Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Mar. 18, 2015 | Jun. 30, 2014 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | CNL Healthcare Properties, Inc. | ||
Entity Central Index Key | 1496454 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 133,533,876 | ||
Entity Public Float | $788,800,000 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Real estate assets: | ||
Real estate investment properties, net (including VIEs $174,449 and $72,053, respectively) | $1,657,500 | $848,791 |
Real estate under development, including land (including VIEs $47,153 and $16,210 respectively) | 47,153 | 17,409 |
Total real estate assets, net | 1,704,653 | 866,200 |
Intangibles, net (including VIEs $25,519 and $4,535 respectively) | 140,264 | 52,400 |
Cash (including VIEs $6,280 and $727 respectively) | 91,355 | 44,209 |
Loan costs, net (including VIEs $2,300 and $912 respectively) | 14,012 | 7,919 |
Other assets (including VIEs $467 and $21 respectively) | 11,197 | 6,445 |
Restricted cash (including VIEs $5,304 and $257 respectively) | 10,753 | 2,839 |
Deferred rent and lease incentives (including VIEs $2,978 and $104 respectively) | 8,240 | 2,782 |
Investments in unconsolidated entities | 7,379 | 18,438 |
Deposits (including VIEs $44 and $0 respectively) | 1,162 | 8,892 |
Note receivable from related party | 3,949 | |
Total assets | 1,989,015 | 1,014,073 |
Liabilities: | ||
Mortgages and other notes payable, net (including VIEs $137,754 and $52,596 respectively) | 853,561 | 438,107 |
Credit facilities | 206,403 | 98,500 |
Other liabilities (including VIEs $4,949 and $939 respectively) | 27,448 | 7,243 |
Accounts payable and accrued expenses (including VIEs $2,317 and $309 respectively) | 18,493 | 7,887 |
Accrued development costs (including VIEs $7,951 and $7,047 respectively) | 7,951 | 7,047 |
Due to related parties (including VIEs $219 and $112 respectively) | 2,999 | 3,308 |
Total liabilities | 1,116,855 | 562,092 |
Commitments and contingencies (Note 15) | ||
Redeemable noncontrolling interest | 568 | |
Stockholders' equity: | ||
Preferred stock, $0.01 par value per share, 200,000 shares authorized; none issued or outstanding | ||
Excess shares, $0.01 par value per share, 300,000 shares authorized; none issued or outstanding | 0 | 0 |
Common stock, $0.01 par value per share, 1,120,000 shares authorized, 116,672 and 58,308 shares issued, and 116,256 and 58,218 shares outstanding, respectively | 1,163 | 582 |
Capital in excess of par value | 1,007,326 | 500,361 |
Accumulated loss | -83,091 | -30,580 |
Accumulated distributions | -49,342 | -17,423 |
Accumulated other comprehensive loss | -4,864 | -959 |
Total stockholders' equity | 871,192 | 451,981 |
Noncontrolling interest | 400 | |
Total equity | 872,160 | 451,981 |
Total liabilities and equity | $1,989,015 | $1,014,073 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Real estate investment properties, net | $1,657,500 | $848,791 |
Real estate under development, including land | 47,153 | 17,409 |
Intangibles, net | 140,264 | 52,400 |
Cash | 91,355 | 44,209 |
Loan costs, net | 14,012 | 7,919 |
Other assets | 11,197 | 6,445 |
Restricted cash | 10,753 | 2,839 |
Deferred rent and lease incentives | 8,240 | 2,782 |
Deposits | 1,162 | 8,892 |
Mortgage and other notes payable, net | 853,561 | 438,107 |
Other liabilities | 27,448 | 7,243 |
Accounts payable and accrued expenses | 18,493 | 7,887 |
Accrued development costs | 7,951 | 7,047 |
Due to related parties | 2,999 | 3,308 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 200,000 | 200,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Excess shares, par value | $0.01 | $0.01 |
Excess shares, shares authorized | 300,000 | 300,000 |
Excess shares, shares issued | 0 | 0 |
Excess shares, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 1,120,000 | 1,120,000 |
Common stock, shares issued | 116,672 | 58,308 |
Common stock, shares outstanding | 116,256 | 58,218 |
VIEs | ||
Real estate investment properties, net | 174,449 | 72,053 |
Real estate under development, including land | 47,153 | 16,210 |
Intangibles, net | 25,519 | 4,535 |
Cash | 6,280 | 727 |
Loan costs, net | 2,300 | 912 |
Other assets | 467 | 21 |
Restricted cash | 5,304 | 257 |
Deferred rent and lease incentives | 2,978 | 104 |
Deposits | 44 | 0 |
Mortgage and other notes payable, net | 137,754 | 52,596 |
Other liabilities | 4,949 | 939 |
Accounts payable and accrued expenses | 2,317 | 309 |
Accrued development costs | 7,951 | 7,047 |
Due to related parties | $219 | $112 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | ||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Revenues: | |||||
Rental income from operating leases | $49,305 | $23,297 | $6,925 | ||
Resident fees and services | 123,777 | 27,550 | 460 | ||
Tenant reimbursement income | 7,504 | 1,640 | |||
Interest income on note receivable from related party | 498 | 118 | |||
Total revenues | 181,084 | 52,605 | 7,385 | ||
Operating Expenses: | |||||
Property operating expenses | 93,549 | 20,940 | 406 | ||
General and administrative | 6,877 | 5,618 | 2,563 | ||
Acquisition fees and expenses | 23,931 | 18,840 | 6,585 | ||
Asset management fees | 8,481 | 3,614 | 1,369 | ||
Property management fees | 8,942 | 2,642 | 404 | ||
Contingent purchase price consideration adjustment | -630 | -1,824 | |||
Depreciation and amortization | 63,112 | 16,765 | 2,101 | ||
Total operating expenses | 204,262 | 66,595 | 13,428 | ||
Operating loss | -23,178 | -13,990 | -6,043 | ||
Other income (expense): | |||||
Interest and other income | 104 | 74 | 13 | ||
Interest expense and loan cost amortization | -30,487 | -10,799 | -5,850 | ||
Equity in earnings (loss) of unconsolidated entities | -1,387 | 2,147 | 1,143 | ||
Gain on sale of investment in unconsolidated entity | 4,486 | ||||
Gain on purchase of controlling interest of investment in unconsolidated entity | 2,798 | ||||
Total other expense | -28,972 | -4,092 | -4,694 | ||
Loss before income taxes | -52,150 | -18,082 | -10,737 | ||
Income tax benefit (expense) | -361 | -18 | 17 | ||
Net loss | -52,511 | -18,100 | -10,720 | ||
Less: Net loss attributable to noncontrolling interest | 0 | 0 | 0 | ||
Net loss attributable to common stockholders | ($52,511) | ($18,100) | ($10,720) | ||
Net loss per share of common stock (basic and diluted) | ($0.63) | ($0.44) | ($0.81) | ||
Weighted average number of shares of common stock outstanding (basic and diluted) | 83,457 | [1] | 41,197 | [1] | 13,199 |
[1] | For the purposes of determining the weighted average number of shares of common stock outstanding, stock distributions issued are treated as if they were outstanding for all periods presented. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net loss | ($52,511) | ($18,100) | ($10,720) |
Other comprehensive income (loss): | |||
Unrealized loss on derivative financial instruments, net | -3,915 | -1,042 | |
Unrealized gain on derivative financial instruments of equity method investments | 10 | 83 | |
Total other comprehensive loss | -3,905 | -959 | |
Comprehensive loss | -56,416 | -19,059 | -10,720 |
Less: Comprehensive loss attributable to noncontrolling interest | 0 | 0 | 0 |
Comprehensive loss attributable to common stockholders | ($56,416) | ($19,059) | ($10,720) |
CONSOLIDATED_STATEMENTS_OF_STO
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND REDEEMABLE NONCONTROLLING INTEREST (USD $) | Total | Common Stock | Capital in Excess of Par Value | Accumulated Loss | Accumulated Distributions | Accumulated Other Comprehensive Loss | Redeemable Noncontrolling Interests | Total Stockholders' Equity | Non- controlling Interests |
Beginning Balance at Dec. 31, 2011 | $9,702,000 | $13,000 | $11,505,000 | ($1,760,000) | ($56,000) | $9,702,000 | |||
Beginning Balance (in shares) at Dec. 31, 2011 | 1,357,000 | ||||||||
Subscriptions received for common stock through public offering and reinvestment plan (in shares) | 16,850,000 | ||||||||
Subscriptions received for common stock through public offering and reinvestment plan | 168,266,000 | 169,000 | 168,097,000 | 168,266,000 | |||||
Stock distributions | 2,000 | -2,000 | |||||||
Stock distributions, shares | 240,000 | ||||||||
Redemptions of common stock | -10,000 | -10,000 | -10,000 | ||||||
Redemption of common stock, shares | -1,000 | ||||||||
Stock issuance and offering costs | -23,390,000 | -23,390,000 | -23,390,000 | ||||||
Net loss | -10,720,000 | ||||||||
Net loss | -10,720,000 | -10,720,000 | -10,720,000 | ||||||
Cash distributions declared and paid or reinvested ($0.39996 per share in 2013 and $0.4071 per share in 2014) | -3,197,000 | -3,197,000 | -3,197,000 | ||||||
Ending Balance at Dec. 31, 2012 | 140,651,000 | 184,000 | 156,200,000 | -12,480,000 | -3,253,000 | 140,651,000 | |||
Ending Balance (in shares) at Dec. 31, 2012 | 18,446,000 | ||||||||
Subscriptions received for common stock through public offering and reinvestment plan (in shares) | 38,798,000 | ||||||||
Subscriptions received for common stock through public offering and reinvestment plan | 387,363,000 | 388,000 | 386,975,000 | 387,363,000 | |||||
Stock distributions | 11,000 | -11,000 | |||||||
Stock distributions, shares | 1,063,000 | ||||||||
Redemptions of common stock | -827,000 | -1,000 | -826,000 | -827,000 | |||||
Redemption of common stock, shares | -89,000 | ||||||||
Stock issuance and offering costs | -41,977,000 | -41,977,000 | -41,977,000 | ||||||
Net loss | -18,100,000 | ||||||||
Net loss | -18,100,000 | -18,100,000 | -18,100,000 | ||||||
Other comprehensive loss | -959,000 | -959,000 | -959,000 | ||||||
Distribution to holder of promoted interest | -2,000,000 | ||||||||
Cash distributions declared and paid or reinvested ($0.39996 per share in 2013 and $0.4071 per share in 2014) | -14,170,000 | -14,170,000 | -14,170,000 | ||||||
Ending Balance at Dec. 31, 2013 | 451,981,000 | 582,000 | 500,361,000 | -30,580,000 | -17,423,000 | -959,000 | 451,981,000 | ||
Ending Balance (in shares) at Dec. 31, 2013 | 58,218,000 | 58,218,000 | |||||||
Subscriptions received for common stock through public offering and reinvestment plan (in shares) | 56,006,000 | ||||||||
Subscriptions received for common stock through public offering and reinvestment plan | 572,324,000 | 560,000 | 571,764,000 | 572,324,000 | |||||
Stock distributions | 24,000 | -24,000 | |||||||
Stock distributions, shares | 2,356,000 | ||||||||
Redemptions of common stock | -2,996,000 | -3,000 | -2,993,000 | -2,996,000 | |||||
Redemption of common stock, shares | -324,000 | ||||||||
Stock issuance and offering costs | -59,782,000 | -59,782,000 | -59,782,000 | ||||||
Net loss | -52,511,000 | -52,511,000 | -52,511,000 | ||||||
Net loss | -52,511,000 | ||||||||
Other comprehensive loss | -3,905,000 | -3,905,000 | -3,905,000 | ||||||
Distribution to holder of promoted interest | -2,000,000 | -2,000,000 | -2,000,000 | ||||||
Cash distributions declared and paid or reinvested ($0.39996 per share in 2013 and $0.4071 per share in 2014) | -31,919,000 | -31,919,000 | -31,919,000 | ||||||
Contribution from noncontrolling interests | 968,000 | 568,000 | 400,000 | ||||||
Ending Balance at Dec. 31, 2014 | $871,192,000 | $1,163,000 | $1,007,326,000 | ($83,091,000) | ($49,342,000) | ($4,864,000) | $568,000 | $871,192,000 | $400,000 |
Ending Balance (in shares) at Dec. 31, 2014 | 116,256,000 | 116,256,000 |
CONSOLIDATED_STATEMENTS_OF_STO1
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND REDEEMABLE NONCONTROLLING INTEREST (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Cash distributions, declared and paid per share | $0.41 | $0.40 | $0.40 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Operating Activities: | |||
Net loss | ($52,511) | ($18,100) | ($10,720) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities | |||
Depreciation and amortization | 63,112 | 16,765 | 2,101 |
Amortization of loan costs | 2,921 | 1,433 | 1,161 |
Accretion of note origination costs | 60 | 80 | |
Amortization of above and below market intangibles | 345 | 68 | |
Straight-line rent adjustments | -2,472 | -2,023 | -843 |
Deferred tax assets, net | 31 | -31 | |
Loss on extinguishment of debt | 244 | 460 | |
Contingent purchase price consideration adjustment | -630 | -1,824 | |
Equity in earnings of unconsolidated entities, net of distributions | 2,931 | 1,620 | 465 |
Gain on purchase of controlling interest in unconsolidated entity | -2,798 | ||
Gain on sale of unconsolidated entity | -4,486 | ||
Changes in operating assets and liabilities: | |||
Other assets | -1,791 | -740 | -1,113 |
Deferred rent and lease incentives | -1,016 | ||
Due from related parties | -155 | -25 | |
Accounts payable and accrued expenses | 7,235 | 5,450 | 1,569 |
Other liabilities | 5,038 | 2,907 | |
Due to related parties | -997 | 1,646 | 582 |
Net cash flows provided by (used in) operating activities | 19,272 | 3,046 | -6,369 |
Investing activities: | |||
Acquisition of properties | -869,458 | -655,924 | -241,800 |
Development of properties | -47,150 | -23,246 | -8,050 |
Issuance of note receivable to related party | -2,065 | -3,686 | |
Collection of note receivable from related party | 5,591 | ||
Distribution from unconsolidated entities | 2,206 | 222 | |
Purchase of controlling interest in unconsolidated entity | -1,584 | ||
Investment in unconsolidated entities | -220 | -12,912 | -65,025 |
Proceeds from sale of unconsolidated entity | 61,761 | ||
Changes in restricted cash | -7,914 | -2,229 | -610 |
Capital expenditures | -4,021 | -347 | |
Payment of leasing costs | -543 | -12 | -17 |
Deposits on real estate | -500 | -7,419 | -145 |
Net cash used in investing activities | -925,658 | -643,792 | -315,647 |
Financing activities: | |||
Subscriptions received for common stock through public offering | 554,608 | 379,772 | 166,527 |
Payment of stock issuance and offering costs | -58,880 | -41,821 | -22,917 |
Distributions to stockholders, net of distribution reinvestments | -14,203 | -6,579 | -1,459 |
Distribution to holder of promoted interest | -2,000 | ||
Contribution from redeemable noncontrolling interest | 568 | ||
Contribution from noncontrolling interest | 400 | ||
Redemptions of common stock | -2,246 | -706 | -10 |
Draws under revolving credit facilities | 367,223 | 98,500 | |
Repayments on revolving credit facilities | -259,320 | ||
Proceeds from mortgage and other notes payable | 402,438 | 362,392 | 264,780 |
Principal payments on mortgage and other notes payable | -27,012 | -117,436 | -71,628 |
Lender deposits | -150 | -1,110 | -138 |
Payment of loan costs | -7,894 | -6,319 | -4,879 |
Net cash flows provided by financing activities | 953,532 | 666,693 | 330,276 |
Net increase in cash | 47,146 | 25,947 | 8,260 |
Cash at beginning of period | 44,209 | 18,262 | 10,002 |
Cash at end of period | 91,355 | 44,209 | 18,262 |
Supplemental disclosure of cash flow information: | |||
Cash paid during the period for interest, net of capitalized interest of $0.9 million, $0.5 million and $0.05 million, respectively | 26,724 | 8,720 | 3,377 |
Cash paid for income taxes | 545 | 569 | 7 |
Amounts incurred but not paid (including amounts due to related parties): | |||
Stock issuance and offering costs | 1,656 | 752 | 595 |
Loan costs | 310 | 241 | 136 |
Capital expenditures | 72 | ||
Accrued development costs | 7,951 | 7,047 | 311 |
Redemptions payable | 872 | 121 | |
Contingent purchase price consideration | 268 | 507 | |
Loan cost amortization capitalized on development properties | 73 | 97 | 56 |
Unrealized loss on derivative financial instruments, net | 4,864 | 959 | |
Assumption of liabilities on acquired property | 1,000 | ||
Assumption of mortgage note payable on acquired property | $27,657 |
CONSOLIDATED_STATEMENTS_OF_CAS1
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash paid during the period for interest, net of capitalized interest | $0.90 | $0.50 | $0.50 |
Organization
Organization | 12 Months Ended | |
Dec. 31, 2014 | ||
Organization | 1 | Organization |
CNL Healthcare Properties, Inc. (the “Company”) is a Maryland corporation incorporated on June 8, 2010 that elected to be taxed as a REIT for U.S. federal income tax purposes beginning with the year ended December 31, 2012. The Company is externally advised by CNL Healthcare Corp. and its property manager is CNL Healthcare Manager Corp., each of which is a Florida corporation and a wholly owned subsidiary of CNL Financial Group, LLC, the Company’s sponsor. CNL Financial Group, LLC is an affiliate of CNL Financial Group, Inc. The Advisor is responsible for managing the Company’s affairs on a day-to-day basis and for identifying and making acquisitions and investments on behalf of the Company pursuant to an advisory agreement among the Company, the operating partnership and the Advisor. Substantially all of the Company’s acquisition, operating, administrative and certain property management services are provided by affiliates of the Advisor and the Property Manager. In addition, third-party sub-property managers have been engaged to provide certain property management services. | ||
The Company conducts substantially all of its operations either directly or indirectly through: (1) an operating partnership, CHP Partners, LP, in which the Company is the sole limited partner and its wholly-owned subsidiary, CHP GP, LLC, is the sole general partner; (2) a wholly-owned TRS, CHP TRS Holding, Inc.; (3) property owner subsidiaries and lender subsidiaries, which are single purpose entities; and (4) investments in joint ventures. | ||
On June 27, 2011, the Company commenced its Initial Offering, including shares being offered through its Reinvestment Plan, pursuant to a registration statement on Form S-11 under the Securities Act of 1933 with the SEC. The Company’s Follow-On Offering was declared effective by the SEC on February 2, 2015. The Company expects to sell shares of its common stock in the Follow-On Offering until the earlier of the date on which the maximum offering amount has been sold, or December 31, 2015; provided, however, that the Company will periodically evaluate the status of the Follow-On Offering, and its board of directors may extend the Follow-On Offering beyond December 31, 2015. | ||
The Company’s investment focus is on acquiring a diversified portfolio of healthcare real estate or real estate-related assets, primarily in the United States, within the senior housing, medical office, post-acute care and acute care asset classes. The types of senior housing that the Company may acquire include active adult communities (age-restricted and age-targeted housing), independent and assisted living facilities, continuing care retirement communities, and memory care facilities. The types of medical offices that the Company may acquire include medical office buildings, specialty medical and diagnostic service facilities, surgery centers, outpatient rehabilitation facilities, and other facilities designed for clinical services. The types of post-acute care facilities that the Company may acquire include skilled nursing facilities, long-term acute care hospitals and inpatient rehabilitative hospitals. The types of acute care facilities that the Company may acquire include general acute care hospitals and specialty surgical hospitals. The Company views, manages and evaluates its portfolio homogeneously as one collection of healthcare assets with a common goal of maximizing revenues and property income regardless of the asset class or asset type. | ||
The Company is committed to investing the proceeds of its Follow-On Offering through strategic investment types aimed to maximize stockholder value by generating sustainable cash flow growth and increasing the value of its healthcare assets. The Company expects to primarily lease its senior housing properties to wholly-owned TRS entities and engage independent third-party managers under management agreements to operate the properties under RIDEA structures; however, the Company may also lease its properties to third-party tenants under triple-net or similar lease structures, where the tenant bears all or substantially all of the costs (including cost increases, for real estate taxes, utilities, insurance and ordinary repairs). In addition, the Company expects most investments will be wholly owned, although, it has and may continue to invest through partnerships with other entities where it is believed to be appropriate and beneficial. | ||
The Company has and may continue to invest in new property developments or properties which have not reached full stabilization. Finally, the Company also may invest in and originate mortgage, bridge or mezzanine loans or in entities that make investments similar to the foregoing investment types. The Company generally makes loans to the owners of properties to enable them to acquire land, buildings, or to develop property. In exchange, the owner generally grants the Company a first lien or collateralized interest in a participating mortgage collateralized by the property or by interests in the entity that owns the property. | ||
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Summary of Significant Accounting Policies | 2 | Summary of Significant Accounting Policies | |||||||||||
Basis of Presentation and Consolidation — The accompanying consolidated financial statements include the Company’s accounts, the accounts of wholly owned subsidiaries or subsidiaries for which the Company has a controlling interest, the accounts of VIEs in which the Company is the primary beneficiary, and the accounts of other subsidiaries over which the Company has a controlling financial interest. All material intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||
In accordance with the guidance for the consolidation of VIEs, the Company analyzes its variable interests, including loans, leases, guarantees, and equity investments, to determine if the entity in which it has a variable interest is a variable interest entity (“VIE”). The Company’s analysis includes both quantitative and qualitative reviews. The Company bases its quantitative analysis on the forecasted cash flows of the entity, and its qualitative analysis on its review of the design of the entity, its organizational structure including decision-making ability and financial agreements. The Company also uses its quantitative and qualitative analyses to determine if it is the primary beneficiary of the VIE, and if such determination is made, it includes the accounts of the VIE in its consolidated financial statements. | |||||||||||||
Use of Estimates — The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated financial statements, the reported amounts of revenues and expenses during the reporting periods and the disclosure of contingent liabilities. For example, significant assumptions are made in the allocation of purchase price, the analysis of real estate impairments, the valuation of contingent assets and liabilities, and the valuation of restricted stock shares issued to the Advisor or Property Manager. Accordingly, actual results could differ from those estimates. | |||||||||||||
Allocation of Purchase Price for Real Estate Acquisitions — Upon acquisition of properties, the Company estimates the fair value of acquired tangible assets (consisting of land, building and improvements, tenant improvements and equipment), intangible assets (consisting of in-place leases and above- or below-market leases), liabilities assumed and any contingent assets or liabilities in order to allocate the purchase price. In estimating the fair value of the assets acquired and liabilities assumed, the Company considers information obtained about each property as a result of its due diligence and utilizes various valuation methods, such as estimated cash flow projections using appropriate discount and capitalization rates, estimates of replacement costs net of depreciation and available market information. | |||||||||||||
The fair value of the tangible assets of an acquired leased property is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to land and building based on the relative fair values of these assets. | |||||||||||||
The purchase price is allocated to in-place lease intangibles based on management’s evaluation of the specific characteristics of the acquired lease(s). Factors considered include estimates of carrying costs during hypothetical expected lease up periods, including estimates of lost rental income during the expected lease up periods, and costs to execute similar leases such as leasing commissions, legal and other related expenses. Above- and below-market lease intangibles are recorded based on the present value of the difference between the contractual rents to be paid pursuant to the lease and management’s estimate of the fair market lease rates for each in-place lease and may include assumptions for lease renewals of below-market leases. | |||||||||||||
The Company may also enter into contingent purchase price consideration arrangements in connection with acquisitions, which could result in either an asset or liability being recognized as part of the purchase price allocation. In calculating the estimated fair value of contingent purchase price consideration arrangements, the Company considers information obtained during the due diligence and budget process as well as discount rates to determine the fair value. The Company evaluates the fair value of the arrangements at each reporting period and records any adjustments to the fair value as a component of operating income (expense) in the consolidated statement of operations. Refer to Note 9. “Contingent Purchase Price Consideration” for additional information on fair value measurements of contingent purchase price consideration arrangements. | |||||||||||||
Depreciation and Amortization — Real estate costs related to the acquisition and improvement of properties are capitalized. Repair and maintenance costs are charged to expense as incurred and significant replacements and improvements are capitalized. Repair and maintenance costs include all costs that do not extend the useful life of the real estate asset. The Company considers the period of future benefit of an asset to determine its appropriate useful life. Real estate assets are stated at cost less accumulated depreciation, which is computed using the straight-line method of accounting over the estimated useful lives of the related assets. Buildings and improvements are depreciated on the straight-line method over their estimated useful lives, which generally are the lesser of 39 and 15 years, respectively, or the remaining life of the ground lease. | |||||||||||||
Amortization of intangible assets is computed using the straight-line method of accounting over the shorter of the respective lease term or estimated useful life. If a lease were to be terminated prior to its scheduled expiration, all unamortized costs related to the lease would be written off. | |||||||||||||
Impairment of Real Estate Assets — Real estate assets are reviewed on an ongoing basis to determine whether there are any indicators, including property operating performance and general market conditions, that the value of the real estate properties (including any related amortizable intangible assets or liabilities) may be impaired. To assess if a property value is potentially impaired, management compares the estimated current and projected undiscounted cash flows, including estimated net sales proceeds, of the property over its remaining useful life to the net carrying value of the property. Such cash flow projections consider factors such as expected future operating income, trends and prospects, as well as the effects of demand, competition and other factors. In the event that the carrying value exceeds the undiscounted operating cash flows, the Company would recognize an impairment provision to adjust the carrying value of the asset group to the estimated fair value of the property. | |||||||||||||
When impairment indicators are present for real estate indirectly owned, through an investment in a joint venture or other similar investment structure accounted for under the equity method, the Company compares the estimated fair value of its investment to the carrying value. An impairment charge will be recorded to the extent fair value of the investment is less than the carrying amount and the decline in value is determined to be other than a temporary decline. | |||||||||||||
Real Estate Under Development — The Company records real estate under development at cost, including acquisition fees and closing costs incurred. The cost of the real estate under development includes direct and indirect costs of development, including interest and miscellaneous costs incurred during the development period until the project is substantially complete and available for occupancy. In addition, during active development, all operating expenses related to the project, including property expenses such as real estate taxes and insurance, are capitalized rather than expensed and incidental revenue is recorded as a reduction of capitalized development costs. Preleasing costs are expensed as incurred. | |||||||||||||
Capitalized Interest — Interest and loan cost amortization attributable to funds used to finance real estate under development is capitalized as additional costs of development. The Company capitalizes interest at the weighted average interest rate of the Company’s outstanding indebtedness and based on its weighted average expenditures for the period. Capitalization of interest on a specific project ceases when the project is substantially complete and ready for occupancy. During the years ended December 31, 2014 and 2013, the Company incurred interest expense and loan cost amortization of approximately $31.5 million and $11.5 million, respectively, of which approximately $1.0 million and $0.7 million, respectively, was capitalized according to this policy. | |||||||||||||
Cash — Cash consists of demand deposits at commercial banks. The Company also invests in cash equivalents consisting of highly liquid investments in money market funds with original maturities of three months or less during the year. | |||||||||||||
As of December 31, 2014, certain of the Company’s cash deposits exceeded federally insured amounts. However, the Company continues to monitor the third-party depository institutions that hold the Company’s cash, primarily with the goal of safeguarding principal. The Company attempts to limit cash investments to financial institutions with high credit standing; therefore, the Company believes it is not exposed to any significant credit risk on cash. | |||||||||||||
Loan Costs — Financing costs paid in connection with obtaining debt are deferred and amortized over the estimated life of the debt using the effective interest method. As of December 31, 2014 and 2013, the accumulated amortization of loan costs was approximately $4.3 million and $2.5 million, respectively. | |||||||||||||
Leasing Costs — The Company defers costs that it incurs to obtain new tenant leases or extend existing tenant leases and classifies these costs as other assets, net of accumulated amortization. The Company amortizes these costs using the straight-line method of accounting over the shorter of the respective lease term or estimated useful life. If a lease is terminated early, the Company will expense any applicable unamortized deferred leasing costs. | |||||||||||||
Restricted Cash — Certain amounts of cash are restricted to fund capital expenditures for the Company’s real estate investment properties or represent certain tenant security deposits. | |||||||||||||
Investments in Unconsolidated Entities — The Company accounts for its investments in unconsolidated joint ventures under the equity method of accounting as the Company exercises significant influence, but does not maintain a controlling financial interest over these entities. These investments are recorded initially at cost and subsequently adjusted for cash contributions, distributions and equity in earnings (loss) of the unconsolidated entities. Based on the respective venture structures and preferences the Company receives on distributions and liquidation, the Company records its equity in earnings of the unconsolidated entities under the HLBV method of accounting. Under this method, the Company recognizes income or loss in each period as if the net book value of the assets in the ventures were hypothetically liquidated at the end of each reporting period pursuant to the provisions of the joint venture agreements. In any given period, the Company could be recording more or less income than actual cash distributions received and more or less than what the Company may receive in the event of an actual liquidation. The Company’s investment in unconsolidated entities is accounted for as an asset acquisition in which acquisition fees and expenses are capitalized as part of the basis in the investment in unconsolidated entities. The acquisition fees and expenses create an outside basis difference that are allocated to the assets of the investee and, if assigned to depreciable or amortizable assets, the basis differences are then amortized as a component of equity in earnings (loss) of unconsolidated entities. | |||||||||||||
Notes Receivable — The Company evaluates impairment on its notes receivable on an individual loan basis which includes, current information and events, periodic visits and quarterly discussions on the financial results of the properties being collateralized and the financial stability of the borrowers. The Company reviews each loan to determine the risk of loss, whether the individual loan is impaired and whether an allowance is necessary. The value credit quality of the Company’s borrowers is primarily based on their payment history on an individual loan basis, as such, the Company does not assign its notes receivable to credit quality categories. | |||||||||||||
Derivative Financial Instruments — The Company and certain unconsolidated equity method investments held by the Company use derivative financial instruments to partially offset the effect of fluctuating interest rates on the cash flows associated with its variable-rate debt. Upon entry into a derivative, the Company or its unconsolidated equity method investment formally designates and documents the financial instrument as a hedge of a specific underlying exposure, as well as the risk management objectives and strategies for undertaking the hedge transaction. The Company or its unconsolidated equity method investment accounts for derivatives through the use of a fair value concept whereby the derivative positions are stated at fair value in the accompanying consolidated balance sheets. The fair value of derivatives used to hedge or modify risk fluctuates over time. As such, the fair value amounts should not be viewed in isolation, but rather in relation to the cash flows or fair value of the underlying hedged transaction and to the overall reduction in the exposure relating to adverse fluctuations in interest rates on the Company’s or its unconsolidated equity method investment’s variable-rate debt. Realized and unrealized gain (loss) on derivative financial instruments designated by either the Company or its unconsolidated equity method investment as cash flow hedges are reported as a component of other comprehensive income (loss), a component of stockholders’ equity, in the accompanying consolidated statements of comprehensive income (loss) to the extent they are effective; reclassified into earnings on the same line item associated with the hedged transaction and in the same period the hedged transaction affects earnings. Any ineffective portions of cash flow hedges are reported in the accompanying consolidated statements of operations as derivative gain (loss). | |||||||||||||
Realized and unrealized gain (loss) on derivative financial instruments designated as cash flow hedges that are entered into by the Company’s equity method investments are reported as a component of the Company’s other comprehensive income (loss) in proportion to the Company’s ownership percentage in the investment, with reclassifications and ineffective portions being included in equity in earnings (loss) of unconsolidated entities in the accompanying consolidated statements of operations. | |||||||||||||
Fair Value Measurements — Fair value assumptions are based on the framework established in the fair value accounting guidance under GAAP. The framework specifies a hierarchy of valuation inputs which was established to increase consistency, clarity and comparability in fair value measurements and related disclosures. The guidance describes the following fair value hierarchy based upon three levels of inputs that may be used to measure fair value, two of which are considered observable and one that is considered unobservable: | |||||||||||||
• | Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. | ||||||||||||
• | Level 2 — Inputs, other than quoted prices included in Level 1, that are observable for the asset or liability either directly or indirectly; such as, quoted prices for similar assets or liabilities or other inputs that can be corroborated by observable market data. | ||||||||||||
• | Level 3 — Unobservable inputs for the asset or liability, which are typically based on the Company’s own assumptions, as there is little, if any, related market activity. | ||||||||||||
When market data inputs are unobservable, the Company utilizes inputs that it believes reflects the Company’s best estimate of the assumptions market participants would use in pricing the asset or liability. When inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement. | |||||||||||||
Mortgages and Other Notes Payable — Mortgages and other notes payable are recorded at the stated principal amount and are generally collateralized by the Company’s properties. Mortgages and other notes payable assumed in connection with an acquisition are recorded at fair market value as of the date of the acquisition. | |||||||||||||
Shares Based Payments to Non-Employees — In connection with the Expense Support Agreements described in Note 11. “Related Party Arrangements,” the Company may issue Restricted Stock to the Advisor or the Property Manager on a quarterly basis in exchange for providing expense support in the event that cash distributions declared exceed modified funds from operations as defined by the Expense Support Agreements. | |||||||||||||
The Restricted Stock is forfeited if shareholders do not ultimately receive their original invested capital back with at least a 6% annualized return of investment upon a future liquidity or disposition event of the Company. Upon issuance of Restricted Stock, the Company measures the fair value at its then-current lowest aggregate fair value pursuant to Accounting Standards Concept (“ASC”) 505-50. On the date in which the Advisor or the Property Manager satisfies the vesting criteria, the Company remeasures the fair value of the Restricted Stock pursuant to ASC 505-50 and records expense equal to the difference between the original fair value and that of the remeasurement date. In addition, given that performance is outside the control of the Advisor or the Property Manager and involves both market conditions and counterparty performance conditions, the shares are treated as unissued for accounting purposes and the Company only includes the Restricted Stock in the calculation of diluted earnings per share to the extent their effect is dilutive and the vesting conditions have been satisfied as of the reporting date. | |||||||||||||
Pursuant to the Expense Support Agreements, the Advisor or the Property Manager shall be the record owner of the Restricted Stock until the shares of common stock are sold or otherwise disposed of, and shall be entitled to all of the rights of a stockholder of the Company including, without limitation, the right to vote such shares (to the extent permitted by the Articles) and receive all dividends and other distributions paid with respect to such shares. All dividends or other distributions actually paid to the Advisor or the Property Manager in connection with the Restricted Stock shall vest immediately and will not be subject to forfeiture. The Company recognizes expense related to the dividends on the Restricted Stock shares as declared. | |||||||||||||
Redeemable Noncontrolling Interest — The Company classifies redeemable equity securities in accordance with Accounting Standard Update (“ASU”) No. 2009-04, “Liabilities (Topic 480): Accounting for Redeemable Equity Instruments,” which requires that equity securities redeemable at the option of the holder be classified outside of permanent stockholders’ equity. The Company classifies redeemable equity securities as redeemable noncontrolling interest within the accompanying consolidated balance sheets and consolidated statements of stockholders’ equity and redeemable noncontrolling interest. The Company evaluates the probability that these equity securities will become redeemable at each reporting period and, if determined probable, the Company measures the redemption value and records an adjustment to the carrying value of the equity securities as a component of redeemable noncontrolling interest. As of December 31, 2014, the amount payable, if any, relating to these equity securities is not probable and is dependent on the future results of operations from real estate currently under development. | |||||||||||||
Redemptions — Under the Company’s stock redemption plan, a stockholder’s shares are deemed to have been redeemed as of the date that the Company accepts the stockholder’s request for redemption. From and after such date, the stockholder by virtue of such redemption is no longer entitled to any rights as a stockholder in the Company. Shares redeemed are retired and not available for reissue. | |||||||||||||
Promoted Interest Distributions — The Company accounts for distributions to holders of promoted interests in a manner similar to noncontrolling interests. The Company identifies the distributions to holders of promoted interests separately within the accompanying consolidated statements of equity. During the years ended December 31, 2014 and 2013, the Company made distributions of approximately $2.0 million to a holder of promoted interest related to HarborChase of Villages Crossing, which has been recorded as a reduction to capital in excess of par value in the accompanying consolidated statement of stockholders’ equity and redeemable noncontrolling interest. | |||||||||||||
Revenue Recognition — Rental income from operating leases is recorded on the straight-line basis over the terms of the leases. The Company’s leases require the tenants to pay certain additional contractual amounts that are set aside by the Company for replacements of fixed assets and other improvements to the properties. These amounts are and will remain the property of the Company during and after the term of the lease. The amounts are recorded as capital improvement reserve income at the time that they are earned and are included in rental income from operating leases in the accompanying consolidated statement of operations. Additional percentage rent that is due contingent upon tenant performance thresholds, such as gross revenues, is deferred until the underlying performance thresholds have been achieved. | |||||||||||||
Resident fees and services consist of monthly services, which include rent, assistance and other related services. Agreements with residents are generally for an initial term of three months and are cancelable by the residents with 30 days notice. | |||||||||||||
Tenant reimbursement income represents amounts tenants are required to reimburse the Company for expenses incurred on behalf of the tenants, in accordance with the terms of the leases and are recognized in the period in which the related reimbursable expenses are incurred. | |||||||||||||
Interest income is recognized on an accrual basis when earned. Any deferred portion of contractual interest is recognized on a straight-line basis over the term of the corresponding note receivable. Loan origination fees incurred are recognized as a reduction to interest income over the term of the note receivable. | |||||||||||||
Segment Information — Operating segments are components of an enterprise for which separate financial information is available and is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and assess performance. The Company has determined that it operates in one operating segment, real estate ownership. The Company’s chief operating decision maker evaluates the Company’s operations from a number of different operational perspectives including, but not limited to, a property-by-property basis and by tenant or operator. The Company derives all significant revenues from a single reportable operating segment of business, healthcare real estate, regardless of the type (senior housing, medical office, etc.) or ownership structure (leased or managed). Accordingly, the Company does not report segment information; nevertheless, management periodically evaluates whether the Company continues to have one single reportable segment of business. | |||||||||||||
Acquisition Fees and Expenses — Acquisition fees, including investment services fees and expenses associated with transactions deemed to be business combinations (including investment transactions that are no longer under consideration), are expensed as incurred. Acquisition fees and expenses associated with making loans and with transactions deemed to be an asset purchase are capitalized. The following table summarizes the Company’s acquisition fees and expenses for the years ended December 31, 2014, 2013 and 2012 (in millions): | |||||||||||||
December 31, | |||||||||||||
Distribution Type | 2014 | 2013 | 2012 | ||||||||||
Capitalized as real estate under development | $ | 3.4 | $ | 0.1 | $ | 0.7 | |||||||
Capitalized as investment in unconsolidated entities | — | 0.5 | 3.3 | ||||||||||
Capitalized as origination costs to the note receivable | — | 0.1 | — | ||||||||||
Acquisition costs expensed | 23.9 | 18.8 | 6.6 | ||||||||||
Total acquisition costs incurred | $ | 27.3 | $ | 19.5 | $ | 10.6 | |||||||
Net Loss per Share — Net loss per share is calculated based upon the weighted average number of shares of common stock outstanding during the period in which the Company was operational. For the purposes of determining the weighted average number of shares of common stock outstanding, stock distributions are treated as if they were issued and outstanding for the full periods presented. Therefore, the weighted average number of shares outstanding for the years ended December 31, 2014, 2013 and 2012 have been revised to include stock distributions declared and issued through the date of this filing as if they were outstanding as of the beginning of each period presented. | |||||||||||||
Income Taxes — The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended and related regulations beginning with the year ended December 31, 2012. In order to be taxed as a REIT, the Company is subject to certain organizational and operational requirements, including the requirement to make distributions to its stockholders each year of at least 90% of its REIT taxable income (which is computed without regard to the dividends-paid deduction or net capital gain and which does not necessarily equal net income as calculated in accordance with GAAP). If the Company qualifies for taxation as a REIT, the Company generally will not be subject to U.S. federal income tax on income that the Company distributes as dividends. If the Company fails to quality as a REIT in any taxable year, the Company will be subject to U.S. federal income tax on its taxable income at regular corporate income tax rates and generally will not be permitted to qualify for treatment as a REIT for federal income tax purposes for the four taxable years following the year during which qualification is lost, unless the Internal Revenue Service grants the Company relief under certain statutory provisions. Even if the Company qualifies for taxation as a REIT, it may be subject to certain state and local taxes on its income and property, and U.S. federal income and excise taxes on its undistributed income. The Company may also be subject to foreign taxes on investments outside of the United States based on the jurisdictions in which the Company conducts business. | |||||||||||||
The Company has and will continue to form subsidiaries which may elect to be taxed as a TRS for U.S. federal income tax purposes. Under the provisions of the Internal Revenue Code and applicable state laws, a TRS will be subject to tax on its taxable income from its operations. The Company will account for federal and state income taxes with respect to a TRS using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities, the respective tax bases, operating losses and/or tax-credit carryforwards. | |||||||||||||
Prior to the Company’s REIT election, it was subject to corporate federal and state income taxes. Prior to and including the year ended December 31, 2011, the Company did not have earnings. The tax years from 2010 to 2014 remain subject to examination by taxing authorities throughout the United States. The Company analyzed its material tax positions and determined that it has not taken any uncertain tax positions. | |||||||||||||
Adopted Accounting Pronouncements — In February 2013, the Financial Accounting Standards Board (“FASB”) issued “ASU” No. 2013-04, “Liabilities (Topic 405): Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date.” This update clarified the guidance in subtopic 405 and requires entities to measure obligations resulting from joint and several liability arrangements for which total obligation is fixed at the reporting date. Entities are required to measure the obligation as the amount that the reporting entity agreed to pay on the basis of its arrangement among its co-obligors plus any additional amount the reporting entity expects to pay on behalf of its co-obligors. Additionally, the guidance requires entities to disclose the nature and amount of the obligations as well as other information about those obligations. Effective January 1, 2014, the Company adopted this ASU. The adoption of this update did not have a material impact on the Company’s financial position, results of operations or cash flows. | |||||||||||||
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a similar Tax Loss, or a Tax Credit Carryforward Exists.” This update clarified the guidance in subtopic 740 and requires entities to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward to the extent one is available. Effective January 1, 2014, the Company adopted this ASU. The adoption of this update did not have a material impact on the Company’s financial position, results of operations or cash flows. | |||||||||||||
Recent Accounting Pronouncements — In April 2014, the FASB issued ASU No. 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.” This update changes the criteria for reporting discontinued operations where only disposals representing a strategic shift that has (or will have) a major effect on an entity’s operations and financial results, such as a major line of business or geographical area, should be presented as a discontinued operation. This ASU is effective prospectively for all disposals (or classifications as held for sale) of components of an entity that occur within annual periods beginning on or after December 15, 2014 with early adoption permitted. The Company has determined that the amendments will impact the Company’s determinations of which future property disposals, if any, qualify as discontinued operations and will require additional disclosure about discontinued operations for future property disposals, if any. | |||||||||||||
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers,” as a new ASC topic (Topic 606). The core principle of this amendment is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard further provides guidance for any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets, unless those contracts are within the scope of other standards (for example, lease contracts). This ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, with earlier adoption not permitted. ASU 2014-09 can be adopted using one of two retrospective application methods: 1) retrospectively to each prior reporting period presented or 2) as a cumulative-effect adjustment as of the date of adoption. The Company is currently evaluating the amendments of ASU 2014-09; however, these amendments could potentially have a significant effect on the Company’s consolidated financial position, results of operations or cash flows. | |||||||||||||
In February 2015, the FASB issued ASU 2015-02, “Amendments to the Consolidation Analysis,” which requires amendments to both the variable interest entity and voting models. The amendments (i) modify the identification of variable interests (fees paid to a decision maker or service provider), the VIE characteristics for a limited partnership or similar entity and primary beneficiary determination under the VIE model, and (ii) eliminate the presumption within the current voting model that a general partner controls a limited partnership or similar entity. The new guidance is effective for annual reporting periods, and interim periods within those annual periods, beginning after December 15, 2015 with early adoption permitted. The amendments may be applied using either a modified retrospective or full retrospective approach. The Company is currently evaluating the effect the guidance will have on its consolidated financial statements. | |||||||||||||
Acquisitions
Acquisitions | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Acquisitions | 3 | Acquisitions | |||||||||||
Real Estate Investment Properties — During the year ended December 31, 2014, the Company acquired the following 35 properties, which were comprised of 14 senior housing communities, 15 medical office buildings (“MOB”), three post-acute care hospitals, and three acute care hospitals: | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Acute Care | |||||||||||||
Houston Orthopedic & Spine Hospital (“HOSH”) | Triple-net Lease | 6/2/14 | $ | 49,000 | |||||||||
Bellaire, TX (“Houston”) | |||||||||||||
Medical Portfolio II Properties | |||||||||||||
Hurst Specialty Hospital | Modified Lease | 8/15/14 | 29,465 | ||||||||||
Hurst, TX (“Dallas/Fort Worth”) | |||||||||||||
Beaumont Specialty Hospital | Modified Lease | 8/15/14 | 33,600 | ||||||||||
Beaumont, TX (“Houston”) | |||||||||||||
Medical Office | |||||||||||||
Chula Vista Medical Arts Center—Plaza I | Modified Lease | 1/21/14 | 17,863 | (1) | |||||||||
Chula Vista, CA (“San Diego”) | |||||||||||||
HOSH Medical Office Building | Modified Lease | 6/2/14 | 27,000 | ||||||||||
Bellaire, TX (“Houston”) | |||||||||||||
Lee Hughes Medical Building | Modified Lease | 9/29/14 | 29,870 | (1) | |||||||||
Glendale, CA (“Los Angeles”) | |||||||||||||
Northwest Medical Park | Modified Lease | 10/31/14 | 10,804 | (1) | |||||||||
Margate, FL (“Fort Lauderdale”) | |||||||||||||
Newburyport Medical Center | Modified Lease | 10/31/14 | 18,000 | (1) | |||||||||
Newburyport, MA (“Boston”) | |||||||||||||
ProMed Medical Building I | Modified Lease | 12/19/14 | 11,000 | (1) | |||||||||
Yuma, AZ | |||||||||||||
Southeast Medical Office Properties | |||||||||||||
Midtown Medical Plaza | Modified Lease | 12/22/14 | 54,695 | ||||||||||
Charlotte, NC | |||||||||||||
Presbyterian Medical Tower | Modified Lease | 12/22/14 | 36,333 | ||||||||||
Charlotte, NC | |||||||||||||
Metroview Professional Building | Modified Lease | 12/22/14 | 17,262 | ||||||||||
Charlotte, NC | |||||||||||||
Physicians Plaza Huntersville | Modified Lease | 12/22/14 | 29,964 | ||||||||||
Huntersville, NC (“Charlotte”) | |||||||||||||
Matthews Medical Office Building | Modified Lease | 12/22/14 | 21,227 | ||||||||||
Matthews, NC (“Charlotte”) | |||||||||||||
Outpatient Care Center | Modified Lease | 12/22/14 | 15,450 | ||||||||||
Clyde, NC (“Asheville”) | |||||||||||||
330 Physicians Center | Modified Lease | 12/22/14 | 30,099 | ||||||||||
Rome, GA | |||||||||||||
Spivey Station Physicians Center | Modified Lease | 12/22/14 | 14,379 | ||||||||||
Atlanta, GA | |||||||||||||
Spivey Station ASC Building | Modified Lease | 12/22/14 | 18,591 | ||||||||||
Atlanta, GA | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Post-Acute Care | |||||||||||||
Medical Portfolio II Properties | |||||||||||||
Oklahoma City Inpatient Rehabilitation Hospital | Modified Lease | 7/15/14 | $ | 25,504 | |||||||||
Oklahoma City, OK | |||||||||||||
Las Vegas Inpatient Rehabilitation Hospital | Modified Lease | 7/15/14 | 22,292 | ||||||||||
Las Vegas, NV | |||||||||||||
South Bend Inpatient Rehabilitation Hospital | Modified Lease | 7/15/14 | 20,240 | ||||||||||
Mishawaka, IN (“South Bend”) | |||||||||||||
Senior Housing | |||||||||||||
Pacific Northwest II Communities | |||||||||||||
Prestige Senior Living Auburn Meadows | Managed | 2/3/14 | 21,930 | ||||||||||
Auburn, WA (“Seattle”) | |||||||||||||
Prestige Senior Living Bridgewood | Managed | 2/3/14 | 22,096 | ||||||||||
Vancouver, WA (“Portland”) | |||||||||||||
Prestige Senior Living Monticello Park | Managed | 2/3/14 | 27,360 | ||||||||||
Longview, WA | |||||||||||||
Prestige Senior Living Rosemont | Managed | 2/3/14 | 16,877 | ||||||||||
Yelm, WA | |||||||||||||
Prestige Senior Living West Hills | Managed | 3/3/14 | 14,986 | ||||||||||
Corvallis, OR | |||||||||||||
South Bay II Communities | |||||||||||||
Isle at Cedar Ridge | Managed | 2/28/14 | 21,630 | ||||||||||
Cedar Park, TX (“Austin”) | |||||||||||||
HarborChase of Plainfield | Managed | 3/28/14 | 26,500 | ||||||||||
Plainfield, IL | |||||||||||||
Legacy Ranch Alzheimer’s Special Care Center | Managed | 3/28/14 | 11,960 | ||||||||||
Midland, TX | |||||||||||||
The Springs Alzheimer’s Special Care Center | Managed | 3/28/14 | 10,920 | ||||||||||
San Angelo, TX | |||||||||||||
Isle at Watercrest – Bryan | Managed | 4/21/14 | 22,050 | ||||||||||
Bryan, TX | |||||||||||||
Watercrest at Bryan | Managed | 4/21/14 | 28,035 | ||||||||||
Bryan, TX | |||||||||||||
Isle at Watercrest – Mansfield | Managed | 5/5/14 | 31,300 | ||||||||||
Mansfield, TX (“Dallas/Fort Worth”) | |||||||||||||
Watercrest at Mansfield | Managed | 6/30/14 | 49,000 | ||||||||||
Mansfield, TX (“Dallas/Fort Worth”) | |||||||||||||
Fairfield Village of Layton | Managed | 11/20/14 | 68,000 | ||||||||||
Layton, UT (“Salt Lake City”) | |||||||||||||
$ | 905,282 | ||||||||||||
FOOTNOTE: | |||||||||||||
-1 | This represents a single property acquisition that is not considered material to the Company and as such no pro forma financial information has been included related to this property. | ||||||||||||
During the year ended December 31, 2013, the Company acquired the following 38 properties, which were comprised of 16 medical office buildings, 15 senior housing communities, six post-acute care facilities, and one acute care hospital: | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Acute Care | |||||||||||||
Medical Portfolio I Properties | |||||||||||||
Doctors Specialty Hospital | Modified Lease | 8/16/13 | $ | 10,003 | |||||||||
