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Fair Value Disclosures (Tables)

12 Months Ended

Dec. 31, 2019

Schedule of financial instruments measured at fair value

The following table presents information about the Company’s financial instruments measured at fair value on a recurring basis as of December 31, 2019 and 2018 and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value. There were no Level 1 measurements for the periods presented, and the Company had no transfers between Levels 1, 2, or 3 during the periods presented. Refer to Note 8 for a discussion of the Level 3 activity during the period related to the redeemable noncontrolling interests in partially owned properties.



	Fair Value Measurements as of
	December 31, 2019								December 31, 2018
	Level 2			Level 3			Total			Level 2			Level 3			Total
Assets
Derivative financial instruments	$	743	⁽¹⁾	$	—		$	743		$	101	⁽¹⁾	$	—		$	101
Liabilities
Derivative financial instruments	$	3,436	⁽¹⁾	$	—		$	3,436		$	2,287	⁽¹⁾	$	—		$	2,287
Mezzanine
Redeemable noncontrolling interests (Company)/Redeemable limited partners (Operating Partnership)	$	23,690	⁽²⁾	$	80,691	⁽³⁾	$	104,381		$	27,828	⁽²⁾	$	156,618	⁽³⁾	$	184,446


⁽¹⁾	Valued using discounted cash flow analyses with observable market-based inputs of interest rate curves and option volatility, as well as credit valuation adjustments to reflect nonperformance risk.


⁽²⁾	Represents the OP Unit component of redeemable noncontrolling interests which is based on the greater of fair value of the Company’s common stock at the balance sheet date or the initial basis. Represents a quoted price for a similar asset in an active market. Refer to Note 8.

⁽³⁾

Represents noncontrolling partners' equity in the Core Joint Ventures which is valued using primarily unobservable inputs, including the Company’s analysis of comparable properties in the Company’s portfolio, estimations of net operating results of the properties, capitalization rates, discount rates, and other market data. Refer to Note 8.

Schedule of estimated fair value and related carrying amounts of mortgage loans and bonds payable

The table below contains the estimated fair value and related carrying amounts for the Company’s financial instruments as of December 31, 2019 and 2018. There were no Level 1 measurements for the periods presented.



	December 31, 2019									December 31, 2018
	Carrying Amount			Estimated Fair Value						Carrying Amount			Estimated Fair Value
	Carrying Amount			Level 2			Level 3			Carrying Amount			Level 2			Level 3
Assets
Loans receivable	$	50,553		$	—		$	48,307	⁽¹⁾	$	54,611		$	—		$	50,993	⁽¹⁾
Liabilities⁽²⁾
Unsecured notes	$	1,985,603		$	2,069,817	⁽³⁾	$	—		$	1,588,446		$	1,566,900	⁽³⁾	$	—
Mortgage loans payable (fixed rate)	$	761,296	⁽⁴⁾	$	766,821	⁽⁵⁾	$	—		$	693,384	⁽⁶⁾	$	668,911	⁽⁵⁾	$	—
Bonds payable	$	23,001		$	25,110	⁽⁷⁾	$	—		$	26,741		$	28,805	⁽⁷⁾	$	—
Unsecured Term loan (fixed rate)	$	199,121		$	198,687	⁽⁸⁾	$	—		$	—		$	—		$	—


⁽¹⁾	Valued using a discounted cash flow analysis with inputs of scheduled cash flows and discount rates that a willing buyer and seller might use.


⁽²⁾	Carrying amounts disclosed include any applicable net unamortized OID, net unamortized deferred financing costs, and net unamortized debt premiums and discounts (see Note 9).


⁽³⁾	Valued using interest rate and spread assumptions that reflect current creditworthiness and market conditions available for the issuance of unsecured notes with similar terms and remaining maturities.


⁽⁴⁾	Does not include one variable rate mortgage loan with a principal balance of $3.1 million as of December 31, 2019.


⁽⁵⁾	Valued using the present value of the cash flows at current market interest rates through maturity that primarily fall within the Level 2 category.


⁽⁶⁾	Does not include two variable rate mortgage loans with a combined principal balance of $111.4 million as of December 31, 2018.


⁽⁷⁾	Valued using quoted prices in markets that are not active due to the unique characteristics of these financial instruments.

⁽⁸⁾

In November and December 2019, the Company entered into two interest rate swap contracts to hedge the variable rate cash flows associated with the LIBOR-based interest payments on the Term Loan Facility (see Note 9). Valued using the present value of the cash flows at interpolated 1-month LIBOR swap rates through maturity that primarily fall within the Level 2 category.