Mortgage Notes Payable, Net (Tables)

3 Months Ended

Mar. 31, 2020

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

The following table reflects the Company’s mortgage notes payable as of March 31, 2020 and December 31, 2019:

		Outstanding Loan Amount as of						Effective Interest Rate as of
Portfolio	Encumbered Properties (1)	March 31, 2020			December 31, 2019			March 31, 2020		December 31, 2019			Interest Rate		Maturity
		(In thousands)			(In thousands)
Palm Valley Medical Plaza - Goodyear, AZ	1	$	3,084		$	3,112		4.15	%	4.15	%		Fixed		Jun. 2023
Medical Center V - Peoria, AZ	1	2,860			2,884			4.75	%	4.75	%		Fixed		Sep. 2023
Fox Ridge Bryant - Bryant, AR	1	7,246			7,283			3.98	%	3.98	%		Fixed		May 2047
Fox Ridge Chenal - Little Rock, AR	1	16,620			16,695			3.98	%	3.98	%		Fixed		May 2049
Fox Ridge North Little Rock - North Little Rock, AR	1	10,312			10,359			3.98	%	3.98	%		Fixed		May 2049
Capital One MOB Loan	35	378,500			378,500			3.66	%	3.66	%		Fixed	3	Dec. 2026
Multi-Property CMBS Loan	21	118,700			118,700			4.60	%	4.60	%		Fixed		May 2028
Shiloh - Illinois (4)	1	13,883			—			4.34	%	—	%		Fixed		March 2026
Gross mortgage notes payable	62	551,205			537,533			3.91	%	3.90	%	(2)
Deferred financing costs, net of accumulated amortization (5)		(7,612		)	(7,718		)
Mortgage premiums and discounts, net		(1,516		)	(1,531		)
Mortgage notes payable, net		$	542,077		$	528,284

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⁽¹⁾ Does not include real estate assets mortgaged to secure advances under the Fannie Mae Master Credit Facilities or eligible unencumbered real estate assets comprising the borrowing base of the Credit Facility (as defined below). The equity interests and related rights in the Company’s wholly owned subsidiaries that directly own or lease the real estate assets comprising the borrowing base have been pledged for the benefit of the lenders thereunder (see Note 5 — Credit Facilities for additional details).

⁽²⁾ Calculated on a weighted average basis for all mortgages outstanding as of March 31, 2020 and December 31, 2019. For the LIBOR based loans, LIBOR in effect at the balance sheet date was utilized. For the Capital One MOB Loan, the effective rate does not include the effect of amortizing the amount paid to terminate the previous pay-fixed swap. See Note 7 — Derivatives and Hedging Activities for additional details.

⁽³⁾ Variable rate loan, based on 30-day LIBOR, which is fixed as a result of entering into “pay-fixed” interest rate swap agreements . In connection with the amendment to this loan in December 2019 (see additional details below), the Company terminated the previous interest rate swap agreements and entered into new interest rate swap agreements (see Note 7 — Derivatives and Hedging Activities for additional details).

⁽⁴⁾ The Company assumed this fixed rate mortgage when it acquired a property during the three months ended March 31, 2020.

⁽⁵⁾ Deferred financing costs represent commitment fees, legal fees and other costs associated with obtaining financing. These costs are amortized to interest expense over the terms of the respective financing agreements using the effective interest method. Unamortized deferred financing costs are generally expensed when the associated debt is refinanced or repaid 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.

Schedule of Maturities of Long-term Debt

The following table summarizes the scheduled aggregate principal payments for the five years subsequent to March 31, 2020 and thereafter, on all of the Company’s outstanding debt (mortgage notes payable and credit facilities):

	Future Principal Payments
(In thousands)	Mortgage Notes Payable		Credit Facilities		Total
2020 (remainder)	$	837	$	—	$	837
2021	1,191		130		1,321
2022	1,241		2,820		4,061
2023	6,383		200,115		206,498
2024	1,094		154,497		155,591
Thereafter	540,459		347,378		887,837
Total	$	551,205	$	704,940	$	1,256,145