Franklin Street Properties (FSP) 10-K 13 Feb 18 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2017	Feb. 08, 2018	Jun. 30, 2017
Document and Entity Information
Entity Registrant Name	FRANKLIN STREET PROPERTIES CORP /MA/
Entity Central Index Key	1,031,316
Document Type	10-K
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 1,141,886,293
Entity Common Stock, Shares Outstanding		107,231,155
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	FY

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Real estate assets:
Land	$ 191,578	$ 196,178
Buildings and improvements	1,811,631	1,822,183
Fixtures and equipment	5,614	4,136
Total real estate assets, gross	2,008,823	2,022,497
Less accumulated depreciation	376,131	337,228
Real estate assets, net	1,632,692	1,685,269
Acquired real estate leases, less accumulated amortization of $109,771 and $112,441, respectively	86,520	125,491
Investment in non-consolidated REITs	70,164	75,165
Asset held for sale		3,871
Cash and cash equivalents	9,773	9,335
Restricted cash	46	31
Tenant rent receivables, less allowance for doubtful accounts of $250 and $100, respectively	3,123	3,113
Straight-line rent receivable, less allowance for doubtful accounts of $50 and $50, respectively	53,194	50,930
Prepaid expenses and other assets	8,387	5,231
Other assets: derivative asset	13,925	12,907
Related party mortgage loan receivables	71,720	81,780
Office computers and furniture, net of accumulated depreciation of $1,420 and $1,277, respectively	289	313
Deferred leasing commissions, net of accumulated amortization of $22,276 and $18,301, respectively	40,679	34,697
Total assets	1,990,512	2,088,133
Liabilities:
Bank note payable	78,000	280,000
Term loans payable, less unamortized financing costs of $5,099 and $4,783, respectively	764,901	765,217
Series A and Series B Senior Notes, less unamortized financing costs of $1,308	198,692
Accounts payable and accrued expenses	61,039	57,259
Accrued compensation	3,641	3,784
Tenant security deposits	5,383	5,355
Other liabilities: derivative liabilities	1,759	5,551
Acquired unfavorable real estate leases, less accumulated amortization of $7,638 and $8,422, respectively	5,805	8,923
Total liabilities	1,119,220	1,126,089
Commitments and contingencies
Stockholders' Equity:
Preferred stock, $.0001 par value, 20,000,000 shares authorized, none issued or outstanding
Common stock, $.0001 par value, 180,000,000 shares authorized, 107,231,155 and 107,231,155 shares issued and outstanding, respectively	11	11
Additional paid-in capital	1,356,457	1,356,457
Accumulated other comprehensive income (loss)	12,166	5,478
Distributions in excess of accumulated earnings	(497,342)	(399,902)
Total stockholders' equity	871,292	962,044
Total liabilities and stockholders' equity	$ 1,990,512	$ 2,088,133

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Consolidated Balance Sheets
Acquired real estate leases, accumulated amortization	$ 109,771	$ 112,441
Tenant rent receivables, allowance for doubtful accounts	250	100
Straight-line rent receivable, allowance for doubtful accounts	50	50
Office computers and furniture, accumulated depreciation	1,420	1,277
Deferred leasing commissions, accumulated amortization	22,276	18,301
Term loan payable, unamortized financing costs	5,099	4,783
Series A & Series B Senior notes, unamortized financing costs	1,308	1,308
Acquired unfavorable real estate leases, accumulated amortization	$ 7,638	$ 8,422
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	180,000,000	180,000,000
Common stock, shares issued (in shares)	107,231,155	107,231,155
Common stock, shares outstanding (in shares)	107,231,155	107,231,155

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Revenues:
Rental	$ 267,265	$ 244,349	$ 237,856
Related party revenue:
Management fees and interest income from loans	5,285	5,465	5,930
Other	38	74	81
Total revenues	272,588	249,888	243,867
Expenses:
Real estate operating expenses	71,212	65,335	61,890
Real estate taxes and insurance	45,841	40,140	38,660
Depreciation and amortization	101,258	93,052	91,359
General and administrative	13,471	14,126	13,291
Interest	32,387	26,548	25,432
Total expenses	264,169	239,201	230,632
Income before equity in losses of non-consolidated REITs, other and gain (loss) on sale of properties and properties held for sale, less applicable income tax and taxes	8,419	10,687	13,235
Interest income			1
Equity in losses of non-consolidated REITs	(3,604)	(831)	(1,451)
Other	(1,878)	1,878
Gain (loss) on sale of properties and properties held for sale, less applicable income tax	(18,481)	(2,938)	23,662
Income (loss) before taxes on income	(15,544)	8,796	35,447
Taxes on income	400	418	433
Net income (loss)	$ (15,944)	$ 8,378	$ 35,014
Weighted average number of shares outstanding, basic and diluted (in shares)	107,231,000	102,843,000	100,187,000
Net income (loss) per share, basic and diluted (in dollars per share)	$ (0.15)	$ 0.08	$ 0.35

Consolidated Statements of Othe

Consolidated Statements of Other Comprehensive Income (Loss) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Consolidated Statements of Other Comprehensive Income (Loss)
Net income (loss)	$ (15,944)	$ 8,378	$ 35,014
Other comprehensive income (loss):
Unrealized gain (loss) on derivative financial instruments	6,688	12,589	(2,863)
Total other comprehensive income (loss)	6,688	12,589	(2,863)
Comprehensive income (loss)	$ (9,256)	$ 20,967	$ 32,151

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Common Stock	Additional Paid-In Capital	Accumulated other comprehensive income (loss)	Distributions in excess of accumulated earnings	Total
Balance at Dec. 31, 2014	$ 10	$ 1,273,556	$ (4,248)	$ (289,671)	$ 979,647
Balance (in shares) at Dec. 31, 2014	100,187
Increase (Decrease) in Stockholders' Equity
Comprehensive income			(2,863)	35,014	32,151
Shares issued for:
Distributions				(76,142)	(76,142)
Balance at Dec. 31, 2015	$ 10	1,273,556	(7,111)	(330,799)	935,656
Balance (in shares) at Dec. 31, 2015	100,187
Increase (Decrease) in Stockholders' Equity
Comprehensive income			12,589	8,378	20,967
Shares issued for:
Equity offering	$ 1	82,901			82,902
Equity offering (in shares)	7,044
Distributions				(77,481)	(77,481)
Balance at Dec. 31, 2016	$ 11	1,356,457	5,478	(399,902)	962,044
Balance (in shares) at Dec. 31, 2016	107,231
Increase (Decrease) in Stockholders' Equity
Comprehensive income			6,688	(15,944)	(9,256)
Shares issued for:
Distributions				(81,496)	(81,496)
Balance at Dec. 31, 2017	$ 11	$ 1,356,457	$ 12,166	$ (497,342)	$ 871,292
Balance (in shares) at Dec. 31, 2017	107,231

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities:
Net income (loss)	$ (15,944)	$ 8,378	$ 35,014
Adjustments to reconcile net income or loss to net cash provided by operating activities:
Depreciation and amortization expense	103,743	95,243	93,426
Amortization of above and below market leases	(1,031)	(496)	(158)
Hedge ineffectiveness	1,878	(1,878)
(Gain) loss on sale of properties and properties held for sale, less applicable income tax	18,481	2,938	(23,662)
Equity in losses of non-consolidated REITs	3,604	831	1,451
Increase in allowance for doubtful accounts	150	(30)	(195)
Changes in operating assets and liabilities:
Restricted cash	(15)	(8)	719
Tenant rent receivables	(160)	(185)	2,030
Straight-line rents	(1,767)	(1,977)	(2,448)
Lease acquisition costs	(2,052)	(1,095)	(1,487)
Prepaid expenses and other assets	(403)	(721)	422
Accounts payable, accrued expenses and other items	3,870	5,751	5,505
Accrued compensation	(143)	58	(32)
Tenant security deposits	28	526	581
Payment of deferred leasing commissions	(14,309)	(12,965)	(8,276)
Net cash provided by operating activities	95,930	94,370	102,890
Cash flows from investing activities:
Property acquisitions		(221,119)	(66,104)
Property improvements, fixtures and equipment	(54,187)	(37,407)	(21,750)
Office computers and furniture	(119)	(83)	(179)
Acquired real estate leases		(51,509)	(10,604)
Distributions in excess of earnings from non-consolidated REITs	1,396	1,023	107
Investment in related party mortgage loan receivable		(3,000)	(25,000)
Repayment of related party mortgage receivable	10,060	39,861
Proceeds received on sales of real estate assets	37,756	27,262	85,426
Net cash used in investing activities	(5,094)	(244,972)	(38,104)
Cash flows from financing activities:
Distributions to stockholders	(81,496)	(77,481)	(76,142)
Proceeds from equity offering		83,511
Offering costs		(609)
Borrowings under bank note payable	75,000	175,000	110,000
Repayments of bank note payable	(277,000)	(185,000)	(88,000)
Borrowing of Series A & Series B Senior Notes	200,000
Borrowing of term loan payable		150,000
Deferred financing costs	(6,902)	(3,647)
Net cash provided by (used in) financing activities	(90,398)	141,774	(54,142)
Net increase (decrease) in cash and cash equivalents	438	(8,828)	10,644
Cash and cash equivalents, beginning of year	9,335	18,163	7,519
Cash and cash equivalents, end of period	9,773	9,335	18,163
Cash paid for:
Interest	29,969	23,896	22,963
Taxes on income	584	490	803
Non-cash investing and financing activities:
Accrued costs for purchase of real estate assets	$ 5,140	$ 5,230	$ 3,211

Organization

Organization	12 Months Ended
	Dec. 31, 2017
Organization
Organization	1. Organization Franklin Street Properties Corp. (“FSP Corp.” or the “Company”), holds, directly and indirectly, 100% of the interest in FSP Investments LLC, FSP Property Management LLC, FSP Holdings LLC and FSP Protective TRS Corp. FSP Property Management LLC provides asset management and property management services. The Company also has a non-controlling common stock interest in six corporations organized to operate as real estate investment trusts (“REIT”) and a non-controlling preferred stock interest in two of those REITs. Collectively, the six REITs are referred to as the “Sponsored REITs”. As of December 31, 2017, the Company owned and operated a portfolio of real estate consisting of 34 properties, one property that is in redevelopment and six managed Sponsored REITs and held four promissory notes secured by mortgages on real estate owned by Sponsored REITs, including two mortgage loans and two revolving lines of credit. From time-to-time, the Company may acquire real estate or make additional secured loans. The Company may also pursue, on a selective basis, the sale of its properties in order to take advantage of the value creation and demand for its properties, or for geographic or property specific reasons.

Significant Accounting Policies

Significant Accounting Policies	12 Months Ended
	Dec. 31, 2017
Significant Accounting Policies
Significant Accounting Policies	2. Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements include all of the accounts of the Company and its majority-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Estimates and Assumptions The Company prepares its financial statements and related notes in conformity with accounting principles generally accepted in the United States of America (“GAAP”). These principles require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates in the consolidated financial statements include the allowance for doubtful accounts, purchase price allocations, useful lives of fixed assets and the valuation of derivatives. Investments in non-consolidated REITs The Company has a non-controlling common stock interest in six Sponsored REITs and a non-controlling preferred stock interest in two of those Sponsored REITs. The Company exercises influence over, but does not control these entities and investments are accounted for using the equity method. Under the equity method of accounting, the Company's cost basis is adjusted by its share of the Sponsored REITs' earnings or losses. Equity in earnings or losses of Sponsored REITs is not recognized to the extent that the investment balance would become negative and distributions received are recognized as income once the investment balance is reduced to zero. The equity investments in Sponsored REITS are reviewed for impairment each reporting period. The Company records impairment charges when events or circumstances indicate a decline in the fair value below the carrying value of the investment has occurred and such decline is other-than-temporary. The ultimate realization of the equity investments in Sponsored REITS is dependent on a number of factors, including the performance of each investment and market conditions. On December 27, 2007, the Company purchased 965.75 preferred shares (approximately 43.7%) of a Sponsored REIT, FSP 303 East Wacker Drive Corp. (“East Wacker”), for $82,813,000. The Company agreed to vote its shares in any matter presented to a vote by the stockholders of East Wacker in the same proportion as shares voted by other stockholders of East Wacker. The investment in East Wacker is accounted for under the equity method. On May 29, 2009, the Company purchased 175.5 preferred shares (approximately 27.0%) of a Sponsored REIT, FSP Grand Boulevard Corp. (“Grand Boulevard”), for $15,049,000. The Company agreed to vote its shares in any matter presented to a vote by the stockholders of Grand Boulevard in the same proportion as shares voted by other stockholders of Grand Boulevard. The investment in Grand Boulevard is accounted for under the equity method. Real Estate and Depreciation Real estate assets are stated at cost less accumulated depreciation. If the Company determines that impairment has occurred, the affected assets are reduced to their fair value. The Company allocates the value of real estate acquired among land, buildings and identified intangible assets or liabilities. Costs related to land, building and improvements are capitalized. Typical capital items include new roofs, site improvements, various exterior building improvements and major interior renovations. Costs incurred in connection with leasing (primarily tenant improvements and leasing commissions) are capitalized and amortized over the lease period. Routine replacements and ordinary maintenance and repairs that do not extend the life of the asset are expensed as incurred. Funding for repairs and maintenance items typically is provided by cash flows from operating activities. Depreciation is computed using the straight-line method over the assets’ estimated useful lives as follows: Category Years Commercial buildings 39 Building improvements 15 - 39 Fixtures and equipment 3 - 7 The Company reviews its properties to determine if their carrying amounts will be recovered from future operating cash flows if certain indicators of impairment are identified at those properties. The evaluation of anticipated cash flows is highly subjective and is based in part on assumptions regarding future occupancy, rental rates and capital requirements that could differ materially from actual results in future periods. Since cash flows are considered on an undiscounted basis in the analysis that the Company conducts to determine whether an asset has been impaired, the Company’s strategy of holding properties over the long term directly decreases the likelihood of recording an impairment loss. If the Company’s strategy changes or market conditions otherwise dictate an earlier sale date, an impairment loss may be recognized. Acquired Real Estate Leases and Amortization The Company recorded the value of acquired real estate leases as a result of three acquisitions in 2016 and one acquisition in 2015. Acquired real estate leases represent costs associated with acquiring an in-place lease (i.e., the market cost to execute a similar lease, including leasing commission, tenant improvements, legal, vacancy and other related costs) and the value relating to leases with rents above the market rate. Amortization is computed using the straight-line method over the term of the leases, which range from 6 months to 281 months. Amortization expense of these combined components was approximately $38,970,000, $36,854,000 and $38,829,000 for the years ended December 31, 2017, 2016 and 2015, respectively. Amortization related to costs associated with acquiring an in-place lease is included in depreciation and amortization on the consolidated statements of income. Amortization related to leases with rents above the market rate is offset against the rental revenue in the consolidated statements of income. The estimated annual amortization expense for the five years and thereafter following December 31, 2017 is as follows: (in thousands) December 31, 2018 $ 27,214 2019 18,644 2020 12,721 2021 9,022 2022 5,427 2023 and thereafter 13,492 Acquired Unfavorable Real Estate Leases and Amortization The Company recorded the value of acquired unfavorable leases as a result three acquisitions in 2016 and one acquisition in 2015. Acquired unfavorable real estate leases represent the value relating to leases with rents below the market rate. Amortization is computed using the straight-line method over the term of the leases, which range from 7 months to 176 months. Amortization expense was approximately $3,117,000, $3,292,000 and $3,242,000 for the years ended December 31, 2017, 2016 and 2015, respectively. Amortization related to leases with rents below the market rate is included with rental revenue in the consolidated statements of income. The estimated annual amortization for the five years and thereafter following December 31, 2017 is as follows: (in thousands) December 31, 2018 $ 2,039 2019 1,319 2020 950 2021 620 2022 346 2023 and thereafter 532 Asset Held For Sale Classification of a property as held for sale typically occurs upon the execution of a purchase and sale agreement and belief by management that the sale or disposition is probable of occurrence within one year. Upon determining that a property was held for sale, the Company discontinues depreciating the property and reflects the property in its consolidated balance sheet at the lower of its carrying amount or fair value less the cost to sell. The Company presents the property held for sale on its consolidated balance sheet as “Asset held for sale”. The Company reports the results of operations of its properties sold or held for sale in its consolidated statements of income through the date of sale. Cash and Cash Equivalents The Company considers all highly liquid instruments purchased with an original maturity of three months or less to be cash equivalents. Restricted Cash Restricted cash consists of tenant security deposits, which are required by law in some states or by contractual agreement to be kept in a segregated account, and escrows arising from property sales. Tenant security deposits are refunded when tenants vacate, provided that the tenant has not damaged the property. Cash held in escrow is paid when the related issue is resolved. Restricted cash also may include funds segregated for specific tenant improvements per lease agreements. Tenant Rent Receivables Tenant rent receivables are expected to be collected within one year. The Company provides an allowance for doubtful accounts based on its estimate of a tenant’s ability to make future rent payments. The computation of this allowance is based in part on the tenants’ payment history and current credit status. The Company wrote off $28,000 and increased its allowance by $178,000 during 2017; wrote off $108,000 in receivables and increased its allowance by $78,000 during 2016; and wrote-off $89,000 in receivables and decreased its allowance by $106,000 during 2015, based on such analysis. Related Party Mortgage Loan Receivable Management monitors and evaluates the secured loans compared to the expected performance, cash flow and value of the underlying real estate and has not experienced a loss on these loans to date. Concentration of Credit Risks Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash investments, derivatives and accounts receivable. The Company maintains its cash balances principally in two banks which the Company believes to be creditworthy. The Company periodically assesses the financial condition of the banks and believes that the risk of loss is minimal. Cash balances held with various financial institutions frequently exceed the insurance limit of $250,000 provided by the Federal Deposit Insurance Corporation. The derivatives that we have are from two interest rate swap agreements that are discussed in Note 6. The Company performs ongoing credit evaluations of our tenants and requires certain tenants to provide security deposits or letters of credit. Though these security deposits and letters of credit are insufficient to meet the total value of a tenant’s lease obligation, they are a measure of good faith and a source of funds to offset the economic costs associated with lost rent and the costs associated with re-tenanting the space. The Company has no single tenant which accounts for more than 10% of its annualized rent. Financial Instruments The Company estimates that the carrying values of cash and cash equivalents, restricted cash, receivables, prepaid expenses, accounts payable and accrued expenses, accrued compensation, and tenant security deposits approximate their fair values based on their short-term maturity and the bank note and term loans payable approximate their fair values as they bear interest at variable interest rates. Straight-line Rent Receivable Certain leases provide for fixed rent increases over the term of the lease. Rental revenue is recognized on a straight-line basis over the related lease term; however, billings by the Company are based on the lease agreements. Straight-line rent receivable, which is the cumulative revenue recognized in excess of amounts billed by the Company, was $53,194,000 and $50,930,000 at December 31, 2017 and 2016, respectively. The Company provides an allowance for doubtful accounts based on its estimate of a tenant’s ability to make future rent payments. The computation of this allowance is based in part on the tenants’ payment history and current credit status. The reserve balance was not changed during 2017 or 2016 and the Company wrote off $112,000 in receivables during 2015, based on such analysis. Deferred Leasing Commissions Deferred leasing commissions represent direct and incremental external leasing costs incurred in the leasing of commercial space. These costs are capitalized and are amortized on a straight-line basis over the terms of the related lease agreements. Amortization expense was approximately $6,919,000, $6,272,000 and $5,680,000 for the years ended December 31, 2017, 2016 and 2015, respectively. The estimated annual amortization for the five years and thereafter following December 31, 2017 is as follows: (in thousands) December 31, 2018 $ 7,655 2019 7,027 2020 6,148 2021 5,379 2022 4,112 2023 and thereafter 10,358 Common Share Repurchases The Company recognizes the gross cost of the common shares it repurchases as a reduction in stockholders’ equity using the treasury stock method. Maryland law does not recognize a separate treasury stock account but provides that shares repurchased are classified as authorized but unissued shares. Accordingly, the Company reduces common stock for the par value and the excess of the purchase price over the par value is a reduction to additional paid-in capital. Revenue Recognition Rental Revenue - The Company has retained substantially all of the risks and benefits of ownership of the Company’s commercial properties and accounts for its leases as operating leases. Rental revenue includes income from leases, certain reimbursable expenses, straight-line rent adjustments and other income associated with renting the property. Rental income from leases, which includes rent concessions (including free rent and other lease inducements) and scheduled increases in rental rates during the lease term, is recognized on a straight-line basis. The Company does not have any significant percentage rent arrangements with its commercial property tenants. Reimbursable expenses are included in rental income in the period earned. A summary of rental revenue is shown in the following table: Year Ended December 31, (in thousands) 2017 2016 2015 Income from leases $ 205,690 $ 192,055 $ 185,738 Reimbursable expenses 58,777 49,821 49,512 Straight-line rent adjustment 1,767 1,977 2,448 Amortization of favorable and unfavorable leases 1,031 496 158 $ 267,265 $ 244,349 $ 237,856 Related Party and Other Revenue - Property and asset management fees, interest income on loans and other income are recognized when the related services are performed and the earnings process is complete. Segment Reporting The Company is a REIT focused on real estate investments primarily in the office market and currently operates in only one segment: real estate operations. Income Taxes Taxes on income for the years ended December 31, 2017, 2016 and 2015 represent taxes incurred by FSP Protective TRS Corp, which is a taxable REIT subsidiary and the State of Texas franchise tax applicable to FSP Corp., which is classified as an income tax for reporting purposes. Net Income Per Share Basic net income per share is computed by dividing net income by the weighted average number of shares outstanding during the period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue shares were exercised or converted into shares. There were no potential dilutive shares outstanding at December 31, 2017, 2016, and 2015. The denominator used for calculating basic and diluted net income per share was 107,231,000, 102,843,000, and 100,187,000 for the years ended December 31, 2017, 2016, and 2015, respectively. Derivative Instruments The Company recognizes derivatives on the consolidated balance sheets at fair value. Derivatives that do not qualify, or are not designated as hedge relationships, must be adjusted to fair value through income. Derivative instruments designated in a hedge relationship to mitigate exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Cash flow hedges are accounted for by recording the fair value of the derivative instrument on the consolidated balance sheets as either an asset or liability. To the extent hedges are effective, a corresponding amount, adjusted for swap payments, is recorded in accumulated other comprehensive income within stockholders’ equity. Amounts are then reclassified from accumulated other comprehensive income to the income statement in the period or periods the hedged forecasted transaction affects earnings. Ineffectiveness, if any, is recorded in the income statement. The Company reviews the effectiveness of each hedging transaction, which involves estimating future cash flows, at least quarterly. Derivative instruments designated in a hedge relationship to mitigate exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. The Company currently has no fair value hedges outstanding. Fair values of derivatives are subject to significant variability based on changes in interest rates and counterparty credit risk. The results of such variability could be a significant increase or decrease in our derivative assets, derivative liabilities, book equity, and/or earnings. Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is also an established fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value. Financial assets and liabilities recorded on the consolidated balance sheets at fair value are categorized based on the inputs to the valuation techniques as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs may include quoted prices for similar assets and liabilities in active markets, as well as inputs that are observable for the asset or liability (other than quoted prices), such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, which is typically based on an entity’s own assumptions, as there is little, if any, related market activity or information. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability including credit risk, which was not significant to the overall value. These inputs were considered and applied to the Company’s derivative, and Level 2 inputs were used to value the interest rate swap. Subsequent Events In preparing these consolidated financial statements the Company evaluated events that occurred through the date of issuance of these financial statements for potential recognition or disclosure. Recent Accounting Standards In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“Topic 606”), which provides guidance for revenue recognition. The standard’s core principle is that a company will recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. This update is effective for interim and annual reporting periods beginning after December 15, 2017. A substantial portion of our revenue consists of rental income from leasing arrangements, which is specifically excluded from Topic 606. The Company plans to adopt Topic 606 using the modified retrospective approach effective January 1, 2018 and the adoption will not have an impact on the timing of revenue recognition in the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), (“ASU 2016-02). ASU 2016-02 requires lessees to establish a lease liability for the obligation to make lease payments and a right of use asset for the right to use the underlying asset for the lease term on their balance sheets. Lessees will continue to recognize lease expenses on their income statements in a manner similar to current accounting. The guidance also eliminates current real estate-specific provisions for all entities. For lessors, the guidance modifies the classification criteria and the accounting for sales-type and direct financing leases. This new standard is effective for annual periods beginning after December 15, 2018, and interim periods thereafter with early adoption permitted. The Company is currently evaluating the potential changes from ASU 2016-02 to future financial reporting and disclosures. The Company expects the adoption of this standard in 2019 will increase our assets and liabilities by approximately $3 million for the addition of right-of-use assets and lease liabilities related to an operating lease for office space; however, we do not expect it to have a material impact to our results of operations or liquidity. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires that entities use a new forward looking “expected loss” model that generally will result in the earlier recognition of allowance for credit losses. The measurement of expected credit losses is based upon historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. ASU No. 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. We are currently assessing the potential impact the adoption of ASU No. 2016-13 will have in our condensed consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”), which clarifies how reporting entities should present and classify certain cash receipts and cash payments in the statement of cash flows. ASU 2016-15 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. We do note expect that the adoption of ASU 2016-15 will have a material impact on our consolidated financial statements. In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash (“ASU 2016-18”), which clarifies how reporting entities should present restricted cash and restricted cash equivalents. Reporting entities will show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. The new standard requires a reconciliation of the totals in the statement of cash flows to the related captions in the balance sheets. ASU 2016-18 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Upon the adoption of ASU No. 2016-18, we will reconcile both cash and cash equivalents and restricted cash and restricted cash equivalents, whereas under the current guidance we explain the changes during the period for cash and cash equivalents only. In January 2017, the FASB issued ASU No. 2017-01, Clarifying the Definition of a Business (“ASU 2017-01”), which provides additional guidance on evaluating whether transactions should be accounted for as an acquisition (or disposal) of assets of a business. The update defines three requirements for a set of assets and activities (collectively referred to as a “set”) to be considered a business: inputs, processes and outputs. ASU 2017-01 is effective for annual periods beginning after December 15, 2017, including interim periods within those fiscal years. This update will be applied prospectively to any transactions occurring within the period of adoption. Subsequent to adoption, we believe certain property acquisitions which under previous guidance would have been accounted for as business combinations will be accounted for as acquisitions of assets. In an acquisition of assets, certain acquisition costs are capitalized as opposed to expensed under business combination guidance.

Related Party Transactions and

Related Party Transactions and Investments in Non-Consolidated Entities	12 Months Ended
	Dec. 31, 2017
Related Party Transactions and Investments in Non-Consolidated Entities
Related Party Transactions and Investments in Non-Consolidated Entities	3. Related Party Transactions and Investments in Non-Consolidated Entities Investment in Sponsored REITs The Company held a common stock interest in 6, 7 and 9 Sponsored REITs at December 31, 2017, 2016 and 2015, respectively. The Company holds a non-controlling preferred stock investment in two of these Sponsored REITs, East Wacker and Grand Boulevard, from which it continues to derive economic benefits and risks. During the year ended December 31, 2017, a property owned by one Sponsored REIT was sold and, thereafter, liquidating distributions for its preferred shareholders were declared and issued. The Company held a mortgage loan with this entity, which was secured by the property owned by FSP 1441 Main Street Corp. (“1441 Main”). The loan with 1441 Main in the principal amount of $9,000,000 was repaid by the proceeds of the sale. During the year ended December 31, 2016, properties owned by two Sponsored REITs were sold and, thereafter, liquidating distributions for their preferred shareholders were declared and issued. The Company held a mortgage loan with one of these entities, which was secured by the property owned by FSP 385 Interlocken Development Corp. (“385 Interlocken”). The loan with 385 Interlocken in the principal amount of $37,500,000 was repaid by the proceeds of the sale. During the year ended December 31, 2015, a property owned by one Sponsored REIT was sold and, thereafter, liquidating distributions for its preferred shareholders were declared and issued. Equity in losses of investment in non-consolidated REITs: The following table includes equity in losses of investments in non-consolidated REITs: Year Ended December 31, (in thousands) 2017 2016 2015 Equity in losses of East Wacker $ 428 $ 563 $ 1,352 Equity in losses of Grand Boulevard 657 268 99 Impairment charge 2,519 — — $ 3,604 $ 831 $ 1,451 Equity in losses of East Wacker is derived from the Company’s preferred stock investment in the entity. In December 2007, the Company purchased 965.75 preferred shares or 43.7% of the outstanding preferred shares, of East Wacker for $82,813,000 (which represented $96,575,000 at the offering price net of commissions of $7,726,000, loan fees of $5,553,000 and acquisition fees of $483,000 that were excluded). Equity in losses of Grand Boulevard is derived from the Company’s preferred stock investment in the entity. In May 2009, the Company purchased 175.5 preferred shares or 27.0% of the outstanding preferred shares, of Grand Boulevard for $15,049,000 (which represented $17,550,000 at the offering price net of commissions of $1,404,000, loan fees of $1,009,000 and acquisition fees of $88,000 that were excluded). At December 31, 2017, the Company recognized an impairment charge of $2,519,000, which represented the other-than-temporary decline in the fair value below the carrying value of one of the Company’s investments in non-consolidated REITs. The Company estimated the fair value of its equity investment by estimating the fair value of the property, less estimated costs to sell using offers to purchase the property made by third parties (Level 3 inputs, as there is no active market). The following table includes distributions received from non-consolidated REITs: Year Ended December 31, (in thousands) 2017 2016 2015 Distributions from East Wacker $ 1,289 $ 916 $ — Distributions from Grand Boulevard 107 107 107 $ 1,396 $ 1,023 $ 107 Non-consolidated REITs The operating data below for 2017 includes the operations of the 7 Sponsored REITs the company held an interest in during the year and the 6 Sponsored REITs the Company held an interest in as of December 31, 2017. The operating data below for 2016 includes the operations of the 9 Sponsored REITs the Company held an interest in during the year and the 7 Sponsored REITs the Company held an interest in as of December 31, 2016. The operating data below for 2015 includes the operations of the 10 Sponsored REITs the Company held an interest in during the year and the 9 Sponsored REITs the Company held an interest in as of December 31, 2015. Summarized financial information for the Sponsored REITs is as follows: December 31, December 31, (in thousands) 2017 2016 Balance Sheet Data (unaudited): Real estate, net $ 312,861 $ 345,532 Other assets 74,076 86,594 Total liabilities (151,092) (164,820) Shareholders’ equity $ 235,845 $ 267,306 For the Year Ended December 31, (in thousands) 2017 2016 2015 Operating Data (unaudited): Rental revenues $ 53,249 $ 54,257 $ 57,777 Other revenues 7 39 34 Operating and maintenance expenses (27,495) (29,186) (31,693) Depreciation and amortization (18,395) (18,274) (21,149) Interest expense (8,281) (8,481) (9,920) Gain (loss) on sale, less applicable income tax (702) 26,397 — Net income (loss) $ (1,617) $ 24,752 $ (4,951) Management fees and interest income from loans: Asset management fees range from 1% to 5% of collected rents and the applicable contracts are cancelable with 30 day notice. Asset management fee income from non-consolidated entities amounted to approximately $598,000, $631,000 and $701,000 for the years ended December 31, 2017, 2016 and 2015, respectively. From time to time the Company may make secured loans (“Sponsored REIT Loans”) to Sponsored REITs in the form of mortgage loans or revolving lines of credit to fund construction costs, capital expenditures, leasing costs and for other purposes. The Company reviews Sponsored REIT loans for impairment each reporting period. A loan is impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts recorded on the balance sheet. The Company applies normal loan review and underwriting procedures (as may be implemented or modified from time to time) in making that judgment. None of the Sponsored REIT loans have been impaired. The Company anticipates that each Sponsored REIT Loan will be repaid at maturity or earlier from long term financings of the underlying properties, cash flows from the underlying properties or some other capital event. Each Sponsored REIT Loan is secured by a mortgage on the underlying property and has a term of approximately one to three years. Except for two mortgage loans which bear interest at a fixed rate, advances under each Sponsored REIT Loan bear interest at a rate equal to the 30-day LIBOR rate plus an agreed upon amount of basis points and require a 50 basis point draw fee. The following is a summary of the Sponsored REIT Loans outstanding as of December 31, 2017: Maximum Amount Interest (dollars in thousands) Maturity Amount Drawn at Interest Draw Rate at Sponsored REIT Location Date of Loan 31-Dec-17 Rate (1) Fee (2) 31-Dec-17 Secured revolving lines of credit FSP Satellite Place Corp. Duluth, GA 31-Dec-19 $ 5,500 $ 2,120 L+ 4.4 % 0.5 % 5.78 % FSP Energy Tower I Corp. (3) Houston, TX 30-Jun-19 20,000 15,600 L+ 5.0 % 0.5 % 6.38 % Mortgage loan secured by property FSP Monument Circle LLC (4) Indianapolis, IN 7-Dec-18 21,000 21,000 4.90 % n/a 4.90 % FSP Energy Tower I Corp. (3) (5) Houston, TX 30-Jun-19 33,000 33,000 6.41 % n/a 6.41 % $ 79,500 $ 71,720 (1) The interest rate is 30-day LIBOR rate plus the additional rate indicated, otherwise a fixed rate. (2) The draw fee is a percentage of each new advance, and is paid at the time of each new draw. (3) These loans were extended on June 16, 2017. (4) This mortgage loan includes an origination fee of $164,000 and an exit fee of $38,000 when repaid by the borrower. (5) This mortgage loan includes an annual extension fee of $108,900 paid by the borrower. The Company recognized interest income and fees from the Sponsored REIT Loans of approximately $4,687,000, $4,834,000 and $5,230,000 for the years ended December 31, 2017, 2016 and 2015, respectively.

