Interest Rate Swaps

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Interest Rate Swaps

Interest Rate Swaps

The purpose of the swap agreements is to convert the floating interest rate on the Credit Agreements of the Company to a fixed rate. As of March 31, 2023, the notional amount of the interest rate swaps covers approximately 96% of the balance of the Company’s floating rate term loans.

During the three months ended March 31, 2023, the change in the fair value of the interest rate swaps was $5.6 million reflected within Change in Fair Value of Interest Rate Swaps within Other Income (Expense) and $2.5 million were realized gains reflected within Interest Expense, Net in the Unaudited Condensed Consolidated Statements of Operations. See Note 10. Fair Value Measurements for the method used to determine fair value of interest rate swaps. Above amounts also includes Deutsche Bank swap which was assumed by the Company as part of SEMTH asset acquisition transaction.