Indebtedness

12 Months Ended

Dec. 31, 2019

At December 31, 2019 and 2018, our outstanding indebtedness consisted of the following:



	December 31,
	2019			2018
Revolving credit facility, due in 2023	$	—		$	175,000
Unsecured term loan, due in 2020	—			300,000
Unsecured term loan, due in 2022	—			88,000
Senior unsecured notes, 3.750% interest rate, due in 2019	—			350,000
Senior unsecured notes, 3.600% interest rate, due in 2020 ⁽¹⁾⁽²⁾	400,000			400,000
Senior unsecured notes, 4.000% interest rate, due in 2022	300,000			300,000
Senior unsecured notes, 4.150% interest rate, due in 2022 ⁽¹⁾	300,000			300,000
Senior unsecured notes, 4.250% interest rate, due in 2024 ⁽¹⁾	350,000			350,000
Senior unsecured notes, 4.500% interest rate, due in 2025 ⁽¹⁾	400,000			400,000
Senior unsecured notes, 5.875% interest rate, due in 2046	310,000			310,000
Mortgage note payable, 7.000% interest rate, due in 2019	—			7,939
Mortgage note payable, 5.720% interest rate, due in 2020	32,888			33,703
Mortgage note payable, 4.160% interest rate, due in 2020 ⁽¹⁾	40,062			40,772
Mortgage note payable, 8.150% interest rate, due in 2021	1,683			2,912
Mortgage note payable, 5.877% interest rate, due in 2021 ⁽³⁾	13,166			13,437
Mortgage note payable, 4.220% interest rate, due in 2022	26,522			27,210
Mortgage note payable, 3.550% interest rate, due in 2023 ⁽¹⁾	71,000			71,000
Mortgage note payable, 3.700% interest rate, due in 2023 ⁽¹⁾	50,000			50,000
Mortgage note payable, 4.800% interest rate, due in 2023	24,108			24,509
Mortgage note payable, 4.050% interest rate, due in 2030	66,780			66,780
	2,386,209			3,311,262
Unamortized debt premiums, discounts and issuance costs	(45,756		)	(56,372		)
	$	2,340,453		$	3,254,890


(1)	We assumed these senior unsecured notes and mortgage notes in connection with the SIR Merger.


(2)	In January 2020, we redeemed, at par plus accrued interest, all $400,000 of our 3.60% senior unsecured notes due 2020 using cash on hand, proceeds from property sales and borrowings under our revolving credit facility.


(3)	The carrying value of this mortgage note of $13,128 is net of unamortized issuance costs of $38 and is included in liabilities of properties held for sale in our consolidated balance sheet as of December 31, 2019.

Our $750,000 revolving credit facility is governed by a credit agreement, or our credit agreement, with a syndicate of institutional lenders that includes a feature under which the maximum aggregate borrowing availability may be increased to up to $1,950,000 in certain circumstances.

Our $750,000 revolving credit facility is available for general business purposes, including acquisitions. The maturity date of our revolving credit facility is January 31, 2023 and, subject to our payment of an extension fee and meeting certain other conditions, we have the option to extend the stated maturity date of our revolving credit facility by two additional six month periods. We can borrow, repay and reborrow funds available under our revolving credit facility until maturity and no principal repayment is due until maturity. We are required to pay interest at a rate of LIBOR plus a premium, which was 110 basis points per annum at December 31, 2019, on the amount outstanding under our revolving credit facility. We also pay a facility fee on the total amount of lending commitments under our revolving credit facility, which was 25 basis points per annum at December 31, 2019. Both the interest rate premium and facility fee are subject to adjustment based upon changes to our credit ratings. As of December 31, 2019 and 2018, the annual interest rate payable on borrowings under our revolving credit facility was 2.7% and 3.6%, respectively. The weighted average annual interest rate for borrowings under our revolving credit facility was 3.3%, 3.0% and 2.4%, for the years ended December 31, 2019, 2018 and 2017, respectively. As of December 31, 2019, we had no amounts outstanding under our revolving credit facility and $750,000 available for borrowing. As of February 19, 2020, we had $335,000 outstanding under our revolving credit facility and $415,000 available for borrowing under our revolving credit facility.

During the year ended December 31, 2019, we repaid in full our $300,000 term loan, which was scheduled to mature on March 31, 2020, without penalty. The weighted average annual interest rate under this term loan was 3.9% for the period from January 1, 2019 to August 23, 2019, and 3.4% and 2.5%, for the years ended December 31, 2018 and 2017, respectively.

On February 11, 2019, we repaid the remaining $88,000 outstanding on our $250,000 term loan, which was scheduled to mature on March 31, 2022, without penalty. The weighted average annual interest rate under this term loan was 4.3% for the period from January 1, 2019 to February 11, 2019, and 3.8% and 2.9% for the years ended December 31, 2018 and 2017, respectively.

As a result of the principal payments of our term loans, we recognized a loss on early extinguishment of debt of $643 during the year ended December 31, 2019, to write off unamortized debt issuance costs.

In July 2019, we redeemed, at par plus accrued interest, all $350,000 of our 3.75% senior unsecured notes due 2019. As a result of the redemption of our 3.75% senior unsecured notes due 2019, we recognized a loss on early extinguishment of debt of $126 during the year ended December 31, 2019 to write off unamortized debt issuance costs and discounts.

In January 2020, we redeemed, at par plus accrued interest, all $400,000 of our 3.60% senior unsecured notes due 2020.

Our credit agreement and senior unsecured notes indentures and their supplements provide for acceleration of payment of all amounts due thereunder upon the occurrence and continuation of certain events of default, such as, in the case of our credit agreement, a change of control of us, which includes RMR LLC ceasing to act as our business and property manager. Our credit agreement and our senior unsecured notes indentures and their supplements also contain covenants, including covenants that restrict our ability to incur debts, require us to comply with certain financial and other covenants and, in the case of our credit agreement, restrict our ability to make distributions under certain circumstances. We believe we were in compliance with the terms and conditions of the respective covenants under our credit agreement and senior unsecured notes indentures and their supplements at December 31, 2019.

On March 1, 2019, we repaid at maturity, at par plus accrued interest, a mortgage note secured by one property with an outstanding principal balance of $7,890 using cash on hand.

At December 31, 2019, 11 of our consolidated properties with an aggregate net book value of $597,619 were encumbered by mortgage notes with an aggregate principal amount of $326,209, including one mortgage note with an outstanding principal balance of $13,166 classified in liabilities of properties held for sale in our consolidated balance sheet. Our mortgage notes are non-recourse, subject to certain limited exceptions and do not contain any material financial covenants.

None of our unsecured debt obligations require sinking fund payments prior to their maturity dates.

The required principal payments due during the next five years and thereafter under all our outstanding consolidated debt as of December 31, 2019 are as follows:



Year	Principal Payment
2020	$	475,707
2021	14,420
2022	625,518
2023	143,784
2024	350,000
Thereafter	776,780
	$	2,386,209	⁽¹⁾

(1)

Total consolidated debt outstanding as of December 31, 2019, net of unamortized premiums, discounts and issuance costs totaling $45,756, was $2,340,453.