Healthcare Realty Trust 10-Q 30 Jul 19 2019 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2019	Jul. 26, 2019
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2019
Document Transition Report	false
Entity File Number	001-11852
Entity Registrant Name	HEALTHCARE REALTY TRUST INCORPORATED
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	62-1507028
Entity Address, Address Line One	3310 West End Avenue, Suite 700
Entity Address, City or Town	Nashville
Entity Address, State or Province	TN
Entity Address, Postal Zip Code	37203
City Area Code	615
Local Phone Number	269-8175
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Shell Company	false
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Title of 12(b) Security	Common stock, $0.01 par value per share
Trading Symbol	HR
Security Exchange Name	NYSE
Entity Common Stock, Shares Outstanding		129,245,427
Entity Central Index Key	0000899749
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Real estate properties:
Land	$ 247,772	$ 230,206
Buildings, improvements and lease intangibles	3,845,546	3,675,415
Personal property	10,804	10,696
Construction in progress	36,996	33,107
Land held for development	24,647	24,647
Real estate properties, Total	4,165,765	3,974,071
Less accumulated depreciation and amortization	(1,064,408)	(1,015,174)
Total real estate properties, net	3,101,357	2,958,897
Cash and cash equivalents	7,617	8,381
Assets held for sale, net	6,615	9,272
Operating lease right-of-use assets	127,326
Financing lease right-of-use assets	9,095
Other assets, net	176,537	214,697
Total assets	3,428,547	3,191,247
Liabilities:
Notes and bonds payable	1,442,758	1,345,984
Accounts payable and accrued liabilities	60,394	80,411
Liabilities of properties held for sale	511	587
Operating lease liabilities	91,056
Financing lease liabilities	14,216
Other liabilities	50,168	47,623
Total liabilities	1,659,103	1,474,605
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 shares authorized; 129,245 and 125,279 shares issued and outstanding at June 30, 2019 and December 31, 2018, respectively	1,292	1,253
Additional paid-in capital	3,305,344	3,180,284
Accumulated other comprehensive loss	(6,189)	(902)
Cumulative net income attributable to common stockholders	1,097,494	1,088,119
Cumulative dividends	(2,628,497)	(2,552,112)
Total stockholders' equity	1,769,444	1,716,642
Total liabilities and stockholders' equity	$ 3,428,547	$ 3,191,247

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
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	300,000,000
Common stock, issued shares	129,245,000	125,279,000
Common stock, outstanding shares	129,245,000	125,279,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
REVENUES
Rental income	$ 114,351,000	$ 109,566,000	$ 225,046,000	$ 219,795,000
Other operating	1,966,000	2,068,000	3,928,000	3,963,000
Revenues	116,317,000	111,634,000	228,974,000	223,758,000
EXPENSES
Property operating	44,286,000	41,737,000	87,012,000	83,556,000
General and administrative	7,845,000	8,373,000	16,355,000	17,473,000
Acquisition and pursuit costs	422,000	120,000	726,000	397,000
Depreciation and amortization	43,926,000	40,130,000	86,588,000	79,703,000
Bad debts, net of recoveries		104,000		104,000
Total Expenses	96,479,000	90,464,000	190,681,000	181,233,000
OTHER INCOME (EXPENSE)
Gain on sales of real estate assets	4,849,000	29,590,000	4,865,000	29,590,000
Interest expense	(13,850,000)	(13,069,000)	(27,438,000)	(25,737,000)
Impairment of real estate assets	(5,610,000)		(5,610,000)
Interest and other income (expense), net	(743,000)	38,000	(735,000)	530,000
Total other income (expense)	(15,354,000)	16,559,000	(28,918,000)	4,383,000
NET INCOME	$ 4,484,000	$ 37,729,000	$ 9,375,000	$ 46,908,000
Basic earnings per common share (in dollars per share)	$ 0.03	$ 0.30	$ 0.07	$ 0.37
Diluted earnings per common share (in dollars per share)	$ 0.03	$ 0.30	$ 0.07	$ 0.37
Weighted average common shares outstanding - basic (in shares)	127,449,454	123,284,634	125,798,715	123,271,068
Weighted average common shares outstanding - diluted (in shares)	127,524,607	123,321,005	125,889,355	123,324,160
Dividends declared, per common share, during the period (in dollars per share)	$ 0.30	$ 0.30	$ 0.60	$ 0.60

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
NET INCOME	$ 4,484	$ 37,729	$ 9,375	$ 46,908
Interest rate swaps:
Reclassification adjustments for losses included in net income (interest expense)	(1)	127	15	274
(Losses) gains arising during the period on interest rate swaps	(4,577)	517	(5,301)	1,030
Total other comprehensive income (loss)	(4,578)	644	(5,286)	1,304
COMPREHENSIVE INCOME (LOSS)	$ (94)	$ 38,373	$ 4,089	$ 48,212

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Equity (Unaudited) Statement - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Cumulative Net Income	Cumulative Dividends
Beginning balance at Dec. 31, 2017	$ 1,789,883	$ 1,251	$ 3,173,429	$ (1,299)	$ 1,018,348	$ (2,401,846)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock, net of issuance costs	239		239
Common stock redemptions	(680)		(680)
Share-based compensation	2,822	1	2,821
Net income	9,180				9,180
Reclassification adjustments for losses included in net income (interest expense)	147			147
Gains (losses) arising during the period on interest rate swaps	513			513
Dividends to common stockholders ($0.30 per share)	(37,556)					(37,556)
Ending balance at Mar. 31, 2018	1,764,548	1,252	3,175,809	(639)	1,027,528	(2,439,402)
Beginning balance at Dec. 31, 2017	1,789,883	1,251	3,173,429	(1,299)	1,018,348	(2,401,846)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	46,908
Ending balance at Jun. 30, 2018	1,768,057	1,252	3,178,514	5	1,065,257	(2,476,971)
Beginning balance at Mar. 31, 2018	1,764,548	1,252	3,175,809	(639)	1,027,528	(2,439,402)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock, net of issuance costs	112		112
Share-based compensation	2,593	0	2,593
Net income	37,729				37,729
Reclassification adjustments for losses included in net income (interest expense)	127			127
Gains (losses) arising during the period on interest rate swaps	517			517
Dividends to common stockholders ($0.30 per share)	(37,569)					(37,569)
Ending balance at Jun. 30, 2018	1,768,057	1,252	3,178,514	5	1,065,257	(2,476,971)
Beginning balance at Dec. 31, 2018	1,716,642	1,253	3,180,284	(902)	1,088,119	(2,552,112)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock, net of issuance costs	120,500	38	120,462
Common stock redemptions	(570)		(570)
Share-based compensation	2,639	1	2,638
Net income	4,891				4,891
Reclassification adjustments for losses included in net income (interest expense)	15			15
Gains (losses) arising during the period on interest rate swaps	(724)			(724)
Dividends to common stockholders ($0.30 per share)	(37,614)					(37,614)
Ending balance at Mar. 31, 2019	1,805,779	1,292	3,302,814	(1,611)	1,093,010	(2,589,726)
Beginning balance at Dec. 31, 2018	1,716,642	1,253	3,180,284	(902)	1,088,119	(2,552,112)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	9,375
Ending balance at Jun. 30, 2019	1,769,444	1,292	3,305,344	(6,189)	1,097,494	(2,628,497)
Beginning balance at Mar. 31, 2019	1,805,779	1,292	3,302,814	(1,611)	1,093,010	(2,589,726)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock, net of issuance costs	159		159
Share-based compensation	2,371		2,371
Net income	4,484				4,484
Reclassification adjustments for losses included in net income (interest expense)	(1)			(1)
Gains (losses) arising during the period on interest rate swaps	(4,577)			(4,577)
Dividends to common stockholders ($0.30 per share)	(38,771)					(38,771)
Ending balance at Jun. 30, 2019	$ 1,769,444	$ 1,292	$ 3,305,344	$ (6,189)	$ 1,097,494	$ (2,628,497)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018
Statement of Stockholders' Equity [Abstract]
Dividend per share to common Stockholders (in dollars per share)	$ 0.30	$ 0.30	$ 0.30	$ 0.30

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
OPERATING ACTIVITIES
Net income	$ 9,375	$ 46,908
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	86,588	79,703
Other amortization	1,547	1,344
Share-based compensation	5,011	5,415
Amortization of straight-line rent receivable (lessor)	(1,063)	(2,797)
Amortization of straight-line rent on operating leases (lessee)	776	766
Gain on sales of real estate assets	(4,865)	(29,590)
Impairment of real estate assets	5,610
Loss from unconsolidated joint ventures	3	2
Distributions from unconsolidated joint ventures	277	99
Provision for bad debts, net		104
Changes in operating assets and liabilities:
Other assets, including right-of-use-assets	(2,015)	(778)
Accounts payable and accrued liabilities	(8,621)	(4,227)
Other liabilities	(1,943)	279
Net cash provided by operating activities	90,680	97,228
INVESTING ACTIVITIES
Acquisitions of real estate	(193,295)	(62,977)
Development of real estate	(13,006)	(16,377)
Additional long-lived assets	(30,892)	(37,592)
Proceeds from sales of real estate assets	12,118	55,001
Proceeds from notes receivable repayments		8
Net cash used in investing activities	(225,075)	(61,937)
FINANCING ACTIVITIES
Net borrowings on unsecured credit facility	58,000	46,000
Borrowings on term loan	50,000
Repayments on notes and bonds payable	(11,483)	(2,556)
Dividends paid	(76,386)	(75,125)
Net proceeds from issuance of common stock	120,668	347
Common stock redemptions	(2,442)	(2,633)
Debt issuance and assumption costs	(4,584)	(125)
Payments made on finance leases	(142)
Net cash provided by (used in) financing activities	133,631	(34,092)
(Decrease) increase in cash and cash equivalents	(764)	1,199
Cash and cash equivalents at beginning of period	8,381	6,215
Cash and cash equivalents at end of period	7,617	7,414
Supplemental Cash Flow Information:
Interest paid	26,512	18,706
Invoices accrued for construction, tenant improvements and other capitalized costs	10,853	9,877
Mortgage notes payable assumed upon acquisition (adjusted to fair value)	0	7,995
Capitalized interest	$ 651	$ 471