Bank Note Payable, Term Note Pa

Bank Note Payable, Term Note Payable and Private Placements	12 Months Ended
	Dec. 31, 2017
Bank Note Payable and Term Note Payable
Bank Note Payable and Term Note Payable	4. Bank Note Payable, Term Note Payable and Private Placements JPM Term Loan On October 18, 2017, the Company entered into a First Amendment (the “JPM First Amendment”) to the Credit Agreement, dated November 30, 2016, among the Company, JPMorgan Chase Bank, N.A., as administrative agent and lender, and the other lending institutions party thereto (as amended by the JPM First Amendment, the “JPM Credit Agreement”), which provides a single unsecured bridge loan in the aggregate principal amount of $150 million (the “JPM Term Loan”) that remains fully advanced and outstanding. The JPM Term Loan has a two year term that matures on November 30, 2018. The JPM Term Loan bears interest at either (i) a number of basis points over the Eurodollar Rate depending on the Company’s credit rating (135.0 basis points over the Eurodollar Rate at December 31, 2017) or (ii) a number of basis points over the base rate depending on the Company’s credit rating (35.0 basis points over the base rate at December 31, 2017). The actual margin over the Eurodollar Rate or base rate is determined based on the Company’s credit rating pursuant to the following grid: EURODOLLAR CREDIT RATE BASE RATE LEVEL RATING MARGIN MARGIN I BBB / Baa2 (or higher) 110.0 bps 10.0 bps II BBB- / Baa3 135.0 bps 35.0 bps III <BBB- / Baa3 185.0 bps 85.0 bps For purposes of the JPM Term Loan, base rate means, for any day, a fluctuating rate per annum equal to the greatest of: (i) JPMorgan Chase Bank, N.A.’s prime rate in effect on such day, (ii) the greater of the Federal Funds Rate or the overnight bank funding rate in effect on such day, plus 0.50% (but no less than zero), and (iii) the one month Adjusted LIBOR based rate for a such day plus 1.00%. For purposes of the JPM Term Loan, the Eurodollar Rate means, for any interest period, the LIBO Rate for the applicable interest period multiplied by the statutory reserve rate, and in any event, the Eurodollar Rate shall not be less than zero. As of December 31, 2017, the Company’s credit rating from Moody’s Investors Service was Baa3. Based upon the Company’s credit rating, as of December 31, 2017, the interest rate on the JPM Term Loan was 2.98% per annum. The weighted average interest rate on the JPM Term Loan during the year ended December 31, 2017 was approximately 2.45% per annum. The weighted average interest rate on the JPM Term Loan during the year ended December 31, 2016 was approximately 1.99% per annum. The JPM Credit Agreement contains customary affirmative and negative covenants for credit facilities of this type, including limitations with respect to indebtedness, liens, investments, mergers and acquisitions, disposition of assets, changes in business, certain restricted payments, the requirement to have subsidiaries provide a guaranty in the event that they incur recourse indebtedness and transactions with affiliates. The JPM Credit Agreement also contains financial covenants that require the Company to maintain a minimum tangible net worth, a minimum fixed charge coverage ratio, a maximum secured leverage ratio, a maximum leverage ratio, a maximum unencumbered leverage ratio, and minimum unsecured interest coverage. The JPM Credit Agreement provides for customary events of default with corresponding grace periods, including failure to pay any principal or interest when due, certain cross defaults and a change in control of the Company (as defined in the JPM Credit Agreement). In the event of a default by the Company, the administrative agent may, and at the request of the requisite number of lenders shall, declare all obligations under the JPM Credit Agreement immediately due and payable, and enforce any and all rights of the lenders or administrative agent under the JPM Credit Agreement and related documents. For certain events of default related to bankruptcy, insolvency, and receivership, all outstanding obligations of the Company will become immediately due and payable. The Company was in compliance with the JPM Term Loan financial covenants as of December 31, 2017. The Company used the net proceeds of the JPM Term Loan to acquire the property located at 600 17th Street, Denver, Colorado on December 1, 2016 and for other general business purposes. BMO Term Loan On July 21, 2016, the Company entered into a First Amendment (the “BMO First Amendment”), and on October 18, 2017, the Company entered into a Second Amendment (the “BMO Second Amendment”), to the Amended and Restated Credit Agreement dated October 29, 2014 (among the Company, the lending institutions party thereto and Bank of Montreal, as administrative agent ( as amended by the BMO First Amendment and the BMO Second Amendment, the “BMO Credit Agreement”). The BMO Credit Agreement provides for a single, unsecured term loan borrowing in the amount of $220 million (the “BMO Term Loan”) that remains fully advanced and outstanding. The BMO Term Loan matures on August 26, 2020. The BMO Credit Agreement also includes an accordion feature that allows up to $50 million of additional loans, subject to receipt of lender commitments and satisfaction of certain customary conditions. The BMO Term Loan bears interest at either (i) a number of basis points over LIBOR depending on the Company’s credit rating (165 basis points over LIBOR at December 31, 2016) or (ii) a number of basis points over the base rate depending on the Company’s credit rating (65 basis points over the base rate at December 31, 2017). The actual margin over LIBOR rate or base rate is determined based on the Company’s credit rating pursuant to the following grid: Credit LIBOR Rate Base Rate Level Rating Margin Margin I A- / A3 (or higher) 105.0 bps 5.0 bps II BBB+ / Baa1 115.0 bps 15.0 bps III BBB / Baa2 135.0 bps 35.0 bps IV BBB- / Baa3 165.0 bps 65.0 bps V <BBB- / Baa3 215.0 bps 115.0 bps For purposes of the BMO Term Loan, base rate means, for any day, a fluctuating rate per annum equal to the highest of: (i) the bank’s prime rate for such day, (ii) the Federal Funds Rate for such day, plus 0.50%, and (iii) the one month LIBOR based rate for such day plus 1.00%. As of December 31, 2017, the Company’s credit rating from Moody’s Investors Service was Baa3. Although the interest rate on the BMO Term Loan is variable under the BMO Credit Agreement, the Company fixed the base LIBOR interest rate by entering into an interest rate swap agreement. On August 26, 2013, the Company entered into an ISDA Master Agreement with Bank of Montreal that fixed the base LIBOR interest rate on the BMO Term Loan at 2.32% per annum for seven years, until the August 26, 2020 maturity date. Accordingly, based upon the Company’s credit rating, as of December 31, 2017, the effective interest rate on the BMO Term Loan was 3.97% per annum. The BMO Credit Agreement contains customary affirmative and negative covenants for credit facilities of this type, including limitations with respect to indebtedness, liens, investments, mergers and acquisitions, disposition of assets, changes in business, certain restricted payments, the requirement to have subsidiaries provide a guaranty in the event that they incur recourse indebtedness and transactions with affiliates. The BMO Credit Agreement also contains financial covenants that require the Company to maintain a minimum tangible net worth, a maximum leverage ratio, a maximum secured leverage ratio, a minimum fixed charge coverage ratio, a maximum unencumbered leverage ratio, and minimum unsecured interest coverage. The BMO Credit Agreement provides for customary events of default with corresponding grace periods, including failure to pay any principal or interest when due, certain cross defaults and a change in control of the Company (as defined in the BMO Credit Agreement). In the event of a default by the Company, the administrative agent may, and at the request of the requisite number of lenders shall, declare all obligations under the BMO Credit Agreement immediately due and payable, terminate the lenders’ commitments to make loans under the BMO Credit Agreement, and enforce any and all rights of the lenders or BMO administrative agent under the BMO Credit Agreement and related documents. For certain events of default related to bankruptcy, insolvency, and receivership, the commitments of lenders will be automatically terminated and all outstanding obligations of the Company will become immediately due and payable. The Company was in compliance with the BMO Term Loan financial covenants as of December 31, 2017. The Company may use the proceeds of the loans under the BMO Credit Agreement to finance the acquisition of real properties and for other permitted investments; to finance investments associated with Sponsored REITs, to refinance or retire indebtedness and for working capital and other general business purposes, in each case to the extent permitted under the BMO Credit Agreement. BAML Credit Facility On July 21, 2016, the Company entered into a First Amendment (the “BAML First Amendment”), and on October 18, 2017, the Company entered into a Second Amendment (the “BAML Second Amendment”), to the Second Amended and Restated Credit Agreement dated October 29, 2014 among the Company, the lending institutions party thereto and Bank of America, N.A., as administrative agent, L/C Issuer and Swing Line Lender (as amended by the BAML First Amendment and the BAML Second Amendment, the “BAML Credit Facility”) that continued an existing unsecured revolving line of credit (the “BAML Revolver”) and extended the maturity of a term loan (the “BAML Term Loan”). BAML Revolver Highlights · The BAML Revolver is for borrowings, at the Company's election, of up to $600 million. Borrowings made pursuant to the BAML Revolver may be revolving loans, swing line loans or letters of credit, the combined sum of which may not exceed $600 million outstanding at any time. · Borrowings made pursuant to the BAML Revolver may be borrowed, repaid and reborrowed from time to time until the initial maturity date of January 12, 2022. The Company has the right to extend the maturity date of the BAML Revolver by two additional six month periods, or until January 12, 2023, upon payment of a fee and satisfaction of certain customary conditions. · The BAML Credit Facility includes an accordion feature that allows for an aggregate amount of up to $500 million of additional borrowing capacity applicable to the BAML Revolver and/or the BAML Term Loan subject to receipt of lender commitments and satisfaction of certain customary conditions. As of December 31, 2017, there were borrowings of $78 million outstanding under the BAML Revolver. The BAML Revolver bears interest at either (i) a margin over LIBOR depending on the Company’s credit rating (1.20% over LIBOR at December 31, 2017) or (ii) a margin over the base rate depending on the Company’s credit rating (0.20% over the base rate at December 31, 2017). The BAML Credit Facility also obligates the Company to pay an annual facility fee in an amount that is also based on the Company’s credit rating. The facility fee is assessed against the total amount of the BAML Revolver, or $600 million (0.25% at December 31, 2017). The actual amount of any applicable facility fee, and the margin over LIBOR rate or base rate is determined based on the Company’s credit rating pursuant to the following grid: Base LIBOR Rate Facility Rate Level Credit Rating Margin Fee Margin I A- / A3 (or higher) 0.825 % 0.125 % 0.000 % II BBB+ / Baa1 0.875 % 0.150 % 0.000 % III BBB / Baa2 1.000 % 0.200 % 0.000 % IV BBB- / Baa3 1.200 % 0.250 % 0.200 % V <BBB- / Baa3 1.550 % 0.300 % 0.550 % For purposes of the BAML Credit Facility, base rate means, for any day, a fluctuating rate per annum equal to the highest of: (i) the bank’s prime rate for such day, (ii) the Federal Funds Rate for such day, plus 0.50%, and (iii) the one month LIBOR based rate for such day plus 1.00%. As of December 31, 2017, the Company’s credit rating from Moody’s Investors Service was Baa3. Based upon the Company’s credit rating, as of December 31, 2017, the interest rate on the BAML Revolver was 2.63% per annum and there were borrowings of $78 million outstanding. The weighted average interest rate on all amounts outstanding on the BAML Revolver during the year ended December 31, 2017 was approximately 2.31% per annum. As of December 31, 2016, there were borrowings of $280 million outstanding under the BAML Revolver at a weighted average rate of 1.88% per annum. BAML Term Loan Highlights · The BAML Term Loan is for $400 million. · The BAML Term Loan matures on January 12, 2023. · The BAML Credit Facility includes an accordion feature that allows for an aggregate amount of up to $500 million of additional borrowing capacity applicable to the BAML Revolver and/or the BAML Term Loan subject to receipt of lender commitments and satisfaction of certain customary conditions. · On September 27, 2012, the Company drew down the entire $400 million under the BAML Term Loan and such amount remains fully advanced and outstanding under the BAML Term Loan. The BAML Term Loan bears interest at either (i) a margin over LIBOR depending on the Company’s credit rating (1.35% over LIBOR at December 31, 2017) or (ii) a margin over the base rate depending on the Company’s credit rating (0.35% over the base rate at December 31, 2017). The actual margin over LIBOR rate or base rate is determined based on the Company’s credit rating pursuant to the following grid: LIBOR Rate Base Rate Level Credit Rating Margin Margin I A- / A3 (or higher) 0.900 % 0.000 % II BBB+ / Baa1 0.950 % 0.000 % III BBB / Baa2 1.100 % 0.100 % IV BBB- / Baa3 1.350 % 0.350 % V <BBB- / Baa3 1.750 % 0.750 % For purposes of the BAML Credit Facility, base rate means, for any day, a fluctuating rate per annum equal to the highest of: (i) the bank’s prime rate for such day, (ii) the Federal Funds Rate for such day, plus 0.50%, and (iii) the one month LIBOR based rate for such day plus 1.00%. As of December 31, 2017, the Company’s credit rating from Moody’s Investors Service was Baa3. Although the interest rate on the BAML Credit Facility is variable, the Company fixed the base LIBOR interest rate on the BAML Term Loan by entering into an interest rate swap agreement. On September 27, 2012, the Company entered into an ISDA Master Agreement with Bank of America, N.A. that fixed the base LIBOR interest rate on the BAML Term Loan at 0.75% per annum for five years, until the September 27, 2017 maturity date. On July 22, 2016, the Company entered into ISDA Master Agreements with a group of banks that fixed the base LIBOR interest rate on the BAML Term Loan at 1.12% per annum for the period beginning on September 27, 2017 and ending on September 27, 2021.Accordingly, based upon the Company’s credit rating, as of December 31, 2017, the effective interest rate on the BAML Term Loan was 2.47% per annum. BAML Credit Facility General Information The BAML Credit Facility contains customary affirmative and negative covenants for credit facilities of this type, including limitations with respect to indebtedness, liens, investments, mergers and acquisitions, disposition of assets, changes in business, certain restricted payments, the requirement to have subsidiaries provide a guaranty in the event that they incur recourse indebtedness and transactions with affiliates. The BAML Credit Facility also contains financial covenants that require the Company to maintain a minimum tangible net worth, a maximum leverage ratio, a maximum secured leverage ratio, a minimum fixed charge coverage ratio, a maximum unencumbered leverage ratio, and minimum unsecured interest coverage. The BAML Credit Facility provides for customary events of default with corresponding grace periods, including failure to pay any principal or interest when due, certain cross defaults and a change in control of the Company (as defined in the BAML Credit Facility). In the event of a default by the Company, the administrative agent may, and at the request of the requisite number of lenders shall, declare all obligations under the BAML Credit Facility immediately due and payable, terminate the lenders’ commitments to make loans under the BAML Credit Facility, and enforce any and all rights of the lenders or administrative agent under the BAML Credit Facility and related documents. For certain events of default related to bankruptcy, insolvency, and receivership, the commitments of lenders will be automatically terminated and all outstanding obligations of the Company will become immediately due and payable. The Company was in compliance with the BAML Credit Facility financial covenants as of December 31, 2017. The Company may use the proceeds of the loans under the BAML Credit Facility to finance the acquisition of real properties and for other permitted investments; to finance investments associated with Sponsored REITs, to refinance or retire indebtedness and for working capital and other general business purposes, in each case to the extent permitted under the BAML Credit Facility. Senior Notes On October 24, 2017, the Company entered into a note purchase agreement (the “Note Purchase Agreement”) with the various purchasers named therein (the “Purchasers”) in connection with a private placement of senior unsecured notes. Under the Note Purchase Agreement, the Company agreed to sell to the Purchasers an aggregate principal amount of $200,000,000 of senior unsecured notes consisting of (i) 3.99% Series A Senior Notes due December 20, 2024 in an aggregate principal amount of $116 million (the “Series A Notes”) and (ii) 4.26% Series B Senior Notes due December 20, 2027 in an aggregate principal amount of $84 million (the “Series B Notes,” and, together with the Series A Notes, the “Senior Notes”). On December 20, 2017, the Senior Notes were funded and the proceeds were used to reduce the outstanding balance of the BAML Revolver. The Note Purchase Agreement contains customary financial covenants, including a maximum leverage ratio, a maximum secured leverage ratio, a minimum fixed charge coverage ratio, and a maximum unencumbered leverage ratio. The Note Purchase Agreement also contains restrictive covenants that, among other things, restrict the ability of the Company and its subsidiaries to enter into transactions with affiliates, merge, consolidate, create liens, make certain restricted payments, enter into certain agreements or prepay certain indebtedness. Such financial and restrictive covenants are substantially similar to the corresponding covenants contained in the BAML Credit Facility, the BMO Credit Agreement and the JPM Credit Agreement. The Senior Notes financial covenants require, among other things, the maintenance of a fixed charge coverage ratio of at least 1.50; a maximum leverage ratio and an unsecured leverage ratio of no more than 60% (65% if there were a significant acquisition for a short period of time). In addition, the Note Purchase Agreement provides that the Note Purchase Agreement will automatically incorporate additional financial and other specified covenants (such as limitations on investments and distributions) that are effective from time to time under the Existing Credit Agreements, other material indebtedness or certain other private placements of debt of the Company and its subsidiaries. The Note Purchase Agreement contains customary events of default, including payment defaults, cross defaults with certain other indebtedness, breaches of covenants and bankruptcy events. In the case of an event of default, the Purchasers may, among other remedies, accelerate the payment of all obligations.

Financial Instruments_ Derivati

Financial Instruments: Derivatives and Hedging	12 Months Ended
	Dec. 31, 2017
Financial Instruments: Derivatives and Hedging
Financial Instruments: Derivatives and Hedging	5. Financial Instruments: Derivatives and Hedging On July 22, 2016, the Company fixed the interest rate for the period beginning on September 27, 2017 and ending on September 27, 2021 on the BAML Term Loan with multiple interest rate swap agreements (the “2017 Interest Rate Swap”), on August 26, 2013, the Company fixed the interest rate until August 26, 2020 on the BMO Term Loan with an interest rate swap agreement (the “BMO Interest Rate Swap”) and on September 27, 2012, the Company fixed the interest rate until September 27, 2017 on the BAML Term Loan with an interest rate swap agreement (the “BAML Interest Rate Swap”). The variable rates that were fixed under the 2017 Interest Rate Swap, the BMO Interest Rate Swap and the BAML Interest Rate Swap are described in Note 4. The 2017 Interest Rate Swap, the BMO Interest Rate Swap and the BAML Interest Rate Swap qualify as cash flow hedges and have been recognized on the consolidated balance sheet at fair value. If a derivative qualifies as a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedged asset, liability, or firm commitment through earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings. The ineffective portion of a derivative’s change in fair value will be immediately recognized in earnings, which may increase or decrease reported net income and stockholders’ equity prospectively, depending on future levels of interest rates and other variables affecting the fair values of derivative instruments and hedged items, but will have no effect on cash flows. The following table summarizes the notional and fair value of our derivative financial instruments at December 31, 2017. The notional value is an indication of the extent of our involvement in these instruments at that time, but does not represent exposure to credit, interest rate or market risks. Notional Strike Effective Expiration Fair (in thousands) Value Rate Date Date Value 2017 Interest Rate Swap $ 400,000 1.12 % Sep-17 Sep-21 $ 13,925 BMO Interest Rate Swap $ 220,000 2.32 % Aug-13 Aug-20 $ (1,759) On December 31, 2017, the 2017 Interest Rate Swap was reported an asset at its fair value of approximately $13.9 million and the BMO Interest Rate Swap was reported as a liability at its fair value of approximately $1.8 million. These are included in other liabilities: derivative liability and other assets: derivative asset on the consolidated balance sheet at December 31, 2017, respectively. Offsetting adjustments are reported as unrealized gains or losses on derivative financial instruments in accumulated other comprehensive income of $6.7 million. Over time, the unrealized gains and losses held in accumulated other comprehensive income will be reclassified into earnings as an increase or reduction to interest expense in the same periods in which the hedged interest payments affect earnings. We estimate that approximately $0.3 million of the current balance held in accumulated other comprehensive income will be reclassified into earnings within the next 12 months. We are hedging the exposure to variability in future cash flows for forecasted transactions in addition to anticipated future interest payments on existing debt. The fair value of the Company’s derivative instruments are determined using the net discounted cash flows of the expected cash flows of the derivative based on the market based interest rate curve and are adjusted to reflect credit or nonperformance risk. The risk is estimated by the Company using credit spreads and risk premiums that are observable in the market. These financial instruments were classified within Level 2 of the fair value hierarchy and were classified as an asset or liability on the consolidated balance sheets. The Company’s derivatives are recorded at fair value in other liabilities: derivative liability in the consolidated balance sheets and the effective portion of the derivatives’ fair value is recorded to other comprehensive income in the consolidated statements of other comprehensive income (loss) and the ineffective portion of the derivatives’ fair value is recognized directly into earnings as other in the consolidated statements of income. The interest rate swaps effectively fix the interest rate on the BAML Term Loan and BMO Term Loan; however, prior to October 18, 2017, there was no floor on the variable interest rate of the swap whereas the BAML Term Loan and BMO Term Loan were subject to a zero percent floor. As a result there was a mismatch and the ineffective portion of the derivatives’ changes in fair value were recognized directly into earnings. On October 18, 2017, the Company amended the BMO Term Loan and BAML Term Loan to, among other changes, provide that the deemed zero percent interest rate floor is not applicable to any loan where there is a corresponding interest rate swap contract in place.

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Dec. 31, 2017
Stockholders' Equity
Stockholders' Equity	6. Stockholders’ Equity Equity Offerings On August 16, 2016, the Company completed an underwritten public offering of 7,043,750 shares of its common stock (including 918,750 shares issued as a result of the full exercise of an overallotment option by the underwriter) at a price to the public of $12.35 per share. The proceeds from this public offering, net of underwriter discounts and offering costs, totaled approximately $82.9 million. Equity-Based Compensation On May 20, 2002, the stockholders of the Company approved the 2002 Stock Incentive Plan (the “Plan”). The Plan is an equity-based incentive compensation plan, and provides for the grants of up to a maximum of 2,000,000 shares of the Company’s common stock (“Awards”). All of the Company’s employees, officers, directors, consultants and advisors are eligible to be granted Awards. Awards under the Plan are made at the discretion of the Company’s Board of Directors, and have no vesting requirements. Upon granting an Award, the Company will recognize compensation cost equal to the fair value of the Company’s common stock, as determined by the Company’s Board of Directors, on the date of the grant. The Company has not issued any shares under the Plan since 2005, and there are currently 1,944,428 shares available for grant under the Plan.

Federal Income Tax Reporting

Federal Income Tax Reporting	12 Months Ended
	Dec. 31, 2017
Income Taxes
Federal Income Tax Reporting	7. Federal Income Tax Reporting General The Company has elected to be taxed as a REIT under the Internal Revenue Code of 1986, as amended (the “Code”). As a REIT, the Company generally is entitled to a tax deduction for distributions paid to its shareholders, thereby effectively subjecting the distributed net income of the Company to taxation at the shareholder level only. The Company must comply with a variety of restrictions to maintain its status as a REIT. These restrictions include the type of income it can earn, the type of assets it can hold, the number of shareholders it can have and the concentration of their ownership, and the amount of the Company’s taxable income that must be distributed annually. One such restriction is that the Company generally cannot own more than 10% of the voting power or value of the securities of any one issuer unless the issuer is itself a REIT or a taxable REIT subsidiary (“TRS”). In the case of TRSs, the Company’s ownership of securities in all TRSs generally cannot exceed 25% of the value of all of the Company’s assets and, when considered together with other non-real estate assets, cannot exceed 25% of the value of all of the Company’s assets. FSP Investments LLC and FSP Protective TRS Corp. are the Company’s taxable REIT subsidiaries operating as taxable corporations under the Code. Income taxes are recorded based on the future tax effects of the difference between the tax and financial reporting bases of the Company’s assets and liabilities. In estimating future tax consequences, potential future events are considered except for potential changes in income tax law or in rates. The Company adopted an accounting pronouncement related to uncertainty in income taxes effective January 1, 2007, which did not result in recording a liability, nor was any accrued interest and penalties recognized with the adoption. Accrued interest and penalties will be recorded as income tax expense, if the Company records a liability in the future. The Company’s effective tax rate was not affected by the adoption. The Company and one or more of its subsidiaries files income tax returns in the U.S. federal jurisdiction and various state jurisdictions. The statute of limitations for the Company’s income tax returns is generally three years and as such, the Company’s returns that remain subject to examination would be primarily from 2014 and thereafter. The Company is subject to a business tax known as the Revised Texas Franchise Tax. Some of the Company’s leases allow reimbursement by tenants for these amounts because the Revised Texas Franchise Tax replaces a portion of the property tax for school districts. Because the tax base on the Revised Texas Franchise Tax is derived from an income based measure, it is considered an income tax. The Company recorded a provision for the Revised Texas Franchise Tax of $355,000, $352,000 and $398,000 for the years ended December 31, 2016, 2015 and 2014, respectively. Net operating losses Section 382 of the Code restricts a corporation’s ability to use net operating losses (“NOLs”) to offset future taxable income following certain “ownership changes.” Such ownership changes occurred with past mergers and accordingly a portion of the NOLs incurred by the Sponsored REITs available for use by the Company in any particular future taxable year will be limited. To the extent that the Company does not utilize the full amount of the annual NOLs limit, the unused amount may be carried forward to offset taxable income in future years. NOLs expire 20 years after the year in which they arise, and the last of the Company’s NOLs will expire in 2027. A valuation allowance is provided for the full amount of the NOLs as the realization of any tax benefits from such NOLs is not assured. The gross amount of NOLs available to the Company was $13,041,000 as of each of December 31, 2017, 2016 and 2015. Income Tax Expense The income tax expense reflected in the consolidated statements of income relates primarily to a franchise tax on our Texas properties. FSP Protective TRS Corp. provides taxable services to tenants at some of the Company’s properties and the tax expense associated with these activities are reported in the table as Other Taxes in the table below: For the Year Ended December 31, (Dollars in thousands) 2017 2016 2015 Revised Texas franchise tax $ 355 $ 352 $ 398 Other Taxes 45 66 35 Taxes on income $ 400 $ 418 $ 433 Taxes on income are a current tax expense. No deferred income taxes were provided as there were no material temporary differences between the financial reporting basis and the tax basis of the TRSs. At December 31, 2017, the Company’s net tax basis of its real estate assets is more than the amount set forth in the Company’s consolidated balance sheets by $208,434,000 and at December 31, 2016 the net tax basis is more than the Company’s consolidated balance sheets by $197,669,000. Reconciliation Between GAAP Net Income (Loss) and Taxable Income The following reconciles book net income (loss) to taxable income for the years ended December 31, 2017, 2016 and 2015. For the year ended December 31, (in thousands) 2017 2016 2015 Net income (loss) per books $ (15,944) $ 8,378 $ 35,014 Adjustments to book income (loss): Book depreciation and amortization 100,227 92,557 91,201 Tax depreciation and amortization (62,653) (59,171) (53,089) Tax basis more than book basis on assets sold (907) (576) (2,739) Straight line rent adjustment, net (2,977) (2,976) (3,493) Deferred rent, net 1,226 2 618 Non-taxable distributions (1,289) (970) — Other, net 6,582 (1,648) 995 Taxable income 24,265 35,596 68,507 Less: Capital gains recognized — — 10,360 Taxable income subject to distribution requirement $ 24,265 $ 35,596 $ 58,147 Tax Components The following summarizes the tax components of the Company’s common distributions paid per share for the years ended December 31, 2017, 2016 and 2015: 2017 2016 2015 Per Share % Per Share % Per Share % Ordinary income $ 0.24 31.74 % $ 0.39 50.82 % $ 0.60 79.17 % Capital gain (1) — — % — — % 0.09 11.60 % Return of capital 0.52 68.26 % 0.37 49.18 % 0.07 9.23 % Total $ 0.76 100 % $ 0.76 100 % $ 0.76 100 % (1) For 2015, 11.6% of the total distributions are taxed as capital gains, and, 5.96%, was taxed as an Unrecaptured Section 1250 gain.

Commitments

Commitments	12 Months Ended
	Dec. 31, 2017
Commitments
Commitments	8. Commitments The Company’s commercial real estate operations include the leasing of office buildings and industrial properties subject to leases with terms greater than one year. The leases expire at various dates through 2036. The following is a schedule of approximate future minimum rental income on non-cancelable operating leases as of December 31, 2017: Year ending (in thousands) December 31, 2018 $ 180,321 2019 156,530 2020 139,250 2021 121,185 2022 92,803 Thereafter (2023-2036) 244,075 $ 934,164 The Company leases its corporate office space under an operating lease that commenced September 1, 2010. The lease was amended on October 25, 2016 to extend the lease through September 30, 2024. The lease has a five-year extension option. The lease includes a base annual rent and additional rent for the Company’s share of taxes and operating costs. Future minimum lease payments are as follows: Year ending (in thousands) December 31, 2018 $ 404 2019 412 2020 421 2021 429 2022 438 Thereafter 787 $ 2,891 Rent expense was approximately $420,000, $411,000 and $408,000 for the years ended December 31, 2017, 2016 and 2015, respectively, and is included in general and administration expenses in the consolidated statements of income. The Company has entered into the Sponsored REIT Loans described in Note 3, which provide for up to $79.5 million in borrowings of which $71.7 million have been drawn and were outstanding as of December 31, 2017. The Company anticipates that any advances made will be repaid at their maturity or earlier from long term financing of the underlying properties, cash flows of the underlying properties or some other capital events.

Retirement Plan

Retirement Plan	12 Months Ended
	Dec. 31, 2017
Retirement Plan
Retirement Plan	9. Retirement Plan In 2006, the Company established a 401(k) plan to cover eligible employees, which permitted deferral of up to $17,000 per year (indexed for inflation) into the 401(k) plan, subject to certain limitations imposed by the Internal Revenue Code. An employee’s elective deferrals are immediately vested upon contribution to the 401(k) plan. The Company matches employee contributions to the 401(k) plan dollar for dollar up to 3% of each employee’s annual compensation up to $200,000. In addition, we may elect to make an annual discretionary profit-sharing contribution. The Company’s total contribution under the 401(k) plan amounted to $132,000, $143,000 and $134,000 for the years ended December 31, 2017, 2016 and 2015, respectively.

Dispositions of Property

Dispositions of Property	12 Months Ended
	Dec. 31, 2017
Dispositions of property
Dispositions of properties	10. Dispositions of Property During the three months ended June 30, 2017, the Company reached a decision to classify an office property located in Baltimore, Maryland as an asset held for sale. In evaluating the Baltimore, Maryland property, management considered various subjective factors, including the time, cost and likelihood of successfully leasing the property, the effect of the property’s results on its unencumbered asset value, which is part of the leverage ratio used to compare to a maximum leverage covenant in the JPM Term Loan, BMO Term Loan and the BAML Credit Facility, future capital costs to upgrade and reposition the multi-tenant property and to lease up the building, recent leasing and economic activity in the local area, and offers to purchase the property. The Company concluded that selling the property was the more prudent decision and outweighed the potential future benefit of continuing to hold the property. The property was expected to sell within one year at a loss, which was recorded as a provision for loss on a property held for sale of $20.5 million net of applicable income taxes and was classified as an asset held for sale of $31.9 million at June 30, 2017. During the three months ended September 30, 2017, the Company increased the provision for loss by $0.3 million to $20.7 million net of applicable income taxes, and the property was classified as an asset held for sale in the amount of $31.6 million at September 30, 2017. The Company sold the property on October 20, 2017 for net proceeds of $31.6 million resulting in a total loss of $20.8 million, net of applicable income taxes. During the three months ended December 31, 2016, the Company reached an agreement to sell an office property located in Milpitas, California. The property was classified as an asset held for sale at December 31, 2016 and was sold on January 6, 2017 at approximately a $2.3 million gain. The Company sold an office property located in Maryland Heights, Missouri on April 5, 2016, at a $4.2 million gain. During the three months ended June 30, 2016, the Company reached a decision to classify its office property located in Federal Way, Washington, as an asset held for sale. In evaluating the Federal Way, Washington property, management considered various subjective factors, including the time, cost and likelihood of successfully leasing the property, the effect of the property’s results on its unencumbered asset value, which is part of the leverage ratio used to compare to a maximum leverage covenant in the BMO Term Loan and the BAML Credit Facility, future capital costs to upgrade and reposition the multi-tenant property and to lease up the building, recent leasing and economic activity in the local area, and offers to purchase the property. The Company concluded that selling the property was the more prudent decision and outweighed the potential future benefit of continuing to hold the property. The property was expected to sell within one year at a loss, which was recorded as a provision for loss on a property held for sale of $4.8 million net of applicable income taxes and was classified as an asset held for sale of $9.3 million at June 30, 2016. During the three months ended September 30, 2016, we increased the provision for loss by $0.5 million to $5.3 million net of applicable income taxes and the property, was classified as an asset held for sale in the amount of $8.8 million at September 30, 2016. The Company estimated the fair value of the property, less estimated costs to sell using the offers to purchase the property made by third parties (Level 3 inputs, as there is no active market). The Company sold the property on December 16, 2016 for $7.3 million of net proceeds resulting in a total loss of $7.1 million, net of applicable income taxes. The Company sold an office property located in Plano, Texas on February 23, 2015 at a $1.5 million gain, sold an office property located in Eden Prairie, Minnesota on March 31, 2015 at a $9.0 million gain, sold an office property located in Charlotte, North Carolina on May 13, 2015 at a $0.9 million gain and sold an office property located in San Jose, California on December 9, 2015 at a $12.3 million gain.

Subsequent Events

Subsequent Events	12 Months Ended
	Dec. 31, 2017
Subsequent Events
Subsequent Events	11. Subsequent Events On January 5, 2018, the Board of Directors of the Company declared a cash distribution of $0.19 per share of common stock payable on February 8, 2018 to stockholders of record on January 19, 2018.

Selected Unaudited Quarterly In

Selected Unaudited Quarterly Information	12 Months Ended
	Dec. 31, 2017
Selected Unaudited Quarterly Information
Selected Unaudited Quarterly Information	12. Selected Unaudited Quarterly Information Selected unaudited quarterly information is shown in the following table: 2017 First Second Third Fourth Quarter Quarter Quarter Quarter (in thousands, except per share data) Revenue $ 68,756 $ 68,371 $ 68,626 $ 66,835 Income (loss) from continuing operations $ 4,480 $ (17,395) $ 1,903 $ (4,932) Income from discontinued operations $ — $ — $ — $ — Net income (loss) $ 4,480 $ (17,395) $ 1,903 $ (4,932) Basic and diluted net income (loss) per share $ 0.04 $ (0.16) $ 0.02 $ (0.05) Weighted average number of shares outstanding 107,231 107,231 107,231 107,231 2016 First Second Third Fourth Quarter Quarter Quarter Quarter (in thousands, except per share data) Revenue $ 59,813 $ 60,807 $ 63,280 $ 65,988 Income from continuing operations $ 2,579 $ 1,612 $ 2,458 $ 1,729 Income from discontinued operations $ — $ — $ — $ — Net income $ 2,579 $ 1,612 $ 2,458 $ 1,729 Basic and diluted net income per share $ 0.03 $ 0.02 $ 0.02 $ 0.02 Weighted average number of shares outstanding 100,187 100,187 103,709 107,231

Schedule II Valuation and quali

Schedule II Valuation and qualifying accounts	12 Months Ended
	Dec. 31, 2017
Schedule II Valuation and qualifying accounts:
Schedule II Valuation and qualifying accounts:	Schedule II Franklin Street Properties Corp. Valuation and qualifying accounts: Additions (Decreases) Balance at charged to Balance (in thousands) beginning costs and at end Classification of year expenses Deductions Other of year Allowance for doubtful accounts 2015 $ 325 $ (106) $ (89) $ — 130 2016 130 78 (108) — 100 2017 100 178 (28) — 250 Straight-line rent allowance for doubtful accounts 2015 $ 162 $ (112) $ — $ — 50 2016 50 — — — 50 2017 50 — — — 50

SCHEDULE III REAL ESTATE AND AC

SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION	12 Months Ended
	Dec. 31, 2017
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION
SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION	SCHEDULE III FRANKLIN STREET PROPERTIES CORP. REAL ESTATE AND ACCUMULATED DEPRECIATION December 31, 2016 Initial Cost Historical Cost Costs Capitalized Buildings Total Costs, Buildings (Disposals) Improvements Net of Depreciable Date of Encumbrances Improvements Subsequent to and Accumulated Accumulated Life Year Acquisition Description (1) Land and Equipment Acquisition Land Equipment Total (2) Depreciation Depreciation Years Built (3) (in thousands) Commercial Properties: Forest Park, Charlotte, NC — $ 1,559 $ 5,672 $ 170 $ 1,559 $ 5,842 $ 7,401 2,280 $ 5,121 5 - 39 1999 1999 Meadow Point, Chantilly, VA — 2,634 18,911 7,028 2,634 25,939 28,573 11,647 16,926 5 - 39 1999 2001 Timberlake, Chesterfield, MO — 2,984 38,661 8,048 2,984 46,709 49,693 17,149 32,544 5 - 39 1999 2001 Northwest Point, Elk Grove Village, IL — 2,914 26,295 8,881 2,914 35,176 38,090 16,302 21,788 5 - 39 1999 2001 Timberlake East, Chesterfield, MO — 2,626 17,608 4,464 2,626 22,072 24,698 7,845 16,853 5 - 39 2000 2002 Park Ten, Houston, TX — 1,061 21,303 4,317 567 26,114 26,681 10,893 15,788 5 - 39 1999 2002 Addison, Addison, TX — 4,325 48,040 7,233 4,325 55,273 59,598 19,019 40,579 5 - 39 1999 2002 Collins, Richardson, TX — 4,000 42,598 6,962 4,000 49,560 53,560 18,644 34,916 5 - 39 1999 2003 Greenwood, Englewood, CO — 3,100 30,201 10,038 3,100 40,239 43,339 13,807 29,532 5 - 39 2000 2005 River Crossing, Indianapolis, IN — 3,000 36,926 3,799 3,000 40,725 43,725 13,287 30,438 5 - 39 1998 2005 Innsbrook, Glenn Allen, VA — 5,000 40,216 4,175 5,000 44,391 49,391 14,796 34,595 5 - 39 1999 2003 380 Interlocken, Bloomfield, CO — 8,275 34,462 8,490 8,275 42,952 51,227 15,387 35,840 5 - 39 2000 2003 Blue Lagoon, Miami, FL — 6,306 46,124 1,877 6,306 48,001 54,307 15,344 38,963 5 - 39 2002 2003 Eldridge Green, Houston, TX — 3,900 43,791 3,941 3,900 47,732 51,632 15,312 36,320 5 - 39 1999 2004 Liberty Plaza, Addison, TX — 4,374 21,146 6,657 4,374 27,803 32,177 9,402 22,775 5 - 39 1985 2006 One Overton, Atlanta, GA — 3,900 77,229 11,479 3,900 88,708 92,608 28,375 64,233 5 - 39 2002 2006 390 Interlocken, Broomfield, CO — 7,013 37,751 6,556 7,013 44,307 51,320 13,405 37,915 5 - 39 2002 2006 Park Ten II, Houston, TX — 1,300 31,712 479 1,300 32,191 33,491 8,257 25,234 5 - 39 2006 2006 Dulles Virginia, Sterling, VA — 4,813 13,285 5,539 4,813 18,824 23,637 4,573 19,064 5 - 39 1999 2008 Stonecroft, Chantilly, VA — 2,102 18,003 — 2,102 18,003 20,105 3,924 16,181 5 - 39 2008 2009 121 South Eight Street, Minneapolis, MN — 4,444 15,214 15,992 4,444 31,206 35,650 5,918 29,732 5 - 39 1974 2010 801 Marquette Ave South, Minneapolis, MN — 4,184 — 16,541 4,184 16,541 20,725 31 20,694 5 - 39 1923 2010 909 Davis, Evanston, IL — 4,912 18,229 4,033 4,912 22,262 27,174 3,444 23,730 5 - 39 2002 2011 Emperor Boulevard, Durham, NC — 2,423 53,997 53 2,423 54,050 56,473 9,469 47,004 5 - 39 2009 2011 Legacy Tennyson Center, Plano, TX — 3,067 22,064 793 3,067 22,857 25,924 3,934 21,990 5 - 39 2008 2011 One Legacy Circle, Plano, TX — 2,590 36,608 1,004 2,590 37,612 40,202 6,968 33,234 5 - 39 2008 2011 One Ravinia Drive, Atlanta, GA — 2,686 35,125 5,495 2,686 40,620 43,306 6,297 37,009 5 - 39 1985 2012 Two Ravinia Drive, Atlanta, GA — 7,375 58,726 7,770 7,375 66,496 73,871 4,621 69,250 5 - 39 1987 2015 Westchase I & II, Houston, TX — 8,491 121,508 5,680 8,491 127,188 135,679 17,524 118,155 5 - 39 2008 2012 1999 Broadway, Denver CO — 16,334 137,726 12,339 16,334 150,065 166,399 18,211 148,188 5 - 39 1986 2013 999 Peachtree, Atlanta, GA — 10,187 107,727 11,130 10,187 118,857 129,044 13,654 115,390 5 - 39 1987 2013 1001 17th Street, Denver, CO — 17,413 165,058 6,397 17,413 171,455 188,868 19,410 169,458 5 - 39 2006 2013 Plaza Seven, Minneapolis, MN — 6,604 54,240 7,016 6,604 61,256 67,860 2,899 64,961 5 - 39 1987 2016 Pershing Plaza, Atlanta, GA — 5,300 34,158 525 5,300 34,683 39,983 1,254 38,729 5 - 39 1989 2016 600 17th Street, Denver, CO — 20,876 99,941 1,595 20,876 101,536 122,412 2,849 119,563 5 - 39 1982 2016 Balance — Real Estate — $ 192,072 $ 1,610,255 $ 206,496 $ 191,578 $ 1,817,245 $ 2,008,823 $ 376,131 $ 1,632,692 (1) There are no encumbrances on the above properties. (2) The aggregate cost for Federal Income Tax purposes is $2,210,883. (3) Original date of acquisition by Sponsored Entity. The following table summarizes the changes in the Company’s real estate investments and accumulated depreciation: December 31, (in thousands) 2017 2016 2015 Real estate investments, at cost: Balance, beginning of year $ 2,027,520 $ 1,809,615 $ 1,790,591 Acquisitions — 221,119 66,104 Improvements 54,097 39,438 23,171 Assets held for sale — (5,023) — Dispositions (72,794) (42,652) (70,251) Balance -Real Estate 2,008,823 2,022,497 1,809,615 Assets held for sale — 5,023 — Balance, end of year $ 2,008,823 $ 2,027,520 $ 1,809,615 Accumulated depreciation: Balance, beginning of year $ 338,506 $ 299,991 $ 266,284 Depreciation 57,312 52,466 49,637 Assets held for sale — (1,278) — Dispositions (19,687) (13,951) (15,930) Balance - Accumulated Depreciation 376,131 337,228 299,991 Assets held for sale — 1,278 — Balance, end of year $ 376,131 $ 338,506 $ 299,991

