REALTY INCOME CORP
Item 1: Business
THE COMPANY
Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing stockholders with dependable monthly dividends that increase over time. The company is structured as a real estate investment trust, or REIT, requiring it annually to distribute at least 90% of its taxable income (excluding net capital gains) in the form of dividends to its stockholders. The monthly dividends are supported by the cash flow generated from real estate owned under long-term, net lease agreements with regional and national commercial tenants. The company has in-house acquisition, portfolio management, asset management, real estate research, credit research, legal, finance and accounting, information technology, and capital markets capabilities.
Realty Income was founded in 1969, and listed on the New York Stock Exchange (NYSE: O) in 1994. Over the past 48 years, Realty Income has been acquiring and managing freestanding commercial properties that generate rental revenue under long-term net lease agreements. The company is a member of the S&P High Yield Dividend Aristocrats® index for having increased its dividend every year for more than 20 consecutive years.
At December 31, 2016, we owned a diversified portfolio:
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Of 4,944 properties;
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With an occupancy rate of 98.3%, or 4,860 properties leased and 84 properties available for lease;
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Leased to 248 different commercial tenants doing business in 47 separate industries;
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Located in 49 states and Puerto Rico;
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With over 83.0 million square feet of leasable space; and
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With an average leasable space per property of approximately 16,800 square feet; approximately 11,520 square feet per retail property and 220,290 square feet per industrial property.
Of the 4,944 properties in the portfolio, 4,920, or 99.5%, are single-tenant properties, and the remaining are multi-tenant properties. At December 31, 2016, of the 4,920 single-tenant properties, 4,836 were leased with a weighted average remaining lease term (excluding rights to extend a lease at the option of the tenant) of approximately 9.8 years.
Our 11 senior officers owned 0.2% of our outstanding common stock with a market value of $24.6 million at January 31, 2017. Our directors and 11 senior officers, as a group, owned 0.3% of our outstanding common stock with a market value of $42.4 million at January 31, 2017.
Our common stock is listed on the NYSE under the ticker symbol “O” with a CUSIP number of 756109-104. Our central index key number is 726728.
Our 6.625% Monthly Income Class F Cumulative Redeemable Preferred Stock, or the Class F preferred stock, is listed on the NYSE under the ticker symbol “OprF” with a CUSIP number of 756109-807.
In January 2017, we had 146 employees, as compared to 132 employees in January 2016.
We maintain a corporate website at www.realtyincome.com. On our website we make available, free of charge, copies of our annual report on Form 10-K, quarterly reports on Form 10-Q, Form 3s, Form 4s, Form 5s, current reports on Form 8-K, and amendments to those reports, as soon as reasonably practicable after we electronically file these reports with the Securities and Exchange Commission, or SEC. None of the information on our website is deemed to be part of this report.
RECENT DEVELOPMENTS
Increases in Monthly Dividends to Common Stockholders
We have continued our 48-year policy of paying monthly dividends. In addition, we increased the dividend six times during 2016 and twice during 2017. As of February 2017, we have paid 77 consecutive quarterly dividend increases and increased the dividend 90 times since our listing on the NYSE in 1994.
Month
Month
Dividend
Increase
2016 Dividend increases
Declared
Paid
per share
per share
1st increase
Dec 2015
Jan 2016
$ 0.1910
$ 0.0005
2nd increase
Jan 2016
Feb 2016
$ 0.1985
$ 0.0075
3rd increase
Mar 2016
Apr 2016
$ 0.1990
$ 0.0005
4th increase
Jun 2016
Jul 2016
$ 0.1995
$ 0.0005
5th increase
Jul 2016
Sep 2016
$ 0.2015
$ 0.0020
6th increase
Sep 2016
Oct 2016
$ 0.2020
$ 0.0005
2017 Dividend increases
1st increase
Dec 2016
Jan 2017
$ 0.2025
$ 0.0005
2nd increase
Jan 2017
Feb 2017
$ 0.2105
$ 0.0080
The dividends paid per share during 2016 totaled approximately $2.392, as compared to approximately $2.271 during 2015, an increase of $0.121, or 5.3%.
The monthly dividend of $0.2105 per share represents a current annualized dividend of $2.526 per share, and an annualized dividend yield of approximately 4.2% based on the last reported sale price of our common stock on the NYSE of $59.63 on January 31, 2017. Although we expect to continue our policy of paying monthly dividends, we cannot guarantee that we will maintain our current level of dividends, that we will continue our pattern of increasing dividends per share, or what our actual dividend yield will be in any future period.
Acquisitions During 2016
During 2016, we invested $1.86 billion in 505 new properties and properties under development or expansion, with an initial weighted average contractual lease rate of 6.3%. The 505 new properties and properties under development or expansion are located in 40 states, will contain approximately 8.2 million leasable square feet, and are 100% leased with a weighted average lease term of 14.7 years. The tenants occupying the new properties operate in 28 industries and the property types are 86.4% retail and 13.6% industrial, based on rental revenue. During 2016, none of our real estate investments caused any one tenant to be 10% or more of our total assets at December 31, 2016.
The estimated initial weighted average contractual lease rate for a property is generally computed as estimated contractual net operating income, which, in the case of a net leased property, is equal to the aggregate base rent for the first full year of each lease, divided by the total cost of the property. Since it is possible that a tenant could default on the payment of contractual rent, we cannot provide assurance that the actual return on the funds invested will remain at the percentages listed above.
In the case of a property under development or expansion, the contractual lease rate is generally fixed such that rent varies based on the actual total investment in order to provide a fixed rate of return. When the lease does not provide for a fixed rate of return on a property under development or expansion, the estimated initial weighted average contractual lease rate is computed as follows: estimated net operating income (determined by the lease) for the first full year of each lease, divided by our projected total investment in the property, including land, construction and capitalized interest costs. Of the $1.86 billion we invested during 2016, $103.8 million was invested in 33 properties under development or expansion with an estimated initial weighted average contractual lease rate of 7.1%. We may continue to pursue development or expansion opportunities under similar arrangements in the future.
Portfolio Discussion
Leasing Results
At December 31, 2016, we had 84 properties available for lease out of 4,944 properties in our portfolio, which represents a 98.3% occupancy rate based on the number of properties in our portfolio. Since December 31, 2015, when we reported 71 properties available for lease out of 4,538 and a 98.4% occupancy rate, we:
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Had 256 lease expirations (including leases rejected in bankruptcy);
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Re-leased 186 properties; and
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Sold 57 vacant properties.
Of the 186 properties re-leased during 2016, 144 properties were re-leased to existing tenants, 21 were re-leased to the same tenants without vacancy, and 21 were re-leased to new tenants after a period of vacancy. The annual rent on these 186 leases was $28.57 million, as compared to the previous rent on these same properties of $27.33 million, which represents a rent recapture rate of 104.5% on the properties re-leased during 2016.
As part of our re-leasing costs, we pay leasing commissions to unrelated, third party real estate brokers consistent with the commercial real estate industry standard, and sometimes provide tenant rent concessions. We do not consider the collective impact of the leasing commissions or tenant rent concessions to be material to our financial position or results of operations.
At December 31, 2016, our average annualized rental revenue was approximately $13.64 per square foot on the 4,860 leased properties in our portfolio. At December 31, 2016, we classified 15 properties with a carrying amount of $26.6 million as held for sale on our balance sheet. The expected sale of these properties does not represent a strategic shift that will have a major effect on our operations and financial results.
Investments in Existing Properties
In 2016, we capitalized costs of $16.3 million on existing properties in our portfolio, consisting of $797,000 for re-leasing costs, $679,000 for recurring capital expenditures, and $14.9 million for non-recurring building improvements. In 2015, we capitalized costs of $11.5 million on existing properties in our portfolio, consisting of $748,000 for re-leasing costs, $7.6 million for recurring capital expenditures and $3.2 million for non-recurring building improvements.
The majority of our building improvements relate to roof repairs, HVAC improvements, and parking lot resurfacing and replacements. The amounts of our capital expenditures can vary significantly, depending on the rental market, tenant credit worthiness, the lease term and the willingness of tenants to pay higher rents over the terms of the leases.
Note Issuance
In October 2016, we issued $600 million of 3.000% senior unsecured notes due January 2027. The public offering price for the notes was 98.671% of the principal amount for an effective yield to maturity of 3.153%. The net proceeds of approximately $586.7 million from the offering were used to repay borrowings outstanding under our credit facility.
Capital Raising
During 2016, Realty Income issued 9,449,167 common shares at a weighted average price of $60.61, receiving gross proceeds of $572.7 million.
Net Income Available to Common Stockholders
Net income available to common stockholders was $288.5 million in 2016, as compared to $256.7 million in 2015, an increase of $31.8 million. On a diluted per common share basis, net income was $1.13 in 2016, as compared to $1.09 in 2015, an increase of $0.04, or 3.7%.
The calculation to determine net income available to common stockholders includes impairments, gains from the sale of properties and/or fair value adjustments on our interest rate swaps. These items vary from period to period based on the timing of property sales and the interest rate environment, and can significantly impact net income available to common stockholders.
Gains from the sale of properties during 2016 were $22.0 million, as compared to gains from the sale of properties of $22.2 million during 2015.
Funds from Operations Available to Common Stockholders (FFO)
In 2016, our FFO increased by $83.0 million, or 12.7%, to $735.4 million, as compared to $652.4 million in 2015. On a diluted per common share basis, FFO was $2.88 in 2016, compared to $2.77 in 2015, an increase of $0.11, or 4.0%.
Adjusted Funds from Operations Available to Common Stockholders (AFFO)
In 2016, our AFFO increased by $89.4 million, or 13.8%, to $736.4 million versus $647.0 million in 2015. On a diluted per common share basis, our AFFO was $2.88 in 2016, compared to $2.74 in 2015, an increase of $0.14, or 5.1%.
See our discussion of FFO and AFFO (which are not financial measures under generally accepted accounting principles, or GAAP), later in the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” in this annual report, which includes a reconciliation of net income available to common stockholders to FFO and AFFO.
DIVIDEND POLICY
Distributions are paid monthly to holders of shares of our common stock and Class F preferred stock if, and when, declared by our Board of Directors.
Distributions are paid monthly to the limited partners holding common units of Tau Operating Partnership, L.P. and Realty Income, L.P., each on a per unit basis that is generally equal to the amount paid per share to our common stockholders.
In order to maintain our status as a REIT for federal income tax purposes, we generally are required to distribute dividends to our stockholders aggregating annually at least 90% of our taxable income (excluding net capital gains), and we are subject to income tax to the extent we distribute less than 100% of our taxable income (including net capital gains). In 2016, our cash distributions to preferred and common stockholders totaled $637.6 million, or approximately 129.2% of our estimated taxable income of $493.4 million. Our estimated taxable income reflects non-cash deductions for depreciation and amortization. Our estimated taxable income is presented to show our compliance with REIT dividend requirements and is not a measure of our liquidity or operating performance. We intend to continue to make distributions to our stockholders that are sufficient to meet this dividend requirement and that will reduce or eliminate our exposure to income taxes. Furthermore, we believe our funds from operations are sufficient to support our current level of cash distributions to our stockholders. Our cash distributions to common stockholders in 2016 totaled $610.5 million, representing 82.9% of our adjusted funds from operations available to common stockholders of $736.4 million. In comparison, our 2015 cash distributions to common stockholders totaled $533.2 million, representing 82.4% of our adjusted funds from operations available to common stockholders of $647.0 million.
The Class F preferred stockholders receive cumulative distributions at a rate of 6.625% per annum on the $25.00 per share liquidation preference (equivalent to $1.65625 per annum per share).
Future distributions will be at the discretion of our Board of Directors and will depend on, among other things, our results of operations, FFO, AFFO, cash flow from operations, financial condition, capital requirements, the annual distribution requirements under the REIT provisions of the Internal Revenue Code of 1986, as amended, or the Code, our debt service requirements, and any other factors the Board of Directors may deem relevant. In addition, our credit facility contains financial covenants that could limit the amount of distributions payable by us in the event of a default, and which prohibit the payment of distributions on the common or preferred stock in the event that we fail to pay when due (subject to any applicable grace period) any principal or interest on borrowings under our credit facility.
Distributions of our current and accumulated earnings and profits for federal income tax purposes generally will be taxable to stockholders as ordinary income, except to the extent that we recognize capital gains and declare a capital gains dividend, or that such amounts constitute “qualified dividend income” subject to a reduced rate of tax. The maximum tax rate of non-corporate taxpayers for “qualified dividend income” is generally 20%. In general, dividends payable by REITs are not eligible for the reduced tax rate on qualified dividend income, except to the extent that certain holding requirements have been met with respect to the REIT’s stock and the REIT’s dividends are attributable to dividends received from certain taxable corporations (such as our taxable REIT subsidiaries) or to income that was subject to tax at the corporate or REIT level (for example, if we distribute taxable income that we retained and paid tax on in the prior taxable year).
Distributions in excess of earnings and profits generally will first be treated as a non-taxable reduction in the stockholders’ basis in their stock, but not below zero. Distributions in excess of that basis generally will be taxable as a capital gain to stockholders who hold their shares as a capital asset. Approximately 21.5% of the distributions to our common stockholders, made or deemed to have been made in 2016, were classified as a return of capital for federal income tax purposes. We estimate that in 2017, between 15% and 25% of the distributions may be classified as a return of capital.
BUSINESS PHILOSOPHY AND STRATEGY
We believe that owning an actively managed, diversified portfolio of commercial properties under long-term, net lease agreements produces consistent and predictable income. A net lease typically requires the tenant to be responsible for monthly rent and certain property operating expenses including property taxes, insurance, and maintenance. In addition, tenants of our properties typically pay rent increases based on: (1) increases in the consumer price index (typically subject to ceilings), (2) fixed increases, or (3) additional rent calculated as a percentage of the tenants’ gross sales above a specified level. We believe that a portfolio of properties under long-term, net lease agreements generally produces a more predictable income stream than many other types of real estate portfolios, while continuing to offer the potential for growth in rental income.
Diversification is also a key component of our business philosophy. We believe that diversification of the portfolio by tenant, industry, geography, and, to a certain extent, property type leads to more consistent and predictable income for our stockholders by reducing vulnerability that can come with any single concentration. Our investment activities have led to a diversified property portfolio that, as of December 31, 2016, consisted of 4,944 properties located in 49 states and Puerto Rico, leased to 248 different commercial tenants doing business in 47 industries. Each of the 47 industries represented in our property portfolio individually accounted for no more than 11.4% of our rental revenue for the quarter ended December 31, 2016.
Investment Strategy
Our investment strategy is to acquire real estate leased to regional and national tenants. When identifying new properties for investment, we generally focus on acquiring high-quality real estate that tenants consider important to the successful operation of their business. We generally seek to acquire real estate that has the following characteristics:
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Properties that are freestanding, commercially-zoned with a single tenant;
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Properties that are in significant markets or strategic locations critical to generating revenue for regional and national tenants (i.e. they need the property in which they operate in order to conduct their business);
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Properties that we deem to be profitable for the tenants and/or can generally be characterized as important to the successful operations of the company’s business;
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Properties that are located within attractive demographic areas relative to the business of our tenants, generally fungible, and have good visibility and easy access to major thoroughfares;
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Properties with real estate valuations that approximate replacement costs;
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Properties with rental or lease payments that approximate market rents; and
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Properties that can be purchased with the simultaneous execution or assumption of long-term, net lease agreements, offering both current income and the potential for future rent increases.
We seek to invest in industries in which several, well-organized, regional and national tenants are capturing market share through the selection of prime real estate locations supported by superior service, quality control, economies of scale, consumer branding, and advertising. In addition, we frequently acquire large portfolios of single-tenant properties net leased to different tenants operating in a variety of industries. We have an internal team dedicated to sourcing such opportunities, often using our relationships with various tenants, owners/developers, and advisers to uncover and secure transactions. We also undertake thorough research and analysis to identify what we consider to be appropriate property locations, tenants, and industries for investment. This research expertise is instrumental to uncovering net lease opportunities in markets where we believe we can add value.
In selecting potential investments, we look for tenants with the following attributes:
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Tenants with reliable and sustainable cash flow;
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Tenants with revenue and cash flow from multiple sources;
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Tenants that are willing to sign a long-term lease (10 or more years); and
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Tenants that are large owners and users of real estate.
From a retail perspective, our investment strategy is to target tenants that have a service, non-discretionary, and/or low-price-point component to their business. We believe these characteristics better position tenants to operate in a variety of economic conditions and to compete more effectively with internet retailers. As a result of the execution of this strategy, over 90% of our annualized retail rental revenue is derived from tenants with a service, non-discretionary, and/or low price point component to their business. From a non-retail perspective, we target industrial properties leased to Fortune 1000, primarily investment grade rated companies. We believe these characteristics enhance the stability of the rental revenue generated from these properties.
After applying this investment strategy, we pursue those transactions where we can achieve an attractive investment spread over our cost of capital and favorable risk-adjusted returns.
Underwriting Strategy
In order to be considered for acquisition, properties must meet stringent underwriting requirements. We have established a four-part analysis that examines each potential investment based on:
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The aforementioned overall real estate characteristics, including demographics, replacement cost and comparative rental rates;
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Industry, tenant (including credit profile), and market conditions;
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Store profitability for retail locations if profitability data is available; and
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The importance of the real estate location to the operations of the tenants’ business.
We believe the principal financial obligations for most of our tenants typically include their bank and other debt, payment obligations to suppliers, and real estate lease obligations. Because we typically own the land and building in which a tenant conducts its business or which are critical to the tenant’s ability to generate revenue, we believe the risk of default on a tenant’s lease obligation is less than the tenant’s unsecured general obligations. It has been our experience that tenants must retain their profitable and critical locations in order to survive. Therefore, in the event of reorganization, they are less likely to reject a lease of a profitable or critical location because this would terminate their right to use the property.
Thus, as the property owner, we believe that we will fare better than unsecured creditors of the same tenant in the event of reorganization. If a property is rejected by the tenant during reorganization, we own the property and can either lease it to a new tenant or sell the property. In addition, we believe that the risk of default on real estate leases can be further mitigated by monitoring the performance of the tenants’ individual locations and considering whether to proactively sell locations that meet our criteria for disposition.
Prior to entering into any transaction, our research department conducts a review of a tenant’s credit quality. The information reviewed may include reports and filings, including any public credit ratings, financial statements, debt and equity analyst reports, and reviews of corporate credit spreads, stock prices, market capitalization, and other financial metrics. We conduct additional due diligence, including additional financial reviews of the tenant and a more comprehensive review of the business segment and industry in which the tenant operates. We continue to monitor our tenants’ credit quality on an ongoing basis by reviewing the available information previously discussed, and providing summaries of these findings to management. We estimate that approximately 47% of our annualized rental revenue comes from properties leased to investment grade rated companies or their subsidiaries. At December 31, 2016, our top 20 tenants represent approximately 53% of our annualized revenue and ten of these tenants have investment grade credit ratings or are subsidiaries of investment grade companies.
Portfolio and Asset Management Strategy
In addition to pursuing new properties for investment, we seek to increase earnings and distributions to stockholders through active portfolio and asset management.
Generally, our portfolio and asset management efforts seek to achieve:
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Rent increases at the expiration of existing leases, when market conditions permit;
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Optimum exposure to certain tenants, industries, and markets through re-leasing vacant properties and selectively selling properties;
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Maximum asset-level returns on properties that are re-leased or sold;
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Additional value creation from the existing portfolio by enhancing individual properties, pursuing alternative uses, and deriving ancillary revenue; and
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Investment opportunities in new asset classes for the portfolio.
We continually monitor our portfolio for any changes that could affect the performance of our tenants, our tenants’ industries, and the real estate locations in which we have invested. We also regularly analyze our portfolio with a view towards optimizing its returns and enhancing its overall credit quality. Our active portfolio and asset management strategy pursues asset sales when we believe the reinvestment of the sale proceeds will:
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Generate higher returns;
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Enhance the credit quality of our real estate portfolio;
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Extend our average remaining lease term; and/or
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Decrease tenant, industry, or geographic concentration.
At December 31, 2016, we classified 15 properties with a carrying amount of $26.6 million as held for sale on our balance sheet. For 2017, we intend to continue our active disposition efforts to further enhance our real estate portfolio and anticipate $75 to $100 million in property sales. We plan to invest these proceeds into new property acquisitions, if there are attractive opportunities available. However, we cannot guarantee that we will sell properties during 2017 at our estimated values or be able to invest the property sale proceeds in new properties.
The active management of the portfolio is an essential component of our long-term strategy of maintaining high occupancy. Since 1970, our occupancy rate at the end of each year has never been below 96%. However, we cannot assure you that our future occupancy levels will continue to equal or exceed 96%.
Capital Philosophy
Historically, we have met our long-term capital needs by issuing common stock, preferred stock and long-term unsecured notes and bonds. Over the long-term, we believe that common stock should be the majority of our capital structure; however, we may issue additional preferred stock or debt securities. We may issue common stock when we believe that our share price is at a level that allows for the proceeds of any offering to be accretively invested into additional properties. In addition, we may issue common stock to permanently finance properties that were initially financed by our credit facility or debt securities. However, we cannot assure you that we will have access to the capital markets at all times and at terms that are acceptable to us.
Our primary cash obligations, for the current year and subsequent years, are included in the “Table of Obligations,” which is presented later in this section. We expect to fund our operating expenses and other short-term liquidity requirements, including property acquisitions and development costs, payment of principal and interest on our outstanding indebtedness, property improvements, re-leasing costs and cash distributions to common and preferred stockholders, primarily through cash provided by operating activities, borrowing on our credit facility and periodically through public securities offerings.
Conservative Capital Structure
We believe that our stockholders are best served by a conservative capital structure. Therefore, we seek to maintain a conservative debt level on our balance sheet and solid interest and fixed charge coverage ratios. At December 31, 2016, our total outstanding borrowings of senior unsecured notes and bonds, term loans, mortgages payable and credit facility borrowings were $5.875 billion, or approximately 27.6% of our total market capitalization of $21.26 billion.
We define our total market capitalization at December 31, 2016 as the sum of:
· Shares of our common stock outstanding of 260,168,259, plus total common units outstanding of 405,204, multiplied by the last reported sales price of our common stock on the NYSE of $57.48 per share on December 31, 2016, or $14.98 billion;
· Aggregate liquidation value (par value of $25.00 per share) of the Class F preferred stock of $408.8 million;
· Outstanding borrowings of $1.12 billion on our credit facility;
· Outstanding mortgages payable of $460.0 million, excluding net mortgage premiums of $6.4 million and deferred financing costs of $324,000;
· Outstanding borrowings of $320.0 million on our term loans, excluding deferred financing costs of $873,000; and
· Outstanding senior unsecured notes and bonds of $3.98 billion, excluding unamortized original issuance discounts of $19.8 million and deferred financing costs of $20.8 million.
Impact of Real Estate and Credit Markets
In the commercial real estate market, property prices generally continue to fluctuate. Likewise, during certain periods, the U.S. credit markets have experienced significant price volatility, dislocations, and liquidity disruptions, which may impact our access to and cost of capital. We continually monitor the commercial real estate and U.S. credit markets carefully and, if required, will make decisions to adjust our business strategy accordingly.
Universal Shelf Registration
In December 2015, we filed a shelf registration statement with the SEC, which is effective for a term of three years and will expire in December 2018. In accordance with SEC rules, the amount of securities to be issued pursuant to this shelf registration statement was not specified when it was filed and there is no specific dollar limit. The securities covered by this registration statement include (1) common stock, (2) preferred stock, (3) debt securities, (4) depositary shares representing fractional interests in shares of preferred stock, (5) warrants to purchase debt securities, common stock, preferred stock, or depositary shares, and (6) any combination of these securities. We may periodically offer one or more of these securities in amounts, prices and on terms to be announced when and if these securities are offered. The specifics of any future offerings, along with the use of proceeds of any securities offered, will be described in detail in a prospectus supplement, or other offering materials, at the time of any offering.
$2.0 Billion Revolving Credit Facility
In June 2015, we entered into a $2.0 billion unsecured revolving credit facility, or our credit facility, that expires in June 2019 and includes, at our option, two six-month extensions. Our credit facility has a $1.0 billion accordion expansion option. Under our credit facility, our investment grade credit ratings as of December 31, 2016 provide for financing at the London Interbank Offered Rate, commonly referred to as LIBOR, plus 0.90%, with a facility commitment fee of 0.15%, for all-in drawn pricing of 1.05% over LIBOR. The borrowing rate is subject to an interest rate floor and may change if our investment grade credit ratings change. We also have other interest rate options available to us under our credit facility. Our credit facility is unsecured and, accordingly, we have not pledged any assets as collateral for this obligation.
At December 31, 2016, we had a borrowing capacity of $880.0 million available on our credit facility and an outstanding balance of $1.12 billion. The weighted average interest rate on borrowings outstanding under our credit facility, at December 31, 2016, was 1.7% per annum. We must comply with various financial and other covenants in our credit facility. At December 31, 2016, we remain in compliance with these covenants. We expect to use our credit facility to acquire additional properties and for other general corporate purposes. Any additional borrowings will increase our exposure to interest rate risk.
We generally use our credit facility for the short-term financing of new property acquisitions. Thereafter, we generally seek to refinance those borrowings with the net proceeds of long-term or permanent financing, which may include the issuance of common stock, preferred stock or debt securities. We cannot assure you, however, that we will be able to obtain any such refinancing, or that market conditions prevailing at the time of the refinancing will enable us to issue equity or debt securities at acceptable terms.
Cash Reserves
We are organized to operate as an equity REIT that acquires and leases properties and distributes to stockholders, in the form of monthly cash distributions, a substantial portion of our net cash flow generated from leases on our properties. We intend to retain an appropriate amount of cash as working capital. At December 31, 2016, we had cash and cash equivalents totaling $9.4 million.
We believe that our cash and cash equivalents on hand, cash provided from operating activities, and borrowing capacity is sufficient to meet our liquidity needs for the next twelve months. We intend, however, to use permanent or long-term capital to fund property acquisitions and to repay future borrowings under our credit facility.
Credit Agency Ratings
The borrowing interest rates under our credit facility are based upon our ratings assigned by credit rating agencies. As of December 31, 2016, we were assigned the following investment grade corporate credit ratings on our senior unsecured notes and bonds: Moody’s Investors Service has assigned a rating of Baa1 with a “positive” outlook, Standard & Poor’s Ratings Group has assigned a rating of BBB+ with a “positive” outlook, and Fitch Ratings has assigned a rating of BBB+ with a “stable” outlook.
Based on our ratings as of December 31, 2016, the facility interest rate as of December 31, 2016 was LIBOR plus 0.90% with a facility commitment fee of 0.15%, for all-in drawn pricing of 1.05% over LIBOR. Our credit facility provides that the interest rate can range between: (i) LIBOR plus 1.55% if our credit rating is lower than BBB-/Baa3 or unrated and (ii) LIBOR plus 0.85% if our credit rating is A-/A3 or higher. In addition, our credit facility provides for a facility commitment fee based on our credit ratings, which range from: (i) 0.30% for a rating lower than BBB-/Baa3 or unrated, and (ii) 0.125% for a credit rating of A-/A3 or higher.
We also issue senior debt securities from time to time and our credit ratings can impact the interest rates charged in those transactions. If our credit ratings or ratings outlook change, our cost to obtain debt financing could increase or decrease. The credit ratings assigned to us could change based upon, among other things, our results of operations and financial condition. These ratings are subject to ongoing evaluation by credit rating agencies and we cannot assure you that our ratings will not be changed or withdrawn by a rating agency in the future if, in its judgment, circumstances warrant. Moreover, a rating is not a recommendation to buy, sell or hold our debt securities, preferred stock or common stock.
Term Loans
In June 2015, in conjunction with entering into our credit facility, we entered into a $250 million senior unsecured term loan maturing June 30, 2020. Borrowing under this term loan bears interest at LIBOR, plus 0.95%. In conjunction with this term loan, we also entered into an interest rate swap which effectively fixes our per annum interest rate on this term loan at 2.67%.
In January 2013, in conjunction with our acquisition of American Realty Capital Trust, ARCT, we entered into a $70 million senior unsecured term loan maturing in January 2018. Borrowing under the term loan bears interest at LIBOR, plus 1.20%. In conjunction with this term loan, we also acquired an interest rate swap which effectively fixes our per annum interest rate on this term loan at 2.15%.
Mortgage Debt
As of December 31, 2016, we had $460.0 million of mortgages payable, all of which were assumed in connection with our property acquisitions. Additionally, at December 31, 2016, we had net premiums totaling $6.4 million on these mortgages and deferred financing costs of $324,000. We expect to pay off the mortgages payable as soon as prepayment penalties have declined to a level that would make it economically feasible to do so. During 2016, we made $231.7 million of principal payments, including the repayment of 11 mortgages in full for $201.8 million, and refinanced one of our assumed mortgages whereby we received an additional $10.0 million in proceeds.
Notes Outstanding
As of December 31, 2016, we had $3.98 billion of senior unsecured note and bond obligations, excluding unamortized original issuance discounts of $19.8 million and deferred financing costs of $20.8 million. All of our outstanding notes and bonds have fixed interest rates. Interest on all of our senior note and bond obligations is paid semiannually.
No Unconsolidated Investments
We have no unconsolidated investments, nor do we engage in trading activities involving energy or commodity contracts.
Corporate Responsibility
We are committed to providing an engaging, diverse, and safe work environment for our employees, to upholding our corporate responsibilities as a public company operating for the benefit of our stockholders, and to operating our company in an environmentally conscious manner. As The Monthly Dividend Company®, our mission is to provide our stockholders with monthly dividends that increase over time. How we manage and use the physical, financial and talent resources that enable us to achieve this mission, demonstrates our commitment to corporate responsibility.
Social Responsibility and Ethics. An extension of our mission is our commitment to being socially responsible and conducting our business according to the highest ethical standards. Our employees are awarded compensation that is in line with those of our peers and competitors, including generous healthcare benefits for employees and their families; participation in a 401(k) plan with a matching contribution by Realty Income; competitive paid time-off benefits; and an infant-at-work program for new parents. Our employees have access to members of our Board of Directors to report anonymously, if desired, any suspicion of misconduct by any member of our senior management or executive team. We also have a longstanding commitment to equal employment opportunity and adhere to all Equal Employer Opportunity Policy guidelines. We apply the principles of full and fair disclosure in all of our business dealings, as outlined in our Corporate Code of Business Ethics. We are also committed to dealing fairly with all of our customers, suppliers, and competitors.
Realty Income and our employees have taken an active role in supporting our communities through civic involvement with charitable organizations, including our partnership with San Diego Habitat for Humanity, and corporate donations. Focusing our impact on social and environmentally sustainable areas our non-profit partnerships have resulted in approximately 700 employee volunteer hours during 2016, employee and corporate donations to fund local affordable housing, educational services to at-risk youth, funding local foodbanks, and toys for under-served children. Our dedication to being a responsible corporate citizen has a direct and positive impact in the communities in which we operate and contributes to the strength of our reputation and our financial performance.
Corporate Governance. We believe that a company’s reputation for integrity and serving its stockholders responsibly is of utmost importance. We are committed to managing the company for the benefit of our stockholders and are focused on maintaining good corporate governance. Practices that illustrate this commitment include:
·
Our Board of Directors is comprised of eight directors, seven of which are independent, non-employee directors;
·
Our Board of Directors is elected on an annual basis;
·
We employ a majority vote standard for uncontested elections;
·
Our Compensation Committee of the Board of Directors works with independent consultants in conducting annual compensation reviews for our key executives, and compensates each individual primarily based on reaching certain performance metrics that determine the success of our company; and
·
We adhere to all other corporate governance principles outlined in our “Corporate Governance Guidelines” document on our website.
Environmental Practices. Our focus on conservationism is demonstrated by how we manage our day-to-day activities at our corporate headquarters. At our headquarters, we promote energy efficiency and encourage practices such as powering down office equipment at the end of the day, implementing file-sharing technology and automatic “duplex mode” to limit paper use, adopting an electronic approval system, carpooling to our headquarters, and recycling paper waste. In 2016, we sent more than 29,500 pounds of paper to our off-site partner for recycling.
With respect to recycling and reuse practices, we encourage the use of recycled products and the recycling of materials during our operations. Cell phones, wireless devices and office equipment are recycled or donated whenever possible.
In addition, our headquarters was retrofitted according to the State of California energy efficiency standards (specifically following California Green Building Standards Code and Title 24 of the California Code of Regulations), with features such as an automatic lighting control system with light-harvesting technology, a Building Management System that monitors and controls energy use, an energy-efficient PVC roof and heating and cooling system, LED lighting, and drought-tolerant landscaping with recycled materials.
The properties in our portfolio are net leased to our tenants who are responsible for maintaining the buildings and are in control of their energy usage and environmental sustainability practices. We remain active in working with our tenants to promote environmental responsibility at the properties we own and to promote the importance of energy efficient facilities.
Our Asset Management team has engaged with a renewable energy development company to identify assets that would maximize energy efficiency initiatives throughout our property portfolio. These initiatives include solar energy arrays, battery storage, and charging stations. In addition, we continue to explore regional opportunities with our tenants, bringing our properties into compliance to qualify for city and county programs.
PROPERTY PORTFOLIO INFORMATION
At December 31, 2016, we owned a diversified portfolio:
·
Of 4,944 properties;
·
With an occupancy rate of 98.3%, or 4,860 properties leased and 84 properties available for lease;
·
Leased to 248 different commercial tenants doing business in 47 separate industries;
·
Located in 49 states and Puerto Rico;
·
With over 83.0 million square feet of leasable space; and
·
With an average leasable space per property of approximately 16,800 square feet; approximately 11,520 square feet per retail property and 220,290 square feet per industrial property.
At December 31, 2016, of our 4,944 properties, 4,860 were leased under net lease agreements. A net lease typically requires the tenant to be responsible for monthly rent and certain property operating expenses including property taxes, insurance, and maintenance. In addition, our tenants are typically subject to future rent increases based on increases in the consumer price index (typically subject to ceilings), additional rent calculated as a percentage of the tenants’ gross sales above a specified level, or fixed increases.
At December 31, 2016, our 248 commercial tenants, which we define as retailers with over 50 locations and non-retailers with over $500 million in annual revenues, represented approximately 95% of our annualized revenue. We had 277 additional tenants, representing approximately 5% of our annualized revenue at December 31, 2016, which brings our total tenant count to 525 tenants.
Industry Diversification
The following table sets forth certain information regarding our property portfolio classified according to the business of the respective tenants, expressed as a percentage of our total rental revenue:
Percentage of Rental Revenue(1)
For the
Quarter Ended
For the Years Ended
December 31,
Dec 31,
Dec 31,
Dec 31,
Dec 31,
Dec 31,
Retail industries
Apparel stores
1.8%
1.9%
2.0%
2.0%
1.9%
1.7%
Automotive collision services
1.0
1.0
1.0
0.8
0.8
1.1
Automotive parts
1.4
1.3
1.4
1.3
1.2
1.0
Automotive service
1.9
1.9
1.9
1.8
2.1
3.1
Automotive tire services
2.6
2.7
2.9
3.2
3.6
4.7
Book stores
*
*
*
*
*
0.1
Child care
1.8
1.9
2.0
2.2
2.8
4.5
Consumer electronics
0.3
0.3
0.3
0.3
0.3
0.5
Convenience stores
8.5
8.7
9.2
10.1
11.2
16.3
Crafts and novelties
0.5
0.5
0.5
0.5
0.5
0.3
Dollar stores
8.3
8.6
8.9
9.6
6.2
2.2
Drug stores
11.4
11.2
10.6
9.5
8.1
3.5
Education
0.3
0.3
0.3
0.4
0.4
0.7
Entertainment
0.5
0.5
0.5
0.5
0.6
0.9
Equipment services
*
0.1
0.1
0.1
0.1
0.1
Financial services
1.8
1.4
1.3
1.4
1.5
0.2
General merchandise
1.7
1.5
1.4
1.2
1.1
0.6
Grocery stores
3.4
3.1
3.0
3.0
2.9
3.7
Health and fitness
7.9
8.1
7.7
7.0
6.3
6.8
Health care
0.9
0.9
1.0
1.1
1.1
-
Home furnishings
0.8
0.7
0.7
0.7
0.9
1.0
Home improvement
2.5
2.5
2.4
1.7
1.6
1.5
Jewelry
0.1
0.1
0.1
0.1
0.1
-
Motor vehicle dealerships
1.9
1.9
1.6
1.6
1.6
2.1
Office supplies
0.3
0.3
0.3
0.4
0.5
0.8
Pet supplies and services
0.6
0.6
0.7
0.7
0.8
0.6
Restaurants - casual dining
3.9
3.9
3.8
4.3
5.1
7.3
Restaurants - quick service
5.2
4.9
4.2
3.7
4.4
5.9
Shoe stores
0.5
0.5
0.5
0.1
0.1
0.1
Sporting goods
1.3
1.6
1.8
1.6
1.7
2.5
Telecommunications
*
*
-
-
-
-
Theaters
4.7
4.9
5.1
5.3
6.2
9.4
Transportation services
0.1
0.1
0.1
0.1
0.1
0.2
Wholesale clubs
3.4
3.6
3.8
4.1
3.9
3.2
Other
*
*
*
*
0.1
0.1
Retail industries
81.3%
81.5%
81.1%
80.4%
79.8%
86.7%
Industry Diversification (continued)
Percentage of Rental Revenue(1)
For the
Quarter Ended
For the Years Ended
December 31,
Dec 31,
Dec 31,
Dec 31,
Dec 31,
Dec 31,
Non-retail industries
Aerospace
1.0
1.0
1.1
1.2
1.2
0.9
Beverages
2.8
2.6
2.7
2.8
3.3
5.1
Consumer appliances
0.4
0.5
0.6
0.5
0.6
0.1
Consumer goods
0.9
0.9
0.9
0.9
1.0
0.1
Crafts and novelties
0.1
0.1
0.1
0.1
0.1
-
Diversified industrial
0.9
0.9
0.8
0.5
0.2
0.1
Electric utilities
0.1
0.1
0.1
0.1
*
-
Equipment services
0.4
0.5
0.4
0.5
0.4
0.3
Financial services
0.4
0.4
0.4
0.4
0.5
0.4
Food processing
1.1
1.1
1.2
1.4
1.5
1.3
General merchandise
0.3
0.3
0.3
0.3
-
-
Government services
1.0
1.1
1.2
1.3
1.4
0.1
Health care
0.6
0.6
0.7
0.7
0.8
*
Home furnishings
0.1
0.1
0.2
0.2
0.2
-
Insurance
0.1
0.1
0.1
0.1
0.1
*
Machinery
0.1
0.1
0.1
0.2
0.2
0.1
Other manufacturing
0.7
0.8
0.7
0.7
0.6
-
Packaging
0.9
0.8
0.8
0.8
0.9
0.7
Paper
0.1
0.1
0.1
0.1
0.2
0.1
Shoe stores
0.2
0.2
0.2
0.8
0.9
-
Telecommunications
0.7
0.6
0.7
0.7
0.7
0.8
Transportation services
5.6
5.4
5.3
5.1
5.3
2.2
Other
0.2
0.2
0.2
0.2
0.1
1.0
Non-retail industries
18.7%
18.5%
18.9%
19.6%
20.2%
13.3%
Totals
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
* Less than 0.1%
(1) Includes rental revenue for all properties owned at the end of each period presented, including revenue from properties reclassified as discontinued operations.
Property Type Composition
The following table sets forth certain property type information regarding our property portfolio as of December 31, 2016 (dollars in thousands):
Approximate
Rental Revenue for
Percentage of
Number of
Leasable
the Quarter Ended
Rental
Property Type
Properties
Square Feet
December 31, 2016
(1)
Revenue
Retail
4,774
55,005,900
$
216,904
78.9%
Industrial
24,452,100
36,383
13.2
Office
3,403,200
15,111
5.5
Agriculture
184,500
6,503
2.4
Totals
4,944
83,045,700
$
274,901
100.0%
(1) Includes rental revenue for all properties owned at December 31, 2016. Excludes revenue of $323 from sold properties.
Tenant Diversification
The following table sets forth the largest tenants in our property portfolio, expressed as a percentage of total rental revenue at December 31, 2016:
Tenant
Number of
Properties
% of Rental Revenue
Walgreens
7.0%
FedEx
5.5%
Dollar General
4.2%
LA Fitness
4.0%
Dollar Tree / Family Dollar
3.8%
Circle K (Couche-Tard)
2.6%
AMC Theatres
2.6%
BJ’s Wholesale Club
2.4%
Diageo
2.2%
CVS Pharmacy
2.0%
Super America / Western Refining
2.0%
Walmart / Sam’s Club
1.9%
Regal Cinemas
1.9%
GPM Investments / Fas Mart
1.9%
Rite Aid
1.9%
7-Eleven
1.8%
Life Time Fitness
1.8%
TBC Corporation (Sumitomo)
1.6%
FreedomRoads / Camping World
1.2%
Home Depot
1.1%
Service Category Diversification for our Retail Properties
The following table sets forth certain information regarding the 4,774 retail properties included in our 4,944 total properties owned at December 31, 2016, classified according to the business types and the level of services they provide at the property level (dollars in thousands):
Number of
Retail Rental Revenue
Percentage of
Retail
for the Quarter Ended
Retail Rental
Properties
December 31, 2016
(1)
Revenue
Tenants Providing Services
Automotive collision services
$
2,705
1.2%
Automotive service
5,342
2.5
Child care
4,862
2.2
Education
0.4
Entertainment
1,310
0.6
Equipment services
0.1
Financial services
4,930
2.3
Health and fitness
21,608
10.0
Health care
1,133
0.5
Telecommunications
-
*
Theaters
13,080
6.0
Transportation services
0.1
Other
*
56,216
25.9
Tenants Selling Goods and Services
Automotive parts (with installation)
1,589
0.7
Automotive tire services
7,136
3.3
Convenience stores
23,253
10.7
Motor vehicle dealerships
5,304
2.5
Pet supplies and services
0.3
Restaurants - casual dining
10,128
4.7
Restaurants - quick service
14,330
6.6
2,047
62,462
28.8
Tenants Selling Goods
Apparel stores
5,147
2.4
Automotive parts
2,363
1.1
Book stores
*
Consumer electronics
0.4
Crafts and novelties
1,274
0.6
Dollar stores
22,770
10.5
Drug stores
29,922
13.8
General merchandise
4,223
2.0
Grocery stores
9,291
4.3
Home furnishings
2,065
1.0
Home improvement
6,142
2.8
Jewelry
0.1
Office supplies
0.3
Shoe stores
0.1
Sporting goods
3,503
1.6
Wholesale clubs
9,425
4.3
1,810
98,226
45.3
Total Retail Properties
4,774
$
216,904
100.0%
* Less than 0.1%
(1)
Includes rental revenue for all retail properties owned at December 31, 2016. Excludes revenue of $57,997 from non-retail properties and $323 from sold properties.
Lease Expirations
The following table sets forth certain information regarding our property portfolio regarding the timing of the lease term expirations in our portfolio (excluding rights to extend a lease at the option of the tenant) on our 4,836 net leased, single-tenant properties and their contribution to rental revenue for the quarter ended December 31, 2016 (dollars in thousands):
Total Portfolio(1)
Expiring
Approx.
% of
Leases
Leasable
Rental
Rental
Year
Retail
Non-Retail
Sq. Feet
Revenue(2)
Revenue
1,752,600
$
4,239
1.6%
3,661,200
11,542
4.3
3,912,700
13,556
5.0
4,345,800
12,688
4.7
5,355,200
15,227
5.6
7,843,300
16,939
6.3
6,640,300
22,434
8.3
4,360,000
12,533
4.6
5,227,100
20,452
7.5
4,451,500
14,598
5.4
5,698,000
20,861
7.7
6,296,600
16,426
6.1
6,986,800
20,650
7.7
2,439,100
14,568
5.3
5,110,000
18,527
6.8
2032 - 2043
6,869,300
35,456
13.1
Totals
4,667
80,949,500
$
270,696
100.0%
* Less than 0.1%
(1) Excludes 24 multi-tenant properties and 84 vacant properties. The lease expirations for properties under construction are based on the estimated date of completion of those properties.
(2) Excludes revenue of $4,205 from 24 multi-tenant properties and from 84 vacant properties at December 31, 2016, and $323 from sold properties.
Geographic Diversification
The following table sets forth certain state-by-state information regarding our property portfolio as of December 31, 2016 (dollars in thousands):
Approximate
Rental Revenue for
Percentage of
Number of
Percent
Leasable
the Quarter Ended
Rental
State
Properties
Leased
Square Feet
December 31, 2016
(1)
Revenue
Alabama
97%
1,367,700
$
5,112
1.9%
Alaska
275,900
0.2
Arizona
1,626,300
6,422
2.3
Arkansas
816,500
1,828
0.7
California
5,292,400
26,423
9.6
Colorado
1,097,400
4,375
1.6
Connecticut
535,300
2,571
0.9
Delaware
93,000
0.3
Florida
4,039,500
14,950
5.4
Georgia
4,154,400
12,150
4.4
Idaho
87,000
0.1
Illinois
5,144,000
14,597
5.3
Indiana
2,105,400
8,406
3.1
Iowa
2,970,600
4,089
1.5
Kansas
1,846,400
4,834
1.8
Kentucky
1,368,400
4,026
1.5
Louisiana
1,353,200
3,863
1.4
Maine
178,500
0.3
Maryland
864,400
4,412
1.6
Massachusetts
751,600
3,498
1.3
Michigan
1,651,900
6,398
2.3
Minnesota
1,951,100
9,772
3.5
Mississippi
1,623,600
4,552
1.7
Missouri
2,851,300
8,846
3.2
Montana
87,000
0.2
Nebraska
806,500
2,255
0.8
Nevada
413,000
1,309
0.5
New Hampshire
315,800
1,481
0.5
New Jersey
834,400
4,388
1.6
New Mexico
293,200
0.3
New York
2,505,300
12,331
4.5
North Carolina
2,258,100
7,387
2.7
North Dakota
123,000
0.1
Ohio
6,247,100
14,936
5.4
Oklahoma
1,652,200
4,549
1.6
Oregon
593,300
2,378
0.9
Pennsylvania
1,855,000
7,528
2.7
Rhode Island
153,300
0.3
South Carolina
1,105,100
5,157
1.9
South Dakota
170,700
0.1
Tennessee
3,174,400
8,781
3.2
Texas
9,176,400
25,756
9.4
Utah
956,400
2,170
0.8
Vermont
98,000
0.2
Virginia
2,991,200
7,597
2.8
Washington
687,200
2,941
1.1
West Virginia
284,300
1,098
0.4
Wisconsin
2,136,000
5,473
2.0
Wyoming
54,700
0.1
Puerto Rico
28,300
*
Totals\Average
4,944
98%
83,045,700
$
274,901
100.0%
* Less than 0.1%
(1) Includes rental revenue for all properties owned at December 31, 2016. Excludes revenue of $323 from sold properties.
FORWARD-LOOKING STATEMENTS
This Annual Report on Form 10-K, including the documents incorporated by reference, contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended. When used in this annual report, the words “estimated”, “anticipated”, “expect”, “believe”, “intend” and similar expressions are intended to identify forward-looking statements. Forward-looking statements include discussions of strategy, plans, or intentions of management. Forward-looking statements are subject to risks, uncertainties, and assumptions about Realty Income Corporation, including, among other things:
·
Our anticipated growth strategies;
·
Our intention to acquire additional properties and the timing of these acquisitions;
·
Our intention to sell properties and the timing of these property sales;
·
Our intention to re-lease vacant properties;
·
Anticipated trends in our business, including trends in the market for long-term, net leases of freestanding, single-tenant properties; and
·
Future expenditures for development projects.
Future events and actual results, financial and otherwise, may differ materially from the results discussed in the forward-looking statements. In particular, some of the factors that could cause actual results to differ materially are:
·
Our continued qualification as a real estate investment trust;
·
General business and economic conditions;
·
Competition;
·
Fluctuating interest rates;
·
Access to debt and equity capital markets;
·
Continued volatility and uncertainty in the credit markets and broader financial markets;
·
Other risks inherent in the real estate business including tenant defaults, potential liability relating to environmental matters, illiquidity of real estate investments, and potential damages from natural disasters;
·
Impairments in the value of our real estate assets;
·
Changes in the tax laws of the United States of America;
·
The outcome of any legal proceedings to which we are a party or which may occur in the future; and
·
Acts of terrorism and war.
Additional factors that may cause risks and uncertainties include those discussed in the sections entitled “Business”, “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in this Annual Report.
Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date that this annual report was filed with the Securities and Exchange Commission, or SEC. While forward-looking statements reflect our good faith beliefs, they are not guarantees of future performance. We undertake no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date of this annual report or to reflect the occurrence of unanticipated events. In light of these risks and uncertainties, the forward-looking events discussed in this annual report might not occur.
Item 1A: Risk Factors
This “Risk Factors” section contains references to our “capital stock” and to our “stockholders.” Unless expressly stated otherwise, the references to our “capital stock” represent our common stock and any class or series of our preferred stock, while the references to our “stockholders” represent holders of our common stock and any class or series of our preferred stock.
In order to grow we need to continue to acquire investment properties. The acquisition of investment properties may be subject to competitive pressures.
We face competition in the acquisition and operation of our properties. We expect competition from:
·
Businesses;
·
Individuals;
·
Fiduciary accounts and plans; and
·
Other entities engaged in real estate investment and financing.
Some of these competitors are larger than we are and have greater financial resources. This competition may result in a higher cost for properties we wish to purchase.
Negative market conditions or adverse events affecting our existing or potential tenants, or the industries in which they operate, could have an adverse impact on our ability to attract new tenants, re-lease space, collect rent or renew leases, which could adversely affect our cash flow from operations and inhibit growth.
Cash flow from operations depends in part on our ability to lease space to tenants on economically favorable terms. We could be adversely affected by various facts and events over which we have limited or no control, such as:
·
Lack of demand in areas where our properties are located;
·
Inability to retain existing tenants and attract new tenants;
·
Oversupply of space and changes in market rental rates;
·
Declines in our tenants’ creditworthiness and ability to pay rent, which may be affected by their operations, economic downturns and competition within their industries from other operators;
·
Defaults by and bankruptcies of tenants, failure of tenants to pay rent on a timely basis, or failure of tenants to comply with their contractual obligations;
·
Economic or physical decline of the areas where the properties are located; and
·
Deterioration of physical condition of our properties.
At any time, any tenant may experience a downturn in its business that may weaken its operating results or overall financial condition. As a result, a tenant may delay lease commencement, fail to make rental payments when due, decline to extend a lease upon its expiration, become insolvent, or declare bankruptcy. Any tenant bankruptcy or insolvency, leasing delay or failure to make rental payments when due could result in the termination of the tenant’s lease and material losses to us.
If tenants do not renew their leases as they expire, we may not be able to rent or sell the properties. Furthermore, leases that are renewed, and some new leases for properties that are re-leased, may have terms that are less economically favorable than expiring lease terms, or may require us to incur significant costs, such as renovations, tenant improvements, or lease transaction costs. Negative market conditions may cause us to sell vacant properties for less than their carrying value, which could result in impairments. Any of these events could adversely affect cash flow from operations and our ability to make distributions to stockholders and service indebtedness. A significant portion of the costs of owning property, such as real estate taxes, insurance, and maintenance, are not necessarily reduced when circumstances cause a decrease in rental revenue from the properties. In a weakened financial condition, tenants may not be able to pay these costs of ownership and we may be unable to recover these operating expenses from them.
Further, the occurrence of a tenant bankruptcy or insolvency could diminish the income we receive from the tenant’s lease or leases. In addition, a bankruptcy court might authorize the tenant to terminate its leases with us. If that happens, our claim against the bankrupt tenant for unpaid future rent would be subject to statutory limitations that most likely would result in rent payments that would be substantially less than the remaining rent we are owed under the leases or we may elect not to pursue claims against a tenant for terminated leases. In addition, any claim we have for unpaid past rent, if any, may not be paid in full, or at all. Moreover, in the case of a tenant’s leases that are not terminated as the result of its bankruptcy, we may be required or elect to reduce the rent payable under those leases or provide other concessions, reducing amounts we receive under those leases. As a result, tenant bankruptcies may have a material adverse effect on our results of operations. Any of these events could adversely affect our cash flow from operations and our ability to make distributions to stockholders and service our indebtedness.
Eighty-four of our properties were available for lease or sale at December 31, 2016, all of which were single-tenant properties. At December 31, 2016, 47 of our properties under lease were unoccupied and available for sublease by the tenants, all of which were current with their rent and other obligations. During 2016, each of our tenants accounted for less than 10% of our rental revenue.
For 2016, our tenants in the “drug store” industry accounted for approximately 11.4% of our rental revenue. A downturn in this industry, whether nationwide or limited to specific sectors of the United States, or a change in legislation relating to prescription drugs, could adversely affect tenants in this industry, which in turn could have a material adverse effect on our financial position, results of operations, our ability to pay the principal of and interest on our debt securities and other indebtedness and to make distributions on our common stock, including the common stock offered hereby, and preferred stock.
Individually, each of the other industries in our property portfolio accounted for less than 10% of our rental revenue for 2016. Nevertheless, downturns in these industries could also adversely affect our tenants, which in turn could also have a material adverse effect on our financial position, results of operations and our ability to pay the principal of and interest on our debt securities and other indebtedness and to make distributions on our common stock, and preferred stock. In addition, we may in the future make additional investments in the “drug store” industry, which would increase this industry’s percentage of our rental revenues, thereby increasing the effect that such a downturn in this industry would have on us.
In addition, some of our properties are leased to tenants that may have limited financial and other resources, and therefore, they are more likely to be adversely affected by a downturn in their respective businesses or in the regional, national, or international economy.
Furthermore, we have made and may continue to make selected acquisitions of properties that fall outside our historical focus on freestanding, single-tenant, net lease locations in the United States. We may be exposed to a variety of new risks by expanding into new property types and/or new jurisdictions outside the United States and properties leased to tenants engaged in non-retail businesses. These risks may include limited experience in managing certain types of new properties, new types of real estate locations and lease structures, and the laws and culture of any non-U.S. jurisdiction.
As a property owner, we may be subject to unknown environmental liabilities.
Investments in real property can create a potential for environmental liability. An owner of property can face liability for environmental contamination created by the presence or discharge of hazardous substances on the property. We can face such liability regardless of:
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Our knowledge of the contamination;
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The timing of the contamination;
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The cause of the contamination; or
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The party responsible for the contamination of the property.
There may be environmental conditions associated with our properties of which we are unaware. In that regard, a number of our properties are leased to operators of convenience stores that sell petroleum-based fuels, as well as to operators of oil change and tune-up facilities and operators that use chemicals and other waste products. These facilities, and some other of our properties, use, or may have used in the past, underground lifts or underground tanks for the storage of petroleum-based or waste products, which could create a potential for the release of hazardous substances.
The presence of hazardous substances on a property may adversely affect our ability to lease or sell that property and we may incur substantial remediation costs or third party liability claims. Although our leases generally require our tenants to operate in compliance with all applicable federal, state, and local environmental laws, ordinances and regulations, and to indemnify us against any environmental liabilities arising from the tenants’ activities on the property, we could nevertheless be subject to liability, including strict liability, by virtue of our ownership interest. There also can be no assurance that our tenants could or would satisfy their indemnification obligations under their leases. The discovery of environmental liabilities attached to our properties could have an adverse effect on our results of operations, our financial condition, or our ability to make distributions to stockholders and to pay the principal of and interest on our debt securities and other indebtedness.
In addition, several of our properties were built during the period when asbestos was commonly used in building construction and we may acquire other buildings with asbestos in the future. Environmental laws govern the presence, maintenance, and removal of asbestos-containing materials, or ACMs, and require that owners or operators of buildings containing asbestos properly manage and maintain the asbestos, that they adequately inform or train those who may come into contact with asbestos and that they undertake special precautions, including removal or other abatement in the event that asbestos is disturbed during renovation or demolition of a building. These laws may impose fines and penalties on building owners or operators for failure to comply with these requirements and may allow third parties to seek recovery from owners or operators for personal injury associated with exposure to asbestos fibers.
It is possible that our insurance could be insufficient to address any particular environmental situation and/or that, in the future, we could be unable to obtain insurance for environmental matters at a reasonable cost, or at all. Our tenants are generally responsible for, and indemnify us against, liabilities for environmental matters that arise during the lease terms as a result of tenants’ activities on the properties. For properties that have underground storage tanks, in addition to providing an indemnity in our favor, the tenants generally are required to meet applicable state financial assurance obligations, including maintaining certain minimum net worth requirements, obtaining environmental insurance, or relying upon the state trust funds where available in the states where these properties are located to reimburse responsible parties for costs of environmental remediation. However, it is possible that one or more of our tenants could fail to have sufficient funds to cover any such indemnification or to meet applicable state financial assurance obligations, and thus we may still be obligated to pay for any such environmental liabilities.
Compliance. We have not been notified by any governmental authority, and are not otherwise aware, of any material noncompliance, liability, or claim relating to hazardous substances, toxic substances, or petroleum products in connection with any of our properties. In addition, we believe we are in compliance in all material respects with all present federal, state, and local laws relating to ACMs. Nevertheless, if environmental contamination should exist, we could be subject to liability, including strict liability, by virtue of our ownership interest.
Insurance and Indemnity. In July 2012, we entered into a ten-year environmental insurance policy that expires in July 2022 and replaced our previous seven-year environmental insurance policy. The limits on our current policy are $10 million per occurrence and $60 million in the aggregate. The limits on the excess policy are $5 million per occurrence and $10 million in the aggregate. Therefore, the primary and excess ten-year policies together provide a total limit of $15 million per occurrence and $70 million in the aggregate.
It is possible that our insurance could be insufficient to address any particular environmental situation and that, in the future, we could be unable to obtain insurance for environmental matters at a reasonable cost, or at all. Our tenants are generally responsible for, and indemnify us against, liabilities for environmental matters that occur on our properties. For properties that have underground storage tanks, in addition to providing an indemnity in our favor, the tenants generally obtain environmental insurance or rely upon the state funds in the states where these properties are located to reimburse tenants for environmental remediation.
If we fail to qualify as a REIT, the amount of dividends we are able to pay would decrease, which could adversely affect the market price of our capital stock and could adversely affect the value of our debt securities.
Commencing with our taxable year ended December 31, 1994, we believe that we have been organized and have operated, and we intend to continue to operate, so as to qualify as a REIT under Sections 856 through 860 of the Code. However, we cannot assure you that we have been organized or have operated in a manner that has satisfied the requirements for qualification as a REIT, or that we will continue to be organized or operate in a manner that will allow us to continue to qualify as a REIT.
Qualification as a REIT involves the satisfaction of numerous requirements under highly technical and complex Code provisions, for which there are only limited judicial and administrative interpretations, as well as the determination of various factual matters and circumstances not entirely within our control.
For example, in order to qualify as a REIT, at least 95% of our gross income in each year must be derived from qualifying sources, and we must pay distributions to stockholders aggregating annually at least 90% of our taxable income (excluding net capital gains).
In the future, it is possible that legislation, new regulations, administrative interpretations, or court decisions will change the tax laws with respect to qualification as a REIT, or the federal income tax consequences of such qualification. Also, the law relating to the tax treatment of other entities, or an investment in other entities, could change, making an investment in such other entities more attractive relative to an investment in a REIT.
If we fail to satisfy all of the requirements for qualification as a REIT, we may be subject to certain penalty taxes or, in some circumstances, we may fail to qualify as a REIT. If we were to fail to qualify as a REIT in any taxable year:
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We would be required to pay federal income tax (including any applicable alternative minimum tax) on our taxable income at regular corporate rates;
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We would not be allowed a deduction for amounts distributed to our stockholders in computing our taxable income;
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We could be disqualified from treatment as a REIT for the four taxable years following the year during which qualification is lost;
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We would no longer be required to make distributions to stockholders; and
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This treatment would substantially reduce amounts available for investment or distribution to stockholders because of the additional tax liability for the years involved, which could have a material adverse effect on the market price of our capital stock and the value of our debt securities.
Even if we qualify for and maintain our REIT status, we may be subject to certain federal, state, and local taxes on our income and property. For example, if we have net income from a prohibited transaction, that income will be subject to a 100% tax. In addition, our taxable REIT subsidiaries, including Crest, are subject to federal and state taxes at the applicable tax rates on their income and property. Any failure to comply with legal and regulatory tax obligations could adversely affect our ability to conduct business and could adversely affect the market price of our capital stock and the value of our debt securities.
Distribution requirements imposed by law limit our flexibility.
To maintain our status as a REIT for federal income tax purposes, we generally are required to distribute to our stockholders at least 90% of our taxable income, excluding net capital gains, each year. We also are subject to tax at regular corporate rates to the extent that we distribute less than 100% of our taxable income (including net capital gains) each year.
In addition, we are subject to a 4% nondeductible excise tax to the extent that we fail to distribute during any calendar year at least the sum of 85% of our ordinary income for that calendar year, 95% of our capital gain net income for the calendar year, and any amount of that income that was not distributed in prior years.
We intend to continue to make distributions to our stockholders to comply with the distribution requirements of the Code as well as to reduce our exposure to federal income taxes and the nondeductible excise tax. Differences in timing between the receipt of income and the payment of expenses to arrive at taxable income, along with the effect of required debt amortization payments, could require us to borrow funds on a short-term basis to meet the distribution requirements that are necessary to achieve the tax benefits associated with qualifying as a REIT.
Future issuances of equity securities could dilute the interest of holders of our common stock.
Our future growth will depend, in large part, upon our ability to raise additional capital. If we were to raise additional capital through the issuance of equity securities, we could dilute the interests of holders of our common stock. The interests of our common stockholders could also be diluted by the issuance of shares of common stock pursuant to stock incentive plans. Likewise, our Board of Directors is authorized to cause us to issue preferred stock of any class or series (with dividend, voting and other rights as determined by our Board of Directors). Accordingly, our Board of Directors may authorize the issuance of preferred stock with voting, dividend and other similar rights that could dilute, or otherwise adversely affect, the interest of holders of our common stock.
We may acquire properties or portfolios of properties through tax deferred contribution transactions, which could result in stockholder dilution and limit our ability to sell or refinance such assets.
We have in the past and may in the future acquire properties or portfolios of properties through tax deferred contribution transactions in exchange for partnership units in an operating partnership, which could result in stockholder dilution through the issuance of operating partnership units that, under certain circumstances, may be exchanged for shares of our common stock. This acquisition structure may have the effect of, among other things, reducing the amount of tax depreciation we could deduct over the tax life of the acquired properties, and may require that we agree to restrictions on our ability to dispose of, or refinance the debt on, the acquired properties in order to protect the contributors’ ability to defer recognition of taxable gain. Similarly, we may be required to incur or maintain debt we would otherwise not incur so we can allocate the debt to the contributors to maintain their tax bases. These restrictions could limit our ability to sell or refinance an asset at a time, or on terms, that would be favorable absent such restrictions.
We are subject to risks associated with debt and capital stock financing.
We intend to incur additional indebtedness in the future, including borrowings under our $2.0 billion unsecured revolving credit facility. At December 31, 2016, we had $1.12 billion of outstanding borrowings under our revolving credit facility, a total of $3.98 billion of outstanding unsecured senior debt securities (excluding unamortized original issuance discounts of $19.8 million and deferred financing costs of $20.8 million), $320.0 million of borrowings outstanding under our senior unsecured term loans (excluding deferred financing costs of $873,000) and approximately $460.0 million of outstanding mortgage debt (excluding net unamortized premiums totaling $6.4 million and deferred financing costs of $324,000 on this mortgage debt). To the extent that new indebtedness is added to our current debt levels, the related risks that we now face would increase. As a result, we are and will be subject to risks associated with debt financing, including the risk that our cash flow could be insufficient to make required payments on our debt. We also face variable interest rate risk as the interest rates on our revolving credit facility, our term loans and some of our mortgage debt are variable and could therefore increase over time. We also face the risk that we may be unable to refinance or repay our debt as it comes due. Given past disruptions in the financial markets and the ongoing global financial crisis and related uncertainties, including the impact of the United Kingdom’s advisory referendum to withdraw from the European Union (referred to as Brexit), we also face the risk that one or more of the participants in our revolving credit facility may not be able to lend us money.
In addition, our revolving credit facility, our term loan facilities and mortgage loan documents contain provisions that could limit or, in certain cases, prohibit the payment of dividends and other distributions on our common stock and preferred stock. In particular, our revolving credit facility and our $250.0 million term loan facility, both of which are governed by the same credit agreement, provide that, if an event of default (as defined in the credit agreement) exists, neither we nor any of our subsidiaries (other than our wholly-owned subsidiaries) may make any dividends or other distributions on (except distributions payable in shares of a given class of our stock to the stockholders of that class), or repurchase or redeem, among other things, any shares of our common stock or preferred stock, during any period of four consecutive fiscal quarters in an aggregate amount in excess of the greater of:
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The sum of (a) 95% of our adjusted funds from operations (as defined in the credit agreement) for that period plus (b) the aggregate amount of cash distributions on our preferred stock for that period, and
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The minimum amount of cash distributions required to be made to our stockholders in order to maintain our status as a REIT for federal income tax purposes and to avoid the payment of any income or excise taxes that would otherwise be imposed under specified sections of the Code on income we do not distribute to our stockholders,
except that we may repurchase or redeem shares of our preferred stock with the net proceeds from the issuance of shares of our common stock or preferred stock. The credit agreement further provides that, in the event of a failure to pay principal, interest or any other amount payable thereunder when due or upon the occurrence of certain events of bankruptcy, insolvency or reorganization with respect to us or with respect to one or more of our subsidiaries that in the aggregate meet a significance test set forth in the credit agreement, we and our subsidiaries (other than our wholly-owned subsidiaries) may not pay any dividends or other distributions on (except for (a) distributions payable in shares of a given class of our stock to the stockholders of that class and (b) dividends and distributions described in the second bullet point above), or repurchase or redeem, among other things, any shares of our common stock or preferred stock. If any such event of default
under the credit agreement were to occur, it would likely have a material adverse effect on the market price of our outstanding common and preferred stock and on the market value of our debt securities, could limit the amount of dividends or other distributions payable on our common stock and preferred stock or the amount of interest and principal we are able to pay on our indebtedness, or prevent us from paying those dividends, other distributions, interest or principal altogether, and may adversely affect our ability to qualify, or prevent us from qualifying, as a REIT. Likewise, one of our subsidiaries is the borrower under our $70.0 million term loan facility and that facility requires that this subsidiary maintain its consolidated tangible net worth (as defined in the term loan facility) above a certain minimum dollar amount and comply with certain other financial covenants. This minimum consolidated tangible net worth covenant may limit the ability of this subsidiary, as well as other subsidiaries that are owned by this subsidiary, to provide funds to us in order to pay dividends and other distributions on our common stock and preferred stock and amounts due on our indebtedness. Any failure by this subsidiary to comply with these financial covenants will, and any failure by this subsidiary to comply with other covenants in our $70.0 million term loan facility may, result in an event of default under that facility, which could have adverse consequences similar to those that may result from an event of default under our revolving credit facility or $250.0 million term loan facility as described above.
Our indebtedness could also have other important consequences to holders of our common stock, preferred stock, and debt securities, including:
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Increasing our vulnerability to general adverse economic and industry conditions;
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Limiting our ability to obtain additional financing to fund future working capital, acquisitions, capital expenditures and other general corporate requirements;
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Requiring the use of a substantial portion of our cash flow from operations for the payment of principal and interest on our indebtedness, thereby reducing our ability to use our cash flow to fund working capital, acquisitions, capital expenditures, and general corporate requirements;
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Limiting our flexibility in planning for, or reacting to, changes in our business and our industry; and
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Putting us at a disadvantage compared to our competitors with less indebtedness.
If we default under a credit facility, loan agreement or other debt instrument, the lenders will generally have the right to demand immediate repayment of the principal and interest on all of their loans and, in the case of secured indebtedness, to exercise their rights to seize and sell the collateral.
In addition, we have 16,350,000 shares of Class F preferred stock outstanding, the holders of which are entitled to receive, before any dividends are paid on our common stock, monthly dividends, when, as and if authorized by our board of directors and declared by us, at the rate of $1.65625 per annum per share. As a result, we are subject to risks associated with preferred stock financing, including the risk that our cash flow will be insufficient to pay dividends on our preferred stock.
Our business operations may not generate the cash needed to make distributions on our capital stock or to service our indebtedness.
Our ability to make distributions on our common stock and preferred stock and payments on our indebtedness, and to fund planned acquisitions and capital expenditures will depend on our ability to generate cash in the future. We cannot assure you that our business will generate sufficient cash flow from operations or that future borrowings will be available to us in an amount sufficient to enable us to make distributions on our common stock and preferred stock, to pay our indebtedness, or to fund our other liquidity needs.
The market value of our capital stock and debt securities could be substantially affected by various factors.
The market value of our capital stock and debt securities will depend on many factors, which may change from time to time and may be outside of our control, including:
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Prevailing interest rates, increases in which may have an adverse effect on the market value of our capital stock and debt securities;
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The market for similar securities issued by other REITs;
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General economic, political and financial market conditions;
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The financial condition, performance and prospects of us, our tenants and our competitors;
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Changes in legal and regulatory taxation obligations;
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Litigation and regulatory proceedings;
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Changes in financial estimates or recommendations by securities analysts with respect to us, our competitors or our industry;
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Changes in our credit ratings; and
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Actual or anticipated variations in quarterly operating results of us and our competitors.
In addition, over the last several years, prices of common stock and debt securities in the United States, or U.S., trading markets have been experiencing extreme price fluctuations, and the market values of our common stock and debt securities have also fluctuated significantly during this period. As a result of these and other factors, investors who purchase our capital stock and debt securities may experience a decrease, which could be substantial and rapid, in the market value of our capital stock and debt securities, including decreases unrelated to our operating performance or prospects.
Real estate ownership is subject to particular conditions that may have a negative impact on our revenue.
We are subject to all of the inherent risks associated with the ownership of real estate. In particular, we face the risk that rental revenue from our properties may be insufficient to cover all corporate operating expenses, debt service payments on indebtedness we incur, and distributions on our capital stock. Additional real estate ownership risks include:
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Adverse changes in general or local economic conditions;
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Changes in supply of, or demand for, similar or competing properties;
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Changes in interest rates and operating expenses;
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Competition for tenants;
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Changes in market rental rates;
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Inability to lease properties upon termination of existing leases;
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Renewal of leases at lower rental rates;
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Inability to collect rents from tenants due to financial hardship, including bankruptcy;
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Changes in tax, real estate, zoning and environmental laws that may have an adverse impact upon the value of real estate;
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Uninsured property liability;
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Property damage or casualty losses;
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Unexpected expenditures for capital improvements, including requirements to bring properties into compliance with applicable federal, state and local laws;
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The need to periodically renovate and repair our properties;
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Development oriented activities;
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Physical or weather-related damage to properties;
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The potential risk of functional obsolescence of properties over time;
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Acts of terrorism and war; and
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Acts of God and other factors beyond the control of our management.
Real estate property investments are illiquid; therefore, the company may not be able to dispose of properties when desired or on favorable terms.
Real estate investments are relatively illiquid. Our ability to quickly sell or exchange any of our properties in response to changes in economic and other conditions will be limited. No assurances can be given that we will recognize full value, at a price and at terms that are acceptable to us, for any property that we are required to sell for liquidity reasons. Our inability to respond rapidly to changes in the performance of our investments could adversely affect our financial condition and results of operations.
Our acquisition of additional properties may have a significant effect on our business, liquidity, financial position and/or results of operations.
We are engaged in the process of identifying, analyzing, underwriting, and negotiating possible acquisition transactions. We cannot provide any assurances that we will be successful in consummating future acquisitions on favorable terms or that we will realize the benefits that we anticipate from such acquisitions. Our inability to consummate one or more acquisitions on such terms, our failure to adequately underwrite and identify risks and obligations when acquiring properties, or our failure to realize the intended benefits from one or more acquisitions, could have a significant adverse effect on our business, liquidity, financial position and/or results of operations, including as a result of our incurrence of additional indebtedness and related interest expense and our assumption of unforeseen contingent liabilities in connection with completed acquisitions.
An uninsured loss or a loss that exceeds the policy limits on our properties could subject us to lost capital or revenue on those properties.
Under the terms and conditions of the leases currently in force on our properties, tenants generally are required to indemnify and hold us harmless from liabilities resulting from injury to persons, air, water, land or property, due to activities conducted on the properties, except for claims arising from the negligence or intentional misconduct of us or our agents. Additionally, tenants are generally required, at the tenant’s expense, to obtain and keep in full force during the term of the lease, liability and property damage insurance policies. The insurance policies our tenants are required to maintain for property damage are generally in amounts not less than the full replacement cost of the improvements less slab, foundations, supports and other customarily excluded improvements. Our tenants are generally required to maintain general liability coverage depending on the tenant and the industry in which the tenant operates.
In addition to the indemnities and required insurance policies identified above, many of our properties are also covered by flood and earthquake insurance policies (subject to substantial deductibles) obtained and paid for by the tenants as part of their risk management programs. Additionally, we have obtained blanket liability, flood and earthquake (subject to substantial deductibles) and property damage insurance policies to protect us and our properties against loss should the indemnities and insurance policies provided by the tenants fail to restore the properties to their condition prior to a loss. However, should a loss occur that is uninsured or in an amount exceeding the combined aggregate limits for the policies noted above, or in the event of a loss that is subject to a substantial deductible under an insurance policy, we could lose all or part of our capital invested in, and anticipated revenue from, one or more of the properties, which could have a material adverse effect on our results of operations or financial condition and on our ability to pay the principal of and interest on our debt securities and other indebtedness and to make distributions to our stockholders. We also face the risk that our insurance carriers may not be able to provide payment under any potential claims that might arise under the terms of our insurance policies, and we may not have the ability to purchase insurance policies we desire.
In addition, although we obtain title insurance policies of our properties to protect us and our properties against unknown title defects (such as claims of ownership, liens or other encumbrances), there may be certain title defects that our title insurance will not cover. If a material title defect related to any of our properties is not adequately covered by a title insurance policy, we could lose some or all of our capital invested in and our anticipated profits from such property, cause a financial misstatement or lead to reputational damage to the company.
Compliance with the Americans with Disabilities Act of 1990 and fire, safety, and other regulations may require us to make unintended expenditures that could adversely impact our results of operations.
Our properties are generally required to comply with the Americans with Disabilities Act of 1990, or the ADA. The ADA has separate compliance requirements for “public accommodations” and “commercial facilities,” but generally requires that buildings be made accessible to people with disabilities. Compliance with the ADA requirements could require removal of access barriers and non-compliance could result in imposition of fines by the U.S. government or an award of damages to private litigants. The retailers to whom we lease properties are obligated by law to comply with the ADA provisions, and we believe that these retailers may be obligated to cover costs associated with compliance. If required changes involve greater expenditures than anticipated, or if the changes must be made on a more accelerated basis than anticipated, the ability of these retailers to cover costs could be adversely affected and we could be required to expend our own funds to comply with the provisions of the ADA, which could materially adversely affect our results of operations or financial condition and our ability to pay the principal of and interest on our debt securities and other indebtedness and to make distributions to our stockholders. In addition, we are required to operate our properties in compliance with fire and safety regulations, building codes and other land use regulations, as they may be adopted by governmental agencies and bodies and become applicable to our properties. We may be required to make substantial capital expenditures to comply with those requirements and these expenditures could have a material adverse effect on our results of operations or financial condition and our ability to pay the principal of and interest on our debt securities and other indebtedness and to make distributions to our stockholders.
Litigation risks could affect our business.
From time to time, we are involved in legal proceedings, lawsuits, and other claims. An unfavorable resolution of litigation may have a material adverse effect on our business, results of operations and financial condition. Regardless of its outcome, litigation may result in substantial costs and expenses and significantly divert the attention of management.
Property taxes may increase without notice.
The real property taxes on our properties and any other properties that we develop or acquire in the future may increase as property tax rates change and as those properties are assessed or reassessed by tax authorities.
We depend on key personnel.
We depend on the efforts of our executive officers and key employees. The loss of the services of our executive officers and key employees could have a material adverse effect on our results of operations or financial condition and on our ability to pay the principal and interest on our debt securities and other indebtedness and to make distributions to our stockholders. It is possible that we will not be able to recruit additional personnel with equivalent experience in the net lease industry.
Natural disasters, terrorist attacks, other acts of violence or war, or other unexpected events may affect the value of our debt and equity securities, the markets in which we operate and our results of operations.
Natural disasters, terrorist attacks, other acts of violence or war, or other unexpected events may negatively affect our operations, the market price of our capital stock and the value of our debt securities. There can be no assurance that events like these will not occur or have a direct impact on our tenants, our business or the United States generally.
If events like these were to occur, they could materially interrupt our business operations, cause consumer confidence and spending to decrease or result in increased volatility in the U.S. and worldwide financial markets and economy. They also could result in or prolong an economic recession in the U.S. or abroad. Any of these occurrences could have a significant adverse impact on our operating results and revenues and on the market price of our capital stock and on the value of our debt securities. It could also have an adverse effect on our ability to pay principal and interest on our debt securities or other indebtedness and to make distributions to our stockholders.
We rely on information technology in our operations, and any material failure, inadequacy, interruption or security failure of that technology could harm our business.
We rely on information technology networks and systems, including the Internet, to process, transmit and store electronic information and to manage or support a variety of our business processes, including financial transactions and maintenance of records, which may include personal identifying information. Although we have taken steps to protect the security of the data maintained in our information systems, our security measures may not be able to prevent the systems’ improper functioning, or the theft of intellectual property, personal information, or personal property, such as in the event of cyber-attacks. Any failure to maintain proper function, security and availability of our information systems could interrupt our operations, result in theft of company assets, damage our reputation, subject us to liability claims and could adversely affect our business, financial condition and results of operations.
In addition, we may experience difficulties implementing or maintaining our new enterprise resource planning system, which we intend to implement during 2017, which could potentially result in disruption to our normal accounting procedures and internal control over financial reporting, inaccuracies in the conversion of electronic data, difficulties integrating the systems and processes, additional costs to continue to refine the system’s functionality, and disruption of our financial reporting process.
Disruptions in the financial markets could affect our ability to obtain financing on reasonable terms and have other adverse effects on us and the market price of our common stock.
Over the last several years, the United States stock and credit markets have experienced significant price volatility, dislocations and liquidity disruptions, which have caused market prices of many stocks and debt securities to fluctuate substantially and the spreads on prospective debt financings to widen considerably. In addition, the ongoing global financial crisis (which includes concerns that certain European countries may be unable to pay their national debt) has had a similar effect. These circumstances have materially impacted
liquidity in the financial markets, making terms for certain financings less attractive, and in certain cases have resulted in the unavailability of certain types of financing. Unrest in certain Middle Eastern countries and resultant fluctuation in petroleum prices have added to the uncertainty in the capital markets. Continued uncertainty in the stock and credit markets may negatively impact our ability to access additional financing at reasonable terms, which may negatively affect our ability to make acquisitions. A prolonged downturn in the stock or credit markets may cause us to seek alternative sources of potentially less attractive financing, and may require us to adjust our business plan accordingly. In addition, these factors may make it more difficult for us to sell properties or may adversely affect the price we receive for properties that we do sell, as prospective buyers may experience increased costs of financing or difficulties in obtaining financing. These events in the stock and credit markets may make it more difficult or costly for us to raise capital through the issuance of our common stock or preferred stock or debt securities. These disruptions in the financial markets also may have a material adverse effect on the market value of our common stock, preferred stock and debt securities, the income we receive from our properties and the lease rates we can charge for our properties, as well as other unknown adverse effects on us or the economy in general.
Inflation may adversely affect our financial condition and results of operations.
Although inflation has not materially impacted our results of operations in the recent past, increased inflation could have a more pronounced negative impact on any variable rate debt we incur in the future and on our results of operations. During times when inflation is greater than increases in rent, as provided for in our leases, rent increases may not keep up with the rate of inflation. Likewise, even though net leases reduce our exposure to rising property expenses due to inflation, substantial inflationary pressures and increased costs may have an adverse impact on our tenants if increases in their operating expenses exceed increases in revenue, which may adversely affect the tenants’ ability to pay rent.
Current volatility in market and economic conditions may impact the accuracy of the various estimates used in the preparation of our financial statements and footnotes to the financial statements.
Various estimates are used in the preparation of our financial statements, including estimates related to asset and liability valuations (or potential impairments), and various receivables. Often these estimates require the use of market data values that are currently difficult to assess, as well as estimates of future performance or receivables collectability that can also be difficult to accurately predict. Although management believes it has been prudent and used reasonable judgment in making these estimates, it is possible that actual results may differ from these estimates.
Inherent limitations of internal controls over financial statements and safeguarding of assets may adversely impact our financial condition and results of operations.
Our internal controls over financial reporting and our operating internal controls may not prevent or detect financial misstatements or loss of assets because of inherent limitations, including the possibility of human error, the circumvention or overriding of controls, or fraud. Effective internal controls can provide only reasonable assurance with respect to financial statement accuracy and safeguarding of assets. Any failure of these internal controls could result in decreased investor confidence in the accuracy and completeness of our financial reports, civil litigation or investigations by the NYSE, the SEC or other regulatory authorities, which may adversely impact our financial condition and results of operations.
Changes in accounting standards may adversely impact our financial condition and results of operations.
The Financial Accounting Standards Board, or FASB, in conjunction with the SEC, has several key projects on their agenda that could impact how we currently account for our material transactions. At this time, we are unable to predict with certainty which, if any, proposals may be passed or what level of impact any such proposal could have on the presentation of our consolidated financial statements, our results of operations and our financial ratios required by our debt covenants.
Our business could be negatively affected as a result of actions of activist stockholders and shareholder advisory firms.
Campaigns by stockholders to effect changes at publicly traded companies are sometimes led by investors seeking to increase short-term stockholder value through actions such as financial restructuring, increased debt, special dividends, stock repurchases or sales of assets or the entire company. If we become engaged in a process or proxy contest with an activist stockholder in the future, our business could be adversely affected, as such activities could be costly and time-consuming, disrupt our operations and divert the attention of
management and our employees from executing our business plan. Additionally, perceived uncertainties as to our future direction as a result of stockholder activism or actual or potential changes to the composition of our Board of Directors or management team may lead to the perception of a change in the direction of our business, instability or lack of continuity, which may be exploited by our competitors, cause concern to current or potential sellers of properties, tenants and financing sources, and make it more difficult to attract and retain qualified personnel. If potential or existing sellers of properties, tenants or financing sources choose to delay, defer or reduce transactions with us or transact with our competitors instead of us because of any such issues, then our results of operations could be adversely affected. Similarly, we may suffer damage to our reputation (for example, regarding our corporate governance or stockholder relations) or brand by way of actions taken or statements made by outside constituents, including activist investors and shareholder advisory firms, which could adversely affect the market price of our common stock and preferred stock and the value of our debt securities, including the notes, resulting in significant loss of value, which could impact our ability to access capital, increase our cost of capital, and decrease our ability to acquire properties on attractive terms.
Our charter contains restrictions upon ownership of our common stock.
Our charter contains restrictions on ownership and transfer of our common stock intended to, among other purposes, assist us in maintaining our status as a REIT for United States federal and/or state income tax purposes. For example, our charter restricts any person from acquiring actual or constructive ownership of more than 9.8% (in value or number of shares, whichever is more restrictive) of our outstanding common stock. These restrictions could have anti-takeover effects and could reduce the possibility that a third party will attempt to acquire control of us, which could adversely affect the market price of our common stock.
Item 1B: Unresolved Staff comments
There are no unresolved staff comments.
Item 2: Properties
Information pertaining to our properties can be found under Item 1.
Item 3: Legal Proceedings
We are subject to certain claims and lawsuits in the ordinary course of business, the outcome of which cannot be determined at this time. In the opinion of management, any liability we might incur upon the resolution of these claims and lawsuits will not, in the aggregate, have a material adverse effect on our consolidated financial position or results of operations.
Item 4: Mine Safety Disclosures
None.
PART II
Item 5: Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
A. Our common stock is traded on the NYSE under the ticker symbol “O.” The following table shows the high and low sales prices per share for our common stock as reported by the NYSE, and distributions declared per share of common stock for the periods indicated.
Price Per Share
of Common Stock
Distributions
High
Low
Declared (1)
First Quarter
$
62.89
$
50.47
$
0.5960000
Second Quarter
69.36
58.30
0.5975000
Third Quarter
72.30
63.33
0.6030000
Fourth Quarter
66.75
52.72
0.6065000
Total
$
2.4030000
First Quarter
$
55.54
$
47.95
$
0.5675000
Second Quarter
52.66
44.23
0.5690000
Third Quarter
48.88
43.15
0.5705000
Fourth Quarter
52.41
45.65
0.5720000
Total
$
2.2790000
(1) Common stock cash distributions are declared monthly by us based on financial results for the prior months. At December 31, 2016, a distribution of $0.2025 per common share had been declared and was paid in January 2017.
B. There were 9,896 registered holders of record of our common stock as of December 31, 2016. We estimate that our total number of stockholders is over 421,000 when we include both registered and beneficial holders of our common stock.
C. During the fourth quarter of 2016, the following shares of stock were withheld for state and federal payroll taxes on the vesting of employee stock awards, as permitted under the 2012 Incentive Award Plan of Realty Income Corporation:
· 17 shares of stock, at a weighted average price of $66.93, in October 2016;
· 69 shares of stock, at a weighted average price of $57.74, in November 2016; and
· 16,922 shares of stock, at a weighted average price of $57.45, in December 2016.
Item 6: Selected Financial Data
(not covered by Report of Independent Registered Public Accounting Firm)
(dollars in thousands, except for per share data)
The following table sets forth our selected historical consolidated financial information for each of the five years in the period ended December 31, 2016. The statements of income data, the statements of equity data, the statements of cash flows data and the other data for the years ended December 31, 2016, 2015 and 2014 and the balance sheet data as of December 31, 2016 and 2015 were derived from our audited consolidated financial statements included elsewhere in this Form 10-K. The statements of income data, the statements of equity data, the statement of cash flows data and the other data for the years ended December 31, 2013 and 2012, and the balance sheet data as of December 31, 2014, 2013 and 2012 were derived from our audited consolidated financial statements that are not included in this Form 10-K.
The selected financial data presented below is not necessarily indicative of results of future operations and should be read in conjunction with our consolidated financial statements and the information included under the headings “Management’s Discussion and Analysis of Financial Condition and Results of Operations” included elsewhere in this Form 10-K.
As of or for the years ended December 31,
Total assets (book value)
$
13,152,871
$
11,845,379
$
10,989,349
$
9,903,118
$
5,412,135
Cash and cash equivalents
9,420
40,294
3,852
10,257
5,248
Total debt
5,839,605
4,820,995
4,907,673
4,145,517
2,852,640
Total liabilities
6,365,818
5,292,046
5,348,249
4,481,760
2,999,340
Total equity
6,787,053
6,553,333
5,641,099
5,421,358
2,412,794
Net cash provided by operating activities
804,045
692,303
627,692
518,906
326,469
Net change in cash and cash equivalents
(30,874
)
36,442
(6,405
)
5,009
1,083
Total revenue
1,103,172
1,023,285
933,505
780,209
484,581
Income from continuing operations
316,477
284,855
269,140
180,613
141,895
Income from discontinued operations
-
-
2,800
65,670
17,257
Net income
316,477
284,855
271,940
246,283
159,152
Preferred stock dividends
(27,080
)
(27,080
)
(37,062
)
(41,930
)
(40,918
)
Excess of redemption value over carrying value of preferred shares redeemed
-
-
(6,015
)
-
(3,696
)
Net income available to common stockholders
288,491
256,686
227,558
203,634
114,538
Cash distributions paid to common stockholders
610,516
533,238
479,256
409,222
236,348
Basic and diluted net income per common share
1.13
1.09
1.04
1.06
0.86
Cash distributions paid per common share
2.391500
2.271417
2.191625
2.147459
1.771625
Cash distributions declared per common share
2.403000
2.279000
2.192875
2.177875
1.777875
Basic weighted average number of common shares outstanding
255,066,500
235,767,932
218,390,885
191,754,857
132,817,472
Diluted weighted average number of common shares outstanding
255,624,250
236,208,390
218,767,885
191,781,622
132,884,933
Item 7: Management’s Discussion and Analysis of Financial Condition and Results of Operations
GENERAL
Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing stockholders with dependable monthly dividends that increase over time. The company is structured as a real estate investment trust, or REIT, requiring it annually to distribute at least 90% of its taxable income (excluding net capital gains) in the form of dividends to its stockholders. The monthly dividends are supported by the cash flow generated from real estate owned under long-term, net lease agreements with regional and national commercial tenants. The company has in-house acquisition, portfolio management, asset management, real estate research, credit research, legal, finance and accounting, information technology and capital markets capabilities.
Realty Income was founded in 1969, and listed on the New York Stock Exchange (NYSE: O) in 1994. Over the past 48 years, Realty Income has been acquiring and managing freestanding commercial properties that generate rental revenue under long-term net lease agreements. The company is a member of the S&P High Yield Dividend Aristocrats® index for having increased its dividend every year for more than 20 consecutive years.
At December 31, 2016, we owned a diversified portfolio:
· Of 4,944 properties;
· With an occupancy rate of 98.3%, or 4,860 properties leased and 84 properties available for lease;
· Leased to 248 different commercial tenants doing business in 47 separate industries;
· Located in 49 states and Puerto Rico;
· With over 83.0 million square feet of leasable space; and
· With an average leasable space per property of approximately 16,800 square feet; approximately 11,520 square feet per retail property and 220,290 square feet per industrial property.
Of the 4,944 properties in the portfolio, 4,920, or 99.5%, are single-tenant properties, and the remaining are multi-tenant properties. At December 31, 2016, of the 4,920 single-tenant properties, 4,836 were leased with a weighted average remaining lease term (excluding rights to extend a lease at the option of the tenant) of approximately 9.8 years.
LIQUIDITY AND CAPITAL RESOURCES
Capital Philosophy
Historically, we have met our long-term capital needs by issuing common stock, preferred stock and long-term unsecured notes and bonds. Over the long term, we believe that common stock should be the majority of our capital structure; however, we may issue additional preferred stock or debt securities. We may issue common stock when we believe that our share price is at a level that allows for the proceeds of any offering to be accretively invested into additional properties. In addition, we may issue common stock to permanently finance properties that were initially financed by our credit facility or debt securities. However, we cannot assure you that we will have access to the capital markets at all times and at terms that are acceptable to us.
Our primary cash obligations, for the current year and subsequent years, are included in the “Table of Obligations,” which is presented later in this section. We expect to fund our operating expenses and other short-term liquidity requirements, including property acquisitions and development costs, payment of principal and interest on our outstanding indebtedness, property improvements, re-leasing costs and cash distributions to common and preferred stockholders, primarily through cash provided by operating activities, borrowing on our credit facility and periodically through public securities offerings.
Conservative Capital Structure
We believe that our stockholders are best served by a conservative capital structure. Therefore, we seek to maintain a conservative debt level on our balance sheet and solid interest and fixed charge coverage ratios. At December 31, 2016, our total outstanding borrowings of senior unsecured notes and bonds, term loans, mortgages payable and credit facility borrowings were $5.875 billion, or approximately 27.6% of our total market capitalization of $21.26 billion.
We define our total market capitalization at December 31, 2016 as the sum of:
· Shares of our common stock outstanding of 260,168,259, plus total common units outstanding of 405,204, multiplied by the last reported sales price of our common stock on the NYSE of $57.48 per share on December 31, 2016, or $14.98 billion;
· Aggregate liquidation value (par value of $25.00 per share) of the Class F preferred stock of $408.8 million;
· Outstanding borrowings of $1.12 billion on our credit facility;
· Outstanding mortgages payable of $460.0 million, excluding net mortgage premiums of $6.4 million and deferred financing costs of $324,000;
· Outstanding borrowings of $320.0 million on our term loans, excluding deferred financing costs of $873,000; and
· Outstanding senior unsecured notes and bonds of $3.98 billion, excluding unamortized original issuance discounts of $19.8 million and deferred financing costs of $20.8 million.
Universal Shelf Registration
In December 2015, we filed a shelf registration statement with the SEC, which is effective for a term of three years and will expire in December 2018. In accordance with SEC rules, the amount of securities to be issued pursuant to this shelf registration statement was not specified when it was filed and there is no specific dollar limit. The securities covered by this registration statement include (1) common stock, (2) preferred stock, (3) debt securities, (4) depositary shares representing fractional interests in shares of preferred stock, (5) warrants to purchase debt securities, common stock, preferred stock, or depositary shares, and (6) any combination of these securities. We may periodically offer one or more of these securities in amounts, prices and on terms to be announced when and if these securities are offered. The specifics of any future offerings, along with the use of proceeds of any securities offered, will be described in detail in a prospectus supplement, or other offering materials, at the time of any offering.
At-the-Market (ATM) Program
In September 2015, we established an “at-the-market” equity distribution program, or our ATM program, pursuant to which we can offer and sell up to 12,000,000 shares of common stock to, or through, a consortium of banks acting as our sales agents by means of ordinary brokers’ transactions on the NYSE at prevailing market prices or at negotiated prices. During 2016, we issued 2,779,140 shares and raised gross proceeds of $166.8 million under the ATM program.
Issuance of Common Stock
In May 2016, we issued 6,500,000 shares of common stock. After underwriting discounts and other offering costs of $12.1 million, the net proceeds of $383.6 million were used to repay borrowings under our credit facility.
Dividend Reinvestment and Stock Purchase Plan
Our Dividend Reinvestment and Stock Purchase Plan, or our DRSPP, provides our common stockholders, as well as new investors, with a convenient and economical method of purchasing our common stock and reinvesting their distributions. Our DRSPP also allows our current stockholders to buy additional shares of common stock by reinvesting all or a portion of their distributions. Our DRSPP authorizes up to 26,000,000 common shares to be issued. In 2013, we revised our DRSPP so that we would pay for a majority of the plan-related fees, which were previously paid by investors, and to institute a waiver approval process, allowing larger investors or institutions, per a formal approval process, to purchase shares at a small discount, if approved by us. During 2016, we issued 170,027 shares and raised approximately $10.3 million under our DRSPP. During 2016, we did not issue shares under the waiver approval process.
Preferred Stock
In February 2012, we issued 14,950,000 shares of our Class F preferred stock at $25.00 per share. In April 2012, we issued an additional 1,400,000 shares of Class F preferred stock at $25.2863 per share. Beginning February 15, 2017, shares of our Class F preferred stock are redeemable at our option for $25.00 per share, plus any accrued and unpaid dividends. Dividends on the shares of our Class F preferred stock are paid monthly in arrears. We are current on our obligations to pay dividends on our Class F preferred stock.
$2.0 Billion Revolving Credit Facility
In June 2015, we entered into a $2.0 billion unsecured revolving credit facility, or our credit facility, that expires in June 2019 and includes, at our option, two six-month extensions. Our credit facility has a $1.0 billion accordion expansion option. Under our credit facility, our investment grade credit ratings as of December 31, 2016 provide for financing at the London Interbank Offered Rate, commonly referred to as LIBOR, plus 0.90%, with a facility commitment fee of 0.15%, for all-in drawn pricing of 1.05% over LIBOR. The borrowing rate is subject to an interest rate floor and may change if our investment grade credit ratings were to change. We also have other interest rate options available to us under our credit facility. Our credit facility is unsecured and, accordingly, we have not pledged any assets as collateral for this obligation.
At December 31, 2016, we had a borrowing capacity of $880.0 million available on our credit facility and an outstanding balance of $1.12 billion. The weighted average interest rate on borrowings outstanding under our credit facility, at December 31, 2016, was 1.7% per annum. We must comply with various financial and other covenants in our credit facility. At December 31, 2016, we were in compliance with these covenants. We expect to use our credit facility to acquire additional properties and for other general corporate purposes. Any additional borrowings will increase our exposure to interest rate risk.
We generally use our credit facility for the short-term financing of new property acquisitions. Thereafter, we generally seek to refinance those borrowings with the net proceeds of long-term or permanent financing, which may include the issuance of common stock, preferred stock or debt securities. We cannot assure you, however, that we will be able to obtain any such refinancing, or that market conditions prevailing at the time of the refinancing will enable us to issue equity or debt securities at acceptable terms.
Term Loans
In June 2015, in conjunction with entering into our credit facility, we entered into a $250 million senior unsecured term loan maturing June 30, 2020. Borrowing under this term loan bears interest at LIBOR, plus 0.95%. In conjunction with this term loan, we also entered into an interest rate swap which effectively fixes our per annum interest rate on this term loan at 2.67%.
In January 2013, in conjunction with our acquisition of American Realty Capital Trust, or ARCT, we entered into a $70 million senior unsecured term loan maturing in January 2018. Borrowing under the term loan bears interest at LIBOR, plus 1.20%. In conjunction with this term loan, we also acquired an interest rate swap which effectively fixes our per annum interest rate on this term loan at 2.15%.
Mortgage Debt
As of December 31, 2016, we had $460.0 million of mortgages payable, all of which were assumed in connection with our property acquisitions. Additionally, at December 31, 2016, we had net premiums totaling $6.4 million on these mortgages and deferred financing costs of $324,000. We expect to pay off the mortgages payable as soon as prepayment penalties have declined to a level that would make it economically feasible to do so. During 2016, we made $231.7 million of principal payments, including the repayment of 11 mortgages in full for $201.8 million, and refinanced one of our assumed mortgages whereby we received an additional $10.0 million in proceeds.
Notes Outstanding
Our senior unsecured note and bond obligations consist of the following as of December 31, 2016, sorted by maturity date (dollars in millions):
5.375% notes, issued in September 2005 and due in September 2017
$
2.000% notes, issued in October 2012 and due in January 2018
6.750% notes, issued in September 2007 and due in August 2019
5.750% notes, issued in June 2010 and due in January 2021
3.250% notes, issued in October 2012 and due in October 2022
4.650% notes, issued in July 2013 and due in August 2023
3.875% notes, issued in June 2014 and due in July 2024
4.125% notes, issued in September 2014 and due in October 2026
3.000% notes, issued in October 2016 and due in January 2027
5.875% bonds, $100 issued in March 2005 and $150 issued in
June 2011, both due in March 2035
Total principal amount
$
3,975
Unamortized original issuance discounts and deferred financing costs
(41)
$
3,934
In October 2016, we issued $600 million of 3.000% senior unsecured notes due January 2027. The public offering price for the notes was 98.671% of the principal amount for an effective yield to maturity of 3.153%. The net proceeds of approximately $586.7 million from the offering were used to repay borrowings outstanding under our credit facility.
In September 2016, we repaid $275 million of outstanding 5.950% notes, plus accrued and unpaid interest.
All of our outstanding notes and bonds have fixed interest rates and contain various covenants, with which we remained in compliance as of December 31, 2016. Additionally, interest on all of our senior note and bond obligations is paid semiannually.
The following is a summary of the key financial covenants for our senior unsecured notes, as defined and calculated per the terms of our senior notes and bonds. These calculations, which are not based on U.S. GAAP measurements, are presented to investors to show our ability to incur additional debt under the terms of our senior notes and bonds as well as to disclose our current compliance with such covenants, and are not measures of our liquidity or performance. The actual amounts as of December 31, 2016 are:
Note Covenants
Required
Actual
Limitation on incurrence of total debt
< 60% of adjusted assets
41.9%
Limitation on incurrence of secured debt
< 40% of adjusted assets
3.4%
Debt service coverage (trailing 12 months)(1)
> 1.5 x
4.8x
Maintenance of total unencumbered assets
> 150% of unsecured debt
243.7%
(1) This covenant is calculated on a pro forma basis for the preceding four-quarter period on the assumptions that: (i) the incurrence of any Debt (as defined in the covenants) incurred by us since the first day of such four-quarter period and the application of the proceeds therefrom (including to refinance other Debt since the first day of such four-quarter period), (ii) the repayment or retirement of any of our Debt since the first day of such four-quarter period, and (iii) any acquisition or disposition by us of any asset or group since the first day of such four quarters had in each case occurred on January 1, 2016, and subject to certain additional adjustments. Such pro forma ratio has been prepared on the basis required by that debt service covenant, reflects various estimates and assumptions and is subject to other uncertainties, and therefore does not purport to reflect what our actual debt service coverage ratio would have been had transactions referred to in clauses (i), (ii) and (iii) of the preceding sentence occurred as of January 1, 2016, nor does it purport to reflect our debt service coverage ratio for any future period. The following is our calculation of debt service coverage at December 31, 2016 (in thousands, for trailing twelve months):
Net income attributable to the Company
$
315,571
Plus: interest expense
211,379
Plus: provision for taxes
3,262
Plus: depreciation and amortization
449,943
Plus: provisions for impairment
20,664
Plus: pro forma adjustments
71,979
Less: gain on sales of real estate
(21,979)
Income available for debt service, as defined
$
1,050,819
Total pro forma debt service charge
$
220,921
Debt service coverage ratio
4.8
Fixed Charge Coverage Ratio
Fixed charge coverage ratio is calculated in exactly the same manner as the debt service coverage ratio, except that preferred stock dividends are also added to the denominator. Similar to debt service coverage ratio, we consider fixed charge coverage ratio to be an appropriate supplemental measure of a company’s ability to make its interest and preferred stock dividend payments. Our calculations of both debt service and fixed charge coverage ratios may be different from the calculations used by other companies and, therefore, comparability may be limited. The presentation of debt service and fixed charge coverage ratios should not be considered as alternatives to any U.S. GAAP operating performance measures. Below is our calculation of fixed charges at December 31, 2016 (in thousands, for the trailing twelve months):
Income available for debt service, as defined
$
1,050,819
Pro forma debt service charge plus preferred stock dividends
$
248,001
Fixed charge coverage ratio
4.2
Cash Reserves
We are organized to operate as an equity REIT that acquires and leases properties and distributes to stockholders, in the form of monthly cash distributions, a substantial portion of our net cash flow generated from leases on our properties. We intend to retain an appropriate amount of cash as working capital. At December 31, 2016, we had cash and cash equivalents totaling $9.4 million.
We believe that our cash and cash equivalents on hand, cash provided from operating activities, and borrowing capacity is sufficient to meet our liquidity needs for the next twelve months. We intend, however, to use permanent or long-term capital to fund property acquisitions and to repay future borrowings under our credit facility.
