Cover - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
Cover - USD ($) shares in Thousands, $ in Thousands	Dec. 31, 2021	Mar. 18, 2022	Jun. 30, 2021
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2021
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	000-55435
Entity Registrant Name	SILA REALTY TRUST, INC.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	46-1854011
Entity Address, Address Line One	1001 Water Street
Entity Address, Address Line Two	Suite 800
Entity Address, City or Town	Tampa
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33602
City Area Code	813
Local Phone Number	287-0101
Title of 12(b) Security	None
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
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
ICFR Auditor Attestation Flag	false
Entity Shell Company	false
Documents Incorporated by Reference	Documents Incorporated by Reference Portions of Registrant’s proxy statement for the 2022 annual stockholders meeting, which is expected to be filed no later than April 30, 2022, are incorporated by reference in Part III. Items 10, 11, 12, 13 and 14.
Amendment Flag	false
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	FY
Entity Central Index Key	0001567925
No Trading Symbol Flag	true
Former Address
Entity Address, Address Line One	4890 West Kennedy Blvd.
Entity Address, Address Line Two	Suite 650
Entity Address, City or Town	Tampa
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33609
Class A
Entity Public Float			$ 1,451,169
Entity Common Stock, Shares Outstanding (in shares)		167,685
Class I
Entity Public Float			111,753
Entity Common Stock, Shares Outstanding (in shares)		16,045
Class T
Entity Public Float			346,809
Entity Common Stock, Shares Outstanding (in shares)		40,440
Class T2
Entity Public Float			$ 29,755
Entity Common Stock, Shares Outstanding (in shares)		467

Audit Information	12 Months Ended
Audit Information	Dec. 31, 2021
Audit Information [Abstract]
Auditor Firm ID	185
Auditor Name	KPMG LLP
Auditor Location	Tampa, Florida

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Real estate:
Land	$ 163,992	$ 168,969
Buildings and improvements, less accumulated depreciation of $165,784 and $119,947, respectively	1,648,685	1,661,351
Construction in progress	14,628	19,232
Total real estate, net	1,827,305	1,849,552
Cash and cash equivalents	32,359	53,174
Acquired intangible assets, less accumulated amortization of $71,067 and $49,866, respectively	181,639	197,901
Goodwill	23,284	23,955
Right-of-use assets - operating leases	21,737	22,499
Right-of-use assets - finance lease	2,296	2,527
Notes receivable, net	0	31,262
Other assets, net	66,365	64,669
Assets held for sale, net	22,570	959,750
Total assets	2,177,555	3,205,289
Liabilities:
Notes payable, net of deferred financing costs of $0 and $682, respectively	0	146,645
Credit facility, net of deferred financing costs of $3,226 and $5,900, respectively	496,774	932,100
Accounts payable and other liabilities	39,597	67,946
Acquired intangible liabilities, less accumulated amortization of $4,444 and $3,122, respectively	12,962	11,971
Operating lease liabilities	23,758	23,926
Finance lease liabilities	2,636	2,843
Liabilities held for sale, net	698	365,985
Total liabilities	576,425	1,551,416
Stockholders’ equity:
Preferred stock, $0.01 par value per share, 100,000,000 shares authorized; none issued and outstanding	0	0
Common stock, $0.01 par value per share, 510,000,000 shares authorized; 238,226,119 and 234,957,801 shares issued, respectively; 224,179,939 and 222,045,522 shares outstanding, respectively	2,242	2,220
Additional paid-in capital	2,004,404	1,983,361
Accumulated distributions in excess of earnings	(400,669)	(311,264)
Accumulated other comprehensive loss	(4,847)	(20,444)
Total stockholders’ equity	1,601,130	1,653,873
Total liabilities and stockholders’ equity	$ 2,177,555	$ 3,205,289

CONSOLIDATED BALANCE SHEETS (PARENTHETICAL) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Buildings and improvements, accumulated depreciation	$ 165,784	$ 119,947
Acquired intangible assets, accumulated amortization	71,067	49,866
Notes payable, deferred financing costs	0	682
Credit facility, deferred financing costs	3,226	5,900
Acquired intangible liabilities, accumulated amortization	$ 4,444	$ 3,122
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	100,000,000	100,000,000
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)	510,000,000	510,000,000
Common stock, shares issued (in shares)	238,226,119	234,957,801
Common stock, shares outstanding (in shares)	224,179,939	222,045,522

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Revenue:
Rental revenue	$ 172,838,000	$ 165,781,000	$ 101,212,000
Expenses:
Rental expenses	12,705,000	15,187,000	10,714,000
General and administrative expenses	26,395,000	16,681,000	8,421,000
Internalization Transaction expenses	0	3,640,000	0
Asset management fees	0	12,604,000	9,422,000
Depreciation and amortization	70,259,000	69,849,000	39,977,000
Impairment loss on real estate	27,166,000	0	21,000,000
Impairment loss on goodwill	671,000	0	0
Total expenses	137,196,000	117,961,000	89,534,000
Gain on real estate dispositions	89,000	3,142,000	79,000
Income from operations	35,731,000	50,962,000	11,757,000
Interest and other expense, net	34,515,000	42,025,000	33,563,000
Income (loss) from continuing operations	1,216,000	8,937,000	(21,806,000)
Income from discontinued operations	401,444,000	27,839,000	24,588,000
Net income attributable to common stockholders	402,660,000	36,776,000	2,782,000
Other comprehensive income (loss):
Unrealized income (loss) on interest rate swaps, net	15,597,000	(15,740,000)	(10,907,000)
Other comprehensive income (loss)	15,597,000	(15,740,000)	(10,907,000)
Comprehensive income (loss) attributable to common stockholders	$ 418,257,000	$ 21,036,000	$ (8,125,000)
Weighted average number of common shares outstanding:
Basic (in shares)	223,325,293	221,436,617	157,247,345
Diluted (in shares)	224,293,339	221,622,444	157,247,345
Basic:
Basic, continuing operations (in dollars per share)	$ 0	$ 0.04	$ (0.14)
Basic, discontinued operations (in dollars per share)	1.80	0.13	0.16
Net income attributable to common stockholders (in dollars per share)	1.80	0.17	0.02
Diluted:
Diluted, continuing operations (in dollars per share)	0	0.04	(0.14)
Diluted, discontinued operations (in dollars per share)	1.79	0.13	0.16
Net income attributable to common stockholders (in dollars per share)	$ 1.79	$ 0.17	$ 0.02

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Total Stockholders’ Equity	Common Stock	Additional Paid-in Capital	Accumulated Distributions in Excess of Earnings	Accumulated Distributions in Excess of Earnings Cumulative Effect, Period of Adoption, Adjustment	Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss Cumulative Effect, Period of Adoption, Adjustment	Noncontrolling Interests
Balance, (in shares) at Dec. 31, 2018			136,466,242
Balance, beginning at Dec. 31, 2018	$ 1,047,385	$ 1,047,383	$ 1,364	$ 1,192,340	$ (152,421)	$ (103)	$ 6,100	$ 103	$ 2
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock under the distribution reinvestment plan (in shares)			4,317,245
Issuance of common stock under the distribution reinvestment plan	39,934	39,934	$ 43	39,891
Issuance of common stock in connection with the REIT Merger (in shares)			83,676,775
Issuance of common stock in connection with the REIT Merger	774,010	774,010	$ 837	773,173
Vesting of restricted stock (in shares)			9,750
Stock-based compensation	89	89		89
Distribution and servicing fees	563	563		563
Other offering costs	(578)	(578)		(578)
Repurchase of common stock (in shares)			(2,557,298)
Repurchase of common stock	(23,655)	(23,655)	$ (25)	(23,630)
Issuance of noncontrolling interests	1								1
Distributions to noncontrolling interests	(1)								(1)
Distributions to common stockholders	(91,204)	(91,204)			(91,204)
Other comprehensive income (loss)	(10,907)	(10,907)					(10,907)
Net income	2,782	2,782			2,782
Balance, (in shares) at Dec. 31, 2019			221,912,714
Balance, ending at Dec. 31, 2019	1,738,419	1,738,417	$ 2,219	1,981,848	(240,946)		(4,704)		2
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock under the distribution reinvestment plan (in shares)			3,531,178
Issuance of common stock under the distribution reinvestment plan	30,553	30,553	$ 35	30,518
Issuance of common stock in connection with the REIT Merger	0
Vesting of restricted stock (in shares)			10,500
Stock-based compensation	437	437		437
Purchase of noncontrolling interest	(2)								(2)
Distribution and servicing fees	51	51		51
Other offering costs	(40)	(40)		(40)
Repurchase of common stock (in shares)			(3,408,870)
Repurchase of common stock	(29,487)	(29,487)	$ (34)	(29,453)
Issuance of noncontrolling interests	0
Distributions to common stockholders	(107,094)	(107,094)			(107,094)
Other comprehensive income (loss)	(15,740)	(15,740)					(15,740)
Net income	$ 36,776	36,776			36,776
Balance, (in shares) at Dec. 31, 2020	222,045,522		222,045,522
Balance, ending at Dec. 31, 2020	$ 1,653,873	1,653,873	$ 2,220	1,983,361	(311,264)		(20,444)		$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock under the distribution reinvestment plan (in shares)			3,243,363
Issuance of common stock under the distribution reinvestment plan	27,584	27,584	$ 33	27,551
Issuance of common stock in connection with the REIT Merger	0
Vesting of restricted stock (in shares)			24,955
Stock-based compensation		2,379		2,379
Distribution and servicing fees		639		639
Other offering costs		(9)		(9)
Repurchase of common stock (in shares)			(1,133,901)
Repurchase of common stock		(9,528)	$ (11)	(9,517)
Issuance of noncontrolling interests	0
Distributions to common stockholders		(492,065)			(492,065)
Other comprehensive income (loss)		15,597					15,597
Net income	$ 402,660	402,660			402,660
Balance, (in shares) at Dec. 31, 2021	224,179,939		224,179,939
Balance, ending at Dec. 31, 2021		$ 1,601,130	$ 2,242	$ 2,004,404	$ (400,669)		$ (4,847)

