Elme Communities (ELME) 10-Q 2010 Q2 Quarterly report

EXHIBIT 12

WASHINGTON REAL ESTATE INVESTMENT TRUST

Computation of Ratios

(In thousands)

Earnings to fixed charges ratio:

	Q2 2010			Q2 2009			YTD 2010			YTD 2009
Income from continuing operations	$	6,675		$	5,866		$	11,552		$	15,894
Additions:
Fixed charges
Interest expense		17,013			19,316			34,078			38,997
Capitalized interest		349			335			692			658
		17,362			19,651			34,770			39,655
Deductions:
Capitalized interest		(349	)		(335	)		(692	)		(658	)
Net income attributable to noncontrolling interests		(27	)		(52	)		(76	)		(101	)
Adjusted earnings	$	23,661		$	25,130		$	45,554		$	54,790
Fixed charges (from above)	$	17,362		$	19,651		$	34,770		$	39,655
Ratio of Earnings to Fixed Charges		1.36			1.28			1.31			1.38
Debt service coverage ratio:
	Q2 2010			Q2 2009			YTD 2010			YTD 2009
Net income attributable to the controlling interests	$	14,994		$	13,090		$	20,210		$	23,941
Additions:
Interest expense		17,013			19,316			34,078			38,997
Real estate depreciation and amortization		23,669			23,508			47,277			46,810
Non-real estate depreciation		274			306			546			611
		40,956			43,130			81,901			86,418
Deductions:
Gain on sale of real estate		(7,942	)		(6,674	)		(7,942	)		(6,674	)
Loss (gain) on extinguishment of debt		—			(1,219	)		42			(7,064	)
Gain from non-disposal activities		—			—			—			—
Adjusted EBITDA	$	48,008		$	48,327		$	94,211		$	96,621
Debt service
Interest expense	$	17,013		$	19,316		$	34,078		$	38,997
Principal amortization		1,082			1,019			2,190			1,894
	$	18,095		$	20,335		$	36,268		$	40,981
Debt service coverage ratio		2.65			2.38			2.60			2.36