Fair Value Measurements

3 Months Ended

Mar. 31, 2017

NOTE 18. Fair Value Measurements

Financial assets and liabilities measured at fair value on a recurring basis at March 31, 2017 in the consolidated balance sheets are immaterial.

The table below summarizes the carrying amounts and fair values of the Company’s financial instruments (in thousands):


	March 31, 2017(4)				December 31, 2016(4)
	Carrying				Carrying
	Value		Fair Value		Value		Fair Value
Loans receivable, net(2)	$	788,486	$	787,067	$	807,954	$	807,505
Marketable debt securities(2)		18,330		18,330		68,630		68,630
Marketable equity securities(1)		85		85		76		76
Warrants(3)		39		39		19		19
Bank line of credit(2)		492,421		492,421		899,718		899,718
Term loans(2)		274,103		274,103		440,062		440,062
Senior unsecured notes(1)		7,136,336		7,445,519		7,133,538		7,386,149
Mortgage debt(2)		147,329		134,605		623,792		609,374
Other debt(2)		91,263		91,263		92,385		92,385
Interest-rate swap liabilities(2)		4,163		4,163		4,857		4,857
Currency swap asset(2)		1,924		1,924		2,920		2,920

(1)

Level 1: Fair value calculated based on quoted prices in active markets.

(2)

Level 2: Fair value based on (i) for marketable debt securities, quoted prices for similar or identical instruments in active or inactive markets, respectively, or (ii) or for loans receivable, net, mortgage debt, and swaps, calculated utilizing standardized pricing models in which significant inputs or value drivers are observable in active markets. For bank line of credit, term loans and other debt, the carrying values are a reasonable estimate of fair value because the borrowings are primarily based on market interest rates and the Company’s credit rating.

(3)

Level 3: Fair value determined based on significant unobservable market inputs using standardized derivative pricing models.

(4)

During the three months ended March 31, 2017 and year ended December 31, 2016, there were no material transfers of financial assets or liabilities within the fair value hierarchy.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

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