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þ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934 |
Commission file number 001-9106 (Brandywine Realty Trust) | ||||
000-24407 (Brandywine Operating Partnership, L.P.) | ||||
Brandywine Operating Partnership, L.P.
MARYLAND(Brandywine Realty Trust) | 23-2413352 | |
DELAWARE(Brandywine Operating Partnership L.P.) | 23-2862640 | |
(State or other jurisdiction of | (I.R.S. Employer Identification No.) | |
Incorporation or organization) | ||
555 East Lancaster Avenue | ||
Radnor, Pennsylvania | 19087 | |
(Address of principal executive offices) | (Zip Code) | |
Registrant’s telephone number, including area code | (610) 325-5600 | |
Securities registered pursuant to Section 12(b) of the Act: |
Name of each exchange | ||
Title of each class | on which registered | |
Common Shares of Beneficial Interest, | New York Stock Exchange | |
par value $0.01 per share | ||
(Brandywine Realty Trust) | ||
7.50% Series C Cumulative Redeemable | New York Stock Exchange | |
Preferred Shares of Beneficial Interest | ||
par value $0.01 per share | ||
(Brandywine Realty Trust) | ||
7.375% Series D Cumulative Redeemable | New York Stock Exchange | |
Preferred Shares of Beneficial Interest | ||
par value $0.01 per share | ||
(Brandywine Realty Trust) |
Units of General Partnership Interest (Brandywine Operating Partnership, L.P.)
Brandywine Realty Trust | Yesþ Noo | |
Brandywine Operating Partnership, L.P. | Yesþ Noo |
Brandywine Realty Trust | Yeso Noþ | |
Brandywine Operating Partnership, L.P. | Yeso Noþ |
Brandywine Realty Trust | Yesþ Noo | |
Brandywine Operating Partnership, L.P. | Yesþ Noo |
Large accelerated filerþ Accelerated filero Non-accelerated filero Smaller reporting companyo
Large accelerated filero Accelerated filerþ Non-accelerated filero Smaller reporting companyo
Brandywine Realty Trust | Yeso Noþ | |
Brandywine Operating Partnership, L.P. | Yeso Noþ |
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• | changes in general economic conditions; | ||
• | changes in local real estate conditions (including changes in rental rates and the number of properties that compete with our properties); | ||
• | changes in the economic conditions affecting industries in which our principal tenants compete; | ||
• | our failure to lease unoccupied space in accordance with our projections; | ||
• | our failure to re-lease occupied space upon expiration of leases; | ||
• | the bankruptcy of major tenants; | ||
• | changes in prevailing interest rates; | ||
• | the unavailability of equity and debt financing; | ||
• | failure of acquisitions to perform as expected; | ||
• | unanticipated costs associated with, and integration of, our acquisitions; | ||
• | unanticipated costs to complete and lease-up pending developments; | ||
• | impairment charges; | ||
• | increased costs for, or lack of availability of, adequate insurance, including for terrorist acts; | ||
• | demand for tenant services beyond those traditionally provided by landlords; | ||
• | potential liability under environmental or other laws; | ||
• | earthquakes and other natural disasters; | ||
• | complex regulations relating to our status as a REIT and to our acquisition, disposition and development activities; |
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• | inability to complete acquisitions that may be necessary to complete 1031 transactions or provide required tax protection under existing agreements; | ||
• | the adverse consequences of our failure to qualify as a REIT; and | ||
• | the impact of newly adopted accounting principles on our accounting policies and on period-to-period comparisons of financial results. |
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• | On December 19, 2007, the Company formed G&I Interchange Office LLC, a new joint venture (the “Venture”) with G&I VI Investment Interchange Office LLC (“G&I VI”), an investment vehicle advised by DRA Advisors LLC. The Venture included interests in 29 office properties which were located in various counties in Pennsylvania, containing an aggregate of 1,616,227 net rentable square feet. The Company transferred or contributed 100% interests in 26 properties and transferred to the Venture an 89% interest in three of the properties with the remaining 11% interest in the three properties subject to a put/call at fixed prices after three years. In connection with the formation, the Company effectively transferred an 80% interest in the venture to G&I IV for cash and the venture borrowed approximately $184.0 million in third party financing the aggregate proceeds of which were distributed to the Company. The Company used the net proceeds of approximately $230.9 million that it received in this transaction to reduce outstanding indebtedness under our unsecured revolving credit facility. The Company was hired by the Venture to perform property management and leasing services. | ||
• | On November 30, 2007, we sold 111/113 Pencader Drive, an office property located in Newark, Delaware containing 52,665 net rentable square feet, for a sales price of $5.1 million. | ||
• | On November 15, 2007, we sold 2490 Boulevard of the Generals, an office property located in West Norriton, Pennsylvania containing 20,600 net rentable square feet, for a sales price of $1.5 million. | ||
• | On September 7, 2007, we sold seven land parcels located in the Iron Run Business Park in Lehigh County, Pennsylvania containing an aggregate 51.5 acres of land, for an aggregate sales price of $6.6 million. | ||
• | On July 19, 2007, we acquired the United States Post Office building, an office property located in Philadelphia, Pennsylvania containing 862,692 net rentable square feet, for an aggregate purchase price of $28.0 million. We intend to redevelop the building into office space for lease to the Internal Revenue Service (“IRS”). As part of the acquisition, we also acquired a 90 year ground lease interest in an adjacent parcel of ground of approximately 2.54 acres, commonly referred to as the “postal annex”. We are currently demolishing the existing structure located on the postal annex and intend to rebuild a parking facility containing approximately 733,000 square feet that will be used primarily by the IRS employees upon their move into the planned space at the Post Office building. The remaining postal annex ground leased parcels can accommodate additional office, retail, hotel and residential development and we are currently in the planning stage with respect to these parcels. | ||
• | On July 19, 2007, we acquired five office properties containing 508,607 net rentable square feet and a 4.9 acre land parcel in the Boulders office park in Richmond, Virginia for an aggregate purchase price of $96.3 million. We funded a portion of the purchase price using the remaining proceeds from the sale of the 10 office properties located in Reading and Harrisburg, Pennsylvania in March 2007. | ||
• | On May 10, 2007, we acquired Lake Merritt Tower, an office property located in Oakland, California containing 204,278 net rentable square feet for an aggregate contracted purchase price of $72.0 million. A portion of the proceeds from the sale of 10 office properties located in Reading and Harrisburg, Pennsylvania in March 2007 was used to fully fund this purchase. | ||
• | On April 30, 2007, we sold Cityplace Center, an office property located in Dallas, Texas containing 1,295,832 net rentable square feet, for a sales price of $115.0 million. | ||
• | On March 30, 2007, we sold 10 office properties located in Reading and Harrisburg, Pennsylvania containing 940,486 net rentable square feet, for an aggregate sales price of $112.0 million. We structured this transaction to qualify as a like-kind exchange under Section 1031 of the Internal Revenue Code and the cash from the sale was held by a qualified intermediary for purposes of accomplishing the like-kind exchange as noted in the above transactions. | ||
• | On March 30, 2007, we sold 1007 Laurel Oak, an office property located in Voorhees, New Jersey containing 78,205 net rentable square feet, for a sales price of $7.0 million. |
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• | On March 1, 2007, we acquired the 49% minority interest in one of our previously consolidated real estate ventures that owned 10 office properties containing an aggregate of 1.1 million net rentable square feet for a purchase price of $63.7 million. | ||
• | On January 31, 2007, we sold George Kachel Farmhouse, an office property located in Reading, Pennsylvania containing 1,664 net rentable square feet, for a sales price of $0.2 million. | ||
• | On January 19, 2007, we sold four office properties located in Dallas, Texas containing 1,091,186 net rentable square feet and a 4.7 acre land parcel, for an aggregate sales price of $107.1 million. | ||
• | On January 18, 2007, we sold Norriton Office Center, an office property located in East Norriton, Pennsylvania containing 73,394 net rentable square feet, for a sales price of $7.8 million. |
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• | maximize cash flow through leasing strategies designed to capture rental growth as rental rates increase and as below-market leases are renewed; | ||
• | attain a high tenant retention rate by providing a full array of property management and maintenance services and tenant service programs responsive to the varying needs of our diverse tenant base; | ||
• | increase the economic diversification of our tenant base while maximizing economies of scale; | ||
• | as warranted by market conditions, deploy our land inventory and seek new land parcels on which to develop high-quality office and industrial properties to service our tenant base; | ||
• | capitalize on our redevelopment expertise to selectively acquire, redevelop and reposition properties in desirable locations; | ||
• | acquire high-quality office and industrial properties and portfolios of such properties at attractive yields in markets that we expect will experience economic growth; | ||
• | form joint venture opportunities with high-quality partners having attractive real estate holdings or significant financial resources; and | ||
• | utilize our reputation as a full-service real estate development and management organization to identify opportunities that will expand our business and create long-term value. |
• | current and projected market rents and absorption statistics justify construction activity; | ||
• | we can maximize market penetration by accumulating a critical mass of properties and thereby enhance operating efficiencies; |
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• | barriers to entry (such as zoning restrictions, utility availability, infrastructure limitations, development moratoriums and limited developable land) will create supply constraints on office and industrial space; and |
• | there is potential for economic growth, particularly job growth and industry diversification. |
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• | downturns in the national, regional and local economic climate including increases in the unemployment rate and inflation; | ||
• | competition from other office, industrial and commercial buildings; | ||
• | local real estate market conditions, such as oversupply or reduction in demand for office, or other commercial or industrial space; | ||
• | changes in interest rates and availability of financing; | ||
• | vacancies, changes in market rental rates and the need to periodically repair, renovate and re-lease space; | ||
• | increased operating costs, including insurance expense, utilities, real estate taxes, janitorial costs, state and local taxes, labor shortages and heightened security costs; | ||
• | civil disturbances, earthquakes and other natural disasters, or terrorist acts or acts of war which may result in uninsured or underinsured losses; | ||
• | significant expenditures associated with each investment, such as debt service payments, real estate taxes, insurance and maintenance costs which are generally not reduced when circumstances cause a reduction in revenues from a property; and | ||
• | declines in the financial condition of our tenants and our ability to collect rents from our tenants. |
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• | the unavailability of favorable financing alternatives in the private and public debt markets; | ||
• | having debt capacity sufficient to pay development costs; | ||
• | unprecedented market volatility in the share price of REITs; | ||
• | dependence on the financial services sector as part of our tenant base; | ||
• | construction costs exceeding original estimates due to rising interest rates, diminished availability of materials and labor, and increases in the costs of materials and labor; | ||
• | construction and lease-up delays resulting in increased debt service, fixed expenses and construction or renovation costs; | ||
• | expenditure of funds and devotion of management’s time to projects that we do not complete; | ||
• | the unavailability or scarcity of utilities; | ||
• | occupancy rates and rents at newly completed properties may fluctuate depending on a number of factors, including market and economic conditions, resulting in lower than projected rental rates and a corresponding lower return on our investment; | ||
• | complications (including building moratoriums and anti-growth legislation) in obtaining necessary zoning, occupancy and other governmental permits; and | ||
• | increased use restrictions by local zoning or planning authorities limiting our ability to develop and impacting the size of developments. |
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• | Reducing the availability of potential bidders to bid attractively for our for-sale properties or to close on sales at all; |
• | Increasing the cost of debt we use to finance our ongoing operations and fund our development and redevelopment activities, thereby increasing their costs and reducing the associated returns; and |
• | Preventing us from accessing necessary debt capital on a timely basis leading us to consider potentially more dilutive capital transactions such as undesirable sales of properties or securities. |
• | we may not be able to obtain financing for acquisitions on favorable terms; | ||
• | acquired properties may fail to perform as expected; | ||
• | the actual costs of repositioning or redeveloping acquired properties may be higher than our estimates; | ||
• | acquired properties may be located in new markets where we may have limited knowledge and understanding of the local economy, an absence of business relationships in the area or unfamiliarity with local governmental and permitting procedures; and | ||
• | we may not be able to efficiently integrate acquired properties, particularly portfolios of properties, into our organization and manage new properties in a way that allows us to realize cost savings and synergies. |
• | liabilities for clean-up of pre-existing disclosed or undisclosed environmental contamination; | ||
• | claims by tenants, vendors or other persons arising on account of actions or omissions of the former owners of the properties; and | ||
• | liabilities incurred in the ordinary course of business. |
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• | the operational and financial performance of our properties; | ||
• | capital expenditures with respect to existing, developed and newly acquired properties; | ||
• | general and administrative costs associated with our operation as a publicly-held REIT; | ||
• | the amount of, and the interest rates on, our debt; and | ||
• | the absence of significant expenditures relating to environmental and other regulatory matters. |
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• | consider the transfer to be null and void; | ||
• | not reflect the transaction on our books; | ||
• | institute legal action to stop the transaction; | ||
• | not pay dividends or other distributions with respect to those shares; |
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• | not recognize any voting rights for those shares; and | ||
• | consider the shares held in trust for the benefit of a person to whom such shares may be transferred. |
• | increases in market interest rates, relative to the dividend yield on our shares. If market interest rates go up, prospective purchasers of our securities may require a higher yield. Higher market interest rates would not, however, result in more funds for us to distribute and, to the contrary, would likely increase our |
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borrowing costs and potentially decrease funds available for distribution. Thus, higher market interest rates could cause the market price of our common shares to go down; | |||
• | anticipated benefit of an investment in our securities as compared to investment in securities of companies in other industries (including benefits associated with tax treatment of dividends and distributions); | ||
• | perception by market professionals of REITs generally and REITs comparable to us in particular; | ||
• | level of institutional investor interest in our securities; | ||
• | relatively low trading volumes in securities of REITs; | ||
• | our results of operations and financial condition; and | ||
• | investor confidence in the stock market generally. |
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Month of | # of | Rentable Square | Purchase | |||||||||||||
Acquisition | Property/Portfolio Name | Location | Buildings | Feet/ Acres | Price | |||||||||||
(in 000’s) | ||||||||||||||||
Office: | ||||||||||||||||
Mar-07 | Brandywine Office Investors, L.P. | Various | 10 | 1,098,340 | $ | 63,731 | ||||||||||
May-07 | 155 Grand Avenue | Oakland, CA | 1 | 204,278 | 72,000 | |||||||||||
Jul-07 | The Boulders | Richmond, VA | 5 | 508,607 | 95,000 | |||||||||||
Jul-07 | Post Office/IRS | Philadelphia, PA | 1 | 862,692 | 28,000 | |||||||||||
Jul-07 | Cira South Garage | Philadelphia, PA | — | 733,000 | (a) | |||||||||||
Total Office Properties Acquired | 17 | 3,406,917 | $ | 258,731 | ||||||||||||
Land Parcels: | ||||||||||||||||
Jul-07 | Boulders land | Richmond, VA | 4.9 | 1,250 | ||||||||||||
Total Land Acquired | 4.9 | $ | 1,250 | |||||||||||||
(a) | Property to be constructed by us on land subject to a ground lease |
Month Placed | # of | Rentable | ||||||||||
in Service | Property/Portfolio Name | Location | Buildings | Square Feet | ||||||||
Office: | ||||||||||||
Jun-07 | 555 Lancaster Avenue | Radnor, PA | 1 | 242,099 | ||||||||
Sep-07 | 150 Radnor Chester Road | Radnor, PA | 1 | 339,198 | ||||||||
Sep-07 | 170 Radnor Chester Road | Radnor, PA | 1 | 69,787 | ||||||||
Sep-07 | Three Paragon Place | Richmond, VA | 1 | 74,604 | ||||||||
Dec-07 | 130 Radnor Chester Road | Radnor, PA | 1 | 71,349 | ||||||||
Dec-06 | 201 King of Prussia Road | Radnor, PA | 1 | 251,372 | ||||||||
Total Properties Placed in Service | 6 | 1,048,409 | ||||||||||
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Month of | # of | Rentable Square | Sales | |||||||||||||
Sale | Property/Portfolio Name | Location | Bldgs. | Feet/ Acres | Price | |||||||||||
(in 000’s) | ||||||||||||||||
Office: | ||||||||||||||||
Jan-07 | Norriton Office Center | East Norriton, PA | 1 | 73,394 | $ | 7,785 | ||||||||||
Jan-07 | Park West | Dallas, TX | 4 | 1,091,186 | 105,000 | |||||||||||
Jan-07 | George Kachel Farmhouse | Reading, PA | 1 | 1,664 | 245 | |||||||||||
Mar-07 | Reading/Harrisburg | Reading and Harrisburg, PA | 10 | 940,486 | 112,000 | |||||||||||
Mar-07 | 1007 Laurel Oak | Voorhees, NJ | 1 | 78,205 | 7,000 | |||||||||||
Apr-07 | Cityplace | Dallas, TX | 1 | 1,295,832 | 115,000 | |||||||||||
Nov-07 | 2490 Boulevard of the Generals | West Norriton, PA | 1 | 20,600 | 1,458 | |||||||||||
Nov-07 | 111/113 Pencader Drive | Newark, DE | 1 | 52,665 | 5,135 | |||||||||||
Dec-07 | G&I VI Interchange Office, LLC | Various | 29 | 1,616,227 | 242,150 | |||||||||||
Total Office Properties Sold | 49 | 5,170,259 | $ | 595,773 | ||||||||||||
Land Parcels: | ||||||||||||||||
Jan-07 | Park West Land | Dallas, TX | 4.7 | $ | 2,100 | |||||||||||
Sep-07 | Iron Run Land Parcels | Lehigh County, PA | 51.5 | 6,600 | ||||||||||||
Total Land Sold | 56.2 | $ | 8,700 | |||||||||||||
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% | ||||||||||||
Leased | Projected | |||||||||||
Rentable | as of | In-Service | ||||||||||
Project Name | Location | Square Feet | 12/31/07 | Date (a) | ||||||||
Under Development: | ||||||||||||
South Lake at Dulles Corner | Herndon, VA | 267,350 | 0.0 | % | Q4’09 | |||||||
Park on Barton Creek | Austin, TX | 213,255 | 30.7 | % | Q2’09 | |||||||
Metroplex I | Plymouth Meeting, PA | 120,877 | 9.3 | % | Q1’09 | |||||||
1200 Lenox Drive | Lawrenceville, NJ | 71,250 | 0.0 | % | Q1’09 | |||||||
2100 Franklin | Oakland, CA | 213,905 | 0.0 | % | Q1’09 | |||||||
Post Office/IRS | Philadelphia, PA | 862,692 | 100.0 | % | Q3’10 | |||||||
Cira South Garage | Philadelphia, PA | 733,000 | 66.7 | % | Q3’10 | |||||||
2,482,329 | ||||||||||||
Under Redevelopment: | ||||||||||||
100 Lenox Drive | Lawrenceville, NJ | 92,980 | 0.0 | % | Q2’09 | |||||||
Atrium I | Mount Laurel, NJ | 97,158 | 50.9 | % | Q4’08 | |||||||
One Rockledge Associates | Bethesda, MD | 160,173 | 57.0 | % | Q1’09 | |||||||
Delaware Corporate Center II | Wilmington, DE | 95,514 | 67.4 | % | Q3’08 | |||||||
Radnor Corporate Center I | Radnor, PA | 190,219 | 65.9 | % | Q1’09 | |||||||
1333 Broadway | Oakland, CA | 239,830 | 72.5 | % | Q1’09 | |||||||
300 Delaware Avenue | Wilmington, DE | 298,071 | 78.0 | % | Q2’09 | |||||||
1,173,945 | ||||||||||||
3,656,274 | ||||||||||||
(a) | Projected in-service date represents the earlier of (i) the date at which the property is estimated to be 95% occupied or (ii) one year from the project completion date. |
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Average | ||||||||||||||||||||||||||||
Total Base Rent | Annualized | |||||||||||||||||||||||||||
Net | Percentage | for the Twelve | Rental Rate | |||||||||||||||||||||||||
Year | Rentable | Leased as of | Months Ended | as of | ||||||||||||||||||||||||
Built/ | Square | December 31, | December 31, | December 31, | ||||||||||||||||||||||||
Property Name | Location | State | Renovated | Feet | 2007 (a) | 2007 (b) (000’s) | 2007 (c) | |||||||||||||||||||||
CALIFORNIA NORTH SEGMENT | ||||||||||||||||||||||||||||
1 Kaiser Plaza | Oakland | CA | 1970 | 530,850 | 94.0 | % | $ | 16,232 | $ | 35.04 | ||||||||||||||||||
2101 Webster Street | Oakland | CA | 1985 | 464,424 | 93.7 | % | 12,210 | 30.86 | ||||||||||||||||||||
1901 Harrison Street | Oakland | CA | 1985 | 272,100 | 98.8 | % | 7,622 | 33.12 | ||||||||||||||||||||
155 Grand Avenue | Oakland | CA | 1990 | 204,278 | 98.0 | % | 4,088 | 35.90 | ||||||||||||||||||||
1220 Concord Avenue | Concord | CA | 1984 | 175,153 | 100.0 | % | 2,944 | 22.38 | ||||||||||||||||||||
1200 Concord Avenue | Concord | CA | 1984 | 175,103 | 100.0 | % | 4,155 | 24.99 | ||||||||||||||||||||
CALIFORNIA SOUTH SEGMENT | ||||||||||||||||||||||||||||
5780 & 5790 Feet Street | Carlsbad | CA | 1999 | 121,381 | 94.2 | % | 3,284 | 31.94 | ||||||||||||||||||||
5900 & 5950 La Place Court | Carlsbad | CA | 1988 | 80,506 | 96.4 | % | 1,881 | 24.26 | ||||||||||||||||||||
16870 West Bernardo Drive | San Diego | CA | 2002 | 68,708 | 82.4 | % | 2,032 | 33.63 | ||||||||||||||||||||
5963 La Place Court | Carlsbad | CA | 1987 | 61,587 | 65.5 | % | 1,191 | 25.96 | ||||||||||||||||||||
2035 Corte Del Nogal | Carlsbad | CA | 1991 | 53,982 | 100.0 | % | 1,158 | 23.26 | ||||||||||||||||||||
5973 Avendia Encinas | Carlsbad | CA | 1986 | 51,695 | 100.0 | % | 1,373 | 27.25 | ||||||||||||||||||||
METROPOLITAN WASHINGTON D.C. REGION SEGMENT | ||||||||||||||||||||||||||||
7101 Wisconsin Avenue | Bethesda | MD | 1975 | 223,054 | 95.4 | % | 5,073 | 26.54 | ||||||||||||||||||||
2273 Research Boulevard | Rockville | MD | 1999 | 147,689 | 98.4 | % | 3,967 | 26.28 | ||||||||||||||||||||
2275 Research Boulevard | Rockville | MD | 1990 | 147,650 | 88.6 | % | 3,545 | 13.10 | ||||||||||||||||||||
2277 Research Boulevard | Rockville | MD | 1986 | 137,045 | 100.0 | % | 3,099 | — | ||||||||||||||||||||
11720 Beltsville Drive | Beltsville | MD | 1987 | 128,903 | 78.6 | % | 2,013 | 19.70 | ||||||||||||||||||||
7735 Old Georgetown Road | Bethesda | MD | 1964/1997 | 122,543 | 95.0 | % | 3,168 | 31.07 | ||||||||||||||||||||
11700 Beltsville Drive | Beltsville | MD | 1981 | 96,843 | 68.6 | % | 1,431 | 21.59 | ||||||||||||||||||||
11710 Beltsville Drive | Beltsville | MD | 1987 | 81,281 | 67.6 | % | 860 | 23.52 | ||||||||||||||||||||
11740 Beltsville Drive | Beltsville | MD | 1987 | 6,783 | 100.0 | % | 153 | 22.76 | ||||||||||||||||||||
1676 International Drive | McLean | VA | 1999 | 299,388 | 100.0 | % | 9,283 | 33.01 | ||||||||||||||||||||
2340 Dulles Corner Boulevard | Herndon | VA | 1987 | 264,405 | 100.0 | % | 7,954 | 28.01 | ||||||||||||||||||||
2291 Wood Oak Drive | Herndon | VA | 1999 | 227,574 | 100.0 | % | 5,326 | 28.89 | ||||||||||||||||||||
1900 Gallows Road | Vienna | VA | 1989 | 202,684 | 100.0 | % | 4,244 | 23.99 | ||||||||||||||||||||
3130 Fairview Park Drive | Falls Church | VA | 1999 | 180,645 | 73.7 | % | 4,335 | 35.27 | ||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | 1988 | 180,611 | 96.9 | % | 4,458 | 25.65 | ||||||||||||||||||||
2355 Dulles Corner Boulevard | Herndon | VA | 1988 | 179,334 | 99.4 | % | 4,432 | 24.43 | ||||||||||||||||||||
2411 Dulles Corner Park | Herndon | VA | 1990 | 176,618 | 100.0 | % | 5,342 | 27.86 | ||||||||||||||||||||
1880 Campus Commons Drive | Reston | VA | 1985 | 172,448 | 100.0 | % | 3,112 | 20.57 | ||||||||||||||||||||
2121 Cooperative Way | Herndon | VA | 2000 | 161,274 | 91.4 | % | 4,329 | 28.45 | ||||||||||||||||||||
8260 Greensboro Drive | McLean | VA | 1980 | 159,498 | 100.0 | % | 3,722 | 24.64 | ||||||||||||||||||||
2251 Corporate Park Drive | Herndon | VA | 2000 | 158,016 | 100.0 | % | 5,425 | 35.44 | ||||||||||||||||||||
12015 Lee Jackson Memorial Highway | Fairfax | VA | 1985 | 153,255 | 97.1 | % | 3,478 | 24.50 | ||||||||||||||||||||
13880 Dulles Corner Lane | Herndon | VA | 1997 | 151,747 | 100.0 | % | 4,686 | 32.55 | ||||||||||||||||||||
8521 Leesburg Pike | Vienna | VA | 1984 | 149,743 | 97.9 | % | 3,236 | 25.88 | ||||||||||||||||||||
2201 Cooperative Way | Herndon | VA | 1990 | 138,806 | 100.0 | % | 3,829 | 29.84 | ||||||||||||||||||||
11781 Lee Jackson Memorial Highway | Fairfax | VA | 1982 | 130,935 | 96.1 | % | 3,021 | 23.54 | ||||||||||||||||||||
13825 Sunrise Valley Drive | Herndon | VA | 1989 | 104,150 | 100.0 | % | 2,484 | 25.99 | ||||||||||||||||||||
198 Van Buren Street | Herndon | VA | 1996 | 98,934 | 100.0 | % | 2,677 | 28.63 | ||||||||||||||||||||
196 Van Buren Street | Herndon | VA | 1991 | 97,781 | 66.6 | % | 1,885 | 29.68 | ||||||||||||||||||||
4401 Fair Lakes Court | Fairfax | VA | 1988 | 55,972 | 89.1 | % | 1,314 | 25.15 |
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Average | ||||||||||||||||||||||||||||||||
Total Base Rent | Annualized | |||||||||||||||||||||||||||||||
Net | Percentage | for the Twelve | Rental Rate | |||||||||||||||||||||||||||||
Year | Rentable | Leased as of | Months Ended | as of | ||||||||||||||||||||||||||||
Built/ | Square | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||
Property Name | Location | State | Renovated | Feet | 2007 (a) | 2007 (b) (000’s) | 2007 (c) | |||||||||||||||||||||||||
