Discontinued Operations
 12 Months Ended
Dec. 31, 2017
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations
Discontinued Operations
Effective January 1, 2014, the Company adopted ASU No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity, under which only disposals representing a strategic shift in operations of the Company and that have (or will have) a major effect on the Company’s operations and financial results are to be presented as discontinued operations. Previously, only properties that were reported as held for sale as of December 31, 2013, were presented in discontinued operations and net gains or losses from the disposition of these properties were reclassified to discontinued operations.

On May 31, 2018, the Company completed the Spin-Off of SMTA by means of a pro rata distribution of one share of SMTA common stock for every ten shares of the Corporation's common stock held by each of the Corporation's stockholders of record as of May 18, 2018. The Company determined that the Spin-Off represented a strategic shift that has a major effect on the Company's results and, therefore, SMTA's operations qualify as discontinued operations. Accordingly, the historical financial results of SMTA are reflected in our consolidated financial statements as discontinued operations for all periods presented.
The assets and liabilities related to discontinued operations are separately classified on the consolidated balance sheets as of December 31, 2017 and 2016, and the operations have been classified as income from discontinued operations on the consolidated statements of operations for the years ended December 31, 2017, 2016 and 2015. The consolidated statements of cash flows and all other notes herein include the results of both continuing operations and discontinued operations.
Also included in discontinued operations below are properties that were reported as held for sale as of December 31, 2013, all of which related to SMTA.
The table below summarizes the Company's assets and liabilities related to discontinued operations reported in its consolidated balance sheets.
(in thousands)
December 31, 2017
 
December 31, 2016
Assets
 
 
 
Investments:
 
 
 
Real estate investments:
 
 
 
Land and improvements
$
990,575

 
$
978,556

Buildings and improvements
1,702,926

 
1,629,555

Total real estate investments
2,693,501

 
2,608,111

Less: accumulated depreciation
(572,075
)
 
(508,047
)
 
2,121,426

 
2,100,064

Loans receivable, net
1,501

 
5,698

Intangible lease assets, net
103,651

 
114,558

Real estate asset held for sale, net
28,460

 
59,709

Net investments
2,255,038

 
2,280,029

Cash and cash equivalents
6

 
4,145

Deferred costs and other assets, net
109,096

 
54,736

Goodwill
28,740

 
28,740

Total assets of discontinued operations
$
2,392,880

 
$
2,367,650

 
 
 
 
Liabilities
 
 
 
Mortgages and notes payable, net
$
1,926,834

 
$
1,339,614

Intangible lease liabilities, net
24,729

 
30,232

Accounts payable, accrued expenses and other liabilities
17,277

 
12,239

Total liabilities of discontinued operations
$
1,968,840

 
$
1,382,085


The table below provides information about income and expenses related to the Company's discontinued operations reported in its consolidated statements of operations.
 
Year Ended December 31,
(in thousands)
2017
 
2016
 
2015
Revenues:
 
 
 
 
 
Rentals
$
229,668

 
$
240,247

 
$
253,360

Interest income on loans receivable
445

 
1,854

 
3,301

Tenant reimbursement income
1,836

 
2,238

 
2,025

Other income
5,748

 
6,295

 
6,407

Total revenues
237,697

 
250,634

 
265,093

Expenses:
 
 
 
 
 
General and administrative
4,552

 
2,008

 
2,071

Transaction costs
6,361

 
—

 
—

Property costs (including reimbursable)
10,644

 
6,750

 
6,658

Real estate acquisition costs
(78
)
 
325

 
393

Interest
76,733

 
77,896

 
83,718

Depreciation and amortization
82,333

 
89,240

 
94,155

Impairments
40,733

 
26,880

 
20,348

Total expenses
221,278

 
203,099

 
207,343

Income from discontinued operations before other income and income tax expense
16,419

 
47,535

 
57,750

Other income:
 
 
 
 
 
Loss on debt extinguishment
(2,224
)
 
(1,372
)
 
(787
)
Gain on disposition of assets
22,408

 
22,742

 
69,072

Total other income
20,184

 
21,370

 
68,285

Income from discontinued operations before income tax expense
36,603

 
68,905

 
126,035

Income tax benefit (expense)
117

 
(97
)
 
(122
)
Income from discontinued operations
$
36,720

 
$
68,808

 
$
125,913


The table below provides information about operating and investing cash flows related to the Company's discontinued operations reported in its consolidated statements of cash flows.
 
Year Ended December 31,
(in thousands)
2017
 
2016
 
2015
Net cash provided by operating activities
$
143,939

 
$
160,279

 
$
172,654

Net cash provided by investing activities
135,880

 
99,542

 
262,393


Continuing Involvement
Subsequent to the Spin-Off, the Company will have continuing involvement with SMTA through the terms of the Asset Management Agreement, Property Management and Servicing Agreement and ownership of preferred equity of SMTA.