| Schedule of Partnership’s Debt Obligations |
The partnership’s debt obligations include the following: | | | | | | | | | | | | | | | | Jun. 30, 2026 | Dec. 31, 2025 | | (US$ Millions) | Weighted-average rate | Debt balance | Weighted-average rate | Debt balance | | Corporate unsecured facilities: | | | | | | Brookfield Property Partners’ credit facilities | 5.59 | % | $ | 2,060 | | 5.74 | % | $ | 1,260 | | | Brookfield Property Partners’ corporate bonds | 5.22 | % | 1,338 | | 5.10 | % | 1,020 | | GGP Retail LLC (“GGP”) term debt | 6.64 | % | 842 | | 7.22 | % | 846 | | GGP senior secured notes | 4.50 | % | 497 | | 5.20 | % | 1,124 | | GGP corporate facility | 6.49 | % | 325 | | 6.58 | % | 424 | | GGP junior subordinated notes | 5.41 | % | 203 | | 5.57 | % | 202 | | | Subsidiary borrowings | 4.56 | % | 147 | | 4.41 | % | 220 | | Brookfield Office Properties Inc. (“BPO”) subordinated notes(1) | 7.63 | % | 141 | | — | % | — | | | | | | | | Secured debt obligations: | | | | | Funds subscription credit facilities(2) | 6.15 | % | 1,359 | | 5.34 | % | 2,407 | | | Fixed rate | 5.48 | % | 15,952 | | 5.29 | % | 17,504 | | | Variable rate | 5.99 | % | 26,812 | | 6.37 | % | 21,564 | | | Deferred financing costs | | (157) | | | (257) | | | Total debt obligations | | $ | 49,519 | | | $ | 46,314 | | | | | | | | Current | | 6,830 | | | 10,876 | | | Non-current | | 28,144 | | | 35,354 | | Debt associated with assets held for sale(3) | | 14,545 | | | 84 | | | Total debt obligations | | $ | 49,519 | | | $ | 46,314 | |
(1)On March 18, 2026, BPO issued C$200 million of fixed-to-fixed reset rate subordinated notes maturing on March 18, 2056, with an initial coupon rate of 7.63%, until March 18, 2031, resetting every five years thereafter at the five-year Government of Canada Yield, plus a 4.58% spread, provided that the rate will not reset below 7.63%. (2)Funds subscription credit facilities are secured by capital commitments. (3)The debt associated with assets held for sale was assumed by the purchaser on July 1, 2026. See Note 29, Related Parties of our Q2 2026 Financial Statements for further information on the Reclassification of Opportunistic Fund Investments to assets held for sale. Debt obligations include foreign currency denominated debt in the functional currencies of the borrowing subsidiaries. Debt obligations by local currency are as follows:
| | | | | | | | | | | | | | | | | | | | | | Jun. 30, 2026 | Dec. 31, 2025 | | (Millions) | U.S. Dollars | | Local
currency | U.S. Dollars | | Local
currency | | U.S. Dollars | $ | 31,816 | | $ | 31,816 | | $ | 29,178 | | $ | 29,178 | | | British Pounds | 7,034 | | £ | 5,304 | | 7,026 | | £ | 5,214 | | | Canadian Dollars | 3,269 | | C$ | 4,641 | | 3,158 | | C$ | 4,334 | | | Euros | 3,737 | | € | 3,272 | | 2,216 | | € | 1,886 | | | Australian Dollars | 1,466 | | A$ | 2,118 | | 1,240 | | A$ | 1,858 | | | Brazilian Reais | 509 | | R$ | 2,635 | | 495 | | R$ | 2,724 | | | United Arab Emirates Dirham | 477 | | AED | 1,752 | | 456 | | AED | 1,676 | | | Singapore Dollar | 457 | | S$ | 592 | | 271 | | S$ | 348 | | | Swedish Krona | 257 | | SEK | 2,491 | | 266 | | SEK | 2,453 | | | Indian Rupees | 252 | | Rs | 23,755 | | 244 | | Rs | 21,952 | | | Chinese Yuan | 205 | | C¥ | 1,392 | | 205 | | C¥ | 1,432 | | | New Zealand Dollar | 83 | | NZ$ | 145 | | — | | NZ$ | — | | | Hong Kong Dollar | 60 | | HK$ | 473 | | 59 | | HK$ | 457 | | | Danish Krone | 54 | | DKK | 355 | | 57 | | DKK | 361 | | South Korean Won(1) | — | | ₩ | — | | 1,700 | | ₩ | 2,457,000 | | | Deferred financing costs | (157) | | | | (257) | | | | | Total debt obligations | $ | 49,519 | | | | $ | 46,314 | | | |
(1)See Note 29, Related Parties for further information on the Deconsolidation of South Korea Mixed-use.
|
| Schedule of Components of Changes in Debt Obligations |
The components of changes in debt obligations, including changes related to cash flows from financing activities, are summarized in the table below: | | | | | | | | | | (US$ Millions) | Six months ended Jun. 30, 2026 | Year ended Dec. 31, 2025 | | Balance, beginning of period | $ | 46,314 | | $ | 51,499 | | | Debt obligation issuances, net of repayments | 6,226 | | (2,917) | | | Non-cash changes in debt obligations: | | | | Debt from asset acquisitions | 294 | | 103 | | | Assumed by purchaser | (1,452) | | (2,970) | | Deconsolidation of South Korea Mixed-use debt(1) | (1,662) | | — | | Assumed from business combination(2) | 2 | | 502 | | | Amortization of deferred financing costs and (premium) discount | 73 | | 70 | | Deconsolidation of India REIT debt obligations(3) | — | | (1,011) | | | Foreign currency translation | (285) | | 1,047 | | | | | | Other | 9 | | (9) | | | Balance, end of period | $ | 49,519 | | $ | 46,314 | |
(1)See Note 29, Related Parties for further information on the Deconsolidation of South Korea Mixed-use. (2)In the third quarter of 2025, the partnership acquired the European Hostels portfolio. See Note 3, Business Combinations, for more information. (3)See Note 4, Investment Properties for further information on the Deconsolidation of India REIT.
|