 252
 3,298
 2,068
 1996 1995 6101 Pointe W. Blvd.
Bradenton, FL 
 480
 9,953
 110
 480
 10,063
 1,978
 2012 2000 2800 60th Avenue West
Braintree, MA 
 170
 7,157
 1,290
 170
 8,447
 8,444
 1997 1968 1102 Washington St.
Braintree, UK 
 
 13,296
 1,005
 
 14,301
 2,010
 2014 2009 Meadow Park Tortoiseshell Way
Brecksville, OH 
 990
 19,353
 
 990
 19,353
 2,872
 2014 2011 8757 Brecksville Road
Brentwood, UK 34,515
 8,537
 45,869
 4,443
 9,182
 49,667
 3,992
 2016 2013 London Road
Brick, NJ 
 1,290
 25,247
 1,330
 1,290
 26,577
 5,851
 2011 2000 458 Jack Martin Blvd.
Bridgewater, NJ 
 1,800
 31,810
 1,678
 1,800
 33,488
 7,340
 2011 2001 680 US-202/206 North
Bristol, UK 
 4,256
 17,962
 
 4,256
 17,962
 411
 2015 2017 339 Badminton Road
Bristol, UK 
 2,270
 13,030
 
 2,270
 13,030
 183
 2017 2019 Avon Valley Care Home, Tenniscourt Road
Brooks, AB 1,747
 376
 4,951
 370
 401
 5,296
 768
 2014 2000 951 Cassils Road West
Bucyrus, OH 
 1,119
 2,612
 
 1,119
 2,612
 122
 2018 1976 1170 West Mansfield Street
Burleson, TX 
 670
 13,985
 2,457
 670
 16,442
 3,430
 2011 1988 300 Huguley Boulevard
Burlington, NC 
 280
 4,297
 835
 280
 5,132
 2,157
 2003 2000 3619 S. Mebane St.
Burlington, NC 
 460
 5,467
 53
 460
 5,520
 2,400
 2003 1997 3615 S. Mebane St.
Burlington, NJ 
 1,700
 12,554
 501
 1,700
 13,055
 3,652
 2011 1965 115 Sunset Road
Burlington, NJ 
 1,170
 19,205
 172
 1,170
 19,377
 4,657
 2011 1994 2305 Rancocas Road
Burnaby, BC 7,292
 7,623
 13,844
 1,463
 8,139
 14,791
 2,177
 2014 2006 7195 Canada Way
Calgary, AB 14,841
 2,341
 42,768
 3,122
 2,500
 45,731
 6,386
 2014 1971 1729-90th Avenue SW
Calgary, AB 24,614
 4,569
 70,199
 5,069
 4,878
 74,959
 10,375
 2014 2001 500 Midpark Way SE
Camberley, UK 
 9,974
 39,168
 1,984
 10,376
 40,750
 2,725
 2016 2017 Pembroke Broadway
Camp Hill, PA 
 517
 3,597
 
 517
 3,597
 142
 2018 1970 1700 Market Street
Canonsburg, PA 
 911
 4,830
 
 911
 4,830
 207
 2018 1986 113 West McMurray Road
Canton, OH 
 300
 2,098
 
 300
 2,098
 1,165
 1998 1998 1119 Perry Dr., N.W.
Canton, MI 
 1,399
 16,971
 
 1,399
 16,971
 644
 2018 2005 7025 Lilley Road
Cape Coral, FL 
 530
 3,281
 
 530
 3,281
 1,551
 2002 2000 911 Santa Barbara Blvd.
Cape Coral, FL 8,135
 760
 18,868
 106
 760
 18,974
 3,788
 2012 2009 831 Santa Barbara Boulevard
Cape May Court House, NJ 
 1,440
 17,002
 1,775
 1,440
 18,777
 2,784
 2014 1990 144 Magnolia Drive
Carlisle, PA 
 978
 8,207
 
 978
 8,207
 331
 2018 1987 940 Walnut Bottom Road


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Carmel, IN 
 1,700
 19,491
 1
 1,700
 19,492
 2,521
 2015 2015 12315 Pennsylvania Street
Carmel, IN 
 1,583
 6,071
 
 1,583
 6,071
 263
 2018 1985 12999 North Pennsylvania Street
Carmel, IN 
 
 2,296
 
 
 2,296
 82
 2018 1985 12999 North Pennsylvania Street
Carrollton, TX 
 2,010
 19,549
 
 2,010
 19,549
 1,724
 2014 2016 2645 East Trinity Mills Road
Cary, NC 
 1,500
 4,350
 1,051
 1,500
 5,401
 2,827
 1998 1996 111 MacArthur
Castleton, IN 
 920
 15,137
 
 920
 15,137
 2,343
 2014 2013 8405 Clearvista Lake
Cedar Grove, NJ 
 2,850
 27,737
 20
 2,850
 27,757
 6,753
 2011 1970 536 Ridge Road
Cedar Rapids, IA 
 596
 9,354
 
 596
 9,354
 348
 2018 1965 1940 1st Avenue Northeast
Centerville, OH 
 920
 3,960
 
 920
 3,960
 228
 2018 1997 1001 E. Alex Bell Road
Chagrin Falls, OH 
 832
 10,841
 
 832
 10,841
 431
 2018 1999 8100 East Washington Street
Chambersburg, PA 
 1,373
 8,864
 
 1,373
 8,864
 370
 2018 1976 1070 Stouffer Avenue
Chapel Hill, NC 
 354
 2,646
 1,034
 354
 3,680
 1,587
 2002 1997 100 Lanark Rd.
Charleston, SC 
 1,333
 5,556
 
 1,333
 5,556
 220
 2018 1982 1137 Sam Rittenberg Boulevard
Charleston, WV 
 440
 17,575
 306
 440
 17,881
 4,158
 2011 1998 1000 Association Drive, North Gate Business Park
Chatham, VA 
 320
 14,039
 
 320
 14,039
 2,222
 2014 2009 100 Rorer Street
Cherry Hill, NJ 
 1,416
 9,874
 
 1,416
 9,874
 408
 2018 1997 2700 Chapel Avenue West
Chester, VA 
 1,320
 18,127
 
 1,320
 18,127
 2,844
 2014 2009 12001 Iron Bridge Road
Chevy Chase, MD 
 4,515
 8,688
 
 4,515
 8,688
 338
 2018 1964 8700 Jones Mill Road
Chickasha, OK 
 85
 1,395
 
 85
 1,395
 863
 1996 1996 801 Country Club Rd.
Chillicothe, OH 
 1,145
 8,997
 
 1,145
 8,997
 348
 2018 1977 1058 Columbus Street
Cincinnati, OH 
 912
 14,014
 
 912
 14,014
 550
 2018 2000 6870 Clough Pike
Citrus Heights, CA 
 5,207
 31,725
 
 5,207
 31,725
 1,172
 2018 1988 7807 Upland Way
Claremore, OK 
 155
 1,427
 6,130
 155
 7,557
 1,783
 1996 1996 1605 N. Hwy. 88
Clarksville, TN 
 330
 2,292
 
 330
 2,292
 1,267
 1998 1998 2183 Memorial Dr.
Clayton, NC 
 520
 15,733
 
 520
 15,733
 2,204
 2014 2013 84 Johnson Estate Road
Cleburne, TX 
 520
 5,369
 
 520
 5,369
 1,814
 2006 2007 402 S Colonial Drive
Clevedon, UK 
 2,838
 16,927
 1,493
 3,052
 18,206
 2,558
 2014 1994 18/19 Elton Road
Cloquet, MN 
 340
 4,660
 120
 340
 4,780
 1,104
 2011 2006 705 Horizon Circle
Cobham, UK 
 9,808
 24,991
 2,629
 10,549
 26,879
 4,507
 2013 2013 Redhill Road
Colchester, CT 
 980
 4,860
 544
 980
 5,404
 1,636
 2011 1986 59 Harrington Court
Colorado Springs, CO 
 4,280
 62,168
 
 4,280
 62,168
 6,926
 2015 2008 1605 Elm Creek View
Colorado Springs, CO 
 1,730
 25,493
 693
 1,730
 26,186
 2,760
 2016 2016 2818 Grand Vista Circle
Columbia, TN 
 341
 2,295
 
 341
 2,295
 1,271
 1999 1999 5011 Trotwood Ave.
Columbia, SC 
 1,699
 2,320
 
 1,699
 2,320
 100
 2018 1968 2601 Forest Drive
Columbia Heights, MN 
 825
 14,175
 163
 825
 14,338
 3,117
 2011 2009 3807 Hart Boulevard
Columbus, IN 
 610
 3,190
 
 610
 3,190
 852
 2010 1998 2564 Foxpointe Dr.
Concord, NC 
 550
 3,921
 270
 550
 4,191
 1,871
 2003 1997 2452 Rock Hill Church Rd.
Concord, NH 
 1,760
 43,179
 634
 1,760
 43,813
 10,199
 2011 1994 239 Pleasant Street
Congleton, UK 
 2,036
 5,120
 540
 2,189
 5,507
 744
 2014 1994 Rood Hill
Conroe, TX 
 980
 7,771
 
 980
 7,771
 2,193
 2009 2010 903 Longmire Road
Coppell, TX 
 1,550
 8,386
 169
 1,550
 8,555
 1,609
 2012 2013 1530 East Sandy Lake Road
Corby, UK 
 1,228
 5,144
 672
 1,204
 5,840
 418
 2017 1997 25 Rockingham Road
Costa Mesa, CA 
 2,050
 19,969
 969
 2,050
 20,938
 5,806
 2011 1965 350 West Bay St
Coventry, UK 
 1,962
 13,830
 1,193
 2,110
 14,875
 1,885
 2015 2014 Banner Lane, Tile Hill
Crawfordsville, IN 
 720
 17,239
 1,426
 720
 18,665
 2,794
 2014 2013 517 Concord Road

(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Dallastown, PA 
 1,377
 16,802
 
 1,377
 16,802
 661
 2018 1979 100 West Queen Street
Danville, VA 
 410
 3,954
 829
 410
 4,783
 2,072
 2003 1998 149 Executive Ct.
Danville, VA 
 240
 8,436
 
 240
 8,436
 1,352
 2014 1996 508 Rison Street
Daphne, AL 
 2,880
 8,670
 384
 2,880
 9,054
 1,884
 2012 2001 27440 County Road 13
Davenport, IA 
 566
 2,017
 
 566
 2,017
 81
 2018 1966 815 East Locust Street
Davenport, IA 
 910
 20,043
 
 910
 20,043
 766
 2018 2008 3800 Commerce Blvd.
Dayton, OH 
 1,188
 5,414
 
 1,188
 5,414
 227
 2018 1977 1974 North Fairfield Road
Dearborn Heights, MI 
 1,197
 3,396
 
 1,197
 3,396
 157
 2018 1964 26001 Ford Road
Decatur, GA 
 1,413
 13,800
 
 1,413
 13,800
 505
 2018 1977 2722 North Decatur Road
Delray Beach, FL 
 1,158
 13,576
 
 1,158
 13,576
 537
 2018 1998 16150 Jog Road
Delray Beach, FL 
 2,125
 11,844
 
 2,125
 11,844
 482
 2018 1998 16200 Jog Road
Denton, TX 
 1,760
 8,305
 175
 1,760
 8,480
 2,060
 2010 2011 2125 Brinker Rd
Denver, CO 
 3,222
 24,811
 
 3,222
 24,811
 912
 2018 1988 290 South Monaco Parkway
Derby, UK 
 2,359
 8,539
 441
 2,455
 8,884
 963
 2014 2015 Rykneld Road
Dover, DE 
 600
 22,266
 141
 600
 22,407
 5,331
 2011 1984 1080 Silver Lake Blvd.
Dublin, OH 
 1,393
 2,912
 
 1,393
 2,912
 139
 2018 2014 4075 W. Dublin-Granville Road
Dubuque, IA 
 568
 8,904
 
 568
 8,904
 332
 2018 1971 901 West Third Street
Dunedin, FL 
 1,883
 13,329
 
 1,883
 13,329
 500
 2018 1983 870 Patricia Avenue
Durham, NC 
 1,476
 10,659
 2,587
 1,476
 13,246
 12,451
 1997 1999 4434 Ben Franklin Blvd.
Eagan, MN 16,186
 2,260
 31,643
 300
 2,260
 31,943
 3,572
 2015 2004 3810 Alder Avenue
East Brunswick, NJ 
 1,380
 34,229
 1,093
 1,380
 35,322
 7,664
 2011 1998 606 Cranbury Rd.
Eastbourne, UK 
 4,071
 24,438
 2,154
 4,379
 26,284
 3,646
 2014 1999 Carew Road
Easton, PA 
 1,109
 7,502
 
 1,109
 7,502
 384
 2018 2015 4100 Freemansburg Avenue
Easton, PA 
 1,430
 13,400
 
 1,430
 13,400
 529
 2018 1981 2600 Northampton Street
Easton, PA 
 1,620
 10,052
 
 1,620
 10,052
 469
 2018 2000 4100 Freemansburg Avenue
Eden, NC 
 390
 4,877
 20
 390
 4,897
 2,162
 2003 1998 314 W. Kings Hwy.
Edmond, OK 
 410
 8,388
 
 410
 8,388
 1,766
 2012 2001 15401 North Pennsylvania Avenue
Edmond, OK 
 1,810
 14,849
 3,260
 1,810
 18,109
 2,425
 2014 1985 1225 Lakeshore Drive
Edmond, OK 
 1,650
 25,167
 1,700
 1,650
 26,867
 2,103
 2014 2017 2709 East Danforth Road
Elizabeth City, NC 
 200
 2,760
 2,165
 200
 4,925
 2,376
 1998 1999 400 Hastings Lane
Elk Grove Village, IL 
 1,344
 7,076
 
 1,344
 7,076
 292
 2018 1995 1940 Nerge Road Elk
Elk Grove Village, IL 
 3,733
 18,751
 
 3,733
 18,751
 685
 2018 1988 1920 Nerge Road
Encinitas, CA 
 1,460
 7,721
 1,987
 1,460
 9,708
 4,196
 2000 1988 335 Saxony Rd.
Englewood, NJ 
 930
 4,514
 26
 930
 4,540
 1,215
 2011 1966 333 Grand Avenue
Epsom, UK 33,969
 20,159
 34,803
 4,554
 21,682
 37,834
 3,062
 2016 2014 450-458 Reigate Road
Escondido, CA 
 1,520
 24,024
 785
 1,520
 24,809
 6,863
 2011 1987 1500 Borden Rd
Eureka, KS 
 50
 3,950
 71
 50
 4,021
 453
 2015 1994 1820 E River St
Everett, WA 
 1,400
 5,476
 
 1,400
 5,476
 2,950
 1999 1999 2015 Lake Heights Dr.
Exton, PA 
 3,600
 27,267
 
 3,600
 27,267
 1,193
 2017 2018 501 Thomas Jones Way
Fairfax, VA 
 1,827
 17,309
 
 1,827
 17,309
 690
 2018 1997 12469 Lee Jackson Mem Highway
Fairfax, VA 
 4,099
 17,620
 
 4,099
 17,620
 687
 2018 1990 12475 Lee Jackson Memorial Highway
Fairhope, AL 
 570
 9,119
 112
 570
 9,231
 1,910
 2012 1987 50 Spring Run Road
Fall River, MA 
 620
 5,829
 4,856
 620
 10,685
 5,715
 1996 1973 1748 Highland Ave.
Fanwood, NJ 
 2,850
 55,175
 1,467
 2,850
 56,642
 12,133
 2011 1982 295 South Ave.
Faribault, MN 
 780
 11,539
 300
 780
 11,839
 1,269
 2015 2003 828 1st Street NE


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Farmington, CT 
 1,693
 10,459
 
 1,693
 10,459
 425
 2018 1997 45 South Road
Farnborough, UK 
 2,036
 5,737
 586
 2,189
 6,170
 810
 2014 1980 Bruntile Close, Reading Road
Fayetteville, PA 
 2,150
 32,951
 2,468
 2,150
 35,419
 4,037
 2015 1991 6375 Chambersburg Road
Fayetteville, NY 
 410
 3,962
 500
 410
 4,462
 2,080
 2001 1997 5125 Highbridge St.
Findlay, OH 
 200
 1,800
 
 200
 1,800
 1,061
 1997 1997 725 Fox Run Rd.
Fishers, IN 
 1,500
 14,500
 
 1,500
 14,500
 3,949
 2010 2000 9745 Olympia Dr.
Fishersville, VA 
 788
 2,101
 
 788
 2,101
 672
 2018 1998 83 Crossroad Lane
Flint, MI 
 1,271
 18,056
 
 1,271
 18,056
 668
 2018 1969 3011 North Center Road
Florence, NJ 
 300
 2,978
 
 300
 2,978
 1,403
 2002 1999 901 Broad St.
Flourtown, PA 
 1,800
 14,830
 266
 1,800
 15,096
 3,728
 2011 1908 350 Haws Lane
Flower Mound, TX 
 1,800
 8,414
 174
 1,800
 8,588
 1,803
 2011 2012 4141 Long Prairie Road
Floyd, VA 
 680
 3,618
 
 680
 3,618
 463
 2018 1979 237 Franklin Pike Rd SE
Flushing, MI 
 690
 1,702
 
 690
 1,702
 105
 2018 1999 640 Sunnyside Drive
Flushing, MI 
 1,415
 8,536
 
 1,415
 8,536
 347
 2018 1967 540 Sunnyside Drive
Forest City, NC 
 320
 4,497
 38
 320
 4,535
 2,007
 2003 1999 493 Piney Ridge Rd.
Fort Ashby, WV 
 330
 19,566
 356
 330
 19,922
 4,597
 2011 1980 Diane Drive, Box 686
Fort Collins, CO 
 3,680
 58,608
 
 3,680
 58,608
 6,508
 2015 2007 4750 Pleasant Oak Drive
Fort Collins, CO 
 890
 4,532
 
 890
 4,532
 376
 2018 1965 1005 East Elizabeth
Fort Worth, TX 
 450
 13,615
 5,086
 450
 18,701
 4,812
 2010 2011 425 Alabama Ave.
Fountain Valley, CA 
 5,259
 9,379
 
 5,259
 9,379
 365
 2018 1988 11680 Warner Avenue
Franconia, NH 
 360
 11,320
 70
 360
 11,390
 2,748
 2011 1971 93 Main Street
Fredericksburg, VA 
 1,000
 20,000
 2,070
 1,000
 22,070
 7,918
 2005 1999 3500 Meekins Dr.
Fredericksburg, VA 
 1,130
 23,202
 
 1,130
 23,202
 3,363
 2014 2010 140 Brimley Drive
Ft. Myers, FL 
 1,110
 10,562
 
 1,110
 10,562
 422
 2018 1999 15950 McGregor Boulevard
Ft. Myers, FL 
 2,139
 18,240
 
 2,139
 18,240
 713
 2018 1990 1600 Matthew Drive
Ft. Myers, FL 
 2,502
 9,744
 
 2,502
 9,744
 461
 2018 2000 13881 Eagle Ridge Drive
Gainesville, FL 
 2,374
 29,088
 
 2,374
 29,088
 75
 2016 2018 3605 NW 83rd Street
Galesburg, IL 
 1,708
 3,841
 
 1,708
 3,841
 152
 2018 1964 280 East Losey Street
Gardner, KS 
 200
 2,800
 93
 200
 2,893
 346
 2015 2000 869 Juniper Terrace
Gastonia, NC 
 470
 6,129
 17
 470
 6,146
 2,680
 2003 1998 1680 S. New Hope Rd.
Gastonia, NC 
 310
 3,096
 36
 310
 3,132
 1,426
 2003 1994 1717 Union Rd.
Gastonia, NC 
 400
 5,029
 202
 400
 5,231
 2,264
 2003 1996 1750 Robinwood Rd.
Geneva, IL 
 1,502
 16,198
 
 1,502
 16,198
 631
 2018 2000 2388 Bricher Road
Georgetown, TX 
 200
 2,100
 
 200
 2,100
 1,227
 1997 1997 2600 University Dr., E.
Gig Harbor, WA 
 3,000
 4,463
 
 3,000
 4,463
 213
 2018 1990 3309 45th Street Court Northwest
Glen Ellyn, IL 
 1,496
 6,636
 
 1,496
 6,636
 288
 2018 2001 2S706 Park Boulevard
Granbury, TX 
 2,550
 2,940
 777
 2,550
 3,717
 876
 2012 1996 916 East Highway 377
Granger, IN 
 1,670
 21,280
 2,401
 1,670
 23,681
 5,629
 2010 2009 6330 North Fir Rd
Grapevine, TX 
 2,220
 17,648
 69
 2,220
 17,717
 2,003
 2013 2014 4545 Merlot Drive
Greeley, CO 
 1,077
 18,051
 
 1,077
 18,051
 1,341
 2017 2009 5300 West 29th Street
Greensboro, NC 
 330
 2,970
 594
 330
 3,564
 1,587
 2003 1996 5809 Old Oak Ridge Rd.
Greensboro, NC 
 560
 5,507
 1,332
 560
 6,839
 2,921
 2003 1997 4400 Lawndale Dr.
Greenville, SC 
 310
 4,750
 
 310
 4,750
 2,034
 2004 1997 23 Southpointe Dr.
Greenville, SC 
 1,751
 8,774
 
 1,751
 8,774
 351
 2018 1966 600 Sulphur Springs Road
Greenville, SC 
 947
 1,445
 
 947
 1,445
 97
 2018 1976 601 Sulphur Springs Road


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Greenville, NC 
 290
 4,393
 236
 290
 4,629
 1,989
 2003 1998 2715 Dickinson Ave.
Greenwood, IN 
 1,550
 22,770
 81
 1,550
 22,851
 5,530
 2010 2007 2339 South SR 135
Grosse Pointe, MI 
 867
 2,386
 
 867
 2,386
 100
 2018 1964 21401 Mack Avenue
Groton, CT 
 2,430
 19,941
 968
 2,430
 20,909
 5,411
 2011 1975 1145 Poquonnock Road
Hamilton, NJ 
 440
 4,469
 
 440
 4,469
 2,098
 2001 1998 1645 Whitehorse-Mercerville Rd.
Hanahan, SC 
 1,934
 3,988
 
 1,934
 3,988
 190
 2018 1989 1800 Eagle Landing Boulevard
Hanford, UK 
 1,382
 9,829
 846
 1,486
 10,571
 1,791
 2013 2012 Bankhouse Road
Harrisburg, PA 
 569
 12,826
 
 569
 12,826
 497
 2018 2000 2625 Ailanthus Lane
Harrow, UK 
 7,402
 8,266
 1,183
 7,961
 8,890
 1,248
 2014 2001 177 Preston Hill
Hatboro, PA 
 
 28,112
 1,771
 
 29,883
 6,894
 2011 1996 3485 Davisville Road
Hatboro, PA 
 1,192
 7,611
 
 1,192
 7,611
 402
 2018 2000 779 West County Line Road
Hatfield, UK 
 2,924
 7,527
 789
 3,145
 8,095
 1,382
 2013 2012 St Albans Road East
Hattiesburg, MS 
 450
 13,469
 
 450
 13,469
 3,099
 2010 2009 217 Methodist Hospital Blvd
Hemet, CA 
 6,224
 8,414
 
 6,224
 8,414
 339
 2018 1989 1717 West Stetson Avenue
Henry, IL 
 1,860
 3,689
 
 1,860
 3,689
 141
 2018 1987 1650 Old Indian Town Road
Hermitage, TN 
 1,500
 9,943
 540
 1,500
 10,483
 2,212
 2011 2006 4131 Andrew Jackson Parkway
Herne Bay, UK 
 1,900
 24,353
 2,726
 2,043
 26,936
 4,843
 2013 2011 165 Reculver Road
Hiawatha, KS 
 40
 4,210
 29
 40
 4,239
 495
 2015 1996 400 Kansas Ave
Hickory, NC 
 290
 987
 312
 290
 1,299
 673
 2003 1994 2530 16th St. N.E.
High Point, NC 
 560
 4,443
 848
 560
 5,291
 2,327
 2003 2000 1568 Skeet Club Rd.
High Point, NC 
 370
 2,185
 451
 370
 2,636
 1,207
 2003 1999 1564 Skeet Club Rd.
High Point, NC 
 330
 3,395
 108
 330
 3,503
 1,530
 2003 1994 201 W. Hartley Dr.
High Point, NC 
 430
 4,143
 36
 430
 4,179
 1,840
 2003 1998 1560 Skeet Club Rd.
Highlands Ranch, CO 
 940
 3,721
 4,983
 940
 8,704
 2,516
 2002 1999 9160 S. University Blvd.
Hillsboro, OH 
 1,792
 6,341
 
 1,792
 6,341
 347
 2018 1983 1141 Northview Drive
Hinckley, UK 
 2,159
 4,194
 480
 2,322
 4,511
 843
 2013 2013 Tudor Road
Hindhead, UK 39,141
 17,852
 48,645
 5,405
 19,200
 52,702
 4,171
 2016 2012 Portsmouth Road
Hinsdale, IL 
 4,033
 24,287
 
 4,033
 24,287
 894
 2018 1971 600 W Ogden Avenue
Hockessin, DE 
 1,120
 6,308
 1,247
 1,120
 7,555
 1,163
 2014 1992 100 Saint Claire Drive
Holton, KS 
 40
 7,460
 13
 40
 7,473
 814
 2015 1996 410 Juniper Dr
Homewood, IL 
 2,395
 7,652
 
 2,395
 7,652
 288
 2018 1989 940 Maple Avenue
Howard, WI 
 579
 32,122
 10
 579
 32,132
 2,040
 2017 2016 2790 Elm Tree Hill
Huntingdon Valley, PA 
 1,150
 3,730
 
 1,150
 3,730
 209
 2018 1993 3430 Huntingdon Pike
Hutchinson, KS 
 600
 10,590
 194
 600
 10,784
 4,242
 2004 1997 2416 Brentwood
Independence, VA 
 1,082
 6,767
 
 1,082
 6,767
 829
 2018 1998 400 S Independence Ave
Indianapolis, IN 
 870
 14,688
 
 870
 14,688
 2,283
 2014 2014 1635 N Arlington Avenue
Indianapolis, IN 
 1,105
 6,645
 
 1,105
 6,645
 252
 2018 1979 8549 South Madison Avenue
Jackson, NJ 
 6,500
 26,405
 3,107
 6,500
 29,512
 5,334
 2012 2001 2 Kathleen Drive
Jacksonville, FL 
 750
 25,231
 111
 750
 25,342
 2,303
 2013 2014 5939 Roosevelt Boulevard
Jacksonville, FL 
 
 26,381
 1,801
 1,691
 26,491
 2,403
 2013 2014 4000 San Pablo Parkway
Jacksonville, FL 
 1,752
 2,553
 
 1,752
 2,553
 102
 2018 1989 3648 University Blvd South
Jacksonville, FL 
 2,182
 9,491
 
 2,182
 9,491
 406
 2018 1980 8495 Normandy Blvd
Jefferson Hills, PA 
 2,265
 13,618
 
 2,265
 13,618
 771
 2018 1997 380 Wray Large Road
Jersey Shore, PA 
 600
 8,107
 
 600
 8,107
 294
 2018 1973 1008 Thompson Street
Kansas City, KS 
 700
 20,115
 
 700
 20,115
 2,322
 2015 2015 8900 Parallel Parkway


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Katy, TX 
 1,778
 22,622
 
 1,778
 22,622
 1,707
 2017 2015 24802 Kingsland Boulevard
Kensington, MD 
 1,753
 18,626
 
 1,753
 18,626
 699
 2018 2002 4301 Knowles Avenue
Kenwood, OH 
 821
 11,043
 
 821
 11,043
 428
 2018 2000 4580 East Galbraith Road
Kettering, OH 
 1,229
 4,703
 
 1,229
 4,703
 207
 2018 1977 3313 Wilmington Pike
King of Prussia, PA 
 720
 14,780
 
 720
 14,780
 594
 2018 1995 620 West Valley Forge Road
King of Prussia, PA 
 1,205
 4,727
 
 1,205
 4,727
 225
 2018 1990 600 West Valley Forge Road
Kingsford, MI 
 1,362
 10,598
 
 1,362
 10,598
 428
 2018 1968 1225 Woodward Avenue
Kingston, PA 
 986
 5,711
 
 986
 5,711
 225
 2018 1974 200 Second Avenue
Kingston upon Thames, UK 71,089
 33,063
 46,696
 6,439
 35,561
 50,637
 4,056
 2016 2014 Coombe Lane West
Kirkstall, UK 
 2,437
 9,414
 896
 2,621
 10,126
 1,720
 2013 2009 29 Broad Lane
Kokomo, IN 
 710
 16,044
 
 710
 16,044
 2,488
 2014 2014 2200 S. Dixon Rd
Lacey, WA 
 2,582
 18,180
 
 2,582
 18,180
 692
 2018 2012 4524 Intelco Loop SE
Lafayette, CO 
 1,420
 20,192
 
 1,420
 20,192
 2,572
 2015 2015 329 Exempla Circle
Lafayette, IN 
 670
 16,833
 1
 670
 16,834
 2,368
 2015 2014 2402 South Street
Lakeway, TX 
 5,142
 23,203
 
 5,142
 23,203
 3,995
 2007 2011 2000 Medical Dr
Lakewood, CO 
 2,160
 28,091
 62
 2,160
 28,153
 4,299
 2014 2010 7395 West Eastman Place
Lakewood Ranch, FL 
 650
 6,714
 1,988
 650
 8,702
 1,726
 2011 2012 8230 Nature's Way
Lakewood Ranch, FL 
 1,000
 22,388
 86
 1,000
 22,474
 4,410
 2012 2005 8220 Natures Way
Lancaster, PA 
 1,680
 14,039
 
 1,680
 14,039
 1,159
 2015 2017 31 Millersville Road
Lancaster, PA 
 1,011
 7,504
 
 1,011
 7,504
 296
 2018 1966 100 Abbeyville Road
Largo, FL 
 1,166
 3,427
 
 1,166
 3,427
 175
 2018 1997 300 Highland Avenue Northeast
Las Vegas, NV 
 580
 23,420
 
 580
 23,420
 5,220
 2011 2002 2500 North Tenaya Way
Laureldale, PA 
 1,171
 14,424
 
 1,171
 14,424
 549
 2018 1980 2125 Elizabeth Avenue
Lawrence, KS 
 250
 8,716
 
 250
 8,716
 1,697
 2012 1996 3220 Peterson Road
Lebanon, PA 
 728
 10,370
 
 728
 10,370
 432
 2018 1998 100 Tuck Court
Lebanon, PA 
 1,214
 5,962
 
 1,214
 5,962
 278
 2018 1980 900 Tuck Street
Lee, MA 
 290
 18,135
 926
 290
 19,061
 8,860
 2002 1998 600 & 620 Laurel St.
Leeds, UK 
 1,974
 13,239
 1,149
 2,123
 14,239
 1,728
 2015 2013 100 Grove Lane
Leicester, UK 
 3,060
 24,410
 2,075
 3,291
 26,254
 4,798
 2012 2010 307 London Road
Lenoir, NC 
 190
 3,748
 718
 190
 4,466
 1,945
 2003 1998 1145 Powell Rd., N.E.
Lethbridge, AB 1,305
 1,214
 2,750
 279
 1,296
 2,947
 554
 2014 2003 785 Columbia Boulevard West
Lexana, KS 
 480
 1,770
 152
 480
 1,922
 247
 2015 1994 8710 Caenen Lake Rd
Lexington, NC 
 200
 3,900
 1,090
 200
 4,990
 2,243
 2002 1997 161 Young Dr.
Libertyville, IL 
 6,500
 40,024
 
 6,500
 40,024
 9,587
 2011 2001 901 Florsheim Dr
Libertyville, IL 
 2,993
 11,550
 
 2,993
 11,550
 431
 2018 1988 1500 South Milwaukee
Lichfield, UK 
 1,382
 30,324
 2,395
 1,486
 32,615
 3,979
 2015 2012 Wissage Road
Lillington, NC 
 470
 17,579
 
 470
 17,579
 2,626
 2014 2013 54 Red Mulberry Way
Lillington, NC 
 500
 16,451
 
 500
 16,451
 2,307
 2014 1999 2041 NC-210 N
Lincoln, NE 
 390
 13,807
 95
 390
 13,902
 3,519
 2010 2000 7208 Van Dorn St.
Lititz, PA 
 1,200
 13,836
 
 1,200
 13,836
 1,144
 2015 2016 80 West Millport Road
Livermore, CA 
 4,100
 24,996
 
