Essential Properties Realty Trust (EPRT) 10-Q 3 May 21 2021 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2021	May 03, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2021
Document Transition Report	false
Entity File Number	001-38530
Entity Registrant Name	Essential Properties Realty Trust, Inc.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	82-4005693
Entity Address, Address Line One	902 Carnegie Center Blvd.
Entity Address, Address Line Two	Suite 520
Entity Address, City or Town	Princeton
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	08540
City Area Code	(609)
Local Phone Number	436-0619
Title of 12(b) Security	Common Stock, $0.01 par value
Trading Symbol	EPRT
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		117,496,747
Amendment Flag	false
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Entity Central Index Key	0001728951
Current Fiscal Year End Date	--12-31

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands		Mar. 31, 2021	Dec. 31, 2020
Real estate investments, at cost:
Land and improvements		$ 790,395	$ 741,254
Building and improvements		1,631,763	1,519,665
Lease incentives		14,192	14,297
Construction in progress		4,029	3,908
Intangible lease assets		83,030	80,271
Total real estate investments, at cost		2,523,409	2,359,395
Less: accumulated depreciation and amortization		(150,835)	(136,097)
Total real estate investments, net		2,372,574	2,223,298
Loans and direct financing lease receivables, net		176,025	152,220
Real estate investments held for sale, net		0	17,058
Net investments		2,548,599	2,392,576
Cash and cash equivalents		42,842	26,602
Restricted cash		1,974	6,388
Straight-line rent receivable, net		41,475	37,830
Rent receivables, prepaid expenses and other assets, net		27,827	25,406
Total assets	[1]	2,662,717	2,488,802
LIABILITIES AND EQUITY
Secured borrowings, net of deferred financing costs		170,161	171,007
Unsecured term loans, net of deferred financing costs		626,450	626,272
Revolving credit facility		138,000	18,000
Intangible lease liabilities, net		10,046	10,168
Dividend payable		26,398	25,703
Derivative liabilities		20,893	38,912
Accrued liabilities and other payables		16,486	16,792
Total liabilities	[1]	1,008,434	906,854
Commitments and contingencies (see Note 11)		0	0
Stockholders' equity:
Preferred stock, $0.01 par value; 150,000,000 authorized; none issued and outstanding as of March 31, 2021 and December 31, 2020		0	0
Common stock, $0.01 par value; 500,000,000 authorized; 109,171,639 and 106,361,524 issued and outstanding as of March 31, 2021 and December 31, 2020, respectively		1,092	1,064
Additional paid-in capital		1,753,847	1,688,540
Distributions in excess of cumulative earnings		(88,635)	(77,665)
Accumulated other comprehensive loss		(19,248)	(37,181)
Total stockholders' equity		1,647,056	1,574,758
Non-controlling interests		7,227	7,190
Total equity		1,654,283	1,581,948
Total liabilities and equity		$ 2,662,717	$ 2,488,802
[1]	The Company’s consolidated balance sheets include assets and liabilities of consolidated variable interest entities (“VIEs”). See Note 2 — Summary of Significant Accounting Policies. As of March 31, 2021 and December 31, 2020, all of the assets and liabilities of the Company were held by its operating partnership, Essential Properties, L.P., a consolidated VIE, with the exception of $26.3 million and $25.6 million, respectively, of dividends payable.

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Preferred shares, par value per share (in USD per share)	$ 0.01	$ 0.01
Preferred shares, authorized shares (in shares)	150,000,000	150,000,000
Preferred shares, issued shares (in shares)	0	0
Preferred shares, outstanding shares (in shares)	0	0
Common shares, par value per share (in USD per share)	$ 0.01	$ 0.01
Common shares, authorized shares (in shares)	500,000,000	500,000,000
Common shares, issued shares (in shares)	109,171,639	106,361,524
Common shares, outstanding shares (in shares)	109,171,639	106,361,524
Dividend payable	$ 26,398	$ 25,703
Consolidated Entity, Excluding VIE
Dividend payable	$ 26,300	$ 25,600

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Revenues:
Rental revenue	$ 45,432	$ 39,542
Interest on loans and direct financing lease receivables	3,105	1,938
Other revenue, net	15	7
Total revenues	48,552	41,487
Expenses:
General and administrative	6,431	7,536
Property expenses	1,414	373
Depreciation and amortization	15,646	13,012
Provision for impairment of real estate	5,722	373
Provision for loan losses	38	468
Total expenses	29,251	21,762
Other operating income:
Gain on dispositions of real estate, net	3,788	1,875
Income from operations	23,089	21,600
Other (expense)/income:
Loss on repayment of secured borrowings	0	(924)
Interest expense	(7,678)	(6,833)
Interest income	20	231
Income before income tax expense	15,431	14,074
Income tax expense	56	31
Net income	15,375	14,043
Net income attributable to non-controlling interests	(80)	(84)
Net income attributable to stockholders	$ 15,295	$ 13,959
Basic weighted average shares outstanding (in shares)	106,986,308	90,322,402
Basic net income per share (in USD per share)	$ 0.14	$ 0.15
Diluted weighted average shares outstanding (in shares)	108,055,741	91,332,297
Diluted net income per share (in USD per share)	$ 0.14	$ 0.15

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income/(Loss) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 15,375	$ 14,043
Other comprehensive income (loss):
Unrealized income (loss) on cash flow hedges	15,576	(38,432)
Cash flow hedge losses reclassified to interest expense	2,447	332
Total other comprehensive income (loss)	18,023	(38,100)
Comprehensive income (loss)	33,398	(24,057)
Net income attributable to non-controlling interests	(80)	(84)
Adjustment for cash flow hedge losses attributable to non-controlling interests	90	229
Comprehensive income (loss) attributable to stockholders	$ 33,408	$ (23,912)

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Common Stock	Additional Paid In Capital	Distributions in Excess of Cumulative Earnings	Distributions in Excess of Cumulative EarningsCumulative Effect, Period of Adoption, Adjustment	Accumulated Other Comprehensive Income (Loss)	Total Stockholders' Equity	Total Stockholders' EquityCumulative Effect, Period of Adoption, Adjustment	Non- controlling Interests	Non- controlling InterestsCumulative Effect, Period of Adoption, Adjustment
Balance at Dec. 31, 2019	$ 1,202,113	$ (188)	$ 838	$ 1,223,043	$ (27,482)	$ (187)	$ (1,949)	$ 1,194,450	$ (187)	$ 7,663	$ (1)
Balance (in shares) at Dec. 31, 2019			83,761,151
Common stock issuance	206,238		$ 81	206,157				206,238
Common stock issuance (in shares)			8,188,698
Costs related to issuance of common stock	(8,539)			(8,539)				(8,539)
Unrealized losses on cash flow hedges	(38,432)						(38,201)	(38,201)		(231)
Cash flow hedge losses reclassified to interest expense	332						330	330		2
Equity based compensation expense	1,508			1,508				1,508
Dividends declared on common stock and OP Units	(21,295)				(21,168)			(21,168)		(127)
Net income	14,043				13,959			13,959		84
Balance at Mar. 31, 2020	$ 1,355,780		$ 919	1,422,169	(34,878)		(39,820)	1,348,390		7,390
Balance (in shares) at Mar. 31, 2020			91,949,849
Accounting standards update	us-gaap:AccountingStandardsUpdate201613Member
Balance at Dec. 31, 2020	$ 1,581,948		$ 1,064	1,688,540	(77,665)		(37,181)	1,574,758		7,190
Balance (in shares) at Dec. 31, 2020	106,361,524		106,361,524
Common stock issuance	$ 64,928		$ 28	64,900				64,928
Common stock issuance (in shares)			2,796,805
Costs related to issuance of common stock	(1,188)			(1,188)				(1,188)
Unrealized losses on cash flow hedges	15,576						15,498	15,498		78
Cash flow hedge losses reclassified to interest expense	$ 2,447						2,435	2,435		12
Share-based compensation expense (in shares)	13,310
Equity based compensation expense	$ 1,595			1,595				1,595
Dividends declared on common stock and OP Units	(26,398)				(26,265)			(26,265)		(133)
Net income	15,375				15,295			15,295		80
Balance at Mar. 31, 2021	$ 1,654,283		$ 1,092	$ 1,753,847	$ (88,635)		$ (19,248)	$ 1,647,056		$ 7,227
Balance (in shares) at Mar. 31, 2021	109,171,639		109,171,639

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Cash flows from operating activities:
Net income	$ 15,375	$ 14,043
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	15,646	13,012
Amortization of lease incentive	1,177	475
Amortization of above/below market leases and right of use assets, net	18	80
Amortization of deferred financing costs and other assets	625	663
Loss on repayment of secured borrowings	0	924
Provision for impairment of real estate	5,722	373
Provision for loan losses	38	468
Gain on dispositions of real estate, net	(3,788)	(1,875)
Straight-line rent receivable	(3,645)	(3,188)
Equity based compensation expense	1,595	1,508
Adjustment to rental revenue for tenant credit	85	0
Changes in other assets and liabilities:
Rent receivables, prepaid expenses and other assets	(2,466)	1,950
Accrued liabilities and other payables	(247)	(2,084)
Net cash provided by operating activities	30,135	26,349
Cash flows from investing activities:
Proceeds from sales of real estate, net	24,257	19,601
Principal collections on loans and direct financing lease receivables	942	66
Investments in loans receivable	(23,825)	(8,024)
Deposits for prospective real estate investments	(600)	608
Investment in real estate, including capital expenditures	(174,685)	(155,878)
Investment in construction in progress	(121)	(3,655)
Lease incentives paid	(1,312)	(900)
Net cash used in investing activities	(175,344)	(148,182)
Cash flows from financing activities:
Repayments of secured borrowings	(1,002)	(62,978)
Borrowings under term loan facilities	0	180,000
Borrowings under revolving credit facility	120,000	69,000
Repayments under revolving credit facility	0	(50,000)
Proceeds from issuance of common stock, net	64,928	198,162
Offering costs	(1,188)	(203)
Dividends paid	(25,703)	(19,395)
Net cash provided by financing activities	157,035	314,586
Net increase in cash and cash equivalents and restricted cash	11,826	192,753
Cash and cash equivalents and restricted cash, beginning of period	32,990	21,319
Cash and cash equivalents and restricted cash, end of period	44,816	214,072
Reconciliation of cash and cash equivalents and restricted cash:
Cash and cash equivalents and restricted cash, end of period	44,816	214,072
Supplemental disclosure of cash flow information:
Cash paid for interest, net of amounts capitalized	6,350	5,245
Cash paid for income taxes	242	52
Non-cash operating, investing and financing activities:
Adjustment upon adoption of ASC 326	0	188
Reclassification from construction in progress upon project completion	0	4,225
Non-cash investments in real estate and loan receivable activity	960	0
Unrealized losses on cash flow hedges	(29,344)	38,432
Payable and accrued offering costs	0	259
Discounts and fees on capital raised through issuance of common stock	$ 1,188	$ 8,077

Organization

Organization	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	Organization Description of Business Essential Properties Realty Trust, Inc. (the “Company”) is an internally managed real estate company that acquires, owns and manages primarily single-tenant properties that are net leased on a long-term basis to middle-market companies operating service-oriented or experience-based businesses. The Company generally invests in and leases freestanding, single-tenant commercial real estate facilities where a tenant services its customers and conducts activities that are essential to the generation of the tenant’s sales and profits. The Company was organized on January 12, 2018 as a Maryland corporation. It elected to be taxed as a real estate investment trust (“REIT”) for federal income tax purposes beginning with the year ended December 31, 2018, and it believes that its current organizational and operational status and intended distributions will allow it to continue to so qualify. Substantially all of the Company’s business is conducted directly and indirectly through its operating partnership, Essential Properties, L.P. (the “Operating Partnership”). On June 25, 2018, the Company completed the initial public offering (“IPO”) of its common stock. The common stock of the Company is listed on the New York Stock Exchange under the ticker symbol “EPRT”. COVID-19 Pandemic On March 11, 2020, the World Health Organization declared the outbreak of the novel coronavirus (“COVID-19”) a pandemic. The global spread of COVID-19 has created significant uncertainty and economic disruption, which is likely to persist, or increase, for a period of unknown duration. The pandemic has adversely affected the Company and its tenants, and the full extent to which it will adversely affect the Company’s financial condition, liquidity, and results of operations is impossible to predict and depends on evolving factors, including the duration and scope of the pandemic, and governmental and social responses thereto. The Company continues to closely monitor the impact of COVID-19 on all aspects of its business, including its portfolio and the creditworthiness of its tenants. In 2020, the Company entered into deferral agreements with certain of its tenants and recognized contractual base rent related to these agreements as a component of rental revenue in its consolidated statements of operations for 2020. These rent deferrals were negotiated on a tenant-by-tenant basis, and, in general, allowed a tenant to defer all or a portion of its rent for a portion of 2020, with all of the deferred rent to be paid to the Company pursuant to a schedule that generally extends up to 24 months from the original due date of the deferred rent. It is possible that the existing deterioration, or further deterioration, in the Company's tenants’ ability to operate their businesses, or delays in the supply of products or services to the Company's tenants from vendors that they need to operate their businesses, caused by COVID-19 or otherwise, will cause the Company's tenants to be unable or unwilling to meet their contractual obligations to the Company, including the payment of rent (including deferred rent), or to request further rent deferrals or other concessions. The likelihood of this would increase if COVID-19 intensifies or persists for a prolonged period. To the extent COVID-19 causes a secular change in consumer behavior that reduces patronage of service-based and/or experience-based businesses, many of the Company's tenants would be adversely affected and their ability to meet their obligations to us could be further impaired. During the deferral period, these agreements reduced the Company's cash flow from operations, reduced its cash available for distribution and adversely affected its ability to make cash distributions to common stockholders. Furthermore, if tenants are unable to repay their deferred rent, the Company will not receive cash in the future in accordance with its expectations.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Accounting The accompanying unaudited consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and with the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). In the opinion of management, all adjustments of a normal recurring nature necessary for a fair presentation of such financial statements have been included. The results of operations for the three months ended March 31, 2021 and 2020 are not necessarily indicative of the results for the full year. These unaudited financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto, which are included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2020 that has been filed with the SEC. Reclassification Certain amounts previously reported in the consolidated statements of operations have been reclassified to conform with the current period by presenting interest expense as a component of other (expense)/income. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and subsidiaries in which the Company has a controlling financial interest. All intercompany accounts and transactions have been eliminated in consolidation. As of March 31, 2021 and December 31, 2020, the Company, directly and indirectly, held a 99.5% ownership interest in the Operating Partnership and the consolidated financial statements include the financial statements of the Operating Partnership as of these dates. See Note 7—Equity for changes in the ownership interest in the Operating Partnership. Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires 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 revenue and expenses during the reporting period. Actual results could differ from those estimates. Reportable Segments ASC Topic 280, Segment Reporting, establishes standards for the manner in which enterprises report information about operating segments. Substantially all of the Company’s investments, at acquisition, are comprised of real estate owned that is leased to tenants on a long-term basis or real estate that secures the Company's investment in loans and direct financing receivables. Therefore, the Company aggregates these investments for reporting purposes and operates in one reportable segment. Real Estate Investments Investments in real estate are carried at cost less accumulated depreciation and impairment losses. The cost of investments in real estate reflects their purchase price or development cost. The Company evaluates each acquisition transaction to determine whether the acquired asset meets the definition of a business. Under Accounting Standards Update (“ASU”) 2017-1, Business Combinations (Topic 805): Clarifying the Definition of a Business , an acquisition does not qualify as a business when there is no substantive process acquired or substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets or the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort or delay. Transaction costs related to acquisitions that are asset acquisitions are capitalized as part of the cost basis of the acquired assets, while transaction costs for acquisitions that are deemed to be acquisitions of a business are expensed as incurred. Improvements and replacements are capitalized when they extend the useful life or improve the productive capacity of the asset. Costs of repairs and maintenance are expensed as incurred. The Company allocates the purchase price of acquired properties accounted for as asset acquisitions to tangible and identifiable intangible assets or liabilities based on their relative fair values. Tangible assets may include land, site improvements and buildings. Intangible assets may include the value of in-place leases and above- and below-market leases and other identifiable intangible assets or liabilities based on lease or property specific characteristics. The Company incurs various costs in the leasing and development of its properties. Amounts paid to tenants that incentivize them to extend or otherwise amend an existing lease or to sign a new lease agreement are capitalized to lease incentives on the Company’s consolidated balance sheets. Tenant improvements are capitalized to building and improvements within the Company’s consolidated balance sheets. Costs incurred which are directly related to properties under development, which include pre-construction costs essential to the development of the property, development costs, construction costs, interest costs and real estate taxes and insurance, are capitalized during the period of development as construction in progress. After the determination is made to capitalize a cost, it is allocated to the specific component of a project that benefited. Determination of when a development project commences, and capitalization begins, and when a development project has reached substantial completion, and is available for occupancy and capitalization must cease, involves a degree of judgment. The Company does not engage in speculative real estate development. The Company does, however, opportunistically agree to reimburse certain of its tenants for development costs at its properties in exchange for contractually specified rent that generally increases proportionally with its funding. The fair value of the tangible assets of an acquired property with an in-place operating lease is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to the tangible assets based on the fair value of the tangible assets. The fair value of in-place leases is determined by considering estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases based on the specific characteristics of each tenant’s lease. The Company estimates the cost to execute leases with terms similar to the remaining lease terms of the in-place leases, including leasing commissions, legal and other related expenses. Factors the Company considers in this analysis include an estimate of the carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses, and estimates of lost rentals at market rates during the expected lease-up periods, which primarily range from six 12 months. The fair value of above- or below-market leases is recorded based on the net present value (using a discount rate that reflects the risks associated with the leases acquired) of the difference between the contractual amount to be paid pursuant to the in-place lease and the Company’s estimate of the fair market lease rate for the corresponding in-place lease, measured over the remaining non-cancelable term of the lease including any below-market fixed rate renewal options for below-market leases. In making estimates of fair values for purposes of allocating purchase price, the Company uses a number of sources, including real estate valuations prepared by independent valuation firms. The Company also considers information and other factors including market conditions, the industry that the tenant operates in, characteristics of the real estate (e.g., location, size, demographics, value and comparative rental rates), tenant credit profile and the importance of the location of the real estate to the operations of the tenant’s business. Additionally, the Company considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the fair value of the tangible and intangible assets acquired. The Company uses the information obtained as a result of its pre-acquisition due diligence as part of its consideration of the accounting standard governing asset retirement obligations and, when necessary, will record an asset retirement obligation as part of the purchase price allocation. Real estate investments that are intended to be sold are designated as “held for sale” on the consolidated balance sheets at the lesser of carrying amount and fair value less estimated selling costs. Real estate investments are no longer depreciated when they are classified as held for sale. If the disposal, or intended disposal, of certain real estate investments represents a strategic shift that has had or will have a major effect on the Company’s operations and financial results, the operations of such real estate investments would be presented as discontinued operations in the consolidated statements of operations for all applicable periods. Depreciation and Amortization Depreciation is computed using the straight-line method over the estimated useful lives of up to 40 years for buildings and 15 years for site improvements. The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Depreciation on real estate investments $ 13,739 $ 11,304 Lease incentives are amortized on a straight-line basis as a reduction of rental income over the remaining non-cancellable terms of the respective leases. If a tenant terminates its lease, the unamortized portion of the lease incentive is charged to rental revenue. Construction in progress is not depreciated until the development has reached substantial completion. Tenant improvements are depreciated over the non-cancellable term of the related lease or their estimated useful life, whichever is shorter. Capitalized above-market lease intangibles are amortized on a straight-line basis as a reduction of rental revenue over the remaining non-cancellable terms of the respective leases. Capitalized below-market lease intangibles are accreted on a straight-line basis as an increase to rental revenue over the remaining non-cancellable terms of the respective leases including any below-market fixed rate renewal option periods. Capitalized above-market ground lease values are accreted as a reduction of property expenses over the remaining terms of the respective leases. Capitalized below-market ground lease values are amortized as an increase to property expenses over the remaining terms of the respective leases and any expected below-market renewal option periods where renewal is considered probable. The value of in-place leases, exclusive of the value of above-market and below-market lease intangibles, is amortized to depreciation and amortization expense on a straight-line basis over the remaining periods of the respective leases. If a tenant terminates its lease, the unamortized portion of each intangible, including in-place lease values, is charged to depreciation and amortization expense, while above- and below-market lease adjustments are recorded within rental revenue in the consolidated statements of operations. Loans Receivable The Company holds its loans receivable for long-term investment. Loans receivable are carried at amortized cost, including related unamortized discounts or premiums, if any, less the Company's estimated allowance for loan losses. The Company recognizes interest income on loans receivable using the effective-interest method applied on a loan-by-loan basis. Direct costs associated with originating loans are offset against any related fees received and the balance, along with any premium or discount, is deferred and amortized as an adjustment to interest income over the term of the related loan receivable using the effective-interest method. As of March 31, 2021, the Company had five leases which were accounted for as loans receivable and ten mortgage loans held for long-term investment. As of December 31, 2020, the Company had five leases which were accounted for as loans receivable and eight mortgage loans receivable held for long-term investment. Direct Financing Lease Receivables Certain of the Company’s real estate investment transactions are accounted for as direct financing leases. The Company records the direct financing lease receivables at their net investment, determined as the aggregate minimum lease payments and the estimated non-guaranteed residual value of the leased property less unearned income. The unearned income is recognized over the term of the related lease so as to produce a constant rate of return on the net investment in the asset. The Company’s investment in direct financing lease receivables is reduced over the applicable lease term to its non-guaranteed residual value by the portion of rent allocated to the direct financing lease receivables. Subsequent to the adoption of ASC 842, Leases (“ASC 842”) in January 2019, the Company's existing direct financing lease receivables have been accounted for in the same manner, unless the underlying contracts have been modified. If and when an investment in direct financing lease receivables is identified for impairment evaluation, the Company will apply the guidance in both ASC 310, Receivables (“ASC 310”) and ASC 842. Under ASC 310, the lease receivable portion of the net investment in a direct financing lease receivable is evaluated for impairment when it becomes probable the Company, as the lessor, will be unable to collect all rental payments associated with the Company’s investment in the direct financing lease receivable. Under ASC 842, the Company reviews the estimated non-guaranteed residual value of a leased property at least annually. If the review results in a lower estimate than had been previously established, the Company determines whether the decline in estimated non-guaranteed residual value is other than temporary. If a decline is judged to be other than temporary, the accounting for the transaction is revised using the changed estimate and the resulting reduction in the net investment in direct financing lease receivables is recognized by the Company as a loss in the period in which the estimate is changed. As of March 31, 2021 and December 31, 2020, the Company determined that none of its direct financing lease receivables were impaired. Impairment of Long-Lived Assets If circumstances indicate that the carrying value of a property may not be recoverable, the Company reviews the property for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists due to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. Impairment assessments have a direct impact on the consolidated statements of operations because recording an impairment loss results in an immediate negative adjustment to the consolidated statement of operations. The Company recorded the following provisions for impairment of long lived assets during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Provision for impairment of real estate $ 5,722 $ 373 Cash and Cash Equivalents Cash and cash equivalents includes cash in the Company’s bank accounts. The Company considers all cash balances and highly liquid investments with original maturities of three months or less to be cash and cash equivalents. The Company deposits cash with high quality financial institutions. These deposits are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to an insurance limit. As of March 31, 2021 and December 31, 2020, the Company had deposits of $42.8 million and $26.6 million, respectively, of which $42.6 million and $26.4 million, respectively, were in excess of the amount insured by the FDIC. Although the Company bears risk with respect to amounts in excess of those insured by the FDIC, it does not anticipate any losses as a result. Restricted Cash Restricted cash primarily consists of cash held with the trustee for the Company’s Master Trust Funding Program (as defined in Note 5—Long Term Debt). This restricted cash is used to make principal and interest payments on the Company’s secured borrowings, to pay trust expenses and to invest in future real estate investments which will be pledged as collateral under the Master Trust Funding Program. See Note 5—Long Term Debt for further discussion. Deferred Financing Costs Financing costs related to establishing the Company’s 2018 Credit Facility and Revolving Credit Facility (as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the facility and are reported as a component of rent receivables, prepaid expenses and other assets, net on the consolidated balance sheets. Financing costs related to the issuance of the Company’s secured borrowings under the Master Trust Funding Program, the April 2019 Term Loan and the November 2019 Term Loan (each as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the related debt instrument and are reported as a reduction of the related debt balance on the consolidated balance sheets. Derivative Instruments In the normal course of business, the Company uses derivative financial instruments, which may include interest rate swaps, caps, options, floors and other interest rate derivative contracts, to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability in cash flows on a portion of the Company’s floating-rate debt. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. The Company records all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may also enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The accounting for subsequent changes in the fair value of these derivatives depends on whether each has been designed and qualifies for hedge accounting treatment. If a derivative is designated and qualifies for cash flow hedge accounting treatment, the change in the estimated fair value of the derivative is recorded in other comprehensive income (loss) in the consolidated statements of comprehensive income to the extent that it is effective. Any ineffective portion of a change in derivative fair value is immediately recorded in earnings. If the Company elects not to apply hedge accounting treatment (or for derivatives that do not qualify as hedges), any change in the fair value of such derivative instruments would be recognized immediately as a gain or loss on derivative instruments in the consolidated statements of operations. Fair Value Measurement The Company estimates fair value of financial and non-financial assets and liabilities based on the framework established in fair value accounting guidance. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The hierarchy described below prioritizes inputs to the valuation techniques used in measuring the fair value of assets and liabilities. This hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring the most observable inputs to be used when available. The hierarchy is broken down into three levels based on the reliability of inputs as follows: • Level 1—Quoted prices in active markets for identical assets and liabilities that the Company has the ability to access at the measurement date. • Level 2—Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability. • Level 3—Unobservable inputs that reflect the Company’s own assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques. Revenue Recognition The Company’s rental revenue is primarily rent received from tenants. Rent from tenants is recorded in accordance with the terms of each lease on a straight-line basis over the non-cancellable initial term of the lease from the later of the date of the commencement of the lease and the date of acquisition of the property subject to the lease. Rental revenue recognition begins when the tenant controls the space and continues through the term of the related lease. Because substantially all of the leases provide for rental increases at specified intervals, the Company records a straight-line rent receivable and recognizes revenue on a straight-line basis through the expiration of the non-cancelable term of the lease. The Company considers whether the collectability of rents is reasonably assured in determining the amount of straight-line rent to record. Generally, the Company’s leases provide the tenant with one or more multi-year renewal options, subject to generally the same terms and conditions provided under the initial lease term, including rent increases. If economic incentives make it reasonably certain that an option period to extend the lease will be exercised, the Company will include these options in determining the non-cancelable term of the lease. The Company defers rental revenue related to lease payments received from tenants in advance of their due dates. These amounts are presented within accrued liabilities and other payables on the Company’s consolidated balance sheets. Certain properties in the Company’s investment portfolio are subject to leases that provide for contingent rent based on a percentage of the tenant’s gross sales. For these leases, the Company recognizes contingent rental revenue when the threshold upon which the contingent lease payment is based is actually reached. The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Contingent rent $ 169 $ 201 Adjustment to Rental Revenue The Company continually reviews receivables related to rent and unbilled rent receivables and determines collectability by taking into consideration the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located. If the assessment of the collectability of substantially all payments due under a lease changes from probable to not probable, any difference between the rental revenue recognized to date and the lease payments that have been collected is recognized as a current period reduction of rental revenue in the consolidated statements of operations. The Company recorded the following amounts as adjustments to rental revenue during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Adjustment to rental revenue $ 85 $ 600 Offering Costs In connection with the completion of equity offerings, the Company incurs legal, accounting and other offering-related costs. Such costs are deducted from the gross proceeds of each equity offering when the offering is completed. As of March 31, 2021 and December 31, 2020, the Company capitalized a total of $68.4 million and $67.2 million, respectively, of such costs in the Company’s consolidated balance sheets. These costs are presented as a reduction of additional paid-in capital as of March 31, 2021 and December 31, 2020. Income Taxes The Company elected and qualified to be taxed as a REIT under sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the "Code"), commencing with its taxable year ended December 31, 2018. REITs are subject to a number of organizational and operational requirements, including a requirement that 90% of ordinary “REIT taxable income” (as determined without regard to the dividends paid deduction or net capital gains) be distributed. As a REIT, the Company will generally not be subject to U.S. federal income tax to the extent that it meets the organizational and operational requirements and its distributions equal or exceed REIT taxable income. For the period subsequent to the effective date of its REIT election, the Company continues to meet the organizational and operational requirements and expects distributions to exceed REIT taxable income. Accordingly, no provision has been made for U.S. federal income taxes. Even though the Company has elected and qualifies for taxation as a REIT, it may be subject to state and local income and franchise taxes, and to federal income and excise tax on its undistributed income. Franchise taxes and federal excise taxes on the Company’s undistributed income, if any, are included in general and administrative expenses on the accompanying consolidated statements of operations. Additionally, taxable income from non-REIT activities managed through the Company's taxable REIT subsidiary is subject to federal, state, and local taxes. The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in such jurisdictions. The Company follows a two-step process to evaluate uncertain tax positions. Step one, recognition, occurs when an entity concludes that a tax position, based solely on its technical merits, is more-likely-than-not to be sustained upon examination. Step two, measurement, determines the amount of benefit that is more-likely-than-not to be realized upon settlement. Derecognition of a tax position that was previously recognized would occur when the Company subsequently determines that a tax position no longer meets the more-likely-than-not threshold of being sustained. The use of a valuation allowance as a substitute for derecognition of tax positions is prohibited. As of March 31, 2021 and December 31, 2020, the Company had no accruals recorded for uncertain tax positions. The Company’s policy is to classify interest expense and penalties relating to taxes in general and administrative expense in the consolidated statements of operations. During the three months ended March 31, 2021 and 2020, the Company recorded de minimis interest or penalties relating to taxes, and there were no interest or penalties with respect to taxes accrued as of March 31, 2021 or December 31, 2020. The 2020, 2019, 2018 and 2017 taxable years remain open to examination by federal and/or state taxing jurisdictions to which the Company is subject. Equity-Based Compensation The Company grants shares of restricted common stock and restricted share units (“RSUs”) to its directors, executive officers and other employees that vest over specified time periods, subject to the recipient’s continued service. The Company also grants performance-based RSUs to its executive officers, the final number of which is determined based on objective and subjective performance conditions and which vest over a multi-year period, subject to the recipient’s continued service. The Company accounts for the restricted common stock and RSUs in accordance with ASC 718, Compensation – Stock Compensation, which requires that such compensation be recognized in the financial statements based on its estimated grant-date fair value. The value of such awards is recognized as compensation expense in general and administrative expenses in the accompanying consolidated statements of operations over the applicable service periods. The Company recognizes compensation expense for equity-based compensation using the straight-line method based on the terms of the individual grant. Forfeitures of equity-based compensation awards, if any, are recognized when they occur. Variable Interest Entities The Financial Accounting Standards Board (“FASB”) provides guidance for determining whether an entity is a variable interest entity (a “VIE”). VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. A VIE is required to be consolidated by its primary beneficiary, which is the party that (i) has the power to control the activities that most significantly impact the VIE’s economic performance and (ii) has the obligation to absorb losses, or the right to receive benefits, of the VIE that could potentially be significant to the VIE. The Company has concluded that the Operating Partnership is a VIE of which the Company is the primary beneficiary, as the Company has the power to direct the activities that most significantly impact the economic performance of the Operating Partnership. Substantially all of the Company’s assets and liabilities are held by the Operating Partnership. The assets and liabilities of the Operating Partnership are consolidated and reported as assets and liabilities on the Company’s consolidated balance sheets as of March 31, 2021 and December 31, 2020. Additionally, the Company has concluded that certain entities to which it has provided mortgage loans are VIEs because the entities' equity was not sufficient to finance their activities without additional subordinated financial support. The following table presents information about the Company’s mortgage loan-related VIEs as of the dates presented: (Dollars in thousands) March 31, December 31, Number of VIEs 11 11 Aggregate carrying value $ 117,572 $ 117,578 The Company was not the primary beneficiary of any of these entities, because the Company did not have the power to direct the activities that most significantly impact the entities’ economic performance as of March 31, 2021 and December 31, 2020. The Company’s maximum exposure to loss in these entities is limited to the carrying amount of its investment. The Company had no liabilities associated with these VIEs as of March 31, 2021 and December 31, 2020. Recent Accounting Developments In February 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) establishing ASC 326, as amended by subsequent ASUs on the topic. ASU 2016-13 is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2019. The Company adopted this guidance on January 1, 2020 and recorded estimates of expected loss on its loans and direct financing lease rece

