DEBT

The following is a summary of our total debt outstanding as of December 31, 2017 and 2016:



	Principal Balance as of December 31,						Stated Interest Rate as of		Stated Maturity Date as of
Description of Debt	2017			2016			December 31, 2017		December 31, 2017
Mortgages payable	(Dollars in thousands)
The Grove at Shrewsbury (West)	$	10,545		$	10,792		6.38	%	March 1, 2018
Rollingwood Apartments	20,820			21,283			5.54	%	May 1, 2019
The Shops at Sunset Place	66,603			68,634			5.62	%	September 1, 2020
29th Place	4,341			4,553			5.91	%	January 31, 2021
Sylmar Towne Center	17,362			—			5.39	%	June 6, 2021
Plaza Del Sol	8,579			—			5.23	%	December 1, 2021
THE AVENUE at White Marsh	52,705			52,705			3.35	%	January 1, 2022
Montrose Crossing	71,054			72,726			4.20	%	January 10, 2022
Azalea	40,000			—			3.73	%	November 1, 2025
Bell Gardens	13,184			—			4.06	%	August 1, 2026
Plaza El Segundo	125,000			175,000			3.83	%	June 5, 2027
The Grove at Shrewsbury (East)	43,600			42,536			3.77	%	September 1, 2027
Brook 35	11,500			11,500			4.65	%	July 1, 2029
Chelsea	6,268			6,576			5.36	%	January 15, 2031
Subtotal	491,561			466,305
Net unamortized premium and debt issuance costs	(56		)	4,812
Total mortgages payable	491,505			471,117
Notes payable
Term loan	275,000			275,000			LIBOR + 0.90%		November 21, 2018
Revolving credit facility	41,000			—			LIBOR + 0.825%		April 20, 2020
Various	4,819			5,247			11.31	%	Various through 2028
Subtotal	320,819			280,247
Net unamortized debt issuance costs	(554		)	(1,096		)
Total notes payable	320,265			279,151
Senior notes and debentures
5.90% notes	—			150,000			5.90	%	April 1, 2020
2.55% notes	250,000			250,000			2.55	%	January 15, 2021
3.00% notes	250,000			250,000			3.00	%	August 1, 2022
2.75% notes	275,000			275,000			2.75	%	June 1, 2023
3.95% notes	300,000			300,000			3.95	%	January 15, 2024
7.48% debentures	29,200			29,200			7.48	%	August 15, 2026
3.25% notes	475,000			—			3.25	%	July 15, 2027
6.82% medium term notes	40,000			40,000			6.82	%	August 1, 2027
4.50% notes	550,000			450,000			4.50	%	December 1, 2044
3.625% notes	250,000			250,000			3.625	%	August 1, 2046
Subtotal	2,419,200			1,994,200
Net unamortized discount and debt issuance costs	(17,760		)	(17,606		)
Total senior notes and debentures	2,401,440			1,976,594
Capital lease obligations
Various	71,556			71,590			Various		Various through 2106
Total debt and capital lease obligations	$	3,284,766		$	2,798,452

On June 5, 2017 we refinanced the $175.0 million mortgage loan on Plaza El Segundo at a face amount of $125.0 million and repaid the remaining $50.0 million at par. The new mortgage loan bears interest at 3.83% and matures on June 5, 2027.

On June 23, 2017, we issued $400.0 million aggregate principal amount of fixed rate senior unsecured notes in two separate series. We issued $300.0 million of 3.25% notes that mature on July 15, 2027, which were offered at 99.083% of the principal amount, with a yield to maturity of 3.358%. Additionally, we issued $100.0 million of 4.50% notes due December 1, 2044. The 4.50% notes were offered at 105.760% of the principal amount, with a yield to maturity of 4.143%, and have the same terms and are of the same series as the senior notes first issued on November 14, 2014. Our net proceeds from the June note offering after net issuance premium, underwriting fees and other costs was approximately $399.5 million.