 4,100
 24,996
 3,276
 2014 1974 35 Fenton Street
Livonia, MI 
 985
 13,558
 
 985
 13,558
 544
 2018 1999 32500 Seven Mile Road
Livonia, MI 
 1,836
 2,278
 
 1,836
 2,278
 109
 2018 1960 28550 Five Mile Road
Longview, TX 
 610
 5,520
 
 610
 5,520
 1,873
 2006 2007 311 E Hawkins Pkwy
Longwood, FL 
 1,260
 6,445
 
 1,260
 6,445
 1,552
 2011 2011 425 South Ronald Reagan Boulevard


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Los Angeles, CA 
 
 11,430
 1,050
 
 12,480
 3,242
 2008 1971 330 North Hayworth Avenue
Louisburg, KS 
 280
 4,320
 44
 280
 4,364
 481
 2015 1996 202 Rogers St
Louisville, KY 
 490
 10,010
 2,768
 490
 12,778
 5,144
 2005 1978 4604 Lowe Rd
Loxley, UK 
 1,369
 15,668
 1,288
 1,473
 16,852
 3,003
 2013 2008 Loxley Road
Lutherville, MD 
 1,100
 19,786
 1,744
 1,100
 21,530
 5,068
 2011 1988 515 Brightfield Road
Lynchburg, VA 
 340
 16,114
 
 340
 16,114
 2,444
 2014 2013 189 Monica Blvd
Lynchburg, VA 
 2,904
 3,697
 
 2,904
 3,697
 144
 2018 1978 2200 Landover Place
Lynnwood, WA 
 2,302
 5,634
 
 2,302
 5,634
 222
 2018 1987 3701 188th Street
Macomb, IL 
 1,586
 4,059
 
 1,586
 4,059
 153
 2018 1966 8 Doctors Lane
Macungie, PA 
 960
 29,033
 84
 960
 29,117
 6,833
 2011 1994 1718 Spring Creek Road
Manalapan, NJ 
 900
 22,624
 760
 900
 23,384
 5,094
 2011 2001 445 Route 9 South
Manassas, VA 
 750
 7,446
 1,069
 750
 8,515
 3,285
 2003 1996 8341 Barrett Dr.
Mankato, MN 
 1,460
 32,104
 300
 1,460
 32,404
 3,451
 2015 2006 100 Dublin Road
Mansfield, TX 
 660
 5,251
 
 660
 5,251
 1,802
 2006 2007 2281 Country Club Dr
Marietta, OH 
 1,149
 9,376
 
 1,149
 9,376
 362
 2018 1977 5001 State Route 60
Marietta, GA 
 2,406
 12,233
 
 2,406
 12,233
 462
 2018 1980 4360 Johnson Ferry Place
Marietta, PA 
 1,050
 13,633
 463
 1,050
 14,096
 1,585
 2015 1999 2760 Maytown Road
Marion, IN 
 720
 12,750
 1,136
 720
 13,886
 2,086
 2014 2012 614 W. 14th Street
Marion, IN 
 990
 9,190
 824
 990
 10,014
 1,782
 2014 1976 505 N. Bradner Avenue
Marion, OH 
 2,768
 17,420
 
 2,768
 17,420
 856
 2018 2004 400 Barks Road West
Marlborough, UK 
 2,677
 6,822
 718
 2,879
 7,338
 1,006
 2014 1999 The Common
Marlow, UK 
 9,068
 39,720
 1,970
 9,434
 41,324
 4,037
 2013 2014 210 Little Marlow Road
Martinsville, VA 
 349
 
 
 349
 
 
 2003 1900 Rolling Hills Rd. & US Hwy. 58
Matawan, NJ 
 1,830
 20,618
 166
 1,830
 20,784
 4,764
 2011 1965 625 State Highway 34
Matthews, NC 
 560
 4,738
 39
 560
 4,777
 2,141
 2003 1998 2404 Plantation Center Dr.
McHenry, IL 
 1,576
 
 
 1,576
 
 
 2006 1900 5200 Block of Bull Valley Road
McKinney, TX 
 1,570
 7,389
 
 1,570
 7,389
 2,096
 2009 2010 2701 Alma Rd.
McMurray, PA 
 1,440
 15,805
 3,894
 1,440
 19,699
 4,190
 2010 2011 240 Cedar Hill Dr
Medicine Hat, AB 2,144
 932
 5,566
 450
 995
 5,953
 889
 2014 1999 65 Valleyview Drive SW
Mentor, OH 
 1,827
 9,941
 
 1,827
 9,941
 389
 2018 1985 8200 Mentor Hills Drive
Mercerville, NJ 
 860
 9,929
 173
 860
 10,102
 2,619
 2011 1967 2240 White Horse- Merceville Road
Meriden, CT 
 1,300
 1,472
 233
 1,300
 1,705
 848
 2011 1968 845 Paddock Ave
Miamisburg, OH 
 786
 3,233
 
 786
 3,233
 178
 2018 1983 450 Oak Ridge Boulevard
Middleburg Heights, OH 
 960
 7,780
 427
 960
 8,207
 3,134
 2004 1998 15435 Bagley Rd.
Middleton, WI 
 420
 4,006
 600
 420
 4,606
 2,028
 2001 1991 6701 Stonefield Rd.
Milton Keynes, UK 
 1,826
 18,654
 1,547
 1,964
 20,063
 2,520
 2015 2007 Tunbridge Grove, Kents Hill
Minnetonka, MN 
 2,080
 24,360
 1,554
 2,080
 25,914
 6,078
 2012 1999 500 Carlson Parkway
Mishawaka, IN 
 740
 16,113
 
 740
 16,113
 2,565
 2014 2013 60257 Bodnar Blvd
Moline, IL 
 2,946
 18,677
 
 2,946
 18,677
 682
 2018 1964 833 Sixteenth Avenue
Monmouth Junction, NJ 
 720
 6,209
 86
 720
 6,295
 1,721
 2011 1996 2 Deer Park Drive
Monroe, NC 
 470
 3,681
 788
 470
 4,469
 1,950
 2003 2001 918 Fitzgerald St.
Monroe, NC 
 310
 4,799
 883
 310
 5,682
 2,450
 2003 2000 919 Fitzgerald St.
Monroe, NC 
 450
 4,021
 154
 450
 4,175
 1,860
 2003 1997 1316 Patterson Ave.
Monroe Township, NJ 
 3,250
 27,771
 765
 3,250
 28,536
 2,966
 2015 1996 319 Forsgate Drive
Monroeville, PA 
 1,216
 12,753
 
 1,216
 12,753
 593
 2018 1997 120 Wyngate Drive


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Monroeville, PA 
 1,237
 3,642
 
 1,237
 3,642
 225
 2018 1996 885 MacBeth Drive
Montgomeryville, PA 
 1,176
 9,827
 
 1,176
 9,827
 404
 2018 1989 640 Bethlehem Pike
Montville, NJ 
 3,500
 31,002
 1,699
 3,500
 32,701
 7,173
 2011 1988 165 Changebridge Rd.
Moorestown, NJ 
 4,143
 23,902
 
 4,143
 23,902
 3,947
 2012 2014 250 Marter Avenue
Morehead City, NC 
 200
 3,104
 1,701
 200
 4,805
 2,371
 1999 1999 107 Bryan St.
Morrison, CO 
 2,720
 16,261
 
 2,720
 16,261
 1,359
 2018 1974 150 Spring Street
Moulton, UK 
 1,695
 12,510
 1,611
 1,662
 14,154
 960
 2017 1995 Northampton Lane North
Mountainside, NJ 
 3,097
 7,810
 
 3,097
 7,810
 309
 2018 1988 1180 Route 22
Nacogdoches, TX 
 390
 5,754
 
 390
 5,754
 1,948
 2006 2007 5902 North St
Naperville, IL 
 3,470
 29,547
 
 3,470
 29,547
 7,214
 2011 2001 504 North River Road
Naples, FL 
 1,222
 10,642
 
 1,222
 10,642
 441
 2018 1998 6125 Rattlesnake Hammock Road
Naples, FL 
 1,672
 23,126
 
 1,672
 23,126
 1,068
 2018 1993 1000 Lely Palms Drive
Naples, FL 
 1,854
 12,402
 
 1,854
 12,402
 463
 2018 1987 3601 Lakewood Boulevard
Nashville, TN 
 4,910
 29,590
 
 4,910
 29,590
 9,113
 2008 2007 15 Burton Hills Boulevard
Naugatuck, CT 
 1,200
 15,826
 199
 1,200
 16,025
 3,931
 2011 1980 4 Hazel Avenue
Needham, MA 
 1,610
 12,667
 
 1,610
 12,667
 5,644
 2002 1994 100 West St.
New Lenox, IL 
 1,225
 21,575
 
 1,225
 21,575
 429
 2019 2007 1023 South Cedar Rd
New Moston, UK 
 1,480
 4,378
 443
 1,592
 4,709
 833
 2013 2010 90a Broadway
Newark, DE 
 560
 21,220
 2,422
 560
 23,642
 8,621
 2004 1998 200 E. Village Rd.
Newcastle Under Lyme, UK 
 1,110
 5,655
 512
 1,194
 6,083
 1,028
 2013 2010 Hempstalls Lane
Newcastle-under-Lyme, UK 
 1,125
 5,537
 503
 1,210
 5,955
 817
 2014 1999 Silverdale Road
Newport News, VA 
 839
 6,077
 
 839
 6,077
 739
 2018 1998 12997 Nettles Dr
Norman, OK 
 55
 1,484
 
 55
 1,484
 969
 1995 1995 1701 Alameda Dr.
Norman, OK 
 1,480
 33,330
 
 1,480
 33,330
 6,428
 2012 1985 800 Canadian Trails Drive
North Augusta, SC 
 332
 2,558
 
 332
 2,558
 1,407
 1999 1998 105 North Hills Dr.
Northampton, UK 
 5,182
 17,348
 1,702
 5,573
 18,659
 3,277
 2013 2011 Cliftonville Road
Northampton, UK 
 2,013
 6,257
 626
 2,166
 6,730
 869
 2014 2014 Cliftonville Road
Northbrook, IL 
 1,298
 13,341
 
 1,298
 13,341
 510
 2018 1999 3240 Milwaukee Avenue
Nuneaton, UK 
 3,325
 8,983
 929
 3,576
 9,661
 1,634
 2013 2011 132 Coventry Road
Nuthall, UK 
 1,628
 6,263
 597
 1,752
 6,736
 856
 2014 2014 172A Nottingham Road
Nuthall, UK 
 2,498
 10,436
 977
 2,687
 11,224
 1,917
 2013 2011 172 Nottingham Road
Oak Lawn, IL 
 2,418
 5,428
 
 2,418
 5,428
 206
 2018 1977 9401 South Kostner Avenue
Oak Lawn, IL 
 3,876
 7,988
 
 3,876
 7,988
 315
 2018 1960 6300 W 95th Street
Oakland, CA 
 4,760
 16,143
 109
 4,760
 16,252
 2,372
 2014 2002 468 Perkins Street
Ocala, FL 
 1,340
 10,564
 102
 1,340
 10,666
 3,067
 2008 2009 2650 SE 18TH Avenue
Oklahoma City, OK 
 590
 7,513
 
 590
 7,513
 2,382
 2007 2008 13200 S. May Ave
Oklahoma City, OK 
 760
 7,017
 
 760
 7,017
 2,197
 2007 2009 11320 N. Council Road
Oklahoma City, OK 
 1,590
 16,272
 
 1,590
 16,272
 44
 2014 2016 2800 SW 131st Street
Olathe, KS 
 1,930
 19,765
 553
 1,930
 20,318
 2,378
 2016 2015 21250 W 151 Street
Omaha, NE 
 370
 10,230
 
 370
 10,230
 2,643
 2010 1998 11909 Miracle Hills Dr.
Omaha, NE 
 380
 8,769
 
 380
 8,769
 2,392
 2010 1999 5728 South 108th St.
Ona, WV 
 950
 15,998
 390
 950
 16,388
 1,820
 2015 2007 100 Weatherholt Drive
Oneonta, NY 
 80
 5,020
 
 80
 5,020
 1,570
 2007 1996 1846 County Highway 48
Orange Park, FL 
 2,201
 4,018
 
 2,201
 4,018
 212
 2018 1990 570 Wells Road
Orem, UT 
 2,150
 24,107
 
 2,150
 24,107
 2,642
 2015 2014 250 East Center Street


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Osage City, KS 
 50
 1,700
 142
 50
 1,842
 247
 2015 1996 1403 Laing St
Osawatomie, KS 
 130
 2,970
 136
 130
 3,106
 380
 2015 2003 1520 Parker Ave
Ottawa, KS 
 160
 6,590
 44
 160
 6,634
 742
 2015 2007 2250 S Elm St
Overland Park, KS 
 4,500
 29,105
 38,441
 8,230
 63,816
 17,220
 2010 1988 6101 W 119th St
Overland Park, KS 
 410
 2,840
 92
 410
 2,932
 374
 2015 2004 14430 Metcalf Ave
Overland Park, KS 
 1,300
 25,311
 677
 1,300
 25,988
 2,995
 2016 2015 7600 Antioch Road
Owasso, OK 
 215
 1,380
 
 215
 1,380
 834
 1996 1996 12807 E. 86th Place N.
Owensboro, KY 
 225
 13,275
 
 225
 13,275
 5,428
 2005 1964 1205 Leitchfield Rd.
Owenton, KY 
 100
 2,400
 
 100
 2,400
 1,157
 2005 1979 905 Hwy. 127 N.
Palestine, TX 
 180
 4,320
 1,300
 180
 5,620
 1,949
 2006 2005 1625 W. Spring St.
Palm Beach Gardens, FL 
 2,082
 6,624
 
 2,082
 6,624
 289
 2018 1991 11375 Prosperity Farms Road
Palm Coast, FL 
 870
 10,957
 98
 870
 11,055
 3,040
 2008 2010 50 Town Ct.
Palm Desert, CA 
 6,195
 8,922
 
 6,195
 8,922
 353
 2018 1989 74350 Country Club Drive
Palm Harbor, FL 
 1,306
 13,811
 
 1,306
 13,811
 567
 2018 1997 2895 Tampa Road
Palm Harbor, FL 
 3,281
 22,457
 
 3,281
 22,457
 904
 2018 1990 2851 Tampa Road
Palos Heights, IL 
 1,225
 12,457
 
 1,225
 12,457
 468
 2018 1999 7880 West College Drive
Palos Heights, IL 
 3,431
 28,812
 
 3,431
 28,812
 1,046
 2018 1987 7850 West College Drive
Palos Heights, IL 
 2,590
 7,647
 
 2,590
 7,647
 288
 2018 1996 11860 Southwest Hwy
Panama City Beach, FL 
 900
 6,402
 734
 900
 7,136
 1,340
 2011 2005 6012 Magnolia Beach Road
Paola, KS 
 190
 5,610
 59
 190
 5,669
 646
 2015 2000 601 N. East Street
Paris, TX 
 490
 5,452
 
 490
 5,452
 4,784
 2005 2006 750 N Collegiate Dr
Parma, OH 
 960
 12,722
 
 960
 12,722
 512
 2018 1998 9205 Sprague Road
Parma, OH 
 1,833
 10,318
 
 1,833
 10,318
 468
 2018 2006 9055 West Sprague Road
Paulsboro, NJ 
 3,264
 8,026
 
 3,264
 8,026
 327
 2018 1987 550 Jessup Road
Perrysburg, OH 
 1,456
 5,433
 
 1,456
 5,433
 224
 2018 1973 10540 Fremont Pike
Perrysburg, OH 
 1,213
 7,110
 
 1,213
 7,110
 271
 2018 1978 10542 Fremont Pike
Philadelphia, PA 
 2,930
 10,433
 3,536
 2,930
 13,969
 3,647
 2011 1952 1526 Lombard Street
Phillipsburg, NJ 
 800
 21,175
 238
 800
 21,413
 5,254
 2011 1992 290 Red School Lane
Phillipsburg, NJ 
 300
 8,114
 101
 300
 8,215
 2,015
 2011 1905 843 Wilbur Avenue
Pikesville, MD 
 
 2,488
 
 
 2,488
 89
 2018 1998 8911 Reisterstown Road
Pikesville, MD 
 4,247
 8,383
 
 4,247
 8,383
 357
 2018 1996 8909 Reisterstown Road
Pinehurst, NC 
 290
 2,690
 517
 290
 3,207
 1,463
 2003 1998 17 Regional Dr.
Piqua, OH 
 204
 1,885
 
 204
 1,885
 1,069
 1997 1997 1744 W. High St.
Piscataway, NJ 
 3,100
 33,501
 
 3,100
 33,501
 2,369
 2013 2017 10 Sterling Drive
Pittsburgh, PA 
 603
 11,357
 
 603
 11,357
 455
 2018 1998 1125 Perry Highway
Pittsburgh, PA 
 1,005
 15,164
 
 1,005
 15,164
 584
 2018 1997 505 Weyman Road
Pittsburgh, PA 
 1,140
 3,166
 
 1,140
 3,166
 123
 2018 1962 550 South Negley Avenue
Pittsburgh, PA 
 994
 3,790
 
 994
 3,790
 210
 2018 1986 2170 Rhine Street
Pittsburgh, PA 
 761
 4,214
 
 761
 4,214
 157
 2018 1965 5609 Fifth Avenue
Pittsburgh, PA 
 1,480
 9,715
 
 1,480
 9,715
 423
 2018 1986 1105 Perry Highway
Pittsburgh, PA 
 1,139
 5,846
 
 1,139
 5,846
 249
 2018 1986 1848 Greentree Road
Pittsburgh, PA 
 1,750
 8,572
 6,320
 1,750
 14,892
 3,701
 2005 1998 100 Knoedler Rd.
Plainview, NY 
 3,990
 11,969
 1,713
 3,990
 13,682
 3,235
 2011 1963 150 Sunnyside Blvd
Plano, TX 
 1,840
 20,152
 560
 1,840
 20,712
 2,190
 2016 2016 3325 W Plano Parkway
Plattsmouth, NE 
 250
 5,650
 
 250
 5,650
 1,535
 2010 1999 1913 E. Highway 34


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Poole, UK 
 3,416
 17,171
 
 3,416
 17,171
 50
 2019 2019 Kingsmill Road
Potomac, MD 
 1,448
 14,626
 
 1,448
 14,626
 553
 2018 1994 10718 Potomac Tennis Lane
Potomac, MD 
 4,119
 14,921
 
 4,119
 14,921
 583
 2018 1988 10714 Potomac Tennis Lane
Pottstown, PA 
 984
 4,565
 
 984
 4,565
 191
 2018 1907 724 North Charlotte Street
Pottsville, PA 
 171
 3,560
 
 171
 3,560
 140
 2018 1976 420 Pulaski Drive
Prior Lake, MN 13,567
 1,870
 29,849
 300
 1,870
 30,149
 3,208
 2015 2003 4685 Park Nicollet Avenue
Raleigh, NC 
 7,598
 88,870
 493
 7,598
 89,363
 6,542
 2008 2017 4030 Cardinal at North Hills St
Raleigh, NC 
 3,530
 59,589
 
 3,530
 59,589
 11,396
 2012 2002 5301 Creedmoor Road
Raleigh, NC 
 2,580
 16,837
 
 2,580
 16,837
 3,433
 2012 1988 7900 Creedmoor Road
Reading, PA 
 980
 19,906
 140
 980
 20,046
 4,850
 2011 1994 5501 Perkiomen Ave
Red Bank, NJ 
 1,050
 21,275
 1,158
 1,050
 22,433
 4,785
 2011 1997 One Hartford Dr.
Redondo Beach, CA 
 
 9,557
 653
 
 10,210
 6,913
 2011 1957 514 North Prospect Ave
Reidsville, NC 
 170
 3,830
 907
 170
 4,737
 2,155
 2002 1998 2931 Vance St.
Richardson, TX 
 1,468
 12,979
 
 1,468
 12,979
 511
 2018 1999 410 Buckingham Road
Richmond, IN 
 700
 14,222
 393
 700
 14,615
 1,699
 2016 2015 400 Industries Road
Richmond, VA 
 3,261
 17,980
 
 3,261
 17,980
 672
 2018 1990 1719 Bellevue Avenue
Richmond, VA 
 1,046
 8,235
 
 1,046
 8,235
 330
 2018 1966 2125 Hilliard Road
Roanoke, VA 
 748
 4,483
 
 748
 4,483
 715
 2018 1997 4355 Pheasant Ridge Rd
Rockville Centre, NY 
 4,290
 20,310
 1,379
 4,290
 21,689
 4,889
 2011 2002 260 Maple Ave
Rockwall, TX 
 2,220
 17,650
 69
 2,220
 17,719
 2,049
 2012 2014 720 E Ralph Hall Parkway
Romeoville, IL 
 1,895
 
 
 1,895
 
 
 2006 1900 Grand Haven Circle
Roseville, MN 
 2,140
 24,679
 100
 2,140
 24,779
 2,677
 2015 1989 2750 North Victoria Street
Rugeley, UK 
 1,900
 10,262
 918
 2,043
 11,037
 1,976
 2013 2010 Horse Fair
Ruston, LA 
 710
 9,790
 
 710
 9,790
 2,424
 2011 1988 1401 Ezelle St
S Holland, IL 
 1,423
 8,910
 
 1,423
 8,910
 359
 2018 1997 2045 East 170th Street
Salem, OR 
 449
 5,171
 1
 449
 5,172
 2,828
 1999 1998 1355 Boone Rd. S.E.
Salisbury, NC 
 370
 5,697
 196
 370
 5,893
 2,561
 2003 1997 2201 Statesville Blvd.
San Angelo, TX 
 260
 8,800
 425
 260
 9,225
 3,572
 2004 1997 2695 Valleyview Blvd.
San Angelo, TX 
 1,050
 24,689
 1,221
 1,050
 25,910
 3,682
 2014 1999 6101 Grand Court Road
San Antonio, TX 
 1,499
 12,662
 
 1,499
 12,662
 493
 2018 2000 15290 Huebner Road
San Antonio, TX 
 
 17,303
 
 
 17,303
 8,455
 2007 2007 8902 Floyd Curl Dr.
San Diego, CA 
 
 22,003
 1,845
 
 23,848
 6,664
 2008 1992 555 Washington St.
San Juan Capistrano, CA 
 1,390
 6,942
 1,434
 1,390
 8,376
 3,500
 2000 2001 30311 Camino Capistrano
Sand Springs, OK 
 910
 19,654
 
 910
 19,654
 3,861
 2012 2002 4402 South 129th Avenue West
Sarasota, FL 
 475
 3,175
 
 475
 3,175
 1,991
 1996 1995 8450 McIntosh Rd.
Sarasota, FL 
 4,101
 11,208
 
 4,101
 11,208
 701
 2018 1993 5401 Sawyer Road
Sarasota, FL 
 1,370
 4,084
 
 1,370
 4,084
 164
 2018 1968 3250 12th Street
Sarasota, FL 
 2,792
 11,177
 
 2,792
 11,177
 434
 2018 1993 5511 Swift Road
Sarasota, FL 
 3,360
 19,140
 
 3,360
 19,140
 4,182
 2011 2006 6150 Edgelake Drive
Sarasota, FL 
 443
 8,895
 
 443
 8,895
 382
 2018 1998 5509 Swift Road
Scranton, PA 
 440
 17,609
 
 440
 17,609
 2,530
 2014 2005 2741 Blvd. Ave
Scranton, PA 
 320
 12,144
 1
 320
 12,145
 1,741
 2014 2013 2751 Boulevard Ave
Seminole, FL 
 1,165
 8,977
 
 1,165
 8,977
 373
 2018 1998 9300 Antilles Drive
Seven Fields, PA 
 484
 4,663
 59
 484
 4,722
 2,585
 1999 1999 500 Seven Fields Blvd.
Sewell, NJ 
 3,127
 14,095
 
 3,127
 14,095
 624
 2018 2010 378 Fries Mill Road


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Shawnee, OK 
 80
 1,400
 
 80
 1,400
 870
 1996 1995 3947 Kickapoo
Shelbyville, KY 
 630
 3,870
 630
 630
 4,500
 1,684
 2005 1965 1871 Midland Trail
Sherman, TX 
 700
 5,221
 
 700
 5,221
 1,838
 2005 2006 1011 E. Pecan Grove Rd.
Silver Spring, MD 
 1,469
 10,395
 
 1,469
 10,395
 405
 2018 1995 2505 Musgrove Road
Silver Spring, MD 
 4,678
 11,683
 
 4,678
 11,683
 485
 2018 1990 2501 Musgrove Road
Silvis, IL 
 880
 16,420
 139
 880
 16,559
 4,135
 2010 2005 1900 10th St.
Sinking Spring, PA 
 1,393
 19,848
 
 1,393
 19,848
 764
 2018 1982 3000 Windmill Road
Sittingbourne, UK 
 1,357
 6,539
 597
 1,460
 7,033
 926
 2014 1997 200 London Road
Smithfield, NC 
 290
 5,680
 455
 290
 6,135
 2,497
 2003 1998 830 Berkshire Rd.
Smithfield, NC 
 360
 8,216
 
 360
 8,216
 1,177
 2014 1999 250 Highway 210 West
South Bend, IN 
 670
 17,770
 
 670
 17,770
 2,652
 2014 2014 52565 State Road 933
South Point, OH 
 1,135
 9,390
 
 1,135
 9,390
 362
 2018 1984 7743 County Road 1
Southampton, UK 
 1,519
 16,041
 710
 1,581
 16,689
 1,013
 2017 2013 Botley Road, Park Gate
Southbury, CT 
 1,860
 23,613
 958
 1,860
 24,571
 5,579
 2011 2001 655 Main St
Spokane, WA 
 2,649
 11,703
 
 2,649
 11,703
 456
 2018 1985 6025 North Assembly Street
Springfield, IL 
 990
 13,378
 1,085
 990
 14,463
 2,121
 2014 2013 3089 Old Jacksonville Road
St. Louis, MO 
 1,890
 12,390
 837
 1,890
 13,227
 3,028
 2010 1963 6543 Chippewa St
St. Paul, MN 
 2,100
 33,019
 100
 2,100
 33,119
 3,546
 2015 1996 750 Mississippi River
Stafford, UK 
 2,009
 8,238
 414
 2,090
 8,571
 750
 2014 2016 Stone Road
Stamford, UK 
 1,820
 3,238
 382
 1,957
 3,483
 489
 2014 1998 Priory Road
Statesville, NC 
 150
 1,447
 338
 150
 1,785
 788
 2003 1990 2441 E. Broad St.
Statesville, NC 
 310
 6,183
 61
 310
 6,244
 2,662
 2003 1996 2806 Peachtree Place
Statesville, NC 
 140
 3,627
 9
 140
 3,636
 1,589
 2003 1999 2814 Peachtree Rd.
Staunton, VA 
 899
 6,391
 
 899
 6,391
 792
 2018 1999 1410 N Augusta St
Sterling Heights, MI 
 790
 10,787
 
 790
 10,787
 423
 2018 1996 11095 East Fourteen Mile Road
Sterling Heights, MI 
 1,583
 15,639
 
 1,583
 15,639
 622
 2018 2013 38200 Schoenherr Road
Stillwater, OK 
 80
 1,400
 
 80
 1,400
 872
 1995 1995 1616 McElroy Rd.
Stratford-upon-Avon, UK 
 790
 14,508
 1,155
 849
 15,604
 1,901
 2015 2012 Scholars Lane
Stroudsburg, PA 
 340
 16,313
 
 340
 16,313
 2,619
 2014 2011 370 Whitestone Corner Road
Summit, NJ 
 3,080
 14,152
 
 3,080
 14,152
 3,422
 2011 2001 41 Springfield Avenue
Sunbury, PA 
 695
 7,246
 
 695
 7,246
 273
 2018 1981 800 Court Street Circle
Sunninghill, UK 
 11,632
 42,233
 2,174
 12,101
 43,938
 2,925
 2014 2017 Bagshot Road
Sunnyvale, CA 
 4,946
 22,131
 
 4,946
 22,131
 829
 2018 1990 1150 Tilton Drive
Superior, WI 
 1,020
 13,735
 6,159
 1,020
 19,894
 3,457
 2009 2010 1915 North 34th Street
Tacoma, WA 
 2,522
 8,576
 
 2,522
 8,576
 328
 2018 1984 5601 South Orchard Southtreet
Tampa, FL 
 1,315
 6,913
 
 1,315
 6,913
 313
 2018 1999 14950 Casey Road
Terre Haute, IN 
 1,370
 18,016
 
 1,370
 18,016
 2,463
 2015 2015 395 8th Avenue
Texarkana, TX 
 192
 1,403
 
 192
 1,403
 847
 1996 1996 4204 Moores Lane
The Villages, FL 
 1,035
 7,446
 
 1,035
 7,446
 1,327
 2013 2014 2450 Parr Drive
Thomasville, GA 
 530
 12,520
 1,347
 530
 13,867
 2,429
 2011 2006 423 Covington Avenue
Three Rivers, MI 
 1,255
 2,761
 
 1,255
 2,761
 142
 2018 1976 517 South Erie Southtreet
Tomball, TX 
 1,050
 13,300
 840
 1,050
 14,140
 3,171
 2011 2001 1221 Graham Dr
Toms River, NJ 
 3,466
 23,311
 
 3,466
 23,311
 832
 2019 2006 1657 Silverton Rd
Tonganoxie, KS 
 310
 3,690
 76
 310
 3,766
 473
 2015 2009 120 W 8th St
Topeka, KS 
 260
 12,712
 
 260
 12,712
 2,579
 2012 2011 1931 Southwest Arvonia Place


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Towson, MD 
 1,715
 13,115
 
 1,715
 13,115
 510
 2018 2000 8101 Bellona Avenue
Towson, MD 
 3,100
 6,468
 
 3,100
 6,468
 240
 2018 1960 509 East Joppa Road
Towson, MD 
 4,527
 3,128
 
 4,527
 3,128
 147
 2018 1970 7001 North Charles Street
Troy, MI 
 1,381
 24,452
 
 1,381
 24,452
 909
 2018 2006 925 West South Boulevard
Troy, OH 
 200
 2,000
 4,254
 200
 6,254
 2,345
 1997 1997 81 S. Stanfield Rd.
Trumbull, CT 
 4,440
 43,384
 
 4,440
 43,384
 10,012
 2011 2001 6949 Main Street
Tulsa, OK 
 1,390
 7,110
 1,102
 1,390
 8,212
 2,264
 2010 1998 7220 S. Yale Ave.
Tulsa, OK 
 1,320
 10,087
 
 1,320
 10,087
 2,121
 2011 2012 7902 South Mingo Road East
Tulsa, OK 
 1,100
 27,007
 2,233
 1,100
 29,240
 2,334
 2015 2017 18001 East 51st Street
Tulsa, OK 13,000
 1,752
 28,421
 
 1,752
 28,421
 2,023
 2017 2014 701 W 71st Street South
Tulsa, OK 
 890
 9,410
 
 890
 9,410
 572
 2017 2009 7210 South Yale Avenue
Tustin, CA 
 840
 15,299
 537
 840
 15,836
 3,986
 2011 1965 240 East 3rd St
Twinsburg, OH 
 1,446
 5,921
 
 1,446
 5,921
 255
 2018 2014 8551 Darrow Road
Tyler, TX 
 650
 5,268
 
 650
 5,268
 1,794
 2006 2007 5550 Old Jacksonville Hwy.
Union, SC 
 1,932
 2,374
 
 1,932
 2,374
 142
 2018 1981 709 Rice Avenue
Valparaiso, IN 
 112
 2,558
 
 112
 2,558
 1,266
 2001 1998 2601 Valparaiso St.
Valparaiso, IN 
 108
 2,962
 
 108
 2,962
 1,449
 2001 1999 2501 Valparaiso St.
Vancouver, WA 
 2,503
 28,401
 
 2,503
 28,401
 1,047
 2018 2011 2811 N.E. 139th Street
Venice, FL 
 1,150
 10,674
 108
 1,150
 10,782
 3,019
 2008 2009 1600 Center Rd.
Venice, FL 
 2,246
 10,097
 
 2,246
 10,097
 418
 2018 1997 1450 East Venice Avenue
Vero Beach, FL 
 263
 3,187
 
 263
 3,187
 1,550
 2001 1999 420 4th Ct.
Vero Beach, FL 
 297
 3,263
 
 297
 3,263
 1,596
 2001 1996 410 4th Ct.
Virginia Beach, VA 
 1,540
 22,593
 
 1,540
 22,593
 3,282
 2014 1993 5520 Indian River Rd
Voorhees, NJ 
 1,800
 37,299
 671
 1,800
 37,970
 9,153
 2011 1965 2601 Evesham Road
Voorhees, NJ 
 3,100
 25,950
 26
 3,100
 25,976
 5,244
 2011 2013 113 South Route 73
Voorhees, NJ 
 2,193
 6,992
 
 2,193
 6,992
 301
 2018 2006 1086 Dumont Circle
W Palm Beach, FL 
 1,175
 8,297
 
 1,175
 8,297
 350
 2018 1996 2330 Village Boulevard
W Palm Beach, FL 
 1,921
 5,733
 
