Item 2. Properties
Item 2. Properties
Since inception, we have invested $7.5 billion primarily in MOBs, development projects, land and other healthcare real estate assets that serve the healthcare industry through December 31, 2020. As of December 31, 2020, our portfolio consisted of approximately 25.4 million square feet of GLA, with a leased rate of 89.8% (includes leases which have been executed, but which have not yet commenced). Approximately 67% of our portfolio was located on the campuses of, or adjacent to, nationally and regionally recognized healthcare systems. Our portfolio is diversified geographically across 32 states, with no state having more than 20% of the total GLA as of December 31, 2020. All but two of our properties are 100% owned.
As of December 31, 2020, we owned fee simple interests in properties representing 62% of our total GLA. We hold long-term leasehold interests in the remaining properties in our portfolio, representing 38% of our total GLA. As of December 31, 2020, these leasehold interests had an average remaining term of 46.8 years, excluding available extension options.
The following information generally applies to our properties:
• we believe all of our properties are adequately covered by insurance and are suitable for their intended purposes;
• our properties are located in markets where we are subject to competition in attracting new tenants and retaining current tenants; and
• depreciation is provided on a straight-line basis over the estimated useful lives of the buildings, up to 39 years, and over the shorter of the lease term or useful lives of the tenant improvements.
Tenant Lease Expirations
The following table presents the sensitivity of our annualized base rent due to tenant lease expirations for existing leases for the next 10 years:
Expiration (1)
Number of
Expiring
Leases Total GLA
of Expiring
Leases (2)
Percent of GLA of Expiring Leases Annualized Base Rent of Expiring Leases (2)(3)
Percent of Total Annualized Base Rent
Month-to-month 151 243 1.1 % $ 5,608 1.0 %
2021 721 2,229 9.8 54,303 9.7
2022 572 2,310 10.1 60,964 10.8
2023 528 2,543 11.1 57,355 10.2
2024 435 2,299 10.1 59,499 10.6
2025 363 1,954 8.5 48,173 8.6
2026 306 1,831 8.0 39,465 7.0
2027 211 1,995 8.7 54,428 9.7
2028 145 1,298 5.7 30,967 5.5
2029 204 1,643 7.2 40,231 7.2
2030 108 1,178 5.2 30,485 5.4
Thereafter 251 3,323 14.5 80,443 14.3
Total 3,995 22,846 100 % $ 561,921 100 %
(1) Leases scheduled to expire on December 31 of a given year are included within that year in the table.
(2) Amounts presented in thousands.
(3) Annualized base rent is calculated by multiplying contractual base rent as of the end of the year by 12 (excluding the impact of abatements, concessions, and straight-line rent).
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Geographic Diversification/Concentration Table
The following table lists the states in which our properties are located and provides certain information regarding our portfolio’s geographic diversification/concentration as of December 31, 2020:
State GLA (1)
Percent of GLA Annualized Base Rent (1)(2)
Percent of Annualized Base Rent
Texas 4,937 19.4 % $ 113,840 20.3 %
Florida 2,938 11.5 71,682 12.8
North Carolina 1,671 6.6 36,700 6.5
Massachusetts 965 3.8 35,000 6.2
Indiana 1,811 7.1 33,230 5.9
New York 1,390 5.5 29,415 5.2
Arizona 1,531 6.0 28,149 5.0
Georgia 1,192 4.7 27,644 4.9
Connecticut 1,165 4.6 25,218 4.5
Pennsylvania 1,351 5.3 24,733 4.4
California 909 3.6 21,123 3.8
Ohio 937 3.7 16,315 2.9
Illinois 454 1.8 13,675 2.4
Colorado 607 2.4 12,024 2.1
Tennessee 524 2.1 10,262 1.8
Missouri 355 1.4 9,653 1.7
South Carolina 297 1.2 7,137 1.3
Wisconsin 368 1.4 6,760 1.2
Alabama 319 1.2 6,415 1.2
Michigan 202 0.8 5,100 0.9
Maryland 181 0.7 4,802 0.9
Virginia 221 0.9 4,089 0.7
Hawaii 146 0.6 4,046 0.7
Oklahoma 186 0.7 2,901 0.5
Utah 159 0.6 2,772 0.5
New Mexico 141 0.6 2,308 0.4
New Jersey 57 0.2 1,775 0.3
Mississippi 80 0.3 1,554 0.3
Nevada 73 0.3 1,426 0.3
Idaho 83 0.3 1,082 0.2
Minnesota 159 0.6 783 0.1
Oregon 21 0.1 308 0.1
Total 25,430 100 % $ 561,921 100 %
(1) Amounts presented in thousands.
(2) Annualized base rent is calculated by multiplying contractual base rent as of the end of the year by 12 (excluding the impact of abatements, concessions, and straight-line rent).