Derivative Financial Instruments

6 Months Ended

Jun. 30, 2014

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

6. Derivative Financial Instruments

On March 14, 2014, the Company executed a LIBOR interest rate cap agreement on a notional amount of $50.0 million and a strike price of 1.25% for a premium of $0.4 million. The interest rate cap agreement expires on March 1, 2017.

The Company’s derivatives comprised the following as of June 30, 2014 and December 31, 2013 (in thousands):

	June 30, 2014							December 31, 2013
	(Unaudited)
	Notional Amount		Fair Value					Notional Amount		Fair Value
			Asset		Liability					Asset		Liability
Pay fixed interest rate swaps	$	695	$	—	$	(15	)	$	705	$	—	$	(16	)
Interest rate caps		180,554		328		—			130,672		102		—
Total	$	181,249	$	328	$	(15	)	$	131,377	$	102	$	(16	)

The changes in the fair value of Armada Hoffler’s derivatives during the three and six months ended June 30, 2014 and 2013 comprised the following (in thousands):

	Three Months Ended June 30,					Six Months Ended June 30,
	2014			2013		2014			2013
	(Unaudited)
Pay fixed interest rate swaps	$	(1	)	$	44	$	1		$	152
Interest rate caps		(261	)		2		(170	)		4
Other (loss) income	$	(262	)	$	46	$	(169	)	$	156