fr-20200930

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_______________________________

Form 10-Q

_______________________________


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2020


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number: 1-13102 (First Industrial Realty Trust, Inc.)

333-21873 (First Industrial, L.P.)

_______________________________

FIRST INDUSTRIAL REALTY TRUST, INC.

FIRST INDUSTRIAL, L.P.

(Exact name of Registrant as specified in its Charter)

First Industrial Realty Trust, Inc.

Maryland

36-3935116

First Industrial, L.P.

Delaware

36-3924586

(State or other jurisdiction of
incorporation or organization)

(I.R.S. Employer
Identification No.)

1 N. Wacker Drive, Suite 4200

Chicago, Illinois, 60606

(Address of principal executive offices, zip code)

(312) 344-4300

(Registrant's telephone number, including area code)

_______________________________

Title of each class:

Trading Symbol(s):

Name of each exchange on which registered:

Common Stock, par value $.01 per share

New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

First Industrial Realty Trust, Inc.

Yes

☑

☐

First Industrial, L.P.

Yes

☑

☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

First Industrial Realty Trust, Inc.

Yes

☑

☐

First Industrial, L.P.

Yes

☑

☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

First Industrial Realty Trust, Inc.:

Large accelerated filer

☑

Accelerated filer

☐

Non-accelerated filer

☐

(Do not check if a smaller reporting company)

Smaller reporting company

☐

Emerging growth company

☐

First Industrial, L.P.:

Large accelerated filer

☐

Accelerated filer

☑

Non-accelerated filer

☐

(Do not check if a smaller reporting company)

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

First Industrial Realty Trust, Inc.

Yes

☐

First Industrial, L.P.

Yes

☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

First Industrial Realty Trust, Inc.

Yes

☐

☑

First Industrial, L.P.

Yes

☐

☑

At October 23, 2020, 129,050,312 shares of First Industrial Realty Trust, Inc.'s Common Stock, $0.01 par value, were outstanding.

EXPLANATORY NOTE

This report combines the Quarterly Reports on Form 10-Q for the period ended September 30, 2020 of First Industrial Realty Trust, Inc., a Maryland corporation (the "Company"), and First Industrial, L.P., a Delaware limited partnership (the "Operating Partnership"). Unless stated otherwise or the context otherwise requires, the terms "we," "our" and "us" refer to the Company and its subsidiaries, including the Operating Partnership and its consolidated subsidiaries.

The Company is a real estate investment trust and the general partner of the Operating Partnership. At September 30, 2020, the Company owned an approximate 97.9% common general partnership interest in the Operating Partnership. The remaining approximate 2.1% common limited partnership interests in the Operating Partnership are owned by limited partners. The limited partners of the Operating Partnership are persons or entities who contributed their direct or indirect interests in properties to the Operating Partnership in exchange for common units of limited partnership interests in the Operating Partnership and recipients of RLP Units (See Note 6) of the Operating Partnership pursuant to the Company's stock incentive plan. As the sole general partner of the Operating Partnership, the Company exercises exclusive and complete discretion over the Operating Partnership's day-to-day management and control and can cause it to enter into certain major transactions, including acquisitions, dispositions and refinancings. The management of the Company consists of the same members as the management of the Operating Partnership.

The Company and the Operating Partnership are managed and operated as one enterprise. The financial results of the Operating Partnership are consolidated into the financial statements of the Company. The Company has no significant assets other than its investment in the Operating Partnership. Substantially all of the Company's assets are held by, and its operations are conducted through, the Operating Partnership and its subsidiaries. Therefore, the assets and liabilities of the Company and the Operating Partnership are substantially the same.

We believe it is important to understand the differences between the Company and the Operating Partnership in the context of how the Company and the Operating Partnership operate as an interrelated, consolidated company. The main areas of difference between the consolidated financial statements of the Company and those of the Operating Partnership are:

•Stockholders' Equity, Noncontrolling Interest and Partners' Capital. The 2.1% equity interest in the Operating Partnership held by entities other than the Company is classified within partners' capital in the Operating Partnership's financial statements and as a noncontrolling interest in the Company's financial statements.

