The principal amount of the Company’s outstanding debt totaled approximately $1.2 billion at June 30, 2020, of which approximately $934.1 million was fixed-rate debt and approximately $249.5 million was variable rate debt outstanding under the credit facility. The carrying value of the properties collateralizing the notes payable totaled approximately $1.1 billion as of June 30, 2020.

At June 30, 2020, the Company had a $400.0 million credit facility comprised of a $325.0 million revolving facility and a $75.0 million term loan. As of June 30, 2020, the applicable spread for borrowings was 140 basis points under the revolving credit facility and 135 basis points under the term loan. Letters of credit may be issued under the revolving credit facility. As of June 30, 2020, based on the value of the Company’s unencumbered properties, approximately $150.3 million was available under the revolving credit facility, $174.5 million was outstanding and approximately $185,000 was committed for letters of credit.

On February 10, 2020, the Company repaid in full the remaining principal balance of $9.2 million of the mortgage loan secured by Boca Valley Plaza, which was scheduled to mature on May 10, 2020.

On March 3, 2020, the Company repaid in full the remaining principal balance of $7.1 million of the mortgage loan secured by Palm Springs Center, which was scheduled to mature on June 1, 2020.

During the six months ended June 30, 2020, the Company borrowed $71.0 million under its revolving credit facility to provide additional liquidity and flexibility as the effects of the COVID-19 pandemic continue to evolve.

Saul Centers and certain consolidated subsidiaries of the Operating Partnership have guaranteed the payment obligations of the Operating Partnership under the credit facility. The Operating Partnership is the guarantor of (a) a portion of the Park Van Ness mortgage (approximately $6.7 million of the $67.3 million outstanding balance at June 30, 2020, which guarantee will be reduced to (i) $3.3 million on October 1, 2020 and (ii) zero on October 1, 2021), (b) a portion of the Broadlands

mortgage (approximately $3.9 million of the $30.8 million outstanding balance at June 30, 2020), (c) a portion of the Avenel Business Park mortgage (approximately $6.3 million of the $25.8 million outstanding balance at June 30, 2020) and (d) a portion of The Waycroft mortgage (approximately $23.6 million of the $136.2 million outstanding balance at June 30, 2020). All other notes payable are non-recourse. The guarantee on the Kentlands Square II mortgage loan was released on February 5, 2020.

At December 31, 2019, the principal amount of the Company’s outstanding debt totaled approximately $1.1 billion, of which $938.4 million was fixed rate debt and $162.5 million was variable rate debt, including $87.5 million outstanding under an unsecured revolving credit facility. The carrying value of the properties collateralizing the notes payable totaled approximately $1.1 billion as of December 31, 2019.

At June 30, 2020, the scheduled maturities of debt, including scheduled principal amortization, for years ending December 31, were as follows:



(In thousands)	Balloon Payments			Scheduled Principal Amortization		Total
July 1 through December 31, 2020	$	—		$	14,167	$	14,167
2021	11,012			28,996		40,008
2022	211,002		(a)	29,609		240,611
2023	84,225			30,021		114,246
2024	66,164			29,326		95,490
2025	20,363			26,291		46,654
Thereafter	532,910			99,518		632,428
Principal amount	$	925,676		$	257,928	1,183,604
Unamortized deferred debt costs						9,037
Net						$	1,174,567

Deferred debt costs consist of fees and costs incurred to obtain long-term financing, construction financing and the credit facility. These fees and costs are being amortized on a straight-line basis over the terms of the respective loans or agreements, which approximates the effective interest method. Deferred debt costs totaled $9.0 million and $9.7 million, net of accumulated amortization of $7.9 million and $7.5 million, at June 30, 2020 and December 31, 2019, respectively, and are reflected as a reduction of the related debt in the Consolidated Balance Sheets.

Interest expense, net and amortization of deferred debt costs for the three and six months ended June 30, 2020 and 2019, were as follows:



	Three Months Ended June 30,						Six Months Ended June 30,
(In thousands)	2020			2019			2020			2019
Interest incurred	$	12,837		$	12,988		$	25,856		$	25,868
Amortization of deferred debt costs	387			375			760			760
Capitalized interest	(1,137		)	(2,522		)	(4,905		)	(4,668		)
Interest expense	12,087			10,841			21,711			21,960
Less: Interest income	68			48			98			100
Interest expense, net and amortization of deferred debt costs	$	12,019		$	10,793		$	21,613		$	21,860