Property Portfolio (Tables)
|
12 Months Ended |
Dec. 31, 2019 |
|---|
| Schedule of Properties Acquired |
A rollforward of the gross investment in land, building, improvements, and acquired lease intangible assets as of December 31, 2019 resulting from these acquisitions is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
|
|
|
|
|
|
|
|
|
|
Site
|
|
Tenant
|
|
Acquired Lease
|
|
Investment in
|
|
|
|
Land
|
|
Building
|
|
Improvements
|
|
Improvements
|
|
Intangible Assets
|
|
Real Estate
|
|
Balances as of December 31, 2018
|
|
$
|
63,710
|
|
$
|
518,451
|
|
$
|
6,880
|
|
$
|
15,357
|
|
$
|
43,152
|
|
$
|
647,550
|
|
Facility Acquired – Date Acquired:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Zachary – 2/28/19
|
|
|
—
|
|
|
3,336
|
|
|
103
|
|
|
409
|
|
|
835
|
|
|
4,683
|
|
Gilbert and Chandler – 3/19/19
|
|
|
4,616
|
|
|
11,643
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,259
|
|
Las Vegas – 4/15/19
|
|
|
2,479
|
|
|
15,277
|
|
|
244
|
|
|
2,205
|
|
|
2,297
|
|
|
22,502
|
|
Oklahoma Northwest – 4/15/19
|
|
|
2,364
|
|
|
19,501
|
|
|
143
|
|
|
3,044
|
|
|
3,155
|
|
|
28,207
|
|
Mishawaka – 4/15/19
|
|
|
1,924
|
|
|
10,084
|
|
|
74
|
|
|
1,798
|
|
|
2,223
|
|
|
16,103
|
|
Surprise – 4/15/19
|
|
|
1,738
|
|
|
18,737
|
|
|
228
|
|
|
4,119
|
|
|
3,860
|
|
|
28,682
|
|
San Marcos – 7/12/19
|
|
|
2,322
|
|
|
6,934
|
|
|
126
|
|
|
404
|
|
|
2,188
|
|
|
11,974
|
|
Lansing – 8/1/19
|
|
|
1,202
|
|
|
7,681
|
|
|
185
|
|
|
667
|
|
|
1,633
|
|
|
11,368
|
|
Bannockburn – 8/5/19
|
|
|
763
|
|
|
3,566
|
|
|
132
|
|
|
1,134
|
|
|
1,382
|
|
|
6,977
|
|
Aurora – 8/6/19
|
|
|
1,521
|
|
|
7,446
|
|
|
308
|
|
|
603
|
|
|
2,679
|
|
|
12,557
|
|
Livonia – 8/14/19
|
|
|
980
|
|
|
7,629
|
|
|
201
|
|
|
442
|
|
|
1,340
|
|
|
10,592
|
|
Gilbert – 8/23/19
|
|
|
2,408
|
|
|
2,027
|
|
|
62
|
|
|
362
|
|
|
733
|
|
|
5,592
|
|
Morgantown – 9/26/19
|
|
|
883
|
|
|
5,286
|
|
|
373
|
|
|
506
|
|
|
902
|
|
|
7,950
|
|
Beaumont – 10/1/19
|
|
|
3,022
|
|
|
24,836
|
|
|
399
|
|
|
1,036
|
|
|
4,446
|
|
|
33,739
|
|
Bastrop – 10/25/19
|
|
|
1,975
|
|
|
8,436
|
|
|
64
|
|
|
276
|
|
|
1,314
|
|
|
12,065
|
|
Panama City – 10/31/19
|
|
|
1,559
|
|
|
8,682
|
|
|
220
|
|
|
1,036
|
|
|
1,479
|
|
|
12,976
|
|
Jacksonville – 11/15/19
|
|
|
1,023
|
|
|
7,846
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
8,869
|
|
Greenwood – 12/17/19
|
|
|
892
|
|
|
4,956
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,848
|
|
ASC Topic 842 Reclassification
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(824)
|
|
|
(824)
|
|
Capitalized costs(1)
|
|
|
—
|
|
|
1,179
|
|
|
170
|
|
|
511
|
|
|
—
|
|
|
1,860
|
|
Total Additions:
|
|
|
31,671
|
|
|
175,082
|
|
|
3,032
|
|
|
18,552
|
|
|
29,642
|
|
|
257,979
|
|
Balances as of December 31, 2019
|
|
$
|
95,381
|
|
$
|
693,533
|
|
$
|
9,912
|
|
$
|
33,909
|
|
$
|
72,794
|
|
$
|
905,529
|
|
(1)
|
|
Represents capital projects that were completed and placed in service during the year ended December 31, 2019 related to the Company’s existing facilities.
