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Summarized Financial Information of Equity Affiliates (Tables)
 9 Months Ended
Sep. 30, 2018
Equity Method Investments And Joint Ventures [Abstract]  
Limited Liability Companies Accounted for Under Equity Method

 The following property table represents the four LLCs in which we own a noncontrolling interest and were accounted for under the equity method as of September 30, 2018:

 

 

 

 

 

 

 

 

Name of LLC/LP

 

Ownership

 

 

Property Owned by LLC/LP

Suburban Properties

 

 

33

%

 

St. Matthews Medical Plaza II

Brunswick Associates (a.)

 

 

74

%

 

Mid Coast Hospital MOB

Grayson Properties (b.)

 

 

95

%

 

Texoma Medical Plaza

FTX MOB Phase II (c.)

 

 

95

%

 

Forney Medical Plaza II

 

(a.)

This LLC has a third-party term loan, which is non-recourse to us, of $8.3 million outstanding as of September 30, 2018.

(b.)

This building is on the campus of a UHS hospital and has tenants that include subsidiaries of UHS. This LP has a third-party term loan, which is non-recourse to us, of $14.0 million outstanding as of September 30, 2018.

(c.)

We have committed to invest up to $2.5 million in equity and debt financing, of which $2.1 million has been funded as of September 30, 2018.  This LP has a third-party term loan, which is non-recourse to us, of $5.1 million outstanding as of September 30, 2018.
Condensed Combined Statements of Income (Unaudited) for Limited Liability Companies Accounted for Under Equity Method

Below are the condensed combined statements of income (unaudited) for the LLCs/LPs accounted for under the equity method during the three and nine months ended September 30, 2018 and 2017.  The nine months ended September 30, 2017 include the financial results of Arlington Medical Properties, LLC, through the March 13, 2017 divestiture date.  

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

 

 

 

(amounts in thousands)

(amounts in thousands)

Revenues

 

$

2,343

 

 

$

2,426

 

 

$

7,256

 

 

$

8,419

 

 

Operating expenses

 

 

938

 

 

 

933

 

 

 

2,873

 

 

 

3,122

 

 

Depreciation and amortization

 

 

436

 

 

 

483

 

 

 

1,331

 

 

 

1,547

 

 

Interest, net

 

 

329

 

 

 

342

 

 

 

985

 

 

 

1,241

 

 

Net income

 

$

640

 

 

$

668

 

 

$

2,067

 

 

$

2,509

 

 

Our share of net income (a.)

 

$

351

 

 

$

384

 

 

$

1,205

 

 

$

1,959

 

 

 

(a.)

Our share of net income for the nine months ended September 30, 2017 includes approximately $284,000 of interest income earned by us on an advance made to Arlington Medical Properties, LLC.  This advance was repaid to us effective with the previously mentioned Arlington Medical Properties, LLC transaction during March, 2017, therefore there was no interest income earned by us on this advance subsequent to March, 2017.  

Condensed Combined Balance Sheets (Unaudited) for LLCs Accounted for Under Equity Method

Below are the condensed combined balance sheets (unaudited) for the four above-mentioned LLCs that were accounted for under the equity method as of September 30, 2018 and December 31, 2017:

 

 

 

September 30,

2018

 

 

December 31,

2017

 

 

 

(amounts in thousands)

 

Net property, including construction in progress

 

$

32,161

 

 

$

33,111

 

Other assets

 

 

3,684

 

 

 

3,560

 

Total assets

 

$

35,845

 

 

$

36,671

 

 

 

 

 

 

 

 

 

 

Other liabilities

 

$

3,018

 

 

$

3,067

 

Mortgage notes payable, non-recourse to us

 

 

27,404

 

 

 

27,839

 

Equity

 

 

5,423

 

 

 

5,765

 

Total liabilities and equity

 

$

35,845

 

 

$

36,671

 

 

 

 

 

 

 

 

 

 

Investments in LLCs before amounts included in

 

 

 

 

 

 

 

 

   accrued expenses and other liabilities

 

$

5,022

 

 

$

4,671

 

   Amounts included in accrued expenses and other liabilities

 

 

(2,247

)

 

 

(1,895

)

Our share of equity in LLCs, net

 

$

2,775

 

 

$

2,776

 

 
Aggregate Principal Amounts due on Mortgage and Construction Notes Payable by Unconsolidated LLC's Accounted Under Equity Method

As of September 30, 2018, and December 31, 2017, aggregate principal amounts due on mortgage notes payable by unconsolidated LLCs, which are accounted for under the equity method and are non-recourse to us, are as follows (amounts in thousands):

 

 

 

Mortgage Loan Balance (a.)

 

 

 

Name of LLC/LP

 

9/30/2018

 

 

12/31/2017

 

 

Maturity Date

FTX MOB Phase II (5.00% fixed rate mortgage loan)

 

$

5,102

 

 

$

5,202

 

 

October, 2020

Grayson Properties (5.034% fixed rate mortgage loan)

 

 

13,996

 

 

 

14,191

 

 

September, 2021

Brunswick Associates (3.64% fixed rate mortgage loan)

 

 

8,306

 

 

 

8,446

 

 

December, 2024

 

 

$

27,404

 

 

$

27,839

 

 

 

(a.)

All mortgage loans require monthly principal payments through maturity and include a balloon principal payment upon maturity.