In connection with the acquisition of six shopping centers in Los Angeles County, California on August 2, 2017 (as further discussed in Note 3), we assumed mortgage loans with a face amount of $79.4 million and a fair value of $80.1 million. The mortgage loans are secured by the individual properties with the following contractual terms:



	Principal		Stated Interest Rate		Maturity Date
	(in millions)
Sylmar Towne Center	$	17.5	5.39	%	June 6, 2021
Plaza Del Sol	8.6		5.23	%	December 1, 2021
Azalea	40.0		3.73	%	November 1, 2025
Bell Gardens	13.3		4.06	%	August 1, 2026

On August 31, 2017, we refinanced the $41.8 million mortgage loan on The Grove at Shrewsbury (East) at a face amount of $43.6 million. The new mortgage loan bears interest at 3.77% and matures on September 1, 2027.

On December 21, 2017, we issued $175.0 million aggregate principal amount of 3.25% senior unsecured notes due July 15, 2027. The notes have the same terms and are of the same series as the $300.0 million senior notes issued on June 23, 2017. The notes were offered at 99.404% of the principal amount, with a yield to maturity of 3.323%. Our net proceeds from the December note offering after issuance discount, underwriting fees and other costs were approximately $172.5 million. The proceeds were used on December 31, 2017 to repay our $150.0 million 5.90% notes prior to the original maturity date of April 1, 2020. The redemption price of $164.1 million included a make-whole premium of $11.9 million and accrued but unpaid interest of $2.2 million. The make-whole premium is included in "early extinguishment of debt" in 2017.

During 2017, 2016 and 2015, the maximum amount of borrowings outstanding under our $800.0 million revolving credit facility was $344.0 million, $251.5 million and $324.0 million, respectively. The weighted average amount of borrowings outstanding was $147.5 million, $77.3 million and $109.7 million, respectively, and the weighted average interest rate, before amortization of debt fees, was 1.9%, 1.3% and 1.1%, respectively. The revolving credit facility requires an annual facility fee of $1.0 million. At December 31, 2017, our revolving credit facility had $41.0 million outstanding, and had no balance outstanding at December 31, 2016.

Our revolving credit facility, term loan, and certain notes require us to comply with various financial covenants, including the maintenance of minimum shareholders’ equity and debt coverage ratios and a maximum ratio of debt to net worth. As of December 31, 2017, we were in compliance with all default related debt covenants.

Scheduled principal payments on mortgages payable, notes payable, senior notes and debentures as of December 31, 2017 are as follows:



	Mortgages Payable		Notes Payable			Senior Notes and Debentures		Total Principal
	(In thousands)
Year ending December 31,
2018	$	16,228	$	275,506	(1)	$	—	$	291,734
2019	25,820		563			—		26,383
2020	65,539		41,624		(2)	—		107,163
2021	30,541		694			250,000		281,235
2022	117,018		771			250,000		367,789
Thereafter	236,415		1,661			1,919,200		2,157,276
	$	491,561	$	320,819		$	2,419,200	$	3,231,580	(3)

_____________________


(1)	Our $275.0 million unsecured term loan matures on November 21, 2018, subject to a one-year extension at our option.


(2)	Our $800.0 million revolving credit facility matures on April 20, 2020, subject to two six-month extensions at our option. As of December 31, 2017, there was $41.0 million outstanding under this credit facility.


(3)	The total debt maturities differ from the total reported on the consolidated balance sheet as of December 31, 2017 due to the unamortized premium/(discount) and debt issuance costs on mortgage loans, notes payable, and senior notes.

Future minimum lease payments and their present value for property under capital leases as of December 31, 2017, are as follows:




	(In thousands)
Year ending December 31,
2018	$	5,800
2019	5,800
2020	5,800
2021	5,800
2022	5,810
Thereafter	142,425
	171,435
Less amount representing interest	(99,879		)
Present value	$	71,556