Mortgages Payable:

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



Entered⁽¹⁾	Initial Balance		Interest Rate	Maturity⁽²⁾	Carrying Value of Encumbered Asset(s)⁽³⁾		Outstanding Principal Balance at December 31,
Entered⁽¹⁾	Initial Balance		Interest Rate	Maturity⁽²⁾	Carrying Value of Encumbered Asset(s)⁽³⁾		2016			2015
February 2004⁽⁶⁾	$	6,952	6.90%	January 2017	$	—	$	—		$	848
June 2012⁽⁴⁾⁽⁵⁾	6,850		5.75%	April 2016	—		—			5,890
September 2014⁽⁴⁾⁽⁷⁾	2,957		6.40%	February 2017	—		—			2,804
November 2014⁽⁴⁾	15,151		5.23%	July 2023	21,403		13,987			14,555
					$	21,403	13,987			24,097

Debt costs							(147		)	(226		)
Accumulated amortization							38			93
Debt costs, net of accumulated amortization							(109		)	(133		)
Mortgages payable, including unamortized premium and net of unamortized debt costs							$	13,878		$	23,964


⁽¹⁾	Date entered represents the date that NNN acquired real estate subject to a mortgage securing a loan.


⁽²⁾	Monthly payments include interest and principal, if any; the balance is due at maturity.


⁽³⁾	Each loan is secured by a first mortgage lien on certain of the Properties. The carrying values of the assets at December 31, 2016.


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


⁽⁵⁾	NNN repaid the outstanding principal balance in January 2016.


⁽⁶⁾	NNN repaid the outstanding principal balance in March 2016.


⁽⁷⁾	NNN repaid the outstanding principal balance in October 2016.

The following is a schedule of the scheduled principal payments, including premium amortization of NNN’s mortgages payable at December 31, 2016 (dollars in thousands):



2017	$	596
2018	623
2019	652
2020	682
2021	716
Thereafter	10,718
	$	13,987