Healthcare Realty Trust 10-Q1 Nov 172017 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2017	Oct. 27, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	HEALTHCARE REALTY TRUST INC
Entity Central Index Key	899,749
Document Type	10-Q
Document Period End Date	Sep. 30, 2017
Amendment Flag	false
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		124,890,077

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Real estate properties:
Land	$ 196,217	$ 199,672
Buildings, improvements and lease intangibles	3,400,224	3,386,480
Personal property	10,300	10,291
Construction in progress	1,138	11,655
Land held for development	20,123	20,123
Real estate properties, Total	3,628,002	3,628,221
Less accumulated depreciation and amortization	(888,875)	(840,839)
Total real estate properties, net	2,739,127	2,787,382
Cash and cash equivalents	196,981	5,409
Restricted cash	0	49,098
Assets held for sale and discontinued operations, net	8,772	3,092
Other assets, net	200,824	195,666
Total assets	3,145,704	3,040,647
Liabilities:
Notes and bonds payable	1,166,060	1,264,370
Accounts payable and accrued liabilities	69,918	78,266
Liabilities of properties held for sale and discontinued operations	59	614
Other liabilities	45,405	43,983
Total liabilities	1,281,442	1,387,233
Commitments and contingencies
Stockholders' equity:
Preferred stock, $.01 par value per share; 50,000 shares authorized; none issued and outstanding	0	0
Common stock, $.01 par value per share; 300,000 and 150,000 shares authorized; 124,890 and 116,417 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively	1,249	1,164
Additional paid-in capital	3,173,167	2,917,914
Accumulated other comprehensive loss	(1,274)	(1,401)
Cumulative net income attributable to common stockholders	1,055,499	995,256
Cumulative dividends	(2,364,379)	(2,259,519)
Total stockholders' equity	1,864,262	1,653,414
Total liabilities and stockholders' equity	$ 3,145,704	$ 3,040,647

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Preferred stock, par value (dollars per share)	$ 0.01	$ 0.01
Preferred stock, authorized shares	50,000,000	50,000,000
Preferred stock, issued shares	0	0
Preferred stock, outstanding shares	0	0
Common stock, par value (dollars per share)	$ 0.01	$ 0.01
Common stock, authorized shares	300,000,000	150,000,000
Common stock, issued shares	124,890,000	116,417,000
Common stock, outstanding shares	124,890,000	116,417,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
REVENUES
Rental income	$ 106,561	$ 102,534	$ 315,519	$ 302,746
Other operating	392	1,125	1,249	3,576
Revenues	106,953	103,659	316,768	306,322
EXPENSES
Property operating	40,626	37,504	116,644	109,173
General and administrative	8,021	7,859	24,720	23,687
Acquisition and pursuit costs	507	865	1,878	3,411
Depreciation and amortization	35,873	31,985	105,148	93,668
Bad debts, net of recoveries	14	(47)	185	(8)
Total Expenses	85,041	78,166	248,575	229,931
OTHER INCOME (EXPENSE)
Gain on sales of real estate assets	(7)	0	39,519	1
Interest expense	(14,107)	(13,759)	(42,694)	(43,512)
Pension termination	0	0	0	(4)
Impairment of real estate assets	(5,059)	0	(5,387)	0
Interest and other income, net	426	123	616	301
Total other income (expense)	(18,747)	(13,636)	(7,946)	(43,214)
INCOME FROM CONTINUING OPERATIONS	3,165	11,857	60,247	33,177
DISCONTINUED OPERATIONS
Income (loss) from discontinued operations	8	(23)	(9)	(50)
Gain on sales of real estate properties	0	0	5	7
INCOME (LOSS) FROM DISCONTINUED OPERATIONS	8	(23)	(4)	(43)
NET INCOME	$ 3,173	$ 11,834	$ 60,243	$ 33,134
BASIC EARNINGS PER COMMON SHARE:
Income from continuing operations (in dollars per share)	$ 0.02	$ 0.10	$ 0.50	$ 0.31
Discontinued operations (in dollars per share)	0	0	0	0
Net income (in dollars per share)	0.02	0.10	0.50	0.31
DILUTED EARNINGS PER COMMON SHARE:
Income from continuing operations (in dollars per share)	0.02	0.10	0.50	0.31
Discontinued operations (in dollars per share)	0	0	0	0
Net income (in dollars per share)	$ 0.02	$ 0.10	$ 0.50	$ 0.31
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - BASIC (in shares)	119,098,149	114,152,146	116,180,979	106,551,834
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - DILUTED (in shares)	119,181,391	115,052,036	116,277,239	107,365,847
DIVIDENDS DECLARED, PER COMMON SHARE, DURING THE PERIOD (in dollars per share)	$ 0.30	$ 0.30	$ 0.90	$ 0.90

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Statement of Comprehensive Income [Abstract]
NET INCOME	$ 3,173	$ 11,834	$ 60,243	$ 33,134
Forward starting interest rate swaps:
Reclassification adjustment for losses included in net income (Interest expense)	43	42	127	126
Total other comprehensive income	43	42	127	126
COMPREHENSIVE INCOME	$ 3,216	$ 11,876	$ 60,370	$ 33,260

Condensed Consolidated Stateme6

Condensed Consolidated Statement of Equity (Unaudited) Statement - 9 months ended Sep. 30, 2017 - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Cumulative Net Income Attributable to Common Stockholders	Cumulative Dividends
Beginning balance at Dec. 31, 2016	$ 1,653,414	$ 1,164	$ 2,917,914	$ (1,401)	$ 995,256	$ (2,259,519)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock	248,345	84	248,261
Common stock redemptions	(503)		(503)
Stock-based compensation	7,496	1	7,495
Net income	60,243				60,243
Reclassification of loss on forward starting interest rate swaps	127			127
Dividends to common stockholders ($0.90 per share)	(104,860)					(104,860)
Ending balance at Sep. 30, 2017	$ 1,864,262	$ 1,249	$ 3,173,167	$ (1,274)	$ 1,055,499	$ (2,364,379)

Condensed Consolidated Stateme7

Condensed Consolidated Statement of Equity (Unaudited) (Parenthetical)	9 Months Ended
	Sep. 30, 2017$ / shares
Statement of Stockholders' Equity [Abstract]
Dividend per share to common Stockholders (in dollars per share)	$ 0.90

Condensed Consolidated Stateme8

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
OPERATING ACTIVITIES
Net income	$ 60,243	$ 33,134
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	105,148	93,668
Other amortization	3,056	2,477
Stock-based compensation	7,496	5,649
Amortization of straight-line rent receivable	(4,867)	(5,446)
Amortization of straight-line rent liability	492	(93)
Gain on sales of real estate assets	(39,525)	(8)
Impairment of real estate assets	5,387
Provision for bad debts, net	175	(8)
Changes in operating assets and liabilities:
Other assets	(6,037)	(1,436)
Accounts payable and accrued liabilities	(3,301)	(3,889)
Other liabilities	1,098	(21,628)
Net cash provided by operating activities	129,365	102,420
INVESTING ACTIVITIES
Acquisitions of real estate	(72,934)	(162,702)
Development of real estate	(11,753)	(28,508)
Additional long-lived assets	(52,305)	(49,794)
Proceeds from sales of real estate	119,425
Proceeds from mortgages and notes receivable repayments	15	14
Net cash used in investing activities	(17,552)	(240,990)
FINANCING ACTIVITIES
Net repayments on unsecured credit facility	(107,000)	(125,000)
Repayment on term loan		(50,000)
Borrowings of notes and bonds payable		11,500
Repayments on notes and bonds payable	(4,654)	(36,786)
Dividends paid	(104,860)	(96,998)
Net proceeds from issuance of common stock	248,384	450,304
Common stock redemptions	(1,125)	(1,282)
Debt issuance and assumption costs	(84)	(4,621)
Net cash provided by financing activities	30,661	147,117
Increase in cash, cash equivalents and restricted cash	142,474	8,547
Cash, cash equivalents and restricted cash at beginning of period	54,507	4,102
Cash, cash equivalents and restricted cash at beginning of period	196,981	12,649
Supplemental Cash Flow Information:
Interest paid	42,136	43,879
Invoices accrued for construction, tenant improvements and other capitalized costs	6,842	10,014
Mortgage notes payable assumed upon acquisition (adjusted to fair value)	12,460	13,951
Capitalized interest	$ 681	$ 828