Credit Agency Ratings
The borrowing interest rates under our credit facility are based upon our ratings assigned by credit rating agencies. As of December 31, 2016, we were assigned the following investment grade corporate credit ratings on our senior unsecured notes and bonds: Moody’s Investors Service has assigned a rating of Baa1 with a “positive” outlook, Standard & Poor’s Ratings Group has assigned a rating of BBB+ with a “positive” outlook, and Fitch Ratings has assigned a rating of BBB+ with a “stable” outlook.
Based on our ratings as of December 31, 2016, the facility interest rate as of December 31, 2016 was LIBOR plus 0.90% with a facility commitment fee of 0.15%, for all-in drawn pricing of 1.05% over LIBOR. Our credit facility provides that the interest rate can range between: (i) LIBOR plus 1.55% if our credit rating is lower than BBB-/Baa3 or unrated and (ii) LIBOR plus 0.85% if our credit rating is A-/A3 or higher. In addition, our credit facility provides for a facility commitment fee based on our credit ratings, which range from: (i) 0.30% for a rating lower than BBB-/Baa3 or unrated, and (ii) 0.125% for a credit rating of A-/A3 or higher.
We also issue senior debt securities from time to time and our credit ratings can impact the interest rates charged in those transactions. If our credit ratings or ratings outlook change, our cost to obtain debt financing could increase or decrease. The credit ratings assigned to us could change based upon, among other things, our results of operations and financial condition. These ratings are subject to ongoing evaluation by credit rating agencies and we cannot assure you that our ratings will not be changed or withdrawn by a rating agency in the future if, in its judgment, circumstances warrant. Moreover, a rating is not a recommendation to buy, sell or hold our debt securities, preferred stock or common stock.
Table of Obligations
The following table summarizes the maturity of each of our obligations as of December 31, 2016 (dollars in millions):
Ground
Ground
Leases
Leases
Notes
Paid by
Paid by
Year of
Credit
and
Term
Mortgages
Realty
Our
Maturity
Facility
(1)
Bonds
(2)
Loan
(3)
Payable
(4)
Interest
(5)
Income
(6)
Tenants
(7)
Other
(8)
Totals
$
-
$
175.0
$
-
$
103.2
$
218.6
$
1.6
$
13.4
$
28.9
$
540.7
-
350.0
70.0
21.9
197.2
1.6
13.5
-
654.2
1,120.0
550.0
-
42.3
172.6
1.5
13.3
-
1,899.7
-
-
250.0
82.4
136.7
1.4
13.1
-
483.6
-
250.0
-
66.9
115.2
1.2
12.8
-
446.1
Thereafter
-
2,650.0
-
143.3
445.8
22.1
106.6
-
3,367.8
Totals
$
1,120.0
$
3,975.0
$
320.0
$
460.0
$
1,286.1
$
29.4
$
172.7
$
28.9
$
7,392.1
(1) The initial term of the credit facility expires in June 2019 and includes, at our option, two six-month extensions.
(2) Excludes non-cash original issuance discounts recorded on notes payable. The unamortized balance of the original issuance discounts at December 31, 2016 is $19.8 million. Also excludes deferred financing costs of $20.8 million.
(3) Excludes deferred financing costs of $873,000.
(4) Excludes non-cash net premiums recorded on the mortgages payable. The unamortized balance of these net premiums at December 31, 2016, is $6.4 million. Also excludes deferred financing costs of $324,000.
(5) Interest on the term loans, notes, bonds, mortgages payable, and credit facility has been calculated based on outstanding balances as of December 31, 2016 through their respective maturity dates.
(6) Realty Income currently pays the ground lessors directly for the rent under the ground leases.
(7) Our tenants, who are generally sub-tenants under ground leases, are responsible for paying the rent under these ground leases. In the event a tenant fails to pay the ground lease rent, we are primarily responsible.
(8) “Other” consists of $21.9 million of commitments under construction contracts and $7.0 million of commitments for tenant improvements and leasing costs.
Our credit facility, term loans, and notes payable obligations are unsecured. Accordingly, we have not pledged any assets as collateral for these obligations.
No Unconsolidated Investments
We have no unconsolidated investments, nor do we engage in trading activities involving energy or commodity contracts.
Impact of Real Estate and Credit Markets
In the commercial real estate market, property prices generally continue to fluctuate. Likewise, during certain periods, the U.S. credit markets have experienced significant price volatility, dislocations, and liquidity disruptions, which may impact our access to and cost of capital. We continually monitor the commercial real estate and U.S. credit markets carefully and, if required, will make decisions to adjust our business strategy accordingly.
Acquisitions During 2016
During 2016, we invested $1.86 billion in 505 new properties and properties under development or expansion, with an initial weighted average contractual lease rate of 6.3%. The 505 new properties and properties under development or expansion are located in 40 states, will contain approximately 8.2 million leasable square feet, and are 100% leased with a weighted average lease term of 14.7 years. The tenants occupying the new properties operate in 28 industries and the property types are 86.4% retail and 13.6% industrial, based on rental revenue. During 2016, none of our real estate investments caused any one tenant to be 10% or more of our total assets at December 31, 2016.
The estimated initial weighted average contractual lease rate for a property is generally computed as estimated contractual net operating income, which, in the case of a net leased property, is equal to the aggregate base rent for the first full year of each lease, divided by the total cost of the property. Since it is possible that a tenant could default on the payment of contractual rent, we cannot provide assurance that the actual return on the funds invested will remain at the percentages listed above.
In the case of a property under development or expansion, the contractual lease rate is generally fixed such that rent varies based on the actual total investment in order to provide a fixed rate of return. When the lease does not provide for a fixed rate of return on a property under development or expansion, the estimated initial weighted average contractual lease rate is computed as follows: estimated net operating income (determined by the lease) for the first full year of each lease, divided by our projected total investment in the property, including land, construction and capitalized interest costs. Of the $1.86 billion we invested during 2016, $103.8 million was invested in 33 properties under development or expansion with an estimated initial weighted average contractual lease rate of 7.1%. We may continue to pursue development or expansion opportunities under similar arrangements in the future.
Portfolio Discussion
Leasing Results
At December 31, 2016, we had 84 properties available for lease out of 4,944 properties in our portfolio, which represents a 98.3% occupancy rate based on the number of properties in our portfolio. Since December 31, 2015, when we reported 71 properties available for lease out of 4,538 and a 98.4% occupancy rate, we:
· Had 256 lease expirations (including leases rejected in bankruptcy);
· Re-leased 186 properties; and
· Sold 57 vacant properties.
Of the 186 properties re-leased during 2016, 144 properties were re-leased to existing tenants, 21 were re-leased to new tenants without vacancy, and 21 were re-leased to new tenants after a period of vacancy. The annual rent on these 186 leases was $28.57 million, as compared to the previous rent on these same properties of $27.33 million, which represents a rent recapture rate of 104.5% on the properties re-leased during 2016.
As part of our re-leasing costs, we pay leasing commissions to unrelated, 3rd party real estate brokers consistent with the commercial real estate industry standard, and sometimes provide tenant rent concessions. We do not consider the collective impact of the leasing commissions or tenant rent concessions to be material to our financial position or results of operations.
At December 31, 2016, our average annualized rental revenue was approximately $13.64 per square foot on the 4,860 leased properties in our portfolio. At December 31, 2016, we classified 15 properties with a carrying amount of $26.6 million as held for sale on our balance sheet. The expected sale of these properties does not represent a strategic shift that will have a major effect on our operations and financial results. The expected sale of these properties is consistent with our active disposition efforts to further enhance our real estate portfolio and maximize portfolio returns.
Investments in Existing Properties
In 2016, we capitalized costs of $16.3 million on existing properties in our portfolio, consisting of $797,000 for re-leasing costs, $679,000 for recurring capital expenditures and $14.9 million for non-recurring building improvements. In 2015, we capitalized costs of $11.5 million on existing properties in our portfolio, consisting of $748,000 for re-leasing costs, $7.6 million for recurring capital expenditures and $3.2 million for non-recurring building improvements.
The majority of our building improvements relate to roof repairs, HVAC improvements, and parking lot resurfacing and replacements. The amounts of our capital expenditures can vary significantly, depending on the rental market, tenant credit worthiness, the lease term and the willingness of tenants to pay higher rents over the terms of the leases.
With the increasing size and aging of our portfolio, overall investments in existing properties increased in 2016 and we refined our definition of recurring versus non-recurring capital expenditures. We define recurring capital expenditures as mandatory and repetitive landlord capital expenditure obligations that have a limited useful life. We define non-recurring capital expenditures as property improvements where we invest additional capital that extend the useful life of the property.
Increases in Monthly Dividends to Common Stockholders
We have continued our 48-year policy of paying monthly dividends. In addition, we increased the dividend six times during 2016 and twice in 2017. As of February 2017, we have paid 77 consecutive quarterly dividend increases and increased the dividend 90 times since our listing on the NYSE in 1994.
The dividends paid per share during 2016 totaled approximately $2.392, as compared to approximately $2.271 during 2015, an increase of $0.121, or 5.3%.
The monthly dividend of $0.2105 per share represents a current annualized dividend of $2.526 per share, and an annualized dividend yield of approximately 4.2% based on the last reported sale price of our common stock on the NYSE of $59.63 on January 31, 2017. Although we expect to continue our policy of paying monthly dividends, we cannot guarantee that we will maintain our current level of dividends, that we will continue our pattern of increasing dividends per share, or what our actual dividend yield will be in any future period.
RESULTS OF OPERATIONS
Critical Accounting Policies
Our consolidated financial statements have been prepared in accordance with GAAP, and are the basis for our discussion and analysis of financial condition and results of operations. Preparing our consolidated financial statements requires us to make a number of estimates and assumptions that affect the reported amounts and disclosures in the consolidated financial statements. We believe that we have made these estimates and assumptions in an appropriate manner and in a way that accurately reflects our financial condition. We continually test and evaluate these estimates and assumptions using our historical knowledge of the business, as well as other factors, to ensure that they are reasonable for reporting purposes. However, actual results may differ from these estimates and assumptions. This summary should be read in conjunction with the more complete discussion of our accounting policies and procedures included in note 2 to our consolidated financial statements.
In order to prepare our consolidated financial statements according to the rules and guidelines set forth by GAAP, many subjective judgments must be made with regard to critical accounting policies. One of these judgments is our estimate for useful lives in determining depreciation expense for our properties. Depreciation on a majority of our buildings and improvements is computed using the straight-line method over an estimated useful life of 25 to 35 years for buildings and 4 to 20 years for improvements, which we believe are appropriate estimates of useful life. If we use a shorter or longer estimated useful life, it could have a material impact on our results of operations.
Management must make significant assumptions in determining the fair value of assets acquired and liabilities assumed. When acquiring a property for investment purposes, we typically allocate the fair value of real estate acquired to: (1) land, (2) building and improvements, and (3) identified intangible assets and liabilities, based in each case on their estimated fair values. Intangible assets and liabilities consist of above-market or below-market lease value of in-place leases, the value of in-place leases, and tenant relationships, as applicable. In an acquisition of multiple properties, we must also allocate the purchase price among the properties. The allocation of the purchase price is based on our assessment of estimated fair value and is often based upon the expected future cash flows of the property and various characteristics of the market where the property is located. In addition, any assumed mortgages receivable or payable and any assumed or issued noncontrolling interests are recorded at their estimated fair values. The estimated fair values of our mortgages payable have been calculated by discounting the future cash flows using applicable interest rates that have been adjusted for factors, such as industry type, tenant investment grade, maturity date, and comparable borrowings for similar assets. The initial allocation of the purchase price is based on management’s preliminary assessment, which may differ when final information becomes available. Subsequent adjustments made to the initial purchase price allocation are made within the allocation period, which does not exceed one year. The use of different assumptions in the allocation of the purchase price of the acquired properties and liabilities assumed could affect the timing of recognition of the related revenue and expenses.
Another significant judgment must be made as to if, and when, impairment losses should be taken on our properties when events or a change in circumstances indicate that the carrying amount of the asset may not be recoverable. A provision is made for impairment if estimated future operating cash flows (undiscounted and without interest charges) plus estimated disposition proceeds (undiscounted) are less than the current book value of the property. Key inputs that we utilize in this analysis include projected rental rates, estimated holding periods, historical sales and releases, capital expenditures, and property sales capitalization rates. If a property is held for sale, it is carried at the lower of carrying cost or estimated fair value, less estimated cost to sell. The carrying value of our real estate is the largest component of our consolidated balance sheets. Our strategy of primarily holding properties, long-term, directly decreases the likelihood of their carrying values not being recoverable, thus requiring the recognition of an impairment. However, if our strategy, or one or more of the above assumptions were to change in the future, an impairment may need to be recognized. If events should occur that require us to reduce the carrying value of our real estate by recording provisions for impairment, they could have a material impact on our results of operations.
The following is a comparison of our results of operations for the years ended December 31, 2016, 2015 and 2014.
Rental Revenue
Rental revenue was $1.057 billion for 2016, as compared to $976.9 million for 2015, an increase of $80.5 million, or 8.2%. Rental revenue was $893.5 million for 2014. The increase in rental revenue in 2016 compared to 2015 is primarily attributable to:
· The 475 properties (7.6 million square feet) we acquired in 2016, which generated $39.7 million of rent in 2016;
· The 254 properties (5.6 million square feet) we acquired in 2015, which generated $80.3 million of rent in 2016, compared to $41.9 million in 2015, an increase of $38.4 million;
· Same store rents generated on 4,045 properties (66.5 million square feet) during 2016 and 2015, increased by $10.15 million, or 1.2%, to $888.51 million from $878.36 million; and
· A net increase in straight-line rent and other non-cash adjustments to rent of $959,000 in 2016 as compared to 2015; partially offset by
· A net decrease of $7.1 million relating to properties sold in 2016 and during 2015; and
· A net decrease of $1.6 million relating to the aggregate of (i) rental revenue from properties (131 properties comprising 1.5 million square feet) that were available for lease during part of 2016 or 2015, (ii) rental revenue for 24 properties under development, and (iii) lease termination settlements. In aggregate, the revenues for these items totaled $33.3 million in 2016, compared to $34.9 million in 2015.
For purposes of determining the same store rent property pool, we include all properties that were owned for the entire year-to-date period, for both the current and prior year, except for properties during the current or prior year that; (i) were vacant at any time, (ii) were under development or redevelopment, and (iii) were involved in eminent domain and rent was reduced. Each of the exclusions from the same store pool are separately addressed within the applicable sentences above, explaining the changes in rental revenue for the period.
Of the 4,944 properties in the portfolio at December 31, 2016, 4,920, or 99.5%, are single-tenant properties and the remaining are multi-tenant properties. Of the 4,920 single-tenant properties, 4,836, or 98.3%, were net leased with a weighted average remaining lease term (excluding rights to extend a lease at the option of the tenant) of approximately 9.8 years at December 31, 2016. Of our 4,836 leased single-tenant properties, 4,310 or 89.1% were under leases that provide for increases in rents through:
· Base rent increases tied to a consumer price index (typically subject to ceilings);
· Percentage rent based on a percentage of the tenants’ gross sales;
· Fixed increases; or
· A combination of two or more of the above rent provisions.
Percentage rent, which is included in rental revenue, was $5.3 million in 2016, $4.5 million in 2015, and $3.6 million in 2014. Percentage rent in 2016 was less than 1% of rental revenue and we anticipate percentage rent to be less than 1% of rental revenue in 2017.
Our portfolio of real estate, leased primarily to regional and national tenants under net leases, continues to perform well and provides dependable lease revenue supporting the payment of monthly dividends to our stockholders. At December 31, 2016, our portfolio of 4,944 properties was 98.3% leased with 84 properties available for lease, as compared to 98.4% leased, with 71 properties available for lease at December 31, 2015. It has been our experience that approximately 1% to 4% of our property portfolio will be unleased at any given time; however, it is possible that the number of properties available for lease could exceed these levels in the future.
Tenant Reimbursements
Contractually obligated reimbursements from tenants for recoverable real estate taxes and operating expenses were $43.1 million in 2016, compared to $42.0 million in 2015 and $37.1 million in 2014. The increase in tenant reimbursements is primarily due to our increase in acquisitions.
Other Revenue
Other revenue, which comprises property-related revenue not included in rental revenue or tenant reimbursements, was $2.7 million in 2016, compared to $4.4 million in 2015 and $2.9 million in 2014.
Depreciation and Amortization
Depreciation and amortization was $449.9 million for 2016, compared to $409.2 million for 2015 and $374.7 million for 2014. The increase in depreciation and amortization in 2016 and 2015 was primarily due to the acquisition of properties in 2015 and 2016, which was partially offset by property sales in those same periods. As discussed in the sections entitled “Funds from Operations Available to Common Stockholders (FFO)” and “Adjusted Funds from Operations Available to Common Stockholders (AFFO),” depreciation and amortization is a non-cash item that is added back to net income available to common stockholders for our calculation of FFO and AFFO.
Interest Expense
The following is a summary of the components of our interest expense (dollars in thousands):
Interest on our credit facility, term loans, notes, mortgages and interest rate swaps
$
213,540
$
226,207
$
215,830
Credit facility commitment fees
3,050
2,854
2,661
Amortization of credit facility origination costs and deferred financing costs
8,596
8,741
8,219
(Gain) loss on interest rate swaps
(1,639
)
3,043
1,349
Dividend on preferred shares subject to redemption
-
-
1,526
Amortization of net mortgage premiums
(3,414
)
(7,482
)
(12,891
)
Capital lease obligation
Interest capitalized
(469
)
(594
)
(444
)
Interest expense
$
219,974
$
233,079
$
216,366
Credit facility, term loans, mortgages and notes
Average outstanding balances (dollars in thousands)
$
5,081,663
$
5,030,532
$
4,628,438
Average interest rates
4.11
%
4.43
%
4.62
%
The decrease in interest expense from 2015 to 2016 was primarily due to lower outstanding debt balances on our notes payable and mortgages payable, resulting from the payoff of $150.0 million of notes during November 2015 and $275.0 million of notes during September 2016, as well as the payoff of mortgages throughout 2015 and 2016. This decrease was slightly offset by an increase in interest expense related to the issuance of a $600 million note in October 2016.
The increase in interest expense from 2014 to 2015 was primarily due to the June 2014 issuance of our 3.88% senior unsecured notes due July 2024, the September 2014 issuance of our 4.125% senior unsecured notes due October 2026, the interest expense on the $250 million term loan that was entered into during June 2015, and the payoff of mortgages during 2015 which reduced the amortization of net mortgage premiums.
Additionally, each quarter we adjust the carrying value of our interest rate swaps to fair value. Changes in the fair value of our interest rate swaps are recorded directly to interest expense. We recorded a gain on interest rate swaps of $1.6 million during 2016 and a loss on interest rate swaps of $3.0 million and $1.3 million during 2015 and 2014, respectively.
At December 31, 2016, the weighted average interest rate on our:
· Credit facility outstanding borrowings of $1.12 billion was 1.7%;
· Term loans outstanding of $320.0 million (excluding deferred financing costs of $873,000) was 1.7%;
· Mortgages payable of $460.0 million (excluding net premiums totaling $6.4 million and deferred financing costs of $324,000 on these mortgages) was 4.9%;
· Notes and bonds payable of $3.98 billion (excluding unamortized original issue discounts of $19.8 million and deferred financing costs of $20.8 million) was 4.4%; and
· Combined outstanding notes, bonds, mortgages, term loan and credit facility borrowings of $5.88 billion was 3.8%.
General and Administrative Expenses
General and administrative expenses increased by $2.7 million to $52.0 million for 2016, compared to $49.3 million in 2015 and $51.1 million in 2014. Included in general and administrative expenses are acquisition transaction costs of $346,000 for 2016, $913,000 for 2015, and $453,000 for 2014. General and administrative costs increased during 2016 primarily due to higher compensation costs. General and administrative expenses decreased during 2015 primarily due to lower compensation costs, lower corporate insurance premiums, and lower proxy costs. In January 2017, we had 146 employees, as compared to 132 employees in January 2016 and 125 employees in January 2015.
Dollars in thousands
General and administrative expenses
$
51,966
$
49,298
$
51,085
Total revenue(1)
1,060,068
981,270
896,499
General and administrative expenses as a percentage of total revenue
4.9
%
5.0
%
5.7
%
(1) Excludes tenant reimbursements revenue, as well as revenue included in discontinued operations and gain on sales.
Property Expenses (including tenant reimbursable expenses)
Property expenses consist of costs associated with unleased properties, non-net-leased properties and general portfolio expenses, as well as contractually obligated reimbursable costs from tenants for recoverable real estate taxes and operating expenses. Expenses related to unleased properties and non-net-leased properties include, but are not limited to, property taxes, maintenance, insurance, utilities, property inspections, bad debt expense and legal fees. General portfolio costs include, but are not limited to, insurance, legal, property inspections, and title search fees. At December 31, 2016, 84 properties were available for lease, as compared to 71 at December 31, 2015 and 70 at December 31, 2014.
Property expenses were $62.9 million (including $43.1 million in reimbursable expenses) in 2016, $55.4 million (including $42.0 million in reimbursable expenses) in 2015 and $53.9 million (including $37.1 million in reimbursable expenses) in 2014. The increase in gross property expenses in 2016 is primarily attributable to the increased portfolio size, which contributed to higher contractually obligated reimbursements primarily due to our acquisitions during 2015 and 2016. We also incurred higher gross property expenses as a result of maintenance and utilities, property taxes, ground rent expenses, legal costs, and bad debt expense on vacant properties.
Dollars in thousands
Property expenses net of tenant reimbursements
$
19,761
$
13,337
$
16,753
Total revenue(1)
1,060,068
981,270
896,499
Property expenses net of tenant reimbursements as a percentage of total revenue
1.9
%
1.4
%
1.9
%
(1) Excludes tenant reimbursements revenue, as well as revenue included in discontinued operations and gain on sales.
Income Taxes
Income taxes were $3.3 million in 2016, compared to $3.2 million in 2015 and $3.5 million in 2014. These amounts are for city and state income and franchise taxes paid by us and our subsidiaries.
Provisions for Impairment
In 2016, we recorded total provisions for impairment of $20.7 million on six properties classified as held for sale, two properties classified as held for investment, and 31 sold properties. These properties were not previously classified as held for sale in financial statements issued prior to the date of adoption of ASU 2014-08; accordingly, these provisions for impairment are included in income from continuing operations on our consolidated statements of income.
In 2015, we recorded total provisions for impairment of $10.6 million on three properties classified as held for investment, 11 sold properties, and one property disposed of other than by sale. These properties were not previously classified as held for sale in financial statements issued prior to the date of adoption of ASU 2014-08; accordingly, these provisions for impairment are included in income from continuing operations on our consolidated statements of income.
In 2014, we recorded total provisions for impairment of $4.6 million. Provisions for impairment of $4.1 million are included in income from continuing operations on 10 sold properties and one property classified as held for sale. These properties were not previously classified as held for sale in financial statements issued prior to the
date of adoption of Accounting Standards Update (ASU) 2014-08 which amends Topic 205, Presentation of Financial Statements, and Topic 360, Property, Plant, and Equipment; accordingly, these provisions for impairment are included in income from continuing operations on our consolidated statements of income. Additionally, a provision for impairment of $510,000 is included in income from discontinued operations on one sold property that was classified as held for sale as of December 31, 2013.
Gain on Sales of Real Estate
During 2016, we sold 77 properties for $90.5 million, which resulted in a gain of $22.0 million. Additionally, during 2016 we sold our former corporate headquarters building for $8.6 million.
During 2015, we sold 38 properties for $65.8 million, which resulted in a gain of $22.2 million.
These property sales in 2016 and 2015 do not represent a strategic shift that will have a major effect on our operations and financial results, and therefore do not require presentation as discontinued operations.
During 2014, we sold 47 properties for $108.1 million, which resulted in a gain of $42.1 million. Only the results of operations specifically related to the properties classified as held for sale at December 31, 2013 and sold during 2014 were reclassified as discontinued operations.
At December 31, 2016, we classified real estate with a carrying amount of $26.6 million as held for sale on our balance sheet. In 2017, we intend to continue our active disposition efforts to further enhance our real estate portfolio and anticipate approximately $75 to $100 million in yet to be identified property sales for all of 2017. We intend to invest these proceeds into new property acquisitions, if there are attractive opportunities available. However, we cannot guarantee that we will sell properties during the next 12 months at our estimated values or be able to invest the property sale proceeds in new properties.
Preferred Stock Dividends
Preferred stock dividends totaled $27.1 million in 2016 and 2015, and $37.1 million in 2014.
Excess of Redemption Value over Carrying Value of Preferred Shares Redeemed
In October 2014, we redeemed all 8,800,000 shares of our 6.75% Monthly Income Class E Cumulative Redeemable Preferred Stock, or the Class E preferred stock, for $25.00 per share, plus accrued dividends. We incurred a non-cash charge of $6.0 million. This charge is for the excess of redemption value over the carrying value of the Class E preferred stock and represents the original issuance cost that was paid in 2006.
Net Income Available to Common Stockholders
Net income available to common stockholders was $288.5 million in 2016, compared to $256.7 million in 2015, an increase of $31.8 million. On a diluted per common share basis, net income was $1.13 in 2016, as compared to $1.09 in 2015, an increase of $0.04, or 3.7%. Net income available to common stockholders was $227.6 million in 2014, or $1.04 on a diluted per common share basis. Net income available to common stockholders for 2014 includes a non-cash redemption charge of $6.0 million on the shares of Class E preferred stock that were redeemed in October 2014, which represents $0.03 on a diluted per common share basis. This charge is for the excess of redemption value over the carrying value of the Class E preferred stock and represents the original issuance cost that was paid in 2006.
The calculation to determine net income available to common stockholders includes impairments, gains from the sale of properties and/or fair value adjustments on our interest rate swaps. These items vary from period to period based on the timing of property sales and the interest rate environment, and can significantly impact net income available to common stockholders.
Gains from the sale of properties during 2016 were $22.0 million, as compared to gains from the sale of properties of $22.2 million during 2015, and $42.1 million during 2014.
Discontinued Operations
During the first quarter of 2014, the Financial Accounting Standards Board issued guidance that changed the definition of discontinued operations by limiting discontinued operations reporting to disposals of components of an entity that represent strategic shifts that have, or will have, a major effect on an entity’s operations and financial results. We early adopted the requirements of this accounting pronouncement in the first quarter of 2014. Starting with the first quarter of 2014, the results of operations for all qualifying disposals and properties classified as held for sale that were not previously reported in discontinued operations in our 2013 Annual Report on Form 10-K are presented within income from continuing operations on our consolidated statements of income. For 2014, we recorded income from discontinued operations of $2.8 million, or $0.01 per common share, basic and diluted.
Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA)
EBITDA, a non-GAAP financial measure, means, for the most recent quarter, earnings (net income) before (i) interest expense, including non-cash loss (gain) on swaps, (ii) income and franchise taxes, (iii) real estate depreciation and amortization, (iv) impairment losses, and (v) gain on sales of real estate. Our EBITDA may not be comparable to EBITDA reported by other companies that interpret the definitions of EBITDA differently than we do. Management believes EBITDA to be a meaningful measure of a REIT’s performance because it is widely followed by industry analysts, lenders and investors. The ratio of our total debt to EBITDA is also used to determine vesting of performance share awards granted to our executive officers. EBITDA should be considered along with, but not as an alternative to net income as a measure of our operating performance. Our ratio of debt to EBITDA, which is used by management as a measure of leverage, is calculated by annualizing quarterly EBITDA and then dividing by our total debt per the consolidated balance sheet.
(1) We calculate Annualized EBITDA by multiplying the Quarterly EBITDA by four.
(2) Total debt is consistent with its definition under market capitalization as described in “Liquidity and Capital Resources - Conservative Capital Structure” earlier in this “Management’s Discussion and Analysis of Financial Condition and Results of Operations.”
FUNDS FROM OPERATIONS AVAILABLE TO COMMON STOCKHOLDERS (FFO)
In 2016, our FFO increased by $83.0 million, or 12.7%, to $735.4 million, compared to $652.4 million in 2015. On a diluted per common share basis, FFO was $2.88 in 2016, compared to $2.77 in 2015, an increase of $0.11, or 4.0%. In 2014, FFO was $562.9 million, or $2.58 on a diluted per common share basis. Our FFO in 2014 included a non-cash redemption charge of $6.0 million on the shares of Class E preferred stock that were redeemed in October 2014, which represents $0.03 on a diluted per common share basis. This charge is for the excess of redemption value over the carrying value of the Class E preferred stock and represents the original issuance cost that was paid in 2006.
The following is a reconciliation of net income available to common stockholders (which we believe is the most comparable GAAP measure) to FFO. Also presented is information regarding distributions paid to common stockholders and the weighted average number of common shares used for the basic and diluted computation per share (dollars in thousands, except per share amounts):
We define FFO, a non-GAAP measure, consistent with the National Association of Real Estate Investment Trusts’ definition, as net income available to common stockholders, plus depreciation and amortization of real estate assets, plus impairments of depreciable real estate assets, and reduced by gains on property sales.
We consider FFO to be an appropriate supplemental measure of a REIT’s operating performance as it is based on a net income analysis of property portfolio performance that adds back items such as depreciation and impairments for FFO. The historical accounting convention used for real estate assets requires straight-line depreciation of buildings and improvements, which implies that the value of real estate assets diminishes predictably over time. Since real estate values historically rise and fall with market conditions, presentations of operating results for a REIT, using historical accounting for depreciation, could be less informative. The use of FFO is recommended by the REIT industry as a supplemental performance measure. In addition, FFO is used as a measure of our compliance with the financial covenants of our credit facility.
ADJUSTED FUNDS FROM OPERATIONS AVAILABLE TO COMMON STOCKHOLDERS (AFFO)
In 2016, our AFFO increased by $89.4 million, or 13.8%, to $736.4 million, compared to $647.0 million in 2015. On a diluted per common share basis, AFFO was $2.88 in 2016, compared to $2.74 in 2015, an increase of $0.14, or 5.1%. In 2014, AFFO was $561.7 million, or $2.57 on a diluted per common share basis. We consider AFFO to be an appropriate supplemental measure of our performance. Most companies in our industry use a similar measurement, but they may use the term “CAD” (for Cash Available for Distribution), “FAD” (for Funds Available for Distribution) or other terms.
The following is a reconciliation of net income available to common stockholders (which we believe is the most comparable GAAP measure) to FFO and AFFO. Also presented is information regarding distributions paid to common stockholders and the weighted average number of common shares used for the basic and diluted computation per share (dollars in thousands, except per share amounts):
Net income available to common stockholders
$
288,491
$
256,686
$
227,558
Cumulative adjustments to calculate FFO (1)
446,904
395,751
335,331
FFO available to common stockholders
735,395
652,437
562,889
Amortization of share-based compensation
12,007
10,391
11,959
Amortization of deferred financing costs (2)
5,352
5,294
4,804
Amortization of net mortgage premiums
(3,414
)
(6,978
)
(9,208
)
Gain on early extinguishment of debt
-
(504
)
(3,428
)
(Gain) loss on interest rate swaps
(1,639
)
3,043
1,349
Leasing costs and commissions
(797
)
(748
)
(821
)
Recurring capital expenditures
(679
)
(7,606
)
(5,210
)
Straight-line rent
(19,451
)
(16,468
)
(14,872
)
Amortization of above and below-market leases
9,297
7,861
8,024
Excess of redemption value over carrying value of preferred share redemptions
-
-
6,015
Other adjustments (3)
Total AFFO available to common stockholders (4)
$
736,374
$
647,028
$
561,661
AFFO allocable to dilutive noncontrolling interests
1,455
-
-
Diluted AFFO
$
737,829
$
647,028
$
561,661
AFFO per common share:
Basic
$
2.89
$
2.74
$
2.57
Diluted (5)
$
2.88
$
2.74
$
2.57
Distributions paid to common stockholders
$
610,516
$
533,238
$
479,256
AFFO available to common stockholders in excess of distributions paid to common stockholders
$
125,858
$
113,790
$
82,405
Weighted average number of common shares used for computation per share:
Basic
255,066,500
235,767,932
218,390,885
Diluted (5)
255,822,679
235,891,368
218,450,863
(1) See reconciling items for FFO presented under “Funds from Operations Available to Common Stockholders (FFO).”
(2) Includes the amortization of costs incurred and capitalized upon issuance of our notes payable, assumption of our mortgages payable and upon issuance of our term loans. The deferred financing costs are being amortized over the lives of the respective mortgages and term loans. No costs associated with our credit facility agreements or annual fees paid to credit rating agencies have been included.
(3) Includes adjustments allocable to both non-controlling interests and capital lease obligations.
(4) AFFO available to common stockholders and dilutive noncontrolling interests for 2016 is $737,829 after the inclusion of $1,455 of AFFO allocable to dilutive noncontrolling interests.
(5) The computation of diluted AFFO does not assume conversion of securities that are convertible to common shares if the conversion of those securities would increase diluted AFFO per share in a given period.
We believe the non-GAAP financial measure AFFO provides useful information to investors because it is a widely accepted industry measure of the operating performance of real estate companies that is used by industry analysts and investors who look at and compare those companies. In particular, AFFO provides an additional measure to compare the operating performance of different REITs without having to account for differing depreciation assumptions and other unique revenue and expense items which are not pertinent to measuring a particular company’s on-going operating performance. Therefore, we believe that AFFO is an appropriate supplemental performance metric, and that the most appropriate GAAP performance metric to which AFFO should be reconciled is net income available to common stockholders.
Presentation of the information regarding FFO and AFFO is intended to assist the reader in comparing the operating performance of different REITs, although it should be noted that not all REITs calculate FFO and AFFO in the same way, so comparisons with other REITs may not be meaningful. Furthermore, FFO and AFFO are not necessarily indicative of cash flow available to fund cash needs and should not be considered as alternatives to net income as an indication of our performance. FFO and AFFO should not be considered as alternatives to reviewing our cash flows from operating, investing, and financing activities. In addition, FFO and AFFO should not be considered as measures of liquidity, our ability to make cash distributions, or our ability to pay interest payments.
IMPACT OF INFLATION
Tenant leases generally provide for limited increases in rent as a result of increases in the tenants’ sales volumes, increases in the consumer price index (typically subject to ceilings), or fixed increases. We expect that inflation will cause these lease provisions to result in rent increases over time. During times when inflation is greater than increases in rent, as provided for in the leases, rent increases may not keep up with the rate of inflation.
Moreover, our use of net lease agreements tends to reduce our exposure to rising property expenses due to inflation because the tenant is responsible for property expenses. Inflation and increased costs may have an adverse impact on our tenants if increases in their operating expenses exceed increases in revenue.
IMPACT OF RECENT ACCOUNTING PRONOUNCEMENTS
For information on the impact of recent accounting pronouncements on our business, see note 2 of the Notes to the Consolidated Financial Statements.
Item 7A: Quantitative and Qualitative Disclosures about Market Risk
We are exposed to interest rate changes primarily as a result of our credit facility, term loans, mortgages payable, and long-term notes and bonds used to maintain liquidity and expand our real estate investment portfolio and operations. Our interest rate risk management objective is to limit the impact of interest rate changes on earnings and cash flow and to lower our overall borrowing costs. To achieve these objectives we issue long-term notes and bonds, primarily at fixed rates.
In order to mitigate and manage the effects of interest rate risks on our operations, we may utilize a variety of financial instruments, including interest rate swaps and caps. The use of these types of instruments to hedge our exposure to changes in interest rates carries additional risks, including counterparty credit risk, the enforceability of hedging contracts and the risk that unanticipated and significant changes in interest rates will cause a significant loss of basis in the contract. To limit counterparty credit risk we will seek to enter into such agreements with major financial institutions with favorable credit ratings. There can be no assurance that we will be able to adequately protect against the foregoing risks or realize an economic benefit that exceeds the related amounts incurred in connection with engaging in such hedging activities. We do not enter into any derivative transactions for speculative or trading purposes.
The following table presents by year of expected maturity, the principal amounts, average interest rates and estimated fair values of our fixed and variable rate debt as of December 31, 2016. This information is presented to evaluate the expected cash flows and sensitivity to interest rate changes (dollars in millions):
Expected Maturity Data
Weighted average
Weighted average
Fixed rate
rate on fixed rate
Variable rate
rate on variable rate
Year of maturity
debt
debt
debt
debt
$
268.3
5.51
%
$
9.9
2.73
%
365.3
2.15
76.6
1.95
554.4
6.74
1,157.9
1.70
82.2
4.99
250.2
1.72
310.1
5.72
6.8
2.88
Thereafter
2,778.4
4.05
14.9
2.68
Totals (1)
$
4,358.7
4.46
%
$
1,516.3
1.73
%
Fair Value (2)
$
4,538.8
$
1,513.3
(1)
Excludes net premiums recorded on mortgages payable, original issuance discounts recorded on notes payable and deferred financing costs on mortgages payable, notes payable, and term loans. At December 31, 2016, the unamortized balance of net premiums on mortgages payable is $6.4 million, the unamortized balance of original issue discounts on notes payable is $19.8 million, and the balance of deferred financing costs on mortgages payable is $324,000, on notes payable is $20.8 million, and on term loans is $873,000.
(2)
We base the estimated fair value of the fixed rate senior notes and bonds at December 31, 2016 on the indicative market prices and recent trading activity of our senior notes and bonds payable. We base the estimated fair value of our fixed rate and variable rate mortgages at December 31, 2016 on the relevant Treasury yield curve, plus an applicable credit-adjusted spread. We believe that the carrying value of the credit facility balance and term loans balance reasonably approximate their estimated fair values at December 31, 2016.
The table incorporates only those exposures that exist as of December 31, 2016. It does not consider those exposures or positions that could arise after that date. As a result, our ultimate realized gain or loss, with respect to interest rate fluctuations, would depend on the exposures that arise during the period, our hedging strategies at the time, and interest rates.
All of our outstanding notes and bonds have fixed interest rates. All of our mortgages payable, except six mortgages totaling $74.0 million at December 31, 2016, including net unamortized discounts, have fixed interest rates. After factoring in arrangements that limit our exposure to interest rate risk and effectively fix our per annum interest rates, our variable rate mortgage debt includes four mortgages totaling $38.2 million at December 31, 2016. Interest on our credit facility and term loan balances is variable. However, the variable interest rate feature on our term loans has been mitigated by interest rate swap agreements. Based on our credit facility balance of $1.12 billion at December 31, 2016, a 1% change in interest rates would change our interest costs by $11.2 million per year.
Item 8: Financial Statements and Supplementary Data
A.
Reports of Independent Registered Public Accounting Firm
B.
Consolidated Balance Sheets,
December 31, 2016 and 2015
C.
Consolidated Statements of Income,
Years ended December 31, 2016, 2015 and 2014
D.
Consolidated Statements of Equity,
Years ended December 31, 2016, 2015 and 2014
E.
Consolidated Statements of Cash Flows,
Years ended December 31, 2016, 2015 and 2014
F.
Notes to Consolidated Financial Statements
G.
Consolidated Quarterly Financial Data
(unaudited) for 2016 and 2015
H.
Schedule III Real Estate and Accumulated Depreciation
Schedules not filed: All schedules, other than that indicated in the Table of Contents, have been omitted as the required information is either not material, inapplicable or the information is presented in the financial statements or related notes.
Report of Independent Registered Public Accounting Firm
The Board of Directors and Stockholders
Realty Income Corporation:
We have audited the accompanying consolidated balance sheets of Realty Income Corporation and subsidiaries as of December 31, 2016 and 2015, and the related consolidated statements of income, equity, and cash flows for each of the years in the three-year period ended December 31, 2016. In connection with our audits of the consolidated financial statements, we also have audited financial statement schedule III. These consolidated financial statements and financial statement schedule are the responsibility of Realty Income Corporation’s management. Our responsibility is to express an opinion on these consolidated financial statements and financial statement schedule based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of Realty Income Corporation and subsidiaries as of December 31, 2016 and 2015, and the results of their operations and their cash flows for each of the years in the three-year period ended December 31, 2016, in conformity with U.S. generally accepted accounting principles. Also in our opinion, the related financial statement schedule, when considered in relation to the basic consolidated financial statements taken as a whole, present fairly, in all material respects, the information set forth therein.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), Realty Income Corporation’s internal control over financial reporting as of December 31, 2016, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO), and our report dated February 23, 2017 expressed an unqualified opinion on the effectiveness of Realty Income Corporation’s internal control over financial reporting.
(signed) KPMG LLP
San Diego, California
February 23, 2017
Report of Independent Registered Public Accounting Firm
The Board of Directors and Stockholders
Realty Income Corporation:
We have audited Realty Income Corporation’s internal control over financial reporting as of December 31, 2016, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Realty Income Corporation’s management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management’s Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on Realty Income Corporation’s internal control over financial reporting based on our audit.
We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audit also included performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.
A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
In our opinion, Realty Income Corporation maintained, in all material respects, effective internal control over financial reporting as of December 31, 2016, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheets of Realty Income Corporation and subsidiaries as of December 31, 2016 and 2015, and the related consolidated statements of income, equity, and cash flows for each of the years in the three-year period ended December 31, 2016, and our report dated February 23, 2017 expressed an unqualified opinion on those consolidated financial statements.
(signed) KPMG LLP
San Diego, California
February 23, 2017
REALTY INCOME CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
December 31, 2016 and 2015
(dollars in thousands, except per share data)
ASSETS
Real estate, at cost:
Land
$
3,752,204
$
3,286,004
Buildings and improvements
10,112,212
9,010,778
Total real estate, at cost
13,864,416
12,296,782
Less accumulated depreciation and amortization
(1,987,200
)
(1,687,665
)
Net real estate held for investment
11,877,216
10,609,117
Real estate held for sale, net
26,575
9,767
Net real estate
11,903,791
10,618,884
Cash and cash equivalents
9,420
40,294
Accounts receivable, net
104,584
81,678
Acquired lease intangible assets, net
1,082,320
1,034,417
Goodwill
15,067
15,321
Other assets, net
37,689
54,785
Total assets
$
13,152,871
$
11,845,379
LIABILITIES AND EQUITY
Distributions payable
$
55,235
$
50,344
Accounts payable and accrued expenses
121,156
115,826
Acquired lease intangible liabilities, net
264,206
250,916
Other liabilities
85,616
53,965
Line of credit payable
1,120,000
238,000
Term loans, net
319,127
318,835
Mortgages payable, net
466,045
646,187
Notes payable, net
3,934,433
3,617,973
Total liabilities
6,365,818
5,292,046
Commitments and contingencies
Stockholders’ equity:
Preferred stock and paid in capital, par value $0.01 per share, 69,900,000 shares authorized, 16,350,000 shares issued and outstanding as of December 31, 2016 and December 31, 2015, liquidation preference $25.00 per share
395,378
395,378
Common stock and paid in capital, par value $0.01 per share, 370,100,000 shares authorized, 260,168,259 shares issued and outstanding as of December 31, 2016 and 250,416,757 shares issued and outstanding as of December 31, 2015
8,228,594
7,666,428
Distributions in excess of net income
(1,857,168
)
(1,530,210
)
Total stockholders’ equity
6,766,804
6,531,596
Noncontrolling interests
20,249
21,737
Total equity
6,787,053
6,553,333
Total liabilities and equity
$
13,152,871
$
11,845,379
The accompanying notes to consolidated financial statements are an integral part of these statements.
REALTY INCOME CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
Years Ended December 31, 2016, 2015 and 2014
(dollars in thousands, except per share data)
REVENUE
Rental
$
1,057,413
$
976,865
$
893,457
Tenant reimbursements
43,104
42,015
37,118
Other
2,655
4,405
2,930
Total revenue
1,103,172
1,023,285
933,505
EXPENSES
Depreciation and amortization
449,943
409,215
374,661
Interest
219,974
233,079
216,366
General and administrative
51,966
49,298
51,085
Property (including reimbursable)
62,865
55,352
53,871
Income taxes
3,262
3,169
3,461
Provisions for impairment
20,664
10,560
4,126
Total expenses
808,674
760,673
703,570
Gain on sales of real estate
21,979
22,243
39,205
Income from continuing operations
316,477
284,855
269,140
Income from discontinued operations
-
-
2,800
Net income
316,477
284,855
271,940
Net income attributable to noncontrolling interests
(906
)
(1,089
)
(1,305
)
Net income attributable to the Company
315,571
283,766
270,635
Preferred stock dividends
(27,080
)
(27,080
)
(37,062
)
Excess of redemption value over carrying value of
preferred shares redeemed
-
-
(6,015
)
Net income available to common stockholders
$
288,491
$
256,686
$
227,558
Amounts available to common stockholders per common share:
Income from continuing operations, basic and diluted
$
1.13
$
1.09
$
1.03
Net income, basic and diluted
$
1.13
$
1.09
$
1.04
Weighted average common shares outstanding:
Basic
255,066,500
235,767,932
218,390,885
Diluted
255,624,250
236,208,390
218,767,885
The accompanying notes to consolidated financial statements are an integral part of these statements.
REALTY INCOME CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EQUITY
Years Ended December 31, 2016, 2015, and 2014
(dollars in thousands)
Preferred
Common
Shares of
Shares of
stock and
stock and
Distributions
Total
preferred
common
paid in
paid in
in excess of
stockholders’
Noncontrolling
Total
stock
stock
capital
capital
net income
equity
interests
equity
Balance, December 31, 2013
25,150,000
207,485,073
$
609,363
$
5,767,878
$
(991,794
)
$
5,385,447
$
35,911
$
5,421,358
Net income
-
-
-
-
270,635
270,635
1,305
271,940
Distributions paid and payable
-
-
-
-
(519,790
)
(519,790
)
(1,839
)
(521,629
)
Share issuances, net of costs
-
17,327,166
-
685,877
-
685,877
-
685,877
Redemption of common units
-
35,000
-
1,032
-
1,032
(1,032
)
-
Reallocation of equity
-
-
-
6,647
-
6,647
(6,647
)
-
Preferred shares redeemed
(8,800,000
)
-
(213,985
)
-
(6,015
)
(220,000
)
-
(220,000
)
Share-based compensation, net
-
33,953
-
3,553
-
3,553
-
3,553
Balance, December 31, 2014
16,350,000
224,881,192
$
395,378
$
6,464,987
$
(1,246,964
)
$
5,613,401
$
27,698
$
5,641,099
Net income
-
-
-
-
283,766
283,766
1,089
284,855
Distributions paid and payable
-
-
-
-
(567,012
)
(567,012
)
(1,652
)
(568,664
)
Share issuances, net of costs
-
25,322,655
-
1,190,006
-
1,190,006
-
1,190,006
Redemption of common units
-
168,182
-
4,347
-
4,347
(4,347
)
-
Reallocation of equity
-
-
-
1,051
-
1,051
(1,051
)
-
Share-based compensation, net
-
44,728
-
6,037
-
6,037
-
6,037
Balance, December 31, 2015
16,350,000
250,416,757
$
395,378
$
7,666,428
$
(1,530,210
)
$
6,531,596
$
21,737
$
6,553,333
Net income
-
-
-
-
315,571
315,571
316,477
Distributions paid and payable
-
-
-
-
(642,529
)
(642,529
)
(12,682
)
(655,211
)
Share issuances, net of costs
-
9,449,167
-
557,636
-
557,636
-
557,636
Contributions by noncontrolling interests
-
-
-
-
-
-
15,906
15,906
Redemption of common units
-
103,182
-
(2,865
)
-
(2,865
)
(6,161
)
(9,026
)
Reallocation of equity
-
-
-
(543
)
-
(543
)
-
Share-based compensation, net
-
199,153
-
7,938
-
7,938
-
7,938
Balance, December 31, 2016
16,350,000
260,168,259
$
395,378
$
8,228,594
$
(1,857,168
)
$
6,766,804
$
20,249
$
6,787,053
The accompanying notes to consolidated financial statements are an integral part of these statements.
REALTY INCOME CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
Years Ended December 31, 2016, 2015 and 2014
(dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES
Net income
$
316,477
$
284,855
$
271,940
Adjustments to net income:
Depreciation and amortization
449,943
409,215
374,661
Income from discontinued operations
-
-
(2,800
)
Amortization of share-based compensation
12,007
10,391
11,959
Non-cash rental adjustments
(10,154
)
(8,607
)
(6,848
)
Amortization of net premiums on mortgages payable
(3,414
)
(7,482
)
(12,891
)
Amortization of deferred financing costs
8,904
9,044
8,335
(Gain) loss on interest rate swaps
(1,639
)
3,043
1,349
Gain on sales of real estate
(21,979
)
(22,243
)
(39,205
)
Provisions for impairment on real estate
20,664
10,560
4,126
Change in assets and liabilities
Accounts receivable and other assets
(1,232
)
(2,641
)
(3,064
)
Accounts payable, accrued expenses and other liabilities
34,468
6,168
20,130
Net cash provided by operating activities
804,045
692,303
627,692
CASH FLOWS FROM INVESTING ACTIVITIES
Investment in real estate
(1,798,892
)
(1,266,885
)
(1,228,243
)
Improvements to real estate, including leasing costs
(13,426
)
(11,541
)
(6,032
)
Proceeds from sales of real estate
Continuing operations
99,096
65,817
88,688
Discontinued operations
-
-
6,918
Collection of loans receivable
12,515
-
Restricted escrow deposits for Section 1031 tax-deferred exchanges and pending acquisitions
(404
)
33,554
(36,540
)
Net cash used in investing activities
(1,701,111
)
(1,179,055
)
(1,174,859
)
CASH FLOWS FROM FINANCING ACTIVITIES
Cash distributions to common stockholders
(610,516
)
(533,238
)
(479,256
)
Cash dividends to preferred stockholders
(27,080
)
(27,080
)
(38,300
)
Borrowings on line of credit
3,879,000
1,448,000
1,672,321
Payments on line of credit
(2,997,000
)
(1,433,000
)
(1,577,321
)
Proceeds from notes and bonds payable issued
592,026
-
598,594
Principal payment on notes payable
(275,000
)
(150,000
)
-
Proceeds from mortgages payable
9,963
-
-
Principal payments on mortgages payable
(231,743
)
(198,353
)
(85,208
)
Proceeds from term loans
-
250,000
-
Proceeds from common stock offerings, net
383,572
793,559
528,615
Proceeds from dividend reinvestment and stock purchase plan
10,252
363,029
158,462
Proceeds from At-the-Market (ATM) program
166,781
36,348
-
Redemption of preferred stock
-
-
(220,000
)
Redemption of preferred units
-
(6,750
)
Redemption of common units
(9,026
)
-
-
Distributions to noncontrolling interests
(12,725
)
(1,679
)
(1,844
)
Debt issuance costs
(5,274
)
(10,259
)
(5,505
)
Other items, including shares withheld upon vesting
(7,038
)
(7,383
)
(9,796
)
Net cash provided by financing activities
866,192
523,194
540,762
Net (decrease) increase in cash and cash equivalents
(30,874
)
36,442
(6,405
)
Cash and cash equivalents, beginning of period
40,294
3,852
10,257
Cash and cash equivalents, end of period
$
9,420
$
40,294
$
3,852
For supplemental disclosures, see note 15.
The accompanying notes to consolidated financial statements are an integral part of these statements.
REALTY INCOME CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
December 31, 2016, 2015, and 2014
1. Organization and Operation
Realty Income Corporation (“Realty Income,” the “Company,” “we,” “our” or “us”) is organized as a Maryland corporation. We invest in commercial real estate and have elected to be taxed as a real estate investment trust, or REIT.
At December 31, 2016, we owned 4,944 properties, located in 49 states and Puerto Rico, containing over 83.0 million leasable square feet.
Information with respect to number of properties, square feet, average initial lease term and weighted average contractual lease rate is unaudited.
2. Summary of Significant Accounting Policies and Procedures and Recent Accounting Pronouncements
Federal Income Taxes. We have elected to be taxed as a REIT, as defined above, under the Internal Revenue Code of 1986, as amended, or the Code. We believe we have qualified and continue to qualify as a REIT. Under the REIT operating structure, we are permitted to deduct dividends paid to our stockholders in determining our taxable income. Assuming our dividends equal or exceed our taxable net income, we generally will not be required to pay federal corporate income taxes on such income. Accordingly, no provision has been made for federal income taxes in the accompanying consolidated financial statements, except for federal income taxes of our taxable REIT subsidiaries. The income taxes recorded on our consolidated statements of income represent amounts paid by Realty Income and its subsidiaries for city and state income and franchise taxes.
Earnings and profits that determine the taxability of distributions to stockholders differ from net income reported for financial reporting purposes due to differences in the estimated useful lives and methods used to compute depreciation and the carrying value (basis) of the investments in properties for tax purposes, among other things.
We regularly analyze our various federal and state filing positions and only recognize the income tax effect in our financial statements when certain criteria regarding uncertain income tax positions have been met. We believe that our income tax positions would more likely than not be sustained upon examination by all relevant taxing authorities. Therefore, no provisions for uncertain income tax positions have been recorded in our financial statements.
Net Income per Common Share. Basic net income per common share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding during each period. Diluted net income per common share is computed by dividing net income available to common stockholders, plus income attributable to dilutive shares and convertible common units, for the period by the weighted average number of common shares that would have been outstanding assuming the issuance of common shares for all potentially dilutive common shares outstanding during the reporting period.
The following is a reconciliation of the denominator of the basic net income per common share computation to the denominator of the diluted net income per common share computation.
Weighted average shares used for the basic net income per share computation
255,066,500
235,767,932
218,390,885
Incremental shares from share-based compensation
240,728
123,436
59,978
Weighted average partnership common units convertible to common shares that were dilutive
317,022
317,022
317,022
Weighted average shares used for diluted net income per share computation
255,624,250
236,208,390
218,767,885
Unvested shares from share-based compensation that were anti-dilutive
106,103
51,749
Weighted average partnership common units convertible to common shares that were anti-dilutive
198,429
417,060
523,847
Discontinued Operations. During the first quarter of 2014, the Financial Accounting Standards Board issued guidance that changed the definition of discontinued operations by limiting discontinued operations reporting to disposals of components of an entity that represent strategic shifts that have, or will have, a major effect on an entity’s operations and financial results. We early adopted the requirements of this accounting pronouncement in the first quarter of 2014.
Starting with the first quarter of 2014, the results of operations for all qualifying disposals and properties classified as held for sale that were not previously reported in discontinued operations in our 2013 Annual Report on Form 10-K are presented within income from continuing operations on our consolidated statements of income. Prior to the date of adoption of Accounting Standards Update 2014-08 (ASU 2014-08), which amends Topic 205, Presentation of Financial Statements, and Topic 360, Property, Plant, and Equipment, we reported, in discontinued operations, the results of operations of properties that had either been disposed of or classified as held for sale in financial statements issued.
Operations from 15 properties were classified as held for sale at December 31, 2016, and are included in income from continuing operations. We do not depreciate properties that are classified as held for sale.
If the property was previously reclassified as held for sale but the applicable criteria for this classification are no longer met, the property is reclassified to real estate held for investment. A property that is reclassified to held for investment is measured and recorded at the lower of (i) its carrying amount before the property was classified as held for sale, adjusted for any depreciation expense that would have been recognized had the property been continuously classified as held for investment, or (ii) the fair value at the date of the subsequent decision not to sell.
No debt was assumed by buyers of our properties, or repaid as a result of our property sales.
For the year ended December 31, 2014, we recorded income from discontinued operations of $2.8 million, or $0.01 per common share, basic and diluted.
Revenue Recognition and Accounts Receivable. All leases are accounted for as operating leases. Under this method, leases that have fixed and determinable rent increases are recognized on a straight-line basis over the lease term. Any rental revenue contingent upon a tenant’s sales is recognized only after the tenant exceeds their sales breakpoint. Rental increases based upon changes in the consumer price indexes are recognized only after the changes in the indexes have occurred and are then applied according to the lease agreements. Contractually obligated reimbursements from tenants for recoverable real estate taxes and operating expenses are included in tenant reimbursements in the period when such costs are incurred.
We recognize an allowance for doubtful accounts relating to accounts receivable for amounts deemed uncollectible. We consider tenant specific issues, such as financial stability and ability to pay, when determining collectability of accounts receivable and appropriate allowances to record. The allowance for doubtful accounts was $74,000 at December 31, 2016 and $429,000 at December 31, 2015.
Other revenue, which comprises property-related revenue not included in rental revenue or tenant reimbursements, was $2.7 million in 2016, $4.4 million in 2015 and $2.9 million in 2014.
Principles of Consolidation. The accompanying consolidated financial statements include the accounts of Realty Income and other subsidiaries for which we make operating and financial decisions (i.e. control), after elimination of all material intercompany balances and transactions. We consolidate entities that we control and record a noncontrolling interest for the portion that we do not own. Noncontrolling interest that was created or assumed as part of a business combination was recognized at fair value as of the date of the transaction (see note 10). We have no unconsolidated investments.
Cash Equivalents. We consider all short-term, highly liquid investments that are readily convertible to cash and have an original maturity of three months or less at the time of purchase to be cash equivalents. Our cash equivalents are primarily investments in United States government money market funds.
Gain on Sales of Properties. When real estate is sold, the related net book value of the applicable assets is removed and a gain from the sale is recognized in our consolidated statements of income. We record a gain from the sale of real estate provided that various criteria, relating to the terms of the sale and any subsequent involvement by us with the real estate, have been met.
Allocation of the Purchase Price of Real Estate Acquisitions. When acquiring a property for investment purposes, we typically allocate the fair value of real estate acquired to: (1) land, (2) building and improvements, and (3) identified intangible assets and liabilities, based in each case on their estimated fair values. Intangible assets and liabilities consist of above-market or below-market lease value of in-place leases, the value of in-place leases, and tenant relationships, as applicable. In an acquisition of multiple properties, we must also allocate the purchase price among the properties. The allocation of the purchase price is based on our assessment of estimated fair value and is often based upon the expected future cash flows of the property and various characteristics of the markets where the property is located. In addition, any assumed mortgages receivable or payable and any assumed or issued noncontrolling interests are recorded at their estimated fair values. The estimated fair values of our mortgages payable have been calculated by discounting the future cash flows using applicable interest rates that have been adjusted for factors, such as industry type, tenant investment grade, maturity date, and comparable borrowings for similar assets. The initial allocation of the purchase price is based on management’s preliminary assessment, which may differ when final information becomes available. Subsequent adjustments made to the initial purchase price allocation are made within the allocation period, which does not exceed one year. The use of different assumptions in the allocation of the purchase price of the acquired properties and liabilities assumed could affect the timing of recognition of the related revenue and expenses.
Our estimated fair value determinations are based on management’s judgment, utilizing various factors, including: (1) market conditions, (2) industry that the tenant operates in, (3) characteristics of the real estate, i.e.: location, size, demographics, value and comparative rental rates, (4) tenant credit profile, (5) store profitability and the importance of the location of the real estate to the operations of the tenant’s business, and/or (6) real estate valuations, prepared either internally or by an independent valuation firm. Our methodologies for measuring fair value related to the allocation of the purchase price of real estate acquisitions include both observable market data (and thus should be categorized as level 2 on the Financial Accounting Standards Board, or FASB’s, three-level valuation hierarchy) and unobservable inputs that reflect our own internal assumptions and calculations (and thus should be categorized as level 3 on FASB’s three-level valuation hierarchy).
The fair value of the tangible assets of an acquired property with an in-place operating lease (which includes land and buildings/improvements) is determined by valuing the property as if it were vacant, and the “as-if-vacant” value is then allocated to land and buildings/improvements based on our determination of the fair value of these assets. Our fair value determinations are based primarily on internally prepared real estate valuations for each property, and consider estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases. In allocating the fair value to identified intangibles for above-market or below-market leases, an amount is recorded based on the present value of the difference between (i) the contractual amount to be paid pursuant to the in-place lease and (ii) our estimate of fair market lease rate for the corresponding in-place lease, measured over the remaining term of the lease.
The values of the above-market and below-market leases are amortized over the term of the respective leases, including any bargain renewal options, as an adjustment to rental revenue on our consolidated statements of income.
The aggregate value of other acquired intangible assets consists of the fair value of in-place leases and tenant relationships, as applicable. The value of in-place leases, exclusive of the value of above-market and below-market in-place leases, is amortized to depreciation and amortization expense over the remaining periods of the respective leases.
If a lease was terminated prior to its stated expiration, all unamortized amounts relating to that lease would be recorded to revenue or expense as appropriate.
In allocating the fair value to assumed mortgages, amounts are recorded to debt premiums or discounts based on the present value of the estimated cash flows, which is calculated to account for either above or below-market interest rates. Our assumed net debt premiums are amortized as a reduction to interest expense over the remaining term of the respective mortgages.
In allocating noncontrolling interests, amounts are recorded based on the fair value of units issued or contributions made at the date of acquisition, as determined by the terms of the applicable agreement.
Depreciation and Amortization. Land, buildings and improvements are recorded and stated at cost. Major replacements and betterments, which improve or extend the life of the asset, are capitalized and depreciated over their estimated useful lives, while ordinary repairs and maintenance are expensed as incurred. Buildings and improvements that are under redevelopment, or are being developed, are carried at cost and no depreciation is recorded on these assets. Additionally, amounts essential to the development of the property, such as pre-construction, development, construction, interest and other costs incurred during the period of development are capitalized. We cease capitalization when the property is available for occupancy upon substantial completion of tenant improvements, but in any event no later than one year from the completion of major construction activity.
Properties are depreciated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives are as follows:
Buildings
25 years or 35 years
Building improvements
4 to 20 years
Tenant improvements and lease commissions
The shorter of the term of the related lease or useful life
Acquired in-place leases
Remaining terms of the respective leases
Provision for Impairment. We review long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. A provision is made for impairment if estimated future operating cash flows (undiscounted and without interest charges) plus estimated disposition proceeds (undiscounted) are less than the current book value of the property. Key factors that we utilize in this analysis include projected rental rates, estimated holding periods, historical sales and releases, capital expenditures and property sales capitalization rates. If a property is classified as held for sale, it is carried at the lower of carrying cost or estimated fair value, less estimated cost to sell, and depreciation of the property ceases.
In 2016, we recorded total provisions for impairment of $20.7 million on six properties classified as held for sale, two properties classified as held for investment, and 31 sold properties in the following industries: one in the automotive parts industry, two in the automotive services industry, one in the automotive tire services industry, one in the convenience stores industry, one in the financial services industry, one in the general merchandise industry, one in the health and fitness industry, two in the home furnishings industry, 24 in the restaurant-casual dining industry, two in the restaurant-quick service industry, and three among the industry we classify as “other.” These properties were not previously classified as held for sale in financial statements issued prior to the date of adoption of ASU 2014-08; accordingly, the provisions for impairment are included in income from continuing operations on our consolidated statement of income.
In 2015, we recorded total provisions for impairment of $10.6 million on three properties classified as held for investment, 11 sold properties, and one property disposed of other than by sale in the following industries: one in the convenience stores industry, one in the health and fitness industry, one in the pet supplies and services industry, 11 in the restaurant-casual dining industry, and one among the industry we classify as “other.” These properties were not previously classified as held for sale in financial statements issued prior to the date of adoption of ASU 2014-08; accordingly, the provisions for impairment are included in income from continuing operations on our consolidated statement of income.
In 2014, we recorded total provisions for impairment of $4.6 million. Provisions for impairment of $4.1 million are included in income from continuing operations on 10 sold properties and one property classified as held for sale in the following industries: one in the consumer electronics industry, one in the convenience stores industry, one in the home furnishings industry, two in the home improvement industry, and six in the restaurant-casual dining industry. These properties were not previously classified as held for sale in financial statements issued prior to the date of adoption of ASU 2014-08; accordingly, these provisions for impairment are included in income from continuing operations on our consolidated statements of income. Additionally, a provision for impairment of $510,000 is included in income from discontinued operations on one sold property that was classified as held for sale as of December 31, 2013.
Asset Retirement Obligations. We analyze our future legal obligations associated with the other-than-temporary removal of tangible long-lived assets, also referred to as asset retirement obligations. When we determine that we have a legal obligation to provide services upon the retirement of a tangible long-lived asset, we record a liability for this obligation based on the estimated fair value of this obligation and adjust the carrying amount of the related long-lived asset by the same amount. This asset is amortized over its estimated useful life. The estimated fair value of the asset retirement obligation is calculated by discounting the future cash flows using a credit-adjusted risk-free interest rate.
Goodwill. Goodwill is tested for impairment during the second quarter of each year as well as when events or circumstances occur indicating that our goodwill might be impaired. Under the amendments issued in conjunction with ASU No. 2011-08, Intangibles - Goodwill and Other (Topic 350), an entity, through an assessment of qualitative factors, is not required to calculate the estimated fair value of a reporting unit, in connection with the two-step goodwill impairment test, unless the entity determines that it is more likely than not that its fair value is less than its carrying amount. During our tests for impairment of goodwill during the second quarters of 2016, 2015 and 2014, we determined that the fair values of our reporting units are not more likely than not to be less than their respective carrying amounts and that no impairment was recorded on our goodwill during 2016, 2015 or 2014.
Equity Offering Costs. Underwriting commissions and offering costs have been reflected as a reduction of additional paid-in-capital on our consolidated balance sheets.
Noncontrolling Interests. Noncontrolling interests are reflected on our consolidated balance sheets as a component of equity. Noncontrolling interests are recorded initially at fair value based on the price of the applicable units issued or contributions made, and subsequently adjusted each period for distributions, additional contributions and the allocation of net income attributable to the noncontrolling interests.
As consideration for two separate acquisitions during 2013, partnership units of Tau Operating Partnership, L.P. and Realty Income, L.P. were issued to third parties. These common units (discussed in footnote 10) do not have voting rights, are entitled to monthly distributions equal to the amount paid to our common stockholders, and are redeemable in cash or our common stock, at our option and at a conversion ratio of one to one, subject to certain exceptions. As the general partner for each of these partnerships, we have operating and financial control over these entities, consolidate them in our financial statements, and record the partnership units held by third parties as noncontrolling interests.
Use of Estimates. The consolidated financial statements were prepared in conformity with U.S. generally accepted accounting principles, or GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
Recent Accounting Pronouncements. In May 2014, FASB issued ASU 2014-09, Revenue from Contracts with Customers. This ASU outlines a comprehensive model for companies to use in accounting for revenue arising from contracts with customers, and will apply to transactions such as the sale of real estate. This ASU is effective for interim and annual periods beginning after December 15, 2017. The standard permits the use of either the retrospective or cumulative effect transition method. We plan to use the cumulative effect transition method upon adoption of the standard on January 1, 2018, and do not expect this topic to have a material impact on our consolidated financial statements or the related notes.
In February 2015, FASB issued ASU 2015-02, which amends Topic 810, Consolidation. This ASU amended the criteria used to evaluate whether an entity is a variable interest entity, or VIE, resulting in the conclusion that all limited partnerships are considered VIEs, unless substantive kick-out rights or participating rights exist. We adopted this ASU during the quarter ended March 31, 2016 and evaluated our applicable entities. The evaluation did not result in changes to our conclusions regarding consolidation of these entities (see note 10).
In April 2015, FASB issued ASU 2015-03, which amends Topic 835, Other Presentation Matters. The amendments in this ASU require that debt issuance costs be reported on the balance sheet as a direct reduction of the face amount of the debt instrument they relate to, and should not be classified as a deferred charge, as was previously required under the Accounting Standards Codification. We adopted this ASU during the quarter ended March 31, 2016 and, as a result, reclassified deferred financing costs from other assets, net, to the applicable debt caption on the December 31, 2015 balance sheet.
In February 2016, FASB issued Topic 842, Leases, which amended Topic 840, Leases. Under this amended topic, the accounting applied by a lessor is largely unchanged from that applied under Topic 840, Leases. The large majority of operating leases should remain classified as operating leases, and lessors should continue to recognize lease income for those leases on a generally straight-line basis over the lease term. The amendments included in this topic are effective, on a retrospective or modified retrospective basis, for interim and annual periods beginning after December 15, 2018. We have not yet adopted this topic and are currently evaluating the impact this amendment will have on our consolidated financial statements.
In March 2016, FASB issued ASU 2016-09, which amends Topic 718, Compensation - Stock Compensation. FASB issued this ASU to simplify several aspects of the accounting for share-based payment transactions, including classification of awards as either equity or liabilities, estimation of forfeitures, and classification on the statement of cash flows. The ASU is effective for interim and annual periods beginning after December 15, 2016, and early adoption is permitted. We early adopted this ASU during the quarter ended March 31, 2016 and it did not have a material impact on our consolidated financial statements.
In January 2017, FASB issued ASU 2017-01, which amends Topic 805, Business Combinations. FASB issued this ASU to clarify the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The ASU is effective for interim and annual periods beginning after December 15, 2017. We have not yet adopted this topic and are currently evaluating the impact this amendment will have on our consolidated financial statements.
3. Supplemental Detail for Certain Components of Consolidated Balance Sheets
A. Acquired lease intangible assets, net, consist of the following
December 31,
December 31,
(dollars in thousands) at:
Acquired in-place leases
$
1,164,075
$
1,056,715
Accumulated amortization of acquired in-place leases
(358,040
)
(264,399
)
Acquired above-market leases
365,005
304,548
Accumulated amortization of acquired above-market leases
(88,720
)
(62,447
)
$
1,082,320
$
1,034,417
December 31,
December 31,
B. Other assets, net, consist of the following (dollars in thousands) at:
Prepaid expenses
14,406
14,258
Credit facility origination costs, net
7,303
10,226
Notes receivable issued in connection with property sales
5,390
17,905
Restricted escrow deposits
4,246
4,179
Corporate assets, net
3,585
2,313
Impounds related to mortgages payable
2,015
5,860
Other items
$
37,689
$
54,785
C. Distributions payable consist of the following declared
December 31,
December 31,
distributions (dollars in thousands) at:
Common stock distributions
$
52,896
$
47,963
Preferred stock dividends
2,257
2,257
Noncontrolling interests distributions
$
55,235
$
50,344
D. Accounts payable and accrued expenses consist of the
December 31,
December 31,
following (dollars in thousands) at:
Notes payable - interest payable
$
60,668
$
61,486
Property taxes payable
16,949
13,354
Accrued costs on properties under development
9,049
9,976
Mortgages, term loans, credit line - interest payable and interest rate swaps
5,432
6,813
Other items
29,058
24,197
$
121,156
$
115,826
E. Acquired lease intangible liabilities, net, consist of the
December 31,
December 31,
following (dollars in thousands) at:
Acquired below-market leases
$
318,926
$
288,412
Accumulated amortization of acquired below-market leases
(54,720
)
(37,496
)
$
264,206
$
250,916
F. Other liabilities consist of the following
December 31,
December 31,
(dollars in thousands) at:
Rent received in advance and other deferred revenue (1)
$
74,098
$
42,840
Security deposits
6,502
6,418
Capital lease obligations
5,016
4,707
$
85,616
$
53,965
(1) In connection with Diageo’s sale of its wine business to Treasury Wine Estates, we agreed to release Diageo from its guarantee of our leases in exchange for Diageo’s payment of $75 million of additional rent to us. The additional rent was paid in two equal installments, one of which was received in August 2016 for $37.5 million and was recorded as prepaid rent. The final payment of $37.5 million was received in January 2017, at which time Treasury Wine Estates became the guarantor of our leases on those properties. We have accounted for this transaction as a lease modification and the additional rent will be recognized on a straight-line basis over the remaining lease terms of approximately 15 years.
4. Investments in Real Estate
We acquire land, buildings and improvements necessary for the successful operations of commercial tenants.
A. Acquisitions during 2016 and 2015
During 2016, we invested $1.86 billion in 505 new properties and properties under development or expansion with an initial weighted average contractual lease rate of 6.3%. The 505 new properties and properties under development or expansion are located in 40 states, will contain approximately 8.2 million leasable square feet, and are 100% leased with a weighted average lease term of 14.7 years. The tenants occupying the new properties operate in 28 industries and the property types consist of 86.4% retail and 13.6% industrial, based on rental revenue. None of our investments during 2016 caused any one tenant to be 10% or more of our total assets at December 31, 2016.
The $1.86 billion invested during 2016 was allocated as follows: $515.5 million to land, $1.21 billion to buildings and improvements, $168.0 million to intangible assets related to leases, and $30.6 million to intangible liabilities related to leases and other assumed liabilities. There was no contingent consideration associated with these acquisitions.
The properties acquired during 2016 generated total revenues of $44.6 million and income from continuing operations of $22.0 million during the year ended December 31, 2016.
Of the $1.86 billion we invested during 2016, $761.8 million of the purchase price allocation is based on a preliminary measurement of fair value that is subject to change. The allocation for these properties represents our current best estimate of fair value, and we expect to finalize the valuations and complete the purchase price allocations in 2017. During 2016, we finalized the purchase price allocations for $195.4 million invested in the fourth quarter of 2015. There were no material changes to our consolidated balance sheets or income statements as a result of these purchase price allocations being finalized.
In comparison, during 2015, we invested $1.26 billion in 286 new properties and properties under development or expansion with an initial weighted average contractual lease rate of 6.6%. The 286 new properties and properties under development or expansion are located in 40 states, contain approximately 6.2 million leasable square feet, and are 100% leased with a weighted average lease term of 16.5 years. The tenants occupying the new properties operate in 21 industries and the property types consist of 87.3% retail and 12.7% industrial, based on rental revenue.
The $1.26 billion invested during 2015 was allocated as follows: $257.1 million to land, $937.1 million to buildings and improvements, $105.8 million to intangible assets related to leases, and $40.9 million to intangible liabilities related to leases and other assumed liabilities. There was no contingent consideration associated with these acquisitions.
The properties acquired during 2015 generated total revenues of $43.4 million and income from continuing operations of $21.1 million during the year ended December 31, 2015.
The estimated initial weighted average contractual lease rate for a property is generally computed as estimated contractual net operating income, which, in the case of a net leased property, is equal to the aggregate base rent for the first full year of each lease, divided by the total cost of the property. Since it is possible that a tenant could default on the payment of contractual rent, we cannot provide assurance that the actual return on the funds invested will remain at the percentages listed above.
In the case of a property under development or expansion, the contractual lease rate is generally fixed such that rent varies based on the actual total investment in order to provide a fixed rate of return. When the lease does not provide for a fixed rate of return on a property under development or expansion, the estimated initial weighted average contractual lease rate is computed as follows: estimated net operating income (determined by the lease) for the first full year of each lease, divided by our projected total investment in the property, including land, construction and capitalized interest costs. Of the $1.86 billion we invested during 2016, $103.8 million was invested in 33 properties under development or expansion with an estimated initial weighted average contractual lease rate of 7.1%. Of the $1.26 billion we invested during 2015, $45.8 million was invested in 35 properties under development or expansion with an estimated initial weighted average contractual lease rate of 9.7%.
B. Acquisition Transaction Costs
Acquisition transaction costs of $346,000 and $913,000 were recorded to general and administrative expense on our consolidated statements of income during 2016 and 2015, respectively.
C. Investments in Existing Properties
During 2016, we capitalized costs of $16.3 million on existing properties in our portfolio, consisting of $797,000 for re-leasing costs, $679,000 for recurring capital expenditures and $14.9 million for non-recurring building improvements. In comparison, during 2015, we capitalized costs of $11.5 million on existing properties in our portfolio, consisting of $748,000 for re-leasing costs, $7.6 million for recurring capital expenditures and $3.2 million for non-recurring building improvements.
D. Properties with Existing Leases
Of the $1.86 billion we invested during 2016, approximately $741.2 million was used to acquire 90 properties with existing leases. In comparison, of the $1.26 billion we invested during 2015, approximately $391.4 million was used to acquire 86 properties with existing leases. The value of the in-place and above-market leases is recorded to acquired lease intangible assets, net on our consolidated balance sheets, and the value of the below-market leases is recorded to acquired lease intangible liabilities, net on our consolidated balance sheets.
The values of the in-place leases are amortized as depreciation and amortization expense. The amounts amortized to expense for all of our in-place leases, for 2016, 2015, and 2014 were $94.0 million, $87.9 million, and $83.6 million, respectively.
The values of the above-market and below-market leases are amortized over the term of the respective leases, including any bargain renewal options, as an adjustment to rental revenue on our consolidated statements of income. The amounts amortized as a net decrease to rental revenue for capitalized above-market and below-market leases for 2016, 2015, and 2014 were $9.3 million, $7.9 million, and $8.0 million, respectively. If a lease were to be terminated prior to its stated expiration, all unamortized amounts relating to that lease would be recorded to revenue or expense as appropriate.
The following table presents the estimated impact during the next five years and thereafter related to the amortization of the acquired above-market and below-market lease intangibles and the amortization of the in-place lease intangibles for properties held for investment at December 31, 2016 (in thousands):
Net increase
Increase to
(decrease) to
amortization
rental revenue
expense
$
(10,076
)
$
97,299
(9,834
)
94,801
(8,880
)
84,477
(8,119
)
78,972
(6,842
)
70,783
Thereafter
31,672
379,703
Totals
$
(12,079
)
$
806,035
5. Credit Facility
In June 2015, we entered into a $2.0 billion unsecured revolving credit facility, or our credit facility, which replaced our $1.5 billion credit facility that was scheduled to expire in May 2016. The initial term of our credit facility expires in June 2019 and includes, at our option, two six-month extensions. Our credit facility has a $1.0 billion accordion expansion option. Under our credit facility, our investment grade credit ratings as of December 31, 2016 provide for financing at the London Interbank Offered Rate, commonly referred to as LIBOR, plus 0.90% with a facility commitment fee of 0.15%, for all-in drawn pricing of 1.05% over LIBOR. The borrowing rate is subject to an interest rate floor and may change if our investment grade credit ratings change. We also have other interest rate options available to us under our credit facility. Our credit facility is unsecured and, accordingly, we have not pledged any assets as collateral for this obligation.
At December 31, 2016, credit facility origination costs of $7.3 million are included in other assets, net on our consolidated balance sheet. This balance includes $9.1 million of credit facility origination costs incurred during 2015 as a result of entering into our credit facility. These costs, as well as a portion of the costs incurred as a result of entering into our previous credit facilities, are being amortized over the remaining term of our credit facility.
At December 31, 2016, we had a borrowing capacity of $880.0 million available on our credit facility (subject to customary conditions to borrowing) and an outstanding balance of $1.12 billion, as compared to an outstanding balance of $238.0 million at December 31, 2015.
The weighted average interest rate on outstanding borrowings under our credit facility was 1.4% during 2016 and 1.2% during 2015. At December 31, 2016, the weighted average interest rate on borrowings outstanding was 1.7%. Our credit facility is subject to various leverage and interest coverage ratio limitations, and at December 31, 2016, we remain in compliance with the covenants on our credit facility.
6. Term Loans
In June 2015, in conjunction with entering into our credit facility, we entered into a $250 million senior unsecured term loan maturing on June 30, 2020. Borrowing under this term loan bears interest at the current one-month LIBOR, plus 0.95%. In conjunction with this term loan, we also entered into an interest rate swap which effectively fixes our per annum interest rate on this term loan at 2.67%.
In January 2013, in conjunction with our acquisition of American Realty Capital Trust, Inc., or ARCT, we entered into a $70 million senior unsecured term loan maturing January 2018. Borrowing under this term loan bears interest at the current one-month LIBOR, plus 1.20%. In conjunction with this term loan, we also entered into an interest rate swap which effectively fixes our per annum interest rate on this term loan at 2.15%. Deferred financing costs of $1.2 million incurred in conjunction with the $250 million term loan and $303,000 incurred in conjunction with the $70 million term loan are being amortized over the remaining terms of each respective term loan. The net balance of these deferred financing costs, which was $873,000 at December 31, 2016, and $1.2 million at December 31, 2015, is included within term loans, net on our consolidated balance sheets.
7. Mortgages Payable
During 2016, we made $231.7 million in principal payments, including the repayment of 11 mortgages in full for $201.8 million, and we assumed mortgages totaling $44.1 million, excluding net premiums. During 2016, we refinanced one of these assumed mortgages and received an additional $10.0 million in proceeds. The assumed mortgages are secured by the properties on which the debt was placed and are considered non-recourse debt with limited customary exceptions for items such as solvency, bankruptcy, misrepresentation, fraud, misapplication of payments, environmental liabilities, failure to pay taxes, insurance premiums, liens on the property, violations of the single purpose entity requirements, and uninsured losses. We expect to pay off our mortgages as soon as prepayment penalties make it economically feasible to do so.
During 2016, a premium of $692,000 was recorded upon the assumption of one mortgage with an above-market interest rate. The interest rates on the remaining mortgages assumed were at market. Amortization of our net premiums is recorded as a reduction to interest expense over the remaining term of the respective mortgages, using a method that approximates the effective-interest method. These mortgages contain customary covenants, such as limiting our ability to further mortgage each applicable property or to discontinue insurance coverage without the prior consent of the lender. At December 31, 2016, we remain in compliance with these covenants.
During 2015, we made $198.4 million in principal payments, including the repayment of 13 mortgages in full for $191.0 million. No mortgages were assumed during 2015.
We did not incur any deferred financing costs on our mortgages assumed in 2016. The balance of our deferred financing costs, which are classified as part of mortgages payable, net, on our consolidated balance sheets, was $324,000 at December 31, 2016 and $553,000 at December 31, 2015. These costs are being amortized over the remaining term of each mortgage.
The following is a summary of all our mortgages payable as of December 31, 2016 and 2015, respectively (dollars in thousands):
Weighted
Weighted
Weighted
Unamortized
Average
Average
Average
Premium
Stated
Effective
Remaining
Remaining
and Deferred
Mortgage
Number of
Interest
Interest
Years Until
Principal
Finance Costs
Payable
As Of
Properties(1)
Rate(2)
Rate(3)
Maturity
Balance
Balance, net
Balance
12/31/16
4.9%
4.3%
4.0
$
460,008
$
6,037
$
466,045
12/31/15
4.9%
4.1%
3.6
$
637,658
$
8,529
$
646,187
(1) At December 31, 2016, there were 36 mortgages on 127 properties, while at December 31, 2015, there were 44 mortgages on 183 properties. The mortgages require monthly payments, with principal payments due at maturity. The mortgages are at fixed interest rates, except for six mortgages on 15 properties totaling $74.0 million at December 31, 2016, including net unamortized discounts. At December 31, 2015, four mortgages on 13 properties totaling $51.1 million, including net unamortized discounts, were at variable interest rates. After factoring in arrangements which limit our exposure to interest rate risk and effectively fix our per annum interest rates, our variable rate mortgage debt includes four mortgages totaling $38.2 million at December 31, 2016, and two mortgages totaling $15.5 million at December 31, 2015.
(2) Stated interest rates ranged from 2.4% to 6.9% at December 31, 2016, while stated interest rates ranged from 2.0% to 6.9% at December 31, 2015.
(3) Effective interest rates ranged from 2.5% to 8.8% at December 31, 2016, while effective interest rates ranged from 2.2% to 8.9% at December 31, 2015.
The following table summarizes the maturity of mortgages payable, excluding net premiums of $6.4 million and deferred finance costs of $324,000, as of December 31, 2016 (dollars in millions):
8. Notes Payable
A. General
Our senior unsecured notes and bonds consist of the following, sorted by maturity date (dollars in millions):
December 31,
December 31,
5.950% notes, issued in September 2006 and due in September 2016
$
-
$
5.375% notes, issued in September 2005 and due in September 2017
2.000% notes, issued in October 2012 and due in January 2018
6.750% notes, issued in September 2007 and due in August 2019
5.750% notes, issued in June 2010 and due in January 2021
3.250% notes, issued in October 2012 and due in October 2022
4.650% notes, issued in July 2013 and due in August 2023
3.875% notes, issued in June 2014 and due in July 2024
4.125% notes, issued in September 2014 and due in October 2026
3.000% notes, issued in October 2016 and due in January 2027
-
5.875% bonds, $100 issued in March 2005 and $150 issued in June 2011, both due in March 2035
Total principal amount
3,975
3,650
Unamortized original issuance discounts and deferred financing costs
(41
)
(32
)
$
3,934
$
3,618
The following table summarizes the maturity of our notes and bonds payable as of December 31, 2016, excluding unamortized original issuance discounts and deferred financing costs (dollars in millions):
Year of Maturity
Principal
$
-
Thereafter
2,650
Totals
$
3,975
As of December 31, 2016, the weighted average interest rate on our notes and bonds payable was 4.4% and the weighted average remaining years until maturity was 6.6 years.
Interest incurred on all of the notes and bonds was $171.5 million for 2016, $179.5 million for 2015 and $166.5 million for 2014. The interest rate on each of these notes and bonds is fixed.
Our outstanding notes and bonds are unsecured; accordingly, we have not pledged any assets as collateral for these or any other obligations. Interest on all of the senior note and bond obligations is paid semiannually.
All of these notes and bonds contain various covenants, including: (i) a limitation on incurrence of any debt which would cause our debt to total adjusted assets ratio to exceed 60%; (ii) a limitation on incurrence of any secured debt which would cause our secured debt to total adjusted assets ratio to exceed 40%; (iii) a limitation on incurrence of any debt which would cause our debt service coverage ratio to be less than 1.5 times; and (iv) the maintenance at all times of total unencumbered assets not less than 150% of our outstanding unsecured debt. At December 31, 2016, we remain in compliance with these covenants.
B. Note Issuances
In October 2016, we issued $600 million of 3.000% senior unsecured notes due January 2027. The public offering price for the notes was 98.671% of the principal amount for an effective yield to maturity of 3.153%. The net proceeds of approximately $586.7 million from the offering were used to repay borrowings outstanding under our credit facility.
In September 2014, we issued $250 million of 4.125% senior unsecured notes due October 2026, or the 2026 Notes. The price to the investors for the 2026 Notes was 99.499% of the principal amount for an effective yield of 4.178% per annum. A portion of the total net proceeds of $246.4 million from this offering were used to repay all outstanding borrowings under our credit facility, and the remaining proceeds were used for other general corporate purposes, including additional property acquisitions.
In June 2014, we issued $350 million of 3.875% senior unsecured notes due July 2024, or the 2024 Notes. The price to the investors for the 2024 Notes was 99.956% of the principal amount for an effective yield of 3.88% per annum. The total net proceeds of $346.7 million from these offerings were used to repay a portion of the outstanding borrowings under our credit facility.
C. Note Repayment
In September 2016, we repaid all $275 million of outstanding 5.950% notes, plus accrued and unpaid interest.
In November 2015, we repaid $150 million of outstanding 5.500% notes, plus accrued and unpaid interest, using proceeds from our October 2015 common stock offering and our credit facility.
9. Equity
A. Issuance of Common Stock
In May 2016, we issued 6,500,000 shares of common stock. After underwriting discounts and other offering costs of $12.1 million, the net proceeds of $383.6 million were used to repay borrowings under our credit facility.
In October 2015, we issued 11,500,000 shares of common stock. After underwriting discounts and other offering costs of $22.0 million, a portion of the net proceeds of $517.1 million was used to repay borrowings under our credit facility and the remaining portion was used for other general corporate purposes, including acquisitions.
In April 2015, we issued 5,500,000 shares of common stock. After underwriting discounts and other offering costs of $1.4 million, the net proceeds of $276.4 million were used to repay borrowings under our credit facility.
In April 2014, we issued 13,800,000 shares of common stock. After underwriting discounts and other offering costs of $22.8 million, the net proceeds of $528.6 million were used to repay borrowings under our previous credit facility.
B. Redemption of Preferred Stock
In September 2014, we issued an irrevocable notice of redemption for all 8.8 million shares of our 6.75% Monthly Income Class E Preferred Stock for $25 per share, plus accrued dividends. The redemption occurred in October 2014. We incurred a charge of $6.0 million, representing the Class E preferred stock original issuance costs that we paid in 2006.
C. Dividend Reinvestment and Stock Purchase Plan
Our Dividend Reinvestment and Stock Purchase Plan, or our DRSPP, provides our common stockholders, as well as new investors, with a convenient and economical method of purchasing our common stock and reinvesting their distributions. Our DRSPP also allows our current stockholders to buy additional shares of common stock by reinvesting all or a portion of their distributions. Our DRSPP authorizes up to 26,000,000 common shares to be issued. During 2016, we issued 170,027 shares and raised approximately $10.3 million under our DRSPP. During 2015, we issued 7,608,354 shares and raised approximately $363.0 million under our DRSPP. From the inception of our DRSPP through December 31, 2016, we have issued 12,869,889 shares and raised $591.9 million.
Our DRSPP includes a waiver approval process, allowing larger investors or institutions, per a formal approval process, to purchase shares at a small discount, if approved by us. During 2016, we did not issue shares under the waiver approval process. During 2015, we issued 7,413,207 shares and raised $353.7 million under the waiver approval process. These shares are included in the total activity for 2015 noted in the preceding paragraph.
D. At-the-Market (ATM) Program
In September 2015, we established an “at-the-market” equity distribution program, or our ATM program, pursuant to which we can offer and sell up to 12,000,000 shares of common stock. The shares of common stock may be sold to, or through, a consortium of banks acting as our sales agents either by means of ordinary brokers’ transactions on the NYSE at prevailing market prices or at negotiated prices. During 2016, we issued 2,779,140 shares and raised $166.8 million under the ATM program. During 2015, we issued 714,301 shares and raised $36.3 million under the ATM program. From the inception of our ATM program through December 31, 2016, we have issued 3,493,441 shares and raised $203.1 million.
10. Noncontrolling Interests
In January 2013, we completed our acquisition of ARCT. Equity issued as consideration for this transaction included common and preferred partnership units issued by Tau Operating Partnership, L.P., or Tau Operating Partnership, the consolidated subsidiary which owns properties acquired through the ARCT acquisition. We and our subsidiaries hold a 99.4% interest in Tau Operating Partnership, and consolidate the entity.
In June 2013, we completed the acquisition of a portfolio of properties by issuing common partnership units in Realty Income, L.P. The units were issued as consideration for the acquisition. At December 31, 2016, the remaining units from this issuance represent a 0.4% ownership in Realty Income, L.P. We hold the remaining 99.6% interests in this entity and consolidate the entity.
Neither of the common partnership units have voting rights. Both common partnership units are entitled to monthly distributions equal to the amount paid to common stockholders of Realty Income, and are redeemable in cash or Realty Income common stock, at our option, and at a conversion ratio of one to one, subject to certain exceptions. Noncontrolling interests with redemption provisions that permit the issuer to settle in either cash or common stock, at the option of the issuer, were evaluated to determine whether temporary or permanent equity classification on the balance sheet was appropriate. We determined that the units meet the requirements to qualify for presentation as permanent equity.
In 2016, we completed the acquisition of two properties by acquiring a controlling interest in two separate joint ventures. We are the managing member of each of these joint ventures, and possess the ability to control the business and manage the affairs of these entities. At December 31, 2016, we and our subsidiaries held 90.5% and 74% interests, and fully consolidated these entities in our consolidated financial statements.
The following table represents the change in the carrying value of all noncontrolling interests through December 31, 2016 (dollars in thousands):
Tau Operating
Realty Income, L.P.
Other
Noncontrolling
Partnership units(1)
units(2)
Interests
Total
Carrying value at December 31, 2015
$
13,410
$
8,327
$
-
$
21,737
Reallocation of equity
-
Redemptions
-
(6,161
)
-
(6,161
)
Contributions
-
-
15,906
15,906
Distributions
(762
)
(459
)
(11,461
)
(12,682
)
Allocation of net income
Carrying value at December 31, 2016
$
13,405
$
2,216
4,628
$
20,249
Tau Operating
Realty Income, L.P.
Partnership units(1)
units(2)
Total
Carrying value at December 31, 2014
$
13,067
$
14,631
$
27,698
Reallocation of equity
(1,887
)
(1,051
)
Redemptions
-
(4,347
)
(4,347
)
Distributions
(722
)
(930
)
(1,652
)
Allocation of net income
1,089
Carrying value at December 31, 2015
$
13,410
$
8,327
$
21,737
(1) 317,022 Tau Operating Partnership units were issued on January 22, 2013 and remained outstanding as of December 31, 2016 and December 31, 2015.
(2) 534,546 Realty Income, L.P. units were issued on June 27, 2013, 331,364 units were outstanding as of December 31, 2015, and 88,182 remain outstanding as of December 31, 2016.
The Tau Operating Partnership preferred units were recorded at fair value as of the date of acquisition. Since they were redeemable at a fixed price on a determinable date, we initially classified them in other liabilities on our consolidated balance sheets. Payments on these preferred units were made monthly at a rate of 2% per annum and were included in interest expense. In January 2015, we redeemed all 6,750 Tau Operating Partnership preferred units for $1,000 per unit, plus accrued and unpaid distributions.
During the first quarter of 2016, we adopted ASU 2015-02, which amends Topic 810, Consolidation. This ASU amended the criteria used to evaluate whether an entity is a variable interest entity, or VIE, resulting in the conclusion that all limited partnerships are considered VIEs, unless substantive kick-out rights or participating rights exist. Accordingly, we determined that both Tau Operating Partnership and Realty Income, L.P. are VIEs. We have also concluded that we are the primary beneficiary of these VIEs, based on our controlling financial interests. We evaluated the minority unitholder rights noting that they do not hold substantive kick-out rights or participating rights. These conclusions did not result in changes to our historical accounting for these partnerships. Below is a summary of selected financial data of consolidated VIEs, including the joint ventures acquired during 2016, for which we are the primary beneficiary included in the consolidated balance sheets at December 31, 2016 and 2015 (in thousands):
Net real estate
$
3,040,903
$
3,082,025
Total assets
3,499,481
3,586,239
Total debt
251,047
393,812
Total liabilities
364,797
511,476
11. Distributions Paid and Payable
A. Common Stock
We pay monthly distributions to our common stockholders. The following is a summary of monthly distributions paid per common share for 2016, 2015 and 2014:
The following presents the federal income tax characterization of distributions paid or deemed to be paid per common share for the years:
Ordinary income
$
1.8771975
$
1.7307023
$
1.6483522
Nontaxable distributions
0.5143025
0.5407144
0.5432732
Totals
$
2.3915000
$
2.2714167
$
2.1916254
At December 31, 2016, a distribution of $0.2025 per common share was payable and was paid in January 2017. At December 31, 2015, a distribution of $0.191 per common share was payable and was paid in January 2016.
B. Class E Preferred Stock
Prior to the redemption of the Class E preferred stock in October 2014, dividends of $0.140625 per share were paid monthly in arrears on the Class E preferred stock. We paid distributions to holders of our Class E preferred stock totaling $12.7 million in 2014. For 2014, dividends paid per share in the amount of $1.4484375 were characterized as ordinary income for federal income tax purposes.
C. Class F Preferred Stock
Dividends of $0.138021 per share are paid monthly in arrears on the Class F preferred stock. We declared dividends to holders of our Class F preferred stock totaling $27.1 million in 2016, 2015 and 2014. For 2016, 2015 and 2014, dividends paid per share of $1.656252 were characterized as ordinary income for federal income tax purposes. At December 31, 2016, a monthly dividend of $0.138021 per share was payable and was paid in January 2017. We are current in our obligations to pay dividends on our Class F preferred stock.
12. Operating Leases
A. At December 31, 2016, we owned 4,944 properties in 49 states and Puerto Rico. Of the 4,944 properties, 4,920, or 99.5%, are single-tenant properties, and the remaining are multi-tenant properties. At December 31, 2016, 84 properties were available for lease or sale.
Substantially all leases are net leases where the tenant pays or reimburses us for property taxes and assessments, maintains the interior and exterior of the building and leased premises, and carries insurance coverage for public liability, property damage, fire and extended coverage.
Rent based on a percentage of a tenants’ gross sales (percentage rents) was $5.3 million for 2016, $4.5 million for 2015 and $3.6 million for 2014.
At December 31, 2016, minimum future annual rents to be received on the operating leases for the next five years and thereafter are as follows (dollars in thousands):
$
1,146,053
1,092,071
1,042,068
992,192
940,379
Thereafter
6,043,472
Total
$
11,256,235
B. Major Tenants - No individual tenant’s rental revenue, including percentage rents, represented more than 10% of our total revenue for each of the years ended December 31, 2016, 2015 or 2014.
13. Gain on Sales of Real Estate
During 2016, we sold 77 properties for $90.5 million, which resulted in a gain of $22.0 million.
During 2015, we sold 38 properties for $65.8 million, which resulted in a gain of $22.2 million.
These property sales in 2016 and 2015 do not represent a strategic shift that will have a major effect on our operations and financial results, and therefore do not require presentation as discontinued operations.
During 2014, we sold 47 properties for $108.1 million, which resulted in a gain of $42.1 million. Only the results of operations specifically related to the properties classified as held for sale at December 31, 2013 and sold during the year were reclassified as discontinued operations.
Additionally, during 2016 we sold our former corporate headquarters building for $8.6 million.
14. Fair Value of Financial Instruments
Fair value is defined as the price that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The disclosure for assets and liabilities measured at fair value requires allocation to a three-level valuation hierarchy. This valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. Categorization within this hierarchy is based upon the lowest level of input that is significant to the fair value measurement.
We believe that the carrying values reflected in our consolidated balance sheets reasonably approximate the fair values for cash and cash equivalents, accounts receivable, escrow deposits, loans receivable, line of credit payable, term loans and all other liabilities, due to their short-term nature or interest rates and terms that are consistent with market, except for our notes receivable issued in connection with property sales, mortgages payable and our senior notes and bonds payable, which are disclosed as follows (dollars in millions):
Carrying value per
Estimated fair
At December 31, 2016
balance sheet
value
Notes receivable issued in connection with property sales
$
5.4
$
5.5
Mortgages payable assumed in connection with acquisitions, net
466.0
468.7
Notes and bonds payable, net
3,934.4
4,143.3
Carrying value per
Estimated fair
At December 31, 2015
balance sheet
value
Notes receivable issued in connection with property sales
$
17.9
$
19.4
Mortgages payable assumed in connection with acquisitions, net
646.2
651.5
Notes and bonds payable, net
3,618.0
3,828.1
The estimated fair values of our notes receivable issued in connection with property sales and our mortgages payable have been calculated by discounting the future cash flows using an interest rate based upon the relevant Treasury yield curve, plus an applicable credit-adjusted spread. Because this methodology includes unobservable inputs that reflect our own internal assumptions and calculations, the measurement of estimated fair values related to our notes receivable and mortgages payable is categorized as level three on the three-level valuation hierarchy.
The estimated fair values of our senior notes and bonds payable are based upon indicative market prices and recent trading activity of our senior notes and bonds payable. Because this methodology includes inputs that are less observable by the public and are not necessarily reflected in active markets, the measurement of the estimated fair values, related to our notes and bonds payable, is categorized as level two on the three-level valuation hierarchy.
We record interest rate swaps on the consolidated balance sheet at fair value. At December 31, 2016, interest rate swaps in a liability position valued at $2.3 million were included in accounts payable and accrued expenses and interest rate swaps in an asset position valued at $66,000 were included in other assets, net on the consolidated balance sheet. The fair value of our interest rate swaps are based on valuation techniques including discounted cash flow analysis on the expected cash flows of each swap, using both observable and unobservable market-based inputs, including interest rate curves. Because this methodology uses observable and unobservable inputs, and the unobservable inputs are not significant to the fair value measurement, the measurement of interest rate swaps is categorized as level two on the three-level valuation hierarchy.
15. Supplemental Disclosures of Cash Flow Information
Cash paid for interest was $214.3 million in 2016, $229.5 million in 2015, and $207.3 million in 2014.
Interest capitalized to properties under development was $469,000 in 2016, $594,000 in 2015, and $444,000 in 2014.
Cash paid for income taxes was $3.6 million in 2016, $3.1 million in 2015, and $3.7 million in 2014.
The following non-cash activities are included in the accompanying consolidated financial statements:
A. During 2016, we assumed mortgages payable to third-party lenders of $44.1 million and recorded a premium of $692,000. During 2014, we assumed mortgages payable to third-party lenders of $166.7 million, recorded $604,000 of net premiums, and recorded $901,000 of interest rate swap value to other assets, net, related to property acquisitions.
B. During 2016, consolidated joint venture members made real estate contributions of $15.9 million, net of contributed mortgages payable included in the figures disclosed above in 15.A.
C. See note 9 for a discussion of the $6.0 million excess of redemption value over carrying value of preferred shares subject to redemption charge recorded during 2014.
D. During 2014, we applied $48.9 million of loans receivable to the purchase price of five acquired properties.
E. During 2014, we acquired real estate for $11.6 million via exchanges of our properties.
F. Accrued costs on properties under development resulted in an increase in buildings and improvements and accounts payable of $2.6 million and $4.0 million at December 31, 2016 and 2014, respectively.
16. Employee Benefit Plan
We have a 401(k) plan covering substantially all of our employees. Under our 401(k) plan, employees may elect to make contributions to the plan up to a maximum of 60% of their compensation, subject to limits under the Code. We match 50% of each of our employee’s salary deferrals up to the first 6% of the employee’s eligible compensation. Our aggregate matching contributions each year have been immaterial to our results of operations.
17. Common Stock Incentive Plan
In 2012, our Board of Directors adopted and stockholders approved the Realty Income Corporation 2012 Incentive Award Plan, or the 2012 Plan, to enable us to motivate, attract and retain the services of directors and employees considered essential to our long-term success. The 2012 Plan offers our directors and employees an opportunity to own our stock or rights that will reflect our growth, development and financial success. Under the terms of the 2012 plan, the aggregate number of shares of our common stock subject to options, restricted stock, stock appreciation rights, restricted stock units and other awards, will be no more than 3,985,734 shares. The 2012 Plan has a term of ten years from the date it was adopted by our Board of Directors.
The amount of share-based compensation costs recognized in general and administrative expense on our consolidated statements of income was $12.0 million during 2016, $10.4 million during 2015, and $12.0 million during 2014.
A. Restricted Stock
The following table summarizes our common stock grant activity under our 2012 Plan. Our outstanding restricted stock vests over periods ranging from immediately to five years.
