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Real Estate Investments | 12 Months Ended
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Dec. 31, 2017
Real Estate [Abstract] |
Real Estate Disclosure [Text Block] | Note 3 – Real Estate Investments Real Estate Portfolio As of December 31, 2017, the Company owned 436 properties, with a total gross leasable area of approximately 8.7 million square feet. Net Real Estate Investments totaled $1.2 billion as of December 31, 2017. As of December 31, 2016, the Company owned 366 properties, with a total gross leasable area of 7.0 million square feet. Net Real Estate Investments totaled $950.3 million as of December 31, 2016. Tenant Leases The properties that the Company owns are typically leased to tenants under long term operating leases. The leases are generally net leases which typically require the tenant to be responsible for minimum monthly rent and property operating expenses including property taxes, insurance and maintenance. Certain of our properties are subject to leases under which we retain responsibility for specific costs and expenses of the property. The leases typically provide the tenant with one or more multi-year renewal options subject to generally the same terms and conditions, including rent increases, consistent with the initial lease term. As of December 31, 2017, the future minimum lease payments to be received under the terms of all non-cancellable tenant leases is as follows (in thousands):
For the Year Ending December 31, |  |  |  |
2018 |  | $ | 114,983 |
2019 |  |  | 114,338 |
2020 |  |  | 112,189 |
2021 |  |  | 108,576 |
2022 |  |  | 104,531 |
Thereafter |  |  | 682,299 |
Total |  | $ | 1,236,916 |
Since lease renewal periods are exercisable at the option of the tenant, the above table only presents future minimum lease payments due during the current lease terms. In addition, this table does not include amounts for potential variable rent increases that are based on the Consumer Price Index (“CPI”) or future contingent rents which may be received on the leases based on a percentage of the tenant’s gross sales. Of these future minimum rents, approximately 6.5% of the total is attributable to Walgreens as of December 31, 2017. The loss of this tenant or the inability of them to pay rent could have an adverse effect on the Company’s business. Deferred Revenue As of December 31, 2017, and December 31, 2016, there was $1.8 million and $1.8 million, respectively, in deferred revenues resulting from rents paid in advance. In July 2004, the Company’s tenant in a joint venture property located in Boynton Beach, FL repaid $4.0 million that had been contributed by the Company’s joint venture partner. As a result of this repayment, the Company became the sole member of the limited liability company holding the property. Total assets of the property were approximately $4.0 million. The Company has treated the $4.0 million as deferred revenue and accordingly, will recognize rental income over the term of the related leases. The remaining deferred revenue for the Boynton Beach, FL property was fully recognized in 2016. Land Lease Obligations The Company is subject to land lease agreements for certain of its properties. Land lease expense was $0.7 million, $0.7 million, and $0.6 million for the years ending December 31, 2017, 2016 and 2015, respectively. As of December 31, 2017, future annual lease commitments under these agreements are as follows (in thousands):
For the Year Ending December 31, |  |  |  |
2018 |  | $ | 641 |
2019 |  |  | 634 |
2020 |  |  | 632 |
2021 |  |  | 588 |
2022 |  |  | 505 |
Thereafter |  |  | 7,342 |
Total |  | $ | 10,342 |
Acquisitions During 2017, the Company purchased 79 retail net lease assets for approximately $338.0 million, including acquisition and closing costs. These properties are located in 27 states and 100% leased to 49 different tenants operating in 22 unique retail sectors for a weighted average lease term of approximately 11.1 years. None of the Company’s investments during 2017 caused any new or existing tenant to comprise 10% or more of the Company’s total assets or generate 10% or more of the Company’s total annualized base rent at December 31, 2017. The aggregate 2017 acquisitions were allocated approximately $94.1 million to land, $172.0 million to buildings and improvements, and $71.9 million to lease intangibles and other assets. The acquisitions were substantially all cash purchases and there was no contingent consideration associated with these acquisitions. In one acquisition, the Company assumed debt of $21.5 million. During 