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
Summary of Significant Accounting Policies	Sep. 30, 2017
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Business Overview Healthcare Realty Trust Incorporated (the "Company") is a self-managed, self-administered real estate investment trust ("REIT") that integrates owning, leasing, managing, financing, developing and redeveloping income-producing real estate properties associated primarily with the delivery of outpatient healthcare services throughout the United States. As of September 30, 2017 , the Company had gross investments of approximately $3.6 billion in 197 real estate properties located in 26 states totaling approximately 14.4 million square feet. The Company provided leasing and property management services to approximately 11.2 million square feet nationwide. Basis of Presentation The Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. They do not include all of the information and footnotes required by GAAP for complete financial statements. However, except as disclosed herein, management believes there has been no material change in the information disclosed in the Notes to the Consolidated Financial Statements included in the Annual Report on Form 10-K for the year ended December 31, 2016 . All material intercompany transactions and balances have been eliminated in consolidation. This interim financial information should be read in conjunction with the financial statements included in this report and in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016 . Management believes that all adjustments of a normal, recurring nature considered necessary for a fair presentation have been included. In addition, the interim financial information does not necessarily represent or indicate what the operating results will be for the year ending December 31, 2017 for many reasons including, but not limited to, acquisitions, dispositions, capital financing transactions, changes in interest rates and the effects of other trends, risks and uncertainties. Use of Estimates in the Condensed Consolidated Financial Statements Preparation of the Condensed Consolidated Financial Statements in accordance with GAAP requires management to make estimates and assumptions that affect amounts reported in the Condensed Consolidated Financial Statements and accompanying notes. Actual results may differ from those estimates. Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents includes short-term investments with original maturities of three months or less when purchased. Restricted cash includes cash held in escrow in connection with proceeds from the sales of certain real estate properties. These sales proceeds were disbursed as the Company acquired real estate investments in like-kind exchanges under Section 1031 of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”). The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Company's Consolidated Balance Sheets to the combined amounts shown on the Company's Consolidated Statements of Cash Flows: (Dollars in thousands) 9/30/2017 12/31/2016 Cash and cash equivalents $ 196,981 $ 5,409 Restricted cash — 49,098 Total cash, cash equivalents and restricted cash $ 196,981 $ 54,507 Reclassifications Condensed Consolidated Statements of Income Certain reclassifications have been made on the Company's Condensed Consolidated Statements of Income. The Company reclassified acquisition and pursuit costs from the general and administrative line item to a separate line item. The acquisition and pursuit costs line item includes direct third party and travel costs related to the Company's pursuit of acquisitions and developments. In addition, the Company combined the line items labeled depreciation and amortization into one line item. These reclassifications are as follows: September 30, 2016 Three Months Ended Nine Months Ended (in thousands) As Previously Reported As Reclassified As Previously Reported As Reclassified General and administrative $ 8,724 $ 7,859 $ 27,098 $ 23,687 Acquisition and pursuit costs — 865 — 3,411 Total $ 8,724 $ 8,724 $ 27,098 $ 27,098 Depreciation $ 29,273 $ — $ 85,494 $ — Amortization 2,712 — 8,174 — Depreciation and amortization — 31,985 — 93,668 Total $ 31,985 $ 31,985 $ 93,668 $ 93,668 New Accounting Pronouncements Accounting Standards Update No. 2014-09 and No. 2015-14 In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, "Revenue from Contracts with Customers," a comprehensive new revenue recognition standard that supersedes most existing revenue recognition guidance, including sales of real estate. This standard's core principle is that a company will recognize revenue when it transfers goods or services to customers in amounts that reflect the consideration to which the company expects to be entitled in exchange for those goods and services. However, leasing contracts, representing the major source of the Company's revenues, are not within the scope of the new standard and will continue to be accounted for under other standards. In August 2015, the FASB issued ASU No. 2015-14, "Revenue from Contracts with Customers (Topic 606); Deferral of the Effective Date." This standard is effective for the Company for annual and interim periods beginning after December 15, 2017 with early adoption permitted only as of annual reporting periods beginning after December 15, 2016, including interim periods within that year. The Company plans to adopt this standard by using the full retrospective adoption method beginning on January 1, 2018. The Company's revenue-producing contracts are primarily leases that are not within the scope of this standard. As a result, the Company does not expect the adoption of this standard to have a material impact on the timing and measurement of the Company's leasing revenues. The Company has identified that parking income, rental lease guaranty income and management fee income will be within the scope of Topic 606. The Company is continuing to assess the impact of this standard and does expect additional disclosures that are required from the adoption of this standard. Accounting Standards Update No. 2016-02 In February 2016, the FASB issued ASU No. 2016-02, "Leases." For lessees, the new standard establishes a right-of-use ("ROU") model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The Company expects that all of the leases where the Company is the lessee will be recorded on the Company's balance sheet. For lessors, the new standard requires a lessor to classify leases as either sales-type, finance or operating. A lease will be treated as a sale if it transfers all of the risks and rewards, as well as control of the underlying asset, to the lessee. If risks and rewards are conveyed without the transfer of control, the lease is treated as financing. If the lessor doesn't convey risks and rewards or control, then the lease would be classified as an operating lease. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years with early adoption permitted. A modified retrospective transition approach is required for lessors for sales-type, direct financing, and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is in the initial stages of evaluating the impact from the adoption of this new standard on the Consolidated Financial Statements and related notes. Accounting Standards Update No. 2016-13 In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments." This update is intended to improve financial reporting by requiring timelier recognition of credit losses on loans and other financial instruments that are not accounted for at fair value through net income, including loans held for investment, held-to-maturity debt securities, trade and other receivables, net investment in leases and other such commitments. This update requires that financial statement assets measured at an amortized cost and certain other financial instruments be presented at the net amount expected to be collected, through an allowance for credit losses that is deducted from the amortized cost basis. This standard is effective for annual and interim periods beginning after December 15, 2019 with early adoption permitted. The Company is in the initial stages of evaluating the impact from the adoption of this new standard on the Consolidated Financial Statements and related notes. Accounting Standards Update No. 2016-15 In August 2016, the FASB issued ASU No. 2016-15, "Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments." This update clarifies whether the following items should be classified as operating, investing or financing in the statement of cash flows: (i) debt prepayments and extinguishment costs, (ii) settlement of zero-coupon debt, (iii) settlement of contingent consideration, (iv) insurance proceeds, (v) settlement of corporate-owned life insurance and bank-owned life insurance policies, (vi) distributions from equity method investees, (vii) beneficial interest in securitization transactions and (viii) receipts and payments with aspects of more than one class of cash flows. This standard is effective for the Company for annual and interim periods beginning on January 1, 2018 with early adoption permitted on a retrospective transition method to each period presented. The Company adopted this standard effective January 1, 2017. There was not a material impact on the Company's Consolidated Financial Statements and related notes resulting from the adoption of this standard. Accounting Standards Update No. 2017-01 In January 2017, the FASB issued ASU No. 2017-01, "Business Combinations: Clarifying the Definition of a Business." This update modifies the requirements to meet the definition of a business under Topic 805, "Business Combinations." The amendments provide a screen to determine when an integrated set of assets and activities is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or group of similar identifiable assets, the set is not a business. The Company believes that this amendment will result in most of its real estate acquisitions being accounted for as asset acquisitions rather than business combinations. This standard is effective for the Company for annual and interim periods beginning after December 15, 2017 with early adoption permitted. The Company adopted this standard effective January 1, 2017 and has accounted for acquisitions that occurred during the nine months ended September 30, 2017 as asset acquisitions. The impact to the Consolidated Financial Statements and related notes as a result of the adoption of this standard is primarily related to the difference in the accounting of acquisition costs. When accounting for these costs as a part of an asset acquisition, the Company will be permitted to capitalize the costs. The adoption of this standard did not have a material impact on the Consolidated Financial Statements and related notes. Accounting Standards Update No. 2017-04 In January 2017, the FASB issued ASU 2017-04, "Simplifying the Test for Goodwill Impairment." This update eliminates Step 2 of the goodwill impairment test. As such, an entity will perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize a goodwill impairment charge for the amount by which the reporting unit's carrying amount exceeds its fair value. This standard is effective for the Company for annual and interim periods beginning after December 15, 2019. The Company does not expect a material impact on the Consolidated Financial Statements and related notes from the adoption of this standard. Accounting Standards Update No. 2017-05 In February 2017, the FASB issued ASU 2017-05, "Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets." This update defines an in-substance nonfinancial asset, unifies guidance related to partial sales of nonfinancial assets, eliminates rules specifically addressing the sales of real estate, removes exception to the financial asset derecognition model and clarifies the accounting for contributions of nonfinancial assets to joint ventures. This standard is effective for the Company for annual and interim periods beginning after December 15, 2017 with early adoption permitted. The Company does not expect a material impact on the Consolidated Financial Statements and related notes from the adoption of this standard. Accounting Standards Update No. 2017-09 In May 2017, the FASB issued ASU 2017-09, "Compensation - Stock Compensation - Scope of Modification Accounting." This update provides guidance about which changes to the terms and conditions of share-based awards require an entity to apply modification accounting in Topic 718. This standard is effective for the Company for the annual and interim periods beginning after December 15, 2017 with early adoption permitted. The Company does not expect a material impact on the Consolidated Financial Statements and related notes from the adoption of this standard. Accounting Standards Update No. 2017-12 In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging - Targeted Improvements to Accounting for Hedging Activities." The purpose of this updated guidance is to better align a company’s financial reporting for hedging activities with the economic objectives of those activities. The transition guidance allows for early adoption of the new standard using a modified retrospective transition method in any interim period after issuance of the update, or alternatively requires adoption for fiscal years beginning after December 15, 2018. The modified retrospective transition method will require the Company to recognize the cumulative effect of initially applying this standard as an adjustment to accumulated other comprehensive income with a corresponding adjustment to the opening balance of retained earnings as of the beginning of the fiscal year that an entity adopts the update. While the Company continues to assess all potential impacts of the standard, the Company currently does not expect adoption to have a material impact on the Company's Consolidated Financial Statements.

