Derivative Instruments and Hedging Activities

12 Months Ended

Dec. 31, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Interest rate swap agreements

To mitigate the impact of fluctuations in the USD–CAD exchange rate related to our real estate investment in Canada, we have 

fixed-to-fixed cross-currency swap agreements designated as net investment hedges, which were deemed effective on the

commencement date. As of December 31, 2025, the aggregate notional amount of the swaps is CAD $340.0 million, and the

corresponding total USD notional is approximately $246.8 million. Under the terms of the swap agreements, USD fixed interest amounts

are payable to us and CAD fixed interest amounts are payable to the counterparty. The swap agreements mature on April 30, 2026. As

of December 31, 2025, the hedge relationships remained highly effective. Refer to “Hedge accounting” in Note 2 – “Summary of

significant accounting policies” to our consolidated financial statements for additional information.

The tables below summarize the fair value of our cross-currency swap agreements designated as net investment hedges and

the impact on our consolidated financial statements. We did not have any outstanding hedge agreements as of and during the year

ended December 31, 2024. Amounts are presented in USD (in thousands).

Fair value of cross-currency swap agreements designated as net investment hedges

	As of December 31, 2025
Balance Sheet Location	Fair Value – Liability	Notional Amount Outstanding
Accounts payable, accrued expenses, and other liabilities	$928	$246,766

Effect on consolidated other comprehensive income

	Location in Consolidated Statement of Comprehensive Income	Year Ended December 31, 2025
Total unrealized loss recognized in other comprehensive income	Unrealized losses on foreign currency translation, net	$148

Unrealized gains or losses related to our cross-currency swap agreements will be reclassified from accumulated other

comprehensive income into net income upon the substantial completion of the sale of our real estate investments in Canada. As of

December 31, 2025, a majority of our assets in Canada were designated as held for sale and are expected to sell within 12 months.

Effect on consolidated statements of operations

	Location in Consolidated Statement of Operations	Year Ended December 31, 2025
Total gain recognized in net income(1)	Other income	$1,837

(1)Represents net interest expense settlements and interest rate forward points excluded from assessment of hedge effectiveness. Refer to “Hedge accounting” in Note 2 –

“Summary of significant accounting policies” to our consolidated financial statements for additional information.