Quarterly report pursuant to Section 13 or 15(d)

Consolidated Statements of Cash Flows

v3.3.0.814
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Cash flows from operating activities    
Revenues from real estate operations received $ 373,607 $ 358,212
Construction contract and other service revenues received 104,817 62,170
Property operating expenses paid (146,274) (141,489)
Construction contract and other service expenses paid (112,614) (58,218)
General, administrative, leasing, business development and land carry costs paid (29,620) (22,288)
Interest expense paid (46,278) (54,683)
Payments in connection with early extinguishment of debt (18) (104)
Interest and other income received 4,130 448
Income taxes (paid) refunded (8) 200
Net cash provided by operating activities 147,742 144,248
Cash flows from investing activities    
Acquisitions of operating properties and related intangible assets (202,866) 0
Construction, development and redevelopment (174,434) (150,862)
Tenant improvements on operating properties (18,129) (17,754)
Other capital improvements on operating properties (12,610) (21,179)
Proceeds from dispositions of properties 45,066 57,973
Investing receivables funded (22) (3,610)
Investing receivables payments received 5,114 10,278
Leasing costs paid (8,603) (10,549)
Increase in prepaid expenses and other assets associated with investing activities (4,348) (1,260)
Other (457) (83)
Net cash used in investing activities (371,289) (137,046)
Proceeds from debt    
Revolving Credit Facility 422,000 115,000
Unsecured senior notes 296,580 297,342
Other debt proceeds 50,000 11,569
Repayments of debt    
Revolving Credit Facility (418,000) (115,000)
Scheduled principal amortization (5,011) (4,914)
Other debt repayments (50,681) (183,059)
Deferred financing costs paid (5,377) (694)
Net proceeds from issuance of common shares/units 28,567 1,352
Redemption of preferred shares/units 0 (50,000)
Common share/unit dividends/distributions paid (77,641) (72,217)
Preferred share/unit dividends/distributions paid (10,657) (13,179)
Distributions paid to noncontrolling interests in COPLP (3,581) (3,786)
Redemption of vested equity awards (2,330) (1,389)
Other (2,559) (2,582)
Net cash provided by (used in) financing activities 221,310 (21,557)
Net decrease in cash and cash equivalents (2,237) (14,355)
Cash and cash equivalents    
Beginning of period 6,077 54,373
End of period 3,840 40,018
Reconciliation of net income to net cash provided by operating activities:    
Net income 126,261 39,269
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and other amortization 105,397 106,619
Impairment losses 3,779 1,371
Amortization of deferred financing costs 3,339 3,646
Increase in deferred rent receivable (11,939) (2,738)
Amortization of net debt discounts 805 659
Gain on sales of real estate (4,000) (10,654)
Share-based compensation 4,949 4,563
(Gain) loss on early extinguishment of debt (86,075) 458
Other 1,922 (2,446)
Operating changes in assets and liabilities:    
Decrease in accounts receivable 6,526 6,815
Increase in restricted cash and marketable securities (1,102) (2,591)
Increase in prepaid expenses and other assets, net (5,228) (26,553)
(Decrease) increase in accounts payable, accrued expenses and other liabilities (655) 24,247
Increase in rents received in advance and security deposits 3,763 1,583
Net cash provided by operating activities 147,742 144,248
Supplemental schedule of non-cash investing and financing activities:    
Decrease in accrued capital improvements, leasing and other investing activity costs (11,722) (174)
Debt assumed on acquisition of operating property 55,490 0
Other liabilities assumed on acquisition of operating properties 5,265 0
Decrease in property in connection with surrender of property in settlement of debt (82,738) 0
Decrease in debt in connection with surrender of property in settlement of debt (150,000) 0
Decrease in fair value of derivatives applied to accumulated other comprehensive loss and noncontrolling interests (4,263) (2,613)
Equity in other comprehensive loss of an equity method investee (264) 0
Dividends/distributions payable 30,182 28,344
Decrease in noncontrolling interests and increase in shareholders’ equity in connection with the conversion of common units into common shares 2,151 1,545
Adjustments to noncontrolling interests resulting from changes in COPLP ownership 591 248
Increase in redeemable noncontrolling interest and decrease in equity to carry redeemable noncontrolling interest at fair value 599 7
Corporate Office Properties, L.P.    