Weighted
Weighted
Weighted
Number of
shares
average
price(1)
Number of
shares
average
price(1)
Number of
shares
average
price(1)
Outstanding nonvested shares, beginning of year
456,282
$
30.46
527,176
$
29.02
722,263
$
23.37
Shares granted
260,171
$
54.14
161,949
$
50.87
262,655
$
39.87
Shares vested
(200,066
)
$
43.26
(205,248
)
$
37.70
(440,348
)
$
36.88
Shares forfeited
(2,864
)
$
48.15
(27,595
)
$
45.58
(17,394
)
$
39.07
Outstanding nonvested shares, end of each period
513,523
$
48.33
456,282
$
30.46
527,176
$
29.02
(1) Grant date fair value.
The vesting schedule for shares granted to non-employee directors is as follows:
- For directors with less than six years of service at the date of grant, shares vest in 33.33% increments on each of the first three anniversaries of the date the shares of stock are granted;
- For directors with six years of service at the date of grant, shares vest in 50% increments on each of the first two anniversaries of the date the shares of stock are granted;
- For directors with seven years of service at the date of grant, shares are 100% vested on the first anniversary of the date the shares of stock are granted; and
- For directors with eight or more years of service at the date of grant, there is immediate vesting as of the date the shares of stock are granted.
During 2016, 28,000 shares were granted to our Board of Directors, of which 20,000 vested immediately and 8,000 shares vest annually in equal parts over a three-year service period.
For shares granted on or after January 1, 2015, shares granted to employees typically vest in 20% increments on each of the first five anniversaries of the grant date. For shares granted prior to December 2014, the typical vesting schedule for shares granted to employees was as follows:
- For employees age 55 and below at the grant date, shares vest in 20% increments on each of the first five anniversaries of the grant date;
- For employees age 56 at the grant date, shares vest in 25% increments on each of the first four anniversaries of the grant date;
- For employees age 57 at the grant date, shares vest in 33.33% increments on each of the first three anniversaries of the grant date;
- For employees age 58 at the grant date, shares vest in 50% increments on each of the first two anniversaries of the grant date;
- For employees age 59 at the grant date, shares are 100% vested on the first anniversary of the grant date; and
- For employees age 60 and above at the grant date, shares vest immediately on the grant date.
Of the 232,171 shares granted to employees during 2016, 143,739 will vest over a five-year service period and 88,432 will vest over a four-year service period.
As of December 31, 2016, the remaining unamortized share-based compensation expense related to restricted stock totaled $18.7 million, which is being amortized on a straight-line basis over the service period of each applicable award. The amount of share-based compensation is based on the fair value of the stock at the grant date. We define the grant date as the date the recipient and Realty Income have a mutual understanding of the key terms and condition of the award, and the recipient of the grant begins to benefit from, or be adversely affected by, subsequent changes in the price of the shares.
As of December 31, 2016, 2015 and 2014, there were no common stock options outstanding for any of the periods presented.
B. Performance Shares
During 2016, 2015 and 2014, we granted performance share awards, as well as dividend equivalent rights, to our executive officers. The number of performance shares that vest is based on the achievement of the following performance goals:
2016 & 2015 Performance Awards
Metrics
Weighting
Total shareholder return (“TSR”) relative to MSCI US REIT Index
50%
TSR relative to NAREIT Freestanding Index
20%
Dividend per share growth rate
20%
Debt-to-EBITDA ratio
10%
2014 Performance Awards
Metrics
Weighting
TSR relative to MSCI US REIT Index
60%
TSR relative to NAREIT Freestanding Index
20%
Debt-to-EBITDA ratio
20%
The performance shares are earned based on our performance, and vest 50% on the first and second January 1 after the end of the three year performance period, subject to continued service. The performance period for the 2014 performance awards began on January 1, 2014 and ended on December 31, 2016. The performance period for the 2015 performance awards began on January 1, 2015 and will end on December 31, 2017. The performance period for the 2016 performance awards began on January 1, 2016 and will end on December 31, 2018.
The fair value of the performance shares was estimated on the date of grant using a Monte Carlo Simulation model. The following table summarizes our performance share grant activity:
Number of
Weighted
Number of
Weighted
Number of
Weighted
performance
average
performance
average
performance
average
shares
price(1)
shares
price(1)
shares
price(1)
Outstanding nonvested shares, beginning of year
115,121
$
46.94
59,405
$
41.46
-
$
-
Shares granted
58,575
$
55.07
55,716
$
52.78
71,705
$
41.46
Shares vested
(10,454
)
$
44.54
-
$
-
(4,067)
$
41.46
Shares forfeited
(3,491
)
$
52.55
-
$
-
(8,233)
$
41.46
Outstanding nonvested shares, end of each period
159,751
$
49.95
115,121
$
46.94
59,405
$
41.46
(1) Grant date fair value.
As of December 31, 2016, the remaining share-based compensation expense related to the performance shares totaled $3.7 million and is being recognized on a tranche-by-tranche basis over the service period.
C. Restricted Stock Units
During 2016 and 2015 we also granted restricted stock units that vest over a five-year service period and have the same economic rights as shares of restricted stock.
Number of
Weighted
Number of
Weighted
restricted stock
average
restricted stock
average
units
price(1)
units
price(1)
Outstanding nonvested shares, beginning of year
10,136
$
52.21
-
$
-
Shares granted
14,783
$
52.76
10,136
$
52.21
Shares vested
(6,459
)
$
52.21
-
$
-
Shares forfeited
-
$
-
-
$
-
Outstanding nonvested shares, end of each period
18,460
$
52.65
10,136
$
52.21
(1) Grant date fair value.
As of December 31, 2016, the remaining share-based compensation expense related to the restricted stock units totaled $752,000 and is being recognized on a straight-line basis over the service period.
18. Segment Information
We evaluate performance and make resource allocation decisions on an industry by industry basis. For financial reporting purposes, we have grouped our tenants into 47 activity segments. All of the properties are incorporated into one of the applicable segments. Because almost all of our leases require the tenant to pay operating expenses, rental revenue is the only component of segment profit and loss we measure.
The following tables set forth certain information regarding the properties owned by us, classified according to the business of the respective tenants (dollars in thousands):
Assets, as of December 31:
Segment net real estate:
Apparel
$
175,418
$
180,175
Automotive service
152,220
129,328
Automotive tire services
238,151
247,200
Beverages
293,447
297,724
Child care
49,584
52,392
Convenience stores
1,050,285
724,972
Dollar stores
1,120,896
1,158,948
Drug stores
1,541,846
1,384,506
Financial services
408,228
254,022
General merchandise
248,040
195,030
Grocery stores
464,359
331,565
Health and fitness
823,697
839,872
Health care
214,971
220,018
Home improvement
311,459
268,974
Motor vehicle dealerships
197,713
137,315
Restaurants-casual dining
511,863
419,455
Restaurants-quick service
574,532
467,643
Theaters
370,732
371,617
Transportation services
796,717
686,041
Wholesale club
439,557
452,563
27 other non-reportable segments
1,920,076
1,799,524
Total segment net real estate
11,903,791
10,618,884
Intangible assets:
Apparel
43,786
48,116
Automotive service
33,160
19,131
Automotive tire services
11,533
13,202
Beverages
2,280
2,538
Convenience stores
14,372
16,040
Dollar stores
51,249
56,420
Drug stores
182,981
189,433
Financial services
29,749
34,626
General merchandise
43,248
41,301
Grocery stores
65,412
42,823
Health and fitness
63,574
65,037
Health care
25,039
29,950
Home improvement
49,932
42,630
Motor vehicle dealerships
25,032
13,182
Restaurants-casual dining
22,058
9,392
Restaurants-quick service
43,356
32,612
Theaters
13,822
17,673
Transportation services
101,664
92,602
Wholesale club
32,723
36,215
Other non-reportable segments
227,350
231,494
Goodwill:
Automotive service
Automotive tire services
Child care
4,945
5,034
Convenience stores
2,008
2,009
Restaurants-casual dining
2,107
2,215
Restaurants-quick service
1,068
1,082
Other non-reportable segments
3,637
3,668
Other corporate assets
151,693
176,757
Total assets
$
13,152,871
$
11,845,379
Revenue for the years ended December 31,
Segment rental revenue:
Apparel
$
19,975
$
19,819
$
17,674
Automotive service
20,212
18,632
16,548
Automotive tire services
28,754
28,627
28,222
Beverages
27,587
25,451
25,147
Child care
19,712
19,949
20,022
Convenience stores
91,784
90,093
89,754
Dollar stores
90,746
88,126
85,049
Drug stores
117,758
103,324
84,625
Financial services
18,769
17,044
16,828
General merchandise
18,976
16,411
13,550
Grocery stores
32,815
29,506
27,270
Health and fitness
85,901
75,881
62,086
Health care
16,168
16,057
16,039
Home improvement
25,695
23,112
15,593
Motor vehicle dealerships
20,329
15,332
13,909
Restaurants-casual dining
42,312
37,645
38,473
Restaurants-quick service
52,674
41,407
33,388
Theaters
51,926
49,456
47,102
Transportation services
57,694
51,745
46,287
Wholesale club
37,531
37,391
36,588
27 other non-reportable segments
180,095
171,857
159,303
Total rental revenue
1,057,413
976,865
893,457
Tenant reimbursements
43,104
42,015
37,118
Other revenue
2,655
4,405
2,930
Total revenue
$
1,103,172
$
1,023,285
$
933,505
19. Commitments and Contingencies
In the ordinary course of business, we are party to various legal actions which we believe are routine in nature and incidental to the operation of our business. We believe that the outcome of the proceedings will not have a material adverse effect upon our consolidated financial position or results of operations.
At December 31, 2016, we had commitments of $7.0 million for re-leasing costs, recurring capital expenditures, and non-recurring building improvements. In addition, as of December 31, 2016, we had committed $21.9 million under construction contracts, which is expected to be paid in the next twelve months.
We have certain properties that are subject to ground leases which are accounted for as operating leases. At December 31, 2016, minimum future rental payment for the next five years and thereafter are as follows (dollars in millions):
Ground Leases
Ground Leases
Paid by
Paid by
Realty Income (1)
Our Tenants (2)
Total
$
1.6
$
13.4
$
15.0
1.6
13.5
15.1
1.5
13.3
14.8
1.4
13.1
14.5
1.2
12.8
14.0
Thereafter
22.1
106.6
128.7
Total
$
29.4
$
172.7
$
202.1
(1)
Realty Income currently pays the ground lessors directly for the rent under the ground leases.
(2)
Our tenants, who are generally sub-tenants under the ground leases, are responsible for paying the rent under these ground leases. In the event a tenant fails to pay the ground lease rent, we are primarily responsible.
20. Subsequent Events
In January and February 2017, we declared the following dividends, which will be paid in February 2017 and March 2017, respectively:
· $0.2105 per share to our common stockholders and
· $0.138021 per share to our Class F preferred stockholders.
REALTY INCOME CORPORATION AND SUBSIDIARIES
CONSOLIDATED QUARTERLY FINANCIAL DATA
(dollars in thousands, except per share data)
(not covered by Report of Independent Registered Public Accounting Firm)
First
Second
Third
Fourth
Quarter
Quarter
Quarter
Quarter
Year (1)
Total revenue
$
267,116
$
271,039
$
277,174
$
287,843
$
1,103,172
Depreciation and amortization expense
107,933
110,342
113,917
117,752
449,943
Interest expense
60,678
57,409
52,952
48,935
219,974
Other expenses
30,310
35,878
37,438
35,128
138,757
Net income
70,484
76,068
77,202
92,724
316,477
Net income available to common stockholders
63,473
69,045
70,302
85,671
288,491
Net income per common share
Basic
0.25
0.27
0.27
0.33
1.13
Diluted
0.25
0.27
0.27
0.33
1.13
Dividends paid per common share
0.5880000
0.5970000
0.6005000
0.6060000
2.3915000
Total revenue
$
246,867
$
253,860
$
258,889
$
263,668
$
1,023,285
Depreciation and amortization expense
98,037
101,101
104,338
105,739
409,215
Interest expense
58,468
58,680
63,950
51,982
233,079
Other expenses
29,999
31,404
29,012
27,962
118,379
Net income
67,581
66,350
67,813
83,111
284,855
Net income available to common stockholders
60,494
59,317
60,705
76,171
256,686
Net income per common share
Basic
0.27
0.26
0.26
0.31
1.09
Diluted
0.27
0.25
0.26
0.31
1.09
Dividends paid per common share
0.5614167
0.5685000
0.5700000
0.5715000
2.2714167
(1)
Amounts for each period are calculated independently. The sum of the quarters may differ from the annual amount.
Item 9: Changes In and Disagreements With Accountants on Accounting and Financial Disclosure
We have had no disagreements with our independent registered public accounting firm on accounting matters or financial disclosure, nor have we changed accountants in the two most recent fiscal years.
Item 9A: Controls and Procedures
Evaluation of Disclosure Controls and Procedures
We maintain disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended) that are designed to ensure that information required to be disclosed in our Exchange Act reports is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. In designing and evaluating the disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.
As of and for the year ended December 31, 2016, we carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, under the supervision and with the participation of management, including our Chief Executive Officer and Chief Financial Officer. Based on the foregoing, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were effective and were operating at a reasonable assurance level.
Management’s Report on Internal Control Over Financial Reporting
Internal control over financial reporting refers to the process designed by, or under the supervision of, our Chief Executive Officer and Chief Financial Officer, and effected by our Board of Directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles, and includes those policies and procedures that:
(1) Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company;
(2) Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and
(3) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the financial statements.
Management is responsible for establishing and maintaining adequate internal control over financial reporting for the Company.
Management has used the framework set forth in the report entitled “Internal Control--Integrated Framework (2013)” published by the Committee of Sponsoring Organizations of the Treadway Commission to evaluate the effectiveness of the Company’s internal control over financial reporting. Management has concluded that the Company’s internal control over financial reporting was effective as of the end of the most recent fiscal year. KPMG LLP has issued an attestation report on the effectiveness of the Company’s internal control over financial reporting.
Submitted on February 23, 2017 by,
John P. Case, Chief Executive Officer
Paul M. Meurer, Executive Vice President, Chief Financial Officer, and Treasurer
Changes in Internal Controls
There were no changes to our internal control over financial reporting that occurred during the quarter ended December 31, 2016 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting. As of December 31, 2016, there were no material weaknesses in our internal controls, and therefore, no corrective actions were taken.
Limitations on the Effectiveness of Controls
Internal control over financial reporting cannot provide absolute assurance of achieving financial reporting objectives because of its inherent limitations. Internal control over financial reporting is a process that involves human diligence and compliance and is subject to lapses in judgment and breakdowns resulting from human failures. Internal control over financial reporting also can be circumvented by collusion or improper management override. Because of such limitations, there is a risk that material misstatements may not be prevented or detected on a timely basis by internal control over financial reporting. However, these inherent limitations are known features of the financial reporting process. Therefore, it is possible to design into the process safeguards to reduce, though not eliminate, this risk.
Item 9B: Other Information
None.
PART III
Item 10: Directors, Executive Officers and Corporate Governance
The information required by this item is set forth under the captions “Board of Directors” and “Executive Officers of the Company” and “Section 16(a) Beneficial Ownership Reporting Compliance” in our definitive Proxy Statement for the 2017 Annual Meeting of Stockholders, to be filed pursuant to Regulation 14A, and is incorporated herein by reference. The Annual Meeting of Stockholders is presently scheduled to be held on May 16, 2017.
Item 11: Executive Compensation
The information required by this item is set forth under the caption “Executive Compensation” in our definitive Proxy Statement for the 2017 Annual Meeting of Stockholders, to be filed pursuant to Regulation 14A, and is incorporated herein by reference.
Item 12: Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
The information required by this item is set forth under the caption “Security Ownership of Certain Beneficial Owners and Management” in our definitive Proxy Statement for the 2017 Annual Meeting of Stockholders, to be filed pursuant to Regulation 14A, and is incorporated herein by reference.
Item 13: Certain Relationships, Related Transactions and Director Independence
The information required by this item is set forth under the caption “Related Party Transactions” in our definitive Proxy Statement for the 2017 Annual Meeting of Stockholders, to be filed pursuant to Regulation 14A, and is incorporated herein by reference.
Item 14: Principal Accounting Fees and Services
The information required by this item is set forth under the caption “Independent Registered Public Accounting Firm Fees and Services” in our definitive Proxy Statement for the 2017 Annual Meeting of Stockholders, to be filed pursuant to Regulation 14A, and is incorporated herein by reference.
PART IV
Item 15: Exhibits and Financial Statement Schedules
A. The following documents are filed as part of this report.
1. Financial Statements (see Item 8)
a. Reports of Independent Registered Public Accounting Firm
b. Consolidated Balance Sheets,
December 31, 2016 and 2015
c. Consolidated Statements of Income,
Years ended December 31, 2016, 2015 and 2014
d. Consolidated Statements of Equity,
Years ended December 31, 2016, 2015 and 2014
e. Consolidated Statements of Cash Flows,
Years ended December 31, 2016, 2015 and 2014
f. Notes to Consolidated Financial Statements
g. Consolidated Quarterly Financial Data,
(unaudited) for 2016 and 2015
2. Financial Statement Schedule. Reference is made to page of this report for Schedule III Real Estate and Accumulated Depreciation (electronically filed with the Securities and Exchange Commission).
Schedules not Filed: All schedules, other than those indicated in the Table of Contents, have been omitted as the required information is either not material, inapplicable or the information is presented in the financial statements or related notes.
3. Exhibits
Articles of Incorporation and By-Laws
Exhibit No. Description
2.1 Agreement and Plan of Merger, dated as of September 6, 2012, by and among Realty Income Corporation, Tau Acquisition LLC and American Realty Capital Trust, Inc. (filed as exhibit 2.1 to the Company’s Form 8-K, filed on September 6, 2012 and incorporated herein by reference).
2.2 First Amendment to Agreement and Plan of Merger, dated as of January 6, 2013, by and among Realty Income Corporation, Tau Acquisition LLC and American Realty Capital Trust, Inc. (filed as exhibit 2.1 to the Company’s Form 8-K, filed on January 7, 2013 and incorporated herein by reference).
3.1 Articles of Incorporation of the Company, as amended by amendment No. 1 dated May 10, 2005 and amendment No. 2 dated May 10, 2005 (filed as exhibit 3.1 to the Company’s Form 10-Q for the quarter ended June 30, 2005 and incorporated herein by reference), amendment No. 3 dated July 29, 2011 (filed as exhibit 3.1 to the Company’s Form 8-K, filed on August 2, 2011 and incorporated herein by reference); and amendment No. 4 dated June 21, 2012 (filed as exhibit 3.1 to the Company’s Form 8-K, filed on June 21, 2012 and incorporated herein by reference).
3.2 Amended and Restated Bylaws of the Company dated June 16, 2015 (filed as exhibit 3.1 to the Company’s Form 8-K filed on June 17, 2015 and incorporated herein by reference)
3.3 Articles Supplementary to the Articles of Incorporation of the Company classifying and designating the 6.625% Monthly Income Class F Cumulative Redeemable Preferred Stock, dated February 3, 2012 (the “First Class F Articles Supplementary”) (filed as exhibit 3.1 to the Company’s Form 8-K, filed on February 3, 2012 and incorporated herein by reference).
3.4 Certificate of Correction to the First Class F Articles Supplementary, dated April 11, 2012 (filed as exhibit 3.2 to the Company’s Form 8-K, filed on April 17, 2012 and incorporated herein by reference).
3.5 Articles Supplementary to the Articles of Incorporation of the Company classifying and designating additional shares of the 6.625% Monthly Income Class F Cumulative Redeemable Preferred Stock, dated April 17, 2012 (filed as exhibit 3.3 to the Company’s Form 8-K, filed on April 17, 2012 and incorporated herein by reference).
Instruments defining the rights of security holders, including indentures
4.1 Indenture dated as of October 28, 1998 between the Company and The Bank of New York (filed as exhibit 4.1 to the Company’s Form 8-K, filed on October 28, 1998 and incorporated herein by reference).
4.2 Form of 5.875% Senior Notes due 2035 (filed as exhibit 4.2 to the Company’s Form 8-K, filed on March 11, 2005 and incorporated herein by reference).
4.3 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York, as Trustee, establishing a series of securities entitled 5.875% Senior Debentures due 2035 (filed as exhibit 4.3 to the Company’s Form 8-K, filed on March 11, 2005 and incorporated herein by reference).
4.4 Form of 5.375% Senior Notes due 2017 (filed as exhibit 4.2 to the Company’s Form 8-K, filed on September 16, 2005 and incorporated herein by reference).
4.5 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York, as Trustee, establishing a series of securities entitled 5.375% Senior Notes due 2017 (filed as exhibit 4.3 to the Company’s Form 8-K, filed on September 16, 2005 and incorporated herein by reference).
4.6 Form of 6.75% Notes due 2019 (filed as exhibit 4.2 to Company’s Form 8-K, filed on September 5, 2007 and incorporated herein by reference).
4.7 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Trust Company, N.A., as Trustee, establishing a series of securities entitled 6.75% Senior Notes due 2019 (filed as exhibit 4.3 to the Company’s Form 8-K, filed on September 5, 2007 and incorporated herein by reference).
4.8 Form of 5.750% Notes due 2021 (filed as exhibit 4.2 to Company’s Form 8-K, filed on June 29, 2010 and incorporated herein by reference).
4.9 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Mellon Trust Company, N.A., as Successor Trustee, establishing a series of securities entitled 5.750% Notes due 2021 (filed as exhibit 4.3 to the Company’s Form 8-K, filed on June 29, 2010 and incorporated herein by reference).
4.10 Form of Common Stock Certificate (filed as exhibit 4.16 to the Company’s Form 10-Q for the quarter ended September 30, 2011 and incorporated herein by reference).
4.11 Form of Preferred Stock Certificate representing the 6.625% Monthly Income Class F Cumulative Redeemable Preferred Stock (filed as exhibit 4.1 to the Company’s Form 8-K, filed on February 3, 2012 and incorporated herein by reference).
4.12 Form of 2.000% Note due 2018 (filed as exhibit 4.2 to Company’s Form 8-K, filed on October 10, 2012 and incorporated herein by reference).
4.13 Form of 3.250% Note due 2022 (filed as exhibit 4.3 to Company’s Form 8-K, filed on October 10, 2012 and incorporated herein by reference).
4.14 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Mellon Trust Company, N.A., as successor trustee, establishing a series of securities entitled “2.000% Notes due 2018” and establishing a series of securities entitled “3.250% Notes due 2022” (filed as exhibit 4.4 to the Company’s Form 8-K, filed on October 10, 2012 and incorporated herein by reference).
4.15 Form of 4.650% Note due 2023 (filed as exhibit 4.2 to Company’s Form 8-K, filed on July 16, 2013 and incorporated herein by reference).
4.16 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Mellon Trust Company, N.A., as successor trustee, establishing a series of securities entitled “4.650% Notes due 2023” (filed as exhibit 4.3 to the Company’s Form 8-K, filed on July 16, 2013 and incorporated herein by reference).
4.17 Form of 3.875% Note due 2024 (filed as exhibit 4.2 to Company’s Form 8-K, filed on June 25, 2014 and incorporated herein by reference).
4.18 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Mellon Trust Company, N.A., as successor trustee, establishing a series of securities entitled “3.875% Notes due 2024” (filed as exhibit 4.3 to the Company’s Form 8-K, filed on June 25, 2014 and incorporated herein by reference).
4.19 Form of 4.125% Note due 2026 (filed as exhibit 4.2 to Company’s Form 8-K, filed on September 23, 2014 and incorporated herein by reference).
4.20 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Mellon Trust Company, N.A., as successor trustee, establishing a series of securities entitled “4.125% Notes due 2026” (filed as exhibit 4.3 to the Company’s Form 8-K, filed on September 23, 2014 and incorporated herein by reference).
4.21 Form of 3.000% Note due 2027 (filed as exhibit 4.2 to Company’s Form 8-K, filed on October 12, 2016 and incorporated herein by reference).
4.22 Officer’s Certificate pursuant to sections 201, 301 and 303 of the Indenture dated October 28, 1998 between the Company and The Bank of New York Mellon Trust Company, N.A., as successor trustee, establishing a series of securities entitled “3.000% Notes due 2027” (filed as exhibit 4.3 to the Company’s Form 8-K, filed on October 12, 2016 and incorporated herein by reference).
Material Contracts
10.1 Management Incentive Plan (filed as Exhibit 10.10 to the Company’s Form 10-K for the year ended December 31, 1997 and incorporated herein by reference).
10.2 Form of Nonqualified Stock Option Agreement for Independent Directors (filed as Exhibit 10.11 to the Company’s Form 10-K for the year ended December 31, 1997 and incorporated herein by reference).
10.3 Form of Restricted Stock Agreement between the Company and Executive Officers under the 2003 Stock Incentive Award Plan of Realty Income Corporation (filed as exhibit 10.11 to the Company’s Form 8-K, filed on January 6, 2005 and dated January 1, 2005 and incorporated herein by reference).
10.4 2003 Stock Incentive Award Plan of Realty Income Corporation, as amended and restated February 21, 2006 (filed as exhibit 10.10 to the Company’s Form 10-K for the year ended December 31, 2005 and incorporated herein by reference).
10.5 Amendment dated May 15, 2007 to the Amended and Restated 2003 Stock Incentive Award Plan of Realty Income Corporation (filed as exhibit 10.1 to the Company’s Form 10-Q, for the quarter ended June 30, 2007 and incorporated herein by reference).
10.6 Form of Restricted Stock Agreement under the 2003 Stock Incentive Award Plan of Realty Income Corporation (filed as exhibit 10.2 to the Company’s Form 10-Q, for the quarter ended June 30, 2007 and incorporated herein by reference).
10.7 Amended and Restated Form of Employment Agreement between the Company and its Executive Officers (filed as exhibit 10.1 to the Company’s Form 8-K, filed on January 7, 2010 and dated January 5, 2010 and incorporated herein by reference).
10.8 Form of Restricted Stock Agreement for John P. Case (filed as exhibit 10.1 to the Company’s Form 10-Q, for the quarter ended March 31, 2010 and incorporated herein by reference).
10.9 Realty Income Corporation 2012 Incentive Award Plan (filed as Appendix B to the Company’s Proxy Statement on Schedule 14A filed on March 30, 2012 and incorporated herein by reference).
10.10 Amended and Restated Credit Agreement dated May 10, 2012 (filed as exhibit 10.1 to the Company’s Form 8-K, filed on May 11, 2012 and incorporated herein by reference).
10.11 Form of Restricted Stock Agreement for Employees under the Realty Income Corporation 2012 Incentive Award Plan (filed as exhibit 10.1 to the Company’s Form 8-K, filed on January 8, 2013 and incorporated herein by reference).
10.12 Form of Restricted Stock Agreement for Non-Employee Directors under the Realty Income Corporation 2012 Incentive Award Plan (filed as exhibit 10.2 to the Company’s Form 8-K, filed on January 8, 2013 and incorporated herein by reference).
10.13 Term Loan Agreement, dated as of January 22, 2013, by and among Tau Operating Partnership, L.P. and Lenders (as defined therein) (filed as exhibit 10.1 to the Company’s Form 8-K, filed on January 23, 2013 and incorporated herein by reference).
10.14 The First Amendment to Amended and Restated Credit Agreement among the Company, as Borrower, each of the Lenders party thereto and Wells Fargo Bank, National Association, as Administrative Agent (filed as exhibit 10.1 to the Company’s Form 8-K, filed on June 3, 2013 and incorporated herein by reference).
10.15 Form of Amendment to Employment Agreement (filed as exhibit 10.1 to the Company’s Form 8-K, filed on June 19, 2013 and incorporated herein by reference).
10.16 Form of Addendum to Restricted Stock Agreement (filed as exhibit 10.2 to the Company’s Form 8-K, filed on June 19, 2013 and incorporated herein by reference).
10.17 The Second Amendment to Amended and Restated Credit Agreement among the Company, as Borrower, each of the Lenders party thereto and Wells Fargo Bank, National Association, as Administrative Agent (filed as exhibit 10.1 to the Company’s Form 8-K, filed on August 28, 2013 and incorporated herein by reference).
10.18 Amended and Restated Employment Agreement dated September 3, 2013 between the Company and John P. Case (filed as exhibit 10.2 to the Company’s Form 8-K, filed on September 6, 2013 and incorporated herein by reference).
10.19 Form of Time-Based Restricted Stock Agreement for John P. Case dated September 3, 2013 (filed as exhibit 10.7 to the Company’s Form 10-Q, for the quarter ended September 30, 2013 and incorporated herein by reference).
10.20 Form of Performance-Based Restricted Stock Agreement for John P. Case dated September 26, 2013 (filed as exhibit 10.8 to the Company’s Form 10-Q, for the quarter ended September 30, 2013 and incorporated herein by reference).
10.21 The Third Amendment to Amended and Restated Credit Agreement among the Company, as Borrower, each of the Lenders party thereto and Wells Fargo Bank, National Association, as Administrative Agent (filed as exhibit 10.1 to the Company’s Form 8-K, filed on October 29, 2013 and incorporated herein by reference).
10.23 Form of Performance Share Award Agreement (filed as exhibit 99.1 to the Company’s Form 8-K, filed on April 11, 2014 and incorporated herein by reference).
10.24 Severance Agreement for Gary M. Malino (filed as exhibit 10.2 to the Company’s Form 10-Q, filed on October 30, 2014 and incorporated herein by reference).
10.25 Amended and Restated Form Indemnification Agreement, between the Company and each executive officer and each director of the Board of Directors of the Company (filed as exhibit 10.1 to the Company’s Form 8-K, filed on October 30, 2014 and incorporated herein by reference).
10.26 Form of Performance Share Award Agreement (filed as exhibit 10.1 to the Company’s Form 10-Q, filed on April 30, 2015 and incorporated herein by reference).
10.27 Dividend Reinvestment and Stock Purchase Plan (filed pursuant to Rule 424(b)(5) under the Securities Act of 1933, as amended, on February 23, 2015, as a prospectus supplement to the Company’s prospectus dated February 22, 2013 (File No. 333-186788) and incorporated herein by reference).
10.28 Credit Agreement dated June 30, 2015 (filed as exhibit 10.1 to the Company’s Form 8-K, filed on July 2, 2015 and incorporated herein by reference).
10.29 Dividend Reinvestment and Stock Purchase Plan (filed pursuant to Rule 424(b)(5) under the Securities Act of 1933, as amended, on July 30, 2015, as a prospectus supplement to the Company’s prospectus dated February 22, 2013 (File No. 333-186788) and incorporated herein by reference).
10.30 Form of Restricted Stock Agreement (filed as exhibit 10.30 to the Company’s Form 10-K for the year ended December 31, 2015 and incorporated herein by reference).
10.31 Form of Restricted Stock Unit Award Agreement (filed as exhibit 10.31 to the Company’s Form 10-K for the year ended December 31, 2015 and incorporated herein by reference).
10.32 Form of Second Amendment to Employment Agreement (filed as exhibit 10.32 to the Company’s Form 10-K for the year ended December 31, 2015 and incorporated herein by reference).
*10.33 First Amendment to Realty Income Corporation 2012 Incentive Award Plan.
10.34 Second Amendment to Realty Income Corporation 2012 Incentive Award Plan (filed as exhibit 10.1 to the Company’s Form 8-K, filed on February 17, 2017 and incorporated herein by reference).
Statement of Ratios
*12.1 Statements re computation of ratios.
Subsidiaries of the Registrant
*21.1 Subsidiaries of the Company as of February 23, 2017.
Consents of Experts and Counsel
*23.1 Consent of Independent Registered Public Accounting Firm.
Certifications
*31.1 Rule 13a-14(a) Certifications as filed by the Chief Executive Officer pursuant to SEC release No. 33-8212 and 34-47551.
*31.2 Rule 13a-14(a) Certifications as filed by the Chief Financial Officer pursuant to SEC release No. 33-8212 and 34-47551.
*32 Section 1350 Certifications as furnished by the Chief Executive Officer and the Chief Financial Officer pursuant to SEC release No. 33-8212 and 34-47551.
Interactive Data Files
*101 The following materials from Realty Income Corporation’s Annual Report on Form 10-K for the year ended December 31, 2016, formatted in Extensible Business Reporting Language: (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Income, (iii) Consolidated Statements of Stockholders’ Equity, (iv) Consolidated Statements of Cash Flows, (v) Notes to Consolidated Financial Statements, and (vi) Schedule III Real Estate and Accumulated Depreciation.
* Filed herewith.
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
REALTY INCOME CORPORATION
By:
/s/JOHN P. CASE
Date: February 23, 2017
John P. Case
Chief Executive Officer
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By:
/s/MICHAEL D. MCKEE
Date: February 23, 2017
Michael D. McKee
Non-Executive Chairman of the Board of Directors
By:
/s/KATHLEEN R. ALLEN, Ph.D.
Date: February 23, 2017
Kathleen R. Allen, Ph.D.
Director
By:
/s/JOHN P. CASE
Date: February 23, 2017
John P. Case
Director, Chief Executive Officer
(Principal Executive Officer)
By:
/s/A. LARRY CHAPMAN
Date: February 23, 2017
A. Larry Chapman
Director
By:
/s/PRIYA CHERIAN HUSKINS
Date: February 23, 2017
Priya Cherian Huskins
Director
By:
/s/GREGORY T. MCLAUGHLIN
Date: February 23, 2017
Gregory T. McLaughlin
Director
By:
/s/RONALD L. MERRIMAN
Date: February 23, 2017
Ronald L. Merriman
Director
By:
/s/STEPHEN E. STERRETT
Date: February 23, 2017
Stephen E. Sterrett
Director
By:
/s/PAUL M. MEURER
Date: February 23, 2017
Paul M. Meurer
Executive Vice President, Chief Financial Officer and Treasurer
(Principal Financial Officer)
By:
/s/SEAN P. NUGENT
Date: February 23, 2017
Sean P. Nugent
Senior Vice President, Controller
(Principal Accounting Officer)
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Aerospace
Batesville
MS
4,801,438
2,160,849
17,219,291
None
None
2,160,849
17,219,291
19,380,140
3,013,376
8/9/2012
Ellisville
MS
4,140,000
20,930,630
171,570
None
4,140,000
21,102,200
25,242,200
2,123,750
6/27/2013
Columbus
OH
14,501,413
-
19,637,318
None
None
-
19,637,318
19,637,318
1,987,110
6/19/2013
DFW Airport
TX
-
37,503,886
13,600
None
-
37,517,486
37,517,486
8,316,658
6/20/2011
Lufkin
TX
589,925
15,492,255
None
None
589,925
15,492,255
16,082,180
1,752,100
1/22/2013
Apparel stores
Mesa
AZ
619,035
867,013
6,484
None
619,035
873,497
1,492,532
626,341
2/11/1999
El Cajon
CA
6,930,000
12,518,083
89,660
None
6,930,000
12,607,743
19,537,743
1,280,704
6/19/2014
Elk Grove
CA
804,327
2,668,492
24,266
None
804,327
2,692,758
3,497,085
464,831
9/18/2012
Elk Grove
CA
3,250,000
16,776,852
None
None
3,250,000
16,776,852
20,026,852
1,705,647
6/2/2014
Folsom
CA
2,370,000
11,342,375
None
None
2,370,000
11,342,375
13,712,375
1,077,526
8/19/2014
Hanford
CA
562,812
3,468,215
None
None
562,812
3,468,215
4,031,027
595,377
9/18/2012
Lodi
CA
3,153,559
2,661,260
None
None
3,153,559
2,661,260
5,814,819
456,850
9/18/2012
Manteca
CA
1,565,672
4,440,141
None
None
1,565,672
4,440,141
6,005,813
748,224
9/18/2012
Moreno Valley
CA
1,654,486
3,305,084
197,969
None
1,654,486
3,503,053
5,157,539
634,187
9/18/2012
Redlands
CA
3,006,680
2,242,430
279,091
None
3,006,680
2,521,521
5,528,201
478,579
9/18/2012
Sacramento
CA
3,446,351
4,460,201
None
None
3,446,351
4,460,201
7,906,552
765,668
9/18/2012
South Lake Tahoe
CA
3,110,000
3,176,091
9,750
None
3,110,000
3,185,841
6,295,841
794,986
10/22/2010
Sun Valley
CA
4,631,964
4,710,912
None
None
4,631,964
4,710,912
9,342,876
808,707
9/18/2012
Vacaville
CA
1,299,816
3,375,574
183,515
None
1,299,816
3,559,089
4,858,905
641,410
9/18/2012
Danbury
CT
1,096,861
6,217,688
491,514
1,096,861
6,709,258
7,806,119
4,938,185
9/30/1997
Manchester
CT
771,660
3,653,539
324,665
771,660
3,978,365
4,750,025
2,751,514
3/26/1998
Manchester
CT
1,250,464
5,917,037
7,082
None
1,250,464
5,924,119
7,174,583
4,450,218
3/26/1998
Deerfield Beach
FL
3,160,000
4,832,848
58,463
None
3,160,000
4,891,311
8,051,311
1,210,727
10/22/2010
Cumming
GA
4,675,000
2,100,000
6,472,785
None
None
2,100,000
6,472,785
8,572,785
701,218
4/1/2014
Collinsville
IL
3,570,500
675,724
7,021,479
None
None
675,724
7,021,479
7,697,203
1,111,734
1/22/2013
Georgetown
KY
5,679,500
1,922,820
10,448,325
None
None
1,922,820
10,448,325
12,371,145
1,654,318
1/22/2013
Missoula
MT
163,100
362,249
28,843
16,199
163,100
407,291
570,391
386,812
10/30/1987
Staten Island
NY
4,202,093
3,385,021
231,501
None
4,202,093
3,616,522
7,818,615
2,608,474
3/26/1998
Bend
OR
4,060,000
13,198,790
None
None
4,060,000
13,198,790
17,258,790
1,561,857
1/31/2014
Clarksville
TN
3,992,886
-
None
None
3,992,886
-
3,992,886
-
7/5/2013
Jackson
TN
381,076
857,261
49,140
19,237
381,076
925,638
1,306,714
690,498
9/26/1997
Dallas
TX
1,210,000
2,675,265
292,532
None
1,210,000
2,967,797
4,177,797
690,960
10/22/2010
The Colony
TX
2,580,000
2,214,133
285,298
2,580,000
2,499,589
5,079,589
582,598
10/22/2010
Automotive collision services
Colorado Springs
CO
1,085,560
2,137,425
None
None
1,085,560
2,137,425
3,222,985
420,281
1/5/2012
Denver
CO
480,348
2,127,792
None
None
480,348
2,127,792
2,608,140
392,189
6/8/2012
9/30/2011
Highlands Ranch
CO
583,289
2,139,057
None
None
583,289
2,139,057
2,722,346
1,086,643
7/10/2007
8/11/2003
Littleton
CO
601,388
2,169,898
None
None
601,388
2,169,898
2,771,286
955,543
2/2/2006
11/12/2004
Parker
CO
868,768
2,653,745
None
None
868,768
2,653,745
3,522,513
1,172,405
9/7/2012
7/3/2003
Thornton
CO
693,323
1,896,616
None
None
693,323
1,896,616
2,589,939
911,563
10/5/2004
10/15/2003
Fort Myers
FL
1,050,000
1,395,464
None
None
1,050,000
1,395,464
2,445,464
58,144
12/29/2015
Fort Myers
FL
530,000
955,371
None
None
530,000
955,371
1,485,371
39,807
12/29/2015
Naples
FL
1,590,000
918,896
None
None
1,590,000
918,896
2,508,896
38,287
12/29/2015
Cumming
GA
661,624
1,822,363
None
None
661,624
1,822,363
2,483,987
964,146
9/18/2003
12/31/2002
Douglasville
GA
679,868
1,935,515
None
None
679,868
1,935,515
2,615,383
1,029,755
8/11/2003
12/30/2002
Lilburn
GA
1,150,000
1,670,724
None
None
1,150,000
1,670,724
2,820,724
220,006
7/29/2013
2/20/2013
Macon
GA
1,400,000
1,317,435
None
None
1,400,000
1,317,435
2,717,435
241,505
5/11/2012
1/10/2012
Morrow
GA
725,948
1,846,315
None
None
725,948
1,846,315
2,572,263
987,713
7/7/2003
8/30/2002
Peachtree City
GA
1,190,380
689,284
None
None
1,190,380
689,284
1,879,664
385,693
12/16/2002
9/19/2002
Roswell
GA
1,825,000
1,934,495
None
None
1,825,000
1,934,495
3,759,495
385,648
12/22/2011
8/10/2011
Warner Robins
GA
1,250,000
1,012,258
None
None
1,250,000
1,012,258
2,262,258
198,753
1/11/2012
9/1/2011
Chicago
IL
1,300,000
1,600,000
None
None
1,300,000
1,600,000
2,900,000
29,333
7/20/2016
Crystal Lake
IL
250,000
1,143,500
None
None
250,000
1,143,500
1,393,500
36,211
3/31/2016
Maryville
IL
320,000
882,122
None
None
320,000
882,122
1,202,122
104,360
1/10/2014
Naperville
IL
1,090,000
1,596,107
None
None
1,090,000
1,596,107
2,686,107
194,193
12/23/2013
Oak Lawn
IL
180,000
1,021,577
None
None
180,000
1,021,577
1,201,577
68,376
11/13/2013
Oak Lawn
IL
370,000
1,137,293
None
None
370,000
1,137,293
1,507,293
135,859
12/23/2013
Orland Park
IL
120,000
1,015,358
None
None
120,000
1,015,358
1,135,358
123,535
12/23/2013
South Holland
IL
80,000
1,548,690
None
None
80,000
1,548,690
1,628,690
188,424
12/23/2013
Cedar Lake
IN
300,000
1,037,278
None
None
300,000
1,037,278
1,337,278
81,253
1/7/2015
Gary
IN
100,000
1,875,652
None
None
100,000
1,875,652
1,975,652
146,926
1/7/2015
Hammond
IN
230,000
1,217,329
None
None
230,000
1,217,329
1,447,329
95,357
1/7/2015
Highland
IN
390,000
910,537
None
None
390,000
910,537
1,300,537
71,325
1/7/2015
Florence
KY
350,000
1,350,428
None
None
350,000
1,350,428
1,700,428
28,757
5/26/2016
Ann Arbor
MI
680,000
1,433,382
None
None
680,000
1,433,382
2,113,382
117,060
12/18/2014
Clawson
MI
220,000
517,432
None
None
220,000
517,432
737,432
42,257
12/18/2014
Clinton Township
MI
480,000
3,578,405
None
None
480,000
3,578,405
4,058,405
256,452
3/31/2015
Livonia
MI
317,728
1,035,971
None
None
317,728
1,035,971
1,353,699
84,604
12/18/2014
Novi
MI
530,000
2,092,323
None
None
530,000
2,092,323
2,622,323
149,950
3/31/2015
Rochester Hills
MI
280,000
1,179,451
None
None
280,000
1,179,451
1,459,451
84,527
3/31/2015
Sterling Heights
MI
480,000
1,920,459
None
None
480,000
1,920,459
2,400,459
80,019
12/29/2015
Warren
MI
300,000
746,229
None
None
300,000
746,229
1,046,229
53,480
3/31/2015
Washington
MI
240,000
474,241
None
None
240,000
474,241
714,241
38,730
12/18/2014
Wayne
MI
190,000
1,009,116
None
None
190,000
1,009,116
1,199,116
82,411
12/18/2014
Woodhaven
MI
170,000
1,148,368
None
None
170,000
1,148,368
1,318,368
93,783
12/18/2014
Ham Lake
MN
192,610
1,930,958
None
None
192,610
1,930,958
2,123,568
930,290
7/1/2004
10/31/2003
Stillwater
MN
656,250
1,218,901
187,158
None
656,250
1,406,059
2,062,309
245,727
11/16/2012
Olive Branch
MS
350,000
1,965,718
None
None
350,000
1,965,718
2,315,718
432,592
6/29/2011
11/2/2010
Cary
NC
610,389
1,492,235
None
None
610,389
1,492,235
2,102,624
634,200
5/25/2006
Durham
NC
680,969
1,323,140
None
None
680,969
1,323,140
2,004,109
562,334
5/25/2006
Wilmington
NC
378,813
1,150,679
None
None
378,813
1,150,679
1,529,492
526,442
7/15/2005
12/21/2004
Las Vegas
NV
720,000
2,710,126
None
None
720,000
2,710,126
3,430,126
213,035
10/22/2013
Huber Heights
OH
160,000
799,843
None
None
160,000
799,843
959,843
17,330
6/30/2016
Moraine
OH
170,000
873,745
None
None
170,000
873,745
1,043,745
18,931
6/30/2016
Bartlett
TN
648,526
1,960,733
None
None
648,526
1,960,733
2,609,259
944,641
8/3/2004
10/27/2003
Nashville
TN
1,830,000
2,575,466
None
None
1,830,000
2,575,466
4,405,466
176,043
In-progress
9/3/2014
Riverton
UT
1,100,000
1,576,390
None
None
1,100,000
1,576,390
2,676,390
239,119
1/18/2013
7/26/2012
Salt Lake City
UT
2,900,000
1,598,391
None
None
2,900,000
1,598,391
4,498,391
307,251
2/17/2012
10/11/2011
Automotive parts
Birmingham
AL
355,823
660,814
None
None
355,823
660,814
1,016,637
106,832
12/7/2012
Flomaton
AL
90,000
808,163
None
None
90,000
808,163
898,163
117,184
5/1/2013
Harvest
AL
744,737
1,537,832
None
None
744,737
1,537,832
2,282,569
243,490
1/22/2013
Millbrook
AL
108,000
518,741
174,419
None
108,000
693,160
801,160
438,069
12/10/1998
1/21/1999
Montgomery
AL
254,465
502,350
10,819
254,465
513,253
767,718
381,268
6/30/1998
Cabot
AR
267,787
595,578
None
None
267,787
595,578
863,365
68,491
2/25/2014
San Luis
AZ
287,508
694,650
None
None
287,508
694,650
982,158
91,462
9/26/2013
Tucson
AZ
194,250
431,434
None
None
194,250
431,434
625,684
431,434
10/30/1987
Grass Valley
CA
325,000
384,955
None
None
325,000
384,955
709,955
384,955
5/20/1988
Sacramento
CA
210,000
466,419
None
None
210,000
466,419
676,419
466,419
11/25/1987
Colorado Springs
CO
520,000
922,073
None
None
520,000
922,073
1,442,073
13,831
8/30/2016
Denver
CO
141,400
314,056
None
141,400
314,138
455,538
314,138
11/18/1987
Denver
CO
315,000
699,623
None
315,000
699,784
1,014,784
699,782
5/16/1988
Littleton
CO
252,925
561,758
None
252,925
561,811
814,736
561,811
2/12/1988
Smyrna
DE
232,273
472,855
15,774
None
232,273
488,629
720,902
354,379
8/7/1998
Apopka
FL
820,000
1,115,761
None
None
820,000
1,115,761
1,935,761
158,066
6/21/2013
Deerfield Beach
FL
475,000
871,738
2,420
None
475,000
874,158
1,349,158
620,755
1/29/1999
Jacksonville
FL
330,000
1,196,260
None
None
330,000
1,196,260
1,526,260
25,919
6/9/2016
Kissimmee
FL
1,000,000
1,169,792
None
None
1,000,000
1,169,792
2,169,792
165,721
6/21/2013
Kissimmee
FL
580,290
1,290,608
None
None
580,290
1,290,608
1,870,898
122,608
8/14/2014
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Merritt Island
FL
309,652
482,459
44,387
21,831
309,652
548,677
858,329
419,364
11/26/1996
Atlanta
GA
652,551
763,360
27,163
45,249
652,551
835,772
1,488,323
577,360
12/18/1998
Byron
GA
359,612
868,859
None
None
359,612
868,859
1,228,471
117,296
8/5/2013
Council Bluffs
IA
194,355
431,668
None
None
194,355
431,668
626,023
431,668
5/19/1988
Des Moines
IA
441,273
981,424
None
None
441,273
981,424
1,422,697
119,407
12/6/2013
Boise
ID
158,400
351,812
None
5,428
158,400
357,240
515,640
357,240
5/6/1988
Moscow
ID
117,250
260,417
None
None
117,250
260,417
377,667
260,417
9/14/1987
Chicago
IL
760,000
1,483,800
4,850
None
760,000
1,488,650
2,248,650
122,844
12/18/2014
Chicago
IL
270,000
1,639,501
56,000
None
270,000
1,695,501
1,965,501
138,676
12/18/2014
Chicago
IL
490,000
1,533,006
3,425
None
490,000
1,536,431
2,026,431
126,516
12/18/2014
Joliet
IL
1,288,779
723,567
2,571,856
None
None
723,567
2,571,856
3,295,423
407,211
1/22/2013
Brazil
IN
183,952
453,831
26,716
None
183,952
480,547
664,499
334,995
3/31/1999
Chesterton
IN
293,382
708,842
None
None
293,382
708,842
1,002,224
93,331
9/27/2013
Griffith
IN
343,778
830,602
None
None
343,778
830,602
1,174,380
109,363
9/27/2013
Indianapolis
IN
243,422
541,389
24,391
None
243,422
565,780
809,202
61,442
6/6/2014
Lafayette
IN
276,924
960,817
None
None
276,924
960,817
1,237,741
1,601
12/16/2016
Muncie
IN
148,901
645,660
238,611
28,327
148,901
912,598
1,061,499
679,516
11/26/1996
Plainfield
IN
453,645
908,485
42,619
47,025
453,645
998,129
1,451,774
722,582
1/30/1998
Princeton
IN
134,209
560,113
11,238
None
134,209
571,351
705,560
400,424
3/31/1999
Vincennes
IN
185,312
489,779
30,324
None
185,312
520,103
705,415
357,404
3/31/1999
Kansas City
KS
222,000
455,881
18,738
None
222,000
474,619
696,619
472,357
5/16/1988
Harrodsburg
KY
262,048
1,029,125
None
None
262,048
1,029,125
1,291,173
121,780
1/3/2014
Lawrenceburg
KY
272,228
1,069,102
None
None
272,228
1,069,102
1,341,330
122,947
2/14/2014
Lexington
KY
475,041
1,056,527
None
None
475,041
1,056,527
1,531,568
65,152
4/11/2014
6/30/2015
Paris
KY
250,000
1,158,644
None
None
250,000
1,158,644
1,408,644
13,518
9/30/2016
Scottsville
KY
503,473
1,039,640
None
None
503,473
1,039,640
1,543,113
164,610
1/22/2013
Stanford
KY
293,686
1,153,374
None
None
293,686
1,153,374
1,447,060
121,104
5/7/2014
Kaplan
LA
232,224
911,999
None
None
232,224
911,999
1,144,223
104,880
2/14/2014
Lafayette
LA
740,444
1,528,968
None
None
740,444
1,528,968
2,269,412
242,087
1/22/2013
Lafayette
LA
462,043
1,027,618
None
None
462,043
1,027,618
1,489,661
114,751
3/31/2014
Slidell
LA
629,335
1,299,536
None
None
629,335
1,299,536
1,928,871
205,760
1/22/2013
Sulphur
LA
290,047
700,785
3,835
None
290,047
704,620
994,667
95,717
8/1/2013
West Monroe
LA
462,715
1,394,603
None
None
462,715
1,394,603
1,857,318
220,812
1/22/2013
Alma
MI
155,000
600,282
13,902
None
155,000
614,184
769,184
430,586
4/29/1999
2/10/1999
Alma
MI
187,704
737,155
None
None
187,704
737,155
924,859
40,544
8/21/2015
Detroit
MI
496,691
1,104,676
None
None
496,691
1,104,676
1,601,367
127,038
2/6/2014
Flushing
MI
367,724
817,846
None
None
367,724
817,846
1,185,570
85,874
5/14/2014
Lansing
MI
265,000
574,931
132,237
265,000
707,262
972,262
502,589
4/30/1999
12/3/1998
Rockford
MI
870,632
1,726,400
None
None
870,632
1,726,400
2,597,032
273,347
1/22/2013
Roseville
MI
558,997
1,810,289
None
None
558,997
1,810,289
2,369,286
286,629
1/22/2013
Saginaw
MI
948,826
1,959,264
None
None
948,826
1,959,264
2,908,090
310,217
1/22/2013
Saginaw
MI
859,956
1,775,753
None
None
859,956
1,775,753
2,635,709
281,161
1/22/2013
St. Johns
MI
201,681
792,050
41,226
None
201,681
833,276
1,034,957
43,649
8/21/2015
Sturgis
MI
109,558
550,274
10,272
109,558
560,640
670,198
402,615
12/30/1998
Waterford
MI
995,991
2,056,657
53,469
None
995,991
2,110,126
3,106,117
329,275
1/22/2013
St. Peters
MO
469,776
1,044,816
None
None
469,776
1,044,816
1,514,592
109,706
5/6/2014
Crystal Springs
MS
514,234
1,061,859
None
None
514,234
1,061,859
1,576,093
168,128
1/22/2013
Horn Lake
MS
142,702
514,779
62,817
None
142,702
577,596
720,298
384,060
6/30/1998
Richland
MS
243,565
558,645
10,302
None
243,565
568,947
812,512
386,877
12/21/1999
Vicksburg
MS
631,900
1,304,832
None
None
631,900
1,304,832
1,936,732
206,598
1/22/2013
Biscoe
NC
340,000
1,012,799
None
None
340,000
1,012,799
1,352,799
18,568
7/29/2016
Harrisburg
NC
680,000
813,119
None
None
680,000
813,119
1,493,119
115,192
6/21/2013
Omaha
NE
196,000
435,321
None
196,000
435,353
631,353
435,350
5/26/1988
Omaha
NE
199,100
412,042
None
199,100
412,074
611,174
412,071
5/27/1988
Artesia
NM
400,000
807,227
None
None
400,000
807,227
1,207,227
114,357
6/21/2013
Las Cruces
NM
370,000
1,010,676
None
None
370,000
1,010,676
1,380,676
143,179
6/21/2013
Rio Rancho
NM
211,577
469,923
None
None
211,577
469,923
681,500
469,923
2/26/1988
Santa Fe
NM
550,775
1,224,964
None
None
550,775
1,224,964
1,775,739
157,204
10/11/2013
Fernley
NV
300,000
1,027,155
None
None
300,000
1,027,155
1,327,155
145,514
6/21/2013
Las Vegas
NV
161,000
357,585
260,000
None
161,000
617,585
778,585
574,252
10/29/1987
Dunkirk
NY
631,375
1,303,749
None
None
631,375
1,303,749
1,935,124
206,427
1/22/2013
Akron
OH
264,619
588,531
None
None
264,619
588,531
853,150
36,293
6/9/2015
Canton
OH
396,560
597,553
None
25,452
396,560
623,005
1,019,565
449,235
8/14/1998
Centerville
OH
601,408
758,192
9,017
38,193
601,408
805,402
1,406,810
581,577
6/30/1998
Delaware
OH
240,000
705,447
None
None
240,000
705,447
945,447
38,800
8/14/2015
Hamilton
OH
183,000
515,727
6,508
None
183,000
522,235
705,235
369,232
4/7/1999
12/3/1998
Middlefield
OH
258,980
1,017,075
None
None
258,980
1,017,075
1,276,055
103,403
6/30/2014
New Lexington
OH
290,000
955,997
None
None
290,000
955,997
1,245,997
14,340
8/23/2016
Oberlin
OH
212,325
1,026,562
None
None
212,325
1,026,562
1,238,887
128,320
11/7/2013
Toledo
OH
130,000
1,562,052
None
None
130,000
1,562,052
1,692,052
231,704
4/12/2013
Toledo
OH
140,000
1,059,979
None
None
140,000
1,059,979
1,199,979
157,230
4/12/2013
Waverly
OH
176,895
694,710
None
None
176,895
694,710
871,605
38,209
8/19/2015
Del City
OK
634,664
1,178,662
None
None
634,664
1,178,662
1,813,326
190,550
12/7/2012
Oklahoma City
OK
602,052
1,118,096
None
None
602,052
1,118,096
1,720,148
169,578
3/1/2013
Albany
OR
152,250
338,153
None
152,250
338,211
490,461
338,193
8/24/1987
Beaverton
OR
210,000
466,419
None
210,000
466,477
676,477
466,458
8/26/1987
Portland
OR
190,750
423,664
None
190,750
423,722
614,472
423,703
8/12/1987
Portland
OR
147,000
326,493
None
147,000
326,551
473,551
326,533
8/26/1987
Salem
OR
136,500
303,170
None
136,500
303,228
439,728
303,210
8/20/1987
Butler
PA
339,929
633,078
47,758
None
339,929
680,836
1,020,765
491,401
8/7/1998
Carnegie
PA
260,000
1,208,582
None
None
260,000
1,208,582
1,468,582
18,129
8/23/2016
Dover
PA
265,112
593,341
3,962
None
265,112
597,303
862,415
440,357
6/30/1998
Enola
PA
220,228
546,026
11,416
220,228
557,614
777,842
402,776
11/10/1998
Hanover
PA
132,500
719,511
9,982
None
132,500
729,493
861,993
504,004
7/26/1999
5/13/1999
Harrisburg
PA
327,781
608,291
10,681
327,781
619,144
946,925
455,778
6/30/1998
Harrisburg
PA
283,417
352,473
10,519
283,417
363,164
646,581
260,070
9/30/1998
Lancaster
PA
199,899
774,838
84,970
None
199,899
859,808
1,059,707
590,963
8/14/1998
Lebanon
PA
360,751
802,338
10,935
None
360,751
813,273
1,174,024
71,046
11/21/2014
New Castle
PA
180,009
525,774
91,802
None
180,009
617,576
797,585
439,950
6/30/1998
Reading
PA
379,000
658,722
43,750
None
379,000
702,472
1,081,472
479,009
6/9/1999
12/4/1998
Guayama
PR
972,663
874,937
1,806,689
None
None
874,937
1,806,689
2,681,626
286,059
1/22/2013
Humacao
PR
1,483,311
1,161,891
2,399,229
None
None
1,161,891
2,399,229
3,561,120
379,878
1/22/2013
Ponce
PR
1,775,110
1,321,292
2,728,382
None
None
1,321,292
2,728,382
4,049,674
431,994
1/22/2013
San Juan
PR
1,483,311
1,158,525
2,392,278
None
None
1,158,525
2,392,278
3,550,803
378,777
1/22/2013
Chester
SC
132,006
518,420
4,106
None
132,006
522,526
654,532
52,786
6/30/2014
Columbia
SC
474,027
1,427,348
None
None
474,027
1,427,348
1,901,375
225,997
1/22/2013
Gaston
SC
250,000
956,334
None
None
250,000
956,334
1,206,334
20,721
6/9/2016
Manning
SC
260,000
999,132
None
None
260,000
999,132
1,259,132
18,317
7/29/2016
Winnsboro
SC
90,000
921,541
None
None
90,000
921,541
1,011,541
19,967
6/9/2016
York
SC
198,409
779,197
None
None
198,409
779,197
977,606
79,218
6/30/2014
Arlington
TN
381,083
707,726
None
None
381,083
707,726
1,088,809
114,416
12/7/2012
Columbia
TN
273,120
431,716
None
None
273,120
431,716
704,836
302,919
6/30/1999
Decatur
TN
180,000
880,938
None
None
180,000
880,938
1,060,938
89,562
6/30/2014
Channelview
TX
483,804
1,168,921
None
None
483,804
1,168,921
1,652,725
157,804
8/14/2013
Dallas
TX
562,612
1,251,290
None
None
562,612
1,251,290
1,813,902
123,044
7/18/2014
Denton
TX
368,635
1,047,327
None
None
368,635
1,047,327
1,415,962
130,916
11/15/2013
Edinburg
TX
320,000
963,916
None
None
320,000
963,916
1,283,916
136,555
6/21/2013
Grand Prairie
TX
574,574
1,277,896
None
None
574,574
1,277,896
1,852,470
117,140
9/5/2014
Hallettsville
TX
237,572
932,999
18,920
None
237,572
951,919
1,189,491
120,315
10/11/2013
Katy
TX
558,684
1,242,555
None
None
558,684
1,242,555
1,801,239
126,326
6/30/2014
Laredo
TX
807,044
1,498,795
None
None
807,044
1,498,795
2,305,839
242,305
12/7/2012
Richmond
TX
441,254
1,253,642
None
None
441,254
1,253,642
1,694,896
160,884
10/24/2013
Roma
TX
200,000
1,004,538
None
None
200,000
1,004,538
1,204,538
142,310
6/21/2013
San Benito
TX
449,015
998,643
None
None
449,015
998,643
1,447,658
128,159
10/11/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Richmond
VA
366,287
814,648
None
None
366,287
814,648
1,180,935
50,237
6/25/2015
Bellevue
WA
185,500
411,997
None
185,500
412,104
597,604
412,103
8/6/1987
Bellingham
WA
168,000
373,133
None
168,000
373,240
541,240
373,239
8/20/1987
East Wenatchee
WA
148,400
329,602
None
148,400
329,709
478,109
329,709
8/25/1987
Kenmore
WA
199,500
443,098
None
199,500
443,205
642,705
443,204
8/20/1987
Kent
WA
199,500
443,091
None
199,500
443,198
642,698
443,198
8/6/1987
Moses Lake
WA
138,600
307,831
None
138,600
307,938
446,538
307,938
8/12/1987
Renton
WA
185,500
412,003
None
185,500
412,110
597,610
412,110
9/15/1987
Seattle
WA
162,400
360,697
None
162,400
360,804
523,204
360,804
8/20/1987
Silverdale
WA
183,808
419,777
None
183,808
419,884
603,692
419,883
9/16/1987
Tacoma
WA
191,800
425,996
None
191,800
426,103
617,903
426,102
8/18/1987
Tacoma
WA
196,000
435,324
None
196,000
435,431
631,431
435,431
10/15/1987
Vancouver
WA
180,250
400,343
None
180,250
400,401
580,651
400,382
8/20/1987
Vancouver
WA
168,000
373,135
None
168,000
373,193
541,193
373,175
5/23/1988
Viroqua
WI
130,000
751,418
None
None
130,000
751,418
881,418
108,956
5/1/2013
Wausau
WI
499,159
1,138,765
6,800
None
499,159
1,145,565
1,644,724
48,863
12/23/2015
Nutter Fort
WV
259,179
899,248
None
None
259,179
899,248
1,158,427
1,499
12/21/2016
Automotive service
Flagstaff
AZ
144,821
417,485
8,150
144,821
425,671
570,492
313,791
4/11/2002
8/29/1997
Mesa
AZ
210,620
475,072
None
None
210,620
475,072
685,692
277,913
5/14/2002
Phoenix
AZ
189,341
546,984
None
None
189,341
546,984
736,325
319,986
5/14/2002
Phoenix
AZ
384,608
279,824
None
None
384,608
279,824
664,432
163,695
5/14/2002
Sierra Vista
AZ
175,114
345,508
None
None
175,114
345,508
520,622
202,121
5/14/2002
Tucson
AZ
226,596
437,972
None
None
226,596
437,972
664,568
256,212
5/14/2002
Bakersfield
CA
65,165
206,927
None
None
65,165
206,927
272,092
121,051
5/14/2002
Chula Vista
CA
313,293
409,654
26,019
313,293
435,850
749,143
338,382
5/1/1996
1/19/1996
Dublin
CA
415,620
1,153,928
None
None
415,620
1,153,928
1,569,548
675,046
5/14/2002
Folsom
CA
471,813
325,610
None
None
471,813
325,610
797,423
190,480
5/14/2002
Indio
CA
264,956
265,509
None
None
264,956
265,509
530,465
155,321
5/14/2002
Los Angeles
CA
580,446
158,876
None
None
580,446
158,876
739,322
92,940
5/14/2002
Oxnard
CA
186,980
198,236
None
None
186,980
198,236
385,216
115,966
5/14/2002
Simi Valley
CA
213,920
161,012
None
None
213,920
161,012
374,932
94,190
5/14/2002
Stockton
CA
1,395,822
2,882,282
None
None
1,395,822
2,882,282
4,278,104
456,361
1/22/2013
Vacaville
CA
358,067
284,931
None
None
358,067
284,931
642,998
166,682
5/14/2002
Aurora
CO
231,314
430,495
None
231,314
430,610
661,924
160,115
9/4/2007
Broomfield
CO
154,930
503,626
None
2,667
154,930
506,293
661,223
412,679
8/22/1996
3/15/1996
Denver
CO
79,717
369,587
None
79,717
369,666
449,383
369,663
10/8/1985
Denver
CO
239,024
444,785
None
239,024
444,900
683,924
165,426
9/4/2007
Lakewood
CO
70,422
132,296
None
None
70,422
132,296
202,718
49,170
9/4/2007
Longmont
CO
87,385
163,169
None
87,385
163,577
250,962
60,779
9/4/2007
Thornton
CO
276,084
415,464
None
276,084
415,780
691,864
331,542
12/31/1996
10/31/1996
Hartford
CT
248,540
482,460
35,465
1,076
248,540
519,001
767,541
412,232
9/30/1996
Southington
CT
225,882
672,910
None
225,882
673,082
898,964
526,052
6/6/1997
Vernon
CT
81,529
300,518
None
None
81,529
300,518
382,047
174,801
6/27/2002
Jacksonville
FL
76,585
355,066
28,668
76,585
383,912
460,497
360,795
12/23/1985
Miami Gardens
FL
163,239
262,726
None
None
163,239
262,726
425,965
152,819
6/27/2002
Orange City
FL
99,613
139,008
None
None
99,613
139,008
238,621
81,318
5/14/2002
Atlanta
GA
309,474
574,737
None
None
309,474
574,737
884,211
156,137
3/25/2010
Bogart
GA
66,807
309,733
None
None
66,807
309,733
376,540
309,733
12/20/1985
Duluth
GA
222,275
316,925
2,288
222,275
319,302
541,577
241,431
10/24/1997
6/20/1997
Duluth
GA
290,842
110,056
None
None
290,842
110,056
400,898
64,381
5/14/2002
Gainesville
GA
53,589
248,452
None
None
53,589
248,452
302,041
248,452
12/19/1985
Kennesaw
GA
266,865
139,425
None
None
266,865
139,425
406,290
81,562
5/14/2002
Marietta
GA
60,900
293,461
67,871
60,900
361,416
422,316
330,960
12/26/1985
Marietta
GA
69,561
346,024
None
69,561
346,065
415,626
346,065
6/3/1986
Norcross
GA
244,124
151,831
None
None
244,124
151,831
395,955
88,819
5/14/2002
Norcross
GA
503,773
937,121
39,032
None
503,773
976,153
1,479,926
403,090
11/22/2006
Riverdale
GA
58,444
270,961
None
None
58,444
270,961
329,405
270,961
1/15/1986
Snellville
GA
253,316
132,124
None
None
253,316
132,124
385,440
77,291
5/14/2002
Tucker
GA
78,646
364,625
32,603
3,258
78,646
400,486
479,132
377,386
12/18/1985
Arlington Hts
IL
441,437
215,983
None
None
441,437
215,983
657,420
126,348
5/14/2002
Chicago
IL
329,076
255,294
None
None
329,076
255,294
584,370
149,345
5/14/2002
Westchester
IL
421,239
184,812
None
None
421,239
184,812
606,051
108,113
5/14/2002
Anderson
IN
232,170
385,661
None
232,170
385,840
618,010
293,921
12/19/1997
Indianapolis
IN
231,384
428,307
None
231,384
428,437
659,821
347,772
9/27/1996
Michigan City
IN
392,638
297,650
(3,065
)
None
389,573
297,650
687,223
174,124
5/14/2002
Warsaw
IN
140,893
228,116
None
None
140,893
228,116
369,009
133,446
5/14/2002
Olathe
KS
217,995
367,055
1,975
217,995
369,154
587,149
288,218
4/22/1997
11/11/1996
Topeka
KS
32,022
60,368
None
None
32,022
60,368
92,390
22,437
9/4/2007
Wichita
KS
787,377
1,463,936
78,745
70,913
787,377
1,613,594
2,400,971
628,366
11/1/2006
Louisville
KY
56,054
259,881
None
56,054
259,893
315,947
259,886
12/17/1985
East Wareham
MA
149,680
278,669
None
None
149,680
278,669
428,349
163,019
5/14/2002
Fairhaven
MA
138,957
289,294
None
None
138,957
289,294
428,251
169,235
5/14/2002
Gardner
MA
138,990
289,361
None
None
138,990
289,361
428,351
169,274
5/14/2002
Hyannis
MA
180,653
458,522
None
None
180,653
458,522
639,175
266,707
6/27/2002
Lenox
MA
287,769
535,273
None
None
287,769
535,273
823,042
380,925
3/31/1999
Newburyport
MA
274,698
466,449
None
None
274,698
466,449
741,147
271,318
6/27/2002
North Reading
MA
180,546
351,161
None
None
180,546
351,161
531,707
205,427
5/14/2002
Orleans
MA
138,212
394,065
None
None
138,212
394,065
532,277
230,526
5/14/2002
Teaticket
MA
191,302
340,539
None
None
191,302
340,539
531,841
199,214
5/14/2002
Aberdeen
MD
223,617
225,605
None
None
223,617
225,605
449,222
131,227
6/27/2002
Bethesda
MD
282,717
525,928
None
None
282,717
525,928
808,645
195,470
9/4/2007
Capitol Heights
MD
547,173
219,979
(12,319
)
None
534,854
219,979
754,833
128,684
5/14/2002
Clinton
MD
70,880
328,620
11,440
None
70,880
340,060
410,940
335,770
11/15/1985
Lexington Park
MD
111,396
335,288
(7,600
)
None
103,796
335,288
439,084
196,140
5/14/2002
Kalamazoo
MI
391,745
296,975
(2,196
)
None
389,549
296,975
686,524
173,729
5/14/2002
Portage
MI
402,409
286,441
(2,112
)
None
400,297
286,441
686,738
167,566
5/14/2002
Southfield
MI
275,952
350,765
None
None
275,952
350,765
626,717
205,196
5/14/2002
Troy
MI
214,893
199,299
None
None
214,893
199,299
414,192
116,588
5/14/2002
Saint Cloud
MN
203,338
258,626
None
None
203,338
258,626
461,964
150,434
6/27/2002
Independence
MO
297,641
233,152
4,467
3,958
297,641
241,577
539,218
191,998
12/20/1996
Asheville
NC
441,746
242,565
None
None
441,746
242,565
684,311
141,899
5/14/2002
Asheville
NC
838,421
1,558,792
27,477
838,421
1,586,749
2,425,170
634,113
11/1/2006
Concord
NC
237,688
357,976
6,863
237,688
364,865
602,553
265,303
11/5/1997
Durham
NC
55,074
255,336
None
55,074
255,983
311,057
255,983
11/13/1985
Durham
NC
354,676
361,203
67,400
354,676
428,615
783,291
291,834
8/29/1997
3/31/1997
Fayetteville
NC
224,326
257,733
None
224,326
257,864
482,190
196,417
12/3/1997
Greensboro
NC
286,068
244,606
None
None
286,068
244,606
530,674
143,086
5/14/2002
Matthews
NC
295,580
338,472
17,484
13,514
295,580
369,470
665,050
272,485
8/28/1998
2/27/1998
Pineville
NC
254,460
355,630
None
254,460
355,653
610,113
274,401
8/28/1997
4/16/1997
Raleigh
NC
89,145
413,301
None
None
89,145
413,301
502,446
413,301
10/28/1985
Raleigh
NC
398,694
263,621
None
None
398,694
263,621
662,315
202,514
10/1/1997
Salisbury
NC
235,614
150,592
None
None
235,614
150,592
386,206
88,094
5/14/2002
Fargo
ND
53,973
100,262
None
None
53,973
100,262
154,235
37,264
9/4/2007
Lincoln
NE
337,138
316,958
None
None
337,138
316,958
654,096
185,418
5/14/2002
Cherry Hill
NJ
463,808
862,240
None
None
463,808
862,240
1,326,048
320,466
9/4/2007
Edison
NJ
448,936
238,773
None
None
448,936
238,773
687,709
139,679
5/14/2002
Glassboro
NJ
182,013
312,480
None
None
182,013
312,480
494,493
181,759
6/27/2002
Hamilton Square
NJ
422,477
291,555
None
None
422,477
291,555
714,032
170,556
5/14/2002
Pleasantville
NJ
77,105
144,693
None
None
77,105
144,693
221,798
53,777
9/4/2007
Randolph
NJ
452,629
390,163
None
None
452,629
390,163
842,792
228,243
5/14/2002
Trenton
NJ
265,238
298,167
None
None
265,238
298,167
563,405
174,424
5/14/2002
West Deptford
NJ
212,788
320,283
None
None
212,788
320,283
533,071
187,362
5/14/2002
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Westfield
NJ
705,337
288,720
None
None
705,337
288,720
994,057
168,897
5/14/2002
Albuquerque
NM
231,553
430,026
None
None
231,553
430,026
661,579
116,824
3/25/2010
Las Vegas
NV
326,879
359,101
None
None
326,879
359,101
685,980
210,072
5/14/2002
Las Vegas
NV
316,441
369,768
None
None
316,441
369,768
686,209
216,313
5/14/2002
Las Vegas
NV
252,169
562,715
None
None
252,169
562,715
814,884
329,186
5/14/2002
Las Vegas
NV
1,940,015
3,624,877
None
None
1,940,015
3,624,877
5,564,892
573,939
1/22/2013
Sparks
NV
326,813
306,311
None
None
326,813
306,311
633,124
179,190
5/14/2002
Bethpage
NY
334,120
621,391
None
None
334,120
621,391
955,511
230,950
9/4/2007
Commack
NY
400,427
744,533
None
400,427
744,849
1,145,276
276,723
9/4/2007
East Amherst
NY
260,708
484,788
None
None
260,708
484,788
745,496
344,999
3/31/1999
East Syracuse
NY
250,609
466,264
None
None
250,609
466,264
716,873
331,813
3/31/1999
Freeport
NY
134,828
251,894
None
None
134,828
251,894
386,722
93,620
9/4/2007
Johnson City
NY
242,863
451,877
None
None
242,863
451,877
694,740
321,575
3/31/1999
Queens Village
NY
242,775
451,749
None
None
242,775
451,749
694,524
167,900
9/4/2007
Riverhead
NY
143,929
268,795
None
None
143,929
268,795
412,724
99,902
9/4/2007
West Amherst
NY
268,692
499,619
None
None
268,692
499,619
768,311
355,554
3/31/1999
Beavercreek
OH
205,000
492,538
None
None
205,000
492,538
697,538
389,925
2/13/1997
9/9/1996
Canal Winchester
OH
443,751
825,491
None
None
443,751
825,491
1,269,242
461,945
12/19/2002
8/21/2002
Centerville
OH
305,000
420,448
None
None
305,000
420,448
725,448
344,067
7/24/1996
6/28/1996
Cincinnati
OH
211,185
392,210
None
None
211,185
392,210
603,395
205,910
11/3/2003
Cincinnati
OH
305,556
244,662
None
None
305,556
244,662
550,218
120,292
9/17/2004
Cincinnati
OH
589,286
160,932
None
None
589,286
160,932
750,218
79,124
9/17/2004
Cincinnati
OH
159,375
265,842
None
None
159,375
265,842
425,217
130,705
9/17/2004
Cincinnati
OH
350,000
300,217
None
None
350,000
300,217
650,217
144,605
12/20/2004
Cleveland
OH
337,593
451,944
None
None
337,593
451,944
789,537
246,309
5/27/2003
Cleveland
OH
317,308
307,842
None
None
317,308
307,842
625,150
151,355
9/17/2004
Columbus
OH
71,098
329,627
None
None
71,098
329,627
400,725
329,627
10/2/1985
Columbus
OH
75,761
351,247
None
None
75,761
351,247
427,008
351,247
10/24/1985
Columbus
OH
432,110
386,553
None
None
432,110
386,553
818,663
210,670
5/27/2003
Columbus
OH
466,696
548,133
None
None
466,696
548,133
1,014,829
298,731
5/27/2003
Columbus
OH
337,679
272,484
None
None
337,679
272,484
610,163
133,971
9/17/2004
Columbus
OH
190,000
260,162
None
None
190,000
260,162
450,162
127,913
9/17/2004
Columbus
OH
371,429
278,734
None
None
371,429
278,734
650,163
137,044
9/17/2004
Cuyahoga Falls
OH
253,750
271,400
None
None
253,750
271,400
525,150
133,438
9/17/2004
Dayton
OH
70,000
324,538
None
None
70,000
324,538
394,538
324,538
10/31/1985
Dayton
OH
349,091
251,127
None
None
349,091
251,127
600,218
123,470
9/17/2004
Dublin
OH
437,887
428,046
None
None
437,887
428,046
865,933
233,284
5/27/2003
Fairfield
OH
323,408
235,024
44,232
3,330
323,408
282,586
605,994
206,062
9/17/1997
Fairlawn
OH
280,000
270,150
None
None
280,000
270,150
550,150
132,823
9/17/2004
Findlay
OH
283,515
397,004
None
16,801
283,515
413,805
697,320
303,490
12/24/1997
Hamilton
OH
252,608
413,279
None
None
252,608
413,279
665,887
323,043
3/31/1997
10/4/1996
Huber Heights
OH
282,000
449,381
None
None
282,000
449,381
731,381
358,755
12/3/1996
7/18/1996
Lima
OH
241,132
114,085
None
None
241,132
114,085
355,217
56,092
9/17/2004
Marion
OH
100,000
275,162
None
None
100,000
275,162
375,162
132,536
12/20/2004
Mason
OH
310,990
405,373
None
None
310,990
405,373
716,363
220,928
5/27/2003
Mount Vernon
OH
216,115
375,357
None
216,115
375,471
591,586
286,011
12/30/1997
Norwalk
OH
200,205
366,000
None
200,205
366,114
566,319
278,882
12/19/1997
Parma
OH
268,966
381,184
None
None
268,966
381,184
650,150
187,415
9/17/2004
Reynoldsburg
OH
267,750
497,371
None
None
267,750
497,371
765,121
244,541
9/15/2004
Reynoldsburg
OH
374,000
176,162
None
None
374,000
176,162
550,162
86,613
9/17/2004
Sandusky
OH
264,708
404,011
None
264,708
404,125
668,833
307,839
12/19/1997
Solon
OH
794,305
222,797
None
None
794,305
222,797
1,017,102
121,425
5/27/2003
Springboro
OH
191,911
522,902
None
None
191,911
522,902
714,813
413,805
3/7/1997
Springfield
OH
320,000
280,217
None
None
320,000
280,217
600,217
137,773
9/17/2004
Springfield
OH
189,091
136,127
None
None
189,091
136,127
325,218
66,928
9/17/2004
Stow
OH
310,000
415,150
None
None
310,000
415,150
725,150
204,115
9/17/2004
Toledo
OH
120,000
230,217
None
None
120,000
230,217
350,217
113,190
9/17/2004
Toledo
OH
250,000
175,217
None
None
250,000
175,217
425,217
86,148
9/17/2004
Toledo
OH
320,000
280,217
None
None
320,000
280,217
600,217
137,773
9/17/2004
Toledo
OH
250,000
530,217
None
None
250,000
530,217
780,217
260,690
9/17/2004
West Chester
OH
446,449
768,644
None
None
446,449
768,644
1,215,093
412,891
6/27/2003
3/11/2003
Willowick
OH
321,347
459,774
None
None
321,347
459,774
781,121
386,976
12/22/1995
Zanesville
OH
125,000
300,162
None
None
125,000
300,162
425,162
147,579
9/17/2004
Midwest City
OK
106,312
333,551
None
106,312
333,556
439,868
245,246
8/6/1998
8/8/1997
Tulsa
OK
133,648
249,702
None
None
133,648
249,702
383,350
92,806
9/4/2007
Portland
OR
251,499
345,952
None
251,499
346,010
597,509
197,232
9/26/2002
Salem
OR
337,711
253,855
None
337,711
253,913
591,624
148,543
5/14/2002
Bethel Park
PA
299,595
331,264
None
299,595
331,378
630,973
252,434
12/19/1997
Bethlehem
PA
275,328
389,067
None
275,328
389,239
664,567
296,517
12/19/1997
Bethlehem
PA
229,162
310,526
None
229,162
310,698
539,860
236,685
12/24/1997
Bridgeville
PA
275,000
375,150
None
None
275,000
375,150
650,150
184,448
9/17/2004
Coraopolis
PA
225,000
375,150
None
None
225,000
375,150
600,150
184,448
9/17/2004
Harrisburg
PA
131,529
220,317
(2,515
)
None
129,014
220,317
349,331
128,882
5/14/2002
Monroeville
PA
275,000
250,150
None
None
275,000
250,150
525,150
122,990
9/17/2004
North Wales
PA
2,813,873
4,379,809
None
None
2,813,873
4,379,809
7,193,682
693,470
1/22/2013
Pittsburgh
PA
378,715
685,374
None
None
378,715
685,374
1,064,089
388,732
8/22/2002
1/17/2002
Pittsburgh
PA
219,938
408,466
None
None
219,938
408,466
628,404
214,445
11/3/2003
Pittsburgh
PA
175,000
300,150
None
None
175,000
300,150
475,150
147,573
9/17/2004
Pittsburgh
PA
243,750
406,400
None
None
243,750
406,400
650,150
199,813
9/17/2004
Pittsburgh
PA
208,333
416,817
None
None
208,333
416,817
625,150
204,934
9/17/2004
Pittsburgh
PA
121,429
303,721
None
None
121,429
303,721
425,150
149,329
9/17/2004
Warminster
PA
323,847
216,999
(3,929
)
None
319,918
216,999
536,917
126,941
5/14/2002
Wexford
PA
284,375
240,775
None
None
284,375
240,775
525,150
118,381
9/17/2004
York
PA
249,436
347,424
None
249,436
347,596
597,032
264,794
12/30/1997
Charleston
SC
217,250
294,079
6,700
217,250
300,938
518,188
231,231
7/14/1997
3/13/1997
Columbia
SC
267,622
298,594
4,116
None
267,622
302,710
570,332
224,576
3/31/1998
11/5/1997
Greenville
SC
221,946
315,163
None
None
221,946
315,163
537,109
242,122
9/5/1997
3/31/1997
Lexington
SC
241,534
342,182
None
None
241,534
342,182
583,716
242,523
9/24/1998
North Charleston
SC
174,980
341,466
14,074
174,980
355,693
530,673
256,427
8/6/1998
3/12/1998
Sioux Falls
SD
48,833
91,572
None
None
48,833
91,572
140,405
34,034
9/4/2007
Antioch
TN
400,000
781,228
None
None
400,000
781,228
1,181,228
55,988
3/24/2015
Brentwood
TN
305,546
505,728
None
None
305,546
505,728
811,274
383,503
3/13/1998
5/28/1997
Columbia
TN
540,000
749,813
None
None
540,000
749,813
1,289,813
53,737
3/24/2015
Gallatin
TN
720,000
862,737
None
None
720,000
862,737
1,582,737
61,829
3/24/2015
Hendersonville
TN
175,764
327,096
None
None
175,764
327,096
502,860
182,629
1/21/2003
Hendersonville
TN
680,000
972,437
None
None
680,000
972,437
1,652,437
69,691
3/24/2015
Hermitage
TN
204,296
172,695
None
None
204,296
172,695
376,991
101,025
5/14/2002
Hermitage
TN
480,000
789,017
None
None
480,000
789,017
1,269,017
56,546
3/24/2015
Madison
TN
175,769
327,068
None
None
175,769
327,068
502,837
182,613
1/21/2003
Memphis
TN
108,094
217,079
None
None
108,094
217,079
325,173
126,989
5/14/2002
Memphis
TN
214,110
193,591
None
None
214,110
193,591
407,701
113,248
5/14/2002
Memphis
TN
215,017
216,794
None
None
215,017
216,794
431,811
126,102
6/27/2002
Mount Juliet
TN
540,000
929,909
None
None
540,000
929,909
1,469,909
66,643
3/24/2015
Murfreesboro
TN
150,411
215,528
None
None
150,411
215,528
365,939
126,082
5/14/2002
Murfreesboro
TN
563,164
814,275
None
None
563,164
814,275
1,377,439
58,356
3/24/2015
Murfreesboro
TN
550,000
851,709
None
None
550,000
851,709
1,401,709
61,039
3/24/2015
Nashville
TN
342,960
227,440
None
None
342,960
227,440
570,400
175,458
9/17/1997
Nashville
TN
600,000
752,612
None
None
600,000
752,612
1,352,612
53,937
3/24/2015
Nashville
TN
510,210
792,902
None
None
510,210
792,902
1,303,112
56,825
3/24/2015
Nashville
TN
568,793
822,413
None
None
568,793
822,413
1,391,206
58,940
3/24/2015
Smyrna
TN
560,000
874,142
None
None
560,000
874,142
1,434,142
62,647
3/24/2015
Carrollton
TX
174,284
98,623
None
None
174,284
98,623
272,907
57,692
5/14/2002
Carrollton
TX
177,041
199,088
None
None
177,041
199,088
376,129
116,465
5/14/2002
Copperas Cove
TX
820,000
1,069,475
None
None
820,000
1,069,475
1,889,475
16,042
8/9/2016
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Dallas
TX
234,604
325,951
12,719
15,373
234,604
354,043
588,647
278,429
8/9/1996
2/19/1996
Fort Worth
TX
83,530
111,960
None
None
83,530
111,960
195,490
65,495
5/14/2002
Houston
TX
285,000
369,697
None
285,000
369,931
654,931
284,228
8/8/1997
8/8/1997
Houston
TX
2,350,000
1,115,798
None
None
2,350,000
1,115,798
3,465,798
31,614
4/5/2016
Humble
TX
257,169
325,652
None
None
257,169
325,652
582,821
190,504
5/14/2002
Killeen
TX
710,000
991,863
None
None
710,000
991,863
1,701,863
14,878
8/9/2016
Killeen
TX
210,000
1,596,000
None
None
210,000
1,596,000
1,806,000
23,940
8/9/2016
Lake Jackson
TX
197,170
256,376
None
None
197,170
256,376
453,546
149,978
5/14/2002
Lewisville
TX
199,942
324,736
None
None
199,942
324,736
524,678
264,659
8/2/1996
2/14/1996
Lewisville
TX
130,238
207,683
None
None
130,238
207,683
337,921
120,803
6/27/2002
Pflugerville
TX
410,000
1,356,656
None
None
410,000
1,356,656
1,766,656
20,350
8/9/2016
Temple
TX
530,000
1,453,900
None
None
530,000
1,453,900
1,983,900
21,809
8/9/2016
Waco
TX
232,105
431,053
None
None
232,105
431,053
663,158
117,103
3/25/2010
American Fork
UT
849,848
2,561,827
None
None
849,848
2,561,827
3,411,675
337,307
9/26/2013
Cottonwood Hghts
UT
720,000
1,734,194
None
None
720,000
1,734,194
2,454,194
31,794
7/20/2016
Draper
UT
1,220,000
1,574,521
None
None
1,220,000
1,574,521
2,794,521
28,866
7/20/2016
Layton
UT
390,000
1,575,711
None
None
390,000
1,575,711
1,965,711
128,683
12/16/2014
Park City
UT
780,000
1,082,808
None
None
780,000
1,082,808
1,862,808
88,429
12/16/2014
South Jordan
UT
1,620,150
1,879,850
None
None
1,620,150
1,879,850
3,500,000
241,247
10/15/2013
Richmond
VA
403,549
876,981
None
None
403,549
876,981
1,280,530
453,508
7/8/2004
10/17/2002
Roanoke
VA
349,628
322,545
None
349,628
322,698
672,326
245,830
12/19/1997
Warrenton
VA
186,723
241,173
None
None
186,723
241,173
427,896
141,083
5/14/2002
Bremerton
WA
261,172
373,080
None
2,621
261,172
375,701
636,873
302,558
3/19/1997
7/24/1996
Tacoma
WA
109,127
202,691
None
None
109,127
202,691
311,818
75,333
9/4/2007
Cudahy
WI
470,000
1,208,890
None
None
470,000
1,208,890
1,678,890
22,163
7/14/2016
Franklin
WI
1,090,000
2,175,218
None
None
1,090,000
2,175,218
3,265,218
39,879
7/14/2016
Menomonee Falls
WI
1,280,000
1,892,112
None
None
1,280,000
1,892,112
3,172,112
34,689
7/14/2016
Milwaukee
WI
173,005
499,244
None
None
173,005
499,244
672,249
420,197
12/22/1995
Milwaukee
WI
152,509
475,480
None
None
152,509
475,480
627,989
385,931
9/27/1996
Mount Pleasant
WI
184,002
114,167
None
None
184,002
114,167
298,169
66,786
5/14/2002
New Berlin
WI
188,491
466,268
55,866
188,491
522,641
711,132
397,494
12/22/1995
Oshkosh
WI
150,000
820,494
None
None
150,000
820,494
970,494
15,042
7/14/2016
West Milwaukee
WI
780,000
1,747,681
None
None
780,000
1,747,681
2,527,681
32,041
7/14/2016
Automotive tire services
Athens
AL
760,031
1,413,494
None
None
760,031
1,413,494
2,173,525
572,461
11/22/2006
Auburn
AL
660,210
1,228,112
None
None
660,210
1,228,112
1,888,322
497,381
11/22/2006
Birmingham
AL
635,111
1,180,909
None
None
635,111
1,180,909
1,816,020
478,264
11/22/2006
Birmingham
AL
620,270
1,153,493
None
None
620,270
1,153,493
1,773,763
467,161
11/22/2006
Daphne
AL
876,139
1,629,123
None
None
876,139
1,629,123
2,505,262
659,791
11/22/2006
Decatur
AL
635,111
1,181,499
None
None
635,111
1,181,499
1,816,610
478,503
11/22/2006
Dothan
AL
455,651
565,343
None
None
455,651
565,343
1,020,994
184,296
10/17/2008
6/10/2008
Foley
AL
870,031
1,617,357
None
None
870,031
1,617,357
2,487,388
655,025
11/22/2006
Gardendale
AL
610,055
1,134,554
None
None
610,055
1,134,554
1,744,609
459,119
11/22/2006
Hoover
AL
504,396
938,299
None
None
504,396
938,299
1,442,695
380,007
11/22/2006
Huntsville
AL
499,843
929,863
None
None
499,843
929,863
1,429,706
376,591
11/22/2006
Huntsville
AL
635,111
1,181,499
None
None
635,111
1,181,499
1,816,610
478,503
11/22/2006
Madison
AL
635,111
1,181,532
None
None
635,111
1,181,532
1,816,643
478,516
11/22/2006
Mobile
AL
635,111
1,181,499
None
None
635,111
1,181,499
1,816,610
478,503
11/22/2006
Mobile
AL
525,750
977,810
None
None
525,750
977,810
1,503,560
396,009
11/22/2006
Montgomery
AL
544,181
654,046
None
None
544,181
654,046
1,198,227
224,109
1/24/2008
Orange Beach
AL
630,244
1,172,036
None
None
630,244
1,172,036
1,802,280
474,671
11/22/2006
Pelham
AL
635,111
1,180,909
None
None
635,111
1,180,909
1,816,020
478,264
11/22/2006
Phenix City
AL
630,244
1,172,024
None
None
630,244
1,172,024
1,802,268
474,666
11/22/2006
Benton
AR
976,474
2,016,354
None
None
976,474
2,016,354
2,992,828
319,256
1/22/2013
Tucson
AZ
178,297
396,004
None
None
178,297
396,004
574,301
396,004
1/19/1990
Arvada
CO
301,489
931,092
None
None
301,489
931,092
1,232,581
600,592
9/22/2000
11/18/1999
Aurora
CO
221,691
492,382
None
None
221,691
492,382
714,073
492,382
1/29/1990
Aurora
CO
353,283
1,135,051
None
353,283
1,135,462
1,488,745
717,040
1/3/2001
3/10/2000
Colorado Springs
CO
280,193
622,317
None
None
280,193
622,317
902,510
622,317
1/23/1990
Colorado Springs
CO
192,988
433,542
None
None
192,988
433,542
626,530
414,118
5/20/1993
Denver
CO
688,292
1,331,224
None
None
688,292
1,331,224
2,019,516
745,260
1/10/2003
5/30/2002
Grand Junction
CO
1,121,415
2,315,649
None
None
1,121,415
2,315,649
3,437,064
366,645
1/22/2013
Westminster
CO
526,620
1,099,523
None
None
526,620
1,099,523
1,626,143
694,567
1/12/2001
1/18/2000
Destin
FL
1,034,411
1,922,591
None
None
1,034,411
1,922,591
2,957,002
778,645
11/22/2006
Fort Walton Beach
FL
635,111
1,181,032
None
None
635,111
1,181,032
1,816,143
478,314
11/22/2006
Fort Walton Beach
FL
635,111
1,181,032
None
None
635,111
1,181,032
1,816,143
478,314
11/22/2006
Lakeland
FL
500,000
645,402
None
None
500,000
645,402
1,145,402
472,408
6/4/1998
12/31/1997
Middleburg
FL
1,167,247
2,410,289
5,843
None
1,167,247
2,416,132
3,583,379
385,288
1/22/2013
Milton
FL
635,111
1,181,145
None
None
635,111
1,181,145
1,816,256
478,360
11/22/2006
Niceville
FL
920,803
1,711,621
None
None
920,803
1,711,621
2,632,424
693,203
11/22/2006
Orlando
FL
635,111
1,181,076
None
None
635,111
1,181,076
1,816,187
478,332
11/22/2006
Orlando
FL
630,244
1,172,023
None
None
630,244
1,172,023
1,802,267
474,666
11/22/2006
Oviedo
FL
971,996
1,806,780
None
None
971,996
1,806,780
2,778,776
731,742
11/22/2006
Pace
FL
630,244
1,171,993
None
None
630,244
1,171,993
1,802,237
474,653
11/22/2006
Panama City
FL
635,111
1,181,076
None
None
635,111
1,181,076
1,816,187
478,332
11/22/2006
Pensacola
FL
635,111
1,181,063
None
None
635,111
1,181,063
1,816,174
478,326
11/22/2006
Pensacola
FL
588,305
1,094,130
None
None
588,305
1,094,130
1,682,435
443,119
11/22/2006
Saint Cloud
FL
525,207
976,968
None
None
525,207
976,968
1,502,175
395,668
11/22/2006
Sanford
FL
630,244
1,172,023
None
None
630,244
1,172,023
1,802,267
474,666
11/22/2006
Tallahassee
FL
419,902
781,405
None
None
419,902
781,405
1,201,307
316,465
11/22/2006
Tallahassee
FL
611,916
1,137,986
None
None
611,916
1,137,986
1,749,902
460,880
11/22/2006
Tampa
FL
427,395
472,030
None
None
427,395
472,030
899,425
345,528
6/10/1998
12/5/1997
Union Park
FL
1,004,103
1,866,287
None
None
1,004,103
1,866,287
2,870,390
755,842
11/22/2006
Alpharetta
GA
630,244
1,171,870
None
None
630,244
1,171,870
1,802,114
474,603
11/22/2006
Atlanta
GA
55,840
258,889
16,005
14,141
55,840
289,035
344,875
280,562
11/27/1985
Canton
GA
1,010,000
1,352,903
None
None
1,010,000
1,352,903
2,362,903
137,545
6/30/2014
Columbus
GA
630,244
1,171,988
None
None
630,244
1,171,988
1,802,232
474,651
11/22/2006
Conyers
GA
531,935
1,180,296
None
None
531,935
1,180,296
1,712,231
694,093
3/28/2002
11/13/2001
Conyers
GA
635,111
1,181,027
None
None
635,111
1,181,027
1,816,138
478,312
11/22/2006
Douglasville
GA
795,842
1,643,361
None
None
795,842
1,643,361
2,439,203
260,199
1/22/2013
Duluth
GA
638,509
1,186,594
None
None
638,509
1,186,594
1,825,103
622,958
11/29/2003
Hiram
GA
635,111
1,181,017
None
None
635,111
1,181,017
1,816,128
478,308
11/22/2006
Kennesaw
GA
519,903
967,180
None
None
519,903
967,180
1,487,083
391,704
11/22/2006
Kennesaw
GA
659,964
1,827,997
None
None
659,964
1,827,997
2,487,961
289,433
1/22/2013
Lawrenceville
GA
635,111
1,181,137
None
None
635,111
1,181,137
1,816,248
478,357
11/22/2006
Lilburn
GA
994,894
1,807,565
None
None
994,894
1,807,565
2,802,459
286,198
1/22/2013
Marietta
GA
500,293
930,657
None
None
500,293
930,657
1,430,950
376,912
11/22/2006
McDonough
GA
635,111
1,181,032
None
None
635,111
1,181,032
1,816,143
478,314
11/22/2006
McDonough
GA
910,000
1,400,696
None
None
910,000
1,400,696
2,310,696
142,404
6/30/2014
Peachtree City
GA
625,316
1,162,827
None
None
625,316
1,162,827
1,788,143
470,941
11/22/2006
Roswell
GA
515,617
959,138
None
None
515,617
959,138
1,474,755
388,447
11/22/2006
Sandy Springs
GA
586,211
1,090,241
None
None
586,211
1,090,241
1,676,452
441,543
11/22/2006
Stockbridge
GA
632,128
1,175,478
None
None
632,128
1,175,478
1,807,606
476,064
11/22/2006
Aurora
IL
513,204
953,885
None
None
513,204
953,885
1,467,089
500,786
11/29/2003
Joliet
IL
452,267
840,716
None
None
452,267
840,716
1,292,983
441,372
11/29/2003
Lombard
IL
428,170
795,965
None
2,000
428,170
797,965
1,226,135
419,165
11/29/2003
Niles
IL
366,969
682,306
None
None
366,969
682,306
1,049,275
358,207
11/29/2003
Orland Park
IL
663,087
1,232,240
None
None
663,087
1,232,240
1,895,327
646,922
11/29/2003
Round Lake Beach
IL
472,132
236,585
None
None
472,132
236,585
708,717
138,400
5/14/2002
Vernon Hills
IL
524,948
975,668
None
None
524,948
975,668
1,500,616
512,222
11/29/2003
West Dundee
IL
530,835
986,628
None
None
530,835
986,628
1,517,463
517,976
11/29/2003
Overland Park
KS
1,101,841
2,047,067
None
None
1,101,841
2,047,067
3,148,908
1,074,706
11/29/2003
Wichita
KS
935,607
1,989,962
6,300
None
935,607
1,996,262
2,931,869
315,379
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Winchester
KY
355,474
929,177
20,045
22,464
355,474
971,686
1,327,160
706,882
6/30/1998
Baton Rouge
LA
1,158,316
2,391,847
None
None
1,158,316
2,391,847
3,550,163
378,709
1/22/2013
Allston
MA
576,505
1,071,520
None
None
576,505
1,071,520
1,648,025
562,543
11/29/2003
Billerica
MA
399,043
462,240
None
399,043
462,412
861,455
364,473
4/2/1997
Shrewsbury
MA
721,065
1,339,913
None
None
721,065
1,339,913
2,060,978
703,450
11/29/2003
Waltham
MA
338,955
630,279
None
None
338,955
630,279
969,234
330,893
11/29/2003
Weymouth
MA
752,234
1,397,799
None
None
752,234
1,397,799
2,150,033
733,840
11/29/2003
Woburn
MA
676,968
1,258,018
None
None
676,968
1,258,018
1,934,986
660,455
11/29/2003
Annapolis
MD
780,806
1,450,860
None
None
780,806
1,450,860
2,231,666
761,697
11/29/2003
Bowie
MD
734,558
1,364,970
None
None
734,558
1,364,970
2,099,528
716,605
11/29/2003
Capitol Heights
MD
701,705
1,303,958
None
None
701,705
1,303,958
2,005,663
684,574
11/29/2003
Germantown
MD
808,296
1,501,913
None
None
808,296
1,501,913
2,310,209
788,500
11/29/2003
Waldorf
MD
427,033
793,854
None
None
427,033
793,854
1,220,887
416,769
11/29/2003
Eagan
MN
902,443
845,536
None
None
902,443
845,536
1,747,979
621,494
6/19/1998
2/20/1998
Grandview
MO
347,150
711,024
None
None
347,150
711,024
1,058,174
520,266
8/20/1998
2/20/1998
Independence
MO
721,020
1,339,829
None
None
721,020
1,339,829
2,060,849
703,406
11/29/2003
Lake Saint Louis
MO
1,222,303
2,019,908
57,356
None
1,222,303
2,077,264
3,299,567
320,416
1/22/2013
St. Louis
MO
386,112
717,856
None
None
386,112
717,856
1,103,968
376,870
11/29/2003
Charlotte
NC
508,100
457,295
None
None
508,100
457,295
965,395
249,226
5/27/2003
Charlotte
NC
181,662
338,164
None
None
181,662
338,164
519,826
177,532
11/29/2003
Clemmons
NC
630,000
1,100,160
None
None
630,000
1,100,160
1,730,160
401,558
11/9/2007
Jamestown
NC
650,000
857,823
None
None
650,000
857,823
1,507,823
313,105
11/9/2007
Matthews
NC
489,063
909,052
None
None
489,063
909,052
1,398,115
477,248
11/29/2003
Omaha
NE
253,128
810,922
None
253,128
810,954
1,064,082
560,965
7/22/1999
3/4/1999
Manchester
NH
722,532
1,342,636
None
None
722,532
1,342,636
2,065,168
704,880
11/29/2003
Newington
NH
690,753
1,283,624
None
None
690,753
1,283,624
1,974,377
673,899
11/29/2003
Salem
NH
597,833
1,111,059
None
None
597,833
1,111,059
1,708,892
583,302
11/29/2003
Deptford
NJ
619,376
1,151,062
None
None
619,376
1,151,062
1,770,438
604,303
11/29/2003
Maple Shade
NJ
508,285
944,750
None
None
508,285
944,750
1,453,035
495,990
11/29/2003
Northfield
NJ
1,364,997
2,361,337
None
None
1,364,997
2,361,337
3,726,334
373,878
1/22/2013
Albuquerque
NM
1,210,015
2,498,602
None
None
1,210,015
2,498,602
3,708,617
395,612
1/22/2013
Akron
OH
242,133
450,467
None
None
242,133
450,467
692,600
236,491
11/29/2003
Cambridge
OH
103,368
192,760
None
None
103,368
192,760
296,128
101,195
11/29/2003
Canton
OH
337,161
626,948
None
None
337,161
626,948
964,109
329,144
11/29/2003
Cleveland
OH
582,107
1,081,848
None
None
582,107
1,081,848
1,663,955
567,966
11/29/2003
Columbus
OH
385,878
717,422
None
None
385,878
717,422
1,103,300
376,643
11/29/2003
Edmond
OK
1,240,403
2,561,350
None
None
1,240,403
2,561,350
3,801,753
405,547
1/22/2013
Oklahoma City
OK
509,370
752,691
None
None
509,370
752,691
1,262,061
528,309
4/14/1999
9/24/1998
Oklahoma City
OK
1,127,056
2,327,297
14,950
None
1,127,056
2,342,247
3,469,303
368,644
1/22/2013
Owasso
OK
1,078,296
2,226,612
5,698
None
1,078,296
2,232,310
3,310,606
356,998
1/22/2013
Tulsa
OK
964,367
1,996,137
5,993
None
964,367
2,002,130
2,966,497
320,068
1/22/2013
Yukon
OK
1,173,070
2,422,313
10,243
None
1,173,070
2,432,556
3,605,626
389,244
1/22/2013
Greensburg
PA
594,891
1,105,589
None
None
594,891
1,105,589
1,700,480
580,430
11/29/2003
Lancaster
PA
431,050
801,313
None
None
431,050
801,313
1,232,363
420,685
11/29/2003
Mechanicsburg
PA
455,854
847,377
None
None
455,854
847,377
1,303,231
444,869
11/29/2003
Monroeville
PA
723,660
1,344,733
None
None
723,660
1,344,733
2,068,393
705,981
11/29/2003
Philadelphia
PA
334,939
622,821
None
None
334,939
622,821
957,760
326,977
11/29/2003
Pittsburgh
PA
384,756
715,339
None
None
384,756
715,339
1,100,095
375,549
11/29/2003
York
PA
389,291
723,760
None
None
389,291
723,760
1,113,051
379,970
11/29/2003
Columbia
SC
343,785
295,001
183,130
None
343,785
478,131
821,916
405,919
5/27/1997
2/7/1997
Sioux Falls
SD
332,979
498,108
None
None
332,979
498,108
831,087
366,124
6/1/1999
2/27/1998
Goodlettsville
TN
601,306
1,117,504
None
None
601,306
1,117,504
1,718,810
586,685
11/29/2003
Hermitage
TN
560,443
1,011,799
None
None
560,443
1,011,799
1,572,242
583,267
10/15/2001
5/9/2001
Allen
TX
1,162,614
2,400,722
46,748
None
1,162,614
2,447,470
3,610,084
392,386
1/22/2013
Arlington
TX
599,558
1,114,256
None
None
599,558
1,114,256
1,713,814
584,980
11/29/2003
Austin
TX
185,454
411,899
None
None
185,454
411,899
597,353
411,899
2/6/1990
Austin
TX
710,485
1,320,293
None
None
710,485
1,320,293
2,030,778
693,149
11/29/2003
Austin
TX
590,828
1,098,073
None
None
590,828
1,098,073
1,688,901
576,483
11/29/2003
Austin
TX
569,909
1,059,195
None
None
569,909
1,059,195
1,629,104
556,073
11/29/2003
Austin
TX
532,497
989,715
None
None
532,497
989,715
1,522,212
519,596
11/29/2003
Austin
TX
1,066,021
2,201,264
None
None
1,066,021
2,201,264
3,267,285
348,534
1/22/2013
Carrollton
TX
568,401
1,056,394
None
None
568,401
1,056,394
1,624,795
554,603
11/29/2003
Conroe
TX
396,068
736,346
None
None
396,068
736,346
1,132,414
386,577
11/29/2003
Crowley
TX
1,103,218
2,278,074
None
None
1,103,218
2,278,074
3,381,292
360,695
1/22/2013
Dallas
TX
191,267
424,811
None
None
191,267
424,811
616,078
424,811
1/26/1990
Fort Worth
TX
543,950
1,010,984
None
None
543,950
1,010,984
1,554,934
530,763
11/29/2003
Garland
TX
242,887
539,461
33,982
26,371
242,887
599,814
842,701
550,791
1/19/1990
Houston
TX
151,018
335,417
None
151,018
335,475
486,493
335,444
1/25/1990
Houston
TX
392,113
729,002
None
None
392,113
729,002
1,121,115
382,722
11/29/2003
Houston
TX
1,030,379
1,914,353
None
None
1,030,379
1,914,353
2,944,732
1,005,031
11/29/2003
Houston
TX
619,101
1,150,551
None
None
619,101
1,150,551
1,769,652
604,035
11/29/2003
Houston
TX
642,495
1,193,997
None
None
642,495
1,193,997
1,836,492
626,844
11/29/2003
Houston
TX
872,866
1,621,829
None
None
872,866
1,621,829
2,494,695
851,456
11/29/2003
Humble
TX
612,414
1,138,132
None
None
612,414
1,138,132
1,750,546
597,515
11/29/2003
League City
TX
1,032,003
2,131,018
None
None
1,032,003
2,131,018
3,163,021
337,411
1/22/2013
Leon Valley
TX
178,221
395,834
None
None
178,221
395,834
574,055
395,834
1/17/1990
Leon Valley
TX
529,967
985,046
None
None
529,967
985,046
1,515,013
517,144
11/29/2003
Mesquite
TX
591,538
1,099,363
None
None
591,538
1,099,363
1,690,901
577,162
11/29/2003
Pasadena
TX
107,391
238,519
None
107,391
238,577
345,968
238,546
1/24/1990
Pasedena
TX
147,535
274,521
10,646
11,252
147,535
296,419
443,954
205,160
12/31/1998
Pearland
TX
935,739
1,932,240
None
None
935,739
1,932,240
2,867,979
305,938
1/22/2013
Plano
TX
187,564
417,157
187,564
417,948
605,512
417,078
1/18/1990
Plano
TX
494,407
918,976
None
None
494,407
918,976
1,413,383
482,458
11/29/2003
Richardson
TX
555,188
1,031,855
None
None
555,188
1,031,855
1,587,043
541,720
11/29/2003
Rockwall
TX
1,178,158
2,432,819
None
None
1,178,158
2,432,819
3,610,977
385,196
1/22/2013
San Antonio
TX
245,164
544,518
None
None
245,164
544,518
789,682
544,518
2/14/1990
San Antonio
TX
688,249
1,278,967
None
None
688,249
1,278,967
1,967,216
671,454
11/29/2003
Stafford
TX
706,786
1,313,395
None
None
706,786
1,313,395
2,020,181
689,528
11/29/2003
Waco
TX
401,999
747,362
None
None
401,999
747,362
1,149,361
392,361
11/29/2003
Weatherford
TX
971,317
2,005,706
None
None
971,317
2,005,706
2,977,023
317,570
1/22/2013
Webster
TX
600,261
1,115,563
None
None
600,261
1,115,563
1,715,824
585,666
11/29/2003
Bountiful
UT
183,750
408,115
None
None
183,750
408,115
591,865
408,115
1/30/1990
Alexandria
VA
542,791
1,008,832
None
None
542,791
1,008,832
1,551,623
529,633
11/29/2003
Alexandria
VA
592,698
1,101,517
None
None
592,698
1,101,517
1,694,215
578,292
11/29/2003
Chesapeake
VA
770,000
1,112,334
None
None
770,000
1,112,334
1,882,334
406,002
11/9/2007
Chester
VA
1,204,525
2,487,265
None
None
1,204,525
2,487,265
3,691,790
393,817
1/22/2013
Lynchburg
VA
342,751
637,329
None
None
342,751
637,329
980,080
334,594
11/29/2003
Virginia Beach
VA
780,000
1,026,384
None
None
780,000
1,026,384
1,806,384
374,630
11/9/2007
Woodbridge
VA
774,854
1,439,806
None
None
774,854
1,439,806
2,214,660
755,894
11/29/2003
Lakewood
WA
187,111
415,579
None
None
187,111
415,579
602,690
415,579
1/25/1990
Brown Deer
WI
257,408
802,141
None
None
257,408
802,141
1,059,549
578,941
12/15/1998
7/16/1998
Delafield
WI
324,574
772,702
None
None
324,574
772,702
1,097,276
533,797
7/29/1999
2/26/1999
Madison
WI
452,630
811,977
None
None
452,630
811,977
1,264,607
591,446
10/20/1998
4/7/1998
Milwaukee
WI
1,304,098
2,692,877
None
None
1,304,098
2,692,877
3,996,975
426,372
1/22/2013
Oak Creek
WI
420,465
852,408
None
None
420,465
852,408
1,272,873
620,897
8/7/1998
3/20/1998
Beverages
Calistoga
CA
12,677,285
2,750,715
None
None
12,677,285
2,750,715
15,428,000
735,409
6/25/2010
Calistoga
CA
5,445,030
21,154,970
None
None
5,445,030
21,154,970
26,600,000
5,535,550
6/25/2010
Calistoga
CA
6,039,131
1,576,869
None
None
6,039,131
1,576,869
7,616,000
412,614
6/25/2010
Calistoga
CA
4,988,527
1,999,473
None
None
4,988,527
1,999,473
6,988,000
526,115
6/25/2010
Calistoga
CA
8,146,907
2,067,093
None
None
8,146,907
2,067,093
10,214,000
540,889
6/25/2010
Calistoga
CA
12,675,172
4,907,828
None
None
12,675,172
4,907,828
17,583,000
1,286,995
6/25/2010
Calistoga
CA
45,184,528
10,437,472
None
None
45,184,528
10,437,472
55,622,000
2,738,437
6/25/2010
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Calistoga
CA
10,630,191
5,580,929
None
None
10,630,191
5,580,929
16,211,120
1,350,265
12/15/2010
Calistoga
CA
6,860,862
524,117
None
None
6,860,862
524,117
7,384,979
105,697
12/15/2011
Napa
CA
6,000,000
25,000,000
None
None
6,000,000
25,000,000
31,000,000
6,541,667
6/25/2010
Napa
CA
11,253,989
2,846,011
None
None
11,253,989
2,846,011
14,100,000
750,545
6/25/2010
Napa
CA
17,590,091
5,898,149
None
None
17,590,091
5,898,149
23,488,240
1,609,240
6/25/2010
Napa
CA
23,471,336
6,589,664
None
None
23,471,336
6,589,664
30,061,000
1,734,721
6/25/2010
Napa
CA
10,777,485
390,515
None
None
10,777,485
390,515
11,168,000
105,125
9/17/2010
Napa
CA
4,675,262
298,928
None
None
4,675,262
298,928
4,974,190
72,241
12/15/2010
Paicines
CA
12,058,127
1,607,783
None
None
12,058,127
1,607,783
13,665,910
505,430
12/15/2010
Saint Helena
CA
15,254,700
4,150,300
None
None
15,254,700
4,150,300
19,405,000
1,105,846
6/25/2010
Shreveport
LA
1,320,003
8,130,438
None
1,320,003
8,130,585
9,450,588
1,856,597
4/22/2011
Book stores
Tampa
FL
998,250
3,696,707
129,751
998,250
3,826,537
4,824,787
2,963,972
3/11/1997
Child care
Hoover
AL
63,800
295,791
58,263
16,414
63,800
370,468
434,268
319,121
10/31/1984
Avondale
AZ
242,723
1,129,139
None
None
242,723
1,129,139
1,371,862
792,366
4/20/1999
7/28/1998
Chandler
AZ
291,720
647,923
None
None
291,720
647,923
939,643
647,923
12/11/1987
Chandler
AZ
271,695
603,446
9,758
19,469
271,695
632,673
904,368
626,919
12/14/1987
Mesa
AZ
308,951
1,025,612
None
None
308,951
1,025,612
1,334,563
709,419
7/26/1999
1/13/1999
Phoenix
AZ
260,719
516,181
52,737
32,125
260,719
601,043
861,762
541,817
12/26/1990
Scottsdale
AZ
291,993
648,529
None
None
291,993
648,529
940,522
648,529
12/14/1987
Scottsdale
AZ
264,504
587,471
None
27,467
264,504
614,938
879,442
614,928
6/29/1990
Tempe
AZ
292,200
648,989
None
292,200
649,153
941,353
649,143
3/10/1988
Tucson
AZ
283,500
546,878
7,228
283,500
554,405
837,905
547,466
9/29/1988
Calabasas
CA
156,430
725,248
100,838
58,367
156,430
884,453
1,040,883
849,808
9/26/1985
Carmichael
CA
131,035
607,507
80,368
21,673
131,035
709,548
840,583
661,232
8/22/1986
Chino
CA
155,000
634,071
None
32,148
155,000
666,219
821,219
647,032
10/6/1983
Chula Vista
CA
350,563
778,614
None
43,353
350,563
821,967
1,172,530
821,967
10/30/1987
El Cajon
CA
157,804
731,621
2,540
44,802
157,804
778,963
936,767
777,746
12/19/1985
Escondido
CA
276,286
613,638
5,000
44,375
276,286
663,013
939,299
657,183
12/31/1987
Folsom
CA
281,563
625,363
None
None
281,563
625,363
906,926
625,363
10/23/1987
Gold River
CA
276,328
613,733
24,967
None
276,328
638,700
915,028
636,238
3/22/1989
Mission Viejo
CA
353,891
744,367
12,500
None
353,891
756,867
1,110,758
718,678
6/24/1993
Oceanside
CA
145,568
674,889
52,954
None
145,568
727,843
873,411
689,693
12/23/1985
Palmdale
CA
249,490
554,125
9,864
None
249,490
563,989
813,479
563,989
9/14/1988
Rancho Cucamonga
CA
471,733
1,047,739
273,383
471,733
1,321,292
1,793,025
1,119,649
12/30/1987
Simi Valley
CA
208,585
967,055
79,082
208,585
1,046,245
1,254,830
1,023,329
12/20/1985
Valencia
CA
301,295
669,185
70,470
301,295
739,701
1,040,996
718,924
6/23/1988
Walnut
CA
217,365
1,007,753
57,287
51,049
217,365
1,116,089
1,333,454
1,054,813
8/22/1986
Aurora
CO
287,000
637,440
20,313
18,188
287,000
675,941
962,941
657,629
12/31/1987
Broomfield
CO
155,306
344,941
25,000
155,306
370,023
525,329
367,707
3/15/1988
Colorado Springs
CO
58,400
271,217
25,000
58,400
296,299
354,699
292,311
12/22/1982
Fort Collins
CO
55,200
256,356
15,030
55,200
271,465
326,665
261,129
12/22/1982
Greenwood Village
CO
131,216
608,372
52,959
131,216
662,050
793,266
618,154
12/5/1986
Littleton
CO
161,617
358,956
None
161,617
359,038
520,655
359,038
12/10/1987
Longmont
CO
115,592
535,931
None
115,592
536,002
651,594
536,002
3/25/1986
Parker
CO
153,551
341,042
None
153,551
341,124
494,675
341,124
10/19/1987
Westminster
CO
306,387
695,737
170,091
11,233
306,387
877,061
1,183,448
722,546
9/27/1989
Bradenton
FL
160,060
355,501
25,000
160,060
380,580
540,640
377,640
5/5/1988
Clearwater
FL
42,223
269,380
None
42,223
269,459
311,682
269,459
12/22/1981
Jacksonville
FL
48,000
243,060
None
None
48,000
243,060
291,060
243,060
12/22/1981
Jacksonville
FL
184,800
410,447
22,872
None
184,800
433,319
618,119
429,319
3/30/1989
Margate
FL
66,686
309,183
None
None
66,686
309,183
375,869
309,183
12/16/1986
Melbourne
FL
256,439
549,345
None
256,439
549,424
805,863
525,208
4/16/1993
Niceville
FL
73,696
341,688
None
None
73,696
341,688
415,384
341,688
12/3/1986
Orlando
FL
68,001
313,922
None
68,001
314,062
382,063
313,966
9/4/1985
Orlando
FL
159,177
353,538
None
159,177
353,692
512,869
353,691
7/2/1987
Oviedo
FL
166,409
369,598
38,918
19,157
166,409
427,673
594,082
376,609
11/20/1987
Panama City
FL
69,500
244,314
82,701
None
69,500
327,015
396,515
291,296
6/15/1982
Pensacola
FL
147,000
326,492
20,000
None
147,000
346,492
493,492
338,804
3/28/1989
Royal Palm Beach
FL
194,193
431,309
25,000
None
194,193
456,309
650,502
450,337
11/15/1988
Saint Augustine
FL
44,800
213,040
23,090
None
44,800
236,130
280,930
228,443
12/22/1981
Sunrise
FL
245,000
533,280
92,266
245,000
625,699
870,699
595,450
5/25/1989
Tampa
FL
53,385
199,846
None
53,385
200,000
253,385
200,000
12/22/1981
Duluth
GA
310,000
1,040,008
None
None
310,000
1,040,008
1,350,008
715,922
8/25/1999
6/7/1999
Ellenwood
GA
119,678
275,414
58,545
119,678
334,231
453,909
305,001
11/16/1988
Lawrenceville
GA
141,449
314,161
156,426
14,612
141,449
485,199
626,648
420,391
7/7/1988
Lithia Springs
GA
187,444
363,358
None
187,444
363,442
550,886
363,442
12/28/1989
Lithonia
GA
239,715
524,459
24,410
239,715
549,249
788,964
539,267
8/20/1991
Marietta
GA
148,620
330,090
25,000
None
148,620
355,090
503,710
352,654
9/16/1988
Marietta
GA
295,750
596,299
76,426
None
295,750
672,725
968,475
602,387
12/30/1988
Marietta
GA
301,000
668,529
71,474
19,961
301,000
759,964
1,060,964
720,426
12/30/1988
Smyrna
GA
274,750
610,229
None
None
274,750
610,229
884,979
610,229
11/15/1988
Stockbridge
GA
168,700
374,688
85,264
5,382
168,700
465,334
634,034
414,601
3/28/1989
Cedar Rapids
IA
194,950
427,085
None
None
194,950
427,085
622,035
417,211
9/24/1992
Iowa City
IA
186,900
408,910
None
None
186,900
408,910
595,810
399,444
9/24/1992
Addison
IL
125,780
583,146
None
125,780
583,278
709,058
583,278
3/25/1986
Algonquin
IL
241,500
509,629
28,260
241,500
538,472
779,972
519,829
7/10/1990
Aurora
IL
165,679
398,738
105,300
21,963
165,679
526,001
691,680
438,312
12/21/1988
Aurora
IL
468,000
1,259,926
None
None
468,000
1,259,926
1,727,926
858,940
10/26/1999
6/14/1999
Bartlett
IL
120,824
560,166
74,917
12,101
120,824
647,184
768,008
592,390
3/25/1986
Carol Stream
IL
122,831
586,416
None
122,831
586,548
709,379
586,548
3/25/1986
Crystal Lake
IL
400,000
1,259,424
None
None
400,000
1,259,424
1,659,424
862,786
9/28/1999
5/14/1999
Glendale Heights
IL
318,500
707,399
None
None
318,500
707,399
1,025,899
707,399
11/16/1988
Hoffman Estates
IL
318,500
707,399
None
318,500
707,484
1,025,984
707,484
3/31/1989
Homer Glen
IL
189,477
442,018
None
189,477
442,673
632,150
442,127
10/29/1987
Lake In The Hills
IL
375,000
1,127,678
None
None
375,000
1,127,678
1,502,678
772,537
9/3/1999
5/14/1999
Naperville
IL
425,000
1,230,654
None
None
425,000
1,230,654
1,655,654
838,979
10/6/1999
5/19/1999
O’Fallon
IL
141,250
313,722
None
141,250
313,954
455,204
313,953
10/30/1987
Oswego
IL
380,000
1,165,818
None
None
380,000
1,165,818
1,545,818
802,525
8/18/1999
6/30/1999
Palatine
IL
121,911
565,232
None
121,911
565,364
687,275
565,365
3/25/1986
Roselle
IL
297,541
561,037
None
None
297,541
561,037
858,578
561,037
12/30/1988
Schaumburg
IL
218,798
485,955
20,461
None
218,798
506,416
725,214
498,569
12/17/1987
Vernon Hills
IL
132,523
614,430
None
132,523
615,013
747,536
614,661
3/25/1986
Westmont
IL
124,742
578,330
77,621
24,741
124,742
680,692
805,434
611,396
3/25/1986
Fishers
IN
212,118
419,958
26,509
11,338
212,118
457,805
669,923
435,381
12/27/1990
Highland
IN
220,460
436,476
None
None
220,460
436,476
656,936
436,476
12/26/1990
Indianapolis
IN
245,000
544,153
None
None
245,000
544,153
789,153
544,153
6/29/1990
Lenexa
KS
318,500
707,399
98,590
318,500
806,116
1,124,616
734,462
3/31/1989
Olathe
KS
304,500
676,308
87,242
304,500
763,594
1,068,094
717,576
9/28/1988
Overland Park
KS
357,500
1,115,171
None
None
357,500
1,115,171
1,472,671
771,364
7/23/1999
5/14/1999
Shawnee
KS
315,000
699,629
None
315,000
699,880
1,014,880
699,838
10/27/1988
Shawnee
KS
288,246
935,875
None
288,246
936,002
1,224,248
669,277
12/29/1998
8/24/1998
Wichita
KS
209,890
415,549
33,984
16,592
209,890
466,125
676,015
454,966
12/26/1990
Acton
MA
315,533
700,813
None
None
315,533
700,813
1,016,346
700,813
9/30/1988
Westborough
MA
359,412
773,877
63,037
22,260
359,412
859,174
1,218,586
818,593
11/1/1988
Ellicott City
MD
219,368
630,839
26,550
None
219,368
657,389
876,757
653,055
12/19/1988
Frederick
MD
203,352
1,017,109
None
2,874
203,352
1,019,983
1,223,335
753,041
7/6/1998
Olney
MD
342,500
760,701
4,400
41,272
342,500
806,373
1,148,873
797,101
12/18/1987
Waldorf
MD
130,430
604,702
None
130,430
605,087
735,517
604,998
9/26/1984
Waldorf
MD
237,207
526,844
None
237,207
527,016
764,223
527,015
12/31/1987
Canton
MI
55,000
378,848
2,913
55,000
382,065
437,065
381,071
10/6/1982
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Apple Valley
MN
113,523
526,319
87,374
13,814
113,523
627,507
741,030
547,722
3/26/1986
Brooklyn Park
MN
118,111
547,587
None
118,111
547,784
665,895
547,784
3/26/1986
Eden Prairie
MN
124,286
576,243
None
124,286
576,440
700,726
576,440
3/27/1986
Maple Grove
MN
313,250
660,149
None
313,250
660,437
973,687
660,268
7/11/1990
Plymouth
MN
134,221
622,350
None
134,221
622,547
756,768
622,547
12/12/1986
Saint Paul
MN
242,165
537,856
None
242,165
538,144
780,309
537,974
8/30/1990
Florissant
MO
318,500
707,399
102,410
318,500
810,065
1,128,565
750,744
3/30/1989
Gladstone
MO
294,000
652,987
66,064
2,763
294,000
721,814
1,015,814
659,548
9/29/1988
Kansas City
MO
307,784
910,401
None
None
307,784
910,401
1,218,185
656,485
9/28/1999
8/21/1998
Lee’s Summit
MO
239,627
532,220
97,856
15,958
239,627
646,034
885,661
538,763
9/27/1989
Lee’s Summit
MO
330,000
993,787
40,769
330,000
1,034,716
1,364,716
690,317
7/26/1999
6/17/1999
Lee’s Summit
MO
313,740
939,367
None
None
313,740
939,367
1,253,107
646,645
9/8/1999
6/30/1999
Jackson
MS
248,483
572,522
54,227
17,780
248,483
644,529
893,012
429,873
11/16/1999
Tupelo
MS
121,697
637,691
87,858
121,697
725,605
847,302
538,013
11/26/1996
Cary
NC
75,200
262,973
15,000
None
75,200
277,973
353,173
271,182
1/25/1984
Charlotte
NC
134,582
268,222
24,478
None
134,582
292,700
427,282
290,371
11/16/1988
Concord
NC
32,441
190,859
None
None
32,441
190,859
223,300
190,859
12/23/1981
Durham
NC
175,700
390,234
26,312
None
175,700
416,546
592,246
413,660
3/29/1989
Durham
NC
220,728
429,380
None
None
220,728
429,380
650,108
429,380
12/29/1989
Kernersville
NC
162,216
316,300
28,800
None
162,216
345,100
507,316
317,320
12/14/1989
Bellevue
NE
60,568
280,819
None
None
60,568
280,819
341,387
280,819
12/16/1986
Omaha
NE
60,500
280,491
None
60,500
280,523
341,023
280,520
8/1/1984
Omaha
NE
53,000
245,720
72,027
53,000
317,779
370,779
262,095
10/11/1984
Omaha
NE
142,867
317,315
None
142,867
317,347
460,214
317,344
12/9/1987
Londonderry
NH
335,467
745,082
86,581
11,802
335,467
843,465
1,178,932
786,086
8/18/1989
Las Vegas
NV
201,250
446,983
37,014
6,657
201,250
490,654
691,904
460,245
6/29/1990
Beavercreek
OH
179,552
398,786
None
None
179,552
398,786
578,338
398,786
6/30/1987
Centerville
OH
174,519
387,613
79,900
174,519
467,874
642,393
392,009
7/23/1987
Cincinnati
OH
170,778
379,305
None
170,778
379,390
550,168
379,389
9/28/1987
Dublin
OH
84,000
389,446
None
None
84,000
389,446
473,446
389,446
10/8/1985
Englewood
OH
74,000
343,083
None
74,000
343,168
417,168
343,168
10/23/1985
Huber Heights
OH
245,000
544,153
None
None
245,000
544,153
789,153
544,153
9/27/1990
Pickerington
OH
87,580
406,055
None
None
87,580
406,055
493,635
406,055
12/11/1986
Westerville
OH
82,000
380,173
None
None
82,000
380,173
462,173
380,173
10/8/1985
Broken Arrow
OK
78,705
220,434
None
None
78,705
220,434
299,139
220,434
1/27/1983
Midwest City
OK
67,800
314,338
None
None
67,800
314,338
382,138
314,338
8/14/1985
Oklahoma City
OK
50,800
214,474
None
None
50,800
214,474
265,274
214,474
6/15/1982
Oklahoma City
OK
79,000
366,261
17,659
None
79,000
383,920
462,920
383,921
11/14/1984
Yukon
OK
61,000
282,812
27,000
None
61,000
309,812
370,812
307,097
5/2/1985
Charleston
SC
140,700
312,498
25,000
140,700
337,651
478,351
334,092
3/28/1989
Columbia
SC
58,160
269,643
None
None
58,160
269,643
327,803
269,643
11/14/1984
Columbia
SC
160,831
313,600
None
None
160,831
313,600
474,431
313,600
12/14/1989
Goose Creek
SC
61,635
192,905
None
61,635
193,058
254,693
193,058
12/22/1981
North Charleston
SC
125,593
278,947
12,126
14,855
125,593
305,928
431,521
294,743
5/26/1988
Summerville
SC
44,400
174,500
None
44,400
174,653
219,053
174,653
12/22/1981
Memphis
TN
238,000
528,608
157,924
9,063
238,000
695,595
933,595
548,212
9/30/1988
Arlington
TX
241,500
550,559
45,046
241,500
595,847
837,347
587,031
9/22/1989
Austin
TX
88,872
222,684
54,562
88,872
277,527
366,399
263,921
1/12/1983
Austin
TX
134,383
623,103
2,379
21,981
134,383
647,463
781,846
635,059
12/23/1986
Austin
TX
191,636
425,629
15,530
None
191,636
441,159
632,795
441,159
12/22/1988
Austin
TX
217,878
483,913
148,301
9,167
217,878
641,381
859,259
543,194
6/22/1989
Bedford
TX
241,500
550,559
34,949
None
241,500
585,508
827,008
585,507
9/22/1989
Carrollton
TX
277,850
617,113
52,614
277,850
669,988
947,838
639,435
12/11/1987
Cedar Park
TX
168,857
375,036
5,200
168,857
380,375
549,232
380,375
11/21/1988
Colleyville
TX
250,000
1,070,360
None
250,000
1,070,462
1,320,462
736,894
8/17/1999
5/14/1999
Corinth
TX
285,000
1,041,626
None
None
285,000
1,041,626
1,326,626
723,925
6/4/1999
5/19/1999
Euless
TX
234,111
519,962
None
None
234,111
519,962
754,073
519,962
5/8/1987
Flower Mound
TX
202,773
442,845
32,069
16,315
202,773
491,229
694,002
478,430
4/20/1987
Flower Mound
TX
281,735
1,099,726
46,581
31,678
281,735
1,177,985
1,459,720
803,296
4/23/1999
1/13/1999
Fort Worth
TX
85,518
396,495
54,750
12,923
85,518
464,168
549,686
426,394
12/3/1986
Fort Worth
TX
238,000
528,608
73,662
238,000
602,361
840,361
556,856
9/26/1988
Fort Worth
TX
216,160
427,962
None
216,160
428,016
644,176
428,015
2/7/1991
Grand Prairie
TX
167,164
371,276
58,206
16,456
167,164
445,938
613,102
432,931
12/13/1988
Houston
TX
139,125
308,997
19,128
139,125
328,411
467,536
327,793
5/22/1987
Houston
TX
149,109
323,314
27,979
149,109
351,538
500,647
335,903
6/26/1989
Houston
TX
294,582
919,276
None
None
294,582
919,276
1,213,858
654,267
1/11/1999
8/14/1998
Humble
TX
278,915
1,034,868
None
None
278,915
1,034,868
1,313,783
715,814
7/19/1999
5/14/1999
Katy
TX
309,898
983,041
None
None
309,898
983,041
1,292,939
706,177
11/30/1998
8/21/1998
Lewisville
TX
192,777
428,121
47,371
192,777
475,587
668,364
449,005
1/7/1987
Mansfield
TX
181,375
402,839
46,878
181,375
449,800
631,175
436,602
12/20/1989
Mesquite
TX
85,000
394,079
16,984
85,000
411,154
496,154
404,118
10/24/1984
Mesquite
TX
139,466
326,525
60,455
139,466
387,660
527,126
353,833
10/8/1992
Plano
TX
261,912
581,658
52,751
261,912
634,568
896,480
609,402
1/6/1987
Plano
TX
250,514
556,399
33,978
250,514
590,802
841,316
572,666
12/10/1987
San Antonio
TX
130,833
606,596
43,050
22,373
130,833
672,019
802,852
634,945
3/24/1986
San Antonio
TX
102,512
475,288
54,593
16,961
102,512
546,842
649,354
499,632
12/3/1986
San Antonio
TX
81,530
378,007
None
None
81,530
378,007
459,537
378,007
12/11/1986
San Antonio
TX
181,412
402,923
None
181,412
403,062
584,474
403,063
7/7/1987
San Antonio
TX
234,500
520,831
None
234,500
520,970
755,470
520,970
12/29/1987
San Antonio
TX
217,000
481,967
32,529
None
217,000
514,496
731,496
514,496
10/14/1988
San Antonio
TX
182,868
406,155
18,940
None
182,868
425,095
607,963
425,095
12/6/1988
San Antonio
TX
220,500
447,108
None
None
220,500
447,108
667,608
447,108
3/30/1989
Sugar Land
TX
339,310
1,000,876
None
None
339,310
1,000,876
1,340,186
698,943
5/30/1999
1/13/1999
Layton
UT
136,574
269,008
None
None
136,574
269,008
405,582
269,008
2/1/1990
Sandy
UT
168,089
373,330
None
None
168,089
373,330
541,419
373,330
2/1/1990
Centreville
VA
371,000
824,003
None
371,000
824,466
1,195,466
824,456
9/29/1989
Chesapeake
VA
190,050
422,107
24,568
None
190,050
446,675
636,725
443,585
3/28/1989
Glen Allen
VA
74,643
346,060
None
74,643
346,213
420,856
346,214
6/20/1984
Portsmouth
VA
171,575
381,073
24,932
None
171,575
406,005
577,580
402,954
12/21/1988
Virginia Beach
VA
69,080
320,270
29,024
None
69,080
349,294
418,374
335,096
11/15/1984
Federal Way
WA
150,785
699,101
None
150,785
699,208
849,993
699,207
12/17/1986
Federal Way
WA
261,943
581,782
27,500
261,943
609,389
871,332
605,401
11/21/1988
Kent
WA
128,300
539,141
None
None
128,300
539,141
667,441
539,141
6/3/1983
Kent
WA
140,763
678,809
36,500
None
140,763
715,309
856,072
715,309
12/17/1986
Kirkland
WA
301,000
668,534
None
301,000
668,641
969,641
668,641
3/31/1988
Puyallup
WA
195,552
434,327
27,000
195,552
461,434
656,986
457,860
12/6/1988
Redmond
WA
279,830
621,513
None
279,830
621,620
901,450
621,620
7/27/1987
Renton
WA
111,183
515,490
None
None
111,183
515,490
626,673
515,490
3/24/1986
Appleton
WI
196,000
424,038
None
196,000
424,447
620,447
424,426
7/10/1990
Waukesha
WI
233,100
461,500
None
233,100
461,711
694,811
461,690
12/13/1990
Waukesha
WI
215,950
427,546
None
215,950
427,955
643,905
427,933
12/13/1990
Consumer appliances
North Liberty
IA
6,395,970
19,385,806
None
None
6,395,970
19,385,806
25,781,776
2,192,442
1/22/2013
Greenville
OH
1,704,130
21,387,076
None
1,704,130
21,387,131
23,091,261
2,317,033
7/31/2012
Marion
OH
801,003
25,410,810
None
None
801,003
25,410,810
26,211,813
2,873,842
1/22/2013
Consumer electronics
Tampa
FL
401,874
933,768
103,336
32,053
401,874
1,069,157
1,471,031
843,540
12/23/1997
Smyrna
GA
1,094,058
3,090,236
None
None
1,094,058
3,090,236
4,184,294
2,415,420
6/9/1997
Jackson
MI
550,162
571,590
None
550,162
571,800
1,121,962
408,895
1/15/1999
9/25/1998
Pineville
NC
567,864
840,284
37,249
567,864
877,686
1,445,550
632,511
12/31/1998
Albion
NY
170,589
317,424
100,000
7,680
170,589
425,104
595,693
231,329
3/31/1999
Wellsville
NY
161,331
300,231
75,000
5,760
161,331
380,991
542,322
214,364
3/31/1999
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Westbury
NY
6,333,590
3,952,773
350,880
None
6,333,590
4,303,653
10,637,243
3,147,656
9/29/1997
Austin
TX
3,630,000
5,083,734
None
None
3,630,000
5,083,734
8,713,734
482,955
8/19/2014
Fredericksburg
VA
2,060,000
3,900,193
None
None
2,060,000
3,900,193
5,960,193
32,502
10/31/2016
Consumer goods
West Branch
IA
969,797
19,896,576
125,814
969,797
20,023,096
20,992,893
3,443,030
9/20/2012
DeKalb
IL
3,507,503
50,808,610
None
None
3,507,503
50,808,610
54,316,113
5,746,212
1/22/2013
Loves Park
IL
1,010,778
10,068,142
None
None
1,010,778
10,068,142
11,078,920
1,138,659
1/22/2013
Rural Hall
NC
710,000
17,739,591
63,900
None
710,000
17,803,491
18,513,491
658,151
9/22/2015
Grantsville
UT
1,719,381
40,160,295
None
None
1,719,381
40,160,295
41,879,676
4,541,938
1/22/2013
Convenience stores
Daphne
AL
140,000
391,637
None
None
140,000
391,637
531,637
200,385
3/18/2004
Mobile
AL
190,000
301,637
None
None
190,000
301,637
491,637
154,335
3/18/2004
Mobile
AL
180,000
421,637
None
None
180,000
421,637
601,637
215,735
3/18/2004
North Little Rock
AR
1,138,381
2,112,637
1,500
None
1,138,381
2,114,137
3,252,518
320,979
3/29/2013
Florence
AZ
150,000
371,637
None
None
150,000
371,637
521,637
190,152
3/18/2004
Gilbert
AZ
680,000
1,111,637
None
None
680,000
1,111,637
1,791,637
568,785
3/18/2004
Glendale
AZ
610,000
531,637
None
None
610,000
531,637
1,141,637
272,018
3/18/2004
Glendale
AZ
400,000
931,637
None
None
400,000
931,637
1,331,637
476,685
3/18/2004
Maricopa
AZ
170,000
361,637
None
None
170,000
361,637
531,637
185,035
3/18/2004
Mesa
AZ
560,000
821,637
None
None
560,000
821,637
1,381,637
420,402
3/18/2004
Mesa
AZ
750,000
1,071,637
None
None
750,000
1,071,637
1,821,637
548,318
3/18/2004
Mesa
AZ
810,000
1,061,637
None
None
810,000
1,061,637
1,871,637
543,202
3/18/2004
Mesa
AZ
890,000
1,081,637
None
None
890,000
1,081,637
1,971,637
553,435
3/18/2004
Mesa
AZ
780,000
1,071,637
None
None
780,000
1,071,637
1,851,637
548,318
3/18/2004
Mesa
AZ
900,000
1,191,637
None
None
900,000
1,191,637
2,091,637
609,718
3/18/2004
Payson
AZ
210,000
351,637
None
None
210,000
351,637
561,637
179,918
3/18/2004
Payson
AZ
260,000
311,637
None
None
260,000
311,637
571,637
159,452
3/18/2004
Peoria
AZ
520,000
751,637
None
None
520,000
751,637
1,271,637
384,585
3/18/2004
Phoenix
AZ
440,000
511,637
None
None
440,000
511,637
951,637
261,785
3/18/2004
Phoenix
AZ
360,000
421,637
None
None
360,000
421,637
781,637
215,735
3/18/2004
Phoenix
AZ
710,000
591,637
None
None
710,000
591,637
1,301,637
302,718
3/18/2004
Phoenix
AZ
320,000
661,637
None
None
320,000
661,637
981,637
338,535
3/18/2004
Phoenix
AZ
450,000
651,637
None
None
450,000
651,637
1,101,637
333,418
3/18/2004
Phoenix
AZ
430,000
711,637
None
None
430,000
711,637
1,141,637
364,118
3/18/2004
Phoenix
AZ
730,000
931,637
None
None
730,000
931,637
1,661,637
476,685
3/18/2004
Phoenix
AZ
790,000
1,051,637
None
None
790,000
1,051,637
1,841,637
538,085
3/18/2004
Pinetop
AZ
170,000
311,637
None
None
170,000
311,637
481,637
159,452
3/18/2004
Queen Creek
AZ
520,000
891,637
None
None
520,000
891,637
1,411,637
456,218
3/18/2004
Scottsdale
AZ
210,000
201,637
None
None
210,000
201,637
411,637
103,168
3/18/2004
Scottsdale
AZ
660,000
1,031,637
None
None
660,000
1,031,637
1,691,637
527,852
3/18/2004
Sierra Vista
AZ
110,000
301,637
None
None
110,000
301,637
411,637
154,335
3/18/2004
Tempe
AZ
620,000
1,071,637
None
None
620,000
1,071,637
1,691,637
548,318
3/18/2004
Tempe
AZ
270,000
461,637
None
None
270,000
461,637
731,637
236,202
3/18/2004
Tolleson
AZ
460,000
1,231,637
None
None
460,000
1,231,637
1,691,637
630,185
3/18/2004
Tombstone
AZ
110,000
381,637
None
None
110,000
381,637
491,637
195,268
3/18/2004
Tucson
AZ
180,000
331,637
None
None
180,000
331,637
511,637
169,685
3/18/2004
Tucson
AZ
220,000
311,637
None
None
220,000
311,637
531,637
159,452
3/18/2004
Tucson
AZ
240,000
341,637
None
None
240,000
341,637
581,637
174,802
3/18/2004
Tucson
AZ
550,000
511,637
None
None
550,000
511,637
1,061,637
261,785
3/18/2004
Tucson
AZ
126,000
234,565
None
None
126,000
234,565
360,565
119,237
4/14/2004
Wellton
AZ
120,000
291,637
None
None
120,000
291,637
411,637
149,218
3/18/2004
Wickenburg
AZ
150,000
291,637
None
None
150,000
291,637
441,637
149,218
3/18/2004
Clovis
CA
775,775
1,564,225
None
None
775,775
1,564,225
2,340,000
2,107
12/21/2016
King City
CA
2,323,521
4,086,479
None
None
2,323,521
4,086,479
6,410,000
6,311
12/21/2016
Lake Elsinore
CA
962,113
1,867,887
None
None
962,113
1,867,887
2,830,000
2,613
12/21/2016
Merced
CA
1,486,901
2,723,099
None
None
1,486,901
2,723,099
4,210,000
4,039
12/21/2016
Oakhurst
CA
1,589,577
2,890,423
None
None
1,589,577
2,890,423
4,480,000
4,317
12/21/2016
Richmond
CA
1,673,239
3,026,761
None
None
1,673,239
3,026,761
4,700,000
4,545
12/21/2016
Sacramento
CA
1,372,572
2,536,784
None
None
1,372,572
2,536,784
3,909,356
3,728
12/21/2016
San Jose
CA
2,034,507
3,615,493
None
None
2,034,507
3,615,493
5,650,000
5,526
12/21/2016
Sand City
CA
1,365,211
2,524,789
None
None
1,365,211
2,524,789
3,890,000
3,708
12/21/2016
Santa Cruz
CA
1,380,423
2,549,577
None
None
1,380,423
2,549,577
3,930,000
3,749
12/21/2016
Santa Cruz
CA
1,893,803
3,386,197
None
None
1,893,803
3,386,197
5,280,000
5,144
12/21/2016
Stockton
CA
785,819
1,580,594
None
None
785,819
1,580,594
2,366,413
2,134
12/21/2016
Aurora
CO
870,845
1,719,155
None
None
870,845
1,719,155
2,590,000
2,365
12/21/2016
Brighton
CO
711,127
1,458,873
None
None
711,127
1,458,873
2,170,000
1,931
12/21/2016
Colorado Springs
CO
1,103,650
2,048,135
1,500
None
1,103,650
2,049,635
3,153,285
311,196
3/29/2013
Colorado Springs
CO
867,042
1,712,958
None
None
867,042
1,712,958
2,580,000
2,355
12/21/2016
Colorado Springs
CO
876,608
1,728,547
None
None
876,608
1,728,547
2,605,155
2,381
12/21/2016
Colorado Springs
CO
1,102,095
2,096,006
None
None
1,102,095
2,096,006
3,198,101
2,993
12/21/2016
Henderson
CO
1,427,612
2,626,479
None
None
1,427,612
2,626,479
4,054,091
3,877
12/21/2016
Peyton
CO
1,595,490
2,900,058
None
None
1,595,490
2,900,058
4,495,548
4,333
12/21/2016
Vernon
CT
179,646
319,372
None
179,646
319,385
499,031
278,394
3/9/1995
Westbrook
CT
98,247
373,340
None
None
98,247
373,340
471,587
325,428
3/9/1995
Camden
DE
113,811
174,435
None
None
113,811
174,435
288,246
96,223
3/19/2003
Camden
DE
250,528
379,165
None
None
250,528
379,165
629,693
209,166
3/19/2003
Dewey
DE
147,465
224,665
None
None
147,465
224,665
372,130
123,933
3/19/2003
Dover
DE
278,804
421,707
None
None
278,804
421,707
700,511
232,635
3/19/2003
Dover
DE
367,137
554,207
None
None
367,137
554,207
921,344
305,730
3/19/2003
Dover
DE
367,425
554,884
None
None
367,425
554,884
922,309
306,104
3/19/2003
Felton
DE
307,260
464,391
None
None
307,260
464,391
771,651
256,182
3/19/2003
Greenwood
DE
632,303
1,176,711
None
None
632,303
1,176,711
1,809,014
429,498
11/29/2007
Harrington
DE
563,812
849,220
None
None
563,812
849,220
1,413,032
468,479
3/19/2003
Milford
DE
310,049
468,575
None
None
310,049
468,575
778,624
258,490
3/19/2003
New Castle
DE
589,325
887,488
None
None
589,325
887,488
1,476,813
489,590
3/19/2003
Smyrna
DE
121,774
186,436
None
None
121,774
186,436
308,210
102,843
3/19/2003
Smyrna
DE
401,135
605,332
None
None
401,135
605,332
1,006,467
333,934
3/19/2003
Townsend
DE
241,416
365,749
None
None
241,416
365,749
607,165
201,764
3/19/2003
Wilmington
DE
280,682
424,525
None
None
280,682
424,525
705,207
234,189
3/19/2003
Apopka
FL
1,259,120
2,351,900
None
None
1,259,120
2,351,900
3,611,020
3,420
12/21/2016
Archer
FL
296,238
578,145
None
None
296,238
578,145
874,383
407,591
5/7/1999
Bradenton
FL
946,638
1,671,528
None
946,638
1,672,027
2,618,665
264,854
1/22/2013
Bradenton
FL
414,000
107,500
1,500
None
414,000
109,000
523,000
16,879
3/8/2013
Bushnell
FL
130,000
291,637
None
None
130,000
291,637
421,637
149,218
3/18/2004
Cape Coral
FL
1,135,901
2,151,099
None
None
1,135,901
2,151,099
3,287,000
3,085
12/21/2016
Cape Coral
FL
618,843
1,308,484
None
None
618,843
1,308,484
1,927,327
1,681
12/21/2016
Casselberry
FL
835,045
1,660,814
None
None
835,045
1,660,814
2,495,859
2,268
12/21/2016
Clearwater
FL
359,792
311,845
None
None
359,792
311,845
671,637
159,558
3/18/2004
Cocoa
FL
323,827
287,810
None
None
323,827
287,810
611,637
147,260
3/18/2004
Deerfield Beach
FL
2,256,641
3,977,489
None
None
2,256,641
3,977,489
6,234,130
6,129
12/21/2016
Deltona
FL
140,000
321,637
None
None
140,000
321,637
461,637
164,568
3/18/2004
Englewood
FL
270,000
331,637
None
None
270,000
331,637
601,637
169,685
3/18/2004
Estero
FL
638,291
1,340,178
None
None
638,291
1,340,178
1,978,469
1,734
12/21/2016
Fort Lauderdale
FL
1,245,803
2,330,197
None
None
1,245,803
2,330,197
3,576,000
3,384
12/21/2016
Fort Lauderdale
FL
2,160,296
3,820,482
None
None
2,160,296
3,820,482
5,980,778
5,867
12/21/2016
Fort Myers
FL
1,226,387
2,298,557
None
None
1,226,387
2,298,557
3,524,944
3,331
12/21/2016
Fort Myers
FL
876,598
1,728,531
None
None
876,598
1,728,531
2,605,129
2,381
12/21/2016
Fort Myers
FL
987,955
1,910,001
None
None
987,955
1,910,001
2,897,956
2,683
12/21/2016
Gainesville
FL
515,834
873,187
None
None
515,834
873,187
1,389,021
615,596
5/7/1999
Gainesville
FL
480,318
600,633
None
None
480,318
600,633
1,080,951
423,445
5/7/1999
Gainesville
FL
347,310
694,859
None
None
347,310
694,859
1,042,169
489,874
5/7/1999
Gainesville
FL
339,263
658,807
None
None
339,263
658,807
998,070
464,458
5/7/1999
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Gainesville
FL
351,921
552,557
None
None
351,921
552,557
904,478
389,551
5/7/1999
Gainesville
FL
500,032
850,291
None
None
500,032
850,291
1,350,323
599,454
5/7/1999
Homosassa Springs
FL
740,000
621,637
None
None
740,000
621,637
1,361,637
318,068
3/18/2004
Hudson
FL
300,000
351,637
None
None
300,000
351,637
651,637
179,918
3/18/2004
Intercession City
FL
161,776
319,861
None
None
161,776
319,861
481,637
163,660
3/18/2004
Jacksonville
FL
266,111
494,206
None
None
266,111
494,206
760,317
251,221
4/1/2004
Jupiter
FL
2,110,993
3,740,136
None
None
2,110,993
3,740,136
5,851,129
5,734
12/21/2016
Jupiter
FL
1,788,923
3,215,282
None
None
1,788,923
3,215,282
5,004,205
4,859
12/21/2016
Key West
FL
873,700
627,937
None
None
873,700
627,937
1,501,637
321,292
3/18/2004
Key West
FL
492,785
208,852
None
None
492,785
208,852
701,637
106,860
3/18/2004
Kissimmee
FL
802,394
1,607,606
None
None
802,394
1,607,606
2,410,000
2,179
12/21/2016
Kissimmee
FL
901,268
1,768,732
None
None
901,268
1,768,732
2,670,000
2,448
12/21/2016
Lake Mary
FL
1,527,924
2,789,949
None
None
1,527,924
2,789,949
4,317,873
4,150
12/21/2016
Lake Worth
FL
2,381,911
4,181,633
None
None
2,381,911
4,181,633
6,563,544
6,469
12/21/2016
Lakeland
FL
527,076
464,561
None
None
527,076
464,561
991,637
237,698
3/18/2004
Lakeland
FL
300,000
321,637
None
None
300,000
321,637
621,637
164,568
3/18/2004
Land O Lakes
FL
120,000
361,637
None
None
120,000
361,637
481,637
185,035
3/18/2004
Largo
FL
900,000
1,475,882
None
None
900,000
1,475,882
2,375,882
158,094
4/9/2014
8/13/2013
Lehigh Acres
FL
1,143,156
2,162,920
None
None
1,143,156
2,162,920
3,306,076
3,105
12/21/2016
Lutz
FL
480,000
421,637
None
None
480,000
421,637
901,637
215,735
3/18/2004
Miramar
FL
1,333,334
2,472,840
None
None
1,333,334
2,472,840
3,806,174
3,621
12/21/2016
Miramar
FL
2,131,924
3,774,246
None
None
2,131,924
3,774,246
5,906,170
5,790
12/21/2016
Moore Haven
FL
180,342
331,295
None
None
180,342
331,295
511,637
169,510
3/18/2004
Mount Dora
FL
1,423,518
2,513,578
None
1,423,518
2,514,329
3,937,847
398,277
1/22/2013
Naples
FL
150,000
301,637
None
None
150,000
301,637
451,637
154,335
3/18/2004
Naples
FL
620,000
381,637
None
None
620,000
381,637
1,001,637
195,268
3/18/2004
Naples
FL
1,060,375
2,028,018
None
None
1,060,375
2,028,018
3,088,393
2,880
12/21/2016
Naples
FL
2,457,156
4,304,254
None
None
2,457,156
4,304,254
6,761,410
6,674
12/21/2016
New Port Richey
FL
190,000
601,637
None
None
190,000
601,637
791,637
307,835
3/18/2004
North Fort Myers
FL
140,000
281,637
None
None
140,000
281,637
421,637
144,102
3/18/2004
Ocoee
FL
1,099,792
2,092,254
None
None
1,099,792
2,092,254
3,192,046
2,987
12/21/2016
Okeechobee
FL
195,075
346,562
None
None
195,075
346,562
541,637
177,322
3/18/2004
Orlando
FL
240,000
301,637
None
None
240,000
301,637
541,637
154,335
3/18/2004
Orlando
FL
1,019,155
1,960,845
None
None
1,019,155
1,960,845
2,980,000
2,768
12/21/2016
Orlando
FL
1,380,423
2,549,577
None
None
1,380,423
2,549,577
3,930,000
3,749
12/21/2016
Orlando
FL
1,680,279
3,038,233
None
None
1,680,279
3,038,233
4,718,512
4,564
12/21/2016
Orlando
FL
928,179
1,812,588
None
None
928,179
1,812,588
2,740,767
2,521
12/21/2016
Orlando
FL
569,316
1,227,773
None
None
569,316
1,227,773
1,797,089
1,546
12/21/2016
Orlando
FL
739,872
1,505,717
None
None
739,872
1,505,717
2,245,589
2,010
12/21/2016
Oviedo
FL
698,027
1,437,525
None
None
698,027
1,437,525
2,135,552
1,896
12/21/2016
Palm Bay
FL
230,880
300,757
None
None
230,880
300,757
531,637
153,885
3/18/2004
Palm Beach Gardns
FL
1,669,049
3,019,931
None
None
1,669,049
3,019,931
4,688,980
4,533
12/21/2016
Palm Harbor
FL
510,000
381,637
None
None
510,000
381,637
891,637
195,268
3/18/2004
Panama City
FL
210,000
431,637
None
None
210,000
431,637
641,637
220,852
3/18/2004
Pensacola
FL
168,000
312,727
None
None
168,000
312,727
480,727
158,967
4/14/2004
Plantation
FL
1,935,946
3,454,874
None
None
1,935,946
3,454,874
5,390,820
5,258
12/21/2016
Pompano Beach
FL
605,398
1,286,575
None
None
605,398
1,286,575
1,891,973
1,644
12/21/2016
Port Charlotte
FL
170,000
311,637
None
None
170,000
311,637
481,637
159,452
3/18/2004
Port Charlotte
FL
200,000
356,637
None
None
200,000
356,637
556,637
182,477
3/18/2004
Port Orange
FL
609,438
512,199
None
None
609,438
512,199
1,121,637
262,073
3/18/2004
Port Saint Lucie
FL
897,465
1,762,535
None
None
897,465
1,762,535
2,660,000
2,438
12/21/2016
Punta Gorda
FL
400,000
511,637
None
None
400,000
511,637
911,637
261,785
3/18/2004
Riverview
FL
1,930,000
1,423,752
None
None
1,930,000
1,423,752
3,353,752
178,194
8/30/2013
8/13/2012
Sanford
FL
1,440,027
2,646,711
None
None
1,440,027
2,646,711
4,086,738
3,911
12/21/2016
Sarasota
FL
1,447,403
2,658,731
None
None
1,447,403
2,658,731
4,106,134
3,931
12/21/2016
Stuart
FL
1,682,532
3,041,904
None
None
1,682,532
3,041,904
4,724,436
4,570
12/21/2016
Tallahassee
FL
600,000
341,637
None
None
600,000
341,637
941,637
174,802
3/18/2004
Tamarac
FL
1,316,246
2,444,994
None
None
1,316,246
2,444,994
3,761,240
3,575
12/21/2016
Tampa
FL
300,000
301,637
None
None
300,000
301,637
601,637
154,335
3/18/2004
Tampa
FL
380,000
361,637
None
None
380,000
361,637
741,637
185,035
3/18/2004
Tampa
FL
320,000
591,637
None
None
320,000
591,637
911,637
302,718
3/18/2004
Webster
FL
640,000
1,071,637
None
None
640,000
1,071,637
1,711,637
548,318
3/18/2004
West Palm Beach
FL
810,656
1,621,069
None
None
810,656
1,621,069
2,431,725
2,202
12/21/2016
Winter Springs
FL
150,000
291,637
None
None
150,000
291,637
441,637
149,218
3/18/2004
Augusta
GA
620,000
383,232
None
None
620,000
383,232
1,003,232
267,618
7/22/1999
Augusta
GA
540,000
337,853
None
None
540,000
337,853
877,853
235,930
7/22/1999
Augusta
GA
510,000
392,929
None
None
510,000
392,929
902,929
274,391
7/22/1999
Augusta
GA
180,000
422,020
None
None
180,000
422,020
602,020
294,707
7/22/1999
Augusta
GA
260,000
392,171
None
None
260,000
392,171
652,171
273,863
7/22/1999
Augusta
GA
240,000
451,637
None
None
240,000
451,637
691,637
231,085
3/18/2004
Calhoun
GA
122,500
228,742
None
None
122,500
228,742
351,242
120,846
10/16/2003
Calhoun
GA
262,500
488,742
None
None
262,500
488,742
751,242
258,212
10/16/2003
Cartersville
GA
262,500
488,742
None
None
262,500
488,742
751,242
258,212
10/16/2003
Chatsworth
GA
140,000
261,242
None
None
140,000
261,242
401,242
138,016
10/16/2003
Chatsworth
GA
140,000
261,242
None
None
140,000
261,242
401,242
138,016
10/16/2003
Chatsworth
GA
140,000
261,242
None
None
140,000
261,242
401,242
138,016
10/16/2003
Chickamauga
GA
181,731
338,742
None
None
181,731
338,742
520,473
178,962
10/16/2003
Dalton
GA
171,500
319,742
None
None
171,500
319,742
491,242
168,924
10/16/2003
Dalton
GA
87,500
163,742
None
None
87,500
163,742
251,242
86,504
10/16/2003
Dalton
GA
485,650
903,162
None
None
485,650
903,162
1,388,812
477,164
10/16/2003
Dalton
GA
146,000
272,385
None
None
146,000
272,385
418,385
143,904
10/16/2003
Dalton
GA
420,000
781,242
None
None
420,000
781,242
1,201,242
412,750
10/16/2003
Dalton
GA
210,000
391,242
None
None
210,000
391,242
601,242
206,700
10/16/2003
Dalton
GA
332,500
618,742
None
None
332,500
618,742
951,242
326,896
10/16/2003
Dalton
GA
437,500
813,742
None
None
437,500
813,742
1,251,242
429,921
10/16/2003
Decatur
GA
529,383
532,429
None
529,383
532,725
1,062,108
416,403
6/27/1997
Decatur
GA
1,622,631
2,865,162
None
1,622,631
2,866,018
4,488,649
453,986
1/22/2013
Dunwoody
GA
545,462
724,254
None
545,462
724,550
1,270,012
566,338
6/27/1997
Flintstone
GA
157,500
293,742
None
None
157,500
293,742
451,242
155,187
10/16/2003
La Fayette
GA
122,500
228,742
None
None
122,500
228,742
351,242
120,846
10/16/2003
Lithonia
GA
386,784
776,436
None
None
386,784
776,436
1,163,220
606,857
6/27/1997
Mableton
GA
491,069
355,957
None
None
491,069
355,957
847,026
278,192
6/27/1997
Martinez
GA
450,000
402,777
None
None
450,000
402,777
852,777
281,268
7/22/1999
Martinez
GA
830,000
871,637
None
None
830,000
871,637
1,701,637
445,985
3/18/2004
Norcross
GA
384,162
651,273
None
None
384,162
651,273
1,035,435
509,018
6/27/1997
Ringgold
GA
234,500
1,168,914
(7,829
)
None
226,671
1,168,914
1,395,585
566,347
10/16/2003
Ringgold
GA
385,000
716,242
(21,175
)
None
363,825
716,242
1,080,067
378,408
10/16/2003
Ringgold
GA
482,251
896,851
None
None
482,251
896,851
1,379,102
473,830
10/16/2003
Rocky Face
GA
164,231
306,241
None
None
164,231
306,241
470,472
161,791
10/16/2003
Rome
GA
210,000
391,242
None
None
210,000
391,242
601,242
206,700
10/16/2003
Rome
GA
199,199
371,183
None
None
199,199
371,183
570,382
196,102
10/16/2003
Rome
GA
201,791
375,997
(22,030
)
None
179,761
375,997
555,758
198,646
10/16/2003
Rome
GA
315,000
586,242
None
None
315,000
586,242
901,242
309,725
10/16/2003
Rossville
GA
157,500
293,742
None
None
157,500
293,742
451,242
155,187
10/16/2003
Summerville
GA
66,231
124,242
None
None
66,231
124,242
190,473
65,635
10/16/2003
Trenton
GA
129,231
241,242
None
None
129,231
241,242
370,473
127,450
10/16/2003
Adair
IA
779,853
1,377,027
None
779,853
1,377,438
2,157,291
218,190
1/22/2013
Neola
IA
784,675
1,385,540
None
784,675
1,385,954
2,170,629
219,539
1/22/2013
Belvidere
IL
768,748
1,426,176
1,500
None
768,748
1,427,676
2,196,424
402,756
12/28/2009
Dekalb
IL
661,500
1,226,500
2,000
None
661,500
1,228,500
1,890,000
346,864
12/28/2009
Godfrey
IL
374,586
733,190
None
None
374,586
733,190
1,107,776
573,046
6/27/1997
Granite City
IL
362,287
737,255
None
None
362,287
737,255
1,099,542
576,225
6/27/1997
Hartford
IL
599,172
1,110,747
2,000
None
599,172
1,112,747
1,711,919
314,260
12/28/2009
Loves Park
IL
547,582
1,016,523
1,500
None
547,582
1,018,023
1,565,605
368,991
12/20/2007
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Loves Park
IL
760,725
1,410,775
2,000
None
760,725
1,412,775
2,173,500
398,768
12/28/2009
Machesney Park
IL
562,275
1,043,225
1,000
None
562,275
1,044,225
1,606,500
294,542
12/28/2009
Marengo
IL
501,948
930,688
1,500
None
501,948
932,188
1,434,136
263,194
12/28/2009
Monee
IL
671,759
1,394,719
None
None
671,759
1,394,719
2,066,478
1,825
12/21/2016
Rochelle
IL
607,418
1,128,145
1,000
None
607,418
1,129,145
1,736,563
408,911
12/20/2007
Rockford
IL
463,050
858,450
1,500
None
463,050
859,950
1,323,000
242,847
12/28/2009
Rockford
IL
388,631
720,244
1,500
None
388,631
721,744
1,110,375
203,919
12/28/2009
Tuscola
IL
752,456
1,394,419
3,000
None
752,456
1,397,419
2,149,875
394,861
12/28/2009
Albany
IN
427,437
794,632
2,000
None
427,437
796,632
1,224,069
307,847
5/25/2007
Alexandria
IN
139,219
259,369
None
None
139,219
259,369
398,588
99,854
5/25/2007
Anderson
IN
147,263
274,307
None
None
147,263
274,307
421,570
105,605
5/25/2007
Anderson
IN
283,430
527,190
2,000
None
283,430
529,190
812,620
204,881
5/25/2007
Elkhart
IN
495,914
922,471
1,500
None
495,914
923,971
1,419,885
356,585
5/25/2007
Frankfort
IN
208,666
388,345
2,000
None
208,666
390,345
599,011
151,426
5/25/2007
Greenwood
IN
173,250
323,022
None
None
173,250
323,022
496,272
124,360
5/25/2007
Hartford City
IN
250,310
465,702
2,000
None
250,310
467,702
718,012
181,208
5/25/2007
Indianapolis
IN
129,938
242,134
None
None
129,938
242,134
372,072
93,218
5/25/2007
Indianapolis
IN
269,294
500,939
1,500
None
269,294
502,439
771,733
194,296
5/25/2007
Indianapolis
IN
318,432
592,193
1,500
None
318,432
593,693
912,125
229,429
5/25/2007
Knox
IN
341,250
633,499
1,500
None
341,250
634,999
976,249
234,726
10/9/2007
Lafayette
IN
147,263
274,309
None
None
147,263
274,309
421,572
105,606
5/25/2007
Lafayette
IN
112,613
209,959
None
None
112,613
209,959
322,572
80,831
5/25/2007
Marion
IN
209,196
389,995
1,500
None
209,196
391,495
600,691
151,582
5/25/2007
Michigan City
IN
227,500
422,249
1,500
None
227,500
423,749
651,249
156,916
10/9/2007
Mishawaka
IN
123,983
231,743
2,000
None
123,983
233,743
357,726
91,134
5/25/2007
Morristown
IN
366,590
682,082
2,000
None
366,590
684,082
1,050,672
264,515
5/25/2007
Muncie
IN
103,950
193,870
None
None
103,950
193,870
297,820
74,637
5/25/2007
Muncie
IN
184,237
342,974
2,000
None
184,237
344,974
529,211
133,958
5/25/2007
New Albany
IN
181,459
289,353
None
None
181,459
289,353
470,812
252,220
3/3/1995
New Albany
IN
262,465
331,796
None
None
262,465
331,796
594,261
289,215
3/6/1995
New Castle
IN
138,600
258,672
None
None
138,600
258,672
397,272
99,585
5/25/2007
New Castle
IN
79,854
149,572
1,000
None
79,854
150,572
230,426
58,540
5/25/2007
New Castle
IN
203,941
380,019
1,500
None
203,941
381,519
585,460
147,741
5/25/2007
Richmond
IN
281,248
523,589
1,500
None
281,248
525,089
806,337
203,016
5/25/2007
Richmond
IN
255,908
476,528
2,000
None
255,908
478,528
734,436
185,377
5/25/2007
Rushville
IN
138,600
258,672
None
None
138,600
258,672
397,272
99,585
5/25/2007
Rushville
IN
121,275
226,497
None
None
121,275
226,497
347,772
87,198
5/25/2007
South Bend
IN
372,387
693,064
2,000
None
372,387
695,064
1,067,451
268,743
5/25/2007
Wabash
IN
430,437
800,871
2,000
None
430,437
802,871
1,233,308
310,249
5/25/2007
Wabash
IN
334,923
623,488
1,500
334,923
625,001
959,924
241,486
5/25/2007
Warsaw
IN
415,275
772,713
1,500
415,275
774,226
1,189,501
298,938
5/25/2007
West Lafayette
IN
1,052,628
1,340,855
2,000
None
1,052,628
1,342,855
2,395,483
517,919
5/25/2007
Zionsville
IN
910,595
1,691,926
2,000
None
910,595
1,693,926
2,604,521
653,305
5/25/2007
Berea
KY
252,077
360,815
None
None
252,077
360,815
612,892
314,511
3/8/1995
Elizabethtown
KY
286,106
286,106
None
286,106
286,590
572,696
249,636
3/3/1995
Lebanon
KY
158,052
316,105
None
158,052
316,258
474,310
275,691
3/3/1995
Louisville
KY
198,926
368,014
None
None
198,926
368,014
566,940
320,785
3/3/1995
Louisville
KY
216,849
605,697
None
None
216,849
605,697
822,546
497,548
6/18/1996
11/17/1995
Mount Washington
KY
327,245
479,593
None
None
327,245
479,593
806,838
386,104
12/6/1996
5/31/1996
Baton Rouge
LA
500,000
521,637
None
None
500,000
521,637
1,021,637
266,902
3/18/2004
Baton Rouge
LA
210,000
361,637
None
None
210,000
361,637
571,637
185,035
3/18/2004
Bossier City
LA
230,000
431,637
None
None
230,000
431,637
661,637
220,852
3/18/2004
Destrehan
LA
200,000
411,637
None
None
200,000
411,637
611,637
210,618
3/18/2004
Lafayette
LA
240,000
391,637
None
None
240,000
391,637
631,637
200,385
3/18/2004
Pineville
LA
170,000
371,637
None
None
170,000
371,637
541,637
190,152
3/18/2004
Shreveport
LA
192,500
358,227
None
None
192,500
358,227
550,727
182,096
4/14/2004
Amherst
MA
110,969
639,806
None
None
110,969
639,806
750,775
342,296
8/18/2003
North Reading
MA
574,601
756,174
None
None
574,601
756,174
1,330,775
404,553
8/18/2003
Seekonk
MA
298,354
268,518
None
None
298,354
268,518
566,872
234,058
3/3/1995
Berlin
MD
255,951
387,395
None
None
255,951
387,395
643,346
213,705
3/19/2003
Crisfield
MD
219,704
333,024
None
None
219,704
333,024
552,728
183,711
3/19/2003
Hebron
MD
376,251
567,844
None
None
376,251
567,844
944,095
313,253
3/19/2003
La Plata
MD
1,017,544
2,706,729
None
None
1,017,544
2,706,729
3,724,273
1,556,122
8/6/2002
Laurel
MD
1,048,527
2,008,710
None
None
1,048,527
2,008,710
3,057,237
2,848
12/21/2016
Mechanicsville
MD
1,540,335
2,860,928
None
None
1,540,335
2,860,928
4,401,263
1,664,047
6/27/2002
Millersville
MD
830,737
2,696,245
None
None
830,737
2,696,245
3,526,982
1,568,362
6/27/2002
Breckenridge
MI
437,500
811,968
1,500
None
437,500
813,468
1,250,968
300,462
10/9/2007
Carson City
MI
262,500
486,468
2,000
None
262,500
488,468
750,968
181,032
10/9/2007
Charlevoix
MI
385,000
713,013
2,500
None
385,000
715,513
1,100,513
264,939
10/9/2007
Cheboygan
MI
280,000
518,013
2,500
None
280,000
520,513
800,513
193,114
10/9/2007
Clare
MI
306,250
567,718
2,000
None
306,250
569,718
875,968
210,960
10/9/2007
Clare
MI
229,250
426,218
None
229,250
426,718
655,968
157,453
10/9/2007
Comstock Park
MI
315,000
583,761
2,500
None
315,000
586,261
901,261
217,331
10/9/2007
Farwell
MI
437,500
811,468
2,000
None
437,500
813,468
1,250,968
300,741
10/9/2007
Flint
MI
194,492
476,504
None
194,492
476,643
671,135
401,197
12/21/1995
Gladwin
MI
140,000
259,013
1,500
None
140,000
260,513
400,513
96,791
10/9/2007
Grand Rapids
MI
437,500
812,261
1,500
None
437,500
813,761
1,251,261
300,570
10/9/2007
Kalamazoo
MI
238,000
442,249
1,000
None
238,000
443,249
681,249
163,820
10/9/2007
Kalkaska
MI
437,500
809,513
3,500
None
437,500
813,013
1,250,513
301,408
10/9/2007
Lake City
MI
115,500
213,513
1,500
None
115,500
215,013
330,513
80,032
10/9/2007
Lakeview
MI
96,250
177,718
2,000
None
96,250
179,718
275,968
67,310
10/9/2007
Mackinaw City
MI
455,000
844,513
1,000
None
455,000
845,513
1,300,513
311,987
10/9/2007
Mecosta
MI
122,500
227,468
1,000
None
122,500
228,468
350,968
84,709
10/9/2007
Midland
MI
437,500
811,013
2,000
None
437,500
813,013
1,250,513
300,573
10/9/2007
Mount Pleasant
MI
162,750
300,794
2,500
162,750
303,307
466,057
113,113
10/9/2007
Mount Pleasant
MI
463,750
860,718
1,500
None
463,750
862,218
1,325,968
318,419
10/9/2007
Mount Pleasant
MI
210,000
388,968
2,000
None
210,000
390,968
600,968
145,120
10/9/2007
Mount Pleasant
MI
437,500
810,968
2,500
None
437,500
813,468
1,250,968
301,019
10/9/2007
Mount Pleasant
MI
350,000
649,468
1,500
None
350,000
650,968
1,000,968
240,608
10/9/2007
Mount Pleasant
MI
175,000
324,468
1,500
None
175,000
325,968
500,968
120,900
10/9/2007
Petoskey
MI
490,000
909,513
1,000
None
490,000
910,513
1,400,513
335,929
10/9/2007
Prudenville
MI
133,000
245,013
2,500
None
133,000
247,513
380,513
92,559
10/9/2007
Saginaw
MI
262,500
486,513
1,500
None
262,500
488,013
750,513
180,587
10/9/2007
Standish
MI
92,750
171,263
1,500
None
92,750
172,763
265,513
64,469
10/9/2007
Traverse City
MI
210,000
389,002
2,000
None
210,000
391,002
601,002
145,132
10/9/2007
Walker
MI
586,250
1,088,499
1,500
None
586,250
1,089,999
1,676,249
402,318
10/9/2007
Alexandria
MN
132,924
244,858
2,000
None
132,924
246,858
379,782
60,391
12/1/2010
Andover
MN
888,706
1,648,454
2,000
None
888,706
1,650,454
2,539,160
399,593
12/1/2010
Apple Valley
MN
350,000
648,000
2,000
None
350,000
650,000
1,000,000
157,817
12/1/2010
Baxter
MN
350,000
648,000
2,000
None
350,000
650,000
1,000,000
157,817
12/1/2010
Blaine
MN
767,270
1,422,929
2,000
None
767,270
1,424,929
2,192,199
345,091
12/1/2010
Bloomington
MN
262,500
485,500
2,000
None
262,500
487,500
750,000
118,546
12/1/2010
Bloomington
MN
676,771
1,255,359
1,500
None
676,771
1,256,859
1,933,630
304,291
12/1/2010
Brainerd
MN
490,000
907,000
3,000
None
490,000
910,000
1,400,000
221,017
12/1/2010
Brooklyn Center
MN
979,764
1,818,061
1,500
None
979,764
1,819,561
2,799,325
440,277
12/1/2010
Brooklyn Center
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Brooklyn Center
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Brooklyn Park
MN
830,336
1,540,052
2,000
None
830,336
1,542,052
2,372,388
373,396
12/1/2010
Brooklyn Park
MN
578,964
1,073,220
2,000
None
578,964
1,075,220
1,654,184
260,578
12/1/2010
Brooklyn Park
MN
750,697
1,391,651
2,500
None
750,697
1,394,151
2,144,848
202,706
5/1/2013
Burnsville
MN
615,240
1,141,089
1,500
None
615,240
1,142,589
1,757,829
276,676
12/1/2010
Burnsville
MN
515,298
954,981
2,000
None
515,298
956,981
1,472,279
232,004
12/1/2010
Burnsville
MN
350,000
648,000
2,000
None
350,000
650,000
1,000,000
157,817
12/1/2010
Burnsville
MN
932,558
1,729,892
2,000
None
932,558
1,731,892
2,664,450
419,274
12/1/2010
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Chaska
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Chaska
MN
490,000
908,000
2,000
None
490,000
910,000
1,400,000
220,650
12/1/2010
Chaska
MN
410,797
760,408
2,500
None
410,797
762,908
1,173,705
111,176
5/1/2013
Columbia Heights
MN
673,068
1,248,483
1,500
None
673,068
1,249,983
1,923,051
302,629
12/1/2010
Coon Rapids
MN
490,000
908,000
2,000
None
490,000
910,000
1,400,000
220,650
12/1/2010
Cottage Grove
MN
805,888
1,494,650
2,000
None
805,888
1,496,650
2,302,538
362,424
12/1/2010
Crystal
MN
552,641
1,024,332
2,000
None
552,641
1,026,332
1,578,973
248,764
12/1/2010
Crystal
MN
740,518
1,373,248
2,000
None
740,518
1,375,248
2,115,766
333,085
12/1/2010
Eagan
MN
906,287
1,680,604
2,500
None
906,287
1,683,104
2,589,391
407,667
12/1/2010
Eagan
MN
699,277
1,296,658
2,000
None
699,277
1,298,658
1,997,935
314,576
12/1/2010
Eden Prairie
MN
947,702
1,758,519
1,500
None
947,702
1,760,019
2,707,721
425,888
12/1/2010
Eden Prairie
MN
485,526
899,690
2,000
None
485,526
901,690
1,387,216
218,642
12/1/2010
Edina
MN
568,893
1,054,516
2,000
None
568,893
1,056,516
1,625,409
256,058
12/1/2010
Elk River
MN
613,113
1,137,137
1,500
None
613,113
1,138,637
1,751,750
275,721
12/1/2010
Elk River
MN
456,850
846,435
2,000
None
456,850
848,435
1,305,285
205,772
12/1/2010
Excelsior
MN
262,500
485,500
2,000
None
262,500
487,500
750,000
118,546
12/1/2010
Falcon Heights
MN
494,415
916,199
2,000
None
494,415
918,199
1,412,614
222,631
12/1/2010
Farmington
MN
437,500
810,500
2,000
None
437,500
812,500
1,250,000
197,088
12/1/2010
Forest Lake
MN
398,985
739,473
1,500
None
398,985
740,973
1,139,958
179,618
12/1/2010
Fridley
MN
519,325
962,461
2,000
None
519,325
964,461
1,483,786
233,811
12/1/2010
Fridley
MN
706,295
1,309,691
2,000
None
706,295
1,311,691
2,017,986
317,725
12/1/2010
Fridley
MN
175,000
323,000
2,000
None
175,000
325,000
500,000
79,275
12/1/2010
Golden Valley
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Ham Lake
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Hastings
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Inver Grove Heigh
MN
134,705
248,666
1,500
None
134,705
250,166
384,871
61,007
12/1/2010
Inver Grove Heigh
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Lakeville
MN
631,855
1,171,446
2,000
None
631,855
1,173,446
1,805,301
284,316
12/1/2010
Lakeville
MN
654,912
1,214,266
2,000
None
654,912
1,216,266
1,871,178
294,664
12/1/2010
Litchfield
MN
388,788
720,536
1,500
None
388,788
722,036
1,110,824
175,042
12/1/2010
Little Falls
MN
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Long Lake
MN
808,543
1,499,579
2,000
None
808,543
1,501,579
2,310,122
363,615
12/1/2010
Maplewood
MN
931,427
1,728,293
1,500
None
931,427
1,729,793
2,661,220
418,583
12/1/2010
Maplewood
MN
175,000
323,000
2,000
None
175,000
325,000
500,000
79,275
12/1/2010
Mendota Heights
MN
827,026
1,533,906
2,000
None
827,026
1,535,906
2,362,932
371,911
12/1/2010
Mendota Heights
MN
717,808
1,331,072
2,000
None
717,808
1,333,072
2,050,880
322,892
12/1/2010
Minneapolis
MN
967,640
1,795,045
2,000
None
967,640
1,797,045
2,764,685
435,019
12/1/2010
Minneapolis
MN
856,122
1,587,941
2,000
None
856,122
1,589,941
2,446,063
384,969
12/1/2010
Minneapolis
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Minneapolis
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Minneapolis
MN
938,237
1,740,440
2,000
None
938,237
1,742,440
2,680,677
421,823
12/1/2010
Minneapolis
MN
365,977
678,171
1,500
None
365,977
679,671
1,045,648
164,804
12/1/2010
Minneapolis
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Minneapolis
MN
738,535
1,370,064
1,500
None
738,535
1,371,564
2,110,099
332,011
12/1/2010
Minneapolis
MN
811,510
1,505,590
1,500
None
811,510
1,507,090
2,318,600
364,763
12/1/2010
Minneapolis
MN
539,242
999,450
2,000
None
539,242
1,001,450
1,540,692
242,750
12/1/2010
Minneapolis
MN
577,070
1,069,702
2,000
None
577,070
1,071,702
1,648,772
259,728
12/1/2010
Minneapolis
MN
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Minneapolis
MN
175,000
323,000
2,000
None
175,000
325,000
500,000
79,275
12/1/2010
Minneapolis
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Minneapolis
MN
350,000
648,500
1,500
None
350,000
650,000
1,000,000
157,633
12/1/2010
Minneapolis
MN
759,822
1,409,597
1,500
None
759,822
1,411,097
2,170,919
341,565
12/1/2010
Minnetonka
MN
582,162
1,079,158
2,000
None
582,162
1,081,158
1,663,320
157,211
5/1/2013
Monticello
MN
589,643
1,093,051
2,000
None
589,643
1,095,051
1,684,694
265,371
12/1/2010
Mounds View
MN
743,926
1,379,578
2,000
None
743,926
1,381,578
2,125,504
334,615
12/1/2010
New Brighton
MN
585,039
1,085,002
1,500
None
585,039
1,086,502
1,671,541
263,121
12/1/2010
New Hope
MN
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Newport
MN
967,228
1,794,280
2,000
None
967,228
1,796,280
2,763,508
434,834
12/1/2010
Oak Park Heights
MN
635,158
1,177,579
2,000
None
635,158
1,179,579
1,814,737
285,798
12/1/2010
Pine City
MN
644,412
1,194,265
2,500
None
644,412
1,196,765
1,841,177
290,135
12/1/2010
Princeton
MN
546,257
1,012,476
2,000
None
546,257
1,014,476
1,560,733
245,898
12/1/2010
Ramsey
MN
650,205
1,205,523
2,000
None
650,205
1,207,523
1,857,728
292,551
12/1/2010
Richfield
MN
630,540
1,169,003
2,000
None
630,540
1,171,003
1,801,543
283,726
12/1/2010
Richfield
MN
678,216
1,257,543
2,000
None
678,216
1,259,543
1,937,759
305,123
12/1/2010
Richfield
MN
436,919
809,921
1,500
None
436,919
811,421
1,248,340
196,643
12/1/2010
Richfield
MN
839,497
1,557,065
2,000
None
839,497
1,559,065
2,398,562
377,507
12/1/2010
Rogers
MN
781,303
1,448,991
2,000
None
781,303
1,450,991
2,232,294
351,390
12/1/2010
Roseville
MN
403,786
748,387
1,500
None
403,786
749,887
1,153,673
181,773
12/1/2010
Roseville
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Roseville
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Roseville
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Saint Cloud
MN
786,129
1,458,454
1,500
None
786,129
1,459,954
2,246,083
353,372
12/1/2010
Saint Cloud
MN
175,000
322,000
3,000
None
175,000
325,000
500,000
79,642
12/1/2010
Saint Cloud
MN
677,052
1,255,383
2,000
None
677,052
1,257,383
1,934,435
304,601
12/1/2010
Saint Michael
MN
561,604
1,040,480
2,500
None
561,604
1,042,980
1,604,584
252,970
12/1/2010
Saint Paul
MN
808,755
1,500,473
1,500
None
808,755
1,501,973
2,310,728
363,527
12/1/2010
Saint Paul
MN
418,774
776,223
1,500
None
418,774
777,723
1,196,497
188,500
12/1/2010
Saint Paul
MN
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Saint Paul
MN
832,144
1,543,409
2,000
None
832,144
1,545,409
2,377,553
374,207
12/1/2010
Saint Paul
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Saint Paul
MN
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Saint Paul
MN
979,764
1,818,061
1,500
None
979,764
1,819,561
2,799,325
440,277
12/1/2010
Saint Paul
MN
979,764
1,818,061
1,500
None
979,764
1,819,561
2,799,325
440,277
12/1/2010
Saint Paul
MN
576,820
1,069,736
1,500
None
576,820
1,071,236
1,648,056
259,432
12/1/2010
Saint Paul
MN
979,764
1,818,061
1,500
None
979,764
1,819,561
2,799,325
440,277
12/1/2010
Saint Paul
MN
531,091
984,311
2,000
None
531,091
986,311
1,517,402
239,092
12/1/2010
Saint Paul
MN
592,617
1,099,075
1,500
None
592,617
1,100,575
1,693,192
266,522
12/1/2010
Saint Paul
MN
739,277
1,371,444
1,500
None
739,277
1,372,944
2,112,221
332,345
12/1/2010
Saint Paul
MN
788,752
1,463,324
1,500
None
788,752
1,464,824
2,253,576
354,549
12/1/2010
Saint Paul
MN
950,678
1,764,046
1,500
None
950,678
1,765,546
2,716,224
427,224
12/1/2010
Saint Paul
MN
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Saint Paul
MN
262,500
486,000
1,500
None
262,500
487,500
750,000
118,363
12/1/2010
Saint Paul
MN
541,547
1,004,231
1,500
None
541,547
1,005,731
1,547,278
243,602
12/1/2010
Saint Paul
MN
827,608
1,535,987
1,000
None
827,608
1,536,987
2,364,595
371,805
12/1/2010
Saint Paul
MN
789,790
1,464,752
2,000
None
789,790
1,466,752
2,256,542
355,198
12/1/2010
Saint Paul
MN
648,354
1,202,586
1,500
None
648,354
1,204,086
1,852,440
174,925
5/1/2013
Saint Paul Park
MN
1,925,000
3,575,000
None
None
1,925,000
3,575,000
5,500,000
863,958
12/1/2010
Sauk Rapids
MN
175,000
323,000
2,000
None
175,000
325,000
500,000
79,275
12/1/2010
Savage
MN
605,220
1,122,481
1,500
None
605,220
1,123,981
1,729,201
272,179
12/1/2010
Savage
MN
569,195
1,055,575
1,500
None
569,195
1,057,075
1,626,270
256,010
12/1/2010
Savage
MN
175,000
323,000
2,000
None
175,000
325,000
500,000
79,275
12/1/2010
Shakopee
MN
522,391
966,156
4,000
None
522,391
970,156
1,492,547
235,921
12/1/2010
Shakopee
MN
477,517
883,817
3,000
None
477,517
886,817
1,364,334
215,414
12/1/2010
Shakopee
MN
688,324
1,276,317
2,000
None
688,324
1,278,317
1,966,641
309,660
12/1/2010
Shakopee
MN
783,764
1,454,062
1,500
None
783,764
1,455,562
2,239,326
352,311
12/1/2010
Vadnais Heights
MN
931,400
1,727,742
2,000
None
931,400
1,729,742
2,661,142
418,754
12/1/2010
White Bear Lake
MN
943,945
1,751,040
2,000
None
943,945
1,753,040
2,696,985
424,385
12/1/2010
White Bear Lake
MN
860,523
1,596,113
2,000
None
860,523
1,598,113
2,458,636
386,944
12/1/2010
Woodbury
MN
962,500
1,786,000
1,500
None
962,500
1,787,500
2,750,000
432,529
12/1/2010
Zimmerman
MN
979,764
1,817,561
2,000
None
979,764
1,819,561
2,799,325
440,461
12/1/2010
Bolivar
MO
712,586
1,258,249
None
712,586
1,258,625
1,971,211
199,370
1/22/2013
Bolivar
MO
734,876
1,297,609
None
734,876
1,297,997
2,032,873
205,607
1/22/2013
Fair Grove
MO
331,197
584,812
130,479
331,197
715,418
1,046,615
116,227
1/22/2013
Hollister
MO
660,909
1,167,001
None
660,909
1,167,350
1,828,259
184,912
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Monett
MO
493,610
871,592
None
493,610
871,852
1,365,462
138,104
1/22/2013
Springfield
MO
471,920
833,292
None
471,920
833,541
1,305,461
132,036
1/22/2013
Springfield
MO
794,438
1,402,780
None
794,438
1,403,199
2,197,637
222,271
1/22/2013
Springfield
MO
805,817
1,422,872
None
805,817
1,423,297
2,229,114
225,455
1/22/2013
Springfield
MO
600,117
1,059,657
None
600,117
1,059,974
1,660,091
167,903
1/22/2013
Springfield
MO
735,236
1,298,243
None
735,236
1,298,631
2,033,867
205,707
1/22/2013
Springfield
MO
782,041
1,380,889
None
782,041
1,381,302
2,163,343
218,802
1/22/2013
Springfield
MO
1,955,824
3,453,498
1,032
None
1,955,824
3,454,530
5,410,354
547,208
1/22/2013
Springfield
MO
839,527
1,482,396
None
839,527
1,482,839
2,322,366
234,886
1/22/2013
Waynesville
MO
511,912
903,909
None
511,912
904,179
1,416,091
143,225
1/22/2013
Brandon
MS
671,486
1,247,588
None
None
671,486
1,247,588
1,919,074
575,970
6/30/2005
Flowood
MS
437,926
813,832
None
None
437,926
813,832
1,251,758
375,720
6/30/2005
Flowood
MS
399,972
743,347
None
None
399,972
743,347
1,143,319
343,179
6/30/2005
Jackson
MS
329,904
613,221
None
None
329,904
613,221
943,125
283,104
6/30/2005
Jackson
MS
540,108
1,003,600
None
None
540,108
1,003,600
1,543,708
463,329
6/30/2005
Marion
MS
350,341
651,013
None
None
350,341
651,013
1,001,354
300,552
6/30/2005
Meridian
MS
437,926
813,671
None
None
437,926
813,671
1,251,597
375,645
6/30/2005
Meridian
MS
405,811
754,030
None
None
405,811
754,030
1,159,841
348,111
6/30/2005
Meridian
MS
145,975
271,478
None
None
145,975
271,478
417,453
125,333
6/30/2005
Meridian
MS
280,273
520,887
None
None
280,273
520,887
801,160
240,477
6/30/2005
Meridian
MS
321,146
596,794
None
None
321,146
596,794
917,940
273,531
7/19/2005
Newton
MS
467,121
867,891
None
None
467,121
867,891
1,335,012
400,677
6/30/2005
Pearl
MS
544,488
1,011,733
None
None
544,488
1,011,733
1,556,221
467,084
6/30/2005
Philadelphia
MS
472,960
878,735
None
None
472,960
878,735
1,351,695
405,683
6/30/2005
Southaven
MS
310,000
641,637
None
None
310,000
641,637
951,637
328,302
3/18/2004
Terry
MS
583,901
1,084,930
None
None
583,901
1,084,930
1,668,831
500,876
6/30/2005
Waveland
MS
180,000
331,637
None
None
180,000
331,637
511,637
169,685
3/18/2004
Archdale
NC
410,000
731,637
None
None
410,000
731,637
1,141,637
374,352
3/18/2004
Banner Elk
NC
386,993
718,861
2,000
None
386,993
720,861
1,107,854
254,548
3/27/2008
Banner Elk
NC
355,330
660,558
1,500
None
355,330
662,058
1,017,388
233,608
3/27/2008
Burgaw
NC
198,774
369,653
1,000
None
198,774
370,653
569,427
130,869
3/27/2008
Burgaw
NC
457,356
849,377
1,500
None
457,356
850,877
1,308,233
300,009
3/27/2008
Carolina Beach
NC
457,356
848,929
2,000
None
457,356
850,929
1,308,285
300,289
3/27/2008
Cary
NC
255,064
473,349
2,500
None
255,064
475,849
730,913
168,647
3/27/2008
Charlotte
NC
300,000
291,637
None
None
300,000
291,637
591,637
149,218
3/18/2004
Charlotte
NC
640,000
581,637
None
None
640,000
581,637
1,221,637
297,602
3/18/2004
Charlotte
NC
882,254
1,737,746
None
None
882,254
1,737,746
2,620,000
2,396
12/21/2016
Durham
NC
720,000
851,637
None
None
720,000
851,637
1,571,637
435,752
3/18/2004
Goldsboro
NC
460,000
740,625
None
None
460,000
740,625
1,200,625
472,742
1/25/2001
Hampstead
NC
562,900
1,045,971
1,000
None
562,900
1,046,971
1,609,871
368,707
3/27/2008
Holly Ridge
NC
721,215
1,339,486
1,500
None
721,215
1,340,986
2,062,201
472,364
3/27/2008
Hubert
NC
404,584
750,372
2,500
None
404,584
752,872
1,157,456
266,067
3/27/2008
Jacksonville
NC
180,000
371,637
None
None
180,000
371,637
551,637
190,152
3/18/2004
Jacksonville
NC
140,000
260,727
None
None
140,000
260,727
400,727
132,534
4/14/2004
Jacksonville
NC
351,812
653,367
1,500
None
351,812
