| Mortgages, Loans Payable And Other Obligations |
10. 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. As of September 30, 2012, 30 of the Company’s properties, with a total book value of approximately $879.8 million are encumbered by the Company’s mortgages and loans payable. Payments on mortgages, loans payable and other obligations are generally due in monthly installments of principal and interest, or interest only.
A summary of the Company’s mortgages, loans payable and other obligations as of September 30, 2012 and December 31, 2011 is as follows: (dollars in thousands)
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Property Name
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Lender
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Effective
Rate (a)
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September 30,
2012
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December 31,
2011
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Maturity
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2200 Renaissance Boulevard (b)
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Wachovia CMBS
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5.888
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%
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-
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$
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16,171
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-
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Soundview Plaza (c)
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Morgan Stanley Mortgage Capital
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6.015
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%
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-
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15,531
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-
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One Grande Commons (d)
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Capital One Bank
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LIBOR+2.00
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%
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$
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11,000
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11,000
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12/31/12
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9200 Edmonston Road
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Principal Commercial Funding L.L.C.
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5.534
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%
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4,349
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4,479
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05/01/13
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6305 Ivy Lane
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John Hancock Life Insurance Co.
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5.525
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%
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6,064
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6,245
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01/01/14
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395 West Passaic
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State Farm Life Insurance Co.
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6.004
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%
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10,396
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10,781
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05/01/14
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6301 Ivy Lane
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John Hancock Life Insurance Co.
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5.520
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%
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5,739
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5,899
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07/01/14
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35 Waterview Boulevard
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Wachovia CMBS
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6.348
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%
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18,826
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19,051
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08/11/14
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6 Becker, 85 Livingston,
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Wachovia CMBS
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10.220
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%
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62,867
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62,127
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08/11/14
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75 Livingston &
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20 Waterview
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4 Sylvan
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Wachovia CMBS
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10.190
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%
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14,473
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14,438
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08/11/14
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10 Independence
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Wachovia CMBS
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12.440
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%
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16,161
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15,908
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08/11/14
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4 Becker
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Wachovia CMBS
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9.550
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%
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38,148
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37,769
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05/11/16
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5 Becker
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Wachovia CMBS
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12.830
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%
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12,391
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12,056
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05/11/16
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210 Clay
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Wachovia CMBS
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13.420
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%
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12,162
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11,844
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05/11/16
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51 Imclone
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Wachovia CMBS
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8.390
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%
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3,880
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3,886
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05/11/16
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Various (e)
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Prudential Insurance
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6.332
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%
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149,715
|
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150,000
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01/15/17
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23 Main Street
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JPMorgan CMBS
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5.587
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%
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30,586
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31,002
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09/01/18
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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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|
|
229,281
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231,603
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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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100 Walnut Avenue
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Guardian Life Insurance Co.
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7.311
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%
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19,080
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19,241
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02/01/19
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One River Center (f)
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Guardian Life Insurance Co.
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7.311
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%
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43,710
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44,079
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02/01/19
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581 Main Street (g)
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Valley National Bank
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6.935
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%
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(h)
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16,112
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16,338
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07/01/34
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Total mortgages, loans payable and other obligations
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$
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704,940
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$
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739,448
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| (a) |
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) |
On March 28, 2012, the Company transferred the deed for 2200 Renaissance Boulevard to the lender in satisfaction of its obligations. See Note 7: Discontinued Operations. |
| (c) |
On September 4, 2012, the Company repaid this mortgage loan at par, using borrowings under the Company’s unsecured revolving credit facility. |
| (d) |
The mortgage loan has two one-year extension options, subject to certain conditions and the payment of a fee. |
| (e) |
Mortgage is collateralized by seven properties. The Operating Partnership has agreed, subject to certain conditions, to guarantee repayment of a portion of the loan. |
| (f) |
Mortgage is collateralized by the three properties comprising One River Center. |
| (g) |
The Operating Partnership has agreed, subject to certain conditions, to guarantee repayment of a portion of the loan. |
| (h) |
The coupon interest rate will be reset at the end of year 10 (2019) and year 20 (2029) at 225 basis points over the 10-year treasury yield 45 days prior to the reset dates with a minimum rate of 6.875 percent. |
CASH PAID FOR INTEREST AND INTEREST CAPITALIZED
Cash paid for interest for the nine months ended September 30, 2012 and 2011 was $98,191,000 and $99,089,000, respectively. Interest capitalized by the Company for the nine months ended September 30, 2012 and 2011 was $1,427,000 and $875,400, respectively.
SUMMARY OF INDEBTEDNESS
As of September 30, 2012, the Company’s total indebtedness of $1,970,254,000 (weighted average interest rate of 6.19 percent) was comprised of $78,000,000 of revolving credit facility borrowings and other variable rate mortgage debt (weighted average rate of 1.59 percent) and fixed rate debt and other obligations of $1,892,254,000 (weighted average rate of 6.38 percent).
As of December 31, 2011, the Company’s total indebtedness of $1,914,215,000 (weighted average interest rate of 6.46 percent) was comprised of $66,500,000 of revolving credit facility borrowings and other variable rate mortgage debt (weighted average rate of 1.77 percent) and fixed rate debt and other obligations of $1,847,715,000 (weighted average rate of 6.63 percent).
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