Inland Real Estate Income Trust (INRE) 10-Q 9 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 04, 2016
Document And Entity Information [Abstract]
Entity Registrant Name	Inland Real Estate Income Trust, Inc.
Entity Central Index Key	1,528,985
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		88,169,966
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2,016

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Investment properties:
Land	$ 262,210	$ 247,082
Building and other improvements	969,702	914,355
Total	1,231,912	1,161,437
Less accumulated depreciation	(53,680)	(27,545)
Net investment properties	1,178,232	1,133,892
Cash and cash equivalents	16,302	83,843
Investment in unconsolidated entity	193
Accounts and rents receivable	9,814	7,313
Acquired lease intangible assets, net	156,824	164,773
Deferred costs, net	511	238
Other assets	9,306	11,309
Total assets	1,371,182	1,401,368
Liabilities:
Mortgages and credit facility payable, net	607,642	584,499
Accounts payable and accrued expenses	11,387	13,926
Distributions payable	4,318	4,397
Acquired intangible liabilities, net	64,721	65,194
Deferred investment property acquisition obligations	8,942	18,871
Due to related parties	2,877	8,595
Other liabilities	20,583	15,042
Total liabilities	720,470	710,524
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $.001 par value, 40,000,000 shares authorized, none outstanding
Common stock, $.001 par value, 1,460,000,000 shares authorized, 87,699,273 and 86,229,018 shares issued and outstanding as of September 30, 2016 and December 31, 2015, respectively	87	86
Additional paid in capital (net of offering costs of $87,059 as of September 30, 2016 and December 31, 2015)	788,229	774,359
Accumulated distributions and net loss	(126,665)	(80,007)
Accumulated other comprehensive loss	(10,939)	(3,594)
Total stockholders’ equity	650,712	690,844
Total liabilities and stockholders’ equity	$ 1,371,182	$ 1,401,368

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	40,000,000	40,000,000
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	1,460,000,000	1,460,000,000
Common stock, shares issued	87,699,273	86,229,018
Common stock, shares outstanding	87,699,273	86,229,018
Additional paid in capital, offering costs	$ 87,059	$ 87,059

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Income:
Rental income	$ 23,831	$ 15,531	$ 69,937	$ 39,738
Tenant recovery income	6,336	4,171	19,731	9,826
Other property income	736	60	909	152
Total income	30,903	19,762	90,577	49,716
Cost and Expenses:
Property operating expenses	5,195	2,635	15,592	7,093
Real estate tax expense	3,576	2,507	10,893	5,801
General and administrative expenses	1,245	914	3,958	2,669
Acquisition related costs	(413)	1,071	421	5,941
Business management fee	2,190	1,361	6,421	3,551
Depreciation and amortization	14,442	9,001	45,158	22,616
Total expenses	26,235	17,489	82,443	47,671
Operating income	4,668	2,273	8,134	2,045
Interest expense	(5,547)	(2,583)	(16,189)	(6,477)
Interest and other income	18	61	360	165
Equity in (loss) earnings of unconsolidated entity	(100)	(13)	193	(118)
Net loss	$ (961)	$ (262)	$ (7,502)	$ (4,385)
Net loss per common share, basic and diluted	$ (0.01)		$ (0.09)	$ (0.07)
Weighted average number of common shares outstanding, basic and diluted	87,685,402	76,111,571	87,165,085	63,876,871
Comprehensive income (loss):
Net loss	$ (961)	$ (262)	$ (7,502)	$ (4,385)
Unrealized gain (loss) on derivatives	519	(3,865)	(10,384)	(5,114)
Reclassification adjustment for amounts included in net loss	1,077	800	3,039	1,707
Comprehensive income (loss)	$ 635	$ (3,327)	$ (14,847)	$ (7,792)

CONSOLIDATED STATEMENT OF EQUIT

CONSOLIDATED STATEMENT OF EQUITY - 9 months ended Sep. 30, 2016 - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid In Capital [Member]	Accumulated Distributions and Net Loss [Member]	Accumulated Other Comprehensive Loss [Member]
Balance at Dec. 31, 2015	$ 690,844	$ 86	$ 774,359	$ (80,007)	$ (3,594)
Balance at Dec. 31, 2015	86,229,018	86,229,018
Distributions declared	$ (39,156)			(39,156)
Proceeds from distribution reinvestment plan	$ 20,920	$ 2	20,918
Proceeds from distribution reinvestment plan, shares	5,078,369	2,267,394
Shares repurchased	$ (7,057)	$ (1)	(7,056)
Shares repurchased, shares	(1,214,151)	(797,139)
Unrealized loss on derivatives	$ (10,384)				(10,384)
Reclassification adjustment for amounts included in net loss	3,039				3,039
Equity based compensation	8		8
Net loss	(7,502)			(7,502)
Balance at Sep. 30, 2016	$ 650,712	$ 87	$ 788,229	$ (126,665)	$ (10,939)
Balance at Sep. 30, 2016	87,699,273	87,699,273

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net loss	$ (7,502)	$ (4,385)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	45,158	22,616
Amortization of debt issuance costs and mortgage premiums, net	303	(162)
Amortization of acquired market leases, net	(537)	(510)
Amortization of equity based compensation	8
Straight-line income, net	(1,703)	(1,198)
Discount on shares issued to related parties		28
Equity in (earnings) loss of unconsolidated entity	(193)	118
Payment of leasing fees	(249)	(106)
Adjustment of contingent earnout liability	(1,643)	(9)
Other non-cash adjustments	(218)	(273)
Changes in assets and liabilities:
Accounts payable and accrued expenses	2,276	2,720
Accounts and rents receivable	(193)	(2,603)
Due to related parties	(5,680)	1,221
Other liabilities	(609)	1,366
Other assets	1,010	301
Net cash flows provided by operating activities	30,228	19,124
Cash flows from investing activities:
Purchase of investment properties	(79,034)	(358,329)
Capital expenditures	(7,696)	(1,625)
Other assets and restricted escrows	164	(2,698)
Net cash flows used in investing activities	(86,566)	(362,652)
Cash flows from financing activities:
Proceeds from offering		381,918
Payment of credit facility	(135,000)
Proceeds from credit facility	70,000	100,000
Proceeds from mortgages payable	147,957	70,641
Payment of mortgages payable	(58,470)	(112)
Proceeds from the distribution reinvestment plan	20,920	14,116
Shares repurchased	(6,689)	(2,510)
Payment of offering costs	(201)	(39,517)
Distributions paid	(39,235)	(30,059)
Sponsor contribution		3,283
Due to related parties		(1,630)
Payment of deferred investment property acquisition obligations	(8,838)	(3,061)
Payment of debt issuance costs	(1,647)	(1,881)
Net cash flows (used in) provided by financing activities	(11,203)	491,188
Net (decrease) increase in cash and cash equivalents	(67,541)	147,660
Cash and cash equivalents at beginning of the period	83,843	105,871
Cash and cash equivalents, at end of period	16,302	253,531
Supplemental disclosure of cash flow information:
Land	15,128	86,239
Building and improvements	53,849	280,790
Acquired in place lease intangibles	12,768	45,298
Acquired above market lease intangibles	1,080	11,810
Acquired below market lease intangibles	(3,432)	(17,700)
Other receivables		792
Assumption of mortgage debt at acquisition		(40,303)
Non-cash mortgage premium		(3,430)
Deferred investment property acquisition obligations		1,929
Assumed liabilities, net	(359)	(3,238)
Purchase of investment properties	79,034	358,329
Cash paid for interest	15,714	6,923
Supplemental schedule of non-cash investing and financing activities:
Distributions payable	$ 4,318	3,921
Accrued offering costs payable		$ 326

Organization

Organization	9 Months Ended
	Sep. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Organization	NOTE 1 – ORGANIZATION Inland Real Estate Income Trust, Inc. was formed on August 24, 2011 to acquire and manage a portfolio of commercial real estate located in the United States. To date, the Company has focused on acquiring retail properties. The Company entered into a Business Management Agreement with IREIT Business Manager & Advisor, Inc. (the “Business Manager”), an affiliate of Inland Real Estate Investment Corporation (the “Sponsor”), to be the Business Manager to the Company. The Company has qualified and elected to be taxed as a real estate investment trust for U.S. federal income tax purposes (“REIT”) under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, commencing with the tax year ended December 31, 2013. As a result, the Company generally will not be subject to federal income tax on taxable income that is distributed to stockholders. A REIT is subject to a number of organizational and operational requirements, including a requirement that it currently distributes at least 90% of its REIT taxable income (subject to certain adjustments and excluding any net capital gain) to its stockholders. The Company will monitor the business and transactions that may potentially impact its REIT status. If the Company fails to qualify as a REIT in any taxable year, without the benefit of certain relief provisions, the Company will be subject to federal (including any applicable alternative minimum tax) and state income tax on its taxable income at regular corporate tax rates. Even if the Company qualifies for taxation as a REIT, the Company may be subject to certain state and local taxes on its income, property or net worth and federal income and excise taxes on its undistributed income. At September 30, 2016, the Company owned 56 retail properties, located in 23 states, and containing 6,345,537 square feet. At September 30, 2016, the portfolio had a weighted average physical occupancy of 94.7% and economic occupancy of 95.3%. Economic occupancy excludes square footage that the Company owns but which is not occupied by a tenant and which is subject to an earnout component on the original purchase price.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Disclosures discussing all significant accounting policies are set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015, as filed with the Securities and Exchange Commission on March 15, 2016, under the heading Note 2 – “Summary of Significant Accounting Policies.” There have been no changes to the Company’s significant accounting policies during the nine months ended September 30, 2016, except as noted below. Equity-Based Compensation On June 16, 2016, the Company’s stockholders approved the Employee and Director Restricted Share Plan (the “RSP”). In accordance with the RSP, restricted shares and restricted share units are issued to non-employee directors as compensation. The Company recognizes expense related to the fair value of equity-based compensation awards as general and administrative expense in the consolidated statements of operations. The Company recognizes expense determined based on the fair value at the grant date on a straight-line basis over the vesting period representing the requisite service period. See Note 10 – "Equity-Based Compensation" for further information. General The accompanying consolidated financial statements have been prepared in accordance with U.S. GAAP and require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. In the opinion of management, all adjustments necessary for a fair statement, in all material respects, of the financial position and results of operations for the periods are presented. Actual results could differ from those estimates. The results of operations for the interim periods are not necessarily indicative of the results for the entire year. In April 2015, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, Simplifying the Presentation of Debt Issuance Costs Recent Accounting Pronouncements In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230). In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers

Equity

Equity	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Equity	NOTE 3 – EQUITY The Company was authorized to sell up to 150,000,000 shares of common stock at $10.00 each in an initial public “best efforts” offering (the “Offering”) which commenced on October 18, 2012 and concluded on October 16, 2015. The Company issued 83,835,055 shares of common stock generating gross proceeds of $834,399 from the Offering. As of September 30, 2016, there were 87,699,273 shares of common stock outstanding including 5,078,369 shares issued through the distribution reinvestment plan (“DRP”), and 1,214,151 shares repurchased through the share repurchase program (“SRP”). On April 7, 2016, the Company’s board of directors determined an estimated per share net asset value of the Company’s common stock of $9.02 as reported in the Company’s Form 8-K filed with the Securities and Exchange Commission on April 7, 2016. The Company provides the following programs to facilitate future investment in the Company’s shares and to provide limited liquidity for stockholders. Distribution Reinvestment Plan The Company provides existing stockholders with the option to purchase additional shares from the Company by automatically reinvesting distributions through the DRP, subject to certain share ownership restrictions. The Company does not pay any selling commissions or a marketing contribution and due diligence expense allowance in connection with the DRP. Pursuant to the DRP, the price per share for shares of common stock purchased under the DRP is equal to the estimated value of a share, as determined by the Company’s board of directors and reported by the Company from time to time, until the shares become listed for trading, if a listing occurs, assuming that the DRP has not been terminated or suspended in connection with such listing. Shares were sold through the DRP at a price of $9.50 per share until April 7, 2016, when the Company reported an estimated per share net asset value of $9.02 per share. Accordingly, under the DRP, beginning with reinvestments made after April 7, 2016, and until the Company announces a new estimated per share net asset value, distributions may be reinvested for shares of the Company’s common stock at a price equal to $9.02 per share. Distributions reinvested through the DRP were $20,920 and $14,116 for the nine months ended September 30, 2016 and 2015, respectively. Share Repurchase Program Under the SRP, the Company is authorized to purchase shares from stockholders who purchased their shares from the Company or received their shares through a non-cash transfer and who have held their shares for at least one year, if requested, if the Company chooses to repurchase them. Subject to funds being available, the Company will limit the number of shares repurchased during any calendar year to 5% of the number of shares outstanding on December 31 st Repurchases through the SRP were $7,057 and $2,510 for the nine months ended September 30, 2016 and 2015, respectively. At September 30, 2016 and December 31, 2015, the Company’s liability related to the SRP was $845 and $477, respectively, recorded in other liabilities on the consolidated balance sheets. Employee and Director Restricted Share Plan On March 21, 2016 the board of directors approved the RSP, which was subsequently approved by the Company’s stockholders at the annual stockholders’ meeting on June 16, 2016. The RSP gives the Company the ability to grant awards of restricted shares and restricted share units to directors, employees and officers of the Company and its affiliates as compensation. Under the RSP, each non-employee director will receive an award of restricted shares effective on the date of each annual stockholders’ meeting in respect of a number of shares of common stock having a fair market value as of the date of grant equal to $10, or, in lieu thereof, restricted share units to the extent the non-employee director makes a timely deferral election in accordance with applicable law. In accordance with the RSP, on June 16, 2016, 1,109 restricted shares or restricted share units, as applicable, were issued to each non-employee director. For further information, see Note 10 – “Equity-Based Compensation.”

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2016
Business Combinations [Abstract]
Acquisitions	NOTE 4 – ACQUISITIONS 2016 Acquisitions Date Acquired Property Name Location Property Type Square Footage Purchase Price 2nd Quarter 4/22/16 Coastal North Town Center Myrtle Beach, SC Multi-Tenant Retail 304,665 $ 72,811 4/22/16 Oquirrh Mountain Marketplace Phase II South Jordan, UT Multi-Tenant Retail 10,150 4,329 314,815 $ 77,140 During the nine months ended September 30, 2016, the Company acquired, through its wholly owned subsidiaries, the two properties listed above and financed a portion of these acquisitions by borrowing $43,680 in mortgage debt. The Company recorded a decrease of $413 and incurred $1,071 during the three months ended September 30, 2016 and 2015, respectively, and incurred $421 and $5,941 during the nine months ended September 30, 2016 and 2015, respectively, of acquisition, dead deal and transaction related costs, including changes to initial assumptions related to deferred investment property acquisition obligations (See Note 9 – “Commitments and Contingencies”) that were recorded in acquisition related costs in the consolidated statements of operations and comprehensive income (loss) related to both closed and potential transactions. These costs include third party due diligence costs such as appraisals, environmental studies, and legal fees as well as acquisition fees and time and travel expense reimbursements to the Sponsor and its affiliates. For properties acquired during the nine months ended September 30, 2016 the Company recorded revenue of $2,722 and property net income of $272, which excludes expensed acquisition related costs. The following table presents certain additional information regarding the Company’s acquisitions during the nine months ended September 30, 2016. The amounts recognized for major assets acquired and liabilities assumed as of the acquisition date are as follows: Nine Months Ended September 30, 2016 Land $ 15,128 Building and improvements 53,849 Acquired lease intangible assets, net 13,848 Acquired intangible liabilities, net (3,432 ) Assumed liabilities, net (359 ) Total (a) $ 79,034 (a) The total for the nine months ended September 30, 2016, includes $1,720 for 4,200 square feet acquired at Oquirrh Mountain Marketplace Phase II and $533 for 1,766 square feet acquired at Park Avenue Shopping Center. Pro Forma Disclosures The following condensed pro forma consolidated financial statements for the three and nine months ended September 30, 2016 and 2015 include pro forma adjustments related to the acquisitions and financings during 2016 and 2015. The 2016 and 2015 acquisitions are presented assuming the acquisitions occurred on January 1, 2015 and January 1, 2014, respectively. Acquisition expenses for the three and nine months ended September 30, 2016 of $0 and $1,712, respectively, and for the three and nine months ended September 30, 2015 of $330 and $4,915, respectively, related to each acquisition have been excluded from these pro forma results as they are not expected to have a continuing impact. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Pro forma total income $ 30,903 $ 27,986 $ 92,264 $ 82,320 Pro forma net (loss) income $ (961 ) $ (201 ) $ (5,858 ) $ 2,412 Net (loss) earnings per share (a) $ (0.01 ) $ — $ (0.07 ) $ 0.03 (a) Based on number of common shares outstanding as of September 30, 2016. The 2015 acquisitions consist of Shoppes at Lake Park, Plaza at Prairie Ridge, Green Tree Shopping Center, Eastside Junction, Fairgrounds Crossing, Prattville Town Center, Regal Court, Shops at Hawk Ridge, Walgreens Plaza, Whispering Ridge, Frisco Marketplace, White City, Treasure Valley, Yorkville Marketplace, Shoppes at Market Pointe, 2727 Iowa Street, Settlers Ridge, Milford Marketplace, Marketplace at El Paseo, Blossom Valley Plaza, Village at Burlington Creek, Oquirrh Mountain Marketplace and Marketplace at Tech Center. The 2016 acquisitions consist of Coastal North Town Center and Oquirrh Mountain Marketplace Phase II. Oquirrh Mountain Marketplace Phase II was newly constructed in 2016, and as such, property operations are not included in the table above. The pro forma financial

Acquired Intangible Assets and

Acquired Intangible Assets and Liabilities	9 Months Ended
	Sep. 30, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Acquired Intangible Assets and Liabilities	NOTE 5 – ACQUIRED INTANGIBLE ASSETS AND LIABILITIES The following table summarizes the Company’s identified intangible assets and liabilities as of September 30, 2016 and December 31, 2015: September 30, 2016 December 31, 2015 Intangible assets: Acquired in place lease value $ 159,051 $ 146,910 Acquired above market lease value 37,054 36,099 Accumulated amortization (39,281 ) (18,236 ) Acquired lease intangibles, net $ 156,824 $ 164,773 Intangible liabilities: Acquired below market lease value $ 66,799 $ 63,529 Above market ground lease 5,169 5,169 Accumulated amortization (7,247 ) (3,504 ) Acquired intangible liabilities, net $ 64,721 $ 65,194 As of September 30, 2016, the weighted average amortization periods for acquired in place lease, above market lease intangibles, below market lease intangibles and above market ground leases are 10, 13, 19 and 55 years, respectively. The portion of the purchase price allocated to acquired above market lease value and acquired below market lease value is amortized on a straight-line basis over the term of the related lease as an adjustment to rental income. For below market lease values, the amortization period includes any renewal periods with fixed rate renewals. The acquired above market ground lease is amortized on a straight-line basis as an adjustment to property operating expense over the term of the lease and includes renewal periods. The portion of the purchase price allocated to acquired in place lease value is amortized on a straight-line basis over the acquired leases’ weighted average remaining term. As of September 30, 2016, no amount has been allocated to customer relationship value. Amortization pertaining to acquired in place lease value, above market ground lease, above market lease value and below market lease value is summarized below: Three Months Ended September 30, Nine Months Ended September 30, Amortization recorded as amortization expense: 2016 2015 2016 2015 Acquired in place lease value $ 5,455 $ 3,526 $ 18,430 $ 8,622 Amortization recorded as a reduction to property operating expense: Above market ground lease $ (23 ) $ — $ (70 ) $ — Amortization recorded as a (reduction) increase to rental income: Acquired above market leases $ (997 ) $ (631 ) $ (3,368 ) $ (1,413 ) Acquired below market leases 1,322 733 3,835 1,923 Net rental income increase $ 325 $ 102 $ 467 $ 510 Estimated amortization of the respective intangible lease assets and liabilities as of September 30, 2016 for each of the five succeeding years and thereafter is as follows: Acquired In-Place Leases Above Market Leases Below Market Leases Above Market Ground Lease 2016 (remainder of year) $ 5,177 $ 973 $ (1,152 ) $ (23 ) 2017 19,928 3,746 (4,485 ) (94 ) 2018 18,122 3,195 (4,303 ) (94 ) 2019 16,339 2,837 (4,156 ) (94 ) 2020 13,648 2,564 (3,936 ) (94 ) Thereafter 52,544 17,751 (41,613 ) (4,677 ) Total $ 125,758 $ 31,066 $ (59,645 ) $ (5,076 )

