Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.10.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
Cash flows from operating activities      
Revenues from real estate operations received $ 528,066 $ 510,551 $ 514,098
Construction contract and other service revenues received 33,579 102,531 76,824
Property operating expenses paid (197,647) (186,577) (196,352)
Construction contract and other service expenses paid (79,386) (82,707) (46,318)
General, administrative, leasing, business development and land carry costs paid (27,006) (32,673) (34,877)
Interest expense paid (72,460) (73,079) (77,982)
Lease incentives paid (7,679) (9,725) (2,760)
Income taxes paid (21) (31) (5)
Other 3,036 1,831 1,642
Net cash provided by operating activities 180,482 230,121 234,270
Cash flows from investing activities      
Construction, development and redevelopment (159,994) (200,504) (161,519)
Tenant improvements on operating properties (35,098) (33,409) (34,275)
Other capital improvements on operating properties (24,223) (22,882) (26,345)
Proceeds from dispositions of properties 0 180,839 262,866
Proceeds from partial sales of properties, net of related debt 0 0 43,089
Leasing costs paid (10,926) (14,581) (10,296)
Other (2,677) 1,174 (2,346)
Net cash (used in) provided by investing activities (232,918) (89,363) 71,174
Proceeds from debt      
Revolving Credit Facility 381,000 352,000 495,500
Other debt proceeds 13,406 0 255,000
Repayments of debt      
Revolving Credit Facility (294,000) (226,000) (539,000)
Scheduled principal amortization (4,240) (4,062) (5,595)
Other debt repayments (100,000) (200,000) (322,907)
Deferred financing costs paid (8,292) (500) (825)
Payments on capital lease obligations (15,379) 0 0
Net proceeds from issuance of common shares 202,065 69,534 109,069
Redemption of preferred shares 0 (199,083) 0
Common share/unit dividends/distributions paid (114,286) (109,174) (104,135)
Preferred share/unit dividends/distributions paid 0 (9,305) (14,210)
Distributions paid to noncontrolling interests in COPLP (3,699) (4,426) (4,619)
Distributions paid to redeemable noncontrolling interests (1,382) (8,215) (15,206)
Redemption of vested equity awards (1,702) (1,973) (2,466)
Other (3,936) 2,658 (5,694)
Net cash provided by (used in) financing activities 49,555 (338,546) (155,088)
Net (decrease) increase in cash and cash equivalents and restricted cash (2,881) (197,788) 150,356
Cash and cash equivalents and restricted cash      
Beginning of year 14,831 212,619 62,263
End of year 11,950 14,831 212,619
Reconciliation of net income to net cash provided by operating activities:      
Net income 78,643 74,941 33,768
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and other amortization 139,063 136,501 134,870
Impairment losses 2,367 15,116 101,341
Amortization of deferred financing costs and net debt discounts 3,393 4,307 5,885
Increase in deferred rent receivable (4,621) (2,651) (145)
Gain on sales of real estate (2,340) (9,890) (59,679)
Share-based compensation 6,376 5,615 6,843
Other (2,733) (4,216) (2,605)
Changes in operating assets and liabilities:      
Decrease (increase) in accounts receivable 5,673 2,783 (5,262)
(Increase) decrease in prepaid expenses and other assets, net (987) 7,219 (16,559)
(Decrease) increase in accounts payable, accrued expenses and other liabilities (49,179) 4,309 43,163
Increase (decrease) in rents received in advance and security deposits 4,827 (3,913) (7,350)
Net cash provided by operating activities 180,482 230,121 234,270
Reconciliation of cash and cash equivalents and restricted cash:      
Cash and cash equivalents and restricted cash 14,831 212,619 62,263
Supplemental schedule of non-cash investing and financing activities:      
Increase (decrease) in accrued capital improvements, leasing and other investing activity costs 6,570 (10,654) 5,950
Increase in property in connection with capital lease obligation 0 16,127 0
Increase in property and redeemable noncontrolling interests in connection with property contributed into a joint venture 0 0 22,600
Non-cash changes from recognition of property sale previously accounted for as financing arrangement:      
Decrease in assets held for sale, net (42,226) 0 0
Decrease in deferred property sale 43,377 0 0
Non-cash changes from partial sale of properties, net of debt:      
Decrease in properties, net 0 0 (114,597)
Increase in investment in unconsolidated real estate joint venture 0 0 44,373
Decrease in debt 0 0 59,534
Other net decreases in assets and liabilities 0 0 4,211
Increase in fair value of derivatives applied to accumulated other comprehensive income and noncontrolling interests 2,915 3,845 1,315
Decrease in redeemable noncontrolling interests and increase in other liabilities in connection with distribution payable to redeemable noncontrolling interests 0 0 6,675
Equity in other comprehensive income (loss) of an equity method investee 210 39 (184)
Reclassification of preferred shares to be redeemed to liability 0 0 26,583
Decrease in noncontrolling interests and increase in shareholders’ equity in connection with the conversion of common units into common shares 27,413 4,636 1,167
Adjustments to noncontrolling interests resulting from changes in COPLP ownership 2,466 1,486 2,158