Leawood, KS (“Kansas City”) | |||||||||||||
Medical Office | |||||||||||||
LaPorte Cancer Center | Modified Lease | 6/14/13 | 13,100 | ||||||||||
Westville, IN | |||||||||||||
Knoxville Medical Office Properties | |||||||||||||
Physicians Plaza A at North Knoxville Medical Center | Modified Lease | 7/10/13 | 18,124 | ||||||||||
Powell, TN (“Knoxville”) | |||||||||||||
Physicians Plaza B at North Knoxville Medical Center | Modified Lease | 7/10/13 | 21,800 | ||||||||||
Powell, TN (“Knoxville”) | |||||||||||||
Jefferson Medical Commons | Modified Lease | 7/10/13 | 11,616 | ||||||||||
Jefferson City, TN (“Knoxville”) | |||||||||||||
Physicians Regional Medical Center—Central Wing Annex | Modified Lease | 7/10/13 | 5,775 | ||||||||||
Knoxville, TN | |||||||||||||
Medical Portfolio I Properties | |||||||||||||
John C. Lincoln Medical Office Plaza I | Modified Lease | 8/16/13 | 4,420 | ||||||||||
Phoenix, AZ | |||||||||||||
John C. Lincoln Medical Office Plaza II | Modified Lease | 8/16/13 | 3,106 | ||||||||||
Phoenix, AZ | |||||||||||||
North Mountain Medical Plaza | Modified Lease | 8/16/13 | 6,185 | ||||||||||
Phoenix, AZ | |||||||||||||
Escondido Medical Arts Center | Modified Lease | 8/16/13 | 15,602 | ||||||||||
Escondido, CA (“San Diego”) | |||||||||||||
Chestnut Commons Medical Office Building | Modified Lease | 8/16/13 | 20,712 | ||||||||||
Elyria, OH (“Cleveland”) | |||||||||||||
Calvert Medical Office Properties | |||||||||||||
Calvert Medical Office Buildings I, II, III | Modified Lease | 8/30/13 | 16,409 | ||||||||||
Prince Frederick, MD (“Washington D.C.”) | |||||||||||||
Calvert Medical Arts Center | Modified Lease | 8/30/13 | 19,320 | ||||||||||
Prince Frederick, MD (“Washington D.C.”) | |||||||||||||
Dunkirk Medical Center | Modified Lease | 8/30/13 | 4,617 | ||||||||||
Dunkirk, MD (“Washington D.C.”) | |||||||||||||
Coral Springs Medical Office Buildings (“Coral Springs MOBs”) | |||||||||||||
Coral Springs Medical Office Building I | Modified Lease | 12/23/13 | 14,900 | ||||||||||
Coral Springs, FL | |||||||||||||
Coral Springs Medical Office Building II | Modified Lease | 12/23/13 | 16,100 | ||||||||||
Coral Springs, FL | |||||||||||||
Bay Medical Plaza | Modified Lease | 12/23/13 | 10,700 | ||||||||||
Chula Vista, CA (“San Diego”) | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Post-Acute Care | |||||||||||||
Perennial Communities | |||||||||||||
Batesville Healthcare Center | Triple-net Lease | 5/31/13 | $ | 6,206 | |||||||||
Batesville, AR | |||||||||||||
Broadway Healthcare Center | Triple-net Lease | 5/31/13 | 11,799 | ||||||||||
West Memphis, AR | |||||||||||||
Jonesboro Healthcare Center | Triple-net Lease | 5/31/13 | 15,232 | ||||||||||
Jonesboro, AR | |||||||||||||
Magnolia Healthcare Center | Triple-net Lease | 5/31/13 | 11,847 | ||||||||||
Magnolia, AR | |||||||||||||
Mine Creek Healthcare Center | Triple-net Lease | 5/31/13 | 3,374 | ||||||||||
Nashville, AR | |||||||||||||
Searcy Healthcare Center | Triple-net Lease | 5/31/13 | 7,898 | ||||||||||
Searcy, AR | |||||||||||||
Senior Housing | |||||||||||||
HarborChase of Jasper | Managed | 8/1/13 | 7,300 | ||||||||||
Jasper, AL | |||||||||||||
South Bay I Communities | |||||||||||||
Raider Ranch | Managed | 8/29/13 | 55,000 | ||||||||||
Lubbock, TX | |||||||||||||
Town Village | Managed | 8/29/13 | 22,500 | ||||||||||
Oklahoma City, OK | |||||||||||||
Pacific Northwest I Communities | |||||||||||||
MorningStar of Billings | Managed | 12/2/13 | 48,300 | ||||||||||
Billings, MT | |||||||||||||
MorningStar of Boise | Managed | 12/2/13 | 39,964 | ||||||||||
Boise, ID | |||||||||||||
MorningStar of Idaho Falls | Managed | 12/2/13 | 44,390 | ||||||||||
Idaho Falls, ID | |||||||||||||
MorningStar of Sparks | Managed | 12/2/13 | 55,200 | ||||||||||
Sparks, NV (“Reno”) | |||||||||||||
Prestige Senior Living Arbor Place | Managed | 12/2/13 | 15,840 | ||||||||||
Medford, OR | |||||||||||||
Prestige Senior Living Beaverton Hills | Managed | 12/2/13 | 12,900 | ||||||||||
Beaverton, OR | |||||||||||||
Prestige Senior Living Five Rivers | Managed | 12/2/13 | 16,720 | ||||||||||
Tillamook, OR | |||||||||||||
Prestige Senior Living High Desert | Managed | 12/2/13 | 13,600 | ||||||||||
Bend, OR | |||||||||||||
Prestige Senior Living Huntington Terrace | Managed | 12/2/13 | 15,020 | ||||||||||
Gresham, OR (“Portland”) | |||||||||||||
Prestige Senior Living Orchard Heights | Managed | 12/2/13 | 17,775 | ||||||||||
Salem, OR | |||||||||||||
Prestige Senior Living Riverwood | Managed | 12/2/13 | 9,700 | ||||||||||
Tualatin, OR (“Portland”) | |||||||||||||
Prestige Senior Living Southern Hills | Managed | 12/2/13 | 12,870 | ||||||||||
Salem, OR | |||||||||||||
$ | 655,924 | ||||||||||||
The following summarizes the purchase price allocation for the above properties, and the estimated fair values of the assets acquired and liabilities assumed (in thousands): | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Land and land improvements | $ | 60,565 | $ | 39,834 | |||||||||
Buildings and building improvements | 732,740 | 555,342 | |||||||||||
Furniture, fixtures and equipment | 12,260 | 13,718 | |||||||||||
Intangibles (1) | 110,325 | 50,333 | |||||||||||
Other liabilities | (12,037 | ) | (2,796 | ) | |||||||||
Liabilities assumed | (1,000 | ) | — | ||||||||||
Mortgage note payable assumed (2) | (27,657 | ) | — | ||||||||||
Net assets acquired | 875,196 | 656,431 | |||||||||||
Contingent purchase price consideration | (12,395 | ) | (507 | ) | |||||||||
Total purchase price consideration | $ | 862,801 | $ | 655,924 | |||||||||
FOOTNOTES: | |||||||||||||
-1 | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles for the years ended December 31, 2014 and 2013 were approximately 7.7 years and 4.6 years, respectively. The acquired lease intangibles during the year ended December 31, 2014 were comprised of approximately $97.3 million and $13.0 million of in-place lease intangibles and other lease intangibles, respectively, and the acquired lease intangibles during the year ended December 31, 2013 were comprised of approximately $42.5 million and $7.2 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||||||||
-2 | At the acquisition date, the fair value of the mortgage note payable assumed reflects an approximate $0.4 million premium on the above-market mortgage note payable assumed. | ||||||||||||
The revenues and net loss (including deductions for acquisition fees and expenses and depreciation and amortization expense) attributable to the acquired properties included in the Company’s consolidated statements of operations were approximately $55.0 million and $24.3 million, respectively, for the year ended December 31, 2014; and approximately $19.4 million and $15.8 million, respectively, for the year ended December 31, 2013. | |||||||||||||
In February 2015, the Company acquired an additional MOB in Knoxville, Tennessee for approximately $33.7 million (“UT Cancer Institute”); see Note 19, “Subsequent Events,” for additional information. | |||||||||||||
The following table presents the unaudited pro forma results of operations for the Company as if each of the 2014 acquisitions noted above (including the UT Cancer Institute) were acquired as of January 1, 2013 and the unaudited pro forma results of operations for the Company assuming each of the 2013 acquisitions noted above were acquired as of January 1, 2012 (in thousands except per share data): | |||||||||||||
Years ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | |||||||||||
Revenues | $ | 243,581 | $ | 242,415 | $ | 125,872 | |||||||
Net income (loss) (1) | $ | (43,936 | ) | $ | (59,527 | ) | $ | (40,483 | ) | ||||
Loss per share of common stock (basic and diluted) | $ | (0.39 | ) | $ | (0.58 | ) | $ | (0.82 | ) | ||||
Weighted average number of shares of common stock outstanding (basic and diluted)(2) | 113,607 | 101,826 | 49,433 | ||||||||||
FOOTNOTES: | |||||||||||||
-1 | The unaudited pro forma results for the years ended December 31, 2014 and 2013 were adjusted to exclude approximately $20.5 million and $16.5 million, respectively, of acquisition related expenses directly attributable to the properties acquired during the years ended December 31, 2014 and 2013. The unaudited pro forma results for the years ended December 31, 2013 and 2012 were adjusted to include these charges as if the properties acquired on January 1, 2013 and 2012, respectively. | ||||||||||||
-2 | As a result of the properties being treated as operational since January 1, 2013 and 2012, the Company assumed approximately 40.8 million and 36.2 million additional shares were issued as of January 1, 2013 and 2012, respectively. Consequently, the weighted average number of shares outstanding was adjusted to reflect this amount of shares being issued as of January 1, 2013 and 2012, instead of actual dates on which the shares were issued, and such shares were treated as outstanding as of the beginning of the period presented. In addition, for purposes of determining the weighted average number of shares of common stock outstanding, stock distributions are treated as if they were outstanding as of the beginning of the periods presented. | ||||||||||||
Real Estate Under Development — In February 2014, the Company acquired a tract of land in Tega Cay, South Carolina for $2.8 million (“Wellmore of Tega Cay”), which is a suburb of Charlotte, North Carolina. In connection with the acquisition, the Company entered into a development agreement with a third party developer for the construction and development of a continuing care retirement community with a maximum development budget of approximately $35.6 million, including the allocated purchase price of the land. The Company determined that Wellmore of Tega Cay is a VIE because it believes there is insufficient equity at risk due to the development nature of the property. The Company is the primary beneficiary while the developer or its affiliates manage the development, construction and certain day-to-day operations of the property subject to the Company’s oversight. Under a promoted interest agreement with the developer, certain net operating income targets have been established which, upon meeting such targets, result in the developer being entitled to additional payments based on enumerated percentages of the assumed net proceeds of a deemed sale, subject to achievement of an established internal rate of return on the Company’s investment in the development. | |||||||||||||
In June 2014, the Company entered into a joint venture agreement with a third party and acquired a 95% membership interest in a tract of land in Katy, Texas for $4.0 million (“Watercrest at Katy”), which is a suburb of Houston, Texas. The joint venture plans to construct and develop an independent living community with a maximum development budget of approximately $38.2 million, including the allocated purchase price of the land. The Company determined that Watercrest at Katy is a VIE because it believes there is insufficient equity at risk due to the development nature of the joint venture. The Company is the primary beneficiary and managing member while the joint venture partner or its affiliates manage the development, construction and certain day-to-day operations of the property subject to the Company’s oversight. The Company’s joint venture partner acquired a 5% noncontrolling interest that includes a put option of its membership to the Company upon the occurrence of certain events that are not solely within the control of the Company and at a price that is determinable upon exercising the option; refer to Note 13, “Equity – Redeemable Noncontrolling Interest,” for additional information. Pursuant to the joint venture agreement, distributions of operating cash flow will be distributed pro rata based on each member’s ownership interest until the members of the joint venture receive a specified minimum return on their invested capital, and thereafter, the joint venture partner will receive a disproportionately higher share of any remaining proceeds at varying levels based on the Company having received certain minimum threshold returns. | |||||||||||||
In July 2014, the Company acquired a tract of land in Shorewood, Wisconsin for $2.2 million (“HarborChase of Shorewood”), which is a suburb of Milwaukee, Wisconsin. In connection with the acquisition, the Company entered into a development agreement with a third party developer for the construction and development of an assisted living and memory care community with a maximum development budget of approximately $25.6 million, including the allocated purchase price of the land. The Company determined that HarborChase of Shorewood is a VIE because it believes there is insufficient equity at risk due to the development nature of the property. The Company is the primary beneficiary while the developer or its affiliates manage the development, construction and certain day-to-day operations of the property subject to the Company’s oversight. Under a promoted interest agreement with the developer, certain net operating income targets have been established which, upon meeting such targets, result in the developer being entitled to additional payments based on enumerated percentages of the assumed net proceeds of a deemed sale, subject to achievement of an established internal rate of return on the Company’s investment in the development. | |||||||||||||
In August 2013, the Company acquired a tract of land adjacent to the South Bay I Communities in Lubbock, Texas for $3.0 million. In connection with the acquisition, the Company entered into a development agreement with a third party developer consisting of three potential development phases. The first phase of development is comprised of a maximum development budget of approximately $16.2 million, including the allocated purchase price of the land for the first phase of approximately $1.1 million, for the construction and development of an independent living community on the Raider Ranch campus (“Raider Ranch Development”). The remaining two phases of development are at the option of the Company; however, as of December 31, 2014, no formal undertakings have commenced with regards to these additional development phases. | |||||||||||||
Purchase of Controlling Interest in Montecito Joint Venture — In January 2013, the Company acquired a 90% membership interest in a two-story MOB in Claremont, California for approximately $7.0 million in equity through a joint venture (“Montecito Joint Venture”) formed by the Company and its co-venture partner, an unrelated party, that initially held the remaining 10% interest. The Montecito Joint Venture was previously recorded under the equity method of accounting because the decisions that significantly impacted the entity were shared between the Company and its co-venture partner, but it was not determined to be a VIE. | |||||||||||||
In August 2014, the Company acquired its co-venture partner’s 10% interest in the Montecito Joint Venture for approximately $1.6 million. As a result of this transaction, the Company owns 100% of the Montecito Joint Venture, and began consolidating all of the assets, liabilities and results of operations in the Company’s consolidated financial statements upon acquisition. Accordingly, the Company recorded a step up from its carrying value of the investment in the Montecito Joint Venture to the estimated fair value of the net assets acquired and liabilities assumed. The following summarizes the allocation of the purchase price, and the estimated fair values of the assets acquired and liabilities assumed as of the acquisition date (in thousands): | |||||||||||||
Land and land improvements | $ | 6,324 | |||||||||||
Buildings and building improvements | 13,533 | ||||||||||||
Intangibles (1) | 2,691 | ||||||||||||
Working capital, net | 87 | ||||||||||||
Other liabilities | (175 | ) | |||||||||||
Mortgage note payable assumed (2) | (12,331 | ) | |||||||||||
Net assets acquired | $ | 10,129 | |||||||||||
FOOTNOTES: | |||||||||||||
-1 | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles was approximately 5.1 years and was comprised of approximately $1.9 million and $0.8 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||||||||
-2 | At the acquisition date, the fair value of the mortgage note payable assumed reflects an approximate $0.6 million discount on the below-market mortgage note payable assumed. | ||||||||||||
The fair value of the Company’s equity interest in the Montecito Joint Venture immediately before the acquisition date was approximately $5.7 million. The Company recorded a gain of approximately $2.8 million based on the acquisition date fair value of its equity interest in the Montecito Joint Venture. The following summarizes the gain that resulted from the change of control in the equity method investment for the year ended December 31, 2014 (in thousands): | |||||||||||||
Fair value of net assets acquired | $ | 10,129 | |||||||||||
Less: Previous investment in Montecito Joint Venture | (5,747 | ) | |||||||||||
Less: Cash paid to acquire co-venture partner’s interest | (1,584 | ) | |||||||||||
Gain on purchase of controlling interest of investment in unconsolidated entity | $ | 2,798 | |||||||||||
Refer to Note 8, “Unconsolidated Entities,” for additional information on the Montecito Joint Venture prior to the Company’s purchase of the controlling interest in August 2014. |
Real_Estate_Assets_net
Real Estate Assets, net | 12 Months Ended | ||||||||||
Dec. 31, 2014 | |||||||||||
Real Estate Assets, net | 4 | Real Estate Assets, net | |||||||||
The gross carrying amount and accumulated depreciation of the Company’s real estate assets as of December 31, 2014 and December 31, 2013 are as follows (in thousands): | |||||||||||
December 31, | |||||||||||
2014 | 2013 | ||||||||||
Land and land improvements | $ | 128,662 | $ | 59,208 | |||||||
Building and building improvements | 1,545,614 | 783,260 | |||||||||
Furniture, fixtures and equipment | 36,319 | 20,339 | |||||||||
Less: accumulated depreciation | (53,095 | ) | (14,016 | ) | |||||||
Real estate investment properties, net | 1,657,500 | 848,791 | |||||||||
Real estate under development, including land | 47,153 | 17,409 | |||||||||
Total real estate assets, net | $ | 1,704,653 | $ | 866,200 | |||||||
Depreciation expense on the Company’s real estate investment properties, net was approximately $39.1 million, $12.0 million and $2.0 million for the years ended December 31, 2014, 2013 and 2012, respectively. | |||||||||||
In June 2014, the Company completed the construction and development of a senior housing community in Acworth, Georgia (“Dogwood Forest of Acworth”). Dogwood Forest of Acworth opened to residents in July 2014 and was considered placed into service as of June 30, 2014. In December 2013, the Company completed the construction and development of a senior housing community in Lady Lake, Florida (“HarborChase of Villages Crossing”). HarborChase of Villages Crossing opened to residents in January 2014 and was considered placed into service as of December 2013. The asset values related to Dogwood Forest of Acworth and HarborChase of Villages Crossing are included in real estate investment properties, net in the accompanying consolidated balance sheets. | |||||||||||
As of December 31, 2014, four of the Company’s senior housing communities have real estate under development with third-party developers as follows (in thousands): | |||||||||||
Property Name (and Location) | Developer | Real Estate | Remaining | ||||||||
Development | Development | ||||||||||
Costs | Budget (2) | ||||||||||
Incurred (1) | |||||||||||
Wellmore of Tega Cay | Maxwell Group, Inc. | $ | 22,198 | $ | 18,291 | ||||||
(Tega Cay, SC) | |||||||||||
HarborChase of Shorewood | Harbor Shorewood Development, LLC | 9,340 | 17,149 | ||||||||
(Shorewood, WI) | |||||||||||
Watercrest at Katy (3) | South Bay Partners, Ltd | 8,613 | 30,942 | ||||||||
(Katy, TX) | |||||||||||
Raider Ranch Development | South Bay Partners, Ltd | 7,002 | 10,045 | ||||||||
(Lubbock, TX) | |||||||||||
$ | 47,153 | $ | 76,427 | ||||||||
FOOTNOTES: | |||||||||||
(1) | This amount represents land and total capitalized costs for GAAP purposes for the acquisition, development and construction of the senior housing community as of December 31, 2014. Amounts include investment services fees, asset management fees, interest expense and other costs capitalized during the development period. | ||||||||||
(2) | This amount includes preleasing and marketing costs which will be expensed as incurred. | ||||||||||
(3) | This property is owned through a joint venture in which the Company’s initial ownership interest is 95%. | ||||||||||
The development budgets of the senior housing developments include the cost of the land, construction costs, development fees, financing costs, start-up costs and initial operating deficits of the respective properties. An affiliate of the developer of the respective community coordinates and supervises the management and administration of the development and construction. Each developer is responsible for any cost overruns beyond the approved development budget for the applicable project pursuant to a cost overrun guarantee. These developments were deemed to be VIEs; refer to Note 7, “Variable Interest Entities,” for additional information. |
Intangibles_net
Intangibles, net | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Intangibles, net | 5 | Intangibles, net | |||||||||||||||||||||||||||
The gross carrying amount and accumulated amortization of the Company’s intangible assets and liabilities as of December 31, 2014 and December 31, 2013 are as follows (in thousands): | |||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
In-place lease intangibles | $ | 148,880 | $ | 49,642 | |||||||||||||||||||||||||
Above-market lease intangibles | 11,320 | 3,704 | |||||||||||||||||||||||||||
Below-market ground lease intangibles | 10,314 | 4,153 | |||||||||||||||||||||||||||
Less: accumulated amortization | (30,250 | ) | (5,099 | ) | |||||||||||||||||||||||||
Intangible assets, net | $ | 140,264 | $ | 52,400 | |||||||||||||||||||||||||
Below-market lease intangibles | $ | (13,243 | ) | $ | (2,987 | ) | |||||||||||||||||||||||
Above-market ground lease intangibles | (2,273 | ) | (317 | ) | |||||||||||||||||||||||||
Less: accumulated amortization | 1,014 | 168 | |||||||||||||||||||||||||||
Intangible liabilities, net (1) | $ | (14,502 | ) | $ | (3,136 | ) | |||||||||||||||||||||||
FOOTNOTE: | |||||||||||||||||||||||||||||
(1) | Intangible liabilities, net are included in other liabilities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||||
Amortization on the Company’s intangible assets was approximately $25.1 million for the year ended December 31, 2014, of which approximately $1.0 million was treated as a reduction of rental income from operating leases, approximately $0.1 million was treated as an increase of property operating expenses and approximately $24.0 million was included in depreciation and amortization. Amortization on the Company’s intangible assets was approximately $5.0 million for the year ended December 31, 2013, of which approximately $0.2 million was treated as a reduction of rental income from operating leases, approximately $0.1 million was treated as an increase of property operating expenses and $4.7 million was included in depreciation and amortization. Amortization expense on the Company’s intangible assets was approximately $0.1 million for the year ended December 31, 2012, which was all included in depreciation and amortization. | |||||||||||||||||||||||||||||
Amortization on the Company’s intangible liabilities was approximately $0.8 million for the year ended December 31, 2014, of which approximately $0.8 million was treated as an increase of rental income from operating leases and approximately eight thousand dollars was treated as a reduction of property operating expenses. For the year ended December 31, 2013, amortization on the Company’s intangible liabilities was approximately $0.2 million, which was treated as an increase of rental income from operating leases and approximately three thousand dollars was treated as a reduction of property operating expenses. There was no amortization on the Company’s intangible liabilities for the year ended December 31, 2012. | |||||||||||||||||||||||||||||
The estimated future amortization on the Company’s intangibles for each of the next five years and thereafter, in the aggregate, as of December 31, 2014 is as follows (in thousands): | |||||||||||||||||||||||||||||
In-place | Above- | Below- | Total | Below- | Above- | Total | |||||||||||||||||||||||
Lease | market | market | Assets | market | market | Liabilities | |||||||||||||||||||||||
Intangibles | Leases | Ground | Leases | Ground | |||||||||||||||||||||||||
Leases | Leases | ||||||||||||||||||||||||||||
2015 | $ | 36,432 | 1,826 | 264 | $ | 38,522 | $ | 1,551 | 58 | $ | 1,609 | ||||||||||||||||||
2016 | 25,344 | 1,488 | 264 | 27,096 | 1,399 | 58 | 1,457 | ||||||||||||||||||||||
2017 | 12,601 | 1,358 | 264 | 14,223 | 1,272 | 58 | 1,330 | ||||||||||||||||||||||
2018 | 10,073 | 1,210 | 264 | 11,547 | 1,154 | 58 | 1,212 | ||||||||||||||||||||||
2019 | 7,278 | 974 | 264 | 8,516 | 991 | 58 | 1,049 | ||||||||||||||||||||||
Thereafter | 28,262 | 3,273 | 8,825 | 40,360 | 5,873 | 1,972 | 7,845 | ||||||||||||||||||||||
$ | 119,990 | 10,129 | 10,145 | $ | 140,264 | $ | 12,240 | 2,262 | $ | 14,502 | |||||||||||||||||||
Weighted average remaining useful life as of December 31, 2014 (in years): | |||||||||||||||||||||||||||||
In-place | Above- | Below- | Below- | Above- | |||||||||||||||||||||||||
Lease | market | market | market | market | |||||||||||||||||||||||||
Intangibles | Leases | Ground | Leases | Ground | |||||||||||||||||||||||||
Leases | Leases | ||||||||||||||||||||||||||||
5.8 | 6.3 | 38.4 | 12.7 | 38.8 | |||||||||||||||||||||||||
Operating_Leases
Operating Leases | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Operating Leases | 6 | Operating Leases | |||
As of December 31, 2014, the Company owned 55 properties that were leased to tenants on a triple-net, net or modified gross basis, and accounted for as operating leases; of which, 24 are single-tenant properties that are 100% leased under operating leases and the remaining 31 are multi-tenant properties that are leased under operating leases. The Company’s leases had a weighted average remaining lease term of 7.2 years based on annualized base rents expiring between 2015 and 2033, subject to the tenants’ options to extend the lease periods ranging from two to ten years. In addition, certain tenants hold options to extend their leases for multiple periods. | |||||
Under the terms of the Company’s triple-net lease agreements, each tenant is responsible for the payment of property taxes, general liability insurance, utilities, repairs and maintenance, including structural and roof maintenance expenses. Each tenant is expected to pay real estate taxes directly to taxing authorities. However, if the tenant does not pay, the Company will be liable. The total annualized property tax assessed on these properties is approximately $1.9 million. | |||||
Under the terms of our net, modified gross or similar lease agreements for multi-tenant properties with third-party property managers, each tenant is responsible for the payment of their proportionate share of property taxes, general liability insurance, utilities, repairs and common area maintenance. These amounts are billed monthly and recorded as tenant reimbursement income in the accompanying consolidated statements of operations. | |||||
The following are future minimum lease payments to be received under non-cancellable operating leases for the next five years and thereafter, as of December 31, 2014 (in thousands): | |||||
2015 | $ | 78,625 | |||
2016 | 74,867 | ||||
2017 | 71,468 | ||||
2018 | 67,335 | ||||
2019 | 58,484 | ||||
Thereafter | 252,174 | ||||
$ | 602,953 | ||||
The above future minimum lease payments to be received excludes tenant reimbursements, straight-line rent adjustments, amortization of above- and below-market lease intangibles and base rent attributable to any renewal options exercised by the tenants in the future. |
Variable_Interest_Entities
Variable Interest Entities | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Variable Interest Entities | 7 | Variable Interest Entities | |||||||
Consolidated VIEs — As of December 31, 2014, the Company has 16 wholly-owned subsidiaries, which are VIEs due to following factors and circumstances: | |||||||||
-1 | Five of these subsidiaries are single property entities, designed to own and lease their respective properties to single tenants, for which buy-out options are held by the respective tenants that are formula based. | ||||||||
-2 | Four of these subsidiaries are single property entities, designed to own and lease their respective properties to multiple tenants, which are subject to either a ground lease or an air rights lease that include buy-out and put options held by either the tenant or landlord under the applicable lease. | ||||||||
-3 | Five of these subsidiaries are entities with real estate under development or completed developments in which the third-party developers have an opportunity to earn promoted interest payments after certain net operating income targets and internal rate of return targets have been met. | ||||||||
-4 | One of these subsidiaries is a joint venture with real estate under development in which the third-party developer has an opportunity to earn promoted interest payments after certain net operating income targets and internal rate of return targets have been met. | ||||||||
-5 | One of these subsidiaries is a joint venture with equity interest that consists of non-substantive voting rights. | ||||||||
The Company determined it is the primary beneficiary and holds a controlling financial interest in each of the aforementioned property and development entities due to its power to direct the activities that most significantly impact the economic performance of the entities, as well as its obligation to absorb the losses and its right to receive benefits from these entities that could potentially be significant to these entities. As such, the transactions and accounts of these VIEs are included in the accompanying consolidated financial statements. | |||||||||
The aggregate carrying amount and major classifications of the consolidated assets that can be used to settle obligations of the VIEs and liabilities of the consolidated VIEs that are non-recourse to the Company as of December 31, 2014 and December 31, 2013 are as follows (in thousands): | |||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Assets: | |||||||||
Real estate investment properties, net | $ | 174,449 | $ | 72,053 | |||||
Real estate under development, including land | $ | 47,153 | $ | 16,210 | |||||
Intangibles, net | $ | 25,519 | $ | 4,535 | |||||
Cash | $ | 6,280 | $ | 727 | |||||
Loan costs, net | $ | 2,300 | $ | 912 | |||||
Restricted cash | $ | 5,304 | $ | 257 | |||||
Deferred rent | $ | 2,978 | $ | 104 | |||||
Other | $ | 511 | $ | 21 | |||||
Liabilities: | |||||||||
Mortgages and other notes payable | $ | 137,754 | $ | 52,596 | |||||
Other liabilities | $ | 4,949 | $ | 939 | |||||
Accounts payable and accrued expenses | $ | 2,317 | $ | 309 | |||||
Accrued development costs | $ | 7,951 | $ | 7,047 | |||||
Due to related parties | $ | 219 | $ | 112 | |||||
The Company’s maximum exposure to loss as a result of its involvement with these VIEs is limited to its net investment in these entities which totaled approximately $110.3 million as of December 31, 2014. The Company’s exposure is limited because of the non-recourse nature of the borrowings of the VIEs. |
Unconsolidated_Entities
Unconsolidated Entities | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Unconsolidated Entities | 8 | Unconsolidated Entities | |||||||||||||||
In June 2012, the Company acquired a 55% membership interest in seven senior housing communities for approximately $56.7 million in equity through a joint venture (“CHTSunIV”) formed by the Company and its co-venture partner, an unrelated party, that held the remaining 45% interest. On July 1, 2013, pursuant to a purchase and sale agreement with Health Care REIT, Inc. (“HCN”), dated December 18, 2012, between CHTSunIV and HCN, the Company completed the sale of its joint venture membership interest for a sales price of approximately $61.8 million, net of transaction costs, which reflects an aggregate gain of approximately $4.5 million that is recorded as a gain on sale of investment in unconsolidated entity in the accompanying statement of operations for the year ended December 31, 2013. | |||||||||||||||||
Under the terms of the CHTSunIV joint venture agreement, the Company was entitled to receive a preferred return of 11% on its invested capital for the first seven years over its co-venture partner. The Company accounted for this investment under the equity method of accounting because the decisions that significantly impact the entity were shared between the Company and its co-venture partner. | |||||||||||||||||
In August 2012, the Company acquired a 75% membership interest in three senior housing properties for approximately $4.8 million in equity through a joint venture (“Windsor Manor”) formed by the Company and its co-venture partner, an unrelated party, that holds the remaining 25% interest. In April 2013, the Company, through its Windsor Manor joint venture, acquired a 75% membership interest in two additional senior housing properties for approximately $4.9 million in equity. In June 2014, the Windsor Manor joint venture refinanced approximately $18 million of its then-current outstanding debt related to the five senior housing communities; refer to “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations — Off-Balance Sheet Arrangements” for additional information. | |||||||||||||||||
Under the terms of the Windsor Manor joint venture agreement, the Company is entitled to receive a preferred return of 11% on its invested capital over its co-venture partner. The Company continues to account for this investment under the equity method of accounting because the decisions that significantly impact the entity are shared between the Company and its co-venture partner. | |||||||||||||||||
In January 2013, the Company acquired a 90% membership interest in a two-story MOB in Claremont, California for approximately $7.0 million in equity through a joint venture (“Montecito”) formed by the Company and its co-venture partner, an unrelated party, that held the remaining 10% interest. As noted in Note 3. “Acquisitions – Purchase of Controlling Interest in Montecito Joint Venture,” in August 2014, the Company acquired its co-venture partner’s 10% interest in the Montecito joint venture. | |||||||||||||||||
Under the terms of the venture agreement, operating cash flows were distributed to the Company and its co-venture partner on a pro rata basis. The Company accounted for this investment under the equity method of accounting because the decisions that significantly impact the entity were shared between the Company and its co-venture partner. | |||||||||||||||||
For the year ended December 31, 2014, the Company capitalized approximately $0.2 million of financing coordination fees related to the Company’s investments in the Windsor Manor joint venture. For the year ended December 31, 2013, the Company capitalized approximately $0.5 million of investment service fees and acquisition expenses related to the Company’s investments in the Montecito and Windsor Manor joint ventures. For the year ended December 31, 2012, the Company capitalized approximately $3.3 million of investment service fees and acquisition fees and expenses related to the CHTSunIV and Windsor Manor joint ventures. The aforementioned amounts create an outside basis difference that are allocated to the assets of the investee and, if assigned to depreciable or amortizable assets, the basis differences are then amortized as a component of equity in earnings (loss) of unconsolidated entities over the average useful life of the underlying assets. | |||||||||||||||||
The following presents financial information for each of the Company’s unconsolidated entities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||
Montecito (2) | CHTSunIV (3) | Windsor | Total | ||||||||||||||
Manor | |||||||||||||||||
Revenues | $ | 1,356 | $ | — | $ | 8,565 | $ | 9,921 | |||||||||
Operating income | $ | 436 | $ | — | $ | 149 | $ | 585 | |||||||||
Net income (loss) | $ | 165 | $ | — | $ | (1,137 | ) | $ | (972 | ) | |||||||
Income allocable to other venture partners (1) | $ | 17 | $ | — | $ | 373 | $ | 390 | |||||||||
Income (loss) allocable to the Company (1) | $ | 148 | $ | — | $ | (1,510 | ) | $ | (1,362 | ) | |||||||
Amortization of capitalized acquisition costs | (6 | ) | — | (19 | ) | (25 | ) | ||||||||||
Equity in earnings (loss) of unconsolidated entities | $ | 142 | $ | — | $ | (1,529 | ) | $ | (1,387 | ) | |||||||
Distributions declared to the Company | $ | 659 | $ | — | $ | 3,057 | $ | 3,716 | |||||||||
Distributions received by the Company (4) | $ | 830 | $ | — | $ | 3,232 | $ | 4,062 | |||||||||
For the year ended December 31, 2013 | |||||||||||||||||
Montecito (2) | CHTSunIV (3) | Windsor | Total | ||||||||||||||
Manor | |||||||||||||||||
Revenues | $ | 1,700 | $ | 24,107 | $ | 7,391 | $ | 33,198 | |||||||||
Operating income | $ | 230 | (5) | $ | 3,603 | $ | 67 | (5) | $ | 3,900 | |||||||
Net income (loss) | $ | (159 | ) | $ | (46 | ) | $ | (840 | ) | $ | (1,045 | ) | |||||
Income allocable to other venture partners (1) | $ | (16 | ) | $ | (1,365 | ) | $ | (1,870 | ) | $ | (3,251 | ) | |||||
Income (loss) allocable to the Company (1) | $ | (143 | ) | $ | 1,319 | $ | 1,030 | $ | 2,206 | ||||||||
Amortization of capitalized acquisition costs | (8 | ) | $ | (36 | ) | $ | (15 | ) | (59 | ) | |||||||
Equity in earnings (loss) of unconsolidated entities | $ | (151 | ) | $ | 1,283 | $ | 1,015 | $ | 2,147 | ||||||||
Distributions declared to the Company | $ | 870 | $ | 2,990 | $ | 666 | $ | 4,526 | |||||||||
Distributions received by the Company | $ | 699 | $ | 4,458 | $ | 336 | $ | 5,493 | |||||||||
For the year ended December 31, 2012 | |||||||||||||||||
Montecito (2) | CHTSunIV (3) | Windsor | Total | ||||||||||||||
Manor | |||||||||||||||||
Revenues | $ | — | $ | 23,913 | $ | 1,594 | $ | 25,507 | |||||||||
Operating income | $ | — | $ | 1,872 | $ | (54 | )(5) | $ | 1,818 | ||||||||
Net income (loss) | $ | — | $ | (703 | ) | $ | (288 | ) | $ | (991 | ) | ||||||
Income allocable to other venture partners (1) | $ | — | $ | (1,703 | ) | $ | (471 | ) | $ | (2,174 | ) | ||||||
Income (loss) allocable to the Company (1) | $ | — | $ | 1,000 | $ | 183 | $ | 1,183 | |||||||||
Amortization of capitalized acquisition costs | — | $ | (36 | ) | $ | (4 | ) | (40 | ) | ||||||||
Equity in earnings (loss) of unconsolidated entities | $ | — | $ | 964 | $ | 179 | $ | 1,143 | |||||||||
Distributions declared to the Company | $ | — | $ | 3,075 | $ | 49 | $ | 3,124 | |||||||||
Distributions received by the Company | $ | — | $ | 1,607 | $ | — | $ | 1,607 | |||||||||
FOOTNOTES: | |||||||||||||||||
-1 | Income (loss) is allocated between the Company and its joint venture partner using the HLBV method of accounting. | ||||||||||||||||
-2 | In August 2014, the Company acquired its co-venture partner’s 10% interest in the Montecito joint venture; refer to Note 3, “Acquisitions – Purchase of Controlling Interest in Montecito Joint Venture,” for additional information. | ||||||||||||||||
-3 | In July 2013, the Company completed the sale of its joint venture membership interest in CHTSunIV. | ||||||||||||||||
-4 | The distributions declared to and received by the Company for the Windsor Manor joint venture for the year ended December 31, 2014 include approximately $2.2 million of capital proceeds from a debt refinancing; refer to Item 7. “Management’s Discussion and Analysis – Off-Balance Sheet Arrangements” for additional information. | ||||||||||||||||
-5 | Includes approximately $0.4 million and $0.3 million of non-recurring acquisition expenses incurred by Montecito and Windsor Manor for the year ended December 31, 2013. Includes approximately $0.03 million of non-recurring acquisition expenses incurred by Windsor Manor for the year ended December 31, 2012. | ||||||||||||||||
The following presents financial information for each of the Company’s unconsolidated entities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||
Montecito | Windsor | Total | |||||||||||||||
Manor | |||||||||||||||||
Real estate assets, net | $ | — | $ | 26,505 | $ | 26,505 | |||||||||||
Intangible assets, net | $ | — | $ | 386 | $ | 386 | |||||||||||
Other assets | $ | — | $ | 2,403 | $ | 2,403 | |||||||||||
Mortgages and other notes payable | $ | — | $ | 21,808 | $ | 21,808 | |||||||||||
Other liabilities | $ | — | $ | 1,241 | $ | 1,241 | |||||||||||
Partners’ capital | $ | — | $ | 6,245 | $ | 6,245 | |||||||||||
Carrying amount of investment (1) | $ | — | $ | 7,379 | $ | 7,379 | |||||||||||
Company’s ownership percentage (2) | 75 | % | |||||||||||||||
As of December 31, 2013 | |||||||||||||||||
Montecito | Windsor | Total | |||||||||||||||
Manor | |||||||||||||||||
Real estate assets, net | $ | 17,271 | $ | 27,547 | $ | 44,818 | |||||||||||
Intangible assets, net | $ | 1,925 | $ | 1,284 | $ | 3,209 | |||||||||||
Other assets | $ | 800 | $ | 2,055 | $ | 2,855 | |||||||||||
Mortgages and other notes payable | $ | 12,958 | $ | 17,508 | $ | 30,466 | |||||||||||
Other liabilities | $ | 327 | $ | 1,471 | $ | 1,798 | |||||||||||
Partners’ capital | $ | 6,711 | $ | 11,907 | $ | 18,618 | |||||||||||
Carrying amount of investment (3) | $ | 6,526 | $ | 11,912 | $ | 18,438 | |||||||||||
Company’s ownership percentage | 90 | % | 75 | % | |||||||||||||
FOOTNOTES: | |||||||||||||||||
(1) | As of December 31, 2014, the Company’s share of partners’ capital determined under HLBV pursuant to the terms of each entity’s respective partnership agreement was approximately $6.6 million. The difference between the Company’s carrying amount of the investment and the Company’s share of partners’ capital determined under HLBV was approximately $0.8 million. | ||||||||||||||||
(2) | In August 2014, the Company acquired its co-venture partner’s 10% interest in the Montecito joint venture; refer to Note 3, “Acquisitions – Purchase of Controlling Interest in Montecito Joint Venture,” for additional information. | ||||||||||||||||
(3) | As of December 31, 2013, the Company’s share of partners’ capital determined under HLBV pursuant to the terms of each entity’s respective partnership agreement was approximately $17.5 million. The difference between the Company’s carrying amount of the investment and the Company’s share of partners’ capital determined under HLBV was approximately $0.9 million. |
Contingent_Purchase_Price_Cons
Contingent Purchase Price Consideration | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Contingent Purchase Price Consideration | 9 | Contingent Purchase Price Consideration | |||||||||||
Capital Health Communities | |||||||||||||
During 2012, in connection with the acquisition of the Capital Health Communities, the Company required that approximately $7.0 million of the purchase price be placed in an escrow account as the seller guaranteed the Company an annual return of at least $6.9 million, $7.0 million, and $7.1 million of net operating income on the acquired properties during 2013, 2014 and 2015, respectively (“Yield Guaranty”). As of December 31, 2014, the Company determined the fair value of the Yield Guaranty to be $4.1 million, which was recorded as other assets in the accompanying consolidated balance sheets. The following table provides a roll-forward of the fair value of the contingent purchase price consideration related to the Yield Guaranty on the Capital Health Communities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Beginning balance | $ | 4,488 | $ | 2,664 | $ | — | |||||||
Contingent consideration in connection with acquisition | — | — | 2,664 | ||||||||||
Change in fair value | 2,191 | 1,824 | — | ||||||||||
Yield Guaranty payment received from seller | (2,601 | ) | — | — | |||||||||
Ending balance | $ | 4,078 | $ | 4,488 | $ | 2,664 | |||||||
Medical Portfolio I | |||||||||||||
During 2013, in conjunction with the acquisition of Medical Portfolio I, the Company entered into an earn-out agreement with the seller related to Cleveland Clinic, the tenant at Chestnut Commons, whereby the tenant maintains an exercisable right to expand the leased space by an additional 10,000 square feet within 24 months of the property acquisition closing (“Earn-Out”). The Earn-Out fee will be equal to (a) the base rent due for the first full year of the lease applicable to the expansion space divided by 8% minus (b) the costs incurred by the Company in connection with the exercise by Cleveland Clinic of its option for the expansion space, including tenant improvement costs, multiplied by 50%. As of December 31, 2014, the Company determined the fair value of the Earn-Out to be approximately $0.3 million, which is recorded as other liabilities in the accompanying consolidated balance sheets. The following table provides a roll-forward of the fair value of the contingent purchase price consideration related to Earn-Out for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Beginning balance | $ | (507 | ) | $ | — | $ | — | ||||||
Contingent consideration in connection with acquisition | — | (507 | ) | — | |||||||||
Change in fair value | 239 | — | — | ||||||||||
Ending balance | $ | (268 | ) | $ | (507 | ) | $ | — | |||||
South Bay II Communities | |||||||||||||
During 2014, in conjunction with the acquisition of the South Bay II Communities, the Company entered into an agreement with the sellers whereby the purchase price is adjusted in the event that certain net operating income targets are met. The additional consideration was determined within three months of the acquisition date and is equal to (a) the baseline net operating income divided by the baseline capitalization rates (as defined in the purchase and sale agreement) less (b) the purchase price paid at closing. The following table provides a roll-forward of the fair value of the estimated contingent purchase price consideration related to the South Bay II Communities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Beginning balance | $ | — | $ | — | $ | — | |||||||
Contingent consideration in connection with acquisition | (12,395 | ) | — | — | |||||||||
Change in fair value | (1,800 | ) | — | — | |||||||||
Contingent consideration payment | 14,195 | — | — | ||||||||||
Ending balance | $ | — | $ | — | $ | — | |||||||
Fair Value Measurements | |||||||||||||
The fair value of the contingent purchase price consideration was based on a then-current income approach that is primarily determined based on the present value and probability of future cash flows using internal underwriting models. The income approach further includes estimates of risk-adjusted rate of return and capitalization rates for each property. Since this methodology includes inputs that are less observable by the public and are not necessarily reflected in active markets, the measurements of the estimated fair value related to the Company’s contingent purchase price consideration are categorized as Level 3 on the three-level fair value hierarchy. |
Indebtedness
Indebtedness | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Indebtedness | 10 | Indebtedness | |||||||||||||||
The following table provides details of the Company’s indebtedness as of December 31, 2014 and December 31, 2013 (in thousands): | |||||||||||||||||
December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Mortgages payable and other notes payable: | |||||||||||||||||
Fixed rate debt | $ | 370,854 | $ | 290,817 | |||||||||||||
Variable rate debt (1) | 482,922 | 147,290 | |||||||||||||||
Mortgages and other notes payable | 853,776 | 438,107 | |||||||||||||||
Premium (discount), net (2) | (215 | ) | — | ||||||||||||||
Total mortgages and other notes payable, net | 853,561 | 438,107 | |||||||||||||||
Credit facilities: | |||||||||||||||||
Term Loan Facility | 175,000 | — | |||||||||||||||
Revolving Credit Facility | 31,403 | 98,500 | |||||||||||||||
Total borrowings | $ | 1,059,964 | $ | 536,607 | |||||||||||||
FOOTNOTES: | |||||||||||||||||
-1 | As of December 31, 2014, the Company had entered into interest rate swaps with notional amounts of approximately $182.1 million that were settling on a monthly basis; whereas, there were no such settlements during the year ended December 31, 2013. In addition, as of December 31, 2014 and December 31, 2013, the Company had entered into forward-starting interest rate swaps for total notional amounts of approximately $269.4 million and $124.3 million, respectively, in order to hedge its exposure to variable rate debt in future periods. The remaining forward-starting interest rate swaps have a range of effective dates beginning in 2015 and continuing through the maturity date of the respective loan (ranging from 2016 through 2019). | ||||||||||||||||
-2 | Premium (discount), net is reflective of the Company recording mortgage note payables assumed at fair value on the respective acquisition date. | ||||||||||||||||
In December 2014, we amended and restated the terms of our credit agreement with KeyBank, as administrative agent, by entering into a $230 million Revolving Credit Facility and a $175 million Term Loan Facility. Pursuant to the Amended Credit Agreement, we have the ability to increase the collective borrowings under the Credit Facilities to $700 million. Moreover, the Revolving Credit Facility has an initial term of 36 months plus two 12-month extension options; whereas, the Term Loan Facility has an initial term of 50 months plus one 12-month extension option. The Credit Facilities bear interest based on LIBOR and a spread that varies with our leverage ratio on the respective Credit Facilities. In addition, we are required to make interest only payments until the respective maturity dates of the Credit Facilities as well as to pay fees ranging from 0.15% to 0.25% for unused commitments on the Revolving Credit Facility. As of December 31, 2014, availability under the Revolving Credit Facility was approximately $14.0 million based on the value of the properties in the unencumbered collateral pool of assets supporting the loan. As of December 31, 2013, the Revolving Credit Facility had an outstanding principal balance of approximately $98.5 million and was collateralized by nine properties with an aggregate net book carrying value of approximately $159.5 million. | |||||||||||||||||
The Credit Facilities contain affirmative, negative, and financial covenants which are customary for loans of this type, including without limitation: (i) maximum leverage, (ii) minimum fixed charge coverage ratio, (iii) minimum consolidated net worth, (iv) restrictions on payments of cash distributions except if required by REIT requirements, (v) maximum secured and unsecured indebtedness, and (vi) limitations on certain types of investments and with respect to the pool of properties supporting borrowings under the Credit Facilities, minimum debt service coverage ratio, and remaining lease terms, as well as property type, MSA, operator, and asset value concentration limits. The limitations on distributions includes a limitation on the extent of allowable distributions, which are not to exceed the greater of 95% of adjusted FFO (as defined per the Credit Facilities) and the minimum amount of distributions required to maintain the Company’s REIT status. | |||||||||||||||||
The following table provides additional details of the Company’s mortgages and other notes payable as of December 31, 2014 and 2013 (in thousands): | |||||||||||||||||
Interest Rate at | |||||||||||||||||
December 31, | Maturity | December 31, | |||||||||||||||
Property and Loan Type | 2014 (1) | Payment Terms | Date (2) | 2014 | 2013 | ||||||||||||
Pacific Northwest Communities; | 4.30% | Monthly principal and interest payments based on a 25-year amortization schedule | 12/5/18 | $ | 215,904 | $ | 157,549 | ||||||||||
Mortgage Loan (3) | per annum | ||||||||||||||||
Capital Health Communities; | 4.25% | Monthly principal and interest payments based on a 25-year amortization schedule | 1/5/20 | 43,684 | 47,481 | ||||||||||||
Mortgage Loan | per annum | ||||||||||||||||
Primrose II Communities; | 3.81% | Monthly principal and interest payments based on a 30-year amortization schedule | 6/1/20 | 22,913 | 23,337 | ||||||||||||
Mortgage Loan | per annum | ||||||||||||||||
Primrose I Communities; | 4.11% | Monthly principal and interest payments based on a 30-year amortization schedule | 9/1/22 | 53,060 | 54,031 | ||||||||||||
Mortgage Loan (4) | per annum | ||||||||||||||||
Watercrest at Mansfield; | 4.68% | Monthly principal and interest payments based on a total payment | 6/1/23 | 27,073 | — | ||||||||||||
Mortgage Loan (5) | per annum | of $143,330 | |||||||||||||||
LaPorte Cancer Center; | 4.25% | Monthly principal and interest payments based on a 25-year amortization schedule | 6/14/28 | 8,220 | 8,419 | ||||||||||||
Mortgage Loan | per annum | ||||||||||||||||
(through 2020) | |||||||||||||||||
Total fixed rate debt | 370,854 | 290,817 | |||||||||||||||
Perennial Communities; | 30-day LIBOR | Monthly interest only payments through April 2015; principal and interest payments thereafter based | 5/31/16 | 30,000 | 30,000 | ||||||||||||
Mortgage Loan (6) | plus 4.25% | on a 25-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Medical Portfolio I Properties; | 30-day LIBOR | Monthly principal and interest payments based on a 30-year amortization schedule | 9/5/16 | 34,720 | 35,512 | ||||||||||||
Mortgage Loan (7) | plus 2.65% | ||||||||||||||||
per annum | |||||||||||||||||
Lee Hughes Medical Building; | 30-day LIBOR | Monthly principal and interest payments based on a 30-year amortization schedule | 9/5/16 | 19,162 | — | ||||||||||||
Mortgage Loan | plus 1.85% | ||||||||||||||||
per annum | |||||||||||||||||
Harborchase of Villages Crossing; | 30-day LIBOR | Monthly interest only payments through August 2015; principal and interest payments thereafter based | 9/1/17 | 16,589 | 13,130 | ||||||||||||
Construction Loan | plus 3.20% | on a 30-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Raider Ranch Development; | 30-day LIBOR | Monthly interest only payments through October 2017; principal and interest payments thereafter based | 10/27/17 | 1 | — | ||||||||||||
Construction Loan | with 0.5% floor plus 3.50% | on a 25-year amortization schedule | |||||||||||||||
Interest Rate at | |||||||||||||||||
December 31, | Maturity | December 31, | |||||||||||||||
Property and Loan Type | 2014 (1) | Payment Terms | Date (2) | 2014 | 2013 | ||||||||||||
Northwest Medical Park; | 30-day LIBOR | Monthly principal and interest payments based on a 25-year amortization schedule | 10/31/17 | $ | 7,129 | $ | — | ||||||||||
Mortgage Loan (8) | plus 2.30% | ||||||||||||||||
per annum | |||||||||||||||||
Dogwood Forest of Acworth; | 30-day LIBOR | Monthly interest only payments through December 2015; principal and interest payments thereafter based on a 30-year amortization schedule | 1/1/18 | 12,038 | 3,765 | ||||||||||||
Construction Loan | plus 3.20% | ||||||||||||||||
per annum | |||||||||||||||||
Claremont Medical Office; | 30-day LIBOR | Monthly principal and interest payments based on a 30-year amortization schedule | 1/15/18 | 12,958 | — | ||||||||||||
Mortgage Loan (9) | plus 2.60% | ||||||||||||||||
per annum | |||||||||||||||||
Knoxville Medical Office Properties; | 30-day LIBOR | Monthly interest only payments for the first 18 months; principal and interest payments thereafter based | 7/10/18 | 38,609 | 38,609 | ||||||||||||
Mortgage Loan (10) | plus 2.50% | on a 30-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Calvert Medical Office Properties; | 30-day LIBOR | Monthly interest only payments for the first 18 months; principal and interest payments thereafter based | 8/29/18 | 26,274 | 26,274 | ||||||||||||
Mortgage Loan (11) | plus 2.50% | on a 30-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Wellmore of Tega Cay; | 30-day LIBOR | Monthly interest only payments through February 2019; principal and interest payments thereafter based on a 25-year amortization schedule | 2/6/19 | 8,007 | — | ||||||||||||
Construction Loan | with 0.5% floor | ||||||||||||||||
plus 5.4% | |||||||||||||||||
HOSH and HOSH MOB; | 90-day LIBOR | Monthly principal and interest payments based on a 20-year amortization schedule | 6/2/19 | 49,624 | — | ||||||||||||
Mortgage Loan (12) | with 0.4% floor | ||||||||||||||||
plus 2.85% | |||||||||||||||||
Medical Portfolio II Properties; | 90-day LIBOR | Monthly principal and interest payments based on a 25-year amortization schedule | 7/14/19 | 85,127 | — | ||||||||||||
Mortgage Loan (13) | with 0.25% floor plus 2.35% | ||||||||||||||||
Southeast Medical Office Properties; | 30-day LIBOR | Monthly principal and interest payments based on a 25-year amortization schedule | 12/22/19 | 142,684 | — | ||||||||||||
Mortgage Loan (14) | plus 2.0% | ||||||||||||||||
per annum | |||||||||||||||||
Total variable rate debt | 482,922 | 147,290 | |||||||||||||||
Total debt | $ | 853,776 | $ | 438,107 | |||||||||||||
FOOTNOTES: | |||||||||||||||||
-1 | The 30-day and 90-day LIBOR was approximately 0.17% and 0.25%, respectively, as of December 31, 2014 and approximately 0.16% and 0.24%, respectively, as of December 31, 2013. | ||||||||||||||||
-2 | Represents the initial maturity date (or, as applicable, the maturity date as extended). The maturity date may be extended beyond the date shown subject to certain lender conditions. | ||||||||||||||||
-3 | The Pacific Northwest Loan may be prepaid, in whole or in part, with a prepayment premium equal to the greater of: (i) one percent (1%) of the principal amount being prepaid, multiplied by the quotient of the number of full months remaining until the maturity date of the loan (calculated as of the prepayment date) divided by the number of full months comprising the term of the loan; or (b) a “make-whole” payment equal to the present value of the loan less the amount of principal and accrued interest being prepaid calculated as of the prepayment date for the period between that date and the maturity date. | ||||||||||||||||
-4 | If prepaid prior to March 1, 2022, the Primrose I Communities Mortgage Loan is subject to a prepayment penalty in an amount equal to the greater of (i) 1% of the principal being repaid, or (ii) an amount calculated on the principal being repaid, multiplied by the difference between the Primrose I Communities Mortgage Loan interest rate, and a calculated yield rate tied to the rates on applicable U.S. Treasuries. If prepayment is made between March 1, 2022, and May 31, 2022, the prepayment penalty will be 1% of the outstanding principal balance of the Primrose I Communities Mortgage Loan. No prepayment fee is required if the Primrose I Communities Mortgage Loan is prepaid between June 1, 2022 and maturity. Partial prepayment of a loan is not permitted. The loan is transferable upon sale of the assets subject to lender approval. | ||||||||||||||||
