v3.26.1
Debt and Derivative Instruments (Tables)
6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Summary of Mortgage Loans Payable

As of June 30, 2026 and December 31, 2025, the Company had the following mortgage loans payable:

 

 

June 30, 2026

 

 

December 31, 2025

 

Type of Debt

 

Principal
Amount

 

 

Weighted Average Interest Rate

 

 

Principal
Amount

 

 

Weighted Average Interest Rate

 

CONA Mortgage Loan (maturity date October 29, 2027)

 

 

 

 

 

 

 

 

 

 

 

 

Variable rate with swap agreements

 

$

95,000

 

 

 

4.99

%

 

$

 

 

 

 

BMO Mortgage Loan (maturity date September 30, 2028)

 

 

 

 

 

 

 

 

 

 

 

 

Variable rate with swap agreements

 

 

122,655

 

 

 

4.95

%

 

 

 

 

 

 

Parkway UL Mortgage Loan (maturity date March 28, 2029)

 

 

27,759

 

 

 

5.94

%

 

 

 

 

 

 

Parkway Storage Mortgage Loan (maturity date April 25, 2029)

 

 

24,635

 

 

 

5.80

%

 

 

 

 

 

 

Total debt before discount including impact of interest rate swaps/caps

 

 

270,049

 

 

 

 

 

 

 

 

 

 

Less: Unamortized debt discount

 

 

(77

)

 

 

 

 

 

 

 

 

 

Total mortgage loans payable, net

 

$

269,972

 

 

 

 

 

$

 

 

 

 

 

Schedule of Maturities of Company's Debt

As of June 30, 2026, maturities of the Company’s debt were as follows:

 

 

June 30, 2026

 

Maturities by Year:

 

Maturities of
 Mortgage
Loans

 

2026 (remainder of the year)

 

$

 

2027

 

 

95,000

 

2028

 

 

122,655

 

2029

 

 

52,394

 

2030

 

 

 

Thereafter

 

 

 

Total

 

$

270,049

 

Summary of Interest Rate Swap Contracts Outstanding

The following table summarizes the Company’s interest rate swap contracts outstanding as of June 30, 2026:

 

 

Date
Entered

 

Effective
Date

 

Maturity
Date

 

Receive Floating Rate Index (a)

 

Pay Fixed
Rate / Strike Price

 

 

Notional
Amount

 

 

Fair Value at
June 30,
2026 (b)

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swap agreements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CONA Mortgage Loan swap

 

October 27, 2025

 

November 3, 2025

 

September 28, 2028

 

1-month Term SOFR

 

 

3.04

%

 

$

95,000

 

 

$

1,809

 

BMO Mortgage Loan swap

 

January 27, 2026

 

January 2, 2026

 

September 30, 2028

 

1-month Term SOFR

 

 

2.85

%

 

 

122,655

 

 

 

2,842

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

217,655

 

 

$

4,651

 

(a)
As of June 30, 2026, the 1-month Term SOFR was 3.65%.
(b)
The fair value of interest rate swap agreements is included within other assets in the consolidated balance sheet.
Schedule of Effect of Derivatives on Statements of Operations and Comprehensive Income (Loss)

The table below presents the effect of the Company’s derivative financial instruments on the statements of operations and comprehensive income (loss) for the three and six months ended June 30, 2026 and 2025.

 

 

Three Months Ended
June 30,

 

 

Six Months
Ended June 30,

 

Derivatives in Cash Flow Hedging Relationships:

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Effective portion of derivatives

 

$

1,313

 

 

$

 

 

$

1,313

 

 

$

 

Reclassification adjustment for amounts included in net gain or loss (effective portion)

 

$

320

 

 

$

 

 

$

320

 

 

$