Annual report pursuant to Section 13 and 15(d)

Fair Value Measurements (Tables)

v2.4.1.9
Fair Value Measurements (Tables)
12 Months Ended
Dec. 31, 2014
Fair Value Disclosures [Abstract]  
Schedule of fair value assets and liabilities measured on recurring basis
The tables below set forth financial assets and liabilities of COPT and its subsidiaries that are accounted for at fair value on a recurring basis as of December 31, 2014 and 2013 and the hierarchy level of inputs used in measuring their respective fair values under applicable accounting standards (in thousands):
Description
 
Quoted Prices in
Active Markets for
Identical Assets(Level 1)
 
Significant Other
Observable Inputs(Level 2)
 
Significant
Unobservable Inputs(Level 3)
 
Total
December 31, 2014:
 
 
 
 
 
 
 
 
Assets:
 
 

 
 

 
 

 
 

Marketable securities in deferred compensation plan (1)
 
 

 
 

 
 

 
 

Mutual funds
 
$
5,756

 
$

 
$

 
$
5,756

Other
 
126

 

 

 
126

Interest rate derivatives (2)
 

 
274

 

 
274

Warrants to purchase common stock in KEYW (2)
 

 
164

 

 
164

Total Assets
 
$
5,882

 
$
438

 
$

 
$
6,320

Liabilities:
 
 

 
 

 
 

 
 

Deferred compensation plan liability (3)
 
$

 
$
5,882

 
$

 
$
5,882

Interest rate derivatives
 

 
1,855

 

 
1,855

Total Liabilities
 
$

 
$
7,737

 
$

 
$
7,737

Redeemable noncontrolling interest
 
$

 
$

 
$
18,417

 
$
18,417

 
 
 
 
 
 
 
 
 
December 31, 2013:
 
 
 
 
 
 
 
 
Assets:
 
 

 
 

 
 

 
 

Marketable securities in deferred compensation plan (1)
 
 

 
 

 
 

 
 

Mutual funds
 
$
7,090

 
$

 
$

 
$
7,090

Common stocks
 
176

 

 

 
176

Other
 
201

 

 

 
201

Common stock (1)
 
298

 

 

 
298

Interest rate derivatives (2)
 

 
6,594

 
 
 
6,594

Warrants to purchase common stock in KEYW (2)
 

 
301

 

 
301

Total Assets
 
$
7,765

 
$
6,895

 
$

 
$
14,660

Liabilities:
 
 

 
 

 
 

 
 

Deferred compensation plan liability (3)
 
$

 
$
7,467

 
$

 
$
7,467

Interest rate derivatives
 

 
3,309

 

 
3,309

Total Liabilities
 
$

 
$
10,776

 
$

 
$
10,776

Redeemable noncontrolling interest
 
$

 
$

 
$
17,758

 
$
17,758


(1) Included in the line entitled “restricted cash and marketable securities” on COPTs consolidated balance sheet.
(2) Included in the line entitled “prepaid expenses and other assets” on COPTs consolidated balance sheet.
(3) Included in the line entitled “other liabilities” on COPTs consolidated balance sheet.
The tables below set forth financial assets and liabilities of COPLP and its subsidiaries that are accounted for at fair value on a recurring basis as of December 31, 2014 and 2013 and the hierarchy level of inputs used in measuring their respective fair values under applicable accounting standards (in thousands):
Description
 
Quoted Prices in
Active Markets for
Identical Assets(Level 1)
 
Significant Other
Observable Inputs(Level 2)
 
Significant
Unobservable Inputs(Level 3)
 
Total
December 31, 2014:
 
 
 
 
 
 
 
 
Assets:
 
 

 
 

 
 

 
 

Interest rate derivatives (1)
 
$

 
$
274

 
$

 
$
274

Warrants to purchase common stock in KEYW (1)
 

 
164

 

 
164

Total Assets
 
$

 
$
438

 
$

 
$
438

Liabilities:
 
 

 
 

 
 

 
 

Interest rate derivatives
 
$

 
$
1,855

 
$

 
$
1,855

Redeemable noncontrolling interest
 
$

 
$

 
$
18,417

 
$
18,417

 
 
 
 
 
 
 
 
 
December 31, 2013:
 
 
 
 
 
 
 
 
Assets:
 
 

 
 

 
 

 
 

Common stock (2)
 
$
298

 
$

 
$

 
$
298

Interest rate derivatives (1)
 

 
6,594

 

 
6,594

Warrants to purchase common stock in KEYW (1)
 

 
301

 

 
301

Total Assets
 
$
298

 
$
6,895

 
$

 
$
7,193

Liabilities:
 
 

 
 

 
 

 
 

Interest rate derivatives
 
$

 
$
3,309

 
$

 
$
3,309

Redeemable noncontrolling interest
 
$

 
$

 
$
17,758

 
$
17,758


(1) Included in the line entitled “prepaid expenses and other assets” on COPLPs consolidated balance sheet.
(2) Included in the line entitled “restricted cash and marketable securities” on COPLPs consolidated balance sheet.

Schedule of fair value hierarchy of impaired properties and other assets associated with such properties
The table below sets forth the fair value hierarchy of the valuation technique we used to determine the fair values of the properties (dollars in thousands):
 
 
 
 
 
 
 
Fair Value of Properties Held as of December 31, 2013
 
 
 
 
Quoted Prices in
 
 
 
Significant
 
 
 
Impairment
 
 
Active Markets for
 
Significant Other
 
Unobservable
 
 
 
Losses
 
 
Identical Assets
 
Observable Inputs
 
Inputs
 
 
 
Recognized in
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
2013 (1)
Assets (2):
 
 

 
 

 
 

 
 

 
 
Properties, net
 
$

 
$

 
$
4,459

 
$
4,459

 
$
31,068


(1) Represents aggregate impairment losses on non recurring fair value measurements resulting in such losses, excluding exit costs incurred of $979,000.
(2) Reflects balance sheet classifications of assets at time of fair value measurement, excluding the effect of held for sale classifications.

Schedule of quantitative information about significant unobservable inputs used for Level 3 fair value measurements
The table below sets forth quantitative information about significant unobservable inputs used for the Level 3 fair value measurements reported above as of December 31, 2013 (dollars in thousands):
Valuation Technique
 
Fair Value on 
Measurement Date
 
 Unobservable Input
 
Range (Weighted Average)
Discounted cash flow
 
$
4,459

 
Discount rate
 
10.0% (1)
 
 
 
 
Terminal capitalization rate
 
9.5% (1)
 
 
 
 
Market rent growth rate
 
3.0% (1)
 
 
 
 
Expense growth rate
 
3.0% (1)

(1) Only one value applied for this unobservable input.