CONSOLIDATED STATEMENTS OF CASH FLOWS	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Cash flows from operating activities:
Net income attributable to common stockholders	$ 402,660,000	$ 36,776,000	$ 2,782,000
Adjustments to reconcile net income attributable to common stockholders to net cash provided by operating activities:
Depreciation and amortization	81,999,000	105,476,000	74,104,000
Amortization of deferred financing costs	3,425,000	3,884,000	2,825,000
Amortization of above-market leases	1,934,000	2,467,000	1,013,000
Amortization of below-market leases	(3,032,000)	(7,147,000)	(5,261,000)
Amortization of origination fee	394,000	166,000	0
Amortization of discount of deferred liability	272,000	54,000	0
Loss on swap termination	1,762,000	0	0
Reduction in the carrying amount of right-of-use assets - operating leases, net	841,000	963,000	577,000
Reduction in the carrying amount of right-of-use assets - finance lease, net	19,000	7,000	0
Impairment loss on real estate	27,166,000	0	21,000,000
Impairment loss on goodwill	671,000	0	0
Gain on real estate dispositions from continuing operations	(89,000)	(3,142,000)	(79,000)
Gain on real estate dispositions of discontinued operations	(395,801,000)	0	0
Loss on extinguishment of debt	28,751,000	0	0
Straight-line rent	(15,503,000)	(21,161,000)	(14,047,000)
Stock-based compensation	2,379,000	437,000	89,000
Changes in operating assets and liabilities:
Accounts payable and other liabilities	(4,683,000)	(607,000)	2,214,000
Accounts payable due to affiliates	0	(3,350,000)	1,151,000
Other assets	3,777,000	(1,985,000)	(6,259,000)
Net cash provided by operating activities	136,942,000	112,838,000	80,109,000
Cash flows from investing activities:
Investment in real estate	(71,462,000)	(16,135,000)	(528,259,000)
Consideration paid for the internalization transaction	(15,000,000)	(25,000,000)	0
Proceeds from real estate dispositions	1,308,009,000	28,542,000	2,882,000
Capital expenditures	(25,285,000)	(28,797,000)	(12,841,000)
Payments of deal costs	(120,000)	(126,000)	0
Real estate deposits, net	0	100,000	(100,000)
Collection of notes receivable	30,700,000	0	0
Net cash provided by (used in) investing activities	1,226,842,000	(41,416,000)	(538,318,000)
Cash flows from financing activities:
Payments on notes payable	(453,422,000)	(3,923,000)	(10,441,000)
Proceeds from credit facility	15,000,000	140,000,000	605,000,000
Payments on credit facility	(453,000,000)	(110,000,000)	(52,000,000)
Payments for extinguishment of debt	(29,244,000)	0	0
Payments of deferred financing costs	(444,000)	(715,000)	(6,351,000)
Repurchase of common stock	(9,528,000)	(29,487,000)	(23,655,000)
Offering costs on issuance of common stock	(2,326,000)	(3,099,000)	(4,146,000)
Distributions to common stockholders	(465,849,000)	(76,517,000)	(49,494,000)
Distributions to noncontrolling interests	0	0	(1,000)
Purchase of noncontrolling interests	0	(2,000)	0
Net cash (used in) provided by financing activities	(1,398,813,000)	(83,743,000)	458,912,000
Net change in cash, cash equivalents and restricted cash	(35,029,000)	(12,321,000)	703,000
Cash, cash equivalents and restricted cash - Beginning of year	67,909,000	80,230,000	79,527,000
Cash, cash equivalents and restricted cash - End of year	32,880,000	67,909,000	80,230,000
Supplemental cash flow disclosure:
Interest paid, net of interest capitalized of $395, $669 and $142, respectively	38,558,000	55,129,000	43,132,000
Supplemental disclosure of non-cash transactions:
Common stock issued through distribution reinvestment plan	27,584,000	30,553,000	39,934,000
Contingent consideration	978,000	0	0
Change in accrued capital expenditures	(1,444,000)	2,875,000	126,000
Change in accrued acquisition costs	10,000	0	139,000
Change in accrued deal costs	213,000	0	0
Change in accrued deferred financing costs	19,000	0	0
Deferred internalization transaction purchase price	0	14,674,000	0
Right-of-use assets in exchange for lease liability - operating leases	625,000	1,060,000	22,266,000
Right-of-use assets in exchange for lease liability - finance lease	0	2,854,000	0
Origination of note receivable related to real estate disposition	0	28,000,000	0
Issuance of common stock in connection with the REIT Merger	0	0	774,010,000
Net assets assumed in the REIT Merger	0	0	778,000
Issuance of noncontrolling interests	0	0	1,000
Credit facility revolving loan to term loan conversion	$ 0	$ 0	$ 30,000,000

CONSOLIDATED STATEMENTS OF CASH FLOWS (PARENTHETICAL) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Statement of Cash Flows [Abstract]
Interest capitalized	$ 395	$ 669	$ 142

Organization and Business Operations	12 Months Ended
Organization and Business Operations	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Business Operations	Organization and Business Operations Sila Realty Trust, Inc., or the Company, is a Maryland corporation that was formed on January 11, 2013. The Company elected, and currently qualifies, to be taxed as a real estate investment trust, or a REIT, under the Internal Revenue Code of 1986, as amended, or the Code, for federal income tax purposes commencing with its taxable year ended December 31, 2014. Substantially all of the Company’s business is conducted through Sila Realty Operating Partnership, LP, a Delaware limited partnership, or the Operating Partnership, formed on January 10, 2013. The Company is the sole general partner and, prior to the completion of the Internalization Transaction (as defined herein) on September 30, 2020, Carter Validus Advisors II, LLC, or the Former Advisor, was the special limited partner of the Operating Partnership. As of the closing of the Internalization Transaction, the Company owns directly or indirectly, all of the interests in the Operating Partnership. Prior to September 30, 2020, the Former Advisor was responsible for managing the Company’s affairs on a day-to-day basis and for identifying and making investments on the Company’s behalf pursuant to an advisory agreement among the Company, the Operating Partnership and the Former Advisor. On July 28, 2020, the Company and the Operating Partnership entered into a Membership Interest Purchase Agreement, or the Purchase Agreement, to provide for the internalization of the external management functions previously performed for the Company and the Operating Partnership by the Former Advisor and its affiliates, or the Internalization Transaction. On September 30, 2020, the Company closed the Internalization Transaction. Effective September 30, 2020, as a result of the Internalization Transaction, the Former Advisor is no longer affiliated with the Company. Upon completion of the Internalization Transaction, individuals who were previously employed by an affiliate of the Former Advisor became employees of the Company and the functions previously performed by the Former Advisor were internalized by the Company. As an internally managed company, the Company no longer pays the Former Advisor and its affiliates any fees or expense reimbursements arising from the advisory agreement. In addition, on September 30, 2020, the Operating Partnership redeemed the Former Advisor’s limited partner interest (including special limited partner interest) in the Operating Partnership in connection with the Internalization Transaction. On September 30, 2020, the Company and Sila REIT, LLC, a Maryland limited liability company that is the sole limited partner of the Operating Partnership, entered into the Third Amended and Restated Agreement of Limited Partnership of the Operating Partnership, or the Third A&R LP Agreement, in order to reflect the completion of the Internalization Transaction. The Company was formed to invest primarily in quality income-producing commercial real estate, with a focus on data centers and healthcare properties, preferably with long-term leases to creditworthy tenants, as well as to make other real estate-related investments in such property types, which may include equity or debt interests in other real estate entities. During the second quarter of 2021, the Company's board of directors, or the Board, made a determination to sell the Company's data center assets. On May 19, 2021, the Company and certain of its wholly-owned subsidiaries entered into a purchase and sale agreement, or the PSA, for the sale of up to 29 data center properties owned by the Company, which constituted the entirety of the Company's data center segment. See Note 4—"Held for Sale and Discontinued Operations" for further discussion. The decision of the Board to sell the data center assets, as well as the execution of the PSA, represented a strategic shift that had a major effect on the Company's results and operations and assets and liabilities for the periods presented. As a result, the Company has classified the assets and liabilities related to the data center segment as assets held for sale, net, and liabilities held for sale, net, on the consolidated balance sheet as of December 31, 2020. As of December 31, 2021, the Company had no assets or liabilities held for sale related to the data center properties. The operations of the data center properties have been classified as income from discontinued operations on the consolidated statements of comprehensive income (loss) for all years presented. On July 22, 2021, the Company completed the sale of all 29 of its data centers, or the Data Center Sale, for an aggregate sale price of $1,320,000,000, and generated net proceeds of approximately $1,295,367,000. See Note 3—"Acquisitions and Dispositions" for further discussion. Concurrently, the Board declared a special cash distribution of $1.75 per share of Class A, Class I, Class T and Class T2 shares of common stock. The special cash distribution was funded with the proceeds from the Data Center Sale. The special cash distribution was paid on July 30, 2021 to stockholders of record at the close of business on July 26, 2021, in the aggregate amount of approximately $392,685,000. During the year ended December 31, 2021, the Company acquired four healthcare properties and two undeveloped land parcels and sold two healthcare properties. See Note 3—"Acquisitions and Dispositions" for more information. As of December 31, 2021, the Company owned 125 real estate healthcare properties, one land parcel held for sale that formerly contained a healthcare property and two undeveloped land parcels, in two micropolitan statistical areas, or µSA, and 54 metropolitan statistical areas, or MSAs. The Company raised the equity capital for its real estate investments through two public offerings, or the Offerings, from May 2014 through November 2018, and the Company has offered shares pursuant to its distribution reinvestment plan, or the DRIP, pursuant to two Registration Statements on Form S-3, or each, a DRIP Offering and together the DRIP Offerings, since November 2017. Except as the context otherwise requires, the “Company” refers to Sila Realty Trust, Inc., the Operating Partnership and all wholly-owned subsidiaries.