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Business Overview Healthcare Realty Trust Incorporated (the "Company") is a real estate investment trust ("REIT") that owns, leases, manages, acquires, finances, develops and redevelops income-producing real estate properties associated primarily with the delivery of outpatient healthcare services throughout the United States. As of June 30, 2019 , the Company had gross investments of approximately $4.1 billion in 201 real estate properties located in 26 states totaling approximately 15.3 million square feet. The Company provided leasing and property management services to approximately 11.1 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, 2018 . All material intercompany transactions and balances have been eliminated in consolidation. This interim financial information should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 . 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, 2019 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. Revenue from Contracts with Customers (Topic 606) The Company recognizes certain revenue under the core principle of Topic 606. This requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Lease revenue is not within the scope of Topic 606. To achieve the core principle, the Company applies the five step model specified in the guidance. Revenue that is accounted for under Topic 606 is segregated on the Company’s Condensed Consolidated Statements of Income in the Other operating line item. This line item includes parking income, rental lease guaranty income, management fee income and other miscellaneous income. Below is a detail of the amounts by category: (in thousands) Three Months Ended June 30, Six Months Ended June 30, Type of Revenue 2019 2018 2019 2018 Parking income $ 1,870 $ 1,819 $ 3,603 $ 3,445 Rental lease guaranty — 146 128 321 Management fee income 64 69 133 137 Miscellaneous 32 34 64 60 $ 1,966 $ 2,068 $ 3,928 $ 3,963 The Company’s three major types of revenue that are accounted for under Topic 606 that are listed above are all accounted for as the performance obligation is satisfied. The performance obligations that are identified for each of these items are satisfied over time and the Company recognizes revenue monthly based on this principle. New Accounting Pronouncements Accounting Standards Update No. 2016-02, No. 2018-01 and No. 2018-11 In February 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-02, "Leases." In January 2018, FASB issued ASU 2018-01, "Leases - Land Easement Practical Expedient for Transition to Topic 842," in July 2018, FASB issued ASU 2018-10, "Codification Improvements to Topic 842, Leases" and ASU 2018-11, "Leases - Targeted Improvements," and in December 2018, FASB issued ASU 2018-20, “Narrow-Scope Improvements for Lessors.” These accounting standard updates are collectively referred to as "Topic 842." Topic 842 provides several practical expedients that the Company elected. These are (a) the package of practical expedients offered that allows an entity not to reassess upon adoption (i) whether an expired or existing contract contains a lease, (ii) lease classification related to expired or existing lease arrangements, and (iii) whether costs incurred on expired or existing leases qualify as initial direct costs, (b) the lessor practical expedient not to separate certain non-lease components, such as common area maintenance, from the lease component if (i) the timing and pattern of transfer are the same for the non-lease component and associated lease component, and (ii) the lease component would be classified as an operating lease if accounted for separately and (c) the lessee practical expedient not to separate certain non-lease components from the associated lease component. 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 are classified as either finance or operating, with the classification affecting the pattern of expense recognition in the income statement. Ground leases executed or assumed prior to the adoption of Topic 842 will continue to be accounted for as operating leases and will not result in a materially different ground lease expense. However, each ground lease executed after the adoption of Topic 842 will be evaluated to determine if it is an operating or finance lease. If the lease is to be accounted for as a finance lease, ground lease expense would be accounted for using the effective interest method instead of the straight-line method over the term of the lease, which would result in higher ground lease expense in the earlier years of a ground lease when compared to the straight-line method. The Company's lease population is primarily ground leases, but also includes management office leases in third party buildings and certain copier and postage machine leases. The terms of the ground leases generally range from 40 to 99 years with a weighted average lease term remaining of 54.8 years , excluding renewal options. The Company's discount rates, which approximates the Company's incremental borrowing rate, ranged from 3.4% for leases expiring in 2019 to 6.2% for leases expiring in 2115. The Company utilized a third party to assist in determining the discount rates for its ground leases. The discount rates consider the general economic environment and factor in various financing and asset specific adjustments so that the discount rate is appropriate for the intended use of the underlying lease. As of January 1, 2019, the Company recognized the present value of its lease payments and a corresponding lease liability of $91.7 million . In addition, the Company reclassified $45.0 million of prepaid ground leases and below-market lease intangibles from the Other assets line item, $1.9 million of above-market lease intangibles from the Other liabilities line and $8.4 million of straight-line rent from the Accounts payable and accrued liabilities line item to the Operating lease right-of-use assets line item on the Condensed Consolidated Balance Sheets. For lessors, the new standard requires a lessor to classify leases as either sales-type, direct-financing or operating. A lease will be treated as a sale if it is considered to transfer control of the underlying asset to the lessee. A lease will be classified as direct-financing if risks and rewards are conveyed without the transfer of control. Otherwise, the lease is treated as an operating lease. Lessor accounting remains largely unchanged with some exceptions including the concept of separating lease and nonlease components. Nonlease components, such as common area maintenance, are generally accounted for under Topic 606 and separated from the lease payments. However, the Company elected the lessor practical expedient allowing the Company to not separate these components when certain conditions are met. The combined component is accounted for under Topic 842. Lease related receivables, which include accounts receivable and accrued straight-line rent receivables, are reduced for revenue reserves and are recognized as a reduction to rental income. The adoption of Topic 842, where the Company is the lessor, did not have a material impact on the Company's Condensed Consolidated Financial Statements for the three and six months ended June 30, 2019 . The new standard was effective for the Company on January 1, 2019. Topic 842 provides two transition alternatives. The Company elected to choose the prospective optional transition method available to apply the guidance in Accounting Standards Codification Topic 840 in the comparative periods presented in the year Topic 842 was adopted. Topic 842 includes extensive quantitative and qualitative disclosures as compared to Topic 840, Leases, for both lessees and lessors. See Note 3 for additional disclosures. Accounting Standards Update No. 2016-13 and No. 2018-19 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. ASU 2018-19 also clarifies that receivables arising from operating leases are not within the scope of this topic. Instead, impairment of these receivables should be accounted for in accordance with Topic 842, Leases. 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 Condensed 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 Condensed Consolidated Financial Statements and related notes from the adoption of this standard.

Real Estate Investments

Real Estate Investments	6 Months Ended
	Jun. 30, 2019
Business Combinations [Abstract]
Real Estate Investments	Real Estate Investments 2019 Acquisitions The following table details the Company's acquisitions for the six months ended June 30, 2019 : (Dollars in millions) Type (1) Date Purchase Price Cash (2) Real Other (3) Square (Unaudited) Washington, D.C. (4) MOB 3/28/19 $ 46.0 $ 45.9 $ 50.2 $ (4.3 ) 158,338 Indianapolis, IN (5) MOB 3/28/19 47.0 44.8 43.7 1.1 143,499 Atlanta, GA MOB 4/2/19 28.0 28.0 28.0 — 47,963 Dallas, TX MOB 6/10/19 17.0 16.7 17.0 (0.3 ) 89,990 Seattle, WA MOB 6/11/19 7.7 7.8 7.8 — 29,870 Seattle, WA MOB 6/14/19 19.0 19.1 19.5 (0.4 ) 47,255 Seattle, WA MOB 6/28/19 30.5 30.4 30.6 (0.2 ) 78,288 $ 195.2 $ 192.7 $ 196.8 $ (4.1 ) 595,203 ______ (1) MOB = medical office building (2) Cash consideration excludes prorations of revenue and expense due to/from seller at the time of the acquisition. (3) Includes other assets acquired, liabilities assumed, and intangibles recognized at acquisition. (4) Includes two properties. The Company assumed two ground leases in connection with this acquisition that are classified as financing leases. The present value of future lease payments totaling $14.3 million was recorded on the Company's Condensed Consolidated Balance Sheets. In addition, the right-of-use assets were partially offset by $5.2 million of above-market lease intangibles included in Other. (5) The Company assumed a prepaid ground lease totaling $0.8 million and recorded a below-market lease intangible totaling $0.9 million in connection with this acquisition that is classified as an operating lease that is included in Other. 2019 Real Estate Asset Dispositions The following table details the Company's dispositions for the six months ended June 30, 2019 : (Dollars in millions) Type (1) Date Sales Price Closing Adjustments Net Net Real Other (2) Gain/ Square Unaudited ) Tucson, AZ (3) MOB 4/9/19 $ 13.0 $ (0.9 ) $ 12.1 $ 6.9 $ 0.4 $ 4.8 67,345 ______ (1) MOB = medical office building (2) Includes straight-line rent receivables, leasing commissions and lease inducements. (3) Includes four properties sold to a single purchaser. Assets Held for Sale As of June 30, 2019 and December 31, 2018 , the Company had three properties and one property, respectively, classified as held for sale. The three properties held for sale as of June 30, 2019 are described in the following: • In March 2019, the Company reclassified an inpatient rehabilitation facility to held for sale upon notification that a ground lessor is exercising a purchase option. The purchase price is determined by an appraisal process that is currently underway. The Company expects the purchase price to be greater than the current net investment of approximately $1.3 million . This property is expected to be sold in the third quarter of 2019. • In May 2019, the Company accepted an offer from a third party to purchase a former long-term acute care facility located in Pittsburgh, Pennsylvania and recorded an impairment totaling $5.2 million based on the sales price less estimated costs to sell. The Company expects the sale to occur in the third quarter of 2019. This property was reclassified to held for sale in 2017. • In June 2019, the Company reclassified a medical office building located in Virginia Beach, Virginia to held for sale. The Company accepted a third party offer to sell the property for $1.3 million and recorded an impairment totaling $0.4 million based on the sales price less estimated costs to sell. The property is expected to sell in the third quarter of 2019. The table below reflects the assets and liabilities of the properties classified as held for sale as of June 30, 2019 and December 31, 2018 : (Dollars in thousands) June 30, December 31, Balance Sheet data: Land $ 2,089 $ 1,125 Buildings, improvements and lease intangibles 36,534 18,231 38,623 19,356 Accumulated depreciation (32,594 ) (10,657 ) Real estate assets held for sale, net 6,029 8,699 Operating lease right-of-use assets 42 — Other assets, net 544 573 Assets held for sale, net $ 6,615 $ 9,272 Accounts payable and accrued liabilities $ 198 $ 450 Operating lease liabilities 42 — Other liabilities 271 137 Liabilities of properties held for sale $ 511 $ 587

