DEBT AND SECURED FINANCINGS (Tables)

12 Months Ended

Dec. 31, 2025

A summary of our debt is as follows:


	Weighted-Average Effective Interest Rate as of					Balance as of
($ in thousands)	December 31, 2025		December 31, 2024		Current Maturity Date	December 31, 2025		December 31, 2024
Line of credit (1)	5.14	%	5.82	%	June 2029	$	744,349	$	548,228
Term loans (2)	4.28		3.95		June 2029	1,000,000		800,000
Fixed-rate mortgage notes	4.52		4.52		January 2027 - May 2031	644,717		654,795
Floating-rate mortgage notes (3)	5.79		6.05		October 2026 - January 2029	611,551		714,151
Total principal amount / weighted-average (4)	4.85	%	5.01	%		$	3,000,617	$	2,717,174
Less: unamortized debt issuance costs						$	(33,890)	$	(23,034)
Add: unamortized mark-to-market adjustment on assumed debt						5,115		6,328
Total debt, net						$	2,971,842	$	2,700,468
Gross book value of properties encumbered by debt						$	2,319,914	$	2,309,100

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(1)The effective interest rate for our borrowings in U.S. dollars, which was $665.0 million as of December 31, 2025, is calculated based on the term Secured Overnight Financing Rate (“Term SOFR”) plus a 10.0 basis point adjustment (“Adjusted Term SOFR”), plus a margin ranging from 1.25% to 2.00% depending on our consolidated leverage ratio. The effective interest rate for our borrowings in pound sterling, which was $40.5 million as of December 31, 2025 when converted to U.S. dollars, is calculated based on the Sterling Overnight Index Average Reference Rate (“SONIA”) plus a 3.26 basis point adjustment, plus a margin ranging from 1.25% to 2.00% depending on our consolidated leverage ratio. The effective interest rate for our borrowings in euro, which was $38.8 million as of December 31, 2025 when converted to U.S. dollars, is calculated based on the Euro Interbank Offered Rate (“EURIBOR”) plus a margin ranging from 1.25% to 2.00% depending on our consolidated leverage ratio. As of December 31, 2025, the unused and available portions under the line of credit were approximately $255.7 million and $255.5 million, respectively. The weighted-average interest rate is the all-in interest rate, including the effects of interest rate cap agreements. The line of credit is available for general business purposes including, but not limited to, refinancing of existing indebtedness and financing the acquisition of permitted investments, including commercial properties and investments in unconsolidated joint venture partnerships.

(2)The effective interest rate is calculated based on Adjusted Term SOFR, plus a margin ranging from 1.20% to 1.90% depending on our consolidated leverage ratio. Total commitments for one term loan is $700.0 million, and the total commitment for the second term loan is $300.0 million. The weighted-average interest rate is the all-in interest rate, including the effects of interest rate swap agreements relating to $450.0 million in borrowings under the first term loan and $225.0 million in borrowings under the second term loan, as well as interest rate cap agreements relating to $250.0 million in borrowings under the first term loan.

(3)The effective interest rate is calculated based on Term SOFR plus a margin. As of December 31, 2025, our floating-rate mortgage notes were subject to interest rate spreads ranging from 1.65% to 2.25%. The weighted-average interest rate is the all-in interest rate, including the effects of interest rate cap agreements which capped the effective interest rates of our three floating-rate mortgage notes ranging from 4.45% to 5.94% as of December 31, 2025.

(4)The weighted-average remaining term of our consolidated borrowings was 2.9 years as of December 31, 2025, excluding the impact of certain extension options.

Schedule of Maturities of Long-term Debt

As of December 31, 2025, the principal payments due on our consolidated debt during each of the next five years and thereafter were as follows:


(in thousands)	Line of Credit (1)		Term Loans (2)		Mortgage Notes (3)		Total
2026	$	—	$	—	$	479,441	$	479,441
2027	—		—		228,215		228,215
2028	—		—		83,769		83,769
2029	744,349		1,000,000		355,385		2,099,734
2030	—		—		2,331		2,331
Thereafter	—		—		107,127		107,127
Total principal payments	$	744,349	$	1,000,000	$	1,256,268	$	3,000,617

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(1)The term of the line of credit may be extended pursuant to a one-year extension option, subject to certain conditions.

(2)Both term loans may each be extended pursuant to a one-year extension option, subject to certain conditions.

(3)A $475.0 million mortgage note matures in October 2026 and may be extended pursuant to three one-year extension options, subject to certain conditions. A $115.0 million mortgage note matures in January 2027 and may be extended pursuant to two one-year extension options, subject to certain conditions. An $85.0 million mortgage note matures in January 2029 and may be extended pursuant to two one-year extension options, subject to certain conditions.

Schedule of Derivative Instruments

The following table summarizes the location and fair value of our consolidated derivative instruments on our consolidated balance sheets:


	Number of Contracts	Current Notional Amount		Fair Value
($ in thousands)				Other Assets		Other Liabilities
As of December 31, 2025
Interest rate swaps designated as cash flow hedges	10	$	675,000	$	2,278	$	1,125
Interest rate caps designated as cash flow hedges	7	778,700		3,275		—
Interest rate caps not designated as cash flow hedges	1	85,000		103		—
Total derivative instruments	18	$	1,538,700	$	5,656	$	1,125
As of December 31, 2024
Interest rate swaps designated as cash flow hedges	10	$	475,000	$	6,866	$	—
Interest rate caps designated as cash flow hedges	8	912,600		13,824		—
Interest rate caps not designated as cash flow hedges	1	53,700		3		—
Total derivative instruments	19	$	1,441,300	$	20,693	$	—

Schedule of Derivative Instruments, Gain (Loss)

The following table presents the effect of our consolidated derivative instruments on our consolidated financial statements:


	For the Year Ended December 31,
(in thousands)	2025		2024		2023
Derivative instruments designated as cash flow hedges:
(Loss) gain recognized in AOCI	$	(1,179)	$	14,800	$	6,259
Amount reclassified from AOCI as a decrease in interest expense	(5,787)		(16,650)		(17,848)
Total interest expense presented in the consolidated statements of operations in which the effects of cash flow hedges are recorded	251,369		188,318		148,517
Derivative instruments not designated as cash flow hedges:
Unrealized (loss) gain on derivative instruments recognized in other income (expenses) (1)	$	(7)	$	264	$	(4,169)
Realized gain on derivative instruments recognized in other income (expenses) (2)	—		138		4,295

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(1)Unrealized loss on changes in fair value of derivative instruments relates to mark-to-market changes on our derivatives not designated as cash flow hedges.

(2)Realized gain on derivative instruments relates to interim settlements for our derivatives not designated as cash flow hedges.