654,867
1,006,679
231,079
3/27/2008
Kinston
NC
550,000
1,057,833
None
550,000
1,057,986
1,607,986
812,848
10/24/1997
Raleigh
NC
740,000
791,637
None
None
740,000
791,637
1,531,637
405,052
3/18/2004
Richlands
NC
492,537
914,735
1,500
None
492,537
916,235
1,408,772
322,993
3/27/2008
Richlands
NC
376,439
698,103
2,500
None
376,439
700,603
1,077,042
247,686
3/27/2008
Riegelwood
NC
-
452,416
1,500
None
-
453,916
453,916
169,963
3/27/2008
Roanoke Rapids
NC
834,223
1,551,226
50,351
834,223
1,602,057
2,436,280
636,737
11/1/2006
Roxboro
NC
243,112
368,107
None
None
243,112
368,107
611,219
203,065
3/19/2003
Shallotte
NC
492,537
914,766
1,500
None
492,537
916,266
1,408,803
323,004
3/27/2008
Southern Pines
NC
600,000
300,625
None
None
600,000
300,625
900,625
191,876
1/25/2001
Wallace
NC
-
175,408
2,000
None
-
177,408
177,408
86,218
3/27/2008
Wilmington
NC
527,718
979,145
2,500
None
527,718
981,645
1,509,363
346,519
3/27/2008
Wilmington
NC
351,812
653,930
1,000
None
351,812
654,930
1,006,742
230,839
3/27/2008
Wilmington
NC
474,946
881,640
2,000
None
474,946
883,640
1,358,586
311,792
3/27/2008
Wilmington
NC
-
351,366
2,000
None
-
353,366
353,366
219,739
3/27/2008
Wilmington
NC
364,126
676,287
1,500
None
364,126
677,787
1,041,913
239,139
3/27/2008
Wilmington
NC
439,765
817,271
1,000
None
439,765
818,271
1,258,036
288,281
3/27/2008
Wilmington
NC
-
804,196
1,500
None
-
805,696
805,696
284,120
3/27/2008
Wilmington
NC
386,993
718,788
1,500
None
386,993
720,288
1,107,281
254,085
3/27/2008
Wilmington
NC
527,718
979,102
2,500
None
527,718
981,602
1,509,320
346,504
3/27/2008
Wilmington
NC
334,222
620,284
2,000
None
334,222
622,284
956,506
219,882
3/27/2008
Wilmington
NC
334,222
620,751
1,500
None
334,222
622,251
956,473
219,609
3/27/2008
Winston Salem
NC
320,000
311,637
None
None
320,000
311,637
631,637
159,452
3/18/2004
Zebulon
NC
306,077
568,087
2,500
None
306,077
570,587
876,664
201,964
3/27/2008
Absecon
NJ
1,367,872
2,540,604
None
None
1,367,872
2,540,604
3,908,476
1,477,742
6/27/2002
Mays Landing
NJ
1,539,117
2,858,630
None
None
1,539,117
2,858,630
4,397,747
1,663,663
6/27/2002
Millville
NJ
953,891
1,771,782
None
None
953,891
1,771,782
2,725,673
1,030,577
6/27/2002
Toms River
NJ
1,265,861
2,351,154
None
None
1,265,861
2,351,154
3,617,015
1,367,942
6/27/2002
Toms River
NJ
982,526
1,824,961
None
None
982,526
1,824,961
2,807,487
1,061,167
6/27/2002
Wall Township
NJ
1,459,957
2,712,264
None
None
1,459,957
2,712,264
4,172,221
1,559,512
8/6/2002
Albuquerque
NM
200,000
271,637
None
None
200,000
271,637
471,637
138,985
3/18/2004
Amherst
NY
829,014
1,650,986
None
None
829,014
1,650,986
2,480,000
2,252
12/21/2016
Kingston
NY
257,763
456,042
None
None
257,763
456,042
713,805
395,996
4/6/1995
Rochester
NY
632,586
1,116,989
None
632,586
1,117,323
1,749,909
176,987
1/22/2013
Alliance
OH
454,440
841,460
2,500
None
454,440
843,960
1,298,400
221,807
6/22/2010
Atwater
OH
118,555
266,748
None
None
118,555
266,748
385,303
232,516
3/3/1995
Bellefontaine
OH
560,000
1,039,610
2,500
None
560,000
1,042,110
1,602,110
371,259
2/29/2008
Bellefontaine
OH
455,000
845,610
1,500
None
455,000
847,110
1,302,110
301,506
2/29/2008
Columbus
OH
147,296
304,411
None
None
147,296
304,411
451,707
265,345
3/3/1995
Columbus
OH
273,085
471,693
13,088
None
273,085
484,781
757,866
403,279
12/21/1995
Cuyahoga Falls
OH
321,792
1,144,619
None
None
321,792
1,144,619
1,466,411
623,935
3/3/1995
De Graff
OH
302,750
561,860
2,500
None
302,750
564,360
867,110
201,658
2/29/2008
Eaton
OH
164,588
306,934
None
None
164,588
306,934
471,522
118,166
5/25/2007
Galion
OH
138,981
327,597
None
None
138,981
327,597
466,578
285,556
3/6/1995
Jackson Center
OH
367,500
682,110
2,500
None
367,500
684,610
1,052,110
244,347
2/29/2008
Kenton
OH
140,000
261,462
1,000
None
140,000
262,462
402,462
88,413
8/29/2008
Marysville
OH
507,500
943,110
1,500
None
507,500
944,610
1,452,110
336,118
2/29/2008
Marysville
OH
700,000
1,300,610
1,500
None
700,000
1,302,110
2,002,110
463,031
2/29/2008
Marysville
OH
350,000
650,610
1,500
None
350,000
652,110
1,002,110
232,281
2/29/2008
Perrysburg
OH
211,678
390,680
None
211,678
390,814
602,492
313,681
1/10/1996
9/1/1995
Russells Point
OH
546,000
1,013,610
2,500
None
546,000
1,016,110
1,562,110
362,029
2/29/2008
Streetsboro
OH
402,988
533,349
None
402,988
533,463
936,451
400,125
1/27/1997
9/3/1996
Tiffin
OH
117,017
273,040
None
None
117,017
273,040
390,057
238,000
3/7/1995
Troy
OH
355,009
588,111
None
355,009
588,196
943,205
446,061
1/31/1997
6/27/1996
Wadsworth
OH
266,507
496,917
None
266,507
497,033
763,540
383,735
11/26/1996
7/1/1996
Edmond
OK
544,681
365,152
715,425
1,000
None
365,152
716,425
1,081,577
101,702
6/27/2013
Edmond
OK
454,910
352,862
692,398
2,000
None
352,862
694,398
1,047,260
98,790
6/27/2013
Edmond
OK
856,418
519,976
1,017,575
1,500
None
519,976
1,019,075
1,539,051
144,681
6/27/2013
Edmond
OK
1,435,403
962,803
1,886,389
1,000
None
962,803
1,887,389
2,850,192
267,588
6/27/2013
Midwest City
OK
604,624
405,372
794,228
1,000
None
405,372
795,228
1,200,600
112,866
6/27/2013
Midwest City
OK
663,965
445,188
872,239
1,000
None
445,188
873,239
1,318,427
123,917
6/27/2013
Moore
OK
457,500
306,341
600,193
2,000
None
306,341
602,193
908,534
85,727
6/27/2013
Moore
OK
440,160
294,864
577,709
1,500
None
294,864
579,209
874,073
82,367
6/27/2013
Norman
OK
357,463
248,874
487,810
2,000
None
248,874
489,810
738,684
69,806
6/27/2013
Norman
OK
481,067
390,000
521,739
2,000
None
390,000
523,739
913,739
74,613
6/27/2013
Norman
OK
741,775
470,199
920,644
2,000
None
470,199
922,644
1,392,843
131,125
6/27/2013
Norman
OK
1,040,929
697,964
1,367,492
1,500
None
697,964
1,368,992
2,066,956
194,253
6/27/2013
Norman
OK
244,009
163,252
319,845
1,500
None
163,252
321,345
484,597
45,836
6/27/2013
Oklahoma City
OK
706,752
453,873
888,815
2,000
None
453,873
890,815
1,344,688
126,615
6/27/2013
Oklahoma City
OK
776,271
520,386
1,019,567
1,500
None
520,386
1,021,067
1,541,453
144,964
6/27/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Oklahoma City
OK
612,873
410,750
804,762
1,500
None
410,750
806,262
1,217,012
114,533
6/27/2013
Oklahoma City
OK
628,833
421,459
825,743
1,500
None
421,459
827,243
1,248,702
117,505
6/27/2013
Oklahoma City
OK
228,063
166,843
327,194
2,000
None
166,843
329,194
496,037
47,053
6/27/2013
Oklahoma City
OK
637,261
426,956
836,510
2,000
None
426,956
838,510
1,265,466
119,206
6/27/2013
Oklahoma City
OK
627,179
456,873
895,930
2,000
None
456,873
897,930
1,354,803
127,623
6/27/2013
Oklahoma City
OK
345,167
220,000
510,953
2,500
None
220,000
513,453
733,453
73,260
6/27/2013
Oklahoma City
OK
514,142
344,347
674,656
2,000
None
344,347
676,656
1,021,003
96,276
6/27/2013
Oklahoma City
OK
244,009
178,588
350,229
2,000
None
178,588
352,229
530,817
50,316
6/27/2013
Oklahoma City
OK
299,838
200,554
392,926
2,000
None
200,554
394,926
595,480
56,365
6/27/2013
Oklahoma City
OK
677,738
479,805
940,620
1,000
None
479,805
941,620
1,421,425
133,604
6/27/2013
Oklahoma City
OK
579,464
388,491
761,152
1,000
None
388,491
762,152
1,150,643
108,180
6/27/2013
Oklahoma City
OK
661,812
514,604
1,009,798
1,000
None
514,604
1,010,798
1,525,402
143,405
6/27/2013
Oklahoma City
OK
914,085
612,698
1,200,429
2,000
None
612,698
1,202,429
1,815,127
170,761
6/27/2013
Oklahoma City
OK
331,511
221,963
434,876
1,500
None
221,963
436,376
658,339
62,132
6/27/2013
Oklahoma City
OK
491,498
306,360
599,729
1,000
None
306,360
600,729
907,089
85,312
6/27/2013
Oklahoma City
OK
425,198
180,000
616,260
2,000
None
180,000
618,260
798,260
88,003
6/27/2013
Oklahoma City
OK
638,778
440,000
827,361
2,000
None
440,000
829,361
1,269,361
117,909
6/27/2013
Oklahoma City
OK
575,459
411,910
807,611
1,000
None
411,910
808,611
1,220,521
114,762
6/27/2013
Oklahoma City
OK
760,776
471,600
923,140
1,500
None
471,600
924,640
1,396,240
131,303
6/27/2013
Oklahoma City
OK
620,761
481,598
945,011
1,000
None
481,598
946,011
1,427,609
134,227
6/27/2013
Oklahoma City
OK
422,259
275,094
538,804
1,500
None
275,094
540,304
815,398
76,856
6/27/2013
Oklahoma City
OK
604,145
404,894
793,287
1,500
None
404,894
794,787
1,199,681
112,907
6/27/2013
Tulsa
OK
126,545
508,266
None
None
126,545
508,266
634,811
397,253
6/27/1997
Yukon
OK
922,218
618,155
1,211,121
2,000
None
618,155
1,213,121
1,831,276
172,276
6/27/2013
Yukon
OK
591,063
390,000
696,726
1,500
None
390,000
698,226
1,088,226
99,228
6/27/2013
Yukon
OK
988,190
713,299
1,398,650
1,000
None
713,299
1,399,650
2,112,949
198,492
6/27/2013
Yukon
OK
1,213,232
813,732
1,594,318
1,000
None
813,732
1,595,318
2,409,050
226,212
6/27/2013
Gresham
OR
764,719
1,546,209
None
None
764,719
1,546,209
2,310,928
2,077
12/21/2016
Aliquippa
PA
226,195
452,631
None
None
226,195
452,631
678,826
234,612
1/29/2004
Allentown
PA
3,922,420
5,970,215
1,565
None
3,922,420
5,971,780
9,894,200
945,897
1/22/2013
Beaver
PA
95,626
223,368
None
None
95,626
223,368
318,994
115,777
1/29/2004
Beaver Falls
PA
92,207
230,758
None
None
92,207
230,758
322,965
119,607
1/29/2004
Bensalem
PA
569,763
387,611
None
None
569,763
387,611
957,374
211,242
5/29/2003
Downingtown
PA
1,722,222
None
None
1,722,222
1,722,798
2/25/2003
Mount Washington
PA
118,118
231,108
None
None
118,118
231,108
349,226
119,789
1/29/2004
Penndel
PA
739,487
1,003,809
None
None
739,487
1,003,809
1,743,296
547,070
5/29/2003
Perryopolis
PA
148,953
134,299
None
None
148,953
134,299
283,252
69,609
1/29/2004
Philadelphia
PA
808,681
256,843
None
None
808,681
256,843
1,065,524
139,974
5/29/2003
Philadelphia
PA
425,928
167,147
None
None
425,928
167,147
593,075
91,090
5/29/2003
Philadelphia
PA
390,342
226,919
None
None
390,342
226,919
617,261
123,665
5/29/2003
Philadelphia
PA
541,792
236,049
None
None
541,792
236,049
777,841
128,641
5/29/2003
Philadelphia
PA
614,101
277,277
None
None
614,101
277,277
891,378
151,110
5/29/2003
Philadelphia
PA
1,011,389
491,302
None
None
1,011,389
491,302
1,502,691
267,754
5/29/2003
Philadelphia
PA
935,672
448,426
None
None
935,672
448,426
1,384,098
244,387
5/29/2003
Philadelphia
PA
689,172
426,596
None
None
689,172
426,596
1,115,768
232,489
5/29/2003
Philadelphia
PA
349,294
134,485
None
None
349,294
134,485
483,779
73,289
5/29/2003
Pittsburgh
PA
497,668
320,170
None
None
497,668
320,170
817,838
165,953
1/29/2004
Pittsburgh
PA
296,277
287,540
None
None
296,277
287,540
583,817
149,039
1/29/2004
Pittsburgh
PA
395,417
474,741
None
None
395,417
474,741
870,158
246,072
1/29/2004
South Park
PA
252,247
436,182
None
None
252,247
436,182
688,429
226,046
1/29/2004
Southampton
PA
783,279
163,721
None
None
783,279
163,721
947,000
89,222
5/29/2003
Valencia
PA
440,565
278,492
None
None
440,565
278,492
719,057
144,350
1/29/2004
Verona
PA
1,254,411
-
None
None
1,254,411
-
1,254,411
-
1/29/2004
Willow Grove
PA
329,934
73,123
None
None
329,934
73,123
403,057
39,847
5/29/2003
Aiken
SC
400,000
402,665
None
None
400,000
402,665
802,665
281,190
7/22/1999
Aiken
SC
320,000
432,527
None
None
320,000
432,527
752,527
302,044
7/22/1999
Aiken
SC
330,000
472,679
None
None
330,000
472,679
802,679
330,083
7/22/1999
Aiken
SC
560,000
543,588
None
None
560,000
543,588
1,103,588
379,600
7/22/1999
Aiken
SC
360,000
542,982
None
None
360,000
542,982
902,982
379,178
7/22/1999
Aiken
SC
540,000
388,058
None
None
540,000
388,058
928,058
270,989
7/22/1999
Aiken
SC
250,000
251,770
None
None
250,000
251,770
501,770
175,817
7/22/1999
Beech Island
SC
330,000
481,637
None
None
330,000
481,637
811,637
246,435
3/18/2004
Belvedere
SC
490,000
463,080
None
None
490,000
463,080
953,080
323,380
7/22/1999
Bishopville
SC
191,738
356,130
1,500
None
191,738
357,630
549,368
126,550
3/27/2008
Bonneau
SC
128,411
239,191
1,500
None
128,411
240,691
369,102
85,427
3/27/2008
Camden
SC
269,136
499,897
1,500
None
269,136
501,397
770,533
177,108
3/27/2008
Columbia
SC
520,000
471,637
None
None
520,000
471,637
991,637
241,318
3/18/2004
Conway
SC
-
251,890
1,000
None
-
252,890
252,890
138,518
3/27/2008
Cordova
SC
137,207
255,025
2,000
None
137,207
257,025
394,232
91,433
3/27/2008
Eastover
SC
138,966
258,625
1,000
None
138,966
259,625
398,591
91,824
3/27/2008
Florence
SC
193,497
359,413
1,500
None
193,497
360,913
554,410
127,705
3/27/2008
Florence
SC
337,740
627,293
1,500
None
337,740
628,793
966,533
221,909
3/27/2008
Goose Creek
SC
150,000
241,637
None
None
150,000
241,637
391,637
123,635
3/18/2004
Greenville
SC
390,000
462,847
None
None
390,000
462,847
852,847
323,217
7/22/1999
Greenville
SC
300,000
402,392
None
None
300,000
402,392
702,392
281,000
7/22/1999
Greenville
SC
370,000
432,695
None
None
370,000
432,695
802,695
302,161
7/22/1999
Greenville
SC
620,000
483,604
None
None
620,000
483,604
1,103,604
337,711
7/22/1999
Greenville
SC
680,000
423,604
None
None
680,000
423,604
1,103,604
295,811
7/22/1999
Greer
SC
400,000
502,879
None
None
400,000
502,879
902,879
351,172
7/22/1999
Hemingway
SC
246,269
458,069
1,500
None
246,269
459,569
705,838
162,399
3/27/2008
Hilton Head
SC
500,000
691,637
None
None
500,000
691,637
1,191,637
353,885
3/18/2004
Hilton Head
SC
185,500
344,510
None
None
185,500
344,510
530,010
175,126
4/14/2004
Irmo
SC
690,000
461,637
None
None
690,000
461,637
1,151,637
236,202
3/18/2004
Jackson
SC
170,000
632,626
None
None
170,000
632,626
802,626
441,780
7/22/1999
Kingstree
SC
-
301,766
2,000
None
-
303,766
303,766
155,510
3/27/2008
Kingstree
SC
209,328
389,965
1,000
None
209,328
390,965
600,293
138,012
3/27/2008
Lake City
SC
202,292
376,398
1,500
None
202,292
377,898
580,190
133,678
3/27/2008
Lexington
SC
640,000
563,891
None
None
640,000
563,891
1,203,891
393,778
7/22/1999
Lexington
SC
540,000
563,588
None
None
540,000
563,588
1,103,588
393,567
7/22/1999
Lexington
SC
360,000
843,891
None
None
360,000
843,891
1,203,891
589,311
7/22/1999
Lugoff
SC
200,533
372,490
1,500
None
200,533
373,990
574,523
132,304
3/27/2008
Moncks Corner
SC
351,812
654,578
1,000
None
351,812
655,578
1,007,390
231,067
3/27/2008
Mount Pleasant
SC
668,443
1,241,940
1,000
None
668,443
1,242,940
1,911,383
437,623
3/27/2008
Myrtle Beach
SC
492,537
913,807
2,500
None
492,537
916,307
1,408,844
323,542
3/27/2008
Myrtle Beach
SC
703,624
1,307,326
1,000
None
703,624
1,308,326
2,011,950
460,617
3/27/2008
Myrtle Beach
SC
-
176,002
1,500
None
-
177,502
177,502
63,205
3/27/2008
Myrtle Beach
SC
-
753,979
1,500
None
-
755,479
755,479
266,460
3/27/2008
Myrtle Beach
SC
-
327,278
1,000
None
-
328,278
328,278
210,065
3/27/2008
Myrtle Beach
SC
-
277,019
1,000
None
-
278,019
278,019
155,457
3/27/2008
North Augusta
SC
400,000
452,777
None
None
400,000
452,777
852,777
316,185
7/22/1999
North Augusta
SC
490,000
1,221,637
None
None
490,000
1,221,637
1,711,637
625,068
3/18/2004
Orangeburg
SC
320,000
691,637
None
None
320,000
691,637
1,011,637
353,885
3/18/2004
Pinewood
SC
325,426
605,076
1,500
None
325,426
606,576
932,002
214,096
3/27/2008
Simpsonville
SC
530,000
573,485
None
None
530,000
573,485
1,103,485
400,478
7/22/1999
Spartanburg
SC
470,000
432,879
None
None
470,000
432,879
902,879
302,289
7/22/1999
Summerton
SC
142,484
265,326
1,500
None
142,484
266,826
409,310
94,618
3/27/2008
Summerville
SC
297,500
553,227
None
None
297,500
553,227
850,727
281,221
4/14/2004
Sumter
SC
211,087
392,065
1,500
None
211,087
393,565
604,652
139,188
3/27/2008
Sumter
SC
263,859
490,128
1,500
None
263,859
491,628
755,487
173,673
3/27/2008
Sumter
SC
362,367
673,012
1,500
None
362,367
674,512
1,036,879
237,987
3/27/2008
Sumter
SC
181,183
336,587
1,500
None
181,183
338,087
519,270
119,678
3/27/2008
Sumter
SC
154,797
287,584
1,500
None
154,797
289,084
443,881
102,445
3/27/2008
Sumter
SC
351,812
653,469
1,500
None
351,812
654,969
1,006,781
231,115
3/27/2008
Sumter
SC
334,222
620,801
1,500
None
334,222
622,301
956,523
219,626
3/27/2008
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Sumter
SC
281,450
522,796
1,500
None
281,450
524,296
805,746
185,161
3/27/2008
Sumter
SC
146,002
271,250
1,500
None
146,002
272,750
418,752
96,701
3/27/2008
Sumter
SC
372,921
693,113
1,000
None
372,921
694,113
1,067,034
244,619
3/27/2008
Sumter
SC
149,520
277,726
1,500
None
149,520
279,226
428,746
98,978
3/27/2008
Sumter
SC
262,100
486,861
1,500
None
262,100
488,361
750,461
172,524
3/27/2008
Sumter
SC
184,701
344,620
None
None
184,701
344,620
529,321
121,190
3/27/2008
West Columbia
SC
410,000
693,574
None
None
410,000
693,574
1,103,574
484,340
7/22/1999
West Columbia
SC
336,000
624,727
None
None
336,000
624,727
960,727
317,567
4/14/2004
Arrington
TN
385,000
716,242
None
None
385,000
716,242
1,101,242
378,408
10/16/2003
Athens
TN
175,000
326,242
None
None
175,000
326,242
501,242
172,358
10/16/2003
Athens
TN
124,179
231,860
None
None
124,179
231,860
356,039
122,493
10/16/2003
Benton
TN
192,500
358,742
None
None
192,500
358,742
551,242
189,529
10/16/2003
Chattanooga
TN
181,731
338,741
None
None
181,731
338,741
520,472
178,962
10/16/2003
Chattanooga
TN
175,000
326,242
(79,571
)
None
162,879
258,792
421,671
136,722
10/16/2003
Chattanooga
TN
159,979
298,346
None
None
159,979
298,346
458,325
157,620
10/16/2003
Chattanooga
TN
105,000
196,242
None
None
105,000
196,242
301,242
103,675
10/16/2003
Chattanooga
TN
245,000
456,242
None
None
245,000
456,242
701,242
241,041
10/16/2003
Chattanooga
TN
297,500
553,742
None
None
297,500
553,742
851,242
292,554
10/16/2003
Chattanooga
TN
323,750
822,529
None
None
323,750
822,529
1,146,279
414,649
10/16/2003
Chattanooga
TN
280,000
521,242
None
None
280,000
521,242
801,242
275,383
10/16/2003
Chattanooga
TN
257,250
478,992
None
None
257,250
478,992
736,242
253,061
10/16/2003
Chattanooga
TN
283,209
527,201
None
None
283,209
527,201
810,410
278,532
10/16/2003
Chattanooga
TN
542,500
1,008,742
None
None
542,500
1,008,742
1,551,242
532,946
10/16/2003
Chattanooga
TN
332,500
618,742
None
None
332,500
618,742
951,242
326,896
10/16/2003
Chattanooga
TN
300,373
559,077
(39,679
)
None
260,694
559,077
819,771
295,373
10/16/2003
Chattanooga
TN
175,000
326,242
(24,664
)
None
150,336
326,242
476,578
172,358
10/16/2003
Cleveland
TN
110,009
205,545
None
None
110,009
205,545
315,554
108,590
10/16/2003
Cleveland
TN
227,500
423,742
None
None
227,500
423,742
651,242
223,871
10/16/2003
Cleveland
TN
280,000
521,242
None
None
280,000
521,242
801,242
275,383
10/16/2003
Cleveland
TN
245,000
456,242
None
None
245,000
456,242
701,242
241,041
10/16/2003
Cleveland
TN
157,500
293,742
None
None
157,500
293,742
451,242
155,187
10/16/2003
Cleveland
TN
122,500
228,742
None
None
122,500
228,742
351,242
120,846
10/16/2003
Cleveland
TN
300,373
559,077
None
None
300,373
559,077
859,450
295,373
10/16/2003
Dayton
TN
262,500
488,742
None
None
262,500
488,742
751,242
258,212
10/16/2003
Decatur
TN
181,731
338,742
None
None
181,731
338,742
520,473
178,962
10/16/2003
Dunlap
TN
315,000
586,242
None
None
315,000
586,242
901,242
309,725
10/16/2003
Etowah
TN
192,500
358,742
None
None
192,500
358,742
551,242
189,529
10/16/2003
Gallatin
TN
525,000
976,242
None
None
525,000
976,242
1,501,242
515,775
10/16/2003
Gray
TN
191,151
355,563
None
None
191,151
355,563
546,714
129,779
11/29/2007
Harrison
TN
484,313
900,680
None
None
484,313
900,680
1,384,993
475,853
10/16/2003
Hixson
TN
350,000
651,242
None
None
350,000
651,242
1,001,242
344,066
10/16/2003
Hixson
TN
271,250
504,992
None
None
271,250
504,992
776,242
266,798
10/16/2003
Hixson
TN
513,215
954,355
None
None
513,215
954,355
1,467,570
504,211
10/16/2003
Hixson
TN
94,500
176,742
None
None
94,500
176,742
271,242
93,372
10/16/2003
Hixson
TN
300,373
559,077
None
None
300,373
559,077
859,450
295,373
10/16/2003
Kimball
TN
332,500
618,742
None
None
332,500
618,742
951,242
326,896
10/16/2003
Kingsport
TN
155,603
289,545
None
None
155,603
289,545
445,148
105,683
11/29/2007
Kingsport
TN
310,303
576,845
None
None
310,303
576,845
887,148
210,547
11/29/2007
La Vergne
TN
577,500
1,073,742
(15,745
)
None
561,755
1,073,742
1,635,497
567,287
10/16/2003
Manchester
TN
266,119
495,463
None
None
266,119
495,463
761,582
261,763
10/16/2003
Manchester
TN
281,675
524,352
None
None
281,675
524,352
806,027
277,026
10/16/2003
Manchester
TN
319,846
595,242
None
None
319,846
595,242
915,088
314,480
10/16/2003
Monteagle
TN
271,173
504,849
None
None
271,173
504,849
776,022
266,722
10/16/2003
Mount Juliet
TN
397,128
738,764
None
None
397,128
738,764
1,135,892
390,308
10/16/2003
Murfreesboro
TN
549,500
1,021,742
None
None
549,500
1,021,742
1,571,242
539,814
10/16/2003
Murfreesboro
TN
467,810
870,032
None
None
467,810
870,032
1,337,842
459,661
10/16/2003
Murfreesboro
TN
300,373
559,077
None
None
300,373
559,077
859,450
295,373
10/16/2003
Nashville
TN
498,628
927,264
None
None
498,628
927,264
1,425,892
489,898
10/16/2003
Ocoee
TN
119,792
223,713
(11,239
)
None
108,553
223,713
332,266
118,189
10/16/2003
Ooltewah
TN
234,231
436,241
None
None
234,231
436,241
670,472
230,475
10/16/2003
Ooltewah
TN
700,000
1,301,242
(190,623
)
None
635,909
1,174,710
1,810,619
623,997
10/16/2003
Ooltewah
TN
105,000
196,242
None
None
105,000
196,242
301,242
103,675
10/16/2003
Roan Mountain
TN
286,303
532,274
None
None
286,303
532,274
818,577
194,278
11/29/2007
Shelbyville
TN
320,229
595,953
None
None
320,229
595,953
916,182
314,855
10/16/2003
Smyrna
TN
426,466
793,251
None
None
426,466
793,251
1,219,717
419,094
10/16/2003
Smyrna
TN
630,000
1,170,036
None
None
630,000
1,170,036
1,800,036
481,664
9/27/2006
Soddy Daisy
TN
297,500
553,732
None
None
297,500
553,732
851,232
292,549
10/16/2003
Soddy Daisy
TN
350,000
651,242
None
None
350,000
651,242
1,001,242
344,066
10/16/2003
Soddy Daisy
TN
245,000
456,242
None
None
245,000
456,242
701,242
241,041
10/16/2003
Sweetwater
TN
122,500
228,742
None
None
122,500
228,742
351,242
120,846
10/16/2003
Sweetwater
TN
339,231
1,131,287
None
None
339,231
1,131,287
1,470,518
520,183
10/16/2003
Sweetwater
TN
133,000
248,242
None
None
133,000
248,242
381,242
131,148
10/16/2003
Austin
TX
620,920
1,311,870
None
None
620,920
1,311,870
1,932,790
1,686
12/21/2016
Austin
TX
572,896
1,233,608
None
None
572,896
1,233,608
1,806,504
1,556
12/21/2016
Carrollton
TX
622,963
1,315,199
None
None
622,963
1,315,199
1,938,162
1,692
12/21/2016
Dallas
TX
675,268
1,400,436
None
None
675,268
1,400,436
2,075,704
1,834
12/21/2016
Dallas
TX
1,332,627
2,471,689
None
None
1,332,627
2,471,689
3,804,316
3,619
12/21/2016
Dallas
TX
1,408,443
2,595,241
None
None
1,408,443
2,595,241
4,003,684
3,825
12/21/2016
Duncanville
TX
764,026
1,545,079
None
None
764,026
1,545,079
2,309,105
2,075
12/21/2016
Elmendorf
TX
905,650
1,775,875
None
None
905,650
1,775,875
2,681,525
2,460
12/21/2016
Flower Mound
TX
503,918
1,121,199
None
None
503,918
1,121,199
1,625,117
1,369
12/21/2016
Forney
TX
996,338
1,923,662
None
None
996,338
1,923,662
2,920,000
2,706
12/21/2016
Fort Worth
TX
912,676
1,787,324
None
None
912,676
1,787,324
2,700,000
2,479
12/21/2016
Fort Worth
TX
1,007,746
1,942,254
None
None
1,007,746
1,942,254
2,950,000
2,737
12/21/2016
Fort Worth
TX
508,143
1,128,085
None
None
508,143
1,128,085
1,636,228
1,380
12/21/2016
Fort Worth
TX
1,509,438
2,759,824
None
None
1,509,438
2,759,824
4,269,262
4,100
12/21/2016
Garland
TX
1,194,085
2,245,915
None
None
1,194,085
2,245,915
3,440,000
3,243
12/21/2016
Grand Prairie
TX
1,185,095
2,231,266
None
None
1,185,095
2,231,266
3,416,361
3,219
12/21/2016
Grapevine
TX
1,724,069
3,109,593
None
None
1,724,069
3,109,593
4,833,662
4,683
12/21/2016
Irving
TX
1,329,747
2,466,995
None
None
1,329,747
2,466,995
3,796,742
3,612
12/21/2016
Irving
TX
814,003
1,626,524
None
None
814,003
1,626,524
2,440,527
2,211
12/21/2016
Leander
TX
620,467
1,311,131
None
None
620,467
1,311,131
1,931,598
1,685
12/21/2016
Roanoke
TX
829,014
1,650,986
None
None
829,014
1,650,986
2,480,000
2,252
12/21/2016
San Antonio
TX
726,717
1,484,279
None
None
726,717
1,484,279
2,210,996
1,974
12/21/2016
San Antonio
TX
742,794
1,510,480
None
None
742,794
1,510,480
2,253,274
2,017
12/21/2016
San Antonio
TX
981,613
1,899,665
None
None
981,613
1,899,665
2,881,278
2,666
12/21/2016
San Antonio
TX
574,336
1,235,955
None
None
574,336
1,235,955
1,810,291
1,560
12/21/2016
San Antonio
TX
574,421
1,236,093
None
None
574,421
1,236,093
1,810,514
1,560
12/21/2016
San Antonio
TX
528,525
1,161,301
None
None
528,525
1,161,301
1,689,826
1,436
12/21/2016
San Antonio
TX
722,998
1,478,219
None
None
722,998
1,478,219
2,201,217
1,964
12/21/2016
San Antonio
TX
2,372,794
4,166,775
None
None
2,372,794
4,166,775
6,539,569
6,445
12/21/2016
San Antonio
TX
526,458
1,157,932
None
None
526,458
1,157,932
1,684,390
1,430
12/21/2016
San Antonio
TX
1,376,985
2,543,975
None
None
1,376,985
2,543,975
3,920,960
3,740
12/21/2016
San Antonio
TX
849,068
1,683,667
None
None
849,068
1,683,667
2,532,735
2,306
12/21/2016
Schertz
TX
737,074
1,501,158
None
None
737,074
1,501,158
2,238,232
2,002
12/21/2016
Temple
TX
558,673
1,210,430
None
None
558,673
1,210,430
1,769,103
1,517
12/21/2016
The Colony
TX
973,521
1,886,479
None
None
973,521
1,886,479
2,860,000
2,644
12/21/2016
Universal City
TX
464,999
1,057,776
None
None
464,999
1,057,776
1,522,775
1,263
12/21/2016
Roy
UT
611,806
1,297,017
None
None
611,806
1,297,017
1,908,823
1,662
12/21/2016
Springville
UT
1,405,148
2,589,871
None
None
1,405,148
2,589,871
3,995,019
3,816
12/21/2016
West Jordan
UT
362,645
890,977
None
None
362,645
890,977
1,253,622
12/21/2016
Abingdon
VA
57,847
107,997
None
None
57,847
107,997
165,844
39,417
11/29/2007
Big Stone Gap
VA
527,303
979,860
None
None
527,303
979,860
1,507,163
357,647
11/29/2007
Bristol
VA
213,369
396,824
None
None
213,369
396,824
610,193
144,839
11/29/2007
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Bristol
VA
268,303
498,845
None
None
268,303
498,845
767,148
182,077
11/29/2007
Bristol
VA
171,156
318,428
None
None
171,156
318,428
489,584
116,225
11/29/2007
Carrollton
VA
1,011,549
1,948,451
None
None
1,011,549
1,948,451
2,960,000
2,747
12/21/2016
Castlewood
VA
387,303
720,307
None
None
387,303
720,307
1,107,610
262,911
11/29/2007
Charlottesville
VA
817,604
1,619,856
2,000
None
817,604
1,621,856
2,439,460
192,266
1/31/2014
Charlottesville
VA
536,443
1,062,813
2,500
None
536,443
1,065,313
1,601,756
126,495
1/31/2014
Charlottesville
VA
692,490
1,371,977
2,000
None
692,490
1,373,977
2,066,467
162,934
1/31/2014
Chatham
VA
347,728
525,031
None
None
347,728
525,031
872,759
289,635
3/19/2003
Chesapeake
VA
225,000
400,366
None
None
225,000
400,366
625,366
182,166
8/18/2005
Clintwood
VA
378,553
703,610
None
None
378,553
703,610
1,082,163
256,816
11/29/2007
Coeburn
VA
168,934
314,764
None
None
168,934
314,764
483,698
114,887
11/29/2007
Coeburn
VA
312,303
581,021
None
None
312,303
581,021
893,324
212,071
11/29/2007
Coeburn
VA
282,303
525,307
None
None
282,303
525,307
807,610
191,736
11/29/2007
Collinsville
VA
84,465
130,137
None
None
84,465
130,137
214,602
71,785
3/19/2003
Danville
VA
149,276
227,333
None
None
149,276
227,333
376,609
125,405
3/19/2003
Danville
VA
83,644
128,884
None
None
83,644
128,884
212,528
71,094
3/19/2003
Danville
VA
266,722
403,501
None
None
266,722
403,501
670,223
222,591
3/19/2003
Franklin
VA
536,667
863,699
None
None
536,667
863,699
1,400,366
392,983
8/18/2005
Gate City
VA
422,303
784,845
None
None
422,303
784,845
1,207,148
286,467
11/29/2007
Glen Allen
VA
329,698
498,015
None
None
329,698
498,015
827,713
274,731
3/19/2003
Gordonsville
VA
770,000
1,155,478
1,500
None
770,000
1,156,978
1,926,978
137,169
1/31/2014
Gordonsville
VA
2,190,000
2,286,653
3,000
None
2,190,000
2,289,653
4,479,653
271,462
1/31/2014
Hampton
VA
433,985
459,108
None
None
433,985
459,108
893,093
343,555
4/17/1998
Highland Springs
VA
396,720
598,547
None
None
396,720
598,547
995,267
330,191
3/19/2003
Honaker
VA
492,303
915,307
None
None
492,303
915,307
1,407,610
334,086
11/29/2007
Martinsville
VA
246,820
373,653
None
None
246,820
373,653
620,473
206,125
3/19/2003
Martinsville
VA
83,521
128,706
None
None
83,521
128,706
212,227
70,995
3/19/2003
Midlothian
VA
325,000
302,872
None
325,000
303,025
628,025
234,832
8/21/1997
Newport News
VA
490,616
605,304
None
None
490,616
605,304
1,095,920
423,627
1/20/2000
4/17/1998
Newport News
VA
1,186,479
2,233,521
None
None
1,186,479
2,233,521
3,420,000
3,223
12/21/2016
Newport News
VA
787,183
1,582,817
None
None
787,183
1,582,817
2,370,000
2,138
12/21/2016
Norfolk
VA
1,045,775
2,004,225
None
None
1,045,775
2,004,225
3,050,000
2,840
12/21/2016
Norfolk
VA
1,026,761
1,973,239
None
None
1,026,761
1,973,239
3,000,000
2,789
12/21/2016
Norton
VA
157,826
293,688
None
None
157,826
293,688
451,514
107,194
11/29/2007
Norton
VA
457,303
849,860
None
None
457,303
849,860
1,307,163
310,197
11/29/2007
Norton
VA
222,256
413,344
None
None
222,256
413,344
635,600
150,869
11/29/2007
Pound
VA
256,170
476,327
None
None
256,170
476,327
732,497
173,858
11/29/2007
Pound
VA
276,303
513,717
None
None
276,303
513,717
790,020
187,505
11/29/2007
Richlands
VA
492,303
915,307
None
None
492,303
915,307
1,407,610
334,086
11/29/2007
Richlands
VA
140,051
261,125
None
None
140,051
261,125
401,176
95,309
11/29/2007
Richmond
VA
700,000
400,740
None
None
700,000
400,740
1,100,740
299,879
4/17/1998
Richmond
VA
400,000
250,875
None
None
400,000
250,875
650,875
187,729
4/17/1998
Richmond
VA
1,000,000
None
None
1,000,000
1,000,740
4/17/1998
Richmond
VA
700,000
100,695
None
None
700,000
100,695
800,695
75,346
4/17/1998
Richmond
VA
1,144,841
3,371,146
None
None
1,144,841
3,371,146
4,515,987
1,936,569
8/22/2002
Richmond
VA
298,227
451,014
None
None
298,227
451,014
749,241
248,802
3/19/2003
Richmond
VA
213,982
324,659
None
None
213,982
324,659
538,641
179,096
3/19/2003
Richmond
VA
482,735
727,776
None
None
482,735
727,776
1,210,511
401,483
3/19/2003
Richmond
VA
350,453
529,365
None
None
350,453
529,365
879,818
292,026
3/19/2003
Richmond
VA
323,496
488,918
None
None
323,496
488,918
812,414
269,712
3/19/2003
Richmond
VA
278,443
421,584
None
None
278,443
421,584
700,027
232,567
3/19/2003
Roanoke
VA
325,000
575,366
None
None
325,000
575,366
900,366
261,791
8/18/2005
Rosedale
VA
211,147
393,160
None
None
211,147
393,160
604,307
143,502
11/29/2007
Saint Paul
VA
334,803
622,807
None
None
334,803
622,807
957,610
227,323
11/29/2007
Saint Paul
VA
422,303
785,307
None
None
422,303
785,307
1,207,610
286,636
11/29/2007
Sandston
VA
152,535
232,528
None
None
152,535
232,528
385,063
128,271
3/19/2003
South Boston
VA
160,893
244,778
None
None
160,893
244,778
405,671
135,029
3/19/2003
Stafford
VA
271,865
601,997
None
271,865
602,158
874,023
482,761
12/20/1996
Staunton
VA
675,000
1,000,366
None
None
675,000
1,000,366
1,675,366
455,166
8/18/2005
Suffolk
VA
700,000
1,000,366
None
None
700,000
1,000,366
1,700,366
455,166
8/18/2005
Tazewell
VA
153,382
285,882
None
None
153,382
285,882
439,264
104,345
11/29/2007
Troutville
VA
575,000
975,366
(93,309
)
None
481,691
975,366
1,457,057
443,791
8/18/2005
Virginia Beach
VA
1,194,560
2,218,773
None
None
1,194,560
2,218,773
3,413,333
1,290,571
6/27/2002
Virginia Beach
VA
566,987
1,223,979
None
None
566,987
1,223,979
1,790,966
1,540
12/21/2016
Warrenton
VA
515,971
649,125
None
515,971
649,286
1,165,257
520,543
12/20/1996
Weber City
VA
369,803
687,345
None
None
369,803
687,345
1,057,148
250,879
11/29/2007
Williamsburg
VA
838,172
1,556,910
None
None
838,172
1,556,910
2,395,082
905,527
6/27/2002
Wise
VA
334,803
622,360
None
None
334,803
622,360
957,163
227,160
11/29/2007
Wise
VA
66,733
124,517
None
None
66,733
124,517
191,250
45,447
11/29/2007
Wise
VA
527,303
979,860
None
None
527,303
979,860
1,507,163
357,647
11/29/2007
Wytheville
VA
1,222,535
1,577,830
None
None
1,222,535
1,577,830
2,800,365
717,913
8/18/2005
Yorktown
VA
309,435
447,144
None
None
309,435
447,144
756,579
334,597
4/17/1998
Yorktown
VA
2,121,289
4,701,469
1,623
None
2,121,289
4,703,092
6,824,381
745,035
1/22/2013
Tumwater
WA
422,960
989,269
None
None
422,960
989,269
1,412,229
1,149
12/21/2016
East Troy
WI
578,813
1,072,938
2,000
None
578,813
1,074,938
1,653,751
303,611
12/28/2009
Ellsworth
WI
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Menomonie
WI
770,442
1,428,821
2,000
None
770,442
1,430,821
2,201,263
346,515
12/1/2010
Menomonie
WI
175,000
323,000
2,000
None
175,000
325,000
500,000
79,275
12/1/2010
Menomonie
WI
441,256
817,975
1,500
None
441,256
819,475
1,260,731
198,590
12/1/2010
Mondovi
WI
175,000
323,500
1,500
None
175,000
325,000
500,000
79,092
12/1/2010
Osseo
WI
613,373
1,136,622
2,500
None
613,373
1,139,122
1,752,495
276,204
12/1/2010
Crafts and novelties
Enterprise
AL
1,187,964
2,667,017
None
None
1,187,964
2,667,017
3,854,981
4,445
12/29/2016
Morgan Hill
CA
319,063
2,518,205
None
None
319,063
2,518,205
2,837,268
432,292
9/18/2012
Rancho Cucamonga
CA
2,790,740
4,713,106
45,796
None
2,790,740
4,758,902
7,549,642
817,252
9/18/2012
Roseville
CA
1,415,674
4,367,269
None
None
1,415,674
4,367,269
5,782,943
749,715
9/18/2012
Temecula
CA
2,027,441
4,644,558
9,194
None
2,027,441
4,653,752
6,681,193
798,056
9/18/2012
Clermont
FL
980,500
4,587,292
None
None
980,500
4,587,292
5,567,792
683,565
5/10/2013
6/26/2012
Cutler Bay
FL
743,498
657,485
437,136
743,498
1,094,826
1,838,324
691,829
12/31/1998
Albany
GA
653,464
12,112,986
None
653,464
12,113,358
12,766,822
1,335,620
1/22/2013
Rockford
IL
159,587
618,398
178,656
159,587
797,265
956,852
537,486
11/26/1996
Hickory
NC
1,400,000
2,975,082
None
None
1,400,000
2,975,082
4,375,082
In-progress
6/8/2016
N/A
Minot
ND
500,000
2,514,029
None
None
500,000
2,514,029
3,014,029
29,330
9/15/2016
Clovis
NM
150,000
2,939,618
53,910
None
150,000
2,993,528
3,143,528
310,092
6/30/2014
Stony Brook
NY
980,000
1,801,586
78,970
None
980,000
1,880,556
2,860,556
1,303,289
1/11/1999
Columbia
SC
1,102,910
4,391,377
None
None
1,102,910
4,391,377
5,494,287
511,964
1/27/2014
6/21/2013
Diversified industrial
Jacksonville
FL
2,210,000
41,394,890
None
None
2,210,000
41,394,890
43,604,890
2,016,006
10/30/2014
2/25/2015
West Point
GA
430,000
12,263,738
96,954
None
430,000
12,360,692
12,790,692
308,755
2/3/2016
Cedar Rapids
IA
1,000,000
12,981,440
None
None
1,000,000
12,981,440
13,981,440
1,189,965
10/10/2013
Buffalo Grove
IL
10,084,963
3,130,000
17,353,386
None
None
3,130,000
17,353,386
20,483,386
1,342,822
4/1/2014
Portland
TN
9,687,113
1,481,370
10,969,189
None
None
1,481,370
10,969,189
12,450,559
1,883,044
9/19/2012
Deer Park
TX
9,790,000
2,410,000
13,364,183
None
None
2,410,000
13,364,183
15,774,183
1,034,133
4/1/2014
Dollar stores
Andalusia
AL
334,025
1,085,582
None
None
334,025
1,085,582
1,419,607
171,884
1/22/2013
Ariton
AL
113,182
824,898
None
None
113,182
824,898
938,080
97,613
1/31/2014
Bessemer
AL
391,797
1,273,339
None
None
391,797
1,273,339
1,665,136
201,612
1/22/2013
Bessemer
AL
279,833
1,100,867
None
None
279,833
1,100,867
1,380,700
148,617
8/22/2013
Birmingham
AL
707,673
1,314,251
None
None
707,673
1,314,251
2,021,924
238,756
6/1/2012
Birmingham
AL
322,861
599,600
None
None
322,861
599,600
922,461
96,935
12/14/2012
Birmingham
AL
248,925
979,275
None
None
248,925
979,275
1,228,200
132,202
8/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Birmingham
AL
235,245
925,455
None
None
235,245
925,455
1,160,700
124,936
8/22/2013
Birmingham
AL
265,160
1,043,140
None
None
265,160
1,043,140
1,308,300
140,824
8/22/2013
Birmingham
AL
312,444
1,229,156
None
None
312,444
1,229,156
1,541,600
165,936
8/22/2013
Birmingham
AL
266,882
1,049,918
None
None
266,882
1,049,918
1,316,800
141,739
8/22/2013
Camp Hill
AL
127,780
851,515
None
None
127,780
851,515
979,295
100,763
1/24/2014
Castleberry
AL
121,658
810,716
None
None
121,658
810,716
932,374
95,935
1/24/2014
Cedar Bluff
AL
160,037
836,150
None
None
160,037
836,150
996,187
98,944
1/24/2014
Center Point
AL
232,043
912,857
None
None
232,043
912,857
1,144,900
123,236
8/22/2013
Clanton
AL
300,000
962,598
None
None
300,000
962,598
1,262,598
113,907
1/31/2014
Crossville
AL
268,814
873,647
None
None
268,814
873,647
1,142,461
138,327
1/22/2013
Cullman
AL
277,067
685,954
None
None
277,067
685,954
963,021
81,171
1/24/2014
Decatur
AL
301,085
559,159
None
None
301,085
559,159
860,244
101,580
6/1/2012
Decatur
AL
269,275
765,035
None
None
269,275
765,035
1,034,310
90,529
1/31/2014
Duncanville
AL
162,574
786,023
None
None
162,574
786,023
948,597
93,013
1/31/2014
Enterprise
AL
294,944
837,962
None
None
294,944
837,962
1,132,906
99,159
1/31/2014
Eufaula
AL
201,712
1,053,886
None
None
201,712
1,053,886
1,255,598
124,710
1/24/2014
Evergreen
AL
193,413
1,010,529
None
None
193,413
1,010,529
1,203,942
119,579
1/24/2014
Florence
AL
419,440
778,959
None
None
419,440
778,959
1,198,399
125,932
12/14/2012
Forestdale
AL
287,839
1,132,361
None
None
287,839
1,132,361
1,420,200
152,869
8/22/2013
Frisco City
AL
163,025
788,202
None
None
163,025
788,202
951,227
93,271
1/31/2014
Gilbertown
AL
171,006
1,246,332
None
None
171,006
1,246,332
1,417,338
147,483
1/31/2014
Huntsville
AL
501,318
931,020
None
None
501,318
931,020
1,432,338
169,135
6/1/2012
Jasper
AL
276,246
897,800
None
None
276,246
897,800
1,174,046
142,152
1/22/2013
Jasper
AL
282,574
918,366
None
None
282,574
918,366
1,200,940
145,408
1/22/2013
Jasper
AL
280,753
912,446
None
None
280,753
912,446
1,193,199
144,471
1/22/2013
Lillian
AL
203,832
985,500
None
None
203,832
985,500
1,189,332
116,618
1/31/2014
Livingston
AL
239,319
941,481
None
None
239,319
941,481
1,180,800
127,100
8/22/2013
Marbury
AL
160,000
1,006,765
None
None
160,000
1,006,765
1,166,765
119,134
1/31/2014
Mobile
AL
212,971
837,829
None
None
212,971
837,829
1,050,800
113,107
8/22/2013
Montgomery
AL
532,170
988,317
None
None
532,170
988,317
1,520,487
159,778
12/14/2012
Montgomery
AL
366,980
681,533
None
None
366,980
681,533
1,048,513
110,181
12/14/2012
Moundville
AL
230,583
907,117
None
None
230,583
907,117
1,137,700
122,461
8/22/2013
Odenville
AL
176,981
855,676
None
None
176,981
855,676
1,032,657
101,255
1/31/2014
Opelika
AL
331,598
1,077,694
None
None
331,598
1,077,694
1,409,292
170,635
1/22/2013
Prichard
AL
429,411
797,478
None
None
429,411
797,478
1,226,889
128,926
12/14/2012
Remlap
AL
177,711
859,208
None
None
177,711
859,208
1,036,919
101,673
1/31/2014
Samson
AL
181,064
1,319,631
None
None
181,064
1,319,631
1,500,695
156,156
1/31/2014
Shelby
AL
277,350
901,388
None
None
277,350
901,388
1,178,738
142,720
1/22/2013
Slocomb
AL
268,240
1,055,260
None
None
268,240
1,055,260
1,323,500
142,460
8/22/2013
Slocomb
AL
280,000
2,597,341
None
None
280,000
2,597,341
2,877,341
307,352
1/31/2014
Smiths Station
AL
359,391
1,168,019
None
None
359,391
1,168,019
1,527,410
184,936
1/22/2013
Sycamore
AL
50,000
885,687
None
None
50,000
885,687
935,687
104,806
1/31/2014
Sylacauga
AL
147,110
980,328
None
None
147,110
980,328
1,127,438
116,006
1/24/2014
Thorsby
AL
298,516
970,178
None
None
298,516
970,178
1,268,694
153,611
1/22/2013
Troy
AL
257,985
1,014,915
None
None
257,985
1,014,915
1,272,900
137,014
8/22/2013
Uriah
AL
140,000
776,826
None
None
140,000
776,826
916,826
91,924
1/31/2014
Weaver
AL
220,771
627,231
19,229
None
220,771
646,460
867,231
77,830
12/20/2013
Webb
AL
173,294
905,411
None
None
173,294
905,411
1,078,705
107,140
1/24/2014
Wedowee
AL
251,256
988,444
None
None
251,256
988,444
1,239,700
133,440
8/22/2013
York
AL
218,727
860,473
None
None
218,727
860,473
1,079,200
116,164
8/22/2013
Atkins
AR
264,657
491,507
None
None
264,657
491,507
756,164
79,460
12/14/2012
Black Rock
AR
137,428
915,809
None
None
137,428
915,809
1,053,237
108,371
1/24/2014
Cabot
AR
479,323
1,186,692
None
None
479,323
1,186,692
1,666,015
140,425
1/24/2014
Clarendon
AR
156,618
1,043,684
None
None
156,618
1,043,684
1,200,302
123,503
1/24/2014
Dermott
AR
137,299
540,136
None
None
137,299
540,136
677,435
71,118
9/18/2013
Drasco
AR
135,176
900,796
None
None
135,176
900,796
1,035,972
106,594
1/24/2014
England
AR
147,813
985,008
None
None
147,813
985,008
1,132,821
116,559
1/24/2014
Greenbrier
AR
277,423
1,449,455
None
None
277,423
1,449,455
1,726,878
171,519
1/24/2014
Gurdon
AR
99,815
727,471
None
None
99,815
727,471
827,286
90,934
11/20/2013
Hampton
AR
128,214
854,405
None
None
128,214
854,405
982,619
101,105
1/24/2014
Haskell
AR
191,254
999,249
None
None
191,254
999,249
1,190,503
118,245
1/24/2014
Hope
AR
421,413
782,623
None
None
421,413
782,623
1,204,036
142,177
6/1/2012
Huntsville
AR
168,806
1,124,906
None
None
168,806
1,124,906
1,293,712
133,114
1/24/2014
Jasper
AR
110,000
835,511
None
None
110,000
835,511
945,511
98,869
1/24/2014
Jonesboro
AR
240,000
867,698
None
None
240,000
867,698
1,107,698
102,678
1/24/2014
Jonesboro
AR
380,000
806,115
None
None
380,000
806,115
1,186,115
95,390
1/24/2014
Little Rock
AR
248,520
977,680
None
None
248,520
977,680
1,226,200
131,987
8/22/2013
Little Rock
AR
157,195
618,405
None
None
157,195
618,405
775,600
83,485
8/22/2013
Malvern
AR
139,776
570,280
None
None
139,776
570,280
710,056
90,294
1/24/2013
Marianna
AR
230,373
427,836
None
None
230,373
427,836
658,209
69,167
12/14/2012
Ola
AR
126,412
842,394
None
None
126,412
842,394
968,806
99,683
1/24/2014
Pine Bluff
AR
562,282
1,044,237
None
None
562,282
1,044,237
1,606,519
189,703
6/1/2012
Pine Bluff
AR
579,851
1,076,865
None
None
579,851
1,076,865
1,656,716
174,093
12/14/2012
Pine Bluff
AR
243,412
602,631
None
None
243,412
602,631
846,043
71,311
1/24/2014
Pine Bluff
AR
279,924
693,026
None
None
279,924
693,026
972,950
82,008
1/24/2014
Prescott
AR
119,075
793,501
None
None
119,075
793,501
912,576
93,898
1/24/2014
Sherwood
AR
225,665
887,766
None
None
225,665
887,766
1,113,431
122,808
7/9/2013
West Fork
AR
281,211
1,469,249
None
None
281,211
1,469,249
1,750,460
173,861
1/24/2014
West Helena
AR
331,612
615,851
None
None
331,612
615,851
947,463
99,563
12/14/2012
Bisbee
AZ
181,118
946,292
None
None
181,118
946,292
1,127,410
111,978
1/24/2014
Camp Verde
AZ
244,826
454,678
None
None
244,826
454,678
699,504
82,600
6/1/2012
Douglas
AZ
188,809
986,472
None
None
188,809
986,472
1,175,281
116,733
1/24/2014
Gila Bend
AZ
161,460
1,075,950
None
None
161,460
1,075,950
1,237,410
127,321
1/24/2014
Phoenix
AZ
712,708
1,323,600
None
None
712,708
1,323,600
2,036,308
240,454
6/1/2012
Phoenix
AZ
642,917
1,193,990
None
None
642,917
1,193,990
1,836,907
216,908
6/1/2012
Phoenix
AZ
721,637
1,340,182
None
None
721,637
1,340,182
2,061,819
243,466
6/1/2012
Phoenix
AZ
580,167
1,077,452
None
None
580,167
1,077,452
1,657,619
195,737
6/1/2012
Salome
AZ
251,540
989,560
None
None
251,540
989,560
1,241,100
133,591
8/22/2013
Tolleson
AZ
581,123
1,079,228
None
None
581,123
1,079,228
1,660,351
196,060
6/1/2012
Tucson
AZ
461,061
856,257
None
None
461,061
856,257
1,317,318
155,553
6/1/2012
Tucson
AZ
259,447
1,020,665
None
None
259,447
1,020,665
1,280,112
144,594
6/21/2013
Williams
AZ
160,391
1,168,960
None
None
160,391
1,168,960
1,329,351
150,017
10/15/2013
Yuma
AZ
225,609
418,988
None
None
225,609
418,988
644,597
76,116
6/1/2012
Yuma
AZ
276,672
1,088,428
None
None
276,672
1,088,428
1,365,100
146,938
8/22/2013
Yuma
AZ
418,158
1,188,024
None
None
418,158
1,188,024
1,606,182
132,663
3/14/2014
Akron
CO
318,751
1,035,939
None
None
318,751
1,035,939
1,354,690
164,024
1/22/2013
Federal Heights
CO
561,752
1,043,254
None
None
561,752
1,043,254
1,605,006
189,524
6/1/2012
Holyoke
CO
361,977
1,176,425
None
None
361,977
1,176,425
1,538,402
186,267
1/22/2013
Keenesburg
CO
339,959
1,104,866
None
None
339,959
1,104,866
1,444,825
174,937
1/22/2013
Silver Cliff
CO
245,520
797,939
1,950
None
245,520
799,889
1,045,409
127,986
1/22/2013
Anthony
FL
259,074
1,353,588
None
None
259,074
1,353,588
1,612,662
160,175
1/24/2014
Baldwin
FL
252,938
995,062
None
None
252,938
995,062
1,248,000
134,333
8/22/2013
Bartow
FL
476,372
884,692
None
None
476,372
884,692
1,361,064
143,025
12/14/2012
Bradenton
FL
255,520
739,091
None
255,520
739,664
995,184
40,484
10/9/2015
Brandon
FL
605,652
1,124,782
None
None
605,652
1,124,782
1,730,434
181,840
12/14/2012
Cape Coral
FL
310,235
1,220,465
None
None
310,235
1,220,465
1,530,700
164,763
8/22/2013
Cape Coral
FL
299,371
1,177,729
None
None
299,371
1,177,729
1,477,100
158,993
8/22/2013
Casselberry
FL
314,673
1,237,927
None
None
314,673
1,237,927
1,552,600
167,120
8/22/2013
Century
FL
215,484
847,716
None
None
215,484
847,716
1,063,200
114,442
8/22/2013
Citrus Springs
FL
210,810
1,101,421
None
None
210,810
1,101,421
1,312,231
130,335
1/24/2014
Cottondale
FL
458,337
851,196
None
None
458,337
851,196
1,309,533
137,610
12/14/2012
Cross City
FL
308,087
1,609,668
None
None
308,087
1,609,668
1,917,755
190,477
1/24/2014
Crystal River
FL
432,782
803,739
None
None
432,782
803,739
1,236,521
129,938
12/14/2012
Daytona Beach
FL
315,423
1,240,877
None
None
315,423
1,240,877
1,556,300
167,518
8/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Debary
FL
257,762
1,014,038
None
None
257,762
1,014,038
1,271,800
136,895
8/22/2013
DeFuniak Springs
FL
282,063
1,109,637
None
None
282,063
1,109,637
1,391,700
149,801
8/22/2013
Deland
FL
471,921
1,168,367
None
None
471,921
1,168,367
1,640,288
138,257
1/24/2014
Destin
FL
420,175
2,195,293
None
None
420,175
2,195,293
2,615,468
259,776
1/24/2014
Dover
FL
432,677
1,071,208
None
None
432,677
1,071,208
1,503,885
126,760
1/24/2014
Dundee
FL
250,810
986,690
None
None
250,810
986,690
1,237,500
133,203
8/22/2013
Dunedin
FL
353,830
1,391,970
None
None
353,830
1,391,970
1,745,800
187,916
8/22/2013
Edgewater
FL
579,101
1,433,719
None
None
579,101
1,433,719
2,012,820
169,657
1/24/2014
Eustis
FL
572,540
1,417,475
None
None
572,540
1,417,475
1,990,015
167,735
1/24/2014
Fanning Springs
FL
440,000
1,647,482
None
None
440,000
1,647,482
2,087,482
194,952
1/24/2014
Fern Park
FL
663,492
1,232,199
None
None
663,492
1,232,199
1,895,691
199,206
12/14/2012
Florahome
FL
197,567
1,316,563
None
None
197,567
1,316,563
1,514,130
155,793
1/24/2014
Floral City
FL
259,079
1,019,221
None
None
259,079
1,019,221
1,278,300
137,595
8/22/2013
Fort Meade
FL
261,728
1,367,452
None
None
261,728
1,367,452
1,629,180
161,815
1/24/2014
Fort Myers
FL
352,006
1,384,794
None
None
352,006
1,384,794
1,736,800
186,947
8/22/2013
Fort Myers
FL
313,964
1,235,136
None
None
313,964
1,235,136
1,549,100
166,743
8/22/2013
Fort Myers
FL
282,549
1,111,551
None
None
282,549
1,111,551
1,394,100
150,059
8/22/2013
Ft White
FL
200,000
947,109
61,239
None
200,000
1,008,348
1,208,348
112,782
1/15/2014
Ft. Walton Beach
FL
294,345
1,157,955
None
None
294,345
1,157,955
1,452,300
156,324
8/22/2013
Ft. White
FL
204,195
803,305
None
None
204,195
803,305
1,007,500
108,446
8/22/2013
Gainesville
FL
491,957
913,635
None
None
491,957
913,635
1,405,592
147,704
12/14/2012
Gainesville
FL
578,261
1,431,639
None
None
578,261
1,431,639
2,009,900
169,411
1/24/2014
Gainesville
FL
868,725
1,621,793
None
None
868,725
1,621,793
2,490,518
191,912
1/24/2014
Greensboro
FL
185,185
1,234,053
None
None
185,185
1,234,053
1,419,238
146,030
1/24/2014
Groveland
FL
101,782
189,258
None
None
101,782
189,258
291,040
134,686
3/31/1999
Groveland
FL
730,550
1,363,839
None
None
730,550
1,363,839
2,094,389
161,388
1/24/2014
Hilliard
FL
461,328
1,499,315
None
None
461,328
1,499,315
1,960,643
237,392
1/22/2013
Holiday
FL
287,353
1,130,447
None
None
287,353
1,130,447
1,417,800
152,610
8/22/2013
Holiday
FL
296,473
1,166,327
None
None
296,473
1,166,327
1,462,800
157,454
8/22/2013
Homosassa
FL
331,697
1,733,022
None
None
331,697
1,733,022
2,064,719
205,074
1/24/2014
Hudson
FL
485,785
902,173
None
None
485,785
902,173
1,387,958
145,851
12/14/2012
Hudson
FL
917,578
1,712,997
None
None
917,578
1,712,997
2,630,575
202,705
1/24/2014
Immokalee
FL
659,438
1,224,671
None
None
659,438
1,224,671
1,884,109
222,482
6/1/2012
Inglis
FL
221,544
871,556
None
None
221,544
871,556
1,093,100
117,660
8/22/2013
Inglis
FL
231,860
1,545,090
None
None
231,860
1,545,090
1,776,950
182,836
1/24/2014
Jacksonville
FL
479,745
890,954
None
None
479,745
890,954
1,370,699
161,857
6/1/2012
Jacksonville
FL
635,245
1,179,740
None
None
635,245
1,179,740
1,814,985
190,725
12/14/2012
Jacksonville
FL
577,368
1,072,255
None
None
577,368
1,072,255
1,649,623
173,348
12/14/2012
Jacksonville
FL
774,832
1,438,974
None
None
774,832
1,438,974
2,213,806
232,634
12/14/2012
Jacksonville
FL
580,539
1,078,144
None
None
580,539
1,078,144
1,658,683
174,300
12/14/2012
Jacksonville
FL
484,992
1,576,223
None
None
484,992
1,576,223
2,061,215
249,569
1/22/2013
Jacksonville
FL
284,535
1,119,365
None
None
284,535
1,119,365
1,403,900
151,114
8/22/2013
Jacksonville
FL
316,457
1,244,943
None
None
316,457
1,244,943
1,561,400
168,067
8/22/2013
Jacksonville
FL
717,739
1,181,877
None
None
717,739
1,181,877
1,899,616
64,426
10/9/2015
Jacksonville
FL
501,314
806,878
None
None
501,314
806,878
1,308,192
45,173
10/9/2015
Jasper
FL
397,823
738,814
None
None
397,823
738,814
1,136,637
119,442
12/14/2012
Kissimmee
FL
283,238
1,114,262
None
None
283,238
1,114,262
1,397,500
150,425
8/22/2013
Kissimmee
FL
444,433
1,268,502
None
None
444,433
1,268,502
1,712,935
120,508
8/15/2014
Lake City
FL
262,680
1,372,428
None
None
262,680
1,372,428
1,635,108
162,404
1/24/2014
Lake City
FL
275,994
1,441,991
None
None
275,994
1,441,991
1,717,985
170,636
1/24/2014
Lakeland
FL
342,755
636,546
None
None
342,755
636,546
979,301
115,639
6/1/2012
Lakeland
FL
455,575
846,067
None
None
455,575
846,067
1,301,642
136,781
12/14/2012
Lakeland
FL
249,452
981,348
None
None
249,452
981,348
1,230,800
132,482
8/22/2013
Largo
FL
567,646
1,054,201
None
None
567,646
1,054,201
1,621,847
170,429
12/14/2012
Laurel Hill
FL
330,715
1,074,825
None
None
330,715
1,074,825
1,405,540
170,181
1/22/2013
Lawtey
FL
186,088
1,240,070
None
None
186,088
1,240,070
1,426,158
146,742
1/24/2014
Lehigh Acres
FL
560,116
1,040,215
None
None
560,116
1,040,215
1,600,331
168,168
12/14/2012
Lehigh Acres
FL
391,588
1,540,512
None
None
391,588
1,540,512
1,932,100
207,969
8/22/2013
Masaryktown
FL
290,081
1,141,181
None
None
290,081
1,141,181
1,431,262
161,667
6/10/2013
Mascotte
FL
279,063
1,097,837
None
None
279,063
1,097,837
1,376,900
148,208
8/22/2013
Miami
FL
648,087
1,203,591
None
None
648,087
1,203,591
1,851,678
194,581
12/14/2012
Micco
FL
276,043
1,085,957
None
None
276,043
1,085,957
1,362,000
146,604
8/22/2013
Milton
FL
150,059
784,013
None
None
150,059
784,013
934,072
92,775
1/24/2014
Milton
FL
660,000
1,295,281
None
None
660,000
1,295,281
1,955,281
153,275
1/24/2014
Monticello
FL
335,167
1,751,150
None
None
335,167
1,751,150
2,086,317
207,219
1/24/2014
Ocala
FL
482,475
896,026
None
None
482,475
896,026
1,378,501
144,858
12/14/2012
Ocala
FL
258,877
1,018,423
None
None
258,877
1,018,423
1,277,300
137,487
8/22/2013
Ocala
FL
500,472
1,239,053
None
None
500,472
1,239,053
1,739,525
146,621
1/24/2014
Ocala
FL
470,580
1,165,046
None
None
470,580
1,165,046
1,635,626
137,864
1/24/2014
Ocklawaha
FL
261,265
1,365,037
None
None
261,265
1,365,037
1,626,302
161,529
1/24/2014
Opa Locka
FL
665,870
1,236,615
None
None
665,870
1,236,615
1,902,485
224,652
6/1/2012
Orlando
FL
351,337
1,382,163
None
None
351,337
1,382,163
1,733,500
186,592
8/22/2013
Orlando
FL
401,945
1,560,171
None
None
401,945
1,560,171
1,962,116
96,211
8/22/2013
Pace
FL
322,488
798,404
None
None
322,488
798,404
1,120,892
94,478
1/24/2014
Palatka
FL
311,775
1,226,525
None
None
311,775
1,226,525
1,538,300
165,581
8/22/2013
Palm Bay
FL
290,940
1,144,560
None
None
290,940
1,144,560
1,435,500
154,516
8/22/2013
Panama City
FL
468,060
869,253
None
None
468,060
869,253
1,337,313
140,529
12/14/2012
Panama City
FL
462,383
1,144,753
None
None
462,383
1,144,753
1,607,136
135,462
1/24/2014
Panama City
FL
486,671
1,204,883
None
None
486,671
1,204,883
1,691,554
142,578
1/24/2014
Pensacola
FL
324,665
1,166,541
None
None
324,665
1,166,541
1,491,206
61,733
10/9/2015
Perry
FL
244,021
959,979
None
None
244,021
959,979
1,204,000
129,597
8/22/2013
Perry
FL
213,916
1,117,652
None
None
213,916
1,117,652
1,331,568
132,255
1/24/2014
Pinellas Park
FL
324,807
1,277,793
None
None
324,807
1,277,793
1,602,600
172,502
8/22/2013
Port St Joe
FL
950,000
2,678,477
None
None
950,000
2,678,477
3,628,477
316,953
1/31/2014
Punta Gorda
FL
544,349
1,347,680
None
None
544,349
1,347,680
1,892,029
159,475
1/24/2014
Riverview
FL
318,240
1,251,960
None
None
318,240
1,251,960
1,570,200
169,015
8/22/2013
Riviera Beach
FL
395,095
1,554,305
None
None
395,095
1,554,305
1,949,400
209,831
8/22/2013
Rockledge
FL
246,149
968,351
None
None
246,149
968,351
1,214,500
130,727
8/22/2013
Saint Cloud
FL
403,749
1,588,351
None
None
403,749
1,588,351
1,992,100
214,427
8/22/2013
San Antonio
FL
258,167
1,015,633
None
None
258,167
1,015,633
1,273,800
137,110
8/22/2013
San Mateo
FL
455,279
1,479,656
None
None
455,279
1,479,656
1,934,935
234,279
1/22/2013
Santa Rosa Beach
FL
316,256
1,652,348
None
None
316,256
1,652,348
1,968,604
195,528
1/24/2014
Seminole
FL
541,317
1,005,304
None
None
541,317
1,005,304
1,546,621
162,524
12/14/2012
Sneads
FL
222,497
875,303
None
None
222,497
875,303
1,097,800
118,166
8/22/2013
Sorrento
FL
253,303
996,497
None
None
253,303
996,497
1,249,800
134,527
8/22/2013
South Daytona
FL
652,903
1,212,534
None
None
652,903
1,212,534
1,865,437
196,026
12/14/2012
Spring Hill
FL
315,224
1,286,099
None
None
315,224
1,286,099
1,601,323
186,484
5/23/2013
Spring Hill
FL
314,531
1,237,369
None
None
314,531
1,237,369
1,551,900
167,045
8/22/2013
Tampa
FL
559,416
1,038,915
None
None
559,416
1,038,915
1,598,331
188,736
6/1/2012
Tampa
FL
552,447
1,025,973
None
None
552,447
1,025,973
1,578,420
186,385
6/1/2012
Tampa
FL
549,314
1,020,154
None
None
549,314
1,020,154
1,569,468
164,925
12/14/2012
Tampa
FL
611,153
1,134,998
None
None
611,153
1,134,998
1,746,151
183,491
12/14/2012
Tampa
FL
634,199
1,177,799
None
None
634,199
1,177,799
1,811,998
190,411
12/14/2012
Tampa
FL
378,121
1,228,892
12,109
None
378,121
1,241,001
1,619,122
195,954
1/22/2013
Tavares
FL
534,612
1,323,575
None
None
534,612
1,323,575
1,858,187
156,623
1/24/2014
Temple Terrace
FL
666,400
1,237,599
None
None
666,400
1,237,599
1,903,999
224,831
6/1/2012
Waldo
FL
150,203
1,000,934
None
None
150,203
1,000,934
1,151,137
118,444
1/24/2014
Webster
FL
244,703
962,663
12,302
None
244,703
974,965
1,219,668
131,969
8/2/2013
Weirsdale
FL
440,625
1,090,885
None
None
440,625
1,090,885
1,531,510
129,088
1/24/2014
Wildwood
FL
553,758
1,370,976
None
None
553,758
1,370,976
1,924,734
162,232
1/24/2014
Winter Haven
FL
441,079
819,148
None
None
441,079
819,148
1,260,227
148,812
6/1/2012
Winter Haven
FL
437,109
811,775
None
None
437,109
811,775
1,248,884
131,237
12/14/2012
Winter Springs
FL
336,947
1,325,553
None
None
336,947
1,325,553
1,662,500
178,950
8/22/2013
Yulee
FL
331,698
1,304,902
None
None
331,698
1,304,902
1,636,600
176,162
8/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Zephyrhills
FL
304,398
1,197,502
None
None
304,398
1,197,502
1,501,900
161,663
8/22/2013
Zolfo Springs
FL
420,000
1,144,259
None
None
420,000
1,144,259
1,564,259
135,404
1/24/2014
Athens
GA
396,815
982,422
None
None
396,815
982,422
1,379,237
116,253
1/24/2014
Atlanta
GA
368,101
1,045,807
None
None
368,101
1,045,807
1,413,908
127,240
12/4/2013
Atlanta
GA
386,653
1,098,516
None
None
386,653
1,098,516
1,485,169
122,668
3/28/2014
Atlanta
GA
477,551
1,363,030
None
None
477,551
1,363,030
1,840,581
129,488
8/1/2014
Auburn
GA
234,333
921,867
None
None
234,333
921,867
1,156,200
124,452
8/22/2013
Augusta
GA
572,784
1,063,741
None
None
572,784
1,063,741
1,636,525
193,246
6/1/2012
Augusta
GA
396,046
735,513
None
None
396,046
735,513
1,131,559
118,908
12/14/2012
Augusta
GA
244,244
960,856
None
None
244,244
960,856
1,205,100
129,716
8/22/2013
Augusta
GA
240,656
946,744
None
None
240,656
946,744
1,187,400
127,810
8/22/2013
Bogart
GA
341,583
970,468
None
None
341,583
970,468
1,312,051
118,074
12/4/2013
Brooklet
GA
189,211
988,573
None
None
189,211
988,573
1,177,784
116,981
1/24/2014
Brunswick
GA
525,784
976,455
None
None
525,784
976,455
1,502,239
157,860
12/14/2012
Brunswick
GA
374,722
695,913
None
None
374,722
695,913
1,070,635
112,506
12/14/2012
Carrollton
GA
184,110
724,290
None
None
184,110
724,290
908,400
97,779
8/22/2013
Carrollton
GA
266,882
1,049,918
None
None
266,882
1,049,918
1,316,800
141,739
8/22/2013
Collins
GA
120,219
876,179
None
None
120,219
876,179
996,398
103,681
1/31/2014
Conyers
GA
737,753
1,370,114
None
None
737,753
1,370,114
2,107,867
248,904
6/1/2012
Dalton
GA
401,120
748,837
None
None
401,120
748,837
1,149,957
88,612
1/24/2014
Dawson
GA
413,732
768,359
None
None
413,732
768,359
1,182,091
124,218
12/14/2012
Dewy Rose
GA
190,003
747,472
None
None
190,003
747,472
937,475
100,909
8/20/2013
Dexter
GA
58,236
424,437
22,815
None
58,236
447,252
505,488
58,676
12/20/2013
Dublin
GA
208,680
1,008,938
None
None
208,680
1,008,938
1,217,618
119,391
1/31/2014
Elberton
GA
194,222
764,071
None
None
194,222
764,071
958,293
103,150
8/20/2013
Forest Park
GA
288,001
1,132,999
None
None
288,001
1,132,999
1,421,000
152,955
8/22/2013
Glennville
GA
245,706
966,610
None
None
245,706
966,610
1,212,316
133,714
7/3/2013
Gordon
GA
179,124
704,676
None
None
179,124
704,676
883,800
95,131
8/22/2013
Greenville
GA
170,000
880,648
None
None
170,000
880,648
1,050,648
104,210
1/24/2014
Hartwell
GA
222,699
876,101
None
None
222,699
876,101
1,098,800
118,274
8/22/2013
Hoschton
GA
312,038
1,227,562
None
None
312,038
1,227,562
1,539,600
165,721
8/22/2013
Irwinton
GA
331,310
1,076,757
None
None
331,310
1,076,757
1,408,067
170,487
1/22/2013
Jonesboro
GA
316,862
1,246,538
None
None
316,862
1,246,538
1,563,400
168,283
8/22/2013
LaGrange
GA
270,000
831,559
None
None
270,000
831,559
1,101,559
98,401
1/31/2014
Lilburn
GA
323,652
1,273,248
None
None
323,652
1,273,248
1,596,900
171,889
8/22/2013
Ludowici
GA
344,543
1,119,765
12,235
None
344,543
1,132,000
1,476,543
184,523
1/22/2013
Macon
GA
245,825
967,075
None
None
245,825
967,075
1,212,900
130,555
8/22/2013
Marietta
GA
289,116
1,137,384
None
None
289,116
1,137,384
1,426,500
153,547
8/22/2013
Midway
GA
243,028
956,072
None
None
243,028
956,072
1,199,100
129,070
8/22/2013
Milledgeville
GA
245,290
696,890
None
None
245,290
696,890
942,180
82,465
1/31/2014
Monticello
GA
146,301
1,066,274
None
None
146,301
1,066,274
1,212,575
119,067
3/28/2014
Nicholls
GA
198,723
781,777
None
None
198,723
781,777
980,500
105,540
8/22/2013
Pooler
GA
279,935
1,101,265
None
None
279,935
1,101,265
1,381,200
148,671
8/22/2013
Powder Springs
GA
290,373
1,142,327
None
None
290,373
1,142,327
1,432,700
154,214
8/22/2013
Resaca
GA
600,000
2,830,403
None
None
600,000
2,830,403
3,430,403
334,931
1/31/2014
Richmond Hill
GA
297,203
1,169,197
None
None
297,203
1,169,197
1,466,400
157,842
8/22/2013
Savannah
GA
450,992
1,774,208
None
None
450,992
1,774,208
2,225,200
239,518
8/22/2013
Screven
GA
198,288
780,067
None
None
198,288
780,067
978,355
105,309
8/8/2013
Stockbridge
GA
348,721
863,351
None
None
348,721
863,351
1,212,072
102,163
1/24/2014
Talbotton
GA
128,449
855,969
None
None
128,449
855,969
984,418
101,290
1/24/2014
Thomasville
GA
407,954
757,629
None
None
407,954
757,629
1,165,583
122,483
12/14/2012
Tifton
GA
202,011
824,197
None
None
202,011
824,197
1,026,208
119,509
5/23/2013
Uvalda
GA
187,576
737,924
None
None
187,576
737,924
925,500
99,620
8/22/2013
Vienna
GA
340,000
2,529,310
None
None
340,000
2,529,310
2,869,310
299,302
1/31/2014
Warrenton
GA
298,668
554,669
None
None
298,668
554,669
853,337
89,671
12/14/2012
Waycross
GA
417,843
775,994
None
None
417,843
775,994
1,193,837
125,452
12/14/2012
Waynesville
GA
132,112
880,378
None
None
132,112
880,378
1,012,490
104,178
1/24/2014
Whigham
GA
123,430
822,527
None
None
123,430
822,527
945,957
97,332
1/24/2014
Wrightsville
GA
274,254
509,328
None
None
274,254
509,328
783,582
82,341
12/14/2012
Wrightsville
GA
166,239
868,552
None
None
166,239
868,552
1,034,791
102,779
1/24/2014
Des Moines
IA
455,336
845,625
None
None
455,336
845,625
1,300,961
153,622
6/1/2012
Des Moines
IA
214,167
842,533
None
None
214,167
842,533
1,056,700
113,742
8/22/2013
Mason City
IA
242,135
449,678
None
None
242,135
449,678
691,813
81,692
6/1/2012
Montrose
IA
307,533
999,483
None
None
307,533
999,483
1,307,016
158,251
1/22/2013
Waterloo
IA
366,422
1,190,872
None
None
366,422
1,190,872
1,557,294
188,555
1/22/2013
Calumet City
IL
561,828
1,043,394
None
None
561,828
1,043,394
1,605,222
189,550
6/1/2012
Catlin
IL
373,096
1,212,561
None
None
373,096
1,212,561
1,585,657
191,989
1/22/2013
Cerro Gordo
IL
312,718
1,016,334
None
None
312,718
1,016,334
1,329,052
160,920
1/22/2013
Columbia
IL
383,895
1,247,660
None
None
383,895
1,247,660
1,631,555
197,546
1/22/2013
Dwight
IL
355,224
659,701
None
None
355,224
659,701
1,014,925
106,652
12/14/2012
East Saint Louis
IL
564,367
1,048,111
None
None
564,367
1,048,111
1,612,478
169,445
12/14/2012
Farina
IL
161,831
1,078,428
None
None
161,831
1,078,428
1,240,259
127,614
1/24/2014
Galesburg
IL
325,959
605,353
None
None
325,959
605,353
931,312
109,972
6/1/2012
Gillespie
IL
346,508
1,126,153
None
None
346,508
1,126,153
1,472,661
178,308
1/22/2013
Goreville
IL
175,538
690,566
None
None
175,538
690,566
866,104
90,925
9/13/2013
Harvey
IL
356,530
662,127
None
None
356,530
662,127
1,018,657
107,044
12/14/2012
Joliet
IL
396,961
737,212
None
None
396,961
737,212
1,134,173
119,183
12/14/2012
La Salle
IL
457,726
1,487,609
None
None
457,726
1,487,609
1,945,335
235,538
1/22/2013
Marseilles
IL
364,551
1,184,791
None
None
364,551
1,184,791
1,549,342
187,592
1/22/2013
Metropolis
IL
522,911
971,120
None
None
522,911
971,120
1,494,031
156,998
12/14/2012
Mount Zion
IL
344,938
1,121,050
1,723
None
344,938
1,122,773
1,467,711
177,697
1/22/2013
Peoria
IL
378,198
702,367
None
None
378,198
702,367
1,080,565
127,597
6/1/2012
Quincy
IL
351,325
869,798
None
None
351,325
869,798
1,221,123
102,926
1/24/2014
Virden
IL
546,679
1,015,261
None
None
546,679
1,015,261
1,561,940
164,134
12/14/2012
Anderson
IN
634,963
1,179,216
None
None
634,963
1,179,216
1,814,179
190,640
12/14/2012
Anderson
IN
335,312
830,155
None
None
335,312
830,155
1,165,467
98,235
1/24/2014
Indianapolis
IN
454,789
844,607
None
None
454,789
844,607
1,299,396
153,437
6/1/2012
Muncie
IN
347,731
860,902
None
None
347,731
860,902
1,208,633
101,873
1/24/2014
Muncie
IN
327,861
811,707
None
None
327,861
811,707
1,139,568
96,052
1/24/2014
New Albany
IN
437,343
812,209
None
None
437,343
812,209
1,249,552
131,307
12/14/2012
New Carlisle
IN
210,347
1,099,005
None
None
210,347
1,099,005
1,309,352
130,049
1/24/2014
Oxford
IN
60,000
940,000
None
None
60,000
940,000
1,000,000
111,233
1/24/2014
Parker City
IN
266,530
494,983
None
None
266,530
494,983
761,513
89,922
6/1/2012
Rockport
IN
203,782
378,451
None
None
203,782
378,451
582,233
61,183
12/14/2012
South Bend
IN
507,845
943,140
None
None
507,845
943,140
1,450,985
152,474
12/14/2012
Arma
KS
170,875
793,860
None
None
170,875
793,860
964,735
138,925
8/30/2012
Basehor
KS
171,627
872,548
None
None
171,627
872,548
1,044,175
152,696
8/30/2012
Burlington
KS
173,930
806,439
None
None
173,930
806,439
980,369
141,127
8/30/2012
Cheney
KS
161,300
770,354
None
None
161,300
770,354
931,654
134,812
8/30/2012
Cherryvale
KS
90,248
811,836
None
None
90,248
811,836
902,084
142,071
8/30/2012
Coffeyville
KS
519,254
964,328
None
None
519,254
964,328
1,483,582
155,900
12/14/2012
Edwardsville
KS
161,785
906,004
None
None
161,785
906,004
1,067,789
158,551
8/30/2012
Elkhart
KS
119,882
848,233
None
None
119,882
848,233
968,115
148,441
8/30/2012
Elwood
KS
273,826
677,929
None
None
273,826
677,929
951,755
80,222
1/24/2014
Fort Scott
KS
486,062
752,183
None
None
486,062
752,183
1,238,245
126,617
10/31/2012
Fredonia
KS
412,134
637,779
None
None
412,134
637,779
1,049,913
107,359
10/31/2012
Galena
KS
419,578
649,300
None
None
419,578
649,300
1,068,878
109,299
10/31/2012
Girard
KS
129,389
862,237
None
None
129,389
862,237
991,626
102,031
1/24/2014
Great Bend
KS
190,000
886,627
None
None
190,000
886,627
1,076,627
36,943
12/15/2015
Herington
KS
200,000
1,101,329
None
None
200,000
1,101,329
1,301,329
45,889
12/15/2015
Horton
KS
101,571
844,142
None
None
101,571
844,142
945,713
147,725
8/30/2012
Hoxie
KS
393,962
609,658
None
None
393,962
609,658
1,003,620
102,626
10/31/2012
Independence
KS
370,000
671,122
None
None
370,000
671,122
1,041,122
112,972
10/31/2012
Kansas City
KS
577,037
1,071,640
None
None
577,037
1,071,640
1,648,677
194,681
6/1/2012
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Kansas City
KS
140,147
922,934
None
None
140,147
922,934
1,063,081
161,513
8/30/2012
Kansas City
KS
147,689
581,011
None
None
147,689
581,011
728,700
78,436
8/22/2013
Lawrence
KS
236,948
965,247
None
None
236,948
965,247
1,202,195
168,918
8/30/2012
Leavenworth
KS
430,140
665,644
None
None
430,140
665,644
1,095,784
112,050
10/31/2012
Liberal
KS
394,833
611,006
None
None
394,833
611,006
1,005,839
102,853
10/31/2012
Lyndon
KS
100,642
822,510
None
None
100,642
822,510
923,152
143,939
8/30/2012
Neodesha
KS
124,388
867,203
None
None
124,388
867,203
991,591
151,761
8/30/2012
Newton
KS
110,986
873,540
None
None
110,986
873,540
984,526
152,869
8/30/2012
Norton
KS
142,749
951,265
None
None
142,749
951,265
1,094,014
112,566
1/24/2014
Oskaloosa
KS
152,298
1,014,896
None
None
152,298
1,014,896
1,167,194
120,096
1/24/2014
Phillipsburg
KS
146,172
974,073
None
None
146,172
974,073
1,120,245
115,265
1/24/2014
Salina
KS
194,508
889,894
None
None
194,508
889,894
1,084,402
155,731
8/30/2012
Topeka
KS
395,822
612,536
None
None
395,822
612,536
1,008,358
103,110
10/31/2012
Wakeeney
KS
124,960
832,723
None
None
124,960
832,723
957,683
98,539
1/24/2014
Washington
KS
81,586
828,885
None
None
81,586
828,885
910,471
145,055
8/30/2012
Wichita
KS
533,216
825,154
None
None
533,216
825,154
1,358,370
138,901
10/31/2012
Wichita
KS
530,000
901,373
None
None
530,000
901,373
1,431,373
151,731
10/31/2012
Wichita
KS
625,585
968,095
None
None
625,585
968,095
1,593,680
162,963
10/31/2012
Wichita
KS
541,521
838,007
None
None
541,521
838,007
1,379,528
141,064
10/31/2012
Wichita
KS
498,745
771,810
None
None
498,745
771,810
1,270,555
129,921
10/31/2012
Benton
KY
132,553
883,318
None
None
132,553
883,318
1,015,871
104,526
1/24/2014
Bronston
KY
297,256
966,082
None
None
297,256
966,082
1,263,338
152,963
1/22/2013
Corydon
KY
161,985
766,073
None
None
161,985
766,073
928,058
90,652
1/24/2014
Dayton
KY
141,508
508,446
None
None
141,508
508,446
649,954
26,907
10/9/2015
Dorton
KY
283,556
921,558
None
None
283,556
921,558
1,205,114
145,913
1/22/2013
Fordsville
KY
130,000
785,971
None
None
130,000
785,971
915,971
93,007
1/24/2014
Ledbetter
KY
100,000
771,540
None
None
100,000
771,540
871,540
91,299
1/24/2014
Louisville
KY
499,759
928,124
None
None
499,759
928,124
1,427,883
150,047
12/14/2012
Louisville
KY
265,221
1,043,379
None
None
265,221
1,043,379
1,308,600
140,856
8/22/2013
Louisville
KY
251,195
988,205
None
None
251,195
988,205
1,239,400
133,408
8/22/2013
Louisville
KY
456,605
1,297,257
None
None
456,605
1,297,257
1,753,862
166,481
10/11/2013
Louisville
KY
409,904
1,164,574
None
None
409,904
1,164,574
1,574,478
122,280
5/28/2014
Mount Vernon
KY
470,619
874,008
None
None
470,619
874,008
1,344,627
141,298
12/14/2012
Paducah
KY
200,750
789,750
None
None
200,750
789,750
990,500
106,616
8/22/2013
Prestonsburg
KY
223,906
1,082,554
None
None
223,906
1,082,554
1,306,460
138,928
10/11/2013
Providence
KY
199,919
786,481
None
None
199,919
786,481
986,400
106,175
8/22/2013
Radcliff
KY
280,806
1,104,694
None
None
280,806
1,104,694
1,385,500
149,134
8/22/2013
Sacramento
KY
113,547
756,668
None
None
113,547
756,668
870,215
89,539
1/24/2014
Somerset
KY
456,467
847,725
None
None
456,467
847,725
1,304,192
154,003
6/1/2012
Somerset
KY
330,419
818,041
None
None
330,419
818,041
1,148,460
96,802
1/24/2014
Wingo
KY
106,789
711,629
None
None
106,789
711,629
818,418
84,209
1/24/2014
Abbeville
LA
386,990
1,257,716
None
None
386,990
1,257,716
1,644,706
199,138
1/22/2013
Bastrop
LA
179,126
935,881
None
None
179,126
935,881
1,115,007
110,746
1/24/2014
Baton Rouge
LA
563,114
1,045,783
None
None
563,114
1,045,783
1,608,897
189,984
6/1/2012
Baton Rouge
LA
433,213
804,539
None
None
433,213
804,539
1,237,752
130,067
12/14/2012
Baton Rouge
LA
279,327
1,098,873
None
None
279,327
1,098,873
1,378,200
148,348
8/22/2013
Baton Rouge
LA
188,485
535,504
20,913
None
188,485
556,417
744,902
70,229
12/20/2013
Baton Rouge
LA
342,664
848,357
None
None
342,664
848,357
1,191,021
100,389
1/24/2014
Baton Rouge
LA
422,535
1,046,098
None
None
422,535
1,046,098
1,468,633
123,788
1/24/2014
Blanchard
LA
177,898
860,109
56,090
None
177,898
916,199
1,094,097
113,692
12/20/2013
Colfax
LA
148,313
583,465
None
None
148,313
583,465
731,778
78,768
8/21/2013
Deridder
LA
250,446
985,254
None
None
250,446
985,254
1,235,700
133,009
8/22/2013
Dixie Inn
LA
318,870
592,187
None
None
318,870
592,187
911,057
95,737
12/14/2012
Duson
LA
355,640
1,155,831
None
None
355,640
1,155,831
1,511,471
183,007
1/22/2013
Florien
LA
323,203
1,050,409
None
None
323,203
1,050,409
1,373,612
166,315
1/22/2013
Franklinton
LA
150,109
1,000,309
None
None
150,109
1,000,309
1,150,418
118,370
1/24/2014
Geismar
LA
489,660
909,368
None
None
489,660
909,368
1,399,028
147,015
12/14/2012
Gretna
LA
880,000
839,022
None
None
880,000
839,022
1,719,022
99,284
1/24/2014
Hammond
LA
417,284
774,955
None
None
417,284
774,955
1,192,239
140,784
6/1/2012
Lafayette
LA
402,767
1,308,994
None
None
402,767
1,308,994
1,711,761
207,257
1/22/2013
Lafayette
LA
262,452
745,651
31,902
None
262,452
777,553
1,040,005
96,706
12/20/2013
Lafitte
LA
259,861
1,228,959
None
None
259,861
1,228,959
1,488,820
145,427
1/24/2014
Logansport
LA
494,202
917,805
None
None
494,202
917,805
1,412,007
148,378
12/14/2012
Many
LA
199,395
1,041,784
None
None
199,395
1,041,784
1,241,179
123,278
1/24/2014
Melville
LA
367,000
1,192,748
None
None
367,000
1,192,748
1,559,748
188,852
1/22/2013
Minden
LA
339,679
630,832
None
None
339,679
630,832
970,511
114,601
6/1/2012
Monroe
LA
667,232
1,073,926
None
None
667,232
1,073,926
1,741,158
60,123
10/9/2015
Moreauville
LA
186,423
974,008
None
None
186,423
974,008
1,160,431
115,258
1/24/2014
Morse
LA
352,771
1,146,506
None
None
352,771
1,146,506
1,499,277
181,530
1/22/2013
Natchitoches
LA
250,162
984,138
None
None
250,162
984,138
1,234,300
132,859
8/22/2013
Opelousas
LA
350,277
1,138,401
None
None
350,277
1,138,401
1,488,678
180,247
1/22/2013
Opelousas
LA
365,368
1,187,446
None
None
365,368
1,187,446
1,552,814
188,012
1/22/2013
Port Vincent
LA
398,039
1,293,627
None
None
398,039
1,293,627
1,691,666
204,824
1/22/2013
Robeline
LA
329,964
1,072,382
None
None
329,964
1,072,382
1,402,346
169,794
1/22/2013
Saint Bernard
LA
447,884
831,784
None
None
447,884
831,784
1,279,668
151,107
6/1/2012
Shreveport
LA
605,336
1,124,196
None
None
605,336
1,124,196
1,729,532
204,229
6/1/2012
Shreveport
LA
719,595
1,336,390
None
None
719,595
1,336,390
2,055,985
216,050
12/14/2012
Sibley
LA
180,316
942,101
None
None
180,316
942,101
1,122,417
111,482
1/24/2014
Tallulah
LA
287,313
473,108
None
None
287,313
473,108
760,421
25,790
10/9/2015
Violet
LA
342,764
848,603
None
None
342,764
848,603
1,191,367
100,418
1/24/2014
West Monroe
LA
362,591
1,178,420
None
None
362,591
1,178,420
1,541,011
186,583
1/22/2013
West Monroe
LA
262,241
1,031,659
None
None
262,241
1,031,659
1,293,900
139,274
8/22/2013
West Monroe
LA
160,000
755,108
None
None
160,000
755,108
915,108
89,354
1/24/2014
Pittsfield
MA
350,000
1,195,114
None
None
350,000
1,195,114
1,545,114
49,796
12/15/2015
Alanson
MI
314,390
1,021,767
5,337
None
314,390
1,027,104
1,341,494
162,080
1/22/2013
Bangor
MI
513,772
954,149
None
None
513,772
954,149
1,467,921
173,337
6/1/2012
Battle Creek
MI
438,869
815,042
None
None
438,869
815,042
1,253,911
148,066
6/1/2012
Beaverton
MI
242,135
449,678
None
None
242,135
449,678
691,813
81,692
6/1/2012
Brockway
MI
248,856
462,160
None
None
248,856
462,160
711,016
83,959
6/1/2012
Buckley
MI
296,289
962,940
None
None
296,289
962,940
1,259,229
152,466
1/22/2013
Clinton
MI
326,088
1,059,786
None
None
326,088
1,059,786
1,385,874
167,799
1/22/2013
Copemish
MI
292,975
952,167
None
None
292,975
952,167
1,245,142
150,760
1/22/2013
Croswell
MI
387,461
719,571
None
None
387,461
719,571
1,107,032
130,722
6/1/2012
Dearborn
MI
522,650
970,637
None
None
522,650
970,637
1,493,287
176,332
6/1/2012
Detroit
MI
264,876
860,847
5,054
None
264,876
865,901
1,130,777
139,151
1/22/2013
Farmington
MI
325,172
1,279,228
None
None
325,172
1,279,228
1,604,400
172,696
8/22/2013
Flat Rock
MI
264,268
1,039,632
None
None
264,268
1,039,632
1,303,900
140,350
8/22/2013
Flint
MI
510,751
948,537
None
None
510,751
948,537
1,459,288
172,318
6/1/2012
Gladwin
MI
265,925
864,258
None
None
265,925
864,258
1,130,183
136,841
1/22/2013
Grand Rapids
MI
526,567
977,911
None
None
526,567
977,911
1,504,478
158,096
12/14/2012
Grand Rapids
MI
225,609
363,123
None
None
225,609
363,123
588,732
20,329
10/9/2015
Jackson
MI
473,329
879,039
None
None
473,329
879,039
1,352,368
159,692
6/1/2012
Jackson
MI
592,388
1,100,149
None
None
592,388
1,100,149
1,692,537
177,857
12/14/2012
Litchfield
MI
314,519
1,022,185
None
None
314,519
1,022,185
1,336,704
161,846
1/22/2013
Mancelona
MI
294,344
956,617
None
None
294,344
956,617
1,250,961
151,464
1/22/2013
Marion
MI
354,869
659,042
None
None
354,869
659,042
1,013,911
106,545
12/14/2012
Muskegon
MI
318,001
1,033,502
None
None
318,001
1,033,502
1,351,503
163,638
1/22/2013
New Baltimore
MI
237,040
932,516
None
None
237,040
932,516
1,169,556
132,107
6/25/2013
Onaway
MI
510,098
947,326
None
None
510,098
947,326
1,457,424
153,151
12/14/2012
Pinckney
MI
305,815
993,898
None
None
305,815
993,898
1,299,713
157,367
1/22/2013
Romulus
MI
578,474
1,074,310
None
None
578,474
1,074,310
1,652,784
195,166
6/1/2012
Sheridan
MI
307,737
1,000,144
None
None
307,737
1,000,144
1,307,881
158,356
1/22/2013
Spring Arbor
MI
325,553
1,058,048
None
None
325,553
1,058,048
1,383,601
167,524
1/22/2013
St John’s
MI
324,325
1,054,055
None
None
324,325
1,054,055
1,378,380
166,892
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Tekonsha
MI
269,258
875,089
None
None
269,258
875,089
1,144,347
138,556
1/22/2013
Wellston
MI
270,942
880,562
None
None
270,942
880,562
1,151,504
139,422
1/22/2013
Advance
MO
327,985
1,065,951
None
None
327,985
1,065,951
1,393,936
168,776
1/22/2013
Bonne Terre
MO
254,437
826,921
None
None
254,437
826,921
1,081,358
130,929
1/22/2013
Buckner
MO
188,702
985,916
None
None
188,702
985,916
1,174,618
116,667
1/24/2014
Cole Camp
MO
296,537
963,746
None
None
296,537
963,746
1,260,283
152,593
1/22/2013
Crocker
MO
139,188
927,532
None
None
139,188
927,532
1,066,720
109,758
1/24/2014
Garden City
MO
139,163
927,369
None
None
139,163
927,369
1,066,532
109,739
1/24/2014
Jackson
MO
396,040
1,287,131
None
None
396,040
1,287,131
1,683,171
203,796
1/22/2013
Jackson
MO
201,264
791,776
None
None
201,264
791,776
993,040
104,250
9/13/2013
Kansas City
MO
443,895
824,377
None
None
443,895
824,377
1,268,272
149,762
6/1/2012
Kansas City
MO
557,439
1,035,244
None
None
557,439
1,035,244
1,592,683
188,069
6/1/2012
Kansas City
MO
414,347
641,204
None
None
414,347
641,204
1,055,551
107,936
10/31/2012
Kansas City
MO
277,016
995,336
None
None
277,016
995,336
1,272,352
52,673
10/9/2015
Louisiana
MO
186,741
734,640
None
None
186,741
734,640
921,381
104,074
6/28/2013
Mansfield
MO
152,932
1,019,125
None
None
152,932
1,019,125
1,172,057
120,596
1/24/2014
Oronogo
MO
327,756
1,065,207
None
None
327,756
1,065,207
1,392,963
168,658
1/22/2013
Queen City
MO
309,915
1,007,222
None
None
309,915
1,007,222
1,317,137
159,477
1/22/2013
Richland
MO
137,522
916,435
None
None
137,522
916,435
1,053,957
108,445
1/24/2014
Rolla
MO
340,000
899,367
None
None
340,000
899,367
1,239,367
106,425
1/24/2014
Russellville
MO
122,033
813,218
None
None
122,033
813,218
935,251
96,231
1/24/2014
Sikeston
MO
409,114
2,005,416
None
2,579
409,114
2,007,995
2,417,109
1,200,948
1/24/2002
St. Louis
MO
647,256
1,202,046
None
None
647,256
1,202,046
1,849,302
218,372
6/1/2012
Unionville
MO
324,616
1,055,004
None
None
324,616
1,055,004
1,379,620
167,042
1/22/2013
Amory
MS
191,439
1,000,215
None
None
191,439
1,000,215
1,191,654
118,359
1/24/2014
Belzoni
MS
222,063
873,597
None
None
222,063
873,597
1,095,660
120,848
7/24/2013
Brookhaven
MS
198,152
779,533
None
None
198,152
779,533
977,685
102,638
9/30/2013
Brooksville
MS
114,899
765,676
None
None
114,899
765,676
880,575
90,605
1/24/2014
Canton
MS
960,000
2,510,516
None
None
960,000
2,510,516
3,470,516
297,078
1/31/2014
Coldwater
MS
169,202
884,035
None
None
169,202
884,035
1,053,237
104,611
1/24/2014
Crenshaw
MS
129,543
863,263
None
None
129,543
863,263
992,806
102,153
1/24/2014
Durant
MS
259,403
1,020,492
None
None
259,403
1,020,492
1,279,895
144,570
6/26/2013
Fayette
MS
120,531
803,210
None
None
120,531
803,210
923,741
95,046
1/24/2014
Fulton
MS
192,188
1,004,128
None
None
192,188
1,004,128
1,196,316
118,822
1/24/2014
Hickory Flat
MS
132,720
884,431
None
None
132,720
884,431
1,017,151
104,658
1/24/2014
Horn Lake
MS
369,539
914,893
None
None
369,539
914,893
1,284,432
108,262
1/24/2014
Iuka
MS
161,047
841,427
None
None
161,047
841,427
1,002,474
99,569
1/24/2014
Jackson
MS
465,674
864,824
None
None
465,674
864,824
1,330,498
157,110
6/1/2012
Jackson
MS
668,518
1,241,534
None
None
668,518
1,241,534
1,910,052
225,545
6/1/2012
Jackson
MS
219,884
865,026
None
None
219,884
865,026
1,084,910
122,545
6/6/2013
Jackson
MS
234,313
921,789
None
None
234,313
921,789
1,156,102
130,587
6/26/2013
Jackson
MS
218,911
861,196
None
None
218,911
861,196
1,080,107
116,261
8/22/2013
Jackson
MS
220,000
807,338
None
None
220,000
807,338
1,027,338
95,535
1/24/2014
Jackson
MS
288,120
713,319
None
None
288,120
713,319
1,001,439
84,409
1/24/2014
Jackson
MS
273,913
678,145
None
None
273,913
678,145
952,058
80,247
1/24/2014
Kossuth
MS
280,000
725,755
None
None
280,000
725,755
1,005,755
85,881
1/24/2014
Lauderdale
MS
141,934
945,836
None
None
141,934
945,836
1,087,770
111,924
1/24/2014
Liberty
MS
432,170
802,601