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2021

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

The summary of significant accounting policies presented below is designed to assist in understanding the Company’s consolidated financial statements. Such consolidated financial statements and the accompanying notes thereto are the responsibility of management. These accounting policies conform to United States generally accepted accounting principles, or GAAP, in all material respects, and have been consistently applied in preparing the consolidated financial statements.

Principles of Consolidation and Basis of Presentation

The accompanying consolidated financial statements include the accounts of the Company, the Operating Partnership, and all wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.

Use of Estimates

The preparation of the consolidated financial statements and accompanying notes in conformity with GAAP requires the Company to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. 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.

Restricted Cash

Restricted cash consists of restricted cash held in escrow, which includes cash held by escrow agents in escrow accounts for tenant and capital improvements in accordance with the respective tenant’s lease agreement. Restricted cash attributable to continuing operations is reported in other assets, net, in the accompanying consolidated balance sheets. See Note 10—"Other Assets, Net." Restricted cash attributable to discontinued operations is reported in assets held for sale, net, in the accompanying consolidated balance sheets.

The following table presents a reconciliation of the beginning of period and end of period cash, cash equivalents and restricted cash reported within the consolidated balance sheets to the totals shown in the consolidated statements of cash flows (amounts in thousands):


	Year Ended December 31,
	2021			2020			2019
Beginning of year:
Cash and cash equivalents	$	53,174		$	69,342		68,360
Restricted cash	14,735		(1)	10,888		(2)	11,167		(3)
Cash, cash equivalents and restricted cash	$	67,909		$	80,230		$	79,527

End of year:
Cash and cash equivalents	$	32,359		$	53,174		69,342
Restricted cash	521			14,735		(1)	10,888		(2)
Cash, cash equivalents and restricted cash	$	32,880		$	67,909		$	80,230

(1)Of this amount, $13,499,000 is attributable to continuing operations and $1,236,000 is attributable to discontinued operations.

(2)Of this amount, $9,652,000 is attributable to continuing operations and $1,236,000 is attributable to discontinued operations.

(3)Of this amount, $9,931,000 is attributable to continuing operations and $1,236,000 is attributable to discontinued operations.

Investment in Real Estate

Real estate costs related to the acquisition, development, construction and improvement of properties are capitalized. Repair and maintenance costs are expensed as incurred and significant replacements and betterments are capitalized. Repair and maintenance costs include all costs that do not extend the useful life of the real estate asset. The Company considers the period of future benefit of an asset in determining the appropriate useful life. Real estate assets, other than land, are depreciated or amortized on a straight-line basis over each asset’s useful life. The Company anticipates the estimated useful lives of its assets by class as follows:


Buildings and improvements						15 – 40 years
Tenant improvements						Shorter of lease term or expected useful life
Furniture, fixtures, and equipment						3 – 10 years

Allocation of Purchase Price of Real Estate

Upon the acquisition of real properties, the Company evaluates whether the acquisition is a business combination or an asset acquisition. For both business combinations and asset acquisitions the Company allocates the purchase price of properties to acquired tangible assets, consisting of land, buildings and improvements, and acquired intangible assets and liabilities, consisting of the value of above-market and below-market leases and the value of in-place leases. For asset acquisitions, the Company capitalizes transaction costs and allocates the purchase price using a relative fair value method allocating all accumulated costs. For business combinations, the Company expenses transaction costs incurred and allocates the purchase price based on the estimated fair value of each separately identifiable asset and liability. For the year ended December 31, 2021, all of the Company's acquisitions were determined to be asset acquisitions. See Note 3—"Acquisitions and Dispositions" for additional information. Acquisition fees and costs associated with transactions determined to be asset acquisitions are capitalized in total real estate, net, acquired intangible assets and acquired intangible liabilities in the accompanying consolidated balance sheets.

The fair values of the tangible assets of an acquired property (which includes land, buildings and improvements) are determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to land and buildings and improvements based on management’s determination of the relative fair value of these assets. Management determines the as-if-vacant fair value of a property using methods similar to those used by independent appraisers. Factors considered by management in performing these analyses include an estimate of carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases, including leasing commissions and other related costs. In estimating carrying costs, management includes real estate taxes, insurance, and other operating expenses during the expected lease-up periods based on current market conditions.

The fair values of above-market and below-market in-place leases are recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between: (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) an estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining non-cancelable term of the lease including any fixed rate bargain renewal periods, with respect to a below-market lease. The above-market and below-market lease values are capitalized as intangible lease assets or liabilities. Above-market lease values are amortized as an adjustment of rental revenue over the remaining terms of the respective leases. Below-market leases are amortized as an adjustment of rental revenue over the remaining terms of the respective leases, including any fixed rate bargain renewal periods. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of above-market and below-market lease values related to that lease would be recorded as an adjustment to rental revenue.

The fair values of in-place leases include an estimate of direct costs associated with obtaining a new tenant and opportunity costs associated with lost rentals that are avoided by acquiring an in-place lease. Direct costs associated with obtaining a new tenant include commissions, tenant improvements, and other direct costs and are estimated based on management’s consideration of current market costs to execute a similar lease. The value of opportunity costs is calculated using the contractual amounts to be paid pursuant to the in-place leases over a market absorption period for a similar lease. These lease intangibles are amortized to depreciation and amortization expense over the remaining terms of the respective leases. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of in-place lease assets relating to that lease would be expensed.

Held for Sale and Discontinued Operations

The Company classifies a real estate property as held for sale upon satisfaction of all of the following criteria: (i) management commits to a plan to sell a property; (ii) the property is available for immediate sale in its present condition, subject only to terms that are usual and customary for sales of such properties; (iii) there is an active program to locate a buyer;

(iv) the sale of the property is probable and transfer of the asset is expected to be completed within one year; (v) the property is being actively marketed for sale; and (vi) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn.

Upon the determination to classify a property as held for sale, the Company ceases depreciation and amortization on the real estate properties held for sale, as well as the amortization of acquired in-place leases and right-of-use assets. The real estate properties held for sale and associated liabilities are classified separately on the consolidated balance sheets. Such properties are recorded at the lesser of the carrying value or estimated fair value less estimated cost to sell.

As of December 31, 2021, the Company classified one land parcel that formerly contained a healthcare property as held for sale. The Company has recorded the land parcel as held for sale at its carrying value at December 31, 2021. See Note 4—"Held for Sale and Discontinued Operations" for further discussion.

The Company classifies assets and liabilities of the 29-property data center properties as discontinued operations for all periods presented because they represent a strategic shift that had a major effect on the Company's results and operations. The assets and liabilities are classified on the consolidated balance sheets as assets held for sale, net, and liabilities held for sale, net, as of December 31, 2020. As of December 31, 2021, the Company had no assets or liabilities held for sale related to the data center properties. The operations of the data center properties are classified on the consolidated statements of comprehensive income (loss) as income from discontinued operations for all years presented. On July 22, 2021, the Company completed the Data Center Sale, for an aggregate sale price of $1,320,000,000, and generated net proceeds of approximately $1,295,367,000. See Note 3—"Acquisitions and Dispositions" for additional information.

Impairment of Long-Lived Assets

The Company continually monitors events and changes in circumstances that could indicate that the carrying amounts of its real estate may not be recoverable. When indicators of potential impairment suggest that the carrying value of real estate may not be recoverable, the Company assesses the recoverability of the asset group by estimating whether the Company will recover the carrying value of the asset group through its undiscounted future cash flows and their eventual disposition. Based on this analysis, if the Company does not believe that it will be able to recover the carrying value of the asset group, the Company will record an impairment loss to the extent that the carrying value exceeds the estimated fair value of the asset group.

When developing estimates of expected future cash flows, the Company makes certain assumptions regarding future market rental rates subsequent to the expiration of current lease arrangements, property operating expenses, terminal capitalization and discount rates, probability weighting of the potential re-lease of the property versus sales scenarios, sale prices of comparable properties, required tenant improvements and the number of years the property will be held for investment. The use of alternative assumptions in the future cash flow analysis could result in a different determination of the property’s future cash flows and a different conclusion regarding the existence of an impairment, the extent of such loss, if any, as well as the carrying value of the real estate assets.

In addition, the Company estimates the fair value of the assets by applying a market approach using comparable sales for certain properties. The use of alternative assumptions in the market approach analysis could result in a different determination of the property’s estimated fair value and a different conclusion regarding the existence of an impairment, the extent of such loss, if any, as well as the carrying value of the real estate assets.

Impairment of Real Estate

During the first quarter of 2021, real estate assets related to one healthcare property were determined to be impaired. A tenant of the property that was experiencing financial difficulty vacated its space on June 19, 2020. During the fourth quarter of 2020, the Company entered into lease negotiations with a prospective tenant for the same property, but the Company did not reach an agreement with the tenant of the property. As such, the Company evaluated other strategic options for the property, including a possible sale, and in April 2021, the Company received a letter of intent from a prospective buyer. The inclusion of a potential sale scenario in the Company’s step one impairment analysis resulted in the expected future cash flows from the property to fall below its current carrying value. As a result, the carrying value of the property was reduced to its estimated fair value of $17,145,000, resulting in an impairment charge of $10,423,000. During the third quarter of 2021, the Company entered into a purchase and sale agreement with the prospective buyer. The agreement was terminated subsequently due to higher than anticipated costs to redevelop the property. As a result, the Company performed another impairment analysis with changes to the sale scenario. The aggregate carrying amount of the assets of $16,909,000 exceeded their fair value. The carrying value of the property was reduced to its estimated fair value of $6,668,000, resulting in an impairment charge of $10,241,000. The Company utilized a market approach, using comparable properties, to estimate the fair value of the property.

