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Notes Payable
 6 Months Ended
Jun. 30, 2023
Debt  
Debt Mortgages Payable
During the six months ended June 30, 2023, we made $8.1 million in principal payments, including the full repayment of one mortgage for $5.7 million. No mortgages were assumed during the six months ended June 30, 2023. Assumed mortgages are secured by the properties on which the debt was placed and are considered non-recourse debt with limited customary exceptions which vary from loan to loan.
Our mortgages contain customary covenants, such as limiting our ability to further mortgage each applicable property or to discontinue insurance coverage without the prior consent of the lender. At June 30, 2023, we were in compliance with these covenants.
The balance of our deferred financing costs, which are classified as part of 'Mortgages payable, net', on our consolidated balance sheets, was $0.7 million at June 30, 2023 and $0.8 million at December 31, 2022. These costs are being amortized over the remaining term of each mortgage.
The following table summarizes our mortgages payable as of June 30, 2023 and December 31, 2022 (dollars in millions):

As Of
Number of
Properties (1)
Weighted
Average
Stated
Interest
Rate (2)
Weighted
Average
Effective
Interest
Rate (3)
Weighted
Average
Remaining
Years Until
Maturity		Remaining
Principal
Balance
Unamortized
Premium
and Deferred
Financing Costs
Balance, net
Mortgage
Payable
Balance
June 30, 20231354.8 %3.3 %0.9$836.3 $5.4 $841.7 
December 31, 20221364.8 %3.3 %1.4$842.3 $11.6 $853.9 
(1)At June 30, 2023, there were 17 mortgages on 135 properties and at December 31, 2022, there were 18 mortgages on 136 properties. With the exception of one Sterling-denominated mortgage which is paid quarterly, the mortgages require monthly payments with principal payments due at maturity. At June 30, 2023 and December 31, 2022, all mortgages were at fixed interest rates.
(2) Stated interest rates ranged from 3.0% to 6.9% at June 30, 2023 and December 31, 2022, respectively.
(3) Effective interest rates ranged from 2.0% to 6.6% and 2.7% to 6.6% at June 30, 2023 and December 31, 2022, respectively.

