2.4.0.8010040 - Disclosure - Net Investments in Propertiestruefalsefalse1false falsefalseFROM_Jan01_2013_TO_Jun30_2013http://www.sec.gov/CIK0001025378duration2013-01-01T00:00:002013-06-30T00:00:001true 1us-gaap_RealEstateAbstractus-gaap_truenadurationfalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsexbrli:stringItemTypestringfalse0Net Investments in Properties2false 2us-gaap_RealEstateDisclosureTextBlockus-gaap_truenadurationfalsefalsefalsefalsefalsefalsefalsefalseverboseLabel1falsefalsefalse00Note 4. Net Investments in Properties Real Estate Real estate, which consists of land and buildings leased to others under operating leases and are carried at cost, is summarized as follows (in thousands): <div><table style="border-collapse:collapse;margin-top:20px;"><tr style="height: 15px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:left;border-color:#000000;min-width:100px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:left;border-color:#000000;min-width:100px;"> </td></tr><tr style="height: 15px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td colspan="2" style="width: 110px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:110px;">June 30, 2013</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 110px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:110px;">December 31, 2012</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;">Land</td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;text-align:right;border-color:#000000;min-width:100px;"> 532,425</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;text-align:right;border-color:#000000;min-width:100px;"> 509,530</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;">Buildings</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:right;border-color:#000000;min-width:100px;"> 1,918,443</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:right;border-color:#000000;min-width:100px;"> 1,824,958</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;">Less: Accumulated depreciation</td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;border-color:#000000;min-width:100px;"> (143,756)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;border-color:#000000;min-width:100px;"> (116,075)</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:100px;"> 2,307,112</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:100px;"> 2,218,413</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td style="width: 10px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:100px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:100px;"> </td></tr></table></div>During the six months ended June 30, 2013, we entered into the following investments, which were deemed to be real estate asset acquisitions because we entered into new leases with the sellers, at a total cost of $124.4 million, including net lease intangibles of $26.5 million (Note 7) and acquisition-related costs of $0.1 million, which were capitalized: <ul><li>a domestic investment for $72.4 million for an office building, which we funded in part with the escrowed proceeds of $25.3 million from a sale of property in December 2012 in an exchange transaction under Section 1031 of the Internal Revenue Code of 1986, as amended (the “Code”), and non-recourse mortgage financing of $36.5 million (Note 10); and</li><li>an investment in Finland for $52.0 million for an office and research and development facility. During the six months ended June 30, 2013, we also entered into the following investments, which were deemed to be business combinations because we assumed the existing leases on the properties, at a total cost of $60.8 million, including land of $12.5 million, buildings of $40.1 million and net lease intangibles of $8.2 million (Note 7): </li><li>an investment in the Netherlands for $35.3 million for a logistics facility; and</li><li>a domestic investment for $25.5 million for an office building, which we funded with the escrowed proceeds from the sale of the U. S. Airways Group, Inc. (“U. S. Airways”) investment in an exchange transaction under Section 1031 of the Code (Note 6).</li></ul> In connection with these business combinations, we expensed aggregate acquisition-related costs of $2.9 million, which are included in General and administrative expenses in the consolidated financial statements.  Dollar amounts above are based on the exchange rate of the euro on the dates of acquisition, as applicable. Assets disposed of and reclassified as held-for-sale during the six months ended June 30, 2013 are discussed in Note 13. Impairment charges recognized on these properties are discussed in Note 8. During this period, the U.S. dollar strengthened against the euro, as the end-of-period rate for the U.S. dollar in relation to the euro at June 30, 2013 decreased by 1.6% to $1.3013 from $1.3218 at December 31, 2012. The impact of this strengthening was a $7.6 million decrease in the carrying value of Real estate from December 31, 2012 to June 30, 2013. In connection with restructuring two leases, we reclassified $5.6 million of properties from Net investment in direct financing leases to Real estate during the six months ended June 30, 2013 (Note 5). In connection with anticipated sales of properties during the six months ended June 30, 2013, we reclassified three domestic properties with an aggregate carrying value of $21.3 million to Assets held for sale, which includes real estate, net of $20.0 million and net lease intangibles of $1.3 million (Note 13).  Operating Real Estate Operating real estate, which consists of our investments in 21 self-storage properties through our Carey Storage Management LLC (“Carey Storage”) subsidiary and our Livho Inc. (“Livho”) hotel subsidiary, at cost, is summarized as follows (in thousands): <div><table style="border-collapse:collapse;margin-top:20px;"><tr style="height: 15px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:left;border-color:#000000;min-width:100px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:left;border-color:#000000;min-width:100px;"> </td></tr><tr style="height: 15px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td colspan="2" style="width: 110px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:110px;">June 30, 2013</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 110px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:110px;">December 31, 2012</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;">Land</td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;text-align:right;border-color:#000000;min-width:100px;"> 21,962</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;text-align:right;border-color:#000000;min-width:100px;"> 22,158</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;">Buildings </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:right;border-color:#000000;min-width:100px;"> 76,794</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; text-align:right;border-color:#000000;min-width:100px;"> 77,545</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;background-color:#CCFFFF;border-color:#000000;min-width:495px;">Less: Accumulated depreciation</td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;background-color:#CCFFFF;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;background-color:#CCFFFF;border-color:#000000;min-width:100px;"> (21,253)</td><td style="width: 5px; text-align:left;background-color:#CCFFFF;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;background-color:#CCFFFF;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;background-color:#CCFFFF;border-color:#000000;min-width:100px;"> (19,993)</td></tr><tr style="height: 17px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:100px;"> 77,503</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 100px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:100px;"> 79,710</td></tr><tr style="height: 15px"><td style="width: 495px; text-align:left;border-color:#000000;min-width:495px;"> </td><td style="width: 10px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:100px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 100px; border-top-style:double;border-top-width:3px;text-align:left;border-color:#000000;min-width:100px;"> </td></tr></table></div>During the six months ended June 30, 2013, we recognized an impairment charge of $1.1 million on our hotel property to write down the property's carrying value to its estimated fair value (Note 8) in connection with a potential sale. falsefalsefalsenonnum:textBlockItemTypenaThe entire disclosure for certain real estate investment financial statements, real estate investment trust operating support agreements, real estate owned, retail land sales, time share transactions, as well as other real estate related disclosures.Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 144 -Paragraph 7, 34 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. 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