PENNSYLVANIA SEGMENT | ||||||||||||||||||||||||||||||||
2929 Arch Street | (d | ) | Philadelphia | PA | 2006 | 729,897 | 99.3 | % | 24,029 | 32.98 | ||||||||||||||||||||||
100 North 18th Street | (e | ) | Philadelphia | PA | 1988 | 702,286 | 98.7 | % | 20,596 | 30.37 | ||||||||||||||||||||||
130 North 18th Street | Philadelphia | PA | 1998 | 594,361 | 98.5 | % | 12,706 | 27.23 | ||||||||||||||||||||||||
150 Radnor Chester Road | Radnor | PA | 1983 | 339,198 | 100.0 | % | 7,999 | 18.94 | ||||||||||||||||||||||||
201 King of Prussia Road | Radnor | PA | 2001 | 251,372 | 84.1 | % | 5,066 | 23.83 | ||||||||||||||||||||||||
555 Lancaster Avenue | Radnor | PA | 1973 | 242,099 | 99.5 | % | 6,067 | 27.99 | ||||||||||||||||||||||||
401 Plymouth Road | Plymouth Meeting | PA | 2001 | 201,883 | 96.9 | % | 6,123 | 31.50 | ||||||||||||||||||||||||
Philadelphia Marine Center | (d | ) | Philadelphia | PA | Various | 181,900 | 91.2 | % | 1,479 | 4.56 | ||||||||||||||||||||||
101 West Elm Street | W. Conshohocken | PA | 1999 | 175,009 | 95.8 | % | 3,805 | 23.74 | ||||||||||||||||||||||||
Four Radnor Corporate Center | Radnor | PA | 1995 | 165,138 | 93.3 | % | 2,944 | 21.74 | ||||||||||||||||||||||||
Five Radnor Corporate Center | Radnor | PA | 1998 | 164,577 | 83.1 | % | 4,417 | 30.85 | ||||||||||||||||||||||||
751-761 Fifth Avenue | King Of Prussia | PA | 1967 | 158,000 | 100.0 | % | 543 | 3.64 | ||||||||||||||||||||||||
630 Allendale Road | King of Prussia | PA | 2000 | 150,000 | 100.0 | % | 3,722 | 26.04 | ||||||||||||||||||||||||
640 Freedom Business Center | (d | ) | King Of Prussia | PA | 1991 | 132,000 | 65.3 | % | 1,757 | 23.37 | ||||||||||||||||||||||
52 Swedesford Square | East Whiteland Twp. | PA | 1988 | 131,017 | 100.0 | % | 2,806 | 23.10 | ||||||||||||||||||||||||
400 Berwyn Park | Berwyn | PA | 1999 | 124,182 | 100.0 | % | 3,267 | 27.45 | ||||||||||||||||||||||||
Three Radnor Corporate Center | Radnor | PA | 1998 | 119,194 | 77.6 | % | 2,857 | 32.96 | ||||||||||||||||||||||||
101 Lindenwood Drive | Malvern | PA | 1988 | 118,121 | 85.5 | % | 2,337 | 21.02 | ||||||||||||||||||||||||
7130 Ambassador Drive | (f | ) | Allentown | PA | 1991 | 114,049 | 100.0 | % | 430 | 5.27 | ||||||||||||||||||||||
300 Berwyn Park | Berwyn | PA | 1989 | 108,619 | 100.0 | % | 2,242 | 23.56 | ||||||||||||||||||||||||
442 Creamery Way | (f | ) | Exton | PA | 1991 | 104,500 | 100.0 | % | 598 | 6.71 | ||||||||||||||||||||||
Two Radnor Corporate Center | Radnor | PA | 1998 | 100,973 | 91.4 | % | 2,498 | 30.99 | ||||||||||||||||||||||||
301 Lindenwood Drive | Malvern | PA | 1984 | 97,813 | 97.3 | % | 1,907 | 20.64 | ||||||||||||||||||||||||
1 West Elm Street | W. Conshohocken | PA | 1999 | 97,737 | 79.7 | % | 2,744 | 26.91 | ||||||||||||||||||||||||
555 Croton Road | King of Prussia | PA | 1999 | 96,909 | 79.4 | % | 2,226 | 31.51 | ||||||||||||||||||||||||
500 North Gulph Road | King Of Prussia | PA | 1979 | 93,082 | 76.5 | % | 838 | 18.26 | ||||||||||||||||||||||||
620 West Germantown Pike | Plymouth Meeting | PA | 1990 | 90,183 | 87.1 | % | 1,795 | 27.68 | ||||||||||||||||||||||||
610 West Germantown Pike | Plymouth Meeting | PA | 1987 | 90,152 | 91.1 | % | 1,610 | 28.41 | ||||||||||||||||||||||||
630 West Germantown Pike | Plymouth Meeting | PA | 1988 | 89,925 | 56.5 | % | 1,428 | 28.04 | ||||||||||||||||||||||||
600 West Germantown Pike | Plymouth Meeting | PA | 1986 | 89,681 | 83.3 | % | 1,795 | 26.02 | ||||||||||||||||||||||||
630 Freedom Business Center | (d | ) | King Of Prussia | PA | 1989 | 86,683 | 100.0 | % | 1,966 | 25.48 | ||||||||||||||||||||||
620 Freedom Business Center | (d | ) | King Of Prussia | PA | 1986 | 86,570 | 100.0 | % | 1,760 | 22.50 | ||||||||||||||||||||||
1200 Swedsford Road | Berwyn | PA | 1994 | 86,000 | 100.0 | % | 1,785 | 24.75 | ||||||||||||||||||||||||
595 East Swedesford Road | Wayne | PA | 1998 | 81,890 | 100.0 | % | 1,750 | 21.84 | ||||||||||||||||||||||||
1050 Westlakes Drive | Berwyn | PA | 1984 | 80,000 | 100.0 | % | 1,818 | — | ||||||||||||||||||||||||
One Progress Drive | Horsham | PA | 1986 | 79,204 | 100.0 | % | 841 | 13.45 | ||||||||||||||||||||||||
1060 First Avenue | King Of Prussia | PA | 1987 | 77,718 | 73.2 | % | 1,383 | 18.48 | ||||||||||||||||||||||||
741 First Avenue | King Of Prussia | PA | 1966 | 77,184 | 100.0 | % | 580 | 8.89 | ||||||||||||||||||||||||
1040 First Avenue | King Of Prussia | PA | 1985 | 75,488 | 78.7 | % | 1,416 | 21.99 | ||||||||||||||||||||||||
200 Berwyn Park | Berwyn | PA | 1987 | 75,025 | 100.0 | % | 1,585 | 24.10 | ||||||||||||||||||||||||
1020 First Avenue | King Of Prussia | PA | 1984 | 74,556 | 100.0 | % | 1,608 | 19.25 | ||||||||||||||||||||||||
1000 First Avenue | King Of Prussia | PA | 1980 | 74,139 | 87.7 | % | 1,057 | 20.17 | ||||||||||||||||||||||||
436 Creamery Way | Exton | PA | 1991 | 72,300 | 96.2 | % | 679 | 14.30 | ||||||||||||||||||||||||
130 Radnor Chester Road | Radnor | PA | 1983 | 71,349 | 100.0 | % | 583 | — | ||||||||||||||||||||||||
170 Radnor Chester Road | Radnor | PA | 1983 | 69,787 | 92.6 | % | 1,560 | 17.98 | ||||||||||||||||||||||||
14 Campus Boulevard | Newtown Square | PA | 1998 | 69,542 | 100.0 | % | 832 | — | ||||||||||||||||||||||||
500 Enterprise Road | Horsham | PA | 1990 | 66,751 | 0.0 | % | 495 | — | ||||||||||||||||||||||||
575 East Swedesford Road | Wayne | PA | 1985 | 66,265 | 89.8 | % | 1,168 | 22.79 | ||||||||||||||||||||||||
429 Creamery Way | Exton | PA | 1996 | 63,420 | 100.0 | % | 790 | 16.49 |
-28-
Table of Contents
Average | ||||||||||||||||||||||||||||||||
Total Base Rent | Annualized | |||||||||||||||||||||||||||||||
Net | Percentage | for the Twelve | Rental Rate | |||||||||||||||||||||||||||||
Year | Rentable | Leased as of | Months Ended | as of | ||||||||||||||||||||||||||||
Built/ | Square | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||
Property Name | Location | State | Renovated | Feet | 2007 (a) | 2007 (b) (000’s) | 2007 (c) | |||||||||||||||||||||||||
610 Freedom Business Center | (d | ) | King Of Prussia | PA | 1985 | 62,991 | 54.9 | % | 1,386 | 22.23 | ||||||||||||||||||||||
925 Harvest Drive | Blue Bell | PA | 1990 | 62,957 | 96.1 | % | 1,207 | 21.30 | ||||||||||||||||||||||||
980 Harvest Drive | Blue Bell | PA | 1988 | 62,379 | 100.0 | % | 1,383 | 23.19 | ||||||||||||||||||||||||
426 Lancaster Avenue | Devon | PA | 1990 | 61,102 | 100.0 | % | 1,213 | 18.48 | ||||||||||||||||||||||||
1180 Swedesford Road | Berwyn | PA | 1987 | 60,371 | 100.0 | % | 1,847 | 32.41 | ||||||||||||||||||||||||
1160 Swedesford Road | Berwyn | PA | 1986 | 60,099 | 100.0 | % | 1,451 | 25.04 | ||||||||||||||||||||||||
100 Berwyn Park | Berwyn | PA | 1986 | 57,731 | 100.0 | % | 1,103 | 22.95 | ||||||||||||||||||||||||
440 Creamery Way | Exton | PA | 1991 | 57,218 | 100.0 | % | 648 | 14.10 | ||||||||||||||||||||||||
640 Allendale Road | (f | ) | King of Prussia | PA | 2000 | 56,034 | 100.0 | % | 350 | 8.01 | ||||||||||||||||||||||
565 East Swedesford Road | Wayne | PA | 1984 | 55,979 | 98.6 | % | 985 | 20.44 | ||||||||||||||||||||||||
650 Park Avenue | King Of Prussia | PA | 1968 | 54,338 | 97.1 | % | 796 | 16.08 | ||||||||||||||||||||||||
855 Springdale Drive | Exton | PA | 1986 | 53,500 | 73.5 | % | 324 | 16.71 | ||||||||||||||||||||||||
910 Harvest Drive | Blue Bell | PA | 1990 | 52,611 | 100.0 | % | 1,040 | 19.11 | ||||||||||||||||||||||||
680 Allendale Road | King Of Prussia | PA | 1962 | 52,528 | 100.0 | % | 544 | 13.34 | ||||||||||||||||||||||||
2240/50 Butler Pike | Plymouth Meeting | PA | 1984 | 52,229 | 100.0 | % | 1,119 | 21.48 | ||||||||||||||||||||||||
920 Harvest Drive | Blue Bell | PA | 1990 | 51,875 | 100.0 | % | 971 | 19.99 | ||||||||||||||||||||||||
486 Thomas Jones Way | Exton | PA | 1990 | 51,372 | 92.0 | % | 716 | 18.77 | ||||||||||||||||||||||||
660 Allendale Road | (f | ) | King of Prussia | PA | 1962 | 50,635 | 100.0 | % | 365 | 9.45 | ||||||||||||||||||||||
875 First Avenue | King Of Prussia | PA | 1966 | 50,000 | 100.0 | % | 1,038 | 21.41 | ||||||||||||||||||||||||
630 Clark Avenue | King Of Prussia | PA | 1960 | 50,000 | 100.0 | % | 301 | 8.19 | ||||||||||||||||||||||||
620 Allendale Road | King Of Prussia | PA | 1961 | 50,000 | 100.0 | % | 988 | 22.59 | ||||||||||||||||||||||||
15 Campus Boulevard | Newtown Square | PA | 2002 | 49,621 | 100.0 | % | 1,018 | 21.77 | ||||||||||||||||||||||||
479 Thomas Jones Way | Exton | PA | 1988 | 49,264 | 100.0 | % | 795 | 16.90 | ||||||||||||||||||||||||
17 Campus Boulevard | Newtown Square | PA | 2001 | 48,565 | 100.0 | % | 1,224 | 28.48 | ||||||||||||||||||||||||
11 Campus Boulevard | Newtown Square | PA | 1998 | 47,699 | 100.0 | % | 1,009 | 23.62 | ||||||||||||||||||||||||
456 Creamery Way | Exton | PA | 1987 | 47,604 | 100.0 | % | 363 | 8.16 | ||||||||||||||||||||||||
585 East Swedesford Road | Wayne | PA | 1998 | 43,683 | 100.0 | % | 1,001 | 25.40 | ||||||||||||||||||||||||
1100 Cassett Road | Berwyn | PA | 1997 | 43,480 | 100.0 | % | 1,106 | 29.74 | ||||||||||||||||||||||||
467 Creamery Way | Exton | PA | 1988 | 42,000 | 77.3 | % | 422 | 16.70 | ||||||||||||||||||||||||
1336 Enterprise Drive | West Goshen | PA | 1989 | 39,330 | 100.0 | % | 796 | 23.04 | ||||||||||||||||||||||||
600 Park Avenue | King Of Prussia | PA | 1964 | 39,000 | 100.0 | % | 545 | 15.15 | ||||||||||||||||||||||||
412 Creamery Way | Exton | PA | 1999 | 38,098 | 100.0 | % | 769 | 22.06 | ||||||||||||||||||||||||
18 Campus Boulevard | Newtown Square | PA | 1990 | 37,374 | 100.0 | % | 601 | 22.67 | ||||||||||||||||||||||||
457 Creamery Way | Exton | PA | 1990 | 36,019 | 100.0 | % | 386 | 15.85 | ||||||||||||||||||||||||
100 Arrandale Boulevard | Exton | PA | 1997 | 34,931 | 100.0 | % | 456 | 15.71 | ||||||||||||||||||||||||
300 Lindenwood Drive | Malvern | PA | 1991 | 33,000 | 100.0 | % | 216 | 21.90 | ||||||||||||||||||||||||
2260 Butler Pike | Plymouth Meeting | PA | 1984 | 31,892 | 100.0 | % | 663 | 21.16 | ||||||||||||||||||||||||
120 West Germantown Pike | Plymouth Meeting | PA | 1984 | 30,574 | 100.0 | % | 459 | 21.38 | ||||||||||||||||||||||||
468 Thomas Jones Way | Exton | PA | 1990 | 28,934 | 100.0 | % | 550 | 18.50 | ||||||||||||||||||||||||
1700 Paoli Pike | Malvern | PA | 2000 | 28,000 | 100.0 | % | 505 | 22.22 | ||||||||||||||||||||||||
140 West Germantown Pike | Plymouth Meeting | PA | 1984 | 25,357 | 89.6 | % | 513 | 24.22 | ||||||||||||||||||||||||
481 John Young Way | Exton | PA | 1997 | 19,275 | 100.0 | % | 405 | 22.88 | ||||||||||||||||||||||||
100 Lindenwood Drive | Malvern | PA | 1985 | 18,400 | 100.0 | % | 319 | 20.38 | ||||||||||||||||||||||||
748 Springdale Drive | Exton | PA | 1986 | 13,950 | 77.7 | % | 197 | 19.52 | ||||||||||||||||||||||||
200 Lindenwood Drive | Malvern | PA | 1984 | 12,600 | 65.3 | % | 123 | 19.17 | ||||||||||||||||||||||||
111 Arrandale Road | Exton | PA | 1996 | 10,479 | 100.0 | % | 198 | 18.72 |
-29-
Table of Contents
Average | ||||||||||||||||||||||||||||||||
Total Base Rent | Annualized | |||||||||||||||||||||||||||||||
Net | Percentage | for the Twelve | Rental Rate | |||||||||||||||||||||||||||||
Year | Rentable | Leased as of | Months Ended | as of | ||||||||||||||||||||||||||||
Built/ | Square | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||
Property Name | Location | State | Renovated | Feet | 2007 (a) | 2007 (b) (000’s) | 2007 (c) | |||||||||||||||||||||||||
NEW JERSEY/DELAWARE SEGMENT | ||||||||||||||||||||||||||||||||
50 East State Street | Trenton | NJ | 1989 | 305,884 | 91.3 | % | 5,240 | 30.51 | ||||||||||||||||||||||||
10000 Midlantic Drive | Mt. Laurel | NJ | 1990 | 182,931 | 96.4 | % | 2,519 | 24.41 | ||||||||||||||||||||||||
1009 Lenox Drive | Lawrenceville | NJ | 1989 | 180,460 | 92.2 | % | 4,248 | 29.66 | ||||||||||||||||||||||||
33 West State Street | Trenton | NJ | 1988 | 167,774 | 99.6 | % | 2,976 | 32.00 | ||||||||||||||||||||||||
525 Lincoln Drive West | Marlton | NJ | 1986 | 165,956 | 95.1 | % | 3,250 | 24.03 | ||||||||||||||||||||||||
Main Street — Plaza 1000 | Voorhees | NJ | 1988 | 162,364 | 93.9 | % | 3,274 | 24.87 | ||||||||||||||||||||||||
457 Haddonfield Road | Cherry Hill | NJ | 1990 | 121,737 | 100.0 | % | 2,751 | 24.89 | ||||||||||||||||||||||||
2000 Midlantic Drive | Mt. Laurel | NJ | 1989 | 121,658 | 100.0 | % | 1,913 | 24.77 | ||||||||||||||||||||||||
700 East Gate Drive | Mt. Laurel | NJ | 1984 | 119,272 | 93.5 | % | 2,135 | 25.14 | ||||||||||||||||||||||||
2000 Lenox Drive | Lawrenceville | NJ | 2000 | 119,114 | 100.0 | % | 3,209 | 31.75 | ||||||||||||||||||||||||
989 Lenox Drive | Lawrenceville | NJ | 1984 | 112,055 | 100.0 | % | 2,626 | 29.50 | ||||||||||||||||||||||||
993 Lenox Drive | Lawrenceville | NJ | 1985 | 111,124 | 100.0 | % | 2,882 | 29.84 | ||||||||||||||||||||||||
1000 Howard Boulevard | Mt. Laurel | NJ | 1988 | 105,312 | 100.0 | % | — | 23.17 | ||||||||||||||||||||||||
100 Brandywine Boulevard | Newtown | PA | 2002 | 102,000 | 100.0 | % | 2,681 | 26.36 | ||||||||||||||||||||||||
997 Lenox Drive | Lawrenceville | NJ | 1987 | 97,277 | 100.0 | % | 2,390 | 27.98 | ||||||||||||||||||||||||
1120 Executive Boulevard | Mt. Laurel | NJ | 1987 | 95,278 | 97.4 | % | 1,485 | 22.28 | ||||||||||||||||||||||||
15000 Midlantic Drive | Mt. Laurel | NJ | 1991 | 84,056 | 100.0 | % | 1,215 | 20.69 | ||||||||||||||||||||||||
220 Lake Drive East | Cherry Hill | NJ | 1988 | 78,509 | 87.3 | % | 1,272 | 23.69 | ||||||||||||||||||||||||
10 Lake Center Drive | Marlton | NJ | 1989 | 76,359 | 94.1 | % | 1,339 | 21.41 | ||||||||||||||||||||||||
200 Lake Drive East | Cherry Hill | NJ | 1989 | 76,352 | 88.1 | % | 1,462 | 25.26 | ||||||||||||||||||||||||
1400 Howard Boulevard | Mt. Laurel | NJ | 1995/2005 | 75,590 | 100.0 | % | 1,431 | 23.60 | ||||||||||||||||||||||||
Three Greentree Centre | Marlton | NJ | 1984 | 69,300 | 98.6 | % | 1,360 | 24.07 | ||||||||||||||||||||||||
9000 Midlantic Drive | Mt. Laurel | NJ | 1989 | 67,299 | 100.0 | % | 836 | 25.27 | ||||||||||||||||||||||||
6 East Clementon Road | Gibbsboro | NJ | 1980 | 66,236 | 87.1 | % | 862 | 19.22 | ||||||||||||||||||||||||
701 East Gate Drive | Mt. Laurel | NJ | 1986 | 61,794 | 93.5 | % | 1,093 | 19.99 | ||||||||||||||||||||||||
210 Lake Drive East | Cherry Hill | NJ | 1986 | 60,604 | 97.3 | % | 1,218 | 23.38 | ||||||||||||||||||||||||
308 Harper Drive | Moorestown | NJ | 1976 | 59,500 | 79.5 | % | 935 | 23.47 | ||||||||||||||||||||||||
305 Fellowship Drive | Mt. Laurel | NJ | 1980 | 56,824 | 100.0 | % | 1,122 | 23.06 | ||||||||||||||||||||||||
Two Greentree Centre | Marlton | NJ | 1983 | 56,075 | 64.6 | % | 710 | 22.94 | ||||||||||||||||||||||||
309 Fellowship Drive | Mt. Laurel | NJ | 1982 | 55,911 | 96.9 | % | 1,194 | 26.82 | ||||||||||||||||||||||||
One Greentree Centre | Marlton | NJ | 1982 | 55,838 | 95.4 | % | 1,046 | 21.63 | ||||||||||||||||||||||||
8000 Lincoln Drive | Marlton | NJ | 1997 | 54,923 | 100.0 | % | 1,003 | 19.30 | ||||||||||||||||||||||||
307 Fellowship Drive | Mt. Laurel | NJ | 1981 | 54,485 | 92.1 | % | 1,020 | 25.28 | ||||||||||||||||||||||||
303 Fellowship Drive | Mt. Laurel | NJ | 1979 | 53,768 | 90.6 | % | 1,003 | 23.40 | ||||||||||||||||||||||||
1000 Bishops Gate | Mt. Laurel | NJ | 2005 | 53,281 | 100.0 | % | 1,208 | 23.51 | ||||||||||||||||||||||||
1000 Lenox Drive | Lawrenceville | NJ | 1982 | 52,264 | 100.0 | % | 1,329 | 29.60 | ||||||||||||||||||||||||
2 Foster Avenue | (f | ) | Gibbsboro | NJ | 1974 | 50,761 | 100.0 | % | 167 | 5.39 | ||||||||||||||||||||||
4000 Midlantic Drive | Mt. Laurel | NJ | 1998 | 46,945 | 100.0 | % | 657 | 23.22 | ||||||||||||||||||||||||
Five Eves Drive | Marlton | NJ | 1986 | 45,564 | 100.0 | % | 828 | 20.64 | ||||||||||||||||||||||||
161 Gaither Drive | Mount Laurel | NJ | 1987 | 44,739 | 75.1 | % | 484 | 21.62 | ||||||||||||||||||||||||
Main Street — Piazza | Voorhees | NJ | 1990 | 44,708 | 89.6 | % | 695 | 20.56 | ||||||||||||||||||||||||
30 Lake Center Drive | Marlton | NJ | 1986 | 40,287 | 100.0 | % | 526 | 18.95 |
-30-
Table of Contents
Average | ||||||||||||||||||||||||||||||||
Total Base Rent | Annualized | |||||||||||||||||||||||||||||||
Net | Percentage | for the Twelve | Rental Rate | |||||||||||||||||||||||||||||
Year | Rentable | Leased as of | Months Ended | as of | ||||||||||||||||||||||||||||
Built/ | Square | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||
Property Name | Location | State | Renovated | Feet | 2007 (a) | 2007 (b) (000’s) | 2007 (c) | |||||||||||||||||||||||||
20 East Clementon Road Name | Gibbsboro | NJ | 1986 | 38,260 | 93.5 | % | 540 | 16.13 | ||||||||||||||||||||||||
Two Eves Drive | Marlton | NJ | 1987 | 37,532 | 88.3 | % | 568 | 19.18 | ||||||||||||||||||||||||
304 Harper Drive | Moorestown | NJ | 1975 | 32,978 | 100.0 | % | 686 | 24.51 | ||||||||||||||||||||||||
Main Street — Promenade | Voorhees | NJ | 1988 | 31,445 | 86.8 | % | 442 | 19.22 | ||||||||||||||||||||||||
Four B Eves Drive | Marlton | NJ | 1987 | 27,011 | 99.4 | % | 395 | 16.63 | ||||||||||||||||||||||||
815 East Gate Drive | Mt. Laurel | NJ | 1986 | 25,500 | 100.0 | % | 240 | 17.80 | ||||||||||||||||||||||||
817 East Gate Drive | Mt. Laurel | NJ | 1986 | 25,351 | 78.5 | % | 142 | 15.73 | ||||||||||||||||||||||||
Four A Eves Drive | Marlton | NJ | 1987 | 24,687 | 100.0 | % | 361 | 16.28 | ||||||||||||||||||||||||
1 Foster Avenue | (f | ) | Gibbsboro | NJ | 1972 | 24,255 | 100.0 | % | 62 | 4.75 | ||||||||||||||||||||||
4 Foster Avenue | (f | ) | Gibbsboro | NJ | 1974 | 23,372 | 100.0 | % | 156 | 9.19 | ||||||||||||||||||||||
7 Foster Avenue | Gibbsboro | NJ | 1983 | 22,158 | 100.0 | % | 387 | 22.23 | ||||||||||||||||||||||||
10 Foster Avenue | Gibbsboro | NJ | 1983 | 18,651 | 92.9 | % | 249 | 18.12 | ||||||||||||||||||||||||
305 Harper Drive | Moorestown | NJ | 1979 | 14,980 | 100.0 | % | 127 | 9.85 | ||||||||||||||||||||||||
5 U.S. Avenue | (f | ) | Gibbsboro | NJ | 1987 | 5,000 | 100.0 | % | 24 | 4.40 | ||||||||||||||||||||||
50 East Clementon Road | Gibbsboro | NJ | 1986 | 3,080 | 100.0 | % | 148 | 56.41 | ||||||||||||||||||||||||
5 Foster Avenue | Gibbsboro | NJ | 1968 | 2,000 | 100.0 | % | 7 | — | ||||||||||||||||||||||||
920 North King Street | Wilmington | DE | 1989 | 203,328 | 96.7 | % | 4,495 | 25.93 | ||||||||||||||||||||||||
400 Commerce Drive | Newark | DE | 1997 | 154,086 | 100.0 | % | 2,274 | 15.07 | ||||||||||||||||||||||||
One Righter Parkway | (d | ) | Wilmington | DE | 1989 | 104,761 | 98.4 | % | 2,412 | 22.57 | ||||||||||||||||||||||
200 Commerce Drive | Newark | DE | 1998 | 68,034 | 100.0 | % | 1,327 | 18.95 | ||||||||||||||||||||||||
100 Commerce Drive | Newark | DE | 1989 | 62,787 | 99.8 | % | 1,190 | 20.51 | ||||||||||||||||||||||||
SOUTHWEST SEGMENT | ||||||||||||||||||||||||||||||||
1250 Capital of Texas Highway South | Austin | TX | 1984 | 269,759 | 93.3 | % | 3,377 | 22.52 | ||||||||||||||||||||||||
1301 Mopac Expressway | Austin | TX | 2001 | 222,815 | 100.0 | % | 4,369 | 30.45 | ||||||||||||||||||||||||
1501 South Mopac Expressway | Austin | TX | 1999 | 198,872 | 98.3 | % | 2,782 | 25.24 | ||||||||||||||||||||||||
1601 Mopac Expressway | Austin | TX | 2000 | 195,639 | 100.0 | % | 3,032 | 25.48 | ||||||||||||||||||||||||
1221 Mopac Expressway | Austin | TX | 2001 | 173,302 | 97.8 | % | 3,440 | 31.52 | ||||||||||||||||||||||||
1801 Mopac Expressway | Austin | TX | 1999 | 58,576 | 100.0 | % | 989 | 29.86 | ||||||||||||||||||||||||
RICHMOND, VA SEGMENT | ||||||||||||||||||||||||||||||||
600 East Main Street | Richmond | VA | 1986 | 420,575 | 92.7 | % | 6,974 | 19.24 | ||||||||||||||||||||||||
300 Arboretum Place | Richmond | VA | 1988 | 212,647 | 96.1 | % | 3,801 | 19.55 | ||||||||||||||||||||||||
6800 Paragon Place | Richmond | VA | 1986 | 145,127 | 95.7 | % | 2,757 | 19.85 | ||||||||||||||||||||||||
6802 Paragon Place | Richmond | VA | 1989 | 143,585 | 100.0 | % | 2,282 | 16.23 | ||||||||||||||||||||||||
7501 Boulders View Drive | Richmond | VA | 1990 | 136,942 | 91.5 | % | 1,111 | 19.90 | ||||||||||||||||||||||||
2511 Brittons Hill Road | (f | ) | Richmond | VA | 1987 | 132,548 | 100.0 | % | 674 | 6.40 | ||||||||||||||||||||||
2100-2116 West Laburnam Avenue | Richmond | VA | 1976 | 127,142 | 80.7 | % | 1,824 | 15.49 | ||||||||||||||||||||||||
1957 Westmoreland Street | (f | ) | Richmond | VA | 1975 | 121,815 | 100.0 | % | 1,102 | 8.44 | ||||||||||||||||||||||
7300 Beaufont Springs Drive | Richmond | VA | 2000 | 120,665 | 100.0 | % | 1,148 | 19.96 | ||||||||||||||||||||||||
1025 Boulders Parkway | Richmond | VA | 1994 | 93,143 | 97.9 | % | 808 | 19.09 | ||||||||||||||||||||||||
2201-2245 Tomlynn Street | (f | ) | Richmond | VA | 1989 | 85,860 | 89.0 | % | 509 | 7.92 | ||||||||||||||||||||||
7401 Beaufont Springs Drive | Richmond | VA | 1998 | 82,639 | 87.3 | % | 631 | 19.42 | ||||||||||||||||||||||||
7325 Beaufont Springs Drive | Richmond | VA | 1999 | 75,218 | 100.0 | % | 682 | 19.81 | ||||||||||||||||||||||||
6806 Paragon Place | Richmond | VA | 2007 | 74,604 | 95.9 | % | 1,395 | 22.17 | ||||||||||||||||||||||||
100 Gateway Centre Parkway | Richmond | VA | 2001 | 74,585 | 53.6 | % | 12 | 8.50 | ||||||||||||||||||||||||
9011 Arboretum Parkway | Richmond | VA | 1991 | 73,174 | 100.0 | % | 1,140 | 17.88 |
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Average | ||||||||||||||||||||||||||||||||
Total Base Rent | Annualized | |||||||||||||||||||||||||||||||
Net | Percentage | for the Twelve | Rental Rate | |||||||||||||||||||||||||||||
Year | Rentable | Leased as of | Months Ended | as of | ||||||||||||||||||||||||||||
Built/ | Square | December 31, | December 31, | December 31, | ||||||||||||||||||||||||||||
Property Name | Location | State | Renovated | Feet | 2007 (a) | 2007 (b) (000’s) | 2007 (c) | |||||||||||||||||||||||||
4805 Lake Brooke Drive | Glen Allen | VA | 1996 | 61,249 | 100.0 | % | 853 | 16.65 | ||||||||||||||||||||||||
9100 Arboretum Parkway | Richmond | VA | 1988 | 57,917 | 96.3 | % | 917 | 18.00 | ||||||||||||||||||||||||
2812 Emerywood Parkway | Henrico | VA | 1980 | 56,984 | 100.0 | % | 841 | — | ||||||||||||||||||||||||
2277 Dabney Road | (f | ) | Richmond | VA | 1986 | 50,400 | 100.0 | % | 266 | 7.49 | ||||||||||||||||||||||
9200 Arboretum Parkway | Richmond | VA | 1988 | 49,542 | 71.4 | % | 486 | 14.65 | ||||||||||||||||||||||||
9210 Arboretum Parkway | Richmond | VA | 1988 | 48,012 | 100.0 | % | 676 | 14.42 | ||||||||||||||||||||||||
2212-2224 Tomlynn Street | (f | ) | Richmond | VA | 1985 | 45,353 | 100.0 | % | 220 | 7.21 | ||||||||||||||||||||||
2221-2245 Dabney Road | (f | ) | Richmond | VA | 1994 | 45,250 | 86.2 | % | 267 | 7.83 | ||||||||||||||||||||||
2251 Dabney Road | (f | ) | Richmond | VA | 1983 | 42,000 | 100.0 | % | 184 | 6.00 | ||||||||||||||||||||||
2161-2179 Tomlynn Street | (f | ) | Richmond | VA | 1985 | 41,550 | 100.0 | % | 256 | 7.86 | ||||||||||||||||||||||
2256 Dabney Road | (f | ) | Richmond | VA | 1982 | 33,413 | 100.0 | % | 218 | 8.02 | ||||||||||||||||||||||
2246 Dabney Road | (f | ) | Richmond | VA | 1987 | 33,271 | 100.0 | % | 285 | 10.64 | ||||||||||||||||||||||
2244 Dabney Road | (f | ) | Richmond | VA | 1993 | 33,050 | 100.0 | % | 298 | 10.86 | ||||||||||||||||||||||
9211 Arboretum Parkway | Richmond | VA | 1991 | 30,791 | 89.9 | % | 376 | 14.23 | ||||||||||||||||||||||||
2248 Dabney Road | (f | ) | Richmond | VA | 1989 | 30,184 | 94.8 | % | 163 | 8.48 | ||||||||||||||||||||||
2130-2146 Tomlynn Street | (f | ) | Richmond | VA | 1988 | 29,700 | 100.0 | % | 258 | 10.85 | ||||||||||||||||||||||
2120 Tomlyn Street | (f | ) | Richmond | VA | 1986 | 23,850 | 100.0 | % | 144 | 8.13 | ||||||||||||||||||||||
2240 Dabney Road | (f | ) | Richmond | VA | 1984 | 15,389 | 100.0 | % | 139 | 11.20 | ||||||||||||||||||||||
4364 South Alston Avenue | Durham | NC | 1985 | 56,601 | 100.0 | % | 1,132 | 20.54 | ||||||||||||||||||||||||
SUBTOTAL FULLY OWNED PROPERTIES / WEIGHTED AVG. | 24,883,344 | 94.7 | % | |||||||||||||||||||||||||||||
1177 East Belt Line Road | Coppell | TX | 1998 | 150,000 | 100.0 | % | 1,833 | 12.87 | ||||||||||||||||||||||||
181 Washington Street | Conshohocken | PA | 1999 | 115,122 | 88.2 | % | 3,020 | 28.95 | ||||||||||||||||||||||||
200 Barr Harbour Drive | Conshohocken | PA | 1998 | 86,425 | 100.0 | % | 2,098 | 33.08 | ||||||||||||||||||||||||
SUBTOTAL CONSOLIDATED JOINT VENTURES / WEIGHTED AVG. | 351,547 | 96.1 | % | |||||||||||||||||||||||||||||
300 Delaware Avenue | Wilmington | DE | 1989 | 298,071 | 78.0 | % | 3,046 | 17.22 | ||||||||||||||||||||||||
1333 Broadway | Oakland | CA | 1972 | 237,246 | 72.5 | % | 4,555 | 26.33 | ||||||||||||||||||||||||
One Radnor Corporate Center | Radnor | PA | 1998 | 185,166 | 65.9 | % | 3,983 | 34.69 | ||||||||||||||||||||||||
6600 Rockledge Drive | (d | ) | Bethesda | MD | 1981 | 160,173 | 57.7 | % | 1,192 | — | ||||||||||||||||||||||
1000 Atrium Way | Mt. Laurel | NJ | 1989 | 97,158 | 50.9 | % | 847 | 20.14 | ||||||||||||||||||||||||
Two Righter Parkway | (d | ) | Wilmington | DE | 1987 | 95,514 | 67.4 | % | 186 | — | ||||||||||||||||||||||
100 Lenox Drive | Lawrenceville | NJ | 1991 | 92,980 | 0.0 | % | — | — | ||||||||||||||||||||||||
SUBTOTAL REDEVELOPMENT PROPERTIES / WEIGHTED AVG. | 1,166,308 | 62.8 | % | |||||||||||||||||||||||||||||
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(a) | Calculated by dividing net rentable square feet included in leases signed on or before December 31, 2007 at the property by the aggregate net rentable square feet of the property. | |
(b) | “Total Base Rent” for the twelve months ended December 31, 2007 represents base rents received during such period, excluding tenant reimbursements, calculated in accordance with generally accepted accounting principles (GAAP) determined on a straight-line basis. | |
(c) | “Average Annualized Rental Rate” is calculated as follows: (i) for office leases written on a triple net basis, the sum of the annualized contracted base rental rates payable for all space leased as of December 31, 2007 plus the 2007 budgeted operating expenses excluding tenant electricity; and (ii) for office leases written on a full service basis, the annualized contracted base rent payable for all space leased as of December 31, 2007. In both cases, the annualized rental rate is divided by the total square footage leased as of December 31, 2007 without giving effect to free rent or scheduled rent increases that would be taken into account under GAAP. | |
(d) | These properties are subject to a ground lease with a third party. | |
(e) | We hold our interest in Two Logan Square (100 North 18th Street) primarily through our ownership of second and third mortgages that are secured by this property and that are junior to a first mortgage with a third party. Our ownership of these two mortgages currently provides us with all of the cash flows from Two Logan Square after the payment of operating expenses and debt service on the first mortgage. | |
(f) | These properties are industrial facilities. |
Final | Percentage | |||||||||||||||||||||||
Rentable | Final | Annualized | of Total Final | |||||||||||||||||||||
Number of | Square | Annualized | Base Rent | Annualized | ||||||||||||||||||||
Year of | Leases | Footage | Base Rent | Per Square | Base Rent | |||||||||||||||||||
Lease | Expiring | Subject to | Under | Foot Under | Under | |||||||||||||||||||
Expiration | Within the | Expiring | Expiring | Expiring | Expiring | Cumulative | ||||||||||||||||||
December 31, | Year | Leases | Leases (a) | Leases | Leases | Total | ||||||||||||||||||
2008 | 406 | 2,893,658 | $57,606,004 | $19.91 | 9.9 | % | 9.9 | % | ||||||||||||||||
2009 | 353 | 3,384,497 | 76,409,406 | 22.58 | 13.1 | % | 23.0 | % | ||||||||||||||||