2016, the Company purchased 82 retail net lease assets for approximately $295.6 million, including acquisition and closing costs. These properties are located in 27 states and 100% leased to 49 different tenants operating in 22 unique retail sectors for a weighted average lease term of approximately 10.7 years. None of the Company’s investments during 2016 caused any new or existing tenant to comprise 10% or more of the Company’s total assets or generate 10% or more of the Company’s total annualized base rent at December 31, 2016. The aggregate 2016 acquisitions were allocated approximately $84.3 million to land, $170.0 million to buildings and improvements, and $41.3 million to lease intangibles and other assets. The acquisitions were substantially all cash purchases and there was no contingent consideration associated with these acquisitions. Developments During the fourth quarter of 2017, construction continued or commenced on seven development and Partner Capital Solutions (“PCS”) projects with anticipated total project costs of approximately $41.3 million. The projects consist of the Company’s first PCS project with Art Van Furniture in Canton, Michigan; four development projects with Mister Car Wash; one Burger King development in North Ridgeville, Ohio; and the Company’s third project with Camping World in Grand Rapids, Michigan. During the twelve months ended December 31, 2017, the Company had 11 development or PCS projects completed or under construction. Anticipated total costs for those projects are approximately $62.7 million and include the following completed or commenced projects:
Tenant |  | Location |  | Lease Structure |  | Lease Term |  | Actual or Anticipated Rent Commencement |  | Status
Camping World |  | Tyler, TX |  | Build-to-Suit |  | 20 Years |  | Q1 2017 |  | Completed
Burger King(1) |  | Heber, UT |  | Build-to-Suit |  | 20 Years |  | Q1 2017 |  | Completed
Camping World |  | Georgetown, KY |  | Build-to-Suit |  | 20 Years |  | Q2 2017 |  | Completed
Orchard Supply |  | Boynton Beach, FL |  | Build-to-Suit |  | 15 Years |  | Q3 2017 |  | Completed
Mister Car Wash |  | Urbandale, IA |  | Build-to-Suit |  | 20 years |  | Q1 2018 |  | Under Construction
Mister Car Wash |  | Bernalillo, NM |  | Build-to-Suit |  | 20 years |  | Q1 2018 |  | Under Construction
Art Van Furniture |  | Canton, MI |  | Build-to-Suit |  | 20 years |  | Q1 2018 |  | Under Construction
Burger King(2) |  | North Ridgeville, OH |  | Build-to-Suit |  | 20 years |  | Q1 2018 |  | Under Construction
Camping World |  | Grand Rapids, MI |  | Build-to-Suit |  | 20 years |  | Q2 2018 |  | Under Construction
Mister Car Wash |  | Orlando, FL |  | Build-to-Suit |  | 20 years |  | Q3 2018 |  | Under Construction
Mister Car Wash |  | Tavares, FL |  | Build-to-Suit |  | 20 years |  | Q3 2018 |  | Under Construction
Notes: (1) Franchise restaurant operated by Meridian Restaurants Unlimited, L.C. (2) Franchise restaurant operated by TOMS King, LLC. Dispositions During 2017, the Company sold real estate properties for net proceeds of $44.3 million and a recorded net gain of $14.2 million (net of any expected losses on real estate held for sale). During 2016, the Company sold real estate properties for net proceeds of $27.9 million and a recorded net gain of $10.0 million (net of any expected losses on real estate held for sale). During 2015, the Company sold real estate properties for net proceeds of $28.1 million and a recorded net gain of $12.1 million (net of any expected losses on real estate held for sale). Impairments As a result of our review of Real Estate Investments we did not recognize any real estate impairment charges for the years ended December 31, 2017, 2016 and 2015.

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- Definition The entire disclosure for certain real estate investment financial statements, real estate investment trust operating support agreements, real estate owned, retail land sales, time share transactions, as well as other real estate related disclosures. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 970 -URI http://asc.fasb.org/topic&trid=2156125 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 972 -URI http://asc.fasb.org/topic&trid=2134617 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 978 -URI http://asc.fasb.org/topic&trid=2134977 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 974 -URI http://asc.fasb.org/topic&trid=2156429 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 976 -URI http://asc.fasb.org/topic&trid=2134846 + Details
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