Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2020 | Apr. 30, 2020 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-35568 | |
Entity Registrant Name | HEALTHCARE TRUST OF AMERICA, INC. | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 20-4738467 | |
Entity Address, Address Line One | 16435 N. Scottsdale Road, Suite 320, | |
Entity Address, City or Town | Scottsdale, | |
Entity Address, State or Province | AZ | |
Entity Address, Postal Zip Code | 85254 | |
City Area Code | (480) | |
Local Phone Number | 998-3478 | |
Title of 12(b) Security | Common stock, $0.01 par value | |
Trading Symbol | HTA | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 218,480,985 | |
Entity Central Index Key | 0001360604 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 | |
Healthcare Trust of America Holdings, LP (HTALP) | ||
Entity Information [Line Items] | ||
Entity File Number | 333-190916 | |
Entity Registrant Name | HEALTHCARE TRUST OF AMERICA HOLDINGS, LP | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 20-4738347 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001495491 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Real estate investments: | ||
Land | $ 587,363 | $ 584,546 |
Building and improvements | 6,313,199 | 6,252,854 |
Lease intangibles | 630,535 | 628,066 |
Construction in progress | 40,350 | 28,150 |
Real estate investments, gross | 7,571,447 | 7,493,616 |
Accumulated depreciation and amortization | (1,519,845) | (1,447,815) |
Real estate investments, net | 6,051,602 | 6,045,801 |
Investment in unconsolidated joint venture | 65,526 | 65,888 |
Cash and cash equivalents | 216,515 | 32,713 |
Restricted cash | 4,957 | 4,903 |
Receivables and other assets, net | 235,022 | 237,024 |
Right-of-use assets - operating leases, net | 238,516 | 239,867 |
Other intangibles, net | 12,041 | 12,553 |
Total assets | 6,824,179 | 6,638,749 |
Liabilities: | ||
Debt | 2,959,723 | 2,749,775 |
Accounts payable and accrued liabilities | 154,842 | 171,698 |
Derivative financial instruments - interest rate swaps | 19,480 | 29 |
Security deposits, prepaid rent and other liabilities | 49,895 | 49,174 |
Lease liabilities - operating leases | 198,628 | 198,650 |
Intangible liabilities, net | 36,659 | 38,779 |
Total liabilities | 3,419,227 | 3,208,105 |
Commitments and contingencies | ||
Equity/Partners' Capital: | ||
Preferred stock, $0.01 par value; 200,000,000 shares authorized; none issued and outstanding | 0 | 0 |
Class A common stock, $0.01 par value; 1,000,000,000 shares authorized; 218,482,526 and 216,453,312 shares issued and outstanding as of March 31, 2020 and December 31, 2019, respectively | 2,185 | 2,165 |
Additional paid-in capital | 4,909,397 | 4,854,042 |
Accumulated other comprehensive (loss) income | (17,592) | 4,546 |
Cumulative dividends in excess of earnings | (1,553,710) | (1,502,744) |
Total stockholders’ equity | 3,340,280 | 3,358,009 |
Noncontrolling interests | 64,672 | 72,635 |
Total equity | 3,404,952 | 3,430,644 |
Partners’ Capital: | ||
Total liabilities and equity/partners' capital | 6,824,179 | 6,638,749 |
Healthcare Trust of America Holdings, LP (HTALP) | ||
Real estate investments: | ||
Land | 587,363 | 584,546 |
Building and improvements | 6,313,199 | 6,252,854 |
Lease intangibles | 630,535 | 628,066 |
Construction in progress | 40,350 | 28,150 |
Real estate investments, gross | 7,571,447 | 7,493,616 |
Accumulated depreciation and amortization | (1,519,845) | (1,447,815) |
Real estate investments, net | 6,051,602 | 6,045,801 |
Investment in unconsolidated joint venture | 65,526 | 65,888 |
Cash and cash equivalents | 216,515 | 32,713 |
Restricted cash | 4,957 | 4,903 |
Receivables and other assets, net | 235,022 | 237,024 |
Right-of-use assets - operating leases, net | 238,516 | 239,867 |
Other intangibles, net | 12,041 | 12,553 |
Total assets | 6,824,179 | 6,638,749 |
Liabilities: | ||
Debt | 2,959,723 | 2,749,775 |
Accounts payable and accrued liabilities | 154,842 | 171,698 |
Derivative financial instruments - interest rate swaps | 19,480 | 29 |
Security deposits, prepaid rent and other liabilities | 49,895 | 49,174 |
Lease liabilities - operating leases | 198,628 | 198,650 |
Intangible liabilities, net | 36,659 | 38,779 |
Total liabilities | 3,419,227 | 3,208,105 |
Commitments and contingencies | ||
Partners’ Capital: | ||
Limited partners’ capital, 3,561,260 and 3,834,279 units issued and outstanding as of March 31, 2020 and December 31, 2019, respectively | 64,402 | 72,365 |
General partners’ capital, 218,482,526 and 216,453,312 units issued and outstanding as of March 31, 2020 and December 31, 2019, respectively | 3,340,550 | 3,358,279 |
Total partners’ capital | 3,404,952 | 3,430,644 |
Total liabilities and equity/partners' capital | $ 6,824,179 | $ 6,638,749 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2020 | Dec. 31, 2019 |
Equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 218,482,526 | 216,453,312 |
Common stock, shares outstanding (in shares) | 218,482,526 | 216,453,312 |
Healthcare Trust of America Holdings, LP (HTALP) | ||
Partners’ Capital: | ||
Limited partner's capital, units issued (in shares) | 3,561,260 | 3,834,279 |
Limited partner's capital, units outstanding (in shares) | 3,561,260 | 3,834,279 |
General partner's capital, units issued (in shares) | 218,482,526 | 216,453,312 |
General partner's capital, units outstanding (in shares) | 218,482,526 | 216,453,312 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | ||
Revenues: | |||
Rental income | $ 185,531 | $ 168,875 | |
Interest and other operating income | 245 | 91 | |
Total revenues | 185,776 | 168,966 | |
Expenses: | |||
Rental | 56,862 | 51,468 | |
General and administrative | 11,518 | 11,290 | |
Transaction | 140 | 40 | |
Depreciation and amortization | 77,665 | 69,481 | |
Interest expense | 23,872 | 23,970 | |
Total expenses | 170,057 | 156,249 | |
Gain (loss) on sale of real estate, net | 1,991 | (37) | |
Income from unconsolidated joint venture | 422 | 486 | |
Other income | 76 | 535 | |
Net income | 18,208 | 13,701 | |
Net income attributable to noncontrolling interests | [1] | (307) | (261) |
Net income attributable to common stockholders/unitholders | $ 17,901 | $ 13,440 | |
Earnings per common share - basic | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ 0.08 | $ 0.07 | |
Earnings per common share - diluted | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ 0.08 | $ 0.06 | |
Weighted average common shares outstanding: | |||
Basic (in shares/units) | 216,692 | 205,080 | |
Diluted (in shares/units) | 220,623 | 208,999 | |
Healthcare Trust of America Holdings, LP (HTALP) | |||
Revenues: | |||
Rental income | $ 185,531 | $ 168,875 | |
Interest and other operating income | 245 | 91 | |
Total revenues | 185,776 | 168,966 | |
Expenses: | |||
Rental | 56,862 | 51,468 | |
General and administrative | 11,518 | 11,290 | |
Transaction | 140 | 40 | |
Depreciation and amortization | 77,665 | 69,481 | |
Interest expense | 23,872 | 23,970 | |
Total expenses | 170,057 | 156,249 | |
Gain (loss) on sale of real estate, net | 1,991 | (37) | |
Income from unconsolidated joint venture | 422 | 486 | |
Other income | 76 | 535 | |
Net income | 18,208 | 13,701 | |
Net income attributable to noncontrolling interests | 0 | (28) | |
Net income attributable to common stockholders/unitholders | $ 18,208 | $ 13,673 | |
Earnings per common share - basic | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ 0.08 | $ 0.07 | |
Earnings per common share - diluted | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ 0.08 | $ 0.07 | |
Weighted average common shares outstanding: | |||
Basic (in shares/units) | 220,368 | 208,999 | |
Diluted (in shares/units) | 220,623 | 208,999 | |
[1] | Includes amounts attributable to redeemable noncontrolling interests for the three months ended March 31, 2019. |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Net income | $ 18,208 | $ 13,701 |
Other comprehensive income (loss) | ||
Change in unrealized losses on cash flow hedges | (22,498) | (390) |
Total other comprehensive loss | (22,498) | (390) |
Total comprehensive (loss) income | (4,290) | 13,311 |
Comprehensive loss (income) attributable to noncontrolling interests | 53 | (225) |
Total comprehensive (loss) income attributable to common stockholders/unitholders | (4,237) | 13,086 |
Healthcare Trust of America Holdings, LP (HTALP) | ||
Net income | 18,208 | 13,701 |
Other comprehensive income (loss) | ||
Change in unrealized losses on cash flow hedges | (22,498) | (390) |
Total other comprehensive loss | (22,498) | (390) |
Total comprehensive (loss) income | (4,290) | 13,311 |
Comprehensive loss (income) attributable to noncontrolling interests | 0 | (28) |
Total comprehensive (loss) income attributable to common stockholders/unitholders | $ (4,290) | $ 13,283 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands | Total | Total Stockholders’ Equity | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (Loss) | Cumulative Dividends in Excess of Earnings | Noncontrolling Interests |
Beginning balance at Dec. 31, 2018 | $ 3,334,914 | $ 3,256,024 | $ 2,053 | $ 4,525,969 | $ 307 | $ (1,272,305) | $ 78,890 |
Beginning balance (in shares) at Dec. 31, 2018 | 205,267,000 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Share-based award transactions, net | 3,389 | 3,389 | $ 3 | 3,386 | |||
Share-based award transactions, net (in shares) | 293,000 | ||||||
Repurchase and cancellation of common stock | (11,926) | (11,926) | $ (5) | (11,921) | |||
Repurchase and cancellation of common stock (in shares) | (478,000) | ||||||
Redemption of noncontrolling interest and other | 0 | 527 | 527 | (527) | |||
Redemption of noncontrolling interest and other (in shares) | 18,000 | ||||||
Dividends declared | (64,884) | (63,578) | (63,578) | (1,306) | |||
Net income | 13,673 | 13,440 | 13,440 | 233 | |||
Other comprehensive loss | (390) | (382) | (382) | (8) | |||
Ending balance at Mar. 31, 2019 | 3,274,776 | 3,197,494 | $ 2,051 | 4,517,961 | (75) | (1,322,443) | 77,282 |
Ending balance (in shares) at Mar. 31, 2019 | 205,100,000 | ||||||
Beginning balance at Dec. 31, 2019 | $ 3,430,644 | 3,358,009 | $ 2,165 | 4,854,042 | 4,546 | (1,502,744) | 72,635 |
Beginning balance (in shares) at Dec. 31, 2019 | 216,453,312 | 216,453,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Issuance of common stock, net | $ 50,020 | 50,020 | $ 17 | 50,003 | |||
Issuance of common stock, net (in shares) | 1,675,000 | ||||||
Share-based award transactions, net | 3,203 | 3,203 | $ 2 | 3,201 | |||
Share-based award transactions, net (in shares) | 236,000 | ||||||
Repurchase and cancellation of common stock | (4,624) | (4,624) | $ (2) | (4,622) | |||
Repurchase and cancellation of common stock (in shares) | (154,000) | ||||||
Redemption of noncontrolling interest and other | 0 | 6,776 | $ (3) | 6,773 | (6,776) | ||
Redemption of noncontrolling interest and other (in shares) | 273,000 | ||||||
Dividends declared | (70,001) | (68,867) | (68,867) | (1,134) | |||
Net income | 18,208 | 17,901 | 17,901 | 307 | |||
Other comprehensive loss | (22,498) | (22,138) | (22,138) | (360) | |||
Ending balance at Mar. 31, 2020 | $ 3,404,952 | $ 3,340,280 | $ 2,185 | $ 4,909,397 | $ (17,592) | $ (1,553,710) | $ 64,672 |
Ending balance (in shares) at Mar. 31, 2020 | 218,482,526 | 218,483,000 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividends declared (in dollars per share) | $ 0.315 | $ 0.310 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL - USD ($) shares in Thousands, $ in Thousands | Total | Healthcare Trust of America Holdings, LP (HTALP) | Healthcare Trust of America Holdings, LP (HTALP)General Partners’ Capital | Healthcare Trust of America Holdings, LP (HTALP)Limited Partners’ Capital |
Balance as of beginning of period at Dec. 31, 2018 | $ 3,334,914 | $ 3,256,294 | $ 78,620 | |
Balance as of beginning of period (in shares) at Dec. 31, 2018 | 205,267 | 3,929 | ||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||
Share-based award transactions, net | 3,389 | $ 3,389 | ||
Share-based award transactions, net (in shares) | 293 | |||
Redemption and cancellation of general partner OP Units | (11,926) | $ (11,926) | ||
Redemption and cancellation of general partner units (in shares) | (478) | |||
Redemption of limited partner OP Units and other | 0 | $ 527 | $ (527) | |
Redemption of limited partner units and other (in shares) | 18 | (18) | ||
Distributions declared | (64,884) | $ (63,578) | $ (1,306) | |
Net income | $ 13,440 | 13,673 | 13,440 | 233 |
Other comprehensive loss | (390) | (390) | (382) | (8) |
Balance as of end of period at Mar. 31, 2019 | 3,274,776 | $ 3,197,764 | $ 77,012 | |
Balance as of end of period (in shares) at Mar. 31, 2019 | 205,100 | 3,911 | ||
Balance as of beginning of period at Dec. 31, 2019 | 3,430,644 | $ 3,358,279 | $ 72,365 | |
Balance as of beginning of period (in shares) at Dec. 31, 2019 | 216,453 | 3,834 | ||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||
Issuance of general partner OP Units | 50,020 | $ 50,020 | ||
Issuance of general partner OP Units (in shares) | 1,675 | |||
Share-based award transactions, net | 3,203 | $ 3,203 | ||
Share-based award transactions, net (in shares) | 236 | |||
Redemption and cancellation of general partner OP Units | (4,624) | $ (4,624) | ||
Redemption and cancellation of general partner units (in shares) | (154) | |||
Redemption of limited partner OP Units and other | 0 | $ 6,776 | $ (6,776) | |
Redemption of limited partner units and other (in shares) | 273 | (273) | ||
Distributions declared | (70,001) | $ (68,867) | $ (1,134) | |
Net income | 17,901 | 18,208 | 17,901 | 307 |
Other comprehensive loss | $ (22,498) | (22,498) | (22,138) | (360) |
Balance as of end of period at Mar. 31, 2020 | $ 3,404,952 | $ 3,340,550 | $ 64,402 | |
Balance as of end of period (in shares) at Mar. 31, 2020 | 218,483 | 3,561 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Dividends declared (in dollars per share) | $ 0.315 | $ 0.310 |
Healthcare Trust of America Holdings, LP (HTALP) | ||
Dividends declared (in dollars per share) | $ 0.315 | $ 0.310 |
CONDENSED CONSOLIDATED STATEM_7
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 18,208 | $ 13,701 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 72,949 | 66,528 |
Share-based compensation expense | 3,203 | 3,389 |
Income from unconsolidated joint venture | (422) | (486) |
Distributions from unconsolidated joint venture | 885 | 750 |
(Gain) loss on sale of real estate, net | (1,991) | 37 |
Changes in operating assets and liabilities: | ||
Receivables and other assets, net | 1,196 | 2,546 |
Accounts payable and accrued liabilities | (19,662) | (40,402) |
Security deposits, prepaid rent and other liabilities | 1,055 | 2,492 |
Net cash provided by operating activities | 75,421 | 48,555 |
Cash flows from investing activities: | ||
Investments in real estate | (41,338) | (18,592) |
Development of real estate | (12,103) | (2,014) |
Proceeds from the sale of real estate | 6,420 | 1,193 |
Capital expenditures | (23,793) | (16,815) |
Collection of real estate notes receivable | 191 | 181 |
Advances on real estate notes receivable | (6,000) | 0 |
Net cash used in investing activities | (76,623) | (36,047) |
Cash flows from financing activities: | ||
Borrowings on unsecured revolving credit facility | 720,000 | 0 |
Payments on unsecured revolving credit facility | (415,000) | 0 |
Payments on secured mortgage loans | (95,602) | (587) |
Proceeds from issuance of common stock | 50,020 | 0 |
Repurchase and cancellation of common stock | (4,624) | (11,926) |
Dividends paid | (68,227) | (63,686) |
Distributions paid to noncontrolling interest of limited partners | (1,509) | (1,364) |
Net cash provided by (used in) financing activities | 185,058 | (77,563) |
Net change in cash, cash equivalents and restricted cash | 183,856 | (65,055) |
Cash, cash equivalents and restricted cash - beginning of period | 37,616 | 133,530 |
Cash, cash equivalents and restricted cash - end of period | 221,472 | 68,475 |
