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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Revenue:        
Rental revenue $ 8,402,000 $ 8,249,000 $ 16,874,000 $ 16,094,000
Resident services and fee income 5,967,000 2,311,000 11,921,000 4,589,000
Tenant reimbursements and other income 402,000 447,000 810,000 809,000
Total revenues 14,771,000 11,007,000 29,605,000 21,492,000
Expenses:        
Property operating and maintenance 8,880,000 6,921,000 17,718,000 13,447,000
General and administrative expenses 220,000 370,000 663,000 1,204,000
Asset management fees and expenses 746,000 503,000 1,394,000 984,000
Real estate acquisition costs and contingent consideration 0 190,000 0 206,000
Depreciation and amortization 2,398,000 1,530,000 4,789,000 2,963,000
Total expenses 12,244,000 9,514,000 24,564,000 18,804,000
Income from operations 2,527,000 1,493,000 5,041,000 2,688,000
Other (income) expense:        
Interest expense, net 2,059,000 1,596,000 4,091,000 3,023,000
Loss on debt extinguishment and other expense 0 146,000   152,000
Equity in (income) loss from unconsolidated entities (51,000) [1],[2] 442,000 [1],[2] (80,000) [1],[2] 376,000 [1],[2],[3]
Gain on remeasurement of investment in unconsolidated entity 0 (1,282,000) 0 (1,282,000)
Net income 519,000 591,000 1,030,000 419,000
Net income attributable to noncontrolling interests 39,000 50,000 45,000 127,000
Net income attributable to common stockholders $ 480,000 $ 541,000 $ 985,000 $ 292,000
Basic and diluted net income per common share attributable to common stockholders $ 0.04 $ 0.04 $ 0.08 $ 0.02
Basic and diluted weighted average number of common shares 12,726,051 12,870,880 12,777,182 12,884,712
[1] Littleton Specialty Rehabilitation Facility was completed in April 2012 and the single tenant began paying rent in July 2012, in accordance with the lease. Tenant operations commenced upon licensure of the facility in July 2012. Littleton Specialty Rehabilitation Facility was accounted for under the equity method of accounting. Under the terms of the joint venture agreement, the joint venture may be obligated to monetize a portion of our partners’ interest in the appreciation of value in the joint venture property. These obligations may be exercised by our partners, at their sole discretion, up to three times between years two and four of the joint venture. The amount that would be paid upon monetization is subject to change based on a number of factors, including the value of the property, net income earned by the property and payment of preferred returns on equity. On December 17, 2012, our joint venture partner noticed the Company of their intent to exercise their promote monetization right, and the Company has elected to satisfy the monetization provision through a sale of the property. See additional detail in Footnote 13.
[2] The Physicians Centre MOB joint venture was acquired in April 2012 and has been accounted for under the equity method of accounting beginning with the second quarter of 2012.
[3] The Company acquired the controlling interest in the operations of Rome LTACH in April 2012 and as a result, Rome LTACH was consolidated in the second quarter of 2012. Accordingly, Rome LTACH was accounted for under the equity method of accounting during the three months ended March 31, 2012.