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Derivative Instruments and Hedging Activities
 6 Months Ended
Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments and Hedging Activities Derivative Instruments and Hedging Activities:
The Company uses interest rate cap and interest rate swap agreements to manage the interest rate risk of its floating rate debt. The Company recorded other comprehensive (loss) income related to the marking-to-market of derivative instruments of $(4,281) and $(52) for the three months ended June 30, 2019 and 2018, respectively, and $(6,326) and $9 for the six months ended June 30, 2019 and 2018, respectively.
The following derivatives were outstanding at June 30, 2019:
 
 
 
 
 
 
 
 
 
 
Fair Value
Property
 
Notional Amount
 
Product
 
LIBOR Rate
 
Maturity
 
June 30,
2019
 
December 31,
2018
Santa Monica Place
 
$
300,000

 
Cap
 
4.00
%
 
12/9/2019
 
$
—

 
$
(53
)
The Macerich Partnership, L.P.
 
$
400,000

 
Swaps
 
2.85
%
 
9/30/2021
 
$
(10,792
)
 
$
(4,413
)

The above derivative instruments were designated as hedging instruments with an aggregate fair value (Level 2 measurement) and were included in deferred charges and other assets, net and other accrued liabilities. The fair value of the Company's interest rate derivatives was determined using discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The Company incorporates credit valuation adjustments to appropriately reflect both its own nonperformance risk and the respective counterparty's nonperformance risk in the fair value measurements.
Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads, to evaluate the likelihood of default by the Company and its counterparties. The Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of its interest rate swap. As a result, the Company determined that its interest rate cap and swap valuations in their entirety are classified in Level 2 of the fair value hierarchy.