Debt Obligations

6 Months Ended

Jun. 30, 2017

5.Debt Obligations

Bank Borrowings. We have an Unsecured Credit Agreement that provides for a revolving line of credit up to $600,000,000. The Unsecured Credit Agreement matures on October 14, 2018 and provides for a one-year extension option at our discretion, subject to customary conditions. Based on our leverage at June 30, 2017, the facility provides for interest annually at LIBOR plus 150 basis points and an unused commitment fee of 35 basis points. At June 30, 2017, we were in compliance with all covenants.

Senior Unsecured Notes. During the six months ended June 30, 2017, we amended our shelf agreement with affiliates and managed accounts of Prudential Investment Management, Inc. (or Prudential) to increase our shelf commitment to $337,500,000

The debt obligations by component as of June 30, 2017 and December 31, 2016 are as follows (dollar amounts in thousands):



		At June 30, 2017				At December 31, 2016
	Applicable			Available				Available
	Interest	Outstanding		for		Outstanding		for
Debt Obligations	Rate(1)	Balance		Borrowing		Balance		Borrowing
Bank borrowings (2)	2.66%	$	45,000	$	555,000	$	107,100	$	492,900
Senior unsecured notes, net of debt issue costs (3)	4.50%		597,898		36,667		502,291		22,500
Total	4.37%	$	642,898	$	591,667	$	609,391	$	515,400

⁽¹⁾

Represents weighted average of interest rate as of June 30, 2017.

⁽²⁾

Subsequent to June 30, 2017, we borrowed an additional $5,000 under our unsecured revolving line of credit. Accordingly, we have $50,000 outstanding under our unsecured revolving line of credit with $550,000 available for borrowing.

⁽³⁾

Subsequent to June 30, 2017, we paid $10,000 in regular scheduled principal payments to Prudential. Accordingly, we have $587,898 outstanding with $46,667 available under our agreement with Prudential.

Our borrowings and repayments are as follows (in thousands):


	Six months ended June 30,
	2017					2016
		Borrowings			Repayments		Borrowings			Repayments
Bank borrowings	$	48,500		$	(110,600)	$	77,500		$	(76,000)
Senior unsecured notes		100,000	(1)		(4,167)		37,500	(2)		(4,167)
Total	$	148,500		$	(114,767)	$	115,000		$	(80,167)

⁽¹⁾

During the six months ended June 30, 2017, we sold 15-year senior unsecured notes in the aggregate amount of $100,000 to a group of investors, which included Prudential, in a private placement transaction. The notes bear interest at an annual fixed rate of 4.5%, have scheduled principal payments and mature on February 16, 2032.

⁽²⁾

During the six months ended June 30, 2016, we sold $37,500 senior unsecured term notes to Prudential with an annual fixed rate of 4.15%. The notes have an average 10-year life, scheduled principal payments and will mature in 2028.