Investments

Investments	3 Months Ended
	Mar. 31, 2021
Investments [Abstract]
Investments	70% 960 56,844 65,043 — — 692 123,539 $ 24,785 $ 56,844 $ 93,043 $ — $ — $ 2,410 $ 177,082 Real Estate Investments Held for Sale The Company continually evaluates its portfolio of real estate investments and may elect to dispose of investments considering criteria including, but not limited to, tenant concentration, tenant credit quality, tenant operation type (e.g., industry, sector or concept), unit-level financial performance, local market conditions and lease rates, associated indebtedness and asset location. Real estate investments held for sale are expected to be sold within twelve months. The following table shows the activity in real estate investments held for sale and intangible lease liabilities held for sale during the three months ended March 31, 2021 and 2020. (Dollar amounts in thousands) Number of Properties Real Estate Investments Intangible Lease Liabilities Net Carrying Value Held for sale balance, January 1, 2020 1 $ 1,211 $ — $ 1,211 Transfers to held for sale classification 3 1,528 — 1,528 Sales (1) (1,211) — (1,211) Transfers to held and used classification — — — — Held for sale balance, March 31, 2020 3 $ 1,528 $ — $ 1,528 Held for sale balance, January 1, 2021 8 $ 17,058 $ — $ 17,058 Transfers to held for sale classification — — — — Sales (4) (3,168) — (3,168) Transfers to held and used classification (4) (13,890) — (13,890) Held for sale balance, March 31, 2021 — $ — $ — $ — Significant Concentrations The Company did not have any tenants (including for this purpose, all affiliates of such tenants) whose rental revenue for the three months ended March 31, 2021 or 2020 represented 10% or more of total rental revenue in the Company’s consolidated statements of operations. The following table lists the states where the rental revenue from the properties in that state during the periods presented represented 10% or more of total rental revenue in the Company’s consolidated statements of operations: Three months ended March 31, State 2021 2020 Texas 13.3% 11.6% Georgia * 10.2% _____________________________________ * State's rental revenue was not greater than 10% of total rental revenue during the period specified. Intangible Assets and Liabilities Intangible assets and liabilities consisted of the following as of the dates presented: March 31, 2021 December 31, 2020 (in thousands) Gross Accumulated Net Gross Accumulated Net Intangible assets: In-place leases $ 71,048 $ 20,164 $ 50,884 $ 67,986 $ 18,767 $ 49,219 Intangible market lease assets 11,982 4,122 7,860 12,285 4,059 8,226 Total intangible assets $ 83,030 $ 24,286 $ 58,744 $ 80,271 $ 22,826 $ 57,445 Intangible market lease liabilities $ 12,793 $ 2,747 $ 10,046 $ 12,772 $ 2,604 $ 10,168 The remaining weighted average amortization period for the Company’s intangible assets and liabilities as of March 31, 2021, by category and in total, were as follows: Years Remaining In-place leases 10.7 Intangible market lease assets 13.7 Total intangible assets 11.1 Intangible market lease liabilities 17.2 The following table discloses amounts recognized within the consolidated statements of operations related to amortization of in-place leases, amortization and accretion of above- and below-market lease assets and liabilities, net and the amortization and accretion of above- and below-market ground leases for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Amortization of in-place leases (1) $ 1,638 $1,679 Amortization (accretion) of market lease intangibles, net (2) 18 80 Amortization (accretion) of above- and below-market ground lease intangibles, net (3) (90) 122 _____________________________________ (1) Reflected within depreciation and amortization expense. (2) Reflected within rental revenue. (3) Reflected within property expenses. The following table provides the estimated amortization of in-place lease assets to be recognized as a component of depreciation and amortization expense for the next five years and thereafter: (in thousands) In-Place Lease Assets April 1 - December 31, 2021 $ 5,955 2022 5,816 2023 5,395 2024 4,716 2025 3,662 Thereafter 25,340 Total $ 50,884 The following table provides the estimated net amortization of above- and below-market lease intangibles to be recognized as a component of rental revenue for the next five years and thereafter: (in thousands) Above Market Lease Asset Below Market Lease Liabilities Net Adjustment to Rental Revenue April 1 - December 31, 2021 $ (539) $ 403 $ (136) 2022 (717) 542 (175) 2023 (686) 511 (175) 2024 (653) 508 (145) 2025 (647) 513 (134) Thereafter (4,618) 7,569 2,951 Total $ (7,860) $ 10,046 $ 2,186 " id="sjs-B4" xml:space="preserve">Investments The following table presents information about the Company’s real estate investment portfolio as of each date presented: March 31, December 31, Owned properties (1) 1,103 1,056 Properties securing investments in mortgage loans (2) 127 115 Ground lease interests (3) 10 10 Total number of investments 1,240 1,181 _____________________________________ (1) Includes 11 properties which are subject to leases accounted for as direct financing leases or loans as of March 31, 2021 and December 31, 2020. (2) Properties secure 10 and eight mortgage loans receivable as of March 31, 2021 and December 31, 2020, respectively. (3) Includes one building which is subject to a lease accounted for as a direct financing lease as of March 31, 2021 and December 31, 2020. The following table presents information about the Company’s gross investment portfolio as of each date presented: (in thousands) March 31, December 31, Real estate investments, at cost $ 2,523,409 $ 2,359,395 Loans and direct financing lease receivables, net 176,025 152,220 Real estate investments held for sale, net — 17,058 Total gross investments $ 2,699,434 $ 2,528,673 As of March 31, 2021 and December 31, 2020, 257 and 258 of these investments, comprising $364.4 million and $399.7 million, respectively, of net investments, were assets of consolidated special purpose entity subsidiaries and were pledged as collateral under the non-recourse obligations of the Company’s Master Trust Funding Program (see Note 5—Long Term Debt). Acquisitions in 2021 and 2020 The following table presents information about the Company’s acquisition activity during the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 Ownership type Fee Interest Fee Interest Number of properties 63 61 Purchase price allocation Land and improvements $ 52,126 $ 48,626 Building and improvements 115,904 97,311 Construction in progress (1) 121 3,656 Intangible lease assets 3,510 3,094 Total purchase price 171,661 152,687 Intangible lease liabilities (41) — Purchase price (including acquisition costs) $ 171,620 $ 152,687 _____________________________________ (1) Represents amounts incurred at and subsequent to acquisition and includes approximately $20,000 and $0.1 million of capitalized interest expense for the three months ended March 31, 2021 and 2020, respectively. During the three months ended March 31, 2021 and 2020, the Company did not have any investments that individually represented more than 5% of the Company’s total investment activity. Gross Investment Activity During the three months ended March 31, 2021 and 2020, the Company had the following gross investment activity: (Dollar amounts in thousands) Number of Dollar Gross investments, January 1, 2020 1,000 $ 2,002,314 Acquisitions of and additions to real estate investments 61 160,433 Sales of investments in real estate (10) (19,207) Relinquishment of properties at end of ground lease term (3) (1,931) Provisions for impairment of real estate (1) (373) Investments in loans receivable 2 8,024 Principal collections on and settlements of loans and direct financing lease receivables (66) Other (637) Gross investments, March 31, 2020 2,148,557 Less: Accumulated depreciation and amortization (2) (100,473) Net investments, March 31, 2020 1,050 $ 2,048,084 Gross investments, January 1, 2021 1,181 $ 2,528,673 Acquisitions of and additions to real estate investments 63 177,023 Sales of investments in real estate (16) (23,297) Provisions for impairment of real estate (3) (5,722) Investments in loans receivable 13 23,825 Principal collections on and settlements of loans and direct financing lease receivables (1) (942) Other (126) Gross investments, March 31, 2021 2,699,434 Less: Accumulated depreciation and amortization (2) (150,835) Net investments, March 31, 2021 1,240 $ 2,548,599 _____________________________________ (1) During the three months ended March 31, 2020, the Company identified and recorded provisions for impairment at two vacant properties. (2) Includes $126.5 million and $81.3 million of accumulated depreciation as of March 31, 2021 and 2020, respectively. (3) During the three months ended March 31, 2021, the Company identified and recorded provisions for impairment at two vacant properties and seven tenanted properties. Real Estate Investments The Company’s investment properties are leased to tenants under long-term operating leases that typically include one or more renewal options. See Note 4—Leases for more information about the Company’s leases. Loans and Direct Financing Lease Receivables As of March 31, 2021 and December 31, 2020, the Company had 15 and 13 loans receivable outstanding with an aggregate carrying amount of $174.7 million and $150.8 million, respectively. The maximum amount of loss due to credit risk is our current principal balance of $174.7 million. The Company’s loans receivable portfolio as of March 31, 2021 and December 31, 2020 are summarized below (dollars in thousands): Principal Balance Outstanding Loan Type Monthly Payment (1) Number of Secured Properties Effective Interest Rate Stated Interest Rate Maturity Date March 31, December 31, Mortgage (2)(3) I/O 2 8.80% 8.10% 2039 $ 12,000 $ 12,000 Mortgage (3) P+I 2 8.10% 8.10% 2059 6,108 6,114 Mortgage (2) I/O 2 8.53% 7.80% 2039 7,300 7,300 Mortgage (2) I/O 69 8.16% 7.70% 2034 28,000 28,000 Mortgage (2) I/O 18 8.05% 7.50% 2034 37,105 37,105 Mortgage (2) I/O 1 8.42% 7.70% 2040 5,300 5,300 Mortgage (2) I/O 1 7.00% 7.00 % 2021 — 860 Mortgage (2) I/O 3 8.30% 8.25 % 2022 2,324 2,324 Mortgage (2) I/O 19 7.30% 6.80 % 2035 46,000 46,000 Mortgage (2) I/O 1 7.00% 7.00% 2023 600 — Mortgage (2) I/O 1 7.00% 7.00% 2023 360 — Mortgage (2) I/O 11 6.89% 6.75% 2026 23,824 — Leasehold interest P+I 2 10.69% (4) 2039 1,435 1,435 Leasehold interest P+I 1 2.25% (5) 2034 1,095 1,109 Leasehold interest P+I 1 2.41% (5) 2034 1,625 1,645 Leasehold interest P+I 1 4.97% (5) 2038 1,595 1,605 Net investment $ 174,671 $ 150,797 _____________________________________ (1) I/O: Interest Only; P+I: Principal and Interest (2) Loan requires monthly payments of interest only with a balloon payment due at maturity. (3) Loan allows for prepayments in whole or in part without penalty. (4) This leasehold interest is accounted for as a loan receivable, as the lease for two land parcels contains an option for the lessee to repurchase the leased parcels in 2024 or 2025. (5) These leasehold interests are accounted for as loans receivable, as the leases for each property contain an option for the relevant lessee to repurchase the leased property in the future. Scheduled principal payments due to be received under the Company’s loans receivable as of March 31, 2021 were as follows: (in thousands) Loans Receivable April 1 - December 31, 2021 $ 156 2022 2,545 2023 1,196 2024 252 2025 268 Thereafter 170,254 Total $ 174,671 As of March 31, 2021 and December 31, 2020, the Company had $2.4 million of net investments accounted for as direct financing lease receivables. The components of the investments accounted for as direct financing lease receivables were as follows: (in thousands) March 31, December 31, Minimum lease payments receivable $ 3,445 $ 3,529 Estimated unguaranteed residual value of leased assets 270 270 Unearned income from leased assets (1,304) (1,357) Net investment $ 2,411 $ 2,442 Scheduled future minimum non-cancelable base rental payments due to be received under the Company's direct financing lease receivables as of March 31, 2021 were as follows: (in thousands) Future Minimum April 1 - December 31, 2021 $ 256 2022 345 2023 347 2024 289 2025 254 Thereafter 1,954 Total $ 3,445 Allowance for Loan Losses The Company utilizes a RELEM model which estimates losses on loans and direct financing lease receivables for purposes of calculating an allowance for loan losses. As of March 31, 2021, the Company recorded an allowance for loan losses of $1.1 million. Changes in the Company’s allowance for loan losses are presented within provision for loan losses in the Company’s consolidated statements of operations. For the three months ended March 31, 2021 and 2020, the changes to the Company's allowance for loan losses were as follows: (in thousands) Loans and Direct Financing Lease Receivables Balance at January 1, 2020 $ — Cumulative-effect adjustment upon adoption of ASC 326 188 Current period provision for expected credit losses (1) 468 Write-offs charged — Recoveries — Balance at March 31, 2020 $ 656 Balance at January 1, 2021 $ 1,018 Current period provision for expected credit losses (1) 38 Write-offs charged — Recoveries — Balance at March 31, 2021 $ 1,056 _____________________________________ (1) The increase in expected credit losses is due to the changes in assumptions regarding current macroeconomic factors related to COVID-19 and our investment in new loans receivable during the period. The Company considers the ratio of loan to value ("LTV") to be a significant credit quality indicator for its loans and direct financing lease portfolio. The following table presents information about the LTV of the Company's loans and direct financing lease receivables measured at amortized cost as of March 31, 2021: Amortized Cost Basis by Origination Year Total Amortized Costs Basis (in thousands) 2021 2020 2019 2018 2017 Prior LTV <60% $ — $ — $ 28,000 $ — $ — $ 738 $ 28,738 LTV 60%-70% 23,825 — — — — 980 24,805 LTV >70% 960 56,844 65,043 — — 692 123,539 $ 24,785 $ 56,844 $ 93,043 $ — $ — $ 2,410 $ 177,082 Real Estate Investments Held for Sale The Company continually evaluates its portfolio of real estate investments and may elect to dispose of investments considering criteria including, but not limited to, tenant concentration, tenant credit quality, tenant operation type (e.g., industry, sector or concept), unit-level financial performance, local market conditions and lease rates, associated indebtedness and asset location. Real estate investments held for sale are expected to be sold within twelve months. The following table shows the activity in real estate investments held for sale and intangible lease liabilities held for sale during the three months ended March 31, 2021 and 2020. (Dollar amounts in thousands) Number of Properties Real Estate Investments Intangible Lease Liabilities Net Carrying Value Held for sale balance, January 1, 2020 1 $ 1,211 $ — $ 1,211 Transfers to held for sale classification 3 1,528 — 1,528 Sales (1) (1,211) — (1,211) Transfers to held and used classification — — — — Held for sale balance, March 31, 2020 3 $ 1,528 $ — $ 1,528 Held for sale balance, January 1, 2021 8 $ 17,058 $ — $ 17,058 Transfers to held for sale classification — — — — Sales (4) (3,168) — (3,168) Transfers to held and used classification (4) (13,890) — (13,890) Held for sale balance, March 31, 2021 — $ — $ — $ — Significant Concentrations The Company did not have any tenants (including for this purpose, all affiliates of such tenants) whose rental revenue for the three months ended March 31, 2021 or 2020 represented 10% or more of total rental revenue in the Company’s consolidated statements of operations. The following table lists the states where the rental revenue from the properties in that state during the periods presented represented 10% or more of total rental revenue in the Company’s consolidated statements of operations: Three months ended March 31, State 2021 2020 Texas 13.3% 11.6% Georgia * 10.2% _____________________________________ * State's rental revenue was not greater than 10% of total rental revenue during the period specified. Intangible Assets and Liabilities Intangible assets and liabilities consisted of the following as of the dates presented: March 31, 2021 December 31, 2020 (in thousands) Gross Accumulated Net Gross Accumulated Net Intangible assets: In-place leases $ 71,048 $ 20,164 $ 50,884 $ 67,986 $ 18,767 $ 49,219 Intangible market lease assets 11,982 4,122 7,860 12,285 4,059 8,226 Total intangible assets $ 83,030 $ 24,286 $ 58,744 $ 80,271 $ 22,826 $ 57,445 Intangible market lease liabilities $ 12,793 $ 2,747 $ 10,046 $ 12,772 $ 2,604 $ 10,168 The remaining weighted average amortization period for the Company’s intangible assets and liabilities as of March 31, 2021, by category and in total, were as follows: Years Remaining In-place leases 10.7 Intangible market lease assets 13.7 Total intangible assets 11.1 Intangible market lease liabilities 17.2 The following table discloses amounts recognized within the consolidated statements of operations related to amortization of in-place leases, amortization and accretion of above- and below-market lease assets and liabilities, net and the amortization and accretion of above- and below-market ground leases for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Amortization of in-place leases (1) $ 1,638 $1,679 Amortization (accretion) of market lease intangibles, net (2) 18 80 Amortization (accretion) of above- and below-market ground lease intangibles, net (3) (90) 122 _____________________________________ (1) Reflected within depreciation and amortization expense. (2) Reflected within rental revenue. (3) Reflected within property expenses. The following table provides the estimated amortization of in-place lease assets to be recognized as a component of depreciation and amortization expense for the next five years and thereafter: (in thousands) In-Place Lease Assets April 1 - December 31, 2021 $ 5,955 2022 5,816 2023 5,395 2024 4,716 2025 3,662 Thereafter 25,340 Total $ 50,884 The following table provides the estimated net amortization of above- and below-market lease intangibles to be recognized as a component of rental revenue for the next five years and thereafter: (in thousands) Above Market Lease Asset Below Market Lease Liabilities Net Adjustment to Rental Revenue April 1 - December 31, 2021 $ (539) $ 403 $ (136) 2022 (717) 542 (175) 2023 (686) 511 (175) 2024 (653) 508 (145) 2025 (647) 513 (134) Thereafter (4,618) 7,569 2,951 Total $ (7,860) $ 10,046 $ 2,186