Leases

Leases	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Leases	Leases Lessor Accounting Under ASC 842 The Company’s properties generally are leased pursuant to non-cancelable, fixed-term operating leases with expiration dates through 2036. Some leases provide for fixed rent renewal terms in addition to market rent renewal terms. Some leases provide the lessee, during the term of the lease, with an option or right of first refusal to purchase the leased property. The Company's leases typically have escalators that are either based on a stated percentage or an index such as CPI (consumer price index). In addition, most of the Company's leases include nonlease components such as reimbursement of operating expenses as additional rent or include the reimbursement of expected operating expenses as part of the lease payment. The Company adopted an accounting policy to combine lease and nonlease components. Rent escalators based on indices and reimbursements of operating expenses that are not included in the lease rate are considered variable lease payments. Variable payments are recognized in the periods when the information is known. As of June 30, 2019 , the Company had one ground lease that is associated with a property under construction where rent has not yet commenced. Lease income for the Company's operating leases recognized for the three and six months ended June 30, 2019 was $114.4 million and $225.0 million , respectively. Future lease payments under the non-cancelable operating leases, excluding any reimbursements, as of June 30, 2019 were as follows (in thousands): 2019 $ 172,488 2020 313,354 2021 267,340 2022 229,297 2023 188,965 2024 and thereafter 524,957 $ 1,696,401 Lessor Accounting Under ASC 840 The Company’s properties are generally leased pursuant to non-cancelable, fixed-term operating leases with expiration dates through 2036 . Some leases and financial arrangements provide for fixed rent renewal terms in addition to market rent renewal terms. Some leases provide the lessee, during the term of the lease and for a short period thereafter, with an option or a right of first refusal to purchase the leased property. The Company’s portfolio of single-tenant net leases generally requires the lessee to pay minimum rent and all taxes (including property tax), insurance, maintenance and other operating costs associated with the leased property. Future minimum lease payments under the non-cancelable operating leases, excluding any reimbursements, as of December 31, 2018 were as follows (in thousands): 2019 $ 326,441 2020 279,211 2021 235,660 2022 201,072 2023 163,978 2024 and thereafter 476,673 $ 1,683,035 Lessee Accounting Under ASC 842 As of June 30, 2019 , the Company was obligated, as the lessee, under operating lease agreements consisting primarily of the Company’s ground leases. As of June 30, 2019 , the Company had 108 properties, excluding one property classified as held for sale, totaling 9.0 million square feet that were held under ground leases with a remaining weighted average term of 54.8 years , excluding renewal options. Including renewal options, the remaining weighted average term would be 70.5 years. Some lease renewal terms are based on fixed rent renewal terms in addition to market rent renewal terms. These ground leases typically have initial terms of 40 to 99 years with expiration dates through 2117. Any rental increases related to the Company’s ground leases are generally either stated or based on the Consumer Price Index. The Company had 46 prepaid ground leases as of June 30, 2019. The amortization of the prepaid rent, included in the operating lease right-of-use asset represented approximately $0.2 million and $0.1 million of the Company’s rental expense for the three months ended June 30, 2019 and 2018 , respectively and $0.3 million for the six months ended June 30, 2019 and 2018 , respectively. The Company’s future lease payments (primarily for its 62 non-prepaid ground leases) as of June 30, 2019 were as follows (in thousands): Operating Financing 2019 $ 1,912 $ 214 2020 4,833 611 2021 4,862 619 2022 4,893 628 2023 4,931 637 2024 and thereafter 314,198 74,767 Total undiscounted lease payments 335,629 77,476 Discount (244,573 ) (63,260 ) Lease liabilities $ 91,056 $ 14,216 The following table provides a detail of the Company's total lease expense for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Operating lease cost Operating lease expense $ 1,163 $ 2,279 Variable lease expense 795 1,535 Finance lease cost Amortization of right-of-use assets 51 51 Interest on lease liabilities 196 196 Total lease expense $ 2,205 $ 4,061 Other information Operating cash flows outflows related to operating leases $ 1,402 $ 4,173 Financing cash flows outflows related to financing leases $ 142 $ 142 Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ 14,294 Weighted-average remaining lease term (excluding renewal options) - operating leases 54.5 Weighted-average remaining lease term (excluding renewal options) -finance leases 70.3 Weighted-average discount rate - operating leases 5.5% Weighted-average discount rate - finance leases 5.9% Lessee Accounting Under ASC 840 As of December 31, 2018, the Company was obligated under operating lease agreements consisting primarily of the Company’s ground leases. At December 31, 2018, the Company had 107 properties totaling 8.8 million square feet that were held under ground leases with a remaining weighted average term of 53.9 years, excluding renewal options. These ground leases typically have initial terms of 50 to 75 years with one or more renewal options extending the terms to 75 to 100 years, with expiration dates through 2117. Any rental increases related to the Company’s ground leases are generally either stated or based on the Consumer Price Index. The Company’s future minimum lease payments (primarily for its 60 non-prepaid ground leases) as of December 31, 2018 were as follows (in thousands): 2019 $ 5,288 2020 5,260 2021 5,238 2022 5,207 2023 5,224 2024 and thereafter 323,533 $ 349,750

Notes and Bonds Payable

Notes and Bonds Payable	6 Months Ended
	Jun. 30, 2019
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) June 30, 2019 December 31, 2018 June 30, 2019 $700 million Unsecured Credit Facility 5/23 $ 320,000 $ 262,000 3.30 % $200 million Unsecured Term Loan Facility, net of issuance costs (1) 5/24 198,901 149,183 3.30 % $150 million Unsecured Term Loan due 2026 (2) 6/26 — — N/A Senior Notes due 2023, net of discount and issuance costs 4/23 248,328 248,117 3.95 % Senior Notes due 2025, net of discount and issuance costs (3) 5/25 248,399 248,278 4.08 % Senior Notes due 2028, net of discount and issuance costs 1/28 295,422 295,198 3.84 % Mortgage notes payable, net of discounts and issuance costs and including premiums 7/20-5/40 131,708 143,208 4.81 % $ 1,442,758 $ 1,345,984 ______ (1) The effective interest rate includes the impact of interest rate swaps on $ 175.0 million at a weighted average rate of 2.29% (plus the applicable margin rate, currently 100 basis points). (2) As of June 30, 2019, there were no outstanding loans under the $150.0 million unsecured term loan due June 2026. This term loan has a delayed draw feature that allows the Company to draw against the commitments until February 2020. (3) The effective interest rate includes the impact of the $1.7 million settlement of a forward-starting interest rate swap that is included in Accumulated other comprehensive loss on the Company's Condensed Consolidated Balance Sheets. Changes in Debt Structure On April 10, 2019, the Company repaid in full a mortgage note payable bearing interest at a rate of 5.00% per annum with an outstanding principal of $8.9 million . The mortgage note encumbered a 52,813 square foot property in Washington. On May 31, 2019, the Company amended and restated its $700.0 million unsecured credit facility due 2020 (the "Unsecured Credit Facility") to extend the maturity date from July 2020 to May 2023. Amounts outstanding under the Unsecured Credit Facility bear interest at LIBOR plus an applicable margin, which depends on the Company's credit ratings, ranging from 0.775% to 1.45% (currently 0.90% ). In addition, the Company pays a facility fee per annum on the aggregate amount of commitments ranging from 0.125% to 0.30% (currently 0.20% ). In connection with the amendment, the Company paid up front fees to the lenders and other costs of approximately $3.5 million , which will be amortized over the term of the Unsecured Credit Facility. Also, on May 31, 2019, the Company amended and restated its term loan agreement (the "Term Loan") with a syndicate of lenders. The amended agreement extended the maturity date of the Company's unsecured term loan due 2022 to May 2024 (the "Term Loan due 2024") and increased the loan amount from $150.0 million to $200.0 million . In addition, the amended agreement added a $150.0 million seven-year term loan facility (the "Term Loan due 2026"). The Term Loan due 2024 bears interest at LIBOR plus an applicable margin ranging from 0.85% to 1.65% ( 1.00% at June 30, 2019) based upon the Company's unsecured debt ratings. The Term Loan due 2026 has a delayed draw feature that allows the Company up to nine months to draw against the commitments. As of June 30, 2019, no loans were outstanding under the Term Loan due 2026. Loans outstanding under the Term Loan due 2026 will bear interest at a rate equal to LIBOR plus a margin ranging from 1.45% to 2.40% ( 1.60% at June 30, 2019). Committed amounts that remain undrawn are subject to a ticking fee ranging from 0.125% to 0.30% per annum ( 0.20% at June 30, 2019). In connection with the amendment, the Company paid up front fees to the lenders of approximately $1.8 million , of which $1.0 million will be amortized over the respective term of the term loans and $0.8 million