Healthcare Trust of America Holdings, LP (HTALP) | ||
Cash flows from operating activities: | ||
Net income | 18,208 | 13,701 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 72,949 | 66,528 |
Share-based compensation expense | 3,203 | 3,389 |
Income from unconsolidated joint venture | (422) | (486) |
Distributions from unconsolidated joint venture | 885 | 750 |
(Gain) loss on sale of real estate, net | (1,991) | 37 |
Changes in operating assets and liabilities: | ||
Receivables and other assets, net | 1,196 | 2,546 |
Accounts payable and accrued liabilities | (19,662) | (40,402) |
Security deposits, prepaid rent and other liabilities | 1,055 | 2,492 |
Net cash provided by operating activities | 75,421 | 48,555 |
Cash flows from investing activities: | ||
Investments in real estate | (41,338) | (18,592) |
Development of real estate | (12,103) | (2,014) |
Proceeds from the sale of real estate | 6,420 | 1,193 |
Capital expenditures | (23,793) | (16,815) |
Collection of real estate notes receivable | 191 | 181 |
Advances on real estate notes receivable | (6,000) | 0 |
Net cash used in investing activities | (76,623) | (36,047) |
Cash flows from financing activities: | ||
Borrowings on unsecured revolving credit facility | 720,000 | 0 |
Payments on unsecured revolving credit facility | (415,000) | 0 |
Payments on secured mortgage loans | (95,602) | (587) |
Proceeds from issuance of general partner units | 50,020 | 0 |
Repurchase and cancellation of general partner units | (4,624) | (11,926) |
Distributions paid to general partner | (68,227) | (63,686) |
Distributions paid to limited partners and redeemable noncontrolling interests | (1,509) | (1,364) |
Net cash provided by (used in) financing activities | 185,058 | (77,563) |
Net change in cash, cash equivalents and restricted cash | 183,856 | (65,055) |
Cash, cash equivalents and restricted cash - beginning of period | 37,616 | 133,530 |
Cash, cash equivalents and restricted cash - end of period | $ 221,472 | $ 68,475 |
Organization and Description of
Organization and Description of Business | 3 Months Ended |
Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Description of Business | Organization and Description of Business HTA, a Maryland corporation, and HTALP, a Delaware limited partnership, were incorporated or formed, as applicable, on April 20, 2006. HTA operates as a REIT and is the general partner of HTALP, which is the operating partnership, in an umbrella partnership, or “UPREIT” structure. HTA has qualified and intends to continue to be taxed as a REIT for federal income tax purposes under the applicable sections of the Internal Revenue Code. We own real estate primarily consisting of medical office buildings (“MOBs”) located on or adjacent to hospital campuses or in off-campus, community core outpatient locations across 33 states within the United States, and we lease space to tenants primarily consisting of health systems, research and academic institutions, and various sized physician practices. Through our full-service operating platform, we provide leasing, asset management, acquisitions, development and other related services for our properties. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies The summary of significant accounting policies presented below is designed to assist in understanding our condensed consolidated financial statements. Such condensed consolidated financial statements and the accompanying notes are the representations of our management, who are responsible for their integrity and objectivity. These accounting policies conform to generally accepted accounting principles in the U.S. (“GAAP”) in all material respects and have been consistently applied in preparing our accompanying condensed consolidated financial statements. Basis of Presentation Our accompanying condensed consolidated financial statements include our accounts and those of our subsidiaries and any consolidated variable interest entities (“VIEs”). All inter-company balances and transactions have been eliminated in the accompanying condensed consolidated financial statements. Reclassifications Certain prior year amounts related to the presentation of derivative financial instruments - cash flow hedges on the accompanying condensed consolidated balance sheets have been reclassified to conform to the current year presentation. Interim Unaudited Financial Data Our accompanying condensed consolidated financial statements have been prepared by us in accordance with GAAP in conjunction with the rules and regulations of the SEC. Certain information and footnote disclosures required for annual financial statements have been condensed or excluded pursuant to SEC rules and regulations. Accordingly, our accompanying condensed consolidated financial statements do not include all information and footnotes required by GAAP for complete financial statements. Our accompanying condensed consolidated financial statements reflect all adjustments, which are, in our opinion, of a normal recurring nature and necessary for a fair presentation of our financial position, results of operations and cash flows for the interim periods. Interim results of operations are not necessarily indicative of the results to be expected for the full year; such results may be less favorable for the full year. Our accompanying condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and the notes thereto included in our 2019 Annual Report on Form 10-K. Principles of Consolidation The condensed consolidated financial statements include the accounts of our subsidiaries and consolidated joint venture arrangements. The portions of the HTALP operating partnership not owned by us are presented as noncontrolling interests on the accompanying condensed consolidated balance sheets and statements of operations, condensed consolidated statements of comprehensive income, and condensed consolidated statements of equity and changes in partners’ capital. Holders of OP Units are considered to be noncontrolling interest holders in HTALP and their ownership interests are reflected as equity on the accompanying condensed consolidated balance sheets. Further, a portion of the earnings and losses of HTALP are allocated to noncontrolling interest holders based on their respective ownership percentages. Upon conversion of OP Units to common stock, any difference between the fair value of the common stock issued and the carrying value of the OP Units converted to common stock is recorded as a component of equity. As of March 31, 2020 and December 31, 2019, there were approximately 3.6 million and 3.8 million, respectively, of OP Units issued and outstanding held by noncontrolling interest holders. VIEs are entities where investors lack sufficient equity at risk for the entity to finance its activities without additional subordinated financial support or where equity investors, as a group, lack one of the following: (i) the power to direct the activities that most significantly impact the entity’s economic performance; (ii) the obligation to absorb the expected losses of the entity; and (iii) the right to receive the expected returns of the entity. We consolidate our investment in VIEs when we determine that we are the primary beneficiary. A primary beneficiary is one that has both: (i) the power to direct the activities of the VIE that most significantly impacts the entity’s economic performance; and (ii) the obligation to absorb losses or the right to receive benefits of the VIE that could be significant to the entity. The HTALP operating partnership and our other joint venture arrangements are VIEs because the limited partners in those partnerships, although entitled to vote on certain matters, do not possess kick-out rights or substantive participating rights. Additionally, we determined that we are the primary beneficiary of our VIEs. Accordingly, we consolidate our interests in the HTALP operating partnership and in our other joint venture arrangements. However, because we hold what is deemed a majority voting interest in the HTALP operating partnership and our other joint venture arrangements, it qualifies for the exemption from providing certain disclosure requirements associated with investments in VIEs. We will evaluate on an ongoing basis the need to consolidate entities based on the standards set forth in GAAP as described above. Use of Estimates The preparation of our condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that effect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent asset and liabilities. These estimates are made and evaluated on an ongoing basis using information that is currently available as well as various other assumptions believed to be reasonable under the circumstances. Actual results could differ from those estimates, perhaps in adverse ways, and those estimates could be different under different assumptions or conditions. Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents consist of all highly liquid investments with a maturity of three months or less when purchased. Restricted cash is comprised of: (i) reserve accounts for property taxes, insurance, capital and tenant improvements; (ii) collateral accounts for debt and interest rate swaps; and (iii) deposits for future investments. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the accompanying condensed consolidated balance sheets to the combined amounts shown on the accompanying condensed consolidated statements of cash flows (in thousands): March 31, 2020 2019 Cash and cash equivalents $ 216,515 $ 61,073 Restricted cash 4,957 7,402 Total cash, cash equivalents and restricted cash $ 221,472 $ 68,475 Revenue Recognition Minimum annual rental revenue is recognized on a straight-line basis over the term of the related lease (including rent holidays). Differences between rental income recognized and amounts contractually due under the lease agreements are recorded as straight-line rent receivables. Tenant reimbursements, which is comprised of additional amounts recoverable from tenants for real estate taxes, common area maintenance and other certain operating expenses are recognized as revenue on a gross basis in the period in which the related recoverable expenses are incurred. We accrue revenue corresponding to these expenses on a quarterly basis to adjust recorded amounts to our best estimate of the final annual amounts to be billed. Subsequent to year-end, on a calendar year basis, we perform reconciliations on a lease-by-lease basis and bill or credit each tenant for any differences between the estimated expenses we billed and the actual expenses that were incurred. We recognize lease termination fees when there is a signed termination letter agreement, all of the conditions of the agreement have been met, and the tenant is no longer occupying the property. Rental income is reported net of amortization of inducements. The revenue recognition process is based on a five-step model to account for revenue arising from contracts with customers as outlined in Topic 606. We recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. We have identified all of our revenue streams and we have concluded that rental income from leasing arrangements represents a substantial portion of our revenue and is governed and evaluated with the adoption of Topic 842. Investments in Real Estate Depreciation expense of buildings and improvements for the three months ended March 31, 2020 and 2019 was $58.9 million and $52.1 million, respectively. Leases As a lessor, we lease space in our MOBs primarily to medical enterprises for terms ranging from three Leases, for which we are the lessee, are classified as separate components on our accompanying condensed consolidated balance sheets. Operating leases are included as right-of-use (“ROU”) assets - operating leases, net, with a corresponding lease liability. Financing lease assets are included in receivables and other assets, net, with a corresponding lease liability in security deposits, prepaid rent and other liabilities. A lease liability is recognized for our obligation related to the lease and an ROU asset represents our right to use the underlying asset over the lease term. Refer to Note 7 - Leases in the accompanying notes to the condensed consolidated financial statements for more detail relating to our leases. Through the duration of the COVID-19 pandemic, many lessors may be required to provide rent deferrals and other lease concessions to lessees. While the lease modification guidance in Accounting Standards Codification (“ASC”) Topic 842 ("Topic 842") addresses routine changes to lease terms resulting from negotiations between the lessee and the lessor, this guidance did not contemplate concessions getting rapidly executed to address the sudden liquidity constraints of some lessees arising from the COVID-19 pandemic. In April 2020, the Financial Accounting Standards Board (“FASB”) staff issued a question and answer document (the “Lease Modification Q&A”) focused on the application of lease accounting guidance to lease concessions provided as a result of the COVID-19 pandemic. Under existing lease guidance, we would have to determine, on a lease by lease basis, if a lease concession was the result of a new arrangement reached with the tenant (treated within the lease modification accounting framework) or if a lease concession was under the enforceable rights and obligations within the existing lease agreement (precluded from applying the lease modification accounting framework). The Lease Modification Q&A allows us, if certain criteria have been met, to bypass the lease by lease analysis, and instead elect to either apply the lease modification accounting framework or not, with such election applied consistently to leases with similar characteristics and similar circumstances. We have elected to apply such relief and will use the election to avoid performing a lease by lease analysis. The Lease Modification Q&A had no material impact on our condensed consolidated financial statements as of and for the three months ended March 31, 2020, however, its future impact to us is dependent upon the extent of lease concessions granted to tenants as a result of the COVID-19 pandemic in future periods and the elections made by us at the time of entering into any such concessions. Credit Losses The Company adopted Topic 326 - Financial Instruments - Credit Losses as of January 1, 2020. See the "Recently Issued or Adopted Accounting Pronouncements" below for further information. Pursuant to the guidance, we adopted a policy to book current expected credit losses at the inception of loans qualifying for treatment under Topic 326. In the three months ended March 31, 2020 , we financed a one one Redeemable Noncontrolling Interests Prior to June 30, 2019, we had redeemable noncontrolling interests related to the noncontrolling interest in a joint venture in which we own the majority interest. The noncontrolling interest holders in the joint venture had the option to redeem their noncontrolling interest through the exercise of put options that were issued at the initial formation of the joint venture. The last exercisable put option lapsed on June 30, 2019, and, at that time, all holders of redeemable noncontrolling interests had either converted their interest to OP Units or received cash proceeds. For the three months ended March 31, 2019, we recognized $28 thousand of income related to the noncontrolling interests in the net income attributable to noncontrolling interests in our accompanying condensed consolidated statements of operations. Unconsolidated Joint Ventures We account for our investments in unconsolidated joint ventures using the equity method of accounting because we have the ability to exercise significant influence, but not control, over the financial and operational policy decisions of the investments. Using the equity method of accounting, the initial investment is recognized at cost and subsequently adjusted for our share of the net income and any