Senior Unsecured Notes and Secured Debt

9 Months Ended

Sep. 30, 2014

Senior Unsecured Notes and Secured Debt [Abstract]

10. Senior Unsecured Notes and Secured Debt

We may repurchase, redeem or refinance convertible and non-convertible senior unsecured notes from time to time, taking advantage of favorable market conditions when available. We may purchase senior notes for cash through open market purchases, privately negotiated transactions, a tender offer or, in some cases, through the early redemption of such securities pursuant to their terms. The non-convertible senior unsecured notes are redeemable at our option, at any time in whole or from time to time in part, at a redemption price equal to the sum of (1) the principal amount of the notes (or portion of such notes) being redeemed plus accrued and unpaid interest thereon up to the redemption date and (2) any “make-whole” amount due under the terms of the notes in connection with early redemptions. Redemptions and repurchases of debt, if any, will depend on prevailing market conditions, our liquidity requirements, contractual restrictions and other factors. At September 30, 2014, the annual principal payments due on these debt obligations were as follows (in thousands):


	Senior		Secured
	Unsecured Notes^(1,2)		Debt ^(1,3)		Totals
2014	$	-	$	50,367	$	50,367
2015		250,000		407,611		657,611
2016		700,000		395,659		1,095,659
2017		450,000		353,801		803,801
2018		1,173,055 ^(4,5)		432,209		1,605,264
Thereafter		4,769,273 ⁽⁶⁾		1,222,073		5,991,346
Totals	$	7,342,328	$	2,861,720	$	10,204,048

(1) Amounts represent principal amounts due and do not include unamortized premiums/discounts or other fair value adjustments as reflected on the balance sheet.
(2) Annual interest rates range from 1.3% to 6.5%.
(3) Annual interest rates range from 1.0% to 8.0%. Carrying value of the properties securing the debt totaled $5,121,039,000 at September 30, 2014.
(4) On July 30, 2012, we completed funding on a $250,000,000 Canadian denominated unsecured term loan (approximately $223,055,000 based on the Canadian/U.S. Dollar exchange rate in effect on September 30, 2014). This loan was refinanced on July 25, 2014. See Note 9 for additional information.
(5) On January 8, 2013, we completed funding on a $500,000,000 unsecured term loan. This loan was refinanced on July 25, 2014. See Note 9 for additional information.
(6) On November 20, 2013, we completed the sale of £550,000,000 (approximately $891,825,000 based on the Sterling/U.S. Dollar exchange rate in effect on September 30, 2014) of 4.8% senior unsecured notes due 2028.

The following is a summary of our senior unsecured notes principal activity during the periods presented (dollars in thousands):


	Nine Months Ended
	September 30, 2014			September 30, 2013
			Weighted Avg.			Weighted Avg.
	Amount		Interest Rate	Amount		Interest Rate
Beginning balance	$	7,421,707	4.400%	$	5,894,403	4.675%
Debt issued		-	0.000%		500,000	1.552%
Debt redeemed		(47,660)	3.000%		(219,285)	3.000%
Foreign currency		(31,719)	3.892%		-	0.000%
Ending balance	$	7,342,328	4.388%	$	6,175,118	4.480%

The following is a summary of our secured debt principal activity for the periods presented (dollars in thousands):


	Nine Months Ended
		September 30, 2014		September 30, 2013
			Weighted Avg.			Weighted Avg.
	Amount		Interest Rate	Amount		Interest Rate
Beginning balance	$	3,010,711	5.09%	$	2,311,586	5.14%
Debt issued		98,100	3.23%		85,140	5.05%
Debt assumed		62,505	3.11%		1,241,898	4.11%
Debt extinguished		(240,355)	5.66%		(535,367)	3.52%
Principal payments		(45,807)	4.97%		(40,006)	5.27%
Foreign currency		(23,434)	3.78%		2,672	4.04%
Ending balance	$	2,861,720	4.94%	$	3,065,923	5.08%

Our debt agreements contain various covenants, restrictions and events of default. Certain agreements require us to maintain certain financial ratios and minimum net worth and impose certain limits on our ability to incur indebtedness, create liens and make investments or acquisitions. As of September 30, 2014, we were in compliance with all of the covenants under our debt agreements.