2010 | 320 | 3,744,780 | 84,549,839 | 22.58 | 14.5 | % | 37.5 | % | ||||||||||||||||
2011 | 242 | 3,371,149 | 77,695,968 | 23.05 | 13.3 | % | 50.8 | % | ||||||||||||||||
2012 | 221 | 2,445,311 | 61,109,061 | 24.99 | 10.5 | % | 61.2 | % | ||||||||||||||||
2013 | 92 | 1,429,059 | 33,865,946 | 23.70 | 5.8 | % | 67.0 | % | ||||||||||||||||
2014 | 75 | 1,540,578 | 37,747,376 | 24.50 | 6.5 | % | 73.5 | % | ||||||||||||||||
2015 | 37 | 1,393,137 | 33,395,384 | 23.97 | 5.7 | % | 79.2 | % | ||||||||||||||||
2016 | 38 | 845,779 | 19,878,591 | 23.50 | 3.4 | % | 82.6 | % | ||||||||||||||||
2017 | 44 | 1,405,511 | 40,341,917 | 28.70 | 6.9 | % | 89.6 | % | ||||||||||||||||
2018 and thereafter | 43 | 2,157,325 | 60,950,626 | 28.25 | 10.4 | % | 100.0 | % | ||||||||||||||||
1,871 | 24,610,784 | $583,550,118 | $23.71 | 100.0 | % | |||||||||||||||||||
(a) | “Final Annualized Base Rent” for each lease scheduled to expire represents the cash rental rate of base rents, excluding tenant reimbursements, in the final month prior to expiration multiplied by 12. Tenant reimbursements generally include payment of real estate taxes, operating expenses and common area maintenance and utility charges. |
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Weighted Average | Aggregate | Percentage | Annualized | Percentage of Aggregate | ||||||||||||||||||||
Number | Remaining | Leased | of Aggregate | Base | Annualized | |||||||||||||||||||
of | Lease Term | Square | Leased | Rent (in | Base | |||||||||||||||||||
Tenant Name (a) | Leases | in Months | Feet | Square Feet | 000) (b) | Rent | ||||||||||||||||||
Kaiser Foundation Health Plan | 2 | 35 | 483,893 | 2.0 | % | $ | 15,395 | 3.0 | % | |||||||||||||||
Northrop Grumman Corporation | 6 | 82 | 533,873 | 2.2 | % | 14,677 | 2.9 | % | ||||||||||||||||
Pepper Hamilton LLP | 2 | 82 | 305,198 | 1.2 | % | 9,981 | 2.0 | % | ||||||||||||||||
State of New Jersey | 7 | 152 | 441,488 | 1.8 | % | 8,945 | 1.8 | % | ||||||||||||||||
Dechert LLP | 2 | 127 | 242,288 | 1.0 | % | 7,833 | 1.5 | % | ||||||||||||||||
Wells Fargo Bank, N.A. | 6 | 34 | 376,721 | 1.5 | % | 7,832 | 1.5 | % | ||||||||||||||||
Verizon | 6 | 34 | 410,035 | 1.7 | % | 7,633 | 1.5 | % | ||||||||||||||||
Bearingpoint, Inc. | 3 | 74 | 269,431 | 1.1 | % | 7,570 | 1.5 | % | ||||||||||||||||
Wachovia Corporation | 11 | 97 | 274,749 | 1.1 | % | 7,430 | 1.5 | % | ||||||||||||||||
Lockheed Martin | 9 | 38 | 548,579 | 2.2 | % | 7,193 | 1.4 | % | ||||||||||||||||
General Services Administration — U.S. Govt. | 18 | 34 | 348,699 | 1.4 | % | 6,663 | 1.3 | % | ||||||||||||||||
Computer Associates International | 2 | 35 | 255,572 | 1.0 | % | 5,968 | 1.2 | % | ||||||||||||||||
AT&T | 7 | 15 | 270,732 | 1.1 | % | 5,730 | 1.1 | % | ||||||||||||||||
Blank Rome LLP | 1 | 169 | 239,236 | 1.0 | % | 4,548 | 0.9 | % | ||||||||||||||||
Marsh USA, Inc. | 3 | 18 | 154,797 | 0.6 | % | 4,532 | 0.9 | % | ||||||||||||||||
Computer Sciences | 5 | 59 | 252,765 | 1.0 | % | 4,341 | 0.9 | % | ||||||||||||||||
Omnicare Clinical Research | 1 | 31 | 150,000 | 0.6 | % | 3,749 | 0.7 | % | ||||||||||||||||
Deltek Systems, Inc. | 3 | 51 | 116,172 | 0.5 | % | 3,516 | 0.7 | % | ||||||||||||||||
Woodcock Washburn, LLC | 1 | 168 | 109,323 | 0.4 | % | 3,498 | 0.7 | % | ||||||||||||||||
KPMG, LLP | 2 | 31 | 95,690 | 0.4 | % | 3,466 | 0.7 | % | ||||||||||||||||
Consolidated Total/Weighted Average | 97 | 67 | 5,879,241 | 23.8 | % | $ | 140,500 | 27.7 | % | |||||||||||||||
(a) | The identified tenant includes affiliates in certain circumstances. | |
(b) | Annualized Base Rent represents the monthly Base Rent, excluding tenant reimbursements, for each lease in effect at December 31, 2007 multiplied by 12. Tenant reimbursements generally include payment of real estate taxes, operating expenses and common area maintenance and utility charges. |
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Share Price | Share Price | Distributions | ||||||||||
High | Low | Declared For Quarter | ||||||||||
First Quarter 2006 | $ | 31.90 | $ | 28.94 | $ | 0.44 | ||||||
Second Quarter 2006 | $ | 32.17 | $ | 27.65 | $ | 0.44 | ||||||
Third Quarter 2006 | $ | 33.83 | $ | 30.98 | $ | 0.44 | ||||||
Fourth Quarter 2006 | $ | 35.37 | $ | 31.55 | $ | 0.44 | ||||||
First Quarter 2007 | $ | 36.14 | $ | 32.04 | $ | 0.44 | ||||||
Second Quarter 2007 | $ | 33.79 | $ | 28.43 | $ | 0.44 | ||||||
Third Quarter 2007 | $ | 28.58 | $ | 23.35 | $ | 0.44 | ||||||
Fourth Quarter 2007 | $ | 26.86 | $ | 17.78 | $ | 0.44 |
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(c) | ||||||||||||
Number of securities | ||||||||||||
(a) | (b) | remaining available for | ||||||||||
Number of securities to be | Weighted-average | future issuance under | ||||||||||
issued upon exercise of | exercise price of | equity compensation plans | ||||||||||
outstanding options, | outstanding options, | (excluding securities | ||||||||||
Plan category | warrants and rights | warrants and rights | reflected in column (a)) | |||||||||
Equity compensation plans approved by security holders (1) | 1,070,099 | $ | 26.13 | (2) | 4,168,364 | |||||||
Equity compensation plans not approved by security holders | — | — | — | |||||||||
Total | 1,070,099 | $ | 26.13 | 4,168,364 |
(1) | Relates to our Amended and Restated 1997 Long-Term Incentive Plan. In May 2007, the Company’s shareholders approved an amendment to the Company’s Amended and Restated 1997 Long-Term Incentive Plan (the “1997 Plan”). The amendment provided for the merger of the Prentiss Properties Trust 2005 Share Incentive Plan (the “Prentiss 2005 Plan”) with and into the 1997 Plan, thereby transferring into the 1997 Plan all of the shares that remained available for award under the Prentiss 2005 Plan. The Company had previously assumed the Prentiss 2005 Plan, together with other Prentiss incentive plans, as part of the Company’s January 2006 acquisition of Prentiss Properties Trust (“Prentiss”). The 1997 Plan reserves 500,000 common shares solely for awards under options and share appreciation rights that have an exercise or strike price at least equal to the market price of the common shares on the date of award and the remaining shares under the 1997 Plan are available for any type of award, including restricted share and performance share awards and options. Incentive stock options may not be granted with an exercise price that is lower than the market price of the common shares on the grant date. All options awarded by the Company to date are non-qualified stock options that generally had an initial vesting schedule that ranged from two to ten years. | |
(2) | Weighted-average exercise price of outstanding options; excludes restricted common shares. |
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The following table presents information related to our share repurchases: |
Purchased as Part of | Shares that May Yet Be | |||||||||||||||||
Total Number of | Average Price Paid | Publicly Announced | Purchased Under the | |||||||||||||||
Period | Shares Purchased | per Share | Plans or Programs | Plans or Programs (a) | ||||||||||||||
(in thousands) | ||||||||||||||||||
January 2007 | 39,957 | (b) | $ | 32.65 | — | 2,319,800 | ||||||||||||
February 2007 | — | — | — | 2,319,800 | ||||||||||||||
March 2007 | 1,301,000 | 34.34 | 1,301,000 | 1,018,800 | ||||||||||||||
April 2007 | 265,000 | 33.38 | 265,000 | 753,800 | ||||||||||||||
May 2007 | — | — | — | 753,800 | ||||||||||||||
June 2007 | 1,128 | (b) | 29.47 | — | 753,800 | |||||||||||||
July 2007 | 214,600 | 27.50 | 214,600 | 539,200 | ||||||||||||||
August 2007 | — | — | — | 539,200 | ||||||||||||||
September 2007 | — | — | — | 539,200 | ||||||||||||||
October 2007 | — | — | — | 539,200 | ||||||||||||||
November 2007 | — | — | — | 539,200 | ||||||||||||||
December 2007 | — | — | — | 539,200 | ||||||||||||||
Total | 1,821,685 | 1,780,600 | ||||||||||||||||
(a) | On May 2, 2006, our Board of Trustees authorized an increase in the number of common shares that we may repurchase, whether in open-market or privately negotiated transactions. The Board authorized us to purchase up to an aggregate of 3,500,000 common shares (inclusive of remaining share repurchase availability under the Board’s prior authorization from September 2001). There is no expiration date on the share repurchase program and the Board can cancel this program at any time. | |
(b) | Represents Common Shares cancelled by the Company upon vesting of restricted Common Shares previously awarded to Company employees in satisfaction of tax withholding obligations. |
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Period Ending | ||||||||||||||||||||||||
Index | 12/31/02 | 12/31/03 | 12/31/04 | 12/31/05 | 12/31/06 | 12/31/07 | ||||||||||||||||||
Brandywine Realty Trust | 100.00 | 131.76 | 153.70 | 155.32 | 192.74 | 110.30 | ||||||||||||||||||
S&P 500 | 100.00 | 128.68 | 142.69 | 149.70 | 173.34 | 182.86 | ||||||||||||||||||
Russell 2000 | 100.00 | 147.25 | 174.24 | 182.18 | 215.64 | 212.26 | ||||||||||||||||||
NAREIT All Equity REIT Index | 100.00 | 137.13 | 180.44 | 202.38 | 273.34 | 230.45 |
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(in thousands, except per common share data and number of properties)
Year Ended December 31, | 2007 | 2006 | 2005 | 2004 | 2003 | |||||||||||||||
Operating Results | ||||||||||||||||||||
Total revenue | $ | 683,972 | $ | 630,285 | $ | 364,435 | $ | 299,618 | $ | 274,809 | ||||||||||
Income (loss) from continuing operations | 28,761 | (18,729 | ) | 32,778 | 49,559 | 65,424 | ||||||||||||||
Net income | 56,453 | 10,482 | 42,767 | 60,301 | 86,678 | |||||||||||||||
Income allocated to Common Shares | 48,461 | 2,490 | 34,775 | 55,081 | 54,174 | |||||||||||||||
Income from continuing operations per Common Share | ||||||||||||||||||||
Basic | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | $ | 0.94 | $ | 0.85 | |||||||||
Diluted | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | $ | 0.93 | $ | 0.85 | |||||||||
Earnings per Common Share | ||||||||||||||||||||
Basic | $ | 0.56 | $ | 0.03 | $ | 0.62 | $ | 1.15 | $ | 1.43 | ||||||||||
Diluted | $ | 0.55 | $ | 0.03 | $ | 0.62 | $ | 1.15 | $ | 1.43 | ||||||||||
Cash distributions declared per Common Share | $ | 1.76 | $ | 1.76 | $ | 1.78 | (a) | $ | 1.76 | $ | 1.76 | |||||||||
Balance Sheet Data | ||||||||||||||||||||
Real estate investments, net of accumulated depreciation | $ | 4,656,925 | $ | 4,739,726 | $ | 2,541,486 | $ | 2,363,865 | $ | 1,695,355 | ||||||||||
Total assets | 5,214,099 | 5,509,018 | 2,805,745 | 2,633,984 | 1,855,776 | |||||||||||||||
Total indebtedness | 3,100,969 | 3,152,230 | 1,521,384 | 1,306,669 | 867,659 | |||||||||||||||
Total liabilities | 3,386,745 | 3,487,101 | 1,663,022 | 1,444,116 | 950,431 | |||||||||||||||
Minority interest | 84,119 | 123,991 | 37,859 | 42,866 | 133,488 | |||||||||||||||
Convertible preferred shares | — | — | — | — | 37,500 | |||||||||||||||
Beneficiaries’ equity | 1,743,235 | 1,897,926 | 1,104,864 | 1,147,002 | 771,857 | |||||||||||||||
Other Data | ||||||||||||||||||||
Cash flows from: | ||||||||||||||||||||
Operating activities | 219,817 | 241,566 | 125,147 | 152,890 | 118,793 | |||||||||||||||
Investing activities | 44,473 | (915,794 | ) | (252,417 | ) | (682,652 | ) | (34,068 | ) | |||||||||||
Financing activities | (284,069 | ) | 692,433 | 119,098 | 536,556 | (102,974 | ) | |||||||||||||
Property Data | ||||||||||||||||||||
Number of properties owned at year end | 257 | 313 | 251 | 246 | 234 | |||||||||||||||
Net rentable square feet owned at year end | 28,888 | 31,764 | 19,600 | 19,150 | 15,733 |
(a) | Includes $0.02 special distribution declared in December 2005 for shareholders of record for the period January 1, 2006 through January 4, 2006 (pre-Prentiss merger period). |
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(in thousands, except per unit data and number of properties)
Year Ended December 31, | 2007 | 2006 | 2005 | 2004 | 2003 | |||||||||||||||
Operating Results | ||||||||||||||||||||
Total revenue | $ | 683,972 | $ | 630,285 | $ | 364,435 | $ | 299,618 | $ | 274,809 | ||||||||||
Income (loss) from continuing operations | 29,672 | (19,975 | ) | 33,667 | 51,930 | 74,367 | ||||||||||||||
Net income | 58,599 | 10,626 | 44,013 | 63,081 | 96,467 | |||||||||||||||
Income from continuing operations per Common Partnership Unit | ||||||||||||||||||||
Basic | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | $ | 0.93 | $ | 0.87 | |||||||||
Diluted | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | $ | 0.93 | $ | 0.87 | |||||||||
Earnings per Common Partnership Units | ||||||||||||||||||||
Basic | $ | 0.56 | $ | 0.03 | $ | 0.62 | $ | 1.15 | $ | 1.43 | ||||||||||
Diluted | $ | 0.55 | $ | 0.03 | $ | 0.62 | $ | 1.14 | $ | 1.43 | ||||||||||
Cash distributions declared per Common Partnership Unit | $ | 1.76 | $ | 1.76 | $ | 1.78 | (a) | $ | 1.76 | $ | 1.76 | |||||||||
Balance Sheet Data | ||||||||||||||||||||
Real estate investments, net of accumulated depreciation | $ | 4,656,925 | 4,739,726 | 2,541,486 | 2,363,865 | 1,695,355 | ||||||||||||||
Total assets | 5,214,099 | 5,509,018 | 2,805,745 | 2,633,984 | 1,855,776 | |||||||||||||||
Total indebtedness | 3,100,969 | 3,152,230 | 1,521,384 | 1,306,669 | 867,659 | |||||||||||||||
Total liabilities | 3,386,745 | 3,487,101 | 1,662,967 | 1,443,934 | 951,484 | |||||||||||||||
Series B Preferred Units | — | — | — | — | 97,500 | |||||||||||||||
Redeemable limited partnership units | 68,819 | 131,711 | 54,300 | 60,586 | 46,505 | |||||||||||||||
Partners’ equity | 1,758,535 | 1,855,770 | 1,088,478 | 1,129,464 | 760,287 | |||||||||||||||
Other Data | ||||||||||||||||||||
Cash flows from: | ||||||||||||||||||||
Operating activities | 219,817 | 241,566 | 125,147 | 152,890 | 118,793 | |||||||||||||||
Investing activities | 44,473 | (915,794 | ) | (252,417 | ) | (682,652 | ) | (34,068 | ) | |||||||||||
Financing activities | (284,069 | ) | 692,433 | 119,098 | 536,556 | (102,974 | ) | |||||||||||||
Property Data | ||||||||||||||||||||
Number of properties owned at year end | 257 | 313 | 251 | 246 | 234 | |||||||||||||||
Net rentable square feet owned at year end | 28,888 | 31,764 | 19,600 | 19,150 | 15,733 |
(a) | Includes $0.02 special distribution declared in December 2005 for unitholders of record for the period January 1, 2006 through January 4, 2006 (pre-Prentiss merger period). |
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Acquired/Completed | Development/Redevelopment | Other | ||||||||||||||||||||||||||||||||||||||||||||||
Same Store Properties | Properties | Properties (a) | (Eliminations) (b) | All Properties | ||||||||||||||||||||||||||||||||||||||||||||
Increase/ | Increase/ | |||||||||||||||||||||||||||||||||||||||||||||||
(dollars in thousands) | 2007 | 2006 | (Decrease) | 2007 | 2006 | 2007 | 2006 | 2007 | 2006 | 2007 | 2006 | (Decrease) | ||||||||||||||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||||||||||||||||||||||||||
Cash rents | $ | 422,709 | $ | 417,427 | $ | 5,282 | $ | 66,306 | $ | 25,311 | $ | 13,142 | $ | 21,756 | $ | 20,979 | $ | 20,188 | $ | 523,136 | $ | 484,682 | $ | 38,454 | ||||||||||||||||||||||||
Straight-line rents | 12,808 | 15,214 | (2,406 | ) | 13,367 | 11,558 | 1,122 | 532 | 626 | 82 | 27,923 | 27,386 | 537 | |||||||||||||||||||||||||||||||||||
Rents — FAS 141 | 8,561 | 7,331 | 1,230 | 1,388 | 584 | 1,506 | (701 | ) | — | — | 11,455 | 7,214 | 4,241 | |||||||||||||||||||||||||||||||||||
Total rents | 444,078 | 439,972 | 4,106 | 81,061 | 37,453 | 15,770 | 21,587 | 21,605 | 20,270 | 562,514 | 519,282 | 43,232 | ||||||||||||||||||||||||||||||||||||
Tenant reimbursements | 72,521 | 69,378 | 3,143 | 5,675 | 2,370 | 3,298 | 3,260 | 3,910 | 3,809 | 85,404 | 78,817 | 6,587 | ||||||||||||||||||||||||||||||||||||
Termination fees | 9,137 | 6,625 | 2,512 | 809 | 100 | 238 | 506 | 52 | — | 10,236 | 7,231 | 3,005 | ||||||||||||||||||||||||||||||||||||
Third party management fees, labor reimbursement and leasing | — | — | — | — | — | — | — | 19,691 | 19,453 | 19,691 | 19,453 | 238 | ||||||||||||||||||||||||||||||||||||
Other | 2,488 | 2,815 | (327 | ) | 361 | 121 | (31 | ) | 58 | 3,309 | 2,508 | 6,127 | 5,502 | 625 | ||||||||||||||||||||||||||||||||||
Total revenue | 528,224 | 518,790 | 9,434 | 87,906 | 40,044 | 19,275 | 25,411 | 48,567 | 46,040 | 683,972 | 630,285 | 53,687 | ||||||||||||||||||||||||||||||||||||
Operating Expenses: | ||||||||||||||||||||||||||||||||||||||||||||||||
Property operating expenses | 159,265 | 154,340 | 4,925 | 24,105 | 13,547 | 8,944 | 9,640 | (3,184 | ) | (5,603 | ) | 189,130 | 171,924 | 17,206 | ||||||||||||||||||||||||||||||||||
Real estate taxes | 52,227 | 51,311 | 916 | 6,438 | 3,531 | 2,408 | 2,219 | 3,822 | 3,747 | 64,895 | 60,808 | 4,087 | ||||||||||||||||||||||||||||||||||||
Management expenses | — | — | — | — | — | — | — | 10,361 | 10,675 | 10,361 | 10,675 | (314 | ) | |||||||||||||||||||||||||||||||||||
Subtotal | 211,492 | 205,651 | 5,841 | 30,543 | 17,078 | 11,352 | 11,859 | 10,999 | 8,819 | 264,386 | 243,407 | 20,979 | ||||||||||||||||||||||||||||||||||||
Net operating income | 316,732 | 313,139 | 3,593 | 57,363 | 22,966 | 7,923 | 13,552 | 37,568 | 37,221 | 419,586 | 386,878 | 32,708 | ||||||||||||||||||||||||||||||||||||
Administrative expenses | — | — | — | — | — | — | — | 28,144 | — | 28,182 | 29,644 | (1,462 | ) | |||||||||||||||||||||||||||||||||||
Depreciation and amortization | 178,561 | 180,081 | (1,520 | ) | 37,543 | 15,539 | 11,459 | 12,167 | 14,749 | 22,923 | 242,312 | 230,710 | 11,602 | |||||||||||||||||||||||||||||||||||
Operating Income (loss) | $ | 138,171 | $ | 133,058 | $ | 5,113 | $ | 19,820 | $ | 7,427 | $ | (3,536 | ) | $ | 1,385 | $ | (5,325 | ) | $ | 14,298 | $ | 149,092 | $ | 126,524 | $ | 22,568 | ||||||||||||||||||||||
Number of properties | 225 | 18 | 14 | 257 | ||||||||||||||||||||||||||||||||||||||||||||
Square feet (in thousands) | 21,943 | 3,292 | 3,653 | 28,888 | ||||||||||||||||||||||||||||||||||||||||||||
Other Income (Expense): | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest income | 4,040 | 9,513 | (5,473 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Interest expense | (162,675 | ) | (171,177 | ) | 8,502 | |||||||||||||||||||||||||||||||||||||||||||
Interest expense — Deferred financing costs | (4,496 | ) | (4,607 | ) | 111 | |||||||||||||||||||||||||||||||||||||||||||
Loss on settlement of treasury lock agreements | (3,698 | ) | — | (3,698 | ) | |||||||||||||||||||||||||||||||||||||||||||
Equity in income of real estate ventures | 6,955 | 2,165 | 4,790 | |||||||||||||||||||||||||||||||||||||||||||||
Net gain on disposition of depreciated real estate | 40,498 | — | 40,498 | |||||||||||||||||||||||||||||||||||||||||||||
Net gain on disposition of undepreciated real estate | 421 | 14,190 | (13,769 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Gain on termination of purchase contract | — | 3,147 | (3,147 | ) | ||||||||||||||||||||||||||||||||||||||||||||
�� | ||||||||||||||||||||||||||||||||||||||||||||||||
Income (loss) before minority interest | 30,137 | (20,245 | ) | 50,382 | ||||||||||||||||||||||||||||||||||||||||||||
Minority interest — partners’ share of consolidated real estate ventures | (465 | ) | 270 | (735 | ) | |||||||||||||||||||||||||||||||||||||||||||
Minority interest attributable to continuing operations — LP units | (911 | ) | 1,246 | (2,157 | ) | |||||||||||||||||||||||||||||||||||||||||||
Income (loss) from continuing operations | 28,761 | (18,729 | ) | 47,490 | ||||||||||||||||||||||||||||||||||||||||||||
Income (loss) from discontinued operations | 27,692 | 29,211 | (1,519 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Net Income (loss) | $ | 56,453 | $ | 10,482 | $ | 45,971 | ||||||||||||||||||||||||||||||||||||||||||
Earnings per common share | $ | 0.56 | $ | 0.03 | $ | 0.53 | ||||||||||||||||||||||||||||||||||||||||||
EXPLANATORY NOTES | ||
(a) | - | Results include: seven developments and seven redevelopment properties. |
(b) | - | Represents certain revenues and expenses at the corporate level as well as various intercompany costs that are eliminated in consolidation and third-party management fees. Also included are revenues and expenses from the 29 DRA properties. |
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1) | An additional $5.3 million at the Same Store Portfolio from increased occupancy and increased rents received on lease renewals. | ||
2) | An additional $41.0 million from six properties that we acquired during 2007 and six development/redevelopment properties (including additional occupancy at Cira Centre) that we completed and placed in service in 2007 and two that were placed in service in December 2006. | ||
3) | These increases were offset by the decrease of $8.6 million in cash rents at our development/redevelopment properties primarily as a result of six buildings, which are now included in redevelopment, that were occupied during 2006. |
1) | An increase of $5.8 million at the Same Store Portfolio, primarily due to increased occupancy and real estate tax reassessments. Increased occupancy at our properties causes an increase in the amount of expense incurred for utilities, security, and janitorial services. | ||
2) | The incurrence of $13.5 million of property operating expenses for six of the properties acquired during 2007 and eight development/redevelopment properties that we completed and placed in service during or after December 2006. |
1) | The incurrence of $22.0 million of depreciation and amortization expense on account of six properties that we acquired during 2007 and eight development/redevelopment properties (including additional occupancy at Cira Centre) that we completed and placed in service during or after December 2006. | ||
2) | This increase was offset by $11.9 million of accelerated depreciation expense for one of our properties (50 E. Swedesford Road) which was demolished as part of an office park development in suburban Philadelphia during 2006. This property is included in Development/Redevelopment Properties. | ||
3) | The increase is also offset by a decrease of $1.5 million in our Same Store Portfolio. This decrease is the result of assets within our Same Store Portfolio being fully amortized subsequent to 2006. |
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Acquired | Development | Other/ | ||||||||||||||||||||||||||||||||||||||||||||||
Same Store Properties | Properties | Properties (a) | Eliminations (b) | All Properties | ||||||||||||||||||||||||||||||||||||||||||||
Increase/ | Increase/ | |||||||||||||||||||||||||||||||||||||||||||||||
(dollars in thousands) | 2006 | 2005 | (Decrease) | 2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2006 | 2005 | (Decrease) | ||||||||||||||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||||||||||||||||||||||||||
Cash rents | $ | 296,811 | $ | 292,439 | $ | 4,372 | $ | 200,753 | $ | 1,342 | $ | 24,163 | $ | 8,400 | $ | (912 | ) | $ | 297 | $ | 520,815 | $ | 302,478 | $ | 218,337 | |||||||||||||||||||||||
Straight-line rents | 8,636 | 11,141 | (2,505 | ) | 9,111 | 165 | 11,504 | 2,984 | — | — | 29,251 | 14,290 | 14,961 | |||||||||||||||||||||||||||||||||||
Rents - FAS 141 | 2,713 | 1,546 | 1,167 | 7,405 | (33 | ) | (249 | ) | (243 | ) | 1 | 180 | 9,870 | 1,450 | 8,420 | |||||||||||||||||||||||||||||||||
Total rents | 308,160 | 305,126 | 3,034 | 217,269 | 1,474 | 35,418 | 11,141 | (911 | ) | 477 | 559,936 | 318,218 | 241,718 | |||||||||||||||||||||||||||||||||||
Tenant reimbursements | 48,086 | 46,705 | 1,381 | 28,698 | 98 | 3,007 | 1,130 | 679 | 629 | 80,470 | 48,562 | 31,908 | ||||||||||||||||||||||||||||||||||||
Other (c) | 9,499 | 8,153 | 1,346 | 2,195 | — | 108 | 613 | 10,593 | 5,078 | 22,395 | 13,844 | 8,551 | ||||||||||||||||||||||||||||||||||||
Total revenue | 365,745 | 359,984 | 5,761 | 248,162 | 1,572 | 38,533 | 12,884 | 10,361 | 6,184 | 662,801 | 380,624 | 282,177 | ||||||||||||||||||||||||||||||||||||
Operating Expenses: | ||||||||||||||||||||||||||||||||||||||||||||||||
Property operating expenses | 114,455 | 112,656 | 1,799 | 72,798 | 552 | 14,454 | 7,614 | (13,706 | ) | (9,630 | ) | 188,001 | 111,192 | 76,809 | ||||||||||||||||||||||||||||||||||
Real estate taxes | 36,682 | 34,387 | 2,295 | 24,422 | 190 | 4,124 | 3,320 | 356 | 283 | 65,584 | 38,180 | 27,404 | ||||||||||||||||||||||||||||||||||||
Subtotal | 151,137 | 147,043 | 4,094 | 97,220 | 742 | 18,578 | 10,934 | (13,350 | ) | (9,347 | ) | 253,585 | 149,372 | 104,213 | ||||||||||||||||||||||||||||||||||
Net operating income | 214,608 | 212,941 | 1,667 | 150,942 | 830 | 19,955 | 1,950 | 23,711 | 15,531 | 409,216 | 231,252 | 177,964 | ||||||||||||||||||||||||||||||||||||
Administrative expenses | — | — | — | — | — | — | — | 29,647 | 17,982 | 29,647 | 17,982 | 11,665 | ||||||||||||||||||||||||||||||||||||
Depreciation and amortization | 113,247 | 101,074 | 12,173 | 117,175 | 461 | 15,313 | 5,326 | 2,394 | 2,257 | 248,129 | 109,118 | 139,011 | ||||||||||||||||||||||||||||||||||||
Operating Income (loss) | $ | 101,361 | $ | 111,867 | $ | (10,506 | ) | $ | 33,767 | $ | 369 | $ | 4,642 | $ | (3,376 | ) | $ | (8,330 | ) | $ | (4,708 | ) | $ | 131,440 | $ | 104,152 | $ | 27,288 | ||||||||||||||||||||
Number of properties | 234 | 62 | 17 | 313 | ||||||||||||||||||||||||||||||||||||||||||||
Square feet (in thousands) | 17,533 | 11,261 | 2,970 | 31,764 | ||||||||||||||||||||||||||||||||||||||||||||
Other Income (Expense): | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest income | 9,513 | 1,370 | 8,143 | |||||||||||||||||||||||||||||||||||||||||||||
Interest expense | (171,177 | ) | (70,152 | ) | (101,025 | ) | ||||||||||||||||||||||||||||||||||||||||||
Interest expense — Deferred Financing Costs | (4,607 | ) | (3,766 | ) | (841 | ) | ||||||||||||||||||||||||||||||||||||||||||
Equity in income of real estate ventures | 2,165 | 3,172 | (1,007 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Net gain on sales of interests in real estate | 14,190 | 4,640 | 9,550 | |||||||||||||||||||||||||||||||||||||||||||||
Gain on termination of purchase contract | 3,147 | — | 3,147 | |||||||||||||||||||||||||||||||||||||||||||||
Income (loss) before minority interest | (15,329 | ) | 39,416 | (54,745 | ) | |||||||||||||||||||||||||||||||||||||||||||
Minority interest - partners’ share of consolidated real estate ventures | 270 | — | 270 | |||||||||||||||||||||||||||||||||||||||||||||
Minority interest attributable to continuing operations — LP units | 1,028 | (1,237 | ) | 2,265 | ||||||||||||||||||||||||||||||||||||||||||||
Income (loss) from continuing operations | (14,031 | ) | 38,179 | (52,210 | ) | |||||||||||||||||||||||||||||||||||||||||||
Income (loss) from discontinued operations | 24,513 | 4,588 | 19,925 | |||||||||||||||||||||||||||||||||||||||||||||
Net Income (loss) | $ | 10,482 | $ | 42,767 | $ | (32,285 | ) | |||||||||||||||||||||||||||||||||||||||||
Earnings per common share | $ | 0.03 | $ | 0.62 | $ | (0.59 | ) | |||||||||||||||||||||||||||||||||||||||||
EXPLANATORY NOTES | ||
(a) | - Results include: nine developments/redevelopments, four lease-up assets and three properties placed in service | |
(b) | - Represents certain revenues and expenses at the corporate level as well as various intercompany costs that are eliminated in consolidation and third-party management fees | |
(c) | - Includes net termination fee income of $6,133 for 2006 and $5,583 for 2005 for the same store property portfolio and $948 for 2006 for the acquired properties |
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The PPREFI debt was defeased by Prentiss in the fourth quarter of 2005 and was secured by an investment in U.S. treasury notes. The interest earned on the treasury notes is included in interest income and
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• | fund normal recurring expenses, | ||
• | fund capital expenditures, including capital and tenant improvements and leasing costs, | ||
• | fund development and redevelopment costs, | ||
• | fund new property acquisitions, and | ||
• | fund distributions declared by our Board of Trustees, including the minimum distribution required to maintain our REIT qualification under the Internal Revenue Code. |
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Activity | 2007 | 2006 | 2005 | |||||||||
Operating | $ | 219,817 | $ | 241,566 | $ | 125,147 | ||||||
Investing | 44,473 | (915,794 | ) | (252,417 | ) | |||||||
Financing | (284,069 | ) | 692,433 | 119,098 | ||||||||
Net cash flows | $ | (19,779 | ) | $ | 18,205 | $ | (8,172 | ) | ||||
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December 31 | ||||||||
2007 | 2006 | |||||||
(dollars in thousands) | ||||||||
Balance: | ||||||||
Fixed rate | $ | 2,741,632 | $ | 2,718,171 | ||||
Variable rate | 359,337 | 439,162 | ||||||
Total | $ | 3,100,969 | $ | 3,157,333 | ||||
Percent of Total Debt: | ||||||||
Fixed rate | 88.4 | % | 86.1 | % | ||||
Variable rate | 11.6 | % | 13.9 | % | ||||
Total | 100 | % | 100 | % | ||||
Weighted-average interest rate at period end: | ||||||||
Fixed rate | 5.5 | % | 5.6 | % | ||||
Variable rate | 5.8 | % | 6.0 | % | ||||
Total | 5.6 | % | 5.7 | % |
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Payments by Period (in thousands) | ||||||||||||||||||||
Less than | More than | |||||||||||||||||||
Total | 1 Year | 1-3 Years | 3-5 Years | 5 Years | ||||||||||||||||
Mortgage notes payable (a) | $ | 601,833 | $ | 22,278 | $ | 230,145 | $ | 183,313 | $ | 166,097 | ||||||||||
Revolving credit facility | 130,727 | 10,727 | — | 120,000 | — | |||||||||||||||
Unsecured term loan | 150,000 | — | 150,000 | — | — | |||||||||||||||
Unsecured debt (a, | 2,211,610 | 113,000 | 575,000 | 645,000 | 878,610 | |||||||||||||||
Ground leases (b) | 302,096 | 1,736 | 4,304 | 4,636 | 291,420 | |||||||||||||||
Interest expense | 917,108 | 161,258 | 284,222 | 236,432 | 235,196 | |||||||||||||||
Development contracts (c) | 22,188 | 15,941 | 6,247 | |||||||||||||||||
Other liabilities | 1,798 | — | 1,110 | — | 688 | |||||||||||||||
$ | 4,337,360 | $ | 324,940 | $ | 1,251,028 | $ | 1,189,381 | $ | 1,572,011 | |||||||||||
(a) | Amounts do not include unamortized discounts and/or premiums. | |
(b) | Future minimum rental payments under the terms of all non-cancelable ground leases under which we are the lessee are expensed on a straight-line basis regardless of when payments are due. Certain of the land leases provide for prepayment of rent on a present value basis using a fixed discount rate. Further, certain of the land lease for properties (currently under development) provide for contingent rent participation by the lessor in certain capital transactions and net operating cash flows of the property after certain returns are achieved by us. Such amounts if any, will be reflected as contingent rent when incurred. The leases also provide for payment by us of certain operating cost relating to the land, primarily real estate taxes. The above schedule of future minimum rental payments does not included any contingent rent amounts nor any reimbursed expenses. | |
(c) | Represents contractual obligations for certain development projects and does not contemplate all costs expected to be incurred for such developments. |
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Exhibits No. | Description | |
2 | Agreement and Plan of Merger dated as of October 3, 2005 by and among Brandywine Realty Trust, Brandywine Operating Partnership, L.P., Brandywine Cognac I, LLC, Brandywine Cognac II, LLC, Prentiss Properties Trust and Prentiss Properties Acquisition Partners, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2005 and incorporated herein by reference) | |
3.1.1 | Amended and Restated Declaration of Trust of Brandywine Realty Trust (amended and restated as of May 12, 1997) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated June 9, 1997 and incorporated herein by reference) | |
3.1.2 | Articles of Amendment to Declaration of Trust of Brandywine Realty Trust (September 4, 1997) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated September 10, 1997 and incorporated herein by reference) | |
3.1.3 | Articles of Amendment to Declaration of Trust of Brandywine Realty Trust (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated June 3, 1998 and incorporated herein by reference) | |
3.1.4 | Articles Supplementary to Declaration of Trust of Brandywine Realty Trust (September 28, 1998) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 13, 1998 and incorporated herein by reference) | |
3.1.5 | Articles of Amendment to Declaration of Trust of Brandywine Realty Trust (March 19, 1999) (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 1998 and incorporated herein by reference) | |
3.1.6 | Articles Supplementary to Declaration of Trust of Brandywine Realty Trust (April 19, 1999) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated April 26, 1999 and incorporated herein by reference) | |
3.1.7 | Articles Supplementary to Declaration of Trust of Brandywine Realty Trust (December 30, 2003) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-A dated December 29, 2003 and incorporated herein by reference) | |
3.1.8 | Articles Supplementary to Declaration of Trust of Brandywine Realty Trust (February 5, 2004) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-A dated February 5, 2004 and incorporated herein by reference) | |
3.1.9 | Articles of Amendment to Declaration of Trust of Brandywine Realty Trust (October 3, 2005) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2005 and incorporated herein by reference) | |
3.1.10 | Second Amended and Restated Partnership Agreement of Brandywine Realty Services Partnership (previously filed as an exhibit to Brandywine Realty Trust’s Registration statement of Form S-11 (File No. 33-4175) and incorporated herein by reference) | |
3.1.11 | Amended and Restated Articles of Incorporation of Brandywine Realty Services Corporation (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2002 and incorporated herein by reference) | |
3.1.12 | Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (the “Operating Partnership”) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 17, 1997 and incorporated herein by reference) | |
3.1.13 | First Amendment to Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 17, 1997 and incorporated herein by reference) | |
3.1.14 | Second Amendment to the Amended and Restated Agreement of Limited Partnership Agreement of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated April 13, 1998 and incorporated herein by reference) | |
3.1.15 | Third Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated May 14, 1998 and incorporated herein by reference) | |
3.1.16 | Fourth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 13, 1998 and incorporated herein by reference) | |
3.1.17 | Fifth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 13, 1998 and incorporated herein by reference) | |
3.1.18 | Sixth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 13, 1998 and incorporated herein by reference) | |
3.1.19 | Seventh Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2003 and incorporated herein by reference) | |
3.1.20 | Eighth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2003 and incorporated herein by reference) |
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Exhibits No. | Description | |
3.1.21 | Ninth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2003 and incorporated herein by reference) | |
3.1.22 | Tenth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2003 and incorporated herein by reference) | |
3.1.23 | Eleventh Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2003 and incorporated herein by reference) | |
3.1.24 | Twelfth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-K for the fiscal year ended December 31, 2003 and incorporated herein by reference) | |
3.1.25 | Thirteenth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated September 21, 2004 and incorporated herein by reference) | |
3.1.26 | Fourteenth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
3.1.27 | Fifteenth Amendment to the Amended and Restated Agreement of Limited Partnership of Brandywine Operating Partnership, L.P. (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated August 18, 2006 and incorporated herein by reference) | |
3.1.28 | List of partners of Brandywine Operating Partnership, L.P. | |
3.2 | Amended and Restated Bylaws of Brandywine Realty Trust (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 14, 2003 and incorporated herein by reference) | |
4.1 | Form of 7.50% Series C Cumulative Redeemable Preferred Share Certificate (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-A dated December 29, 2003 and incorporated herein by reference) | |
4.2 | Form of 7.375% Series D Cumulative Redeemable Preferred Share Certificate (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-A dated February 5, 2004 and incorporated herein by reference) | |
4.3.1 | Indenture dated October 22, 2004 by and among Brandywine Operating Partnership, L.P., Brandywine Realty Trust, certain subsidiaries of Brandywine Operating Partnership, L.P. named therein and The Bank of New York, as Trustee (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 22, 2004 and incorporated herein by reference) | |
4.3.2 | First Supplemental Indenture dated as of May 25, 2005 by and among Brandywine Operating Partnership, L.P., Brandywine Realty Trust, certain subsidiaries of Brandywine Operating Partnership, L.P. named therein and The Bank of New York, as Trustee (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated May 26, 2005 and incorporated herein by reference) | |
4.3.3 | Second Supplemental Indenture dated as of October 4, 2006 by and among Brandywine Operating Partnership, L.P., Brandywine Realty Trust and the Bank of New York, as Trustee (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2006 and incorporated herein by reference) | |
4.4 | Form of $275,000,000 4.50% Guaranteed Note due 2009 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 22, 2004 and incorporated herein by reference) | |
4.5 | Form of $250,000,000 5.40% Guaranteed Note due 2014 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 22, 2004 and incorporated herein by reference) | |
4.6 | Form of $300,000,000 5.625% Guaranteed Note due 2010 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 20, 2005 and incorporated herein by reference) | |
4.7 | Form of $300,000,000 aggregate principal amount of Floating Rate Guaranteed Note due 2009 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated March 28, 2006 and incorporated herein by reference). | |
4.8 | Form of $300,000,000 aggregate principal amount of 5.75% Guaranteed Note due 2012 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated March 28, 2006 and incorporated herein by reference). | |
4.9 | Form of $250,000,000 aggregate principal amount of 6.00% Guaranteed Note due 2016 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated March 28, 2006 and incorporated herein by reference). | |
4.10 | Form of 3.875% Exchangeable Guaranteed Notes due 2026 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2006 and incorporated herein by reference) | |
4.11 | Form of $300,000,000 aggregate principal amount of 5.70% Guaranteed Notes due 2017 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated April 30, 2007 and incorporated herein by reference) | |
10.1 | Second Amended and Restated Revolving Credit Agreement dated as of June 29, 2007 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated June 29, 2007 and incorporated herein by reference) | |
10.2 | Term Loan Agreement dated as of October 15, 2007 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 16, 2007 and incorporated herein by reference) | |
10.3 | Term Loan Agreement dated as of January 5, 2006 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.4 | Note Purchase Agreement dated as of November 15, 2004 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated November 15, 2004 and incorporated herein by reference) |
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Exhibits No. | Description | |
10.5 | Tax Indemnification Agreement dated May 8, 1998, by and between Brandywine Operating Partnership, L.P. and the parties identified on the signature page (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated May 14, 1998 and incorporated herein by reference) | |
10.6 | Contribution Agreement dated as of July 10, 1998 (with Donald E. Axinn) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated July 30, 1998 and incorporated herein by reference) | |
10.7 | First Amendment to Contribution Agreement (with Donald E. Axinn) (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 13, 1998 and incorporated herein by reference) | |
10.8 | Form of Donald E. Axinn Options** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated July 30, 1998 and incorporated herein by reference) | |
10.9 | Modification Agreement dated as of June 20, 2005 between Brandywine Operating Partnership, L.P. and Donald E. Axinn (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated June 21, 2005 and incorporated herein by reference) | |
10.10 | Contribution Agreement dated August 18, 2004 with TRC Realty, Inc.-GP, TRC-LB LLC and TRC Associates Limited Partnership (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated August 19, 2004 and incorporated herein by reference) | |
10.11 | Registration Rights Agreement (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated September 21, 2004 and incorporated herein by reference) | |
10.12 | Tax Protection Agreement (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated September 21, 2004 and incorporated herein by reference) | |
10.13 | Registration Rights Agreement dated as of October 3, 2005 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2005 and incorporated herein by reference) | |
10.14 | Letter to Cohen & Steers Capital Management, Inc. (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended June 30, 2003 and incorporated herein by reference) | |
10.15 | Sales Agreement with Brinson Patrick Securities Corporation (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated November 29, 2004 and incorporated herein by reference) | |
10.16 | Registration Rights Agreement dated as of October 4, 2006 relating to 3.875% Exchangeable Guaranteed Notes due 2026 (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2006 and incorporated herein by reference) | |
10.17 | Common Share Delivery Agreement (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated October 4, 2006 and incorporated herein by reference) | |
10.18 | 2006 Amended and Restated Agreement dated as of January 5, 2006 with Anthony A. Nichols, Sr.** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.19 | Amended and Restated Employment Agreement dated as of February 9, 2007 of Gerard H. Sweeney** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 14, 2007 and incorporated herein by reference) | |
10.20 | Employment Agreement with Howard M. Sipzner** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 12, 2006 and incorporated herein by reference) | |
10.21 | Employment Agreement with Darryl M. Dunn** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2007 and incorporated herein by reference) | |
10.22 | Consulting Agreement with Michael V. Prentiss** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.23 | Consulting Agreement with Thomas F. August** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.24 | Third Amended and Restated Employment Agreement with Michael V. Prentiss**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.25 | First Amendment to the Third Amended and Restated Employment Agreement with Michael V. Prentiss** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.26 | Second Amendment to the Third Amended and Restated Employment Agreement with Michael V. Prentiss** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.27 | Amended and Restated Employment Agreement with Thomas F. August** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.28 | First Amendment to the Amended and Restated Employment Agreement with Thomas F. August** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.29 | Second Amendment to the Amended and Restated Employment Agreement with Thomas F. August** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.30 | Employment Letter Agreement with Robert K. Wiberg dated January 15, 2008**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 22, 2008 and incorporated herein by reference) | |
10.31 | Change in Control and Severance Protection Agreement with Robert K. Wiberg**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 22, 2008 and incorporated herein by reference) | |
10.32 | Form of Acknowledgment and Waiver Agreement** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) |
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Exhibits No. | Description | |
10.33 | Amended and Restated 1997 Long-Term Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2007 and incorporated herein by reference) | |
10.34 | Amended and Restated Executive Deferred Compensation Plan effective March 25, 2004** (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2004 and incorporated herein by reference) | |
10.35 | Amended and Restated Executive Deferred Compensation Plan effective January 1, 2006** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 26, 2006 and incorporated herein by reference) | |
10.36 | 2007 Non-Qualified Employee Share Purchase Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2007 and incorporated herein by reference) | |
10.37 | 2004 Restricted Share Award to Gerard H. Sweeney** (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2004 and incorporated herein by reference) | |
10.38 | Form of 2004 Restricted Share Award to executive officers (other than the President and Chief Executive Officer)** (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2004 and incorporated herein by reference) | |
10.39 | Form of 2004 Restricted Share Award to non-executive trustee (Wyche Fowler)** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 22, 2004 and incorporated herein by reference) | |
10.40 | 2005 Restricted Share Award to Gerard H. Sweeney** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 15, 2005 and incorporated herein by reference) | |
10.41 | Form of 2005 Restricted Share Award to executive officers (other than the President and Chief Executive Officer)** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 15, 2005 and incorporated herein by reference) | |
10.42 | Form of 2005 Restricted Share Award to non-executive trustees** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated May 26, 2005 and incorporated herein by reference) | |
10.43 | 2006 Restricted Share Award to Gerard H. Sweeney** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 15, 2006 and incorporated herein by reference) | |
10.44 | Form of 2006 Restricted Share Award to executive officers (other than the President and Chief Executive Officer)** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 15, 2006 and incorporated herein by reference) | |
10.45 | Form of 2006 Restricted Share Award to non-executive trustees** (previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2006 and incorporated herein by reference) | |
10.46 | Form of 2007 Restricted Share Award to non-executive trustee**(previously filed as an exhibit to Brandywine Realty Trust’s Form 10-Q for the quarter ended March 31, 2007 and incorporated herein by reference) | |
10.47 | Performance Share Award to Howard M. Sipzner ** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 12, 2006 and incorporated herein by reference) | |
10.48 | 2007 Performance Share Award to Gerard H. Sweeney** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 14, 2007 and incorporated herein by reference) | |
10.49 | Form of 2007 Performance Share Award to executive officers (other than the President and Chief Executive Officer)** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 14, 2007 and incorporated herein by reference) | |
10.50 | Form of Severance Agreement for executive officers** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated February 15, 2005 and incorporated herein by reference) | |
10.51 | Change of Control Agreement with Howard M. Sipzner** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 12, 2006 and incorporated herein by reference) | |
10.52 | Summary of Trustee Compensation** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated March 17, 2006 and incorporated herein by reference) | |
10.53 | Prentiss Properties Trust 1996 Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.54 | First Amendment to the Prentiss Properties Trust 1996 Share Incentive Plan**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.55 | Second Amendment to the Prentiss Properties Trust 1996 Share Incentive Plan**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.56 | Amendment No. 3 to the Prentiss Properties Trust 1996 Share Incentive Plan**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.57 | Fourth Amendment to the Prentiss Properties Trust 1996 Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.58 | Amendment No. 5 to the Prentiss Properties Trust 1996 Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.59 | Sixth Amendment to the Prentiss Properties Trust 1996 Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.60 | Prentiss Properties Trust 2005 Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.61 | Amended and Restated Prentiss Properties Trust Trustees’ Share Incentive Plan**(previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) |
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Exhibits No. | Description | |
10.62 | Amendment No. 1 to the Amended and Restated Prentiss Properties Trust Trustees’ Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.63 | Second Amendment to the Amended and Restated Prentiss Properties Trust Trustees’ Share Incentive Plan** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.64 | Form of Restricted Share Award** (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated January 10, 2006 and incorporated herein by reference) | |
10.65 | 2006 Long-Term Outperformance Compensation Program (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated September 1, 2006 and incorporated herein by reference) | |
12.1 | Statement re Computation of Ratios of Brandywine Realty Trust | |
12.2 | Statement re Computation of Ratios of Brandywine Operating Partnership, L.P. | |
14.1 | Code of Business Conduct and Ethics (previously filed as an exhibit to Brandywine Realty Trust’s Form 8-K dated December 22, 2004 and incorporated herein by reference) | |
21 | List of subsidiaries | |
23.1 | Consent of PricewaterhouseCoopers LLP relating to financial statements of Brandywine Realty Trust | |
23.2 | Consent of PricewaterhouseCoopers LLP relating to financial statements of Brandywine Operating Partnership, L.P. | |
31.1 | Certifications of the Chief Executive Officer of Brandywine Realty Trust required by Rule 13a-14(a) under the Securities Exchange Act of 1934. | |
31.2 | Certifications of the Chief Financial Officer of Brandywine Realty Trust required by Rule 13a-14(a) under the Securities Exchange Act of 1934. | |
31.3 | Certifications of the Chief Executive Officer of Brandywine Realty Trust in its capacity as the general partner of Brandywine Operating Partnership, L.P., required by Rule 13a-14(a) under the Securities Exchange Act of 1934. | |
31.4 | Certifications of the Chief Financial Officer of Brandywine Realty Trust, in its capacity as the general partner of Brandywine Operating Partnership, L.P., required by Rule 13a-14(a) under the Securities Exchange Act of 1934. | |
32.1 | Certifications of the Chief Executive Officer of Brandywine Realty Trust required under Rule 13a-14(b) of the Securities Exchange Act of 1934. | |
32.2 | Certifications of the Chief Financial Officer of Brandywine Realty Trust required by Rule 13a-14(b) under the Securities Exchange Act of 1934. | |
32.3 | Certifications of the Chief Executive Officer of Brandywine Realty Trust, in its capacity as the general partner of Brandywine Operating Partnership, L.P., required by Rule 13a-14(b) under the Securities Exchange Act of 1934. | |
32.4 | Certifications of the Chief Financial Officer of Brandywine Realty Trust, in its capacity as the general partner of Brandywine Operating Partnership, L.P., required by Rule 13a-14(b) under the Securities Exchange Act of 1934. |
** | Management contract or compensatory plan or arrangement. | |
(c)(1) | The Financial Statements of G & I Interchange Office, LLC will be filed on Form 10-K/A by March 31, 2008. |
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BRANDYWINE REALTY TRUST | ||||
By: | /s/ Gerard H. Sweeney | |||
Gerard H. Sweeney | ||||
President and Chief Executive Officer | ||||
Signature | Title | Date | ||
/s/ Walter D’Alessio | Chairman of the Board and Trustee | February 28, 2008 | ||
Walter D’Alessio | ||||
/s/ Gerard H. Sweeney | President, Chief Executive Officer and Trustee (Principal Executive Officer) | February 28, 2008 | ||
/s/ Howard M. Sipzner | Executive Vice President and Chief Financial Officer (Principal Financial Officer) | February 28, 2008 | ||
/s/ Darryl M. Dunn | Vice President, Chief Accounting Officer & Treasurer (Principal Accounting Officer) | February 28, 2008 | ||
/s/ D. Pike Aloian | Trustee | February 28, 2008 | ||
D. Pike Aloian | ||||
/s/ Donald E. Axinn | Trustee | February 28, 2008 | ||
Donald E. Axinn | ||||
/s/ Wyche Fowler | Trustee | February 28, 2008 | ||
Wyche Fowler | ||||
/s/ Michael J. Joyce | Trustee | February 28, 2008 | ||
Michael J. Joyce | ||||
/s/ Anthony A. Nichols, Sr. | Trustee | February 28, 2008 | ||
Anthony A. Nichols, Sr. | ||||
/s/ Charles P. Pizzi | Trustee | February 28, 2008 | ||
Charles P. Pizzi |
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Table of Contents
BRANDYWINE OPERATING PARTNERSHIP, L.P. | ||||
By: | Brandywine Realty Trust, its General Partner | |||
By: | /s/ Gerard H. Sweeney | |||
Gerard H. Sweeney | ||||
President and Chief Executive Officer |
Signature | Title | Date | ||
/s/ Walter D’Alessio | Chairman of the Board and Trustee | February 28, 2008 | ||
/s/ Gerard H. Sweeney | President, Chief Executive Officer and Trustee (Principal Executive Officer) | February 28, 2008 | ||
/s/ Howard M. Sipzner | Executive Vice President and Chief Financial Officer (Principal Financial Officer) | February 28, 2008 | ||
/s/ Darryl M. Dunn | Vice President, Chief Accounting Officer & Treasurer (Principal Accounting Officer) | February 28, 2008 | ||
/s/ D. Pike Aloian | Trustee | February 28, 2008 | ||
D. Pike Aloian | ||||
/s/ Donald E. Axinn | Trustee | February 28, 2008 | ||
Donald E. Axinn | ||||
/s/ Wyche Fowler | Trustee | February 28, 2008 | ||
Wyche Fowler | ||||
/s/ Michael J. Joyce | Trustee | February 28, 2008 | ||
Michael J. Joyce | ||||
/s/ Anthony A. Nichols, Sr. | Trustee | February 28, 2008 | ||
Anthony A. Nichols, Sr. | ||||