Real Estate Investments

Real Estate Investments	9 Months Ended
Real Estate Investments	Sep. 30, 2017
Business Combinations [Abstract]
Real Estate Investments	Real Estate Investments 2017 Acquisitions The following table details the Company's acquisitions for the nine months ended September 30, 2017 (dollars in millions): Location Type (1) Date Acquired Purchase Price Mortgage (2) Cash (3) Real Other (4) Square St. Paul, Minnesota MOB 3/6/17 $ 13.5 $ — $ 13.5 $ 13.3 $ 0.2 34,608 San Francisco, California MOB 6/12/17 26.8 — 26.8 26.8 — 75,649 Washington, D.C. MOB 6/13/17 24.0 (12.1 ) 12.5 24.8 (0.2 ) 62,379 Los Angeles, California MOB 7/31/17 16.3 — 16.7 16.9 (0.2 ) 42,780 Total acquisitions $ 80.6 $ (12.1 ) $ 69.5 $ 81.8 $ (0.2 ) 215,416 ______ (1) MOB = medical office building (2) The mortgage note payable assumed in the acquisition does not reflect the fair value adjustments totaling $0.4 million recorded by the Company upon acquisition (included in Other). (3) Cash consideration excludes prorations of revenue and expense due to/from seller at the time of the acquisition. (4) Includes assets acquired, liabilities assumed, and intangibles recognized at acquisition. Subsequent Acquisitions The Company is under contract to purchase eight medical office buildings in the Atlanta, Georgia market from Meadows & Ohly, LLC and its affiliates for a total purchase price of $193.8 million . On November 1, 2017 , the Company acquired four of these properties totaling 288,880 square feet for a total purchase price of $112.1 million . The Company expects to close on the remaining four properties in December 2017. On November 1, 2017 , the Company acquired a 26,345 square foot medical office building in Seattle, Washington for a purchase price of $12.7 million . 2017 Dispositions The following table details the Company's dispositions for the nine months ended September 30, 2017 (dollars in millions): Location Type (1) Date Sales Price Closing Adjustments Net Net Real Other (3) Gain/(Impairment) Square Evansville, Indiana OTH 3/6/17 $ 6.4 $ — $ 6.4 $ 1.1 $ — $ 5.3 29,500 Columbus, Georgia (2) MOB 3/7/17 0.6 — 0.6 0.6 — — 12,000 Las Vegas, Nevada (2) MOB 3/30/17 5.5 (0.7 ) 4.8 2.2 0.3 2.3 18,147 Texas (3 properties) IRF 3/31/17 69.5 (1.6 ) 67.9 46.9 5.2 15.8 169,722 Chicago, Illinois (2) (4) MOB 6/16/17 0.5 (0.1 ) 0.4 0.4 — — 5,100 San Antonio, Texas (2) IRF 6/29/17 14.5 (0.2 ) 14.3 5.1 0.9 8.3 39,786 Roseburg, Oregon MOB 6/29/17 23.2 (0.6 ) 22.6 14.5 0.3 7.8 62,246 St. Louis, Missouri MOB 9/7/17 2.5 (0.1 ) 2.4 7.4 0.1 (5.1 ) 79,980 Total dispositions $ 122.7 $ (3.3 ) $ 119.4 $ 78.2 $ 6.8 $ 34.4 416,481 ______ (1) OTH = other; MOB = medical office building; IRF = inpatient rehabilitation facility (2) Previously classified as held for sale. (3) Includes straight-line rent receivables, leasing commissions and lease inducements. (4) The Company recorded an impairment of approximately $0.3 million in the first quarter of 2017 upon management’s decision to sell. Potential Disposition In October 2017, the Company received notice that a tenant is exercising a purchase option on seven buildings, including five medical office buildings. The seven properties are covered by one purchase option with a stated purchase price of approximately $45.2 million , subject to certain contractual adjustments. The buildings are located in Roanoke, Virginia, and the Company's aggregate net investment was approximately $24.0 million as of September 30, 2017 . The closing is expected to occur in April 2018. Assets Held for Sale At September 30, 2017 and December 31, 2016 , the Company had one and two properties, respectively, classified as held for sale. During the nine months ended September 30, 2017 , the Company reclassified four properties to held for sale and five properties were sold. A summary of each of the properties reclassified as held for sale is below: • a 78,731 square foot inpatient rehabilitation facility located in Pittsburgh, Pennsylvania reclassified to held for sale in connection with management's decision to sell the property; • a 39,786 square foot inpatient rehabilitation facility located in San Antonio, Texas reclassified to held for sale in connection with management's decision to sell the property. The Company sold this property in the second quarter of 2017 and recognized an $8.3 million gain on the disposition; • a 5,100 square foot medical office building located in Chicago, Illinois reclassified to held for sale in connection with management's decision to sell the property. In the first quarter of 2017, the Company recorded an impairment charge of $0.3 million . The Company sold this property in the second quarter of 2017 and recognized an immaterial impairment loss on the disposition; and • a 79,980 square foot medical office building located in St. Louis, Missouri reclassified to held for sale when the sale became probable based on the expiration of the due diligence period. The Company sold this property in the third quarter of 2017 and recognized a $5.1 million impairment on the disposition. The table below reflects the assets and liabilities of the properties classified as held for sale and discontinued operations as of September 30, 2017 and December 31, 2016 : (Dollars in thousands) September 30, December 31, Balance Sheet data: Land $ 1,125 $ 1,362 Buildings, improvements and lease intangibles 18,231 4,410 19,356 5,772 Accumulated depreciation (10,657 ) (2,977 ) Real estate assets held for sale, net 8,699 2,795 Other assets, net (including receivables) 73 297 Assets held for sale and discontinued operations, net $ 8,772 $ 3,092 Accounts payable and accrued liabilities $ 49 $ 22 Other liabilities 10 592 Liabilities of properties held for sale and discontinued operations $ 59 $ 614 Discontinued Operations The following table represents the results of operations of the properties included in discontinued operations on the Company's Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2017 and 2016 . Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2017 2016 2017 2016 Statements of Income data: Revenues Rental income $ — $ — $ — $ — — — — — Expenses Property operating 2 23 19 50 Bad debts, net of recoveries (10 ) — (10 ) — (8 ) 23 9 50 Other Income (Expense) Interest and other income, net — — — — — — — — Discontinued Operations Income (Loss) from discontinued operations 8 (23 ) (9 ) (50 ) Gain on sales of real estate assets — — 5 7 Income (Loss) from Discontinued Operations $ 8 $ (23 ) $ (4 ) $ (43 )

Notes and Bonds Payable

Notes and Bonds Payable	9 Months Ended
Notes and Bonds Payable	Sep. 30, 2017
Debt Disclosure [Abstract]
Notes and Bonds Payable	Notes and Bonds Payable The table below details the Company’s notes and bonds payable. Maturity Dates Balance as of Effective Interest Rate as of (Dollars in thousands) September 30, 2017 December 31, 2016 September 30, 2017 Unsecured Credit Facility 7/20 $ — $ 107,000 2.23 % Unsecured Term Loan Facility, net of issuance costs 2/19 149,667 149,491 2.43 % Senior Notes due 2021, net of discount and issuance costs 1/21 397,653 397,147 5.97 % Senior Notes due 2023, net of discount and issuance costs 4/23 247,601 247,296 3.95 % Senior Notes due 2025, net of discount and issuance costs 5/25 247,987 247,819 4.08 % Mortgage notes payable, net of discounts and issuance costs and including premiums 1/18-5/40 123,152 115,617 5.06 % $ 1,166,060 $ 1,264,370 Changes in Debt Structure On May 1, 2017, the Company repaid in full a mortgage note payable bearing interest at a rate of 6.50% per annum with outstanding principal of $0.2 million . The mortgage note encumbered a 60,476 square foot medical office building located in Minnesota. On June 13, 2017, in connection with the acquisition of a 62,379 square foot medical office property in Washington D.C., the Company assumed a $12.1 million mortgage note payable (excluding a fair value premium adjustment of $0.4 million ). The mortgage note payable has a contractual interest rate of 4.69% per annum (effective rate of 4.27% per annum). On September 28, 2017, the Company repaid in full a mortgage note payable bearing interest at a rate of 5.55% per annum with an outstanding principal of $1.3 million . The mortgage note encumbered a 75,000 square foot property in Tennessee. Subsequent Activity On October 2, 2017, the Company repaid in full a mortgage note payable bearing interest at a rate of 5.53 % per annum with an outstanding principal of $0.2 million . The mortgage note encumbered a 73,331 square foot property in Ohio. On November 1, 2017, the Company redeemed $100.0 million of its unsecured senior notes due 2021 at a redemption price equal to an aggregate of $113.4 million , consisting of outstanding principal of $100.0 million , accrued interest of $1.7 million , and a "make-whole" amount of approximately $11.7 million for the early extinguishment of debt. The unaccreted discount and unamortized costs on these notes of $0.5 million was written off upon redemption. The Company will recognize a loss on early extinguishment of debt of approximately $12.2 million related to this redemption in the fourth quarter of 2017.

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
Derivative Financial Instruments	Sep. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Risk Management Objective of Using Derivatives In addition to operational risks which arise in the normal course of business, the Company is exposed to economic risks such as interest rate, liquidity and credit risk. In certain situations, the Company may enter into derivative financial instruments such as interest rate swap and interest rate cap agreements to manage interest rate risk exposure arising from variable rate debt transactions that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company's objective in using interest rate derivatives is to manage its exposure to interest rate movements on its variable rate debt. Cash Flow Hedges of Interest Rate Risk 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 changing the underlying notional amount. As of September 30, 2017 , the Company did not have any outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk. The effective portion of changes in the fair value of derivatives designated as, and that qualify as, cash flow hedges is recorded in accumulated other comprehensive income or loss (“OCI”) and is reclassified into earnings as interest expense in the period that the hedged forecasted transaction affects earnings. The effective portion of the Company’s prior interest rate swaps that was recorded in the accompanying Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2017 and 2016 respectively, was as follows: (Dollars in thousands) Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Amount of loss reclassified from accumulated OCI into Interest Expense (effective portion) $ (43 ) $ (42 ) $ (127 ) $ (126 ) The Company estimates that an additional $0.2 million will be reclassified from accumulated other comprehensive loss as an increase to interest expense over the next 12 months.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Proceedings The Company is, from time to time, involved in litigation arising in the ordinary course of business. The Company is not aware of any pending or threatened litigation that, if resolved against the Company, would have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows. Redevelopment Activity The Company redeveloped a medical office building in Nashville, Tennessee, which included a 70,000 square foot expansion. During the nine months ended September 30, 2017, the Company funded approximately $12.2 million on the redevelopment of this property, including approximately $3.2 million related to overages on tenant improvement projects that have been or will be reimbursed by the tenant. The Company expects to spend an additional $0.4 million throughout the remainder of 2017. In the third quarter of 2017, the Company began the redevelopment of a medical office building in Charlotte, North Carolina, which includes a 38,000 square foot vertical expansion. The total development budget is $12.0 million . During the three months ended September 30, 2017, the Company funded approximately $0.8 million on the redevelopment of this property. The project is expected to be completed in the first quarter of 2019. Development Activity The Company developed a 99,957 square foot medical office building in Denver, Colorado. The total development budget is $28.2 million , of which $25.2 million has been spent as of September 30, 2017 , including approximately $2.6 million related to overages on tenant improvement projects that have been or will be reimbursed by the tenant. The Company received the certificate of substantial completion on the core and shell in the second quarter of 2017. Tenants began taking occupancy in the third quarter of 2017.