Leases

Leases	3 Months Ended
	Mar. 31, 2021
Leases [Abstract]
Leases	Leases As Lessor The Company’s investment properties are leased to tenants under long-term operating leases that typically include one or more tenant renewal options. The Company’s leases provide for annual base rental payments (generally payable in monthly installments), and generally provide for increases in rent based on fixed contractual terms or as a result of increases in the Consumer Price Index. Substantially all of the leases are triple-net, which means that the lessees are responsible for paying all property operating expenses, including maintenance, insurance, utilities, property taxes and, if applicable, ground rent expense; therefore, the Company is generally not responsible for repairs or other capital expenditures related to the properties while the triple-net leases are in effect and, at the end of the lease term, the lessees are responsible for returning the property to the Company in a substantially similar condition as when they took possession. Some of the Company’s leases provide that in the event the Company wishes to sell the property subject to that lease, it first must offer the lessee the right to purchase the property on the same terms and conditions as any offer which it intends to accept for the sale of the property. Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of March 31, 2021 were as follows: (in thousands) Future Minimum Base Rental Receipts April 1 - December 31, 2021 $ 146,932 2022 198,767 2023 201,707 2024 202,815 2025 201,569 Thereafter 2,222,825 Total $ 3,174,615 Since lease renewal periods are exercisable at the option of the lessee, the preceding table presents future minimum base rental payments to be received during the initial non-cancelable lease term only. In addition, the future minimum lease payments exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to performance thresholds and exclude increases in annual rent based on future changes in the Consumer Price Index, among other items. The fixed and variable components of lease revenues for the three months ended March 31, 2021 and 2020 were as follows: Three months ended March 31, (in thousands) 2021 2020 Fixed lease revenues $ 46,089 $ 40,403 Variable lease revenues (1) 623 366 Total lease revenues (2) $ 46,712 $ 40,769 _____________________________________ (1) Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants. (2) Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit. As Lessee The Company has a number of ground leases, an office lease and other equipment leases which are classified as operating leases. As of March 31, 2021, the Company’s right of use ("ROU") assets and lease liabilities were $6.3 million and $8.6 million, respectively. As of December 31, 2020, the Company’s ROU assets and lease liabilities were $6.4 million and $8.8 million, respectively. The discount rate applied to measure each ROU asset and lease liability is based on the Company’s incremental borrowing rate ("IBR"). The Company considers the general economic environment and its historical borrowing activity and factors in various financing and asset specific adjustments to ensure the IBR is appropriate to the intended use of the underlying lease. As the Company did not elect to apply hindsight, lease term assumptions determined under ASC 840 were carried forward and applied in calculating the lease liabilities recorded under ASC 842. Certain of the Company’s ground leases offer renewal options which it assesses against relevant economic factors to determine whether it is reasonably certain of exercising or not exercising the option. Lease payments associated with renewal periods that the Company is reasonably certain will be exercised, if any, are included in the measurement of the corresponding lease liability and ROU asset. The following table sets forth information related to the measurement of the Company’s lease liabilities as of the dates presented: March 31, December 31, 2020 Weighted average remaining lease term (in years) 22.7 22.4 Weighted average discount rate 6.40% 6.41% Upon adoption of ASC 842 (see Note 2—Summary of Significant Accounting Policies), ground lease rents are no longer presented on a net basis and instead are reflected on a gross basis in the Company’s consolidated statements of operations for the three months ended March 31, 2021 and 2020. The following table sets forth the details of rent expense for the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 Fixed rent expense - Ground Rent $ 239 $ 254 Fixed rent expense - Office Rent 128 128 Variable rent expense — — Total rent expense $ 367 $ 382 As of March 31, 2021, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company’s tenants are directly responsible for payment over the next five years and thereafter were as follows: (in thousands) Office and Equipment Leases Ground Leases Ground Leases Total Future April 1 - December 31, 2021 $ 384 $ 116 $ 607 $ 1,107 2022 522 151 811 1,484 2023 525 131 485 1,141 2024 531 24 436 991 2025 538 — 356 894 Thereafter — — 14,562 14,562 Total $ 2,500 $ 422 $ 17,257 20,179 Present value discount (11,560) Lease liabilities $ 8,619 The Company has adopted the short-term lease policy election and accordingly, the table above excludes future minimum base cash rental payments by the Company or its tenants on leases that have a term of less than 12 months at lease inception. The total of such future obligations is not material.
Leases	Leases As Lessor The Company’s investment properties are leased to tenants under long-term operating leases that typically include one or more tenant renewal options. The Company’s leases provide for annual base rental payments (generally payable in monthly installments), and generally provide for increases in rent based on fixed contractual terms or as a result of increases in the Consumer Price Index. Substantially all of the leases are triple-net, which means that the lessees are responsible for paying all property operating expenses, including maintenance, insurance, utilities, property taxes and, if applicable, ground rent expense; therefore, the Company is generally not responsible for repairs or other capital expenditures related to the properties while the triple-net leases are in effect and, at the end of the lease term, the lessees are responsible for returning the property to the Company in a substantially similar condition as when they took possession. Some of the Company’s leases provide that in the event the Company wishes to sell the property subject to that lease, it first must offer the lessee the right to purchase the property on the same terms and conditions as any offer which it intends to accept for the sale of the property. Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of March 31, 2021 were as follows: (in thousands) Future Minimum Base Rental Receipts April 1 - December 31, 2021 $ 146,932 2022 198,767 2023 201,707 2024 202,815 2025 201,569 Thereafter 2,222,825 Total $ 3,174,615 Since lease renewal periods are exercisable at the option of the lessee, the preceding table presents future minimum base rental payments to be received during the initial non-cancelable lease term only. In addition, the future minimum lease payments exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to performance thresholds and exclude increases in annual rent based on future changes in the Consumer Price Index, among other items. The fixed and variable components of lease revenues for the three months ended March 31, 2021 and 2020 were as follows: Three months ended March 31, (in thousands) 2021 2020 Fixed lease revenues $ 46,089 $ 40,403 Variable lease revenues (1) 623 366 Total lease revenues (2) $ 46,712 $ 40,769 _____________________________________ (1) Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants. (2) Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit. As Lessee The Company has a number of ground leases, an office lease and other equipment leases which are classified as operating leases. As of March 31, 2021, the Company’s right of use ("ROU") assets and lease liabilities were $6.3 million and $8.6 million, respectively. As of December 31, 2020, the Company’s ROU assets and lease liabilities were $6.4 million and $8.8 million, respectively. The discount rate applied to measure each ROU asset and lease liability is based on the Company’s incremental borrowing rate ("IBR"). The Company considers the general economic environment and its historical borrowing activity and factors in various financing and asset specific adjustments to ensure the IBR is appropriate to the intended use of the underlying lease. As the Company did not elect to apply hindsight, lease term assumptions determined under ASC 840 were carried forward and applied in calculating the lease liabilities recorded under ASC 842. Certain of the Company’s ground leases offer renewal options which it assesses against relevant economic factors to determine whether it is reasonably certain of exercising or not exercising the option. Lease payments associated with renewal periods that the Company is reasonably certain will be exercised, if any, are included in the measurement of the corresponding lease liability and ROU asset. The following table sets forth information related to the measurement of the Company’s lease liabilities as of the dates presented: March 31, December 31, 2020 Weighted average remaining lease term (in years) 22.7 22.4 Weighted average discount rate 6.40% 6.41% Upon adoption of ASC 842 (see Note 2—Summary of Significant Accounting Policies), ground lease rents are no longer presented on a net basis and instead are reflected on a gross basis in the Company’s consolidated statements of operations for the three months ended March 31, 2021 and 2020. The following table sets forth the details of rent expense for the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 Fixed rent expense - Ground Rent $ 239 $ 254 Fixed rent expense - Office Rent 128 128 Variable rent expense — — Total rent expense $ 367 $ 382 As of March 31, 2021, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company’s tenants are directly responsible for payment over the next five years and thereafter were as follows: (in thousands) Office and Equipment Leases Ground Leases Ground Leases Total Future April 1 - December 31, 2021 $ 384 $ 116 $ 607 $ 1,107 2022 522 151 811 1,484 2023 525 131 485 1,141 2024 531 24 436 991 2025 538 — 356 894 Thereafter — — 14,562 14,562 Total $ 2,500 $ 422 $ 17,257 20,179 Present value discount (11,560) Lease liabilities $ 8,619 The Company has adopted the short-term lease policy election and accordingly, the table above excludes future minimum base cash rental payments by the Company or its tenants on leases that have a term of less than 12 months at lease inception. The total of such future obligations is not material.

Long Term Debt

Long Term Debt	3 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Long Term Debt	Long Term Debt The following table summarizes the Company's outstanding indebtedness as of March 31, 2021 and December 31, 2020: Principal Outstanding Weighted Average Interest Rate (in thousands) Maturity Date March 31, December 31, March 31, December 31, Unsecured term loans: April 2019 Term Loan April 2024 $ 200,000 $ 200,000 1.3% 1.4% November 2019 Term Loan November 2026 430,000 430,000 1.6% 1.7% Revolving Credit Facility April 2023 138,000 18,000 1.4% 1.4% Secured borrowings: Series 2017-1 Notes June 2047 172,191 173,193 4.2% 4.2% Total principal outstanding $ 940,191 $ 821,193 2.0% 2.1 % The following table summarizes the scheduled principal payments on the Company’s outstanding indebtedness as of March 31, 2021: (in thousands) April 2019 Term Loan November 2019 Term Loan Revolving Credit Facility Secured Borrowings Total April 1 - December 31, 2021 $ — $ — $ — $ 3,082 $ 3,082 2022 — — — 4,292 4,292 2023 — — 138,000 4,512 142,512 2024 200,000 — — 160,305 360,305 2025 — — — — — Thereafter — 430,000 — — 430,000 Total $ 200,000 $ 430,000 $ 138,000 $ 172,191 $ 940,191 The Company was not in default of any provisions under any of its outstanding indebtedness as of March 31, 2021 or December 31, 2020. Revolving Credit Facility and April 2019 Term Loan On April 12, 2019, the Company, through the Operating Partnership, entered into an amended and restated credit agreement (the “Amended Credit Agreement”) with its group of lenders, amending and restating the terms of the Company’s previous $300.0 million revolving credit facility (the “2018 Credit Facility”) to increase the maximum aggregate initial original principal amount of the revolving loans available thereunder up to $400.0 million (the “Revolving Credit Facility”) and to permit the incurrence of an additional $200.0 million in term loans thereunder (the “April 2019 Term Loan”). The Revolving Credit Facility has a term of four years from April 12, 2019, with an extension option of up to one year exercisable by the Operating Partnership, subject to certain conditions, and the April 2019 Term Loan has a term of five years from the effective date of the amended agreement. The loans under each of the Revolving Credit Facility and the April 2019 Term Loan initially bear interest at an annual rate of applicable LIBOR plus the applicable margin (which applicable margin varies between the Revolving Credit Facility and the April 2019 Term Loan). The applicable LIBOR is the rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin initially is a spread set according to a leverage-based pricing grid. At the Operating Partnership’s election, on and after receipt of an investment grade corporate credit rating from Standard & Poor’s (“S&P”) or Moody’s Investors Services, Inc. (“Moody’s”), the applicable margin will be a spread set according to the Company’s corporate credit ratings provided by S&P and/or Moody’s. The Revolving Credit Facility and the April 2019 Term Loan are freely pre-payable at any time and the Revolving Credit Facility is mandatorily payable if borrowings exceed the borrowing base or the facility limit. The Operating Partnership may re-borrow amounts paid down on the Revolving Credit Facility but not on the April 2019 Term Loan. The Operating Partnership is required to pay revolving credit fees throughout the term of the Revolving Credit Agreement based upon its usage of the Revolving Credit Facility, at a rate which depends on its usage of such facility during the period before the Company receives an investment grade corporate credit rating from S&P or Moody’s, and which rate shall be based on the corporate credit rating from S&P and/or Moody’s after the time, if applicable, the Company receives such a rating. The Operating Partnership was required to pay a ticking fee on the April 2019 Term Loan for the period from April 12, 2019 through May 14, 2019, the date the term loan was fully drawn. The Amended Credit Agreement has an accordion feature to increase, subject to certain conditions, the maximum availability of credit (either through increased revolving commitments or additional term loans) by up to $200 million. Additionally, on November 22, 2019, the Company further amended the Amended Credit Agreement to update certain terms to be consistent with those as described under, and to acknowledge, where applicable, the November 2019 Term Loan (as defined below) and to make certain other changes to the Amended Credit Agreement consistent with market practice on future replacement of the LIBOR rate and qualified financial contracts. The Operating Partnership is the borrower under the Amended Credit Agreement, and the Company and each of its subsidiaries that owns a direct or indirect interest in an eligible real property asset are guarantors under the Amended Credit Agreement. Under the terms of the Amended Credit Agreement, the Company is subject to various restrictive financial and nonfinancial covenants which, among other things, require the Company to maintain certain leverage ratios, cash flow and debt service coverage ratios, secured borrowing ratios and a minimum level of tangible net worth. The Amended Credit Agreement restricts the Company’s ability to pay distributions to its stockholders under certain circumstances. However, the Company may make distributions to the extent necessary to maintain its qualification as a REIT under the Code. The Amended Credit Agreement contains certain additional covenants that, subject to exceptions, limit or restrict the Company’s incurrence of indebtedness and liens, disposition of assets, transactions with affiliates, mergers and fundamental changes, modification of organizational documents, changes to fiscal periods, making of investments, negative pledge clauses and lines of business and REIT qualification. In May 2019, the Company borrowed the entire $200.0 million available under the April 2019 Term Loan and used the proceeds to repurchase, in part, notes previously issued under its Master Trust Funding Program. The Company borrowed the entire $430.0 million available under the November 2019 Term Loan in separate draws in December 2019 and March 2020 and used the proceeds to voluntarily prepay notes previously issued under its Master Trust Funding Program at par, to repay amounts outstanding under the Revolving Credit Facility and for general working capital purposes. The Company was in compliance with all financial covenants and was not in default of any other provisions under the Amended Credit Facility as of March 31, 2021 and December 31, 2020. The following table presents information about the Revolving Credit Facility for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Balance on January 1, $ 18,000 $ 46,000 Borrowings 120,000 69,000 Repayments — (50,000) Balance on March 31, $ 138,000 $ 65,000 The following table presents information about interest expense related to the Revolving Credit Facility for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Interest expense $ 395 $ 398 Amortization of deferred financing costs 291 291 Total $ 686 $ 689 Total deferred financing costs, net, of $2.2 million and $2.5 million related to the Revolving Credit Facility were included within rent receivables, prepaid expenses and other assets, net on the Company’s consolidated balance sheets as of March 31, 2021 and December 31, 2020, respectively. As of March 31, 2021 and December 31, 2020, the Company had $262.0 million and $382.0 million, respectively, of unused borrowing capacity related to the Revolving Credit Facility. November 2019 Term Loan On November 26, 2019, the Company, through the Operating Partnership, entered into a new $430 million term loan credit facility (the “November 2019 Term Loan”) with a group of lenders. The November 2019 Term Loan provides for term loans to be drawn up to an aggregate amount of $430 million with a maturity of November 26, 2026. Borrowings under the November 2019 Term Loan bear interest at an annual rate of applicable LIBOR plus the applicable margin. The applicable LIBOR will be the rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin will initially be a spread set according to a leverage-based pricing grid. At the Operating Partnership’s irrevocable election, on and after receipt of an investment grade corporate credit rating from S&P or Moody’s, the applicable margin will be a spread set according to the Company’s corporate credit ratings provided by S&P and/or Moody’s. The November 2019 Term Loan is pre-payable at any time by the Operating Partnership (as borrower), provided, that if the loans under the November 2019 Term Loan are repaid on or before November 26, 2020,they are subject to a two percent prepayment premium, and if repaid thereafter but on or before November 26, 2021, they are subject to a one percent prepayment premium. After November 26, 2021 the loans may be repaid without penalty. The Operating Partnership may not re-borrow amounts paid down on the November 2019 Term Loan. The Operating Partnership was required to pay a ticking fee on any undrawn portion of the November 2019 Term Loan for the period from November 26, 2019 through March 26, 2020, the date that the November 2019 Term Loan was fully drawn. The November 2019 Term Loan has an accordion feature to increase, subject to certain conditions, the maximum availability of the facility up to an aggregate of $500 million. The Operating Partnership is the borrower under the November 2019 Term Loan, and the Company and each of its subsidiaries that owns a direct or indirect interest in an eligible real property asset are guarantors under the facility. Under the terms of the November 2019 Term Loan, the Company is subject to various restrictive financial and nonfinancial covenants which, among other things, require the Company to maintain certain leverage ratios, cash flow and debt service coverage ratios, secured borrowing ratios and a minimum level of tangible net worth. Additionally, the November 2019 Term Loan restricts the Company’s ability to pay distributions to its stockholders under certain circumstances. However, the Company may make distributions to the extent necessary to maintain its qualification as a REIT under the Code. The facility contains certain covenants that, subject to exceptions, limit or restrict the Company’s incurrence of indebtedness and liens, disposition of assets, transactions with affiliates, mergers and fundamental changes, modification of organizational documents, changes to fiscal periods, making of investments, negative pledge clauses and lines of business and REIT qualification. The Company was in compliance with all financial covenants and was not in default of any other provisions under the November 2019 Term Loan as of March 31, 2021 and December 31, 2020. The following table presents information about aggregate interest expense related to the April 2019 and November 2019 Term Loan Facilities: Three months ended March 31, (in thousands) 2021 2020 Interest expense $ 2,421 $ 3,415 Amortization of deferred financing costs 178 177 Total $ 2,599 $ 3,592 Total deferred financing costs, net, of $3.6 million and $3.7 million as of March 31, 2021 and December 31, 2020, respectively, related to the Term Loan Facilities are included as a component of unsecured term loans, net of deferred financing costs on the Company’s consolidated balance sheet as of March 31, 2021. The Company fixed the interest rates on its term loan facilities’ variable-rate debt through the use of interest rate swap agreements. See Note 6—Derivative and Hedging Activities for additional information. Secured Borrowings In the normal course of business, the Company transfers financial assets in various transactions with Special Purpose Entities (“SPE”) determined to be VIEs, which primarily consist of securitization trusts established for a limited purpose (the “Master Trust Funding Program”). These SPEs are formed for the purpose of securitization transactions in which the Company transfers assets to an SPE, which then issues to investors various forms of debt obligations supported by those assets. In these securitization transactions, the Company typically receives cash from the SPE as proceeds for the transferred assets and retains the rights and obligations to service the transferred assets in accordance with servicing guidelines. All debt obligations issued from the SPEs are non-recourse to the Company. In accordance with the accounting guidance for asset transfers, the Company considers any ongoing involvement with transferred assets in determining whether the assets can be derecognized from the balance sheets. For transactions that do not meet the requirements for derecognition and remain on the consolidated balance sheets, the transferred assets may not be pledged or exchanged by the Company. The Company evaluates its interest in certain entities to determine if these entities meet the definition of a VIE and whether the Company is the primary beneficiary and, therefore, should consolidate the entity based on the variable interests it held both at inception and when there was a change in circumstances that required a reconsideration. The Company has determined that the SPEs created in connection with its Master Trust Funding Program should be consolidated as the Company is the primary beneficiary of each of these entities. Tenant rentals received on assets transferred to SPEs under the Master Trust Funding Program are sent to the trustee and used to pay monthly principal and interest payments. Series 2016-1 Notes In December 2016, the Company issued its first series of notes under the Master Trust Funding Program, consisting of $263.5 million of Class A Notes and $17.3 million of Class B Notes (together, the “Series 2016-1 Notes”). These notes were issued to an affiliate of Eldridge Industries, LLC (“Eldridge”) through underwriting agents. The Series 2016-1 Notes were issued by two SPEs formed to hold assets and issue the secured borrowings associated with the securitization. The Series 2016-1 Notes were scheduled to mature in November 2046, but the terms of the Class A Notes required principal to be paid monthly through November 2021, with a balloon repayment at that time, and the terms of the Class B Notes required no monthly principal payments but required the full principal balance to be paid in November 2021. In May 2019, the Company repurchased a portion of its Class A Series 2016-1 Notes with a face value of $200 million for $201.4 million from an affiliate of Eldridge. On November 12, 2019, the Company cancelled all $200 million of these repurchased Class A Series 2016-1 Notes. In November 2019, the Company prepaid all $70.4 million of the then outstanding Series 2016-1 Notes (consisting of the remaining $53.2 million Class A Series 2016-1 Notes and $17.2 million Class B Series 2016-1 Notes) at par plus accrued interest pursuant to the terms of the agreements related to such securities. Series 2017-1 Notes In July 2017, the Company issued its second series of notes under the Master Trust Funding Program, consisting of $232.4 million of Class A Notes and $15.7 million of Class B Notes (together, the “Series 2017-1 Notes”). The Series 2017-1 Notes were issued by three SPEs formed to hold assets and issue the secured borrowings associated with the securitization. The Series 2017-1 Notes mature in June 2047 and have a weighted average interest rate of 4.19% as of March 31, 2021. If the notes are not repaid in full on or before such anticipated repayment date, additional interest will begin to accrue on the notes. The anticipated repayment date for the Series 2017-1 Notes is June 2024. The Series 2017-1 Notes may be voluntarily prepaid, in whole or in part, beginning in November 2021 without the payment of a make whole amount. Voluntary prepayments may be made before 31 months prior to the anticipated repayment date. In February 2020, the Company voluntarily prepaid $62.3 million of the Class A Series 2017-1 Notes at par plus accrued interest pursuant to the terms of the agreements related to such securities. The Company was not subject to the payment of a make whole amount in connection with this prepayment. The Company accounted for this prepayment as a debt extinguishment. In addition, the Company recorded a $0.9 million loss on repurchase and repayment of secured borrowings related to the amortization of deferred financing costs on the $62.3 million voluntary prepayment of the Class A Series 2017-1 Notes during the three months ended March 31, 2020. The following table presents information about interest expense related to the Master Trust Funding Program: Three months ended March 31, (in thousands) 2021 2020 Interest expense $ 1,811 $ 2,126 Amortization of deferred financing costs 156 188 Total $ 1,967 $ 2,314