/s/ Charles P. Pizzi | Trustee | February 28, 2008 | ||
Charles P. Pizzi |
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Table of Contents
F - 1
Table of Contents
Philadelphia, Pennsylvania
February 27, 2008
F - 2
Table of Contents
December 31, | ||||||||
2007 | 2006 | |||||||
ASSETS | ||||||||
Real estate investments: | ||||||||
Operating properties | $ | 4,813,563 | $ | 4,927,305 | ||||
Accumulated depreciation | (558,908 | ) | (515,698 | ) | ||||
Operating real estate investments, net | 4,254,655 | 4,411,607 | ||||||
Development land and construction-in-progress | 402,270 | 328,119 | ||||||
Total real estate invesmtents, net | 4,656,925 | 4,739,726 | ||||||
Cash and cash equivalents | 5,600 | 25,379 | ||||||
Accounts receivable, net | 17,057 | 19,957 | ||||||
Accrued rent receivable, net | 83,098 | 71,589 | ||||||
Asset held for sale | — | 126,016 | ||||||
Investment in real estate ventures, at equity | 71,598 | 74,574 | ||||||
Deferred costs, net | 87,123 | 73,708 | ||||||
Intangible assets, net | 218,149 | 281,251 | ||||||
Other assets | 74,549 | 96,818 | ||||||
Total assets | $ | 5,214,099 | $ | 5,509,018 | ||||
LIABILITIES AND BENEFICIARIES’ EQUITY | ||||||||
Mortgage notes payable | $ | 611,898 | $ | 883,920 | ||||
Unsecured term loan | 150,000 | — | ||||||
Unsecured notes | 2,208,344 | 2,208,310 | ||||||
Unsecured credit facility | 130,727 | 60,000 | ||||||
Accounts payable and accrued expenses | 80,732 | 108,400 | ||||||
Distributions payable | 42,368 | 42,760 | ||||||
Tenant security deposits and deferred rents | 65,241 | 55,697 | ||||||
Acquired below market leases, net of accumulated amortization of $36,544 and $26,009 | 67,281 | 92,527 | ||||||
Other liabilities | 30,154 | 14,661 | ||||||
Mortgage notes payable and other liabilities held for sale | — | 20,826 | ||||||
Total liabilities | 3,386,745 | 3,487,101 | ||||||
Minority interest — partners’ share of consolidated real estate ventures | — | 34,428 | ||||||
Minority interest — LP units | 84,119 | 89,563 | ||||||
Commitments and contingencies (Note 19) | ||||||||
Beneficiaries’ equity: | ||||||||
Preferred Shares (shares authorized-20,000,000): | ||||||||
7.50% Series C Preferred Shares, $0.01 par value; issued and outstanding- 2,000,000 in 2007 and 2006 | 20 | 20 | ||||||
7.375% Series D Preferred Shares, $0.01 par value; issued and outstanding- 2,300,000 in 2007 and 2006 | 23 | 23 | ||||||
Common Shares of beneficial interest, $0.01 par value; shares authorized 200,000,000; 88,623,635 and 88,327,041 issued in 2007 and 2006, respectively and 87,015,600 and 88,327,041 outstanding in 2007 and 2006, respectively | 870 | 883 | ||||||
Additional paid-in capital | 2,319,410 | 2,311,541 | ||||||
Common shares in treasury, at cost, 1,599,637 shares at December 31, 2007 | (53,449 | ) | — | |||||
Cumulative earnings | 480,217 | 423,764 | ||||||
Accumulated other comprehensive income (loss) | (1,885 | ) | 1,576 | |||||
Cumulative distributions | (1,001,971 | ) | (839,881 | ) | ||||
Total beneficiaries’ equity | 1,743,235 | 1,897,926 | ||||||
Total liabilities, minority interest and beneficiaries’ equity | $ | 5,214,099 | $ | 5,509,018 | ||||
F - 3
Table of Contents
Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Revenue: | ||||||||||||
Rents | $ | 562,514 | $ | 519,282 | $ | 302,530 | ||||||
Tenant reimbursements | 85,404 | 78,817 | 48,069 | |||||||||
Termination fees | 10,236 | 7,231 | 6,083 | |||||||||
Third party management fees, labor reimbursement and leasing | 19,691 | 19,453 | 3,582 | |||||||||
Other | 6,127 | 5,502 | 4,171 | |||||||||
Total revenue | 683,972 | 630,285 | 364,435 | |||||||||
Operating Expenses: | ||||||||||||
Property operating expenses | 189,130 | 171,924 | 103,968 | |||||||||
Real estate taxes | 64,895 | 60,808 | 36,356 | |||||||||
Management expenses | 10,361 | 10,675 | 1,394 | |||||||||
Depreciation and amortization | 242,312 | 230,710 | 106,175 | |||||||||
Administrative expenses | 28,182 | 29,644 | 17,982 | |||||||||
Total operating expenses | 534,880 | 503,761 | 265,875 | |||||||||
Operating income | 149,092 | 126,524 | 98,560 | |||||||||
Other Income (Expense): | ||||||||||||
Interest income | 4,040 | 9,513 | 1,370 | |||||||||
Interest expense | (162,675 | ) | (171,177 | ) | (70,380 | ) | ||||||
Interest expense - Deferred financing costs | (4,496 | ) | (4,607 | ) | (3,540 | ) | ||||||
Loss on settlement of treasury lock agreements | (3,698 | ) | — | — | ||||||||
Equity in income of real estate ventures | 6,955 | 2,165 | 3,171 | |||||||||
Net gain on sale of interests in depreciated real estate | 40,498 | — | — | |||||||||
Net gain on sale of interests in undepreciated real estate | 421 | 14,190 | 4,640 | |||||||||
Gain on termination of purchase contract | — | 3,147 | — | |||||||||
Income (loss) before minority interest | 30,137 | (20,245 | ) | 33,821 | ||||||||
Minority interest - partners’ share of consolidated real estate ventures | (465 | ) | 270 | — | ||||||||
Minority interest attributable to continuing operations - LP units | (911 | ) | 1,246 | (1,043 | ) | |||||||
Income (loss) from continuing operations | 28,761 | (18,729 | ) | 32,778 | ||||||||
Discontinued operations: | ||||||||||||
Income from discontinued operations | 3,184 | 12,597 | 8,150 | |||||||||
Net gain on disposition of discontinued operations | 25,743 | 20,243 | 2,196 | |||||||||
Minority interest - partners’ share of consolidated real estate ventures | — | (2,239 | ) | — | ||||||||
Minority interest attributable to discontinued operations - LP units | (1,235 | ) | (1,390 | ) | (357 | ) | ||||||
Income from discontinued operations | 27,692 | 29,211 | 9,989 | |||||||||
Net income | 56,453 | 10,482 | 42,767 | |||||||||
Income allocated to Preferred Shares | (7,992 | ) | (7,992 | ) | (7,992 | ) | ||||||
Income allocated to Common Shares | $ | 48,461 | $ | 2,490 | $ | 34,775 | ||||||
Basic earnings per Common Share: | ||||||||||||
Continuing operations | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | |||||
Discontinued operations | 0.32 | 0.33 | 0.18 | |||||||||
$ | 0.56 | $ | 0.03 | $ | 0.62 | |||||||
Diluted earnings per Common Share: | ||||||||||||
Continuing operations | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | |||||
Discontinued operations | 0.32 | 0.32 | 0.18 | |||||||||
$ | 0.55 | $ | 0.03 | $ | 0.62 | |||||||
Dividends declared per common share | $ | 1.76 | $ | 1.76 | $ | 1.78 | ||||||
Basic weighted average shares outstanding | 87,272,148 | 89,552,301 | 55,846,268 | |||||||||
Diluted weighted average shares outstanding | 87,321,276 | 90,070,825 | 56,104,588 |
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Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Net income | $ | 56,453 | $ | 10,482 | $ | 42,767 | ||||||
Other comprehensive income: | ||||||||||||
Unrealized gain (loss) on derivative financial instruments | (3,600 | ) | 1,330 | (713 | ) | |||||||
Less: minority interest - consolidated real estate venture partner’s share of unrealized gain (loss) on derivative financial instruments | — | (302 | ) | — | ||||||||
Settlement of treasury locks | (3,860 | ) | — | — | ||||||||
Settlement of forward starting swaps | 1,148 | 3,266 | 240 | |||||||||
Reclassification of realized (gains)/losses on derivative financial instruments to operations, net | 3,436 | 122 | 450 | |||||||||
Unrealized gain (loss) on available-for-sale securities | (585 | ) | 328 | (16 | ) | |||||||
Total other comprehensive income (loss) | (3,461 | ) | 4,744 | (39 | ) | |||||||
Comprehensive income | $ | 52,992 | $ | 15,226 | $ | 42,728 | ||||||
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Accumulated | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of | Par Value of | Number of | Par Value of | Par Value of | Other | |||||||||||||||||||||||||||||||||||||||||||||||
Preferred C | Preferred C | Preferred D | Preferred D | Number of | Common | AdditionalPaid-in | Common Shares in | Employee | Cumulative | Comprehensive | Cumulative | |||||||||||||||||||||||||||||||||||||||||
Shares | Shares | Shares | Shares | Common Shares | Shares | Capital | Treasury | Stock Loans | Earnings | Income (Loss) | Distributions | Total | ||||||||||||||||||||||||||||||||||||||||
BALANCE, December 31, 2004 | 2,000,000 | $ | 20 | 2,300,000 | $ | 23 | 55,292,752 | $ | 553 | $ | 1,347,072 | $ | — | $ | (421 | ) | $ | 370,515 | $ | (3,130 | ) | $ | (567,630 | ) | $ | 1,147,002 | ||||||||||||||||||||||||||
Net income | 42,767 | 42,767 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | (39 | ) | (39 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Vesting of Restricted Stock | 69,746 | 1 | 1,539 | 1,540 | ||||||||||||||||||||||||||||||||||||||||||||||||
Conversion of LP units to common shares | 107,692 | 1 | 2,584 | 2,585 | ||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of trustee/bonus shares | 3,204 | — | 90 | 90 | ||||||||||||||||||||||||||||||||||||||||||||||||
Payment of employee stock loans | 50 | 50 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of warrants/options | 705,681 | 7 | 18,999 | 19,006 | ||||||||||||||||||||||||||||||||||||||||||||||||
Preferred Share distributions | (7,992 | ) | (7,992 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Distributions ($1.78 per share) | (100,145 | ) | (100,145 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
BALANCE, December 31, 2005 | 2,000,000 | $ | 20 | 2,300,000 | $ | 23 | 56,179,075 | $ | 562 | $ | 1,370,284 | $ | — | $ | (371 | ) | $ | 413,282 | $ | (3,169 | ) | $ | (675,767 | ) | $ | 1,104,864 | ||||||||||||||||||||||||||
Net income | 10,482 | 10,482 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | 4,745 | 4,745 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Vesting of Restricted Stock | 81,142 | 1 | 1,886 | 1,887 | ||||||||||||||||||||||||||||||||||||||||||||||||
Conversion of LP units to common shares | 14,700 | — | 488 | 488 | ||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of Common Shares | 34,542,151 | 345 | 1,021,828 | 1,022,173 | ||||||||||||||||||||||||||||||||||||||||||||||||
Repurchase of Common Shares | (3,009,200 | ) | (30 | ) | (94,443 | ) | (94,473 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of trustee/bonus shares | 3,257 | — | 90 | 90 | ||||||||||||||||||||||||||||||||||||||||||||||||
Payment of employee stock loans | 371 | 371 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of warrants/options | 515,916 | 5 | 11,408 | 11,413 | ||||||||||||||||||||||||||||||||||||||||||||||||
Preferred Share distributions | (7,992 | ) | (7,992 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Distributions ($1.76 per share) | (156,122 | ) | (156,122 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
BALANCE, December 31, 2006 | 2,000,000 | $ | 20 | 2,300,000 | $ | 23 | 88,327,041 | $ | 883 | $ | 2,311,541 | $ | — | $ | — | $ | 423,764 | $ | 1,576 | $ | (839,881 | ) | $ | 1,897,926 | ||||||||||||||||||||||||||||
Net income | 56,453 | 56,453 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | (3,461 | ) | (3,461 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Vesting of Restricted Stock | 66,086 | 1 | 2,097 | 2,098 | ||||||||||||||||||||||||||||||||||||||||||||||||
Conversion of LP units to common shares | 21,951 | — | 716 | 716 | ||||||||||||||||||||||||||||||||||||||||||||||||
Minority interest reclassification | — | — | (2,828 | ) | (2,828 | ) | ||||||||||||||||||||||||||||||||||||||||||||||
Repurchase of Common Shares in Treasury and for deferred comp plan | (1,780,600 | ) | (18 | ) | — | (59,408 | ) | (59,426 | ) | |||||||||||||||||||||||||||||||||||||||||||
Common Shares used for deferred comp plan | 172,565 | 2 | — | 5,959 | 5,961 | |||||||||||||||||||||||||||||||||||||||||||||||
Issuance of trustee/bonus shares | 1,664 | — | 53 | 53 | ||||||||||||||||||||||||||||||||||||||||||||||||
Deferred compensation obligation | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Exercise of warrants/options | 206,893 | 2 | 7,831 | 7,833 | ||||||||||||||||||||||||||||||||||||||||||||||||
Preferred Share distributions | (7,992 | ) | (7,992 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Distributions ($1.76 per share) | (154,098 | ) | (154,098 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
BALANCE, December 31, 2007 | 2,000,000 | $ | 20 | 2,300,000 | $ | 23 | 87,015,600 | $ | 870 | $ | 2,319,410 | $ | (53,449 | ) | $ | — | $ | 480,217 | $ | (1,885 | ) | $ | (1,001,971 | ) | $ | 1,743,235 | ||||||||||||||||||||||||||
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Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Cash flows from operating activities: | ||||||||||||
Net income | $ | 56,453 | $ | 10,482 | $ | 42,767 | ||||||
Adjustments to reconcile net income to net cash from operating activities: | ||||||||||||
Depreciation | 179,724 | 186,454 | 84,561 | |||||||||
Amortization: | ||||||||||||
Deferred financing costs | 4,497 | 4,607 | 3,721 | |||||||||
Deferred leasing costs | 15,672 | 12,258 | 8,895 | |||||||||
Acquired above (below) market leases, net | (12,225 | ) | (9,034 | ) | (1,542 | ) | ||||||
Acquired lease intangibles | 51,669 | 66,317 | 18,573 | |||||||||
Deferred compensation costs | 4,672 | 3,447 | 2,764 | |||||||||
Straight-line rent | (28,304 | ) | (31,326 | ) | (14,952 | ) | ||||||
Provision for doubtful accounts | 3,147 | 3,510 | 792 | |||||||||
Real estate venture income in excess of distributions | (55 | ) | (15 | ) | (769 | ) | ||||||
Net gain on sale of interests in real estate | (66,662 | ) | (34,433 | ) | (6,820 | ) | ||||||
Gain on termination of purchase contract | — | (3,147 | ) | — | ||||||||
Minority interest | 2,611 | 2,113 | 1,400 | |||||||||
Changes in assets and liabilities: | ||||||||||||
Accounts receivable | 6,448 | 1,365 | (598 | ) | ||||||||
Other assets | (6,268 | ) | (4,855 | ) | (11,810 | ) | ||||||
Accounts payable and accrued expenses | (10,524 | ) | (1,154 | ) | (2,407 | ) | ||||||
Tenant security deposits and deferred rents | 12,634 | 29,209 | (40 | ) | ||||||||
Other liabilities | 6,328 | 5,768 | 612 | |||||||||
Net cash from operating activities | 219,817 | 241,566 | 125,147 | |||||||||
Cash flows from investing activities: | ||||||||||||
Acquisition of Prentiss | — | (935,856 | ) | — | ||||||||
Acquisition of properties | (88,890 | ) | (231,244 | ) | (92,674 | ) | ||||||
Acquisition of minority interest in consolidated real estate venture | (63,732 | ) | — | — | ||||||||
Sales of properties, net | 472,590 | 347,652 | 29,428 | |||||||||
Proceeds from termination of purchase contract | — | 3,147 | — | |||||||||
Capital expenditures | (267,103 | ) | (242,516 | ) | (177,035 | ) | ||||||
Investment in marketable securities | — | 181,556 | 423 | |||||||||
Investment in unconsolidated Real Estate Ventures | (897 | ) | (753 | ) | (269 | ) | ||||||
Restricted cash | 4,898 | (2,981 | ) | (518 | ) | |||||||
Cash distributions from unconsolidated Real Estate Ventures in excess of equity in income | 3,711 | 3,762 | 462 | |||||||||
Leasing costs | (16,104 | ) | (38,561 | ) | (12,234 | ) | ||||||
Net cash from (used in) investing activities | 44,473 | (915,794 | ) | (252,417 | ) | |||||||
Cash flows from financing activities: | ||||||||||||
Proceeds from Credit Facility borrowings | 959,602 | 726,000 | 372,142 | |||||||||
Repayments of Credit Facility borrowings | (888,875 | ) | (756,000 | ) | (434,142 | ) | ||||||
Proceeds from mortgage notes payable | — | 20,520 | — | |||||||||
Repayments of mortgage notes payable | (272,027 | ) | (213,338 | ) | (23,457 | ) | ||||||
Proceeds from term loan | 150,000 | 750,000 | — | |||||||||
Repayments of term loan | — | (750,000 | ) | — | ||||||||
Proceeds from unsecured notes | 300,000 | 1,193,217 | 299,976 | |||||||||
Repayments of unsecured notes | (299,925 | ) | — | — | ||||||||
Net settlement of of hedge transactions | (2,712 | ) | 3,266 | — | ||||||||
Repayments on employee stock loans | — | 371 | 50 | |||||||||
Debt financing costs | (4,474 | ) | (14,319 | ) | (4,026 | ) | ||||||
Exercise of stock options | 6,011 | 11,414 | 18,999 | |||||||||
Repurchases of Common Shares and minority interest units | (59,426 | ) | (94,472 | ) | (239 | ) | ||||||
Distributions paid to shareholders | (162,368 | ) | (151,102 | ) | (106,608 | ) | ||||||
Distributions to minority interest holders | (9,875 | ) | (33,124 | ) | (3,597 | ) | ||||||
Net cash used in (from) financing activities | (284,069 | ) | 692,433 | 119,098 | ||||||||
Increase (decrease) in cash and cash equivalents | (19,779 | ) | 18,205 | (8,172 | ) | |||||||
Cash and cash equivalents at beginning of period | 25,379 | 7,174 | 15,346 | |||||||||
Cash and cash equivalents at end of period | $ | 5,600 | $ | 25,379 | $ | 7,174 | ||||||
Supplemental disclosure: | ||||||||||||
Cash paid for interest, net of capitalized interest | $ | 182,790 | $ | 154,258 | $ | 53,450 | ||||||
Supplemental disclosure of non-cash activity: | ||||||||||||
Common shares issued in the Prentiss acquisition | — | 1,022,173 | — | |||||||||
Operating Partnership units issued in Prentiss acquisitions | — | 64,103 | — | |||||||||
Operating Partnership units issued in property acquistions | — | 13,819 | — | |||||||||
Debt, minority interest and other liabilities, net, assumed in the Prentiss acquisition | — | 679,520 | — |
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The cost of operating properties reflects their purchase price or development cost. Costs incurred for the acquisition and renovation of an operating property are capitalized to the Company’s investment in that property. Ordinary repairs and maintenance are expensed as incurred; major replacements and betterments, which improve or extend the life of the asset, are capitalized and depreciated over their estimated useful lives. Fully-depreciated assets are removed from the accounts.
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December 31, | ||||||||
2007 | 2006 | |||||||
(amounts in thousands) | ||||||||
Land | $ | 727,979 | $ | 756,400 | ||||
Building and improvements | 3,672,638 | 3,807,040 | ||||||
Tenant improvements | 412,946 | 363,865 | ||||||
$ | 4,813,563 | $ | 4,927,305 | |||||
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At January 5, 2006 | ||||
Real estate investments | ||||
Land — operating | $ | 282,584 | ||
Building and improvements | 1,942,728 | |||
Tenant improvements | 120,610 | |||
Construction in progress and land inventory | 57,329 | |||
Total real estate investments acquired | 2,403,251 | |||
Rent receivables | 6,031 | |||
Other assets acquired: | ||||
Intangible assets: | ||||
In-place leases | 187,907 | |||
Relationship values | 98,382 | |||
Above-market leases | 26,352 | |||
Total intangible assets acquired | 312,641 | |||
Investment in real estate ventures | 66,921 | |||
Investment in marketable securities | 193,089 | |||
Other assets | 8,868 | |||
Total other assets | 581,519 | |||
Total assets acquired | 2,990,801 | |||
Liabilities assumed: | ||||
Mortgage notes payable | 532,607 | |||
Unsecured notes | 78,610 | |||
Secured note payable | 186,116 | |||
Security deposits and deferred rent | 6,475 | |||
Other liabilities: | ||||
Below-market leases | 78,911 | |||
Other liabilities | 43,995 | |||
Total other liabilities assumed | 122,906 | |||
Total liabilities assumed | 926,714 | |||
Minority interest | 104,658 | |||
Net assets acquired | $ | 1,959,429 | ||
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December 31, | ||||||||
2006 | 2005 | |||||||
(unaudited) | ||||||||
Pro forma revenue | $ | 633,689 | $ | 626,834 | ||||
Pro forma loss from continuing operations | (18,379 | ) | (25,072 | ) | ||||
Pro forma loss allocated to common shares | 2,840 | (23,075 | ) | |||||
Earnings per common share from continuing operations | ||||||||
Basic — as reported | $ | (0.30 | ) | $ | 0.44 | |||
Basic — as pro forma | $ | (0.29 | ) | $ | (0.37 | ) | ||
Diluted — as reported | $ | (0.30 | ) | $ | 0.44 | |||
Diluted — as pro forma | $ | (0.29 | ) | $ | (0.37 | ) | ||
Earnings per common share | ||||||||
Basic — as reported | $ | 0.03 | $ | 0.62 | ||||
Basic — as pro forma | $ | 0.03 | $ | (0.26 | ) | |||
Diluted — as reported | $ | 0.03 | $ | 0.62 | ||||
Diluted — as pro forma | $ | 0.03 | $ | (0.26 | ) | |||
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Company’s Share | ||||||||||||||||||||||||
of 2007 Real Estate | Real Estate | Current | ||||||||||||||||||||||
Ownership | Carrying | Venture | Venture | Interest | Debt | |||||||||||||||||||
Percentage (1) | Amount | Income (Loss) | Debt at 100% | Rate | Maturity | |||||||||||||||||||
Two Tower Bridge Associates | 35 | % | $ | 2,287 | $ | (344 | ) | $ | 11,816 | 6.82 | % | May-08 | ||||||||||||
Five Tower Bridge Associates | 15 | % | 162 | — | 29,260 | 6.77 | % | Feb-09 | ||||||||||||||||
Seven Tower Bridge Associates | 10 | % | 299 | — | — | N/A | N/A | |||||||||||||||||
Eight Tower Bridge Associates | 5.5 | % | (198 | ) | — | 68,464 | 7.68 | % | Feb-12 | |||||||||||||||
1000 Chesterbrook Boulevard | 50 | % | 2,333 | 669 | 26,410 | 6.88 | % | Nov-11 | ||||||||||||||||
PJP Building Two, LC | 30 | % | 177 | 124 | 5,107 | 6.12 | % | Nov-23 | ||||||||||||||||
PJP Building Three, LC | 25 | % | (26 | ) | — | — | N/A | N/A | ||||||||||||||||
PJP Building Five, LC | 25 | % | 148 | 54 | 6,380 | 6.47 | % | Aug-19 | ||||||||||||||||
PJP Building Six, LC | 25 | % | 96 | 21 | 8,033 | 6.35 | % | Jun-09 | ||||||||||||||||
PJP Building Seven, LC | 25 | % | 75 | — | 1,296 | 6.35 | % | Oct-10 | ||||||||||||||||
Macquarie BDN Christina LLC | 20 | % | 2,854 | 1,228 | 74,500 | 4.62 | % | Jan-09 | ||||||||||||||||
Broadmoor Austin Associates | 50 | % | 62,775 | 680 | 109,020 | 5.79 | % | Apr-11 | ||||||||||||||||
Residence Inn Tower Bridge | 50 | % | 616 | 472 | 14,480 | 5.63 | % | Feb-16 | ||||||||||||||||
G&I Interchange Office LLC (DRA) (2) | 20 | % | — | — | 184,000 | 5.78 | % | Jan-15 | ||||||||||||||||
Invesco, L.P. (3) | 35 | % | — | 4,051 | — | N/A | N/A | |||||||||||||||||
$ | 71,598 | $ | 6,955 | $ | 538,766 | |||||||||||||||||||
(1) | Ownership percentage represents the Company’s entitlement to residual distributions after payments of priority returns, where applicable. | |
(2) | See Note 3 — Real Estate Investments for description of formation of the Venture. The Company retained a 20% interest and received distributions from financing in excess of its basis. The Company has no commitment to fund and no expectation of operating losses, accordingly, the Company’s carrying value has not been reduced below zero. | |
(3) | The Company’s interest consists solely of a residual profits interest. This distribution represents the Company’s final distribution from the Venture and, therefore, it is no longer included in our total real estate venture count. |
December 31, | ||||||||
2007 | 2006 | |||||||
Net property | $ | 630,327 | $ | 365,168 | ||||
Other assets | 63,458 | 52,935 | ||||||
Other Liabilities | 34,149 | 28,764 | ||||||
Debt | 538,766 | 332,589 | ||||||
Equity | 120,870 | 56,888 | ||||||
Company’s share of equity (Company basis) | 71,598 | 74,574 |
Year ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Revenue | $ | 75,541 | $ | 70,381 | $ | 59,346 | ||||||
Operating expenses | 25,724 | 26,878 | 29,387 | |||||||||
Interest expense, net | 21,442 | 21,711 | 12,324 | |||||||||
Depreciation and amortization | 15,526 | 17,808 | 9,359 | |||||||||
Net income | 12,849 | 5,176 | 8,276 | |||||||||
Company’s share of income (Company basis) | 6,955 | 2,165 | 3,172 |
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2008 | $ | 16,653 | ||
2009 | 121,684 | |||
2010 | 11,105 | |||
2011 | 106,505 | |||
2012 | 69,280 | |||
Thereafter | 213,539 | |||
$ | 538,766 | |||
December 31, 2007 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
Leasing Costs | $ | 99,077 | $ | (31,259 | ) | $ | 67,818 | |||||
Financing Costs | 27,597 | (8,292 | ) | 19,305 | ||||||||
Total | $ | 126,674 | $ | (39,551 | ) | $ | 87,123 | |||||
December 31, 2006 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
Leasing Costs | $ | 83,629 | $ | (28,278 | ) | $ | 55,351 | |||||
Financing Costs | 24,648 | (6,291 | ) | 18,357 | ||||||||
Total | $ | 108,277 | $ | (34,569 | ) | $ | 73,708 | |||||
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December 31, 2007 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
In-place lease value | $ | 180,456 | $ | (65,742 | ) | $ | 114,714 | |||||
Tenant relationship value | 121,094 | (32,895 | ) | 88,199 | ||||||||
Above market leases acquired | 29,337 | (14,101 | ) | 15,236 | ||||||||
Total | $ | 330,887 | $ | (112,738 | ) | $ | 218,149 | |||||
Below market leases acquired | $ | 103,825 | $ | (36,544 | ) | $ | 67,281 | |||||
December 31, 2006 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
In-place lease value | $ | 207,513 | $ | (52,293 | ) | $ | 155,220 | |||||
Tenant relationship value | 124,605 | (19,572 | ) | 105,033 | ||||||||
Above market leases acquired | 32,667 | (11,669 | ) | 20,998 | ||||||||
Total | $ | 364,785 | $ | (83,534 | ) | $ | 281,251 | |||||
Below market leases acquired | $ | 118,536 | $ | (26,009 | ) | $ | 92,527 | |||||
Assets | Liabilities | |||||||
2008 | $ | 48,725 | $ | 14,904 | ||||
2009 | 42,377 | 11,984 | ||||||
2010 | 35,344 | 9,567 | ||||||
2011 | 27,358 | 7,841 | ||||||
2012 | 21,067 | 6,899 | ||||||
Thereafter | 43,278 | 16,086 | ||||||
Total | $ | 218,149 | $ | 67,281 | ||||
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Effective | ||||||||||||||||||||
December 31, | December 31, | Interest | Maturity | |||||||||||||||||
Property / Location | 2007 | 2006 | Rate | Date | ||||||||||||||||
Interstate Center | $ | — | $ | 552 | 6.19% | Mar-07 | ||||||||||||||
The Bluffs | — | 10,700 | 6.00% | (a) | Apr-07 | |||||||||||||||
Pacific Ridge | — | 14,500 | 6.00% | (a) | Apr-07 | |||||||||||||||
Pacific View/Camino | — | 26,000 | 6.00% | (a) | Apr-07 | |||||||||||||||
Computer Associates Building | — | 31,000 | 6.00% | (a) | Apr-07 | |||||||||||||||
Presidents Plaza | — | 30,900 | 6.00% | (a) | Apr-07 | |||||||||||||||
440 & 442 Creamery Way | — | 5,421 | 8.55% | May-07 | ||||||||||||||||
Grande A | — | 59,513 | 7.48% | Jul-07 | ||||||||||||||||
Grande B | — | 77,535 | 7.48% | Jul-07 | ||||||||||||||||
481 John Young Way | — | 2,294 | 8.40% | Dec-07 | ||||||||||||||||
400 Commerce Drive | 11,575 | 11,797 | 7.12% | Jun-08 | ||||||||||||||||
Two Logan Square | 70,124 | 71,348 | 5.78% | (a) | Jul-09 | |||||||||||||||
200 Commerce Drive | 5,765 | 5,841 | 7.12% | (a) | Jan-10 | |||||||||||||||
1333 Broadway | 23,997 | 24,418 | 5.18% | (a) | May-10 | |||||||||||||||
The Ordway | 45,509 | 46,199 | 7.95% | (a) | Aug-10 | |||||||||||||||
World Savings Center | 27,142 | 27,524 | 7.91% | (a) | Nov-10 | |||||||||||||||
Plymouth Meeting Exec. | 43,470 | 44,103 | 7.00% | (a) | Dec-10 | |||||||||||||||
Four Tower Bridge | 10,518 | 10,626 | 6.62% | Feb-11 | ||||||||||||||||
Arboretum I, II, III & V | 22,225 | 22,750 | 7.59% | Jul-11 | ||||||||||||||||
Midlantic Drive/Lenox Drive/DCC I | 61,276 | 62,678 | 8.05% | Oct-11 | ||||||||||||||||
Research Office Center | 41,527 | 42,205 | 7.64% | (a) | Oct-11 | |||||||||||||||
Concord Airport Plaza | 37,570 | 38,461 | 7.20% | (a) | Jan-12 | |||||||||||||||
Six Tower Bridge | 14,472 | 14,744 | 7.79% | Aug-12 | ||||||||||||||||
Newtown Square/Berwyn Park/Libertyview | 62,125 | 63,231 | 7.25% | May-13 | ||||||||||||||||
Coppell Associates | 3,512 | 3,737 | 6.89% | Dec-13 | ||||||||||||||||
Southpoint III | 4,426 | 4,949 | 7.75% | Apr-14 | ||||||||||||||||
Tysons Corner | 100,000 | 100,000 | 4.84% | (a) | Aug-15 | |||||||||||||||
Coppell Associates | 16,600 | 16,600 | 5.75% | Feb-16 | ||||||||||||||||
