Borrowings

3 Months Ended

Mar. 31, 2017

Notes To Financial Statements [Abstract]

Schedule of Long-term Debt Instruments [Table Text Block]

Total Outstanding Debt

The following table summarizes our indebtedness at March 31, 2017 (dollars in thousands):

	Borrowed Balance			Effective Rate		Average Contract Maturity
Fixed Rate Secured Debt
Individual property mortgages	$	1,109,438		3.9	%	8/21/2019
Total fixed rate secured debt	$	1,109,438		3.9	%	8/21/2019
Variable Rate Secured Debt (1)
Fannie Mae conventional credit facility	160,000			1.2	%	6/1/2018
Total variable rate secured debt	$	160,000		1.2	%	6/1/2018
Fair market value adjustments and debt issuance costs	27,060
Total Secured Debt	$	1,296,498		3.6	%	6/24/2019
Unsecured Debt
Variable rate revolving credit facility	570,000			1.9	%	4/15/2020
Variable rate term loan	150,000			1.7	%	2/26/2021
Term loans fixed with swaps	700,000			3.1	%	11/10/2017
Fixed rate bonds	1,860,000			4.1	%	5/29/2023
Fair market value adjustments, debt issuance costs and discounts	(19,314		)
Total Unsecured Debt	$	3,260,686		3.4	%	7/23/2021
Total Outstanding Debt	$	4,557,184		3.4	%	12/19/2020

⁽¹⁾ Includes capped balances.

Notes Payable

Borrowings

The weighted average interest rate at March 31, 2017 for the $4.6 billion of debt outstanding was 3.4%, compared to the weighted average interest rate of 3.5% on $4.5 billion of debt outstanding at December 31, 2016. Our debt consists of an unsecured revolving credit facility, unsecured term loans, senior unsecured notes, a secured credit facility with Fannie Mae, and secured property mortgages. We utilize fixed rate borrowings, interest rate swaps, and interest rate caps to manage our current and future interest rate risk. More details on our borrowings can be found in the schedules presented later in this Note 7.

At March 31, 2017, we had $2.6 billion of senior unsecured notes and term loans fixed at an average interest rate of 3.8%, a $150.0 million variable rate term loan with an average interest rate of 1.7%, and a $1.0 billion variable rate revolving credit facility with an average interest rate of 1.9% with $570.0 million borrowed at March 31, 2017. Additionally, we had $110.0 million of secured variable rate debt outstanding at an average interest rate of 1.2% and $50.0 million of capped secured variable rate debt at an average interest rate of 1.2%. The interest rate on all other secured debt, totaling $1.1 billion, was hedged or fixed at an average interest rate of 3.9%.

Unsecured Revolving Credit Facility

We maintain a $1.0 billion unsecured credit facility with a syndicate of banks led by KeyBank National Association, or the KeyBank Facility. The KeyBank Facility includes an expansion option up to $1.5 billion. The KeyBank Facility bears an interest rate of LIBOR plus a spread of 0.85% to 1.55% based on an investment grade pricing grid and is currently bearing interest at 1.88%. The KeyBank Facility expires in April 2020 with an option to extend for an additional six months. At March 31, 2017, we had $570.0 million actually borrowed under this facility, and another approximately $2.2 million of the facility used to support letters of credit.

Unsecured Term Loans

We also maintain four term loans with a syndicate of banks, one led by KeyBank National Association, or KeyBank, two by Wells Fargo Bank, N.A., or Wells Fargo, and one by U.S. Bank National Association, or U.S. Bank, respectively. The KeyBank term loan has a balance of $150.0 million, matures in 2021, and has a variable interest rate of LIBOR plus a spread of 0.90% to 1.75% based on our credit ratings. The Wells Fargo term loans have balances of $250.0 million and $300.0 million, mature in 2018 and 2022, respectively, and have variable interest rates of LIBOR plus a spread of 0.90% to 1.90% and 0.90% to 1.75%, respectively. The U.S. Bank term loan has a balance of $150.0 million, matures in 2020, and has a variable interest rates of LIBOR plus a spread of 0.90% to 1.90% based on our credit ratings.

Senior Unsecured Notes

As ofMarch 31, 2017, we had approximately $1.6 billion of publicly issued notes and $310.0 million of private placement notes. These senior unsecured notes had maturities at issuance ranging from five to twelve years, averaging 6.2 years remaining until maturity as of March 31, 2017.

Secured Credit Facility

We maintain a $160.0 million secured credit facility with Prudential Mortgage Capital, which is credit enhanced by Fannie Mae, or the Fannie Mae Facility. The Fannie Mae Facility has maturities from 2017 through 2018. Borrowings under the Fannie Mae Facility totaled $160.0 million at March 31, 2017, all of which was variable rate at an average interest rate of 1.2%. The available borrowing capacity at March 31, 2017 was $160.0 million.

Secured Property Mortgages

At March 31, 2017, we had $1.1 billion of fixed rate conventional property mortgages with an average interest rate of 3.9% and an average maturity in 2019.

On February 7, 2017, we paid off a $15.8 million mortgage associated with the Grand Cypress apartment community. The loan was scheduled for maturity in August 2017.

In addition to that payoff, we paid $3.1 million associated with property mortgage principal amortizations during the three months ended March 31, 2017.

Guarantees

MAA fully and unconditionally guarantees the following debt incurred by the Operating Partnership:

• $160.0 million of the Fannie Mae Facility, of which $160.0 million has been borrowed as of March 31, 2017; and

• $310.0 million of the privately placed senior unsecured notes, all of which has been borrowed as of March 31, 2017.

Total Outstanding Debt

The following table summarizes our indebtedness at March 31, 2017 (dollars in thousands):

	Borrowed Balance			Effective Rate		Average Contract Maturity
Fixed Rate Secured Debt
Individual property mortgages	$	1,109,438		3.9	%	8/21/2019
Total fixed rate secured debt	$	1,109,438		3.9	%	8/21/2019
Variable Rate Secured Debt (1)
Fannie Mae conventional credit facility	160,000			1.2	%	6/1/2018
Total variable rate secured debt	$	160,000		1.2	%	6/1/2018
Fair market value adjustments and debt issuance costs	27,060
Total Secured Debt	$	1,296,498		3.6	%	6/24/2019
Unsecured Debt
Variable rate revolving credit facility	570,000			1.9	%	4/15/2020
Variable rate term loan	150,000			1.7	%	2/26/2021
Term loans fixed with swaps	700,000			3.1	%	11/10/2017
Fixed rate bonds	1,860,000			4.1	%	5/29/2023
Fair market value adjustments, debt issuance costs and discounts	(19,314		)
Total Unsecured Debt	$	3,260,686		3.4	%	7/23/2021
Total Outstanding Debt	$	4,557,184		3.4	%	12/19/2020

⁽¹⁾ Includes capped balances.