Stockholders' Equity

Stockholders' Equity	9 Months Ended
Stockholders' Equity	Sep. 30, 2017
Equity [Abstract]
Stockholders' Equity	Stockholders' Equity Common Stock The following table provides a reconciliation of the beginning and ending shares of common stock outstanding for the nine months ended September 30, 2017 and the year ended December 31, 2016 : September 30, 2017 December 31, 2016 Balance, beginning of period 116,416,900 101,517,009 Issuance of common stock 8,386,035 14,063,100 Nonvested share-based awards, net of withheld shares 87,034 836,791 Balance, end of period 124,889,969 116,416,900 Common Stock Authorization On May 2, 2017, the Company's shareholders approved an amendment to the Company's Articles of Incorporation to increase the number of authorized shares of common stock from 150,000,000 to 300,000,000 . Equity Offering On August 14, 2017, the Company issued 8,337,500 shares of common stock, par value $0.01 per share, at $30.90 per share in an underwritten public offering pursuant to the Company's existing effective registration statement. The net proceeds of the offering, after underwriting discount and offering expenses, were approximately $247.1 million . At-The-Market Equity Offering Program No shares were sold under this program during the nine months ended September 30, 2017. The Company had 5,868,697 authorized shares remaining available to be sold under the current sales agreements as of October 27, 2017 . Common Stock Dividends During the nine months ended September 30, 2017 , the Company declared and paid common stock dividends totaling $0.90 per share. On October 31, 2017 , the Company declared a quarterly common stock dividend in the amount of $0.30 per share payable on November 30, 2017 to stockholders of record on November 16, 2017 . Accumulated Other Comprehensive Loss The following table represents the changes in balances of each component and the amounts reclassified out of accumulated other comprehensive loss related to the Company during the nine months ended September 30, 2017 and 2016 : Forward-starting Interest Rate Swaps (Dollars in thousands) 2017 2016 Beginning balance $ (1,401 ) $ (1,569 ) Amounts reclassified from accumulated other comprehensive loss 127 126 Ending balance $ (1,274 ) $ (1,443 ) Earnings Per Common Share The Company uses the two-class method of computing net earnings per common shares. Nonvested share-based awards containing non-forfeitable rights to dividends are considered participating securities pursuant to the two-class method. The following table sets forth the computation of basic and diluted earnings per common share for the three and nine months ended September 30, 2017 and 2016 . Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands, except per share data) 2017 2016 2017 2016 Weighted average Common Shares outstanding Weighted average Common Shares outstanding 120,895,835 115,463,220 117,981,159 107,829,287 Nonvested shares (1,797,686 ) (1,311,074 ) (1,800,180 ) (1,277,453 ) Weighted average Common Shares outstanding—Basic 119,098,149 114,152,146 116,180,979 106,551,834 Weighted average Common Shares outstanding—Basic 119,098,149 114,152,146 116,180,979 106,551,834 Dilutive effect of nonvested share-based awards — 788,265 — 697,219 Dilutive effect of employee stock purchase plan 83,242 111,625 96,260 116,794 Weighted average Common Shares outstanding—Diluted 119,181,391 115,052,036 116,277,239 107,365,847 Net Income Income from continuing operations $ 3,165 $ 11,857 $ 60,247 $ 33,177 Dividends paid on nonvested share-based awards (538 ) — (1,609 ) — Income from continuing operations applicable to common stockholders 2,627 11,857 58,638 33,177 Discontinued operations 8 (23 ) (4 ) (43 ) Net income applicable to common stockholders $ 2,635 $ 11,834 $ 58,634 $ 33,134 Basic Earnings Per Common Share Income from continuing operations $ 0.02 $ 0.10 $ 0.50 $ 0.31 Discontinued operations 0.00 0.00 0.00 0.00 Net income $ 0.02 $ 0.10 $ 0.50 $ 0.31 Diluted Earnings Per Common Share Income from continuing operations $ 0.02 $ 0.10 $ 0.50 $ 0.31 Discontinued operations 0.00 0.00 0.00 0.00 Net income $ 0.02 $ 0.10 $ 0.50 $ 0.31 Incentive Plans A summary of the activity under the Company's stock-based incentive plans for the three and nine months ended September 30, 2017 and 2016 is included in the table below. Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Stock-based awards, beginning of period 1,797,686 1,311,169 1,786,497 1,092,262 Granted — — 103,615 321,580 Vested — (96 ) (92,426 ) (102,769 ) Stock-based awards, end of period 1,797,686 1,311,073 1,797,686 1,311,073 During the nine months ended September 30, 2017 and 2016 , the Company withheld 16,581 and 14,442 shares of common stock, respectively, from participants to pay estimated withholding taxes related to shares that vested. No such shares were withheld during the three months ended September 30, 2017 and 2016. In addition to the stock-based incentive plans, the Company maintains the 2000 Employee Stock Purchase Plan (the "Purchase Plan"). A summary of the activity under the Purchase Plan for the three and nine months ended September 30, 2017 and 2016 is included in the table below. Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Outstanding and exercisable, beginning of period 344,572 344,908 316,321 340,958 Granted — — 206,824 198,450 Exercised (5,452 ) (13,947 ) (24,482 ) (51,475 ) Forfeited (9,291 ) (3,561 ) (36,524 ) (17,451 ) Expired — — (132,310 ) (143,082 ) Outstanding and exercisable, end of period 329,829 327,400 329,829 327,400

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
Fair Value of Financial Instruments	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	Fair Value of Financial Instruments The following methods and assumptions were used to estimate the fair value of each class of financial instrument for which it is practical to estimate that value. Cash, cash equivalents and restricted cash - The carrying amount approximates fair value due to the short term maturity of these investments. Borrowings under the unsecured credit facility due 2020 and unsecured term loan facility due 2019 - The carrying amount approximates fair value because the borrowings are based on variable market interest rates. Senior Notes and Mortgage Notes payable - The fair value of notes and bonds payable is estimated using cash flow analyses, based on the Company’s current interest rates for similar types of borrowing arrangements. The table below details the fair values and carrying values for notes and bonds payable at September 30, 2017 and December 31, 2016 . September 30, 2017 December 31, 2016 (Dollars in millions) Carrying Value Fair Value Carrying Value Fair Value Notes and bonds payable (1) $ 1,166.1 $ 1,169.4 $ 1,264.4 $ 1,265.1 ______ (1) Level 3 - Fair value derived from valuation techniques in which one or more significant inputs or significant value drivers is unobservable.

