EXHIBIT 99.1

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Corporate Office Properties Trust
Summary Description


The Company: Corporate Office Properties Trust (the “Company” or “COPT”) is a self-managed real estate investment trust (“REIT”). COPT is listed on the New York Stock Exchange under the symbol “OFC” and is an S&P MidCap 400 Company. We own, manage, lease, develop and selectively acquire office and data center properties. The majority of our portfolio is in locations that support the United States Government and its contractors, most of whom are engaged in national security, defense and information technology (“IT”) related activities servicing what we believe are growing, durable, priority missions; we refer to these properties as Defense/IT Locations. We also own a portfolio of office properties located in select urban/urban-like submarkets in the Greater Washington, DC/Baltimore region with durable Class-A office fundamentals and characteristics; these properties are included in a segment referred to as Regional Office Properties. As of December 31, 2020, we derived 87% of our core portfolio annualized rental revenue from Defense/IT Locations and 13% from Regional Office Properties. As of December 31, 2020, our core portfolio of 179 office and data center shell properties, including 17 owned through unconsolidated joint ventures, encompassed 20.8 million square feet and was 95.0% leased. As of the same date, we also owned a wholesale data center with a critical load of 19.25 megawatts that was 86.7% leased.
Management:Investor Relations:
Stephen E. Budorick, President & CEOStephanie Krewson-Kelly, VP of IR
Todd Hartman, EVP & COO
443-285-5453, stephanie.kelly@copt.com
Anthony Mifsud, EVP & CFOMichelle Layne, Manager of IR
443-285-5452, michelle.layne@copt.com
 
Corporate Credit Rating: Fitch: BBB- Stable; Moody’s: Baa3 Stable; and S&P: BBB- Stable

Disclosure Statement: This supplemental package contains forward-looking statements within the meaning of the Federal securities laws. Forward-looking statements can be identified by the use of words such as “may,” “will,” “should,” “could,” “believe,” “anticipate,” “expect,” “estimate,” “plan” or other comparable terminology.  Forward-looking statements are inherently subject to risks and uncertainties, many of which we cannot predict with accuracy and some of which we might not even anticipate.  Although we believe that the expectations, estimates and projections reflected in such forward-looking statements are based on reasonable assumptions at the time made, we can give no assurance that these expectations, estimates and projections will be achieved.  Future events and actual results may differ materially from those discussed in the forward-looking statements and we undertake no obligation to update or supplement any forward-looking statements.  The areas of risk that may affect these expectations, estimates and projections include, but are not limited to, those risks described in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2019 and subsequent Quarterly Reports on Form 10-Q. 
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Corporate Office Properties Trust
Equity Research Coverage
Firm Senior Analyst Phone Email
Bank of America Securities Jamie Feldman 646-855-5808 james.feldman@bofa.com
BTIGTom Catherwood212-738-6410tcatherwood@btig.com
Capital One SecuritiesChris Lucas571-633-8151christopher.lucas@capitalone.com
Citigroup Global Markets Manny Korchman 212-816-1382 emmanuel.korchman@citi.com
Evercore ISISteve Sakwa212-446-9462steve.sakwa@evercoreisi.com
Green Street  Daniel Ismail 949-640-8780 dismail@greenstreet.com
Jefferies & Co. Peter Abramowitz 212-336-7241 pabramowitz@jefferies.com
JP Morgan Tony Paolone 212-622-6682 anthony.paolone@jpmorgan.com
KeyBanc Capital Markets Craig Mailman 917-368-2316 cmailman@key.com
Mizuho Securities USA Inc.Tayo Okusanya646-949-9672omotayo.okusanya@mizuhogroup.com
Raymond James Bill Crow 727-567-2594 bill.crow@raymondjames.com
Robert W. Baird & Co., Inc. Dave Rodgers 216-737-7341 drodgers@rwbaird.com
SMBC Nikko Securities America, Inc.Rich Anderson646-521-2351randerson@smbcnikko-si.com
Truist Securities Michael Lewis 212-319-5659 michael.r.lewis@truist.com
Wells Fargo SecuritiesBlaine Heck443-263-6529blaine.heck@wellsfargo.com
 
With the exception of Green Street, the above-listed firms are those whose analysts publish research material on the Company and whose estimates of our FFO per share can be tracked through Thomson’s First Call Corporation. Any opinions, estimates, or forecasts the above analysts make regarding COPT’s future performance are their own and do not represent the views, estimates, or forecasts of COPT’s management.
2

Corporate Office Properties Trust
Selected Financial Summary Data
(in thousands, except per share data)
 PageThree Months EndedYears Ended
SUMMARY OF RESULTS Refer.12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Net income (loss)6$83,549 $(31,342)$25,121 $25,550 $44,877 $102,878 $200,004 
NOI from real estate operations13$89,304 $84,643 $84,059 $83,830 $82,504 $341,836 $335,025 
Same Properties NOI16$73,155 $71,350 $72,212 $72,578 $72,887 $289,295 $288,477 
Same Properties cash NOI17$74,240 $71,608 $73,527 $72,708 $74,223 $292,083 $287,589 
Adjusted EBITDA10$82,298 $80,062 $78,582 $77,989 $76,024 $318,931 $311,277 
Diluted AFFO avail. to common share and unit holders
9$56,792 $50,340 $46,690 $41,495 $40,270 $195,317 $176,247 
Dividend per common shareN/A$0.275 $0.275 $0.275 $0.275 $0.275 $1.100 $1.100 
Per share - diluted:      
EPS8$0.73 $(0.29)$0.21 $0.21 $0.38 $0.87 $1.71 
FFO - Nareit8$0.53 $0.04 $0.51 $0.41 $0.49 $1.50 $2.02 
FFO - as adjusted for comparability8$0.56 $0.54 $0.51 $0.51 $0.50 $2.12 $2.03 
Numerators for diluted per share amounts:
Diluted EPS6$81,501 $(31,990)$23,388 $23,957 $42,664 $96,970 $191,201 
Diluted FFO available to common share and unit holders
7$60,137 $5,069 $57,809 $46,706 $56,032 $169,728 $228,514 
Diluted FFO available to common share and unit holders, as adjusted for comparability
7$64,188 $61,485 $57,817 $57,866 $56,330 $241,356 $229,344 
Payout ratios:      
Diluted FFON/A51.8%613.6%53.9%66.6%55.6%73.3%54.4%
Diluted FFO - as adjusted for comparabilityN/A48.6%50.7%53.9%53.9%55.3%51.7%54.2%
Diluted AFFO
N/A54.9%61.9%66.8%75.1%77.3%63.8%70.5%
CAPITALIZATION     
Total Market Capitalization28$5,062,432 $4,898,459 $4,908,346 $4,609,280 $5,182,065 
Total Equity Market Capitalization28$2,960,967 $2,701,186 $2,885,245 $2,520,400 $3,339,258 
Gross debt29$2,127,715 $2,247,523 $2,073,351 $2,139,130 $1,893,057 
Net debt to adjusted book3139.1%41.0%38.6%38.2%36.8%N/AN/A
Net debt plus preferred equity to adjusted book3139.1%41.1%38.8%38.3%37.0%N/AN/A
Adjusted EBITDA fixed charge coverage ratio314.1x3.9x3.8x3.8x3.7x3.9x3.7x
Net debt plus pref. equity to in-place adj. EBITDA ratio316.2x6.8x6.4x6.3x6.1xN/AN/A


3

Corporate Office Properties Trust
Selected Portfolio Data (1)
 12/31/209/30/206/30/203/31/2012/31/19
Operating Office and Data Center Shell Properties
# of Properties
Total Portfolio181176174171170
Consolidated Portfolio164161159156155
Core Portfolio179174172169168
Same Properties144144144144144
% Occupied
Total Portfolio94.1 %93.8 %93.4 %93.7 %92.9 %
Consolidated Portfolio93.2 %93.0 %92.5 %92.8 %91.9 %
Core Portfolio 94.3 %94.0 %93.6 %94.0 %93.1 %
Same Properties92.1 %91.9 %91.6 %92.0 %91.1 %
% Leased
Total Portfolio94.8 %94.4 %94.5 %94.9 %94.4 %
Consolidated Portfolio94.0 %93.6 %93.7 %94.2 %93.6 %
Core Portfolio 95.0 %94.6 %94.7 %95.2 %94.6 %
Same Properties93.1 %92.6 %93.0 %93.6 %93.0 %
Square Feet (in thousands)
Total Portfolio20,95920,38919,78119,37819,173
Consolidated Portfolio18,20917,94017,34616,94316,739
Core Portfolio20,80220,23219,62419,22119,016
Same Properties15,29315,29315,29315,29315,293
Wholesale Data Center
Megawatts Operational19.2519.2519.2519.2519.25
% Leased 86.7 %86.7 %90.6 %76.9 %76.9 %

(1)Total and core portfolio include properties owned through unconsolidated real estate joint ventures (see page 33).
4

Corporate Office Properties Trust
Consolidated Balance Sheets
(in thousands)
 12/31/209/30/206/30/203/31/2012/31/19
Assets     
Properties, net:     
Operating properties, net$3,115,280 $2,999,892 $2,888,817 $2,813,949 $2,772,647 
Development and redevelopment in progress, including land (1)172,614 302,158 315,243 300,836 274,639 
Land held (1)274,655 284,888 309,039 304,843 293,600 
Total properties, net3,562,549 3,586,938 3,513,099 3,419,628 3,340,886 
Property - operating right-of-use assets 40,570 36,442 31,009 27,793 27,864 
Property - finance right-of-use assets 40,425 40,432 40,441 40,450 40,458 
Cash and cash equivalents18,369 11,458 21,596 159,061 14,733 
Investment in unconsolidated real estate joint ventures29,303 49,662 50,457 51,220 51,949 
Accounts receivable, net41,637 36,151 30,404 30,317 35,444 
Deferred rent receivable 92,876 92,853 90,493 89,690 87,736 
Intangible assets on real estate acquisitions, net19,344 22,433 24,768 26,078 27,392 
Deferred leasing costs, net 58,613 59,392 58,666 58,608 58,392 
Investing receivables, net68,754 74,136 72,333 71,197 73,523 
Prepaid expenses and other assets, net104,583 110,292 78,059 80,415 96,076 
Total assets$4,077,023 $4,120,189 $4,011,325 $4,054,457 $3,854,453 
Liabilities and equity     
Liabilities:     
Debt $2,086,918 $2,181,551 $2,012,019 $2,076,839 $1,831,139 
Accounts payable and accrued expenses142,717 140,921 149,836 128,441 148,746 
Rents received in advance and security deposits33,425 30,276 30,459 33,323 33,620 
Dividends and distributions payable31,231 31,307 31,302 31,301 31,263 
Deferred revenue associated with operating leases10,832 8,579 8,821 6,972 7,361 
Property - operating lease liabilities30,746 26,382 20,796 17,365 17,317 
Interest rate derivatives9,522 10,977 65,612 63,232 25,682 
Other liabilities12,490 17,038 12,408 8,886 10,649 
Total liabilities2,357,881 2,447,031 2,331,253 2,366,359 2,105,777 
Redeemable noncontrolling interests25,430 23,522 23,148 22,912 29,431 
Equity:   
COPT’s shareholders’ equity:   
Common shares1,122 1,122 1,122 1,122 1,121 
Additional paid-in capital2,478,906 2,479,321 2,477,977 2,476,677 2,481,558 
Cumulative distributions in excess of net income(809,836)(860,647)(797,959)(790,600)(778,275)
Accumulated other comprehensive loss(9,157)(10,548)(64,513)(62,201)(25,444)
Total COPT’s shareholders’ equity1,661,035 1,609,248 1,616,627 1,624,998 1,678,960 
Noncontrolling interests in subsidiaries:     
Common units in the Operating Partnership20,465 19,522 19,611 19,600 19,597 
Preferred units in the Operating Partnership (2)— 8,800 8,800 8,800 8,800 
Other consolidated entities12,212 12,066 11,886 11,788 11,888 
Total noncontrolling interests in subsidiaries32,677 40,388 40,297 40,188 40,285 
Total equity1,693,712 1,649,636 1,656,924 1,665,186 1,719,245 
Total liabilities, redeemable noncontrolling interests and equity$4,077,023 $4,120,189 $4,011,325 $4,054,457 $3,854,453 
(1)Refer to pages 25 and 27 for detail.
(2)These units were redeemed on 12/21/20 for $8.8 million plus accrued and unpaid distributions of return thereon up to the date of redemption.
5

Corporate Office Properties Trust
Consolidated Statements of Operations
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Revenues     
Lease revenue$139,093 $133,875 $132,147 $131,012 $130,693 $536,127 $522,472 
Other property revenue535 568 391 1,104 1,275 2,598 4,991 
Construction contract and other service revenues24,400 20,323 12,236 13,681 25,817 70,640 113,763 
Total revenues164,028 154,766 144,774 145,797 157,785 609,365 641,226 
Operating expenses     
Property operating expenses52,085 51,552 50,204 49,999 51,098 203,840 198,143 
Depreciation and amortization associated with real estate operations36,653 35,332 33,612 32,596 32,779 138,193 137,069 
Construction contract and other service expenses23,563 19,220 11,711 13,121 24,832 67,615 109,962 
Impairment losses— 1,530 — — 1,530 329 
General and administrative expenses7,897 5,558 6,511 5,303 7,043 25,269 27,517 
Leasing expenses1,993 1,909 1,647 2,183 2,293 7,732 7,885 
Business development expenses and land carry costs999 1,094 1,262 1,118 1,292 4,473 4,239 
Total operating expenses123,190 116,195 104,947 104,320 119,339 448,652 485,144 
Interest expense(17,148)(17,152)(16,797)(16,840)(16,777)(67,937)(71,052)
Interest and other income3,341 1,746 2,282 1,205 1,917 8,574 7,894 
Credit loss recoveries (expense) (1)772 1,465 (615)(689)— 933 — 
Gain on sales of real estate30,204 — — 20,761 30,209 105,230 
Gain on sale of investment in unconsolidated real estate joint venture29,416 — — — — 29,416 — 
Loss on early extinguishment of debt(4,069)(3,237)— — — (7,306)— 
Loss on interest rate derivatives— (53,196)— — — (53,196)— 
Income (loss) before equity in income of unconsolidated entities and income taxes83,354 (31,803)24,697 25,158 44,347 101,406 198,154 
Equity in income of unconsolidated entities453 477 454 441 426 1,825 1,633 
Income tax (expense) benefit(258)(16)(30)(49)104 (353)217 
Net income (loss)83,549 (31,342)25,121 25,550 44,877 102,878 200,004 
Net (income) loss attributable to noncontrolling interests:     
Common units in the Operating Partnership(995)386 (284)(287)(500)(1,180)(2,363)
Preferred units in the Operating Partnership(69)(77)(77)(77)(77)(300)(564)
Other consolidated entities(817)(812)(1,263)(1,132)(1,515)(4,024)(5,385)
Net income (loss) attributable to COPT common shareholders$81,668 $(31,845)$23,497 $24,054 $42,785 $97,374 $191,692 
Distributions on dilutive convertible preferred units69 — — — — — — 
Redeemable noncontrolling interests44 — — — 33 — 132 
Amount allocable to share-based compensation awards(280)(145)(109)(97)(154)(404)(623)
Numerator for diluted EPS$81,501 $(31,990)$23,388 $23,957 $42,664 $96,970 $191,201 

