SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

SEGMENT INFORMATION

NOTE 16—SEGMENT INFORMATION

As of March 31, 2022, we operated through three reportable business segments: triple-net leased properties, senior living operations and office operations. In our triple-net leased properties reportable business segment, we invest in and own senior housing and healthcare properties throughout the United States and the United Kingdom and lease those properties to healthcare operating companies under “triple-net” or “absolute-net” leases that obligate the tenants to pay all property-related expenses. In our senior living operations reportable business segment, we invest in senior housing communities throughout the United States and Canada and engage independent operators, such as Atria and Sunrise, to manage those communities. In our office operations reportable business segment, we primarily acquire, own, develop, lease and manage MOBs and life science, research and innovation centers throughout the United States. Information provided for “non-segment” includes income from loans and investments and other miscellaneous income and various corporate-level expenses not directly attributable to any of our three reportable business segments. Assets included in “non-segment” consist primarily of corporate assets, including cash, restricted cash, loans receivable and investments, and miscellaneous accounts receivable.

Our chief operating decision makers evaluate performance of the combined properties in each reportable business segment and determine how to allocate resources to those segments, in significant part, based on segment NOI and related measures. We define segment NOI as total revenues, less interest and other income, property-level operating expenses and office building and other services costs. We consider segment NOI useful because it allows investors, analysts and our management to measure unlevered property-level operating results and to compare our operating results to the operating results of other real estate companies between periods on a consistent basis. In order to facilitate a clear understanding of our historical consolidated operating results, segment NOI should be examined in conjunction with net income attributable to common stockholders as presented in our Consolidated Financial Statements and other financial data included elsewhere in this

Quarterly Report on Form 10-Q. See “Non-GAAP Financial Measures” included elsewhere in this Quarterly Report on Form 10-Q for additional disclosure and reconciliations of net income attributable to common stockholders, as computed in accordance with GAAP, to NOI.

Interest expense, depreciation and amortization, general, administrative and professional fees, income tax expense and other non-property specific revenues and expenses are not allocated to individual reportable business segments for purposes of assessing segment performance. There are no intersegment sales or transfers.

Summary information by reportable business segment is as follows (dollars in thousands):

	For the Three Months Ended March 31, 2022
	Triple-Net Leased Properties		Senior Living Operations		Office Operations		Non-Segment		Total
Revenues:
Rental income	$	151,561	$	—	$	200,540	$	—	$	352,101
Resident fees and services	—		651,121		—		—		651,121
Office building and other services revenue	—		—		617		3,332		3,949
Income from loans and investments	—		—		—		9,847		9,847
Interest and other income	—		—		—		536		536
Total revenues	$	151,561	$	651,121	$	201,157	$	13,715	$	1,017,554
Total revenues	$	151,561	$	651,121	$	201,157	$	13,715	$	1,017,554
Less:
Interest and other income	—		—		—		536		536
Property-level operating expenses	4,008		475,530		63,183		—		542,721
Office building and other services costs	—		—		—		1,313		1,313
Segment NOI	$	147,553	$	175,591	$	137,974	$	11,866	472,984
Interest and other income									536
Interest expense									(110,794)
Depreciation and amortization									(289,064)
General, administrative and professional fees									(42,998)
Transaction expenses and deal costs									(19,992)
Allowance on loans receivable and investments									54
Other									27,190
Loss from unconsolidated entities									(4,269)
Gain on real estate dispositions									2,455
Income tax benefit									4,490
Income from continuing operations									40,592
Net income									40,592
Net income attributable to noncontrolling interests									1,860
Net income attributable to common stockholders									$	38,732

	For the Three Months Ended March 31, 2021
	Triple-Net Leased Properties		Senior Living Operations		Office Operations		Non-Segment		Total
Revenues:
Rental income	$	159,885	$	—	$	197,455	$	—	$	357,340
Resident fees and services	—		528,650		—		—		528,650
Office building and other services revenue	—		—		2,345		2,605		4,950
Income from loans and investments	—		—		—		19,010		19,010
Interest and other income	—		—		—		341		341
Total revenues	$	159,885	$	528,650	$	199,800	$	21,956	$	910,291
Total revenues	$	159,885	$	528,650	$	199,800	$	21,956	$	910,291
Less:
Interest and other income	—		—		—		341		341
Property-level operating expenses	4,825		417,829		63,946		—		486,600
Office building and other services costs	—		—		618		—		618
Segment NOI	$	155,060	$	110,821	$	135,236	$	21,615	422,732
Interest and other income									341
Interest expense									(110,767)
Depreciation and amortization									(314,148)
General, administrative and professional fees									(40,309)
Loss on extinguishment of debt, net									(27,090)
Transaction expenses and deal costs									(4,617)
Allowance on loans receivable and investments									8,902
Other									9,428
Loss from unconsolidated entities									(250)
Gain on real estate dispositions									2,533
Income tax expense									(2,153)
Loss from continuing operations									(55,398)
Net loss									(55,398)
Net income attributable to noncontrolling interests									1,811
Net loss attributable to common stockholders									$	(57,209)

Capital expenditures, including investments in real estate property and development project expenditures, by reportable business segment are as follows (dollars in thousands):

	For the Three Months Ended March 31,
Capital Expenditures:	2022		2021
Triple-Net Leased Properties	$	634	$	8,218
Senior Living Operations	143,403		48,717
Office Operations	274,074		31,547
Total capital expenditures	$	418,111	$	88,482

Our portfolio of properties and mortgage loan and other investments are located in the United States, Canada and the United Kingdom. Revenues are attributed to an individual country based on the location of each property. Geographic information regarding our operations is as follows (dollars in thousands):

	For the Three Months Ended March 31,
Revenues:	2022		2021
United States	$	897,933	$	797,768
Canada	112,144		105,033
United Kingdom	7,477		7,490
Total revenues	$	1,017,554	$	910,291

Net Real Estate Property:	As of March 31, 2022		As of December 31, 2021
United States	$	18,718,109	$	18,562,738
Canada	3,027,276		3,007,008
United Kingdom	236,836		247,092
Total net real estate property	$	21,982,221	$	21,816,838