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LOANS RECEIVABLE AND OTHER INVESTMENTS
 3 Months Ended
Mar. 31, 2018
Receivables [Abstract]  
LOANS RECEIVABLE AND OTHER INVESTMENTS
LOANS RECEIVABLE AND OTHER INVESTMENTS
As of March 31, 2018 and December 31, 2017, the Company’s loans receivable and other investments consisted of the following (dollars in thousands):
 
 
 
 
 
 
 
 
 
 
 
 
March 31, 2018
 
 
Investment
 
Quantity
as of
March 31, 2018
 
Property Type
 
Principal Balance
as of
March 31,
2018 (1)
 
Book Value
as of
March 31, 2018
 
Book Value
as of
December 31, 2017
 
Weighted Average Contractual Interest Rate / Rate of Return
 
Weighted Average Annualized Effective Interest Rate / Rate of Return
 
Maturity Date
as of
March 31, 2018
Loans Receivable:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Mortgage
 
2

 
Skilled Nursing / Senior Housing
 
$
18,028

 
$
17,032

 
$
12,351

 
9.9
%
 
11.0
%
 
12/31/18- 02/10/27
Construction
 
2

 
Senior Housing
 
3,047

 
3,114

 
2,733

 
8.0
%
 
7.7
%
 
03/31/21- 05/31/22
Mezzanine
 
1

 
Skilled Nursing
 
25,000

 
2,548

 
10,239

 
10.0
%
 
41.9
%
 
05/25/20
Pre-development
 
1

 
Senior Housing
 
2,357

 
2,357

 
2,357

 
9.0
%
 
8.4
%
 
04/01/20
Other
 
15

 
Multiple
 
27,780

 
25,789

 
38,324

 
8.7
%
 
10.6
%
 
12/31/17- 04/30/27
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
21

 
 
 
76,212

 
50,840

 
66,004

 
9.4
%
 
12.0
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loan loss reserve
 
 
 
—

 
(200
)
 
(97
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
76,212

 
$
50,640

 
$
65,907

 
 
 
 
 
 
Other Investments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Preferred Equity
 
13

 
Skilled Nursing / Senior Housing
 
49,782

 
50,248

 
48,483

 
12.6
%
 
12.6
%
 
N/A
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total
 
34

 
 
 
$
125,994

 
$
100,888

 
$
114,390

 
10.7
%
 
12.3
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

(1) 
Principal balance includes amounts funded and accrued but unpaid interest / preferred return and excludes capitalizable fees.
In connection with the CCP Merger, the Company acquired 18 loans receivable investments with a principal balance of $83.3 million and fair value of $58.2 million as of August 17, 2017. Of these loans, eight loans receivable investments with a principal balance of $36.3 million were considered to have deteriorated credit quality, and based on the collateral or expected cash flows, the fair value was determined to be $11.3 million and the accretable yield was $3.5 million as of August 17, 2017. The accretable yield was $2.0 million and $2.6 million as of March 31, 2018 and December 31, 2017, respectively. The decrease was due to $0.5 million in interest payments received and $0.1 million of accretion recorded in interest and other income during the three months ended March 31, 2018. As of March 31, 2018 and December 31, 2017, the book value of these loans was $9.6 million and $10.0 million, respectively.
During the three months ended March 31, 2018, the Company recorded no provision for specific loan losses and increased its portfolio-based loan loss reserve by $0.1 million.
As of March 31, 2018, the Company had no specific loan loss reserve, and the portfolio-based loan loss reserve was $0.2 million. As of March 31, 2018, the Company did not consider any loans receivable investments to be impaired, and one loan receivable with a book value of $0 and three preferred equity investments totaling $14.3 million were on nonaccrual status.
As of December 31, 2017, the Company had no specific loan loss reserve and had a $0.1 million portfolio-based loan loss reserve. As of December 31, 2017, the Company did not consider any loans receivable investments to be impaired, and one loan receivable with a book value of $0 was on nonaccrual status.
During the three months ended March 31, 2017, the Company recorded a provision for loan losses of $1.5 million related to three loans receivable investments and reduced its portfolio-based loan loss reserve by $0.2 million.