During the second quarter of 2021, real estate assets related to one healthcare property were determined to be impaired. The tenant of the property was experiencing financial difficulty and vacated the space in March 2021. Subsequently, during the second quarter, the Company received a letter of intent from a prospective buyer. The inclusion of this new potential sale scenario in the Company's step one impairment analysis resulted in the expected future cash flows from the property falling below its current carrying value. The Company utilized a market approach, using comparable properties, to estimate the fair value of the property. As a result, the carrying value of the property was reduced to its estimated fair value of $5,957,000, resulting in an impairment charge of $2,894,000.

Additionally, during the second quarter of 2021, real estate assets related to another healthcare property were determined to be impaired. The last of the three tenants that occupied the building terminated its lease agreement and vacated the space on July 12, 2021. Subsequently, the Company received a letter of intent from a prospective buyer. The inclusion of this new potential sale scenario in the Company's step one impairment analysis resulted in the expected future cash flows from the property to fall below its current carrying value. As a result, the carrying value of the property was reduced to its estimated fair value of $22,311,000, resulting in an impairment charge of $3,608,000.

No impairment losses were recorded on real estate assets during the year ended December 31, 2020. During the year ended December 31, 2019, real estate assets related to one previously mentioned healthcare property were determined to be impaired due to a tenant of the property experiencing financial difficulty and vacating its space, and a second tenant indicating its desire to terminate its lease early, which the Company determined would be consistent with its strategic plans for the property. The Company terminated the lease with the second tenant. As a result, the carrying value of the property was reduced to its estimated fair value of $27,266,000, resulting in an impairment charge of $13,000,000. In addition, during the year ended December 31, 2019, real estate assets related to another healthcare property were reduced to their estimated fair value of $22,412,000, resulting in an impairment charge of $8,000,000, based on a letter of intent from a prospective buyer to purchase the property.

Impairment charges are recorded as impairment loss on real estate in the consolidated statements of comprehensive income (loss). See Note 15—"Fair Value" for further discussion. All impaired properties discussed above for the years ended December 31, 2021, 2020 and 2019 were subsequently sold by the Company and no further impairment losses were recorded.

During the second quarter of 2021, the Company accelerated depreciation of equipment at one healthcare property based on its anticipated sale in July 2021. As a result, the Company accelerated the depreciation of the equipment in the amount of $296,000 in depreciation and amortization expense in the consolidated statements of comprehensive income (loss) and sold the equipment for $94,000 during the third quarter of 2021.

Impairment of Acquired Intangible Assets and Acquired Intangible Liabilities

During the year ended December 31, 2021, the Company recognized an impairment of one in-place lease intangible asset in the amount of approximately $1,120,000, by accelerating the amortization of the acquired intangible asset related to one healthcare tenant of the Company that was experiencing financial difficulties and vacated the property in March 2021. On April 5, 2021, the Company terminated its lease agreement and the tenant paid a lease termination fee of $400,000, which was recorded in rental revenue in the consolidated statements of comprehensive income (loss). During the year ended December 31, 2021, the Company did not record impairment of acquired intangible liabilities.

During the year ended December 31, 2020, the Company recognized impairments of three in-place lease intangible assets in the amount of approximately $4,693,000 and one above-market lease intangible asset in the amount of approximately $344,000, by accelerating the amortization of the acquired intangible assets. Of the $4,693,000 in-place lease intangible assets written off, $3,189,000 related to a tenant of a data center property that was experiencing financial difficulty due to deteriorating economic conditions driven by the impact of the COVID-19 pandemic and accelerating its modification of work strategy to a remote environment due to the pandemic, which was recorded in income from discontinued operations, $1,484,000 related to one healthcare tenant of the Company that was experiencing financial difficulties and vacated the property on June 19, 2020 and $20,000 as a result of a lease termination at a healthcare property. The impairment losses related to the in-place lease intangible assets of the healthcare tenants were recorded in depreciation and amortization in the consolidated statements of comprehensive income (loss). The impairment loss related to the above market lease intangible asset in the amount of $344,000 was recorded as an adjustment to rental revenue in the consolidated statements of comprehensive income (loss). During the year ended December 31, 2020, the Company wrote off one below-market lease intangible liability in the amount of approximately $1,974,000, by accelerating the amortization of the acquired intangible liability related to one tenant of the data center property discussed above, which was recorded in income from discontinued operations in the consolidated statements of comprehensive income (loss).

During the year ended December 31, 2019, the Company recognized impairments of in-place lease intangible assets in the amount of approximately $3,195,000, by accelerating the amortization of the acquired intangible assets related to two tenants of a healthcare property. During the year ended December 31, 2019, the Company wrote off one below-market lease intangible liability in the amount of approximately $212,000, by accelerating the amortization of the acquired intangible liability related to one tenant of a healthcare property.

Impairment of Goodwill

Goodwill represents the excess of the amount paid over the fair value of the identifiable tangible and intangible assets acquired and liabilities assumed in a business combination and is allocated to an entity's reporting units. Goodwill has an indefinite life and is not amortized. On September 30, 2020, the Company recorded $39,529,000 of goodwill related to the Internalization Transaction, of which $15,574,000 was allocated to the data center properties and written off as a result of the Data Center Sale on July 22, 2021. Out of $39,529,000, $23,955,000 was allocated to the healthcare segment. See Note 5—"Internalization Transaction" for details.

The Company evaluates goodwill for impairment when an event occurs or circumstances change that indicate the carrying value may not be recoverable, or at least annually. Unless circumstances otherwise dictate, the annual impairment test is performed as of the last day of each year. The Company evaluates potential triggering events that may affect the estimated fair value of the Company’s reporting units to assess whether any goodwill impairment exists. Deteriorating or adverse market conditions for certain reporting units may have a significant impact on the estimated fair value of these reporting units and could result in future impairments of goodwill. If the carrying value of a reporting unit exceeds its estimated fair value, then an impairment charge is recorded in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit.

The Company has the option to perform a qualitative assessment to determine if a quantitative impairment test is necessary. Under a qualitative assessment, the impairment analysis for goodwill represents an evaluation of whether it is more-likely-than-not the reporting unit's fair value is less than its carrying value, including goodwill. If a qualitative analysis indicates that it is more-likely-than-not that the estimated carrying value of a reporting unit, including goodwill, exceeds its fair value, the Company performs the quantitative analysis as described below.

During the first quarter of 2021, the Company recognized $240,000 of goodwill impairment. Impairment loss on real estate recorded during such period (as discussed in the "Impairment of Real Estate" section above) triggered evaluation of the reporting unit fair value for goodwill impairment. The Company's reporting unit represents each individual operating real estate property. The carrying value of long-lived assets within the reporting unit with indicators of impairment were first tested for recoverability and resulted in recognition of impairment during such period. As a result, the fair value of the reporting unit compared to its carrying value, including goodwill, was determined to be lower than its carrying value. Therefore, the Company recognized an impairment loss on goodwill in the amount of $240,000 for the amount that the carrying value of the reporting unit, including goodwill, exceeded its fair value, limited to the total amount of goodwill allocated to that reporting unit and was recorded in impairment loss on goodwill in the consolidated statements of comprehensive income (loss). Fair value of the reporting unit was determined based on a market valuation approach, using comparable sales to estimate the fair value. As of March 31, 2021, the Company did not have any goodwill associated with this healthcare reporting unit.

During the second quarter of 2021, the Company recognized $431,000 of goodwill impairment on two reporting units. Impairment loss on two real estate properties recorded during such period (as discussed in the "Impairment of Real Estate" section above) triggered evaluation of each reporting unit's fair value for goodwill impairment. As a result, the fair value of each reporting unit compared to its carrying value, including goodwill, was determined to be lower than its carrying value. Therefore, the Company recognized an impairment loss on goodwill for the two reporting units in the amounts of $112,000 and $319,000, respectively. Goodwill impairment was recorded for the amount that the carrying value of each reporting unit, including goodwill, exceeded its fair value, limited to the total amount of goodwill allocated to each reporting unit. Goodwill impairment was recorded in impairment loss on goodwill in the consolidated statements of comprehensive income (loss). Fair value of each reporting unit was determined based on a market approach model. As of June 30, 2021, the Company did not have any goodwill associated with these healthcare reporting units.

In accordance with the annual impairment test, the Company performed a qualitative analysis of each reporting unit as of December 31, 2021. The Company concluded, based on the qualitative assessment, that it is not more likely than not that the fair value of each reporting unit is less than its carrying amount. During the three months ended December 31, 2021, the Company had no impairment losses on goodwill.

The following table summarizes the rollforward of goodwill for the year ended December 31, 2021, excluding amounts classified as discontinued operations (amounts in thousands):


	Goodwill
Balance as of December 31, 2020	$	23,955
Accumulated impairment losses	(671)
Balance as of December 31, 2021	$	23,284

Deferred Financing Costs

Deferred financing costs are loan fees, legal fees and other third-party costs associated with obtaining and further modifying financing. These costs are amortized over the terms of the respective financing agreements using the effective interest method. Unamortized deferred financing costs are generally expensed when the associated debt is refinanced or repaid before maturity unless specific rules are met that would allow for the carryover of such costs to the refinanced debt. Costs incurred in seeking financing transactions that do not close are expensed in the period in which it is determined that the financing will not close. Deferred financing costs related to notes payable and the term loan portion of the credit facility are recorded as a reduction of the related debt on the accompanying consolidated balance sheets. Deferred financing costs related to a revolving line of credit are recorded in other assets, net, in the accompanying consolidated balance sheets.

Leasing Commission Fees

Leasing commission fees are fees incurred for the initial lease-up, leasing-up of newly constructed properties or re-leasing to existing tenants. Leasing commission fees are capitalized in other assets, net, in the accompanying consolidated balance sheets and amortized over the terms of the related leases in depreciation and amortization in the accompanying consolidated statements of comprehensive income (loss).

