Mortgages Payable

12 Months Ended

Dec. 31, 2019

MORTGAGES PAYABLE

On October 3, 2018, we extended our mortgage loan on our Paramus property. The $68,000,000 interest-only loan has a fixed rate of 4.72% and matures in October 2021. Previously the loan bore interest at a fixed rate of 2.90%. The tenant pays all of the interest on this mortgage loan as part of its rent.

On December 12, 2018, we completed a refinancing of our Rego Park II shopping center in the amount of $252,544,000. The interest-only loan is at LIBOR plus 1.35% (3.15% as of December 31, 2019) and matures in December 2025. As of December 31, 2019, we have a participation in the mortgage in the amount of $195,708,000 which for GAAP purposes is netted against the mortgage balance. Therefore, the balance sheet amount of the mortgage loan is $56,836,000. On February 14, 2020, we reduced our participation in the mortgage loan to $50,000,000 and received cash proceeds of approximately $145,000,000.

The following is a summary of our outstanding mortgages payable. We may refinance our maturing debt as it comes due or choose to repay it.



			Interest Rate at December 31, 2019	Balance at December 31,
(Amounts in thousands)		Maturity	Interest Rate at December 31, 2019	2019			2018
First mortgages secured by:
	Paramus	Oct. 2021	4.72%	$	68,000		$	68,000
	731 Lexington Avenue, retail condominium⁽¹⁾	Aug. 2022	3.10%	350,000			350,000
	731 Lexington Avenue, office condominium⁽²⁾	Jun. 2024	2.64%	500,000			500,000
	Rego Park II shopping center⁽³⁾	Dec. 2025	3.15%	56,836			56,836
	Total			974,836			974,836
	Deferred debt issuance costs, net of accumulated
	amortization of $14,362 and $9,212, respectively			(3,875		)	(9,010		)
				$	970,961		$	965,826

(1)	Interest at LIBOR plus 1.40%. Maturity date represents the extended maturity based on our conditional right to extend.
(2)	Interest at LIBOR plus 0.90%. Maturity date represents the extended maturity based on our unilateral right to extend.
(3)	Interest at LIBOR plus 1.35%. The amount of this loan is net of our $195,708 loan participation (see Note 2 - Summary of Significant Accounting Policies).

All of our debt is secured by mortgages and/or pledges of the stock of the subsidiaries holding the properties. The net carrying value of real estate collateralizing the debt amounted to $573,975,000 as of December 31, 2019. Our existing financing documents contain covenants that limit our ability to incur additional indebtedness on these properties, and in certain circumstances, provide for lender approval of tenants’ leases and yield maintenance to prepay them. As of December 31, 2019, the principal repayments (based on the extended loan maturity dates) for the next five years and thereafter are as follows:



(Amounts in thousands)
Year Ending December 31,	Amount
2020	$	—
2021	68,000
2022	350,000
2023	—
2024	500,000
Thereafter	56,836