NNN further reviewed its conclusions in previous periods, commencing in 2009, with respect to the realizability of the  remaining deferred tax assets. Upon further review, NNN determined that its available sources of income supported  realizability of all but $3,104,000 of its gross deferred tax assets as of December 31, 2009, 2010 and 2011. As a result, NNN  determined that it had previously understated its deferred income tax benefit in the years ended December 31, 2010 and 2009  by $3,121,000 and $3,372,000, respectively, and understated its net deferred tax assets by $6,493,000 as of December 31, 2011  and 2010, in its financial statements. NNN corrected this in the year ended December 31, 2012 by reversing the valuation  allowance and recording an income tax benefit of $6,493,000. NNN reviewed the impact of correcting the prior period errors in  2012 as well as its impact on prior periods in accordance with SAB Topics 1.M and 1.N and determined that the misstatements  did not have a material effect on the Company’s financial position, results of operations, trends in earnings, or cash flows for  any of the periods presented. Furthermore, NNN determined in the year ended December 31, 2012 that its available sources of income supported realizability  of all of its gross deferred tax assets. In 2012, NNN reversed the remaining valuation allowance and recorded an income tax  benefit of $1,178,000. During the year ended December 31, 2013, NNN identified an immaterial error related to its statement of cash flows for the  year ended December 31, 2011. The Company previously classified its payment for the termination of interest rate hedges of  $5,218,000 in financing activities. These instruments were hedging the risk of changes in the interest-related cash outflows  associated with the potential issuance of long-term debt. This amount has been presented in operating activities in the 2013  consolidated financial statements. The following table summarizes the lease expirations, assuming none of the tenants exercise renewal options, of NNN’s  Property Portfolio for each of the next 10 years and then thereafter in the aggregate as of December 31, 2013: Results of Operations Property Analysis General. The following table summarizes NNN’s Property Portfolio as of December 31: (1)  Based on the annualized base rent for all leases in place as of December 31, 2013. (2)  Approximate square feet.  22 2013 2012 2011 Properties Owned: Number 1,860 1,622 1,422 Total gross leasable area (square feet) 20,402,000 19,168,000 16,428,000 Properties: Leased or operated, and unimproved land 1,827 1,588 1,384 Percent of Properties – leased or operated, and unimproved land 98% 98% 97% Weighted average remaining lease term (years) 12 12 12 Total gross leasable area (square feet) – leased or operated 19,872,000 18,524,000 15,681,000 % of Annual Base Rent (1) # of Properties Gross Leasable Area (2) % of Annual Base Rent (1) # of Properties Gross Leasable Area (2) 2014 1.4% 32 434,000 2020 3.1% 97 916,000 2015 1.6% 32 482,000 2021 4.6% 99 918,000 2016 1.7% 32 567,000 2022 6.9% 92 1,150,000 2017 3.5% 46 1,009,000 2023 3.3% 54 962,000 2018 8.3% 186 1,957,000 Thereafter 62.1% 1,092 10,472,000 2019 3.5% 57 1,005,000