Fair Value

Accounting Standards Codification, or ASC, 820, Fair Value Measurements and Disclosures, or ASC 820, defines fair value, establishes a framework for measuring fair value in accordance with GAAP and expands disclosures about fair value measurements. ASC 820 emphasizes that fair value is intended to be a market-based measurement, as opposed to a transaction-specific measurement.

Fair value is defined by ASC 820 as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Depending on the nature of the asset or liability, various techniques and assumptions can be used to estimate the fair value. Assets and liabilities are measured using inputs from three levels of the fair value hierarchy, as follows:

Level 1—Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. An active market is defined as a market in which transactions for the assets or liabilities occur with sufficient frequency and volume to provide pricing information on an ongoing basis.

Level 2—Inputs other than quoted prices for similar assets and liabilities in active markets that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data correlation or other means (market corroborated inputs).

Level 3—Unobservable inputs, only used to the extent that observable inputs are not available, reflect the Company’s assumptions about the pricing of an asset or liability.

The following describes the methods the Company used to estimate the fair value of the Company’s financial assets and liabilities:

Cash and cash equivalents, restricted cash, tenant receivables, prepaid and other assets, accounts payable and accrued liabilities—The Company considers the carrying values of these financial instruments, assets and liabilities, to approximate fair value because of the short period of time between origination of the instruments and their expected realization.

Credit facility—Fixed Rate—The fair value is estimated by discounting the expected cash flows on the credit facility at current rates at which management believes similar borrowings would be made considering the terms and conditions of the borrowings and prevailing market interest rates.

Credit facility—Variable Rate—The fair value of the Company's variable rate credit facility is estimated based on the interest rates currently offered to the Company by financial institutions.

Derivative instruments—The Company’s derivative instruments consist of interest rate swaps. These swaps are carried at fair value to comply with the provisions of ASC 820. The fair value of these instruments is determined using interest rate

market pricing models. The Company incorporated credit valuation adjustments to appropriately reflect the Company’s nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements.

Considerable judgment is necessary to develop estimated fair values of financial assets and liabilities. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize or be liable for on disposition of the financial assets and liabilities.

See additional discussion in Note 15—"Fair Value."

Revenue Recognition, Tenant Receivables and Allowance for Uncollectible Accounts

The Company recognizes non-rental related revenue in accordance with ASC, 606, Revenue from Contracts with Customers, or ASC 606. The Company has identified its revenue streams as rental income from leasing arrangements and tenant reimbursements, which are outside the scope of ASC 606. The core principle of ASC 606 is that an entity should 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. Non-rental revenue, subject to ASC 606, is immaterial to the Company's consolidated financial statements.

The majority of the Company's revenue is derived from rental revenue, which is accounted for in accordance with ASC 842, Leases, or ASC 842. In accordance with ASC 842, rental revenue is recognized on a straight-line basis over the term of the related lease (including rent holidays). For lease arrangements when it is not probable that the Company will collect all or substantially all of the remaining lease payments under the term of the lease, rental revenue is limited to the lesser of the rental revenue that would be recognized on a straight-line basis or the lease payments that have been collected from the lessee. Differences between rental revenue recognized and amounts contractually due under the lease agreements are credited or charged to straight-line rent receivable or straight-line rent liability, as applicable. Tenant reimbursements, which are comprised of additional amounts recoverable from tenants for common area maintenance expenses and certain other recoverable expenses, are recognized when the services are provided and the performance obligations are satisfied. The Company wrote off approximately $199,000, $8,000 and $672,000 for the years ended December 31, 2021, 2020 and 2019, respectively, as a reduction in rental revenue from continuing operations in the accompanying consolidated statements of comprehensive income (loss) because the amounts were determined to be uncollectible. The Company wrote off approximately $17,000, $118,000 and $0 for the years ended December 31, 2021, 2020 and 2019, respectively, related to discontinued operations, which was recorded in income from discontinued operations in the accompanying consolidated statements of comprehensive income (loss).

On April 22, 2021, the Company entered into a settlement agreement with a data center property tenant that was experiencing financial difficulty due to deteriorating economic conditions driven by the impact of the COVID-19 pandemic and accelerating its modification of work strategy to a remote environment due to the pandemic. The tenant stopped paying rent in October 2020. Pursuant to the settlement agreement, the lease was terminated, effective immediately. The tenant surrendered the space on June 20, 2021. Additionally, in connection with the lease termination, the tenant paid the Company a $7,000,000 termination fee on April 23, 2021, which was recorded in income from discontinued operations in the accompanying consolidated statements of comprehensive income (loss) during the second quarter of 2021.

Additionally, on January 26, 2021, in connection with a lease termination with a tenant of one healthcare property that was experiencing financial difficulty and vacated its space on June 19, 2020 (as discussed above), the Company entered into a settlement agreement with the prior tenant to recover certain outstanding rental obligations due under the lease agreement. Pursuant to the settlement agreement, the prior tenant agreed to pay approximately $620,000 in total, payable on a monthly basis from January 2021 through September 2022. During the year ended December 31, 2021, the Company recovered $402,000 of settlement agreement income and recorded these amounts when received, due to uncertainty regarding collectability of the funds. Settlement agreement income was recorded in rental revenue in the accompanying consolidated statements of comprehensive income (loss).

Notes Receivable

Notes receivable are recorded at their outstanding principal balance and accrued interest, unearned income, unamortized deferred fees and costs and allowances for loan losses. The Company defers notes receivable origination costs and fees and amortizes them as an adjustment of yield over the term of the related note receivable. Amortization of the notes receivable origination costs and fees is recorded in interest and other expense, net, in the accompanying consolidated statements of comprehensive income (loss).

The Company evaluates the collectability of both interest and principal on each note receivable to determine whether it is collectable, primarily through the evaluation of credit quality indicators, such as the tenant's financial condition, collateral, evaluations of historical loss experience, current economic conditions and other relevant factors, including contractual terms of repayments. Evaluating a note receivable for potential impairment requires management to exercise judgment. The use of alternative assumptions in evaluating a note receivable could result in a different determination of the note's estimated fair value

and a different conclusion regarding the existence of an impairment, the extent of such loss, if any, as well as the carrying value of the note receivable.

Concentration of Credit Risk and Significant Leases

As of December 31, 2021, the Company had cash on deposit, including restricted cash, in certain financial institutions that had deposits in excess of current federally insured levels. The Company limits its cash investments to financial institutions with high credit standings; therefore, the Company believes it is not exposed to any significant credit risk on its cash deposits. To date, the Company has not experienced a loss or lack of access to cash in its accounts.

As of December 31, 2021, the Company owned real estate investments in two µSAs and 54 MSAs, one MSA of which accounted for 10.0% or more of rental revenue from continuing operations for the year ended December 31, 2021. Real estate investments located in the Houston-The Woodlands-Sugar Land, Texas MSA accounted for 11.8% of rental revenue from continuing operations for the year ended December 31, 2021

As of December 31, 2021, the Company had one exposure to tenant concentration that accounted for 10.0% or more of rental revenue from continuing operations for the year ended December 31, 2021. The leases with tenants at healthcare properties under common control of Post Acute Medical, LLC and affiliates accounted for 16.2% of rental revenue from continuing operations for the year ended December 31, 2021.

Share Repurchase Program

The Company’s share repurchase program, or SRP, allows for repurchases of shares of the Company’s common stock upon meeting certain criteria. The SRP provides that all repurchases during any calendar year, including those redeemable upon death or a "Qualifying Disability" as defined in the Company's SRP of a stockholder, be limited to those that can be funded with equivalent proceeds raised from the DRIP during the prior calendar year and other operating funds, if any, as the Board, in its sole discretion, may reserve for this purpose.

Repurchases of shares of the Company’s common stock are at the sole discretion of the Board, provided, however, that the Company limits the number of shares repurchased during any calendar year to 5.0% of the number of shares of common stock outstanding as of December 31st of the previous calendar year. Subject to the terms and limitations of the SRP, including, but not limited to, quarterly share limitations, an annual 5.0% share limitation and DRIP funding limitations and any amendments to the plan, as more fully described below, the SRP has been generally available to any stockholder as a potential means of interim liquidity. In addition, the Board, in its sole discretion, may suspend (in whole or in part) the SRP at any time, and may amend, reduce, terminate or otherwise change the SRP upon 30 days' prior notice to the Company’s stockholders for any reason it deems appropriate.

The Company will currently only repurchase shares due to death and involuntary exigent circumstances in accordance with the SRP, subject in each case to the terms and limitations of the SRP, including, but not limited to, quarterly share limitations, an annual 5.0% share limitation, and DRIP funding limitations. Under the SRP, the Company may waive certain of the terms and requirements of the SRP in the event of the death of a stockholder who is a natural person, including shares held through an Individual Retirement Account or other retirement or profit-sharing plan, and certain trusts meeting the requirements of the SRP. The Company may also waive certain of the terms and requirements of the SRP in the event of an involuntary exigent circumstance, as determined by the Company or any of the executive officers thereof, in its or their sole discretion. See Part II, Item 5. "Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities" for more information on the Company's SRP.

During the year ended December 31, 2021, the Company repurchased 1,133,901 Class A shares, Class I shares and Class T shares of common stock (1,055,054 Class A shares, 11,836 Class I shares and 67,011 Class T shares), or 0.51% of shares outstanding as of December 31, 2020, for an aggregate purchase price of approximately $9,528,000 (an average of $8.40 per share). During the year ended December 31, 2020, the Company repurchased 3,408,870 Class A shares, Class I shares, Class T shares and Class T2 shares of common stock (2,666,674 Class A shares, 408,346 Class I shares, 298,224 Class T shares and 35,626 Class T2 shares), or 1.54% of shares outstanding as of December 31, 2019, for an aggregate purchase price of approximately $29,487,000 (an average of $8.65 per share). During the year ended December 31, 2019, the Company repurchased 2,557,298 Class A shares, Class I shares, Class T shares and Class T2 shares of common stock (1,910,894 Class A shares, 189,947 Class I shares, 451,058 Class T shares and 5,399 Class T2 shares), or 1.87% of shares outstanding as of December 31, 2018, for an aggregate purchase price of approximately $23,655,000 (an average of $9.25 per share).