(1)Excludes credit losses on lease revenue, which are included in lease revenue.
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Corporate Office Properties Trust
Funds from Operations
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Net income (loss)$83,549 $(31,342)$25,121 $25,550 $44,877 $102,878 $200,004 
Real estate-related depreciation and amortization36,653 35,332 33,612 32,596 32,779 138,193 137,069 
Impairment losses on real estate
— 1,530 — — 1,530 329 
Gain on sales of real estate(30,204)— — (5)(20,761)(30,209)(105,230)
Gain on sale of investment in unconsolidated real estate JV(29,416)— — — — (29,416)— 
Depreciation and amortization on unconsolidated real estate JVs (1)874 819 818 818 781 3,329 2,703 
FFO - per Nareit (2)(3)61,456 6,339 59,551 58,959 57,678 186,305 234,875 
Noncontrolling interests - preferred units in the Operating Partnership(69)(77)(77)(77)(77)(300)(564)
FFO allocable to other noncontrolling interests (4)(5)(1,091)(1,074)(1,525)(12,015)(1,436)(15,705)(5,024)
Basic FFO allocable to share-based compensation awards(272)(119)(254)(193)(243)(719)(905)
Basic FFO available to common share and common unit holders (3)60,024 5,069 57,695 46,674 55,922 169,581 228,382 
Dilutive preferred units in the Operating Partnership69 — 77 — 77 — — 
Redeemable noncontrolling interests44 — 37 32 33 147 132 
Diluted FFO available to common share and common unit holders - per Nareit (3)
60,137 5,069 57,809 46,706 56,032 169,728 228,514 
Loss on early extinguishment of debt4,069 3,237 — — — 7,306 — 
Loss on interest rate derivatives— 53,196 — — — 53,196 — 
Demolition costs on redevelopment and nonrecurring improvements— 11 43 104 63 148 
Executive transition costs— — — — — — 
Non-comparable professional and legal expenses— — — — 195 — 681 
Dilutive preferred units in the Operating Partnership— 77 — 77 — 300 — 
FFO allocation to other noncontrolling interests resulting from capital event (4)(5)— — — 11,090 — 11,090 — 
Diluted FFO comparability adjustments for redeemable noncontrolling interests— 34 — — — — — 
Diluted FFO comparability adjustments allocable to share-based compensation awards
(18)(139)(1)(50)(1)(327)(3)
Diluted FFO available to common share and common unit holders, as adjusted for comparability (3)
$64,188 $61,485 $57,817 $57,866 $56,330 $241,356 $229,344 

(1)FFO adjustment pertaining to COPT’s share of unconsolidated real estate joint ventures reported on page 33.
(2)See reconciliation on page 34 for components of FFO per Nareit.
(3)Refer to the section entitled “Definitions” for a definition of this measure.
(4)Pertains to noncontrolling interests in consolidated real estate joint ventures reported on page 32.
(5)FFO allocations to other noncontrolling interests for the quarter ended 3/31/20 included an additional allocation resulting from a special distribution of loan proceeds to our partner in a JV resulting from the JV closing on a loan coupled with an amendment to the JV agreement that changed the allocation of cash flows between us and our partner; this additional allocation was excluded from diluted FFO available to common share and common unit holders, as adjusted for comparability.
7

Corporate Office Properties Trust
Diluted Share and Unit Computations
(in thousands, except per share data)

 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
EPS Denominator:     
Weighted average common shares - basic111,817 111,811 111,800 111,724 111,670 111,788 111,196 
Dilutive effect of share-based compensation awards
320 — 321 239 293 288 308 
Dilutive effect of redeemable noncontrolling interests
117 — — — 108 — 119 
Dilutive convertible preferred units155 — — — — — — 
Weighted average common shares - diluted112,409 111,811 112,121 111,963 112,071 112,076 111,623 
Diluted EPS$0.73 $(0.29)$0.21 $0.21 $0.38 $0.87 $1.71 
Weighted Average Shares for period ended:       
Common shares111,817 111,811 111,800 111,724 111,670 111,788 111,196 
Dilutive effect of share-based compensation awards
320 274 321 239 293 288 308 
Common units
1,239 1,240 1,237 1,226 1,228 1,236 1,299 
Redeemable noncontrolling interests117 — 157 110 108 123 119 
Dilutive convertible preferred units155 — 176 — 176 — — 
Denominator for diluted FFO per share
113,648 113,325 113,691 113,299 113,475 113,435 112,922 
Dilutive convertible preferred units— 176 — 176 — 171 — 
Redeemable noncontrolling interests— 109 — — — — — 
Denominator for diluted FFO per share, as adjusted for comparability113,648 113,610 113,691 113,475 113,475 113,606 112,922 
Weighted average common units(1,239)(1,240)(1,237)(1,226)(1,228)(1,236)(1,299)
Redeemable noncontrolling interests— (109)(157)(110)— (123)— 
Anti-dilutive EPS effect of share-based compensation awards— (274)— — — — — 
Dilutive convertible preferred units— (176)(176)(176)(176)(171)— 
Denominator for diluted EPS112,409 111,811 112,121 111,963 112,071 112,076 111,623 
Diluted FFO per share - Nareit$0.53 $0.04 $0.51 $0.41 $0.49 $1.50 $2.02 
Diluted FFO per share - as adjusted for comparability$0.56 $0.54 $0.51 $0.51 $0.50 $2.12 $2.03 




8

Corporate Office Properties Trust
Adjusted Funds from Operations
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Diluted FFO available to common share and common unit holders, as adjusted for comparability
$64,188 $61,485 $57,817 $57,866 $56,330 $241,356 $229,344 
Straight line rent adjustments and lease incentive amortization3,438 (1,009)2,523 (852)1,386 4,100 255 
Amortization of intangibles and other assets included in NOI24 (39)(73)(74)(174)(162)(221)
Share-based compensation, net of amounts capitalized1,751 1,727 1,638 1,389 1,735 6,505 6,728 
Amortization of deferred financing costs664 658 642 575 541 2,539 2,136 
Amortization of net debt discounts, net of amounts capitalized504 453 390 386 382 1,733 1,503 
Accum. other comprehensive loss on derivatives amortized to expense— — — — — — 79 
Replacement capital expenditures (1)(13,973)(13,085)(16,132)(17,754)(19,862)(60,944)(63,789)
Other diluted AFFO adjustments associated with real estate JVs (2)
196 150 (115)(41)(68)190 212 
Diluted AFFO available to common share and common unit holders (“diluted AFFO”)
$56,792 $50,340 $46,690 $41,495 $40,270 $195,317 $176,247 
Replacement capital expenditures (1)     
Tenant improvements and incentives$9,165 $6,950 $8,870 $11,357 $11,447 $36,342 $38,047 
Building improvements7,523 10,400 13,662 2,475 8,826 34,060 26,598 
Leasing costs1,514 1,934 2,222 2,762 2,998 8,432 11,663 
Net (exclusions from) additions to tenant improvements and incentives(370)(943)329 2,026 (426)1,042 (2,292)
Excluded building improvements and leasing costs(3,859)(5,256)(8,951)(866)(2,983)(18,932)(10,227)
Replacement capital expenditures$13,973 $13,085 $16,132 $17,754 $19,862 $60,944 $63,789 

(1)Refer to the section entitled “Definitions” for a definition of this measure.
(2)AFFO adjustments pertaining to noncontrolling interests on consolidated joint ventures reported on page 32 and COPT’s share of unconsolidated real estate joint ventures reported on page 33.
9

Corporate Office Properties Trust
EBITDAre and Adjusted EBITDA
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Net income (loss)$83,549 $(31,342)$25,121 $25,550 $44,877 $102,878 $200,004 
Interest expense17,148 17,152 16,797 16,840 16,777 67,937 71,052 
Income tax expense (benefit)258 16 30 49 (104)353 (217)
Real estate-related depreciation and amortization36,653 35,332 33,612 32,596 32,779 138,193 137,069 
Other depreciation and amortization513 457 448 419 438 1,837 1,834 
Impairment losses on real estate— 1,530 — — 1,530 329 
Gain on sales of real estate(30,204)— — (5)(20,761)(30,209)(105,230)
Gain on sale of investment in unconsolidated real estate JV(29,416)— — — — (29,416)— 
Adjustments from unconsolidated real estate JVs1,306 1,274 1,270 1,270 1,206 5,120 4,065 
EBITDAre79,807 24,419 77,278 76,719 75,214 $258,223 $308,906 
Loss on early extinguishment of debt4,069 3,237 — — — 7,306 — 
Loss on interest rate derivatives— 53,196 — — — 53,196 — 
Net (gain) loss on other investments(1,218)250 — (1)(966)(401)
Credit loss (recoveries) expense(772)(1,465)615 689 — (933)— 
Business development expenses412 414 678 538 512 2,042 1,939 
Non-comparable professional and legal expenses
— — — — 195 — 681 
Demolition costs on redevelopment and nonrecurring improvements— 11 43 104 63 148 
Executive transition costs— — — — — — 
Adjusted EBITDA82,298 80,062 78,582 77,989 76,024 $318,931 $311,277 
Proforma NOI adjustment for property changes within period1,459 1,631 959 734 463 
Change in collectability of deferred rental revenue678 224 1,007 — 928 
In-place adjusted EBITDA$84,435 $81,917 $80,548 $78,723 $77,415 

10

Corporate Office Properties Trust
Office and Data Center Shell Properties by Segment (1) - 12/31/20
(square feet in thousands)
# of
Properties
Operational
Square Feet
% Occupied% Leased
Core Portfolio: (2)
Defense/IT Locations:
Fort Meade/Baltimore Washington (“BW”) Corridor:
    
National Business Park
31 3,821 91.7%93.7%
Howard County
35 2,857 89.5%91.1%
Other
23 1,679 92.2%93.0%
Total Fort Meade/BW Corridor
89 8,357 91.0%92.6%
Northern Virginia (“NoVA”) Defense/IT
13 1,992 88.1%88.1%
Lackland AFB (San Antonio, Texas)
953 100.0%100.0%
Navy Support
21 1,241 97.2%97.6%
Redstone Arsenal (Huntsville, Alabama)
15 1,454 99.4%99.6%
Data Center Shells:
Consolidated Properties
1,990 100.0%100.0%
Unconsolidated JV Properties (3)
17 2,749 100.0%100.0%
Total Defense/IT Locations
171 18,736 94.5%95.3%
Regional Office
2,066 92.5%93.0%
Core Portfolio179 20,802 94.3%95.0%
Other Properties157 68.4%68.4%
Total Portfolio181 20,959 94.1%94.8%
Consolidated Portfolio164 18,209 93.2%94.0%

(1)This presentation sets forth core portfolio data by segment followed by data for the remainder of the portfolio.
(2)Represents Defense/IT Locations and Regional Office properties.
(3)See page 33 for additional disclosure regarding our unconsolidated real estate joint ventures.



11

Corporate Office Properties Trust
NOI from Real Estate Operations and Occupancy by Property Grouping - 12/31/20
(dollars and square feet in thousands)
 As of Period End 
# of Office and Data Center Shell
Properties
Operational Square Feet% Occupied (1)% Leased (1)Annualized
Rental Revenue (2)
% of Total
Annualized
Rental Revenue (2)
NOI from Real Estate Operations
Property GroupingThree Months EndedYear Ended
Core Portfolio:
Same Properties (3)142 15,136 92.3%93.3%$481,752 88.2 %$72,804 $287,743 
Properties Placed in Service (4)20 2,917 99.3%99.3%58,180 10.6 %9,763 28,078 
Properties included in unconsol. real estate JVs (5)17 2,749 100.0%100.0%3,842 0.7 %2,121 10,847 
Wholesale Data Center and Other
N/AN/AN/AN/AN/AN/A4,265 13,616 
Total Core Portfolio179 20,802 94.3%95.0%543,774 99.5 %88,953 340,284 
Other Properties (Same Properties) (3)157 68.4%68.4%2,623 0.5 %351 1,552 
Total Portfolio 181 20,959 94.1%94.8%$546,397 100.0 %$89,304 $341,836 
Consolidated Portfolio164 18,209 93.2%94.0%$542,555 99.3 %$87,543 $334,885 
As of Period End
# of Office and Data Center Shell
Properties
Operational Square Feet% Occupied (1)% Leased (1)Annualized
Rental Revenue (2)
% of Core
Annualized
Rental Revenue (2)
NOI from Real Estate Operations
Property GroupingThree Months EndedYear Ended
Core Portfolio:
Defense/IT Locations: (6)
Consolidated properties
154 15,987 93.5%94.4%$471,846 86.8 %$74,777 $288,142 
Unconsolidated real estate JVs (5)17 2,749 100.0%100.0%3,842 0.7 %1,761 6,951 
Total Defense/IT Locations171 18,736 94.5%95.3%475,688 87.5 %76,538 295,093 
Regional Office2,066 92.5%93.0%68,086 12.5 %8,155 31,483 
Wholesale Data Center and OtherN/AN/AN/AN/AN/AN/A4,260 13,708 
Total Core Portfolio179 20,802 94.3%95.0%$543,774 100.0 %$88,953 $340,284 
(1)Percentages calculated based on operational square feet.
(2)Excludes Annualized Rental Revenue from our wholesale data center, DC-6, of $24.6 million as of 12/31/20. With regard to properties owned through unconsolidated real estate joint ventures, we include the portion of Annualized Rental Revenue allocable to COPT’s ownership interest.
(3)Includes office and data center shell properties stably owned and 100% operational since at least 1/1/19.
(4)Newly developed or redeveloped properties placed in service that were not fully operational by 1/1/19.
(5)Includes our data center shell properties owned through unconsolidated real estate JVs as of 12/31/20, including: nine owned through a JV formed in 2019; two in which we sold a 90% interest on 10/30/20, retaining a 10% interest through a newly-formed JV; and six included in our Same Properties pool last quarter in which our ownership decreased on 12/22/20 from 50% to 10%. See page 33 for additional disclosure regarding our unconsolidated real estate JVs.
(6)For the two data center shell properties in which we sold a 90% interest and retained a 10% interest through a newly-formed unconsolidated real estate joint venture on 10/30/20, the activity associated with these properties prior to the sale is included in consolidated properties and the activity thereafter is included in unconsolidated real estate JVs.
12

Corporate Office Properties Trust
Consolidated Real Estate Revenues and NOI by Segment
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Consolidated real estate revenues     
Defense/IT Locations:
Fort Meade/BW Corridor$63,733 $63,328 $62,698 $64,438 $65,003 $254,197 $252,781 
NoVA Defense/IT14,993 14,699 14,447 13,678 13,448 57,817 55,742 
Lackland Air Force Base13,047 12,602 13,257 12,076 14,772 50,982 51,140 
Navy Support8,403 8,006 8,119 8,341 8,136 32,869 32,659 
Redstone Arsenal7,113 6,079 4,647 4,676 4,515 22,515 16,593 
Data Center Shells-Consolidated8,491 7,995 7,076 5,577 4,680 29,139 26,571 
Total Defense/IT Locations115,780 112,709 110,244 108,786 110,554 447,519 435,486 
Regional Office15,092 14,913 15,162 15,460 14,252 60,627 59,611 
Wholesale Data Center8,093 6,068 6,455 7,172 6,409 27,788 29,405 
Other663 753 677 698 753 2,791 2,961 
Consolidated real estate revenues$139,628 $134,443 $132,538 $132,116 $131,968 $538,725 $527,463 
NOI     
Defense/IT Locations:
Fort Meade/BW Corridor$42,319 $41,791 $41,839 $43,216 $44,610 $169,165 $169,966 
NoVA Defense/IT9,437 9,454 9,112 8,493 8,620 36,496 35,963 
Lackland Air Force Base5,688 5,486 5,472 5,281 5,486 21,927 22,098 
Navy Support5,248 4,962 4,948 5,056 4,828 20,214 19,080 
Redstone Arsenal4,482 4,050 3,035 2,829 2,744 14,396 9,967 
Data Center Shells:
Consolidated properties
7,603 7,134 6,287 4,920 4,348 25,944 24,609 
COPT’s share of unconsolidated real estate JVs1,761 1,752 1,725 1,713 1,634 6,951 5,705 
Total Defense/IT Locations76,538 74,629 72,418 71,508 72,270 295,093 287,388 
Regional Office8,155 7,131 8,274 7,923 6,919 31,483 29,929 
Wholesale Data Center4,260 2,426 2,992 3,939 3,026 13,617 16,192 
Other351 457 375 460 289 1,643 1,516 
NOI from real estate operations$89,304 $84,643 $84,059 $83,830 $82,504 $341,836 $335,025 

