Mortgages and Notes Payable

12 Months Ended

Dec. 31, 2025

Debt Disclosure [Abstract]

Mortgages and Notes Payable

Mortgages and Notes Payable

Our mortgages and notes payable consisted of the following:

	December 31,
	2025		2024
Secured indebtedness (1):
5.69% mortgage loan due 2028	$	200,000	$	200,000
7.29% mortgage loan due 2028 (2)	44,530		44,965
4.27% (3.61% effective rate) mortgage loan due 2028 (3)	104,681		107,584
4.00% mortgage loan due 2029	83,730		84,712
3.61% (3.19% effective rate) mortgage loan due 2029 (4)	83,748		84,054
3.40% (3.50% effective rate) mortgage loan due 2033 (5)	68,721		69,575
4.60% (3.73% effective rate) mortgage loan due 2037 (6)	117,999		121,296
	703,409		712,186
Unsecured indebtedness:
3.875% (4.038% effective rate) notes due 2027 (7)	299,533		299,134
4.125% (4.271% effective rate) notes due 2028 (8)	349,104		348,690
4.200% (4.234% effective rate) notes due 2029 (9)	349,681		349,583
3.050% (3.079% effective rate) notes due 2030 (10)	399,596		399,498
2.600% (2.645% effective rate) notes due 2031 (11)	399,205		399,048
5.350% (5.431% effective rate) notes due 2033 (12)	348,308		—
7.650% (7.836% effective rate) notes due 2034 (13)	346,318		345,862
Variable rate term loan due 2026 (14)	—		200,000
Variable rate term loan due 2027 (15)	150,000		150,000
Variable rate term loan due 2029 (16)	200,000		—
Revolving credit facility due 2028 (16)	25,000		104,000
	2,866,745		2,595,815
Less-unamortized debt issuance costs	(15,976)		(14,442)
Total mortgages and notes payable, net	$	3,554,178	$	3,293,559

__________

(1)Our secured mortgage loans were collateralized by real estate assets with an undepreciated book value of $1,263.4 million as of December 31, 2025. We paid down $7.3 million of secured loan balances through principal amortization during 2025.

(2)The borrower under this loan is our Midtown West joint venture, a consolidated 80.0% owned joint venture. See Note 4.

(3)Net of unamortized fair market value premium of $1.5 million and $2.1 million as of December 31, 2025 and 2024, respectively.

(4)Net of unamortized fair market value premium of $1.1 million and $1.4 million as of December 31, 2025 and 2024, respectively.

(5)Net of unamortized fair market value discount of $0.4 million and $0.4 million as of December 31, 2025 and 2024, respectively.

(6)Net of unamortized fair market value premium of $7.3 million and $8.0 million as of December 31, 2025 and 2024, respectively.

(7)Net of unamortized original issuance discount of $0.5 million and $0.9 million as of December 31, 2025 and 2024, respectively.

(8)Net of unamortized original issuance discount of $0.9 million and $1.3 million as of December 31, 2025 and 2024, respectively.

(9)Net of unamortized original issuance discount of $0.3 million and $0.4 million as of December 31, 2025 and 2024, respectively.

(10)Net of unamortized original issuance discount of $0.4 million and $0.5 million as of December 31, 2025 and 2024, respectively.

(11)Net of unamortized original issuance discount of $0.8 million and $1.0 million as of December 31, 2025 and 2024, respectively.

(12)Net of unamortized original issuance discount of $1.7 million as of December 31, 2025.

(13)Net of unamortized original issuance discount of $3.7 million and $4.1 million as of December 31, 2025 and 2024, respectively.

(14)This loan was repaid as of December 31, 2025.

(15)The interest rate was 4.69% as of December 31, 2025.

(16)The interest rate was 4.59% as of December 31, 2025.

The following table sets forth scheduled future principal payments, including amortization, due on our mortgages and notes payable as of December 31, 2025:

Years Ending December 31,	Amount
2026	$	6,682
2027	458,736
2028	723,928
2029	717,027
2030	404,662
Thereafter	1,259,119
Less-unamortized debt issuance costs	(15,976)
	$	3,554,178

During 2024, our $750.0 million unsecured revolving credit facility was modified and is now scheduled to mature in January 2028 (but can be extended for two additional six-month periods at our option assuming no defaults have occurred). The interest rate on our revolving credit facility is SOFR plus a related spread adjustment of 10 basis points and a borrowing spread of 85 basis points, based on current credit ratings. The annual facility fee is 20 basis points. The interest rate and facility fee are based on the higher of the publicly announced ratings from Moody’s Investors Service or Standard & Poor’s Ratings Services. We incurred $7.7 million of debt issuance costs during the first quarter of 2024, which will be amortized along with certain existing unamortized debt issuance costs over the remaining term of our new revolving credit facility and recorded $0.2 million of loss on debt extinguishment. During the second quarter of 2024, we modified the revolving credit facility to provide that the interest rate may be adjusted upward or downward by 2.5 basis points depending upon whether or not we achieve certain pre-determined sustainability goals with respect to the ongoing reduction of greenhouse gas emissions. There was $25.0 million and $170.0 million outstanding under our revolving credit facility as of December 31, 2025 and January 30, 2026, respectively. As of both December 31, 2025 and January 30, 2026, we had $0.1 million of outstanding letters of credit, which reduce the availability on our revolving credit facility. As a result, the unused capacity of our revolving credit facility as of December 31, 2025 and January 30, 2026 was $724.9 million and $579.9 million, respectively.

