INVESTMENT IN REAL ESTATE PROPERTIES (Tables)

9 Months Ended

Sep. 30, 2014

As of September 30, 2014 and December 31, 2013, the Company’s consolidated investment in real estate properties consisted of 283 and 296 industrial buildings, respectively, totaling approximately 57.6 million and 57.2 million square feet, respectively.


(in thousands)	September 30, 2014		December 31, 2013
Land	$	904,581	$	874,779
Building and improvements		2,466,117		2,430,999
Intangible lease assets		375,312		390,809
Under construction and other (1)		85,008		15,905

Investment in real estate properties		3,831,018		3,712,492
Less accumulated depreciation and amortization		(310,617)		(212,922)

Net investment in real estate properties	$	3,520,401	$	3,499,570

(1)	As of September 30, 2014, the Company had three buildings under construction totaling approximately 0.3 million square feet, and three buildings where construction has not yet commenced totaling approximately 0.3 million square feet.

Summary of Intangible Lease Assets and Liabilities

Intangible lease assets and liabilities included the following:


	September 30, 2014									December 31, 2013
(in thousands)	Gross			Accumulated Amortization			Net			Gross			Accumulated Amortization			Net
Intangible lease assets	$	334,950		$	(150,812	)	$	184,138		$	347,186		$	(106,872	)	$	240,314
Above-market lease assets		40,362			(19,878	)		20,484			43,623			(14,453	)		29,170
Below-market lease liabilities		(37,177	)		10,016			(27,161	)		(37,621	)		5,763			(31,858	)

Summary of Rental Revenue and Depreciation and Amortization Expense

The following table summarizes straight-line rent adjustments, amortization recognized as an increase (decrease) to rental revenues from above-and below-market lease assets and liabilities and real-estate related depreciation and amortization expense:


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
(in thousands)	2014			2013			2014			2013
Increase (Decrease) to Rental Revenue:
Straight-line rent adjustments	$	3,197		$	5,377		$	12,247		$	11,307
Above-market lease amortization		(1,885	)		(2,004	)		(6,945	)		(5,450	)
Below-market lease amortization		1,428			1,134			4,413			2,705
Real Estate-Related Depreciation and Amortization:
Depreciation expense	$	19,095		$	15,276		$	56,674		$	38,889
Intangible lease asset amortization		14,773			15,749			50,054			46,020