Quarterly report [Sections 13 or 15(d)]

Mortgage Notes Payable, Credit Facility, and Senior Unsecured Notes (Tables)

v3.25.1
Mortgage Notes Payable, Credit Facility, and Senior Unsecured Notes (Tables)
 3 Months Ended
Mar. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Company's Mortgage Notes Payable and Credit Facility
Our mortgage notes payable, Credit Facility, and our Operating Partnership’s $75.0 million senior unsecured notes (the “2029 Notes”) as of March 31, 2025 and December 31, 2024 are summarized below (dollars in thousands):

Encumbered properties at Carrying Value at Stated Interest Rates at Scheduled Maturity Dates at
March 31, 2025 March 31, 2025 December 31, 2024 March 31, 2025 March 31, 2025
Mortgage and other secured loans:
Fixed rate mortgage loans 44  $ 261,898  $ 264,243  (1) (2)
Variable rate mortgage loans 1  7,201  7,260 
SOFR + 2.25%
 (3) (2)
Premiums and discounts, net —  (1) (8) N/A N/A
Deferred financing costs, mortgage loans, net —  (1,772) (1,916) N/A N/A
Total mortgage notes payable, net 45  $ 267,326  $ 269,579  (4)
Variable rate revolving credit facility 94  (6) $ 51,300  $ 1,900 
SOFR + 1.35%
 (3) 8/18/2026
Total revolver 94  $ 51,300  $ 1,900 
Variable rate term loan facility A —  (6) $ 160,000  $ 160,000 
SOFR + 1.30%
 (3) 8/18/2027
Variable rate term loan facility B —  (6) 40,000  40,000 
SOFR + 1.30%
 (3) 2/11/2026
Variable rate term loan facility C —  (6) 150,000  150,000 
SOFR + 1.30%
 (3) 2/18/2028
Deferred financing costs, term loan facility —  (1,879) (2,052) N/A N/A
Total term loan, net N/A $ 348,121  $ 347,948 
Senior unsecured notes —  $ 75,000  $ 75,000  6.47% 12/18/2029
Deferred financing costs, senior unsecured notes —  (1,001) (1,042) N/A N/A
Total senior unsecured notes, net N/A $ 73,999  $ 73,958 
Total mortgage notes payable, credit facility, and senior unsecured notes 139  $ 740,746  $ 693,385  (5)
(1)As of March 31, 2025, interest rates on our fixed rate mortgage notes payable varied from 2.80% to 6.63%.
(2)As of March 31, 2025, we had 40 mortgage notes payable with maturity dates ranging from September 30, 2025 through August 1, 2037.
(3)As of March 31, 2025, the Secured Overnight Financing Rate (“SOFR”) was approximately 4.41%.
(4)The weighted average interest rate on the mortgage notes outstanding as of March 31, 2025 was approximately 4.29%.
(5)The weighted average interest rate on all debt outstanding as of March 31, 2025 was approximately 5.28%.
(6)The amount we may draw under our Credit Facility is based on a percentage of the fair value of a combined pool of 94 unencumbered properties as of March 31, 2025.
N/A - Not Applicable
Schedule of Principal Payments of Mortgage Notes Payable
Scheduled principal payments of mortgage notes payable for the nine months ending December 31, 2025, and each of the five succeeding fiscal years and thereafter are as follows (dollars in thousands):
 
Year Scheduled Principal Payments
Nine Months Ending December 31, 2025 $ 17,509 
2026 35,367 
2027 95,402 
2028 37,433 
2029 34,867 
2030 33,528 
Thereafter 14,993 
Total $ 269,099  (1)
(1)This figure does not include $(0.001) million of premiums and (discounts), net, and $1.8 million of deferred financing costs, which are reflected in mortgage notes payable, net on the condensed consolidated balance sheets.
Schedule of Interest Rate Caps and Swaps The following table summarizes the interest rate caps at March 31, 2025 and December 31, 2024 (dollars in thousands):
 
March 31, 2025 December 31, 2024
Aggregate Cost Aggregate Notional Amount Aggregate Fair Value Aggregate Notional Amount Aggregate Fair Value
$ —  (1) $ —  $ —  $ 60,000  $ — 
(1)We entered into an interest rate cap agreement on variable rate debt with a SOFR cap of 5.50%. This cap matured in March 2025.
The following table summarizes our interest rate swaps at March 31, 2025 and December 31, 2024 (dollars in thousands):
March 31, 2025 December 31, 2024
Aggregate Notional Amount Aggregate Fair Value Asset Aggregate Fair Value Liability Aggregate Notional Amount Aggregate Fair Value Asset Aggregate Fair Value Liability
$ 360,177  $ 5,218  $ (289) $ 360,484  $ 8,965  $ (19)
Schedule of Impact of Derivative Instruments and Information Regarding Derivative Instruments
The following table presents the impact of our derivative instruments in the condensed consolidated financial statements (dollars in thousands):

Amount of (loss) gain, net, recognized in Comprehensive Income
Three Months Ended March 31,
2025 2024
Derivatives in cash flow hedging relationships
Interest rate caps $ —  $ (498)
Interest rate swaps (4,016) 5,915 
Total $ (4,016) $ 5,417 

The following table presents the reclassifications of our derivative instruments out of accumulated other comprehensive income into interest expense in the condensed consolidated financial statements (dollars in thousands):

Amount reclassified out of Accumulated Other Comprehensive Income
Three Months Ended March 31,
2025 2024
Interest rate caps $ 15  $ 106 
Total $ 15  $ 106 

The following table sets forth certain information regarding our derivative instruments (dollars in thousands):

Asset (Liability) Derivatives Fair Value at
Derivatives Designated as Hedging Instruments Balance Sheet Location March 31, 2025 December 31, 2024
Interest rate caps Other assets $ —  $ — 
Interest rate swaps Other assets 5,218  8,965 
Interest rate swaps Other liabilities (289) (19)
Total derivative liabilities, net $ 4,929  $ 8,946