•Relationship to Other Real Estate Partnerships. The Company's operations are conducted primarily through the Operating Partnership and its subsidiaries, although operations are also conducted through eight other limited partnerships, which are referred to as the "Other Real Estate Partnerships." The Operating Partnership is a limited partner, holding at least a 99% interest, and the Company is a general partner, holding at least a .01% general partnership interest through eight separate wholly-owned corporations, in each of the Other Real Estate Partnerships. The Other Real Estate Partnerships are variable interest entities that both the Company and the Operating Partnership consolidate. The Company's direct general partnership interest in the Other Real Estate Partnerships is reflected as noncontrolling interest within the Operating Partnership's financial statements.

•Relationship to Service Subsidiary. The Company has a direct wholly-owned subsidiary that does not own any real estate but provides services to various other entities owned by the Company. Since the Operating Partnership does not have an ownership interest in this entity, its operations are reflected in the consolidated results of the Company but not the Operating Partnership. Also, this entity owes certain amounts to the Operating Partnership, for which a receivable is included on the Operating Partnership's balance sheet but is eliminated on the Company's consolidated balance sheet, since both this entity and the Operating Partnership are fully consolidated by the Company.

We believe combining the Company's and Operating Partnership's quarterly reports into this single report results in the following benefits:

•enhances investors' understanding of the Company and the Operating Partnership by enabling them to view the business as a whole and in the same manner as management views and operates the business;

•creates time and cost efficiencies through the preparation of one combined report instead of two separate reports; and

•eliminates duplicative disclosures and provides a more streamlined and readable presentation for our investors to review since a substantial portion of the Company's disclosure applies to both the Company and the Operating Partnership.

To help investors understand the differences between the Company and the Operating Partnership, this report provides the following separate disclosures for each of the Company and the Operating Partnership:

•consolidated financial statements;

•a single set of consolidated notes to such financial statements that includes separate discussions of each entity's stockholders' equity or partners' capital, as applicable; and

•a combined Management's Discussion and Analysis of Financial Condition and Results of Operations section that includes distinct information related to each entity.

This report also includes separate Part I, Item 4, Controls and Procedures sections and separate Exhibit 31 and 32 certifications for the Company and the Operating Partnership in order to establish that the requisite certifications have been made and that the Company and the Operating Partnership are both compliant with Rule 13a-15 and Rule 15d-15 of the Securities Exchange Act of 1934, as amended, and 18 U.S.C. §1350.

FIRST INDUSTRIAL REALTY TRUST, INC. AND FIRST INDUSTRIAL, L.P.

FORM 10-Q

FOR THE PERIOD ENDED SEPTEMBER 30, 2020

INDEX


		Page
PART I: FINANCIAL INFORMATION			3
Item 1.	Financial Statements	3
	First Industrial Realty Trust, Inc.
	Consolidated Balance Sheets as of September 30, 2020 and December 31, 2019	3
	Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2020 and 2019	4
	Consolidated Statements of Comprehensive Income for the Three and Nine Months Ended September 30, 2020 and 2019	5
	Consolidated Statements of Changes in Stockholders' Equity for the Three and Nine Months Ended September 30, 2020 and 2019	6
	Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2020 and 2019	8
	First Industrial, L.P.
	Consolidated Balance Sheets as of September 30, 2020 and December 31, 2019	10
	Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2020 and 2019	11
	Consolidated Statements of Comprehensive Income for the Three and Nine Months Ended September 30, 2020 and 2019	12
	Consolidated Statements of Changes in Partners' Capital for the Three and Nine Months Ended September 30, 2020 and 2019	13
	Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2020 and 2019	15
	First Industrial Realty Trust, Inc. and First Industrial, L.P.
	Notes to the Consolidated Financial Statements	17
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	30
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	47
Item 4.	Controls and Procedures	47
PART II: OTHER INFORMATION			48
Item 1.	Legal Proceedings	48
Item 1A.	Risk Factors	48
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	49
Item 3.	Defaults Upon Senior Securities	49
Item 4.	Mine Safety Disclosures	49
Item 5.	Other Information	49
Item 6.	Exhibits	49
EXHIBIT INDEX			50
SIGNATURES			51

