XML 21 R14.htm IDEA: XBRL DOCUMENT
v3.19.3

Debt | 9 Months Ended
--- | ---
Sep. 30, 2019
Notes and Loans Payable [Abstract] |
Debt | Debt As of September 30, 2019, the Company's total debt, net, was $573,097, which consists of mortgages payable, net, of $175,764 and credit agreements, net, of $397,333. The Company believes it has the ability to repay, refinance or extend any of its debt, and that it has adequate sources of funds to meet short-term cash needs related to mortgages payable. It is anticipated that the Company will use proceeds from property sales, cash on hand and available capacity on credit agreements, if any, to repay, refinance or extend the mortgages payable maturing in the near term. Mortgages Payable As of September 30, 2019 and December 31, 2018, the Company had the following mortgages payable outstanding:
| September 30, 2019 |  | December 31, 2018
Mortgages payable (a) | $ | 176,502 |  |  | $ | 213,925 |
Premium, net of accumulated amortization | 60 |  |  | 239 |
Discount, net of accumulated amortization | (130 | ) |  | (158 | )
Issuance costs, net of accumulated amortization | (668 | ) |  | (1,079 | )
Total mortgages payable, net | $ | 175,764 |  |  | $ | 212,927 |
(a) | Mortgages payable had fixed interest rates ranging from 3.49% to 5.49% as of September 30, 2019 and December 31, 2018, with a weighted-average interest rate of 4.34% and 4.33% as of September 30, 2019 and December 31, 2018, respectively.
Some of the mortgage loans require compliance with certain covenants, such as debt service coverage ratios, investment restrictions and distribution limitations. As of September 30, 2019 and December 31, 2018, the Company was in compliance with all mortgage loan requirements. The following table shows the scheduled maturities of the Company's mortgages payable as of September 30, 2019 for the remainder of 2019, each of the next four years and thereafter.
| Maturities during the year ending December 31, |  |  |  |
| 2019 |  | 2020 |  | 2021 |  | 2022 |  | 2023 |  | Thereafter |  | Total
Mortgages payable | $ | — |  |  | $ | 41,000 |  |  | $ | — |  |  | $ | 50,034 |  |  | $ | 41,138 |  |  | $ | 44,330 |  |  | $ | 176,502 |
Credit Agreements Unsecured revolving line of credit On December 21, 2018, the Company entered into an unsecured revolving credit agreement, which amends and restates the Company’s prior revolving credit agreement in its entirety, and provides for a $350,000 unsecured revolving line of credit (the "Revolving Credit Agreement"). The Revolving Credit Agreement has a 4-year term maturing on December 21, 2022, with two six months extension options. Interest rates are based on the Company's total leverage ratio or, at the Company's one-time irrevocable option, upon achievement of an investment-grade credit rating. A facility fee accrues on the aggregate commitments at a rate ranging from 0.15% to 0.30% depending on the Company’s total leverage ratio, and as of September 30, 2019 and December 31, 2018, the facility fee was 0.15%. As of September 30, 2019 and December 31, 2018, the Company had no outstanding borrowings under the Revolving Credit Agreement. Unsecured term loans On December 21, 2018, the Company entered into an unsecured term loan credit agreement, which amends and restates the Company’s prior term loan agreement in its entirety, and provides for $400,000 in unsecured term loans (the "Term Loan Agreement"). The Term Loan Agreement consists of two tranches: a $250,000 5-year tranche maturing on December 21, 2023, and a $150,000 5.5-year tranche maturing on June 21, 2024. Interest rates are based on the Company's total leverage ratio or, at the Company's one-time irrevocable option, upon achievement of an investment-grade credit rating. As of September 30, 2019 and December 31, 2018, the Company had the following borrowings outstanding under its unsecured term loans:
| September 30, 2019 |  | December 31, 2018 |  |
| Principal Balance |  | Interest Rate |  | Principal Balance |  | Interest Rate |  | Maturity Date
$250.0 million 5 year - swapped to fixed rate | $ | 90,000 |  |  | 2.5510% (a) |  | $ | 90,000 |  |  | 2.5510% (a) |  | December 21, 2023
$250.0 million 5 year - swapped to fixed rate | 60,000 |  |  | 2.5525% (a) |  | 60,000 |  |  | 2.5525% (a) |  | December 21, 2023
$250.0 million 5 year - variable-rate | 50,000 |  |  | 3.3003% (b) |  | 50,000 |  |  | 3.5493% (c) |  | December 21, 2023
$250.0 million 5 year - variable-rate | 50,000 |  |  | 3.3003% (b) |  | 26,000 |  |  | 3.6794% (d) |  | December 21, 2023
$150.0 million 5.5 year - variable-rate | 100,000 |  |  | 3.3003% (b) |  | 100,000 |  |  | 3.5493% (c) |  | June 21, 2024
$150.0 million 5.5 year - variable-rate | 50,000 |  |  | 3.3003% (b) |  | 26,000 |  |  | 3.6794% (d) |  | June 21, 2024
Total unsecured term loans | 400,000 |  |  |  |  | 352,000 |  |  |  |  |
Issuance costs, net of accumulated amortization | (2,667 | ) |  |  |  | (3,145 | ) |  |  |  |
Total unsecured term loans, net | $ | 397,333 |  |  |  |  | $ | 348,855 |  |  |  |  |
(a) | The Company swapped $90,000 (notional amount of $90,000) and $60,000 (notional amount of $60,000) of variable-rate debt at an interest rate of 1-Month LIBOR plus 1.20% to a fixed rate of 2.5510% and 2.5525%, respectively. The swaps have an effective date of December 10, 2015 and a termination date of December 1, 2019. As a result, all net deferred amounts in accumulated comprehensive income related to these swaps will be reclassified into earnings during 2019.
(b) | Interest rate reflects 1-Month LIBOR plus 1.20% effective September 3, 2019.
(c) | Interest rate reflects 1-Month LIBOR plus 1.20% effective December 3, 2018.
(d) | Interest rate reflects 1-Month LIBOR plus 1.20% effective December 21, 2018.
During the quarter ended September 30, 2019, the Company entered into four interest rate swap agreements which will effectively replace the two interest rate swaps terminating on December 1, 2019. Of the four interest rate swap agreements, two have a notional amount of $100,000, an effective date of December 2, 2019, a termination date of December 21, 2023, and achieve a fixed interest rate of 2.68%. The other two each have a notional amount of $50,000, an effective date of December 2, 2019, a termination date of June 21, 2024, and achieve fixed interest rates of 2.69% and 2.70%.

X
- 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
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_NotesAndLoansPayableAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration