David Dupuy: That is a range of cap rates based on purchase and sale agreements we have on the books. And so that’s — they range between 9.1% in what you’re referring to and 9.75%. So some are at the higher rate and some are at the lower rate. We just don’t break out which are which.
Operator: [Operator Instructions]. Our next question will come from Jim Kammert with Evercore.
James Kammert: Just to double check, the remaining leases with Genesis, talking between the second and third quarter supplements, it’s about 2.8% of ABR. Does that sound about right?
David Dupuy: I think — so the remaining leases, we’ve got 7 leases representing 1.9% of our gross real estate properties. Is that your question?
James Kammert: No, I was ABR average base rent is about 2.8% of rents.
David Dupuy: I’m not sure we’ve disclosed that amount. I have to look. Yes.
James Kammert: All right. Because I thought…
David Dupuy: But you could obviously go back into our supplemental, and you could calculate it. I mean, I think we have that disclosed there.
James Kammert: That’s fine. No, I will do that. And then thinking about, you talked companies on the watch list, et cetera. How much of the ABR is covered where you get either unit level and/or a combination of parent or guarantor financial report? I’m just kind of curious how do you really assess how that watch list — how do you maintain — how do you identify which tenants are potential problems?
David Dupuy: Well, I mean, the watch list is identified based on folks that maybe are delaying payments or asking for special requests as part of their — paying their lease or whatever. And so it really varies. I mean, we’ve got 260-plus tenants, Jim. And so I can’t give you a broad-brush on what the specific issues are related to that. It’s a variety of situations. And what I would tell you is, if it’s — and most of these tenants tend to be tenants in our multi-tenanted buildings. And so it represents very small amount of square footage, but we’re very, very focused on having dialogue and working through any and all of those issues. And so if they’re the smaller tenants in our multi-tenanted buildings, we’re not getting XYZ physician group’s financial statements.
And so — but if it’s a larger — if we’re having issues with a larger tenant, then we may have financial statements that we can talk to them about, but it just — it really varies. And so it’s hard for me to give you a broad-brush on what that’s related to. What I would tell you is, most of the dialogue we’re having with these tenants that are watch list tenants don’t represent large amounts of square footage. And so they’re not “client tenants,” and so we’re not getting financial information on those. They tend to be smaller tenants that are in the MOBs that we operate.
James Kammert: No, that’s fair. I appreciate it. I wasn’t . But what percentage of ABR is covered where you actually do get reported financials? I mean is 50% of the tenant ABR, do you receive financials for that amount or less or more?
David Dupuy: I’ve never calculated that amount. We can — I don’t have a good answer for you.
James Kammert: Okay. I was just curious you may know.
David Dupuy: I would just be guessing. Yes. I mean if you think about it, the makeup of our tenants, we’ve got a significant amount of physician clinics and MOBs, and that’s 50-plus percent of our overall assets. And so in those assets, we’re not going to be getting individual financial statements. And so you can kind of look at it that way. The remaining larger single tenants, we’re going to give financial statements on those. So my guess is, it’s something less than 50%, but I can’t give you a specific number.
Operator: And with no remaining questions, we will conclude the question-and-answer session. I would now like to turn the conference back over to Dave Dupuy for any closing remarks.
David Dupuy: We really appreciate the questions. We appreciate everybody on the phone and look forward to talking to everybody again in the new year. Thank you.
Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect your lines.