Cash flows from operating activities    
Revenues from real estate operations received 373,607 358,212
Construction contract and other service revenues received 104,817 62,170
Property operating expenses paid (146,274) (141,489)
Construction contract and other service expenses paid (112,614) (58,218)
General, administrative, leasing, business development and land carry costs paid (29,620) (22,288)
Interest expense paid (46,278) (54,683)
Payments in connection with early extinguishment of debt (18) (104)
Interest and other income received 4,130 448
Income taxes (paid) refunded (8) 200
Net cash provided by operating activities 147,742 144,248
Cash flows from investing activities    
Acquisitions of operating properties and related intangible assets (202,866) 0
Construction, development and redevelopment (174,434) (150,862)
Tenant improvements on operating properties (18,129) (17,754)
Other capital improvements on operating properties (12,610) (21,179)
Proceeds from dispositions of properties 45,066 57,973
Investing receivables funded (22) (3,610)
Investing receivables payments received 5,114 10,278
Leasing costs paid (8,603) (10,549)
Increase in prepaid expenses and other assets associated with investing activities (4,348) (1,260)
Other (457) (83)
Net cash used in investing activities (371,289) (137,046)
Proceeds from debt    
Revolving Credit Facility 422,000 115,000
Unsecured senior notes 296,580 297,342
Other debt proceeds 50,000 11,569
Repayments of debt    
Revolving Credit Facility (418,000) (115,000)
Scheduled principal amortization (5,011) (4,914)
Other debt repayments (50,681) (183,059)
Deferred financing costs paid (5,377) (694)
Net proceeds from issuance of common shares/units 28,567 1,352
Redemption of preferred shares/units 0 (50,000)
Common share/unit dividends/distributions paid (80,727) (75,508)
Preferred share/unit dividends/distributions paid (11,152) (13,674)
Redemption of vested equity awards (2,330) (1,389)
Other (2,559) (2,582)
Net cash provided by (used in) financing activities 221,310 (21,557)
Net decrease in cash and cash equivalents (2,237) (14,355)
Cash and cash equivalents    
Beginning of period 6,077 54,373
End of period 3,840 40,018
Reconciliation of net income to net cash provided by operating activities:    
Net income 126,261 39,269
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and other amortization 105,397 106,619
Impairment losses 3,779 1,371
Amortization of deferred financing costs 3,339 3,646
Increase in deferred rent receivable (11,939) (2,738)
Amortization of net debt discounts 805 659
Gain on sales of real estate (4,000) (10,654)
Share-based compensation 4,949 4,563
(Gain) loss on early extinguishment of debt (86,075) 458
Other 1,922 (2,446)
Operating changes in assets and liabilities:    
Decrease in accounts receivable 6,526 6,815
Increase in restricted cash and marketable securities (1,485) (2,558)
Increase in prepaid expenses and other assets, net (5,228) (26,553)
(Decrease) increase in accounts payable, accrued expenses and other liabilities (272) 24,214
Increase in rents received in advance and security deposits 3,763 1,583
Net cash provided by operating activities 147,742 144,248
Supplemental schedule of non-cash investing and financing activities:    
Decrease in accrued capital improvements, leasing and other investing activity costs (11,722) (174)
Debt assumed on acquisition of operating property 55,490 0
Other liabilities assumed on acquisition of operating properties 5,265 0
Decrease in property in connection with surrender of property in settlement of debt (82,738) 0
Decrease in debt in connection with surrender of property in settlement of debt (150,000) 0
Decrease in fair value of derivatives applied to accumulated other comprehensive loss and noncontrolling interests (4,263) (2,613)
Equity in other comprehensive loss of an equity method investee (264) 0
Dividends/distributions payable 30,182 28,344
Increase in redeemable noncontrolling interest and decrease in equity to carry redeemable noncontrolling interest at fair value $ 599 $ 7