PART I: FINANCIAL INFORMATION


Item 1.			Financial Statements

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands, except share and per share data)


	September 30, 2020		December 31, 2019
	(Unaudited)
ASSETS
Assets:
Investment in Real Estate:
Land	$	1,092,966	$	957,478
Buildings and Improvements	2,914,457		2,782,430
Construction in Progress	86,364		90,301
Less: Accumulated Depreciation	(845,789)		(804,780)
Net Investment in Real Estate	3,247,998		3,025,429
Real Estate and Other Assets Held for Sale, Net of Accumulated Depreciation and Amortization of $1,961 and $0	2,067		—
Operating Lease Right-of-Use Assets	25,363		24,877
Cash and Cash Equivalents	171,121		21,120
Restricted Cash	—		131,598
Tenant Accounts Receivable	4,636		8,529
Investment in Joint Ventures	60,453		18,208
Deferred Rent Receivable	83,010		77,703
Deferred Leasing Intangibles, Net	23,162		28,533
Prepaid Expenses and Other Assets, Net	121,047		182,831
Total Assets	$	3,738,857	$	3,518,828
LIABILITIES AND EQUITY
Liabilities:
Indebtedness:
Mortgage Loans Payable, Net	$	155,270	$	173,685
Senior Unsecured Notes, Net	992,137		694,015
Unsecured Term Loans, Net	458,087		457,865
Unsecured Credit Facility	—		158,000
Accounts Payable, Accrued Expenses and Other Liabilities	116,491		114,637
Operating Lease Liabilities	22,953		22,369
Deferred Leasing Intangibles, Net	11,638		11,893
Rents Received in Advance and Security Deposits	60,105		57,534
Dividends and Distributions Payable	33,577		30,567
Total Liabilities	1,850,258		1,720,565
Commitments and Contingencies	—		—
Equity:
First Industrial Realty Trust Inc.'s Stockholders' Equity:
Common Stock ($0.01 par value, 225,000,000 shares authorized and 129,050,312 and 126,994,478 shares issued and outstanding)	1,290		1,270
Additional Paid-in-Capital	2,221,552		2,140,847
Distributions in Excess of Accumulated Earnings	(357,682)		(370,835)
Accumulated Other Comprehensive Loss	(19,969)		(6,883)
Total First Industrial Realty Trust, Inc.'s Stockholders' Equity	1,845,191		1,764,399
Noncontrolling Interests	43,408		33,864
Total Equity	1,888,599		1,798,263
Total Liabilities and Equity	$	3,738,857	$	3,518,828

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited; in thousands, except per share data)


	Three Months Ended September 30, 2020		Three Months Ended September 30, 2019		Nine Months Ended September 30, 2020		Nine Months Ended September 30, 2019
Revenues:
Lease Revenue	$	109,657	$	105,369	$	326,681	$	312,524
Other Revenue	6,537		1,221		9,058		2,702
Total Revenues	116,194		106,590		335,739		315,226
Expenses:
Property Expenses	30,355		28,396		87,487		85,943
General and Administrative	7,485		6,945		24,970		20,529

Depreciation and Other Amortization	34,369		30,149		97,532		89,978
Total Expenses	72,209		65,490		209,989		196,450
Other Income (Expense):
Gain on Sale of Real Estate	6,525		52,489		29,594		53,378
Interest Expense	(12,775)		(12,466)		(37,864)		(37,565)
Amortization of Debt Issuance Costs	(905)		(805)		(2,477)		(2,430)


