(Unaudited)
Corporate Office Properties Trust
Index to Supplemental Information (Unaudited)
December 31, 2007
|
Page |
Highlights and Discussion |
|
Reporting Period Highlights Year Ended December 31, 2007 |
1 |
Reporting Period Highlights Fourth Quarter 2007 |
3 |
Forward-Looking Statements |
5 |
|
|
Financial Statements |
|
Annual Selected Financial Summary Data |
6 |
Annual Consolidated Balance Sheets |
7 |
Annual Consolidated Statements of Operations |
8 |
Annual Consolidated Reconciliations of Funds From Operations (FFO), Adjusted Funds From Operations (AFFO) and Earnings per diluted share, as adjusted |
9 |
Annual Consolidated Reconciliations of Earnings Before Interest, Income Taxes, Depreciation and Amortization (EBITDA) |
10 |
Quarterly Selected Financial Summary Data |
11 |
Quarterly Consolidated Balance Sheets |
12 |
Quarterly Consolidated Statements of Operations |
13 |
Quarterly Consolidated Reconciliations of Funds From Operations (FFO), Adjusted Funds From Operations (AFFO) and Earnings per diluted share, as adjusted |
14 |
Quarterly Consolidated Reconciliations of Earnings Before Interest, Income Taxes, Depreciation and Amortization (EBITDA), Combined Net Operating Income (NOI), Discontinued Operations and Gains on Sales of Real Estate |
15 |
|
|
Selected Financial Analyses |
|
Quarterly Equity Analysis |
16 |
Quarterly Debt Analysis |
17 |
Quarterly Operating Ratios |
18 |
Quarterly Dividend Analysis |
19 |
Investor Composition and Analyst Coverage |
20 |
Debt Maturity Schedule December 31, 2007 |
21 |
|
|
Portfolio Summary |
|
Property Summary by Region December 31, 2007 Wholly Owned Properties |
22 |
Property Summary by Region December 31, 2007 Joint Venture Properties |
28 |
Property Occupancy Rates by Region by Quarter Wholly Owned Properties |
29 |
Property Occupancy Rates by Region by Quarter Joint Venture Properties |
30 |
Top Twenty Office Tenants of Wholly Owned Properties as of December 31, 2007 |
31 |
Combined Real Estate Revenue and Combined Net Operating Income by Geographic Region by Quarter |
32 |
Same Office Property Cash and GAAP Net Operating Income by Quarter |
33 |
Average Occupancy Rates by Region for Same Office Properties |
34 |
Office Lease Expiration Analysis by Year for Wholly Owned Properties |
35 |
Annual Office Renewal Analysis |
36 |
Quarterly Office Renewal Analysis for Wholly Owned Properties as of December 31, 2007 |
37 |
Year to Date Wholly Owned Acquisition Summary as of December 31, 2007 |
38 |
Year to Date Wholly Owned Disposition Summary as of December 31, 2007 |
39 |
Development Summary as of December 31, 2007 |
40 |
Total Development Placed into Service as of December 31, 2007 |
42 |
Land Inventory as of December 31, 2007 |
43 |
Joint Venture Summary as of December 31, 2007 |
44 |
Reconciliations of Non GAAP Measurements |
45 |
To Members of the Investment Community:
We prepared this supplemental information package to provide you with additional detail on our properties and operations. The information in this package is unaudited, furnished to the Securities and Exchange Commission (SEC) and should be read in conjunction with our quarterly and annual reports. If you have any questions or comments, please contact Ms. Mary Ellen Fowler, Vice President and Treasurer at (443) 285-5450 or maryellen.fowler@copt.com. Reconciliations between GAAP and non GAAP measurements have been provided on page 45. Refer to our Form 8-K for definitions of certain terms used herein.
Reporting Period Highlights Year Ended December 31, 2007
Financial Results
· Reported FFO diluted of $125,309,000 or $2.24 per share/unit for the year ended December 31, 2007 as compared to $98,937,000 or $1.91 per share/unit for the comparable 2006 period, representing an increase of 17.3% per share/unit. Included in our 2006 FFO diluted is a $3.9 million accounting charge associated with the Series E and Series F preferred share redemptions. Without this accounting charge, our 2006 FFO diluted, as adjusted, would have been $1.99 per share, representing an increase of 12.6% per share/unit.
· Reported Net Income Available to Common Shareholders of $18,716,000 or $.39 per diluted share for the year ended December 31, 2007 as compared to $29,927,000 or $.69 per diluted share for the comparable 2006 period, representing a decrease of 43.5% per share. Included in 2007 net income is a gain on sale of real estate of approximately $4.8 million, net of minority interests and income taxes, as compared to a gain on sale of real estate of approximately $14.8 million, net of minority interests and income taxes, in 2006 net income. Also included in 2006 net income is an accounting charge of $3.9 million, or $.09 per share, for the write-off of initial issuance costs related to the Series E and Series F preferred share redemptions.
· Reported AFFO diluted of $90,767,000 for the year ended December 31, 2007 as compared to $74,679,000 for the comparable 2006 period, representing an increase of 21.5%.
· Our FFO payout ratio was 57.5% for the year ended December 31, 2007 as compared to 60.3% for the comparable 2006 period. Our AFFO payout ratio was 79.3% for the year ended December 31, 2007 as compared to 79.9% for the comparable 2006 period.
Acquisitions / Dispositions
During 2007, we continued our strategy of reducing our position in non-core markets and redeploying funds into our core and expansion markets. Some highlights follow:
· Core markets - We acquired 56 operating assets, containing approximately 2.4 million square feet, and 187 acres of land, developable into approximately 2.0 million square feet, for $362.5 million plus $1.4 million in transaction costs (collectively, the Nottingham portfolio). As a result of the Nottingham portfolio, we obtained a dominant ownership position in the White Marsh submarket. Through this opportunistic transaction, we recognized a gain of $3.0 million ($1.9 million after-tax gain) on the sale of 16.5 acres of development land. In addition, we sold a 56,000 square foot operating property for $6.8 million and recognized a gain of $1.1 million.
· Dispositions - We sold four non-core properties (including the 56,000 square foot operating property mentioned above) totaling 128,153 square feet for $17.8 million and realized a gain of $3.9 million.
Financing Activity and Capital Transactions
· During the year, we raised $194.0 million of equity, including $167.4 million from the issuance of 3.4 million common shares/units with an average deemed value of $48.90 per share/unit and $26.6 million from the issuance of Series K convertible preferred shares. These Series K convertible preferred shares accrue annual dividends at the rate of $2.80 per share, which is equal to 5.6% of the $50.00 per share liquidation preference on these preferred shares. Of these equity issuances, approximately $181.5 million funded part of the $362.5 million Nottingham portfolio acquisition.
1
· We increased our quarterly dividend 9.7% to $.34 per share from $.31 per share.
· In October 2007, we increased the borrowing capacity under our unsecured line of credit from $500.0 to $600.0 million and extended the maturity date to September 30, 2011, subject to a one-year extension option. As part of the second amended and restated credit agreement, we improved our interest rate pricing ranging from 75 basis points to 125 basis points over LIBOR, depending upon our leverage ratio.
· In May 2007, we closed a $150.0 million, ten year, 5.65% fixed interest rate loan which requires interest only payments. We primarily used the net proceeds to retire $120.5 million of existing indebtedness scheduled to mature in June 2007.
Development / Joint Ventures
· We created development opportunities primarily through the $10.0 million purchase of 56 acres of land which can support potential development of 800,000 square feet of office space. This site is strategically located adjacent to Aberdeen Proving Ground in Aberdeen, Maryland and will be known as Northgate Business Park. In addition, we acquired the remaining 50% undivided interest for $14.0 million in a 132 acre parcel of land located in InterQuest Office Business Park in Colorado Springs, Colorado, which can support up to 1.9 million square feet of office space.
· We placed into service 548,614 square feet in six properties in the year ended December 31, 2007. One of these properties contained 68,196 square feet placed into service during 2006. This total space, consisting of 616,810 square feet, was 95.4% leased as of December 31, 2007. Two of these properties containing 295,842 square feet are classified as data centers.
· Within our Colorado Springs region, the City of Colorado Springs selected us as the master developer for a 272 acre site, which can support approximately 3.5 million square feet of office, retail, industrial and flex space. This land parcel, located adjacent to the Colorado Springs Airport and Peterson Air Force Base, represents an $800.0 million strategic opportunity which we expect to fund over the next fifteen to twenty years.
· In July 2007, we acquired a 50% joint venture interest in Arundel Preserve #5, LLC which owns a 23 acre land parcel located in Hanover, Maryland that can support up to 455,400 square feet of office development, of which 151,800 square feet are under construction.
Operations
· During 2007, we leased 2.6 million square feet including 2.2 million square feet of renewed and retenanted space, 238,000 square feet of previously unoccupied space and 104,000 square feet of new development space.
· We renewed 1.7 million square feet, or 69.1%, of our expiring office leases (based upon square footage) with an average capital cost of $5.93 per square foot during the year ended December 31, 2007. For our renewed space only, we realized an increase of 9.5% as measured from the GAAP straight-line rent in effect preceding the renewal date, and an increase of 2.5% in total cash rent. For our renewed and retenanted space of 2.2 million square feet, we realized an increase in total rent of 7.3%, as measured from the GAAP straight-line rent in effect preceding the renewal date, and an increase of 0.9% in total cash rent. We incurred an average committed cost of $9.58 per square foot for our renewed and retenanted space for the year.
· For our entire portfolio, we recognized $4.1 million in lease termination fees, net of write-offs of related straight-line rents and previously unamortized deferred market revenue (SFAS 141 revenues) for the year ended December 31, 2007, as compared to $5.7 million for the year ended December 31, 2006.
· In June 2007, we received $2.5 million and recognized a $1.0 million gain in connection with the disposition of most of our investment in TractManager, Inc. TractManager, Inc. is an entity that developed an Internet-based contract imaging and management system for sale to real estate owners and healthcare providers. We will continue to use the cost method of accounting for our $128,000 remaining investment.
2
Reporting Period Highlights Fourth Quarter 2007
Financial Results
· Reported FFO diluted of $32,832,000 or $.59 per share/unit, for the fourth quarter of 2007 as compared to $25,077,000, or $.48 per share/unit, for the comparable 2006 period, representing an increase of 22.9% per share/unit. Included in our fourth quarter 2006 FFO diluted is a $2.1 million accounting charge associated with the Series F preferred share redemption. Without this accounting charge, our FFO diluted, as adjusted, would have been $.52 per share, representing an increase of 13.5% as compared to the fourth quarter of 2007.
· Reported Net Income Available to Common Shareholders of $5,904,000, or $.12 per diluted share, for the fourth quarter of 2007 as compared to $3,730,000, or $.08 per diluted share, for the comparable 2006 period. Included in fourth quarter 2006 net income is an accounting charge of $2.1 million, or $.05 per share, for the write-off of initial issuance costs related to the Series F preferred share redemption.
· Reported AFFO diluted of $23,232,000 for the fourth quarter of 2007 as compared to $17,695,000 for the comparable 2006 period, representing an increase of 31.3%.
· Our FFO payout ratio was 57.5% for the fourth quarter of 2007 as compared to 63.5% for the comparable 2006 period. Our AFFO payout ratio was 81.2% for the fourth quarter of 2007 as compared to 89.9% for the comparable 2006 period.
Financing Activity and Capital Transactions
· In October, we executed a swap for an aggregate notional amount of $50.0 million at a fixed one-month LIBOR rate of 4.330%, which commenced October 23, 2007 and expires on October 23, 2009.
· As of December 31, 2007, our ratio of debt to market capitalization was 48.0%, and our ratio of debt to undepreciated book value of real estate assets was 60.9%. We achieved an EBITDA interest coverage ratio of 2.95x and an EBITDA fixed charge coverage ratio of 2.45x for this quarter.
Dispositions
· During the fourth quarter, we sold 11.6 acres of land located in Owings Mills, Maryland for $6.4 million and recognized a gain of $1.7 million (or an after-tax gain of $.7 million). In addition, we sold a 56,000 square foot operating property, classified as discontinued operations, for $6.8 million and recognized a gain of $1.1 million.
· During the fourth quarter, we placed into service 228,523 square feet, 100% leased, in the following two buildings: 320 Sentinel Way (known as 320 NBP) and 201 Technology Park Drive.
· In December, we signed a 75,000 square foot, ten year lease with ITT Corporation, Systems Division for 655 Space Center Drive (known as Patriot Park VI) in Colorado Springs, Colorado. This development property is 72.1% leased as of December 31, 2007.
· Our wholly owned portfolio was 92.59% occupied and 93.42% leased, as of December 31, 2007. Our entire portfolio was 92.49% occupied and 93.29% leased, as of December 31, 2007.
· Our same office property cash NOI for the quarter ended December 31, 2007 increased by 6.6%, or $3.1 million, as compared to the quarter ended December 31, 2006. Our same office portfolio consists of 162 properties and represents 81.3% of our wholly owned portfolio as of December 31, 2007.
3
· Weighted average lease term of our wholly owned portfolio is 5.0 years, as of December 31, 2007 with an average contractual rental rate (including tenant reimbursements of operating costs) of $21.36 per square foot.
· We renewed 300,970 square feet, or 60.4%, of our expiring office leases (based upon square footage) with an average committed cost of $3.98 per square foot during the fourth quarter. For our renewed space only, we realized an increase in total rent of 16.0%, as measured from the GAAP straight-line rent in effect preceding the renewal date, and an increase of 7.4% in total cash rent. For our renewed and retenanted space of 436,116 square feet, we realized an increase in total rent of 8.5%, as measured from the GAAP straight-line rent in effect preceding the renewal date and an increase of 0.2% in total cash rent. We incurred an average committed cost of $12.83 per square foot for our renewed and retenanted space in the fourth quarter.
· We recognized $.6 million in lease termination fees, net of write-offs of related straight-line rents and accretion of intangible assets and liabilities (i.e., SFAS 141 revenues) in the quarter ended December 31, 2007, as compared to $3.4 million in the quarter ended December 31, 2006.
· On January 29, 2008, we completed the formation of M Square Associates, LLC, a joint venture in which we hold a 45% equity interest. This joint venture will own, develop and manage office properties, approved for up to approximately 750,000 square feet, located in M Square Research Park in College Park, Maryland. This joint venture is constructing a 118,107 square foot property located at 5825 University Research Court, within M Square Research Park.
· On January 29, 2008, we placed into service the entire 59,763 square foot property located at 1055 North Newport Road in Colorado Springs, Colorado which is 100% leased to SI International, Inc. for a ten year term.
· On January 31, 2008, we sold a 142,385 square foot operating property located in Central New Jersey for $17.0 million and realized an estimated gain of $1.3 million. We now own only three properties totaling 242,598 square feet in Central New Jersey.
Forward-Looking Statements
This supplemental information contains 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 our current expectations, estimates and projections about future events and financial trends affecting us. Forward-looking statements can be identified by the use of words such as may, will, should, expect, estimate 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. Accordingly, 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.
Important factors that may affect these expectations, estimates, and projections include, but are not limited to:
· our ability to borrow on favorable terms;
· general economic and business conditions, which will, among other things, affect office property demand and rents, tenant creditworthiness, interest rates and financing availability;
· adverse changes in the real estate markets including, among other things, increased competition with other companies;
· risk of real estate acquisition and development, including, among other things, risks that development projects may not be completed on schedule, that tenants may not take occupancy or pay rent or that development or operating costs may be greater than anticipated;
4
· risks of investing through joint venture structures, including risks that our joint venture partners may not fulfill their financial obligations as investors or may take actions that are inconsistent with our objectives;
· our ability to satisfy and operate effectively under federal income tax rules relating to real estate investment trusts and partnerships;
· governmental actions and initiatives; and
· environmental requirements.
We undertake no obligation to update or supplement any forward-looking statements. For further information, please refer to our filings with the Securities and Exchange Commission, particularly the section entitled Risk Factors in Item 1 of our Annual Report on Form 10-K for the year ended December 31, 2006.
5
Annual Selected Financial Summary Data
(Dollars in thousands)
|
|
December 31 |
|
|||||||
|
|
2007 |
|
2006 |
|
2005 |
|
|||
|
|
|
|
|
|
|
|
|||
Revenues from Real Estate Operations |
|
$ |
368,949 |
|
$ |
293,578 |
|
$ |
236,809 |
|
|
|
|
|
|
|
|
|
|||
EBITDA |
|
235,271 |
|
213,389 |
|
169,135 |
|
|||
|
|
|
|
|
|
|
|
|||
Net Income |
|
34,784 |
|
49,227 |
|
39,031 |
|
|||
Preferred Share dividends |
|
(16,068 |
) |
(15,404 |
) |
(14,615 |
) |
|||
Issuance costs associated with redeemed preferred shares |
|
|
|
(3,896 |
) |
|
|
|||
|
|
|
|
|
|
|
|
|||
Net Income Available to Common Shareholders |
|
$ |
18,716 |
|
$ |
29,927 |
|
$ |
24,416 |
|
|
|
|
|
|
|
|
|
|||
Earnings per diluted share |
|
$ |
0.39 |
|
$ |
0.69 |
|
$ |
0.63 |
|
|
|
|
|
|
|
|
|
|||
Earnings per diluted share, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
0.39 |
|
$ |
0.78 |
|
$ |
0.63 |
|
|
|
|
|
|
|
|
|
|||
Funds From Operations (FFO) - Diluted |
|
$ |
125,309 |
|
$ |
98,937 |
|
$ |
88,801 |
|
FFO per diluted share |
|
$ |
2.24 |
|
$ |
1.91 |
|
$ |
1.86 |
|
|
|
|
|
|
|
|
|
|||
FFO per diluted share, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
2.24 |
|
$ |
1.99 |
|
$ |
1.86 |
|
|
|
|
|
|
|
|
|
|||
Adjusted FFO - Diluted |
|
$ |
90,767 |
|
$ |
74,679 |
|
$ |
63,414 |
|
|
|
|
|
|
|
|
|
|||
Payout Ratios: |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|||
Earnings Payout |
|
327.7 |
% |
166.0 |
% |
166.9 |
% |
|||
|
|
|
|
|
|
|
|
|||
FFO - Diluted |
|
57.5 |
% |
60.3 |
% |
56.3 |
% |
|||
|
|
|
|
|
|
|
|
|||
AFFO - Diluted |
|
79.3 |
% |
79.9 |
% |
78.8 |
% |
|||
|
|
|
|
|
|
|
|
|||
Total Dividends/Distributions |
|
$ |
88,741 |
|
$ |
75,730 |
|
$ |
65,252 |
|
Note: The above presentation does not separately report discontinued operations.
6
Annual Consolidated Balance Sheets
(Dollars in thousands except per share data)
|
|
December 31 |
|
|||||||
|
|
2007 |
|
2006 |
|
2005 |
|
|||
Assets |
|
|
|
|
|
|
|
|||
Investment in real estate: |
|
|
|
|
|
|
|
|||
Land - operational |
|
$ |
416,711 |
|
$ |
343,098 |
|
$ |
314,720 |
|
Land - development |
|
214,696 |
|
153,436 |
|
117,434 |
|
|||
Construction in progress |
|
181,316 |
|
144,991 |
|
138,183 |
|
|||
Buildings and improvements |
|
2,079,136 |
|
1,689,359 |
|
1,491,253 |
|
|||
Investment in and advances to unconsolidated real estate joint ventures |
|
|
|
|
|
1,451 |
|
|||
Less: accumulated depreciation |
|
(288,387 |
) |
(219,574 |
) |
(174,935 |
) |
|||
Net investment in real estate |
|
2,603,472 |
|
2,111,310 |
|
1,888,106 |
|
|||
|
|
|
|
|
|
|
|
|||
Cash and cash equivalents |
|
24,638 |
|
7,923 |
|
10,784 |
|
|||
Restricted cash |
|
15,121 |
|
52,856 |
|
21,476 |
|
|||
Accounts receivable, net |
|
24,831 |
|
26,367 |
|
15,606 |
|
|||
Deferred rent receivable |
|
53,631 |
|
41,643 |
|
32,579 |
|
|||
Deferred charges, net |
|
49,051 |
|
43,710 |
|
35,046 |
|
|||
Intangible assets on real estate acquisitions, net |
|
108,661 |
|
87,325 |
|
90,984 |
|
|||
Prepaid and other assets |
|
52,448 |
|
48,467 |
|
35,178 |
|
|||
Total assets |
|
$ |
2,931,853 |
|
$ |
2,419,601 |
|
$ |
2,129,759 |
|
|
|
|
|
|
|
|
|
|||
Liabilities and shareholders equity |
|
|
|
|
|
|
|
|||
Liabilities: |
|
|
|
|
|
|
|
|||
Mortgage and other loans payable |
|
$ |
1,625,842 |
|
$ |
1,298,537 |
|
$ |
1,348,351 |
|
3.5% Exchangeable Senior Notes |
|
200,000 |
|
200,000 |
|
|
|
|||
Accounts payable and accrued expenses |
|
75,363 |
|
68,190 |
|
41,693 |
|
|||
Rents received in advance and security deposits |
|
30,978 |
|
20,237 |
|
14,774 |
|
|||
Deferred revenue associated with acquired operating leases |
|
11,530 |
|
11,120 |
|
12,707 |
|
|||
Distributions in excess of investment in unconsolidated real estate joint ventures |
|
4,246 |
|
3,614 |
|
3,081 |
|
|||
Dividends/distributions payable |
|
22,441 |
|
19,164 |
|
16,703 |
|
|||
Other liabilities |
|
8,716 |
|
8,249 |
|
4,727 |
|
|||
Total liabilities |
|
1,979,116 |
|
1,629,111 |
|
1,442,036 |
|
|||
|
|
|
|
|
|
|
|
|||
Minority interests: |
|
|
|
|
|
|
|
|||
Preferred Units in the Operating Partnership |
|
8,800 |
|
8,800 |
|
8,800 |
|
|||
Common Units in the Operating Partnership |
|
114,127 |
|
104,934 |
|
95,014 |
|
|||
Other consolidated real estate joint ventures |
|
7,168 |
|
2,453 |
|
1,396 |
|
|||
Total minority interests |
|
130,095 |
|
116,187 |
|
105,210 |
|
|||
|
|
|
|
|
|
|
|
|||
Commitments and contingencies |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|||
Shareholders equity: |
|
|
|
|
|
|
|
|||
Preferred Shares ($0.01 par value; 15,000,000 authorized) |
|
81 |
|
76 |
|
67 |
|
|||
Common Shares of beneficial interest ($0.01 par value; |
|
|
|
|
|
|
|
|||
75,000,000 authorized, 47,366,475 shares issued as of December 31, 2007) |
|
474 |
|
429 |
|
399 |
|
|||
Additional paid-in capital |
|
950,615 |
|
758,032 |
|
657,339 |
|
|||
Cumulative distributions in excess of net income |
|
(126,156 |
) |
(83,541 |
) |
(67,697 |
) |
|||
Value of unearned restricted common share grants |
|
|
|
|
|
(7,113 |
) |
|||
Accumulated other comprehensive loss |
|
(2,372 |
) |
(693 |
) |
(482 |
) |
|||
Total shareholders equity |
|
822,642 |
|
674,303 |
|
582,513 |
|
|||
Total shareholders equity and minority interests |
|
|
952,737 |
|
|
790,490 |
|
|
687,723 |
|
Total liabilities and shareholders equity |
|
$ |
2,931,853 |
|
$ |
2,419,601 |
|
$ |
2,129,759 |
|
Note: The above presentation does not separately report discontinued operations.
