Derivative and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Interest Rate Derivatives

As of March 31, 2014 and December 31, 2013, the Company had the following outstanding interest rate derivatives that were designated as a cash flow hedges of interest rate risk:

	March 31, 2014			December 31, 2013
Derivatives	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Interest rate swaps	11	$	129,738	7	$	35,465

Schedule of Derivative Instruments

As of March 31, 2014 and December 31, 2013, the Company had the following outstanding cross currency swaps that were used to hedge its net investments in foreign operations:

	March 31, 2014			December 31, 2013
Derivatives	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Foreign currency swaps (1)	11	$	141,966	7	$	35,597

____________________________________

(1) Payments and obligations pursuant to these foreign currency swap agreements are guaranteed by AR Capital, LLC, the entity that wholly owns the Sponsor.

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the Balance Sheet as of March 31, 2014 and December 31, 2013:

(In thousands)	Balance Sheet Location	March 31, 2014			December 31, 2013
Derivatives designated as hedging instruments:
Interest rate swaps	Derivative assets, at fair value	$	555		$	734
Interest rate swap	Derivative liabilities, at fair value	$	(316	)	$	—
Foreign currency swaps	Derivative liabilities, at fair value	$	(4,934	)	$	(2,565	)
GBP-USD Forwards	Derivative liabilities, at fair value	$	(79	)	$	—

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance

The table below details the location in the financial statements of the gain or loss recognized on interest rate derivatives designated as cash flow hedges for the three months endedMarch 31, 2014. The Company did not have any interest rate derivatives designated as cash flow hedges for the three months endedMarch 31, 2013.

	Three Months Ended March 31,
(In thousands)	2014			2013
Amount of gain (loss) recognized in accumulated other comprehensive income from derivatives (effective portion)	$	(3,212	)	$	106
Amount of loss reclassified from accumulated other comprehensive income into income as interest expense (effective portion)	$	(206	)	$	(2	)
Amount of gain (loss) recognized in income on derivative instruments (ineffective portion and amount excluded from effectiveness testing)	$	—		$	—

Offsetting Assets

The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company's derivatives as of March 31, 2014 and December 31, 2013. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the accompanying consolidated balance sheets.

											Gross Amounts Not Offset on the Balance Sheet
Derivatives  (In thousands)	Gross Amounts of Recognized Assets		Gross Amounts of Recognized (Liabilities)			Gross Amounts Offset on the Balance Sheet		Net Amounts of Assets (Liabilities) presented on the Balance Sheet			Financial Instruments		Cash Collateral Received (Posted)		Net Amount
March 31, 2014	$	555	$	(5,329	)	$	—	$	(4,774	)	$	—	$	—	$	(4,774	)
December 31, 2013	$	734	$	(2,565	)	$	—	$	(1,831	)	$	—	$	—	$	(1,831	)