Summary of Significant Accoun16

Summary of Significant Accounting Policies (Policies)	9 Months Ended
Summary of Significant Accounting Policies (Policies)	Sep. 30, 2017
Accounting Policies [Abstract]
Business Overview	Business Overview Healthcare Realty Trust Incorporated (the "Company") is a self-managed, self-administered real estate investment trust ("REIT") that integrates owning, leasing, managing, financing, developing and redeveloping income-producing real estate properties associated primarily with the delivery of outpatient healthcare services throughout the United States. As of September 30, 2017 , the Company had gross investments of approximately $3.6 billion in 197 real estate properties located in 26 states totaling approximately 14.4 million square feet. The Company provided leasing and property management services to approximately 11.2 million square feet nationwide.
Basis of Presentation	Basis of Presentation The Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. They do not include all of the information and footnotes required by GAAP for complete financial statements. However, except as disclosed herein, management believes there has been no material change in the information disclosed in the Notes to the Consolidated Financial Statements included in the Annual Report on Form 10-K for the year ended December 31, 2016 . All material intercompany transactions and balances have been eliminated in consolidation. This interim financial information should be read in conjunction with the financial statements included in this report and in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016 . Management believes that all adjustments of a normal, recurring nature considered necessary for a fair presentation have been included. In addition, the interim financial information does not necessarily represent or indicate what the operating results will be for the year ending December 31, 2017 for many reasons including, but not limited to, acquisitions, dispositions, capital financing transactions, changes in interest rates and the effects of other trends, risks and uncertainties.
Use of Estimates in the Condensed Consolidated Financial Statements	Use of Estimates in the Condensed Consolidated Financial Statements Preparation of the Condensed Consolidated Financial Statements in accordance with GAAP requires management to make estimates and assumptions that affect amounts reported in the Condensed Consolidated Financial Statements and accompanying notes. Actual results may differ from those estimates.
Cash, Cash Equivalents and Restricted Cash	Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents includes short-term investments with original maturities of three months or less when purchased. Restricted cash includes cash held in escrow in connection with proceeds from the sales of certain real estate properties. These sales proceeds were disbursed as the Company acquired real estate investments in like-kind exchanges under Section 1031 of the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”).
New Accounting Pronouncements	New Accounting Pronouncements Accounting Standards Update No. 2014-09 and No. 2015-14 In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, "Revenue from Contracts with Customers," a comprehensive new revenue recognition standard that supersedes most existing revenue recognition guidance, including sales of real estate. This standard's core principle is that a company will recognize revenue when it transfers goods or services to customers in amounts that reflect the consideration to which the company expects to be entitled in exchange for those goods and services. However, leasing contracts, representing the major source of the Company's revenues, are not within the scope of the new standard and will continue to be accounted for under other standards. In August 2015, the FASB issued ASU No. 2015-14, "Revenue from Contracts with Customers (Topic 606); Deferral of the Effective Date." This standard is effective for the Company for annual and interim periods beginning after December 15, 2017 with early adoption permitted only as of annual reporting periods beginning after December 15, 2016, including interim periods within that year. The Company plans to adopt this standard by using the full retrospective adoption method beginning on January 1, 2018. The Company's revenue-producing contracts are primarily leases that are not within the scope of this standard. As a result, the Company does not expect the adoption of this standard to have a material impact on the timing and measurement of the Company's leasing revenues. The Company has identified that parking income, rental lease guaranty income and management fee income will be within the scope of Topic 606. The Company is continuing to assess the impact of this standard and does expect additional disclosures that are required from the adoption of this standard. Accounting Standards Update No. 2016-02 In February 2016, the FASB issued ASU No. 2016-02, "Leases." For lessees, the new standard establishes a right-of-use ("ROU") model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The Company expects that all of the leases where the Company is the lessee will be recorded on the Company's balance sheet. For lessors, the new standard requires a lessor to classify leases as either sales-type, finance or operating. A lease will be treated as a sale if it transfers all of the risks and rewards, as well as control of the underlying asset, to the lessee. If risks and rewards are conveyed without the transfer of control, the lease is treated as financing. If the lessor doesn't convey risks and rewards or control, then the lease would be classified as an operating lease. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years with early adoption permitted. A modified retrospective transition approach is required for lessors for sales-type, direct financing, and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is in the initial stages of evaluating the impact from the adoption of this new standard on the Consolidated Financial Statements and related notes. Accounting Standards Update No. 2016-13 In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments." This update is intended to improve financial reporting by requiring timelier recognition of credit losses on loans and other financial instruments that are not accounted for at fair value through net income, including loans held for investment, held-to-maturity debt securities, trade and other receivables, net investment in leases and other such commitments. This update requires that financial statement assets measured at an amortized cost and certain other financial instruments be presented at the net amount expected to be collected, through an allowance for credit losses that is deducted from the amortized cost basis. This standard is effective for annual and interim periods beginning after December 15, 2019 with early adoption permitted. The Company is in the initial stages of evaluating the impact from the adoption of this new standard on the Consolidated Financial Statements and related notes. Accounting Standards Update No. 2016-15 In August 2016, the FASB issued ASU No. 2016-15, "Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments." This update clarifies whether the following items should be classified as operating, investing or financing in the statement of cash flows: (i) debt prepayments and extinguishment costs, (ii) settlement of zero-coupon debt, (iii) settlement of contingent consideration, (iv) insurance proceeds, (v) settlement of corporate-owned life insurance and bank-owned life insurance policies, (vi) distributions from equity method investees, (vii) beneficial interest in securitization transactions and (viii) receipts and payments with aspects of more than one class of cash flows. This standard is effective for the Company for annual and interim periods beginning on January 1, 2018 with early adoption permitted on a retrospective transition method to each period presented. The Company adopted this standard effective January 1, 2017. There was not a material impact on the Company's Consolidated Financial Statements and related notes resulting from the adoption of this standard. Accounting Standards Update No. 2017-01 In January 2017, the FASB issued ASU No. 2017-01, "Business Combinations: Clarifying the Definition of a Business." This update modifies the requirements to meet the definition of a business under Topic 805, "Business Combinations." The amendments provide a screen to determine when an integrated set of assets and activities is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or group of similar identifiable assets, the set is not a business. The Company believes that this amendment will result in most of its real estate acquisitions being accounted for as asset acquisitions rather than business combinations. This standard is effective for the Company for annual and interim periods beginning after December 15, 2017 with early adoption permitted. The Company adopted this standard effective January 1, 2017 and has accounted for acquisitions that occurred during the nine months ended September 30, 2017 as asset acquisitions. The impact to the Consolidated Financial Statements and related notes as a result of the adoption of this standard is primarily related to the difference in the accounting of acquisition costs. When accounting for these costs as a part of an asset acquisition, the Company will be permitted to capitalize the costs. The adoption of this standard did not have a material impact on the Consolidated Financial Statements and related notes. Accounting Standards Update No. 2017-04 In January 2017, the FASB issued ASU 2017-04, "Simplifying the Test for Goodwill Impairment." This update eliminates Step 2 of the goodwill impairment test. As such, an entity will perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize a goodwill impairment charge for the amount by which the reporting unit's carrying amount exceeds its fair value. This standard is effective for the Company for annual and interim periods beginning after December 15, 2019. The Company does not expect a material impact on the Consolidated Financial Statements and related notes from the adoption of this standard. Accounting Standards Update No. 2017-05 In February 2017, the FASB issued ASU 2017-05, "Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets." This update defines an in-substance nonfinancial asset, unifies guidance related to partial sales of nonfinancial assets, eliminates rules specifically addressing the sales of real estate, removes exception to the financial asset derecognition model and clarifies the accounting for contributions of nonfinancial assets to joint ventures. This standard is effective for the Company for annual and interim periods beginning after December 15, 2017 with early adoption permitted. The Company does not expect a material impact on the Consolidated Financial Statements and related notes from the adoption of this standard. Accounting Standards Update No. 2017-09 In May 2017, the FASB issued ASU 2017-09, "Compensation - Stock Compensation - Scope of Modification Accounting." This update provides guidance about which changes to the terms and conditions of share-based awards require an entity to apply modification accounting in Topic 718. This standard is effective for the Company for the annual and interim periods beginning after December 15, 2017 with early adoption permitted. The Company does not expect a material impact on the Consolidated Financial Statements and related notes from the adoption of this standard. Accounting Standards Update No. 2017-12 In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging - Targeted Improvements to Accounting for Hedging Activities." The purpose of this updated guidance is to better align a company’s financial reporting for hedging activities with the economic objectives of those activities. The transition guidance allows for early adoption of the new standard using a modified retrospective transition method in any interim period after issuance of the update, or alternatively requires adoption for fiscal years beginning after December 15, 2018. The modified retrospective transition method will require the Company to recognize the cumulative effect of initially applying this standard as an adjustment to accumulated other comprehensive income with a corresponding adjustment to the opening balance of retained earnings as of the beginning of the fiscal year that an entity adopts the update. While the Company continues to assess all potential impacts of the standard, the Company currently does not expect adoption to have a material impact on the Company's Consolidated Financial Statements.

Summary of Significant Accoun17

Summary of Significant Accounting Policies (Tables)	9 Months Ended
Summary of Significant Accounting Policies (Tables)	Sep. 30, 2017
Accounting Policies [Abstract]
Schedule of cash, cash equivalents and restricted cash	The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Company's Consolidated Balance Sheets to the combined amounts shown on the Company's Consolidated Statements of Cash Flows: (Dollars in thousands) 9/30/2017 12/31/2016 Cash and cash equivalents $ 196,981 $ 5,409 Restricted cash — 49,098 Total cash, cash equivalents and restricted cash $ 196,981 $ 54,507
Schedule of reclassifications	These reclassifications are as follows: September 30, 2016 Three Months Ended Nine Months Ended (in thousands) As Previously Reported As Reclassified As Previously Reported As Reclassified General and administrative $ 8,724 $ 7,859 $ 27,098 $ 23,687 Acquisition and pursuit costs — 865 — 3,411 Total $ 8,724 $ 8,724 $ 27,098 $ 27,098 Depreciation $ 29,273 $ — $ 85,494 $ — Amortization 2,712 — 8,174 — Depreciation and amortization — 31,985 — 93,668 Total $ 31,985 $ 31,985 $ 93,668 $ 93,668

Real Estate Investments (Tables

Real Estate Investments (Tables)	9 Months Ended
Real Estate Investments (Tables)	Sep. 30, 2017
Business Combinations [Abstract]
Schedule of Acquisitions	The following table details the Company's acquisitions for the nine months ended September 30, 2017 (dollars in millions): Location Type (1) Date Acquired Purchase Price Mortgage (2) Cash (3) Real Other (4) Square St. Paul, Minnesota MOB 3/6/17 $ 13.5 $ — $ 13.5 $ 13.3 $ 0.2 34,608 San Francisco, California MOB 6/12/17 26.8 — 26.8 26.8 — 75,649 Washington, D.C. MOB 6/13/17 24.0 (12.1 ) 12.5 24.8 (0.2 ) 62,379 Los Angeles, California MOB 7/31/17 16.3 — 16.7 16.9 (0.2 ) 42,780 Total acquisitions $ 80.6 $ (12.1 ) $ 69.5 $ 81.8 $ (0.2 ) 215,416 ______ (1) MOB = medical office building (2) The mortgage note payable assumed in the acquisition does not reflect the fair value adjustments totaling $0.4 million recorded by the Company upon acquisition (included in Other). (3) Cash consideration excludes prorations of revenue and expense due to/from seller at the time of the acquisition. (4) Includes assets acquired, liabilities assumed, and intangibles recognized at acquisition.
Schedule of Dispositions	The following table details the Company's dispositions for the nine months ended September 30, 2017 (dollars in millions): Location Type (1) Date Sales Price Closing Adjustments Net Net Real Other (3) Gain/(Impairment) Square Evansville, Indiana OTH 3/6/17 $ 6.4 $ — $ 6.4 $ 1.1 $ — $ 5.3 29,500 Columbus, Georgia (2) MOB 3/7/17 0.6 — 0.6 0.6 — — 12,000 Las Vegas, Nevada (2) MOB 3/30/17 5.5 (0.7 ) 4.8 2.2 0.3 2.3 18,147 Texas (3 properties) IRF 3/31/17 69.5 (1.6 ) 67.9 46.9 5.2 15.8 169,722 Chicago, Illinois (2) (4) MOB 6/16/17 0.5 (0.1 ) 0.4 0.4 — — 5,100 San Antonio, Texas (2) IRF 6/29/17 14.5 (0.2 ) 14.3 5.1 0.9 8.3 39,786 Roseburg, Oregon MOB 6/29/17 23.2 (0.6 ) 22.6 14.5 0.3 7.8 62,246 St. Louis, Missouri MOB 9/7/17 2.5 (0.1 ) 2.4 7.4 0.1 (5.1 ) 79,980 Total dispositions $ 122.7 $ (3.3 ) $ 119.4 $ 78.2 $ 6.8 $ 34.4 416,481 ______ (1) OTH = other; MOB = medical office building; IRF = inpatient rehabilitation facility (2) Previously classified as held for sale. (3) Includes straight-line rent receivables, leasing commissions and lease inducements.
Discontinued Operations and Assets Held for Sale	The table below reflects the assets and liabilities of the properties classified as held for sale and discontinued operations as of September 30, 2017 and December 31, 2016 : (Dollars in thousands) September 30, December 31, Balance Sheet data: Land $ 1,125 $ 1,362 Buildings, improvements and lease intangibles 18,231 4,410 19,356 5,772 Accumulated depreciation (10,657 ) (2,977 ) Real estate assets held for sale, net 8,699 2,795 Other assets, net (including receivables) 73 297 Assets held for sale and discontinued operations, net $ 8,772 $ 3,092 Accounts payable and accrued liabilities $ 49 $ 22 Other liabilities 10 592 Liabilities of properties held for sale and discontinued operations $ 59 $ 614 Discontinued Operations The following table represents the results of operations of the properties included in discontinued operations on the Company's Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2017 and 2016 . Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2017 2016 2017 2016 Statements of Income data: Revenues Rental income $ — $ — $ — $ — — — — — Expenses Property operating 2 23 19 50 Bad debts, net of recoveries (10 ) — (10 ) — (8 ) 23 9 50 Other Income (Expense) Interest and other income, net — — — — — — — — Discontinued Operations Income (Loss) from discontinued operations 8 (23 ) (9 ) (50 ) Gain on sales of real estate assets — — 5 7 Income (Loss) from Discontinued Operations $ 8 $ (23 ) $ (4 ) $ (43 )