The following table summarizes the maturity of mortgages payable as of June 30, 2023, excluding $5.4 million related to unamortized net premiums and deferred financing costs (dollars in millions):
Year of Maturity
Principal
2023$14.1
2024740.5
202543.9
202612.0
202722.3
Thereafter3.5
Totals
$836.3
Notes payable  
Debt  
Debt Notes Payable
A.    General
At June 30, 2023, our senior unsecured notes and bonds are USD-denominated and Sterling-denominated. Foreign-denominated notes are converted at the applicable exchange rate on the balance sheet date. The following are sorted by maturity date (in thousands):
Carrying Value (USD) as of
Maturity DatesPrincipal (Currency Denomination)June 30, 2023December 31, 2022
4.600% Notes due 2024
February 6, 2024$499,999 $499,999 $499,999 
3.875% Notes due 2024
July 15, 2024$350,000 350,000 350,000 
3.875% Notes due 2025
April 15, 2025$500,000 500,000 500,000 
4.625% Notes due 2025
November 1, 2025$549,997 549,997 549,997 
5.050% Notes due 2026
January 13, 2026$500,000 500,000 — 
0.750% Notes due 2026
March 15, 2026$325,000 325,000 325,000 
4.875% Notes due 2026
June 1, 2026$599,997 599,997 599,997 
4.125% Notes due 2026
October 15, 2026$650,000 650,000 650,000 
1.875% Notes due 2027
January 14, 2027£250,000 317,700 301,225 
3.000% Notes due 2027
January 15, 2027$600,000 600,000 600,000 
1.125% Notes due 2027
July 13, 2027£400,000 508,320 481,960 
3.950% Notes due 2027
August 15, 2027$599,873 599,873 599,873 
3.650% Notes due 2028
January 15, 2028$550,000 550,000 550,000 
3.400% Notes due 2028
January 15, 2028$599,816 599,816 599,816 
2.200% Notes due 2028
June 15, 2028$499,959 499,959 499,959 
4.700% Notes due 2028
December 15, 2028$400,000 400,000 — 
3.250% Notes due 2029
June 15, 2029$500,000 500,000 500,000 
3.100% Notes due 2029
December 15, 2029$599,291 599,291 599,291 
4.850% Notes due 2030
March 15, 2030$600,000 600,000 — 
3.160% Notes due 2030
June 30, 2030£140,000 177,912 168,686 
1.625% Notes due 2030
December 15, 2030£400,000 508,320 481,960 
3.250% Notes due 2031
January 15, 2031$950,000 950,000 950,000 
3.180% Notes due 2032
June 30, 2032£345,000 438,426 415,691 
5.625% Notes due 2032
October 13, 2032$750,000 750,000 750,000 
2.850% Notes due 2032
December 15, 2032$699,655 699,655 699,655 
1.800% Notes due 2033
March 15, 2033$400,000 400,000 400,000 
1.750% Notes due 2033
July 13, 2033£350,000 444,780 421,715 
4.900% Notes due 2033
July 15, 2033$600,000 600,000 — 
2.730% Notes due 2034
May 20, 2034£315,000 400,302 379,544 
5.875% Bonds due 2035
March 15, 2035$250,000 250,000 250,000 
3.390% Notes due 2037
June 30, 2037£115,000 146,142 138,563 
2.500% Notes due 2042
January 14, 2042£250,000 317,700 301,225 
4.650% Notes due 2047
March 15, 2047$550,000 550,000 550,000 
Total principal amount$16,383,189 $14,114,156 
Unamortized net premiums, deferred financing costs and cumulative basis adjustment on fair value hedge (1)
92,400 163,857 
 $16,475,589 $14,278,013 
(1) In January 2023, in conjunction with the pricing of these senior unsecured notes due January 2026, we entered into three-year, fixed-to-variable interest rate swaps, which are accounted for as fair value hedges. See Note 11, Derivative Instruments for further details.
The following table summarizes the maturity of our notes and bonds payable as of June 30, 2023, excluding $92.4 million related to unamortized net premiums, deferred financing costs, and basis adjustment on interest rate swaps designated as fair value hedges (dollars in millions):
Year of Maturity
Principal
2023$— 
2024850.0 
20251,050.0 
20262,075.0 
20272,025.9 
Thereafter10,382.3 
Totals
$16,383.2 
As of June 30, 2023, the weighted average interest rate on our notes and bonds payable was 3.6%, and the weighted average remaining years until maturity was 6.7 years.
Interest incurred on all of the notes and bonds was $144.1 million and $103.0 million for the three months ended June 30, 2023, and 2022, respectively, and $274.4 million and $206.1 million for the six months ended June 30, 2023, and 2022, respectively.
Our outstanding notes and bonds are unsecured; accordingly, we have not pledged any assets as collateral for these or any other obligations. Interest on our £400 million of 1.625% senior unsecured notes issued in October 2020, our £400 million of 1.125% senior unsecured notes issued in July 2021, our £350 million of 1.750% senior unsecured notes also issued in July 2021, our £250 million of 1.875% senior unsecured notes issued in January 2022, and £250 million of 2.500% senior unsecured notes also issued in January 2022 is paid annually. Interest on our remaining senior unsecured note and bond obligations is paid semiannually.
All of these notes and bonds contain various covenants, including: (i) a limitation on incurrence of any debt which would cause our debt to total adjusted assets ratio to exceed 60%; (ii) a limitation on incurrence of any secured debt which would cause our secured debt to total adjusted assets ratio to exceed 40%; (iii) a limitation on incurrence of any debt which would cause our debt service coverage ratio to be less than 1.5 times; and (iv) the maintenance at all times of total unencumbered assets not less than 150% of our outstanding unsecured debt. At June 30, 2023, we were in compliance with these covenants.
B.    Note Issuances
During the six months ended June 30, 2023, we issued the following notes and bonds (in millions):
Date of IssuanceMaturity DatePrincipal amountPrice of par valueEffective semi-annual yield to maturity
5.050% Notes
January 2023January 2026$500.0 
(1)
99.618 %5.189 %
4.850% Notes
January 2023March 2030$600.0 98.813 %5.047 %
4.700% Notes
April 2023December 2028$400.0 98.949 %4.912 %
4.900% Notes
April 2023July 2033$600.0 98.020 %5.148 %

(1)    In January 2023, we issued $500 million of 5.05% senior unsecured notes due January 13, 2026, which are callable at par on January 13, 2024.
In July 2023, we issued €550.0 million of 4.875% senior unsecured notes due July 2030 and €550.0 million of 5.125% senior unsecured notes due July 2034. See note 18, Subsequent Events, for further details.