Significant Accounting Polici22

Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2017
Significant Accounting Policies
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements include all of the accounts of the Company and its majority-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation.
Estimates and Assumptions	Estimates and Assumptions The Company prepares its financial statements and related notes in conformity with accounting principles generally accepted in the United States of America (“GAAP”). These principles require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates in the consolidated financial statements include the allowance for doubtful accounts, purchase price allocations, useful lives of fixed assets and the valuation of derivatives.
Real Estate and Depreciation	Real Estate and Depreciation Real estate assets are stated at cost less accumulated depreciation. If the Company determines that impairment has occurred, the affected assets are reduced to their fair value. The Company allocates the value of real estate acquired among land, buildings and identified intangible assets or liabilities. Costs related to land, building and improvements are capitalized. Typical capital items include new roofs, site improvements, various exterior building improvements and major interior renovations. Costs incurred in connection with leasing (primarily tenant improvements and leasing commissions) are capitalized and amortized over the lease period. Routine replacements and ordinary maintenance and repairs that do not extend the life of the asset are expensed as incurred. Funding for repairs and maintenance items typically is provided by cash flows from operating activities. Depreciation is computed using the straight-line method over the assets’ estimated useful lives as follows: Category Years Commercial buildings 39 Building improvements 15 - 39 Fixtures and equipment 3 - 7 The Company reviews its properties to determine if their carrying amounts will be recovered from future operating cash flows if certain indicators of impairment are identified at those properties. The evaluation of anticipated cash flows is highly subjective and is based in part on assumptions regarding future occupancy, rental rates and capital requirements that could differ materially from actual results in future periods. Since cash flows are considered on an undiscounted basis in the analysis that the Company conducts to determine whether an asset has been impaired, the Company’s strategy of holding properties over the long term directly decreases the likelihood of recording an impairment loss. If the Company’s strategy changes or market conditions otherwise dictate an earlier sale date, an impairment loss may be recognized.
Acquired Real Estate Leases and Amortization	Acquired Real Estate Leases and Amortization The Company recorded the value of acquired real estate leases as a result of three acquisitions in 2016 and one acquisition in 2015. Acquired real estate leases represent costs associated with acquiring an in-place lease (i.e., the market cost to execute a similar lease, including leasing commission, tenant improvements, legal, vacancy and other related costs) and the value relating to leases with rents above the market rate. Amortization is computed using the straight-line method over the term of the leases, which range from 6 months to 281 months. Amortization expense of these combined components was approximately $38,970,000, $36,854,000 and $38,829,000 for the years ended December 31, 2017, 2016 and 2015, respectively. Amortization related to costs associated with acquiring an in-place lease is included in depreciation and amortization on the consolidated statements of income. Amortization related to leases with rents above the market rate is offset against the rental revenue in the consolidated statements of income. The estimated annual amortization expense for the five years and thereafter following December 31, 2017 is as follows: (in thousands) December 31, 2018 $ 27,214 2019 18,644 2020 12,721 2021 9,022 2022 5,427 2023 and thereafter 13,492
Acquired Unfavorable Real Estate Leases and Amortization	Acquired Unfavorable Real Estate Leases and Amortization The Company recorded the value of acquired unfavorable leases as a result three acquisitions in 2016 and one acquisition in 2015. Acquired unfavorable real estate leases represent the value relating to leases with rents below the market rate. Amortization is computed using the straight-line method over the term of the leases, which range from 7 months to 176 months. Amortization expense was approximately $3,117,000, $3,292,000 and $3,242,000 for the years ended December 31, 2017, 2016 and 2015, respectively. Amortization related to leases with rents below the market rate is included with rental revenue in the consolidated statements of income. The estimated annual amortization for the five years and thereafter following December 31, 2017 is as follows: (in thousands) December 31, 2018 $ 2,039 2019 1,319 2020 950 2021 620 2022 346 2023 and thereafter 532
Assets held for sale	Asset Held For Sale Classification of a property as held for sale typically occurs upon the execution of a purchase and sale agreement and belief by management that the sale or disposition is probable of occurrence within one year. Upon determining that a property was held for sale, the Company discontinues depreciating the property and reflects the property in its consolidated balance sheet at the lower of its carrying amount or fair value less the cost to sell. The Company presents the property held for sale on its consolidated balance sheet as “Asset held for sale”. The Company reports the results of operations of its properties sold or held for sale in its consolidated statements of income through the date of sale.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid instruments purchased with an original maturity of three months or less to be cash equivalents.
Restricted Cash	Restricted Cash Restricted cash consists of tenant security deposits, which are required by law in some states or by contractual agreement to be kept in a segregated account, and escrows arising from property sales. Tenant security deposits are refunded when tenants vacate, provided that the tenant has not damaged the property. Cash held in escrow is paid when the related issue is resolved. Restricted cash also may include funds segregated for specific tenant improvements per lease agreements.
Tenant Rent Receivables	Tenant Rent Receivables Tenant rent receivables are expected to be collected within one year. The Company provides an allowance for doubtful accounts based on its estimate of a tenant’s ability to make future rent payments. The computation of this allowance is based in part on the tenants’ payment history and current credit status. The Company wrote off $28,000 and increased its allowance by $178,000 during 2017; wrote off $108,000 in receivables and increased its allowance by $78,000 during 2016; and wrote-off $89,000 in receivables and decreased its allowance by $106,000 during 2015, based on such analysis.
Related Party Mortgage Loan Receivable	Related Party Mortgage Loan Receivable Management monitors and evaluates the secured loans compared to the expected performance, cash flow and value of the underlying real estate and has not experienced a loss on these loans to date.
Concentration of Credit Risks	Concentration of Credit Risks Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash investments, derivatives and accounts receivable. The Company maintains its cash balances principally in two banks which the Company believes to be creditworthy. The Company periodically assesses the financial condition of the banks and believes that the risk of loss is minimal. Cash balances held with various financial institutions frequently exceed the insurance limit of $250,000 provided by the Federal Deposit Insurance Corporation. The derivatives that we have are from two interest rate swap agreements that are discussed in Note 6. The Company performs ongoing credit evaluations of our tenants and requires certain tenants to provide security deposits or letters of credit. Though these security deposits and letters of credit are insufficient to meet the total value of a tenant’s lease obligation, they are a measure of good faith and a source of funds to offset the economic costs associated with lost rent and the costs associated with re-tenanting the space. The Company has no single tenant which accounts for more than 10% of its annualized rent.
Financial Instruments	Financial Instruments The Company estimates that the carrying values of cash and cash equivalents, restricted cash, receivables, prepaid expenses, accounts payable and accrued expenses, accrued compensation, and tenant security deposits approximate their fair values based on their short-term maturity and the bank note and term loans payable approximate their fair values as they bear interest at variable interest rates.
Straight-line Rent Receivable	Straight-line Rent Receivable Certain leases provide for fixed rent increases over the term of the lease. Rental revenue is recognized on a straight-line basis over the related lease term; however, billings by the Company are based on the lease agreements. Straight-line rent receivable, which is the cumulative revenue recognized in excess of amounts billed by the Company, was $53,194,000 and $50,930,000 at December 31, 2017 and 2016, respectively. The Company provides an allowance for doubtful accounts based on its estimate of a tenant’s ability to make future rent payments. The computation of this allowance is based in part on the tenants’ payment history and current credit status. The reserve balance was not changed during 2017 or 2016 and the Company wrote off $112,000 in receivables during 2015, based on such analysis.
Deferred Leasing Commissions	Deferred Leasing Commissions Deferred leasing commissions represent direct and incremental external leasing costs incurred in the leasing of commercial space. These costs are capitalized and are amortized on a straight-line basis over the terms of the related lease agreements. Amortization expense was approximately $6,919,000, $6,272,000 and $5,680,000 for the years ended December 31, 2017, 2016 and 2015, respectively. The estimated annual amortization for the five years and thereafter following December 31, 2017 is as follows: (in thousands) December 31, 2018 $ 7,655 2019 7,027 2020 6,148 2021 5,379 2022 4,112 2023 and thereafter 10,358
Common Share Repurchases	Common Share Repurchases The Company recognizes the gross cost of the common shares it repurchases as a reduction in stockholders’ equity using the treasury stock method. Maryland law does not recognize a separate treasury stock account but provides that shares repurchased are classified as authorized but unissued shares. Accordingly, the Company reduces common stock for the par value and the excess of the purchase price over the par value is a reduction to additional paid-in capital.
Revenue Recognition	Revenue Recognition Rental Revenue - The Company has retained substantially all of the risks and benefits of ownership of the Company’s commercial properties and accounts for its leases as operating leases. Rental revenue includes income from leases, certain reimbursable expenses, straight-line rent adjustments and other income associated with renting the property. Rental income from leases, which includes rent concessions (including free rent and other lease inducements) and scheduled increases in rental rates during the lease term, is recognized on a straight-line basis. The Company does not have any significant percentage rent arrangements with its commercial property tenants. Reimbursable expenses are included in rental income in the period earned. A summary of rental revenue is shown in the following table: Year Ended December 31, (in thousands) 2017 2016 2015 Income from leases $ 205,690 $ 192,055 $ 185,738 Reimbursable expenses 58,777 49,821 49,512 Straight-line rent adjustment 1,767 1,977 2,448 Amortization of favorable and unfavorable leases 1,031 496 158 $ 267,265 $ 244,349 $ 237,856
Rental Revenue	Rental Revenue - The Company has retained substantially all of the risks and benefits of ownership of the Company’s commercial properties and accounts for its leases as operating leases. Rental revenue includes income from leases, certain reimbursable expenses, straight-line rent adjustments and other income associated with renting the property. Rental income from leases, which includes rent concessions (including free rent and other lease inducements) and scheduled increases in rental rates during the lease term, is recognized on a straight-line basis. The Company does not have any significant percentage rent arrangements with its commercial property tenants. Reimbursable expenses are included in rental income in the period earned. A summary of rental revenue is shown in the following table: Year Ended December 31, (in thousands) 2017 2016 2015 Income from leases $ 205,690 $ 192,055 $ 185,738 Reimbursable expenses 58,777 49,821 49,512 Straight-line rent adjustment 1,767 1,977 2,448 Amortization of favorable and unfavorable leases 1,031 496 158 $ 267,265 $ 244,349 $ 237,856
Related Party and Other Revenue	Related Party and Other Revenue - Property and asset management fees, interest income on loans and other income are recognized when the related services are performed and the earnings process is complete.
Segment Reporting	Segment Reporting The Company is a REIT focused on real estate investments primarily in the office market and currently operates in only one segment: real estate operations.
Income Taxes	Income Taxes Taxes on income for the years ended December 31, 2017, 2016 and 2015 represent taxes incurred by FSP Protective TRS Corp, which is a taxable REIT subsidiary and the State of Texas franchise tax applicable to FSP Corp., which is classified as an income tax for reporting purposes.
Net Income Per Share	Net Income Per Share Basic net income per share is computed by dividing net income by the weighted average number of shares outstanding during the period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue shares were exercised or converted into shares. There were no potential dilutive shares outstanding at December 31, 2017, 2016, and 2015. The denominator used for calculating basic and diluted net income per share was 107,231,000, 102,843,000, and 100,187,000 for the years ended December 31, 2017, 2016, and 2015, respectively.
Derivative Instruments	Derivative Instruments The Company recognizes derivatives on the consolidated balance sheets at fair value. Derivatives that do not qualify, or are not designated as hedge relationships, must be adjusted to fair value through income. Derivative instruments designated in a hedge relationship to mitigate exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Cash flow hedges are accounted for by recording the fair value of the derivative instrument on the consolidated balance sheets as either an asset or liability. To the extent hedges are effective, a corresponding amount, adjusted for swap payments, is recorded in accumulated other comprehensive income within stockholders’ equity. Amounts are then reclassified from accumulated other comprehensive income to the income statement in the period or periods the hedged forecasted transaction affects earnings. Ineffectiveness, if any, is recorded in the income statement. The Company reviews the effectiveness of each hedging transaction, which involves estimating future cash flows, at least quarterly. Derivative instruments designated in a hedge relationship to mitigate exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. The Company currently has no fair value hedges outstanding. Fair values of derivatives are subject to significant variability based on changes in interest rates and counterparty credit risk. The results of such variability could be a significant increase or decrease in our derivative assets, derivative liabilities, book equity, and/or earnings.
Fair Value Measurements	Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is also an established fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value. Financial assets and liabilities recorded on the consolidated balance sheets at fair value are categorized based on the inputs to the valuation techniques as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs may include quoted prices for similar assets and liabilities in active markets, as well as inputs that are observable for the asset or liability (other than quoted prices), such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, which is typically based on an entity’s own assumptions, as there is little, if any, related market activity or information. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability including credit risk, which was not significant to the overall value. These inputs were considered and applied to the Company’s derivative, and Level 2 inputs were used to value the interest rate swap.
Subsequent Events	Subsequent Events In preparing these consolidated financial statements the Company evaluated events that occurred through the date of issuance of these financial statements for potential recognition or disclosure.
Recent Accounting Standards	Recent Accounting Standards In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“Topic 606”), which provides guidance for revenue recognition. The standard’s core principle is that a company will recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. This update is effective for interim and annual reporting periods beginning after December 15, 2017. A substantial portion of our revenue consists of rental income from leasing arrangements, which is specifically excluded from Topic 606. The Company plans to adopt Topic 606 using the modified retrospective approach effective January 1, 2018 and the adoption will not have an impact on the timing of revenue recognition in the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), (“ASU 2016-02). ASU 2016-02 requires lessees to establish a lease liability for the obligation to make lease payments and a right of use asset for the right to use the underlying asset for the lease term on their balance sheets. Lessees will continue to recognize lease expenses on their income statements in a manner similar to current accounting. The guidance also eliminates current real estate-specific provisions for all entities. For lessors, the guidance modifies the classification criteria and the accounting for sales-type and direct financing leases. This new standard is effective for annual periods beginning after December 15, 2018, and interim periods thereafter with early adoption permitted. The Company is currently evaluating the potential changes from ASU 2016-02 to future financial reporting and disclosures. The Company expects the adoption of this standard in 2019 will increase our assets and liabilities by approximately $3 million for the addition of right-of-use assets and lease liabilities related to an operating lease for office space; however, we do not expect it to have a material impact to our results of operations or liquidity. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires that entities use a new forward looking “expected loss” model that generally will result in the earlier recognition of allowance for credit losses. The measurement of expected credit losses is based upon historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. ASU No. 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. We are currently assessing the potential impact the adoption of ASU No. 2016-13 will have in our condensed consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”), which clarifies how reporting entities should present and classify certain cash receipts and cash payments in the statement of cash flows. ASU 2016-15 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. We do note expect that the adoption of ASU 2016-15 will have a material impact on our consolidated financial statements. In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash (“ASU 2016-18”), which clarifies how reporting entities should present restricted cash and restricted cash equivalents. Reporting entities will show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. The new standard requires a reconciliation of the totals in the statement of cash flows to the related captions in the balance sheets. ASU 2016-18 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Upon the adoption of ASU No. 2016-18, we will reconcile both cash and cash equivalents and restricted cash and restricted cash equivalents, whereas under the current guidance we explain the changes during the period for cash and cash equivalents only. In January 2017, the FASB issued ASU No. 2017-01, Clarifying the Definition of a Business (“ASU 2017-01”), which provides additional guidance on evaluating whether transactions should be accounted for as an acquisition (or disposal) of assets of a business. The update defines three requirements for a set of assets and activities (collectively referred to as a “set”) to be considered a business: inputs, processes and outputs. ASU 2017-01 is effective for annual periods beginning after December 15, 2017, including interim periods within those fiscal years. This update will be applied prospectively to any transactions occurring within the period of adoption. Subsequent to adoption, we believe certain property acquisitions which under previous guidance would have been accounted for as business combinations will be accounted for as acquisitions of assets. In an acquisition of assets, certain acquisition costs are capitalized as opposed to expensed under business combination guidance.

Significant Accounting Polici23

Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2017
Significant Accounting Policies
Schedule of estimated useful lives of real estate assets	Category Years Commercial buildings 39 Building improvements 15 - 39 Fixtures and equipment 3 - 7
Schedule of estimated annual amortization expense for succeeding five years for acquired in-place lease and above-market leases	(in thousands) December 31, 2018 $ 27,214 2019 18,644 2020 12,721 2021 9,022 2022 5,427 2023 and thereafter 13,492
Schedule of estimated annual amortization for unfavorable leases	(in thousands) December 31, 2018 $ 2,039 2019 1,319 2020 950 2021 620 2022 346 2023 and thereafter 532
Schedule of estimated annual amortization for deferred leasing commissions	(in thousands) December 31, 2018 $ 7,655 2019 7,027 2020 6,148 2021 5,379 2022 4,112 2023 and thereafter 10,358
Summary of rental revenue	Year Ended December 31, (in thousands) 2017 2016 2015 Income from leases $ 205,690 $ 192,055 $ 185,738 Reimbursable expenses 58,777 49,821 49,512 Straight-line rent adjustment 1,767 1,977 2,448 Amortization of favorable and unfavorable leases 1,031 496 158 $ 267,265 $ 244,349 $ 237,856

Related Party Transactions an24

Related Party Transactions and Investments in Non-Consolidated Entities (Tables)	12 Months Ended
	Dec. 31, 2017
Related Party Transactions and Investments in Non-Consolidated Entities
Schedule of equity in losses of investments in non-consolidated REITs	Year Ended December 31, (in thousands) 2017 2016 2015 Equity in losses of East Wacker $ 428 $ 563 $ 1,352 Equity in losses of Grand Boulevard 657 268 99 Impairment charge 2,519 — — $ 3,604 $ 831 $ 1,451
Schedule of distributions received from non-consolidated REITs	Year Ended December 31, (in thousands) 2017 2016 2015 Distributions from East Wacker $ 1,289 $ 916 $ — Distributions from Grand Boulevard 107 107 107 $ 1,396 $ 1,023 $ 107
Summary of financial information of Sponsored REITs	December 31, December 31, (in thousands) 2017 2016 Balance Sheet Data (unaudited): Real estate, net $ 312,861 $ 345,532 Other assets 74,076 86,594 Total liabilities (151,092) (164,820) Shareholders’ equity $ 235,845 $ 267,306 For the Year Ended December 31, (in thousands) 2017 2016 2015 Operating Data (unaudited): Rental revenues $ 53,249 $ 54,257 $ 57,777 Other revenues 7 39 34 Operating and maintenance expenses (27,495) (29,186) (31,693) Depreciation and amortization (18,395) (18,274) (21,149) Interest expense (8,281) (8,481) (9,920) Gain (loss) on sale, less applicable income tax (702) 26,397 — Net income (loss) $ (1,617) $ 24,752 $ (4,951)
Summary of the Sponsored REIT Loans outstanding	Maximum Amount Interest (dollars in thousands) Maturity Amount Drawn at Interest Draw Rate at Sponsored REIT Location Date of Loan 31-Dec-17 Rate (1) Fee (2) 31-Dec-17 Secured revolving lines of credit FSP Satellite Place Corp. Duluth, GA 31-Dec-19 $ 5,500 $ 2,120 L+ 4.4 % 0.5 % 5.78 % FSP Energy Tower I Corp. (3) Houston, TX 30-Jun-19 20,000 15,600 L+ 5.0 % 0.5 % 6.38 % Mortgage loan secured by property FSP Monument Circle LLC (4) Indianapolis, IN 7-Dec-18 21,000 21,000 4.90 % n/a 4.90 % FSP Energy Tower I Corp. (3) (5) Houston, TX 30-Jun-19 33,000 33,000 6.41 % n/a 6.41 % $ 79,500 $ 71,720 (1) The interest rate is 30-day LIBOR rate plus the additional rate indicated, otherwise a fixed rate. (2) The draw fee is a percentage of each new advance, and is paid at the time of each new draw. (3) These loans were extended on June 16, 2017. (4) This mortgage loan includes an origination fee of $164,000 and an exit fee of $38,000 when repaid by the borrower. (5) This mortgage loan includes an annual extension fee of $108,900 paid by the borrower.

