Derivative Financial Instruments
|9 Months Ended|
Sep. 30, 2022
|Derivative Instruments and Hedging Activities Disclosure [Abstract]|
|Derivative Financial Instruments||Derivative Financial Instruments
The Company uses derivative financial instruments to manage interest rate risk on its floating rate debt.
In connection with the mortgages obtained on the date of the Merger, as further described in Note 4 — Debt, the Company entered into interest rate derivative contracts to limit its exposure of interest rate risk. The following is a summary of the Company’s derivative financial instruments:
¹ Included in Prepaid expenses and other assets in the Consolidated Balance Sheets.
2 Included in Accounts payable, accrued expenses and other liabilities in the Consolidated Balance Sheets.
During the period from July 20, 2022 through September 30, 2022, the Company recognized a net gain on interest rate derivatives of $61,661. Gains and losses on interest rate derivatives are recorded in the line item Interest income (expense) in the Consolidated Statements of Operations.
There were no derivative instruments as of December 31, 2021 or for the period from January 1, 2022 through July 19, 2022.
No definition available.
The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef