8. Mortgages Payable, net

Mortgages payable at March 31, 2013 and December 31, 2012 consist of the following (in thousands):


	Carrying Amount of Mortgage Notes				Contractual Interest Rate			Effective Interest Rate			Monthly Payment⁽¹⁾		Maturity Date
Property Pledged as Collateral	March 31, 2013		December 31, 2012		Contractual Interest Rate			Effective Interest Rate			Monthly Payment⁽¹⁾		Maturity Date
West Broad Village⁽²⁾	$	50,000	$	50,000		2.69	%		2.69	%	$	112		2013
Five Forks Place		4,833		4,882		5.50	%		5.50	%		39		2013
Grant Creek Town Center		15,247		15,342		5.75	%		5.75	%		105		2013
Park West Place⁽³⁾		55,800		55,800		2.50	%		3.66	%		120		2013
Red Rock Commons⁽⁴⁾		13,884		13,800		1.86	%		1.86	%		29		2014
Excel Centre		12,216		12,284		6.08	%		6.08	%		85		2014
Merchant Central		4,443		4,468		5.94	%		6.75	%		30		2014
Edwards Theatres		11,774		11,859		6.74	%		5.50	%		95		2014
Gilroy Crossing		46,439		46,646		5.01	%		5.01	%		263		2014
The Promenade		49,266		49,703		4.80	%		4.80	%		344		2015
5000 South Hulen		13,598		13,655		5.60	%		6.90	%		83		2017
Lake Pleasant Pavilion		28,092		28,176		6.09	%		5.00	%		143		2017
Rite Aid — Vestavia Hills		1,143		1,184		7.25	%		7.25	%		21		2018
Lowe’s, Shippensburg		13,425		13,511		7.20	%		7.20	%		110		2031
Northside Mall⁽⁵⁾		12,000		12,000		0.13	%		1.13	%		1		2035

		332,160		333,310
Less: premium⁽⁶⁾		572		625

Mortgage notes payable, net	$	332,732	$	333,935

⁽¹⁾

Amount represents the monthly payment of principal and interest at March 31, 2013.

⁽²⁾

The loan at the West Broad Village property was refinanced and the maturity date extended subsequent to May 1, 2020; see Note 18 for further discussion.

⁽³⁾

The loan bears interest at a rate of LIBOR plus 2.25% (variable interest rate of 2.50% at March 31, 2013). In December 2010, the Company entered into interest rate swap contracts, which fix LIBOR at an average of 1.41% for the term of the loan. The maturity date may be extended for an additional one-year period through December 2014 at the Company’s option and upon the satisfaction of conditions precedent and the payment of an extension fee.

⁽⁴⁾

The maturity date for the Red Rock Commons construction loan was extended to March 2014 and may be extended for an additional one-year period through March 2015 at the Company’s option and upon the satisfaction of conditions precedent and the payment of an extension fee. The construction loan bears interest at the rate of LIBOR plus a margin of 165 basis points to 225 basis points, depending on the Company’s leverage ratio (variable interest rate of 1.86% at March 31, 2013).

⁽⁵⁾

The debt represents redevelopment revenue bonds to be used for the redevelopment of this property, which mature in November 2035. Interest is reset weekly and determined by the bond remarketing agent based on the market value of the bonds (interest rate of 0.13% at March 31, 2013). The interest rate on the bonds is currently priced off of the Securities Industry and Financial Markets Association index but could change based on the credit of the bonds. The bonds are secured by a $12.1 million letter of credit issued by the Company from the Company’s unsecured revolving credit facility. An underwriter’s discount related to the original issuance of the bonds with a remaining balance of $108,000 at March 31, 2013 will be amortized as additional interest expense through November 2035.

⁽⁶⁾

Represents (a) the fair value adjustment on assumed debt on acquired properties at the time of acquisition to account for below- or above-market interest rates and (b) an underwriter’s discount for the issuance of redevelopment bonds.

Total interest cost capitalized for the three months ended March 31, 2013 and 2012 was $0 and $110,000, respectively.

The Company’s mortgage debt maturities at March 31, 2013 for each of the next five years and thereafter are as follows (in thousands):


Year Ending December 31,	Amount
2013 (remaining nine months)	$	129,156
2014		90,633
2015		47,381
2016		1,341
2017		39,990
Thereafter		23,659

	$	332,160