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Debt | 12 Months Ended
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Dec. 31, 2016
Debt Disclosure [Abstract] |
Debt | Debt The Company's mortgage loans and its senior unsecured revolving credit facility are collateralized by first-mortgage liens on certain of the Company's properties. The mortgages are non-recourse except for instances of fraud or misapplication of funds. Debt consisted of the following (in thousands):
Loan/Collateral | Interest Rate |  | Maturity Date |  | 12/31/16 Property Carrying Value |  | Balance Outstanding as of
December 31, 2016 |  | December 31, 2015
Senior Unsecured Revolving Credit Facility (1) | 2.75 | % |  | November 25, 2019 |  | $ | — |  |  | $ | 52,500 |  |  | $ | 65,580 |
Courtyard by Marriott Altoona, PA (8) | 5.96 | % |  | April 1, 2016 |  | 9,699 |  |  | — |  |  | 5,954 |
Residence Inn by Marriott New Rochelle, NY | 5.75 | % |  | September 1, 2021 |  | 20,071 |  |  | 14,141 |  |  | 14,496 |
Residence Inn by Marriott San Diego, CA | 4.66 | % |  | February 6, 2023 |  | 44,758 |  |  | 29,026 |  |  | 29,555 |
Homewood Suites by Hilton San Antonio, TX | 4.59 | % |  | February 6, 2023 |  | 33,014 |  |  | 16,575 |  |  | 16,880 |
Residence Inn by Marriott Vienna, VA | 4.49 | % |  | February 6, 2023 |  | 30,926 |  |  | 22,699 |  |  | 23,124 |
Courtyard by Marriott Houston, TX | 4.19 | % |  | May 6, 2023 |  | 31,368 |  |  | 18,758 |  |  | 19,123 |
Hyatt Place Pittsburgh, PA | 4.65 | % |  | July 6, 2023 |  | 35,657 |  |  | 22,864 |  |  | 23,268 |
Residence Inn by Marriott Bellevue, WA | 4.97 | % |  | December 6, 2023 |  | 69,251 |  |  | 46,206 |  |  | 46,907 |
Residence Inn by Marriott Garden Grove, CA (2) | 4.79 | % |  | April 6, 2024 |  | 40,307 |  |  | 33,674 |  |  | 34,000 |
Residence Inn by Marriott Silicon Valley I, CA (3) | 4.64 | % |  | July 1, 2024 |  | 83,041 |  |  | 64,800 |  |  | 64,800 |
Residence Inn by Marriott Silicon Valley II, CA (3) | 4.64 | % |  | July 1, 2024 |  | 90,952 |  |  | 70,700 |  |  | 70,700 |
Residence Inn by Marriott San Mateo, CA (3) | 4.64 | % |  | July 1, 2024 |  | 65,395 |  |  | 48,600 |  |  | 48,600 |
Residence Inn by Marriott Mountain View, CA (3) | 4.64 | % |  | July 1, 2024 |  | 57,091 |  |  | 37,900 |  |  | 37,900 |
SpringHill Suites by Marriott Savannah, GA (4) | 4.62 | % |  | July 6, 2024 |  | 37,444 |  |  | 30,000 |  |  | 30,000 |
Hilton Garden Inn Marina del Rey, CA (7) | 4.68 | % |  | July 6, 2024 |  | 43,133 |  |  | 22,145 |  |  | 22,510 |
Homewood Suites by Hilton Billerica, MA (5) | 4.32 | % |  | December 6, 2024 |  | 11,557 |  |  | 16,225 |  |  | 16,225 |
Homewood Suite by Hilton Carlsbad, CA (5) | 4.32 | % |  | December 6, 2024 |  | 29,732 |  |  | 19,950 |  |  | 19,950 |
Hampton Inn & Suites Houston Medical Cntr., TX (6) | 4.25 | % |  | January 6, 2025 |  | 14,840 |  |  | 18,300 |  |  | 18,300 |
Total debt before unamortized debt issue costs |  |  |  |  | $ | 748,236 |  |  | $ | 585,063 |  |  | $ | 607,872 |
Unamortized mortgage debt issue costs |  |  |  |  |  |  | (2,240 | ) |  | (2,669 | )
Total debt outstanding |  |  |  |  |  |  | 582,823 |  |  | 605,203 |
(1) | The interest rate for the senior unsecured revolving credit facility is variable and based on LIBOR plus an applicable margin ranging from 1.55% to 2.3%, or prime plus an applicable margin of 0.55% to 1.3%.
(2) | On March 21, 2014, the Company refinanced the mortgage for the Residence Inn Garden Grove hotel. The new loan has a 10-year term and a 30-year amortization payment schedule but is interest only for the first 12 months. The Company incurred $0.2 million in costs for the early extinguishment of debt related to the old loan.
(3) | On June 9, 2014, the Company obtained 4 new mortgage loans secured by first mortgages on the Silicon Valley I, Silicon Valley II, San Mateo and Mountain View hotels, respectively. The new loans have 10-year terms and 30-year amortization payment schedules but are interest only for the first 60 months.