 1,921
 5,733
 234
 2018 1996 2300 Village Boulevard
Wabash, IN 
 670
 14,588
 1
 670
 14,589
 2,269
 2014 2013 20 John Kissinger Drive
Waconia, MN 
 890
 14,726
 4,495
 890
 19,221
 4,086
 2011 2005 500 Cherry Street
Wake Forest, NC 
 200
 3,003
 2,039
 200
 5,042
 2,420
 1998 1999 611 S. Brooks St.
Wallingford, PA 
 1,356
 6,489
 
 1,356
 6,489
 285
 2018 1930 115 South Providence Road
Walnut Creek, CA 
 4,358
 18,413
 
 4,358
 18,413
 708
 2018 1997 1975 Tice Valley Boulevard
Walnut Creek, CA 
 5,394
 39,096
 
 5,394
 39,096
 1,429
 2018 1990 1226 Rossmoor Parkway
Walsall, UK 
 1,184
 8,562
 737
 1,274
 9,209
 1,189
 2015 2015 Little Aston Road
Wamego, KS 
 40
 2,510
 57
 40
 2,567
 298
 2015 1996 1607 4th St
Wareham, MA 
 875
 10,313
 1,701
 875
 12,014
 5,798
 2002 1989 50 Indian Neck Rd.
Warren, NJ 
 2,000
 30,810
 1,337
 2,000
 32,147
 6,904
 2011 1999 274 King George Rd
Waterloo, IA 
 605
 3,031
 
 605
 3,031
 129
 2018 1964 201 West Ridgeway Avenue
Waxahachie, TX 
 650
 5,763
 
 650
 5,763
 1,838
 2007 2008 1329 Brown St.
Wayne, NJ 
 1,427
 15,679
 
 1,427
 15,679
 766
 2018 1998 800 Hamburg Turnpike
Weatherford, TX 
 660
 5,261
 
 660
 5,261
 1,805
 2006 2007 1818 Martin Drive
Wellingborough, UK 
 1,480
 5,724
 544
 1,592
 6,156
 890
 2015 2015 159 Northampton
West Bend, WI 
 620
 17,790
 38
 620
 17,828
 3,783
 2010 2011 2130 Continental Dr
West Des Moines, IA 
 828
 5,104
 
 828
 5,104
 219
 2018 2006 5010 Grand Ridge Drive

(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
West Milford, NJ 
 1,960
 24,614
 
 1,960
 24,614
 672
 2019 2000 197 Cahill Cross Road
West Orange, NJ 
 1,347
 19,395
 
 1,347
 19,395
 888
 2018 1998 510 Prospect Avenue
West Reading, PA 
 890
 12,122
 
 890
 12,122
 441
 2018 1975 425 Buttonwood Street
Westerville, OH 
 740
 8,287
 4,076
 740
 12,363
 10,273
 1998 2001 690 Cooper Rd.
Westerville, OH 
 1,420
 5,373
 
 1,420
 5,373
 218
 2018 1982 1060 Eastwind Drive
Westerville, OH 
 1,582
 10,282
 
 1,582
 10,282
 424
 2018 1980 215 Huber Village Boulevard
Westfield, IN 
 890
 15,964
 1
 890
 15,965
 2,462
 2014 2013 937 E. 186th Street
Westlake, OH 
 855
 11,966
 
 855
 11,966
 474
 2018 1997 28400 Center Ridge Road
Weston Super Mare, UK 
 2,517
 7,054
 723
 2,707
 7,587
 1,290
 2013 2011 141b Milton Road
Wheaton, MD 
 3,864
 3,790
 
 3,864
 3,790
 159
 2018 1961 11901 Georgia Avenue
Whippany, NJ 
 1,571
 14,982
 
 1,571
 14,982
 597
 2018 2000 18 Eden Lane
Wichita, KS 
 1,400
 11,000
 
 1,400
 11,000
 5,288
 2006 1997 505 North Maize Road
Wichita, KS 
 860
 8,873
 
 860
 8,873
 2,058
 2011 2012 10604 E 13th Street North
Wichita, KS 12,545
 630
 19,747
 
 630
 19,747
 3,840
 2012 2009 2050 North Webb Road
Wichita, KS 
 260
 2,240
 129
 260
 2,369
 277
 2015 1992 900 N Bayshore Dr
Wichita, KS 
 900
 10,134
 
 900
 10,134
 2,218
 2011 2012 10600 E 13th Street North
Wilkes-Barre, PA 
 753
 3,457
 
 753
 3,457
 160
 2018 1970 1548 Sans Souci Parkway
Williamsburg, VA 
 1,187
 5,728
 
 1,187
 5,728
 722
 2018 2000 1811 Jamestown Rd
Williamsport, PA 
 919
 6,926
 
 919
 6,926
 276
 2018 1976 300 Leader Drive
Williamsport, PA 
 780
 1,899
 
 780
 1,899
 100
 2018 1972 101 Leader Drive
Williamstown, KY 
 70
 6,430
 
 70
 6,430
 2,649
 2005 1987 201 Kimberly Lane
Willoughby, OH 
 1,774
 8,655
 
 1,774
 8,655
 349
 2018 1974 37603 Euclid Avenue
Wilmington, DE 
 800
 9,494
 114
 800
 9,608
 2,481
 2011 1970 810 S Broom Street
Wilmington, DE 
 1,376
 13,454
 
 1,376
 13,454
 525
 2018 1998 700 1/2 Foulk Road
Wilmington, DE 
 2,843
 36,959
 
 2,843
 36,959
 1,388
 2018 1988 5651 Limestone Road
Wilmington, DE 
 2,266
 9,503
 
 2,266
 9,503
 381
 2018 1984 700 Foulk Road
Wilmington, NC 
 210
 2,991
 
 210
 2,991
 1,630
 1999 1999 3501 Converse Dr.
Wilmington, NC 
 400
 15,355
 
 400
 15,355
 2,307
 2014 2012 3828 Independence Blvd
Windsor, VA 
 1,148
 6,514
 
 1,148
 6,514
 828
 2018 1999 23352 Courthouse Hwy
Winston-Salem, NC 
 360
 2,514
 488
 360
 3,002
 1,337
 2003 1996 2980 Reynolda Rd.
Winter Garden, FL 
 1,110
 7,937
 
 1,110
 7,937
 1,618
 2012 2013 720 Roper Road
Winter Springs, FL 
 1,152
 14,826
 
 1,152
 14,826
 573
 2018 1999 1057 Willa Springs Drive
Witherwack, UK 
 944
 6,915
 593
 1,015
 7,437
 1,265
 2013 2009 Whitchurch Road
Wolverhampton, UK 
 1,573
 6,678
 624
 1,692
 7,183
 1,232
 2013 2011 378 Prestonwood Road
Woodbury, MN 
 1,317
 20,935
 298
 1,317
 21,233
 1,665
 2017 2015 2195 Century Avenue South
Woodstock, VA 
 594
 5,108
 
 594
 5,108
 594
 2018 2001 803 S Main St
Worcester, MA 
 3,500
 54,099
 
 3,500
 54,099
 14,483
 2007 2009 101 Barry Road
Worcester, MA 
 2,300
 9,060
 6,000
 2,300
 15,060
 4,863
 2008 1993 378 Plantation St.
Yardley, PA 
 773
 14,918
 
 773
 14,918
 609
 2018 1995 493 Stony Hill Road
Yardley, PA 
 1,561
 9,442
 
 1,561
 9,442
 459
 2018 1990 1480 Oxford Valley Road
Yeadon, PA 
 1,075
 10,694
 
 1,075
 10,694
 401
 2018 1963 14 Lincoln Avenue
York, PA 
 976
 9,357
 
 976
 9,357
 372
 2018 1972 200 Pauline Drive
York, PA 
 1,050
 4,212
 
 1,050
 4,212
 198
 2018 1983 2400 Kingston Court
York, PA 
 1,121
 7,586
 
 1,121
 7,586
 322
 2018 1979 1770 Barley Road
York, UK 
 2,961
 8,266
 848
 3,185
 8,890
 1,225
 2014 2006 Rosetta Way, Boroughbridge Road

(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Youngsville, NC 
 380
 10,686
 
 380
 10,686
 1,563
 2014 2013 100 Sunset Drive
Zephyrhills, FL 
 2,131
 6,671
 
 2,131
 6,671
 297
 2018 1987 38220 Henry Drive
Zionsville, IN 
 1,610
 22,400
 1,683
 1,609
 24,084
 5,782
 2010 2009 11755 N Michigan Rd
Triple-net Total $306,038

$1,036,151

$7,894,992

$351,136

$1,057,708

$8,224,571

$1,272,903
      


105


Welltower Inc.  
Schedule III  
Real Estate and Accumulated Depreciation  
December 31, 2019  
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Addison, IL $5,762
 $102
 $18,842
 $
 $102
 $18,842
 $575
 2018 2012 303 West Lake Street
Agawam, MA 
 1,072
 5,164
 
 1,072
 5,164
 
 2019 2005 230-232 Main Street
Allen, TX 
 726
 14,196
 1,302
 726
 15,498
 5,329
 2012 2006 1105 N Central Expressway
Alpharetta, GA 
 476
 14,694
 
 476
 14,694
 5,694
 2011 2003 11975 Morris Road
Alpharetta, GA 
 1,862
 
 
 1,862
 
 
 2011 1900 940 North Point Parkway
Alpharetta, GA 
 548
 17,103
 611
 548
 17,714
 6,751
 2011 2007 3300 Old Milton Parkway
Alpharetta, GA 
 773
 18,902
 115
 773
 19,017
 7,097
 2011 1993 3400-A Old Milton Parkway
Alpharetta, GA 
 1,769
 36,152
 762
 1,769
 36,914
 14,961
 2011 1999 3400-C Old Milton Parkway
Anderson, IN 
 584
 21,077
 
 584
 21,077
 2,042
 2017 2016 3125 S. Scatterfield Rd.
Appleton, WI 7,045
 1,881
 8,866
 
 1,881
 8,866
 
 2019 2004 5320 W Michael Drive
Appleton, WI 12,343
 3,782
 20,440
 
 3,782
 20,440
 
 2019 2005 2323 N Casaloma Drive
Arcadia, CA 
 5,408
 23,219
 4,825
 5,618
 27,834
 11,877
 2006 1984 301 W. Huntington Drive
Arlington, TX 
 82
 18,243
 413
 82
 18,656
 4,290
 2012 2012 902 W. Randol Mill Road
Atlanta, GA 
 4,931
 18,720
 7,281
 5,387
 25,545
 12,588
 2006 1991 755 Mt. Vernon Hwy.
Atlanta, GA 
 
 43,425
 2,062
 
 45,487
 14,031
 2012 2006 5670 Peachtree-Dunwoody Road
Atlanta, GA 
 1,947
 24,248
 2,258
 2,172
 26,281
 8,775
 2012 1984 975 Johnson Ferry Road
Austin, TX 
 1,066
 10,112
 
 1,066
 10,112
 926
 2017 2017 5301-B Davis Lane
Austin, TX 
 1,688
 6,784
 
 1,688
 6,784
 279
 2019 2015 5301-A Davis Lane
Baltimore, MD 
 4,490
 31,222
 
 4,490
 31,222
 
 2019 2014 1420 Key Highway
Bardstown, KY 
 274
 7,537
 
 274
 7,537
 1,765
 2010 2006 4359 New Shepherdsville Rd
Bartlett, TN 
 187
 15,015
 2,346
 187
 17,361
 7,436
 2007 2004 2996 Kate Bond Rd.
Bel Air, MD 
 
 24,769
 56
 
 24,825
 2,385
 2014 2016 12 Medstar Boulevard
Bellaire, TX 
 5,482
 32,478
 
 5,482
 32,478
 790
 2019 2007 5420 WEST LOOP SOUTH
Bellaire, TX 
 5,572
 72,478
 
 5,572
 72,478
 1,172
 2019 2007 5410 - 5420 WEST LOOP SOUTH
Bellevue, NE 
 
 16,680
 2
 
 16,682
 5,909
 2010 2010 2510 Bellevue Medical Center Drive
Bend, OR 
 16,516
 30,338
 
 16,516
 30,338
 830
 2019 2001 1501 Northeast Medical Center Drive
Berkeley Heights, NJ 
 49,555
 92,806
 
 49,555
 92,806
 1,117
 2019 1978 1 Diamond Hill Road
Bettendorf, IA 
 
 7,110
 73
 
 7,183
 928
 2013 2014 2140 53rd Avenue
Beverly Hills, CA 
 20,766
 40,730
 3,591
 20,766
 44,321
 7,885
 2015 1946 9675 Brighton Way
Beverly Hills, CA 
 19,863
 31,690
 1,683
 19,863
 33,373
 5,461
 2015 1946 416 North Bedford
Beverly Hills, CA 33,729
 32,603
 28,639
 1,149
 32,603
 29,788
 6,111
 2015 1950 435 North Bedford
Beverly Hills, CA 
 18,863
 1,192
 420
 18,885
 1,590
 793
 2015 1955 415 North Bedford
Beverly Hills, CA 78,271
 52,772
 87,366
 897
 52,772
 88,263
 13,738
 2015 1989 436 North Bedford
Birmingham, AL 
 3,940
 12,315
 
 3,940
 12,315
 286
 2019 2015 4600 Highway 280
Birmingham, AL 8,477
 896
 13,755
 6
 896
 13,761
 480
 2018 1985 3485 Independence Drive
Boca Raton, FL 
 31
 12,312
 444
 251
 12,536
 4,018
 2012 1993 9960 S. Central Park Boulevard
Boca Raton, FL 
 109
 34,002
 4,125
 214
 38,022
 15,196
 2006 1995 9970 S. Central Park Blvd.


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Boerne, TX 
 50
 12,951
 915
 86
 13,830
 4,004
 2011 2007 134 Menger Springs Road
Boynton Beach, FL 
 13,324
 40,369
 3,178
 14,049
 42,822
 13,758
 2013 1995 10301 Hagen Ranch Road
Boynton Beach, FL 
 214
 5,611
 7,597
 320
 13,102
 5,995
 2007 1996 10075 Jog Rd.
Boynton Beach, FL 
 2,048
 7,692
 1,233
 2,185
 8,788
 4,106
 2006 1995 8188 Jog Rd.
Boynton Beach, FL 
 2,048
 7,403
 1,705
 2,185
 8,971
 4,266
 2006 1997 8200 Jog Road
Bradenton, FL 
 1,184
 9,799
 417
 1,184
 10,216
 2,337
 2014 1975 315 75th Street West
Bradenton, FL 
 1,035
 4,298
 17
 1,035
 4,315
 1,085
 2014 2006 7005 Cortez Road West
Brandon, FL 
 1,437
 7,006
 
 1,437
 7,006
 425
 2018 2016 2020 Town Center Boulevard
Bridgeton, MO 
 1,701
 6,228
 245
 1,501
 6,673
 1,009
 2017 2008 3440 De Paul Ln.
Bridgeton, MO 
 450
 21,221
 1,248
 450
 22,469
 7,743
 2010 2006 12266 DePaul Dr
Buckhurst Hill, UK 
 11,989
 50,907
 2,540
 12,473
 52,963
 6,406
 2015 2013 High Road
Burleson, TX 
 10
 12,611
 701
 10
 13,312
 4,701
 2011 2007 12001 South Freeway
Burnsville, MN 
 
 31,596
 2,182
 
 33,778
 9,564
 2013 2014 14101 Fairview Dr
Cary, NC 
 2,816
 11,146
 
 2,816
 11,146
 460
 2019 2007 540 Waverly Place
Castle Rock, CO 
 80
 13,004
 536
 79
 13,541
 3,543
 2014 2013 2352 Meadows Boulevard
Castle Rock, CO 
 
 11,795
 195
 
 11,990
 747
 2016 2017 Meadows Boulevard
Cedar Park, TX 
 132
 23,753
 4,448
 132
 28,201
 3,471
 2017 2014 1401 Medical Parkway, Building 2
Chapel Hill, NC 
 488
 2,390
 
 488
 2,390
 61
 2019 2010 100 Perkins Drive
Chapel Hill, NC 5,161
 1,970
 8,874
 50
 1,970
 8,924
 406
 2018 2007 6011 Farrington Road
Chapel Hill, NC 5,161
 1,970
 8,925
 5
 1,970
 8,930
 462
 2018 2007 6013 Farrington Road
Chapel Hill, NC 14,669
 5,681
 25,035
 15
 5,681
 25,050
 1,193
 2018 2006 2226 North Carolina Highway 54
Charleston, SC 
 2,815
 25,648
 
 2,815
 25,648
 5,380
 2014 2009 325 Folly Road
Charlotte, NC 
 10
 24,796
 
 10
 24,796
 1,003
 2019 1971 1900 Randolph Road
Charlotte, NC 
 30
 61,799
 
 30
 61,799
 2,329
 2019 1994 1918 Randolph Road
Charlotte, NC 
 40
 40,606
 
 40
 40,606
 1,482
 2019 1989 1718 East Fourth Street
Charlotte, NC 
 1,746
 8,645
 
 1,746
 8,645
 564
 2019 1998 309 South Sharon Amity Road
Charlotte, NC 
 1,158
 8,802
 
 1,158
 8,802
 509
 2019 1998 5039 Airport Center Parkway
Chicopee, MA 
 6,078
 15,842
 
 6,078
 15,842
 
 2019 2005 444 Montgomery Street
Chula Vista, CA 
 1,045
 22,252
 
 1,045
 22,252
 1,075
 2019 1973 480 4th Avenue
Chula Vista, CA 
 826
 5,557
 
 826
 5,557
 280
 2019 1985 450 4th Avenue
Chula Vista, CA 
 1,114
 15,459
 
 1,114
 15,459
 357
 2019 2008 971 Lane Ave
Chula Vista, CA 
 1,075
 7,165
 
 1,075
 7,165
 167
 2019 2006 959 Lane Ave
Cincinnati, OH 
 
 17,880
 288
 2
 18,166
 4,254
 2012 2013 3301 Mercy Health Boulevard
Cincinnati, OH 
 537
 10,122
 
 537
 10,122
 548
 2019 2001 4850 Red Bank Expressway
Claremont, CA 
 3,950
 20,168
 
 3,950
 20,168
 448
 2019 2008 1601 Monte Vista Avenue
Clarkson Valley, MO 
 
 35,592
 
 
 35,592
 14,085
 2009 2010 15945 Clayton Rd
Clear Lake, TX 
 
 13,882
 20
 2,319
 11,583
 1,544
 2013 2014 1010 South Ponds Drive
Clyde, NC 
 1,433
 22,062
 
 1,433
 22,062
 402
 2019 2012 581 Leroy George Drive
Columbia, MD 
 23
 33,885
 3,041
 9,353
 27,596
 8,367
 2015 1982 5450 & 5500 Knoll N Dr.
Columbia, MO 
 438
 12,949
 
 438
 12,949
 716
 2019 1994 1601 E. Broadway
Columbia, MO 
 488
 16,033
 
 488
 16,033
 629
 2019 1999 1605 E. Broadway
Columbia, MO 
 199
 23,403
 
 199
 23,403
 823
 2019 2007 1705 E. Broadway
Columbia, MD 
 12,159
 72,636
 320
 12,159
 72,956
 3,187
 2018 2009 10710 Charter Drive


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Columbia, MD 
 2,333
 19,232
 1,920
 2,333
 21,152
 5,855
 2012 2002 10700 Charter Drive
Coon Rapids, MN 
 
 26,679
 1,143
 
 27,822
 6,473
 2013 2014 11850 Blackfoot Street NW
Coral Springs, FL 
 2,109
 12,189
 
 2,109
 12,189
 516
 2019 2005 2901 Coral Hills Drive
Coral Springs, FL 
 1,313
 13,118
 
 1,313
 13,118
 415
 2019 2008 3001 Coral Hills Drive
Costa Mesa, CA 21,243
 22,033
 24,332
 135
 22,033
 24,467
 4,889
 2017 2007 1640 Newport Boulevard
Cypress, TX 
 1,287
 
 
 1,287
 
 
 2016 1900 14940 Mueschke Road
Dade City, FL 
 1,211
 5,511
 
 1,211
 5,511
 1,675
 2011 1998 13413 US Hwy 301
Dallas, TX 
 122
 15,418
 25
 122
 15,443
 2,311
 2013 2014 8196 Walnut Hill Lane
Dallas, TX 
 6,086
 18,007
 1,437
 6,536
 18,994
 1,362
 2018 2010 10740 North Central Expressway
Dallas, TX 
 462
 52,488
 1,984
 462
 54,472
 12,770
 2012 2004 7115 Greenville Avenue
Deerfield Beach, FL 
 2,408
 7,809
 793
 2,540
 8,470
 3,608
 2011 2001 1192 East Newport Center Drive
Delray Beach, FL 
 1,882
 34,767
 816
 2,451
 35,014
 18,094
 2006 1985 5130-5150 Linton Blvd.
Dunkirk, MD 
 259
 2,458
 
 259
 2,458
 128
 2019 1997 10845 Town Center Blvd
Durham, NC 
 1,212
 22,858
 2
 1,212
 22,860
 4,750
 2013 2012 1823 Hillandale Road
Durham, NC 
 1,403
 25,163
 
 1,403
 25,163
 552
 2019 2000 120 William Penn Plaza
Durham, NC 
 1,751
 44,425
 
 1,751
 44,425
 801
 2019 2004 3916 Ben Fanklin Boulevard
Edina, MN 
 310
 13,105
 
 310
 13,105
 4,988
 2010 2003 8100 W 78th St
El Paso, TX 
 677
 17,075
 1,628
 677
 18,703
 8,779
 2006 1997 2400 Trawood Dr.
Elmhurst, IL 
 41
 39,562
 63
 41
 39,625
 1,622
 2018 2011 133 E Brush Hill Road
Elyria, OH 
 3,263
 28,176
 
 3,263
 28,176
 655
 2019 2008 303 Chestnut Commons Drive
Escondido, CA 
 2,278
 20,967
 
 2,278
 20,967
 536
 2019 1994 225 East 2nd Avenue
Everett, WA 
 4,842
 26,010
 62
 4,842
 26,072
 8,671
 2010 2011 13020 Meridian Ave. S.
Fenton, MO 
 958
 27,461
 
 958
 27,461
 8,411
 2013 2009 1011 Bowles Avenue
Fenton, MO 
 369
 13,911
 198
 369
 14,109
 3,371
 2013 2009 1055 Bowles Avenue
Fish Kill, NY 
 2,144
 36,880
 
 2,144
 36,880
 
 2019 2008 2507 South Road
Florham Park, NJ 
 8,578
 61,779
 
 8,578
 61,779
 3,905
 2017 2017 150 Park Avenue
Flower Mound, TX 
 737
 9,276
 232
 737
 9,508
 1,916
 2015 2014 2560 Central Park Avenue
Flower Mound, TX 
 4,164
 27,027
 1,171
 4,164
 28,198
 6,161
 2014 2012 4370 Medical Arts Drive
Flower Mound, TX 
 4,620
 
 
 4,620
 
 
 2014 1900 Medical Arts Drive
Fort Worth, TX 
 462
 26,020
 373
 462
 26,393
 6,226
 2012 2012 10840 Texas Health Trail
Fort Worth, TX 
 401
 5,266
 
 401
 5,266
 1,508
 2014 2007 7200 Oakmont Boulevard
Franklin, TN 
 2,338
 12,138
 3,060
 2,338
 15,198
 6,716
 2007 1988 100 Covey Drive
Frederick, MD 
 1,065
 7,430
 
 1,065
 7,430
 266
 2019 1979 194 Thomas Johnson Drive
Frederick, MD 
 1,930
 18,748
 
 1,930
 18,748
 905
 2019 2006 45 Thomas Johnson Drive
Fresno, CA 
 1,497
 12,669
 
 1,497
 12,669
 
 2019 2004 1105 E Spruce Ave
Frisco, TX 
 
 18,635
 219
 
 18,854
 7,798
 2007 2004 4401 Coit Road
Frisco, TX 
 
 15,309
 2,357
 
 17,666
 7,383
 2007 2004 4461 Coit Road
Gallatin, TN 
 20
 21,801
 1,763
 44
 23,540
 9,124
 2010 1997 300 Steam Plant Rd
Gardendale, AL 4,246
 1,150
 8,162
 211
 1,150
 8,373
 465
 2018 2005 2217 Decatur Highway
Garland, TX 
 4,952
 32,718
 
 4,952
 32,718
 883
 2019 2018 7217 Telecome Parkway
Gastonia, NC 
 569
 1,092
 
 569
 1,092
 128
 2019 2000 934 Cox Road
Gig Harbor, WA 
 80
 30,810
 1,302
 80
 32,112
 5,032
 2010 2009 11511 Canterwood Blvd. NW
Glendale, CA 
 70
 44,354
 
 70
 44,354
 1,011
 2019 2008 1500 E Chevy Chase Drive


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Glendale, CA 
 37
 18,398
 310
 37
 18,708
 7,136
 2007 2002 222 W. Eulalia St.
Gloucester, VA 
 2,128
 9,169
 5
 2,128
 9,174
 473
 2018 2008 5659 Parkway Drive
Grand Prairie, TX 
 981
 6,086
 
 981
 6,086
 2,399
 2012 2009 2740 N State Hwy 360
Grapevine, TX 
 
 5,943
 4,778
 2,081
 8,640
 2,004
 2014 2002 2040 W State Hwy 114
Grapevine, TX 
 3,365
 15,669
 2,248
 3,365
 17,917
 4,449
 2014 2002 2020 W State Hwy 114
Greenville, SC 
 1,567
 5,167
 
 1,567
 5,167
 504
 2019 1987 10 Enterprise Boulevard
Greenwood, IN 
 2,098
 21,538
 638
 2,098
 22,176
 4,393
 2014 2013 3000 S State Road 135
Greenwood, IN 
 1,262
 7,045
 8
 1,262
 7,053
 1,953
 2014 2010 333 E County Line Road
Harrisburg, NC 
 1,347
 3,059
 
 1,347
 3,059
 170
 2019 2012 9550 Rocky River Road
Hattiesburg, MS 17,986
 3,155
 34,710
 
 3,155
 34,710
 
 2019 2012 3688 Veterans Memorial Drive
Haymarket, VA 
 1,250
 29,254
 
 1,250
 29,254
 595
 2019 2008 15195 Heathcote Blvd
Henderson, NV 
 2,587
 5,654
 
 2,587
 5,654
 141
 2019 2002 2825 Siena Heights Drive
Henderson, NV 
 7,372
 24,027
 
 7,372
 24,027
 730
 2019 2005 2845 Siena Heights Drive
Henderson, NV 
 5,492
 18,718
 
 5,492
 18,718
 504
 2019 2005 2865 Siena Heights Drive
Highland, IL 
 
 8,834
 31
 
 8,865
 1,897
 2012 2013 12860 Troxler Avenue
Hopewell Junction, NY 
 2,164
 5,333
 
 2,164
 5,333
 
 2019 1999 10 Cranberry Drive
Hopewell Junction, NY 
 2,316
 5,332
 
 2,316
 5,332
 
 2019 2015 1955 NY-52
Houston, TX 
 10,403
 
 
 10,403
 
 8
 2011 1900 F.M. 1960 & Northgate Forest Dr.
Houston, TX 
 5,837
 33,109
 1,028
 5,837
 34,137
 12,856
 2012 2005 15655 Cypress Woods Medical Dr.
Houston, TX 
 2,988
 18,018
 
 2,988
 18,018
 
 2016 2019 13105 Wortham Center Drive
Houston, TX 
 3,688
 13,313
 132
 3,688
 13,445
 3,990
 2012 2007 10701 Vintage Preserve Parkway
Houston, TX 
 1,099
 1,604
 81,406
 12,815
 71,294
 16,843
 2012 1998 2727 W Holcombe Boulevard
Houston, TX 3,775
 377
 13,660
 
 377
 13,660
 741
 2018 2011 20207 Chasewood Park Drive
Howell, MI 
 2,000
 13,928
 794
 2,000
 14,722
 747
 2016 2017 1225 South Latson Road
Humble, TX 
 
 9,941
 
 1,702
 8,239
 1,064
 2013 2014 8233 N. Sam Houston Parkway E.
Huntersville, NC 
 
 42,143
 
 
 42,143
 1,357
 2019 2004 10030 Gilead Road
Jackson, MI 
 668
 17,294
 
 668
 17,294
 5,075
 2013 2009 1201 E Michigan Avenue
Jacksonville, FL 
 3,562
 27,249
 
 3,562
 27,249
 799
 2019 2006 10475 Centurion Parkway North
Jefferson City, TN 
 109
 16,453
 
 109
 16,453
 559
 2019 2001 120 Hospital Drive
Jonesboro, GA 
 567
 16,329
 
 567
 16,329
 482
 2019 2009 7813 Spivey Station Boulevard
Jonesboro, GA 
 627
 16,554
 
 627
 16,554
 452
 2019 2007 7823 Spivey Station Boulevard
Jupiter, FL 
 2,825
 5,858
 1,298
 3,036
 6,945
 3,289
 2007 2004 600 Heritage Dr.
Jupiter, FL 
 2,252
 11,415
 3,889
 2,639
 14,917
 6,242
 2006 2001 550 Heritage Dr.
Killeen, TX 
 
 3,756
 2,235
 
 5,991
 387
 2018 1990 2301 S. Clear Creek
Killeen, TX 
 1,907
 3,575
 
 1,907
 3,575
 655
 2011 2012 5702 E Central Texas Expressway
Killeen, TX 
 760
 22,878
 143
 795
 22,986
 8,746
 2010 2010 2405 Clear Creek Rd
Knoxville, TN 
 199
 45,961
 
 199
 45,961
 1,003
 2019 2012 1926 Alcoa Highway
La Jolla, CA 
 12,855
 32,658
 1,496
 12,855
 34,154
 7,206
 2015 1989 4150 Regents Park Row
La Jolla, CA 
 9,425
 26,525
 392
 9,425
 26,917
 4,894
 2015 1988 4120 & 4130 La Jolla Village Drive
La Quinta, CA 
 3,266
 22,066
 668
 3,279
 22,721
 5,515
 2014 2006 47647 Caleo Bay Drive
Lacey, WA 6,589
 1,751
 10,345
 
 1,751
 10,345
 530
 2018 1971 2555 Marvin Road Northeast
Lake St Louis, MO 
 240
 14,249
 337
 240
 14,586
 5,462
 2010 2008 400 Medical Dr


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Lakeway, TX 
 2,801
 
 
 2,801
 
 
 2007 1900 Lohmans Crossing Road
Lakewood, CA 
 146
 14,885
 1,956
 146
 16,841
 6,771
 2006 1993 5750 Downey Ave.
Lakewood, WA 
 72
 16,017
 707
 72
 16,724
 4,648
 2012 2005 11307 Bridgeport Way SW
Land O Lakes, FL 
 3,025
 26,249
 
 3,025
 26,249
 2,035
 2017 2009 2100 Via Bella
Land O Lakes, FL 
 1,376
 6,750
 
 1,376
 6,750
 581
 2017 2011 2150 Via Bella
Las Vegas, NV 
 433
 4,928
 
 433
 4,928
 2,088
 2007 1997 1776 E. Warm Springs Rd.
Las Vegas, NV 
 2,319
 4,612
 1,486
 2,319
 6,098
 2,962
 2006 1991 2870 S. Maryland Pkwy.
Lincoln, NE 
 1,420
 29,723
 711
 1,420
 30,434
 11,316
 2010 2003 575 South 70th St
Little Rock, AR 
 3,021
 16,058
 
 3,021
 16,058
 124
 2019 2014 6119 Midtown Avenue
London, UK 
 5,229
 11,551
 678
 5,440
 12,018
 1,454
 2015 2007 17-19 View Road
London, UK 
 17,983
 157,802
 7,098
 18,709
 164,174
 19,858
 2015 2010 53 Parkside
London, UK 
 4,081
 28,107
 1,300
 4,246
 29,242
 3,537
 2015 2003 49 Parkside
Los Alamitos, CA 
 39
 18,340
 
 39
 18,340
 7,081
 2007 2003 3771 Katella Ave.
Los Gatos, CA 
 488
 21,961
 
 488
 21,961
 9,127
 2006 1993 555 Knowles Dr.
Los Gatos, CA 
 16,896
 
 
 16,896
 
 
 2019 1900 555 Knowles Dr.
Loxahatchee, FL 
 1,340
 6,509
 1,490
 1,440
 7,899
 3,475
 2006 1993 12989 Southern Blvd.
Loxahatchee, FL 
 1,553
 4,694
 1,680
 1,650
 6,277
 2,948
 2006 1994 12983 Southern Blvd.
Loxahatchee, FL 
 1,637
 5,048
 1,280
 1,719
 6,246
 2,942
 2006 1997 12977 Southern Blvd.
Lubbock, TX 42,982
 2,286
 72,893
 
 2,286
 72,893
 
 2019 2006 4515 Marsha Sharp Freeway
Lynbrook, NY 27,196
 10,028
 37,319
 658
 10,028
 37,977
 1,635
 2018 1962 444 Merrick Road
Madison, WI 
 3,670
 28,329
 