-5 | The balance for this loan excludes a premium of $0.4 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. | ||||||||||||||||
-6 | The Company entered into a two-year forward interest rate swap with a notional amount of $30 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-7 | The Company entered into a two-year forward interest rate swap with a notional amount of $30 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-8 | The Company entered into a three-year interest rate swap with a notional amount of $7.1 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-9 | The balance for this loan excludes a discount of $0.6 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. In addition, the Company entered into a three-year forward interest rate swap with a notional amount of $12.4 million; see Note 12, “Derivative Financial Instruments” for additional information | ||||||||||||||||
-10 | The Company entered into a three-year forward interest rate swap with a notional amount of $38.3 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-11 | The Company entered into a three-year forward interest rate swap with a notional amount of $26.1 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-12 | The Company entered into a three-year forward interest rate swap with a notional amount of $48.4 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-13 | The Company entered into a four-year forward interest rate swap with a notional amount of $84.3 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-14 | In January 2015, the Company entered into a four-year forward interest rate swap with a notional amount of $138.7 million; see Note 16, “Subsequent Events” for further information. | ||||||||||||||||
All of the Company’s mortgage and construction loans contain customary financial covenants and ratios; including (but not limited to) the following: debt service coverage ratio, minimum occupancy levels, limitations on incurrence of additional indebtedness, etc. As of December 31, 2014, the Company was in compliance with all financial covenants and ratios. | |||||||||||||||||
The following is a schedule of future principal payments and maturity for the Company’s borrowings as of December 31, 2014 (in thousands): | |||||||||||||||||
2015 | $ | 17,693 | |||||||||||||||
2016 | 99,609 | ||||||||||||||||
2017 | 65,380 | ||||||||||||||||
2018 | 296,723 | ||||||||||||||||
2019 | 444,136 | ||||||||||||||||
Thereafter | 136,423 | ||||||||||||||||
$ | 1,059,964 | ||||||||||||||||
The fair market value and carrying value of the mortgage and other notes payable was approximately $868.5 million and $853.6 million, respectively, and both the fair market value and carrying value of the Credit Facilities was $206.4 million as of December 31, 2014. The fair market value and carrying value of the mortgage and other notes payable was approximately $431.4 million and $438.1 million, respectively, and both the fair market value and carrying value of the Revolving Credit Facility was $98.5 million as of December 31, 2013. These fair market values are based on current rates and spreads the Company would expect to obtain for similar borrowings. Since this methodology includes inputs that are less observable by the public and are not necessarily reflected in active markets, the measurement of the estimated fair values related to the Company’s mortgage notes payable is categorized as Level 3 on the three-level valuation hierarchy. The estimated fair value of accounts payable and accrued expenses approximates the carrying value as of December 31, 2014 and December 31, 2013 because of the relatively short maturities of the obligations. |
Related_Party_Arrangements
Related Party Arrangements | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Related Party Arrangements | 11 | Related Party Arrangements | |||||||||||||||||||
The Company is externally advised and has no direct employees. Certain of the Company’s executive officers are executive officers of, or are on the board of managers of the Advisor. In addition, certain directors and officers hold similar positions with CNL Securities Corp., the managing dealer of the Offerings and a wholly owned subsidiary of CNL (the “Managing Dealer”). | |||||||||||||||||||||
In connection with services provided to the Company, affiliates are entitled to the following fees: | |||||||||||||||||||||
Managing Dealer — The Managing Dealer receives selling commissions and marketing support fees of up to 7% and 3%, respectively, of gross offering proceeds for shares sold, excluding shares sold pursuant to the Company’s Reinvestment Plan, all or a portion of which may be paid to participating broker dealers by the Managing Dealer. | |||||||||||||||||||||
Advisor — The Advisor and certain affiliates are entitled to receive fees and compensation in connection with the acquisition, management and sale of the Company’s assets, as well as the refinancing of debt obligations of the Company or its subsidiaries. In addition, the Advisor and its affiliates are entitled to reimbursement of actual costs incurred on behalf of the Company in connection with the Company’s organizational, offering, acquisition and operating activities. Pursuant to the advisory agreement, as amended in 2013, the Advisor receives investment services fees equal to 1.85% of the purchase price of properties (including its proportionate share of properties acquired through joint ventures) for services rendered in connection with the selection, evaluation, structure and purchase of assets. In addition, the Advisor is entitled to receive a monthly asset management fee of 0.08334% of the average real estate asset value (as defined in the advisory agreement) of the Company’s properties, including its proportionate share of properties owned through joint ventures. The Advisor will also receive a financing coordination fee for services rendered with respect to refinancing of any debt obligations of the Company or its subsidiaries equal to 1.0% of the gross amount of the refinancing. | |||||||||||||||||||||
The Company will pay the Advisor a disposition fee in an amount equal to (i) in the case of the sale of real property, the lesser of (A) one-half of a competitive real estate commission, or (B) 1% of the sales price of such property, and (ii) in the case of the sale of any asset other than real property or securities, 1% of the sales price of such asset, if the Advisor, its affiliates or related parties provide a substantial amount of services, as determined by the Company’s independent directors, in connection with the sale of one or more assets (including a sale of all of its assets or the sale of it or a portion thereof). The Company will not pay its Advisor a disposition fee in connection with the sale of investments that are securities; however, a disposition fee in the form of a usual and customary brokerage fee may be paid to an affiliate or related party of the Advisor, if such affiliate is properly licensed. | |||||||||||||||||||||
Under the advisory agreement and the Company’s articles of incorporation, the Advisor will be entitled to receive certain subordinated incentive fees upon (a) sales of assets and/or (b) a listing (which would also include the receipt by the Company’s stockholders of securities that are approved for trading on a national securities exchange in exchange for shares of the Company’s common stock as a result of a merger, share acquisition or similar transaction). However, once a listing occurs, the Advisor will not be entitled to receive an incentive fee on subsequent sales of assets. The incentive fees are calculated pursuant to formulas set forth in both the advisory agreement and the Company’s articles of incorporation. All incentive fees payable to the Advisor are subordinated to the return to investors of their invested capital plus a 6% cumulative, noncompounded annual return on their invested capital. Upon termination or non-renewal of the advisory agreement by the Advisor for good reason (as defined in the advisory agreement) or by the Company other than for cause (as defined in the advisory agreement), a listing or sale of assets after such termination or non-renewal will entitle the Advisor to receive a pro-rated portion of the applicable subordinated incentive fee. | |||||||||||||||||||||
In addition, the Advisor or its affiliates may be entitled to receive fees that are usual and customary for comparable services in connection with the financing, development, construction or renovation of a property, subject to approval of the Company’s board of directors, including a majority of its independent directors. | |||||||||||||||||||||
In March 2013, the Company entered into the Advisor Expense Support Agreement pursuant to which the Advisor agreed to accept certain payments in the form of forfeitable restricted common stock of the Company in lieu of cash for asset management fees and specified expenses owed by the Company to the Advisor under the advisory agreement. The term of the Advisor Expense Support Agreement automatically renews for consecutive one year periods, subject to the right of the Advisor to terminate the Advisor Expense Support Agreement upon 30 days’ written notice to the Company. | |||||||||||||||||||||
Commencing on April 1, 2013, the Advisor has provided expense support to the Company through forgoing the payment of fees in cash and acceptance of restricted stock for services rendered and specified expenses incurred in an amount equal to the positive excess, if any, of (a) aggregate stockholder cash distributions declared for the applicable quarter, over (b) the Company’s aggregate modified funds from operations (as defined in the Advisor Expense Support Agreement). The Advisor expense support amount shall be determined for each calendar quarter, on a non-cumulative basis, on each Determination Date. | |||||||||||||||||||||
Property Manager — Pursuant to a property management agreement, as amended in 2012, the Property Manager receives property management fees of (a) 2% of annual gross rental revenues from single tenant properties, and (b) 4% of annual gross rental revenues from multi-tenant properties. In the event that the Company contracts directly with a third-party property manager, the Company may pay the Property Manager an oversight fee of up to 1% of annual gross revenues of the property managed; however, in no event will the Company pay both a property management fee and an oversight fee with respect to the same property. The Company will pay to the Property Manager a construction management fee equal to 5% of hard and soft costs associated with the initial construction or renovation of a property, or with the management and oversight of expansion projects and other capital improvements, in those cases in which the value of the construction, renovation, expansion or improvements exceeds (i) 10% of the initial purchase price of the property, and (ii) $1.0 million, which fee will be due and payable upon completion of such projects. | |||||||||||||||||||||
In August 2013, the Company entered into the Property Manager Expense Support Agreement pursuant to which the Property Manager has agreed to accept certain payments in the form of forfeitable restricted common stock of the Company in lieu of cash for property management services owed by the Company to the Property Manager under the property management and leasing agreement. | |||||||||||||||||||||
Commencing on July 1, 2013, the Property Manager is required to provide expense support to the Company through forgoing the payment of fees in cash and acceptance of restricted stock for services in an amount equal to the positive excess, if any, of (a) aggregate stockholder cash distributions declared for the applicable quarter, over (b) the Company’s aggregate modified funds from operations (as defined in the Property Manager Expense Support Agreement). The Property Manager expense support amount shall be determined, on a non-cumulative basis, after the calculation of the Advisor expense support amount pursuant to the Property Manager Expense Support Agreement on each Determination Date. | |||||||||||||||||||||
Expense Support Agreements — In exchange for services rendered and in consideration of the expense support provided, the Company shall issue, within 45 days following each Determination Date, a number of shares of restricted stock equal to the quotient of the expense support amount provided by to the Advisor and Property Manager for the preceding quarter divided by the then-current public offering price per share of common stock, on the terms and conditions and subject to the restrictions set forth in the Expense Support Agreements. Any amounts deferred, and for which restricted stock shares are issued, pursuant to the Expense Support Agreements will be permanently waived and the Company will have no obligation to pay such amounts to the Advisor or the Property Manager. The Restricted Stock is subordinated and forfeited to the extent that shareholders do not receive their original invested capital back with at least a 6% annualized return of investment upon ultimate liquidity of the Company. Refer to Note 2, “Summary of Significant Accounting Policies” for treatment of issued Restricted Stock. | |||||||||||||||||||||
CNL Capital Markets Corp — CNL Capital Markets Corp., an affiliate of CNL, receives a sliding flat annual rate (payable monthly) based on the average number of investor accounts that will be open over the term of the agreement. For the years ended December 31, 2014, 2013 and 2012, the Company incurred approximately $0.4 million, $0.3 million and $0.1 million in such fees, respectively. These amounts are included in general and administrative expenses in the accompanying consolidated statements of operations. | |||||||||||||||||||||
Co-venture partners — The Company paid certain amounts on behalf of its co-venture partner, Windsor Manor, of approximately $30,000 and $0.1 million during the years ended December 31, 2014 and 2013. The Company has recorded a receivable balance as of December 31, 2014 and 2013, which is included in other assets in the accompanying consolidated balance sheet. | |||||||||||||||||||||
The Company incurs operating expenses which, in general, relate to administration of the Company on an ongoing basis. Pursuant to the advisory agreement, the Advisor shall reimburse the Company the amount by which the total operating expenses paid or incurred by the Company exceed, in any four consecutive fiscal quarters commencing with the Expense Year ending June 30, 2013, the greater of 2% of average invested assets or 25% of net income (as defined in the advisory agreement) (“Limitation”), unless a majority of the Company’s independent directors determines that such excess expenses are justified based on unusual and non-recurring factors (“Expense Cap Test”). In performing the Expense Cap Test, the Company uses operating expenses on a GAAP basis after making adjustments for the benefit of expense support under the Expense Support Agreements. For the Expense Year ended December 31, 2014, the Company did not incur operating expenses in excess of the Limitation. | |||||||||||||||||||||
The Company maintains accounts totaling approximately $0.1 million and $0.4 million as of December 31, 2014 and 2013, respectively, at a bank in which the Company’s chairman serves as a director. | |||||||||||||||||||||
In June 2013, the Company originated an ADC Loan in the amount of $6.2 million to C4 Development, LLC (“Crosland Southeast”), a related party by virtue of a family relationship between a principal of the borrower and the Company’s vice chairman who recused himself from review and approval of the investment, for the development of an MOB in Rutland, Virginia that will function as an out-patient emergency and imaging center and was leased to Hospital Corporation of America (“HCA”). As of December 31, 2014, the Company’s ADC Loan had been fully repaid. As of December 31, 2013, approximately $3.7 million of the ADC Loan commitment had been funded of which approximately $1.8 million was used for the purchase of land (“HCA Rutland”) and approximately $1.9 million was used towards the development of the MOB. The previous funding on the ADC Loan was recorded as a note receivable from related party in the accompanying consolidated balance sheet as of December 31, 2013. In addition, the Company recorded interest income for the years ended December 31, 2014 and 2013, which is included in interest income on note receivable from related party in the accompanying consolidated statements of operations. | |||||||||||||||||||||
The fees incurred by and reimbursable to the Advisor in connection with the Company’s Offerings for the years ended December 31, 2014, 2013 and 2012, and related amounts unpaid as of December 31, 2014 and 2013 are as follows (in thousands): | |||||||||||||||||||||
Unpaid amounts (1) | |||||||||||||||||||||
Years Ended December 31, | as of December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | |||||||||||||||||
Selling commissions (2) | $ | 18,387 | $ | 10,262 | $ | 7,070 | $ | 388 | $ | 71 | |||||||||||
Marketing support fees (2) | 16,429 | 11,310 | 4,957 | 555 | 70 | ||||||||||||||||
$ | 34,816 | $ | 21,572 | $ | 12,027 | $ | 943 | $ | 141 | ||||||||||||
The expenses and fees incurred by and reimbursable to the Company’s related parties for the years ended December 31, 2014, 2013 and 2012, and related amounts unpaid as of December 31, 2014 and 2013 are as follows (in thousands): | |||||||||||||||||||||
Unpaid amounts (1) | |||||||||||||||||||||
Years Ended December 31, | as of December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | |||||||||||||||||
Reimbursable expenses: | |||||||||||||||||||||
Offering costs (2) | $ | 5,151 | $ | 4,373 | $ | 6,867 | $ | 713 | $ | 612 | |||||||||||
Operating expenses (3) | 3,206 | 2,576 | 1,506 | 479 | 915 | ||||||||||||||||
Acquisition fees and expenses | 614 | 254 | 269 | 80 | 138 | ||||||||||||||||
8,971 | 7,203 | 8,642 | 1,272 | 1,665 | |||||||||||||||||
Investment services fees (4) | 18,553 | 12,892 | 7,673 | — | — | ||||||||||||||||
Disposition fee (5) | — | 608 | — | — | — | ||||||||||||||||
Financing coordination fees (6) | 220 | — | 552 | — | — | ||||||||||||||||
Property management fees (7) | 2,982 | 1,244 | 452 | 429 | 322 | ||||||||||||||||
Asset management fees (8) | 13,612 | 5,089 | 1,380 | 355 | 894 | ||||||||||||||||
Interest reserve and other advances (9) | — | — | — | — | 286 | ||||||||||||||||
$ | 44,338 | $ | 27,036 | $ | 18,699 | $ | 2,056 | $ | 3,167 | ||||||||||||
FOOTNOTES: | |||||||||||||||||||||
(1) | Amounts are recorded as due to related parties in the accompanying consolidated balance sheets. | ||||||||||||||||||||
(2) | Amounts are recorded as stock issuance and offering costs in the accompanying consolidated statements of stockholders’ equity and redeemable noncontrolling interest. Amounts include approximately $30,000, $0.1 million and $0 of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | ||||||||||||||||||||
(3) | Amounts are recorded as general and administrative expenses in the accompanying consolidated statements of operations. Amounts include approximately $0.2 million, $0.2 million and $0.1 million of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | ||||||||||||||||||||
(4) | For the year ended December 31, 2014, the Company incurred approximately $18.6 million in investment services fees of which approximately $1.8 million, was capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2013, the Company incurred approximately $12.9 million in investment service fees of which approximately $0.5 million and $0.1 million, respectively, were capitalized and included in investments in unconsolidated entities and real estate under development. For the year ended December 31, 2012, the Company incurred approximately $7.7 million in investment services fees of which approximately $2.9 million and $0.6 million, respectively, were capitalized and included in investments in unconsolidated entities and properties held for development. Investment service fees, that are not capitalized, are recorded as acquisition fees and expenses in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(5) | Amounts are recorded as a reduction to gain on sale of investment in unconsolidated entity in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(6) | For the year ended December 31, 2014, the Company incurred approximately $0.2 million in financing coordination fees, which was capitalized and included in its investment in the Windsor Manor Joint Venture. There were no financing coordination fees for the year ended December 31, 2013. For the year ended December 31, 2012, the Company incurred approximately $0.5 million in financing coordination fees, which was capitalized as loan costs in the accompanying consolidated balance sheets. | ||||||||||||||||||||
(7) | For the years ended December 31, 2014, 2013 and 2012, the Company incurred approximately $2.9 million, $1.2 million and $0.1 million, respectively, in property and construction management fees payable to the Property Manager of which approximately $0.9 million, $0.2 million and $0.1 million, respectively, in construction management fees were capitalized and included in real estate under development in the accompanying consolidated balance sheets. | ||||||||||||||||||||
(8) | For the years ended December 31, 2014 and 2013, the Company incurred approximately $13.6 million and $5.1 million, respectively, in asset management fees payable to the Advisor of which approximately $4.9 million and $1.4 million, respectively, were forgone in accordance with the terms of the Advisor Expense Support Agreement and approximately $0.3 million and $0.1 million, respectively, were capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2012, the Company incurred approximately $1.4 million in asset management fees payable to the Advisor, of which approximately eleven thousand dollars was capitalized and included in real estate under development. | ||||||||||||||||||||
(9) | Amount primarily consists of an interest reserve account related to the ADC Loan originated in June 2013. | ||||||||||||||||||||
The following fees were foregone in connection with the Expense Support Agreements for the years ended December 31, 2014, 2013 and 2012, and cumulatively as of December 31, 2014 (in thousands, except offering price): | |||||||||||||||||||||
Years Ended | As of | ||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | ||||||||||||||||||
Asset management fees (1) | $ | 4,867 | $ | 1,402 | $ | — | $ | 6,269 | |||||||||||||
Then-current offering price (2) | $ | 10.24 | $ | 10 | $ | — | $ | 10.58 | |||||||||||||
Restricted stock shares (3) | 478 | 140 | — | 618 | |||||||||||||||||
Cash distributions on Restricted Stock (4) | $ | 98 | $ | 5 | $ | — | $ | 103 | |||||||||||||
Stock distributions on Restricted Stock (5) | 7 | — | (6) | — | 7 | ||||||||||||||||
FOOTNOTES: | |||||||||||||||||||||
(1) | No other amounts have been forgone in connection with the Expense Support Agreements for the years ended December 31, 2014, 2013 and 2012, and cumulatively as of December 31, 2014. | ||||||||||||||||||||
(2) | The then-current offering prices are based on the Company’s NAV per share at the date in which the expense support amounts were ultimately settled under the Expense Support Agreements. | ||||||||||||||||||||
(3) | Restricted stock shares are comprised of approximately 0.5 million issued to the Advisor and approximately 0.1 million issuable to the Advisor as of December 31, 2014. Since the vesting conditions were not met through December 31, 2014, no fair value was assigned to the restricted stock shares as the shares were valued at zero, which represents the lowest possible value estimated at vesting. In addition, the restricted stock shares were treated as unissued for financial reporting purposes because the vesting criteria had not been met as of December 31, 2014. | ||||||||||||||||||||
(4) | The cash distributions have been recognized as compensation expense as issued and included in general and administrative expense in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(5) | This represents the number of shares issued to the Advisor as stock distributions on its restricted stock shares. The par value of the stock distributions has been recognized as compensation expense as issued and included in general and administrative expense in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(6) | During the year ended December 31, 2013, the Advisor received 356 shares in the form of stock distributions under the terms of the Advisor Expense Support Agreement. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||
Derivative Financial Instruments | 12 | Derivative Financial Instruments | |||||||||||||||||||||||||
The following table summarizes the terms of the derivative financial instruments held by the Company or through its joint venture and the asset (liability) that has been recorded (in thousands): | |||||||||||||||||||||||||||
Fair value | |||||||||||||||||||||||||||
asset (liability) as of | |||||||||||||||||||||||||||
Notional | Strike (1) | Credit | Trade | Forward | Maturity | December 31, | December 31, | ||||||||||||||||||||
Amount | Spread (1) | date | date | date | 2014 | 2013 | |||||||||||||||||||||
$ | 12,421 | (2) | 1.3 | % | 2.6 | % | 1/17/13 | 1/15/15 | 1/16/18 | $ | (71 | ) | $ | 83 | |||||||||||||
$ | 38,255 | (2) | 2.7 | % | 2.5 | % | 9/6/13 | 8/17/15 | 7/10/18 | $ | (1,228 | ) | $ | (590 | ) | ||||||||||||
$ | 26,067 | (2) | 2.8 | % | 2.5 | % | 9/6/13 | 8/17/15 | 8/29/18 | $ | (906 | ) | $ | (435 | ) | ||||||||||||
$ | 30,000 | (2) | 1.1 | % | 2.7 | % | 10/22/13 | 8/5/15 | 8/19/16 | $ | (82 | ) | $ | (10 | ) | ||||||||||||
$ | 29,952 | (2) | 0.9 | % | 4.3 | % | 11/13/13 | 5/11/15 | 5/31/16 | $ | (74 | ) | $ | (8 | ) | ||||||||||||
$ | 11,000 | (3) | 3 | % | — | % | 6/27/14 | 6/30/14 | 6/30/17 | $ | 10 | $ | — | ||||||||||||||
$ | 48,415 | (2) | 2.4 | % | 2.9 | % | 8/15/14 | 6/1/16 | 6/2/19 | $ | (270 | ) | $ | — | |||||||||||||
$ | 84,251 | (2) | 2.3 | % | 2.4 | % | 9/12/14 | 8/1/15 | 7/15/19 | $ | (1,326 | ) | $ | — | |||||||||||||
$ | 7,129 | (2) | 1.2 | % | 2.3 | % | 11/12/14 | 11/15/14 | 10/15/17 | $ | (35 | ) | $ | — | |||||||||||||
$ | 175,000 | (2) | 1.6 | % | 2 | % | 12/23/14 | 12/19/14 | 2/19/19 | $ | (881 | ) | $ | — | |||||||||||||
The following tables summarize the gross and net amounts of the Company’s derivative financial instruments as presented in the accompanying consolidated balance sheets as of December 31, 2014 (in thousands): | |||||||||||||||||||||||||||
Gross and net amounts of asset (liability) | Gross amounts | ||||||||||||||||||||||||||
as of December 31, 2014 | as of December 31, 2014 | ||||||||||||||||||||||||||
Notional | Gross | Offset | Net | Financial | Cash | Net | |||||||||||||||||||||
amount | amount | amount | amount | Instruments | Collateral | Amount | |||||||||||||||||||||
$ | 12,421 | (2) | $ | (71 | ) | $ | — | $ | (71 | ) | $ | (71 | ) | $ | — | $ | (71 | ) | |||||||||
$ | 38,255 | (2) | $ | (1,228 | ) | $ | — | $ | (1,228 | ) | $ | (1,228 | ) | $ | — | $ | (1,228 | ) | |||||||||
$ | 26,067 | (2) | $ | (906 | ) | $ | — | $ | (906 | ) | $ | (906 | ) | $ | — | $ | (906 | ) | |||||||||
$ | 30,000 | (2) | $ | (82 | ) | $ | — | $ | (82 | ) | $ | (82 | ) | $ | — | $ | (82 | ) | |||||||||
$ | 29,952 | (2) | $ | (74 | ) | $ | — | $ | (74 | ) | $ | (74 | ) | $ | — | $ | (74 | ) | |||||||||
$ | 11,000 | (3) | $ | 10 | $ | — | $ | 10 | $ | 10 | $ | — | $ | 10 | |||||||||||||
$ | 48,415 | (2) | $ | (270 | ) | $ | — | $ | (270 | ) | $ | (270 | ) | $ | — | $ | (270 | ) | |||||||||
$ | 84,251 | (2) | $ | (1,326 | ) | $ | — | $ | (1,326 | ) | $ | (1,326 | ) | $ | — | $ | (1,326 | ) | |||||||||
$ | 7,129 | (2) | $ | (35 | ) | $ | — | $ | (35 | ) | $ | (35 | ) | $ | — | $ | (35 | ) | |||||||||
$ | 175,000 | (2) | $ | (881 | ) | $ | — | $ | (881 | ) | $ | (881 | ) | $ | — | $ | (881 | ) | |||||||||
The following tables summarize the gross and net amounts of the Company’s derivative financial instruments as presented in the accompanying consolidated balance sheets as of December 31, 2013 (in thousands): | |||||||||||||||||||||||||||
Gross and net amounts of asset (liability) | Gross amounts | ||||||||||||||||||||||||||
as of December 31, 2013 | as of December 31, 2013 | ||||||||||||||||||||||||||
Notional | Gross | Offset | Net | Financial | Cash | Net | |||||||||||||||||||||
amount | amount | amount | amount | Instruments | Collateral | Amount | |||||||||||||||||||||
$ | 12,421 | (2) | $ | 83 | $ | — | $ | 83 | $ | 83 | $ | — | $ | 83 | |||||||||||||
$ | 38,255 | (2) | $ | (590 | ) | $ | — | $ | (590 | ) | $ | (590 | ) | $ | — | $ | (590 | ) | |||||||||
$ | 26,067 | (2) | $ | (435 | ) | $ | — | $ | (435 | ) | $ | (435 | ) | $ | — | $ | (435 | ) | |||||||||
$ | 30,000 | (2) | $ | (10 | ) | $ | — | $ | (10 | ) | $ | (10 | ) | $ | — | $ | (10 | ) | |||||||||
$ | 29,952 | (2) | $ | (8 | ) | $ | — | $ | (8 | ) | $ | (8 | ) | $ | — | $ | (8 | ) | |||||||||
$ | 11,000 | (3) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 48,415 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 84,251 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 7,129 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 175,000 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
FOOTNOTES: | |||||||||||||||||||||||||||
(1) | The all-in rates are equal to the sum of the Strike and Credit Spread detailed above. | ||||||||||||||||||||||||||
(2) | Amounts related to interest rate swaps held by the Company, or its equity method investments, which are recorded at fair value and included in either other assets or other liabilities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||
(3) | Amounts related to the interest rate cap held by the Windsor Manor Joint Venture for which the proportionate amounts of fair value relative to the Company’s ownership percentage are included in investments in unconsolidated entities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||
Although the Company has determined that the majority of the inputs used to value its derivative financial instruments fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads, to evaluate the likelihood of default by the Company and its counterparties. The Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative financial instruments and has determined that the credit valuation adjustments on the overall valuation adjustments are not significant to the overall valuation of its derivative financial instruments. As a result, the Company determined that its derivative financial instruments valuation in its entirety is classified in Level 2 of the fair value hierarchy. Determining fair value requires management to make certain estimates and judgments. Changes in assumptions could have a positive or negative impact on the estimated fair values of such instruments which could, in turn, impact the Company’s or its joint venture’s results of operations. |
Equity
Equity | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||
Equity | 13 | Equity | |||||||||||||||||
Redeemable Noncontrolling Interest: | |||||||||||||||||||
In connection with the Watercrest at Katy joint venture described in Note 3, “Acquisitions – Real Estate Under Development,” the Company’s joint venture partner acquired a 5% noncontrolling interest that includes a put option of its membership to the Company at any time commencing on the date on which Watercrest at Katy development opens to residents and concluding on the fifth anniversary thereof, when NOI is: (a) equal to or greater than the NOI threshold established in the joint venture agreement, and (b) has been equal to or greater than the NOI threshold established in the joint venture agreement for the three calendar months immediately preceding the calendar month during which the joint venture partner exercises the put option. The put option is redeemable for cash at a price equal to the appraised market value (less certain transaction-related costs) at the time the put option is exercised (“Put Price”). The Company’s maximum exposure, as a result of these redeemable equity securities, is limited to the Put Price multiplied by the joint venture partner’s 5% membership interest. | |||||||||||||||||||
Stockholders’ Equity: | |||||||||||||||||||
Public Offering — As of December 31, 2014 and December 31, 2013, the Company had received aggregate offering proceeds of approximately $1.1 billion (113.0 million shares) and $568.9 million (57.0 million shares), respectively, including approximately $27.1 million (2.8 million shares) and $9.4 million (1.0 million shares), respectively, received through its Reinvestment Plan. | |||||||||||||||||||
Stock Issuance and Offering Costs — The Company has and will continue to incur costs in connection with the Offering and issuance of shares, including selling commissions, marketing support fees, filing fees, legal, accounting, printing and due diligence expense reimbursements, which are recorded as stock issuance and offering costs and deducted from stockholders’ equity. In accordance with the Company’s articles of incorporation, the total amount of selling commissions, marketing support fees, and other organizational and offering costs to be paid by the Company may not exceed 15% of the aggregate gross offering proceeds. Offering costs are generally funded by the Advisor and subsequently reimbursed by the Company subject to this limitation. For the years ended December 31, 2014, 2013 and 2012, the Company incurred approximately $59.8 million, $42.0 million and $23.4 million, respectively, in stock issuance and other offering costs, as described in the discussion of selling commissions and marketing support fees and offering expenses in Note 11, “Related Party Arrangements.” | |||||||||||||||||||
Distributions — On July 29, 2011, the Company’s board of directors authorized a distribution policy providing for monthly cash distributions of $0.03333 (which is equal to an annualized distribution rate of 4% on the initial $10.00 offering price) together with monthly stock distributions of 0.002500 shares of common stock (which is equal to an annualized distribution rate of 3% on each 100 shares of common stock) for a total annualized distribution of 7% payable to all common stockholders of record as of the close of business on the first business day of each month. The Company commenced operations on October 5, 2011 and declarations of distributions pursuant to this policy began on the first day of November 2011. Distributions shall be paid quarterly and will be calculated for each stockholder as of the first day of each month the stockholder has been a stockholder of record in such quarter. | |||||||||||||||||||
In December 2013, the Company’s board of directors determined to increase the amount of monthly cash distributions to $0.03380 per share together with monthly stock distributions of 0.00250 shares of common stock payable to all common stockholders of record as of the close of business on the first business day of each month beginning January 1, 2014. | |||||||||||||||||||
In October 2014, in connection with the determination of our estimated net asset value per share, the Company’s board of directors increased the amount of monthly cash distributions to $0.0353 per share together with monthly stock distributions of 0.0025 shares of common stock payable to all common stockholders of record as of the close of business on the first business day of each month beginning December 1, 2014. This change allows the Company to maintain its historical annual distribution rate of 4.0% in cash (based on the current $10.58 offering price) and 3% in stock (based on three shares for each 100 outstanding shares of common stock). | |||||||||||||||||||
For the years ended December 31, 2014, 2013 and 2012, the Company declared cash distributions of $31.9 million, $14.2 million and $3.2 million, respectively, of which $14.2 million, $6.6 million and $1.5 million, respectively, were paid in cash to stockholders and $17.7 million, $7.6 million and $1.7 million, respectively, were reinvested pursuant to the Reinvestment Plan. In addition, for the years ended December 31, 2014, 2013 and 2012, the Company declared and made stock distributions of approximately 2.4 million 1.1 million and 0.2 million shares of common stock, respectively. | |||||||||||||||||||
The tax composition of the Company’s distributions declared for the years ended December 31, 2014, 2013 and 2012 were as follows: | |||||||||||||||||||
December 31, | |||||||||||||||||||
Distribution Type | 2014 | 2013 | 2012 | ||||||||||||||||
Taxable as ordinary income | 30.8 | % | 0 | % | 0 | % | |||||||||||||
Taxable as capital gain | 0 | % | 63.8 | % | 0 | % | |||||||||||||
Return of capital | 69.2 | % | 36.2 | % | 100 | % | |||||||||||||
Redemptions — During the years ended December 31, 2014, 2013 and 2012, the Company received requests for the redemption of common stock of approximately 0.3 million, 0.08 million and 1,049 shares, respectively, all of which were approved for redemption at an average price of $9.24, $9.25 and $9.99, respectively, and for a total of approximately $3.0 million, $0.8 million and $10,000, respectively. | |||||||||||||||||||
Other comprehensive loss — The following table reflects the effect of derivative financial instruments held by Company, or its equity method investments, and included in the consolidated statements of comprehensive loss for the years ended December 31, 2014 and 2013 (in thousands): | |||||||||||||||||||
Derivative Financial | Gain (loss) recognized | Location of gain (loss) | Gain (loss) reclassified | ||||||||||||||||
in other | reclassified into earnings | from AOCI into earnings | |||||||||||||||||
Instrument | comprehensive loss | (Effective Portion) | (Effective Portion) | ||||||||||||||||
on derivative financial | |||||||||||||||||||
instrument | |||||||||||||||||||
(Effective Portion) | |||||||||||||||||||
Years Ended | Years Ended | ||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Interest rate swaps | $ | (3,915 | ) | $ | (1,042 | ) | Interest expense and | $ | (98 | ) | $ | — | |||||||
loan cost amortization | |||||||||||||||||||
Interest rate cap held by unconsolidated joint venture | 10 | — | Not applicable | — | — | ||||||||||||||
Interest rate swap held by unconsolidated joint venture | — | 83 | Not applicable | — | — | ||||||||||||||
Total | $ | (3,905 | ) | $ | (959 | ) | $ | (98 | ) | $ | — | ||||||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Income Taxes | 14 | Income Taxes | |||||||||||||||||||||||
As of years ended December 31, 2014, 2013 and 2012, the Company recorded net current tax expense and current deferred tax assets related to deferred income at its TRSs. The components of the income tax benefit (expense) for the years ended December 31, 2014, 2013 and 2012 were as follows (in thousands): | |||||||||||||||||||||||||
Years Ended | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||||
Federal | $ | — | $ | 13 | $ | (13 | ) | ||||||||||||||||||
State | (361 | ) | — | (1 | ) | ||||||||||||||||||||
Total current benefit (expense) | (361 | ) | 13 | (14 | ) | ||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||
Federal | — | (25 | ) | 25 | |||||||||||||||||||||
State | — | (6 | ) | 6 | |||||||||||||||||||||
Total deferred benefit (expense) | — | (31 | ) | 31 | |||||||||||||||||||||
Income tax benefit (expense) | $ | (361 | ) | $ | (18 | ) | $ | 17 | |||||||||||||||||
Deferred income taxes reflect the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets as of years ended December 31, 2014 and 2013 are as follows: | |||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Carryforwards of net operating loss | $ | 2,361 | $ | 284 | |||||||||||||||||||||
Prepaid rent | 437 | 313 | |||||||||||||||||||||||
Valuation allowance | (2,798 | ) | (597 | ) | |||||||||||||||||||||
Net deferred tax assets | $ | — | $ | — | |||||||||||||||||||||
A reconciliation of the income tax benefit (expense) computed at the statutory federal tax rate on income before income taxes is as follows (in thousands): | |||||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Tax expense computed at federal statutory rate | $ | (18,253 | ) | (35.00 | )% | $ | (6,329 | ) | (35.00 | )% | $ | (3,758 | ) | (35.00 | )% | ||||||||||
Benefit of REIT election | 18,253 | 35 | % | 6,344 | 35.08 | % | 3,746 | 34.89 | % | ||||||||||||||||
State income tax expense | 361 | 0.69 | % | 3 | 0.02 | % | (5 | ) | (0.05 | )% | |||||||||||||||
Income tax expense | $ | 361 | 0.69 | % | $ | 18 | 0.1 | % | $ | (17 | ) | (0.16 | )% | ||||||||||||
The Company’s TRS entities had net operating loss carry-forwards for federal and state purposes of approximately $12.3 million as of year ended December 31, 2014 to offset future taxable income with approximately $0.8 million and $11.5 million of the estimated net operating loss carry-forwards set to expire in 2033 and 2034, respectively. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |
Dec. 31, 2014 | ||
Commitments and Contingencies | 15 | Commitments and Contingencies |
In the ordinary course of business, the Company may become subject to litigation or claims. There are no material legal proceedings pending or known to be contemplated against the Company. | ||
In connection with the ownership, development and operation of real estate, the Company may potentially be liable for costs and damages related to environmental matters. The Company has not been notified by any governmental authority of any non-compliance, liability or other claim, and the Company is not aware of any other environmental condition that it believes will have a material adverse effect on the consolidated results of operations. | ||
Refer to Note 4, “Real Estate Assets, net,” for additional information on the remaining development budgets for the Company’s senior housing developments. | ||
Refer to Note 9, “Contingent Purchase Price Consideration,” for information on potential contingent purchase price consideration related to the purchase of Medical Portfolio I. | ||
Refer to Note 11, “Related Party Arrangements,” for information on contingent restricted stock shares due to the Company’s Advisor and Property Manager in connection with the Expense Support Agreements. | ||
Refer to Note 16, “Ground and Air Rights Leases,” for information on commitments under its ground and air rights lease agreements. |
Ground_and_Air_Rights_Leases
Ground and Air Rights Leases | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Ground and Air Rights Leases | 16 | Ground and Air Rights Leases | |||
Under the terms of its ground and air rights lease agreements, the Company is responsible for the monthly rental payments. These amounts are billed monthly and recorded as property operating expenses in the accompanying consolidated statements of operations. Under the terms of certain lease agreements, the Company is able to pass through this expense to the tenant and such amounts are recorded as tenant reimbursement income in the accompanying consolidated statements of operations. The Company incurred approximately $0.5 million and $0.1 million in ground and air rights lease expense for the years ended December 31, 2014 and 2013, respectively. The Company did not hold any ground or air rights leases as of December 31, 2012 or for the year ended December 31, 2012. | |||||
The following is a schedule of future minimum lease payments to be paid under the ground and air rights leases for each of the next five years and thereafter, in the aggregate, as of December 31, 2014 (in thousands): | |||||
2015 | $ | 1,347 | |||
2016 | 1,371 | ||||
2017 | 1,402 | ||||
2018 | 1,428 | ||||
2019 | 1,453 | ||||
Thereafter | 102,773 | ||||
$ | 109,774 | ||||
Concentration_of_Credit_Risk
Concentration of Credit Risk | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Concentration of Credit Risk | 17 | Concentration of Credit Risk | |||||||||||||||||||
As of December 31, 2014 and December 31, 2013 and for the years ended December 31, 2014, 2013 and 2012 the Company had the following tenants that individually accounted for 10% or more of total revenues or assets: | |||||||||||||||||||||
Percentage of Total Revenues (1) | Percentage of Total Assets (2) | ||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | |||||||||||||||||
TSMM Management (“TSMM”); tenant of the Primrose Communities | 7.7 | % | 26.5 | % | 93.8 | % | 7.6 | % | 15.3 | % | |||||||||||
FOOTNOTES: | |||||||||||||||||||||
(1) | Includes contractual rental income from operating leases, capital reserve income, straight-line rent adjustments, and amortization of lease intangibles. | ||||||||||||||||||||
(2) | Represents net book value of real estate assets and lease intangibles associated with the property leased by the respective tenant as of the end of the period presented as a percentage of total assets. | ||||||||||||||||||||
Failure of this tenant to pay contractual lease payments could significantly impact the Company’s results of operations and cash flow from operations which, in turn would impact its ability to pay debt service and make distributions to stockholders. |
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | 18 | Selected Quarterly Financial Data (Unaudited) | |||||||||||||||||||
The following table presents selected unaudited quarterly financial data for the years ended December 31, 2014 and 2013 (in thousands, except per share data): | |||||||||||||||||||||
2014 Quarters | First | Second | Third | Fourth | Full Year | ||||||||||||||||
Total revenues | $ | 33,275 | $ | 42,464 | $ | 49,660 | $ | 55,685 | $ | 181,084 | |||||||||||
Operating loss | (7,375 | ) | (3,381 | ) | (6,243 | ) | (6,179 | ) | (23,178 | ) | |||||||||||
Net loss attributable to common shareholders | (12,523 | ) | (12,303 | ) | (12,204 | ) | (15,481 | ) | (52,511 | ) | |||||||||||
Weighted average number of shares outstanding | 65,273 | 75,173 | 87,344 | 105,452 | 83,457 | ||||||||||||||||
(basic and diluted) (1) | |||||||||||||||||||||
Loss per share of common stock | $ | (0.19 | ) | $ | (0.16 | ) | $ | (0.14 | ) | $ | (0.15 | ) | $ | (0.63 | ) | ||||||
(basic and diluted) | |||||||||||||||||||||
2013 Quarters | First | Second | Third | Fourth | Full Year | ||||||||||||||||
Total revenues | $ | 7,802 | $ | 8,609 | $ | 14,772 | $ | 21,422 | $ | 52,605 | |||||||||||
Operating loss | (866 | ) | (2,302 | ) | (5,307 | ) | (5,515 | ) | (13,990 | ) | |||||||||||
Net loss attributable to common shareholders | (3,809 | ) | (2,830 | ) | (2,305 | ) | (9,156 | ) | (18,100 | ) | |||||||||||
Weighted average number of shares outstanding | 26,604 | 34,801 | 46,130 | 56,828 | 41,197 | ||||||||||||||||
(basic and diluted) (1) | |||||||||||||||||||||
Loss per share of common stock | $ | (0.14 | ) | $ | (0.08 | ) | $ | (0.05 | ) | $ | (0.16 | ) | $ | (0.44 | ) | ||||||
(basic and diluted) | |||||||||||||||||||||
FOOTNOTE: | |||||||||||||||||||||
(1) | For the purposes of determining the weighted average number of shares of common stock outstanding, stock distributions issued are treated as if they were outstanding for all periods presented. |
Subsequent_Events
Subsequent Events | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Subsequent Events | 19 | Subsequent Events | |||
Southeast Medical Office Properties | |||||
In January 2015, the Company entered into a four-year forward starting interest rate swap with an approximate notional amount of $138.7 million on the Southeast Medical Office Properties Loan, which begins to settle in December 2015. | |||||
In February 2015, the Company acquired University of Tennessee (“UT”) Cancer Institute Building for approximately $33.7 million. The UT Cancer Institute Building is a 100,104 square foot medical office building located in Knoxville, Tennessee and physically connected to the UT medical center. This is the tenth MOB in the Southeast Medical Office Properties portfolio. Refer to Note 3, “Acquisitions,” for the pro forma impact of this acquisition as well as the nine MOBs purchased in December 2014 on the Company’s results of operations for years ended December 31, 2014 and 2013. The Company owes the Advisor an approximate $0.6 million investment service fee related to the acquisition of the Southeast Medical Office Properties. | |||||
The following summarizes the Company’s preliminary allocation of the purchase price for the above property, and the estimated fair values of the assets acquired (in thousands): | |||||
Land and land improvements | $ | 419 | |||
Buildings and building improvements | 27,660 | ||||
Intangibles (1) | 6,000 | ||||
Other liabilities | (419 | ) | |||
Net assets acquired | $ | 33,660 | |||
FOOTNOTE: | |||||
-1 | The acquired lease intangibles were comprised of approximately $4.5 million and $1.5 million of in-place lease intangibles and other lease intangibles, respectively. At the acquisition date, the weighted-average amortization periods on these acquired lease intangibles were approximately 11.6 years and 39.0 years, respectively. | ||||
Equity transactions | |||||
During the period from January 1, 2014 through March 18, 2015, the Company received additional subscription proceeds of approximately $164.8 million (15.6 million shares). | |||||
The Company’s board of directors declared a monthly cash distribution of $0.0353 and a monthly stock distribution of 0.0025 shares on each outstanding share of common stock on January 1, 2015, February 1, 2015 and March 1, 2015. The cash and stock distributions were made on March 11, 2015 and March 13, 2015, respectively. | |||||
Other transactions | |||||
In February 2015, the Company entered into a purchase agreement with a related party to acquire a senior housing community for which the Company escrowed an earnest money deposit of $0.5 million. The acquisition is subject to certain contingencies, including completion of due diligence, licensing and obtaining financing satisfactory to the Company. There can be no assurance that any or all contingencies will be satisfied and that the transaction will ultimately be completed, which in either event the deposit would be applied toward the purchase price or refunded. |
SCHEDULE_IIValuation_and_Quali
SCHEDULE II-Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||
SCHEDULE II-Valuation and Qualifying Accounts | CNL HEALTHCARE PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||||||||||
SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS | |||||||||||||||||||
YEARS ENDED DECEMBER 31, 2014, 2013 AND 2012 (in thousands) | |||||||||||||||||||
Year | Description | Balance at | Charged to | Charged to | Balance at End | ||||||||||||||
Beginning of | Costs and | Other Accounts | of Year | ||||||||||||||||
Year | Expenses | ||||||||||||||||||
2012 | Deferred tax asset valuation allowance | $ | — | $ | — | $ | — | $ | — | ||||||||||
$ | — | $ | — | $ | — | $ | — | ||||||||||||
2013 | Deferred tax asset valuation allowance | $ | — | $ | (597 | ) | $ | — | $ | (597 | ) | ||||||||
$ | — | $ | (597 | ) | $ | — | $ | (597 | ) | ||||||||||
2014 | Deferred tax asset valuation allowance | $ | (597 | ) | $ | (2,201 | ) | $ | — | $ | (2,798 | ) | |||||||
$ | (597 | ) | $ | (2,201 | ) | $ | — | $ | (2,798 | ) |
SCHEDULE_IIIReal_Estate_and_Ac
SCHEDULE III-Real Estate and Accumulated Depreciation | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
SCHEDULE III-Real Estate and Accumulated Depreciation | CNL HEALTHCARE PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
SCHEDULE III – REAL ESTATE AND ACCUMULATED DEPRECIATION | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
AS OF DECEMBER 31, 2014 (in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Initial Costs | Costs Capitalized | Gross Amounts at which Carried at | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Subsequent to Acquisition | Close of Period (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property/Location | Encum- | Land & | Building | Land & | Building | Construc- | Land & | Building | Construc- | Total | Accumu- | Date of | Date | Life on | |||||||||||||||||||||||||||||||||||||||||
brances | Land | and | Land | and | tion in | Land | and | tion in | lated | Construction | Acquired | which | |||||||||||||||||||||||||||||||||||||||||||
Improve- | Building | Improve- | Building | Process | Improve- | Building | Process | Depreci- | depreciation | ||||||||||||||||||||||||||||||||||||||||||||||
ments | Improve- | ments | Improve- | ments | Improve- | ation | in latest | ||||||||||||||||||||||||||||||||||||||||||||||||
ments | ments | ments | income | ||||||||||||||||||||||||||||||||||||||||||||||||||||
statement is | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
computed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Primrose Retirement Community of Casper | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Casper, Wyoming | $ | 12,265 | $ | 1,910 | $ | 16,310 | $ | — | $ | 9 | $ | — | $ | 1,910 | $ | 16,319 | $ | — | $ | 18,229 | $ | (1,222 | ) | 2004 | 2/16/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Grand Island | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Grand Island, Nebraska | $ | 8,653 | $ | 719 | $ | 12,140 | $ | 25 | $ | — | $ | — | $ | 744 | $ | 12,140 | $ | — | $ | 12,884 | $ | (947 | ) | 2005 | 2/16/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Mansfield | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mansfield, Ohio | $ | 11,772 | $ | 650 | $ | 16,720 | $ | 11 | $ | 6 | $ | — | $ | 661 | $ | 16,726 | $ | — | $ | 17,387 | $ | (1,292 | ) | 2007 | 2/16/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Marion | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Marion, Ohio | $ | 9,765 | $ | 889 | $ | 16,305 | $ | — | $ | — | $ | — | $ | 889 | $ | 16,305 | $ | — | $ | 17,194 | $ | (1,260 | ) | 2006 | 2/16/12 | -1 | |||||||||||||||||||||||||||||
Sweetwater Retirement Community | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Billings, Montana | $ | 10,605 | $ | 1,578 | $ | 14,205 | $ | 17 | $ | — | $ | — | $ | 1,595 | $ | 14,205 | $ | — | $ | 15,800 | $ | (1,071 | ) | 2006 | 2/16/12 | -1 | |||||||||||||||||||||||||||||
HarborChase of Villages Crossing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lady Lake, Florida (“The Villages”) | $ | 16,590 | $ | 2,165 | $ | — | $ | 986 | $ | 15,424 | $ | — | $ | 3,151 | $ | 15,424 | $ | — | $ | 18,575 | $ | (421 | ) | 2013 | 8/29/12 | -1 | |||||||||||||||||||||||||||||
Dogwood Forest of Acworth | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acworth, Georgia | $ | 12,039 | $ | 1,750 | $ | — | $ | 277 | $ | 15,994 | $ | — | $ | 2,027 | $ | 15,994 | $ | — | $ | 18,021 | $ | (206 | ) | -3 | 12/18/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community Cottages | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aberdeen, South Dakota | $ | — | $ | 311 | $ | 3,794 | $ | — | $ | — | $ | — | $ | 311 | $ | 3,794 | $ | — | $ | 4,105 | $ | (210 | ) | 2005 | 12/19/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Council Bluffs | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Council Bluffs, Iowa (“Omaha”) | $ | — | $ | 1,144 | $ | 11,117 | $ | — | $ | — | $ | — | $ | 1,144 | $ | 11,117 | $ | — | $ | 12,261 | $ | (634 | ) | 2008 | 12/19/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Decatur | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Decatur, Illinois | $ | 10,765 | $ | 513 | $ | 16,706 | $ | — | $ | — | $ | — | $ | 513 | $ | 16,706 | $ | — | $ | 17,219 | $ | (906 | ) | 2009 | 12/19/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Lima | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lima, Ohio | $ | — | $ | 944 | $ | 17,115 | $ | — | $ | — | $ | — | $ | 944 | $ | 17,115 | $ | — | $ | 18,059 | $ | (931 | ) | 2006 | 12/19/12 | -1 | |||||||||||||||||||||||||||||
Primrose Retirement Community of Zanesville | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Zanesville, Ohio | $ | 12,149 | $ | 1,184 | $ | 17,292 | $ | — | $ | — | $ | — | $ | 1,184 | $ | 17,292 | $ | — | $ | 18,476 | $ | (941 | ) | 2008 | 12/19/12 | -1 | |||||||||||||||||||||||||||||
Symphony Manor | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Baltimore, Maryland | $ | 13,632 | $ | 2,319 | $ | 19,444 | $ | — | $ | — | $ | — | $ | 2,319 | $ | 19,444 | $ | — | $ | 21,763 | $ | (1,039 | ) | 2011 | 12/21/12 | -1 | |||||||||||||||||||||||||||||
Curry House Assisted Living & Memory Care | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cadillac, Michigan | $ | 7,013 | $ | 995 | $ | 11,072 | $ | — | $ | — | $ | — | $ | 995 | $ | 11,072 | $ | — | $ | 12,067 | $ | (601 | ) | 1966 | 12/21/12 | -1 | |||||||||||||||||||||||||||||
Tranquillity at Fredericktowne | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frederick, Maryland | $ | 7,234 | $ | 808 | $ | 14,291 | $ | — | $ | 29 | $ | — | $ | 808 | $ | 14,320 | $ | — | $ | 15,128 | $ | (764 | ) | 2000 | 12/21/12 | -1 | |||||||||||||||||||||||||||||
Brookridge Heights Assisted Living & Memory Care | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Marquette, Michigan | $ | 7,394 | $ | 595 | $ | 11,339 | $ | — | $ | — | $ | — | $ | 595 | $ | 11,339 | $ | — | $ | 11,934 | $ | (605 | ) | 1998 | 12/21/12 | -1 | |||||||||||||||||||||||||||||
Woodholme Gardens Assisted Living & Memory Care | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pikesville, Maryland (“Baltimore”) | $ | 8,409 | $ | 1,603 | $ | 13,472 | $ | — | $ | — | $ | — | $ | 1,603 | $ | 13,472 | $ | — | $ | 15,075 | $ | (728 | ) | 2010 | 12/21/12 | -1 | |||||||||||||||||||||||||||||
Batesville Healthcare Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Batesville, Arkansas | $ | 3,300 | $ | 397 | $ | 5,382 | $ | — | $ | — | $ | — | $ | 397 | $ | 5,382 | $ | — | $ | 5,779 | $ | (222 | ) | 1975 | 5/31/13 | -1 | |||||||||||||||||||||||||||||
Broadway Healthcare Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
West Memphis, Arkansas | $ | 6,300 | $ | 438 | $ | 10,560 | $ | — | $ | — | $ | — | $ | 438 | $ | 10,560 | $ | — | $ | 10,998 | $ | (436 | ) | 1994 | 5/31/13 | -1 | |||||||||||||||||||||||||||||
Initial Costs | Costs Capitalized Subsequent to | Gross Amounts at which Carried at | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisition | Close of Period (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property/ | Encum- | Land & | Building | Land & | Building | Construc- | Land & | Building | Construc- | Total | Accumu- | Date of | Date | Life on | |||||||||||||||||||||||||||||||||||||||||
Location | brances | Land | and | Land | and | tion in | Land | and | tion in | lated | Construction | Acquired | which | ||||||||||||||||||||||||||||||||||||||||||
Improve- | Building | Improve- | Building | Process | Improve- | Building | Process | Depreci- | depreciation | ||||||||||||||||||||||||||||||||||||||||||||||
ments | Improve- | ments | Improve- | ments | Improve- | ation | in latest | ||||||||||||||||||||||||||||||||||||||||||||||||
ments | ments | ments | income | ||||||||||||||||||||||||||||||||||||||||||||||||||||
statement is | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
computed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jonesboro Healthcare Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jonesboro, Arkansas | $ | 8,100 | $ | 527 | $ | 13,493 | $ | — | $ | — | $ | — | $ | 527 | $ | 13,493 | $ | — | $ | 14,020 | $ | (556 | ) | 2012 | 5/31/13 | -1 | |||||||||||||||||||||||||||||
Magnolia Healthcare Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Magnolia, Arkansas | $ | 6,300 | $ | 421 | $ | 10,454 | $ | — | $ | — | $ | — | $ | 421 | $ | 10,454 | $ | — | $ | 10,875 | $ | (438 | ) | 2009 | 5/31/13 | -1 | |||||||||||||||||||||||||||||
Mine Creek Healthcare Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nashville, Arkansas | $ | 1,800 | $ | 135 | $ | 2,942 | $ | — | $ | — | $ | — | $ | 135 | $ | 2,942 | $ | — | $ | 3,077 | $ | (127 | ) | 1978 | 5/31/13 | -1 | |||||||||||||||||||||||||||||
Searcy Healthcare Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Searcy, Arkansas | $ | 4,200 | $ | 648 | $ | 6,017 | $ | — | $ | — | $ | — | $ | 648 | $ | 6,017 | $ | — | $ | 6,665 | $ | (254 | ) | 1973 | 5/31/13 | -1 | |||||||||||||||||||||||||||||
LaPorte Cancer Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Westville, Indiana | $ | 8,221 | $ | 433 | $ | 10,846 | $ | — | $ | — | $ | — | $ | 433 | $ | 10,846 | $ | — | $ | 11,279 | $ | (460 | ) | 2010 | 6/14/13 | -1 | |||||||||||||||||||||||||||||
Jefferson Medical Commons | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jefferson City, Tennessee (“Knoxville”) | $ | 7,825 | $ | 151 | $ | 10,236 | $ | — | $ | — | $ | — | $ | 151 | $ | 10,236 | $ | — | $ | 10,387 | $ | (409 | ) | 2001 | 7/10/13 | -1 | |||||||||||||||||||||||||||||
Physicians Plaza A at North Knoxville Medical Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Powell, Tennessee (“Knoxville”) | $ | 12,209 | $ | 262 | $ | 16,976 | $ | — | $ | — | $ | — | $ | 262 | $ | 16,976 | $ | — | $ | 17,238 | $ | (679 | ) | 2005 | 7/10/13 | -1 | |||||||||||||||||||||||||||||
Physicians Plaza B at North Knoxville Medical Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Powell, Tennessee (“Knoxville”) | $ | 14,685 | $ | 303 | $ | 18,754 | $ | — | $ | 312 | $ | — | $ | 303 | $ | 19,066 | $ | — | $ | 19,369 | $ | (753 | ) | 2008 | 7/10/13 | -1 | |||||||||||||||||||||||||||||
Physicians Regional Medical Center—Central Wing Annex | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Knoxville, Tennessee | $ | 3,890 | $ | 73 | $ | 5,285 | $ | — | $ | — | $ | — | $ | 73 | $ | 5,285 | $ | — | $ | 5,358 | $ | (210 | ) | 2004 | 7/10/13 | -1 | |||||||||||||||||||||||||||||
HarborChase of Jasper | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jasper, Alabama | $ | — | $ | 355 | $ | 6,358 | $ | — | $ | — | $ | — | $ | 355 | $ | 6,358 | $ | — | $ | 6,713 | $ | (239 | ) | 1998 | 7/31/13 | -1 | |||||||||||||||||||||||||||||
Chestnut Commons Medical Office Building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Elyria, Ohio (“Cleveland”) | $ | 12,503 | $ | 2,053 | $ | 15,650 | $ | — | $ | — | $ | — | $ | 2,053 | $ | 15,650 | $ | — | $ | 17,703 | $ | (615 | ) | 2008 | 8/16/13 | -1 | |||||||||||||||||||||||||||||
Doctors Specialty Hospital | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leawood, Kansas (“Kansas City”) | $ | 4,385 | $ | 924 | $ | 5,771 | $ | 16 | $ | — | $ | — | $ | 940 | $ | 5,771 | $ | — | $ | 6,711 | $ | (220 | ) | 2001 | 8/16/13 | -1 | |||||||||||||||||||||||||||||
Escondido Medical Arts Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Escondido, California (“San Diego”) | $ | 9,742 | $ | 1,863 | $ | 12,199 | $ | — | $ | 23 | $ | — | $ | 1,863 | $ | 12,222 | $ | — | $ | 14,085 | $ | (430 | ) | 1994 | 8/16/13 | -1 | |||||||||||||||||||||||||||||
John C. Lincoln Medical Office Plaza I | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Phoenix, Arizona | $ | 2,794 | $ | 233 | $ | 2,779 | $ | — | $ | 13 | $ | — | $ | 233 | $ | 2,792 | $ | — | $ | 3,025 | $ | (116 | ) | 1980 | 8/16/13 | -1 | |||||||||||||||||||||||||||||
John C. Lincoln Medical Office Plaza II | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Phoenix, Arizona | $ | 1,863 | $ | 138 | $ | 1,908 | $ | — | $ | 49 | $ | — | $ | 138 | $ | 1,957 | $ | — | $ | 2,095 | $ | (77 | ) | 1984 | 8/16/13 | -1 | |||||||||||||||||||||||||||||
North Mountain Medical Plaza | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Phoenix, Arizona | $ | 3,432 | $ | 297 | $ | 4,079 | $ | — | $ | — | $ | — | $ | 297 | $ | 4,079 | $ | — | $ | 4,376 | $ | (166 | ) | 1994 | 8/16/13 | -1 | |||||||||||||||||||||||||||||
Raider Ranch | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lubbock, Texas | $ | 1 | $ | 1,992 | $ | 48,818 | $ | — | $ | 23 | $ | — | $ | 1,992 | $ | 48,841 | $ | — | $ | 50,833 | $ | (1,714 | ) | 2009 | 8/29/13 | -1 | |||||||||||||||||||||||||||||
The Club at Raider Ranch Development | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lubbock, Texas | $ | — | $ | 3,000 | $ | — | $ | — | $ | — | $ | 4,001 | $ | 3,000 | $ | — | $ | 4,001 | $ | 7,001 | $ | — | -3 | 8/29/13 | -1 | ||||||||||||||||||||||||||||||
Initial Costs | Costs Capitalized | Gross Amounts at which Carried at | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Subsequent to Acquisition | Close of Period (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property/Location | Encum- | Land & | Building | Land & | Building | Construc- | Land & | Building | Construc- | Total | Accumu- | Date of | Date | Life on | |||||||||||||||||||||||||||||||||||||||||
brances | Land | and | Land | and | tion in | Land | and | tion in | lated | Construction | Acquired | which | |||||||||||||||||||||||||||||||||||||||||||
Improve- | Building | Improve- | Building | Process | Improve- | Building | Process | Depreci- | depreciation | ||||||||||||||||||||||||||||||||||||||||||||||
ments | Improve- | ments | Improve- | ments | Improve- | ation | in latest | ||||||||||||||||||||||||||||||||||||||||||||||||
ments | ments | ments | income | ||||||||||||||||||||||||||||||||||||||||||||||||||||
statement is | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
computed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Town Village | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oklahoma City, Oklahoma | $ | — | $ | 1,020 | $ | 19,847 | $ | — | $ | — | $ | — | $ | 1,020 | $ | 19,847 | $ | — | $ | 20,867 | $ | (689 | ) | 2004 | 8/29/13 | -1 | |||||||||||||||||||||||||||||
Calvert Medical Arts Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Prince Frederick, Maryland (“Washington D.C.”) | $ | 12,581 | $ | 20 | $ | 17,838 | $ | — | $ | 72 | $ | — | $ | 20 | $ | 17,910 | $ | — | $ | 17,930 | $ | (614 | ) | 2009 | 8/30/13 | -1 | |||||||||||||||||||||||||||||
Calvert Medical Office Buildings I, II & III | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Prince Frederick, Maryland (“Washington D.C.”) | $ | 10,686 | $ | 51 | $ | 14,334 | $ | — | $ | 273 | $ | — | $ | 51 | $ | 14,607 | $ | — | $ | 14,658 | $ | (502 | ) | 1991/1999/2000 | 8/30/13 | -1 | |||||||||||||||||||||||||||||
Dunkirk Medical Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dunkirk, Maryland (“Washington D.C.”) | $ | 3,007 | $ | 351 | $ | 2,991 | $ | — | $ | 10 | $ | — | $ | 351 | $ | 3,001 | $ | — | $ | 3,352 | $ | (133 | ) | 1997 | 8/30/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Beaverton Hills | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beaverton, Oregon (“Portland”) | $ | 9,465 | $ | 1,387 | $ | 10,324 | $ | — | $ | — | $ | — | $ | 1,387 | $ | 10,324 | $ | — | $ | 11,711 | $ | (301 | ) | 2000 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living High Desert | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bend, Oregon | $ | 8,188 | $ | 835 | $ | 11,252 | $ | — | $ | — | $ | — | $ | 835 | $ | 11,252 | $ | — | $ | 12,087 | $ | (341 | ) | 2003 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
MorningStar of Billings | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Billings, Montana | $ | 20,164 | $ | 4,067 | $ | 41,373 | $ | 5 | $ | 2 | $ | — | $ | 4,072 | $ | 41,375 | $ | — | $ | 45,447 | $ | (1,269 | ) | 2009 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
MorningStar of Boise | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Boise, Idaho | $ | 21,524 | $ | 1,663 | $ | 35,752 | $ | 12 | $ | — | $ | — | $ | 1,675 | $ | 35,752 | $ | — | $ | 37,427 | $ | (1,035 | ) | 2007 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Huntington Terrace | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gresham, Oregon (“Portland”) | $ | 10,484 | $ | 1,236 | $ | 12,083 | $ | — | $ | — | $ | — | $ | 1,236 | $ | 12,083 | $ | — | $ | 13,319 | $ | (358 | ) | 2000 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
MorningStar of Idaho Falls | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Idaho Falls, Idaho | $ | 18,414 | $ | 2,006 | $ | 40,397 | $ | 5 | $ | — | $ | — | $ | 2,011 | $ | 40,397 | $ | — | $ | 42,408 | $ | (1,193 | ) | 2009 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Arbor Place | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Medford, Oregon | $ | 8,429 | $ | 355 | $ | 14,083 | $ | — | $ | — | $ | — | $ | 355 | $ | 14,083 | $ | — | $ | 14,438 | $ | (407 | ) | 2003 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Orchard Heights | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Salem, Oregon | $ | 12,659 | $ | 545 | $ | 15,544 | $ | — | $ | 8 | $ | — | $ | 545 | $ | 15,552 | $ | — | $ | 16,097 | $ | (444 | ) | 2002 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Southern Hills | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Salem, Oregon | $ | 7,694 | $ | 653 | $ | 10,753 | $ | — | $ | — | $ | — | $ | 653 | $ | 10,753 | $ | — | $ | 11,406 | $ | (314 | ) | 2001 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
MorningStar of Sparks | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sparks, Nevada (“Reno”) | $ | 24,405 | $ | 3,986 | $ | 47,968 | $ | — | $ | — | $ | — | $ | 3,986 | $ | 47,968 | $ | — | $ | 51,954 | $ | (1,430 | ) | 2009 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Five Rivers | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tillamook, Oregon | $ | 7,931 | $ | 1,298 | $ | 14,064 | $ | — | $ | 48 | $ | — | $ | 1,298 | $ | 14,112 | $ | — | $ | 15,410 | $ | (434 | ) | 2002 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Riverwood | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tualatin, Oregon (“Portland”) | $ | 4,601 | $ | 1,028 | $ | 7,429 | $ | — | $ | 37 | $ | — | $ | 1,028 | $ | 7,466 | $ | — | $ | 8,494 | $ | (225 | ) | 1999 | 12/2/13 | -1 | |||||||||||||||||||||||||||||
Chula Vista Medical Arts Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Chula Vista, California (“San Diego”) | $ | — | $ | 2,462 | $ | 7,453 | $ | — | $ | 234 | $ | — | $ | 2,462 | $ | 7,687 | $ | — | $ | 10,149 | $ | (205 | ) | 1985 | 12/23/13 | -1 | |||||||||||||||||||||||||||||
Coral Springs Medical Office Building I | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Coral Springs, Florida | $ | — | $ | 2,614 | $ | 11,220 | $ | — | $ | 1 | $ | — | $ | 2,614 | $ | 11,221 | $ | — | $ | 13,835 | $ | (332 | ) | 2005 | 12/23/13 | -1 | |||||||||||||||||||||||||||||
Coral Springs Medical Office Building II | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Coral Springs, Florida | $ | — | $ | 2,614 | $ | 12,130 | $ | — | $ | — | $ | — | $ | 2,614 | $ | 12,130 | $ | — | $ | 14,744 | $ | (332 | ) | 2008 | 12/23/13 | -1 | |||||||||||||||||||||||||||||
Initial Costs | Costs Capitalized | Gross Amounts at which Carried at | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Subsequent to Acquisition | Close of Period (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property/Location | Encum- | Land & | Building | Land & | Building | Construc- | Land & | Building | Construc- | Total | Accumu- | Date of | Date | Life on | |||||||||||||||||||||||||||||||||||||||||
brances | Land | and | Land | and | tion in | Land | and | tion in | lated | Construction | Acquired | which | |||||||||||||||||||||||||||||||||||||||||||
Improve- | Building | Improve- | Building | Process | Improve- | Building | Process | Depreci- | depreciation | ||||||||||||||||||||||||||||||||||||||||||||||
ments | Improve- | ments | Improve- | ments | Improve- | ation | in latest | ||||||||||||||||||||||||||||||||||||||||||||||||
ments | ments | ments | income | ||||||||||||||||||||||||||||||||||||||||||||||||||||
statement is | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
computed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Chula Vista Medical Arts Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Chula Vista, California (“San Diego”) | $ | — | $ | 6,130 | $ | 10,293 | $ | 3 | $ | — | $ | — | $ | 6,133 | $ | 10,293 | $ | — | $ | 16,426 | $ | (260 | ) | 1975 | 1/21/14 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Auburn Meadows | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Auburn, Washington (“Seattle”) | $ | 10,810 | $ | 2,537 | $ | 17,261 | $ | — | $ | — | $ | — | $ | 2,537 | $ | 17,261 | $ | — | $ | 19,798 | $ | (433 | ) | 2003/2010 | 2/3/14 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Bridgewood | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Vancouver, Washington (“Portland”) | $ | 13,514 | $ | 1,603 | $ | 18,172 | $ | — | $ | — | $ | — | $ | 1,603 | $ | 18,172 | $ | — | $ | 19,775 | $ | (452 | ) | 2001 | 2/3/14 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Monticello Park | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Longview, Washington | $ | 18,855 | $ | 1,981 | $ | 23,056 | $ | — | $ | — | $ | — | $ | 1,981 | $ | 23,056 | $ | — | $ | 25,037 | $ | (566 | ) | 2001/2010 | 2/3/14 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living Rosemont | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Yelm, Washington | $ | 9,737 | $ | 668 | $ | 14,564 | $ | — | $ | — | $ | — | $ | 668 | $ | 14,564 | $ | — | $ | 15,232 | $ | (353 | ) | 2004 | 2/3/14 | -1 | |||||||||||||||||||||||||||||
Wellmore of Tega Cay | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tega Cay, South Carolina (“Charlotte”) | $ | 8,008 | $ | 2,445 | $ | — | $ | — | $ | — | $ | 19,753 | $ | 2,445 | $ | — | $ | 19,753 | $ | 22,198 | $ | — | -3 | 2/7/14 | -1 | ||||||||||||||||||||||||||||||
Isle at Cedar Ridge | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cedar Park, Texas (“Austin”) | $ | — | $ | 1,525 | $ | 16,277 | $ | — | $ | — | $ | — | $ | 1,525 | $ | 16,277 | $ | — | $ | 17,802 | $ | (379 | ) | 2011 | 2/28/14 | -1 | |||||||||||||||||||||||||||||
Prestige Senior Living West Hills | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corvallis, Oregon | $ | 9,031 | $ | 842 | $ | 12,603 | $ | — | $ | — | $ | — | $ | 842 | $ | 12,603 | $ | — | $ | 13,445 | $ | (293 | ) | 2002 | 3/3/14 | -1 | |||||||||||||||||||||||||||||
HarborChase of Plainfield | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Plainfield, Illinois | $ | — | $ | 1,596 | $ | 21,832 | $ | — | $ | — | $ | — | $ | 1,596 | $ | 21,832 | $ | — | $ | 23,428 | $ | (444 | ) | 2010 | 3/28/14 | -1 | |||||||||||||||||||||||||||||
Legacy Ranch Alzheimer’s Special Care Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Midland, Texas | $ | — | $ | 917 | $ | 9,982 | $ | — | $ | — | $ | — | $ | 917 | $ | 9,982 | $ | — | $ | 10,899 | $ | (207 | ) | 2012 | 3/28/14 | -1 | |||||||||||||||||||||||||||||
The Springs Alzheimer’s Special Care Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
San Angelo, Texas | $ | — | $ | 595 | $ | 9,658 | $ | — | $ | — | $ | — | $ | 595 | $ | 9,658 | $ | — | $ | 10,253 | $ | (200 | ) | 2012 | 3/28/14 | -1 | |||||||||||||||||||||||||||||
Isle at Watercrest—Bryan | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bryan, Texas | $ | — | $ | 714 | $ | 18,140 | $ | 4 | $ | 3 | $ | — | $ | 718 | $ | 18,143 | $ | — | $ | 18,861 | $ | (324 | ) | 2011 | 4/21/14 | -1 | |||||||||||||||||||||||||||||
Watercrest at Bryan | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bryan, Texas | $ | — | $ | 2,509 | $ | 22,441 | $ | 4 | $ | 9 | $ | — | $ | 2,513 | $ | 22,450 | $ | — | $ | 24,963 | $ | (433 | ) | 2009 | 4/21/14 | -1 | |||||||||||||||||||||||||||||
Isle at Watercrest—Mansfield | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mansfield, Texas (“Dallas/Fort Worth”) | $ | — | $ | 997 | $ | 24,635 | $ | — | $ | — | $ | — | $ | 997 | $ | 24,635 | $ | — | $ | 25,632 | $ | (436 | ) | 2011 | 5/5/14 | -1 | |||||||||||||||||||||||||||||
Houston Orthopedic & Spine Hospital (“HOSH”) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bellaire, Texas (“Houston”) | $ | 31,995 | $ | 3,867 | $ | 32,761 | $ | — | $ | — | $ | — | $ | 3,867 | $ | 32,761 | $ | — | $ | 36,628 | $ | (498 | ) | 2007 | 6/2/14 | -1 | |||||||||||||||||||||||||||||
HOSH Medical Office Building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bellaire, Texas (“Houston”) | $ | 17,630 | $ | 3,738 | $ | 20,525 | $ | — | $ | 63 | $ | — | $ | 3,738 | $ | 20,588 | $ | — | $ | 24,326 | $ | (315 | ) | 2007 | 6/2/14 | -1 | |||||||||||||||||||||||||||||
Watercrest at Katy | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Katy, Texas (“Houston”) | $ | — | $ | 4,000 | $ | — | $ | — | $ | — | $ | 4,614 | $ | 4,000 | $ | — | $ | 4,614 | $ | 8,614 | $ | — | -3 | 6/27/14 | -1 | ||||||||||||||||||||||||||||||
Watercrest at Mansfield | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mansfield, Texas (“Dallas/Fort Worth”) | $ | 27,423 | $ | 2,191 | $ | 42,740 | $ | — | $ | 28 | $ | — | $ | 2,191 | $ | 42,768 | $ | — | $ | 44,959 | $ | (571 | ) | 2010 | 6/30/14 | -1 | |||||||||||||||||||||||||||||
Initial Costs | Costs Capitalized | Gross Amounts at which Carried at | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Subsequent to Acquisition | Close of Period (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property/Location | Encum- | Land & | Building | Land & | Building | Construc- | Land & | Building | Construc- | Total | Accumu- | Date of | Date | Life on | |||||||||||||||||||||||||||||||||||||||||
brances | Land | and | Land | and | tion in | Land | and | tion in | lated | Construction | Acquired | which | |||||||||||||||||||||||||||||||||||||||||||
Improve- | Building | Improve- | Building | Process | Improve- | Building | Process | Depreci- | depreciation | ||||||||||||||||||||||||||||||||||||||||||||||
ments | Improve- | ments | Improve- | ments | Improve- | ation | in latest | ||||||||||||||||||||||||||||||||||||||||||||||||
ments | ments | ments | income | ||||||||||||||||||||||||||||||||||||||||||||||||||||
statement is | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
computed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
HarborChase of Shorewood | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shorewood, Wisconsin (“Milwaukee”) | $ | — | $ | 2,200 | $ | — | $ | — | $ | — | $ | 7,140 | $ | 2,200 | $ | — | $ | 7,140 | $ | 9,340 | $ | — | -3 | 7/8/14 | -1 | ||||||||||||||||||||||||||||||
Oklahoma City Inpatient Rehabilitation Hospital | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oklahoma City, Oklahoma | $ | 16,560 | $ | 3,341 | $ | 19,249 | $ | — | $ | — | $ | — | $ | 3,341 | $ | 19,249 | $ | — | $ | 22,590 | $ | (271 | ) | 2012 | 7/15/14 | -1 | |||||||||||||||||||||||||||||
Las Vegas Inpatient Rehabilitation Hospital | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Las Vegas, Nevada | $ | 14,475 | $ | 2,650 | $ | 16,979 | $ | — | $ | — | $ | — | $ | 2,650 | $ | 16,979 | $ | — | $ | 19,629 | $ | (242 | ) | 2007 | 7/15/14 | -1 | |||||||||||||||||||||||||||||
South Bend Inpatient Rehabilitation Hospital | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mishawaka, Indiana (“South Bend”) | $ | 13,142 | $ | 2,339 | $ | 16,239 | $ | — | $ | — | $ | — | $ | 2,339 | $ | 16,239 | $ | — | $ | 18,578 | $ | (234 | ) | 2009 | 7/15/14 | -1 | |||||||||||||||||||||||||||||
Beaumont Specialty Hospital | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beaumont, Texas (“Houston”) | $ | 21,817 | $ | 2,749 | $ | 28,863 | $ | — | $ | — | $ | — | $ | 2,749 | $ | 28,863 | $ | — | $ | 31,612 | $ | (324 | ) | 2013 | 8/15/14 | -1 | |||||||||||||||||||||||||||||
Hurst Specialty Hospital | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Hurst, Texas (“Dallas/Fort Worth”) | $ | 19,132 | $ | 2,510 | $ | 24,091 | $ | — | $ | — | $ | — | $ | 2,510 | $ | 24,091 | $ | — | $ | 26,601 | $ | (271 | ) | 2004/2012 | 8/15/14 | -1 | |||||||||||||||||||||||||||||
Claremont Medical Office | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Claremont, CA (“Los Angeles”) | $ | 12,392 | $ | 6,324 | $ | 13,533 | $ | — | $ | — | $ | — | $ | 6,324 | $ | 13,533 | $ | — | $ | 19,857 | $ | (133 | ) | 2008 | 8/29/14 | -1 | |||||||||||||||||||||||||||||
Lee Hughes Medical Building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Glendale, California (“Los Angeles”) | $ | 19,162 | $ | 69 | $ | 22,967 | $ | — | $ | — | $ | — | $ | 69 | $ | 22,967 | $ | — | $ | 23,036 | $ | (148 | ) | 2008 | 9/29/14 | -1 | |||||||||||||||||||||||||||||
Newburyport Medical Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Newburyport, Massachusetts (“Boston”) | $ | — | $ | 2,614 | $ | 12,135 | $ | — | $ | — | $ | — | $ | 2,614 | $ | 12,135 | $ | — | $ | 14,749 | $ | (62 | ) | 2008 | 10/31/14 | -1 | |||||||||||||||||||||||||||||
Northwest Medical Park | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Margate, Florida (“Fort Lauderdale”) | $ | 7,129 | $ | 610 | $ | 6,170 | $ | — | $ | — | $ | — | $ | 610 | $ | 6,170 | $ | — | $ | 6,780 | $ | (33 | ) | 2004 | 10/31/14 | -1 | |||||||||||||||||||||||||||||
Fairfield Village of Layton | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Layton, Utah (“Salt Lake City”) | $ | — | $ | 5,217 | $ | 54,167 | $ | — | $ | 7 | $ | — | $ | 5,217 | $ | 54,174 | $ | — | $ | 59,391 | $ | (128 | ) | 2010 | 11/20/14 | -1 | |||||||||||||||||||||||||||||
ProMed Medical Building I | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Yuma, Arizona | $ | — | $ | 2,486 | $ | 6,728 | $ | — | $ | — | $ | — | $ | 2,486 | $ | 6,728 | $ | — | $ | 9,214 | $ | — | 2006 | 12/19/14 | -1 | ||||||||||||||||||||||||||||||
Midtown Medical Plaza | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charlotte, North Carolina | $ | 30,223 | $ | 10 | $ | 51,237 | $ | — | $ | — | $ | — | $ | 10 | $ | 51,237 | $ | — | $ | 51,247 | $ | — | 1994 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Presbyterian Medical Tower | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charlotte, North Carolina | $ | 20,089 | $ | 40 | $ | 32,345 | $ | — | $ | — | $ | — | $ | 40 | $ | 32,345 | $ | — | $ | 32,385 | $ | — | 1989 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Metroview Professional Building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charlotte, North Carolina | $ | 9,543 | $ | 11 | $ | 15,910 | $ | — | $ | — | $ | — | $ | 11 | $ | 15,910 | $ | — | $ | 15,921 | $ | — | 1971 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Physicians Plaza Huntersville | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Huntersville, North Carolina (“Charlotte”) | $ | 16,775 | $ | 520 | $ | 26,134 | $ | — | $ | — | $ | — | $ | 520 | $ | 26,134 | $ | — | $ | 26,654 | $ | — | 2004 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Matthews Medical Office Building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Matthews, North Carolina (“Charlotte”) | $ | 11,770 | $ | 350 | $ | 19,624 | $ | — | $ | — | $ | — | $ | 350 | $ | 19,624 | $ | — | $ | 19,974 | $ | — | 1994 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Outpatient Care Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Clyde, North Carolina (“Asheville”) | $ | 10,990 | $ | 1,169 | $ | 12,079 | $ | — | $ | — | $ | — | $ | 1,169 | $ | 12,079 | $ | — | $ | 13,248 | $ | — | 2012 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Initial Costs | Costs Capitalized Subsequent to | Gross Amounts at which Carried at | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisition | Close of Period (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property/ | Encum- | Land & | Building | Land & | Building | Construc- | Land & | Building | Construc- | Total | Accumu- | Date of | Date | Life on | |||||||||||||||||||||||||||||||||||||||||
Location | brances | Land | and | Land | and | tion in | Land | and | tion in | lated | Construction | Acquired | which | ||||||||||||||||||||||||||||||||||||||||||
Improve- | Building | Improve- | Building | Process | Improve- | Building | Process | Depreci- | depreciation | ||||||||||||||||||||||||||||||||||||||||||||||
ments | Improve- | ments | Improve- | ments | Improve- | ation | in latest | ||||||||||||||||||||||||||||||||||||||||||||||||
ments | ments | ments | income | ||||||||||||||||||||||||||||||||||||||||||||||||||||
statement is | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
computed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
330 Physicians Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rome, Georgia | $ | 20,471 | $ | 12 | $ | 26,868 | $ | — | $ | — | $ | — | $ | 12 | $ | 26,868 | $ | — | $ | 26,880 | $ | — | 1987/2005 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Spivey Station Physicians Center | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Atlanta, Georgia | $ | 10,010 | $ | 1,026 | $ | 12,246 | $ | — | $ | — | $ | — | $ | 1,026 | $ | 12,246 | $ | — | $ | 13,272 | $ | — | 2007 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
Spivey Station ASC Building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Atlanta, Georgia | $ | 12,811 | $ | 929 | $ | 13,769 | $ | — | $ | — | $ | — | $ | 929 | $ | 13,769 | $ | — | $ | 14,698 | $ | — | 2009 | 12/22/14 | -1 | ||||||||||||||||||||||||||||||
$ | 853,561 | $ | 138,942 | $ | 1,512,937 | $ | 1,365 | $ | 32,677 | $ | 35,508 | $ | 140,307 | $ | 1,545,614 | $ | 35,508 | $ | 1,721,429 | $ | (40,467 | ) | |||||||||||||||||||||||||||||||||
Transactions in real estate and accumulated depreciation as of December 31, 2014 are as follows: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance December 31, 2011 | $ | — | Balance December 31, 2011 | $ | — | ||||||||||||||||||||||||||||||||||||||||||||||||||
2012 Acquisitions | 231,398 | 2012 Depreciation | (1,702 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
2012 Improvements | 4,547 | Balance December 31, 2012 | (1,702 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance December 31, 2012 | 235,945 | 2013 Depreciation | (9,309 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
2013 Acquisitions | 598,176 | Balance December 31, 2013 | (11,011 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
2013 Improvements | 25,756 | 2014 Depreciation | (29,456 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance December 31, 2013 | 859,877 | Balance December 31, 2014 | $ | (40,467 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
2014 Acquisitions | 822,305 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
2014 Improvements | 39,247 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance December 31, 2014 | $ | 1,721,429 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
FOOTNOTES: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
-1 | Buildings and building improvements are depreciated over 39 and 15 years, respectively. Tenant improvements are depreciated over the terms of their respective leases. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
-2 | The aggregate cost for federal income tax purposes is approximately $1.9 billion. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
-3 | Land and land improvements, initial cost, include the purchase price of land under development which is included as a component of construction in process in the consolidated balance sheets. As of December 31, 2014 these properties were under development; therefore, depreciation is not applicable. |
SCHEDULE_IVMortgage_Loans_on_R
SCHEDULE IV-Mortgage Loans on Real Estate | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
SCHEDULE IV-Mortgage Loans on Real Estate | CNL HEALTHCARE PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||||
SCHEDULE IV – MORTGAGE LOANS ON REAL ESTATE | |||||||||||||
YEARS ENDED DECEMBER 31, 2014, 2013 AND 2012 (in thousands) | |||||||||||||
The following is a reconciliation of mortgages and other notes receivable on real estate for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Balance at beginning of year | $ | 3,949 | $ | — | $ | — | |||||||
Additions during period: | |||||||||||||
New mortgage loans and additional advances | 2,065 | 3,741 | — | ||||||||||
Accrued and deferred interest | 288 | 124 | — | ||||||||||
Loan origination costs, net | — | 84 | — | ||||||||||
Deductions during period: | |||||||||||||
Collection of principal | (6,302 | ) | — | — | |||||||||
Balance at end of year | $ | — | $ | 3,949 | $ | — | |||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation — The accompanying consolidated financial statements include the Company’s accounts, the accounts of wholly owned subsidiaries or subsidiaries for which the Company has a controlling interest, the accounts of VIEs in which the Company is the primary beneficiary, and the accounts of other subsidiaries over which the Company has a controlling financial interest. All material intercompany accounts and transactions have been eliminated in consolidation. | ||||||||||||
In accordance with the guidance for the consolidation of VIEs, the Company analyzes its variable interests, including loans, leases, guarantees, and equity investments, to determine if the entity in which it has a variable interest is a variable interest entity (“VIE”). The Company’s analysis includes both quantitative and qualitative reviews. The Company bases its quantitative analysis on the forecasted cash flows of the entity, and its qualitative analysis on its review of the design of the entity, its organizational structure including decision-making ability and financial agreements. The Company also uses its quantitative and qualitative analyses to determine if it is the primary beneficiary of the VIE, and if such determination is made, it includes the accounts of the VIE in its consolidated financial statements. | |||||||||||||
Use of Estimates | Use of Estimates — The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the consolidated financial statements, the reported amounts of revenues and expenses during the reporting periods and the disclosure of contingent liabilities. For example, significant assumptions are made in the allocation of purchase price, the analysis of real estate impairments, the valuation of contingent assets and liabilities, and the valuation of restricted stock shares issued to the Advisor or Property Manager. Accordingly, actual results could differ from those estimates. | ||||||||||||
Allocation of Purchase Price for Real Estate Acquisitions | Allocation of Purchase Price for Real Estate Acquisitions — Upon acquisition of properties, the Company estimates the fair value of acquired tangible assets (consisting of land, building and improvements, tenant improvements and equipment), intangible assets (consisting of in-place leases and above- or below-market leases), liabilities assumed and any contingent assets or liabilities in order to allocate the purchase price. In estimating the fair value of the assets acquired and liabilities assumed, the Company considers information obtained about each property as a result of its due diligence and utilizes various valuation methods, such as estimated cash flow projections using appropriate discount and capitalization rates, estimates of replacement costs net of depreciation and available market information. | ||||||||||||
The fair value of the tangible assets of an acquired leased property is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to land and building based on the relative fair values of these assets. | |||||||||||||
The purchase price is allocated to in-place lease intangibles based on management’s evaluation of the specific characteristics of the acquired lease(s). Factors considered include estimates of carrying costs during hypothetical expected lease up periods, including estimates of lost rental income during the expected lease up periods, and costs to execute similar leases such as leasing commissions, legal and other related expenses. Above- and below-market lease intangibles are recorded based on the present value of the difference between the contractual rents to be paid pursuant to the lease and management’s estimate of the fair market lease rates for each in-place lease and may include assumptions for lease renewals of below-market leases. | |||||||||||||
The Company may also enter into contingent purchase price consideration arrangements in connection with acquisitions, which could result in either an asset or liability being recognized as part of the purchase price allocation. In calculating the estimated fair value of contingent purchase price consideration arrangements, the Company considers information obtained during the due diligence and budget process as well as discount rates to determine the fair value. The Company evaluates the fair value of the arrangements at each reporting period and records any adjustments to the fair value as a component of operating income (expense) in the consolidated statement of operations. Refer to Note 9. “Contingent Purchase Price Consideration” for additional information on fair value measurements of contingent purchase price consideration arrangements. | |||||||||||||
Depreciation and Amortization | Depreciation and Amortization — Real estate costs related to the acquisition and improvement of properties are capitalized. Repair and maintenance costs are charged to expense as incurred and significant replacements and improvements are capitalized. Repair and maintenance costs include all costs that do not extend the useful life of the real estate asset. The Company considers the period of future benefit of an asset to determine its appropriate useful life. Real estate assets are stated at cost less accumulated depreciation, which is computed using the straight-line method of accounting over the estimated useful lives of the related assets. Buildings and improvements are depreciated on the straight-line method over their estimated useful lives, which generally are the lesser of 39 and 15 years, respectively, or the remaining life of the ground lease. | ||||||||||||
Amortization of intangible assets is computed using the straight-line method of accounting over the shorter of the respective lease term or estimated useful life. If a lease were to be terminated prior to its scheduled expiration, all unamortized costs related to the lease would be written off. | |||||||||||||
Impairment of Real Estate Assets | Impairment of Real Estate Assets — Real estate assets are reviewed on an ongoing basis to determine whether there are any indicators, including property operating performance and general market conditions, that the value of the real estate properties (including any related amortizable intangible assets or liabilities) may be impaired. To assess if a property value is potentially impaired, management compares the estimated current and projected undiscounted cash flows, including estimated net sales proceeds, of the property over its remaining useful life to the net carrying value of the property. Such cash flow projections consider factors such as expected future operating income, trends and prospects, as well as the effects of demand, competition and other factors. In the event that the carrying value exceeds the undiscounted operating cash flows, the Company would recognize an impairment provision to adjust the carrying value of the asset group to the estimated fair value of the property. | ||||||||||||
When impairment indicators are present for real estate indirectly owned, through an investment in a joint venture or other similar investment structure accounted for under the equity method, the Company compares the estimated fair value of its investment to the carrying value. An impairment charge will be recorded to the extent fair value of the investment is less than the carrying amount and the decline in value is determined to be other than a temporary decline. | |||||||||||||
Real Estate Under Development | Real Estate Under Development — The Company records real estate under development at cost, including acquisition fees and closing costs incurred. The cost of the real estate under development includes direct and indirect costs of development, including interest and miscellaneous costs incurred during the development period until the project is substantially complete and available for occupancy. In addition, during active development, all operating expenses related to the project, including property expenses such as real estate taxes and insurance, are capitalized rather than expensed and incidental revenue is recorded as a reduction of capitalized development costs. Preleasing costs are expensed as incurred. | ||||||||||||
Capitalized Interest | Capitalized Interest — Interest and loan cost amortization attributable to funds used to finance real estate under development is capitalized as additional costs of development. The Company capitalizes interest at the weighted average interest rate of the Company’s outstanding indebtedness and based on its weighted average expenditures for the period. Capitalization of interest on a specific project ceases when the project is substantially complete and ready for occupancy. During the years ended December 31, 2014 and 2013, the Company incurred interest expense and loan cost amortization of approximately $31.5 million and $11.5 million, respectively, of which approximately $1.0 million and $0.7 million, respectively, was capitalized according to this policy. | ||||||||||||
Cash | Cash — Cash consists of demand deposits at commercial banks. The Company also invests in cash equivalents consisting of highly liquid investments in money market funds with original maturities of three months or less during the year. | ||||||||||||
As of December 31, 2014, certain of the Company’s cash deposits exceeded federally insured amounts. However, the Company continues to monitor the third-party depository institutions that hold the Company’s cash, primarily with the goal of safeguarding principal. The Company attempts to limit cash investments to financial institutions with high credit standing; therefore, the Company believes it is not exposed to any significant credit risk on cash. | |||||||||||||
Loan Costs | Loan Costs — Financing costs paid in connection with obtaining debt are deferred and amortized over the estimated life of the debt using the effective interest method. As of December 31, 2014 and 2013, the accumulated amortization of loan costs was approximately $4.3 million and $2.5 million, respectively. | ||||||||||||
Leasing Costs | Leasing Costs — The Company defers costs that it incurs to obtain new tenant leases or extend existing tenant leases and classifies these costs as other assets, net of accumulated amortization. The Company amortizes these costs using the straight-line method of accounting over the shorter of the respective lease term or estimated useful life. If a lease is terminated early, the Company will expense any applicable unamortized deferred leasing costs. | ||||||||||||
Restricted Cash | Restricted Cash — Certain amounts of cash are restricted to fund capital expenditures for the Company’s real estate investment properties or represent certain tenant security deposits. | ||||||||||||
Investments in Unconsolidated Entities | Investments in Unconsolidated Entities — The Company accounts for its investments in unconsolidated joint ventures under the equity method of accounting as the Company exercises significant influence, but does not maintain a controlling financial interest over these entities. These investments are recorded initially at cost and subsequently adjusted for cash contributions, distributions and equity in earnings (loss) of the unconsolidated entities. Based on the respective venture structures and preferences the Company receives on distributions and liquidation, the Company records its equity in earnings of the unconsolidated entities under the HLBV method of accounting. Under this method, the Company recognizes income or loss in each period as if the net book value of the assets in the ventures were hypothetically liquidated at the end of each reporting period pursuant to the provisions of the joint venture agreements. In any given period, the Company could be recording more or less income than actual cash distributions received and more or less than what the Company may receive in the event of an actual liquidation. The Company’s investment in unconsolidated entities is accounted for as an asset acquisition in which acquisition fees and expenses are capitalized as part of the basis in the investment in unconsolidated entities. The acquisition fees and expenses create an outside basis difference that are allocated to the assets of the investee and, if assigned to depreciable or amortizable assets, the basis differences are then amortized as a component of equity in earnings (loss) of unconsolidated entities. | ||||||||||||
Notes Receivable | Notes Receivable — The Company evaluates impairment on its notes receivable on an individual loan basis which includes, current information and events, periodic visits and quarterly discussions on the financial results of the properties being collateralized and the financial stability of the borrowers. The Company reviews each loan to determine the risk of loss, whether the individual loan is impaired and whether an allowance is necessary. The value credit quality of the Company’s borrowers is primarily based on their payment history on an individual loan basis, as such, the Company does not assign its notes receivable to credit quality categories. | ||||||||||||
Derivative Financial Instruments | Derivative Financial Instruments — The Company and certain unconsolidated equity method investments held by the Company use derivative financial instruments to partially offset the effect of fluctuating interest rates on the cash flows associated with its variable-rate debt. Upon entry into a derivative, the Company or its unconsolidated equity method investment formally designates and documents the financial instrument as a hedge of a specific underlying exposure, as well as the risk management objectives and strategies for undertaking the hedge transaction. The Company or its unconsolidated equity method investment accounts for derivatives through the use of a fair value concept whereby the derivative positions are stated at fair value in the accompanying consolidated balance sheets. The fair value of derivatives used to hedge or modify risk fluctuates over time. As such, the fair value amounts should not be viewed in isolation, but rather in relation to the cash flows or fair value of the underlying hedged transaction and to the overall reduction in the exposure relating to adverse fluctuations in interest rates on the Company’s or its unconsolidated equity method investment’s variable-rate debt. Realized and unrealized gain (loss) on derivative financial instruments designated by either the Company or its unconsolidated equity method investment as cash flow hedges are reported as a component of other comprehensive income (loss), a component of stockholders’ equity, in the accompanying consolidated statements of comprehensive income (loss) to the extent they are effective; reclassified into earnings on the same line item associated with the hedged transaction and in the same period the hedged transaction affects earnings. Any ineffective portions of cash flow hedges are reported in the accompanying consolidated statements of operations as derivative gain (loss). | ||||||||||||
Realized and unrealized gain (loss) on derivative financial instruments designated as cash flow hedges that are entered into by the Company’s equity method investments are reported as a component of the Company’s other comprehensive income (loss) in proportion to the Company’s ownership percentage in the investment, with reclassifications and ineffective portions being included in equity in earnings (loss) of unconsolidated entities in the accompanying consolidated statements of operations. | |||||||||||||
Fair Value Measurements | Fair Value Measurements — Fair value assumptions are based on the framework established in the fair value accounting guidance under GAAP. The framework specifies a hierarchy of valuation inputs which was established to increase consistency, clarity and comparability in fair value measurements and related disclosures. The guidance describes the following fair value hierarchy based upon three levels of inputs that may be used to measure fair value, two of which are considered observable and one that is considered unobservable: | ||||||||||||
• | Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. | ||||||||||||
• | Level 2 — Inputs, other than quoted prices included in Level 1, that are observable for the asset or liability either directly or indirectly; such as, quoted prices for similar assets or liabilities or other inputs that can be corroborated by observable market data. | ||||||||||||
• | Level 3 — Unobservable inputs for the asset or liability, which are typically based on the Company’s own assumptions, as there is little, if any, related market activity. | ||||||||||||
When market data inputs are unobservable, the Company utilizes inputs that it believes reflects the Company’s best estimate of the assumptions market participants would use in pricing the asset or liability. When inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement. | |||||||||||||
Mortgages and Other Notes Payable | Mortgages and Other Notes Payable — Mortgages and other notes payable are recorded at the stated principal amount and are generally collateralized by the Company’s properties. Mortgages and other notes payable assumed in connection with an acquisition are recorded at fair market value as of the date of the acquisition. | ||||||||||||
Shares Based Payments to Non-Employees | Shares Based Payments to Non-Employees — In connection with the Expense Support Agreements described in Note 11. “Related Party Arrangements,” the Company may issue Restricted Stock to the Advisor or the Property Manager on a quarterly basis in exchange for providing expense support in the event that cash distributions declared exceed modified funds from operations as defined by the Expense Support Agreements. | ||||||||||||
The Restricted Stock is forfeited if shareholders do not ultimately receive their original invested capital back with at least a 6% annualized return of investment upon a future liquidity or disposition event of the Company. Upon issuance of Restricted Stock, the Company measures the fair value at its then-current lowest aggregate fair value pursuant to Accounting Standards Concept (“ASC”) 505-50. On the date in which the Advisor or the Property Manager satisfies the vesting criteria, the Company remeasures the fair value of the Restricted Stock pursuant to ASC 505-50 and records expense equal to the difference between the original fair value and that of the remeasurement date. In addition, given that performance is outside the control of the Advisor or the Property Manager and involves both market conditions and counterparty performance conditions, the shares are treated as unissued for accounting purposes and the Company only includes the Restricted Stock in the calculation of diluted earnings per share to the extent their effect is dilutive and the vesting conditions have been satisfied as of the reporting date. | |||||||||||||
Pursuant to the Expense Support Agreements, the Advisor or the Property Manager shall be the record owner of the Restricted Stock until the shares of common stock are sold or otherwise disposed of, and shall be entitled to all of the rights of a stockholder of the Company including, without limitation, the right to vote such shares (to the extent permitted by the Articles) and receive all dividends and other distributions paid with respect to such shares. All dividends or other distributions actually paid to the Advisor or the Property Manager in connection with the Restricted Stock shall vest immediately and will not be subject to forfeiture. The Company recognizes expense related to the dividends on the Restricted Stock shares as declared. | |||||||||||||
Redeemable Noncontrolling Interest | Redeemable Noncontrolling Interest — The Company classifies redeemable equity securities in accordance with Accounting Standard Update (“ASU”) No. 2009-04, “Liabilities (Topic 480): Accounting for Redeemable Equity Instruments,” which requires that equity securities redeemable at the option of the holder be classified outside of permanent stockholders’ equity. The Company classifies redeemable equity securities as redeemable noncontrolling interest within the accompanying consolidated balance sheets and consolidated statements of stockholders’ equity and redeemable noncontrolling interest. The Company evaluates the probability that these equity securities will become redeemable at each reporting period and, if determined probable, the Company measures the redemption value and records an adjustment to the carrying value of the equity securities as a component of redeemable noncontrolling interest. As of December 31, 2014, the amount payable, if any, relating to these equity securities is not probable and is dependent on the future results of operations from real estate currently under development. | ||||||||||||
Redemptions | Redemptions — Under the Company’s stock redemption plan, a stockholder’s shares are deemed to have been redeemed as of the date that the Company accepts the stockholder’s request for redemption. From and after such date, the stockholder by virtue of such redemption is no longer entitled to any rights as a stockholder in the Company. Shares redeemed are retired and not available for reissue. | ||||||||||||
Promoted Interest Distributions | Promoted Interest Distributions — The Company accounts for distributions to holders of promoted interests in a manner similar to noncontrolling interests. The Company identifies the distributions to holders of promoted interests separately within the accompanying consolidated statements of equity. During the years ended December 31, 2014 and 2013, the Company made distributions of approximately $2.0 million to a holder of promoted interest related to HarborChase of Villages Crossing, which has been recorded as a reduction to capital in excess of par value in the accompanying consolidated statement of stockholders’ equity and redeemable noncontrolling interest. | ||||||||||||
Revenue Recognition | Revenue Recognition — Rental income from operating leases is recorded on the straight-line basis over the terms of the leases. The Company’s leases require the tenants to pay certain additional contractual amounts that are set aside by the Company for replacements of fixed assets and other improvements to the properties. These amounts are and will remain the property of the Company during and after the term of the lease. The amounts are recorded as capital improvement reserve income at the time that they are earned and are included in rental income from operating leases in the accompanying consolidated statement of operations. Additional percentage rent that is due contingent upon tenant performance thresholds, such as gross revenues, is deferred until the underlying performance thresholds have been achieved. | ||||||||||||
Resident fees and services consist of monthly services, which include rent, assistance and other related services. Agreements with residents are generally for an initial term of three months and are cancelable by the residents with 30 days notice. | |||||||||||||
Tenant reimbursement income represents amounts tenants are required to reimburse the Company for expenses incurred on behalf of the tenants, in accordance with the terms of the leases and are recognized in the period in which the related reimbursable expenses are incurred. | |||||||||||||
Interest income is recognized on an accrual basis when earned. Any deferred portion of contractual interest is recognized on a straight-line basis over the term of the corresponding note receivable. Loan origination fees incurred are recognized as a reduction to interest income over the term of the note receivable. | |||||||||||||
Segment Information | Segment Information — Operating segments are components of an enterprise for which separate financial information is available and is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and assess performance. The Company has determined that it operates in one operating segment, real estate ownership. The Company’s chief operating decision maker evaluates the Company’s operations from a number of different operational perspectives including, but not limited to, a property-by-property basis and by tenant or operator. The Company derives all significant revenues from a single reportable operating segment of business, healthcare real estate, regardless of the type (senior housing, medical office, etc.) or ownership structure (leased or managed). Accordingly, the Company does not report segment information; nevertheless, management periodically evaluates whether the Company continues to have one single reportable segment of business. | ||||||||||||
Acquisition Fees and Expenses | Acquisition Fees and Expenses — Acquisition fees, including investment services fees and expenses associated with transactions deemed to be business combinations (including investment transactions that are no longer under consideration), are expensed as incurred. Acquisition fees and expenses associated with making loans and with transactions deemed to be an asset purchase are capitalized. The following table summarizes the Company’s acquisition fees and expenses for the years ended December 31, 2014, 2013 and 2012 (in millions): | ||||||||||||
December 31, | |||||||||||||
Distribution Type | 2014 | 2013 | 2012 | ||||||||||
Capitalized as real estate under development | $ | 3.4 | $ | 0.1 | $ | 0.7 | |||||||
Capitalized as investment in unconsolidated entities | — | 0.5 | 3.3 | ||||||||||
Capitalized as origination costs to the note receivable | — | 0.1 | — | ||||||||||
Acquisition costs expensed | 23.9 | 18.8 | 6.6 | ||||||||||
Total acquisition costs incurred | $ | 27.3 | $ | 19.5 | $ | 10.6 | |||||||
Net Loss per Share | Net Loss per Share — Net loss per share is calculated based upon the weighted average number of shares of common stock outstanding during the period in which the Company was operational. For the purposes of determining the weighted average number of shares of common stock outstanding, stock distributions are treated as if they were issued and outstanding for the full periods presented. Therefore, the weighted average number of shares outstanding for the years ended December 31, 2014, 2013 and 2012 have been revised to include stock distributions declared and issued through the date of this filing as if they were outstanding as of the beginning of each period presented. | ||||||||||||
Income Taxes | Income Taxes — The Company has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended and related regulations beginning with the year ended December 31, 2012. In order to be taxed as a REIT, the Company is subject to certain organizational and operational requirements, including the requirement to make distributions to its stockholders each year of at least 90% of its REIT taxable income (which is computed without regard to the dividends-paid deduction or net capital gain and which does not necessarily equal net income as calculated in accordance with GAAP). If the Company qualifies for taxation as a REIT, the Company generally will not be subject to U.S. federal income tax on income that the Company distributes as dividends. If the Company fails to quality as a REIT in any taxable year, the Company will be subject to U.S. federal income tax on its taxable income at regular corporate income tax rates and generally will not be permitted to qualify for treatment as a REIT for federal income tax purposes for the four taxable years following the year during which qualification is lost, unless the Internal Revenue Service grants the Company relief under certain statutory provisions. Even if the Company qualifies for taxation as a REIT, it may be subject to certain state and local taxes on its income and property, and U.S. federal income and excise taxes on its undistributed income. The Company may also be subject to foreign taxes on investments outside of the United States based on the jurisdictions in which the Company conducts business. | ||||||||||||
The Company has and will continue to form subsidiaries which may elect to be taxed as a TRS for U.S. federal income tax purposes. Under the provisions of the Internal Revenue Code and applicable state laws, a TRS will be subject to tax on its taxable income from its operations. The Company will account for federal and state income taxes with respect to a TRS using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities, the respective tax bases, operating losses and/or tax-credit carryforwards. | |||||||||||||
Prior to the Company’s REIT election, it was subject to corporate federal and state income taxes. Prior to and including the year ended December 31, 2011, the Company did not have earnings. The tax years from 2010 to 2014 remain subject to examination by taxing authorities throughout the United States. The Company analyzed its material tax positions and determined that it has not taken any uncertain tax positions. | |||||||||||||
Adopted Accounting Pronouncements | Adopted Accounting Pronouncements — In February 2013, the Financial Accounting Standards Board (“FASB”) issued “ASU” No. 2013-04, “Liabilities (Topic 405): Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date.” This update clarified the guidance in subtopic 405 and requires entities to measure obligations resulting from joint and several liability arrangements for which total obligation is fixed at the reporting date. Entities are required to measure the obligation as the amount that the reporting entity agreed to pay on the basis of its arrangement among its co-obligors plus any additional amount the reporting entity expects to pay on behalf of its co-obligors. Additionally, the guidance requires entities to disclose the nature and amount of the obligations as well as other information about those obligations. Effective January 1, 2014, the Company adopted this ASU. The adoption of this update did not have a material impact on the Company’s financial position, results of operations or cash flows. | ||||||||||||
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a similar Tax Loss, or a Tax Credit Carryforward Exists.” This update clarified the guidance in subtopic 740 and requires entities to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward to the extent one is available. Effective January 1, 2014, the Company adopted this ASU. The adoption of this update did not have a material impact on the Company’s financial position, results of operations or cash flows. | |||||||||||||
