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Debt Obligations, net (Tables)
 6 Months Ended
Jun. 30, 2018
Debt Disclosure [Abstract]  
Schedule of debt obligations
The Company's debt obligations were as follows ($ in thousands):
 
Carrying Value as of
 
Stated
Interest Rates
 
Scheduled
Maturity Date
 
June 30, 2018
 
December 31, 2017
 
 
Secured credit facilities and mortgages:
 
 
 
 
 
 
 
2015 $325 million Revolving Credit Facility
$
—

 
$
325,000

 
LIBOR + 2.50%

(1) 
September 2020
2016 Senior Term Loan
650,000

 
399,000

 
LIBOR + 2.75%

(2) 
June 2023
Mortgages collateralized by net lease assets(3)
670,872

 
208,491

 
3.62% - 7.26%

(4) 
 
Total secured credit facilities and mortgages
1,320,872

 
932,491

 
 

 
 
Unsecured notes:
 
 
 
 
 
 
 
5.00% senior notes(5)
770,000

 
770,000

 
5.00
%
 
July 2019
4.625% senior notes(6)
400,000

 
400,000

 
4.625
%
 
September 2020
6.50% senior notes(7)
275,000

 
275,000

 
6.50
%
 
July 2021
6.00% senior notes(8)
375,000

 
375,000

 
6.00
%
 
April 2022
5.25% senior notes(9)
400,000

 
400,000

 
5.25
%
 
September 2022
3.125% senior convertible notes(10)
287,500

 
287,500

 
3.125
%
 
September 2022
Total unsecured notes
2,507,500

 
2,507,500

 
 

 
 
Other debt obligations:

 
 
 
 
 
 
Trust preferred securities
100,000

 
100,000

 
LIBOR + 1.50%

 
October 2035
Total debt obligations
3,928,372

 
3,539,991

 
 

 
 
Debt discounts and deferred financing costs, net
(58,796
)
 
(63,591
)
 
 

 
 
Total debt obligations, net(11)
$
3,869,576

 
$
3,476,400

 
 

 
 
_______________________________________________________________________________
(1)
The loan bears interest at the Company's election of either: (i) a base rate, which is the greater of (a) prime, (b) federal funds plus 0.5% or (c) LIBOR plus 1.0% and subject to a margin ranging from 1.25% to 1.75%; or (ii) LIBOR subject to a margin ranging from 2.25% to 2.75%. At maturity, the Company may convert outstanding borrowings to a one year term loan which matures in quarterly installments through September 2021.
(2)
The loan bears interest at the Company's election of either: (i) a base rate, which is the greater of (a) prime, (b) federal funds plus 0.5% or (c) LIBOR plus 1.0% and subject to a margin of 1.75%; or (ii) LIBOR subject to a margin of 2.75%.
(3)
On June 30, 2018, the Company consolidated the Net Lease Venture and recorded $464.7 million to "Debt obligations, net" on the Company's consolidated balance sheet.
(4)
As of June 30, 2018, the weighted average interest rate of these loans is 4.6%, inclusive of the effect interest rate swaps.
(5)
The Company can prepay these senior notes without penalty. In July 2018, the Company redeemed $273.0 million of the 5.00% senior notes.
(6)
The Company can prepay these senior notes without penalty beginning June 15, 2020.
(7)
The Company can prepay these senior notes without penalty beginning July 1, 2020.
(8)
The Company can prepay these senior notes without penalty beginning April 1, 2021.
(9)
The Company can prepay these senior notes without penalty beginning September 15, 2021.
(10)
The Company's 3.125% senior convertible fixed rate notes due September 2022 ("3.125% Convertible Notes") are convertible at the option of the holders at a conversion rate of 64.36 shares per $1,000 principal amount of 3.125% Convertible Notes, which equals a conversion price of $15.54 per share, at any time prior to the close of business on the business day immediately preceding September 15, 2022. Upon conversion, the Company will pay or deliver, as the case may be, a combination of cash and shares of its common stock. As such, at issuance in September 2017, the Company valued the debt component at $221.8 million, net of fees, and the equity component of the conversion feature at $22.5 million, net of fees, and recorded the equity component in "Additional paid-in capital" on the Company's consolidated balance sheet. In October 2017, the initial purchasers of the 3.125% Convertible Notes exercised their option to purchase an additional $37.5 million aggregate principal amount of the 3.125% Convertible Notes. At issuance, the Company valued the debt component at $34.0 million, net of fees, and the equity component of the conversion feature at $3.4 million, net of fees, and recorded the equity component in "Additional paid-in capital" on the Company's consolidated balance sheet. As of June 30, 2018, the carrying value of the 3.125% Convertible Notes was $259.6 million, net of fees, and the unamortized discount of the 3.125% Convertible Notes was $22.9 million, net of fees. During the three and six months ended June 30, 2018, the Company recognized $2.2 million and $4.5 million, respectively, of contractual interest and $1.2 million and $2.3 million, respectively, of discount amortization on the 3.125% Convertible Notes. The effective interest rate was 5.2%.
(11)
The Company capitalized interest relating to development activities of $2.1 million and $4.5 million during the three and six months ended June 30, 2018, respectively, and $2.0 million and $4.0 million during the three and six months ended June 30, 2017, respectively.
Schedule of future scheduled maturities of outstanding debt obligations
As of June 30, 2018, future scheduled maturities of outstanding debt obligations are as follows ($ in thousands):
 