Derivative and Hedging Activiti

Derivative and Hedging Activities	3 Months Ended
	Mar. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative and Hedging Activities	Derivative and Hedging Activities The Company does not enter into derivative financial instruments for speculative or trading purposes. The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish these objectives, the Company uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. These derivatives are considered cash flow hedges and are recorded on a gross basis at fair value. Subsequent to the adoption of ASU 2017-12, assessments of hedge effectiveness are performed quarterly using either a qualitative or quantitative approach. The Company recognizes the entire change in the fair value in accumulated other comprehensive income (loss) and the change is reflected as derivative changes in fair value in the supplemental disclosures of non-cash financing activities in the consolidated statements of cash flows. The amounts recorded in accumulated other comprehensive income (loss) will subsequently be reclassified to interest expense as interest payments are made on the Company’s borrowings under its variable-rate term loan facilities. During the next twelve months, the Company estimates that $9.8 million will be reclassified from accumulated other comprehensive loss as an increase to interest expense. The Company does not have netting arrangements related to its derivatives. The use of derivative financial instruments carries certain risks, including the risk that the counterparties to these contractual arrangements are not able to perform under the agreements. To mitigate this risk, the Company only enters into derivative financial instruments with counterparties with high credit ratings and with major financial institutions with which the Company and its affiliates may also have other financial relationships. The Company does not anticipate that any of the counterparties will fail to meet their obligations. As of March 31, 2021, there were no events of default related to the interest rate swaps. The following table summarizes the notional amount at inception and fair value of these instruments on the Company's balance sheet as of March 31, 2021 and December 31, 2020 (dollar amounts in thousands): Fair value of Asset/(Liability) Derivatives Designated as Hedging Instruments (1) Fixed Rate Paid by Company Effective Date Maturity Date Notional Value (2) March 31, December 31, 2020 Interest Rate Swap 2.06% 05/14/2019 04/12/2024 $ 100,000 $ (5,031) $ (6,176) Interest Rate Swap 2.06% 05/14/2019 04/12/2024 50,000 (2,517) (3,089) Interest Rate Swap 2.07% 05/14/2019 04/12/2024 50,000 (2,522) (3,094) Interest Rate Swap 1.61% 12/09/2019 11/26/2026 175,000 (5,401) (11,838) Interest Rate Swap 1.61% 12/09/2019 11/26/2026 50,000 (1,545) (3,396) Interest Rate Swap 1.60% 12/09/2019 11/26/2026 25,000 (755) (1,675) Interest Rate Swap 1.36% 07/09/2020 11/26/2026 100,000 (1,729) (5,353) Interest Rate Swap 1.36% 07/09/2020 11/26/2026 80,000 (1,394) (4,291) $ 630,000 $ (20,894) $ (38,912) _____________________________________ (1) All interest rate swaps have a 1 month LIBOR variable rate paid by the bank. (2) Notional value indicates the extent of the Company’s involvement in these instruments, but does not represent exposure to credit, interest rate or market risks. The Company has agreements with each of its derivative counterparties that contain a provision where if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligations. The following table presents amounts recorded to accumulated other comprehensive gain/loss related to derivative and hedging activities for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Accumulated other comprehensive gain (loss) $ 18,023 $ (38,100) As of March 31, 2021, the fair value of derivatives in a net liability position including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was $20.7 million. As of December 31, 2020, the fair value of derivatives in a net liability position including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was $38.9 million. As of March 31, 2021 and December 31, 2020, there were no derivatives in a net asset position. During the three months ended March 31, 2021 and 2020, the Company recorded a loss on the change in fair value of its interest rate swaps of $2.4 million and $0.3 million, respectively, which was included in interest expense in the Company's consolidated statements of operations. As of March 31, 2021 and December 31, 2020, the Company had not posted any collateral related to these agreements and was not in breach of any provisions of such agreements. If the Company had breached any of these provisions, it could have been required to settle its obligations under the agreements at their aggregate termination value of $21.3 million and $40.2 million as of March 31, 2021 and December 31, 2020, respectively.

Equity

Equity	3 Months Ended
	Mar. 31, 2021
Equity [Abstract]
Equity	Equity Stockholders’ Equity On January 14, 2020, the Company completed a follow-on offering of 7,935,000 shares its common stock, including 1,035,000 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at an offering price of $25.20 per share. Net proceeds from this follow-on offering, after deducting underwriting discounts and commissions and other expenses, were $191.5 million. On September 22, 2020, the Company completed a follow-on offering of 10,120,000 shares its common stock, including 1,320,000 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at an offering price of $19.00 per share. Net proceeds from this follow-on offering, after deducting underwriting discounts and commissions and other expenses, were $184.1 million. At the Market Program In June 2020, the Company established a new at the market common equity offering program, pursuant to which it can publicly offer and sell, from time to time, shares of its common stock with an aggregate gross sales price of up to $250 million (the “2020 ATM Program”). In connection with establishing the 2020 ATM Program, the Company terminated its prior at the market program, which it established in August 2019 (the “2019 ATM Program”) and no additional stock can be issued thereunder. Pursuant to the 2019 ATM Program, the Company could publicly offer and sell shares of its common stock with an aggregate gross sales price of up to $200 million and, prior to its termination, the Company issued common stock with an aggregate gross sales price of $184.4 million thereunder. As of March 31, 2021, the Company issued common stock with an aggregate gross sales price of $144.2 million under the 2020 ATM Program and could issue additional common stock with an aggregate gross sales price of up to $105.8 million under the 2020 ATM Program. As the context requires, the 2020 ATM Program and the 2019 ATM Program are referred to herein as the “ATM Program." The following table details information related to activity under the ATM Program for each period presented: Three months ended March 31, (in thousands, except share and per share data) 2021 2020 Shares of common stock sold 2,796,805 253,698 Weighted average sale price per share $ 23.22 $ 24.74 Gross proceeds $ 64,928 $ 6,277 Net proceeds $ 63,891 $ 6,197 Dividends on Common Stock During the three months ended March 31, 2021 and 2020, the Company’s board of directors declared the following quarterly cash dividends on common stock: Date Declared Record Date Date Paid Dividend per Share of Common Stock Total Dividend March 5, 2021 March 31, 2021 April 15, 2021 $ 0.24 $ 26,265 March 18, 2020 March 31, 2020 April 15, 2020 $ 0.23 $ 21,168

Non-controlling Interests

Non-controlling Interests	3 Months Ended
	Mar. 31, 2021
Noncontrolling Interest [Abstract]
Non-controlling Interests	Non-controlling Interests Essential Properties OP G.P., LLC, a wholly owned subsidiary of the Company, is the sole general partner of the Operating Partnership, and holds a 1.0% general partner interest in the Operating Partnership. The Company contributes the net proceeds from issuing shares of common stock to the Operating Partnership in exchange for a number of limited partnership in the Operating Partnership ('OP Units") equal to the number of shares of common stock issued. As of March 31, 2021, the Company held 109,171,639 OP Units, representing a 99.5% interest in the Operating Partnership. As of the same date, former members of EPRT Holdings, LLC (the "Non-controlling OP Unit Holders") held 553,847 OP Units in the aggregate, representing a 0.5% limited partner interest in the Operating Partnership. The OP Units held by the Non-controlling OP Unit Holders are presented as non-controlling interests in the Company’s consolidated financial statements.

Equity Based Compensation

Equity Based Compensation	3 Months Ended
	Mar. 31, 2021
Disclosure Of Compensation Related Costs Equity Based Payments [Abstract]
Equity Based Compensation	Equity Based Compensation Equity Incentive Plan In 2018, the Company adopted an equity incentive plan (the “Equity Incentive Plan”), which provides for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, other stock awards, performance awards and LTIP units. Officers, employees, non-employee directors, consultants, independent contractors and agents who provide services to the Company or to any subsidiary of the Company are eligible to receive such awards. A maximum of 3,550,000 shares may be issued under the Equity Incentive Plan, subject to certain conditions. The following table presents information about the Company’s restricted stock awards ("RSAs"), and restricted stock units ("RSUs") during the three months ended March 31, 2021 and 2020: Restricted Stock Awards Restricted Stock Units Shares Wtd. Avg. Grant Date Fair Value Units Wtd. Avg. Grant Date Fair Value Unvested, January 1, 2020 492,701 $ 13.72 100,814 $ 22.80 Granted — — 135,120 32.13 Vested (10,747) 14.12 — — Forfeited — — — — Unvested, March 31, 2020 481,954 $ 13.71 235,934 $ 28.14 Unvested, January 1, 2021 240,598 $ 13.73 321,602 $ 25.27 Granted — — 196,921 32.37 Vested (9,865) 14.12 (19,614) 23.17 Forfeited — — — — Unvested, March 31, 2021 230,733 $ 13.71 498,909 $ 28.15 Restricted Stock Awards On June 25, 2018, restricted stock awards ("RSAs") relating to an aggregate of 691,290 shares of unvested restricted common stock were granted to the Company's directors, executive officers and other employees under the Equity Incentive Plan. These RSAs vest over periods ranging from one year to three years from the date of grant, subject to the individual recipient's continued provision of service to the Company through the applicable vesting dates. In January 2019, RSAs relating to an aggregate of 46,368 shares of unvested restricted common stock were granted to the Company’s executive officers, other employees and an external consultant under the Equity Incentive Plan. These RSAs vest over periods ranging from one year to four years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates. In June 2020, additional RSAs relating to an aggregate of 3,658 shares of unvested restricted common stock were granted to certain members of the Company's board of directors which vested immediately upon grant. The Company estimates the grant date fair value of RSAs granted under the Equity Incentive Plan using the average market price of the Company’s common stock on the date of grant. The following table presents information about the Company’s RSAs for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Compensation cost recognized in general and administrative expense $ 759 $ 894 Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings 55 111 Fair value of shares vested during the period 139 152 The following table presents information about the Company’s RSAs as of the dates presented: (Dollars in thousands) March 31, December 31, Total unrecognized compensation cost $ 919 $ 1,678 Weighted average period over which compensation cost will be recognized (in years) 0.6 0.7 Restricted Stock Units In January 2019 and 2020 and February 2021 the Company issued target grants of 119,085, 84,684, and 126,353 performance-based RSUs, respectively, to the Company’s executive officers under the Equity Incentive Plan. Of these awards, 75% are non-vested RSUs for which vesting percentages and the ultimate number of units vesting will be calculated based on the total shareholder return (“TSR”) of the Company's common stock as compared to the TSR of peer companies identified in the grant agreements. The payout schedule can produce vesting percentages ranging from 0% to 250% of target. TSR will be calculated based upon the average closing price for the 20-trading day period ending December 31, 2021 (for the 2019 grants), December 31, 2022 (for the 2020 grants) and December 31, 2023 (for the 2021 grants) divided by the average closing price for the 20-trading day period ended January 1, 2019 (for the 2019 grants), January 1, 2020 (for the 2020 grants), or January 1, 2021 (for the 2021 grants).The target number of units is based on achieving a TSR equal to the 50th percentile of the peer group. The Company recorded expense on these TSR RSUs based on achieving the target. The grant date fair value of the TSR RSUs was measured using a Monte Carlo simulation model based on the following assumptions: Grant Year 2021 2020 2019 Volatility 55% 20% 18% Risk free rate 0.20% 1.61% 2.57% The remaining 25% of these performance-based RSUs vest based on the Compensation Committee's subjective evaluation of the individual recipient’s achievement of certain strategic objectives. In May 2020, the Compensation Committee evaluated and subjectively awarded 7,596 of these RSUs to a former executive officer of the Company, which vested immediately. As of March 31, 2021, the Compensation Committee had not identified specific performance targets relating to the individual recipients’ achievement of strategic objectives for the remainder of the subjective awards. As such, these awards do not have either a service inception or a grant date for GAAP accounting purposes and the Company recorded no compensation cost with respect to this portion of the performance-based RSUs during the three months ended March 31, 2021 and 2020. In June 2019 and 2020, the Company issued 11,500 and 26,817 RSUs, respectively, to the Company’s independent directors. These awards vest in full on the earlier of one year from the grant date or the first annual meeting of stockholders that occurs after the grant date, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting date. The Company estimated the grant date fair value of these RSUs using the average market price of the Company’s common stock on the date of grant. During the year ended December 31, 2020, the Company issued an aggregate of 157,943 RSUs to the Company’s executive officers, other employees and directors under the Equity Incentive Plan. These awards vest over a period of up to four years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates. During the three months ended March 31, 2021, the Company issued 102,156 RSUs to the Company’s executive officers, other employees and directors under the Equity Incentive Plan. These awards vest over a period of up to four years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates. The following table presents information about the Company’s RSUs for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Compensation cost recognized in general and administrative expense $ 836 $ 614 Dividend equivalents declared and charged directly to distributions in excess of cumulative earnings 64 19 Fair value of units vested during the period 454 — The following table presents information about the Company’s RSUs as of the dates presented: (Dollars in thousands) March 31, December 31, Total unrecognized compensation cost $ 10,795 $ 5,261 Weighted average period over which compensation cost will be recognized (in years) 2.9 2.4

Net Income Per Share

Net Income Per Share	3 Months Ended
	Mar. 31, 2021
Earnings Per Share [Abstract]
Net Income Per Share	Net Income Per Share The Company computes net income per share pursuant to the guidance in the FASB ASC Topic 260, Earnings Per Share . The guidance requires the classification of the Company’s unvested restricted common stock and units, which contain rights to receive non-forfeitable dividends or dividend equivalents, as participating securities requiring the two-class method of computing net income per share. Diluted net income per share of common stock further considers the effect of potentially dilutive shares of common stock outstanding during the period, including the assumed vesting of restricted share units with a market-based or service-based vesting condition, where dilutive. The OP Units held by non-controlling interests represent potentially dilutive securities as the OP Units may be redeemed for cash or, at the Company’s election, exchanged for shares of the Company’s common stock on a one-for-one basis. The following is a reconciliation of the numerator and denominator used in the computation of basic and diluted net income per share (dollars in thousands): Three months ended March 31, (dollar amounts in thousands) 2021 2020 Numerator for basic and diluted earnings per share: Net income $ 15,375 $ 14,043 Less: net income attributable to non-controlling interests (80) (84) Less: net income allocated to unvested restricted common stock and RSUs (119) (130) Net income available for common stockholders: basic 15,176 13,829 Net income attributable to non-controlling interests 80 84 Net income available for common stockholders: diluted $ 15,256 $ 13,913 Denominator for basic and diluted earnings per share: Weighted average common shares outstanding 107,217,918 90,805,301 Less: weighted average number of shares of unvested restricted common stock (231,610) (482,899) Weighted average shares outstanding used in basic net income per share 106,986,308 90,322,402 Effects of dilutive securities: (1) OP Units 553,847 553,847 Unvested restricted common stock and RSUs 515,586 456,048 Weighted average shares outstanding used in diluted net income per share 108,055,741 91,332,297 _____________________________________ (1) For the three months ended March 31, 2021 and 2020, excludes the impact of 100,663 and 65,312 unvested restricted stock units, respectively, as the effect would have been antidilutive.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies As of March 31, 2021, the Company had remaining future commitments under mortgage notes, reimbursement obligations or similar arrangements to fund $14.8 million to its tenants for development, construction and renovation costs related to properties leased from the Company. Litigation and Regulatory Matters In the ordinary course of business, the Company may become subject to litigation, claims and regulatory matters. There are no material legal or regulatory proceedings pending or known to be contemplated against the Company or its properties. Environmental Matters In connection with the ownership of real estate, the Company may be liable for costs and damages related to environmental matters. As of March 31, 2021, the Company had not been notified by any governmental authority of any non-compliance, liability or other claim, and is not aware of any other environmental condition that it believes will have a material adverse effect on the Company’s business, financial condition, results of operations or liquidity. Defined Contribution Retirement Plan The Company has a defined contribution retirement savings plan qualified under Section 401(a) of the Code (the “401(k) Plan”). The 401(k) Plan is available to all of the Company’s full-time employees. The Company provides a matching contribution in cash equal to 100% of the first 5% of eligible compensation contributed by participants which vests immediately. The following table presents the matching contributions made by the Company for the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 401(k) matching contributions $ 91 $ 86 Employment Agreements The Company has employment agreements with its executive officers. These employment agreements have an initial term of four years, with automatic one year extensions unless notice of non-renewal is provided by either party. These agreements provide for initial annual base salaries and an annual performance bonus. If an executive officer’s employment terminates under certain circumstances, the Company would be liable for any annual performance bonus awarded for the year prior to termination, to the extent unpaid, continued payments equal to 12 months of base salary, monthly reimbursement for 12 months of COBRA premiums, and under certain situations, a pro rata bonus for the year of termination.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements GAAP establishes a hierarchy of valuation techniques based on the observability of inputs used in measuring financial instruments at fair value. GAAP establishes market-based or observable inputs as the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs. The determination of where an asset or liability falls in the hierarchy requires significant judgment and considers factors specific to the asset or liability. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company evaluates its hierarchy disclosures regularly and, depending on various factors, it is possible that an asset or liability may be classified differently from period to period. However, the Company expects that changes in classifications between levels will be rare. In addition to the disclosures for assets and liabilities required to be measured at fair value at the balance sheet date, companies are required to disclose the estimated fair values of all financial instruments, even if they are not presented at their fair value on the consolidated balance sheet. The fair values of financial instruments are estimates based upon market conditions and perceived risks as of March 31, 2021 and December 31, 2020. These estimates require management’s judgment and may not be indicative of the future fair values of the assets and liabilities. Financial assets and liabilities for which the carrying values approximate their fair values include cash and cash equivalents, restricted cash, accounts receivable included within prepaid expenses and other assets, dividends payable and accrued liabilities and other payables. Generally, these assets and liabilities are short term in duration and their carrying value approximates fair value on the consolidated balance sheets. The estimated fair values of the Company’s fixed-rate loans receivable have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. The Company believes the carrying value of its fixed-rate loans receivable approximates fair value. The estimated fair values of the Company’s borrowings under the Revolving Credit Facility, the April 2019 Term Loan and the November 2019 Term Loan have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. The Company believes the carrying value of its borrowings under the Revolving Credit Facility, the April 2019 Term Loan and the November 2019 Term Loan as of March 31, 2021 and December 31, 2020 approximate fair value. The estimated fair values of the Company’s secured borrowings have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. As of March 31, 2021, the Company’s secured borrowings had an aggregate carrying value of $172.2 million (excluding net deferred financing costs of $2.0 million) and an estimated fair value of $176.1 million. As of December 31, 2020, the Company’s secured borrowings had an aggregate carrying value of $173.2 million (excluding net deferred financing costs of $2.2 million) and an estimated fair value of $176.4 million. The Company measures its derivative financial instruments at fair value on a recurring basis. The fair values of the Company’s derivative financial instruments were determined using widely accepted valuation techniques, including discounted cash flow analyses on the expected cash flows of the derivative financial instruments. This analysis reflected the contractual terms of the derivatives, including the period to maturity, and used observable market-based inputs, including interest rate market data and implied volatilities in such interest rates. While it was determined that the majority of the inputs used to value the derivatives fall within Level 2 of the fair value hierarchy under authoritative accounting guidance, the credit valuation adjustments associated with the derivatives also utilized Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default. However, as of March 31, 2021 and December 31, 2020, the significance of the impact of the credit valuation adjustments on the overall valuation of the derivative financial instruments was assessed and it was determined that these adjustments were not significant to the overall valuation of the derivative financial instruments. As a result, it was determined that the derivative financial instruments in their entirety should be classified in Level 2 of the fair value hierarchy. As of March 31, 2021 and December 31, 2020, the Company estimated the fair value of its interest rate swap contracts to be a $20.9 million liability and a $38.9 million liability, respectively. The Company measures its real estate investments at fair value on a nonrecurring basis. The fair values of these real estate investments were determined using the following input levels as of the dates presented: Net Carrying Value Fair Value Measurements Using Fair Value Hierarchy (in thousands) Fair Value Level 1 Level 2 Level 3 March 31, 2021 Non-financial assets: Long-lived assets $ 9,506 $ 9,506 $ — $ — $ 9,506 December 31, 2020 Non-financial assets: Long-lived assets $ 4,754 $ 4,754 $ — $ — $ 4,754 Long Lived Assets The Company reviews its investments in real estate when events or circumstances change indicating that the carrying amount of an asset may not be recoverable. In the evaluation of an investment in real estate for impairment, many factors are considered, including estimated current and expected operating cash flows from the asset during the projected holding period, costs necessary to extend the life or improve the asset, expected capitalization rates, projected stabilized net operating income, selling costs, and the ability to hold and dispose of the asset in the ordinary course of business. Quantitative information about Level 3 fair value measurements as of March 31, 2021 is as follows: (dollar amounts in thousands) Fair Value Valuation Techniques Significant Unobservable Inputs Non-financial assets: Long-lived assets: Medical/Dental - Daingerfield, TX $ 1,600 Sales comparison approach Non-binding sales contract $ 1,600 Vacant - San Antonio, TX 25 Sales comparison approach Binding sales contract 25 Vacant - Stevensville, MI 1,025 Sales comparison approach Non-binding sales contract 1,025 Restaurant - Family Dining - Soperton, GA 543 Sales comparison approach Comparable sales prices 543 Restaurant - Family Dining - Gray, GA 493 Sales comparison approach Comparable sales prices 493 Restaurant - Family Dining - Sandersville, GA 587 Sales comparison approach Comparable sales prices 587 Restaurant - Family Dining - Barnesville, GA 238 Sales comparison approach Comparable sales prices 238 Vacant - Deming, NM 548 Discounted cash flow approach Terminal Value: 8.0% Discount Rate: 8.5% 548 Home Furnishings - Battle Creek, MI 4,446 Discounted cash flow approach Terminal Value: 8.0% Discount Rate: 8.5% 4,446