Recent Accounting Pronouncements | Recent Accounting Pronouncements — In April 2014, the FASB issued ASU No. 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.” This update changes the criteria for reporting discontinued operations where only disposals representing a strategic shift that has (or will have) a major effect on an entity’s operations and financial results, such as a major line of business or geographical area, should be presented as a discontinued operation. This ASU is effective prospectively for all disposals (or classifications as held for sale) of components of an entity that occur within annual periods beginning on or after December 15, 2014 with early adoption permitted. The Company has determined that the amendments will impact the Company’s determinations of which future property disposals, if any, qualify as discontinued operations and will require additional disclosure about discontinued operations for future property disposals, if any. | ||||||||||||
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers,” as a new ASC topic (Topic 606). The core principle of this amendment is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard further provides guidance for any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets, unless those contracts are within the scope of other standards (for example, lease contracts). This ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, with earlier adoption not permitted. ASU 2014-09 can be adopted using one of two retrospective application methods: 1) retrospectively to each prior reporting period presented or 2) as a cumulative-effect adjustment as of the date of adoption. The Company is currently evaluating the amendments of ASU 2014-09; however, these amendments could potentially have a significant effect on the Company’s consolidated financial position, results of operations or cash flows. | |||||||||||||
In February 2015, the FASB issued ASU 2015-02, “Amendments to the Consolidation Analysis,” which requires amendments to both the variable interest entity and voting models. The amendments (i) modify the identification of variable interests (fees paid to a decision maker or service provider), the VIE characteristics for a limited partnership or similar entity and primary beneficiary determination under the VIE model, and (ii) eliminate the presumption within the current voting model that a general partner controls a limited partnership or similar entity. The new guidance is effective for annual reporting periods, and interim periods within those annual periods, beginning after December 15, 2015 with early adoption permitted. The amendments may be applied using either a modified retrospective or full retrospective approach. The Company is currently evaluating the effect the guidance will have on its consolidated financial statements. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Acquisition Fees and Expenses | The following table summarizes the Company’s acquisition fees and expenses for the years ended December 31, 2014, 2013 and 2012 (in millions): | ||||||||||||
December 31, | |||||||||||||
Distribution Type | 2014 | 2013 | 2012 | ||||||||||
Capitalized as real estate under development | $ | 3.4 | $ | 0.1 | $ | 0.7 | |||||||
Capitalized as investment in unconsolidated entities | — | 0.5 | 3.3 | ||||||||||
Capitalized as origination costs to the note receivable | — | 0.1 | — | ||||||||||
Acquisition costs expensed | 23.9 | 18.8 | 6.6 | ||||||||||
Total acquisition costs incurred | $ | 27.3 | $ | 19.5 | $ | 10.6 | |||||||
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Acquisitions of Properties | Real Estate Investment Properties — During the year ended December 31, 2014, the Company acquired the following 35 properties, which were comprised of 14 senior housing communities, 15 medical office buildings (“MOB”), three post-acute care hospitals, and three acute care hospitals: | ||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Acute Care | |||||||||||||
Houston Orthopedic & Spine Hospital (“HOSH”) | Triple-net Lease | 6/2/14 | $ | 49,000 | |||||||||
Bellaire, TX (“Houston”) | |||||||||||||
Medical Portfolio II Properties | |||||||||||||
Hurst Specialty Hospital | Modified Lease | 8/15/14 | 29,465 | ||||||||||
Hurst, TX (“Dallas/Fort Worth”) | |||||||||||||
Beaumont Specialty Hospital | Modified Lease | 8/15/14 | 33,600 | ||||||||||
Beaumont, TX (“Houston”) | |||||||||||||
Medical Office | |||||||||||||
Chula Vista Medical Arts Center—Plaza I | Modified Lease | 1/21/14 | 17,863 | (1) | |||||||||
Chula Vista, CA (“San Diego”) | |||||||||||||
HOSH Medical Office Building | Modified Lease | 6/2/14 | 27,000 | ||||||||||
Bellaire, TX (“Houston”) | |||||||||||||
Lee Hughes Medical Building | Modified Lease | 9/29/14 | 29,870 | (1) | |||||||||
Glendale, CA (“Los Angeles”) | |||||||||||||
Northwest Medical Park | Modified Lease | 10/31/14 | 10,804 | (1) | |||||||||
Margate, FL (“Fort Lauderdale”) | |||||||||||||
Newburyport Medical Center | Modified Lease | 10/31/14 | 18,000 | (1) | |||||||||
Newburyport, MA (“Boston”) | |||||||||||||
ProMed Medical Building I | Modified Lease | 12/19/14 | 11,000 | (1) | |||||||||
Yuma, AZ | |||||||||||||
Southeast Medical Office Properties | |||||||||||||
Midtown Medical Plaza | Modified Lease | 12/22/14 | 54,695 | ||||||||||
Charlotte, NC | |||||||||||||
Presbyterian Medical Tower | Modified Lease | 12/22/14 | 36,333 | ||||||||||
Charlotte, NC | |||||||||||||
Metroview Professional Building | Modified Lease | 12/22/14 | 17,262 | ||||||||||
Charlotte, NC | |||||||||||||
Physicians Plaza Huntersville | Modified Lease | 12/22/14 | 29,964 | ||||||||||
Huntersville, NC (“Charlotte”) | |||||||||||||
Matthews Medical Office Building | Modified Lease | 12/22/14 | 21,227 | ||||||||||
Matthews, NC (“Charlotte”) | |||||||||||||
Outpatient Care Center | Modified Lease | 12/22/14 | 15,450 | ||||||||||
Clyde, NC (“Asheville”) | |||||||||||||
330 Physicians Center | Modified Lease | 12/22/14 | 30,099 | ||||||||||
Rome, GA | |||||||||||||
Spivey Station Physicians Center | Modified Lease | 12/22/14 | 14,379 | ||||||||||
Atlanta, GA | |||||||||||||
Spivey Station ASC Building | Modified Lease | 12/22/14 | 18,591 | ||||||||||
Atlanta, GA | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Post-Acute Care | |||||||||||||
Medical Portfolio II Properties | |||||||||||||
Oklahoma City Inpatient Rehabilitation Hospital | Modified Lease | 7/15/14 | $ | 25,504 | |||||||||
Oklahoma City, OK | |||||||||||||
Las Vegas Inpatient Rehabilitation Hospital | Modified Lease | 7/15/14 | 22,292 | ||||||||||
Las Vegas, NV | |||||||||||||
South Bend Inpatient Rehabilitation Hospital | Modified Lease | 7/15/14 | 20,240 | ||||||||||
Mishawaka, IN (“South Bend”) | |||||||||||||
Senior Housing | |||||||||||||
Pacific Northwest II Communities | |||||||||||||
Prestige Senior Living Auburn Meadows | Managed | 2/3/14 | 21,930 | ||||||||||
Auburn, WA (“Seattle”) | |||||||||||||
Prestige Senior Living Bridgewood | Managed | 2/3/14 | 22,096 | ||||||||||
Vancouver, WA (“Portland”) | |||||||||||||
Prestige Senior Living Monticello Park | Managed | 2/3/14 | 27,360 | ||||||||||
Longview, WA | |||||||||||||
Prestige Senior Living Rosemont | Managed | 2/3/14 | 16,877 | ||||||||||
Yelm, WA | |||||||||||||
Prestige Senior Living West Hills | Managed | 3/3/14 | 14,986 | ||||||||||
Corvallis, OR | |||||||||||||
South Bay II Communities | |||||||||||||
Isle at Cedar Ridge | Managed | 2/28/14 | 21,630 | ||||||||||
Cedar Park, TX (“Austin”) | |||||||||||||
HarborChase of Plainfield | Managed | 3/28/14 | 26,500 | ||||||||||
Plainfield, IL | |||||||||||||
Legacy Ranch Alzheimer’s Special Care Center | Managed | 3/28/14 | 11,960 | ||||||||||
Midland, TX | |||||||||||||
The Springs Alzheimer’s Special Care Center | Managed | 3/28/14 | 10,920 | ||||||||||
San Angelo, TX | |||||||||||||
Isle at Watercrest – Bryan | Managed | 4/21/14 | 22,050 | ||||||||||
Bryan, TX | |||||||||||||
Watercrest at Bryan | Managed | 4/21/14 | 28,035 | ||||||||||
Bryan, TX | |||||||||||||
Isle at Watercrest – Mansfield | Managed | 5/5/14 | 31,300 | ||||||||||
Mansfield, TX (“Dallas/Fort Worth”) | |||||||||||||
Watercrest at Mansfield | Managed | 6/30/14 | 49,000 | ||||||||||
Mansfield, TX (“Dallas/Fort Worth”) | |||||||||||||
Fairfield Village of Layton | Managed | 11/20/14 | 68,000 | ||||||||||
Layton, UT (“Salt Lake City”) | |||||||||||||
$ | 905,282 | ||||||||||||
FOOTNOTE: | |||||||||||||
-1 | This represents a single property acquisition that is not considered material to the Company and as such no pro forma financial information has been included related to this property. | ||||||||||||
During the year ended December 31, 2013, the Company acquired the following 38 properties, which were comprised of 16 medical office buildings, 15 senior housing communities, six post-acute care facilities, and one acute care hospital: | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Acute Care | |||||||||||||
Medical Portfolio I Properties | |||||||||||||
Doctors Specialty Hospital | Modified Lease | 8/16/13 | $ | 10,003 | |||||||||
Leawood, KS (“Kansas City”) | |||||||||||||
Medical Office | |||||||||||||
LaPorte Cancer Center | Modified Lease | 6/14/13 | 13,100 | ||||||||||
Westville, IN | |||||||||||||
Knoxville Medical Office Properties | |||||||||||||
Physicians Plaza A at North Knoxville Medical Center | Modified Lease | 7/10/13 | 18,124 | ||||||||||
Powell, TN (“Knoxville”) | |||||||||||||
Physicians Plaza B at North Knoxville Medical Center | Modified Lease | 7/10/13 | 21,800 | ||||||||||
Powell, TN (“Knoxville”) | |||||||||||||
Jefferson Medical Commons | Modified Lease | 7/10/13 | 11,616 | ||||||||||
Jefferson City, TN (“Knoxville”) | |||||||||||||
Physicians Regional Medical Center—Central Wing Annex | Modified Lease | 7/10/13 | 5,775 | ||||||||||
Knoxville, TN | |||||||||||||
Medical Portfolio I Properties | |||||||||||||
John C. Lincoln Medical Office Plaza I | Modified Lease | 8/16/13 | 4,420 | ||||||||||
Phoenix, AZ | |||||||||||||
John C. Lincoln Medical Office Plaza II | Modified Lease | 8/16/13 | 3,106 | ||||||||||
Phoenix, AZ | |||||||||||||
North Mountain Medical Plaza | Modified Lease | 8/16/13 | 6,185 | ||||||||||
Phoenix, AZ | |||||||||||||
Escondido Medical Arts Center | Modified Lease | 8/16/13 | 15,602 | ||||||||||
Escondido, CA (“San Diego”) | |||||||||||||
Chestnut Commons Medical Office Building | Modified Lease | 8/16/13 | 20,712 | ||||||||||
Elyria, OH (“Cleveland”) | |||||||||||||
Calvert Medical Office Properties | |||||||||||||
Calvert Medical Office Buildings I, II, III | Modified Lease | 8/30/13 | 16,409 | ||||||||||
Prince Frederick, MD (“Washington D.C.”) | |||||||||||||
Calvert Medical Arts Center | Modified Lease | 8/30/13 | 19,320 | ||||||||||
Prince Frederick, MD (“Washington D.C.”) | |||||||||||||
Dunkirk Medical Center | Modified Lease | 8/30/13 | 4,617 | ||||||||||
Dunkirk, MD (“Washington D.C.”) | |||||||||||||
Coral Springs Medical Office Buildings (“Coral Springs MOBs”) | |||||||||||||
Coral Springs Medical Office Building I | Modified Lease | 12/23/13 | 14,900 | ||||||||||
Coral Springs, FL | |||||||||||||
Coral Springs Medical Office Building II | Modified Lease | 12/23/13 | 16,100 | ||||||||||
Coral Springs, FL | |||||||||||||
Bay Medical Plaza | Modified Lease | 12/23/13 | 10,700 | ||||||||||
Chula Vista, CA (“San Diego”) | |||||||||||||
Name and Location | Structure | Date | Purchase Price | ||||||||||
Acquired | (in thousands) | ||||||||||||
Post-Acute Care | |||||||||||||
Perennial Communities | |||||||||||||
Batesville Healthcare Center | Triple-net Lease | 5/31/13 | $ | 6,206 | |||||||||
Batesville, AR | |||||||||||||
Broadway Healthcare Center | Triple-net Lease | 5/31/13 | 11,799 | ||||||||||
West Memphis, AR | |||||||||||||
Jonesboro Healthcare Center | Triple-net Lease | 5/31/13 | 15,232 | ||||||||||
Jonesboro, AR | |||||||||||||
Magnolia Healthcare Center | Triple-net Lease | 5/31/13 | 11,847 | ||||||||||
Magnolia, AR | |||||||||||||
Mine Creek Healthcare Center | Triple-net Lease | 5/31/13 | 3,374 | ||||||||||
Nashville, AR | |||||||||||||
Searcy Healthcare Center | Triple-net Lease | 5/31/13 | 7,898 | ||||||||||
Searcy, AR | |||||||||||||
Senior Housing | |||||||||||||
HarborChase of Jasper | Managed | 8/1/13 | 7,300 | ||||||||||
Jasper, AL | |||||||||||||
South Bay I Communities | |||||||||||||
Raider Ranch | Managed | 8/29/13 | 55,000 | ||||||||||
Lubbock, TX | |||||||||||||
Town Village | Managed | 8/29/13 | 22,500 | ||||||||||
Oklahoma City, OK | |||||||||||||
Pacific Northwest I Communities | |||||||||||||
MorningStar of Billings | Managed | 12/2/13 | 48,300 | ||||||||||
Billings, MT | |||||||||||||
MorningStar of Boise | Managed | 12/2/13 | 39,964 | ||||||||||
Boise, ID | |||||||||||||
MorningStar of Idaho Falls | Managed | 12/2/13 | 44,390 | ||||||||||
Idaho Falls, ID | |||||||||||||
MorningStar of Sparks | Managed | 12/2/13 | 55,200 | ||||||||||
Sparks, NV (“Reno”) | |||||||||||||
Prestige Senior Living Arbor Place | Managed | 12/2/13 | 15,840 | ||||||||||
Medford, OR | |||||||||||||
Prestige Senior Living Beaverton Hills | Managed | 12/2/13 | 12,900 | ||||||||||
Beaverton, OR | |||||||||||||
Prestige Senior Living Five Rivers | Managed | 12/2/13 | 16,720 | ||||||||||
Tillamook, OR | |||||||||||||
Prestige Senior Living High Desert | Managed | 12/2/13 | 13,600 | ||||||||||
Bend, OR | |||||||||||||
Prestige Senior Living Huntington Terrace | Managed | 12/2/13 | 15,020 | ||||||||||
Gresham, OR (“Portland”) | |||||||||||||
Prestige Senior Living Orchard Heights | Managed | 12/2/13 | 17,775 | ||||||||||
Salem, OR | |||||||||||||
Prestige Senior Living Riverwood | Managed | 12/2/13 | 9,700 | ||||||||||
Tualatin, OR (“Portland”) | |||||||||||||
Prestige Senior Living Southern Hills | Managed | 12/2/13 | 12,870 | ||||||||||
Salem, OR | |||||||||||||
$ | 655,924 | ||||||||||||
Schedule of Purchase Price Allocation | The following summarizes the purchase price allocation for the above properties, and the estimated fair values of the assets acquired and liabilities assumed (in thousands): | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Land and land improvements | $ | 60,565 | $ | 39,834 | |||||||||
Buildings and building improvements | 732,740 | 555,342 | |||||||||||
Furniture, fixtures and equipment | 12,260 | 13,718 | |||||||||||
Intangibles (1) | 110,325 | 50,333 | |||||||||||
Other liabilities | (12,037 | ) | (2,796 | ) | |||||||||
Liabilities assumed | (1,000 | ) | — | ||||||||||
Mortgage note payable assumed (2) | (27,657 | ) | — | ||||||||||
Net assets acquired | 875,196 | 656,431 | |||||||||||
Contingent purchase price consideration | (12,395 | ) | (507 | ) | |||||||||
Total purchase price consideration | $ | 862,801 | $ | 655,924 | |||||||||
FOOTNOTES: | |||||||||||||
-1 | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles for the years ended December 31, 2014 and 2013 were approximately 7.7 years and 4.6 years, respectively. The acquired lease intangibles during the year ended December 31, 2014 were comprised of approximately $97.3 million and $13.0 million of in-place lease intangibles and other lease intangibles, respectively, and the acquired lease intangibles during the year ended December 31, 2013 were comprised of approximately $42.5 million and $7.2 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||||||||
-2 | At the acquisition date, the fair value of the mortgage note payable assumed reflects an approximate $0.4 million premium on the above-market mortgage note payable assumed. | ||||||||||||
Schedule of Unaudited Proforma Results of Operations | The following table presents the unaudited pro forma results of operations for the Company as if each of the 2014 acquisitions noted above (including the UT Cancer Institute) were acquired as of January 1, 2013 and the unaudited pro forma results of operations for the Company assuming each of the 2013 acquisitions noted above were acquired as of January 1, 2012 (in thousands except per share data): | ||||||||||||
Years ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | |||||||||||
Revenues | $ | 243,581 | $ | 242,415 | $ | 125,872 | |||||||
Net income (loss) (1) | $ | (43,936 | ) | $ | (59,527 | ) | $ | (40,483 | ) | ||||
Loss per share of common stock (basic and diluted) | $ | (0.39 | ) | $ | (0.58 | ) | $ | (0.82 | ) | ||||
Weighted average number of shares of common stock outstanding (basic and diluted)(2) | 113,607 | 101,826 | 49,433 | ||||||||||
FOOTNOTES: | |||||||||||||
-1 | The unaudited pro forma results for the years ended December 31, 2014 and 2013 were adjusted to exclude approximately $20.5 million and $16.5 million, respectively, of acquisition related expenses directly attributable to the properties acquired during the years ended December 31, 2014 and 2013. The unaudited pro forma results for the years ended December 31, 2013 and 2012 were adjusted to include these charges as if the properties acquired on January 1, 2013 and 2012, respectively. | ||||||||||||
-2 | As a result of the properties being treated as operational since January 1, 2013 and 2012, the Company assumed approximately 40.8 million and 36.2 million additional shares were issued as of January 1, 2013 and 2012, respectively. Consequently, the weighted average number of shares outstanding was adjusted to reflect this amount of shares being issued as of January 1, 2013 and 2012, instead of actual dates on which the shares were issued, and such shares were treated as outstanding as of the beginning of the period presented. In addition, for purposes of determining the weighted average number of shares of common stock outstanding, stock distributions are treated as if they were outstanding as of the beginning of the periods presented. | ||||||||||||
Gain Resulted From Change of Control in Equity Method Investment | The following summarizes the gain that resulted from the change of control in the equity method investment for the year ended December 31, 2014 (in thousands): | ||||||||||||
Fair value of net assets acquired | $ | 10,129 | |||||||||||
Less: Previous investment in Montecito Joint Venture | (5,747 | ) | |||||||||||
Less: Cash paid to acquire co-venture partner’s interest | (1,584 | ) | |||||||||||
Gain on purchase of controlling interest of investment in unconsolidated entity | $ | 2,798 | |||||||||||
Montecito Joint Venture | |||||||||||||
Schedule of Purchase Price Allocation | The following summarizes the allocation of the purchase price, and the estimated fair values of the assets acquired and liabilities assumed as of the acquisition date (in thousands): | ||||||||||||
Land and land improvements | $ | 6,324 | |||||||||||
Buildings and building improvements | 13,533 | ||||||||||||
Intangibles (1) | 2,691 | ||||||||||||
Working capital, net | 87 | ||||||||||||
Other liabilities | (175 | ) | |||||||||||
Mortgage note payable assumed (2) | (12,331 | ) | |||||||||||
Net assets acquired | $ | 10,129 | |||||||||||
FOOTNOTES: | |||||||||||||
-1 | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles was approximately 5.1 years and was comprised of approximately $1.9 million and $0.8 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||||||||
-2 | At the acquisition date, the fair value of the mortgage note payable assumed reflects an approximate $0.6 million discount on the below-market mortgage note payable assumed. |
Real_Estate_Assets_net_Tables
Real Estate Assets, net (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2014 | |||||||||||
Schedule of Real Estate Investment Properties | The gross carrying amount and accumulated depreciation of the Company’s real estate assets as of December 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||||
December 31, | |||||||||||
2014 | 2013 | ||||||||||
Land and land improvements | $ | 128,662 | $ | 59,208 | |||||||
Building and building improvements | 1,545,614 | 783,260 | |||||||||
Furniture, fixtures and equipment | 36,319 | 20,339 | |||||||||
Less: accumulated depreciation | (53,095 | ) | (14,016 | ) | |||||||
Real estate investment properties, net | 1,657,500 | 848,791 | |||||||||
Real estate under development, including land | 47,153 | 17,409 | |||||||||
Total real estate assets, net | $ | 1,704,653 | $ | 866,200 | |||||||
Under Development with Third-Party Developers | |||||||||||
Schedule of Real Estate Investment Properties | As of December 31, 2014, four of the Company’s senior housing communities have real estate under development with third-party developers as follows (in thousands): | ||||||||||
Property Name (and Location) | Developer | Real Estate | Remaining | ||||||||
Development | Development | ||||||||||
Costs | Budget (2) | ||||||||||
Incurred (1) | |||||||||||
Wellmore of Tega Cay | Maxwell Group, Inc. | $ | 22,198 | $ | 18,291 | ||||||
(Tega Cay, SC) | |||||||||||
HarborChase of Shorewood | Harbor Shorewood Development, LLC | 9,340 | 17,149 | ||||||||
(Shorewood, WI) | |||||||||||
Watercrest at Katy (3) | South Bay Partners, Ltd | 8,613 | 30,942 | ||||||||
(Katy, TX) | |||||||||||
Raider Ranch Development | South Bay Partners, Ltd | 7,002 | 10,045 | ||||||||
(Lubbock, TX) | |||||||||||
$ | 47,153 | $ | 76,427 | ||||||||
FOOTNOTES: | |||||||||||
(1) | This amount represents land and total capitalized costs for GAAP purposes for the acquisition, development and construction of the senior housing community as of December 31, 2014. Amounts include investment services fees, asset management fees, interest expense and other costs capitalized during the development period. | ||||||||||
(2) | This amount includes preleasing and marketing costs which will be expensed as incurred. | ||||||||||
(3) | This property is owned through a joint venture in which the Company’s initial ownership interest is 95%. |
Intangibles_net_Tables
Intangibles, net (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Schedule of Net Book Value of Intangibles | The gross carrying amount and accumulated amortization of the Company’s intangible assets and liabilities as of December 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||
In-place lease intangibles | $ | 148,880 | $ | 49,642 | |||||||||||||||||||||||||
Above-market lease intangibles | 11,320 | 3,704 | |||||||||||||||||||||||||||
Below-market ground lease intangibles | 10,314 | 4,153 | |||||||||||||||||||||||||||
Less: accumulated amortization | (30,250 | ) | (5,099 | ) | |||||||||||||||||||||||||
Intangible assets, net | $ | 140,264 | $ | 52,400 | |||||||||||||||||||||||||
Below-market lease intangibles | $ | (13,243 | ) | $ | (2,987 | ) | |||||||||||||||||||||||
Above-market ground lease intangibles | (2,273 | ) | (317 | ) | |||||||||||||||||||||||||
Less: accumulated amortization | 1,014 | 168 | |||||||||||||||||||||||||||
Intangible liabilities, net (1) | $ | (14,502 | ) | $ | (3,136 | ) | |||||||||||||||||||||||
FOOTNOTE: | |||||||||||||||||||||||||||||
(1) | Intangible liabilities, net are included in other liabilities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||||
Schedule of Estimated Future Amortization and Weighted Average Remaining Useful Life | The estimated future amortization on the Company’s intangibles for each of the next five years and thereafter, in the aggregate, as of December 31, 2014 is as follows (in thousands): | ||||||||||||||||||||||||||||
In-place | Above- | Below- | Total | Below- | Above- | Total | |||||||||||||||||||||||
Lease | market | market | Assets | market | market | Liabilities | |||||||||||||||||||||||
Intangibles | Leases | Ground | Leases | Ground | |||||||||||||||||||||||||
Leases | Leases | ||||||||||||||||||||||||||||
2015 | $ | 36,432 | 1,826 | 264 | $ | 38,522 | $ | 1,551 | 58 | $ | 1,609 | ||||||||||||||||||
2016 | 25,344 | 1,488 | 264 | 27,096 | 1,399 | 58 | 1,457 | ||||||||||||||||||||||
2017 | 12,601 | 1,358 | 264 | 14,223 | 1,272 | 58 | 1,330 | ||||||||||||||||||||||
2018 | 10,073 | 1,210 | 264 | 11,547 | 1,154 | 58 | 1,212 | ||||||||||||||||||||||
2019 | 7,278 | 974 | 264 | 8,516 | 991 | 58 | 1,049 | ||||||||||||||||||||||
Thereafter | 28,262 | 3,273 | 8,825 | 40,360 | 5,873 | 1,972 | 7,845 | ||||||||||||||||||||||
$ | 119,990 | 10,129 | 10,145 | $ | 140,264 | $ | 12,240 | 2,262 | $ | 14,502 | |||||||||||||||||||
Weighted average remaining useful life as of December 31, 2014 (in years): | |||||||||||||||||||||||||||||
In-place | Above- | Below- | Below- | Above- | |||||||||||||||||||||||||
Lease | market | market | market | market | |||||||||||||||||||||||||
Intangibles | Leases | Ground | Leases | Ground | |||||||||||||||||||||||||
Leases | Leases | ||||||||||||||||||||||||||||
5.8 | 6.3 | 38.4 | 12.7 | 38.8 | |||||||||||||||||||||||||
Ground_and_Air_Rights_Leases_T
Ground and Air Rights Leases (Tables) | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Schedule of Future Minimum Lease Payments | The following are future minimum lease payments to be received under non-cancellable operating leases for the next five years and thereafter, as of December 31, 2014 (in thousands): | ||||
2015 | $ | 78,625 | |||
2016 | 74,867 | ||||
2017 | 71,468 | ||||
2018 | 67,335 | ||||
2019 | 58,484 | ||||
Thereafter | 252,174 | ||||
$ | 602,953 | ||||
Ground and Air Rights Leases | |||||
Schedule of Future Minimum Lease Payments | The following is a schedule of future minimum lease payments to be paid under the ground and air rights leases for each of the next five years and thereafter, in the aggregate, as of December 31, 2014 (in thousands): | ||||
2015 | $ | 1,347 | |||
2016 | 1,371 | ||||
2017 | 1,402 | ||||
2018 | 1,428 | ||||
2019 | 1,453 | ||||
Thereafter | 102,773 | ||||
$ | 109,774 | ||||
Variable_Interest_Entities_Tab
Variable Interest Entities (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Aggregate Carrying Amount and Major Classifications of Consolidated Assets | The aggregate carrying amount and major classifications of the consolidated assets that can be used to settle obligations of the VIEs and liabilities of the consolidated VIEs that are non-recourse to the Company as of December 31, 2014 and December 31, 2013 are as follows (in thousands): | ||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Assets: | |||||||||
Real estate investment properties, net | $ | 174,449 | $ | 72,053 | |||||
Real estate under development, including land | $ | 47,153 | $ | 16,210 | |||||
Intangibles, net | $ | 25,519 | $ | 4,535 | |||||
Cash | $ | 6,280 | $ | 727 | |||||
Loan costs, net | $ | 2,300 | $ | 912 | |||||
Restricted cash | $ | 5,304 | $ | 257 | |||||
Deferred rent | $ | 2,978 | $ | 104 | |||||
Other | $ | 511 | $ | 21 | |||||
Liabilities: | |||||||||
Mortgages and other notes payable | $ | 137,754 | $ | 52,596 | |||||
Other liabilities | $ | 4,949 | $ | 939 | |||||
Accounts payable and accrued expenses | $ | 2,317 | $ | 309 | |||||
Accrued development costs | $ | 7,951 | $ | 7,047 | |||||
Due to related parties | $ | 219 | $ | 112 | |||||
Unconsolidated_Entities_Tables
Unconsolidated Entities (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Summarized Operating Data of Unconsolidated Entities | The following presents financial information for each of the Company’s unconsolidated entities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||
Montecito (2) | CHTSunIV (3) | Windsor | Total | ||||||||||||||
Manor | |||||||||||||||||
Revenues | $ | 1,356 | $ | — | $ | 8,565 | $ | 9,921 | |||||||||
Operating income | $ | 436 | $ | — | $ | 149 | $ | 585 | |||||||||
Net income (loss) | $ | 165 | $ | — | $ | (1,137 | ) | $ | (972 | ) | |||||||
Income allocable to other venture partners (1) | $ | 17 | $ | — | $ | 373 | $ | 390 | |||||||||
Income (loss) allocable to the Company (1) | $ | 148 | $ | — | $ | (1,510 | ) | $ | (1,362 | ) | |||||||
Amortization of capitalized acquisition costs | (6 | ) | — | (19 | ) | (25 | ) | ||||||||||
Equity in earnings (loss) of unconsolidated entities | $ | 142 | $ | — | $ | (1,529 | ) | $ | (1,387 | ) | |||||||
Distributions declared to the Company | $ | 659 | $ | — | $ | 3,057 | $ | 3,716 | |||||||||
Distributions received by the Company (4) | $ | 830 | $ | — | $ | 3,232 | $ | 4,062 | |||||||||
For the year ended December 31, 2013 | |||||||||||||||||
Montecito (2) | CHTSunIV (3) | Windsor | Total | ||||||||||||||
Manor | |||||||||||||||||
Revenues | $ | 1,700 | $ | 24,107 | $ | 7,391 | $ | 33,198 | |||||||||
Operating income | $ | 230 | (5) | $ | 3,603 | $ | 67 | (5) | $ | 3,900 | |||||||
Net income (loss) | $ | (159 | ) | $ | (46 | ) | $ | (840 | ) | $ | (1,045 | ) | |||||
Income allocable to other venture partners (1) | $ | (16 | ) | $ | (1,365 | ) | $ | (1,870 | ) | $ | (3,251 | ) | |||||
Income (loss) allocable to the Company (1) | $ | (143 | ) | $ | 1,319 | $ | 1,030 | $ | 2,206 | ||||||||
Amortization of capitalized acquisition costs | (8 | ) | $ | (36 | ) | $ | (15 | ) | (59 | ) | |||||||
Equity in earnings (loss) of unconsolidated entities | $ | (151 | ) | $ | 1,283 | $ | 1,015 | $ | 2,147 | ||||||||
Distributions declared to the Company | $ | 870 | $ | 2,990 | $ | 666 | $ | 4,526 | |||||||||
Distributions received by the Company | $ | 699 | $ | 4,458 | $ | 336 | $ | 5,493 | |||||||||
For the year ended December 31, 2012 | |||||||||||||||||
Montecito (2) | CHTSunIV (3) | Windsor | Total | ||||||||||||||
Manor | |||||||||||||||||
Revenues | $ | — | $ | 23,913 | $ | 1,594 | $ | 25,507 | |||||||||
Operating income | $ | — | $ | 1,872 | $ | (54 | )(5) | $ | 1,818 | ||||||||
Net income (loss) | $ | — | $ | (703 | ) | $ | (288 | ) | $ | (991 | ) | ||||||
Income allocable to other venture partners (1) | $ | — | $ | (1,703 | ) | $ | (471 | ) | $ | (2,174 | ) | ||||||
Income (loss) allocable to the Company (1) | $ | — | $ | 1,000 | $ | 183 | $ | 1,183 | |||||||||
Amortization of capitalized acquisition costs | — | $ | (36 | ) | $ | (4 | ) | (40 | ) | ||||||||
Equity in earnings (loss) of unconsolidated entities | $ | — | $ | 964 | $ | 179 | $ | 1,143 | |||||||||
Distributions declared to the Company | $ | — | $ | 3,075 | $ | 49 | $ | 3,124 | |||||||||
Distributions received by the Company | $ | — | $ | 1,607 | $ | — | $ | 1,607 | |||||||||
FOOTNOTES: | |||||||||||||||||
-1 | Income (loss) is allocated between the Company and its joint venture partner using the HLBV method of accounting. | ||||||||||||||||
-2 | In August 2014, the Company acquired its co-venture partner’s 10% interest in the Montecito joint venture; refer to Note 3, “Acquisitions – Purchase of Controlling Interest in Montecito Joint Venture,” for additional information. | ||||||||||||||||
-3 | In July 2013, the Company completed the sale of its joint venture membership interest in CHTSunIV. | ||||||||||||||||
-4 | The distributions declared to and received by the Company for the Windsor Manor joint venture for the year ended December 31, 2014 include approximately $2.2 million of capital proceeds from a debt refinancing; refer to Item 7. “Management’s Discussion and Analysis – Off-Balance Sheet Arrangements” for additional information. | ||||||||||||||||
-5 | Includes approximately $0.4 million and $0.3 million of non-recurring acquisition expenses incurred by Montecito and Windsor Manor for the year ended December 31, 2013. Includes approximately $0.03 million of non-recurring acquisition expenses incurred by Windsor Manor for the year ended December 31, 2012. | ||||||||||||||||
The following presents financial information for each of the Company’s unconsolidated entities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||
Montecito | Windsor | Total | |||||||||||||||
Manor | |||||||||||||||||
Real estate assets, net | $ | — | $ | 26,505 | $ | 26,505 | |||||||||||
Intangible assets, net | $ | — | $ | 386 | $ | 386 | |||||||||||
Other assets | $ | — | $ | 2,403 | $ | 2,403 | |||||||||||
Mortgages and other notes payable | $ | — | $ | 21,808 | $ | 21,808 | |||||||||||
Other liabilities | $ | — | $ | 1,241 | $ | 1,241 | |||||||||||
Partners’ capital | $ | — | $ | 6,245 | $ | 6,245 | |||||||||||
Carrying amount of investment (1) | $ | — | $ | 7,379 | $ | 7,379 | |||||||||||
Company’s ownership percentage (2) | 75 | % | |||||||||||||||
As of December 31, 2013 | |||||||||||||||||
Montecito | Windsor | Total | |||||||||||||||
Manor | |||||||||||||||||
Real estate assets, net | $ | 17,271 | $ | 27,547 | $ | 44,818 | |||||||||||
Intangible assets, net | $ | 1,925 | $ | 1,284 | $ | 3,209 | |||||||||||
Other assets | $ | 800 | $ | 2,055 | $ | 2,855 | |||||||||||
Mortgages and other notes payable | $ | 12,958 | $ | 17,508 | $ | 30,466 | |||||||||||
Other liabilities | $ | 327 | $ | 1,471 | $ | 1,798 | |||||||||||
Partners’ capital | $ | 6,711 | $ | 11,907 | $ | 18,618 | |||||||||||
Carrying amount of investment (3) | $ | 6,526 | $ | 11,912 | $ | 18,438 | |||||||||||
Company’s ownership percentage | 90 | % | 75 | % | |||||||||||||
FOOTNOTES: | |||||||||||||||||
(1) | As of December 31, 2014, the Company’s share of partners’ capital determined under HLBV pursuant to the terms of each entity’s respective partnership agreement was approximately $6.6 million. The difference between the Company’s carrying amount of the investment and the Company’s share of partners’ capital determined under HLBV was approximately $0.8 million. | ||||||||||||||||
(2) | In August 2014, the Company acquired its co-venture partner’s 10% interest in the Montecito joint venture; refer to Note 3, “Acquisitions – Purchase of Controlling Interest in Montecito Joint Venture,” for additional information. | ||||||||||||||||
(3) | As of December 31, 2013, the Company’s share of partners’ capital determined under HLBV pursuant to the terms of each entity’s respective partnership agreement was approximately $17.5 million. The difference between the Company’s carrying amount of the investment and the Company’s share of partners’ capital determined under HLBV was approximately $0.9 million. |
Contingent_Purchase_Price_Cons1
Contingent Purchase Price Consideration (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Capital Health Communities | |||||||||||||
Fair Value of Contingent Purchase Price Consideration | The following table provides a roll-forward of the fair value of the contingent purchase price consideration related to the Yield Guaranty on the Capital Health Communities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Beginning balance | $ | 4,488 | $ | 2,664 | $ | — | |||||||
Contingent consideration in connection with acquisition | — | — | 2,664 | ||||||||||
Change in fair value | 2,191 | 1,824 | — | ||||||||||
Yield Guaranty payment received from seller | (2,601 | ) | — | — | |||||||||
Ending balance | $ | 4,078 | $ | 4,488 | $ | 2,664 | |||||||
Medical Portfolio I | |||||||||||||
Fair Value of Contingent Purchase Price Consideration | The following table provides a roll-forward of the fair value of the contingent purchase price consideration related to Earn-Out for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Beginning balance | $ | (507 | ) | $ | — | $ | — | ||||||
Contingent consideration in connection with acquisition | — | (507 | ) | — | |||||||||
Change in fair value | 239 | — | — | ||||||||||
Ending balance | $ | (268 | ) | $ | (507 | ) | $ | — | |||||
South Bay II Communities | |||||||||||||
Fair Value of Contingent Purchase Price Consideration | The following table provides a roll-forward of the fair value of the estimated contingent purchase price consideration related to the South Bay II Communities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Beginning balance | $ | — | $ | — | $ | — | |||||||
Contingent consideration in connection with acquisition | (12,395 | ) | — | — | |||||||||
Change in fair value | (1,800 | ) | — | — | |||||||||
Contingent consideration payment | 14,195 | — | — | ||||||||||
Ending balance | $ | — | $ | — | $ | — | |||||||
Indebtedness_Tables
Indebtedness (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Details of Indebtedness | The following table provides details of the Company’s indebtedness as of December 31, 2014 and December 31, 2013 (in thousands): | ||||||||||||||||
December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Mortgages payable and other notes payable: | |||||||||||||||||
Fixed rate debt | $ | 370,854 | $ | 290,817 | |||||||||||||
Variable rate debt (1) | 482,922 | 147,290 | |||||||||||||||
Mortgages and other notes payable | 853,776 | 438,107 | |||||||||||||||
Premium (discount), net (2) | (215 | ) | — | ||||||||||||||
Total mortgages and other notes payable, net | 853,561 | 438,107 | |||||||||||||||
Credit facilities: | |||||||||||||||||
Term Loan Facility | 175,000 | — | |||||||||||||||
Revolving Credit Facility | 31,403 | 98,500 | |||||||||||||||
Total borrowings | $ | 1,059,964 | $ | 536,607 | |||||||||||||
FOOTNOTES: | |||||||||||||||||
-1 | As of December 31, 2014, the Company had entered into interest rate swaps with notional amounts of approximately $182.1 million that were settling on a monthly basis; whereas, there were no such settlements during the year ended December 31, 2013. In addition, as of December 31, 2014 and December 31, 2013, the Company had entered into forward-starting interest rate swaps for total notional amounts of approximately $269.4 million and $124.3 million, respectively, in order to hedge its exposure to variable rate debt in future periods. The remaining forward-starting interest rate swaps have a range of effective dates beginning in 2015 and continuing through the maturity date of the respective loan (ranging from 2016 through 2019). | ||||||||||||||||
-2 | Premium (discount), net is reflective of the Company recording mortgage note payables assumed at fair value on the respective acquisition date. | ||||||||||||||||
Schedule of Indebtedness | The following table provides additional details of the Company’s mortgages and other notes payable as of December 31, 2014 and 2013 (in thousands): | ||||||||||||||||
Interest Rate at | |||||||||||||||||
December 31, | Maturity | December 31, | |||||||||||||||
Property and Loan Type | 2014 (1) | Payment Terms | Date (2) | 2014 | 2013 | ||||||||||||
Pacific Northwest Communities; | 4.30% | Monthly principal and interest payments based on a 25-year amortization schedule | 12/5/18 | $ | 215,904 | $ | 157,549 | ||||||||||
Mortgage Loan (3) | per annum | ||||||||||||||||
Capital Health Communities; | 4.25% | Monthly principal and interest payments based on a 25-year amortization schedule | 1/5/20 | 43,684 | 47,481 | ||||||||||||
Mortgage Loan | per annum | ||||||||||||||||
Primrose II Communities; | 3.81% | Monthly principal and interest payments based on a 30-year amortization schedule | 6/1/20 | 22,913 | 23,337 | ||||||||||||
Mortgage Loan | per annum | ||||||||||||||||
Primrose I Communities; | 4.11% | Monthly principal and interest payments based on a 30-year amortization schedule | 9/1/22 | 53,060 | 54,031 | ||||||||||||
Mortgage Loan (4) | per annum | ||||||||||||||||
Watercrest at Mansfield; | 4.68% | Monthly principal and interest payments based on a total payment | 6/1/23 | 27,073 | — | ||||||||||||
Mortgage Loan (5) | per annum | of $143,330 | |||||||||||||||
LaPorte Cancer Center; | 4.25% | Monthly principal and interest payments based on a 25-year amortization schedule | 6/14/28 | 8,220 | 8,419 | ||||||||||||
Mortgage Loan | per annum | ||||||||||||||||
(through 2020) | |||||||||||||||||
Total fixed rate debt | 370,854 | 290,817 | |||||||||||||||
Perennial Communities; | 30-day LIBOR | Monthly interest only payments through April 2015; principal and interest payments thereafter based | 5/31/16 | 30,000 | 30,000 | ||||||||||||
Mortgage Loan (6) | plus 4.25% | on a 25-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Medical Portfolio I Properties; | 30-day LIBOR | Monthly principal and interest payments based on a 30-year amortization schedule | 9/5/16 | 34,720 | 35,512 | ||||||||||||
Mortgage Loan (7) | plus 2.65% | ||||||||||||||||
per annum | |||||||||||||||||
Lee Hughes Medical Building; | 30-day LIBOR | Monthly principal and interest payments based on a 30-year amortization schedule | 9/5/16 | 19,162 | — | ||||||||||||
Mortgage Loan | plus 1.85% | ||||||||||||||||
per annum | |||||||||||||||||
Harborchase of Villages Crossing; | 30-day LIBOR | Monthly interest only payments through August 2015; principal and interest payments thereafter based | 9/1/17 | 16,589 | 13,130 | ||||||||||||
Construction Loan | plus 3.20% | on a 30-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Raider Ranch Development; | 30-day LIBOR | Monthly interest only payments through October 2017; principal and interest payments thereafter based | 10/27/17 | 1 | — | ||||||||||||
Construction Loan | with 0.5% floor plus 3.50% | on a 25-year amortization schedule | |||||||||||||||
Interest Rate at | |||||||||||||||||
December 31, | Maturity | December 31, | |||||||||||||||
Property and Loan Type | 2014(1) | Payment Terms | Date (2) | 2014 | 2013 | ||||||||||||
Northwest Medical Park; | 30-day LIBOR | Monthly principal and interest payments based on a 25-year amortization schedule | 10/31/17 | $ | 7,129 | $ | — | ||||||||||
Mortgage Loan (8) | plus 2.30% | ||||||||||||||||
per annum | |||||||||||||||||
Dogwood Forest of Acworth; | 30-day LIBOR | Monthly interest only payments through December 2015; principal and interest payments thereafter based on a 30-year amortization schedule | 1/1/18 | 12,038 | 3,765 | ||||||||||||
Construction Loan | plus 3.20% | ||||||||||||||||
per annum | |||||||||||||||||
Claremont Medical Office; | 30-day LIBOR | Monthly principal and interest payments based on a 30-year amortization schedule | 1/15/18 | 12,958 | — | ||||||||||||
Mortgage Loan (9) | plus 2.60% | ||||||||||||||||
per annum | |||||||||||||||||
Knoxville Medical Office Properties; | 30-day LIBOR | Monthly interest only payments for the first 18 months; principal and interest payments thereafter based | 7/10/18 | 38,609 | 38,609 | ||||||||||||
Mortgage Loan (10) | plus 2.50% | on a 30-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Calvert Medical Office Properties; | 30-day LIBOR | Monthly interest only payments for the first 18 months; principal and interest payments thereafter based | 8/29/18 | 26,274 | 26,274 | ||||||||||||
Mortgage Loan (11) | plus 2.50% | on a 30-year amortization schedule | |||||||||||||||
per annum | |||||||||||||||||
Wellmore of Tega Cay; | 30-day LIBOR | Monthly interest only payments through February 2019; principal and interest payments thereafter based on a 25-year amortization schedule | 2/6/19 | 8,007 | — | ||||||||||||
Construction Loan | with 0.5% floor | ||||||||||||||||
plus 5.4% | |||||||||||||||||
HOSH and HOSH MOB; | 90-day LIBOR | Monthly principal and interest payments based on a 20-year amortization schedule | 6/2/19 | 49,624 | — | ||||||||||||
Mortgage Loan (12) | with 0.4% floor | ||||||||||||||||
plus 2.85% | |||||||||||||||||
Medical Portfolio II Properties; | 90-day LIBOR | Monthly principal and interest payments based on a 25-year amortization schedule | 7/14/19 | 85,127 | — | ||||||||||||
Mortgage Loan (13) | with 0.25% floor plus 2.35% | ||||||||||||||||
Southeast Medical Office Properties; | 30-day LIBOR | Monthly principal and interest payments based on a 25-year amortization schedule | 12/22/19 | 142,684 | — | ||||||||||||
Mortgage Loan (14) | plus 2.0% | ||||||||||||||||
per annum | |||||||||||||||||
Total variable rate debt | 482,922 | 147,290 | |||||||||||||||
Total debt | $ | 853,776 | $ | 438,107 | |||||||||||||
FOOTNOTES: | |||||||||||||||||
-1 | The 30-day and 90-day LIBOR was approximately 0.17% and 0.25%, respectively, as of December 31, 2014 and approximately 0.16% and 0.24%, respectively, as of December 31, 2013. | ||||||||||||||||
-2 | Represents the initial maturity date (or, as applicable, the maturity date as extended). The maturity date may be extended beyond the date shown subject to certain lender conditions. | ||||||||||||||||
-3 | The Pacific Northwest Loan may be prepaid, in whole or in part, with a prepayment premium equal to the greater of: (i) one percent (1%) of the principal amount being prepaid, multiplied by the quotient of the number of full months remaining until the maturity date of the loan (calculated as of the prepayment date) divided by the number of full months comprising the term of the loan; or (b) a “make-whole” payment equal to the present value of the loan less the amount of principal and accrued interest being prepaid calculated as of the prepayment date for the period between that date and the maturity date. | ||||||||||||||||
-4 | If prepaid prior to March 1, 2022, the Primrose I Communities Mortgage Loan is subject to a prepayment penalty in an amount equal to the greater of (i) 1% of the principal being repaid, or (ii) an amount calculated on the principal being repaid, multiplied by the difference between the Primrose I Communities Mortgage Loan interest rate, and a calculated yield rate tied to the rates on applicable U.S. Treasuries. If prepayment is made between March 1, 2022, and May 31, 2022, the prepayment penalty will be 1% of the outstanding principal balance of the Primrose I Communities Mortgage Loan. No prepayment fee is required if the Primrose I Communities Mortgage Loan is prepaid between June 1, 2022 and maturity. Partial prepayment of a loan is not permitted. The loan is transferable upon sale of the assets subject to lender approval. | ||||||||||||||||
-5 | The balance for this loan excludes a premium of $0.4 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. | ||||||||||||||||
-6 | The Company entered into a two-year forward interest rate swap with a notional amount of $30 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-7 | The Company entered into a two-year forward interest rate swap with a notional amount of $30 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-8 | The Company entered into a three-year interest rate swap with a notional amount of $7.1 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-9 | The balance for this loan excludes a discount of $0.6 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. In addition, the Company entered into a three-year forward interest rate swap with a notional amount of $12.4 million; see Note 12, “Derivative Financial Instruments” for additional information | ||||||||||||||||
-10 | The Company entered into a three-year forward interest rate swap with a notional amount of $38.3 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-11 | The Company entered into a three-year forward interest rate swap with a notional amount of $26.1 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-12 | The Company entered into a three-year forward interest rate swap with a notional amount of $48.4 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-13 | The Company entered into a four-year forward interest rate swap with a notional amount of $84.3 million; see Note 12, “Derivative Financial Instruments” for additional information. | ||||||||||||||||
-14 | In January 2015, the Company entered into a four-year forward interest rate swap with a notional amount of $138.7 million; see Note 16, “Subsequent Events” for further information. | ||||||||||||||||
Schedule of Future Principal Payments and Maturity | The following is a schedule of future principal payments and maturity for the Company’s borrowings as of December 31, 2014 (in thousands): | ||||||||||||||||
2015 | $ | 17,693 | |||||||||||||||
2016 | 99,609 | ||||||||||||||||
2017 | 65,380 | ||||||||||||||||
2018 | 296,723 | ||||||||||||||||
2019 | 444,136 | ||||||||||||||||
Thereafter | 136,423 | ||||||||||||||||
$ | 1,059,964 | ||||||||||||||||
Related_Party_Arrangements_Tab
Related Party Arrangements (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Related Parties | |||||||||||||||||||||
Related Party Arrangement, Fees and Expenses Incurred By, Reimbursible, Foregone and Related Amounts Unpaid | The expenses and fees incurred by and reimbursable to the Company’s related parties for the years ended December 31, 2014, 2013 and 2012, and related amounts unpaid as of December 31, 2014 and 2013 are as follows (in thousands): | ||||||||||||||||||||
Unpaid amounts (1) | |||||||||||||||||||||
Years Ended December 31, | as of December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | |||||||||||||||||
Reimbursable expenses: | |||||||||||||||||||||
Offering costs (2) | $ | 5,151 | $ | 4,373 | $ | 6,867 | $ | 713 | $ | 612 | |||||||||||
Operating expenses (3) | 3,206 | 2,576 | 1,506 | 479 | 915 | ||||||||||||||||
Acquisition fees and expenses | 614 | 254 | 269 | 80 | 138 | ||||||||||||||||
8,971 | 7,203 | 8,642 | 1,272 | 1,665 | |||||||||||||||||
Investment services fees (4) | 18,553 | 12,892 | 7,673 | — | — | ||||||||||||||||
Disposition fee (5) | — | 608 | — | — | — | ||||||||||||||||
Financing coordination fees (6) | 220 | — | 552 | — | — | ||||||||||||||||
Property management fees (7) | 2,982 | 1,244 | 452 | 429 | 322 | ||||||||||||||||
Asset management fees (8) | 13,612 | 5,089 | 1,380 | 355 | 894 | ||||||||||||||||
Interest reserve and other advances (9) | — | — | — | — | 286 | ||||||||||||||||
$ | 44,338 | $ | 27,036 | $ | 18,699 | $ | 2,056 | $ | 3,167 | ||||||||||||
FOOTNOTES: | |||||||||||||||||||||
(1) | Amounts are recorded as due to related parties in the accompanying consolidated balance sheets. | ||||||||||||||||||||
(2) | Amounts are recorded as stock issuance and offering costs in the accompanying consolidated statements of stockholders’ equity and redeemable noncontrolling interest. Amounts include approximately $30,000, $0.1 million and $0 of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | ||||||||||||||||||||
(3) | Amounts are recorded as general and administrative expenses in the accompanying consolidated statements of operations. Amounts include approximately $0.2 million, $0.2 million and $0.1 million of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | ||||||||||||||||||||
(4) | For the year ended December 31, 2014, the Company incurred approximately $18.6 million in investment services fees of which approximately $1.8 million, was capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2013, the Company incurred approximately $12.9 million in investment service fees of which approximately $0.5 million and $0.1 million, respectively, were capitalized and included in investments in unconsolidated entities and real estate under development. For the year ended December 31, 2012, the Company incurred approximately $7.7 million in investment services fees of which approximately $2.9 million and $0.6 million, respectively, were capitalized and included in investments in unconsolidated entities and properties held for development. Investment service fees, that are not capitalized, are recorded as acquisition fees and expenses in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(5) | Amounts are recorded as a reduction to gain on sale of investment in unconsolidated entity in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(6) | For the year ended December 31, 2014, the Company incurred approximately $0.2 million in financing coordination fees, which was capitalized and included in its investment in the Windsor Manor Joint Venture. There were no financing coordination fees for the year ended December 31, 2013. For the year ended December 31, 2012, the Company incurred approximately $0.5 million in financing coordination fees, which was capitalized as loan costs in the accompanying consolidated balance sheets. | ||||||||||||||||||||
(7) | For the years ended December 31, 2014, 2013 and 2012, the Company incurred approximately $2.9 million, $1.2 million and $0.1 million, respectively, in property and construction management fees payable to the Property Manager of which approximately $0.9 million, $0.2 million and $0.1 million, respectively, in construction management fees were capitalized and included in real estate under development in the accompanying consolidated balance sheets. | ||||||||||||||||||||
(8) | For the years ended December 31, 2014 and 2013, the Company incurred approximately $13.6 million and $5.1 million, respectively, in asset management fees payable to the Advisor of which approximately $4.9 million and $1.4 million, respectively, were forgone in accordance with the terms of the Advisor Expense Support Agreement and approximately $0.3 million and $0.1 million, respectively, were capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2012, the Company incurred approximately $1.4 million in asset management fees payable to the Advisor, of which approximately eleven thousand dollars was capitalized and included in real estate under development. | ||||||||||||||||||||
(9) | Amount primarily consists of an interest reserve account related to the ADC Loan originated in June 2013. | ||||||||||||||||||||
Public Offering | Advisor | |||||||||||||||||||||
Related Party Arrangement, Fees and Expenses Incurred By, Reimbursible, Foregone and Related Amounts Unpaid | The fees incurred by and reimbursable to the Advisor in connection with the Company’s Offerings for the years ended December 31, 2014, 2013 and 2012, and related amounts unpaid as of December 31, 2014 and 2013 are as follows (in thousands): | ||||||||||||||||||||
Unpaid amounts (1) | |||||||||||||||||||||
Years Ended December 31, | as of December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | |||||||||||||||||
Selling commissions (2) | $ | 18,387 | $ | 10,262 | $ | 7,070 | $ | 388 | $ | 71 | |||||||||||
Marketing support fees (2) | 16,429 | 11,310 | 4,957 | 555 | 70 | ||||||||||||||||
$ | 34,816 | $ | 21,572 | $ | 12,027 | $ | 943 | $ | 141 | ||||||||||||
Expense Support Agreements | |||||||||||||||||||||
Related Party Arrangement, Fees and Expenses Incurred By, Reimbursible, Foregone and Related Amounts Unpaid | The following fees were foregone in connection with the Expense Support Agreements for the years ended December 31, 2014, 2013 and 2012, and cumulatively as of December 31, 2014 (in thousands, except offering price): | ||||||||||||||||||||
Years Ended | As of | ||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | ||||||||||||||||||
Asset management fees (1) | $ | 4,867 | $ | 1,402 | $ | — | $ | 6,269 | |||||||||||||
Then-current offering price (2) | $ | 10.24 | $ | 10 | $ | — | $ | 10.58 | |||||||||||||
Restricted stock shares (3) | 478 | 140 | — | 618 | |||||||||||||||||
Cash distributions on Restricted Stock (4) | $ | 98 | $ | 5 | $ | — | $ | 103 | |||||||||||||
Stock distributions on Restricted Stock (5) | 7 | — | (6) | — | 7 | ||||||||||||||||
FOOTNOTES: | |||||||||||||||||||||
(1) | No other amounts have been forgone in connection with the Expense Support Agreements for the years ended December 31, 2014, 2013 and 2012, and cumulatively as of December 31, 2014. | ||||||||||||||||||||
(2) | The then-current offering prices are based on the Company’s NAV per share at the date in which the expense support amounts were ultimately settled under the Expense Support Agreements. | ||||||||||||||||||||
(3) | Restricted stock shares are comprised of approximately 0.5 million issued to the Advisor and approximately 0.1 million issuable to the Advisor as of December 31, 2014. Since the vesting conditions were not met through December 31, 2014, no fair value was assigned to the restricted stock shares as the shares were valued at zero, which represents the lowest possible value estimated at vesting. In addition, the restricted stock shares were treated as unissued for financial reporting purposes because the vesting criteria had not been met as of December 31, 2014. | ||||||||||||||||||||
(4) | The cash distributions have been recognized as compensation expense as issued and included in general and administrative expense in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(5) | This represents the number of shares issued to the Advisor as stock distributions on its restricted stock shares. The par value of the stock distributions has been recognized as compensation expense as issued and included in general and administrative expense in the accompanying consolidated statements of operations. | ||||||||||||||||||||
(6) | During the year ended December 31, 2013, the Advisor received 356 shares in the form of stock distributions under the terms of the Advisor Expense Support Agreement. |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||
Summary of Gross and Net Amounts of Derivative Financial Instruments Presented in Condensed Consolidated Balance Sheet | The following table summarizes the terms of the derivative financial instruments held by the Company or through its joint venture and the asset (liability) that has been recorded (in thousands): | ||||||||||||||||||||||||||
Fair value | |||||||||||||||||||||||||||
asset (liability) as of | |||||||||||||||||||||||||||
Notional | Strike (1) | Credit | Trade | Forward | Maturity | December 31, | December 31, | ||||||||||||||||||||
Amount | Spread (1) | date | date | date | 2014 | 2013 | |||||||||||||||||||||
$ | 12,421 | (2) | 1.3 | % | 2.6 | % | 1/17/13 | 1/15/15 | 1/16/18 | $ | (71 | ) | $ | 83 | |||||||||||||
$ | 38,255 | (2) | 2.7 | % | 2.5 | % | 9/6/13 | 8/17/15 | 7/10/18 | $ | (1,228 | ) | $ | (590 | ) | ||||||||||||
$ | 26,067 | (2) | 2.8 | % | 2.5 | % | 9/6/13 | 8/17/15 | 8/29/18 | $ | (906 | ) | $ | (435 | ) | ||||||||||||
$ | 30,000 | (2) | 1.1 | % | 2.7 | % | 10/22/13 | 8/5/15 | 8/19/16 | $ | (82 | ) | $ | (10 | ) | ||||||||||||
$ | 29,952 | (2) | 0.9 | % | 4.3 | % | 11/13/13 | 5/11/15 | 5/31/16 | $ | (74 | ) | $ | (8 | ) | ||||||||||||
$ | 11,000 | (3) | 3 | % | — | % | 6/27/14 | 6/30/14 | 6/30/17 | $ | 10 | $ | — | ||||||||||||||
$ | 48,415 | (2) | 2.4 | % | 2.9 | % | 8/15/14 | 6/1/16 | 6/2/19 | $ | (270 | ) | $ | — | |||||||||||||
$ | 84,251 | (2) | 2.3 | % | 2.4 | % | 9/12/14 | 8/1/15 | 7/15/19 | $ | (1,326 | ) | $ | — | |||||||||||||
$ | 7,129 | (2) | 1.2 | % | 2.3 | % | 11/12/14 | 11/15/14 | 10/15/17 | $ | (35 | ) | $ | — | |||||||||||||
$ | 175,000 | (2) | 1.6 | % | 2 | % | 12/23/14 | 12/19/14 | 2/19/19 | $ | (881 | ) | $ | — | |||||||||||||
FOOTNOTES: | |||||||||||||||||||||||||||
(1) | The all-in rates are equal to the sum of the Strike and Credit Spread detailed above. | ||||||||||||||||||||||||||
(2) | Amounts related to interest rate swaps held by the Company, or its equity method investments, which are recorded at fair value and included in either other assets or other liabilities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||
(3) | Amounts related to the interest rate cap held by the Windsor Manor Joint Venture for which the proportionate amounts of fair value relative to the Company’s ownership percentage are included in investments in unconsolidated entities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||
Interest Rate Swap and Proportion of Fair Value Relative to Company's Ownership Percentage | The following tables summarize the gross and net amounts of the Company’s derivative financial instruments as presented in the accompanying consolidated balance sheets as of December 31, 2014 (in thousands): | ||||||||||||||||||||||||||
Gross and net amounts of asset (liability) | Gross amounts | ||||||||||||||||||||||||||
as of December 31, 2014 | as of December 31, 2014 | ||||||||||||||||||||||||||
Notional | Gross | Offset | Net | Financial | Cash | Net | |||||||||||||||||||||
amount | amount | amount | amount | Instruments | Collateral | Amount | |||||||||||||||||||||
$ | 12,421 | (2) | $ | (71 | ) | $ | — | $ | (71 | ) | $ | (71 | ) | $ | — | $ | (71 | ) | |||||||||
$ | 38,255 | (2) | $ | (1,228 | ) | $ | — | $ | (1,228 | ) | $ | (1,228 | ) | $ | — | $ | (1,228 | ) | |||||||||
$ | 26,067 | (2) | $ | (906 | ) | $ | — | $ | (906 | ) | $ | (906 | ) | $ | — | $ | (906 | ) | |||||||||
$ | 30,000 | (2) | $ | (82 | ) | $ | — | $ | (82 | ) | $ | (82 | ) | $ | — | $ | (82 | ) | |||||||||
