Mortgages Payable:

The following table outlines the mortgages payable included in NNN’s consolidated financial statements (dollars in thousands):



Entered	Initial Balance		Interest Rate	Maturity ⁽³⁾	Carrying Value of Encumbered Asset(s)⁽¹⁾		Outstanding Principal Balance at December 31,
Entered	Initial Balance		Interest Rate	Maturity ⁽³⁾	Carrying Value of Encumbered Asset(s)⁽¹⁾		2013		2012
December 2001 ⁽²⁾	$	623	9.00%	April 2014	$	438	$	27	$	95
December 2001 ⁽²⁾	698		9.00%	April 2019	968		263		299
December 2001 ⁽²⁾	485		9.00%	April 2019	936		136		155
February 2004 ⁽²⁾	6,952		6.90%	January 2017	10,797		2,257		2,892
March 2005 ⁽²⁾	1,015		8.14%	September 2016	1,264		335		439
June 2012 ⁽²⁾⁽⁴⁾	6,850		5.75%	April 2016	8,717		6,457		6,722
					$	23,120	$	9,475	$	10,602


⁽¹⁾	Each loan is secured by a first mortgage lien on certain of NNN’s properties. The carrying values of the assets are as of December 31, 2013.


⁽²⁾	Date entered represents the date that NNN acquired real estate subject to a mortgage securing a loan. The corresponding original principal balance represents the outstanding principal balance at the time of acquisition.


⁽³⁾	Monthly payments include interest and principal, if any; the balance is due at maturity.


⁽⁴⁾	Initial balance and outstanding principal balance includes unamortized premium.

The following is a schedule of the annual maturities of NNN’s mortgages payable at December 31, 2013 (dollars in thousands):