| Mortgages Payable, Net |
Mortgages Payable Mortgages payable, net are summarized as follows: | | | | | | | | | June 30, | | December 31, | in thousands | | 2026 | | 2025 | Fixed-rate debt | | | | | | | Secured mortgages payable | | $ | 38,054 | | $ | 39,090 | Unamortized deferred financing costs | | | (715) | | | (742) | Mortgages payable, net | | $ | 37,339 | | $ | 38,348 | Secured mortgages payable related to assets held for sale (1) | | | — | | | 61,300 | Mortgages payable related to assets held for sale | | $ | — | | $ | 61,300 |
| (1) | This mortgage related to 250 Water Street, which was classified as held for sale as of December 31, 2025 and sold in February 2026. Commencing on the date the mortgage was classified as held for sale, the Company expensed interest related to the mortgage into Interest income (expense) on the Consolidated Statement of Operations. See Note 1 – Summary of Significant Accounting Policies – Assets Held-for-Sale. |
As of June 30, 2026, land, buildings and equipment, and other collateral with an aggregate net book value of $90.2 million have been pledged as collateral for the Company’s debt obligations. Secured mortgages payable are without recourse to the Company as of June 30, 2026. Secured Mortgages Payable The Company’s fixed-rate debt obligation requires semi-annual installments of principal and interest. As of June 30, 2026, the Company’s secured mortgage loan did not have any undrawn lender commitment available to be drawn for property development. The following table summarizes the Company’s secured mortgages payable: | | | | | | | | | | | | | | | | | June 30, 2026 | | December 31, 2025 | | | | | | Interest | | | | | | | Interest | | | $in thousands | | Principal | | Rate | | Maturity Date | | Principal | | Rate | | Maturity Date | Fixed rate (a) | | $ | 38,054 | | 4.92 | % | December 15, 2038 | | $ | 39,090 | | 4.92 | % | December 15, 2038 | Variable rate (b) (c) | | | — | | | | | | | 61,300 | | 10.77 | % | July 1, 2029 | Secured mortgages payable | | $ | 38,054 | | | | | | $ | 100,390 | | | | |
| (a) | The Company has one fixed-rate debt obligation as of June 30, 2026 and December 31, 2025. The interest rate presented is based upon the coupon rate of the debt. |
| (b) | The Company had one variable-rate debt obligation as of December 31, 2025. The interest rate presented is based on the applicable reference interest rate as of December 31, 2025. In February 2026, this debt obligation was paid in full in conjunction with the sale of 250 Water Street. |
| (c) | The Company had a total return swap with the lender in connection with its variable-rate debt. At December 31, 2025, the assumed rate of the indebtedness associated with our variable-rate debt obligation is based on SOFR + 4.5%, which is the combination of the interest rates on two instruments: (i) the variable-rate debt obligation, pursuant to which the Company is obligated to pay the lender an amount equal to SOFR + 7.0%, and (ii) the total return swap, pursuant to which the Company is entitled to receive 2.5% from the lender. The cash flows from this total return swap do not vary based on any underlying variable and there is no net settlement; as such, it is not considered to meet the criteria of ASC “815 Derivatives and Hedging” and determined to not be a derivative. |
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