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk, primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities 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 derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s borrowings. Cash Flow Hedges of Interest Rate Risk 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 this objective, the Company primarily 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 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. Such derivatives were used to hedge the variable cash flows associated with existing variable-rate debt. For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in Accumulated Other Comprehensive Income (Loss) ("OCI") and subsequently reclassified into interest expense in the same period(s) during which the hedged transaction affects earnings. Amounts reported in OCI related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. On April 12, 2019, the Company entered into two interest rate swaps totaling $50.0 million to fix the one-month LIBOR portion of the cost of borrowing to a rate of 2.33% . These derivatives are being used to hedge variable cash flows associated with variable-rate debt. On May 15, 2019, the Company entered into two interest rate swaps totaling $50.0 million to fix the one-month LIBOR portion of the cost of borrowing to a rate of 2.13% . These derivatives are being used to hedge variable cash flows associated with variable-rate debt. As of June 30, 2019 , the Company had eight outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk: Derivative Instrument Number of Instruments Notional Amount (in millions) Interest rate swaps 8 $175.0 Tabular Disclosure of Fair Values of Derivative Instruments on the Balance Sheet The table below presents the fair value of the Company's derivative financial instruments, as well as their classification on the Condensed Consolidated Balance Sheet as of June 30, 2019 . Balance at June 30, 2019 (Dollars in thousands) Balance Sheet Location Fair Value Derivatives designated as hedging instruments Interest rate swaps Other liabilities $ 5,210 Total derivatives designated as hedging instruments $ 5,210 Tabular Disclosure of the Effect of Cash Flow Hedge Accounting on Accumulated Other Comprehensive Income (Loss) The table below presents the effect of cash flow hedge accounting on OCI during the three and six months ended June 30, 2019 and 2018 related to the Company's outstanding interest rate swaps. Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Reclassified from Accumulated OCI into Income Three Months Ended June 30, Three Months Ended June 30, (Dollars in thousands) 2019 2018 2019 2018 Interest rate products $ (4,577 ) $ 517 Interest expense $ (43 ) $ 85 Settled interest rate swaps — — Interest expense 42 42 $ (4,577 ) $ 517 Total interest expense $ (1 ) $ 127 Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Reclassified from Accumulated OCI into Income Six Months Ended June 30, Six Months Ended June 30, (Dollars in thousands) 2019 2018 2019 2018 Interest rate products $ (5,301 ) $ 1,030 Interest expense $ (69 ) $ 190 Settled interest rate swaps — — Interest expense 84 84 $ (5,301 ) $ 1,030 Total interest expense $ 15 $ 274 Credit-risk-related Contingent Features The Company's agreements with each of its derivative counterparties contain a cross-default provision under which the Company could be declared in default of its derivative obligations if repayment of the underlying indebtedness is accelerated by the lender due to the Company's default on the indebtedness. The Company estimates that $0.9 million will be reclassified from OCI to interest expense over the next 12 months.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2019
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 is redeveloping a medical office building in Charlotte, North Carolina, which includes a 40,278 square foot vertical expansion. As of June 30, 2019 , the Company had funded approximately $9.8 million towards the redevelopment of this property. The Company expects to fund approximately $2.2 million for additional tenant improvements associated with this project. The first tenant took occupancy during the second quarter of 2019. Development Activity The Company began the development of a 151,000 square foot medical office building in Seattle, Washington during 2017. As of June 30, 2019 , the Company had funded approximately $37.3 million towards the development. The Company expects to fund approximately $26.8 million to complete this project. The Company expects the first tenant to take occupancy in the fourth quarter of 2019.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Jun. 30, 2019
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 six months ended June 30, 2019 and the year ended December 31, 2018 : June 30, 2019 December 31, 2018 Balance, beginning of period 125,279,455 125,131,593 Issuance of common stock 3,895,667 26,203 Nonvested share-based awards, net of withheld shares 70,221 121,659 Balance, end of period 129,245,343 125,279,455 Equity Offering On March 19, 2019, the Company issued 3,737,500 shares of common stock, par value $0.01 per share, at $31.40 per share in an underwritten public offering pursuant to the Company's existing effective registration statement. The net proceeds of the offering, after underwriting discounts and offering expenses, were approximately $115.8 million . At-The-Market Equity Offering Program The Company sold 135,265 shares under the Company's at-the-market equity offering program during the six months ended June 30, 2019. The sales generated $4.3 million in net proceeds at prices to the public ranging from $32.01 to $32.86 (weighted average of $32.36 ). No shares were sold under this program in the second quarter of 2019. The Company had 5,733,432 authorized shares remaining available to be sold under the current sales agreements as of July 26, 2019 . Common Stock Dividends During the six months ended June 30, 2019 , the Company declared and paid common stock dividends totaling $0.60 per share. On July 30, 2019 , the Company declared a quarterly common stock dividend in the amount of $0.30 per share payable on August 30, 2019 to stockholders of record on August 15, 2019 . Earnings Per Common Share The Company uses the two-class method of computing net earnings per common shares. The Company's nonvested share-based awards 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 six months ended June 30, 2019 and 2018 . Three Months Ended June 30, Six Months Ended June 30, (Dollars in thousands, except per share data) 2019 2018 2019 2018 Weighted average Common Shares outstanding Weighted average Common Shares outstanding 129,228,102 125,217,707 127,577,389 125,192,557 Nonvested shares (1,778,648 ) (1,933,073 ) (1,778,674 ) (1,921,489 ) Weighted average Common Shares outstanding—Basic 127,449,454 123,284,634 125,798,715 123,271,068 Weighted average Common Shares outstanding—Basic 127,449,454 123,284,634 125,798,715 123,271,068 Dilutive effect of employee stock purchase plan 75,153 36,371 90,640 53,092 Weighted average Common Shares outstanding—Diluted 127,524,607 123,321,005 125,889,355 123,324,160 Net Income $ 4,484 $ 37,729 $ 9,375 $ 46,908 Dividends paid on nonvested share-based awards (534 ) (582 ) (1,070 ) (1,160 ) Net income applicable to common stockholders $ 3,950 $ 37,147 $ 8,305 $ 45,748 Basic earnings per common share - Net income $ 0.03 $ 0.30 $ 0.07 $ 0.37 Diluted earnings per common share - Net income $ 0.03 $ 0.30 $ 0.07 $ 0.37 Incentive Plans A summary of the activity under the Company's share-based incentive plans for the three and six months ended June 30, 2019 and 2018 is included in the table below. Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Share-based awards, beginning of period 1,784,127 1,930,342 1,769,863 1,907,645 Granted 24,996 30,989 89,767 107,751 Vested (30,989 ) (23,231 ) (81,496 ) (77,296 ) Share-based awards, end of period 1,778,134 1,938,100 1,778,134 1,938,100 During the six months ended June 30, 2019 and 2018 , the Company withheld 19,546 and 21,196 shares of common stock, respectively, from participants to pay estimated withholding taxes related to shares that vested. In addition to the share-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 six months ended June 30, 2019 and 2018 is included in the table below. Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Outstanding and exercisable, beginning of period 390,776 366,731 328,533 318,100 Granted — — 235,572 203,836 Exercised (4,386 ) (1,870 ) (19,016 ) (10,705 ) Forfeited (23,172 ) (14,326 ) (39,797 ) (24,906 ) Expired — — (142,074 ) (135,790 ) Outstanding and exercisable, end of period 363,218 350,535 363,218 350,535

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2019
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 and cash equivalents - The carrying amount approximates fair value due to the short term maturity of these investments. Borrowings under the Unsecured Credit Facility and the Term Loan Due 2024 - 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. Interest rate swap agreements - Interest rate swap agreements are recorded in other liabilities on the Company's Consolidated Balance Sheets at fair value. Fair value is estimated by utilizing pricing models that consider forward yield curves and discount rates. The table below details the fair values and carrying values for notes and bonds payable at June 30, 2019 and December 31, 2018 . June 30, 2019 December 31, 2018 (Dollars in millions) Carrying Value Fair Value Carrying Value Fair Value Notes and bonds payable (1) $ 1,442.8 $ 1,455.7 $ 1,346.0 $ 1,326.5 ______ (1) Level 2 – model-derived valuations in which significant inputs and significant value drivers are observable in active markets.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Business Overview	Business Overview Healthcare Realty Trust Incorporated (the "Company") is a real estate investment trust ("REIT") that owns, leases, manages, acquires, finances, develops and redevelops income-producing real estate properties associated primarily with the delivery of outpatient healthcare services throughout the United States. As of June 30, 2019 , the Company had gross investments of approximately $4.1 billion in 201 real estate properties located in 26 states totaling approximately 15.3 million square feet. The Company provided leasing and property management services to approximately 11.1 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, 2018 . All material intercompany transactions and balances have been eliminated in consolidation. This interim financial information should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 . 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, 2019 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.
Revenue from Contract with Customers (Topic 606)	Revenue from Contracts with Customers (Topic 606) The Company recognizes certain revenue under the core principle of Topic 606. This requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Lease revenue is not within the scope of Topic 606. To achieve the core principle, the Company applies the five step model specified in the guidance. Revenue that is accounted for under Topic 606 is segregated on the Company’s Condensed Consolidated Statements of Income in the Other operating line item. This line item includes parking income, rental lease guaranty income, management fee income and other miscellaneous income. Below is a detail of the amounts by category: (in thousands) Three Months Ended June 30, Six Months Ended June 30, Type of Revenue 2019 2018 2019 2018 Parking income $ 1,870 $ 1,819 $ 3,603 $ 3,445 Rental lease guaranty — 146 128 321 Management fee income 64 69 133 137 Miscellaneous 32 34 64 60 $ 1,966 $ 2,068 $ 3,928 $ 3,963 The Company’s three major types of revenue that are accounted for under Topic 606 that are listed above are all accounted for as the performance obligation is satisfied. The performance obligations that are identified for each of these items are satisfied over time and the Company recognizes revenue monthly based on this principle.
New Accounting Pronouncements	New Accounting Pronouncements Accounting Standards Update No. 2016-02, No. 2018-01 and No. 2018-11 In February 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-02, "Leases." In January 2018, FASB issued ASU 2018-01, "Leases - Land Easement Practical Expedient for Transition to Topic 842," in July 2018, FASB issued ASU 2018-10, "Codification Improvements to Topic 842, Leases" and ASU 2018-11, "Leases - Targeted Improvements," and in December 2018, FASB issued ASU 2018-20, “Narrow-Scope Improvements for Lessors.” These accounting standard updates are collectively referred to as "Topic 842." Topic 842 provides several practical expedients that the Company elected. These are (a) the package of practical expedients offered that allows an entity not to reassess upon adoption (i) whether an expired or existing contract contains a lease, (ii) lease classification related to expired or existing lease arrangements, and (iii) whether costs incurred on expired or existing leases qualify as initial direct costs, (b) the lessor practical expedient not to separate certain non-lease components, such as common area maintenance, from the lease component if (i) the timing and pattern of transfer are the same for the non-lease component and associated lease component, and (ii) the lease component would be classified as an operating lease if accounted for separately and (c) the lessee practical expedient not to separate certain non-lease components from the associated lease component. 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 are classified as either finance or operating, with the classification affecting the pattern of expense recognition in the income statement. Ground leases executed or assumed prior to the adoption of Topic 842 will continue to be accounted for as operating leases and will not result in a materially different ground lease expense. However, each ground lease executed after the adoption of Topic 842 will be evaluated to determine if it is an operating or finance lease. If the lease is to be accounted for as a finance lease, ground lease expense would be accounted for using the effective interest method instead of the straight-line method over the term of the lease, which would result in higher ground lease expense in the earlier years of a ground lease when compared to the straight-line method. The Company's lease population is primarily ground leases, but also includes management office leases in third party buildings and certain copier and postage machine leases. The terms of the ground leases generally range from 40 to 99 years with a weighted average lease term remaining of 54.8 years , excluding renewal options. The Company's discount rates, which approximates the Company's incremental borrowing rate, ranged from 3.4% for leases expiring in 2019 to 6.2% for leases expiring in 2115. The Company utilized a third party to assist in determining the discount rates for its ground leases. The discount rates consider the general economic environment and factor in various financing and asset specific adjustments so that the discount rate is appropriate for the intended use of the underlying lease. As of January 1, 2019, the Company recognized the present value of its lease payments and a corresponding lease liability of $91.7 million . In addition, the Company reclassified $45.0 million of prepaid ground leases and below-market lease intangibles from the Other assets line item, $1.9 million of above-market lease intangibles from the Other liabilities line and $8.4 million of straight-line rent from the Accounts payable and accrued liabilities line item to the Operating lease right-of-use assets line item on the Condensed Consolidated Balance Sheets. For lessors, the new standard requires a lessor to classify leases as either sales-type, direct-financing or operating. A lease will be treated as a sale if it is considered to transfer control of the underlying asset to the lessee. A lease will be classified as direct-financing if risks and rewards are conveyed without the transfer of control. Otherwise, the lease is treated as an operating lease. Lessor accounting remains largely unchanged with some exceptions including the concept of separating lease and nonlease components. Nonlease components, such as common area maintenance, are generally accounted for under Topic 606 and separated from the lease payments. However, the Company elected the lessor practical expedient allowing the Company to not separate these components when certain conditions are met. The combined component is accounted for under Topic 842. Lease related receivables, which include accounts receivable and accrued straight-line rent receivables, are reduced for revenue reserves and are recognized as a reduction to rental income. The adoption of Topic 842, where the Company is the lessor, did not have a material impact on the Company's Condensed Consolidated Financial Statements for the three and six months ended June 30, 2019 . The new standard was effective for the Company on January 1, 2019. Topic 842 provides two transition alternatives. The Company elected to choose the prospective optional transition method available to apply the guidance in Accounting Standards Codification Topic 840 in the comparative periods presented in the year Topic 842 was adopted. Topic 842 includes extensive quantitative and qualitative disclosures as compared to Topic 840, Leases, for both lessees and lessors. See Note 3 for additional disclosures. Accounting Standards Update No. 2016-13 and No. 2018-19 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. ASU 2018-19 also clarifies that receivables arising from operating leases are not within the scope of this topic. Instead, impairment of these receivables should be accounted for in accordance with Topic 842, Leases. 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 Condensed 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 Condensed Consolidated Financial Statements and related notes from the adoption of this standard.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Disaggregation of revenue	Below is a detail of the amounts by category: (in thousands) Three Months Ended June 30, Six Months Ended June 30, Type of Revenue 2019 2018 2019 2018 Parking income $ 1,870 $ 1,819 $ 3,603 $ 3,445 Rental lease guaranty — 146 128 321 Management fee income 64 69 133 137 Miscellaneous 32 34 64 60 $ 1,966 $ 2,068 $ 3,928 $ 3,963

Real Estate Investments (Tables

Real Estate Investments (Tables)	6 Months Ended
	Jun. 30, 2019
Business Combinations [Abstract]
Summary of acquisitions	The following table details the Company's acquisitions for the six months ended June 30, 2019 : (Dollars in millions) Type (1) Date Purchase Price Cash (2) Real Other (3) Square (Unaudited) Washington, D.C. (4) MOB 3/28/19 $ 46.0 $ 45.9 $ 50.2 $ (4.3 ) 158,338 Indianapolis, IN (5) MOB 3/28/19 47.0 44.8 43.7 1.1 143,499 Atlanta, GA MOB 4/2/19 28.0 28.0 28.0 — 47,963 Dallas, TX MOB 6/10/19 17.0 16.7 17.0 (0.3 ) 89,990 Seattle, WA MOB 6/11/19 7.7 7.8 7.8 — 29,870 Seattle, WA MOB 6/14/19 19.0 19.1 19.5 (0.4 ) 47,255 Seattle, WA MOB 6/28/19 30.5 30.4 30.6 (0.2 ) 78,288 $ 195.2 $ 192.7 $ 196.8 $ (4.1 ) 595,203 ______ (1) MOB = medical office building (2) Cash consideration excludes prorations of revenue and expense due to/from seller at the time of the acquisition. (3) Includes other assets acquired, liabilities assumed, and intangibles recognized at acquisition. (4) Includes two properties. The Company assumed two ground leases in connection with this acquisition that are classified as financing leases. The present value of future lease payments totaling $14.3 million was recorded on the Company's Condensed Consolidated Balance Sheets. In addition, the right-of-use assets were partially offset by $5.2 million of above-market lease intangibles included in Other. (5) The Company assumed a prepaid ground lease totaling $0.8 million and recorded a below-market lease intangible totaling $0.9 million in connection with this acquisition that is classified as an operating lease that is included in Other.
Summary of dispositions	The following table details the Company's dispositions for the six months ended June 30, 2019 : (Dollars in millions) Type (1) Date Sales Price Closing Adjustments Net Net Real Other (2) Gain/ Square Unaudited ) Tucson, AZ (3) MOB 4/9/19 $ 13.0 $ (0.9 ) $ 12.1 $ 6.9 $ 0.4 $ 4.8 67,345 ______ (1) MOB = medical office building (2) Includes straight-line rent receivables, leasing commissions and lease inducements. (3)
Assets held for sale	The table below reflects the assets and liabilities of the properties classified as held for sale as of June 30, 2019 and December 31, 2018 : (Dollars in thousands) June 30, December 31, Balance Sheet data: Land $ 2,089 $ 1,125 Buildings, improvements and lease intangibles 36,534 18,231 38,623 19,356 Accumulated depreciation (32,594 ) (10,657 ) Real estate assets held for sale, net 6,029 8,699 Operating lease right-of-use assets 42 — Other assets, net 544 573 Assets held for sale, net $ 6,615 $ 9,272 Accounts payable and accrued liabilities $ 198 $ 450 Operating lease liabilities 42 — Other liabilities 271 137 Liabilities of properties held for sale $ 511 $ 587

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Future Minimum Lease Payments Receivable	Future lease payments under the non-cancelable operating leases, excluding any reimbursements, as of June 30, 2019 were as follows (in thousands): 2019 $ 172,488 2020 313,354 2021 267,340 2022 229,297 2023 188,965 2024 and thereafter 524,957 $ 1,696,401
Future Minimum Lease Payments Receivable under ASC 840	Future minimum lease payments under the non-cancelable operating leases, excluding any reimbursements, as of December 31, 2018 were as follows (in thousands): 2019 $ 326,441 2020 279,211 2021 235,660 2022 201,072 2023 163,978 2024 and thereafter 476,673 $ 1,683,035
Future Minimum Operating Lease Payments	The Company’s future lease payments (primarily for its 62 non-prepaid ground leases) as of June 30, 2019 were as follows (in thousands): Operating Financing 2019 $ 1,912 $ 214 2020 4,833 611 2021 4,862 619 2022 4,893 628 2023 4,931 637 2024 and thereafter 314,198 74,767 Total undiscounted lease payments 335,629 77,476 Discount (244,573 ) (63,260 ) Lease liabilities $ 91,056 $ 14,216
Future Minimum Financing Lease Payments	The Company’s future lease payments (primarily for its 62 non-prepaid ground leases) as of June 30, 2019 were as follows (in thousands): Operating Financing 2019 $ 1,912 $ 214 2020 4,833 611 2021 4,862 619 2022 4,893 628 2023 4,931 637 2024 and thereafter 314,198 74,767 Total undiscounted lease payments 335,629 77,476 Discount (244,573 ) (63,260 ) Lease liabilities $ 91,056 $ 14,216
Lease Cost	The following table provides a detail of the Company's total lease expense for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Operating lease cost Operating lease expense $ 1,163 $ 2,279 Variable lease expense 795 1,535 Finance lease cost Amortization of right-of-use assets 51 51 Interest on lease liabilities 196 196 Total lease expense $ 2,205 $ 4,061 Other information Operating cash flows outflows related to operating leases $ 1,402 $ 4,173 Financing cash flows outflows related to financing leases $ 142 $ 142 Right-of-use assets obtained in exchange for new finance lease liabilities $ — $ 14,294 Weighted-average remaining lease term (excluding renewal options) - operating leases 54.5 Weighted-average remaining lease term (excluding renewal options) -finance leases 70.3 Weighted-average discount rate - operating leases 5.5% Weighted-average discount rate - finance leases 5.9%
Future Minimum Lease Payments under ASC 840	The Company’s future minimum lease payments (primarily for its 60 non-prepaid ground leases) as of December 31, 2018 were as follows (in thousands): 2019 $ 5,288 2020 5,260 2021 5,238 2022 5,207 2023 5,224 2024 and thereafter 323,533 $ 349,750

Notes and Bonds Payable (Tables

Notes and Bonds Payable (Tables)	6 Months Ended
	Jun. 30, 2019
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) June 30, 2019 December 31, 2018 June 30, 2019 $700 million Unsecured Credit Facility 5/23 $ 320,000 $ 262,000 3.30 % $200 million Unsecured Term Loan Facility, net of issuance costs (1) 5/24 198,901 149,183 3.30 % $150 million Unsecured Term Loan due 2026 (2) 6/26 — — N/A Senior Notes due 2023, net of discount and issuance costs 4/23 248,328 248,117 3.95 % Senior Notes due 2025, net of discount and issuance costs (3) 5/25 248,399 248,278 4.08 % Senior Notes due 2028, net of discount and issuance costs 1/28 295,422 295,198 3.84 % Mortgage notes payable, net of discounts and issuance costs and including premiums 7/20-5/40 131,708 143,208 4.81 % $ 1,442,758 $ 1,345,984 ______ (1) The effective interest rate includes the impact of interest rate swaps on $ 175.0 million at a weighted average rate of 2.29% (plus the applicable margin rate, currently 100 basis points). (2) As of June 30, 2019, there were no outstanding loans under the $150.0 million unsecured term loan due June 2026. This term loan has a delayed draw feature that allows the Company to draw against the commitments until February 2020. (3) The effective interest rate includes the impact of the $1.7 million settlement of a forward-starting interest rate swap that is included in Accumulated other comprehensive loss on the Company's Condensed Consolidated Balance Sheets.