13

Corporate Office Properties Trust
Cash NOI by Segment
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Cash NOI     
Defense/IT Locations:
Fort Meade/BW Corridor$42,430 $41,365 $41,968 $42,170 $43,939 $167,933 $168,979 
NoVA Defense/IT9,519 9,410 9,610 9,118 8,963 37,657 34,555 
Lackland Air Force Base6,006 5,929 5,903 5,701 5,906 23,539 22,859 
Navy Support5,376 5,130 5,248 5,146 4,987 20,900 19,693 
Redstone Arsenal4,383 2,848 2,580 2,494 2,377 12,305 9,229 
Data Center Shells:
Consolidated properties
6,588 6,234 5,505 4,316 3,762 22,643 22,328 
COPT’s share of unconsolidated real estate JVs1,668 1,655 1,641 1,633 1,553 6,597 5,428 
Total Defense/IT Locations75,970 72,571 72,455 70,578 71,487 291,574 283,071 
Regional Office8,156 7,045 8,078 7,479 7,606 30,758 29,319 
Wholesale Data Center4,320 2,480 3,005 3,848 3,162 13,653 15,036 
Other356 438 358 457 292 1,609 1,662 
Cash NOI from real estate operations88,802 82,534 83,896 82,362 82,547 337,594 329,088 
Straight line rent adjustments and lease incentive amortization
(3,361)861 (2,537)842 (1,488)(4,195)(1,022)
Amortization of acquired above- and below-market rents99 98 97 96 197 390 312 
Amortization of intangibles and other assets to property operating expenses(122)(60)(22)(23)(23)(227)(92)
Lease termination fees, gross398 610 376 104 436 1,488 4,256 
Tenant funded landlord assets and lease incentives3,395 504 2,164 369 754 6,432 2,206 
Cash NOI adjustments in unconsolidated real estate JVs93 96 85 80 81 354 277 
NOI from real estate operations$89,304 $84,643 $84,059 $83,830 $82,504 $341,836 $335,025 

14

Corporate Office Properties Trust
Same Properties (1) Average Occupancy Rates by Segment 
(square feet in thousands)
 # of PropertiesOperational Square FeetThree Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Core Portfolio:
Defense/IT Locations:
Fort Meade/BW Corridor86 8,124 91.1 %90.8 %91.2 %92.2 %92.1 %91.3 %91.1 %
NoVA Defense/IT13 1,992 88.4 %88.4 %87.0 %83.9 %82.4 %86.9 %86.5 %
Lackland Air Force Base953 100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %
Navy Support21 1,241 96.9 %94.6 %94.0 %93.6 %92.4 %94.8 %90.9 %
Redstone Arsenal651 98.9 %99.7 %99.6 %99.4 %99.2 %99.4 %98.8 %
Data Center Shells216 100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %100.0 %
Total Defense/IT Locations
135 13,177 92.4 %92.0 %92.0 %92.1 %91.7 %92.1 %91.6 %
Regional Office
1,959 92.1 %92.1 %92.0 %90.6 %88.0 %91.7 %88.4 %
Core Portfolio Same Properties142 15,136 92.4 %92.0 %92.0 %91.9 %91.3 %92.1 %91.2 %
Other Same Properties157 68.4 %68.4 %65.8 %67.4 %72.4 %67.5 %72.7 %
Total Same Properties144 15,293 92.1 %91.8 %91.7 %91.7 %91.1 %91.8 %91.0 %

Same Properties (1) Period End Occupancy Rates by Segment 
(square feet in thousands)
 # of PropertiesOperational Square FeetThree Months Ended
 12/31/209/30/206/30/203/31/2012/31/19
Core Portfolio:
Defense/IT Locations:
Fort Meade/BW Corridor
86 8,124 91.0 %90.8 %91.0 %92.3 %92.3 %
NoVA Defense/IT
13 1,992 88.1 %88.5 %87.0 %85.5 %82.4 %
Lackland Air Force Base
953 100.0 %100.0 %100.0 %100.0 %100.0 %
Navy Support
21 1,241 97.2 %95.6 %93.9 %94.0 %92.5 %
Redstone Arsenal
651 98.6 %99.0 %99.6 %99.6 %99.2 %
Data Center Shells216 100.0 %100.0 %100.0 %100.0 %100.0 %
Total Defense/IT Locations
135 13,177 92.3 %92.1 %91.9 %92.5 %91.8 %
Regional Office
1,959 92.1 %92.3 %92.0 %91.4 %88.1 %
Core Portfolio Same Properties142 15,136 92.3 %92.1 %91.9 %92.3 %91.3 %
Other Same Properties157 68.4 %68.4 %68.4 %64.6 %73.0 %
Total Same Properties144 15,293 92.1 %91.9 %91.6 %92.0 %91.1 %

(1)Includes office and data center shell properties stably owned and 100% operational since at least 1/1/19.

15

Corporate Office Properties Trust
Same Properties Real Estate Revenues and NOI by Segment
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Same Properties real estate revenues     
Defense/IT Locations:
Fort Meade/BW Corridor
$62,480 $62,122 $61,507 $63,216 $63,974 $249,325 $249,814 
NoVA Defense/IT
14,993 14,698 14,447 13,678 13,448 57,816 55,742 
Lackland Air Force Base
13,047 12,603 13,257 12,076 14,773 50,983 51,140 
Navy Support
8,403 8,006 8,119 8,341 8,135 32,869 32,658 
Redstone Arsenal
3,618 3,595 3,534 3,808 3,895 14,555 15,341 
Data Center Shells-Consolidated
848 867 877 812 695 3,404 3,016 
Total Defense/IT Locations103,389 101,891 101,741 101,931 104,920 408,952 407,711 
Regional Office14,829 14,913 15,162 15,460 14,251 60,364 59,611 
Other Properties663 753 677 698 753 2,791 2,958 
Same Properties real estate revenues$118,881 $117,557 $117,580 $118,089 $119,924 $472,107 $470,280 
Same Properties NOI     
Defense/IT Locations:
Fort Meade/BW Corridor
$41,525 $40,994 $41,030 $42,403 $43,745 $165,952 $167,879 
NoVA Defense/IT
9,436 9,454 9,112 8,494 8,619 36,496 35,963 
Lackland Air Force Base
5,688 5,486 5,472 5,281 5,487 21,927 22,099 
Navy Support
5,248 4,961 4,949 5,056 4,828 20,214 19,080 
Redstone Arsenal
2,269 2,097 2,219 2,232 2,295 8,817 9,116 
Data Center Shells-Consolidated
746 771 781 728 670 3,026 2,911 
Total Defense/IT Locations64,912 63,763 63,563 64,194 65,644 256,432 257,048 
Regional Office7,892 7,131 8,274 7,923 6,918 31,220 29,928 
Other Properties351 456 375 461 325 1,643 1,501 
Same Properties NOI$73,155 $71,350 $72,212 $72,578 $72,887 $289,295 $288,477 

16

Corporate Office Properties Trust
Same Properties Cash NOI by Segment
(dollars in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Same Properties cash NOI     
Defense/IT Locations:
Fort Meade/BW Corridor
$41,821 $40,759 $41,283 $41,848 $43,546 $165,711 $167,634 
NoVA Defense/IT
9,519 9,410 9,610 9,118 8,963 37,657 34,555 
Lackland Air Force Base
6,005 5,928 5,904 5,701 5,907 23,538 22,860 
Navy Support
5,376 5,130 5,248 5,146 4,987 20,900 19,693 
Redstone Arsenal
2,329 2,211 2,350 2,310 2,311 9,200 9,352 
Data Center Shells-Consolidated
678 686 696 649 576 2,709 2,529 
Total Defense/IT Locations65,728 64,124 65,091 64,772 66,290 259,715 256,623 
Regional Office8,156 7,045 8,078 7,479 7,606 30,758 29,319 
Other Properties356 439 358 457 327 1,610 1,647 
Same Properties cash NOI74,240 71,608 73,527 72,708 74,223 292,083 287,589 
Straight line rent adjustments and lease incentive amortization
(1,831)(1,284)(1,600)(657)(2,681)(5,372)(3,584)
Amortization of acquired above- and below-market rents99 98 97 96 197 390 312 
Amortization of intangibles and other assets to property operating expenses— (23)(23)(23)(23)(69)(92)
Lease termination fees, gross399 609 358 85 417 1,451 2,046 
Tenant funded landlord assets and lease incentives248 342 (147)369 754 812 2,206 
Same Properties NOI$73,155 $71,350 $72,212 $72,578 $72,887 $289,295 $288,477 
Percentage change in total Same Properties cash NOI (1)—%1.6%
Percentage change in Defense/IT Locations Same Properties cash NOI (1)(0.8%)1.2%

(1)Represents the change between the current period and the same period in the prior year.
17

Corporate Office Properties Trust
Leasing - Office and Data Center Shell Portfolio (1)
Quarter Ended 12/31/20
(square feet in thousands)
Defense/IT Locations
 Ft Meade/BW CorridorNoVA Defense/ITNavy SupportRedstone ArsenalData Center ShellsTotal Defense/IT LocationsRegional OfficeOther Total
Renewed Space     
Leased Square Feet116 74 37 — — 227 — 232 
Expiring Square Feet245 93 39 — — 376 12 394 
Vacating Square Feet129 18 — — 149 12 — 162 
Retention Rate (% based upon square feet)47.2 %80.3 %95.8 %— %— %60.4 %— %100.0 %59.0 %
Statistics for Completed Leasing:
Per Annum Average Committed Cost per Square Foot (2)$2.53 $1.21 $1.18 $— $— $1.88 $— $0.76 $1.85 
Weighted Average Lease Term in Years4.2 4.2 2.3 — — 3.9 — 1.0 3.8 
Average Rent Per Square Foot
Renewal Average Rent
$36.96 $27.71 $25.91 $— $— $32.13 $— $19.00 $31.84 
Expiring Average Rent
$35.14 $27.11 $24.56 $— $— $30.78 $— $21.82 $30.59 
Change in Average Rent
5.2 %2.2 %5.5 %— %— %4.4 %— %(12.9)%4.1 %
Cash Rent Per Square Foot
Renewal Cash Rent
$36.70 $30.85 $27.40 $— $— $33.27 $— $19.00 $32.95 
Expiring Cash Rent
$38.20 $30.82 $27.81 $— $— $34.09 $— $22.15 $33.82 
Change in Cash Rent
(3.9)%0.1 %(1.5)%— %— %(2.4)%— %(14.2)%(2.6)%
Average Escalations Per Year
2.4 %2.7 %2.4 %— %— %2.5 %— %— %2.5 %
New Leases
Development and Redevelopment Space
Leased Square Feet— — 18 57 420 495 — — 495 
Statistics for Completed Leasing:
Per Annum Average Committed Cost per Square Foot (2)$— $— $6.00 $4.15 $— $0.70 $— $— $0.70 
Weighted Average Lease Term in Years— — 5.0 17.8 15.0 15.0 — — 15.0 
Average Rent Per Square Foot$— $— $32.79 $26.41 $22.69 $23.49 $— $— $23.49 
Cash Rent Per Square Foot$— $— $33.00 $26.62 $19.95 $21.19 $— $— $21.19 
Vacant Space (3)
Leased Square Feet111 11 — 130 11 — 142 
Statistics for Completed Leasing:
Per Annum Average Committed Cost per Square Foot (2)$10.02 $2.29 $6.51 $7.65 $— $9.17 $4.26 $— $8.77 
Weighted Average Lease Term in Years5.5 5.3 3.8 3.0 — 5.3 5.2 — 5.3 
Average Rent Per Square Foot$32.64 $34.45 $35.44 $25.37 $— $32.76 $27.37 $— $32.32 
Cash Rent Per Square Foot$32.08 $34.00 $37.20 $24.75 $— $32.32 $27.22 $— $31.90 
Total Square Feet Leased226 85 61 60 420 853 11 5 869 
Average Escalations Per Year2.5 %2.7 %1.9 %0.8 %2.0 %2.0 %3.0 %— %2.0 %
Average Escalations Excl. Data Center Shells1.9 %
(1)Activity is exclusive of owner occupied space, leases with less than a one-year term and expirations associated with space removed from service. Weighted average lease term is based on the lease term defined in the lease assuming no exercise of early termination rights. Committed costs for leasing are reported above in the period of lease execution. Actual capital expenditures for leasing are reported on page 9 in the period such costs are incurred.
(2)Committed costs include tenant improvements and leasing commissions and exclude free rent concessions.
(3)Vacant space includes acquired first generation space, vacated second generation space and leases executed on developed and redeveloped space previously placed in service.
18

Corporate Office Properties Trust
Leasing - Office and Data Center Shell Portfolio (1)
Year Ended 12/31/20
(square feet in thousands)
Defense/IT Locations
 Ft Meade/BW CorridorNoVA Defense/ITLackland Air Force BaseNavy SupportRedstone ArsenalData Center ShellsTotal Defense/IT LocationsRegional OfficeOtherTotal
Renewed Space      
Leased Square Feet1,004 195 — 189 412 297 2,097 66 11 2,174 
Expiring Square Feet1,419 214 — 222 418 297 2,570 104 24 2,698 
Vacating Square Feet414 20 — 32 — 473 38 13 524 
Retention Rate (% based upon square feet)70.8 %90.8 %— %85.3 %98.5 %100.0 %81.6 %63.6 %45.9 %80.6 %
Statistics for Completed Leasing:
Per Annum Average Committed Cost per Square Foot (2)$2.29 $4.02 $— $3.07 $1.06 $— $1.95 $4.72 $0.62 $2.03 
Weighted Average Lease Term in Years4.8 5.8 — 2.7 1.9 5.0 4.2 5.7 2.3 4.2 
Average Rent Per Square Foot
Renewal Average Rent
$35.59 $29.00 $— $21.93 $22.84 $14.19 $28.21 $37.12 $22.13 $28.45 
Expiring Average Rent
$33.38 $27.50 $— $20.52 $22.18 $12.38 $26.50 $34.18 $24.86 $26.72 
Change in Average Rent
6.6 %5.4 %— %6.9 %3.0 %14.6 %6.5 %8.6 %(11.0)%6.5 %
Cash Rent Per Square Foot
Renewal Cash Rent
$35.52 $29.71 $— $21.89 $22.75 $13.66 $28.14 $35.99 $21.51 $28.35 
Expiring Cash Rent
$36.64 $29.79 $— $22.09 $22.87 $13.42 $28.70 $37.44 $26.28 $28.95 
Change in Cash Rent
(3.1)%(0.3)%— %(0.9)%(0.5)%1.8 %(1.9)%(3.9)%(18.1)%(2.1)%
Average Escalations Per Year
2.4 %2.6 %— %2.8 %2.1 %2.3 %2.4 %2.5 %3.1 %2.4 %
New Leases
Development and Redevelopment Space
Leased Square Feet148 — 107 18 275 462 1,011 — 1,016 
Statistics for Completed Leasing:
Per Annum Average Committed Cost per Square Foot (2)$2.39 $— $0.39 $6.00 $4.48 $— $1.72 $23.77 $— $1.83 
Weighted Average Lease Term in Years11.5 — 12.0 5.0 17.5 14.8 14.6 6.5 — 14.6 
Average Rent Per Square Foot$46.97 $— $43.26 $32.79 $21.98 $24.09 $29.04 $76.61 $— $29.28 
Cash Rent Per Square Foot$42.42 $— $38.46 $33.00 $21.56 $21.25 $26.46 $80.20 $— $26.73 
Vacant Space (3)
Leased Square Feet252 27 — 57 — 342 68 416 
Statistics for Completed Leasing:
Per Annum Average Committed Cost per Square Foot (2)$8.04 $6.55 $— $5.26 $5.25 $— $7.41 $7.28 $3.06 $7.33 
Weighted Average Lease Term in Years6.2 7.4 — 5.5 4.1 — 6.1 6.6 5.3 6.2 
Average Rent Per Square Foot$33.82 $33.22 $— $29.87 $23.16 $— $32.93 $30.40 $22.15 $32.36 
Cash Rent Per Square Foot$32.48 $31.95 $— $29.91 $21.97 $— $31.84 $29.56 $21.50 $31.32 
Total Square Feet Leased1,404 222 107 264 693 760 3,450 139 17 3,606 
Average Escalations Per Year2.5 %2.6 %2.3 %2.6 %0.8 %2.0 %2.0 %2.6 %3.3 %2.0 %
Average Escalations Excl. Data Center Shells2.0 %
(1)Activity is exclusive of owner occupied space, leases with less than a one-year term and expirations associated with space removed from service. Weighted average lease term is based on the lease term defined in the lease assuming no exercise of early termination rights. Committed costs for leasing are reported above in the period of lease execution. Actual capital expenditures for leasing are reported on page 9 in the period such costs are incurred.
(2)Committed costs include tenant improvements and leasing commissions and exclude free rent concession.
(3)Vacant space includes acquired first generation space, vacated second generation space and leases executed on developed and redeveloped space previously placed in service.
19