 3,670
 28,329
 620
 2019 2012 1102 South Park Street
Margate, FL 
 219
 9,293
 
 219
 9,293
 410
 2019 2004 2960 N. State Rd 7
Marietta, GA 
 2,682
 20,053
 1,516
 2,703
 21,548
 3,465
 2016 2016 4800 Olde Towne Parkway
Matthews, NC 
 10
 32,741
 
 10
 32,741
 983
 2019 1994 1450 Matthews Township Parkway
Menasha, WI 
 1,374
 13,861
 2,963
 1,345
 16,853
 2,827
 2016 1994 1550 Midway Place
Merced, CA 
 
 13,772
 815
 
 14,587
 5,593
 2009 2010 315 Mercy Ave.
Meridian, ID 
 3,206
 27,107
 
 3,206
 27,107
 
 2019 2009 3277 E Louise Drive
Mesquite, TX 
 496
 3,834
 
 496
 3,834
 1,203
 2012 2012 1575 I-30
Mission Hills, CA 23,325
 
 42,276
 6,889
 4,791
 44,374
 10,268
 2014 1986 11550 Indian Hills Road
Missouri City, TX 
 1,360
 7,143
 
 1,360
 7,143
 595
 2015 2016 7010 Highway 6
Mobile, AL 15,755
 2,759
 25,180
 13
 2,759
 25,193
 990
 2018 2003 6144 Airport Boulevard
Moline, IL 
 
 8,783
 69
 
 8,852
 1,416
 2012 2013 3900 28th Avenue Drive
Monticello, MN 6,367
 61
 18,489
 139
 61
 18,628
 4,661
 2012 2008 1001 Hart Boulevard
Moorestown, NJ 
 6
 50,896
 867
 362
 51,407
 14,676
 2011 2012 401 Young Avenue
Mount Juliet, TN 
 1,566
 11,697
 1,779
 1,601
 13,441
 6,077
 2007 2005 5002 Crossings Circle
Mount Kisco, NY 
 12,632
 51,220
 
 12,632
 51,220
 
 2019 1996 90 - 110 South Bedford Road
Mount Vernon, IL 
 
 24,892
 109
 
 25,001
 7,330
 2011 2012 2 Good Samaritan Way
Murrieta, CA 
 
 47,190
 110
 
 47,300
 20,411
 2010 2011 28078 Baxter Rd.
Murrieta, CA 
 3,800
 
 
 3,800
 
 
 2014 1900 28078 Baxter Rd.
Myrtle Beach, SC 
 1,357
 3,658
 
 1,357
 3,658
 565
 2019 1996 8170 Rourk Street
Nampa, ID 15,675
 3,439
 21,566
 
 3,439
 21,566
 
 2019 2017 1512 12th Avenue
Nashville, TN 
 1,806
 7,165
 3,888
 1,942
 10,917
 5,061
 2006 1986 310 25th Ave. N.
New Albany, IN 
 2,411
 16,494
 152
 2,414
 16,643
 3,643
 2014 2001 2210 Green Valley Road


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Newburgh, NY 
 9,213
 32,354
 
 9,213
 32,354
 
 2019 2015 1200 NY-300
Newburyport, MA 
 3,104
 19,370
 
 3,104
 19,370
 684
 2019 2008 One Wallace Bashaw Jr. Way
Niagara Falls, NY 
 1,433
 10,891
 519
 1,721
 11,122
 6,187
 2007 1995 6932 - 6934 Williams Rd
Niagara Falls, NY 
 454
 8,362
 310
 454
 8,672
 3,620
 2007 2004 6930 Williams Rd
Norfolk, VA 
 1,138
 26,989
 
 1,138
 26,989
 1,006
 2019 2014 155 Kingsley Lane
North Canton, OH 13,202
 2,518
 24,452
 
 2,518
 24,452
 
 2019 2014 7442 Frank Avenue
North Easton, MA 
 2,336
 19,876
 
 2,336
 19,876
 
 2019 2007 15 Roche Brothers Way
North Easton, MA 
 2,882
 15,999
 
 2,882
 15,999
 
 2019 2008 31 Roche Brothers Way
Norwood, OH 
 1,017
 6,638
 
 1,017
 6,638
 50
 2019 2006 4685 Forest Avenue
Novi, MI 
 895
 36,944
 
 895
 36,944
 1,013
 2019 2008 26750 Providence Parkway
Oklahoma City, OK 
 216
 18,762
 
 216
 18,762
 5,419
 2013 2008 535 NW 9th Street
Oro Valley, AZ 
 89
 18,339
 1,101
 89
 19,440
 7,305
 2007 2004 1521 East Tangerine Rd.
Oxford, NC 
 478
 4,971
 
 478
 4,971
 125
 2019 2011 107 East McClanahan Street
Palmer, AK 
 283
 8,335
 265
 283
 8,600
 549
 2017 2018 2480 S Woodworth Loop
Palmer, AK 
 217
 29,705
 1,486
 217
 31,191
 11,825
 2007 2006 2490 South Woodworth Loop
Pasadena, TX 
 1,700
 8,009
 158
 1,700
 8,167
 1,328
 2012 2013 5001 E Sam Houston Parkway S
Pearland, TX 
 1,500
 11,253
 6
 1,500
 11,259
 1,739
 2012 2013 2515 Business Center Drive
Pearland, TX 
 9,594
 32,753
 191
 9,807
 32,731
 6,265
 2014 2013 11511 Shadow Creek Parkway
Pendleton, OR 
 
 10,312
 380
 
 10,692
 1,672
 2012 2013 3001 St. Anthony Way
Phoenix, AZ 
 199
 3,853
 
 199
 3,853
 132
 2019 1980 9225 N 3rd Street
Phoenix, AZ 
 109
 2,207
 
 109
 2,207
 138
 2019 1986 9327 North 3rd Street
Phoenix, AZ 
 229
 5,867
 
 229
 5,867
 241
 2019 1994 9100 N 2nd Street
Phoenix, AZ 
 1,149
 48,018
 11,409
 1,149
 59,427
 27,378
 2006 1998 2222 E. Highland Ave.
Pineville, NC 
 961
 6,974
 2,582
 1,081
 9,436
 5,009
 2006 1988 10512 Park Rd.
Plano, TX 
 793
 83,209
 5,359
 793
 88,568
 23,750
 2012 2005 6020 West Parker Road
Plano, TX 
 5,423
 20,698
 1,878
 5,423
 22,576
 13,141
 2008 2007 6957 Plano Parkway
Plantation, FL 
 8,563
 10,666
 4,772
 8,575
 15,426
 8,343
 2006 1997 851-865 SW 78th Ave.
Plantation, FL 
 8,848
 9,262
 2,036
 8,908
 11,238
 7,026
 2006 1996 600 Pine Island Rd.
Port Orchard, WA 9,973
 2,810
 22,716
 39
 2,810
 22,755
 1,037
 2018 1995 450 South Kitsap Boulevard
Poughkeepsie, NY 
 4,035
 30,459
 
 4,035
 30,459
 
 2019 2010 30 Columbia Street
Poughkeepsie, NY 
 6,513
 27,863
 
 6,513
 27,863
 
 2019 2006 600 Westage Drive
Poughkeepsie, NY 19,065
 5,128
 20,769
 
 5,128
 20,769
 
 2019 2012 1910 South Road
Powell, TN 
 179
 27,417
 
 179
 27,417
 907
 2019 2005 7557 A Dannaher Drive
Powell, TN 
 179
 34,903
 
 179
 34,903
 699
 2019 2008 7557 B Dannaher Drive
Prince Frederick, MD 
 229
 26,889
 
 229
 26,889
 792
 2019 2009 130 Hospital Road
Prince Frederick, MD 
 179
 12,801
 
 179
 12,801
 389
 2019 1991 110 Hospital Road
Rancho Mirage, CA 
 7,292
 15,141
 
 7,292
 15,141
 
 2019 2005 72780 Country Club Drive
Redmond, WA 
 5,015
 26,697
 1,080
 5,015
 27,777
 9,474
 2010 2011 18100 NE Union Hill Rd.
Reno, NV 
 1,117
 21,972
 2,239
 1,117
 24,211
 10,179
 2006 1991 343 Elm St.
Richmond, TX 
 2,000
 9,118
 4
 2,000
 9,122
 856
 2015 2016 22121 FM 1093 Road
Richmond, VA 
 2,969
 26,697
 1,450
 3,090
 28,026
 9,730
 2012 2008 7001 Forest Avenue
Rockwall, TX 
 132
 17,197
 393
 132
 17,590
 4,751
 2012 2008 3142 Horizon Road
Rogers, AR 
 1,062
 28,680
 2,411
 1,062
 31,091
 10,619
 2011 2008 2708 Rife Medical Lane



(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Rolla, MO 
 1,931
 47,639
 1
 1,931
 47,640
 14,809
 2011 2009 1605 Martin Spring Drive
Rome, GA 
 99
 29,597
 
 99
 29,597
 1,510
 2019 2005 330 Turner McCall Boulevard
Roseville, MN 
 2,963
 20,169
 
 2,963
 20,169
 
 2019 2015 1835 W County Road C
Roxboro, NC 
 368
 2,477
 
 368
 2,477
 63
 2019 2000 799 Doctors Court
Salem, NH 
 1,655
 14,050
 46
 1,681
 14,070
 3,713
 2014 2013 31 Stiles Road
San Antonio, TX 
 1,057
 10,101
 123
 1,057
 10,224
 5,375
 2006 1999 19016 Stone Oak Pkwy.
San Antonio, TX 
 1,038
 9,173
 1,848
 1,096
 10,963
 5,795
 2006 1999 540 Stone Oak Centre Drive
San Antonio, TX 
 2,915
 11,141
 
 2,915
 11,141
 462
 2019 2006 150 E Sonterra Blvd
San Antonio, TX 
 3,050
 12,073
 31
 3,050
 12,104
 600
 2016 2017 5206 Research Drive
San Antonio, TX 
 938
 16,437
 
 938
 16,437
 4,571
 2014 2007 3903 Wiseman Boulevard
Santa Clarita, CA 
 
 2,338
 20,669
 5,304
 17,703
 3,884
 2014 1976 23861 McBean Parkway
Santa Clarita, CA 
 
 28,384
 2,550
 5,277
 25,657
 5,165
 2014 1998 23929 McBean Parkway
Santa Clarita, CA 
 278
 185
 11,594
 11,872
 185
 178
 2014 1996 23871 McBean Parkway
Santa Clarita, CA 25,000
 295
 39,284
 
 295
 39,284
 6,311
 2014 2013 23803 McBean Parkway
Santa Clarita, CA 
 
 20,618
 1,076
 4,407
 17,287
 3,670
 2014 1989 24355 Lyons Avenue
Seattle, WA 
 4,410
 38,428
 409
 4,410
 38,837
 17,817
 2010 2010 5350 Tallman Ave
Sewell, NJ 
 1,242
 11,616
 6
 1,242
 11,622
 641
 2018 2007 556 Egg Harbor Road
Sewell, NJ 
 164
 53,859
 
 164
 53,859
 21,033
 2007 2009 239 Hurffville-Cross Keys Road
Shakopee, MN 5,393
 509
 11,350
 
 509
 11,350
 4,472
 2010 1996 1515 St Francis Ave
Shakopee, MN 9,093
 707
 18,089
 156
 773
 18,179
 5,640
 2010 2007 1601 St Francis Ave
Shenandoah, TX 
 
 21,135
 62
 4,574
 16,623
 2,083
 2013 2014 106 Vision Park Boulevard
Sherman Oaks, CA 
 
 32,186
 3,412
 3,121
 32,477
 7,246
 2014 1969 4955 Van Nuys Boulevard
Silverdale, WA 13,117
 3,451
 21,176
 12
 3,451
 21,188
 919
 2018 2004 2200 NW Myhre Road
Somerville, NJ 
 3,400
 22,244
 2
 3,400
 22,246
 6,349
 2008 2007 30 Rehill Avenue
Southlake, TX 
 3,000
 
 
 3,000
 
 
 2014 1900 Central Avenue
Southlake, TX 
 2,875
 15,471
 
 2,875
 15,471
 350
 2019 2017 925 E. Southlake Boulevard
Southlake, TX 
 592
 18,123
 
 592
 18,123
 5,863
 2012 2004 1545 East Southlake Boulevard
Southlake, TX 
 698
 30,549
 48
 698
 30,597
 8,090
 2012 2004 1545 East Southlake Boulevard
Springfield, IL 
 1,569
 10,350
 
 1,568
 10,351
 1,637
 2010 2011 1100 East Lincolnshire Blvd
Springfield, IL 
 177
 3,519
 31
 177
 3,550
 580
 2010 2011 2801 Mathers Rd.
Springfield, MA 
 2,721
 6,615
 
 2,721
 6,615
 
 2019 2012 305 Bicentennial Highway
St Paul, MN 
 49
 37,695
 400
 49
 38,095
 6,317
 2014 2006 225 Smith Avenue N.
St. Louis, MO 
 336
 17,247
 2,397
 336
 19,644
 8,096
 2007 2001 2325 Dougherty Rd.
St. Paul, MN 
 2,706
 39,507
 386
 2,701
 39,898
 13,580
 2011 2007 435 Phalen Boulevard
Stamford, CT 
 
 41,153
 2,636
 
 43,789
 3,620
 2015 2016 29 Hospital Plaza
Stockton, CA 11,639
 4,966
 16,844
 
 4,966
 16,844
 
 2019 2009 2488 N California Street
Suffern, NY 
 696
 37,211
 
 696
 37,211
 13,568
 2011 2007 257 Lafayette Avenue
Suffolk, VA 
 1,566
 11,511
 229
 1,620
 11,686
 5,119
 2010 2007 5838 Harbour View Blvd.
Sugar Land, TX 
 3,543
 15,532
 
 3,543
 15,532
 6,172
 2012 2005 11555 University Boulevard
Tacoma, WA 
 
 64,307
 
 
 64,307
 20,433
 2011 2013 1608 South J Street
Tallahassee, FL 
 
 17,449
 
 
 17,449
 6,615
 2010 2011 One Healing Place
Tampa, FL 
 4,319
 12,234
 
 4,319
 12,234
 3,181
 2011 2003 14547 Bruce B Downs Blvd
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Tampa, FL 
 1,462
 7,270
 
 1,462
 7,270
 614
 2017 1996 12500 N Dale Mabry
Temple, TX 
 2,900
 9,954
 26
 2,900
 9,980
 1,880
 2011 2012 2601 Thornton Lane
Timonium, MD 
 8,829
 12,568
 161
 8,850
 12,708
 1,323
 2015 2017 2118 Greenspring Drive
Tucson, AZ 
 1,302
 4,925
 1,113
 1,325
 6,015
 3,095
 2008 1995 2055 W. Hospital Dr.
Tustin, CA 
 3,345
 541
 223
 3,345
 764
 310
 2015 1976 14591 Newport Ave
Tustin, CA 
 3,361
 12,039
 1,913
 3,361
 13,952
 3,436
 2015 1985 14642 Newport Ave
Tyler, TX 61,899
 2,903
 114,853
 
 2,903
 114,853
 
 2019 2013 1814 Roseland Boulevard
Van Nuys, CA 
 
 36,187
 
 
 36,187
 10,936
 2009 1991 6815 Noble Ave.
Voorhees, NJ 
 6
 96,075
 757
 99
 96,739
 29,171
 2010 2012 200 Bowman Drive
Voorhees, NJ 
 6,404
 24,251
 1,817
 6,477
 25,995
 10,633
 2006 1997 900 Centennial Blvd.
Waco, TX 
 125
 164
 
 125
 164
 4
 2018 1962 6612 Fish Pond Road
Waco, TX 
 35
 113
 
 35
 113
 3
 2018 1961 6620 Fish Pond Rd
Waco, TX 
 441
 2,537
 
 441
 2,537
 195
 2018 2000 6600 Fish Pond Rd
Waco, TX 14,496
 2,250
 28,632
 106
 2,250
 28,738
 1,240
 2018 1981 601 Highway 6 West
Washington, PA 19,273
 3,981
 31,706
 17
 3,981
 31,723
 1,389
 2018 2010 100 Trich Drive
Wausau, WI 
 2,050
 12,175
 
 2,050
 12,175
 1,223
 2015 2017 1901 Westwood Center Boulevard
Waxahachie, TX 
 303
 18,069
 
 303
 18,069
 2,578
 2016 2014 2460 N I-35 East
Wellington, FL 
 580
 11,047
 
 580
 11,047
 5,030
 2007 2003 1395 State Rd. 7
Wellington, FL 
 107
 16,933
 2,229
 326
 18,943
 7,693
 2006 2000 10115 Forest Hill Blvd.
Westlake Village, CA 6,360
 2,487
 9,776
 6
 2,487
 9,782
 684
 2018 1989 1220 La Venta Drive
Westlake Village, CA 7,999
 2,553
 15,851
 95
 2,553
 15,946
 1,044
 2018 1975 1250 La Venta Drive
Westville, IN 
 1,293
 13,227
 
 1,293
 13,227
 279
 2019 2010 1668 South US 421
Winston-Salem, NC 
 2,006
 7,497
 
 2,006
 7,497
 526
 2019 1998 2025 Frontis Plaza
Woodbridge, VA 
 346
 16,534
 
 346
 16,534
 617
 2018 2012 12825 Minnieville Road
Yuma, AZ 
 1,592
 10,185
 
 1,592
 10,185
 496
 2019 2004 2270 South Ridgeview Drive
Zephyrhills, FL 
 3,875
 27,270
 
 3,875
 27,270
 7,779
 2011 1974 38135 Market Square Dr
Zephyrhills, FL 
 5,444
 29,088
 
 5,444
 29,088
 1,725
 2018 2016 2352 Bruce B Downs Boulevard
Outpatient Medical Total $572,266

$885,789

$6,626,075

$323,055

$959,834

$6,875,085

$1,248,499
      




106
Welltower Inc.  
Schedule III  
Real Estate and Accumulated Depreciation  
December 31, 2018  
(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Abilene, TX $
 $950
 $20,987
 $11,660
 $950
 $32,647
 $2,632
 2014 1998 6565 Central Park Boulevard
Abilene, TX 
 990
 8,187
 1,089
 990
 9,276
 1,000
 2014 1985 1250 East N 10th Street
Aboite Twp, IN 
 1,770
 19,930
 1,601
 1,770
 21,531
 4,613
 2010 2008 611 W County Line Rd South
Adelphi, MD 
 1,429
 4,312
 
 1,429
 4,312
 56
 2018 1967 1801 Metzerott Road
Agawam, MA 
 880
 16,112
 2,134
 880
 18,246
 8,048
 2002 1993 1200 Suffield St.
Akron, OH 
 633
 3,003
 
 633
 3,003
 37
 2018 1999 171 North Cleveland Massillon Road
Albertville, AL 
 170
 6,203
 353
 176
 6,550
 1,796
 2010 1999 151 Woodham Dr.
Alexandria, VA 
 2,452
 6,829
 
 2,452
 6,829
 81
 2018 1964 1510 Collingwood Road
Allen Park, MI 
 1,767
 5,027
 
 1,767
 5,027
 60
 2018 1960 9150 Allen Road
Allentown, PA 
 494
 11,849
 
 494
 11,849
 138
 2018 1995 5151 Hamilton Boulevard
Allentown, PA 
 1,491
 4,823
 
 1,491
 4,823
 59
 2018 1988 1265 Cedar Crest Boulevard
Ames, IA 
 330
 8,870
 
 330
 8,870
 2,075
 2010 1999 1325 Coconino Rd.
Ankeny, IA 
 1,129
 10,270
 
 1,129
 10,270
 813
 2016 2012 1275 SW State Street
Ann Arbor, MI 
 2,172
 11,127
 
 2,172
 11,127
 140
 2018 1997 4701 East Huron River Drive
Annandale, VA 
 1,687
 18,980
 
 1,687
 18,980
 216
 2018 2002 7104 Braddock Road
Arlington, TX 
 1,660
 37,395
 1,825
 1,660
 39,220
 9,668
 2012 2000 1250 West Pioneer Parkway
Arlington, VA 
 4,016
 8,805
 
 4,016
 8,805
 102
 2018 1976 550 South Carlin Southprings Road
Asheboro, NC 
 290
 5,032
 165
 290
 5,197
 2,142
 2003 1998 514 Vision Dr.
Asheville, NC 
 204
 3,489
 
 204
 3,489
 1,858
 1999 1999 4 Walden Ridge Dr.
Asheville, NC 
 280
 1,955
 351
 280
 2,306
 1,034
 2003 1992 308 Overlook Rd.
Atchison, KS 
 140
 5,610
 23
 140
 5,633
 475
 2015 2001 1301 N 4th St.
Atlanta, GA 
 2,058
 14,914
 1,214
 2,080
 16,106
 11,826
 1997 1999 1460 S Johnson Ferry Rd.
Aurora, OH 
 1,760
 14,148
 106
 1,760
 14,254
 3,369
 2011 2002 505 S. Chillicothe Rd
Aurora, CO 
 2,440
 28,172
 
 2,440
 28,172
 11,394
 2006 2007 14211 E. Evans Ave.
Austin, TX 
 880
 9,520
 1,299
 885
 10,814
 5,784
 1999 1998 12429 Scofield Farms Dr.
Austin, TX 
 1,691
 5,006
 
 1,691
 5,006
 78
 2018 2000 11630 Four Iron Drive
Avon, IN 
 1,830
 14,470
 
 1,830
 14,470
 3,534
 2010 2004 182 S Country RD. 550E
Avon, IN 
 900
 19,444
 
 900
 19,444
 2,329
 2014 2013 10307 E. CR 100 N
Avon, CT 
 2,132
 7,627
 
 2,132
 7,627
 109
 2018 2000 100 Fisher Drive
Avon Lake, OH 
 790
 10,421
 5,822
 790
 16,243
 3,136
 2011 2001 345 Lear Rd.
Baldwin City, KS 
 190
 4,810
 55
 190
 4,865
 420
 2015 2000 321 Crimson Ave
Baltimore, MD 
 4,306
 4,305
 
 4,306
 4,305
 55
 2018 1978 6600 Ridge Road
Baltimore, MD 
 3,069
 3,150
 
 3,069
 3,150
 43
 2018 1996 4669 Falls Road
Barberton, OH 
 1,307
 9,313
 
 1,307
 9,313
 108
 2018 1979 85 Third Street
Bartlesville, OK 
 100
 1,380
 
 100
 1,380
 828
 1996 1995 5420 S.E. Adams Blvd.
Battle Creek, MI 
 857
 1,822
 
 857
 1,822
 30
 2018 1965 200 Roosevelt Avenue East
Bay City, MI 
 633
 2,620
 
 633
 2,620
 35
 2018 1968 800 Mulholland Street
Bedford, PA 
 637
 4,434
 
 637
 4,434
 61
 2018 1965 136 Donahoe Manor Road
Bellingham, WA 
 1,500
 19,861
 396
 1,507
 20,250
 5,450
 2010 1996 4415 Columbine Dr.
Benbrook, TX 
 1,550
 13,553
 2,657
 1,550
 16,210
 3,016
 2011 1984 4242 Bryant Irvin Road


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Bethel Park, PA 
 1,700
 16,007
 
 1,700
 16,007
 4,274
 2007 2009 5785 Baptist Road
Bethel Park, PA 
 1,008
 6,742
 
 1,008
 6,742
 83
 2018 1986 60 Highland Road
Bethesda, MD 
 2,218
 6,871
 
 2,218
 6,871
 78
 2018 1974 6530 Democracy Boulevard
Bethlehem, PA 
 1,191
 16,892
 
 1,191
 16,892
 187
 2018 1979 2021 Westgate Drive
Bethlehem, PA 
 1,143
 13,592
 
 1,143
 13,592
 152
 2018 1982 2029 Westgate Drive
Beverly Hills, CA 
 6,000
 13,385
 
 6,000
 13,385
 1,420
 2014 2000 220 N Clark Drive
Bexleyheath, UK 
 3,750
 10,807
 493
 3,877
 11,173
 1,210
 2014 1996 35 West Street
Bingham Farms, MI 
 781
 15,676
 
 781
 15,676
 180
 2018 1999 24005 West 13 Mile Road
Birmingham, UK 
 1,647
 14,853
 558
 1,703
 15,355
 1,491
 2015 2010 Clinton Street, Winson Green
Birmingham, UK 
 1,591
 19,092
 700
 1,645
 19,738
 1,888
 2015 2010 Braymoor Road, Tile Cross
Birmingham, UK 
 1,462
 9,056
 355
 1,511
 9,362
 923
 2015 2010 Clinton Street, Winson Green
Birmingham, UK 
 1,184
 10,085
 381
 1,224
 10,426
 1,005
 2015 1997 122 Tile Cross Road, Garretts Green
Bloomington, IN 
 670
 17,423
 
 670
 17,423
 1,651
 2015 2015 363 S. Fieldstone Boulevard
Boardman, OH 
 1,200
 12,800
 
 1,200
 12,800
 4,308
 2008 2008 8049 South Ave.
Boca Raton, FL 
 2,200
 4,976
 
 2,200
 4,976
 74
 2018 1994 7225 Boca Del Mar Drive
Boca Raton, FL 
 2,826
 4,063
 
 2,826
 4,063
 54
 2018 1984 375 Northwest 51st Street
Boulder, CO 
 3,601
 21,371
 
 3,601
 21,371
 263
 2018 1990 2800 Palo Parkway
Bowling Green, KY 
 3,800
 26,700
 149
 3,800
 26,849
 7,094
 2008 1992 1300 Campbell Lane
Boynton Beach, FL 
 2,138
 10,204
 
 2,138
 10,204
 128
 2018 1991 3600 Old Boynton Road
Boynton Beach, FL 
 2,804
 14,226
 
 2,804
 14,226
 163
 2018 1984 3001 South Congress Avenue
Bracknell, UK 
 4,081
 11,470
 
 4,081
 11,470
 405
 2014 2017 Bagshot Road
Bradenton, FL 
 252
 3,298
 
 252
 3,298
 1,991
 1996 1995 6101 Pointe W. Blvd.
Bradenton, FL 
 480
 9,953
 
 480
 9,953
 1,714
 2012 2000 2800 60th Avenue West
Braintree, MA 
 170
 7,157
 1,290
 170
 8,447
 8,433
 1997 1968 1102 Washington St.
Braintree, UK 
 
 13,296
 450
 
 13,746
 1,570
 2014 2009 Meadow Park Tortoiseshell Way
Brandon, MS 
 1,220
 10,241
 8
 1,220
 10,249
 2,291
 2010 1999 140 Castlewoods Blvd
Brecksville, OH 
 990
 19,353
 
 990
 19,353
 2,309
 2014 2011 8757 Brecksville Road
Brentwood, UK 36,589
 8,537
 45,869
 1,998
 8,826
 47,578
 2,534
 2016 2013 London Road
Brick, NJ 
 1,290
 25,247
 996
 1,290
 26,243
 5,086
 2011 2000 458 Jack Martin Blvd.
Bridgewater, NJ 
 1,800
 31,810
 1,397
 1,800
 33,207
 6,365
 2011 2001 680 US-202/206 North
Brookfield, WI 
 1,300
 12,830
 
 1,300
 12,830
 1,779
 2012 2013 1105 Davidson Road
Brooks, AB 1,757
 376
 4,951
 80
 381
 5,026
 586
 2014 2000 951 Cassils Road West
Bucyrus, OH 
 1,119
 2,612
 
 1,119
 2,612
 37
 2018 1976 1170 West Mansfield Street
Burleson, TX 
 670
 13,985
 2,105
 670
 16,090
 3,142
 2011 1988 300 Huguley Boulevard
Burlington, NC 
 280
 4,297
 707
 280
 5,004
 2,037
 2003 2000 3619 S. Mebane St.
Burlington, NC 
 460
 5,467
 
 460
 5,467
 2,271
 2003 1997 3615 S. Mebane St.
Burlington, NJ 
 1,700
 12,554
 501
 1,700
 13,055
 3,231
 2011 1965 115 Sunset Road
Burlington, NJ 
 1,170
 19,205
 172
 1,170
 19,377
 4,109
 2011 1994 2305 Rancocas Road
Burnaby, BC 7,326
 7,623
 13,844
 320
 7,736
 14,051
 1,664
 2014 2006 7195 Canada Way
Calgary, AB 14,921
 2,341
 42,768
 726
 2,376
 43,459
 4,882
 2014 1971 1729-90th Avenue SW
Calgary, AB 24,745
 4,569
 70,199
 1,109
 4,636
 71,241
 7,933
 2014 2001 500 Midpark Way SE
Camberley, UK 
 9,974
 39,168
 
 9,974
 39,168
 1,574
 2016 2017 Pembroke Broadway
Camp Hill, PA 
 517
 3,597
 
 517
 3,597
 43
 2018 1970 1700 Market Street
Canonsburg, PA 
 911
 4,830
 
 911
 4,830
 63
 2018 1986 113 West McMurray Road
Canton, OH 
 300
 2,098
 
 300
 2,098
 1,115
 1998 1998 1119 Perry Dr., N.W.


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Canton, MI 
 1,399
 16,971
 
 1,399
 16,971
 195
 2018 2005 7025 Lilley Road
Cape Coral, FL 
 530
 3,281
 
 530
 3,281
 1,473
 2002 2000 911 Santa Barbara Blvd.
Cape Coral, FL 8,337
 760
 18,868
 
 760
 18,868
 3,282
 2012 2009 831 Santa Barbara Boulevard
Cape May Court House, NJ 
 1,440
 17,002
 1,775
 1,440
 18,777
 2,265
 2014 1990 144 Magnolia Drive
Carlisle, PA 
 978
 8,207
 
 978
 8,207
 100
 2018 1987 940 Walnut Bottom Road
Carmel, IN 
 1,700
 19,491
 1
 1,700
 19,492
 1,971
 2015 2015 12315 Pennsylvania Street
Carmel, IN 
 1,583
 6,071
 
 1,583
 6,071
 80
 2018 1985 12999 North Pennsylvania Street
Carmel, IN 
 
 2,296
 
 
 2,296
 25
 2018 1985 12999 North Pennsylvania Street
Carrollton, TX 
 2,010
 19,549
 
 2,010
 19,549
 1,194
 2014 2016 2645 East Trinity Mills Road
Cary, NC 
 1,500
 4,350
 986
 1,500
 5,336
 2,698
 1998 1996 111 MacArthur
Castleton, IN 
 920
 15,137
 
 920
 15,137
 1,885
 2014 2013 8405 Clearvista Lake
Cedar Grove, NJ 
 2,850
 27,737
 20
 2,850
 27,757
 5,981
 2011 1970 536 Ridge Road
Cedar Rapids, IA 
 596
 9,354
 
 596
 9,354
 105
 2018 1965 1940 1st Avenue Northeast
Centerville, OH 
 920
 3,960
 
 920
 3,960
 69
 2018 1997 1001 E. Alex Bell Road
Centreville, MD 
 600
 14,602
 241
 600
 14,843
 3,242
 2011 1978 205 Armstrong Avenue
Chagrin Falls, OH 
 832
 10,841
 
 832
 10,841
 130
 2018 1999 8100 East Washington Street
Chambersburg, PA 
 1,373
 8,864
 
 1,373
 8,864
 112
 2018 1976 1070 Stouffer Avenue
Chapel Hill, NC 
 354
 2,646
 783
 354
 3,429
 1,508
 2002 1997 100 Lanark Rd.
Charleston, SC 
 1,333
 5,556
 
 1,333
 5,556
 67
 2018 1982 1137 Sam Rittenberg Boulevard
Charleston, WV 
 440
 17,575
 306
 440
 17,881
 3,680
 2011 1998 1000 Association Drive, North Gate Business Park
Chatham, VA 
 320
 14,039
 
 320
 14,039
 1,814
 2014 2009 100 Rorer Street
Cherry Hill, NJ 
 1,416
 9,874
 
 1,416
 9,874
 123
 2018 1997 2700 Chapel Avenue West
Chester, VA 
 1,320
 18,127
 
 1,320
 18,127
 2,292
 2014 2009 12001 Iron Bridge Road
Chevy Chase, MD 
 4,515
 8,688
 
 4,515
 8,688
 102
 2018 1964 8700 Jones Mill Road
Chickasha, OK 
 85
 1,395
 
 85
 1,395
 831
 1996 1996 801 Country Club Rd.
Chillicothe, OH 
 1,145
 8,997
 
 1,145
 8,997
 105
 2018 1977 1058 Columbus Street
Cincinnati, OH 
 912
 14,014
 
 912
 14,014
 166
 2018 2000 6870 Clough Pike
Citrus Heights, CA 
 5,207
 31,725
 
 5,207
 31,725
 354
 2018 1988 7807 Upland Way
Claremore, OK 
 155
 1,427
 6,130
 155
 7,557
 1,597
 1996 1996 1605 N. Hwy. 88
Clarksville, TN 
 330
 2,292
 
 330
 2,292
 1,213
 1998 1998 2183 Memorial Dr.
Clayton, NC 
 520
 15,733
 
 520
 15,733
 1,771
 2014 2013 84 Johnson Estate Road
Cleburne, TX 
 520
 5,369
 
 520
 5,369
 1,669
 2006 2007 402 S Colonial Drive
Clevedon, UK 
 2,838
 16,927
 667
 2,933
 17,499
 1,998
 2014 1994 18/19 Elton Road
Cobham, UK 
 9,808
 24,991
 1,176
 10,139
 25,836
 3,657
 2013 2013 Redhill Road
Colchester, CT 
 980
 4,860
 544
 980
 5,404
 1,444
 2011 1986 59 Harrington Court
Colorado Springs, CO 
 4,280
 62,168
 
 4,280
 62,168
 5,328
 2015 2008 1605 Elm Creek View
Colorado Springs, CO 
 1,730
 25,493
 693
 1,730
 26,186
 1,972
 2016 2016 2818 Grand Vista Circle
Columbia, TN 
 341
 2,295
 
 341
 2,295
 1,218
 1999 1999 5011 Trotwood Ave.
Columbia, SC 
 1,699
 2,320
 
 1,699
 2,320
 30
 2018 1968 2601 Forest Drive
Columbia Heights, MN 
 825
 14,175
 163
 825
 14,338
 2,738
 2011 2009 3807 Hart Boulevard
Columbus, IN 
 610
 3,190
 
 610
 3,190
 764
 2010 1998 2564 Foxpointe Dr.
Concord, NC 
 550
 3,921
 55
 550
 3,976
 1,782
 2003 1997 2452 Rock Hill Church Rd.
Concord, NH 
 1,760
 43,179
 634
 1,760
 43,813
 9,027
 2011 1994 239 Pleasant Street
Congleton, UK 
 2,036
 5,120
 241
 2,104
 5,293
 575
 2014 1994 Rood Hill
Conroe, TX 
 980
 7,771
 
 980
 7,771
 1,965
 2009 2010 903 Longmire Road

(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Coppell, TX 
 1,550
 8,386
 100
 1,550
 8,486
 1,347
 2012 2013 1530 East Sandy Lake Road
Corby, UK 
 1,228
 5,144
 398
 1,157
 5,613
 248
 2017 1997 25 Rockingham Road
Coventry, UK 
 1,962
 13,830
 533
 2,028
 14,297
 1,430
 2015 2014 Banner Lane, Tile Hill
Crawfordsville, IN 
 720
 17,239
 1,426
 720
 18,665
 2,245
 2014 2013 517 Concord Road
Dallastown, PA 
 1,377
 16,802
 
 1,377
 16,802
 200
 2018 1979 100 West Queen Street
Danville, VA 
 410
 3,954
 722
 410
 4,676
 1,963
 2003 1998 149 Executive Ct.
Danville, VA 
 240
 8,436
 
 240
 8,436
 1,087
 2014 1996 508 Rison Street
Daphne, AL 
 2,880
 8,670
 384
 2,880
 9,054
 1,625
 2012 2001 27440 County Road 13
Davenport, IA 
 566
 2,017
 
 566
 2,017
 25
 2018 1966 815 East Locust Street
Davenport, IA 
 910
 20,043
 
 910
 20,043
 231
 2018 2008 3800 Commerce Blvd.
Dayton, OH 
 1,188
 5,414
 
 1,188
 5,414
 69
 2018 1977 1974 North Fairfield Road
Dearborn Heights, MI 
 1,197
 3,396
 
 1,197
 3,396
 47
 2018 1964 26001 Ford Road
Decatur, GA 
 1,413
 13,800
 
 1,413
 13,800
 152
 2018 1977 2722 North Decatur Road
Delray Beach, FL 
 1,158
 13,576
 
 1,158
 13,576
 162
 2018 1998 16150 Jog Road
Delray Beach, FL 
 2,125
 11,844
 
 2,125
 11,844
 146
 2018 1998 16200 Jog Road
Denton, TX 
 1,760
 8,305
 100
 1,760
 8,405
 1,799
 2010 2011 2125 Brinker Rd
Denver, CO 
 1,450
 19,389
 3,133
 1,450
 22,522
 4,292
 2012 1997 4901 South Monaco Street
Denver, CO 
 3,222
 24,811
 
 3,222
 24,811
 275
 2018 1988 290 South Monaco Parkway
Derby, UK 
 2,359
 8,539
 
 2,359
 8,539
 712
 2014 2015 Rykneld Road
Dover, DE 
 600
 22,266
 141
 600
 22,407
 4,718
 2011 1984 1080 Silver Lake Blvd.
Dublin, OH 
 1,393
 2,912
 
 1,393
 2,912
 42
 2018 2014 4075 W. Dublin-Granville Road
Dubuque, IA 
 568
 8,904
 
 568
 8,904
 100
 2018 1971 901 West Third Street
Dundalk, MD 
 1,770
 32,047
 784
 1,770
 32,831
 6,877
 2011 1978 7232 German Hill Road
Dunedin, FL 
 1,883
 13,329
 
 1,883
 13,329
 151
 2018 1983 870 Patricia Avenue
Durham, NC 
 1,476
 10,659
 2,196
 1,476
 12,855
 11,898
 1997 1999 4434 Ben Franklin Blvd.
Eagan, MN 16,470
 2,260
 31,643
 300
 2,260
 31,943
 2,737
 2015 2004 3810 Alder Avenue
East Brunswick, NJ 
 1,380
 34,229
 849
 1,380
 35,078
 6,708
 2011 1998 606 Cranbury Rd.
Eastbourne, UK 
 4,071
 24,438
 964
 4,209
 25,264
 2,847
 2014 1999 Carew Road
Easton, PA 
 1,109
 7,502
 
 1,109
 7,502
 116
 2018 2015 4100 Freemansburg Avenue
Easton, PA 
 1,430
 13,400
 
 1,430
 13,400
 160
 2018 1981 2600 Northampton Street
Easton, PA 
 1,620
 10,052
 
 1,620
 10,052
 142
 2018 2000 4100 Freemansburg Avenue
Eden, NC 
 390
 4,877
 
 390
 4,877
 2,046
 2003 1998 314 W. Kings Hwy.
Edmond, OK 
 410
 8,388
 
 410
 8,388
 1,543
 2012 2001 15401 North Pennsylvania Avenue
Edmond, OK 
 1,810
 14,849
 2,630
 1,810
 17,479
 2,118
 2014 1985 1225 Lakeshore Drive
Edmond, OK 
 1,650
 25,167
 
 1,650
 25,167
 1,300
 2014 2017 2709 East Danforth Road
Elizabeth City, NC 
 200
 2,760
 2,011
 200
 4,771
 2,264
 1998 1999 400 Hastings Lane
Elk Grove Village, IL 
 1,344
 7,076
 
 1,344
 7,076
 88
 2018 1995 1940 Nerge Road Elk
Elk Grove Village, IL 
 3,733
 18,751
 
 3,733
 18,751
 207
 2018 1988 1920 Nerge Road
Emeryville, CA 
 2,560
 57,491
 641
 2,560
 58,132
 6,734
 2014 2010 1440 40th Street
Englewood, NJ 
 930
 4,514
 26
 930
 4,540
 1,075
 2011 1966 333 Grand Avenue
Epsom, UK 36,932
 20,159
 34,803
 2,053
 20,840
 36,175
 1,933
 2016 2014 450-458 Reigate Road
Eureka, KS 
 50
 3,950
 71
 50
 4,021
 339
 2015 1994 1820 E River St
Everett, WA 
 1,400
 5,476
 
 1,400
 5,476
 2,819
 1999 1999 2015 Lake Heights Dr.
Exton, PA 
 3,600
 27,267
 
 3,600
 27,267
 299
 2017 2018 501 Thomas Jones Way
Fairfax, VA 
 1,827
 17,309
 
 1,827
 17,309
 208
 2018 1997 12469 Lee Jackson Mem Highway


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Fairfax, VA 
 4,099
 17,620
 
 4,099
 17,620
 208
 2018 1990 12475 Lee Jackson Memorial Highway
Fairhope, AL 
 570
 9,119
 112
 570
 9,231
 1,656
 2012 1987 50 Spring Run Road
Fall River, MA 
 620
 5,829
 4,856
 620
 10,685
 5,463
 1996 1973 1748 Highland Ave.
Fanwood, NJ 
 2,850
 55,175
 1,123
 2,850
 56,298
 10,633
 2011 1982 295 South Ave.
Faribault, MN 
 780
 11,539
 300
 780
 11,839
 964
 2015 2003 828 1st Street NE
Farmington, CT 
 1,693
 10,459
 
 1,693
 10,459
 128
 2018 1997 45 South Road
Farnborough, UK 
 2,036
 5,737
 262
 2,104
 5,931
 626
 2014 1980 Bruntile Close, Reading Road
Fayetteville, PA 
 2,150
 32,951
 2,013
 2,150
 34,964
 3,114
 2015 1991 6375 Chambersburg Road
Fayetteville, NY 
 410
 3,962
 500
 410
 4,462
 1,973
 2001 1997 5125 Highbridge St.
Findlay, OH 
 200
 1,800
 
 200
 1,800
 1,019
 1997 1997 725 Fox Run Rd.
Fishers, IN 
 1,500
 14,500
 
 1,500
 14,500
 3,540
 2010 2000 9745 Olympia Dr.
Fishersville, VA 
 788
 2,101
 
 788
 2,101
 437
 2018 1998 83 Cross Rd Ln
Flint, MI 
 1,271
 18,056
 
 1,271
 18,056
 202
 2018 1969 3011 North Center Road
Florence, NJ 
 300
 2,978
 
 300
 2,978
 1,332
 2002 1999 901 Broad St.
Florence, AL 
 353
 13,049
 223
 385
 13,240
 3,575
 2010 1999 3275 County Road 47
Flourtown, PA 
 1,800
 14,830
 266
 1,800
 15,096
 3,297
 2011 1908 350 Haws Lane
Flower Mound, TX 
 1,800
 8,414
 100
 1,800
 8,514
 1,539
 2011 2012 4141 Long Prairie Road
Floyd, VA 
 680
 3,618
 
 680
 3,618
 247
 2018 1979 237 Franklin Pike Rd SE
Flushing, MI 
 690
 1,702
 
 690
 1,702
 32
 2018 1999 640 Sunnyside Drive
Flushing, MI 
 1,415
 8,536
 
 1,415
 8,536
 105
 2018 1967 540 Sunnyside Drive
Folsom, CA 
 
 33,600
 
 1,582
 32,018
 5,004
 2013 2009 330 Montrose Drive
Forest City, NC 
 320
 4,497
 
 320
 4,497
 1,902
 2003 1999 493 Piney Ridge Rd.
Fort Ashby, WV 
 330
 19,566
 356
 330
 19,922
 4,054
 2011 1980 Diane Drive, Box 686
Fort Collins, CO 
 3,680
 58,608
 
 3,680
 58,608
 5,006
 2015 2007 4750 Pleasant Oak Drive
Fort Collins, CO 
 890
 4,532
 
 890
 4,532
 89
 2018 1965 1005 East Elizabeth
Fort Wayne, IN 
 170
 8,232
 
 170
 8,232
 2,649
 2006 2006 2626 Fairfield Ave.
Fort Worth, TX 
 450
 13,615
 5,086
 450
 18,701
 4,213
 2010 2011 425 Alabama Ave.
Fort Worth, TX 
 2,080
 27,888
 2,401
 2,080
 30,289
 7,355
 2012 2001 2151 Green Oaks Road
Fountain Valley, CA 
 5,259
 9,379
 
 5,259
 9,379
 110
 2018 1988 11680 Warner Avenue
Franconia, NH 
 360
 11,320
 70
 360
 11,390
 2,433
 2011 1971 93 Main Street
Fredericksburg, VA 
 1,000
 20,000
 1,200
 1,000
 21,200
 7,399
 2005 1999 3500 Meekins Dr.
Fredericksburg, VA 
 1,130
 23,202
 
 1,130
 23,202
 2,704
 2014 2010 140 Brimley Drive
Fresno, CA 
 2,500
 35,800
 118
 2,500
 35,918
 9,497
 2008 1991 7173 North Sharon Avenue
Ft. Myers, FL 
 1,110
 10,562
 
 1,110
 10,562
 128
 2018 1999 15950 McGregor Boulevard
Ft. Myers, FL 
 2,139
 18,240
 
 2,139
 18,240
 215
 2018 1990 1600 Matthew Drive
Ft. Myers, FL 
 2,502
 9,744
 
 2,502
 9,744
 139
 2018 2000 13881 Eagle Ridge Drive
Galesburg, IL 
 1,708
 3,841
 
 1,708
 3,841
 46
 2018 1964 280 East Losey Street
Gardner, KS 
 200
 2,800
 93
 200
 2,893
 259
 2015 2000 869 Juniper Terrace
Gardnerville, NV 
 1,143
 10,831
 1,118
 1,164
 11,928
 8,904
 1998 1999 1565-A Virginia Ranch Rd.
Gastonia, NC 
 470
 6,129
 
 470
 6,129
 2,535
 2003 1998 1680 S. New Hope Rd.
Gastonia, NC 
 310
 3,096
 22
 310
 3,118
 1,355
 2003 1994 1717 Union Rd.
Gastonia, NC 
 400
 5,029
 120
 400
 5,149
 2,143
 2003 1996 1750 Robinwood Rd.
Geneva, IL 
 1,502
 16,198
 
 1,502
 16,198
 191
 2018 2000 2388 Bricher Road
Georgetown, TX 
 200
 2,100
 
 200
 2,100
 1,177
 1997 1997 2600 University Dr., E.
Gig Harbor, WA 
 1,560
 15,947
 275
 1,583
 16,199
 4,269
 2010 1994 3213 45th St. Court NW


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Gig Harbor, WA 
 3,000
 4,463
 
 3,000
 4,463
 64
 2018 1990 3309 45th Street Court Northwest
Glen Ellyn, IL 
 1,496
 6,636
 
 1,496
 6,636
 87
 2018 2001 2S706 Park Boulevard
Granbury, TX 
 2,550
 2,940
 777
 2,550
 3,717
 737
 2012 1996 916 East Highway 377
Grand Ledge, MI 
 1,150
 16,286
 5,119
 1,150
 21,405
 4,313
 2010 1999 4775 Village Dr
Granger, IN 
 1,670
 21,280
 2,401
 1,670
 23,681
 5,011
 2010 2009 6330 North Fir Rd
Grapevine, TX 
 2,220
 17,648
 
 2,220
 17,648
 1,554
 2013 2014 4545 Merlot Drive
Great Falls, MT 
 630
 6,007
 
 630
 6,007
 357
 2018 2001 1801 9th Street South
Greeley, CO 
 1,077
 18,051
 
 1,077
 18,051
 806
 2017 2009 5300 West 29th Street
Greenfield, WI 
 
 15,204
 
 890
 14,314
 2,085
 2013 1983 5017 South 110th Street
Greensboro, NC 
 330
 2,970
 554
 330
 3,524
 1,506
 2003 1996 5809 Old Oak Ridge Rd.
Greensboro, NC 
 560
 5,507
 1,013
 560
 6,520
 2,770
 2003 1997 4400 Lawndale Dr.
Greenville, SC 
 1,751
 8,774
 
 1,751
 8,774
 106
 2018 1966 600 Sulphur Springs Road
Greenville, SC 
 947
 1,445
 
 947
 1,445
 29
 2018 1976 601 Sulphur Springs Road
Greenville, NC 
 290
 4,393
 168
 290
 4,561
 1,882
 2003 1998 2715 Dickinson Ave.
Greenwood, IN 
 1,550
 22,770
 81
 1,550
 22,851
 4,932
 2010 2007 2339 South SR 135
Grosse Pointe, MI 
 867
 2,386
 
 867
 2,386
 30
 2018 1964 21401 Mack Avenue
Groton, CT 
 2,430
 19,941
 968
 2,430
 20,909
 4,784
 2011 1975 1145 Poquonnock Road
Hamilton, NJ 
 440
 4,469
 
 440
 4,469
 1,990
 2001 1998 1645 Whitehorse-Mercerville Rd.
Hanahan, SC 
 1,944
 3,988
 
 1,944
 3,988
 57
 2018 1989 1800 Eagle Landing Boulevard
Hanford, UK 
 1,382
 9,829
 378
 1,428
 10,161
 1,453
 2013 2012 Bankhouse Road
Harrisburg, PA 
 569
 12,826
 
 569
 12,826
 150
 2018 2000 2625 Ailanthus Lane
Harrow, UK 
 7,402
 8,266
 529
 7,652
 8,545
 964
 2014 2001 177 Preston Hill
Hatboro, PA 
 
 28,112
 1,771
 
 29,883
 6,096
 2011 1996 3485 Davisville Road
Hatboro, PA 
 1,192
 7,611
 
 1,192
 7,611
 122
 2018 2000 779 West County Line Road
Hatfield, UK 
 2,924
 7,527
 353
 3,023
 7,781
 1,121
 2013 2012 St Albans Road East
Hattiesburg, MS 
 450
 13,469
 
 450
 13,469
 2,732
 2010 2009 217 Methodist Hospital Blvd
Hemet, CA 
 6,224
 8,414
 
 6,224
 8,414
 102
 2018 1989 1717 West Stetson Avenue
Henry, IL 
 1,860
 3,689
 
 1,860
 3,689
 43
 2018 1987 1650 Old Indian Town Road
Hermitage, TN 
 1,500
 9,943
 188
 1,500
 10,131
 1,953
 2011 2006 4131 Andrew Jackson Parkway
Herne Bay, UK 
 1,900
 24,353
 1,602
 1,964
 25,891
 3,934
 2013 2011 165 Reculver Road
Hiawatha, KS 
 40
 4,210
 29
 40
 4,239
 371
 2015 1996 400 Kansas Ave
Hickory, NC 
 290
 987
 232
 290
 1,219
 650
 2003 1994 2530 16th St. N.E.
High Point, NC 
 560
 4,443
 793
 560
 5,236
 2,205
 2003 2000 1568 Skeet Club Rd.
High Point, NC 
 370
 2,185
 410
 370
 2,595
 1,149
 2003 1999 1564 Skeet Club Rd.
High Point, NC 
 330
 3,395
 28
 330
 3,423
 1,450
 2003 1994 201 W. Hartley Dr.
High Point, NC 
 430
 4,143
 
 430
 4,143
 1,743
 2003 1998 1560 Skeet Club Rd.
Highland Park, IL 
 2,820
 15,832
 189
 2,820
 16,021
 2,557
 2011 2012 1651 Richfield Avenue
Highlands Ranch, CO 
 940
 3,721
 4,983
 940
 8,704
 2,303
 2002 1999 9160 S. University Blvd.
Hillsboro, OH 
 1,792
 6,341
 
 1,792
 6,341
 105
 2018 1983 1141 Northview Drive
Hinckley, UK 
 2,159
 4,194
 215
 2,232
 4,336
 684
 2013 2013 Tudor Road
Hindhead, UK 44,662
 17,852
 48,645
 2,466
 18,455
 50,508
 2,649
 2016 2012 Portsmouth Road
Hinsdale, IL 
 4,033
 24,287
 
 4,033
 24,287
 270
 2018 1971 600 W Ogden Avenue
Hockessin, DE 
 1,120
 6,308
 1,247
 1,120
 7,555
 941
 2014 1992 100 Saint Claire Drive
Holton, KS 
 40
 7,460
 13
 40
 7,473
 611
 2015 1996 410 Juniper Dr
Homewood, IL 
 2,395
 7,652
 
 2,395
 7,652
 87
 2018 1989 940 Maple Avenue


(Dollars in thousands)   Initial Cost to Company  ��Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Houston, TX 
 1,040
 31,965
 4,969
 1,040
 36,934
 7,493
 2012 1999 505 Bering Drive
Howard, WI 
 579
 32,122
 10
 579
 32,132
 1,099
 2017 2016 2790 Elm Tree Hill
Huntingdon Valley, PA 
 1,150
 3,730
 
 1,150
 3,730
 63
 2018 1993 3430 Huntingdon Pike
Hyattsville, MD 
 4,017
 2,298
 
 4,017
 2,298
 33
 2018 1964 6500 Riggs Road
Independence, VA 
 1,082
 6,767
 
 1,082
 6,767
 438
 2018 1998 400 S Independence Ave
Indianapolis, IN 
 870
 14,688
 
 870
 14,688
 1,837
 2014 2014 1635 N Arlington Avenue
Indianapolis, IN 
 1,105
 6,645
 
 1,105
 6,645
 76
 2018 1979 8549 South Madison Avenue
Jackson, NJ 
 6,500
 26,405
 3,107
 6,500
 29,512
 4,577
 2012 2001 2 Kathleen Drive
Jacksonville, FL 
 750
 25,231
 
 750
 25,231
 1,645
 2013 2014 5939 Roosevelt Boulevard
Jacksonville, FL 
 
 26,381
 1,691
 1,691
 26,381
 1,716
 2013 2014 4000 San Pablo Parkway
Jacksonville, FL 
 1,752
 2,553
 
 1,752
 2,553
 31
 2018 1989 8495 Normandy Boulevard Jacksonville
Jacksonville, FL 
 2,182
 9,491
 
 2,182
 9,491
 123
 2018 1980 3648 University Boulevard South
Jefferson Hills, PA 
 2,265
 13,618
 
 2,265
 13,618
 233
 2018 1997 380 Wray Large Road
Jersey Shore, PA 
 600
 8,107
 
 600
 8,107
 89
 2018 1973 1008 Thompson Street
Kansas City, KS 
 700
 20,115
 
 700
 20,115
 1,646
 2015 2015 8900 Parallel Parkway
Katy, TX 
 1,778
 22,622
 
 1,778
 22,622
 1,047
 2017 2015 24802 Kingsland Boulevard
Kenner, LA 
 1,100
 10,036
 349
 1,100
 10,385
 9,529
 1998 2000 1600 Joe Yenni Blvd
Kensington, MD 
 1,753
 18,626
 
 1,753
 18,626
 211
 2018 2002 4301 Knowles Avenue
Kenwood, OH 
 821
 11,043
 
 821
 11,043
 129
 2018 2000 4580 East Galbraith Road
Kettering, OH 
 1,229
 4,703
 
 1,229
 4,703
 63
 2018 1977 3313 Wilmington Pike
King of Prussia, PA 
 720
 14,780
 
 720
 14,780
 180
 2018 1995 620 West Valley Forge Road
King of Prussia, PA 
 1,205
 4,727
 
 1,205
 4,727
 68
 2018 1990 600 West Valley Forge Road
Kingsford, MI 
 1,362
 10,598
 
 1,362
 10,598
 129
 2018 1968 1225 Woodward Avenue
Kingston, PA 
 986
 5,711
 
 986
 5,711
 68
 2018 1974 200 Second Avenue
Kingston upon Thames, UK 53,595
 33,063
 46,696
 2,926
 34,181
 48,504
 2,573
 2016 2014 Coombe Lane West
Kirkland, WA 
 1,880
 4,315
 683
 1,880
 4,998
 1,911
 2003 1996 6505 Lakeview Dr.
Kirkstall, UK 
 2,437
 9,414
 401
 2,519
 9,733
 1,396
 2013 2009 29 Broad Lane
Kokomo, IN 
 710
 16,044
 
 710
 16,044
 2,001
 2014 2014 2200 S. Dixon Rd
Lacey, WA 
 2,582
 18,180
 
 2,582
 18,180
 209
 2018 2012 4524 Intelco Loop SE
Lafayette, LA 
 1,928
 10,483
 26
 1,928
 10,509
 4,581
 2006 1993 204 Energy Parkway
Lafayette, CO 
 1,420
 20,192
 
 1,420
 20,192
 2,001
 2015 2015 329 Exempla Circle
Lafayette, IN 
 670
 16,833
 1
 670
 16,834
 1,870
 2015 2014 2402 South Street
Lakeway, TX 
 5,142
 23,203
 
 5,142
 23,203
 3,272
 2007 2011 2000 Medical Dr
Lakewood, CO 
 2,160
 28,091
 62
 2,160
 28,153
 3,561
 2014 2010 7395 West Eastman Place
Lakewood Ranch, FL 
 650
 6,714
 1,988
 650
 8,702
 1,484
 2011 2012 8230 Nature's Way
Lakewood Ranch, FL 
 1,000
 22,388
 
 1,000
 22,388
 3,822
 2012 2005 8220 Natures Way
Lancaster, PA 
 1,680
 14,039
 
 1,680
 14,039
 761
 2015 2017 31 Millersville Road
Lancaster, PA 
 1,011
 7,504
 
 1,011
 7,504
 89
 2018 1966 100 Abbeyville Road
LaPlata, MD 
 700
 19,068
 466
 700
 19,534
 4,198
 2011 1984 One Magnolia Drive
Largo, MD 
 3,361
 3,623
 
 3,361
 3,623
 50
 2018 1978 600 Largo Road
Largo, FL 
 1,166
 3,427
 
 1,166
 3,427
 53
 2018 1997 300 Highland Avenue Northeast
Las Vegas, NV 
 580
 23,420
 
 580
 23,420
 4,594
 2011 2002 2500 North Tenaya Way
Laureldale, PA 
 1,171
 14,424
 
 1,171
 14,424
 166
 2018 1980 2125 Elizabeth Avenue
Lawrence, KS 
 250
 8,716
 
 250
 8,716
 1,471
 2012 1996 3220 Peterson Road
Leawood, KS 
 2,490
 32,493
 2,209
 5,610
 31,582
 7,303
 2012 1999 4400 West 115th Street


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Lebanon, PA 
 728
 10,370
 
 728
 10,370
 130
 2018 1998 100 Tuck Court
Lebanon, PA 
 1,214
 5,962
 
 1,214
 5,962
 84
 2018 1980 900 Tuck Street
Lee, MA 
 290
 18,135
 926
 290
 19,061
 8,404
 2002 1998 600 & 620 Laurel St.
Leeds, UK 
 1,974
 13,239
 515
 2,041
 13,687
 1,305
 2015 2013 100 Grove Lane
Leicester, UK 
 3,060
 24,410
 928
 3,163
 25,235
 3,953
 2012 2010 307 London Road
Lenoir, NC 
 190
 3,748
 641
 190
 4,389
 1,842
 2003 1998 1145 Powell Rd., N.E.
Lethbridge, AB 1,312
 1,214
 2,750
 61
 1,232
 2,793
 422
 2014 2003 785 Columbia Boulevard West
Lexana, KS 
 480
 1,770
 152
 480
 1,922
 184
 2015 1994 8710 Caenen Lake Rd
Lexington, NC 
 200
 3,900
 1,015
 200
 4,915
 2,127
 2002 1997 161 Young Dr.
Libertyville, IL 
 6,500
 40,024
 
 6,500
 40,024
 8,481
 2011 2001 901 Florsheim Dr
Libertyville, IL 
 2,993
 11,550
 
 2,993
 11,550
 130
 2018 1988 1500 South Milwaukee
Lichfield, UK 
 1,382
 30,324
 1,071
 1,428
 31,349
 3,020
 2015 2012 Wissage Road
Lillington, NC 
 470
 17,579
 
 470
 17,579
 2,112
 2014 2013 54 Red Mulberry Way
Lillington, NC 
 500
 16,451
 
 500
 16,451
 1,855
 2014 1999 2041 NC-210 N
Lincoln, NE 
 390
 13,807
 95
 390
 13,902
 3,154
 2010 2000 7208 Van Dorn St.
Lititz, PA 
 1,200
 13,836
 
 1,200
 13,836
 752
 2015 2016 80 West Millport Road
Livermore, CA 
 4,100
 24,996
 
 4,100
 24,996
 2,642
 2014 1974 35 Fenton Street
Livonia, MI 
 985
 13,558
 
 985
 13,558
 164
 2018 1999 32500 Seven Mile Road
Livonia, MI 
 1,836
 2,278
 
 1,836
 2,278
 33
 2018 1960 28550 Five Mile Road
Longview, TX 
 610
 5,520
 
 610
 5,520
 1,725
 2006 2007 311 E Hawkins Pkwy
Longwood, FL 
 1,260
 6,445
 
 1,260
 6,445
 1,362
 2011 2011 425 South Ronald Reagan Boulevard
Louisburg, KS 
 280
 4,320
 44
 280
 4,364
 360
 2015 1996 202 Rogers St
Louisville, KY 
 490
 10,010
 2,768
 490
 12,778
 4,869
 2005 1978 4604 Lowe Rd
Loxley, UK 
 1,369
 15,668
 577
 1,416
 16,198
 2,474
 2013 2008 Loxley Road
Lutherville, MD 
 1,100
 19,786
 1,744
 1,100
 21,530
 4,472
 2011 1988 515 Brightfield Road
Lynchburg, VA 
 340
 16,114
 
 340
 16,114
 1,964
 2014 2013 189 Monica Blvd
Lynchburg, VA 
 2,904
 3,697
 
 2,904
 3,697
 43
 2018 1978 2200 Landover Place
Lynnwood, WA 
 2,308
 5,634
 
 2,308
 5,634
 67
 2018 1987 3701 188th Street
Macomb, IL 
 1,586
 4,059
 
 1,586
 4,059
 46
 2018 1966 8 Doctors Lane
Macungie, PA 
 960
 29,033
 84
 960
 29,117
 6,047
 2011 1994 1718 Spring Creek Road
Manalapan, NJ 
 900
 22,624
 622
 900
 23,246
 4,447
 2011 2001 445 Route 9 South
Manassas, VA 
 750
 7,446
 530
 750
 7,976
 3,092
 2003 1996 8341 Barrett Dr.
Mankato, MN 
 1,460
 32,104
 300
 1,460
 32,404
 2,620
 2015 2006 100 Dublin Road
Mansfield, TX 
 660
 5,251
 
 660
 5,251
 1,659
 2006 2007 2281 Country Club Dr
Marietta, OH 
 1,149
 9,376
 
 1,149
 9,376
 109
 2018 1977 5001 State Route 60
Marietta, GA 
 2,406
 12,233
 
 2,406
 12,233
 140
 2018 1980 4360 Johnson Ferry Place
Marietta, PA 
 1,050
 13,633
 270
 1,050
 13,903
 1,226
 2015 1999 2760 Maytown Road
Marion, IN 
 720
 12,750
 1,136
 720
 13,886
 1,675
 2014 2012 614 W. 14th Street
Marion, IN 
 990
 9,190
 824
 990
 10,014
 1,432
 2014 1976 505 N. Bradner Avenue
Marion, OH 
 2,768
 17,420
 
 2,768
 17,420
 259
 2018 2004 400 Barks Road West
Marlborough, UK 
 2,677
 6,822
 322
 2,768
 7,053
 777
 2014 1999 The Common
Marlow, UK 
 9,068
 39,720
 
 9,068
 39,720
 2,869
 2013 2014 210 Little Marlow Road
Martinsville, VA 
 349
 
 
 349
 
 
 2003 1900 Rolling Hills Rd. & US Hwy. 58
Marysville, WA 
 620
 4,780
 969
 620
 5,749
 2,233
 2003 1998 9802 48th Dr. N.E.
Matawan, NJ 
 1,830
 20,618
 166
 1,830
 20,784
 4,158
 2011 1965 625 State Highway 34


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Matthews, NC 
 560
 4,738
 
 560
 4,738
 2,031
 2003 1998 2404 Plantation Center Dr.
McHenry, IL 
 1,576
 
 
 1,576
 
 
 2006 1900 5200 Block of Bull Valley Road
McKinney, TX 
 1,570
 7,389
 
 1,570
 7,389
 1,881
 2009 2010 2701 Alma Rd.
McMurray, PA 
 1,440
 15,805
 3,894
 1,440
 19,699
 3,641
 2010 2011 240 Cedar Hill Dr
Mechanicsburg, PA 
 1,350
 16,650
 
 1,350
 16,650
 3,344
 2011 1971 4950 Wilson Lane
Medicine Hat, AB 2,156
 932
 5,566
 98
 946
 5,650
 679
 2014 1999 65 Valleyview Drive SW
Menomonee Falls, WI 
 1,020
 6,984
 1,652
 1,020
 8,636
 2,285
 2006 2007 W128 N6900 Northfield Drive
Mentor, OH 
 1,827
 9,941
 
 1,827
 9,941
 117
 2018 1985 8200 Mentor Hills Drive
Mercerville, NJ 
 860
 9,929
 173
 860
 10,102
 2,315
 2011 1967 2240 White Horse- Merceville Road
Meriden, CT 
 1,300
 1,472
 233
 1,300
 1,705
 736
 2011 1968 845 Paddock Ave
Merrillville, IN 
 700
 11,699
 154
 700
 11,853
 3,430
 2007 2008 9509 Georgia St.
Mesa, AZ 
 950
 9,087
 1,971
 950
 11,058
 5,022
 1999 2000 7231 E. Broadway
Miamisburg, OH 
 786
 3,233
 
 786
 3,233
 54
 2018 1983 450 Oak Ridge Boulevard
Middleburg Heights, OH 
 960
 7,780
 
 960
 7,780
 2,946
 2004 1998 15435 Bagley Rd.
Middleton, WI 
 420
 4,006
 600
 420
 4,606
 1,915
 2001 1991 6701 Stonefield Rd.
Midland, MI 
 200
 11,025
 5,522
 200
 16,547
 2,992
 2010 1994 2325 Rockwell Dr
Milton Keynes, UK 
 1,826
 18,654
 692
 1,888
 19,284
 1,913
 2015 2007 Tunbridge Grove, Kents Hill
Mishawaka, IN 
 740
 16,113
 
 740
 16,113
 2,067
 2014 2013 60257 Bodnar Blvd
Moline, IL 
 2,946
 18,677
 
 2,946
 18,677
 206
 2018 1964 833 Sixteenth Avenue
Monmouth Junction, NJ 
 720
 6,209
 86
 720
 6,295
 1,522
 2011 1996 2 Deer Park Drive
Monroe, NC 
 470
 3,681
 648
 470
 4,329
 1,850
 2003 2001 918 Fitzgerald St.
Monroe, NC 
 310
 4,799
 857
 310
 5,656
 2,316
 2003 2000 919 Fitzgerald St.
Monroe, NC 
 450
 4,021
 114
 450
 4,135
 1,764
 2003 1997 1316 Patterson Ave.
Monroe Township, NJ 
 3,250
 27,771
 270
 3,250
 28,041
 2,200
 2015 1996 319 Forsgate Drive
Monroeville, PA 
 1,216
 12,753
 
 1,216
 12,753
 179
 2018 1997 120 Wyngate Drive
Monroeville, PA 
 1,237
 3,642
 
 1,237
 3,642
 68
 2018 1996 885 MacBeth Drive
Montgomeryville, PA 
 1,176
 9,827
 
 1,176
 9,827
 122
 2018 1989 640 Bethlehem Pike
Montville, NJ 
 3,500
 31,002
 1,171
 3,500
 32,173
 6,238
 2011 1988 165 Changebridge Rd.
Moorestown, NJ 
 6,400
 23,875
 27
 6,400
 23,902
 3,239
 2012 2014 250 Marter Avenue
Morehead City, NC 
 200
 3,104
 1,648
 200
 4,752
 2,260
 1999 1999 107 Bryan St.
Morrison, CO 
 2,720
 16,261
 
 2,720
 16,261
 311
 2018 1974 150 Spring Street
Morton Grove, IL 
 1,900
 19,374
 159
 1,900
 19,533
 3,728
 2010 2011 5520 N. Lincoln Ave.
Moulton, UK 
 1,695
 12,510
 997
 1,597
 13,605
 568
 2017 1995 Northampton Lane North
Mount Pleasant, SC 
 
 17,200
 1
 4,052
 13,149
 3,228
 2013 1985 1200 Hospital Drive
Mountainside, NJ 
 3,097
 7,810
 
 3,097
 7,810
 93
 2018 1988 1180 Route 22
Nacogdoches, TX 
 390
 5,754
 
 390
 5,754
 1,792
 2006 2007 5902 North St
Naperville, IL 
 3,470
 29,547
 
 3,470
 29,547
 6,382
 2011 2001 504 North River Road
Naples, FL 
 1,222
 10,642
 
 1,222
 10,642
 133
 2018 1998 6125 Rattlesnake Hammock Road
Naples, FL 
 1,672
 26,170
 
 1,672
 26,170
 344
 2018 1993 1000 Lely Palms Drive
Naples, FL 
 1,854
 12,402
 
 1,854
 12,402
 140
 2018 1987 3601 Lakewood Boulevard
Nashville, TN 
 4,910
 29,590
 
 4,910
 29,590
 8,321
 2008 2007 15 Burton Hills Boulevard
Naugatuck, CT 
 1,200
 15,826
 199
 1,200
 16,025
 3,479
 2011 1980 4 Hazel Avenue
Needham, MA 
 1,610
 12,667
 
 1,610
 12,667
 5,327
 2002 1994 100 West St.
New Moston, UK 
 1,480
 4,378
 198
 1,530
 4,526
 676
 2013 2010 90a Broadway
Newcastle Under Lyme, UK 
 1,110
 5,655
 229
 1,148
 5,846
 834
 2013 2010 Hempstalls Lane


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Newcastle-under-Lyme, UK 
 1,125
 5,537
 225
 1,163
 5,724
 631
 2014 1999 Silverdale Road
Newport News, VA 
 839
 6,077
 
 839
 6,077
 407
 2018 1998 12997 Nettles Dr
Norman, OK 
 55
 1,484
 
 55
 1,484
 938
 1995 1995 1701 Alameda Dr.
Norman, OK 
 1,480
 33,330
 
 1,480
 33,330
 5,571
 2012 1985 800 Canadian Trails Drive
North Augusta, SC 
 332
 2,558
 
 332
 2,558
 1,348
 1999 1998 105 North Hills Dr.
Northampton, UK 
 5,182
 17,348
 762
 5,357
 17,935
 2,659
 2013 2011 Cliftonville Road
Northampton, UK 
 2,013
 6,257
 280
 2,081
 6,469
 674
 2014 2014 Cliftonville Road
Northbrook, IL 
 1,298
 13,341
 
 1,298
 13,341
 154
 2018 1999 3240 Milwaukee Avenue
Nuneaton, UK 
 3,325
 8,983
 415
 3,437
 9,286
 1,326
 2013 2011 132 Coventry Road
Nuthall, UK 
 1,628
 6,263
 268
 1,684
 6,475
 661
 2014 2014 172A Nottingham Road
Nuthall, UK 
 2,498
 10,436
 438
 2,583
 10,789
 1,556
 2013 2011 172 Nottingham Road
Oak Lawn, IL 
 2,418
 5,428
 
 2,418
 5,428
 62
 2018 1977 9401 South Kostner Avenue
Oak Lawn, IL 
 3,876
 7,988
 
 3,876
 7,988
 95
 2018 1960 6300 W 95th Street
Oakland, CA 
 4,760
 16,143
 109
 4,760
 16,252
 1,936
 2014 2002 468 Perkins Street
Ocala, FL 
 1,340
 10,564
 
 1,340
 10,564
 2,767
 2008 2009 2650 SE 18TH Avenue
Ogden, UT 
 384
 2,228
 
 384
 2,228
 310
 2018 1987 400 East 5350 South
Oklahoma City, OK 
 590
 7,513
 
 590
 7,513
 2,175
 2007 2008 13200 S. May Ave
Oklahoma City, OK 
 760
 7,017
 
 760
 7,017
 1,993
 2007 2009 11320 N. Council Road
Olathe, KS 
 1,930
 19,765
 553
 1,930
 20,318
 1,758
 2016 2015 21250 W 151 Street
Omaha, NE 
 370
 10,230
 
 370
 10,230
 2,369
 2010 1998 11909 Miracle Hills Dr.
Omaha, NE 
 380
 8,769
 
 380
 8,769
 2,144
 2010 1999 5728 South 108th St.
Ona, WV 
 950
 15,998
 222
 950
 16,220
 1,400
 2015 2007 100 Weatherholt Drive
Oneonta, NY 
 80
 5,020
 
 80
 5,020
 1,442
 2007 1996 1846 County Highway 48
Orange Park, FL 
 2,201
 4,018
 
 2,201
 4,018
 64
 2018 1990 570 Wells Road
Orem, UT 
 2,150
 24,107
 
 2,150
 24,107
 2,021
 2015 2014 250 East Center Street
Osage City, KS 
 50
 1,700
 142
 50
 1,842
 183
 2015 1996 1403 Laing St
Osawatomie, KS 
 130
 2,970
 136
 130
 3,106
 283
 2015 2003 1520 Parker Ave
Ottawa, KS 
 160
 6,590
 44
 160
 6,634
 556
 2015 2007 2250 S Elm St
Overland Park, KS 
 4,500
 29,105
 38,441
 8,230
 63,816
 15,377
 2010 1988 6101 W 119th St
Overland Park, KS 
 1,540
 16,269
 943
 1,670
 17,082
 3,342
 2012 1998 9201 Foster
Overland Park, KS 
 410
 2,840
 92
 410
 2,932
 279
 2015 2004 14430 Metcalf Ave
Overland Park, KS 
 1,300
 25,311
 677
 1,300
 25,988
 2,229
 2016 2015 7600 Antioch Road
Owasso, OK 
 215
 1,380
 
 215
 1,380
 801
 1996 1996 12807 E. 86th Place N.
Owensboro, KY 
 225
 13,275
 
 225
 13,275
 5,120
 2005 1964 1205 Leitchfield Rd.
Owenton, KY 
 100
 2,400
 
 100
 2,400
 1,108
 2005 1979 905 Hwy. 127 N.
Oxford, MI 
 1,430
 15,791
 
 1,430
 15,791
 3,625
 2010 2001 701 Market St
Palestine, TX 
 180
 4,320
 1,300
 180
 5,620
 1,814
 2006 2005 1625 W. Spring St.
Palm Beach Gardens, FL 
 2,082
 6,624
 
 2,082
 6,624
 87
 2018 1991 11375 Prosperity Farms Road
Palm Coast, FL 
 870
 10,957
 
 870
 10,957
 2,730
 2008 2010 50 Town Ct.
Palm Desert, CA 
 6,195
 8,922
 
 6,195
 8,922
 107
 2018 1989 74350 Country Club Drive
Palm Harbor, FL 
 1,306
 13,811
 
 1,306
 13,811
 171
 2018 1997 2895 Tampa Road
Palm Harbor, FL 
 3,281
 22,457
 
 3,281
 22,457
 273
 2018 1990 2851 Tampa Road
Palos Heights, IL 
 1,225
 12,457
 
 1,225
 12,457
 141
 2018 1999 7880 West College Drive
Palos Heights, IL 
 3,431
 28,812
 
 3,431
 28,812
 316
 2018 1987 7850 West College Drive
Palos Heights, IL 
 2,590
 7,647
 
 2,590
 7,647
 87
 2018 1996 11860 Southwest Hwy


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Panama City Beach, FL 
 900
 6,402
 620
 900
 7,022
 1,161
 2011 2005 6012 Magnolia Beach Road
Paola, KS 
 190
 5,610
 59
 190
 5,669
 483
 2015 2000 601 N. East Street
Paris, TX 
 490
 5,452
 
 490
 5,452
 4,421
 2005 2006 750 N Collegiate Dr
Parma, OH 
 960
 12,722
 
 960
 12,722
 155
 2018 1998 9205 Sprague Road
Parma, OH 
 1,833
 10,318
 
 1,833
 10,318
 141
 2018 2006 9055 West Sprague Road
Paulsboro, NJ 
 3,264
 8,026
 
 3,264
 8,026
 99
 2018 1987 550 Jessup Road
Pella, IA 
 870
 6,716
 89
 870
 6,805
 1,135
 2012 2002 2602 Fifield Road
Perrysburg, OH 
 1,456
 5,433
 
 1,456
 5,433
 68
 2018 1973 10540 Fremont Pike
Perrysburg, OH 
 1,213
 7,110
 
 1,213
 7,110
 82
 2018 1978 10542 Fremont Pike
Petoskey, MI 
 860
 14,452
 
 860
 14,452
 3,152
 2011 1997 965 Hager Dr
Philadelphia, PA 
 2,930
 10,433
 3,536
 2,930
 13,969
 3,206
 2011 1952 1526 Lombard Street
Phillipsburg, NJ 
 800
 21,175
 238
 800
 21,413
 4,650
 2011 1992 290 Red School Lane
Phillipsburg, NJ 
 300
 8,114
 101
 300
 8,215
 1,780
 2011 1905 843 Wilbur Avenue
Pikesville, MD 
 
 2,488
 
 
 2,488
 27
 2018 1998 8911 Reisterstown Road
Pikesville, MD 
 4,247
 8,383
 
 4,247
 8,383
 108
 2018 1996 8909 Reisterstown Road
Pinehurst, NC 
 290
 2,690
 484
 290
 3,174
 1,392
 2003 1998 17 Regional Dr.
Piqua, OH 
 204
 1,885
 
 204
 1,885
 1,024
 1997 1997 1744 W. High St.
Piscataway, NJ 
 3,100
 33,501
 
 3,100
 33,501
 1,423
 2013 2017 10 Sterling Drive
Pittsburgh, PA 
 603
 11,357
 
 603
 11,357
 137
 2018 1998 1125 Perry Highway
Pittsburgh, PA 
 1,005
 15,164
 
 1,005
 15,164
 177
 2018 1997 505 Weyman Road
Pittsburgh, PA 
 1,140
 3,166
 
 1,140
 3,166
 37
 2018 1962 550 South Negley Avenue
Pittsburgh, PA 
 994
 3,790
 
 994
 3,790
 63
 2018 1986 2170 Rhine Street
Pittsburgh, PA 
 761
 4,214
 
 761
 4,214
 47
 2018 1965 5609 Fifth Avenue
Pittsburgh, PA 
 1,480
 9,715
 
 1,480
 9,715
 128
 2018 1986 1105 Perry Highway
Pittsburgh, PA 
 1,139
 5,846
 
 1,139
 5,846
 75
 2018 1986 1848 Greentree Road
Pittsburgh, PA 
 1,750
 8,572
 6,322
 1,750
 14,894
 3,340
 2005 1998 100 Knoedler Rd.
Plainview, NY 
 3,990
 11,969
 1,186
 3,990
 13,155
 2,774
 2011 1963 150 Sunnyside Blvd
Plano, TX 
 1,840
 20,152
 560
 1,840
 20,712
 1,579
 2016 2016 3325 W Plano Parkway
Plattsmouth, NE 
 250
 5,650
 
 250
 5,650
 1,377
 2010 1999 1913 E. Highway 34
Plymouth, MI 
 1,490
 19,990
 330
 1,490
 20,320
 4,431
 2010 1972 14707 Northville Rd
Potomac, MD 
 1,448
 14,626
 
 1,448
 14,626
 167
 2018 1994 10718 Potomac Tennis Lane
Potomac, MD 
 4,119
 14,921
 
 4,119
 14,921
 176
 2018 1988 10714 Potomac Tennis Lane
Pottstown, PA 
 984
 4,565
 
 984
 4,565
 58
 2018 1907 724 North Charlotte Street
Pottsville, PA 
 171
 3,560
 
 171
 3,560
 42
 2018 1976 420 Pulaski Drive
Prior Lake, MN 13,806
 1,870
 29,849
 300
 1,870
 30,149
 2,435
 2015 2003 4685 Park Nicollet Avenue
Puyallup, WA 
 1,150
 20,776
 505
 1,156
 21,275
 5,775
 2010 1985 123 Fourth Ave. NW
Raleigh, NC 
 7,598
 88,870
 
 7,598
 88,870
 4,212
 2008 2017 4030 Cardinal at North Hills St
Raleigh, NC 
 3,530
 59,589
 
 3,530
 59,589
 9,825
 2012 2002 5301 Creedmoor Road
Raleigh, NC 
 2,580
 16,837
 
 2,580
 16,837
 2,965
 2012 1988 7900 Creedmoor Road
Reading, PA 
 980
 19,906
 140
 980
 20,046
 4,293
 2011 1994 5501 Perkiomen Ave
Red Bank, NJ 
 1,050
 21,275
 586
 1,050
 21,861
 4,176
 2011 1997 One Hartford Dr.
Reidsville, NC 
 170
 3,830
 857
 170
 4,687
 2,045
 2002 1998 2931 Vance St.
Reno, NV 
 1,060
 11,440
 659
 1,060
 12,099
 4,440
 2004 1998 5165 Summit Ridge Road
Rexburg, ID 
 1,267
 3,213
 
 1,267
 3,213
 383
 2018 1988 660 South 2nd West
Richardson, TX 
 1,468
 12,979
 
 1,468
 12,979
 154
 2018 1999 410 Buckingham Road


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Richmond, IN 
 700
 14,222
 393
 700
 14,615
 1,256
 2016 2015 400 Industries Road
Richmond, VA 
 
 12,000
 
 250
 11,750
 2,018
 2013 1989 2220 Edward Holland Drive
Richmond, VA 
 3,261
 17,980
 
 3,261
 17,980
 203
 2018 1990 1719 Bellevue Avenue
Richmond, VA 
 1,046
 8,235
 
 1,046
 8,235
 100
 2018 1966 2125 Hilliard Road
Ridgeland, MS 
 520
 7,675
 437
 520
 8,112
 3,162
 2003 1997 410 Orchard Park
Roanoke, VA 
 748
 4,483
 
 748
 4,483
 435
 2018 1997 4355 Pheasant Ridge Rd
Rochdale, MA 
 
 7,100
 
 690
 6,410
 1,039
 2013 1994 111 Huntoon Memorial Highway
Rockville Centre, NY 
 4,290
 20,310
 932
 4,290
 21,242
 4,259
 2011 2002 260 Maple Ave
Rockwall, TX 
 2,220
 17,650
 
 2,220
 17,650
 1,590
 2012 2014 720 E Ralph Hall Parkway
Romeoville, IL 
 1,895
 
 
 1,895
 
 
 2006 1900 Grand Haven Circle
Roseville, MN 
 2,140
 24,679
 100
 2,140
 24,779
 2,037
 2015 1989 2750 North Victoria Street
Roswell, GA 
 1,107
 9,627
 1,127
 1,114
 10,747
 8,139
 1997 1999 655 Mansell Rd.
Roswell, GA 
 2,080
 6,486
 1,130
 2,380
 7,316
 1,645
 2012 1997 75 Magnolia Street
Rugeley, UK 
 1,900
 10,262
 411
 1,964
 10,609
 1,603
 2013 2010 Horse Fair
Ruston, LA 
 710
 9,790
 
 710
 9,790
 2,133
 2011 1988 1401 Ezelle St
S Holland, IL 
 1,423
 8,910
 
 1,423
 8,910
 108
 2018 1997 2045 East 170th Street
Salem, OR 
 449
 5,171
 1
 449
 5,172
 2,706
 1999 1998 1355 Boone Rd. S.E.
Salisbury, NC 
 370
 5,697
 168
 370
 5,865
 2,422
 2003 1997 2201 Statesville Blvd.
San Angelo, TX 
 1,050
 24,689
 1,221
 1,050
 25,910
 3,073
 2014 1999 6101 Grand Court Road
San Antonio, TX 
 1,499
 12,662
 
 1,499
 12,662
 149
 2018 2000 15290 Huebner Road
San Antonio, TX 
 
 17,303
 
 
 17,303
 7,781
 2007 2007 8902 Floyd Curl Dr.
San Bernardino, CA 
 3,700
 14,300
 687
 3,700
 14,987
 3,865
 2008 1993 1760 W. 16th St.
San Diego, CA 
 
 22,003
 1,845
 
 23,848
 6,068
 2008 1992 555 Washington St.
Sand Springs, OK 
 910
 19,654
 
 910
 19,654
 3,346
 2012 2002 4402 South 129th Avenue West
Sarasota, FL 
 475
 3,175
 
 475
 3,175
 1,917
 1996 1995 8450 McIntosh Rd.
Sarasota, FL 
 4,101
 11,208
 
 4,101
 11,208
 212
 2018 1993 5401 Sawyer Road
Sarasota, FL 
 1,370
 4,084
 
 1,370
 4,084
 49
 2018 1968 3250 12th Street
Sarasota, FL 
 2,792
 11,177
 
 2,792
 11,177
 131
 2018 1993 5511 Swift Road
Sarasota, FL 
 3,360
 19,140
 
 3,360
 19,140
 3,681
 2011 2006 6150 Edgelake Drive
Sarasota, FL 
 443
 9,699
 
 443
 9,699
 120
 2018 1998 5509 Swift Road
Scranton, PA 
 440
 17,609
 
 440
 17,609
 2,032
 2014 2005 2741 Blvd. Ave
Scranton, PA 
 320
 12,144
 1
 320
 12,145
 1,400
 2014 2013 2751 Boulevard Ave
Seminole, FL 
 1,165
 8,977
 
 1,165
 8,977
 113
 2018 1998 9300 Antilles Drive
Seven Fields, PA 
 484
 4,663
 59
 484
 4,722
 2,475
 1999 1999 500 Seven Fields Blvd.
Severna Park, MD 
 2,120
 31,273
 808
 2,120
 32,081
 6,616
 2011 1981 24 Truckhouse Road
Sewell, NJ 
 3,127
 14,095
 
 3,127
 14,095
 188
 2018 2010 378 Fries Mill Road
Shawnee, OK 
 80
 1,400
 
 80
 1,400
 837
 1996 1995 3947 Kickapoo
Shelbyville, KY 
 630
 3,870
 630
 630
 4,500
 1,579
 2005 1965 1871 Midland Trail
Sherman, TX 
 700
 5,221
 
 700
 5,221
 1,696
 2005 2006 1011 E. Pecan Grove Rd.
Silver Spring, MD 
 1,469
 10,395
 
 1,469
 10,395
 122
 2018 1995 2505 Musgrove Road
Silver Spring, MD 
 4,678
 11,683
 
 4,678
 11,683
 146
 2018 1990 2501 Musgrove Road
Silvis, IL 
 880
 16,420
 139
 880
 16,559
 3,691
 2010 2005 1900 10th St.
Sinking Spring, PA 
 1,393
 19,848
 
 1,393
 19,848
 231
 2018 1982 3000 Windmill Road
Sittingbourne, UK 
 1,357
 6,539
 267
 1,403
 6,760
 715
 2014 1997 200 London Road
Smithfield, NC 
 290
 5,680
 
 290
 5,680
 2,363
 2003 1998 830 Berkshire Rd.


(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Smithfield, NC 
 360
 8,216
 
 360
 8,216
 946
 2014 1999 250 Highway 210 West
South Bend, IN 
 670
 17,770
 
 670
 17,770
 2,128
 2014 2014 52565 State Road 933
South Point, OH 
 1,135
 9,390
 
 1,135
 9,390
 109
 2018 1984 7743 County Road 1
Southampton, UK 
 1,519
 16,041
 
 1,519
 16,041
 541
 2017 2013 Botley Road, Park Gate
Southbury, CT 
 1,860
 23,613
 958
 1,860
 24,571
 4,939
 2011 2001 655 Main St
Spokane, WA 
 3,200
 25,064
 284
 3,200
 25,348
 6,895
 2013 2001 3117 E. Chaser Lane
Spokane, WA 
 2,580
 25,342
 195
 2,580
 25,537
 5,958
 2013 1999 1110 E. Westview Ct.
Spokane, WA 
 2,649
 11,703
 
 2,649
 11,703
 138
 2018 1985 6025 North Assembly Street
Springfield, IL 
 
 10,100
 
 768
 9,332
 2,107
 2013 2010 701 North Walnut Street
Springfield, IL 
 990
 13,378
 1,085
 990
 14,463
 1,707
 2014 2013 3089 Old Jacksonville Road
St. Louis, MO 
 1,890
 12,390
 787
 1,890
 13,177
 2,691
 2010 1963 6543 Chippewa St
St. Paul, MN 
 2,100
 33,019
 100
 2,100
 33,119
 2,698
 2015 1996 750 Mississippi River
Stafford, UK 
 2,009
 8,238
 
 2,009
 8,238
 499
 2014 2016 Stone Road
Stamford, UK 
 1,820
 3,238
 171
 1,881
 3,348
 378
 2014 1998 Priory Road
Statesville, NC 
 150
 1,447
 266
 150
 1,713
 749
 2003 1990 2441 E. Broad St.
Statesville, NC 
 310
 6,183
 8
 310
 6,191
 2,514
 2003 1996 2806 Peachtree Place
Statesville, NC 
 140
 3,627
 
 140
 3,627
 1,503
 2003 1999 2814 Peachtree Rd.
Staunton, VA 
 899
 6,391
 
 899
 6,391
 432
 2018 1999 1410 N Augusta St
Sterling Heights, MI 
 790
 10,787
 
 790
 10,787
 128
 2018 1996 11095 East Fourteen Mile Road
Sterling Heights, MI 
 1,583
 15,639
 
 1,583
 15,639
 188
 2018 2013 38200 Schoenherr Road
Stillwater, OK 
 80
 1,400
 
 80
 1,400
 839
 1995 1995 1616 McElroy Rd.
Stratford-upon-Avon, UK 
 790
 14,508
 517
 816
 14,999
 1,443
 2015 2012 Scholars Lane
Stroudsburg, PA 
 340
 16,313
 
 340
 16,313
 2,096
 2014 2011 370 Whitestone Corner Road
Summit, NJ 
 3,080
 14,152
 
 3,080
 14,152
 3,027
 2011 2001 41 Springfield Avenue
Sun City West, AZ 
 1,250
 21,778
 600
 1,250
 22,378
 4,357
 2012 1998 13810 West Sandridge Drive
Sunbury, PA 
 695
 7,246
 
 695
 7,246
 82
 2018 1981 800 Court Street Circle
Sunninghill, UK 
 11,632
 42,233
 
 11,632
 42,233
 1,689
 2014 2017 Bagshot Road
Sunnyvale, CA 
 4,946
 22,131
 
 4,946
 22,131
 251
 2018 1990 1150 Tilton Drive
Superior, WI 
 1,020
 13,735
 6,159
 1,020
 19,894
 2,909
 2009 2010 1915 North 34th Street
Tacoma, WA 
 2,522
 8,576
 
 2,522
 8,576
 99
 2018 1984 5601 South Orchard Southtreet
Tampa, FL 
 1,315
 6,913
 
 1,315
 6,913
 94
 2018 1999 14950 Casey Road
Terre Haute, IN 
 1,370
 18,016
 
 1,370
 18,016
 1,936
 2015 2015 395 8th Avenue
Texarkana, TX 
 192
 1,403
 
 192
 1,403
 814
 1996 1996 4204 Moores Lane
The Villages, FL 
 1,035
 7,446
 
 1,035
 7,446
 1,103
 2013 2014 2450 Parr Drive
Thomasville, GA 
 530
 12,520
 540
 530
 13,060
 2,093
 2011 2006 423 Covington Avenue
Three Rivers, MI 
 1,258
 2,761
 
 1,258
 2,761
 43
 2018 1976 517 South Erie Southtreet
Tomball, TX 
 1,050
 13,300
 840
 1,050
 14,140
 2,805
 2011 2001 1221 Graham Dr
Tonganoxie, KS 
 310
 3,690
 76
 310
 3,766
 353
 2015 2009 120 W 8th St
Topeka, KS 
 260
 12,712
 
 260
 12,712
 2,236
 2012 2011 1931 Southwest Arvonia Place
Towson, MD 
 1,180
 13,280
 195
 1,180
 13,475
 2,974
 2011 1973 7700 York Road
Towson, MD 
 1,715
 13,115
 
 1,715
 13,115
 154
 2018 2000 8101 Bellona Avenue
Towson, MD 
 3,100
 6,468
 
 3,100
 6,468
 73
 2018 1960 509 East Joppa Road
Towson, MD 
 4,527
 3,128
 
 4,527
 3,128
 44
 2018 1970 7001 North Charles Street
Troy, MI 
 1,381
 24,452
 
 1,381
 24,452
 275
 2018 2006 925 West South Boulevard
Troy, OH 
 200
 2,000
 4,254
 200
 6,254
 2,177
 1997 1997 81 S. Stanfield Rd.

(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Trumbull, CT 
 4,440
 43,384
 
 4,440
 43,384
 8,857
 2011 2001 6949 Main Street
Tucson, AZ 
 830
 6,179
 3,370
 830
 9,549
 1,678
 2012 1997 5660 N. Kolb Road
Tulsa, OK 
 3,003
 6,025
 20
 3,003
 6,045
 3,553
 2006 1992 3219 S. 79th E. Ave.
Tulsa, OK 
 1,390
 7,110
 1,102
 1,390
 8,212
 1,986
 2010 1998 7220 S. Yale Ave.
Tulsa, OK 
 1,320
 10,087
 
 1,320
 10,087
 1,825
 2011 2012 7902 South Mingo Road East
Tulsa, OK 
 1,100
 27,007
 
 1,100
 27,007
 1,388
 2015 2017 18001 East 51st Street
Tulsa, OK 13,000
 1,752
 28,421
 
 1,752
 28,421
 1,215
 2017 2014 701 W 71st Street South
Tulsa, OK 
 890
 9,410
 
 890
 9,410
 308
 2017 2009 7210 South Yale Avenue
Twinsburg, OH 
 1,446
 5,921
 
 1,446
 5,921
 77
 2018 2014 8551 Darrow Road
Tyler, TX 
 650
 5,268
 
 650
 5,268
 1,651
 2006 2007 5550 Old Jacksonville Hwy.
Union, SC 
 1,932
 2,374
 
 1,932
 2,374
 43
 2018 1981 709 Rice Avenue
Valparaiso, IN 
 112
 2,558
 
 112
 2,558
 1,206
 2001 1998 2601 Valparaiso St.
Valparaiso, IN 
 108
 2,962
 
 108
 2,962
 1,379
 2001 1999 2501 Valparaiso St.
Vancouver, WA 
 2,503
 28,401
 
 2,503
 28,401
 316
 2018 2011 2811 N.E. 139th Street
Venice, FL 
 1,150
 10,674
 
 1,150
 10,674
 2,717
 2008 2009 1600 Center Rd.
Venice, FL 
 2,246
 10,097
 
 2,246
 10,097
 126
 2018 1997 1450 East Venice Avenue
Vero Beach, FL 
 263
 3,187
 
 263
 3,187
 1,474
 2001 1999 420 4th Ct.
Vero Beach, FL 
 297
 3,263
 
 297
 3,263
 1,518
 2001 1996 410 4th Ct.
Virginia Beach, VA 
 1,540
 22,593
 
 1,540
 22,593
 2,639
 2014 1993 5520 Indian River Rd
Voorhees, NJ 
 1,800
 37,299
 671
 1,800
 37,970
 8,097
 2011 1965 2601 Evesham Road
Voorhees, NJ 
 1,900
 26,040
 894
 1,900
 26,934
 5,768
 2011 1985 3001 Evesham Road
Voorhees, NJ 
 3,100
 25,950
 26
 3,100
 25,976
 4,484
 2011 2013 113 South Route 73
Voorhees, NJ 
 2,193
 6,992
 
 2,193
 6,992
 91
 2018 2006 1086 Dumont Circle
W Palm Beach, FL 
 1,175
 8,297
 
 1,175
 8,297
 106
 2018 1996 2330 Village Boulevard
W Palm Beach, FL 
 1,921
 5,733
 
 1,921
 5,733
 71
 2018 1996 2300 Village Boulevard
Wabash, IN 
 670
 14,588
 1
 670
 14,589
 1,825
 2014 2013 20 John Kissinger Drive
Waconia, MN 
 890
 14,726
 4,495
 890
 19,221
 3,580
 2011 2005 500 Cherry Street
Wake Forest, NC 
 200
 3,003
 1,742
 200
 4,745
 2,308
 1998 1999 611 S. Brooks St.
Wallingford, PA 
 1,356
 6,489
 
 1,356
 6,489
 86
 2018 1930 115 South Providence Road
Walnut Creek, CA 
 4,358
 18,413
 
 4,358
 18,413
 214
 2018 1997 1975 Tice Valley Boulevard
Walnut Creek, CA 
 5,394
 39,096
 
 5,394
 39,096
 432
 2018 1990 1226 Rossmoor Parkway
Walsall, UK 
 1,184
 8,562
 329
 1,224
 8,851
 902
 2015 2015 Little Aston Road
Wamego, KS 
 40
 2,510
 57
 40
 2,567
 223
 2015 1996 1607 4th St
Wareham, MA 
 875
 10,313
 1,701
 875
 12,014
 5,527
 2002 1989 50 Indian Neck Rd.
Warren, NJ 
 2,000
 30,810
 1,073
 2,000
 31,883
 6,023
 2011 1999 274 King George Rd
Waterloo, IA 
 605
 3,031
 
 605
 3,031
 39
 2018 1964 201 West Ridgeway Avenue
Waukee, IA 
 1,870
 31,878
 1,075
 1,870
 32,953
 5,402
 2012 2007 1650 SE Holiday Crest Circle
Waxahachie, TX 
 650
 5,763
 
 650
 5,763
 1,680
 2007 2008 1329 Brown St.
Wayne, NJ 
 1,427
 16,751
 
 1,427
 16,751
 237
 2018 1998 800 Hamburg Turnpike
Weatherford, TX 
 660
 5,261
 
 660
 5,261
 1,662
 2006 2007 1818 Martin Drive
Wellingborough, UK 
 1,480
 5,724
 243
 1,530
 5,917
 681
 2015 2015 159 Northampton
West Bend, WI 
 620
 17,790
 38
 620
 17,828
 3,310
 2010 2011 2130 Continental Dr
West Des Moines, IA 
 828
 5,104
 
 828
 5,104
 66
 2018 2006 5010 Grand Ridge Drive
West Orange, NJ 
 1,347
 20,467
 
 1,347
 20,467
 274
 2018 1998 510 Prospect Avenue
West Reading, PA 
 890
 12,122
 
 890
 12,122
 133
 2018 1975 425 Buttonwood Street

(Dollars in thousands)   Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Triple-net:                
Westerville, OH 
 740
 8,287
 3,105
 740
 11,392
 9,722
 1998 2001 690 Cooper Rd.
Westerville, OH 
 1,420
 5,373
 
 1,420
 5,373
 66
 2018 1982 1060 Eastwind Drive
Westerville, OH 
 1,582
 10,282
 
 1,582
 10,282
 128
 2018 1980 215 Huber Village Boulevard
Westfield, IN 
 890
 15,964
 1
 890
 15,965
 1,981
 2014 2013 937 E. 186th Street
Westfield, NJ 
 2,270
 16,589
 497
 2,270
 17,086
 4,001
 2011 1970 1515 Lamberts Mill Road
Westlake, OH 
 855
 11,966
 
 855
 11,966
 143
 2018 1997 28400 Center Ridge Road
Weston Super Mare, UK 
 2,517
 7,054
 324
 2,602
 7,293
 1,047
 2013 2011 141b Milton Road
Wheaton, MD 
 3,864
 3,790
 
 3,864
 3,790
 48
 2018 1961 11901 Georgia Avenue
Whippany, NJ 
 1,571
 14,982
 
 1,571
 14,982
 180
 2018 2000 18 Eden Lane
White Lake, MI 
 2,920
 20,179
 92
 2,920
 20,271
 4,516
 2010 2000 935 Union Lake Rd
Wichita, KS 
 1,400
 11,000
 
 1,400
 11,000
 4,844
 2006 1997 505 North Maize Road
Wichita, KS 
 860
 8,873
 
 860
 8,873
 1,792
 2011 2012 10604 E 13th Street North
Wichita, KS 12,779
 630
 19,747
 
 630
 19,747
 3,328
 2012 2009 2050 North Webb Road
Wichita, KS 
 260
 2,240
 129
 260
 2,369
 207
 2015 1992 900 N Bayshore Dr
Wichita, KS 
 900
 10,134
 
 900
 10,134
 1,932
 2011 2012 10600 E 13th Street North
Wilkes-Barre, PA 
 753
 3,457
 
 753
 3,457
 48
 2018 1970 1548 Sans Souci Parkway
Williamsburg, VA 
 1,187
 5,728
 
 1,187
 5,728
 375
 2018 2000 1811 Jamestown Rd
Williamsport, PA 
 919
 6,926
 
 919
 6,926
 83
 2018 1976 300 Leader Drive
Williamsport, PA 
 780
 1,899
 
 780
 1,899
 30
 2018 1972 101 Leader Drive
Williamstown, KY 
 70
 6,430
 
 70
 6,430
 2,501
 2005 1987 201 Kimberly Lane
Willoughby, OH 
 1,774
 8,655
 
 1,774
 8,655
 105
 2018 1974 37603 Euclid Avenue
Wilmington, DE 
 800
 9,494
 114
 800
 9,608
 2,193
 2011 1970 810 S Broom Street
Wilmington, DE 
 1,376
 13,454
 
 1,376
 13,454
 159
 2018 1998 700 1/2 Foulk Road
Wilmington, DE 
 2,843
 36,959
 
 2,843
 36,959
 419
 2018 1988 5651 Limestone Road
Wilmington, DE 
 2,266
 9,503
 
 2,266
 9,503
 115
 2018 1984 700 Foulk Road
Wilmington, NC 
 210
 2,991
 
 210
 2,991
 1,560
 1999 1999 3501 Converse Dr.
Wilmington, NC 
 400
 15,355
 
 400
 15,355
 1,854
 2014 2012 3828 Independence Blvd
Windsor, VA 
 1,148
 6,514
 
 1,148
 6,514
 443
 2018 1999 23352 Courthouse Hwy
Winston-Salem, NC 
 360
 2,514
 459
 360
 2,973
 1,268
 2003 1996 2980 Reynolda Rd.
Winter Garden, FL 
 1,110
 7,937
 
 1,110
 7,937
 1,382
 2012 2013 720 Roper Road
Winter Springs, FL 
 1,152
 14,826
 
 1,152
 14,826
 173
 2018 1999 1057 Willa Springs Drive
Witherwack, UK 
 944
 6,915
 266
 976
 7,149
 1,027
 2013 2009 Whitchurch Road
Wolverhampton, UK 
 1,573
 6,678
 279
 1,626
 6,904
 1,000
 2013 2011 378 Prestonwood Road
Woodbury, MN 
 1,317
 20,935
 298
 1,317
 21,233
 1,057
 2017 2015 2195 Century Avenue South
Woodstock, VA 
 594
 5,108
 
 594
 5,108
 338
 2018 2001 803 S Main St
Worcester, MA 
 3,500
 54,099
 
 3,500
 54,099
 13,035
 2007 2009 101 Barry Road
Worcester, MA 
 2,300
 9,060
 6,000
 2,300
 15,060
 4,007
 2008 1993 378 Plantation St.
Yardley, PA 
 773
 14,918
 
 773
 14,918
 184
 2018 1995 493 Stony Hill Road
Yardley, PA 
 1,561
 9,442
 
 1,561
 9,442
 139
 2018 1990 1480 Oxford Valley Road
Yeadon, PA 
 1,075
 10,694
 
 1,075
 10,694
 121
 2018 1963 14 Lincoln Avenue
York, PA 
 976
 9,357
 
 976
 9,357
 112
 2018 1972 200 Pauline Drive
York, PA 
 1,050
 4,212
 
 1,050
 4,212
 60
 2018 1983 2400 Kingston Court
York, PA 
 1,121
 7,586
 
 1,121
 7,586
 97
 2018 1979 1770 Barley Road
York, UK 
 2,961
 8,266
 379
 3,061
 8,545
 946
 2014 2006 Rosetta Way, Boroughbridge Road
Youngsville, NC 
 380
 10,689
 
 380
 10,689
 1,256
 2014 2013 100 Sunset Drive
Zephyrhills, FL 
 2,131
 6,671
 
 2,131
 6,671
 90
 2018 1987 38220 Henry Drive
Zionsville, IN 
 1,610
 22,400
 1,686
 1,610
 24,086
 5,158
 2010 2009 11755 N Michigan Rd
Triple-net Total $288,387

$1,096,169

$8,585,481

$301,960

$1,119,576

$8,864,034

$1,261,486
      



Welltower Inc.  
Schedule III  
Real Estate and Accumulated Depreciation  
December 31, 2018  
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Addison, IL $6,052
 $102
 $19,089
 $
 $102
 $19,089
 $
 2018 2012 303 West Lake Street
Akron, OH 
 821
 12,105
 1
 821
 12,106
 2,993
 2012 2010 701 White Pond Drive
Allen, TX 
 726
 14,196
 1,221
 726
 15,417
 4,722
 2012 2006 1105 N Central Expressway
Alpharetta, GA 
 476
 14,757
 448
 476
 15,205
 5,141
 2011 2003 11975 Morris Road
Alpharetta, GA 
 1,862
 
 
 1,862
 
 
 2011 1900 940 North Point Parkway
Alpharetta, GA 
 548
 17,103
 548
 548
 17,651
 6,275
 2011 2007 3300 Old Milton Parkway
Alpharetta, GA 
 773
 18,902
 1,640
 773
 20,542
 6,627
 2011 1993 3400-A Old Milton Parkway
Alpharetta, GA 
 1,769
 36,152
 1,805
 1,769
 37,957
 13,445
 2011 1999 3400-C Old Milton Parkway
Anderson, IN 
 584
 21,077
 
 584
 21,077
 1,300
 2017 2016 3125 S. Scatterfield Rd.
Arcadia, CA 
 5,408
 23,219
 4,567
 5,618
 27,576
 10,909
 2006 1984 301 W. Huntington Drive
Arlington, TX 
 82
 18,243
 402
 82
 18,645
 3,550
 2012 2012 902 W. Randol Mill Road
Atlanta, GA 
 4,931
 18,720
 7,068
 5,387
 25,332
 11,504
 2006 1991 755 Mt. Vernon Hwy.
Atlanta, GA 
 1,947
 24,248
 1,973
 2,184
 25,984
 7,822
 2012 1984 975 Johnson Ferry Road
Atlanta, GA 
 
 43,425
 1,972
 
 45,397
 12,796
 2012 2006 5670 Peachtree-Dunwoody Road
Austin, TX 
 1,066
 10,112
 
 1,066
 10,112
 499
 2017 2017 5301-B Davis Lane
Bardstown, KY 
 273
 7,966
 42
 274
 8,007
 1,409
 2010 2006 4359 New Shepherdsville Rd
Bartlett, TN 
 187
 15,015
 2,225
 187
 17,240
 6,860
 2007 2004 2996 Kate Bond Rd.
Bel Air, MD 
 
 24,769
 49
 
 24,818
 1,724
 2014 2016 12 Medstar Boulevard
Bellevue, NE 
 
 16,680
 2
 
 16,682
 5,283
 2010 2010 2510 Bellevue Medical Center Drive
Bettendorf, IA 
 
 7,110
 73
 
 7,183
 748
 2013 2014 2140 53rd Avenue
Beverly Hills, CA 
 20,766
 40,730
 3,400
 20,766
 44,130
 6,159
 2015 1946 9675 Brighton Way
Beverly Hills, CA 
 18,863
 1,192
 208
 18,885
 1,378
 684
 2015 1955 415 North Bedford
Beverly Hills, CA 
 19,863
 31,690
 1,058
 19,863
 32,748
 4,403
 2015 1946 416 North Bedford
Beverly Hills, CA 33,729
 32,603
 28,639
 812
 32,603
 29,451
 5,043
 2015 1950 435 North Bedford
Beverly Hills, CA 78,271
 52,772
 87,366
 510
 52,772
 87,876
 11,291
 2015 1989 436 North Bedford
Birmingham, AL 
 52
 10,201
 639
 52
 10,840
 4,243
 2006 1971 801 Princeton Avenue SW
Birmingham, AL 
 124
 11,733
 2,047
 124
 13,780
 4,905
 2006 1985 817 Princeton Avenue SW
Birmingham, AL 
 476
 18,726
 2,196
 476
 20,922
 7,981
 2006 1989 833 Princeton Avenue SW
Birmingham, AL 8,626
 896
 13,755
 
 896
 13,755
 
 2018 1985 3485 Independence Drive
Boardman, OH 
 80
 12,161
 40
 80
 12,201
 4,585
 2010 2007 8423 Market St
Boca Raton, FL 
 31
 12,312
 896
 251
 12,988
 3,622
 2012 1993 9960 S. Central Park Boulevard
Boca Raton, FL 
 109
 34,002
 3,823
 214
 37,720
 14,246
 2006 1995 9970 S. Central Park Blvd.
Boerne, TX 
 50
 12,951
 454
 86
 13,369
 3,535
 2011 2007 134 Menger Springs Road
Boynton Beach, FL 
 2,048
 7,692
 1,374
 2,185
 8,929
 3,798
 2006 1995 8188 Jog Rd.
Boynton Beach, FL 
 2,048
 7,403
 1,631
 2,185
 8,897
 3,902
 2006 1997 8200 Jog Road
Boynton Beach, FL 
 214
 5,611
 8,423
 320
 13,928
 5,714
 2007 1996 10075 Jog Rd.
Boynton Beach, FL 
 13,324
 40,369
 2,925
 14,049
 42,569
 11,591
 2013 1995 10301 Hagen Ranch Road


Welltower Inc.  
Schedule III  
Real Estate and Accumulated Depreciation  
December 31, 2019  
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Buildings & Improvements Cost Capitalized Subsequent to Acquisition Land Buildings & Improvements Accumulated Depreciation Year Acquired Year Built Address
Assets Held For Sale:  
Adelphi, MD $
 $1,429
 $4,312
 $
 $
 $5,554
 $
 2018 1967 1801 Metzerott Road
Akron, OH 
 821
 12,105
 
 
 9,544
 
 2012 2010 701 White Pond Drive
Ayer, MA 
 
 22,074
 
 
 8,735
 
 2011 1988 400 Groton Road
Birmingham, AL 
 52
 10,201
 
 
 5,508
 
 2006 1971 801 Princeton Avenue SW
Birmingham, AL 
 124
 11,733
 
 
 7,995
 
 2006 1985 817 Princeton Avenue SW
Birmingham, AL 
 476
 18,726
 
 
 12,234
 
 2006 1989 833 Princeton Avenue SW
Boardman, OH 
 80
 12,161
 
 
 7,403
 
 2010 2007 8423 Market St
Brookline, MA 
 
 17,435
 
 
 17,435
 
 2019 1900 110 Fisher Avenue
Burlington, MA 
 2,750
 57,488
 
 
 56,762
 
 2016 2011 50 Greenleaf Way
Carmel, IN 
 2,280
 19,238
 
 
 14,226
 
 2011 2005 12188-A North Meridian Street
Carmel, IN 
 2,026
 21,559
 
 
 14,292
 
 2011 2007 12188-B North Meridian Street
Claremore, OK 
 132
 11,173
 
 
 7,529
 
 2007 2005 1501 N. Florence Ave.
Concord, NH 
 720
 3,041
 
 
 3,344
 
 2011 1926 227 Pleasant Street
Dallas, TX 
 137
 28,690
 
 
 18,703
 
 2006 1995 9330 Poppy Dr.
Dayton, OH 
 730
 6,919
 
 
 4,586
 
 2011 1988 1530 Needmore Road
Fort Wayne, IN 
 1,105
 22,836
 
 
 17,809
 
 2012 2004 7916 Jefferson Boulevard
Fullerton, CA 
 5,477
 53,890
 
 
 54,244
 
 2014 2007 1950 Sunny Crest Drive
Gilroy, CA 
 760
 13,880
 13,331
 
 27,971
 
 2006 2007 7610 Isabella Way
Great Falls, MT 
 630
 6,007
 
 
 6,131
 
 2018 2001 1801 9th Street South
Greenwood, IN 
 8,316
 26,384
 
 
 26,763
 
 2012 2010 1260 Innovation Parkway
Guelph, ON 
 1,190
 7,597
 
 
 
 
 2015 1978 165 Cole Road
Henderson, NV 
 880
 29,809
 
 
 24,506
 
 2011 2009 1935 Paseo Verde Parkway
High Point, NC 
 2,659
 29,069
 
 
 24,246
 
 2012 2010 4515 Premier Drive
Houston, TX 
 3,102
 32,323
 
 
 31,476
 
 2014 2014 1900 N Loop W Freeway
Houston, TX 
 5,090
 9,471
 
 
 7,840
 
 2007 2009 15015 Cypress Woods Medical Drive
Hudson, OH 
 2,587
 13,720
 
 
 11,865
 
 2012 2006 5655 Hudson Drive
Hyattsville, MD 
 4,017
 2,298
 
 
 6,206
 
 2018 1964 6500 Riggs Road
Kirkland, WA 24,600
 3,450
 38,709
 
 
 33,598
 
 2011 2009 14 Main Street South
Kitchener, ON 
 1,130
 9,939
 
 
 
 
 2013 1988 20 Fieldgate Street
Kyle, TX 
 2,569
 14,384
 
 
 13,928
 
 2014 2011 135 Bunton Creek Road
Largo, MD 
 3,361
 3,623
 
 
 6,819
 
 2018 1978 600 Largo Road
Las Vegas, NV 
 74
 15,287
 
 
 9,765
 
 2006 2000 1815 E. Lake Mead Blvd.
Las Vegas, NV 
 
 2,945
 
 
 2,945
 
 2007 1900 SW corner of Deer Springs Way and Riley Street
Lenexa, KS 
 540
 17,926
 
 
 12,460
 
 2010 2008 23401 Prairie Star Pkwy
Lenexa, KS 
 100
 13,766
 
 
 11,718
 
 2013 2013 23351 Prairie Star Parkway
Mechanicsburg, PA 
 1,350
 16,650
 
 
 1,964
 
 2011 1971 4950 Wilson Lane
Melbourne, FL 
 3,439
 50,461
 
 
 43,431
 
 2014 2009 2222 South Harbor City Boulevard
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Bradenton, FL 
 1,184
 9,799
 417
 1,184
 10,216
 1,896
 2014 1975 315 75th Street West
Bradenton, FL 
 1,035
 4,298
 17
 1,035
 4,315
 889
 2014 2006 7005 Cortez Road West
Brandon, FL 
 1,437
 7,006
 
 1,437
 7,006
 182
 2018 2016 2020 Town Center Boulevard
Bridgeton, MO 
 1,701
 6,228
 193
 1,501
 6,621
 649
 2017 2008 3440 De Paul Ln.
Bridgeton, MO 
 450
 21,221
 265
 450
 21,486
 6,906
 2010 2006 12266 DePaul Dr
Buckhurst Hill, UK 
 11,989
 50,907
 
 11,989
 50,907
 4,885
 2015 2013 High Road
Burleson, TX 
 10
 12,611
 731
 10
 13,342
 4,177
 2011 2007 12001 South Freeway
Burnsville, MN 
 
 31,596
 1,463
 
 33,059
 8,685
 2013 2014 14101 Fairview Dr
Carmel, IN 
 2,280
 19,238
 944
 2,475
 19,987
 7,581
 2011 2005 12188-A North Meridian Street
Carmel, IN 
 2,026
 21,559
 186
 2,186
 21,585
 8,691
 2011 2007 12188-B North Meridian Street
Castle Rock, CO 
 80
 13,004
 586
 79
 13,591
 3,008
 2014 2013 2352 Meadows Boulevard
Castle Rock, CO 
 
 11,795
 165
 
 11,960
 483
 2016 2017 Meadows Boulevard
Cedar Park, TX 
 132
 23,753
 
 132
 23,753
 1,819
 2017 2014 1401 Medical Parkway, Building 2
Chapel Hill, NC 5,259
 1,970
 8,874
 
 1,970
 8,874
 
 2018 2007 6011 Farrington Road
Chapel Hill, NC 5,259
 1,970
 8,925
 
 1,970
 8,925
 
 2018 2007 6013 Farrington Road
Chapel Hill, NC 14,949
 5,681
 25,035
 
 5,681
 25,035
 
 2018 2006 2226 North Carolina Highway 54
Charleston, SC 
 2,773
 25,928
 124
 2,815
 26,010
 4,988
 2014 2009 325 Folly Road
Cincinnati, OH 
 
 17,880
 250
 2
 18,128
 3,561
 2012 2013 3301 Mercy Health Boulevard
Claremore, OK 
 132
 11,173
 76
 132
 11,249
 3,318
 2007 2005 1501 N. Florence Ave.
Clarkson Valley, MO 
 
 35,592
 
 
 35,592
 12,590
 2009 2010 15945 Clayton Rd
Clear Lake, TX 
 
 13,882
 20
 
 13,902
 1,504
 2013 2014 1010 South Ponds Drive
Columbia, MD 
 23
 33,885
 1,766
 9,353
 26,321
 6,522
 2015 1982 5450 & 5500 Knoll N Dr.
Columbia, MD 
 12,159
 72,636
 
 12,159
 72,636
 249
 2018 2009 10710 Charter Drive
Columbia, MD 
 2,333
 19,232
 1,567
 2,333
 20,799
 4,971
 2012 2002 10700 Charter Drive
Coon Rapids, MN 
 
 26,679
 1,123
 
 27,802
 5,356
 2013 2014 11850 Blackfoot Street NW
Costa Mesa, CA 22,020
 22,033
 24,332
 179
 22,033
 24,511
 3,664
 2017 2007 1640 Newport Boulevard
Cypress, TX 
 1,287
 
 
 1,287
 
 
 2016 1900 14940 Mueschke Road
Dade City, FL 
 1,211
 5,511
 
 1,211
 5,511
 1,476
 2011 1998 13413 US Hwy 301
Dallas, TX 
 122
 15,418
 
 122
 15,418
 1,681
 2013 2014 8196 Walnut Hill Lane
Dallas, TX 
 137
 28,690
 3,836
 137
 32,526
 13,032
 2006 1995 9330 Poppy Dr.
Dallas, TX 
 462
 52,488
 2,070
 462
 54,558
 11,436
 2012 2004 7115 Greenville Avenue
Dallas, TX 
 6,086
 18,007
 
 6,086
 18,007
 373
 2018 2010 10740 North Central Expressway
Dayton, OH 
 730
 6,919
 362
 730
 7,281
 3,039
 2011 1988 1530 Needmore Road
Deerfield Beach, FL 
 2,408
 7,809
 793
 2,540
 8,470
 3,356
 2011 2001 1192 East Newport Center Drive
Delray Beach, FL 
 1,882
 34,767
 7,280
 2,449
 41,480
 18,890
 2006 1985 5130-5150 Linton Blvd.
Durham, NC 
 1,212
 22,858
 2
 1,212
 22,860
 3,958
 2013 2012 1823 Hillandale Road
Edina, MN 
 310
 15,132
 989
 310
 16,121
 4,820
 2010 2003 8100 W 78th St
El Paso, TX 
 677
 17,075
 2,457
 677
 19,532
 8,868
 2006 1997 2400 Trawood Dr.
Elmhurst, IL 
 41
 39,562
 
 41
 39,562
 
 2018 2011 133 E Brush Hill Road
Everett, WA 
 4,842
 26,010
 1
 4,842
 26,011
 7,650
 2010 2011 13020 Meridian Ave. S.
Fenton, MO 10,559
 958
 27,485
 439
 958
 27,924
 7,480
 2013 2009 1011 Bowles Avenue
Fenton, MO 
 369
 13,911
 357
 369
 14,268
 2,793
 2013 2009 1055 Bowles Avenue
Florham Park, NJ 
 8,578
 61,779
 
 8,578
 61,779
 1,953
 2017 2017 150 Park Avenue


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Flower Mound, TX 
 737
 9,276
 
 737
 9,276
 1,475
 2015 2014 2560 Central Park Avenue
Flower Mound, TX 
 4,164
 27,027
 962
 4,164
 27,989
 4,930
 2014 2012 4370 Medical Arts Drive
Flower Mound, TX 
 4,620
 
 
 4,620
 
 
 2014 1900 Medical Arts Drive
Fort Wayne, IN 
 1,105
 22,836
 
 1,105
 22,836
 5,324
 2012 2004 7916 Jefferson Boulevard
Fort Worth, TX 
 462
 26,020
 373
 462
 26,393
 5,128
 2012 2012 10840 Texas Health Trail
Fort Worth, TX 
 401
 6,099
 1
 401
 6,100
 1,227
 2014 2007 7200 Oakmont Boulevard
Franklin, TN 
 2,338
 12,138
 2,821
 2,338
 14,959
 6,092
 2007 1988 100 Covey Drive
Frisco, TX 
 
 18,635
 1,534
 
 20,169
 7,805
 2007 2004 4401 Coit Road
Frisco, TX 
 
 15,309
 2,549
 
 17,858
 7,344
 2007 2004 4461 Coit Road
Fullerton, CA 
 5,477
 53,890
 433
 5,477
 54,323
 3,694
 2014 2007 1950 Sunny Crest Drive
Gallatin, TN 
 20
 21,801
 1,868
 44
 23,645
 8,066
 2010 1997 300 Steam Plant Rd
Gardendale, AL 4,300
 1,150
 8,162
 
 1,150
 8,162
 
 2018 2005 2217 Decatur Highway
Gig Harbor, WA 
 80
 30,810
 982
 80
 31,792
 3,944
 2010 2009 11511 Canterwood Blvd. NW
Glendale, CA 
 37
 18,398
 1,651
 37
 20,049
 6,951
 2007 2002 222 W. Eulalia St.
Gloucester, VA 
 2,128
 9,169
 
 2,128
 9,169
 
 2018 2008 5659 Parkway Drive
Grand Prairie, TX 
 981
 6,086
 
 981
 6,086
 2,096
 2012 2009 2740 N State Hwy 360
Grapevine, TX 
 
 5,943
 4,778
 2,081
 8,640
 1,603
 2014 2002 2040 W State Hwy 114
Grapevine, TX 
 3,365
 15,669
 1,661
 3,365
 17,330
 3,778
 2014 2002 2020 W State Hwy 114
Greeneville, TN 
 970
 10,104
 74
 970
 10,178
 3,880
 2010 2005 438 East Vann Rd
Greenwood, IN 
 8,316
 26,384
 
 8,316
 26,384
 6,879
 2012 2010 1260 Innovation Parkway
Greenwood, IN 
 2,098
 21,538
 638
 2,098
 22,176
 3,486
 2014 2013 3000 S State Road 135
Greenwood, IN 
 1,262
 7,045
 8
 1,262
 7,053
 1,589
 2014 2010 333 E County Line Road
High Point, NC 
 2,659
 29,069
 165
 2,659
 29,234
 6,581
 2012 2010 4515 Premier Drive
Highland, IL 
 
 8,834
 
 
 8,834
 1,598
 2012 2013 12860 Troxler Avenue
Houston, TX 
 10,403
 
 
 10,403
 
 6
 2011 1900 F.M. 1960 & Northgate Forest Dr.
Houston, TX 
 5,837
 33,128
 150
 5,837
 33,278
 11,293
 2012 2005 15655 Cypress Woods Medical Dr.
Houston, TX 
 3,102
 32,323
 4,489
 3,242
 36,672
 7,580
 2014 2014 1900 N Loop W Freeway
Houston, TX 
 3,688
 13,313
 132
 3,688
 13,445
 3,449
 2012 2007 10701 Vintage Preserve Parkway
Houston, TX 
 1,099
 1,604
 80,605
 12,815
 70,493
 14,163
 2012 1998 2727 W Holcombe Boulevard
Houston, TX 3,899
 377
 13,726
 
 377
 13,726
 
 2018 2011 20207 Chasewood Park Drive
Howell, MI 
 2,000
 13,928
 803
 2,000
 14,731
 459
 2016 2017 1225 South Latson Road
Hudson, OH 
 2,587
 13,720
 688
 2,868
 14,127
 4,921
 2012 2006 5655 Hudson Drive
Humble, TX 
 
 9,941
 
 
 9,941
 1,036
 2013 2014 8233 N. Sam Houston Parkway E.
Jackson, MI 
 607
 17,367
 130
 668
 17,436
 4,502
 2013 2009 1201 E Michigan Avenue
Jupiter, FL 
 2,252
 11,415
 3,422
 2,636
 14,453
 5,598
 2006 2001 550 Heritage Dr.
Jupiter, FL 
 2,825
 5,858
 1,082
 3,036
 6,729
 3,037
 2007 2004 600 Heritage Dr.
Killeen, TX 
 
 3,756
 
 
 3,756
 325
 2018 1990 2301 S. Clear Creek
Killeen, TX 
 760
 22,878
 305
 795
 23,148
 7,882
 2010 2010 2405 Clear Creek Rd
Killeen, TX 
 1,907
 3,575
 
 1,907
 3,575
 566
 2011 2012 5702 E Central Texas Expressway
Kyle, TX 
 2,569
 14,384
 538
 2,569
 14,922
 2,962
 2014 2011 135 Bunton Creek Road
La Jolla, CA 
 12,855
 32,658
 705
 12,855
 33,363
 5,946
 2015 1989 4150 Regents Park Row
La Jolla, CA 
 9,425
 26,525
 542
 9,425
 27,067
 3,912
 2015 1988 4120 & 4130 La Jolla Village Drive


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
La Quinta, CA 
 3,266
 22,066
 197
 3,279
 22,250
 4,719
 2014 2006 47647 Caleo Bay Drive
Lacey, WA 6,768
 1,751
 10,383
 
 1,751
 10,383
 
 2018 1971 2555 Marvin Road Northeast
Lake St Louis, MO 
 240
 14,249
 204
 240
 14,453
 5,048
 2010 2008 400 Medical Dr
Lakeway, TX 
 2,801
 
 
 2,801
 
 
 2007 1900 Lohmans Crossing Road
Lakewood, CA 
 146
 14,885
 2,294
 146
 17,179
 6,528
 2006 1993 5750 Downey Ave.
Lakewood, WA 
 72
 16,017
 676
 72
 16,693
 3,952
 2012 2005 11307 Bridgeport Way SW
Land O Lakes, FL 
 3,025
 26,249
 
 3,025
 26,249
 1,096
 2017 2009 2100 Via Bella
Land O Lakes, FL 
 1,376
 6,750
 
 1,376
 6,750
 313
 2017 2011 2150 Via Bella
Las Vegas, NV 
 6,127
 
 
 6,127
 
 
 2007 1900 SW corner of Deer Springs Way and Riley Street
Las Vegas, NV 
 2,319
 4,612
 1,214
 2,319
 5,826
 2,708
 2006 1991 2870 S. Maryland Pkwy.
Las Vegas, NV 
 74
 15,287
 1,484
 74
 16,771
 6,416
 2006 2000 1815 E. Lake Mead Blvd.
Las Vegas, NV 
 433
 6,921
 214
 433
 7,135
 3,196
 2007 1997 1776 E. Warm Springs Rd.
Lenexa, KS 
 540
 17,926
 290
 540
 18,216
 5,492
 2010 2008 23401 Prairie Star Pkwy
Lenexa, KS 
 100
 13,766
 
 100
 13,766
 1,751
 2013 2013 23351 Prairie Star Parkway
Lincoln, NE 
 1,420
 29,723
 1,052
 1,420
 30,775
 10,875
 2010 2003 575 South 70th St
London, UK 
 5,229
 11,551
 
 5,229
 11,551
 1,108
 2015 2007 17-19 View Road
London, UK 
 17,983
 157,802
 
 17,983
 157,802
 15,142
 2015 2010 53 Parkside
London, UK 
 4,081
 28,107
 
 4,081
 28,107
 2,697
 2015 2003 49 Parkside
Los Alamitos, CA 
 39
 18,635
 1,114
 39
 19,749
 7,389
 2007 2003 3771 Katella Ave.
Los Gatos, CA 
 488
 22,386
 2,410
 488
 24,796
 11,137
 2006 1993 555 Knowles Dr.
Loxahatchee, FL 
 1,637
 5,048
 1,280
 1,719
 6,246
 2,713
 2006 1997 12977 Southern Blvd.
Loxahatchee, FL 
 1,340
 6,509
 1,464
 1,440
 7,873
 3,144
 2006 1993 12989 Southern Blvd.
Loxahatchee, FL 
 1,553
 4,694
 1,544
 1,650
 6,141
 2,655
 2006 1994 12983 Southern Blvd.
Lynbrook, NY 27,745
 10,028
 37,319
 
 10,028
 37,319
 
 2018 1962 444 Merrick Road
Marietta, GA 
 2,682
 20,053
 1,409
 2,703
 21,441
 2,224
 2016 2016 4800 Olde Towne Parkway
Melbourne, FL 
 3,439
 50,461
 802
 3,538
 51,164
 9,227
 2014 2009 2222 South Harbor City Boulevard
Menasha, WI 
 1,374
 13,861
 2,940
 1,345
 16,830
 2,099
 2016 1994 1550 Midway Place
Merced, CA 
 
 13,772
 815
 
 14,587
 5,015
 2009 2010 315 Mercy Ave.
Merriam, KS 
 176
 8,005
 1,088
 176
 9,093
 3,256
 2011 1972 8800 West 75th Street
Merriam, KS 
 
 10,222
 4,517
 444
 14,295
 5,210
 2011 1977 8901 West 74th Street
Merriam, KS 
 1,257
 24,911
 64
 1,257
 24,975
 6,116
 2013 2009 9301 West 74th Street
Merrillville, IN 
 
 22,134
 915
 
 23,049
 7,183
 2008 2006 101 E. 87th Ave.
Mesa, AZ 
 1,558
 9,561
 1,347
 1,558
 10,908
 4,756
 2008 1989 6424 East Broadway Road
Mesquite, TX 
 496
 3,834
 
 496
 3,834
 1,035
 2012 2012 1575 I-30
Mission Hills, CA 23,835
 
 42,276
 6,672
 4,791
 44,157
 8,540
 2014 1986 11550 Indian Hills Road
Missouri City, TX 
 1,360
 7,146
 62
 1,360
 7,208
 420
 2015 2016 7010 Highway 6
Mobile, AL 16,028
 2,759
 25,180
 
 2,759
 25,180
 
 2018 2003 6144 Airport Boulevard
Moline, IL 
 
 8,783
 69
 
 8,852
 1,179
 2012 2013 3900 28th Avenue Drive
Monticello, MN 6,976
 61
 18,489
 131
 61
 18,620
 3,986
 2012 2008 1001 Hart Boulevard
Moorestown, NJ 
 6
 50,896
 694
 362
 51,234
 12,506
 2011 2012 401 Young Avenue
Morrow, GA 
 818
 8,064
 272
 845
 8,309
 4,320
 2007 1990 6635 Lake Drive
Mount Juliet, TN 
 1,566
 11,697
 1,734
 1,601
 13,396
 5,609
 2007 2005 5002 Crossings Circle


