Derivative Instruments and Hedging Activity (Tables)

6 Months Ended

Jun. 30, 2023

Derivative Instruments and Hedging Activity

Schedule of notional amounts of outstanding derivative positions

The Company had the following outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk (presented in thousands, except number of instruments):

	Number of Instruments 1		Notional Amount1
	June 30,	December 31,	June 30,		December 31,
Interest Rate Derivatives	2023	2022	2023		2022
Interest rate swap	3	—	$	350,000	$	—

(1) Number of Instruments and total Notional Amount disclosed includes all interest rate swap agreements outstanding at the balance sheet date, including forward-starting swaps prior to their effective date.

Schedule of cash flow hedging instruments, as well as their classification in the Condensed Consolidated Balance Sheets

The table below presents the estimated fair value of the Company’s derivative financial instruments, as well as their classification in the Condensed Consolidated Balance Sheets (presented in thousands).

	Asset Derivatives
	June 30, 2023		December 31, 2022
Derivatives designated as cash flow hedges:
Other Assets, net	$	3,341	$	—

	Liability Derivatives
	June 30, 2023		December 31, 2022
Derivatives designated as cash flow hedges:
Accounts Payable, Accrued Expenses, and Other Liabilities	$	—	$	—

Schedule of cash flow hedges included in accumulated other comprehensive income (loss)

The table below presents the effect of the Company’s derivative financial instruments in the Condensed Consolidated Statements of Operations and Comprehensive Income for the three and six months ended June 30, 2023 and 2022 (presented in thousands).

	Amount of Income/(Loss)				Location of Accumulated OCI	Amount Reclassified from
	Recognized in				Reclassified from Accumulated	Accumulated OCI as a
	OCI on Derivative				OCI into Income	(Reduction)/Increase in Interest Expense
Three Months Ended June 30,	2023		2022			2023		2022
Interest rate swaps	$	3,341	$	16,481	Interest expense	$	(630)	$	82

	Amount of Income/(Loss)				Location of Accumulated OCI	Amount Reclassified from
	Recognized in				Reclassified from Accumulated	Accumulated OCI as a
	OCI on Derivative				OCI into Income	(Reduction)/Increase in Interest Expense
Six Months Ended June 30,	2023		2022			2023		2022
Interest rate swaps	$	3,341	$	37,062	Interest expense	$	(1,257)	$	164

Schedule of derivative instruments in statement of financial position, fair value

The table below presents a gross presentation of the effects of offsetting and a net presentation of the Company’s derivatives as of June 30, 2023 and December 31, 2022. The gross amounts of derivative assets or liabilities can be reconciled to the Tabular Disclosure of Fair Values of Derivative Instruments above, which also provides the location that derivative assets and liabilities are presented on the Condensed Consolidated Balance Sheets (presented in thousands):

Offsetting of Derivative Assets as of June 30, 2023:

Gross Amounts

Net Amounts of

Offset in the

Assets presented

Gross Amounts Not Offset in the

Gross Amounts

Statement of

in the Statement

Statement of Financial Position

of Recognized

Financial

of Financial

Financial

Cash Collateral

Assets

Position

Position

Instruments

Received

Net Amount

Derivatives

$

3,341

$

—

$

3,341

$

—

$

—

$

3,341

Offsetting of Derivative Liabilities as of June 30, 2023:

Net Amounts of

Gross Amounts

Liabilities

Offset in the

presented in the

Gross Amounts Not Offset in the

Gross Amounts

Statement of

Statement of

Statement of Financial Position

of Recognized

Financial

Financial

Financial

Cash Collateral

Liabilities

Position

Position

Instruments

Posted

Net Amount

Derivatives

$

—

$

—

$

—

$

—

$

—

$

—