Total Other Income (Expense)	(7,155)		39,218		(10,747)		13,383
Income from Operations Before Equity in (Loss) Income of Joint Ventures and Income Tax Benefit (Provision)	36,830		80,318		115,003		132,159
Equity in (Loss) Income of Joint Ventures	(162)		(72)		(236)		16,288
Income Tax Benefit (Provision)	39		(244)		(105)		(3,392)
Net Income	36,707		80,002		114,662		145,055
Less: Net Income Attributable to the Noncontrolling Interests	(748)		(1,691)		(2,400)		(3,141)
Net Income Available to First Industrial Realty Trust, Inc.'s Common Stockholders and Participating Securities	$	35,959	$	78,311	$	112,262	$	141,914
Basic and Diluted Earnings Per Share:
Net Income Available to First Industrial Realty Trust, Inc.'s Common Stockholders	$	0.28	$	0.62	$	0.88	$	1.12



Weighted Average Shares Outstanding - Basic	127,903		126,480		127,306		126,295
Weighted Average Shares Outstanding - Diluted	128,101		126,783		127,495		126,578

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited; in thousands)


	Three Months Ended September 30, 2020		Three Months Ended September 30, 2019		Nine Months Ended September 30, 2020		Nine Months Ended September 30, 2019
Net Income	$	36,707	$	80,002	$	114,662	$	145,055
Payments to Settle Derivative Instruments	—		—		—		(3,149)
Acceleration of Derivative Instruments	201		—		201		—
Mark-to-Market Gain (Loss) on Derivative Instruments	2,091		(1,469)		(13,884)		(9,161)
Amortization of Derivative Instruments	103		83		308		131
Comprehensive Income	39,102		78,616		101,287		132,876
Comprehensive Income Attributable to Noncontrolling Interests	(801)		(1,668)		(2,118)		(2,877)
Comprehensive Income Attributable to First Industrial Realty Trust, Inc.	$	38,301	$	76,948	$	99,169	$	129,999

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY

(Unaudited; in thousands, except per share data)


Nine Months Ended September 30, 2020:	Common Stock		Additional Paid-in- Capital		Distributions in Excess of Accumulated Earnings		Accumulated Other Comprehensive (Loss) Income		Noncontrolling Interest		Total
Balance as of December 31, 2019	$	1,270	$	2,140,847	$	(370,835)	$	(6,883)	$	33,864	$	1,798,263
Net Income	—		—		40,634		—		895		41,529
Other Comprehensive Loss	—		—		—		(14,175)		(313)		(14,488)

Stock Based Compensation Activity	—		(1,233)		(2,975)		—		2,373		(1,835)
Common Stock Dividends and Unit Distributions ($0.25 Per Share/Unit)	—		—		(31,874)		—		(614)		(32,488)
Conversion of Limited Partner Units to Common Stock	2		2,062		—		—		(2,064)		—

Reallocation - Additional Paid-in-Capital	—		(3,378)		—		—		3,378		—
Reallocation - Other Comprehensive Income	—		—		—		4		(4)		—
Balance as of March 31, 2020	$	1,272	$	2,138,298	$	(365,050)	$	(21,054)	$	37,515	$	1,790,981
Net Income	—		—		35,669		—		757		36,426
Other Comprehensive Loss	—		—		—		(1,260)		(22)		(1,282)

Stock Based Compensation Activity	—		1,486		—		—		1,622		3,108
Common Stock Dividends and Unit Distributions ($0.25 Per Share/Unit)	—		—		(31,929)		—		(631)		(32,560)
Conversion of Limited Partner Units to Common Stock	—		1		—		—		(1)		—

