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Loans Held for Investment
 6 Months Ended
Jun. 30, 2015
Receivables [Abstract]  
Loans Held for Investment
Loans Held for Investment
As of June 30, 2015, the Company owned 12 loans held for investment with a weighted-average interest rate of 6.1% and weighted-average years to maturity of 9.5 years. The following table presents the composition of the loans held for investment as of June 30, 2015 (dollar amounts in thousands):
 
 
Loans held for investment
 
Outstanding Balance
 
Carrying Value
 
Weighted-Average Interest Rate (1)
 
Weighted-Average Years to Maturity (2)
Mortgage notes receivable
 
11

 
$
27,100

 
$
25,298

 
5.1
%
 
13.9
Unsecured note (3)
 
1

 
15,300

 
15,300

 
8.0
%
 
1.8
Total
 
12

 
$
42,400

 
$
40,598

 
6.1
%
 
9.5
____________________________________
(1)
The interest rates on the loans secured by real estate range from a zero coupon rate to 7.24%, as of June 30, 2015. The unsecured note requires principal payments of $7.7 million on March 31, 2016 and $3.8 million on September 30, 2016 and the remaining balance is due at maturity, on March 31, 2017. The note may be pre-paid at par any time prior to maturity.
(2)
The mortgage notes receivable have maturity dates ranging from September 1, 2015 to January 1, 2033.
(3)
The Company’s unsecured note is with an affiliate of the Former Manager, as defined within Note 15 – Equity.
During the three and six months ended June 30, 2015, the borrower of a $0.2 million mortgage note receivable scheduled to mature on August 31, 2015 prepaid the mortgage note at par.
The Company’s mortgage notes receivable are comprised primarily of fully-amortizing or nearly fully-amortizing first mortgage loans. The Company has one mortgage note receivable with zero coupon rate, where the Company does not receive monthly payments of principal and interest but rather the principal and interest are capitalized into the outstanding balance due at maturity. The mortgage notes receivable are primarily on commercial real estate leased to a single tenant. Therefore, the Company’s monitoring of the credit quality of its mortgage notes receivable is focused primarily on an analysis of the tenant, including review of tenant quality and ratings, trends in the tenant’s industry and general economic conditions and an analysis of measures of collateral coverage, such as an estimate of the loan-to-value ratio (principal amount outstanding divided by estimated value of the property) and its remaining term until maturity. As of June 30, 2015 and December 31, 2014, the Company had no reserve for loan loss.
The following table summarizes the scheduled aggregate principal payments due to the Company on the loans held for investment subsequent to June 30, 2015 (in thousands):
 
 
Outstanding Balance
Due within one year
 
$
9,623

Due after one year through five years
 
14,001

Due after five years through 10 years
 
6,821

Due after 10 years(1)
 
15,923

Total
 
$
46,368

____________________________________

(1) Includes additional $4.0 million of principal scheduled to be capitalized on zero coupon note subsequent to June 30, 2015.