7
Annual Consolidated Statements of Operations
(Dollars and units in thousands)
|
|
December 31 |
|
|||||||
|
|
2007 |
|
2006 |
|
2005 |
|
|||
Revenues |
|
|
|
|
|
|
|
|||
Rental revenue |
|
$ |
315,588 |
|
$ |
253,913 |
|
$ |
208,144 |
|
Tenant recoveries and other real estate operations revenue |
|
53,361 |
|
39,665 |
|
28,665 |
|
|||
Construction contract revenues |
|
37,074 |
|
52,182 |
|
74,357 |
|
|||
Other service operations revenues |
|
4,151 |
|
7,902 |
|
4,877 |
|
|||
Total Revenues |
|
410,174 |
|
353,662 |
|
316,043 |
|
|||
|
|
|
|
|
|
|
|
|||
Expenses |
|
|
|
|
|
|
|
|||
Property operating |
|
123,282 |
|
92,907 |
|
70,337 |
|
|||
Depreciation and amortization associated with real estate operations |
|
106,331 |
|
78,054 |
|
60,427 |
|
|||
Construction contract expenses |
|
35,723 |
|
49,961 |
|
72,534 |
|
|||
Other service operations expenses |
|
4,070 |
|
7,384 |
|
4,753 |
|
|||
General and administrative expenses |
|
20,523 |
|
16,936 |
|
13,533 |
|
|||
Total Operating Expenses |
|
289,929 |
|
245,242 |
|
221,584 |
|
|||
|
|
|
|
|
|
|
|
|||
Operating Income |
|
120,245 |
|
108,420 |
|
94,459 |
|
|||
Interest expense |
|
(82,032 |
) |
(70,260 |
) |
(53,906 |
) |
|||
Amortization of deferred financing costs |
|
(3,676 |
) |
(2,847 |
) |
(2,229 |
) |
|||
Gain on sales of non-real estate investments |
|
1,033 |
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|||
Income from continuing operations before equity in loss of unconsolidated entities, income taxes and minority interests |
|
35,570 |
|
35,313 |
|
38,324 |
|
|||
Equity in loss of unconsolidated entities |
|
(224 |
) |
(92 |
) |
(88 |
) |
|||
Income tax expense |
|
(569 |
) |
(887 |
) |
(668 |
) |
|||
Income from continuing operations before minority interests |
|
34,777 |
|
34,334 |
|
37,568 |
|
|||
Minority interest in income from continuing operations |
|
|
|
|
|
|
|
|||
Common units in the Operating Partnership |
|
(2,860 |
) |
(3,302 |
) |
(4,326 |
) |
|||
Preferred units in the Operating Partnership |
|
(660 |
) |
(660 |
) |
(660 |
) |
|||
Other consolidated entities |
|
122 |
|
136 |
|
85 |
|
|||
Income from continuing operations |
|
31,379 |
|
30,508 |
|
32,667 |
|
|||
Income from discontinued operations, net of income taxes and minority interests |
|
1,845 |
|
17,987 |
|
6,096 |
|
|||
Income before gain on sales of real estate |
|
33,224 |
|
48,495 |
|
38,763 |
|
|||
Gain on sales of real estate, net of income taxes and minority interests |
|
1,560 |
|
732 |
|
268 |
|
|||
Net Income |
|
34,784 |
|
49,227 |
|
39,031 |
|
|||
Preferred share dividends |
|
(16,068 |
) |
(15,404 |
) |
(14,615 |
) |
|||
Issuance costs associated with redeemed preferred shares |
|
|
|
(3,896 |
) |
|
|
|||
Net Income Available to Common Shareholders |
|
$ |
18,716 |
|
$ |
29,927 |
|
$ |
24,416 |
|
|
|
|
|
|
|
|
|
|||
For EPS Computations: |
|
|
|
|
|
|
|
|||
Numerator: |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|||
Numerator for Dilutive EPS Computation |
|
$ |
18,716 |
|
$ |
29,927 |
|
$ |
24,416 |
|
|
|
|
|
|
|
|
|
|||
Denominator: |
|
|
|
|
|
|
|
|||
Weighted Average Common Shares - Basic |
|
46,527 |
|
41,463 |
|
37,371 |
|
|||
Dilutive effect of share-based compensation awards |
|
1,103 |
|
1,799 |
|
1,626 |
|
|||
Weighted Average Common Shares - Diluted |
|
47,630 |
|
43,262 |
|
38,997 |
|
|||
|
|
|
|
|
|
|
|
|||
Earnings per diluted share |
|
$ |
0.39 |
|
$ |
0.69 |
|
$ |
0.63 |
|
8
Annual Consolidated Reconciliations of Funds From Operations (FFO), Adjusted Funds From
Operations (AFFO) and Earnings per diluted share, as adjusted
(Dollars and shares in thousands)
|
|
December 31 |
|
|||||||
|
|
2007 |
|
2006 |
|
2005 |
|
|||
|
|
|
|
|
|
|
|
|||
Net Income |
|
$ |
34,784 |
|
$ |
49,227 |
|
$ |
39,031 |
|
Combined real estate related depreciation and other amortization |
|
106,260 |
|
78,631 |
|
62,850 |
|
|||
Depreciation and amortization of unconsolidated real estate entities |
|
666 |
|
910 |
|
182 |
|
|||
Depreciation and amortization allocable to minority interests in other consol. entities |
|
(188 |
) |
(163 |
) |
(114 |
) |
|||
Gain on sale of real estate properties, excluding redevelopment, net of income taxes |
|
(3,827 |
) |
(17,644 |
) |
(4,422 |
) |
|||
Funds From Operations (FFO) |
|
$ |
137,695 |
|
$ |
110,961 |
|
$ |
97,527 |
|
|
|
|
|
|
|
|
|
|||
Minority interest - common units, gross |
|
3,682 |
|
7,276 |
|
5,889 |
|
|||
Preferred share dividends |
|
(16,068 |
) |
(15,404 |
) |
(14,615 |
) |
|||
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
(3,896 |
) |
|
|
|||
Funds From Operations (FFO) - Basic & Diluted |
|
$ |
125,309 |
|
$ |
98,937 |
|
$ |
88,801 |
|
|
|
|
|
|
|
|
|
|||
Straight line rent adjustments |
|
(11,722 |
) |
(9,740 |
) |
(6,763 |
) |
|||
Amortization of deferred market rental revenue |
|
(1,985 |
) |
(1,904 |
) |
(426 |
) |
|||
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
3,896 |
|
|
|
|||
Recurring capital expenditures |
|
(20,835 |
) |
(16,510 |
) |
(18,198 |
) |
|||
Adjusted Funds From Operations (AFFO) - Diluted |
|
$ |
90,767 |
|
$ |
74,679 |
|
$ |
63,414 |
|
|
|
|
|
|
|
|
|
|||
Preferred dividends |
|
$ |
16,068 |
|
$ |
15,404 |
|
$ |
14,615 |
|
Preferred distributions |
|
660 |
|
660 |
|
660 |
|
|||
Common distributions |
|
10,682 |
|
9,996 |
|
9,222 |
|
|||
Common dividends |
|
61,331 |
|
49,670 |
|
40,755 |
|
|||
Total Dividends/Distributions |
|
$ |
88,741 |
|
$ |
75,730 |
|
$ |
65,252 |
|
|
|
|
|
|
|
|
|
|||
Denominator for earnings per share - Diluted |
|
47,630 |
|
43,262 |
|
38,997 |
|
|||
Common units |
|
8,296 |
|
8,511 |
|
8,702 |
|
|||
Denominator for funds from operations per share - Diluted |
|
55,926 |
|
51,773 |
|
47,699 |
|
|||
|
|
|
|
|
|
|
|
|||
Funds From Operations (FFO) - Diluted |
|
$ |
125,309 |
|
$ |
98,937 |
|
$ |
88,801 |
|
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
3,896 |
|
|
|
|||
FFO - Diluted, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
125,309 |
|
$ |
102,833 |
|
$ |
88,801 |
|
|
|
|
|
|
|
|
|
|||
Numerator for Dilutive EPS Computation |
|
$ |
18,716 |
|
$ |
29,927 |
|
$ |
24,416 |
|
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
3,896 |
|
|
|
|||
Numerator for Dilutive EPS Computation, as adjusted |
|
$ |
18,716 |
|
$ |
33,823 |
|
$ |
24,416 |
|
|
|
|
|
|
|
|
|
|||
Earnings per diluted share, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
0.39 |
|
$ |
0.78 |
|
$ |
0.63 |
|
(1) Earnings per diluted share and FFO per diluted share have been adjusted to exclude the issuance costs associated with our Series E and F redeemed preferred shares.
9
Annual Consolidated Reconciliation of Earnings Before Interest,
Income Taxes, Depreciation and Amortization (EBITDA)
(Dollars and shares in thousands)
|
|
December 31 |
|
|||||||
|
|
2007 |
|
2006 |
|
2005 |
|
|||
|
|
|
|
|
|
|
|
|||
Net Income |
|
$ |
34,784 |
|
$ |
49,227 |
|
$ |
39,031 |
|
Combined interest expense |
|
83,282 |
|
72,420 |
|
57,145 |
|
|||
Combined amortization of deferred financing costs |
|
3,676 |
|
2,981 |
|
2,240 |
|
|||
Combined income tax expense |
|
1,684 |
|
887 |
|
699 |
|
|||
Depreciation of furniture, fixtures and equipment |
|
1,365 |
|
1,443 |
|
706 |
|
|||
Combined real estate related depreciation and other amortization |
|
106,260 |
|
78,631 |
|
62,850 |
|
|||
Minority interest - preferred units |
|
660 |
|
660 |
|
660 |
|
|||
Minority interest - other consolidated entities |
|
(122 |
) |
(136 |
) |
(85 |
) |
|||
Minority interest - common units, gross |
|
3,682 |
|
7,276 |
|
5,889 |
|
|||
Earnings Before Interest, Income Taxes, Depreciation and Amortization (EBITDA) |
|
$ |
235,271 |
|
$ |
213,389 |
|
$ |
169,135 |
|
|
|
|
|
|
|
|
|
|||
Common dividends for Earnings Payout Ratio |
|
$ |
61,331 |
|
$ |
49,670 |
|
$ |
40,755 |
|
Common distributions |
|
10,682 |
|
9,996 |
|
9,222 |
|
|||
Dividends and distributions for FFO and AFFO Payout Ratio |
|
$ |
72,013 |
|
$ |
59,666 |
|
$ |
49,977 |
|
|
|
|
|
|
|
|
|
|||
Total tenant improvements and incentives on operating properties |
|
$ |
21,487 |
|
$ |
20,649 |
|
$ |
30,452 |
|
Total capital improvements on operating properties |
|
11,230 |
|
11,779 |
|
9,782 |
|
|||
Total leasing costs for operating properties |
|
7,562 |
|
8,610 |
|
9,843 |
|
|||
Less: Nonrecurring tenant improvements and incentives on operating properties |
|
(12,192 |
) |
(13,862 |
) |
(21,505 |
) |
|||
Less: Nonrecurring capital improvements on operating properties |
|
(4,494 |
) |
(5,418 |
) |
(4,522 |
) |
|||
Less: Nonrecurring leasing costs for operating properties |
|
(2,856 |
) |
(6,388 |
) |
(6,040 |
) |
|||
Add: Recurring improvements on operating properties held through joint ventures |
|
98 |
|
1,140 |
|
188 |
|
|||
Recurring capital expenditures |
|
$ |
20,835 |
|
$ |
16,510 |
|
$ |
18,198 |
|
|
|
|
|
|
|
|
|
|||
Discontinued Operations |
|
|
|
|
|
|
|
|||
Revenues from real estate operations |
|
$ |
2,570 |
|
$ |
12,214 |
|
$ |
15,550 |
|
Property operating expenses |
|
(1,658 |
) |
(3,126 |
) |
(5,903 |
) |
|||
Depreciation and amortization |
|
(1,294 |
) |
(2,020 |
) |
(3,128 |
) |
|||
Amortization of deferred financing costs |
|
|
|
(134 |
) |
(11 |
) |
|||
General and administrative |
|
(5 |
) |
(1 |
) |
(1 |
) |
|||
Income taxes |
|
(44 |
) |
|
|
|
|
|||
Interest |
|
(1,250 |
) |
(2,160 |
) |
(3,238 |
) |
|||
Gain on sales of real estate |
|
3,871 |
|
17,031 |
|
4,324 |
|
|||
Income from discontinued operations |
|
2,190 |
|
21,804 |
|
7,593 |
|
|||
Minority interests in discontinued operations |
|
(345 |
) |
(3,817 |
) |
(1,497 |
) |
|||
Income from discontinued operations, net of minority interests |
|
$ |
1,845 |
|
$ |
17,987 |
|
$ |
6,096 |
|
|
|
|
|
|
|
|
|
|||
Interest expense from continuing operations |
|
$ |
82,032 |
|
$ |
70,260 |
|
$ |
53,906 |
|
Interest expense from discontinued operations |
|
1,250 |
|
2,160 |
|
3,238 |
|
|||
Combined interest expense |
|
$ |
83,282 |
|
$ |
72,420 |
|
$ |
57,144 |
|
|
|
|
|
|
|
|
|
|||
Amortization of deferred financing costs from continuing operations |
|
$ |
3,676 |
|
$ |
2,847 |
|
$ |
2,229 |
|
Amortization of deferred financing costs from discontinued operations |
|
|
|
134 |
|
11 |
|
|||
Combined amortization of deferred financing costs |
|
$ |
3,676 |
|
$ |
2,981 |
|
$ |
2,240 |
|
|
|
|
|
|
|
|
|
|||
Depreciation and amortization |
|
$ |
106,331 |
|
$ |
78,054 |
|
$ |
60,427 |
|
Depreciation of furniture, fixtures and equipment |
|
(1,365 |
) |
(1,443 |
) |
(706 |
) |
|||
Depreciation and amortization from discontinued operations |
|
1,294 |
|
2,020 |
|
3,128 |
|
|||
Combined real estate related depreciation and other amortization |
|
$ |
106,260 |
|
$ |
78,631 |
|
$ |
62,849 |
|
|
|
|
|
|
|
|
|
|||
Income tax expense from continuing operations |
|
$ |
569 |
|
$ |
887 |
|
$ |
668 |
|
Income tax expense from gain on sales of discontinued operations |
|
44 |
|
|
|
|
|
|||
Income tax expense from gain on other sales of real estate |
|
1,071 |
|
|
|
31 |
|
|||
Combined income tax expense |
|
$ |
1,684 |
|
$ |
887 |
|
$ |
699 |
|
10
Quarterly Selected Financial Summary Data
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Revenues from Real Estate Operations |
|
$ |
94,794 |
|
$ |
94,376 |
|
$ |
90,642 |
|
$ |
89,137 |
|
$ |
77,491 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Revenues |
|
$ |
103,292 |
|
$ |
105,333 |
|
$ |
102,335 |
|
$ |
99,214 |
|
$ |
92,335 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Combined Net Operating Income |
|
$ |
63,739 |
|
$ |
62,593 |
|
$ |
61,876 |
|
$ |
58,371 |
|
$ |
55,636 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA |
|
$ |
61,255 |
|
$ |
61,783 |
|
$ |
58,381 |
|
$ |
53,852 |
|
$ |
51,095 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net Income |
|
$ |
9,929 |
|
$ |
11,431 |
|
$ |
7,877 |
|
$ |
5,547 |
|
$ |
9,587 |
|
Preferred Share dividends |
|
(4,025 |
) |
(4,025 |
) |
(4,025 |
) |
(3,993 |
) |
(3,790 |
) |
|||||
Issuance costs associated with redeemed preferred shares |
|
|
|
|
|
|
|
|
|
(2,067 |
) |
|||||
Net Income Available to Common Shareholders |
|
$ |
5,904 |
|
$ |
7,406 |
|
$ |
3,852 |
|
$ |
1,554 |
|
$ |
3,730 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Earnings per diluted share |
|
$ |
0.12 |
|
$ |
0.15 |
|
$ |
0.08 |
|
$ |
0.03 |
|
$ |
0.08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Earnings per diluted share, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
0.12 |
|
$ |
0.15 |
|
$ |
0.08 |
|
$ |
0.03 |
|
$ |
0.13 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Funds From Operations (FFO) - Diluted |
|
$ |
32,832 |
|
$ |
32,352 |
|
$ |
31,837 |
|
$ |
28,288 |
|
$ |
25,077 |
|
FFO per diluted share |
|
$ |
0.59 |
|
$ |
0.58 |
|
$ |
0.57 |
|
$ |
0.51 |
|
$ |
0.48 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
FFO per diluted share, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
0.59 |
|
$ |
0.58 |
|
$ |
0.57 |
|
$ |
0.51 |
|
$ |
0.52 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Adjusted FFO - Diluted |
|
$ |
23,232 |
|
$ |
23,856 |
|
$ |
21,614 |
|
$ |
22,065 |
|
$ |
17,695 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Payout Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Earnings Payout |
|
272.6 |
% |
217.3 |
% |
379.4 |
% |
934.9 |
% |
356.4 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
FFO - Diluted |
|
57.5 |
% |
58.3 |
% |
54.0 |
% |
60.4 |
% |
63.5 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
AFFO - Diluted |
|
81.2 |
% |
79.1 |
% |
79.5 |
% |
77.4 |
% |
89.9 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Dividends/Distributions |
|
$ |
23,064 |
|
$ |
23,059 |
|
$ |
21,377 |
|
$ |
21,241 |
|
$ |
19,869 |
|
Note: The above presentation does not separately report discontinued operations.
11
Quarterly Consolidated Balance Sheets
(Dollars in thousands except per share data)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment in real estate: |
|
|
|
|
|
|
|
|
|
|
|
|||||
Land - operational |
|
$ |
416,711 |
|
$ |
415,061 |
|
$ |
414,870 |
|
$ |
412,791 |
|
$ |
343,098 |
|
Land - development |
|
214,696 |
|
218,890 |
|
205,887 |
|
193,715 |
|
153,436 |
|
|||||
Construction in progress |
|
181,316 |
|
193,081 |
|
163,810 |
|
185,579 |
|
144,991 |
|
|||||
Buildings and improvements |
|
2,079,136 |
|
2,028,493 |
|
1,995,254 |
|
1,918,742 |
|
1,689,359 |
|
|||||
Less: accumulated depreciation |
|
(288,387 |
) |
(270,580 |
) |
(255,248 |
) |
(236,650 |
) |
(219,574 |
) |
|||||
Net investment in real estate |
|
2,603,472 |
|
2,584,945 |
|
2,524,573 |
|
2,474,177 |
|
2,111,310 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Cash and cash equivalents |
|
24,638 |
|
21,895 |
|
15,123 |
|
22,003 |
|
7,923 |
|
|||||
Restricted cash |
|
15,121 |
|
16,874 |
|
20,482 |
|
19,030 |
|
52,856 |
|
|||||
Accounts receivable, net |
|
24,831 |
|
20,680 |
|
18,826 |
|
24,478 |
|
26,367 |
|
|||||
Deferred rent receivable |
|
53,631 |
|
50,891 |
|
47,579 |
|
44,294 |
|
41,643 |
|
|||||
Deferred charges, net |
|
49,051 |
|
46,019 |
|
47,292 |
|
45,496 |
|
43,710 |
|
|||||
Intangible assets on real estate acquisitions, net |
|
108,661 |
|
116,368 |
|
123,861 |
|
131,934 |
|
87,325 |
|
|||||
Prepaid and other assets |
|
52,448 |
|
58,351 |
|
56,993 |
|
53,311 |
|
48,467 |
|
|||||
Total assets |
|
$ |
2,931,853 |
|
$ |
2,916,023 |
|
$ |
2,854,729 |
|
$ |
2,814,723 |
|
$ |
2,419,601 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Liabilities and shareholders equity |
|
|
|
|
|
|
|
|
|
|
|
|||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage and other loans payable |
|
$ |
1,625,842 |
|
$ |
1,599,912 |
|
$ |
1,552,478 |
|
$ |
1,515,183 |
|
$ |
1,298,537 |
|
3.5% Exchangeable Senior Notes |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
|||||
Accounts payable and accrued expenses |
|
75,363 |
|
80,022 |
|
61,531 |
|
61,131 |
|
68,190 |
|
|||||
Rents received in advance and security deposits |
|
30,978 |
|
24,916 |
|
26,547 |
|
25,127 |
|
20,237 |
|
|||||
Deferred revenue associated with acquired operating leases |
|
11,530 |
|
12,475 |
|
13,522 |
|
14,607 |
|
11,120 |
|
|||||
Distributions in excess of investment in unconsolidated real estate joint ventures |
|
4,246 |
|
4,124 |
|
3,852 |
|
3,797 |
|
3,614 |
|
|||||
Dividends and distributions payable |
|
22,441 |
|
22,433 |
|
20,754 |
|
20,687 |
|
19,164 |
|
|||||
Other liabilities |
|
8,716 |
|
7,766 |
|
7,525 |
|
8,951 |
|
8,249 |
|
|||||
Total liabilities |
|
1,979,116 |
|
1,951,648 |
|
1,886,209 |
|
1,849,483 |
|
1,629,111 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Minority interests: |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred units in the Operating Partnership |
|
8,800 |
|
8,800 |
|
8,800 |
|
8,800 |
|
8,800 |
|
|||||
Common units in the Operating Partnership |
|
114,127 |
|
115,837 |
|
119,297 |
|
118,614 |
|
104,934 |
|
|||||
Other consolidated real estate joint ventures |
|
7,168 |
|
6,970 |
|
2,654 |
|
2,408 |
|
2,453 |
|
|||||
Total minority interests |
|
130,095 |
|
131,607 |
|
130,751 |
|
129,822 |
|
116,187 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commitments and contingencies |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Shareholders equity: |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Shares ($0.01 par value; 15,000,000 authorized) |
|
81 |
|
81 |
|
81 |
|
81 |
|
76 |
|
|||||
Common Shares of beneficial interest ($0.01 par value; 75,000,000 authorized, 47,366,475 shares issued as of December 31, 2007) |
|
474 |
|
473 |
|
472 |
|
469 |
|
429 |
|
|||||
Additional paid-in capital |
|
950,615 |
|
949,392 |
|
944,818 |
|
932,287 |
|
758,032 |
|
|||||
Cumulative distributions in excess of net income |
|
(126,156 |
) |
(115,963 |
) |
(107,277 |
) |
(96,516 |
) |
(83,541 |
) |
|||||
Accumulated other comprehensive loss |
|
(2,372 |
) |
(1,215 |
) |
(325 |
) |
(903 |
) |
(693 |
) |
|||||
Total shareholders equity |
|
822,642 |
|
832,768 |
|
837,769 |
|
835,418 |
|
674,303 |
|
|||||
Total shareholders equity and minority interests |
|
952,737 |
|
964,375 |
|
968,520 |
|
965,240 |
|
790,490 |
|
|||||
Total liabilities and shareholders equity |
|
$ |
2,931,853 |
|
$ |
2,916,023 |
|
$ |
2,854,729 |
|
$ |
2,814,723 |
|
$ |
2,419,601 |
|
Note: The above presentation does not separately report discontinued operations.