$ | 29,952 | (2) | $ | (74 | ) | $ | — | $ | (74 | ) | $ | (74 | ) | $ | — | $ | (74 | ) | |||||||||
$ | 11,000 | (3) | $ | 10 | $ | — | $ | 10 | $ | 10 | $ | — | $ | 10 | |||||||||||||
$ | 48,415 | (2) | $ | (270 | ) | $ | — | $ | (270 | ) | $ | (270 | ) | $ | — | $ | (270 | ) | |||||||||
$ | 84,251 | (2) | $ | (1,326 | ) | $ | — | $ | (1,326 | ) | $ | (1,326 | ) | $ | — | $ | (1,326 | ) | |||||||||
$ | 7,129 | (2) | $ | (35 | ) | $ | — | $ | (35 | ) | $ | (35 | ) | $ | — | $ | (35 | ) | |||||||||
$ | 175,000 | (2) | $ | (881 | ) | $ | — | $ | (881 | ) | $ | (881 | ) | $ | — | $ | (881 | ) | |||||||||
The following tables summarize the gross and net amounts of the Company’s derivative financial instruments as presented in the accompanying consolidated balance sheets as of December 31, 2013 (in thousands): | |||||||||||||||||||||||||||
Gross and net amounts of asset (liability) | Gross amounts | ||||||||||||||||||||||||||
as of December 31, 2013 | as of December 31, 2013 | ||||||||||||||||||||||||||
Notional | Gross | Offset | Net | Financial | Cash | Net | |||||||||||||||||||||
amount | amount | amount | amount | Instruments | Collateral | Amount | |||||||||||||||||||||
$ | 12,421 | (2) | $ | 83 | $ | — | $ | 83 | $ | 83 | $ | — | $ | 83 | |||||||||||||
$ | 38,255 | (2) | $ | (590 | ) | $ | — | $ | (590 | ) | $ | (590 | ) | $ | — | $ | (590 | ) | |||||||||
$ | 26,067 | (2) | $ | (435 | ) | $ | — | $ | (435 | ) | $ | (435 | ) | $ | — | $ | (435 | ) | |||||||||
$ | 30,000 | (2) | $ | (10 | ) | $ | — | $ | (10 | ) | $ | (10 | ) | $ | — | $ | (10 | ) | |||||||||
$ | 29,952 | (2) | $ | (8 | ) | $ | — | $ | (8 | ) | $ | (8 | ) | $ | — | $ | (8 | ) | |||||||||
$ | 11,000 | (3) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 48,415 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 84,251 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 7,129 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
$ | 175,000 | (2) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||
FOOTNOTES: | |||||||||||||||||||||||||||
(1) | The all-in rates are equal to the sum of the Strike and Credit Spread detailed above. | ||||||||||||||||||||||||||
(2) | Amounts related to interest rate swaps held by the Company, or its equity method investments, which are recorded at fair value and included in either other assets or other liabilities in the accompanying consolidated balance sheets. | ||||||||||||||||||||||||||
(3) | Amounts related to the interest rate cap held by the Windsor Manor Joint Venture for which the proportionate amounts of fair value relative to the Company’s ownership percentage are included in investments in unconsolidated entities in the accompanying consolidated balance sheets. |
Equity_Tables
Equity (Tables) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||
Tax Composition of Company's Distributions Declared | The tax composition of the Company’s distributions declared for the years ended December 31, 2014, 2013 and 2012 were as follows: | ||||||||||||||||||
December 31, | |||||||||||||||||||
Distribution Type | 2014 | 2013 | 2012 | ||||||||||||||||
Taxable as ordinary income | 30.8 | % | 0 | % | 0 | % | |||||||||||||
Taxable as capital gain | 0 | % | 63.8 | % | 0 | % | |||||||||||||
Return of capital | 69.2 | % | 36.2 | % | 100 | % | |||||||||||||
Effect of Derivative Financial Instruments | The following table reflects the effect of derivative financial instruments held by Company, or its equity method investments, and included in the consolidated statements of comprehensive loss for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||
Derivative Financial | Gain (loss) recognized | Location of gain (loss) | Gain (loss) reclassified | ||||||||||||||||
Instrument | in other | reclassified into earnings | from AOCI into earnings | ||||||||||||||||
comprehensive loss | (Effective Portion) | (Effective Portion) | |||||||||||||||||
on derivative financial | |||||||||||||||||||
instrument | |||||||||||||||||||
(Effective Portion) | |||||||||||||||||||
Years Ended | Years Ended | ||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Interest rate swaps | $ | (3,915 | ) | $ | (1,042 | ) | Interest expense and | $ | (98 | ) | $ | — | |||||||
loan cost amortization | |||||||||||||||||||
Interest rate cap held by unconsolidated joint venture | 10 | — | Not applicable | — | — | ||||||||||||||
Interest rate swap held by unconsolidated joint venture | — | 83 | Not applicable | — | — | ||||||||||||||
Total | $ | (3,905 | ) | $ | (959 | ) | $ | (98 | ) | $ | — | ||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Components of Income Tax Benefit (Expense) | The components of the income tax benefit (expense) for the years ended December 31, 2014, 2013 and 2012 were as follows (in thousands): | ||||||||||||||||||||||||
Years Ended | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||||
Federal | $ | — | $ | 13 | $ | (13 | ) | ||||||||||||||||||
State | (361 | ) | — | (1 | ) | ||||||||||||||||||||
Total current benefit (expense) | (361 | ) | 13 | (14 | ) | ||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||
Federal | — | (25 | ) | 25 | |||||||||||||||||||||
State | — | (6 | ) | 6 | |||||||||||||||||||||
Total deferred benefit (expense) | — | (31 | ) | 31 | |||||||||||||||||||||
Income tax benefit (expense) | $ | (361 | ) | $ | (18 | ) | $ | 17 | |||||||||||||||||
Significant Components of Deferred Tax Assets | Significant components of the Company’s deferred tax assets as of years ended December 31, 2014 and 2013 are as follows: | ||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||
Carryforwards of net operating loss | $ | 2,361 | $ | 284 | |||||||||||||||||||||
Prepaid rent | 437 | 313 | |||||||||||||||||||||||
Valuation allowance | (2,798 | ) | (597 | ) | |||||||||||||||||||||
Net deferred tax assets | $ | — | $ | — | |||||||||||||||||||||
Reconciliation of Income Tax Benefit (Expense) | A reconciliation of the income tax benefit (expense) computed at the statutory federal tax rate on income before income taxes is as follows (in thousands): | ||||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Tax expense computed at federal statutory rate | $ | (18,253 | ) | (35.00 | )% | $ | (6,329 | ) | (35.00 | )% | $ | (3,758 | ) | (35.00 | )% | ||||||||||
Benefit of REIT election | 18,253 | 35 | % | 6,344 | 35.08 | % | 3,746 | 34.89 | % | ||||||||||||||||
State income tax expense | 361 | 0.69 | % | 3 | 0.02 | % | (5 | ) | (0.05 | )% | |||||||||||||||
Income tax expense | $ | 361 | 0.69 | % | $ | 18 | 0.1 | % | $ | (17 | ) | (0.16 | )% | ||||||||||||
Concentration_of_Credit_Risk_T
Concentration of Credit Risk (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Tenants that Individually Accounted for 10% or More of Total Revenues or Assets | As of December 31, 2014 and December 31, 2013 and for the years ended December 31, 2014, 2013 and 2012 the Company had the following tenants that individually accounted for 10% or more of total revenues or assets: | ||||||||||||||||||||
Percentage of Total Revenues (1) | Percentage of Total Assets (2) | ||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | |||||||||||||||||
TSMM Management (“TSMM”); tenant of the Primrose Communities | 7.7 | % | 26.5 | % | 93.8 | % | 7.6 | % | 15.3 | % | |||||||||||
FOOTNOTES: | |||||||||||||||||||||
(1) | Includes contractual rental income from operating leases, capital reserve income, straight-line rent adjustments, and amortization of lease intangibles. | ||||||||||||||||||||
(2) | Represents net book value of real estate assets and lease intangibles associated with the property leased by the respective tenant as of the end of the period presented as a percentage of total assets. |
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Quarterly Financial Data | The following table presents selected unaudited quarterly financial data for the years ended December 31, 2014 and 2013 (in thousands, except per share data): | ||||||||||||||||||||
2014 Quarters | First | Second | Third | Fourth | Full Year | ||||||||||||||||
Total revenues | $ | 33,275 | $ | 42,464 | $ | 49,660 | $ | 55,685 | $ | 181,084 | |||||||||||
Operating loss | (7,375 | ) | (3,381 | ) | (6,243 | ) | (6,179 | ) | (23,178 | ) | |||||||||||
Net loss attributable to common shareholders | (12,523 | ) | (12,303 | ) | (12,204 | ) | (15,481 | ) | (52,511 | ) | |||||||||||
Weighted average number of shares outstanding | 65,273 | 75,173 | 87,344 | 105,452 | 83,457 | ||||||||||||||||
(basic and diluted) (1) | |||||||||||||||||||||
Loss per share of common stock | $ | (0.19 | ) | $ | (0.16 | ) | $ | (0.14 | ) | $ | (0.15 | ) | $ | (0.63 | ) | ||||||
(basic and diluted) | |||||||||||||||||||||
2013 Quarters | First | Second | Third | Fourth | Full Year | ||||||||||||||||
Total revenues | $ | 7,802 | $ | 8,609 | $ | 14,772 | $ | 21,422 | $ | 52,605 | |||||||||||
Operating loss | (866 | ) | (2,302 | ) | (5,307 | ) | (5,515 | ) | (13,990 | ) | |||||||||||
Net loss attributable to common shareholders | (3,809 | ) | (2,830 | ) | (2,305 | ) | (9,156 | ) | (18,100 | ) | |||||||||||
Weighted average number of shares outstanding | 26,604 | 34,801 | 46,130 | 56,828 | 41,197 | ||||||||||||||||
(basic and diluted) (1) | |||||||||||||||||||||
Loss per share of common stock | $ | (0.14 | ) | $ | (0.08 | ) | $ | (0.05 | ) | $ | (0.16 | ) | $ | (0.44 | ) | ||||||
(basic and diluted) | |||||||||||||||||||||
FOOTNOTE: | |||||||||||||||||||||
(1) | For the purposes of determining the weighted average number of shares of common stock outstanding, stock distributions issued are treated as if they were outstanding for all periods presented. |
Subsequent_Events_Tables
Subsequent Events (Tables) | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Preliminary Allocation of Purchase Price for Properties and Estimated Fair Values of Assets Acquired | The following summarizes the Company’s preliminary allocation of the purchase price for the above property, and the estimated fair values of the assets acquired (in thousands): | ||||
Land and land improvements | $ | 419 | |||
Buildings and building improvements | 27,660 | ||||
Intangibles (1) | 6,000 | ||||
Other liabilities | (419 | ) | |||
Net assets acquired | $ | 33,660 | |||
FOOTNOTE: | |||||
-1 | The acquired lease intangibles were comprised of approximately $4.5 million and $1.5 million of in-place lease intangibles and other lease intangibles, respectively. At the acquisition date, the weighted-average amortization periods on these acquired lease intangibles were approximately 11.6 years and 39.0 years, respectively. |
Organization_Additional_Inform
Organization - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
CNL properties Trust, Inc. organized date | 8-Jun-10 |
Follow-On Offering | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Maximum expected date to sell shares of common stock | 31-Dec-15 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Interest expense and loan cost amortization | $31,500,000 | $11,500,000 |
Capitalized amount of interest | 1,000,000 | 700,000 |
Accumulated amortization of loan costs | 4,300,000 | 2,500,000 |
Annualized return of investment | 6.00% | |
Distributions to promoted interest holders | $2,000,000 | $2,000,000 |
Lease, initial term | 3 months | |
Lease termination, notice period | 30 days | |
Building and Building Improvements | Maximum | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Real estate assets, estimated useful life | 39 years | |
Building and Building Improvements | Minimum | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Real estate assets, estimated useful life | 15 years |
Acquisition_Fees_and_Expenses_
Acquisition Fees and Expenses (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Business Acquisition, Acquisition Related Costs [Line Items] | |||
Acquisition costs expensed | $23,931,000 | $18,840,000 | $6,585,000 |
Acquisition-related Costs | |||
Business Acquisition, Acquisition Related Costs [Line Items] | |||
Capitalized as real estate under development | 3,400,000 | 100,000 | 700,000 |
Capitalized as investment in unconsolidated entities | 500,000 | 3,300,000 | |
Capitalized as origination costs to the note receivable | 100,000 | ||
Acquisition costs expensed | 23,900,000 | 18,800,000 | 6,600,000 |
Total acquisition costs incurred | $27,300,000 | $19,500,000 | $10,600,000 |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||
Jul. 31, 2014 | Jun. 30, 2014 | Feb. 28, 2014 | Aug. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2014 | Feb. 28, 2015 | Jan. 31, 2013 | |
Property | Property | ||||||||
Business Acquisition [Line Items] | |||||||||
Number of properties acquired | 35 | 38 | |||||||
Revenues attributable to properties | $55,000,000 | $19,400,000 | |||||||
Net income (loss) attributable to properties | 24,300,000 | 15,800,000 | |||||||
Purchase Price | 905,282,000 | 655,924,000 | |||||||
Purchase price of land | 2,200,000 | 4,000,000 | 2,800,000 | 3,000,000 | 1,800,000 | ||||
Maximum development budget | 25,600,000 | 38,200,000 | 35,600,000 | 16,200,000 | |||||
Percentage of membership interest acquired | 95.00% | ||||||||
Land and land improvements | 1,100,000 | 60,565,000 | 39,834,000 | ||||||
Co-venture partner's interest in the acquired business | 5.00% | ||||||||
Senior Housing | |||||||||
Business Acquisition [Line Items] | |||||||||
Number of properties acquired | 14 | 15 | |||||||
Medical Office | |||||||||
Business Acquisition [Line Items] | |||||||||
Number of properties acquired | 15 | 16 | |||||||
Acute Care Hospital | |||||||||
Business Acquisition [Line Items] | |||||||||
Number of properties acquired | 3 | 1 | |||||||
Post-acute Care Facilities | |||||||||
Business Acquisition [Line Items] | |||||||||
Number of properties acquired | 6 | ||||||||
Montecito Joint Venture | |||||||||
Business Acquisition [Line Items] | |||||||||
Percentage of membership interest acquired | 100.00% | 90.00% | |||||||
Land and land improvements | 6,324,000 | ||||||||
Capital of joint venture | 7,000,000 | ||||||||
Co-venture partner's interest in the acquired business | 10.00% | ||||||||
Acquisition of co-venture partner's membership interest | 10.00% | ||||||||
Payment to acquire interest in joint ventures | 1,600,000 | ||||||||
Previous investment in Montecito Joint Venture | 5,747,000 | 5,700,000 | |||||||
Gain from change of control in equity method investment | 2,800,000 | ||||||||
Subsequent Event | |||||||||
Business Acquisition [Line Items] | |||||||||
Land and land improvements | 419,000 | ||||||||
Subsequent Event | UT Cancer Institute | |||||||||
Business Acquisition [Line Items] | |||||||||
Purchase Price | $33,700,000 |
Acquisitions_of_Properties_Det
Acquisitions of Properties (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | |
Business Acquisition [Line Items] | |||
Purchase Price | $905,282 | $655,924 | |
Houston Orthopedic & Spine Hospital | |||
Business Acquisition [Line Items] | |||
Location | Bellaire, TX ("Houston") | ||
Structure | Triple-net Lease | ||
Date Acquired | 2-Jun-14 | ||
Purchase Price | 49,000 | ||
Hurst Specialty Hospital | |||
Business Acquisition [Line Items] | |||
Location | Hurst, TX ("Dallas/Fort Worth") | ||
Structure | Modified Lease | ||
Date Acquired | 15-Aug-14 | ||
Purchase Price | 29,465 | ||
Beaumont Specialty Hospital | |||
Business Acquisition [Line Items] | |||
Location | Beaumont, TX ("Houston") | ||
Structure | Modified Lease | ||
Date Acquired | 15-Aug-14 | ||
Purchase Price | 33,600 | ||
Chula Vista Medical Arts Center - Plaza I | |||
Business Acquisition [Line Items] | |||
Location | Chula Vista, CA ("San Diego") | ||
Structure | Modified Lease | ||
Date Acquired | 21-Jan-14 | ||
Purchase Price | 17,863 | [1] | |
Houston Orthopedic & Spine Hospital Medical Office Building | |||
Business Acquisition [Line Items] | |||
Location | Bellaire, TX ("Houston") | ||
Structure | Modified Lease | ||
Date Acquired | 2-Jun-14 | ||
Purchase Price | 27,000 | ||
Lee Hughes Medical Building | |||
Business Acquisition [Line Items] | |||
Location | Glendale, CA ("Los Angeles") | ||
Structure | Modified Lease | ||
Date Acquired | 29-Sep-14 | ||
Purchase Price | 29,870 | [1] | |
Northwest Medical Park | |||
Business Acquisition [Line Items] | |||
Location | Margate, FL ("Fort Lauderdale" | ||
Structure | Modified Lease | ||
Date Acquired | 31-Oct-14 | ||
Purchase Price | 10,804 | [1] | |
Newburyport Medical Center | |||
Business Acquisition [Line Items] | |||
Location | Newburyport, MA ("Boston") | ||
Structure | Modified Lease | ||
Date Acquired | 31-Oct-14 | ||
Purchase Price | 18,000 | [1] | |
ProMed Medical Building I | |||
Business Acquisition [Line Items] | |||
Location | Yuma, AZ | ||
Structure | Modified Lease | ||
Date Acquired | 19-Dec-14 | ||
Purchase Price | 11,000 | [1] | |
Midtown Medical Plaza | |||
Business Acquisition [Line Items] | |||
Location | Charlotte, NC | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 54,695 | ||
Presbyterian Medical Tower | |||
Business Acquisition [Line Items] | |||
Location | Charlotte, NC | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 36,333 | ||
Metroview Professional Building | |||
Business Acquisition [Line Items] | |||
Location | Charlotte, NC | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 17,262 | ||
Physicians Plaza Huntersville | |||
Business Acquisition [Line Items] | |||
Location | Huntersville, NC ("Charlotte") | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 29,964 | ||
Matthews Medical Office Building | |||
Business Acquisition [Line Items] | |||
Location | Matthews, NC ("Charlotte") | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 21,227 | ||
Outpatient Care Center | |||
Business Acquisition [Line Items] | |||
Location | Clyde, NC ("Asheville") | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 15,450 | ||
Clyde, NC ("Asheville") 330 Physicians Center | |||
Business Acquisition [Line Items] | |||
Location | Rome, GA | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 30,099 | ||
Spivey Station Physicians Center | |||
Business Acquisition [Line Items] | |||
Location | Atlanta, GA | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 14,379 | ||
Spivey Station ASC Building | |||
Business Acquisition [Line Items] | |||
Location | Atlanta, GA | ||
Structure | Modified Lease | ||
Date Acquired | 22-Dec-14 | ||
Purchase Price | 18,591 | ||
Oklahoma City Inpatient Rehabilitation Hospital | |||
Business Acquisition [Line Items] | |||
Location | Oklahoma City, OK | ||
Structure | Modified Lease | ||
Date Acquired | 15-Jul-14 | ||
Purchase Price | 25,504 | ||
Las Vegas Inpatient Rehabilitation Hospital | |||
Business Acquisition [Line Items] | |||
Location | Las Vegas, NV | ||
Structure | Modified Lease | ||
Date Acquired | 15-Jul-14 | ||
Purchase Price | 22,292 | ||
South Bend Inpatient Rehabilitation Hospital | |||
Business Acquisition [Line Items] | |||
Location | Mishawaka, IN ("South Bend") | ||
Structure | Modified Lease | ||
Date Acquired | 15-Jul-14 | ||
Purchase Price | 20,240 | ||
Prestige Senior Living Auburn Meadows | |||
Business Acquisition [Line Items] | |||
Location | Auburn, WA ("Seattle") | ||
Structure | Managed | ||
Date Acquired | 3-Feb-14 | ||
Purchase Price | 21,930 | ||
Prestige Senior Living Bridgewood | |||
Business Acquisition [Line Items] | |||
Location | Vancouver, WA ("Portland") | ||
Structure | Managed | ||
Date Acquired | 3-Feb-14 | ||
Purchase Price | 22,096 | ||
Prestige Senior Living Monticello Park | |||
Business Acquisition [Line Items] | |||
Location | Longview, WA | ||
Structure | Managed | ||
Date Acquired | 3-Feb-14 | ||
Purchase Price | 27,360 | ||
Prestige Senior Living Rosemont | |||
Business Acquisition [Line Items] | |||
Location | Yelm, WA | ||
Structure | Managed | ||
Date Acquired | 3-Feb-14 | ||
Purchase Price | 16,877 | ||
Prestige Senior Living West Hills | |||
Business Acquisition [Line Items] | |||
Location | Corvallis, OR | ||
Structure | Managed | ||
Date Acquired | 3-Mar-14 | ||
Purchase Price | 14,986 | ||
Isle at Cedar Ridge | |||
Business Acquisition [Line Items] | |||
Location | Cedar Park, TX ("Austin") | ||
Structure | Managed | ||
Date Acquired | 28-Feb-14 | ||
Purchase Price | 21,630 | ||
HarborChase of Plainfield | |||
Business Acquisition [Line Items] | |||
Location | Plainfield, IL | ||
Structure | Managed | ||
Date Acquired | 28-Mar-14 | ||
Purchase Price | 26,500 | ||
Legacy Ranch Alzheimer's Special Care Center | |||
Business Acquisition [Line Items] | |||
Location | Midland, TX | ||
Structure | Managed | ||
Date Acquired | 28-Mar-14 | ||
Purchase Price | 11,960 | ||
The Springs Alzheimer's Special Care Center | |||
Business Acquisition [Line Items] | |||
Location | San Angelo, TX | ||
Structure | Managed | ||
Date Acquired | 28-Mar-14 | ||
Purchase Price | 10,920 | ||
Isle at Watercrest - Bryan | |||
Business Acquisition [Line Items] | |||
Location | Bryan, TX | ||
Structure | Managed | ||
Date Acquired | 21-Apr-14 | ||
Purchase Price | 22,050 | ||
Watercrest at Bryan | |||
Business Acquisition [Line Items] | |||
Location | Bryan, TX | ||
Structure | Managed | ||
Date Acquired | 21-Apr-14 | ||
Purchase Price | 28,035 | ||
Isle at Watercrest - Mansfield | |||
Business Acquisition [Line Items] | |||
Location | Mansfield, TX ("Dallas/Fort Worth") | ||
Structure | Managed | ||
Date Acquired | 5-May-14 | ||
Purchase Price | 31,300 | ||
Watercrest at Mansfield | |||
Business Acquisition [Line Items] | |||
Location | Mansfield, TX ("Dallas/Fort Worth") | ||
Structure | Managed | ||
Date Acquired | 30-Jun-14 | ||
Purchase Price | 49,000 | ||
Fairfield Village of Layton | |||
Business Acquisition [Line Items] | |||
Location | Layton, UT ("Salt Lake City") | ||
Structure | Managed | ||
Date Acquired | 20-Nov-14 | ||
Purchase Price | 68,000 | ||
Doctors Specialty Hospital | |||
Business Acquisition [Line Items] | |||
Location | Leawood, KS ("Kansas City") | ||
Structure | Modified Lease | ||
Date Acquired | 16-Aug-13 | ||
Purchase Price | 10,003 | ||
LaPorte Cancer Center | |||
Business Acquisition [Line Items] | |||
Location | Westville, IN | ||
Structure | Modified Lease | ||
Date Acquired | 14-Jun-13 | ||
Purchase Price | 13,100 | ||
Physicians Plaza A at North Knoxville Medical Center | |||
Business Acquisition [Line Items] | |||
Location | Powell, TN ("Knoxville") | ||
Structure | Modified Lease | ||
Date Acquired | 10-Jul-13 | ||
Purchase Price | 18,124 | ||
Physicians Plaza B at North Knoxville Medical Center | |||
Business Acquisition [Line Items] | |||
Location | Powell, TN ("Knoxville") | ||
Structure | Modified Lease | ||
Date Acquired | 10-Jul-13 | ||
Purchase Price | 21,800 | ||
Jefferson Medical Commons | |||
Business Acquisition [Line Items] | |||
Location | Jefferson City, TN ("Knoxville") | ||
Structure | Modified Lease | ||
Date Acquired | 10-Jul-13 | ||
Purchase Price | 11,616 | ||
Physicians Regional Medical Center - Central Wing Annex | |||
Business Acquisition [Line Items] | |||
Location | Knoxville, TN | ||
Structure | Modified Lease | ||
Date Acquired | 10-Jul-13 | ||
Purchase Price | 5,775 | ||
John C. Lincoln Medical Office Plaza I | |||
Business Acquisition [Line Items] | |||
Location | Phoenix, AZ | ||
Structure | Modified Lease | ||
Date Acquired | 16-Aug-13 | ||
Purchase Price | 4,420 | ||
John C. Lincoln Medical Office Plaza II | |||
Business Acquisition [Line Items] | |||
Location | Phoenix, AZ | ||
Structure | Modified Lease | ||
Date Acquired | 16-Aug-13 | ||
Purchase Price | 3,106 | ||
North Mountain Medical Plaza | |||
Business Acquisition [Line Items] | |||
Location | Phoenix, AZ | ||
Structure | Modified Lease | ||
Date Acquired | 16-Aug-13 | ||
Purchase Price | 6,185 | ||
Escondido Medical Arts Center | |||
Business Acquisition [Line Items] | |||
Location | Escondido, CA ("San Diego") | ||
Structure | Modified Lease | ||
Date Acquired | 16-Aug-13 | ||
Purchase Price | 15,602 | ||
Chestnut Commons Medical Office Building | |||
Business Acquisition [Line Items] | |||
Location | Elyria, OH ("Cleveland") | ||
Structure | Modified Lease | ||
Date Acquired | 16-Aug-13 | ||
Purchase Price | 20,712 | ||
Calvert Medical Office Buildings I, II, III | |||
Business Acquisition [Line Items] | |||
Location | Prince Frederick, MD ("Washington D.C.") | ||
Structure | Modified Lease | ||
Date Acquired | 30-Aug-13 | ||
Purchase Price | 16,409 | ||
Calvert Medical Arts Center | |||
Business Acquisition [Line Items] | |||
Location | Prince Frederick, MD ("Washington D.C.") | ||
Structure | Modified Lease | ||
Date Acquired | 30-Aug-13 | ||
Purchase Price | 19,320 | ||
Dunkirk Medical Center | |||
Business Acquisition [Line Items] | |||
Location | Dunkirk, MD ("Washington D.C." | ||
Structure | Modified Lease | ||
Date Acquired | 30-Aug-13 | ||
Purchase Price | 4,617 | ||
Coral Springs Medical Office Building I | |||
Business Acquisition [Line Items] | |||
Location | Coral Springs, FL | ||
Structure | Modified Lease | ||
Date Acquired | 23-Dec-13 | ||
Purchase Price | 14,900 | ||
Coral Springs Medical Office Building II | |||
Business Acquisition [Line Items] | |||
Location | Coral Springs, FL | ||
Structure | Modified Lease | ||
Date Acquired | 23-Dec-13 | ||
Purchase Price | 16,100 | ||
Bay Medical Plaza | |||
Business Acquisition [Line Items] | |||
Location | Chula Vista, CA ("San Diego") | ||
Structure | Modified Lease | ||
Date Acquired | 23-Dec-13 | ||
Purchase Price | 10,700 | ||
Batesville Healthcare Center | |||
Business Acquisition [Line Items] | |||
Location | Batesville, AR | ||
Structure | Triple-net Lease | ||
Date Acquired | 31-May-13 | ||
Purchase Price | 6,206 | ||
Broadway Healthcare Center | |||
Business Acquisition [Line Items] | |||
Location | West Memphis, AR | ||
Structure | Triple-net Lease | ||
Date Acquired | 31-May-13 | ||
Purchase Price | 11,799 | ||
Jonesboro Healthcare Center | |||
Business Acquisition [Line Items] | |||
Location | Jonesboro, AR | ||
Structure | Triple-net Lease | ||
Date Acquired | 31-May-13 | ||
Purchase Price | 15,232 | ||
Magnolia Healthcare Center | |||
Business Acquisition [Line Items] | |||
Location | Magnolia, AR | ||
Structure | Triple-net Lease | ||
Date Acquired | 31-May-13 | ||
Purchase Price | 11,847 | ||
Mine Creek Healthcare Center | |||
Business Acquisition [Line Items] | |||
Location | Nashville, AR | ||
Structure | Triple-net Lease | ||
Date Acquired | 31-May-13 | ||
Purchase Price | 3,374 | ||
Searcy Healthcare Center | |||
Business Acquisition [Line Items] | |||
Location | Searcy, AR | ||
Structure | Triple-net Lease | ||
Date Acquired | 31-May-13 | ||
Purchase Price | 7,898 | ||
HarborChase of Jasper | |||
Business Acquisition [Line Items] | |||
Location | Jasper, AL | ||
Structure | Managed | ||
Date Acquired | 1-Aug-13 | ||
Purchase Price | 7,300 | ||
Raider Ranch | |||
Business Acquisition [Line Items] | |||
Location | Lubbock, TX | ||
Structure | Managed | ||
Date Acquired | 29-Aug-13 | ||
Purchase Price | 55,000 | ||
Town Village | |||
Business Acquisition [Line Items] | |||
Location | Oklahoma City, OK | ||
Structure | Managed | ||
Date Acquired | 29-Aug-13 | ||
Purchase Price | 22,500 | ||
MorningStar of Billings | |||
Business Acquisition [Line Items] | |||
Location | Billings, MT | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 48,300 | ||
MorningStar of Boise | |||
Business Acquisition [Line Items] | |||
Location | Boise, ID | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 39,964 | ||
MorningStar of Idaho Falls | |||
Business Acquisition [Line Items] | |||
Location | Idaho Falls, ID | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 44,390 | ||
MorningStar of Sparks | |||
Business Acquisition [Line Items] | |||
Location | Sparks, NV ("Reno") | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 55,200 | ||
Prestige Senior Living Arbor Place | |||
Business Acquisition [Line Items] | |||
Location | Medford, OR | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 15,840 | ||
Prestige Senior Living Beaverton Hills | |||
Business Acquisition [Line Items] | |||
Location | Beaverton, OR | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 12,900 | ||
Prestige Senior Living Five Rivers | |||
Business Acquisition [Line Items] | |||
Location | Tillamook, OR | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 16,720 | ||
Prestige Senior Living High Desert | |||
Business Acquisition [Line Items] | |||
Location | Bend, OR | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 13,600 | ||
Prestige Senior Living Huntington Terrace | |||
Business Acquisition [Line Items] | |||
Location | Gresham, OR ("Portland") | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 15,020 | ||
Prestige Senior Living Orchard Heights | |||
Business Acquisition [Line Items] | |||
Location | Salem, OR | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 17,775 | ||
Prestige Senior Living Riverwood | |||
Business Acquisition [Line Items] | |||
Location | Tualatin, OR ("Portland") | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | 9,700 | ||
Prestige Senior Living Southern Hills | |||
Business Acquisition [Line Items] | |||
Location | Salem, OR | ||
Structure | Managed | ||
Date Acquired | 2-Dec-13 | ||
Purchase Price | $12,870 | ||
[1] | This represents a single property acquisition that is not considered material to the Company and as such no pro forma financial information has been included related to this property. |
Schedule_of_Purchase_Price_All
Schedule of Purchase Price Allocation (Detail) (USD $) | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2014 | |||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||||||
Land and land improvements | $60,565 | $39,834 | $1,100 | ||||
Buildings and building improvements | 732,740 | 555,342 | |||||
Furniture, fixtures and equipment | 12,260 | 13,718 | |||||
Intangibles | 110,325 | [1] | 50,333 | [1] | |||
Other liabilities | -12,037 | -2,796 | |||||
Liabilities assumed | -1,000 | ||||||
Mortgage note payable assumed | -27,657 | [2] | |||||
Net assets acquired | 875,196 | 656,431 | |||||
Contingent purchase price consideration | -268 | -507 | |||||
Total purchase price consideration | 862,801 | 655,924 | |||||
Contingent Purchase Consideration | |||||||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||||||
Contingent purchase price consideration | -12,395 | -507 | |||||
Montecito Joint Venture | |||||||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||||||
Land and land improvements | 6,324 | ||||||
Buildings and building improvements | 13,533 | ||||||
Intangibles | 2,691 | [3] | |||||
Liabilities assumed | -175 | ||||||
Mortgage note payable assumed | -12,331 | [4] | |||||
Net assets acquired | 10,129 | 10,129 | |||||
Working capital, net | $87 | ||||||
[1] | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles for the years ended December 31, 2014 and 2013 were approximately 7.7 years and 4.6 years, respectively. The acquired lease intangibles during the year ended December 31, 2014 were comprised of approximately $97.3 million and $13.0 million of in-place lease intangibles and other lease intangibles, respectively, and the acquired lease intangibles during the year ended December 31, 2013 were comprised of approximately $42.5 million and $7.2 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||
[2] | At the acquisition date, the fair value of the mortgage note payable assumed reflects an approximate $0.4 million premium on the above-market mortgage note payable assumed. | ||||||
[3] | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles was approximately 5.1 years and was comprised of approximately $1.9 million and $0.8 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||
[4] | At the acquisition date, the fair value of the mortgage note payable assumed reflects an approximate $0.6 million discount on the below-market mortgage note payable assumed. |
Schedule_of_Purchase_Price_All1
Schedule of Purchase Price Allocation (Parenthetical) (Detail) (USD $) | 12 Months Ended | 1 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2014 |
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||
Weighted-average amortization period on the acquired lease intangibles | 7 years 8 months 12 days | 4 years 7 months 6 days | |
Acquired lease intangibles | $97.30 | $42.50 | |
Acquired other lease intangibles | 13 | 7.2 | |
Mortgage note payable, premium | 0.4 | ||
Montecito Joint Venture | |||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||
Weighted-average amortization period on the acquired lease intangibles | 5 years 1 month 6 days | ||
Acquired lease intangibles | 1.9 | ||
Acquired other lease intangibles | 0.8 | ||
Mortgage note payable, premium | $0.60 |
Schedule_of_Unaudited_Proforma
Schedule of Unaudited Proforma Results of Operations (Detail) (USD $) | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||||||
Revenues | $243,581 | $242,415 | $125,872 | |||
Net income (loss) | ($43,936) | [1] | ($59,527) | [1] | ($40,483) | [1] |
Loss per share of common stock (basic and diluted) | ($0.39) | ($0.58) | ($0.82) | |||
Weighted average number of shares of common stock outstanding (basic and diluted) | 113,607 | [2] | 101,826 | [2] | 49,433 | [2] |
[1] | The unaudited pro forma results for the years ended December 31, 2014 and 2013 were adjusted to exclude approximately $20.5 million and $16.5 million, respectively, of acquisition related expenses directly attributable to the properties acquired during the years ended December 31, 2014 and 2013. The unaudited pro forma results for the years ended December 31, 2013 and 2012 were adjusted to include these charges as if the properties acquired on January 1, 2013 and 2012, respectively | |||||
[2] | As a result of the properties being treated as operational since January 1, 2013 and 2012, the Company assumed approximately 40.8 million and 36.2 million additional shares were issued as of January 1, 2013 and 2012, respectively. Consequently, the weighted average number of shares outstanding was adjusted to reflect this amount of shares being issued as of January 1, 2013 and 2012, instead of actual dates on which the shares were issued, and such shares were treated as outstanding as of the beginning of the period presented. In addition, for purposes of determining the weighted average number of shares of common stock outstanding, stock distributions are treated as if they were outstanding as of the beginning of the periods presented. |
Schedule_of_Unaudited_Proforma1
Schedule of Unaudited Proforma Results of Operations (Parenthetical) (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||
In Thousands, except Share data in Millions, unless otherwise specified | Jan. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||||
Acquisition fees and expenses | $23,931 | $18,840 | $6,585 | |
Shares issued to fund acquisition | 40.8 | 36.2 | ||
Acquisition-related Costs | ||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||||
Acquisition fees and expenses | 23,900 | 18,800 | 6,600 | |
Acquisition-related Costs | Proforma results adjusted to exclude | ||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||||
Acquisition fees and expenses | $20,500 | $16,500 |
Gain_Resulted_From_Change_of_C
Gain Resulted From Change of Control in Equity Method Investment (Detail) (USD $) | 12 Months Ended | 1 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Aug. 31, 2014 | Dec. 31, 2013 |
Schedule of Equity Method Investments [Line Items] | |||
Fair value of net assets acquired | $875,196 | $656,431 | |
Less: Cash paid to acquire co-venture partner's interest | -1,584 | ||
Gain on purchase of controlling interest of investment in unconsolidated entity | 2,798 | ||
Montecito Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Fair value of net assets acquired | 10,129 | 10,129 | |
Less: Previous investment in Montecito Joint Venture | -5,747 | -5,700 | |
Less: Cash paid to acquire co-venture partner's interest | -1,584 | ||
Gain on purchase of controlling interest of investment in unconsolidated entity | $2,798 |
Schedule_of_Real_Estate_Invest
Schedule of Real Estate Investment Properties (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Real Estate Properties [Line Items] | ||
Land and land improvements | $128,662 | $59,208 |
Building and building improvements | 1,545,614 | 783,260 |
Furniture, fixtures and equipment | 36,319 | 20,339 |
Less: accumulated depreciation | -53,095 | -14,016 |
Real estate investment properties, net | 1,657,500 | 848,791 |
Real estate under development, including land | 47,153 | 17,409 |
Total real estate assets, net | $1,704,653 | $866,200 |
Real_Estate_Assets_Net_Additio
Real Estate Assets Net - Additional Information (Detail) (Real Estate Investment Properties, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Real Estate Investment Properties | |||
Real Estate Properties [Line Items] | |||
Depreciation expense | $39.10 | $12 | $2 |
Real_Estates_under_Development
Real Estates under Development with Third-Party Developers (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | |
Real Estate Properties [Line Items] | ||
Real Estate Development Costs Incurred | $47,153 | [1] |
Remaining Development Budget | 76,427 | [2] |
Wellmore of Tega Cay (Tega Cay, SC) | ||
Real Estate Properties [Line Items] | ||
Developer | Maxwell Group, Inc. | |
Real Estate Development Costs Incurred | 22,198 | [1] |
Remaining Development Budget | 18,291 | [2] |
HarborChase Of Shorewood (Shorewood, WI) | ||
Real Estate Properties [Line Items] | ||
Developer | Harbor Shorewood Development, LLC | |
Real Estate Development Costs Incurred | 9,340 | [1] |
Remaining Development Budget | 17,149 | [2] |
Watercrest at Katy (Katy, TX) | ||
Real Estate Properties [Line Items] | ||
Developer | South Bay Partners, Ltd | [3] |
Real Estate Development Costs Incurred | 8,613 | [1],[3] |
Remaining Development Budget | 30,942 | [2],[3] |
Raider Ranch Development (Lubbock, TX) | ||
Real Estate Properties [Line Items] | ||
Developer | South Bay Partners, Ltd | |
Real Estate Development Costs Incurred | 7,002 | [1] |
Remaining Development Budget | $10,045 | [2] |
[1] | This amount represents land and total capitalized costs for GAAP purposes for the acquisition, development and construction of the senior housing community as of December 31, 2014. Amounts include investment services fees, asset management fees, interest expense and other costs capitalized during the development period. | |
[2] | This amount includes preleasing and marketing costs which will be expensed as incurred. | |
[3] | This property is owned through a joint venture in which the Company's initial ownership interest is 95%. |
Real_Estates_under_Development1
Real Estates under Development with Third-Party Developers (Parenthetical) (Detail) | Jun. 30, 2014 | Dec. 31, 2014 |
Real Estate Properties [Line Items] | ||
Percentage of ownership interest | 95.00% | |
Watercrest at Katy (Katy, TX) | ||
Real Estate Properties [Line Items] | ||
Percentage of ownership interest | 95.00% |
Schedule_of_Net_Book_Value_of_
Schedule of Net Book Value of Intangibles (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
Less: accumulated amortization, assets | ($30,250) | ($5,099) | ||
Intangible assets, net | 140,264 | 52,400 | ||
Less: accumulated amortization, liabilities | 1,014 | 168 | ||
Intangible liabilities, net | -14,502 | [1] | -3,136 | [1] |
In place lease intangibles | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
Gross carrying amount, assets | 148,880 | 49,642 | ||
Intangible assets, net | 119,990 | |||
Above-market lease intangibles | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
Gross carrying amount, assets | 11,320 | 3,704 | ||
Gross carrying amount, liabilities | -2,273 | -317 | ||
Intangible assets, net | 10,129 | |||
Intangible liabilities, net | -2,262 | |||
Below-market ground lease intangibles | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
Gross carrying amount, assets | 10,314 | 4,153 | ||
Gross carrying amount, liabilities | -13,243 | -2,987 | ||
Intangible assets, net | 10,145 | |||
Intangible liabilities, net | ($12,240) | |||
[1] | Intangible liabilities, net are included in other liabilities in the accompanying consolidated balance sheets. |
Intangibles_net_Additional_Inf
Intangibles net - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Finite-Lived Intangible Assets And Liabilities [Line Items] | |||
Amortization expense on intangible assets | $25,100,000 | $5,000,000 | |
Amortization expense on intangible liabilities | 800,000 | 0 | |
Lease Rental Income | |||
Finite-Lived Intangible Assets And Liabilities [Line Items] | |||
Amortization expense on intangible assets | 1,000,000 | 200,000 | |
Amortization expense on intangible liabilities | 800,000 | 200,000 | |
Property Operating Expenses | |||
Finite-Lived Intangible Assets And Liabilities [Line Items] | |||
Amortization expense on intangible assets | 100,000 | 100,000 | |
Depreciation And Amortization | |||
Finite-Lived Intangible Assets And Liabilities [Line Items] | |||
Amortization expense on intangible assets | 24,000,000 | 4,700,000 | 100,000 |
Operating expenses | |||
Finite-Lived Intangible Assets And Liabilities [Line Items] | |||
Amortization expense on intangible liabilities | $8,000 | $3,000 |
Schedule_of_Estimated_Future_A
Schedule of Estimated Future Amortization and Weighted Average Remaining Useful Life (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
2015 | $38,522 | |||
2016 | 27,096 | |||
2017 | 14,223 | |||
2018 | 11,547 | |||
2019 | 8,516 | |||
Thereafter | 40,360 | |||
Intangible assets, net | 140,264 | 52,400 | ||
2015 | 1,609 | |||
2016 | 1,457 | |||
2017 | 1,330 | |||
2018 | 1,212 | |||
2019 | 1,049 | |||
Thereafter | 7,845 | |||
Intangible liabilities, net | 14,502 | [1] | 3,136 | [1] |
In place lease intangibles | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
2015 | 36,432 | |||
2016 | 25,344 | |||
2017 | 12,601 | |||
2018 | 10,073 | |||
2019 | 7,278 | |||
Thereafter | 28,262 | |||
Intangible assets, net | 119,990 | |||
Weighted average useful life, assets | 5 years 9 months 18 days | |||
Above-market lease intangibles | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
2015 | 1,826 | |||
2016 | 1,488 | |||
2017 | 1,358 | |||
2018 | 1,210 | |||
2019 | 974 | |||
Thereafter | 3,273 | |||
Intangible assets, net | 10,129 | |||
2015 | 58 | |||
2016 | 58 | |||
2017 | 58 | |||
2018 | 58 | |||
2019 | 58 | |||
Thereafter | 1,972 | |||
Intangible liabilities, net | 2,262 | |||
Weighted average useful life, assets | 6 years 3 months 18 days | |||
Weighted average useful life, liabilities | 38 years 9 months 18 days | |||
Below-market ground lease intangibles | ||||
Finite-Lived Intangible Assets And Liabilities [Line Items] | ||||
2015 | 264 | |||
2016 | 264 | |||
2017 | 264 | |||
2018 | 264 | |||
2019 | 264 | |||
Thereafter | 8,825 | |||
Intangible assets, net | 10,145 | |||
2015 | 1,551 | |||
2016 | 1,399 | |||
2017 | 1,272 | |||
2018 | 1,154 | |||
2019 | 991 | |||
Thereafter | 5,873 | |||
Intangible liabilities, net | $12,240 | |||
Weighted average useful life, assets | 38 years 4 months 24 days | |||
Weighted average useful life, liabilities | 12 years 8 months 12 days | |||
[1] | Intangible liabilities, net are included in other liabilities in the accompanying consolidated balance sheets. |
Operating_Leases_Additional_In
Operating Leases - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Operating Leased Assets [Line Items] | |
Weighted average remaining lease term | 7 years 2 months 12 days |
Minimum | |
Operating Leased Assets [Line Items] | |
Lease, expiration year | 2015 |
Extended lease period | 2 years |
Maximum | |
Operating Leased Assets [Line Items] | |
Lease, expiration year | 2033 |
Extended lease period | 10 years |
Triple-net lease agreements | |
Operating Leased Assets [Line Items] | |
Number of properties owned | 55 |
Total annualized property tax | 1.9 |
Single Tenant Properties | |
Operating Leased Assets [Line Items] | |
Number of properties owned | 24 |
Real estate investment properties, percentage leased under operating leases | 100.00% |
Multi Tenant Properties | |
Operating Leased Assets [Line Items] | |
Number of properties owned | 31 |
Schedule_of_Future_Minimum_Lea
Schedule of Future Minimum Lease Payments (Detail) (Non-cancellable operating leases, USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Non-cancellable operating leases | |
Long-term Purchase Commitment [Line Items] | |
2015 | $78,625 |
2016 | 74,867 |
2017 | 71,468 |
2018 | 67,335 |
2019 | 58,484 |
Thereafter | 252,174 |
Total | $602,953 |
Aggregate_Carrying_Amount_and_
Aggregate Carrying Amount and Major Classifications of Consolidated Assets and Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Variable Interest Entity [Line Items] | ||||
Real estate investment properties, net | $1,657,500 | $848,791 | ||
Real estate under development, including land | 47,153 | 17,409 | ||
Intangible assets, net | 140,264 | 52,400 | ||
Cash | 91,355 | 44,209 | 18,262 | 10,002 |
Loan costs, net | 14,012 | 7,919 | ||
Restricted cash | 10,753 | 2,839 | ||
Deferred rent and lease incentives | 8,240 | 2,782 | ||
Mortgages and other notes payable | 853,561 | 438,107 | ||
Other liabilities | 27,448 | 7,243 | ||
Accounts payable and accrued expenses | 18,493 | 7,887 | ||
Accrued development costs | 7,951 | 7,047 | ||
Due to related parties | 2,999 | 3,308 | ||
VIEs | ||||
Variable Interest Entity [Line Items] | ||||
Real estate investment properties, net | 174,449 | 72,053 | ||
Real estate under development, including land | 47,153 | 16,210 | ||
Intangible assets, net | 25,519 | 4,535 | ||
Cash | 6,280 | 727 | ||
Loan costs, net | 2,300 | 912 | ||
Restricted cash | 5,304 | 257 | ||
Deferred rent and lease incentives | 2,978 | 104 | ||
Other | 511 | 21 | ||
Mortgages and other notes payable | 137,754 | 52,596 | ||
Other liabilities | 4,949 | 939 | ||
Accounts payable and accrued expenses | 2,317 | 309 | ||
Accrued development costs | 7,951 | 7,047 | ||
Due to related parties | $219 | $112 |
Variable_Interest_Entities_VIE
Variable Interest Entities (VIEs) - Additional Information (Detail) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Variable Interest Entity [Line Items] | |
Maximum exposure to loss VIEs limits | $110.30 |
Unconsolidated_Entities_Additi
Unconsolidated Entities - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||
Dec. 31, 2013 | Jul. 31, 2013 | Jun. 30, 2012 | Dec. 31, 2014 | Aug. 31, 2014 | Jun. 30, 2014 | Apr. 30, 2013 | Aug. 31, 2012 | Jan. 31, 2013 | Dec. 31, 2012 | |
Property | Property | Property | ||||||||
Securitized Loans Held For Investment By Consolidated Variable Interest Entities [Line Items] | ||||||||||
Gain on disposal of investment in unconsolidated entity | $4,486,000 | |||||||||
Co-venture partner's interest in the acquired business | 5.00% | |||||||||
CHTSunIV | ||||||||||
Securitized Loans Held For Investment By Consolidated Variable Interest Entities [Line Items] | ||||||||||
Sale of joint venture membership interest | 61,800,000 | |||||||||
Gain on disposal of investment in unconsolidated entity | 4,500,000 | |||||||||
Business acquisition, ownership interest acquired | 55.00% | |||||||||
Number of properties acquired | 7 | |||||||||
Business acquisition, total acquisition price | 56,700,000 | |||||||||
Co-venture partner's interest in the acquired business | 45.00% | |||||||||
Preferred return on invested capital under terms of venture agreement, percentage | 11.00% | |||||||||
Montecito Joint Venture | ||||||||||
Securitized Loans Held For Investment By Consolidated Variable Interest Entities [Line Items] | ||||||||||
Business acquisition, ownership interest acquired | 90.00% | |||||||||
Co-venture partner's interest in the acquired business | 10.00% | |||||||||
Capital of joint venture | 7,000,000 | |||||||||
Acquisition of co-venture partner's membership interest | 10.00% | |||||||||
Windsor Manor | ||||||||||
Securitized Loans Held For Investment By Consolidated Variable Interest Entities [Line Items] | ||||||||||
Business acquisition, ownership interest acquired | 75.00% | 75.00% | ||||||||
Number of properties acquired | 2 | 3 | ||||||||
Business acquisition, total acquisition price | 4,900,000 | 4,800,000 | ||||||||
Co-venture partner's interest in the acquired business | 25.00% | |||||||||
Preferred return on invested capital under terms of venture agreement, percentage | 11.00% | |||||||||
Refinanced current outstanding debt | 18,000,000 | |||||||||
Acquisition fees and expenses capitalized as investment unconsolidated entities | 200,000 | |||||||||
Montecito and Windsor Manor | ||||||||||
Securitized Loans Held For Investment By Consolidated Variable Interest Entities [Line Items] | ||||||||||
Acquisition fees and expenses capitalized as investment unconsolidated entities | 500,000 | |||||||||
CHTSunIV and Windsor Manor | ||||||||||
Securitized Loans Held For Investment By Consolidated Variable Interest Entities [Line Items] | ||||||||||
Acquisition fees and expenses capitalized as investment unconsolidated entities | $3,300,000 |
Summarized_Operating_Data_of_U
Summarized Operating Data of Unconsolidated Entities Income Statement (Detail) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Schedule of Equity Method Investments [Line Items] | ||||||
Revenues | $9,921 | $33,198 | $25,507 | |||
Operating income | 585 | 3,900 | 1,818 | |||
Net income (loss) | -972 | -1,045 | -991 | |||
Income allocable to other venture partners | 390 | [1] | -3,251 | [1] | -2,174 | [1] |
Income (loss) allocable to the Company | -1,362 | [1] | 2,206 | [1] | 1,183 | [1] |
Amortization of capitalized acquisition costs | -25 | -59 | -40 | |||
Equity in earnings (loss) of unconsolidated entities | -1,387 | 2,147 | 1,143 | |||
Distributions declared to the Company | 3,716 | 4,526 | 3,124 | |||
Distributions received by the Company | 4,062 | [2] | 5,493 | 1,607 | ||
Montecito Joint Venture | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Revenues | 1,356 | [3] | 1,700 | [3] | ||
Operating income | 436 | [3] | 230 | [3],[4] | ||
Net income (loss) | 165 | [3] | -159 | [3] | ||
Income allocable to other venture partners | 17 | [1],[3] | -16 | [1],[3] | ||
Income (loss) allocable to the Company | 148 | [1],[3] | -143 | [1],[3] | ||
Amortization of capitalized acquisition costs | -6 | [3] | -8 | [3] | ||
Equity in earnings (loss) of unconsolidated entities | 142 | [3] | -151 | [3] | ||
Distributions declared to the Company | 659 | [3] | 870 | [3] | ||
Distributions received by the Company | 830 | [2],[3] | 699 | [3] | ||
CHTSunIV | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Revenues | 24,107 | [5] | 23,913 | [5] | ||
Operating income | 3,603 | [5] | 1,872 | [5] | ||
Net income (loss) | -46 | [5] | -703 | [5] | ||
Income allocable to other venture partners | -1,365 | [1],[5] | -1,703 | [1],[5] | ||
Income (loss) allocable to the Company | 1,319 | [1],[5] | 1,000 | [1],[5] | ||
Amortization of capitalized acquisition costs | -36 | [5] | -36 | [5] | ||
Equity in earnings (loss) of unconsolidated entities | 1,283 | [5] | 964 | [5] | ||
Distributions declared to the Company | 2,990 | [5] | 3,075 | [5] | ||
Distributions received by the Company | 4,458 | [5] | 1,607 | [5] | ||
Windsor Manor | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Revenues | 8,565 | 7,391 | 1,594 | |||
Operating income | 149 | 67 | [4] | -54 | [4] | |
Net income (loss) | -1,137 | -840 | -288 | |||
Income allocable to other venture partners | 373 | [1] | -1,870 | [1] | -471 | [1] |
Income (loss) allocable to the Company | -1,510 | [1] | 1,030 | [1] | 183 | [1] |
Amortization of capitalized acquisition costs | -19 | -15 | -4 | |||
Equity in earnings (loss) of unconsolidated entities | -1,529 | 1,015 | 179 | |||
Distributions declared to the Company | 3,057 | 666 | 49 | |||
Distributions received by the Company | $3,232 | [2] | $336 | |||
[1] | Income (loss) is allocated between the Company and its joint venture partner using the HLBV method of accounting. | |||||
[2] | The distributions declared to and received by the Company for the Windsor Manor joint venture for the year ended December 31, 2014 include approximately $2.2 million of capital proceeds from a debt refinancing; refer to Item 7. "Management's Discussion and Analysis - Off-Balance Sheet Arrangements" for additional information. | |||||
[3] | In August 2014, the Company acquired its co-venture partner's 10% interest in the Montecito joint venture; refer to Note 3, "Acquisitions - Purchase of Controlling Interest in Montecito Joint Venture," for additional information. | |||||
[4] | Includes approximately $0.4 million and $0.3 million of non-recurring acquisition expenses incurred by Montecito and Windsor Manor for the year ended December 31, 2013. Includes approximately $0.03 million of non-recurring acquisition expenses incurred by Windsor Manor for the year ended December 31, 2012. | |||||
[5] | In July 2013, the Company completed the sale of its joint venture membership interest in CHTSunIV. |
Summarized_Operating_Data_of_U1
Summarized Operating Data of Unconsolidated Entities Income Statement (Parenthetical) (Detail) (USD $) | 12 Months Ended | 1 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Aug. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||||
Acquisition fees and expenses | $23,931,000 | $18,840,000 | $6,585,000 | |
Montecito Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Acquisition of co-venture partner's membership interest | 10.00% | |||
Acquisition fees and expenses | 400,000 | |||
Windsor Manor | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Capital proceeds from a debt refinancing | 2,200,000 | |||
Acquisition fees and expenses | $300,000 | $30,000 |
Summarized_Operating_Data_of_U2
Summarized Operating Data of Unconsolidated Entities Balance Sheet (Detail) (USD $) | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Real estate assets, net | $1,657,500 | $848,791 | |||
Other assets | 11,197 | 6,445 | |||
Mortgages and other notes payable | 853,561 | 438,107 | |||
Other liabilities | 27,448 | 7,243 | |||
Partners' capital | 6,600 | 17,500 | |||
Company's ownership percentage | 95.00% | ||||
Total Unconsolidated Entities | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Real estate assets, net | 26,505 | 44,818 | |||
Intangible assets, net | 386 | 3,209 | |||
Other assets | 2,403 | 2,855 | |||
Mortgages and other notes payable | 21,808 | 30,466 | |||
Other liabilities | 1,241 | 1,798 | |||
Partners' capital | 6,245 | 18,618 | |||
Carrying amount of investment | 7,379 | [1] | 18,438 | [2] | |
Montecito Joint Venture | Total Unconsolidated Entities | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Real estate assets, net | 17,271 | ||||
Intangible assets, net | 1,925 | ||||
Other assets | 800 | ||||
Mortgages and other notes payable | 12,958 | ||||
Other liabilities | 327 | ||||
Partners' capital | 6,711 | ||||
Carrying amount of investment | 6,526 | [2] | |||
Company's ownership percentage | 90.00% | ||||
Windsor Manor | Total Unconsolidated Entities | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Real estate assets, net | 26,505 | 27,547 | |||
Intangible assets, net | 386 | 1,284 | |||
Other assets | 2,403 | 2,055 | |||
Mortgages and other notes payable | 21,808 | 17,508 | |||
Other liabilities | 1,241 | 1,471 | |||
Partners' capital | 6,245 | 11,907 | |||
Carrying amount of investment | $7,379 | [1] | $11,912 | [2] | |
Company's ownership percentage | 75.00% | [3] | 75.00% | ||
[1] | As of December 31, 2014, the Company's share of partners' capital determined under HLBV pursuant to the terms of each entity's respective partnership agreement was approximately $6.6 million. The difference between the Company's carrying amount of the investment and the Company's share of partners' capital determined under HLBV was approximately $0.8 million. | ||||
[2] | As of December 31, 2013, the Company's share of partners' capital determined under HLBV pursuant to the terms of each entity's respective partnership agreement was approximately $17.5 million. The difference between the Company's carrying amount of the investment and the Company's share of partners' capital determined under HLBV was approximately $0.9 million. | ||||
[3] | In August 2014, the Company acquired its co-venture partner's 10% interest in the Montecito joint venture; refer to Note 3, "Acquisitions - Purchase of Controlling Interest in Montecito Joint Venture," for additional information. |
Summarized_Operating_Data_of_U3
Summarized Operating Data of Unconsolidated Entities Balance Sheet (Parenthetical) (Detail) (USD $) | 12 Months Ended | 1 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||
Partners' capital | $6,600,000 | $17,500,000 | |
Carrying amount of investment over partner's capital account determined under HLBV | $800,000 | $900,000 | |
Montecito Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Acquisition of co-venture partner's membership interest | 10.00% |
Contingent_Purchase_Price_Cons2
Contingent Purchase Price Consideration - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Business Acquisition, Contingent Consideration [Line Items] | |||||||||||
Contingent purchase consideration | $268 | $507 | |||||||||
Operating income (loss) | -6,179 | -6,243 | -3,381 | -7,375 | -5,515 | -5,307 | -2,302 | -866 | -23,178 | -13,990 | -6,043 |
Capital Health Communities | |||||||||||
Business Acquisition, Contingent Consideration [Line Items] | |||||||||||
Contingent purchase consideration | 7,000 | ||||||||||
Fair value of Contingent consideration | 4,100 | 4,100 | |||||||||
Capital Health Communities | 2013 | |||||||||||
Business Acquisition, Contingent Consideration [Line Items] | |||||||||||
Operating income (loss) | 6,900 | ||||||||||
Capital Health Communities | 2014 | |||||||||||
Business Acquisition, Contingent Consideration [Line Items] | |||||||||||
Operating income (loss) | 7,000 | ||||||||||
Capital Health Communities | 2015 | |||||||||||
Business Acquisition, Contingent Consideration [Line Items] | |||||||||||
Operating income (loss) | 7,100 | ||||||||||
Medical Portfolio I | |||||||||||
Business Acquisition, Contingent Consideration [Line Items] | |||||||||||
Contingent purchase consideration | $300 | ||||||||||
Expandable lease space under earn-out agreement | 10,000 | 10,000 |
Fair_Value_of_Contingent_Purch
Fair Value of Contingent Purchase Price Consideration (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Contingent consideration in connection with acquisition | $268 | $507 | |
Capital Health Communities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Contingent consideration in connection with acquisition | 7,000 | ||
Ending balance | 4,100 | ||
Medical Portfolio I | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Contingent consideration in connection with acquisition | 300 | ||
Business Acquisition Contingent Consideration | Capital Health Communities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Beginning balance | 4,488 | 2,664 | |
Contingent consideration in connection with acquisition | 2,664 | ||
Change in fair value | 2,191 | 1,824 | |
Yield Guaranty payment received from seller | -2,601 | ||
Ending balance | 4,078 | 4,488 | 2,664 |
Business Acquisition Contingent Consideration | South Bay II Communities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Contingent consideration in connection with acquisition | -12,395 | ||
Change in fair value | -1,800 | ||
Contingent consideration payment | 14,195 | ||
