FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2013

FAIR VALUE OF FINANCIAL INSTRUMENTS

Summary of the levels in the fair value hierarchy into which the Company's financial instruments were categorized

The following table summarizes the levels in the fair value hierarchy into which the Company’s financial instruments were categorized as of March 31, 2013 (in thousands):

	Fair Value as of March 31, 2013
	Level I		Level II		Level III		Total
Derivative instrument	$	-	$	-	$	2,223	$	2,223

The following table summarizes the levels in the fair value hierarchy into which the Company’s financial instruments were categorized as of December 31, 2012 (in thousands):

	Fair Value as of December 31, 2012
	Level I		Level II		Level III		Total
Derivative instrument	$	-	$	-	$	1,825	$	1,825

Schedule of significant unobservable inputs used to value the derivative liability categorized within Level 3

The following table summarizes the significant unobservable inputs the Company used to value the derivative liability categorized within Level III as of March 31, 2013 (in thousands).

				Unobservable Input
	Fair		Primary			Weighted
Asset Category	Value		Valuation Technique	Input	Range	Average
Derivative liability	$	2,223	Option Pricing Model	Volatility	16.3% - 17.0%	16.3%

The following table summarizes the significant unobservable inputs the Company used to value the derivative liability categorized within Level III as of December 31, 2012 (in thousands).

			Unobservable Input
Asset Category	Fair Value	Primary Valuation Technique	Input	Range	Weighted Average
Derivative liability	$1,825	Option Pricing Model	Volatility	16.4% - 17.4%	16.4%

Schedule of changes in derivative instruments classified as Level III

The change in the derivative instrument classified as Level III is as follows for the three months ended March 31, 2013 (in thousands):

	Level III Derivative Instrument
Beginning balance, as of December 31, 2012	$	(1,825	)
Unrealized gain (loss) on derivative	(398		)
Ending balance, as of March 31, 2013	$	(2,223	)

Schedule of carrying value and estimated fair value of the Company's financial instruments not carried at fair value on the consolidated balance sheet

All financial assets and liabilities recorded at cost are considered Level III financial instruments (in thousands).

	As of March 31, 2013		As of December 31, 2012
	Carrying Value	Fair Value	Carrying Value	Fair Value
Financial instruments not recorded at fair value:
Loans held for investment	$   409,943	$   409,943	$  353,500	$   353,500
Financial liabilities:
Secured financing agreements	200,050	200,050	144,256	144,256
Convertible notes	67,411	67,411	67,289	67,289