Dispositions, Assets Held for Sale and Discontinued Operations

9 Months Ended

Sep. 30, 2017

Disclosure Dispositions, Assets Held for Sale and Discontinued Operations [Abstract]

Dispositions, Assets Held for Sale and Discontinued Operations

5. Dispositions, Assets Held for Sale and Discontinued Operations

We periodically sell properties for various reasons, including favorable market conditions, the exercise of tenant purchase options or reduction of concentrations (e.g., property type, relationship or geography). During the nine months ended September 30, 2017 and 2016, we recorded impairment charges on certain held-for-sale seniors housing operating, triple-net, and outpatient medical properties for which the carrying values exceeded the fair values, less estimated costs to sell if applicable. The following is a summary of our real property disposition activity for the periods presented (in thousands):

		Nine Months Ended
		September 30, 2017			September 30, 2016
Real estate dispositions:
	Triple-net		$	899,104		$	295,365
	Seniors housing operating			16,206			-
	Outpatient medical			12,202			78,786
	Total dispositions			927,512			374,151
Gain (loss) on real estate dispositions, net				287,869			163,881
	Net other assets/liabilities disposed			22,470			-
Proceeds from real estate dispositions			$	1,237,851		$	538,032

Dispositions and Assets Held for Sale

Pursuant to our adoption of ASU No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity”, operating results attributable to properties sold subsequent to or classified as held for sale after January 1, 2014 and which do not meet the definition of discontinued operations are no longer reclassified on our Consolidated Statements of Comprehensive Income. The following represents the activity related to these properties for the periods presented (in thousands):

			Three Months Ended				Nine Months Ended
			September 30,				September 30,
		2017		2016		2017		2016
Revenues:
	Rental income	$	1,955	$	31,966	$	23,255	$	99,057
Expenses:
	Interest expense		-		4,939		1,714		16,697
	Property operating expenses		2,111		1,476		7,209		4,411
	Provision for depreciation		26		4,604		1,167		20,873
	Total expenses		2,137		11,019		10,090		41,981
Income (loss) from real estate dispositions, net		$	(182)	$	20,947	$	13,165	$	57,076