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DERIVATIVE INSTRUMENTS
 12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
DERIVATIVE INSTRUMENTS DERIVATIVE INSTRUMENTS
The Company enters into derivative instruments for risk management purposes to hedge its exposure to cash flow variability caused by changing interest rates. The primary goal of the Company’s risk management practices related to interest rate risk is to prevent changes in interest rates from adversely impacting the Company’s ability to achieve its investment return objectives. The Company does not enter into derivatives for speculative purposes.
The Company enters into interest rate swaps as a fixed rate payer to mitigate its exposure to rising interest rates on its variable rate notes payable. The value of interest rate swaps is primarily impacted by interest rates, market expectations about interest rates, and the remaining life of the instrument. In general, increases in interest rates, or anticipated increases in interest rates, will increase the value of the fixed rate payer position and decrease the value of the variable rate payer position. As the remaining life of the interest rate swap decreases, the value of both positions will generally move towards zero.
The Company enters into interest rate caps to mitigate its exposure to rising interest rates on its variable rate notes payable. The values of interest rate caps are primarily impacted by interest rates, market expectations about interest rates, and the remaining life of the instrument. In general, increases in interest rates, or anticipated increases in interest rates, will increase the value of interest rate caps. As the remaining life of an interest rate cap decreases, the value of the instrument will generally decrease towards zero.
As of December 31, 2025, the Company has entered into 12 interest rate swaps, which were not designated as hedging instruments. The following table summarizes the notional amount and other information related to the Company’s interest rate swaps as of December 31, 2025 and 2024. The notional amount is an indication of the extent of the Company’s involvement in each instrument at that time, but does not represent exposure to credit, interest rate or market risks (dollars in thousands):
 December 31, 2025December 31, 2024 Weighted-Average Fix Pay RateWeighted-Average Remaining Term in Years
Derivative InstrumentsNumber of InstrumentsNotional AmountNumber of InstrumentsNotional Amount
Reference Rate as of December 31, 2025
Derivative instruments not designated as hedging instruments
Interest rate swaps (1)
12$1,000,000 14$1,100,000 

One-month Term SOFR/
Fixed at 2.38% - 3.92%
3.3%0.6
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(1) During the year ended December 31, 2025, two of the Company’s interest rate swaps expired. In February 2024, the Company terminated two interest rate swap agreements and received aggregate settlement payments of $6.6 million.
The following table sets forth the fair value of the Company’s derivative instruments as well as their classification on the consolidated balance sheets as of December 31, 2025 and 2024 (dollars in thousands):
December 31, 2025December 31, 2024
Derivative InstrumentsBalance Sheet LocationNumber of
Instruments		Fair ValueNumber of
Instruments		Fair Value
Derivative instruments not designated as hedging instruments
Interest rate swapsPrepaid expenses and other assets, at fair value 7$764 14$10,509 
Interest rate swapsOther liabilities, at fair value5$(407)—$— 
The following table summarizes the effects of derivative instruments on the Company’s consolidated statements of operations (in thousands):
 For the Years Ended December 31,
 202520242023
Derivatives not designated as hedging instruments
Realized loss recognized on interest rate swaps$4 $— $— 
Realized gain recognized on interest rate swaps(10,030)(24,289)(31,358)
Unrealized loss on interest rate swaps (1)
10,152 6,833 16,426 
Gains related to swap terminations— (178)— 
Unrealized loss on interest rate cap— — 25 
Net loss (gain) on derivative instruments$126 $(17,634)$(14,907)
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(1) For the year ended December 31, 2023, unrealized loss on interest rate swaps included an $8.7 million unrealized loss related to the change in fair value of two off-market interest rate swaps (which expired on November 2, 2023) determined to be hybrid financial instruments for which the Company elected to apply the fair value option.