Debt and Derivative Instruments

Debt and Derivative Instruments	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Debt and Derivative Instruments	NOTE 6 – DEBT AND DERIVATIVE INSTRUMENTS As of September 30, 2016 and December 31, 2015, the Company had the following mortgages and credit facility payable: September 30, 2016 December 31, 2015 Type of Debt Principal Amount Weighted Average Interest Rate Principal Amount Weighted Average Interest Rate Fixed rate mortgages payable $ 178,369 4.31 % $ 162,692 4.37 % Variable rate mortgages payable with swap agreements 354,488 3.44 % 238,617 3.64 % Variable rate mortgages payable 41,625 2.32 % 83,686 2.99 % Mortgages payable $ 574,482 3.63 % $ 484,995 3.77 % Credit facility payable $ 35,000 2.08 % $ 100,000 1.65 % Add: Unamortized mortgage premiums 3,302 3,971 Less: Unamortized debt issuance costs (5,142 ) (4,467 ) Total debt $ 607,642 $ 584,499 The Company’s indebtedness bore interest at a weighted average interest rate of 3.54% per annum at September 30, 2016, which includes the effects of interest rate swaps. The Company estimates the fair value of its total debt by discounting the future cash flows of each instrument at rates currently offered for similar debt instruments of comparable maturities by the Company’s lenders using Level 3 inputs. The carrying value of the Company’s debt excluding mortgage premium and unamortized debt issuance costs was $609,482 and $584,995 as of September 30, 2016 and December 31, 2015, respectively, and its estimated fair value was $612,280 and $587,437 as of September 30, 2016 and December 31, 2015, respectively. As of September 30, 2016, scheduled principal payments and maturities on the Company’s debt were as follows: September 30, 2016 Scheduled Principal Payments and Maturities by Year: Scheduled Principal Payments Maturities of Mortgage Loans Maturity of Credit Facility Total 2016 (remainder of the year) $ 24 $ — $ — $ 24 2017 239 6,271 — 6,510 2018 205 15,260 — 15,465 2019 215 150,072 35,000 185,287 2020 897 — — 897 Thereafter 3,108 398,191 — 401,299 Total $ 4,688 $ 569,794 $ 35,000 $ 609,482 Credit Facility Payable On September 30, 2015, the Company entered into a credit agreement (“Credit Facility”) with KeyBanc Capital Markets Inc. for a $100,000 revolving Credit Facility. On January 21, 2016, the Company amended its Credit Facility to, among other matters, increase the aggregate commitment under the Credit Facility by $10,000 to $110,000. At September 30, 2016, available borrowings under the Credit Facility were $75,000. The Company has an accordion feature to increase available borrowings up to $400,000, one 0.15% Mortgages Payable The mortgage loans require compliance with certain covenants, such as debt service ratios. As of September 30, 2016, the Company was current on all of the payments and other loan covenants. All of the Company’s mortgage loans are secured by first mortgages on the respective real estate assets. As of September 30, 2016, the weighted average years to maturity for the Company’s mortgages payable was approximately 5.5 years. Interest Rate Swap Agreements The Company entered into interest rate swaps to fix certain of its floating LIBOR based debt under variable rate loans to a fixed rate to manage its risk exposure to interest rate fluctuations. The Company will generally match the maturity of the underlying variable rate debt with the maturity date on the interest swap. The following table summarizes the Company’s interest rate swap contracts outstanding as of September 30, 2016. Date Entered Effective Date Maturity Date Pay Fixed Rate (a) Notional Amount Fair Value at September 2016 March 28, 2014 March 1, 2015 March 28, 2019 2.22 % $ 5,525 $ (190 ) May 8, 2014 May 5, 2015 May 7, 2019 2.10 % 14,200 (463 ) May 23, 2014 May 1, 2015 May 22, 2019 2.00 % 8,484 (258 ) June 6, 2014 June 1, 2015 May 8, 2019 2.15 % 11,684 (397 ) June 26, 2014 July 5, 2015 July 5, 2019 2.11 % 20,725 (715 ) June 27, 2014 July 1, 2014 July 1, 2019 1.85 % 24,352 (665 ) July 31, 2014 July 31, 2014 July 31, 2019 1.94 % 9,561 (292 ) December 16, 2014 December 16, 2014 October 21, 2016 (b) 1.50 % 10,837 (6 ) December 16, 2014 December 16, 2014 May 9, 2017 1.13 % 10,150 (31 ) February 11, 2015 March 2, 2015 March 1, 2022 2.02 % 6,114 (317 ) April 7, 2015 April 7, 2015 April 7, 2022 1.74 % 49,400 (1,860 ) July 8, 2015 August 1, 2015 May 22, 2019 1.43 % 1,426 (22 ) September 17, 2015 September 17, 2015 September 17, 2022 1.90 % 13,700 (649 ) October 2, 2015 November 1, 2015 November 1, 2022 1.79 % 13,100 (548 ) December 23, 2015 December 23, 2015 January 2, 2026 2.30 % 26,000 (2,278 ) January 25, 2016 February 1, 2016 February 1, 2021 1.40 % 38,000 (732 ) June 7, 2016 July 1, 2016 July 1, 2023 1.42 % 43,680 (875 ) July 21, 2016 August 1, 2016 August 1, 2023 1.30 % 47,550 (560 ) August 29, 2016 October 21, 2016 (b) December 15, 2019 1.07 % — (63 ) $ 354,488 $ (10,921 ) (a) Receive floating rate index based upon 1 month LIBOR. At September 30, 2016, the 1 month LIBOR was 0.53%. (b) On August 29, 2016 the Company entered into a new interest rate swap contract for the same notional amount effective upon expiration of the existing contract. The table below presents the fair value of the Company’s cash flow hedges as well as their classification on the consolidated balance sheets as of September 30, 2016 and December 31, 2015, respectively. September 30, 2016 December 31, 2015 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as cash flow hedges: Interest rate swap agreements Other $ 10,921 Other $ 3,791 For derivative instruments that are designated and qualify as a cash flow hedge, the effective portion of the unrealized gain or loss on the derivative is reported as a component of comprehensive income (loss). The ineffective portion of the change in fair value, if any, is recognized directly in earnings. The table below presents the effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income (loss) for the three and nine months ended September 30, 2016 and 2015. Three Months Ended September 30, Nine Months Ended September 30, Derivatives in Cash Flow Hedging Relationships 2016 2015 2016 2015 Effective portion of derivative $ 519 $ (3,865 ) $ (10,384 ) $ (5,114 ) Reclassification adjustment for amounts included in net loss (effective portion) $ 1,077 $ 800 $ 3,039 $ 1,707 Ineffective portion of derivative $ 38 $ — $ 215 $ 2 Three Months Ended September 30, Nine Months Ended September 30, Derivatives Not Designated as Hedging Instruments 2016 2015 2016 2015 Ineffective portion of derivative $ — $ 98 $ — $ 269 The amount that is expected to be reclassified from accumulated other comprehensive loss into income in the next twelve months is approximately $3,548.

Distributions

Distributions	9 Months Ended
	Sep. 30, 2016
Distributions [Abstract]
Distributions	NOTE 7 – DISTRIBUTIONS The Company currently pays distributions based on daily record dates, payable in arrears the following month, equal to a daily amount of $0.0016439344 per share, which equates to $0.60 per share per year, based upon a 366-day year. The table below presents the distributions paid and declared for the three and nine months ended September 30, 2016 and 2015. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Distributions paid $ 13,207 $ 11,027 $ 39,235 $ 30,059 Distributions declared $ 13,227 $ 11,509 $ 39,156 $ 31,955

Earnings (Loss) per Share

Earnings (Loss) per Share	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Earnings (Loss) per Share	NOTE 8 – EARNINGS (LOSS) PER SHARE Basic earnings (loss) per share (“EPS”) are computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period (the “common shares”). Diluted EPS is computed by dividing net income (loss) by the common shares plus potential common shares issuable upon exercising options or other contracts. The Company excludes antidilutive restricted shares and units from the calculation of weighted-average shares for diluted EPS.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 9 – COMMITMENTS AND CONTINGENCIES The acquisition of certain of the Company’s properties included an earnout component to the purchase price that was recorded as a deferred investment property acquisition obligation (“Earnout liability”). The maximum potential earnout payment was $13,133 at September 30, 2016. The table below presents the change in the Company’s Earnout liability for the nine months ended September 30, 2016 and 2015. Nine Months Ended September 30, 2016 2015 Earnout liability-beginning of period $ 18,871 $ 3,646 Increases: Acquisitions — 1,929 Amortization expense 551 57 Decreases: Earnout payments (9,067 ) (3,095 ) Other: Adjustments to acquisition related costs (1,413 ) 25 Earnout liability – end of period $ 8,942 $ 2,562 The Company may be subject, from time to time, to various legal proceedings and claims that arise in the ordinary course of business. The resolution of these matters cannot be predicted with certainty, but management believes, based on currently available information, that the final outcome of such matters will not have a material adverse effect on the consolidated financial statements of the Company.

Equity-Based Compensation

Equity-Based Compensation	9 Months Ended
	Sep. 30, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Equity-Based Compensation	NOTE 10 – EQUITY-BASED COMPENSATION In accordance with the RSP, restricted shares and restricted share units were issued to non-employee directors as compensation. Each restricted share and restricted share unit entitle the holder to receive one common share when it vests. Under the RSP, restricted shares and restricted share units generally vest over a one to three year vesting period from the date of the grant, subject to the specific terms of the grant. Restricted shares and restricted units are included in common stock outstanding on the date of vesting. Summary tables of the status of the restricted shares are presented below: Restricted Shares Restricted Share Units Weighted Average Grant Date Fair Value Aggregate Intrinsic Value Outstanding at January 1, 2016 — — $ — $ — Granted 3,326 1,109 40 40 Vested — — — — Converted — — — — Forfeited — — — — Outstanding at September 30, 2016 3,326 1,109 $ 40 $ 40

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Segment Reporting	NOTE 11 – SEGMENT REPORTING The Company has one reportable segment as defined by U.S. GAAP, retail real estate, for the nine months ended September 30, 2016 and 2015.

Transactions with Related Parti

Transactions with Related Parties	9 Months Ended
	Sep. 30, 2016
Related Party Transactions [Abstract]
Transactions With Related Parties	NOTE 12 – TRANSACTIONS WITH RELATED PARTIES The Company is a member of a limited liability company formed as an insurance association captive (“Captive”), which is owned by the Company, IRC Retail Centers LLC (“IRC”), InvenTrust Properties Corp. (“InvenTrust”) and Retail Properties of America, Inc. (“RPAI”). The Company recorded its investment in investment in unconsolidated entity in the accompanying consolidated balance sheets. The Company’s share of net income from its investment is based on the ratio of each member’s premium contribution to the venture. The Company was allocated a loss of $100 and income of $193 for the three months and nine months ended September 30, 2016, respectively, and a loss of $13 and $118 for the three months and nine months ended September 30, 2015, respectively. On February 29, 2016, the Captive was notified by IRC of its intent to dissociate and on March 30, 2016 terminated its participation. Previously, InvenTrust and RPAI terminated their future participation effective December 1, 2015 and December 1, 2014, respectively. Based upon this notice and regulatory requirements, the Captive terminated its operations in accordance with the applicable rules and regulations for an insurance association captive. As a result, the Company obtained separate property and general liability insurance once the Captive was unable to provide the Company coverage. The Captive submitted a formal plan to the state insurance regulator to wind up its business affairs. As part of the approved plan, the Company’s exposure for potential claims would be commuted, as of a certain date, to the respective insurance carriers, a majority of which has been executed and approved by the insurance regulator. This would result in the elimination of a majority of any future financial exposure related to losses for the periods covered by the Captive. As of September 30, 2016, the insurance regulator approved the Captive commutation plan of certain policies back to the respective insurance carriers. The Captive continues to work with its members with the goal of concluding its affairs as soon as possible. However, there can be no assurance the remaining commutation plan will be approved by the insurance regulator and subsequently all existing and potential future claims will be commuted to the respective insurance carriers. As of the date of this report, the Company is unable to determine if it will be liable for any proportional cost associated with the termination of the Captive. The Company owns 1,000 shares of common stock in The Inland Real Estate Group of Companies, Inc. with a recorded value of $1 at September 30, 2016 and December 31, 2015. This amount is included in other assets in the accompanying consolidated balance sheets. The following table summarizes the Company’s related party transactions for the three and nine months ended September 30, 2016 and 2015. Certain compensation and fees payable to the Business Manager for services provided to the Company are limited to maximum amounts. Three Months Ended September 30, Nine Months Ended September 30, Unpaid amounts as of 2016 2015 2016 2015 September 30, 2016 December 31, 2015 General and administrative reimbursements (a) $ 633 $ 368 $ 1,406 $ 937 $ 464 $ 287 Affiliate share purchase discounts (b) — 4 — 28 — — Total general and administrative expenses $ 633 $ 372 $ 1,406 $ 965 $ 464 $ 287 Acquisition related costs $ 49 $ 290 $ 251 $ 1,047 $ 78 $ 165 Acquisition fees — 302 1,327 3,570 — 6,010 Total acquisition costs and fees (c) $ 49 $ 592 $ 1,578 $ 4,617 $ 78 $ 6,175 Real estate management fees $ 1,179 $ 669 3,355 1,801 $ — $ — Construction management fees 46 51 78 70 45 80 Leasing fees 65 — 144 — 100 40 Total real estate management related costs (d) $ 1,290 $ 720 $ 3,577 $ 1,871 $ 145 $ 120 Offering costs (e) $ — $ 9,240 $ — $ 37,145 $ — $ 63 Business management fees (f) $ 2,190 $ 1,361 $ 6,421 $ 3,551 $ 2,190 $ 1,950 Sponsor contribution (g) $ — $ — $ — $ 3,283 $ — $ — (a) The Business Manager and its related parties are entitled to reimbursement for certain general and administrative expenses incurred by the Business Manager or its related parties relating to the Company’s administration. Such costs are included in general and administrative expenses in the accompanying consolidated statements of operations and comprehensive income (loss). Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets. (b) The Company established a discount stock purchase policy for related parties and related parties of the Business Manager that enabled the related parties to purchase shares of common stock at $9.00 per share in the Offering. The Company sold 28,061 shares to related parties during the nine months ended September 30, 2015. (c) The Company pays the Business Manager or its affiliates a fee equal to 1.5% of the “contract purchase price,” as defined, of each asset acquired. The Business Manager and its related parties are also reimbursed for acquisition and transaction related costs of the Business Manager and its related parties relating to the Company’s acquisition activities, regardless of whether the Company acquires the real estate assets. Such costs are included in acquisition related costs in the accompanying consolidated statements of operations and comprehensive income (loss). Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets. For the nine months ended September 30, 2015, the Business Manager permanently waived acquisition fees of $2,510. (d) For each property that is managed by Inland National Real Estate Services, LLC or Inland Commercial Real Estate Services LLC (collectively, the “Real Estate Managers”), the Company pays a monthly real estate management fee of up to 1.9% of the gross income from any single-tenant, net-leased property, and up to 3.9% of the gross income from any other property type. Each Real Estate Manager determines, in its sole discretion, the amount of the fee with respect to a particular property, subject to the limitations. For each property that is managed directly by one of the Real Estate Managers or its affiliates, the Company pays the Real Estate Manager a separate leasing fee. Further, in the event that the Company engages its Real Estate Managers to provide construction management services for a property, the Company pays a separate construction management fee. Leasing fees are included in deferred costs, net and construction management fees are included in building and other improvements in the accompanying consolidated balance sheets. The Company also reimburses each Real Estate Manager and its affiliates for property-level expenses that they pay or incur on the Company’s behalf, including the salaries, bonuses and benefits of persons performing services for the Real Estate Managers and their affiliates except for the salaries, bonuses and benefits of persons who also serve as an executive officer of any of the Real Estate Managers or the Company. Real estate management fees and reimbursable expenses are included in property operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss). (e) A related party of the Business Manager was paid selling commissions equal to 7.0% of the sale price for each share sold and a marketing contribution equal to 3.0% of the gross offering proceeds from shares sold in the Offering, the majority of which was re-allowed (paid) to third party soliciting dealers. The Company also reimbursed a related party of the Business Manager and the third party soliciting dealers for bona fide, out-of-pocket itemized and detailed due diligence expenses in amounts up to 0.5% of the gross offering proceeds. The Company reimbursed the Sponsor, its affiliates and third parties for costs and other expenses of the Offering that they paid on the Company’s behalf, in an amount not to exceed 1.5% of the gross offering proceeds from shares sold in the Offering. The Company does not pay selling commissions or the marketing contribution or reimburse issuer costs in connection with shares of common stock issued through the DRP. Offering costs are offset against the stockholders’ equity accounts. Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets. (f) The Company pays the Business Manager an annual business management fee equal to 0.65% of its “average invested assets”. The fee is payable quarterly in an amount equal to 0.1625% of its average invested assets as of the last day of the immediately preceding quarter. “Average invested assets” means, for any period, the average of the aggregate book value of the Company’s assets, including all intangibles and goodwill, invested, directly or indirectly, in equity interests in, and loans secured by, properties, as well as amounts invested in securities and consolidated and unconsolidated joint ventures or other partnerships, before reserves for amortization and depreciation or bad debts, impairments or other similar non-cash reserves, computed by taking the average of these values at the end of each month during the relevant calendar quarter. (g) During the nine months ended September 30, 2015, the Sponsor contributed $3,283 to the Company. The Sponsor has not received, and will not receive, any additional shares of the Company’s common stock for making this contribution. There is no assurance that the Sponsor will continue to contribute any additional monies.