|
A rollforward of the gross investment in land, building, improvements, and acquired lease intangible assets as of December 31, 2018 resulting from these acquisitions is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
|
|
|
|
|
|
|
|
|
|
Site
|
|
Tenant
|
|
Acquired Lease
|
|
Investment in
|
|
|
|
Land
|
|
Building
|
|
Improvements
|
|
Improvements
|
|
Intangibles
|
|
Real Estate
|
|
Balances as of January 1, 2018
|
|
$
|
42,701
|
|
$
|
384,338
|
|
$
|
4,808
|
|
$
|
8,010
|
|
$
|
31,650
|
|
$
|
471,507
|
|
Facility Acquired – Date Acquired:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Moline / Silvis – 1/24/18
|
|
|
—
|
|
|
4,895
|
|
|
249
|
|
|
967
|
|
|
989
|
|
|
7,100
|
|
Freemont – 2/9/18
|
|
|
162
|
|
|
8,335
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
8,497
|
|
Gainesville – 2/23/18
|
|
|
625
|
|
|
9,885
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,510
|
|
Dallas – 3/1/18
|
|
|
6,272
|
|
|
17,012
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
23,284
|
|
Orlando – 3/22/18
|
|
|
2,543
|
|
|
11,720
|
|
|
532
|
|
|
224
|
|
|
1,395
|
|
|
16,414
|
|
Belpre – 4/19/18
|
|
|
3,025
|
|
|
50,526
|
|
|
972
|
|
|
2,994
|
|
|
7,166
|
|
|
64,683
|
|
McAllen – 7/3/18
|
|
|
1,099
|
|
|
4,296
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,395
|
|
Derby – 8/3/18
|
|
|
412
|
|
|
2,496
|
|
|
154
|
|
|
89
|
|
|
453
|
|
|
3,604
|
|
Bountiful – 10/12/18
|
|
|
720
|
|
|
4,185
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,905
|
|
Cincinnati – 10/30/18
|
|
|
1,745
|
|
|
1,336
|
|
|
79
|
|
|
474
|
|
|
492
|
|
|
4,126
|
|
Melbourne – 11/16/18
|
|
|
645
|
|
|
5,950
|
|
|
86
|
|
|
31
|
|
|
1,007
|
|
|
7,719
|
|
Southern IL – 11/30/18
|
|
|
1,830
|
|
|
12,660
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14,490
|
|
Vernon – 12/19/18
|
|
|
1,166
|
|
|
9,929
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
11,095
|
|
Corona – 12/31/18
|
|
|
1,601
|
|
|
14,689
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,290
|
|
Tenant improvements(1)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,568
|
|
|
—
|
|
|
2,568
|
|
Total Additions:
|
|
|
21,845
|
|
|
157,914
|
|
|
2,072
|
|
|
7,347
|
|
|
11,502
|
|
|
200,680
|
|
Great Bend Disposition – 12/20/18
|
|
|
(836)
|
|
|
(23,801)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(24,637)
|
|
Balances as of December 31, 2018
|
|
$
|
63,710
|
|
$
|
518,451
|
|
$
|
6,880
|
|
$
|
15,357
|
|
$
|
43,152
|
|
$
|
647,550
|
(1) Represents tenant improvements that were completed and placed in service during the year ended December 31, 2018 related to the Company’s existing facilities.