None
None
432,170
802,601
1,234,771
145,806
6/1/2012
Lucedale
MS
185,603
730,164
None
None
185,603
730,164
915,767
103,440
6/26/2013
Moselle
MS
119,405
795,703
None
None
119,405
795,703
915,108
94,158
1/24/2014
Moss Point
MS
205,776
809,525
None
None
205,776
809,525
1,015,301
114,683
6/26/2013
Myrtle
MS
112,646
750,663
None
None
112,646
750,663
863,309
88,828
1/24/2014
Oakland
MS
143,737
957,846
None
None
143,737
957,846
1,101,583
113,345
1/24/2014
Okolona
MS
170,244
1,134,490
None
None
170,244
1,134,490
1,304,734
134,248
1/24/2014
Picayune
MS
203,708
801,388
None
None
203,708
801,388
1,005,096
113,530
6/26/2013
Pope
MS
170,478
890,701
None
None
170,478
890,701
1,061,179
105,400
1/24/2014
Shaw
MS
121,095
806,963
None
None
121,095
806,963
928,058
95,491
1/24/2014
Southaven
MS
284,495
1,119,205
None
None
284,495
1,119,205
1,403,700
151,093
8/22/2013
Starkville
MS
170,000
745,108
None
None
170,000
745,108
915,108
88,171
1/24/2014
Thaxton
MS
122,784
818,223
None
None
122,784
818,223
941,007
96,823
1/24/2014
Tunica
MS
166,859
656,426
24,912
None
166,859
681,338
848,197
88,978
9/13/2013
Tupelo
MS
350,960
868,896
None
None
350,960
868,896
1,219,856
102,819
1/24/2014
Vicksburg
MS
577,491
1,072,483
None
None
577,491
1,072,483
1,649,974
194,834
6/1/2012
Waynesboro
MS
126,164
840,743
None
None
126,164
840,743
966,907
99,488
1/24/2014
Benson
NC
880,000
1,245,899
None
None
880,000
1,245,899
2,125,899
147,431
1/24/2014
Bridgeton
NC
266,399
756,863
23,662
None
266,399
780,525
1,046,924
94,559
12/20/2013
Burgaw
NC
239,304
1,250,293
None
None
239,304
1,250,293
1,489,597
147,951
1/24/2014
Candler
NC
650,000
2,637,579
None
None
650,000
2,637,579
3,287,579
312,114
1/31/2014
Candor
NC
203,498
800,561
None
None
203,498
800,561
1,004,059
105,407
9/6/2013
Charlotte
NC
404,476
1,149,152
None
None
404,476
1,149,152
1,553,628
120,661
5/8/2014
Chocowinity
NC
225,493
920,001
None
None
225,493
920,001
1,145,494
136,467
4/4/2013
Dublin
NC
130,369
681,142
None
None
130,369
681,142
811,511
80,602
1/24/2014
Durham
NC
442,367
821,540
None
None
442,367
821,540
1,263,907
132,816
12/14/2012
Engelhard
NC
107,915
719,135
None
None
107,915
719,135
827,050
85,098
1/24/2014
Erwin
NC
132,370
639,988
6,335
None
132,370
646,323
778,693
78,516
12/20/2013
Fairmont
NC
163,886
856,258
None
None
163,886
856,258
1,020,144
101,324
1/24/2014
Gibonsville
NC
196,942
774,770
None
None
196,942
774,770
971,712
102,011
9/10/2013
Greensboro
NC
325,349
1,279,926
None
None
325,349
1,279,926
1,605,275
172,790
8/8/2013
Greensboro
NC
282,204
801,768
None
None
282,204
801,768
1,083,972
89,531
3/27/2014
Greenville
NC
516,944
1,279,833
None
None
516,944
1,279,833
1,796,777
151,447
1/24/2014
Henderson
NC
428,455
1,060,754
None
None
428,455
1,060,754
1,489,209
125,523
1/24/2014
Hertford
NC
213,160
1,030,599
None
None
213,160
1,030,599
1,243,759
121,954
1/31/2014
Hudson
NC
222,436
875,064
None
None
222,436
875,064
1,097,500
118,134
8/22/2013
Kannapolis
NC
351,788
870,946
None
None
351,788
870,946
1,222,734
103,062
1/24/2014
Kings Mountain
NC
492,867
915,324
None
None
492,867
915,324
1,408,191
147,977
12/14/2012
Kinston
NC
261,745
1,029,709
None
None
261,745
1,029,709
1,291,454
145,875
6/11/2013
Lexington
NC
242,683
954,717
None
None
242,683
954,717
1,197,400
128,887
8/22/2013
Lincolnton
NC
343,797
638,479
None
None
343,797
638,479
982,276
103,221
12/14/2012
Lumberton
NC
459,702
853,731
None
None
459,702
853,731
1,313,433
138,020
12/14/2012
Marion
NC
475,680
883,406
None
None
475,680
883,406
1,359,086
142,817
12/14/2012
Morganton
NC
197,304
776,196
None
None
197,304
776,196
973,500
104,786
8/22/2013
Mount Airy
NC
336,314
832,635
None
None
336,314
832,635
1,168,949
98,529
1/24/2014
North Wilkesboro
NC
147,567
770,994
None
None
147,567
770,994
918,561
91,234
1/24/2014
Rocky Mount
NC
218,842
860,925
None
None
218,842
860,925
1,079,767
113,355
9/19/2013
Snow Hill
NC
224,094
914,294
None
None
224,094
914,294
1,138,388
135,620
4/4/2013
Spring Hope
NC
226,533
1,183,568
None
None
226,533
1,183,568
1,410,101
140,056
1/24/2014
Stantonsburg
NC
173,832
1,158,398
None
None
173,832
1,158,398
1,332,230
137,077
1/24/2014
Statesville
NC
166,429
869,543
None
None
166,429
869,543
1,035,972
102,896
1/24/2014
Taylorsville
NC
336,401
624,744
None
None
336,401
624,744
961,145
101,000
12/14/2012
Taylorsville
NC
222,473
875,210
None
None
222,473
875,210
1,097,683
121,071
7/3/2013
Winterville
NC
250,429
465,082
None
None
250,429
465,082
715,511
84,490
6/1/2012
Holdrege
NE
216,987
1,049,100
None
None
216,987
1,049,100
1,266,087
131,138
11/15/2013
Lexington
NE
370,620
688,294
None
None
370,620
688,294
1,058,914
111,274
12/14/2012
Loup City
NE
190,000
922,534
None
None
190,000
922,534
1,112,534
38,439
12/15/2015
Minden
NE
330,000
898,300
None
None
330,000
898,300
1,228,300
37,429
12/15/2015
Nebraska City
NE
190,852
354,439
None
None
190,852
354,439
545,291
57,301
12/14/2012
Norfolk
NE
222,044
873,523
10,147
None
222,044
883,670
1,105,714
115,965
9/25/2013
Pierce
NE
170,000
989,610
None
None
170,000
989,610
1,159,610
41,234
12/15/2015
Red Cloud
NE
160,000
957,280
None
None
160,000
957,280
1,117,280
39,887
12/15/2015
South Sioux City
NE
290,379
539,274
None
None
290,379
539,274
829,653
97,968
6/1/2012
Valentine
NE
146,625
1,068,632
None
None
146,625
1,068,632
1,215,257
133,579
11/15/2013
Manchester
NH
457,288
849,249
None
None
457,288
849,249
1,306,537
137,295
12/14/2012
Walpole
NH
477,671
887,103
None
None
477,671
887,103
1,364,774
143,415
12/14/2012
Malaga
NJ
513,159
953,010
None
None
513,159
953,010
1,466,169
154,070
12/14/2012
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Penns Grove
NJ
416,842
1,639,858
None
None
416,842
1,639,858
2,056,700
221,381
8/22/2013
Albuquerque
NM
281,887
523,504
None
None
281,887
523,504
805,391
95,103
6/1/2012
Albuquerque
NM
395,457
1,123,530
None
None
395,457
1,123,530
1,518,987
125,461
3/14/2014
Albuquerque
NM
470,559
1,343,072
None
None
470,559
1,343,072
1,813,631
118,638
10/6/2014
Belen
NM
195,662
1,022,280
None
None
195,662
1,022,280
1,217,942
120,970
1/24/2014
Bloomfield
NM
458,086
850,732
None
None
458,086
850,732
1,308,818
154,550
6/1/2012
Chama
NM
392,836
729,552
None
None
392,836
729,552
1,122,388
117,944
12/14/2012
Clovis
NM
194,637
765,705
None
None
194,637
765,705
960,342
108,475
6/21/2013
Cuba
NM
543,339
1,009,059
None
None
543,339
1,009,059
1,552,398
183,312
6/1/2012
Kirtland
NM
688,532
1,278,703
None
None
688,532
1,278,703
1,967,235
232,298
6/1/2012
Las Cruces
NM
331,422
615,497
None
None
331,422
615,497
946,919
111,815
6/1/2012
Los Lunas
NM
505,257
938,335
None
None
505,257
938,335
1,443,592
170,464
6/1/2012
Roswell
NM
334,874
829,069
None
None
334,874
829,069
1,163,943
98,106
1/24/2014
Tularosa
NM
233,037
432,782
None
None
233,037
432,782
665,819
69,966
12/14/2012
Tularosa
NM
192,325
1,004,841
None
None
192,325
1,004,841
1,197,166
118,906
1/24/2014
Vanderwagon
NM
667,383
1,239,426
None
None
667,383
1,239,426
1,906,809
225,162
6/1/2012
Mesquite
NV
225,609
418,988
None
None
225,609
418,988
644,597
76,116
6/1/2012
Mesquite
NV
231,028
1,116,987
None
None
231,028
1,116,987
1,348,015
135,900
12/10/2013
Sun Valley
NV
364,207
1,432,793
None
None
364,207
1,432,793
1,797,000
193,427
8/22/2013
Bath
NY
145,625
760,850
None
None
145,625
760,850
906,475
90,034
1/24/2014
Binghamton
NY
256,309
728,197
None
None
256,309
728,197
984,506
74,033
6/30/2014
Buffalo
NY
356,992
1,014,248
None
None
356,992
1,014,248
1,371,240
120,019
1/31/2014
Chaumont
NY
137,438
915,872
None
None
137,438
915,872
1,053,310
108,378
1/24/2014
Falconer
NY
541,451
1,340,506
None
None
541,451
1,340,506
1,881,957
158,627
1/24/2014
Gouverneur
NY
485,614
901,855
None
None
485,614
901,855
1,387,469
145,800
12/14/2012
Gowanda
NY
503,722
935,484
None
None
503,722
935,484
1,439,206
169,946
6/1/2012
Malone
NY
119,467
577,603
70,380
None
119,467
647,983
767,450
71,590
12/20/2013
Rochester
NY
307,714
890,061
9,145
None
307,714
899,206
1,206,920
50,770
10/9/2015
Schenectady
NY
468,077
869,287
None
None
468,077
869,287
1,337,364
140,535
12/14/2012
Schroon Lake
NY
106,612
777,013
22,967
None
106,612
799,980
906,592
94,680
12/20/2013
Syracuse
NY
376,119
619,343
None
None
376,119
619,343
995,462
33,761
10/9/2015
Andover
OH
469,209
871,388
None
None
469,209
871,388
1,340,597
140,874
12/14/2012
Arcanum
OH
290,000
1,023,516
None
None
290,000
1,023,516
1,313,516
42,647
12/15/2015
Bettsville
OH
60,000
1,088,485
None
None
60,000
1,088,485
1,148,485
45,354
12/15/2015
Blanchester
OH
359,899
668,383
None
None
359,899
668,383
1,028,282
108,055
12/14/2012
Bradford
OH
172,945
836,166
None
None
172,945
836,166
1,009,111
107,308
10/22/2013
Bremen
OH
354,866
1,153,316
None
None
354,866
1,153,316
1,508,182
182,608
1/22/2013
Cardington
OH
364,843
1,185,739
None
None
364,843
1,185,739
1,550,582
187,742
1/22/2013
Chillicothe
OH
322,923
1,049,499
17,350
None
322,923
1,066,849
1,389,772
176,032
1/22/2013
Cincinnati
OH
263,944
1,038,356
None
None
263,944
1,038,356
1,302,300
140,178
8/22/2013
Columbus
OH
574,968
1,067,799
None
None
574,968
1,067,799
1,642,767
193,983
6/1/2012
Columbus
OH
359,083
666,868
None
None
359,083
666,868
1,025,951
121,148
6/1/2012
Columbus
OH
361,678
895,430
None
None
361,678
895,430
1,257,108
105,959
1/24/2014
Conneaut
OH
166,644
805,700
None
None
166,644
805,700
972,344
103,398
10/22/2013
Dayton
OH
315,477
1,025,302
None
None
315,477
1,025,302
1,340,779
162,339
1/22/2013
Elyria
OH
251,256
988,444
None
None
251,256
988,444
1,239,700
133,440
8/22/2013
Fairfield
OH
219,943
865,257
None
None
219,943
865,257
1,085,200
116,810
8/22/2013
Fayette
OH
316,318
1,028,034
None
None
316,318
1,028,034
1,344,352
162,772
1/22/2013
Findlay
OH
238,609
938,689
None
None
238,609
938,689
1,177,298
132,981
6/21/2013
Fostoria
OH
262,910
1,034,290
None
None
262,910
1,034,290
1,297,200
139,629
8/22/2013
Georgetown
OH
381,051
707,665
None
None
381,051
707,665
1,088,716
114,406
12/14/2012
Grand Rapids
OH
80,000
1,072,480
None
None
80,000
1,072,480
1,152,480
44,687
12/15/2015
Greenwich
OH
146,371
975,399
None
None
146,371
975,399
1,121,770
115,422
1/24/2014
Howard
OH
169,394
885,037
None
None
169,394
885,037
1,054,431
104,729
1/24/2014
Huber Heights
OH
230,867
908,233
None
None
230,867
908,233
1,139,100
122,611
8/22/2013
Kenton
OH
400,787
744,320
None
None
400,787
744,320
1,145,107
135,218
6/1/2012
Kingston
OH
373,121
1,212,643
None
None
373,121
1,212,643
1,585,764
192,002
1/22/2013
Litchfield
OH
110,000
1,077,669
None
None
110,000
1,077,669
1,187,669
44,903
12/15/2015
Lorain
OH
248,933
979,305
None
None
248,933
979,305
1,228,238
138,735
6/21/2013
Manchester
OH
371,453
689,842
None
None
371,453
689,842
1,061,295
111,524
12/14/2012
Marengo
OH
213,500
839,910
None
None
213,500
839,910
1,053,410
110,588
9/26/2013
Mechanicsburg
OH
350,151
650,280
None
None
350,151
650,280
1,000,431
118,134
6/1/2012
Nashport
OH
319,015
1,036,799
None
None
319,015
1,036,799
1,355,814
164,160
1/22/2013
New Miami
OH
212,241
834,959
None
None
212,241
834,959
1,047,200
112,719
8/22/2013
Niles
OH
260,000
1,164,294
None
None
260,000
1,164,294
1,424,294
48,512
12/15/2015
Oak Harbor
OH
373,483
1,213,820
None
None
373,483
1,213,820
1,587,303
192,188
1/22/2013
Orwell
OH
293,628
545,309
None
None
293,628
545,309
838,937
99,064
6/1/2012
Peebles
OH
436,054
809,815
None
None
436,054
809,815
1,245,869
130,920
12/14/2012
Perry
OH
70,000
1,114,353
None
None
70,000
1,114,353
1,184,353
46,431
12/15/2015
Racine
OH
183,196
957,149
None
None
183,196
957,149
1,140,345
113,263
1/24/2014
Richwood
OH
157,044
1,046,524
None
None
157,044
1,046,524
1,203,568
123,839
1/24/2014
Ripley
OH
359,515
667,671
None
None
359,515
667,671
1,027,186
121,294
6/1/2012
Rockford
OH
117,012
852,812
None
None
117,012
852,812
969,824
106,601
11/15/2013
Seville
OH
335,945
1,091,822
None
None
335,945
1,091,822
1,427,767
172,872
1/22/2013
Springfield
OH
246,216
968,616
None
None
246,216
968,616
1,214,832
137,221
6/21/2013
Tarlton
OH
190,000
1,123,464
None
None
190,000
1,123,464
1,313,464
46,811
12/15/2015
Thornville
OH
285,644
928,344
17,943
None
285,644
946,287
1,231,931
155,075
1/22/2013
Toronto
OH
356,055
1,011,585
None
None
356,055
1,011,585
1,367,640
123,076
12/17/2013
Trenton
OH
439,388
707,205
None
None
439,388
707,205
1,146,593
39,593
10/9/2015
Warren
OH
505,805
939,353
None
None
505,805
939,353
1,445,158
170,649
6/1/2012
West Carrollton
OH
440,000
1,072,193
None
None
440,000
1,072,193
1,512,193
44,675
12/15/2015
Withamsville
OH
276,510
1,087,790
None
None
276,510
1,087,790
1,364,300
146,852
8/22/2013
Afton
OK
113,611
757,094
None
None
113,611
757,094
870,705
89,589
1/24/2014
Antlers
OK
149,985
1,093,124
None
None
149,985
1,093,124
1,243,109
125,709
2/27/2014
Ardmore
OK
347,932
646,160
None
None
347,932
646,160
994,092
117,386
6/1/2012
Broken Arrow
OK
356,064
881,533
None
None
356,064
881,533
1,237,597
104,315
1/24/2014
Claremore
OK
231,355
774,203
None
None
231,355
774,203
1,005,558
135,485
8/30/2012
Clayton
OK
533,789
826,041
None
None
533,789
826,041
1,359,830
139,050
10/31/2012
Cleveland
OK
196,277
1,307,968
None
None
196,277
1,307,968
1,504,245
154,776
1/24/2014
Collinsville
OK
289,014
715,532
None
None
289,014
715,532
1,004,546
84,671
1/24/2014
Davis
OK
569,738
881,672
None
None
569,738
881,672
1,451,410
148,415
10/31/2012
Drumright
OK
169,840
315,418
None
None
169,840
315,418
485,258
50,993
12/14/2012
Duncan
OK
430,448
799,403
None
None
430,448
799,403
1,229,851
129,237
12/14/2012
Elgin
OK
194,959
942,597
None
None
194,959
942,597
1,137,556
117,825
11/15/2013
Eufaula
OK
195,573
769,386
None
None
195,573
769,386
964,959
106,432
7/9/2013
Grove
OK
424,722
657,258
None
None
424,722
657,258
1,081,980
110,639
10/31/2012
Haskell
OK
228,333
424,047
None
None
228,333
424,047
652,380
77,035
6/1/2012
Haskell
OK
270,000
829,885
None
None
270,000
829,885
1,099,885
98,203
1/24/2014
Hollis
OK
61,713
880,041
None
None
61,713
880,041
941,754
154,007
8/30/2012
Hulbert
OK
395,384
611,858
None
None
395,384
611,858
1,007,242
102,996
10/31/2012
Kansas
OK
398,387
616,506
None
None
398,387
616,506
1,014,893
103,778
10/31/2012
Kellyville
OK
422,292
653,499
None
None
422,292
653,499
1,075,791
110,006
10/31/2012
Konawa
OK
390,916
604,945
None
None
390,916
604,945
995,861
101,832
10/31/2012
Lawton
OK
445,994
690,178
None
None
445,994
690,178
1,136,172
116,180
10/31/2012
Lexington
OK
128,927
673,606
None
None
128,927
673,606
802,533
79,710
1/24/2014
Mooreland
OK
140,000
934,322
None
None
140,000
934,322
1,074,322
38,930
12/15/2015
Newkirk
OK
100,999
673,045
None
None
100,999
673,045
774,044
79,644
1/24/2014
Norman
OK
173,541
906,703
None
None
173,541
906,703
1,080,244
107,293
1/24/2014
Oklahoma City
OK
400,000
678,788
None
None
400,000
678,788
1,078,788
114,263
10/31/2012
Oklahoma City
OK
318,134
590,821
None
None
318,134
590,821
908,955
95,516
12/14/2012
Shawnee
OK
288,016
534,887
None
None
288,016
534,887
822,903
97,171
6/1/2012
Shawnee
OK
419,371
648,979
None
None
419,371
648,979
1,068,350
109,245
10/31/2012
Shawnee
OK
246,641
610,625
None
None
246,641
610,625
857,266
72,257
1/24/2014
Sperry
OK
157,888
824,918
None
None
157,888
824,918
982,806
97,615
1/24/2014
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Stratford
OK
392,814
607,881
None
None
392,814
607,881
1,000,695
102,327
10/31/2012
Tulsa
OK
433,486
670,822
None
None
433,486
670,822
1,104,308
112,922
10/31/2012
Tulsa
OK
312,846
774,535
None
None
312,846
774,535
1,087,381
91,653
1/24/2014
Wilson
OK
89,538
814,202
None
None
89,538
814,202
903,740
142,485
8/30/2012
Woodward
OK
221,150
802,563
None
None
221,150
802,563
1,023,713
140,448
8/30/2012
Lemont Furnace
PA
298,795
848,903
None
None
298,795
848,903
1,147,698
97,624
2/27/2014
Smithfield
PA
255,705
1,005,946
None
None
255,705
1,005,946
1,261,651
132,450
9/26/2013
Somerset
PA
301,986
1,188,014
None
None
301,986
1,188,014
1,490,000
160,382
8/22/2013
Cayce
SC
207,965
818,135
None
None
207,965
818,135
1,026,100
110,448
8/22/2013
Denmark
SC
220,498
867,442
None
None
220,498
867,442
1,087,940
114,213
9/30/2013
Florence
SC
190,573
777,528
9,344
None
190,573
786,872
977,445
115,353
4/23/2013
Heath Springs
SC
158,107
826,065
None
None
158,107
826,065
984,172
97,751
1/24/2014
Kingstree
SC
198,491
780,866
None
None
198,491
780,866
979,357
102,814
9/18/2013
Longs
SC
239,632
1,252,008
None
None
239,632
1,252,008
1,491,640
148,154
1/24/2014
Myrtle Beach
SC
268,056
497,817
None
None
268,056
497,817
765,873
80,481
12/14/2012
N Myrtle Beach
SC
155,168
610,432
None
None
155,168
610,432
765,600
82,408
8/22/2013
Newberry
SC
383,286
711,817
None
None
383,286
711,817
1,095,103
115,077
12/14/2012
North Charleston
SC
254,479
1,001,121
None
None
254,479
1,001,121
1,255,600
135,151
8/22/2013
Orangeburg
SC
60,000
691,079
None
None
60,000
691,079
751,079
81,778
1/24/2014
Ridgeland
SC
375,699
1,349,908
None
None
375,699
1,349,908
1,725,607
71,437
10/9/2015
Ridgeway
SC
126,727
844,496
None
None
126,727
844,496
971,223
99,932
1/24/2014
Timmonsville
SC
209,841
856,141
None
None
209,841
856,141
1,065,982
126,994
4/23/2013
Union
SC
225,174
885,835
None
None
225,174
885,835
1,111,009
116,635
9/30/2013
Westminster
SC
350,000
987,266
None
None
350,000
987,266
1,337,266
116,827
1/24/2014
Chamberlain
SD
588,809
969,571
None
None
588,809
969,571
1,558,380
52,853
10/9/2015
Rapid City
SD
330,000
912,615
None
None
330,000
912,615
1,242,615
38,026
12/15/2015
Adams
TN
121,868
812,117
None
None
121,868
812,117
933,985
96,101
1/24/2014
Bethel Springs
TN
134,530
702,880
None
None
134,530
702,880
837,410
83,174
1/24/2014
Bloomington Sprgs
TN
173,585
906,933
None
None
173,585
906,933
1,080,518
107,320
1/24/2014
Caryville
TN
218,883
861,087
None
None
218,883
861,087
1,079,970
113,376
9/24/2013
Celina
TN
157,341
1,048,501
None
None
157,341
1,048,501
1,205,842
124,073
1/24/2014
Church Hill
TN
220,676
868,141
None
None
220,676
868,141
1,088,817
117,199
8/1/2013
Cordova
TN
362,262
896,875
None
None
362,262
896,875
1,259,137
106,130
1/24/2014
Covington
TN
192,392
1,005,191
None
None
192,392
1,005,191
1,197,583
118,948
1/24/2014
Crossville
TN
224,273
882,294
None
None
224,273
882,294
1,106,567
116,169
9/24/2013
Dresden
TN
169,202
884,035
None
None
169,202
884,035
1,053,237
104,611
1/24/2014
Dyersburg
TN
138,691
724,619
None
None
138,691
724,619
863,310
85,747
1/24/2014
Dyersburg
TN
134,528
702,868
None
None
134,528
702,868
837,396
83,173
1/24/2014
Friendship
TN
129,543
863,263
None
None
129,543
863,263
992,806
102,153
1/24/2014
Grand Junction
TN
119,405
795,703
None
None
119,405
795,703
915,108
94,158
1/24/2014
Grimsley
TN
190,000
832,058
None
None
190,000
832,058
1,022,058
109,554
9/24/2013
Halls
TN
224,485
1,172,868
None
None
224,485
1,172,868
1,397,353
138,789
1/24/2014
Harriman
TN
260,000
975,515
None
None
260,000
975,515
1,235,515
112,184
2/5/2014
Humboldt
TN
163,042
665,204
None
None
163,042
665,204
828,246
100,889
3/19/2013
Madisonville
TN
185,976
731,631
41,687
None
185,976
773,318
959,294
99,754
8/30/2013
Martin
TN
160,410
838,094
None
None
160,410
838,094
998,504
99,174
1/24/2014
Mascot
TN
428,927
663,766
None
None
428,927
663,766
1,092,693
111,734
10/31/2012
Memphis
TN
225,548
418,876
None
None
225,548
418,876
644,424
76,096
6/1/2012
Memphis
TN
493,000
915,572
None
None
493,000
915,572
1,408,572
166,329
6/1/2012
Memphis
TN
369,950
687,049
None
None
369,950
687,049
1,056,999
124,814
6/1/2012
Memphis
TN
563,795
1,047,048
None
None
563,795
1,047,048
1,610,843
190,214
6/1/2012
Memphis
TN
552,777
1,026,586
None
None
552,777
1,026,586
1,579,363
186,496
6/1/2012
Memphis
TN
253,148
626,736
None
None
253,148
626,736
879,884
74,164
1/24/2014
Memphis
TN
332,829
824,006
None
None
332,829
824,006
1,156,835
97,507
1/24/2014
Memphis
TN
299,794
742,220
None
None
299,794
742,220
1,042,014
87,829
1/24/2014
Memphis
TN
315,786
781,812
None
None
315,786
781,812
1,097,598
92,514
1/24/2014
Memphis
TN
312,958
774,812
None
None
312,958
774,812
1,087,770
91,686
1/24/2014
Memphis
TN
330,000
1,049,568
None
None
330,000
1,049,568
1,379,568
124,199
1/24/2014
Memphis
TN
327,861
811,707
None
None
327,861
811,707
1,139,568
96,052
1/24/2014
Memphis
TN
312,275
773,121
None
None
312,275
773,121
1,085,396
91,486
1/24/2014
Memphis
TN
390,000
772,302
None
None
390,000
772,302
1,162,302
91,389
1/24/2014
Memphis
TN
352,417
872,503
None
None
352,417
872,503
1,224,920
103,246
1/24/2014
Memphis
TN
409,578
1,014,019
None
None
409,578
1,014,019
1,423,597
119,992
1/24/2014
Memphis
TN
405,442
1,003,781
None
None
405,442
1,003,781
1,409,223
118,781
1/24/2014
Michie
TN
123,911
825,729
None
None
123,911
825,729
949,640
97,711
1/24/2014
Milledgeville
TN
270,000
731,439
None
None
270,000
731,439
1,001,439
86,554
1/24/2014
Nashville
TN
589,570
948,928
None
None
589,570
948,928
1,538,498
53,125
10/9/2015
Niota
TN
152,948
799,110
None
None
152,948
799,110
952,058
94,561
1/24/2014
Rogersville
TN
206,436
812,120
None
None
206,436
812,120
1,018,556
109,636
8/14/2013
Sharon
TN
130,332
868,517
None
None
130,332
868,517
998,849
102,775
1/24/2014
Sunbright
TN
355,282
1,154,668
None
None
355,282
1,154,668
1,509,950
182,822
1/22/2013
Tennessee Ridge
TN
120,926
805,837
None
None
120,926
805,837
926,763
95,357
1/24/2014
Trezevant
TN
170,247
805,149
None
None
170,247
805,149
975,396
95,276
1/24/2014
Alpine
TX
248,256
1,297,068
None
None
248,256
1,297,068
1,545,324
153,486
1/24/2014
Alton
TX
345,945
642,468
None
None
345,945
642,468
988,413
116,715
6/1/2012
Amarillo
TX
191,492
811,497
None
None
191,492
811,497
1,002,989
142,012
8/30/2012
Amarillo
TX
260,864
712,639
None
None
260,864
712,639
973,503
124,712
8/30/2012
Anahuac
TX
531,601
987,259
None
None
531,601
987,259
1,518,860
159,607
12/14/2012
Anson
TX
608,000
139,586
1,017,331
None
None
139,586
1,017,331
1,156,917
110,211
4/30/2014
Arcola
TX
309,969
961,069
None
None
309,969
961,069
1,271,038
168,187
8/30/2012
Atlanta
TX
427,591
661,699
None
None
427,591
661,699
1,089,290
111,386
10/31/2012
Austin
TX
590,000
812,479
None
None
590,000
812,479
1,402,479
136,767
10/31/2012
Austin
TX
333,480
947,447
None
None
333,480
947,447
1,280,927
121,589
10/24/2013
Bacliff
TX
557,574
1,035,495
None
None
557,574
1,035,495
1,593,069
188,115
6/1/2012
Baytown
TX
486,394
903,304
None
None
486,394
903,304
1,389,698
164,100
6/1/2012
Baytown
TX
447,005
830,152
None
None
447,005
830,152
1,277,157
150,811
6/1/2012
Beaumont
TX
526,746
978,243
None
None
526,746
978,243
1,504,989
177,714
6/1/2012
Beaumont
TX
186,877
1,007,961
None
None
186,877
1,007,961
1,194,838
176,393
8/30/2012
Beeville
TX
382,613
710,566
None
None
382,613
710,566
1,093,179
129,086
6/1/2012
Bloomington
TX
330,656
1,074,634
None
None
330,656
1,074,634
1,405,290
170,150
1/22/2013
Blossom
TX
82,320
825,297
None
None
82,320
825,297
907,617
144,427
8/30/2012
Borger
TX
589,000
166,456
804,791
None
None
166,456
804,791
971,247
87,186
4/30/2014
Brookshire
TX
863,000
281,120
1,359,173
None
None
281,120
1,359,173
1,640,293
147,244
4/30/2014
Brownsville
TX
287,319
533,592
None
None
287,319
533,592
820,911
96,936
6/1/2012
Bullard
TX
600,000
183,822
888,752
None
None
183,822
888,752
1,072,574
96,281
4/30/2014
Canton
TX
165,267
1,358,083
None
None
165,267
1,358,083
1,523,350
237,664
8/30/2012
Canyon Lake
TX
424,566
788,481
None
None
424,566
788,481
1,213,047
143,241
6/1/2012
Canyon Lake
TX
183,707
1,170,581
None
None
183,707
1,170,581
1,354,288
204,852
8/30/2012
Cedar Creek
TX
183,296
933,294
None
None
183,296
933,294
1,116,590
163,327
8/30/2012
Cisco
TX
531,000
139,059
1,013,495
None
None
139,059
1,013,495
1,152,554
109,795
4/30/2014
Corpus Christi
TX
460,501
855,215
None
None
460,501
855,215
1,315,716
155,364
6/1/2012
Corpus Christi
TX
577,037
1,071,640
None
None
577,037
1,071,640
1,648,677
194,681
6/1/2012
Corpus Christi
TX
291,106
540,626
None
None
291,106
540,626
831,732
98,214
6/1/2012
Corpus Christi
TX
408,524
1,327,703
None
None
408,524
1,327,703
1,736,227
210,220
1/22/2013
Corpus Christi
TX
287,912
1,132,648
None
None
287,912
1,132,648
1,420,560
160,458
6/21/2013
Corpus Christi
TX
363,669
900,360
None
None
363,669
900,360
1,264,029
106,543
1/24/2014
Corrigan
TX
256,676
834,196
1,514
None
256,676
835,710
1,092,386
133,358
1/22/2013
Cotulla
TX
919,863
1,708,316
None
None
919,863
1,708,316
2,628,179
276,178
12/14/2012
Creedmoor
TX
490,979
759,793
None
None
490,979
759,793
1,250,772
127,898
10/31/2012
Crystal City
TX
549,519
1,020,535
None
None
549,519
1,020,535
1,570,054
164,986
12/14/2012
Dallas
TX
660,890
1,227,367
None
None
660,890
1,227,367
1,888,257
222,972
6/1/2012
Dallas
TX
474,480
881,177
None
None
474,480
881,177
1,355,657
160,080
6/1/2012
Dallas
TX
433,859
1,238,325
None
None
433,859
1,238,325
1,672,184
117,641
8/25/2014
Del Rio
TX
507,216
784,918
None
None
507,216
784,918
1,292,134
132,128
10/31/2012
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Desoto
TX
510,567
790,105
None
None
510,567
790,105
1,300,672
133,001
10/31/2012
Dilley
TX
141,101
940,281
None
None
141,101
940,281
1,081,382
111,267
1/24/2014
Eagle Pass
TX
516,608
959,416
None
None
516,608
959,416
1,476,024
174,294
6/1/2012
Eagle Pass
TX
433,864
671,406
None
None
433,864
671,406
1,105,270
113,020
10/31/2012
East Bernard
TX
577,000
132,881
968,462
None
None
132,881
968,462
1,101,343
104,917
4/30/2014
Edinburg
TX
380,000
716,403
None
None
380,000
716,403
1,096,403
84,774
1/24/2014
El Paso
TX
270,000
940,688
None
None
270,000
940,688
1,210,688
39,195
12/15/2015
Elsa
TX
379,998
1,234,994
None
None
379,998
1,234,994
1,614,992
195,541
1/22/2013
Fort Stockton
TX
465,636
864,752
None
None
465,636
864,752
1,330,388
139,802
12/14/2012
Fort Worth
TX
547,855
1,019,204
None
None
547,855
1,019,204
1,567,059
178,361
8/30/2012
Fort Worth
TX
213,683
848,314
None
None
213,683
848,314
1,061,997
148,455
8/30/2012
Fort Worth
TX
600,746
1,115,672
None
None
600,746
1,115,672
1,716,418
180,367
12/14/2012
Fort Worth
TX
160,563
631,657
(7,839
)
None
160,563
623,818
784,381
88,155
8/15/2013
Freer
TX
269,137
499,827
None
None
269,137
499,827
768,964
80,805
12/14/2012
Garland
TX
228,333
424,047
None
None
228,333
424,047
652,380
77,035
6/1/2012
Garland
TX
298,055
737,916
None
None
298,055
737,916
1,035,971
87,320
1/24/2014
Glen Rose
TX
903,000
269,359
1,302,309
None
None
269,359
1,302,309
1,571,668
141,084
4/30/2014
Glenn Heights
TX
297,559
736,686
None
None
297,559
736,686
1,034,245
87,175
1/24/2014
Granite Shoals
TX
371,795
1,208,334
None
None
371,795
1,208,334
1,580,129
191,319
1/22/2013
Grape Creek
TX
232,999
710,940
None
None
232,999
710,940
943,939
124,415
8/30/2012
Hamilton
TX
626,000
140,174
1,021,615
None
None
140,174
1,021,615
1,161,789
110,675
4/30/2014
Hardin
TX
143,336
805,614
None
None
143,336
805,614
948,950
140,982
8/30/2012
Harker Heights
TX
488,753
907,685
None
None
488,753
907,685
1,396,438
164,896
6/1/2012
Harker Heights
TX
469,370
726,352
None
None
469,370
726,352
1,195,722
122,269
10/31/2012
Hebbronville
TX
481,250
893,750
None
None
481,250
893,750
1,375,000
144,490
12/14/2012
Hebbronville
TX
240,000
1,014,676
None
None
240,000
1,014,676
1,254,676
120,070
1/24/2014
Hewitt
TX
493,299
763,382
None
None
493,299
763,382
1,256,681
128,503
10/31/2012
Hidalgo
TX
450,411
1,115,114
None
None
450,411
1,115,114
1,565,525
131,955
1/24/2014
Houston
TX
279,181
518,479
None
None
279,181
518,479
797,660
94,190
6/1/2012
Houston
TX
434,980
807,819
None
None
434,980
807,819
1,242,799
146,754
6/1/2012
Houston
TX
429,081
796,866
None
None
429,081
796,866
1,225,947
144,764
6/1/2012
Houston
TX
490,377
910,700
None
None
490,377
910,700
1,401,077
165,444
6/1/2012
Houston
TX
565,402
874,961
None
None
565,402
874,961
1,440,363
147,285
10/31/2012
Houston
TX
650,000
866,899
None
None
650,000
866,899
1,516,899
145,928
10/31/2012
Houston
TX
562,086
869,831
None
None
562,086
869,831
1,431,917
146,422
10/31/2012
Houston
TX
467,805
868,780
None
None
467,805
868,780
1,336,585
140,453
12/14/2012
Houston
TX
610,149
1,133,135
None
None
610,149
1,133,135
1,743,284
183,190
12/14/2012
Houston
TX
474,480
881,178
None
None
474,480
881,178
1,355,658
142,457
12/14/2012
Houston
TX
310,255
1,220,545
None
None
310,255
1,220,545
1,530,800
164,774
8/22/2013
Houston
TX
283,623
1,115,777
None
None
283,623
1,115,777
1,399,400
150,630
8/22/2013
Houston
TX
440,874
1,091,500
None
None
440,874
1,091,500
1,532,374
129,161
1/24/2014
Houston
TX
347,071
986,059
None
None
347,071
986,059
1,333,130
110,110
3/28/2014
Hubbard
TX
128,604
857,007
None
None
128,604
857,007
985,611
101,413
1/24/2014
Itasca
TX
543,000
118,010
860,081
None
None
118,010
860,081
978,091
93,175
4/1/2014
Jefferson
TX
339,075
1,333,925
None
None
339,075
1,333,925
1,673,000
180,080
8/22/2013
Joaquin
TX
656,000
135,219
985,502
None
None
135,219
985,502
1,120,721
106,763
4/1/2014
Katy
TX
554,109
857,486
None
None
554,109
857,486
1,411,595
144,344
10/31/2012
Katy
TX
346,827
985,367
None
None
346,827
985,367
1,332,194
126,455
10/11/2013
Kaufman
TX
488,687
907,561
None
None
488,687
907,561
1,396,248
164,874
6/1/2012
Kermit
TX
234,478
922,439
None
None
234,478
922,439
1,156,917
130,679
6/21/2013
Killeen
TX
480,758
892,837
None
None
480,758
892,837
1,373,595
162,199
6/1/2012
Killeen
TX
471,572
729,760
None
None
471,572
729,760
1,201,332
122,843
10/31/2012
Killeen
TX
380,000
881,852
None
None
380,000
881,852
1,261,852
36,744
12/15/2015
Killeen
TX
440,000
830,465
None
None
440,000
830,465
1,270,465
34,603
12/15/2015
Lacy Lakeview
TX
429,768
798,141
None
None
429,768
798,141
1,227,909
144,996
6/1/2012
Lakehills
TX
183,968
795,341
None
None
183,968
795,341
979,309
139,185
8/30/2012
Lamesa
TX
450,012
835,736
None
None
450,012
835,736
1,285,748
151,825
6/1/2012
Leonard
TX
277,575
515,496
None
None
277,575
515,496
793,071
93,648
6/1/2012
Llano
TX
804,000
179,332
1,307,011
None
None
179,332
1,307,011
1,486,343
141,593
4/1/2014
Longview
TX
435,985
809,687
None
None
435,985
809,687
1,245,672
130,899
12/14/2012
Longview
TX
473,119
878,650
None
None
473,119
878,650
1,351,769
142,048
12/14/2012
Longview
TX
150,012
278,594
None
None
150,012
278,594
428,606
45,039
12/14/2012
Los Fresnos
TX
533,059
989,968
None
None
533,059
989,968
1,523,027
179,844
6/1/2012
Lufkin
TX
267,700
497,158
None
None
267,700
497,158
764,858
80,374
12/14/2012
Marfa
TX
310,000
1,325,712
None
None
310,000
1,325,712
1,635,712
156,876
1/24/2014
Marshall
TX
665,113
1,235,211
None
None
665,113
1,235,211
1,900,324
224,397
6/1/2012
Memphis
TX
461,000
102,312
745,672
None
None
102,312
745,672
847,984
80,781
4/1/2014
Midland
TX
544,075
1,322,431
None
None
544,075
1,322,431
1,866,506
998,323
2/3/1998
Midland
TX
194,594
790,843
None
None
194,594
790,843
985,437
138,398
8/30/2012
Monahans
TX
473,723
879,770
None
None
473,723
879,770
1,353,493
142,230
12/14/2012
Monte Alto
TX
370,770
1,205,004
None
None
370,770
1,205,004
1,575,774
190,792
1/22/2013
Morton
TX
190,918
751,074
None
None
190,918
751,074
941,992
106,402
6/21/2013
Mount Enterprise
TX
510,030
947,198
None
None
510,030
947,198
1,457,228
153,130
12/14/2012
Mt Vernon
TX
641,000
132,850
968,238
None
None
132,850
968,238
1,101,088
104,893
4/1/2014
Nacogdoches
TX
585,075
1,086,567
None
None
585,075
1,086,567
1,671,642
175,662
12/14/2012
New Boston
TX
226,547
420,730
None
None
226,547
420,730
647,277
76,433
6/1/2012
Odessa
TX
200,900
874,978
None
None
200,900
874,978
1,075,878
153,121
8/30/2012
Odessa
TX
393,275
795,622
None
None
393,275
795,622
1,188,897
139,234
8/30/2012
Odessa
TX
299,235
687,360
None
None
299,235
687,360
986,595
120,288
8/30/2012
Onalaska
TX
455,522
845,970
None
None
455,522
845,970
1,301,492
136,765
12/14/2012
Orange
TX
359,323
1,413,577
None
None
359,323
1,413,577
1,772,900
190,833
8/22/2013
Orange
TX
267,166
1,051,034
None
None
267,166
1,051,034
1,318,200
141,890
8/22/2013
Paris
TX
194,054
844,235
None
None
194,054
844,235
1,038,289
147,741
8/30/2012
Pasadena
TX
274,400
1,079,491
None
None
274,400
1,079,491
1,353,891
152,928
6/21/2013
Pearsall
TX
314,465
584,006
None
None
314,465
584,006
898,471
106,094
6/1/2012
Pearsall
TX
179,547
938,079
None
None
179,547
938,079
1,117,626
111,006
1/24/2014
Perryton
TX
534,489
992,623
None
None
534,489
992,623
1,527,112
160,474
12/14/2012
Pharr
TX
506,911
941,407
None
None
506,911
941,407
1,448,318
171,022
6/1/2012
Pinehurst
TX
556,823
861,686
None
None
556,823
861,686
1,418,509
145,051
10/31/2012
Pineland
TX
703,000
149,928
1,092,708
None
None
149,928
1,092,708
1,242,636
118,377
4/1/2014
Pittsburg
TX
469,724
872,344
None
None
469,724
872,344
1,342,068
158,476
6/1/2012
Port Acres
TX
268,899
499,384
None
None
268,899
499,384
768,283
90,721
6/1/2012
Port Arthur
TX
253,535
828,487
None
None
253,535
828,487
1,082,022
144,985
8/30/2012
Port Neches
TX
498,469
925,729
None
None
498,469
925,729
1,424,198
149,659
12/14/2012
Porter
TX
559,462
1,039,001
None
None
559,462
1,039,001
1,598,463
167,972
12/14/2012
Progresso
TX
200,597
372,537
None
None
200,597
372,537
573,134
60,227
12/14/2012
Rio Grande City
TX
171,514
896,112
None
None
171,514
896,112
1,067,626
106,040
1/24/2014
Rio Vista
TX
61,254
829,871
None
None
61,254
829,871
891,125
145,227
8/30/2012
Rockdale
TX
592,000
174,972
845,963
None
None
174,972
845,963
1,020,935
91,646
4/1/2014
Rosenberg
TX
408,933
759,448
None
None
408,933
759,448
1,168,381
137,966
6/1/2012
Rusk
TX
446,174
828,610
None
None
446,174
828,610
1,274,784
133,959
12/14/2012
Saginaw
TX
485,162
901,016
None
None
485,162
901,016
1,386,178
163,685
6/1/2012
San Angelo
TX
308,573
1,000,504
None
None
308,573
1,000,504
1,309,077
175,088
8/30/2012
San Antonio
TX
663,903
1,232,962
None
None
663,903
1,232,962
1,896,865
223,988
6/1/2012
San Antonio
TX
474,828
881,824
None
None
474,828
881,824
1,356,652
160,198
6/1/2012
San Antonio
TX
357,827
664,536
None
None
357,827
664,536
1,022,363
120,724
6/1/2012
San Antonio
TX
637,451
1,183,837
None
None
637,451
1,183,837
1,821,288
215,064
6/1/2012
San Antonio
TX
265,044
818,313
None
None
265,044
818,313
1,083,357
143,205
8/30/2012
San Antonio
TX
273,109
896,601
None
None
273,109
896,601
1,169,710
156,905
8/30/2012
San Antonio
TX
408,997
1,329,239
None
None
408,997
1,329,239
1,738,236
210,463
1/22/2013
San Antonio
TX
325,537
1,280,663
None
None
325,537
1,280,663
1,606,200
172,890
8/22/2013
San Augustine
TX
468,018
869,176
None
None
468,018
869,176
1,337,194
140,517
12/14/2012
San Benito
TX
149,582
781,526
None
None
149,582
781,526
931,108
92,481
1/24/2014
Santa Fe
TX
450,685
1,115,790
None
None
450,685
1,115,790
1,566,475
132,035
1/24/2014
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Schertz
TX
300,878
558,773
None
None
300,878
558,773
859,651
101,510
6/1/2012
Sealy
TX
723,000
213,880
1,034,081
None
None
213,880
1,034,081
1,247,961
112,025
4/1/2014
Seminole
TX
103,470
899,122
None
None
103,470
899,122
1,002,592
157,346
8/30/2012
Seminole
TX
364,491
1,433,909
None
None
364,491
1,433,909
1,798,400
193,578
8/22/2013
Sherman
TX
242,135
449,678
None
None
242,135
449,678
691,813
81,692
6/1/2012
Sullivan City
TX
496,544
922,154
None
None
496,544
922,154
1,418,698
149,082
12/14/2012
Taft
TX
177,408
926,908
None
None
177,408
926,908
1,104,316
109,684
1/24/2014
Temple
TX
248,015
805,588
None
None
248,015
805,588
1,053,603
140,978
8/30/2012
Temple
TX
580,869
1,078,758
None
None
580,869
1,078,758
1,659,627
174,399
12/14/2012
Texas City
TX
238,472
973,286
None
None
238,472
973,286
1,211,758
170,325
8/30/2012
Three Rivers
TX
225,995
1,068,797
None
None
225,995
1,068,797
1,294,792
126,474
1/24/2014
Valley View
TX
185,843
878,905
None
None
185,843
878,905
1,064,748
104,004
1/24/2014
Van Horn
TX
707,000
147,318
1,073,686
None
None
147,318
1,073,686
1,221,004
116,316
4/1/2014
Waco
TX
527,779
980,161
None
None
527,779
980,161
1,507,940
178,063
6/1/2012
Wells
TX
141,780
840,639
None
None
141,780
840,639
982,419
147,112
8/30/2012
Wichita Falls
TX
297,454
552,415
None
None
297,454
552,415
849,869
100,355
6/1/2012
Willis
TX
664,432
1,233,946
None
None
664,432
1,233,946
1,898,378
224,167
6/1/2012
Wills Point
TX
417,304
774,994
None
None
417,304
774,994
1,192,298
125,291
12/14/2012
Wilmer
TX
489,576
909,212
None
None
489,576
909,212
1,398,788
146,989
12/14/2012
Winnsboro
TX
446,940
830,031
None
None
446,940
830,031
1,276,971
134,188
12/14/2012
Winters
TX
50,842
811,377
None
None
50,842
811,377
862,219
141,991
8/30/2012
Zapata
TX
249,421
1,303,154
None
None
249,421
1,303,154
1,552,575
154,207
1/24/2014
Kanab
UT
563,114
1,045,783
None
None
563,114
1,045,783
1,608,897
189,984
6/1/2012
Mt Pleasant
UT
573,530
1,065,126
None
None
573,530
1,065,126
1,638,656
193,498
6/1/2012
Charlotte Ct Hous
VA
154,295
1,028,208
None
None
154,295
1,028,208
1,182,503
121,671
1/24/2014
Colonial Heights
VA
337,535
1,327,865
None
None
337,535
1,327,865
1,665,400
179,262
8/22/2013
Colonial Heights
VA
283,623
1,115,777
None
None
283,623
1,115,777
1,399,400
150,630
8/22/2013
Concord
VA
259,997
906,036
None
None
259,997
906,036
1,166,033
158,556
8/30/2012
Craigsville
VA
141,713
944,359
None
None
141,713
944,359
1,086,072
111,749
1/24/2014
Danville
VA
223,469
879,131
None
None
223,469
879,131
1,102,600
118,683
8/22/2013
Fancy Gap
VA
153,509
1,022,966
None
None
153,509
1,022,966
1,176,475
121,051
1/24/2014
Fork Union
VA
159,295
1,061,525
None
None
159,295
1,061,525
1,220,820
125,614
1/24/2014
Goshen
VA
80,157
831,602
None
None
80,157
831,602
911,759
145,530
8/30/2012
Madison Heights
VA
276,413
936,546
None
None
276,413
936,546
1,212,959
163,896
8/30/2012
Mineral
VA
202,879
1,059,984
None
None
202,879
1,059,984
1,262,863
125,432
1/24/2014
Onley
VA
313,433
582,089
None
None
313,433
582,089
895,522
94,104
12/14/2012
Portsmouth
VA
524,294
973,688
None
None
524,294
973,688
1,497,982
176,887
6/1/2012
Rich Creek
VA
194,447
940,122
None
None
194,447
940,122
1,134,569
104,980
3/25/2014
Richmond
VA
709,379
1,317,417
None
None
709,379
1,317,417
2,026,796
239,331
6/1/2012
Richmond
VA
344,912
1,356,888
None
None
344,912
1,356,888
1,701,800
183,180
8/22/2013
Roanoke
VA
591,344
1,098,210
None
None
591,344
1,098,210
1,689,554
199,508
6/1/2012
Roanoke
VA
655,795
1,217,906
None
None
655,795
1,217,906
1,873,701
196,895
12/14/2012
Roanoke
VA
478,904
889,394
None
None
478,904
889,394
1,368,298
143,785
12/14/2012
Shawsville
VA
334,624
1,066,596
None
None
334,624
1,066,596
1,401,220
186,654
8/30/2012
Shenandoah
VA
192,613
1,006,351
None
None
192,613
1,006,351
1,198,964
119,085
1/24/2014
Spotsylvania
VA
300,324
1,181,476
None
None
300,324
1,181,476
1,481,800
159,499
8/22/2013
Stanleytown
VA
359,846
668,286
None
None
359,846
668,286
1,028,132
108,040
12/14/2012
Stony Creek
VA
237,764
935,366
None
None
237,764
935,366
1,173,130
132,510
6/21/2013
Victoria
VA
194,099
914,642
None
None
194,099
914,642
1,108,741
160,062
8/30/2012
Eagle River
WI
208,955
388,060
None
None
208,955
388,060
597,015
62,736
12/14/2012
Milwaukee
WI
538,419
999,922
None
None
538,419
999,922
1,538,341
181,652
6/1/2012
Milwaukee
WI
120,000
664,289
32,249
None
120,000
696,538
816,538
82,107
3/14/2014
Milwaukee
WI
359,110
591,334
None
None
359,110
591,334
950,444
32,234
10/9/2015
Spooner
WI
564,022
1,047,470
None
None
564,022
1,047,470
1,611,492
190,290
6/1/2012
French Creek
WV
270,000
1,162,377
None
None
270,000
1,162,377
1,432,377
48,432
12/15/2015
Lewisburg
WV
290,000
1,063,577
None
None
290,000
1,063,577
1,353,577
44,316
12/15/2015
Mount Hope
WV
186,300
732,905
None
None
186,300
732,905
919,205
101,385
7/23/2013
Princeton
WV
280,344
911,119
8,500
None
280,344
919,619
1,199,963
148,908
1/22/2013
Rock
WV
332,222
1,079,721
None
None
332,222
1,079,721
1,411,943
170,956
1/22/2013
Shady Spring
WV
204,338
833,689
None
None
204,338
833,689
1,038,027
126,443
3/27/2013
Cheyenne
WY
521,603
968,690
None
None
521,603
968,690
1,490,293
175,979
6/1/2012
Cheyenne
WY
564,022
1,047,470
None
None
564,022
1,047,470
1,611,492
190,290
6/1/2012
Drug stores
Atmore
AL
1,689,229
4,025,584
None
None
1,689,229
4,025,584
5,714,813
275,082
4/29/2015
Auburn
AL
1,696,833
3,901,754
None
None
1,696,833
3,901,754
5,598,587
617,778
1/22/2013
Bessemer
AL
913,349
2,269,571
None
None
913,349
2,269,571
3,182,920
208,044
9/30/2014
Chelsea
AL
1,157,579
3,575,632
None
None
1,157,579
3,575,632
4,733,211
566,142
1/22/2013
Huntsville
AL
1,971,282
3,528,526
None
None
1,971,282
3,528,526
5,499,808
41,166
9/29/2016
Montgomery
AL
1,150,000
1,479,627
None
None
1,150,000
1,479,627
2,629,627
702,831
2/9/2005
Northport
AL
1,650,000
4,829,538
None
None
1,650,000
4,829,538
6,479,538
330,018
4/29/2015
Tuscaloosa
AL
2,000,550
4,371,497
None
None
2,000,550
4,371,497
6,372,047
298,719
4/29/2015
Monticello
AR
1,990,000
3,710,723
None
None
1,990,000
3,710,723
5,700,723
253,566
4/29/2015
Van Buren
AR
1,328,049
3,008,245
None
None
1,328,049
3,008,245
4,336,294
396,086
9/25/2013
Apache Junction
AZ
2,147,586
3,844,103
None
None
2,147,586
3,844,103
5,991,689
44,848
9/29/2016
Chandler
AZ
-
3,540,215
None
None
-
3,540,215
3,540,215
560,534
1/22/2013
Chandler
AZ
1,086,262
2,460,559
None
None
1,086,262
2,460,559
3,546,821
323,974
9/25/2013
El Mirage
AZ
1,179,770
2,672,369
None
None
1,179,770
2,672,369
3,852,139
351,862
9/25/2013
Mesa
AZ
1,347,649
3,790,620
None
None
1,347,649
3,790,620
5,138,269
537,005
6/14/2013
Mesa
AZ
1,545,555
4,347,285
None
None
1,545,555
4,347,285
5,892,840
615,865
6/14/2013
Phoenix
AZ
-
3,381,632
None
None
-
3,381,632
3,381,632
535,425
1/22/2013
Phoenix
AZ
1,562,759
4,395,676
None
None
1,562,759
4,395,676
5,958,435
622,721
6/14/2013
Surprise
AZ
1,358,528
3,821,220
None
None
1,358,528
3,821,220
5,179,748
541,339
6/14/2013
Tucson
AZ
959,875
2,350,208
None
None
959,875
2,350,208
3,310,083
411,286
8/10/2012
Bakersfield
CA
-
3,501,678
None
None
-
3,501,678
3,501,678
1,243,095
2/26/2008
Blythe
CA
-
3,762,216
None
None
-
3,762,216
3,762,216
156,759
12/4/2015
Clearlake
CA
780,000
4,571,338
None
None
780,000
4,571,338
5,351,338
190,472
12/4/2015
Encinitas
CA
-
3,751,713
None
None
-
3,751,713
3,751,713
1,331,857
2/26/2008
Indio
CA
2,205,539
4,096,524
None
None
2,205,539
4,096,524
6,302,063
1,454,265
2/21/2008
Pico Rivera
CA
-
4,633,063
None
None
-
4,633,063
4,633,063
733,568
1/22/2013
Sacramento
CA
1,490,000
3,473,583
None
None
1,490,000
3,473,583
4,963,583
862,607
10/22/2010
Seal Beach
CA
-
4,448,814
None
None
-
4,448,814
4,448,814
185,367
12/4/2015
Tracy
CA
2,467,993
4,584,246
None
None
2,467,993
4,584,246
7,052,239
1,657,969
12/20/2007
Visalia
CA
-
4,333,023
None
None
-
4,333,023
4,333,023
686,062
1/22/2013
Colorado Springs
CO
1,025,000
1,645,371
36,980
1,025,000
1,682,430
2,707,430
810,556
2/9/2005
Colorado Springs
CO
1,547,023
3,504,257
151,037
None
1,547,023
3,655,294
5,202,317
474,648
8/29/2013
Fort Collins
CO
1,100,000
1,385,014
None
1,100,000
1,385,093
2,485,093
657,949
2/9/2005
Littleton
CO
1,498,300
3,393,892
306,173
None
1,498,300
3,700,065
5,198,365
463,904
8/29/2013
Montrose
CO
1,958,248
3,505,195
None
None
1,958,248
3,505,195
5,463,443
40,894
9/29/2016
Berlin
CT
1,532,460
3,786,614
None
None
1,532,460
3,786,614
5,319,074
422,839
3/31/2014
Branford
CT
1,760,000
3,849,409
None
None
1,760,000
3,849,409
5,609,409
429,851
3/31/2014
Millsboro
DE
900,000
4,039,490
None
None
900,000
4,039,490
4,939,490
168,312
12/4/2015
Delray Beach
FL
4,893,115
3,541,070
None
None
4,893,115
3,541,070
8,434,185
560,669
1/22/2013
Deltona
FL
849,162
2,388,495
111,642
849,162
2,500,277
3,349,439
342,832
6/4/2013
Gainesville
FL
1,935,853
3,620,924
None
None
1,935,853
3,620,924
5,556,777
573,313
1/22/2013
Jacksonville
FL
1,605,187
3,691,020
None
None
1,605,187
3,691,020
5,296,207
584,412
1/22/2013
Milton
FL
500,000
1,774,311
None
None
500,000
1,774,311
2,274,311
440,621
10/22/2010
Orlando
FL
960,194
2,372,580
14,576
None
960,194
2,387,156
3,347,350
292,672
12/10/2013
Rockledge
FL
1,626,972
4,576,292
8,858
None
1,626,972
4,585,150
6,212,122
648,374
6/7/2013
Saint Augustine
FL
1,442,096
4,056,278
None
None
1,442,096
4,056,278
5,498,374
574,639
6/11/2013
Winter Park
FL
1,075,020
1,664,284
None
None
1,075,020
1,664,284
2,739,304
1,217,729
9/30/1998
Acworth
GA
1,534,095
3,527,548
None
None
1,534,095
3,527,548
5,061,643
558,528
1/22/2013
Adel
GA
500,000
1,056,116
48,524
None
500,000
1,104,640
1,604,640
504,448
4/29/2005
Austell
GA
1,234,384
3,610,300
None
None
1,234,384
3,610,300
4,844,684
571,631
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Blackshear
GA
430,000
1,005,393
46,950
None
430,000
1,052,343
1,482,343
473,866
4/29/2005
Bowdon
GA
410,000
1,010,615
None
None
410,000
1,010,615
1,420,615
473,299
4/29/2005
Cairo
GA
330,000
1,152,243
54,608
None
330,000
1,206,851
1,536,851
542,256
4/29/2005
Columbus
GA
1,740,000
5,024,581
None
1,740,000
5,025,381
6,765,381
712,224
6/14/2013
Decatur
GA
1,546,047
3,555,032
65,720
None
1,546,047
3,620,752
5,166,799
577,543
1/22/2013
East Ellijay
GA
1,317,709
3,029,984
None
None
1,317,709
3,029,984
4,347,693
479,748
1/22/2013
Lawrenceville
GA
1,109,742
3,121,445
71,737
None
1,109,742
3,193,182
4,302,924
450,591
6/28/2013
Lithia Springs
GA
1,543,512
3,549,202
None
None
1,543,512
3,549,202
5,092,714
561,957
1/22/2013
Quitman
GA
730,000
856,586
None
None
730,000
856,586
1,586,586
406,870
2/9/2005
Rome
GA
-
3,389,465
None
None
-
3,389,465
3,389,465
536,665
1/22/2013
Rome
GA
1,293,890
3,639,408
None
None
1,293,890
3,639,408
4,933,298
515,583
6/12/2013
Altoona
IA
1,440,000
3,440,755
None
None
1,440,000
3,440,755
4,880,755
40,142
9/29/2016
Iowa City
IA
1,892,972
3,388,354
None
None
1,892,972
3,388,354
5,281,326
39,531
9/29/2016
Ottumwa
IA
1,687,561
3,880,433
None
None
1,687,561
3,880,433
5,567,994
614,402
1/22/2013
Waterloo
IA
1,760,000
4,023,600
None
None
1,760,000
4,023,600
5,783,600
274,946
4/29/2015
Blackfoot
ID
560,000
1,932,186
60,641
None
560,000
1,992,827
2,552,827
918,664
2/9/2005
Burley
ID
700,000
2,011,543
62,154
None
700,000
2,073,697
2,773,697
956,381
2/9/2005
Chubbuck
ID
890,000
1,267,183
52,044
None
890,000
1,319,227
2,209,227
602,445
2/9/2005
Chicago
IL
1,589,068
2,841,507
175,063
None
1,589,068
3,016,570
4,605,638
544,149
6/29/2012
Chicago
IL
1,462,870
3,735,267
None
None
1,462,870
3,735,267
5,198,137
591,417
1/22/2013
Chicago
IL
1,744,950
3,952,594
53,843
None
1,744,950
4,006,437
5,751,387
520,761
9/3/2013
Chicago
IL
1,584,794
4,502,544
None
None
1,584,794
4,502,544
6,087,338
562,818
11/12/2013
Chicago Heights
IL
1,272,921
3,580,429
40,423
None
1,272,921
3,620,852
4,893,773
507,480
6/4/2013
Darien
IL
1,198,099
3,369,971
33,928
None
1,198,099
3,403,899
4,601,998
488,843
5/31/2013
Deerfield
IL
4,092,687
11,511,770
None
None
4,092,687
11,511,770
15,604,457
1,110,063
8/27/2013
Deerfield
IL
4,261,874
11,987,653
None
None
4,261,874
11,987,653
16,249,527
1,155,952
8/27/2013
Deerfield
IL
4,082,432
11,482,923
None
None
4,082,432
11,482,923
15,565,355
1,107,282
8/27/2013
Deerfield
IL
4,089,453
11,502,673
None
None
4,089,453
11,502,673
15,592,126
1,109,186
8/27/2013
Deerfield
IL
2,586,157
7,274,253
None
None
2,586,157
7,274,253
9,860,410
701,446
8/27/2013
Deerfield
IL
3,180,926
8,947,200
None
None
3,180,926
8,947,200
12,128,126
862,766
8/27/2013
Dolton
IL
1,860,000
4,204,975
None
None
1,860,000
4,204,975
6,064,975
91,108
6/30/2016
East Peoria
IL
1,217,434
2,532,652
None
None
1,217,434
2,532,652
3,750,086
54,874
6/30/2016
Maryville
IL
780,685
2,344,436
None
None
780,685
2,344,436
3,125,121
543,128
3/16/2011
Moline
IL
1,104,813
3,748,707
None
None
1,104,813
3,748,707
4,853,520
593,545
1/22/2013
Oak Forest
IL
1,562,490
4,394,918
None
None
1,562,490
4,394,918
5,957,408
622,613
6/6/2013
Pekin
IL
897,200
1,866,462
None
None
897,200
1,866,462
2,763,662
40,440
6/30/2016
Peoria
IL
867,025
1,803,689
None
None
867,025
1,803,689
2,670,714
39,080
6/30/2016
Plainfield
IL
1,463,785
3,365,876
None
None
1,463,785
3,365,876
4,829,661
532,930
1/22/2013
Springfield
IL
1,343,188
3,778,072
82,178
None
1,343,188
3,860,250
5,203,438
539,849
6/7/2013
Springfield
IL
1,227,859
3,453,680
None
None
1,227,859
3,453,680
4,681,539
489,271
6/11/2013
Troy
IL
768,515
1,991,358
None
None
768,515
1,991,358
2,759,873
461,331
3/16/2011
Anderson
IN
937,591
2,123,795
None
None
937,591
2,123,795
3,061,386
279,633
9/11/2013
Aurora
IN
980,000
2,521,122
None
None
980,000
2,521,122
3,501,122
96,643
1/5/2016
Chesterton
IN
616,498
4,930,886
None
None
616,498
4,930,886
5,547,384
780,724
1/22/2013
Elkhart
IN
1,772,161
4,074,966
None
None
1,772,161
4,074,966
5,847,127
645,203
1/22/2013
Fort Wayne
IN
1,814,885
3,965,792
None
None
1,814,885
3,965,792
5,780,677
270,996
4/29/2015
Fort Wayne
IN
1,163,111
2,419,644
None
None
1,163,111
2,419,644
3,582,755
52,426
6/30/2016
Fort Wayne
IN
1,319,890
2,745,793
None
None
1,319,890
2,745,793
4,065,683
59,492
6/30/2016
Fort Wayne
IN
1,710,000
3,014,685
None
None
1,710,000
3,014,685
4,724,685
35,171
9/29/2016
Hammond
IN
667,821
2,656,839
None
667,821
2,656,889
3,324,710
500,383
4/12/2012
Indianapolis
IN
1,630,000
5,235,915
None
None
1,630,000
5,235,915
6,865,915
741,755
6/4/2013
Indianapolis
IN
1,123,685
3,160,662
None
None
1,123,685
3,160,662
4,284,347
447,760
6/28/2013
Kokomo
IN
978,592
2,216,668
128,344
None
978,592
2,345,012
3,323,604
300,499
9/11/2013
La Porte
IN
1,765,195
3,959,682
None
None
1,765,195
3,959,682
5,724,877
270,578
4/29/2015
Logansport
IN
903,696
2,245,585
76,549
None
903,696
2,322,134
3,225,830
190,111
12/30/2014
Marion
IN
1,247,236
3,508,184
None
None
1,247,236
3,508,184
4,755,420
496,993
6/27/2013
Monticello
IN
694,032
1,952,148
175,768
None
694,032
2,127,916
2,821,948
304,886
6/7/2013
Monticello
IN
1,430,000
4,425,257
None
None
1,430,000
4,425,257
5,855,257
302,393
4/29/2015
New Haven
IN
1,140,000
2,764,616
None
None
1,140,000
2,764,616
3,904,616
59,900
6/30/2016
Princeton
IN
2,033,742
4,676,454
None
None
2,033,742
4,676,454
6,710,196
740,439
1/22/2013
Salem
IN
-
2,351,296
None
None
-
2,351,296
2,351,296
975,788
8/16/2006
South Bend
IN
1,665,544
4,684,786
None
1,665,544
4,684,800
6,350,344
663,681
6/4/2013
Emporia
KS
2,035,321
4,447,479
None
None
2,035,321
4,447,479
6,482,800
303,911
4/29/2015
Hutchinson
KS
1,456,992
3,620,465
None
None
1,456,992
3,620,465
5,077,457
295,671
12/23/2014
Kansas City
KS
1,290,000
5,192,800
None
None
1,290,000
5,192,800
6,482,800
354,841
4/29/2015
Liberal
KS
2,000,000
3,595,400
None
None
2,000,000
3,595,400
5,595,400
41,946
9/29/2016
Merriam
KS
1,441,117
4,053,526
None
None
1,441,117
4,053,526
5,494,643
574,249
6/4/2013
Newton
KS
1,340,000
3,335,460
None
None
1,340,000
3,335,460
4,675,460
272,396
12/23/2014
Parsons
KS
2,090,000
4,248,446
None
None
2,090,000
4,248,446
6,338,446
290,310
4/29/2015
Lebanon
KY
1,718,716
4,095,853
None
None
1,718,716
4,095,853
5,814,569
279,883
4/29/2015
Louisville
KY
2,386,891
4,017,753
None
None
2,386,891
4,017,753
6,404,644
636,144
1/22/2013
Louisville
KY
1,785,691
4,106,077
None
None
1,785,691
4,106,077
5,891,768
650,129
1/22/2013
Louisville
KY
1,565,241
3,947,885
None
None
1,565,241
3,947,885
5,513,126
625,082
1/22/2013
Louisville
KY
2,540,000
3,918,593
None
None
2,540,000
3,918,593
6,458,593
267,771
4/29/2015
Mayfield
KY
1,782,381
4,098,467
None
None
1,782,381
4,098,467
5,880,848
648,924
1/22/2013
Paducah
KY
1,792,850
4,021,718
None
None
1,792,850
4,021,718
5,814,568
274,817
4/29/2015
Radcliff
KY
1,305,607
3,960,699
None
None
1,305,607
3,960,699
5,266,306
627,111
1/22/2013
Amite
LA
1,633,328
3,755,728
None
None
1,633,328
3,755,728
5,389,056
594,657
1/22/2013
Gretna
LA
3,570,000
5,037,780
None
None
3,570,000
5,037,780
8,607,780
461,797
9/30/2014
Morgan City
LA
1,378,894
3,170,675
None
None
1,378,894
3,170,675
4,549,569
502,024
1/22/2013
Pineville
LA
1,527,708
3,593,739
None
None
1,527,708
3,593,739
5,121,447
281,510
1/7/2015
Brockton
MA
1,420,000
5,586,439
None
None
1,420,000
5,586,439
7,006,439
623,819
3/31/2014
Melrose
MA
2,450,000
5,344,307
None
None
2,450,000
5,344,307
7,794,307
596,781
3/31/2014
Baltimore
MD
-
3,545,162
None
None
-
3,545,162
3,545,162
147,715
12/4/2015
Elkton
MD
1,751,013
3,252,546
None
None
1,751,013
3,252,546
5,003,559
1,154,652
2/21/2008
Laurel
MD
-
2,400,696
None
None
-
2,400,696
2,400,696
996,289
8/16/2006
Biddeford
ME
-
3,587,125
None
None
-
3,587,125
3,587,125
567,962
1/22/2013
Brewer
ME
2,030,000
4,935,503
None
None
2,030,000
4,935,503
6,965,503
699,196
6/6/2013
Farmington
ME
1,310,995
3,687,522
None
None
1,310,995
3,687,522
4,998,517
522,399
6/12/2013
Lisbon
ME
1,403,949
3,948,979
None
None
1,403,949
3,948,979
5,352,928
559,439
6/13/2013
Machias
ME
1,250,032
3,516,047
None
None
1,250,032
3,516,047
4,766,079
498,107
6/5/2013
Portland
ME
2,100,849
3,902,402
None
None
2,100,849
3,902,402
6,003,251
1,411,368
12/20/2007
Charlotte
MI
466,474
3,640,666
None
None
466,474
3,640,666
4,107,140
576,439
1/22/2013
Dearborn
MI
2,170,000
4,413,371
None
None
2,170,000
4,413,371
6,583,371
301,580
4/29/2015
Gladwin
MI
1,365,747
2,536,910
None
None
1,365,747
2,536,910
3,902,657
900,602
2/21/2008
Jackson
MI
2,140,000
4,436,052
None
None
2,140,000
4,436,052
6,576,052
216,522
4/29/2015
Macomb
MI
1,084,185
3,049,559
None
None
1,084,185
3,049,559
4,133,744
432,021
6/25/2013
Metamora
MI
859,139
2,291,557
None
None
859,139
2,291,557
3,150,696
950,996
8/16/2006
Mount Pleasant
MI
2,650,507
879,419
3,713,692
None
None
879,419
3,713,692
4,593,111
588,001
1/22/2013
Northville
MI
982,099
3,849,614
None
None
982,099
3,849,614
4,831,713
609,522
1/22/2013
Norton Shores
MI
2,046,387
4,471,658
None
None
2,046,387
4,471,658
6,518,045
305,563
4/29/2015
Port Huron
MI
1,908,747
4,281,697
None
None
1,908,747
4,281,697
6,190,444
292,583
4/29/2015
Portage
MI
1,640,000
4,489,124
None
None
1,640,000
4,489,124
6,129,124
306,757
4/29/2015
Rockwood
MI
972,962
2,736,715
57,268
None
972,962
2,793,983
3,766,945
390,923
6/25/2013
Royal Oak
MI
2,550,000
4,382,053
None
None
2,550,000
4,382,053
6,932,053
299,440
4/29/2015
Taylor
MI
2,092,605
4,572,653
None
None
2,092,605
4,572,653
6,665,258
312,465
4/29/2015
Troy
MI
3,184,828
-
9,976
None
3,184,828
9,976
3,194,804
3,386
6/27/2013
Washington Townsh
MI
1,028,277
2,892,301
None
None
1,028,277
2,892,301
3,920,578
409,743
6/25/2013
Brooklyn Park
MN
-
4,106,753
None
None
-
4,106,753
4,106,753
650,236
1/22/2013
Cloquet
MN
1,220,000
5,151,588
None
None
1,220,000
5,151,588
6,371,588
729,808
6/7/2013
Grand Rapids
MN
3,428,637
499,111
4,072,537
None
None
499,111
4,072,537
4,571,648
644,818
1/22/2013
Dellwood
MO
766,461
2,438,272
None
None
766,461
2,438,272
3,204,733
564,866
3/16/2011
Des Peres
MO
2,280,000
3,811,179
None
None
2,280,000
3,811,179
6,091,179
44,464
9/29/2016
Farmington
MO
1,580,000
5,184,052
None
None
1,580,000
5,184,052
6,764,052
734,407
6/27/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Harrisonville
MO
1,473,335
3,387,834
None
None
1,473,335
3,387,834
4,861,169
536,407
1/22/2013
Kansas City
MO
1,875,478
4,207,068
None
None
1,875,478
4,207,068
6,082,546
287,483
4/29/2015
Lees Summit
MO
2,005,545
3,589,855
None
None
2,005,545
3,589,855
5,595,400
41,882
9/29/2016
Rolla
MO
1,893,125
3,388,626
None
None
1,893,125
3,388,626
5,281,751
39,534
9/29/2016
Saint Louis
MO
2,270,000
4,066,675
None
None
2,270,000
4,066,675
6,336,675
47,445
9/29/2016
St. John
MO
2,300,000
3,824,235
None
None
2,300,000
3,824,235
6,124,235
261,323
4/29/2015
St. Joseph
MO
1,293,855
3,639,311
None
None
1,293,855
3,639,311
4,933,166
515,569
6/7/2013
St. Louis
MO
744,817
2,300,087
None
None
744,817
2,300,087
3,044,904
532,853
3/16/2011
St. Louis
MO
1,117,749
3,143,966
None
None
1,117,749
3,143,966
4,261,715
445,395
6/14/2013
St. Louis
MO
2,190,000
5,109,166
None
None
2,190,000
5,109,166
7,299,166
723,799
6/27/2013
Wildwood
MO
681,200
2,649,759
12,946
None
681,200
2,662,705
3,343,905
614,050
3/16/2011
Byram
MS
1,243,088
3,425,993
None
None
1,243,088
3,425,993
4,669,081
542,449
1/22/2013
Flowood
MS
1,828,528
3,995,605
None
None
1,828,528
3,995,605
5,824,133
273,033
4/29/2015
Forest
MS
-
2,991,069
None
None
-
2,991,069
2,991,069
473,586
1/22/2013
Greenwood
MS
520,000
3,480,407
None
None
520,000
3,480,407
4,000,407
110,213
3/29/2016
Jackson
MS
1,749,695
4,347,797
None
None
1,749,695
4,347,797
6,097,492
398,548
9/30/2014
Philadelphia
MS
1,390,000
3,636,895
None
None
1,390,000
3,636,895
5,026,895
42,430
9/29/2016
Picayune
MS
1,721,543
4,102,591
None
None
1,721,543
4,102,591
5,824,134
280,344
4/29/2015
Kalispell
MT
1,890,000
3,629,051
None
None
1,890,000
3,629,051
5,519,051
247,985
4/29/2015
Asheville
NC
-
3,118,366
None
None
-
3,118,366
3,118,366
493,741
1/22/2013
Charlotte
NC
923,616
2,092,139
21,513
None
923,616
2,113,652
3,037,268
283,257
9/27/2013
Creedmoor
NC
1,280,821
2,945,163
None
None
1,280,821
2,945,163
4,225,984
466,317
1/22/2013
High Point
NC
1,573,851
4,426,874
None
None
1,573,851
4,426,874
6,000,725
627,140
6/11/2013
Holly Springs
NC
1,451,019
3,336,520
None
None
1,451,019
3,336,520
4,787,539
528,282
1/22/2013
Roanoke Rapids
NC
1,103,934
2,538,422
None
None
1,103,934
2,538,422
3,642,356
401,917
1/22/2013
Walkertown
NC
1,351,535
3,107,765
None
None
1,351,535
3,107,765
4,459,300
492,063
1/22/2013
Whiteville
NC
634,507
2,198,831
None
None
634,507
2,198,831
2,833,338
3,665
12/13/2016
Grand Island
NE
1,730,000
3,792,128
None
None
1,730,000
3,792,128
5,522,128
259,129
4/29/2015
Omaha
NE
1,782,721
3,895,510
None
None
1,782,721
3,895,510
5,678,231
266,193
4/29/2015
Omaha
NE
1,651,643
3,229,112
None
None
1,651,643
3,229,112
4,880,755
37,673
9/29/2016
South Sioux City
NE
1,789,238
3,202,672
None
None
1,789,238
3,202,672
4,991,910
37,365
9/29/2016
Derry
NH
1,210,000
4,443,660
None
None
1,210,000
4,443,660
5,653,660
496,209
3/31/2014
Dover
NH
1,844,188
4,556,875
None
None
1,844,188
4,556,875
6,401,063
508,851
3/31/2014
Plaistow
NH
940,000
4,421,512
None
None
940,000
4,421,512
5,361,512
626,381
6/14/2013
Carlstadt
NJ
2,630,000
4,733,522
None
None
2,630,000
4,733,522
7,363,522
433,906
9/30/2014
Jackson
NJ
1,060,000
3,040,000
None
None
1,060,000
3,040,000
4,100,000
126,667
12/4/2015
Ledgewood
NJ
2,060,000
5,490,100
None
None
2,060,000
5,490,100
7,550,100
613,061
3/31/2014
Mount Ephraim
NJ
2,410,000
5,039,976
None
None
2,410,000
5,039,976
7,449,976
562,797
3/31/2014
Sewell
NJ
1,510,000
4,969,996
None
None
1,510,000
4,969,996
6,479,996
554,983
3/31/2014
Farmington
NM
1,652,630
4,106,603
None
None
1,652,630
4,106,603
5,759,233
376,439
9/30/2014
Carson City
NV
800,000
2,770,950
94,862
None
800,000
2,865,812
3,665,812
1,316,390
2/9/2005
Reno
NV
1,100,000
2,602,911
None
1,100,000
2,603,086
3,703,086
1,236,537
2/9/2005
Reno
NV
850,000
2,306,647
None
None
850,000
2,306,647
3,156,647
1,095,649
2/9/2005
Reno
NV
-
3,951,105
None
None
-
3,951,105
3,951,105
625,592
1/22/2013
Sparks
NV
1,000,000
2,271,513
None
None
1,000,000
2,271,513
3,271,513
1,078,960
2/9/2005
Sun Valley
NV
550,000
2,678,380
None
None
550,000
2,678,380
3,228,380
1,272,222
2/9/2005
Angola
NY
1,644,457
3,781,320
None
None
1,644,457
3,781,320
5,425,777
598,709
1/22/2013
Auburn
NY
1,319,171
4,557,735
None
None
1,319,171
4,557,735
5,876,906
721,641
1/22/2013
Brooklyn
NY
-
3,169,829
None
None
-
3,169,829
3,169,829
501,890
1/22/2013
Brooklyn
NY
6,286,888
3,091,053
None
None
6,286,888
3,091,053
9,377,941
489,417
1/22/2013
Cohoes
NY
993,687
2,284,916
None
None
993,687
2,284,916
3,278,603
361,778
1/22/2013
Flushing
NY
-
2,844,843
None
None
-
2,844,843
2,844,843
450,433
1/22/2013
Greece
NY
1,530,625
4,305,290
None
None
1,530,625
4,305,290
5,835,915
609,916
6/12/2013
Jamaica
NY
-
3,265,890
None
None
-
3,265,890
3,265,890
517,099
1/22/2013
Le Roy
NY
664,571
4,160,651
None
None
664,571
4,160,651
4,825,222
658,770
1/22/2013
Macedon
NY
1,010,000
2,650,110
None
None
1,010,000
2,650,110
3,660,110
110,421
12/29/2015
Olean
NY
940,000
2,626,150
None
None
940,000
2,626,150
3,566,150
83,161
3/30/2016
Ontario
NY
650,000
4,099,160
None
None
650,000
4,099,160
4,749,160
170,798
12/4/2015
Orchard Park
NY
715,690
4,719,148
None
None
715,690
4,719,148
5,434,838
747,198
1/22/2013
Patchogue
NY
1,717,702
5,188,982
None
None
1,717,702
5,188,982
6,906,684
821,589
1/22/2013
Penn Yan
NY
843,439
3,784,664
None
None
843,439
3,784,664
4,628,103
599,239
1/22/2013
Plattsburgh
NY
2,122,505
4,610,552
None
None
2,122,505
4,610,552
6,733,057
730,004
1/22/2013
Ridgewood
NY
6,872,644
3,221,483
None
None
6,872,644
3,221,483
10,094,127
510,068
1/22/2013
Rochester
NY
495,551
3,585,587
None
None
495,551
3,585,587
4,081,138
567,718
1/22/2013
Rochester
NY
-
4,562,079
None
None
-
4,562,079
4,562,079
722,329
1/22/2013
Saint Albans
NY
6,550,000
4,455,729
None
None
6,550,000
4,455,729
11,005,729
631,228
6/26/2013
Stony Point
NY
2,340,671
4,770,714
None
None
2,340,671
4,770,714
7,111,385
755,363
1/22/2013
Syracuse
NY
1,474,646
4,898,244
None
None
1,474,646
4,898,244
6,372,890
775,555
1/22/2013
Wilton
NY
1,763,372
4,054,756
None
None
1,763,372
4,054,756
5,818,128
642,003
1/22/2013
Cadiz
OH
1,184,198
904,795
2,080,515
47,152
None
904,795
2,127,667
3,032,462
332,542
1/22/2013
Carrollton
OH
1,652,738
1,001,306
2,302,436
None
None
1,001,306
2,302,436
3,303,742
364,552
1/22/2013
Centerville
OH
1,971,631
4,308,306
None
None
1,971,631
4,308,306
6,279,937
294,401
4/29/2015
Columbus
OH
1,153,997
3,245,924
None
None
1,153,997
3,245,924
4,399,921
459,839
6/13/2013
Columbus
OH
2,580,000
4,383,667
None
None
2,580,000
4,383,667
6,963,667
299,551
4/29/2015
Cortland
OH
1,440,000
1,364,725
1,250
None
1,440,000
1,365,975
2,805,975
649,272
2/9/2005
East Liverpool
OH
1,557,318
958,357
2,203,679
55,383
None
958,357
2,259,062
3,217,419
352,814
1/22/2013
Franklin
OH
1,320,000
4,322,403
None
None
1,320,000
4,322,403
5,642,403
295,364
4/29/2015
Lakewood
OH
1,873,535
4,202,711
None
None
1,873,535
4,202,711
6,076,246
287,185
4/29/2015
Liberty Township
OH
1,892,611
4,135,636
None
None
1,892,611
4,135,636
6,028,247
282,602
4/29/2015
Lisbon
OH
1,041,066
706,599
1,624,777
45,482
None
706,599
1,670,259
2,376,858
260,445
1/22/2013
Madison
OH
580,000
1,272,742
None
None
580,000
1,272,742
1,852,742
596,062
4/29/2005
Mansfield
OH
1,653,932
3,803,106
None
None
1,653,932
3,803,106
5,457,038
602,158
1/22/2013
Marysville
OH
1,654,400
3,804,182
None
None
1,654,400
3,804,182
5,458,582
602,329
1/22/2013
Mayfield Heights
OH
-
2,703,730
None
None
-
2,703,730
2,703,730
959,823
2/21/2008
Reynoldsburg
OH
1,286,721
3,619,244
185,149
None
1,286,721
3,804,393
5,091,114
518,505
6/7/2013
Reynoldsburg
OH
1,844,354
3,605,879
None
None
1,844,354
3,605,879
5,450,233
42,069
9/29/2016
Sidney
OH
1,359,676
3,198,465
None
None
1,359,676
3,198,465
4,558,141
250,546
1/7/2015
Upper Arlington
OH
3,010,646
5,513,043
None
None
3,010,646
5,513,043
8,523,689
872,899
1/22/2013
Warren
OH
960,000
1,326,083
None
None
960,000
1,326,083
2,286,083
629,880
2/9/2005
Warren
OH
800,000
1,241,503
None
None
800,000
1,241,503
2,041,503
589,705
2/9/2005
Willowick
OH
530,000
1,241,308
None
None
530,000
1,241,308
1,771,308
581,340
4/29/2005
Catoosa
OK
1,893,125
3,388,626
None
None
1,893,125
3,388,626
5,281,751
39,534
9/29/2016
Edmond
OK
862,351
946,988
-
None
100,000
946,988
100,000
1,046,988
3,984
6/27/2013
El Reno
OK
670,000
3,457,967
None
None
670,000
3,457,967
4,127,967
282,401
12/23/2014
Enid
OK
1,873,096
3,352,776
None
None
1,873,096
3,352,776
5,225,872
39,116
9/29/2016
Midwest City
OK
1,560,000
4,215,560
None
None
1,560,000
4,215,560
5,775,560
288,063
4/29/2015
Moore
OK
1,309,620
2,919,423
None
None
1,309,620
2,919,423
4,229,043
92,448
3/30/2016
Oklahoma City
OK
1,700,000
3,525,872
None
None
1,700,000
3,525,872
5,225,872
41,135
9/29/2016
Ponca City
OK
1,247,744
3,100,506
None
None
1,247,744
3,100,506
4,348,250
284,213
9/30/2014
Tulsa
OK
813,500
5,707
1,500
None
813,500
7,207
820,707
1,350
10/31/2013
5/3/2013
Warr Acres
OK
1,813,278
3,962,282
None
None
1,813,278
3,962,282
5,775,560
270,756
4/29/2015
Redmond
OR
2,120,000
4,351,271
None
None
2,120,000
4,351,271
6,471,271
181,303
12/4/2015
Beaver
PA
1,933,000
3,003,160
None
None
1,933,000
3,003,160
4,936,160
1,086,143
12/20/2007
Carlisle
PA
2,872,413
1,687,948
3,881,323
None
None
1,687,948
3,881,323
5,569,271
614,543
1/22/2013
Delmont
PA
720,000
1,246,023
10,475
None
720,000
1,256,498
1,976,498
601,019
2/9/2005
Emmaus
PA
1,568,237
4,411,084
None
None
1,568,237
4,411,084
5,979,321
624,904
6/20/2013
Export
PA
710,000
1,666,912
55,920
None
710,000
1,722,832
2,432,832
792,684
2/9/2005
Girard
PA
-
1,352,590
182,974
None
-
1,535,564
1,535,564
1,329,202
2/9/2005
Harrisburg
PA
2,100,000
3,400,000
None
None
2,100,000
3,400,000
5,500,000
141,667
12/4/2015
Imperial
PA
1,255,750
2,995,001
None
None
1,255,750
2,995,001
4,250,751
1,242,925
8/16/2006
Johnstown
PA
250,000
2,593,436
None
None
250,000
2,593,436
2,843,436
1,231,874
2/9/2005
Johnstown
PA
600,000
2,010,255
None
None
600,000
2,010,255
2,610,255
954,862
2/9/2005
Norristown
PA
-
3,603,611
None
None
-
3,603,611
3,603,611
1,279,280
2/21/2008
Philadelphia
PA
-
3,803,732
None
None
-
3,803,732
3,803,732
1,350,323
2/26/2008
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Phoenixville
PA
3,510,000
5,123,285
None
None
3,510,000
5,123,285
8,633,285
725,799
6/5/2013
Pittsburgh
PA
3,925,713
2,784,426
5,002,215
None
None
2,784,426
5,002,215
7,786,641
792,017
1/22/2013
Reading
PA
1,400,000
3,304,996
None
None
1,400,000
3,304,996
4,704,996
1,173,272
2/21/2008
Saint Marys
PA
1,663,632
3,090,403
None
None
1,663,632
3,090,403
4,754,035
1,117,696
12/20/2007
Slippery Rock
PA
-
1,295,495
200,314
None
-
1,495,809
1,495,809
1,322,877
2/9/2005
Uniontown
PA
1,617,507
4,549,669
None
None
1,617,507
4,549,669
6,167,176
644,536
6/11/2013
Wexford
PA
2,300,000
2,606,080
None
None
2,300,000
2,606,080
4,906,080
925,158
2/21/2008
Yeadon
PA
-
3,253,285
None
None
-
3,253,285
3,253,285
1,176,604
12/20/2007
Woonsocket
RI
1,297,497
2,939,041
None
None
1,297,497
2,939,041
4,236,538
396,771
8/1/2013
Columbia
SC
1,430,093
3,288,404
None
None
1,430,093
3,288,404
4,718,497
520,664
1/22/2013
Conway
SC
-
3,451,662
None
None
-
3,451,662
3,451,662
546,513
1/22/2013
Rapid City
SD
1,699,906
3,323,470
None
None
1,699,906
3,323,470
5,023,376
38,774
9/29/2016
Athens
TN
1,650,000
3,842,297
None
None
1,650,000
3,842,297
5,492,297
262,557
4/29/2015
Bartlett
TN
1,563,355
3,677,593
None
None
1,563,355
3,677,593
5,240,948
288,078
1/7/2015
Brownsville
TN
1,490,000
3,683,903
None
None
1,490,000
3,683,903
5,173,903
251,733
4/29/2015
Chattanooga
TN
1,090,783
2,695,258
None
None
1,090,783
2,695,258
3,786,041
318,939
1/9/2014
Chattanooga
TN
844,737
1,757,323
None
None
844,737
1,757,323
2,602,060
32,218
7/19/2016
Colonial Heights
TN
1,837,294
4,014,760
None
None
1,837,294
4,014,760
5,852,054
274,342
4/29/2015
Fayetteville
TN
1,490,000
4,127,381
None
None
1,490,000
4,127,381
5,617,381
282,038
4/29/2015
Franklin
TN
754,510
2,122,261
58,911
None
754,510
2,181,172
2,935,682
303,967
6/6/2013
Hixson
TN
973,733
2,406,034
None
None
973,733
2,406,034
3,379,767
284,714
1/9/2014
Lawrenceburg
TN
1,633,403
3,892,546
None
None
1,633,403
3,892,546
5,525,949
265,991
4/29/2015
Madisonville
TN
1,160,000
3,656,303
None
None
1,160,000
3,656,303
4,816,303
42,657
9/29/2016
Memphis
TN
350,000
2,783,909
27,134
None
350,000
2,811,043
3,161,043
337,330
1/9/2014
Soddy Daisy
TN
1,726,295
3,090,008
None
None
1,726,295
3,090,008
4,816,303
36,050
9/29/2016
White House
TN
1,649,422
3,930,720
None
None
1,649,422
3,930,720
5,580,142
268,599
4/29/2015
Austin
TX
1,623,904
3,734,059
None
None
1,623,904
3,734,059
5,357,963
591,226
1/22/2013
Coppell
TX
1,076,551
3,097,830
None
None
1,076,551
3,097,830
4,174,381
490,490
1/22/2013
Houston
TX
1,268,978
3,569,338
86,677
None
1,268,978
3,656,015
4,924,993
505,837
6/11/2013
Houston
TX
2,860,000
3,490,686
None
None
2,860,000
3,490,686
6,350,686
273,437
1/7/2015
Lubbock
TX
973,713
2,738,827
3,293
None
973,713
2,742,120
3,715,833
388,229
6/5/2013
Odessa
TX
2,670,000
4,437,377
None
None
2,670,000
4,437,377
7,107,377
51,769
9/29/2016
Saginaw
TX
1,727,698
3,851,409
None
None
1,727,698
3,851,409
5,579,107
121,961
3/30/2016
Sealy
TX
1,514,567
3,482,644
None
None
1,514,567
3,482,644
4,997,211
551,419
1/22/2013
Victoria
TX
1,969,399
3,850,355
None
None
1,969,399
3,850,355
5,819,754
44,921
9/29/2016
Wichita Falls
TX
1,331,410
3,131,974
None
None
1,331,410
3,131,974
4,463,384
245,338
1/16/2015
Fredericksburg
VA
-
2,901,815
None
None
-
2,901,815
2,901,815
1,030,143
2/21/2008
King George
VA
1,772,216
4,075,092
None
None
1,772,216
4,075,092
5,847,308
645,223
1/22/2013
Martinsville
VA
560,565
3,290,085
None
None
560,565
3,290,085
3,850,650
520,930
1/22/2013
Richmond
VA
1,255,931
3,103,326
92,118
None
1,255,931
3,195,444
4,451,375
372,379
1/16/2014
Richmond
VA
1,388,198
3,255,705
85,775
None
1,388,198
3,341,480
4,729,678
200,947
6/30/2015
Burlington
VT
2,049,745
4,643,003
None
None
2,049,745
4,643,003
6,692,748
642,282
7/19/2013
Graham
WA
1,396,502
3,928,032
None
None
1,396,502
3,928,032
5,324,534
556,471
6/4/2013
Lynnwood
WA
1,410,480
3,967,350
None
None
1,410,480
3,967,350
5,377,830
562,041
6/28/2013
Mount Vernon
WA
-
3,785,303
None
None
-
3,785,303
3,785,303
157,721
12/4/2015
Puyallup
WA
1,835,489
4,535,379
None
None
1,835,489
4,535,379
6,370,868
551,804
12/11/2013
Antigo
WI
1,540,000
4,754,008
None
None
1,540,000
4,754,008
6,294,008
324,857
4/29/2015
Burlington
WI
1,330,000
3,994,665
None
None
1,330,000
3,994,665
5,324,665
46,604
9/29/2016
Glendale
WI
1,690,491
3,305,064
None
None
1,690,491
3,305,064
4,995,555
38,559
9/29/2016
Kaukauna
WI
1,893,714
4,138,045
None
None
1,893,714
4,138,045
6,031,759
282,766
4/29/2015
Marshfield
WI
1,010,000
4,175,525
None
None
1,010,000
4,175,525
5,185,525
48,714
9/29/2016
Mauston
WI
1,505,223
3,819,442
None
None
1,505,223
3,819,442
5,324,665
44,560
9/29/2016
Menomonee Falls
WI
2,180,000
4,235,106
None
None
2,180,000
4,235,106
6,415,106
289,399
4/29/2015
Menomonie
WI
2,200,000
3,831,758
None
None
2,200,000
3,831,758
6,031,758
261,837
4/29/2015
Milwaukee
WI
1,830,000
4,128,507
None
None
1,830,000
4,128,507
5,958,507
282,115
4/29/2015
Milwaukee
WI
1,801,861
3,522,803
None
None
1,801,861
3,522,803
5,324,664
41,099
9/29/2016
Monona
WI
1,135,636
2,806,085
None
None
1,135,636
2,806,085
3,941,721
341,407
12/17/2013
Racine
WI
1,976,049
4,317,960
None
None
1,976,049
4,317,960
6,294,009
295,061
4/29/2015
Two Rivers
WI
1,280,000
4,776,734
None
None
1,280,000
4,776,734
6,056,734
326,410
4/29/2015
Wisconsin Rapids
WI
1,893,714
4,138,045
None
None
1,893,714
4,138,045
6,031,759
282,766
4/29/2015
Buckhannon
WV
1,716,898
3,189,190
None
None
1,716,898
3,189,190
4,906,088
1,132,161
2/21/2008
Huntington
WV
1,085,818
3,802,536
None
None
1,085,818
3,802,536
4,888,354
602,068
1/22/2013
Rock Springs
WY
1,970,000
4,644,222
None
None
1,970,000
4,644,222
6,614,222
317,355
4/29/2015
Education
Peoria
AZ
281,750
625,779
69,854
18,665
281,750
714,298
996,048
687,539
3/30/1988
Corona
CA
144,856
671,584
None
26,846
144,856
698,430
843,286
698,430
12/19/1984
Santee
CA
248,418
551,748
37,230
29,831
248,418
618,809
867,227
575,576
7/23/1987
Coconut Creek
FL
310,111
1,243,682
None
None
310,111
1,243,682
1,553,793
864,646
8/2/1999
12/1/1998
Las Vegas
NV
1,080,444
3,346,772
None
1,080,444
3,346,845
4,427,289
2,515,634
3/4/1998
Beaverton
OR
135,148
626,647
None
26,949
135,148
653,596
788,744
653,578
12/17/1986
Memphis
TN
238,263
504,897
11,504
5,352
238,263
521,753
760,016
511,717
9/29/1988
Arlington
TX
195,650
387,355
9,289
195,650
396,748
592,398
390,565
2/7/1991
Austin
TX
238,000
528,604
90,133
22,315
238,000
641,052
879,052
595,290
4/6/1989
Mesquite
TX
1,049,287
1,949,085
233,921
63,743
1,049,287
2,246,749
3,296,036
1,359,773
3/28/2002
Southlake
TX
228,279
511,750
None
25,283
228,279
537,033
765,312
516,854
3/10/1993
Sugar Land
TX
1,600,000
6,300,995
None
None
1,600,000
6,300,995
7,900,995
2,656,916
6/28/2006
Chantilly
VA
688,917
3,208,607
None
None
688,917
3,208,607
3,897,524
2,193,702
5/7/1999
9/30/1998
Kingstowne
VA
300,000
1,191,396
None
None
300,000
1,191,396
1,491,396
788,608
8/22/2000
11/8/1999
Electric utilities
Fairfield
CA
1,450,000
9,207,989
2,000
None
1,450,000
9,209,989
10,659,989
888,580
8/30/2013
Entertainment
Riverside
CA
7,800,000
(416,985
)
None
7,383,015
7,383,145
7/5/2002
Vista
CA
2,300,000
None
None
2,300,000
2,300,022
3/31/1999
Marietta
GA
1,500,000
None
None
1,500,000
1,500,768
6/29/2001
Norcross
GA
1,600,000
None
None
1,600,000
1,600,768
6/29/2001
Greensboro
NC
4,000,000
None
None
4,000,000
4,000,463
7/5/2002
Omaha
NE
1,956,296
3,949,402
208,052
140,128
1,956,296
4,297,582
6,253,878
3,260,075
4/4/1997
Calverton
NY
6,200,000
None
None
6,200,000
6,200,744
7/23/1999
Medford
NY
1,500,000
None
None
1,500,000
1,500,745
7/23/1999
Arlington
TX
1,330,000
2,776,647
None
None
1,330,000
2,776,647
4,106,647
254,526
9/11/2014
San Antonio
TX
1,310,000
1,920,140
None
None
1,310,000
1,920,140
3,230,140
182,413
8/6/2014
Sandy
UT
1,970,000
1,983,352
None
None
1,970,000
1,983,352
3,953,352
69,417
2/18/2016
Equipment services
Lake Worth
FL
679,079
1,262,568
9,754
679,079
1,272,462
1,951,541
679,747
7/3/2003
Novi
MI
430,000
6,661,063
None
None
430,000
6,661,063
7,091,063
499,580
5/9/2014
Cameron
MO
16,625,597
940,000
18,280,024
624,144
None
940,000
18,904,168
19,844,168
1,983,083
6/25/2013
Sanford
NC
7,692,448
226,784
15,056,005
39,175
None
226,784
15,095,180
15,321,964
2,586,138
9/25/2012
Elko
NV
1,401,115
10,342,501
17,091
None
1,401,115
10,359,592
11,760,707
2,405,043
3/15/2011
Lewisville
TX
1,010,134
1,877,384
None
None
1,010,134
1,877,384
2,887,518
1,010,658
7/3/2003
Financial services
Phoenix
AZ
245,137
456,324
None
None
245,137
456,324
701,461
161,995
2/1/2008
El Cajon
CA
1,620,871
-
None
None
1,620,871
-
1,620,871
-
6/19/2014
N/A
Turlock
CA
222,250
493,627
9,911
19,400
222,250
522,938
745,188
503,283
12/30/1987
Colorado Springs
CO
313,250
695,730
40,500
313,250
736,309
1,049,559
736,307
3/10/1987
Fort Myers
FL
1,025,624
2,407,011
None
None
1,025,624
2,407,011
3,432,635
381,110
1/22/2013
Orlando
FL
532,556
940,177
None
None
532,556
940,177
1,472,733
393,275
6/9/2006
12/15/2005
Palm Coast
FL
713,370
2,421,133
None
None
713,370
2,421,133
3,134,503
383,346
1/22/2013
Plantation
FL
1,284,678
1,160,000
1,049,443
None
None
1,160,000
1,049,443
2,209,443
124,184
1/31/2014
Pompano Beach
FL
1,563,202
2,354,641
None
None
1,563,202
2,354,641
3,917,843
372,818
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Acworth
GA
1,033,457
650,000
992,950
None
None
650,000
992,950
1,642,950
117,499
1/31/2014
Alpharetta
GA
1,588,122
940,000
1,305,410
None
None
940,000
1,305,410
2,245,410
154,474
1/31/2014
Hinesville
GA
172,611
383,376
48,425
3,796
172,611
435,597
608,208
402,108
12/22/1987
Coeur D Alene
ID
165,900
368,468
None
None
165,900
368,468
534,368
368,468
9/21/1987
Addison
IL
448,447
895,835
None
None
448,447
895,835
1,344,282
4,479
11/9/2016
Addison
IL
450,025
898,989
None
None
450,025
898,989
1,349,014
4,495
11/9/2016
Aurora
IL
557,766
1,114,216
None
None
557,766
1,114,216
1,671,982
5,571
11/9/2016
Aurora
IL
753,553
1,505,327
None
None
753,553
1,505,327
2,258,880
7,527
11/9/2016
Aurora
IL
602,311
1,203,201
None
None
602,311
1,203,201
1,805,512
6,016
11/9/2016
Bensenville
IL
644,432
1,287,344
None
None
644,432
1,287,344
1,931,776
6,437
11/9/2016
Bolingbrook
IL
438,105
875,175
None
None
438,105
875,175
1,313,280
4,376
11/9/2016
Buffalo Grove
IL
445,301
889,550
None
None
445,301
889,550
1,334,851
4,448
11/9/2016
Calumet City
IL
344,815
688,817
None
None
344,815
688,817
1,033,632
3,444
11/9/2016
Carpentersville
IL
1,752,080
-
None
None
1,752,080
-
1,752,080
-
1/22/2013
Carpentersville
IL
630,496
1,259,504
None
None
630,496
1,259,504
1,890,000
6,298
11/9/2016
Cary
IL
701,031
1,400,409
None
None
701,031
1,400,409
2,101,440
7,002
11/9/2016
Chicago
IL
1,000,000
926,582
None
None
1,000,000
926,582
1,926,582
4,633
11/9/2016
Chicago Heights
IL
337,866
674,934
None
None
337,866
674,934
1,012,800
3,375
11/9/2016
Crete
IL
430,000
1,224,782
None
None
430,000
1,224,782
1,654,782
6,124
11/9/2016
Des Plaines
IL
606,386
1,211,342
None
None
606,386
1,211,342
1,817,728
6,057
11/9/2016
Fox Lake
IL
389,384
777,848
None
None
389,384
777,848
1,167,232
3,889
11/9/2016
Frankfort
IL
730,124
1,458,524
None
None
730,124
1,458,524
2,188,648
7,293
11/9/2016
Frankfort
IL
436,824
872,616
None
None
436,824
872,616
1,309,440
4,363
11/9/2016
Hoffman Estates
IL
373,732
746,583
None
None
373,732
746,583
1,120,315
3,733
11/9/2016
Hoffman Estates
IL
378,736
756,579
None
None
378,736
756,579
1,135,315
3,783
11/9/2016
Homer Glen
IL
730,869
1,460,013
None
None
730,869
1,460,013
2,190,882
7,300
11/9/2016
Homewood
IL
572,450
1,143,550
None
None
572,450
1,143,550
1,716,000
5,718
11/9/2016
Huntley
IL
500,362
999,542
None
None
500,362
999,542
1,499,904
4,998
11/9/2016
Huntley
IL
554,276
1,107,244
None
None
554,276
1,107,244
1,661,520
5,536
11/9/2016
La Grange
IL
210,000
1,117,079
None
None
210,000
1,117,079
1,327,079
5,585
11/9/2016
Machesney Park
IL
608,430
1,215,423
None
None
608,430
1,215,423
1,823,853
6,077
11/9/2016
Montgomery
IL
1,636,238
-
None
None
1,636,238
-
1,636,238
-
1/22/2013
Mount Prospect
IL
515,237
1,029,259
None
None
515,237
1,029,259
1,544,496
5,146
11/9/2016
Mundelein
IL
462,358
923,624
None
None
462,358
923,624
1,385,982
4,618
11/9/2016
Naperville
IL
700,990
1,400,325
None
None
700,990
1,400,325
2,101,315
7,002
11/9/2016
Naperville
IL
190,743
381,036
None
None
190,743
381,036
571,779
1,905
11/9/2016
New Lenox
IL
494,115
987,065
None
None
494,115
987,065
1,481,180
4,935
11/9/2016
Niles
IL
622,100
1,242,732
None
None
622,100
1,242,732
1,864,832
6,214
11/9/2016
North Riverside
IL
507,869
1,014,540
None
None
507,869
1,014,540
1,522,409
5,073
11/9/2016
Northlake
IL
1,461,799
-
None
None
1,461,799
-
1,461,799
-
1/22/2013
Oak Lawn
IL
2,052,944
2,383,995
21,000
41,052
2,052,944
2,446,047
4,498,991
383,925
1/22/2013
Oak Lawn
IL
738,341
1,474,939
None
None
738,341
1,474,939
2,213,280
7,375
11/9/2016
Orland Park