Operating Leases

Operating Leases	9 Months Ended
	Sep. 30, 2016
Leases [Abstract]
Operating Leases	NOTE 13 – OPERATING LEASES Minimum lease payments to be received under operating leases, including ground leases, as of September 30, 2016 for the years indicated are as follows: Minimum Lease Payments 2016 (remainder of year) $ 21,991 2017 85,715 2018 78,925 2019 71,336 2020 65,201 Thereafter 322,216 Total $ 645,384 The remaining lease terms range from less than 1 year to 21 years. Most of the revenue from the Company’s properties consists of rents received under long-term operating leases. Most leases require the tenant to pay fixed base rent paid monthly in advance, and to reimburse the Company for the tenant’s pro rata share of certain operating expenses including real estate taxes, special assessments, insurance, utilities, common area maintenance, management fees, and certain building repairs paid by the Company and recoverable under the terms of the lease. Under these leases, the Company pays all expenses and is reimbursed by the tenant for the tenant’s pro rata share of recoverable expenses paid. Certain other tenants are subject to net leases which provide that the tenant is responsible for fixed base rent as well as all costs and expenses associated with occupancy. Under net leases where all costs and expenses are paid directly by the tenant rather than the landlord, the costs and expenses are not included in the consolidated statements of operations and comprehensive income (loss). Under leases where all costs and expenses are paid by the Company, subject to reimbursement by the tenant, the costs and expenses are included within property operating expenses and reimbursements are included in tenant recovery income on the consolidated statements of operations and comprehensive income (loss).

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	NOTE 14 – SUBSEQUENT EVENTS The Company’s board of directors declared monthly distributions payable to stockholders of record each day beginning on the close of business on October 1, 2016 through the close of business on December 31, 2016. Through December 31, 2016 distributions were declared in a daily amount equal to $0.001639344 per share, which equates to $0.60 per share per year, based upon a 366-day year. Distributions were paid monthly in arrears as follows: Distribution Month Month Distribution Paid Gross of Distribution Paid Distribution Reinvested through DRP Shares Issued Net Cash Distribution September 2016 October 2016 $ 4,318 $ 2,281 252,922 $ 2,037 October 2016 November 2016 $ 4,469 $ 2,359 261,556 $ 2,110 Effective November 9, 2016, the Company adopted the Inland Real Estate Income Trust, Inc. Director Deferred Compensation Plan (the “Director Deferred Compensation Plan”) approved by the board of directors that provides a deferred compensation arrangement to the Company’s independent directors and their beneficiaries. Pursuant to the Director Deferred Compensation Plan, the Company’s independent directors will have the opportunity in 2016 to make deferral elections with respect to their compensation for 2017 and future years.

Summary of Significant Accoun21

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Equity-Based Compensation	Equity-Based Compensation On June 16, 2016, the Company’s stockholders approved the Employee and Director Restricted Share Plan (the “RSP”). In accordance with the RSP, restricted shares and restricted share units are issued to non-employee directors as compensation. The Company recognizes expense related to the fair value of equity-based compensation awards as general and administrative expense in the consolidated statements of operations. The Company recognizes expense determined based on the fair value at the grant date on a straight-line basis over the vesting period representing the requisite service period. See Note 10 – "Equity-Based Compensation" for further information.
General	General The accompanying consolidated financial statements have been prepared in accordance with U.S. GAAP and require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. In the opinion of management, all adjustments necessary for a fair statement, in all material respects, of the financial position and results of operations for the periods are presented. Actual results could differ from those estimates. The results of operations for the interim periods are not necessarily indicative of the results for the entire year.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230). In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	Sep. 30, 2016
Business Acquisition [Line Items]
Schedule of Major Assets Acquired and Liabilities Assumed	The following table presents certain additional information regarding the Company’s acquisitions during the nine months ended September 30, 2016. The amounts recognized for major assets acquired and liabilities assumed as of the acquisition date are as follows: Nine Months Ended September 30, 2016 Land $ 15,128 Building and improvements 53,849 Acquired lease intangible assets, net 13,848 Acquired intangible liabilities, net (3,432 ) Assumed liabilities, net (359 ) Total (a) $ 79,034 The total for the nine months ended September 30, 2016, includes $1,720 for 4,200 square feet acquired at Oquirrh Mountain Marketplace Phase II and $533 for 1,766 square feet acquired at Park Avenue Shopping Center.
Schedule of Pro Forma Financial Information for Acquisitions	Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Pro forma total income $ 30,903 $ 27,986 $ 92,264 $ 82,320 Pro forma net (loss) income $ (961 ) $ (201 ) $ (5,858 ) $ 2,412 Net (loss) earnings per share (a) $ (0.01 ) $ — $ (0.07 ) $ 0.03 (a) Based on number of common shares outstanding as of September 30, 2016.
2016 Acquisitions [Member]
Business Acquisition [Line Items]
Schedule of Acquisitions	2016 Acquisitions Date Acquired Property Name Location Property Type Square Footage Purchase Price 2nd Quarter 4/22/16 Coastal North Town Center Myrtle Beach, SC Multi-Tenant Retail 304,665 $ 72,811 4/22/16 Oquirrh Mountain Marketplace Phase II South Jordan, UT Multi-Tenant Retail 10,150 4,329 314,815 $ 77,140

Acquired Intangible Assets an23

Acquired Intangible Assets and Liabilities (Tables)	9 Months Ended
	Sep. 30, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets and Liabilities	The following table summarizes the Company’s identified intangible assets and liabilities as of September 30, 2016 and December 31, 2015: September 30, 2016 December 31, 2015 Intangible assets: Acquired in place lease value $ 159,051 $ 146,910 Acquired above market lease value 37,054 36,099 Accumulated amortization (39,281 ) (18,236 ) Acquired lease intangibles, net $ 156,824 $ 164,773 Intangible liabilities: Acquired below market lease value $ 66,799 $ 63,529 Above market ground lease 5,169 5,169 Accumulated amortization (7,247 ) (3,504 ) Acquired intangible liabilities, net $ 64,721 $ 65,194
Schedule of Amortization of Acquired In Place Lease Value, Above Market Ground Lease, Above and Below Market Lease Values	Amortization pertaining to acquired in place lease value, above market ground lease, above market lease value and below market lease value is summarized below: Three Months Ended September 30, Nine Months Ended September 30, Amortization recorded as amortization expense: 2016 2015 2016 2015 Acquired in place lease value $ 5,455 $ 3,526 $ 18,430 $ 8,622 Amortization recorded as a reduction to property operating expense: Above market ground lease $ (23 ) $ — $ (70 ) $ — Amortization recorded as a (reduction) increase to rental income: Acquired above market leases $ (997 ) $ (631 ) $ (3,368 ) $ (1,413 ) Acquired below market leases 1,322 733 3,835 1,923 Net rental income increase $ 325 $ 102 $ 467 $ 510
Schedule of Estimated Amortization of Intangible Lease Assets and Liabilities	Estimated amortization of the respective intangible lease assets and liabilities as of September 30, 2016 for each of the five succeeding years and thereafter is as follows: Acquired In-Place Leases Above Market Leases Below Market Leases Above Market Ground Lease 2016 (remainder of year) $ 5,177 $ 973 $ (1,152 ) $ (23 ) 2017 19,928 3,746 (4,485 ) (94 ) 2018 18,122 3,195 (4,303 ) (94 ) 2019 16,339 2,837 (4,156 ) (94 ) 2020 13,648 2,564 (3,936 ) (94 ) Thereafter 52,544 17,751 (41,613 ) (4,677 ) Total $ 125,758 $ 31,066 $ (59,645 ) $ (5,076 )

Debt and Derivative Instrumen24

Debt and Derivative Instruments (Tables)	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Schedule of Mortgages and Credit Facilities Payable	As of September 30, 2016 and December 31, 2015, the Company had the following mortgages and credit facility payable: September 30, 2016 December 31, 2015 Type of Debt Principal Amount Weighted Average Interest Rate Principal Amount Weighted Average Interest Rate Fixed rate mortgages payable $ 178,369 4.31 % $ 162,692 4.37 % Variable rate mortgages payable with swap agreements 354,488 3.44 % 238,617 3.64 % Variable rate mortgages payable 41,625 2.32 % 83,686 2.99 % Mortgages payable $ 574,482 3.63 % $ 484,995 3.77 % Credit facility payable $ 35,000 2.08 % $ 100,000 1.65 % Add: Unamortized mortgage premiums 3,302 3,971 Less: Unamortized debt issuance costs (5,142 ) (4,467 ) Total debt $ 607,642 $ 584,499
Schedule of Principal Payments and Maturities of Company's Debt	As of September 30, 2016, scheduled principal payments and maturities on the Company’s debt were as follows: September 30, 2016 Scheduled Principal Payments and Maturities by Year: Scheduled Principal Payments Maturities of Mortgage Loans Maturity of Credit Facility Total 2016 (remainder of the year) $ 24 $ — $ — $ 24 2017 239 6,271 — 6,510 2018 205 15,260 — 15,465 2019 215 150,072 35,000 185,287 2020 897 — — 897 Thereafter 3,108 398,191 — 401,299 Total $ 4,688 $ 569,794 $ 35,000 $ 609,482
Summary of Interest Rate Swap Contracts Outstanding	The following table summarizes the Company’s interest rate swap contracts outstanding as of September 30, 2016. Date Entered Effective Date Maturity Date Pay Fixed Rate (a) Notional Amount Fair Value at September 2016 March 28, 2014 March 1, 2015 March 28, 2019 2.22 % $ 5,525 $ (190 ) May 8, 2014 May 5, 2015 May 7, 2019 2.10 % 14,200 (463 ) May 23, 2014 May 1, 2015 May 22, 2019 2.00 % 8,484 (258 ) June 6, 2014 June 1, 2015 May 8, 2019 2.15 % 11,684 (397 ) June 26, 2014 July 5, 2015 July 5, 2019 2.11 % 20,725 (715 ) June 27, 2014 July 1, 2014 July 1, 2019 1.85 % 24,352 (665 ) July 31, 2014 July 31, 2014 July 31, 2019 1.94 % 9,561 (292 ) December 16, 2014 December 16, 2014 October 21, 2016 (b) 1.50 % 10,837 (6 ) December 16, 2014 December 16, 2014 May 9, 2017 1.13 % 10,150 (31 ) February 11, 2015 March 2, 2015 March 1, 2022 2.02 % 6,114 (317 ) April 7, 2015 April 7, 2015 April 7, 2022 1.74 % 49,400 (1,860 ) July 8, 2015 August 1, 2015 May 22, 2019 1.43 % 1,426 (22 ) September 17, 2015 September 17, 2015 September 17, 2022 1.90 % 13,700 (649 ) October 2, 2015 November 1, 2015 November 1, 2022 1.79 % 13,100 (548 ) December 23, 2015 December 23, 2015 January 2, 2026 2.30 % 26,000 (2,278 ) January 25, 2016 February 1, 2016 February 1, 2021 1.40 % 38,000 (732 ) June 7, 2016 July 1, 2016 July 1, 2023 1.42 % 43,680 (875 ) July 21, 2016 August 1, 2016 August 1, 2023 1.30 % 47,550 (560 ) August 29, 2016 October 21, 2016 (b) December 15, 2019 1.07 % — (63 ) $ 354,488 $ (10,921 ) (a) Receive floating rate index based upon 1 month LIBOR. At September 30, 2016, the 1 month LIBOR was 0.53%. (b) On August 29, 2016 the Company entered into a new interest rate swap contract for the same notional amount effective upon expiration of the existing contract.
Schedule of Cash Flow Hedges and Classification on Consolidated Balance Sheets	The table below presents the fair value of the Company’s cash flow hedges as well as their classification on the consolidated balance sheets as of September 30, 2016 and December 31, 2015, respectively. September 30, 2016 December 31, 2015 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as cash flow hedges: Interest rate swap agreements Other $ 10,921 Other $ 3,791
Schedule of Derivative Financial Instruments on Consolidated Statements of Operations and Other Comprehensive Loss	The table below presents the effect of the Company’s derivative financial instruments on the consolidated statements of operations and comprehensive income (loss) for the three and nine months ended September 30, 2016 and 2015. Three Months Ended September 30, Nine Months Ended September 30, Derivatives in Cash Flow Hedging Relationships 2016 2015 2016 2015 Effective portion of derivative $ 519 $ (3,865 ) $ (10,384 ) $ (5,114 ) Reclassification adjustment for amounts included in net loss (effective portion) $ 1,077 $ 800 $ 3,039 $ 1,707 Ineffective portion of derivative $ 38 $ — $ 215 $ 2 Three Months Ended September 30, Nine Months Ended September 30, Derivatives Not Designated as Hedging Instruments 2016 2015 2016 2015 Ineffective portion of derivative $ — $ 98 $ — $ 269

Distributions (Tables)

Distributions (Tables)	9 Months Ended
	Sep. 30, 2016
Distributions [Abstract]
Schedule of Distributions Paid and Declared	The table below presents the distributions paid and declared for the three and nine months ended September 30, 2016 and 2015. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Distributions paid $ 13,207 $ 11,027 $ 39,235 $ 30,059 Distributions declared $ 13,227 $ 11,509 $ 39,156 $ 31,955

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Schedule of Change in Earnout Liability for Acquisition of Certain Properties	The table below presents the change in the Company’s Earnout liability for the nine months ended September 30, 2016 and 2015. Nine Months Ended September 30, 2016 2015 Earnout liability-beginning of period $ 18,871 $ 3,646 Increases: Acquisitions — 1,929 Amortization expense 551 57 Decreases: Earnout payments (9,067 ) (3,095 ) Other: Adjustments to acquisition related costs (1,413 ) 25 Earnout liability – end of period $ 8,942 $ 2,562

Equity-Based Compensation (Tabl

Equity-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Summary of Restricted Shares	Summary tables of the status of the restricted shares are presented below: Restricted Shares Restricted Share Units Weighted Average Grant Date Fair Value Aggregate Intrinsic Value Outstanding at January 1, 2016 — — $ — $ — Granted 3,326 1,109 40 40 Vested — — — — Converted — — — — Forfeited — — — — Outstanding at September 30, 2016 3,326 1,109 $ 40 $ 40

Transactions with Related Par28

Transactions with Related Parties (Tables)	9 Months Ended
	Sep. 30, 2016
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	The following table summarizes the Company’s related party transactions for the three and nine months ended September 30, 2016 and 2015. Certain compensation and fees payable to the Business Manager for services provided to the Company are limited to maximum amounts. Three Months Ended September 30, Nine Months Ended September 30, Unpaid amounts as of 2016 2015 2016 2015 September 30, 2016 December 31, 2015 General and administrative reimbursements (a) $ 633 $ 368 $ 1,406 $ 937 $ 464 $ 287 Affiliate share purchase discounts (b) — 4 — 28 — — Total general and administrative expenses $ 633 $ 372 $ 1,406 $ 965 $ 464 $ 287 Acquisition related costs $ 49 $ 290 $ 251 $ 1,047 $ 78 $ 165 Acquisition fees — 302 1,327 3,570 — 6,010 Total acquisition costs and fees (c) $ 49 $ 592 $ 1,578 $ 4,617 $ 78 $ 6,175 Real estate management fees $ 1,179 $ 669 3,355 1,801 $ — $ — Construction management fees 46 51 78 70 45 80 Leasing fees 65 — 144 — 100 40 Total real estate management related costs (d) $ 1,290 $ 720 $ 3,577 $ 1,871 $ 145 $ 120 Offering costs (e) $ — $ 9,240 $ — $ 37,145 $ — $ 63 Business management fees (f) $ 2,190 $ 1,361 $ 6,421 $ 3,551 $ 2,190 $ 1,950 Sponsor contribution (g) $ — $ — $ — $ 3,283 $ — $ — (a) The Business Manager and its related parties are entitled to reimbursement for certain general and administrative expenses incurred by the Business Manager or its related parties relating to the Company’s administration. Such costs are included in general and administrative expenses in the accompanying consolidated statements of operations and comprehensive income (loss). Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets. (b) The Company established a discount stock purchase policy for related parties and related parties of the Business Manager that enabled the related parties to purchase shares of common stock at $9.00 per share in the Offering. The Company sold 28,061 shares to related parties during the nine months ended September 30, 2015. (c) The Company pays the Business Manager or its affiliates a fee equal to 1.5% of the “contract purchase price,” as defined, of each asset acquired. The Business Manager and its related parties are also reimbursed for acquisition and transaction related costs of the Business Manager and its related parties relating to the Company’s acquisition activities, regardless of whether the Company acquires the real estate assets. Such costs are included in acquisition related costs in the accompanying consolidated statements of operations and comprehensive income (loss). Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets. For the nine months ended September 30, 2015, the Business Manager permanently waived acquisition fees of $2,510. (d) For each property that is managed by Inland National Real Estate Services, LLC or Inland Commercial Real Estate Services LLC (collectively, the “Real Estate Managers”), the Company pays a monthly real estate management fee of up to 1.9% of the gross income from any single-tenant, net-leased property, and up to 3.9% of the gross income from any other property type. Each Real Estate Manager determines, in its sole discretion, the amount of the fee with respect to a particular property, subject to the limitations. For each property that is managed directly by one of the Real Estate Managers or its affiliates, the Company pays the Real Estate Manager a separate leasing fee. Further, in the event that the Company engages its Real Estate Managers to provide construction management services for a property, the Company pays a separate construction management fee. Leasing fees are included in deferred costs, net and construction management fees are included in building and other improvements in the accompanying consolidated balance sheets. The Company also reimburses each Real Estate Manager and its affiliates for property-level expenses that they pay or incur on the Company’s behalf, including the salaries, bonuses and benefits of persons performing services for the Real Estate Managers and their affiliates except for the salaries, bonuses and benefits of persons who also serve as an executive officer of any of the Real Estate Managers or the Company. Real estate management fees and reimbursable expenses are included in property operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss). (e) A related party of the Business Manager was paid selling commissions equal to 7.0% of the sale price for each share sold and a marketing contribution equal to 3.0% of the gross offering proceeds from shares sold in the Offering, the majority of which was re-allowed (paid) to third party soliciting dealers. The Company also reimbursed a related party of the Business Manager and the third party soliciting dealers for bona fide, out-of-pocket itemized and detailed due diligence expenses in amounts up to 0.5% of the gross offering proceeds. The Company reimbursed the Sponsor, its affiliates and third parties for costs and other expenses of the Offering that they paid on the Company’s behalf, in an amount not to exceed 1.5% of the gross offering proceeds from shares sold in the Offering. The Company does not pay selling commissions or the marketing contribution or reimburse issuer costs in connection with shares of common stock issued through the DRP. Offering costs are offset against the stockholders’ equity accounts. Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets. (f) The Company pays the Business Manager an annual business management fee equal to 0.65% of its “average invested assets”. The fee is payable quarterly in an amount equal to 0.1625% of its average invested assets as of the last day of the immediately preceding quarter. “Average invested assets” means, for any period, the average of the aggregate book value of the Company’s assets, including all intangibles and goodwill, invested, directly or indirectly, in equity interests in, and loans secured by, properties, as well as amounts invested in securities and consolidated and unconsolidated joint ventures or other partnerships, before reserves for amortization and depreciation or bad debts, impairments or other similar non-cash reserves, computed by taking the average of these values at the end of each month during the relevant calendar quarter. (g) During the nine months ended September 30, 2015, the Sponsor contributed $3,283 to the Company. The Sponsor has not received, and will not receive, any additional shares of the Company’s common stock for making this contribution. There is no assurance that the Sponsor will continue to contribute any additional monies.

