Condensed Consolidating Financial Statements (Tables)

9 Months Ended

Sep. 30, 2014

Condensed Consolidating Financial Statements [Abstract]

Condensed Consolidating Balance Sheet As of September 30, 2014

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors		Non- Guarantor Subsidiaries		Consolidated Elimination			Consolidated
Assets
Rental properties, net	$	—		$	1,642,354	$	727,844	$	—		$	2,370,198
Land held for development	—			—		204,641		—			204,641
Property under development	—			176,638		12,413		—			189,051
Mortgage notes and related accrued interest receivable	—			483,602		62,663		—			546,265
Investment in a direct financing lease, net	—			198,551		—		—			198,551
Investment in joint ventures	—			—		5,343		—			5,343
Cash and cash equivalents	(442		)	1,294		7,534		—			8,386
Restricted cash	—			24,940		1,871		—			26,811
Deferred financing costs, net	15,820			4,536		638		—			20,994
Accounts receivable, net	148			29,660		14,661		—			44,469
Intercompany notes receivable	—			—		175,757		(175,757		)	—
Investments in subsidiaries	3,107,517			—		—		(3,107,517		)	—
Other assets	20,818			9,563		34,141		—			64,522
Total assets	$	3,143,861		$	2,571,138	$	1,247,506	$	(3,283,274	)	$	3,679,231
Liabilities and Equity
Liabilities:
Accounts payable and accrued liabilities	$	33,530		$	35,911	$	2,070	$	—		$	71,511
Dividends payable	22,240			—		—		—			22,240
Unearned rents and interest	750			29,764		6,037		—			36,551
Intercompany notes payable	—			—		175,757		(175,757		)	—
Debt	1,160,000			34,000		427,211		—			1,621,211
Total liabilities	1,216,520			99,675		611,075		(175,757		)	1,751,513
EPR Properties shareholders’ equity	1,927,341			2,471,463		636,054		(3,107,517		)	1,927,341
Noncontrolling interests	—			—		377		—			377
Total equity	$	1,927,341		$	2,471,463	$	636,431	$	(3,107,517	)	$	1,927,718
Total liabilities and equity	$	3,143,861		$	2,571,138	$	1,247,506	$	(3,283,274	)	$	3,679,231

Condensed Consolidating Balance Sheet As of December 31, 2013

	EPR Properties (Issuer)		Wholly Owned Subsidiary Guarantors		Non- Guarantor Subsidiaries		Consolidated Elimination			Consolidated
Assets
Rental properties, net	$	—	$	1,474,501	$	629,650	$	—		$	2,104,151
Land held for development	—		—		201,342		—			201,342
Property under development	18		84,397		5,058		—			89,473
Mortgage notes and related accrued interest receivable	—		460,533		25,804		—			486,337
Investment in a direct financing lease, net	—		242,212		—		—			242,212
Investment in joint ventures	—		—		5,275		—			5,275
Cash and cash equivalents	449		1,826		5,683		—			7,958
Restricted cash	1,150		6,735		1,829		—			9,714
Deferred financing costs, net	17,221		5,439		684		—			23,344
Accounts receivable, net	106		25,158		17,274		—			42,538
Intercompany notes receivable	—		—		175,757		(175,757		)	—
Investments in subsidiaries	2,852,543		—		—		(2,852,543		)	—
Other assets	19,292		11,040		29,600		—			59,932
Total assets	$	2,890,779	$	2,311,841	$	1,097,956	$	(3,028,300	)	$	3,272,276
Liabilities and Equity
Liabilities:
Accounts payable and accrued liabilities	$	43,589	$	20,564	$	8,174	$	—		$	72,327
Dividends payable	19,553		—		—		—			19,553
Unearned rents and interest	—		14,295		2,751		—			17,046
Intercompany notes payable	—		—		175,757		(175,757		)	—
Debt	1,140,000		—		335,336		—			1,475,336
Total liabilities	1,203,142		34,859		522,018		(175,757		)	1,584,262
EPR Properties shareholders’ equity	1,687,637		2,276,982		575,561		(2,852,543		)	1,687,637
Noncontrolling interests	—		—		377		—			377
Total equity	$	1,687,637	$	2,276,982	$	575,938	$	(2,852,543	)	$	1,688,014
Total liabilities and equity	$	2,890,779	$	2,311,841	$	1,097,956	$	(3,028,300	)	$	3,272,276

Condensed Consolidating Statement Of Income

Condensed Consolidating Statement of Income Three Months Ended September 30, 2014

