XML 41 R31.htm IDEA: XBRL DOCUMENT v3.22.1
Borrowings (Tables)
 3 Months Ended
Mar. 31, 2022
Debt Disclosure [Abstract]  
Schedule of Revolving Credit Facility
The following is a summary of the revolving credit facility:
$ in thousands
Maximum Facility Size (2)
Principal Outstanding Balance
IndebtednessInterest RateMaturity DateMarch 31, 2022December 31, 2021March 31, 2022December 31, 2021
Revolving Credit Facility
S + applicable margin(1)
1/22/2024$150,000 $100,000 $108,300 $75,500 
(1)During the quarter ended March 31, 2022, we entered into an amendment for the Revolving Credit Facility which converted the benchmark interest rate for all outstanding borrowings from the London Interbank Offered Rate (“LIBOR”) to the Secured Overnight Financing Rate (“SOFR”). Prior to the amendment, borrowings under the Revolving Credit Facility carried interest at a rate equal to (i) one-month LIBOR or (ii) a Base Rate, where the base rate is the highest of (1) federal funds rate plus 0.5%, (2) the rate of interest as publicly announced by Bank of America N.A. as its “prime rate” or (3) the one-month LIBOR rate plus 1.0%, in each case, plus an applicable margin that is based on our leverage ratio. After the amendment, borrowings under the Revolving Credit Facility carry interest at a rate equal to (i) Daily Simple SOFR, (ii) Term SOFR with an interest period of one, three or six-months, or (iii) a Base Rate, where the base rate is the highest of (1) federal funds rate plus 0.5%, (2) the rate of interest as publicly announced by Bank of America N.A. as its “prime rate”, (3) Term SOFR with an interest period of one month plus 1.0%, or (4) 1.0%, in each case, plus an applicable margin that is based on our leverage ratio. The weighted-average interest rate for the three months ended March 31, 2022 and 2021 was 1.91% and 1.71%, respectively.
(2)During the quarter ended March 31, 2022, we entered into an amendment for the Revolving Credit Facility that increased our maximum facility size from $100 million to $150 million. As of March 31, 2022, the borrowing capacity on the Revolving Credit Facility was $41.7 million.
The following table summarize certain characteristics of our mortgage notes that are secured by the Company’s properties:
$ in thousandsPrincipal Balance Outstanding
Indebtedness
Interest Rate(1)
Maturity DateMaximum Principal AmountMarch 31, 2022December 31, 2021
Cortona Apartments
L + applicable margin(2)
6/1/2028$45,000 $45,000 $45,000 
Bixby Kennesaw
L + applicable margin(3)
9/24/2026$53,000 53,000 53,000 
Tempe Student Housing
S + applicable margin(4)
1/01/2025$65,500 65,500 65,500 
Cortlandt Crossing3.13%3/01/2027$39,660 39,660 — 
Total mortgages payable203,160 163,500 
Deferred financing costs, net(2,108)(1,847)
Mortgage notes payable, net$201,052 $161,653 
(1)The terms “L” and “S” refer to the relevant floating benchmark rates, which include USD LIBOR and SOFR, as applicable to each loan. The mortgage agreements that utilize LIBOR contain LIBOR replacement language.
(2)The mortgage note secured by the Cortona Apartments bears interest at the greater of (a) 2.65% or (b) the sum of (i) 2.40% plus (ii) one-month LIBOR. The weighted-average interest rate for the three months ended March 31, 2022 was 2.65%.
(3)The mortgage note secured by Bixby Kennesaw bears interest at the sum of (i) 1.60% plus (ii) one-month LIBOR. The weighted-average interest rate for the three months ended March 31, 2022 was 1.75%.
(4)The mortgage note secured by Tempe Student Housing bears interest at (i) 1.75% plus (ii) 30-Day SOFR Average as published on the website of the Federal Reserve Bank of New York. The weighted-average interest rate for the three months ended March 31, 2022 was 1.80%.
Schedule of Maturities of Long-term Debt
The following table presents the future principal payments due under our outstanding borrowings as of March 31, 2022:
Year ($ in thousands)Revolving Credit FacilityMortgages PayableFinancing ObligationTotal
2022 (remaining)$— $— $— $— 
2023— — 3 3 
2024108,300 — 6 108,306 
2025— 65,500 9 65,509 
2026— 53,000 12 53,012 
2027— 39,660 15 39,675 
Thereafter— 45,000 36,309 81,309 
Total$108,300 $203,160 $36,354 $347,814