v3.25.1
Fair Value Measurements
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
The Company uses various assumptions and methods in estimating the fair values of its financial instruments.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
The Company’s private warrants, which had nominal value as of March 31, 2025 and December 31, 2024, were valued using a Black-Scholes model, pursuant to the inputs provided in the table below:
Assumptions for Assets and Liabilities Measured at Fair Value on a Recurring Basis
InputMarch 31, 2025December 31, 2024
Risk-free rate4.07 %4.16 %
Remaining term in years0.71.0
Expected volatility50.6 %53.7 %
Exercise price$92.00 $92.00 
Fair value of common stock$2.41 $2.97 

The Company’s interest rate swaps are not traded on a market exchange and the fair values are determined using a valuation model based on a discounted cash flow analysis. This analysis reflects the contractual terms of the interest rate swap agreements and uses observable market-based inputs, including estimated future Secured Overnight Financing Rate (“SOFR”) interest rates. The fair value of the Company's interest rate swap is the net difference in the discounted future fixed cash payments and the discounted expected variable cash receipts. The variable cash receipts are based on the expectation of future interest rates and are observable inputs available to a market participant. The interest rate swap valuation is classified as Level 2 of the fair value hierarchy.
The carrying value of the Company’s variable rate debt, which includes four senior debt facilities, approximates fair value as the underlying SOFR is redetermined monthly based on prevailing market rate. The Company engages a third-party valuation expert to assist in the fair value determination of its fixed rate debt, which includes one senior debt facility and one subordinated debt facility. The Company’s valuation of its fixed rate debt is based on information provided by Management and acceptable market pricing methods for determination of the applicable discount rate. In the aggregate, the fair value of the Company’s non-recourse debt as of March 31, 2025 and December 31, 2024 was $718.1 million and $723.8 million, respectively.
The following table sets forth the Company’s assets and liabilities which are measured at fair value on a recurring basis by level within the fair value hierarchy:
Fair Value Measurements as of
March 31, 2025
(Amounts in thousands)Level ILevel IILevel IIITotal
Asset:
Interest rate swaps$— $19,648 $— $19,648 
Money market accounts66,683 — — 66,683 
Total$66,683 $19,648 $— $86,331 
Liabilities:
Interest rate swaps$— $1,598 $— $1,598 
Total$— $1,598 $— $1,598 
Fair Value Measurements as of
December 31, 2024
(Amounts in thousands)Level ILevel IILevel IIITotal
Asset:
Interest rate swaps$— $24,672 $— $24,672 
Money market accounts72,142 — — 72,142 
Total$72,142 $24,672 $— $96,814 
Liabilities:
Interest rate swaps$— $385 $— 385 
Total$— $385 $— $385