Real Estate Assets

12 Months Ended

Dec. 31, 2017

REAL ESTATE ASSETS

The components of real estate assets are summarized as follows:



	December 31, 2017			December 31, 2016
Land - operating	$	1,731,915		$	1,664,659
Land - development	13,246			26,982
Buildings, improvements and other intangibles	6,286,762			5,833,836
Intangible assets - tenant relationships	114,375			111,528
Intangible lease rights	12,443			12,443
	8,158,741			7,649,448
Less: accumulated depreciation and amortization	(1,060,060		)	(900,861		)
Net operating real estate assets	7,098,681			6,748,587
Real estate under development/redevelopment	33,750			21,860
Net real estate assets	$	7,132,431		$	6,770,447
Real estate assets held for sale included in net real estate assets	$	10,276		$	1,970

As of December 31, 2017, the Company had one operating store and one parcel of undeveloped land classified as held for sale. The estimated fair value less selling costs of these assets are greater than the carrying value of the assets, and therefore no loss has been recorded related to the operating store held for sale. These assets held for sale are included in the self-storage operations segment of the Company’s segment information. The parcel of undeveloped land was sold in January 2018 and the Company anticipates the operating store will be sold by the end of 2018. During the second quarter of 2017, the Company recorded an impairment loss of $6,100 relating to several parcels of undeveloped land where the carrying value was greater than the fair value.

The Company amortizes to expense intangible assets—tenant relationships on a straight-line basis over the average period that a tenant is expected to utilize the facility (currently estimated at 18 months). The Company amortizes to expense the intangible lease rights over the terms of the related leases. Amortization related to the tenant relationships and lease rights was $14,349, $21,133, and $11,695 for the years ended December 31, 2017, 2016 and 2015, respectively. The remaining balance of the unamortized lease rights will be amortized over the next one year to 44 years. Accumulated amortization related to intangibles was $112,347 and $101,120 as of December 31, 2017 and 2016, respectively.