Net Investment in Direct Financing Leases (Tables)

12 Months Ended

Dec. 31, 2017

Leases, Capital [Abstract]

Schedule of components of net investment in DFLs (dollars in thousands)

The components of net investment in DFLs consisted of the following (dollars in thousands):

	December 31,
	2017			2016
Minimum lease payments receivable	$	1,062,452		$	1,108,237
Estimated residual value	504,457			539,656
Less unearned income	(852,557		)	(895,304		)
Net investment in direct financing leases	$	714,352		$	752,589
Properties subject to direct financing leases	29			30

Future minimum lease payments contractually due under DFLs

The following table summarizes future minimum lease payments contractually due under DFLs at December 31, 2017 (in thousands):

Year	Amount
2018	$	102,983
2019	68,204
2020	62,781
2021	63,175
2022	57,762
Thereafter	707,547
	$	1,062,452

Summary of the Company's internal ratings for DFLs (dollars in thousands)

The following table summarizes the Company’s internal ratings for net investment in DFLs at December 31, 2017 (dollars in thousands):

				Internal Ratings
Segment	Carrying Amount		Percentage of DFL Portfolio	Performing DFLs		Watch List DFLs		Workout DFLs
Senior housing triple-net	$	629,748	88	$	273,886	$	355,862	$	—
Other non-reportable segments	84,604		12	84,604		—		—
	$	714,352	100	$	358,490	$	355,862	$	—

The following table summarizes the Company’s internal ratings for loans receivable at December 31, 2017 (dollars in thousands):

	Carrying Amount		Percentage of Loan Portfolio	Internal Ratings
Investment Type				Performing Loans		Watch List Loans		Workout Loans(1)
Real estate secured	$	188,418	60	$	188,418	$	—	$	—
Other secured	124,908		40	19,908		—		105,000
	$	313,326	100	$	208,326	$	—	$	105,000

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(1) See Tandem Health Care Loan discussion below for additional information.