Corporate Office Properties Trust
Lease Expiration Analysis as of 12/31/20 (1)
(dollars and square feet in thousands, except per square foot amounts)
Office and Data Center Shells
Segment of Lease and Year of Expiration (2)Square Footage of Leases ExpiringAnnualized Rental
Revenue of Expiring Leases (3)
% of Core/Total
Annualized 
Rental
Revenue
Expiring (3)(4)
Annualized Rental
Revenue of
Expiring Leases per
Occupied Sq. Foot (3)
Core Portfolio
Ft Meade/BW Corridor776 $25,042 4.6 %$32.24 
NoVA Defense/IT78 2,407 0.4 %30.70 
Lackland Air Force Base250 11,834 2.2 %47.34 
Navy Support270 8,404 1.5 %31.17 
Redstone Arsenal10 266 — %25.90 
Regional Office90 3,085 0.6 %34.20 
20211,474 51,039 9.4 %34.60 
Ft Meade/BW Corridor1,044 36,856 6.8 %35.29 
NoVA Defense/IT135 4,645 0.9 %34.31 
Navy Support203 4,877 0.9 %23.97 
Redstone Arsenal393 8,982 1.7 %22.88 
Regional Office499 17,439 3.2 %34.86 
20222,274 72,799 13.5 %31.99 
Ft Meade/BW Corridor1,315 47,703 8.8 %36.25 
NoVA Defense/IT177 5,917 1.1 %33.31 
Navy Support215 6,178 1.1 %28.78 
Redstone Arsenal15 372 0.1 %24.27 
Regional Office143 4,312 0.8 %30.10 
20231,865 64,481 11.9 %34.54 
Ft Meade/BW Corridor1,169 42,815 7.9 %36.60 
NoVA Defense/IT406 13,979 2.6 %34.43 
Navy Support259 5,546 1.0 %21.44 
Redstone Arsenal75 1,819 0.3 %24.13 
Data Center Shells-Unconsolidated JV Properties546 657 0.1 %12.02 
Regional Office79 2,375 0.4 %29.86 
20242,534 67,190 12.4 %32.87 
Ft Meade/BW Corridor1,439 49,573 9.1 %34.39 
NoVA Defense/IT250 10,133 1.9 %40.58 
Lackland Air Force Base703 39,198 7.2 %55.78 
Navy Support51 1,210 0.2 %23.59 
Redstone Arsenal253 5,216 1.0 %20.49 
Data Center Shells-Unconsolidated JV Properties121 153 — %12.69 
Regional Office110 4,018 0.7 %36.45 
20252,927 109,501 20.1 %38.81 
Thereafter
Consolidated Properties6,457 175,732 32.4 %26.78 
Unconsolidated JV Properties2,083 3,032 0.6 %14.56 
Core Portfolio19,614 $543,774 100.0 %$31.54 
20


Segment of Lease and Year of Expiration (2)Square Footage of Leases ExpiringAnnualized Rental
Revenue of Expiring Leases (3)
% of Core/Total
Annualized 
Rental
Revenue
Expiring (3)(4)
Annualized Rental
Revenue of
Expiring Leases per
Occupied Sq. Foot (3)
Core Portfolio19,614 $543,774 99.5 %$31.54 
Other Properties
108 2,623 0.5 %24.37 
Total Portfolio 19,722 $546,397 100.0 %$31.50 
Consolidated Portfolio16,973 $542,555 
Unconsolidated JV Properties2,749 $3,842 

Note: As of 12/31/20, the weighted average lease term was 5.5 years for the core portfolio and total portfolio and 5.4 years for the consolidated portfolio.

Wholesale Data Center
Year of ExpirationCritical Load (MW)Annualized Rental
Revenue of
Expiring Leases (3)
2021 (5)
11.40 $15,011 
20221.27 2,493 
20230.92 1,694 
2024— 10 
20253.10 5,168 
Thereafter— 262 
 16.69 $24,638 

(1)This expiration analysis reflects occupied space of our total portfolio (including consolidated and unconsolidated properties) and includes the effect of early renewals completed on existing leases but excludes the effect of new tenant leases on square feet yet to commence as of 12/31/20 of 110,000 for the core portfolio. With regard to properties owned through unconsolidated real estate joint ventures, the amounts reported above reflect 100% of the properties’ square footage but only reflect the portion of Annualized Rental Revenue that was allocable to COPT’s ownership interest.
(2)A number of our leases are subject to certain early termination provisions.  The year of lease expiration is based on the lease term determined in accordance with GAAP.
(3)Total Annualized Rental Revenue is the monthly contractual base rent as of 12/31/20 (ignoring free rent then in effect) multiplied by 12 plus the estimated annualized expense reimbursements under existing leases. The amounts reported above for Annualized Rental Revenue include the portion of properties owned through unconsolidated real estate joint ventures that was allocable to COPT’s ownership interest.
(4)Amounts reported represent the percentage of our core portfolio for components of such portfolio while other amounts represent the percentage of our total portfolio.
(5)Includes 11.25MW lease in holdover status requiring six months notice to terminate that we are negotiating for renewal.
21

Corporate Office Properties Trust
2021 Core Portfolio Quarterly Lease Expiration Analysis as of 12/31/20 (1)
(dollars and square feet in thousands, except per square foot amounts)
Segment of Lease and Quarter of Expiration (2)Square Footage of Leases ExpiringAnnualized Rental
Revenue of Expiring Leases (3)
% of Core Annualized 
Rental Revenue Expiring (3)(4)
Annualized Rental Revenue of Expiring Leases per Occupied Sq. Foot
Core Portfolio
Ft Meade/BW Corridor175 $4,898 0.9 %$27.87 
NoVA Defense/IT10 267 — %27.99 
Lackland Air Force Base250 11,834 2.2 %47.34 
Navy Support22 593 0.1 %27.34 
Regional Office14 437 0.1 %31.35 
Q1 2021471 18,029 3.3 %38.29 
Ft Meade/BW Corridor202 6,559 1.2 %32.50 
NoVA Defense/IT18 586 0.1 %32.68 
Navy Support35 998 0.2 %28.57 
Regional Office25 808 0.1 %31.81 
Q2 2021280 8,951 1.6 %31.96 
Ft Meade/BW Corridor196 6,797 1.2 %34.55 
NoVA Defense/IT12 338 0.1 %28.13 
Navy Support99 2,688 0.5 %27.09 
Redstone Arsenal10 266 — %25.90 
Regional Office15 460 0.1 %30.89 
Q3 2021332 10,549 1.9 %31.66 
Ft Meade/BW Corridor202 6,788 1.2 %33.54 
NoVA Defense/IT39 1,216 0.2 %31.23 
Navy Support114 4,126 0.8 %36.25 
Regional Office36 1,380 0.3 %38.36 
Q4 2021391 13,510 2.5 %34.54 
1,474 $51,039 9.4 %$34.60 

(1)This expiration analysis reflects occupied space of our total portfolio (including consolidated and unconsolidated properties) and includes the effect of early renewals completed on existing leases but excludes the effect of new tenant leases on square feet yet to commence as of 12/31/20.
(2)A number of our leases are subject to certain early termination provisions.  The period of lease expiration is based on the lease term determined in accordance with GAAP.
(3)Total Annualized Rental Revenue is the monthly contractual base rent as of 12/31/20 (ignoring free rent then in effect) multiplied by 12 plus the estimated annualized expense reimbursements under existing leases.
(4)Amounts reported represent the percentage of our core portfolio.
22

Corporate Office Properties Trust
Top 20 Tenants as of 12/31/20 (1)
(dollars and square feet in thousands)
TenantTotal
Annualized
Rental Revenue (2)
%
of Total
Annualized 
Rental Revenue (2)
Occupied Square Feet in Office and Data Center ShellsWeighted
Average
Remaining Lease Term in Office and Data Center Shells (3)
United States Government(4)$194,568 34.1 %4,723 4.2 
Fortune 100 Company51,785 9.1 %4,769 9.4 
General Dynamics Corporation32,176 5.6 %752 3.0 
The Boeing Company17,342 3.0 %610 1.5 
CACI International Inc13,480 2.4 %354 4.2 
Northrop Grumman Corporation 12,856 2.3 %417 3.0 
CareFirst Inc. 11,397 2.0 %312 2.1 
Booz Allen Hamilton, Inc. 11,289 2.0 %297 3.3 
Wells Fargo & Company 6,917 1.2 %172 7.7 
AT&T Corporation 6,116 1.1 %333 8.5 
Miles and Stockbridge, PC5,975 1.0 %160 6.7 
Morrison & Foerster, LLP 5,925 1.0 %102 16.3 
Raytheon Technologies Corporation 5,699 1.0 %157 1.6 
Yulista Holding, LLC 5,591 1.0 %366 9.0 
Science Applications International Corp. 5,265 0.9 %136 1.4 
Jacobs Engineering Group Inc. 5,227 0.9 %165 5.1 
Transamerica Life Insurance Company 5,123 0.9 %140 1.0 
University of Maryland 5,002 0.9 %159 7.1 
The MITRE Corporation 4,790 0.8 %152 5.4 
Mantech International Corp. 4,757 0.8 %165 3.8 
Subtotal Top 20 Tenants 411,280 72.0 %14,441 6.0 
All remaining tenants 159,755 28.0 %5,281 4.2 
Total/Weighted Average $571,035 100.0 %19,722 5.5 

(1)Includes Annualized Rental Revenue (“ARR”) in our portfolio of operating office and data center shells and our wholesale data center. For properties owned through unconsolidated real estate joint ventures, includes COPT’s share of those properties’ ARR of $3.8 million (see page 33 for additional information).
(2)Total ARR is the monthly contractual base rent as of 12/31/20, multiplied by 12, plus the estimated annualized expense reimbursements under existing leases. With regard to properties owned through unconsolidated real estate joint ventures, the amounts reported above reflect 100% of the properties’ square footage but only reflect the portion of ARR that was allocable to COPT’s ownership interest.
(3)Weighted average remaining lease term is based on the lease term determined in accordance with GAAP for our office and data center shell properties (i.e., excluding the effect of our wholesale data center leases). The weighting of the lease term was computed based on occupied square feet.
(4)Substantially all of our government leases are subject to early termination provisions which are customary in government leases. As of 12/31/20, $5.9 million of our ARR was through the General Services Administration (GSA), representing 3.0% of our ARR from the United States Government and 1.0% of our total ARR.


23

Corporate Office Properties Trust
Property Dispositions
(dollars and square feet in thousands)
PropertyProperty SegmentLocation# of PropertiesOperational Square FeetTransaction
Date
% Occupied on Transaction DateTransaction
Value
(in millions)
Quarter Ended 12/31/20
90% interest in BLC 1 and 2 (1)Data Center ShellsNorthern Virginia300 10/30/20100.0 %$81 
40% interest in DC 8, 9, 10, 11, 12 and 14 (2)Data Center ShellsNorthern Virginia978 12/22/20100.0 %84 
Total 2020 Dispositions8 1,278 $165 

(1)We sold a 90% interest in these properties based on an aggregate property value of $90 million and retained a 10% interest in the properties through a newly-formed joint venture, B RE COPT DC JV II LLC (“B RE COPT”).
(2)We sold, through a series of transactions, 80% of our 50% interests in LLCs holding the properties and associated mortgage debt that we previously owned through GI-COPT DC Partnership LLC (“GI-COPT”). We received $60 million in proceeds and a 10% retained interest in the LLCs through B RE COPT.
24

Corporate Office Properties Trust
Summary of Development Projects as of 12/31/20 (1)
(dollars and square feet in thousands) 
Total Rentable Square Feet
% Leased as of 12/31/20
as of 12/31/20 (2)
Actual or Anticipated Shell Completion Date Anticipated Operational Date (3)
Anticipated Total CostCost to DateCost to Date Placed in Service
Property and SegmentLocation
Fort Meade/BW Corridor:
4600 River Road (4)College Park, Maryland102 54%$30,734 $24,024 $16,166 4Q 204Q 21
610 Guardian WayAnnapolis Junction, Maryland107 100%67,350 22,043 — 1Q 221Q 22
Subtotal / Average209 78%98,084 46,067 16,166 
NoVA Defense/IT:
NoVA Office C
Chantilly, Virginia348 100%106,219 59,914 2,794 4Q 214Q 21
Lackland Air Force Base:
Project ELSan Antonio, Texas107 100%55,250 15,409 — 4Q 214Q 21
Navy Support:
Expedition VIISt. Mary’s County, Maryland30 60%8,189 1,567 — 4Q 214Q 22
Redstone Arsenal:
6000 Redstone Gateway (5)Huntsville, Alabama42 100%9,796 8,639 7,399 4Q 203Q 21
8000 Rideout Road
Huntsville, Alabama100 9%26,727 16,242 — 1Q 211Q 22
7100 Redstone GatewayHuntsville, Alabama46 100%11,166 9,100 — 1Q 211Q 21
Subtotal / Average188 52%47,689 33,981 7,399 
Data Center Shells:
Parkstone ANorthern Virginia227 100%65,600 5,199 — 2Q 232Q 23
Parkstone BNorthern Virginia193 100%55,000 4,421 — 2Q 242Q 24
Subtotal / Average420 100%120,600 9,620 — 
Regional Office:
2100 L Street (6)Washington, DC190 56%177,000 157,813 120,922 2Q 202Q 21
Total Under Development1,492 84%$613,031 $324,371 $147,281   

(1)Includes properties under, or contractually committed for, development as of 12/31/20.
(2)Cost includes land, development, leasing costs and allocated portion of structured parking and other shared infrastructure, if applicable.
(3)Anticipated operational date is the earlier of the estimated date when leases have commenced on 100% of a property’s space or one year from the cessation of major construction activities.
(4)Although classified as under development, 55,000 square feet were operational as of 12/31/20.
(5)Although classified as under development, 32,000 square feet were operational as of 12/31/20.
(6)Although classified as under development, 107,000 square feet were operational as of 12/31/20.