Business Acquisition Contingent Consideration | Medical Portfolio I | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Beginning balance | -507 | ||
Contingent consideration in connection with acquisition | -507 | ||
Change in fair value | 239 | ||
Ending balance | ($268) | ($507) |
Details_of_Indebtedness_Detail
Details of Indebtedness (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Indebtedness [Line Items] | ||||
Mortgages payable and other notes payable | $853,776 | $438,107 | ||
Premium (discount), net | -215 | [1] | ||
Total mortgages and other notes payable, net | 853,561 | 438,107 | ||
Credit Facility | 206,403 | 98,500 | ||
Total borrowings | 1,059,964 | 536,607 | ||
Term Loan Facility | ||||
Indebtedness [Line Items] | ||||
Credit Facility | 175,000 | |||
Revolving Credit Facility | ||||
Indebtedness [Line Items] | ||||
Credit Facility | 31,403 | 98,500 | ||
Fixed rate debt | ||||
Indebtedness [Line Items] | ||||
Mortgages payable and other notes payable | 370,854 | 290,817 | ||
Variable Rate Debt | ||||
Indebtedness [Line Items] | ||||
Mortgages payable and other notes payable | $482,922 | [2] | $147,290 | [2] |
[1] | Premium (discount), net is reflective of the Company recording mortgage note payables assumed at fair value on the respective acquisition date. | |||
[2] | As of December 31, 2014, the Company had entered into interest rate swaps with notional amounts of approximately $182.1 million that were settling on a monthly basis; whereas, there were no such settlements during the year ended December 31, 2013. In addition, as of December 31, 2014 and December 31, 2013, the Company had entered into forward-starting interest rate swaps for total notional amounts of approximately $269.4 million and $124.3 million, respectively, in order to hedge its exposure to variable rate debt in future periods. The remaining forward-starting interest rate swaps have a range of effective dates beginning in 2015 and continuing through the maturity date of the respective loan (ranging from 2016 through 2019). |
Details_of_Indebtedness_Parent
Details of Indebtedness (Parenthetical) (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Indebtedness [Line Items] | ||
Debt settlement start year | 2015 | |
Debt maturity range start year | 2016 | |
Debt maturity range end year | 2019 | |
Interest Rate Swap | ||
Indebtedness [Line Items] | ||
Notional amount of derivative contract | 182,100 | |
Forward Contracts | ||
Indebtedness [Line Items] | ||
Notional amount of derivative contract | 269,400 | $124,300 |
Indebtedness_Additional_Inform
Indebtedness - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Extension | Property | ||
Mortgage Note Payable | |||
Debt Instrument [Line Items] | |||
Fair value of notes payable | $868.50 | $868.50 | $431.40 |
Other notes | |||
Debt Instrument [Line Items] | |||
Carrying value of notes payable | 853.6 | 853.6 | 438.1 |
After Modification | |||
Debt Instrument [Line Items] | |||
Line of credit facility principal amount | 700 | 700 | |
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Line of credit facility principal amount | 230 | 230 | |
Term of credit facility | 36 months | ||
Number of extension options available | 2 | ||
Revolving line of credit extension period | 12 months | ||
Fees paid range on unused commitments, lower range, percentage | 15.00% | 15.00% | |
Fees paid range on unused commitments, upper range, percentage | 25.00% | 25.00% | |
Debt Instrument, Current borrowing capacity | 14 | 14 | |
Principal amount of revolving line of credit | 98.5 | ||
Number of Properties Collateralized | 9 | ||
Debt Instrument, Collateral Amount | 159.5 | ||
Description of covenants | The Credit Facilities contain affirmative, negative, and financial covenants which are customary for loans of this type, including without limitation (i) maximum leverage, (ii) minimum fixed charge coverage ratio, (iii) minimum consolidated net worth, (iv) restrictions on payments of cash distributions except if required by REIT requirements, (v) maximum secured and unsecured indebtedness, and (vi) limitations on certain types of investments and with respect to the pool of properties supporting borrowings under the Credit Facilities, minimum debt service coverage ratio, and remaining lease terms, as well as property type, MSA, operator, and asset value concentration limits. The limitations on distributions includes a limitation on the extent of allowable distributions, which are not to exceed the greater of 95% of adjusted FFO (as defined per the Credit Facilities) and the minimum amount of distributions required to maintain the Company's REIT status. occupancy levels for collateralized properties; (iv) minimum loan-to-value and debt service coverage ratios with respect to collateralized properties; (v) maximum leverage, secured recourse debt, and unimproved land/development property ratios; (vi) minimum fixed charge coverage ratio and minimum consolidated net worth, unencumbered liquidity, and equity raise requirements; (vii) limitations on certain types of investments and additional indebtedness; and (viii) minimum liquidity. The limitations on distributions includes a limitation on the extent of allowable distributions, which are not to exceed the greater of 95% of adjusted FFO (as defined per the loan agreement) or the minimum amount of distributions required to maintain the Companybs REIT status. | ||
Fair value of notes payable | 206.4 | 206.4 | 98.5 |
Carrying value of notes payable | 206.4 | 206.4 | 98.5 |
Term Loan Facility | |||
Debt Instrument [Line Items] | |||
Line of credit facility principal amount | $175 | $175 | |
Term of credit facility | 50 months | ||
Number of extension options available | 1 | ||
Revolving line of credit extension period | 12 months |
Schedule_of_Indebtedness_Detai
Schedule of Indebtedness (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Debt Instrument [Line Items] | ||||
Total debt | 370,854 | 290,817 | ||
Total borrowings | 1,059,964 | 536,607 | ||
Mortgage and Construction Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 482,922 | 147,290 | ||
Total borrowings | 853,776 | 438,107 | ||
Pacific Northwest II Communities | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest on Loan accrues - Fixed rate | 4.30% | [1],[2] | ||
Payment Terms | Monthly principal and interest payments based on a 25-year amortization schedule | [2] | ||
Principal and interest payments amortizable period | 25 years | [2] | ||
Maturity Date | 5-Dec-18 | [2],[3] | ||
Pacific Northwest II Communities | Fixed rate debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 215,904 | [2] | 157,549 | [2] |
Capital Health Communities | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest on Loan accrues - Fixed rate | 4.25% | [1] | ||
Payment Terms | Monthly principal and interest payments based on a 25-year amortization schedule | |||
Principal and interest payments amortizable period | 25 years | |||
Maturity Date | 5-Jan-20 | [3] | ||
Capital Health Communities | Fixed rate debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 43,684 | 47,481 | ||
Primrose II Communities | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest on Loan accrues - Fixed rate | 3.81% | [1] | ||
Payment Terms | Monthly principal and interest payments based on a 30-year amortization schedule | |||
Principal and interest payments amortizable period | 30 years | |||
Maturity Date | 1-Jun-20 | [3] | ||
Primrose II Communities | Fixed rate debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 22,913 | 23,337 | ||
Primrose I Communities | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest on Loan accrues - Fixed rate | 4.11% | [1],[4] | ||
Payment Terms | Monthly principal and interest payments based on a 30-year amortization schedule | [4] | ||
Principal and interest payments amortizable period | 30 years | [4] | ||
Maturity Date | 1-Sep-22 | [3],[4] | ||
Primrose I Communities | Fixed rate debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 53,060 | [4] | 54,031 | [4] |
Watercrest at Mansfield | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest on Loan accrues - Fixed rate | 4.68% | [1],[5] | ||
Payment Terms | Monthly principal and interest payments based on a total payment of $143,330 | [5] | ||
Monthly principal and interest payments | 143,330 | [5] | ||
Maturity Date | 1-Jun-23 | [3],[5] | ||
Watercrest at Mansfield | Fixed rate debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 27,073 | [5] | ||
LaPorte Cancer Center Westville, Indiana | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest on Loan accrues - Fixed rate | 4.25% | [1] | ||
Interest on Loan accrues - Fixed rate applicable final year | 2020 | [1] | ||
Payment Terms | Monthly principal and interest payments based on a 25-year amortization schedule | |||
Principal and interest payments amortizable period | 25 years | |||
Maturity Date | 14-Jun-28 | [3] | ||
LaPorte Cancer Center Westville, Indiana | Fixed rate debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 8,220 | 8,419 | ||
Perennial Communities | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments through April 2015; principal and interest payments thereafter based on a 25-year amortization schedule | [6] | ||
Principal and interest payments amortizable period | 25 years | [6] | ||
Interest payments ending date | 2015-04 | [6] | ||
Maturity Date | 31-May-16 | [3],[6] | ||
Perennial Communities | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 30,000 | [6] | 30,000 | [6] |
Medical Portfolio I | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 30-year amortization schedule | [6] | ||
Principal and interest payments amortizable period | 30 years | [6] | ||
Maturity Date | 5-Sep-16 | [3],[6] | ||
Medical Portfolio I | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 34,720 | [6] | 35,512 | [6] |
Lee Hughes Medical Building | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 30-year amortization schedule | |||
Principal and interest payments amortizable period | 30 years | |||
Maturity Date | 5-Sep-16 | [3] | ||
Lee Hughes Medical Building | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 19,162 | |||
Harbor Chase Community | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments through August 2015; principal and interest payments thereafter based on a 30-year amortization schedule | |||
Principal and interest payments amortizable period | 30 years | |||
Interest payments ending date | 2015-08 | |||
Maturity Date | 1-Sep-17 | [3] | ||
Harbor Chase Community | Variable Rate Debt | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Total debt | 16,589 | 13,130 | ||
Raider Ranch Development (Lubbock, TX) | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments through October 2017; principal and interest payments thereafter based on a 25-year amortization schedule | |||
Principal and interest payments amortizable period | 25 years | |||
Interest payments ending date | 2017-10 | |||
Maturity Date | 27-Oct-17 | [3] | ||
Raider Ranch Development (Lubbock, TX) | Variable Rate Debt | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Total debt | 1 | |||
Claremont Medical Office | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 30-year amortization schedule | [7] | ||
Principal and interest payments amortizable period | 30 years | [7] | ||
Maturity Date | 15-Jan-18 | [3],[7] | ||
Claremont Medical Office | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 12,958 | [7] | ||
Dogwood Forest of Cumming One Senior Housing Property [Member] | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments through December 2015; principal and interest payments thereafter based on a 30-year amortization schedule | |||
Principal and interest payments amortizable period | 30 years | |||
Interest payments ending date | 2015-12 | |||
Maturity Date | 1-Jan-18 | [3] | ||
Dogwood Forest of Cumming One Senior Housing Property [Member] | Variable Rate Debt | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Total debt | 12,038 | 3,765 | ||
Knoxville MOBs | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments for the first 18 months; principal and interest payments thereafter based on a 30-year amortization schedule | [8] | ||
Principal and interest payments amortizable period | 30 years | [8] | ||
Interest payments period | 18 months | [8] | ||
Maturity Date | 10-Jul-18 | [3],[8] | ||
Knoxville MOBs | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 38,609 | [8] | 38,609 | [8] |
Calvert MOBs | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments for the first 18 months; principal and interest payments thereafter based on a 30-year amortization schedule | [9] | ||
Principal and interest payments amortizable period | 30 years | [9] | ||
Interest payments period | 18 months | [9] | ||
Maturity Date | 29-Aug-18 | [3],[9] | ||
Calvert MOBs | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 26,274 | [9] | 26,274 | [9] |
Wellmore of Tega Cay (Tega Cay, SC) | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly interest only payments through February 2019; principal and interest payments thereafter based on a 25-year amortization schedule | |||
Principal and interest payments amortizable period | 25 years | |||
Interest payments ending date | 2019-02 | |||
Maturity Date | 6-Feb-19 | [3] | ||
Wellmore of Tega Cay (Tega Cay, SC) | Variable Rate Debt | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Total debt | 8,007 | |||
Houston Orthopedic & Spine Hospital and Medical Building | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 20-year amortization schedule | [10] | ||
Principal and interest payments amortizable period | 20 years | [10] | ||
Maturity Date | 2-Jun-19 | [10],[3] | ||
Houston Orthopedic & Spine Hospital and Medical Building | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 49,624 | [10] | ||
Medical Portfolio II | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 25-year amortization schedule | [11] | ||
Principal and interest payments amortizable period | 25 years | [11] | ||
Maturity Date | 14-Jul-19 | [11],[3] | ||
Medical Portfolio II | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 85,127 | [11] | ||
Northwest Medical Park | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 25-year amortization schedule | [12] | ||
Principal and interest payments amortizable period | 25 years | [12] | ||
Maturity Date | 31-Oct-17 | [12],[3] | ||
Northwest Medical Park | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 7,129 | [12] | ||
Southeast Medical Office Properties | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Payment Terms | Monthly principal and interest payments based on a 25-year amortization schedule | [13] | ||
Principal and interest payments amortizable period | 25 years | [13] | ||
Maturity Date | 22-Dec-19 | [13],[3] | ||
Southeast Medical Office Properties | Variable Rate Debt | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Total debt | 142,684 | [13] | ||
30-day LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 0.17% | 0.16% | ||
30-day LIBOR | Perennial Communities | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 4.25% | [1],[6] | ||
30-day LIBOR | Medical Portfolio I | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.65% | [1],[6] | ||
30-day LIBOR | Lee Hughes Medical Building | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 1.85% | [1] | ||
30-day LIBOR | Harbor Chase Community | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 3.20% | [1] | ||
30-day LIBOR | Raider Ranch Development (Lubbock, TX) | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 3.50% | [1] | ||
Floor rate | 0.50% | [1] | ||
30-day LIBOR | Claremont Medical Office | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.60% | [1],[7] | ||
30-day LIBOR | Dogwood Forest of Cumming One Senior Housing Property [Member] | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 3.20% | [1] | ||
30-day LIBOR | Knoxville MOBs | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.50% | [1],[8] | ||
30-day LIBOR | Calvert MOBs | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.50% | [1],[9] | ||
30-day LIBOR | Wellmore of Tega Cay (Tega Cay, SC) | Construction Loan | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 5.40% | [1] | ||
Floor rate | 0.50% | [1] | ||
30-day LIBOR | Northwest Medical Park | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.30% | [1],[12] | ||
30-day LIBOR | Southeast Medical Office Properties | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.00% | [1],[13] | ||
90-day LIBOR | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 0.25% | 0.24% | ||
90-day LIBOR | Houston Orthopedic & Spine Hospital and Medical Building | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.85% | [1],[10] | ||
Floor rate | 0.40% | [1],[10] | ||
90-day LIBOR | Medical Portfolio II | Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Interest accrues on loan in addition to LIBOR | 2.35% | [1],[11] | ||
Floor rate | 0.25% | [1],[11] | ||
[1] | The 30-day and 90-day LIBOR was approximately 0.17% and 0.25%, respectively, as of December 31, 2014 and approximately 0.16% and 0.24%, respectively, as of December 31, 2013. | |||
[2] | The Pacific Northwest Loan may be prepaid, in whole or in part, with a prepayment premium equal to the greater of: (i) one percent (1%) of the principal amount being prepaid, multiplied by the quotient of the number of full months remaining until the maturity date of the loan (calculated as of the prepayment date) divided by the number of full months comprising the term of the loan; or (b) a "make-whole" payment equal to the present value of the loan less the amount of principal and accrued interest being prepaid calculated as of the prepayment date for the period between that date and the maturity date. | |||
[3] | Represents the initial maturity date (or, as applicable, the maturity date as extended). The maturity date may be extended beyond the date shown subject to certain lender conditions. | |||
[4] | If prepaid prior to March 1, 2022, the Primrose I Communities Mortgage Loan is subject to a prepayment penalty in an amount equal to the greater of (i) 1% of the principal being repaid, or (ii) an amount calculated on the principal being repaid, multiplied by the difference between the Primrose I Communities Mortgage Loan interest rate, and a calculated yield rate tied to the rates on applicable U.S. Treasuries. If prepayment is made between March 1, 2022, and May 31, 2022, the prepayment penalty will be 1% of the outstanding principal balance of the Primrose I Communities Mortgage Loan. No prepayment fee is required if the Primrose I Communities Mortgage Loan is prepaid between June 1, 2022 and maturity. Partial prepayment of a loan is not permitted. The loan is transferable upon sale of the assets subject to lender approval. | |||
[5] | The balance for this loan excludes a premium of $0.4 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. | |||
[6] | The Company entered into a two-year forward interest rate swap with a notional amount of $30 million; see Note 12, "Derivative Financial Instruments" for additional information. | |||
[7] | The balance for this loan excludes a discount of $0.6 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. In addition, the Company entered into a three-year forward interest rate swap with a notional amount of $12.4 million; see Note 12, "Derivative Financial Instruments" for additional information | |||
[8] | The Company entered into a three-year forward interest rate swap with a notional amount of $38.3 million; see Note 12, "Derivative Financial Instruments" for additional information. | |||
[9] | The Company entered into a three-year forward interest rate swap with a notional amount of $26.1 million; see Note 12, "Derivative Financial Instruments" for additional information. | |||
[10] | The Company entered into a three-year forward interest rate swap with a notional amount of $48.4 million; see Note 12, "Derivative Financial Instruments" for additional information. | |||
[11] | The Company entered into a four-year forward interest rate swap with a notional amount of $84.3 million; see Note 12, "Derivative Financial Instruments" for additional information. | |||
[12] | The Company entered into a three-year interest rate swap with a notional amount of $7.1 million; see Note 12, "Derivative Financial Instruments" for additional information. | |||
[13] | In January 2015, the Company entered into a four-year forward interest rate swap with a notional amount of $138.7 million; see Note 16, "Subsequent Events" for further information. |
Schedule_of_Indebtedness_Paren
Schedule of Indebtedness (Parenthetical) (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Jan. 31, 2015 | Jan. 31, 2015 | ||
30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 0.17% | 0.16% | |||
90-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 0.25% | 0.24% | |||
Primrose I Communities | If prepayment made between March 1, 2022, and May 31, 2022 | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment penalty on principal repaid | 1.00% | ||||
Primrose I Communities | If prepaid within between June 1, 2022 and maturity | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment penalty on principal repaid | 0.00% | ||||
Watercrest at Mansfield | Mortgage Loans | Fixed rate debt | |||||
Debt Instrument [Line Items] | |||||
Loan premium | 400,000 | ||||
Perennial Communities | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 4.25% | [1],[2] | |||
Perennial Communities | 2-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 30,000,000 | ||||
Derivative contract, maturity period | 2 years | ||||
Medical Portfolio I | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.65% | [1],[2] | |||
Medical Portfolio I | 2-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 30,000,000 | ||||
Derivative contract, maturity period | 2 years | ||||
Claremont Medical Office | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.60% | [1],[3] | |||
Claremont Medical Office | Mortgage Loans | Variable Rate Debt | |||||
Debt Instrument [Line Items] | |||||
Loan discount | 600,000 | ||||
Claremont Medical Office | Mortgage Loans | 3-year forward interest rate swap | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 12,400,000 | ||||
Derivative contract, maturity period | 3 years | ||||
Knoxville MOBs | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.50% | [1],[4] | |||
Knoxville MOBs | 3-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 38,300,000 | ||||
Derivative contract, maturity period | 3 years | ||||
Calvert MOBs | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.50% | [1],[5] | |||
Calvert MOBs | 3-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 26,100,000 | ||||
Derivative contract, maturity period | 3 years | ||||
Houston Orthopedic & Spine Hospital and Medical Building | Mortgage Loans | 90-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.85% | [1],[6] | |||
Houston Orthopedic & Spine Hospital and Medical Building | 3-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 48,400,000 | ||||
Derivative contract, maturity period | 3 years | ||||
Medical Portfolio II | Mortgage Loans | 90-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.35% | [1],[7] | |||
Medical Portfolio II | 4-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 84,300,000 | ||||
Derivative contract, maturity period | 4 years | ||||
Northwest Medical Park | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.30% | [1],[8] | |||
Northwest Medical Park | 3-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | 7,100,000 | ||||
Derivative contract, maturity period | 3 years | ||||
Southeast Medical Office Properties | Mortgage Loans | 30-day LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest accrues on loan in addition to LIBOR | 2.00% | [1],[9] | |||
Subsequent Event | Southeast Medical Office Properties | 4-year forward interest rate swap | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Notional amount of derivative contract | $138,700,000 | $138,700,000 | |||
Derivative contract, maturity period | 4 years | 4 years | |||
Minimum | Pacific Northwest II Communities | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment penalty on principal repaid | 1.00% | ||||
Minimum | Primrose I Communities | If prepaid prior to March 1, 2022 | Mortgage Loans | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment penalty on principal repaid | 1.00% | ||||
[1] | The 30-day and 90-day LIBOR was approximately 0.17% and 0.25%, respectively, as of December 31, 2014 and approximately 0.16% and 0.24%, respectively, as of December 31, 2013. | ||||
[2] | The Company entered into a two-year forward interest rate swap with a notional amount of $30 million; see Note 12, "Derivative Financial Instruments" for additional information. | ||||
[3] | The balance for this loan excludes a discount of $0.6 million related to the mortgage note payable assumed being recorded at fair value on the acquisition date. In addition, the Company entered into a three-year forward interest rate swap with a notional amount of $12.4 million; see Note 12, "Derivative Financial Instruments" for additional information | ||||
[4] | The Company entered into a three-year forward interest rate swap with a notional amount of $38.3 million; see Note 12, "Derivative Financial Instruments" for additional information. | ||||
[5] | The Company entered into a three-year forward interest rate swap with a notional amount of $26.1 million; see Note 12, "Derivative Financial Instruments" for additional information. | ||||
[6] | The Company entered into a three-year forward interest rate swap with a notional amount of $48.4 million; see Note 12, "Derivative Financial Instruments" for additional information. | ||||
[7] | The Company entered into a four-year forward interest rate swap with a notional amount of $84.3 million; see Note 12, "Derivative Financial Instruments" for additional information. | ||||
[8] | The Company entered into a three-year interest rate swap with a notional amount of $7.1 million; see Note 12, "Derivative Financial Instruments" for additional information. | ||||
[9] | In January 2015, the Company entered into a four-year forward interest rate swap with a notional amount of $138.7 million; see Note 16, "Subsequent Events" for further information. |
Schedule_of_Future_Principal_P
Schedule of Future Principal Payments and Maturity (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Net Balance | ||
2015 | $17,693 | |
2016 | 99,609 | |
2017 | 65,380 | |
2018 | 296,723 | |
2019 | 444,136 | |
Thereafter | 136,423 | |
Total borrowings | $1,059,964 | $536,607 |
Related_Party_Arrangements_Add
Related Party Arrangements - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||||||||||
Jul. 31, 2014 | Jun. 30, 2014 | Feb. 28, 2014 | Aug. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2013 | ||||
Related Party Transaction [Line Items] | ||||||||||||
Selling commissions | 7.00% | 15.00% | ||||||||||
Marketing support fees | 3.00% | |||||||||||
Investment service fee as percentage of purchase price of properties | 1.85% | |||||||||||
Monthly asset management fee as Percentage of real estate value | 0.08% | |||||||||||
Financing coordination fee as percentage of gross amount of refinancing | 1.00% | |||||||||||
Advisor disposition fee as percentage of competitive real estate commission | 50.00% | |||||||||||
Advisor disposition fee as percentage of sales price of property | 1.00% | |||||||||||
Advisor disposition fee as percentage of sales price of asset | 1.00% | |||||||||||
Annualized return of investment | 6.00% | |||||||||||
Oversight fee as percentage of gross revenues from property managed | 1.00% | |||||||||||
Construction management fee as percentage of hard and soft costs | 5.00% | |||||||||||
Initial purchase price of property percentage | 10.00% | |||||||||||
Property management fees | $429,000 | [1] | $322,000 | [1] | ||||||||
Investment services fees | 18,553,000 | [2] | 12,892,000 | [2] | 7,673,000 | [2] | ||||||
Operating expenses reimbursement as percentage average invested assets | 2.00% | |||||||||||
Operating expenses reimbursement as percentage of net income | 25.00% | |||||||||||
Bank deposits | 100,000 | 400,000 | ||||||||||
Total construction loan | 6,200,000 | |||||||||||
Construction loan commitments | 3,700,000 | |||||||||||
Purchase price of land | 2,200,000 | 4,000,000 | 2,800,000 | 3,000,000 | 1,800,000 | |||||||
Development cost | 1,900,000 | |||||||||||
Property Manager | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Property management fees | 1,000,000 | |||||||||||
CNL Capital Markets Corp | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Investment services fees | 400,000 | 300,000 | 100,000 | |||||||||
Co-venture partners | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Payment to co-venture partner | $30,000 | $100,000 | ||||||||||
Single Tenant Properties | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Property management fees as percentage of annual gross rental revenue | 2.00% | |||||||||||
Multi Tenant Properties | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Property management fees as percentage of annual gross rental revenue | 4.00% | |||||||||||
[1] | Amounts are recorded as due to related parties in the accompanying consolidated balance sheets. | |||||||||||
[2] | For the year ended December 31, 2014, the Company incurred approximately $18.6 million in investment services fees of which approximately $1.8 million, was capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2013, the Company incurred approximately $12.9 million in investment service fees of which approximately $0.5 million and $0.1 million, respectively, were capitalized and included in investments in unconsolidated entities and real estate under development. For the year ended December 31, 2012, the Company incurred approximately $7.7 million in investment services fees of which approximately $2.9 million and $0.6 million, respectively, were capitalized and included in investments in unconsolidated entities and properties held for development. Investment service fees, that are not capitalized, are recorded as acquisition fees and expenses in the accompanying consolidated statements of operations. |
Fees_in_Connection_with_Offeri
Fees in Connection with Offering (Detail) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Related Party Transaction [Line Items] | ||||||
Selling commissions | $18,387 | [1] | $10,262 | [1] | $7,070 | [1] |
Marketing support fees | 16,429 | [1] | 11,310 | [1] | 4,957 | [1] |
Total offering expenses | 34,816 | 21,572 | 12,027 | |||
Selling commissions | 388 | [2] | 71 | [2] | ||
Marketing support fees | 555 | [2] | 70 | [2] | ||
Total offering expenses unpaid | $943 | [2] | $141 | [2] | ||
[1] | Amounts are recorded as stock issuance and offering costs in the accompanying consolidated statements of stockholders' equity and redeemable noncontrolling interest. Amounts include approximately $30,000, $0.1 million and $0 of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | |||||
[2] | Amounts are recorded as due to related parties in the accompanying consolidated balance sheets. |
Schedule_of_Fees_Reimbursable_
Schedule of Fees, Reimbursable Expenses and Related Amounts Unpaid to Related Parties (Detail) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Related Party Transaction [Line Items] | ||||||
Offering costs | $5,151 | [1] | $4,373 | [1] | $6,867 | [1] |
Operating expenses | 3,206 | [2] | 2,576 | [2] | 1,506 | [2] |
Acquisition fees and expenses | 23,931 | 18,840 | 6,585 | |||
Total reimbursable expenses | 8,971 | 7,203 | 8,642 | |||
Investment services fees | 18,553 | [3] | 12,892 | [3] | 7,673 | [3] |
Disposition fee | 608 | [4] | ||||
Financing coordination fees | 220 | [5] | 0 | 552 | [5] | |
Property management fees | 8,942 | 2,642 | 404 | |||
Asset management fees | 8,481 | 3,614 | 1,369 | |||
Interest reserve and other advances | 0 | [6] | 0 | [6] | 0 | [6] |
Total reimbursable expenses, net | 44,338 | 27,036 | 18,699 | |||
Offering costs | 713 | [7] | 612 | [7] | ||
Operating expenses | 479 | [7] | 915 | [7] | ||
Acquisition fees and expenses | 80 | [7] | 138 | [7] | ||
Total reimbursable expenses due | 1,272 | [7] | 1,665 | [7] | ||
Investment services fees | 0 | [7] | 0 | [7] | ||
Disposition fee | 0 | [7] | 0 | [7] | ||
Financing coordination fees | 0 | [7] | 0 | [7] | ||
Property management fees | 429 | [7] | 322 | [7] | ||
Asset management fees | 355 | [7] | 894 | [7] | ||
Interest reserve and other advances | 286 | [7] | ||||
Total related amount unpaid | 2,056 | [7] | 3,167 | [7] | ||
Property Manager | ||||||
Related Party Transaction [Line Items] | ||||||
Acquisition fees and expenses | 614 | 254 | 269 | |||
Reimbursable expenses | ||||||
Related Party Transaction [Line Items] | ||||||
Property management fees | 2,982 | [8] | 1,244 | [8] | 452 | [8] |
Asset management fees | $13,612 | [9] | $5,089 | [9] | $1,380 | [9] |
[1] | Amounts are recorded as stock issuance and offering costs in the accompanying consolidated statements of stockholders' equity and redeemable noncontrolling interest. Amounts include approximately $30,000, $0.1 million and $0 of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | |||||
[2] | Amounts are recorded as general and administrative expenses in the accompanying consolidated statements of operations. Amounts include approximately $0.2 million, $0.2 million and $0.1 million of reimbursement payments to the Advisor for services provided to the Company by its executive officers for the years ended December 31, 2014, 2013 and 2012, respectively. The reimbursement payments include components of salaries, benefits and other overhead charges. | |||||
[3] | For the year ended December 31, 2014, the Company incurred approximately $18.6 million in investment services fees of which approximately $1.8 million, was capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2013, the Company incurred approximately $12.9 million in investment service fees of which approximately $0.5 million and $0.1 million, respectively, were capitalized and included in investments in unconsolidated entities and real estate under development. For the year ended December 31, 2012, the Company incurred approximately $7.7 million in investment services fees of which approximately $2.9 million and $0.6 million, respectively, were capitalized and included in investments in unconsolidated entities and properties held for development. Investment service fees, that are not capitalized, are recorded as acquisition fees and expenses in the accompanying consolidated statements of operations. | |||||
[4] | Amounts are recorded as a reduction to gain on sale of investment in unconsolidated entity in the accompanying consolidated statements of operations. | |||||
[5] | For the year ended December 31, 2014, the Company incurred approximately $0.2 million in financing coordination fees, which was capitalized and included in its investment in the Windsor Manor Joint Venture. There were no financing coordination fees for the year ended December 31, 2013. For the year ended December 31, 2012, the Company incurred approximately $0.5 million in financing coordination fees, which was capitalized as loan costs in the accompanying consolidated balance sheets. | |||||
[6] | Amount primarily consists of an interest reserve account related to the ADC Loan originated in June 2013. | |||||
[7] | Amounts are recorded as due to related parties in the accompanying consolidated balance sheets. | |||||
[8] | For the years ended December 31, 2014, 2013 and 2012, the Company incurred approximately $2.9 million, $1.2 million and $0.1 million, respectively, in property and construction management fees payable to the Property Manager of which approximately $0.9 million, $0.2 million and $0.1 million, respectively, in construction management fees were capitalized and included in real estate under development in the accompanying consolidated balance sheets. | |||||
[9] | For the years ended December 31, 2014 and 2013, the Company incurred approximately $13.6 million and $5.1 million, respectively, in asset management fees payable to the Advisor of which approximately $4.9 million and $1.4 million, respectively, were forgone in accordance with the terms of the Advisor Expense Support Agreement and approximately $0.3 million and $0.1 million, respectively, were capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2012, the Company incurred approximately $1.4 million in asset management fees payable to the Advisor, of which approximately eleven thousand dollars was capitalized and included in real estate under development. |
Schedule_of_Fees_Reimbursable_1
Schedule of Fees, Reimbursable Expenses and Related Amounts Unpaid to Related Parties (Parenthetical) (Detail) (USD $) | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||
Related Party Transaction [Line Items] | ||||||
Investment services fees | $18,553,000 | [1] | $12,892,000 | [1] | $7,673,000 | [1] |
Financing coordination fees | 220,000 | [2] | 0 | 552,000 | [2] | |
Asset management fees | 8,481,000 | 3,614,000 | 1,369,000 | |||
Expense under Support Agreement | 4,900,000 | 1,400,000 | ||||
Windsor Manor | ||||||
Related Party Transaction [Line Items] | ||||||
Investment service fees capitalized | 200,000 | |||||
Reimbursable expenses | ||||||
Related Party Transaction [Line Items] | ||||||
Advisory fee paid | 30,000 | 100,000 | 0 | |||
Property management fees capitalized | 2,900,000 | 1,200,000 | 100,000 | |||
Asset management fees | 13,612,000 | [3] | 5,089,000 | [3] | 1,380,000 | [3] |
General and Administrative Expense | Reimbursable expenses | ||||||
Related Party Transaction [Line Items] | ||||||
Advisory fee paid | 200,000 | 200,000 | 100,000 | |||
Financing coordination fees capitalized as part of investment | ||||||
Related Party Transaction [Line Items] | ||||||
Investment service fees capitalized | 1,800,000 | 500,000 | 2,900,000 | |||
Construction management fees capitalized | 900,000 | 200,000 | 100,000 | |||
Asset management fees capitalized | 300,000 | 100,000 | 11,000 | |||
Investment Services Fees | ||||||
Related Party Transaction [Line Items] | ||||||
Investment services fees | 18,600,000 | 12,900,000 | 7,700,000 | |||
Development | ||||||
Related Party Transaction [Line Items] | ||||||
Investment service fees capitalized | $100,000 | $600,000 | ||||
[1] | For the year ended December 31, 2014, the Company incurred approximately $18.6 million in investment services fees of which approximately $1.8 million, was capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2013, the Company incurred approximately $12.9 million in investment service fees of which approximately $0.5 million and $0.1 million, respectively, were capitalized and included in investments in unconsolidated entities and real estate under development. For the year ended December 31, 2012, the Company incurred approximately $7.7 million in investment services fees of which approximately $2.9 million and $0.6 million, respectively, were capitalized and included in investments in unconsolidated entities and properties held for development. Investment service fees, that are not capitalized, are recorded as acquisition fees and expenses in the accompanying consolidated statements of operations. | |||||
[2] | For the year ended December 31, 2014, the Company incurred approximately $0.2 million in financing coordination fees, which was capitalized and included in its investment in the Windsor Manor Joint Venture. There were no financing coordination fees for the year ended December 31, 2013. For the year ended December 31, 2012, the Company incurred approximately $0.5 million in financing coordination fees, which was capitalized as loan costs in the accompanying consolidated balance sheets. | |||||
[3] | For the years ended December 31, 2014 and 2013, the Company incurred approximately $13.6 million and $5.1 million, respectively, in asset management fees payable to the Advisor of which approximately $4.9 million and $1.4 million, respectively, were forgone in accordance with the terms of the Advisor Expense Support Agreement and approximately $0.3 million and $0.1 million, respectively, were capitalized and included in real estate under development in the accompanying consolidated balance sheets. For the year ended December 31, 2012, the Company incurred approximately $1.4 million in asset management fees payable to the Advisor, of which approximately eleven thousand dollars was capitalized and included in real estate under development. |
Related_Party_Arrangement_Fees
Related Party Arrangement, Fees and Expenses Incurred (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 0 Months Ended | ||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 31, 2014 | Dec. 31, 2013 | Jul. 31, 2011 | Dec. 31, 2014 | ||||
Related Party Transaction [Line Items] | |||||||||||
Asset management fees | $355 | [1] | $894 | [1] | 894 | [1] | $355 | [1] | |||
Asset management fees | 8,481 | 3,614 | 1,369 | ||||||||
Cash distributions on Restricted Stock | 14,203 | 6,579 | 1,459 | ||||||||
Stock distributions on Restricted Stock | 2,400,000 | 1,100,000 | 200,000 | ||||||||
Stock distributions | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Stock distributions on Restricted Stock | 0.0025 | 0.0025 | 0.0025 | ||||||||
Restricted Stock | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Restricted stock shares | 500,000 | ||||||||||
Expense Support Agreements | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Asset management fees | 6,269 | [2] | 6,269 | [2] | |||||||
Then-current offering price | $10.58 | [3] | $10 | [3] | 10 | [3] | $10.58 | [3] | |||
Asset management fees | 4,867 | [2] | 1,402 | [2] | 6,269 | [2] | |||||
Then-current offering price | $10.24 | $10.24 | |||||||||
Expense Support Agreements | Restricted Stock | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Restricted stock shares | 618,000 | [4] | 618,000 | [4] | |||||||
Restricted stock shares | 478,000 | [4] | 140,000 | [4] | 618,000 | [4] | |||||
Cash distributions on Restricted Stock | 98 | [5] | 5 | [5] | 103 | [5] | |||||
Stock distributions on Restricted Stock | 7,000 | [6] | [6],[7] | 7,000 | [6] | ||||||
Expense Support Agreements | Restricted Stock | Cash distributions | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Distributions on Restricted Stock | 103 | [5] | 103 | [5] | |||||||
Expense Support Agreements | Restricted Stock | Stock distributions | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Distributions on Restricted Stock | $7 | [6] | $7 | [6] | |||||||
[1] | Amounts are recorded as due to related parties in the accompanying consolidated balance sheets. | ||||||||||
[2] | No other amounts have been forgone in connection with the Expense Support Agreements for the years ended December 31, 2014, 2013 and 2012, and cumulatively as of December 31, 2014. | ||||||||||
[3] | The then-current offering prices are based on the Company's NAV per share at the date in which the expense support amounts were ultimately settled under the Expense Support Agreements. | ||||||||||
[4] | Restricted stock shares are comprised of approximately 0.5 million issued to the Advisor and approximately 0.1 million issuable to the Advisor as of December 31, 2014. Since the vesting conditions were not met through December 31, 2014, no fair value was assigned to the restricted stock shares as the shares were valued at zero, which represents the lowest possible value estimated at vesting. In addition, the restricted stock shares were treated as unissued for financial reporting purposes because the vesting criteria had not been met as of December 31, 2014. | ||||||||||
[5] | The cash distributions have been recognized as compensation expense as issued and included in general and administrative expense in the accompanying consolidated statements of operations. | ||||||||||
[6] | This represents the number of shares issued to the Advisor as stock distributions on its restricted stock shares. The par value of the stock distributions has been recognized as compensation expense as issued and included in general and administrative expense in the accompanying consolidated statements of operations. | ||||||||||
[7] | During the year ended December 31, 2013, the Advisor received 356 shares in the form of stock distributions under the terms of the Advisor Expense Support Agreement. |
Related_Party_Arrangement_Fees1
Related Party Arrangement, Fees and Expenses Incurred (Parenthetical) (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Related Party Transaction [Line Items] | |||
Stock distribution, shares | 2,400,000 | 1,100,000 | 200,000 |
Advisor | |||
Related Party Transaction [Line Items] | |||
Stock distribution, shares | 356 | ||
Restricted Stock | |||
Related Party Transaction [Line Items] | |||
Shares issued to Advisor | 500,000 | ||
Shares issuable to Advisor | 100,000 |
Amounts_Related_to_Derivative_
Amounts Related to Derivative Financial Instruments Included in Unconsolidated Entities in Condensed Consolidated Balance Sheet (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Derivative Financial Instruments One | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | $12,421 | [1] | ||
Strike | 1.30% | [1],[2] | ||
Credit Spread | 2.60% | [1],[2] | ||
Trade date | 17-Jan-13 | [1] | ||
Forward date | 15-Jan-15 | [1] | ||
Maturity date | 16-Jan-18 | [1] | ||
Fair value asset (liability) | -71 | [1] | 83 | [1] |
Derivative Financial Instruments Two | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 38,255 | [1] | ||
Strike | 2.70% | [1],[2] | ||
Credit Spread | 2.50% | [1],[2] | ||
Trade date | 6-Sep-13 | [1] | ||
Forward date | 17-Aug-15 | [1] | ||
Maturity date | 10-Jul-18 | [1] | ||
Fair value asset (liability) | -1,228 | [1] | -590 | [1] |
Derivative Financial Instruments Three | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 26,067 | [1] | ||
Strike | 2.80% | [1],[2] | ||
Credit Spread | 2.50% | [1],[2] | ||
Trade date | 6-Sep-13 | [1] | ||
Forward date | 17-Aug-15 | [1] | ||
Maturity date | 29-Aug-18 | [1] | ||
Fair value asset (liability) | -906 | [1] | -435 | [1] |
Derivative Financial Instruments Four | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 30,000 | [1] | ||
Strike | 1.10% | [1],[2] | ||
Credit Spread | 2.70% | [1],[2] | ||
Trade date | 22-Oct-13 | [1] | ||
Forward date | 5-Aug-15 | [1] | ||
Maturity date | 19-Aug-16 | [1] | ||
Fair value asset (liability) | -82 | [1] | -10 | [1] |
Derivative Financial Instruments Five | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 29,952 | [1] | ||
Strike | 0.90% | [1],[2] | ||
Credit Spread | 4.30% | [1],[2] | ||
Trade date | 13-Nov-13 | [1] | ||
Forward date | 11-May-15 | [1] | ||
Maturity date | 31-May-16 | [1] | ||
Fair value asset (liability) | -74 | [1] | -8 | [1] |
Derivative Financial Instruments Six | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 11,000 | [3] | ||
Strike | 3.00% | [2],[3] | ||
Trade date | 27-Jun-14 | [3] | ||
Forward date | 30-Jun-14 | [3] | ||
Maturity date | 30-Jun-17 | [3] | ||
Fair value asset (liability) | 10 | [3] | ||
Derivative Financial Instruments Seven | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 48,415 | [1] | ||
Strike | 2.40% | [1],[2] | ||
Credit Spread | 2.90% | [1],[2] | ||
Trade date | 15-Aug-14 | [1] | ||
Forward date | 1-Jun-16 | [1] | ||
Maturity date | 2-Jun-19 | [1] | ||
Fair value asset (liability) | -270 | [1] | ||
Derivative Financial Instruments Eight | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 84,251 | [1] | ||
Strike | 2.30% | [1],[2] | ||
Credit Spread | 2.40% | [1],[2] | ||
Trade date | 12-Sep-14 | [1] | ||
Forward date | 1-Aug-15 | [1] | ||
Maturity date | 15-Jul-19 | [1] | ||
Fair value asset (liability) | -1,326 | [1] | ||
Derivative Financial Instruments Nine | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 7,129 | [1] | ||
Strike | 1.20% | [1],[2] | ||
Credit Spread | 2.30% | [1],[2] | ||
Trade date | 12-Nov-14 | [1] | ||
Forward date | 15-Nov-14 | [1] | ||
Maturity date | 15-Oct-17 | [1] | ||
Fair value asset (liability) | -35 | [1] | ||
Derivative Financial Instruments Ten | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 175,000 | [1] | ||
Strike | 1.60% | [1],[2] | ||
Credit Spread | 2.00% | [1],[2] | ||
Trade date | 23-Dec-14 | [1] | ||
Forward date | 19-Dec-14 | [1] | ||
Maturity date | 19-Feb-19 | [1] | ||
Fair value asset (liability) | ($881) | [1] | ||
[1] | Amounts related to interest rate swaps held by the Company, or its equity method investments, which are recorded at fair value and included in either other assets or other liabilities in the accompanying consolidated balance sheets. | |||
[2] | The all-in rates are equal to the sum of the Strike and Credit Spread detailed above. | |||
[3] | Amounts related to the interest rate cap held by the Windsor Manor Joint Venture for which the proportionate amounts of fair value relative to the Company's ownership percentage are included in investments in unconsolidated entities in the accompanying consolidated balance sheets. |
Summary_of_Gross_and_Net_Amoun
Summary of Gross and Net Amounts of Interest Rate Swap Presented in Condensed Consolidated Balance Sheet (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Interest Rate Swap Agreement One | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | $12,421 | [1] | $12,421 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -71 | [1] | 83 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -71 | [1] | 83 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -71 | [1] | 83 | [1] |
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -71 | [1] | 83 | [1] |
Interest Rate Swap Agreement Two | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 38,255 | [1] | 38,255 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -1,228 | [1] | -590 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -1,228 | [1] | -590 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -1,228 | [1] | -590 | [1] |
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -1,228 | [1] | -590 | [1] |
Interest Rate Swap Agreement Three | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 26,067 | [1] | 26,067 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -906 | [1] | -435 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -906 | [1] | -435 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -906 | [1] | -435 | [1] |
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -906 | [1] | -435 | [1] |
Interest Rate Swap Agreement Four | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 30,000 | [1] | 30,000 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -82 | [1] | -10 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -82 | [1] | -10 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -82 | [1] | -10 | [1] |
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -82 | [1] | -10 | [1] |
Interest Rate Swap Agreement Five | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 29,952 | [1] | 29,952 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -74 | [1] | -8 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -74 | [1] | -8 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -74 | [1] | -8 | [1] |
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -74 | [1] | -8 | [1] |
Interest Rate Swap Six Agreement | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 11,000 | [2] | 11,000 | [2] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | 10 | [2] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [2] | 0 | [2] |
Fair value asset (liability) | 10 | [2] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | 10 | [2] | ||
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [2] | 0 | [2] |
Fair value asset (liability) | 10 | [2] | ||
Interest Rate Swap Seven Agreement | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 48,415 | [1] | 48,415 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -270 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -270 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -270 | [1] | ||
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -270 | [1] | ||
Interest Rate Swap Eight Agreement | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 84,251 | [1] | 84,251 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -1,326 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -1,326 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -1,326 | [1] | ||
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -1,326 | [1] | ||
Interest Rate Swap Nine Agreement | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 7,129 | [1] | 7,129 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -35 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -35 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -35 | [1] | ||
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -35 | [1] | ||
Interest Rate Swap Ten Agreement | ||||
Derivative [Line Items] | ||||
Notional amount of derivative contract | 175,000 | [1] | 175,000 | [1] |
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -881 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Offset amount | 0 | [1] | 0 | [1] |
Fair value asset (liability) | -881 | [1] | ||
Amounts of asset (liability) presented in the accompanying condensed consolidated balance sheet, Gross amount | -881 | [1] | ||
Gross Amounts in Accompanying Condensed Consolidated Balance Sheet, Cash Collateral | 0 | [1] | 0 | [1] |
Fair value asset (liability) | ($881) | [1] | ||
[1] | Amounts related to interest rate swaps held by the Company, or its equity method investments, which are recorded at fair value and included in either other assets or other liabilities in the accompanying consolidated balance sheets. | |||
[2] | Amounts related to the interest rate cap held by the Windsor Manor Joint Venture for which the proportionate amounts of fair value relative to the Company's ownership percentage are included in investments in unconsolidated entities in the accompanying consolidated balance sheets. |
Equity_Additional_Information_
Equity - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | ||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Oct. 31, 2014 | Dec. 31, 2013 | Jul. 31, 2011 | Jul. 29, 2011 | |
Equity [Line Items] | ||||||||
Redeemable noncontrolling interest in joint venture | 5.00% | |||||||
Aggregate offering proceeds received from public offering | $1,100,000,000 | $568,900,000 | 568,900,000 | |||||
Shares issued from public offering | 113,000,000 | 57,000,000 | 57,000,000 | |||||
Selling commissions | 7.00% | 15.00% | ||||||
Stock issuance and other offering cost | 59,800,000 | 42,000,000 | 23,400,000 | |||||
Total annualized distribution rate | 7.00% | |||||||
Stock distribution, shares | 2,400,000 | 1,100,000 | 200,000 | |||||
Common stock offering price | $10 | |||||||
Cash distribution declared | 31,919,000 | 14,170,000 | 3,197,000 | |||||
Cash paid to stockholders | 14,200,000 | 6,600,000 | 1,500,000 | |||||
Redemptions of common stock | 2,996,000 | 827,000 | 10,000 | |||||
Common Stock Redemption | ||||||||
Equity [Line Items] | ||||||||
Redemption of common stock, shares | 300,000 | 80,000 | 1,049 | |||||
Redemption of common stock, per share | $9.24 | $9.25 | $9.99 | 9.25 | ||||
Redemptions of common stock | 3,000,000 | 800,000 | 10,000 | |||||
Cash distributions | ||||||||
Equity [Line Items] | ||||||||
Monthly cash distribution, per share | $0.03 | 0.0353 | 0.0338 | $0.03 | ||||
Total annualized distribution rate | 4.00% | 4.00% | ||||||
Stock distributions | ||||||||
Equity [Line Items] | ||||||||
Total annualized distribution rate | 3.00% | 3.00% | ||||||
Stock distribution, shares | 0.0025 | 0.0025 | 0.0025 | |||||
Reinvestment Plan | ||||||||
Equity [Line Items] | ||||||||
Aggregate offering proceeds received from public offering | 27,100,000 | 9,400,000 | 9,400,000 | |||||
Shares issued from public offering | 2,800,000 | 1,000,000 | 1,000,000 | |||||
Cash distribution declared | $17,700,000 | $7,600,000 | $1,700,000 |
Tax_Composition_of_Companys_Di
Tax Composition of Company's Distributions Declared (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Distribution of Profits [Line Items] | |||
Return of capital | 69.20% | 36.20% | 100.00% |
Ordinary Income | |||
Distribution of Profits [Line Items] | |||
Taxable as capital gain | 30.80% | 0.00% | 0.00% |
Capital Gain | |||
Distribution of Profits [Line Items] | |||
Taxable as capital gain | 0.00% | 63.80% | 0.00% |
Effect_of_Derivative_Financial
Effect of Derivative Financial Instruments (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) reclassified from AOCI into earnings (Effective Portion) | ($98) | |
Derivative instruments, gain (loss) recognized in other comprehensive income, effective portion | -3,905 | -959 |
Interest Rate Swap | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) reclassified from AOCI into earnings (Effective Portion) | -98 | |
Derivative instruments, gain (loss) recognized in other comprehensive income, effective portion | -3,915 | -1,042 |
Interest Rate Cap Held by Unconsolidated Joint Venture | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative instruments, gain (loss) recognized in other comprehensive income, effective portion | 10 | |
Interest Rate Swap Held by Unconsolidated Joint Venture | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative instruments, gain (loss) recognized in other comprehensive income, effective portion | $83 |
Components_of_Income_Tax_Benef
Components of Income Tax Benefit (Expense) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current: | |||
Federal | $13 | ($13) | |
State | -361 | -1 | |
Total current benefit (expense) | -361 | 13 | -14 |
Deferred: | |||
Federal | -25 | 25 | |
State | -6 | 6 | |
Total deferred benefit (expense) | -31 | 31 | |
Income tax benefit (expense) | ($361) | ($18) | $17 |
Significant_Components_of_Defe
Significant Components of Deferred Tax Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Deferred Tax Assets and Liabilities [Line Items] | ||
Carryforwards of net operating loss | $2,361 | $284 |
Prepaid rent | 437 | 313 |
Valuation allowance | -2,798 | -597 |
Net deferred tax assets | $0 | $0 |
Reconciliation_of_Income_Tax_B
Reconciliation of Income Tax Benefit (Expense) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation Of Income Taxes [Line Items] | |||
Tax expense computed at federal statutory rate | ($18,253) | ($6,329) | ($3,758) |
Benefit of REIT election | 18,253 | 6,344 | 3,746 |
State income tax expense | 361 | 3 | -5 |
Income tax expense | $361 | $18 | ($17) |
Tax expense computed at federal statutory rate | -35.00% | -35.00% | -35.00% |
Benefit of REIT election | 35.00% | 35.08% | 34.89% |
State income tax expense | 0.69% | 0.02% | -0.05% |
Income tax expense | 0.69% | 0.10% | -0.16% |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Income Taxes [Line Items] | |
Net operating loss carry-forwards for federal and state | 12.3 |
Net operating loss carry-forwards expire in 2033 | |
Income Taxes [Line Items] | |
Net operating loss carry-forwards for federal and state | 0.8 |
Net operating loss carry-forwards expire in 2034 | |
Income Taxes [Line Items] | |
Net operating loss carry-forwards for federal and state | 11.5 |
Minimum | |
Income Taxes [Line Items] | |
Net Operating loss carry-forwards, expiration year | 2033 |
Maximum | |
Income Taxes [Line Items] | |
Net Operating loss carry-forwards, expiration year | 2034 |
Ground_and_Air_Rights_Leases_A
