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Derivative Financial Instruments
 6 Months Ended
Jun. 30, 2011
Derivative Financial Instruments [Abstract]  
Derivative Financial Instruments
 
8.  Derivative Financial Instruments
 
ASC 815, Derivatives and Hedging, or ASC 815, establishes accounting and reporting standards for derivative instruments, including certain derivative instruments embedded in other contracts, and for hedging activities. We utilize derivatives such as fixed interest rate swaps and interest rate caps to add stability to interest expense and to manage our exposure to interest rate movements. Consistent with ASC 815, we record derivative financial instruments on our accompanying condensed consolidated balance sheets as either an asset or a liability measured at fair value. ASC 815 permits special hedge accounting if certain requirements are met. Hedge accounting allows for gains and losses on derivatives designated as hedges to be offset by the change in value of the hedged item(s) or to be deferred in other comprehensive income.
 
As of June 30, 2011 and December 31, 2010, no derivatives were designated as fair value hedges or cash flow hedges. Derivatives not designated as hedges are not speculative and are used to manage our exposure to interest rate movements, but do not meet the strict hedge accounting requirements of ASC 815. Changes in the fair value of derivative financial instruments are recorded in gain on derivative financial instruments in our accompanying condensed consolidated statements of operations.
 
The following table lists the derivative financial instruments held by us as of June 30, 2011:
 
                                     
Notional Amount     Index   Rate     Fair Value     Instrument   Maturity  
 
$       7,900,000     LIBOR     5.16       (75,000 )   Swap     09/26/11  
  16,747,000     LIBOR     5.87       (1,136,000 )   Swap     09/28/13  
  75,000,000     LIBOR     3.42       (474,000 )   Swap     12/31/13  
  9,406,000     LIBOR     2.00       264,000     Cap     12/31/14  
 
The following table lists the derivative financial instruments held by us as of December 31, 2010:
 
                                     
Notional Amount     Index   Rate     Fair Value     Instrument   Maturity  
 
$      19,507,000     LIBOR     5.23       (109,000 )   Swap     01/31/11  
  7,900,000     LIBOR     5.16       (185,000 )   Swap     09/26/11  
  16,912,000     LIBOR     5.87       (1,233,000 )   Swap     09/28/13  
  75,000,000     LIBOR     3.42       297,000     Swap     12/31/13  
  9,480,000     LIBOR     2.00       383,000     Cap     12/31/14  
 
As of June 30, 2011 and December 31, 2010, the fair value of our derivative financial instruments was as follows:
 
                                                 
    Asset Derivatives     Liability Derivatives  
    June 30, 2011     December 31, 2010     June 30, 2011     December 31, 2010  
Derivatives not designated as
 		  Balance Sheet
 		        Balance Sheet
 		        Balance Sheet
 		        Balance Sheet
 		     
hedging instruments:   Location   Fair Value     Location   Fair Value     Location   Fair Value     Location   Fair Value  
 
                            Derivative           Derivative        
                            Financial           Financial        
Interest Rate Swaps
  Other Assets   $ —     Other Assets   $ 297,000     Instruments   $ 1,685,000     Instruments   $ 1,527,000  
Interest Rate Cap
  Other Assets   $ 264,000     Other Assets   $ 383,000                          
 
For the three and six months ended June 30, 2011 and 2010, our derivative financial instruments associated with our operating properties had the following effect on our condensed consolidated statements of operations:
 
                                     
        Amount of Gain (Loss)
 		  Amount of Gain (Loss)
        Recognized
 		  Recognized
Derivatives not designated as
 		  Location of Gain (Loss)
 		  Three Months Ended   Six Months Ended
hedging instruments under:   Recognized   June 30, 2011   June 30, 2010   June 30, 2011   June 30, 2010
 
Interest Rate Swaps
  Gain (loss) on derivative instruments   $   (934,000 )   $   2,343,000     $   (455,000 )   $   4,099,000  
Interest Rate Cap
  Gain (loss) on derivative instruments   $ (144,000 )   $ (248,000 )   $ (119,000 )   $ (443,000 )
 
We have agreements with each of our interest rate swap derivative counterparties that contain a provision whereby if we default on certain of our unsecured indebtedness, then we could also be declared in default on our interest rate swap derivative obligations resulting in an acceleration of payment. In addition, we are exposed to credit risk in the event of non-performance by our derivative counterparties. We believe we mitigate our credit risk by entering into agreements with credit-worthy counterparties. We record counterparty credit risk valuation adjustments on interest rate swap derivative assets in order to properly reflect the credit quality of the counterparty. In addition, our fair value of interest rate swap derivative liabilities is adjusted to reflect the impact of our credit quality. As of June 30, 2011 and December 31, 2010, there have been no termination events or events of default related to the interest rate swaps.