12
Quarterly Consolidated Statements of Operations
(Dollars and units in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||
Rental revenue |
|
$ |
81,269 |
|
$ |
80,261 |
|
$ |
78,560 |
|
$ |
75,498 |
|
$ |
66,614 |
|
Tenant recoveries and other real estate operations revenue |
|
13,525 |
|
14,115 |
|
12,082 |
|
13,639 |
|
10,877 |
|
|||||
Construction contract revenues |
|
7,716 |
|
10,047 |
|
10,620 |
|
8,691 |
|
12,263 |
|
|||||
Other service operations revenues |
|
782 |
|
910 |
|
1,073 |
|
1,386 |
|
2,581 |
|
|||||
Total Revenues |
|
103,292 |
|
105,333 |
|
102,335 |
|
99,214 |
|
92,335 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Expenses |
|
|
|
|
|
|
|
|
|
|
|
|||||
Property operating expenses |
|
31,133 |
|
31,614 |
|
28,973 |
|
31,562 |
|
25,447 |
|
|||||
Depreciation and amortization associated with real estate operations |
|
26,312 |
|
26,431 |
|
27,243 |
|
26,345 |
|
19,916 |
|
|||||
Construction contract expenses |
|
7,597 |
|
9,507 |
|
10,136 |
|
8,483 |
|
11,827 |
|
|||||
Other service operations expenses |
|
733 |
|
806 |
|
1,126 |
|
1,405 |
|
2,393 |
|
|||||
General and administrative expenses |
|
5,402 |
|
5,422 |
|
5,085 |
|
4,614 |
|
5,042 |
|
|||||
Total Operating Expenses |
|
71,177 |
|
73,780 |
|
72,563 |
|
72,409 |
|
64,625 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Operating Income |
|
32,115 |
|
31,553 |
|
29,772 |
|
26,805 |
|
27,710 |
|
|||||
Interest expense |
|
(20,771 |
) |
(21,000 |
) |
(20,460 |
) |
(19,801 |
) |
(18,625 |
) |
|||||
Amortization of deferred financing costs |
|
(970 |
) |
(901 |
) |
(921 |
) |
(884 |
) |
(949 |
) |
|||||
Gain on sales of non-real estate investments |
|
|
|
|
|
1,033 |
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Income from continuing operations before equity in loss of unconsolidated entities, income taxes and minority interests |
|
10,374 |
|
9,652 |
|
9,424 |
|
6,120 |
|
8,136 |
|
|||||
Equity in loss of unconsolidated entities |
|
(27 |
) |
(46 |
) |
(57 |
) |
(94 |
) |
(52 |
) |
|||||
Income tax expense |
|
(89 |
) |
(197 |
) |
(178 |
) |
(105 |
) |
(264 |
) |
|||||
Income from continuing operations before minority interests |
|
10,258 |
|
9,409 |
|
9,189 |
|
5,921 |
|
7,820 |
|
|||||
Minority interest in income from continuing operations |
|
|
|
|
|
|
|
|
|
|
|
|||||
Common units in the Operating Partnership |
|
(925 |
) |
(808 |
) |
(828 |
) |
(299 |
) |
(672 |
) |
|||||
Preferred units in the Operating Partnership |
|
(165 |
) |
(165 |
) |
(165 |
) |
(165 |
) |
(165 |
) |
|||||
Other consolidated entities |
|
32 |
|
12 |
|
31 |
|
47 |
|
40 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Income from continuing operations |
|
9,200 |
|
8,448 |
|
8,227 |
|
5,504 |
|
7,023 |
|
|||||
Income (loss) from discontinued operations, net of minority interests |
|
368 |
|
1,945 |
|
(511 |
) |
43 |
|
2,564 |
|
|||||
Income before gain on sales of real estate |
|
9,568 |
|
10,393 |
|
7,716 |
|
5,547 |
|
9,587 |
|
|||||
Gain on sales of real estate, net of income taxes and minority interests |
|
361 |
|
1,038 |
|
161 |
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net Income |
|
9,929 |
|
11,431 |
|
7,877 |
|
5,547 |
|
9,587 |
|
|||||
Preferred share dividends |
|
(4,025 |
) |
(4,025 |
) |
(4,025 |
) |
(3,993 |
) |
(3,790 |
) |
|||||
Issuance costs associated with redeemed preferred shares |
|
|
|
|
|
|
|
|
|
(2,067 |
) |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net Income Available to Common Shareholders |
|
$ |
5,904 |
|
$ |
7,406 |
|
$ |
3,852 |
|
$ |
1,554 |
|
$ |
3,730 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
For EPS Computations: |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Numerator for Dilutive EPS |
|
$ |
5,904 |
|
$ |
7,406 |
|
$ |
3,852 |
|
$ |
1,554 |
|
$ |
3,730 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Denominator: |
|
|
|
|
|
|
|
|
|
|
|
|||||
Weighted Average Common Shares - Basic |
|
46,947 |
|
46,781 |
|
46,686 |
|
45,678 |
|
42,439 |
|
|||||
Dilutive effect of share-based compensation awards |
|
914 |
|
1,005 |
|
1,105 |
|
1,465 |
|
1,641 |
|
|||||
Weighted Average Common Shares - Diluted |
|
47,861 |
|
47,786 |
|
47,791 |
|
47,143 |
|
44,080 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Earnings per diluted share |
|
$ |
0.12 |
|
$ |
0.15 |
|
$ |
0.08 |
|
$ |
0.03 |
|
$ |
0.08 |
|
13
Quarterly Consolidated Reconciliations of Funds From Operations (FFO), Adjusted Funds From
Operations (AFFO) and Earnings per diluted share, as adjusted
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net Income |
|
$ |
9,929 |
|
$ |
11,431 |
|
$ |
7,877 |
|
$ |
5,547 |
|
$ |
9,587 |
|
Combined real estate related depreciation and other amortization |
|
26,607 |
|
26,266 |
|
27,087 |
|
26,300 |
|
19,768 |
|
|||||
Depreciation and amortization of unconsolidated real estate entities |
|
163 |
|
166 |
|
169 |
|
168 |
|
345 |
|
|||||
Depreciation and amortization allocable to minority interests in other consol. entities |
|
(51 |
) |
(48 |
) |
(47 |
) |
(42 |
) |
(41 |
) |
|||||
(Gain) loss on sales of real estate properties, excluding development, net of income taxes |
|
(1,049 |
) |
(2,789 |
) |
11 |
|
|
|
71 |
|
|||||
Funds From Operations (FFO) |
|
35,599 |
|
35,026 |
|
35,097 |
|
31,973 |
|
29,730 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Minority interest - common units, gross |
|
1,258 |
|
1,351 |
|
765 |
|
308 |
|
1,204 |
|
|||||
Preferred share dividends |
|
(4,025 |
) |
(4,025 |
) |
(4,025 |
) |
(3,993 |
) |
(3,790 |
) |
|||||
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
|
|
|
|
|
|
(2,067 |
) |
|||||
Funds From Operations (FFO) - Basic & Diluted |
|
32,832 |
|
32,352 |
|
31,837 |
|
28,288 |
|
25,077 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Straight line rent adjustments |
|
(2,680 |
) |
(3,247 |
) |
(3,224 |
) |
(2,571 |
) |
(2,484 |
) |
|||||
Amortization of deferred market rental revenue |
|
(416 |
) |
(585 |
) |
(473 |
) |
(511 |
) |
(578 |
) |
|||||
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
|
|
|
|
|
|
2,067 |
|
|||||
Recurring capital expenditures |
|
(6,504 |
) |
(4,664 |
) |
(6,526 |
) |
(3,141 |
) |
(6,387 |
) |
|||||
Adjusted Funds From Operations (AFFO) - Diluted |
|
$ |
23,232 |
|
$ |
23,856 |
|
$ |
21,614 |
|
$ |
22,065 |
|
$ |
17,695 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred dividends |
|
$ |
4,025 |
|
$ |
4,025 |
|
$ |
4,025 |
|
$ |
3,993 |
|
$ |
3,790 |
|
Preferred distributions |
|
165 |
|
165 |
|
165 |
|
165 |
|
165 |
|
|||||
Common distributions |
|
2,777 |
|
2,777 |
|
2,574 |
|
2,554 |
|
2,622 |
|
|||||
Common dividends |
|
16,097 |
|
16,092 |
|
14,613 |
|
14,529 |
|
13,292 |
|
|||||
Total Dividends/Distributions |
|
$ |
23,064 |
|
$ |
23,059 |
|
$ |
21,377 |
|
$ |
21,241 |
|
$ |
19,869 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Denominator for earnings per share - Diluted |
|
47,861 |
|
47,786 |
|
47,791 |
|
47,143 |
|
44,080 |
|
|||||
Common units |
|
8,167 |
|
8,297 |
|
8,313 |
|
8,411 |
|
8,495 |
|
|||||
Denominator for funds from operations per share - Diluted |
|
56,028 |
|
56,083 |
|
56,104 |
|
55,554 |
|
52,575 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Funds From Operations (FFO) - Diluted |
|
$ |
32,832 |
|
$ |
32,352 |
|
$ |
31,837 |
|
$ |
28,288 |
|
$ |
25,077 |
|
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
|
|
|
|
|
|
2,067 |
|
|||||
FFO - Diluted , as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
32,832 |
|
$ |
32,352 |
|
$ |
31,837 |
|
$ |
28,288 |
|
$ |
27,144 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Numerator for Dilutive EPS Computation |
|
$ |
5,904 |
|
$ |
7,406 |
|
$ |
3,852 |
|
$ |
1,554 |
|
$ |
3,730 |
|
Issuance costs associated with redeemed preferred shares (1) |
|
|
|
|
|
|
|
|
|
2,067 |
|
|||||
Numerator for Dilutive EPS Computation, as adjusted |
|
$ |
5,904 |
|
$ |
7,406 |
|
$ |
3,852 |
|
$ |
1,554 |
|
$ |
5,797 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Earnings per diluted share, as adjusted for issuance costs associated with redeemed preferred shares |
|
$ |
0.12 |
|
$ |
0.15 |
|
$ |
0.08 |
|
$ |
0.03 |
|
$ |
0.13 |
|
(1) Earnings per diluted share and FFO per diluted share have been adjusted to exclude the issuance costs associated with our Series F redeemed preferred shares.
14
Quarterly Consolidated Reconciliations of Earnings Before Interest, Income Taxes, Depreciation and Amortization EBITDA),
Combined Net Operating Income (NOI), Discontinued Operations and Gains on Sales of Real Estate
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net Income |
|
$ |
9,929 |
|
$ |
11,431 |
|
$ |
7,877 |
|
$ |
5,547 |
|
$ |
9,587 |
|
Combined interest expense |
|
20,799 |
|
21,145 |
|
21,074 |
|
20,264 |
|
18,885 |
|
|||||
Combined amortization of deferred financing costs |
|
970 |
|
901 |
|
921 |
|
884 |
|
949 |
|
|||||
Combined income tax expense |
|
1,201 |
|
197 |
|
181 |
|
105 |
|
264 |
|
|||||
Depreciation of furniture, fixtures and equipment |
|
358 |
|
339 |
|
342 |
|
326 |
|
313 |
|
|||||
Combined real estate related depreciation and other amortization |
|
26,607 |
|
26,266 |
|
27,087 |
|
26,300 |
|
19,768 |
|
|||||
Minority interest - preferred units |
|
165 |
|
165 |
|
165 |
|
165 |
|
165 |
|
|||||
Minority interest - other consolidated entities |
|
(32 |
) |
(12 |
) |
(31 |
) |
(47 |
) |
(40 |
) |
|||||
Minority interest - common units, gross |
|
1,258 |
|
1,351 |
|
765 |
|
308 |
|
1,204 |
|
|||||
Earnings Before Interest, Income Taxes, Depreciation and Amortization (EBITDA) |
|
$ |
61,255 |
|
$ |
61,783 |
|
$ |
58,381 |
|
$ |
53,852 |
|
$ |
51,095 |
|
Add back: |
|
|
|
|
|
|
|
|
|
|
|
|||||
General and administrative |
|
5,405 |
|
5,424 |
|
5,085 |
|
4,614 |
|
5,042 |
|
|||||
Income from service operations |
|
(168 |
) |
(644 |
) |
(431 |
) |
(189 |
) |
(624 |
) |
|||||
(Gain) loss on sales of depreciated real estate properties |
|
(1,093 |
) |
(2,789 |
) |
11 |
|
|
|
71 |
|
|||||
Gain on sale of non-real estate investments |
|
|
|
|
|
(1,033 |
) |
|
|
|
|
|||||
Non-operational property sales and real estate services |
|
(1,687 |
) |
(1,227 |
) |
(194 |
) |
|
|
|
|
|||||
Equity in loss of unconsolidated entities |
|
27 |
|
46 |
|
57 |
|
94 |
|
52 |
|
|||||
Combined Net Operating Income (NOI) |
|
$ |
63,739 |
|
$ |
62,593 |
|
$ |
61,876 |
|
$ |
58,371 |
|
$ |
55,636 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Discontinued Operations |
|
|
|
|
|
|
|
|
|
|
|
|||||
Revenues from real estate operations |
|
$ |
322 |
|
$ |
462 |
|
$ |
528 |
|
$ |
1,258 |
|
$ |
3,986 |
|
Property operating expenses |
|
(244 |
) |
(631 |
) |
(321 |
) |
(462 |
) |
(394 |
) |
|||||
Depreciation and amortization |
|
(653 |
) |
(174 |
) |
(186 |
) |
(281 |
) |
(165 |
) |
|||||
General and administrative |
|
(3 |
) |
(2 |
) |
|
|
|
|
|
|
|||||
Income taxes |
|
(44 |
) |
|
|
|
|
|
|
|
|
|||||
Interest |
|
(28 |
) |
(145 |
) |
(614 |
) |
(463 |
) |
(260 |
) |
|||||
Gain (loss) on sales of depreciated real estate properties |
|
1,093 |
|
2,789 |
|
(11 |
) |
|
|
(71 |
) |
|||||
Income (loss) from discontinued operations |
|
443 |
|
2,299 |
|
(604 |
) |
52 |
|
3,096 |
|
|||||
Minority interests in discontinued operations |
|
(75 |
) |
(354 |
) |
93 |
|
(9 |
) |
(532 |
) |
|||||
Income (loss) from discontinued operations, net of minority interests |
|
$ |
368 |
|
$ |
1,945 |
|
$ |
(511 |
) |
$ |
43 |
|
$ |
2,564 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Gain on sales of real estate, net, per statements of operations |
|
$ |
361 |
|
$ |
1,038 |
|
$ |
161 |
|
$ |
|
|
$ |
|
|
Add income taxes and minority interest |
|
1,326 |
|
189 |
|
33 |
|
|
|
|
|
|||||
Gain (loss) on sales of real estate from discontinued operations |
|
1,093 |
|
2,789 |
|
(11 |
) |
|
|
(71 |
) |
|||||
Combined gain (loss) on sales of real estate |
|
2,780 |
|
4,016 |
|
183 |
|
|
|
(71 |
) |
|||||
Non-operational property sales and real estate services |
|
(1,687 |
) |
(1,227 |
) |
(194 |
) |
|
|
|
|
|||||
Gain (loss) on sales of depreciated real estate properties |
|
$ |
1,093 |
|
$ |
2,789 |
|
$ |
(11 |
) |
$ |
|
|
$ |
(71 |
) |
15
Quarterly Equity Analysis
(Amounts in thousands except per share data, share prices and ratios)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
Common Equity - End of Quarter |
|
|
|
|
|
|
|
|
|
|
|
|||||
Common Shares |
|
47,366 |
|
47,345 |
|
47,155 |
|
46,880 |
|
42,898 |
|
|||||
Common Units |
|
8,167 |
|
8,168 |
|
8,319 |
|
8,237 |
|
8,459 |
|
|||||
Total |
|
55,533 |
|
55,513 |
|
55,474 |
|
55,117 |
|
51,357 |
|
|||||
End of Quarter Common Share Price |
|
$ |
31.50 |
|
$ |
41.63 |
|
$ |
41.01 |
|
$ |
45.68 |
|
$ |
50.47 |
|
Market Value of Common Shares/Units |
|
$ |
1,749,290 |
|
$ |
2,310,995 |
|
$ |
2,274,978 |
|
$ |
2,517,745 |
|
$ |
2,591,988 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common Shares Trading Volume |
|
|
|
|
|
|
|
|
|
|
|
|||||
Average Daily Volume (Shares) |
|
482 |
|
446 |
|
464 |
|
416 |
|
353 |
|
|||||
Average Daily Volume (Dollars in thousands) |
|
$ |
17,714 |
|
$ |
18,121 |
|
$ |
20,650 |
|
$ |
20,933 |
|
$ |
17,019 |
|
As a Percentage of Weighted Average Common Shares |
|
1.0 |
% |
1.0 |
% |
1.0 |
% |
0.9 |
% |
0.8 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common Share Price Range |
|
|
|
|
|
|
|
|
|
|
|
|||||
Quarterly High |
|
$ |
45.39 |
|
$ |
44.63 |
|
$ |
48.81 |
|
$ |
56.45 |
|
$ |
51.45 |
|
Quarterly Low |
|
$ |
30.81 |
|
$ |
35.21 |
|
$ |
40.47 |
|
$ |
44.85 |
|
$ |
44.21 |
|
Quarterly Average |
|
$ |
36.75 |
|
$ |
40.66 |
|
$ |
44.48 |
|
$ |
50.27 |
|
$ |
48.23 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Convertible Preferred Equity - End of Quarter |
|
|
|
|
|
|
|
|
|
|
|
|||||
Convertible Series I Preferred Units Outstanding |
|
352 |
|
352 |
|
352 |
|
352 |
|
352 |
|
|||||
Conversion Ratio |
|
0.5000 |
|
0.5000 |
|
0.5000 |
|
0.5000 |
|
0.5000 |
|
|||||
Common Shares Issued Assuming Conversion |
|
176 |
|
176 |
|
176 |
|
176 |
|
176 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Convertible Series K Preferred Shares Outstanding(1) |
|
532 |
|
532 |
|
532 |
|
532 |
|
|
|
|||||
Conversion Ratio |
|
0.8163 |
|
0.8163 |
|
0.8163 |
|
0.8163 |
|
|
|
|||||
Common Shares Issued Assuming Conversion |
|
434 |
|
434 |
|
434 |
|
434 |
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Nonconvertible Preferred Equity - End of Quarter |
|
|
|
|
|
|
|
|
|
|
|
|||||
Redeemable Series G Shares Outstanding |
|
2,200 |
|
2,200 |
|
2,200 |
|
2,200 |
|
2,200 |
|
|||||
Redeemable Series H Shares Outstanding |
|
2,000 |
|
2,000 |
|
2,000 |
|
2,000 |
|
2,000 |
|
|||||
Redeemable Series J Shares Outstanding |
|
3,390 |
|
3,390 |
|
3,390 |
|
3,390 |
|
3,390 |
|
|||||
Total Nonconvertible Preferred Equity |
|
7,590 |
|
7,590 |
|
7,590 |
|
7,590 |
|
7,590 |
|
|||||
Total Convertible Preferred Equity |
|
884 |
|
884 |
|
884 |
|
884 |
|
352 |
|
|||||
Total Preferred Equity |
|
8,474 |
|
8,474 |
|
8,474 |
|
8,474 |
|
7,942 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Nonconvertible Preferred Equity ($25 par value) |
|
|
|
|
|
|
|
|
|
|
|
|||||
Redeemable Series G Shares |
|
$ |
55,000 |
|
$ |
55,000 |
|
$ |
55,000 |
|
$ |
55,000 |
|
$ |
55,000 |
|
Redeemable Series H Shares |
|
50,000 |
|
50,000 |
|
50,000 |
|
50,000 |
|
50,000 |
|
|||||
Redeemable Series J Shares |
|
84,750 |
|
84,750 |
|
84,750 |
|
84,750 |
|
84,750 |
|
|||||
Total Nonconvertible Preferred Equity |
|
$ |
189,750 |
|
$ |
189,750 |
|
$ |
189,750 |
|
$ |
189,750 |
|
$ |
189,750 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Convertible Preferred Equity ($25 par value) |
|
|
|
|
|
|
|
|
|
|
|
|||||
Convertible Series I Units |
|
$ |
8,800 |
|
$ |
8,800 |
|
$ |
8,800 |
|
$ |
8,800 |
|
$ |
8,800 |
|
Convertible Preferred Equity ($50 par value) |
|
|
|
|
|
|
|
|
|
|
|
|||||
Convertible Series K Shares |
|
26,583 |
|
26,583 |
|
26,583 |
|
26,583 |
|
|
|
|||||
Total Convertible Preferred Equity |
|
$ |
35,383 |
|
$ |
35,383 |
|
$ |
35,383 |
|
$ |
35,383 |
|
$ |
8,800 |
|
Total Recorded Book Value of Preferred Equity |
|
$ |
225,133 |
|
$ |
225,133 |
|
$ |
225,133 |
|
$ |
225,133 |
|
$ |
198,550 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Weighted Average Shares: |
|
|
|
|
|
|
|
|
|
|
|
|||||
Common Shares Outstanding |
|
46,947 |
|
46,781 |
|
46,686 |
|
45,678 |
|
42,439 |
|
|||||
Dilutive effect of share-based compensation awards |
|
914 |
|
1,005 |
|
1,105 |
|
1,465 |
|
1,641 |
|
|||||
Common Units |
|
8,167 |
|
8,297 |
|
8,313 |
|
8,411 |
|
8,495 |
|
|||||
Denominator for funds from operations per share - diluted |
|
56,028 |
|
56,083 |
|
56,104 |
|
55,554 |
|
52,575 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Capitalization |
|
|
|
|
|
|
|
|
|
|
|
|||||
Recorded Book Value of Preferred Shares/Units |
|
$ |
225,133 |
|
$ |
225,133 |
|
$ |
225,133 |
|
$ |
225,133 |
|
$ |
198,550 |
|
Market Value of Common Shares/Units |
|
1,749,290 |
|
2,310,995 |
|
2,274,978 |
|
2,517,745 |
|
2,591,988 |
|
|||||
Total Equity Market Capitalization |
|
$ |
1,974,423 |
|
$ |
2,536,128 |
|
$ |
2,500,111 |
|
$ |
2,742,878 |
|
$ |
2,790,538 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Debt |
|
$ |
1,825,842 |
|
$ |
1,799,912 |
|
$ |
1,752,478 |
|
$ |
1,715,183 |
|
$ |
1,498,537 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Market Capitalization |
|
$ |
3,800,265 |
|
$ |
4,336,040 |
|
$ |
4,252,589 |
|
$ |
4,458,061 |
|
$ |
4,289,075 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Debt to Total Market Capitalization |
|
48.0 |
% |
41.5 |
% |
41.2 |
% |
38.5 |
% |
34.9 |
% |
|||||
Debt to Total Assets |
|
62.3 |
% |
61.7 |
% |
61.4 |
% |
60.9 |
% |
61.9 |
% |
|||||
Debt to Undepreciated Book Value of Real Estate Assets |
|
60.9 |
% |
60.6 |
% |
60.4 |
% |
60.3 |
% |
62.0 |
% |
(1) We issued 531,667 Series K Cumulative Redeemable Preferred Shares with a $50.00 per share liquidation preference on January 9, 2007.
16
Quarterly Debt Analysis
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
Debt Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage Loans |
|
$ |
1,160,753 |
|
$ |
1,169,094 |
|
$ |
1,196,512 |
|
$ |
1,174,859 |
|
$ |
1,057,458 |
|
Construction Loans |
|
104,089 |
|
103,818 |
|
88,966 |
|
76,324 |
|
56,079 |
|
|||||
Unsecured Revolving Credit Facility |
|
361,000 |
|
327,000 |
|
267,000 |
|
264,000 |
|
185,000 |
|
|||||
Exchangeable Senior Notes |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
|||||
|
|
$ |
1,825,842 |
|
$ |
1,799,912 |
|
$ |
1,752,478 |
|
$ |
1,715,183 |
|
$ |
1,498,537 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Average Outstanding Balance |
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage Loans |
|
$ |
1,163,419 |
|
$ |
1,172,087 |
|
$ |
1,184,784 |
|
$ |
1,167,459 |
|
$ |
918,938 |
|
Construction Loans |
|
104,084 |
|
95,025 |
|
85,624 |
|
60,559 |
|
51,412 |
|
|||||
Unsecured Revolving Credit Facility |
|
352,043 |
|
312,792 |
|
276,350 |
|
254,419 |
|
306,556 |
|
|||||
Exchangeable Senior Notes (1) |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
|||||
|
|
$ |
1,819,546 |
|
$ |
1,779,904 |
|
$ |
1,746,758 |
|
$ |
1,682,437 |
|
$ |
1,476,906 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest Rate Structure |
|
|
|
|
|
|
|
|
|
|
|
|||||
Fixed-Mortgage Loans |
|
$ |
1,126,253 |
|
$ |
1,134,594 |
|
$ |
1,162,012 |
|
$ |
1,051,243 |
|
$ |
1,022,958 |
|
Fixed-Exchangeable Senior Notes |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
200,000 |
|
|||||
Variable |
|
349,589 |
|
365,318 |
|
290,466 |
|
363,940 |
|
175,579 |
|
|||||
Variable Subject to Interest Rate |
|
150,000 |
|
100,000 |
|
100,000 |
|
100,000 |
|
100,000 |
|
|||||
|
|
$ |
1,825,842 |
|
$ |
1,799,912 |
|
$ |
1,752,478 |
|
$ |
1,715,183 |
|
$ |
1,498,537 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
% of Fixed Rate Loans (5) |
|
80.85 |
% |
79.70 |
% |
83.43 |
% |
78.78 |
% |
88.28 |
% |
|||||
% of Variable Rate Loans (2) (3) |
|
19.15 |
% |
20.30 |
% |
16.57 |
% |
21.22 |
% |
11.72 |
% |
|||||
|
|
100.00 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Average Contract Interest Rates |
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage & Construction Loans |
|
5.96 |
% |
6.01 |
% |
6.08 |
% |
6.12 |
% |
6.18 |
% |
|||||
Unsecured Revolving Credit Facility |
|
5.79 |
% |
6.72 |
% |
6.62 |
% |
6.66 |
% |
6.77 |
% |
|||||
Exchangeable Senior Notes |
|
3.50 |
% |
3.50 |
% |
3.50 |
% |
3.50 |
% |
3.50 |
% |
|||||
Total Weighted Average |
|
5.74 |
% |
5.89 |
% |
5.89 |
% |
5.83 |
% |
5.99 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Coverage Ratios (excluding capitalized |
|
|||||||||||||||
Interest Coverage - Combined NOI |
|
3.06x |
|
2.96x |
|
2.94x |
|
2.88x |
|
2.95x |
|
|||||
Interest Coverage - EBITDA |
|
2.95x |
|
2.92x |
|
2.77x |
|
2.66x |
|
2.71x |
|
|||||
Debt Service Coverage - Combined NOI |
|
2.51x |
|
2.50x |
|
2.50x |
|
2.09x |
|
2.45x |
|
|||||
Debt Service Coverage - EBITDA |
|
2.41x |
|
2.46x |
|
2.36x |
|
1.93x |
|
2.25x |
|
|||||
Fixed Charge Coverage - Combined NOI |
|
2.55x |
|
2.47x |
|
2.45x |
|
2.39x |
|
2.44x |
|
|||||
Fixed Charge Coverage - EBITDA |
|
2.45x |
|
2.44x |
|
2.31x |
|
2.21x |
|
2.24x |
|
(1) On September 18, 2006, we issued $200.0 million in exchangeable senior notes. The notes bear interest at a fixed interest rate of 3.5%, with interest payable semi-annually beginning March 15, 2007, and mature in September 2026.
(2) On March 28, 2006, we entered into a $50.0 million notional amount swap at a fixed one-month LIBOR rate of 5.036%, which commenced on the same day and expires March 30, 2009.
(3) On April 27, 2006, we entered into two notional amount swaps aggregating $50.0 million at a fixed one-month LIBOR rate of 5.232%, which commenced May 1, 2006 and expire May 1, 2009.
(4) On October 23, 2007, we entered into a $50.0 million notional amount swap at a fixed one-month LIBOR rate of 4.330%, which commenced on the same day and expires October 23, 2009.
(5) Includes interest rate protection agreements.