distributions from the joint venture. As of March 31, 2020 and December 31, 2019, we had a 50% interest in one such investment with a carrying value and maximum exposure to risk of $65.5 million and $65.9 million, respectively, which is recorded in investment in unconsolidated joint venture on the accompanying condensed consolidated balance sheets. We record our share of net income in income from unconsolidated joint venture on the accompanying condensed consolidated statements of operations. For the three months ended March 31, 2020 and 2019, we recognized income of $0.4 million and $0.5 million, respectively. Recently Issued or Adopted Accounting Pronouncements Recently Adopted Accounting Pronouncements ASU 2016-13, Financial Instruments Credit Losses; Measurement of Credit Losses on Financial Instruments and ASU 2018-19, 2019-04 and 2019-05, Improvements to Topic 326, Financial Instruments-Credit Losses In June 2016, the FASB issued ASU 2016-13, which is intended to improve financial reporting by requiring more timely recognition of credit losses on loans and other financial instruments that are not accounted for at fair value through net income, including loans held for investment, held-to-maturity debt securities, trade and other receivables, net investment in leases and other such commitments. ASU 2016-13 requires that financial statement assets measured at an amortized cost be presented at the net amount expected to be collected through an allowance for credit losses that is deducted from the amortized cost basis. ASU 2018-19 also clarifies that receivables arising from operating leases are not within the scope of Subtopic 326-20. Instead, impairment of these receivables should be accounted for in accordance with Topic 842, Leases. ASU 2019-04 provides clarification on the measurement, presentation and disclosure of credit losses on financial assets. ASU 2019-05 provides an option to irrevocably elect the fair value option for certain financial assets previously measured at amortized cost basis for comparability to any new financial assets that elect the fair value option. We adopted, on a modified-retrospective basis, ASU 2016-13, ASU 2018-19, ASU 2019-04 and ASU 2019-05 collectively as of January 1, 2020. The adoption did not have a material effect on our financial statements and related footnotes. See the "Credit Losses" section above for further details. ASU 2018-13, Fair Value Measurement; Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, which modifies the disclosure requirements on fair value measurements in Topic 820 as follows: (a) disclosure removals: (i) the amount of and reasons for transfers between Level 1 and Level 2; (ii) the policy for timing of transfers between levels; and (iii) the valuation process for Level 3 fair value measurements; (b) disclosure modifications: (i) no requirement to disclose the timing of liquidation unless the investee has communicated the timing to the reporting entity or announced the timing publicly; and (ii) for Level 3 fair value measurements, a narrative description of measurement uncertainty at the reporting date, not the sensitivity to future changes; and (c) disclosure additions: (i) for recurring Level 3 measurements, disclose the changes in unrealized gains and losses for the period included in OCI and the statement of comprehensive income; and (ii) for Level 3 fair value measurements in the table of significant input, disclose the range and weighted average of the significant unobservable inputs and the way it is calculated. We adopted ASU 2018-13 as of January 1, 2020 and as of March 31, 2020 there were no transfers between levels and no Level 3 inputs for the period. Refer to Note 12 - Fair Value of Financial Instruments in the accompanying notes to the condensed consolidated financial statements for more detail relating to our fair value disclosures. Recently Issued Accounting Pronouncements ASU 2020-04, Reference Rate Reform (Topic 848) In March 2020, the FASB issued ASU 2020-04, which is intended to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. Reference rate reform is necessary due to the phase out of LIBOR at the end of 2021. The ASU is optional and provides relief around modification and hedge accounting as it specifically arises from changing reference rates, in addition to optional expedients for cash flow hedges, which the Company has. The amendment is effective from March 12, 2020 through December 31, 2022. The Company is evaluating how the transition away from LIBOR will effect the Company and if the guidance in this standard will be adopted. |
Investments in Real Estate
Investments in Real Estate | 3 Months Ended |
Mar. 31, 2020 | |
Investments [Abstract] | |
Investments in Real Estate | Investments in Real Estate For the three months ended March 31, 2020, our investments had an aggregate purchase price of $41.7 million. As part of these investments, we incurred approximately $0.2 million of capitalized costs. The allocations for these investments, in which we own a controlling financial interest, are set forth below in the aggregate for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Land $ 2,817 $ 3,311 Building and improvements 35,259 13,449 In place leases 3,621 1,927 Below market leases (693) (95) Above market leases 334 160 Net real estate assets acquired 41,338 18,752 Other, net 334 74 Aggregate purchase price $ 41,672 $ 18,826 The acquired intangible assets and liabilities referenced above had weighted average lives of the following terms for the three months ended March 31, 2020 and 2019, respectively (in years): Three Months Ended March 31, 2020 2019 Acquired intangible assets 5.4 9.1 Acquired intangible liabilities 3.8 9.1 |
Dispositions and Impairment
Dispositions and Impairment | 3 Months Ended |
Mar. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Dispositions and Impairment | Dispositions and Impairment Dispositions During the three months ended March 31, 2020, we sold part of our interest in undeveloped land in Miami, Florida for a gross sales price of $7.6 million, resulting in a net gain of approximately $2.0 million. During the three months ended March 31, 2019, we completed the disposition of three MOB's in Hilton Head, South Carolina for a gross sales price of $1.2 million, resulting in a net loss of $37 thousand. Impairment |
Intangible Assets and Liabiliti
Intangible Assets and Liabilities | 3 Months Ended |
Mar. 31, 2020 | |
Identified Intangibles, Net [Abstract] | |
Intangible Assets and Liabilities | Intangible Assets and Liabilities Intangible assets and liabilities consisted of the following as of March 31, 2020 and December 31, 2019, respectively (in thousands, except weighted average remaining amortization terms): March 31, 2020 December 31, 2019 Balance Weighted Average Remaining Balance Weighted Average Remaining Assets: In place leases $ 483,834 9.5 $ 481,173 9.5 Tenant relationships 146,701 9.7 146,893 9.7 Above market leases 37,804 6.1 37,613 6.2 668,339 665,679 Accumulated amortization (403,314) (387,827) Total $ 265,025 9.4 $ 277,852 9.4 Liabilities: Below market leases $ 66,599 14.2 $ 65,966 13.9 Accumulated amortization (29,940) (27,187) Total $ 36,659 14.2 $ 38,779 13.9 The following is a summary of the net intangible amortization for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Amortization recorded against rental income related to above and (below) market leases $ (1,968) $ (491) Amortization expense related to in place leases and tenant relationships 15,935 14,665 |
Receivables and Other Assets
Receivables and Other Assets | 3 Months Ended |
Mar. 31, 2020 | |
Receivables and Other Assets [Abstract] | |
Receivables and Other Assets | Receivables and Other Assets Receivables and other assets consisted of the following as of March 31, 2020 and December 31, 2019, respectively (in thousands): March 31, 2020 December 31, 2019 Tenant receivables, net $ 3,309 $ 11,801 Other receivables, net 19,153 13,786 Deferred financing costs, net 3,894 4,325 Deferred leasing costs, net 38,224 36,586 Straight-line rent receivables, net 112,093 107,800 Prepaid expenses, deposits, equipment and other, net 51,547 48,505 Derivative financial instruments - interest rate swaps — 3,011 Finance ROU asset, net 3,409 3,409 Insurance receivable (1) 3,393 3,817 Held for sale assets — 3,984 Total $ 235,022 $ 237,024 (1) Amount primarily related to an involuntary conversion at one of our properties in 2019 for the total amount of $3.7 million. Pursuant to applicable accounting guidance, we deemed the receipt of funds from the Company's insurance carrier probable and expect the funds to fully cover, less our immaterial deductible, the damages we experienced. As of March 31, 2020, we had received $200 thousand in insurance proceeds. Subsequent to March 31, 2020, we received an additional $500 thousand for a total of $700 thousand received pursuant to this claim. The following is a summary of the amortization of deferred leasing costs and financing costs for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Amortization expense related to deferred leasing costs $ 1,896 $ 2,154 Interest expense related to deferred financing costs 431 431 |
Leases
Leases | 3 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Leases | Leases Lessee - Maturity of Lease Liabilities The following table summarizes the future minimum lease obligations of our operating leases as of March 31, 2020 (in thousands): Year Operating Leases Finance Leases 2020 $ 7,771 $ 21 2021 10,731 124 2022 10,927 124 2023 11,066 125 2024 10,412 125 2025 9,901 128 Thereafter 624,109 9,295 Total undiscounted lease payments $ 684,917 $ 9,942 Less: Interest (486,289) (6,604) Present value of lease liabilities $ 198,628 $ 3,338 Lessor - Lease Revenues and Maturity of Future Minimum Rents For the three months ended March 31, 2020 and 2019, we recognized $184.3 million and $168.5 million, respectively, of rental and other lease-related income related to our operating leases, of which $42.8 million and $37.9 million, respectively, were variable lease payments. The following table summarizes the future minimum rent contractually due under operating leases, excluding tenant reimbursements of certain costs, as of March 31, 2020 (in thousands): Year Amount 2020 $ 402,544 2021 499,747 2022 443,919 2023 390,144 2024 342,040 2025 294,869 Thereafter 1,071,163 Total $ 3,444,426 |
Debt
Debt | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt consisted of the following as of March 31, 2020 and December 31, 2019, respectively (in thousands): March 31, 2020 December 31, 2019 Unsecured revolving credit facility $ 405,000 $ 100,000 Unsecured term loans 500,000 500,000 Unsecured senior notes 2,050,000 2,050,000 Fixed rate mortgages 18,458 114,060 $ 2,973,458 $ 2,764,060 Deferred financing costs, net (15,619) (16,255) Premium, net 1,884 1,970 Total $ 2,959,723 $ 2,749,775 Unsecured Credit Agreement Unsecured Revolving Credit Facility due 2022 In 2017, HTALP entered into an amended and restated $1.3 billion unsecured credit agreement (the “Unsecured Credit Agreement”) which increased the amount available under the unsecured revolving credit facility to $1.0 billion and extended the maturities of the unsecured revolving credit facility to June 30, 2022 and for the $300.0 million unsecured term loan referenced below to February 1, 2023. The maximum principal amount of the Unsecured Credit Agreement may be increased by up to $750.0 million, subject to certain conditions, for a total principal amount of $2.05 billion. Borrowings under the unsecured revolving credit facility accrue interest at a rate equal to adjusted LIBOR, plus a margin ranging from 0.83% to 1.55% per annum based on our credit rating. We also pay a facility fee ranging from 0.13% to 0.30% per annum on the aggregate commitments under the unsecured revolving credit facility. As of March 31, 2020, HTALP had $405.0 million under this unsecured revolving credit facility outstanding and an interest rate of 2.00% per annum . The margin associated with our borrowings was 1.00% per annum and the facility fee was 0.20% per annum. Unsecured Term Loan due 2023 In 2017, we entered into the Unsecured Credit Agreement as noted above. As part of this agreement, we obtained a $300.0 million unsecured term loan that was guaranteed by HTA with a maturity date of February 1, 2023. Borrowings under this unsecured term loan accrue interest equal to adjusted LIBOR, plus a margin ranging from 0.90% to 1.75% per annum based on our credit rating. The margin associated with our borrowings as of March 31, 2020 was 1.10% per annum. Including the impact of the interest rate swaps associated with our unsecured term loan, the interest rate was 2.52% per annum, based on our current credit rating. As of March 31, 2020, HTALP had $300.0 million under this unsecured term loan outstanding. $200.0 Million Unsecured Term Loan due 2024 In 2018, HTALP entered into a modification of our $200.0 million unsecured term loan with a maturity date of January 15, 2024. Borrowings under the unsecured term loan accrue interest at a rate equal to LIBOR, plus a margin ranging from 0.75% to 1.65% per annum based on our credit rating. The margin associated with our borrowings as of March 31, 2020 was 1.00% per annum. HTALP had interest rate swaps on the balance, which resulted in a fixed interest rate at 2.32% per annum, based on our current credit rating. As of March 31, 2020, HTALP had $200.0 million under this unsecured term loan outstanding. $300.0 Million Unsecured Senior Notes due 2023 As of March 31, 2020, HTALP had $300.0 million of unsecured senior notes outstanding that are guaranteed by HTA. These unsecured senior notes are registered under the Securities Act of 1933, as amended (the “Securities Act”), bear interest at 3.70% per annum and are payable semi-annually. Additionally, these unsecured senior notes were offered at 99.19% of the principal amount thereof, with an effective yield to maturity of 3.80% per annum. As of March 31, 2020, HTALP had $300.0 million of these unsecured senior notes outstanding that mature on April 15, 2023. $600.0 Million Unsecured Senior Notes due 2026 In September 2019, in connection with the $650.0 million unsecured senior notes due 2030 referenced below, HTALP issued $250.0 million as additional unsecured senior notes to the $350.0 million aggregate principal of senior notes issued on July 12, 2016, all of which are guaranteed by HTA. These unsecured senior notes are registered under the Securities Act, bear interest at 3.50% per annum and are payable semi-annually. Additionally, these unsecured senior notes were offered at 103.66% and 99.72%, respectively, of the principal amount thereof, with an effective yield to maturity of 2.89% and 3.53% per annum, respectively. As of March 31, 2020, HTALP had $600.0 million of these unsecured senior notes outstanding that mature on August 1, 2026. $500.0 Million Unsecured Senior Notes due 2027 In 2017, HTALP issued $500.0 million of unsecured senior notes that are guaranteed by HTA. These unsecured senior notes are registered under the Securities Act, bear interest at 3.75% per annum and are payable semi-annually. Additionally, these unsecured senior notes were offered at 99.49% of the principal amount thereof, with an effective yield to maturity of 3.81% per annum. As of March 31, 2020, HTALP had $500.0 million of these unsecured senior notes outstanding that mature on July 1, 2027. $650.0 million Unsecured Senior Notes due 2030 In September 2019, in connection with the $250.0 million additional unsecured senior notes due 2026 referenced above, HTALP issued $650.0 million of unsecured senior notes that are guaranteed by HTA. These unsecured senior notes are registered under the Securities Act, bear interest at 3.10% per annum and are payable semi-annually. Additionally, these unsecured senior notes were offered at 99.66% of the principal amount thereof, with an effective yield to maturity of 3.14% per annum. As of March 31, 2020, HTALP had $650.0 million of these unsecured senior notes outstanding that mature on February 15, 2030. Fixed Rate Mortgages As of March 31, 2020, HTALP and its subsidiaries had fixed rate mortgages with interest rates ranging from 2.85% to 3.95% per annum and a weighted average interest rate of 3.62% per annum. During the three months ended March 31, 2020, we repaid $95.6 million of our fixed rate mortgages. As of March 31, 2020, we had $18.5 million of fixed rate mortgages outstanding. Future Debt Maturities The following table summarizes the debt maturities and scheduled principal repayments of our indebtedness as of March 31, 2020 (in thousands): Year Amount 2020 $ 1,828 2021 2,504 2022 407,005 2023 612,121 2024 200,000 Thereafter 1,750,000 Total $ 2,973,458 Deferred Financing Costs As of March 31, 2020, the future amortization of our deferred financing costs is as follows (in thousands): Year Amount 2020 $ 2,293 2021 2,695 2022 2,697 2023 1,978 2024 1,475 Thereafter 4,481 Total $ 15,619 Debt Covenants |