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors			Non- Guarantors Subsidiaries		Consolidated Elimination			Consolidated
Rental revenue	$	—		$	50,308		$	24,102	$	—		$	74,410
Tenant reimbursements	—			1,003			3,483		—			4,486
Other income	—			—			345		—			345
Mortgage and other financing income	187			18,161			1,149		—			19,497
Intercompany fee income	788			—			—		(788		)	—
Interest income on intercompany notes receivable	—			—			5,961		(5,961		)	—
Total revenue	975			69,472			35,040		(6,749		)	98,738
Equity in subsidiaries’ earnings	58,203			—			—		(58,203		)	—
Property operating expense	—			2,173			3,775		—			5,948
Intercompany fee expense	—			—			788		(788		)	—
Other expense	—			—			248		—			248
General and administrative expense	—			4,452			2,267		—			6,719
Interest expense, net	15,787			(617		)	5,631		—			20,801
Interest expense on intercompany notes payable	—			—			5,961		(5,961		)	—
Transaction costs	292			—			77		—			369
Provision for loan loss	—			—			3,777		—			3,777
Depreciation and amortization	274			11,662			5,485		—			17,421
Income before equity in income from joint ventures and other items	42,825			51,802			7,031		(58,203		)	43,455
Equity in income from joint ventures	—			—			300		—			300
Income before income taxes	42,825			51,802			7,331		(58,203		)	43,755
Income tax expense	120			—			927		—			1,047
Income from continuing operations	$	42,705		$	51,802		$	6,404	$	(58,203	)	$	42,708
Discontinued operations:
Loss from discontinued operations	—			(3		)	—		—			(3		)
Net income attributable to EPR Properties	42,705			51,799			6,404		(58,203		)	42,705
Preferred dividend requirements	(5,952		)	—			—		—			(5,952		)
Net income available to common shareholders of EPR Properties	$	36,753		$	51,799		$	6,404	$	(58,203	)	$	36,753
Comprehensive income attributable to EPR Properties	$	42,036		$	51,799		$	4,553	$	(56,352	)	$	42,036

Condensed Consolidating Statement of Income Three Months Ended September 30, 2013

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors			Non- Guarantor Subsidiaries			Consolidated Elimination			Consolidated
Rental revenue	$	—		$	41,148		$	21,061		$	—		$	62,209
Tenant reimbursements	—			848			3,704			—			4,552
Other income	23			6			1,412			—			1,441
Mortgage and other financing income	287			18,288			1,064			—			19,639
Intercompany fee income	656			—			—			(656		)	—
Interest income on intercompany notes receivable	4,834			—			98			(4,932		)	—
Total revenue	5,800			60,290			27,339			(5,588		)	87,841
Equity in subsidiaries’ earnings	53,848			—			—			(53,848		)	—
Property operating expense	2			2,539			4,038			—			6,579
Intercompany fee expense	—			—			656			(656		)	—
Other expense	—			—			204			—			204
General and administrative expense	—			4,553			2,211			—			6,764
Costs associated with loan refinancing or payoff	—			223			—			—			223
Interest expense, net	15,706			—			4,729			—			20,435
Interest expense on intercompany notes payable	—			—			4,932			(4,932		)	—
Transaction costs	317			—			—			—			317
Depreciation and amortization	273			8,354			4,514			—			13,141
Income before equity in income from joint ventures and other items	43,350			44,621			6,055			(53,848		)	40,178
Equity in income from joint ventures	152			—			199			—			351
Income from continuing operations	$	43,502		$	44,621		$	6,254		$	(53,848	)	$	40,529
Discontinued operations:
Loss from discontinued operations	—			(66		)	(129		)	—			(195		)
Gain on sale of real estate	—			—			3,168			—			3,168
Net income attributable to EPR Properties	43,502			44,555			9,293			(53,848		)	43,502
Preferred dividend requirements	(5,951		)	—			—			—			(5,951		)
Net income available to common shareholders of EPR Properties	$	37,551		$	44,555		$	9,293		$	(53,848	)	$	37,551
Comprehensive income attributable to EPR Properties	$	40,646		$	44,489		$	9,046		$	(53,535	)	$	40,646

