Company: INRE
Filing Date: 2025-03-05
Form Type: 10-K
Source: 0000950170-25-033568
Chunk: 82

Company: Inland Real Estate Income Trust, Inc.
Filing Date: 2025-03-05
Form: 10-K
Item: Item 16
Chunk 82
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 an allowance for bad debts of $871.

NOTE 14 – FAIR VALUE MEASUREMENTSFair Value HierarchyThe Company defines fair value based on the price that it believes would be received upon sale of an asset or the exit price that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value. The fair value hierarchy consists of three broad levels, which are described below: 

      Level 1 −
       
      Quoted prices in active markets for identical assets or liabilities that the entity has the ability to access.

      Level 2 −
       
      Observable inputs, other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

      Level 3 −
       
      Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets and liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.
     
     The Company has estimated the fair value of its financial and non-financial instruments using available market information and valuation methodologies the Company believes to be appropriate for these purposes.Recurring Fair Value MeasurementsFor assets and liabilities measured at fair value on a recurring basis, the table below presents the fair value of the Company’s cash flow hedges as well as their classification on the consolidated balance sheets as of December 31, 2024 and 2023. 

        Fair Value

        Level 1

        Level 2

        Level 3

        Total

        December 31, 2024

        Interest rate swap agreements - Other assets
        $
        —

        $
        19,437

        $
        —

        $
        19,437

        Interest rate swap agreements - Other liabilities
        $
        —

        $
        —

        $
        —

        $
        —

        December 31, 2023

        Interest rate swap agreements - Other assets
        $
        —

        $
        23,285

        $
        —

        $
        23,285

        Interest rate swap agreements - Other liabilities
        $
        —

        $
        —

        $
        —

        $
        —

95

INLAND REAL ESTATE