Mortgages, Loans Payable And Other Obligations
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3 Months Ended |
Mar. 31, 2017 |
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| Mortgages, Loans Payable And Other Obligations |
9. MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS
The Company has mortgages, loans payable and other obligations which primarily consist of various loans collateralized by certain of the Company’s rental properties, land and development projects. As of March 31, 2017, 14 of the Company’s properties, with a total carrying value of approximately $1.4 billion, and six of the Company’s land and development projects, with a total carrying value of approximately $326 million, are encumbered by the Company’s mortgages and loans payable. Payments on mortgages, loans payable and other obligations are generally due in monthly installments of principal and interest, or interest only. The Company was in compliance with its debt covenants under its mortgages and loans payable as of March 31, 2017.
A summary of the Company’s mortgages, loans payable and other obligations as of March 31, 2017 and December 31, 2016 is as follows: (dollars in thousands)
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Effective
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March 31,
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December 31,
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Property/Project Name
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Lender
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Rate (a)
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2017
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2016
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Maturity
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150 Main St.
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Webster Bank
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LIBOR+2.35
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%
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$
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28,540
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$
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26,642
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08/01/17
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Curtis Center (b)
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CCRE & PREFG
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LIBOR+5.912
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%
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75,000
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75,000
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10/09/17
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23 Main Street
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Berkadia CMBS
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5.587
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%
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27,650
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27,838
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09/01/18
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Port Imperial 4/5 Hotel (c)
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Fifth Third Bank & Santander
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LIBOR+4.50
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%
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24,530
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14,919
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10/06/18
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Harborside Plaza 5
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The Northwestern Mutual Life
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6.842
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%
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212,572
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213,640
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11/01/18
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Insurance Co. & New York Life
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Insurance Co.
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Chase II (d)
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Fifth Third Bank
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LIBOR+2.25
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%
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40,317
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34,708
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12/16/18
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One River Center (e)
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Guardian Life Insurance Co.
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7.311
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%
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41,024
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41,197
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02/01/19
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Park Square
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Wells Fargo Bank N.A.
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LIBOR+1.872
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%
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27,500
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27,500
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04/10/19
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250 Johnson (f)
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M&T Bank
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LIBOR+2.35
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%
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6,147
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2,440
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05/20/19
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Portside 5/6 (g)
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Citizens Bank
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LIBOR+2.50
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%
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8,084
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-
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09/19/19
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Port Imperial South 11 (h)
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JPMorgan Chase
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LIBOR+2.35
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%
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22,246
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14,073
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11/24/19
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Worcester (i)
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Citizens Bank
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LIBOR+2.50
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%
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5,036
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12/10/19
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Port Imperial South 4/5 Retail
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American General Life & A/G PC
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4.559
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%
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4,000
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4,000
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12/01/21
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The Chase at Overlook Ridge
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New York Community Bank
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3.740
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%
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72,500
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72,500
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02/01/23
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Portside 7
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CBRE Capital Markets/
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3.569
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%
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58,998
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58,998
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08/01/23
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FreddieMac
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Alterra I & II
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Capital One/FreddieMac
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3.854
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%
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100,000
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-
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02/01/24
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101 Hudson
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Wells Fargo CMBS
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3.197
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%
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250,000
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250,000
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10/11/26
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Short Hills office buildings (j)
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Wells Fargo CMBS
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4.149
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%
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124,500
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-
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04/01/27
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Port Imperial South 4/5 Garage
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American General Life & A/G PC
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4.853
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%
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32,600
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32,600
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12/01/29
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Principal balance outstanding
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1,161,244
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896,055
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Unamortized deferred financing costs
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(8,801)
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(7,470)
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Total mortgages, loans payable and other obligations, net
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$
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1,152,443
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$
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888,585
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(a)
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Reflects effective rate of debt, including deferred financing costs, comprised of the cost of terminated treasury lock agreements (if any), debt initiation costs, mark-to-market adjustment of acquired debt and other transaction costs, as applicable.
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(b)
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The Company owns a 50 percent tenants-in-common interest in the Curtis Center property. The Company’s $75 million loan consists of its 50 percent interest in a $102 million senior loan with a current rate of 4.207 percent at March 31, 2017 and its 50 percent interest in a $48 million mezzanine loan with a current rate of 10.413 percent at March 31, 2017. The senior loan rate is based on a floating rate of one-month LIBOR plus 329 basis points and the mezzanine loan rate is based on a floating rate of one-month LIBOR plus 950 basis points. The Company has entered into LIBOR caps for the periods of the loans. In October 2016, the first of three one-year extension options was exercised by the venture.
