Derivative Instruments

12 Months Ended

Dec. 31, 2023

Interest Rate Derivatives [Abstract]

Derivative Instruments

18. Derivative Instruments

The Partnership’s derivative instruments are not designated as hedging instruments and are recorded at fair value. Changes in fair value are included in current period earnings as “Net result from derivative transactions” in the Partnership's consolidated statements of operations. The following tables are a summary of the unrealized and realized gains and losses of the Partnership's derivative instruments for the years ended December 31, 2023 and 2022:

	For the Year ended December 31, 2023
	Realized gains on derivatives, net			Unrealized losses on derivatives, net		Net result from derivative transactions
Interest rate swaps	$	(6,043,273	)	$	3,082,035	$	(2,961,238	)
Interest rate cap		-			91,363		91,363
Total return swaps		(4,501,709	)		-		(4,501,709	)
Total	$	(10,544,982	)	$	3,173,398	$	(7,371,584	)

	For the Year ended December 31, 2022
	Realized gains on derivatives, net			Unrealized gains on derivatives, net			Net result from derivative transactions
Interest rate swaps	$	(140,171	)	$	(7,199,197	)	$	(7,339,368	)
Interest rate cap		-			(40,539	)		(40,539	)
Total return swaps		(5,715,515	)		-			(5,715,515	)
Total	$	(5,855,686	)	$	(7,239,736	)	$	(13,095,422	)

The value of the Partnership’ interest rate swaps are subject to mark-to-market collateral posting provisions in conjunction with the Partnership’s respective ISDA master agreements (Note 16). See Note 24 for a description of the methodology and significant assumptions for determining the fair value of the derivatives. The derivative instruments are presented within “Other assets” and “Accounts payable, accrued expenses and other liabilities” in the Partnership's consolidated balance sheets.

Interest Rate Swap Agreements

The Partnership has entered into multiple interest rate swap agreements to mitigate interest rate risk associated with variable rate TOB trust financings (Note 16). No fees were paid to the counterparties upon closing of the interest rate swaps. The following table summarizes the Partnership’s interest rate swap agreements as of December 31, 2023 and December 31, 2022:

Trade Date	Notional Amount			Effective Date	Termination Date	Fixed Rate Paid			Period End Variable Rate Received			Variable Rate Index	Variable Debt Financing Hedged	Counterparty	Fair Value as of December 31, 2023
February 2022		55,990,000		2/9/2022	2/1/2024		1.40	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets	$	398,093
March 2022		47,850,000		3/3/2022	3/1/2027		1.65	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		3,062,500
October 2022		55,622,192	(1)	4/1/2023	4/1/2025		3.92	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		628,765
December 2022		23,380,234	(2)	1/1/2023	12/1/2029		3.27	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		418,477
December 2022		45,500,000		1/3/2023	1/1/2030		3.47	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		153,711
January 2023		12,065,200		1/19/2023	1/1/2030		3.35	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		115,960
January 2023		8,027,600		2/1/2023	2/1/2030		3.29	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		83,952
March 2023		12,017,000	(3)	4/1/2023	6/1/2029		3.37	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		115,187
April 2023		4,508,000		5/1/2023	5/1/2033		3.49	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		33,306
May 2023		9,170,000		6/1/2023	6/1/2030		3.15	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		194,988
June 2023		12,800,000		6/1/2023	6/1/2028		3.46	%		5.21	%	SOFR	TOB Trusts	Barclays Bank PLC		49,459
July 2023		6,240,000		8/1/2023	6/1/2030		3.65	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		(46,375	)
August 2023		11,000,000		8/8/2023	2/1/2025		5.05	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		(49,464	)
September 2023		25,000,000		9/19/2023	3/19/2024		5.54	%		5.35	%	CME Term SOFR	TOB Trusts	Raymond James Bank		(14,438	)
October 2023		4,080,000	(4)	10/10/2023	4/1/2027		4.72	%		5.35	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		(595,417	)
		333,250,226													$	4,548,704

(1)The notional amount increases according to a schedule up to a maximum notional amount of $99.6 million.

(2)The notional amount increases according to a schedule up to a maximum notional amount of $47.8 million.

(3)The notional amount increases according to a schedule up to a maximum notional amount of $21.6 million.

(4)The notional amount increases according to a schedule up to a maximum notional amount of $24.1 million.

Trade Date	Notional Amount			Effective Date	Termination Date	Fixed Rate Paid			Period End Variable Rate Received			Variable Rate Index	Variable Debt Financing Hedged	Counterparty	Fair Value as of December 31, 2022
February 2022		55,990,000		2/9/2022	2/1/2024		1.40	%		4.09	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets	$	2,205,130
March 2022		47,850,000		3/3/2022	3/1/2027		1.65	%		4.09	%	Compounded SOFR	TOB Trusts	Mizuho Capital Markets		4,048,961
October 2022		34,436,088	(1)	4/1/2023	4/1/2025		3.92	%	N/A			Compounded SOFR	TOB Trusts	Mizuho Capital Markets		131,427
December 2022		10,880,000	(2)	1/1/2023	12/1/2029		3.27	%	N/A			Compounded SOFR	TOB Trusts	Mizuho Capital Markets		370,342
December 2022		45,500,000		1/3/2023	1/1/2030		3.47	%	N/A			Compounded SOFR	TOB Trusts	Mizuho Capital Markets		443,339
		194,656,088													$	7,199,199

(1)The notional amount increases according to a schedule up to a maximum notional amount of $99.6 million.

(2)The notional amount increases according to a schedule up to a maximum notional amount of $47.8 million.

Total Return Swap Agreement

The following table summarizes the terms of the Partnership’s total return swap as of December 31, 2022:

Trade Date

Notional Amount

Effective Date

Termination Date

Period End Variable Rate Paid

Period End Variable Rate Received

Variable Rate Index

Counterparty

Fair Value as of December 31, 2022

December 2022

102,690,670

December 2022

Sept 2025

7.80

%

(1)

13.05

%

(2)

SOFR

Mizuho Capital Markets

$

239,612

(1)Variable rate equal to SOFR + 4.00%, subject to an all-in floor of 4.25%.

(2)Variable rate equal to SOFR + 9.25%.

The total return swap had the Partnership’s Secured Notes with Mizuho as the specified reference security (Note 16), with the total return swap notional amount equal to the outstanding principal on the Secured Notes. The total return swap was terminated in December 2023 upon redemption of Secured Notes.

Interest Rate Cap Agreement

The Partnership has entered into an interest rate cap agreement to mitigate exposure to interest rate risk associated with a variable-rate debt financing facility. The following tables summarize the Partnership’s interest rate cap agreement as of December 31, 2023 and 2022:

Purchase Date	Notional Amount		Maturity Date	Effective Capped Rate			Index	Variable Debt Financing Hedged	Counterparty	Fair Value as of December 31, 2023
August 2019		73,393,729	Aug 2024		4.5	%	SIFMA	M31 TEBS	Barclays Bank PLC	$	265

Purchase Date	Notional Amount		Maturity Date	Effective Capped Rate			Index	Variable Debt Financing Hedged	Counterparty	Fair Value as of December 31, 2022
August 2019		75,014,903	Aug 2024		4.5	%	SIFMA	M31 TEBS	Barclays Bank PLC	$	91,627