Bank Note Payable, Term Note 25

Bank Note Payable, Term Note Payable and Private Placements (Tables)	12 Months Ended
	Dec. 31, 2017
BAML Revolver
Debt Instrument [Line Items]
Schedule of actual amount of applicable facility fee, LIBOR rate or base rate determined based on total leverage ratio	Base LIBOR Rate Facility Rate Level Credit Rating Margin Fee Margin I A- / A3 (or higher) 0.825 % 0.125 % 0.000 % II BBB+ / Baa1 0.875 % 0.150 % 0.000 % III BBB / Baa2 1.000 % 0.200 % 0.000 % IV BBB- / Baa3 1.200 % 0.250 % 0.200 % V <BBB- / Baa3 1.550 % 0.300 % 0.550 %
BAML Term Loan
Debt Instrument [Line Items]
Schedule of actual amount of applicable facility fee, LIBOR rate or base rate determined based on total leverage ratio	LIBOR Rate Base Rate Level Credit Rating Margin Margin I A- / A3 (or higher) 0.900 % 0.000 % II BBB+ / Baa1 0.950 % 0.000 % III BBB / Baa2 1.100 % 0.100 % IV BBB- / Baa3 1.350 % 0.350 % V <BBB- / Baa3 1.750 % 0.750 %
JPM Term Loan
Debt Instrument [Line Items]
Schedule of actual amount of applicable facility fee, LIBOR rate or base rate determined based on total leverage ratio	EURODOLLAR CREDIT RATE BASE RATE LEVEL RATING MARGIN MARGIN I BBB / Baa2 (or higher) 110.0 bps 10.0 bps II BBB- / Baa3 135.0 bps 35.0 bps III <BBB- / Baa3 185.0 bps 85.0 bps
BMO Term Loan
Debt Instrument [Line Items]
Schedule of actual amount of applicable facility fee, LIBOR rate or base rate determined based on total leverage ratio	Credit LIBOR Rate Base Rate Level Rating Margin Margin I A- / A3 (or higher) 105.0 bps 5.0 bps II BBB+ / Baa1 115.0 bps 15.0 bps III BBB / Baa2 135.0 bps 35.0 bps IV BBB- / Baa3 165.0 bps 65.0 bps V <BBB- / Baa3 215.0 bps 115.0 bps

Financial Instruments_ Deriva26

Financial Instruments: Derivatives and Hedging (Tables)	12 Months Ended
	Dec. 31, 2017
Financial Instruments: Derivatives and Hedging
Schedule of notional and fair value of derivative financial instruments	Notional Strike Effective Expiration Fair (in thousands) Value Rate Date Date Value 2017 Interest Rate Swap $ 400,000 1.12 % Sep-17 Sep-21 $ 13,925 BMO Interest Rate Swap $ 220,000 2.32 % Aug-13 Aug-20 $ (1,759)

Federal Income Tax Reporting (T

Federal Income Tax Reporting (Tables)	12 Months Ended
	Dec. 31, 2017
Income Taxes
Schedule of income tax expense reflected in the condensed consolidated statements of income	For the Year Ended December 31, (Dollars in thousands) 2017 2016 2015 Revised Texas franchise tax $ 355 $ 352 $ 398 Other Taxes 45 66 35 Taxes on income $ 400 $ 418 $ 433
Schedule of reconciliation of book net income to taxable income	For the year ended December 31, (in thousands) 2017 2016 2015 Net income (loss) per books $ (15,944) $ 8,378 $ 35,014 Adjustments to book income (loss): Book depreciation and amortization 100,227 92,557 91,201 Tax depreciation and amortization (62,653) (59,171) (53,089) Tax basis more than book basis on assets sold (907) (576) (2,739) Straight line rent adjustment, net (2,977) (2,976) (3,493) Deferred rent, net 1,226 2 618 Non-taxable distributions (1,289) (970) — Other, net 6,582 (1,648) 995 Taxable income 24,265 35,596 68,507 Less: Capital gains recognized — — 10,360 Taxable income subject to distribution requirement $ 24,265 $ 35,596 $ 58,147
Summary of tax components of Company's common distribution paid per share	2017 2016 2015 Per Share % Per Share % Per Share % Ordinary income $ 0.24 31.74 % $ 0.39 50.82 % $ 0.60 79.17 % Capital gain (1) — — % — — % 0.09 11.60 % Return of capital 0.52 68.26 % 0.37 49.18 % 0.07 9.23 % Total $ 0.76 100 % $ 0.76 100 % $ 0.76 100 % (1) For 2015, 11.6% of the total distributions are taxed as capital gains, and, 5.96%, was taxed as an Unrecaptured Section 1250 gain.

Commitments (Tables)

Commitments (Tables)	12 Months Ended
	Dec. 31, 2017
Office buildings and industrial properties
Commitments
Schedule of future minimum lease payments	Year ending (in thousands) December 31, 2018 $ 180,321 2019 156,530 2020 139,250 2021 121,185 2022 92,803 Thereafter (2023-2036) 244,075 $ 934,164
Corporate office space
Commitments
Schedule of future minimum lease payments	Year ending (in thousands) December 31, 2018 $ 404 2019 412 2020 421 2021 429 2022 438 Thereafter 787 $ 2,891

Selected Unaudited Quarterly 29

Selected Unaudited Quarterly Information (Tables)	12 Months Ended
	Dec. 31, 2017
Selected Unaudited Quarterly Information
Schedule of selected unaudited quarterly information	2017 First Second Third Fourth Quarter Quarter Quarter Quarter (in thousands, except per share data) Revenue $ 68,756 $ 68,371 $ 68,626 $ 66,835 Income (loss) from continuing operations $ 4,480 $ (17,395) $ 1,903 $ (4,932) Income from discontinued operations $ — $ — $ — $ — Net income (loss) $ 4,480 $ (17,395) $ 1,903 $ (4,932) Basic and diluted net income (loss) per share $ 0.04 $ (0.16) $ 0.02 $ (0.05) Weighted average number of shares outstanding 107,231 107,231 107,231 107,231 2016 First Second Third Fourth Quarter Quarter Quarter Quarter (in thousands, except per share data) Revenue $ 59,813 $ 60,807 $ 63,280 $ 65,988 Income from continuing operations $ 2,579 $ 1,612 $ 2,458 $ 1,729 Income from discontinued operations $ — $ — $ — $ — Net income $ 2,579 $ 1,612 $ 2,458 $ 1,729 Basic and diluted net income per share $ 0.03 $ 0.02 $ 0.02 $ 0.02 Weighted average number of shares outstanding 100,187 100,187 103,709 107,231

Organization (Details)

Organization (Details)	12 Months Ended
	Dec. 31, 2017propertyentityitem	Dec. 31, 2016entity	Dec. 31, 2015entity
Organization
Number of REITs in which the entity holds non-controlling common stock interest | entity	6	7	9
Number of REITs in which the entity holds non-controlling preferred stock interest | entity	2
Number of Sponsored REITs | entity	6	7	9
Number of properties in redevelopment	1
Number of promissory notes secured by mortgages on real estate owned by Sponsored REITs	4
Properties
Number of properties | property	34
FSP Investments LLC
Organization
Ownership interest (as a percent)	100.00%
FSP Property Management LLC
Organization
Ownership interest (as a percent)	100.00%
FSP Holdings LLC
Organization
Ownership interest (as a percent)	100.00%
FSP Protective TRS Corp.
Organization
Ownership interest (as a percent)	100.00%
Mortgage loan secured by property
Organization
Number of promissory notes secured by mortgages on real estate owned by Sponsored REITs	2
Secured revolving lines of credit
Organization
Number of promissory notes secured by mortgages on real estate owned by Sponsored REITs	2

Significant Accounting Polici31

Significant Accounting Policies - Basis, Estimates and Inv in non-consolidated REITs (Detail)	Dec. 31, 2017USD ($)entity	Dec. 31, 2016entity	Dec. 31, 2015entity
Significant Accounting Policies
Number of corporations organized to operate as real estate investment trusts (REITs)	6	7	9
Number of REITs in which the entity holds non-controlling preferred stock interest	2
Required investment balance for recognition of distributions received as income | $	$ 0

Significant Accounting Polici32

Significant Accounting Policies - Inv in non-consolidated REITs (Details) - USD ($)	May 29, 2009	Dec. 27, 2007	May 31, 2009	Dec. 31, 2007
East Wacker
Investment in Sponsored REITs
Preferred shares purchased		965.75		965.75
Percentage of outstanding preferred shares purchased		43.70%		43.70%
Net cost of preferred shares purchased		$ 82,813,000		$ 82,813,000
Grand Boulevard
Investment in Sponsored REITs
Preferred shares purchased	175.5		175.5
Percentage of outstanding preferred shares purchased	27.00%		27.00%
Net cost of preferred shares purchased	$ 15,049,000		$ 15,049,000

Significant Accounting Polici33

Significant Accounting Policies - Estimated Useful Lives (Details)	12 Months Ended
	Dec. 31, 2017
Commercial buildings
Real Estate and Depreciation
Estimated useful life	39 years
Building improvements | Minimum
Real Estate and Depreciation
Estimated useful life	15 years
Building improvements | Maximum
Real Estate and Depreciation
Estimated useful life	39 years
Fixtures and equipment | Minimum
Real Estate and Depreciation
Estimated useful life	3 years
Fixtures and equipment | Maximum
Real Estate and Depreciation
Estimated useful life	7 years

Significant Accounting Polici34

Significant Accounting Policies - Acquired Real Estate Leases and Amortization (Details)	12 Months Ended
	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)item	Dec. 31, 2015USD ($)item
Acquired real estate leases and amortization
Number of acquisitions of properties with leases | item		3	1
Acquired in-place and above market real estate leases
Acquired real estate leases and amortization
Amortization expense	$ 38,970,000	$ 36,854,000	$ 38,829,000
Estimated annual amortization for succeeding five years
2,018	27,214,000
2,019	18,644,000
2,020	12,721,000
2,021	9,022,000
2,022	5,427,000
2023 and thereafter	$ 13,492,000
Acquired in-place and above market real estate leases | Minimum
Acquired real estate leases and amortization
Term of lease	6 months
Acquired in-place and above market real estate leases | Maximum
Acquired real estate leases and amortization
Term of lease	281 months

Significant Accounting Polici35

Significant Accounting Policies - Acquired Unfavorable Real Estate Leases and Amortization (Details)	12 Months Ended
	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)item	Dec. 31, 2015USD ($)item
Acquired Unfavorable Real Estate Leases and Amortization
Number of acquisitions of properties with leases | item		3	1
Acquired unfavorable real estate leases
Acquired Unfavorable Real Estate Leases and Amortization
Amortization	$ 3,117,000	$ 3,292,000	$ 3,242,000
Estimated annual amortization for succeeding five years
2,018	2,039,000
2,019	1,319,000
2,020	950,000
2,021	620,000
2,022	346,000
2023 and thereafter	$ 532,000
Acquired unfavorable real estate leases | Minimum
Acquired Unfavorable Real Estate Leases and Amortization
Term of lease	7 months
Acquired unfavorable real estate leases | Maximum
Acquired Unfavorable Real Estate Leases and Amortization
Term of lease	176 months

Significant Accounting Polici36

Significant Accounting Policies - Asset Held For Sale, Cash (Details)	12 Months Ended
	Dec. 31, 2017
Discontinued Operations
Time period within which sale or disposition of properties held for sale is probable	1 year

Significant Accounting Polici37

Significant Accounting Policies - Rent Receivables (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Tenant Rent Receivables and Straight-line Rent Receivable
Period within which tenant rent receivables are expected to be collected	1 year
Straight-line rent receivable	$ 53,194,000	$ 50,930,000
Allowance for doubtful accounts - Tenant rent receivables
Tenant Rent Receivables and Straight-line Rent Receivable
Increase (decrease) in allowance	178,000	78,000	$ (106,000)
Receivables written-off	$ 28,000	$ 108,000	89,000
Allowance for doubtful accounts - Straight-line rent receivable
Tenant Rent Receivables and Straight-line Rent Receivable
Increase (decrease) in allowance			(112,000)
Receivables written-off			$ 112,000

Significant Accounting Polici38

Significant Accounting Policies - Concentration of Credit Risks (Details)	12 Months Ended
	Dec. 31, 2017USD ($)item
Concentration of Credit Risks
Number of banks in which the entity maintains cash balances	2
Number of interest rate swap agreements	2
Cash balances with financial institutions | Credit concentration risk | Minimum
Concentration of Credit Risks
Insurance limit provided by Federal Deposit Insurance Corporation | $	$ 250,000
Annualized rental revenues | Single tenant rental revenues
Concentration of Credit Risks
Percentage of annualized rental revenues required for qualification as major tenant	10.00%

Significant Accounting Polici39

Significant Accounting Policies - Deferred Leasing Commissions and Revenue Recognition (Details)	3 Months Ended								12 Months Ended
	Dec. 31, 2017USD ($)shares	Sep. 30, 2017shares	Jun. 30, 2017shares	Mar. 31, 2017shares	Dec. 31, 2016shares	Sep. 30, 2016shares	Jun. 30, 2016shares	Mar. 31, 2016shares	Dec. 31, 2017USD ($)itemshares	Dec. 31, 2016USD ($)shares	Dec. 31, 2015USD ($)shares
Deferred Leasing Commissions
Amortization of deferred leasing commissions									$ 6,919,000	$ 6,272,000	$ 5,680,000
Estimated annual amortization of deferred leasing commissions for the succeeding five years
2,018									7,655,000
2,019									7,027,000
2,020									6,148,000
2,021									5,379,000
2,022									4,112,000
2023 and thereafter									10,358,000
Summary of rental revenue
Income from leases									205,690,000	192,055,000	185,738,000
Reimbursable expenses									58,777,000	49,821,000	49,512,000
Straight-line rent adjustment									1,767,000	1,977,000	2,448,000
Amortization of favorable and unfavorable leases									1,031,000	496,000	158,000
Rental revenue									$ 267,265,000	$ 244,349,000	$ 237,856,000
Segment Reporting
Number of reporting segments | item									1
Net Income Per Share
Potential dilutive shares outstanding | shares									0	0	0
Denominator used for calculating basic and diluted net income per share (in shares) | shares	107,231,000	107,231,000	107,231,000	107,231,000	107,231,000	103,709,000	100,187,000	100,187,000	107,231,000	102,843,000	100,187,000
Derivative instruments
Fair value hedges outstanding	$ 0								$ 0
ASU 2016-02
Recent Accounting Standards
Increase in assets and liabilities									$ 3,000,000

Related Party Transactions an40

Related Party Transactions and Investments in Non-Consolidated Entities - Investment in Sponsored REITs (Details) - entity	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Related Party Transactions and Investments in Non-Consolidated Entities
Number of REITs in which the entity holds non-controlling common stock interest	6	7	9
Number of REITs in which the entity holds non-controlling preferred stock interest	2
Number of properties sold	1	2	1

Related Party Transactions an41

Related Party Transactions and Investments in Non-Consolidated Entities - Investment in Sponsored REITs - Property Sold (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
FSP 1441 Main Street Corp.
Investment in Sponsored REITs
Repayment of principal	$ 9,000,000
FSP 385 Interlocken Development, Corp.
Investment in Sponsored REITs
Repayment of principal		$ 37,500,000

Related Party Transactions an42

Related Party Transactions and Investments in Non-Consolidated Entities - Equity in losses of investment in non-consolidated REITs (Details) - USD ($)	May 29, 2009	Dec. 27, 2007	May 31, 2009	Dec. 31, 2007	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Sponsored REITs
Equity in losses of non-consolidated REITs					$ 3,604,000	$ 831,000	$ 1,451,000
Impairment charge					2,519,000
Distributions received from non-consolidated REITs
Distributions from non-consolidated REITs					1,396,000	1,023,000	107,000
East Wacker
Sponsored REITs
Equity in losses of non-consolidated REITs					428,000	563,000	1,352,000
Preferred shares purchased		965.75		965.75
Percentage of outstanding preferred shares purchased		43.70%		43.70%
Net cost of preferred shares purchased		$ 82,813,000		$ 82,813,000
Offering price of preferred shares purchased				96,575,000
Commissions excluded				7,726,000
Loan fees excluded				5,553,000
Acquisition fees excluded				$ 483,000
Distributions received from non-consolidated REITs
Distributions from non-consolidated REITs					1,289,000	916,000
Grand Boulevard
Sponsored REITs
Equity in losses of non-consolidated REITs					657,000	268,000	99,000
Preferred shares purchased	175.5		175.5
Percentage of outstanding preferred shares purchased	27.00%		27.00%
Net cost of preferred shares purchased	$ 15,049,000		$ 15,049,000
Offering price of preferred shares purchased			17,550,000
Commissions excluded			1,404,000
Loan fees excluded			1,009,000
Acquisition fees excluded			$ 88,000
Distributions received from non-consolidated REITs
Distributions from non-consolidated REITs					$ 107,000	$ 107,000	$ 107,000

Related Party Transactions an43

Related Party Transactions and Investments in Non-Consolidated Entities - Summarized financial information for Sponsored REITs (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017USD ($)entity	Dec. 31, 2016USD ($)entity	Dec. 31, 2015USD ($)entity
Related Party Transactions and Investments in Non-Consolidated Entities
Number of REITs in which are included in the operations data | entity	7	9	10
Number of Sponsored REITs the Company held an interest in at period end | entity	6	7	9
Balance Sheet Data (unaudited):
Real estate, net	$ 312,861	$ 345,532
Other assets	74,076	86,594
Total liabilities	(151,092)	(164,820)
Shareholders' equity	235,845	267,306
Operating Data (unaudited):
Rental revenues	53,249	54,257	$ 57,777
Other revenues	7	39	34
Operating and maintenance expenses	(27,495)	(29,186)	(31,693)
Depreciation and amortization	(18,395)	(18,274)	(21,149)
Interest expense	(8,281)	(8,481)	(9,920)
Gain (loss) on sale, less applicable income tax	(702)	26,397
Net income (loss)	$ (1,617)	$ 24,752	$ (4,951)