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(c)
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This construction loan has a maximum borrowing capacity of $94 million.
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(d)
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This construction loan has a maximum borrowing capacity of $48 million.
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(e)
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Mortgage is collateralized by the three properties comprising One River Center.
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(f)
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This construction loan has a maximum borrowing capacity of $42 million.
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(g)
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This construction loan has a maximum borrowing capacity of $73 million.
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(h)
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This construction loan has a maximum borrowing capacity of $78 million.
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(i)
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This construction loan has a maximum borrowing capacity of $58 million.
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(j)
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This mortgage loan was obtained by the Company in March 2017 to partially fund the acquisition of the Short Hills/Madison portfolio.
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CASH PAID FOR INTEREST AND INTEREST CAPITALIZED
Cash paid for interest for the three months ended March 31, 2017 and 2016 was $15,180,000 and $28,090,000, respectively. Interest capitalized by the Company for the three months ended March 31, 2017 and 2016 was $4,997,000 and $4,561,000, respectively (which amounts included $1,009,000 and $1,458,000 for the three months ended March 31, 2017 and 2016, respectively, of interest capitalized on the Company’s investments in unconsolidated joint ventures which were substantially in development).
SUMMARY OF INDEBTEDNESS
As of March 31, 2017, the Company’s total indebtedness of $2,751,244,000 (weighted average interest rate of 3.81 percent) was comprised of $652,400,000 of revolving credit facility borrowings and other variable rate mortgage debt (weighted average rate of 3.16 percent) and fixed rate debt and other obligations of $2,098,844,000 (weighted average rate of 4.01 percent).
As of December 31, 2016, the Company’s total indebtedness of $2,357,055,000 (weighted average interest rate of 3.79 percent) was comprised of $481,282,000 of unsecured revolving credit facility borrowings and other variable rate mortgage debt (weighted average rate of 2.93 percent) and fixed rate debt and other obligations of $1,875,773,000 (weighted average rate of 4.01 percent).
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| Mack-Cali Realty LP [Member] |
|
| Mortgages, Loans Payable And Other Obligations |
9. MORTGAGES, LOANS PAYABLE AND OTHER OBLIGATIONS
The Company has mortgages, loans payable and other obligations which primarily consist of various loans collateralized by certain of the Company’s rental properties, land and development projects. As of March 31, 2017, 14 of the Company’s properties, with a total carrying value of approximately $1.4 billion, and six of the Company’s land and development projects, with a total carrying value of approximately $326 million, are encumbered by the Company’s mortgages and loans payable. Payments on mortgages, loans payable and other obligations are generally due in monthly installments of principal and interest, or interest only. The Company was in compliance with its debt covenants under its mortgages and loans payable as of March 31, 2017.
A summary of the Company’s mortgages, loans payable and other obligations as of March 31, 2017 and December 31, 2016 is as follows: (dollars in thousands)
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Effective
|
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|
|
March 31,
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December 31,
|
|
|
|
|
Property/Project Name
|
Lender
|
|
Rate (a)
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|
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2017
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2016
|
|
Maturity
|
|
|
150 Main St.
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Webster Bank
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LIBOR+2.35
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%
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$
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28,540
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$
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26,642
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|
08/01/17
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|
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Curtis Center (b)
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CCRE & PREFG
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LIBOR+5.912
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%
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75,000
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75,000
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10/09/17
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23 Main Street
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Berkadia CMBS
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5.587
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%
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27,650
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27,838
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09/01/18
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Port Imperial 4/5 Hotel (c)
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Fifth Third Bank & Santander
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LIBOR+4.50
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%
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24,530
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14,919
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10/06/18
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Harborside Plaza 5
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The Northwestern Mutual Life
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6.842
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%
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212,572
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213,640
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11/01/18
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Insurance Co. & New York Life
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Insurance Co.
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Chase II (d)
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Fifth Third Bank
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LIBOR+2.25
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%
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40,317
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34,708
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12/16/18
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One River Center (e)
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Guardian Life Insurance Co.
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7.311
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%
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41,024
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41,197
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02/01/19
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Park Square
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Wells Fargo Bank N.A.
