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Derivative Financial Instruments
 9 Months Ended
Sep. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
 
The Company enters into interest rate derivative contracts to manage exposure to interest rate risks. The Company does not use derivative financial instruments for trading or speculative purposes. Derivative financial instruments are recognized at fair value and presented within other assets and other liabilities in the condensed consolidated balance sheets. Gains and losses resulting from changes in the fair value of derivatives that are neither designated nor qualify as hedging instruments are recognized within the change in fair value of interest rate derivatives in the condensed consolidated statements of comprehensive income. For derivatives that qualify as cash flow hedges, the gain or loss is reported as a component of other comprehensive income (loss) and reclassified into earnings in the periods during which the hedged forecasted transaction affects earnings.

As of September 30, 2022, the Company had the following London Inter-Bank Offered Rate (“LIBOR"), SOFR, and BSBY interest rate caps ($ in thousands):
Effective DateMaturity DateNotional AmountStrike RatePremium Paid
11/1/202011/1/2023$84,375 
(a)
1.84% (SOFR)
$91 
2/2/20212/1/2023100,000 
0.50% (LIBOR)
45 
3/4/20214/1/202314,479 
2.50% (LIBOR)
4 
1/11/20222/1/2024175,000 
4.00% (BSBY)
154 
4/7/20222/1/2024175,000 
(a)
1.00%-3.00% (BSBY)
(b)
3,595 
7/1/20223/1/2024200,000 
(a)
1.00%-3.00% (SOFR)
(b)
352 
(c)
7/5/20221/1/202450,000 
(a)
1.00%-3.00% (SOFR)
(b)
143 
(c)
7/5/20221/1/202435,100 
(a)
1.00%-3.00% (SOFR)
(b)
120 
(c)
9/1/20229/1/202473,562 
(a)(d)
1.00%-3.00% (SOFR)
(b)
1,370 
Total$907,516 $5,874 
________________________________________
(a) Designated as a cash flow hedge.
(b) The Company purchased interest rate caps at 1.00% and sold interest rate caps at 3.00%, resulting in interest rate cap corridors of 1.00% and 3.00%. The intended goal of these corridors is to provide a level of protection from the effect of rising interest rates and reduce the all-in cost of the derivative instrument.
(c) This amount represents the sum of the premiums paid on the original instruments. The caps were blended and extended during the three months ended September 30, 2022.
(d) The notional amount represents the maximum notional amount that will eventually be in effect. The notional amount is scheduled to increase over the term of the corridor in accordance with projected borrowings on the associated loan.

As of September 30, 2022, the Company held the following floating-to-fixed interest rate swaps ($ in thousands):
Related DebtNotional AmountIndexSwap Fixed RateDebt effective rateEffective DateExpiration Date
Senior unsecured term loan$50,000 
(a)
1-month LIBOR2.26 %3.71 %4/1/201910/26/2022
Senior unsecured term loan50,000 1-month LIBOR2.78 %4.23 %5/1/20185/1/2023
249 Central Park Retail, South Retail, and Fountain Plaza Retail32,979 
(a)
1-month LIBOR2.25 %3.85 %4/1/20198/10/2023
Senior unsecured term loan10,500 
(a)
1-month LIBOR3.02 %4.47 %10/12/201810/12/2023
Senior unsecured term loan25,000 
(a)
1-month LIBOR0.50 %1.95 %4/1/20204/1/2024
Senior unsecured term loan25,000 
(a)
1-month LIBOR0.50 %1.95 %4/1/20204/1/2024
Senior unsecured term loan25,000 
(a)
1-month LIBOR0.55 %2.00 %4/1/20204/1/2024
Thames Street Wharf69,686 
(a)
1-month BSBY1.05 %2.35 %9/30/20219/30/2026
Total$288,165 
________________________________________
(a) Designated as a cash flow hedge.
For the interest rate swaps and caps designated as cash flow hedges, realized losses are reclassified out of accumulated other comprehensive loss to interest expense in the condensed consolidated statements of comprehensive income due to payments made to the swap counterparty. During the next 12 months, the Company anticipates recognizing approximately $10.4 million of net hedging gains as reductions to interest expense. These amounts will be reclassified from accumulated other comprehensive gain into earnings to offset the variability of the hedged items during this period.

The Company’s derivatives were comprised of the following as of September 30, 2022 and December 31, 2021 (in thousands): 
 September 30, 2022December 31, 2021
 Notional
Amount		Fair ValueNotional
Amount		Fair Value
 AssetLiability AssetLiability
Derivatives not designated as accounting hedges
Interest rate swaps$50,000 $390 $— $50,000 $— $(1,454)
Interest rate caps289,479 2,726 — 399,579 1,019 — 
Total derivatives not designated as accounting hedges339,479 3,116 — 449,579 1,019 (1,454)
Derivatives designated as accounting hedges
Interest rate swaps238,165 11,960 — 239,633 1,317 (2,013)
Interest rate caps545,572 15,354 — 384,375 590 — 
Total derivatives$1,123,216 $30,430 $— $1,073,587 $2,926 $(3,467)

The changes in the fair value of the Company’s derivatives during the three and nine months ended September 30, 2022 and 2021 were comprised of the following (in thousands): 
 Three Months Ended September 30,Nine Months Ended September 30,
 2022202120222021
Interest rate swaps$4,330 $(60)$13,894 $2,315 
Interest rate caps3,587 (234)12,586 (27)
Total change in fair value of interest rate derivatives$7,917 $(294)$26,480 $2,288 
Comprehensive income statement presentation:
Change in fair value of derivatives and other$809 $166 $7,700 $941 
Unrealized cash flow hedge gains (losses)7,108 (460)18,780 1,347 
Total change in fair value of interest rate derivatives$7,917 $(294)$26,480 $2,288