Use of Derivative Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2013

Use of Derivative Financial Instruments

Schedule of swaps designated as cash flow hedges of interest rate risk collectively referred to as Unsecured Term Loan Swaps

The following table details the Company’s outstanding interest rate swaps as of March 31, 2013 (collectively, the “Unsecured Term Loan Swaps”) (in thousands).

Interest Rate Derivative	Trade Date	Notional Amount		Fixed Interest Rate		Variable Interest Rate	Maturity Date
Interest rate swap	Sept-14-2012	$	10,000	0.7945	%	One-month LIBOR	September 10, 2017
Interest rate swap	Sept-14-2012	$	10,000	0.7945	%	One-month LIBOR	September 10, 2017
Interest rate swap	Sept-14-2012	$	10,000	0.7945	%	One-month LIBOR	September 10, 2017
Interest rate swap	Sept-14-2012	$	10,000	0.7945	%	One-month LIBOR	September 10, 2017
Interest rate swap	Sept-14-2012	$	10,000	0.7975	%	One-month LIBOR	September 10, 2017
Interest rate swap	Sept-20-2012	$	25,000	0.7525	%	One-month LIBOR	September 10, 2017
Interest rate swap	Sept-24-2012	$	25,000	0.727	%	One-month LIBOR	September 10, 2017
Interest rate swap	March-1-2013	$	25,000	1.33	%	One-month LIBOR	February 14, 2020

Summary of the fair value of interest rate swap outstanding

The fair value of the interest rate swaps outstanding as of March 31, 2013 and December 31, 2012 was as follows (in thousands):

	Balance Sheet Location	Notional AmountMarch 31, 2013		Fair Value March 31, 2013			Notional Amount December 31, 2012		Fair Value December 31, 2012
Unsecured Term Loan Swaps	Interest Rate Swaps	$	125,000	$	(469	)	$	100,000	$	(480	)

Schedule of location in the financial statements of the gain (loss) recognized on interest rate swaps designated as cash flow hedges

	Three months ended March 31, 2013		Three months ended March 31, 2012
Amount of loss recognized in accumulated other comprehensive loss on interest rate swaps (effective portion)	$	154	$	—
Amount of loss reclassified from accumulated other comprehensive loss into income (loss) as interest expense (effective portion)	$	165	$	—
Amount of loss recognized in income on swaps (ineffective portion and amount excluded from effectiveness testing)	$	—	$	—

Schedule of interest rate swaps that are accounted for at fair value on a recurring basis

The following sets forth the Company’s financial instruments that are accounted for at fair value on a recurring basis as of March 31, 2013 and December 31, 2012 (in thousands):

				Fair Market Measurements as of March 31, 2013 Using:
	March 31, 2013			Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Unobservable Inputs (Level 3)
Liabilities:
Interest Rate Swaps	$	(469	)	$	—	$	(469	)	$	—

				Fair Market Measurements as of December 31, 2012 Using:
	December 31, 2012			Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Unobservable Inputs (Level 3)
Liabilities:
Interest Rate Swaps	$	(480	)	$	—	$	(480	)	$	—