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LIBOR+1.872
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%
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27,500
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27,500
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04/10/19
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250 Johnson (f)
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M&T Bank
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LIBOR+2.35
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%
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6,147
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2,440
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05/20/19
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Portside 5/6 (g)
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Citizens Bank
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LIBOR+2.50
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%
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8,084
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-
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09/19/19
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Port Imperial South 11 (h)
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JPMorgan Chase
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LIBOR+2.35
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%
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22,246
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14,073
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11/24/19
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Worcester (i)
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Citizens Bank
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LIBOR+2.50
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%
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5,036
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12/10/19
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Port Imperial South 4/5 Retail
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American General Life & A/G PC
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4.559
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%
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4,000
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4,000
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12/01/21
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The Chase at Overlook Ridge
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New York Community Bank
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3.740
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%
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72,500
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72,500
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02/01/23
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Portside 7
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CBRE Capital Markets/
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3.569
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%
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58,998
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58,998
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08/01/23
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FreddieMac
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Alterra I & II
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Capital One/FreddieMac
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3.854
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%
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100,000
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-
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02/01/24
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101 Hudson
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Wells Fargo CMBS
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3.197
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%
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250,000
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250,000
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10/11/26
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Short Hills office buildings (j)
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Wells Fargo CMBS
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4.149
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%
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124,500
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-
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04/01/27
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Port Imperial South 4/5 Garage
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American General Life & A/G PC
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4.853
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%
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32,600
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32,600
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12/01/29
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Principal balance outstanding
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1,161,244
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|
|
896,055
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|
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|
Unamortized deferred financing costs
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|
|
|
|
|
|
(8,801)
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|
|
(7,470)
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Total mortgages, loans payable and other obligations, net
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$
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1,152,443
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|
$
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888,585
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(a)
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Reflects effective rate of debt, including deferred financing costs, comprised of the cost of terminated treasury lock agreements (if any), debt initiation costs, mark-to-market adjustment of acquired debt and other transaction costs, as applicable.
|
|
(b)
|
The Company owns a 50 percent tenants-in-common interest in the Curtis Center property. The Company’s $75 million loan consists of its 50 percent interest in a $102 million senior loan with a current rate of 4.207 percent at March 31, 2017 and its 50 percent interest in a $48 million mezzanine loan with a current rate of 10.413 percent at March 31, 2017. The senior loan rate is based on a floating rate of one-month LIBOR plus 329 basis points and the mezzanine loan rate is based on a floating rate of one-month LIBOR plus 950 basis points. The Company has entered into LIBOR caps for the periods of the loans. In October 2016, the first of three one-year extension options was exercised by the venture.
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(c)
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This construction loan has a maximum borrowing capacity of $94 million.
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|
(d)
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This construction loan has a maximum borrowing capacity of $48 million.
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(e)
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Mortgage is collateralized by the three properties comprising One River Center.
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(f)
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This construction loan has a maximum borrowing capacity of $42 million.
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(g)
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This construction loan has a maximum borrowing capacity of $73 million.
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(h)
|
This construction loan has a maximum borrowing capacity of $78 million.
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(i)
|
This construction loan has a maximum borrowing capacity of $58 million.
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|
(j)
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This mortgage loan was obtained by the Company in March 2017 to partially fund the acquisition of the Short Hills/Madison portfolio.
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|
|
|
CASH PAID FOR INTEREST AND INTEREST CAPITALIZED
Cash paid for interest for the three months ended March 31, 2017 and 2016 was $15,180,000 and $28,090,000, respectively. Interest capitalized by the Company for the three months ended March 31, 2017 and 2016 was $4,997,000 and $4,561,000, respectively (which amounts included $1,009,000 and $1,458,000 for the three months ended March 31, 2017 and 2016, respectively, of interest capitalized on the Company’s investments in unconsolidated joint ventures which were substantially in development).
SUMMARY OF INDEBTEDNESS
As of March 31, 2017, the Company’s total indebtedness of $2,751,244,000 (weighted average interest rate of 3.81 percent) was comprised of $652,400,000 of revolving credit facility borrowings and other variable rate mortgage debt (weighted average rate of 3.16 percent) and fixed rate debt and other obligations of $2,098,844,000 (weighted average rate of 4.01 percent).
As of December 31, 2016, the Company’s total indebtedness of $2,357,055,000 (weighted average interest rate of 3.79 percent) was comprised of $481,282,000 of unsecured revolving credit facility borrowings and other variable rate mortgage debt (weighted average rate of 2.93 percent) and fixed rate debt and other obligations of $1,875,773,000 (weighted average rate of 4.01 percent).
|