17
Quarterly Operating Ratios
(Dollars in thousands except per share data and ratios)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
OPERATING RATIOS All computations include the effect of discontinued operations |
|
|
|
|
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net Income as a % of Combined Real Estate Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||
(Net Income / Combined Real Estate Revenues) |
|
10.44 |
% |
12.05 |
% |
8.64 |
% |
6.14 |
% |
11.77 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Combined NOI as a % of Combined Real Estate Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||
(Combined NOI / Combined Real Estate Revenues) |
|
67.01 |
% |
66.00 |
% |
67.87 |
% |
64.57 |
% |
68.28 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
EBITDA as a % of Combined Real Estate Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||
(EBITDA / Combined Real Estate Revenues) |
|
64.40 |
% |
65.15 |
% |
64.04 |
% |
59.57 |
% |
62.71 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
G&A as a % of Net Income |
|
|
|
|
|
|
|
|
|
|
|
|||||
(G&A / Net Income) |
|
54.41 |
% |
47.43 |
% |
64.56 |
% |
83.18 |
% |
52.59 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
G&A as a % of Combined Real Estate Revenues |
|
|
|
|
|
|
|
|
|
|
|
|||||
(G&A / Combined Real Estate Revenues) |
|
5.68 |
% |
5.72 |
% |
5.58 |
% |
5.10 |
% |
6.19 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
G&A as a % of EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|||||
(G&A / EBITDA) |
|
8.82 |
% |
8.78 |
% |
8.71 |
% |
8.57 |
% |
9.87 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Recurring Capital Expenditures |
|
$ |
6,504 |
|
$ |
4,664 |
|
$ |
6,526 |
|
$ |
3,141 |
|
$ |
6,387 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Recurring Capital Expenditures per average square foot of wholly owned properties |
|
$ |
0.37 |
|
$ |
0.26 |
|
$ |
0.37 |
|
$ |
0.19 |
|
$ |
0.43 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Recurring Capital Expenditures as a % of NOI (Combined NOI) |
|
10.20 |
% |
7.45 |
% |
10.55 |
% |
5.38 |
% |
11.48 |
% |
18
Quarterly Dividend Analysis
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
Common Share Dividends |
|
|
|
|
|
|
|
|
|
|
|
|||||
Dividends per share/unit |
|
$ |
0.340 |
|
$ |
0.340 |
|
$ |
0.310 |
|
$ |
0.310 |
|
$ |
0.310 |
|
Increase over prior quarter |
|
0.0 |
% |
9.7 |
% |
0.0 |
% |
0.0 |
% |
0.0 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common Dividend Payout Ratios |
|
|
|
|
|
|
|
|
|
|
|
|||||
Payout - Earnings |
|
272.6 |
% |
217.3 |
% |
379.4 |
% |
934.9 |
% |
356.4 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Payout - FFO - Diluted |
|
57.5 |
% |
58.3 |
% |
54.0 |
% |
60.4 |
% |
63.5 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Payout - AFFO - Diluted |
|
81.2 |
% |
79.1 |
% |
79.5 |
% |
77.4 |
% |
89.9 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Dividend Coverage - FFO - Diluted |
|
1.74x |
|
1.71x |
|
1.85x |
|
1.66x |
|
1.58x |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Dividend Coverage - AFFO - Diluted |
|
1.23x |
|
1.26x |
|
1.26x |
|
1.29x |
|
1.11x |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common Dividend Yields |
|
|
|
|
|
|
|
|
|
|
|
|||||
Dividend Yield |
|
4.32 |
% |
3.27 |
% |
3.02 |
% |
2.71 |
% |
2.46 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Series I Preferred Unit Distributions |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Unit Distributions Per Unit |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
Preferred Unit Distributions Yield |
|
7.500 |
% |
7.500 |
% |
7.500 |
% |
7.500 |
% |
7.500 |
% |
|||||
Quarter End Recorded Book Value |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Series F Preferred Share Dividends (1) |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Share Dividends Per Share |
|
n/a |
|
n/a |
|
n/a |
|
n/a |
|
$ |
0.09601 |
|
||||
Preferred Share Dividend Yield |
|
n/a |
|
n/a |
|
n/a |
|
n/a |
|
9.875 |
% |
|||||
Quarter End Recorded Book Value |
|
n/a |
|
n/a |
|
n/a |
|
n/a |
|
$ |
25.00 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Series G Preferred Share Dividends |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Share Dividends Per Share |
|
$ |
0.50000 |
|
$ |
0.50000 |
|
$ |
0.50000 |
|
$ |
0.50000 |
|
$ |
0.50000 |
|
Preferred Share Dividend Yield |
|
8.000 |
% |
8.000 |
% |
8.000 |
% |
8.000 |
% |
8.000 |
% |
|||||
Quarter End Recorded Book Value |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Series H Preferred Share Dividends |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Share Dividends Per Share |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
$ |
0.46875 |
|
Preferred Share Dividend Yield |
|
7.500 |
% |
7.500 |
% |
7.500 |
% |
7.500 |
% |
7.500 |
% |
|||||
Quarter End Recorded Book Value |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Series J Preferred Share Dividends (2) |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Share Dividends Per Share |
|
$ |
0.47656 |
|
$ |
0.47656 |
|
$ |
0.47656 |
|
$ |
0.47656 |
|
$ |
0.47656 |
|
Preferred Share Dividend Yield |
|
7.625 |
% |
7.625 |
% |
7.625 |
% |
7.625 |
% |
7.625 |
% |
|||||
Quarter End Recorded Book Value |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
$ |
25.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Series K Preferred Share Dividends (3) |
|
|
|
|
|
|
|
|
|
|
|
|||||
Preferred Share Dividends Per Share |
|
$ |
0.70000 |
|
$ |
0.70000 |
|
$ |
0.70000 |
|
$ |
0.63770 |
|
n/a |
|
|
Preferred Share Dividend Yield |
|
5.600 |
% |
5.600 |
% |
5.600 |
% |
5.600 |
% |
n/a |
|
|||||
Quarter End Recorded Book Value |
|
$ |
50.00 |
|
$ |
50.00 |
|
$ |
50.00 |
|
$ |
50.00 |
|
n/a |
|
(1) We redeemed all of the outstanding Series F Preferred Shares on October 15, 2006 for $35,625,000, or $25.00 per share. A prorated dividend of $0.09601 was recognized in the fourth quarter of 2006.
(2) We issued 3,390,000 Series J Cumulative Redeemable Preferred Shares with a $25.00 per share liquidation preference on July 20, 2006 and paid a prorated dividend of $0.4501 on October 15, 2006, $0.37598 of which was recognized in the third quarter of 2006.
(3) We issued 531,667 Series K Cumulative Redeemable Preferred Shares with a $50.00 per share liquidation preference on January 9, 2007 and paid a dividend of $0.7466 on April 15, 2007, $0.6377 of which was recognized in the first quarter of 2007.
19
Investor Composition and Analyst Coverage
(as of December 31, 2007)
|
|
|
|
|
|
As if Converted |
|
|
|
Fully Diluted |
|
|
|
Common |
|
Common |
|
Preferred |
|
|
|
Ownership |
|
SHAREHOLDER CLASSIFICATION |
|
Shares |
|
Units |
|
Shares / Units |
|
Total |
|
% of Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
Insiders |
|
858,607 |
|
7,047,153 |
|
|
|
7,905,760 |
|
14.08 |
% |
Non-insiders |
|
46,507,868 |
|
1,119,383 |
|
610,000 |
|
48,237,251 |
|
85.92 |
% |
|
|
47,366,475 |
|
8,166,536 |
|
610,000 |
|
56,143,011 |
|
100.00 |
% |
|
|
December 31, |
|
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
|
RESEARCH COVERAGE |
|
2007 |
|
2007 |
|
2007 |
|
2007 |
|
2006 |
|
|
|
|
|
|
|
|
|
|
|
|
|
A.G. Edwards |
|
n/a |
|
x |
|
x |
|
x |
|
x |
|
BMO Capital Markets |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Citigroup Global Markets |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Ferris, Baker Watts, Incorporated |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Friedman Billings Ramsey & Co. |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Green Street Advisors |
|
x |
|
x |
|
n/a |
|
n/a |
|
n/a |
|
Merrill Lynch |
|
x |
|
x |
|
x |
|
x |
|
n/a |
|
RBC Capital Markets |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Raymond James |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Robert W. Baird & Co. Incorporated |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Stifel, Nicolaus & Company, Incorporated |
|
x |
|
x |
|
x |
|
x |
|
x |
|
Wachovia Securities |
|
x |
|
x |
|
x |
|
x |
|
x |
|
20
Debt Maturity Schedule - December 31, 2007
(Dollars in thousands)
|
|
Non-Recourse Debt (1) |
|
Recourse Debt (1) |
|
|
|
||||||||||||||||
Year of Maturity |
|
Annual Amortization of Monthly Payments |
|
Due on Maturity |
|
Weighted Average Interest Rate of Amounts Maturing (2) |
|
Annual Amortization of Monthly Payments |
|
Due on Maturity |
|
Weighted Average Interest Rate of Amounts Maturing (2) |
|
Revolver |
|
Total Scheduled Payments |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
January - March |
|
$ |
3,639 |
|
$ |
|
|
0.00 |
% |
$ |
181 |
|
$ |
750 |
|
5.95 |
% |
$ |
|
|
$ |
4,570 |
|
April - June |
|
3,384 |
|
53,487 |
|
7.69 |
% |
182 |
|
84,589 |
|
6.44 |
% |
|
|
141,642 |
|
||||||
July - September |
|
3,238 |
|
22,557 |
|
6.93 |
% |
185 |
|
54,000 |
|
6.60 |
% |
|
|
79,980 |
|
||||||
October - December |
|
2,877 |
|
66,860 |
|
6.89 |
% |
191 |
|
1,000 |
|
6.82 |
% |
|
|
70,928 |
|
||||||
Total 2008 |
|
$ |
13,138 |
|
$ |
142,904 |
|
7.20 |
% |
$ |
739 |
|
$ |
140,339 |
|
6.46 |
% |
$ |
|
|
$ |
297,120 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
2009 |
|
$ |
9,620 |
|
$ |
52,228 |
|
|
|
$ |
795 |
|
$ |
|
|
|
|
$ |
|
|
$ |
62,643 |
|
2010 (3) |
|
9,103 |
|
52,177 |
|
|
|
272 |
|
12,481 |
|
|
|
|
|
74,033 |
|
||||||
2011 |
|
7,309 |
|
102,264 |
|
|
|
241 |
|
|
|
|
|
361,000 |
|
470,814 |
|
||||||
2012 |
|
5,816 |
|
36,123 |
|
|
|
260 |
|
|
|
|
|
|
|
42,199 |
|
||||||
2013 |
|
2,593 |
|
134,843 |
|
|
|
282 |
|
|
|
|
|
|
|
137,718 |
|
||||||
2014 (4) |
|
890 |
|
8,212 |
|
|
|
305 |
|
|
|
|
|
|
|
9,407 |
|
||||||
2015 |
|
552 |
|
114,559 |
|
|
|
329 |
|
|
|
|
|
|
|
115,440 |
|
||||||
2016 |
|
321 |
|
113,169 |
|
|
|
356 |
|
|
|
|
|
|
|
113,846 |
|
||||||
2017 |
|
193 |
|
300,610 |
|
|
|
385 |
|
|
|
|
|
|
|
301,188 |
|
||||||
2018 |
|
|
|
|
|
|
|
417 |
|
|
|
|
|
|
|
417 |
|
||||||
2019 |
|
|
|
|
|
|
|
373 |
|
39 |
|
|
|
|
|
412 |
|
||||||
|
|
$ |
49,535 |
|
$ |
1,057,089 |
|
|
|
$ |
4,754 |
|
$ |
152,859 |
|
|
|
$ |
361,000 |
|
$ |
1,625,237 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
Net premium to adjust to fair value of debt |
|
605 |
|
||||||||||||||||
|
|
|
|
Mortgage and Other Loans Payable |
|
$ |
1,625,842 |
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
Exchangeable Senior Notes (4) |
|
$ |
200,000 |
|
|||||||||||||||
|
|
|
|
Total Debt |
|
$ |
1,825,842 |
|
Notes:
(1) Certain mortgages contain extension options, generally either for a period of six months or one year, subject to certain conditions. The maturity dates presented above in the table assume that the extension options have not been exercised.
(2) For the variable rate loans expiring in 2008, the interest rate used for this calculation was the rate at December 31, 2007.
(3) Our $9.2 million non-recourse loan that matures in September 2025 will be called in October 2010. The above table includes the $8.5 million amount due on maturity in 2010.
(4) We assumed that our $4.8 million non-recourse loan that matures in March 2034 may be prepaid in the three-month period ending March 2014 without penalty. The above table includes the $4.3 million amount due on maturity in 2014.
(4) Exchangeable Senior Notes mature in September 2026 but are subject to a put by the holders in September 2011 and every five years thereafter.
21
Property Summary by Region - December 31, 2007
Wholly Owned Properties
Operating |
|
Office Properties |
|
Submarket |
|
Business Park |
|
Year Built or Renovated |
|
S or M |
|
Total |
|
Total Square Feet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Baltimore /Washington Corridor |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
2730 Hercules Road |
|
BWI Airport |
|
NBP |
|
1990 |
|
M |
|
240,336 |
|
|
|
2 |
|
304 Sentinel Drive (304 NBP) |
|
BWI Airport |
|
NBP |
|
2005 |
|
M |
|
162,498 |
|
|
|
3 |
|
306 Sentinel Drive (306 NBP) |
|
BWI Airport |
|
NBP |
|
2006 |
|
M |
|
157,896 |
|
|
|
4 |
|
302 Sentinel Drive (302 NBP) |
|
BWI Airport |
|
NBP |
|
2007 |
|
M |
|
48,377 |
|
108,769 |
|
5 |
|
2720 Technology Drive (220 NBP) |
|
BWI Airport |
|
NBP |
|
2004 |
|
M |
|
156,730 |
|
|
|
6 |
|
2711 Technology Drive (211 NBP) |
|
BWI Airport |
|
NBP |
|
2002 |
|
M |
|
152,000 |
|
|
|
7 |
|
320 Sentinel Way (320 NBP) |
|
BWI Airport |
|
NBP |
|
2007 |
|
M |
|
125,681 |
|
|
|
8 |
|
318 Sentinel Way (318 NBP) |
|
BWI Airport |
|
NBP |
|
2005 |
|
M |
|
125,681 |
|
|
|
9 |
|
322 Sentinel Way (322 NBP) |
|
BWI Airport |
|
NBP |
|
2006 |
|
M |
|
125,568 |
|
|
|
10 |
|
140 National Business Parkway |
|
BWI Airport |
|
NBP |
|
2003 |
|
M |
|
119,904 |
|
|
|
11 |
|
132 National Business Parkway |
|
BWI Airport |
|
NBP |
|
2000 |
|
M |
|
118,598 |
|
|
|
12 |
|
2721 Technology Drive (221 NBP) |
|
BWI Airport |
|
NBP |
|
2000 |
|
M |
|
118,093 |
|
|
|
13 |
|
2701 Technology Drive (201 NBP) |
|
BWI Airport |
|
NBP |
|
2001 |
|
M |
|
117,450 |
|
|
|
14 |
|
2691 Technology Drive (191 NBP) |
|
BWI Airport |
|
NBP |
|
2005 |
|
M |
|
103,683 |
|
|
|
15 |
|
134 National Business Parkway |
|
BWI Airport |
|
NBP |
|
1999 |
|
M |
|
93,482 |
|
|
|
16 |
|
135 National Business Parkway |
|
BWI Airport |
|
NBP |
|
1998 |
|
M |
|
87,655 |
|
|
|
17 |
|
133 National Business Parkway |
|
BWI Airport |
|
NBP |
|
1997 |
|
M |
|
87,401 |
|
|
|
18 |
|
141 National Business Parkway |
|
BWI Airport |
|
NBP |
|
1990 |
|
M |
|
87,247 |
|
|
|
19 |
|
131 National Business Parkway |
|
BWI Airport |
|
NBP |
|
1990 |
|
M |
|
69,039 |
|
|
|
20 |
|
114 National Business Parkway |
|
BWI Airport |
|
NBP |
|
2002 |
|
S |
|
9,908 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,307,227 |
|
108,769 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
1306 Concourse Drive |
|
BWI Airport |
|
APS |
|
1990 |
|
M |
|
114,046 |
|
|
|
2 |
|
870-880 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1981 |
|
M |
|
105,151 |
|
|
|
3 |
|
1304 Concourse Drive |
|
BWI Airport |
|
APS |
|
2002 |
|
M |
|
101,710 |
|
|
|
4 |
|
900 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1982 |
|
M |
|
97,261 |
|
|
|
5 |
|
1199 Winterson Road |
|
BWI Airport |
|
APS |
|
1988 |
|
M |
|
96,636 |
|
|
|
6 |
|
920 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1982 |
|
M |
|
96,566 |
|
|
|
7 |
|
1302 Concourse Drive |
|
BWI Airport |
|
APS |
|
1996 |
|
M |
|
84,406 |
|
|
|
8 |
|
881 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1986 |
|
M |
|
73,572 |
|
|
|
9 |
|
1099 Winterson Road |
|
BWI Airport |
|
APS |
|
1988 |
|
M |
|
70,569 |
|
|
|
10 |
|
1190 Winterson Road |
|
BWI Airport |
|
APS |
|
1987 |
|
M |
|
69,127 |
|
|
|
11 |
|
849 International Drive |
|
BWI Airport |
|
APS |
|
1988 |
|
M |
|
68,758 |
|
|
|
12 |
|
911 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1985 |
|
M |
|
68,296 |
|
|
|
13 |
|
1201 Winterson Road |
|
BWI Airport |
|
APS |
|
1985 |
|
M |
|
67,903 |
|
|
|
14 |
|
999 Corporate Boulevard |
|
BWI Airport |
|
APS |
|
2000 |
|
M |
|
67,455 |
|
|
|
15 |
|
891 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1984 |
|
M |
|
58,454 |
|
|
|
16 |
|
901 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1984 |
|
M |
|
57,593 |
|
|
|
17 |
|
930 International Drive |
|
BWI Airport |
|
APS |
|
1986 |
|
S |
|
57,409 |
|
|
|
18 |
|
800 International Drive |
|
BWI Airport |
|
APS |
|
1988 |
|
S |
|
57,379 |
|
|
|
19 |
|
900 International Drive |
|
BWI Airport |
|
APS |
|
1986 |
|
S |
|
57,140 |
|
|
|
20 |
|
921 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1983 |
|
M |
|
54,175 |
|
|
|
21 |
|
939 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1983 |
|
M |
|
53,031 |
|
|
|
22 |
|
938 Elkridge Landing Road |
|
BWI Airport |
|
APS |
|
1984 |
|
M |
|
52,988 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,629,625 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
7467 Ridge Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1990 |
|
M |
|
74,326 |
|
|
|
2 |
|
7240 Parkway Drive |
|
BWI Airport |
|
Comm./Pkwy. |
|
1985 |
|
M |
|
73,970 |
|
|
|
3 |
|
7272 Park Circle Drive |
|
BWI Airport |
|
Comm./Pkwy. |
|
1991/1996 |
|
M |
|
59,397 |
|
|
|
4 |
|
7318 Parkway Drive |
|
BWI Airport |
|
Comm./Pkwy. |
|
1984 |
|
S |
|
59,204 |
|
|
|
5 |
|
7320 Parkway Drive |
|
BWI Airport |
|
Comm./Pkwy. |
|
1983 |
|
S |
|
58,453 |
|
|
|
6 |
|
1340 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
S |
|
46,400 |
|
|
|
|
|
1362 Mellon Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
2006 |
|
M |
|
|
|
44,134 |
|
7 |
|
1334 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
S |
|
37,565 |
|
|
|
8 |
|
1331 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
S |
|
29,153 |
|
|
|
9 |
|
1350 Dorsey Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
S |
|
19,992 |
|
|
|
10 |
|
1344 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
M |
|
17,062 |
|
|
|
11 |
|
1341 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
S |
|
15,841 |
|
|
|
12 |
|
1343 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1989 |
|
S |
|
9,962 |
|
|
|
13 |
|
1348 Ashton Road |
|
BWI Airport |
|
Comm./Pkwy. |
|
1988 |
|
S |
|
3,108 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
504,433 |
|
44,134 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
55 |
|
Subtotal (continued on next page) |
|
4,441,285 |
|
152,903 |
|
The S or M notation indicates single story or multi-story, respectively.
22
Property Summary by Region - December 31, 2007 (continued)
Wholly Owned Properties
Operating |
|
|
|
Submarket |
|
Business Park |
|
Year
Built or |
|
S or M |
|
Total Operational Square Feet |
|
Total
Square Feet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
55 |
|
Subtotal (continued from prior page) |
|
|
|
|
|
|
|
|
|
4,441,285 |
|
152,903 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5520 Research Park Drive (UMBC) (1) |
|
BWI Airport |
|
bwtech@UMBC |
|
|
|
M |
|
|
|
110,400 |
|
1 |
|
5522 Research Park Drive (UMBC) (1) |
|
BWI Airport |
|
bwtech@UMBC |
|
2007 |
|
S |
|
23,500 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
23,500 |
|
110,400 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
2500 Riva Road |
|
Annapolis |
|
|
|
2000 |
|
M |
|
155,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
Old Annapolis Road |
|
Howard Co. Perimeter |
|
Oakland Ridge |
|
1985 |
|
M |
|
171,436 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
7125 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1973/1999 |
|
M |
|
611,379 |
|
|
|
2 |
|
7000 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1999 |
|
M |
|
145,806 |
|
|
|
3 |
|
6731 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2002 |
|
M |
|
123,911 |
|
|
|
4 |
|
6711 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2006-2007 |
|
M |
|
123,410 |
|
|
|
5 |
|
6940 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1999 |
|
M |
|
109,003 |
|
|
|
6 |
|
6950 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1998 |
|
M |
|
107,778 |
|
|
|
7 |
|
8621 Robert Fulton Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2005-2006 |
|
M |
|
86,032 |
|
|
|
8 |
|
7067 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2001 |
|
M |
|
82,953 |
|
|
|
9 |
|
6750 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2001 |
|
M |
|
78,460 |
|
|
|
10 |
|
6700 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1988 |
|
M |
|
74,859 |
|
|
|
11 |
|
6740 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1992 |
|
M |
|
63,480 |
|
|
|
12 |
|
7015 Albert Einstein Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1999 |
|
S |
|
61,203 |
|
|
|
13 |
|
8671 Robert Fulton Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2002 |
|
S |
|
56,350 |
|
|
|
14 |
|
6716 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1990 |
|
M |
|
52,005 |
|
|
|
15 |
|
8661 Robert Fulton Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2002 |
|
S |
|
49,307 |
|
|
|
16 |
|
7130 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1989 |
|
S |
|
46,840 |
|
|
|
17 |
|
7142 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1994 |
|
S |
|
45,951 |
|
|
|
18 |
|
6708 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1988 |
|
M |
|
39,203 |
|
|
|
19 |
|
7065 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2000 |
|
S |
|
38,560 |
|
|
|
20 |
|
7138 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1990 |
|
S |
|
38,225 |
|
|
|
21 |
|
7063 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2000 |
|
S |
|
36,813 |
|
|
|
22 |
|
6760 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1991 |
|
M |
|
36,440 |
|
|
|
23 |
|
7150 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1991 |
|
S |
|
35,812 |
|
|
|
24 |
|
7061 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2000 |
|
M |
|
29,910 |
|
|
|
25 |
|
6724 Alexander Bell Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
2001 |
|
M |
|
28,420 |
|
|
|
26 |
|
7134 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
Columbia Gateway |
|
1990 |
|
S |
|
21,991 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,224,101 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
7200 Riverwood Drive |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1986 |
|
S |
|
160,000 |
|
|
|
2 |
|
7160 Riverwood Drive |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
2000 |
|
M |
|
62,084 |
|
|
|
3 |
|
9140 Guilford Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1983 |
|
S |
|
41,704 |
|
|
|
4 |
|
7150 Riverwood Drive |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
2000 |
|
M |
|
41,382 |
|
|
|
5 |
|
9160 Guilford Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1984 |
|
M |
|
37,034 |
|
|
|
6 |
|
7170 Riverwood Drive |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
2000 |
|
M |
|
29,162 |
|
|
|
7 |
|
9150 Guilford Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1984 |
|
S |
|
18,592 |
|
|
|
8 |
|
10280 Old Columbia Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1988/2001 |
|
S |
|
16,796 |
|
|
|
9 |
|
10270 Old Columbia Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1988/2001 |
|
S |
|
16,686 |
|
|
|
10 |
|
9130 Guilford Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1984 |
|
S |
|
13,700 |
|
|
|
11 |
|
10290 Old Columbia Road |
|
Howard Co. Perimeter |
|
Rivers Corporate Park |
|
1988/2001 |
|
S |
|
10,890 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
448,030 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
9720 Patuxent Woods Drive |
|
Howard Co. Perimeter |
|
Owen Brown South |
|
1986/2001 |
|
M |
|
40,004 |
|
|
|
2 |
|
9740 Patuxent Woods Drive |
|
Howard Co. Perimeter |
|
Owen Brown South |
|
1986/2001 |
|
M |
|
38,292 |
|
|
|
3 |
|
9700 Patuxent Woods Drive |
|
Howard Co. Perimeter |
|
Owen Brown South |
|
1986/2001 |
|
M |
|
31,261 |
|
|
|
4 |
|
9730 Patuxent Woods Drive |
|
Howard Co. Perimeter |
|
Owen Brown South |
|
1986/2001 |
|
M |
|
30,986 |
|
|
|
5 |
|
9710 Patuxent Woods Drive |
|
Howard Co. Perimeter |
|
Owen Brown South |
|
1986/2001 |
|
M |
|
15,229 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
155,772 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
9020 Mendenhall Court |
|
Howard Co. Perimeter |
|
Sieling Business Park |
|
1982/2005 |
|
S |
|
49,259 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
101 |
|
Total Baltimore/Washington Corridor |
|
|
|
|
|
|
|
7,668,383 |
|
263,303 |
|
The S or M notation indicates single story or multi-story building, respectively.