Distribution Policy and Distributions Payable

In order to maintain its status as a REIT, the Company is required to make distributions each taxable year equal to at least 90% of its REIT taxable income, computed without regard to the dividends paid deduction and excluding capital gains. To the extent funds are available, the Company intends to continue to pay regular distributions to stockholders. Distributions are paid to stockholders of record as of the applicable record dates. Distributions are payable to stockholders from legally available

funds therefor. The Company declared distributions per share of common stock in the amounts of $2.19, $0.48 and $0.58 for the years ended December 31, 2021, 2020 and 2019, respectively. The distributions declared for the year ended December 31, 2021, includes a special cash distribution of $1.75 per share of Class A, Class I, Class T and Class T2 shares of common stock. The special cash distribution was funded with the proceeds from the Data Center Sale. The special cash distribution was paid on July 30, 2021 to stockholders of record at the close of business on July 26, 2021. As of December 31, 2021, the Company had distributions payable of approximately $7,355,000. Of these distributions payable, approximately $5,371,000 was paid in cash and approximately $1,984,000 was reinvested in shares of common stock pursuant to the DRIP on January 7, 2022. Distributions to stockholders are determined by the board of directors of the Company and are dependent upon a number of factors, including funds available for the payment of distributions, financial condition, the timing of property acquisitions, capital expenditure requirements, and annual distribution requirements in order to maintain the Company’s status as a REIT under the Code. See Note 22—"Subsequent Events" for further discussion.

Stock-based Compensation

On March 6, 2020, the Board approved the Amended and Restated 2014 Restricted Share Plan, or the A&R Incentive Plan, pursuant to which the Company has the authority and power to grant awards of restricted shares of its Class A common stock to its directors, officers and employees. The Company accounts for its stock awards in accordance with ASC 718-10, Compensation—Stock Compensation. ASC 718-10 requires that compensation cost for all stock awards be calculated and amortized over the service period (generally equal to the vesting period). For performance-based awards, compensation costs are recognized over the service period if it is probable that the performance condition will be satisfied, with changes of the assessment at each reporting period and recording the effect of the change in the compensation cost as a cumulative catch-up adjustment. The compensation costs for restricted stock are recognized based on the fair value of the restricted stock awards at grant date less forfeitures (if applicable). Forfeitures are accounted for as they occur. See Note 18—"Stock-based Compensation" for further information on the Company's stock-based compensation.

Earnings Per Share

The Company calculates basic earnings per share by dividing net income attributable to common stockholders for the period by the weighted average shares of its common stock outstanding for that period. Diluted earnings per share are computed based on the weighted average number of shares outstanding and all potentially dilutive securities. Shares of non-vested restricted common stock and performance-based deferred stock unit awards, or Performance DSUs, give rise to potentially dilutive shares of common stock. For the year ended December 31, 2021, diluted earnings per share reflected the effect of approximately 968,000 of non-vested shares of restricted common stock and Performance DSUs that were outstanding. For the year ended December 31, 2020, diluted earnings per share reflected the effect of approximately 186,000 of non-vested shares of restricted common stock that were outstanding. For the year ended December 31, 2019, diluted earnings per share was computed the same as basic earnings per share because the Company recorded a loss from continuing operations, which would make potentially dilutive shares of 24,000 related to non-vested shares of restricted common stock antidilutive.

Reportable Segments

ASC 280, Segment Reporting, establishes standards for reporting financial and descriptive information about an entity’s reportable segments. As of December 31, 2021 and December 31, 2020, 100% of the Company's consolidated revenues from continuing operations were generated from real estate investments in healthcare properties. The Company’s chief operating decision maker evaluates operating performance of healthcare properties on an individual property level, which are aggregated into one reportable business segment due to their similar economic characteristics.

In accordance with the definition of discontinued operations, the Company's decision to sell the properties in the data centers segment represented a strategic shift that had a major effect on the Company's results and operations and assets and liabilities for the periods presented. As a result of the Data Center Sale, the Company no longer has a data centers segment. All activities related to the previously reported data centers segment have been classified as discontinued operations. The assets and liabilities related to discontinued operations are separately classified on the consolidated balance sheet as of December 31, 2020, as assets held for sale, net, and liabilities held for sale, net. As of December 31, 2021, the Company had no assets or liabilities held for sale related to the data center properties. The operations of the data center properties have been classified as income from discontinued operations on the consolidated statements of comprehensive income (loss) for the years ended December 31, 2021, 2020 and 2019.

Derivative Instruments and Hedging Activities

As required by ASC 815, Derivatives and Hedging, or ASC 815, the Company records all derivative instruments at fair value as assets and liabilities on its consolidated balance sheets. The accounting for changes in the fair value of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and further, on the type of hedging relationship. For those derivative instruments that are designated and qualify as hedging instruments, a company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge or a hedge of a

net investment in a foreign operation.

In accordance with the fair value measurement guidance Accounting Standards Update, or ASU, 2011-04, Fair Value Measurement, the Company made an accounting policy election to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio.

The Company is exposed to variability in expected future cash flows that are attributable to interest rate changes in the normal course of business. The Company’s primary strategy in entering into derivative contracts is to add stability to future cash flows by managing its exposure to interest rate movements. The Company utilizes derivative instruments, including interest rate swaps, to effectively convert some of its variable rate debt to fixed rate debt. The Company does not enter into derivative instruments for speculative purposes.

In accordance with ASC 815, the Company designates interest rate swap contracts as cash flow hedges of floating-rate borrowings. For derivative instruments that are designated and qualify as cash flow hedges, the gains or losses on the derivative instruments are reported as a component of other comprehensive income (loss) in the consolidated statements of comprehensive income (loss) and are reclassified into earnings in the same line item associated with the forecasted transaction in the same period during which the hedged transactions affect earnings. See additional discussion in Note 16—"Derivative Instruments and Hedging Activities."

Income Taxes

The Company currently qualifies and is taxed as a REIT under Sections 856 through 860 of the Code. Accordingly, it will generally not be subject to corporate U.S. federal or state income tax to the extent that it makes qualifying distributions to stockholders, and provided it satisfies, on a continuing basis, through actual investment and operating results, the REIT requirements, including certain asset, income, distribution and stock ownership tests. If the Company fails to qualify as a REIT, and does not qualify for certain statutory relief provisions, it would be subject to U.S. federal, state and local income taxes and may be precluded from qualifying as a REIT for the subsequent four taxable years following the year in which it lost its REIT qualification, unless the Internal Revenue Service grants the Company relief under certain statutory provisions. Accordingly, failure to qualify as a REIT could have a material adverse impact on the results of operations and amounts available for distribution to stockholders.

The dividends paid deduction of a REIT for qualifying dividends paid to its stockholders is computed using the Company’s taxable income as opposed to net income reported in the consolidated financial statements. Taxable income, generally, will differ from net income reported in the consolidated financial statements because the determination of taxable income is based on tax provisions and not financial accounting principles.

The Company has concluded that there was no impact related to uncertain tax positions from results of operations of the Company for the years ended December 31, 2021, 2020 and 2019. The earliest tax year currently subject to examination is 2018.

Recently Adopted Accounting Pronouncements

Reference Rate Reform

In March 2020, the Financial Accounting Standards Board issued ASU 2020-04, Reference Rate Reform (ASC 848), or ASU 2020-04. ASU 2020-04 contains practical expedients for reference rate reform related activities that impact debt, leases, derivatives and other contracts. The guidance in ASU 2020-04 is optional and may be elected over time through December 31, 2022, as reference rate reform activities occur. During the year ended December 31, 2021, the Company has elected to apply the hedge accounting expedients related to probability and the assessments of effectiveness for future LIBOR-indexed cash flows to assume that the index upon which future hedged transactions will be based matches the index on the corresponding derivatives. The Company has subsequently elected to apply additional expedients related to contract modifications, changes in critical terms, and updates to the designated hedged risks as qualifying changes have been made to applicable debt and derivative contracts. Application of these expedients preserves the presentation of derivatives consistent with past presentation. The Company continues to evaluate the impact the guidance may have on its consolidated financial statements and may apply other elections, as applicable, as additional changes in the market occur.

Reclassifications

Certain prior period amounts have been reclassified to conform to the current financial statement presentation, with no effect on the Company’s consolidated financial position or consolidated statement of comprehensive income. The Company's assets and liabilities related to the land held for sale attributable to one land parcel that formerly contained a healthcare property are classified as assets held for sale, net, and liabilities held for sale, net, on the consolidated balance sheets as of December 31, 2021. The Company's assets and liabilities related to the data center properties are classified as assets held for sale, net, and liabilities held for sale, net, on the consolidated balance sheet as of December 31, 2020. As of December 31, 2021, the

Company had no assets or liabilities held for sale related to the data center properties. Additionally, operations of the data center properties are classified as income from discontinued operations on the consolidated statements of comprehensive income (loss) for all years presented.

Acquisitions and Dispositions

12 Months Ended

Dec. 31, 2021

Real Estate [Abstract]

Acquisitions and Dispositions

2021 Real Estate Property Acquisitions

During the year ended December 31, 2021, the Company purchased four real estate properties and two undeveloped land parcels, or the 2021 Acquisitions, which were determined to be asset acquisitions. Upon the completion of the 2021 Acquisitions, the Company allocated the purchase price to acquired tangible assets, consisting of land, building and improvements and tenant improvements, acquired intangible assets, consisting of in-place leases, and acquired intangible liabilities, consisting of below-market leases, based on the relative fair value method of allocating all accumulated costs.