|
| Summary of Carrying amount of intangible assets and liabilities |
The following is a summary of the carrying amount of intangible assets and liabilities as of December 31, 2019 and 2018:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31, 2019
|
|
|
|
|
|
|
Accumulated
|
|
|
|
|
|
|
Cost
|
|
Amortization
|
|
Net
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
In-place leases
|
|
$
|
39,429
|
|
$
|
(7,851)
|
|
$
|
31,578
|
|
Above market leases
|
|
|
12,246
|
|
|
(2,366)
|
|
|
9,880
|
|
Leasing costs
|
|
|
21,119
|
|
|
(3,458)
|
|
|
17,661
|
|
|
|
$
|
72,794
|
|
$
|
(13,675)
|
|
$
|
59,119
|
|
Liability
|
|
|
|
|
|
|
|
|
|
|
Below market leases
|
|
$
|
3,861
|
|
$
|
(697)
|
|
$
|
3,164
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31, 2018
|
|
|
|
|
|
|
Accumulated
|
|
|
|
|
|
|
Cost
|
|
Amortization
|
|
Net
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
In-place leases
|
|
$
|
21,753
|
|
$
|
(4,037)
|
|
$
|
17,716
|
|
Above market ground lease
|
|
|
707
|
|
|
(28)
|
|
|
679
|
|
Above market leases
|
|
|
8,009
|
|
|
(1,096)
|
|
|
6,913
|
|
Leasing costs
|
|
|
12,683
|
|
|
(1,703)
|
|
|
10,980
|
|
|
|
$
|
43,152
|
|
$
|
(6,864)
|
|
$
|
36,288
|
|
Liability
|
|
|
|
|
|
|
|
|
|
|
Below market leases
|
|
$
|
2,336
|
|
$
|
(308)
|
|
$
|
2,028
|
|
| Summary of the acquired lease intangible amortization |
The following is a summary of the acquired lease intangible amortization:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31,
|
|
|
|
2019
|
|
2018
|
|
2017
|
|
Amortization expense related to in-place leases
|
|
$
|
3,814
|
|
$
|
2,460
|
|
$
|
1,542
|
|
Amortization expense related to leasing costs
|
|
$
|
1,755
|
|
$
|
1,165
|
|
$
|
530
|
|
Decrease in rental revenue related to above market ground lease
|
|
$
|
—
|
|
$
|
22
|
|
$
|
6
|
|
Decrease in rental revenue related to above market leases
|
|
$
|
1,270
|
|
$
|
876
|
|
$
|
220
|
|
Increase in rental revenue related to below market leases
|
|
$
|
(389)
|
|
$
|
(210)
|
|
$
|
(97)
|
|
| Schedule of net amortization acquired lease intangible assets and liabilities |
Future aggregate net amortization of the acquired lease intangible assets and liabilities as of December 31, 2019, is as follows:
|
|
|
|
|
|
|
|
|
|
|
Net Decrease
|
|
Increase
|
|
|
|
in Revenue
|
|
in Expense
|
|
2020
|
|
$
|
(986)
|
|
$
|
7,332
|
|
2021
|
|
|
(988)
|
|
|
6,717
|
|
2022
|
|
|
(997)
|
|
|
6,350
|
|
2023
|
|
|
(1,024)
|
|
|
5,728
|
|
2024
|
|
|
(634)
|
|
|
5,314
|
|
Thereafter
|
|
|
(2,087)
|
|
|
17,798
|
|
Total
|
|
$
|
(6,716)
|
|
$
|
49,239
|
|
| summary of unaudited pro forma information |
The businesses acquired in 2017 that were accounted for as business combinations were included in our results of operations from the dates of acquisition. The following table provides summary unaudited pro forma information as if the Company’s acquisitions during the year ended December 31, 2017 that were accounted for as if business combinations had occurred as of January 1, 2017:
|
|
|
|
|
|
|
|
Year Ended December 31,
|
|
|
|
2017
|
|
|
|
(unaudited)
|
|
|
|
|
|
|
Revenue
|
|
$
|
38,140
|
|
Net income
|
|
$
|
1,828
|
|
Net income attributable to common stockholders
|
|
$
|
41
|
|