IL
453,462
905,853
None
None
453,462
905,853
1,359,315
4,529
11/9/2016
Orland Park
IL
377,068
753,247
None
None
377,068
753,247
1,130,315
3,766
11/9/2016
Oswego
IL
488,712
976,270
None
None
488,712
976,270
1,464,982
4,881
11/9/2016
Palos Heights
IL
602,746
1,204,070
None
None
602,746
1,204,070
1,806,816
6,020
11/9/2016
Plainfield
IL
554,808
1,108,307
None
None
554,808
1,108,307
1,663,115
5,542
11/9/2016
Plainfield
IL
214,079
427,654
None
None
214,079
427,654
641,733
2,138
11/9/2016
Romeoville
IL
178,839
357,257
None
None
178,839
357,257
536,096
1,786
11/9/2016
Round Lake Hghts
IL
657,349
1,313,147
None
None
657,349
1,313,147
1,970,496
6,566
11/9/2016
Schaumburg
IL
3,252,143
-
None
None
3,252,143
-
3,252,143
-
1/22/2013
Schaumburg
IL
893,474
1,784,841
None
None
893,474
1,784,841
2,678,315
8,924
11/9/2016
Schaumburg
IL
650,222
1,298,910
None
None
650,222
1,298,910
1,949,132
6,495
11/9/2016
Shorewood
IL
60,000
466,592
None
None
60,000
466,592
526,592
2,333
11/9/2016
South Elgin
IL
545,534
1,089,781
None
None
545,534
1,089,781
1,635,315
5,449
11/9/2016
Stickney
IL
743,660
1,363,377
None
None
743,660
1,363,377
2,107,037
215,868
1/22/2013
Summit
IL
518,968
1,036,712
None
None
518,968
1,036,712
1,555,680
5,184
11/9/2016
Villa Park
IL
504,530
1,007,870
None
None
504,530
1,007,870
1,512,400
5,039
11/9/2016
West Dundee
IL
609,792
1,218,144
None
None
609,792
1,218,144
1,827,936
6,091
11/9/2016
Woodstock
IL
547,297
1,093,303
None
None
547,297
1,093,303
1,640,600
1,822
12/2/2016
Brockton
MA
229,846
741,196
None
None
229,846
741,196
971,042
117,356
1/22/2013
Centerville
MA
378,555
1,220,743
None
None
378,555
1,220,743
1,599,298
193,284
1/22/2013
Chatham
MA
513,702
1,656,556
None
None
513,702
1,656,556
2,170,258
262,288
1/22/2013
Duxbury
MA
411,113
1,325,735
None
None
411,113
1,325,735
1,736,848
209,908
1/22/2013
Hanover
MA
434,396
1,400,817
None
None
434,396
1,400,817
1,835,213
221,796
1/22/2013
Hull
MA
242,499
781,996
None
None
242,499
781,996
1,024,495
123,816
1/22/2013
Hyannis
MA
830,700
2,678,796
None
None
830,700
2,678,796
3,509,496
424,143
1/22/2013
Middleborough
MA
1,225,841
3,953,025
None
None
1,225,841
3,953,025
5,178,866
625,896
1/22/2013
Middleborough
MA
625,848
724,941
None
None
625,848
724,941
1,350,789
114,782
1/22/2013
Orleans
MA
496,997
1,602,690
None
None
496,997
1,602,690
2,099,687
253,759
1/22/2013
Pembroke
MA
520,463
1,678,359
None
None
520,463
1,678,359
2,198,822
265,740
1/22/2013
Plymouth
MA
555,446
7,109,710
None
None
555,446
7,109,710
7,665,156
1,125,704
1/22/2013
Quincy
MA
289,121
539,719
50,595
15,595
289,121
605,909
895,030
231,238
8/30/2007
Randolph
MA
530,316
1,710,132
None
None
530,316
1,710,132
2,240,448
270,771
1/22/2013
Rockland
MA
1,341,048
6,112,682
None
None
1,341,048
6,112,682
7,453,730
967,841
1/22/2013
Scituate
MA
403,299
1,300,535
None
None
403,299
1,300,535
1,703,834
205,918
1/22/2013
South Yarmouth
MA
477,020
1,538,269
None
None
477,020
1,538,269
2,015,289
243,559
1/22/2013
West Dennis
MA
1,065,353
898,827
None
None
1,065,353
898,827
1,964,180
142,314
1/22/2013
Blue Springs
MO
222,569
494,333
None
None
222,569
494,333
716,902
494,333
7/31/1989
Wilmington
NC
1,049,683
470,000
995,035
None
None
470,000
995,035
1,465,035
117,746
1/31/2014
Bloomfield
NJ
392,983
1,267,269
None
None
392,983
1,267,269
1,660,252
200,651
1/22/2013
Cedar Grove
NJ
409,890
1,321,792
None
None
409,890
1,321,792
1,731,682
209,284
1/22/2013
Clementon
NJ
424,795
1,369,857
None
None
424,795
1,369,857
1,794,652
216,894
1/22/2013
Dayton
NJ
376,731
1,214,861
None
None
376,731
1,214,861
1,591,592
192,353
1/22/2013
Deptford
NJ
308,425
994,592
None
None
308,425
994,592
1,303,017
157,477
1/22/2013
East Brunswick
NJ
445,430
1,436,398
None
None
445,430
1,436,398
1,881,828
227,430
1/22/2013
Fairfield
NJ
612,188
1,974,149
None
None
612,188
1,974,149
2,586,337
312,574
1/22/2013
Fanwood
NJ
376,731
1,214,861
None
None
376,731
1,214,861
1,591,592
192,353
1/22/2013
Garfield
NJ
372,910
1,202,541
None
None
372,910
1,202,541
1,575,451
190,402
1/22/2013
Green Brook
NJ
319,003
1,028,702
None
None
319,003
1,028,702
1,347,705
162,878
1/22/2013
Haddonfield
NJ
312,763
1,008,581
None
None
312,763
1,008,581
1,321,344
159,692
1/22/2013
Kearny
NJ
278,653
898,584
None
None
278,653
898,584
1,177,237
142,276
1/22/2013
Mahwah
NJ
253,447
817,302
None
None
253,447
817,302
1,070,749
129,406
1/22/2013
Martinsville
NJ
447,368
1,442,647
None
None
447,368
1,442,647
1,890,015
228,419
1/22/2013
Millstone Townshi
NJ
270,310
871,681
None
None
270,310
871,681
1,141,991
138,016
1/22/2013
Mountain Lakes
NJ
531,890
887,417
None
None
531,890
887,417
1,419,307
140,508
1/22/2013
Northvale
NJ
259,002
835,217
None
None
259,002
835,217
1,094,219
132,243
1/22/2013
Orange
NJ
450,522
1,452,819
None
None
450,522
1,452,819
1,903,341
230,030
1/22/2013
Parlin
NJ
345,431
1,113,926
None
None
345,431
1,113,926
1,459,357
176,372
1/22/2013
Paterson
NJ
122,722
395,747
None
None
122,722
395,747
518,469
62,660
1/22/2013
Paterson
NJ
469,318
639,560
None
None
469,318
639,560
1,108,878
101,264
1/22/2013
Pompton Plains
NJ
226,298
729,755
None
None
226,298
729,755
956,053
115,545
1/22/2013
Raritan
NJ
370,127
1,193,564
None
None
370,127
1,193,564
1,563,691
188,981
1/22/2013
Somerville
NJ
376,597
1,214,429
None
None
376,597
1,214,429
1,591,026
192,285
1/22/2013
Tenafly
NJ
463,499
1,494,667
None
None
463,499
1,494,667
1,958,166
236,656
1/22/2013
Trenton
NJ
459,146
1,480,629
None
None
459,146
1,480,629
1,939,775
234,433
1/22/2013
Vineland
NJ
236,628
763,064
None
None
236,628
763,064
999,692
120,818
1/22/2013
West Orange
NJ
174,486
562,673
None
None
174,486
562,673
737,159
89,090
1/22/2013
West Orange
NJ
259,916
838,164
None
None
259,916
838,164
1,098,080
132,709
1/22/2013
Westwood
NJ
205,094
661,375
None
None
205,094
661,375
866,469
104,718
1/22/2013
Woodland Park
NJ
206,695
666,539
None
None
206,695
666,539
873,234
105,535
1/22/2013
Albuquerque
NM
80,500
178,794
8,003
None
80,500
186,797
267,297
185,897
10/29/1987
Santa Fe
NM
70,000
155,473
None
None
70,000
155,473
225,473
155,473
10/29/1987
Stony Point
NY
950,455
2,963,243
None
None
950,455
2,963,243
3,913,698
469,180
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Beachwood
OH
1,125,779
980,000
1,062,628
None
None
980,000
1,062,628
2,042,628
125,744
1/31/2014
Columbus
OH
214,737
85,425
25,900
5,330
214,737
116,655
331,392
63,383
9/17/2004
Dublin
OH
2,399,969
17,044,099
None
None
2,399,969
17,044,099
19,444,068
3,948,550
3/31/2011
Euclid
OH
602,664
130,000
1,027,248
None
None
130,000
1,027,248
1,157,248
121,558
1/31/2014
Groveport
OH
277,198
445,497
53,191
11,520
277,198
510,208
787,406
392,166
12/21/1995
Mentor
OH
906,161
350,000
1,276,241
None
None
350,000
1,276,241
1,626,241
151,022
1/31/2014
Milford
OH
353,324
269,997
(15,631
)
8,576
314,484
301,782
616,266
218,315
9/18/1997
Pepper Pike
OH
846,354
530,000
865,808
None
None
530,000
865,808
1,395,808
102,454
1/31/2014
Shaker Heights
OH
916,602
650,000
792,759
None
None
650,000
792,759
1,442,759
93,810
1/31/2014
West Chester
OH
618,270
1,055,888
None
None
618,270
1,055,888
1,674,158
167,182
1/22/2013
Ambler
PA
1,374,943
4,862,810
None
None
1,374,943
4,862,810
6,237,753
769,945
1/22/2013
Blairsville
PA
297,140
958,202
None
None
297,140
958,202
1,255,342
151,715
1/22/2013
Clarks Summit
PA
165,407
533,394
None
None
165,407
533,394
698,801
84,454
1/22/2013
Dillsburg
PA
157,114
506,653
None
None
157,114
506,653
663,767
80,220
1/22/2013
Harleysville
PA
1,486,141
16,590,526
None
None
1,486,141
16,590,526
18,076,667
2,626,833
1/22/2013
Lansdale
PA
582,679
1,878,990
None
None
582,679
1,878,990
2,461,669
297,507
1/22/2013
Lansford
PA
724,643
2,336,788
None
None
724,643
2,336,788
3,061,431
369,991
1/22/2013
Lehighton
PA
353,743
1,140,729
None
None
353,743
1,140,729
1,494,472
180,615
1/22/2013
Limerick
PA
1,198,208
1,141,397
None
None
1,198,208
1,141,397
2,339,605
180,721
1/22/2013
Media
PA
93,870
302,705
None
None
93,870
302,705
396,575
47,928
1/22/2013
Media
PA
312,084
1,006,391
None
None
312,084
1,006,391
1,318,475
159,345
1/22/2013
North Wales
PA
658,040
2,122,012
None
None
658,040
2,122,012
2,780,052
335,985
1/22/2013
Palmerton
PA
1,152,944
3,717,949
None
None
1,152,944
3,717,949
4,870,893
588,675
1/22/2013
Philadelphia
PA
680,814
938,913
None
None
680,814
938,913
1,619,727
148,661
1/22/2013
Philadelphia
PA
287,110
925,857
None
None
287,110
925,857
1,212,967
146,594
1/22/2013
Philadelphia
PA
300,032
967,528
None
None
300,032
967,528
1,267,560
153,192
1/22/2013
Philadelphia
PA
200,022
645,020
None
None
200,022
645,020
845,042
102,128
1/22/2013
Philadelphia
PA
130,580
421,086
None
None
130,580
421,086
551,666
66,672
1/22/2013
Philadelphia
PA
270,560
872,488
None
None
270,560
872,488
1,143,048
138,144
1/22/2013
Pittsburgh
PA
203,808
657,230
None
None
203,808
657,230
861,038
104,061
1/22/2013
Sellersville
PA
436,843
1,408,706
None
None
436,843
1,408,706
1,845,549
223,045
1/22/2013
Skippack
PA
484,437
1,562,185
None
None
484,437
1,562,185
2,046,622
247,346
1/22/2013
Slatington
PA
467,608
1,507,917
None
None
467,608
1,507,917
1,975,525
238,753
1/22/2013
Slatington
PA
1,331,882
4,294,979
None
None
1,331,882
4,294,979
5,626,861
680,038
1/22/2013
Somerset
PA
369,856
1,192,691
None
None
369,856
1,192,691
1,562,547
188,843
1/22/2013
Summit Hill
PA
94,816
2,266,101
None
None
94,816
2,266,101
2,360,917
358,799
1/22/2013
Swarthmore
PA
165,423
533,447
None
None
165,423
533,447
698,870
84,462
1/22/2013
Tannersville
PA
277,284
894,170
None
None
277,284
894,170
1,171,454
141,577
1/22/2013
Walnutport
PA
1,068,012
1,437,132
None
None
1,068,012
1,437,132
2,505,144
227,546
1/22/2013
Warren
PA
253,725
818,198
None
None
253,725
818,198
1,071,923
129,548
1/22/2013
Wyomissing
PA
553,724
1,785,618
None
None
553,724
1,785,618
2,339,342
282,723
1/22/2013
Mount Pleasant
SC
13,800,000
10,803,051
25,511,279
None
None
10,803,051
25,511,279
36,314,330
2,885,204
1/22/2013
Lubbock
TX
49,000
108,831
57,941
6,264
49,000
173,036
222,036
143,468
10/29/1987
Pasadena
TX
385,199
716,468
None
None
385,199
716,468
1,101,667
254,346
2/1/2008
Appleton
WI
578,049
1,154,733
None
None
578,049
1,154,733
1,732,782
5,774
11/9/2016
Ashland
WI
410,000
1,480,432
None
None
410,000
1,480,432
1,890,432
7,402
11/9/2016
Brookfield
WI
600,466
1,199,516
None
None
600,466
1,199,516
1,799,982
5,998
11/9/2016
Burlington
WI
290,000
1,805,776
None
None
290,000
1,805,776
2,095,776
9,029
11/9/2016
Cedarburg
WI
600,686
1,199,954
None
None
600,686
1,199,954
1,800,640
6,000
11/9/2016
Delafield
WI
852,131
1,702,251
None
None
852,131
1,702,251
2,554,382
8,511
11/9/2016
Delavan
WI
350,000
731,920
None
None
350,000
731,920
1,081,920
3,660
11/9/2016
DePere
WI
332,021
663,259
None
None
332,021
663,259
995,280
3,316
11/9/2016
Eagle River
WI
440,000
1,481,232
None
None
440,000
1,481,232
1,921,232
7,406
11/9/2016
Fitchburg
WI
460,896
920,704
None
None
460,896
920,704
1,381,600
4,604
11/9/2016
Fond du Lac
WI
421,195
841,397
None
None
421,195
841,397
1,262,592
4,207
11/9/2016
Fox Point
WI
597,592
1,193,773
None
None
597,592
1,193,773
1,791,365
5,969
11/9/2016
Green Bay
WI
640,198
1,278,884
None
None
640,198
1,278,884
1,919,082
6,394
11/9/2016
Green Bay
WI
739,234
1,476,723
None
None
739,234
1,476,723
2,215,957
7,384
11/9/2016
Greendale
WI
1,300,000
2,906,482
None
None
1,300,000
2,906,482
4,206,482
14,532
11/9/2016
Janesville
WI
130,000
564,880
None
None
130,000
564,880
694,880
2,824
11/9/2016
La Crosse
WI
424,327
847,652
None
None
424,327
847,652
1,271,979
4,238
11/9/2016
Marshfield
WI
420,000
792,148
None
None
420,000
792,148
1,212,148
3,961
11/9/2016
Mequon
WI
1,162,508
2,322,274
None
None
1,162,508
2,322,274
3,484,782
11,611
11/9/2016
Milwaukee
WI
265,985
495,071
None
None
265,985
495,071
761,056
175,750
2/1/2008
Muskego
WI
489,131
977,109
None
None
489,131
977,109
1,466,240
4,886
11/9/2016
Oak Creek
WI
595,162
1,188,920
None
None
595,162
1,188,920
1,784,082
5,945
11/9/2016
Oregon
WI
487,157
973,163
None
None
487,157
973,163
1,460,320
4,866
11/9/2016
Pleasant Prairie
WI
375,917
750,946
None
None
375,917
750,946
1,126,863
3,755
11/9/2016
Racine
WI
474,923
948,725
None
None
474,923
948,725
1,423,648
4,744
11/9/2016
Salem
WI
387,377
773,839
None
None
387,377
773,839
1,161,216
3,869
11/9/2016
Saukville
WI
355,874
710,908
None
None
355,874
710,908
1,066,782
3,555
11/9/2016
Sussex
WI
438,297
875,559
None
None
438,297
875,559
1,313,856
4,378
11/9/2016
Thiensville
WI
700,007
1,398,361
None
None
700,007
1,398,361
2,098,368
6,992
11/9/2016
Verona
WI
580,000
994,112
None
None
580,000
994,112
1,574,112
4,971
11/9/2016
Waukesha
WI
670,377
1,339,171
None
None
670,377
1,339,171
2,009,548
6,696
11/9/2016
Waukesha
WI
537,078
1,072,890
None
None
537,078
1,072,890
1,609,968
5,364
11/9/2016
West Allis
WI
661,609
1,321,656
None
None
661,609
1,321,656
1,983,265
6,608
11/9/2016
Food processing
Cedar Rapids
IA
29,307,500
1,784,980
36,815,951
None
None
1,784,980
36,815,951
38,600,931
6,320,072
9/26/2012
St. Louis
MO
3,112,401
32,725,202
None
3,112,401
32,725,349
35,837,750
7,145,150
7/13/2011
Weldon Springs
MO
3,675,034
13,827,581
None
None
3,675,034
13,827,581
17,502,615
3,157,298
4/1/2011
Omaha
NE
2,022,114
24,664,964
None
None
2,022,114
24,664,964
26,687,078
2,789,490
1/22/2013
York
NE
450,000
7,442,416
None
None
450,000
7,442,416
7,892,416
647,009
12/13/2013
Oklahoma City
OK
201,507
1,828,803
None
None
201,507
1,828,803
2,030,310
206,829
1/22/2013
Memphis
TN
1,568,476
13,510,652
42,601
None
1,568,476
13,553,253
15,121,729
1,538,397
12/20/2012
Weslaco
TX
207,384
1,882,135
None
None
207,384
1,882,135
2,089,519
212,861
1/22/2013
General merchandise
Demopolis
AL
658,601
2,140,452
14,135
None
658,601
2,154,587
2,813,188
349,502
1/22/2013
Batesville
AR
360,000
1,839,677
None
None
360,000
1,839,677
2,199,677
266,753
5/23/2013
Blytheville
AR
772,319
15,370,177
None
None
772,319
15,370,177
16,142,496
2,433,611
1/22/2013
Hot Springs
AR
413,337
1,865,839
130,994
None
413,337
1,996,833
2,410,170
71,815
1/15/2016
Coolidge
AZ
380,000
1,865,375
133,700
None
380,000
1,999,075
2,379,075
154,194
12/11/2014
Douglas
AZ
320,000
2,812,308
None
None
320,000
2,812,308
3,132,308
257,795
9/24/2014
Sonora
CA
1,199,554
3,898,549
18,956
None
1,199,554
3,917,505
5,117,059
617,992
1/22/2013
Tustin
CA
10,530,000
9,883,431
None
None
10,530,000
9,883,431
20,413,431
938,926
8/19/2014
Monte Vista
CO
47,652
582,159
58,774
1,584
47,652
642,517
690,169
427,700
12/23/1998
Pawcatuck
CT
1,090,816
3,545,153
13,565
None
1,090,816
3,558,718
4,649,534
572,479
1/22/2013
North Ft Myers
FL
729,366
3,292,417
None
None
729,366
3,292,417
4,021,783
203,032
6/4/2015
Orange Park
FL
478,314
618,348
163,348
27,979
478,314
809,675
1,287,989
571,559
12/31/1998
Austell
GA
5,107,282
14,192,370
None
None
5,107,282
14,192,370
19,299,652
23,654
12/1/2016
Madison
GA
597,637
1,942,320
20,582
None
597,637
1,962,902
2,560,539
320,616
1/22/2013
Clarinda
IA
439,267
816,010
16,832
25,838
439,267
858,680
1,297,947
350,627
5/25/2006
Columbia City
IN
470,000
1,319,981
None
None
470,000
1,319,981
1,789,981
28,600
6/30/2016
Greensburg
IN
1,310,000
10,075,489
None
None
1,310,000
10,075,489
11,385,489
16,792
12/2/2016
Garnett
KS
59,690
628,516
90,686
59,690
719,240
778,930
386,711
12/23/1998
Hillsboro
KS
335,292
622,914
None
335,292
622,952
958,244
264,752
5/25/2006
Phillipsburg
KS
423,725
787,146
31,216
8,938
423,725
827,300
1,251,025
335,889
5/25/2006
Lawrenceburg
KY
410,000
503,126
135,108
None
410,000
638,234
1,048,234
48,695
12/12/2014
Maysville
KY
1,030,000
1,440,622
None
None
1,030,000
1,440,622
2,470,622
208,890
5/28/2013
Mansura
LA
557,316
1,811,276
11,163
None
557,316
1,822,439
2,379,755
295,971
1/22/2013
Oakland
MD
990,000
2,555,782
None
None
990,000
2,555,782
3,545,782
208,722
12/4/2014
Calais
ME
440,000
2,236,794
None
None
440,000
2,236,794
2,676,794
205,039
9/26/2014
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Coldwater
MI
380,000
2,589,000
None
None
380,000
2,589,000
2,969,000
107,875
12/16/2015
Kalamazoo
MI
-
2,547,854
71,591
None
-
2,619,445
2,619,445
415,103
1/22/2013
St John’s
MI
350,000
2,292,729
None
None
350,000
2,292,729
2,642,729
187,240
12/12/2014
Stevensville
MI
404,904
2,547,727
None
404,904
2,548,627
2,953,531
233,795
9/26/2014
Faribault
MN
1,270,000
16,730,000
None
None
1,270,000
16,730,000
18,000,000
258,917
6/29/2016
Long Prairie
MN
88,892
553,997
None
88,892
554,084
642,976
399,850
12/23/1998
Paynesville
MN
49,483
525,406
35,306
49,483
560,750
610,233
382,825
12/23/1998
Spring Valley
MN
69,785
579,238
None
69,785
579,322
649,107
418,066
12/23/1998
Warroad
MN
70,000
580,000
None
70,000
580,046
650,046
418,586
12/23/1998
Independence
MO
210,643
467,844
None
210,643
467,971
678,614
467,930
7/31/1989
Kansas City
MO
210,070
466,571
None
None
210,070
466,571
676,641
466,571
5/13/1988
Kansas City
MO
168,350
373,910
None
None
168,350
373,910
542,260
373,910
5/26/1988
Corinth
MS
387,489
1,749,157
None
None
387,489
1,749,157
2,136,646
212,814
12/4/2013
Ridgeland
MS
281,867
769,890
6,265
19,476
281,867
795,631
1,077,498
623,973
6/27/1997
Billings
MT
617,235
2,786,247
None
None
617,235
2,786,247
3,403,482
171,819
6/24/2015
Glendive
MT
567,581
2,529,794
None
None
567,581
2,529,794
3,097,375
156,004
6/4/2015
Greensboro
NC
676,201
3,052,428
None
None
676,201
3,052,428
3,728,629
259,456
11/17/2014
Raleigh
NC
484,913
2,188,937
None
None
484,913
2,188,937
2,673,850
244,431
3/11/2014
Mayville
ND
59,333
565,562
120,620
5,087
59,333
691,269
750,602
409,383
12/23/1998
Ainsworth
NE
362,675
673,768
None
362,675
673,862
1,036,537
286,391
5/25/2006
Imperial
NE
388,599
721,914
146,288
388,599
868,240
1,256,839
318,135
6/28/2006
Bloomfield
NM
59,559
616,252
14,805
59,559
631,141
690,700
450,172
12/23/1998
Clovis
NM
50,000
918,965
33,694
None
50,000
952,659
1,002,659
100,448
6/30/2014
Pickerington
OH
317,010
1,431,011
None
None
317,010
1,431,011
1,748,021
145,486
6/12/2014
Milwaukie
OR
180,250
400,336
49,088
180,250
449,482
629,732
437,659
8/6/1987
Dubois
PA
1,386,045
682,202
2,217,155
10,440
None
682,202
2,227,595
2,909,797
354,573
1/22/2013
Ebensburg
PA
581,699
16,421,564
None
None
581,699
16,421,564
17,003,263
2,600,081
1/22/2013
Elizabethville
PA
1,288,779
691,197
2,246,390
5,000
None
691,197
2,251,390
2,942,587
359,897
1/22/2013
Mansfield
PA
1,288,779
759,190
2,467,367
3,651
None
759,190
2,471,018
3,230,208
392,834
1/22/2013
Milford
PA
438,715
1,955,421
104,700
None
438,715
2,060,121
2,498,836
121,239
6/9/2015
Providence
RI
14,900,000
2,550,000
21,717,123
5,161
None
2,550,000
21,722,284
24,272,284
1,839,427
1/31/2014
Florence
SC
712,114
2,314,371
13,000
None
712,114
2,327,371
3,039,485
376,569
1/22/2013
Athens
TN
290,000
1,948,179
None
None
290,000
1,948,179
2,238,179
185,077
8/18/2014
Carthage
TN
555,547
2,476,158
127,851
None
555,547
2,604,009
3,159,556
104,816
12/17/2015
Memphis
TN
197,708
507,647
17,670
23,118
197,708
548,435
746,143
408,612
9/30/1998
Murfreesboro
TN
1,010,000
2,797,770
None
None
1,010,000
2,797,770
3,807,770
60,618
6/20/2016
Coleman
TX
243,060
451,661
14,375
243,060
466,074
709,134
192,718
5/25/2006
Colorado City
TX
92,535
505,276
63,690
92,535
569,050
661,585
368,004
12/23/1998
Devine
TX
212,408
394,735
32,536
212,408
427,372
639,780
171,866
5/25/2006
New Boston
TX
564,285
1,833,926
25,360
None
564,285
1,859,286
2,423,571
309,829
1/22/2013
Orange
TX
492,842
2,224,730
None
None
492,842
2,224,730
2,717,572
270,675
12/20/2013
Presidio
TX
407,657
757,362
None
15,300
407,657
772,662
1,180,319
323,451
5/25/2006
Winnsboro
TX
79,280
1,299,056
19,997
79,280
1,319,206
1,398,486
527,393
10/19/2006
9/7/2006
Yoakum
TX
390,147
724,821
35,515
390,147
760,423
1,150,570
309,385
5/25/2006
Salem
UT
439,889
1,985,696
2,350
None
439,889
1,988,046
2,427,935
129,193
5/21/2015
Salem
VA
670,000
1,870,698
None
None
670,000
1,870,698
2,540,698
40,532
6/29/2016
Puyallup
WA
173,250
384,795
None
22,814
173,250
407,609
580,859
405,898
9/15/1987
Redmond
WA
196,000
435,317
42,356
29,168
196,000
506,841
702,841
476,048
9/17/1987
Tacoma
WA
189,000
419,777
None
19,146
189,000
438,923
627,923
437,646
8/25/1987
Green Bay
WI
1,510,000
5,852,883
None
None
1,510,000
5,852,883
7,362,883
829,158
6/25/2013
Sussex
WI
650,000
7,106,415
None
None
650,000
7,106,415
7,756,415
1,006,742
6/25/2013
Ronceverte
WV
1,386,045
772,945
2,512,071
5,445
None
772,945
2,517,516
3,290,461
398,585
1/22/2013
Douglas
WY
571,162
2,545,759
1,650
None
571,162
2,547,409
3,118,571
157,109
6/4/2015
Government services
Sierra Vista
AZ
368,655
9,028,151
260,984
None
368,655
9,289,135
9,657,790
1,084,765
1/22/2013
El Centro
CA
520,000
2,185,899
None
None
520,000
2,185,899
2,705,899
637,554
9/17/2009
Redding
CA
675,805
20,005,327
198,453
None
675,805
20,203,780
20,879,585
2,357,888
1/22/2013
Colorado Springs
CO
672,578
9,520,731
352,584
None
672,578
9,873,315
10,545,893
1,181,803
1/22/2013
New Port Richey
FL
779,626
9,708,313
136,459
None
779,626
9,844,772
10,624,398
1,116,524
1/22/2013
Sioux City
IA
77,340
4,538,558
157,874
None
77,340
4,696,432
4,773,772
523,981
1/22/2013
Caldwell
ID
666,412
2,891,593
7,400
None
666,412
2,898,993
3,565,405
332,961
1/22/2013
Minneapolis
MN
1,045,866
8,587,804
None
None
1,045,866
8,587,804
9,633,670
971,240
1/22/2013
Malone
NY
823,630
9,270,887
8,864
None
823,630
9,279,751
10,103,381
1,048,770
1/22/2013
Knoxville
TN
760,745
8,994,542
17,310
None
760,745
9,011,852
9,772,597
1,023,006
1/22/2013
Brownsville
TX
320,661
6,564,200
None
None
320,661
6,564,200
6,884,861
742,380
1/22/2013
Dallas
TX
399,222
9,540,572
4,139
None
399,222
9,544,711
9,943,933
1,081,098
1/22/2013
Eagle Pass
TX
146,259
1,880,444
124,540
None
146,259
2,004,984
2,151,243
242,204
1/22/2013
Eagle Pass
TX
68,097
708,427
56,419
None
68,097
764,846
832,943
93,034
1/22/2013
Paris
TX
274,223
5,385,490
1,750
None
274,223
5,387,240
5,661,463
609,788
1/22/2013
Parkersburg
WV
494,436
12,703,842
26,020
None
494,436
12,729,862
13,224,298
1,445,446
1/22/2013
Grocery stores
Mesa
AZ
807,252
1,499,183
None
None
807,252
1,499,183
2,306,435
302,335
12/21/2011
Phoenix
AZ
664,796
1,234,621
None
None
664,796
1,234,621
1,899,417
248,982
12/21/2011
Phoenix
AZ
546,083
1,014,153
None
None
546,083
1,014,153
1,560,236
204,521
12/21/2011
Yuma
AZ
783,510
1,455,089
None
None
783,510
1,455,089
2,238,599
293,443
12/21/2011
Buena Park
CA
2,136,844
3,968,425
None
None
2,136,844
3,968,425
6,105,269
800,299
12/21/2011
Burbank
CA
2,193,827
4,074,250
None
None
2,193,827
4,074,250
6,268,077
821,640
12/21/2011
Carson
CA
949,709
1,763,744
None
None
949,709
1,763,744
2,713,453
355,688
12/21/2011
Chula Vista
CA
1,044,679
1,940,119
None
None
1,044,679
1,940,119
2,984,798
391,257
12/21/2011
Cloverdale
CA
1,505,000
2,795,321
None
None
1,505,000
2,795,321
4,300,321
1,486,179
9/30/2003
El Centro
CA
394,903
733,392
None
None
394,903
733,392
1,128,295
147,901
12/21/2011
Fortuna
CA
1,190,000
2,210,308
None
None
1,190,000
2,210,308
3,400,308
1,175,147
9/30/2003
Glendale
CA
3,270,797
6,074,336
None
None
3,270,797
6,074,336
9,345,133
1,224,991
12/21/2011
Hanford
CA
1,234,621
2,292,868
None
None
1,234,621
2,292,868
3,527,489
462,395
12/21/2011
Inglewood
CA
1,661,990
3,086,553
None
None
1,661,990
3,086,553
4,748,543
622,455
12/21/2011
Los Angeles
CA
712,282
1,322,809
None
None
712,282
1,322,809
2,035,091
266,766
12/21/2011
Los Angeles
CA
1,424,563
2,645,617
None
None
1,424,563
2,645,617
4,070,180
533,533
12/21/2011
Los Angeles
CA
1,576,516
2,927,816
None
None
1,576,516
2,927,816
4,504,332
590,443
12/21/2011
Los Angeles
CA
1,638,247
3,042,460
None
None
1,638,247
3,042,460
4,680,707
613,563
12/21/2011
Los Angeles
CA
1,994,388
3,703,864
None
None
1,994,388
3,703,864
5,698,252
746,946
12/21/2011
Los Angeles
CA
3,111,111
5,777,778
None
None
3,111,111
5,777,778
8,888,889
1,165,185
12/21/2011
Monrovia
CA
1,139,650
2,116,494
None
None
1,139,650
2,116,494
3,256,144
426,826
12/21/2011
North Hollywood
CA
4,036,263
7,495,917
None
None
4,036,263
7,495,917
11,532,180
1,511,677
12/21/2011
Oakland
CA
2,374,272
4,409,361
None
None
2,374,272
4,409,361
6,783,633
889,221
12/21/2011
Pacoima
CA
949,709
1,763,744
None
None
949,709
1,763,744
2,713,453
355,688
12/21/2011
Pasadena
CA
2,113,102
3,924,331
None
None
2,113,102
3,924,331
6,037,433
791,407
12/21/2011
Redlands
CA
1,187,136
2,204,680
None
None
1,187,136
2,204,680
3,391,816
444,611
12/21/2011
Redondo Beach
CA
1,306,667
2,426,666
None
None
1,306,667
2,426,666
3,733,333
489,378
12/21/2011
Redwood City
CA
1,638,247
3,042,460
None
None
1,638,247
3,042,460
4,680,707
613,563
12/21/2011
Riverside
CA
1,068,422
1,984,213
None
None
1,068,422
1,984,213
3,052,635
400,150
12/21/2011
Sacramento
CA
759,767
1,410,995
None
None
759,767
1,410,995
2,170,762
284,551
12/21/2011
Sacramento
CA
1,139,650
2,116,494
None
None
1,139,650
2,116,494
3,256,144
426,826
12/21/2011
Salinas
CA
1,044,679
1,940,119
None
None
1,044,679
1,940,119
2,984,798
391,257
12/21/2011
San Diego
CA
1,633,333
3,033,334
None
None
1,633,333
3,033,334
4,666,667
611,722
12/21/2011
Stockton
CA
1,424,563
2,645,617
None
None
1,424,563
2,645,617
4,070,180
533,533
12/21/2011
Thousand Oaks
CA
2,018,131
3,747,957
None
None
2,018,131
3,747,957
5,766,088
755,838
12/21/2011
Boulder
CO
426,675
1,199,508
None
426,675
1,200,108
1,626,783
1,097,300
1/5/1984
Pueblo
CO
1,700,000
8,440,070
1,000
None
1,700,000
8,441,070
10,141,070
154,776
7/29/2016
Wilmington
DE
4,825,479
1,020,000
5,192,590
None
None
1,020,000
5,192,590
6,212,590
545,222
5/9/2014
Brandon
FL
2,570,000
676,996
241,714
2,570,000
919,004
3,489,004
184,853
10/22/2010
Tampa
FL
2,610,000
5,769,576
145,462
None
2,610,000
5,915,038
8,525,038
1,485,562
10/22/2010
Albany
GA
2,190,000
8,689,607
1,000
None
2,190,000
8,690,607
10,880,607
101,429
9/19/2016
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Athens
GA
2,190,000
9,423,928
1,000
None
2,190,000
9,424,928
11,614,928
109,996
9/19/2016
Augusta
GA
3,270,000
7,509,563
1,500
None
3,270,000
7,511,063
10,781,063
162,782
6/30/2016
Gainesville
GA
2,550,000
7,339,116
1,500
None
2,550,000
7,340,616
9,890,616
159,089
6/30/2016
LaGrange
GA
1,740,000
8,162,125
1,000
None
1,740,000
8,163,125
9,903,125
95,275
9/19/2016
Elkhart
IN
835,890
1,554,487
None
None
835,890
1,554,487
2,390,377
1,554,487
11/1/2006
Warsaw
IN
2,140,000
4,689,646
None
None
2,140,000
4,689,646
6,829,646
1,852,398
2/9/2007
Lawrence
KS
706,512
5,338,974
None
706,512
5,339,114
6,045,626
845,393
1/22/2013
Wichita
KS
1,672,828
7,617,013
1,539
None
1,672,828
7,618,552
9,291,380
1,206,630
1/22/2013
Monroe
LA
2,270,000
7,627,418
1,000
None
2,270,000
7,628,418
9,898,418
165,311
6/30/2016
Monroe
LA
2,260,000
7,849,069
1,000
None
2,260,000
7,850,069
10,110,069
170,113
6/30/2016
Portland
ME
-
6,357,617
7,937
None
-
6,365,554
6,365,554
1,007,548
1/22/2013
Lapeer
MI
769,498
4,509,061
None
None
769,498
4,509,061
5,278,559
37,576
10/19/2016
Aurora
MO
440,000
3,398,717
None
None
440,000
3,398,717
3,838,717
288,891
11/17/2014
Festus
MO
1,120,000
5,163,355
1,000
None
1,120,000
5,164,355
6,284,355
611,289
1/31/2014
Republic
MO
930,000
3,036,180
None
None
930,000
3,036,180
3,966,180
258,075
11/17/2014
Springfield
MO
1,167,312
3,207,718
None
None
1,167,312
3,207,718
4,375,030
272,656
11/17/2014
Springfield
MO
1,635,901
4,495,381
None
None
1,635,901
4,495,381
6,131,282
382,107
11/17/2014
St. Louis
MO
1,150,000
4,580,300
None
None
1,150,000
4,580,300
5,730,300
542,002
1/31/2014
St. Louis
MO
890,000
5,765,303
None
None
890,000
5,765,303
6,655,303
682,228
1/31/2014
Reno
NV
456,000
562,344
19,733
456,000
582,252
1,038,252
578,869
5/26/1988
Reno
NV
721,365
1,339,679
None
None
721,365
1,339,679
2,061,044
270,169
12/21/2011
Canandaigua
NY
757,160
13,354,409
None
None
757,160
13,354,409
14,111,569
2,114,448
1/22/2013
Nanuet
NY
3,149,527
20,960,357
None
None
3,149,527
20,960,357
24,109,884
3,318,723
1/22/2013
Seaford
NY
13,806,243
6,180,000
6,058,740
None
None
6,180,000
6,058,740
12,238,740
636,168
5/9/2014
Cincinnati
OH
1,860,000
5,009,049
None
None
1,860,000
5,009,049
6,869,049
58,439
9/28/2016
Bartlesville
OK
1,650,000
1,573,823
1,000
None
1,650,000
1,574,823
3,224,823
391,408
10/22/2010
Norman
OK
1,580,000
1,900,618
1,000
None
1,580,000
1,901,618
3,481,618
472,562
10/22/2010
Norman
OK
3,000,000
2,474,669
1,000
None
3,000,000
2,475,669
5,475,669
614,699
10/22/2010
Stillwater
OK
2,590,000
2,472,123
1,000
None
2,590,000
2,473,123
5,063,123
614,486
10/22/2010
Tulsa
OK
1,550,000
203,990
None
None
1,550,000
203,990
1,753,990
50,658
10/22/2010
Tulsa
OK
2,000,000
753,609
None
None
2,000,000
753,609
2,753,609
187,146
10/22/2010
Tulsa
OK
3,000,000
3,485,618
1,000
None
3,000,000
3,486,618
6,486,618
866,171
10/22/2010
Central Point
OR
840,000
1,560,308
None
None
840,000
1,560,308
2,400,308
829,564
9/30/2003
Pendleton
OR
546,083
1,014,153
None
None
546,083
1,014,153
1,560,236
204,521
12/21/2011
Phoenix
OR
840,000
1,560,308
None
None
840,000
1,560,308
2,400,308
829,564
9/30/2003
Upper Darby
PA
8,836,277
3,300,000
7,383,261
None
None
3,300,000
7,383,261
10,683,261
775,242
5/9/2014
Myrtle Beach
SC
4,866,449
1,544,000
1,000
None
4,866,449
1,545,000
6,411,449
18,047
9/8/2016
Rapid City
SD
2,140,000
1,465,451
None
None
2,140,000
1,465,451
3,605,451
363,920
10/22/2010
Clarksville
TN
1,450,000
8,573,328
1,000
None
1,450,000
8,574,328
10,024,328
100,047
9/19/2016
Colchester
VT
983,640
13,718,577
None
None
983,640
13,718,577
14,702,217
2,172,108
1/22/2013
Richland
WA
1,756,961
3,262,927
None
None
1,756,961
3,262,927
5,019,888
658,024
12/21/2011
Burlington
WI
4,490,000
840,000
6,515,145
None
None
840,000
6,515,145
7,355,145
705,807
4/30/2014
Neenah
WI
3,480,000
1,070,000
4,648,820
None
None
1,070,000
4,648,820
5,718,820
503,622
4/30/2014
Shorewood
WI
8,288,174
23,492,398
None
None
8,288,174
23,492,398
31,780,572
39,154
12/21/2016
Health and fitness
Goodyear
AZ
2,010,000
20,928,681
None
None
2,010,000
20,928,681
22,938,681
1,290,602
6/10/2015
Phoenix
AZ
2,608,389
3,418,783
None
None
2,608,389
3,418,783
6,027,172
2,034,142
6/6/2002
6/26/2001
Phoenix
AZ
2,100,000
6,556,549
None
None
2,100,000
6,556,549
8,656,549
1,138,620
3/20/2012
6/29/2011
Antioch
CA
5,375,000
9,982,143
None
None
5,375,000
9,982,143
15,357,143
2,112,887
9/21/2011
Bakersfield
CA
2,259,649
4,698,845
None
None
2,259,649
4,698,845
6,958,494
994,589
9/21/2011
Bakersfield
CA
3,260,933
6,056,019
None
None
3,260,933
6,056,019
9,316,952
1,281,857
9/21/2011
Carmichael
CA
812,570
3,467,558
None
None
812,570
3,467,558
4,280,128
468,120
8/30/2013
Carmichael
CA
755,676
3,224,770
None
None
755,676
3,224,770
3,980,446
435,344
8/30/2013
Ceres
CA
2,145,750
3,984,963
None
None
2,145,750
3,984,963
6,130,713
843,484
9/21/2011
Chula Vista
CA
4,226,250
7,848,750
None
None
4,226,250
7,848,750
12,075,000
2,132,244
3/30/2010
Diamond Bar
CA
3,038,879
5,494,141
None
3,038,879
5,494,918
8,533,797
3,224,033
3/21/2000
9/29/1998
Elk Grove
CA
2,570,000
10,206,994
67,530
3,274
2,570,000
10,277,798
12,847,798
1,348,917
9/27/2013
Fairfield
CA
836,500
2,053,894
None
None
836,500
2,053,894
2,890,394
297,369
10/3/2012
Folsom
CA
1,290,000
13,537,029
26,013
None
1,290,000
13,563,042
14,853,042
1,827,662
8/30/2013
Los Banos
CA
1,378,343
2,559,779
None
None
1,378,343
2,559,779
3,938,122
541,820
9/21/2011
McClellan
CA
396,459
1,691,850
None
None
396,459
1,691,850
2,088,309
228,400
8/30/2013
Merced
CA
910,000
2,440,523
None
None
910,000
2,440,523
3,350,523
338,274
10/3/2012
Norco
CA
1,247,243
4,907,430
None
1,247,243
4,907,457
6,154,700
2,781,431
12/13/2000
6/29/1999
Rancho Cordova
CA
1,040,000
6,791,316
38,541
None
1,040,000
6,829,857
7,869,857
916,908
8/30/2013
Rocklin
CA
1,165,243
4,972,558
None
None
1,165,243
4,972,558
6,137,801
671,295
8/30/2013
Roseville
CA
1,970,000
7,743,081
138,677
None
1,970,000
7,881,758
9,851,758
1,055,826
9/27/2013
Sacramento
CA
449,230
1,917,043
None
None
449,230
1,917,043
2,366,273
258,801
8/30/2013
Sacramento
CA
2,400,000
14,079,539
None
None
2,400,000
14,079,539
16,479,539
1,853,806
9/30/2013
Shingle Springs
CA
1,575,000
3,675,307
None
None
1,575,000
3,675,307
5,250,307
546,149
10/3/2012
Stockton
CA
2,320,442
4,309,392
None
None
2,320,442
4,309,392
6,629,834
912,155
9/21/2011
Stockton
CA
1,602,459
2,975,994
None
None
1,602,459
2,975,994
4,578,453
629,919
9/21/2011
Tracy
CA
556,906
1,034,254
None
None
556,906
1,034,254
1,591,160
218,917
9/21/2011
Tracy
CA
3,228,902
5,996,532
None
None
3,228,902
5,996,532
9,225,434
1,269,266
9/21/2011
Vacaville
CA
1,575,000
3,675,429
None
None
1,575,000
3,675,429
5,250,429
546,158
10/3/2012
Vallejo
CA
756,000
3,404,487
None
None
756,000
3,404,487
4,160,487
379,711
10/3/2012
South Windsor
CT
5,273,321
1,410,000
8,239,228
None
None
1,410,000
8,239,228
9,649,228
837,655
6/27/2014
Casselberry
FL
1,979,598
8,256,394
40,863
167,804
1,979,598
8,465,061
10,444,659
5,410,328
12/30/2003
5/31/1995
Hialeah
FL
2,104,393
3,910,500
None
None
2,104,393
3,910,500
6,014,893
1,531,596
3/26/2007
Miami
FL
3,115,101
5,670,715
None
3,115,101
5,670,821
8,785,922
3,177,449
5/19/2000
6/7/1999
Oakland Park
FL
2,800,000
2,196,480
None
None
2,800,000
2,196,480
4,996,480
1,266,828
7/6/2001
3/27/2001
Orlando
FL
2,144,778
3,755,905
None
None
2,144,778
3,755,905
5,900,683
1,975,085
8/7/2003
11/26/2002
Pembroke Pines
FL
1,714,388
4,387,824
None
None
1,714,388
4,387,824
6,102,212
2,824,104
12/11/2000
10/1/1999
Stuart
FL
1,150,000
8,258,878
None
None
1,150,000
8,258,878
9,408,878
1,170,008
6/28/2013
Sunrise
FL
2,850,000
3,601,884
None
None
2,850,000
3,601,884
6,451,884
894,468
10/22/2010
Conyers
GA
1,200,000
7,835,546
None
None
1,200,000
7,835,546
9,035,546
901,088
2/27/2014
Morrow
GA
1,680,000
5,108,661
74,158
None
1,680,000
5,182,819
6,862,819
463,734
9/30/2014
Urbandale
IA
4,720,000
27,389,120
None
None
4,720,000
27,389,120
32,109,120
1,688,996
6/10/2015
Alsip
IL
2,944,221
5,467,839
None
None
2,944,221
5,467,839
8,412,060
1,540,108
12/30/2009
Bolingbrook
IL
3,010,512
8,161,186
None
None
3,010,512
8,161,186
11,171,698
2,960,308
10/26/2007
1/24/2007
Glendale Heights
IL
1,963,770
10,038,516
None
None
1,963,770
10,038,516
12,002,286
1,700,188
3/26/2007
Lansing
IL
460,000
6,648,839
None
None
460,000
6,648,839
7,108,839
808,942
12/12/2013
Waukegan
IL
2,961,951
5,500,766
None
None
2,961,951
5,500,766
8,462,717
1,549,382
12/30/2009
Carmel
IN
3,675,000
6,825,000
None
None
3,675,000
6,825,000
10,500,000
1,854,125
3/29/2010
Indianapolis
IN
3,008,186
6,999,881
None
None
3,008,186
6,999,881
10,008,067
2,697,570
3/20/2007
8/3/2006
Southport
IN
2,121,873
7,522,735
None
None
2,121,873
7,522,735
9,644,608
2,680,562
12/20/2007
6/8/2007
Lenexa
KS
1,410,000
25,283,643
None
None
1,410,000
25,283,643
26,693,643
1,559,158
6/10/2015
Florence
KY
2,560,000
8,523,096
None
None
2,560,000
8,523,096
11,083,096
1,406,311
11/30/2012
Louisville
KY
9,161,078
1,480,000
13,081,657
274,087
None
1,480,000
13,355,744
14,835,744
2,045,896
2/1/2013
Woburn
MA
3,930,000
6,125,110
None
None
3,930,000
6,125,110
10,055,110
888,141
5/22/2013
Nottingham
MD
3,055,453
5,675,230
None
None
3,055,453
5,675,230
8,730,683
2,222,798
3/26/2007
Rochester Hills
MI
1,980,000
31,441,153
None
None
1,980,000
31,441,153
33,421,153
1,938,871
6/10/2015
Roseville
MN
3,611,925
8,804,654
None
None
3,611,925
8,804,654
12,416,579
3,141,268
6/5/2008
4/18/2007
St. Louis Park
MN
1,160,000
36,979,042
None
None
1,160,000
36,979,042
38,139,042
2,280,374
6/10/2015
Charlotte
NC
2,420,000
7,649,004
None
2,420,000
7,649,242
10,069,242
905,142
1/29/2014
Raleigh
NC
4,890,000
21,252,496
None
None
4,890,000
21,252,496
26,142,496
1,310,571
6/10/2015
Omaha
NE
1,130,000
10,814,154
None
None
1,130,000
10,814,154
11,944,154
1,279,675
1/29/2014
East Brunswick
NJ
1,654,529
3,073,912
None
1,654,529
3,073,970
4,728,499
1,214,204
2/16/2007
Montvale
NJ
7,980,000
35,070,170
None
None
7,980,000
35,070,170
43,050,170
2,162,660
6/10/2015
Harrison
NY
16,710,000
50,611,800
None
None
16,710,000
50,611,800
67,321,800
3,121,061
6/10/2015
Yonkers
NY
1,488,894
2,765,894
None
None
1,488,894
2,765,894
4,254,788
1,083,307
3/26/2007
Brooklyn
OH
900,000
10,393,798
None
None
900,000
10,393,798
11,293,798
329,137
3/30/2016
Columbus
OH
-
6,891,202
None
None
-
6,891,202
6,891,202
1,074,498
11/30/2012
Columbus
OH
7,028,696
-
11,662,219
33,910
-
11,696,202
11,696,202
1,818,252
2/1/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Columbus
OH
-
7,517,501
None
None
-
7,517,501
7,517,501
1,064,979
6/28/2013
Hilliard
OH
7,823,537
1,010,000
10,307,569
None
None
1,010,000
10,307,569
11,317,569
1,597,673
2/1/2013
Maumee
OH
1,390,000
10,042,422
None
None
1,390,000
10,042,422
11,432,422
1,188,353
1/29/2014
Toledo
OH
620,000
10,933,936
None
None
620,000
10,933,936
11,553,936
1,293,849
1/29/2014
West Chester
OH
1,670,000
7,738,611
None
None
1,670,000
7,738,611
9,408,611
1,199,485
2/22/2013
Philadelphia
PA
2,254,830
4,188,725
None
None
2,254,830
4,188,725
6,443,555
1,654,546
2/16/2007
Pittsburgh
PA
4,420,799
5,543,009
None
None
4,420,799
5,543,009
9,963,808
1,116,741
9/1/2011
1/12/2011
Bartlett
TN
2,475,000
267,286
None
None
2,475,000
267,286
2,742,286
In-progress
10/18/2016
N/A
Cypress
TX
1,417,377
5,696,789
None
None
1,417,377
5,696,789
7,114,166
2,402,065
5/15/2006
9/14/2005
Dallas
TX
5,293,733
6,555,637
None
None
5,293,733
6,555,637
11,849,370
2,702,164
8/4/2006
11/9/2005
Fort Worth
TX
1,445,901
5,277,886
None
None
1,445,901
5,277,886
6,723,787
3,498,095
6/2/2000
6/30/1999
Keller
TX
1,478,222
5,679,604
None
None
1,478,222
5,679,604
7,157,826
2,542,000
9/8/2005
12/16/2004
Plano
TX
3,178,115
5,832,224
None
None
3,178,115
5,832,224
9,010,339
2,557,602
12/6/2005
4/22/2005
Sachse
TX
540,000
8,144,846
None
None
540,000
8,144,846
8,684,846
122,173
8/16/2016
San Antonio
TX
1,120,000
2,075,196
None
None
1,120,000
2,075,196
3,195,196
619,100
7/29/2009
San Antonio
TX
1,200,000
2,489,568
None
None
1,200,000
2,489,568
3,689,568
742,721
7/29/2009
South Jordan
UT
6,260,000
19,565,376
None
None
6,260,000
19,565,376
25,825,376
1,206,532
6/10/2015
Federal Way
WA
2,650,000
8,480,517
None
None
2,650,000
8,480,517
11,130,517
409,892
10/14/2015
Kent
WA
4,086,250
7,588,750
None
None
4,086,250
7,588,750
11,675,000
2,137,498
12/21/2009
Health care
Enterprise
AL
697,210
2,265,932
None
None
697,210
2,265,932
2,963,142
358,773
1/22/2013
Hot Springs
AR
875,397
210,979
2,003,689
None
None
210,979
2,003,689
2,214,668
226,608
1/22/2013
Hot Springs
AR
972,663
235,299
2,234,659
None
None
235,299
2,234,659
2,469,958
252,729
1/22/2013
Hot Springs
AR
2,455,974
904,597
5,821,180
None
None
904,597
5,821,180
6,725,777
658,348
1/22/2013
Apple Valley
CA
486,371
15,383,518
None
None
486,371
15,383,518
15,869,889
1,593,673
1/22/2013
Shasta Lake
CA
390,906
9,754,092
None
None
390,906
9,754,092
10,144,998
1,103,141
1/22/2013
Augusta
GA
526,247
1,710,304
None
None
526,247
1,710,304
2,236,551
270,798
1/22/2013
Brunswick
GA
290,369
788,880
83,729
31,059
290,369
903,668
1,194,037
644,672
12/31/1997
Valdosta
GA
432,035
1,404,115
None
None
432,035
1,404,115
1,836,150
222,318
1/22/2013
Valdosta
GA
413,489
1,343,840
None
None
413,489
1,343,840
1,757,329
212,775
1/22/2013
Blackfoot
ID
494,854
1,608,277
None
None
494,854
1,608,277
2,103,131
254,644
1/22/2013
Chicago
IL
250,000
1,307,607
30,997
None
250,000
1,338,604
1,588,604
41,601
3/25/2016
New Castle
IN
564,055
1,833,180
None
None
564,055
1,833,180
2,397,235
290,253
1/22/2013
Kansas City
KS
521,988
1,696,460
None
None
521,988
1,696,460
2,218,448
268,606
1/22/2013
Shreveport
LA
423,234
1,375,511
None
None
423,234
1,375,511
1,798,745
217,789
1/22/2013
Billerica
MA
398,292
740,107
21,044
15,024
398,292
776,175
1,174,467
294,856
11/14/2007
Kansas City
MO
340,000
1,523,155
None
None
340,000
1,523,155
1,863,155
185,317
12/20/2013
St. Louis
MO
2,852,903
38,694,147
18,301
None
2,852,903
38,712,448
41,565,351
4,367,299
1/22/2013
St. Louis
MO
4,278,685
19,900,592
None
None
4,278,685
19,900,592
24,179,277
2,250,662
1/22/2013
Gulfport
MS
299,464
502,326
224,556
46,809
299,464
773,691
1,073,155
476,421
11/26/1996
Wilmington
NC
811,533
5,498,659
None
None
811,533
5,498,659
6,310,192
870,621
1/22/2013
Lincoln
NE
707,636
2,299,818
None
None
707,636
2,299,818
3,007,454
364,138
1/22/2013
Mount Vernon
OH
726,626
1,351,151
None
22,995
726,626
1,374,146
2,100,772
556,065
11/1/2006
Okmulgee
OK
397,605
1,292,216
None
None
397,605
1,292,216
1,689,821
204,601
1/22/2013
Sellersville
PA
763,355
2,480,903
None
None
763,355
2,480,903
3,244,258
392,810
1/22/2013
Abbeville
SC
446,204
1,450,164
None
None
446,204
1,450,164
1,896,368
229,609
1/22/2013
North Augusta
SC
498,284
1,619,423
None
None
498,284
1,619,423
2,117,707
256,409
1/22/2013
Dickson
TN
531,717
1,728,079
None
None
531,717
1,728,079
2,259,796
273,613
1/22/2013
Memphis
TN
602,208
1,957,176
None
None
602,208
1,957,176
2,559,384
309,886
1/22/2013
Memphis
TN
822,791
2,674,071
None
None
822,791
2,674,071
3,496,862
423,395
1/22/2013
Bedford
TX
1,607,524
56,219,108
None
None
1,607,524
56,219,108
57,826,632
6,358,113
1/22/2013
Hampton
VA
373,499
836,071
7,601
33,022
373,499
876,694
1,250,193
674,869
12/19/1997
Muskego
WI
1,528,232
26,297,695
92,891
None
1,528,232
26,390,586
27,918,818
2,976,375
1/22/2013
Home furnishings
Little Rock
AR
1,079,232
2,594,956
132,816
1,079,232
2,727,888
3,807,120
1,998,852
7/21/1998
Osceola
AR
88,759
520,047
4,083
None
88,759
524,130
612,889
389,783
6/30/1998
Wynne
AR
70,000
547,576
58,039
2,024
70,000
607,639
677,639
434,193
11/10/1998
2/24/1999
Jackson
CA
300,000
390,849
6,775
300,000
397,681
697,681
397,653
5/17/1988
Pueblo
CO
371,645
1,207,845
None
None
371,645
1,207,845
1,579,490
191,242
1/22/2013
Danbury
CT
643,736
3,621,163
324,674
243,250
643,736
4,189,087
4,832,823
3,006,567
9/30/1997
Brandon
FL
430,000
1,020,608
None
None
430,000
1,020,608
1,450,608
756,949
6/26/1998
Hudson
FL
397,101
1,290,578
None
None
397,101
1,290,578
1,687,679
204,341
1/22/2013
Ocala
FL
339,690
543,504
None
None
339,690
543,504
883,194
437,521
11/26/1996
Palm Harbor
FL
364,939
1,186,052
None
None
364,939
1,186,052
1,550,991
187,792
1/22/2013
Pensacola
FL
370,809
1,205,128
None
None
370,809
1,205,128
1,575,937
190,812
1/22/2013
Spring Hill
FL
370,810
1,205,131
None
None
370,810
1,205,131
1,575,941
190,812
1/22/2013
Tampa
FL
685,000
885,624
None
None
685,000
885,624
1,570,624
656,836
6/26/1998
Tampa
FL
494,763
767,737
71,880
494,763
839,990
1,334,753
626,201
12/31/1998
West Palm Beach
FL
347,651
706,081
69,111
347,651
775,565
1,123,216
553,251
12/31/1998
Rome
GA
254,902
486,812
110,997
254,902
597,893
852,795
408,006
11/26/1996
Joliet
IL
440,000
910,689
None
440,000
910,783
1,350,783
675,514
6/26/1998
Anderson
IN
180,628
653,162
108,685
180,628
762,026
942,654
604,299
11/26/1996
Mishawaka
IN
1,070,000
4,321,944
None
None
1,070,000
4,321,944
5,391,944
381,772
10/28/2014
Kansas City
KS
185,955
413,014
31,870
8,583
185,955
453,467
639,422
446,348
5/13/1988
Overland Park
KS
6,310,177
2,600,000
4,566,981
53,334
None
2,600,000
4,620,315
7,220,315
146,063
3/31/2016
Overland Park
KS
3,389,823
1,480,000
2,672,995
32,001
None
1,480,000
2,704,996
4,184,996
85,510
3/31/2016
Alexandria
LA
400,000
810,608
None
400,000
810,776
1,210,776
601,367
6/26/1998
Monroe
LA
450,000
835,608
None
None
450,000
835,608
1,285,608
619,741
6/26/1998
Battle Creek
MI
485,000
895,689
None
485,000
895,955
1,380,955
664,437
6/26/1998
Bay City
MI
397,531
1,291,976
None
None
397,531
1,291,976
1,689,507
204,563
1/22/2013
Eden Prairie
MN
500,502
1,055,244
None
None
500,502
1,055,244
1,555,746
754,463
3/1/1999
Hattiesburg
MS
300,000
660,608
None
300,000
660,776
960,776
490,117
6/26/1998
Ridgeland
MS
306,460
995,995
None
None
306,460
995,995
1,302,455
157,699
1/22/2013
Asheboro
NC
373,128
1,212,666
None
None
373,128
1,212,666
1,585,794
192,005
1/22/2013
Matthews
NC
768,222
843,401
46,414
37,821
768,222
927,636
1,695,858
683,082
12/31/1998
Grand Island
NE
455,921
1,481,742
None
None
455,921
1,481,742
1,937,663
234,609
1/22/2013
Cortland
NY
448,156
1,456,507
None
None
448,156
1,456,507
1,904,663
230,614
1/22/2013
Green Island
NY
1,181,947
20,808,780
76,149
None
1,181,947
20,884,929
22,066,876
2,359,283
1/22/2013
Middletown
NY
2,700,000
14,093,893
None
None
2,700,000
14,093,893
16,793,893
23,490
12/8/2016
Oneonta
NY
354,283
1,151,419
None
None
354,283
1,151,419
1,505,702
182,308
1/22/2013
Rotterdam
NY
390,926
1,270,510
None
None
390,926
1,270,510
1,661,436
201,164
1/22/2013
Ashtabula
OH
359,857
1,169,537
None
None
359,857
1,169,537
1,529,394
185,177
1/22/2013
Dayton
OH
401,723
698,872
48,970
401,723
748,048
1,149,771
534,436
6/29/1998
Kettering
OH
316,341
1,028,109
None
None
316,341
1,028,109
1,344,450
162,784
1/22/2013
Lancaster
OH
250,000
830,689
None
None
250,000
830,689
1,080,689
616,092
6/26/1998
Piqua
OH
375,833
1,221,457
None
None
375,833
1,221,457
1,597,290
193,397
1/22/2013
Altoona
PA
455,000
745,694
None
None
455,000
745,694
1,200,694
553,054
6/26/1998
Cranberry
PA
369,761
1,201,723
None
None
369,761
1,201,723
1,571,484
190,273
1/22/2013
Erie
PA
510,000
900,689
None
None
510,000
900,689
1,410,689
668,009
6/26/1998
Pennsdale
PA
315,000
835,648
None
None
315,000
835,648
1,150,648
619,770
6/26/1998
Whitehall
PA
515,525
1,146,868
None
None
515,525
1,146,868
1,662,393
850,592
6/30/1998
Columbia
SC
600,000
900,725
None
600,000
901,021
1,501,021
668,317
6/26/1998
Murrells Inlet
SC
296,236
962,766
None
None
296,236
962,766
1,259,002
152,438
1/22/2013
Jackson
TN
380,000
750,608
(114,143
)
380,000
636,477
1,016,477
557,313
6/26/1998
Abilene
TX
400,000
680,616
None
None
400,000
680,616
1,080,616
504,788
6/26/1998
Amarillo
TX
140,000
419,734
None
None
140,000
419,734
559,734
420,651
9/12/1988
Plainview
TX
125,000
734,558
40,000
125,000
774,607
899,607
571,955
1/24/1984
San Antonio
TX
323,451
637,991
47,914
None
323,451
685,905
1,009,356
508,315
12/31/1998
Victoria
TX
291,380
946,984
None
None
291,380
946,984
1,238,364
149,939
1/22/2013
Webster
TX
283,604
538,002
2,470
283,604
540,658
824,262
423,109
6/13/1997
Pasco
WA
161,700
359,142
56,707
None
161,700
415,849
577,549
404,204
8/18/1987
Eau Claire
WI
260,000
820,689
None
260,000
820,900
1,080,900
608,866
6/26/1998
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
La Crosse
WI
372,883
877,812
None
372,883
878,062
1,250,945
651,268
6/26/1998
Home improvement
Kenai
AK
2,350,000
5,400,025
None
None
2,350,000
5,400,025
7,750,025
513,002
8/19/2014
Birmingham
AL
717,675
1,774,814
None
None
717,675
1,774,814
2,492,489
127,195
3/31/2015
Tucson
AZ
4,170,000
14,213,818
None
None
4,170,000
14,213,818
18,383,818
1,445,072
6/19/2014
Tucson
AZ
6,718,115
4,280,000
15,094,661
None
None
4,280,000
15,094,661
19,374,661
1,433,993
8/7/2014
Lawndale
CA
667,007
1,238,841
None
667,007
1,238,890
1,905,897
894,062
12/31/1998
Los Angeles
CA
163,668
304,097
None
163,668
304,146
467,814
219,488
12/31/1998
Morgan Hill
CA
5,100,000
7,219,244
None
None
5,100,000
7,219,244
12,319,244
733,956
6/19/2014
Van Nuys
CA
750,293
1,393,545
None
750,293
1,393,594
2,143,887
1,005,706
12/31/1998
Greenwood Village
CO
9,700,000
13,352,870
None
None
9,700,000
13,352,870
23,052,870
1,357,542
6/19/2014
Augusta
GA
2,701,584
18,072,555
171,032
None
2,701,584
18,243,587
20,945,171
2,944,794
1/22/2013
Austell
GA
9,161,124
-
None
None
9,161,124
-
9,161,124
-
1/22/2013
Conley
GA
727,106
904,138
29,754
None
727,106
933,892
1,660,998
92,216
8/7/2014
Valdosta
GA
2,550,000
11,989,018
None
None
2,550,000
11,989,018
14,539,018
1,178,920
7/15/2014
Cedar Rapids
IA
294,195
732,929
None
None
294,195
732,929
1,027,124
37,868
9/24/2015
Kansas City
KS
854,158
1,810,915
None
None
854,158
1,810,915
2,665,073
147,891
12/22/2014
Lenexa
KS
1,051,077
1,952,233
None
None
1,051,077
1,952,233
3,003,310
855,729
1/6/2006
Overland Park
KS
3,400,000
12,372,646
None
None
3,400,000
12,372,646
15,772,646
268,074
6/29/2016
Topeka
KS
11,952,705
2,189,122
35,657,677
None
None
2,189,122
35,657,677
37,846,799
4,071,756
1/22/2013
Gretna
LA
4,260,000
8,433,877
None
None
4,260,000
8,433,877
12,693,877
42,169
11/30/2016
Jefferson
LA
610,004
1,293,280
None
None
610,004
1,293,280
1,903,284
105,618
12/31/2014
Baltimore
MD
171,320
318,882
None
None
171,320
318,882
490,202
230,137
12/31/1998
Chillicothe
MO
804,948
1,495,138
None
None
804,948
1,495,138
2,300,086
655,369
1/6/2006
Columbia
MO
2,039,436
3,787,757
None
None
2,039,436
3,787,757
5,827,193
1,660,300
1/6/2006
Columbia
MO
1,080,521
2,006,915
None
None
1,080,521
2,006,915
3,087,436
879,698
1/6/2006
Fulton
MO
791,603
1,470,353
None
None
791,603
1,470,353
2,261,956
644,505
1/6/2006
Jefferson City
MO
1,481,299
2,751,217
None
17,466
1,481,299
2,768,683
4,249,982
1,206,418
1/6/2006
Kirksville
MO
1,421,788
2,640,696
None
None
1,421,788
2,640,696
4,062,484
1,157,505
1/6/2006
Macon
MO
493,394
916,537
None
None
493,394
916,537
1,409,931
401,749
1/6/2006
Moberly
MO
1,293,387
2,402,283
None
None
1,293,387
2,402,283
3,695,670
1,052,999
1/6/2006
Mattews
NC
610,177
1,394,743
86,087
68,013
610,177
1,548,843
2,159,020
1,070,528
7/17/1998
Omaha
NE
1,515,773
2,816,678
None
1,515,773
2,816,710
4,332,483
1,234,674
1/6/2006
Haddon Heights
NJ
80,000
534,400
60,057
None
80,000
594,457
674,457
37,113
5/21/2015
Voorhees Township
NJ
10,503,964
4,280,000
None
None
10,503,964
4,280,000
14,783,964
21,400
11/30/2016
Rochester
NY
158,168
294,456
None
None
158,168
294,456
452,624
212,510
12/31/1998
Akron
OH
359,775
762,765
None
None
359,775
762,765
1,122,540
62,292
12/31/2014
Canton
OH
70,000
908,666
None
None
70,000
908,666
978,666
74,208
12/31/2014
Columbus
OH
230,000
538,088
None
None
230,000
538,088
768,088
43,944
12/18/2014
Massillon
OH
6,523,018
939,016
None
None
6,523,018
939,016
7,462,034
20,345
6/30/2016
Edmond
OK
1,030,000
1,317,842
None
None
1,030,000
1,317,842
2,347,842
94,445
3/11/2015
Columbia
TN
610,000
985,954
None
None
610,000
985,954
1,595,954
90,379
9/9/2014
Johnson City
TN
467,167
580,911
None
None
467,167
580,911
1,048,078
55,187
8/7/2014
Knoxville
TN
6,486,801
-
None
None
6,486,801
-
6,486,801
-
1/22/2013
Amarillo
TX
1,140,000
1,082,966
None
None
1,140,000
1,082,966
2,222,966
86,379
3/28/2014
Carrollton
TX
201,569
374,342
None
201,569
374,444
576,013
195,366
12/5/2003
Cedar Park
TX
253,591
827,237
126,892
41,396
253,591
995,525
1,249,116
738,792
3/26/1997
Longview
TX
300,000
980,898
None
None
300,000
980,898
1,280,898
63,758
5/15/2015
Midland
TX
1,590,052
2,953,473
None
None
1,590,052
2,953,473
4,543,525
1,294,606
1/6/2006
Odessa
TX
1,346,834
2,501,783
None
None
1,346,834
2,501,783
3,848,617
1,096,615
1/6/2006
San Antonio
TX
367,890
683,750
None
None
367,890
683,750
1,051,640
493,442
12/31/1998
Stafford
TX
1,025,959
1,275,756
None
None
1,025,959
1,275,756
2,301,715
121,197
8/7/2014
Webster
TX
770,000
976,851
8,565
None
770,000
985,416
1,755,416
78,034
3/28/2014
Wichita Falls
TX
120,000
464,338
None
None
120,000
464,338
584,338
37,036
3/28/2014
Chesapeake
VA
144,014
649,869
None
11,754
144,014
661,623
805,637
660,723
12/22/1986
Richmond
VA
713,319
886,996
None
None
713,319
886,996
1,600,315
84,265
8/7/2014
Bellingham
WA
4,140,000
16,417,981
None
None
4,140,000
16,417,981
20,557,981
1,012,442
6/9/2015
Spokane
WA
4,930,000
15,428,206
None
None
4,930,000
15,428,206
20,358,206
951,406
6/30/2015
Baraboo
WI
110,000
719,613
None
None
110,000
719,613
829,613
57,398
3/28/2014
Mukwonago
WI
180,000
938,997
29,462
None
180,000
968,459
1,148,459
43,696
11/5/2015
Neenah
WI
200,000
1,343,343
None
None
200,000
1,343,343
1,543,343
109,706
12/31/2014
Insurance
Cedar Falls
IA
634,343
6,331,030
None
None
634,343
6,331,030
6,965,373
1,107,930
8/28/2012
Jewelry
Plymouth
MA
-
1,809,315
None
None
-
1,809,315
1,809,315
286,475
1/22/2013
Watchung
NJ
-
2,446,115
None
None
-
2,446,115
2,446,115
387,302
1/22/2013
Amherst
NY
-
1,841,863
None
None
-
1,841,863
1,841,863
291,628
1/22/2013
Lake Grove
NY
-
2,171,696
None
None
-
2,171,696
2,171,696
343,852
1/22/2013
Machinery
Tomah
WI
1,630,917
12,938,430
None
None
1,630,917
12,938,430
14,569,347
2,307,353
7/31/2012
Motor vehicle dealerships
Robertsdale
AL
3,026,015
6,117,490
None
None
3,026,015
6,117,490
9,143,505
2,449,858
1/29/2007
4/7/2006
West Covina
CA
311,040
577,733
252,854
45,714
311,040
876,301
1,187,341
474,228
12/31/1998
Longmont
CO
2,502,092
6,906,609
None
2,502,092
6,906,724
9,408,816
3,418,886
8/25/2004
Clearwater
FL
9,110,000
8,215,668
None
9,110,000
8,216,168
17,326,168
260,182
3/23/2016
Gulf Breeze
FL
3,518,413
905,480
None
None
3,518,413
905,480
4,423,893
387,847
4/7/2006
Pensacola
FL
308,067
573,708
23,430
2,775
308,067
599,913
907,980
256,038
11/22/2006
Sanford
FL
5,380,000
4,387,546
None
None
5,380,000
4,387,546
9,767,546
138,939
3/23/2016
Stockbridge
GA
2,470,000
8,693,515
None
None
2,470,000
8,693,515
11,163,515
1,202,603
7/18/2013
Woodstock
GA
2,509,102
2,509,993
None
None
2,509,102
2,509,993
5,019,095
1,125,313
10/25/2005
Island Lake
IL
2,107,134
6,383,412
None
None
2,107,134
6,383,412
8,490,546
2,955,879
12/31/2004
Louisville
KY
4,070,000
11,863,002
None
4,070,000
11,863,502
15,933,502
612,984
9/29/2015
South Portland
ME
7,692,000
-
None
None
7,692,000
-
7,692,000
-
12/22/2016
N/A
Charlotte
NC
3,560,000
5,847,436
None
None
3,560,000
5,847,436
9,407,436
730,930
11/26/2013
Colfax
NC
1,125,979
2,196,033
None
None
1,125,979
2,196,033
3,322,012
1,055,341
12/31/2004
Statesville
NC
2,353,825
4,159,653
None
None
2,353,825
4,159,653
6,513,478
1,975,316
5/13/2004
Chichester
NH
578,314
4,546,307
None
None
578,314
4,546,307
5,124,621
2,172,840
10/1/2004
Churchville
NY
1,000,000
5,755,166
None
None
1,000,000
5,755,166
6,755,166
2,432,536
6/6/2006
3/23/2006
Akron
OH
715,953
554,589
None
None
715,953
554,589
1,270,542
250,922
2/13/2006
1/19/2005
Hillsboro
OR
1,611,084
1,936,755
None
1,611,084
1,936,813
3,547,897
797,337
9/1/2006
Wood Village
OR
3,822,277
5,687,110
None
3,822,277
5,687,168
9,509,445
2,276,678
9/1/2006
Myrtle Beach
SC
4,099,824
2,081,997
(1,800,804
)
None
2,299,020
2,081,997
4,381,017
981,893
7/28/2000
3/3/2005
Fort Worth
TX
5,210,000
10,504,651
None
5,210,000
10,505,151
15,715,151
227,626
6/30/2016
Garland
TX
3,233,329
12,064,417
None
3,233,329
12,064,917
15,298,246
1,990,833
11/19/2012
Houston
TX
3,630,000
9,733,649
None
3,630,000
9,734,149
13,364,149
502,936
9/21/2015
Houston
TX
3,850,000
2,884,228
None
None
3,850,000
2,884,228
6,734,228
62,492
6/24/2016
Katy
TX
1,347,454
8,564,135
None
None
1,347,454
8,564,135
9,911,589
3,818,081
10/28/2005
1/25/2005
Plano
TX
5,040,000
3,520,851
None
None
5,040,000
3,520,851
8,560,851
76,285
6/24/2016
San Antonio
TX
4,337,454
7,312,625
None
4,337,454
7,313,125
11,650,579
1,182,412
12/13/2012
Office supplies
Lakewood
CA
1,398,387
3,098,607
None
10,284
1,398,387
3,108,891
4,507,278
2,482,755
1/29/1997
Riverside
CA
1,410,177
1,659,850
None
1,410,177
1,659,930
3,070,107
1,280,806
9/17/1997
Casselberry
FL
-
1,277,112
117,788
-
1,395,168
1,395,168
599,810
7/14/2005
1/25/2005
Hutchinson
KS
269,964
1,704,013
81,476
None
269,964
1,785,489
2,055,453
1,385,598
6/25/1997
Salina
KS
240,423
1,829,837
92,454
None
240,423
1,922,291
2,162,714
1,504,979
6/25/1997
Asheboro
NC
465,557
2,176,416
21,418
465,557
2,197,987
2,663,544
1,657,378
3/27/1998
Westbury
NY
3,808,076
2,377,932
236,278
338,968
3,808,076
2,953,178
6,761,254
2,056,854
9/29/1997
New Philadelphia
OH
726,636
1,650,672
29,340
726,636
1,680,126
2,406,762
1,320,367
5/30/1997
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Edmond
OK
1,390,000
3,009,650
284,935
None
1,390,000
3,294,585
4,684,585
793,995
10/22/2010
Other manufacturing
Prescott
AR
593,604
11,944,641
None
None
593,604
11,944,641
12,538,245
1,350,882
1/22/2013
Tucson
AZ
14,907,372
3,799,899
32,101,539
202,273
None
3,799,899
32,303,812
36,103,711
3,694,778
1/22/2013
East Windsor
NJ
9,625,000
240,000
13,307,041
22,563
None
240,000
13,329,604
13,569,604
1,031,827
4/30/2014
Marysville
OH
540,000
14,900,974
None
None
540,000
14,900,974
15,440,974
493,151
12/3/2015
Duncan
SC
490,000
2,292,068
2,900
None
490,000
2,294,968
2,784,968
221,782
8/29/2013
El Paso
TX
1,769,633
17,892,956
633,600
187,394
1,769,633
18,713,950
20,483,583
2,224,158
1/22/2013
McAllen
TX
6,012,467
332,107
12,786,107
None
None
332,107
12,786,107
13,118,214
15,222
12/21/2016
Packaging
Mundelein
IL
444,000
14,356,000
None
None
444,000
14,356,000
14,800,000
17,090
12/22/2016
Nicholasville
KY
1,000,000
15,932,000
None
None
1,000,000
15,932,000
16,932,000
170,700
8/22/2016
Lewisburg
OH
3,116,364
641,174
11,787,510
None
None
641,174
11,787,510
12,428,684
1,984,231
10/19/2012
Chester
VA
1,770,000
14,922,913
None
None
1,770,000
14,922,913
16,692,913
870,503
12/17/2014
Raphine
VA
2,679,884
21,236,904
None
None
2,679,884
21,236,904
23,916,788
4,707,514
6/3/2011
Wytheville
VA
2,175,524
33,138,859
2,255,121
None
2,175,524
35,393,980
37,569,504
5,596,422
11/29/2012
Paper
Marianna
FL
1,473,182
6,930,359
None
None
1,473,182
6,930,359
8,403,541
1,559,331
5/2/2011
Columbia
SC
989,232
5,004,326
None
None
989,232
5,004,326
5,993,558
577,880
12/21/2012
Pet supplies and services
Los Angeles
CA
902,494
1,676,204
437,070
182,667
902,494
2,295,941
3,198,435
1,270,083
12/31/1998
Duluth
GA
361,058
1,591,629
None
None
361,058
1,591,629
1,952,687
1,084,078
1/27/1999
9/29/1998
Marietta
GA
495,412
1,526,370
None
None
495,412
1,526,370
2,021,782
1,022,975
5/28/1999
9/29/1998
Ottawa
IL
2,351,842
52,407,677
237,848
None
2,351,842
52,645,525
54,997,367
6,040,042
1/22/2013
Indianapolis
IN
427,000
1,296,901
None
None
427,000
1,296,901
1,723,901
863,246
3/10/2000
1/19/1999
Sudbury
MA
543,038
2,477,213
None
None
543,038
2,477,213
3,020,251
1,629,900
11/12/1999
9/30/1998
Tyngsboro
MA
312,204
1,222,522
None
None
312,204
1,222,522
1,534,726
906,697
6/12/1998
Warren
MI
356,348
903,351
155,408
31,687
356,348
1,090,446
1,446,794
807,434
1/9/1998
North Plainfield
NJ
985,430
1,590,447
None
None
985,430
1,590,447
2,575,877
1,095,669
9/24/1998
Albuquerque
NM
684,036
874,914
308,265
None
684,036
1,183,179
1,867,215
849,828
12/31/1998
Maineville
OH
173,105
384,468
174,659
173,105
559,457
732,562
415,223
3/6/1987
Middletown
OH
337,572
777,943
41,328
22,683
337,572
841,954
1,179,526
641,105
12/30/1997
Mount Pleasant
SC
40,700
180,400
111,572
6,545
40,700
298,517
339,217
226,032
12/22/1981
Restaurants - casual dining
Boaz
AL
829,001
1,541,245
14,413
829,001
1,556,138
2,385,139
635,424
11/1/2006
Gadsden
AL
242,194
449,977
None
6,138
242,194
456,115
698,309
185,524
9/14/2006
Gadsden
AL
851,124
1,582,332
83,171
25,239
851,124
1,690,742
2,541,866
676,031
11/1/2006
Sylacauga
AL
801,413
1,490,012
71,434
19,187
801,413
1,580,633
2,382,046
628,305
11/1/2006
El Dorado
AR
907,534
1,687,608
117,309
20,759
907,534
1,825,676
2,733,210
718,282
11/1/2006
Jacksonville
AR
267,376
497,124
29,762
5,795
267,376
532,681
800,057
204,886
9/14/2006
Russellville
AR
864,497
-
None
24,800
864,497
24,800
889,297
3,737
11/1/2006
Flagstaff
AZ
846,045
1,980,383
None
None
846,045
1,980,383
2,826,428
62,712
3/30/2016
Glendale
AZ
624,761
895,976
189,347
50,859
624,761
1,136,182
1,760,943
804,410
3/6/1996
Glendale
AZ
1,940,000
1,889,732
None
None
1,940,000
1,889,732
3,829,732
59,842
3/30/2016
Goodyear
AZ
794,360
1,274,445
None
None
794,360
1,274,445
2,068,805
523,711
2/23/2006
4/8/2005
Surprise
AZ
681,288
1,008,310
None
None
681,288
1,008,310
1,689,598
477,714
9/29/2004
4/16/2004
La Verne
CA
-
1,477,413
None
None
-
1,477,413
1,477,413
233,924
1/22/2013
San Dimas
CA
240,562
445,521
91,821
2,690
240,562
540,032
780,594
526,832
3/12/1981
Denver
CO
540,250
1,132,450
None
None
540,250
1,132,450
1,672,700
543,011
7/29/2004
3/29/2004
Fort Collins
CO
898,688
2,103,607
None
None
898,688
2,103,607
3,002,295
66,614
3/30/2016
Lakewood
CO
1,606,511
5,865
None
None
1,606,511
5,865
1,612,376
2,905
7/26/2006
12/31/2002
Louisville
CO
997,040
1,721,700
None
None
997,040
1,721,700
2,718,740
54,521
3/30/2016
Parker
CO
778,054
1,148,443
None
4,363
778,054
1,152,806
1,930,860
529,095
6/10/2005
2/23/2005
Parker
CO
-
1,789,040
None
None
-
1,789,040
1,789,040
283,265
1/22/2013
Cromwell
CT
531,861
989,638
None
None
531,861
989,638
1,521,499
357,914
12/19/2007
East Windsor
CT
-
1,235,134
None
None
-
1,235,134
1,235,134
463,153
8/30/2007
Manchester
CT
-
1,353,727
None
None
-
1,353,727
1,353,727
507,625
8/30/2007
New Milford
CT
-
705,127
24,437
26,125
-
755,689
755,689
290,744
8/30/2007
Plainville
CT
-
1,452,933
None
None
-
1,452,933
1,452,933
544,828
8/30/2007
Tewksbury
CT
392,079
730,927
19,598
14,701
392,079
765,226
1,157,305
279,742
8/30/2007
Torrington
CT
504,167
939,051
75,434
10,000
504,167
1,024,485
1,528,652
391,279
8/30/2007
West Haven
CT
540,663
1,006,829
(191,944
)
25,142
540,663
840,027
1,380,690
407,519
8/30/2007
Windsor Locks
CT
844,967
1,571,965
None
None
844,967
1,571,965
2,416,932
589,470
8/30/2007
Jacksonville
FL
1,451,180
658,461
59,396
1,451,180
717,870
2,169,050
297,835
8/4/2006
5/9/2006
Lakeland
FL
1,018,551
1,273,189
None
None
1,018,551
1,273,189
2,291,740
201,588
1/22/2013
Land O’ Lakes
FL
770,136
1,190,937
None
None
770,136
1,190,937
1,961,073
518,746
10/21/2005
3/24/2005
Melbourne
FL
-
790,083
6,800
-
797,168
797,168
345,182
8/30/2007
New Port Richey
FL
929,402
1,459,392
56,969
32,400
929,402
1,548,761
2,478,163
652,871
11/13/2006
8/1/2006
Orange City
FL
1,290,082
1,612,603
None
None
1,290,082
1,612,603
2,902,685
255,329
1/22/2013
Orlando
FL
230,000
1,066,339
None
None
230,000
1,066,339
1,296,339
1,066,339
11/18/1985
Orlando
FL
1,135,310
1,306,940
15,082
18,309
1,135,310
1,340,331
2,475,641
531,528
1/10/2007
6/30/2006
Orlando
FL
735,000
1,367,891
None
None
735,000
1,367,891
2,102,891
512,942
8/30/2007
Orlando
FL
-
790,583
24,415
38,527
-
853,525
853,525
332,190
8/30/2007
Sebring
FL
737,465
921,832
None
None
737,465
921,832
1,659,297
145,957
1/22/2013
Vero Beach
FL
1,381,247
1,726,559
None
None
1,381,247
1,726,559
3,107,806
273,372
1/22/2013
Americus
GA
709,624
1,319,578
146,843
6,036
709,624
1,472,457
2,182,081
579,889
11/1/2006
Buford
GA
1,229,933
1,537,417
2,000
None
1,229,933
1,539,417
2,769,350
243,470
1/22/2013
Conyers
GA
1,047,499
2,451,936
None
None
1,047,499
2,451,936
3,499,435
77,645
3/30/2016
Douglasville
GA
1,345,928
2,324,166
None
None
1,345,928
2,324,166
3,670,094
73,599
3/30/2016
Gainesville
GA
922,954
2,160,409
None
None
922,954
2,160,409
3,083,363
68,413
3/30/2016
Garden City
GA
197,225
438,043
142,215
3,257
197,225
583,515
780,740
489,329
4/20/1989
Lithonia
GA
89,220
-
None
89,220
89,466
1/4/1985
N/A
Norcross
GA
827,707
1,538,875
115,596
16,522
827,707
1,670,993
2,498,700
690,503
11/1/2006
Savannah
GA
719,188
1,337,352
93,855
23,190
719,188
1,454,397
2,173,585
579,774
11/1/2006
Savannah
GA
1,204,088
2,079,235
None
None
1,204,088
2,079,235
3,283,323
65,842
3/30/2016
Snellville
GA
710,600
1,321,389
(995,794
)
710,600
326,127
1,036,727
571,805
11/1/2006
Statesboro
GA
926,462
1,722,290
None
19,800
926,462
1,742,090
2,668,552
699,424
11/1/2006
Suwanee
GA
1,490,000
2,065,314
None
None
1,490,000
2,065,314
3,555,314
65,402
3/30/2016
Thomasville
GA
894,504
1,662,939
87,387
26,155
894,504
1,776,481
2,670,985
730,612
11/1/2006
Valdosta
GA
901,658
1,676,225
4,820
30,696
901,658
1,711,741
2,613,399
707,211
11/1/2006
Warner Robins
GA
896,841
1,667,267
(1,259,913
)
896,841
407,703
1,304,544
718,187
11/1/2006
Warner Robins
GA
1,286,698
2,221,885
None
None
1,286,698
2,221,885
3,508,583
70,360
3/30/2016
Waycross
GA
956,765
1,778,566
None
None
956,765
1,778,566
2,735,331
720,318
11/1/2006
Ankeny
IA
100,000
349,218
25,075
100,000
374,851
474,851
374,318
7/28/1983
Burlington
IA
653,057
1,214,571
(578,090
)
653,057
637,238
1,290,295
495,572
11/1/2006
Cedar Rapids
IA
822,331
1,528,939
None
None
822,331
1,528,939
2,351,270
619,219
11/1/2006
Clive
IA
840,697
1,563,046
None
840,697
1,563,604
2,404,301
633,057
11/1/2006
Sioux City
IA
979,171
1,690,845
None
None
979,171
1,690,845
2,670,016
53,543
3/30/2016
Nampa
ID
74,156
343,820
28,206
None
74,156
372,026
446,182
356,118
12/31/1986
Rexburg
ID
90,760
420,787
59,798
None
90,760
480,585
571,345
445,672
11/25/1985
Alton
IL
225,785
419,315
75,320
23,817
225,785
518,452
744,237
426,530
10/18/1988
Champaign
IL
805,888
1,498,402
3,419
None
805,888
1,501,821
2,307,709
606,937
11/1/2006
Champaign
IL
590,000
2,081,355
None
None
590,000
2,081,355
2,671,355
65,910
3/30/2016
Effingham
IL
783,528
1,456,874
None
None
783,528
1,456,874
2,240,402
590,033
11/1/2006
Mount Vernon
IL
883,110
1,641,741
None
None
883,110
1,641,741
2,524,851
664,904
11/1/2006
Oswego
IL
953,394
1,208,677
1,988
32,405
953,394
1,243,070
2,196,464
558,832
6/15/2005
6/24/2005
Peoria
IL
662,460
1,060,577
14,651
12,085
662,460
1,087,313
1,749,773
528,481
10/13/2004
6/15/2004
Swansea
IL
890,625
1,655,743
288,559
21,851
890,625
1,966,153
2,856,778
822,033
11/1/2006
Waukegan
IL
1,330,000
2,470,909
None
1,330,000
2,470,917
3,800,917
893,645
12/21/2007
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Anderson
IN
831,077
1,545,131
16,655
30,694
831,077
1,592,480
2,423,557
655,060
11/1/2006
Evansville
IN
999,824
1,726,507
None
None
999,824
1,726,507
2,726,331
54,673
3/30/2016
Lafayette
IN
1,273,149
2,198,489
None
None
1,273,149
2,198,489
3,471,638
69,619
3/30/2016
Marion
IN
685,194
1,274,206
45,372
19,275
685,194
1,338,853
2,024,047
551,023
11/1/2006
Michigan City
IN
840,998
1,563,545
(887,415
)
840,998
676,523
1,517,521
633,487
11/1/2006
Terre Haute
IN
767,189
1,426,532
64,431
767,189
1,491,070
2,258,259
1,032,636
11/1/2006
El Dorado
KS
87,400
405,206
50,518
4,338
87,400
460,062
547,462
426,533
4/10/1986
Salina
KS
683,265
1,647,429
None
None
683,265
1,647,429
2,330,694
94,232
7/27/2015
12/17/2014
Shawnee
KS
953,916
1,773,245
None
None
953,916
1,773,245
2,727,161
718,163
11/1/2006
Shawnee
KS
-
1,573,049
None
None
-
1,573,049
1,573,049
249,066
1/22/2013
Topeka
KS
1,005,484
1,256,855
None
None
1,005,484
1,256,855
2,262,339
199,002
1/22/2013
Wichita
KS
900,768
2,108,474
None
None
900,768
2,108,474
3,009,242
66,768
3/30/2016
Murray
KY
831,246
1,545,422
111,189
26,343
831,246
1,682,954
2,514,200
674,059
11/1/2006
Richmond
KY
913,770
1,698,726
None
913,770
1,698,909
2,612,679
688,010
11/1/2006
Alexandria
LA
-
1,118,270
None
None
-
1,118,270
1,118,270
177,059
1/22/2013
Alexandria
LA
740,000
1,800,869
None
None
740,000
1,800,869
2,540,869
57,028
3/30/2016
Baton Rouge
LA
-
1,748,499
None
None
-
1,748,499
1,748,499
276,846
1/22/2013
Covington
LA
1,250,677
2,159,685
None
None
1,250,677
2,159,685
3,410,362
68,390
3/30/2016
Houma
LA
1,061,671
1,973,864
12,063
48,189
1,061,671
2,034,116
3,095,787
822,753
11/1/2006
Jennings
LA
107,120
496,636
17,656
1,742
107,120
516,034
623,154
499,937
10/17/1985
Lake Charles
LA
790,398
1,850,125
None
None
790,398
1,850,125
2,640,523
58,587
3/30/2016
Morgan City
LA
832,895
1,548,993
26,151
28,395
832,895
1,603,539
2,436,434
661,166
11/1/2006
New Iberia
LA
917,582
1,706,269
80,944
30,339
917,582
1,817,552
2,735,134
744,396
11/1/2006
Opelousas
LA
949,157
1,764,908
(1,243,612
)
949,157
521,863
1,471,020
748,072
11/1/2006
Ruston
LA
982,427
1,826,696
None
None
982,427
1,826,696
2,809,123
739,811
11/1/2006
Shreveport
LA
269,130
500,382
None
5,219
269,130
505,601
774,731
206,143
9/14/2006
Slidell
LA
1,340,000
2,019,213
None
None
1,340,000
2,019,213
3,359,213
43,750
6/29/2016
West Monroe
LA
839,404
1,964,836
None
None
839,404
1,964,836
2,804,240
62,220
3/30/2016
Zachary
LA
898,306
1,670,527
24,217
28,442
898,306
1,723,186
2,621,492
692,015
11/1/2006
Amesbury
MA
-
790,494
None
None
-
790,494
790,494
493,697
8/30/2007
Attleboro
MA
369,815
693,655
None
None
369,815
693,655
1,063,470
417,348
12/19/2001
Auburn
MA
418,250
779,623
None
418,250
780,123
1,198,373
292,808
8/30/2007
Chicopee
MA
761,606
1,417,624
None
None
761,606
1,417,624
2,179,230
531,592
8/30/2007
Chicopee Falls
MA
302,982
565,894
65,789
7,544
302,982
639,227
942,209
240,842
8/30/2007
East Longmeadow
MA
614,319
1,144,128
None
None
614,319
1,144,128
1,758,447
429,031
8/30/2007
Gardner
MA
625,000
828,564
None
None
625,000
828,564
1,453,564
472,877
8/30/2007
Great Barrington
MA
422,625
788,089
69,608
10,347
422,625
868,044
1,290,669
330,731
8/30/2007
Greenfield
MA
761,417
1,417,273
None
None
761,417
1,417,273
2,178,690
531,460
8/30/2007
Haverhill
MA
568,635
1,058,815
None
None
568,635
1,058,815
1,627,450
397,039
8/30/2007
Holyoke
MA
577,667
1,076,023
None
None
577,667
1,076,023
1,653,690
403,492
8/30/2007
Lee
MA
540,506
1,007,010
None
None
540,506
1,007,010
1,547,516
377,612
8/30/2007
North Adams
MA
377,300
703,914
46,114
377,300
750,379
1,127,679
267,643
8/30/2007
Norwood
MA
840,616
1,563,923
None
None
840,616
1,563,923
2,404,539
586,454
8/30/2007
Palmer
MA
141,524
598,480
None
None
141,524
598,480
740,004
360,084
12/19/2001
Peabody
MA
529,555
222,590
None
None
529,555
222,590
752,145
133,923
12/19/2001
Pittsfield
MA
286,241
950,022
None
None
286,241
950,022
1,236,263
571,595
12/19/2001
Raynham
MA
761,417
1,417,287
None
None
761,417
1,417,287
2,178,704
531,465
8/30/2007
Sagamore Beach
MA
620,188
1,155,007
None
None
620,188
1,155,007
1,775,195
433,110
8/30/2007
Saugus
MA
-
737,971
None
None
-
737,971
737,971
367,046
8/30/2007
Seekonk
MA
614,417
1,144,267
None
None
614,417
1,144,267
1,758,684
429,083
8/30/2007
South Dartmouth
MA
379,217
707,492
15,163
379,217
722,734
1,101,951
266,706
8/30/2007
Springfield
MA
230,030
865,572
None
None
230,030
865,572
1,095,602
520,784
12/19/2001
Springfield
MA
227,207
958,444
None
None
227,207
958,444
1,185,651
576,662
12/19/2001
Stoneham
MA
397,544
191,717
None
None
397,544
191,717
589,261
115,348
12/19/2001
Sudbury
MA
-
633,843
81,654
14,427
-
729,924
729,924
319,981
8/30/2007
Swansea
MA
173,853
488,699
None
None
173,853
488,699
662,552
294,032
12/19/2001
West Springfield
MA
243,556
455,532
104,424
9,894
243,556
569,850
813,406
207,254
8/30/2007
West Springfield
MA
761,417
1,417,273
None
None
761,417
1,417,273
2,178,690
531,460
8/30/2007
Wilbraham
MA
9,626,112
19,964,016
2,500
None
9,626,112
19,966,516
29,592,628
6,838,180
8/30/2007
Wollaston
MA
411,366
766,745
None
None
411,366
766,745
1,178,111
287,512
8/30/2007
Worcester
MA
578,336
1,077,426
None
None
578,336
1,077,426
1,655,762
404,017
8/30/2007
Waterville
ME
-
717,653
None
-
717,758
717,758
463,209
8/30/2007
Windham
ME
-
831,301
1,000
None
-
832,301
832,301
312,649
8/30/2007
Comstock Park
MI
810,477
1,506,864
70,386
810,477
1,577,505
2,387,982
632,277
11/1/2006
Flint
MI
827,853
-
5,631
827,853
5,725
833,578
4/13/1995
Flint
MI
885,144
1,645,531
70,987
32,018
885,144
1,748,536
2,633,680
720,416
11/1/2006
Lansing
MI
873,536
1,623,973
None
27,640
873,536
1,651,613
2,525,149
658,595
11/1/2006
Saginaw
MI
766,531
1,425,263
14,030
23,051
766,531
1,462,344
2,228,875
600,734
11/1/2006
Saginaw
MI
1,153,595
1,992,043
None
None
1,153,595
1,992,043
3,145,638
63,081
3/30/2016
Westland
MI
869,530
1,616,568
None
869,530
1,616,778
2,486,308
654,793
11/1/2006
Champlin
MN
583,515
729,394
None
None
583,515
729,394
1,312,909
115,487
1/22/2013
Inver Grove Hghts
MN
1,010,000
2,344,614
None
None
1,010,000
2,344,614
3,354,614
74,246
3/30/2016
Roseville
MN
281,600
1,305,560
None
281,600
1,305,848
1,587,448
1,305,678
12/18/1984
Bridgeton
MO
743,559
1,585,207
295,301
21,240
743,559
1,901,748
2,645,307
714,214
11/1/2006
Farmington
MO
780,812
1,451,767
214,865
25,259
780,812
1,691,891
2,472,703
651,977
11/1/2006
Festus
MO
808,595
1,503,364
(664,610
)
2,875
808,595
841,629
1,650,224
600,225
11/1/2006
Hazelwood
MO
157,117
725,327
(104,329
)
None
157,117
620,998
778,115
620,998
8/28/1985
Jefferson City
MO
713,088
1,325,993
98,612
22,035
713,088
1,446,640
2,159,728
560,656
11/1/2006
Kansas City
MO
715,640
894,550
None
None
715,640
894,550
1,610,190
141,637
1/22/2013
Kansas City
MO
872,364
1,090,455
None
None
872,364
1,090,455
1,962,819
172,655
1/22/2013
Ozark
MO
140,000
292,482
None
None
140,000
292,482
432,482
223,739
11/20/1997
Poplar Bluff
MO
774,256
1,439,603
None
None
774,256
1,439,603
2,213,859
583,038
11/1/2006
Raymore
MO
726,583
1,351,055
None
23,779
726,583
1,374,834
2,101,417
548,600
11/1/2006
Sedalia
MO
269,798
599,231
11,556
None
269,798
610,787
880,585
610,787
7/31/1989
Sedalia
MO
696,604
1,295,380
39,992
696,604
1,336,180
2,032,784
536,273
11/1/2006
Springfield
MO
-
1,390,167
None
None
-
1,390,167
1,390,167
220,110
1/22/2013
St. Charles
MO
175,413
809,791
None
175,413
809,872
985,285
809,823
8/28/1985
St. Charles
MO
695,121
1,001,878
None
1,149
695,121
1,003,027
1,698,148
843,651
12/22/1995
3/16/1995
St. Robert
MO
744,158
1,383,694
None
31,455
744,158
1,415,149
2,159,307
577,357
11/1/2006
Sullivan
MO
85,500
396,400
(40,743
)
13,500
85,500
369,157
454,657
366,207
12/27/1984
Columbus
MS
720,310
1,339,963
None
None
720,310
1,339,963
2,060,273
542,684
11/1/2006
Corinth
MS
867,086
1,612,029
None
867,086
1,612,110
2,479,196
652,903
11/1/2006
Flowood
MS
154,733
287,549
None
None
154,733
287,549
442,282
118,374
9/14/2006
Hattiesburg
MS
856,070
1,592,088
None
None
856,070
1,592,088
2,448,158
644,794
11/1/2006
Meridian
MS
-
2,481,172
231,363
19,128
-
2,731,663
2,731,663
999,029
11/1/2006
Vicksburg
MS
698,189
1,298,881
(736,106
)
698,189
563,465
1,261,654
577,381
11/1/2006
Durham
NC
1,034,787
2,422,182
None
None
1,034,787
2,422,182
3,456,969
76,702
3/30/2016
Forest City
NC
872,424
1,621,940
None
872,424
1,622,123
2,494,547
656,912
11/1/2006
Goldsboro
NC
811,502
1,509,029
72,109
35,050
811,502
1,616,188
2,427,690
667,230
11/1/2006
Greenville
NC
760,000
1,837,890
None
None
760,000
1,837,890
2,597,890
58,200
3/30/2016
Highpoint
NC
1,170,000
2,301,150
None
None
1,170,000
2,301,150
3,471,150
49,858
6/29/2016
Kernersville
NC
836,896
1,556,334
None
13,017
836,896
1,569,351
2,406,247
642,912
11/1/2006
Lumberton
NC
1,560,000
2,521,795
None
None
1,560,000
2,521,795
4,081,795
79,857
3/30/2016
Rocky Mount
NC
996,506
2,332,575
None
None
996,506
2,332,575
3,329,081
73,865
3/30/2016
Salisbury
NC
777,412
1,445,863
(821,200
)
None
777,412
624,663
1,402,075
585,573
11/1/2006
Salisbury
NC
650,000
2,103,127
None
None
650,000
2,103,127
2,753,127
45,568
6/29/2016
Southern Pines
NC
1,444,847
2,494,980
None
None
1,444,847
2,494,980
3,939,827
79,008
3/30/2016
Sylva
NC
919,724
1,709,783
None
919,724
1,709,914
2,629,638
692,588
11/1/2006
Winston-Salem
NC
1,093,829
2,560,382
None
None
1,093,829
2,560,382
3,654,211
81,079
3/30/2016
Bellevue
NE
656,061
1,004,384
None
None
656,061
1,004,384
1,660,445
448,178
9/20/2005
2/24/2005
Omaha
NE
592,716
1,009,253
None
592,716
1,009,285
1,602,001
461,928
5/5/2005
12/21/2004
Papillion
NE
654,788
908,685
None
None
654,788
908,685
1,563,473
420,214
3/9/2005
1/12/2005
Concord
NH
577,667
1,075,628
None
None
577,667
1,075,628
1,653,295
403,343
8/30/2007
Concord
NH
849,884
1,581,175
None
None
849,884
1,581,175
2,431,059
592,924
8/30/2007
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Dover
NH
687,917
1,280,378
None
None
687,917
1,280,378
1,968,295
480,125
8/30/2007
Laconia
NH
330,520
467,594
None
None
330,520
467,594
798,114
281,334
12/19/2001
Manchester
NH
266,337
486,676
None
None
266,337
486,676
753,013
292,815
12/19/2001
Portsmouth
NH
391,650
730,167
37,475
18,167
391,650
785,809
1,177,459
302,598
8/30/2007
Rochester
NH
262,059
695,771
None
None
262,059
695,771
957,830
418,620
12/19/2001
Clark
NJ
541,792
1,009,085
None
None
541,792
1,009,085
1,550,877
378,390
8/30/2007
Hackettstown
NJ
307,186
525,142
None
None
307,186
525,142
832,328
315,959
12/19/2001
Middletown
NJ
-
640,403
31,043
-
671,453
671,453
390,710
8/30/2007
Mount Holly
NJ
-
1,092,178
None
None
-
1,092,178
1,092,178
395,001
12/17/2007
Pompton Plains
NJ
455,700
849,125
88,127
17,448
455,700
954,700
1,410,400
325,900
8/30/2007
Toms River
NJ
826,449
1,537,659
None
None
826,449
1,537,659
2,364,108
576,605
8/30/2007
Albuquerque
NM
-
1,307,933
None
None
-
1,307,933
1,307,933
207,089
1/22/2013
Albany
NY
457,538
852,510
42,302
13,692
457,538
908,504
1,366,042
348,131
8/30/2007
Clifton Park
NY
1,040,997
1,936,100
None
None
1,040,997
1,936,100
2,977,097
726,020
8/30/2007
Delmar
NY
316,382
590,387
24,178
14,789
316,382
629,354
945,736
249,353
8/30/2007
East Greenbush
NY
623,313
1,160,389
None
None
623,313
1,160,389
1,783,702
435,129
8/30/2007
New Hartford
NY
226,041
422,563
None
None
226,041
422,563
648,604
158,444
8/30/2007
Plattsburgh
NY
977,012
1,817,269
None
None
977,012
1,817,269
2,794,281
681,459
8/30/2007
Rochester
NY
-
1,911,958
None
None
-
1,911,958
1,911,958
302,727
1/22/2013
Akron
OH
723,347
248,731
23,690
723,347
272,438
995,785
39,142
12/22/1994
Akron
OH
318,182
593,654
39,113
16,560
318,182
649,327
967,509
223,981
8/30/2007
Dayton
OH
1,284,902
2,218,783
None
None
1,284,902
2,218,783
3,503,685
70,261
3/30/2016
Defiance
OH
71,273
135,109
None
None
71,273
135,109
206,382
50,649
8/30/2007
Elyria
OH
79,545
150,491
None
None
79,545
150,491
230,036
56,417
8/30/2007
Marion
OH
739,651
1,375,358
None
None
739,651
1,375,358
2,115,009
557,019
11/1/2006
Mason
OH
770,000
2,246,001
None
None
770,000
2,246,001
3,016,001
48,663
6/29/2016
Maumee
OH
296,970
555,134
None
None
296,970
555,134
852,104
208,155
8/30/2007
Mount Vernon
OH
147,212
276,407
None
None
147,212
276,407
423,619
103,634
8/30/2007
Parma Heights
OH
275,758
514,866
None
None
275,758
514,866
790,624
193,058
8/30/2007
Sandusky
OH
824,270
1,532,494
None
None
824,270
1,532,494
2,356,764
620,659
11/1/2006
Sandusky
OH
128,158
240,761
None
None
128,158
240,761
368,919
90,268
8/30/2007
Springdale
OH
1,895,200
2,369,000
None
None
1,895,200
2,369,000
4,264,200
375,092
1/22/2013
Stow
OH
317,546
712,455
None
317,546
712,569
1,030,115
712,569
12/31/1987
Westlake
OH
922,871
2,160,212
None
None
922,871
2,160,212
3,083,083
68,407
3/30/2016
Wooster
OH
763,642
1,419,901
None
None
763,642
1,419,901
2,183,543
575,059
11/1/2006
Broken Arrow
OK