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2021
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events The Company has evaluated all events and transactions that occurred after March 31, 2021 through the filing of this Quarterly Report on Form 10-Q and determined that there have been no events that have occurred that would require adjustment to disclosures in the consolidated financial statements except as disclosed below. April 2021 Equity Offering In April 2021, the Company completed a follow-on offering of 8,222,500 shares of its common stock, including 1,072,500 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at a public offering price of $23.50 per share. The Company used a portion of the proceeds from this offering to repay the $138.0 million principal that was outstanding on the Revolving Credit Facility as of March 31, 2021. Acquisition and Disposition Activity Subsequent to March 31, 2021, the Company invested in 19 real estate properties for an aggregate investment amount (including acquisition-related costs) of $45.6 million. Subsequent to March 31, 2021, the Company sold or transferred its investment in 4 real estate properties for an aggregate gross sales price of $4.8 million and incurred $0.3 million of disposition costs related to these transactions.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Basis of Accounting	Basis of Accounting The accompanying unaudited consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and with the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). In the opinion of management, all adjustments of a normal recurring nature necessary for a fair presentation of such financial statements have been
Reclassification	Reclassification Certain amounts previously reported in the consolidated statements of operations have been reclassified to conform with the current period by presenting interest expense as a component of other (expense)/income.
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and subsidiaries in which the Company has a controlling financial interest. All intercompany accounts and transactions have been eliminated in consolidation. As of March 31, 2021 and December 31, 2020, the Company, directly and indirectly, held a 99.5% ownership interest in the Operating Partnership and the consolidated financial statements include the financial statements of the Operating Partnership as of these dates. See Note 7—Equity for changes in the ownership interest in the Operating Partnership.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires 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 revenue and expenses during the reporting period. Actual results could differ from those estimates.
Reportable Segments	Reportable Segments ASC Topic 280, Segment Reporting, establishes standards for the manner in which enterprises report information about operating segments. Substantially all of the Company’s investments, at acquisition, are comprised of real estate owned that is leased to tenants on a long-term basis or real estate that secures the Company's investment in loans and direct financing receivables. Therefore, the Company aggregates these investments for reporting purposes and operates in one reportable segment.
Real Estate Investments	Real Estate Investments Investments in real estate are carried at cost less accumulated depreciation and impairment losses. The cost of investments in real estate reflects their purchase price or development cost. The Company evaluates each acquisition transaction to determine whether the acquired asset meets the definition of a business. Under Accounting Standards Update (“ASU”) 2017-1, Business Combinations (Topic 805): Clarifying the Definition of a Business , an acquisition does not qualify as a business when there is no substantive process acquired or substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets or the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort or delay. Transaction costs related to acquisitions that are asset acquisitions are capitalized as part of the cost basis of the acquired assets, while transaction costs for acquisitions that are deemed to be acquisitions of a business are expensed as incurred. Improvements and replacements are capitalized when they extend the useful life or improve the productive capacity of the asset. Costs of repairs and maintenance are expensed as incurred. The Company allocates the purchase price of acquired properties accounted for as asset acquisitions to tangible and identifiable intangible assets or liabilities based on their relative fair values. Tangible assets may include land, site improvements and buildings. Intangible assets may include the value of in-place leases and above- and below-market leases and other identifiable intangible assets or liabilities based on lease or property specific characteristics. The Company incurs various costs in the leasing and development of its properties. Amounts paid to tenants that incentivize them to extend or otherwise amend an existing lease or to sign a new lease agreement are capitalized to lease incentives on the Company’s consolidated balance sheets. Tenant improvements are capitalized to building and improvements within the Company’s consolidated balance sheets. Costs incurred which are directly related to properties under development, which include pre-construction costs essential to the development of the property, development costs, construction costs, interest costs and real estate taxes and insurance, are capitalized during the period of development as construction in progress. After the determination is made to capitalize a cost, it is allocated to the specific component of a project that benefited. Determination of when a development project commences, and capitalization begins, and when a development project has reached substantial completion, and is available for occupancy and capitalization must cease, involves a degree of judgment. The Company does not engage in speculative real estate development. The Company does, however, opportunistically agree to reimburse certain of its tenants for development costs at its properties in exchange for contractually specified rent that generally increases proportionally with its funding. The fair value of the tangible assets of an acquired property with an in-place operating lease is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to the tangible assets based on the fair value of the tangible assets. The fair value of in-place leases is determined by considering estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases based on the specific characteristics of each tenant’s lease. The Company estimates the cost to execute leases with terms similar to the remaining lease terms of the in-place leases, including leasing commissions, legal and other related expenses. Factors the Company considers in this analysis include an estimate of the carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses, and estimates of lost rentals at market rates during the expected lease-up periods, which primarily range from six 12 months. The fair value of above- or below-market leases is recorded based on the net present value (using a discount rate that reflects the risks associated with the leases acquired) of the difference between the contractual amount to be paid pursuant to the in-place lease and the Company’s estimate of the fair market lease rate for the corresponding in-place lease, measured over the remaining non-cancelable term of the lease including any below-market fixed rate renewal options for below-market leases. In making estimates of fair values for purposes of allocating purchase price, the Company uses a number of sources, including real estate valuations prepared by independent valuation firms. The Company also considers information and other factors including market conditions, the industry that the tenant operates in, characteristics of the real estate (e.g., location, size, demographics, value and comparative rental rates), tenant credit profile and the importance of the location of the real estate to the operations of the tenant’s business. Additionally, the Company considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the fair value of the tangible and intangible assets acquired. The Company uses the information obtained as a result of its pre-acquisition due diligence as part of its consideration of the accounting standard governing asset retirement obligations and, when necessary, will record an asset retirement obligation as part of the purchase price allocation. Real estate investments that are intended to be sold are designated as “held for sale” on the consolidated balance sheets at the lesser of carrying amount and fair value less estimated selling costs. Real estate investments are no longer depreciated when they are classified as held for sale. If the disposal, or intended disposal, of certain real estate investments represents a strategic shift that has had or will have a major effect on the Company’s operations and financial results, the operations of such real estate investments would be presented as discontinued operations in the consolidated statements of operations for all applicable periods.
Depreciation and Amortization	Depreciation and Amortization Depreciation is computed using the straight-line method over the estimated useful lives of up to 40 years for buildings and 15 years for site improvements. The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Depreciation on real estate investments $ 13,739 $ 11,304 Lease incentives are amortized on a straight-line basis as a reduction of rental income over the remaining non-cancellable terms of the respective leases. If a tenant terminates its lease, the unamortized portion of the lease incentive is charged to rental revenue. Construction in progress is not depreciated until the development has reached substantial completion. Tenant improvements are depreciated over the non-cancellable term of the related lease or their estimated useful life, whichever is shorter. Capitalized above-market lease intangibles are amortized on a straight-line basis as a reduction of rental revenue over the remaining non-cancellable terms of the respective leases. Capitalized below-market lease intangibles are accreted on a straight-line basis as an increase to rental revenue over the remaining non-cancellable terms of the respective leases including any below-market fixed rate renewal option periods. Capitalized above-market ground lease values are accreted as a reduction of property expenses over the remaining terms of the respective leases. Capitalized below-market ground lease values are amortized as an increase to property expenses over the remaining terms of the respective leases and any expected below-market renewal option periods where renewal is considered probable. The value of in-place leases, exclusive of the value of above-market and below-market lease intangibles, is amortized to depreciation and amortization expense on a straight-line basis over the remaining periods of the respective leases. If a tenant terminates its lease, the unamortized portion of each intangible, including in-place lease values, is charged to depreciation and amortization expense, while above- and below-market lease adjustments are recorded within rental revenue in the consolidated statements of operations.
Loans Receivable	Loans ReceivableThe Company holds its loans receivable for long-term investment. Loans receivable are carried at amortized cost, including related unamortized discounts or premiums, if any, less the Company's estimated allowance for loan losses. The Company recognizes interest income on loans receivable using the effective-interest method applied on a loan-by-loan basis. Direct costs associated with originating loans are offset against any related fees received and the balance, along with any premium or discount, is deferred and amortized as an adjustment to interest income over the term of the related loan receivable using the effective-interest method.
Direct Financing Lease Receivables and Adjustment to Rental Revenue	Direct Financing Lease Receivables Certain of the Company’s real estate investment transactions are accounted for as direct financing leases. The Company records the direct financing lease receivables at their net investment, determined as the aggregate minimum lease payments and the estimated non-guaranteed residual value of the leased property less unearned income. The unearned income is recognized over the term of the related lease so as to produce a constant rate of return on the net investment in the asset. The Company’s investment in direct financing lease receivables is reduced over the applicable lease term to its non-guaranteed residual value by the portion of rent allocated to the direct financing lease receivables. Subsequent to the adoption of ASC 842, Leases (“ASC 842”) in January 2019, the Company's existing direct financing lease receivables have been accounted for in the same manner, unless the underlying contracts have been modified. If and when an investment in direct financing lease receivables is identified for impairment evaluation, the Company will apply the guidance in both ASC 310, Receivables (“ASC 310”) and ASC 842. Under ASC 310, the lease receivable portion of the net investment in a direct financing lease receivable is evaluated for impairment when it becomes probable the Company, as the lessor, will be unable to collect all rental payments associated with the Company’s investment in the direct financing lease receivable. Under ASC 842, the Company reviews the estimated non-guaranteed residual value of a leased property at least annually. If the review results in a lower estimate than had been previously established, the Company determines whether the decline in estimated non-guaranteed residual value is other than temporary. If a decline is judged to be other than temporary, the accounting for the transaction is revised using the changed estimate and the resulting reduction in the net investment in direct financing lease receivables is recognized by the Company as a loss in the period in which the estimate is changed. As of March 31, 2021 and December 31, 2020, the Company determined that none of its direct financing lease receivables were impaired. Adjustment to Rental Revenue The Company continually reviews receivables related to rent and unbilled rent receivables and determines collectability by taking into consideration the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located. If the assessment of the collectability of substantially all payments due under a lease changes from probable to not probable, any difference between the rental revenue recognized to date and the lease payments that have been collected is recognized as a current period reduction of rental revenue in the consolidated statements of operations.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets If circumstances indicate that the carrying value of a property may not be recoverable, the Company reviews the property for impairment. This review is based on an estimate of the future undiscounted cash flows,
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents includes cash in the Company’s bank accounts. The Company considers all cash balances and highly liquid investments with original maturities of three months or less to be cash and cash equivalents. The Company deposits cash with high quality financial institutions. These deposits are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to an insurance limit. As of March 31, 2021 and December 31, 2020, the Company had deposits of $42.8 million and $26.6 million, respectively, of which $42.6 million and $26.4 million, respectively, were in excess of the amount insured by the FDIC. Although the Company bears risk with respect to amounts in excess of those insured by the FDIC, it does not anticipate any losses as a result.
Restricted Cash	Restricted Cash Restricted cash primarily consists of cash held with the trustee for the Company’s Master Trust Funding Program (as defined in Note 5—Long Term Debt). This restricted cash is used to make principal and interest payments on the Company’s secured borrowings, to pay trust expenses and to invest in future real estate investments which will be pledged as collateral under the Master Trust Funding Program. See Note 5—Long Term Debt for further discussion.
Deferred Financing Costs	Deferred Financing Costs Financing costs related to establishing the Company’s 2018 Credit Facility and Revolving Credit Facility (as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the facility and are reported as a component of rent receivables, prepaid expenses and other assets, net on the consolidated balance sheets. Financing costs related to the issuance of the Company’s secured borrowings under the Master Trust Funding Program, the April 2019 Term Loan and the November 2019 Term Loan (each as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the related debt instrument and are reported as a reduction of the related debt balance on the consolidated balance sheets.
Derivative Instruments	Derivative Instruments In the normal course of business, the Company uses derivative financial instruments, which may include interest rate swaps, caps, options, floors and other interest rate derivative contracts, to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability in cash flows on a portion of the Company’s floating-rate debt. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. The Company records all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may also enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The accounting for subsequent changes in the fair value of these derivatives depends on whether each has been designed and qualifies for hedge accounting treatment. If a derivative is designated and qualifies for cash flow hedge accounting treatment, the change in the estimated fair value of the derivative is recorded in other comprehensive income (loss) in the consolidated statements of comprehensive income to the extent that it is effective. Any ineffective portion of a change in derivative fair value is immediately recorded in earnings. If the Company elects not to apply hedge accounting treatment (or for derivatives that do not qualify as hedges), any change in the fair value of such derivative instruments would be recognized immediately as a gain or loss on derivative instruments in the consolidated statements of operations.
Fair Value Measurement	Fair Value Measurement The Company estimates fair value of financial and non-financial assets and liabilities based on the framework established in fair value accounting guidance. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The hierarchy described below prioritizes inputs to the valuation techniques used in measuring the fair value of assets and liabilities. This hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring the most observable inputs to be used when available. The hierarchy is broken down into three levels based on the reliability of inputs as follows: • Level 1—Quoted prices in active markets for identical assets and liabilities that the Company has the ability to access at the measurement date. • Level 2—Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability. • Level 3—Unobservable inputs that reflect the Company’s own assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques.
Revenue Recognition	Revenue Recognition The Company’s rental revenue is primarily rent received from tenants. Rent from tenants is recorded in accordance with the terms of each lease on a straight-line basis over the non-cancellable initial term of the lease from the later of the date of the commencement of the lease and the date of acquisition of the property subject to the lease. Rental revenue recognition begins when the tenant controls the space and continues through the term of the related lease. Because substantially all of the leases provide for rental increases at specified intervals, the Company records a straight-line rent receivable and recognizes revenue on a straight-line basis through the expiration of the non-cancelable term of the lease. The Company considers whether the collectability of rents is reasonably assured in determining the amount of straight-line rent to record. Generally, the Company’s leases provide the tenant with one or more multi-year renewal options, subject to generally the same terms and conditions provided under the initial lease term, including rent increases. If economic incentives make it reasonably certain that an option period to extend the lease will be exercised, the Company will include these options in determining the non-cancelable term of the lease. The Company defers rental revenue related to lease payments received from tenants in advance of their due dates. These amounts are presented within accrued liabilities and other payables on the Company’s consolidated balance sheets.
Offering Costs	Offering Costs In connection with the completion of equity offerings, the Company incurs legal, accounting and other offering-related costs. Such costs are deducted from the gross proceeds of each equity offering when the offering is completed. As of March 31, 2021 and December 31, 2020, the Company capitalized a total of $68.4 million and $67.2 million, respectively, of such costs in the Company’s consolidated balance sheets. These costs are presented as a reduction of additional paid-in capital as of March 31, 2021 and December 31, 2020.
Income Taxes	Income Taxes The Company elected and qualified to be taxed as a REIT under sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the "Code"), commencing with its taxable year ended December 31, 2018. REITs are subject to a number of organizational and operational requirements, including a requirement that 90% of ordinary “REIT taxable income” (as determined without regard to the dividends paid deduction or net capital gains) be distributed. As a REIT, the Company will generally not be subject to U.S. federal income tax to the extent that it meets the organizational and operational requirements and its distributions equal or exceed REIT taxable income. For the period subsequent to the effective date of its REIT election, the Company continues to meet the organizational and operational requirements and expects distributions to exceed REIT taxable income. Accordingly, no provision has been made for U.S. federal income taxes. Even though the Company has elected and qualifies for taxation as a REIT, it may be subject to state and local income and franchise taxes, and to federal income and excise tax on its undistributed income. Franchise taxes and federal excise taxes on the Company’s undistributed income, if any, are included in general and administrative expenses on the accompanying consolidated statements of operations. Additionally, taxable income from non-REIT activities managed through the Company's taxable REIT subsidiary is subject to federal, state, and local taxes. The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in such jurisdictions. The Company follows a two-step process to evaluate uncertain tax positions. Step one, recognition, occurs when an entity concludes that a tax position, based solely on its technical merits, is more-likely-than-not to be sustained upon examination. Step two, measurement, determines the amount of benefit that is more-likely-than-not to be realized upon settlement. Derecognition of a tax position that was previously recognized would occur when the Company subsequently determines that a tax position no longer meets the more-likely-than-not threshold of being sustained. The use of a valuation allowance as a substitute for derecognition of tax positions is prohibited. As of March 31, 2021 and December 31, 2020, the Company had no accruals recorded for uncertain tax positions. The Company’s policy is to classify interest expense and penalties relating to taxes in general and administrative expense in the consolidated statements of operations. During the three months ended March 31, 2021 and 2020, the Company recorded de minimis interest or penalties relating to taxes, and there were no interest or penalties with respect to taxes accrued as of March 31, 2021 or December 31, 2020. The 2020, 2019, 2018 and 2017 taxable years remain open to examination by federal and/or state taxing jurisdictions to which the Company is subject.
Equity Based Compensation	Equity-Based Compensation The Company grants shares of restricted common stock and restricted share units (“RSUs”) to its directors, executive officers and other employees that vest over specified time periods, subject to the recipient’s continued service. The Company also grants performance-based RSUs to its executive officers, the final number of which is determined based on objective and subjective performance conditions and which vest over a multi-year period, subject to the recipient’s continued service. The Company accounts for the restricted common stock and RSUs in accordance with ASC 718, Compensation – Stock Compensation, which requires that such compensation be recognized in the financial statements based on its estimated grant-date fair value. The value of such awards is recognized as compensation expense in general and administrative expenses in the accompanying consolidated statements of operations over the applicable service periods. The Company recognizes compensation expense for equity-based compensation using the straight-line method based on the terms of the individual grant. Forfeitures of equity-based compensation awards, if any, are recognized when they occur.
Variable Interest Entities	Variable Interest Entities The Financial Accounting Standards Board (“FASB”) provides guidance for determining whether an entity is a variable interest entity (a “VIE”). VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. A VIE is required to be consolidated by its primary beneficiary, which is the party that (i) has the power to control the activities that most significantly impact the VIE’s economic performance and (ii) has the obligation to absorb losses, or the right to receive benefits, of the VIE that could potentially be significant to the VIE. The Company has concluded that the Operating Partnership is a VIE of which the Company is the primary beneficiary, as the Company has the power to direct the activities that most significantly impact the economic performance of the Operating Partnership. Substantially all of the Company’s assets and liabilities are held by the Operating Partnership. The assets and liabilities of the Operating Partnership are consolidated and reported as assets and liabilities on the Company’s consolidated balance sheets as of March 31, 2021 and December 31, 2020. Additionally, the Company has concluded that certain entities to which it has provided mortgage loans are VIEs because the entities' equity was not sufficient to finance their activities without additional subordinated financial support. The following table presents information about the Company’s mortgage loan-related VIEs as of the dates presented: (Dollars in thousands) March 31, December 31, Number of VIEs 11 11 Aggregate carrying value $ 117,572 $ 117,578 The Company was not the primary beneficiary of any of these entities, because the Company did not have the power to direct the activities that most significantly impact the entities’ economic performance as of March 31, 2021 and December 31, 2020. The Company’s maximum exposure to loss in these entities is limited to
Recent Accounting Developments	Recent Accounting Developments In February 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) establishing ASC 326, as amended by subsequent ASUs on the topic. ASU 2016-13 is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2019. The Company adopted this guidance on January 1, 2020 and recorded estimates of expected loss on its loans and direct financing lease receivable portfolio beginning on that date, as discussed above. In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities (“ASU 2017-12”), which amends and simplifies existing guidance in order to allow companies to more accurately present the economic effects of risk management activities in the financial statements. The Company adopted ASU 2017-12 while accounting for its initial interest rate swaps in 2019 (see Note 6—Derivative and Hedging Activities). As the Company did not have other derivatives outstanding at time of adoption, no prior period adjustments were required. Pursuant to the provisions of ASU 2017-12, the Company is no longer required to separately measure and recognize hedge ineffectiveness. Instead, the Company recognizes the entire change in the fair value of cash flow hedges included in the assessment of hedge effectiveness in other comprehensive (loss) income. The amounts recorded in other comprehensive (loss) income will subsequently be reclassified to earnings when the hedged item affects earnings. The adoption of ASU 2017-12 did not have a material impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement: Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”), which changes the disclosure requirements for fair value measurements by removing, adding and modifying certain disclosures. ASU 2018-13 is effective for annual periods beginning after December 15, 2019, with early adoption permitted. The Company adopted this guidance on January 1, 2020 and the adoption of ASU 2018-13 did not have a material impact on the Company’s related disclosures. In March 2020, the FASB issued ASU 2020-4, Reference Rate Reform (Topic 848) (“ASU 2020-4”). ASU 2020-4 contains practical expedients for reference rate reform related activities that impact debt, leases, derivatives and other contracts. The guidance in ASU 2020-4 is optional and may be elected over time as reference rate reform activities occur. During the first quarter of 2020, the Company elected to apply the hedge accounting expedients related to probability and the assessments of effectiveness for future LIBOR-indexed cash flows to assume that the index upon which future hedged transactions will be based matches the index on the corresponding derivatives. Application of these expedients preserves the presentation of derivatives consistent with past presentation. The Company continues to evaluate the impact of the guidance and may apply other elections as applicable as additional changes in the market occur. In April 2020, the FASB staff issued a question and answer document (the “Lease Modification Q&A”) focused on the application of lease accounting guidance to lease concessions provided as a result of the COVID-19 pandemic. Under existing lease guidance, the entity would have to determine, on a lease by lease basis, if a lease concession was the result of a new arrangement reached with the tenant, which would be accounted for under the lease modification framework, or if a lease concession was under the enforceable rights and obligations that existed in the original lease, which would be accounted for outside the lease modification framework. The Lease Modification Q&A provides entities with the option to elect to account for lease concessions as though the enforceable rights and obligations existed in the original lease. This election is only available when total cash flows resulting from the modified lease are substantially similar to or less than the cash flows in the original lease. The Company made this election and accounts for rent deferrals by increasing its rent receivables as receivables accrue and continuing to recognize income during the deferral period. Lease concessions or amendments other than rent deferrals are evaluated to determine if a substantive change to the consideration in the original lease contract has occurred and should be accounted for as a lease modification. The Company continues to evaluate any amounts recognized for collectability, regardless of whether accounted for as a lease modification or not, and records an adjustment to rental revenue for amounts that are not probable of collection. For lease concessions granted in conjunction with the COVID-19 pandemic, the Company reviewed all amounts recognized on a tenant-by-tenant basis for collectability.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Schedule of Depreciation Expense and Impairment on Real Estate Investments	The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Depreciation on real estate investments $ 13,739 $ 11,304
Details of Impairment of Long-Lived Assets	The Company recorded the following provisions for impairment of long lived assets during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Provision for impairment of real estate $ 5,722 $ 373
Adjustments to Rental Revenue and Contingent Rent	The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Contingent rent $ 169 $ 201 The Company recorded the following amounts as adjustments to rental revenue during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Adjustment to rental revenue $ 85 $ 600 The fixed and variable components of lease revenues for the three months ended March 31, 2021 and 2020 were as follows: Three months ended March 31, (in thousands) 2021 2020 Fixed lease revenues $ 46,089 $ 40,403 Variable lease revenues (1) 623 366 Total lease revenues (2) $ 46,712 $ 40,769 _____________________________________ (1) Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants. (2) Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.
Schedule of Mortgage Loan-Related VIEs	The following table presents information about the Company’s mortgage loan-related VIEs as of the dates presented: (Dollars in thousands) March 31, December 31, Number of VIEs 11 11 Aggregate carrying value $ 117,572 $ 117,578