Principal balance outstanding | 601,833 | 869,626 | ||||||||||||||||||
Plus: unamortized fixed-rate debt premiums, net | 10,065 | 14,294 | ||||||||||||||||||
Total mortgage indebtedness | $ | 611,898 | $ | 883,920 | ||||||||||||||||
UNSECURED DEBT: | ||||||||||||||||||||
Sweep Agreement Line | 10,727 | — | Libor + 0.75% | Mar-08 | ||||||||||||||||
Private Placement Notes due 2008 | 113,000 | 113,000 | 4.34% | Dec-08 | ||||||||||||||||
2009 Three Year Notes | — | 300,000 | Libor + 0.45% | Apr-09 | ||||||||||||||||
2009 Five Year Notes | 275,000 | 275,000 | 4.62% | Nov-09 | ||||||||||||||||
Bank Term Loan | 150,000 | — | Libor + 0.80% | Oct-10 | ||||||||||||||||
2010 Five Year Notes | 300,000 | 300,000 | 5.61% | Dec-10 | ||||||||||||||||
Line-of-Credit | 120,000 | 60,000 | Libor + 0.725% | Jun-11 | ||||||||||||||||
3.875% Exchangeable Notes | 345,000 | 345,000 | 3.87% | Oct-11 | ||||||||||||||||
2012 Six Year Notes | 300,000 | 300,000 | 5.77% | Apr-12 | ||||||||||||||||
2014 Ten Year Notes | 250,000 | 250,000 | 5.53% | Nov-14 | ||||||||||||||||
2016 Ten Year Notes | 250,000 | 250,000 | 5.95% | Apr-16 | ||||||||||||||||
2017 Ten Year Notes | 300,000 | — | 5.72% | May-17 | ||||||||||||||||
Indenture IA (Preferred Trust I) | 27,062 | 27,062 | Libor + 1.25% | Mar-35 | ||||||||||||||||
Indenture IB (Preferred Trust I) | 25,774 | 25,774 | Libor + 1.25% | Apr-35 | ||||||||||||||||
Indenture II (Preferred Trust II) | 25,774 | 25,774 | Libor + 1.25% | Jul-35 | ||||||||||||||||
Principal balance outstanding | 2,492,337 | 2,271,610 | ||||||||||||||||||
Plus: unamortized fixed-rate debt discounts, net | (3,266 | ) | (3,300 | ) | ||||||||||||||||
Total unsecured indebtedness | $ | 2,489,071 | $ | 2,268,310 | ||||||||||||||||
Total Debt Obligations | $ | 3,100,969 | $ | 3,152,230 | ||||||||||||||||
(a) | Loans were assumed upon acquisition of the related property. Interest rates presented above reflect the market rate at the time of acquisition. |
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F - 26
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2008 | $ | 146,005 | ||
2009 | 354,955 | |||
2010 | 600,189 | |||
2011 | 597,261 | |||
2012 | 351,053 | |||
Thereafter | 1,044,707 | |||
Total principal payments | $ | 3,094,170 | ||
Net unamortized premiums/discounts | 6,799 | |||
Outstanding indebtedness | $ | 3,100,969 | ||
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December 31, 2007 | December 31, 2006 | |||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||
Amount | Value | Amount | Value | |||||||||||||
Mortgage payable, net of premiums | $ | 611,898 | $ | 597,287 | $ | 888,470 | $ | 859,490 | ||||||||
Unsecured notes payable, net of discounts | $ | 2,129,734 | $ | 1,996,475 | $ | 1,829,701 | $ | 1,826,357 |
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Trade Date | Notional Amount | All-in Rate | ||||||
July 10, 2007 | $50.0 million | 4.984 | % | |||||
July 18, 2007 | $50.0 million | 4.915 | % | |||||
July 20, 2007 | $25.0 million | 4.848 | % | |||||
July 25, 2007 | $25.0 million | 4.780 | % |
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Years Ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Revenue: | ||||||||||||
Rents | $ | 12,844 | $ | 84,064 | $ | 25,750 | ||||||
Tenant reimbursements | 1,531 | 6,967 | 1,503 | |||||||||
Termination fees | — | 529 | — | |||||||||
Other | 214 | 1,151 | 49 | |||||||||
Total revenue | 14,589 | 92,711 | 27,302 | |||||||||
Expenses: | ||||||||||||
Property operating expenses | 5,013 | 33,660 | 9,691 | |||||||||
Real estate taxes | 1,644 | 10,921 | 3,140 | |||||||||
Depreciation & amortization | 4,748 | 34,706 | 5,882 | |||||||||
Total operating expenses | 11,405 | 79,287 | 18,713 | |||||||||
Operating income | 3,184 | 13,424 | 8,589 | |||||||||
Interest income | — | 13 | 6 | |||||||||
Interest expense | — | (840 | ) | (445 | ) | |||||||
Income from discontinued operations before gain on sale of interests in real estate and minority interest | 3,184 | 12,597 | 8,150 | |||||||||
Net gain on sale of interests in real estate | 25,743 | 20,243 | 2,196 | |||||||||
Minority interest — partners’ share of net gain on sale | — | (1,757 | ) | — | ||||||||
Minority interest — partners’ share of consolidated real estate venture | — | (482 | ) | — | ||||||||
Minority interest attributable to discontinued operations — LP units | (1,235 | ) | (1,390 | ) | (357 | ) | ||||||
Income from discontinued operations | $ | 27,692 | $ | 29,211 | $ | 9,989 | ||||||
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For the years ended December 31, | |||||||||||||||||||||||||
2007 | 2006 | 2005 | |||||||||||||||||||||||
Basic | Diluted | Basic | Diluted | Basic | Diluted | ||||||||||||||||||||
Income (loss) from continuing operations | $ | 28,761 | $ | 28,761 | $ | (18,729 | ) | $ | (18,729 | ) | $ | 32,778 | $ | 32,778 | |||||||||||
Income from discontinued operations | 27,692 | 27,692 | 29,211 | 29,211 | 9,989 | 9,989 | |||||||||||||||||||
Income allocated to Preferred Shares | (7,992 | ) | (7,992 | ) | (7,992 | ) | (7,992 | ) | (7,992 | ) | (7,992 | ) | |||||||||||||
$ | 48,461 | $ | 48,461 | $ | 2,490 | $ | 2,490 | $ | 34,775 | $ | 34,775 | ||||||||||||||
Weighted-average shares outstanding | 87,272,148 | 87,272,148 | 89,552,301 | 89,552,301 | 55,846,268 | 55,846,268 | |||||||||||||||||||
Options, warrants and unvested restricted stock | — | 49,128 | — | 518,524 | — | 258,320 | |||||||||||||||||||
Total weighted-average shares outstanding | 87,272,148 | 87,321,276 | 89,552,301 | 90,070,825 | 55,846,268 | 56,104,588 | |||||||||||||||||||
Earnings per Common Share: | |||||||||||||||||||||||||
Continuing operations | $ | 0.24 | $ | 0.24 | $ | (0.30 | ) | $ | (0.30 | ) | $ | 0.44 | $ | 0.44 | |||||||||||
Discontinued operations | 0.32 | 0.32 | 0.33 | 0.32 | 0.18 | 0.18 | |||||||||||||||||||
Total | $ | 0.56 | $ | 0.55 | $ | 0.03 | $ | 0.03 | $ | 0.62 | $ | 0.62 | |||||||||||||
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Table of Contents
Weighted | Weighted Average | |||||||||||||||
Average | Remaining Contractual | Aggregate Intrinsic | ||||||||||||||
Shares | Exercise Price | Term (in years) | Value (in 000’s) | |||||||||||||
Outstanding at January 1, 2007 | 1,286,075 | $ | 26.45 | 1.50 | $ | 8,739 | ||||||||||
Exercised | (198,495 | ) | $ | 28.80 | 0.87 | $ | 1,171 | |||||||||
Forfeited | (17,481 | ) | — | — | — | |||||||||||
Outstanding at December 31, 2007 | 1,070,099 | $ | 26.13 | 0.54 | $ | (8,775 | ) | |||||||||
Vested at December 31, 2007 (1) | 1,070,099 | $ | 26.13 | 0.54 | $ | (8,775 | ) | |||||||||
Exercisable at December 31, 2007 (1) | 1,070,099 | $ | 26.13 | 0.54 | $ | (8,775 | ) |
(1) | There were 825,389 options that expired unexercised on January 1, 2008. |
Years ended December 31, | ||||||||||||||||||||||||
2006 | 2005 | |||||||||||||||||||||||
Weighted | Weighted | |||||||||||||||||||||||
Average | Average | |||||||||||||||||||||||
Weighted | Remaining | Weighted | Remaining | |||||||||||||||||||||
Average | Contractual | Average | Contractual | |||||||||||||||||||||
Exercise | Term | Exercise | Term | |||||||||||||||||||||
Shares | Price | (in Years) | Shares | Price | (in Years) | |||||||||||||||||||
Outstanding at beginning of year | 1,276,722 | $ | 26.82 | 2,008,022 | $ | 26.89 | ||||||||||||||||||
Prentiss options converted to Company options as part of the Prentiss acquisition (See Note 3) | 496,037 | $ | 22.00 | — | — | |||||||||||||||||||
Exercised | (486,684 | ) | $ | 22.88 | (705,678 | ) | $ | 26.94 | ||||||||||||||||
Forfeited/Expired | — | — | (25,622 | ) | $ | 28.80 | ||||||||||||||||||
Outstanding at end of year | 1,286,075 | $ | 26.45 | 1.50 | 1,276,722 | $ | 26.82 | 1.97 | ||||||||||||||||
Exercisable at end of year | 1,286,075 | $ | 26.45 | 1,276,722 | $ | 26.82 | ||||||||||||||||||
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Table of Contents
Weighted | ||||||||
Average Grant | ||||||||
Shares | Date Fair value | |||||||
Non-vested at January 1, 2007 | 338,860 | $ | 28.23 | |||||
Granted | 227,709 | 34.94 | ||||||
Vested | (107,143 | ) | 26.45 | |||||
Forfeited | (50,144 | ) | 32.28 | |||||
Non-vested at December 31, 2007 | 409,282 | $ | 31.91 | |||||
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Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Common Share Distributions: | ||||||||||||
Ordinary income | $ | 1.16 | $ | 1.33 | $ | 1.37 | ||||||
Capital gain | 0.46 | 0.30 | 0.08 | |||||||||
Split year dividend (a) | — | 0.13 | 0.31 | |||||||||
Non-taxable distributions | 0.14 | — | — | |||||||||
Distributions per share (b) | $ | 1.76 | $ | 1.76 | $ | 1.76 | ||||||
Percentage classified as ordinary income | 65.9 | % | 75.6 | % | 77.8 | % | ||||||
Percentage classified as capital gain | 26.1 | % | 17.0 | % | 4.6 | % | ||||||
Percentage classified as split year dividend | 0.0 | % | 7.4 | % | 17.6 | % | ||||||
Percentage classified as non-taxable distribution | 8.0 | % | 0.0 | % | 0.0 | % | ||||||
Preferred Share Distributions: | ||||||||||||
Total distributions declared | $ | 7,992,000 | $ | 7,992,000 | $ | 7,992,000 |
(a) | Split year dividend amount shown for 2006 was taxable in 2005 and paid in 2006. | |
(b) | The Company also declared a special distribution of $0.02, in addition to the $1.76, in December 2005 for shareholders of record for the period January 1, 2006 through January 4, 2006. |
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Unrealized Gains | Cash Flow | Accumulated Other | ||||||||||
(Losses) on Securities | Hedges | Comprehensive Loss | ||||||||||
Balance at January 1, 2005 | $ | 16 | $ | (3,146 | ) | $ | (3,130 | ) | ||||
Change during year | 241 | (713 | ) | (472 | ) | |||||||
Settlement of treasury locks | — | 240 | 240 | |||||||||
Reclassification adjustments for losses reclassified into operations | (257 | ) | 450 | 193 | ||||||||
Balance at December 31, 2005 | — | (3,169 | ) | (3,169 | ) | |||||||
Change during year | — | 1,331 | 1,331 | |||||||||
Minority interest — consolidated real estate venture partner’s share of unrealized (gains)/losses on derivative financial instruments | — | (302 | ) | (302 | ) | |||||||
Settlement of forward starting swaps | — | 3,266 | 3,266 | |||||||||
Reclassification adjustments for (gains) losses reclassified into operations | 328 | 122 | 450 | |||||||||
Balance at December 31, 2006 | 328 | 1,248 | 1,576 | |||||||||
Change during year | — | (3,600 | ) | (3,600 | ) | |||||||
Minority interest — consolidated real estate venture partner’s share of unrealized (gains)/losses on derivative financial instruments | — | — | — | |||||||||
Settlement of treasury locks | — | (3,860 | ) | (3,860 | ) | |||||||
Settlement of forward starting swaps | — | 1,148 | 1,148 | |||||||||
Reclassification adjustments for (gains) losses reclassified into operations | (585 | ) | 3,436 | 2,851 | ||||||||
Balance at December 31, 2007 | $ | (257 | ) | $ | (1,628 | ) | $ | (1,885 | ) | |||
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New Jersey | Richmond, | California - | California - | Metropolitan, | ||||||||||||||||||||||||||||||||
Pennsylvania | /Delaware | Virginia | North | South | D.C. | Southwest | Corporate | Total | ||||||||||||||||||||||||||||
2007: | ||||||||||||||||||||||||||||||||||||
Real estate investments, at cost: | ||||||||||||||||||||||||||||||||||||
Operating properties | $ | 1,682,839 | $ | 663,503 | $ | 348,310 | $ | 472,818 | $ | 106,303 | $ | 1,302,833 | $ | 236,957 | $ | — | $ | 4,813,563 | ||||||||||||||||||
Developed land and construction-in-progress | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 402,270 | $ | 402,270 | ||||||||||||||||||
Total revenue | $ | 275,626 | $ | 120,461 | $ | 39,140 | $ | 64,989 | $ | 13,565 | $ | 134,596 | $ | 37,855 | $ | (2,260 | ) | $ | 683,972 | |||||||||||||||||
Property operating expenses and real estate taxes | 104,393 | 53,382 | 14,445 | 26,565 | 5,571 | 47,032 | 16,440 | (3,442 | ) | 264,386 | ||||||||||||||||||||||||||
Net operating income | $ | 171,233 | $ | 67,079 | $ | 24,695 | $ | 38,424 | $ | 7,994 | $ | 87,564 | $ | 21,415 | $ | 1,182 | $ | 419,586 | ||||||||||||||||||
2006: | ||||||||||||||||||||||||||||||||||||
Real estate investments, at cost: | ||||||||||||||||||||||||||||||||||||
Operating properties | $ | 1,814,592 | $ | 681,574 | $ | 244,592 | $ | 414,856 | $ | 118,265 | $ | 1,265,818 | $ | 387,608 | $ | — | $ | 4,927,305 | ||||||||||||||||||
Developed land and construction-in-progress | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 328,119 | $ | 328,119 | ||||||||||||||||||
Total revenue | $ | 246,422 | $ | 117,548 | $ | 33,317 | $ | 60,679 | $ | 14,326 | $ | 119,807 | $ | 33,586 | $ | 4,600 | $ | 630,285 | ||||||||||||||||||
Property operating expenses and real estate taxes | 99,085 | 49,871 | 12,441 | 24,494 | 5,435 | 39,981 | 11,951 | 149 | 243,407 | |||||||||||||||||||||||||||
Net operating income | $ | 147,337 | $ | 67,677 | $ | 20,876 | $ | 36,185 | $ | 8,891 | $ | 79,826 | $ | 21,635 | $ | 4,451 | $ | 386,878 | ||||||||||||||||||
2005: | ||||||||||||||||||||||||||||||||||||
Total revenue | $ | 215,840 | $ | 117,606 | $ | 29,794 | $ | — | $ | — | $ | — | $ | — | $ | 1,195 | $ | 364,435 | ||||||||||||||||||
Property operating expenses and real estate taxes | 84,110 | 47,242 | 11,732 | — | — | — | — | (1,366 | ) | 141,718 | ||||||||||||||||||||||||||
Net operating income | $ | 131,730 | $ | 70,364 | $ | 18,062 | $ | — | $ | — | $ | — | $ | — | $ | 2,561 | $ | 222,717 | ||||||||||||||||||
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Table of Contents
Year Ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
(amounts in thousands) | ||||||||||||
Consolidated net operating income (loss) | $ | 419,586 | $ | 386,878 | $ | 222,717 | ||||||
Less: | ||||||||||||
Interest expense | (162,675 | ) | (171,177 | ) | (70,380 | ) | ||||||
Deferred financing costs | (4,496 | ) | (4,607 | ) | (3,540 | ) | ||||||
Loss on settlement of treasury lock agreements | (3,698 | ) | — | — | ||||||||
Depreciation and amortization | (242,312 | ) | (230,710 | ) | (106,175 | ) | ||||||
Administrative expenses | (28,182 | ) | (29,644 | ) | (17,982 | ) | ||||||
Minority interest — partners’ share of consolidated real estate ventures | (465 | ) | 270 | — | ||||||||
Minority interest attributable to continuing operations — LP units | (911 | ) | 1,246 | (1,043 | ) | |||||||
Plus: | ||||||||||||
Interest income | 4,040 | 9,513 | 1,370 | |||||||||
Equity in income of real estate ventures | 6,955 | 2,165 | 3,171 | |||||||||
Net gain on sales of interests in depreciated real estate | 40,498 | — | — | |||||||||
Net gain on sales of interests in undepreciated real estate | 421 | 14,190 | 4,640 | |||||||||
Gain on termination of purchase contract | — | 3,147 | — | |||||||||
Income (loss) from continuing operations | 28,761 | (18,729 | ) | 32,778 | ||||||||
Income (loss) from discontinued operations | 27,692 | 29,211 | 9,989 | |||||||||
Net income (loss) | $ | 56,453 | $ | 10,482 | $ | 42,767 | ||||||
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Table of Contents
Year | Minimum Rent | |||
2008 | $ | 515,156 | ||
2009 | 467,402 | |||
2010 | 402,579 | |||
2011 | 337,340 | |||
2012 | 277,940 | |||
Thereafter | 1,323,580 |
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Table of Contents
2008 | $ | 1,736 | ||
2009 | 1,986 | |||
2010 | 2,318 | |||
2011 | 2,318 | |||
2012 | 2,318 | |||
Thereafter | 291,420 |
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Table of Contents
1st | 2nd | 3rd | 4th | |||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
2007: | ||||||||||||||||
Total revenue | $ | 165,429 | $ | 166,637 | $ | 177,748 | $ | 174,158 | ||||||||
Net income | 19,372 | 1,204 | 2,367 | 33,510 | ||||||||||||
Income (loss) allocated to Common Shares | 17,374 | (794 | ) | 369 | 31,512 | |||||||||||
Basic earnings (loss) per Common Share | $ | 0.20 | $ | (0.01 | ) | $ | — | $ | 0.36 | |||||||
Diluted earnings (loss) per Common Share | $ | 0.19 | $ | (0.01 | ) | $ | — | $ | 0.36 | |||||||
2006: | ||||||||||||||||
Total revenue | $ | 146,749 | $ | 153,347 | $ | 164,284 | $ | 165,905 | ||||||||
Net income (loss) | (2,642 | ) | (11,556 | ) | 564 | 24,116 | ||||||||||
Income (loss) allocated to Common Shares | (4,640 | ) | (13,554 | ) | (1,434 | ) | 22,118 | |||||||||
Basic earnings (loss) per Common Share | $ | (0.05 | ) | $ | (0.15 | ) | $ | (0.02 | ) | $ | 0.25 | |||||
Diluted earnings per (loss) Common Share | $ | (0.05 | ) | $ | (0.15 | ) | $ | (0.02 | ) | $ | 0.25 |
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Table of Contents
Schedule II
Balance at | Balance | |||||||||||||||
Beginning | at End | |||||||||||||||
Description | of Period | Additions | Deductions (2) | of Period | ||||||||||||
Allowance for doubtful accounts: | ||||||||||||||||
Year ended December 31, 2007 | $ | 9,311 | $ | 2,147 | $ | 1,296 | $ | 10,162 | ||||||||
Year ended December 31, 2006 (1) | $ | 4,877 | $ | 4,434 | $ | — | $ | 9,311 | ||||||||
Year ended December 31, 2005 | $ | 4,085 | $ | 792 | $ | — | $ | 4,877 | ||||||||
(1) | The 2006 additions includes $3.5 million of current year expense and $0.9 million of allowances against receivables assumed in the Prentiss acquisition. | |
(2) | Deductions represent amounts that the Company had fully reserved for in prior periods and pursuit of collection of such amounts was ceased during the period. |
F - 42
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Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||||||||
CALIFORNIA NORTH | ||||||||||||||||||||||||||||||||||||||||||||||||
1 Kaiser Plaza | Oakland | CA | 48,359 | 15,034 | 107,422 | 3,748 | 15,318 | 110,886 | 126,204 | 6,801 | 1978 | 2006 | 46 | |||||||||||||||||||||||||||||||||||
2101 Webster Street | Oakland | CA | 23,950 | 13,051 | 89,728 | 2,753 | 13,298 | 92,235 | 105,532 | 7,075 | 1985 | 2006 | 44 | |||||||||||||||||||||||||||||||||||
155 Grand Avenue | Oakland | CA | — | 13,556 | 54,266 | 2 | 13,556 | 54,268 | 67,824 | 822 | 1990 | 2007 | 40 | |||||||||||||||||||||||||||||||||||
1901 Harrison Street | Oakland | CA | 29,046 | 5,442 | 59,920 | 1,065 | 5,545 | 60,882 | 66,427 | 2,954 | 1985 | 2006 | 48 | |||||||||||||||||||||||||||||||||||
1333 Broadway | Oakland | CA | — | 4,519 | 35,235 | 3,700 | 4,781 | 38,673 | 43,454 | 2,412 | 1972 | 2006 | 40 | |||||||||||||||||||||||||||||||||||
1200 Concord Avenue | Concord | CA | 19,826 | 6,395 | 24,664 | 629 | 6,515 | 25,173 | 31,688 | 3,268 | 1984 | 2006 | 34 | |||||||||||||||||||||||||||||||||||
1220 Concord Avenue | Concord | CA | 19,834 | 6,476 | 24,966 | 242 | 6,476 | 25,208 | 31,683 | 3,360 | 1984 | 2006 | 34 | |||||||||||||||||||||||||||||||||||
CALIFORNIA SOUTH | ||||||||||||||||||||||||||||||||||||||||||||||||
5780 & 5790 Fleet Street | Carlsbad | CA | — | 7,073 | 22,907 | 3,211 | 7,516 | 25,675 | 33,191 | 1,871 | 1999 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
16870 W Bernardo Drive | San Diego | CA | — | 2,979 | 15,896 | 1,818 | 3,154 | 17,539 | 20,693 | 1,316 | 2002 | 2006 | 56 | |||||||||||||||||||||||||||||||||||
5900 & 5950 La Place Court | Carlsbad | CA | — | 3,706 | 11,185 | 1,547 | 3,955 | 12,483 | 16,438 | 1,008 | 1988 | 2006 | 48 | |||||||||||||||||||||||||||||||||||
5963 La Place Court | Carlsbad | CA | — | 2,824 | 9,413 | 1,595 | 2,999 | 10,833 | 13,832 | 722 | 1987 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
5973 Avenida Encinas | Carlsbad | CA | — | 2,121 | 8,361 | 1,163 | 2,256 | 9,389 | 11,645 | 890 | 1986 | 2006 | 45 | |||||||||||||||||||||||||||||||||||
2035 Corte Del Nogal | Carlsbad | CA | — | 3,261 | 6,077 | 1,164 | 3,499 | 7,003 | 10,502 | 729 | 1991 | 2006 | 39 | |||||||||||||||||||||||||||||||||||
METROPOLITAN WASHINGTON, D.C. | ||||||||||||||||||||||||||||||||||||||||||||||||
1676 International Drive | Mclean | VA | 63,259 | 18,437 | 97,538 | 1,013 | 18,785 | 98,203 | 116,988 | 4,590 | 1999 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
2340 Dulles Corner Boulevard | Herndon | VA | — | 16,345 | 65,379 | 14,950 | 16,467 | 80,206 | 96,674 | 3,652 | 1987 | 2006 | 40 | |||||||||||||||||||||||||||||||||||
2291 Wood Oak Drive | Herndon | VA | — | 8,243 | 52,413 | 7,018 | 8,782 | 58,892 | 67,674 | 7,483 | 1999 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
7101 Wisconsin Avenue | Bethesda | MD | — | 9,634 | 48,402 | 3,542 | 9,816 | 51,762 | 61,577 | 3,287 | 1975 | 2006 | 45 | |||||||||||||||||||||||||||||||||||
3130 Fairview Park Drive | Falls Church | VA | — | 6,576 | 51,605 | 1,539 | 6,700 | 53,020 | 59,720 | 2,656 | 1999 | 2006 | 53 | |||||||||||||||||||||||||||||||||||
196/198 Van Buren Street | Herndon | VA | — | 7,931 | 43,812 | 6,887 | 8,348 | 50,282 | 58,630 | 3,713 | 1991 | 2006 | 53 | |||||||||||||||||||||||||||||||||||
2251 Corporate Park Drive | Herndon | VA | — | 11,472 | 45,893 | 30 | 11,472 | 45,923 | 57,395 | 1,339 | 2000 | 2006 | 40 | |||||||||||||||||||||||||||||||||||
1900 Gallows Road | Vienna | VA | — | 7,797 | 47,817 | 874 | 7,944 | 48,544 | 56,488 | 3,218 | 1989 | 2006 | 52 | |||||||||||||||||||||||||||||||||||
2355 Dulles Corner Boulevard | Herndon | VA | — | 10,365 | 43,876 | 593 | 10,365 | 44,469 | 54,834 | 2,001 | 1988 | 2006 | 40 | |||||||||||||||||||||||||||||||||||
2411 Dulles Corner Park | Herndon | VA | — | 7,279 | 46,340 | 586 | 7,417 | 46,789 | 54,205 | 3,188 | 1990 | 2006 | 50 | |||||||||||||||||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | — | 5,918 | 40,981 | 656 | 6,050 | 41,506 | 47,556 | 2,243 | 1988 | 2006 | 51 | |||||||||||||||||||||||||||||||||||
13880 Dulles Corner Lane | Herndon | VA | — | 7,236 | 39,213 | 395 | 7,373 | 39,470 | 46,843 | 2,337 | 1997 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
2121 Cooperative Way | Herndon | VA | — | 5,598 | 38,639 | 710 | 5,795 | 39,152 | 44,946 | 2,254 | 2000 | 2006 | 54 | |||||||||||||||||||||||||||||||||||
6600 Rockledge Drive | Bethesda | MD | — | — | 37,421 | 6,303 | — | 43,725 | 43,725 | 1,654 | 1981 | 2006 | 50 | |||||||||||||||||||||||||||||||||||
8260 Greensboro Drive | Mclean | VA | 34,063 | 7,952 | 33,964 | 645 | 8,102 | 34,459 | 42,561 | 2,150 | 1980 | 2006 | 52 | |||||||||||||||||||||||||||||||||||
2201 Cooperative Way | Herndon | VA | — | 4,809 | 34,093 | 333 | 4,809 | 34,426 | 39,236 | 2,976 | 1990 | 2006 | 54 | |||||||||||||||||||||||||||||||||||
2273 Research Boulevard | Rockville | MD | 15,285 | 5,167 | 31,110 | 2,890 | 5,237 | 33,929 | 39,166 | 2,140 | 1999 | 2006 | 45 | |||||||||||||||||||||||||||||||||||
8521 Leesburg Pike | Vienna | VA | — | 4,316 | 30,885 | 668 | 4,397 | 31,472 | 35,869 | 2,052 | 1984 | 2006 | 51 | |||||||||||||||||||||||||||||||||||
2275 Research Boulevard | Rockville | MD | 15,240 | 5,059 | 29,668 | 966 | 5,154 | 30,539 | 35,693 | 1,896 | 1990 | 2006 | 45 | |||||||||||||||||||||||||||||||||||
1880 Campus Commons Drive | Reston | VA | — | 6,164 | 28,114 | 86 | 6,281 | 28,083 | 34,364 | 1,223 | 1985 | 2006 | 52 | |||||||||||||||||||||||||||||||||||
2277 Research Boulevard | Rockville | MD | 14,181 | 4,649 | 26,952 | (251 | ) | 4,733 | 26,616 | 31,350 | 1,215 | 1986 | 2006 | 45 | ||||||||||||||||||||||||||||||||||
7735 Old Georgetown Road | Bethesda | MD | — | 4,370 | 23,192 | (76 | ) | 4,453 | 23,034 | 27,487 | 1,372 | 1997 | 2006 | 45 | ||||||||||||||||||||||||||||||||||
12015 Lee Jackson Memorial Highway | Fairfax | VA | — | 3,770 | 22,895 | 819 | 3,842 | 23,643 | 27,484 | 1,616 | 1985 | 2006 | 42 | |||||||||||||||||||||||||||||||||||
11720 Beltsville Drive | Beltsville | MD | — | 3,831 | 16,661 | 4,891 | 3,904 | 21,479 | 25,382 | 1,434 | 1987 | 2006 | 46 | |||||||||||||||||||||||||||||||||||
13825 Sunrise Valley Drive | Herndon | VA | — | 3,794 | 19,365 | 197 | 3,866 | 19,491 | 23,357 | 2,180 | 1989 | 2006 | 46 | |||||||||||||||||||||||||||||||||||
11781 Lee Jackson Memorial Highway | Fairfax | VA | — | 3,246 | 19,836 | 176 | 3,307 | 19,951 | 23,259 | 1,532 | 1982 | 2006 | 40 | |||||||||||||||||||||||||||||||||||
11700 Beltsville Drive | Beltsville | MD | — | 2,808 | 12,081 | 635 | 2,863 | 12,661 | 15,524 | 829 | 1981 | 2006 | 46 | |||||||||||||||||||||||||||||||||||
4401 Fair Lakes Court | Fairfax | VA | — | 1,569 | 11,982 | (81 | ) | 1,599 | 11,872 | 13,471 | 599 | 1988 | 2006 | 52 | ||||||||||||||||||||||||||||||||||
11710 Beltsville Drive | Beltsville | MD | — | 2,278 | 11,100 | (867 | ) | 2,321 | 10,190 | 12,511 | 651 | 1987 | 2006 | 46 | ||||||||||||||||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | — | 733 | 4,939 | (32 | ) | 733 | 4,906 | 5,640 | 230 | 1988 | 2006 | 51 | ||||||||||||||||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | — | 297 | 1,964 | 0 | 297 | 1,964 | 2,261 | 80 | 1988 | 2006 | 51 | |||||||||||||||||||||||||||||||||||
11740 Beltsville Drive | Bethesda | MD | — | 198 | 870 | 18 | 202 | 884 | 1,086 | 23 | 1987 | 2006 | 46 | |||||||||||||||||||||||||||||||||||
PENNSYLVANIA | ||||||||||||||||||||||||||||||||||||||||||||||||
2929 Arch Street | Philadelphia | PA | — | — | 208,570 | 12,901 | — | 221,471 | 221,471 | 15,903 | 2005 | N/A | 40 | |||||||||||||||||||||||||||||||||||
130 North 18th Street | Philadelphia | PA | — | 14,496 | 107,736 | 5,375 | 14,473 | 113,134 | 127,607 | 13,985 | 1998 | 2004 | 23 | |||||||||||||||||||||||||||||||||||
100 North 18th Street | Philadelphia | PA | 71,564 | 16,066 | 100,255 | 4,676 | 16,066 | 104,931 | 120,997 | 12,388 | 1988 | 2004 | 33 | |||||||||||||||||||||||||||||||||||
150 Radnor Chester Road | Radnor | PA | — | 11,925 | 36,986 | 9,248 | 11,897 | 46,262 | 58,159 | 6,204 | 1983 | 2004 | 29 | |||||||||||||||||||||||||||||||||||
555 Lancaster Avenue | Radnor | PA | — | 8,014 | 16,508 | 25,073 | 8,609 | 40,985 | 49,595 | 3,720 | 1973 | 2004 | 24 | |||||||||||||||||||||||||||||||||||
201 King of Prussia Road | Radnor | PA | — | 8,956 | 29,811 | 5,854 | 8,949 | 35,671 | 44,621 | 4,931 | 2001 | 2004 | 25 | |||||||||||||||||||||||||||||||||||
401 Plymouth Road | Plymouth Meeting | PA | — | 6,198 | 16,131 | 15,998 | 6,199 | 32,129 | 38,327 | 6,028 | 2001 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
One Radnor Corporate Center | Radnor | PA | — | 7,323 | 28,613 | (43 | ) | 7,323 | 28,570 | 35,893 | 3,891 | 1998 | 2004 | 29 | ||||||||||||||||||||||||||||||||||
Four Radnor Corporate Center | Radnor | PA | — | 5,406 | 21,390 | 7,731 | 5,705 | 28,822 | 34,527 | 3,895 | 1995 | 2004 | 30 | |||||||||||||||||||||||||||||||||||
Five Radnor Corporate Center | Radnor | PA | — | 6,506 | 25,525 | 1,835 | 6,578 | 27,288 | 33,866 | 3,046 | 1998 | 2004 | 38 | |||||||||||||||||||||||||||||||||||
101 West Elm Street | W. Conshohocken | PA | — | 6,251 | 25,209 | 1,192 | 6,251 | 26,401 | 32,652 | 1,781 | 1999 | 2005 | 40 | |||||||||||||||||||||||||||||||||||
Three Radnor Corporate Center | Radnor | PA | — | 4,773 | 17,961 | 787 | 4,791 | 18,730 | 23,521 | 2,476 | 1998 | 2004 | 29 | |||||||||||||||||||||||||||||||||||
400 Berwyn Park | Berwyn | PA | — | 2,657 | 4,462 | 15,922 | 2,657 | 20,384 | 23,041 | 4,524 | 1999 | 1999 | 40 | |||||||||||||||||||||||||||||||||||
555 Croton Road | King of Prussia | PA | — | 4,486 | 17,943 | 478 | 4,486 | 18,422 | 22,907 | 3,351 | 1999 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
640 Freedom Business Center | King Of Prussia | PA | — | 4,222 | 16,891 | 1,644 | 4,222 | 18,535 | 22,757 | 5,963 | 1991 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
630 Allendale Road | King of Prussia | PA | — | 2,836 | 4,028 | 15,509 | 2,636 | 19,737 | 22,373 | 5,713 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
101 Lindenwood Drive | Malvern | PA | — | 4,152 | 16,606 | 1,496 | 4,152 | 18,103 | 22,254 | 3,547 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
