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9 Months Ended

Sep. 30, 2024

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7.Debt

Mortgage Loans

The following is a summary of mortgage loans:

	Weighted Average
	Effective
	Interest Rate (1)	September 30, 2024		December 31, 2023
		(In thousands)
Variable rate (2)	6.12%	$	724,317	$	608,582
Fixed rate (3)	4.54%		1,104,606		1,189,643
Mortgage loans			1,828,923		1,798,225
Unamortized deferred financing costs and premium / discount, net			(12,767)		(15,211)
Mortgage loans, net		$	1,816,156	$	1,783,014

(1) Weighted average effective interest rate as of September 30, 2024.

(2) Includes variable rate mortgage loans with interest rate cap agreements. For mortgage loans with interest rate caps, the weighted average interest rate cap strike was 3.56%, and the weighted average maturity date of the interest rate caps is in the fourth quarter of 2025. The interest rate cap strike is exclusive of the credit spreads associated with the mortgage loans. As of September 30, 2024, one-month term Secured Overnight Financing Rate ("SOFR") was 4.85%.

(3) Includes variable rate mortgage loans with interest rates fixed by interest rate swap agreements.

As of September 30, 2024 and December 31, 2023, the net carrying value of real estate collateralizing our mortgage loans totaled $2.1 billion and $2.2 billion. Our mortgage loans contain covenants that limit our ability to incur additional indebtedness on these properties and, in certain circumstances, require lender approval of tenant leases and/or yield maintenance upon repayment prior to maturity.

In September 2024, we repaid the $83.3 million mortgage loan collateralized by 201 12th Street S., 200 12th Street S., and 251 18th Street S.

As of September 30, 2024 and December 31, 2023, we had various interest rate swap and cap agreements on certain mortgage loans with an aggregate notional value of $1.7 billion. See Note 15 for additional information.

Revolving Credit Facility and Term Loans

As of September 30, 2024, our unsecured revolving credit facility and term loans totaling $1.5 billion consisted of a $750.0 million revolving credit facility maturing in June 2027, a $200.0 million term loan ("Tranche A-1 Term Loan") maturing in January 2026, as extended in September 2024, a $400.0 million term loan ("Tranche A-2 Term Loan") maturing in January 2028 and a $120.0 million term loan ("2023 Term Loan") maturing in June 2028. The revolving credit facility has two six-month extension options, and the Tranche A-1 Term Loan has one remaining one-year extension option.

The following is a summary of amounts outstanding under the revolving credit facility and term loans:

	Effective
	Interest Rate (1)	September 30, 2024		December 31, 2023
		(In thousands)
Revolving credit facility (2) (3)	6.46%	$	90,000	$	62,000
Tranche A-1 Term Loan (4)	5.34%	$	200,000	$	200,000
Tranche A-2 Term Loan (5)	4.20%		400,000		400,000
2023 Term Loan (6)	5.41%		120,000		120,000
Term loans			720,000		720,000
Unamortized deferred financing costs, net			(2,422)		(2,828)
Term loans, net		$	717,578	$	717,172

(1) Effective interest rate as of September 30, 2024. The interest rate for our revolving credit facility excludes a 0.15% facility fee.

(2) As of September 30, 2024, daily SOFR was 4.96%. As of September 30, 2024 and December 31, 2023, letters of credit with an aggregate face amount of $15.7 million and $467,000 were outstanding under our revolving credit facility.

(3) As of September 30, 2024 and December 31, 2023, excludes $8.0 million and $10.2 million of net deferred financing costs related to our revolving credit facility that were included in "Other assets, net" in our balance sheets.

(4) As of September 30, 2024, the interest rate swaps fixed SOFR at a weighted average interest rate of 4.00% through the extended maturity date of January 2027.

(5) As of September 30, 2024, the interest rate swaps fixed SOFR at a weighted average interest rate of 2.81% through the maturity date.

(6) As of September 30, 2024, the interest rate swap fixed SOFR at an interest rate of 4.01% through the maturity date.