(1) This property is a land-lease property.
23
Property Summary by Region - December 31, 2007 (continued)
Wholly Owned Properties
Operating |
|
|
|
Submarket |
|
Business Park |
|
Year Built or |
|
S or M |
|
Total Operational Square Feet |
|
Total Square Feet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
St. Marys & King George Counties |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
22309 Exploration Drive |
|
St. Marys County |
|
Exploration Park |
|
1984/1997 |
|
M |
|
98,860 |
|
|
|
2 |
|
22289 Exploration Drive |
|
St. Marys County |
|
Exploration Park |
|
2000 |
|
M |
|
61,059 |
|
|
|
3 |
|
22299 Exploration Drive |
|
St. Marys County |
|
Exploration Park |
|
1998 |
|
M |
|
58,231 |
|
|
|
4 |
|
22300 Exploration Drive |
|
St. Marys County |
|
Exploration Park |
|
1997 |
|
M |
|
44,830 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
262,980 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
46579 Expedition Drive |
|
St. Marys County |
|
Expedition Park |
|
2002 |
|
M |
|
61,156 |
|
|
|
2 |
|
46591 Expedition Drive |
|
St. Marys County |
|
Expedition Park |
|
2005-2006 |
|
M |
|
60,029 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
121,185 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
44425 Pecan Court |
|
St. Marys County |
|
Wildewood Tech Park |
|
1997 |
|
M |
|
59,055 |
|
|
|
2 |
|
44408 Pecan Court |
|
St. Marys County |
|
Wildewood Tech Park |
|
1986 |
|
S |
|
50,532 |
|
|
|
3 |
|
23535 Cottonwood Parkway |
|
St. Marys County |
|
Wildewood Tech Park |
|
1984 |
|
M |
|
46,656 |
|
|
|
4 |
|
44417 Pecan Court |
|
St. Marys County |
|
Wildewood Tech Park |
|
1989 |
|
S |
|
29,053 |
|
|
|
5 |
|
44414 Pecan Court |
|
St. Marys County |
|
Wildewood Tech Park |
|
1986 |
|
S |
|
25,444 |
|
|
|
6 |
|
44420 Pecan Court |
|
St. Marys County |
|
Wildewood Tech Park |
|
1989 |
|
S |
|
25,200 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
235,940 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
16480 Commerce Drive |
|
King George County |
|
Dahlgren Technology Center |
|
2000 |
|
M |
|
70,728 |
|
|
|
2 |
|
16541 Commerce Drive |
|
King George County |
|
Dahlgren Technology Center |
|
1996 |
|
S |
|
36,053 |
|
|
|
3 |
|
16539 Commerce Drive |
|
King George County |
|
Dahlgren Technology Center |
|
1990 |
|
S |
|
32,076 |
|
|
|
4 |
|
16442 Commerce Drive |
|
King George County |
|
Dahlgren Technology Center |
|
2002 |
|
S |
|
25,518 |
|
|
|
5 |
|
16501 Commerce Drive |
|
King George County |
|
Dahlgren Technology Center |
|
2002 |
|
S |
|
22,833 |
|
|
|
6 |
|
16543 Commerce Drive |
|
King George County |
|
Dahlgren Technology Center |
|
2002 |
|
S |
|
17,370 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
204,578 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
18 |
|
Total St. Marys & King George Counties |
|
|
|
|
|
|
|
824,683 |
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Northern Virginia |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
15000 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
1989 |
|
M |
|
470,406 |
|
|
|
2 |
|
15010 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
2006 |
|
M |
|
223,610 |
|
|
|
3 |
|
15059 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
2000 |
|
M |
|
145,192 |
|
|
|
4 |
|
15049 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
1997 |
|
M |
|
145,053 |
|
|
|
5 |
|
14900 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
1999 |
|
M |
|
127,115 |
|
|
|
6 |
|
14280 Park Meadow Drive |
|
Dulles South |
|
Westfields |
|
1999 |
|
M |
|
114,126 |
|
|
|
7 |
|
4851 Stonecroft Boulevard |
|
Dulles South |
|
Westfields |
|
2004 |
|
M |
|
88,094 |
|
|
|
8 |
|
14850 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
2000 |
|
M |
|
69,711 |
|
|
|
9 |
|
14840 Conference Center Drive |
|
Dulles South |
|
Westfields |
|
2000 |
|
M |
|
69,710 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,453,017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
13200 Woodland Park Road |
|
Herndon |
|
Woodland |
|
2002 |
|
M |
|
404,665 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
13454 Sunrise Valley Road |
|
Herndon |
|
Dulles Tech |
|
1998 |
|
M |
|
112,633 |
|
|
|
2 |
|
13450 Sunrise Valley Road |
|
Herndon |
|
Dulles Tech |
|
1998 |
|
M |
|
53,728 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
166,361 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
1751 Pinnacle Drive |
|
Tysons Corner |
|
|
|
1989/1995 |
|
M |
|
260,469 |
|
|
|
2 |
|
1753 Pinnacle Drive |
|
Tysons Corner |
|
|
|
1976/2004 |
|
M |
|
181,637 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
442,106 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14 |
|
Total Northern Virginia |
|
|
|
|
|
|
|
|
|
2,466,149 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
11751 Meadowville Lane |
|
Richmond Southwest |
|
Meadowville Technology Park |
|
2007 |
|
M |
|
193,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
201 Technology Park Drive |
|
Southwest Virginia |
|
Russell Regional Business Tech Park |
|
2007 |
|
S |
|
102,842 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
607 Lakeside Drive |
|
Fort Ritchie |
|
|
|
1990/2007 |
|
S |
|
4,904 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3 |
|
Total Other |
|
|
|
|
|
|
|
|
|
300,746 |
|
|
|
The S or M notation indicates single story or multi-story building, respectively.
24
Property Summary by Region - December 31, 2007 (continued)
Wholly Owned Properties
Operating |
|
|
|
Submarket |
|
Business Park |
|
Year Built or Renovated |
|
S or M |
|
Total Operational Square Feet |
|
Total Square Feet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Greater Philadelphia |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
753 Jolly Road |
|
Blue Bell |
|
Unisys campus |
|
1992 |
|
S |
|
419,472 |
|
|
|
2 |
|
785 Jolly Road |
|
Blue Bell |
|
Unisys campus |
|
1996 |
|
M |
|
219,065 |
|
|
|
3 |
|
760 Jolly Road |
|
Blue Bell |
|
Unisys campus |
|
1994 |
|
M |
|
208,854 |
|
|
|
4 |
|
751 Jolly Road |
|
Blue Bell |
|
Unisys campus |
|
1991 |
|
M |
|
112,958 |
|
|
|
|
|
Total Greater Philadelphia |
|
|
|
|
|
|
|
|
|
960,349 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Central New Jersey |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
431 Ridge Road |
|
Exit 8A Cranbury |
|
Princeton Tech Cntr. |
|
1998 |
|
S |
|
171,200 |
|
|
|
2 |
|
429 Ridge Road |
|
Exit 8A Cranbury |
|
Princeton Tech Cntr. |
|
1996 |
|
M |
|
142,385 |
|
|
|
3 |
|
437 Ridge Road |
|
Exit 8A Cranbury |
|
Princeton Tech Cntr. |
|
1996 |
|
S |
|
30,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
343,585 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
47 Commerce |
|
Exit 8A Cranbury |
|
Centrepoint North |
|
1998 |
|
S |
|
41,398 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4 |
|
Total Central New Jersey |
|
|
|
|
|
|
|
|
|
384,983 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
San Antonio, Texas |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2 |
|
8611 Military Drive |
|
San Antonio |
|
|
|
1982/1985 |
|
M |
|
468,994 |
|
90,607 |
|
|
|
Total San Antonio, Texas |
|
|
|
|
|
|
|
|
|
468,994 |
|
90,607 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Colorado Springs |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
655 Space Center Drive |
|
Colorado Springs East |
|
Patriot Park |
|
|
|
M |
|
|
|
103,970 |
|
1 |
|
985 Space Center Drive |
|
Colorado Springs East |
|
Patriot Park |
|
1989 |
|
M |
|
102,717 |
|
|
|
2 |
|
745 Space Center Drive |
|
Colorado Springs East |
|
Patriot Park |
|
2006 |
|
M |
|
51,500 |
|
|
|
3 |
|
980 Technology Court |
|
Colorado Springs East |
|
Patriot Park |
|
1995 |
|
S |
|
33,190 |
|
|
|
4 |
|
525 Babcock Road |
|
Colorado Springs East |
|
Patriot Park |
|
1967 |
|
S |
|
14,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
201,407 |
|
103,970 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1055 North Newport Road |
|
Colorado Springs East |
|
Aerotech Commerce Park |
|
|
|
M |
|
|
|
59,763 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
1670 North Newport Road |
|
Colorado Springs East |
|
|
|
1986-1987 |
|
M |
|
67,500 |
|
|
|
2 |
|
1915 Aerotech Drive |
|
Colorado Springs East |
|
|
|
1985 |
|
S |
|
37,946 |
|
|
|
3 |
|
1925 Aerotech Drive |
|
Colorado Springs East |
|
|
|
1985 |
|
S |
|
37,946 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
143,392 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
9965 Federal Drive |
|
I-25 North Corridor |
|
InterQuest Office |
|
1983/2007 |
|
M |
|
41,120 |
|
33,629 |
|
|
|
9945 Federal Drive |
|
I-25 North Corridor |
|
InterQuest Office |
|
|
|
M |
|
|
|
73,940 |
|
2 |
|
9950 Federal Drive |
|
I-25 North Corridor |
|
InterQuest Office |
|
2001 |
|
S |
|
66,222 |
|
|
|
|
|
9925 Federal Drive |
|
I-25 North Corridor |
|
InterQuest Office |
|
|
|
M |
|
|
|
53,845 |
|
3 |
|
9960 Federal Drive |
|
I-25 North Corridor |
|
InterQuest Office |
|
2001 |
|
S |
|
46,948 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
154,290 |
|
161,414 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
5775 Mark Dabling Boulevard |
|
Colorado Springs Northwest |
|
|
|
1984 |
|
M |
|
109,678 |
|
|
|
2 |
|
5725 Mark Dabling Boulevard |
|
Colorado Springs Northwest |
|
|
|
1984 |
|
M |
|
108,976 |
|
|
|
3 |
|
5755 Mark Dabling Boulevard |
|
Colorado Springs Northwest |
|
|
|
1989 |
|
M |
|
105,210 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
323,864 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
13 |
|
Total Colorado Springs |
|
|
|
|
|
|
|
|
|
822,953 |
|
325,147 |
|
The S or M notation indicates single story or multi-story building, respectively.
25
Property Summary by Region - December 31, 2007 (continued)
Wholly Owned Properties
Operating |
|
|
|
Submarket |
|
Business Park |
|
Year
Built or |
|
S or M |
|
Total
Operational |
|
Total
Square Feet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Suburban Maryland |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
11800 Tech Road |
|
North Silver Spring |
|
Montgomery Industrial |
|
1989 |
|
M |
|
228,179 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
400 Professional Drive |
|
Gaithersburg |
|
Crown Point |
|
2000 |
|
M |
|
129,311 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
110 Thomas Johnson Drive |
|
Frederick |
|
|
|
1987/1999 |
|
M |
|
117,803 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
45 West Gude Drive |
|
Rockville |
|
|
|
1987 |
|
M |
|
108,588 |
|
|
|
2 |
|
15 West Gude Drive |
|
Rockville |
|
|
|
1986 |
|
M |
|
106,694 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
215,282 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5 |
|
Total Suburban Maryland |
|
|
|
|
|
|
|
|
|
690,575 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Suburban Baltimore |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
11311 McCormick Road |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1984/1994 |
|
M |
|
212,691 |
|
|
|
2 |
|
200 International Circle |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1987 |
|
M |
|
128,658 |
|
|
|
3 |
|
226 Schilling Circle |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1980 |
|
M |
|
98,640 |
|
|
|
4 |
|
201 International Circle |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1982 |
|
M |
|
78,634 |
|
|
|
5 |
|
11011 McCormick Road |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1974 |
|
M |
|
56,512 |
|
|
|
6 |
|
216 Schilling Circle |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1988/2001 |
|
M |
|
36,003 |
|
|
|
7 |
|
222 Schilling Circle |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1978/1997 |
|
M |
|
28,003 |
|
|
|
8 |
|
224 Schilling Circle |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1978/1997 |
|
M |
|
27,372 |
|
|
|
9 |
|
11101 McCormick Road |
|
Hunt Valley/Rte 83 Corridor |
|
Hunt Valley Business Comm. |
|
1976 |
|
S |
|
24,232 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
690,745 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
10150 York Road |
|
Hunt Valley/Rte 83 Corridor |
|
|
|
1985 |
|
M |
|
178,286 |
|
|
|
2 |
|
9690 Deereco Road |
|
Hunt Valley/Rte 83 Corridor |
|
|
|
1988 |
|
M |
|
134,167 |
|
|
|
3 |
|
375 West Padonia Road |
|
Hunt Valley/Rte 83 Corridor |
|
|
|
1986 |
|
M |
|
110,328 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
422,781 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
7210 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1972 |
|
S |
|
83,435 |
|
|
|
2 |
|
7152 Windsor Boulevard |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1986 |
|
S |
|
57,855 |
|
|
|
3 |
|
21 Governors Court |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1981/1995 |
|
M |
|
56,063 |
|
|
|
4 |
|
7125 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1985 |
|
M |
|
50,488 |
|
|
|
5 |
|
7253 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1988 |
|
S |
|
38,930 |
|
|
|
6 |
|
7104 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1988 |
|
M |
|
30,257 |
|
|
|
7 |
|
17 Governors Court |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1981 |
|
S |
|
14,619 |
|
|
|
8 |
|
15 Governors Court |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1981 |
|
S |
|
14,568 |
|
|
|
9 |
|
7127 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1985 |
|
S |
|
11,144 |
|
|
|
10 |
|
7129 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1985 |
|
S |
|
11,075 |
|
|
|
11 |
|
7108 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1988 |
|
S |
|
9,018 |
|
|
|
12 |
|
7102 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1988 |
|
S |
|
8,879 |
|
|
|
13 |
|
7106 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1988 |
|
S |
|
8,820 |
|
|
|
14 |
|
7131 Ambassador Road |
|
Baltimore County Westside |
|
Rutherford Business Center |
|
1985 |
|
S |
|
7,453 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
402,604 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
502 Washington Avenue |
|
Towson |
|
|
|
1984 |
|
M |
|
91,188 |
|
|
|
2 |
|
102 West Pennsylvania Avenue |
|
Towson |
|
|
|
1968/2001 |
|
M |
|
49,497 |
|
|
|
3 |
|
100 West Pennsylvania Avenue |
|
Towson |
|
|
|
1952/1989 |
|
M |
|
18,451 |
|
|
|
4 |
|
109-111 Allegheny Avenue |
|
Towson |
|
|
|
1971 |
|
M |
|
18,431 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
177,567 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30 |
|
Subtotal (continued on next page) |
|
|
|
|
|
|
|
|
|
1,693,697 |
|
|
|
The S or M notation indicates single story or multi-story building, respectively.
26
Property Summary by Region - December 31, 2007 (continued)
Wholly Owned Properties
Operating |
|
|
|
Submarket |
|
Business Park |
|
Year
Built or |
|
S or M |
|
Total |
|
Total
Square Feet Under |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30 |
|
Subtotal (continued from prior page) |
|
|
|
|
|
|
|
|
|
1,693,697 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
4940 Campbell Boulevard |
|
White Marsh |
|
Campbell Corporate Center |
|
1990 |
|
M |
|
49,813 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
8140 Corporate Drive |
|
White Marsh |
|
Corporate Place |
|
2003 |
|
M |
|
75,687 |
|
|
|
2 |
|
8110 Corporate Drive |
|
White Marsh |
|
Corporate Place |
|
2001 |
|
M |
|
75,687 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
151,374 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
9910 Franklin Square Drive |
|
White Marsh |
|
Franklin Ridge |
|
2005 |
|
S |
|
56,271 |
|
|
|
2 |
|
9920 Franklin Square Drive |
|
White Marsh |
|
Franklin Ridge |
|
2006 |
|
S |
|
44,566 |
|
|
|
3 |
|
9930 Franklin Square Drive |
|
White Marsh |
|
Franklin Ridge |
|
2001 |
|
S |
|
39,750 |
|
|
|
4 |
|
9900 Franklin Square Drive |
|
White Marsh |
|
Franklin Ridge |
|
1999 |
|
S |
|
33,912 |
|
|
|
5 |
|
9940 Franklin Square Drive |
|
White Marsh |
|
Franklin Ridge |
|
2000 |
|
S |
|
33,134 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
207,633 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
8020 Corporate Drive |
|
White Marsh |
|
McLean Ridge |
|
1997 |
|
S |
|
51,600 |
|
|
|
2 |
|
8094 Sandpiper Circle |
|
White Marsh |
|
McLean Ridge |
|
1998 |
|
S |
|
50,812 |
|
|
|
3 |
|
8098 Sandpiper Circle |
|
White Marsh |
|
McLean Ridge |
|
1998 |
|
S |
|
47,680 |
|
|
|
4 |
|
8010 Corporate Drive |
|
White Marsh |
|
McLean Ridge |
|
1998 |
|
S |
|
39,351 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
189,443 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
5325 Nottingham Ridge Road |
|
White Marsh |
|
Nottingham Ridge |
|
2002 |
|
S |
|
37,322 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
7941-7949 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1996 |
|
S |
|
57,600 |
|
|
|
2 |
|
8007 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1995 |
|
S |
|
43,197 |
|
|
|
3 |
|
8013 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1990 |
|
S |
|
38,618 |
|
|
|
4 |
|
8019 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1990 |
|
S |
|
25,461 |
|
|
|
5 |
|
8003 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1999 |
|
S |
|
18,327 |
|
|
|
6 |
|
8015 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1990 |
|
S |
|
16,610 |
|
|
|
7 |
|
8023 Corporate Drive |
|
White Marsh |
|
Tyler Ridge |
|
1990 |
|
S |
|
9,486 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
209,299 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
5020 Campbell Boulevard |
|
White Marsh |
|
White Marsh Business Center |
|
1986-1988 |
|
S |
|
44,701 |
|
|
|
2 |
|
5024 Campbell Boulevard |
|
White Marsh |
|
White Marsh Business Center |
|
1986-1988 |
|
S |
|
33,858 |
|
|
|
3 |
|
5026 Campbell Boulevard |
|
White Marsh |
|
White Marsh Business Center |
|
1986-1988 |
|
S |
|
30,868 |
|
|
|
4 |
|
5022 Campbell Boulevard |
|
White Marsh |
|
White Marsh Business Center |
|
1986-1988 |
|
S |
|
27,601 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
137,028 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
10001 Franklin Square Drive |
|
White Marsh |
|
White Marsh Commerce Center |
|
1997 |
|
S |
|
216,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
8114 Sandpiper Circle |
|
White Marsh |
|
White Marsh Health Center |
|
1986 |
|
S |
|
45,399 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
4979 Mercantile Road |
|
White Marsh |
|
White Marsh Hi-Tech Center |
|
1985 |
|
S |
|
50,498 |
|
|
|
2 |
|
4969 Mercantile Road |
|
White Marsh |
|
White Marsh Hi-Tech Center |
|
1983 |
|
S |
|
47,574 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
98,072 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
7939 Honeygo Boulevard |
|
White Marsh |
|
White Marsh Professional Center |
|
1984 |
|
M |
|
28,081 |
|
|
|
2 |
|
8133 Perry Hall Boulevard |
|
White Marsh |
|
White Marsh Professional Center |
|
1988 |
|
M |
|
27,803 |
|
|
|
3 |
|
7923 Honeygo Boulevard |
|
White Marsh |
|
White Marsh Professional Center |
|
1985 |
|
M |
|
24,053 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
79,937 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
8031 Corporate Drive |
|
White Marsh |
|
|
|
1988/2004 |
|
S |
|
66,000 |
|
|
|
2 |
|
8615 Ridgelys Choice Drive |
|
White Marsh |
|
|
|
2005 |
|
M |
|
37,797 |
|
|
|
3 |
|
8029 Corporate Drive |
|
White Marsh |
|
|
|
1988/2004 |
|
S |
|
25,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
128,797 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
64 |
|
Total Suburban Baltimore |
|
|
|
|
|
|
|
|
|
3,243,814 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
228 |
|
TOTAL PORTFOLIO |
|
|
|
|
|
|
|
|
|
17,831,629 |
|
679,057 |
|
The S or M notation indicates single story or multi-story building, respectively.
27
Property Summary by Region - December 31, 2007
Joint Venture Properties
Operating |
|
|
|
Submarket |
|
Business Park |
|
Year
Built or |
|
S or M |
|
Total |
|
Total
Square Feet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unconsolidated Joint Venture Properties |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Greater Harrisburg |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
2605 Interstate Drive |
|
East Shore |
|
Commerce Park |
|
1990 |
|
M |
|
79,456 |
|
|
|
2 |
|
2601 Market Place |
|
East Shore |
|
Commerce Park |
|
1989 |
|
M |
|
65,411 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
144,867 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
6345 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1989 |
|
S |
|
69,443 |
|
|
|
2 |
|
6340 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1988 |
|
S |
|
68,200 |
|
|
|
3 |
|
6400 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1992 |
|
S |
|
52,439 |
|
|
|
4 |
|
6360 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1988 |
|
S |
|
46,500 |
|
|
|
5 |
|
6385 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1995 |
|
S |
|
32,921 |
|
|
|
6 |
|
6380 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1991 |
|
S |
|
32,668 |
|
|
|
7 |
|
6405 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1991 |
|
S |
|
32,000 |
|
|
|
8 |
|
95 Shannon Road |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1999 |
|
S |
|
21,976 |
|
|
|
9 |
|
75 Shannon Road |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1999 |
|
S |
|
20,887 |
|
|
|
10 |
|
6375 Flank Drive |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
2000 |
|
S |
|
19,783 |
|
|
|
11 |
|
85 Shannon Road |
|
East Shore |
|
Gtwy Corp. Ctr. |
|
1999 |
|
S |
|
12,863 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
409,680 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
5035 Ritter Road |
|
West Shore |
|
Rossmoyne Bus. Ctr. |
|
1988 |
|
S |
|
56,556 |
|
|
|
2 |
|
5070 Ritter Road - Building A |
|
West Shore |
|
Rossmoyne Bus. Ctr. |
|
1989 |
|
S |
|
32,309 |
|
|
|
3 |
|
5070 Ritter Road - Building B |
|
West Shore |
|
Rossmoyne Bus. Ctr. |
|
1989 |
|
S |
|
28,347 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
117,212 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
16 |
|
Total Greater Harrisburg |
|
|
|
|
|
|
|
|
|
671,759 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
16 |
|
Total Unconsolidated Joint Venture Properties |
|
|
|
|
|
|
|
671,759 |
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Joint Venture Properties |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Suburban Maryland |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
4230 Forbes Boulevard |
|
Lanham |
|
Forbes 50 |
|
2003 |
|
S |
|
55,866 |
|
|
|
|
|
Total Suburban Maryland |
|
|
|
|
|
|
|
|
|
55,866 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Baltimore/Washington Corridor |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
7468 Candlewood Road |
|
BWI Airport |
|
Baltimore Commons |
|
1979/1982 |
|
M |
|
|
|
356,000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
7740 Milestone Parkway |
|
BWI Airport |
|
Arundel Preserve |
|
|
|
M |
|
|
|
151,800 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Baltimore/Washington Corridor |
|
|
|
|
|
|
|
|
|
|
|
507,800 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Northern Virginia |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
2900 Towerview Road |
|
Route 28 South |
|
Renaissance Park |
|
1982 |
|
M |
|
78,171 |
|
58,866 |
|
|
|
13849 Park Center Road |
|
Route 28 South |
|
Renaissance Park |
|
1982 |
|
M |
|
|
|
57,000 |
|
|
|
Total Northern Virginia |
|
|
|
|
|
|
|
|
|
78,171 |
|
115,866 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2 |
|
Total Consolidated Joint Venture Properties |
|
|
|
|
|
|
|
|
|
134,037 |
|
623,666 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
18 |
|
TOTAL PORTFOLIO |
|
|
|
|
|
|
|
|
|
805,796 |
|
623,666 |
|
The S or M notation indicates single story or multi-story building, respectively.
28
Property Occupancy Rates by Region by Quarter
Wholly Owned Properties
|
|
Baltimore / |
|
|
|
|
|
|
|
St. Marys & |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Washington |
|
Northern |
|
Suburban |
|
Suburban |
|
King George |
|
Colorado |
|
San |
|
Greater |
|
Central |
|
|
|
Total |
|
|
|
Corridor |
|
Virginia |
|
Baltimore |
|
Maryland |
|
Counties |
|
Springs |
|
Antonio |
|
Philadelphia |
|
New Jersey |
|
Other |
|
Portfolio |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
101 |
|
14 |
|
64 |
|
5 |
|
18 |
|
13 |
|
2 |
|
4 |
|
4 |
|
3 |
|
228 |
|
Rentable Square Feet |
|
7,668,383 |
|
2,466,149 |
|
3,243,814 |
|
690,575 |
|
824,683 |
|
822,953 |
|
468,994 |
|
960,349 |
|
384,983 |
|
300,746 |
|
17,831,629 |
|
Occupied % |
|
92.59 |
% |
98.60 |
% |
84.77 |
% |
97.80 |
% |
91.55 |
% |
96.66 |
% |
100.00 |
% |
100.00 |
% |
70.82 |
% |
100.00 |
% |
92.59 |
% |
Leased % |
|
93.13 |
% |
98.77 |
% |
87.39 |
% |
98.28 |
% |
93.34 |
% |
96.66 |
% |
100.00 |
% |
100.00 |
% |
70.82 |
% |
100.00 |
% |
93.42 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
101 |
|
14 |
|
66 |
|
5 |
|
18 |
|
13 |
|
2 |
|
4 |
|
4 |
|
2 |
|
229 |
|
Rentable Square Feet |
|
7,569,985 |
|
2,466,149 |
|
3,336,709 |
|
690,575 |
|
824,683 |
|
821,453 |
|
468,994 |
|
960,349 |
|
384,983 |
|
197,904 |
|
17,721,784 |
|
Occupied % |
|
93.46 |
% |
99.23 |
% |
83.87 |
% |
97.80 |
% |
92.32 |
% |
96.05 |
% |
100.00 |
% |
100.00 |
% |
70.82 |
% |
100.00 |
% |
92.80 |
% |
Leased % |
|
93.85 |
% |
99.33 |
% |
84.69 |
% |
97.80 |
% |
94.11 |
% |
96.05 |
% |
100.00 |
% |
100.00 |
% |
70.82 |
% |
100.00 |
% |
93.22 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
101 |
|
14 |
|
66 |
|
5 |
|
18 |
|
12 |
|
2 |
|
4 |
|
6 |
|
1 |
|
229 |
|
Rentable Square Feet |
|
7,536,565 |
|
2,466,149 |
|
3,336,085 |
|
698,584 |
|
824,710 |
|
808,031 |
|
468,994 |
|
960,349 |
|
417,314 |
|
193,000 |
|
17,709,781 |
|
Occupied % |
|
93.54 |
% |
99.23 |
% |
84.34 |
% |
95.91 |
% |
92.15 |
% |
94.50 |
% |
100.00 |
% |
100.00 |
% |
68.73 |
% |
100.00 |
% |
92.68 |
% |
Leased % |
|
94.11 |
% |
99.23 |
% |
85.65 |
% |
95.91 |
% |
92.95 |
% |
96.23 |
% |
100.00 |
% |
100.00 |
% |
68.73 |
% |
100.00 |
% |
93.28 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
100 |
|
14 |
|
66 |
|
5 |
|
18 |
|
11 |
|
2 |
|
4 |
|
6 |
|
n/a |
|
226 |
|
Rentable Square Feet |
|
7,463,037 |
|
2,466,149 |
|
3,335,160 |
|
698,584 |
|
824,710 |
|
766,911 |
|
468,994 |
|
960,349 |
|
417,314 |
|
n/a |
|
17,401,208 |
|
Occupied % |
|
94.11 |
% |
99.39 |
% |
85.22 |
% |
94.79 |
% |
92.15 |
% |
94.21 |
% |
100.00 |
% |
100.00 |
% |
68.73 |
% |
n/a |
|
92.97 |
% |
Leased % |
|
94.94 |
% |
99.39 |
% |
86.91 |
% |
94.79 |
% |
92.35 |
% |
94.21 |
% |
100.00 |
% |
100.00 |
% |
68.73 |
% |
n/a |
|
93.66 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2006 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
87 |
|
14 |
|
23 |
|
5 |
|
18 |
|
11 |
|
2 |
|
4 |
|
6 |
|
n/a |
|
170 |
|
Rentable Square Feet |
|
7,021,396 |
|
2,466,113 |
|
1,425,788 |
|
698,584 |
|
824,710 |
|
766,911 |
|
468,994 |
|
960,349 |
|
417,314 |
|
n/a |
|
15,050,159 |
|
Occupied % |
|
95.10 |
% |
90.93 |
% |
81.06 |
% |
83.20 |
% |
92.15 |
% |
92.75 |
% |
100.00 |
% |
100.00 |
% |
97.18 |
% |
n/a |
|
92.78 |
% |
Leased % |
|
95.81 |
% |
99.46 |
% |
85.36 |
% |
94.79 |
% |
92.15 |
% |
93.04 |
% |
100.00 |
% |
100.00 |
% |
97.18 |
% |
n/a |
|
95.46 |
% |
29
Property Occupancy Rates by Region by Quarter
Joint Venture Properties
|
|
Unconsolidated |
|
Consolidated |
|
|
|
||
|
|
Greater |
|
Suburban |
|
Northern |
|
Total |
|
|
|
Harrisburg |
|
Maryland |
|
Virginia |
|
Portfolio |
|
|
|
|
|
|
|
|
|
|
|
December 31, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
16 |
|
1 |
|
1 |
|
18 |
|
Rentable Square Feet |
|
671,759 |
|
55,866 |
|
78,171 |
|
805,796 |
|
Occupied % |
|
90.46 |
% |
76.15 |
% |
100.00 |
% |
90.39 |
% |
Leased % |
|
90.46 |
% |
76.15 |
% |
100.00 |
% |
90.39 |
% |
|
|
|
|
|
|
|
|
|
|
September 30, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
16 |
|
1 |
|
1 |
|
18 |
|
Rentable Square Feet |
|
671,759 |
|
55,866 |
|
78,171 |
|
805,796 |
|
Occupied % |
|
90.46 |
% |
76.15 |
% |
100.00 |
% |
90.39 |
% |
Leased % |
|
90.46 |
% |
76.15 |
% |
100.00 |
% |
90.39 |
% |
|
|
|
|
|
|
|
|
|
|
June 30, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
16 |
|
1 |
|
1 |
|
18 |
|
Rentable Square Feet |
|
671,759 |
|
55,866 |
|
78,171 |
|
805,796 |
|
Occupied % |
|
90.96 |
% |
75.00 |
% |
100.00 |
% |
90.73 |
% |
Leased % |
|
91.13 |
% |
75.00 |
% |
100.00 |
% |
90.87 |
% |
|
|
|
|
|
|
|
|
|
|
March 31, 2007 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
16 |
|
1 |
|
1 |
|
18 |
|
Rentable Square Feet |
|
671,759 |
|
55,866 |
|
78,171 |
|
805,796 |
|
Occupied % |
|
91.25 |
% |
47.95 |
% |
100.00 |
% |
89.09 |
% |
Leased % |
|
91.25 |
% |
74.94 |
% |
100.00 |
% |
90.97 |
% |
|
|
|
|
|
|
|
|
|
|
December 31, 2006 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
16 |
|
1 |
|
1 |
|
18 |
|
Rentable Square Feet |
|
671,211 |
|
55,866 |
|
78,171 |
|
805,248 |
|
Occupied % |
|
91.16 |
% |
47.95 |
% |
100.00 |
% |
89.02 |
% |
Leased % |
|
91.16 |
% |
47.95 |
% |
100.00 |
% |
89.02 |
% |
Reconciliation of Wholly Owned Properties to Entire
Portfolio as of December 31, 2007
|
|
|
|
Square |
|
|
|
|
|
|
|
Count |
|
Feet |
|
Occupied% |
|
Leased% |
|
|
|
|
|
|
|
|
|
|
|
Wholly Owned Properties |
|
228 |
|
17,831,629 |
|
92.59 |
% |
93.42 |
% |
Add: Consolidated Joint Venture Properties |
|
2 |
|
134,037 |
|
90.06 |
% |
90.06 |
% |
Subtotal |
|
230 |
|
17,965,666 |
|
92.57 |
% |
93.40 |
% |
Add: Unconsolidated Joint Venture Properties |
|
16 |
|
671,759 |
|
90.46 |
% |
90.46 |
% |
Entire Portfolio |
|
246 |
|
18,637,425 |
|
92.49 |
% |
93.29 |
% |
30
Top Twenty Office Tenants of Wholly Owned Properties as of December 31, 2007 (1)
(Dollars in thousands)
|
|
|
|
|
|
Percentage of |
|
Total |
|
Percentage |
|
Weighted |
|
|
|
|
|
|
Total |
|
Total |
|
Annualized |
|
of Total |
|
Average |
|
|
|
|
Number of |
|
Occupied |
|
Occupied |
|
Rental |
|
Annualized Rental |
|
Remaining |
|
|
Tenant |
|
Leases |
|
Square Feet |
|
Square Feet |
|
Revenue (2) (3) |
|
Revenue |
|
Lease Term (4) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States of America |
(5) |
62 |
|
2,485,800 |
|
15.1 |
% |
$ |
57,395 |
|
16.3 |
% |
6.4 |
|
Northrop Grumman Corporation |
(6) |
17 |
|
1,045,442 |
|
6.3 |
% |
26,199 |
|
7.4 |
% |
7.5 |
|
|
Booz Allen Hamilton, Inc. |
|
8 |
|
714,233 |
|
4.3 |
% |
19,568 |
|
5.5 |
% |
6.5 |
|
|
Computer Sciences Corporation |
(6) |
4 |
|
454,645 |
|
2.8 |
% |
11,446 |
|
3.2 |
% |
3.4 |
|
|
Unisys Corporation |
(7) |
4 |
|
760,145 |
|
4.6 |
% |
8,843 |
|
2.5 |
% |
1.7 |
|
|
L-3 Communications Holdings, Inc. |
(6) |
3 |
|
211,493 |
|
1.3 |
% |
8,613 |
|
2.4 |
% |
6.2 |
|
|
General Dynamics Corporation |
|
9 |
|
284,415 |
|
1.7 |
% |
7,249 |
|
2.1 |
% |
2.2 |
|
|
The Aerospace Corporation |
|
2 |
|
231,785 |
|
1.4 |
% |
6,867 |
|
1.9 |
% |
6.9 |
|
|
Wachovia Corporation |
(6) |
4 |
|
183,577 |
|
1.1 |
% |
6,614 |
|
1.9 |
% |
10.6 |
|
|
Comcast Corporation |
|
11 |
|
342,266 |
|
2.1 |
% |
6,095 |
|
1.7 |
% |
4.1 |
|
|
AT&T Corporation |
(6) |
9 |
|
337,052 |
|
2.0 |
% |
6,041 |
|
1.7 |
% |
4.8 |
|
|
The Boeing Company |
(6) |
4 |
|
143,480 |
|
0.9 |
% |
4,085 |
|
1.2 |
% |
3.7 |
|
|
ITT Corporation |
(6) |
7 |
|
168,853 |
|
1.0 |
% |
4,019 |
|
1.1 |
% |
4.8 |
|
|
Ciena Corporation |
|
3 |
|
221,609 |
|
1.3 |
% |
3,675 |
|
1.0 |
% |
4.2 |
|
|
Science Applications International Corp. |
|
12 |
|
170,839 |
|
1.0 |
% |
3,243 |
|
0.9 |
% |
1.1 |
|
|
BAE Systems PLC |
(6) |
7 |
|
212,339 |
|
1.3 |
% |
2,880 |
|
0.8 |
% |
3.0 |
|
|
The Johns Hopkins University |
|
4 |
|
129,735 |
|
0.8 |
% |
2,863 |
|
0.8 |
% |
8.1 |
|
|
Merck & Co., Inc. (Unisys) |
(7) |
2 |
|
227,273 |
|
1.4 |
% |
2,675 |
|
0.8 |
% |
1.5 |
|
|
Magellan Health Services, Inc. |
|
2 |
|
113,727 |
|
0.7 |
% |
2,478 |
|
0.7 |
% |
3.6 |
|
|
Wyle Laboratories, Inc. |
|
4 |
|
174,792 |
|
1.1 |
% |
2,475 |
|
0.7 |
% |
4.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Top 20 Office Tenants |
|
178 |
|
8,613,500 |
|
52.2 |
% |
193,321 |
|
54.8 |
% |
5.7 |
|
|
All remaining tenants |
|
757 |
|
7,896,467 |
|
47.8 |
% |
159,288 |
|
45.2 |
% |
4.1 |
|
|
Total/Weighted Average |
|
935 |
|
16,509,967 |
|
100.0 |
% |
$ |
352,609 |
|
100.0 |
% |
5.0 |
|
(1) Table excludes owner occupied leasing activity which represents 145,701 square feet with a weighted average remaining lease term of 7.3 years as of December 31, 2007. |
(2) Total Annualized Rental Revenue is the monthly contractual base rent as of December 31, 2007, multiplied by 12, plus the estimated annualized expense reimbursements under existing office leases. |
(3) Order of tenants is based on Annualized Rent. |
(4) The weighting of the lease term was computed using Total Rental Revenue. |
(5) Many of our government leases are subject to early termination provisions which are customary to government leases. |
The weighted average remaining lease term was computed assuming no exercise of such early termination rights. |
(6) Includes affiliated organizations or agencies. |
(7) Merck & Co., Inc. subleases 219,065 rentable square feet from Unisys 960,349 leased rentable square feet in our Greater Philadelphia region. |
31
Combined Real Estate Revenue by Geographic Region by Quarter
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Office Properties: |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Baltimore/Washington Corridor |
|
$ |
43,101 |
|
$ |
43,850 |
|
$ |
42,722 |
|
$ |
43,837 |
|
$ |
40,093 |
|
Northern Virginia |
|
18,421 |
|
18,554 |
|
18,255 |
|
17,172 |
|
15,400 |
|
|||||
Suburban Baltimore |
|
14,464 |
|
13,576 |
|
13,448 |
|
13,081 |
|
6,415 |
|
|||||
Suburban Maryland |
|
4,355 |
|
4,410 |
|
3,943 |
|
3,967 |
|
3,864 |
|
|||||
St. Marys and King George Counties |
|
3,200 |
|
3,338 |
|
3,029 |
|
3,098 |
|
3,083 |
|
|||||
Colorado Springs |
|
3,794 |
|
4,311 |
|
3,605 |
|
3,594 |
|
3,364 |
|
|||||
San Antonio |
|
1,895 |
|
1,832 |
|
1,862 |
|
1,781 |
|
2,046 |
|
|||||
Greater Philadelphia |
|
2,506 |
|
2,506 |
|
2,506 |
|
2,506 |
|
2,506 |
|
|||||
Central New Jersey |
|
943 |
|
1,110 |
|
1,006 |
|
1,786 |
|
4,698 |
|
|||||
Other |
|
2,749 |
|
1,704 |
|
858 |
|
267 |
|
260 |
|
|||||
Subtotal |
|
95,428 |
|
95,191 |
|
91,234 |
|
91,089 |
|
81,729 |
|
|||||
Eliminations / other |
|
(312 |
) |
(353 |
) |
(64 |
) |
(694 |
) |
(252 |
) |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Combined Real Estate Revenue |
|
$ |
95,116 |
|
$ |
94,838 |
|
$ |
91,170 |
|
$ |
90,395 |
|
$ |
81,477 |
|
Combined Net Operating Income by Geographic Region by Quarter
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Office Properties: |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Baltimore/Washington Corridor |
|
$ |
28,824 |
|
$ |
29,172 |
|
$ |
29,385 |
|
$ |
29,310 |
|
$ |
27,532 |
|
Northern Virginia |
|
11,868 |
|
12,027 |
|
11,772 |
|
10,844 |
|
9,535 |
|
|||||
Suburban Baltimore |
|
8,643 |
|
8,110 |
|
8,492 |
|
7,310 |
|
3,387 |
|
|||||
Suburban Maryland |
|
2,746 |
|
2,670 |
|
2,290 |
|
2,304 |
|
2,333 |
|
|||||
St. Marys and King George Counties |
|
2,440 |
|
2,555 |
|
2,290 |
|
2,326 |
|
2,218 |
|
|||||
Colorado Springs |
|
2,337 |
|
2,339 |
|
2,412 |
|
2,315 |
|
2,020 |
|
|||||
San Antonio |
|
1,438 |
|
1,457 |
|
1,477 |
|
1,421 |
|
1,476 |
|
|||||
Greater Philadelphia |
|
2,477 |
|
2,471 |
|
2,477 |
|
2,473 |
|
2,461 |
|
|||||
Central New Jersey |
|
656 |
|
434 |
|
621 |
|
1,088 |
|
4,064 |
|
|||||
Other |
|
2,060 |
|
1,239 |
|
598 |
|
(309 |
) |
191 |
|
|||||
Subtotal |
|
63,489 |
|
62,474 |
|
61,814 |
|
59,082 |
|
55,217 |
|
|||||
Eliminations / other |
|
250 |
|
119 |
|
62 |
|
(711 |
) |
419 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Combined NOI |
|
$ |
63,739 |
|
$ |
62,593 |
|
$ |
61,876 |
|
$ |
58,371 |
|
$ |
55,636 |
|
32
Same Office Property Cash Net Operating Income by Quarter
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Office Properties: (1) |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Baltimore/Washington Corridor |
|
$ |
24,904 |
|
$ |
24,724 |
|
$ |
25,986 |
|
$ |
26,155 |
|
$ |
25,651 |
|
Northern Virginia |
|
11,146 |
|
11,062 |
|
10,798 |
|
9,551 |
|
8,202 |
|
|||||
Suburban Baltimore |
|
2,978 |
|
2,910 |
|
3,169 |
|
2,656 |
|
3,143 |
|
|||||
Suburban Maryland |
|
2,532 |
|
2,492 |
|
2,097 |
|
2,096 |
|
2,170 |
|
|||||
St. Marys and King George Counties |
|
2,340 |
|
2,433 |
|
2,292 |
|
2,318 |
|
2,180 |
|
|||||
Colorado Springs |
|
2,065 |
|
1,832 |
|
1,941 |
|
2,114 |
|
1,715 |
|
|||||
San Antonio |
|
1,171 |
|
1,128 |
|
1,146 |
|
1,136 |
|
1,133 |
|
|||||
Greater Philadelphia |
|
2,697 |
|
2,692 |
|
2,644 |
|
2,640 |
|
2,628 |
|
|||||
Central New Jersey |
|
658 |
|
547 |
|
529 |
|
471 |
|
543 |
|
|||||
Total Office Properties |
|
$ |
50,491 |
|
$ |
49,820 |
|
$ |
50,602 |
|
$ |
49,137 |
|
$ |
47,365 |
|
Less: Lease termination fees |
|
(200 |
) |
(610 |
) |
(921 |
) |
(1,160 |
) |
(798 |
) |
|||||
Same Office Cash NOI, adjusted for lease termination fees |
|
$ |
50,291 |
|
$ |
49,210 |
|
$ |
49,681 |
|
$ |
47,977 |
|
$ |
46,567 |
|
Same Office Property GAAP Net Operating Income by Quarter
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Office Properties: (1) |
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Baltimore/Washington Corridor |
|
$ |
25,556 |
|
$ |
25,403 |
|
$ |
26,474 |
|
$ |
26,689 |
|
$ |
26,516 |
|
Northern Virginia |
|
11,635 |
|
11,836 |
|
11,481 |
|
10,624 |
|
9,275 |
|
|||||
Suburban Baltimore |
|
3,218 |
|
3,303 |
|
3,523 |
|
2,932 |
|
3,381 |
|
|||||
Suburban Maryland |
|
2,746 |
|
2,667 |
|
2,292 |
|
2,302 |
|
2,353 |
|
|||||
St. Marys and King George Counties |
|
2,387 |
|
2,529 |
|
2,263 |
|
2,294 |
|
2,163 |
|
|||||
Colorado Springs |
|
2,324 |
|
2,108 |
|
2,222 |
|
2,324 |
|
2,057 |
|
|||||
San Antonio |
|
1,485 |
|
1,477 |
|
1,495 |
|
1,485 |
|
1,482 |
|
|||||
Greater Philadelphia |
|
2,478 |
|
2,473 |
|
2,479 |
|
2,475 |
|
2,463 |
|
|||||
Central New Jersey |
|
675 |
|
753 |
|
666 |
|
608 |
|
658 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Office Properties |
|
$ |
52,504 |
|
$ |
52,549 |
|
$ |
52,895 |
|
$ |
51,733 |
|
$ |
50,348 |
|
(1) Same office properties represent buildings owned and 100% operational for a minimum of five reporting quarters. Amounts reported do not include the effects of eliminations. |
33
Average Occupancy Rates by Region for Same Office Properties (1)
|
|
Baltimore / |
|
|
|
|
|
|
|
St.Marys and |
|
|
|
|
|
|
|
|
|
|
|
|
|
Washington |
|
Northern |
|
Suburban |
|
Suburban |
|
King George |
|
Colorado |
|
|
|
Greater |
|
Central |
|
Total |
|
|
|
Corridor |
|
Virginia |
|
Baltimore |
|
Maryland |
|
Counties |
|
Springs |
|
San Antonio |
|
Philadelphia |
|
New Jersey |
|
Office |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4th Quarter 2007 Average |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
82 |
|
14 |
|
23 |
|
6 |
|
17 |
|
11 |
|
2 |
|
4 |
|
3 |
|
162 |
|
Rentable Square Feet |
|
6,662,320 |
|
2,466,149 |
|
1,424,752 |
|
746,441 |
|
764,654 |
|
766,833 |
|
468,994 |
|
960,349 |
|
242,598 |
|
14,503,090 |
|
Percent Occupied |
|
93.27 |
% |
98.88 |
% |
82.68 |
% |
96.18 |
% |
95.51 |
% |
96.20 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
94.38 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3rd Quarter 2007 Average |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
82 |
|
14 |
|
23 |
|
6 |
|
17 |
|
11 |
|
2 |
|
4 |
|
3 |
|
162 |
|
Rentable Square Feet |
|
6,662,924 |
|
2,466,149 |
|
1,424,364 |
|
751,780 |
|
764,672 |
|
766,718 |
|
468,994 |
|
960,349 |
|
242,598 |
|
14,508,548 |
|
Percent Occupied |
|
94.10 |
% |
99.23 |
% |
81.94 |
% |
95.46 |
% |
96.51 |
% |
94.97 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
94.70 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2nd Quarter 2007 Average |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
82 |
|
14 |
|
23 |
|
6 |
|
17 |
|
11 |
|
2 |
|
4 |
|
3 |
|
162 |
|
Rentable Square Feet |
|
6,641,387 |
|
2,466,149 |
|
1,423,590 |
|
754,450 |
|
764,681 |
|
766,911 |
|
468,994 |
|
960,349 |
|
242,598 |
|
14,489,109 |
|
Percent Occupied |
|
94.83 |
% |
99.33 |
% |
83.91 |
% |
92.72 |
% |
96.52 |
% |
94.21 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
95.07 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1st Quarter 2007 Average |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
82 |
|
14 |
|
23 |
|
6 |
|
17 |
|
11 |
|
2 |
|
4 |
|
3 |
|
162 |
|
Rentable Square Feet |
|
6,644,169 |
|
2,466,149 |
|
1,424,674 |
|
754,450 |
|
764,681 |
|
766,911 |
|
468,994 |
|
960,349 |
|
242,598 |
|
14,492,975 |
|
Percent Occupied |
|
95.04 |
% |
93.76 |
% |
82.85 |
% |
91.32 |
% |
96.52 |
% |
94.02 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
94.03 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4th Quarter 2006 Average |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of Buildings |
|
82 |
|
14 |
|
23 |
|
6 |
|
17 |
|
11 |
|
2 |
|
4 |
|
3 |
|
162 |
|
Rentable Square Feet |
|
6,640,988 |
|
2,466,113 |
|
1,425,466 |
|
754,377 |
|
764,681 |
|
766,911 |
|
468,994 |
|
960,349 |
|
242,598 |
|
14,490,477 |
|
Percent Occupied |
|
95.35 |
% |
88.11 |
% |
83.91 |
% |
80.51 |
% |
96.52 |
% |
92.89 |
% |
100.00 |
% |
100.00 |
% |
100.00 |
% |
92.69 |
% |
(1) Same office properties represent buildings owned and 100% operational for a minimum of five reporting quarters. |
34
Office Lease Expiration Analysis by Year for Wholly Owned Properties
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
||
|
|
|
|
|
|
|
|
Total Annualized |
|
Percentage |
|
Annual. Rental |
|
||
|
|
|
|
Square |
|
|
|
Rental |
|
of Total |
|
Revenue of |
|
||
Year of |
|
Number |
|
Footage |
|
Percentage of |
|
Revenue of |
|
Annualized Rental |
|
Expiring Leases |
|
||
Lease |
|
of Leases |
|
of Leases |
|
Total Occupied |
|
Expiring |
|
Revenue |
|
per Occupied |
|
||
Expiration (1) |
|
Expiring |
|
Expiring |
|
Square Feet |
|
Leases (2) |
|
Expiring |
|
Square Foot |
|
||
|
|
|
|
|
|
|
|
(000s) |
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
January - March |
|
47 |
|
448,104 |
|
2.7 |
% |
$ |
8,794 |
|
2.5 |
% |
$ |
19.62 |
|
April - June |
|
42 |
|
334,032 |
|
2.0 |
% |
6,615 |
|
1.9 |
% |
19.80 |
|
||
July - September |
|
56 |
|
868,249 |
|
5.3 |
% |
18,305 |
|
5.2 |
% |
21.08 |
|
||
October - December |
|
39 |
|
285,835 |
|
1.7 |
% |
5,610 |
|
1.6 |
% |
19.63 |
|
||
Total 2008 |
|
184 |
|
1,936,220 |
|
11.7 |
% |
$ |
39,323 |
|
11.2 |
% |
$ |
20.31 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
2009 |
|
163 |
|
2,969,784 |
|
18.0 |
% |
50,387 |
|
14.3 |
% |
16.97 |
|
||
2010 |
|
160 |
|
2,056,484 |
|
12.5 |
% |
46,979 |
|
13.3 |
% |
22.84 |
|
||
2011 |
|
125 |
|
1,534,448 |
|
9.3 |
% |
30,644 |
|
8.7 |
% |
19.97 |
|
||
2012 |
|
126 |
|
2,447,463 |
|
14.8 |
% |
51,997 |
|
14.7 |
% |
21.25 |
|
||
2013 |
|
39 |
|
992,272 |
|
6.0 |
% |
22,824 |
|
6.5 |
% |
23.00 |
|
||
2014 |
|
27 |
|
727,776 |
|
4.4 |
% |
20,769 |
|
5.9 |
% |
28.54 |
|
||
2015 |
|
28 |
|
1,298,810 |
|
7.9 |
% |
30,784 |
|
8.7 |
% |
23.70 |
|
||
2016 |
|
20 |
|
485,182 |
|
2.9 |
% |
12,054 |
|
3.4 |
% |
24.84 |
|
||
2017 |
|
29 |
|
740,028 |
|
4.5 |
% |
18,595 |
|
5.3 |
% |
25.13 |
|
||
2018 |
|
5 |
|
333,455 |
|
2.0 |
% |
8,566 |
|
2.4 |
% |
25.69 |
|
||
2019 |
|
2 |
|
38,292 |
|
0.2 |
% |
391 |
|
0.1 |
% |
10.21 |
|
||
2020 |
|
|
|
|
|
0.0 |
% |
|
|
0.0 |
% |
0.00 |
|
||
2021 |
|
1 |
|
104,695 |
|
0.6 |
% |
2,454 |
|
0.7 |
% |
23.44 |
|
||
2022 |
|
2 |
|
295,842 |
|
1.8 |
% |
8,148 |
|
2.3 |
% |
27.54 |
|
||
2023 |
|
|
|
|
|
0.0 |
% |
|
|
0.0 |
% |
0.00 |
|
||
2024 |
|
|
|
|
|
0.0 |
% |
|
|
0.0 |
% |
0.00 |
|
||
2025 |
|
2 |
|
468,994 |
|
2.8 |
% |
7,232 |
|
2.1 |
% |
15.42 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Other (3) |
|
22 |
|
80,222 |
|
0.5 |
% |
1,463 |
|
0.4 |
% |
18.24 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Total / Average |
|
935 |
|
16,509,967 |
|
100.0 |
% |
$ |
352,609 |
|
100.0 |
% |
$ |
21.36 |
|
NOTE: As of December 31, 2007, the weighted average lease term for the wholly owned properties is 5.0 years.