52 Swedesford Square | East Whiteland Twp. | PA | — | 4,241 | 16,579 | 263 | 4,241 | 16,842 | 21,083 | 4,382 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
Two Radnor Corporate Center | Radnor | PA | — | 3,937 | 15,484 | 1,265 | 3,942 | 16,743 | 20,686 | 2,195 | 1998 | 2004 | 29 |
F - 43
Table of Contents
Schedule III
Real Estate and Accumulated Depreciation - December 31, 2007
(in thousands)
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||||||||
600 West Germantown Pike | Plymouth Meeting | PA | 11,441 | 3,652 | 15,288 | 1,470 | 3,652 | 16,758 | 20,410 | 2,698 | 1986 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
620 West Germantown Pike | Plymouth Meeting | PA | 11,212 | 3,572 | 14,435 | 1,938 | 3,572 | 16,373 | 19,945 | 3,103 | 1990 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
630 West Germantown Pike | Plymouth Meeting | PA | 11,060 | 3,558 | 14,743 | 1,383 | 3,558 | 16,125 | 19,684 | 2,700 | 1988 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
610 West Germantown Pike | Plymouth Meeting | PA | 11,083 | 3,651 | 14,514 | 1,488 | 3,651 | 16,001 | 19,653 | 2,639 | 1987 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
300 Berwyn Park | Berwyn | PA | 12,375 | 2,206 | 13,422 | 3,196 | 2,206 | 16,618 | 18,824 | 5,604 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
200 Barr Harbour Drive | Conshohocken | PA | 14,472 | 2,827 | 15,525 | (148 | ) | 2,827 | 15,377 | 18,204 | 4,992 | 1999 | 2004 | 40 | ||||||||||||||||||||||||||||||||||
1050 Westlakes Drive | Berwyn | PA | — | 2,611 | 10,445 | 5,001 | — | 18,057 | 18,057 | 2,841 | 1984 | 1999 | 40 | |||||||||||||||||||||||||||||||||||
1 West Elm Street | W. Conshohocken | PA | — | 3,557 | 14,249 | — | 3,557 | 14,249 | 17,806 | 802 | 1999 | 2005 | 40 | |||||||||||||||||||||||||||||||||||
181 Washington Street | Conshohocken | PA | 10,518 | 2,672 | 14,221 | 241 | 2,673 | 14,462 | 17,134 | 5,430 | 1998 | 2004 | 40 | |||||||||||||||||||||||||||||||||||
620 Freedom Business Center | King Of Prussia | PA | — | 2,770 | 11,014 | 3,188 | 2,770 | 14,202 | 16,972 | 4,123 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1000 First Avenue | King Of Prussia | PA | — | 2,772 | 10,936 | 2,272 | 2,772 | 13,208 | 15,980 | 3,311 | 1980 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
301 Lindenwood Drive | Malvern | PA | — | 2,729 | 10,915 | 2,301 | 2,729 | 13,216 | 15,945 | 2,644 | 1984 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
1060 First Avenue | King Of Prussia | PA | — | 2,712 | 10,953 | 1,890 | 2,712 | 12,843 | 15,555 | 3,383 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1020 First Avenue | King Of Prussia | PA | — | 2,168 | 8,576 | 4,755 | 2,168 | 13,331 | 15,499 | 2,690 | 1984 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1040 First Avenue | King Of Prussia | PA | — | 2,860 | 11,282 | 1,041 | 2,860 | 12,323 | 15,183 | 3,488 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
595 East Swedesford Road | Wayne | PA | — | 2,729 | 10,917 | 1,482 | 2,729 | 12,398 | 15,128 | 1,245 | 1998 | 2003 | 40 | |||||||||||||||||||||||||||||||||||
630 Freedom Business Center | King Of Prussia | PA | — | 2,773 | 11,144 | 993 | 2,773 | 12,137 | 14,910 | 3,561 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
100 Brandywine Boulevard | Newtown | PA | — | 1,784 | 9,811 | 3,007 | 1,784 | 12,818 | 14,602 | 2,541 | 2002 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
1200 Swedesford Road | Berwyn | PA | 4,427 | 2,595 | 11,809 | 1 | 2,595 | 11,809 | 14,405 | 324 | 1994 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
980 Harvest Drive | Blue Bell | PA | — | 2,079 | 7,821 | 4,235 | 2,079 | 12,056 | 14,135 | 2,133 | 1988 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
170 Radnor Chester Road | Radnor | PA | — | 2,514 | 8,147 | 3,446 | 2,509 | 11,598 | 14,107 | 1,106 | 1983 | 2004 | 25 | |||||||||||||||||||||||||||||||||||
920 Harvest Drive | Blue Bell | PA | — | 2,433 | 9,738 | 1,573 | 2,433 | 11,312 | 13,744 | 3,225 | 1990 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
200 Berwyn Park | Berwyn | PA | 9,250 | 1,533 | 9,460 | 1,935 | 1,533 | 11,395 | 12,928 | 3,791 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
1180 Swedesford Road | Berwyn | PA | — | 2,086 | 8,342 | 1,191 | 2,086 | 9,533 | 11,619 | 1,798 | 1987 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
575 East Swedesford Road | Wayne | PA | — | 2,178 | 8,712 | 456 | 2,178 | 9,168 | 11,346 | 1,060 | 1985 | 2003 | 40 | |||||||||||||||||||||||||||||||||||
130 Radnor Chester Road | Radnor | PA | — | 2,573 | 8,338 | 163 | 2,567 | 8,506 | 11,074 | 846 | 1983 | 2004 | 25 | |||||||||||||||||||||||||||||||||||
610 Freedom Business Center | King Of Prussia | PA | — | 2,017 | 8,070 | 542 | 2,017 | 8,612 | 10,629 | 2,529 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
565 East Swedesford Road | Wayne | PA | — | 1,872 | 7,489 | 868 | 1,872 | 8,357 | 10,229 | 1,072 | 1984 | 2003 | 40 | |||||||||||||||||||||||||||||||||||
1160 Swedesford Road | Berwyn | PA | — | 1,781 | 7,124 | 1,269 | 1,781 | 8,394 | 10,174 | 1,604 | 1986 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
100 Berwyn Park | Berwyn | PA | 6,765 | 1,180 | 7,290 | 1,557 | 1,180 | 8,847 | 10,027 | 3,102 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
925 Harvest Drive | Blue Bell | PA | — | 1,671 | 6,606 | 1,114 | 1,671 | 7,720 | 9,391 | 2,189 | 1990 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
14 Campus Boulevard | Newtown Square | PA | 5,026 | 2,244 | 4,217 | 2,694 | 2,244 | 6,911 | 9,155 | 914 | 1998 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
426 Lancaster Avenue | Devon | PA | — | 1,689 | 6,756 | 369 | 1,689 | 7,126 | 8,814 | 2,108 | 1990 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
650 Park Avenue | King Of Prussia | PA | — | 1,916 | 4,378 | 2,502 | 1,916 | 6,880 | 8,796 | 2,215 | 1968 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1100 Cassett Road | Berwyn | PA | — | 1,695 | 6,779 | (0 | ) | 1,695 | 6,779 | 8,474 | 1,144 | 1997 | 2001 | 40 | ||||||||||||||||||||||||||||||||||
500 North Gulph Road | King Of Prussia | PA | — | 1,303 | 5,201 | 1,386 | 1,303 | 6,587 | 7,890 | 2,393 | 1979 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
855 Springdale Drive | Exton | PA | — | 838 | 3,370 | 3,501 | 838 | 6,870 | 7,709 | 1,423 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
2930 Chestnut Street | Philadelphia | PA | — | — | 7,688 | 0 | — | 7,688 | 7,688 | 96 | #N/A | 2007 | 40 | |||||||||||||||||||||||||||||||||||
2240/2250 Butler Pike | Plymouth Meeting | PA | — | 1,104 | 4,627 | 1,558 | 1,104 | 6,185 | 7,289 | 2,235 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
One Progress Drive | Horsham | PA | — | 1,399 | 5,629 | 230 | 1,399 | 5,859 | 7,258 | 2,075 | 1986 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
412 Creamery Way | Exton | PA | — | 1,195 | 4,779 | 911 | 1,195 | 5,690 | 6,885 | 1,279 | 1999 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
429 Creamery Way | Exton | PA | — | 1,368 | 5,471 | 19 | 1,368 | 5,490 | 6,858 | 934 | 1996 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
585 East Swedesford Road | Wayne | PA | — | 1,350 | 5,401 | 32 | 1,350 | 5,433 | 6,783 | 569 | 1998 | 2003 | 40 | |||||||||||||||||||||||||||||||||||
741 First Avenue | King Of Prussia | PA | — | 1,287 | 5,151 | 219 | 1,287 | 5,369 | 6,657 | 1,661 | 1966 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
875 First Avenue | King Of Prussia | PA | — | 618 | 2,473 | 3,257 | 618 | 5,729 | 6,348 | 1,661 | 1966 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
17 Campus Boulevard | Newtown Square | PA | 4,914 | 1,108 | 5,155 | 46 | 1,108 | 5,201 | 6,309 | 1,597 | 2001 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
440 Creamery Way | Exton | PA | — | 982 | 3,927 | 1,313 | 982 | 5,240 | 6,222 | 875 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
479 Thomas Jones Way | Exton | PA | — | 1,075 | 4,299 | 679 | 1,075 | 4,979 | 6,053 | 1,096 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
11 Campus Boulevard | Newtown Square | PA | 4,498 | 1,112 | 4,067 | 825 | 1,112 | 4,892 | 6,004 | 1,104 | 1998 | 1999 | 40 | |||||||||||||||||||||||||||||||||||
620 Allendale Road | King Of Prussia | PA | — | 1,020 | 3,839 | 989 | 1,020 | 4,828 | 5,848 | 2,009 | 1961 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
500 Enterprise Drive | Horsham | PA | — | 1,303 | 5,188 | (659 | ) | 1,303 | 4,529 | 5,832 | 1,545 | 1990 | 1996 | 40 | ||||||||||||||||||||||||||||||||||
15 Campus Boulevard | Newtown Square | PA | 5,622 | 1,164 | 3,896 | 672 | 1,164 | 4,568 | 5,732 | 769 | 2002 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
300 Lindenwood Drive | Malvern | PA | — | 848 | 3,394 | 1,316 | 849 | 4,710 | 5,558 | 652 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
436 Creamery Way | Exton | PA | — | 994 | 3,978 | 583 | 994 | 4,560 | 5,555 | 789 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
751-761 Fifth Avenue | King Of Prussia | PA | — | 1,097 | 4,391 | 31 | 1,097 | 4,422 | 5,519 | 1,298 | 1967 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
467 Creamery Way | Exton | PA | — | 906 | 3,623 | 882 | 906 | 4,505 | 5,411 | 826 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
Philadelphia Marine Center | Philadelphia | PA | — | 532 | 2,196 | 2,680 | 628 | 4,780 | 5,408 | 755 | Various | 1998 | 40 | |||||||||||||||||||||||||||||||||||
600 Park Avenue | King Of Prussia | PA | — | 1,012 | 4,048 | 336 | 1,012 | 4,384 | 5,396 | 1,203 | 1964 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
100 Arrandale Boulevard | Exton | PA | — | 970 | 3,878 | 274 | 970 | 4,152 | 5,122 | 691 | 1997 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
442 Creamery Way | Exton | PA | — | 894 | 3,576 | 391 | 894 | 3,967 | 4,861 | 835 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
1700 Paoli Pike | Malvern | PA | — | 458 | 559 | 3,746 | 488 | 4,275 | 4,763 | 1,063 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
18 Campus Boulevard | Newtown Square | PA | 3,168 | 787 | 3,312 | 571 | 787 | 3,883 | 4,670 | 1,354 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
2260 Butler Pike | Plymouth Meeting | PA | — | 661 | 2,727 | 1,092 | 662 | 3,818 | 4,480 | 1,262 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
120 West Germantown Pike | Plymouth Meeting | PA | — | 685 | 2,773 | 887 | 685 | 3,661 | 4,345 | 1,552 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
486 Thomas Jones Way | Exton | PA | — | 806 | 3,256 | 194 | 806 | 3,450 | 4,256 | 1,306 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
457 Creamery Way | Exton | PA | — | 777 | 3,107 | 306 | 777 | 3,413 | 4,190 | 679 | 1990 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
680 Allendale Road | King Of Prussia | PA | — | 689 | 2,756 | 678 | 689 | 3,434 | 4,123 | 1,267 | 1962 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
7130 Ambassador Drive | Allentown | PA | — | 761 | 3,046 | 160 | 761 | 3,206 | 3,967 | 780 | 1991 | 1999 | 40 | |||||||||||||||||||||||||||||||||||
1336 Enterprise Drive | West Goshen | PA | — | 731 | 2,946 | 51 | 731 | 2,997 | 3,728 | 995 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
456 Creamery Way | Exton | PA | — | 635 | 2,548 | (48 | ) | 635 | 2,500 | 3,135 | 885 | 1987 | 1996 | 40 | ||||||||||||||||||||||||||||||||||
140 West Germantown Pike | Plymouth Meeting | PA | — | 481 | 1,976 | 475 | 482 | 2,450 | 2,932 | 994 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
468 Thomas Jones Way | Exton | PA | — | 526 | 2,112 | 163 | 527 | 2,274 | 2,801 | 843 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
100 Lindenwood Drive | Malvern | PA | — | 473 | 1,892 | 376 | 473 | 2,268 | 2,741 | 622 | 1985 | 2001 | 40 |
F - 44
Table of Contents
Schedule III
Real Estate and Accumulated Depreciation - December 31, 2007
(in thousands)
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||||||||
630 Clark Avenue | King Of Prussia | PA | — | 547 | 2,190 | 0 | 547 | 2,190 | 2,737 | 643 | 1960 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
481 John Young Way | Exton | PA | — | 496 | 1,983 | 0 | 496 | 1,984 | 2,479 | 335 | 1997 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
640 Allendale Road | King of Prussia | PA | — | 439 | 432 | 1,480 | 439 | 1,912 | 2,351 | 327 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
660 Allendale Road | King of Prussia | PA | — | 396 | 3,343 | (1,637 | ) | 396 | 1,706 | 2,102 | 745 | 1962 | 1998 | 40 | ||||||||||||||||||||||||||||||||||
200 Lindenwood Drive | Malvern | PA | — | 324 | 1,295 | 242 | 324 | 1,537 | 1,861 | 382 | 1984 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
351 Plymouth Road | Plymouth Meeting | PA | — | 1,043 | 555 | — | 1,043 | 555 | 1,598 | 38 | N/A | 2000 | 40 | |||||||||||||||||||||||||||||||||||
748 Springdale Drive | Exton | PA | — | 236 | 931 | 275 | 236 | 1,206 | 1,442 | 387 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
111 Arrandale Road | Exton | PA | — | 262 | 1,048 | 125 | 262 | 1,173 | 1,435 | 198 | 1996 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
922 Swedesford Road | Berwyn | PA | — | 218 | — | — | 218 | — | 218 | — | N/A | N/A | 40 | |||||||||||||||||||||||||||||||||||
NEW JERSEY/DELAWARE | ||||||||||||||||||||||||||||||||||||||||||||||||
50 East State Street | Trenton | NJ | — | 8,926 | 35,735 | 1,987 | 8,926 | 37,723 | 46,648 | 10,866 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
33 West State Street | Trenton | NJ | — | 6,016 | 24,091 | 27 | 6,016 | 24,119 | 30,134 | 7,019 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
920 North King Street | Wilmington | DE | — | 6,141 | 21,140 | 438 | 6,141 | 21,578 | 27,719 | 2,834 | 1989 | 2004 | 30 | |||||||||||||||||||||||||||||||||||
1009 Lenox Drive | Lawrenceville | NJ | — | 4,876 | 19,284 | 3,326 | 5,057 | 22,430 | 27,486 | 7,222 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
525 Lincoln Drive West | Marlton | NJ | — | 3,727 | 17,620 | 2,647 | 3,727 | 20,267 | 23,994 | 3,513 | 1986 | 2004 | 40 | |||||||||||||||||||||||||||||||||||
300 Delaware Avenue | Wilmington | DE | — | 6,368 | 13,739 | 1,513 | 6,369 | 15,251 | 21,620 | 2,404 | 1989 | 2004 | 23 | |||||||||||||||||||||||||||||||||||
989 Lenox Drive | Lawrenceville | NJ | — | 3,701 | 14,802 | 1,390 | 3,812 | 16,081 | 19,893 | 1,744 | 1984 | 2003 | 40 | |||||||||||||||||||||||||||||||||||
700 East Gate Drive | Mt. Laurel | NJ | — | 3,569 | 14,436 | 1,565 | 3,569 | 16,001 | 19,570 | 4,513 | 1984 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
10000 Midlantic Drive | Mt. Laurel | NJ | — | 3,206 | 12,857 | 2,442 | 3,206 | 15,298 | 18,505 | 4,879 | 1990 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
Main Street — Plaza 1000 | Voorhees | NJ | — | 2,732 | 10,942 | 4,274 | 2,732 | 15,216 | 17,948 | 5,626 | 1988 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
2000 Lenox Drive | Lawrenceville | NJ | 13,236 | 2,291 | 12,221 | 3,155 | 2,648 | 15,019 | 17,667 | 5,115 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
One Righter Parkway | Wilmington | DE | 9,853 | 2,545 | 10,195 | 4,820 | 2,545 | 15,015 | 17,560 | 4,415 | 1989 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
993 Lenox Drive | Lawrenceville | NJ | 11,379 | 2,811 | 17,996 | (5,155 | ) | 2,922 | 12,729 | 15,652 | 4,067 | 1985 | 1998 | 40 | ||||||||||||||||||||||||||||||||||
15000 Midlantic Drive | Mt. Laurel | NJ | — | 3,061 | 12,254 | 170 | 3,061 | 12,424 | 15,485 | 4,008 | 1991 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
100 Brandywine Boulevard | Newtown | PA | — | 1,784 | 9,811 | 3,007 | 1,784 | 12,818 | 14,602 | 2,541 | 2002 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
1400 Howard Boulevard | Mt. Laurel | NJ | — | 443 | — | 13,014 | 1,447 | 12,009 | 13,457 | 375 | 2005 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
997 Lenox Drive | Lawrenceville | NJ | 9,277 | 2,410 | 9,700 | 1,191 | 2,507 | 10,794 | 13,301 | 3,101 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1000 Howard Boulevard | Mt. Laurel | NJ | — | 2,297 | 9,288 | 1,316 | 2,297 | 10,604 | 12,901 | 3,778 | 1988 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
1120 Executive Boulevard | Marlton | NJ | — | 2,074 | 8,415 | 2,238 | 2,074 | 10,652 | 12,727 | 3,423 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
220 Lake Drive East | Cherry Hill | NJ | — | 2,144 | 8,798 | 1,063 | 2,144 | 9,862 | 12,005 | 1,865 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
400 Commerce Drive | Newark | DE | 11,575 | 2,528 | 9,220 | 86 | 2,528 | 9,306 | 11,834 | 1,699 | 1997 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
457 Haddonfield Road | Cherry Hill | NJ | 10,505 | 2,142 | 9,120 | 391 | 2,142 | 9,511 | 11,653 | 3,538 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
2000 Midlantic Drive | Mt. Laurel | NJ | 8,959 | 2,202 | 8,823 | 528 | 2,203 | 9,351 | 11,553 | 3,213 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
1000 Atrium Way | Mt. Laurel | NJ | — | 2,061 | 8,180 | 1,143 | 2,061 | 9,323 | 11,384 | 2,956 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
200 Lake Drive East | Cherry Hill | NJ | — | 2,069 | 8,275 | 894 | 2,069 | 9,169 | 11,238 | 1,781 | 1989 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
10 Lake Center Drive | Marlton | NJ | — | 1,880 | 7,521 | 1,515 | 1,880 | 9,035 | 10,916 | 1,730 | 1989 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
701 East Gate Drive | Mt. Laurel | NJ | — | 1,736 | 6,877 | 828 | 1,736 | 7,705 | 9,441 | 2,457 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
Two Righter Parkway | Wilmington | DE | — | 2,802 | 11,217 | (4,688 | ) | 2,802 | 6,529 | 9,331 | 41 | 1987 | 2001 | 40 | ||||||||||||||||||||||||||||||||||
210 Lake Drive East | Cherry Hill | NJ | — | 1,645 | 6,579 | 827 | 1,645 | 7,407 | 9,051 | 1,405 | 1986 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
309 Fellowship Drive | Mt. Laurel | NJ | — | 1,518 | 6,154 | 1,205 | 1,518 | 7,359 | 8,877 | 2,545 | 1982 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
308 Harper Drive | Moorestown | NJ | — | 1,643 | 6,663 | 497 | 1,644 | 7,159 | 8,803 | 2,223 | 1976 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
305 Fellowship Drive | Mt. Laurel | NJ | — | 1,421 | 5,768 | 1,262 | 1,421 | 7,030 | 8,451 | 1,897 | 1980 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
307 Fellowship Drive | Mt. Laurel | NJ | — | 1,565 | 6,342 | 481 | 1,565 | 6,824 | 8,388 | 1,878 | 1981 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
303 Fellowship Drive | Mt. Laurel | NJ | — | 1,493 | 6,055 | 617 | 1,494 | 6,671 | 8,165 | 1,904 | 1979 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1000 Lenox Drive | Lawrenceville | NJ | — | 1,174 | 4,696 | 2,163 | 1,226 | 6,806 | 8,033 | 1,390 | 1982 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
1000 Bishops Gate | Mt. Laurel | NJ | — | 934 | 6,287 | — | 953 | 6,812 | 7,764 | 927 | 2005 | 2000 | 40 | |||||||||||||||||||||||||||||||||||
9000 Midlantic Drive | Mt. Laurel | NJ | 5,662 | 1,472 | 5,895 | 109 | 1,472 | 6,005 | 7,476 | 1,952 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
6 East Clementon Road | Gibbsboro | NJ | — | 1,345 | 5,366 | 457 | 1,345 | 5,823 | 7,168 | 1,826 | 1980 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
100 Commerce Drive | Newark | DE | — | 1,160 | 4,633 | 1,156 | 1,160 | 5,789 | 6,949 | 1,970 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
Three Greentree Centre | Marlton | NJ | — | 323 | 6,024 | 558 | 324 | 6,582 | 6,905 | 4,473 | 1984 | 1986 | 40 | |||||||||||||||||||||||||||||||||||
200 Commerce Drive | Newark | DE | 5,765 | 911 | 4,414 | 1,018 | 911 | 5,432 | 6,343 | 1,004 | 1998 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
30 Lake Center Drive | Marlton | NJ | — | 1,043 | 4,171 | 932 | 1,043 | 5,104 | 6,146 | 865 | 1986 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
161 Gaither Drive | Mount Laurel | NJ | — | 1,016 | 4,064 | 585 | 1,016 | 4,649 | 5,665 | 817 | 1987 | 2001 | 40 | |||||||||||||||||||||||||||||||||||
Two Greentree Centre | Marlton | NJ | — | 264 | 4,693 | 600 | 264 | 5,293 | 5,557 | 3,522 | 1983 | 1986 | 40 | |||||||||||||||||||||||||||||||||||
One Greentree Centre | Marlton | NJ | — | 345 | 4,440 | 613 | 345 | 5,054 | 5,398 | 3,015 | 1982 | 1986 | 40 | |||||||||||||||||||||||||||||||||||
Two Eves Drive | Marlton | NJ | — | 818 | 3,461 | 56 | 818 | 3,517 | 4,335 | 1,201 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
Five Eves Drive | Marlton | NJ | — | 703 | 2,819 | 771 | 703 | 3,590 | 4,293 | 1,269 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
4000 Midlantic Drive | Mt. Laurel | NJ | 2,911 | 714 | 5,085 | (1,524 | ) | 714 | 3,561 | 4,275 | 1,079 | 1998 | 1997 | 40 | ||||||||||||||||||||||||||||||||||
20 East Clementon Road | Gibbsboro | NJ | — | 769 | 3,055 | 437 | 769 | 3,492 | 4,261 | 1,195 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
8000 Lincoln Drive | Marlton | NJ | — | 606 | 2,887 | 659 | 606 | 3,545 | 4,152 | 1,405 | 1997 | 1996 | 40 | |||||||||||||||||||||||||||||||||||
304 Harper Drive | Moorestown | NJ | — | 657 | 2,674 | 448 | 657 | 3,122 | 3,779 | 910 | 1975 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
Main Street — Piazza | Voorhees | NJ | — | 696 | 2,802 | 225 | 696 | 3,027 | 3,723 | 1,047 | 1990 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
815 East Gate Drive | Mt. Laurel | NJ | — | 636 | 2,584 | 307 | 636 | 2,891 | 3,527 | 796 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
Four B Eves Drive | Marlton | NJ | — | 588 | 2,369 | 381 | 588 | 2,749 | 3,338 | 921 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
817 East Gate Drive | Mt. Laurel | NJ | — | 611 | 2,426 | 152 | 611 | 2,578 | 3,189 | 697 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
Four A Eves Drive | Marlton | NJ | — | 539 | 2,168 | 243 | 539 | 2,411 | 2,950 | 855 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
Main Street — Promenade | Voorhees | NJ | — | 531 | 2,052 | 151 | 532 | 2,203 | 2,734 | 759 | 1988 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
10 Foster Avenue | Gibbsboro | NJ | — | 244 | 971 | 225 | 244 | 1,196 | 1,440 | 394 | 1983 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
7 Foster Avenue | Gibbsboro | NJ | — | 231 | 921 | 121 | 231 | 1,041 | 1,273 | 332 | 1983 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
305 Harper Drive | Moorestown | NJ | — | 223 | 913 | 0 | 223 | 913 | 1,136 | 248 | 1979 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
50 East Clementon Road | Gibbsboro | NJ | — | 114 | 964 | 3 | 114 | 967 | 1,081 | 293 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
4 Foster Avenue | Gibbsboro | NJ | — | 183 | 726 | 84 | 183 | 811 | 993 | 279 | 1974 | 1997 | 40 |
F - 45
Table of Contents
Schedule III
Real Estate and Accumulated Depreciation - December 31, 2007
(in thousands)
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||||||||
2 Foster Avenue | Gibbsboro | NJ | — | 185 | 730 | 42 | 185 | 772 | 957 | 246 | 1974 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
1 Foster Avenue | Gibbsboro | NJ | — | 93 | 364 | 63 | 93 | 428 | 520 | 129 | 1972 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
5 U.S. Avenue | Gibbsboro | NJ | — | 21 | 81 | 3 | 21 | 84 | 105 | 25 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
5 Foster Avenue | Gibbsboro | NJ | — | 9 | 32 | 26 | 9 | 58 | 67 | 16 | 1968 | 1997 | 40 | |||||||||||||||||||||||||||||||||||
SOUTHWEST | ||||||||||||||||||||||||||||||||||||||||||||||||
1250 Capital of Texas Hwy South | Austin | TX | — | 5,152 | 37,928 | 3,512 | 5,250 | 41,343 | 46,593 | 3,024 | 1984 | 2006 | 52 | |||||||||||||||||||||||||||||||||||
1301 Mopac Expressway | Austin | TX | — | 4,188 | 41,229 | 481 | 4,250 | 41,648 | 45,898 | 2,165 | 2001 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
1601 Mopac Expressway | Austin | TX | — | 3,538 | 34,346 | 2,267 | 3,605 | 36,547 | 40,151 | 2,524 | 2000 | 2006 | 54 | |||||||||||||||||||||||||||||||||||
1501 South Mopac Expressway | Austin | TX | — | 3,698 | 34,912 | 1,150 | 3,768 | 35,992 | 39,759 | 3,433 | 1999 | 2006 | 53 | |||||||||||||||||||||||||||||||||||
1221 Mopac Expressway | Austin | TX | — | 3,290 | 31,548 | 652 | 3,369 | 32,120 | 35,489 | 1,926 | 2001 | 2006 | 55 | |||||||||||||||||||||||||||||||||||
1177 East Beltline Road | Coppell | TX | 20,112 | 1,516 | 14,895 | 8 | 1,517 | 14,903 | 16,420 | 1,246 | 1998 | 2006 | 42 | |||||||||||||||||||||||||||||||||||
1801 Mopac Expressway | Austin | TX | — | 1,227 | 10,959 | 460 | 1,250 | 11,395 | 12,646 | 553 | 1999 | 2006 | 53 | |||||||||||||||||||||||||||||||||||
RICHMOND | ||||||||||||||||||||||||||||||||||||||||||||||||
600 East Main Street | Richmond | VA | — | 9,808 | 38,255 | 5,632 | 9,808 | 43,887 | 53,695 | 13,231 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
300 Arboretum Place | Richmond | VA | 13,513 | 5,450 | 21,892 | 1,864 | 5,450 | 23,757 | 29,206 | 7,061 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
7501 Boulders View Drive | Richmond | VA | — | 4,925 | 19,699 | 257 | 5,181 | 19,700 | 24,881 | 206 | 1990 | 2007 | 40 | |||||||||||||||||||||||||||||||||||
7300 Beaufont Springs Drive | Richmond | VA | — | 4,922 | 19,689 | 251 | 5,172 | 19,690 | 24,862 | 205 | 2000 | 2007 | 40 | |||||||||||||||||||||||||||||||||||
6800 Paragon Place | Richmond | VA | — | 4,552 | 18,414 | 236 | 4,552 | 18,650 | 23,202 | 626 | 1986 | 2006 | 40 | |||||||||||||||||||||||||||||||||||
6802 Paragon Place | Richmond | VA | — | 2,917 | 11,454 | 2,530 | 2,917 | 13,984 | 16,901 | 2,665 | 1989 | 2002 | 40 | |||||||||||||||||||||||||||||||||||
1025 Boulders Parkway | Richmond | VA | — | 2,824 | 11,297 | 251 | 3,074 | 11,298 | 14,372 | 118 | 1994 | 2007 | 40 | |||||||||||||||||||||||||||||||||||
2100-2116 West Laburnam Avenue | Richmond | VA | — | 2,482 | 8,846 | 2,278 | 2,482 | 11,124 | 13,606 | 3,064 | 1976 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
7401 Beaufont Springs Drive | Richmond | VA | — | 2,599 | 10,396 | 251 | 2,849 | 10,397 | 13,246 | 108 | 1998 | 2007 | 40 | |||||||||||||||||||||||||||||||||||
7325 Beaufont Springs Drive | Richmond | VA | — | 2,594 | 10,377 | 251 | 2,844 | 10,378 | 13,222 | 108 | 1999 | 2007 | 40 | |||||||||||||||||||||||||||||||||||
9011 Arboretum Parkway | Richmond | VA | — | 1,857 | 7,702 | 892 | 1,857 | 8,594 | 10,451 | 2,228 | 1991 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
6806 Paragon Place | Richmond | VA | — | — | 10,288 | 0 | — | 10,288 | 10,288 | 415 | 2007 | 2005 | 40 | |||||||||||||||||||||||||||||||||||
4805 Lake Brooke Drive | Glen Allen | VA | — | 1,640 | 6,567 | 1,312 | 1,640 | 7,879 | 9,519 | 2,023 | 1996 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
4364 South Alston Avenue | Durham | NC | — | 1,622 | 6,419 | 910 | 1,581 | 7,370 | 8,951 | 2,182 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2511 Brittons Hill Road | Richmond | VA | — | 1,202 | 4,820 | 1,863 | 1,202 | 6,683 | 7,885 | 1,762 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
9100 Arboretum Parkway | Richmond | VA | 3,425 | 1,362 | 5,489 | 834 | 1,362 | 6,323 | 7,685 | 1,665 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2812 Emerywood Parkway | Henrico | VA | — | 1,069 | 4,281 | 1,902 | 1,069 | 6,183 | 7,252 | 2,302 | 1980 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
9210 Arboretum Parkway | Richmond | VA | 2,840 | 1,110 | 4,474 | 581 | 1,110 | 5,055 | 6,165 | 1,551 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
100 Gateway Centre Parkway | Richmond | VA | — | 391 | 5,410 | 123 | 391 | 5,533 | 5,924 | 812 | 2001 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