Derivative Financial Instrument
Derivative Financial Instruments and Hedging Activities | 3 Months Ended |
Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments and Hedging Activities | Derivative Financial Instruments and Hedging Activities Risk Management Objective of Using Derivative Financial Instruments We may use derivative financial instruments, including interest rate swaps, caps, options, floors and other interest rate derivative contracts, to hedge all or a portion of the interest rate risk associated with our borrowings. The principal objective of such arrangements is to minimize the risks and/or costs associated with our operating and financial structure as well as to hedge specific anticipated transactions. We do not intend to utilize derivatives for speculative or other purposes other than interest rate risk management. The use of derivative financial instruments carries certain risks, including the risk that the counterparties to these contractual arrangements are not able to perform under the agreements. To mitigate this risk, we only enter into derivative financial instruments with counterparties with high credit ratings and with major financial institutions with which we and our affiliates may also have other financial relationships. We do not anticipate that any of the counterparties will fail to meet their obligations. We record counterparty credit risk valuation adjustments on interest rate swap derivative assets in order to properly reflect the credit quality of the counterparty. In addition, the fair value of derivative financial instruments designated as cash flow hedges are adjusted to reflect the impact of our credit quality. Cash Flow Hedges of Interest Rate Risk Our objectives in using interest rate derivatives are to add stability to interest expense and to manage our exposure to interest rate movements. To accomplish this objective, we primarily use interest rate swaps and treasury locks as part of our interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable rate amounts from a counterparty in exchange for us making fixed rate payments over the life of the agreements without exchange of the underlying notional amount. A treasury lock is a synthetic forward sale of a U.S. treasury note, which is settled in cash based upon the difference between an agreed upon treasury rate and the prevailing treasury rate at settlement. Such treasury locks are entered into to effectively fix the treasury component of an upcoming debt issuance. Amounts reported in accumulated other comprehensive income in the accompanying condensed consolidated balance sheets related to derivatives will be reclassified to interest expense as interest payments are made on our variable rate debt. During the next twelve months, we estimate that an additional $5.4 million will be reclassified from other comprehensive income in the accompanying condensed consolidated balance sheets as an increase to interest related to derivative financial instruments in the accompanying condensed consolidated statements of operations. During the three months ended March 31, 2020 we entered into two new forward starting interest rate swaps for a total notional amount of $225 million. These swaps were set up as forward starts for future debt issuances. As of March 31, 2020, we had the following outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk (in thousands, except number of instruments): Interest Rate Swaps March 31, 2020 Number of instruments 9 Notional amount $ 725,000 The table below presents the fair value of our derivative financial instruments designated as cash flow hedges as well as the classification in the accompanying condensed consolidated balance sheets as of March 31, 2020 and December 31, 2019, respectively (in thousands): Asset Derivatives Liability Derivatives Fair Value at: Fair Value at: Derivatives Designated as Hedging Instruments: Balance Sheet March 31, 2020 December 31, 2019 Balance Sheet March 31, 2020 December 31, 2019 Interest rate swaps Receivables and other assets $ — $ 3,011 Derivative financial instruments $ 19,480 $ 29 The table below presents the gain or loss recognized on our derivative financial instruments designated as cash flow hedges as well as the classification in the accompanying condensed consolidated statements of operations for the three months ended March 31, 2020 and 2019, respectively (in thousands): Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Reclassified from Accumulated OCI into Income Three Months Ended March 31, Three Months Ended March 31, Derivatives Cash Flow Hedging Relationships: 2020 2019 Statement of Operations Location 2020 2019 Interest rate swaps $ (22,153) $ (21) Interest expense $ 345 $ 369 Credit Risk Related Contingent Features We have agreements with each of our derivative counterparties that contain a provision that if we default on any of our indebtedness, including a default where repayment of the indebtedness has not been accelerated by the lender, then we could also be declared in default on our derivative obligations. We also have agreements with each of our derivative counterparties that incorporate provisions from our indebtedness with a lender affiliate of the derivative counterparty requiring it to maintain certain minimum financial covenant ratios on our indebtedness. Failure to comply with the covenant provisions would result in us being in default on any derivative instrument obligations covered by these agreements. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation We engage in litigation from time to time with various parties as a routine part of our business, including tenant defaults. However, we are not presently subject to any material litigation nor, to our knowledge, is any material litigation threatened against us, which if determined unfavorably to us, would have a material adverse effect on our condensed consolidated financial position, results of operations or cash flows. Environmental Matters We follow the policy of monitoring our properties for the presence of hazardous or toxic substances. While there can be no assurance that a material environmental liability does not exist at our properties, we are not currently aware of any environmental liability with respect to our properties that would have a material effect on our condensed consolidated financial position, results of operations or cash flows. Further, we are not aware of any material environmental liability or any unasserted claim or assessment with respect to an environmental liability at our properties that we believe would require additional disclosure or the recording of a loss contingency. Other Our other commitments and contingencies include the usual obligations of real estate owners and operators in the normal course of business. In our opinion, these matters are not expected to have a material adverse effect on our condensed consolidated financial position, results of operations or cash flows. |
Stockholders' Equity and Partne
Stockholders' Equity and Partners' Capital | 3 Months Ended |
Mar. 31, 2020 | |
Equity [Abstract] | |
Stockholders' Equity and Partners' Capital | Stockholders’ Equity and Partners’ Capital HTALP’s operating partnership agreement provides that it will distribute cash flow from operations and net sale proceeds to its partners in accordance with their overall ownership interests at such times and in such amounts as the general partner determines. Dividend distributions are made such that a holder of one OP Unit in HTALP will receive distributions from HTALP in an amount equal to the dividend distributions paid to the holder of one share of our common stock. In addition, for each share of common stock issued or redeemed by HTA, HTALP issues or redeems a corresponding number of OP Units. Common Stock Offerings In December 2018, we entered into new equity distribution agreements with various sales agents with respect to our at-the-market (“ATM”) offering program of common stock with an aggregate sales amount of up to $500.0 million. We contemporaneously terminated our prior ATM equity distribution agreements. In November 2019, we upsized this ATM offering program with an additional $750.0 million available for issuance. During the first quarter of 2020, we issued approximately 1.7 million shares of our common stock under our ATM for net proceeds of approximately $50.0 million, adjusted for costs to borrow equating to a net price to us of $29.86 per share of common stock. Additionally, we have four outstanding forward sale arrangements pursuant to forward equity agreements, with total anticipated net proceeds of $277.5 million, subject to adjustments as provided in the forward equity agreements. Three of the arrangements mature in late 2020 with the last one maturing in early 2021. As of March 31, 2020, $570.6 million remained available for issuance by us under our current ATM. Refer to Note 13 - Per Share Data of HTA to these condensed consolidated financial statements for a more detailed discussion related to our forward equity agreements. Stock Repurchase Plan In August 2018, our Board of Directors approved a stock repurchase plan authorizing us to purchase up to $300.0 million of our common stock from time to time prior to the expiration thereof on August 1, 2020. As of March 31, 2020, the remaining amount of common stock available for repurchase under our stock repurchase plan was approximately $224.3 million. Common Stock Dividends See our accompanying condensed consolidated statements of equity and condensed statements of changes in partners’ capital for the dividends declared during the three months ended March 31, 2020 and 2019. On May 5, 2020, our Board of Directors announced a quarterly cash dividend of $0.315 per share of common stock and per OP Unit to be paid on July 9, 2020 to stockholders of record of our common stock and holders of our OP Units on July 2, 2020. Incentive Plan Our Incentive Plan permits the grant of incentive awards to our employees, officers, non-employee directors and consultants as selected by our Board of Directors. This Plan authorizes us to grant awards in any of the following forms: options; stock appreciation rights; restricted stock; restricted or deferred stock units; performance awards; dividend equivalents; other stock-based awards, including units in HTALP; and cash-based awards. Subject to adjustment as provided in the Plan, the aggregate number of awards reserved and available for issuance under the Plan is 5,000,000 shares. As of March 31, 2020, there were 831,341 awards available for grant under the Plan. Restricted Common Stock For the three months ended March 31, 2020 and 2019, we recognized compensation expense of $3.2 million and $3.4 million, respectively. Substantially all compensation expense was recorded in general and administrative expenses in the accompanying condensed consolidated statements of operations. As of March 31, 2020, we had $8.7 million of unrecognized compensation expense, net of estimated forfeitures, which we will recognize over a remaining weighted average period of 1.9 years. The following is a summary of our restricted common stock activity as of March 31, 2020 and 2019, respectively: March 31, 2020 March 31, 2019 Restricted Common Stock Weighted Restricted Common Stock Weighted Beginning balance 600,987 $ 28.04 624,349 $ 29.35 Granted 243,037 30.23 294,072 25.86 Vested (343,771) 28.81 (291,857) 28.46 Forfeited (7,407) 28.83 (1,580) 29.31 Ending balance 492,846 $ 28.57 624,984 $ 28.12 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Financial Instruments Reported at Fair Value - Recurring The table below presents the carrying amounts and fair values of our financial instruments on a recurring basis as of March 31, 2020 and December 31, 2019 (in thousands): March 31, 2020 December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value Level 2 - Assets: Derivative financial instruments $ — $ — $ 3,011 $ 3,011 Level 2 - Liabilities: Derivative financial instruments $ 19,480 $ 19,480 $ 29 $ 29 Debt 2,959,723 2,847,483 2,749,775 2,826,983 The carrying amounts of cash and cash equivalents, tenant and other receivables, restricted cash, accounts payable, and accrued liabilities approximate fair value. Although we have determined that the majority of the inputs used to value our cash flow hedges fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with these instruments utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by us and our counterparties. However, we have assessed the significance of the impact of the credit valuation adjustments on the overall valuation of our cash flow hedge positions and have determined that the credit valuation adjustments are not significant to their overall valuation. As a result, we have determined that our cash flow hedge valuations in their entirety are classified in Level 2 of the fair value hierarchy. For further discussion of the assumptions considered, refer to Note 2 - Summary of Significant Accounting Policies. Financial Instruments Reported at Fair Value - Non-Recurring |
Per Share Data of HTA
Per Share Data of HTA | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Per Share Data of HTA | Per Share Data of HTA During the first quarter of 2020, we issued approximately 1.7 million shares of our common stock under our ATM for net proceeds of approximately $50.0 million, adjusted for costs to borrow equating to a net price to us of $29.86 per share of common stock. Additionally, we have four outstanding forward sale arrangements pursuant to forward equity agreements, with total anticipated net proceeds of $277.5 million, with an average share price of $29.46, subject to adjustments as provided in the forward equity agreements. Three of the arrangements mature in late 2020 with the last one maturing in early 2021. To account for the forward equity agreements, we considered the accounting guidance governing financial instruments and derivatives and concluded that our forward equity agreement was not a liability as it did not embody obligations to repurchase our shares of common stock nor did it embody obligations to issue a variable number of shares for which the monetary value was predominately fixed, varying with something other than the fair value of the shares, or varying inversely in relation to our shares. We also evaluated whether the agreement met the derivatives and hedging guidance scope exception to be accounted for as an equity instrument and concluded that the agreement can be classified as an equity contract based on the following assessment: (i) none of the agreements’ exercise contingencies were based on observable markets or indices besides those related to the market for our own stock price and operations; and (ii) none of the settlement provisions precluded the agreement from being indexed to our own common stock. In addition, we considered the potential dilution resulting from the forward equity agreements mentioned above on our earnings per common share calculations. We use the treasury method to determine the dilution resulting from the forward equity agreements during the period of time prior to settlement. The impact to our weighted-average shares - diluted was approximately 255,000 for the three months ended March 31, 2020. We include unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents as “participating securities” pursuant to the two-class method. The resulting classes are our common stock and restricted stock. Our forward equity agreement is not considered a participating security and, therefore, is not included in the computation of earnings per share using the two-class method. For the three months ended March 31, 2020 and 2019, all of our earnings were distributed and the calculated earnings per share amount would be the same for all classes. The following is the reconciliation of the numerator and denominator used in basic and diluted earnings per share of HTA for the three months ended March 31, 2020 and 2019, respectively (in thousands, except per share data): Three Months Ended March 31, 2020 2019 Numerator: Net income $ 18,208 $ 13,701 Net income attributable to noncontrolling interests (307) (261) Net income attributable to common stockholders $ 17,901 $ 13,440 Denominator: Weighted average shares outstanding - basic 216,692 205,080 Dilutive shares - OP Units convertible into common stock 3,676 3,919 Dilutive effect of forward equity sales agreement 255 — Adjusted weighted average shares outstanding - diluted 220,623 208,999 Earnings per common share - basic Net income attributable to common stockholders $ 0.08 $ 0.07 Earnings per common share - diluted Net income attributable to common stockholders $ 0.08 $ 0.06 |