Notes and Bonds Payable (Tables

Notes and Bonds Payable (Tables)	9 Months Ended
Notes and Bonds Payable (Tables)	Sep. 30, 2017
Debt Disclosure [Abstract]
Schedule of Debt	The table below details the Company’s notes and bonds payable. Maturity Dates Balance as of Effective Interest Rate as of (Dollars in thousands) September 30, 2017 December 31, 2016 September 30, 2017 Unsecured Credit Facility 7/20 $ — $ 107,000 2.23 % Unsecured Term Loan Facility, net of issuance costs 2/19 149,667 149,491 2.43 % Senior Notes due 2021, net of discount and issuance costs 1/21 397,653 397,147 5.97 % Senior Notes due 2023, net of discount and issuance costs 4/23 247,601 247,296 3.95 % Senior Notes due 2025, net of discount and issuance costs 5/25 247,987 247,819 4.08 % Mortgage notes payable, net of discounts and issuance costs and including premiums 1/18-5/40 123,152 115,617 5.06 % $ 1,166,060 $ 1,264,370

Derivative Financial Instrume20

Derivative Financial Instruments (Tables)	9 Months Ended
Derivative Financial Instruments (Tables)	Sep. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)	The effective portion of the Company’s prior interest rate swaps that was recorded in the accompanying Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2017 and 2016 respectively, was as follows: (Dollars in thousands) Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Amount of loss reclassified from accumulated OCI into Interest Expense (effective portion) $ (43 ) $ (42 ) $ (127 ) $ (126 )

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
Stockholders' Equity (Tables)	Sep. 30, 2017
Equity [Abstract]
Reconciliation of beginning and ending common stock outstanding	The following table provides a reconciliation of the beginning and ending shares of common stock outstanding for the nine months ended September 30, 2017 and the year ended December 31, 2016 : September 30, 2017 December 31, 2016 Balance, beginning of period 116,416,900 101,517,009 Issuance of common stock 8,386,035 14,063,100 Nonvested share-based awards, net of withheld shares 87,034 836,791 Balance, end of period 124,889,969 116,416,900
Schedule of accumulated other comprehensive income (loss)	The following table represents the changes in balances of each component and the amounts reclassified out of accumulated other comprehensive loss related to the Company during the nine months ended September 30, 2017 and 2016 : Forward-starting Interest Rate Swaps (Dollars in thousands) 2017 2016 Beginning balance $ (1,401 ) $ (1,569 ) Amounts reclassified from accumulated other comprehensive loss 127 126 Ending balance $ (1,274 ) $ (1,443 )
Earnings (loss) per share	The following table sets forth the computation of basic and diluted earnings per common share for the three and nine months ended September 30, 2017 and 2016 . Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands, except per share data) 2017 2016 2017 2016 Weighted average Common Shares outstanding Weighted average Common Shares outstanding 120,895,835 115,463,220 117,981,159 107,829,287 Nonvested shares (1,797,686 ) (1,311,074 ) (1,800,180 ) (1,277,453 ) Weighted average Common Shares outstanding—Basic 119,098,149 114,152,146 116,180,979 106,551,834 Weighted average Common Shares outstanding—Basic 119,098,149 114,152,146 116,180,979 106,551,834 Dilutive effect of nonvested share-based awards — 788,265 — 697,219 Dilutive effect of employee stock purchase plan 83,242 111,625 96,260 116,794 Weighted average Common Shares outstanding—Diluted 119,181,391 115,052,036 116,277,239 107,365,847 Net Income Income from continuing operations $ 3,165 $ 11,857 $ 60,247 $ 33,177 Dividends paid on nonvested share-based awards (538 ) — (1,609 ) — Income from continuing operations applicable to common stockholders 2,627 11,857 58,638 33,177 Discontinued operations 8 (23 ) (4 ) (43 ) Net income applicable to common stockholders $ 2,635 $ 11,834 $ 58,634 $ 33,134 Basic Earnings Per Common Share Income from continuing operations $ 0.02 $ 0.10 $ 0.50 $ 0.31 Discontinued operations 0.00 0.00 0.00 0.00 Net income $ 0.02 $ 0.10 $ 0.50 $ 0.31 Diluted Earnings Per Common Share Income from continuing operations $ 0.02 $ 0.10 $ 0.50 $ 0.31 Discontinued operations 0.00 0.00 0.00 0.00 Net income $ 0.02 $ 0.10 $ 0.50 $ 0.31
Summary of the activity under the Incentive Plan	A summary of the activity under the Company's stock-based incentive plans for the three and nine months ended September 30, 2017 and 2016 is included in the table below. Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Stock-based awards, beginning of period 1,797,686 1,311,169 1,786,497 1,092,262 Granted — — 103,615 321,580 Vested — (96 ) (92,426 ) (102,769 ) Stock-based awards, end of period 1,797,686 1,311,073 1,797,686 1,311,073
Summary of employee stock purchase plan activity	A summary of the activity under the Purchase Plan for the three and nine months ended September 30, 2017 and 2016 is included in the table below. Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Outstanding and exercisable, beginning of period 344,572 344,908 316,321 340,958 Granted — — 206,824 198,450 Exercised (5,452 ) (13,947 ) (24,482 ) (51,475 ) Forfeited (9,291 ) (3,561 ) (36,524 ) (17,451 ) Expired — — (132,310 ) (143,082 ) Outstanding and exercisable, end of period 329,829 327,400 329,829 327,400

Fair Value of Financial Instr22

Fair Value of Financial Instruments (Tables)	9 Months Ended
Fair Value of Financial Instruments (Tables)	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair value and carrying values for notes and bonds payable, mortgage notes receivable, and notes receivable	The table below details the fair values and carrying values for notes and bonds payable at September 30, 2017 and December 31, 2016 . September 30, 2017 December 31, 2016 (Dollars in millions) Carrying Value Fair Value Carrying Value Fair Value Notes and bonds payable (1) $ 1,166.1 $ 1,169.4 $ 1,264.4 $ 1,265.1 ______ (1) Level 3 - Fair value derived from valuation techniques in which one or more significant inputs or significant value drivers is unobservable.

Summary of Significant Accoun23

Summary of Significant Accounting Policies (Details) ft² in Millions, $ in Billions	Sep. 30, 2017USD ($)ft²stateproperty
Business Overview:
Gross investment amount, total \| $	$ 3.6
Number of real estate properties \| property	197
Number of states that the Company owns real estate in, whole units \| state	26
Square footage of owned real estate properties	14.4
Approximate square feet for which Nationwide property management services provided by company	11.2

Summary of Significant Accoun24

Summary of Significant Accounting Policies - Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016	Sep. 30, 2016	Dec. 31, 2015
Accounting Policies [Abstract]
Cash and cash equivalents	$ 196,981	$ 5,409
Restricted cash	0	49,098
Total cash, cash equivalents and restricted cash	$ 196,981	$ 54,507	$ 12,649	$ 4,102

Summary of Significant Accoun25

Summary of Significant Accounting Policies Summary of Significant Accounting Policies - Reclassifications (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Reclassifications [Line Items]
General and administrative	$ 8,021	$ 7,859	$ 24,720	$ 23,687
Acquisition and pursuit costs	507	865	1,878	3,411
Total		8,724		27,098
Depreciation		0		0
Depreciation and amortization	$ 35,873	31,985	$ 105,148	93,668
Total		31,985		93,668
As Previously Reported
Reclassifications [Line Items]
General and administrative		8,724		27,098
Acquisition and pursuit costs		0		0
Total		8,724		27,098
Depreciation		29,273		85,494
Amortization		2,712		8,174
Depreciation and amortization		0		0
Total		$ 31,985		$ 93,668

Real Estate Investments - Acqui

Real Estate Investments - Acquisitions (Details) - Real Estate Acquisition $ in Millions	Nov. 01, 2017USD ($)ft²building	Jul. 31, 2017USD ($)ft²	Jun. 13, 2017USD ($)ft²	Jun. 12, 2017USD ($)ft²	Mar. 06, 2017USD ($)ft²	Dec. 31, 2017building	Sep. 30, 2017USD ($)ft²
Business Acquisition [Line Items]
Purchase price							$ 80.6
Mortgage Note Payable Assumed							(12.1)
Cash consideration							69.5
Real Estate							81.8
Other							$ (0.2)
Square footage \| ft²							215,416
Fair value adjustments							$ 0.4
MINNESOTA
Business Acquisition [Line Items]
Date Acquired					Mar. 6, 2017
Purchase price					$ 13.5
Mortgage Note Payable Assumed					0
Cash consideration					13.5
Real Estate					13.3
Other					$ 0.2
Square footage \| ft²					34,608
CALIFORNIA
Business Acquisition [Line Items]
Date Acquired		Jul. 31, 2017		Jun. 12, 2017
Purchase price		$ 16.3		$ 26.8
Mortgage Note Payable Assumed		0		0
Cash consideration		16.7		26.8
Real Estate		16.9		26.8
Other		$ (0.2)		$ 0
Square footage \| ft²		42,780		75,649
DISTRICT OF COLUMBIA
Business Acquisition [Line Items]
Date Acquired			Jun. 13, 2017
Purchase price			$ 24
Mortgage Note Payable Assumed			(12.1)
Cash consideration			12.5
Real Estate			24.8
Other			$ (0.2)
Square footage \| ft²			62,379
Fair value adjustments							$ 0.4
Subsequent Event \| GEORGIA
Business Acquisition [Line Items]
Purchase price	$ 112.1
Square footage \| ft²	288,880
Number of properties acquired \| building	4
Subsequent Event \| WASHINGTON
Business Acquisition [Line Items]
Purchase price	$ 12.7
Square footage \| ft²	26,345
Contract to Purchase \| GEORGIA
Business Acquisition [Line Items]
Purchase price	$ 193.8
Number of properties acquired \| building	8					4

