XML 40 R28.htm IDEA: XBRL DOCUMENT v3.22.2
Real Estate Investments (Tables)
 6 Months Ended
Jun. 30, 2022
Real Estate [Abstract]  
Purchase Price of Acquired Properties
The following table presents the allocation of real estate assets acquired and liabilities assumed during the periods presented. All acquisitions in both periods were considered asset acquisitions for accounting purposes.
Six Months Ended June 30,
(Dollar amounts in thousands)20222021
Real estate investments, at cost:
Land$302,478 $13,331 
Buildings, fixtures and improvements865,992 49,968 
Total tangible assets1,168,470 63,299 
Acquired intangible assets and liabilities: (1)
In-place leases218,454 8,281 
Above-market lease assets24,066 — 
Below-market lease liabilities(59,442)(5,593)
Total intangible assets, net183,078 2,688 
Assets Reduced, Liabilities Assumed and Mezzanine Equity Issued:
Mortgage notes payable assumed in acquisitions (including net discounts of $1,466)
(312,246)— 
Shares subject to repurchase issued in acquisitions(49,965)— 
Application of deposit(23,750)— 
Accrued contingent consideration on acquired properties from the CIM Portfolio Acquisition(10,840)
Cash paid for real estate investments$954,747 $65,987 
Number of properties purchased from the CIM Portfolio Acquisition80 — 
Number of other properties purchased11 24 
________
(1)Weighted-average remaining amortization periods for in-place leases, above-market and below-market lease liabilities acquired during the six months ended June 30, 2022 were 10.3 years, 7.6 years and 20.2 years, respectively, as of each property’s respective acquisition date.
Finite-lived Intangible Assets Amortization Expense
The following table presents amortization expense and adjustments to revenue from tenants and property operating expenses for intangible assets and liabilities during the periods presented:
Three Months Ended June 30,Six Months Ended June 30,
(In thousands)2022202120222021
In-place leases, included in depreciation and amortization$18,278 $9,558 $31,023 $19,208 
Above-market lease intangibles$(1,374)$(601)$(2,281)$(1,290)
Below-market lease liabilities2,971 1,657 4,991 3,296 
Total included in revenue from tenants
$1,597 $1,056 $2,710 $2,006 
Below-market ground lease asset (1)
$8 $8 $16 $16 
Above-market ground lease liability (1)
— — — — 
Total included in property operating expenses
$8 $8 $16 $16 
______
(1)Intangible balances related to ground leases are included as part of the operating lease right-of-use assets presented on the consolidated balance sheets and the amortization expense of such balances is included in property operating expenses on the consolidated statements of operations.
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense
The following table provides the projected amortization expense and adjustments to revenue from tenants for intangible assets and liabilities for the next five years:
(In thousands)2022 (remainder)2023202420252026
In-place leases, to be included in depreciation and amortization$38,604 $64,595 $51,476 $41,998 $34,070 
Above-market lease intangibles$3,055 $5,790 $4,962 $4,137 $3,243 
Below-market lease liabilities(5,149)(10,165)(9,580)(9,151)(8,692)
Total to be included in revenue from tenants
$(2,094)$(4,375)$(4,618)$(5,014)$(5,449)
Summary of Assets Held-for-sale
The following table details the major classes of assets associated with the properties that have been reclassified as held for sale as of June 30, 2022 and December 31, 2021:
(In thousands)June 30, 2022December 31, 2021
Real estate investments held for sale, at cost:
Land$17,658 $16,009 
Buildings, fixtures and improvements123,054 194,288 
Acquired intangible lease assets19,619 46,980 
Total real estate assets held for sale, at cost
160,331 257,277 
Less accumulated depreciation and amortization(24,951)(70,064)
Total real estate investments held for sale, net
135,380 187,213 
Impairment charges related to properties reclassified as held for sale (54,601)— 
Assets held for sale$80,779 $187,213