Reallocation - Additional Paid-in-Capital	—		1,470		—		—		(1,470)		—
Reallocation - Other Comprehensive Income	—		—		—		6		(6)		—
Balance as of June 30, 2020	$	1,272	$	2,141,255	$	(361,310)	$	(22,308)	$	37,764	$	1,796,673
Net Income	—		—		35,959		—		748		36,707
Other Comprehensive Income	—		—		—		2,342		53		2,395
Issuance of Common Stock, Net of Issuance Costs	18		78,331		—		—		—		78,349
Stock Based Compensation Activity	—		1,486		—		—		1,593		3,079
Common Stock Dividends and Unit Distributions ($0.25 Per Share/Unit)	—		—		(32,331)		—		(594)		(32,925)
Conversion of Limited Partner Units to Common Stock	—		4		—		—		(4)		—

Contributions from Noncontrolling Interest	—		—		—		—		4,321		4,321
Reallocation - Additional Paid-in-Capital	—		476		—		—		(476)		—
Reallocation - Other Comprehensive Income	—		—		—		(3)		3		—
Balance as of September 30, 2020	$	1,290	$	2,221,552	$	(357,682)	$	(19,969)	$	43,408	$	1,888,599

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Continued)

(Unaudited; in thousands, except per share data)


Nine Months Ended September 30, 2019:	Common Stock		Additional Paid-in- Capital		Distributions in Excess of Accumulated Earnings		Accumulated Other Comprehensive Income (Loss)		Noncontrolling Interest		Total
Balance as of December 31, 2018	$	1,263	$	2,131,556	$	(490,807)	$	3,502	$	34,397	$	1,679,911
Net Income	—		—		23,803		—		537		24,340
Other Comprehensive Loss	—		—		—		(6,190)		(140)		(6,330)

Stock Based Compensation Activity	2		(611)		(1,696)		—		270		(2,035)
Common Stock Dividends and Unit Distributions ($0.23 Per Share/Unit)	—		—		(29,258)		—		(664)		(29,922)


Reallocation - Additional Paid-in-Capital	—		(3,238)		—		—		3,238		—
Reallocation - Other Comprehensive Income	—		—		—		(7)		7		—
Balance as of March 31, 2019	$	1,265	$	2,127,707	$	(497,958)	$	(2,695)	$	37,645	$	1,665,964
Net Income	—		—		39,800		—		913		40,713
Other Comprehensive Loss	—		—		—		(4,362)		(101)		(4,463)

Stock Based Compensation Activity	—		1,542		—		—		511		2,053
Common Stock Dividends and Unit Distributions ($0.23 Per Share/Unit)	—		—		(29,212)		—		(652)		(29,864)


Reallocation - Additional Paid-in-Capital	—		458		—		—		(458)		—
Reallocation - Other Comprehensive Income	—		—		—		(1)		1		—
Balance as of June 30, 2019	$	1,265	$	2,129,707	$	(487,370)	$	(7,058)	$	37,859	$	1,674,403
Net Income	—		—		78,311		—		1,691		80,002
Other Comprehensive Loss	—		—		—		(1,363)		(23)		(1,386)

Stock Based Compensation Activity	—		1,583		—		—		548		2,131
Common Stock Dividends and Unit Distributions ($0.23 Per Share/Unit)	—		—		(29,278)		—		(552)		(29,830)
Conversion of Limited Partner Units to Common Stock	5		6,856		—		—		(6,861)		—

Reallocation - Additional Paid-in-Capital	—		(88)		—		—		88		—
Reallocation - Other Comprehensive Income	—		—		—		(23)		23		—
Balance as of September 30, 2019	$	1,270	$	2,138,058	$	(438,337)	$	(8,444)	$	32,773	$	1,725,320

The accompanying notes are an integral part of the consolidated financial statements.