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)	As of June 30, 2019 , the Company had eight outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk: Derivative Instrument Number of Instruments Notional Amount (in millions) Interest rate swaps 8 $175.0
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value	The table below presents the fair value of the Company's derivative financial instruments, as well as their classification on the Condensed Consolidated Balance Sheet as of June 30, 2019 . Balance at June 30, 2019 (Dollars in thousands) Balance Sheet Location Fair Value Derivatives designated as hedging instruments Interest rate swaps Other liabilities $ 5,210 Total derivatives designated as hedging instruments $ 5,210
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)	The table below presents the effect of cash flow hedge accounting on OCI during the three and six months ended June 30, 2019 and 2018 related to the Company's outstanding interest rate swaps. Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Reclassified from Accumulated OCI into Income Three Months Ended June 30, Three Months Ended June 30, (Dollars in thousands) 2019 2018 2019 2018 Interest rate products $ (4,577 ) $ 517 Interest expense $ (43 ) $ 85 Settled interest rate swaps — — Interest expense 42 42 $ (4,577 ) $ 517 Total interest expense $ (1 ) $ 127 Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Reclassified from Accumulated OCI into Income Six Months Ended June 30, Six Months Ended June 30, (Dollars in thousands) 2019 2018 2019 2018 Interest rate products $ (5,301 ) $ 1,030 Interest expense $ (69 ) $ 190 Settled interest rate swaps — — Interest expense 84 84 $ (5,301 ) $ 1,030 Total interest expense $ 15 $ 274

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	6 Months Ended
	Jun. 30, 2019
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 six months ended June 30, 2019 and the year ended December 31, 2018 : June 30, 2019 December 31, 2018 Balance, beginning of period 125,279,455 125,131,593 Issuance of common stock 3,895,667 26,203 Nonvested share-based awards, net of withheld shares 70,221 121,659 Balance, end of period 129,245,343 125,279,455
Earnings (loss) per share	The following table sets forth the computation of basic and diluted earnings per common share for the three and six months ended June 30, 2019 and 2018 . Three Months Ended June 30, Six Months Ended June 30, (Dollars in thousands, except per share data) 2019 2018 2019 2018 Weighted average Common Shares outstanding Weighted average Common Shares outstanding 129,228,102 125,217,707 127,577,389 125,192,557 Nonvested shares (1,778,648 ) (1,933,073 ) (1,778,674 ) (1,921,489 ) Weighted average Common Shares outstanding—Basic 127,449,454 123,284,634 125,798,715 123,271,068 Weighted average Common Shares outstanding—Basic 127,449,454 123,284,634 125,798,715 123,271,068 Dilutive effect of employee stock purchase plan 75,153 36,371 90,640 53,092 Weighted average Common Shares outstanding—Diluted 127,524,607 123,321,005 125,889,355 123,324,160 Net Income $ 4,484 $ 37,729 $ 9,375 $ 46,908 Dividends paid on nonvested share-based awards (534 ) (582 ) (1,070 ) (1,160 ) Net income applicable to common stockholders $ 3,950 $ 37,147 $ 8,305 $ 45,748 Basic earnings per common share - Net income $ 0.03 $ 0.30 $ 0.07 $ 0.37 Diluted earnings per common share - Net income $ 0.03 $ 0.30 $ 0.07 $ 0.37
Summary of the activity under the Incentive Plan	A summary of the activity under the Company's share-based incentive plans for the three and six months ended June 30, 2019 and 2018 is included in the table below. Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Share-based awards, beginning of period 1,784,127 1,930,342 1,769,863 1,907,645 Granted 24,996 30,989 89,767 107,751 Vested (30,989 ) (23,231 ) (81,496 ) (77,296 ) Share-based awards, end of period 1,778,134 1,938,100 1,778,134 1,938,100
Summary of employee stock purchase plan activity	A summary of the activity under the Purchase Plan for the three and six months ended June 30, 2019 and 2018 is included in the table below. Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Outstanding and exercisable, beginning of period 390,776 366,731 328,533 318,100 Granted — — 235,572 203,836 Exercised (4,386 ) (1,870 ) (19,016 ) (10,705 ) Forfeited (23,172 ) (14,326 ) (39,797 ) (24,906 ) Expired — — (142,074 ) (135,790 ) Outstanding and exercisable, end of period 363,218 350,535 363,218 350,535

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2019
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 June 30, 2019 and December 31, 2018 . June 30, 2019 December 31, 2018 (Dollars in millions) Carrying Value Fair Value Carrying Value Fair Value Notes and bonds payable (1) $ 1,442.8 $ 1,455.7 $ 1,346.0 $ 1,326.5 ______ (1) Level 2 – model-derived valuations in which significant inputs and significant value drivers are observable in active markets.

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) ft² in Millions, $ in Billions	Jun. 30, 2019USD ($)ft²stateproperty
Business Overview:
Gross investment amount, total | $	$ 4.1
Number of real estate properties | property	201
Number of states that the Company owns real estate in, whole units | state	26
Square footage of owned real estate properties	15.3
Approximate square feet for which Nationwide property management services provided by company	11.1

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Disaggregation of Revenue [Line Items]
Other operating	$ 1,966	$ 2,068	$ 3,928	$ 3,963
Parking Income
Disaggregation of Revenue [Line Items]
Other operating	1,870	1,819	3,603	3,445
Rental Lease Guaranty
Disaggregation of Revenue [Line Items]
Other operating	0	146	128	321
Management Fee Income
Disaggregation of Revenue [Line Items]
Other operating	64	69	133	137
Miscellaneous
Disaggregation of Revenue [Line Items]
Other operating	$ 32	$ 34	$ 64	$ 60

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Impact of Adoption of New Accounting Standard (Details) - USD ($) $ in Thousands	Jan. 01, 2019	Jun. 30, 2019	Dec. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Weighted-average remaining lease term - operating leases		54 years 6 months
Operating lease right-of-use assets		$ 127,326
Operating lease liabilities		$ 91,056
Minimum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Ground lease, initial term			50 years
Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Ground lease, initial term			75 years
Weighted Average Remaining Term
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Ground lease, initial term			53 years 10 months 24 days
Accounting Standards Update 2016-02 | Minimum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Ground lease, initial term		40 years
Ground lease, discount rate (percent)			3.40%
Operating lease liabilities			$ 91,700
Accounting Standards Update 2016-02 | Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Ground lease, initial term		99 years
Ground lease, discount rate (percent)			6.20%
Accounting Standards Update 2016-02 | Weighted Average Remaining Term
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Ground lease, initial term		54 years 9 months 18 days
Other Assets
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Transfers to operating lease, right-of-use assets	$ 45,000
Other liabilities
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Transfers to operating lease, right-of-use assets	1,900
Accounts Payable and Accrued Liabilities
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Transfers to operating lease, right-of-use assets	$ 8,400

Real Estate Investments - Acqui

Real Estate Investments - Acquisitions (Details) $ in Thousands	Jun. 26, 2019USD ($)ft²	Jun. 14, 2019USD ($)ft²	Jun. 11, 2019USD ($)ft²	Jun. 10, 2019USD ($)ft²	Apr. 02, 2019USD ($)ft²	Mar. 28, 2019USD ($)ft²	May 03, 2018property	Jun. 30, 2019USD ($)ft²
Business Acquisition [Line Items]
Financing lease liabilities								$ 14,216
Real Estate Acquisition
Business Acquisition [Line Items]
Purchase price								195,200
Cash consideration								192,700
Real Estate								196,800
Other								$ (4,100)
Square footage | ft²								595,203
Medical Office Building | Washington, D.C. (4) | Real Estate Acquisition
Business Acquisition [Line Items]
Number of properties acquired | property							2
Date Acquired						Mar. 28, 2019
Purchase price						$ 46,000
Cash consideration						45,900
Real Estate						50,200
Other						$ (4,300)
Square footage | ft²						158,338
Financing lease liabilities								$ 14,300
Above-market lease intangibles								$ 5,200
Medical Office Building | Indianapolis, IN (5) | Real Estate Acquisition
Business Acquisition [Line Items]
Date Acquired						Mar. 28, 2019
Purchase price						$ 47,000
Cash consideration						44,800
Real Estate						43,700
Other						$ 1,100
Square footage | ft²						143,499
Prepaid ground leases						$ 800
Below-market lease intangible						$ 900
Medical Office Building | Atlanta, GA | Real Estate Acquisition
Business Acquisition [Line Items]
Date Acquired					Apr. 2, 2019
Purchase price					$ 28,000
Cash consideration					28,000
Real Estate					28,000
Other					$ 0
Square footage | ft²					47,963
Medical Office Building | Dallas, TX | Real Estate Acquisition
Business Acquisition [Line Items]
Date Acquired				Jun. 10, 2019
Purchase price				$ 17,000
Cash consideration				16,700
Real Estate				17,000
Other				$ (300)
Square footage | ft²				89,990
Medical Office Building | Seattle WA | Real Estate Acquisition
Business Acquisition [Line Items]
Date Acquired	Jun. 28, 2019	Jun. 14, 2019	Jun. 11, 2019
Purchase price	$ 30,500	$ 19,000	$ 7,700
Cash consideration	30,400	19,100	7,800
Real Estate	30,600	19,500	7,800
Other	$ (200)	$ (400)	$ 0
Square footage | ft²	78,288	47,255	29,870