Per Unit Data of HTALP
Per Unit Data of HTALP | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share | |
Per Unit Data of HTALP | Per Share Data of HTA During the first quarter of 2020, we issued approximately 1.7 million shares of our common stock under our ATM for net proceeds of approximately $50.0 million, adjusted for costs to borrow equating to a net price to us of $29.86 per share of common stock. Additionally, we have four outstanding forward sale arrangements pursuant to forward equity agreements, with total anticipated net proceeds of $277.5 million, with an average share price of $29.46, subject to adjustments as provided in the forward equity agreements. Three of the arrangements mature in late 2020 with the last one maturing in early 2021. To account for the forward equity agreements, we considered the accounting guidance governing financial instruments and derivatives and concluded that our forward equity agreement was not a liability as it did not embody obligations to repurchase our shares of common stock nor did it embody obligations to issue a variable number of shares for which the monetary value was predominately fixed, varying with something other than the fair value of the shares, or varying inversely in relation to our shares. We also evaluated whether the agreement met the derivatives and hedging guidance scope exception to be accounted for as an equity instrument and concluded that the agreement can be classified as an equity contract based on the following assessment: (i) none of the agreements’ exercise contingencies were based on observable markets or indices besides those related to the market for our own stock price and operations; and (ii) none of the settlement provisions precluded the agreement from being indexed to our own common stock. In addition, we considered the potential dilution resulting from the forward equity agreements mentioned above on our earnings per common share calculations. We use the treasury method to determine the dilution resulting from the forward equity agreements during the period of time prior to settlement. The impact to our weighted-average shares - diluted was approximately 255,000 for the three months ended March 31, 2020. We include unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents as “participating securities” pursuant to the two-class method. The resulting classes are our common stock and restricted stock. Our forward equity agreement is not considered a participating security and, therefore, is not included in the computation of earnings per share using the two-class method. For the three months ended March 31, 2020 and 2019, all of our earnings were distributed and the calculated earnings per share amount would be the same for all classes. The following is the reconciliation of the numerator and denominator used in basic and diluted earnings per share of HTA for the three months ended March 31, 2020 and 2019, respectively (in thousands, except per share data): Three Months Ended March 31, 2020 2019 Numerator: Net income $ 18,208 $ 13,701 Net income attributable to noncontrolling interests (307) (261) Net income attributable to common stockholders $ 17,901 $ 13,440 Denominator: Weighted average shares outstanding - basic 216,692 205,080 Dilutive shares - OP Units convertible into common stock 3,676 3,919 Dilutive effect of forward equity sales agreement 255 — Adjusted weighted average shares outstanding - diluted 220,623 208,999 Earnings per common share - basic Net income attributable to common stockholders $ 0.08 $ 0.07 Earnings per common share - diluted Net income attributable to common stockholders $ 0.08 $ 0.06 |
Healthcare Trust of America Holdings, LP (HTALP) | |
Earnings Per Share | |
Per Unit Data of HTALP | Per Unit Data of HTALP During the first quarter of 2020, we issued approximately 1.7 million shares of our common stock under our ATM for net proceeds of approximately $50.0 million, adjusted for costs to borrow equating to a net price to us of $29.86 per share of common stock. Additionally, we have four outstanding forward sale arrangements pursuant to forward equity agreements, with total anticipated net proceeds of $277.5 million, subject to adjustments as provided in the forward equity agreements. Three of the arrangements mature in late 2020 with the last one maturing in early 2021. Refer to Note 13 - Per Share Data of HTA to these condensed consolidated financial statements for a more detailed discussion related to our forward equity agreements executed in 2019 and March 2020. The following is the reconciliation of the numerator and denominator used in basic and diluted earnings per unit of HTALP for the three months ended March 31, 2020, and 2019, respectively (in thousands, except per unit data): Three Months Ended March 31, 2020 2019 Numerator: Net income $ 18,208 $ 13,701 Net income attributable to noncontrolling interests — (28) Net income attributable to common unitholders $ 18,208 $ 13,673 Denominator: Weighted average OP Units outstanding - basic 220,368 208,999 Dilutive effect of forward equity sales agreement 255 — Adjusted weighted average units outstanding - diluted 220,623 208,999 Earnings per common unit - basic: Net income attributable to common unitholders $ 0.08 $ 0.07 Earnings per common unit - diluted: Net income attributable to common unitholders $ 0.08 $ 0.07 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Mar. 31, 2020 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information The following is the supplemental cash flow information for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Supplemental Disclosure of Cash Flow Information: Interest paid, net of capitalized interest $ 34,062 $ 33,397 Income taxes paid 39 64 Cash paid for operating leases 3,352 2,911 Supplemental Disclosure of Noncash Investing and Financing Activities: Accrued capital expenditures $ 8,923 $ 5,163 Dividend distributions declared, but not paid 69,731 64,922 Redemption of noncontrolling interest 6,776 527 ROU assets obtained in exchange for lease obligations — 197,099 |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent EventsIn March 2020, the World Health Organization categorized COVID-19 as a pandemic, and it continues to spread throughout the United States and other countries across the world. Federal, state and local governments have taken various actions including the issuance of "stay-at-home" orders, social distancing guidelines and ordering the temporary closure of non-essential businesses to limit the spread of COVID-19. Subsequent to March 31, 2020, our buildings remain open, however, some tenants have temporarily suspended operations as a result of precautionary measures or government imposed orders. As a result, in late March and subsequent to the end of the quarter, the Company received rent relief requests from tenants stating that COVID-19 will have an impact on their ability to meet their contractual obligations under their leases. We have received and are currently evaluating rent deferral requests that total approximately 10% of our contractual rent over the next 90 days, while we have approved deferrals that total approximately 7% of our contractual rent over the next 90 days. These deferrals and other modifications were entered into subsequent to March 31, 2020. As of March 31, 2020 and to date, we have not and do not anticipate granting any forms of rent forgiveness. In addition, subsequent to March 31, 2020 we drew an additional $595M, the remaining amount of capacity under our credit facility, to provide additional liquidity and financial flexibility. The ultimate impact of the pandemic and secondary social and economic effects on the Company's results of operations, financial position, liquidity and capital resources remains unclear and cannot be reasonably forecasted at this time. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Our accompanying condensed consolidated financial statements include our accounts and those of our subsidiaries and any consolidated variable interest entities (“VIEs”). All inter-company balances and transactions have been eliminated in the accompanying condensed consolidated financial statements. |
Reclassifications | Certain prior year amounts related to the presentation of derivative financial instruments - cash flow hedges on the accompanying condensed consolidated balance sheets have been reclassified to conform to the current year presentation. |
Principles of Consolidation | The condensed consolidated financial statements include the accounts of our subsidiaries and consolidated joint venture arrangements. The portions of the HTALP operating partnership not owned by us are presented as noncontrolling interests on the accompanying condensed consolidated balance sheets and statements of operations, condensed consolidated statements of comprehensive income, and condensed consolidated statements of equity and changes in partners’ capital. Holders of OP Units are considered to be noncontrolling interest holders in HTALP and their ownership interests are reflected as equity on the accompanying condensed consolidated balance sheets. Further, a portion of the earnings and losses of HTALP are allocated to noncontrolling interest holders based on their respective ownership percentages. Upon conversion of OP Units to common stock, any difference between the fair value of the common stock issued and the carrying value of the OP Units converted to common stock is recorded as a component of equity. As of March 31, 2020 and December 31, 2019, there were approximately 3.6 million and 3.8 million, respectively, of OP Units issued and outstanding held by noncontrolling interest holders. VIEs are entities where investors lack sufficient equity at risk for the entity to finance its activities without additional subordinated financial support or where equity investors, as a group, lack one of the following: (i) the power to direct the activities that most significantly impact the entity’s economic performance; (ii) the obligation to absorb the expected losses of the entity; and (iii) the right to receive the expected returns of the entity. We consolidate our investment in VIEs when we determine that we are the primary beneficiary. A primary beneficiary is one that has both: (i) the power to direct the activities of the VIE that most significantly impacts the entity’s economic performance; and (ii) the obligation to absorb losses or the right to receive benefits of the VIE that could be significant to the entity. The HTALP operating partnership and our other joint venture arrangements are VIEs because the limited partners in those partnerships, although entitled to vote on certain matters, do not possess kick-out rights or substantive participating rights. Additionally, we determined that we are the primary beneficiary of our VIEs. Accordingly, we consolidate our interests in the HTALP operating partnership and in our other joint venture arrangements. However, because we hold what is deemed a majority voting interest in the HTALP operating partnership and our other joint venture arrangements, it qualifies for the exemption from providing certain disclosure requirements associated with investments in VIEs. We will evaluate on an ongoing basis the need to consolidate entities based on the standards set forth in GAAP as described above. |
Use of Estimates | The preparation of our condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that effect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent asset and liabilities. These estimates are made and evaluated on an ongoing basis using information that is currently available as well as various other assumptions believed to be reasonable under the circumstances. Actual results could differ from those estimates, perhaps in adverse ways, and those estimates could be different under different assumptions or conditions. |
Cash, Cash Equivalents and Restricted Cash | Cash and cash equivalents consist of all highly liquid investments with a maturity of three months or less when purchased. Restricted cash is comprised of: (i) reserve accounts for property taxes, insurance, capital and tenant improvements; (ii) collateral accounts for debt and interest rate swaps; and (iii) deposits for future investments. |
Revenue Recognition | Minimum annual rental revenue is recognized on a straight-line basis over the term of the related lease (including rent holidays). Differences between rental income recognized and amounts contractually due under the lease agreements are recorded as straight-line rent receivables. Tenant reimbursements, which is comprised of additional amounts recoverable from tenants for real estate taxes, common area maintenance and other certain operating expenses are recognized as revenue on a gross basis in the period in which the related recoverable expenses are incurred. We accrue revenue corresponding to these expenses on a quarterly basis to adjust recorded amounts to our best estimate of the final annual amounts to be billed. Subsequent to year-end, on a calendar year basis, we perform reconciliations on a lease-by-lease basis and bill or credit each tenant for any differences between the estimated expenses we billed and the actual expenses that were incurred. We recognize lease termination fees when there is a signed termination letter agreement, all of the conditions of the agreement have been met, and the tenant is no longer occupying the property. Rental income is reported net of amortization of inducements. The revenue recognition process is based on a five-step model to account for revenue arising from contracts with customers as outlined in Topic 606. We recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. We have identified all of our revenue streams and we have concluded that rental income from leasing arrangements represents a substantial portion of our revenue and is governed and evaluated with the adoption of Topic 842. |
Leases | As a lessor, we lease space in our MOBs primarily to medical enterprises for terms ranging from three |