Investments (Tables)

Investments (Tables)	3 Months Ended
	Mar. 31, 2021
Investments [Abstract]
Schedule of Real Estate Properties	The following table presents information about the Company’s real estate investment portfolio as of each date presented: March 31, December 31, Owned properties (1) 1,103 1,056 Properties securing investments in mortgage loans (2) 127 115 Ground lease interests (3) 10 10 Total number of investments 1,240 1,181 _____________________________________ (1) Includes 11 properties which are subject to leases accounted for as direct financing leases or loans as of March 31, 2021 and December 31, 2020. (2) Properties secure 10 and eight mortgage loans receivable as of March 31, 2021 and December 31, 2020, respectively. (3) Includes one building which is subject to a lease accounted for as a direct financing lease as of March 31, 2021 and December 31, 2020.
Schedule of Real Estate Investment Property, at Cost	The following table presents information about the Company’s gross investment portfolio as of each date presented: (in thousands) March 31, December 31, Real estate investments, at cost $ 2,523,409 $ 2,359,395 Loans and direct financing lease receivables, net 176,025 152,220 Real estate investments held for sale, net — 17,058 Total gross investments $ 2,699,434 $ 2,528,673
Schedule of Information about Acquisition Activity	The following table presents information about the Company’s acquisition activity during the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 Ownership type Fee Interest Fee Interest Number of properties 63 61 Purchase price allocation Land and improvements $ 52,126 $ 48,626 Building and improvements 115,904 97,311 Construction in progress (1) 121 3,656 Intangible lease assets 3,510 3,094 Total purchase price 171,661 152,687 Intangible lease liabilities (41) — Purchase price (including acquisition costs) $ 171,620 $ 152,687 _____________________________________
Schedule of Gross Investment Activity	During the three months ended March 31, 2021 and 2020, the Company had the following gross investment activity: (Dollar amounts in thousands) Number of Dollar Gross investments, January 1, 2020 1,000 $ 2,002,314 Acquisitions of and additions to real estate investments 61 160,433 Sales of investments in real estate (10) (19,207) Relinquishment of properties at end of ground lease term (3) (1,931) Provisions for impairment of real estate (1) (373) Investments in loans receivable 2 8,024 Principal collections on and settlements of loans and direct financing lease receivables (66) Other (637) Gross investments, March 31, 2020 2,148,557 Less: Accumulated depreciation and amortization (2) (100,473) Net investments, March 31, 2020 1,050 $ 2,048,084 Gross investments, January 1, 2021 1,181 $ 2,528,673 Acquisitions of and additions to real estate investments 63 177,023 Sales of investments in real estate (16) (23,297) Provisions for impairment of real estate (3) (5,722) Investments in loans receivable 13 23,825 Principal collections on and settlements of loans and direct financing lease receivables (1) (942) Other (126) Gross investments, March 31, 2021 2,699,434 Less: Accumulated depreciation and amortization (2) (150,835) Net investments, March 31, 2021 1,240 $ 2,548,599 _____________________________________ (1) During the three months ended March 31, 2020, the Company identified and recorded provisions for impairment at two vacant properties. (2) Includes $126.5 million and $81.3 million of accumulated depreciation as of March 31, 2021 and 2020, respectively.
Schedule of Loans Receivable	The Company’s loans receivable portfolio as of March 31, 2021 and December 31, 2020 are summarized below (dollars in thousands): Principal Balance Outstanding Loan Type Monthly Payment (1) Number of Secured Properties Effective Interest Rate Stated Interest Rate Maturity Date March 31, December 31, Mortgage (2)(3) I/O 2 8.80% 8.10% 2039 $ 12,000 $ 12,000 Mortgage (3) P+I 2 8.10% 8.10% 2059 6,108 6,114 Mortgage (2) I/O 2 8.53% 7.80% 2039 7,300 7,300 Mortgage (2) I/O 69 8.16% 7.70% 2034 28,000 28,000 Mortgage (2) I/O 18 8.05% 7.50% 2034 37,105 37,105 Mortgage (2) I/O 1 8.42% 7.70% 2040 5,300 5,300 Mortgage (2) I/O 1 7.00% 7.00 % 2021 — 860 Mortgage (2) I/O 3 8.30% 8.25 % 2022 2,324 2,324 Mortgage (2) I/O 19 7.30% 6.80 % 2035 46,000 46,000 Mortgage (2) I/O 1 7.00% 7.00% 2023 600 — Mortgage (2) I/O 1 7.00% 7.00% 2023 360 — Mortgage (2) I/O 11 6.89% 6.75% 2026 23,824 — Leasehold interest P+I 2 10.69% (4) 2039 1,435 1,435 Leasehold interest P+I 1 2.25% (5) 2034 1,095 1,109 Leasehold interest P+I 1 2.41% (5) 2034 1,625 1,645 Leasehold interest P+I 1 4.97% (5) 2038 1,595 1,605 Net investment $ 174,671 $ 150,797 _____________________________________ (1) I/O: Interest Only; P+I: Principal and Interest (2) Loan requires monthly payments of interest only with a balloon payment due at maturity. (3) Loan allows for prepayments in whole or in part without penalty. (4) This leasehold interest is accounted for as a loan receivable, as the lease for two land parcels contains an option for the lessee to repurchase the leased parcels in 2024 or 2025. (5) These leasehold interests are accounted for as loans receivable, as the leases for each property contain an option for the relevant lessee to repurchase the leased property in the future.
Scheduled Principal Payments Due under Loans Receivable	Scheduled principal payments due to be received under the Company’s loans receivable as of March 31, 2021 were as follows: (in thousands) Loans Receivable April 1 - December 31, 2021 $ 156 2022 2,545 2023 1,196 2024 252 2025 268 Thereafter 170,254 Total $ 174,671
Schedule of Direct Financing Lease Receivables	The components of the investments accounted for as direct financing lease receivables were as follows: (in thousands) March 31, December 31, Minimum lease payments receivable $ 3,445 $ 3,529 Estimated unguaranteed residual value of leased assets 270 270 Unearned income from leased assets (1,304) (1,357) Net investment $ 2,411 $ 2,442
Scheduled Future Minimum Non-cancelable Base Rental Payments Under Direct Financing Lease Receivables	Scheduled future minimum non-cancelable base rental payments due to be received under the Company's direct financing lease receivables as of March 31, 2021 were as follows: (in thousands) Future Minimum April 1 - December 31, 2021 $ 256 2022 345 2023 347 2024 289 2025 254 Thereafter 1,954 Total $ 3,445
Summary of Changes to Allowance for Loan Losses	For the three months ended March 31, 2021 and 2020, the changes to the Company's allowance for loan losses were as follows: (in thousands) Loans and Direct Financing Lease Receivables Balance at January 1, 2020 $ — Cumulative-effect adjustment upon adoption of ASC 326 188 Current period provision for expected credit losses (1) 468 Write-offs charged — Recoveries — Balance at March 31, 2020 $ 656 Balance at January 1, 2021 $ 1,018 Current period provision for expected credit losses (1) 38 Write-offs charged — Recoveries — Balance at March 31, 2021 $ 1,056 _____________________________________ (1) The increase in expected credit losses is due to the changes in assumptions regarding current macroeconomic factors related to COVID-19 and our investment in new loans receivable during the period.
Summary of Significant Credit Quality Indicators Measured at Amortized Cost	70% 960 56,844 65,043 — — 692 123,539 $ 24,785 $ 56,844 $ 93,043 $ — $ — $ 2,410 $ 177,082 " id="sjs-B13" xml:space="preserve">The Company considers the ratio of loan to value ("LTV") to be a significant credit quality indicator for its loans and direct financing lease portfolio. The following table presents information about the LTV of the Company's loans and direct financing lease receivables measured at amortized cost as of March 31, 2021: Amortized Cost Basis by Origination Year Total Amortized Costs Basis (in thousands) 2021 2020 2019 2018 2017 Prior LTV <60% $ — $ — $ 28,000 $ — $ — $ 738 $ 28,738 LTV 60%-70% 23,825 — — — — 980 24,805 LTV >70% 960 56,844 65,043 — — 692 123,539 $ 24,785 $ 56,844 $ 93,043 $ — $ — $ 2,410 $ 177,082
Activity in Real Estate Investments and Intangible Lease Liabilities Held for Sale	The following table shows the activity in real estate investments held for sale and intangible lease liabilities held for sale during the three months ended March 31, 2021 and 2020. (Dollar amounts in thousands) Number of Properties Real Estate Investments Intangible Lease Liabilities Net Carrying Value Held for sale balance, January 1, 2020 1 $ 1,211 $ — $ 1,211 Transfers to held for sale classification 3 1,528 — 1,528 Sales (1) (1,211) — (1,211) Transfers to held and used classification — — — — Held for sale balance, March 31, 2020 3 $ 1,528 $ — $ 1,528 Held for sale balance, January 1, 2021 8 $ 17,058 $ — $ 17,058 Transfers to held for sale classification — — — — Sales (4) (3,168) — (3,168) Transfers to held and used classification (4) (13,890) — (13,890) Held for sale balance, March 31, 2021 — $ — $ — $ —
Schedule of External Customers by Geographic Areas	The following table lists the states where the rental revenue from the properties in that state during the periods presented represented 10% or more of total rental revenue in the Company’s consolidated statements of operations: Three months ended March 31, State 2021 2020 Texas 13.3% 11.6% Georgia * 10.2% _____________________________________ * State's rental revenue was not greater than 10% of total rental revenue during the period specified.
Schedule of Intangible Assets and Liabilities	Intangible assets and liabilities consisted of the following as of the dates presented: March 31, 2021 December 31, 2020 (in thousands) Gross Accumulated Net Gross Accumulated Net Intangible assets: In-place leases $ 71,048 $ 20,164 $ 50,884 $ 67,986 $ 18,767 $ 49,219 Intangible market lease assets 11,982 4,122 7,860 12,285 4,059 8,226 Total intangible assets $ 83,030 $ 24,286 $ 58,744 $ 80,271 $ 22,826 $ 57,445 Intangible market lease liabilities $ 12,793 $ 2,747 $ 10,046 $ 12,772 $ 2,604 $ 10,168
Summary of Remaining Weighted Average Amortization Periods for Intangible Assets and Liabilities	The remaining weighted average amortization period for the Company’s intangible assets and liabilities as of March 31, 2021, by category and in total, were as follows: Years Remaining In-place leases 10.7 Intangible market lease assets 13.7 Total intangible assets 11.1 Intangible market lease liabilities 17.2
Summary of Amortization and Accretion Recognized	The following table discloses amounts recognized within the consolidated statements of operations related to amortization of in-place leases, amortization and accretion of above- and below-market lease assets and liabilities, net and the amortization and accretion of above- and below-market ground leases for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Amortization of in-place leases (1) $ 1,638 $1,679 Amortization (accretion) of market lease intangibles, net (2) 18 80 Amortization (accretion) of above- and below-market ground lease intangibles, net (3) (90) 122 _____________________________________ (1) Reflected within depreciation and amortization expense. (2) Reflected within rental revenue. (3) Reflected within property expenses.
Summary of Projected Amortization Expenses for Next Five Years	The following table provides the estimated amortization of in-place lease assets to be recognized as a component of depreciation and amortization expense for the next five years and thereafter: (in thousands) In-Place Lease Assets April 1 - December 31, 2021 $ 5,955 2022 5,816 2023 5,395 2024 4,716 2025 3,662 Thereafter 25,340 Total $ 50,884 The following table provides the estimated net amortization of above- and below-market lease intangibles to be recognized as a component of rental revenue for the next five years and thereafter: (in thousands) Above Market Lease Asset Below Market Lease Liabilities Net Adjustment to Rental Revenue April 1 - December 31, 2021 $ (539) $ 403 $ (136) 2022 (717) 542 (175) 2023 (686) 511 (175) 2024 (653) 508 (145) 2025 (647) 513 (134) Thereafter (4,618) 7,569 2,951 Total $ (7,860) $ 10,046 $ 2,186

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2021
Leases [Abstract]
Scheduled Future Minimum Base Rental Payments due to be Received Under Remaining Non-Cancelable Term of Operating Leases	Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of March 31, 2021 were as follows: (in thousands) Future Minimum Base Rental Receipts April 1 - December 31, 2021 $ 146,932 2022 198,767 2023 201,707 2024 202,815 2025 201,569 Thereafter 2,222,825 Total $ 3,174,615
Components of Fixed and Variable Lease Revenues	The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Contingent rent $ 169 $ 201 The Company recorded the following amounts as adjustments to rental revenue during the periods presented: Three months ended March 31, (in thousands) 2021 2020 Adjustment to rental revenue $ 85 $ 600 The fixed and variable components of lease revenues for the three months ended March 31, 2021 and 2020 were as follows: Three months ended March 31, (in thousands) 2021 2020 Fixed lease revenues $ 46,089 $ 40,403 Variable lease revenues (1) 623 366 Total lease revenues (2) $ 46,712 $ 40,769 _____________________________________ (1) Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants. (2) Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.
Information Related to Measurement of Lease Liabilities	The following table sets forth information related to the measurement of the Company’s lease liabilities as of the dates presented: March 31, December 31, 2020 Weighted average remaining lease term (in years) 22.7 22.4 Weighted average discount rate 6.40% 6.41%
Details of Rent Expense	The following table sets forth the details of rent expense for the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 Fixed rent expense - Ground Rent $ 239 $ 254 Fixed rent expense - Office Rent 128 128 Variable rent expense — — Total rent expense $ 367 $ 382
Summary of Future Lease Payments due from Company Under Ground, Office and Equipment Operating Leases (ASC 842)	As of March 31, 2021, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company’s tenants are directly responsible for payment over the next five years and thereafter were as follows: (in thousands) Office and Equipment Leases Ground Leases Ground Leases Total Future April 1 - December 31, 2021 $ 384 $ 116 $ 607 $ 1,107 2022 522 151 811 1,484 2023 525 131 485 1,141 2024 531 24 436 991 2025 538 — 356 894 Thereafter — — 14,562 14,562 Total $ 2,500 $ 422 $ 17,257 20,179 Present value discount (11,560) Lease liabilities $ 8,619

Long Term Debt (Tables)

Long Term Debt (Tables)	3 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Schedule of Outstanding Indebtedness	The following table summarizes the Company's outstanding indebtedness as of March 31, 2021 and December 31, 2020: Principal Outstanding Weighted Average Interest Rate (in thousands) Maturity Date March 31, December 31, March 31, December 31, Unsecured term loans: April 2019 Term Loan April 2024 $ 200,000 $ 200,000 1.3% 1.4% November 2019 Term Loan November 2026 430,000 430,000 1.6% 1.7% Revolving Credit Facility April 2023 138,000 18,000 1.4% 1.4% Secured borrowings: Series 2017-1 Notes June 2047 172,191 173,193 4.2% 4.2% Total principal outstanding $ 940,191 $ 821,193 2.0% 2.1 % The following table presents information about the Revolving Credit Facility for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Balance on January 1, $ 18,000 $ 46,000 Borrowings 120,000 69,000 Repayments — (50,000) Balance on March 31, $ 138,000 $ 65,000 The following table presents information about interest expense related to the Revolving Credit Facility for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Interest expense $ 395 $ 398 Amortization of deferred financing costs 291 291 Total $ 686 $ 689 The following table presents information about aggregate interest expense related to the April 2019 and November 2019 Term Loan Facilities: Three months ended March 31, (in thousands) 2021 2020 Interest expense $ 2,421 $ 3,415 Amortization of deferred financing costs 178 177 Total $ 2,599 $ 3,592 The following table presents information about interest expense related to the Master Trust Funding Program: Three months ended March 31, (in thousands) 2021 2020 Interest expense $ 1,811 $ 2,126 Amortization of deferred financing costs 156 188 Total $ 1,967 $ 2,314
Summary of Scheduled Principal Payments	The following table summarizes the scheduled principal payments on the Company’s outstanding indebtedness as of March 31, 2021: (in thousands) April 2019 Term Loan November 2019 Term Loan Revolving Credit Facility Secured Borrowings Total April 1 - December 31, 2021 $ — $ — $ — $ 3,082 $ 3,082 2022 — — — 4,292 4,292 2023 — — 138,000 4,512 142,512 2024 200,000 — — 160,305 360,305 2025 — — — — — Thereafter — 430,000 — — 430,000 Total $ 200,000 $ 430,000 $ 138,000 $ 172,191 $ 940,191

Derivative and Hedging Activi_2

Derivative and Hedging Activities (Tables)	3 Months Ended
	Mar. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of Notional Amount and Fair Value of Instruments	The following table summarizes the notional amount at inception and fair value of these instruments on the Company's balance sheet as of March 31, 2021 and December 31, 2020 (dollar amounts in thousands): Fair value of Asset/(Liability) Derivatives Designated as Hedging Instruments (1) Fixed Rate Paid by Company Effective Date Maturity Date Notional Value (2) March 31, December 31, 2020 Interest Rate Swap 2.06% 05/14/2019 04/12/2024 $ 100,000 $ (5,031) $ (6,176) Interest Rate Swap 2.06% 05/14/2019 04/12/2024 50,000 (2,517) (3,089) Interest Rate Swap 2.07% 05/14/2019 04/12/2024 50,000 (2,522) (3,094) Interest Rate Swap 1.61% 12/09/2019 11/26/2026 175,000 (5,401) (11,838) Interest Rate Swap 1.61% 12/09/2019 11/26/2026 50,000 (1,545) (3,396) Interest Rate Swap 1.60% 12/09/2019 11/26/2026 25,000 (755) (1,675) Interest Rate Swap 1.36% 07/09/2020 11/26/2026 100,000 (1,729) (5,353) Interest Rate Swap 1.36% 07/09/2020 11/26/2026 80,000 (1,394) (4,291) $ 630,000 $ (20,894) $ (38,912) _____________________________________ (1) All interest rate swaps have a 1 month LIBOR variable rate paid by the bank. (2) Notional value indicates the extent of the Company’s involvement in these instruments, but does not represent exposure to credit, interest rate or market risks.
Schedule of Accumulated Other Comprehensive Income (Loss)	The following table presents amounts recorded to accumulated other comprehensive gain/loss related to derivative and hedging activities for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Accumulated other comprehensive gain (loss) $ 18,023 $ (38,100)

Equity (Tables)

Equity (Tables)	3 Months Ended
	Mar. 31, 2021
Equity [Abstract]
Schedule of At the Market Program	The following table details information related to activity under the ATM Program for each period presented: Three months ended March 31, (in thousands, except share and per share data) 2021 2020 Shares of common stock sold 2,796,805 253,698 Weighted average sale price per share $ 23.22 $ 24.74 Gross proceeds $ 64,928 $ 6,277 Net proceeds $ 63,891 $ 6,197
Summary of Quarterly Cash Dividends	During the three months ended March 31, 2021 and 2020, the Company’s board of directors declared the following quarterly cash dividends on common stock: Date Declared Record Date Date Paid Dividend per Share of Common Stock Total Dividend March 5, 2021 March 31, 2021 April 15, 2021 $ 0.24 $ 26,265 March 18, 2020 March 31, 2020 April 15, 2020 $ 0.23 $ 21,168

Equity Based Compensation (Tabl

Equity Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2021
Disclosure Of Compensation Related Costs Equity Based Payments [Abstract]
Schedule of Information about RSAs, RSUs and Class B and Class D Units	The following table presents information about the Company’s restricted stock awards ("RSAs"), and restricted stock units ("RSUs") during the three months ended March 31, 2021 and 2020: Restricted Stock Awards Restricted Stock Units Shares Wtd. Avg. Grant Date Fair Value Units Wtd. Avg. Grant Date Fair Value Unvested, January 1, 2020 492,701 $ 13.72 100,814 $ 22.80 Granted — — 135,120 32.13 Vested (10,747) 14.12 — — Forfeited — — — — Unvested, March 31, 2020 481,954 $ 13.71 235,934 $ 28.14 Unvested, January 1, 2021 240,598 $ 13.73 321,602 $ 25.27 Granted — — 196,921 32.37 Vested (9,865) 14.12 (19,614) 23.17 Forfeited — — — — Unvested, March 31, 2021 230,733 $ 13.71 498,909 $ 28.15 The following table presents information about the Company’s RSAs for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Compensation cost recognized in general and administrative expense $ 759 $ 894 Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings 55 111 Fair value of shares vested during the period 139 152 The following table presents information about the Company’s RSUs for the periods presented: Three months ended March 31, (in thousands) 2021 2020 Compensation cost recognized in general and administrative expense $ 836 $ 614 Dividend equivalents declared and charged directly to distributions in excess of cumulative earnings 64 19 Fair value of units vested during the period 454 —
Schedule of Unrecognized Compensation Cost	The following table presents information about the Company’s RSAs as of the dates presented: (Dollars in thousands) March 31, December 31, Total unrecognized compensation cost $ 919 $ 1,678 Weighted average period over which compensation cost will be recognized (in years) 0.6 0.7 The following table presents information about the Company’s RSUs as of the dates presented: (Dollars in thousands) March 31, December 31, Total unrecognized compensation cost $ 10,795 $ 5,261 Weighted average period over which compensation cost will be recognized (in years) 2.9 2.4
Schedule of Assumptions Used in Measurement of Grant Date Fair Value of Total Shareholder Return RSUs Using Monte Carlo Simulation Model	The grant date fair value of the TSR RSUs was measured using a Monte Carlo simulation model based on the following assumptions: Grant Year 2021 2020 2019 Volatility 55% 20% 18% Risk free rate 0.20% 1.61% 2.57%

Net Income Per Share (Tables)

Net Income Per Share (Tables)	3 Months Ended
	Mar. 31, 2021
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following is a reconciliation of the numerator and denominator used in the computation of basic and diluted net income per share (dollars in thousands): Three months ended March 31, (dollar amounts in thousands) 2021 2020 Numerator for basic and diluted earnings per share: Net income $ 15,375 $ 14,043 Less: net income attributable to non-controlling interests (80) (84) Less: net income allocated to unvested restricted common stock and RSUs (119) (130) Net income available for common stockholders: basic 15,176 13,829 Net income attributable to non-controlling interests 80 84 Net income available for common stockholders: diluted $ 15,256 $ 13,913 Denominator for basic and diluted earnings per share: Weighted average common shares outstanding 107,217,918 90,805,301 Less: weighted average number of shares of unvested restricted common stock (231,610) (482,899) Weighted average shares outstanding used in basic net income per share 106,986,308 90,322,402 Effects of dilutive securities: (1) OP Units 553,847 553,847 Unvested restricted common stock and RSUs 515,586 456,048 Weighted average shares outstanding used in diluted net income per share 108,055,741 91,332,297 _____________________________________ (1) For the three months ended March 31, 2021 and 2020, excludes the impact of 100,663 and 65,312 unvested restricted stock units, respectively, as the effect would have been antidilutive.

