Other Assets

12 Months Ended

Dec. 31, 2023

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

The following table summarizes the components of other assets:


$ in thousands	December 31, 2023		December 31, 2022
Derivative instruments	$	4,818	$	9,345
Deferred rent	2,994		1,857
Capitalized tax abatement, net(1)	1,363		8,166
Prepaid expenses	713		581
Receivables, net	688		472
Other	791		375



Total	$	11,367	$	20,796

(1)We obtained tax abatements in conjunction with our purchases of the Cortona at Forest Park and 3101 Agler properties with expiration dates of December 31, 2038 and December 31, 2031, respectively. We are amortizing the tax abatements over their remaining useful life as a component of property operating expenses in the consolidated statements of operations. On November 8, 2023, Cortona at Forest Park was sold and as of the sale date, the tax abatement is no longer an asset on our consolidated balance sheets and we are no longer amortizing the tax abatement related to Cortona at Forest Park. As of December 31, 2023, accumulated amortization of the remaining capitalized tax abatement was $0.3 million.

Derivative Instruments

We are exposed to certain risks arising from both our business operations and economic conditions. We principally manage our exposures to a wide variety of business and operational risks through management of our core business activities. We manage economic risks, including interest rate risk, primarily by managing the amount, sources, and duration of our investments, borrowings, and the use of derivative financial instruments. Specifically, we use derivative financial instruments to manage exposures that arise from business activities that result in the payment of future known and uncertain cash amounts, the value of which are determined by interest rates. Our derivative financial instruments are used to manage differences in the amount, timing, and duration of our known or expected cash payments principally related to our borrowings.

The following tables summarize the notional amount and other information related to our interest rate caps and interest rate swaps as of December 31, 2023 and 2022:


	December 31, 2023
$ in thousands	Number of Instruments	Notional Amount(1)		Fixed Amount		Fair Value(2)		Weighted Average Strike Rate/Fixed Rate	Weighted Average Remaining Term In Years
Interest rate caps	4	$	178,500	$	2,601	$	3,320	2.64%	1.14
Interest rate swap	1	52,500		N/A		1,498		2.73%	3.33
Total	5	$	231,000	$	2,601	$	4,818


	December 31, 2022
$ in thousands	Number of Instruments	Notional Amount(1)		Fixed Amount		Fair Value(2)		Weighted Average Strike Rate/Fixed Rate	Weighted Average Remaining Term In Years
Interest rate caps	4	$	198,500	$	2,666	$	7,167	2.13%	1.81
Interest rate swap	1	52,500		N/A		2,178		2.73%	4.33
Total	5	$	251,000	$	2,666	$	9,345

(1)The notional amount represents the amount of the mortgage note and revolving credit facility borrowings that we are hedging. It does not represent our exposure to credit, interest rate or market risks.

(2)The fair value of each derivative instrument is included in other assets on our consolidated balance sheets. For the year ended December 31, 2023, we reported a decrease in fair value of $4.5 million. For the year ended December 31, 2022, we reported an increase in fair value of $6.7 million. These changes are included as a component of gain on derivative instruments, net in our consolidated statements of operations. There were no derivative instruments as of December 31, 2021.