Operating Leases (Tables)

Operating Leases (Tables)	9 Months Ended
	Sep. 30, 2016
Leases [Abstract]
Schedule of Future Minimum Lease Payments to be Received Under Operating Leases	Minimum lease payments to be received under operating leases, including ground leases, as of September 30, 2016 for the years indicated are as follows: Minimum Lease Payments 2016 (remainder of year) $ 21,991 2017 85,715 2018 78,925 2019 71,336 2020 65,201 Thereafter 322,216 Total $ 645,384

Subsequent Events (Tables)

Subsequent Events (Tables)	9 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
Schedule of Dividend Distributions	Distribution Month Month Distribution Paid Gross of Distribution Paid Distribution Reinvested through DRP Shares Issued Net Cash Distribution September 2016 October 2016 $ 4,318 $ 2,281 252,922 $ 2,037 October 2016 November 2016 $ 4,469 $ 2,359 261,556 $ 2,110

Organization (Narrative) (Detai

Organization (Narrative) (Details)	Sep. 30, 2016ft²PropertyState	Apr. 22, 2016ft²
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Number of retail properties owned | Property	56
Number of states in which company owns real estate properties | State	23
Square footage of real estate properties owned | ft²	6,345,537	314,815
Weighted average physical occupancy rate of property portfolio	94.70%
Weighted average economic occupancy rate of property portfolio	95.30%

Equity (Narrative) (Details)

Equity (Narrative) (Details) - USD ($)	Jun. 16, 2016	Sep. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Apr. 07, 2016	Dec. 31, 2015
Equity [Line Items]
Common stock, shares authorized		1,460,000,000	1,460,000,000			1,460,000,000
Common stock shares issued excluding DRP		83,835,055	83,835,055
Proceeds from issuance of common stock excluding DRP			$ 834,399
Common stock, shares outstanding		87,699,273	87,699,273			86,229,018
Distribution reinvestment plan, shares			5,078,369
Shares repurchased through the share repurchase program			1,214,151
Estimated net asset value per share					$ 9.02
Proceeds from distribution reinvestment plan		$ 2,281,000	$ 20,920,000
Stock repurchase program, amount			7,057,000	$ 2,510,000
Other liabilities		20,583,000	20,583,000			$ 15,042,000
SRP [Member]
Equity [Line Items]
Other liabilities		$ 845,000	$ 845,000			$ 477,000
Minimum [Member]
Equity [Line Items]
Stock repurchase program, to be held			1 year
Maximum [Member]
Equity [Line Items]
Stock repurchase program shares issued in percentage			5.00%
DRP [Member]
Equity [Line Items]
Price of each common share		$ 9.50	$ 9.50
Reinvestments In Common Stock			$ 9.02
Proceeds from distribution reinvestment plan			$ 20,920,000	$ 14,116,000
Employee and Director Restricted Share Plan [Member] | Non-Employee Directors [Member] | Restricted Shares And Restricted Share Units [Member]
Equity [Line Items]
Common stock fair value at grant date	$ 10,000
Share issued to non-employee director	1,109
IPO [Member]
Equity [Line Items]
Common stock, shares authorized		150,000,000	150,000,000
Price of each common share		$ 10	$ 10

Acquisitions (Purchased Propert

Acquisitions (Purchased Properties from Unaffiliated Third Parties) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)ft²		Apr. 22, 2016USD ($)ft²
Business Acquisition [Line Items]
Property acquisition, Square Footage | ft²	6,345,537		314,815
Property acquisition, Purchase Price | $	$ 79,034	[1]	$ 77,140
Coastal North Town Center
Business Acquisition [Line Items]
Property acquisition, Date Acquired	Apr. 22, 2016
Property Name	Coastal North Town Center
Property acquisition, Location	Myrtle Beach, SC
Property acquisition, Property Type	Multi-Tenant Retail
Property acquisition, Square Footage | ft²			304,665
Property acquisition, Purchase Price | $			$ 72,811
Oquirrh Mountain Marketplace Phase I I
Business Acquisition [Line Items]
Property acquisition, Date Acquired	Apr. 22, 2016
Property Name	Oquirrh Mountain Marketplace Phase II
Property acquisition, Location	South Jordan, UT
Property acquisition, Property Type	Multi-Tenant Retail
Property acquisition, Square Footage | ft²	4,200		10,150
Property acquisition, Purchase Price | $			$ 4,329
[1]	The total for the nine months ended September 30, 2016, includes $1,720 for 4,200 square feet acquired at Oquirrh Mountain Marketplace Phase II and $533 for 1,766 square feet acquired at Park Avenue Shopping Center.

Acquisitions (Narrative) (Detai

Acquisitions (Narrative) (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2016USD ($)Property	Sep. 30, 2015USD ($)
Business Acquisition [Line Items]
Number of properties acquired during period | Property			2
Borrowing of mortgage debt at acquisition				$ 40,303
Acquisition related costs incurred during the period	$ (413)	$ 1,071	$ 421	5,941
Revenue	30,903	19,762	90,577	49,716
Net income (loss)	(961)	(262)	(7,502)	(4,385)
Acquisition expense	$ 0	$ 330	1,712	$ 4,915
2016 Acquisitions [Member]
Business Acquisition [Line Items]
Borrowing of mortgage debt at acquisition			43,680
Revenue			2,722
Net income (loss)			$ 272

Acquisitions (Schedule of Major

Acquisitions (Schedule of Major Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands	Sep. 30, 2016		Apr. 22, 2016
Business Combinations [Abstract]
Land	$ 15,128
Building and improvements	53,849
Acquired lease intangible assets, net	13,848
Acquired intangible liabilities, net	(3,432)
Assumed liabilities, net	(359)
Total	$ 79,034	[1]	$ 77,140
[1]	The total for the nine months ended September 30, 2016, includes $1,720 for 4,200 square feet acquired at Oquirrh Mountain Marketplace Phase II and $533 for 1,766 square feet acquired at Park Avenue Shopping Center.

Acquisitions (Schedule of Maj36

Acquisitions (Schedule of Major Assets Acquired and Liabilities Assumed) (Parenthetical) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)ft²	Apr. 22, 2016ft²
Business Acquisition [Line Items]
Property acquisition, Square Footage	6,345,537	314,815
Oquirrh Mountain Marketplace Phase I I
Business Acquisition [Line Items]
Property acquisition, Purchase Price | $	$ 1,720
Property acquisition, Square Footage	4,200	10,150
Park Avenue Shopping Center [Member]
Business Acquisition [Line Items]
Property acquisition, Purchase Price | $	$ 533
Property acquisition, Square Footage	1,766

Acquisitions (Schedule of Pro F

Acquisitions (Schedule of Pro Forma Financial Information for Acquisitions) (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Business Combinations [Abstract]
Pro forma total income		$ 30,903	$ 27,986	$ 92,264	$ 82,320
Pro forma net (loss) income		$ (961)	$ (201)	$ (5,858)	$ 2,412
Net (loss) earnings per share	[1]	$ (0.01)		$ (0.07)	$ 0.03
[1]	Based on number of common shares outstanding as of September 30, 2016.

Schedule of Intangible Assets a

Schedule of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Intangible assets:
Accumulated amortization	$ (39,281)	$ (18,236)
Acquired lease intangibles, net	156,824	164,773
Intangible liabilities:
Acquired below market lease value	66,799	63,529
Above market ground lease	5,169	5,169
Accumulated amortization	(7,247)	(3,504)
Acquired intangible liabilities, net	64,721	65,194
Acquired in-place lease value [Member]
Intangible assets:
Acquired intangible assets	159,051	146,910
Acquired lease intangibles, net	125,758
Acquired above market lease value [Member]
Intangible assets:
Acquired intangible assets	37,054	$ 36,099
Acquired lease intangibles, net	$ 31,066

Acquired Intangible Assets an39

Acquired Intangible Assets and Liabilities - Narrative (Details)	9 Months Ended
	Sep. 30, 2016
Acquired in-place lease value [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Intangible liabilities, weighted average amortization period	10 years
Acquired above market lease value [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Intangible liabilities, weighted average amortization period	13 years
Acquired below market lease value [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Intangible liabilities, weighted average amortization period	19 years
Acquired Above market ground lease [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Intangible liabilities, weighted average amortization period	55 years

Schedule of Amortization Pertai

Schedule of Amortization Pertaining to Acquired in Place Lease Value, Above Market Ground Lease, Above Market Lease Value and Below Market Lease Value (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Acquired Finite Lived Intangible Assets [Line Items]
Amortization recorded as a (reduction) increase to rental income	$ 325	$ 102	$ 467	$ 510
Acquired in-place lease value [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Amortization recorded as amortization expense	5,455	3,526	18,430	8,622
Above market ground lease [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Amortization recorded as a reduction to property operating expense	(23)		(70)
Acquired above market lease value [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Amortization recorded as a (reduction) increase to rental income	(997)	(631)	(3,368)	(1,413)
Acquired below market lease value [Member]
Acquired Finite Lived Intangible Assets [Line Items]
Amortization recorded as a (reduction) increase to rental income	$ 1,322	$ 733	$ 3,835	$ 1,923

Schedule of Estimated Amortizat

Schedule of Estimated Amortization of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Future amortization for acquired in-place and above market lease assets:
Acquired lease intangibles, net	$ 156,824	$ 164,773
Future amortization for below market lease liabilities:
2016 (remainder of year)	(1,152)
2,017	(4,485)
2,018	(4,303)
2,019	(4,156)
2,020	(3,936)
Thereafter	(41,613)
Total	(59,645)
Future amortization for above market ground lease liabilities:
2016 (remainder of year)	(23)
2,017	(94)
2,018	(94)
2,019	(94)
2,020	(94)
Thereafter	(4,677)
Total	(5,076)
Acquired in-place lease value [Member]
Future amortization for acquired in-place and above market lease assets:
2016 (remainder of year)	5,177
2,017	19,928
2,018	18,122
2,019	16,339
2,020	13,648
Thereafter	52,544
Acquired lease intangibles, net	125,758
Acquired above market lease value [Member]
Future amortization for acquired in-place and above market lease assets:
2016 (remainder of year)	973
2,017	3,746
2,018	3,195
2,019	2,837
2,020	2,564
Thereafter	17,751
Acquired lease intangibles, net	$ 31,066

Debt and Derivative Instrumen42

Debt and Derivative Instruments (Schedule of Mortgages and Credit Facility Payable) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Mortgage Loans On Real Estate [Line Items]
Mortgages payable	$ 574,482	$ 484,995
Credit facility payable	35,000	100,000
Add: Unamortized mortgage premiums	3,302	3,971
Less: Unamortized debt issuance costs	(5,142)	(4,467)
Total debt	$ 607,642	$ 584,499
Mortgages Payable, Weighted Average Interest Rate	3.63%	3.77%
Credit Facilities Payable, Weighted Average Interest Rate	2.08%	1.65%
Fixed rate mortgages payable [Member]
Mortgage Loans On Real Estate [Line Items]
Mortgages payable	$ 178,369	$ 162,692
Mortgages Payable, Weighted Average Interest Rate	4.31%	4.37%
Variable rate mortgages payable with swap agreements [Member]
Mortgage Loans On Real Estate [Line Items]
Mortgages payable	$ 354,488	$ 238,617
Mortgages Payable, Weighted Average Interest Rate	3.44%	3.64%
Variable rate mortgages payable [Member]
Mortgage Loans On Real Estate [Line Items]
Mortgages payable	$ 41,625	$ 83,686
Mortgages Payable, Weighted Average Interest Rate	2.32%	2.99%