Leases | Leases, for which we are the lessee, are classified as separate components on our accompanying condensed consolidated balance sheets. Operating leases are included as right-of-use (“ROU”) assets - operating leases, net, with a corresponding lease liability. Financing lease assets are included in receivables and other assets, net, with a corresponding lease liability in security deposits, prepaid rent and other liabilities. A lease liability is recognized for our obligation related to the lease and an ROU asset represents our right to use the underlying asset over the lease term. Refer to Note 7 - Leases in the accompanying notes to the condensed consolidated financial statements for more detail relating to our leases. Through the duration of the COVID-19 pandemic, many lessors may be required to provide rent deferrals and other lease concessions to lessees. While the lease modification guidance in Accounting Standards Codification (“ASC”) Topic 842 ("Topic 842") addresses routine changes to lease terms resulting from negotiations between the lessee and the lessor, this guidance did not contemplate concessions getting rapidly executed to address the sudden liquidity constraints of some lessees arising from the COVID-19 pandemic. In April 2020, the Financial Accounting Standards Board (“FASB”) staff issued a question and answer document (the “Lease Modification Q&A”) focused on the application of lease accounting guidance to lease concessions provided as a result of the COVID-19 pandemic. Under existing lease guidance, we would have to determine, on a lease by lease basis, if a lease concession was the result of a new arrangement reached with the tenant (treated within the lease modification accounting framework) or if a lease concession was under the enforceable rights and obligations within the existing lease agreement (precluded from applying the lease modification accounting framework). The Lease Modification Q&A allows us, if certain criteria have been met, to bypass the lease by lease analysis, and instead elect to either apply the lease modification accounting framework or not, with such election applied consistently to leases with similar characteristics and similar circumstances. We have elected to apply such relief and will use the election to avoid performing a lease by lease analysis. The Lease Modification Q&A had no material impact on our condensed consolidated financial statements as of and for the three months ended March 31, 2020, however, its future impact to us is dependent upon the extent of lease concessions granted to tenants as a result of the COVID-19 pandemic in future periods and the elections made by us at the time of entering into any such concessions. |
Credit Losses | The Company adopted Topic 326 - Financial Instruments - Credit Losses as of January 1, 2020. See the "Recently Issued or Adopted Accounting Pronouncements" below for further information. Pursuant to the guidance, we adopted a policy to book current expected credit losses at the inception of loans qualifying for treatment under Topic 326. In the three months ended March 31, 2020 , we financed a one one |
Redeemable Noncontrolling Interests | Prior to June 30, 2019, we had redeemable noncontrolling interests related to the noncontrolling interest in a joint venture in which we own the majority interest. The noncontrolling interest holders in the joint venture had the option to redeem their noncontrolling interest through the exercise of put options that were issued at the initial formation of the joint venture. The last exercisable put option lapsed on June 30, 2019, and, at that time, all holders of redeemable noncontrolling interests had either converted their interest to OP Units or received cash proceeds. |
Unconsolidated Joint Ventures | We account for our investments in unconsolidated joint ventures using the equity method of accounting because we have the ability to exercise significant influence, but not control, over the financial and operational policy decisions of the investments. Using the equity method of accounting, the initial investment is recognized at cost and subsequently adjusted for our share of the net income and any distributions from the joint venture. |
Recently Issued or Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements ASU 2016-13, Financial Instruments Credit Losses; Measurement of Credit Losses on Financial Instruments and ASU 2018-19, 2019-04 and 2019-05, Improvements to Topic 326, Financial Instruments-Credit Losses In June 2016, the FASB issued ASU 2016-13, which is intended to improve financial reporting by requiring more timely recognition of credit losses on loans and other financial instruments that are not accounted for at fair value through net income, including loans held for investment, held-to-maturity debt securities, trade and other receivables, net investment in leases and other such commitments. ASU 2016-13 requires that financial statement assets measured at an amortized cost be presented at the net amount expected to be collected through an allowance for credit losses that is deducted from the amortized cost basis. ASU 2018-19 also clarifies that receivables arising from operating leases are not within the scope of Subtopic 326-20. Instead, impairment of these receivables should be accounted for in accordance with Topic 842, Leases. ASU 2019-04 provides clarification on the measurement, presentation and disclosure of credit losses on financial assets. ASU 2019-05 provides an option to irrevocably elect the fair value option for certain financial assets previously measured at amortized cost basis for comparability to any new financial assets that elect the fair value option. We adopted, on a modified-retrospective basis, ASU 2016-13, ASU 2018-19, ASU 2019-04 and ASU 2019-05 collectively as of January 1, 2020. The adoption did not have a material effect on our financial statements and related footnotes. See the "Credit Losses" section above for further details. ASU 2018-13, Fair Value Measurement; Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, which modifies the disclosure requirements on fair value measurements in Topic 820 as follows: (a) disclosure removals: (i) the amount of and reasons for transfers between Level 1 and Level 2; (ii) the policy for timing of transfers between levels; and (iii) the valuation process for Level 3 fair value measurements; (b) disclosure modifications: (i) no requirement to disclose the timing of liquidation unless the investee has communicated the timing to the reporting entity or announced the timing publicly; and (ii) for Level 3 fair value measurements, a narrative description of measurement uncertainty at the reporting date, not the sensitivity to future changes; and (c) disclosure additions: (i) for recurring Level 3 measurements, disclose the changes in unrealized gains and losses for the period included in OCI and the statement of comprehensive income; and (ii) for Level 3 fair value measurements in the table of significant input, disclose the range and weighted average of the significant unobservable inputs and the way it is calculated. We adopted ASU 2018-13 as of January 1, 2020 and as of March 31, 2020 there were no transfers between levels and no Level 3 inputs for the period. Refer to Note 12 - Fair Value of Financial Instruments in the accompanying notes to the condensed consolidated financial statements for more detail relating to our fair value disclosures. Recently Issued Accounting Pronouncements ASU 2020-04, Reference Rate Reform (Topic 848) In March 2020, the FASB issued ASU 2020-04, which is intended to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. Reference rate reform is necessary due to the phase out of LIBOR at the end of 2021. The ASU is optional and provides relief around modification and hedge accounting as it specifically arises from changing reference rates, in addition to optional expedients for cash flow hedges, which the Company has. The amendment is effective from March 12, 2020 through December 31, 2022. The Company is evaluating how the transition away from LIBOR will effect the Company and if the guidance in this standard will be adopted. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Cash and Cash Equivalents | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the accompanying condensed consolidated balance sheets to the combined amounts shown on the accompanying condensed consolidated statements of cash flows (in thousands): March 31, 2020 2019 Cash and cash equivalents $ 216,515 $ 61,073 Restricted cash 4,957 7,402 Total cash, cash equivalents and restricted cash $ 221,472 $ 68,475 |
Schedule of Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the accompanying condensed consolidated balance sheets to the combined amounts shown on the accompanying condensed consolidated statements of cash flows (in thousands): March 31, 2020 2019 Cash and cash equivalents $ 216,515 $ 61,073 Restricted cash 4,957 7,402 Total cash, cash equivalents and restricted cash $ 221,472 $ 68,475 |
Investments in Real Estate (Tab
Investments in Real Estate (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Investments [Abstract] | |
Schedule of Purchase Price Allocation | The allocations for these investments, in which we own a controlling financial interest, are set forth below in the aggregate for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Land $ 2,817 $ 3,311 Building and improvements 35,259 13,449 In place leases 3,621 1,927 Below market leases (693) (95) Above market leases 334 160 Net real estate assets acquired 41,338 18,752 Other, net 334 74 Aggregate purchase price $ 41,672 $ 18,826 |
Schedule of Weighted Average Lives of Acquired Intangible Assets and Liabilities | The acquired intangible assets and liabilities referenced above had weighted average lives of the following terms for the three months ended March 31, 2020 and 2019, respectively (in years): Three Months Ended March 31, 2020 2019 Acquired intangible assets 5.4 9.1 Acquired intangible liabilities 3.8 9.1 |
Intangible Assets and Liabili_2
Intangible Assets and Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Identified Intangibles, Net [Abstract] | |
Schedule of Intangible Assets and Liabilities | Intangible assets and liabilities consisted of the following as of March 31, 2020 and December 31, 2019, respectively (in thousands, except weighted average remaining amortization terms): March 31, 2020 December 31, 2019 Balance Weighted Average Remaining Balance Weighted Average Remaining Assets: In place leases $ 483,834 9.5 $ 481,173 9.5 Tenant relationships 146,701 9.7 146,893 9.7 Above market leases 37,804 6.1 37,613 6.2 668,339 665,679 Accumulated amortization (403,314) (387,827) Total $ 265,025 9.4 $ 277,852 9.4 Liabilities: Below market leases $ 66,599 14.2 $ 65,966 13.9 Accumulated amortization (29,940) (27,187) Total $ 36,659 14.2 $ 38,779 13.9 |
Summary of Net Intangible Amortization | The following is a summary of the net intangible amortization for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Amortization recorded against rental income related to above and (below) market leases $ (1,968) $ (491) Amortization expense related to in place leases and tenant relationships 15,935 14,665 |
Receivables and Other Assets (T
Receivables and Other Assets (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Receivables and Other Assets [Abstract] | |
Schedule of Receivables and Other Assets | Receivables and other assets consisted of the following as of March 31, 2020 and December 31, 2019, respectively (in thousands): March 31, 2020 December 31, 2019 Tenant receivables, net $ 3,309 $ 11,801 Other receivables, net 19,153 13,786 Deferred financing costs, net 3,894 4,325 Deferred leasing costs, net 38,224 36,586 Straight-line rent receivables, net 112,093 107,800 Prepaid expenses, deposits, equipment and other, net 51,547 48,505 Derivative financial instruments - interest rate swaps — 3,011 Finance ROU asset, net 3,409 3,409 Insurance receivable (1) 3,393 3,817 Held for sale assets — 3,984 Total $ 235,022 $ 237,024 (1) Amount primarily related to an involuntary conversion at one of our properties in 2019 for the total amount of $3.7 million. Pursuant to applicable accounting guidance, we deemed the receipt of funds from the Company's insurance carrier probable and expect the funds to fully cover, less our immaterial deductible, the damages we experienced. As of March 31, 2020, we had received $200 thousand in insurance proceeds. Subsequent to March 31, 2020, we received an additional $500 thousand for a total of $700 thousand received pursuant to this claim. |
Summary of Amortization of Deferred Leasing Costs and Deferred Financing Costs | The following is a summary of the amortization of deferred leasing costs and financing costs for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Amortization expense related to deferred leasing costs $ 1,896 $ 2,154 Interest expense related to deferred financing costs 431 431 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Summary of lease repayments of operating lease liabilities | The following table summarizes the future minimum lease obligations of our operating leases as of March 31, 2020 (in thousands): Year Operating Leases Finance Leases 2020 $ 7,771 $ 21 2021 10,731 124 2022 10,927 124 2023 11,066 125 2024 10,412 125 2025 9,901 128 Thereafter 624,109 9,295 Total undiscounted lease payments $ 684,917 $ 9,942 Less: Interest (486,289) (6,604) Present value of lease liabilities $ 198,628 $ 3,338 |
Schedule of undiscounted cash flows for future minimum rents | The following table summarizes the future minimum rent contractually due under operating leases, excluding tenant reimbursements of certain costs, as of March 31, 2020 (in thousands): Year Amount 2020 $ 402,544 2021 499,747 2022 443,919 2023 390,144 2024 342,040 2025 294,869 Thereafter 1,071,163 Total $ 3,444,426 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Debt consisted of the following as of March 31, 2020 and December 31, 2019, respectively (in thousands): March 31, 2020 December 31, 2019 Unsecured revolving credit facility $ 405,000 $ 100,000 Unsecured term loans 500,000 500,000 Unsecured senior notes 2,050,000 2,050,000 Fixed rate mortgages 18,458 114,060 $ 2,973,458 $ 2,764,060 Deferred financing costs, net (15,619) (16,255) Premium, net 1,884 1,970 Total $ 2,959,723 $ 2,749,775 |
Summary of Debt Maturities and Scheduled Principal Debt Repayments | The following table summarizes the debt maturities and scheduled principal repayments of our indebtedness as of March 31, 2020 (in thousands): Year Amount 2020 $ 1,828 2021 2,504 2022 407,005 2023 612,121 2024 200,000 Thereafter 1,750,000 Total $ 2,973,458 |
Schedule of Amortization of Deferred Financing Costs | As of March 31, 2020, the future amortization of our deferred financing costs is as follows (in thousands): Year Amount 2020 $ 2,293 2021 2,695 2022 2,697 2023 1,978 2024 1,475 Thereafter 4,481 Total $ 15,619 |
Derivative Financial Instrume_2
Derivative Financial Instruments and Hedging Activities (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Interest Rate Derivatives | As of March 31, 2020, we had the following outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk (in thousands, except number of instruments): Interest Rate Swaps March 31, 2020 Number of instruments 9 Notional amount $ 725,000 The table below presents the fair value of our derivative financial instruments designated as cash flow hedges as well as the classification in the accompanying condensed consolidated balance sheets as of March 31, 2020 and December 31, 2019, respectively (in thousands): Asset Derivatives Liability Derivatives Fair Value at: Fair Value at: Derivatives Designated as Hedging Instruments: Balance Sheet March 31, 2020 December 31, 2019 Balance Sheet March 31, 2020 December 31, 2019 Interest rate swaps Receivables and other assets $ — $ 3,011 Derivative financial instruments $ 19,480 $ 29 The table below presents the gain or loss recognized on our derivative financial instruments designated as cash flow hedges as well as the classification in the accompanying condensed consolidated statements of operations for the three months ended March 31, 2020 and 2019, respectively (in thousands): Gain (Loss) Recognized in OCI on Derivative Gain (Loss) Reclassified from Accumulated OCI into Income Three Months Ended March 31, Three Months Ended March 31, Derivatives Cash Flow Hedging Relationships: 2020 2019 Statement of Operations Location 2020 2019 Interest rate swaps $ (22,153) $ (21) Interest expense $ 345 $ 369 |