25

Corporate Office Properties Trust
Development and Redevelopment Placed in Service as of 12/31/20
(square feet in thousands)
 
Total PropertySquare Feet Placed in Service
Space Placed in Service % Leased as of 12/31/20
Property Segment
% Leased as of 12/31/20
Rentable Square FeetPrior Year2020
Property and Location1st Quarter2nd Quarter3rd Quarter4th QuarterTotal 2020
P2 A
Northern Virginia
Data Center Shells100%230 — 230 — — — 230 100%
Oak Grove A
Northern Virginia
Data Center Shells100%216 — — 216 — — 216 100%
7500 Advanced Gateway
Huntsville, Alabama
Redstone Arsenal100%135 — — 135 — — 135 100%
6950 Columbia Gateway
Columbia, Maryland
Ft Meade/BW Corridor91%106 85 — 21 — — 21 91%
100 Secured Gateway
Huntsville, Alabama
Redstone Arsenal100%250 — — 40 171 39 250 100%
7600 Advanced Gateway
Huntsville, Alabama
Redstone Arsenal100%126 — — — 126 — 126 100%
P2 B
Northern Virginia
Data Center Shells100%274 — — — 274 — 274 100%
Southpoint Annex (1)
Northern Virginia
Data Center Shells100%14 — — — 14 — 14 100%
Paragon Annex (1)
Northern Virginia
Data Center Shells100%14 — — — 14 — 14 100%
Oak Grove Annex (1)
Northern Virginia
Data Center Shells100%14 — — — — 14 14 100%
4600 River Road
College Park, Maryland
Ft Meade/BW Corridor54%102 — — — — 55 55 100%
6000 Redstone Gateway
Huntsville, Alabama
Redstone Arsenal100%42 — — — — 32 32 100%
8600 Advanced Gateway
Huntsville, Alabama
Redstone Arsenal100%105     105 105 100%
P2 C
Northern Virginia
Data Center Shells100%230     230 230 100%
2100 L Street
Washington, DC
Regional Office56%190 — — — — 107 107 100%
Total Development/Redevelopment Placed in Service93%2,048 85 230 412 599 582 1,823 99%


(1)Represent expansions of existing properties.
26

Corporate Office Properties Trust
Summary of Land Owned/Controlled as of 12/31/20 (1)
(in thousands)
LocationAcres Estimated Developable Square FeetCarrying Amount
Land owned/controlled for future development
Defense/IT Locations:
   
Fort Meade/BW Corridor:
National Business Park
1751,999 
Howard County
19290 
Other
1261,338 
Total Fort Meade/BW Corridor
320 3,627 
NoVA Defense/IT
29 1,136 
Lackland AFB
19 410 
Navy Support
38 64 
Redstone Arsenal (2)
3583,125 
Data Center Shells
531,180 
Total Defense/IT Locations
8179,542 
Regional Office
10900 
Total land owned/controlled for future development827 10,442$271,231 
Other land owned/controlled43 638 3,424 
Land held, net87011,080 $274,655 

(1)This land inventory schedule includes properties under ground lease to us and excludes all properties listed as development or redevelopment as detailed on page 25. The costs associated with the land included on this summary are reported on our consolidated balance sheet in the line entitled “land held.”
(2)This land is controlled under a long-term master lease agreement to LW Redstone Company, LLC, a consolidated joint venture (see page 32). As this land is developed in the future, the joint venture will execute site-specific leases under the master lease agreement. Rental payments will commence under the site-specific leases as cash rents under tenant leases commence at the respective properties.
27

Corporate Office Properties Trust
Capitalization Overview
(dollars, shares and units in thousands)
Wtd. Avg. Maturity (Years)Stated RateEffective Rate
(1)(2)
Gross Debt Balance at 12/31/20
Debt
Secured debt3.1 3.31 %3.39 %$257,404 
Unsecured debt3.3 3.04 %3.41 %1,844,061 
Total Consolidated Debt3.3 3.07 %3.40 %$2,101,465 
Fixed rate debt (2)3.8 3.86 %3.82 %$1,725,583 
Variable rate debt2.1 1.37 %1.48 %375,882 
Total Consolidated Debt$2,101,465 
Common Equity
Common Shares112,182 
Common Units (3)1,352 
Total Common Shares and Units113,534 
Closing Common Share Price on 12/31/20
$26.08 
Equity Market Capitalization$2,960,967 
Total Market Capitalization$5,062,432 
(1)Excludes the effect of deferred financing cost amortization.
(2)Includes the effect of interest rate swaps with notional amounts of $284.2 million that hedge the risk of changes in interest rates on variable rate debt.
(3)Excludes unvested share-based compensation awards subject to market conditions.

















Investment Grade Ratings & OutlookLatest Affirmation
FitchBBB-Stable9/30/20
Moodys
Baa3Stable9/10/20
Standard & Poors
BBB-Stable9/10/20
chart-af8f755436834fa9a041.jpgchart-395e5f1ad9b3492e9241.jpg
28

Corporate Office Properties Trust
Summary of Outstanding Debt as of 12/31/20
(dollars in thousands)
Unsecured DebtStated RateAmount OutstandingMaturity DateSecured DebtStated RateAmount OutstandingBalloon Payment Due Upon MaturityMaturity Date
Revolving Credit FacilityL + 1.10%$143,000 Mar-23(1)(2)7740 Milestone Parkway3.96%$16,902 $15,902 Feb-23
Senior Unsecured Notes100 & 30 Light Street4.32%50,458 47,676 Jun-23
3.60% due 20233.60%350,000 May-23LW Redstone:
5.25% due 20245.25%250,000 Feb-241000, 1200 & 1100 Redstone
5.00% due 20255.00%300,000 Jul-25Gateway (3)4.47%(4)31,780 27,649 Jun-24
2.25% due 20262.25%400,000 Mar-264000 & 4100 Market Street and
Subtotal - Senior Unsecured Notes
3.83%$1,300,000 8800 Redstone Gateway (2)(3)L + 1.55%23,000 22,100 Mar-25(5)
M Square:
Unsecured Bank Term Loans5825 & 5850 University Research
2022 MaturityL + 1.00%$400,000 Dec-22(2)Court (3) 3.82%41,182 35,603 Jun-26
Other Unsecured Debt0.00%1,061 May-265801 University Research Court (2)(4)L + 1.45%11,200 10,020 Aug-26
Total Unsecured Debt3.04%$1,844,061 2100 L Street (2)(3)L + 2.35%82,882 82,882 Sept-22(6)
Total Secured Debt3.31%$257,404 
Debt Summary
Total Unsecured Debt3.04%$1,844,061 
Total Secured Debt3.31%257,404 
Consolidated Debt3.07%$2,101,465 
Net discounts and deferred
financing costs
(14,547)
Debt, per balance sheet$2,086,918 
Consolidated Debt$2,101,465 
COPT’s share of unconsolidated JV gross debt26,250 
Gross debt$2,127,715 
(1)The Company’s $800 million Revolving Credit Facility matures in March 2023 and may be extended for two six-month periods, at our option.
(2)Pre-payable anytime without penalty.
(3)These properties are owned through consolidated joint ventures.
(4)Represents the weighted average rate of three loans on the properties.
(5)The loan maturity may be extended for two one-year periods, provided certain conditions are met.
(6)The loan maturity may be extended by one year, provided certain conditions are met.
29

Corporate Office Properties Trust
Summary of Outstanding Debt as of 12/31/20 (continued)

chart-4e739cdb48954e30ae81.jpg
chart-c69002c1d8884b93ba31.jpgchart-0eae561f9f7c40e29101.jpg
(1)Revolving Credit Facility maturity of $143.0 million scheduled for 2023 is presented assuming our exercise of two six-month extension options.
(2)Includes the effect of $284.2 million in interest rate swaps that hedge the risk of changes in interest rates on variable rate debt.
30

Corporate Office Properties Trust
Debt Analysis
(dollars and square feet in thousands)
As of and for
Three Months Ended 12/31/20
As of and for Three Months Ended
12/31/20
Senior Note Covenants (1)Required2.25% NotesOther NotesLine of Credit & Term Loan Covenants (1)Required
Total Debt / Total Assets< 60%39.6%40.2%Total Debt / Total Assets< 60%36.1%
Secured Debt / Total Assets< 40%4.8%5.4%Secured Debt / Total Assets< 40%4.4%
Debt Service Coverage> 1.5x4.6x4.7xAdjusted EBITDA / Fixed Charges> 1.5x4.2x
Unencumbered Assets / Unsecured Debt> 150%256.6%256.6%Unsecured Debt / Unencumbered Assets< 60%35.3%
Unencumbered Adjusted NOI / Unsecured Interest Expense
> 1.75x4.7x
Debt RatiosPage Refer.Unencumbered Portfolio Analysis
Gross debt29$2,127,715 # of unencumbered properties154 
Adjusted book36$5,397,304 % of total portfolio85 %
Net debt / adjusted book ratio39.1 %Unencumbered square feet in-service16,875 
Net debt plus pref. equity / adj. book ratio39.1 %% of total portfolio81 %
Net debt36$2,109,194 NOI from unencumbered real estate operations$81,015 
Net debt plus preferred equity36$2,109,194 % of total NOI from real estate operations91 %
In-place adjusted EBITDA10$84,435 Adjusted EBITDA from unencumbered real estate operations$74,371 
Net debt / in-place adjusted EBITDA ratio
6.2 x% of total adjusted EBITDA from real estate operations90 %
Net debt plus pref. equity / in-place adj. EBITDA ratio
6.2 xUnencumbered adjusted book$4,802,971 
Denominator for debt service coverage35$17,450 % of total adjusted book89 %
Denominator for fixed charge coverage35$20,139 
Adjusted EBITDA10$82,298 
Adjusted EBITDA debt service coverage ratio4.7 x
Adjusted EBITDA fixed charge coverage ratio4.1 x
(1)The covenants are calculated as defined in the applicable agreements, and the calculations differ between those agreements.

31

Corporate Office Properties Trust
Consolidated Real Estate Joint Ventures as of 12/31/20
(dollars and square feet in thousands)

Operating PropertiesOperational
Square Feet
% Occupied% Leased
NOI for the Three Months Ended 12/31/20 (1)
NOI for the Year Ended 12/31/20 (1)
Total Assets (2)Venture Level DebtCOPT Nominal Ownership %
Suburban Maryland:      
M Square Associates, LLC (4 properties)
368 95.0%95.0%$1,500 $5,927 $86,682 $52,382 50%
Huntsville, Alabama:
LW Redstone Company, LLC (14 properties)
1,317 100.0%100.0%4,080 12,887 280,935 54,780 85%(3)
Washington, DC:
Stevens Place (1 property)
107 100.0%100.0%263 263 107,744 51,859 95%
Total/Average1,792 99.0%99.0%$5,843 $19,077 $475,361 $159,021 
 
        
Non-operating PropertiesEstimated Developable Square FeetTotal Assets (2)Venture Level DebtCOPT Nominal Ownership %
Suburban Maryland:    
M Square Research Park395 $13,576 $— 50%
Huntsville, Alabama:    
Redstone Gateway (4)3,281 122,513 — 85%(3)
Washington, DC:
Stevens Place83 53,991 31,023 95%
Total3,759 $190,080 $31,023  
 
(1)Represents NOI of the joint venture operating properties before allocation to joint venture partners.
(2)Total assets includes the assets of the consolidated joint venture plus any outside investment basis.
(3)Our partner receives a priority return of 13.5% on its $9.0 million in contributed equity, plus certain fees for leasing and development, and we expect to receive the remainder of distributions from the JV.
(4)Total assets include $65.6 million in amortized cost basis pertaining to amounts due from the City of Huntsville (including accrued interest) in connection with infrastructure costs funded by the joint venture.
32

Corporate Office Properties Trust
Unconsolidated Real Estate Joint Ventures as of 12/31/20
(dollars and square feet in thousands) 
Joint venture information (1)GI-COPTBREIT-COPTB RE COPT
COPT ownership %50%10%10%
COPT’s investment$— $13,315 $15,988 
# of PropertiesN/A
Square Feet— 1,471 1,278 
% OccupiedN/A100 %100 %
COPT’s share of ARRN/A$2,133 $1,709 
Balance sheet information (1)GI-COPTBREIT-COPTB RE COPTTotalCOPT’s Share (2)
Operating properties, net$— $309,261 $292,686 $601,947 $60,195 
Total assets$— $340,138 $294,032 $634,170 $63,417 
Debt$— $200,913 $59,931 $260,844 $26,084 
Total liabilities$— $206,988 $60,110 $267,098 $26,710 
Three Months Ended 12/31/20
Year Ended 12/31/20
Operating information (1)GI-COPTBREIT-COPTB RE COPTTotalCOPT’s Share (2)GI-COPTBREIT-COPTB RE COPTTotalCOPT’s Share (2)
Revenue$2,797 $5,793 $1,253 $9,843 $2,103 $11,790 $23,042 $1,253 $36,085 $8,324 
Operating expenses(509)(738)(134)(1,381)(342)(2,154)(2,831)(134)(5,119)(1,373)
NOI and EBITDA2,288 5,055 1,119 8,462 1,761 9,636 20,211 1,119 30,966 6,951 
Interest expense(476)(1,882)(57)(2,415)(432)(2,072)(7,488)(57)(9,617)(1,791)
Depreciation and amortization(1,162)(2,519)(414)(4,095)(874)(4,560)(10,077)(414)(15,051)(3,329)
Net income$650 $654 $648 $1,952 $455 $3,004 $2,646 $648 $6,298 $1,831 
NOI (per above)$2,288 $5,055 $1,119 $8,462 $1,761 $9,636 $20,211 $1,119 $30,966 $6,951 
Straight line rent adjustments(79)(309)(84)(472)(79)(300)(1,386)(84)(1,770)(297)
Amortization of acquired above-
and below-market rents
— (142)— (142)(14)— (567)— (567)(57)
Cash NOI$2,209 $4,604 $1,035 $7,848 $1,668 $9,336 $18,258 $1,035 $28,629 $6,597 
(1)Refer to the section entitled “Definitions” for joint venture names. Our unconsolidated JVs changed during the three months ended December 31, 2020 as follows:
on 10/30/20, we sold a 90% interest in two data center shell properties totaling 300,000 square feet based on an aggregate property value of $90 million and retained a 10% interest in the properties through B RE COPT, a newly-formed JV; and
on 12/22/20, we sold, through a series of transactions, 80% of our 50% interests in LLCs holding six properties totaling 978,000 square feet and associated mortgage debt that we previously owned through GI-COPT. We received $60 million in proceeds and a 10% retained interest in the LLCs through B RE COPT.
(2)Represents the portion allocable to our ownership interest.
33

Corporate Office Properties Trust
Supplementary Reconciliations of Non-GAAP Measures
(in thousands)

 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
NOI from real estate operations (1)     
Real estate revenues $139,628 $134,443 $132,538 $132,116 $131,968 $538,725 $527,463 
Property operating expenses (52,085)(51,552)(50,204)(49,999)(51,098)(203,840)(198,143)
COPT’s share of NOI in unconsolidated real estate JVs (2)1,761 1,752 1,725 1,713 1,634 6,951 5,705 
NOI from real estate operations89,304 84,643 84,059 83,830 82,504 341,836 335,025 
General and administrative expenses(7,897)(5,558)(6,511)(5,303)(7,043)(25,269)(27,517)
Leasing expenses(1,993)(1,909)(1,647)(2,183)(2,293)(7,732)(7,885)
Business development expenses and land carry costs(999)(1,094)(1,262)(1,118)(1,292)(4,473)(4,239)
NOI from construction contracts and other service operations837 1,103 525 560 985 3,025 3,801 
Equity in loss of unconsolidated non-real estate entities(2)(1)(1)(2)(2)(6)(7)
Interest and other income3,341 1,746 2,282 1,205 1,917 8,574 7,894 
Credit loss recoveries (expense) (3)772 1,465 (615)(689)— 933 — 
Loss on early extinguishment of debt(4,069)(3,237)— — — (7,306)— 
Loss on interest rate derivatives— (53,196)— — — (53,196)— 
Interest expense(17,148)(17,152)(16,797)(16,840)(16,777)(67,937)(71,052)
COPT’s share of interest expense of unconsolidated real estate JVs (2)(432)(455)(452)(452)(425)(1,791)(1,362)
Income tax (expense) benefit(258)(16)(30)(49)104 (353)217 
FFO - per Nareit (1)$61,456 $6,339 $59,551 $58,959 $57,678 $186,305 $234,875 
Real estate revenues
Lease revenue
Fixed contractual payments
$110,748 $106,743 $103,993 $104,109 $101,116 $425,593 $412,342 
Variable lease payments
Lease termination fees
398 610 376 104 436 1,488 4,256 
Other variable lease payments (4)
27,947 26,522 27,778 26,799 29,141 109,046 105,874 
Lease revenue139,093 133,875 132,147 131,012 130,693 536,127 522,472 
Other property revenue535 568 391 1,104 1,275 2,598 4,991 
Real estate revenues$139,628 $134,443 $132,538 $132,116 $131,968 $538,725 $527,463 
Provision for credit losses (recoveries) on billed lease revenue$458 $890 $591 $(355)$579 $1,584 $686 
(1)Refer to section entitled “Definitions” for a definition of this measure.
(2)See page 33 for a schedule of the related components.
(3)Excludes credit losses on lease revenue, which are included in lease revenue.
(4)Represents primarily lease revenue associated with property operating expense reimbursements from tenants.
34

