6. Borrowings
The following table presents borrowings as of September 30, 2015 and December 31, 2014 dollars in thousands:
September 30, 2015 December 31, 2014
Recourse vs. Non-
Recourse Final
Maturity Contractual
Interest Rate
1
Principal Amount
Carrying Value
Principal Amount
Carrying Value
Mortgage notes payable
Peregrine Portfolio
2
Various locations Non-recourse
Dec-19 LIBOR + 3.50
24,000 24,000
24,000 24,000
Watermark Aqua Portfolio Denver, CO
Non-recourse Feb-21
LIBOR + 2.92 21,500
21,500 21,500
21,500 Frisco, TX
Non-recourse Mar-21
LIBOR + 3.04 20,000
20,000 20,000
20,000 Milford, OH
3
Non-recourse Dec-18
LIBOR + 3.35 10,500
10,500 10,500
10,500 Arbors Portfolio
4
Various locations Non-recourse
Feb-25 3.99
93,750 93,750
— —
Watermark Fountains Portfolio
5
Various locations Non-recourse
Jun-22 3.92
410,000 410,000
— —
Total
579,750 579,750
76,000 76,000
_____________________________________________________ 1
Comprised of 41.5 million principal amount of floating rate borrowings at one-month LIBOR and 34.5 million principal amount of floating rate borrowings at three-month LIBOR, including 10.5 million subject to a LIBOR floor of 0.5.
2 In December 2014, the Company entered into a mortgage note arrangement with a capacity of up to 30.0 million, subject to certain
conditions, secured by four healthcare real estate properties. As of September 30, 2015, the Company borrowed 24.0 million of this commitment, of which 7.6 million was used to repay an existing mortgage note payable. The repayment resulted in a 0.2 million loss on
extinguishment of the mortgage note payable due to the write-off of deferred financing costs. As of September 30, 2015, the operator of the Peregrine portfolio did not maintain certain minimum financial coverage ratios and the Company was required to fund 1.0 million into a
lender controlled reserve, in addition to the 2.0 million previously funded. The reserve will be released to the Company once the portfolio can maintain a minimum debt yield of 10.5 for two consecutive quarters and a new operator is engaged by the Company.
3 The initial maturity of 10.5 million principal amount of a floating rate borrowing is December 2016, with two one-year extensions available
at the Company’s option, which may be subject to the satisfaction of certain customary conditions set forth in the governing documents. 4
In January 2015, the Company entered into four mortgage notes payable with an aggregate amount of 93.8 million, secured by four healthcare real estate properties.
5 Comprised of 410.0 million principal amount of fixed rate borrowings, secured by 15 healthcare real estate properties.
The following table presents scheduled principal on borrowings based on fully extended maturity as of September 30, 2015 dollars in thousands:
October 1 to December 31, 2015 —
Years Ending December 31: 2016
232 2017
3,516 2018
15,465 2019
33,032 Thereafter
527,505 Total
579,750
The Company is currently in compliance with all of its financial covenants. Term Loan Facility
In November 2013, the Company, through the Operating Partnership, entered into a credit facility agreement with a national financial institution the “Term Loan Facility”, to finance real estate investments and first mortgage loans secured by
healthcare real estate. On September 28, 2015, the Company voluntarily terminated its Term Loan Facility, as the Company has been able to obtain attractive asset-level borrowings to finance its investments and no amounts were drawn under the Term
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Continued Unaudited
24
Loan Facility. As of the date of termination, the Company wrote-off 0.9 million of deferred financing costs and there were no borrowings outstanding under the Term Loan Facility.
7. Related Party Arrangements
Kategori