Condensed Consolidating Statement of Income Nine Months Ended September 30, 2014

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors			Non- Guarantors Subsidiaries		Consolidated Elimination			Consolidated
Rental revenue	$	—		$	141,873		$	68,886	$	—		$	210,759
Tenant reimbursements	—			2,805			10,550		—			13,355
Other income	—			—			706		—			706
Mortgage and other financing income	562			52,478			2,521		—			55,561
Intercompany fee income	2,366			—			—		(2,366		)	—
Interest income on intercompany notes receivable	—			—			19,067		(19,067		)	—
Total revenue	2,928			197,156			101,730		(21,433		)	280,381
Equity in subsidiaries’ earnings	172,970			—			—		(172,970		)	—
Property operating expense	(1		)	6,440			11,497		—			17,936
Intercompany fee expense	—			—			2,366		(2,366		)	—
Other expense	—			—			566		—			566
General and administrative expense	—			13,944			7,316		—			21,260
Interest expense, net	47,222			(1,690		)	15,722		—			61,254
Interest expense on intercompany notes payable	—			—			19,067		(19,067		)	—
Transaction costs	483			—			838		—			1,321
Provision for loan loss	—			—			3,777		—			3,777
Depreciation and amortization	823			32,755			15,172		—			48,750
Income before equity in income from joint ventures and other items	127,371			145,707			25,409		(172,970		)	125,517
Equity in income from joint ventures	—			—			878		—			878
Gain on sale of land	—			—			330		—			330
Gain on sale of investment in a direct financing lease	—			220			—		—			220
Income before income taxes	127,371			145,927			26,617		(172,970		)	126,945
Income tax expense	374			—			2,958		—			3,332
Income from continuing operations	$	126,997		$	145,927		$	23,659	$	(172,970	)	$	123,613
Discontinued operations:
Income (loss) from discontinued operations	—			(10		)	18		—			8
Transaction costs (benefit)	—			3,376			—		—			3,376
Net income attributable to EPR Properties	126,997			149,293			23,677		(172,970		)	126,997
Preferred dividend requirements	(17,856		)	—			—		—			(17,856		)
Net income available to common shareholders of EPR Properties	$	109,141		$	149,293		$	23,677	$	(172,970	)	$	109,141
Comprehensive income attributable to EPR Properties	$	123,361		$	149,436		$	19,864	$	(169,300	)	$	123,361

Condensed Consolidating Statement of Income Nine Months Ended September 30, 2013

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors			Non- Guarantors Subsidiaries			Consolidated Elimination			Consolidated
Rental revenue	$	—		$	118,989		$	63,769		$	—		$	182,758
Tenant reimbursements	—			2,717			11,031			—			13,748
Other income	71			6			1,461			—			1,538
Mortgage and other financing income	790			51,626			3,254			—			55,670
Intercompany fee income	1,982			—			—			(1,982		)	—
Interest income on intercompany notes receivable	13,332			—			286			(13,618		)	—
Total revenue	16,175			173,338			79,801			(15,600		)	253,714
Equity in subsidiaries’ earnings	142,348			—			—			(142,348		)	—
Property operating expense	2			8,063			11,539			—			19,604
Intercompany fee expense	—			—			1,982			(1,982		)	—
Other expense	—			—			508			—			508
General and administrative expense	—			13,125			6,343			—			19,468
Costs associated with loan refinancing or payoff	—			1,987			4,179			—			6,166
Gain on early extinguishment of debt	—			(4,539		)	—			—			(4,539		)
Interest expense, net	40,159			3,164			17,101			—			60,424
Interest expense on intercompany notes payable	—			—			13,618			(13,618		)	—
Transaction costs	859			—			—			—			859
Depreciation and amortization	818			24,513			13,809			—			39,140
Income before equity in income from joint ventures and other items	116,685			127,025			10,722			(142,348		)	112,084
Equity in income from joint ventures	498			—			670			—			1,168
Income from continuing operations	$	117,183		$	127,025		$	11,392		$	(142,348	)	$	113,252
Discontinued operations:
Income (loss) from discontinued operations	—			623			(425		)	—			198
Gain on sale of acquisition of real estate	—			—			3,733			—			3,733
Net income attributable to EPR Properties	117,183			127,648			14,700			(142,348		)	117,183
Preferred dividend requirements	(17,855		)	—			—			—			(17,855		)
Net income available to common shareholders of EPR Properties	$	99,328		$	127,648		$	14,700		$	(142,348	)	$	99,328
Comprehensive income attributable to EPR Properties	$	114,097		$	127,784		$	12,581		$	(140,365	)	$	114,097

Condensed Consolidating Statement Of Cash Flows

Condensed Consolidating Statement of Cash Flows Nine Months Ended September 30, 2014