Debt and Derivative Instrumen43

Debt and Derivative Instruments (Narrative) (Details) - USD ($)	Jan. 21, 2016	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Debt Instrument [Line Items]
Indebtedness includes effects of interest rate swap, weighted average interest rate		3.54%
Carrying value of debt		$ 609,482,000	$ 584,995,000
Estimated fair value of debt		612,280,000	$ 587,437,000
Amount expected to be reclassified from accumulated other comprehensive loss into income in the next twelve months		$ 3,548,000
Mortgages Payable [Member]
Debt Instrument [Line Items]
Weighted Average Years to Maturity		5 years 6 months
Mortgages payable, covenant compliance		The Company was current on all of the payments and other covenants.
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Carrying value of debt		$ 35,000,000
KeyBanc Capital Markets, Inc. [Member] | Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Credit facility, maximum borrowing capacity	$ 110,000,000			$ 100,000,000
Line of credit facility increase in aggregate commitments	10,000,000
Credit facility, available borrowing capacity		$ 75,000,000
Line of credit accordion feature to increase available borrowings	$ 400,000,000
Credit facility, maturity date	Sep. 30, 2019
Extension fee percentage	0.15%

Debt and Derivative Instrumen44

Debt and Derivative Instruments (Schedule of Principal Payments and Maturities of Company's Debt) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
2016 (remainder of the year)	$ 24
2,017	6,510
2,018	15,465
2,019	185,287
2,020	897
Thereafter	401,299
Total	609,482	$ 584,995
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
2,019	35,000
Total	35,000
Scheduled Principal Payments [Member]
Debt Instrument [Line Items]
2016 (remainder of the year)	24
2,017	239
2,018	205
2,019	215
2,020	897
Thereafter	3,108
Total	4,688
Maturities of Mortgage Loans [Member]
Debt Instrument [Line Items]
2,017	6,271
2,018	15,260
2,019	150,072
Thereafter	398,191
Total	$ 569,794

Debt and Derivative Instrumen45

Debt and Derivative Instruments (Summary of Interest Rate Swap Contracts Outstanding) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)
Derivative [Line Items]
Derivative instrument, notional amount	$ 354,488
Fair value of derivative liabilities measured on recurring basis	$ (10,921)
Interest Rate Swap One [Member]
Derivative [Line Items]
Derivative instrument, date entered	Mar. 28, 2014
Derivative instrument, effective date	Mar. 1, 2015
Derivative instrument, maturity date	Mar. 28, 2019
Derivative instrument, pay fixed interest rate	2.22%	[1]
Derivative instrument, notional amount	$ 5,525
Fair value of derivative liabilities measured on recurring basis	$ (190)
Interest Rate Swap Two [Member]
Derivative [Line Items]
Derivative instrument, date entered	May 8, 2014
Derivative instrument, effective date	May 5, 2015
Derivative instrument, maturity date	May 7, 2019
Derivative instrument, pay fixed interest rate	2.10%	[1]
Derivative instrument, notional amount	$ 14,200
Fair value of derivative liabilities measured on recurring basis	$ (463)
Interest Rate Swap Three [Member]
Derivative [Line Items]
Derivative instrument, date entered	May 23, 2014
Derivative instrument, effective date	May 1, 2015
Derivative instrument, maturity date	May 22, 2019
Derivative instrument, pay fixed interest rate	2.00%	[1]
Derivative instrument, notional amount	$ 8,484
Fair value of derivative liabilities measured on recurring basis	$ (258)
Interest Rate Swap Four [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jun. 6, 2014
Derivative instrument, effective date	Jun. 1, 2015
Derivative instrument, maturity date	May 8, 2019
Derivative instrument, pay fixed interest rate	2.15%	[1]
Derivative instrument, notional amount	$ 11,684
Fair value of derivative liabilities measured on recurring basis	$ (397)
Interest Rate Swap Five [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jun. 26, 2014
Derivative instrument, effective date	Jul. 5, 2015
Derivative instrument, maturity date	Jul. 5, 2019
Derivative instrument, pay fixed interest rate	2.11%	[1]
Derivative instrument, notional amount	$ 20,725
Fair value of derivative liabilities measured on recurring basis	$ (715)
Interest Rate Swap Six [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jun. 27, 2014
Derivative instrument, effective date	Jul. 1, 2014
Derivative instrument, maturity date	Jul. 1, 2019
Derivative instrument, pay fixed interest rate	1.85%	[1]
Derivative instrument, notional amount	$ 24,352
Fair value of derivative liabilities measured on recurring basis	$ (665)
Interest Rate Swap Seven [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jul. 31, 2014
Derivative instrument, effective date	Jul. 31, 2014
Derivative instrument, maturity date	Jul. 31, 2019
Derivative instrument, pay fixed interest rate	1.94%	[1]
Derivative instrument, notional amount	$ 9,561
Fair value of derivative liabilities measured on recurring basis	$ (292)
Interest Rate Swap Eight [Member]
Derivative [Line Items]
Derivative instrument, date entered	Dec. 16, 2014
Derivative instrument, effective date	Dec. 16, 2014
Derivative instrument, maturity date	Oct. 21, 2016	[2]
Derivative instrument, pay fixed interest rate	1.50%	[1]
Derivative instrument, notional amount	$ 10,837
Fair value of derivative liabilities measured on recurring basis	$ (6)
Interest Rate Swap Nine [Member]
Derivative [Line Items]
Derivative instrument, date entered	Dec. 16, 2014
Derivative instrument, effective date	Dec. 16, 2014
Derivative instrument, maturity date	May 9, 2017
Derivative instrument, pay fixed interest rate	1.13%	[1]
Derivative instrument, notional amount	$ 10,150
Fair value of derivative liabilities measured on recurring basis	$ (31)
Interest Rate Swap Ten [Member]
Derivative [Line Items]
Derivative instrument, date entered	Feb. 11, 2015
Derivative instrument, effective date	Mar. 2, 2015
Derivative instrument, maturity date	Mar. 1, 2022
Derivative instrument, pay fixed interest rate	2.02%	[1]
Derivative instrument, notional amount	$ 6,114
Fair value of derivative liabilities measured on recurring basis	$ (317)
Interest Rate Swap Eleven [Member]
Derivative [Line Items]
Derivative instrument, date entered	Apr. 7, 2015
Derivative instrument, effective date	Apr. 7, 2015
Derivative instrument, maturity date	Apr. 7, 2022
Derivative instrument, pay fixed interest rate	1.74%	[1]
Derivative instrument, notional amount	$ 49,400
Fair value of derivative liabilities measured on recurring basis	$ (1,860)
Interest Rate Swap Twelve [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jul. 8, 2015
Derivative instrument, effective date	Aug. 1, 2015
Derivative instrument, maturity date	May 22, 2019
Derivative instrument, pay fixed interest rate	1.43%	[1]
Derivative instrument, notional amount	$ 1,426
Fair value of derivative liabilities measured on recurring basis	$ (22)
Interest Rate Swap Thirteen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Sep. 17, 2015
Derivative instrument, effective date	Sep. 17, 2015
Derivative instrument, maturity date	Sep. 17, 2022
Derivative instrument, pay fixed interest rate	1.90%	[1]
Derivative instrument, notional amount	$ 13,700
Fair value of derivative liabilities measured on recurring basis	$ (649)
Interest Rate Swap Fourteen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Oct. 2, 2015
Derivative instrument, effective date	Nov. 1, 2015
Derivative instrument, maturity date	Nov. 1, 2022
Derivative instrument, pay fixed interest rate	1.79%	[1]
Derivative instrument, notional amount	$ 13,100
Fair value of derivative liabilities measured on recurring basis	$ (548)
Interest Rate Swap Fifteen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Dec. 23, 2015
Derivative instrument, effective date	Dec. 23, 2015
Derivative instrument, maturity date	Jan. 2, 2026
Derivative instrument, pay fixed interest rate	2.30%	[1]
Derivative instrument, notional amount	$ 26,000
Fair value of derivative liabilities measured on recurring basis	$ (2,278)
Interest Rate Swap Sixteen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jan. 25, 2016
Derivative instrument, effective date	Feb. 1, 2016
Derivative instrument, maturity date	Feb. 1, 2021
Derivative instrument, pay fixed interest rate	1.40%	[1]
Derivative instrument, notional amount	$ 38,000
Fair value of derivative liabilities measured on recurring basis	$ (732)
Interest Rate Swap Seventeen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jun. 7, 2016
Derivative instrument, effective date	Jul. 1, 2016
Derivative instrument, maturity date	Jul. 1, 2023
Derivative instrument, pay fixed interest rate	1.42%	[1]
Derivative instrument, notional amount	$ 43,680
Fair value of derivative liabilities measured on recurring basis	$ (875)
Interest Rate Swap Eighteen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Jul. 21, 2016
Derivative instrument, effective date	Aug. 1, 2016
Derivative instrument, maturity date	Aug. 1, 2023
Derivative instrument, pay fixed interest rate	1.30%	[1]
Derivative instrument, notional amount	$ 47,550
Fair value of derivative liabilities measured on recurring basis	$ (560)
Interest Rate Swap Nineteen [Member]
Derivative [Line Items]
Derivative instrument, date entered	Aug. 29, 2016
Derivative instrument, effective date	Oct. 21, 2016	[2]
Derivative instrument, maturity date	Dec. 15, 2019
Derivative instrument, pay fixed interest rate	1.07%	[1]
Fair value of derivative liabilities measured on recurring basis	$ (63)
[1]	Receive floating rate index based upon 1 month LIBOR. At September 30, 2016, the 1 month LIBOR was 0.53%.
[2]	On August 29, 2016 the Company entered into a new interest rate swap contract for the same notional amount effective upon expiration of the existing contract

Debt and Derivative Instrumen46

Debt and Derivative Instruments (Summary of Interest Rate Swap Contracts Outstanding) (Parenthetical) (Details)	9 Months Ended
	Sep. 30, 2016
Derivative [Line Items]
Derivative instrument, receive floating rate index	1 month LIBOR
LIBOR [Member]
Derivative [Line Items]
One month floating rate	0.53%

Debt and Derivative Instrumen47

Debt and Derivative Instruments (Schedule of Cash Flow Hedges and Classification on Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Other Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivatives designated as cash flow hedges - interest rate swap agreements	$ 10,921	$ 3,791

Debt and Derivative Instrumen48

Debt and Derivative Instruments (Derivatives on Consolidated Statements of Operations and Other Comprehensive Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Effective portion of derivative	$ 519	$ (3,865)	$ (10,384)	$ (5,114)
Reclassification adjustment for amounts included in net loss (effective portion)	1,077	800	3,039	1,707
Ineffective portion of derivative	$ 38		$ 215	2
Not Designated as Hedging Instrument [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Ineffective portion of derivative		$ 98		$ 269

Distributions (Narrative) (Deta

Distributions (Narrative) (Details)	Sep. 30, 2016$ / shares
Distributions [Abstract]
Amount per share of distributions	$ 0.0016439344
Annualized dividend per share	$ 0.60

Distributions (Schedule of Dist

Distributions (Schedule of Distributions Paid and Declared) (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Distributions [Abstract]
Distributions paid		$ 13,207	$ 11,027	$ 39,235	$ 30,059
Distributions declared	$ 4,318	$ 13,227	$ 11,509	$ 39,156	$ 31,955

Earnings (Loss) per Share (Deta

Earnings (Loss) per Share (Details) - shares	3 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2016
Earnings Per Share [Abstract]
Additional shares excluded from the computation of diluted earnings per share	2,669	2,669

Commitments and Contingencies52

Commitments and Contingencies (Narrative) (Details) $ in Thousands	Sep. 30, 2016USD ($)
Commitments And Contingencies Disclosure [Abstract]
The maximum potential earnout payment for acquisitions made during period	$ 13,133