Commitment and Contingencies (T

Commitment and Contingencies (Tables)	3 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Schedule of Matching Contributions for Defined Contribution Retirement Savings Plan	The following table presents the matching contributions made by the Company for the three months ended March 31, 2021 and 2020: Three months ended March 31, (in thousands) 2021 2020 401(k) matching contributions $ 91 $ 86

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2021
Fair Value Disclosures [Abstract]
Summary of Fair Values of Real Estate Investments Measured at Nonrecurring Basis	The Company measures its real estate investments at fair value on a nonrecurring basis. The fair values of these real estate investments were determined using the following input levels as of the dates presented: Net Carrying Value Fair Value Measurements Using Fair Value Hierarchy (in thousands) Fair Value Level 1 Level 2 Level 3 March 31, 2021 Non-financial assets: Long-lived assets $ 9,506 $ 9,506 $ — $ — $ 9,506 December 31, 2020 Non-financial assets: Long-lived assets $ 4,754 $ 4,754 $ — $ — $ 4,754
Summary of Quantitative Information About Level 3 Fair Value Measurements	Quantitative information about Level 3 fair value measurements as of March 31, 2021 is as follows: (dollar amounts in thousands) Fair Value Valuation Techniques Significant Unobservable Inputs Non-financial assets: Long-lived assets: Medical/Dental - Daingerfield, TX $ 1,600 Sales comparison approach Non-binding sales contract $ 1,600 Vacant - San Antonio, TX 25 Sales comparison approach Binding sales contract 25 Vacant - Stevensville, MI 1,025 Sales comparison approach Non-binding sales contract 1,025 Restaurant - Family Dining - Soperton, GA 543 Sales comparison approach Comparable sales prices 543 Restaurant - Family Dining - Gray, GA 493 Sales comparison approach Comparable sales prices 493 Restaurant - Family Dining - Sandersville, GA 587 Sales comparison approach Comparable sales prices 587 Restaurant - Family Dining - Barnesville, GA 238 Sales comparison approach Comparable sales prices 238 Vacant - Deming, NM 548 Discounted cash flow approach Terminal Value: 8.0% Discount Rate: 8.5% 548 Home Furnishings - Battle Creek, MI 4,446 Discounted cash flow approach Terminal Value: 8.0% Discount Rate: 8.5% 4,446

Organization - Narrative (Detai

Organization - Narrative (Details)	3 Months Ended
	Mar. 31, 2021
Statement of Financial Position [Abstract]
Rent deferral period	24 months

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Additional Information (Details)		3 Months Ended
		Mar. 31, 2021USD ($)segmentlease	Dec. 31, 2020USD ($)loanlease	Mar. 31, 2020USD ($)
Summary Of Significant Accounting Policies [Line Items]
Number of reportable segments | segment		1
Number of leases accounted for as loans receivable | lease		5	5
Number of mortgage loans held for long-term investment | loan			8
Deposits		$ 42,842,000	$ 26,602,000	$ 192,616,000
Deposits in excess of amount insured by FDIC		42,600,000	26,400,000
Capitalized offering costs		68,400,000	67,200,000
Provision for income tax		0
Uncertain tax positions		0	0
Uncertain tax positions, interest and penalties		0	0
Liabilities	[1]	1,008,434,000	906,854,000
Variable Interest Entity, Not Primary Beneficiary | Mortgage Receivable
Summary Of Significant Accounting Policies [Line Items]
Liabilities		$ 0	$ 0
Minimum
Summary Of Significant Accounting Policies [Line Items]
Lease-up period		6 months
Maximum
Summary Of Significant Accounting Policies [Line Items]
Lease-up period		12 months
Operating Partnership Unit
Summary Of Significant Accounting Policies [Line Items]
Percentage of ownership interests in operating partnership		99.50%	99.50%
Buildings
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life		40 years
Site Improvements
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life		15 years
[1]	The Company’s consolidated balance sheets include assets and liabilities of consolidated variable interest entities (“VIEs”). See Note 2 — Summary of Significant Accounting Policies. As of March 31, 2021 and December 31, 2020, all of the assets and liabilities of the Company were held by its operating partnership, Essential Properties, L.P., a consolidated VIE, with the exception of $26.3 million and $25.6 million, respectively, of dividends payable.

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Schedule of Depreciation on Real Estate Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Accounting Policies [Abstract]
Depreciation on real estate investments	$ 13,739	$ 11,304

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Schedule of Provisions for Impairment of Long Lived Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Accounting Policies [Abstract]
Provision for impairment of real estate	$ 5,722	$ 373

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Schedule of Contingent Rent (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Statement of Financial Position [Abstract]
Contingent rent	$ 169	$ 201

Summary of Significant Accoun_8

Summary of Significant Accounting Policies - Adjustment to Rental Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Statement of Financial Position [Abstract]
Adjustment to rental revenue	$ 85	$ 600

Summary of Significant Accoun_9

Summary of Significant Accounting Policies - Schedule of Mortgage Loan-Related VIEs (Details) $ in Thousands	Mar. 31, 2021USD ($)entity	Dec. 31, 2020USD ($)entity
Variable Interest Entity [Line Items]
Loans and direct financing lease receivables, net	$ 176,025	$ 152,220
Mortgage Receivable | Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Number of VIEs | entity	11	11
Loans and direct financing lease receivables, net	$ 117,572	$ 117,578

Investments - Schedule of Real

Investments - Schedule of Real Estate Investment Portfolio (Details) - property	Mar. 31, 2021	Dec. 31, 2020
Investments [Abstract]
Owned properties	1,103	1,056
Properties securing investments in mortgage loans	127	115
Ground lease interests	10	10
Total number of investments	1,240	1,181

Investments - Schedule of Rea_2

Investments - Schedule of Real Estate Investment Portfolio, Footnotes (Details)	Mar. 31, 2021loanproperty	Dec. 31, 2020propertyloan
Investments [Abstract]
Number of properties owned as direct financing receivables	11	11
Number of mortgage loans receivable | loan	10	8
Number of real estate subject to direct financing leases	1	1

Investments - Schedule of Gross

Investments - Schedule of Gross Investments (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020	Mar. 31, 2020	Dec. 31, 2019
Investments [Abstract]
Real estate investments, at cost	$ 2,523,409	$ 2,359,395
Loans and direct financing lease receivables, net	176,025	152,220
Real estate investments held for sale, net	0	17,058	$ 1,528	$ 1,211
Total gross investments	$ 2,699,434	$ 2,528,673	$ 2,148,557	$ 2,002,314

Investments - Additional Inform

Investments - Additional Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)investmentloan	Dec. 31, 2020USD ($)investmentloan	Mar. 31, 2020USD ($)	Dec. 31, 2019USD ($)
Investments [Abstract]
Number of investments | investment	257	258
Investments	$ 364,400	$ 399,700
Number of acquisitions individually represented more than five percentage of total investment activity | investment	0
Number of loan receivable agreements secured | loan	15	13
Aggregate carrying value of loans	$ 174,700	$ 150,800
Credit risk, maximum exposure	174,700
Net investments accounted for as direct financing lease receivables	2,411	2,442
Allowance for loan losses	$ 1,056	$ 1,018	$ 656	$ 0

Investments - Schedule of Infor

Investments - Schedule of Information about Acquisition Activity (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)property	Mar. 31, 2020USD ($)property
Investments [Abstract]
Number of properties | property	63	61
Purchase price allocation
Land and improvements	$ 52,126	$ 48,626
Building and improvements	115,904	97,311
Construction in progress	121	3,656
Intangible lease assets	3,510	3,094
Total purchase price	171,661	152,687
Intangible lease liabilities	(41)	0
Purchase price (including acquisition costs)	$ 171,620	$ 152,687

Investments - Schedule of Inf_2

Investments - Schedule of Information about Acquisition Activity, Footnotes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Investments [Abstract]
Capitalized interest expense	$ 20	$ 100

Investments - Summary of Gross

Investments - Summary of Gross Investment Activity (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)investmentLocation	Mar. 31, 2020USD ($)investmentLocation	Dec. 31, 2020USD ($)
Number of Investment Locations
Beginning balance | investmentLocation	1,181	1,000
Acquisitions of and additions to real estate investments | investmentLocation	63	61
Sales of investments in real estate | investmentLocation	(16)	(10)
Relinquishment of properties at end of ground lease term | investmentLocation		(3)
Investments in loans receivable | investmentLocation	13	2
Principal collections on and settlements of loans and direct financing lease receivables | investmentLocation	(1)
Ending balance | investmentLocation	1,240	1,050
Real Estate Investment Property, at Cost [Roll Forward]
Beginning balance	$ 2,528,673	$ 2,002,314
Acquisitions of and additions to real estate investments	177,023	160,433
Sales of investments in real estate	(23,297)	(19,207)
Relinquishment of properties at end of ground lease term		(1,931)
Provisions for impairment of real estate	(5,722)	(373)
Investments in loans receivable	23,825	8,024
Principal collections on and settlements of loans and direct financing lease receivables	(942)	(66)
Other	(126)	(637)
Ending balance	2,699,434	2,148,557
Less: accumulated depreciation and amortization	(150,835)	(100,473)	$ (136,097)
Net investments	$ 2,548,599	$ 2,048,084	$ 2,392,576

Investments - Summary of Gros_2

Investments - Summary of Gross Investment Activity, Footnotes (Details) $ in Millions	Mar. 31, 2021USD ($)property	Dec. 31, 2020property	Mar. 31, 2020USD ($)property
Real Estate Properties [Line Items]
Number of property locations of investments	1,240	1,181
Accumulated depreciation | $	$ 126.5		$ 81.3
Vacant Properties
Real Estate Properties [Line Items]
Number of property locations of investments	2		2
Tenanted Properties
Real Estate Properties [Line Items]
Number of property locations of investments	7

Investments - Schedule of Loans

Investments - Schedule of Loans Receivable (Details) $ in Thousands	Mar. 31, 2021USD ($)property	Dec. 31, 2020USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal Balance Outstanding	$ 174,671	$ 150,797
Mortgage Loan Receivable 8.80% Due at 2039
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.80%
Stated Interest Rate	8.10%
Principal Balance Outstanding	$ 12,000	12,000
Mortgage Loan Receivable 8.10% Due at 2059
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.10%
Stated Interest Rate	8.10%
Principal Balance Outstanding	$ 6,108	6,114
Mortgage Loan Receivable 8.53% Due at 2039
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.53%
Stated Interest Rate	7.80%
Principal Balance Outstanding	$ 7,300	7,300
Mortgage Loan Receivable 8.16% Due at 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	69
Effective Interest Rate	8.16%
Stated Interest Rate	7.70%
Principal Balance Outstanding	$ 28,000	28,000
Mortgage Loan Receivable 8.05% Due at 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	18
Effective Interest Rate	8.05%
Stated Interest Rate	7.50%
Principal Balance Outstanding	$ 37,105	37,105
Mortgage Loan Receivable 8.42% Due at 2040
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.42%
Stated Interest Rate	7.70%
Principal Balance Outstanding	$ 5,300	5,300
Mortgage Receivables 7.00% Due 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	7.00%
Stated Interest Rate	7.00%
Principal Balance Outstanding	$ 0	860
Mortgage Receivables 8.30% Due 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	3
Effective Interest Rate	8.30%
Stated Interest Rate	825.00%
Principal Balance Outstanding	$ 2,324	2,324
Mortgage Receivables 7.30% Due 2035
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	19
Effective Interest Rate	7.30%
Stated Interest Rate	6.80%
Principal Balance Outstanding	$ 46,000	46,000
Mortgage Receivables 7.00% Due 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	7.00%
Stated Interest Rate	7.00%
Principal Balance Outstanding	$ 600	0
Mortgage Receivables 7.00% Due 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	7.00%
Stated Interest Rate	7.00%
Principal Balance Outstanding	$ 360	0
Mortgage Receivables 6.89% Due 2026
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	11
Effective Interest Rate	6.89%
Stated Interest Rate	6.75%
Principal Balance Outstanding	$ 23,824	0
Leasehold Interest 10.69% Due 2039
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	10.69%
Principal Balance Outstanding	$ 1,435	1,435
Leasehold Interest 2.25% Due 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	2.25%
Principal Balance Outstanding	$ 1,095	1,109
Leasehold Interest 2.41% Due 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	2.41%
Principal Balance Outstanding	$ 1,625	1,645
Leasehold Interest 4.97% Due 2038
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	4.97%
Principal Balance Outstanding	$ 1,595	$ 1,605

Investments - Schedule of Loa_2

Investments - Schedule of Loans Receivable, Footnotes (Details)	3 Months Ended
	Mar. 31, 2021land
Investments [Abstract]
Number of land lease have option for lessee to purchase leased assets	2

Investments - Scheduled of Prin

Investments - Scheduled of Principal Payments Due under Loans Receivable (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Investments [Abstract]
April 1 - December 31, 2021	$ 156
2022	2,545
2023	1,196
2024	252
2025	268
Thereafter	170,254
Total	$ 174,671	$ 150,797

Investments - Schedule of Direc

Investments - Schedule of Direct Financing Lease Receivables (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Investments [Abstract]
Minimum lease payments receivable	$ 3,445	$ 3,529
Estimated unguaranteed residual value of leased assets	270	270
Unearned income from leased assets	(1,304)	(1,357)
Net investment	$ 2,411	$ 2,442

Investments - Scheduled Future

Investments - Scheduled Future Minimum Non-cancelable Base Rental Payments Under Direct Financing Lease Receivables (Details) $ in Thousands	Mar. 31, 2021USD ($)
Investments [Abstract]
April 1 - December 31, 2021	$ 256
2022	345
2023	347
2024	289
2025	254
Thereafter	1,954
Total	$ 3,445

Investments - Summary of Change

Investments - Summary of Changes to Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance	$ 1,018	$ 0
Current period provision for expected credit losses	38	468
Write-offs charged	0	0
Recoveries	0	0
Balance	$ 1,056	656
Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance		$ 188

Investments - Summary of Signif

Investments - Summary of Significant Credit Quality Indicators Measured at Amortized Cost (Details) $ in Thousands	Mar. 31, 2021USD ($)
Financing Receivable, Credit Quality Indicator [Line Items]
2021	$ 24,785
2020	56,844
2019	93,043
2018	0
2017	0
Prior	2,410
Total Amortized Costs Basis	177,082
LTV less than 60%
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0
2020	0
2019	28,000
2018	0
2017	0
Prior	738
Total Amortized Costs Basis	28,738
LTV between 60% and 70%
Financing Receivable, Credit Quality Indicator [Line Items]
2021	23,825
2020	0
2019	0
2018	0
2017	0
Prior	980
Total Amortized Costs Basis	24,805
LTV greater than 70%
Financing Receivable, Credit Quality Indicator [Line Items]
2021	960
2020	56,844
2019	65,043
2018	0
2017	0
Prior	692
Total Amortized Costs Basis	$ 123,539

Investments - Activity in Real

Investments - Activity in Real Estate Investments and Intangible Lease Liabilities Held for Sale (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)property	Mar. 31, 2020USD ($)property
Number of Properties
Beginning balance | property	8	1
Transfers to held for sale classification | property	0	3
Sales | property	(4)	(1)
Transfers to held and used classification | property	(4)	0
Ending balance | property	0	3
Real Estate Investments
Beginning balance	$ 17,058	$ 1,211
Transfers to held for sale classification	0	1,528
Sales	(3,168)	(1,211)
Transfers to held and used classification	(13,890)	0
Ending balance	0	1,528
Intangible Lease Liabilities
Beginning balance	0	0
Transfers to held for sale classification	0	0
Sales	0	0
Transfers to held and used classification	0	0
Ending balance	0	0
Net Carrying Value
Beginning balance	17,058	1,211
Transfers to held for sale classification	0	1,528
Sales	(3,168)	(1,211)
Transfers to held and used classification	(13,890)	0
Ending balance	$ 0	$ 1,528

Investments - Schedule of Exter

Investments - Schedule of External Customers by Geographic Areas (Details) - Rental Revenue - Geographic Concentration Risk	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Texas
Concentration Risk [Line Items]
Concentration risk percentage	13.30%	11.60%
Georgia
Concentration Risk [Line Items]
Concentration risk percentage		10.20%

Investments - Schedule of Intan

Investments - Schedule of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Intangible assets, Gross Carrying Amount	$ 83,030	$ 80,271
Intangible assets, Accumulated Amortization	24,286	22,826
Intangible assets, Net Carrying Amount	58,744	57,445
Intangible market lease liabilities, Gross Carrying Amount	12,793	12,772
Intangible market lease liabilities, Accumulated Amortization	2,747	2,604
Intangible market lease liabilities, Net Carrying Amount	10,046	10,168
In-place leases
Finite-Lived Intangible Assets [Line Items]
Intangible assets, Gross Carrying Amount	71,048	67,986
Intangible assets, Accumulated Amortization	20,164	18,767
Intangible assets, Net Carrying Amount	50,884	49,219
Intangible market lease assets
Finite-Lived Intangible Assets [Line Items]
Intangible assets, Gross Carrying Amount	11,982	12,285
Intangible assets, Accumulated Amortization	4,122	4,059
Intangible assets, Net Carrying Amount	$ 7,860	$ 8,226

Investments - Summary of Remain

Investments - Summary of Remaining Weighted Average Amortization Periods for Intangible Assets and Liabilities (Details)	3 Months Ended
	Mar. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Years remaining, intangible assets	11 years 1 month 6 days
Years remaining, intangible market lease liabilities	17 years 2 months 12 days
In-place leases
Finite-Lived Intangible Assets [Line Items]
Years remaining, in-place leases	10 years 8 months 12 days
Intangible market lease assets
Finite-Lived Intangible Assets [Line Items]
Years remaining, intangible assets	13 years 8 months 12 days

Investments - Summary of Amorti

Investments - Summary of Amortization and Accretion Recognized (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Amortization of In-Place Leases, Amortization and Accretion of Above- and Below-Market Lease Assets and Liabilities [Line Items]
Amortization of in-place leases	$ 1,638	$ 1,679
Market Lease Intangibles | Rental Revenue
Amortization of In-Place Leases, Amortization and Accretion of Above- and Below-Market Lease Assets and Liabilities [Line Items]
Amortization (accretion) of market lease intangibles, net	18	80
Above and Below Market Ground Lease Intangibles | Property Expenses
Amortization of In-Place Leases, Amortization and Accretion of Above- and Below-Market Lease Assets and Liabilities [Line Items]
Amortization (accretion) of above- and below-market ground lease intangibles, net	$ (90)	$ 122

Investments - Summary of Projec

Investments - Summary of Projected Amortization Expenses for Next Five Years (Details) $ in Thousands	Mar. 31, 2021USD ($)
Below Market Lease Liabilities
April 1 - December 31, 2021	$ 403
2022	542
2023	511
2024	508
2025	513
Thereafter	7,569
Total	10,046
Net Adjustment to Rental Revenue
April 1 - December 31, 2021	(136)
2022	(175)
2023	(175)
2024	(145)
2025	(134)
Thereafter	2,951
Total	2,186
In-place leases
Intangible Assets
April 1 - December 31, 2021	(5,955)
2022	(5,816)
2023	(5,395)
2024	(4,716)
2025	(3,662)
Thereafter	(25,340)
Total	(50,884)
Above Market Lease Asset
Intangible Assets
April 1 - December 31, 2021	(539)
2022	(717)
2023	(686)
2024	(653)
2025	(647)
Thereafter	(4,618)
Total	$ (7,860)

Leases - Scheduled Future Minim

Leases - Scheduled Future Minimum Base Rental Payments due to be Received Under Remaining Non-Cancelable Term of Operating Leases (Details) $ in Thousands	Mar. 31, 2021USD ($)
Lessor, Operating Lease, Payments, Fiscal Year Maturity [Abstract]
April 1 - December 31, 2021	$ 146,932
2022	198,767
2023	201,707
2024	202,815
2025	201,569
Thereafter	2,222,825
Total	$ 3,174,615

Leases - Components of Fixed an

Leases - Components of Fixed and Variable Lease Revenues (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Leases [Abstract]
Fixed lease revenues	$ 46,089	$ 40,403
Variable lease revenues	623	366
Total lease revenues	$ 46,712	$ 40,769

Leases - Additional Information

Leases - Additional Information (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Leases [Abstract]
ROU assets	$ 6,300	$ 6,400
Lease liabilities	$ 8,619	$ 8,800

Leases - Information Related to

Leases - Information Related to Measurement of Lease Liabilities (Details)	Mar. 31, 2021	Dec. 31, 2020
Leases [Abstract]
Weighted average remaining lease term (in years)	22 years 8 months 12 days	22 years 4 months 24 days
Weighted average discount rate	6.40%	6.41%

Leases - Details of Rent Expens

Leases - Details of Rent Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Lessee, Lease, Description [Line Items]
Variable rent expense	$ 0	$ 0
Total rent expense	367	382
Ground Rent
Lessee, Lease, Description [Line Items]
Fixed rent expenses	239	254
Office Rent
Lessee, Lease, Description [Line Items]
Fixed rent expenses	$ 128	$ 128

Leases - Summary of Future Leas

Leases - Summary of Future Lease Payments due from Company Under Ground, Office and Equipment Operating Leases (ASC 842) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Lessee, Lease, Description [Line Items]
April 1 - December 31, 2021	$ 1,107
2022	1,484
2023	1,141
2024	991
2025	894
Thereafter	14,562
Total	20,179
Present value discount	(11,560)
Lease liabilities	8,619	$ 8,800
Office and Equipment Leases
Lessee, Lease, Description [Line Items]
April 1 - December 31, 2021	384
2022	522
2023	525
2024	531
2025	538
Thereafter	0
Total	2,500
Ground Leases to be Paid by the Company
Lessee, Lease, Description [Line Items]
April 1 - December 31, 2021	116
2022	151
2023	131
2024	24
2025	0
Thereafter	0
Total	422
Ground Leases to be Paid Directly by the Company’s Tenants
Lessee, Lease, Description [Line Items]
April 1 - December 31, 2021	607
2022	811
2023	485
2024	436
2025	356
Thereafter	14,562
Total	$ 17,257

Long Term Debt - Schedule of Lo

Long Term Debt - Schedule of Long Term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Debt Instrument [Line Items]
Principal outstanding	$ 940,191	$ 821,193
Weighted-average interest rates	2.00%	2.10%
Series 2017-1 Notes | Secured Debt
Debt Instrument [Line Items]
Principal outstanding	$ 172,191	$ 173,193
Weighted-average interest rates	4.19%	4.20%
Term Loans | April 2019 Term Loan | Line of Credit
Debt Instrument [Line Items]
Principal outstanding	$ 200,000	$ 200,000
Weighted-average interest rates	1.30%	1.40%
Term Loans | November 2019 Term Loan | Line of Credit
Debt Instrument [Line Items]
Principal outstanding	$ 430,000	$ 430,000
Weighted-average interest rates	1.60%	1.70%
Revolving Credit Facility | Line of Credit
Debt Instrument [Line Items]
Principal outstanding	$ 138,000	$ 18,000
Weighted-average interest rates	1.40%	1.40%

Long Term Debt - Summary of Sch

Long Term Debt - Summary of Scheduled Principal Payments (Details) $ in Thousands	Mar. 31, 2021USD ($)
Debt Instrument [Line Items]
April 1 - December 31, 2021	$ 3,082
2022	4,292
2023	142,512
2024	360,305
2025	0
Thereafter	430,000
Total	940,191
Series 2017-1 Notes | Secured Debt
Debt Instrument [Line Items]
April 1 - December 31, 2021	3,082
2022	4,292
2023	4,512
2024	160,305
2025	0
Thereafter	0
Total	172,191
Term Loans | April 2019 Term Loan | Line of Credit
Debt Instrument [Line Items]
April 1 - December 31, 2021	0
2022	0
2023	0
2024	200,000
2025	0
Thereafter	0
Total	200,000
Term Loans | November 2019 Term Loan | Line of Credit
Debt Instrument [Line Items]
April 1 - December 31, 2021	0
2022	0
2023	0
2024	0
2025	0
Thereafter	430,000
Total	430,000
Revolving Credit Facility | Line of Credit
Debt Instrument [Line Items]
April 1 - December 31, 2021	0
2022	0
2023	138,000
2024	0
2025	0
Thereafter	0
Total	$ 138,000

Long Term Debt - Revolving Cred

Long Term Debt - Revolving Credit Facility and April 2019 Term Loan, Additional Information (Details) - Line of Credit - USD ($)	Apr. 12, 2019	May 31, 2019	Mar. 31, 2020	Mar. 31, 2021	Dec. 31, 2020	Nov. 26, 2019
Amended Credit Agreement
Line of Credit Facility [Line Items]
Maximum additional availability of the facility	$ 200,000,000
Revolving Credit Facility
Line of Credit Facility [Line Items]
Total deferred finance costs, net				$ 2,200,000	$ 2,500,000
Line of credit facility, unused borrowing capacity				262,000,000	382,000,000
Revolving Credit Facility | 2018 Credit Facility
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments	300,000,000
Revolving Credit Facility | Amended Credit Agreement
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments	$ 400,000,000
Credit facility term	4 years
Extension term	1 year
Term Loans | April 2019 Term Loan
Line of Credit Facility [Line Items]
Maximum additional availability of the facility	$ 200,000,000
Credit facility term	5 years
Proceeds from debt		$ 200,000,000
Term Loans | November 2019 Term Loan
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments						$ 430,000,000
Maximum additional availability of the facility						$ 500,000,000
Proceeds from debt			$ 430,000,000
Total deferred finance costs, net				$ 3,600,000	$ 3,700,000

Long Term Debt - Summary of Inf

Long Term Debt - Summary of Information about Revolving Credit Facility and 2018 Credit Facility (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Line of Credit Facility [Line Items]
January 1,	$ 18,000
Borrowings	120,000	$ 69,000
Repayments	0	(50,000)
Balance on March 31,	138,000
Revolving Credit Facility | Line of Credit
Line of Credit Facility [Line Items]
January 1,	18,000	46,000
Borrowings	120,000	69,000
Repayments	0	(50,000)
Balance on March 31,	$ 138,000	$ 65,000

Long Term Debt - Information Ab

Long Term Debt - Information About Interest Expense Related to Revolving Credit Facility (Details) - Revolving Credit Facility - Line of Credit - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Line of Credit Facility [Line Items]
Interest expense	$ 395	$ 398
Amortization of deferred financing costs	291	291
Total	$ 686	$ 689

Long Term Debt - November 2019

Long Term Debt - November 2019 Term Loan - Additional Information (Details) - Term Loans - Line of Credit - November 2019 Term Loan - USD ($)	Mar. 31, 2021	Dec. 31, 2020	Nov. 26, 2019
Line of Credit Facility [Line Items]
Credit facility			$ 430,000,000
Aggregate revolving credit commitments			430,000,000
Maximum additional availability of the facility			$ 500,000,000
Total deferred finance costs, net	$ 3,600,000	$ 3,700,000
Debt Instrument, Redemption, Period One
Line of Credit Facility [Line Items]
Prepayment premium			2.00%
Debt Instrument, Redemption, Period Two
Line of Credit Facility [Line Items]
Prepayment premium			1.00%

Long Term Debt - April 2019 and

Long Term Debt - April 2019 and November 2019 Term Loan Facilities (Details) - Term Loans - April 2019 and November 2019 Term Loan Facilities - Line of Credit - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Debt Instrument [Line Items]
Interest expense	$ 2,421	$ 3,415
Amortization of deferred financing costs	178	177
Total	$ 2,599	$ 3,592

Long Term Debt - Secured Borrow

Long Term Debt - Secured Borrowings, Additional Information (Details)	1 Months Ended				3 Months Ended
	Feb. 29, 2020USD ($)	Nov. 30, 2019USD ($)	Jul. 31, 2017USD ($)specialPurposeEntity	Dec. 31, 2016USD ($)specialPurposeEntity	Mar. 31, 2021USD ($)	Mar. 31, 2020USD ($)	Dec. 31, 2020USD ($)	Nov. 12, 2019USD ($)	May 31, 2019USD ($)
Debt Instrument [Line Items]
Weighted-average interest rates					2.00%		2.10%
Principal outstanding					$ 940,191,000		$ 821,193,000
Loss on repayment of secured borrowings					0	$ 924,000
Secured Debt
Debt Instrument [Line Items]
Number of special purpose entities formed to hold assets and issue secured borrowings | specialPurposeEntity			3	2
Series 2016-1 Class A Notes | Secured Debt
Debt Instrument [Line Items]
Notes issued				$ 263,500,000
Prepayment of debt		$ 53,200,000
Series 2016-1 Class B Notes | Secured Debt
Debt Instrument [Line Items]
Notes issued				$ 17,300,000
Prepayment of debt		17,200,000
Series 2016-1 Notes | Secured Debt
Debt Instrument [Line Items]
Debt instrument repurchased, face amount									$ 200,000,000
Debt instrument repurchased, amount									$ 201,400,000
Debt instrument, cancel amount								$ 200,000,000
Prepayment of debt		$ 70,400,000
Series 2017-1 Class A Notes | Secured Debt
Debt Instrument [Line Items]
Notes issued			$ 232,400,000
Prepayment of debt	$ 62,300,000				62,300,000
Loss on repayment of secured borrowings					$ 900,000
Series 2017-1 Class B Notes | Secured Debt
Debt Instrument [Line Items]
Notes issued			$ 15,700,000
Series 2017-1 Notes | Secured Debt
Debt Instrument [Line Items]
Weighted-average interest rates					4.19%		4.20%
Maximum prepayment period			31 months
Principal outstanding					$ 172,191,000		$ 173,193,000
Master Trust Funding Program | Secured Debt
Debt Instrument [Line Items]
Total deferred finance costs, net					$ 2,000,000		$ 2,200,000

Long Term Debt - Interest Expen

Long Term Debt - Interest Expense Related to Master Trust Funding Agreement (Details) - Master Trust Funding Program - Secured Debt - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Debt Instrument [Line Items]
Interest expense	$ 1,811	$ 2,126
Amortization of deferred financing costs	156	188
Total	$ 1,967	$ 2,314

Derivative and Hedging Activi_3

Derivative and Hedging Activities - Additional Information (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Derivative [Line Items]
Derivatives reclassified from other comprehensive income	$ (9,800,000)
Derivative liability, including accrued interest	20,700,000	$ 38,900,000
Derivative asset, including accrued interest	0	0
Derivative instrument termination value	21,300,000	40,200,000
Interest Rate Swaps
Derivative [Line Items]
Loss on change in fair value	$ 2,400,000	$ 300,000

Derivative and Hedging Activi_4

Derivative and Hedging Activities - Summary of Notional Amount and Fair Value of Instruments (Details) - Derivatives Designated as Hedging Instruments - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Derivatives, Fair Value [Line Items]
Notional value	$ 630,000,000
Fair value of Asset/(Liability)	$ (20,894,000)	$ (38,912,000)
Interest Rate Swap One
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	2.06%
Notional value	$ 100,000,000
Fair value of Asset/(Liability)	$ (5,031,000)	(6,176,000)
Interest Rate Swap Two
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	2.06%
Notional value	$ 50,000,000
Fair value of Asset/(Liability)	$ (2,517,000)	(3,089,000)
Interest Rate Swap Three
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	2.07%
Notional value	$ 50,000,000
Fair value of Asset/(Liability)	$ (2,522,000)	(3,094,000)
Interest Rate Swap Four
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.61%
Notional value	$ 175,000,000
Fair value of Asset/(Liability)	$ (5,401,000)	(11,838,000)
Interest Rate Swap Five
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.61%
Notional value	$ 50,000,000
Fair value of Asset/(Liability)	$ (1,545,000)	(3,396,000)
Interest Rate Swap Six
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.60%
Notional value	$ 25,000,000
Fair value of Asset/(Liability)	$ (755,000)	(1,675,000)
Interest Rate Swap Seven
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.36%
Notional value	$ 100,000,000
Fair value of Asset/(Liability)	$ (1,729,000)	(5,353,000)
Interest Rate Swap Eight
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.36%
Notional value	$ 80,000,000
Fair value of Asset/(Liability)	$ (1,394,000)	$ (4,291,000)

Derivative and Hedging Activi_5

Derivative and Hedging Activities - Summary of Changes in Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive gain (loss)	$ 18,023	$ (38,100)
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive gain (loss)	$ 18,023	$ (38,100)

Equity - Additional Information

Equity - Additional Information (Details) - USD ($)	Sep. 22, 2020	Jan. 14, 2020	Aug. 31, 2019	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	May 31, 2020
Class of Stock [Line Items]
Proceeds from shares sold				$ 64,928,000	$ 198,162,000
2020 ATM Program
Class of Stock [Line Items]
Authorized equity distribution program						$ 250,000,000
Proceeds from shares sold, gross						144,200,000
Aggregate gross sales price of stock that can be issued				$ 105,800,000		$ 105,800,000
2019 ATM Program
Class of Stock [Line Items]
Shares of common stock sold (in shares)							184,400,000
Authorized equity distribution program			$ 200,000,000
Common Stock
Class of Stock [Line Items]
Shares of common stock sold (in shares)				2,796,805	8,188,698
Common Stock | Follow-On Offering
Class of Stock [Line Items]
Shares of common stock sold (in shares)	10,120,000	7,935,000
Number of shares sold pursuant to underwriter's option (in shares)	1,320,000	1,035,000
Price of shares sold (in USD per share)	$ 19	$ 25.20
Proceeds from shares sold	$ 184,100,000	$ 191,500,000

Equity - Schedule of At the Mar

Equity - Schedule of At the Market Program (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Subsidiary, Sale of Stock [Line Items]
Proceeds from issuance of common stock, net	$ 64,928	$ 198,162
ATM Program
Subsidiary, Sale of Stock [Line Items]
Shares of common stock sold (in shares)	2,796,805	253,698
Weighted average price of shares sold (in USD per share)	$ 23.22	$ 24.74
Gross proceeds	$ 64,928	$ 6,277
Proceeds from issuance of common stock, net	$ 63,891	$ 6,197

Equity - Summary of Quarterly C

Equity - Summary of Quarterly Cash Dividends (Details) - Common Stock - USD ($) $ / shares in Units, $ in Thousands	Mar. 05, 2021	Mar. 18, 2020
Dividends Payable [Line Items]
Dividend per Share of Common Stock (in USD per share)	$ 0.24	$ 0.23
Total Dividend (in thousands)	$ 26,265	$ 21,168

Non-controlling Interests - Add

Non-controlling Interests - Additional Information (Details) - shares	3 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Operating Partnership Unit
Noncontrolling Interest [Line Items]
Percentage of ownership interests in operating partnership	99.50%	99.50%
Award exchange ratio	1
Outstanding period for distribution	1 year
Operating Partnership Unit | EPRT Holdings LLC
Noncontrolling Interest [Line Items]
Percentage of ownership interests in operating partnership	0.50%
Interest held in operating partnership (in shares)	553,847
Eldridge Industries, LLC | Operating Partnership Unit
Noncontrolling Interest [Line Items]
Operating partnership units held (in shares)	109,171,639
Essential Properties OP GP LLC
Noncontrolling Interest [Line Items]
Percentage of general partner partnership interest owned	1.00%

Equity Based Compensation - Equ

Equity Based Compensation - Equity Incentive Plan - Additional Information (Details)	Mar. 31, 2021shares
Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares issuable under plan (in shares)	3,550,000

Equity Based Compensation - Sch

Equity Based Compensation - Schedule of Information about RSA, RSU, Class B Unit and Class D Unit Activity (Details) - Equity Incentive Plan - $ / shares	Jun. 25, 2018	Jun. 30, 2020	Jan. 31, 2019	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Restricted Stock Awards
Restricted Stock Awards
Beginning balance (in shares)				240,598	492,701	492,701
Granted (in shares)	691,290	3,658	46,368	0	0
Vested (in shares)				(9,865)	(10,747)
Forfeited (in shares)				0	0
Ending balance (in shares)				230,733	481,954	240,598
Restricted Stock Units
Beginning balance (in USD per share)				$ 13.73	$ 13.72	$ 13.72
Granted (in USD per share)				0	0
Vested (in USD per share)				14.12	14.12
Forfeited (in USD per share)				0	0
Ending balance (in USD per share)				$ 13.71	$ 13.71	$ 13.73
Restricted Stock Units
Restricted Stock Awards
Beginning balance (in shares)				321,602	100,814	100,814
Granted (in shares)				196,921	135,120
Vested (in shares)				(19,614)	0
Forfeited (in shares)				0	0
Ending balance (in shares)				498,909	235,934	321,602
Restricted Stock Units
Beginning balance (in USD per share)				$ 25.27	$ 22.80	$ 22.80
Granted (in USD per share)				32.37	32.13
Vested (in USD per share)				23.17	0
Forfeited (in USD per share)				0	0
Ending balance (in USD per share)				$ 28.15	$ 28.14	$ 25.27

Equity Based Compensation - Res

Equity Based Compensation - Restricted Stock Awards - Additional Information (Details) - Equity Incentive Plan - Restricted Stock Awards - shares	Jun. 25, 2018	Jun. 30, 2020	Jan. 31, 2019	Mar. 31, 2021	Mar. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares)	691,290	3,658	46,368	0	0
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	1 year		1 year
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years		4 years

Equity Based Compensation - S_2

Equity Based Compensation - Schedule of Information about RSAs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 6,431	$ 7,536
Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	759	894
Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings	55	111
Fair value of shares vested during the period	$ 139	$ 152

Equity Based Compensation - S_3

Equity Based Compensation - Schedule of Information about Unrecognized Compensation Cost RSAs (Details) - Restricted Stock Awards - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation cost	$ 919	$ 1,678
Weighted average period over which compensation cost will be recognized (in years)	7 months 6 days	8 months 12 days

Equity Based Compensation - R_2

Equity Based Compensation - Restricted Stock Units - Additional Information (Details) - USD ($)	1 Months Ended						3 Months Ended		12 Months Ended	13 Months Ended
	Feb. 28, 2021	Jun. 30, 2020	May 31, 2020	Jan. 31, 2020	Jun. 30, 2019	Jan. 31, 2019	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Jun. 30, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity based compensation expense							$ 1,595,000	$ 1,508,000
Performance Based Restricted Stock Units (RSUs) | Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares)	126,353		7,596	84,684		119,085
Nonvested share awards percentage							75.00%
Performance period							20 days
TSR as percentage of peer group							50.00%
Nonvested share awards remaining percentage issued							25.00%
Equity based compensation expense							$ 0	$ 0
Performance Based Restricted Stock Units (RSUs) | Minimum | Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage payout							0.00%
Performance Based Restricted Stock Units (RSUs) | Maximum | Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage payout							250.00%
Time Based Restricted Stock Based Units (RSUs) | Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares)		26,817			11,500		102,156		157,943
Vesting period							4 years		4 years	1 year

Equity Based Compensation - S_4

Equity Based Compensation - Schedule of Assumptions Used in Measurement of Grant Date Fair Value of Total Shareholder Return RSUs Using Monte Carlo Simulation Model (Details) - Performance Based Restricted Stock Units (RSUs) - Equity Incentive Plan	1 Months Ended
	Feb. 28, 2021	Jan. 31, 2020	Jan. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	55.00%	20.00%	18.00%
Risk free rate	0.20%	1.61%	2.57%

Equity Based Compensation - S_5

Equity Based Compensation - Schedule of Information about RSUs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 1,595	$ 1,508
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings	64	19
Fair value of units vested during the period	454	0
Restricted Stock Units | General and Administrative Expense
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 836	$ 614

Equity Based Compensation - S_6

Equity Based Compensation - Schedule of Information about Unrecognized Compensation Cost Restricted Stock Units (Details) - Restricted Stock Units - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation cost	$ 10,795	$ 5,261
Weighted average period over which compensation cost will be recognized (in years)	2 years 10 months 24 days	2 years 4 months 24 days

Net Income Per Share (Details)

Net Income Per Share (Details)	Mar. 31, 2021
Operating Partnership Unit
Earnings Per Share [Line Items]
Award exchange ratio	1

Net Income Per Share - Reconcil

Net Income Per Share - Reconciliation of Numerator and Denominator used in Computation of Basic and Diluted Net Income Per Share (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Numerator for basic and diluted earnings per share:
Net income	$ 15,375	$ 14,043
Less: net income attributable to non-controlling interests	(80)	(84)
Less: net income allocated to unvested restricted common stock and RSUs	(119)	(130)
Net income available for common stockholders: basic	15,176	13,829
Net income attributable to non-controlling interests	(80)	(84)
Net income available for common stockholders: diluted	$ 15,256	$ 13,913
Denominator for basic and diluted earnings per share:
Weighted average common shares outstanding (in shares)	107,217,918	90,805,301
Less: weighted average number of shares of unvested restricted common stock (in shares)	(231,610)	(482,899)
Weighted average shares outstanding used in basic net income per share (in shares)	106,986,308	90,322,402
Effects of dilutive securities:
Weighted average shares outstanding used in diluted net income per share (in shares)	108,055,741	91,332,297
Operating Partnership Unit
Effects of dilutive securities:
Dilutive securities (in shares)	553,847	553,847
Unvested Restricted Common Stock and RSUs
Effects of dilutive securities:
Dilutive securities (in shares)	515,586	456,048

Net Income Per Share - Reconc_2

Net Income Per Share - Reconciliation of Numerator and Denominator used in Computation of Basic and Diluted Net Income Per Share, Footnote (Details) - shares	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Restricted Stock Units
Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	100,663	65,312

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details) $ in Millions	3 Months Ended
	Mar. 31, 2021USD ($)
Commitments and Contingencies [Line Items]
Reimbursement to tenants	$ 14.8
Executive Officers
Commitments and Contingencies [Line Items]
Employment agreement, initial term	4 years
Employment agreement, automatic extension period upon non-renewal notice not provided	1 year
Employment agreement, base salary term after termination	12 months
Employment agreement, COBRA term after termination	12 months
401(k) Plan
Commitments and Contingencies [Line Items]
Employer matching contribution, percent of match	100.00%
Employer matching contribution, percent of eligible compensation	5.00%

Commitments and Contingencies_2

Commitments and Contingencies - Schedule of Matching Contributions for Defined Contribution Retirement Savings Plan (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
401(k) matching contributions	$ 91	$ 86

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - USD ($) $ in Millions	Mar. 31, 2021	Dec. 31, 2020
Master Trust Funding Program | Secured Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total deferred finance costs, net	$ 2	$ 2.2
Reported Value Measurement | Master Trust Funding Program | Secured Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument	172.2	173.2
Total deferred finance costs, net	2	2.2
Fair Value | Master Trust Funding Program | Secured Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument	176.1
Level 3 | Fair Value | Secured Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument	176.1
Level 3 | Fair Value | Master Trust Funding Program | Secured Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt instrument		176.4
Level 3 | Interest Rate Swaps | Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liability	$ 20.9	$ 38.9

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Fair Values of Real Estate Investments Measured at Nonrecurring Basis (Details) - Fair Value Measurements, Nonrecurring - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Net Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 9,506	$ 4,754
Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	9,506	4,754
Fair Value | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	0	0
Fair Value | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	0	0
Fair Value | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 9,506	$ 4,754

Fair Value Measurements - Sum_2

Fair Value Measurements - Summary of Quantitative Information About Level 3 Fair Value Measurements (Details) - Level 3	Mar. 31, 2021USD ($)
Medical/Dental | Sales comparison approach | Daingerfield, TX
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 1,600,000
Significant Unobservable Inputs	1,600,000
Vacant | Deming, NM | Measurement Input, Terminal Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	0.080
Vacant | Deming, NM | Measurement Input, Discount Rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	0.085
Vacant | Sales comparison approach | San Antonio, TX
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 25,000
Significant Unobservable Inputs	25,000
Vacant | Sales comparison approach | Stevensvillie, MI
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 1,025,000
Significant Unobservable Inputs	1,025,000
Vacant | Discounted cash flow approach | Deming, NM
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 548,000
Significant Unobservable Inputs	548,000
Family Dining Restaurant | Sales comparison approach | Soperton, GA
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 543,000
Significant Unobservable Inputs	543,000
Family Dining Restaurant | Sales comparison approach | Gray, GA
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 493,000
Significant Unobservable Inputs	493,000
Family Dining Restaurant | Sales comparison approach | Sandersville, GA
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 587,000
Significant Unobservable Inputs	587,000
Family Dining Restaurant | Sales comparison approach | Barnesville, GA
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 238,000
Significant Unobservable Inputs	238,000
Home Furnishings | Battle Creek, MI | Measurement Input, Terminal Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	0.080
Home Furnishings | Battle Creek, MI | Measurement Input, Discount Rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	0.085
Home Furnishings | Discounted cash flow approach | Battle Creek, MI
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value	$ 4,446,000
Significant Unobservable Inputs	4,446,000

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended
	May 03, 2021USD ($)property	Apr. 30, 2021USD ($)$ / sharesshares	Mar. 31, 2021USD ($)	Mar. 31, 2020USD ($)
Subsequent Event
Repayment under revolving credit facility			$ 0	$ 50,000
Revolving Credit Facility | Line of Credit
Subsequent Event
Repayment under revolving credit facility			$ 0	$ 50,000
Subsequent Event
Subsequent Event
Number of real estate investment properties acquired | property	19
Aggregate investment (including acquisition-related costs)	$ 45,600
Number of investment properties sold or transferred | property	4
Investment, aggregate gross sales price	$ 4,800
Investment, disposition costs	$ 300
Subsequent Event | Follow-On Offering
Subsequent Event
Common stock sold (in shares) | shares		8,222,500
Price of shares sold (in USD per share) | $ / shares		$ 23.50
Subsequent Event | Underwriter's Option
Subsequent Event
Common stock sold (in shares) | shares		1,072,500
Subsequent Event | Revolving Credit Facility | Line of Credit
Subsequent Event
Repayment under revolving credit facility		$ 138,000