Real Estate Investments - Dispo

Real Estate Investments - Dispositions (Details) $ in Millions	Sep. 07, 2017USD ($)ft²	Jun. 29, 2017USD ($)ft²	Jun. 16, 2017USD ($)ft²	Mar. 31, 2017USD ($)	Mar. 30, 2017USD ($)ft²	Mar. 07, 2017USD ($)ft²	Mar. 06, 2017USD ($)ft²	Oct. 31, 2017USD ($)buildingPurchase_options	Sep. 30, 2017USD ($)ft²	Mar. 31, 2017USD ($)	Sep. 30, 2017USD ($)ft²property
Real Estate Dispositions [Line Items]
Number of potential dispositions \| property											5
Real Estate Dispositions
Real Estate Dispositions [Line Items]
Sales price									$ 122.7		$ 122.7
Closing Adjustments									(3.3)		(3.3)
Net proceeds											119.4
Net Real Estate Investment									78.2		78.2
Other (including receivables)(3)									$ 6.8		6.8
Gain/(Impairment)											$ 34.4
Square footage \| ft²									416,481		416,481
Real Estate Dispositions \| INDIANA
Real Estate Dispositions [Line Items]
Date Disposed							Mar. 6, 2017
Sales price							$ 6.4
Closing Adjustments							0
Net proceeds							6.4
Net Real Estate Investment							1.1
Other (including receivables)(3)							0
Gain/(Impairment)							$ 5.3
Square footage \| ft²							29,500
Real Estate Dispositions \| GEORGIA
Real Estate Dispositions [Line Items]
Date Disposed						Mar. 7, 2017
Sales price						$ 0.6
Closing Adjustments						0
Net proceeds						0.6
Net Real Estate Investment						0.6
Other (including receivables)(3)						0
Gain/(Impairment)						$ 0
Square footage \| ft²						12,000
Real Estate Dispositions \| NEVADA
Real Estate Dispositions [Line Items]
Date Disposed					Mar. 30, 2017
Sales price					$ 5.5
Closing Adjustments					(0.7)
Net proceeds					4.8
Net Real Estate Investment					2.2
Other (including receivables)(3)					0.3
Gain/(Impairment)					$ 2.3
Square footage \| ft²					18,147
Real Estate Dispositions \| TEXAS
Real Estate Dispositions [Line Items]
Date Disposed		Jun. 29, 2017		Mar. 31, 2017
Sales price		$ 14.5							$ 69.5		$ 69.5
Closing Adjustments		(0.2)							(1.6)		(1.6)
Net proceeds		14.3		$ 67.9
Net Real Estate Investment		5.1							46.9		46.9
Other (including receivables)(3)		0.9							$ 5.2		$ 5.2
Gain/(Impairment)		$ 8.3		$ 15.8
Square footage \| ft²		39,786							169,722		169,722
Real Estate Dispositions \| ILLINOIS
Real Estate Dispositions [Line Items]
Date Disposed			Jun. 16, 2017
Sales price			$ 0.5
Closing Adjustments			(0.1)
Net proceeds			0.4
Net Real Estate Investment			0.4
Other (including receivables)(3)			0
Gain/(Impairment)			$ 0
Square footage \| ft²			5,100
Impairment charge										$ 0.3
Real Estate Dispositions \| OREGON
Real Estate Dispositions [Line Items]
Date Disposed		Jun. 29, 2017
Sales price		$ 23.2
Closing Adjustments		(0.6)
Net proceeds		22.6
Net Real Estate Investment		14.5
Other (including receivables)(3)		0.3
Gain/(Impairment)		$ 7.8
Square footage \| ft²		62,246
Real Estate Dispositions \| MISSOURI
Real Estate Dispositions [Line Items]
Date Disposed	Sep. 7, 2017
Sales price	$ 2.5
Closing Adjustments	(0.1)
Net proceeds	2.4
Net Real Estate Investment	7.4
Other (including receivables)(3)	0.1
Gain/(Impairment)	$ (5.1)								$ 5.1
Square footage \| ft²	79,980
Potential Real Estate Disposition \| VIRGINIA
Real Estate Dispositions [Line Items]
Net Real Estate Investment									$ 24		$ 24
Potential Disposition \| VIRGINIA
Real Estate Dispositions [Line Items]
Sales price								$ 45.2
Number of potential dispositions \| building								7
Number of Purchase Options \| Purchase_options								1
Medical Office Building \| ILLINOIS
Real Estate Dispositions [Line Items]
Impairment charge										$ 0.3
Medical Office Building \| Potential Disposition \| VIRGINIA
Real Estate Dispositions [Line Items]
Number of potential dispositions \| building								5

Real Estate Investments - Asset

Real Estate Investments - Assets Held for Sale (Details) $ in Millions	Sep. 07, 2017USD ($)	Jun. 29, 2017USD ($)ft²	Jun. 16, 2017USD ($)	Mar. 31, 2017USD ($)	Sep. 30, 2017USD ($)ft²property	Mar. 31, 2017USD ($)	Sep. 30, 2017USD ($)ft²property	Dec. 31, 2016property
Real Estate [Line Items]
Number of properties held for sale \| property					1		1	2
Number of properties reclassified to held for sale \| property							4
Number of properties sold \| property							5
PENNSYLVANIA \| Inpatient Rehabilitation Facility
Real Estate [Line Items]
Area of real estate property held for sale \| ft²					78,731		78,731
TEXAS \| Inpatient Rehabilitation Facility
Real Estate [Line Items]
Area of real estate property held for sale \| ft²		39,786
ILLINOIS \| Medical Office Building
Real Estate [Line Items]
Area of real estate property held for sale \| ft²					5,100		5,100
Impairment charge						$ 0.3
Real Estate Dispositions
Real Estate [Line Items]
Gain/(Impairment)							$ 34.4
Real Estate Dispositions \| TEXAS
Real Estate [Line Items]
Gain/(Impairment)		$ 8.3		$ 15.8
Real Estate Dispositions \| ILLINOIS
Real Estate [Line Items]
Gain/(Impairment)			$ 0
Impairment charge						$ 0.3
Real Estate Dispositions \| MISSOURI
Real Estate [Line Items]
Gain/(Impairment)	$ (5.1)				$ 5.1

Real Estate Investments - Disco

Real Estate Investments - Discontinued Operations and Assets Held for Sale - Balance Sheet (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Balance Sheet data (as of the period ended):
Land	$ 196,217	$ 199,672
Buildings, improvements and lease intangibles	3,400,224	3,386,480
Real estate properties, Total	3,628,002	3,628,221
Accumulated depreciation	(888,875)	(840,839)
Total real estate properties, net	2,739,127	2,787,382
Other assets, net (including receivables)	200,824	195,666
Assets held for sale and discontinued operations, net	8,772	3,092
Liabilities of properties held for sale and discontinued operations	59	614
Discontinued Operations
Balance Sheet data (as of the period ended):
Land	1,125	1,362
Buildings, improvements and lease intangibles	18,231	4,410
Real estate properties, Total	19,356	5,772
Accumulated depreciation	(10,657)	(2,977)
Total real estate properties, net	8,699	2,795
Other assets, net (including receivables)	73	297
Assets held for sale and discontinued operations, net	8,772	3,092
Accounts payable and accrued liabilities	49	22
Other liabilities	10	592
Liabilities of properties held for sale and discontinued operations	$ 59	$ 614

Real Estate Investments - Dis30

Real Estate Investments - Discontinued Operations and Assets Held for Sale - Income Statement (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Revenues
Rental income	$ 106,561	$ 102,534	$ 315,519	$ 302,746
Expenses
Property operating	40,626	37,504	116,644	109,173
Bad debts, net of recoveries	14	(47)	185	(8)
Other Income (Expense)
Interest and other income, net	426	123	616	301
Discontinued Operations
Income (Loss) from discontinued operations	8	(23)	(9)	(50)
Gain on sale of properties	0	0	5	7
INCOME (LOSS) FROM DISCONTINUED OPERATIONS	8	(23)	(4)	(43)
Discontinued Operations
Revenues
Rental income	0	0	0	0
Revenues	0	0	0	0
Expenses
Property operating	2	23	19	50
Bad debts, net of recoveries	(10)	0	(10)	0
Total Expenses	(8)	23	9	50
Other Income (Expense)
Interest and other income, net	0	0	0	0
Total other income (expense)	0	0	0	0
Discontinued Operations
Income (Loss) from discontinued operations	8	(23)	(9)	(50)
Gain on sale of properties	0	0	5	7
INCOME (LOSS) FROM DISCONTINUED OPERATIONS	$ 8	$ (23)	$ (4)	$ (43)

