Debt

Mortgage Loans Payable

Mortgage loans payable are carried at their contractual amounts due under liquidation accounting. The Trust had outstanding mortgage loans payable of $223,174,000 and $296,954,000 at September 30, 2015 and December 31, 2014, respectively. The mortgage loan payments of principal and interest are generally due monthly, quarterly or semi-annually and are collateralized by applicable real estate of the Trust.

The Trust’s mortgage loans payable at September 30, 2015 and December 31, 2014 are summarized as follows (in thousands):


Location of Collateral	Maturity	Spread Over LIBOR (1)		Interest Rate at September 30, 2015			September 30, 2015		December 31, 2014

Chicago, IL	Mar 2016	—			5.75	%	$	19,201	$	19,491
New York, NY	May 2016	Libor + 2.5%	(2)		3.50	%		50,674		51,034
Greensboro, NC	Aug 2016	—			6.22	%		13,600		13,600
Lisle, IL	Oct 2016	Libor + 2.5%			2.69	%		5,500		5,713
Stamford, CT (4)(5)	Oct 2016	Libor + 2.0%	(3)		2.69	%		33,448		44,923
Houston, TX (4)(5)	Oct 2016	Libor + 2.0%	(3)		2.69	%		44,319		59,524
Lisle, IL	Mar 2017	—			5.55	%		5,330		5,392
Orlando, FL	Jul 2017	—			6.40	%		35,843		36,347
Plantation, FL	Apr 2018	—			6.48	%		10,443		10,550
Churchill, PA	Aug 2024	—			3.50	%		4,816		4,918
Phoenix, AZ (4)(5)	n/a	—			n/a			—		22,462
Cerritos, CA (6)	n/a	—			n/a			—		23,000

							$	223,174	$	296,954

(1)	The one-month LIBOR rate at September 30, 2015 was 0.1930%. The one-month LIBOR rate at December 31, 2014 was 0.17125%.

(2)	The loan has a LIBOR floor of 1%.

(3)	The loan has an interest rate swap which effectively fixes LIBOR at 0.69%.

(4)	These properties are cross-collateralized. Proceeds from property sales go 100% to repay the mortgage loan.

(5)	A portion of the loan was satisfied during 2015 in connection with the sale of a property.

(6)	The loan was satisfied during 2015 in connection with the sale of the property.

Notes Payable

In conjunction with the 2012 loan modification on the property located in Cerritos, California the Trust assumed a $14,500,000 B Note that bore interest at 6.6996% per annum and required monthly interest payments of approximately $12,000 with the balance of the interest accruing. The loan modification agreement provided for a participation feature whereby the B Note could be fully satisfied with proceeds from the sale of the property after the Trust received a 9.0% priority return on its capital, during a specified time period as defined in the loan modification document. As a result of the loan modification, the B Note did not have a contractually specified settlement amount. As such, the B Note was recorded at the estimated settlement amount based on an estimated sale of the property. As discussed in Note 6 – Property Dispositions, the property was sold on September 16, 2015. No payment was due to the holder of the B Note in connection with the sale. The liquidation value of the B Note was $0 at December 31, 2014.