(4) | On July 2, 2014, the Company obtained a new mortgage loan secured by a first mortgage on the Springhill Suites Savannah hotel. The loan has a 10-year term and a 30-year amortization payment schedule but is interest only for the first 60 months.
(5) | On November 25, 2014, the Company obtained 2 new mortgage loans secured by first mortgages on each of the Homewood Suites by Hilton Billerica and Homewood Suites by Hilton Carlsbad hotels. The loans have 10-year terms and 30-year amortization payment schedules but are interest only for the first 36 months.
(6) | On December 17, 2014, the Company obtained a new mortgage loan secured by a first mortgage on the Hampton Inn and Suites by Hilton Houston Medical Center hotel. The loan has a 10-year term, a 30-year amortization payment schedule but is interest only for the first 36 months.
(7) | On September 17, 2015, the Company assumed the mortgage loan secured by a first mortgage on the Hilton Garden Inn Marina del Rey hotel. The loan has a 10-year term, a 30-year amortization payment schedule.
(8) | On January 4, 2016, the Company paid off the loan secured by the Courtyard by Marriott Altoona, PA hotel, due April 1, 2016.
On November 25, 2015, the Company, as parent guarantor, and the Operating Partnership, as borrower, entered into a new unsecured revolving credit agreement with the lenders party thereto, Barclays Bank PLC, Citigroup Global Markets Inc., Regions Capital Markets and U.S. Bank National Association as joint lead arrangers, Barclays Bank PLC as administrative agent, Regions Bank as syndication agent and Citibank, N.A. and U.S. Bank National Association as co-documentation agents (the “New Credit Agreement”). The New Credit Agreement has an initial maturity date of November 25, 2019, which may be extended for an additional year upon the payment of applicable fees and satisfaction of certain customary conditions. In connection with the entry into the New Credit Agreement, the Company and the Operating Partnership terminated the Amended and Restated Credit Agreement, dated as of November 5, 2012, as amended, among the Company, the Operating Partnership, the lenders party thereto, Barclays Capital Inc. and Regions Capital Markets as joint lead arrangers, Barclays Bank PLC as administrative agent, Regions Bank as syndication agent, Credit Agricole Corporate and Investment Bank, UBS Securities and US Bank National Association as co-documentation agents (the "Existing Credit Agreement"), which was composed of a secured revolving credit facility that provided borrowing capacity of up to $175.0 million. Proceeds under the New Credit Agreement were used to repay outstanding borrowings under the Existing Credit Agreement. The New Credit Agreement includes limitations on the extent of allowable distributions from the operating partnership to the Company not to exceed the greater of 95% of adjusted funds from operations and the minimum amount of distributions required for the Company to maintain its REIT status. Other key terms are as follows:
Borrowing Capacity: |  | Up to $250.0 Million
Accordion feature: |  | Increase borrowing capacity by up to additional $150.0 million
Interest rate: |  | Floating rate based on LIBOR plus 155-230 basis points, based on leverage ratio
Unused fee: |  | 20 basis points if less than 50% unused, 30 basis points if more than 50% unused
Maximum leverage ratio: |  | 60%
Minimum fixed charge coverage ratio: |  | 1.5x
At December 31, 2016 and 2015, the Company had $52.5 million and $65.6 million, respectively, of outstanding borrowings under its senior unsecured revolving credit facility. At December 31, 2016, the maximum borrowing availability under the senior unsecured revolving credit facility was $250.0 million. The Company estimates the fair value of its fixed rate debt, which is all of the Company's mortgage loans, by discounting the future cash flows of each instrument at estimated market rates. Rates take into consideration general market conditions, quality and estimated value of collateral and maturity of debt with similar credit terms and are classified within level 3 of the fair value hierarchy. The estimated fair value of the Company’s fixed rate debt as of December 31, 2016 and 2015 was $516.0 million and $522.7 million, respectively. The Company estimates the fair value of its variable rate debt by taking into account general market conditions and the estimated credit terms it could obtain for debt with a similar maturity and that is classified within level 3 of the fair value hierarchy. As of December 31, 2016, the Company’s only variable rate debt is under its senior unsecured revolving credit facility. The estimated fair value of the Company’s variable rate debt as of December 31, 2016 and 2015 was $52.5 million and $65.6 million, respectively. As of December 31, 2016, the Company was in compliance with all of its financial covenants. At December 31, 2016, the Company’s consolidated fixed charge coverage ratio was 3.4 and the bank covenant is 1.5. Future scheduled principal payments of debt obligations as of December 31, 2016, for each of the next five calendar years and thereafter are as follows (in thousands):
| Amount
2017 | $ | 4,302 |
2018 | 5,374 |
2019 | 59,840 |
2020 | 9,899 |
2021 | 22,309 |
Thereafter | 483,339 |
Total | $ | 585,063 |

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- Definition The entire disclosure for long-term debt. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
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