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Financial Instruments - Derivatives and Hedging
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Financial Instruments - Derivatives and Hedging Financial Instruments – Derivatives and Hedging
The Company’s use of derivative instruments is intended to manage its exposure to interest rate movements and such instruments are not utilized for speculative purposes. In certain situations, the Company may enter into derivative financial instruments, such as interest rate swap agreements and interest rate cap agreements that result in the receipt and/or payment of future known and uncertain cash amounts, the value of which are determined by market interest rates.

Cash Flow Hedges of Interest Rate Risk
Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts, generally based on the Secured Overnight Financing Rate ("SOFR"), from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchanging the underlying notional amount. Interest rate lock agreements designated as cash flow hedges generally involve the Company locking a fixed benchmark U.S. treasury rate with a counterparty for a specified future period to hedge variability in future cash flows attributable to changes in interest rates. Interest rate lock agreements are settled in cash on the specified settlement date without the exchange of the underlying notional amount. The Company utilizes interest rate swap and interest rate locks agreements to partially hedge the cash flows associated with variable-rate debt or future cash flows associated with forecasted fixed-rate debt issuances. During the three months ended March 31, 2026, the Company entered into two interest rate lock agreements. During the year ended December 31, 2025, the Company did not enter into any new interest rate swap or interest rate lock agreements. The Company has elected to present its interest rate derivatives on its unaudited Consolidated Balance Sheets on a gross basis as interest rate derivative assets and interest rate derivative liabilities. The gross derivative assets are included in Other assets and the gross derivative liabilities are included in Accounts payable, accrued expenses and other liabilities on the Company’s unaudited Condensed Consolidated Balance Sheets.
Detail on the terms and fair value of the Company’s interest rate derivatives designated as cash flow hedges outstanding as of March 31, 2026 is as follows:

Fair Value
Effective DateMaturity DateSwapped Variable RateFixed RateNotional AmountAssetsLiabilities
5/1/20237/26/20271 Month SOFR3.58900 %$100,000 $38 $— 
5/1/20237/26/20271 Month SOFR3.59500 %75,000 23 — 
5/1/20237/26/20271 Month SOFR3.59300 %25,000 8 — 
7/26/20247/26/20271 Month SOFR4.07670 %100,000 — (594)
7/26/20247/26/20271 Month SOFR4.07700 %100,000 — (595)
7/26/20247/26/20271 Month SOFR4.07670 %50,000 — (297)
7/26/20247/26/20271 Month SOFR4.07700 %50,000 — (297)
2/27/20265/11/2026
U.S. 10 year treasury(1)
3.99579 %100,000 2,557 — 
2/27/20265/11/2026
U.S. 10 year treasury(1)
3.99270 %100,000 2,582 — 
$700,000 $5,208 $(1,783)
(1)In February 2026, the Company entered into two interest rate lock agreements with an aggregate notional amount of $200.0 million to hedge against the changes in future cash flows resulting from changes in interest rates from the trade date through the forecasted issuance date of $200.0 million of fixed-rate debt.

Detail on the terms and fair value of the Company’s interest rate derivatives designated as cash flow hedges outstanding as of December 31, 2025 is as follows:

Fair Value
Effective DateMaturity DateSwapped Variable RateFixed RateNotional AmountAssetsLiabilities
5/1/20237/26/20271 Month SOFR3.5890 %$100,000 $— $(460)
5/1/20237/26/20271 Month SOFR3.5950 %75,000 — (352)
5/1/20237/26/20271 Month SOFR3.5930 %25,000 — (117)
7/26/20247/26/20271 Month SOFR4.0767 %100,000 — (1,208)
7/26/20247/26/20271 Month SOFR4.0770 %100,000 — (1,208)
7/26/20247/26/20271 Month SOFR4.0767 %50,000 — (604)
7/26/20247/26/20271 Month SOFR4.0770 %50,000 — (604)
$500,000 $— $(4,553)

All of the Company's outstanding interest rate swap and interest rate lock agreements for the periods presented were designated as cash flow hedges of interest rate risk. The fair value of the Company’s interest rate derivatives is determined using market standard valuation techniques, including discounted cash flow analyses, on the expected cash flows of each derivative. These analyses reflect the contractual terms of the derivative, including the period to maturity, and use observable market-based inputs, including interest rate curves and implied volatility. These inputs are classified as Level 2 of the fair value hierarchy. The effective portion of changes in the fair value of derivatives designated as cash flow hedges is recognized in Other comprehensive income (loss) on the Company's unaudited Condensed Consolidated Statements of Comprehensive Income and is reclassified into earnings as interest expense in the period that the hedged transaction affects earnings.

The effective portion of the Company’s interest rate derivatives that was recognized on the Company’s unaudited Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2026 and 2025 is as follows:

Derivatives in Cash Flow Hedging Relationships
(Interest Rate Derivatives)		Three Months Ended March 31,
20262025
Change in unrealized gain (loss) on interest rate swaps$7,727 $(3,566)
Amortization (Accretion) of interest rate swaps to interest expense69 (736)
Change in unrealized gain (loss) on interest rate swaps, net$7,796 $(4,302)

The Company estimates that $0.5 million will be reclassified from Accumulated other comprehensive income as an increase to Interest expense over the next twelve months. No gain or loss was recognized related to hedge
ineffectiveness or to amounts excluded from effectiveness testing on the Company’s cash flow hedges during the three months ended March 31, 2026 and 2025.

Non-Designated (Mark-to-Market) Hedges of Interest Rate Risk
The Company does not use derivatives for trading or speculative purposes. As of March 31, 2026 and December 31, 2025, the Company did not have any non-designated hedges.

Credit-risk-related Contingent Features
The Company has agreements with its derivative counterparties that contain provisions whereby if the Company defaults on certain of its indebtedness and the indebtedness has been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. If the Company was to be declared in default on its derivative contracts, it would be required to settle its obligations under such agreements at their termination value, including accrued interest.