245,000
369,002
30,742
10,278
245,000
410,022
655,022
307,589
12/12/1997
Norman
OK
734,335
335,097
None
78,164
734,335
413,261
1,147,596
191,783
9/29/1995
6/5/1995
Norman
OK
1,260,559
2,176,748
None
None
1,260,559
2,176,748
3,437,307
68,930
3/30/2016
Oklahoma City
OK
759,826
-
228,699
34,874
759,826
263,573
1,023,399
17,486
7/6/1995
Oklahoma City
OK
1,165,405
2,165,989
None
45,131
1,165,405
2,211,120
3,376,525
893,664
11/1/2006
Ponca City
OK
625,000
1,454,300
None
None
625,000
1,454,300
2,079,300
69,485
10/7/2015
1/20/2015
Tulsa
OK
490,000
910,004
None
None
490,000
910,004
1,400,004
398,885
1/24/2006
Tulsa
OK
360,500
669,605
14,520
None
360,500
684,125
1,044,625
286,962
5/10/2006
Tulsa
OK
1,021,904
1,899,486
29,140
21,989
1,021,904
1,950,615
2,972,519
784,553
11/1/2006
Beaverton
OR
-
1,689,352
None
None
-
1,689,352
1,689,352
267,481
1/22/2013
Hermiston
OR
85,560
396,675
73,725
10,433
85,560
480,833
566,393
425,690
12/18/1984
Lake Oswego
OR
175,899
815,508
181,383
41,962
175,899
1,038,853
1,214,752
870,318
5/16/1984
Salem
OR
-
865,668
None
None
-
865,668
865,668
137,064
1/22/2013
Feasterville Trev
PA
236,303
441,673
None
None
236,303
441,673
677,976
165,610
8/30/2007
Gap
PA
-
1,012,812
1,000
None
-
1,013,812
1,013,812
380,715
8/30/2007
Gettysburg
PA
289,040
809,676
None
None
289,040
809,676
1,098,716
487,153
12/19/2001
Harrisburg
PA
577,667
1,075,635
None
22,033
577,667
1,097,668
1,675,335
410,004
8/30/2007
Horsham
PA
554,361
1,032,352
None
None
554,361
1,032,352
1,586,713
387,115
8/30/2007
Indiana
PA
828,653
1,540,630
61,487
17,739
828,653
1,619,856
2,448,509
659,395
11/1/2006
Lancaster
PA
170,304
413,960
None
None
170,304
413,960
584,264
249,064
12/19/2001
Lebanon
PA
-
1,292,172
None
None
-
1,292,172
1,292,172
563,342
8/30/2007
Philadelphia
PA
503,556
937,999
None
None
503,556
937,999
1,441,555
351,733
8/30/2007
North Providence
RI
-
790,921
None
None
-
790,921
790,921
427,535
8/30/2007
Columbia
SC
1,100,000
1,829,980
None
None
1,100,000
1,829,980
2,929,980
57,949
3/30/2016
Florence
SC
956,430
2,238,768
None
None
956,430
2,238,768
3,195,198
70,894
3/30/2016
Gaffney
SC
727,738
1,353,238
57,635
727,738
1,411,108
2,138,846
579,478
11/1/2006
Greenwood
SC
822,783
1,420,792
None
None
822,783
1,420,792
2,243,575
44,992
3/30/2016
Hilton Head
SC
1,218,232
1,522,790
None
None
1,218,232
1,522,790
2,741,022
241,108
1/22/2013
Lancaster
SC
778,616
1,448,099
(1,056,134
)
778,616
392,458
1,171,074
591,196
11/1/2006
N Myrtle Beach
SC
945,478
2,213,132
None
None
945,478
2,213,132
3,158,610
70,083
3/30/2016
Rock Hill
SC
826,216
1,536,499
46,661
826,216
1,583,640
2,409,856
637,206
11/1/2006
Rock Hill
SC
1,150,000
2,178,624
None
None
1,150,000
2,178,624
3,328,624
68,990
3/30/2016
Sumter
SC
1,232,145
2,127,682
None
None
1,232,145
2,127,682
3,359,827
67,377
3/30/2016
Sioux Falls
SD
1,046,609
1,807,297
None
None
1,046,609
1,807,297
2,853,906
57,231
3/30/2016
Bartlett
TN
420,000
674,437
76,972
20,326
420,000
771,735
1,191,735
505,479
5/12/1999
2/23/1999
Chattanooga
TN
827,594
1,538,633
186,235
827,594
1,725,403
2,552,997
689,981
11/1/2006
Dyersburg
TN
695,135
1,292,644
146,259
None
695,135
1,438,903
2,134,038
591,180
11/1/2006
Greeneville
TN
936,669
1,741,253
None
936,669
1,741,384
2,678,053
705,333
11/1/2006
Johnson City
TN
881,225
1,638,285
167,447
16,066
881,225
1,821,798
2,703,023
707,013
11/1/2006
Kingsport
TN
786,332
1,462,055
(1,002,020
)
786,332
460,511
1,246,843
672,057
11/1/2006
Memphis
TN
871,951
1,621,017
255,627
871,951
1,876,654
2,748,605
704,981
11/1/2006
Memphis
TN
1,217,412
1,521,765
None
None
1,217,412
1,521,765
2,739,177
240,946
1/22/2013
Memphis
TN
-
1,336,687
None
None
-
1,336,687
1,336,687
211,642
1/22/2013
Morristown
TN
182,935
340,274
None
10,826
182,935
351,100
534,035
150,964
12/22/2005
Murfreesboro
TN
1,428,122
2,466,098
None
None
1,428,122
2,466,098
3,894,220
78,093
3/30/2016
Newport
TN
640,841
1,191,858
71,563
9,856
640,841
1,273,277
1,914,118
519,870
11/1/2006
Amarillo
TX
763,283
1,995,460
None
None
763,283
1,995,460
2,758,743
646,798
9/12/2008
3/3/2008
Amarillo
TX
609,000
1,486,302
None
None
609,000
1,486,302
2,095,302
85,846
7/13/2015
10/3/2014
Austin
TX
699,395
1,167,223
None
699,395
1,167,367
1,866,762
499,095
2/15/2006
9/15/2005
Austin
TX
976,803
1,361,281
36,880
30,504
976,803
1,428,665
2,405,468
598,670
10/23/2006
6/19/2006
Bedford
TX
919,303
98,231
23,966
919,303
122,336
1,041,639
110,507
12/27/1994
Cedar Park
TX
634,489
1,472,504
None
634,489
1,472,770
2,107,259
614,217
6/19/2006
1/13/2006
El Campo
TX
98,060
454,631
None
None
98,060
454,631
552,691
454,631
11/25/1985
El Paso
TX
-
1,399,487
None
None
-
1,399,487
1,399,487
221,585
1/22/2013
El Paso
TX
-
1,591,758
None
None
-
1,591,758
1,591,758
252,028
1/22/2013
Georgetown
TX
870,981
1,177,824
168,185
870,981
1,346,289
2,217,270
610,645
6/2/2006
1/13/2006
Greenville
TX
909,311
1,690,848
34,606
27,914
909,311
1,753,368
2,662,679
737,671
11/1/2006
Harker Heights
TX
943,812
1,897,644
None
None
943,812
1,897,644
2,841,456
621,467
8/28/2008
3/20/2008
Hillsboro
TX
75,992
352,316
158,254
9,364
75,992
519,934
595,926
423,624
8/1/1984
Houston
TX
1,096,376
2,300,690
235,500
102,443
1,096,376
2,638,633
3,735,009
2,074,904
9/5/1997
Houston
TX
989,152
1,838,713
None
25,823
989,152
1,864,536
2,853,688
763,934
11/1/2006
Irving
TX
1,500,411
2,156
None
None
1,500,411
2,156
1,502,567
1,197
2/5/2003
Killeen
TX
1,327,348
2,467,204
17,494
28,845
1,327,348
2,513,543
3,840,891
1,017,254
11/1/2006
Live Oak
TX
727,956
1,214,835
181,920
727,956
1,397,029
2,124,985
669,666
9/27/2005
6/1/2005
Longview
TX
1,231,857
2,289,864
None
1,231,857
2,289,916
3,521,773
927,395
11/1/2006
Lufkin
TX
105,904
490,998
None
None
105,904
490,998
596,902
490,998
10/8/1985
Mesquite
TX
134,940
625,612
None
134,940
625,752
760,692
625,619
3/20/1986
Mesquite
TX
729,596
120,820
None
729,596
120,911
850,507
120,876
12/23/1994
Mexia
TX
93,620
434,046
50,273
11,861
93,620
496,180
589,800
470,257
12/18/1985
New Braunfels
TX
860,262
1,169,016
250,000
56,399
860,262
1,475,415
2,335,677
740,824
2/14/2006
10/12/2005
Palestine
TX
825,066
1,534,394
59,064
26,449
825,066
1,619,907
2,444,973
644,798
11/1/2006
Plano
TX
2,420,222
None
None
2,420,222
2,420,991
3/12/2003
6/27/2002
San Antonio
TX
835,431
1,185,257
None
49,500
835,431
1,234,757
2,070,188
559,155
12/2/2005
6/24/2005
San Antonio
TX
690,443
1,109,136
None
40,500
690,443
1,149,636
1,840,079
521,128
10/24/2005
6/27/2005
San Antonio
TX
835,586
1,227,220
None
45,000
835,586
1,272,220
2,107,806
537,525
9/14/2006
5/9/2006
Sugar Land
TX
1,376,186
1,720,233
None
None
1,376,186
1,720,233
3,096,419
272,370
1/22/2013
Temple
TX
797,574
1,193,813
1,350
797,574
1,195,307
1,992,881
494,563
9/14/2006
4/7/2006
Waxahachie
TX
326,935
726,137
64,925
20,790
326,935
811,852
1,138,787
758,689
12/29/1987
Waxahachie
TX
1,035,794
1,925,746
None
1,035,794
1,925,911
2,961,705
780,089
11/1/2006
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Centerville
UT
1,056,314
1,320,393
None
None
1,056,314
1,320,393
2,376,707
209,062
1/22/2013
Bluefield
VA
845,277
1,571,754
None
None
845,277
1,571,754
2,417,031
636,559
11/1/2006
Charlottesville
VA
-
1,283,010
None
None
-
1,283,010
1,283,010
203,143
1/22/2013
Chester
VA
541,628
1,008,771
None
None
541,628
1,008,771
1,550,399
378,272
8/30/2007
Christiansburg
VA
1,335,724
2,306,544
None
None
1,335,724
2,306,544
3,642,268
73,041
3/30/2016
Danville
VA
751,055
1,396,772
66,062
18,130
751,055
1,480,964
2,232,019
618,396
11/1/2006
Martinsville
VA
833,114
1,549,167
71,660
13,084
833,114
1,633,911
2,467,025
644,155
11/1/2006
Midlothian
VA
421,479
785,639
248,110
27,205
421,479
1,060,954
1,482,433
412,213
8/30/2007
Richmond
VA
385,000
717,891
(114,900
)
385,000
603,136
988,136
263,870
8/30/2007
Roanoke
VA
-
1,660,095
None
None
-
1,660,095
1,660,095
262,848
1/22/2013
Staunton
VA
867,684
1,613,368
39,262
None
867,684
1,652,630
2,520,314
676,689
11/1/2006
Williamsburg
VA
651,167
1,212,201
16,985
651,167
1,229,291
1,880,458
456,383
8/30/2007
Williamsburg
VA
1,550,000
1,836,709
None
None
1,550,000
1,836,709
3,386,709
39,795
6/29/2016
Bennington
VT
118,823
673,551
None
None
118,823
673,551
792,374
405,251
12/19/2001
Rutland
VT
812,197
1,511,184
None
None
812,197
1,511,184
2,323,381
566,677
8/30/2007
Williston
VT
-
1,197,659
None
None
-
1,197,659
1,197,659
558,926
8/30/2007
Madison
WI
770,000
2,243,040
None
None
770,000
2,243,040
3,013,040
71,030
3/30/2016
Martinsburg
WV
1,169,275
2,019,119
None
None
1,169,275
2,019,119
3,188,394
63,939
3/30/2016
Parkersburg
WV
722,732
1,343,920
63,217
33,305
722,732
1,440,442
2,163,174
619,502
11/1/2006
Restaurants - quick service
Alabaster
AL
335,197
622,697
None
None
335,197
622,697
957,894
256,344
9/14/2006
Alabaster
AL
550,000
1,588,482
None
None
550,000
1,588,482
2,138,482
66,187
12/16/2015
Aliceville
AL
950,000
1,215,379
None
None
950,000
1,215,379
2,165,379
50,641
12/16/2015
Andalusia
AL
252,403
468,949
None
None
252,403
468,949
721,352
193,051
9/14/2006
Athens
AL
560,000
1,324,359
None
None
560,000
1,324,359
1,884,359
50,767
1/5/2016
Atmore
AL
272,044
505,636
None
None
272,044
505,636
777,680
310,961
8/31/2001
Attalla
AL
148,993
276,890
None
None
148,993
276,890
425,883
113,986
9/14/2006
Bessemer
AL
172,438
320,429
None
None
172,438
320,429
492,867
131,910
9/14/2006
Birmingham
AL
251,434
467,185
None
None
251,434
467,185
718,619
287,315
8/31/2001
Birmingham
AL
650,000
1,426,647
None
None
650,000
1,426,647
2,076,647
54,688
1/5/2016
Brent
AL
134,432
249,846
None
None
134,432
249,846
384,278
102,853
9/14/2006
Chelsea
AL
490,000
1,347,268
None
None
490,000
1,347,268
1,837,268
83,082
6/26/2015
Clanton
AL
230,036
427,391
None
None
230,036
427,391
657,427
262,843
8/31/2001
Clanton
AL
570,000
1,308,215
None
None
570,000
1,308,215
1,878,215
54,509
12/16/2015
Clanton
AL
770,000
1,594,248
None
None
770,000
1,594,248
2,364,248
61,113
1/5/2016
Demopolis
AL
251,349
466,972
None
None
251,349
466,972
718,321
287,186
8/31/2001
Evergreen
AL
148,982
276,881
None
None
148,982
276,881
425,863
113,983
9/14/2006
Fayette
AL
1,160,000
1,208,911
None
None
1,160,000
1,208,911
2,368,911
38,282
3/18/2016
Fort Payne
AL
303,056
563,001
None
None
303,056
563,001
866,057
346,243
8/31/2001
Fort Payne
AL
814,113
1,513,596
None
814,113
1,513,779
2,327,892
1,513,623
11/1/2006
Gardendale
AL
398,669
740,568
None
None
398,669
740,568
1,139,237
455,447
8/31/2001
Greenville
AL
226,108
420,117
None
None
226,108
420,117
646,225
172,948
9/14/2006
Haleyville
AL
262,500
488,357
None
None
262,500
488,357
750,857
176,621
12/21/2007
Hamilton
AL
214,198
397,991
None
None
214,198
397,991
612,189
163,840
9/14/2006
Hanceville
AL
290,000
1,426,914
None
None
290,000
1,426,914
1,716,914
59,455
12/16/2015
Hartselle
AL
820,000
1,232,323
None
None
820,000
1,232,323
2,052,323
51,347
12/16/2015
Henagar
AL
530,000
1,688,777
None
None
530,000
1,688,777
2,218,777
53,478
3/18/2016
Hokes Bluff
AL
720,000
1,748,671
None
None
720,000
1,748,671
2,468,671
72,861
12/16/2015
Jacksonville
AL
680,000
1,270,736
None
None
680,000
1,270,736
1,950,736
78,362
6/26/2015
Jasper
AL
850,000
1,219,115
None
None
850,000
1,219,115
2,069,115
50,796
12/16/2015
Leeds
AL
171,145
318,028
None
None
171,145
318,028
489,173
130,922
9/14/2006
Lincoln
AL
1,200,000
1,392,694
None
None
1,200,000
1,392,694
2,592,694
53,387
1/5/2016
Lineville
AL
900,000
1,251,388
None
None
900,000
1,251,388
2,151,388
52,141
12/16/2015
McCalla
AL
610,000
1,303,425
None
None
610,000
1,303,425
1,913,425
80,378
6/26/2015
Meridianville
AL
250,000
1,430,680
None
None
250,000
1,430,680
1,680,680
54,843
1/5/2016
Millbrook
AL
650,000
1,691,984
None
None
650,000
1,691,984
2,341,984
70,499
12/16/2015
Mobile
AL
286,333
531,950
None
None
286,333
531,950
818,283
218,986
9/14/2006
Montgomery
AL
143,693
267,060
None
None
143,693
267,060
410,753
109,940
9/14/2006
Montgomery
AL
145,206
269,870
None
None
145,206
269,870
415,076
111,096
9/14/2006
Montgomery
AL
380,468
706,777
None
None
380,468
706,777
1,087,245
288,601
10/12/2006
Moody
AL
530,000
1,819,472
None
None
530,000
1,819,472
2,349,472
57,617
3/18/2016
Northport
AL
832,541
1,040,676
None
None
832,541
1,040,676
1,873,217
164,774
1/22/2013
Oneonta
AL
1,190,000
1,151,263
None
None
1,190,000
1,151,263
2,341,263
47,969
12/16/2015
Opp
AL
160,778
298,782
None
None
160,778
298,782
459,560
122,003
10/12/2006
Pell City
AL
490,000
1,288,925
None
None
490,000
1,288,925
1,778,925
79,484
6/26/2015
Prattville
AL
254,278
472,432
None
None
254,278
472,432
726,710
194,484
9/14/2006
Russellville
AL
630,000
1,184,964
None
None
630,000
1,184,964
1,814,964
45,424
1/5/2016
Selma
AL
910,000
969,042
None
None
910,000
969,042
1,879,042
37,147
1/5/2016
Southside
AL
681,987
1,404,324
None
None
681,987
1,404,324
2,086,311
58,513
12/16/2015
Thomasville
AL
190,000
490,466
None
None
190,000
490,466
680,466
20,436
12/22/2015
Trussville
AL
256,485
476,510
None
None
256,485
476,510
732,995
194,575
10/12/2006
Vernon
AL
680,000
1,125,994
None
None
680,000
1,125,994
1,805,994
46,916
12/16/2015
Warrior
AL
159,109
295,676
None
None
159,109
295,676
454,785
121,720
9/14/2006
Warrior
AL
1,070,000
932,540
None
None
1,070,000
932,540
2,002,540
35,747
1/5/2016
Winfield
AL
770,000
1,237,048
None
None
770,000
1,237,048
2,007,048
39,173
3/18/2016
Arkadelphia
AR
248,868
462,744
None
None
248,868
462,744
711,612
188,954
10/12/2006
Bentonville
AR
377,086
700,582
None
None
377,086
700,582
1,077,668
430,854
8/31/2001
Hope
AR
288,643
536,715
None
None
288,643
536,715
825,358
330,071
8/31/2001
Jonesboro
AR
173,984
323,371
99,392
11,807
173,984
434,570
608,554
131,959
11/16/2007
Malvern
AR
219,703
408,588
None
None
219,703
408,588
628,291
168,202
9/14/2006
North Little Rock
AR
317,000
589,377
None
None
317,000
589,377
906,377
362,458
8/31/2001
Pocahontas
AR
241,128
447,988
None
None
241,128
447,988
689,116
182,928
10/12/2006
Siloam Springs
AR
190,000
352,808
None
None
190,000
352,808
542,808
269,888
11/20/1997
Phoenix
AZ
704,014
1,307,998
(145,542
)
None
558,472
1,307,998
1,866,470
490,497
8/28/2007
Tucson
AZ
107,393
500,154
None
None
107,393
500,154
607,547
498,792
1/17/1986
Tucson
AZ
463,231
860,982
None
None
463,231
860,982
1,324,213
322,866
8/28/2007
Yuma
AZ
236,121
541,651
None
None
236,121
541,651
777,772
403,526
5/28/1998
Barstow
CA
689,842
690,204
None
689,842
690,393
1,380,235
505,008
9/24/1998
Fresno
CA
561,502
1,043,688
None
None
561,502
1,043,688
1,605,190
391,379
8/28/2007
Livermore
CA
662,161
823,242
None
None
662,161
823,242
1,485,403
602,342
9/23/1998
Rancho Cucamonga
CA
95,192
441,334
None
None
95,192
441,334
536,526
441,334
12/20/1985
Riverside
CA
90,000
170,394
135,301
None
90,000
305,695
395,695
251,166
12/9/1976
Sacramento
CA
386,793
417,290
None
None
386,793
417,290
804,083
308,099
7/31/1998
San Ramon
CA
406,000
1,126,930
None
None
406,000
1,126,930
1,532,930
1,126,930
12/8/1983
Aurora
CO
288,558
537,322
None
None
288,558
537,322
825,880
201,491
8/28/2007
Aurora
CO
210,000
540,346
None
None
210,000
540,346
750,346
116,174
8/29/2011
Broomfield
CO
444,277
-
None
None
444,277
-
444,277
-
8/29/2011
N/A
Brush
CO
90,000
220,976
None
None
90,000
220,976
310,976
47,510
8/29/2011
Castle Rock
CO
670,000
744,760
None
670,000
744,837
1,414,837
43,458
7/21/2015
Colorado Springs
CO
152,000
704,736
None
None
152,000
704,736
856,736
704,736
9/30/1986
Fort Morgan
CO
80,000
350,452
None
None
80,000
350,452
430,452
75,347
8/29/2011
Greenwood Village
CO
1,681,038
-
None
None
1,681,038
-
1,681,038
-
6/19/2014
N/A
Lafayette
CO
450,000
59,281
None
None
450,000
59,281
509,281
12,745
8/29/2011
Lakewood
CO
510,000
124,971
None
None
510,000
124,971
634,971
26,869
8/29/2011
Littleton
CO
260,000
508,347
None
None
260,000
508,347
768,347
109,295
8/29/2011
Littleton
CO
470,000
207,744
None
None
470,000
207,744
677,744
44,665
8/29/2011
Westminster
CO
261,466
487,102
None
None
261,466
487,102
748,568
182,661
8/28/2007
Meriden
CT
369,482
687,116
None
None
369,482
687,116
1,056,598
257,666
8/28/2007
Bartow
FL
480,000
500,603
None
None
480,000
500,603
980,603
29,202
7/21/2015
Chipley
FL
270,439
502,655
None
None
270,439
502,655
773,094
309,128
8/31/2001
Clearwater
FL
484,090
899,658
None
None
484,090
899,658
1,383,748
337,370
8/28/2007
Clearwater
FL
370,000
512,393
None
None
370,000
512,393
882,393
110,165
8/29/2011
Dade City
FL
140,000
387,991
None
None
140,000
387,991
527,991
83,418
8/29/2011
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Defuniak Springs
FL
269,554
501,010
None
None
269,554
501,010
770,564
308,116
8/31/2001
Dunedin
FL
440,000
100,727
None
None
440,000
100,727
540,727
21,656
8/29/2011
Jacksonville
FL
150,210
693,445
None
None
150,210
693,445
843,655
693,445
9/13/1985
Lake Placid
FL
220,000
206,076
None
None
220,000
206,076
426,076
44,306
8/29/2011
Lakeland
FL
310,000
519,387
None
None
310,000
519,387
829,387
111,668
8/29/2011
Lakeland
FL
530,000
556,704
None
None
530,000
556,704
1,086,704
119,691
8/29/2011
Lakeland
FL
170,000
288,777
None
None
170,000
288,777
458,777
62,087
8/29/2011
New Port Richey
FL
260,000
579,385
None
None
260,000
579,385
839,385
124,568
8/29/2011
Orlando
FL
600,000
949,489
None
None
600,000
949,489
1,549,489
669,611
5/27/1999
12/18/1998
Oviedo
FL
204,200
911,338
None
None
204,200
911,338
1,115,538
612,270
3/27/2000
8/24/1999
Oviedo
FL
456,108
847,515
None
None
456,108
847,515
1,303,623
377,144
11/21/2005
Oviedo
FL
465,993
866,048
None
None
465,993
866,048
1,332,041
324,766
8/28/2007
Palm Bay
FL
330,000
556,668
None
None
330,000
556,668
886,668
396,283
2/17/1999
12/29/1998
Panama City
FL
202,047
375,424
None
None
202,047
375,424
577,471
153,298
10/12/2006
Pensacola
FL
767,303
1,424,991
None
None
767,303
1,424,991
2,192,294
239,873
10/15/2012
Port Richey
FL
848,210
1,575,247
None
None
848,210
1,575,247
2,423,457
265,167
10/15/2012
Saint Petersburg
FL
379,455
705,487
None
None
379,455
705,487
1,084,942
264,555
8/28/2007
Saint Petersburg
FL
370,000
675,403
None
None
370,000
675,403
1,045,403
145,212
8/29/2011
Seffner
FL
200,000
209,679
None
None
200,000
209,679
409,679
45,081
8/29/2011
Tallahassee
FL
385,000
715,857
None
None
385,000
715,857
1,100,857
258,901
12/25/2007
Tallahassee
FL
175,000
325,857
None
None
175,000
325,857
500,857
117,851
12/25/2007
Tampa
FL
545,211
1,013,321
None
None
545,211
1,013,321
1,558,532
379,993
8/28/2007
Tampa
FL
470,000
208,666
None
None
470,000
208,666
678,666
44,863
8/29/2011
Tampa
FL
430,000
589,949
None
None
430,000
589,949
1,019,949
126,839
8/29/2011
Temple Terrace
FL
962,500
1,788,133
None
None
962,500
1,788,133
2,750,633
670,548
8/28/2007
Venice
FL
340,000
28,239
None
None
340,000
28,239
368,239
6,071
8/29/2011
Wauchula
FL
260,000
324,525
None
None
260,000
324,525
584,525
69,773
8/29/2011
Zephyrhills
FL
220,000
662,046
None
None
220,000
662,046
882,046
142,340
8/29/2011
Augusta
GA
410,000
722,093
None
None
410,000
722,093
1,132,093
42,122
7/27/2015
Bowdon
GA
760,000
1,388,891
None
None
760,000
1,388,891
2,148,891
57,870
12/16/2015
Bremen
GA
600,000
1,682,353
None
None
600,000
1,682,353
2,282,353
47,667
4/26/2016
Buford
GA
400,000
361,957
None
None
400,000
361,957
761,957
77,821
8/29/2011
Buford
GA
1,085,401
1,356,752
None
None
1,085,401
1,356,752
2,442,153
214,819
1/22/2013
Cairo
GA
210,000
390,566
None
None
210,000
390,566
600,566
141,255
12/25/2007
Cumming
GA
520,000
248,510
None
None
520,000
248,510
768,510
53,430
8/29/2011
Duluth
GA
536,205
996,521
None
None
536,205
996,521
1,532,726
373,694
8/28/2007
Evans
GA
416,474
849,080
None
None
416,474
849,080
1,265,554
49,530
7/27/2015
Grovetown
GA
540,000
1,223,410
None
None
540,000
1,223,410
1,763,410
71,366
7/27/2015
Hartwell
GA
869,716
1,087,145
None
None
869,716
1,087,145
1,956,861
172,131
1/22/2013
Lawrenceville
GA
220,000
384,908
None
None
220,000
384,908
604,908
82,755
8/29/2011
Lilburn
GA
237,822
442,409
None
None
237,822
442,409
680,231
165,901
8/28/2007
Lilburn
GA
380,000
338,634
None
None
380,000
338,634
718,634
72,806
8/29/2011
Loganville
GA
340,000
422,840
None
None
340,000
422,840
762,840
90,911
8/29/2011
Marietta
GA
423,132
786,530
None
None
423,132
786,530
1,209,662
294,947
8/28/2007
Martinez
GA
517,290
1,054,618
None
None
517,290
1,054,618
1,571,908
61,519
7/27/2015
Norcross
GA
310,000
286,762
None
None
310,000
286,762
596,762
61,654
8/29/2011
Oakwood
GA
440,000
100,481
None
None
440,000
100,481
540,481
21,603
8/29/2011
Roswell
GA
310,767
578,088
None
None
310,767
578,088
888,855
216,779
8/28/2007
Tallapoosa
GA
1,110,000
1,300,294
None
None
1,110,000
1,300,294
2,410,294
54,179
12/16/2015
Thomasville
GA
300,211
558,074
None
None
300,211
558,074
858,285
246,482
12/22/2005
Washington
GA
292,628
543,862
None
None
292,628
543,862
836,490
334,470
8/31/2001
Waycross
GA
223,475
415,563
None
None
223,475
415,563
639,038
183,540
12/22/2005
Winder
GA
230,000
429,116
None
None
230,000
429,116
659,116
92,260
8/29/2011
Altoona
IA
426,834
792,693
None
None
426,834
792,693
1,219,527
149,290
4/17/2012
Cedar Falls
IA
208,411
387,971
None
None
208,411
387,971
596,382
171,353
12/22/2005
Cedar Falls
IA
187,250
349,057
None
187,250
349,335
536,585
126,357
12/21/2007
Fort Dodge
IA
388,815
722,573
None
None
388,815
722,573
1,111,388
297,459
9/14/2006
Oelwein
IA
84,244
157,375
None
84,244
157,653
241,897
69,625
12/22/2005
Ottumwa
IA
393,010
729,875
None
None
393,010
729,875
1,122,885
135,027
5/25/2012
Urbandale
IA
395,896
735,724
None
None
395,896
735,724
1,131,620
302,873
9/14/2006
Waterloo
IA
397,055
1,264,461
None
397,055
1,264,739
1,661,794
2/28/2006
Boise
ID
190,894
824,305
None
None
190,894
824,305
1,015,199
511,912
5/17/1988
Boise
ID
161,352
735,104
None
None
161,352
735,104
896,456
422,102
10/7/1988
Bethalto
IL
180,000
166,596
None
None
180,000
166,596
346,596
35,818
8/29/2011
Buffalo Grove
IL
306,250
569,693
None
None
306,250
569,693
875,943
213,632
8/28/2007
Cahokia
IL
70,000
613,995
None
None
70,000
613,995
683,995
132,009
8/29/2011
Carlyle
IL
80,000
428,860
None
None
80,000
428,860
508,860
92,205
8/29/2011
Centralia
IL
225,966
420,573
None
None
225,966
420,573
646,539
185,752
12/22/2005
Countryside
IL
301,000
559,824
None
None
301,000
559,824
860,824
209,930
8/28/2007
Edwardsville
IL
360,000
328,978
None
None
360,000
328,978
688,978
70,730
8/29/2011
Elgin
IL
700,000
1,300,943
None
None
700,000
1,300,943
2,000,943
487,851
8/28/2007
Fairview Heights
IL
660,652
1,227,321
None
None
660,652
1,227,321
1,887,973
546,158
11/21/2005
Godfrey
IL
200,000
282,701
None
None
200,000
282,701
482,701
60,781
8/29/2011
Gurnee
IL
735,000
1,365,747
None
None
735,000
1,365,747
2,100,747
512,153
8/28/2007
Harrisburg
IL
401,819
1,303,225
None
None
401,819
1,303,225
1,705,044
184,624
6/14/2013
Highland
IL
130,000
454,866
None
None
130,000
454,866
584,866
97,796
8/29/2011
Jerseyville
IL
150,000
420,481
None
None
150,000
420,481
570,481
90,403
8/29/2011
Joliet
IL
280,903
522,424
None
None
280,903
522,424
803,327
195,907
8/28/2007
Lincoln
IL
206,532
383,970
None
None
206,532
383,970
590,502
236,136
8/31/2001
Litchfield
IL
130,000
363,760
None
None
130,000
363,760
493,760
78,208
8/29/2011
Marion
IL
423,340
1,373,026
None
None
423,340
1,373,026
1,796,366
194,512
6/14/2013
Mascoutah
IL
80,000
435,792
None
None
80,000
435,792
515,792
93,695
8/29/2011
Mount Vernon
IL
385,304
1,249,662
None
None
385,304
1,249,662
1,634,966
177,035
6/14/2013
Red Bud
IL
180,000
251,200
None
None
180,000
251,200
431,200
54,008
8/29/2011
Rock Island
IL
138,463
258,066
None
None
138,463
258,066
396,529
113,978
12/22/2005
Sparta
IL
240,000
236,571
None
None
240,000
236,571
476,571
50,863
8/29/2011
Sparta
IL
228,687
741,703
None
None
228,687
741,703
970,390
105,075
6/14/2013
Troy
IL
230,000
281,230
None
None
230,000
281,230
511,230
60,464
8/29/2011
Waukegan
IL
496,908
923,576
None
None
496,908
923,576
1,420,484
346,339
8/28/2007
Westmont
IL
475,300
883,468
None
None
475,300
883,468
1,358,768
331,298
8/28/2007
Wood River
IL
180,000
369,377
None
None
180,000
369,377
549,377
79,416
8/29/2011
Angola
IN
510,000
1,120,000
None
None
510,000
1,120,000
1,630,000
91,467
12/31/2014
Angola
IN
390,000
1,170,039
None
None
390,000
1,170,039
1,560,039
91,653
1/22/2015
Auburn
IN
394,008
1,383,992
None
None
394,008
1,383,992
1,778,000
113,026
12/31/2014
Bluffton
IN
377,609
1,326,391
None
None
377,609
1,326,391
1,704,000
108,322
12/31/2014
Bluffton
IN
240,910
689,892
None
None
240,910
689,892
930,802
54,042
1/22/2015
Chesterton
IN
480,000
1,140,302
None
None
480,000
1,140,302
1,620,302
20,906
7/6/2016
Columbia City
IN
520,000
1,480,000
None
None
520,000
1,480,000
2,000,000
120,867
12/31/2014
Connersville
IN
360,000
1,286,631
None
None
360,000
1,286,631
1,646,631
15,011
9/30/2016
Crawfordsville
IN
300,000
1,552,000
None
None
300,000
1,552,000
1,852,000
126,747
12/31/2014
Crown Point
IN
230,000
1,275,660
None
None
230,000
1,275,660
1,505,660
23,387
7/6/2016
Decatur
IN
361,211
1,268,789
None
None
361,211
1,268,789
1,630,000
103,618
12/31/2014
Decatur
IN
270,000
876,597
None
None
270,000
876,597
1,146,597
68,667
1/22/2015
Elkhart
IN
496,306
922,168
None
None
496,306
922,168
1,418,474
410,365
11/21/2005
Evansville
IN
136,738
680,754
None
136,738
681,088
817,826
114,803
12/22/2005
Evansville
IN
817,347
939,841
None
None
817,347
939,841
1,757,188
1,566
12/8/2016
Fort Wayne
IN
270,000
1,211,000
None
None
270,000
1,211,000
1,481,000
98,898
12/31/2014
Fort Wayne
IN
390,000
973,000
None
None
390,000
973,000
1,363,000
79,462
12/31/2014
Fort Wayne
IN
377,668
1,326,332
None
None
377,668
1,326,332
1,704,000
108,317
12/31/2014
Fort Wayne
IN
476,075
1,671,925
None
None
476,075
1,671,925
2,148,000
136,541
12/31/2014
Fort Wayne
IN
328,243
1,152,757
None
None
328,243
1,152,757
1,481,000
94,142
12/31/2014
Fort Wayne
IN
860,000
1,436,000
None
None
860,000
1,436,000
2,296,000
117,273
12/31/2014
Fort Wayne
IN
328,243
1,152,757
None
None
328,243
1,152,757
1,481,000
94,142
12/31/2014
Fort Wayne
IN
330,000
1,579,222
None
None
330,000
1,579,222
1,909,222
123,706
1/22/2015
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Fort Wayne
IN
600,000
764,942
None
None
600,000
764,942
1,364,942
29,323
1/14/2016
Fort Wayne
IN
730,000
778,621
None
None
730,000
778,621
1,508,621
29,847
1/14/2016
Fort Wayne
IN
738,399
849,061
None
None
738,399
849,061
1,587,460
1,415
12/8/2016
Fort Wayne
IN
500,899
575,968
None
None
500,899
575,968
1,076,867
12/8/2016
Fort Wayne
IN
759,855
873,732
None
None
759,855
873,732
1,633,587
1,456
12/8/2016
Frankfort
IN
140,000
897,000
None
None
140,000
897,000
1,037,000
73,255
12/31/2014
Hobart
IN
510,000
1,179,227
None
None
510,000
1,179,227
1,689,227
21,619
7/6/2016
Huntington
IN
377,609
1,326,391
None
None
377,609
1,326,391
1,704,000
108,322
12/31/2014
Indianapolis
IN
437,500
813,225
None
None
437,500
813,225
1,250,725
304,958
8/28/2007
Jasper
IN
129,919
242,199
None
None
129,919
242,199
372,118
106,970
12/22/2005
Kendallville
IN
630,000
1,889,000
None
None
630,000
1,889,000
2,519,000
154,268
12/31/2014
Kokomo
IN
417,330
775,555
None
None
417,330
775,555
1,192,885
334,781
3/28/2006
Lafayette
IN
344,866
1,211,134
None
None
344,866
1,211,134
1,556,000
98,909
12/31/2014
Lebanon
IN
350,000
1,131,000
None
None
350,000
1,131,000
1,481,000
92,365
12/31/2014
Logansport
IN
170,000
1,311,000
None
None
170,000
1,311,000
1,481,000
107,065
12/31/2014
Marion
IN
426,384
792,314
None
None
426,384
792,314
1,218,698
349,938
12/13/2005
Michigan City
IN
620,000
1,414,291
None
None
620,000
1,414,291
2,034,291
25,929
7/6/2016
Muncie
IN
136,400
632,380
8,000
None
136,400
640,380
776,780
632,380
3/18/1986
Muncie
IN
67,156
149,157
61,665
3,408
67,156
214,230
281,386
166,563
3/30/1988
Muncie
IN
644,177
1,196,786
None
None
644,177
1,196,786
1,840,963
532,570
11/21/2005
Munster
IN
560,000
1,040,943
None
None
560,000
1,040,943
1,600,943
390,351
8/28/2007
New Haven
IN
328,243
1,152,757
None
None
328,243
1,152,757
1,481,000
94,142
12/31/2014
Noblesville
IN
430,000
977,000
None
None
430,000
977,000
1,407,000
79,788
12/31/2014
North Manchester
IN
210,000
679,000
None
None
210,000
679,000
889,000
55,452
12/31/2014
Plymouth
IN
370,000
1,006,612
None
None
370,000
1,006,612
1,376,612
18,455
7/6/2016
Portland
IN
262,598
922,402
None
None
262,598
922,402
1,185,000
75,330
12/31/2014
Rensselaer
IN
270,000
1,123,344
None
None
270,000
1,123,344
1,393,344
20,595
7/6/2016
Saint John
IN
360,000
1,236,085
None
None
360,000
1,236,085
1,596,085
22,662
7/6/2016
South Bend
IN
133,200
617,545
None
133,200
617,679
750,879
617,679
4/28/1986
Valparaiso
IN
365,612
679,507
None
None
365,612
679,507
1,045,119
297,851
1/11/2006
Valparaiso
IN
660,000
1,218,171
None
None
660,000
1,218,171
1,878,171
22,333
7/6/2016
Valparaiso
IN
920,000
1,348,113
None
None
920,000
1,348,113
2,268,113
24,715
7/6/2016
Wabash
IN
210,000
679,505
None
None
210,000
679,505
889,505
53,228
1/22/2015
Warsaw
IN
328,243
1,152,757
None
None
328,243
1,152,757
1,481,000
94,142
12/31/2014
Washington
IN
155,856
290,368
None
None
155,856
290,368
446,224
128,245
12/22/2005
West Lafayette
IN
344,866
1,211,134
None
None
344,866
1,211,134
1,556,000
98,909
12/31/2014
Chanute
KS
330,852
615,008
None
None
330,852
615,008
945,860
253,178
9/14/2006
Fort Scott
KS
269,301
500,698
None
None
269,301
500,698
769,999
206,121
9/14/2006
Kansas City
KS
190,000
700,039
None
None
190,000
700,039
890,039
150,508
8/29/2011
Kansas City
KS
170,000
214,040
None
None
170,000
214,040
384,040
46,019
8/29/2011
Kansas City
KS
210,000
624,304
None
None
210,000
624,304
834,304
134,225
8/29/2011
Kansas City
KS
140,000
767,812
None
None
140,000
767,812
907,812
165,079
8/29/2011
Lawrence
KS
410,000
338,788
None
None
410,000
338,788
748,788
72,839
8/29/2011
Overland Park
KS
754,020
1,401,069
None
None
754,020
1,401,069
2,155,089
525,398
8/28/2007
Parsons
KS
318,516
592,099
None
None
318,516
592,099
910,615
243,747
9/14/2006
Bowling Green
KY
685,246
1,273,002
None
None
685,246
1,273,002
1,958,248
566,486
11/21/2005
Hazard
KY
243,836
453,025
None
243,836
453,033
696,869
186,504
9/14/2006
Lexington
KY
122,200
1,400
None
31,495
122,200
32,895
155,095
15,901
12/3/1986
Madisonville
KY
422,501
784,831
None
None
422,501
784,831
1,207,332
323,089
9/14/2006
Madisonville
KY
360,000
1,172,182
None
None
360,000
1,172,182
1,532,182
25,397
6/29/2016
Paducah
KY
673,551
1,251,276
None
None
673,551
1,251,276
1,924,827
556,818
11/21/2005
Bossier City
LA
172,269
320,497
None
None
172,269
320,497
492,766
131,938
9/14/2006
Deridder
LA
371,127
690,819
None
None
371,127
690,819
1,061,946
263,649
6/22/2007
Jonesboro
LA
163,651
304,492
None
None
163,651
304,492
468,143
125,349
9/14/2006
Natchitoches
LA
291,675
541,890
None
None
291,675
541,890
833,565
333,260
8/31/2001
Ruston
LA
170,274
316,792
None
None
170,274
316,792
487,066
130,413
9/14/2006
Shreveport
LA
359,268
667,417
None
None
359,268
667,417
1,026,685
410,459
8/31/2001
Shreveport
LA
154,671
287,815
None
None
154,671
287,815
442,486
118,484
9/14/2006
Shreveport
LA
200,033
372,059
None
None
200,033
372,059
572,092
153,164
9/14/2006
Shreveport
LA
259,987
-
None
None
259,987
-
259,987
-
9/14/2006
Vivian
LA
135,568
252,338
None
None
135,568
252,338
387,906
103,879
9/14/2006
Winnfield
LA
145,973
271,661
None
None
145,973
271,661
417,634
111,834
9/14/2006
Fall River
MA
962,500
1,787,831
None
None
962,500
1,787,831
2,750,331
670,436
8/28/2007
Hagerstown
MD
499,396
928,250
None
None
499,396
928,250
1,427,646
348,092
8/28/2007
Auburn
ME
422,898
486,276
None
None
422,898
486,276
909,174
12/8/2016
Bath
ME
317,382
555,515
None
None
317,382
555,515
872,897
12/8/2016
Lewiston
ME
722,573
830,864
None
None
722,573
830,864
1,553,437
1,385
12/8/2016
Lewiston
ME
644,450
741,032
None
None
644,450
741,032
1,385,482
1,235
12/8/2016
South Paris
ME
461,046
806,973
None
None
461,046
806,973
1,268,019
1,345
12/8/2016
Alma
MI
430,000
958,127
None
None
430,000
958,127
1,388,127
75,053
1/22/2015
Alma
MI
240,000
1,140,714
None
None
240,000
1,140,714
1,380,714
89,356
1/22/2015
Alpena
MI
630,000
773,434
None
None
630,000
773,434
1,403,434
60,586
1/22/2015
Bridgeport
MI
200,000
687,178
None
None
200,000
687,178
887,178
53,829
1/22/2015
Brownstown Twnshp
MI
380,000
1,072,130
None
None
380,000
1,072,130
1,452,130
23,229
6/29/2016
Cadillac
MI
180,000
1,372,789
None
None
180,000
1,372,789
1,552,789
107,535
1/22/2015
Canton
MI
279,923
521,223
None
None
279,923
521,223
801,146
195,456
8/28/2007
Clare
MI
360,000
1,544,858
None
None
360,000
1,544,858
1,904,858
121,014
1/22/2015
Commerce Township
MI
720,000
781,679
None
None
720,000
781,679
1,501,679
9,120
9/30/2016
Fraser
MI
470,000
1,061,927
None
None
470,000
1,061,927
1,531,927
26,548
5/18/2016
Gaylord
MI
680,000
1,344,159
None
None
680,000
1,344,159
2,024,159
105,292
1/22/2015
Grand Rapids
MI
600,000
969,204
None
None
600,000
969,204
1,569,204
75,921
1/22/2015
Grand Rapids
MI
490,000
1,090,246
None
None
490,000
1,090,246
1,580,246
85,403
1/22/2015
Grayling
MI
130,000
665,292
None
None
130,000
665,292
795,292
52,115
1/22/2015
Houghton Lake
MI
170,000
664,188
None
None
170,000
664,188
834,188
52,028
1/22/2015
Imlay City
MI
670,943
1,174,356
None
None
670,943
1,174,356
1,845,299
1,957
12/8/2016
Ithaca
MI
350,000
812,266
None
None
350,000
812,266
1,162,266
63,628
1/22/2015
Jackson
MI
1,420,000
1,162,384
None
None
1,420,000
1,162,384
2,582,384
36,809
3/23/2016
Kentwood
MI
480,000
1,025,674
None
None
480,000
1,025,674
1,505,674
59,831
7/21/2015
Lansing
MI
1,090,000
1,333,712
None
None
1,090,000
1,333,712
2,423,712
42,234
3/23/2016
Livonia
MI
350,000
651,446
None
None
350,000
651,446
1,001,446
244,290
8/28/2007
Ludington
MI
460,000
1,043,729
None
None
460,000
1,043,729
1,503,729
81,759
1/22/2015
Plymouth
MI
670,000
900,391
None
None
670,000
900,391
1,570,391
10,505
9/30/2016
Royal Oak
MI
600,777
690,814
None
None
600,777
690,814
1,291,591
1,151
12/8/2016
Saginaw
MI
200,000
897,681
None
None
200,000
897,681
1,097,681
70,318
1/22/2015
Sault St. Marie
MI
380,000
1,326,583
None
None
380,000
1,326,583
1,706,583
103,916
1/22/2015
Southfield
MI
520,000
1,482,762
None
None
520,000
1,482,762
2,002,762
32,127
6/29/2016
St John’s
MI
670,000
1,154,736
None
None
670,000
1,154,736
1,824,736
36,567
3/23/2016
St. Clair Shores
MI
670,000
948,391
None
None
670,000
948,391
1,618,391
11,065
9/30/2016
Sterling Heights
MI
910,000
832,868
None
None
910,000
832,868
1,742,868
9,717
9/30/2016
Taylor
MI
250,000
925,883
None
None
250,000
925,883
1,175,883
20,061
6/29/2016
Traverse City
MI
280,000
1,092,232
None
None
280,000
1,092,232
1,372,232
85,558
1/22/2015
Walker
MI
590,000
1,132,002
None
None
590,000
1,132,002
1,722,002
88,673
1/22/2015
West Branch
MI
680,038
1,947,424
None
None
680,038
1,947,424
2,627,462
152,548
1/22/2015
Affton
MO
120,000
171,955
None
None
120,000
171,955
291,955
36,970
8/29/2011
Bolivar
MO
237,094
440,596
None
None
237,094
440,596
677,690
270,963
8/31/2001
Bridgeton
MO
570,000
228,347
None
None
570,000
228,347
798,347
49,095
8/29/2011
Buffalo
MO
159,346
296,519
None
None
159,346
296,519
455,865
122,067
9/14/2006
Cape Girardeau
MO
450,078
836,372
None
None
450,078
836,372
1,286,450
366,610
1/11/2006
Desloge
MO
1,020,010
1,275,012
None
None
1,020,010
1,275,012
2,295,022
201,877
1/22/2013
Dexter
MO
315,830
1,024,338
None
None
315,830
1,024,338
1,340,168
145,115
6/14/2013
Farmington
MO
340,042
1,102,863
None
None
340,042
1,102,863
1,442,905
156,239
6/14/2013
Florissant
MO
290,000
86,396
None
None
290,000
86,396
376,396
18,575
8/29/2011
Florissant
MO
250,000
239,221
None
None
250,000
239,221
489,221
51,433
8/29/2011
Grandview
MO
280,000
235,370
None
None
280,000
235,370
515,370
50,604
8/29/2011
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Joplin
MO
301,207
749,000
None
None
301,207
749,000
1,050,207
141,551
9/14/2006
Joplin
MO
281,001
522,428
None
None
281,001
522,428
803,429
215,066
9/14/2006
Kansas City
MO
230,000
484,010
None
None
230,000
484,010
714,010
104,062
8/29/2011
Kansas City
MO
200,000
339,994
None
None
200,000
339,994
539,994
73,099
8/29/2011
Lee’s Summit
MO
500,000
450,156
None
None
500,000
450,156
950,156
96,783
8/29/2011
Mount Vernon
MO
160,000
282,586
None
None
160,000
282,586
442,586
216,168
11/20/1997
Mountain Grove
MO
219,704
408,591
None
None
219,704
408,591
628,295
168,203
9/14/2006
Nevada
MO
290,795
540,616
None
None
290,795
540,616
831,411
222,554
9/14/2006
Nixa
MO
251,387
467,430
None
None
251,387
467,430
718,817
192,425
9/14/2006
Olivette
MO
319,958
1,037,725
None
None
319,958
1,037,725
1,357,683
147,011
6/14/2013
Poplar Bluff
MO
362,265
1,174,938
None
None
362,265
1,174,938
1,537,203
166,450
6/14/2013
Poplar Bluff
MO
383,603
1,244,145
None
None
383,603
1,244,145
1,627,748
176,254
6/14/2013
Potosi
MO
242,154
785,383
None
None
242,154
785,383
1,027,537
111,263
6/14/2013
Raymore
MO
460,000
663,580
None
None
460,000
663,580
1,123,580
142,670
8/29/2011
Sikeston
MO
327,805
1,063,176
None
None
327,805
1,063,176
1,390,981
150,617
6/14/2013
Springfield
MO
251,381
467,418
None
None
251,381
467,418
718,799
192,421
9/14/2006
Springfield
MO
225,939
420,162
None
None
225,939
420,162
646,101
171,566
10/12/2006
St. Louis
MO
340,000
88,519
None
None
340,000
88,519
428,519
19,032
8/29/2011
St. Louis
MO
500,000
184,049
None
None
500,000
184,049
684,049
39,571
8/29/2011
St. Louis
MO
263,107
853,340
None
None
263,107
853,340
1,116,447
120,890
6/14/2013
St. Robert
MO
329,242
611,728
None
None
329,242
611,728
940,970
376,209
8/31/2001
Webb City
MO
337,647
627,628
None
None
337,647
627,628
965,275
258,374
9/14/2006
Biloxi
MS
414,902
770,725
None
None
414,902
770,725
1,185,627
317,282
9/14/2006
Canton
MS
163,193
303,268
None
None
163,193
303,268
466,461
124,845
9/14/2006
Carthage
MS
157,803
293,257
None
None
157,803
293,257
451,060
120,724
9/14/2006
Columbus
MS
128,409
238,775
None
None
128,409
238,775
367,184
105,459
12/22/2005
Columbus
MS
117,411
218,350
None
None
117,411
218,350
335,761
96,437
12/22/2005
Columbus
MS
470,000
1,438,148
None
None
470,000
1,438,148
1,908,148
55,129
1/5/2016
Corinth
MS
285,607
530,598
None
None
285,607
530,598
816,205
218,429
9/14/2006
Flowood
MS
470,000
1,456,444
None
None
470,000
1,456,444
1,926,444
60,685
12/22/2015
Forest
MS
106,457
198,007
None
None
106,457
198,007
304,464
87,452
12/22/2005
Fulton
MS
239,686
445,337
None
None
239,686
445,337
685,023
273,880
8/31/2001
Gautier
MS
241,995
449,607
None
None
241,995
449,607
691,602
185,088
9/14/2006
Greenville
MS
311,324
578,378
None
None
311,324
578,378
889,702
355,700
8/31/2001
Greenwood
MS
177,329
329,520
None
None
177,329
329,520
506,849
135,653
9/14/2006
Grenada
MS
450,000
922,929
None
None
450,000
922,929
1,372,929
38,455
12/22/2015
Houston
MS
226,962
421,695
None
None
226,962
421,695
648,657
173,598
9/14/2006
Indianola
MS
270,639
502,822
None
None
270,639
502,822
773,461
309,233
8/31/2001
Iuka
MS
139,243
258,779
None
None
139,243
258,779
398,022
106,531
9/14/2006
Jackson
MS
237,982
442,154
None
None
237,982
442,154
680,136
182,020
9/14/2006
Jackson
MS
352,003
653,900
None
None
352,003
653,900
1,005,903
267,009
10/12/2006
Jackson
MS
500,000
548,535
None
None
500,000
548,535
1,048,535
22,856
12/22/2015
Jackson
MS
440,000
1,139,753
None
None
440,000
1,139,753
1,579,753
47,490
12/22/2015
Jackson
MS
480,000
618,357
None
None
480,000
618,357
1,098,357
25,765
12/22/2015
Kosciusko
MS
311,422
578,550
None
None
311,422
578,550
889,972
238,170
9/14/2006
Magee
MS
264,395
491,206
None
None
264,395
491,206
755,601
202,213
9/14/2006
Moss Point
MS
287,821
534,713
None
None
287,821
534,713
822,534
220,124
9/14/2006
Natchez
MS
402,589
747,934
None
None
402,589
747,934
1,150,523
300,420
12/21/2006
Newton
MS
284,350
528,311
None
None
284,350
528,311
812,661
324,908
8/31/2001
Olive Branch
MS
332,234
617,192
None
None
332,234
617,192
949,426
254,077
9/14/2006
Olive Branch
MS
362,276
673,055
None
None
362,276
673,055
1,035,331
245,665
11/16/2007
Oxford
MS
297,182
552,097
None
297,182
552,123
849,305
225,445
10/12/2006
Pearl
MS
265,646
722,221
None
None
265,646
722,221
987,867
30,093
12/22/2015
Philadelphia
MS
292,868
543,912
None
None
292,868
543,912
836,780
223,911
9/14/2006
Pontotoc
MS
285,006
529,492
None
None
285,006
529,492
814,498
217,974
9/14/2006
Richland
MS
364,900
897,118
None
None
364,900
897,118
1,262,018
37,380
12/22/2015
Ridgeland
MS
460,000
1,021,885
None
None
460,000
1,021,885
1,481,885
32,360
3/11/2016
Southaven
MS
498,426
925,905
None
None
498,426
925,905
1,424,331
337,955
11/16/2007
Southaven
MS
300,000
889,884
None
None
300,000
889,884
1,189,884
37,078
12/22/2015
Southaven
MS
468,858
1,152,703
None
None
468,858
1,152,703
1,621,561
48,029
12/22/2015
Starkville
MS
175,436
326,005
None
None
175,436
326,005
501,441
134,205
9/14/2006
Tupelo
MS
166,869
310,095
None
None
166,869
310,095
476,964
127,656
9/14/2006
Tupelo
MS
225,934
419,857
None
None
225,934
419,857
645,791
172,841
9/28/2006
Vicksburg
MS
275,895
512,632
None
None
275,895
512,632
788,527
211,034
9/28/2006
Vicksburg
MS
410,000
608,682
None
None
410,000
608,682
1,018,682
25,362
12/22/2015
West Point
MS
87,859
163,468
1,828
None
87,859
165,296
253,155
72,248
12/22/2005
Wiggins
MS
268,104
498,095
None
None
268,104
498,095
766,199
205,049
9/14/2006
Butte
MT
1,070,000
786,953
None
None
1,070,000
786,953
1,856,953
11,804
8/4/2016
Great Falls
MT
940,000
810,900
None
None
940,000
810,900
1,750,900
12,164
8/4/2016
Helena
MT
760,000
816,231
None
None
760,000
816,231
1,576,231
12,243
8/4/2016
Kalispell
MT
650,000
1,009,793
None
None
650,000
1,009,793
1,659,793
21,879
6/30/2016
Kalispell
MT
810,000
835,779
None
None
810,000
835,779
1,645,779
18,109
6/30/2016
Missoula
MT
-
837,402
None
None
-
837,402
837,402
18,144
6/30/2016
Missoula
MT
860,000
822,122
None
None
860,000
822,122
1,682,122
17,813
6/30/2016
Asheville
NC
264,226
491,419
None
None
264,226
491,419
755,645
184,280
8/28/2007
Charlotte
NC
468,859
955,879
None
None
468,859
955,879
1,424,738
55,760
7/27/2015
Charlotte
NC
210,000
662,231
None
None
210,000
662,231
872,231
38,630
7/27/2015
Charlotte
NC
460,000
988,464
None
None
460,000
988,464
1,448,464
57,660
7/27/2015
Charlotte
NC
458,612
934,988
None
None
458,612
934,988
1,393,600
54,541
7/27/2015
Clinton
NC
380,000
962,394
None
None
380,000
962,394
1,342,394
68,972
3/25/2015
Concord
NC
860,000
955,176
None
None
860,000
955,176
1,815,176
4,776
11/22/2016
Connelly Springs
NC
390,000
1,002,204
None
None
390,000
1,002,204
1,392,204
5,011
11/22/2016
Dallas
NC
530,000
973,642
None
None
530,000
973,642
1,503,642
4,868
11/22/2016
Gastonia
NC
280,000
839,425
None
None
280,000
839,425
1,119,425
4,197
11/22/2016
Granite Falls
NC
1,412,026
1,765,032
None
None
1,412,026
1,765,032
3,177,058
279,463
1/22/2013
High Point
NC
872,587
1,090,734
None
None
872,587
1,090,734
1,963,321
172,699
1/22/2013
Hildebran
NC
966,417
1,208,021
None
None
966,417
1,208,021
2,174,438
191,270
1/22/2013
Kinston
NC
320,000
836,583
None
None
320,000
836,583
1,156,583
59,955
3/25/2015
Lincolnton
NC
1,811,063
2,263,829
None
None
1,811,063
2,263,829
4,074,892
358,440
1/22/2013
N Wilkesboro
NC
630,448
724,931
None
None
630,448
724,931
1,355,379
1,208
12/8/2016
Newton
NC
960,000
1,010,399
None
None
960,000
1,010,399
1,970,399
5,052
11/22/2016
Raeford
NC
773,505
966,881
None
None
773,505
966,881
1,740,386
153,089
1/22/2013
Salisbury
NC
540,000
1,235,415
None
None
540,000
1,235,415
1,775,415
6,177
11/22/2016
Southport
NC
460,000
1,214,095
None
None
460,000
1,214,095
1,674,095
87,010
3/11/2015
Stanley
NC
566,546
651,454
None
None
566,546
651,454
1,218,000
1,086
12/8/2016
Thomasville
NC
983,522
1,229,402
None
None
983,522
1,229,402
2,212,924
194,655
1/22/2013
Walkertown
NC
1,033,636
1,292,046
None
None
1,033,636
1,292,046
2,325,682
204,574
1/22/2013
Wallace
NC
230,000
905,484
None
None
230,000
905,484
1,135,484
64,893
3/25/2015
Winston Salem
NC
353,239
656,427
None
None
353,239
656,427
1,009,666
403,697
8/31/2001
Winston Salem
NC
126,423
235,323
None
None
126,423
235,323
361,746
103,934
12/22/2005
Devils Lake
ND
150,390
279,798
None
None
150,390
279,798
430,188
123,577
12/22/2005
Fargo
ND
217,057
403,609
None
None
217,057
403,609
620,666
178,260
12/22/2005
Jamestown
ND
136,523
254,045
None
None
136,523
254,045
390,568
112,203
12/22/2005
Minot
ND
153,870
286,260
None
None
153,870
286,260
440,130
126,432
12/22/2005
Omaha
NE
444,460
825,938
None
444,460
825,970
1,270,430
362,065
1/11/2006
Omaha
NE
350,000
650,877
None
350,000
650,909
1,000,909
244,106
8/28/2007
Amherst
NY
412,349
767,082
None
None
412,349
767,082
1,179,431
287,654
8/28/2007
Buffalo
NY
317,454
591,060
None
None
317,454
591,060
908,514
221,643
8/28/2007
Falconer
NY
606,120
696,957
None
None
606,120
696,957
1,303,077
1,162
12/8/2016
Syracuse
NY
743,043
854,401
None
None
743,043
854,401
1,597,444
1,424
12/16/2016
Bowling Green
OH
490,000
1,233,026
None
None
490,000
1,233,026
1,723,026
14,385
9/30/2016
Cincinnati
OH
299,187
556,978
None
None
299,187
556,978
856,165
208,843
8/28/2007
Delaware
OH
580,000
845,272
None
None
580,000
845,272
1,425,272
4,226
11/30/2016
Galion
OH
160,000
967,572
None
None
160,000
967,572
1,127,572
4,838
11/30/2016
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Kenton
OH
470,000
695,990
None
None
470,000
695,990
1,165,990
3,480
11/30/2016
Marion
OH
570,000
813,387
None
None
570,000
813,387
1,383,387
4,067
11/30/2016
Marion
OH
727,847
836,929
None
None
727,847
836,929
1,564,776
1,395
12/28/2016
Mentor
OH
394,450
734,205
None
None
394,450
734,205
1,128,655
275,313
8/28/2007
Parma
OH
473,710
881,038
None
None
473,710
881,038
1,354,748
330,388
8/28/2007
Toledo
OH
633,461
1,177,718
None
None
633,461
1,177,718
1,811,179
441,643
8/28/2007
Upper Sandusky
OH
260,000
731,454
None
None
260,000
731,454
991,454
3,657
11/30/2016
Van Wert
OH
330,000
907,061
None
None
330,000
907,061
1,237,061
71,053
1/22/2015
Van Wert
OH
710,000
798,621
None
None
710,000
798,621
1,508,621
30,614
1/14/2016
Bixby
OK
145,791
271,272
None
None
145,791
271,272
417,063
119,812
12/22/2005
Checotah
OK
153,232
285,092
None
None
153,232
285,092
438,324
125,916
12/22/2005
Idabel
OK
214,244
398,545
None
None
214,244
398,545
612,789
245,096
8/31/2001
Owasso
OK
327,043
607,645
None
None
327,043
607,645
934,688
373,698
8/31/2001
Tahlequah
OK
224,982
418,341
None
None
224,982
418,341
643,323
184,767
12/22/2005
Tulsa
OK
295,993
549,981
None
None
295,993
549,981
845,974
338,235
8/31/2001
Salem
OR
198,540
689,507
None
None
198,540
689,507
888,047
507,203
5/23/1989
The Dalles
OR
1,034,805
1,293,506
None
None
1,034,805
1,293,506
2,328,311
204,805
1/22/2013
Greensburg
PA
315,000
586,368
None
None
315,000
586,368
901,368
219,884
8/28/2007
Philadelphia
PA
423,333
787,125
None
None
423,333
787,125
1,210,458
295,170
8/28/2007
Aiken
SC
240,937
447,656
None
None
240,937
447,656
688,593
184,285
9/14/2006
Aiken
SC
618,572
1,261,105
None
None
618,572
1,261,105
1,879,677
73,564
7/27/2015
Camden
SC
450,000
986,046
None
None
450,000
986,046
1,436,046
57,519
7/27/2015
Columbia
SC
952,423
1,190,529
None
None
952,423
1,190,529
2,142,952
188,500
1/22/2013
Columbia
SC
812,611
1,015,764
None
None
812,611
1,015,764
1,828,375
160,829
1/22/2013
Columbia
SC
710,000
1,137,369
None
None
710,000
1,137,369
1,847,369
66,347
7/27/2015
Columbia
SC
344,602
702,552
None
None
344,602
702,552
1,047,154
40,982
7/27/2015
Columbia
SC
350,000
982,465
None
None
350,000
982,465
1,332,465
57,310
7/27/2015
Greer
SC
580,000
721,854
None
None
580,000
721,854
1,301,854
51,733
3/25/2015
Inman
SC
809,987
1,012,483
None
None
809,987
1,012,483
1,822,470
160,310
1/22/2013
Irmo
SC
330,000
1,008,769
None
None
330,000
1,008,769
1,338,769
58,845
7/27/2015
Leesville
SC
899,686
1,124,607
None
None
899,686
1,124,607
2,024,293
178,063
1/22/2013
Lexington
SC
530,000
1,278,314
None
None
530,000
1,278,314
1,808,314
74,568
7/27/2015
Lexington
SC
740,000
969,462
None
None
740,000
969,462
1,709,462
1,616
12/6/2016
Newberry
SC
708,489
885,611
None
None
708,489
885,611
1,594,100
140,222
1/22/2013
Piedmont
SC
841,862
1,052,327
None
None
841,862
1,052,327
1,894,189
166,619
1/22/2013
Rock Hill
SC
400,000
950,185
None
None
400,000
950,185
1,350,185
55,427
7/27/2015
Spartanburg
SC
957,339
1,196,673
None
None
957,339
1,196,673
2,154,012
189,473
1/22/2013
Walterboro
SC
240,000
779,500
None
None
240,000
779,500
1,019,500
63,659
12/8/2014
Chamberlain
SD
139,587
259,627
None
None
139,587
259,627
399,214
114,668
12/22/2005
Madison
SD
112,143
208,660
None
None
112,143
208,660
320,803
92,157
12/22/2005
Rapid City
SD
197,967
368,047
None
None
197,967
368,047
566,014
162,554
12/22/2005
Sioux Falls
SD
340,718
633,332
None
None
340,718
633,332
974,050
252,277
1/19/2007
Spearfish
SD
142,114
264,320
None
None
142,114
264,320
406,434
116,741
12/22/2005
Winner
SD
115,591
215,063
None
None
115,591
215,063
330,654
94,986
12/22/2005
Antioch
TN
244,470
454,016
None
None
244,470
454,016
698,486
185,390
10/2/2006
Brownsville
TN
289,379
538,081
None
None
289,379
538,081
827,460
330,911
8/31/2001
Chattanooga
TN
490,000
740,474
2,640
None
490,000
743,114
1,233,114
75,474
6/30/2014
Collierville
TN
433,503
805,339
None
None
433,503
805,339
1,238,842
293,949
11/16/2007
Columbia
TN
410,242
761,878
None
None
410,242
761,878
1,172,120
311,100
10/2/2006
Germantown
TN
356,774
662,837
None
None
356,774
662,837
1,019,611
241,935
11/16/2007
Henderson
TN
155,954
289,815
None
None
155,954
289,815
445,769
119,307
9/14/2006
Hermitage
TN
341,251
633,753
None
None
341,251
633,753
975,004
258,782
10/2/2006
Jackson
TN
126,158
234,594
None
126,158
235,063
361,221
103,820
12/22/2005
Jackson
TN
312,734
581,049
50,045
5,779
312,734
636,873
949,607
224,597
11/16/2007
Manchester
TN
411,504
764,222
None
None
411,504
764,222
1,175,726
312,057
10/2/2006
Martin
TN
173,616
322,616
None
None
173,616
322,616
496,232
132,810
9/14/2006
McMinnville
TN
442,735
635,260
None
None
442,735
635,260
1,077,995
255,144
12/21/2006
Memphis
TN
148,386
275,760
None
None
148,386
275,760
424,146
113,521
9/14/2006
Memphis
TN
254,423
472,680
None
None
254,423
472,680
727,103
193,011
10/12/2006
Memphis
TN
309,358
574,779
None
None
309,358
574,779
884,137
209,794
11/16/2007
Memphis
TN
361,660
983,255
None
None
361,660
983,255
1,344,915
40,969
12/22/2015
Memphis
TN
550,000
821,983
None
None
550,000
821,983
1,371,983
34,249
12/22/2015
Memphis
TN
445,782
1,095,968
None
None
445,782
1,095,968
1,541,750
45,665
12/22/2015
Memphis
TN
660,000
1,253,473
None
None
660,000
1,253,473
1,913,473
52,228
12/22/2015
Milan
TN
138,159
256,766
None
None
138,159
256,766
394,925
105,702
9/14/2006
Millington
TN
285,613
530,630
None
None
285,613
530,630
816,243
326,335
8/31/2001
Murfreesboro
TN
376,568
699,340
None
None
376,568
699,340
1,075,908
285,564
10/2/2006
Murfreesboro
TN
383,266
712,027
None
None
383,266
712,027
1,095,293
285,997
12/21/2006
Nashville
TN
147,915
274,700
None
None
147,915
274,700
422,615
112,169
10/2/2006
Nashville
TN
432,494
803,203
None
None
432,494
803,203
1,235,697
327,975
10/2/2006
Nashville
TN
350,983
651,825
None
None
350,983
651,825
1,002,808
266,162
10/2/2006
Nashville
TN
500,000
653,785
6,900
None
500,000
660,685
1,160,685
66,828
6/30/2014
Ripley
TN
231,552
430,232
None
None
231,552
430,232
661,784
264,590
8/31/2001
Sevierville
TN
423,790
787,301
None
None
423,790
787,301
1,211,091
324,106
9/28/2006
Shelbyville
TN
245,370
455,687
None
None
245,370
455,687
701,057
186,072
10/2/2006
Trenton
TN
174,379
324,032
None
None
174,379
324,032
498,411
133,393
9/14/2006
Allen
TX
165,000
306,771
None
None
165,000
306,771
471,771
214,229
7/9/1999
5/28/1999
Arlington
TX
560,000
1,040,667
None
None
560,000
1,040,667
1,600,667
390,248
8/28/2007
Arlington
TX
269,284
500,766
None
None
269,284
500,766
770,050
187,786
8/28/2007
Aubrey
TX
140,000
726,739
122,905
None
140,000
849,644
989,644
33,218
12/7/2015
Beaumont
TX
1,175,014
1,468,768
None
None
1,175,014
1,468,768
2,643,782
232,555
1/22/2013
Centerville
TX
340,000
873,035
None
None
340,000
873,035
1,213,035
50,927
7/21/2015
Coppell
TX
212,875
396,007
None
None
212,875
396,007
608,882
148,501
8/28/2007
Corpus Christi
TX
826,321
1,032,902
None
None
826,321
1,032,902
1,859,223
163,543
1/22/2013
Crossroads
TX
310,000
706,609
114,605
None
310,000
821,214
1,131,214
32,180
12/21/2015
Dallas
TX
386,451
718,361
None
None
386,451
718,361
1,104,812
269,384
8/28/2007
Denton
TX
380,000
700,572
110,497
None
380,000
811,069
1,191,069
31,831
12/7/2015
Ennis
TX
173,250
384,793
45,798
12,600
173,250
443,191
616,441
414,502
12/28/1987
Farmersville
TX
190,000
677,920
117,515
None
190,000
795,435
985,435
31,056
12/21/2015
Ferris
TX
922,690
1,153,363
None
None
922,690
1,153,363
2,076,053
182,616
1/22/2013
Forney
TX
1,141,991
1,427,489
None
None
1,141,991
1,427,489
2,569,480
226,019
1/22/2013
Fort Worth
TX
223,195
492,067
None
223,195
492,121
715,316
492,121
6/26/1991
Fort Worth
TX
423,281
382,059
None
None
423,281
382,059
805,340
334,302
2/10/1995
Grand Prairie
TX
280,000
520,197
None
None
280,000
520,197
800,197
195,074
8/28/2007
Houston
TX
194,994
386,056
None
194,994
386,184
581,178
386,184
6/25/1991
Houston
TX
113,693
-
None
113,693
113,751
3/7/1997
N/A
Houston
TX
335,664
624,233
None
None
335,664
624,233
959,897
234,086
8/28/2007
Houston
TX
1,003,721
1,254,651
None
None
1,003,721
1,254,651
2,258,372
198,653
1/22/2013
Hurst
TX
215,623
401,245
None
None
215,623
401,245
616,868
150,465
8/28/2007
Irving
TX
291,971
543,094
None
None
291,971
543,094
835,065
203,658
8/28/2007
Justin
TX
200,000
792,249
120,814
None
200,000
913,063
1,113,063
35,898
12/7/2015
Krum
TX
120,000
753,238
156,281
None
120,000
909,519
1,029,519
35,122
12/7/2015
Lewisville
TX
448,000
832,667
None
None
448,000
832,667
1,280,667
312,248
8/28/2007
Lufkin
TX
128,842
239,585
None
None
128,842
239,585
368,427
105,817
12/22/2005
Lumberton
TX
111,146
206,720
None
None
111,146
206,720
317,866
91,301
12/22/2005
Porter
TX
227,067
333,031
None
None
227,067
333,031
560,098
291,402
2/9/1995
Sanger
TX
150,000
702,524
119,691
None
150,000
822,215
972,215
32,132
12/7/2015
Santa Fe
TX
304,414
623,331
None
None
304,414
623,331
927,745
468,479
3/23/1998
South Houston
TX
1,139,426
1,424,283
None
None
1,139,426
1,424,283
2,563,709
225,511
1/22/2013
Stafford
TX
214,024
423,733
None
214,024
423,861
637,885
423,861
6/26/1991
Temple
TX
302,505
291,414
None
None
302,505
291,414
593,919
254,987
2/9/1995
Texarkana
TX
311,263
578,266
None
None
311,263
578,266
889,529
355,631
8/31/2001
Victoria
TX
1,062,212
1,327,765
None
None
1,062,212
1,327,765
2,389,977
210,230
1/22/2013
Victoria
TX
884,385
1,105,481
None
None
884,385
1,105,481
1,989,866
175,034
1/22/2013
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Vidor
TX
146,291
271,990
None
None
146,291
271,990
418,281
120,129
12/22/2005
Hampton
VA
805,000
1,495,800
None
None
805,000
1,495,800
2,300,800
560,923
8/28/2007
Lynchburg
VA
308,824
573,529
None
None
308,824
573,529
882,353
144,338
9/14/2010
Spokane
WA
479,531
646,719
None
None
479,531
646,719
1,126,250
486,065
3/27/1998
Vancouver
WA
1,302,457
1,628,071
None
None
1,302,457
1,628,071
2,930,528
257,778
1/22/2013
Appleton
WI
340,126
631,662
None
None
340,126
631,662
971,788
118,963
4/17/2012
Beaver Dam
WI
230,000
980,309
None
None
230,000
980,309
1,210,309
60,452
6/25/2015
Grafton
WI
149,778
332,664
None
None
149,778
332,664
482,442
332,664
10/29/1987
Green Bay
WI
308,131
572,756
None
None
308,131
572,756
880,887
251,058
1/11/2006
Kenosha
WI
140,000
1,261,738
None
None
140,000
1,261,738
1,401,738
14,720
9/30/2016
Oshkosh
WI
385,870
716,616
None
None
385,870
716,616
1,102,486
134,963
4/17/2012
Pewaukee
WI
590,000
1,125,653
None
None
590,000
1,125,653
1,715,653
13,133
9/30/2016
Waukesha
WI
380,000
1,430,547
None
None
380,000
1,430,547
1,810,547
16,690
9/30/2016
Cody
WY
740,000
729,300
None
None
740,000
729,300
1,469,300
15,802
6/30/2016
Sheridan
WY
680,000
835,246
None
None
680,000
835,246
1,515,246
18,097
6/30/2016
Shoe stores
Lebec
CA
8,957,881
2,357,234
30,943,343
None
None
2,357,234
30,943,343
33,300,577
3,499,545
1/22/2013
Staten Island
NY
3,190,883
3,413,933
128,082
207,431
3,190,883
3,749,446
6,940,329
2,312,875
3/26/1998
Brookville
OH
18,801,278
2,577,129
48,823,456
None
None
2,577,129
48,823,456
51,400,585
5,521,700
1/22/2013
McMinnville
TN
703,355
1,432,903
29,784
7,275
703,355
1,469,962
2,173,317
551,548
11/1/2006
Sporting goods
Anchorage
AK
1,486,000
5,045,244
None
1,486,000
5,045,333
6,531,333
3,069,192
10/17/2001
Tuscaloosa
AL
1,993,572
5,073,414
None
None
1,993,572
5,073,414
7,066,986
25,367
11/9/2016
Mesa
AZ
984,890
1,536,269
None
None
984,890
1,536,269
2,521,159
606,808
2/12/2007
Fresno
CA
1,650,000
3,321,244
1,650,000
48,242
1,650,000
5,019,486
6,669,486
2,033,481
10/17/2001
Gainesville
FL
1,296,000
2,234,554
None
1,296,000
2,234,643
3,530,643
1,359,360
10/17/2001
Jupiter
FL
1,698,316
4,352,255
1,775
1,698,316
4,354,119
6,052,435
2,414,425
5/3/2000
Melbourne
FL
994,000
4,076,554
None
994,000
4,076,807
5,070,807
2,479,917
10/17/2001
Augusta
GA
1,460,000
5,953,083
None
None
1,460,000
5,953,083
7,413,083
516,446
9/17/2014
4/16/2014
Gainesville
GA
1,830,000
6,889,155
None
None
1,830,000
6,889,155
8,719,155
11,482
12/7/2016
Pooler
GA
1,339,957
1,831,350
None
None
1,339,957
1,831,350
3,171,307
784,093
3/1/2006
Algonquin
IL
1,360,000
7,255,745
None
None
1,360,000
7,255,745
8,615,745
603,187
10/6/2014
4/22/2014
Geneva
IL
2,082,000
1,838,888
5,405
2,082,000
1,844,994
3,926,994
1,118,706
10/17/2001
Marion
IL
-
6,630,238
None
None
-
6,630,238
6,630,238
276,305
5/7/2015
11/13/2014
Avon
IN
2,200,000
5,299,303
5,039
None
2,200,000
5,304,342
7,504,342
547,658
4/8/2014
10/11/2013
Greenwood
IN
1,490,000
5,241,516
None
None
1,490,000
5,241,516
6,731,516
585,303
3/25/2014
Houma
LA
1,598,298
4,493,174
None
None
1,598,298
4,493,174
6,091,472
142,284
3/30/2016
Thibodaux
LA
1,560,000
8,840,000
None
None
1,560,000
8,840,000
10,400,000
14,733
12/6/2016
Bowie
MD
2,084,000
3,046,888
None
2,084,000
3,046,977
5,130,977
1,853,528
10/17/2001
Winston Salem
NC
2,390,000
3,416,323
None
None
2,390,000
3,416,323
5,806,323
506,755
4/12/2013
Kearney
NE
173,950
344,393
None
None
173,950
344,393
518,343
344,393
5/1/1990
Glendale
NY
5,559,686
4,447,566
None
5,559,686
4,447,655
10,007,341
2,142,255
12/29/2004
Huber Heights
OH
2,280,000
5,814,036
None
None
2,280,000
5,814,036
8,094,036
455,433
1/27/2015
Reynoldsburg
OH
850,000
2,770,492
None
None
850,000
2,770,492
3,620,492
281,667
6/19/2014
Owasso
OK
2,140,000
6,780,084
None
None
2,140,000
6,780,084
8,920,084
101,701
8/1/2016
Eugene
OR
720,000
7,434,760
49,978
None
720,000
7,484,738
8,204,738
1,147,951
3/22/2013
Mechanicsburg
PA
2,101,415
3,902,912
None
None
2,101,415
3,902,912
6,004,327
2,361,261
11/8/2001
Columbia
SC
1,145,120
2,770,957
None
None
1,145,120
2,770,957
3,916,077
1,019,324
3/3/2005
Spartanburg
SC
1,234,815
3,111,921
(428,405
)
None
806,410
3,111,921
3,918,331
1,466,558
3/3/2005
Mt Juliet
TN
2,449,395
6,074,357
None
None
2,449,395
6,074,357
8,523,752
556,737
5/30/2014
12/10/2013
El Paso
TX
700,000
2,501,244
1,955,473
103,256
700,000
4,559,973
5,259,973
1,530,549
10/17/2001
Houston
TX
1,140,982
4,253,818
None
None
1,140,982
4,253,818
5,394,800
276,498
5/28/2015
Huntsville
TX
580,000
5,720,000
None
None
580,000
5,720,000
6,300,000
524,333
9/29/2014
Port Arthur
TX
1,609,120
4,523,600
None
None
1,609,120
4,523,600
6,132,720
143,247
3/30/2016
San Antonio
TX
3,730,000
4,666,465
None
None
3,730,000
4,666,465
8,396,465
147,771
3/30/2016
Wichita Falls
TX
1,100,000
5,556,669
None
None
1,100,000
5,556,669
6,656,669
583,450
5/13/2014
Fredericksburg
VA
1,941,000
2,979,888
None
1,941,000
2,979,977
4,920,977
1,812,770
10/17/2001
Telecommunications
Augusta
GA
2,720,359
11,128,077
None
2,720,359
11,128,224
13,848,583
2,541,058
4/1/2011
Davenport
IA
270,000
930,689
54,520
1,008
270,000
986,217
1,256,217
694,603
6/26/1998
Harmans
MD
3,411,391
11,757,946
363,285
None
3,411,391
12,121,231
15,532,622
1,412,879
1/22/2013
East Syracuse
NY
8,987,700
880,000
15,816,613
None
None
880,000
15,816,613
16,696,613
1,223,905
4/30/2014
Portland
OR
1,246,233
7,900,429
None
None
1,246,233
7,900,429
9,146,662
58,200
In-progress
12/10/2015
N/A
Salem
OR
1,721,686
9,387,216
2,750
1,721,686
9,390,024
11,111,710
2,082,282
6/22/2011
Brownsville
TX
1,740,479
11,570,294
None
1,740,479
11,570,441
13,310,920
2,642,031
4/1/2011
Theaters
Fairbanks
AK
2,586,879
9,575
None
None
2,586,879
9,575
2,596,454
6,144
9/27/2000
Huntsville
AL
2,810,868
14,308
None
None
2,810,868
14,308
2,825,176
9,181
9/27/2000
Chula Vista
CA
2,060,287
8,914,162
None
None
2,060,287
8,914,162
10,974,449
1,916,545
8/8/2011
Norwalk
CA
2,466,208
18,293,125
None
None
2,466,208
18,293,125
20,759,333
2,938,904
8/8/2011
Denver
CO
5,150,000
9,056,647
681,424
None
5,150,000
9,738,071
14,888,071
952,562
6/27/2014
Naples
FL
2,618,441
8,979,199
None
None
2,618,441
8,979,199
11,597,640
5,851,425
9/27/2000
Austell
GA
2,497,504
10,148,237
None
None
2,497,504
10,148,237
12,645,741
2,181,871
8/8/2011
Chamblee
GA
4,329,404
14,942
None
None
4,329,404
14,942
4,344,346
9,399
9/27/2000
Morrow
GA
2,962,468
17,068,280
115,230
None
2,962,468
17,183,510
20,145,978
2,962,130
8/8/2011
Council Bluffs
IA
4,924,553
14,207,916
None
None
4,924,553
14,207,916
19,132,469
4,376,259
1/31/2008
Dubuque
IA
3,185,053
5,915,983
None
None
3,185,053
5,915,983
9,101,036
2,119,894
1/31/2008
Edwardsville
IL
4,270,500
9,070,885
None
None
4,270,500
9,070,885
13,341,385
4,097,007
9/28/2005
Lake In The Hills
IL
3,297,566
11,716,314
None
None
3,297,566
11,716,314
15,013,880
4,445,129
9/28/2005
Marion
IL
832,500
3,499,885
None
None
832,500
3,499,885
4,332,385
1,580,772
9/28/2005
Mattoon
IL
543,183
5,110,193
None
None
543,183
5,110,193
5,653,376
2,308,094
9/28/2005
North Pekin
IL
1,575,231
9,183,100
None
None
1,575,231
9,183,100
10,758,331
4,147,691
9/28/2005
Rockford
IL
4,270,500
16,675,954
(1,779
)
None
4,268,721
16,675,954
20,944,675
7,531,963
9/28/2005
Springfield
IL
3,151,838
10,404,452
None
None
3,151,838
10,404,452
13,556,290
4,699,334
9/28/2005
Bloomington
IN
2,498,642
7,934,745
None
None
2,498,642
7,934,745
10,433,387
3,583,850
9/28/2005
Columbus
IN
1,999,812
7,234,361
None
None
1,999,812
7,234,361
9,234,173
3,267,510
9/28/2005
Indianapolis
IN
2,700,395
17,672,980
1,850,000
None
2,700,395
19,522,980
22,223,375
7,790,392
9/28/2005
Terre Haute
IN
1,249,321
9,835,885
None
None
1,249,321
9,835,885
11,085,206
4,442,532
9/28/2005
Coon Rapids
MN
2,460,040
17,641,170
None
None
2,460,040
17,641,170
20,101,210
7,004,323
9/28/2005
Inver Grove
MN
2,863,272
18,471,062
None
None
2,863,272
18,471,062
21,334,334
7,149,272
9/28/2005
Poplar Bluff
MO
1,106,618
4,872,502
None
None
1,106,618
4,872,502
5,979,120
2,200,737
9/28/2005
Rockaway
NJ
8,634,576
14,679,823
None
None
8,634,576
14,679,823
23,314,399
5,900,420
12/6/2006
4/13/2005
Binghamton
NY
2,700,000
5,570,505
47,777
None
2,700,000
5,618,282
8,318,282
2,548,841
9/29/2005
Henrietta
NY
2,152,546
8,953,645
None
None
2,152,546
8,953,645
11,106,191
1,925,034
8/8/2011
Akron
OH
1,511,018
1,386
None
None
1,511,018
1,386
1,512,404
9/27/2000
Beavercreek
OH
2,062,545
8,467,551
619,794
None
2,062,545
9,087,345
11,149,890
2,004,356
8/8/2011
Columbus
OH
2,103,351
5,161,550
None
None
2,103,351
5,161,550
7,264,901
2,916,263
11/1/2002
Hillsboro
OR
4,915,032
16,377
None
4,915,032
16,435
4,931,467
10,548
9/27/2000
Portland
OR
2,793,001
9,942
None
2,793,001
10,000
2,803,001
6,419
9/27/2000
Spartanburg
SC
2,072,738
8,340,814
87,111
None
2,072,738
8,427,925
10,500,663
1,494,393
7/31/2012
Burleson
TX
2,280,000
7,418,374
417,731
None
2,280,000
7,836,105
10,116,105
1,188,326
7/26/2006
Laredo
TX
2,161,477
5,561,558
None
None
2,161,477
5,561,558
7,723,035
2,253,987
10/11/2006
8/9/2005
Live Oak
TX
2,910,035
12,674,850
None
None
2,910,035
12,674,850
15,584,885
2,725,093
8/8/2011
Longview
TX
2,887,500
5,363,826
None
None
2,887,500
5,363,826
8,251,326
2,369,023
12/21/2005
Lubbock
TX
1,642,533
6,984,372
None
None
1,642,533
6,984,372
8,626,905
1,501,640
8/8/2011
Waco
TX
1,013,706
5,880,539
None
None
1,013,706
5,880,539
6,894,245
2,401,220
10/6/2006
Glen Allen
VA
1,314,065
9,748,457
None
None
1,314,065
9,748,457
11,062,522
6,352,708
9/27/2000
Roanoke
VA
2,212,494
9,324,958
None
None
2,212,494
9,324,958
11,537,452
2,004,866
8/8/2011
Sterling
VA
4,546,305
33,325
None
None
4,546,305
33,325
4,579,630
20,823
9/27/2000
Marysville
WA
1,988,142
-
None
None
1,988,142
-
1,988,142
-
7/27/2000
N/A
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
AS OF DECEMBER 31, 2016
Cost Capitalized
Life on
Subsequent
Gross Amount at Which Carried
which
Initial Cost to Company
to Acquisition
at Close of Period (Notes 3, 4, 6 and 7)
depreciation
Buildings,
Buildings,
in latest
Improvements
Improvements
Income
and
and
Accumulated
Statement
Description
Encumbrances
Acquisition
Carrying
Acquisition
Depreciation
Date of
Date
is Computed
(Note 1)
(Note 2)
Land
Fees
Improvements
Costs
Land
Fees
Total
(Note 5)
Construction
Acquired
(in Months)
Fitchburg
WI
5,540,553
13,924,709
None
None
5,540,553
13,924,709
19,465,262
3,802,506
1/31/2008
Transportation services
Phoenix
AZ
4,106,903
23,819,301
None
None
4,106,903
23,819,301
27,926,204
2,693,850
1/22/2013
West Sacramento
CA
12,277,918
29,165,650
17,616
None
12,277,918
29,183,266
41,461,184
3,301,609
1/22/2013
Palmetto
FL
1,853,907
14,815,927
12,345
None
1,853,907
14,828,272
16,682,179
2,420,156
3/17/2011
Conley
GA
420,000
780,000
None
None
420,000
780,000
1,200,000
185,900
1/10/2011
Chicago
IL
612,500
1,137,500
None
None
612,500
1,137,500
1,750,000
271,104
1/10/2011
Grayslake
IL
5,044,195
26,218,048
None
5,044,195
26,218,548
31,262,743
4,816,912
4/21/2011
Evansville
IN
959,651
4,053,122
None
None
959,651
4,053,122
5,012,773
857,911
9/13/2011
Zionsville
IN
2,450,000
29,831,530
None
2,450,000
29,832,030
32,282,030
248,613
9/6/2016
Dodge City
KS
244,811
3,713,789
8,765
None
244,811
3,722,554
3,967,365
381,323
1/22/2013
Hays
KS
171,304
2,701,222
10,568
None
171,304
2,711,790
2,883,094
254,844
1/22/2013
Wichita
KS
2,840,499
7,375,302
1,000
None
2,840,499
7,376,302
10,216,801
1,709,187
3/16/2011
Louisville
KY
472,500
877,500
None
None
472,500
877,500
1,350,000
209,138
1/10/2011
Louisville
KY
5,732,055
30,841,995
None
None
5,732,055
30,841,995
36,574,050
3,488,083
1/22/2013
Saint Rose
LA
3,147,428
8,283,048
21,892
None
3,147,428
8,304,940
11,452,368
1,674,173
12/20/2011
Baltimore
MD
1,740,080
4,580,068
None
None
1,740,080
4,580,068
6,320,148
2,458,671
12/24/2003
4/1/2003
Baltimore
MD
4,499,317
50,857,761
36,500
None
4,499,317
50,894,261
55,393,578
5,553,363
1/22/2013
Detroit
MI
280,000
520,000
None
None
280,000
520,000
800,000
123,933
1/10/2011
Gibraltar
MI
245,000
455,000
None
None
245,000
455,000
700,000
108,442
1/10/2011
Novi
MI
210,000
677,324
None
None
210,000
677,324
887,324
48,542
3/31/2015
Saginaw
MI
219,564
10,638,391
10,464
None
219,564
10,648,855
10,868,419
1,203,473
1/22/2013
Saline
MI
1,275,995
17,421,877
5,127
None
1,275,995
17,427,004
18,702,999
1,772,983
1/22/2013
Rogers
MN
5,330,000
32,179,760
None
5,330,000
32,180,260
37,510,260
498,045
6/30/2016
Saint Cloud
MN
474,860
4,309,642
7,133
None
474,860
4,316,775
4,791,635
487,682
1/22/2013
Shakopee
MN
2,451,948
12,666,361
None
98,424
2,451,948
12,764,785
15,216,733
2,300,373
3/17/2011
Springfield
MO
2,669,300
19,440,332
25,839
None
2,669,300
19,466,171
22,135,471
2,201,570
1/22/2013
Petal
MS
315,000
3,657,281
None
None
315,000
3,657,281
3,972,281
366,550
5/24/2013
7/12/2012
Charlotte
NC
735,000
1,365,000
None
None
735,000
1,365,000
2,100,000
325,325
1/10/2011
Grand Forks
ND
366,876
4,515,374
19,030
None
366,876
4,534,404
4,901,280
379,952
1/22/2013
Lincoln
NE
792,802
9,619,413
12,500
None
792,802
9,631,913
10,424,715
964,585
1/22/2013
West Lebanon
NH
996,755
8,226,928
None
None
996,755
8,226,928
9,223,683
913,462
1/22/2013
Bronx
NY
11,959,584
-
19,765,973
75,475
None
-
19,841,448
19,841,448
2,299,119
1/22/2013
Rensselaer
NY
5,393,842
67,290,895
None
142,250
5,393,842
67,433,145
72,826,987
7,029,930
1/22/2013
Columbus
OH
245,000
455,000
None
None
245,000
455,000
700,000
108,442
1/10/2011
North Canton
OH
-
10,641,063
None
None
-
10,641,063
10,641,063
1,203,454
1/22/2013
Uniontown
OH
2,237,958
53,040,112
None
None
2,237,958
53,040,112
55,278,070
5,998,584
1/22/2013
Vandalia
OH
719,985
10,102,113
8,352
None
719,985
10,110,465
10,830,450
1,902,686
4/10/2012
Walbridge
OH
210,000
390,000
None
None
210,000
390,000
600,000
92,950
1/10/2011
Whitehall
OH
1,400,000
24,053,357
None
None
1,400,000
24,053,357
25,453,357
944,953
8/26/2015
Coraopolis
PA
350,000
650,000
None
None
350,000
650,000
1,000,000
154,917
1/10/2011
Franklin
PA
405,243
4,797,771
22,294
None
405,243
4,820,065
5,225,308
545,722
3/15/2011
Parker
PA
210,000
390,000
None
None
210,000
390,000
600,000
92,950
1/10/2011
Snow Shoe
PA
591,101
12,994,366
None
None
591,101
12,994,366
13,585,467
1,469,601
1/22/2013
Sioux Falls
SD
1,580,577
416,023
3,775,664
None
None
416,023
3,775,664
4,191,687
424,455
1/22/2013
Chattanooga
TN
2,024,239
8,974,591
11,169
None
2,024,239
8,985,760
11,009,999
2,079,779
3/17/2011
Memphis
TN
3,570,000
16,398,303
202,533
None
3,570,000
16,600,836
20,170,836
1,861,378
2/27/2013
Mt Juliet
TN
16,740,328
3,290,000
24,709,876
None
None
3,290,000
24,709,876
27,999,876
558,914
3/31/2016
Freeport
TX
245,000
455,000
None
None
245,000
455,000
700,000
108,442
1/10/2011
Houston
TX
5,802,459
45,111,656
None
None
5,802,459
45,111,656
50,914,115
5,101,913
1/22/2013
Houston
TX
9,187,363
3,140,000
11,319,877
None
None
3,140,000
11,319,877
14,459,877
957,453
1/31/2014
Houston
TX
12,427,637
3,910,000
16,504,232
None
None
3,910,000
16,504,232
20,414,232
1,395,885
1/31/2014
La Porte
TX
875,000
1,625,000
None
None
875,000
1,625,000
2,500,000
387,292
1/10/2011
Missouri City
TX
5,360,000
27,203,138
None
None
5,360,000
27,203,138
32,563,138
421,001
9/30/2016
6/30/2016
Sherman
TX
439,127
9,850,580
None
None
439,127
9,850,580
10,289,707
1,114,051
1/22/2013
Vineyard
UT
1,732,107
7,525,979
None
None
1,732,107
7,525,979
9,258,086
1,358,289
3/17/2011
Spokane Valley
WA
805,923
13,715,732
None
805,923
13,715,744
14,521,667
1,132,293
1/22/2013
Beaver
WV
497,198
6,060,449
13,245
None
497,198
6,073,694
6,570,892
610,563
1/22/2013
Charleston
WV
2,251,894
6,527,770
None
None
2,251,894
6,527,770
8,779,664
603,768
12/28/2012
Wholesale clubs
Colorado Springs
CO
3,540,000
6,206,964
1,500
3,540,000
6,208,758
9,748,758
879,864
6/28/2013
Derby
CT
5,699,931
10,584,586
1,000
None
5,699,931
10,585,586
16,285,517
1,817,446
9/20/2012
Waterford
CT
11,841,797
21,990,910
1,000
None
11,841,797
21,991,910
33,833,707
3,775,531
9/20/2012
Sanford
FL
5,788,032
10,748,203
1,000
None
5,788,032
10,749,203
16,537,235
1,845,533
9/20/2012
Augusta
GA
4,673,148
9,903,758
2,072
None
4,673,148
9,905,830
14,578,978
1,568,907
1/22/2013
Louisville
KY
2,760,000
4,164,146
1,500
None
2,760,000
4,165,646
6,925,646
590,446
6/28/2013
Kenner
LA
2,570,000
6,294,719
1,500
None
2,570,000
6,296,219
8,866,219
892,277
6/28/2013
Abingdon
MD
8,965,840
16,649,846
1,000
None
8,965,840
16,650,846
25,616,686
2,858,649
9/20/2012
Capitol Heights
MD
17,820,000
2,900,000
19,570,396
1,000
None
2,900,000
19,571,396
22,471,396
2,120,401
4/1/2014
Columbia
MD
10,208,201
18,958,088
None
None
10,208,201
18,958,088
29,166,289
4,012,795
9/30/2011
Nashua
NH
7,204,581
13,379,935
None
None
7,204,581
13,379,935
20,584,516
2,832,086
9/30/2011
Clay
NY
6,902,476
12,817,384
1,500
None
6,902,476
12,818,884
19,721,360
2,200,955
9/20/2012
Freeport
NY
13,122,718
24,369,763
1,000
None
13,122,718
24,370,763
37,493,481
5,158,791
9/30/2011
Yorktown Heights
NY
11,225,391
20,847,154
None
None
11,225,391
20,847,154
32,072,545
4,412,648
9/30/2011
Oklahoma City
OK
3,130,000
6,607,526
1,500
None
3,130,000
6,609,026
9,739,026
936,591
6/28/2013
Tulsa
OK
3,100,000
6,280,893
1,500
None
3,100,000
6,282,393
9,382,393
890,318
6/28/2013
Conshohocken
PA
7,231,557
13,430,034
None
None
7,231,557
13,430,034
20,661,591
2,842,691
9/30/2011
Stroudsburg
PA
5,192,837
9,642,340
1,500
None
5,192,837
9,643,840
14,836,677
1,655,906
9/20/2012
York
PA
5,433,864
10,090,462
1,000
None
5,433,864
10,091,462
15,525,326
1,732,621
9/20/2012
Memphis
TN
4,810,000
4,880,207
None
None
4,810,000
4,880,207
9,690,207
691,363
6/28/2013
Nashville
TN
3,750,000
6,190,754
1,500
None
3,750,000
6,192,254
9,942,254
877,548
6/28/2013
Amarillo
TX
1,190,000
5,820,158
1,000
None
1,190,000
5,821,158
7,011,158
824,872
6/28/2013
El Paso
TX
2,720,000
6,293,142
1,000
None
2,720,000
6,294,142
9,014,142
891,878
6/28/2013
Houston
TX
3,410,000
5,759,623
1,500
None
3,410,000
5,761,123
9,171,123
816,472
6/28/2013
Jersey Village
TX
3,370,000
5,865,635
1,500
None
3,370,000
5,867,135
9,237,135
831,490
6/28/2013
Plano
TX
6,750,000
7,580,624
1,000
None
6,750,000
7,581,624
14,331,624
1,074,272
6/28/2013
San Antonio
TX
3,660,000
5,213,163
1,500
None
3,660,000
5,214,663
8,874,663
739,056
6/28/2013
San Antonio
TX
3,830,000
5,019,869
1,500
None
3,830,000
5,021,369
8,851,369
711,673
6/28/2013
Tyler
TX
1,940,000
4,638,872
1,500
None
1,940,000
4,640,372
6,580,372
657,699
6/28/2013
Waco
TX
2,000,000
4,262,780
1,500
None
2,000,000
4,264,280
6,264,280
604,419
6/28/2013
Mechanicsville
VA
5,650,222
10,493,270
None
None
5,650,222
10,493,270
16,143,492
1,801,345
9/20/2012
Woodbridge
VA
5,659,285
10,509,101
1,000
None
5,659,285
10,510,101
16,169,386
2,224,951
9/30/2011
Other
San Diego
CA
5,699,757
22,539,067
513,362
5,699,757
23,052,453
28,752,210
1,869,628
9/13/2013
San Diego
CA
5,810,243
15,603,737
1,221,722
42,000
5,810,243
16,867,459
22,677,702
1,530,582
9/13/2013
Venice
FL
259,686
362,562
59,435
259,686
422,151
681,837
310,853
11/26/1996
Wichita
KS
289,714
797,856
10,910
16,580
289,714
825,346
1,115,060
601,255
11/23/1998
Jackson
MS
405,360
656,296
(124,313
)
None
405,360
531,983
937,343
541,245
11/26/1996
Meridian
MS
181,156
515,598
131,997
181,156
648,197
829,353
509,700
11/26/1996
Clementon
NJ
279,851
554,060
78,768
11,821
279,851
644,649
924,500
573,268
9/9/1991
Watertown
NY
139,199
-
None
None
139,199
-
139,199
-
8/18/1986
N/A
Virginia Beach
VA
551,588
797,260
60,210
551,588
857,492
1,409,080
622,595
2/23/1998
Tacoma
WA
198,857
-
None
None
198,857
-
198,857
-
5/29/1984
Crest Net Lease
10,925,364
25,144,827
(2,062,608
)
17,352
10,925,365
23,099,570
34,024,935
331,752
Various
460,008,250
3,772,301,244
10,089,891,405
35,535,952
6,790,835
3,769,123,272
10,135,396,164
13,904,519,436
2,000,728,517
REALTY INCOME CORPORATION AND SUBSIDIARIES
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
Note 1.
Realty Income Corporation owns 4,888 single-tenant properties and one corporate headquarters property. Crest Net Lease, Inc. owns 32 properties.
Realty Income Corporation also owns 24 multi-tenant properties located in each of the following cities: El Cajon, CA; Elk Grove, CA; Hanford, CA; San Diego, CA; Danbury, CT; Brandon, FL; Casselberry, FL; Cutler Bay, FL; Deerfield Beach, FL; Columbus, GA; Valdosta, GA; Davenport, IA; Waterloo, IA; Columbia, MD; Fair Grove, MO; Columbus, OH; Edmond, OK; Jackson, TN; Memphis, TN; Cedar Park, TX; Dallas, TX; Fort Worth, TX; The Colony, TX and Virginia Beach, VA.
Note 2.
Includes mortgages payable secured by 127 properties, but excludes unamortized net debt premiums of $6.4 million.
Note 3.
The aggregate cost for federal income tax purposes for Realty Income Corporation is $13,583,863,859 and for Crest Net Lease, Inc. is $38,063,019.
Note 4.
The following is a reconciliation of total real estate carrying value for the years ended December 31:
Balance at Beginning of Period
12,310,846,785
11,172,348,415
9,918,069,735
Additions During Period:
Acquisitions
1,857,783,837
1,279,388,017
1,463,440,724
Less amounts allocated to acquired lease intangible assets and liabilities on our Consolidated Balance Sheets
(139,341,205)
(63,808,207)
(126,550,939)
Equipment
Improvements, Etc.
16,405,486
10,803,029
5,210,401
Other (Leasing Costs and Building Adjustments as a result of net debt premiums)
1,495,439
748,126
523,907
Total Additions
1,736,343,557
1,227,130,965
1,342,624,093
Deductions During Period:
Cost of Real Estate sold or disposed of
118,792,948
76,659,381
83,059,172
Cost of Equipment sold
Releasing costs
418,772
592,815
732,130
Other (including Provisions for Impairment)
23,459,186
11,380,399
4,554,113
Total Deductions
142,670,906
88,632,595
88,345,414
Balance at Close of Period
13,904,519,436
12,310,846,785
11,172,348,415
Note 5.
The following is a reconciliation of accumulated depreciation for the years ended:
Balance at Beginning of Period
1,691,963,148
1,390,808,700
1,121,460,394
Additions During Period - Provision for Depreciation
355,030,226
320,512,807
290,551,867
Deductions During Period:
Accumulated depreciation of real estate and equipment sold or disposed of
46,264,857
19,358,359
21,203,561
Balance at Close of Period
2,000,728,517
1,691,963,148
1,390,808,700
Note 6.
In 2016, provisions for impairment were recorded on forty Realty Income properties.
In 2015, provisions for impairment were recorded on fifteen Realty Income properties.
In 2014, provisions for impairment were recorded on twelve Realty Income properties.
Note 7.
In accordance with Accounting Standards Codification 410, Asset Retirement and Environmental Obligations, we recorded in aggregate $6,525 in 2016, negative $820,166 in 2015, and $83,532 in 2014 to two buildings for the fair value of legal obligations to perform asset-retirement activities that are conditional on future events. These two properties are reported in the drug store industry and are located in Girard, PA and Slippery Rock, PA.
See report of independent registered public accounting firm.