Annual report pursuant to Section 13 and 15(d)

Mortgages Payable and Debt Maturities

v3.8.0.1
Mortgages Payable and Debt Maturities
12 Months Ended
Dec. 31, 2017
Debt Disclosure [Abstract]  
Mortgages Payable and Debt Maturities

6. MORTGAGES PAYABLE AND DEBT MATURITIES

Mortgages payable at December 31, 2017 and 2016 consist of the following:

 

(dollars in thousands)

 

December 31,

2017

 

 

December 31,

2016

 

4.98% mortgage note due January 1, 2021 secured by one self-

   storage facility with an aggregate net book value of $9.6 million,

   principal and interest paid monthly (effective interest rate 5.22%)

 

$

2,916

 

 

$

2,966

 

4.065% mortgage note due April 1, 2023, secured by one self-

   storage facility with an aggregate net book value of $7.6 million,

   principal and interest paid monthly (effective interest rate 4.30%)

 

 

4,119

 

 

 

4,207

 

5.26% mortgage note due November 1, 2023, secured by one self-

   storage facility with an aggregate net book value of $8.0 million,

   principal and interest paid monthly (effective interest rate 5.56%)

 

 

3,939

 

 

 

4,002

 

5.99% mortgage note due May 1, 2026, secured by one self-

   storage facility with an aggregate net book value of $6.6 million,

   principal and interest paid monthly (effective interest rate 6.23%)

 

 

1,700

 

 

 

1,852

 

Total mortgages payable

 

$

12,674

 

 

$

13,027

 

 

The table below summarizes the Company’s debt obligations and interest rate derivatives at December 31, 2017. The estimated fair value of financial instruments is subjective in nature and is dependent on a number of important assumptions, including discount rates and relevant comparable market information associated with each financial instrument. The fair value of the fixed rate term notes and mortgage notes were estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. These assumptions are considered Level 2 inputs within the fair value hierarchy as described in Note 8. The carrying values of our variable rate debt instruments approximate their fair values as these debt instruments bear interest at current market rates that approximate market participant rates. This is considered a Level 2 input within the fair value hierarchy. The use of different market assumptions and estimation methodologies may have a material effect on the reported estimated fair value amounts. Accordingly, the estimates presented below are not necessarily indicative of the amounts the Company would realize in a current market exchange.

 

 

 

 

 

 

 

Expected Maturity Date Including Discount

 

 

 

 

 

(dollars in thousands)

 

2018

 

 

2019

 

 

2020

 

 

2021

 

 

2022

 

 

Thereafter

 

 

Total

 

 

Fair Value

 

Line of credit—variable rate LIBOR +

   1.10% (2.63% at December 31, 2017)

 

 

 

 

$

105,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

105,000

 

 

$

105,000

 

Notes Payable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Term note—variable rate LIBOR+1.15%

   (2.53% at December 31, 2017)

 

 

 

 

 

 

 

$

100,000

 

 

 

 

 

 

 

 

 

 

 

$

100,000

 

 

$

100,000

 

Term note—fixed rate 5.54%

 

 

 

 

 

 

 

 

 

 

$

100,000

 

 

 

 

 

 

 

 

$

100,000

 

 

$

109,192

 

Term note—fixed rate 4.533%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

175,000

 

 

$

175,000

 

 

$

181,510

 

Term note—fixed rate 3.50%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

600,000

 

 

$

600,000

 

 

$

585,092

 

Term note—fixed rate 3.875%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

450,000

 

 

$

450,000

 

 

$

449,076

 

Term note—fixed rate 3.67%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

200,000

 

 

$

200,000

 

 

$

192,447

 

Mortgage note—fixed rate 4.98%

 

$

53

 

 

$

56

 

 

$

59

 

 

$

2,748

 

 

 

 

 

 

 

 

$

2,916

 

 

$

3,007

 

Mortgage note—fixed rate 4.065%

 

$

92

 

 

$

96

 

 

$

99

 

 

$

104

 

 

$

108

 

 

$

3,620

 

 

$

4,119

 

 

$

4,112

 

Mortgage note—fixed rate 5.26%

 

$

67

 

 

$

71

 

 

$

74

 

 

$

78

 

 

$

83

 

 

$

3,566

 

 

$

3,939

 

 

$

4,169

 

Mortgage note—fixed rate 5.99%

 

$

160

 

 

$

170

 

 

$

181

 

 

$

192

 

 

$

203

 

 

$

794

 

 

$

1,700

 

 

$

1,822

 

Total

 

$

372

 

 

$

105,393

 

 

$

100,413

 

 

$

103,122

 

 

$

394

 

 

$

1,432,980

 

 

$

1,742,674