Corporate Office Properties Trust
Supplementary Reconciliations of Non-GAAP Measures (continued)
(in thousands)
 Three Months EndedYears Ended
 12/31/209/30/206/30/203/31/2012/31/1912/31/2012/31/19
Total interest expense$17,148 $17,152 $16,797 $16,840 $16,777 $67,937 $71,052 
Less: Amortization of deferred financing costs(664)(658)(642)(575)(541)(2,539)(2,136)
Less: Amortization of net debt discounts, net of amounts capitalized
(504)(453)(390)(386)(382)(1,733)(1,503)
Less: Accum. other comprehensive loss on derivatives amortized to expense
— — — — — — (79)
COPT’s share of interest expense of unconsolidated real estate JVs, excluding deferred financing costs
422 444 442 441 416 1,749 1,332 
Denominator for interest coverage16,402 16,485 16,207 16,320 16,270 65,414 68,666 
Scheduled principal amortization1,048 1,033 1,023 1,021 1,010 4,125 4,310 
Denominator for debt service coverage17,450 17,518 17,230 17,341 17,280 69,539 72,976 
Capitalized interest2,620 2,908 3,174 3,358 3,467 12,060 10,786 
Preferred unit distributions69 77 77 77 77 300 564 
Denominator for fixed charge coverage$20,139 $20,503 $20,481 $20,776 $20,824 $81,899 $84,326 
Preferred unit distributions$69 $77 $77 $77 $77 $300 $564 
Common share dividends - unrestricted shares and deferred shares30,764 30,763 30,761 30,754 30,724 123,042 122,823 
Common share dividends - restricted shares and deferred shares94 80 94 84 102 352 336 
Common unit distributions - unrestricted units341 341 341 339 337 1,362 1,405 
Common unit distributions - restricted units31 25 25 25 22 106 87 
Total dividends/distributions$31,299 $31,286 $31,298 $31,279 $31,262 $125,162 $125,215 
Common share dividends - unrestricted shares and deferred shares$30,764 $30,763 $30,761 $30,754 $30,724 $123,042 $122,823 
Common unit distributions - unrestricted units341 341 341 339 337 1,362 1,405 
Distributions on dilutive preferred units69 — 77 — 77 — — 
Dividends and distributions for diluted FFO payout ratio31,174 31,104 31,179 31,093 31,138 124,404 124,228 
Distributions on dilutive preferred units— 77 — 77 — 300 — 
Dividends and distributions for other payout ratios$31,174 $31,181 $31,179 $31,170 $31,138 $124,704 $124,228 
35

Corporate Office Properties Trust
Supplementary Reconciliations of Non-GAAP Measures (continued)
(in thousands)
12/31/209/30/206/30/203/31/2012/31/19
Total assets$4,077,023 $4,120,189 $4,011,325 $4,054,457 $3,854,453 
Accumulated depreciation1,124,253 1,095,441 1,065,094 1,035,703 1,007,120 
Accumulated amort. of real estate intangibles and deferred leasing costs217,124 215,651 216,267 214,693 212,547 
COPT’s share of liabilities of unconsolidated real estate JVs
26,710 50,957 50,984 50,966 50,734 
COPT’s share of accumulated depreciation and amortization of unconsolidated real estate JVs
1,489 10,640 9,815 8,990 8,164 
Less: Property - operating lease liabilities
(30,746)(26,382)(20,796)(17,365)(17,317)
Less: Property - finance lease liabilities
(28)(28)(688)(702)(702)
Less: Cash and cash equivalents
(18,369)(11,458)(21,596)(159,061)(14,733)
Less: COPT’s share of cash of unconsolidated real estate JVs
(152)(538)(627)(593)(498)
Adjusted book$5,397,304 $5,454,472 $5,309,778 $5,187,088 $5,099,768 
Gross debt (page 29)
$2,127,715 $2,247,523 $2,073,351 $2,139,130 $1,893,057 
Less: Cash and cash equivalents(18,369)(11,458)(21,596)(159,061)(14,733)
Less: COPT’s share of cash of unconsolidated real estate JVs(152)(538)(627)(593)(498)
Net debt$2,109,194 $2,235,527 $2,051,128 $1,979,476 $1,877,826 
Preferred equity— 8,800 8,800 8,800 8,800 
Net debt plus preferred equity$2,109,194 $2,244,327 $2,059,928 $1,988,276 $1,886,626 


36



Corporate Office Properties Trust
Definitions
Non-GAAP Measures

We believe that the measures defined below that are not determined in accordance with generally accepted accounting principles (“GAAP”) are helpful to investors in measuring our performance and comparing it to that of other real estate investment trusts (“REITs”).  Since these measures exclude certain items includable in their respective most comparable GAAP measures, reliance on the measures has limitations; management compensates for these limitations by using the measures simply as supplemental measures that are weighed in balance with other GAAP and non-GAAP measures.  These measures should not be used as an alternative to the respective most comparable GAAP measures when evaluating our financial performance or to cash flow from operating, investing and financing activities when evaluating our liquidity or ability to make cash distributions or pay debt service.
 
Adjusted book
Defined as total assets presented on our consolidated balance sheet, net of lease liabilities associated with property right-of-use assets, and excluding the effect of cash and cash equivalents, accumulated depreciation on real estate properties, accumulated amortization of intangible assets on real estate acquisitions, accumulated amortization of deferred leasing costs, disposed properties included in assets held for sale, unconsolidated real estate joint ventures (“JVs”) cash and cash equivalents, liabilities and accumulated depreciation and amortization (of real estate intangibles and deferred leasing costs) allocable to our ownership interest in the JVs and the effect of properties serving as collateral for debt in default that we extinguished (or intend to extinguish) via conveyance of such properties.

Adjusted earnings before interest, income taxes, depreciation and amortization (“Adjusted EBITDA”) 
Adjusted EBITDA is net income adjusted for the effects of interest expense, depreciation and amortization, gain on sales and impairment losses of real estate and investments in unconsolidated real estate JVs, gain or loss on early extinguishment of debt, loss on interest rate derivatives, net gain or loss on other investments, credit loss expense or recoveries, operating property acquisition costs, income taxes, business development expenses, demolition costs on redevelopment and nonrecurring improvements, executive transition costs and certain other expenses that we believe are not closely correlated with our operating performance.  Adjusted EBITDA also includes adjustments to net income for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JV. While EBITDA (earnings before interest, taxes, depreciation and amortization) is a universally-defined supplemental measure, Adjusted EBITDA incorporates additional adjustments for gains and losses from investing and financing activities and certain other items that we believe are not closely correlated to (or associated with) our operating performance. We believe that adjusted EBITDA is a useful supplemental measure for assessing our un-levered performance.  We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.
 
Amortization of acquisition intangibles included in NOI 
Represents the amortization of intangible asset and liability categories that is included in net operating income, including amortization of above- or below-market leases and above- or below-market cost arrangements.

Basic FFO available to common share and common unit holders (“Basic FFO”) 
This measure is FFO adjusted to subtract (1) preferred share dividends, (2) income attributable to noncontrolling interests through ownership of preferred units in Corporate Office Properties, L.P. (the “Operating Partnership”) or interests in other consolidated entities not owned by us, (3) depreciation and amortization allocable to noncontrolling interests in other consolidated entities, (4) Basic FFO allocable to share-based compensation awards and (5) issuance costs associated with redeemed preferred shares.  With these adjustments, Basic FFO represents FFO available to common shareholders and holders of common units in the Operating Partnership (“common units”).  Common units are substantially similar to our common shares of beneficial interest (“common shares”) and are exchangeable into common shares, subject to certain conditions.  We believe that Basic FFO is useful to investors due to the close correlation of common units to common shares.  We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.

37



Corporate Office Properties Trust
Definitions
Cash net operating income (“Cash NOI”) 
Defined as NOI from real estate operations adjusted to eliminate the effects of: straight-line rental adjustments, amortization of tenant incentives, amortization of intangibles and other assets included in FFO and NOI, lease termination fees from tenants to terminate their lease obligations prior to the end of the agreed upon lease terms and rental revenue recognized under GAAP resulting from landlord assets and lease incentives funded by tenants.  Cash NOI also includes adjustments to NOI from real estate operations for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs. Under GAAP, rental revenue is recognized evenly over the term of tenant leases (through straight-line rental adjustments and amortization of tenant incentives), which, given the long term nature of our leases, does not align with the economics of when tenant payments are due to us under the arrangements.  Also under GAAP, when a property is acquired, we allocate the acquisition to certain intangible components, which are then amortized into NOI over their estimated lives, even though the resulting revenue adjustments are not reflective of our lease economics.  In addition, revenue from lease termination fees and tenant-funded landlord improvements, absent an adjustment from us, would result in large one-time lump sum amounts in Cash NOI that we do not believe are reflective of a property’s long-term value.  We believe that Cash NOI is a useful supplemental measure of operating performance for a REIT’s operating real estate because it makes adjustments to NOI for the above stated items to be more reflective of the economics of when tenant payments are due to us under our leases and the value of our properties.  As is the case with NOI, the measure is useful in our opinion in evaluating and comparing the performance of geographic segments, Same Properties groupings and individual properties.  We believe that NOI from real estate operations, our segment performance measure, is the most directly comparable GAAP measure to this non-GAAP measure.

COPT’s share of NOI from unconsolidated real estate JVs
Represents the net of revenues and property operating expenses of real estate operations owned through unconsolidated JVs that are allocable to COPT’s ownership interest. This measure is included in the computation of NOI, our segment performance measure, as discussed below.

Diluted adjusted funds from operations available to common share and common unit holders (“Diluted AFFO”) 
Defined as Diluted FFO, as adjusted for comparability, adjusted for the following: (1) the elimination of the effect of (a) noncash rental revenues and property operating expenses (comprised of straight-line rental adjustments, which includes the amortization of recurring tenant incentives, and amortization of acquisition intangibles included in FFO and NOI, both of which are described under “Cash NOI” above), (b) share-based compensation, net of amounts capitalized, (c) amortization of deferred financing costs, (d) amortization of debt discounts and premiums and (e) amortization of settlements of debt hedges; and (2) replacement capital expenditures (defined below).  Diluted AFFO also includes adjustments to Diluted FFO, as adjusted for comparability for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs. We believe that Diluted AFFO is a useful supplemental measure of operating performance for a REIT because it incorporates adjustments for: certain revenue and expenses that are not associated with cash to or from us during the period; and certain capital expenditures for operating properties incurred during the period that do require cash outlays.  We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.

Diluted FFO available to common share and common unit holders (“Diluted FFO”) 
Diluted FFO is Basic FFO adjusted to add back any changes in Basic FFO that would result from the assumed conversion of securities that are convertible or exchangeable into common shares.  The computation of Diluted FFO assumes the conversion of common units but does not assume the conversion of other securities that are convertible into common shares if the conversion of those securities would increase Diluted FFO per share in a given period.  We believe that Diluted FFO is useful to investors because it is the numerator used to compute Diluted FFO per share, discussed below.  We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.
38



Corporate Office Properties Trust
Definitions
 
Diluted FFO available to common share and common unit holders, as adjusted for comparability (“Diluted FFO, as adjusted for comparability”)
Defined as Diluted FFO or FFO adjusted to exclude: operating property acquisition costs; gain or loss on early extinguishment of debt; FFO associated with properties that secured non-recourse debt on which we defaulted and, subsequently, extinguished via conveyance of such properties (including property NOI, interest expense and gains on debt extinguishment); loss on interest rate derivatives; demolition costs on redevelopment and nonrecurring improvements; executive transition costs, accounting charges for original issuance costs associated with redeemed preferred shares; allocations of FFO to holders of noncontrolling interests resulting from capital events; and certain other expenses that we believe are not closely correlated with our operating performance.  Diluted FFO, as adjusted for comparability also includes adjustments to Diluted FFO for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs. We believe this to be a useful supplemental measure alongside Diluted FFO as it excludes gains and losses from certain investing and financing activities and certain other items that we believe are not closely correlated to (or associated with) our operating performance. The adjustment for FFO associated with properties securing non-recourse debt on which we defaulted pertains to the periods subsequent to our default on the loan’s payment terms, which was the result of our decision to not support payments on the loan since the estimated fair value of the properties was less than the loan balance. While we continued as the legal owner of the properties during this period, all cash flows produced by them went directly to the lender and we did not fund any debt service shortfalls, which included incremental additional interest under the default rate. We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.
 
Diluted FFO per share 
Diluted FFO per share is (1) Diluted FFO divided by (2) the sum of the (a) weighted average common shares outstanding during a period, (b) weighted average common units outstanding during a period and (c) weighted average number of potential additional common shares that would have been outstanding during a period if other securities that are convertible or exchangeable into common shares were converted or exchanged.  The computation of Diluted FFO per share assumes the conversion of common units but does not assume the conversion of other securities that are convertible into common shares if the conversion of those securities would increase Diluted FFO per share in a given period.  We believe that Diluted FFO per share is useful to investors because it provides investors with a further context for evaluating our FFO results in the same manner that investors use earnings per share (“EPS”) in evaluating net income available to common shareholders.  We believe that diluted EPS is the most directly comparable GAAP measure to this non-GAAP measure.
 
Diluted FFO per share, as adjusted for comparability 
Defined as (1) Diluted FFO available to common share and common unit holders, as adjusted for comparability divided by (2) the sum of the (a) weighted average common shares outstanding during a period, (b) weighted average common units outstanding during a period and (c) weighted average number of potential additional common shares that would have been outstanding during a period if other securities that are convertible or exchangeable into common shares were converted or exchanged.  The computation of this measure assumes the conversion of common units but does not assume the conversion of other securities that are convertible into common shares if the conversion of those securities would increase the per share measure in a given period.  We believe this to be a useful supplemental measure alongside Diluted FFO per share as it excludes gains and losses from investing and financing activities and certain other items that we believe are not closely correlated to (or associated with) our operating performance. We believe that diluted EPS is the most directly comparable GAAP measure to this non-GAAP measure.
 
Earnings before interest, income taxes, depreciation and amortization for real estate (“EBITDAre”) 
Defined as net income adjusted for the effects of interest expense, depreciation and amortization, gains on sales and impairment losses of real estate and investments in unconsolidated real estate JVs, and income taxes. EBITDAre also includes adjustments to net income for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs. While EBITDA (earnings before interest, taxes, depreciation and amortization) is a universally-defined supplemental measure, EBITDAre incorporates additional adjustments for gains and losses from investing activities related to our investments in operating properties. We believe that EBITDAre is a useful supplemental measure for assessing our un-levered performance. We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.

