Summarized Condensed Consolidating Information (Tables)

3 Months Ended

Mar. 31, 2017

Summarized Condensed Consolidating Information [Abstract]

CONDENSED CONSOLIDATING BALANCE SHEETS

MARCH 31, 2017

(in thousands, except share and per share amounts)



	Parent Guarantor			Issuers		Combined Subsidiary Guarantors		Combined Non- Guarantor Subsidiaries			Elimination			Consolidated
Assets:
Real estate investments, net	$	—		$	578,921	$	323,972	$	37,462		$	—		$	940,355
Other real estate investments	—			—		14,027		—			—			14,027
Cash and cash equivalents	—			1,283		—		—			—			1,283
Accounts and other receivables	—			5,749		1,924		259			—			7,932
Prepaid expenses and other assets	—			1,307		2		—			—			1,309
Deferred financing costs, net	—			2,532		—		—			—			2,532
Investment in subsidiaries	571,369			410,841		—		—			(982,210		)	—
Intercompany	—			—		113,655		—			(113,655		)	—
Total assets	$	571,369		$	1,000,633	$	453,580	$	37,721		$	(1,095,865	)	$	967,438
Liabilities and Equity:
Senior unsecured notes payable, net	$	—		$	255,561	$	—	$	—		$	—		$	255,561
Senior unsecured term loan, net	—			99,445		—		—			—			99,445
Unsecured revolving credit facility	—			27,000		—		—			—			27,000
Accounts payable and accrued liabilities	—			11,683		2,121		259			—			14,063
Dividends payable	13,422			—		—		—			—			13,422
Intercompany	—			35,575		—		78,080			(113,655		)	—
Total liabilities	13,422			429,264		2,121		78,339			(113,655		)	409,491
Equity:
Common stock, $0.01 par value; 500,000,000 shares authorized, 72,000,297 issued and outstanding as of March 31, 2017	720			—		—		—			—			720
Additional paid-in capital	720,061			526,486		374,660		(52,899		)	(848,247		)	720,061
Cumulative distributions in excess of earnings	(162,834		)	44,883		76,799		12,281			(133,963		)	(162,834		)
Total equity	557,947			571,369		451,459		(40,618		)	(982,210		)	557,947
Total liabilities and equity	$	571,369		$	1,000,633	$	453,580	$	37,721		$	(1,095,865	)	$	967,438

CONDENSED CONSOLIDATING BALANCE SHEETS

DECEMBER 31, 2016

(in thousands, except share and per share amounts)



	Parent Guarantor			Issuers		Combined Subsidiary Guarantors		Combined Non- Guarantor Subsidiaries			Elimination			Consolidated
Assets:
Real estate investments, net	$	—		$	527,639	$	328,137	$	38,142		$	—		$	893,918
Other real estate investments	—			—		13,872		—			—			13,872
Cash and cash equivalents	—			7,500		—		—			—			7,500
Accounts receivable	—			3,743		2,020		133			—			5,896
Prepaid expenses and other assets	—			1,366		3		—			—			1,369
Deferred financing costs, net	—			2,803		—		—			—			2,803
Investment in subsidiaries	463,505			401,328		—		—			(864,833		)	—
Intercompany	—			—		102,273		—			(102,273		)	—
Total assets	$	463,505		$	944,379	$	446,305	$	38,275		$	(967,106	)	$	925,358
Liabilities and Equity:
Senior unsecured notes payable, net	$	—		$	255,294	$	—	$	—		$	—		$	255,294
Unsecured revolving credit facility	—			95,000		—		—			—			95,000
Senior unsecured term loan, net	—			99,422		—		—			—			99,422
Accounts payable and accrued liabilities	—			9,713		2,291		133			—			12,137
Dividends payable	11,075			—		—		—			—			11,075
Intercompany	—			21,445		—		80,828			(102,273		)	—
Total liabilities	11,075			480,874		2,291		80,961			(102,273		)	472,928
Equity:
Common stock, $0.01 par value; 500,000,000 shares authorized, 64,816,350 shares issued and outstanding as of December 31, 2016	648			—		—		—			—			648
Additional paid-in capital	611,475			429,453		374,660		(52,899		)	(751,214		)	611,475
Cumulative distributions in excess of earnings	(159,693		)	34,052		69,354		10,213			(113,619		)	(159,693		)
Total equity	452,430			463,505		444,014		(42,686		)	(864,833		)	452,430
Total liabilities and equity	$	463,505		$	944,379	$	446,305	$	38,275		$	(967,106	)	$	925,358

Condensed Consolidating Income Statements

CONDENSED CONSOLIDATING INCOME STATEMENTS

FOR THE THREE MONTHS ENDED MARCH 31, 2017

(in thousands)



	Parent Guarantor		Issuers		Combined Subsidiary Guarantors		Combined Non- Guarantor Subsidiaries		Elimination			Consolidated
Revenues:
Rental income	$	—	$	13,223	$	11,368	$	2,748	$	—		$	27,339
Tenant reimbursements	—		1,078		1,117		126		—			2,321
Independent living facilities	—		—		793		—		—			793
Interest and other income	—		—		155		—		—			155
Total revenues	—		14,301		13,433		2,874		—			30,608
Expenses:
Depreciation and amortization	—		4,186		4,210		680		—			9,076
Interest expense	—		5,879		—		—		—			5,879
Property taxes	—		1,078		1,117		126		—			2,321
Independent living facilities	—		—		661		—		—			661
General and administrative	550		1,840		—		—		—			2,390
Total expenses	550		12,983		5,988		806		—			20,327
Income in Subsidiary	10,831		9,513		—		—		(20,344		)	—
Net income	$	10,281	$	10,831	$	7,445	$	2,068	$	(20,344	)	$	10,281

