Quarterly report pursuant to Section 13 or 15(d)

Consolidated Statements of Cash Flows

v3.7.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
Cash flows from operating activities    
Revenues from real estate operations received $ 255,302 $ 261,980
Construction contract and other service revenues received 39,917 34,992
Property operating expenses paid (80,385) (87,005)
Construction contract and other service expenses paid (31,996) (24,303)
General, administrative, leasing, business development and land carry costs paid (20,315) (19,212)
Interest expense paid (36,351) (41,179)
Lease incentives (9,375) (996)
Other 940 123
Net cash provided by operating activities 117,737 124,400
Cash flows from investing activities    
Construction, development and redevelopment (85,926) (75,339)
Tenant improvements on operating properties (13,711) (14,862)
Other capital improvements on operating properties (11,780) (16,007)
Proceeds from dispositions of properties 54,798 5,448
Leasing costs paid (3,904) (3,434)
Other 1,573 (13)
Net cash used in investing activities (58,950) (104,207)
Proceeds from debt    
Revolving Credit Facility 213,000 133,500
Other debt proceeds 0 45,000
Repayments of debt    
Revolving Credit Facility (19,000) (119,000)
Scheduled principal amortization (1,913) (3,532)
Other debt repayments (200,100) (40,498)
Net proceeds from issuance of common shares/units 19,835 (5)
Redemption of preferred shares/units (199,083) 0
Common share/unit dividends/distributions paid (54,439) (52,021)
Preferred share/unit dividends/distributions paid (9,305) (7,105)
Distributions paid to noncontrolling interests in COPLP (2,274) (2,362)
Distributions paid to redeemable noncontrolling interests (781) (14,306)
Redemption of vested equity awards (1,813) (1,492)
Other (2,171) (5,365)
Net cash used in financing activities (258,044) (67,186)
Net decrease in cash and cash equivalents (199,257) (46,993)
Cash and cash equivalents    
Beginning of period 209,863 60,310
End of period 10,606 13,317
Reconciliation of net income (loss) to net cash provided by operating activities:    
Net income (loss) 42,295 (40,220)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:    
Depreciation and amortization 66,948 68,901
Impairment losses 1,618 72,138
(Gain) loss on interest rate derivatives (9) 1,870
Amortization of deferred financing costs and net debt discounts 2,613 2,998
Decrease (increase) in deferred rent receivable 669 (1,276)
Gain on sales of real estate (4,250) 0
Share-based compensation 2,820 3,839
Other (2,548) (1,725)
Operating changes in assets and liabilities:    
Increase in accounts receivable (8,304) (3,320)
Decrease (increase) in restricted cash and marketable securities 1,826 (389)
Decrease in prepaid expenses and other assets, net 20,800 11,303
(Decrease) increase in accounts payable, accrued expenses and other liabilities (2,387) 15,394
Decrease in rents received in advance and security deposits (4,354) (5,113)
Net cash provided by operating activities 117,737 124,400
Supplemental schedule of non-cash investing and financing activities:    
(Decrease) increase in accrued capital improvements, leasing and other investing activity costs (4,927) 1,604
Increase in property in connection with capital lease obligation 16,127 0
Increase in property and redeemable noncontrolling interests in connection with property contributed in a joint venture 0 22,600
Decrease in redeemable noncontrolling interests and increase in other liabilities in connection with distribution payable to redeemable noncontrolling interest 0 6,675
Increase (decrease) in fair value of derivatives applied to accumulated other comprehensive loss and noncontrolling interests 513 (15,268)
Equity in other comprehensive income (loss) of an equity method investee 39 (184)
Dividends/distributions payable 28,462 30,219
Decrease in noncontrolling interests and increase in shareholders’ equity in connection with the conversion of common units into common shares 2,564 371
Adjustments to noncontrolling interests resulting from changes in COPLP ownership 514 5
Increase in redeemable noncontrolling interest and decrease in equity to carry redeemable noncontrolling interest at fair value 401 349
Corporate Office Properties, L.P.    
Cash flows from operating activities    
Revenues from real estate operations received 255,302 261,980
Construction contract and other service revenues received 39,917 34,992
Property operating expenses paid (80,385) (87,005)
Construction contract and other service expenses paid (31,996) (24,303)
General, administrative, leasing, business development and land carry costs paid (20,315) (19,212)
Interest expense paid (36,351) (41,179)
Lease incentives (9,375) (996)
Other 940 123
Net cash provided by operating activities 117,737 124,400
Cash flows from investing activities    
Construction, development and redevelopment (85,926) (75,339)
Tenant improvements on operating properties (13,711) (14,862)
Other capital improvements on operating properties (11,780) (16,007)
Proceeds from dispositions of properties 54,798 5,448
Leasing costs paid (3,904) (3,434)
Other 1,573 (13)
Net cash used in investing activities (58,950) (104,207)
Proceeds from debt    
Revolving Credit Facility 213,000 133,500
Other debt proceeds 0 45,000
Repayments of debt    
Revolving Credit Facility (19,000) (119,000)
Scheduled principal amortization (1,913) (3,532)
Other debt repayments (200,100) (40,498)
Net proceeds from issuance of common shares/units 19,835 (5)
Redemption of preferred shares/units (199,083) 0
Common share/unit dividends/distributions paid (56,383) (54,053)
Preferred share/unit dividends/distributions paid (9,635) (7,435)
Distributions paid to redeemable noncontrolling interests (781) (14,306)
Redemption of vested equity awards (1,813) (1,492)
Other (2,171) (5,365)
Net cash used in financing activities (258,044) (67,186)
Net decrease in cash and cash equivalents (199,257) (46,993)
Cash and cash equivalents    
Beginning of period 209,863 60,310
End of period 10,606 13,317
Reconciliation of net income (loss) to net cash provided by operating activities:    
Net income (loss) 42,295 (40,220)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:    
Depreciation and amortization 66,948 68,901
Impairment losses 1,618 72,138
(Gain) loss on interest rate derivatives (9) 1,870
Amortization of deferred financing costs and net debt discounts 2,613 2,998
Decrease (increase) in deferred rent receivable 669 (1,276)
Gain on sales of real estate (4,250) 0
Share-based compensation 2,820 3,839
Other (2,548) (1,725)
Operating changes in assets and liabilities:    
Increase in accounts receivable (8,304) (3,320)
Decrease (increase) in restricted cash and marketable securities 534 (1,106)
Decrease in prepaid expenses and other assets, net 20,800 11,303
(Decrease) increase in accounts payable, accrued expenses and other liabilities (1,095) 16,111
Decrease in rents received in advance and security deposits (4,354) (5,113)
Net cash provided by operating activities 117,737 124,400
Supplemental schedule of non-cash investing and financing activities:    
(Decrease) increase in accrued capital improvements, leasing and other investing activity costs (4,927) 1,604
Increase in property in connection with capital lease obligation 16,127 0
Increase in property and redeemable noncontrolling interests in connection with property contributed in a joint venture 0 22,600
Decrease in redeemable noncontrolling interests and increase in other liabilities in connection with distribution payable to redeemable noncontrolling interest 0 6,675
Increase (decrease) in fair value of derivatives applied to accumulated other comprehensive loss and noncontrolling interests 513 (15,268)
Equity in other comprehensive income (loss) of an equity method investee 39 (184)
Dividends/distributions payable 28,462 30,219
Increase in redeemable noncontrolling interest and decrease in equity to carry redeemable noncontrolling interest at fair value $ 401 $ 349