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Debt (Tables)
 3 Months Ended
Mar. 31, 2022
Debt Disclosure [Abstract]  
Summary of the mortgage notes payable, unsecured term loans and credit facility
The following table summarizes the Company’s outstanding indebtedness, including borrowings under the Company’s unsecured credit facility, unsecured term loans, unsecured notes, and mortgage notes as of March 31, 2022 and December 31, 2021.

LoanPrincipal Outstanding as of March 31, 2022 (in thousands)    Principal Outstanding as of December 31, 2021 (in thousands)
Interest 
Rate(1)(2)
    Maturity Date
Prepayment Terms(3) 
Unsecured credit facility:
Unsecured Credit Facility(4)
$384,000 
 
$296,000  L + 0.775%October 23, 2026i
Total unsecured credit facility384,000 
 
296,000     
Unsecured term loans: 
 
    
Unsecured Term Loan D
150,000 
 
150,000  2.85 % January 4, 2023i
Unsecured Term Loan E175,000 175,000 3.77 %January 15, 2024i
Unsecured Term Loan F200,000 200,000 2.96 %January 12, 2025i
Unsecured Term Loan G300,000 300,000 1.13 %February 5, 2026i
Unsecured Term Loan A150,000 150,000 3.23 %March 15, 2027i
Total unsecured term loans975,000 975,000 
Total unamortized deferred financing fees and debt issuance costs(4,075)(4,423)
Total carrying value unsecured term loans, net970,925 
 
970,577     
Unsecured notes: 
 
    
Series F Unsecured Notes100,000 100,000 3.98 %

January 5, 2023ii
Series A Unsecured Notes50,000 
 
50,000  4.98 %October 1, 2024ii
Series D Unsecured Notes100,000 
 
100,000  4.32 %February 20, 2025ii
Series G Unsecured Notes75,000 75,000 4.10 %June 13, 2025ii
Series B Unsecured Notes50,000 
 
50,000  4.98 %July 1, 2026ii
Series C Unsecured Notes80,000 
 
80,000  4.42 %December 30, 2026ii
Series E Unsecured Notes20,000 
 
20,000  4.42 %February 20, 2027ii
Series H Unsecured Notes100,000 100,000 4.27 %June 13, 2028ii
Series I Unsecured Notes275,000 275,000 2.80 %September 29, 2031ii
Series J Unsecured Notes50,000 50,000 2.95 %September 28, 2033ii
Total unsecured notes900,000 900,000 

Total unamortized deferred financing fees and debt issuance costs(2,942)(3,059)

Total carrying value unsecured notes, net897,058 
 
896,941 
 
 

  

Mortgage notes (secured debt):  

  
Wells Fargo Bank, National Association CMBS Loan46,106 
 
46,610  4.31 %December 1, 2022iii
Thrivent Financial for Lutherans3,397 3,430 4.78 %December 15, 2023iv
United of Omaha Life Insurance Company4,894 4,943 3.71 %October 1, 2039ii
Total mortgage notes 54,397 
 
54,983   
Net unamortized fair market value discount(136)(136) 
Total unamortized deferred financing fees and debt issuance costs (71)(103)
Total carrying value mortgage notes, net54,190 
 
54,744  
Total / weighted average interest rate(5)
$2,306,173 
 
$2,218,262 2.87 %
(1)Interest rate as of March 31, 2022. At March 31, 2022, the one-month LIBOR (“L”) was 0.452%. The current interest rate is not adjusted to include the amortization of deferred financing fees or debt issuance costs incurred in obtaining debt or any unamortized fair market value premiums. The spread over the applicable rate for the Company’s unsecured credit facility and unsecured term loans is based on the Company’s debt rating and leverage ratio, as defined in the respective loan agreements.
(2)The unsecured term loans have a stated interest rate of one-month LIBOR plus a spread of 0.85%, with the exception of Unsecured Term Loan D which has a stated interest rate of one-month LIBOR plus a spread of 1.0%. As of March 31, 2022, one-month LIBOR for the Unsecured Term Loans A, D, E, F, and G was swapped to a fixed rate of 2.38%, 1.85%, 2.92%, 2.11%, and 0.28%, respectively. One-month LIBOR for the Unsecured Term Loan A will be swapped to a fixed rate of 1.30% effective April 1, 2022. One-month LIBOR for the Unsecured Term Loan G will be swapped to a fixed rate of 0.94% effective April 18, 2023.
(3)Prepayment terms consist of (i) pre-payable with no penalty; (ii) pre-payable with penalty; (iii) pre-payable without penalty three months prior to the maturity date, subject to defeasance; and (iv) pre-payable without penalty three months prior to the maturity date.
(4)The capacity of the unsecured credit facility is $750.0 million. Deferred financing fees and debt issuance costs, net of accumulated amortization related to the unsecured credit facility of approximately $4.9 million and $5.2 million are included in prepaid expenses and other assets on the accompanying Consolidated Balance Sheets as of March 31, 2022 and December 31, 2021, respectively. The initial maturity date is October 24, 2025, or such later date
which may be extended pursuant to two six-month extension options exercisable by the Company in its discretion upon advance written notice. Exercise of each six-month option is subject to the following conditions: (i) absence of a default immediately before the extension and immediately after giving effect to the extension; (ii) accuracy of representations and warranties as of the extension date (both immediately before and after the extension), as if made on the extension date; and (iii) payment of a fee. Neither extension option is subject to lender consent, assuming proper notice and satisfaction of the conditions.
(5)The weighted average interest rate was calculated using the fixed interest rate swapped on the notional amount of $975.0 million of debt, and is not adjusted to include the amortization of deferred financing fees or debt issuance costs incurred in obtaining debt or any unamortized fair market value premiums or discounts.
Interest Income and Interest Expense Disclosure [Table Text Block]
The following table summarizes the costs included in interest expense related to the Company’s debt arrangements on the accompanying Consolidated Statement of Operations for the three months ended March 31, 2022 and 2021.

Three months ended March 31,
Costs Included in Interest Expense (in thousands)20222021
Amortization of deferred financing fees and debt issuance costs and fair market value premiums/discounts$864 $487 
Facility, unused, and other fees$341 $386 
Schedule of aggregate carrying value of the debt and the corresponding estimate of fair value
The following table summarizes the aggregate principal amount outstanding under the Company’s debt arrangements and the corresponding estimate of fair value as of March 31, 2022 and December 31, 2021.

 March 31, 2022December 31, 2021
Indebtedness (in thousands)Principal OutstandingFair ValuePrincipal OutstandingFair Value
Unsecured credit facility$384,000 $383,927 $296,000 $296,000 
Unsecured term loans975,000 975,015 975,000 975,224 
Unsecured notes900,000 880,674 900,000 937,183 
Mortgage notes54,397 54,628 54,983 56,323 
Total principal amount2,313,397 $2,294,244 2,225,983 $2,264,730 
Net unamortized fair market value discount(136)(136)
Total unamortized deferred financing fees and debt issuance costs (7,088)(7,585)
Total carrying value$2,306,173 $2,218,262