Elme Communities (ELME) 10-Q 2013 Q3 Quarterly report

Exhibit 12

WASHINGTON REAL ESTATE INVESTMENT TRUST

Computation of Ratios

(In thousands)

Earnings to fixed charges ratio:

	Three Months Ended   September 30,						Nine Months Ended   September 30,
	2013			2012			2013			2012
Income from continuing operations	$	1,709		$	2,604		$	4,104		$	7,384
Additions:
Fixed charges
Interest expense	15,930			14,886			47,944			43,983
Capitalized interest	124			392			607			1,250
	16,054			15,278			48,551			45,233
Deductions:
Capitalized interest	(124		)	(392		)	(607		)	(1,250		)
Adjusted earnings	17,639			17,490			52,048			51,367
Fixed charges (from above)	$	16,054		$	15,278		$	48,551		$	45,233
Ratio of earnings to fixed charges	1.10			1.14			1.07			1.14
Note: Certain prior period amounts have been reclassified to conform to the current period presentation due to the reclassification of certain properties as discontinued operations (see note 3 to the consolidated financial statements).

Debt service coverage ratio:

	Three Months Ended   September 30,					Nine Months Ended   September 30,
	2013		2012			2013			2012
Net income attributable to the controlling interests	$	5,840	$	9,561		18,438			$	20,750
Additions:
Interest expense (1)	16,259		16,049			48,929			47,477
Real estate depreciation and amortization (1)	24,383		26,218			75,489			77,803
Income tax expense	6		17			30			188
Non-real estate depreciation	203		254			614			783
	40,851		42,538			125,062			126,251
Deductions:
Gain on sale of real estate	—		(3,724		)	(3,195		)	(3,724		)
Adjusted EBITDA	46,691		48,375			140,305			143,277
Debt service
Interest expense	16,259		16,049			48,929			47,477
Principal amortization	823		1,250			2,466			4,150
	$	17,082	$	17,299		$	51,395		$	51,627
Debt service coverage ratio	2.73		2.80			2.73			2.78
(1) Includes discontinued operations