(1) |
|
Many of our government leases are subject to certain early termination provisions which are customary to government leases. The year of lease expiration was computed assuming no exercise of such early termination rights. |
|
|
|
(2) |
|
Total Annualized Rental Revenue is the monthly contractual base rent as of December 31, 2007 multiplied by 12 plus the estimated annualized expense reimbursements under existing office leases. |
|
|
|
(3) |
|
Other consists primarily of amenities, including cafeterias, concierge offices and property management space. In addition, month-to-month leases and leases which have expired but the tenant remains in holdover are included in this line as the exact expiration date is unknown. |
35
Annual Office Renewal Analysis
|
|
Baltimore/ |
|
Northern |
|
Suburban |
|
Suburban |
|
St. Marys & |
|
Colorado |
|
Central New |
|
Greater |
|
Total |
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
For Year Ended December 31, 2007: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Expiring Square Feet |
|
1,209,747 |
|
132,194 |
|
855,084 |
|
7,954 |
|
175,157 |
|
14,421 |
|
6,412 |
|
n/a |
|
2,400,969 |
|
|||||||||
Vacated Square Feet |
|
353,882 |
|
83,066 |
|
273,094 |
|
|
|
20,776 |
|
4,811 |
|
6,412 |
|
n/a |
|
742,041 |
|
|||||||||
Renewed Square Feet |
|
855,865 |
|
49,128 |
|
581,990 |
|
7,954 |
|
154,381 |
|
9,610 |
|
|
|
n/a |
|
1,658,928 |
|
|||||||||
Retention Rate (% based upon square feet) |
|
70.75 |
% |
37.16 |
% |
68.06 |
% |
100.00 |
% |
88.14 |
% |
66.64 |
% |
0.00 |
% |
n/a |
|
69.09 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Renewed Space Only: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Change in Total Rent - GAAP |
|
13.53 |
% |
2.54 |
% |
3.85 |
% |
-9.98 |
% |
11.65 |
% |
-1.63 |
% |
0.00 |
% |
n/a |
|
9.52 |
% |
|||||||||
Change in Total Rent - Cash |
|
5.60 |
% |
-7.01 |
% |
-1.27 |
% |
-19.35 |
% |
5.20 |
% |
-7.28 |
% |
0.00 |
% |
n/a |
|
2.54 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Average Capital Cost per Square Foot |
|
$ |
6.80 |
|
$ |
4.65 |
|
$ |
4.92 |
|
$ |
15.02 |
|
$ |
4.97 |
|
$ |
3.75 |
|
$ |
|
|
n/a |
|
$ |
5.93 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Renewed & Retenanted Space: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Change in Total Rent - GAAP |
|
11.62 |
% |
4.14 |
% |
1.00 |
% |
-9.98 |
% |
10.77 |
% |
0.85 |
% |
0.00 |
% |
n/a |
|
7.26 |
% |
|||||||||
Change in Total Rent - Cash |
|
4.62 |
% |
-4.79 |
% |
-3.85 |
% |
-19.35 |
% |
4.25 |
% |
-3.65 |
% |
0.00 |
% |
n/a |
|
0.88 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Average Capital Cost per Square Foot |
|
$ |
9.68 |
|
$ |
11.49 |
|
$ |
10.03 |
|
$ |
15.02 |
|
$ |
5.09 |
|
$ |
5.70 |
|
$ |
|
|
n/a |
|
$ |
9.58 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
For Year Ended December 31, 2006: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Expiring Square Feet |
|
872,387 |
|
349,322 |
|
311,800 |
|
91,307 |
|
195,834 |
|
70,196 |
|
60,004 |
|
n/a |
|
1,950,850 |
|
|||||||||
Vacated Square Feet (2) |
|
287,859 |
|
217,166 |
|
237,928 |
|
17,730 |
|
43,985 |
|
11,422 |
|
54,755 |
|
n/a |
|
870,845 |
|
|||||||||
Renewed Square Feet |
|
584,528 |
|
132,156 |
|
73,872 |
|
73,577 |
|
151,849 |
|
58,774 |
|
5,249 |
|
n/a |
|
1,080,005 |
|
|||||||||
Retention Rate (% based upon square feet) |
|
67.00 |
% |
37.83 |
% |
23.69 |
% |
80.58 |
% |
77.54 |
% |
83.73 |
% |
8.75 |
% |
n/a |
|
55.36 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Renewed Space Only: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Change in Total Rent - GAAP |
|
16.11 |
% |
6.02 |
% |
4.46 |
% |
-1.35 |
% |
2.57 |
% |
-7.13 |
% |
1.95 |
% |
n/a |
|
9.71 |
% |
|||||||||
Change in Total Rent - Cash |
|
5.87 |
% |
-0.95 |
% |
-1.14 |
% |
-9.64 |
% |
-1.58 |
% |
-5.21 |
% |
1.18 |
% |
n/a |
|
1.79 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Average Capital Cost per Square Foot |
|
$ |
2.76 |
|
$ |
5.11 |
|
$ |
8.96 |
|
$ |
2.18 |
|
$ |
1.07 |
|
$ |
4.27 |
|
$ |
0.77 |
|
n/a |
|
$ |
3.27 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Renewed & Retenanted Space: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Change in Total Rent - GAAP |
|
18.67 |
% |
-2.15 |
% |
2.66 |
% |
-5.54 |
% |
0.99 |
% |
-7.13 |
% |
3.67 |
% |
n/a |
|
7.60 |
% |
|||||||||
Change in Total Rent - Cash |
|
9.20 |
% |
-7.98 |
% |
-4.40 |
% |
-11.67 |
% |
-3.06 |
% |
-5.21 |
% |
2.60 |
% |
n/a |
|
0.51 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Average Capital Cost per Square Foot |
|
$ |
7.53 |
|
$ |
23.34 |
|
$ |
17.47 |
|
$ |
5.97 |
|
$ |
1.81 |
|
$ |
4.27 |
|
$ |
5.02 |
|
n/a |
|
$ |
11.04 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
For Year Ended December 31, 2005: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Expiring Square Feet |
|
946,260 |
|
107,739 |
|
94,555 |
|
47,955 |
|
40,657 |
|
|
|
45,603 |
|
50,644 |
|
1,333,413 |
|
|||||||||
Vacated Square Feet |
|
316,391 |
|
14,420 |
|
50,439 |
|
30,881 |
|
4,479 |
|
|
|
11,538 |
|
17,149 |
|
445,297 |
|
|||||||||
Renewed Square Feet |
|
629,869 |
|
93,319 |
|
44,116 |
|
17,074 |
|
36,178 |
|
|
|
34,065 |
|
33,495 |
|
888,116 |
|
|||||||||
Retention Rate (% based upon square feet) |
|
66.56 |
% |
86.62 |
% |
46.66 |
% |
35.60 |
% |
88.98 |
% |
0.00 |
% |
74.70 |
% |
66.14 |
% |
66.60 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Renewed Space Only: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Change in Total Rent - GAAP |
|
9.84 |
% |
-2.57 |
% |
-0.93 |
% |
8.16 |
% |
-1.99 |
% |
0.00 |
% |
4.32 |
% |
-8.39 |
% |
5.64 |
% |
|||||||||
Change in Total Rent - Cash |
|
2.78 |
% |
-13.04 |
% |
-7.80 |
% |
2.34 |
% |
-5.54 |
% |
0.00 |
% |
-0.35 |
% |
-12.48 |
% |
-1.67 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Average Capital Cost per Square Foot |
|
$ |
2.24 |
|
$ |
14.67 |
|
$ |
6.72 |
|
$ |
5.91 |
|
$ |
4.44 |
|
$ |
|
|
$ |
5.15 |
|
$ |
0.56 |
|
$ |
3.98 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Renewed & Retenanted Space: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Change in Total Rent - GAAP |
|
7.09 |
% |
-6.14 |
% |
0.46 |
% |
31.71 |
% |
3.57 |
% |
0.00 |
% |
-27.19 |
% |
-8.72 |
% |
-1.49 |
% |
|||||||||
Change in Total Rent - Cash |
|
0.64 |
% |
-15.07 |
% |
-6.78 |
% |
19.20 |
% |
-0.19 |
% |
0.00 |
% |
-35.67 |
% |
-12.00 |
% |
-8.59 |
% |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Average Capital Cost per Square Foot |
|
$ |
5.06 |
|
$ |
20.41 |
|
$ |
11.56 |
|
$ |
34.50 |
|
$ |
4.73 |
|
$ |
|
|
$ |
6.46 |
|
$ |
5.10 |
|
$ |
8.23 |
|
Notes: No renewal or retenanting activity transpired in our Greater Philadelphia, San Antonio or Other regions. Activity is exclusive of owner occupied space and leases with less than a one-year term. Expiring square feet includes early renewals and early terminations.
(1) We ceased reporting renewal and retenanting activity for any of our joint venture properties effective fourth quarter of 2005.
(2) Our vacated space in our Northern Virginia portfolio for year ended December 31, 2006 includes a lease for 99,121 square feet in our 13200 Woodland Park Road building (known as One Dulles Tower) due to its early termination. This entire space was retenanted for nine years and was included in our retenanting statistics in the third quarter 2006. Excluding the effect of this early termination, our retention rate would have been 58.32% for the year ended December 31, 2006.
36
Quarterly Office Renewal Analysis for Wholly Owned Properties as of December 31, 2007
|
|
Baltimore/ |
|
Northern |
|
Suburban |
|
Suburban |
|
St. Marys and |
|
Colorado |
|
Central New |
|
Total |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Quarter Ended December 31, 2007: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Expiring Square Feet |
|
368,130 |
|
39,289 |
|
81,195 |
|
|
|
10,036 |
|
|
|
|
|
498,650 |
|
||||||||
Vacated Square Feet |
|
135,377 |
|
38,385 |
|
17,565 |
|
|
|
6,353 |
|
|
|
|
|
197,680 |
|
||||||||
Renewed Square Feet |
|
232,753 |
|
904 |
|
63,630 |
|
|
|
3,683 |
|
|
|
|
|
300,970 |
|
||||||||
Retention Rate (% based upon square feet) |
|
63.23 |
% |
2.30 |
% |
78.37 |
% |
0.00 |
% |
36.70 |
% |
0.00 |
% |
0.00 |
% |
60.36 |
% |
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Renewed Space Only: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Average Committed Cost per Square Foot |
|
$ |
4.04 |
|
$ |
29.84 |
|
$ |
2.07 |
|
$ |
|
|
$ |
26.61 |
|
$ |
|
|
$ |
|
|
$ |
3.98 |
|
Weighted Average Lease Term in years |
|
5.5 |
|
5.7 |
|
3.1 |
|
|
|
4.8 |
|
|
|
|
|
5.0 |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Change in Total Rent - GAAP |
|
20.42 |
% |
16.16 |
% |
2.17 |
% |
0.00 |
% |
3.44 |
% |
0.00 |
% |
0.00 |
% |
15.99 |
% |
||||||||
Change in Total Rent - Cash |
|
10.81 |
% |
11.86 |
% |
-3.44 |
% |
0.00 |
% |
-5.82 |
% |
0.00 |
% |
0.00 |
% |
7.36 |
% |
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Renewed & Retenanted Space: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Average Committed Cost per Square Foot |
|
$ |
7.28 |
|
$ |
13.16 |
|
$ |
22.59 |
|
$ |
|
|
$ |
26.61 |
|
$ |
|
|
$ |
|
|
$ |
12.83 |
|
Weighted Average Lease Term in years |
|
5.7 |
|
5.1 |
|
6.0 |
|
|
|
4.8 |
|
|
|
|
|
5.8 |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Change in Total Rent - GAAP |
|
16.38 |
% |
15.64 |
% |
-4.78 |
% |
0.00 |
% |
3.44 |
% |
0.00 |
% |
0.00 |
% |
8.46 |
% |
||||||||
Change in Total Rent - Cash |
|
6.70 |
% |
12.17 |
% |
-11.67 |
% |
0.00 |
% |
-5.82 |
% |
0.00 |
% |
0.00 |
% |
0.23 |
% |
Notes: No renewal or retenanting activity transpired in our Greater Philadelphia, San Antonio or Other regions. Activity is exclusive of owner occupied space and leases with less than a one-year term. Expiring square feet includes early renewals and early terminations.
37
Year to Date Wholly Owned Acquisition Summary as of December 31, 2007 (1)
(Dollars in thousands)
|
|
Submarket |
|
Acquisition |
|
Building |
|
Square Feet |
|
Occupancy |
|
Contractual |
|
Investment (2)(3) |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Nottingham Portfolio |
|
BWI Airport |
|
1/9-1/10/07 |
|
1 |
|
59,397 |
|
76.8 |
% |
$ |
8,910 |
|
$ |
9,233 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Nottingham Portfolio |
|
Howard Co. Perimeter |
|
1/9-1/10/07 |
|
12 |
|
382,031 |
|
87.8 |
% |
57,983 |
|
59,669 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Nottingham Portfolio |
|
Hunt Valley/Rte 83 Corridor |
|
1/9-1/10/07 |
|
3 |
|
91,378 |
|
93.9 |
% |
12,904 |
|
13,641 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Nottingham Portfolio |
|
Towson |
|
1/9-1/10/07 |
|
4 |
|
177,567 |
(4) |
90.7 |
% |
25,485 |
|
26,228 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Nottingham Portfolio |
|
White Marsh |
|
1/9-1/10/07 |
|
36 |
|
1,643,004 |
|
84.5 |
% |
219,718 |
|
220,268 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
525 Babcock Road |
|
Colorado Springs East |
|
7/12/2007 |
|
1 |
|
14,000 |
|
100.0 |
% |
1,504 |
|
1,523 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total |
|
|
|
|
|
|
57 |
|
2,367,377 |
|
|
|
$ |
326,504 |
|
$ |
330,562 |
|
(1) Excludes land only acquisitions.
(2) Contractual purchase price and investment balances exclude value assigned to development land.
(3) Initial accounting investment recorded by property.
(4) Excludes approximately 160,000 square foot parking garage; although, garage purchase price is included in purchase price and investment columns.
38
Year to Date Wholly Owned Disposition Summary as of December 31, 2007 (1)
(Dollars in thousands)
|
|
Submarket |
|
Disposition |
|
Square Feet |
|
Contractual |
|
||
|
|
|
|
|
|
|
|
|
|
||
7321 Parkway Drive |
|
BWI Airport |
|
9/7/2007 |
|
39,822 |
|
$ |
5,000 |
|
|
|
|
|
|
|
|
|
|
|
|
||
2 Centre Drive |
|
Exit 8A - Cranbury |
|
9/7/2007 |
|
16,132 |
|
3,400 |
|
||
|
|
|
|
|
|
|
|
|
|
||
8 Centre Drive |
|
Exit 8A - Cranbury |
|
9/7/2007 |
|
16,199 |
|
2,600 |
|
||
|
|
|
|
|
|
|
|
|
|
||
10552 Philadelphia Road |
|
White Marsh |
|
12/27/2007 |
|
56,000 |
|
6,800 |
|
||
|
|
|
|
|
|
|
|
|
|
||
Total |
|
|
|
|
|
|
128,153 |
|
$ |
17,800 |
|
(1) Includes operational buildings only.
39
Development Summary as of December 31, 2007
(Dollars in thousands)
|
|
|
|
Wholly |
|
|
|
|
|
|
|
|
|
|
|
|
|
Actual or |
|
|
|
|||
|
|
|
|
Owned |
|
|
|
Total |
|
|
|
|
|
|
|
|
|
Anticipated |
|
|
|
|||
|
|
|
|
or Joint |
|
|
|
Rentable |
|
Percentage |
|
Anticipated |
|
|
|
Outstanding |
|
Construction |
|
Anticipated |
|
|||
|
|
|
|
Venture |
|
Demand |
|
Square |
|
Leased/ |
|
Total |
|
Cost |
|
Loan as of |
|
Completion |
|
Operational |
|
|||
Property and Location |
|
Submarket |
|
(JV) |
|
Driver |
|
Feet |
|
Committed (1) |
|
Cost |
|
to date |
|
12/31/2007 |
|
Date |
|
Date |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Under Construction |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
302 Sentinel
Drive (302 NBP) |
|
BWI Airport |
|
Owned |
|
Defense Information |
|
157,146 |
|
51.33% |
|
$ |
31,894 |
|
$ |
30,269 |
|
$ |
22,506 |
|
1Q 07 |
|
1Q 08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
1362 Mellon Road |
|
BWI Airport |
|
Owned |
|
Market Demand |
|
44,134 |
|
0.00% |
|
10,392 |
|
8,203 |
|
|
|
2Q 07 |
|
2Q 08 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
7740 Milestone Parkway
|
|
BWI Airport |
|
JV |
|
Market Demand |
|
151,800 |
|
0.00% |
|
35,118 |
|
21,389 |
|
|
|
3Q 08 |
|
3Q 09 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
5520 Research
Park Drive (UMBC) |
|
BWI Airport |
|
Land Lease |
|
Research Park |
|
110,400 |
|
0.00% |
|
24,821 |
|
10,219 |
|
|
|
3Q 08 |
|
3Q 09 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Baltimore/Washington Corridor |
|
|
|
|
|
|
|
463,480 |
|
17.40% |
|
$ |
102,225 |
|
$ |
70,080 |
|
$ |
22,506 |
|
|
|
|
|
% of Total Regions |
|
|
|
|
|
|
|
54.81 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
1055 North
Newport Road |
|
Colorado |
|
Owned |
|
Defense Information |
|
59,763 |
|
100.00 % |
|
$ |
11,553 |
|
$ |
11,204 |
|
$ |
|
|
1Q 08 |
|
1Q 08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
655 Space Center
Drive (Patriot Park 6) |
|
Colorado |
|
Owned |
|
Defense Information |
|
103,970 |
|
72.14 % |
|
18,519 |
|
12,883 |
|
|
|
1Q 08 |
|
3Q 08 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
9945 Federal
Drive (Hybrid I) |
|
I-25 North |
|
Owned |
|
Market Demand |
|
73,940 |
|
0.00% |
|
12,468 |
|
3,335 |
|
|
|
3Q 08 |
|
3Q 09 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
9925 Federal
Drive (Hybrid II) |
|
I-25 North |
|
Owned |
|
Market Demand |
|
53,845 |
|
0.00% |
|
8,757 |
|
2,302 |
|
|
|
3Q 08 |
|
3Q 09 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Colorado Springs |
|
|
|
|
|
|
|
291,518 |
|
46.23% |
|
$ |
51,297 |
|
$ |
29,724 |
|
$ |
|
|
|
|
|
|
% of Total Regions |
|
|
|
|
|
|
|
34.47 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
8611 Military
Drive, Building C |
(1) |
San Antonio |
|
Owned |
|
Government |
|
38,255 |
|
100.00% |
|
$ |
4,757 |
|
$ |
|
|
$ |
|
|
4Q 08 |
|
4Q 08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
8611 Military
Drive, Building HI |
(1) |
San Antonio |
|
Owned |
|
Government |
|
52,352 |
|
100.00% |
|
3,932 |
|
|
|
|
|
4Q 08 |
|
4Q 08 |
|
|||
Subtotal San Antonio |
|
|
|
|
|
|
|
90,607 |
|
100.00% |
|
$ |
8,689 |
|
$ |
|
|
$ |
|
|
|
|
|
|
% of Total Regions |
|
|
|
|
|
|
|
10.72 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total Under Construction |
|
|
|
|
|
|
|
845,605 |
|
36.19% |
|
$ |
162,211 |
|
$ |
99,804 |
|
$ |
22,506 |
|
|
|
|
|
|
|
|
|
|
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% of Total |
|
Total Rentable |
|
Percentage |
|
Type of Demand Driver |
|
Demand Drivers |
|
Square Feet |
|
Leased/Committed (1) |
|
Government |
|
10.72 |
% |
90,607 |
|
100.00 |
% |
Defense Information Technology |
|
37.95 |
% |
320,879 |
|
67.14 |
% |
Market Demand |
|
38.28 |
% |
323,719 |
|
0.00 |
% |
Research Park |
|
13.06 |
% |
110,400 |
|
0.00 |
% |
Total Under Construction by Demand Driver |
|
100.00 |
% |
845,605 |
|
36.19 |
% |
(1) These two development properties have not yet been leased but are considered committed based upon the prospective tenant and their proximity to two existing operating properties. Excluding the commitments on these two development projects, the overall leased percentage would be 25.48%.
(2) Total loan commitment is $27.0 million.
(3) Although classified as "Under Construction," 48,377 square feet are operational.
Demand Driver Categories (as classified by COPT management):
Defense Information Technology: Development opportunity created through our current and future relationships with defense information technology contractors and, possibly, minor Government tenancy.
Government: Development opportunity created through our existing and future relationship with various agencies of the government of the United States of America. Excludes Government tenancy included in Defense Information Technology.
Market Demand: Development opportunity created through perceived unfulfilled space requirements within a specific submarket; potential submarket demand exceeds existing supply.
Research Park: Development opportunity created through specific research park relationship.
Anticipated Operational Date: Date in which the earlier of one year following substantial completion or 100% occupancy has been achieved.