39



Corporate Office Properties Trust
Definitions
Funds from operations (“FFO” or “FFO per Nareit”)
Defined as net income computed using GAAP, excluding gains on sales and impairment losses of real estate and investments in unconsolidated real estate JVs (net of associated income tax) and real estate-related depreciation and amortization. FFO also includes adjustments to net income for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs. We believe that we use the National Association of Real Estate Investment Trust’s (“Nareit”) definition of FFO, although others may interpret the definition differently and, accordingly, our presentation of FFO may differ from those of other REITs.  We believe that FFO is useful to management and investors as a supplemental measure of operating performance because, by excluding gains on sales and impairment losses of real estate (net of associated income tax) and real estate-related depreciation and amortization, FFO can help one compare our operating performance between periods.  We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.

Gross debt
Defined as total consolidated outstanding debt, which is debt reported per our balance sheet adjusted to exclude net discounts and premiums and deferred financing costs, as further adjusted to include outstanding debt of unconsolidated real estate JVs that were allocable to our ownership interest in the JVs.

In-place adjusted EBITDA
Defined as Adjusted EBITDA, as further adjusted for: (1) the removal of NOI pertaining to properties in the quarterly periods in which such properties were disposed or removed from service; (2) the addition of pro forma adjustments to NOI for (a) properties acquired, placed in service or expanded upon subsequent to the commencement of a quarter made in order to reflect a full quarter of ownership/operations and (b) significant mid-quarter occupancy changes associated with properties recently placed in service with no occupancy; and (3) certain adjustments to deferred rental revenue associated with changes in our assessment of collectability that we believe are not closely correlated with our operating performance. The measure also includes adjustments to Adjusted EBITDA for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs. We believe that in-place adjusted EBITDA is a useful supplemental measure of performance for assessing our un-levered performance, as further adjusted for changes in operating properties subsequent to the commencement of a quarter.  We believe that net income is the most directly comparable GAAP measure to this non-GAAP measure.

Net debt
Defined as Gross debt (total outstanding debt reported per our balance sheet as adjusted to exclude net discounts and premiums and deferred financing costs), as adjusted to subtract cash and cash equivalents as of the end of the period and debt in default that was extinguished via conveyance of properties. The measure also includes adjustments to Gross debt for the effects of the items noted above pertaining to unconsolidated real estate JVs that were allocable to our ownership interest in the JVs.

Net debt plus preferred equity
Defined as Net debt plus the total liquidation preference of our outstanding preferred equity.

Net debt to Adjusted book and Net debt plus preferred equity to Adjusted book
These measures divide either Net debt or Net debt plus preferred equity (defined above) by Adjusted book (defined above).

Net debt to in-place adjusted EBITDA ratio and Net debt plus preferred equity to in-place adjusted EBITDA ratio
Defined as Net debt or Net debt plus preferred equity (as defined above) divided by in-place adjusted EBITDA (defined above) for the three month period that is annualized by multiplying by four.

40



Corporate Office Properties Trust
Definitions
Net operating income from real estate operations (“NOI”)
NOI, which is our segment performance measure, includes: consolidated real estate revenues; consolidated property operating expenses; and the net of revenues and property operating expenses of real estate operations owned through unconsolidated real estate JVs that are allocable to COPT’s ownership interest in the JVs. We believe that NOI is an important supplemental measure of operating performance for a REIT’s operating real estate because it provides a measure of the core real estate operations that is unaffected by depreciation, amortization, financing and general, administrative and leasing expenses; we believe this measure is particularly useful in evaluating the performance of geographic segments, Same Properties groupings and individual properties. 

NOI debt service coverage ratio and Adjusted EBITDA debt service coverage ratio 
These measures divide either NOI from real estate operations or Adjusted EBITDA by the sum of interest expense (excluding amortization of deferred financing costs and amortization of debt discounts and premiums, net of amounts capitalized, gains or losses on interest rate derivatives and interest expense on debt in default to be extinguished via conveyance of properties) and scheduled principal amortization on mortgage loans.
 
NOI fixed charge coverage ratio and Adjusted EBITDA fixed charge coverage ratio 
These measures divide either NOI from real estate operations or Adjusted EBITDA by the sum of (1) interest expense (excluding amortization of deferred financing costs and amortization of debt discounts and premiums, net of amounts capitalized, gains or losses on interest rate derivatives and interest expense on debt in default to be extinguished via conveyance of properties), (2) scheduled principal amortization on mortgage loans, (3) capitalized interest, (4) dividends on preferred shares and (5) distributions on preferred units in the Operating Partnership not owned by us.
 
NOI interest coverage ratio and Adjusted EBITDA interest coverage ratio 
These measures divide either NOI from real estate operations or Adjusted EBITDA by interest expense (excluding amortization of deferred financing costs and amortization of debt discounts and premiums, net of amounts capitalized, gains on losses on interest rate derivatives and interest expense on debt in default to be extinguished via conveyance of properties).

Payout ratios based on: Diluted FFO; Diluted FFO, as adjusted for comparability; and Diluted AFFO 
These payout ratios are defined as (1) the sum of dividends on unrestricted common shares and distributions to holders of interests in the Operating Partnership (excluding unvested share-based compensation awards) and dividends on convertible preferred shares when such distributions and dividends are included in Diluted FFO divided by (2) the respective non-GAAP measures on which the payout ratios are based.

Replacement capital expenditures 
Replacement capital expenditures are defined as tenant improvements and incentives, building improvements and leasing costs incurred during the period for operating properties that are not (1) items contemplated prior to the acquisition of a property, (2) improvements associated with the expansion of a building or its improvements, (3) renovations to a building which change the underlying classification of the building (for example, from industrial to office or Class C office to Class B office), (4) capital improvements that represent the addition of something new to the property rather than the replacement of something (for example, the addition of a new heating and air conditioning unit that is not replacing one that was previously there) or (5) replacements of significant components of a building after the building has reached the end of its original useful life. Replacement capital expenditures excludes expenditures of operating properties included in disposition plans during the period that were already sold or are held for future disposition. For cash tenant incentives not due to the tenant for a period exceeding three months past the date on which such incentives were incurred, we recognize such incentives as replacement capital expenditures in the periods such incentives are due to the tenant. Replacement capital expenditures, which is included in the computation of Diluted AFFO, is intended to represent non-transformative capital expenditures of existing properties held for long-term investment. We believe that the excluded expenditures are more closely associated with our investing activities than the performance of our operating portfolio.

41



Corporate Office Properties Trust
Definitions
Same Properties NOI and Same Properties cash NOI
Defined as NOI, or Cash NOI, from real estate operations of Same Properties.  We believe that these are important supplemental measures of operating performance of Same Properties for the same reasons discussed above for NOI from real estate operations and Cash NOI.

Other Definitions
 
Acquisition Costs — Transaction costs expensed in connection with executed or anticipated acquisitions of operating properties.
 
Annualized Rental Revenue (“ARR”) — The monthly contractual base rent as of the reporting date multiplied by 12, plus the estimated annualized expense reimbursements under existing leases for occupied space. With regard to properties owned through unconsolidated real estate JVs, we include the portion of Annualized Rental Revenue allocable to COPT’s ownership interest.

Average escalations — Leasing statistic used to report average increase in rental rates over lease terms for leases with a term of greater than one-year.
 
B RE COPT — B RE COPT DC JV II LLC, a real estate JV formed in 2020.

BREIT-COPT — BREIT COPT DC JV LLC, a real estate JV formed in 2019.

Development Properties — Properties under, or contractually committed for, development.

Core Portfolio — Represents Defense/IT Locations and Regional Office properties.

Defense/IT Locations — Represents properties in locations that support the United States Government and its contractors, most of whom are engaged in national security, defense and IT related activities servicing what we believe are growing, durable, priority missions.

First Generation Space — Newly-developed or redeveloped space that has never been occupied.

GI-COPT — GI-COPT DC Partnership LLC, a real estate JV formed in 2016.

Operational Space — The portion of a property in operations (excludes portion under development or redevelopment).

Redevelopment Properties — Properties previously in operations on which activities to substantially renovate such properties were underway or approved.

Regional Office Properties — Includes office properties located in select urban/urban-like submarkets in the Greater Washington, DC/Baltimore region with durable Class-A office fundamentals and characteristics.

Same Properties — Operating office and data center shell properties stably owned and 100% operational since at least 1/1/19.
 
Second Generation Space — Space leased that has been previously occupied.
 
Total Portfolio — Operating properties, including ones owned through unconsolidated real estate JVs.
42


logo2dtd021015a01a181.jpg
6711 Columbia Gateway Drive, Suite 300
Columbia, Maryland 21046
Telephone 443-285-5400
Facsimile 443-285-7650
www.copt.com
NYSE: OFC
  
 NEWS RELEASE
   
FOR IMMEDIATE RELEASEIR Contacts: 
 Stephanie Krewson-KellyMichelle Layne
 443-285-5453443-285-5452
 stephanie.kelly@copt.commichelle.layne@copt.com


COPT Reports Fourth Quarter and Full Year 2020 Results
________________________________________________________

EPS of $0.87 for 2020 Exceeded High End of Guidance by 8-Cents;
FFO per Share, as Adjusted for Comparability, of $2.12 Represented 4.4% Growth over 2019 Results & Exceeded High End of Guidance by 2-Cents

Same-Property Cash NOI Increased 1.6% During the Year

Core Portfolio 94.3% Occupied & 95.0% Leased

Record 1.8 Million SF of 99% Leased Developments Placed into Service During 2020

1.5 Million SF of Active Developments are 84% Leased
________________________________________________________

Operations Minimally Affected by COVID-19 Shutdowns

Monthly Rent Collections During Pandemic Shutdowns Totaled 99.7%

Rent Relief Totaled 1% of Annualized Rental Revenues
________________________________________________________

Solid Annual Leasing Activity

Total Leasing of 3.6 Million SF for the Year included 1 Million SF of Development Leasing and
416,000 SF of Vacancy Leasing

Record Tenant Retention of 81% for the Year

GAAP Rents on Renewals Increased 6.5% & Cash Rents Rolled Down 2.1%
________________________________________________________

COLUMBIA, MD (BUSINESS WIRE) February 4, 2021 - Corporate Office Properties Trust (“COPT” or the “Company”) (NYSE: OFC) announced financial and operating results for the fourth quarter and full year ended December 31, 2020.

i


Management Comments
Stephen E. Budorick, COPT’s President & Chief Executive Officer, commented, “Notwithstanding the challenges presented by the COVID-19 pandemic, 2020 was a very strong year for our Company. Our operations were minimally impacted by the pandemic shutdowns, as demonstrated by our 99.7% rent collection rate, the record 1.8 million square feet of fully leased developments we placed in service, and the one million square feet of new development leasing we completed during the year. Additionally, fourth quarter and full-year FFO per share, as adjusted for comparability, outperformed the high ends of guidance by 2-cents due to non-recurring items in the quarter.”

He continued, “During 2021, we expect incremental NOI from developments placed in service to drive solid FFO per share growth. The $2.19 midpoint of our 2021 initial guidance is a penny higher than the midpoint implied by the growth guideposts we provided last October and reflects the on-going strength of our operations.”

Financial Highlights

4th Quarter Financial Results:
Diluted earnings per share (“EPS”) was $0.73 for the quarter ended December 31, 2020 as compared to $0.38 for the fourth quarter of 2019.

Diluted funds from operations per share (“FFOPS”), as calculated in accordance with Nareit’s definition, was $0.53 for the fourth quarter of 2020 as compared to $0.49 for fourth quarter 2019 results.

FFOPS, as adjusted for comparability, was $0.56 in the fourth quarter of 2020 as compared to $0.50 for the fourth quarter of 2019.

Full Year 2020 Financial Results:
EPS for the year ended December 31, 2020 was $0.87 as compared to 2019 EPS of $1.71.

Per Nareit’s definition, FFOPS for 2020 was $1.50 as compared to $2.02 for 2019.

FFOPS, as adjusted for comparability, for 2020 was $2.12 as compared to $2.03 for 2019.

Operating Performance Highlights

Operating Portfolio Summary:
At December 31, 2020, the Company’s core portfolio of 179 operating office and data center shell properties was 94.3% occupied and 95.0% leased.

During the quarter and the year, the Company placed into service 582,000 and 1.8 million square feet that were 100% and 99% leased, respectively.

Same-Property Performance:
At December 31, 2020, COPT’s same-property portfolio of 144 buildings was 92.1% occupied and 93.1% leased.

For the quarter and year ended December 31, 2020, the Company’s same-property cash NOI was flat and increased 1.6%, respectively, over the prior year’s comparable periods.

Leasing:
Total Square Feet Leased: For the quarter ended December 31, 2020, the Company leased 869,000 total square feet, including 232,000 square feet of renewals, 495,000 square feet in development projects, and 142,000 square feet of new leases on vacant space.

For the year ended December 31, 2020, the Company executed 3.6 million square feet of total leasing, including 2.2 million square feet of renewals, 1.0 million square feet of development leasing, and 416,000 square feet of vacancy leasing.
ii



Renewal Rates: During the quarter and year ended December 31, 2020, the Company respectively renewed 59.0% and 80.6% of total expiring square feet.

Cash Rent Spreads & Average Escalations on Renewing Leases: For the quarter and year ended December 31, 2020, cash rents on renewed space decreased 2.6% and 2.1%, respectively. For the same respective periods, annual escalations on renewing leases averaged 2.5% and 2.4%.

Lease Terms: In the fourth quarter, lease terms averaged 3.8 years on renewing leases, 15.0 years on development leasing, and 5.3 years on new leasing of vacant space. For the year, lease terms averaged 4.2 years on renewing leases, 14.6 years on development leasing, and 6.2 years on vacancy leasing.

Investment Activity Highlights

Development Pipeline: As of December 31, 2020, the Company’s development pipeline consisted of 11 properties totaling 1.5 million square feet that were 84% leased. These projects have a total estimated cost of $613.0 million, of which $324.4 million had been incurred.

Balance Sheet and Capital Transaction Highlights

During the fourth quarter, the Company formed a new joint venture with funds affiliated with Blackstone Real Estate (“B RE-COPT JV”) and sold a 90% interest in two wholly-owned data center shell properties; in a second transaction, COPT sold a 40% interest in six data center shells properties already owned in a 50-50 joint venture. From these two transactions, COPT received approximately $165 million of equity value and recognized gains on the sales totaling $59.4 million.

In October, the Company redeemed the remaining $177.1 million of its 3.70% Senior Notes due in 2021 for $180.9 million plus accrued interest, and recognized a loss on early extinguishment of debt of $4.1 million.

Additionally, in December, the Company redeemed all $8.8 million of Series I Preferred Convertible Units and, as a result, had zero preferred equity outstanding at the end of 2020.

As of December 31, 2020, the Company’s net debt to adjusted book ratio was 39.1% and its net debt to in-place adjusted EBITDA ratio was 6.2x. For the quarter and year ended December 31, 2020, the Company’s adjusted EBITDA fixed charge coverage ratio was 4.1x.

As of December 31, 2020, and including the effect of interest rate swaps, the Company’s weighted average effective interest rate on its consolidated debt portfolio was 3.4% with a weighted average maturity of 3.3 years; additionally, 82.1% of the Company’s debt was subject to fixed interest rates.

Associated Supplemental Presentation
Prior to the call, the Company will post a slide presentation to accompany management’s prepared remarks for its fourth quarter and year end 2020 conference call, the details of which are provided below. The accompanying slide presentation can be viewed on and downloaded from the ‘Latest Updates’ section of COPT’s Investors website: https://investors.copt.com/

2021 Guidance
The Company details its initial full year and first quarter guidance, with supporting assumptions, in a separate press release issued concurrently with this press release; that release can be found in the ‘News, Presentations & Event Calendar’ section of COPT’s Investors website: https://investors.copt.com/News/news-releases/default.aspx

iii


Conference Call Information
Management will discuss fourth quarter and year end 2020 results on its conference call tomorrow at 12:00 p.m. Eastern Time, details of which are listed below:

Conference Call Date:         Friday, February 5, 2021
Time:         12:00 p.m. Eastern Time
Telephone Number: (within the U.S.)     855-463-9057
Telephone Number: (outside the U.S.)     661-378-9894
Passcode:         1548922

The conference call will also be available via live webcast in the ‘Latest Updates’ section of COPT’s Investors website: https://investors.copt.com/

Replay Information
A replay of the conference call will be immediately available via webcast on the Investors website. Additionally, a telephonic replay of this call will be available beginning at 3:00 p.m. Eastern Time on Friday, February 5, through 3:00 p.m. Eastern Time on Friday, February 19. To access the replay within the United States, please call 855-859-2056; to access it from outside the United States, please call 404-537-3406. In either case, use passcode 1548922.

