v3.26.1
Mortgage Notes Payable, Net
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Mortgage Notes Payable, Net Mortgage Notes Payable, Net
Mortgage notes payable, net as of June 30, 2026 and December 31, 2025 consisted of the following:
Encumbered Properties
Outstanding Loan Amount (1), (2)
Effective Interest Rate
Interest Rate
CountryPortfolioJune 30,
2026		December 31,
2025
Maturity
Anticipated Repayment (3)
(In thousands)(In thousands)
Finland:
Finland Properties (4)
5$84,418 $86,878 4.7%Fixed/VariableJan. 2029Jan. 2029
Total Euro denominated584,418 86,878 
United States:Penske Logistics170,000 70,000 4.7%FixedNov. 2028Nov. 2028
Multi-Tenant Mortgage Loan I694,132 129,949 4.4%FixedNov. 2027Nov. 2027
Multi-Tenant Mortgage Loan II832,750 32,750 4.4%FixedFeb. 2028Feb. 2028
Multi-Tenant Mortgage Loan III653,910 98,500 4.9%FixedDec. 2028Dec. 2028
Multi-Tenant Mortgage Loan IV1477,798 77,798 4.6%FixedMay 2029May 2029
Multi-Tenant Mortgage Loan V10128,780 128,780 3.7%FixedOct. 2029Oct. 2029
2019 Class A-1 Net-Lease Mortgage Notes (5)
—— 94,202 N/AFixedN/AN/A
2019 Class A-2 Net-Lease Mortgage Notes (5)
—— 118,187 N/AFixedN/AN/A
2021 Class A-1 Net-Lease Mortgage Notes3244,742 45,267 2.2%FixedMay 2051May 2028
2021 Class A-2 Net-Lease Mortgage Notes7077,281 78,189 2.8%FixedMay 2051May 2031
2021 Class A-3 Net-Lease Mortgage Notes2534,997 34,997 3.1%FixedMay 2051May 2028
2021 Class A-4 Net-Lease Mortgage Notes4354,995 54,995 3.7%FixedMay 2051May 2031
Mortgage Loan III2233,400 33,400 4.1%FixedJan. 2028Jan. 2028
CMBS Loan II20237,000 237,000 5.8%FixedApr. 2029Apr. 2029
Total USD denominated257939,785 1,234,014 
Gross mortgage notes payable2621,024,203 1,320,892 4.4%
Mortgage discounts(30,344)(47,807)
Deferred financing costs, net of accumulated amortization (6)
(6,979)(8,481)
Mortgage notes payable, net 262$986,880 $1,264,604 4.4%

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(1)Amounts borrowed in local currency are translated at the spot rate in effect at the applicable reporting date.
(2)The borrowers’ (wholly-owned subsidiaries of the Company) financial statements are included within the Company’s consolidated financial statements, however, the borrowers’ assets and credit are only available to pay the debts of the borrowers and their liabilities constitute obligations of the borrowers.
(3)The Company determines an anticipated repayment date when the terms of a debt obligation provide for earlier repayment than the legal maturity and when the Company expects to repay such debt obligations earlier due to factors such as elevated interest rates or additional principal payment requirements.
(4)80% fixed as a result of a “pay-fixed” interest rate swap agreement and 20% variable. Variable portion is approximately 2.05% plus 6-month Euribor and reflects the Euribor rate in effect as of June 30, 2026.
(5)These mortgage notes were paid off in May 2026 primarily using borrowings under the EUR portion of the Revolving Credit Facility (as defined in Note 6 — Revolving Credit Facility).
(6)Deferred financing costs represent commitment fees, legal fees, and other costs associated with obtaining commitments for financing. These costs are amortized over the terms of the respective financing agreements using the effective interest method. Unamortized deferred financing costs are expensed when the associated debt is refinanced or paid down before maturity. Costs incurred in seeking financial transactions that do not close are expensed in the period in which it is determined that the financing will not close.
The following table presents future scheduled aggregate principal payments on the Company’s gross mortgage notes payable over the next four calendar years and thereafter as of June 30, 2026:
(In thousands)
Future Principal Payments (1)
2026 Remainder$— 
202794,132 
2028269,798 
2029527,996 
2030— 
Thereafter132,277 
Total$1,024,203 
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(1)Assumes exchange rates of €1.00 to $1.14 for Euros (“EUR”) as of June 30, 2026 for illustrative purposes, as applicable.
The total gross carrying value of the Company’s unencumbered assets as of June 30, 2026 was $3.85 billion, and approximately $3.79 billion of this amount was included in the unencumbered asset pool comprising the borrowing base under the Revolving Credit Facility (as defined in Note 6 — Revolving Credit Facility) and therefore is not currently available to serve as collateral for future borrowings under the Revolving Credit Facility.
Mortgage Covenants
As of June 30, 2026, the Company was in compliance with all property-level debt covenants with the exception of three property-level debt instruments. For those three property-level debt instruments, the Company either (a) implemented a cure to the underlying noncompliance trigger by providing a letter of credit, or (b) permitted excess net cash flow after debt service from the impacted properties to become restricted, in each case in accordance with the terms of the applicable debt instrument. Each letter of credit, for so long as it is outstanding, represents a dollar-for-dollar reduction to availability for future borrowings under the Company’s Revolving Credit Facility. While the restricted cash cannot be used for general corporate purposes, it is available to fund operations of the underlying assets. These matters did not have a material impact on the Company’s liquidity or its ability to operate the impacted assets.