XML 81 R38.htm IDEA: XBRL DOCUMENT v3.20.1
Debt Obligations, net (Tables)
 3 Months Ended
Mar. 31, 2020
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
 
March 31, 2020
 
December 31, 2019
 
 
Secured credit facilities and mortgages:
 
 
 
 
 
 
 
Revolving Credit Facility
$
300,000

 
$
—

 
LIBOR + 2.00%
(1) 
September 2022
Senior Term Loan
491,875

 
491,875

 
LIBOR + 2.75%
(2) 
June 2023
Mortgages collateralized by net lease assets(3)
724,209

 
721,118

 
2.54% - 7.26%
(3) 
 
Total secured credit facilities and mortgages
1,516,084

 
1,212,993

 
 
 
 
Unsecured notes:
 
 
 
 
 
 
 
6.00% senior notes(4)
—

 
110,545

 
6.00%
 
—
5.25% senior notes(5)
400,000

 
400,000

 
5.25%
 
September 2022
3.125% senior convertible notes(6)
287,500

 
287,500

 
3.125%
 
September 2022
4.75% senior notes(7)
775,000

 
775,000

 
4.75%
 
October 2024
4.25% senior notes(8)
550,000

 
550,000

 
4.25%
 
August 2025
Total unsecured notes
2,012,500

 
2,123,045

 
 
 
 
Other debt obligations:

 
 
 
 
 
 
Trust preferred securities
100,000

 
100,000

 
LIBOR + 1.50%
 
October 2035
Total debt obligations
3,628,584

 
3,436,038

 
 
 
 
Debt discounts and deferred financing costs, net
(45,224
)
 
(48,958
)
 
 
 
 
Total debt obligations, net(9)
$
3,583,360

 
$
3,387,080

 
 
 
 
_______________________________________________________________________________
(1)
The Revolving Credit Facility bears interest at the Company's election of either: (i) a base rate, which is the greater of (a) prime, (b) federal funds plus 0.50% or (c) LIBOR plus 1.0% and subject to a margin ranging from 1.00% to 1.50%; or (ii) LIBOR subject to a margin ranging from 2.00% to 2.50%. At maturity, the Company may convert outstanding borrowings to a one year term loan which matures in quarterly installments through September 2023.
(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 0.50% 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)
As of March 31, 2020, the weighted average interest rate of these loans is 4.4%, inclusive of the effect of interest rate swaps.
(4)
The Company repaid these senior notes in January 2020.
(5)
The Company can prepay these senior notes without penalty beginning September 15, 2021.
(6)
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 any time prior to the close of business on the business day immediately preceding September 15, 2022. The conversion rate as of March 31, 2020 was 68.3420 shares per $1,000 principal amount of 3.125% Convertible Notes, which equals a conversion price of $14.63 per share. The conversion rate is subject to adjustment from time to time for specified events. Upon conversion, the Company will pay or deliver, as the case may be, a combination of cash and shares of its common stock. At issuance in September 2017, the Company valued the liability 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 liability 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 March 31, 2020, the carrying value of the 3.125% Convertible Notes was $270.2 million, net of fees, and the unamortized discount of the 3.125% Convertible Notes was $14.2 million, net of fees. As of December 31, 2019, the carrying value of the 3.125% Convertible Notes was $268.7 million, net of fees, and the unamortized discount of the 3.125% Convertible Notes was $15.5 million, net of fees. During the three months ended March 31, 2020 and 2019, the Company recognized $2.2 million and $2.2 million, respectively, of contractual interest and $1.3 million and $1.2 million, respectively, of discount amortization on the 3.125% Convertible Notes. The effective interest rate was 5.2%.
(7)
The Company can prepay these senior notes without penalty beginning July 1, 2024.
(8)
The Company can prepay these senior notes without penalty beginning May 1, 2025.
(9)
The Company capitalized interest relating to development activities of $0.5 million and $3.0 million during the three months ended March 31, 2020 and 2019, respectively.
Schedule of future scheduled maturities of outstanding debt obligations As of March 31, 2020, future scheduled maturities of outstanding debt obligations are as follows ($ in thousands):
 
Unsecured Debt
 
Secured Debt
 
Total
2020 (remaining nine months)
$
—

 
$
—

 
$
—

2021
—

 
158,358

 
158,358

2022
687,500

 
347,624

 
1,035,124

2023
—

 
491,875

 
491,875

2024
775,000

 
—

 
775,000

Thereafter
650,000

 
518,227

 
1,168,227

Total principal maturities
2,112,500

 
1,516,084

 
3,628,584

Unamortized discounts and deferred financing costs, net
(37,915
)
 
(7,309
)
 
(45,224
)
Total debt obligations, net
$
2,074,585

 
$
1,508,775

 
$
3,583,360
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
 
March 31, 2020
 
December 31, 2019
 
Collateral Assets(1)
 
Non-Collateral Assets
 
Collateral Assets(1)
 
Non-Collateral Assets
Real estate, net
$
1,392,658

 
$
108,431

 
$
1,409,585

 
$
117,634

Real estate available and held for sale
—

 
34,391

 
—

 
8,650

Net investment in leases(2)
420,380

 
—

 
418,915

 
—

Land and development, net
—

 
514,064

 
—

 
580,545

Loans receivable and other lending investments, net(3)(4)
234,612

 
590,019

 
233,104

 
566,050

Other investments
—

 
1,029,552

 
—

 
907,875

Cash and other assets
—

 
882,674

 
—

 
814,044

Total
$
2,047,650

 
$
3,159,131

 
$
2,061,604

 
$
2,994,798

_______________________________________________________________________________
(1)
The Senior Term Loan and the 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 March 31, 2020, Collateral Assets includes $428.5 million carrying value of assets held by entities whose equity interests are pledged as collateral for the Revolving Credit Facility.
(2)
As of March 31, 2020, the amount presented excludes a general allowance for net investment of leases of $10.4 million.
(3)
As of March 31, 2020 and December 31, 2019, the amounts presented exclude general allowance for loan losses of $11.6 million and $6.9 million, respectiv