Stockholders' Equity and Part_2
Stockholders' Equity and Partners' Capital (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Equity [Abstract] | |
Schedule of Restricted Common Stock Activity | The following is a summary of our restricted common stock activity as of March 31, 2020 and 2019, respectively: March 31, 2020 March 31, 2019 Restricted Common Stock Weighted Restricted Common Stock Weighted Beginning balance 600,987 $ 28.04 624,349 $ 29.35 Granted 243,037 30.23 294,072 25.86 Vested (343,771) 28.81 (291,857) 28.46 Forfeited (7,407) 28.83 (1,580) 29.31 Ending balance 492,846 $ 28.57 624,984 $ 28.12 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The table below presents the carrying amounts and fair values of our financial instruments on a recurring basis as of March 31, 2020 and December 31, 2019 (in thousands): March 31, 2020 December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value Level 2 - Assets: Derivative financial instruments $ — $ — $ 3,011 $ 3,011 Level 2 - Liabilities: Derivative financial instruments $ 19,480 $ 19,480 $ 29 $ 29 Debt 2,959,723 2,847,483 2,749,775 2,826,983 |
Per Share Data of HTA (Tables)
Per Share Data of HTA (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following is the reconciliation of the numerator and denominator used in basic and diluted earnings per share of HTA for the three months ended March 31, 2020 and 2019, respectively (in thousands, except per share data): Three Months Ended March 31, 2020 2019 Numerator: Net income $ 18,208 $ 13,701 Net income attributable to noncontrolling interests (307) (261) Net income attributable to common stockholders $ 17,901 $ 13,440 Denominator: Weighted average shares outstanding - basic 216,692 205,080 Dilutive shares - OP Units convertible into common stock 3,676 3,919 Dilutive effect of forward equity sales agreement 255 — Adjusted weighted average shares outstanding - diluted 220,623 208,999 Earnings per common share - basic Net income attributable to common stockholders $ 0.08 $ 0.07 Earnings per common share - diluted Net income attributable to common stockholders $ 0.08 $ 0.06 |
Per Unit Data of HTALP (Tables)
Per Unit Data of HTALP (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share | |
Schedule of Earnings Per Unit, Basic and Diluted | The following is the reconciliation of the numerator and denominator used in basic and diluted earnings per share of HTA for the three months ended March 31, 2020 and 2019, respectively (in thousands, except per share data): Three Months Ended March 31, 2020 2019 Numerator: Net income $ 18,208 $ 13,701 Net income attributable to noncontrolling interests (307) (261) Net income attributable to common stockholders $ 17,901 $ 13,440 Denominator: Weighted average shares outstanding - basic 216,692 205,080 Dilutive shares - OP Units convertible into common stock 3,676 3,919 Dilutive effect of forward equity sales agreement 255 — Adjusted weighted average shares outstanding - diluted 220,623 208,999 Earnings per common share - basic Net income attributable to common stockholders $ 0.08 $ 0.07 Earnings per common share - diluted Net income attributable to common stockholders $ 0.08 $ 0.06 |
Healthcare Trust of America Holdings, LP (HTALP) | |
Earnings Per Share | |
Schedule of Earnings Per Unit, Basic and Diluted | The following is the reconciliation of the numerator and denominator used in basic and diluted earnings per unit of HTALP for the three months ended March 31, 2020, and 2019, respectively (in thousands, except per unit data): Three Months Ended March 31, 2020 2019 Numerator: Net income $ 18,208 $ 13,701 Net income attributable to noncontrolling interests — (28) Net income attributable to common unitholders $ 18,208 $ 13,673 Denominator: Weighted average OP Units outstanding - basic 220,368 208,999 Dilutive effect of forward equity sales agreement 255 — Adjusted weighted average units outstanding - diluted 220,623 208,999 Earnings per common unit - basic: Net income attributable to common unitholders $ 0.08 $ 0.07 Earnings per common unit - diluted: Net income attributable to common unitholders $ 0.08 $ 0.07 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Cash Flow Information | The following is the supplemental cash flow information for the three months ended March 31, 2020 and 2019, respectively (in thousands): Three Months Ended March 31, 2020 2019 Supplemental Disclosure of Cash Flow Information: Interest paid, net of capitalized interest $ 34,062 $ 33,397 Income taxes paid 39 64 Cash paid for operating leases 3,352 2,911 Supplemental Disclosure of Noncash Investing and Financing Activities: Accrued capital expenditures $ 8,923 $ 5,163 Dividend distributions declared, but not paid 69,731 64,922 Redemption of noncontrolling interest 6,776 527 ROU assets obtained in exchange for lease obligations — 197,099 |
Organization and Description _2
Organization and Description of Business (Details) | Mar. 31, 2020state |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of states in which the Company operates | 33 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | |||||
Cash and cash equivalents | $ 216,515 | $ 61,073 | $ 32,713 | ||
Restricted cash | 4,957 | 7,402 | 4,903 | ||
Total cash, cash equivalents and restricted cash | 221,472 | 68,475 | $ 37,616 | $ 133,530 | |
Leases [Abstract] | |||||
Net income attributable to noncontrolling interests | [1] | $ 307 | 261 | ||
Unconsolidated Joint Ventures [Abstract] | |||||
Investment in unconsolidated joint ventures, ownership percentage | 50.00% | 50.00% | |||
Investment in unconsolidated joint venture | $ 65,526 | $ 65,888 | |||
Income (loss) from unconsolidated joint venture | $ 422 | 486 | |||
Secured Debt | |||||
Real estate investments [Abstract] | |||||
Debt term | 1 year | ||||
Debt instrument, face amount | $ 6,000 | ||||
Minimum | |||||
Leases [Abstract] | |||||
Lessor, term of contract | 3 years | ||||
Maximum | |||||
Leases [Abstract] | |||||
Lessor, term of contract | 7 years | ||||
Building and Building Improvements | |||||
Real estate investments [Abstract] | |||||
Depreciation expense | $ 58,900 | 52,100 | |||
Healthcare Trust of America Holdings, LP (HTALP) | |||||
Partners' Capital Notes [Abstract] | |||||
Limited partner's capital, units issued (in shares) | 3,561,260 | 3,834,279 | |||
Limited partner's capital, units outstanding (in shares) | 3,561,260 | 3,834,279 | |||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | |||||
Cash and cash equivalents | $ 216,515 | $ 32,713 | |||
Restricted cash | 4,957 | 4,903 | |||
Total cash, cash equivalents and restricted cash | 221,472 | 68,475 | 37,616 | $ 133,530 | |
Leases [Abstract] | |||||
Net income attributable to noncontrolling interests | 0 | 28 | |||
Unconsolidated Joint Ventures [Abstract] | |||||
Investment in unconsolidated joint venture | 65,526 | $ 65,888 | |||
Income (loss) from unconsolidated joint venture | $ 422 | $ 486 | |||
[1] | Includes amounts attributable to redeemable noncontrolling interests for the three months ended March 31, 2019. |
Investments in Real Estate - Ac
Investments in Real Estate - Acquisitions (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Investments [Abstract] | ||
Aggregate purchase price | $ 41,672 | $ 18,826 |
Closing costs | $ 200 |
Investments in Real Estate - Pu
Investments in Real Estate - Purchase Price Allocation (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Mar. 31, 2019 |
Asset Acquisition | ||
Land | $ 2,817 | $ 3,311 |
Building and improvements | 35,259 | 13,449 |
In place leases | 3,621 | 1,927 |
Below market leases | (693) | (95) |
Above market leases | 334 | 160 |
Net real estate assets acquired | 41,338 | 18,752 |
Other, net | 334 | 74 |
Aggregate purchase price | $ 41,672 | $ 18,826 |
Investments in Real Estate - We
Investments in Real Estate - Weighted Average Lives (Details) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Investments [Abstract] | ||
Acquired intangible assets (in years) | 5 years 4 months 24 days | 9 years 1 month 6 days |
Acquired intangible liabilities (in years) | 3 years 9 months 18 days | 9 years 1 month 6 days |
Dispositions and Impairment (De
Dispositions and Impairment (Details) | 3 Months Ended | |
Mar. 31, 2020USD ($) | Mar. 31, 2019USD ($)building | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from the sale of real estate | $ 1,200,000 | |
Gain (loss) on sale of real estate, net | $ 1,991,000 | $ (37,000) |
Number of assets disposed | building | 3 | |
Impairment | 0 | $ 0 |
Land in Miami, Florida | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from the sale of real estate | 7,600,000 | |
Gain (loss) on sale of real estate, net | $ 2,000,000 |
Intangible Assets and Liabili_3
Intangible Assets and Liabilities - Summary of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2020 | Dec. 31, 2019 | |
Assets | ||
Gross | $ 668,339 | $ 665,679 |
Accumulated amortization | (403,314) | (387,827) |
Total | $ 265,025 | $ 277,852 |
Weighted Average Remaining Amortization in Years | 9 years 4 months 24 days | 9 years 4 months 24 days |
Liabilities | ||
Accumulated amortization | $ (29,940) | $ (27,187) |
Total | $ 36,659 | $ 38,779 |
Weighted Average Remaining Amortization in Years | 14 years 2 months 12 days | 13 years 10 months 24 days |
Below market leases | ||
Liabilities | ||
Gross | $ 66,599 | $ 65,966 |
Weighted Average Remaining Amortization in Years | 14 years 2 months 12 days | 13 years 10 months 24 days |
In place leases | ||
Assets | ||
Gross | $ 483,834 | $ 481,173 |
Weighted Average Remaining Amortization in Years | 9 years 6 months | 9 years 6 months |
Tenant relationships | ||
Assets | ||
Gross | $ 146,701 | $ 146,893 |
Weighted Average Remaining Amortization in Years | 9 years 8 months 12 days | 9 years 8 months 12 days |
Above market leases | ||
Assets | ||
Gross | $ 37,804 | $ 37,613 |
Weighted Average Remaining Amortization in Years | 6 years 1 month 6 days | 6 years 2 months 12 days |
Intangible Assets and Liabili_4
Intangible Assets and Liabilities - Summary of Intangible Amortization (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Amortization recorded against rental income related to above and (below) market leases | ||
Schedule of Finite-Lived Intangible Assets and Liabilities [Line Items] | ||
Amortization of intangible assets and liabilities | $ (1,968) | $ (491) |
Amortization expense related to in place leases and tenant relationships | ||
Schedule of Finite-Lived Intangible Assets and Liabilities [Line Items] | ||
Amortization of intangible assets and liabilities | $ 15,935 | $ 14,665 |
Receivables and Other Assets -
Receivables and Other Assets - Schedule of Receivables and Other Assets (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 4 Months Ended | |
Apr. 28, 2020 | Mar. 31, 2020 | Apr. 28, 2020 | Dec. 31, 2019 | |
Receivables and Other Assets [Abstract] | ||||
Tenant receivables, net | $ 3,309 | $ 11,801 | ||
Other receivables, net | 19,153 | 13,786 | ||
Deferred financing costs, net | 3,894 | 4,325 | ||
Deferred leasing costs, net | 38,224 | 36,586 | ||
Straight-line rent receivables, net | 112,093 | 107,800 | ||
Prepaid expenses, deposits, equipment and other, net | 51,547 | 48,505 | ||
Derivative financial instruments - interest rate swaps | 0 | 3,011 | ||
Finance ROU asset, net | 3,409 | 3,409 | ||
Insurance receivable | 3,393 | 3,817 | ||
Held for sale assets | 0 | 3,984 | ||
Total | 235,022 | 237,024 | ||
Business Interruption Loss [Line Items] | ||||
Insurance receivable | 3,393 | 3,817 | ||
Proceeds from insurance settlement | $ 200 | |||
Subsequent Event | ||||
Business Interruption Loss [Line Items] | ||||
Proceeds from insurance settlement | $ 500 | $ 700 | ||
Involuntary Conversion [Member] | ||||
Receivables and Other Assets [Abstract] | ||||
Insurance receivable | 3,700 | |||
Business Interruption Loss [Line Items] | ||||
Insurance receivable | $ 3,700 |
Receivables and Other Assets _2
Receivables and Other Assets - Amortization (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Receivables and Other Assets [Abstract] | ||
Amortization expense related to deferred leasing costs | $ 1,896 | $ 2,154 |
Interest expense related to deferred financing costs | $ 431 | $ 431 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Leases [Abstract] | ||
Rental and other revenues from operating lease payments | $ 184.3 | $ 168.5 |
Variable lease payments | $ 42.8 | $ 37.9 |
Leases - Maturity of Lease Liab
Leases - Maturity of Lease Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Operating Leases | ||
2020 | $ 7,771 | |
2021 | 10,731 | |
2022 | 10,927 | |
2023 | 11,066 | |
2024 | 10,412 | |
2025 | 9,901 | |
Thereafter | 624,109 | |
Total undiscounted lease payments | 684,917 | |
Less: Interest | (486,289) | |
Present value of lease liabilities | 198,628 | $ 198,650 |
Finance Leases | ||
2020 | 21 | |
2021 | 124 | |
2022 | 124 | |
2023 | 125 | |
2024 | 125 | |
2025 | 128 | |
Thereafter | 9,295 | |
Total undiscounted lease payments | 9,942 | |
Less: Interest | (6,604) | |
Present value of lease liabilities | $ 3,338 |
Leases - Lease Revenues and Mat
Leases - Lease Revenues and Maturity of Future Minimum Rents (Details) $ in Thousands | Mar. 31, 2020USD ($) |
Leases [Abstract] | |
2020 | $ 402,544 |
2021 | 499,747 |
2022 | 443,919 |
2023 | 390,144 |
2024 | 342,040 |
2025 | 294,869 |
Thereafter | 1,071,163 |
Total | $ 3,444,426 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Instrument | ||
Total debt, gross | $ 2,973,458 | $ 2,764,060 |
Deferred financing costs, net | (15,619) | (16,255) |
Premium, net | 1,884 | 1,970 |
Total | 2,959,723 | 2,749,775 |
Unsecured term loans | ||
Debt Instrument | ||
Total debt, gross | 500,000 | 500,000 |
Unsecured senior notes | ||
Debt Instrument | ||
Total debt, gross | 2,050,000 | 2,050,000 |
Fixed rate mortgages | ||
Debt Instrument | ||
Total debt, gross | 18,458 | 114,060 |
Unsecured revolving credit facility | ||
Debt Instrument | ||
Unsecured revolving credit facility | $ 405,000 | $ 100,000 |
Debt - Narrative (Details)
Debt - Narrative (Details) - USD ($) | 1 Months Ended | 3 Months Ended | |||||
Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jul. 12, 2016 | |
Debt Instrument | |||||||
Outstanding amount | $ 2,973,458,000 | $ 2,764,060,000 | |||||
Payments on secured mortgage loans | 95,602,000 | $ 587,000 | |||||
Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Payments on secured mortgage loans | 95,602,000 | $ 587,000 | |||||
Unsecured term loans | |||||||
Debt Instrument | |||||||
Outstanding amount | 500,000,000 | 500,000,000 | |||||
Unsecured term loans | $300.0 Million Unsecured Term Loan due 2023 | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 300,000,000 | ||||||
Basis spread on variable rate | 1.10% | ||||||
Weighted average interest rate with interest rate swap impact | 2.52% | ||||||
Unsecured term loans | $300.0 Million Unsecured Term Loan due 2023 | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 300,000,000 | ||||||
Unsecured term loans | $300.0 Million Unsecured Term Loan due 2023 | LIBOR | Minimum | |||||||
Debt Instrument | |||||||
Basis spread on variable rate | 0.90% | ||||||
Unsecured term loans | $300.0 Million Unsecured Term Loan due 2023 | LIBOR | Maximum | |||||||
Debt Instrument | |||||||
Basis spread on variable rate | 1.75% | ||||||
Unsecured term loans | $200.0 Million Unsecured Term Loan due 2024 | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 200,000,000 | ||||||
Basis spread on variable rate | 1.00% | ||||||
Weighted average interest rate with interest rate swap impact | 2.32% | ||||||
Debt instrument, face amount | $ 200,000,000 | $ 200,000,000 | |||||