The following table summarizes the consideration transferred for the 2021 Acquisitions during the year ended December 31, 2021:


Property Description	Date Acquired	Ownership Percentage	Purchase Price (amount in thousands)
Greenwood Healthcare Facility	04/19/2021	100%	$	25,048
Clive Healthcare Facilities (1)	12/08/2021	100%	46,424
Total			$	71,472

(1) The Clive Healthcare Facilities consists of three healthcare properties and two undeveloped land parcels.

The following table summarizes the Company's purchase price allocation of the 2021 Acquisitions during the year ended December 31, 2021 (amounts in thousands):


	Total
Land	$	6,242
Buildings and improvements	59,166
Tenant improvements	1,482
In-place leases	6,895
Total assets acquired	73,785
Below-market leases	(2,313)
Total liabilities acquired	(2,313)
Net assets acquired	$	71,472

Acquisition costs associated with transactions determined to be asset acquisitions are capitalized. The Company capitalized acquisition costs of approximately $231,000 related to the 2021 Acquisitions, which are included in the Company's allocation of the real estate acquisitions presented above. The total amount of all acquisition costs is limited to 6.0% of the contract purchase price of a property, unless the Board determines a higher transaction fee to be commercially competitive, fair and reasonable to the Company. The contract purchase price is the amount actually paid or allocated in respect of the purchase, development, construction or improvement of a property exclusive of acquisition costs. During the year ended December 31, 2021, acquisition costs did not exceed 6.0% of the contract purchase price of the 2021 Acquisitions during such period.

2021 Real Estate Property Dispositions

Dispositions - Discontinued Operations

As discussed in Note 2—"Summary of Significant Accounting Policies - Held for Sale and Discontinued Operations," the Data Center Sale qualifies as discontinued operations and the operations associated with the related assets have been included in discontinued operations on the consolidated statements of comprehensive income (loss) for all periods presented.

On July 22, 2021, the Company completed the Data Center Sale for an aggregate sale price of $1,320,000,000, and generated net proceeds of approximately $1,295,367,000. The Company recognized an aggregate gain on sale of approximately $395,801,000 and recorded it as a part of income from discontinued operations in the consolidated statements of comprehensive income (loss) for the year ended December 31, 2021.

Dispositions - Continuing Operations

The Company sold two healthcare properties, or the 2021 Dispositions, during the year ended December 31, 2021, for an aggregate sale price of $13,120,000 and generated net proceeds of $12,642,000. For the year ended December 31, 2021, the Company recognized an aggregate gain on sale of $89,000 in gain on real estate dispositions in the consolidated statements of comprehensive income (loss).

The following table summarizes the 2021 Dispositions that qualify as continuing operations. The operations related to these assets have been included in continuing operations on the consolidated statements of comprehensive income (loss).


Property Description	Disposition Date	Sale Price (amounts in thousands)		Net Proceeds (amounts in thousands)
St. Louis Healthcare Facility	10/21/2021	$	6,120	$	5,973
Grapevine Healthcare Facility	12/22/2021	7,000		6,669
Total		$	13,120	$	12,642

Held for Sale and Discontinued Operations

12 Months Ended

Dec. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

Held for Sale and Discontinued Operations

The assets and liabilities related to the 29 data center properties are separately classified on the consolidated balance sheets as of December 31, 2020, as assets held for sale, net, and liabilities held for sale, net. As of December 31, 2021, the Company had no assets or liabilities held for sale related to the data center properties. The operations of the data center properties have been classified as income from discontinued operations on the consolidated statements of comprehensive income (loss) for the years ended December 31, 2021, 2020 and 2019.

On August 30, 2021, the Company entered into a purchase and sale agreement for the sale of a healthcare property that was vacant. The purchase and sale agreement contained a clause that the structures on the healthcare property had to be demolished prior to the sale. The structures on the property were demolished and the property consisted solely of land as of December 31, 2021. The Company classified the land as held for sale as of December 31, 2021, because the land met the held for sale criteria as outlined in Note 2—"Summary of Significant Accounting Policies -Held for Sale and Discontinued Operations." The Company sold the land attributable to the healthcare property on February 10, 2022. See Note 22—"Subsequent Events" for additional information.

The following table presents the major classes of assets and liabilities of 29 data center properties, which were sold on July 22, 2021, and one land parcel classified as held for sale that formerly contained a healthcare property classified as assets and liabilities held for sale, net, presented separately in the consolidated balance sheets as of December 31, 2021 and 2020 (amounts in thousands):


	December 31, 2021			December 31, 2020
Assets:
Real estate:
Land	$	22,241		$	166,709
Buildings and improvements, net	—			677,563
Total real estate, net	22,241		(1)	844,272
Acquired intangible assets, net	—			48,860
Goodwill	—			15,574
Right-of-use assets - operating leases	—			7,252

Other assets, net	329		(1)	43,792		(2)
Assets held for sale, net	$	22,570		$	959,750
Liabilities:
Notes payable, net	$	—		$	304,972
Accounts payable and other liabilities	698		(1)	12,300		(3)
Acquired intangible liabilities, net	—			40,589
Operating lease liabilities	—			8,124
Liabilities held for sale, net	$	698		$	365,985

(1) Amounts attributable to one land parcel classified as held for sale that formerly contained a healthcare property as of December 31, 2021, that did not meet the criteria of discontinued operations. The property was demolished and consisted of land as of December 31, 2021. The Company sold the land attributable to the healthcare property on February 10, 2022.

(2) Primarily consists of straight-line rent receivable, net, leasing commissions, net, and restricted cash.

(3) Primarily consists of accounts payable and accrued expenses, accrued property taxes, deferred rental income and derivative liabilities.

The operations reflected in income from discontinued operations on the consolidated statements of comprehensive income (loss) for the years ended December 31, 2021, 2020 and 2019, were as follows (amounts in thousands):


	Year Ended December 31,
		2021		2020		2019
Revenue:
Rental revenue		$	57,903	$	110,755	$	109,689
Lease termination revenue		7,075		—		—
Total revenue		64,978		110,755		109,689
Expenses:
Rental expenses		15,737		28,346		30,270


Asset management fees		—		5,310		7,053
Depreciation and amortization		11,759		35,634		34,127


Total expenses		27,496		69,290		71,450
Interest and other expense, net (1)		31,839		13,626		13,651
Income from discontinued operations		5,643		27,839		24,588
Gain on real estate dispositions		395,801		—		—
Net income from discontinued operations attributable to common stockholders		$	401,444	$	27,839	$	24,588

(1) Interest expense attributable to discontinued operations was $31,856,000, $13,741,000 and $13,741,000 for the years ended December 31, 2021, 2020 and 2019, respectively, which related to notes payable on certain data center properties. On July 22, 2021, in connection with the disposition of and proceeds received from the data center properties, the Company paid off all data center and healthcare related notes payable, with an outstanding principal balance of $450,806,000 at the time of repayment and incurred approximately $23,738,000 of debt extinguishment costs related to the data centers. See Note 12—"Notes Payable" for additional information.

Capital expenditures on a cash basis for the year ended December 31, 2021, 2020 and 2019, were $2,763,000, $3,945,000 and $6,977,000, respectively, related to properties classified within discontinued operations.

There were no significant non-cash operating or investing activities for the properties classified within discontinued operations for the year ended December 31, 2021. Significant non-cash operating activities for properties classified within discontinued operations were $764,000 for the year ended December 31, 2020, which related to accrued utilities. There were no significant non-cash investing activities for the properties classified within discontinued operations for the year ended December 31, 2020. Significant non-cash operating activities for properties classified within discontinued operations were $944,000 for the year ended December 31, 2019, which primarily related to accounts payable, accrued expenses and tenant reimbursement liabilities. There were no significant non-cash investing activities for the properties classified within discontinued operations for the year ended December 31, 2019.

Internalization Transaction

12 Months Ended

Dec. 31, 2021

Business Combinations [Abstract]

Internalization Transaction

Overview

On July 28, 2020, the Company and the Operating Partnership entered into the Purchase Agreement, to effectively provide for the internalization of the Company’s external management functions. The Purchase Agreement was entered into with the Former Advisor, and various affiliates of the Former Advisor, or the Sellers, and Sila Realty Management Company, LLC, f/k/a CV Manager, LLC, a newly formed Delaware limited liability company, or Manager Sub.

The Internalization Transaction closed on September 30, 2020. A special committee comprised entirely of independent and disinterested members of the Board, negotiated the Internalization Transaction and, after consultation with its independent legal and financial advisors, determined that the Internalization Transaction was advisable, fair and reasonable to and in the Company’s best interests and on terms and conditions no less favorable to the Company than those available from unaffiliated third parties. The Company believes that the Internalization Transaction provides various benefits, including cost savings, continuity of management and further alignment of interests between management and its stockholders, as well as a potential benefit for ultimate liquidity given the preference for an internal management structure in traded equity REITs.

Under the Purchase Agreement and related agreements, immediately prior to the closing of the Internalization Transaction, the Sellers assigned to Manager Sub all of the assets necessary to operate the business of the Company and its subsidiaries, or the Business, and delegated all obligations of the Sellers in connection with the Business to Manager Sub pursuant to an assignment and acceptance agreement.

On September 30, 2020, or the Closing, under the Purchase Agreement, the Operating Partnership (i) acquired 100% of the membership interests in Manager Sub for an aggregate cash purchase price of $40,000,000, subject to certain adjustments, or the Purchase Price; and (ii) redeemed the Former Advisor’s limited partner interest (including special limited partner interest) in the Operating Partnership. The Purchase Price was paid as follows, subject to certain acceleration provisions: (i) $25,000,000 was paid at the Closing; (ii) $7,500,000 was due on March 31, 2021, and was paid on March 30, 2021; and (iii) $7,500,000 was due on March 31, 2022, and was paid on July 27, 2021, as a result of the Data Center Sale, which was considered an acceleration condition as outlined in the Purchase Agreement. The Purchase Price was recorded at fair value, net of amortization of discount in accounts payable and other liabilities in the accompanying consolidated balance sheets. As a result of the early repayment of $7,500,000 that was originally payable on March 31, 2022, the Company accelerated amortization of discount of deferred liability in the amount of $145,000 during the three months ended September 30, 2021, which was recorded in interest and other expense, net, in the accompanying consolidated statements of comprehensive income (loss).