Income attributable to common stockholders per share – basic and diluted
|
|
$
|
—
|
|
Weighted average shares outstanding – basic and diluted
|
|
$
|
19,617
|
|
| Zachary Facility [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
103
|
|
Building and tenant improvements
|
|
|
3,745
|
|
In-place leases
|
|
|
305
|
|
Above-market lease intangibles
|
|
|
117
|
|
Leasing costs
|
|
|
413
|
|
Below-market lease intangibles
|
|
|
(34)
|
|
Total purchase price
|
|
$
|
4,649
|
|
| IRF Portfolio [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Las Vegas
|
|
Surprise
|
|
Oklahoma City
|
|
Mishawaka
|
|
Land and site improvements
|
|
$
|
2,723
|
|
$
|
1,966
|
|
$
|
2,507
|
|
$
|
1,998
|
|
Building and tenant improvements
|
|
|
17,482
|
|
|
22,856
|
|
|
22,545
|
|
|
11,882
|
|
In-place leases
|
|
|
1,778
|
|
|
1,845
|
|
|
1,890
|
|
|
1,465
|
|
Above-market lease intangibles
|
|
|
—
|
|
|
938
|
|
|
367
|
|
|
236
|
|
Leasing costs
|
|
|
519
|
|
|
1,077
|
|
|
898
|
|
|
522
|
|
Below-market lease intangibles
|
|
|
(863)
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Total purchase price
|
|
$
|
21,639
|
|
$
|
28,682
|
|
$
|
28,207
|
|
$
|
16,103
|
|
| San Marcos [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
2,448
|
|
Building and tenant improvements
|
|
|
7,338
|
|
In-place leases
|
|
|
698
|
|
Above-market lease intangibles
|
|
|
1,101
|
|
Leasing costs
|
|
|
389
|
|
Total purchase price
|
|
$
|
11,974
|
|
| Lansing [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,387
|
|
Building and tenant improvements
|
|
|
8,348
|
|
In-place leases
|
|
|
953
|
|
Above-market lease intangibles
|
|
|
130
|
|
Leasing costs
|
|
|
550
|
|
Below-market lease intangibles
|
|
|
(248)
|
|
Total purchase price
|
|
$
|
11,120
|
|
| Bannockburn [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed.
|
|
|
|
|
|
Land and site improvements
|
|
$
|
895
|
|
Building and tenant improvements
|
|
|
4,700
|
|
In-place leases
|
|
|
796
|
|
Above-market lease intangibles
|
|
|
250
|
|
Leasing costs
|
|
|
336
|
|
Below-market lease intangibles
|
|
|
(144)
|
|
Total purchase price
|
|
$
|
6,833
|
|
| Aurora [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,829
|
|
Building and tenant improvements
|
|
|
8,049
|
|
In-place leases
|
|
|
1,417
|
|
Above-market lease intangibles
|
|
|
861
|
|
Leasing costs
|
|
|
401
|
|
Total purchase price
|
|
$
|
12,557
|
|
| Livonia [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,181
|
|
Building and tenant improvements
|
|
|
8,071
|
|
In-place leases
|
|
|
1,252
|
|
Above-market lease intangibles
|
|
|
53
|
|
Leasing costs
|
|
|
35
|
|
Below-market lease intangibles
|
|
|
(236)
|
|
Total purchase price
|
|
$
|
10,356
|
|
| Gilbert [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
2,470
|
|
Building and tenant improvements
|
|
|
2,389
|
|
In-place leases
|
|
|
121
|
|
Above-market lease intangibles
|
|
|
300
|
|
Leasing costs
|
|
|
312
|
|
Total purchase price
|
|
$
|
5,592
|
|
| Morgantown [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,256
|
|
Building and tenant improvements
|
|
|
5,792
|
|
In-place leases
|
|
|
457
|
|
Leasing costs
|
|
|
445
|
|
Total purchase price
|
|
$
|
7,950
|
|
| Beaumont [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