40
Development Summary as of December 31, 2007 (continued)
(Dollars in thousands)
|
|
|
|
Wholly |
|
|
|
|
|
|
|
|
|
|
|
|
|
Actual or |
|
|
|
|||
|
|
|
|
Owned |
|
|
|
Total |
|
|
|
|
|
|
|
|
|
Anticipated |
|
|
|
|||
|
|
|
|
or Joint |
|
|
|
Rentable |
|
Percentage |
|
Anticipated |
|
|
|
Outstanding |
|
Construction |
|
Anticipated |
|
|||
|
|
|
|
Venture |
|
Demand |
|
Square |
|
Leased/ |
|
Total |
|
Cost |
|
Loan as of |
|
Completion |
|
Operational |
|
|||
Property and Location |
|
Submarket |
|
(JV) |
|
Driver |
|
Feet |
|
Committed |
|
Cost |
|
to date |
|
12/31/2007 |
|
Date |
|
Date |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Redevelopment |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
9965 Federal
Drive |
(1) |
I-25 North Corridor |
|
Owned |
|
N/A |
|
74,749 |
|
100.00% |
|
$ |
8,716 |
|
$ |
8,607 |
|
$ |
|
|
1Q 08 |
|
1 Q 08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Colorado Springs |
|
|
|
|
|
|
|
74,749 |
|
100.00% |
|
$ |
8,716 |
|
$ |
8,607 |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
2900 Towerview
Road |
(2) |
Route 28 |
|
JV |
|
N/A |
|
137,037 |
|
57.04% |
|
$ |
18,836 |
|
$ |
16,571 |
|
$ |
|
|
4Q 07 |
|
4Q 08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
13849 Park Center
Road |
(3) |
Route 28 |
|
JV |
|
N/A |
|
57,000 |
|
n/a |
|
6,941 |
|
6,696 |
|
|
|
4Q 07 |
|
n/a |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Northern Virginia |
|
|
|
|
|
|
|
194,037 |
|
40.29% |
|
$ |
25,777 |
|
$ |
23,267 |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
7468 Candlewood
Road |
(4) |
BWI Airport |
|
JV |
|
N/A |
|
356,000 |
` |
0.00% |
|
$ |
37,746 |
|
$ |
25,952 |
|
$ |
|
|
4Q 08 |
|
4Q 09 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Baltimore/Washington Corridor |
|
|
|
|
|
|
|
356,000 |
|
0.00% |
|
$ |
37,760 |
|
$ |
25,952 |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total Redevelopment |
|
|
|
|
|
|
|
624,786 |
|
24.48% |
|
$ |
72,253 |
|
$ |
57,826 |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Under Development |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
324 Sentinel
Drive (324 NBP) |
|
BWI Airport |
|
Owned |
|
Government |
|
125,000 |
|
|
|
$ |
26,250 |
|
$ |
1,678 |
|
$ |
|
|
3Q 09 |
|
2Q 10 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Riverwood
I & II |
|
Howard Co. Perimeter |
|
Owned |
|
Government |
|
70,000 |
|
|
|
15,100 |
|
1,898 |
|
|
|
3Q 09 |
|
4Q 09 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Government |
|
|
|
|
|
|
|
195,000 |
|
|
|
$ |
41,350 |
|
$ |
3,576 |
|
$ |
|
|
|
|
|
|
% of Total Drivers |
|
|
|
|
|
|
|
17.85 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
300 Sentinel
Drive (300 NBP) |
|
BWI Airport |
|
Owned |
|
Defense Information Technology |
|
190,000 |
|
|
|
$ |
46,700 |
|
$ |
6,079 |
|
$ |
|
|
3Q 09 |
|
3Q 10 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
10807 New
Allegiance Drive (Epic One) |
|
I-25 North Corridor |
|
Owned |
|
Defense Information Technology |
|
145,723 |
|
|
|
30,457 |
|
2,889 |
|
|
|
2Q 09 |
|
1Q 10 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
110 Thomas
Johnson Drive, Bldg #2 |
|
Frederick |
|
Owned |
|
Defense Information Technology |
|
85,000 |
|
|
|
16,162 |
|
1,761 |
|
|
|
3Q 09 |
|
3Q 10 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
16444 Commerce
Drive |
|
King George County |
|
Owned |
|
Defense Information Technology |
|
57,000 |
|
|
|
10,349 |
|
947 |
|
|
|
2Q 09 |
|
2Q 10 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
565 Space Center
Drive (Patriot Park 7) |
|
Colorado Springs East |
|
Owned |
|
Defense Information Technology |
|
89,773 |
|
|
|
18,250 |
|
1,311 |
|
|
|
2Q 09 |
|
2Q 10 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Northgate
Business Park (Lot A) |
|
Harford County |
|
Owned |
|
Defense Information Technology |
|
80,000 |
|
|
|
16,400 |
|
960 |
|
|
|
4Q 09 |
|
4Q 10 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
6721 Columbia
Gateway Drive |
|
Howard Co. Perimeter |
|
owned |
|
Market demand |
|
125,000 |
|
0.00 |
|
26,696 |
|
6,375 |
|
|
|
1Q 09 |
|
1Q 10 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Defense Information Technology |
|
|
|
|
|
|
|
647,496 |
|
|
|
$ |
138,318 |
|
$ |
13,947 |
|
$ |
|
|
|
|
|
|
% of Total Drivers |
|
|
|
|
|
|
|
59.27 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
8130 Corporate
Drive |
|
White Marsh |
|
Owned |
|
Market Demand |
|
125,000 |
|
|
|
$ |
26,535 |
|
$ |
2,929 |
|
$ |
|
|
2Q 09 |
|
2Q 10 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal Market Demand |
|
|
|
|
|
|
|
250,000 |
|
|
|
$ |
53,231 |
|
$ |
7,304 |
|
$ |
|
|
|
|
|
|
% of Total Drivers |
|
|
|
|
|
|
|
21.88 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Total Under Development |
|
|
|
|
|
|
|
1,092,496 |
|
|
|
$ |
232,899 |
|
$ |
26,827 |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% of Total |
|
Total Rentable |
|
Type of Demand Driver |
|
Demand Drivers |
|
Square Feet |
|
Government |
|
17.85 |
% |
195,000 |
|
Defense Information Technology |
|
59.27 |
% |
647,496 |
|
Market Demand |
|
22.88 |
% |
250,000 |
|
Research Park |
|
0.00 |
% |
|
|
Total Under Development by Demand Driver |
|
100.00 |
% |
1,092,496 |
|
(1) Although classified as Redevelopment, 41,120 square feet are operational.
(2) Although classified as Redevelopment, 78,171 square feet located at 2900 Towerview Road are operational. In the fourth quarter of 2007, we separated the 13849 Park Center Road redevelopment assets from this joint venture.
(3) This joint venture was separated in the fourth quarter of 2007 from our 2900 Towerview Road joint venture. Subsequent to year end, 33,354 square feet were sold.
Demand Driver Categories (as classified by COPT management):
Defense Information Technology: Development opportunity created through our current and future relationships with defense information technology contractors and, possibly, minor Government tenancy.
Government: Development opportunity created through our existing and future relationship with various agencies of the government of the United States of America. Excludes Government tenancy included in Defense Information Technology.
Market Demand: Development opportunity created through perceived unfulfilled space requirements within a specific submarket; potential submarket demand exceeds existing supply.
Research Park: Development opportunity created through a specific research park relationship.
Anticipated Operational Date: Date in which the earlier of one year following substantial completion or 100% occupancy has been achieved.
41
Total Development Placed into Service as of December 31, 2007
(Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Development Square |
|
|
|
|
|
Wholly Owned |
|
|
|
Development Square Feet Placed Into Service |
|
Feet Placed Into |
|
||||||
|
|
|
|
or Joint Venture |
|
Total Rentable |
|
Year 2006 |
|
Year 2007 |
|
Service Leased |
|
||||
Property and Location |
|
Submarket |
|
(JV) |
|
Square Feet |
|
|
|
2nd Quarter |
|
3rd Quarter |
|
4th Quarter |
|
as of 12/31/07 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11751 Meadowville
Lane |
|
Richmond |
|
Owned |
|
193,000 |
|
|
|
193,000 |
|
|
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6711 Columbia
Gateway Drive |
|
Howard Co. |
|
Owned |
|
123,410 |
|
68,196 |
|
21,363 |
|
33,851 |
|
|
(1) |
83.08 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
302 Sentinel
Drive (302 NBP) |
|
BWI Airport |
|
Owned |
|
157,146 |
|
|
|
|
|
48,377 |
|
|
|
100.00 |
% (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5522 Research
Park Drive (UMBC) |
|
BWI Airport |
|
Land Lease |
|
23,500 |
|
|
|
|
|
23,500 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
201 Technology
Park Drive |
|
Southwest |
|
Owned |
|
102,842 |
|
|
|
|
|
|
|
102,842 |
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
320 Sentinel Way
(320 NBP) |
|
BWI Airport |
|
Owned |
|
125,681 |
|
|
|
|
|
|
|
125,681 |
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Development Placed Into Service |
|
|
|
|
|
725,579 |
|
68,196 |
|
214,363 |
|
105,728 |
|
228,523 |
|
95.37 |
% (2) |
(1) In July 2007, 100% of this building became operational. As of December 31, 2006, 68,196 square feet were placed into service.
(2) Using the total rentable square feet of the buildings instead of the square feet placed into service, the percentage leased for 302 Sentinel Drive and the total development placed into service would be 51.33% and 86.58%, respectively.
42
Land Inventory as of December 31, 2007
|
|
|
|
|
|
Non-Wholly Owned |
|
Wholly Owned |
|
||||||
Location |
|
Submarket |
|
Status |
|
Acres |
|
Developable Square Feet |
|
Acres |
|
Developable |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Westfields Corporate Center |
|
Dulles South |
|
owned |
|
|
|
|
|
19 |
|
246,800 |
|
||
Westfields Corporate Center |
|
Dulles South |
|
owned |
|
|
|
|
|
17 |
|
377,300 |
|
||
Westfields Corporate Center |
|
Dulles South |
|
owned |
|
|
|
|
|
32 |
|
674,200 |
|
||
Woodland Park |
|
Herndon |
|
owned |
|
|
|
|
|
5 |
|
225,000 |
|
||
Total Northern Virginia |
|
|
|
|
|
|
|
|
|
73 |
|
1,523,300 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
National Business Park (Phase II) |
|
BWI Airport |
|
owned |
|
|
|
|
|
31 |
|
730,165 |
|
||
National Business Park (Phase III) |
|
BWI Airport |
|
owned |
|
|
|
|
|
194 |
|
1,125,000 |
|
||
1243 Winterson Road (AS 22) |
|
BWI Airport |
|
owned |
|
|
|
|
|
2 |
|
30,000 |
|
||
940 Elkridge Landing Road (AS 7) |
|
BWI Airport |
|
owned |
|
|
|
|
|
3 |
|
53,941 |
|
||
Arundel Preserve |
|
BWI Airport |
|
under contract/JV |
|
56 |
|
up to 1,648,200 |
|
|
|
|
|
||
1460 Dorsey Road |
|
BWI Airport |
|
owned |
|
|
|
|
|
6 |
|
60,000 |
|
||
Columbia Gateway Parcel T-11 |
|
Howard Co. Perimeter |
|
owned |
|
|
|
|
|
14 |
|
220,000 |
|
||
7125 Columbia Gateway Drive |
|
Howard Co. Perimeter |
|
owned |
|
|
|
|
|
5 |
|
120,000 |
|
||
Total Baltimore / Washington Corridor |
|
|
|
|
|
56 |
|
1,648,200 |
|
255 |
|
2,339,106 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
White Marsh |
|
White Marsh |
|
owned |
|
|
|
|
|
145 |
|
1,567,000 |
|
||
37 Allegheny Avenue |
|
Towson |
|
owned |
|
|
|
|
|
0.3 |
|
40,000 |
|
||
Northgate Business Park |
|
Harford County |
|
owned |
|
|
|
|
|
51 |
|
720,000 |
|
||
Total Suburban Baltimore |
|
|
|
|
|
|
|
|
|
196 |
|
2,327,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
110 Thomas Johnson Drive |
|
Frederick |
|
owned |
|
|
|
|
|
3 |
|
85,000 |
|
||
Rockville Corporate Center |
|
Rockville |
|
owned |
|
|
|
|
|
10 |
|
220,000 |
|
||
Total Suburban Maryland |
|
|
|
|
|
|
|
|
|
13 |
|
305,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Unisys Campus |
|
Blue Bell |
|
owned |
|
|
|
|
|
45 |
|
600,000 |
|
||
Total Greater Philadelphia |
|
|
|
|
|
|
|
|
|
45 |
|
600,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Princeton Technology Center |
|
Exit 8A - Cranbury |
|
owned |
|
|
|
|
|
19 |
|
250,000 |
|
||
Total Central New Jersey |
|
|
|
|
|
|
|
|
|
19 |
|
250,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Dahlgren Technology Center |
|
King George County |
|
owned |
|
|
|
|
|
32 |
|
65,000 |
|
||
Expedition Park |
|
St. Marys County |
|
owned |
|
|
|
|
|
6 |
|
60,000 |
|
||
Total St. Marys & King George Counties |
|
|
|
|
|
|
|
|
|
38 |
|
125,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
InterQuest |
|
I-25 North Corridor |
|
owned |
|
|
|
|
|
111 |
|
1,626,492 |
|
||
9965 Federal Drive |
|
I-25 North Corridor |
|
owned |
|
|
|
|
|
4 |
|
30,000 |
|
||
Patriot Park |
|
Colorado Springs East |
|
owned |
|
|
|
|
|
71 |
|
770,000 |
|
||
Aerotech Commerce |
|
Colorado Springs East |
|
owned |
|
|
|
|
|
6 |
|
90,000 |
|
||
Total Colorado Springs |
|
|
|
|
|
|
|
|
|
192 |
|
2,516,492 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
San Antonio |
|
San Antonio |
|
owned |
|
|
|
|
|
27 |
|
350,000 |
|
||
San Antonio |
|
San Antonio |
|
owned |
|
|
|
|
|
31 |
|
375,000 |
|
||
Total San Antonio |
|
|
|
|
|
|
|
|
|
58 |
|
725,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Indian Head |
|
Charles County, MD |
|
JV- 75% ownership |
|
169 |
|
827,250 |
|
|
|
|
|
||
Fort Ritchie (1) |
|
Cascade, MD |
|
owned |
|
|
|
|
|
591 |
|
1,700,000 |
|
||
Total Other |
|
|
|
|
|
169 |
|
827,250 |
|
591 |
|
1,700,000 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
TOTAL |
|
|
|
|
|
225 |
|
2,475,450 |
|
1,479 |
|
12,410,898 |
|
||
This land inventory schedule excludes all properties listed as under construction, redevelopment or under development as detailed on pages 40 and 41.
(1) |
The Fort Ritchie acquisition includes 301,134 square feet of existing office space targeted for future redevelopment (of which 3,014 square feet are leased as of December 31, 2007) and 110 existing usable residential units. |
43
Joint Venture Summary as of December 31, 2007
(Dollars in thousands)
|
|
|
Consolidated Properties |
|
|
|
|
|
|
|
|
||||||||||
|
|
Joint Venture |
|
|
|
|
|
|
|
|
|
|
|
|
|
Option to |
|
||||
|
|
Interest |
|
|
|
|
|
|
|
|
|
Consolidated |
|
|
|
Acquire |
|
||||
|
|
Held By |
|
|
|
Square |
|
|
|
Total |
|
Debt as |
|
Recourse |
|
Partners |
|
||||
Property and Location |
|
COPT |
|
Status |
|
Feet |
|
Acreage |
|
Assets |
|
of 12/31/07 |
|
to COPT |
|
Interest |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
4230 Forbes
Boulevard |
|
50.0% |
|
Operating |
|
55,866 |
|
5 acres |
|
$ |
4,403 |
|
$ |
|
|
N/A |
|
Yes |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
7468 Candlewood
Road (1) |
|
92.5% |
|
Redevelopment |
|
356,000 |
|
19 acres |
|
27,812 |
|
|
|
N/A |
|
Yes |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
2900 Towerview
Road |
|
92.5% |
|
Operating/ Redevelopment |
|
137,037 |
|
8 acres |
|
17,965 |
|
|
|
N/A |
|
Yes |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
13849 Park Center
Road |
|
92.5% |
|
Redevelopment |
|
57,000 |
|
4 acres |
|
6,696 |
|
|
|
N/A |
|
Yes |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Indian Head
Technology Center Business Park |
|
75.0% |
|
Land Inventory |
|
827,250 |
|
169 acres |
|
4,559 |
|
|
|
N/A |
|
No |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
7740-7744
Milestone Parkway (2) |
|
50.0% |
|
Construction/ Land Inventory |
|
455,400 |
|
23 acres |
|
30,147 |
|
|
|
N/A |
|
No |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
TOTAL |
|
|
|
|
|
|
|
|
|
$ |
91,583 |
|
$ |
|
|
|
|
|
|
||
|
|
|
Unconsolidated Properties |
|
|
||||||||||||||
Property and Location |
|
Joint Venture |
|
Status |
|
Square |
|
COPT |
|
Off-Balance |
|
Recourse |
|
Option to |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Greater
Harrisburg Portfolio |
|
20.0% |
|
Operating |
|
671,759 |
|
$ |
(4,246 |
) |
$ |
66,600 |
|
No |
|
No |
|
||
(1) The 7468 Candlewood Road project is currently being redeveloped into approximately 356,000 rentable square feet of warehouse/flex space.
(2) Of this joint venture entity, one building totaling 151,800 square feet is currently under construction.
44
Reconciliations of Non GAAP Measurements
(Dollars in thousands)
|
|
2007 |
|
2006 |
|
|||||||||||
|
|
December 31 |
|
September 30 |
|
June 30 |
|
March 31 |
|
December 31 |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Assets or Denominator for Debt to Total Assets |
|
$ |
2,931,853 |
|
$ |
2,916,023 |
|
$ |
2,854,729 |
|
$ |
2,814,723 |
|
$ |
2,419,601 |
|
Accumulated depreciation |
|
288,387 |
|
270,580 |
|
255,248 |
|
236,650 |
|
219,574 |
|
|||||
Intangible assets on real estate acquisitions, net |
|
108,661 |
|
116,368 |
|
123,861 |
|
131,934 |
|
87,325 |
|
|||||
Assets other than assets included in investment in real estate |
|
(328,381 |
) |
(331,078 |
) |
(330,156 |
) |
(340,546 |
) |
(308,291 |
) |
|||||
Denominator for Debt to Undepreciated Book Value of Real Estate Assets |
|
$ |
3,000,520 |
|
$ |
2,971,893 |
|
$ |
2,903,682 |
|
$ |
2,842,761 |
|
$ |
2,418,209 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
GAAP Revenues from Real Estate Operations |
|
$ |
94,794 |
|
$ |
94,376 |
|
$ |
90,642 |
|
$ |
89,137 |
|
$ |
77,491 |
|
Revenues from discontinued operations |
|
322 |
|
462 |
|
528 |
|
1,258 |
|
3,986 |
|
|||||
Combined Real Estate Revenues |
|
$ |
95,116 |
|
$ |
94,838 |
|
$ |
91,170 |
|
$ |
90,395 |
|
$ |
81,477 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
GAAP Revenues from Real Estate Operations |
|
$ |
94,794 |
|
$ |
94,376 |
|
$ |
90,642 |
|
$ |
89,137 |
|
$ |
77,491 |
|
Property operating expenses |
|
(31,133 |
) |
(31,614 |
) |
(28,973 |
) |
(31,562 |
) |
(25,447 |
) |
|||||
Revenues from discontinued operations |
|
322 |
|
462 |
|
528 |
|
1,258 |
|
3,986 |
|
|||||
Property operating expenses from discontinued operations |
|
(244 |
) |
(631 |
) |
(321 |
) |
(462 |
) |
(394 |
) |
|||||
Combined Net Operating Income |
|
$ |
63,739 |
|
$ |
62,593 |
|
$ |
61,876 |
|
$ |
58,371 |
|
$ |
55,636 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
GAAP Net Operating Income for Same Office Properties |
|
$ |
52,504 |
|
$ |
52,549 |
|
$ |
52,895 |
|
$ |
51,733 |
|
$ |
50,348 |
|
Less: Straight-line rent adjustments |
|
(1,596 |
) |
(2,187 |
) |
(1,878 |
) |
(2,119 |
) |
(2,493 |
) |
|||||
Less: Amortization of deferred market rental revenue |
|
(417 |
) |
(542 |
) |
(415 |
) |
(477 |
) |
(490 |
) |
|||||
Cash Net Operating Income for Same Office Properties |
|
$ |
50,491 |
|
$ |
49,820 |
|
$ |
50,602 |
|
$ |
49,137 |
|
$ |
47,365 |
|
Less: Lease termination fees, gross |
|
(200 |
) |
(610 |
) |
(921 |
) |
(1,160 |
) |
(798 |
) |
|||||
Cash Net Operating Income for Same Office Properties, adjusted for lease termination fees |
|
$ |
50,291 |
|
$ |
49,210 |
|
$ |
49,681 |
|
$ |
47,977 |
|
$ |
46,567 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Depreciation and amortization |
|
$ |
26,312 |
|
$ |
26,431 |
|
$ |
27,243 |
|
$ |
26,345 |
|
$ |
19,916 |
|
Depreciation of furniture, fixtures and equipment |
|
(358 |
) |
(339 |
) |
(342 |
) |
(326 |
) |
(313 |
) |
|||||
Depreciation and amortization from discontinued operations |
|
653 |
|
174 |
|
186 |
|
281 |
|
165 |
|
|||||
Combined real estate related depreciation and other amortization |
|
$ |
26,607 |
|
$ |
26,266 |
|
$ |
27,087 |
|
$ |
26,300 |
|
$ |
19,768 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total tenant improvements and incentives on operating properties |
|
$ |
2,692 |
|
$ |
4,605 |
|
$ |
7,673 |
|
$ |
6,517 |
|
$ |
9,907 |
|
Total capital improvements on operating properties |
|
4,748 |
|
2,514 |
|
2,387 |
|
1,581 |
|
3,844 |
|
|||||
Total leasing costs for operating properties |
|
1,850 |
|
719 |
|
2,014 |
|
2,979 |
|
2,827 |
|
|||||
Less: Nonrecurring tenant improvements and incentives on operating properties |
|
(811 |
) |
(1,887 |
) |
(3,636 |
) |
(5,858 |
) |
(7,489 |
) |
|||||
Less: Nonrecurring capital improvements on operating properties |
|
(1,442 |
) |
(1,198 |
) |
(1,446 |
) |
(408 |
) |
(1,364 |
) |
|||||
Less: Nonrecurring leasing costs for operating properties |
|
(575 |
) |
(89 |
) |
(494 |
) |
(1,698 |
) |
(2,171 |
) |
|||||
Add: Recurring improvements on operating properties held through joint ventures |
|
42 |
|
|
|
28 |
|
28 |
|
833 |
|
|||||
Recurring capital expenditures |
|
$ |
6,504 |
|
$ |
4,664 |
|
$ |
6,526 |
|
$ |
3,141 |
|
$ |
6,387 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest expense from continuing operations |
|
$ |
20,771 |
|
$ |
21,000 |
|
$ |
20,460 |
|
$ |
19,801 |
|
$ |
18,625 |
|
Interest expense from discontinued operations |
|
28 |
|
145 |
|
614 |
|
463 |
|
260 |
|
|||||
Combined interest expense or denominator for interest coverage |
|
$ |
20,799 |
|
$ |
21,145 |
|
$ |
21,074 |
|
$ |
20,264 |
|
$ |
18,885 |
|
Scheduled principal amortization |
|
4,611 |
|
3,936 |
|
3,696 |
|
7,685 |
|
3,834 |
|
|||||
Denominator for Debt Service Coverage |
|
$ |
25,410 |
|
$ |
25,081 |
|
$ |
24,770 |
|
$ |
27,949 |
|
$ |
22,719 |
|
Scheduled principal amortization |
|
(4,611 |
) |
(3,936 |
) |
(3,696 |
) |
(7,685 |
) |
(3,834 |
) |
|||||
Preferred dividends - redeemable non-convertible |
|
4,025 |
|
4,025 |
|
4,025 |
|
3,993 |
|
3,790 |
|
|||||
Preferred distributions |
|
165 |
|
165 |
|
165 |
|
165 |
|
165 |
|
|||||
Denominator for Fixed Charge Coverage |
|
$ |
24,989 |
|
$ |
25,335 |
|
$ |
25,264 |
|
$ |
24,422 |
|
$ |
22,840 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common dividends for Earnings Payout Ratio |
|
$ |
16,097 |
|
$ |
16,092 |
|
$ |
14,613 |
|
$ |
14,529 |
|
$ |
13,292 |
|
Common distributions |
|
2,777 |
|
2,777 |
|
2,574 |
|
2,554 |
|
2,622 |
|
|||||
Dividends and distributions for FFO and AFFO Payout Ratio |
|
$ |
18,874 |
|
$ |
18,869 |
|
$ |
17,187 |
|
$ |
17,083 |
|
$ |
15,914 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Income tax expense from continuing operations |
|
$ |
89 |
|
$ |
197 |
|
$ |
178 |
|
$ |
105 |
|
$ |
264 |
|
Income tax expense from gain on sales of discontinued operations |
|
44 |
|
|
|
|
|
|
|
|
|
|||||
Income tax expense from gain on other sales of real estate |
|
1,068 |
|
|
|
3 |
|
|
|
|
|
|||||
Combined income tax expense |
|
$ |
1,201 |
|
$ |
197 |
|
$ |
181 |
|
$ |
105 |
|
$ |
264 |
|
45