Definitions
For definitions of certain terms used in this press release, please refer to the information furnished in the Company’s Supplemental Information Package furnished on a Form 8-K which can be found on its website (www.copt.com). Reconciliations of non-GAAP measures to the most directly comparable GAAP measures are included in the attached tables.

About COPT
COPT is a REIT that owns, manages, leases, develops and selectively acquires office and data center properties. The majority of its portfolio is in locations that support the United States Government and its contractors, most of whom are engaged in national security, defense and information technology (“IT”) related activities servicing what it believes are growing, durable, priority missions (“Defense/IT Locations”). The Company also owns a portfolio of office properties located in select urban/urban-like submarkets in the Greater Washington, DC/Baltimore region with durable Class-A office fundamentals and characteristics (“Regional Office Properties”). As of December 31, 2020, the Company derived 87% of its core portfolio annualized rental revenue from Defense/IT Locations and 13% from its Regional Office Properties. As of the same date and including 17 properties owned through unconsolidated joint ventures, COPT’s core portfolio of 179 office and data center shell properties encompassed 20.8 million square feet and was 95.0% leased; the Company also owned one wholesale data center with a critical load of 19.25 megawatts that was 86.7% leased.

Forward-Looking Information
This press release may contain “forward-looking” statements, as defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, that are based on the Company’s current expectations, estimates and projections about future events and financial trends affecting the Company. Forward-looking statements can be identified by the use of words such as “may,” “will,” “should,” “could,” “believe,” “anticipate,” “expect,” “estimate,” “plan” or other comparable terminology. Forward-looking statements are inherently subject to risks and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate. Although the Company believes that the expectations, estimates and projections reflected in such forward-looking statements are based on reasonable assumptions at the time made, the Company can give no assurance that these expectations, estimates and projections will be achieved. Future events and actual results may differ materially from those discussed in the forward-looking statements and the Company undertakes no obligation to update or supplement any forward-looking statements.

The areas of risk that may affect these expectations, estimates and projections include, but are not limited to, those risks described in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 and subsequent Quarterly Reports on Form 10-Q.
iv

Corporate Office Properties Trust
Summary Financial Data
(unaudited)
(dollars and shares in thousands, except per share data)
 For the Three Months Ended December 31, For the Years Ended December 31,
 2020201920202019
Revenues  
Revenues from real estate operations$139,628 $131,968 $538,725 $527,463 
Construction contract and other service revenues24,400 25,817 70,640 113,763 
Total revenues164,028 157,785 609,365 641,226 
Operating expenses  
Property operating expenses52,085 51,098 203,840 198,143 
Depreciation and amortization associated with real estate operations36,653 32,779 138,193 137,069 
Construction contract and other service expenses23,563 24,832 67,615 109,962 
Impairment losses— 1,530 329 
General and administrative expenses7,897 7,043 25,269 27,517 
Leasing expenses1,993 2,293 7,732 7,885 
Business development expenses and land carry costs999 1,292 4,473 4,239 
Total operating expenses123,190 119,339 448,652 485,144 
Interest expense(17,148)(16,777)(67,937)(71,052)
Interest and other income3,341 1,917 8,574 7,894 
Credit loss recoveries772 — 933 — 
Gain on sales of real estate30,204 20,761 30,209 105,230 
Gain on sale of investment in unconsolidated real estate joint venture29,416 — 29,416 — 
Loss on early extinguishment of debt(4,069)— (7,306)— 
Loss on interest rate derivatives— — (53,196)— 
Income before equity in income of unconsolidated entities and income taxes83,354 44,347 101,406 198,154 
Equity in income of unconsolidated entities453 426 1,825 1,633 
Income tax (expense) benefit(258)104 (353)217 
Net income 83,549 44,877 102,878 200,004 
Net income attributable to noncontrolling interests:  
Common units in the Operating Partnership (“OP”)(995)(500)(1,180)(2,363)
Preferred units in the OP(69)(77)(300)(564)
Other consolidated entities(817)(1,515)(4,024)(5,385)
Net income attributable to COPT common shareholders$81,668 $42,785 $97,374 $191,692 
Earnings per share (“EPS”) computation:  
Numerator for diluted EPS:  
Net income attributable to COPT common shareholders$81,668 $42,785 $97,374 $191,692 
Amount allocable to share-based compensation awards(280)(154)(404)(623)
Redeemable noncontrolling interests44 33 — 132 
Distributions on dilutive convertible preferred units69 — — — 
Numerator for diluted EPS$81,501 $42,664 $96,970 $191,201 
Denominator:  
Weighted average common shares - basic111,817 111,670 111,788 111,196 
Dilutive effect of share-based compensation awards320 293 288 308 
Dilutive effect of redeemable noncontrolling interests117 108 — 119 
Dilutive convertible preferred units155 — — — 
Weighted average common shares - diluted112,409 112,071 112,076 111,623 
Diluted EPS$0.73 $0.38 $0.87 $1.71 
v



Corporate Office Properties Trust
Summary Financial Data
(unaudited)
(in thousands, except per share data)
 For the Three Months Ended December 31, For the Years Ended December 31,
 2020201920202019
Net income$83,549 $44,877 $102,878 $200,004 
Real estate-related depreciation and amortization36,653 32,779 138,193 137,069 
Impairment losses on real estate
— 1,530 329 
Gain on sales of real estate(30,204)(20,761)(30,209)(105,230)
Gain on sale of investment in unconsolidated real estate joint venture(29,416)— (29,416)— 
Depreciation and amortization on unconsolidated real estate JVs874 781 3,329 2,703 
Funds from operations (“FFO”)61,456 57,678 186,305 234,875 
Noncontrolling interests - preferred units in the OP(69)(77)(300)(564)
FFO allocable to other noncontrolling interests(1,091)(1,436)(15,705)(5,024)
Basic FFO allocable to share-based compensation awards(272)(243)(719)(905)
Basic FFO available to common share and common unit holders (“Basic FFO”)
60,024 55,922 169,581 228,382 
Dilutive preferred units in the OP69 77 — — 
Redeemable noncontrolling interests44 33 147 132 
Diluted FFO available to common share and common unit holders (“Diluted FFO”)
60,137 56,032 169,728 228,514 
Loss on early extinguishment of debt4,069 — 7,306 — 
Loss on interest rate derivatives— — 53,196 — 
Demolition costs on redevelopment and nonrecurring improvements
— 104 63 148 
Executive transition costs
— — — 
Non-comparable professional and legal expenses
— 195 — 681 
Dilutive preferred units in the OP
— — 300 — 
FFO allocation to other noncontrolling interests resulting from capital event
— — 11,090 — 
Diluted FFO comparability adjustments allocable to share-based compensation awards
(18)(1)(327)(3)
Diluted FFO available to common share and common unit holders, as adjusted for comparability
64,188 56,330 241,356 229,344 
Straight line rent adjustments and lease incentive amortization3,438 1,386 4,100 255 
Amortization of intangibles included in net operating income24 (174)(162)(221)
Share-based compensation, net of amounts capitalized1,751 1,735 6,505 6,728 
Amortization of deferred financing costs664 541 2,539 2,136 
Amortization of net debt discounts, net of amounts capitalized504 382 1,733 1,503 
Accum. other comprehensive loss on derivatives amortized to expense— — — 79 
Replacement capital expenditures(13,973)(19,862)(60,944)(63,789)
Other diluted AFFO adjustments associated with real estate JVs
196 (68)190 212 
Diluted adjusted funds from operations available to common share and common unit holders (“Diluted AFFO”)
$56,792 $40,270 $195,317 $176,247 
Diluted FFO per share$0.53 $0.49 $1.50 $2.02 
Diluted FFO per share, as adjusted for comparability$0.56 $0.50 $2.12 $2.03 
Dividends/distributions per common share/unit$0.275 $0.275 $1.100 $1.100 

vi



Corporate Office Properties Trust
Summary Financial Data
(unaudited)
(Dollars and shares in thousands, except per share data)
December 31,
2020
December 31,
2019
Balance Sheet Data  
Properties, net of accumulated depreciation$3,562,549 $3,340,886 
Total assets4,077,023 3,854,453 
Debt, per balance sheet2,086,918 1,831,139 
Total liabilities2,357,881 2,105,777 
Redeemable noncontrolling interests25,430 29,431 
Equity1,693,712 1,719,245 
Net debt to adjusted book39.1 %36.8 %
Core Portfolio Data (as of period end) (1)  
Number of operating properties179 168 
Total operational square feet (in thousands)20,802 19,016 
% Occupied94.3 %93.1 %
% Leased95.0 %94.6 %
For the Three Months Ended December 31, For the Years Ended December 31,
2020201920202019
Payout ratios    
Diluted FFO51.8 %55.6 %73.3 %54.4 %
Diluted FFO, as adjusted for comparability48.6 %55.3 %51.7 %54.2 %
Diluted AFFO
54.9 %77.3 %63.8 %70.5 %
Adjusted EBITDA fixed charge coverage ratio4.1 3.7 3.9 3.7 
Net debt plus preferred equity to in-place adjusted EBITDA ratio (2)6.2 6.1 N/AN/A
Reconciliation of denominators for per share measures 
Denominator for diluted EPS112,409 112,071 112,076 111,623 
Weighted average common units1,239 1,228 1,236 1,299 
Redeemable noncontrolling interests— — 123 — 
Dilutive convertible preferred units— 176 — — 
Denominator for diluted FFO per share113,648 113,475 113,435 112,922 
Dilutive convertible preferred units— — 171 — 
Denominator for diluted FFO per share, as adjusted for comparability113,648 113,475 113,606 112,922 

(1)Represents Defense/IT Locations and Regional Office properties.
(2)Represents net debt plus the total liquidation preference of preferred equity as of period end divided by in-place adjusted EBITDA for the period, as annualized (i.e. three month periods are multiplied by four).

vii



Corporate Office Properties Trust
Summary Financial Data
(unaudited)
(in thousands)
For the Three Months Ended December 31, For the Years Ended December 31,
 2020201920202019
Reconciliation of common share dividends to dividends and distributions for payout ratios  
Common share dividends - unrestricted shares and deferred shares$30,764 $30,724 $123,042 $122,823 
Common unit distributions - unrestricted units341 337 1,362 1,405 
Distributions on dilutive preferred units69 77 — — 
Dividends and distributions for diluted FFO payout ratio31,174 31,138 124,404 124,228 
Distributions on dilutive preferred units— — 300 — 
Dividends and distributions for other payout ratios$31,174 $31,138 $124,704 $124,228 
Reconciliation of GAAP net income to earnings before interest, income taxes, depreciation and amortization for real estate (“EBITDAre”), adjusted EBITDA and in-place adjusted EBITDA    
Net income$83,549 $44,877 $102,878 $200,004 
Interest expense17,148 16,777 67,937 71,052 
Income tax expense (benefit)258 (104)353 (217)
Real estate-related depreciation and amortization36,653 32,779 138,193 137,069 
Other depreciation and amortization513 438 1,837 1,834 
Impairment losses on real estate— 1,530 329 
Gain on sales of real estate(30,204)(20,761)(30,209)(105,230)
Gain on sale of investment in unconsolidated real estate joint venture(29,416)— (29,416)— 
Adjustments from unconsolidated real estate JVs1,306 1,206 5,120 4,065 
EBITDAre79,807 75,214 258,223 308,906 
Loss on early extinguishment of debt4,069 — 7,306 — 
Loss on interest rate derivatives— — 53,196 — 
Net gain on other investments(1,218)(1)(966)(401)
Credit loss recoveries(772)— (933)— 
Business development expenses412 512 2,042 1,939 
Non-comparable professional and legal expenses— 195 — 681 
Demolition costs on redevelopment and nonrecurring improvements— 104 63 148 
Executive transition costs— — — 
Adjusted EBITDA82,298 76,024 $318,931 $311,277 
Proforma net operating income adjustment for property changes within period
1,459 463 
Change in collectability of deferred rental revenue678 928 
In-place adjusted EBITDA$84,435 $77,415 
Reconciliation of interest expense to the denominators for fixed charge coverage-Adjusted EBITDA    
Interest expense$17,148 $16,777 $67,937 $71,052 
Less: Amortization of deferred financing costs(664)(541)(2,539)(2,136)
Less: Amortization of net debt discounts, net of amounts capitalized
(504)(382)(1,733)(1,503)
Less: Accum. other comprehensive loss on derivatives amortized to expense
— — — (79)
COPT’s share of interest expense of unconsolidated real estate JVs, excluding deferred financing costs
422 416 1,749 1,332 
Scheduled principal amortization1,048 1,010 4,125 4,310 
Capitalized interest2,620 3,467 12,060 10,786 
Preferred unit distributions69 77 300 564 
Denominator for fixed charge coverage-Adjusted EBITDA$20,139 $20,824 $81,899 $84,326 
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Corporate Office Properties Trust
Summary Financial Data
(unaudited)
(in thousands)
For the Three Months Ended December 31, For the Years Ended December 31,
 2020201920202019
Reconciliations of tenant improvements and incentives, building improvements and leasing costs for operating properties to replacement capital expenditures
Tenant improvements and incentives$9,165 $11,447 $36,342 $38,047 
Building improvements7,523 8,826 34,060 26,598 
Leasing costs1,514 2,998 8,432 11,663 
Net (exclusions from) additions to tenant improvements and incentives(370)(426)1,042 (2,292)
Excluded building improvements and leasing costs(3,859)(2,983)(18,932)(10,227)
Replacement capital expenditures
$13,973 $19,862 $60,944 $63,789 
Same Properties cash NOI$74,240 $74,223 $292,083 $287,589 
Straight line rent adjustments and lease incentive amortization(1,831)(2,681)(5,372)(3,584)
Amortization of acquired above- and below-market rents99 197 390 312 
Amortization of intangibles and other assets to property operating expenses— (23)(69)(92)
Lease termination fees, gross399 417 1,451 2,046 
Tenant funded landlord assets and lease incentives248 754 812 2,206 
Same Properties NOI$73,155 $72,887 $289,295 $288,477 
December 31,
2020
December 31,
2019
Reconciliation of total assets to adjusted book
  
Total assets$4,077,023 $3,854,453 
Accumulated depreciation1,124,253 1,007,120 
Accumulated amortization of real estate intangibles and deferred leasing costs217,124 212,547 
COPT’s share of liabilities of unconsolidated real estate JVs
26,710 50,734 
COPT’s share of accumulated depreciation and amortization of unconsolidated real estate JVs
1,489 8,164 
Less: Property - operating lease liabilities
(30,746)(17,317)
Less: Property - finance lease liabilities
(28)(702)
Less: Cash and cash equivalents
(18,369)(14,733)
Less: COPT’s share of cash of unconsolidated real estate JVs
(152)(498)
Adjusted book$5,397,304 $5,099,768 
Reconciliation of debt outstanding to net debt and net debt plus preferred equity
Debt outstanding (excluding net debt discounts and deferred financing costs)$2,127,715 1,893,057 
Less: Cash and cash equivalents(18,369)(14,733)
Less: COPT’s share of cash of unconsolidated real estate JVs(152)(498)
Net debt$2,109,194 $1,877,826 
Preferred equity— 8,800 
Net debt plus preferred equity$2,109,194 $1,886,626 
ix