Ground and Air Rights Leases - Additional Information (Detail) (Ground and Air Rights Leases, USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Ground and Air Rights Leases | |||
Operating Leased Assets [Line Items] | |||
Operating lease rental expense | $500,000 | $100,000 | $0 |
Schedule_of_Future_Minimum_Lea1
Schedule of Future Minimum Lease Payments Under Ground and Air Rights Leases (Detail) (Ground and Air Rights Leases, USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Ground and Air Rights Leases | |
Long-term Purchase Commitment [Line Items] | |
2015 | $1,347 |
2016 | 1,371 |
2017 | 1,402 |
2018 | 1,428 |
2019 | 1,453 |
Thereafter | 102,773 |
Total | $109,774 |
Tenants_that_Individually_Acco
Tenants that Individually Accounted for 10% or More of Total Revenues or Assets (Detail) | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||
Total Revenue | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 7.70% | [1] | 26.50% | [1] | 93.80% | [1] |
Total Assets | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 7.60% | [2] | 15.30% | [2] | ||
[1] | Includes contractual rental income from operating leases, capital reserve income, straight-line rent adjustments, and amortization of lease intangibles. | |||||
[2] | Represents net book value of real estate assets and lease intangibles associated with the property leased by the respective tenant as of the end of the period presented as a percentage of total assets. |
Quarterly_Financial_Data_Detai
Quarterly Financial Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||||
Total revenues | $55,685 | $49,660 | $42,464 | $33,275 | $21,422 | $14,772 | $8,609 | $7,802 | $181,084 | $52,605 | $7,385 | ||||||||||
Operating loss | -6,179 | -6,243 | -3,381 | -7,375 | -5,515 | -5,307 | -2,302 | -866 | -23,178 | -13,990 | -6,043 | ||||||||||
Net loss attributable to common shareholders | ($15,481) | ($12,204) | ($12,303) | ($12,523) | ($9,156) | ($2,305) | ($2,830) | ($3,809) | ($52,511) | ($18,100) | ($10,720) | ||||||||||
Weighted average number of shares outstanding (basic and diluted) | 105,452 | [1] | 87,344 | [1] | 75,173 | [1] | 65,273 | [1] | 56,828 | [1] | 46,130 | [1] | 34,801 | [1] | 26,604 | [1] | 83,457 | [1] | 41,197 | [1] | 13,199 |
Loss per share of common stock (basic and diluted) | ($0.15) | ($0.14) | ($0.16) | ($0.19) | ($0.16) | ($0.05) | ($0.08) | ($0.14) | ($0.63) | ($0.44) | ($0.81) | ||||||||||
[1] | For the purposes of determining the weighted average number of shares of common stock outstanding, stock distributions issued are treated as if they were outstanding for all periods presented. |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | 15 Months Ended | 1 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 01, 2015 | Feb. 01, 2015 | Jan. 01, 2015 | Mar. 18, 2015 | Feb. 28, 2015 | |
sqft | ||||||||
Subsequent Event [Line Items] | ||||||||
Purchase Price | $905,282,000 | $655,924,000 | ||||||
Stock distribution, shares | 2,400,000 | 1,100,000 | 200,000 | |||||
Cash Distribution | ||||||||
Subsequent Event [Line Items] | ||||||||
Cash and stock distribution to be paid and distributed, date | 11-Mar-15 | |||||||
Stock Distribution | ||||||||
Subsequent Event [Line Items] | ||||||||
Cash and stock distribution to be paid and distributed, date | 13-Mar-15 | |||||||
Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Additional subscription received | 164,800,000 | |||||||
Additional subscription proceeds received, shares | 15,600,000 | |||||||
Monthly cash distribution, per share | $0.04 | $0.04 | $0.04 | |||||
Stock distribution, shares | 0.0025 | 0.0025 | 0.0025 | |||||
Subsequent Event | UT Cancer Institute | ||||||||
Subsequent Event [Line Items] | ||||||||
Purchase Price | $33,700,000 | |||||||
Size of purchased Institute | 100,104 |
Subsequent_Events_Additional_I1
Subsequent Events - Additional Information (Parenthetical) (Detail) (Subsequent Event, Southeast Medical Office Properties, 4-year forward interest rate swap, Mortgage Loans, USD $) | 1 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2015 |
Subsequent Event | Southeast Medical Office Properties | 4-year forward interest rate swap | Mortgage Loans | ||
Subsequent Event [Line Items] | ||
Notional amount of derivative contract | $138,700 | $138,700 |
Derivative contract, maturity period | 4 years | 4 years |
Preliminary_Allocation_of_Purc
Preliminary Allocation of Purchase Price for Properties and Estimated Fair Values of Assets Acquired (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2013 | Feb. 28, 2015 | |||
In Thousands, unless otherwise specified | |||||||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||||||
Land and land improvements | $60,565 | $39,834 | $1,100 | ||||
Buildings and building improvements | 732,740 | 555,342 | |||||
Intangibles | 110,325 | [1] | 50,333 | [1] | |||
Other liabilities | -1,000 | ||||||
Net assets acquired | 875,196 | 656,431 | |||||
Subsequent Event | |||||||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||||||
Land and land improvements | 419 | ||||||
Buildings and building improvements | 27,660 | ||||||
Intangibles | 6,000 | [2] | |||||
Other liabilities | -419 | ||||||
Net assets acquired | $33,660 | ||||||
[1] | At the acquisition date, the weighted-average amortization period on the acquired lease intangibles for the years ended December 31, 2014 and 2013 were approximately 7.7 years and 4.6 years, respectively. The acquired lease intangibles during the year ended December 31, 2014 were comprised of approximately $97.3 million and $13.0 million of in-place lease intangibles and other lease intangibles, respectively, and the acquired lease intangibles during the year ended December 31, 2013 were comprised of approximately $42.5 million and $7.2 million of in-place lease intangibles and other lease intangibles, respectively. | ||||||
[2] | The acquired lease intangibles were comprised of approximately $4.5 million and $1.5 million of in-place lease intangibles and other lease intangibles, respectively. At the acquisition date, the weighted-average amortization periods on these acquired lease intangibles were approximately 11.6 years and 39.0 years, respectively. |
Preliminary_Allocation_of_Purc1
Preliminary Allocation of Purchase Price for Properties and Estimated Fair Values of Assets Acquired (Parenthetical) (Detail) (USD $) | 12 Months Ended | 1 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Feb. 28, 2015 |
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||
Acquired other lease intangibles | $13 | $7.20 | |
Weighted-average amortization period on the acquired lease intangibles | 7 years 8 months 12 days | 4 years 7 months 6 days | |
Acquired lease intangibles | 97.3 | 42.5 | |
Subsequent Event | Lease Intangibles | |||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||
Weighted-average amortization period on the acquired lease intangibles | 11 years 7 months 6 days | ||
Acquired lease intangibles | 4.5 | ||
Subsequent Event | Other Intangibles | |||
Schedule of Business Acquisitions, Purchase Price Allocation [Line Items] | |||
Acquired other lease intangibles | $1.50 | ||
Weighted-average amortization period on the acquired lease intangibles | 39 years |
Recovered_Sheet1
Schedule II-Valuation and Qualifying Accounts (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | ($597) | ||
Charged to Costs and Expenses | -2,201 | -597 | |
Charged to Other Accounts | 0 | 0 | 0 |
Balance at End of Year | -2,798 | -597 | |
Valuation Allowance of Deferred Tax Assets | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | -597 | ||
Charged to Costs and Expenses | -2,201 | -597 | |
Charged to Other Accounts | 0 | 0 | 0 |
Balance at End of Year | ($2,798) | ($597) |
Recovered_Sheet2
Schedule III-Real Estate And Accumulated Depreciation (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | $853,561 | |||
Initial Costs, Land & Land Improvements | 138,942 | |||
Initial Costs, Buildings & Building Improvements | 1,512,937 | |||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 1,365 | |||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 32,677 | |||
Costs Capitalized Subsequent to Acquisition, Construction in Process | 35,508 | |||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 140,307 | [1] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 1,545,614 | [1] | ||
Gross Amounts at which Carried at Close of period, Construction in Process | 35,508 | [1] | ||
Total | 1,721,429 | [1] | 859,877 | 235,945 |
Accumulated Depreciation | -40,467 | -11,011 | -1,702 | |
Primrose Retirement Community Casper, Wyoming | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,265 | [2] | ||
Initial Costs, Land & Land Improvements | 1,910 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,310 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 9 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,910 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,319 | [1],[2] | ||
Total | 18,229 | [1],[2] | ||
Accumulated Depreciation | -1,222 | [2] | ||
Date of construction | 2004 | [2] | ||
Date Acquired | 16-Feb-12 | [2] | ||
Primrose Retirement Community Of Grand Island | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,653 | [2] | ||
Initial Costs, Land & Land Improvements | 719 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,140 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 25 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 744 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,140 | [1],[2] | ||
Total | 12,884 | [1],[2] | ||
Accumulated Depreciation | -947 | [2] | ||
Date of construction | 2005 | [2] | ||
Date Acquired | 16-Feb-12 | [2] | ||
Primrose Retirement Community Mansfield, Ohio | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 11,772 | [2] | ||
Initial Costs, Land & Land Improvements | 650 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,720 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 11 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 6 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 661 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,726 | [1],[2] | ||
Total | 17,387 | [1],[2] | ||
Accumulated Depreciation | -1,292 | [2] | ||
Date of construction | 2007 | [2] | ||
Date Acquired | 16-Feb-12 | [2] | ||
Primrose Retirement Community Marion, Ohio | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 9,765 | [2] | ||
Initial Costs, Land & Land Improvements | 889 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,305 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 889 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,305 | [1],[2] | ||
Total | 17,194 | [1],[2] | ||
Accumulated Depreciation | -1,260 | [2] | ||
Date of construction | 2006 | [2] | ||
Date Acquired | 16-Feb-12 | [2] | ||
Sweetwater Retirement Community Billings Montana | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,605 | [2] | ||
Initial Costs, Land & Land Improvements | 1,578 | [2] | ||
Initial Costs, Buildings & Building Improvements | 14,205 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 17 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,595 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 14,205 | [1],[2] | ||
Total | 15,800 | [1],[2] | ||
Accumulated Depreciation | -1,071 | [2] | ||
Date of construction | 2006 | [2] | ||
Date Acquired | 16-Feb-12 | [2] | ||
HarborChase Community Lady Lake, Florida | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 16,590 | [2] | ||
Initial Costs, Land & Land Improvements | 2,165 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 986 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 15,424 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 3,151 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 15,424 | [1],[2] | ||
Total | 18,575 | [1],[2] | ||
Accumulated Depreciation | -421 | [2] | ||
Date of construction | 2013 | [2] | ||
Date Acquired | 29-Aug-12 | [2] | ||
Dogwood Forest of Acworth | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,039 | [2] | ||
Initial Costs, Land & Land Improvements | 1,750 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 277 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 15,994 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,027 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 15,994 | [1],[2] | ||
Total | 18,021 | [1],[2] | ||
Accumulated Depreciation | -206 | [2] | ||
Date Acquired | 18-Dec-12 | [2] | ||
Primrose Retirement Community Aberdeen, South Dakota | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 311 | [2] | ||
Initial Costs, Buildings & Building Improvements | 3,794 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 311 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 3,794 | [1],[2] | ||
Total | 4,105 | [1],[2] | ||
Accumulated Depreciation | -210 | [2] | ||
Date of construction | 2005 | [2] | ||
Date Acquired | 19-Dec-12 | [2] | ||
Primrose Retirement Community Council Bluffs, Iowa | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 1,144 | [2] | ||
Initial Costs, Buildings & Building Improvements | 11,117 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,144 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 11,117 | [1],[2] | ||
Total | 12,261 | [1],[2] | ||
Accumulated Depreciation | -634 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 19-Dec-12 | [2] | ||
Primrose Retirement Community Decatur, Illinois | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,765 | [2] | ||
Initial Costs, Land & Land Improvements | 513 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,706 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 513 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,706 | [1],[2] | ||
Total | 17,219 | [1],[2] | ||
Accumulated Depreciation | -906 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 19-Dec-12 | [2] | ||
Primrose Retirement Community Lima, Ohio | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 944 | [2] | ||
Initial Costs, Buildings & Building Improvements | 17,115 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 944 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 17,115 | [1],[2] | ||
Total | 18,059 | [1],[2] | ||
Accumulated Depreciation | -931 | [2] | ||
Date of construction | 2006 | [2] | ||
Date Acquired | 19-Dec-12 | [2] | ||
Primrose Retirement Community Zanesville, Ohio | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,149 | [2] | ||
Initial Costs, Land & Land Improvements | 1,184 | [2] | ||
Initial Costs, Buildings & Building Improvements | 17,292 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,184 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 17,292 | [1],[2] | ||
Total | 18,476 | [1],[2] | ||
Accumulated Depreciation | -941 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 19-Dec-12 | [2] | ||
Capital Health of Symphony Manor Baltimore, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 13,632 | [2] | ||
Initial Costs, Land & Land Improvements | 2,319 | [2] | ||
Initial Costs, Buildings & Building Improvements | 19,444 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,319 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 19,444 | [1],[2] | ||
Total | 21,763 | [1],[2] | ||
Accumulated Depreciation | -1,039 | [2] | ||
Date of construction | 2011 | [2] | ||
Date Acquired | 21-Dec-12 | [2] | ||
Curry House Assisted Living & Memory Care Cadillac, Michigan | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,013 | [2] | ||
Initial Costs, Land & Land Improvements | 995 | [2] | ||
Initial Costs, Buildings & Building Improvements | 11,072 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 995 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 11,072 | [1],[2] | ||
Total | 12,067 | [1],[2] | ||
Accumulated Depreciation | -601 | [2] | ||
Date of construction | 1966 | [2] | ||
Date Acquired | 21-Dec-12 | [2] | ||
Tranquillity at Fredericktowne, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,234 | [2] | ||
Initial Costs, Land & Land Improvements | 808 | [2] | ||
Initial Costs, Buildings & Building Improvements | 14,291 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 29 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 808 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 14,320 | [1],[2] | ||
Total | 15,128 | [1],[2] | ||
Accumulated Depreciation | -764 | [2] | ||
Date of construction | 2000 | [2] | ||
Date Acquired | 21-Dec-12 | [2] | ||
Brookridge Heights Assisted Living and Memory Care Marquette, Michigan | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,394 | [2] | ||
Initial Costs, Land & Land Improvements | 595 | [2] | ||
Initial Costs, Buildings & Building Improvements | 11,339 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 595 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 11,339 | [1],[2] | ||
Total | 11,934 | [1],[2] | ||
Accumulated Depreciation | -605 | [2] | ||
Date of construction | 1998 | [2] | ||
Date Acquired | 21-Dec-12 | [2] | ||
Woodholme Gardens Assisted Living and Memory Care Pikesville, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,409 | [2] | ||
Initial Costs, Land & Land Improvements | 1,603 | [2] | ||
Initial Costs, Buildings & Building Improvements | 13,472 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,603 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 13,472 | [1],[2] | ||
Total | 15,075 | [1],[2] | ||
Accumulated Depreciation | -728 | [2] | ||
Date of construction | 2010 | [2] | ||
Date Acquired | 21-Dec-12 | [2] | ||
Batesville Healthcare Center Batesville, Arkansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 3,300 | [2] | ||
Initial Costs, Land & Land Improvements | 397 | [2] | ||
Initial Costs, Buildings & Building Improvements | 5,382 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 397 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 5,382 | [1],[2] | ||
Total | 5,779 | [1],[2] | ||
Accumulated Depreciation | -222 | [2] | ||
Date of construction | 1975 | [2] | ||
Date Acquired | 31-May-13 | [2] | ||
Broadway Healthcare Center West Memphis, Arkansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 6,300 | [2] | ||
Initial Costs, Land & Land Improvements | 438 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,560 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 438 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,560 | [1],[2] | ||
Total | 10,998 | [1],[2] | ||
Accumulated Depreciation | -436 | [2] | ||
Date of construction | 1994 | [2] | ||
Date Acquired | 31-May-13 | [2] | ||
Jonesboro Healthcare Center Jonesboro, Arkansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,100 | [2] | ||
Initial Costs, Land & Land Improvements | 527 | [2] | ||
Initial Costs, Buildings & Building Improvements | 13,493 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 527 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 13,493 | [1],[2] | ||
Total | 14,020 | [1],[2] | ||
Accumulated Depreciation | -556 | [2] | ||
Date of construction | 2012 | [2] | ||
Date Acquired | 31-May-13 | [2] | ||
Magnolia Healthcare Center Magnolia, Arkansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 6,300 | [2] | ||
Initial Costs, Land & Land Improvements | 421 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,454 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 421 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,454 | [1],[2] | ||
Total | 10,875 | [1],[2] | ||
Accumulated Depreciation | -438 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 31-May-13 | [2] | ||
Mine Creek Healthcare Center Nashville, Arkansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 1,800 | [2] | ||
Initial Costs, Land & Land Improvements | 135 | [2] | ||
Initial Costs, Buildings & Building Improvements | 2,942 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 135 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 2,942 | [1],[2] | ||
Total | 3,077 | [1],[2] | ||
Accumulated Depreciation | -127 | [2] | ||
Date of construction | 1978 | [2] | ||
Date Acquired | 31-May-13 | [2] | ||
Searcy Healthcare Center Searcy, Arkansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 4,200 | [2] | ||
Initial Costs, Land & Land Improvements | 648 | [2] | ||
Initial Costs, Buildings & Building Improvements | 6,017 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 648 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 6,017 | [1],[2] | ||
Total | 6,665 | [1],[2] | ||
Accumulated Depreciation | -254 | [2] | ||
Date of construction | 1973 | [2] | ||
Date Acquired | 31-May-13 | [2] | ||
LaPorte Cancer Center Westville, Indiana | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,221 | [2] | ||
Initial Costs, Land & Land Improvements | 433 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,846 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 433 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,846 | [1],[2] | ||
Total | 11,279 | [1],[2] | ||
Accumulated Depreciation | -460 | [2] | ||
Date of construction | 2010 | [2] | ||
Date Acquired | 14-Jun-13 | [2] | ||
Jefferson Medical Commons Jefferson City, Tennessee | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,825 | [2] | ||
Initial Costs, Land & Land Improvements | 151 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,236 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 151 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,236 | [1],[2] | ||
Total | 10,387 | [1],[2] | ||
Accumulated Depreciation | -409 | [2] | ||
Date of construction | 2001 | [2] | ||
Date Acquired | 10-Jul-13 | [2] | ||
Physicians Plaza A at North Knoxville Medical Center Powell, Tennessee | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,209 | [2] | ||
Initial Costs, Land & Land Improvements | 262 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,976 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 262 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,976 | [1],[2] | ||
Total | 17,238 | [1],[2] | ||
Accumulated Depreciation | -679 | [2] | ||
Date of construction | 2005 | [2] | ||
Date Acquired | 10-Jul-13 | [2] | ||
Physicians Plaza B at North Knoxville Medical Center Powell, Tennessee | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 14,685 | [2] | ||
Initial Costs, Land & Land Improvements | 303 | [2] | ||
Initial Costs, Buildings & Building Improvements | 18,754 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 312 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 303 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 19,066 | [1],[2] | ||
Total | 19,369 | [1],[2] | ||
Accumulated Depreciation | -753 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 10-Jul-13 | [2] | ||
Physicians Regional Medical Center - Central Wing Annex Knoxville, Tennessee | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 3,890 | [2] | ||
Initial Costs, Land & Land Improvements | 73 | [2] | ||
Initial Costs, Buildings & Building Improvements | 5,285 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 73 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 5,285 | [1],[2] | ||
Total | 5,358 | [1],[2] | ||
Accumulated Depreciation | -210 | [2] | ||
Date of construction | 2004 | [2] | ||
Date Acquired | 10-Jul-13 | [2] | ||
HarborChase of Jasper Jasper, Alabama | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 355 | [2] | ||
Initial Costs, Buildings & Building Improvements | 6,358 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 355 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 6,358 | [1],[2] | ||
Total | 6,713 | [1],[2] | ||
Accumulated Depreciation | -239 | [2] | ||
Date of construction | 1998 | [2] | ||
Date Acquired | 31-Jul-13 | [2] | ||
Chestnut Commons Medical Office Building Elyria, Ohio | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,503 | [2] | ||
Initial Costs, Land & Land Improvements | 2,053 | [2] | ||
Initial Costs, Buildings & Building Improvements | 15,650 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,053 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 15,650 | [1],[2] | ||
Total | 17,703 | [1],[2] | ||
Accumulated Depreciation | -615 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 16-Aug-13 | [2] | ||
Doctor's Specialty Hospital Leawood, Kansas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 4,385 | [2] | ||
Initial Costs, Land & Land Improvements | 924 | [2] | ||
Initial Costs, Buildings & Building Improvements | 5,771 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 16 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 940 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 5,771 | [1],[2] | ||
Total | 6,711 | [1],[2] | ||
Accumulated Depreciation | -220 | [2] | ||
Date of construction | 2001 | [2] | ||
Date Acquired | 16-Aug-13 | [2] | ||
Escondido Medical Arts Center Escondido, California | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 9,742 | [2] | ||
Initial Costs, Land & Land Improvements | 1,863 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,199 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 23 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,863 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,222 | [1],[2] | ||
Total | 14,085 | [1],[2] | ||
Accumulated Depreciation | -430 | [2] | ||
Date of construction | 1994 | [2] | ||
Date Acquired | 16-Aug-13 | [2] | ||
John C. Lincoln Medical Office Plaza I Phoenix, Arizona | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 2,794 | [2] | ||
Initial Costs, Land & Land Improvements | 233 | [2] | ||
Initial Costs, Buildings & Building Improvements | 2,779 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 13 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 233 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 2,792 | [1],[2] | ||
Total | 3,025 | [1],[2] | ||
Accumulated Depreciation | -116 | [2] | ||
Date of construction | 1980 | [2] | ||
Date Acquired | 16-Aug-13 | [2] | ||
John C. Lincoln Medical Office Plaza II Phoenix, Arizona | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 1,863 | [2] | ||
Initial Costs, Land & Land Improvements | 138 | [2] | ||
Initial Costs, Buildings & Building Improvements | 1,908 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 49 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 138 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 1,957 | [1],[2] | ||
Total | 2,095 | [1],[2] | ||
Accumulated Depreciation | -77 | [2] | ||
Date of construction | 1984 | [2] | ||
Date Acquired | 16-Aug-13 | [2] | ||
North Mountain Medical Plaza Phoenix, Arizona | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 3,432 | [2] | ||
Initial Costs, Land & Land Improvements | 297 | [2] | ||
Initial Costs, Buildings & Building Improvements | 4,079 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 297 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 4,079 | [1],[2] | ||
Total | 4,376 | [1],[2] | ||
Accumulated Depreciation | -166 | [2] | ||
Date of construction | 1994 | [2] | ||
Date Acquired | 16-Aug-13 | [2] | ||
Raider Ranch Development (Lubbock, TX) | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 1 | [2] | ||
Initial Costs, Land & Land Improvements | 1,992 | [2] | ||
Initial Costs, Buildings & Building Improvements | 48,818 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 23 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,992 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 48,841 | [1],[2] | ||
Total | 50,833 | [1],[2] | ||
Accumulated Depreciation | -1,714 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 29-Aug-13 | [2] | ||
The Club at Raider Ranch Development Lubbock, Texas | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 3,000 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Construction in Process | 4,001 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 3,000 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Construction in Process | 4,001 | [1],[2] | ||
Total | 7,001 | [1],[2] | ||
Date Acquired | 29-Aug-13 | [2] | ||
Town Village Oklahoma City, Oklahoma | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 1,020 | [2] | ||
Initial Costs, Buildings & Building Improvements | 19,847 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,020 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 19,847 | [1],[2] | ||
Total | 20,867 | [1],[2] | ||
Accumulated Depreciation | -689 | [2] | ||
Date of construction | 2004 | [2] | ||
Date Acquired | 29-Aug-13 | [2] | ||
Calvert Medical Arts Center Prince Frederick, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,581 | [2] | ||
Initial Costs, Land & Land Improvements | 20 | [2] | ||
Initial Costs, Buildings & Building Improvements | 17,838 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 72 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 20 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 17,910 | [1],[2] | ||
Total | 17,930 | [1],[2] | ||
Accumulated Depreciation | -614 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 30-Aug-13 | [2] | ||
Calvert Medical Office Building I, II, III Prince Frederick, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,686 | [2] | ||
Initial Costs, Land & Land Improvements | 51 | [2] | ||
Initial Costs, Buildings & Building Improvements | 14,334 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 273 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 51 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 14,607 | [1],[2] | ||
Total | 14,658 | [1],[2] | ||
Accumulated Depreciation | -502 | [2] | ||
Date Acquired | 30-Aug-13 | [2] | ||
Calvert Medical Office Building I Prince Frederick, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 1991 | [2] | ||
Calvert Medical Office Building II Prince Frederick, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 1999 | [2] | ||
Calvert Medical Office Building III Prince Frederick, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2000 | [2] | ||
Dunkirk Medical Center Dunkirk, Maryland | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 3,007 | [2] | ||
Initial Costs, Land & Land Improvements | 351 | [2] | ||
Initial Costs, Buildings & Building Improvements | 2,991 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 10 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 351 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 3,001 | [1],[2] | ||
Total | 3,352 | [1],[2] | ||
Accumulated Depreciation | -133 | [2] | ||
Date of construction | 1997 | [2] | ||
Date Acquired | 30-Aug-13 | [2] | ||
Prestige Senior Living Beaverton Hills | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 9,465 | [2] | ||
Initial Costs, Land & Land Improvements | 1,387 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,324 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,387 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,324 | [1],[2] | ||
Total | 11,711 | [1],[2] | ||
Accumulated Depreciation | -301 | [2] | ||
Date of construction | 2000 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living High Desert | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,188 | [2] | ||
Initial Costs, Land & Land Improvements | 835 | [2] | ||
Initial Costs, Buildings & Building Improvements | 11,252 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 835 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 11,252 | [1],[2] | ||
Total | 12,087 | [1],[2] | ||
Accumulated Depreciation | -341 | [2] | ||
Date of construction | 2003 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
MorningStar of Billings | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 20,164 | [2] | ||
Initial Costs, Land & Land Improvements | 4,067 | [2] | ||
Initial Costs, Buildings & Building Improvements | 41,373 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 5 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 2 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 4,072 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 41,375 | [1],[2] | ||
Total | 45,447 | [1],[2] | ||
Accumulated Depreciation | -1,269 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
MorningStar of Boise | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 21,524 | [2] | ||
Initial Costs, Land & Land Improvements | 1,663 | [2] | ||
Initial Costs, Buildings & Building Improvements | 35,752 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 12 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,675 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 35,752 | [1],[2] | ||
Total | 37,427 | [1],[2] | ||
Accumulated Depreciation | -1,035 | [2] | ||
Date of construction | 2007 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living Huntington Terrace | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,484 | [2] | ||
Initial Costs, Land & Land Improvements | 1,236 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,083 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,236 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,083 | [1],[2] | ||
Total | 13,319 | [1],[2] | ||
Accumulated Depreciation | -358 | [2] | ||
Date of construction | 2000 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
MorningStar of Idaho Falls | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 18,414 | [2] | ||
Initial Costs, Land & Land Improvements | 2,006 | [2] | ||
Initial Costs, Buildings & Building Improvements | 40,397 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 5 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,011 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 40,397 | [1],[2] | ||
Total | 42,408 | [1],[2] | ||
Accumulated Depreciation | -1,193 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living Arbor Place | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,429 | [2] | ||
Initial Costs, Land & Land Improvements | 355 | [2] | ||
Initial Costs, Buildings & Building Improvements | 14,083 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 355 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 14,083 | [1],[2] | ||
Total | 14,438 | [1],[2] | ||
Accumulated Depreciation | -407 | [2] | ||
Date of construction | 2003 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living Orchard Heights | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,659 | [2] | ||
Initial Costs, Land & Land Improvements | 545 | [2] | ||
Initial Costs, Buildings & Building Improvements | 15,544 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 8 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 545 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 15,552 | [1],[2] | ||
Total | 16,097 | [1],[2] | ||
Accumulated Depreciation | -444 | [2] | ||
Date of construction | 2002 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living Southern Hills | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,694 | [2] | ||
Initial Costs, Land & Land Improvements | 653 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,753 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 653 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,753 | [1],[2] | ||
Total | 11,406 | [1],[2] | ||
Accumulated Depreciation | -314 | [2] | ||
Date of construction | 2001 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
MorningStar of Sparks | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 24,405 | [2] | ||
Initial Costs, Land & Land Improvements | 3,986 | [2] | ||
Initial Costs, Buildings & Building Improvements | 47,968 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 3,986 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 47,968 | [1],[2] | ||
Total | 51,954 | [1],[2] | ||
Accumulated Depreciation | -1,430 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living Five Rivers | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,931 | [2] | ||
Initial Costs, Land & Land Improvements | 1,298 | [2] | ||
Initial Costs, Buildings & Building Improvements | 14,064 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 48 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,298 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 14,112 | [1],[2] | ||
Total | 15,410 | [1],[2] | ||
Accumulated Depreciation | -434 | [2] | ||
Date of construction | 2002 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Prestige Senior Living Riverwood | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 4,601 | [2] | ||
Initial Costs, Land & Land Improvements | 1,028 | [2] | ||
Initial Costs, Buildings & Building Improvements | 7,429 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 37 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,028 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 7,466 | [1],[2] | ||
Total | 8,494 | [1],[2] | ||
Accumulated Depreciation | -225 | [2] | ||
Date of construction | 1999 | [2] | ||
Date Acquired | 2-Dec-13 | [2] | ||
Chula Vista Medical Arts Center - Plaza I | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,462 | [2] | ||
Initial Costs, Buildings & Building Improvements | 7,453 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 234 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,462 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 7,687 | [1],[2] | ||
Total | 10,149 | [1],[2] | ||
Accumulated Depreciation | -205 | [2] | ||
Date of construction | 1985 | [2] | ||
Date Acquired | 23-Dec-13 | [2] | ||
Coral Springs Medical Office Building I | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,614 | [2] | ||
Initial Costs, Buildings & Building Improvements | 11,220 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 1 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,614 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 11,221 | [1],[2] | ||
Total | 13,835 | [1],[2] | ||
Accumulated Depreciation | -332 | [2] | ||
Date of construction | 2005 | [2] | ||
Date Acquired | 23-Dec-13 | [2] | ||
Coral Springs Medical Office Building II | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,614 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,130 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,614 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,130 | [1],[2] | ||
Total | 14,744 | [1],[2] | ||
Accumulated Depreciation | -332 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 23-Dec-13 | [2] | ||
Chula Vista Medical Arts Center, Chula Vista, California | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 6,130 | [2] | ||
Initial Costs, Buildings & Building Improvements | 10,293 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 3 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 6,133 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 10,293 | [1],[2] | ||
Total | 16,426 | [1],[2] | ||
Accumulated Depreciation | -260 | [2] | ||
Date of construction | 1975 | [2] | ||
Date Acquired | 21-Jan-14 | [2] | ||
Prestige Senior Living Auburn Meadows | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,810 | [2] | ||
Initial Costs, Land & Land Improvements | 2,537 | [2] | ||
Initial Costs, Buildings & Building Improvements | 17,261 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,537 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 17,261 | [1],[2] | ||
Total | 19,798 | [1],[2] | ||
Accumulated Depreciation | -433 | [2] | ||
Date Acquired | 3-Feb-14 | [2] | ||
Prestige Senior Living Auburn Meadows One | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2003 | |||
Prestige Senior Living Auburn Meadows Two | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2010 | |||
Prestige Senior Living Bridgewood | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 13,514 | [2] | ||
Initial Costs, Land & Land Improvements | 1,603 | [2] | ||
Initial Costs, Buildings & Building Improvements | 18,172 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,603 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 18,172 | [1],[2] | ||
Total | 19,775 | [1],[2] | ||
Accumulated Depreciation | -452 | [2] | ||
Date of construction | 2001 | [2] | ||
Date Acquired | 3-Feb-14 | [2] | ||
Prestige Senior Living Monticello Park | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 18,855 | [2] | ||
Initial Costs, Land & Land Improvements | 1,981 | [2] | ||
Initial Costs, Buildings & Building Improvements | 23,056 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,981 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 23,056 | [1],[2] | ||
Total | 25,037 | [1],[2] | ||
Accumulated Depreciation | -566 | [2] | ||
Date Acquired | 3-Feb-14 | [2] | ||
Prestige Senior Living Monticello Park One | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2001 | |||
Prestige Senior Living Monticello Park Two | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2010 | |||
Prestige Senior Living Rosemont | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 9,737 | [2] | ||
Initial Costs, Land & Land Improvements | 668 | [2] | ||
Initial Costs, Buildings & Building Improvements | 14,564 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 668 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 14,564 | [1],[2] | ||
Total | 15,232 | [1],[2] | ||
Accumulated Depreciation | -353 | [2] | ||
Date of construction | 2004 | [2] | ||
Date Acquired | 3-Feb-14 | [2] | ||
Wellmore of Tega Cay (Tega Cay, SC) | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 8,008 | [2] | ||
Initial Costs, Land & Land Improvements | 2,445 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Construction in Process | 19,753 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,445 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Construction in Process | 19,753 | [1],[2] | ||
Total | 22,198 | [1],[2] | ||
Date Acquired | 7-Feb-14 | [2] | ||
Isle at Cedar Ridge | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 1,525 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,277 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,525 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,277 | [1],[2] | ||
Total | 17,802 | [1],[2] | ||
Accumulated Depreciation | -379 | [2] | ||
Date of construction | 2011 | [2] | ||
Date Acquired | 28-Feb-14 | [2] | ||
Prestige Senior Living West Hills | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 9,031 | [2] | ||
Initial Costs, Land & Land Improvements | 842 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,603 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 842 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,603 | [1],[2] | ||
Total | 13,445 | [1],[2] | ||
Accumulated Depreciation | -293 | [2] | ||
Date of construction | 2002 | [2] | ||
Date Acquired | 3-Mar-14 | [2] | ||
HarborChase of Plainfield | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 1,596 | [2] | ||
Initial Costs, Buildings & Building Improvements | 21,832 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,596 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 21,832 | [1],[2] | ||
Total | 23,428 | [1],[2] | ||
Accumulated Depreciation | -444 | [2] | ||
Date of construction | 2010 | [2] | ||
Date Acquired | 28-Mar-14 | [2] | ||
Legacy Ranch Alzheimer's Special Care Center | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 917 | [2] | ||
Initial Costs, Buildings & Building Improvements | 9,982 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 917 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 9,982 | [1],[2] | ||
Total | 10,899 | [1],[2] | ||
Accumulated Depreciation | -207 | [2] | ||
Date of construction | 2012 | [2] | ||
Date Acquired | 28-Mar-14 | [2] | ||
The Springs Alzheimer's Special Care Center | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 595 | [2] | ||
Initial Costs, Buildings & Building Improvements | 9,658 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 595 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 9,658 | [1],[2] | ||
Total | 10,253 | [1],[2] | ||
Accumulated Depreciation | -200 | [2] | ||
Date of construction | 2012 | [2] | ||
Date Acquired | 28-Mar-14 | [2] | ||
Isle at Watercrest - Bryan | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 714 | [2] | ||
Initial Costs, Buildings & Building Improvements | 18,140 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 4 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 3 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 718 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 18,143 | [1],[2] | ||
Total | 18,861 | [1],[2] | ||
Accumulated Depreciation | -324 | [2] | ||
Date of construction | 2011 | [2] | ||
Date Acquired | 21-Apr-14 | [2] | ||
Watercrest at Bryan | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,509 | [2] | ||
Initial Costs, Buildings & Building Improvements | 22,441 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Land and Improvements | 4 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 9 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,513 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 22,450 | [1],[2] | ||
Total | 24,963 | [1],[2] | ||
Accumulated Depreciation | -433 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 21-Apr-14 | [2] | ||
Isle at Watercrest - Mansfield | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 997 | [2] | ||
Initial Costs, Buildings & Building Improvements | 24,635 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 997 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 24,635 | [1],[2] | ||
Total | 25,632 | [1],[2] | ||
Accumulated Depreciation | -436 | [2] | ||
Date of construction | 2011 | [2] | ||
Date Acquired | 5-May-14 | [2] | ||
Houston Orthopedic & Spine Hospital | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 31,995 | [2] | ||
Initial Costs, Land & Land Improvements | 3,867 | [2] | ||
Initial Costs, Buildings & Building Improvements | 32,761 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 3,867 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 32,761 | [1],[2] | ||
Total | 36,628 | [1],[2] | ||
Accumulated Depreciation | -498 | [2] | ||
Date of construction | 2007 | [2] | ||
Date Acquired | 2-Jun-14 | [2] | ||
Houston Orthopedic & Spine Hospital Medical Office Building | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 17,630 | [2] | ||
Initial Costs, Land & Land Improvements | 3,738 | [2] | ||
Initial Costs, Buildings & Building Improvements | 20,525 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 63 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 3,738 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 20,588 | [1],[2] | ||
Total | 24,326 | [1],[2] | ||
Accumulated Depreciation | -315 | [2] | ||
Date of construction | 2007 | [2] | ||
Date Acquired | 2-Jun-14 | [2] | ||
Watercrest at Katy (Katy, TX) | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 4,000 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Construction in Process | 4,614 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 4,000 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Construction in Process | 4,614 | [1],[2] | ||
Total | 8,614 | [1],[2] | ||
Date Acquired | 27-Jun-14 | [2] | ||
Watercrest at Mansfield | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 27,423 | [2] | ||
Initial Costs, Land & Land Improvements | 2,191 | [2] | ||
Initial Costs, Buildings & Building Improvements | 42,740 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 28 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,191 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 42,768 | [1],[2] | ||
Total | 44,959 | [1],[2] | ||
Accumulated Depreciation | -571 | [2] | ||
Date of construction | 2010 | [2] | ||
Date Acquired | 30-Jun-14 | [2] | ||
HarborChase Of Shorewood (Shorewood, WI) | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,200 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Construction in Process | 7,140 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,200 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Construction in Process | 7,140 | [1],[2] | ||
Total | 9,340 | [1],[2] | ||
Date Acquired | 8-Jul-14 | [2] | ||
Oklahoma City Inpatient Rehabilitation Hospital | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 16,560 | [2] | ||
Initial Costs, Land & Land Improvements | 3,341 | [2] | ||
Initial Costs, Buildings & Building Improvements | 19,249 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 3,341 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 19,249 | [1],[2] | ||
Total | 22,590 | [1],[2] | ||
Accumulated Depreciation | -271 | [2] | ||
Date of construction | 2012 | [2] | ||
Date Acquired | 15-Jul-14 | [2] | ||
Las Vegas Inpatient Rehabilitation Hospital | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 14,475 | [2] | ||
Initial Costs, Land & Land Improvements | 2,650 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,979 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,650 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,979 | [1],[2] | ||
Total | 19,629 | [1],[2] | ||
Accumulated Depreciation | -242 | [2] | ||
Date of construction | 2007 | [2] | ||
Date Acquired | 15-Jul-14 | [2] | ||
South Bend Inpatient Rehabilitation Hospital | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 13,142 | [2] | ||
Initial Costs, Land & Land Improvements | 2,339 | [2] | ||
Initial Costs, Buildings & Building Improvements | 16,239 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,339 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 16,239 | [1],[2] | ||
Total | 18,578 | [1],[2] | ||
Accumulated Depreciation | -234 | [2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 15-Jul-14 | [2] | ||
Beaumont Specialty Hospital | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 21,817 | [2] | ||
Initial Costs, Land & Land Improvements | 2,749 | [2] | ||
Initial Costs, Buildings & Building Improvements | 28,863 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,749 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 28,863 | [1],[2] | ||
Total | 31,612 | [1],[2] | ||
Accumulated Depreciation | -324 | [2] | ||
Date of construction | 2013 | [2] | ||
Date Acquired | 15-Aug-14 | [2] | ||
Hurst Specialty Hospital | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 19,132 | [2] | ||
Initial Costs, Land & Land Improvements | 2,510 | [2] | ||
Initial Costs, Buildings & Building Improvements | 24,091 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,510 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 24,091 | [1],[2] | ||
Total | 26,601 | [1],[2] | ||
Accumulated Depreciation | -271 | [2] | ||
Date Acquired | 15-Aug-14 | [2] | ||
Hurst Specialty Hospital One | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2004 | |||
Hurst Specialty Hospital Two | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2012 | |||
Claremont Medical Office | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,392 | [2] | ||
Initial Costs, Land & Land Improvements | 6,324 | [2] | ||
Initial Costs, Buildings & Building Improvements | 13,533 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 6,324 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 13,533 | [1],[2] | ||
Total | 19,857 | [1],[2] | ||
Accumulated Depreciation | -133 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 29-Aug-14 | [2] | ||
Lee Hughes Medical Building | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 19,162 | [2] | ||
Initial Costs, Land & Land Improvements | 69 | [2] | ||
Initial Costs, Buildings & Building Improvements | 22,967 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 69 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 22,967 | [1],[2] | ||
Total | 23,036 | [1],[2] | ||
Accumulated Depreciation | -148 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 29-Sep-14 | [2] | ||
Newburyport Medical Center | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,614 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,135 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,614 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,135 | [1],[2] | ||
Total | 14,749 | [1],[2] | ||
Accumulated Depreciation | -62 | [2] | ||
Date of construction | 2008 | [2] | ||
Date Acquired | 31-Oct-14 | [2] | ||
Northwest Medical Park | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 7,129 | [2] | ||
Initial Costs, Land & Land Improvements | 610 | [2] | ||
Initial Costs, Buildings & Building Improvements | 6,170 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 610 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 6,170 | [1],[2] | ||
Total | 6,780 | [1],[2] | ||
Accumulated Depreciation | -33 | [2] | ||
Date of construction | 2004 | [2] | ||
Date Acquired | 31-Oct-14 | [2] | ||
Fairfield Village of Layton | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 5,217 | [2] | ||
Initial Costs, Buildings & Building Improvements | 54,167 | [2] | ||
Costs Capitalized Subsequent to Acquisition, Buildings and Building Improvements | 7 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 5,217 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 54,174 | [1],[2] | ||
Total | 59,391 | [1],[2] | ||
Accumulated Depreciation | -128 | [2] | ||
Date of construction | 2010 | [2] | ||
Date Acquired | 20-Nov-14 | [2] | ||
ProMed Medical Building I | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Initial Costs, Land & Land Improvements | 2,486 | [2] | ||
Initial Costs, Buildings & Building Improvements | 6,728 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 2,486 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 6,728 | [1],[2] | ||
Total | 9,214 | [1],[2] | ||
Date of construction | 2006 | [2] | ||
Date Acquired | 19-Dec-14 | [2] | ||
Midtown Medical Plaza | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 30,223 | [2] | ||
Initial Costs, Land & Land Improvements | 10 | [2] | ||
Initial Costs, Buildings & Building Improvements | 51,237 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 10 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 51,237 | [1],[2] | ||
Total | 51,247 | [1],[2] | ||
Date of construction | 1994 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Presbyterian Medical Tower | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 20,089 | [2] | ||
Initial Costs, Land & Land Improvements | 40 | [2] | ||
Initial Costs, Buildings & Building Improvements | 32,345 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 40 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 32,345 | [1],[2] | ||
Total | 32,385 | [1],[2] | ||
Date of construction | 1989 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Metroview Professional Building | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 9,543 | [2] | ||
Initial Costs, Land & Land Improvements | 11 | [2] | ||
Initial Costs, Buildings & Building Improvements | 15,910 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 11 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 15,910 | [1],[2] | ||
Total | 15,921 | [1],[2] | ||
Date of construction | 1971 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Physicians Plaza Huntersville | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 16,775 | [2] | ||
Initial Costs, Land & Land Improvements | 520 | [2] | ||
Initial Costs, Buildings & Building Improvements | 26,134 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 520 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 26,134 | [1],[2] | ||
Total | 26,654 | [1],[2] | ||
Date of construction | 2004 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Matthews Medical Office Building | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 11,770 | [2] | ||
Initial Costs, Land & Land Improvements | 350 | [2] | ||
Initial Costs, Buildings & Building Improvements | 19,624 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 350 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 19,624 | [1],[2] | ||
Total | 19,974 | [1],[2] | ||
Date of construction | 1994 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Outpatient Care Center | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,990 | [2] | ||
Initial Costs, Land & Land Improvements | 1,169 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,079 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,169 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,079 | [1],[2] | ||
Total | 13,248 | [1],[2] | ||
Date of construction | 2012 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Clyde, NC ("Asheville") 330 Physicians Center | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 20,471 | [2] | ||
Initial Costs, Land & Land Improvements | 12 | [2] | ||
Initial Costs, Buildings & Building Improvements | 26,868 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 12 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 26,868 | [1],[2] | ||
Total | 26,880 | [1],[2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Clyde, NC ("Asheville") 330 Physicians Center one | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 1987 | |||
Clyde, NC ("Asheville") 330 Physicians Center Two | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Date of construction | 2005 | |||
Spivey Station Physicians Center | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 10,010 | [2] | ||
Initial Costs, Land & Land Improvements | 1,026 | [2] | ||
Initial Costs, Buildings & Building Improvements | 12,246 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 1,026 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 12,246 | [1],[2] | ||
Total | 13,272 | [1],[2] | ||
Date of construction | 2007 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
Spivey Station ASC Building | ||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 12,811 | [2] | ||
Initial Costs, Land & Land Improvements | 929 | [2] | ||
Initial Costs, Buildings & Building Improvements | 13,769 | [2] | ||
Gross Amounts at which Carried at Close of period, Land & Land Improvements | 929 | [1],[2] | ||
Gross Amounts at which Carried at Close of period, Building & Building Improvements | 13,769 | [1],[2] | ||
Total | $14,698 | [1],[2] | ||
Date of construction | 2009 | [2] | ||
Date Acquired | 22-Dec-14 | [2] | ||
[1] | The aggregate cost for federal income tax purposes is approximately $1.9 billion. | |||
[2] | Buildings and building improvements are depreciated over 39 and 15 years, respectively. Tenant improvements are depreciated over the terms of their respective leases. |
Schedule_IIIReal_Estate_And_Ac1
Schedule III-Real Estate And Accumulated Depreciation Transactions in Real Estate and Accumulated Depreciation (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Real Estate gross carrying value, Beginning Balance | $859,877 | $235,945 | ||
Acquisitions | 822,305 | 598,176 | 231,398 | |
Improvements | 39,247 | 25,756 | 4,547 | |
Real Estate gross carrying value, Ending Balance | 1,721,429 | [1] | 859,877 | 235,945 |
Real Estate accumulated depreciation, Beginning Balance | -11,011 | -1,702 | ||
Depreciation | -29,456 | -9,309 | -1,702 | |
Real Estate accumulated depreciation, Ending Balance | ($40,467) | ($11,011) | ($1,702) | |
[1] | The aggregate cost for federal income tax purposes is approximately $1.9 billion. |
Schedule_IIIReal_Estate_And_Ac2
Schedule III-Real Estate And Accumulated Depreciation (Parenthetical) (Detail) (USD $) | 12 Months Ended |
In Billions, unless otherwise specified | Dec. 31, 2014 |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |
Aggregate cost for federal income tax purpose | 1.9 |
Building | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |
Buildings and improvements useful life | 39 years |
Building Improvements | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |
Buildings and improvements useful life | 15 years |
Recovered_Sheet3
Schedule IV-Mortgage Loans On Real Estate (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Mortgage Loans on Real Estate [Line Items] | ||
Balance at beginning of year | $3,949 | |
New mortgage loans and additional advances | 2,065 | 3,741 |
Accrued and deferred interest | 288 | 124 |
Loan origination costs, net | 84 | |
Collection of principal | -6,302 | |
Balance at end of year | $3,949 |