CONDENSED CONSOLIDATING INCOME STATEMENTS

FOR THE THREE MONTHS ENDED MARCH 31, 2016

(in thousands)



	Parent Guarantor		Issuers		Combined Subsidiary Guarantors		Combined Non- Guarantor Subsidiaries		Elimination			Consolidated
Revenues:
Rental income	$	—	$	6,897	$	11,275	$	2,725	$	—		$	20,897
Tenant reimbursements	—		566		1,099		132		—			1,797
Independent living facilities	—		—		681		—		—			681
Interest and other income	—		—		254		—		—			254
Total revenues	—		7,463		13,309		2,857		—			23,629
Expenses:
Depreciation and amortization	—		2,146		4,433		714		—			7,293
Interest expense	—		5,372		—		815		—			6,187
Property taxes	—		566		1,099		132		—			1,797
Independent living facilities	—		—		620		—		—			620
General and administrative	433		1,731		49		17		—			2,230
Total expenses	433		9,815		6,201		1,678		—			18,127
Income in Subsidiary	5,935		8,287		—		—		(14,222		)	—
Net income	$	5,502	$	5,935	$	7,108	$	1,179	$	(14,222	)	$	5,502

Condensed Consolidating Statements of Cash Flows

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

FOR THE THREE MONTHS ENDED MARCH 31, 2017

(in thousands)



	Parent Guarantor			Issuers			Combined Subsidiary Guarantors			Combined Non-Guarantor Subsidiaries			Elimination			Consolidated
Cash flows from operating activities:
Net cash (used in) provided by operating activities	$	(14	)	$	6,001		$	11,431		$	2,748		$	—		$	20,166
Cash flows from investing activities:
Acquisitions of real estate	—			(54,568		)	—			—			—			(54,568		)
Improvements to real estate	—			(64		)	(25		)	—			—			(89		)
Purchases of equipment, furniture and fixtures	—			(93		)	(24		)	—			—			(117		)
Escrow deposit for acquisition of real estate	—			(700		)	—			—			—			(700		)
Distribution from subsidiary	11,075			—			—			—			(11,075		)	—
Intercompany financing	(108,152		)	14,130			—			—			94,022			—
Net cash used in investing activities	(97,077		)	(41,295		)	(49		)	—			82,947			(55,474		)
Cash flows from financing activities:
Proceeds from the issuance of common stock, net	108,166			—			—			—			—			108,166
Borrowings under unsecured revolving credit facility	—			45,000			—			—			—			45,000
Payments on unsecured revolving credit facility	—			(113,000		)	—			—			—			(113,000		)
Dividends paid on common stock	(11,075		)	—			—			—			—			(11,075		)
Distribution to Parent	—			(11,075		)	—			—			11,075			—
Intercompany financing	—			108,152			(11,382		)	(2,748		)	(94,022		)	—
Net cash provided by (used in) financing activities	97,091			29,077			(11,382		)	(2,748		)	(82,947		)	29,091
Net decrease in cash and cash equivalents	—			(6,217		)	—			—			—			(6,217		)
Cash and cash equivalents beginning of period	—			7,500			—			—			—			7,500
Cash and cash equivalents end of period	$	—		$	1,283		$	—		$	—		$	—		$	1,283

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

FOR THE THREE MONTHS ENDED MARCH 31, 2016

(in thousands)



	Parent Guarantor			Issuers			Combined Subsidiary Guarantors			Combined Non-Guarantor Subsidiaries			Elimination			Consolidated
Cash flows from operating activities:
Net cash (used in) provided by operating activities	$	(2	)	$	2,013		$	11,193		$	1,790		$	—		$	14,994
Cash flows from investing activities:
Acquisitions of real estate	—			(68,000		)	—			—			—			(68,000		)
Improvements to real estate	—			—			(27		)	—			—			(27		)
Purchases of equipment, furniture and fixtures	—			—			(17		)	—			—			(17		)
Escrow deposit for acquisition of real estate	—			(15,730		)	—			—			—			(15,730		)
Distribution from subsidiary	7,704			—			—			—			(7,704		)	—
Intercompany financing	(106,024		)	(82,083		)	—			—			188,107			—
Net cash used in investing activities	(98,320		)	(165,813		)	(44		)	—			180,403			(83,774		)
Cash flows from financing activities:
Proceeds from the issuance of common stock, net	106,026			—			—			—			—			106,026
Proceeds from the issuance of senior unsecured term loan	—			100,000			—			—			—			100,000
Borrowings under unsecured revolving credit facility	—			52,000			—			—			—			52,000
Payments on unsecured revolving credit facility	—			(92,000		)	—			—			—			(92,000		)
Payments on the mortgage notes payable	—			—			—			(95,022		)	—			(95,022		)
Payments of deferred financing costs	—			(1,324		)	—			—			—			(1,324		)
Dividends paid on common stock	(7,704		)	—			—			—			—			(7,704		)
Distribution to Parent	—			(7,704		)	—			—			7,704			—
Intercompany financing	—			106,024			(11,149		)	93,232			(188,107		)	—
Net cash provided by (used in) financing activities	98,322			156,996			(11,149		)	(1,790		)	(180,403		)	61,976
Net decrease in cash and cash equivalents	—			(6,804		)	—			—			—			(6,804		)
Cash and cash equivalents beginning of period	—			11,467			—			—			—			11,467
Cash and cash equivalents end of period	$	—		$	4,663		$	—		$	—		$	—		$	4,663