FAIR VALUE DISCLOSURES (Tables)

9 Months Ended

Sep. 30, 2018

Face Values, Carrying Amounts and Fair Values of Financial Instruments

The following are the face values, carrying amounts and fair values of the Company’s financial instruments as of September 30, 2018 and December 31, 2017 whose carrying amounts do not approximate their fair value (in thousands):



	September 30, 2018						December 31, 2017
	Face Value ⁽¹⁾		Carrying Amount ⁽²⁾		Fair Value		Face Value ⁽¹⁾		Carrying Amount ⁽²⁾		Fair Value
Financial assets:
Loans receivable	$	89,767	$	63,255	$	66,440	$	91,280	$	65,907	$	65,892
Preferred equity investments	46,616		47,096		46,575		48,035		48,483		47,064
Financial liabilities:
Senior Notes	1,300,000		1,307,120		1,300,363		1,300,000		1,306,286		1,329,191
Secured indebtedness	255,512		252,827		234,999		259,202		256,430		246,461


⁽¹⁾	Face value represents amounts contractually due under the terms of the respective agreements.


⁽²⁾	Carrying amount represents the book value of financial instruments, including unamortized premiums/discounts and deferred financing costs.

Fair Value of Financial Instruments

The Company determined the fair value of financial instruments as of September 30, 2018 whose carrying amounts do not approximate their fair value with valuation methods utilizing the following types of inputs (in thousands):



			Fair Value Measurements Using
			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	Total				Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Financial assets:
Loans receivable	$	66,440	$	—	$	—	$	66,440
Preferred equity investments	46,575		—		—		46,575
Financial liabilities:
Senior Notes	1,300,363		—		1,300,363		—
Secured indebtedness	234,999		—		—		234,999

Items Measured at Fair Value on a Recurring Basis

During the nine months ended September 30, 2018, the Company recorded the following amounts measured at fair value (in thousands):



			Fair Value Measurements Using
			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	Total				Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Recurring Basis:
Financial assets:
Interest rate swap	$	36,688	$	—	$	36,688	$	—
Cross currency swap	1,423		—		1,423		—

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

+ References + Details