Real Estate Investments - Dispo

Real Estate Investments - Dispositions (Details) - Real Estate Dispositions - Tucson, Arizona $ in Millions	Apr. 09, 2019USD ($)ft²
Real Estate Dispositions [Line Items]
Disposal Date	Apr. 9, 2019
Sales price	$ 13
Closing Adjustments	(0.9)
Net Proceeds	12.1
Net Real Estate Investment	6.9
Real Estate Other	0.4
Gain/(Impairment)	$ 4.8
Square footage | ft²	67,345

Real Estate Investments - Asset

Real Estate Investments - Assets Held for Sale (Details) $ in Millions	6 Months Ended
	Jun. 30, 2019USD ($)property	Dec. 31, 2018property
Long Lived Assets Held-for-sale [Line Items]
Number of properties held for sale | property	3	1
Net investment in property held for sale	$ 1.3
Pennsylvania
Long Lived Assets Held-for-sale [Line Items]
Impairment of assets held-for-sale	5.2
Virginia
Long Lived Assets Held-for-sale [Line Items]
Impairment of assets held-for-sale	$ 0.4

Real Estate Investments - Disco

Real Estate Investments - Discontinued Operations and Assets Held for Sale - Balance Sheet (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Balance Sheet data (as of the period ended):
Land	$ 247,772	$ 230,206
Investment Building and Building Improvements	3,845,546	3,675,415
Real estate properties, Total	4,165,765	3,974,071
Accumulated depreciation	(1,064,408)	(1,015,174)
Total real estate properties, net	3,101,357	2,958,897
Liabilities of properties held for sale	511	587
Inpatient Rehabilitation Facility | Disposal Group, Held-for-sale, Not Discontinued Operations
Balance Sheet data (as of the period ended):
Land	2,089	1,125
Investment Building and Building Improvements	36,534	18,231
Real estate properties, Total	38,623	19,356
Accumulated depreciation	(32,594)	(10,657)
Total real estate properties, net	6,029	8,699
Operating lease right-of-use assets	42	0
Other assets, net	544	573
Assets held for sale, net	6,615	9,272
Accounts payable and accrued liabilities	198	450
Operating lease liabilities	42	0
Other liabilities	271	137
Liabilities of properties held for sale	$ 511	$ 587

Leases - Lease Income (Details)

Leases - Lease Income (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Leases [Abstract]
Rental income	$ 114,351,000	$ 109,566,000	$ 225,046,000	$ 219,795,000

Leases - Lessor Accounting (Det

Leases - Lessor Accounting (Details) $ in Thousands	Jun. 30, 2019USD ($)
Future Lease Payments Receivable [Abstract]
2019	$ 172,488
2020	313,354
2021	267,340
2022	229,297
2023	188,965
2024 and thereafter	524,957
Total	$ 1,696,401

Leases - Future Lease Payments

Leases - Future Lease Payments Receivable under ASC 840 (Details) $ in Thousands	Dec. 31, 2018USD ($)
Leases [Abstract]
2019	$ 326,441
2020	279,211
2021	235,660
2022	201,072
2023	163,978
2024 and thereafter	476,673
Total	$ 1,683,035

Leases - Ground Leases (Details

Leases - Ground Leases (Details) ft² in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019USD ($)propertyLease	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)ft²propertyLease	Jun. 30, 2018USD ($)	Dec. 31, 2018ft²propertyLease
Lessee, Lease, Description [Line Items]
Number of ground leases where rent has not yet commenced	1		1
Rental income | $	$ 114,351,000	$ 109,566,000	$ 225,046,000	$ 219,795,000
Number of properties subject to ground leases | property	108		108		107
Number of properties held for sale, excluded from ground leases | property	1		1
Square feet subject to ground leases | ft²			9		8.8
Number of prepaid ground leases			46
Amortization of prepaid rent | $	$ 200,000	$ 100,000	$ 300,000	$ 300,000
Number of non-prepaid ground leases	62		62		60
Weighted Average Remaining Term
Lessee, Lease, Description [Line Items]
Ground lease, initial term					53 years 10 months 24 days
Minimum
Lessee, Lease, Description [Line Items]
Ground lease, initial term					50 years
Term of lease, including renewals					75 years
Maximum
Lessee, Lease, Description [Line Items]
Ground lease, initial term					75 years
Term of lease, including renewals					100 years
Accounting Standards Update 2016-02 | Weighted Average Remaining Term
Lessee, Lease, Description [Line Items]
Ground lease, initial term	54 years 9 months 18 days		54 years 9 months 18 days
Term of lease, including renewals			70 years 6 months
Accounting Standards Update 2016-02 | Minimum
Lessee, Lease, Description [Line Items]
Ground lease, initial term	40 years		40 years
Accounting Standards Update 2016-02 | Maximum
Lessee, Lease, Description [Line Items]
Ground lease, initial term	99 years		99 years

Leases - Future Minimum Lease P

Leases - Future Minimum Lease Payments (Details) $ in Thousands	Jun. 30, 2019USD ($)
Operating
2019	$ 1,912
2020	4,833
2021	4,862
2022	4,893
2023	4,931
2024 and thereafter	314,198
Total undiscounted lease payments	335,629
Discount	(244,573)
Lease liabilities	91,056
Financing
2019	214
2020	611
2021	619
2022	628
2023	637
2024 and thereafter	74,767
Total undiscounted lease payments	77,476
Discount	(63,260)
Lease liabilities	$ 14,216

Leases - Lease Cost (Details)

Leases - Lease Cost (Details) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2019USD ($)
Operating lease cost
Operating lease expense	$ 1,163	$ 2,279
Interest on lease liabilities	795	1,535
Amortization of right-of-use assets	51	51
Interest on lease liabilities	196	196
Lease, Cost	2,205	4,061
Other information
Operating cash flows outflows related to operating leases	1,402	4,173
Financing cash flows outflows related to financing leases	142	142
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 0
Right-of-use assets obtained in exchange for new finance lease liabilities		$ 14,294
Weighted-average remaining lease term - operating leases	54 years 6 months	54 years 6 months
Weighted-average remaining lease term - finance leases	70 years 3 months 18 days	70 years 3 months 18 days
Weighted-average discount rate - operating leases (percent)	5.50%	5.50%
Weighted-average discount rate - finance leases (percent)	5.90%	5.90%

Leases - Future Minimum Lease_2

Leases - Future Minimum Lease Payments under ASC 840 (Details) $ in Thousands	Dec. 31, 2018USD ($)
Leases [Abstract]
2019	$ 5,288
2020	5,260
2021	5,238
2022	5,207
2023	5,224
2024 and thereafter	323,533
Total	$ 349,750

Notes and Bonds Payable (Detail

Notes and Bonds Payable (Details)	May 31, 2019USD ($)	Apr. 10, 2019USD ($)ft²	Jun. 30, 2019USD ($)ft²	Jun. 30, 2019USD ($)ft²	May 30, 2019USD ($)	Dec. 31, 2018USD ($)
Debt Instrument [Line Items]
Notes and bonds payable			$ 1,442,758,000	$ 1,442,758,000		$ 1,345,984,000
Area of real estate property | ft²			15,300,000	15,300,000
Line of Credit | $700 million Unsecured Credit Facility
Debt Instrument [Line Items]
Notes and bonds payable			$ 320,000,000	$ 320,000,000		262,000,000
Effective interest rate (percent)			3.30%	3.30%
Line of Credit | Amended and Restated Unsecured Credit Facility Due 2023
Debt Instrument [Line Items]
Maximum borrowing capacity on unsecured credit facility	$ 700,000,000
Commitment fee (percent)			0.20%
Debt issuance costs	3,500,000
Medium-term Notes | $200 million Unsecured Term Loan Facility, net of issuance costs (1)
Debt Instrument [Line Items]
Notes and bonds payable			$ 198,901,000	$ 198,901,000		149,183,000
Effective interest rate (percent)			3.30%	3.30%
Term-loan facility	200,000,000
Term loan margin rate (percent)			1.00%	1.00%
Medium-term Notes | Unsecured Term Loan due 2022
Debt Instrument [Line Items]
Term-loan facility					$ 150,000,000
Medium-term Notes | $150 million Unsecured Term Loan due 2026
Debt Instrument [Line Items]
Notes and bonds payable			$ 0	$ 0
Term-loan facility	$ 150,000,000
Term of loan facility	7 years
Term loan margin rate (percent)			1.60%
Delayed draw feature period	9 months
Ticking fee (percent)			0.20%
Medium-term Notes | Term Loan Agreement
Debt Instrument [Line Items]
Up front fees paid to lenders	$ 1,800,000
Up front fees to be amortized	$ 1,000,000
Amortization of up front lender fees			$ 800,000
Senior Notes | Senior Notes due 2023, net of discount and issuance costs
Debt Instrument [Line Items]
Notes and bonds payable			$ 248,328,000	$ 248,328,000		248,117,000
Effective interest rate (percent)			3.95%	3.95%
Senior Notes | Senior Notes due 2025, net of discount and issuance costs (3)
Debt Instrument [Line Items]
Notes and bonds payable			$ 248,399,000	$ 248,399,000		248,278,000
Effective interest rate (percent)			4.08%	4.08%
Senior Notes | Senior Notes due 2028, net of discount and issuance costs
Debt Instrument [Line Items]
Notes and bonds payable			$ 295,422,000	$ 295,422,000		295,198,000
Effective interest rate (percent)			3.84%	3.84%
Mortgages | Mortgage notes payable, net of discounts and issuance costs and including premiums
Debt Instrument [Line Items]
Notes and bonds payable			$ 131,708,000	$ 131,708,000		$ 143,208,000
Effective interest rate (percent)		5.00%	4.81%	4.81%
Outstanding principal repaid		$ 8,900,000
Area of real estate property | ft²		52,813
Interest Rate Swap | Medium-term Notes | $200 million Unsecured Term Loan Facility, net of issuance costs (1)
Debt Instrument [Line Items]
Notional amount			$ 175,000,000	$ 175,000,000
Derivative, fixed interest rate (percent)			2.29%	2.29%
Interest Rate Swap | Senior Notes | Senior Notes due 2025, net of discount and issuance costs (3)
Debt Instrument [Line Items]
Loss on forward starting interest rate swap agreement recognized in OCI				$ 1,700,000
Minimum | Line of Credit | Amended and Restated Unsecured Credit Facility Due 2023
Debt Instrument [Line Items]
Commitment fee (percent)	0.125%
Minimum | Medium-term Notes | $200 million Unsecured Term Loan Facility, net of issuance costs (1)
Debt Instrument [Line Items]
Term loan margin rate (percent)	0.85%
Minimum | Medium-term Notes | $150 million Unsecured Term Loan due 2026
Debt Instrument [Line Items]
Term loan margin rate (percent)	1.45%
Ticking fee (percent)	0.125%
Maximum | Line of Credit | Amended and Restated Unsecured Credit Facility Due 2023
Debt Instrument [Line Items]
Commitment fee (percent)	0.30%
Maximum | Medium-term Notes | $200 million Unsecured Term Loan Facility, net of issuance costs (1)
Debt Instrument [Line Items]
Term loan margin rate (percent)	1.65%
Maximum | Medium-term Notes | $150 million Unsecured Term Loan due 2026
Debt Instrument [Line Items]
Term loan margin rate (percent)	2.40%
Ticking fee (percent)	0.30%
LIBOR | Line of Credit | Amended and Restated Unsecured Credit Facility Due 2023
Debt Instrument [Line Items]
Credit facility margin rate (percent)			0.90%
LIBOR | Minimum | Line of Credit | Amended and Restated Unsecured Credit Facility Due 2023
Debt Instrument [Line Items]
Credit facility margin rate (percent)	0.775%
LIBOR | Maximum | Line of Credit | Amended and Restated Unsecured Credit Facility Due 2023
Debt Instrument [Line Items]
Credit facility margin rate (percent)	1.45%

