Finance Receivables (Tables)

12 Months Ended

Dec. 31, 2017

Capital Leases Net Investment In Direct Financing Leases

Net investments in direct financing leases is summarized as follows (in thousands):



	December 31,
	2017			2016
Minimum lease payments receivable	$	732,092		$	790,111
Unguaranteed residual value	188,517			189,692
	920,609			979,803
Less: unearned income	(411,381		)	(471,411		)
	$	509,228		$	508,392

Schedule of Future Minimum Lease Payments for Capital Leases

Scheduled future minimum rents, exclusive of renewals, expenses paid by tenants, and future CPI-based adjustments, under non-cancelable direct financing leases at December 31, 2017 are as follows (in thousands):



Years Ending December 31,	Total
2018	$	58,257
2019 ^(a)	306,525
2020	31,696
2021	32,072
2022	32,548
Thereafter	270,994
Total	$	732,092

___________


(a)	Includes $250.0 million for a bargain purchase option. In January 2018, the tenant, The New York Times Company, exercised its bargain purchase option to acquire the property for $250.0 million, which is expected to occur on December 1, 2019 (Note 17).

Financing Receivable Credit Quality Indicators

A summary of our finance receivables by internal credit quality rating is as follows (dollars in thousands):



	Number of Tenants / Obligors at December 31,		Carrying Value at December 31,
Internal Credit Quality Indicator	2017	2016	2017		2016
1	—	—	$	—	$	—
2	2	2	62,744		61,949
3	8	9	379,621		412,075
4	8	5	165,413		65,868
5	1	—	11,950		—
			$	619,728	$	539,892