3,421
|
|
Building and tenant improvements
|
|
|
25,872
|
|
In-place leases
|
|
|
3,304
|
|
Leasing costs
|
|
|
1,142
|
|
Total purchase price
|
|
$
|
33,739
|
|
| Bastrop [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
2,039
|
|
Building and tenant improvements
|
|
|
8,712
|
|
In-place leases
|
|
|
990
|
|
Leasing costs
|
|
|
324
|
|
Total purchase price
|
|
$
|
12,065
|
|
| Panama City [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,779
|
|
Building and tenant improvements
|
|
|
9,718
|
|
In-place leases
|
|
|
405
|
|
Leasing costs
|
|
|
1,074
|
|
Total purchase price
|
|
$
|
12,976
|
|
| Jacksonville [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible assets acquired:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,023
|
|
Building and tenant improvements
|
|
|
7,846
|
|
Total purchase price
|
|
$
|
8,869
|
|
| Greenwood [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible assets acquired:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
892
|
|
Building and tenant improvements
|
|
|
4,956
|
|
Total purchase price
|
|
$
|
5,848
|
|
| Silvis Facilities [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed for this acquisition:
|
|
|
|
|
|
Site improvements
|
|
$
|
249
|
|
Building and tenant improvements
|
|
|
5,862
|
|
In-place leases
|
|
|
343
|
|
Above market ground lease intangibles
|
|
|
219
|
|
Leasing costs
|
|
|
427
|
|
Below market lease intangibles
|
|
|
(229)
|
|
Total purchase price
|
|
$
|
6,871
|
|
| Orlando Facilities [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
3,075
|
|
Building and tenant improvements
|
|
|
11,944
|
|
In-place leases
|
|
|
808
|
|
Above market lease intangibles
|
|
|
229
|
|
Leasing costs
|
|
|
358
|
|
Below market lease intangibles
|
|
|
(10)
|
|
Total purchase price
|
|
$
|
16,404
|
|
| Belpre Portfolio [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
3,997
|
|
Building and tenant improvements
|
|
|
53,520
|
|
In-place leases
|
|
|
2,660
|
|
Above market lease intangibles
|
|
|
2,527
|
|
Leasing costs
|
|
|
1,979
|
|
Below market lease intangibles
|
|
|
(632)
|
|
Total purchase price
|
|
$
|
64,051
|
|
| Derby [Member] |
|
| Schedule of tangible and intangible assets |
. The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
566
|
|
Building and tenant improvements
|
|
|
2,585
|
|
In-place leases
|
|
|
299
|
|
Leasing costs
|
|
|
154
|
|
Below market lease intangibles
|
|
|
(23)
|
|
Total purchase price
|
|
$
|
3,581
|
|
| Cincinnati Facility [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
1,824
|
|
Building and tenant improvements
|
|
|
1,810
|
|
In-place leases
|
|
|
236
|
|
Above market lease intangibles
|
|
|
131
|
|
Leasing costs
|
|
|
125
|
|
Below market lease intangibles
|
|
|
(52)
|
|
Total purchase price
|
|
$
|
4,074
|
|
| Melbourne Facility [Member] |
|
| Schedule of tangible and intangible assets |
The following table presents the details of the tangible and intangible assets acquired and liabilities assumed:
|
|
|
|
|
|
Land and site improvements
|
|
$
|
731
|
|
Building and tenant improvements
|
|
|
5,981
|
|
In-place leases
|
|
|
346
|
|
Above market lease intangibles
|
|
|
504
|
|
Leasing costs
|
|
|
157
|
|
Total purchase price
|
|
$
|
7,719
|
|