During 2025, the Operating Partnership issued $350.0 million aggregate principal amount of 5.350% notes due January 2033, less original issuance discount of $1.7 million. These notes were priced to yield 5.431%. Underwriting fees and other expenses totaled $3.1 million and will be amortized over the term of the notes. The net proceeds from the issuance were used to repay amounts outstanding under our revolving credit facility and for general corporate purposes.

During 2025, we modified our $200.0 million unsecured bank term loan to extend the maturity date from May 2026 to January 2029. The term can be extended for two additional years at our option, assuming no defaults have occurred. The interest rate, based on current credit ratings, is SOFR plus 95 basis points. The interest rate is based on the higher of the publicly announced ratings from Moody’s Investors Service or Standard & Poor’s Ratings Services. The interest rate may be adjusted upward or downward by 2.5 basis points depending upon whether or not we achieve certain pre-determined sustainability goals with respect to the ongoing reduction of greenhouse gas emissions. We incurred $2.0 million of debt issuance costs, which are being amortized along with certain existing unamortized debt issuance costs over the remaining term of our modified term loan, and recorded $0.1 million of loss on debt extinguishment.

During 2023, the Operating Partnership issued $350.0 million aggregate principal amount of 7.650% notes due February 2034, less original issuance discount of $4.6 million. These notes were priced to yield 7.836%. During 2023, we obtained an aggregate of $200.0 million notional amount of forward-starting swaps that effectively locked the underlying 10-year treasury rate at 4.498%. Upon the subsequent issuance of the notes, we terminated the forward-starting swaps and paid cash upon settlement. The unrealized loss of $0.5 million will be classified to interest expense as interest payments are made on the debt. Underwriting fees and other expenses totaled $3.2 million and will be amortized over the term of the notes. The net proceeds from the issuance were used: (1) to prepay, without penalty, a $200.0 million unsecured bank term loan that was scheduled to mature in October 2024; (2) to repay amounts outstanding under our revolving credit facility; and (3) for general corporate purposes. We recorded $0.6 million of loss on debt extinguishment related to the term loan prepayment.

During 2023, we obtained a $200.0 million, five-year secured mortgage loan from a third party lender, with an effective fixed interest rate of 5.69%. This loan is scheduled to mature in April 2028. We incurred $1.3 million of debt issuance costs, which will be amortized over the term of the loan.

We are currently in compliance with financial covenants with respect to our consolidated debt.

Our revolving credit facility and bank term loans require us to comply with customary operating covenants and various financial requirements. Upon an event of default on the revolving credit facility, the lenders having at least 51.0% of the total commitments under the revolving credit facility can accelerate all borrowings then outstanding, and we could be prohibited from borrowing any further amounts under our revolving credit facility, which would adversely affect our ability to fund our operations. In addition, certain of our unsecured debt agreements contain cross-default provisions giving the unsecured lenders the right to declare a default if we are in default under more than $35.0 million with respect to other loans in some circumstances.

The Operating Partnership had $2,491.7 million carrying amount of various notes outstanding as of December 31, 2025, as detailed in the table above. The indenture that governs these outstanding notes requires us to comply with customary operating covenants and various financial ratios. The trustee or the holders of at least 25.0% in principal amount of any series of notes can accelerate the principal amount of such series upon written notice of a default that remains uncured after 60 days.

We have considered our short-term liquidity needs within one year from February 10, 2026 (the date of issuance of the annual financial statements) and the adequacy of our estimated cash flows from operating activities and other available financing sources to meet these needs. Importantly, we have no scheduled debt maturities during such one-year period. We have concluded it is probable we will meet these short-term liquidity requirements through a combination of the following:

•available cash and cash equivalents;

•cash flows from operating activities;

•issuance of debt securities by the Operating Partnership;

•secured debt;

•bank term loans;

•borrowings under our revolving credit facility;

•issuance of equity securities by the Company or the Operating Partnership; and

•the disposition of non-core assets.

Capitalized Interest

Total interest capitalized to wholly-owned and joint venture development and significant building and tenant improvement projects was $6.0 million, $8.5 million and $9.0 million for the years ended December 31, 2025, 2024 and 2023, respectively.