Alpine Income Property Trust, Inc. - 10-Q filing on 2021-10-21

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2021

Schedule of carrying value and estimated fair value of financial instruments

The following table presents the carrying value and estimated fair value of the Company’s financial instruments not carried at fair value on the consolidated balance sheets at September 30, 2021 and December 31, 2020 (in thousands):


	September 30, 2021				December 31, 2020
	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Cash and Cash Equivalents - Level 1	$	6,706	$	6,706	$	1,894	$	1,894
Restricted Cash - Level 1	$	600	$	600	$	—	$	—
Long-Term Debt - Level 2	$	190,195	$	195,283	$	106,809	$	106,809

Schedule of fair value of assets (liabilities) measured on recurring basis by Level

The following tables present the fair value of assets (liabilities) measured on a recurring basis by Level as of September 30, 2021 and December 31, 2020 (in thousands):


			Fair Value at Reporting Date Using
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
September 30, 2021
2026 Term Loan Interest Rate Swap ⁽¹⁾	$	197	$	—	$	197	$	—
2027 Term Loan Interest Rate Swap ⁽²⁾	$	131	$	—	$	131	$	—
December 31, 2020
Credit Facility Interest Rate Swap ⁽³⁾	$	(481)	$	—	$	(481)	$	—
2026 Term Loan Interest Rate Swap ⁽¹⁾	$	—	$	—	$	—	$	—
2027 Term Loan Interest Rate Swap ⁽²⁾	$	—	$	—	$	—	$	—

(1)	Effective May 21, 2021, the Company utilized interest rate swaps to fix LIBOR and achieve a weighted average fixed interest rate of 0.81% plus the applicable spread on the $60.0 million 2026 Term Loan (hereinafter defined) balance.

(2)

Effective September 30, 2021, the Company utilized interest rate swaps, inclusive of its redesignation of the existing $50.0 million interest rate swap entered into as of April 30, 2020, to fix LIBOR and achieve a weighted average fixed interest rate of 0.53% plus the applicable spread on the $80.0 million 2027 Term Loan (hereinafter defined) balance. On September 30, 2021, the Company entered into an additional interest rate swap to extend the fixed interest rate through maturity on January 31, 2027.

(3)	Effective April 30, 2020, the Company utilized an interest rate swap to fix LIBOR and achieve a fixed interest rate of 0.48% plus the applicable spread on $50.0 million of the outstanding balance on the Credit Facility (hereinafter defined).