Unsecured Debt(1)
 
Secured Debt
 
Total
2018 (remaining six months)
$
—

 
$
90,186

 
$
90,186

2019
770,000

 
1,054

 
771,054

2020
400,000

 
—

 
400,000

2021
275,000

 
269,647

 
544,647

2022
1,062,500

 
57,992

 
1,120,492

Thereafter
100,000

 
901,993

 
1,001,993

Total principal maturities
2,607,500

 
1,320,872

 
3,928,372

Unamortized discounts and deferred financing costs, net
(48,784
)
 
(10,012
)
 
(58,796
)
Total debt obligations, net
$
2,558,716

 
$
1,310,860

 
$
3,869,576


_______________________________________________________________________________
(1)
In July 2018, the Company redeemed $273.0 million of senior notes.
Schedule of carrying value of encumbered assets by asset type
The carrying value of the Company's assets that are directly pledged or are held by subsidiaries whose equity is pledged as collateral to secure the Company's obligations under its secured debt facilities are as follows, by asset type ($ in thousands):
 
As of
 
June 30, 2018
 
December 31, 2017
 
Collateral Assets(1)
 
Non-Collateral Assets
 
Collateral Assets(1)
 
Non-Collateral Assets
Real estate, net
$
1,583,330

 
$
331,669

 
$
795,321

 
$
486,710

Real estate available and held for sale
—

 
37,597

 
20,069

 
48,519

Land and development, net
10,100

 
631,527

 
25,100

 
835,211

Loans receivable and other lending investments, net(2)(3)
523,425

 
528,812

 
194,529

 
1,021,340

Other investments
—

 
293,017

 
—

 
321,241

Cash and other assets
—

 
1,418,055

 
—

 
898,252

Total
$
2,116,855

 
$
3,240,677

 
$
1,035,019

 
$
3,611,273

_______________________________________________________________________________
(1)
The 2016 Senior Term Loan and the 2015 Revolving Credit Facility are secured only by pledges of equity of certain of the Company's subsidiaries and not by pledges of the assets held by such subsidiaries. Such subsidiaries are subject to contractual restrictions under the terms of such credit facilities, including restrictions on incurring new debt (subject to certain exceptions). As of June 30, 2018, Collateral Assets includes $423.6 million carrying value of assets held by entities pledged as collateral for the $325.0 million 2015 Revolving Credit Facility that is fully undrawn as of June 30, 2018.
(2)
As of June 30, 2018 and December 31, 2017, the amounts presented exclude general reserves for loan losses of $14.1 million and $17.5 million, respectively.
(3)
As of June 30, 2018 and December 31, 2017, the amounts presented exclude loan participations of $14.7 million and $102.3 million, respectively.