Non-Recourse Debt

6 Months Ended

Jun. 30, 2014

Non-recourse debt consists of mortgage notes payable, which are collateralized by the assignment of real estate properties with an aggregate carrying value of $2.9 billion at both June 30, 2014 and December 31, 2013. At June 30, 2014, our mortgage notes payable bore interest at fixed annual rates ranging from 2.0% to 8.0% and variable contractual annual rates ranging from 2.7% to 6.1%, with maturity dates ranging from 2014 to 2039.

During the six months ended June 30, 2014, we obtained three new non-recourse mortgage financings totaling $29.7 million with a weighted-average annual interest rate and term of 4.4% and six years, respectively, of which $26.0 million related to investments we acquired during prior years and $3.7 million related to an investment we acquired during the current year period. We also assumed a non-recourse mortgage loan of $10.3 million, including unamortized premium of $1.3 million, in connection with a new investment acquired during the six months ended June 30, 2014. Additionally, we refinanced one non-recourse mortgage loan of $19.4 million with new financing of $22.9 million with an annual interest rate and term of 7.3% and 14 years, respectively, and recognized a $0.3 million loss on the extinguishment of the refinanced debt.

Scheduled Debt Principal Payments

Scheduled debt principal payments during the remainder of 2014, each of the next four calendar years following December 31, 2014, and thereafter are as follows (in thousands):



Years Ending December 31,	Total
2014 (remainder)	$	18,526
2015	73,511
2016	299,894
2017	365,025
2018	156,632
Thereafter through 2038	1,030,952
	1,944,540
Unamortized discount, net	(3,692		)
Total	$	1,940,848

Certain amounts in the table above are based on the applicable foreign currency exchange rate at June 30, 2014. The impact on the carrying value of our Non-recourse debt due to the strengthening of the U.S. dollar relative to foreign currencies during the six months ended June 30, 2014 was a decrease of $2.9 million from December 31, 2013 to June 30, 2014.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References+ Details