Related Party Transactions an44

Related Party Transactions and Investments in Non-Consolidated Entities - Management fees and interest income from loans (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Management fees and interest income from loans
Asset management fees, low end of range (as a percent)	1.00%
Asset management fees, high end of range (as a percent)	5.00%
Notice period for cancellation of applicable contracts	30 days
Asset management fee income from non-consolidated entities	$ 598,000	$ 631,000	$ 701,000

Related Party Transactions an45

Related Party Transactions and Investments in Non-Consolidated Entities - Sponsored REIT Loans outstanding (Details)	12 Months Ended
	Dec. 31, 2017USD ($)loan	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)
Sponsored REITs
Number of Sponsored REIT loans which bear interest at a fixed rate | loan	2
Maximum amount of loan	$ 79,500,000
Amount Drawn	71,720,000	$ 81,780,000
Interest income and fees from the Sponsored REIT Loans	$ 4,687,000	$ 4,834,000	$ 5,230,000
Sponsored REITs
Sponsored REITs
Term of sponsored REIT loan secured by mortgage, minimum	1 year
Term of sponsored REIT loan secured by mortgage, maximum	3 years
Secured revolving lines of credit | FSP Satellite Place Corp.
Sponsored REITs
Maximum amount of loan	$ 5,500,000
Amount Drawn	$ 2,120,000
Sponsored REIT loans, base rate	30-day LIBOR
Sponsored REIT loans, base rate margin (as a percent)	4.40%
Draw Fee (as a percent)	0.50%
Interest rate (as a percent)	5.78%
Secured revolving lines of credit | FSP Energy Tower I Corp.
Sponsored REITs
Maximum amount of loan	$ 20,000,000
Amount Drawn	$ 15,600,000
Sponsored REIT loans, base rate	30-day LIBOR
Sponsored REIT loans, base rate margin (as a percent)	5.00%
Draw Fee (as a percent)	0.50%
Interest rate (as a percent)	6.38%
Mortgage loan secured by property | FSP Energy Tower I Corp.
Sponsored REITs
Maximum amount of loan	$ 33,000,000
Amount Drawn	$ 33,000,000
Fixed rate of interest (as a percent)	6.41%
Interest rate (as a percent)	6.41%
Extension fee	$ 108,900
Mortgage loan secured by property | FSP Monument Circle LLC
Sponsored REITs
Maximum amount of loan	21,000,000
Amount Drawn	$ 21,000,000
Fixed rate of interest (as a percent)	4.90%
Interest rate (as a percent)	4.90%
Origination fee	$ 164,000
Exit fee	$ 38,000

Bank Note Payable, Term Note 46

Bank Note Payable, Term Note Payable and Private Placements (Details)	Oct. 24, 2017USD ($)	Jul. 22, 2016	Aug. 26, 2013	Sep. 27, 2012USD ($)	Dec. 31, 2017USD ($)period	Dec. 31, 2016USD ($)	Oct. 18, 2017USD ($)	Jul. 21, 2016USD ($)
Debt Instrument [Line Items]
Borrowings outstanding					$ 78,000,000	$ 280,000,000
Amount drawn down						$ 150,000,000
Senior Notes
Debt Instrument [Line Items]
Principal amount of loan	$ 200,000,000
Fixed charge coverage ratio	1.50
Series A Notes
Debt Instrument [Line Items]
Principal amount of loan	$ 116,000,000
Interest rate (as a percent)	3.99%
Series B Notes
Debt Instrument [Line Items]
Principal amount of loan	$ 84,000,000
Interest rate (as a percent)	4.26%
Maximum | Senior Notes
Debt Instrument [Line Items]
Unsecured leverage ratio	60.00%
Unsecured leverage ratio for significant acquisition	65.00%
BAML Credit Facility | Federal Funds Rate
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.50%
BAML Credit Facility | One month LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.00%
BAML Revolver
Debt Instrument [Line Items]
Weighted average interest rate (as a percent)					2.31%	1.88%
Effective interest rate (as a percent)					2.63%
Total available					$ 600,000,000
Number of periods of extension | period					2
Length of extension period					6 months
Additional borrowing capacity allowed by exercising an accordion feature					$ 500,000,000
Borrowings outstanding					$ 78,000,000	$ 280,000,000
Facility fee at period end (as a percent)					0.25%
BAML Revolver | A- | A3 | Minimum
Debt Instrument [Line Items]
Facility fee (as a percent)					0.125%
BAML Revolver | BBB+ | Baa1
Debt Instrument [Line Items]
Facility fee (as a percent)					0.15%
BAML Revolver | BBB | Baa2
Debt Instrument [Line Items]
Facility fee (as a percent)					0.20%
BAML Revolver | BBB- | Baa3
Debt Instrument [Line Items]
Facility fee (as a percent)					0.25%
BAML Revolver | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Facility fee (as a percent)					0.30%
BAML Revolver | LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					1.20%
BAML Revolver | LIBOR | A- | A3 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.825%
BAML Revolver | LIBOR | BBB+ | Baa1
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.875%
BAML Revolver | LIBOR | BBB | Baa2
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.00%
BAML Revolver | LIBOR | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.20%
BAML Revolver | LIBOR | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.55%
BAML Revolver | Base Rate
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					0.20%
BAML Revolver | Base Rate | A- | A3 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.00%
BAML Revolver | Base Rate | BBB+ | Baa1
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.00%
BAML Revolver | Base Rate | BBB | Baa2
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.00%
BAML Revolver | Base Rate | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.20%
BAML Revolver | Base Rate | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.55%
BAML Term Loan
Debt Instrument [Line Items]
Principal amount of loan					$ 400,000,000
Weighted average interest rate (as a percent)					2.47%
Additional borrowing capacity allowed by exercising an accordion feature					$ 500,000,000
Amount drawn down				$ 400,000,000
BAML Term Loan | LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					1.35%
Fixed rate (as a percent)				0.75%
Term pursuant to interest rate swap agreement				5 years
Future fixed interest rate		1.12%
BAML Term Loan | LIBOR | A- | A3 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.90%
BAML Term Loan | LIBOR | BBB+ | Baa1
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.95%
BAML Term Loan | LIBOR | BBB | Baa2
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.10%
BAML Term Loan | LIBOR | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.35%
BAML Term Loan | LIBOR | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.75%
BAML Term Loan | Base Rate
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					0.35%
BAML Term Loan | Base Rate | A- | A3 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.00%
BAML Term Loan | Base Rate | BBB+ | Baa1
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.00%
BAML Term Loan | Base Rate | BBB | Baa2
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.10%
BAML Term Loan | Base Rate | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.35%
BAML Term Loan | Base Rate | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.75%
JPM Term Loan
Debt Instrument [Line Items]
Principal amount of loan							$ 150,000,000
Term of the borrowing					2 years
Interest rate during period (as a percent)					2.98%
Weighted average interest rate (as a percent)					2.45%	1.99%
JPM Term Loan | Eurodollar Rate
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					1.35%
JPM Term Loan | Eurodollar Rate | BBB | Baa2 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.10%
JPM Term Loan | Eurodollar Rate | BBB | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.85%
JPM Term Loan | Eurodollar Rate | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.35%
JPM Term Loan | LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.00%
JPM Term Loan | Base Rate
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					35.00%
JPM Term Loan | Base Rate | BBB | Baa2 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.10%
JPM Term Loan | Base Rate | BBB | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.85%
JPM Term Loan | Base Rate | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.35%
JPM Term Loan | Federal Funds Rate
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.50%
BMO Term Loan
Debt Instrument [Line Items]
Principal amount of loan					$ 220,000,000
Additional loans allowed by exercising an accordion feature								$ 50,000,000
Effective interest rate (as a percent)					3.97%
BMO Term Loan | LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)						1.65%
Fixed rate (as a percent)					2.32%
Term pursuant to interest rate swap agreement			7 years
BMO Term Loan | LIBOR | A- | A3 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.05%
BMO Term Loan | LIBOR | BBB+ | Baa1
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.15%
BMO Term Loan | LIBOR | BBB | Baa2
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.35%
BMO Term Loan | LIBOR | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.65%
BMO Term Loan | LIBOR | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					2.15%
BMO Term Loan | Base Rate
Debt Instrument [Line Items]
Basis spread on variable rate at period end (as a percent)					0.65%
BMO Term Loan | Base Rate | A- | A3 | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.05%
BMO Term Loan | Base Rate | BBB+ | Baa1
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.15%
BMO Term Loan | Base Rate | BBB | Baa2
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.35%
BMO Term Loan | Base Rate | BBB- | Baa3
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.65%
BMO Term Loan | Base Rate | BBB- | Baa3 | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.15%
BMO Term Loan | Federal Funds Rate
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					0.50%
BMO Term Loan | One month LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)					1.00%

Financial Instruments_ Deriva47

Financial Instruments: Derivatives and Hedging (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2017	Dec. 31, 2017
Financial Instruments: Derivatives and Hedging
Unrealized gains or losses on derivative financial instruments in accumulated other comprehensive income		$ 6,700
Amount estimated to be reclassified into earnings within next 12 months		300
Percentage floor of spread payable to the counterparty	0.00%
2017 Interest Rate Swap
Financial Instruments: Derivatives and Hedging
Notional Value		$ 400,000
Strike Rate (as a percent)		1.12%
Fair Value		$ 13,925
Fair Value		13,900
BMO Interest Rate Swap
Financial Instruments: Derivatives and Hedging
Notional Value		$ 220,000
Strike Rate (as a percent)		2.32%
Fair Value		$ (1,759)
Fair Value		$ 1,800

Stockholders' Equity (Details)

Stockholders' Equity (Details) $ / shares in Units, $ in Thousands	Aug. 16, 2016USD ($)$ / sharesshares	Dec. 31, 2017itemshares	Dec. 31, 2016USD ($)
Equity offerings
Shares of common stock sold	7,043,750
Price per share of common stock sold (in dollars per share) | $ / shares	$ 12.35
Proceeds from equity offering | $	$ 82,900		$ 83,511
2002 Stock Incentive Plan
Equity-Based Compensation
Maximum number of shares provided for grant under equity-based incentive compensation plan		2,000,000
Number of vesting requirements | item		0
Number of shares available for grant under the plan		1,944,428
Underwriter Overallotment Option
Equity offerings
Shares of common stock sold	918,750

Federal Income Tax Reporting -

Federal Income Tax Reporting - General and Income Tax Expense (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Taxes
Maximum ownership as a percentage of the voting power or value of the securities of each issuer other than REIT or "TRS"	10.00%
Maximum ownership of securities in all TRS (as a percent)	25.00%
Maximum ownership of securities in all TRS when considered together with other non-real estate assets (as a percent)	25.00%
Period of statute of limitations applicable to the entity's income tax returns	3 years
Net operating losses
NOLs expiration period	20 years
Gross amount of NOLs available to company	$ 13,041,000	$ 13,041,000	$ 13,041,000
Income Tax Expense
Revised Texas franchise tax	355,000	352,000	398,000
Other Taxes	45,000	66,000	35,000
Taxes on income	400,000	418,000	$ 433,000
Deferred income taxes	0
Real estate assets net tax basis more (less) than book basis	$ 208,434,000	$ 197,669,000

Federal Income Tax Reporting 50

Federal Income Tax Reporting - Reconciliation Between GAAP Net Income and Taxable Income, Tax Components of Distributions (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Reconciliation Between GAAP Net Income and Taxable Income
Net income per books	$ (4,932)	$ 1,903	$ (17,395)	$ 4,480	$ 1,729	$ 2,458	$ 1,612	$ 2,579	$ (15,944)	$ 8,378	$ 35,014
Adjustment to book income:
Book depreciation and amortization									100,227	92,557	91,201
Tax depreciation and amortization									(62,653)	(59,171)	(53,089)
Tax basis more than book basis on assets sold									(907)	(576)	(2,739)
Straight line rent adjustment, net									(2,977)	(2,976)	(3,493)
Deferred rent, net									1,226	2	618
Non-taxable distributions									(1,289)	(970)
Other, net									6,582	(1,648)	995
Taxable income									24,265	35,596	68,507
Less: Capital gains recognized											10,360
Taxable income subject to distribution requirement									$ 24,265	$ 35,596	$ 58,147
Tax components of the Company's common distributions paid per share
Ordinary income (in dollars per share)									$ 0.24	$ 0.39	$ 0.60
Capital gain (in dollars per share)											0.09
Return of capital (in dollars per share)									0.52	0.37	0.07
Total (in dollars per share)									$ 0.76	$ 0.76	$ 0.76
Ordinary income (as a percent)									31.74%	50.82%	79.17%
Capital gain (as a percent)											11.60%
Return of capital (as a percent)									68.26%	49.18%	9.23%
Total (as a percent)									100.00%	100.00%	100.00%
Capital gains as percentage of total distributions											11.60%
Percentage of total distributions taxed as an Unrecaptured Section 1250 gain											5.96%

Commitments (Details)

Commitments (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Commitments
Rent expense	$ 420,000	$ 411,000	$ 408,000
Maximum amount of loan	79,500,000
Amount drawn and outstanding	71,720,000	$ 81,780,000
Office buildings and industrial properties
Future minimum rental income:
2,017	180,321,000
2,018	156,530,000
2,019	139,250,000
2,020	121,185,000
2,021	92,803,000
Thereafter (2021-2029)	244,075,000
Total	$ 934,164,000
Office buildings and industrial properties | Minimum
Commitments
Lease term	1 year
Corporate office space
Commitments
Extension period	5 years
Future minimum lease payments:
2,017	$ 404,000
2,018	412,000
2,019	421,000
2,020	429,000
2,021	438,000
Thereafter	787,000
Total	$ 2,891,000

Retirement Plan (Details)

Retirement Plan (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Retirement Plan
Maximum employee compensation to be deferred per year	$ 17,000
Maximum employer matching contribution as a percentage of annual compensation	3.00%
Maximum employee salary that the employer will match	$ 200,000
Company's total contribution under 401 (k) plan	$ 132,000	$ 143,000	$ 134,000

Dispositions of Property (Detai

Dispositions of Property (Details) - USD ($) $ in Thousands

Oct. 20, 2017

Jan. 06, 2017

Dec. 16, 2016

Apr. 05, 2016

Dec. 09, 2015

May 13, 2015

Mar. 31, 2015

Feb. 23, 2015

Jun. 30, 2016

Sep. 30, 2017

Dec. 31, 2017

Dec. 31, 2016

Dec. 31, 2015

Jun. 30, 2017

Gain (loss) on sale of property

Assets Held-for-sale, Not Part of Disposal Group

$ 3,871

Gain (loss) on sale of property

$ (18,481)

$ (2,938)

$ 23,662

Disposal Group, Held-for-sale or Disposed of by Sale, Not Discontinued Operations | Office Property in Baltimore Maryland

Gain (loss) on sale of property

Assets Held-for-sale, Not Part of Disposal Group

$ 31,600

$ 31,900

Loss contingency on property held

20,700

$ 20,500

Provision for loss on property held

300

Disposal group disposed of by sale, not classified as discontinued operations | Office Property in Baltimore Maryland

Gain (loss) on sale of property

Gain (loss) on sale of property

$ (20,800)

Net Proceeds

$ 31,600

Office Property In Milpitas, California | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ 2,300

Office Property In Maryland Heights Missouri | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ 4,200

Office Property In Federal Way Washington | Disposal Group, Held-for-sale or Disposed of by Sale, Not Discontinued Operations

Gain (loss) on sale of property

Assets Held-for-sale, Not Part of Disposal Group

$ 9,300

8,800

Provision for loss on property held

$ 4,800

500

Gain (loss) on sale of property

$ 5,300

Office Property In Federal Way Washington | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ (7,100)

Net Proceeds

$ 7,300

Office Property in Plano, Texas | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ 1,500

Office Property in Eden Prairie, Minnesota | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ 9,000

Office Property in Charlotte, North Carolina | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ 900

Office Property in San Jose, California | Disposal group disposed of by sale, not classified as discontinued operations

Gain (loss) on sale of property

Gain (loss) on sale of property

$ 12,300

Subsequent Events (Details)

Subsequent Events (Details)	Jan. 05, 2018$ / shares
Cash distribution declared | Subsequent Events.
Subsequent Events
Cash dividend declared per share (in dollars per share)	$ 0.19

Selected Unaudited Quarterly 55

Selected Unaudited Quarterly Information (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Selected Unaudited Quarterly Information
Revenues	$ 66,835	$ 68,626	$ 68,371	$ 68,756	$ 65,988	$ 63,280	$ 60,807	$ 59,813	$ 272,588	$ 249,888	$ 243,867
Income (loss) from continuing operations	(4,932)	1,903	(17,395)	4,480	1,729	2,458	1,612	2,579
Net income (loss)	$ (4,932)	$ 1,903	$ (17,395)	$ 4,480	$ 1,729	$ 2,458	$ 1,612	$ 2,579	$ (15,944)	$ 8,378	$ 35,014
Basic and diluted net income (loss) per share	$ (0.05)	$ 0.02	$ (0.16)	$ 0.04	$ 0.02	$ 0.02	$ 0.02	$ 0.03	$ (0.15)	$ 0.08	$ 0.35
Weighted average number of shares outstanding	107,231,000	107,231,000	107,231,000	107,231,000	107,231,000	103,709,000	100,187,000	100,187,000	107,231,000	102,843,000	100,187,000

Schedule II Valuation and qua56

Schedule II Valuation and qualifying accounts (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Allowance for doubtful accounts - Tenant rent receivables
Movement in valuation and qualifying accounts
Balance at beginning of year	$ 100,000	$ 130,000	$ 325,000
Additions (Decreases) charged to costs and expenses	178,000	78,000	(106,000)
Deductions	(28,000)	(108,000)	(89,000)
Balance at end of year	250,000	100,000	130,000
Allowance for doubtful accounts - Straight-line rent receivable
Movement in valuation and qualifying accounts
Balance at beginning of year	50,000	50,000	162,000
Additions (Decreases) charged to costs and expenses			(112,000)
Deductions			(112,000)
Balance at end of year	$ 50,000	$ 50,000	$ 50,000

