Senior Secured Notes, Net

12 Months Ended

Dec. 31, 2023

SENIOR SECURED NOTES, NET

As of December 31, 2023, the following senior secured notes, or Senior Secured Notes, were outstanding ($ in thousands):


Senior Secured Notes	Face Value		Interest Rate		All-in Cost(1)		Maturity
Senior Secured Notes	$	366,090	3.75	%	4.02	%	January 15, 2027

(1)Includes transaction expenses that are amortized through interest expense over the life of the Senior Secured Notes.

The transaction expenses on the Senior Secured Notes were $6.3 million, which are amortized into interest expense over the life of the Senior Secured Notes. During the year ended December 31, 2023, we recorded $15.7 million of interest expense related to our Senior Secured Notes, including $1.2 million of amortization of deferred fees and expenses.

During the year ended December 31, 2023, we repurchased an aggregate principal amount of $33.9 million of the Senior Secured Notes at a weighted-average price of 85%. This resulted in a gain on extinguishment of debt of $4.6 million during the year ended December 31, 2023. There was no repurchase activity during the year ended December 31, 2022.

The following table details the net book value of our Senior Secured Notes on our consolidated balance sheets ($ in thousands):


	December 31, 2023		December 31, 2022
Face value	$	366,090	$	400,000
Deferred financing costs	(3,327)		(4,834)
Net book value	$	362,763	$	395,166

The Senior Secured Notes contain the financial covenant that our indebtedness shall not exceed 83.33% of our total assets. As of December 31, 2023 and 2022, we were in compliance with this covenant. Under certain circumstances, we may, at our option, release all of the collateral securing our Senior Secured Notes, in which case we would also be required to maintain a total unencumbered assets to total unsecured indebtedness ratio of 1.20 or greater. This covenant is not currently in effect as the collateral securing our Senior Secured Notes has not been released.