Notes and Bonds Payable (Detail

Notes and Bonds Payable (Details)	Nov. 01, 2017USD ($)	Oct. 02, 2017USD ($)ft²	Sep. 28, 2017USD ($)ft²	Jun. 13, 2017USD ($)ft²	May 01, 2017USD ($)ft²	Mar. 06, 2017USD ($)ft²	Dec. 31, 2017USD ($)	Sep. 30, 2017USD ($)ft²	Sep. 30, 2016USD ($)	Dec. 31, 2016USD ($)
Debt Instrument [Line Items]
Notes and bonds payable								$ 1,166,060,000		$ 1,264,370,000
Aggregate redemption price of debt								4,654,000	$ 36,786,000
Accrued interest paid								42,136,000	$ 43,879,000
Line of Credit \| Unsecured Credit Facility Due 2020
Debt Instrument [Line Items]
Notes and bonds payable								$ 0		107,000,000
Effective interest rate (percent)								2.23%
Medium-term Notes \| Term Loan Due 2019
Debt Instrument [Line Items]
Notes and bonds payable								$ 149,667,000		149,491,000
Effective interest rate (percent)								2.43%
Senior Notes \| Senior Notes due 2021, net of discount and issuance costs
Debt Instrument [Line Items]
Notes and bonds payable								$ 397,653,000		397,147,000
Effective interest rate (percent)								5.97%
Senior Notes \| Senior Notes due 2023, net of discount and issuance costs
Debt Instrument [Line Items]
Notes and bonds payable								$ 247,601,000		247,296,000
Effective interest rate (percent)								3.95%
Senior Notes \| Senior Notes due 2025, net of discount and issuance costs
Debt Instrument [Line Items]
Notes and bonds payable								$ 247,987,000		247,819,000
Effective interest rate (percent)								4.08%
Mortgages
Debt Instrument [Line Items]
Notes and bonds payable								$ 123,152,000		$ 115,617,000
Effective interest rate (percent)								5.06%
MINNESOTA \| Mortgages \| 6.5% Mortgage Note Payable
Debt Instrument [Line Items]
Mortgage note, interest rate (percent)					6.50%
Amount of debt repaid					$ 200,000
Square footage encumbered by mortgage payable (sqft) \| ft²					60,476
TENNESSEE \| Mortgages \| 5.55% Mortgage Note Payable
Debt Instrument [Line Items]
Mortgage note, interest rate (percent)			5.55%
Amount of debt repaid			$ 1,300,000
Square footage encumbered by mortgage payable (sqft) \| ft²			75,000
Real Estate Acquisition
Debt Instrument [Line Items]
Square footage \| ft²								215,416
Mortgage notes payable assumed								$ 12,100,000
Fair value adjustments								400,000
Real Estate Acquisition \| MINNESOTA
Debt Instrument [Line Items]
Square footage \| ft²						34,608
Mortgage notes payable assumed						$ 0
Real Estate Acquisition \| DISTRICT OF COLUMBIA
Debt Instrument [Line Items]
Effective interest rate (percent)				4.27%
Mortgage note, interest rate (percent)				4.69%
Square footage \| ft²				62,379
Mortgage notes payable assumed				$ 12,100,000
Fair value adjustments								$ 400,000
Subsequent Event \| Senior Notes \| Senior Notes due 2021, net of discount and issuance costs
Debt Instrument [Line Items]
Amount of debt repaid	$ 100,000,000
Aggregate redemption price of debt	113,400,000
Principal amount redeemed	100,000,000
Accrued interest paid	1,700,000
Make-whole payment	11,700,000
Write off of unaccreted discount and unamortized costs	$ 500,000
Subsequent Event \| OHIO \| Mortgages \| 5.53% Mortgage Note Payable
Debt Instrument [Line Items]
Mortgage note, interest rate (percent)		553.00%
Amount of debt repaid		$ 200,000
Square footage encumbered by mortgage payable (sqft) \| ft²		73,331
Forecast \| Senior Notes \| Senior Notes due 2021, net of discount and issuance costs
Debt Instrument [Line Items]
Loss on extinguishment of debt							$ 12,200,000

Derivative Financial Instrume32

Derivative Financial Instruments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Derivative [Line Items]
Interest rate cash flow hedge gain (loss) to be reclassified to interest expense during the next 12 months	$ (200)		$ (200)
Interest Expense \| Interest Rate Swap
Derivative [Line Items]
Amount of loss reclassified from accumulated OCI into Interest Expense (effective portion)	$ (43)	$ (42)	$ (127)	$ (126)

Commitments and Contingencies -

Commitments and Contingencies - Construction Activity (Details) $ in Millions	Sep. 30, 2017USD ($)ft²
Other Commitments [Line Items]
Approximate Square Feet \| ft²	14,400,000
Medical Office Building Expansion \| TENNESSEE
Other Commitments [Line Items]
Approximate Square Feet \| ft²	70,000
Total amount funded	$ 12.2
Tenant improvements included in construction funded	3.2
Construction activity, estimated remaining fundings	$ 0.4
Medical Office Building Expansion \| NORTH CAROLINA
Other Commitments [Line Items]
Approximate Square Feet \| ft²	38,000
Medical Office Building \| NORTH CAROLINA
Other Commitments [Line Items]
Total amount funded	$ 0.8
Estimated total investment	$ 12
Medical Office Building \| COLORADO
Other Commitments [Line Items]
Approximate Square Feet \| ft²	99,957
Total amount funded	$ 25.2
Estimated total investment	28.2
Overages reimbursed by tenant	$ 2.6

Stockholders' Equity - Reconcil

Stockholders' Equity - Reconciliation of beginning and ending common stock outstanding (Details) - shares	Aug. 14, 2017	Sep. 30, 2017	Dec. 31, 2016
Reconciliation of the beginning and ending common stock outstanding
Balance, beginning of period		116,417,000
Balance, end of period		124,890,000	116,417,000
Common Stock
Reconciliation of the beginning and ending common stock outstanding
Balance, beginning of period		116,416,900	101,517,009
Issuance of common stock	8,337,500	8,386,035	14,063,100
Nonvested share-based awards, net of withheld shares		87,034	836,791
Balance, end of period		124,889,969	116,416,900

Stockholders' Equity (Stock Tra

Stockholders' Equity (Stock Transactions - Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions	Oct. 31, 2017	Aug. 14, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016	Oct. 27, 2017	May 02, 2017	May 01, 2017
Class of Stock [Line Items]
Common stock, authorized shares			300,000,000		300,000,000		150,000,000
Common stock, par value (dollars per share)		$ 0.01	$ 0.01		$ 0.01		$ 0.01
Dividends declared per common share, during the period (in dollars per share)			$ 0.30	$ 0.30	$ 0.90	$ 0.90
Common Stock
Class of Stock [Line Items]
Common stock, authorized shares									300,000,000	150,000,000
At The Market Equity Offering Program
Class of Stock [Line Items]
Issuance of common stock (shares)					0
Subsequent Event
Class of Stock [Line Items]
Dividends declared per common share, during the period (in dollars per share)	$ 0.30
Subsequent Event \| At The Market Equity Offering Program
Class of Stock [Line Items]
Number of authorized shares remaining under offering program (shares)								5,868,697
Common Stock
Class of Stock [Line Items]
Issuance of common stock (shares)		8,337,500			8,386,035		14,063,100
Price per share (dollars per share)		$ 30.90
Proceeds from sale of stock		$ 247.1

Stockholders' Equity - Changes

Stockholders' Equity - Changes in accumulated other comprehensive income (Details) - Forward-starting Interest Rate Swaps - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	$ (1,401)	$ (1,569)
Amounts reclassified from accumulated other comprehensive loss	127	126
Ending balance	$ (1,274)	$ (1,443)

Stockholders' Equity - Computat

Stockholders' Equity - Computation of basic and diluted earnings (loss) per common share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Weighted average Common Shares outstanding
Weighted average Common Shares outstanding	120,895,835	115,463,220	117,981,159	107,829,287
Nonvested shares	(1,797,686)	(1,311,074)	(1,800,180)	(1,277,453)
Weighted average Common Shares—Basic	119,098,149	114,152,146	116,180,979	106,551,834
Dilutive effect of nonvested share-based awards		788,265		697,219
Dilutive effect of employee stock purchase plan	83,242	111,625	96,260	116,794
Weighted average Common Shares outstanding—Diluted	119,181,391	115,052,036	116,277,239	107,365,847
Net Income
Income from continuing operations	$ 3,165	$ 11,857	$ 60,247	$ 33,177
Dividends paid on nonvested share-based awards	(538)		(1,609)
Income from continuing operations applicable to common stockholders	2,627	11,857	58,638	33,177
Discontinued operations	8	(23)	(4)	(43)
NET INCOME	$ 2,635	$ 11,834	$ 58,634	$ 33,134
Basic Earnings (Loss) Per Common Share
Income from continuing operations (in dollars per share)	$ 0.02	$ 0.10	$ 0.50	$ 0.31
Discontinued operations (in dollars per share)	0	0	0	0
Net income (in dollars per share)	0.02	0.10	0.50	0.31
Diluted Earnings (Loss) Per Common Share
Income from continuing operations (in dollars per share)	0.02	0.10	0.50	0.31
Discontinued operations (in dollars per share)	0	0	0	0
Net income (in dollars per share)	$ 0.02	$ 0.10	$ 0.50	$ 0.31

Stockholders' Equity - Summary

Stockholders' Equity - Summary of activity under stock-based incentive plans (Details) - Stock Incentive Plan - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Summary of the activity under the incentive plans
Stock-based awards, beginning of period (shares)	1,797,686	1,311,169	1,786,497	1,092,262
Granted (shares)	0	0	103,615	321,580
Vested (shares)	0	(96)	(92,426)	(102,769)
Stock-based awards, end of period (shares)	1,797,686	1,311,073	1,797,686	1,311,073
Restricted Stock
Summary of the activity under the incentive plans
Shares withheld to pay estimated withholding taxes	0	0	16,581	14,442

Stockholders' Equity - Summar39

Stockholders' Equity - Summary of activity under Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Summary of the Employee Stock Purchase Plan activity
Outstanding and exercisable, beginning of period (shares)	344,572	344,908	316,321	340,958
Granted (shares)	0	0	206,824	198,450
Exercised (shares)	(5,452)	(13,947)	(24,482)	(51,475)
Forfeited (shares)	(9,291)	(3,561)	(36,524)	(17,451)
Expired (shares)	0	0	(132,310)	(143,082)
Outstanding and exercisable, end of period (shares)	329,829	327,400	329,829	327,400

Fair Value of Financial Instr40

Fair Value of Financial Instruments (Details) - USD ($) $ in Millions	Sep. 30, 2017	Dec. 31, 2016
Carrying Value
Derivative [Line Items]
Notes and bonds payable	$ 1,166.1	$ 1,264.4
Fair Value
Derivative [Line Items]
Notes and bonds payable	$ 1,169.4	$ 1,265.1