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Notes Payable - Convertible (Tables) | 1 Months Ended | 12 Months Ended
--- | --- | ---
Jan. 31, 2013 | Dec. 31, 2012
Convertible Notes Payable [Abstract] |  |
Schedule of Debt |  | Each of NNN’s outstanding series of convertible notes are summarized in the table below (dollars in thousands, except conversion price):
Terms |  | 2026 Notes(1)(2)(4) |  |  | 2028 Notes(2)(5)(6) |
Issue Date |  | September 2006 |  |  |  | March 2008 |  |
Net Proceeds |  | $ | 168,650 |  |  |  | $ | 228,576 |  |
Stated Interest Rate |  | 3.950 | % |  |  | 5.125 | % |
Effective Interest Rate (8) |  | 5.840 | % |  |  | 7.192 | % |
Debt Issuance Costs |  | $ | 3,850 |  | (3) |  | $ | 5,459 |  | (7)
Earliest Conversion Date (9) |  | — |  |  |  | June 2027 |  |
Earliest Put Option Date |  | — |  |  |  | June 2013 |  |
Maturity Date |  | — |  |  |  | June 2028 |  |
Original Principal |  | $ | 172,500 |  |  |  | $ | 234,035 |  |
Repurchases |  | (33,800 | ) |  |  | (11,000 | ) |
Converted |  | (123,163 | ) |  |  | — |  |
Outstanding principal balance at December 31, 2012 |  | $ | 15,537 |  | (10) |  | $ | 223,035 |  |
(1) | NNN repurchased $8,800 and $25,000 in 2009 and 2008, respectively, for a purchase price of $6,994 and $19,188, respectively, resulting in a gain of $1,565 and $4,961, respectively.
(2) | Debt issuance costs include underwriting discounts and commissions, legal and accounting fees, rating agency fees and printing expenses. These costs have been deferred and are being amortized over the period to the earliest put option date of the holders using the effective interest method.
(3) | Includes $463 of note costs which were written off in connection with the repurchase of $33,800 of the 2026 Notes.
(4) | The conversion rate per $1 principal amount was 42.6237 shares of NNN’s common stock, which is equivalent to a conversion price of $23.4611 per share of common stock.
(5) | The conversion rate per $1 principal amount was 39.4902 shares of NNN’s common stock, which is equivalent to a conversion price of $25.3228 per share of common stock.
(6) | NNN repurchased $11,000 in 2009 for a purchase price of $8,588 resulting in a gain of $1,867.
(7) | Includes $219 of note costs which were written off in connection with the repurchase of $11,000 of the 2028 Notes, respectively.
(8) | With the adoption of the accounting guidance on convertible debt securities in 2009, the effective interest rates for the 2026 Notes and the 2028 Notes are 5.840% and 7.192%, respectively.
(9) | Prior to the earliest respective conversion date, the notes are only convertible in limited circumstances pursuant to the terms of the notes.
(10) | In January 2013, NNN converted the remaining principal balance.
Schedule of Long-term Debt Instruments |  | The following table outlines the mortgages payable included in NNN’s consolidated financial statements (dollars in thousands):
Entered |  | Initial Balance |  | Interest Rate |  | Maturity (3) |  | Carrying Value of Encumbered Asset(s)(1) |  | Outstanding Principal Balance at December 31,
2012 |  | 2011
December 2001 (2) |  | $ | 623 |  |  | 9.00 | % |  | April 2014 |  | $ | 543 |  |  | $ | 95 |  |  | $ | 158 |
December 2001 (2) |  | 698 |  |  | 9.00 | % |  | April 2019 |  | 1,047 |  |  | 299 |  |  | 333 |
December 2001 (2) |  | 485 |  |  | 9.00 | % |  | April 2019 |  | 1,013 |  |  | 155 |  |  | 172 |
June 2002 |  | 21,000 |  |  | 6.90 | % |  | July 2012 |  | — |  |  | — |  |  | 18,488 |
February 2004 (2) |  | 6,952 |  |  | 6.90 | % |  | January 2017 |  | 11,039 |  |  | 2,892 |  |  | 3,485 |
March 2005 (2) |  | 1,015 |  |  | 8.14 | % |  | September 2016 |  | 1,283 |  |  | 439 |  |  | 535 |
June 2012 (2)(4) |  | 6,850 |  |  | 5.75 | % |  | April 2016 |  | 8,905 |  |  | 6,722 |  |  | — |
|  |  |  |  |  |  |  | $ | 23,830 |  |  | $ | 10,602 |  |  | $ | 23,171 |
(1) | Each loan is secured by a first mortgage lien on certain of NNN’s properties. The carrying values of the assets are as of December 31, 2012.
(2) | Date entered represents the date that NNN acquired real estate subject to a mortgage securing a loan. The corresponding original principal balance represents the outstanding principal balance at the time of acquisition.
(3) | Monthly payments include interest and principal, if any; the balance is due at maturity.
(4) | Initial balance and outstanding principal balance includes unamortized premium.
The carrying amounts of the Company’s convertible debt and equity balances are summarized in the table below as of December 31 (dollars in thousands):
| 2012 |  | 2011
Carrying value of equity component | $ | (22,193 | ) |  | $ | (33,873 | )
Principal amount of convertible debt | 238,572 |  |  | 361,735 |
Remaining unamortized debt discount | (2,072 | ) |  | (6,363 | )
Net carrying value of convertible debt | $ | 214,307 |  |  | $ | 321,499 |
Debt Interest Expense | NNN recorded the following relating to the 2026 Notes and the 2028 Notes as of December 31 (dollars in thousands):
| 2012 |  | 2011 |  | 2010
Noncash interest charges | $ | 4,291 |  |  | $ | 5,837 |  |  | $ | 6,154 |
Contractual interest expense | 15,744 |  |  | 16,909 |  |  | 17,046 |
| $ | 20,035 |  |  | $ | 22,746 |  |  | $ | 23,200 |

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- Definition Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 55 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=6584090&loc=d3e28878-108400 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28541-108399 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(e),(f)) -URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 470 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28551-108399 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 22 -Article 5 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644 + Details
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