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Mount Vernon, IL 
 
 24,892
 25
 
 24,917
 6,306
 2011 2012 2 Good Samaritan Way
Murrieta, CA 
 
 47,190
 63
 
 47,253
 18,061
 2010 2011 28078 Baxter Rd.
Murrieta, CA 
 3,800
 
 
 3,800
 
 
 2014 1900 28078 Baxter Rd.
Nashville, TN 
 1,806
 7,165
 3,728
 1,942
 10,757
 4,509
 2006 1986 310 25th Ave. N.
Nassau Bay, TX 
 378
 29,947
 
 378
 29,947
 7,296
 2012 1981 18100 St John Drive
Nassau Bay, TX 
 91
 10,613
 1,386
 91
 11,999
 3,829
 2012 1986 2060 Space Park Drive
New Albany, IN 
 2,411
 16,494
 30
 2,411
 16,524
 2,981
 2014 2001 2210 Green Valley Road
Niagara Falls, NY 
 1,433
 10,891
 441
 1,721
 11,044
 5,761
 2007 1995 6932 - 6934 Williams Rd
Niagara Falls, NY 
 454
 8,362
 310
 454
 8,672
 3,298
 2007 2004 6930 Williams Rd
Oklahoma City, OK 
 216
 19,135
 398
 216
 19,533
 5,116
 2013 2008 535 NW 9th Street
Oro Valley, AZ 
 89
 18,339
 1,052
 89
 19,391
 6,798
 2007 2004 1521 East Tangerine Rd.
Palmer, AK 
 283
 8,335
 
 283
 8,335
 171
 2017 2018 2480 S Woodworth Loop
Palmer, AK 
 217
 29,705
 1,442
 217
 31,147
 10,991
 2007 2006 2490 South Woodworth Loop
Pasadena, TX 
 1,700
 8,009
 
 1,700
 8,009
 1,102
 2012 2013 5001 E Sam Houston Parkway S
Pearland, TX 
 1,500
 11,253
 11
 1,500
 11,264
 1,457
 2012 2013 2515 Business Center Drive
Pearland, TX 
 9,594
 32,753
 191
 9,807
 32,731
 5,033
 2014 2013 11511 Shadow Creek Parkway
Pendleton, OR 
 
 10,312
 380
 
 10,692
 1,362
 2012 2013 3001 St. Anthony Way
Phoenix, AZ 
 1,149
 48,018
 13,128
 1,149
 61,146
 25,399
 2006 1998 2222 E. Highland Ave.
Pineville, NC 
 961
 6,974
 2,507
 1,077
 9,365
 4,615
 2006 1988 10512 Park Rd.
Plano, TX 
 5,423
 20,698
 554
 5,423
 21,252
 12,431
 2008 2007 6957 Plano Parkway
Plano, TX 
 793
 83,209
 2,668
 793
 85,877
 20,969
 2012 2005 6020 West Parker Road
Plantation, FL 
 8,563
 10,666
 4,461
 8,575
 15,115
 7,703
 2006 1997 851-865 SW 78th Ave.
Plantation, FL 
 8,848
 9,262
 1,442
 8,908
 10,644
 6,782
 2006 1996 600 Pine Island Rd.
Port Orchard, WA 10,172
 2,810
 22,716
 
 2,810
 22,716
 
 2018 1995 450 South Kitsap Boulevard
Portland, ME 
 655
 25,529
 
 655
 25,529
 7,892
 2011 2008 195 Fore River Parkway
Redmond, WA 
 5,015
 26,697
 1,080
 5,015
 27,777
 8,340
 2010 2011 18000 NE Union Hill Rd.
Reno, NV 
 1,117
 21,972
 2,068
 1,117
 24,040
 9,409
 2006 1991 343 Elm St.
Richmond, TX 
 2,000
 9,118
 7
 2,000
 9,125
 627
 2015 2016 22121 FM 1093 Road
Richmond, VA 
 2,969
 26,697
 882
 3,059
 27,489
 8,796
 2012 2008 7001 Forest Avenue
Rockwall, TX 
 132
 17,197
 143
 132
 17,340
 4,240
 2012 2008 3142 Horizon Road
Rogers, AR 
 1,062
 28,680
 3,206
 1,062
 31,886
 9,999
 2011 2008 2708 Rife Medical Lane
Rolla, MO 
 1,931
 47,639
 1
 1,931
 47,640
 12,977
 2011 2009 1605 Martin Spring Drive
Roswell, NM 
 183
 5,850
 
 183
 5,850
 1,870
 2011 2004 601 West Country Club Road
Roswell, NM 
 883
 15,984
 41
 883
 16,025
 4,578
 2011 2006 350 West Country Club Road
Roswell, NM 
 762
 17,171
 
 762
 17,171
 4,082
 2011 2009 300 West Country Club Road
Sacramento, CA 
 866
 12,756
 2,023
 869
 14,776
 5,835
 2006 1990 8120 Timberlake Way
Salem, NH 
 1,655
 14,050
 46
 1,681
 14,070
 3,046
 2014 2013 31 Stiles Road
San Antonio, TX 
 1,057
 10,101
 
 1,057
 10,101
 4,943
 2006 1999 19016 Stone Oak Pkwy.
San Antonio, TX 
 1,038
 9,173
 1,758
 1,096
 10,873
 5,389
 2006 1999 540 Stone Oak Centre Drive
San Antonio, TX 
 4,518
 31,041
 4,087
 4,593
 35,053
 10,558
 2012 1986 5282 Medical Drive
San Antonio, TX 
 900
 17,288
 798
 938
 18,048
 4,489
 2014 2007 3903 Wiseman Boulevard
San Antonio, TX 
 3,050
 12,073
 
 3,050
 12,073
 47
 2016 2017 5206 Research Drive


(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Santa Clarita, CA 
 
 2,338
 20,485
 5,304
 17,519
 3,177
 2014 1976 23861 McBean Parkway
Santa Clarita, CA 
 
 28,384
 1,866
 5,277
 24,973
 4,346
 2014 1998 23929 McBean Parkway
Santa Clarita, CA 
 278
 185
 11,594
 11,872
 185
 151
 2014 1996 23871 McBean Parkway
Santa Clarita, CA 25,000
 295
 40,257
 60
 295
 40,317
 5,184
 2014 2013 23803 McBean Parkway
Santa Clarita, CA 
 
 20,618
 919
 4,407
 17,130
 3,150
 2014 1989 24355 Lyons Avenue
Sarasota, FL 
 62
 47,325
 4,118
 62
 51,443
 13,413
 2012 1990 1921 Waldemere Street
Seattle, WA 
 4,410
 38,428
 392
 4,410
 38,820
 15,744
 2010 2010 5350 Tallman Ave
Sewell, NJ 
 60
 57,929
 846
 164
 58,671
 23,914
 2007 2009 239 Hurffville-Cross Keys Road
Sewell, NJ 
 1,242
 11,616
 
 1,242
 11,616
 
 2018 2007 556 Egg Harbor Road
Shakopee, MN 5,654
 508
 11,412
 851
 509
 12,262
 4,159
 2010 1996 1515 St Francis Ave
Shakopee, MN 9,541
 707
 18,089
 95
 773
 18,118
 5,061
 2010 2007 1601 St Francis Ave
Shenandoah, TX 
 
 21,135
 62
 24
 21,173
 2,117
 2013 2014 106 Vision Park Boulevard
Sherman Oaks, CA 
 
 32,186
 3,228
 3,121
 32,293
 6,038
 2014 1969 4955 Van Nuys Boulevard
Silverdale, WA 13,378
 3,451
 21,176
 
 3,451
 21,176
 
 2018 2004 2200 NW Myhre Road
Somerville, NJ 
 3,400
 22,244
 2
 3,400
 22,246
 5,793
 2008 2007 30 Rehill Avenue
Southlake, TX 
 3,000
 
 
 3,000
 
 
 2014 1900 Central Avenue
Southlake, TX 
 592
 18,243
 1,821
 592
 20,064
 5,076
 2012 2004 1545 East Southlake Boulevard
Southlake, TX 
 698
 30,549
 3,915
 698
 34,464
 7,578
 2012 2004 1545 East Southlake Boulevard
Springfield, IL 
 1,569
 10,350
 
 1,568
 10,351
 1,244
 2010 2011 1100 East Lincolnshire Blvd
Springfield, IL 
 177
 3,519
 31
 177
 3,550
 440
 2010 2011 2801 Mathers Rd.
St Paul, MN 
 49
 37,695
 348
 49
 38,043
 5,050
 2014 2006 225 Smith Avenue N.
St. Louis, MO 
 336
 17,247
 2,068
 336
 19,315
 7,425
 2007 2001 2325 Dougherty Rd.
St. Paul, MN 
 2,706
 39,507
 309
 2,701
 39,821
 12,101
 2011 2007 435 Phalen Boulevard
Stamford, CT 
 
 41,153
 3,071
 
 44,224
 2,403
 2015 2016 29 Hospital Plaza
Suffern, NY 
 653
 37,255
 283
 698
 37,493
 11,886
 2011 2007 257 Lafayette Avenue
Suffolk, VA 
 1,566
 11,511
 68
 1,620
 11,525
 4,693
 2010 2007 5838 Harbour View Blvd.
Sugar Land, TX 
 3,543
 15,532
 
 3,543
 15,532
 5,290
 2012 2005 11555 University Boulevard
Tacoma, WA 
 
 64,307
 
 
 64,307
 17,445
 2011 2013 1608 South J Street
Tallahassee, FL 
 
 17,449
 
 
 17,449
 5,855
 2010 2011 One Healing Place
Tampa, FL 
 4,319
 12,234
 
 4,319
 12,234
 2,803
 2011 2003 14547 Bruce B Downs Blvd
Tampa, FL 
 1,462
 7,270
 
 1,462
 7,270
 331
 2017 1996 12500 N Dale Mabry
Temple, TX 
 2,900
 9,954
 26
 2,900
 9,980
 1,628
 2011 2012 2601 Thornton Lane
Timonium, MD 
 8,829
 12,568
 30
 8,850
 12,577
 794
 2015 2017 2118 Greenspring Drive
Tucson, AZ 
 1,302
 4,925
 990
 1,325
 5,892
 2,886
 2008 1995 2055 W. Hospital Dr.
Tustin, CA 
 3,345
 541
 325
 3,345
 866
 290
 2015 1976 14591 Newport Ave
Tustin, CA 
 3,361
 12,039
 1,880
 3,361
 13,919
 2,891
 2015 1985 14642 Newport Ave
Van Nuys, CA 
 
 36,187
 
 
 36,187
 9,842
 2009 1991 6815 Noble Ave.
Voorhees, NJ 
 6,404
 24,251
 1,816
 6,477
 25,994
 9,866
 2006 1997 900 Centennial Blvd.
Voorhees, NJ 
 6
 96,075
 447
 99
 96,429
 25,331
 2010 2012 200 Bowman Drive
Waco, TX 
 601
 2,594
 
 601
 2,594
 
 2018 2000 6600 Fish Pond Rd
Waco, TX 14,930
 2,250
 28,632
 
 2,250
 28,632
 
 2018 1981 601 Highway 6 West
Washington, PA 19,425
 3,981
 31,706
 
 3,981
 31,706
 
 2018 2010 100 Trich Drive
Wausau, WI 
 2,050
 12,175
 
 2,050
 12,175
 788
 2015 2017 1901 Westwood Center Boulevard
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Building & Improvements Cost Capitalized Subsequent to Acquisition Land Building & Improvements 
Accumulated Depreciation(1)
 Year Acquired Year Built Address
Outpatient Medical:                
Waxahachie, TX 
 
 18,784
 230
 303
 18,711
 1,749
 2016 2014 2460 N I-35 East
Wellington, FL 
 107
 16,933
 2,705
 326
 19,419
 7,051
 2006 2000 10115 Forest Hill Blvd.
Wellington, FL 
 388
 13,697
 1,756
 580
 15,261
 5,163
 2007 2003 1395 State Rd. 7
West Seneca, NY 
 917
 22,435
 4,230
 1,665
 25,917
 10,390
 2007 1990 550 Orchard Park Rd
Westlake Village, CA 6,360
 2,487
 9,776
 
 2,487
 9,776
 154
 2018 1989 1220 La Venta Drive
Westlake Village, CA 8,002
 2,553
 15,851
 
 2,553
 15,851
 214
 2018 1975 1250 La Venta Drive
Woodbridge, VA 
 346
 16,629
 
 346
 16,629
 
 2018 2012 12825 Minnieville Road
Zephyrhills, FL 
 3,875
 27,270
 
 3,875
 27,270
 6,850
 2011 1974 38135 Market Square Dr
Zephyrhills, FL 
 5,927
 29,082
 
 5,927
 29,082
 742
 2018 2016 2352 Bruce B Downs Boulevard
Outpatient Medical Total $386,737

$645,891

$5,233,682

$357,411

$712,257

$5,524,727

$1,276,138
      
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Buildings & Improvements Cost Capitalized Subsequent to Acquisition Land Buildings & Improvements Accumulated Depreciation Year Acquired Year Built Address
Assets Held For Sale:  
Merriam, KS 
 176
 8,005
 
 
 5,235
 
 2011 1972 8800 West 75th Street
Merriam, KS 
 
 10,222
 
 
 8,218
 
 2011 1977 8901 West 74th Street
Merriam, KS 
 1,257
 24,911
 
 
 18,927
 
 2013 2009 9301 West 74th Street
Merrillville, IN 
 
 22,134
 
 
 15,000
 
 2008 2006 101 E. 87th Ave.
Mesa, AZ 
 1,558
 9,561
 
 
 7,244
 
 2008 1989 6424 East Broadway Road
Morrow, GA 
 818
 8,064
 
 
 4,673
 
 2007 1990 6635 Lake Drive
Nassau Bay, TX 
 378
 29,947
 
 
 14,655
 
 2012 1981 18100 St John Drive
Nassau Bay, TX 
 91
 10,613
 
 
 5,303
 
 2012 1986 2060 Space Park Drive
Needham, MA 
 1,240
 32,992
 
 
 32,308
 
 2016 2011 880 Greendale Avenue
Newburyport, MA 
 1,750
 29,187
 
 
 29,118
 
 2016 2015 4 Wallace Bashaw Junior Way
Niagara Falls, ON 
 1,225
 7,963
 
 
 
 
 2015 1991 7860 Lundy's Lane
North Cape May, NJ 
 77
 151
 4,203
 
 4,431
 
 2015 1988 610 Town Bank Road
North Dartmouth, MA 
 1,700
 35,337
 
 
 35,298
 
 2016 1997 239 Cross Road
Oceanside, CA 
 2,160
 18,352
 
 
 18,111
 
 2011 2005 3500 Lake Boulevard
Ogden, UT 
 384
 2,228
 
 
 
 
 2018 1987 400 East 5350 South
Palm Springs, FL 
 739
 4,066
 
 
 2,061
 
 2006 1993 1640 S. Congress Ave.
Palm Springs, FL 
 1,182
 7,765
 
 
 3,790
 
 2006 1997 1630 S. Congress Ave.
Plymouth, MA 12,860
 2,550
 35,055
 
 
 35,551
 
 2016 1970 60 Stafford Hill
Portland, ME 
 655
 25,529
 
 
 17,783
 
 2011 2008 195 Fore River Parkway
Renton, WA 20,790
 3,080
 51,824
 12,281
 
 67,185
 
 2011 2007 104 Burnett Avenue South
Rexburg, ID 
 1,267
 3,213
 
 
 67
 
 2018 1988 660 South 2nd West
Roswell, NM 
 183
 5,850
 
 
 3,909
 
 2011 2004 601 West Country Club Road
Roswell, NM 
 883
 15,984
 
 
 11,896
 
 2011 2006 350 West Country Club Road
Roswell, NM 
 762
 17,171
 
 
 13,361
 
 2011 2009 300 West Country Club Road
Sacramento, CA 
 866
 12,756
 
 
 7,714
 
 2006 1990 8120 Timberlake Way
San Antonio, TX 
 4,518
 31,041
 
 
 28,015
 
 2012 1986 5282 Medical Drive
San Diego, CA 
 
 22,003
 
 
 
 
 2008 1992 555 Washington St.
San Diego, CA 
 4,200
 30,707
 
 
 29,218
 
 2011 2011 2567 Second Avenue
San Jose, CA 
 2,850
 35,098
 
 
 30,088
 
 2011 2009 1420 Curvi Drive
Santa Maria, CA 
 6,050
 50,658
 
 
 44,355
 
 2011 2001 1220 Suey Road
Sarasota, FL 
 62
 47,325
 
 
 36,149
 
 2012 1990 1921 Waldemere Street
Seattle, WA 48,540
 6,790
 85,369
 
 
 73,052
 
 2011 2009 5300 24th Avenue NE
Tacoma, WA 17,640
 2,400
 35,053
 
 
 30,014
 
 2011 2008 7290 Rosemount Circle
Tacoma, WA 
 1,535
 6,068
 
 
 6,479
 
 2015 2012 7290 Rosemount Circle
Tewksbury, MA 
 2,350
 24,118
 
 
 25,200
 
 2016 2006 2000 Emerald Court
Toronto, ON 
 1,361
 2,915
 
 
 
 
 2013 1985 3705 Bathurst Street
West Seneca, NY 
 917
 22,435
 
 
 16,218
 
 2007 1990 550 Orchard Park Rd
Wilkes-Barre, PA 
 570
 2,301
 
 
 2,847
 
 2011 1992 300 Courtright Street
Assets Held For Sale Total $124,430

$122,167

$1,511,800

$29,815

$

$1,253,008

$
      


107


Welltower Inc.  
Schedule III  
Real Estate and Accumulated Depreciation  
December 31, 2018  
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Buildings & Improvements Cost Capitalized Subsequent to Acquisition Land Buildings & Improvements Accumulated Depreciation Year Acquired Year Built Address
Assets Held For Sale:  
Agawam, MA $
 $880
 $10,044
 $
 $
 $8,696
 $
 2011 1996 153 Cardinal Drive
Agawam, MA 
 1,230
 13,618
 
 
 6,074
 
 2011 1975 61 Cooper Street
Agawam, MA 
 930
 15,304
 
 
 6,511
 
 2011 1970 55 Cooper Street
Agawam, MA 
 920
 10,661
 
 
 4,592
 
 2011 1985 464 Main Street
Agawam, MA 
 920
 10,562
 
 
 4,537
 
 2011 1967 65 Cooper Street
Ayer, MA 
 
 22,074
 
 
 8,691
 
 2011 1988 400 Groton Road
Beachwood, OH 
 1,260
 23,478
 
 
 10,503
 
 2001 1990 3800 Park East Drive
Birmingham, UKG 
 4
 21,321
 
 
 13,200
 
 2013 2006 5 Church Road, Edgbaston
Bridgewater, NJ 
 1,850
 3,050
 
 
 3,342
 
 2004 1970 875 Route 202/206 North
Broadview Heights, OH 
 920
 12,400
 
 
 9,590
 
 2001 1984 2801 E. Royalton Rd.
Canton, MA 
 820
 8,201
 
 
 2,626
 
 2002 1993 One Meadowbrook Way
Centerville, MA 
 1,300
 27,357
 
 
 23,139
 
 2011 1998 22 Richardson Road
Charles Town, WV 
 230
 22,834
 
 
 18,509
 
 2011 1997 219 Prospect Ave
Cinnaminson, NJ 
 860
 6,663
 
 
 6,014
 
 2011 1965 1700 Wynwood Drive
Cloquet, MN 
 340
 4,660
 
 
 4,285
 
 2011 2006 705 Horizon Circle
Concord, NH 
 720
 3,041
 
 
 3,344
 
 2011 1926 227 Pleasant Street
Dallas, TX 
 1,080
 9,655
 
 
 4,412
 
 2011 1997 3611 Dickason Avenue
Gettysburg, PA 
 590
 8,913
 
 
 7,501
 
 2011 1987 867 York Road
Glastonbury, CT 
 1,950
 9,532
 
 
 5,500
 
 2011 1966 72 Salmon Brook Drive
Hamburg, PA 
 840
 10,543
 
 
 8,994
 
 2011 1966 125 Holly Road
Houston, TX 
 5,090
 9,471
 
 
 7,840
 
 2007 2009 15015 Cypress Woods Medical Drive
Lancaster, NH 
 160
 434
 
 
 493
 
 2011 1905 63 Country Village Road
Langhorne, PA 
 1,350
 24,881
 
 
 3,551
 
 2011 1979 262 Toll Gate Road
Lowell, MA 
 1,070
 13,481
 
 
 1,960
 
 2011 1975 841 Merrimack Street
Lowell, MA 
 680
 3,378
 
 
 3,155
 
 2011 1969 30 Princeton Blvd
Mendham, NJ 
 1,240
 27,169
 
 
 23,295
 
 2011 1968 84 Cold Hill Road
Merriam, KS 
 
 1,996
 
 
 
 
 2011 1980 7301 Frontage Street
Merriam, KS 
 
 5,862
 
 
 
 
 2011 1985 9119 West 74th Street
Middletown, RI 
 2,480
 24,628
 
 
 21,727
 
 2011 1998 303 Valley Road
Millville, NJ 
 840
 29,944
 
 
 24,559
 
 2011 1986 54 Sharp Street
Monroe Twp, NJ 
 1,160
 13,193
 
 
 11,403
 
 2011 1996 292 Applegarth Road
Mystic, CT 
 1,400
 18,274
 
 
 15,316
 
 2011 2001 20 Academy Lane Mystic
Niantic, CT 
 1,320
 25,986
 
 
 25,167
 
 2011 2001 417 Main Street
North Cape May, NJ 
 77
 151
 48
 
 276
 
 2015 1988 610 Town Bank Road
North Cape May, NJ 
 600
 22,266
 
 
 18,270
 
 2011 1995 700 Townbank Road
Palm Springs, FL 
 739
 4,066
 
 
 2,061
 
 2006 1993 1640 S. Congress Ave.
Palm Springs, FL 
 1,182
 7,765
 
 
 3,477
 
 2006 1997 1630 S. Congress Ave.
(Dollars in thousands)  
    Initial Cost to Company   Gross Amount at Which Carried at Close of Period      
Description Encumbrances Land Buildings & Improvements Cost Capitalized Subsequent to Acquisition Land Buildings & Improvements Accumulated Depreciation Year Acquired Year Built Address
Assets Held For Sale:  
Pennsauken, NJ 
 900
 10,780
 
 
 9,172
 
 2011 1985 5101 North Park Drive
Providence, RI 
 2,655
 21,910
 
 
 16,021
 
 2011 1998 700 Smith Street
Rockville, CT 
 1,500
 4,835
 
 
 5,073
 
 2011 1960 1253 Hartford Turnpike
Sanatoga, PA 
 980
 30,695
 
 
 14,166
 
 2011 1993 225 Evergreen Road
South Boston, MA 
 385
 2,002
 1,525
 
 3,912
 
 1995 1961 804 E. Seventh St.
South Windsor, CT 
 3,000
 29,295
 
 
 26,338
 
 2011 1999 432 Buckland Road
Swanton, OH 
 330
 6,370
 
 
 4,160
 
 2004 1950 401 W. Airport Hwy.
Troy, OH 
 470
 16,730
 
 
 10,730
 
 2004 1971 512 Crescent Drive
Trumbull, CT 
 2,850
 37,685
 
 
 32,020
 
 2011 1998 2750 Reservoir Avenue 
Wallingford, CT 
 490
 1,210
 
 
 727
 
 2011 1962 35 Marc Drive
Warwick, RI 
 2,400
 24,635
 
 
 21,633
 
 2011 1998 75 Minnesota Avenue 
Waterbury, CT 
 2,460
 39,547
 
 
 30,909
 
 2011 1998 180 Scott Road 
West Chester, PA 
 1,350
 29,237
 
 
 24,564
 
 2011 1974 800 West Miner Street
West Orange, NJ 
 2,280
 10,687
 
 
 10,571
 
 2011 1963 20 Summit Street
Westlake, OH 
 1,330
 17,926
 
 
 8,673
 
 2001 1985 27601 Westchester Pkwy.
Wilbraham, MA 
 660
 17,639
 
 
 14,484
 
 2011 2000 2387 Boston Road 
Wilkes-Barre, PA 
 570
 2,301
 
 
 1,176
 
 2011 1992 300 Courtright Street
Windsor, CT 
 2,250
 8,539
 
 
 10,218
 
 2011 1969 One Emerson Drive
Windsor, CT 
 1,800
 600
 424
 
 2,824
 
 2011 1974 One Emerson Drive
Wyncote, PA 
 2,700
 22,244
 
 
 20,290
 
 2011 1960 1245 Church Road
Assets Held For Sale Total $

$68,392

$821,723

$1,997

$

$590,271

$
      


   Initial Cost to Company   Gross Amount at Which Carried at Close of Period   Initial Cost to Company   Gross Amount at Which Carried at Close of Period
 Encumbrances Land Buildings & Improvements Cost Capitalized Subsequent to Acquisition Land Buildings & Improvements Accumulated Depreciation Encumbrances Land Buildings & Improvements Cost Capitalized Subsequent to Acquisition Land Buildings & Improvements Accumulated Depreciation
Summary:                            
Seniors Housing Operating $1,810,587
 $1,331,171
 $14,047,033
 $1,206,757
 $1,373,258
 $15,211,900
 $2,962,334
 $1,990,607
 $1,383,927
 $13,886,675
 $1,879,176
 $1,469,078
 $15,680,700
 $3,194,057
Triple-net 288,387
 1,096,169
 8,585,481
 301,960
 1,119,576
 8,864,034
 1,261,486
 306,038
 1,036,151
 7,894,992
 351,136
 1,057,708
 8,224,571
 1,272,903
Outpatient Medical 386,737
 645,891
 5,233,682
 357,411
 712,257
 5,524,727
 1,276,138
 572,266
 885,789
 6,626,075
 323,055
 959,834
 6,875,085
 1,248,499
Construction in progress 
 
 194,365
 
 
 194,365
 
 
 
 507,931
 
 
 507,931
 
                            
Total continuing operating properties 2,485,711

3,073,231

28,060,561

1,866,128

3,205,091

29,795,026

5,499,958
 2,868,911

3,305,867

28,915,673

2,553,367

3,486,620

31,288,287

5,715,459
                            
Assets held for sale 
 68,392
 821,723
 1,997
 
 590,271
 
 124,430
 122,167
 1,511,800
 29,815
 
 1,253,008
 
                            
Total investments in real property owned $2,485,711
 $3,141,623
 $28,882,284
 $1,868,125
 $3,205,091
 $30,385,297
 $5,499,958
 $2,993,341
 $3,428,034
 $30,427,473
 $2,583,182
 $3,486,620
 $32,541,295
 $5,715,459
(1) Please see Note 2 to our consolidated financial statements for information regarding lives used for depreciation and amortization.
(2) Represents real property asset associated with a capital lease.


 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
   (in thousands)     (in thousands)  
Investment in real estate:            
Beginning balance $30,581,948
 $30,041,058
 $29,865,490
 $33,590,388
 $30,581,948
 $30,041,058
Acquisitions and development 4,598,670
 1,276,636
 2,834,279
 4,807,418
 4,598,670
 1,276,636
Improvements 266,183
 250,276
 219,146
 328,824
 266,183
 250,276
Deconsolidation of previously consolidated venture 
 (144,897) 
 
 
 (144,897)
Impairment of assets (71,336) (101,527) (37,207) (28,074) (71,336) (101,527)
Dispositions (1,330,679) (1,203,247) (2,411,219) (2,673,203) (1,330,679) (1,203,247)
Foreign currency translation (454,398) 415,879
 (429,431) 187,853
 (454,398) 415,879
Other(1)
 
 47,770
 
 (185,291) 
 47,770
Ending balance(2)
 $33,590,388
 $30,581,948
 $30,041,058
 $36,027,915
 $33,590,388
 $30,581,948
            
Accumulated depreciation:            
Beginning balance $4,838,370
 $4,093,494
 $3,796,297
 $5,499,958
 $4,838,370
 $4,093,494
Depreciation and amortization expenses 950,459
 921,720
 901,242
 1,027,073
 950,459
 921,720
Amortization of above market leases 6,375
 7,303
 7,909
 5,752
 6,375
 7,303
Disposition and other (205,562) (192,029) (514,651) (772,273) (205,562) (192,029)
Foreign currency translation (89,684) 7,882
 (97,303) (45,051) (89,684) 7,882
Ending balance $5,499,958
 $4,838,370
 $4,093,494
 $5,715,459
 $5,499,958
 $4,838,370
     ��      
(1) Primarily2019 change primarily relates to the adoption of ASC 842 and the 2017 change primarily relates to the acquisition of an asset through foreclosure.
(2) The unaudited aggregate cost for tax purposes for real property equals $25,618,090,000$30,691,276,000 at December 31, 2018.2019.

108


Welltower Inc.Schedule IV - Mortgage Loans on Real Estate
December 31, 2018
December 31, 2019December 31, 2019
       (in thousands)       (in thousands)
Location Segment Interest Rate Final Maturity Date Monthly Payment Terms Prior Liens Face Amount of Mortgages Carrying Amount of Mortgages Principal Amount of Loans Subject to Delinquent Principal or Interest Segment Interest Rate Final Maturity Date Monthly Payment Terms Prior Liens Face Amount of Mortgages Carrying Amount of Mortgages Principal Amount of Loans Subject to Delinquent Principal or Interest
First mortgages relating to 1 property located in:First mortgages relating to 1 property located in:        First mortgages relating to 1 property located in:        
California Triple-net 8.11% 12/15/2020 $
 $
 $28,000
 $9,247
 $
 Triple-net 7.95% 1/1/2022 $696
 $
 $131,100
 $53,071
 $
California Triple-net 7.95% 1/1/2022 1
 
 131,100
 53,172
 
United Kingdom Triple-net 8.54% 12/14/2018 
 
 2,678
 1,284
 
 Triple-net 7.25% 3/15/2022 139
 
 27,828
 23,788
 
United Kingdom Triple-net 8.00% 8/24/2022 
 
 11,041
 6,638
 
 Triple-net 8.53% 7/7/2021 140
 
 19,904
 19,904
 
United Kingdom Triple-net 8.55% 7/1/2019 
 
 14,600
 14,599
 
United Kingdom Triple-net 7.00% 3/15/2022 
 
 26,748
 20,283
 
United Kingdom Triple-net 8.28% 7/6/2019 
 
 19,131
 19,131
 
Oklahoma Triple-net 9.32% 11/1/2019 
 
 11,610
 11,595
 
Pennsylvania Triple-net 8.47% 3/1/2022 
 
 15,530
 14,237
 
 Triple-net 8.72% 3/1/2022 108
 
 15,530
 15,108
 
Florida Triple-net 10.20% 6/23/2021 
 
 17,100
 17,385
 
North Carolina Triple-net 7.60% 12/18/2023 
 
 30,883
 3,000
 
 Triple-net 7.83% 12/18/2023 92
 
 30,883
 16,259
 
Texas Outpatient medical 7.60% 1/19/2025 
 
 3,740
 3,733
 
 Outpatient Medical 7.86% 1/19/2025 24
 
 3,740
 3,733
 
United Kingdom Triple-net 8.50% 12/31/2021 
 
 19,104
 6,505
 
 Triple-net 8.50% 2/1/2024 92
 
 19,876
 13,823
 
                    
First mortgages relating to multiple properties:        
4 properties in Texas Triple-net 7.95% 1/1/2022 1
 
 106,218
 65,162
 


          
Second mortgages relating to 1 property located in:        
Texas Triple-net 12.17% 5/1/2019 
 11,367
 3,100
 3,100
 


          
Totals         $11,367
 $440,583
 $249,071
 $
         $
 $248,861
 $145,686
 $
 
 Year Ended December 31, Year Ended December 31,
 2018 2017 2016 2019 2018 2017
Reconciliation of mortgage loans: (in thousands) (in thousands)
Balance at beginning of year $306,120
 $485,735
 $635,492
 $249,071
 $306,120
 $485,735
Additions:            
New mortgage loans 25,290
 6,706
 8,223
 
 25,290
 6,706
Draws on existing loans 36,458
 58,224
 92,815
 45,961
 36,458
 58,224
Total Additions 61,748
 64,930
 101,038
Total additions 45,961
 61,748
 64,930
            
Deductions:            
Collections of principal (116,905) (180,135) (191,134) (87,249) (116,905) (180,135)
Conversions to real property 
 
 (45,044)
Loan balance transferred to non real estate loans receivable (64,040) 
 
Change in allowance for loan losses and charge-offs 
 (71,535) (3,053) 
 
 (71,535)
Total deductions (116,905) (251,670) (239,231) (151,289) (116,905) (251,670)
Change in balance due to foreign currency translation (1,892) 7,125
 (11,564) 1,944
 (1,892) 7,125
Balance at end of year $249,071
 $306,120
 $485,735
 $145,686
 $249,071
 $306,120



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