SCHEDULE III REAL ESTATE AND 57

SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
REAL ESTATE AND ACCUMULATED DEPRECIATION
Encumbrances	$ 0
Accumulated Depreciation	376,131,000	$ 338,506,000	$ 299,991,000	$ 266,284,000
Aggregate cost for Federal Income Tax purposes	2,210,883
Real Estate Excluding Assets Held For Sale
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	192,072,000
Initial cost of Buildings Improvements and Equipment	1,610,255,000
Costs Capitalized (Disposals) Subsequent to Acquisition	206,496,000
Historical Cost of Land	191,578,000
Historical Cost of Buildings Improvements and Equipment	1,817,245,000
Total	2,008,823,000
Accumulated Depreciation	376,131,000
Total Costs, Net of Accumulated Depreciation	1,632,692,000
Forest Park, Charlotte, NC
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	1,559,000
Initial cost of Buildings Improvements and Equipment	5,672,000
Costs Capitalized (Disposals) Subsequent to Acquisition	170,000
Historical Cost of Land	1,559,000
Historical Cost of Buildings Improvements and Equipment	5,842,000
Total	7,401,000
Accumulated Depreciation	2,280,000
Total Costs, Net of Accumulated Depreciation	$ 5,121,000
Forest Park, Charlotte, NC | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Forest Park, Charlotte, NC | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Meadow Point, Chantilly, VA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,634,000
Initial cost of Buildings Improvements and Equipment	18,911,000
Costs Capitalized (Disposals) Subsequent to Acquisition	7,028,000
Historical Cost of Land	2,634,000
Historical Cost of Buildings Improvements and Equipment	25,939,000
Total	28,573,000
Accumulated Depreciation	11,647,000
Total Costs, Net of Accumulated Depreciation	$ 16,926,000
Meadow Point, Chantilly, VA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Meadow Point, Chantilly, VA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Timberlake, Chesterfield, MO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,984,000
Initial cost of Buildings Improvements and Equipment	38,661,000
Costs Capitalized (Disposals) Subsequent to Acquisition	8,048,000
Historical Cost of Land	2,984,000
Historical Cost of Buildings Improvements and Equipment	46,709,000
Total	49,693,000
Accumulated Depreciation	17,149,000
Total Costs, Net of Accumulated Depreciation	$ 32,544,000
Timberlake, Chesterfield, MO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Timberlake, Chesterfield, MO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Northwest Point, Elk Grove Village, IL
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,914,000
Initial cost of Buildings Improvements and Equipment	26,295,000
Costs Capitalized (Disposals) Subsequent to Acquisition	8,881,000
Historical Cost of Land	2,914,000
Historical Cost of Buildings Improvements and Equipment	35,176,000
Total	38,090,000
Accumulated Depreciation	16,302,000
Total Costs, Net of Accumulated Depreciation	$ 21,788,000
Northwest Point, Elk Grove Village, IL | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Northwest Point, Elk Grove Village, IL | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Timberlake East, Chesterfield, MO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,626,000
Initial cost of Buildings Improvements and Equipment	17,608,000
Costs Capitalized (Disposals) Subsequent to Acquisition	4,464,000
Historical Cost of Land	2,626,000
Historical Cost of Buildings Improvements and Equipment	22,072,000
Total	24,698,000
Accumulated Depreciation	7,845,000
Total Costs, Net of Accumulated Depreciation	$ 16,853,000
Timberlake East, Chesterfield, MO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Timberlake East, Chesterfield, MO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Park Ten, Houston, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 1,061,000
Initial cost of Buildings Improvements and Equipment	21,303,000
Costs Capitalized (Disposals) Subsequent to Acquisition	4,317,000
Historical Cost of Land	567,000
Historical Cost of Buildings Improvements and Equipment	26,114,000
Total	26,681,000
Accumulated Depreciation	10,893,000
Total Costs, Net of Accumulated Depreciation	$ 15,788,000
Park Ten, Houston, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Park Ten, Houston, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Addison, Addison, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,325,000
Initial cost of Buildings Improvements and Equipment	48,040,000
Costs Capitalized (Disposals) Subsequent to Acquisition	7,233,000
Historical Cost of Land	4,325,000
Historical Cost of Buildings Improvements and Equipment	55,273,000
Total	59,598,000
Accumulated Depreciation	19,019,000
Total Costs, Net of Accumulated Depreciation	$ 40,579,000
Addison, Addison, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Addison, Addison, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Collins, Richardson, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,000,000
Initial cost of Buildings Improvements and Equipment	42,598,000
Costs Capitalized (Disposals) Subsequent to Acquisition	6,962,000
Historical Cost of Land	4,000,000
Historical Cost of Buildings Improvements and Equipment	49,560,000
Total	53,560,000
Accumulated Depreciation	18,644,000
Total Costs, Net of Accumulated Depreciation	$ 34,916,000
Collins, Richardson, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Collins, Richardson, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Greenwood, Englewood, CO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 3,100,000
Initial cost of Buildings Improvements and Equipment	30,201,000
Costs Capitalized (Disposals) Subsequent to Acquisition	10,038,000
Historical Cost of Land	3,100,000
Historical Cost of Buildings Improvements and Equipment	40,239,000
Total	43,339,000
Accumulated Depreciation	13,807,000
Total Costs, Net of Accumulated Depreciation	$ 29,532,000
Greenwood, Englewood, CO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Greenwood, Englewood, CO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
River Crossing, Indianapolis, IN
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 3,000,000
Initial cost of Buildings Improvements and Equipment	36,926,000
Costs Capitalized (Disposals) Subsequent to Acquisition	3,799,000
Historical Cost of Land	3,000,000
Historical Cost of Buildings Improvements and Equipment	40,725,000
Total	43,725,000
Accumulated Depreciation	13,287,000
Total Costs, Net of Accumulated Depreciation	$ 30,438,000
River Crossing, Indianapolis, IN | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
River Crossing, Indianapolis, IN | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Innsbrook, Glenn Allen, VA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 5,000,000
Initial cost of Buildings Improvements and Equipment	40,216,000
Costs Capitalized (Disposals) Subsequent to Acquisition	4,175,000
Historical Cost of Land	5,000,000
Historical Cost of Buildings Improvements and Equipment	44,391,000
Total	49,391,000
Accumulated Depreciation	14,796,000
Total Costs, Net of Accumulated Depreciation	$ 34,595,000
Innsbrook, Glenn Allen, VA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Innsbrook, Glenn Allen, VA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
380 Interlocken, Bloomfield, CO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 8,275,000
Initial cost of Buildings Improvements and Equipment	34,462,000
Costs Capitalized (Disposals) Subsequent to Acquisition	8,490,000
Historical Cost of Land	8,275,000
Historical Cost of Buildings Improvements and Equipment	42,952,000
Total	51,227,000
Accumulated Depreciation	15,387,000
Total Costs, Net of Accumulated Depreciation	$ 35,840,000
380 Interlocken, Bloomfield, CO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
380 Interlocken, Bloomfield, CO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Blue Lagoon, Miami, FL
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 6,306,000
Initial cost of Buildings Improvements and Equipment	46,124,000
Costs Capitalized (Disposals) Subsequent to Acquisition	1,877,000
Historical Cost of Land	6,306,000
Historical Cost of Buildings Improvements and Equipment	48,001,000
Total	54,307,000
Accumulated Depreciation	15,344,000
Total Costs, Net of Accumulated Depreciation	$ 38,963,000
Blue Lagoon, Miami, FL | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Blue Lagoon, Miami, FL | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Eldridge Green, Houston, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 3,900,000
Initial cost of Buildings Improvements and Equipment	43,791,000
Costs Capitalized (Disposals) Subsequent to Acquisition	3,941,000
Historical Cost of Land	3,900,000
Historical Cost of Buildings Improvements and Equipment	47,732,000
Total	51,632,000
Accumulated Depreciation	15,312,000
Total Costs, Net of Accumulated Depreciation	$ 36,320,000
Eldridge Green, Houston, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Eldridge Green, Houston, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Liberty Plaza, Addison, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,374,000
Initial cost of Buildings Improvements and Equipment	21,146,000
Costs Capitalized (Disposals) Subsequent to Acquisition	6,657,000
Historical Cost of Land	4,374,000
Historical Cost of Buildings Improvements and Equipment	27,803,000
Total	32,177,000
Accumulated Depreciation	9,402,000
Total Costs, Net of Accumulated Depreciation	$ 22,775,000
Liberty Plaza, Addison, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Liberty Plaza, Addison, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
One Overton, Atlanta, GA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 3,900,000
Initial cost of Buildings Improvements and Equipment	77,229,000
Costs Capitalized (Disposals) Subsequent to Acquisition	11,479,000
Historical Cost of Land	3,900,000
Historical Cost of Buildings Improvements and Equipment	88,708,000
Total	92,608,000
Accumulated Depreciation	28,375,000
Total Costs, Net of Accumulated Depreciation	$ 64,233,000
One Overton, Atlanta, GA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
One Overton, Atlanta, GA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
FSP 390 Interlocken, Broomfield, CO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 7,013,000
Initial cost of Buildings Improvements and Equipment	37,751,000
Costs Capitalized (Disposals) Subsequent to Acquisition	6,556,000
Historical Cost of Land	7,013,000
Historical Cost of Buildings Improvements and Equipment	44,307,000
Total	51,320,000
Accumulated Depreciation	13,405,000
Total Costs, Net of Accumulated Depreciation	$ 37,915,000
FSP 390 Interlocken, Broomfield, CO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
FSP 390 Interlocken, Broomfield, CO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Park Ten II, Houston, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 1,300,000
Initial cost of Buildings Improvements and Equipment	31,712,000
Costs Capitalized (Disposals) Subsequent to Acquisition	479,000
Historical Cost of Land	1,300,000
Historical Cost of Buildings Improvements and Equipment	32,191,000
Total	33,491,000
Accumulated Depreciation	8,257,000
Total Costs, Net of Accumulated Depreciation	$ 25,234,000
Park Ten II, Houston, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Park Ten II, Houston, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Dulles Virginia, Sterling, VA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,813,000
Initial cost of Buildings Improvements and Equipment	13,285,000
Costs Capitalized (Disposals) Subsequent to Acquisition	5,539,000
Historical Cost of Land	4,813,000
Historical Cost of Buildings Improvements and Equipment	18,824,000
Total	23,637,000
Accumulated Depreciation	4,573,000
Total Costs, Net of Accumulated Depreciation	$ 19,064,000
Dulles Virginia, Sterling, VA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Dulles Virginia, Sterling, VA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Stonecroft, Chantilly, VA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,102,000
Initial cost of Buildings Improvements and Equipment	18,003,000
Historical Cost of Land	2,102,000
Historical Cost of Buildings Improvements and Equipment	18,003,000
Total	20,105,000
Accumulated Depreciation	3,924,000
Total Costs, Net of Accumulated Depreciation	$ 16,181,000
Stonecroft, Chantilly, VA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Stonecroft, Chantilly, VA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
121 South Eight Street, Minneapolis, MN
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,444,000
Initial cost of Buildings Improvements and Equipment	15,214,000
Costs Capitalized (Disposals) Subsequent to Acquisition	15,992,000
Historical Cost of Land	4,444,000
Historical Cost of Buildings Improvements and Equipment	31,206,000
Total	35,650,000
Accumulated Depreciation	5,918,000
Total Costs, Net of Accumulated Depreciation	$ 29,732,000
121 South Eight Street, Minneapolis, MN | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
121 South Eight Street, Minneapolis, MN | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
801 Marquette Avenue South, Minneapolis, MN
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,184,000
Costs Capitalized (Disposals) Subsequent to Acquisition	16,541,000
Historical Cost of Land	4,184,000
Historical Cost of Buildings Improvements and Equipment	16,541,000
Total	20,725,000
Accumulated Depreciation	31,000
Total Costs, Net of Accumulated Depreciation	$ 20,694,000
801 Marquette Avenue South, Minneapolis, MN | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
801 Marquette Avenue South, Minneapolis, MN | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
909 Davis, Evanston, IL
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 4,912,000
Initial cost of Buildings Improvements and Equipment	18,229,000
Costs Capitalized (Disposals) Subsequent to Acquisition	4,033,000
Historical Cost of Land	4,912,000
Historical Cost of Buildings Improvements and Equipment	22,262,000
Total	27,174,000
Accumulated Depreciation	3,444,000
Total Costs, Net of Accumulated Depreciation	$ 23,730,000
909 Davis, Evanston, IL | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
909 Davis, Evanston, IL | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Emperor Boulevard, Durham, NC
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,423,000
Initial cost of Buildings Improvements and Equipment	53,997,000
Costs Capitalized (Disposals) Subsequent to Acquisition	53,000
Historical Cost of Land	2,423,000
Historical Cost of Buildings Improvements and Equipment	54,050,000
Total	56,473,000
Accumulated Depreciation	9,469,000
Total Costs, Net of Accumulated Depreciation	$ 47,004,000
Emperor Boulevard, Durham, NC | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Emperor Boulevard, Durham, NC | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Legacy Tennyson Center, Plano, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 3,067,000
Initial cost of Buildings Improvements and Equipment	22,064,000
Costs Capitalized (Disposals) Subsequent to Acquisition	793,000
Historical Cost of Land	3,067,000
Historical Cost of Buildings Improvements and Equipment	22,857,000
Total	25,924,000
Accumulated Depreciation	3,934,000
Total Costs, Net of Accumulated Depreciation	$ 21,990,000
Legacy Tennyson Center, Plano, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Legacy Tennyson Center, Plano, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
One Legacy Circle, Plano, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,590,000
Initial cost of Buildings Improvements and Equipment	36,608,000
Costs Capitalized (Disposals) Subsequent to Acquisition	1,004,000
Historical Cost of Land	2,590,000
Historical Cost of Buildings Improvements and Equipment	37,612,000
Total	40,202,000
Accumulated Depreciation	6,968,000
Total Costs, Net of Accumulated Depreciation	$ 33,234,000
One Legacy Circle, Plano, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
One Legacy Circle, Plano, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
One Ravinia Drive, Atlanta, GA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 2,686,000
Initial cost of Buildings Improvements and Equipment	35,125,000
Costs Capitalized (Disposals) Subsequent to Acquisition	5,495,000
Historical Cost of Land	2,686,000
Historical Cost of Buildings Improvements and Equipment	40,620,000
Total	43,306,000
Accumulated Depreciation	6,297,000
Total Costs, Net of Accumulated Depreciation	$ 37,009,000
One Ravinia Drive, Atlanta, GA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
One Ravinia Drive, Atlanta, GA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Two Ravinia Drive, Atlanta, GA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 7,375,000
Initial cost of Buildings Improvements and Equipment	58,726,000
Costs Capitalized (Disposals) Subsequent to Acquisition	7,770,000
Historical Cost of Land	7,375,000
Historical Cost of Buildings Improvements and Equipment	66,496,000
Total	73,871,000
Accumulated Depreciation	4,621,000
Total Costs, Net of Accumulated Depreciation	$ 69,250,000
Two Ravinia Drive, Atlanta, GA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Two Ravinia Drive, Atlanta, GA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Westchase I & II, Houston, TX
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 8,491,000
Initial cost of Buildings Improvements and Equipment	121,508,000
Costs Capitalized (Disposals) Subsequent to Acquisition	5,680,000
Historical Cost of Land	8,491,000
Historical Cost of Buildings Improvements and Equipment	127,188,000
Total	135,679,000
Accumulated Depreciation	17,524,000
Total Costs, Net of Accumulated Depreciation	$ 118,155,000
Westchase I & II, Houston, TX | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Westchase I & II, Houston, TX | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
1999 Broadway, Denver, CO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 16,334,000
Initial cost of Buildings Improvements and Equipment	137,726,000
Costs Capitalized (Disposals) Subsequent to Acquisition	12,339,000
Historical Cost of Land	16,334,000
Historical Cost of Buildings Improvements and Equipment	150,065,000
Total	166,399,000
Accumulated Depreciation	18,211,000
Total Costs, Net of Accumulated Depreciation	$ 148,188,000
1999 Broadway, Denver, CO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
1999 Broadway, Denver, CO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
999 Peachtree, Atlanta, GA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 10,187,000
Initial cost of Buildings Improvements and Equipment	107,727,000
Costs Capitalized (Disposals) Subsequent to Acquisition	11,130,000
Historical Cost of Land	10,187,000
Historical Cost of Buildings Improvements and Equipment	118,857,000
Total	129,044,000
Accumulated Depreciation	13,654,000
Total Costs, Net of Accumulated Depreciation	$ 115,390,000
999 Peachtree, Atlanta, GA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
999 Peachtree, Atlanta, GA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
1001 17th Street, Denver, CO
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 17,413,000
Initial cost of Buildings Improvements and Equipment	165,058,000
Costs Capitalized (Disposals) Subsequent to Acquisition	6,397,000
Historical Cost of Land	17,413,000
Historical Cost of Buildings Improvements and Equipment	171,455,000
Total	188,868,000
Accumulated Depreciation	19,410,000
Total Costs, Net of Accumulated Depreciation	$ 169,458,000
1001 17th Street, Denver, CO | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
1001 17th Street, Denver, CO | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Plaza Seven, Minneapolis, MN
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 6,604,000
Initial cost of Buildings Improvements and Equipment	54,240,000
Costs Capitalized (Disposals) Subsequent to Acquisition	7,016,000
Historical Cost of Land	6,604,000
Historical Cost of Buildings Improvements and Equipment	61,256,000
Total	67,860,000
Accumulated Depreciation	2,899,000
Total Costs, Net of Accumulated Depreciation	$ 64,961,000
Plaza Seven, Minneapolis, MN | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Plaza Seven, Minneapolis, MN | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
Pershing Plaza, Atlanta, GA
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 5,300,000
Initial cost of Buildings Improvements and Equipment	34,158,000
Costs Capitalized (Disposals) Subsequent to Acquisition	525,000
Historical Cost of Land	5,300,000
Historical Cost of Buildings Improvements and Equipment	34,683,000
Total	39,983,000
Accumulated Depreciation	1,254,000
Total Costs, Net of Accumulated Depreciation	$ 38,729,000
Pershing Plaza, Atlanta, GA | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
Pershing Plaza, Atlanta, GA | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years
600 17th Street, Denver, Co
REAL ESTATE AND ACCUMULATED DEPRECIATION
Initial cost of Land	$ 20,876,000
Initial cost of Buildings Improvements and Equipment	99,941,000
Costs Capitalized (Disposals) Subsequent to Acquisition	1,595,000
Historical Cost of Land	20,876,000
Historical Cost of Buildings Improvements and Equipment	101,536,000
Total	122,412,000
Accumulated Depreciation	2,849,000
Total Costs, Net of Accumulated Depreciation	$ 119,563,000
600 17th Street, Denver, Co | Minimum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	5 years
600 17th Street, Denver, Co | Maximum
REAL ESTATE AND ACCUMULATED DEPRECIATION
Depreciable Life Years	39 years

SCHEDULE III REAL ESTATE AND 58

SCHEDULE III REAL ESTATE AND ACCUMULATED DEPRECIATION - Changes in real estate investments and accumulated depreciation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Real estate investments, at cost:
Balance, beginning of year	$ 2,027,520	$ 1,809,615	$ 1,790,591
Acquisitions		221,119	66,104
Improvements	54,097	39,438	23,171
Assets held for sale		(5,023)
Dispositions	(72,794)	(42,652)	(70,251)
Balance-Real Estate	2,008,823	2,022,497	1,809,615
Assets held for sale		5,023
Balance, end of year	2,008,823	2,027,520	1,809,615
Accumulated depreciation:
Balance, beginning of year	338,506	299,991	266,284
Depreciation	57,312	52,466	49,637
Assets held for sale		(1,278)
Dispositions	(19,687)	(13,951)	(15,930)
Balance- Accumulated Depreciation	376,131	337,228	299,991
Assets held for sale		1,278
Balance, end of year	$ 376,131	$ 338,506	$ 299,991