Unsecured term loans | $200.0 Million Unsecured Term Loan due 2024 | LIBOR | Minimum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Basis spread on variable rate | 0.75% | ||||||
Unsecured term loans | $200.0 Million Unsecured Term Loan due 2024 | LIBOR | Maximum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Basis spread on variable rate | 1.65% | ||||||
Unsecured senior notes | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 2,050,000,000 | $ 2,050,000,000 | |||||
Unsecured senior notes | $300.0 Million Unsecured Senior Notes due 2023 | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Debt instrument, effective interest rate | 3.80% | ||||||
Debt instrument, face amount | $ 300,000,000 | ||||||
Debt instrument, stated interest rate | 3.70% | ||||||
Debt instrument, percentage of principal amount received | 99.19% | ||||||
Unsecured senior notes | $600.0 Million Unsecured Senior Notes due 2026 | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 600,000,000 | ||||||
Debt instrument, effective interest rate | 2.89% | ||||||
Debt instrument, face amount | $ 600,000,000 | ||||||
Debt instrument, stated interest rate | 3.50% | ||||||
Debt instrument, percentage of principal amount received | 103.66% | ||||||
Unsecured senior notes | $650.0 Million Unsecured Senior Notes | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Debt instrument, effective interest rate | 3.14% | ||||||
Debt instrument, face amount | $ 650,000,000 | $ 650,000,000 | |||||
Debt instrument, stated interest rate | 3.10% | ||||||
Debt instrument, percentage of principal amount received | 99.66% | ||||||
Unsecured senior notes | $350.0 Million Unsecured Senior Notes | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Debt instrument, face amount | $ 350,000,000 | ||||||
Unsecured senior notes | $500.0 Million Unsecured Senior Notes due 2027 | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 500,000,000 | ||||||
Debt instrument, effective interest rate | 3.81% | ||||||
Debt instrument, face amount | $ 500,000,000 | ||||||
Debt instrument, stated interest rate | 3.75% | ||||||
Debt instrument, percentage of principal amount received | 99.49% | ||||||
Unsecured senior notes | $250.0 Million Unsecured Senior Notes | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Debt instrument, effective interest rate | 3.53% | ||||||
Debt instrument, percentage of principal amount received | 99.72% | ||||||
Proceeds from unsecured senior notes | $ 250,000,000 | ||||||
Fixed rate mortgages | |||||||
Debt Instrument | |||||||
Outstanding amount | $ 18,458,000 | $ 114,060,000 | |||||
Fixed rate mortgages | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Weighted average interest rate | 3.62% | ||||||
Payments on secured mortgage loans | $ 95,600,000 | ||||||
Fixed rate mortgages | Minimum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Debt instrument, effective interest rate | 2.85% | ||||||
Fixed rate mortgages | Maximum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Debt instrument, effective interest rate | 3.95% | ||||||
Unsecured revolving credit facility | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Line of credit facility, borrowing capacity | $ 1,300,000,000 | ||||||
Outstanding amount | $ 405,000,000 | ||||||
Maximum borrowing capacity, conditional increase | 750,000,000 | ||||||
Conditional maximum borrowing capacity | 2,050,000,000 | ||||||
Basis spread on variable rate | 1.00% | ||||||
Line of credit facility, commitment fee | 0.20% | ||||||
Debt instrument, effective interest rate | 2.00% | ||||||
Unsecured revolving credit facility | Minimum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Line of credit facility, commitment fee | 0.13% | ||||||
Unsecured revolving credit facility | Maximum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Line of credit facility, commitment fee | 0.30% | ||||||
Unsecured revolving credit facility | LIBOR | Minimum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Basis spread on variable rate | 0.83% | ||||||
Unsecured revolving credit facility | LIBOR | Maximum | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Basis spread on variable rate | 1.55% | ||||||
Unsecured revolving credit facility | Line of Credit | Healthcare Trust of America Holdings, LP (HTALP) | |||||||
Debt Instrument | |||||||
Line of credit facility, borrowing capacity | $ 1,000,000,000 |
Debt - Principal Maturity Sched
Debt - Principal Maturity Schedule (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
2020 | $ 1,828 | |
2021 | 2,504 | |
2022 | 407,005 | |
2023 | 612,121 | |
2024 | 200,000 | |
Thereafter | 1,750,000 | |
Total | $ 2,973,458 | $ 2,764,060 |
Debt - Amortization of Deferred
Debt - Amortization of Deferred Financing Costs (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
2020 | $ 2,293 | |
2021 | 2,695 | |
2022 | 2,697 | |
2023 | 1,978 | |
2024 | 1,475 | |
Thereafter | 4,481 | |
Total | $ 15,619 | $ 16,255 |
Derivative Financial Instrume_3
Derivative Financial Instruments and Hedging Activities - Derivative Instruments Fair Value Table (Details) | 3 Months Ended | ||
Mar. 31, 2020USD ($)derivative | Mar. 31, 2019USD ($) | Dec. 31, 2019USD ($) | |
Derivatives, Fair Value | |||
Derivatives expected to be reclassified in the next 12 months | $ 5,400,000 | ||
Asset Derivatives | 0 | $ 3,011,000 | |
Liability Derivatives | 19,480,000 | 29,000 | |
Fair value of derivatives in net liability position, including accrued interest, excluding nonperformance risk adjustment | $ 19,900,000 | ||
Designated as Hedging Instrument | Cash Flow Hedging | Interest rate swaps | |||
Derivatives, Fair Value | |||
Number of instruments | derivative | 9 | ||
Notional amount | $ 725,000,000 | ||
Gain (Loss) Recognized in OCI on Derivative | (22,153,000) | $ (21,000) | |
Gain (Loss) Reclassified from Accumulated OCI into Income | 345,000 | $ 369,000 | |
Designated as Hedging Instrument | Cash Flow Hedging | Interest rate swaps | Receivables and other assets | |||
Derivatives, Fair Value | |||
Asset Derivatives | 0 | 3,011,000 | |
Designated as Hedging Instrument | Cash Flow Hedging | Interest rate swaps | Derivative financial instruments | |||
Derivatives, Fair Value | |||
Liability Derivatives | $ 19,480,000 | $ 29,000 | |
Designated as Hedging Instrument | Cash Flow Hedging | Forward Starts | |||
Derivatives, Fair Value | |||
Number of interest rate instruments | derivative | 2 | ||
Notional amount | $ 225,000,000 |
Stockholders' Equity and Part_3
Stockholders' Equity and Partners' Capital - Narrative (Details) | May 05, 2020$ / shares | Mar. 31, 2020USD ($)Arrangement$ / sharesshares | Mar. 31, 2019USD ($)$ / shares | Nov. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Aug. 31, 2018USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
ATM authorized amount | $ 300,000,000 | |||||
Remaining amount of common stock available for repurchase | $ 224,300,000 | |||||
Dividends declared (in dollars per share) | $ / shares | $ 0.315 | $ 0.310 | ||||
ATM Offering Program | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Amount remaining available for issuance under the new ATM | $ 570,600,000 | $ 750,000,000 | ||||
ATM Offering Program | Common Stock | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Amount remaining available for issuance under the new ATM | $ 500,000,000 | |||||
Issuance of common stock, net (in shares) | shares | 1,700,000 | |||||
Proceeds from sale of stock | $ 50,000,000 | |||||
Net price per share (in dollars per share) | $ / shares | $ 29.86 | |||||
Forward Sale Arrangements | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of arrangements | Arrangement | 4 | |||||
Anticipated proceeds of share issuance | $ 277,500,000 | |||||
Forward Sale Arrangement Maturing in Late 2020 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of arrangements | Arrangement | 3 | |||||
Forward Sale Arrangements Maturing in 2021 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of arrangements | Arrangement | 1 | |||||
Restricted Common Stock | ||||||
Incentive Plan | ||||||
Nonvested awards, total compensation cost not yet recognized | $ 8,700,000 | |||||
Period for recognition (in years) | 1 year 10 months 24 days | |||||
Restricted Common Stock | General and Administrative Expense | ||||||
Incentive Plan | ||||||
Compensation expense | $ 3,200,000 | $ 3,400,000 | ||||
Subsequent Event | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.315 | |||||
2006 Incentive Plan | ||||||
Incentive Plan | ||||||
Number of shares authorized (in shares) | shares | 5,000,000 | |||||
Number of shares available for grant (in shares) | shares | 831,341 | |||||
Healthcare Trust of America Holdings, LP (HTALP) | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Dividend distribution ratio | 1 | |||||
Dividends declared (in dollars per share) | $ / shares | $ 0.315 | $ 0.310 |
Stockholders' Equity and Part_4
Stockholders' Equity and Partners' Capital - Restricted Common Stock Activity (Details) - Restricted Common Stock - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Restricted Common Stock | ||
Balance as of beginning of period (in shares) | 600,987 | 624,349 |
Granted (in shares) | 243,037 | 294,072 |
Vested (in shares) | (343,771) | (291,857) |
Forfeited (in shares) | (7,407) | (1,580) |
Balance as of end of period (in shares) | 492,846 | 624,984 |
Weighted Average Grant Date Fair Value | ||
Balance as of beginning of period (in dollars per share) | $ 28.04 | $ 29.35 |
Granted (in dollars per share) | 30.23 | 25.86 |
Vested (in dollars per share) | 28.81 | 28.46 |
Forfeited (in dollars per share) | 28.83 | 29.31 |
Balance as of end of period (in dollars per share) | $ 28.57 | $ 28.12 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Assets: | ||
Derivative financial instruments - interest rate swaps | $ 0 | $ 3,011 |
Liabilities: | ||
Derivative financial instruments - interest rate swaps | 19,480 | 29 |
Debt | 2,959,723 | 2,749,775 |
Fair Value, Measurements, Recurring | Carrying Amount | ||
Assets: | ||
Derivative financial instruments - interest rate swaps | 0 | 3,011 |
Liabilities: | ||
Derivative financial instruments - interest rate swaps | 19,480 | 29 |
Debt | 2,959,723 | 2,749,775 |
Fair Value, Measurements, Recurring | Fair Value | Level 2 | ||
Assets: | ||
Derivative financial instruments - interest rate swaps | 0 | 3,011 |
Liabilities: | ||
Derivative financial instruments - interest rate swaps | 19,480 | 29 |
Debt | $ 2,847,483 | $ 2,826,983 |
Per Share Data of HTA (Details)
Per Share Data of HTA (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020USD ($)Arrangement$ / sharesshares | Mar. 31, 2019USD ($)$ / sharesshares | ||
Earnings Per Share | |||
Anti-dilutive securities excluded from calculation (in shares) | 255 | ||
Numerator: | |||
Net income | $ | $ 18,208 | $ 13,701 | |
Net income attributable to noncontrolling interests | $ | [1] | (307) | (261) |
Net income attributable to common stockholders/unitholders | $ | $ 17,901 | $ 13,440 | |
Denominator: | |||
Weighted average shares/units outstanding - basic (in shares) | 216,692 | 205,080 | |
Dilutive shares - partnership units convertible into common stock (in shares) | 3,676 | 3,919 | |
Dilutive effect of forward equity sales agreement | 255 | 0 | |
Adjusted weighted average number of shares/units outstanding — diluted (in shares) | 220,623 | 208,999 | |
Earnings per common share - basic | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ / shares | $ 0.08 | $ 0.07 | |
Earnings per common share - diluted | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ / shares | $ 0.08 | $ 0.06 | |
Common Stock | |||
Earnings Per Share | |||
Issuance of common stock, net (in shares) | 1,675 | ||
Forward Sale Arrangements | |||
Earnings Per Share | |||
Number of arrangements | Arrangement | 4 | ||
Anticipated proceeds of share issuance | $ | $ 277,500 | ||
Average price of shares issued (in dollars per share) | $ / shares | $ 29.46 | ||
Forward Sale Arrangement Maturing in Late 2020 | |||
Earnings Per Share | |||
Number of arrangements | Arrangement | 3 | ||
Forward Sale Arrangements Maturing in 2021 | |||
Earnings Per Share | |||
Number of arrangements | Arrangement | 1 | ||
[1] | Includes amounts attributable to redeemable noncontrolling interests for the three months ended March 31, 2019. |
Per Unit Data of HTALP (Details
Per Unit Data of HTALP (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020USD ($)Arrangement$ / sharesshares | Mar. 31, 2019USD ($)$ / sharesshares | ||
Numerator: | |||
Net income | $ 18,208 | $ 13,701 | |
Net income attributable to noncontrolling interests | [1] | (307) | (261) |
Net income attributable to common stockholders/unitholders | $ 17,901 | $ 13,440 | |
Denominator: | |||
Weighted average shares/units outstanding - basic (in shares) | shares | 216,692 | 205,080 | |
Dilutive effect of forward equity sales agreement | shares | 255 | 0 | |
Adjusted weighted average number of shares/units outstanding — diluted (in shares) | shares | 220,623 | 208,999 | |
Earnings per common unit - basic: | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ / shares | $ 0.08 | $ 0.07 | |
Earnings per common unit - diluted: | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ / shares | $ 0.08 | $ 0.06 | |
Forward Sale Arrangements | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Number of arrangements | Arrangement | 4 | ||
Anticipated proceeds of share issuance | $ 277,500 | ||
Forward Sale Arrangement Maturing in Late 2020 | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Number of arrangements | Arrangement | 3 | ||
Forward Sale Arrangements Maturing in 2021 | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Number of arrangements | Arrangement | 1 | ||
Common Stock | ATM Offering Program | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Issuance of common stock, net (in shares) | shares | 1,700 | ||
Proceeds from sale of stock | $ 50,000 | ||
Net price per share (in dollars per share) | $ / shares | $ 29.86 | ||
Healthcare Trust of America Holdings, LP (HTALP) | |||
Numerator: | |||
Net income | $ 18,208 | $ 13,701 | |
Net income attributable to noncontrolling interests | 0 | (28) | |
Net income attributable to common stockholders/unitholders | $ 18,208 | $ 13,673 | |
Denominator: | |||
Weighted average shares/units outstanding - basic (in shares) | shares | 220,368 | 208,999 | |
Dilutive effect of forward equity sales agreement | shares | 255 | 0 | |
Adjusted weighted average number of shares/units outstanding — diluted (in shares) | shares | 220,623 | 208,999 | |
Earnings per common unit - basic: | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ / shares | $ 0.08 | $ 0.07 | |
Earnings per common unit - diluted: | |||
Net income attributable to common stockholders/unitholders (in dollars per share) | $ / shares | $ 0.08 | $ 0.07 | |
[1] | Includes amounts attributable to redeemable noncontrolling interests for the three months ended March 31, 2019. |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Supplemental Disclosure of Cash Flow Information: | ||
Interest paid, net of capitalized interest | $ 34,062 | $ 33,397 |
Income taxes paid | 39 | 64 |
Cash paid for operating leases | 3,352 | 2,911 |
Supplemental Disclosure of Noncash Investing and Financing Activities: | ||
Accrued capital expenditures | 8,923 | 5,163 |
Dividend distributions declared, but not paid | 69,731 | 64,922 |
Redemption of noncontrolling interest | 6,776 | 527 |
ROU assets obtained in exchange for lease obligations | $ 0 | $ 197,099 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
May 06, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Subsequent Event [Line Items] | |||
Borrowings on unsecured revolving credit facility | $ 720,000 | $ 0 | |
Subsequent Event | |||
Subsequent Event [Line Items] | |||
Percent of contractual rents that have been pending approval | 10.00% | ||
Deferral period | 90 days | ||
Percent of contractual rents that have been approved | 7.00% | ||
Subsequent Event | Unsecured revolving credit facility | |||
Subsequent Event [Line Items] | |||
Borrowings on unsecured revolving credit facility | $ 595,000 |