Bonds Payable

3 Months Ended

Mar. 31, 2020

Debt Disclosure [Abstract]

Bonds Payable

Bonds Payable

Columbia Property Trust has two series of bonds outstanding as of March 31, 2020 and December 31, 2019: $350.0 million of 10-year, unsecured 3.650% senior notes issued at 99.626% of their face value (the "2026 Bonds Payable"); and $350.0 million of 10-year, unsecured 4.150% senior notes issued at 99.859% of their face value (the "2025 Bonds Payable"), (collectively, the "Bonds Payable"). Both series of bonds require semi-annual interest payments. The principal amount of the 2026 Bonds Payable is due and payable on August 15, 2026, and the principal amount of the 2025 Bonds Payable is due and payable on April 1, 2025. The Bonds Payable were issued by Columbia OP and are fully and unconditionally guaranteed by Columbia Property Trust, Inc.

Interest payments of $6.4 million were made on the Bonds Payable during both the three months ended March 31, 2020 and 2019. Columbia Property Trust is subject to substantially similar covenants under the 2026 Bonds Payable and the 2025 Bonds Payable. As of March 31, 2020, Columbia Property Trust was in compliance with the restrictive financial covenants on the 2026 Bonds Payable and the 2025 Bonds Payable.

As of March 31, 2020 and December 31, 2019, the estimated fair value of the Bonds Payable was approximately $735.7 million and $734.4 million, respectively, and the related carrying value, net of discounts, as of both March 31, 2020 and December 31, 2019 was $698.9 million. The fair value of the Bonds Payable was estimated based on a discounted cash flow analysis, using observable market data for its bonds payable and similar instruments (Level 2). The discounted cash flow method of assessing fair value results in a general approximation of value, which may differ from the price that could be achieved in a market transaction.