FIRST INDUSTRIAL REALTY TRUST, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited; in thousands)
	Nine Months Ended September 30, 2020		Nine Months Ended September 30, 2019
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income	$	114,662	$	145,055
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Depreciation	76,580		73,054
Amortization of Debt Issuance Costs	2,477		2,430
Other Amortization, including Stock Based Compensation	26,776		21,226


Equity in Loss (Income) of Joint Ventures	236		(16,288)
Distributions from Joint Ventures	—		16,012
Gain on Sale of Real Estate	(29,594)		(53,378)


Gain on Involuntary Conversion	(6,476)		—
Payments to Settle Derivative Instruments	—		(3,149)
Straight-line Rental Income and Expense, Net	(6,481)		(7,321)

Decrease (Increase) in Tenant Accounts Receivable, Prepaid Expenses and Other Assets, Net	3,149		(8,325)

Increase in Accounts Payable, Accrued Expenses, Other Liabilities, Rents Received in Advance and Security Deposits	8,810		20,863

Net Cash Provided by Operating Activities	190,139		190,179
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisitions of Real Estate	(184,883)		(108,468)
Additions to Investment in Real Estate and Non-Acquisition Tenant Improvements and Lease Costs	(150,908)		(211,424)
Net Proceeds from Sales of Investments in Real Estate, Including Sales-Type Lease Receivable	110,049		102,758


Contributions to and Investments in Joint Ventures	(42,744)		—
Distributions from Joint Ventures	—		8,658
Proceeds from Involuntary Conversion	6,476		—
Deposits on Future Acquisitions and Other Investing Activity	(12,345)		(6,459)
Net Cash Used in Investing Activities	(274,355)		(214,935)
CASH FLOWS FROM FINANCING ACTIVITIES:
Financing and Equity Issuance Costs	(3,329)		(953)
Proceeds from the Issuance of Common Stock, Net of Underwriter's Discount	78,718		—

Tax Paid on Shares Withheld	(5,944)		(4,384)
Common Stock Dividends and Unit Distributions Paid	(94,493)		(87,490)

Repayments on Mortgage Loans Payable	(18,654)		(116,518)

Proceeds from Senior Unsecured Notes	300,000		150,000



Proceeds from Unsecured Credit Facility	247,000		295,000
Repayments on Unsecured Credit Facility	(405,000)		(217,000)
Contributions from Noncontrolling Interests	4,321		—

Net Cash Provided by Financing Activities	102,619		18,655
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash	18,403		(6,101)
Cash, Cash Equivalents and Restricted Cash, Beginning of Year	152,718		50,373
Cash, Cash Equivalents and Restricted Cash, End of Period	$	171,121	$	44,272


FIRST INDUSTRIAL REALTY TRUST, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued) (Unaudited; in thousands)
	Nine Months Ended September 30, 2020		Nine Months Ended September 30, 2019
SUPPLEMENTAL INFORMATION TO STATEMENTS OF CASH FLOWS:
Interest Expense Capitalized in Connection with Development Activity	$	5,029	$	4,161
Cash Paid for Operating Lease Liabilities	$	2,175	$	1,273
Supplemental Schedule of Non-Cash Operating Activities:
Operating Lease Liabilities Arising from Obtaining Right-of-Use Assets	$	1,208	$	22,871
Supplemental Schedule of Non-Cash Investing and Financing Activities:
Common Stock Dividends and Unit Distributions Payable	$	33,577	$	30,386

Exchange of Limited Partnership Units for Common Stock:
Noncontrolling Interest	$	(2,069)	$	(6,861)
Common Stock	2		5
Additional Paid-in-Capital	2,067		6,856
Total	$	—	$	—
Lease Reclassification from Operating Lease to Sales-Type Lease:
Lease Receivable	$	—	$	54,521
Land	—		(24,803)
Building, Net of Accumulated Depreciation	—		(17,845)
Deferred Rent Receivable	—		(2,073)
Other Assets, Net of Accumulated Amortization	—		(1,194)
Gain on Sale Recognized Due to Lease Reclassification	$	—	8,606
Assumption of Liabilities in Connection with the Acquisition of Real Estate	$	6,542