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Notes Payable and Unsecured Credit Facilities | 12 Months Ended
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Dec. 31, 2020
Debt Disclosure [Abstract] |
Notes Payable and Unsecured Credit Facilities |
9. | Notes Payable and Unsecured Credit Facilities
The Company’s outstanding debt consists of the following:
|  | Maturing Through |  | Weighted Average Contractual Rate |  |  | Weighted Average Effective Rate |  |  | December 31, |
(in thousands) |  |  |  |  |  |  |  |  |  |  |  | 2020 |  |  | 2019 |
Notes payable: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed rate mortgage loans |  | 10/1/2036 |  | 4.3% |  |  | 4.0% |  |  | $ | 272,749 |  |  | $ | 342,020 |
Variable rate mortgage loans (1) |  | 6/2/2027 |  | 2.8% |  |  | 2.9% |  |  |  | 146,046 |  |  |  | 148,389 |
Fixed rate unsecured public and private debt |  | 3/15/2049 |  | 3.8% |  |  | 4.0% |  |  |  | 3,239,609 |  |  |  | 2,944,752 |
Total notes payable |  |  |  |  |  |  |  |  |  |  |  | $ | 3,658,404 |  |  |  | 3,435,161 |
Unsecured credit facilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Line of Credit (2) |  | 3/23/2022 |  | 1.0% |  |  | 1.4% |  |  | $ | — |  |  | $ | 220,000 |
Term Loan (3) |  | 1/5/2022 |  | 2.0% |  |  | 2.1% |  |  |  | 264,680 |  |  |  | 264,383 |
Total unsecured credit facilities |  |  |  |  |  |  |  |  |  |  |  | $ | 264,680 |  |  |  | 484,383 |
Total debt outstanding |  |  |  |  |  |  |  |  |  |  |  | $ | 3,923,084 |  |  |  | 3,919,544 |
(1) | Includes six mortgages with interest rates that vary on LIBOR based formulas. Four of these variable rate loans have interest rate swaps in place to fix the interest rates. The effective fixed rates of the loans range from 2.5% to 4.1%.
(2) | Weighted average effective rate for the Line is calculated based on a fully drawn Line balance. During February 2021, the Company amended its Line agreement to extend the maturity to March 23, 2025 retaining the same overall borrowing capacity of $1.25 billion and credit-based interest rate spread over LIBOR currently equal to 0.875%.
(3) | In January 2021, the Company repaid in full the $265 million Term Loan, using cash on hand.
Notes Payable Notes payable consist of mortgage loans secured by properties and unsecured public and private debt. Mortgage loans may be repaid before maturity, but could be subject to yield maintenance premiums, and are generally due in monthly installments of principal and interest or interest only. Unsecured public debt may be repaid before maturity subject to accrued and unpaid interest through the proposed redemption date and a make-whole premium. Interest on unsecured public and private debt is payable semi-annually. The Company is required to comply with certain financial covenants for its unsecured public debt as defined in the indenture agreements such as the following ratios: Consolidated Debt to Consolidated Assets, Consolidated Secured Debt to Consolidated Assets, Consolidated Income for Debt Service to Consolidated Debt Service, and Unencumbered Consolidated Assets to Unsecured Consolidated Debt. As of December 31, 2020, management of the Company believes it is in compliance with all financial covenants for its unsecured public debt. Unsecured Credit Facilities At December 31, 2020, the Company had an unsecured line of credit commitment (the “Line”) and an unsecured term loan (the “Term Loan”) under separate credit agreements with a syndicate of banks. At December 31, 2020, the Line had a borrowing capacity of $1.25 billion, which is reduced by the balance of outstanding borrowings and commitments from issued letters of credit. The Line bears interest at a variable rate of LIBOR plus 0.875% and is subject to a commitment fee of 0.15%, both of which are based on the Company's corporate credit rating. On February 9, 2021, the Company entered into an Amended and Restated Credit Agreement, which among other items, i) retains a borrowing capacity of $ 1.25 billion, ii) includes a $125 million sublimit for swingline loans and $50 million available for issuance of letters of credits, iii) extends the maturity date to March 23, 2025 and iv) includes an option to extend the maturity date for two six-month periods. The existing financial covenants under the Line remained unchanged. The Term Loan bears interest at a variable rate based on LIBOR plus 0.95% and has an interest rate swap in place to fix the interest rate at 2.0%, as discussed further in note 10. During January 2021, the Company repaid in full the $265 million Term Loan, and settled its related interest rate swap, as discussed in Note 10. The Company is required to comply with certain financial covenants as defined in the Line and Term Loan credit agreements, such as Ratio of Indebtedness to Total Asset Value (“TAV”), Ratio of Unsecured Indebtedness to Unencumbered Asset Value, Ratio of Adjusted EBITDA to Fixed Charges, Ratio of Secured Indebtedness to TAV, Ratio of Unencumbered Net Operating Income to Unsecured Interest Expense, and other covenants customary with this type of unsecured fin ancing. As of December 31, 2020, t he Company is in compliance with all financial covenants for the Line and Term Loan. Scheduled principal payments and maturities on notes payable and unsecured credit facilities were as follows:
(in thousands) |  | December 31, 2020 |
Scheduled Principal Payments and Maturities by Year: |  | Scheduled Principal Payments |  |  | Mortgage Loan Maturities |  |  | Unsecured Maturities (1) |  |  | Total |
2021 |  | $ | 11,598 |  |  | $ | 31,562 |  |  | $ | — |  |  |  | 43,160 |
2022 |  |  | 11,797 |  |  |  | 5,848 |  |  |  | 265,000 |  | (2) |  | 282,645 |
2023 |  |  | 10,124 |  |  |  | 65,724 |  |  |  | — |  |  |  | 75,848 |
2024 |  |  | 5,301 |  |  |  | 90,744 |  |  |  | 250,000 |  |  |  | 346,045 |
2025 |  |  | 4,207 |  |  |  | 40,000 |  |  |  | 250,000 |  |  |  | 294,207 |
Beyond 5 Years |  |  | 17,505 |  |  |  | 121,303 |  |  |  | 2,775,000 |  |  |  | 2,913,808 |
Unamortized debt premium/(discount) and issuance costs |  |  | — |  |  |  | 3,082 |  |  |  | (35,711 | ) |  |  | (32,629 | )
Total notes payable |  | $ | 60,532 |  |  |  | 358,263 |  |  |  | 3,504,289 |  |  |  | 3,923,084 |
| (1) | Includes unsecured public and private debt and unsecured credit facilities.
| (2) | In January 2021, the Company repaid in full the $265 million Term Loan.
The Company has $31.6 million of debt maturing over the next twelve months, which is in the form of non-recourse mortgage loans. The Company currently intends to repay the maturing balances and leave the properties unencumbered. The Company has sufficient capacity on its Line to repay the maturing debt, if necessary.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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