filings.toolsItem 7A. Quantitative and Qualitative Disclosures about Market Risk.
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Item 7A. Quantitative and Qualitative Disclosures about Market Risk.
The following table presents the aggregate carrying value of our mortgage notes payable, net, unsecured senior notes, net and unsecured line of credit and our corresponding estimate of fair value as of December 31, 2017. Approximately $10.2 billion of these borrowings bore interest at fixed rates and therefore the fair value of these instruments is affected by changes in the market interest rates. As of December 31, 2017, the weighted-average interest rate on our variable rate debt was LIBOR plus 0.875% (2.35%) per annum. The following table presents our aggregate fixed rate debt obligations with corresponding weighted-average interest rates sorted by maturity date and our aggregate variable rate debt obligations sorted by maturity date.
The table below does not include our unconsolidated joint venture debt. For a discussion concerning our unconsolidated joint venture debt, see Note 5 to the Consolidated Financial Statements and “Item 7—Management’s Discussion and Analysis of Financial Condition and Results of Operations—Capitalization—Off-Balance Sheet Arrangements—Joint Venture Indebtedness.”
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023+ | Total | Estimated Fair Value | ||||||||||||||||||||||||
| (Dollars in thousands) Mortgage debt | |||||||||||||||||||||||||||||||
| Fixed Rate | $ | 14,708 | $ | 15,745 | $ | 16,841 | $ | 36,346 | $ | 611,132 | $ | 2,284,509 | $ | 2,979,281 | $ | 3,042,920 | |||||||||||||||
| GAAP Average Interest Rate | 5.52 | % | 5.53 | % | 5.55 | % | 6.61 | % | 4.79 | % | 3.64 | % | 3.95 | % | |||||||||||||||||
| Variable Rate | — | — | — | — | — | — | — | — | |||||||||||||||||||||||
| Unsecured debt | |||||||||||||||||||||||||||||||
| Fixed Rate | $ | (8,800 | ) | $ | 691,255 | $ | 691,748 | $ | 843,065 | $ | (6,454 | ) | $ | 5,036,516 | $ | 7,247,330 | $ | 7,461,615 | |||||||||||||
| GAAP Average Interest Rate | — | 5.97 | % | 5.71 | % | 4.29 | % | — | 3.65 | % | 4.15 | % | |||||||||||||||||||
| Variable Rate | — | — | — | — | 45,000 | — | 45,000 | 45,000 | |||||||||||||||||||||||
| Total Debt | $ | 5,908 | $ | 707,000 | $ | 708,589 | $ | 879,411 | $ | 649,678 | $ | 7,321,025 | $ | 10,271,611 | $ | 10,549,535 |
At December 31, 2017, the weighted-average coupon/stated rates on the fixed rate debt stated above was 3.98% per annum. At December 31, 2017, our outstanding variable rate debt based on LIBOR totaled approximately $45.0 million. At December 31, 2017, the coupon/stated rate on our variable rate debt was approximately 2.35%. If market interest rates on our variable rate debt had been 100 basis points greater, total interest expense would have increased approximately $450,000 for the year ended December 31, 2017.
The fair value amounts were determined solely by considering the impact of hypothetical interest rates on our financial instruments. Due to the uncertainty of specific actions we may undertake to minimize possible effects of market interest rate increases, this analysis assumes no changes in our financial structure.
Additional disclosure about market risk is incorporated herein by reference from “Item 7—Management’s Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Market Risk.”
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