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors			Non-Guarantor Subsidiaries			Consolidated
Intercompany fee income (expense)	$	2,366		$	—		$	(2,366	)	$	—
Interest income (expense) on intercompany receivable/payable	—			—			—			—
Net cash provided (used) by other operating activities	(59,343		)	173,004			54,438			168,099
Net cash provided (used) by operating activities of continuing operations	(56,977		)	173,004			52,072			168,099
Net cash provided by operating activities of discontinued operations	—			41			68			109
Net cash provided (used) by operating activities	(56,977		)	173,045			52,140			168,208
Investing activities:
Acquisition of rental properties and other assets	(283		)	(30,188		)	(25,914		)	(56,385		)
Proceeds from sale of real estate	—			—			3,647			3,647
Proceed from settlement of derivative	—			—			5,725			5,725
Investment in mortgage notes receivable	—			(21,808		)	(36,114		)	(57,922		)
Proceeds from mortgage note receivable paydown	—			317			—			317
Investment in promissory notes receivable	—			(721		)	(3,666		)	(4,387		)
Proceeds from sale of investments in a direct financing lease, net	—			46,092			—			46,092
Additions to property under development	(821		)	(241,480		)	(14,227		)	(256,528		)
Advances to subsidiaries, net	(70,690		)	40,439			30,251			—
Net cash used by investing activities	(71,794		)	(207,349		)	(40,298		)	(319,441		)
Financing activities:
Proceeds from long-term debt facilities	20,000			245,000			—			265,000
Principal payments on long-term debt	—			(211,000		)	(9,566		)	(220,566		)
Deferred financing fees paid	(335		)	(275		)	(198		)	(808		)
Net proceeds from issuance of common shares	264,008			—			—			264,008
Impact of stock option exercises, net	(27		)	—			—			(27		)
Purchase of common shares for treasury	(2,892		)	—			—			(2,892		)
Dividends paid to shareholders	(152,874		)	—			—			(152,874		)
Net cash provided (used) by financing activities	127,880			33,725			(9,764		)	151,841
Effect of exchange rate changes on cash	—			47			(227		)	(180		)
Net increase (decrease) in cash and cash equivalents	(891		)	(532		)	1,851			428
Cash and cash equivalents at beginning of the period	449			1,826			5,683			7,958
Cash and cash equivalents at end of the period	$	(442	)	$	1,294		$	7,534		$	8,386

Condensed Consolidating Statement of Cash Flows Nine Months Ended September 30, 2013

	EPR Properties (Issuer)			Wholly Owned Subsidiary Guarantors			Non-Guarantor Subsidiaries			Consolidated
Intercompany fee income (expense)	$	1,982		$	—		$	(1,982	)	$	—
Interest income (expense) on intercompany receivable/payable	13,332			—			(13,332		)	—
Net cash provided (used) by other operating activities	(41,066		)	152,621			44,598			156,153
Net cash provided (used) by operating activities of continuing operations	(25,752		)	152,621			29,284			156,153
Net cash provided by operating activities of discontinued operations	—			67			2,155			2,222
Net cash provided (used) by operating activities	(25,752		)	152,688			31,439			158,375
Investing activities:
Acquisition of rental properties and other assets	(217		)	(17,366		)	(9,616		)	(27,199		)
Proceeds from sale of real estate	—			—			796			796
Investment in unconsolidated joint ventures	(1,021		)	—			—			(1,021		)
Investment in mortgage note receivable	(11,797		)	(43,802		)	(1,265		)	(56,864		)
Proceeds from mortgage note receivable paydown	—			137			1,698			1,835
Investment in promissory notes receivable	—			(1,278		)	—			(1,278		)
Proceeds from promissory note receivable paydown	117			—			909			1,026
Investment in a direct financing lease, net	—			(3,262		)	—			(3,262		)
Additions to property under development	—			(139,726		)	(4,799		)	(144,525		)
Investment in (repayment of) intercompany notes payable	(88,083		)	—			88,083			—
Advances to subsidiaries, net	(41,409		)	94,581			(53,172		)	—
Net cash provided (used) by investing activities of continuing operations	(142,410		)	(110,716		)	22,634			(230,492		)
Net proceeds from sale of real estate from discontinued operations	—			—			46,490			46,490
Net cash provided (used) by investing activities	(142,410		)	(110,716		)	69,124			(184,002		)
Financing activities:
Proceeds from long-term debt facilities	300,000			249,000			—			549,000
Principal payments on long-term debt	—			(286,819		)	(98,012		)	(384,831		)
Deferred financing fees paid	(5,619		)	(2,468		)	(19		)	(8,106		)
Costs associated with loan refinancing or payoff (cash portion)	—			(1,753		)	(4,037		)	(5,790		)
Net proceeds from issuance of common shares	43,659			—			—			43,659
Impact of stock option exercises, net	947			—			—			947
Purchase of common shares for treasury	(3,246		)	—			—			(3,246		)
Dividends paid to shareholders	(152,195		)	—			—			(152,195		)
Net cash provided (used) by financing activities	183,546			(42,040		)	(102,068		)	39,438
Effect of exchange rate changes on cash	—			1			(335		)	(334		)
Net increase (decrease) in cash and cash equivalents	15,384			(67		)	(1,840		)	13,477
Cash and cash equivalents at beginning of the period	1,531			832			8,301			10,664
Cash and cash equivalents at end of the period	$	16,915		$	765		$	6,461		$	24,141