Increase (decrease) in redeemable noncontrolling interests and decrease (increase) in equity to carry redeemable noncontrolling interests at fair value 1,837 (626) 621
Corporate Office Properties, L.P. [Member]      
Cash flows from operating activities      
Revenues from real estate operations received 528,066 510,551 514,098
Construction contract and other service revenues received 33,579 102,531 76,824
Property operating expenses paid (197,647) (186,577) (196,352)
Construction contract and other service expenses paid (79,386) (82,707) (46,318)
General, administrative, leasing, business development and land carry costs paid (27,006) (32,673) (34,877)
Interest expense paid (72,460) (73,079) (77,982)
Lease incentives paid (7,679) (9,725) (2,760)
Income taxes paid (21) (31) (5)
Other 3,036 1,831 1,642
Net cash provided by operating activities 180,482 230,121 234,270
Cash flows from investing activities      
Construction, development and redevelopment (159,994) (200,504) (161,519)
Tenant improvements on operating properties (35,098) (33,409) (34,275)
Other capital improvements on operating properties (24,223) (22,882) (26,345)
Proceeds from dispositions of properties 0 180,839 262,866
Proceeds from partial sales of properties, net of related debt 0 0 43,089
Leasing costs paid (10,926) (14,581) (10,296)
Other (2,677) 1,174 (2,346)
Net cash (used in) provided by investing activities (232,918) (89,363) 71,174
Proceeds from debt      
Revolving Credit Facility 381,000 352,000 495,500
Other debt proceeds 13,406 0 255,000
Repayments of debt      
Revolving Credit Facility (294,000) (226,000) (539,000)
Scheduled principal amortization (4,240) (4,062) (5,595)
Other debt repayments (100,000) (200,000) (322,907)
Deferred financing costs paid (8,292) (500) (825)
Payments on capital lease obligations (15,379) 0 0
Net proceeds from issuance of common shares 202,065 69,534 109,069
Redemption of preferred shares 0 (199,083) 0
Common share/unit dividends/distributions paid (117,325) (112,940) (108,094)
Preferred share/unit dividends/distributions paid (660) (9,965) (14,870)
Distributions paid to redeemable noncontrolling interests (1,382) (8,215) (15,206)
Redemption of vested equity awards (1,702) (1,973) (2,466)
Other (3,936) 2,658 (5,694)
Net cash provided by (used in) financing activities 49,555 (338,546) (155,088)
Net (decrease) increase in cash and cash equivalents and restricted cash (2,881) (197,788) 150,356
Cash and cash equivalents and restricted cash      
Beginning of year 14,831 212,619 62,263
End of year 11,950 14,831 212,619
Reconciliation of net income to net cash provided by operating activities:      
Net income 78,643 74,941 33,768
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and other amortization 139,063 136,501 134,870
Impairment losses 2,367 15,116 101,341
Amortization of deferred financing costs and net debt discounts 3,393 4,307 5,885
Increase in deferred rent receivable (4,621) (2,651) (145)
Gain on sales of real estate (2,340) (9,890) (59,679)
Share-based compensation 6,376 5,615 6,843
Other (2,733) (4,216) (2,605)
Changes in operating assets and liabilities:      
Decrease (increase) in accounts receivable 5,673 2,783 (5,262)
(Increase) decrease in prepaid expenses and other assets, net (1,735) 6,398 (16,885)
(Decrease) increase in accounts payable, accrued expenses and other liabilities (48,431) 5,130 43,489
Increase (decrease) in rents received in advance and security deposits 4,827 (3,913) (7,350)
Net cash provided by operating activities 180,482 230,121 234,270
Reconciliation of cash and cash equivalents and restricted cash:      
Cash and cash equivalents and restricted cash 14,831 212,619 62,263
Supplemental schedule of non-cash investing and financing activities:      
Increase (decrease) in accrued capital improvements, leasing and other investing activity costs 6,570 (10,654) 5,950
Increase in property in connection with capital lease obligation 0 16,127 0
Increase in property and redeemable noncontrolling interests in connection with property contributed into a joint venture 0 0 22,600
Non-cash changes from recognition of property sale previously accounted for as financing arrangement:      
Decrease in assets held for sale, net (42,226) 0 0
Decrease in deferred property sale 43,377 0 0
Non-cash changes from partial sale of properties, net of debt:      
Decrease in properties, net 0 0 (114,597)
Increase in investment in unconsolidated real estate joint venture 0 0 44,373
Decrease in debt 0 0 59,534
Other net decreases in assets and liabilities 0 0 4,211
Increase in fair value of derivatives applied to accumulated other comprehensive income and noncontrolling interests 2,915 3,845 1,315
Decrease in redeemable noncontrolling interests and increase in other liabilities in connection with distribution payable to redeemable noncontrolling interests 0 0 6,675
Equity in other comprehensive income (loss) of an equity method investee 210 39 (184)
Reclassification of preferred shares to be redeemed to liability 0 0 26,583
Increase (decrease) in redeemable noncontrolling interests and decrease (increase) in equity to carry redeemable noncontrolling interests at fair value $ 1,837 $ (626) $ 621