Item 2. Properties
Item 2. Properties
The following table presents certain additional information about the properties we owned as of December 31, 2022:
Portfolio Number
of Properties Rentable
Square Feet Percent Leased (1)
Weighted Average Remaining Lease Term (2)
Gross Asset Value (3)
(In thousands)
Medical Office and Other Healthcare Related Buildings 150 5,090,957 90.4% 4.9 $ 1,423,804
Seniors Housing — Operating Properties 52 (4) 4,030,413 75.1% (5) N/A 1,140,608
Total Portfolio 202 9,121,370 $ 2,564,412
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(1) Inclusive of leases signed but not yet commenced as of December 31, 2022.
(2) Weighted-average remaining lease term in years is calculated based on square feet as of December 31, 2022.
(3) Gross asset value represents total real estate investments, at cost ($2.6 billion total as of December 31, 2022), net of gross market lease intangible liabilities ($23.5 million total as of December 31, 2022). Impairment charges are already reflected within gross asset value.
(4) Includes two parcels of land.
(5) Weighted by unit count as of December 31, 2022. As of December 31, 2022, we had 4,374 rentable units in our SHOP segment. Excludes land parcels.
N/A Not applicable.
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The following table details the geographic distribution, by state, of our portfolio as of December 31, 2022:
State Number of Properties Annualized Rental Income (1)
Annualized Rental Income as a Percentage of the Total Portfolio Rentable Square Feet Percentage of Portfolio
Rentable Square Feet Rentable Units in SHOP Segment
(In thousands)
Alabama 1 $ 176 0.1 % 5,564 0.1 % —
Arizona 14 9,743 3.1 % 509,534 5.6 % —
Arkansas 3 14,615 4.7 % 248,783 2.7 % 299
California 8 18,580 5.9 % 446,723 4.9 % 247
Colorado 3 1,727 0.6 % 67,016 0.7 % —
Florida 23 60,216 19.2 % 1,099,729 12.1 % 812
Georgia 16 27,439 8.7 % 802,691 8.8 % 624
Idaho 1 3,959 1.3 % 55,846 0.6 % 95
Illinois 21 24,855 7.9 % 858,036 9.4 % 356
Indiana 8 4,693 1.5 % 208,672 2.3 % —
Iowa 14 29,185 9.3 % 585,667 6.4 % 679
Kansas 1 4,309 1.4 % 49,360 0.5 % 71
Kentucky 2 3,952 1.3 % 92,875 1.0 % 114
Louisiana 1 656 0.2 % 17,830 0.2 % —
Maryland 1 1,046 0.3 % 36,260 0.4 % —
Massachusetts 3 846 0.3 % 36,563 0.4 % —
Michigan 11 14,705 4.7 % 420,298 4.6 % 311
Minnesota 1 1,098 0.4 % 36,375 0.4 % —
Mississippi 3 1,716 0.5 % 73,859 0.8 % —
Missouri 2 7,715 2.5 % 96,016 1.1 % 146
Nevada 2 3,270 1.0 % 86,342 0.9 % —
New Jersey 1 773 0.2 % 25,164 0.3 % —
New York 4 2,598 0.8 % 119,602 1.3 % —
North Carolina 3 1,555 0.5 % 90,650 1.0 % —
Ohio 5 7,863 2.5 % 172,085 1.9 % —
Oklahoma 2 1,092 0.3 % 47,407 0.5 % —
Oregon 2 7,551 2.4 % 267,748 2.9 % 252
Pennsylvania 17 31,195 9.9 % 1,442,824 15.8 % 289
South Carolina 2 1,103 0.4 % 52,527 0.6 % —
Tennessee 3 3,219 1.0 % 177,489 1.9 % —
Texas 9 6,693 2.1 % 403,369 4.4 % —
Virginia 1 1,633 0.3 % 62,165 0.7 % —
Washington 1 2,031 0.6 % 52,900 0.6 % —
Wisconsin 13 11,810 3.8 % 373,401 4.1 % 79
Total 202 $ 313,617 100 % 9,121,370 100 % 4,374
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__________
(1) Annualized rental income on a straight-line basis for the leases in place in the property portfolio as of December 31, 2022, which includes tenant concessions such as free rent, as applicable, as well as annualized gross revenue from our SHOPs based off the fourth quarter of 2022.
Future Minimum Lease Payments
The following table presents future minimum base rental cash payments due to us (excluding our SHOP segment) over the next ten years and thereafter as of December 31, 2022. The SHOP segment is excluded as the leases of units with residents are generally for annual periods or month to month. These amounts exclude tenant reimbursements and contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to performance thresholds and increases in annual rent based on exceeding certain economic indexes, among other items.
(In thousands) Future Minimum
Base Rent Payments
2023 $ 106,009
2024 99,507
2025 88,452
2026 80,462
2027 62,175
2028 45,274
2029 38,165
2030 34,468
2031 29,247
2032 22,472
Thereafter 45,649
$ 651,880
Future Lease Expirations Table
The following is a summary of lease expirations for the next ten years at the properties we owned (excluding our SHOP segment) as of December 31, 2022:
Year of Expiration
Number of Leases Expiring
Annualized Rental Income (1)
Annualized Rental Income as a Percentage of the Total Portfolio
Leased Rentable Square Feet
Percent of Portfolio Rentable Square Feet Expiring
(In thousands)
2023 70 $ 6,249 5.8% 272,362 5.9%
2024 99 12,069 11.2% 543,459 11.9%
2025 71 7,788 7.3% 326,401 7.1%
2026 82 17,801 16.6% 1,000,453 21.8%
2027 95 15,701 14.6% 815,793 17.8%
2028 34 10,457 9.7% 397,495 8.7%
2029 20 3,191 3.0% 140,652 3.1%
2030 23 4,498 4.2% 182,801 4.0%
2031 15 4,820 4.5% 174,374 3.8%
2032 29 13,049 12.2% 435,838 9.5%
Total 538 $ 95,623 89.1% 4,289,628 93.6%
_____________
(1) Annualized rental income on a straight-line basis for the leases in place in the property portfolio as of December 31, 2022, which includes tenant concessions such as free rent, as applicable.
Tenant Concentration
As of December 31, 2022, we did not have any tenants (including for this purpose, all affiliates of such tenants) whose annualized rental income on a straight-line basis represented 10% or more of total annualized rental income on a straight-line basis for our portfolio.
Significant Portfolio Properties
As of December 31, 2022, the rentable square feet or annualized rental income on a straight-line basis of one property represented 5% or more of our total portfolio’s rentable square feet or annualized rental income on a straight-line basis:
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Wellington at Hershey’s Mill - West Chester, PA
In December 2014, we purchased Wellington at Hershey’s Mill, a seniors housing property located in West Chester, Pennsylvania. Wellington at Hershey’s Mill, which is leased to our TRS and operated and managed on our behalf by a third-party operator in our SHOP segment, contains 491,710 rentable square feet and consists of 193 units dedicated to independent living patients, 64 units dedicated to assisted living patients and 32 units dedicated to memory care patients. As of December 31, 2022, this property represented 5.4% of our total rentable square feet and 4.8% of our total annualized rental income on a straight-line basis.
Property Financings
See Note 4 — Mortgage Notes Payable, Net and Note 5 — Credit Facilities to our consolidated financial statements in this Annual Report on Form 10-K for property financings as of December 31, 2022 and 2021.
Item 3. Legal Proceedings.
We are not a party to, and none of our properties are subject to, any material pending legal proceedings.
Item 4. Mine Safety Disclosures.
Not applicable.
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PART II
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.