Debt

6 Months Ended

Jun. 30, 2019

Mortgages Payable

The following is a summary of mortgages payable:



	Weighted Average Effective Interest Rate ⁽¹⁾	June 30, 2019			December 31, 2018
		(In thousands)
Variable rate ⁽²⁾	4.05%	$	14,000		$	308,918
Fixed rate ⁽³⁾	4.20%	1,349,977			1,535,734
Mortgages payable		1,363,977			1,844,652
Unamortized deferred financing costs and premium/ discount, net		(3,510		)	(6,271		)
Mortgages payable, net		$	1,360,467		$	1,838,381

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⁽¹⁾	Weighted average effective interest rate as of June 30, 2019.


⁽²⁾	Includes a variable rate mortgage payable with an interest rate cap agreement as of December 31, 2018.


⁽³⁾	Includes variable rate mortgages payable with interest rates fixed by interest rate swap agreements.

As of June 30, 2019 and December 31, 2018, the net carrying value of real estate collateralizing our mortgages payable, excluding assets held for sale, totaled $1.8 billion and $2.3 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. Certain of our mortgage loans are recourse to us. See Note 15 for additional information.

During the six months ended June 30, 2019, we repaid mortgages payable with an aggregate principal balance of $475.1 million, which resulted in losses on the extinguishment of debt of $1.9 million during the three and six months ended June 30, 2019.

As of June 30, 2019 and December 31, 2018, we had various interest rate swap and cap agreements with an aggregate notional value of $1.1 billion and $1.3 billion on certain of our mortgages payable. See Note 13 for additional information.

Credit Facility

We have a $1.4 billion credit facility, consisting of a $1.0 billion revolving credit facility maturing in July 2021, with two six-month extension options, a delayed draw $200.0 million unsecured term loan ("Tranche A-1 Term Loan") maturing in January 2023, and a delayed draw $200.0 million unsecured term loan ("Tranche A-2 Term Loan") maturing in July 2024. Effective as of July 17, 2019, the credit facility was amended to extend the delayed draw period of our Tranche A-1 Term Loan to July 2020 and to reduce the applicable interest rate of the Tranche A-2 Term Loan by 40 basis points, to LIBOR plus 1.15% from LIBOR plus 1.55%.

As of June 30, 2019 and December 31, 2018, we had interest rate swaps with an aggregate notional value of $100.0 million, which effectively convert the variable interest rate applicable to our Tranche A-1 Term Loan to a fixed interest rate. As of June 30, 2019, we had interest rate swaps with an aggregate notional value of $137.6 million, which effectively convert the variable interest rate applicable to a portion of the outstanding balance of our Tranche A-2 Term Loan to a fixed interest rate.

The following is a summary of amounts outstanding under the credit facility:



	Interest Rate ⁽¹⁾	June 30, 2019			December 31, 2018
		(In thousands)
Revolving credit facility ^{(2) (3) (4)}	3.50%	$	—		$	—

Tranche A-1 Term Loan ⁽⁵⁾	3.32%	$	100,000		$	100,000
Tranche A-2 Term Loan ⁽⁵⁾	4.34%	200,000			200,000
Unsecured term loans		300,000			300,000
Unamortized deferred financing costs, net		(3,048		)	(2,871		)
Unsecured term loans, net		$	296,952		$	297,129

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⁽¹⁾	Interest rate as of June 30, 2019.


⁽²⁾	As of June 30, 2019 and December 31, 2018, letters of credit with an aggregate face amount of $5.8 million and $5.7 million were provided under our revolving credit facility.


⁽³⁾	As of June 30, 2019 and December 31, 2018, net deferred financing costs related to our revolving credit facility totaling $3.9 million and $4.8 million were included in "Other assets, net."


⁽⁴⁾	The interest rate for the revolving credit facility excludes a 0.15% facility fee.


⁽⁵⁾	The interest rate includes the impact of interest rate swap agreements.