Derivative Financial Instrume_3

Derivative Financial Instruments - Derivative Instruments Designated as Cash Flow Hedges (Details) - Cash Flow Hedging - Designated as Hedging Instrument - Interest Rate Swap $ in Millions	Jun. 30, 2019USD ($)swap_agreement	May 15, 2019USD ($)swap_agreement	Apr. 12, 2019USD ($)swap_agreement
Derivative [Line Items]
Number of instruments | swap_agreement	8	2	2
Notional amount | $	$ 175	$ 50	$ 50

Derivative Financial Instrume_4

Derivative Financial Instruments - Fair Value of Derivative Instruments on the Balance Sheet (Details) - Designated as Hedging Instrument - Interest Rate Swap $ in Thousands	Jun. 30, 2019USD ($)
Derivative [Line Items]
Liability derivatives	$ 5,210
Other liabilities
Derivative [Line Items]
Liability derivatives	$ 5,210

Derivative Financial Instrume_5

Derivative Financial Instruments - Effect of Cash Flow Hedging on AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Derivative [Line Items]
Gain (Loss) Recognized in OCI on Derivative	$ (4,577)	$ 517	$ (5,301)	$ 1,030
Gain (Loss) Reclassified from Accumulated OCI into Income	1	(127)	(15)	(274)
Interest Rate Products
Derivative [Line Items]
Gain (Loss) Recognized in OCI on Derivative	(4,577)	517	(5,301)	1,030
Settled Interest Rate Swaps
Derivative [Line Items]
Gain (Loss) Recognized in OCI on Derivative	0	0	0	0
Interest Expense
Derivative [Line Items]
Gain (Loss) Reclassified from Accumulated OCI into Income	(1)	127	15	274
Interest Expense | Interest Rate Products
Derivative [Line Items]
Gain (Loss) Reclassified from Accumulated OCI into Income	(43)	85	(69)	190
Interest Expense | Settled Interest Rate Swaps
Derivative [Line Items]
Gain (Loss) Reclassified from Accumulated OCI into Income	$ 42	$ 42	$ 84	$ 84

Derivative Financial Instrume_6

Derivative Financial Instruments - Additional Information (Details) $ in Millions	Jun. 30, 2019USD ($)swap_agreement	May 15, 2019USD ($)swap_agreement	Apr. 12, 2019USD ($)swap_agreement
Active Interest Rate Swap
Derivative Instruments, Gain (Loss) [Line Items]
Interest rate cash flow hedge gain (loss) to be reclassified to interest expense during the next 12 months	$ 0.9
Designated as Hedging Instrument | Cash Flow Hedging | Interest Rate Swap
Derivative Instruments, Gain (Loss) [Line Items]
Number of instruments | swap_agreement	8	2	2
Notional amount	$ 175	$ 50	$ 50
Derivative, fixed interest rate (percent)		2.13%	2.33%

Commitments and Contingencies -

Commitments and Contingencies - Construction Activity (Details) $ in Millions	Jun. 30, 2019USD ($)ft²
Other Commitments [Line Items]
Approximate Square Feet | ft²	15,300,000
Medical Office Building Expansion | NORTH CAROLINA
Other Commitments [Line Items]
Approximate Square Feet | ft²	40,278
Medical Office Building | NORTH CAROLINA
Other Commitments [Line Items]
Total amount funded	$ 9.8
Estimated amount to complete project	$ 2.2
Medical Office Building | Washington
Other Commitments [Line Items]
Approximate Square Feet | ft²	151,000
Total amount funded	$ 37.3
Estimated amount to complete project	$ 26.8

Stockholders' Equity - Reconcil

Stockholders' Equity - Reconciliation of beginning and ending common stock outstanding (Details) - shares	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Class of Stock [Line Items]
Document Period End Date	Jun. 30, 2019
Reconciliation of the beginning and ending common stock outstanding
Balance, beginning of period	125,279,000
Balance, end of period	129,245,000
Common Stock
Reconciliation of the beginning and ending common stock outstanding
Balance, beginning of period	125,279,455	125,131,593
Issuance of common stock	3,895,667	26,203
Nonvested share-based awards, net of withheld shares	70,221	121,659
Balance, end of period	129,245,343	125,279,455

Stockholders' Equity (Stock Tra

Stockholders' Equity (Stock Transactions - Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands	Jul. 29, 2019	Mar. 19, 2019	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Jul. 26, 2019	Dec. 31, 2018
Class of Stock [Line Items]
Common stock, par value (dollars per share)			$ 0.01		$ 0.01			$ 0.01
Proceeds from Issuance of Common Stock					$ 120,668	$ 347
Dividends declared per common share, during the period (in dollars per share)			$ 0.30	$ 0.30	$ 0.60	$ 0.60
At The Market Equity Offering Program
Class of Stock [Line Items]
Issuance of common stock (shares)			0		135,265
Proceeds from Issuance of Common Stock					$ 4,300
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)							5,733,432
Equity Offering
Class of Stock [Line Items]
Issuance of common stock (shares)		3,737,500
Common stock, par value (dollars per share)		$ 0.01
Shares Issued, Price Per Share		$ 31.40
Proceeds from Issuance of Common Stock		$ 115,800
Minimum | At The Market Equity Offering Program
Class of Stock [Line Items]
Shares Issued During Period, Price Per Share					$ 32.01
Maximum | At The Market Equity Offering Program
Class of Stock [Line Items]
Shares Issued During Period, Price Per Share					32.86
Weighted Average | At The Market Equity Offering Program
Class of Stock [Line Items]
Shares Issued During Period, Price Per Share					$ 32.36

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		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Weighted average Common Shares outstanding
Weighted average Common Shares outstanding	129,228,102	125,217,707	127,577,389	125,192,557
Nonvested shares	(1,778,648)	(1,933,073)	(1,778,674)	(1,921,489)
Weighted average Common Shares—Basic	127,449,454	123,284,634	125,798,715	123,271,068
Dilutive effect of employee stock purchase plan	75,153	36,371	90,640	53,092
Weighted average Common Shares outstanding—Diluted	127,524,607	123,321,005	125,889,355	123,324,160
Net Income	$ 4,484	$ 37,729	$ 9,375	$ 46,908
Dividends paid on nonvested share-based awards	(534)	(582)	(1,070)	(1,160)
Net income applicable to common stockholders	$ 3,950	$ 37,147	$ 8,305	$ 45,748
Basic earnings per common share (in dollars per share)	$ 0.03	$ 0.30	$ 0.07	$ 0.37
Diluted earnings per common share (in dollars per share)	$ 0.03	$ 0.30	$ 0.07	$ 0.37

Stockholders' Equity - Summary

Stockholders' Equity - Summary of activity under stock-based incentive plans (Details) - Stock Incentive Plan - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Summary of the activity under the incentive plans
Share-based awards, beginning of period	1,784,127	1,930,342	1,769,863	1,907,645
Granted (shares)	24,996	30,989	89,767	107,751
Vested (shares)	(30,989)	(23,231)	(81,496)	(77,296)
Share-based awards, end of period	1,778,134	1,938,100	1,778,134	1,938,100
Restricted Stock
Summary of the activity under the incentive plans
Shares withheld to pay estimated withholding taxes			19,546	21,196

Stockholders' Equity - Summar_2

Stockholders' Equity - Summary of activity under Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Summary of the Employee Stock Purchase Plan activity
Outstanding and exercisable, beginning of period (shares)	390,776	366,731	328,533	318,100
Granted (shares)	0	0	235,572	203,836
Exercised (shares)	(4,386)	(1,870)	(19,016)	(10,705)
Forfeited (shares)	(23,172)	(14,326)	(39,797)	(24,906)
Expired (shares)	0	0	(142,074)	(135,790)
Outstanding and exercisable, end of period (shares)	363,218	350,535	363,218	350,535

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Carrying Value
Derivative [Line Items]
Notes and bonds payable	$ 1,442.8	$ 1,346
Fair Value
Derivative [Line Items]
Notes and bonds payable	$ 1,455.7	$ 1,326.5