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Mortgage Notes Payable, Net (Tables)
 9 Months Ended
Sep. 30, 2020
Debt Disclosure [Abstract]  
Schedule of Mortgage Notes Payable
Mortgage notes payable, net as of September 30, 2020 and December 31, 2019 consisted of the following:
Encumbered Properties
Outstanding Loan Amount (1)
Effective Interest Rate
Interest Rate
CountryPortfolioSeptember 30,
2020		December 31,
2019
Maturity
(In thousands)(In thousands)
Finland:Finland Properties5$86,762 $82,996 1.7%(2)Fixed/VariableFeb. 2024
France:Worldline —— 5,608 —(3)——
DCNS —— 10,655 —(3)——
ID Logistics II—— 11,776 —(3)——
French Properties782,072 — 2.5%(4)Fixed/VariableMay 2025
Germany:Germany Properties560,382 57,761 1.8%(5)Fixed/VariableJun. 2023
Luxembourg/ The Netherlands:Benelux Properties 3140,696 134,587 1.4%FixedJun. 2024
Total EUR denominated20369,912 303,383 
United Kingdom:United Kingdom Properties 42287,304 294,315 3.1%(6)Fixed/VariableAug. 2023
Total GBP denominated42287,304 294,315 
United States:Penske Logistics 170,000 70,000 4.7%(7)FixedNov. 2028
Multi-Tenant Mortgage Loan I 12187,000 187,000 4.4%(7)FixedNov. 2027
Multi-Tenant Mortgage Loan II832,750 32,750 4.4%(7)FixedFeb. 2028
Multi-Tenant Mortgage Loan III798,500 98,500 4.9%(7)FixedDec. 2028
Multi-Tenant Mortgage Loan IV1697,500 97,500 4.6%(7)FixedMay 2029
Multi-Tenant Mortgage Loan V12204,000 204,000 3.7%(7)FixedOct. 2029
Whirlpool Loan688,000 — 3.5%(8)FixedJul. 2027
Total USD denominated62777,750 689,750 
Gross mortgage notes payable
1241,434,966 1,287,448 3.4%
Mortgage discount
— (26)
Deferred financing costs, net of accumulated amortization (9)
(17,254)(15,268)
Mortgage notes payable, net
124$1,417,712 $1,272,154 3.4%

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(1)Amounts borrowed in local currency and translated at the spot rate in effect at the applicable reporting date.
(2)80% fixed as a result of a “pay-fixed” interest rate swap agreement and 20% variable. Variable portion is approximately 1.4% plus 3-month Euribor rate in effect as of September 30, 2020.
(3)These loans were refinanced in May 2020 as part of the French Refinancing (see below for further details). As a result, the Company terminated an interest rate swap agreement for two of these properties (see Note 7 — Derivatives and Hedging Activities).
(4)90% fixed as a result of a “pay-fixed” interest rate swap agreement and 10% variable. Variable portion is approximately 2.3% plus 3-month Euribor. Euribor rate in effect as of September 30, 2020.
(5)80% fixed as a result of a “pay-fixed” interest rate swap agreement and 20% variable. Variable portion is approximately 1.55% plus 3 month Euribor. Euribor rate in effect as of September 30, 2020.
(6)80% fixed as a result of a “pay-fixed” interest rate swap agreement and 20% variable. Variable portion is approximately 2.0% plus 3-month GBP LIBOR. LIBOR rate in effect as of September 30, 2020. This loan requires principal repayments beginning in 2020 based on amounts specified under the loan.
(7)The borrower’s (wholly owned subsidiaries of the Company) financial statements are included within the Company’s consolidated financial statements, however, the borrowers’ assets and credit are only available to pay the debts of the borrowers and their liabilities constitute obligations of the borrowers.
(8)Fixed as a result of “pay-fixed” interest rate swap agreements.
(9)Deferred financing costs represent commitment fees, legal fees, and other costs associated with obtaining commitments for financing. These costs are amortized over the terms of the respective financing agreements using the effective interest method. Unamortized deferred financing costs are expensed when the associated debt is refinanced or paid down before maturity. Costs incurred in seeking financial transactions that do not close are expensed in the period in which it is determined that the financing will not close.
Future Principal Payments on Mortgage Notes Payable
The following table presents future scheduled aggregate principal payments on the Company’s gross mortgage notes payable over the next five calendar years and thereafter as of September 30, 2020:
(In thousands)
Future Principal Payments (1)
2020 (remainder)$2,609 
202112,772 
202219,779 
2023319,537 
2024227,458 
202582,072 
Thereafter770,739 
Total$1,434,966 
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(1)Assumes exchange rates of £1.00 to $1.29 for GBP and €1.00 to $1.17 for EUR as of September 30, 2020 for illustrative purposes, as applicable.