Commitments and Contingencies53

Commitments and Contingencies (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Commitments And Contingencies Disclosure [Abstract]
Earnout liability-beginning of period	$ 18,871	$ 3,646
Increases:
Acquisitions		1,929
Amortization expense	551	57
Decreases:
Earnout payments	(9,067)	(3,095)
Other:
Adjustments to acquisition related costs	(1,413)	25
Earnout liability – end of period	$ 8,942	$ 2,562

Equity-Based Compensation - Nar

Equity-Based Compensation - Narrative (Details) - USD ($) $ in Thousands	Jun. 16, 2016	Sep. 30, 2016	Sep. 30, 2016
Restricted Stock [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock shares issued upon vesting	1
Unrecognized compensation cost of unvested share-based awards		$ 32	$ 32
Weighted average remaining period unrecognized compensation cost related to non-vested			1 year 9 months 4 days
Restricted Stock [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation vesting period	1 year
Restricted Stock [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation vesting period	3 years
Restricted Stock [Member] | Non-Employee Directors [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation expense		6	$ 8
Restricted Stock Units (RSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock shares issued upon vesting	1
Unrecognized compensation cost of unvested share-based awards		32	$ 32
Weighted average remaining period unrecognized compensation cost related to non-vested			1 year 9 months 4 days
Restricted Stock Units (RSUs) [Member] | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation vesting period	1 year
Restricted Stock Units (RSUs) [Member] | Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation vesting period	3 years
Restricted Stock Units (RSUs) [Member] | Non-Employee Directors [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation expense		$ 6	$ 8

Equity-Based Compensation (Summ

Equity-Based Compensation (Summary of the Restricted Shares) (Details)	9 Months Ended
	Sep. 30, 2016$ / sharesshares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Granted, Weighted Average Grant Date Fair Value | $ / shares	$ 40
Outstanding, Weighted Average Grant Date Fair Value | $ / shares	40
Granted, Aggregate Intrinsic Value | $ / shares	40
Outstanding, Aggregate Intrinsic Value | $ / shares	$ 40
Restricted Stock [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Granted, Shares | shares	3,326
Outstanding, Shares | shares	3,326
Restricted Stock Units (RSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Granted, Shares | shares	1,109
Outstanding, Shares | shares	1,109

Segment Reporting (Details)

Segment Reporting (Details) - Segment	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Segment Reporting [Abstract]
Number of reportable segments	1	1

Transactions with Related Par57

Transactions with Related Parties (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Related Party Transaction [Line Items]
Allocated income (loss)		$ (100)	$ (13)	$ 193	$ (118)
Number of common stock shares owned in related party		1,000		1,000		1,000
Value of common stock shares owned in related party		$ 1		$ 1		$ 1
Price per share of common stock sold to related parties during period				$ 9	$ 9
Common stock shares sold to related party during period					28,061
Asset acquisition fee to contract purchase price, percentage				1.50%
Total acquisition fees waived by business manager during period					$ 2,510
Selling commissions per price of each share sold, percentage				7.00%
Marketing contribution to gross offering proceeds, percentage				3.00%
Annual business management fee to its average invested assets, percentage				0.65%
Quarterly payable business management fee to its average invested assets, percentage				0.1625%
Maximum [Member]
Related Party Transaction [Line Items]
Out-of-pocket itemized and detailed expenses reimbursed, percentage				0.50%
Costs and other expenses reimbursed to Sponsor, percentage				1.50%
Monthly Real Estate Management Fee Of Single Tenant Property [Member] | Maximum [Member]
Related Party Transaction [Line Items]
Property management fee, percentage				1.90%
Monthly Real Estate Management Fee Of Any Other Property [Member] | Maximum [Member]
Related Party Transaction [Line Items]
Property management fee, percentage				3.90%
Sponsor Contribution [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[1]				$ 3,283
[1]	During the nine months ended September 30, 2015, the Sponsor contributed $3,283 to the Company. The Sponsor has not received, and will not receive, any additional shares of the Company’s common stock for making this contribution. There is no assurance that the Sponsor will continue to contribute any additional monies.

Transactions with Related Par58

Transactions with Related Parties (Schedule of Related Party Transactions) (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Related Party Transaction [Line Items]
Real estate management related costs with related party	[1]	$ 1,290	$ 720	$ 3,577	$ 1,871
Due to related parties		2,877		2,877		$ 8,595
General and Administrative Reimbursements [Member]
Related Party Transaction [Line Items]
General and administrative expenses incurred with related party	[2]	633	368	1,406	937
Due to related parties	[2]	464		464		287
Affiliate Share Purchase Discounts [Member]
Related Party Transaction [Line Items]
General and administrative expenses incurred with related party	[3]		4		28
Total General and Administrative Expenses [Member]
Related Party Transaction [Line Items]
General and administrative expenses incurred with related party		633	372	1,406	965
Due to related parties		464		464		287
Acquisition Related Costs [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[4]	49	290	251	1,047
Acquisition related costs		78		78		165
Acquisition Fees [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[4]		302	1,327	3,570
Acquisition related costs						6,010
Acquisition Related Costs and Fee [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[4]	49	592	1,578	4,617
Acquisition related costs	[4]	78		78		6,175
Real Estate Management Fees [Member]
Related Party Transaction [Line Items]
Real estate management related costs with related party		1,179	669	3,355	1,801
Construction Management Fees [Member]
Related Party Transaction [Line Items]
Real estate management related costs with related party		46	51	78	70
Due to related parties		45		45		80
Leasing fees [Member]
Related Party Transaction [Line Items]
Real estate management related costs with related party		65		144
Due to related parties		100		100		40
Real Estate Management Costs [Member]
Related Party Transaction [Line Items]
Due to related parties	[1]	145		145		120
Offering Costs [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[5]		9,240		37,145
Due to related parties	[5]					63
Business Management Fee [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[6]	2,190	$ 1,361	6,421	3,551
Due to related parties	[6]	$ 2,190		$ 2,190		$ 1,950
Sponsor Contribution [Member]
Related Party Transaction [Line Items]
Expenses incurred with related party	[7]				$ 3,283
[1]	For each property that is managed by Inland National Real Estate Services, LLC or Inland Commercial Real Estate Services LLC (collectively, the “Real Estate Managers”), the Company pays a monthly real estate management fee of up to 1.9% of the gross income from any single-tenant, net-leased property, and up to 3.9% of the gross income from any other property type. Each Real Estate Manager determines, in its sole discretion, the amount of the fee with respect to a particular property, subject to the limitations. For each property that is managed directly by one of the Real Estate Managers or its affiliates, the Company pays the Real Estate Manager a separate leasing fee. Further, in the event that the Company engages its Real Estate Managers to provide construction management services for a property, the Company pays a separate construction management fee. Leasing fees are included in deferred costs, net and construction management fees are included in building and other improvements in the accompanying consolidated balance sheets. The Company also reimburses each Real Estate Manager and its affiliates for property-level expenses that they pay or incur on the Company’s behalf, including the salaries, bonuses and benefits of persons performing services for the Real Estate Managers and their affiliates except for the salaries, bonuses and benefits of persons who also serve as an executive officer of any of the Real Estate Managers or the Company. Real estate management fees and reimbursable expenses are included in property operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss).
[2]	The Business Manager and its related parties are entitled to reimbursement for certain general and administrative expenses incurred by the Business Manager or its related parties relating to the Company’s administration. Such costs are included in general and administrative expenses in the accompanying consolidated statements of operations and comprehensive income (loss). Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets.
[3]	The Company established a discount stock purchase policy for related parties and related parties of the Business Manager that enabled the related parties to purchase shares of common stock at $9.00 per share in the Offering. The Company sold 28,061 shares to related parties during the nine months ended September 30, 2015.
[4]	The Company pays the Business Manager or its affiliates a fee equal to 1.5% of the “contract purchase price,” as defined, of each asset acquired.  The Business Manager and its related parties are also reimbursed for acquisition and transaction related costs of the Business Manager and its related parties relating to the Company’s acquisition activities, regardless of whether the Company acquires the real estate assets.  Such costs are included in acquisition related costs in the accompanying consolidated statements of operations and comprehensive income (loss).  Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets.  For the nine months ended September 30, 2015, the Business Manager permanently waived acquisition fees of $2,510.
[5]	A related party of the Business Manager was paid selling commissions equal to 7.0% of the sale price for each share sold and a marketing contribution equal to 3.0% of the gross offering proceeds from shares sold in the Offering, the majority of which was re-allowed (paid) to third party soliciting dealers. The Company also reimbursed a related party of the Business Manager and the third party soliciting dealers for bona fide, out-of-pocket itemized and detailed due diligence expenses in amounts up to 0.5% of the gross offering proceeds. The Company reimbursed the Sponsor, its affiliates and third parties for costs and other expenses of the Offering that they paid on the Company’s behalf, in an amount not to exceed 1.5% of the gross offering proceeds from shares sold in the Offering. The Company does not pay selling commissions or the marketing contribution or reimburse issuer costs in connection with shares of common stock issued through the DRP. Offering costs are offset against the stockholders’ equity accounts. Unpaid amounts are included in due to related parties in the accompanying consolidated balance sheets.
[6]	The Company pays the Business Manager an annual business management fee equal to 0.65% of its “average invested assets”. The fee is payable quarterly in an amount equal to 0.1625% of its average invested assets as of the last day of the immediately preceding quarter. “Average invested assets” means, for any period, the average of the aggregate book value of the Company’s assets, including all intangibles and goodwill, invested, directly or indirectly, in equity interests in, and loans secured by, properties, as well as amounts invested in securities and consolidated and unconsolidated joint ventures or other partnerships, before reserves for amortization and depreciation or bad debts, impairments or other similar non-cash reserves, computed by taking the average of these values at the end of each month during the relevant calendar quarter.
[7]	During the nine months ended September 30, 2015, the Sponsor contributed $3,283 to the Company. The Sponsor has not received, and will not receive, any additional shares of the Company’s common stock for making this contribution. There is no assurance that the Sponsor will continue to contribute any additional monies.

Operating Leases (Details)

Operating Leases (Details) $ in Thousands	Sep. 30, 2016USD ($)
Leases [Abstract]
2016 (remainder of year)	$ 21,991
2,017	85,715
2,018	78,925
2,019	71,336
2,020	65,201
Thereafter	322,216
Total	$ 645,384

Operating Leases (Narrative) (D

Operating Leases (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016
Leases [Abstract]
Remaining lease terms range description	from less than 1 year to 21 years.

Subsequent Events (Distribution

Subsequent Events (Distributions Narrative) (Details) - $ / shares	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2016
Subsequent Event [Line Items]
Amount per share of distributions	$ 0.0016439344
Annualized dividend per share	$ 0.60
Scenario, Forecast [Member]
Subsequent Event [Line Items]
Amount per share of distributions		$ 0.001639344
Annualized dividend per share		$ 0.60
Minimum [Member]
Subsequent Event [Line Items]
Dividends payable, record date	Oct. 1, 2016
Maximum [Member]
Subsequent Event [Line Items]
Dividends payable, record date	Dec. 31, 2016

Subsequent Events (Schedule of

Subsequent Events (Schedule of Dividend Distributions) (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended		9 Months Ended
	Oct. 31, 2016	Sep. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Subsequent Event [Line Items]
Month Distribution Paid		2016-10	2016-10		2016-10
Distributions declared		$ 4,318	$ 13,227	$ 11,509	$ 39,156	$ 31,955
Proceeds from distribution reinvestment plan		$ 2,281			$ 20,920
Shares Issued		252,922
Net Cash Distribution		$ 2,037
Subsequent Event [Member]
Subsequent Event [Line Items]
Month Distribution Paid	2016-11
Distributions declared	$ 4,469
Proceeds from distribution reinvestment plan	$ 2,359
Shares Issued	261,556
Net Cash Distribution	$ 2,110