Allocation of Purchase Price

The Internalization Transaction was accounted for as a business combination and the following table summarizes management’s allocation of the fair value of the Internalization Transaction as of September 30, 2020 (amounts in thousands):


	Total
Goodwill	$	39,529
Right-of-use assets - operating lease	1,205
Total assets acquired	40,734
Operating lease liabilities	(1,060)
Deferred internalization transaction purchase price	(14,674)
Total liabilities acquired	(15,734)
Net assets allocated at acquisition	$	25,000

Acquired Intangible Assets, Net

12 Months Ended

Dec. 31, 2021

Finite-Lived Intangible Assets, Net [Abstract]

Acquired Intangible Assets, Net

Acquired intangible assets, net, excluding assets held for sale, net, consisted of the following as of December 31, 2021 and 2020 (amounts in thousands, except weighted average remaining life amounts):


	December 31, 2021		December 31, 2020
In-place leases, net of accumulated amortization of $66,579 and $47,312, respectively (with a weighted average remaining life of 9.5 years and 10.5 years, respectively)	$	168,012	$	182,340
Above-market leases, net of accumulated amortization of $4,488 and $2,554, respectively (with a weighted average remaining life of 8.8 years and 9.9 years, respectively)	13,627		15,561
	$	181,639	$	197,901

The aggregate weighted average remaining life of the acquired intangible assets was 9.5 years and 10.5 years as of December 31, 2021 and 2020, respectively.

Amortization of the acquired intangible assets was $23,157,000, $23,876,000 and $13,556,000 for the years ended December 31, 2021, 2020 and 2019, respectively. Of the $23,157,000 recorded for the year ended December 31, 2021, $1,120,000 was attributable to accelerated amortization due to the impairment of one in-place lease intangible asset. Of the $23,876,000 recorded for the year ended December 31, 2020, $1,848,000 was attributable to accelerated amortization due to the impairment of two in-place lease intangible assets and one above-market lease intangible asset. Of the $13,556,000 recorded for the year ended December 31, 2019, $3,195,000 was attributable to accelerated amortization due to the impairment of two in-place lease intangible assets. Amortization of the in-place leases is included in depreciation and amortization and amortization of above-market leases is recorded as an adjustment to rental revenue in the accompanying consolidated statements of comprehensive income (loss).

Estimated amortization expense on the acquired intangible assets as of December 31, 2021, for each of the next five years ending December 31 and thereafter, is as follows (amounts in thousands):


Year	Amount
2022	$	22,633
2023	21,841
2024	20,816
2025	18,827
2026	16,978
Thereafter	80,544
	$	181,639

Acquired Intangible Liabilities, Net

12 Months Ended

Dec. 31, 2021

Intangible Lease Liabilities, Net [Abstract]

Acquired Intangible Liabilities, Net

Acquired intangible liabilities, net, excluding liabilities held for sale, net, consisted of the following as of December 31, 2021 and 2020 (amounts in thousands, except weighted average remaining life amounts):


	December 31, 2021		December 31, 2020
Below-market leases, net of accumulated amortization of $4,444 and $3,122, respectively (with a weighted average remaining life of 9.3 years and 10.1 years, respectively)	$	12,962	$	11,971

Amortization of the below-market leases was $1,322,000, $1,207,000 and $919,000 for the years ended December 31, 2021, 2020 and 2019, respectively. Of the $919,000 recorded for the year ended December 31, 2019, $212,000 was attributable to accelerated amortization due to the impairment of one below-market lease intangible liability. Amortization of below-market leases is recorded as an adjustment to rental revenue in the accompanying consolidated statements of comprehensive income (loss).

Estimated amortization of the acquired intangible liabilities as of December 31, 2021, for each of the next five years ending December 31 and thereafter, are as follows (amounts in thousands):


Year	Amount
2022	$	1,456
2023	1,456
2024	1,456
2025	1,456
2026	1,438
Thereafter	5,700
	$	12,962

Leases

12 Months Ended

Dec. 31, 2021

Leases [Abstract]

Leases

Lessor

Rental Revenue

The Company’s real estate properties are leased to tenants under operating leases with varying terms. Typically, the leases have provisions to extend the terms of the lease agreements. The Company retains substantially all of the risks and benefits of ownership of the real estate properties leased to tenants.

Future rent to be received from the Company's investments in real estate assets under the terms of non-cancellable operating leases in effect as of December 31, 2021, for each of the next five years ending December 31 and thereafter, are as follows (amounts in thousands):


Year	Amount
2022	$	159,125
2023	161,891
2024	161,971
2025	157,817
2026	150,850
Thereafter	951,470
Total (1)	$	1,743,124

(1)The total future rent amount of $1,743,124,000 includes approximately $16,476,000 in rent to be received in connection with two leases executed as of December 31, 2021, at one development property that had lease commencement dates of March 1, 2022 and June 1, 2022, respectively.

Lessee

The Company is subject to various non-cancellable operating and finance lease agreements, inclusive of 15 ground operating leases, one corporate-related operating lease, one ground finance lease and one office lease related to the Company’s former principal executive office in Tampa, Florida, or the Corporate Lease. On January 22, 2022, the Company's rent commenced on an operating lease agreement for its new principal executive office in Tampa, Florida. See Note 22—"Subsequent Events" for additional information. Of the 15 ground operating leases, four do not have corresponding operating lease liabilities because the Company did not have future payment obligations at the acquisition of these leases.

The Company has one non-cancellable lease agreement that is classified as a finance lease, as defined in ASC 842, Leases, related to a ground lease of a healthcare property. Ground lease expenses for finance lease payments are recognized as amortization expense of the ROU asset - finance lease and interest expense on the finance lease liability over the lease term.

The Company's operating leases and finance lease do not provide an implicit interest rate. In order to calculate the present value of the remaining operating and finance lease payments, the Company used incremental borrowing rates, or IBRs, adjusted for a number of factors. The determination of an appropriate IBR involves multiple inputs and judgments. The Company determined its IBRs considering the general economic environment, the Company's credit rating and various financing and asset specific adjustments to ensure the IBRs are appropriate for the intended use of the underlying operating or finance lease.

During the year ended December 31, 2021, the Company entered into a corporate-related operating lease agreement for an aggregate present value of future rent payments of $625,000, which was recorded in right-of-use assets - operating leases on the

consolidated balance sheets. As of December 31, 2021, the aggregate present value of future rent payments on the corporate-related operating lease agreement was $602,000.

As of December 31, 2021, the Company's IBRs for its operating leases were between 2.5% and 6.4%, with a weighted average IBR of 5.4%. The weighted average remaining lease term for the Company's operating leases attributable to continuing operations was 36.1 years and 38.0 years as of December 31, 2021 and 2020, respectively.

As of December 31, 2021, the Company's IBR for its finance lease was 5.3%. The remaining lease term for the Company's finance lease was 42.4 years and 43.4 years as of December 31, 2021 and 2020, respectively.

The future rent payments, discounted by the Company's incremental borrowing rates, under non-cancellable leases in effect as of December 31, 2021, for each of the next five years ending December 31 and thereafter, are as follows (amounts in thousands):


Year	Operating		Finance
2022	$	1,671	$	136
2023	1,854		136
2024	1,921		141
2025	1,941		143
2026	1,888		143
Thereafter	67,456		6,441
Total undiscounted rental payments (1)	76,731		7,140
Less imputed interest (1)	(52,973)		(4,504)
Total lease liabilities	$	23,758	$	2,636

(1)The total undiscounted rental payments for operating leases of $76,731,000 and total imputed interest for operating leases of $52,973,000 includes approximately $3,857,000 in rental payments to be made in connection with the Company's new principal executive office that had a lease commencement date of January 22, 2022. See See Note 22—"Subsequent Events" for additional information.

The following table provides details of the Company's total lease costs and reimbursements for the years ended December 31, 2021, 2020 and 2019 (amounts in thousands):


		Year Ended December 31,
	Location in Consolidated Statements of Comprehensive Income (Loss)		2021		2020		2019
Operating lease costs:
Ground lease costs	Rental expenses		$	1,690	$	1,687	$	508
Ground lease reimbursements (1)	Rental revenue		1,194		1,191		368
Ground lease costs (2)	Income from discontinued operations		414		880		880
Ground lease reimbursements (1),(2)	Income from discontinued operations		230		413		413
Corporate lease costs	General and administrative expenses		1,063		264		—
Corporate-related operating lease costs	General and administrative expenses		66		—		—
Finance lease costs:
Amortization of right-of-use asset	Depreciation and amortization		$	19	$	7	$	—
Interest on lease liability	Interest and other expense, net		137		47		—

(1)The Company is reimbursed by tenants who sublease the ground leases.

(2)Amounts relate to lease costs and reimbursements attributable to two operating ground leases related to data center properties disposed of in the Data Center Sale on July 22, 2021.

Leases

Lessor

Rental Revenue

The Company’s real estate properties are leased to tenants under operating leases with varying terms. Typically, the leases have provisions to extend the terms of the lease agreements. The Company retains substantially all of the risks and benefits of ownership of the real estate properties leased to tenants.

Future rent to be received from the Company's investments in real estate assets under the terms of non-cancellable operating leases in effect as of December 31, 2021, for each of the next five years ending December 31 and thereafter, are as follows (amounts in thousands):


Year	Amount
2022	$	159,125
2023	161,891
2024	161,971
2025	157,817
2026	150,850
Thereafter	951,470
Total (1)	$	1,743,124