Non Recourse and Limited Recourse Debt

6 Months Ended

Jun. 30, 2011

Non Recourse And Limited Recourse Debt [Abstract]

Non Recourse and Limited Recourse Debt

Note 9.       Non-Recourse and Limited Recourse Debt

During the six months ended June 30, 2011, we obtained non-recourse and limited-recourse mortgage financing totaling $186.5 million at a weighted average annual interest rate and term of 5.7% and 10.1 years, respectively. Of the total financing,

•       $9.0 million incremental borrowing related to the March 2009 New York Times transaction, inclusive of amounts attributable to noncontrolling interests of $4.1 million. In March 2011, we refinanced the limited-recourse mortgage loan obtained in August 2009, which had an outstanding balance of $116.0 million at the date of refinancing, with new limited-recourse financing of $125.0 million that matures in April 2018 and has option to extend the maturity to April 2019. The new financing bears interest at an annual interest rate equal to the London inter-bank offered rate (“LIBOR”) plus 2.5% that has been capped at 6.25% through the use of an interest rate cap designated as a cash flow hedge, which matures in March 2014 (Note 8);

•       $144.9 million related to four domestic investments acquired during 2011; and

•       $32.6 million related to three domestic investments acquired during 2010.

Non-recourse and limited-recourse debt consists of mortgage notes payable, which are collateralized by an assignment of real property and direct financing leases, with an aggregate carrying value of approximately $1.4 billion and $1.1 billion at June 30, 2011 and December 31, 2010, respectively. At both June 30, 2011 and December 31, 2010, our mortgage notes payable bore interest at fixed annual rates ranging from 4.5% to 8.0% and variable annual rates ranging from 2.8% to 6.6%, with maturity dates ranging from 2015 to 2028 at June 30, 2011 and from 2014 to 2028 at December 31, 2010.

Scheduled debt principal payments during each of the next five calendar years following June 30, 2011and thereafter are as follows (in thousands):

	Total
2011 (remainder)	$	7,272
2012		16,371
2013		18,283
2014		19,614
2015		66,872
Thereafter through 2028		736,801
Total (a)	$	865,213

_______

• Excludes $0.9 million of unamortized discount on two notes, which is included in Non-recourse and limited recourse debt at June 30, 2011.

Certain amounts in the table above are based on the applicable foreign currency exchange rate at June 30, 2011.