1957 Westmoreland Street | Richmond | VA | — | 1,061 | 4,241 | 234 | 1,061 | 4,475 | 5,536 | 1,276 | 1975 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2201-2245 Tomlynn Street | Richmond | VA | — | 1,020 | 4,067 | 391 | 1,020 | 4,458 | 5,478 | 1,255 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
9200 Arboretum Parkway | Richmond | VA | 2,447 | 985 | 3,973 | 142 | 985 | 4,115 | 5,100 | 1,148 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
9211 Arboretum Parkway | Richmond | VA | — | 582 | 2,433 | 243 | 582 | 2,677 | 3,258 | 758 | 1991 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2248 Dabney Road | Richmond | VA | — | 512 | 2,049 | 304 | 512 | 2,354 | 2,865 | 684 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2221-2245 Dabney Road | Richmond | VA | — | 530 | 2,123 | 176 | 530 | 2,299 | 2,829 | 659 | 1994 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2244 Dabney Road | Richmond | VA | — | 550 | 2,203 | 37 | 550 | 2,240 | 2,790 | 617 | 1993 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2212-2224 Tomlynn Street | Richmond | VA | — | 502 | 2,014 | 157 | 502 | 2,171 | 2,673 | 595 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2277 Dabney Road | Richmond | VA | — | 507 | 2,034 | 15 | 507 | 2,049 | 2,556 | 563 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2161-2179 Tomlynn Street | Richmond | VA | — | 423 | 1,695 | 269 | 423 | 1,964 | 2,387 | 559 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2246 Dabney Road | Richmond | VA | — | 455 | 1,822 | 18 | 455 | 1,840 | 2,295 | 504 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2130-2146 Tomlynn Street | Richmond | VA | — | 353 | 1,416 | 288 | 353 | 1,704 | 2,057 | 571 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2256 Dabney Road | Richmond | VA | — | 356 | 1,427 | 271 | 356 | 1,698 | 2,054 | 469 | 1982 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2251 Dabney Road | Richmond | VA | — | 387 | 1,552 | 111 | 387 | 1,662 | 2,050 | 503 | 1983 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2120 Tomlynn Street | Richmond | VA | — | 281 | 1,125 | 251 | 281 | 1,377 | 1,657 | 417 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
2240 Dabney Road | Richmond | VA | — | 264 | 1,059 | 10 | 264 | 1,069 | 1,334 | 293 | 1984 | 1998 | 40 | |||||||||||||||||||||||||||||||||||
Total: | $ | 611,898 | $ | 720,198 | $ | 3,705,120 | $ | 387,701 | $ | 727,979 | $ | 4,085,584 | $ | 4,813,563 | $ | 558,908 | ||||||||||||||||||||||||||||||||
F - 46
Table of Contents
(a) | Reconciliation of Real Estate: |
2007 | 2006 | 2005 | ||||||||||
Balance at beginning of year | $ | 4,927,305 | $ | 2,560,061 | $ | 2,483,134 | ||||||
Additions: | ||||||||||||
Acquisitions | 158,399 | 2,370,241 | 71,783 | |||||||||
Capital expenditures | 179,691 | 334,238 | 47,732 | |||||||||
Less: | ||||||||||||
Dispositions | (451,832 | ) | (229,824 | ) | (42,588 | ) | ||||||
Assets transferred to held-for-sale | — | (107,411 | ) | — | ||||||||
Balance at end of year | $ | 4,813,563 | $ | 4,927,305 | $ | 2,560,061 | ||||||
(b) | Reconciliation of Accumulated Depreciation: |
2007 | 2006 | 2005 | ||||||||||
Balance at beginning of year | $ | 515,698 | $ | 390,333 | $ | 325,802 | ||||||
Additions: | ||||||||||||
Depreciation expense — continued operations | 167,160 | 162,503 | 78,465 | |||||||||
Depreciation expense — discontinued operations | 4,748 | 12,305 | 171 | |||||||||
Acquisitions | — | 1,037 | — | |||||||||
Less: | ||||||||||||
Dispositions | (128,698 | ) | (44,430 | ) | (14,105 | ) | ||||||
Assets transferred to held-for-sale | — | (6,050 | ) | — | ||||||||
Balance at end of year | $ | 558,908 | $ | 515,698 | $ | 390,333 | ||||||
F - 47
Table of Contents
F - 48
Table of Contents
Philadelphia, Pennsylvania
February 27, 2008
F - 49
Table of Contents
December 31, | ||||||||
2007 | 2006 | |||||||
ASSETS | ||||||||
Real estate investments: | ||||||||
Operating properties | $ | 4,813,563 | $ | 4,927,305 | ||||
Accumulated depreciation | (558,908 | ) | (515,698 | ) | ||||
Operating real estate investments, net | 4,254,655 | 4,411,607 | ||||||
Development land and construction-in-progress | 402,270 | 328,119 | ||||||
Total real estate investments, net | 4,656,925 | 4,739,726 | ||||||
Cash and cash equivalents | 5,600 | 25,379 | ||||||
Accounts receivable, net | 17,057 | 19,957 | ||||||
Accrued rent receivable, net | 83,098 | 71,589 | ||||||
Asset held for sale | — | 126,016 | ||||||
Investment in unconsolidated ventures | 71,598 | 74,574 | ||||||
Deferred costs, net | 87,123 | 73,708 | ||||||
Intangible assets, net | 218,149 | 281,251 | ||||||
Other assets | 74,549 | 96,818 | ||||||
Total assets | $ | 5,214,099 | $ | 5,509,018 | ||||
LIABILITIES AND PARTNERS’ EQUITY | ||||||||
Mortgage notes payable | $ | 611,898 | $ | 883,920 | ||||
Unsecured term loan | 150,000 | — | ||||||
Unsecured notes | 2,208,344 | 2,208,310 | ||||||
Unsecured credit facility | 130,727 | 60,000 | ||||||
Accounts payable and accrued expenses | 80,732 | 108,400 | ||||||
Distributions payable | 42,368 | 42,760 | ||||||
Tenant security deposits and deferred rents | 65,241 | 55,697 | ||||||
Acquired below market leases, net of accumulated amortization of $36,544 and $26,009 | 67,281 | 92,527 | ||||||
Other liabilities | 30,154 | 14,661 | ||||||
Mortgage notes payable and other liabilities held for sale | — | 20,826 | ||||||
Total liabilities | 3,386,745 | 3,487,101 | ||||||
Minority interest — partners’ share of consolidated real estate ventures | — | 34,428 | ||||||
Commitments and contingencies (Note 18) | ||||||||
Redeemable limited partnership units at redemption value; 3,838,229 and 3,961,235 issued and outstanding in 2007 and 2006, respectively | 68,819 | 131,718 | ||||||
Partners’ equity: | ||||||||
7.50% Series D Preferred Mirror Units; 2,000,000 issued and outstanding in 2006 and 2005 | 47,912 | 47,912 | ||||||
7.375% Series E Preferred Mirror Units; 2,300,000 issued and outstanding in 2006 and 2005 | 55,538 | 55,538 | ||||||
General Partnership Capital, 87,015,600 and 88,327,041 units issued and outstanding in 2007 and 2006, respectively | 1,656,970 | 1,750,745 | ||||||
Accumulated other comprehensive loss | (1,885 | ) | 1,576 | |||||
Total partners’ equity | 1,758,535 | 1,855,771 | ||||||
Total liabilities, minority interest, and partners’ equity | $ | 5,214,099 | $ | 5,509,018 | ||||
F - 50
Table of Contents
Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Revenue: | ||||||||||||
Rents | $ | 562,514 | $ | 519,282 | $ | 302,530 | ||||||
Tenant reimbursements | 85,404 | 78,817 | 48,069 | |||||||||
Termination fees | 10,236 | 7,231 | 6,083 | |||||||||
Third party management fees, labor reimbursement and leasing | 19,691 | 19,453 | 3,582 | |||||||||
Other | 6,127 | 5,502 | 4,171 | |||||||||
Total revenue | 683,972 | 630,285 | 364,435 | |||||||||
Operating Expenses: | ||||||||||||
Property operating expenses | 189,130 | 171,924 | 103,968 | |||||||||
Real estate taxes | 64,895 | 60,808 | 36,356 | |||||||||
Management expenses | 10,361 | 10,675 | 1,394 | |||||||||
Depreciation and amortization | 242,312 | 230,710 | 106,175 | |||||||||
Administrative expenses | 28,182 | 29,644 | 17,982 | |||||||||
Total operating expenses | 534,880 | 503,761 | 265,875 | |||||||||
Operating income | 149,092 | 126,524 | 98,560 | |||||||||
Other Income (Expense): | ||||||||||||
Interest income | 4,040 | 9,513 | 1,370 | |||||||||
Interest expense | (162,675 | ) | (171,177 | ) | (70,380 | ) | ||||||
Interest expense — Deferred financing costs | (4,496 | ) | (4,607 | ) | (3,540 | ) | ||||||
Loss on settlement of treasury lock agreements | (3,698 | ) | — | — | ||||||||
Equity in income of real estate ventures | 6,955 | 2,165 | 3,171 | |||||||||
Net gain on sale of interests in depreciated real estate | 40,498 | — | — | |||||||||
Net gain on sale of interests in undepreciated real estate | 421 | 14,190 | 4,640 | |||||||||
Gain on termination of purchase contract | — | 3,147 | — | |||||||||
Income (loss) before minority interest | 30,137 | (20,245 | ) | 33,821 | ||||||||
Minority interest — partners’ share of consolidated real estate ventures | (465 | ) | 270 | (154 | ) | |||||||
Income (loss) from continuing operations | 29,672 | (19,975 | ) | 33,667 | ||||||||
Discontinued operations: | ||||||||||||
Income from discontinued operations | 3,184 | 12,597 | 8,150 | |||||||||
Net gain on disposition of discontinued operations | 25,743 | 20,243 | 2,196 | |||||||||
Minority interest — partners’ share of consolidated real estate ventures | — | (2,239 | ) | — | ||||||||
Income from discontinued operations | 28,927 | 30,601 | 10,346 | |||||||||
Net income | 58,599 | 10,626 | 44,013 | |||||||||
Income allocated to Preferred Units | (7,992 | ) | (7,992 | ) | (7,992 | ) | ||||||
Income allocated to Common Partnership Units | $ | 50,607 | $ | 2,634 | $ | 36,021 | ||||||
Basic earnings per Common Partnership Units: | ||||||||||||
Continuing operations | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | |||||
Discontinued operations | 0.32 | 0.33 | 0.18 | |||||||||
$ | 0.56 | $ | 0.03 | $ | 0.62 | |||||||
Diluted earnings per Common Partnership Units: | ||||||||||||
Continuing operations | $ | 0.24 | $ | (0.30 | ) | $ | 0.44 | |||||
Discontinued operations | 0.32 | 0.32 | 0.18 | |||||||||
$ | 0.55 | $ | 0.03 | $ | 0.62 | |||||||
Basic weighted average common partnership units outstanding | 91,170,209 | 93,703,601 | 57,852,842 | |||||||||
Diluted weighted average common partnership units outstanding | 91,219,337 | 94,222,125 | 58,111,162 |
F - 51
Table of Contents
Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Net income | $ | 58,599 | $ | 10,626 | $ | 44,013 | ||||||
Other comprehensive income: | ||||||||||||
Unrealized gain (loss) on derivative financial instruments | (3,600 | ) | 1,330 | (713 | ) | |||||||
Less: minority interest — consolidated real estate venture partner’s share of unrealized gain (loss) on derivative financial instruments | — | (302 | ) | — | ||||||||
Settlement of treasury locks | (3,860 | ) | — | — | ||||||||
Settlement of forward starting swaps | 1,148 | 3,266 | 240 | |||||||||
Reclassification of realized (gains)/losses on derivative financial instruments to operations, net | 3,436 | 122 | 450 | |||||||||
Unrealized gain (loss) on available-for-sale securities | (585 | ) | 328 | (16 | ) | |||||||
Total other comprehensive income (loss) | (3,461 | ) | 4,744 | (39 | ) | |||||||
Comprehensive income | $ | 55,138 | $ | 15,370 | $ | 43,974 | ||||||
F - 52
Table of Contents
Series A Preferred Mirror | Series D Preferred Mirror | Series E Preferred Mirror | Accumulated Other | Total | ||||||||||||||||||||||||||||||||||||
Units | Units | Units | General Partner Capital | Comprehensive | Partner’s | |||||||||||||||||||||||||||||||||||
Units | Amount | Units | Amount | Units | Amount | Units | Amount | Income | Equity | |||||||||||||||||||||||||||||||
Balance, December 31, 2004 | — | — | 2,000,000 | 47,912 | 2,300,000 | 55,538 | 55,292,752 | 1,029,144 | (3,130 | ) | 1,129,464 | |||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | 44,013 | — | 44,013 | ||||||||||||||||||||||||||||||
Net income allocable to redeemable partnership units | — | — | — | — | — | — | — | (276 | ) | — | (276 | ) | ||||||||||||||||||||||||||||
Other comprehensive income: | — | — | — | — | — | — | — | — | (39 | ) | (39 | ) | ||||||||||||||||||||||||||||
Conversion of LP units to common shares | — | — | — | — | — | — | 107,692 | 2,584 | — | 2,584 | ||||||||||||||||||||||||||||||
Vesting of restricted units | — | — | — | — | — | — | 72,950 | 1,630 | — | 1,630 | ||||||||||||||||||||||||||||||
Exercise of warrants/options to purchase general partnership units | — | — | — | — | — | — | 705,681 | 18,999 | — | 18,999 | ||||||||||||||||||||||||||||||
Repayment of employee stock loans | — | — | — | — | — | — | — | 50 | — | 50 | ||||||||||||||||||||||||||||||
Adjustment of redeemable partnership units to liquidation value at period end | — | — | — | — | — | — | — | 190 | — | 190 | ||||||||||||||||||||||||||||||
Distributions to Preferred Mirror Units | — | — | — | — | — | — | — | (7,992 | ) | — | (7,992 | ) | ||||||||||||||||||||||||||||
Distributions to general partnership unit holder | — | — | — | — | — | — | — | (100,145 | ) | — | (100,145 | ) | ||||||||||||||||||||||||||||
Balance, December 31, 2005 | — | — | 2,000,000 | 47,912 | 2,300,000 | 55,538 | 56,179,075 | 988,197 | (3,169 | ) | 1,088,478 | |||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | 10,626 | — | 10,626 | ||||||||||||||||||||||||||||||
Repurchase of common partnership units | — | — | — | — | — | — | (3,009,200 | ) | (94,473 | ) | — | (94,473 | ) | |||||||||||||||||||||||||||
Other comprehensive income: | — | — | — | — | — | — | — | — | 4,745 | 4,745 | ||||||||||||||||||||||||||||||
Conversion of LP units to common shares | — | — | — | — | — | — | 14,700 | 488 | — | 488 | ||||||||||||||||||||||||||||||
Issuance of common partnership units | — | — | — | — | — | — | 34,542,151 | 1,022,173 | — | 1,022,173 | ||||||||||||||||||||||||||||||
Vesting of restricted units | — | — | — | — | — | — | 81,142 | 1,887 | — | 1,887 | ||||||||||||||||||||||||||||||
Issuance of trustee/bonus shares | — | — | — | — | — | — | 3,257 | 90 | — | 90 | ||||||||||||||||||||||||||||||
Exercise of warrants/options to purchase general partnership units | — | — | — | — | — | — | 515,916 | 11,413 | — | 11,413 | ||||||||||||||||||||||||||||||
Repayment of employee stock loans | — | — | — | — | — | — | — | 371 | — | 371 | ||||||||||||||||||||||||||||||
Adjustment of redeemable partnership units to liquidation value at period end | — | — | — | — | — | — | — | (25,913 | ) | — | (25,913 | ) | ||||||||||||||||||||||||||||
Distributions to Preferred Mirror Units | — | — | — | — | — | — | — | (7,992 | ) | — | (7,992 | ) | ||||||||||||||||||||||||||||
Distributions to general partnership unit holder | — | — | — | — | — | — | — | (156,122 | ) | — | (156,122 | ) | ||||||||||||||||||||||||||||
— | ||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2006 | — | — | 2,000,000 | 47,912 | 2,300,000 | 55,538 | 88,327,041 | 1,750,745 | 1,576 | 1,855,771 | ||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | — | 58,599 | — | 58,599 | ||||||||||||||||||||||||||||||
Repurchase of common partnership units in treasury and for deferred comp plan | — | — | — | — | — | — | (1,780,600 | ) | (59,426 | ) | — | (59,426 | ) | |||||||||||||||||||||||||||
Common partnership units used for deferred comp plan | — | — | — | — | — | — | 172,565 | 5,684 | — | 5,684 | ||||||||||||||||||||||||||||||
Other comprehensive income: | — | — | — | — | — | — | — | — | (3,461 | ) | (3,461 | ) | ||||||||||||||||||||||||||||
Conversion of LP units to common shares | — | — | — | — | — | — | 21,951 | 716 | — | 716 | ||||||||||||||||||||||||||||||
Issuance of common partnership units | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Vesting of restricted units | — | — | — | — | — | — | 66,086 | 2,097 | — | 2,097 | ||||||||||||||||||||||||||||||
Issuance of trustee/bonus shares | — | — | — | — | — | — | 1,664 | 55 | — | 55 | ||||||||||||||||||||||||||||||
Exercise of warrants/options to purchase general partnership units | — | — | — | — | — | — | 206,893 | 8,113 | — | 8,113 | ||||||||||||||||||||||||||||||
Minority interest reclassification | — | — | — | — | — | — | — | (2,828 | ) | — | (2,828 | ) | ||||||||||||||||||||||||||||
Repayment of employee stock loans | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Adjustment of redeemable partnership units to liquidation value at period end | — | — | — | — | — | — | — | 55,306 | — | 55,306 | ||||||||||||||||||||||||||||||
Distributions to Preferred Mirror Units | — | — | — | — | — | — | — | (7,992 | ) | — | (7,992 | ) | ||||||||||||||||||||||||||||
Distributions to general partnership unit holder | — | — | — | — | — | — | — | (154,099 | ) | — | (154,099 | ) | ||||||||||||||||||||||||||||
Balance, December 31, 2007 | — | $ | — | 2,000,000 | $ | 47,912 | 2,300,000 | $ | 55,538 | 87,015,600 | $ | 1,656,970 | $ | (1,885 | ) | $ | 1,758,535 | |||||||||||||||||||||||
F - 53
Table of Contents
Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Cash flows from operating activities: | ||||||||||||
Net income | $ | 58,599 | $ | 10,626 | $ | 44,013 | ||||||
Adjustments to reconcile net income to net cash from operating activities: | ||||||||||||
Depreciation | 179,724 | 186,454 | 84,561 | |||||||||
Amortization: | ||||||||||||
Deferred financing costs | 4,497 | 4,607 | 3,721 | |||||||||
Deferred leasing costs | 15,672 | 12,258 | 8,895 | |||||||||
Acquired above (below) market leases, net | (12,225 | ) | (9,034 | ) | (1,542 | ) | ||||||
Acquired lease intangibles | 51,669 | 66,317 | 18,573 | |||||||||
Deferred compensation costs | 4,672 | 3,447 | 2,764 | |||||||||
Straight-line rent | (28,304 | ) | (31,326 | ) | (14,952 | ) | ||||||
Provision for doubtful accounts | 3,147 | 3,510 | 792 | |||||||||
Real estate venture income in excess of distributions | (55 | ) | (15 | ) | (769 | ) | ||||||
Net gain on sale of interests in real estate | (66,662 | ) | (34,433 | ) | (6,820 | ) | ||||||
Gain on termination of purchase contract | — | (3,147 | ) | — | ||||||||
Minority interest | 465 | 1,969 | 154 | |||||||||
Changes in assets and liabilities: | ||||||||||||
Accounts receivable | 6,448 | 1,365 | (598 | ) | ||||||||
Other assets | (6,268 | ) | (4,855 | ) | (11,810 | ) | ||||||
Accounts payable and accrued expenses | (10,524 | ) | (1,154 | ) | (2,407 | ) | ||||||
Tenant security deposits and deferred rents | 12,634 | 29,209 | (40 | ) | ||||||||
Other liabilities | 6,328 | 5,768 | 612 | |||||||||
Net cash from operating activities | 219,817 | 241,566 | 125,147 | |||||||||
Cash flows from investing activities: | ||||||||||||
Acquisition of Prentiss | — | (935,856 | ) | — | ||||||||
Acquisition of properties | (88,890 | ) | (231,244 | ) | (92,674 | ) | ||||||
Acquisition of minority interest in consolidated real estate venture | (63,732 | ) | — | — | ||||||||
Sales of properties, net | 472,590 | 347,652 | 29,428 | |||||||||
Proceeds from termination of purchase contract | — | 3,147 | — | |||||||||
Capital expenditures | (267,103 | ) | (242,516 | ) | (177,035 | ) | ||||||
Investment in marketable securities | — | 181,556 | 423 | |||||||||
Investment in unconsolidated Real Estate Ventures | (897 | ) | (753 | ) | (269 | ) | ||||||
Restrcited cash | 4,898 | (2,981 | ) | (518 | ) | |||||||
Cash distributions from unconsolidated Real Estate Ventures in excess of equity in income | 3,711 | 3,762 | 462 | |||||||||
Leasing costs | (16,104 | ) | (38,561 | ) | (12,234 | ) | ||||||
Net cash from (used in) investing activities | 44,473 | (915,794 | ) | (252,417 | ) | |||||||
Cash flows from financing activities: | ||||||||||||
Proceeds from Credit Facility borrowings | 959,602 | 726,000 | 372,142 | |||||||||
Repayments of Credit Facility borrowings | (888,875 | ) | (756,000 | ) | (434,142 | ) | ||||||
Proceeds from mortgage notes payable | — | 20,520 | — | |||||||||
Repayments of mortgage notes payable | (272,027 | ) | (213,338 | ) | (23,457 | ) | ||||||
Proceeds from term loan | 150,000 | 750,000 | — | |||||||||
Repayments of term loan | — | (750,000 | ) | — | ||||||||
Proceeds from unsecured notes | 300,000 | 1,193,217 | 299,976 | |||||||||
Repayments of unsecured notes | (299,925 | ) | — | — | ||||||||
Net settlement of hedge transactions | (2,712 | ) | 3,266 | — | ||||||||
Repayments on employee stock loans | — | 371 | 50 | |||||||||
Debt financing costs | (4,474 | ) | (14,319 | ) | (4,026 | ) | ||||||
Exercise of stock options | 6,011 | 11,414 | 18,999 | |||||||||
Repurchases of common partnership and minority interest units | (59,426 | ) | (94,472 | ) | (239 | ) | ||||||
Distributions paid to preferred and common partnership unitholders | (172,243 | ) | (175,947 | ) | (110,205 | ) | ||||||
Distributions to minority interest holders — consolidated real estate ventures | — | (8,279 | ) | — | ||||||||
Net cash (used in) from financing activities | (284,069 | ) | 692,433 | 119,098 | ||||||||
Increase (decrease) in cash and cash equivalents | (19,779 | ) | 18,205 | (8,172 | ) | |||||||
Cash and cash equivalents at beginning of period | 25,379 | 7,174 | 15,346 | |||||||||
Cash and cash equivalents at end of period | $ | 5,600 | $ | 25,379 | $ | 7,174 | ||||||
Supplemental disclosure: | ||||||||||||
Cash paid for interest, net of capitalized interest | $ | 182,790 | $ | 154,258 | $ | 53,450 | ||||||
Supplemental disclosure of non-cash activity: | ||||||||||||
Common shares issued in the Prentiss acquisition | — | 1,022,173 | — | |||||||||
Operating Partnership units issued in Prentiss acquisition | — | 64,103 | — | |||||||||
Operating Partnership units issued in propety acquistions | — | 13,819 | — | |||||||||
Debt, minority interest and other liabilities, net assumed in the Prentiss acquisition | — | 679,520 | — |
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DECEMBER 31, 2007, 2006 AND 2005
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December 31, | ||||||||
2007 | 2006 | |||||||
(amounts in thousands) | ||||||||
Land | $ | 727,979 | $ | 756,400 | ||||
Building and improvements | 3,672,638 | 3,807,040 | ||||||
Tenant improvements | 412,946 | 363,865 | ||||||
$ | 4,813,563 | $ | 4,927,305 | |||||
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At January 5, 2006 | ||||
Real estate investments | ||||
Land - operating | $ | 282,584 | ||
Building and improvements | 1,942,728 | |||
Tenant improvements | 120,610 | |||
Construction in progress and land inventory | 57,329 | |||
Total real estate investments acquired | 2,403,251 | |||
Rent receivables | 6,031 | |||
Other assets acquired: | ||||
Intangible assets: | ||||
In-place leases | 187,907 | |||
Relationship values | 98,382 | |||
Above-market leases | 26,352 | |||
Total intangible assets acquired | 312,641 | |||
Investment in real estate ventures | 66,921 | |||
Investment in marketable securities | 193,089 | |||
Other assets | 8,868 | |||
Total other assets | 581,519 | |||
Total assets acquired | 2,990,801 | |||
Liabilities assumed: | ||||
Mortgage notes payable | 532,607 | |||
Unsecured notes | 78,610 | |||
Secured note payable | 186,116 | |||
Security deposits and deferred rent | 6,475 | |||
Other liabilities: | ||||
Below-market leases | 78,911 | |||
Other liabilities | 43,995 | |||
Total other liabilities assumed | 122,906 | |||
Total liabilities assumed | 926,714 | |||
Minority interest | 104,658 | |||
Net assets acquired | $ | 1,959,429 | ||
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December 31, | ||||||||
2006 | 2005 | |||||||
(unaudited) | ||||||||
Pro forma revenue | $ | 633,689 | $ | 628,084 | ||||
Pro forma loss from continuing operations | (19,610 | ) | (24,912 | ) | ||||
Pro forma loss allocated to common shares | 2,999 | (22,558 | ) | |||||
Earnings per common share from continuing operations | ||||||||
Basic — as reported | $ | 0.30 | $ | 0.44 | ||||
Basic — as pro forma | $ | 0.29 | $ | (0.36 | ) | |||
Diluted — as reported | $ | 0.30 | $ | 0.44 | ||||
Diluted — as pro forma | $ | 0.29 | $ | 0.36 | ||||
Earnings per common share | ||||||||
Basic — as reported | $ | 0.03 | $ | 0.62 | ||||
Basic — as pro forma | $ | 0.03 | $ | 0.25 | ||||
Diluted — as reported | $ | 0.03 | $ | 0.62 | ||||
Diluted — as pro forma | $ | 0.03 | $ | 0.24 | ||||
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Partnership’s Share | ||||||||||||||||||||||||
of 2007 Real Estate | Real Estate | Current | ||||||||||||||||||||||
Ownership | Carrying | Venture | Venture | Interest | Debt | |||||||||||||||||||
Percentage (1) | Amount | Income (Loss) | Debt at 100% | Rate | Maturity | |||||||||||||||||||
Two Tower Bridge Associates | 35 | % | $ | 2,287 | $ | (344 | ) | $ | 11,816 | 6.82 | % | May-08 | ||||||||||||
Five Tower Bridge Associates | 15 | % | 162 | — | 29,260 | 6.77 | % | Feb-09 | ||||||||||||||||
Seven Tower Bridge Associates | 10 | % | 299 | — | — | N/A | N/A | |||||||||||||||||
Eight Tower Bridge Associates | 5.5 | % | (198 | ) | — | 68,464 | 7.68 | % | Feb-12 | |||||||||||||||
1000 Chesterbrook Boulevard | 50 | % | 2,333 | 669 | 26,410 | 6.88 | % | Nov-11 | ||||||||||||||||
PJP Building Two, LC | 30 | % | 177 | 124 | 5,107 | 6.12 | % | Nov-23 | ||||||||||||||||
PJP Building Three, LC | 25 | % | (26 | ) | — | — | N/A | N/A | ||||||||||||||||
PJP Building Five, LC | 25 | % | 148 | 54 | 6,380 | 6.47 | % | Aug-19 | ||||||||||||||||
PJP Building Six, LC | 25 | % | 96 | 21 | 8,033 | 6.35 | % | 6/1/2009 | ||||||||||||||||
PJP Building Seven, LC | 25 | % | 75 | — | 1,296 | 6.35 | % | Oct-10 | ||||||||||||||||
Macquarie BDN Christina LLC | 20 | % | 2,854 | 1,228 | 74,500 | 4.62 | % | Jan-09 | ||||||||||||||||
Broadmoor Austin Associates | 50 | % | 62,775 | 680 | 109,020 | 5.79 | % | Apr-11 | ||||||||||||||||
Residence Inn Tower Bridge | 50 | % | 616 | 472 | 14,480 | 5.63 | % | Feb-16 | ||||||||||||||||
G&I Interchange Office LLC (DRA) (2) | 20 | % | — | — | 184,000 | 5.78 | % | Jan-15 | ||||||||||||||||
Invesco, L.P. (3) | 35 | % | — | 4,051 | — | N/A | N/A | |||||||||||||||||
$ | 71,598 | $ | 6,955 | $ | 538,766 | |||||||||||||||||||
(1) | Ownership percentage represents the Partnership’s entitlement to residual distributions after payments of priority returns, where applicable. | |
(2) | See Note 3 - Real Estate Investments for description of formation of the Venture. The Partnership retained a 20% interest and received distributions from financing in excess of its basis. The Partnership has no commitment to fund and no expectation of operating losses, accordingly, the Partnership’s carrying value has not been reduced below zero. | |
(3) | The Partnership’s interest consists solely of a residual profits interest. This distribution represents the Partnership’s final distribution from the Venture and, therefore, it is no longer included in our total real estate venture count. |
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December 31, | ||||||||
2007 | 2006 | |||||||
Net property | $ | 630,327 | $ | 365,168 | ||||
Other assets | 63,458 | 52,935 | ||||||
Other Liabilities | 34,149 | 28,764 | ||||||
Debt | 538,766 | 332,589 | ||||||
Equity | 120,870 | 56,888 | ||||||
Company’s share of equity (Company basis) | 71,598 | 74,574 |
Year ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Revenue | $ | 75,541 | $ | 70,381 | $ | 59,346 | ||||||
Operating expenses | 25,724 | 26,878 | 29,387 | |||||||||
Interest expense, net | 21,442 | 21,711 | 12,324 | |||||||||
Depreciation and amortization | 15,526 | 17,808 | 9,359 | |||||||||
Net income | 12,849 | 5,176 | 8,276 | |||||||||
Company’s share of income (Company basis) | 6,955 | 2,165 | 3,172 |
2008 | $ | 16,653 | ||
2009 | 121,684 | |||
2010 | 11,105 | |||
2011 | 106,505 | |||
2012 | 69,280 | |||
Thereafter | 213,539 | |||
$ | 538,766 | |||
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December 31, 2007 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
Leasing Costs | $ | 99,077 | $ | (31,259 | ) | $ | 67,818 | |||||
Financing Costs | 27,597 | (8,292 | ) | 19,305 | ||||||||
Total | $ | 126,674 | $ | (39,551 | ) | $ | 87,123 | |||||
December 31, 2006 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
Leasing Costs | $ | 83,629 | $ | (28,278 | ) | $ | 55,351 | |||||
Financing Costs | 24,648 | (6,291 | ) | 18,357 | ||||||||
Total | $ | 108,277 | $ | (34,569 | ) | $ | 73,708 | |||||
December 31, 2007 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
In-place lease value | $ | 180,456 | $ | (65,742 | ) | $ | 114,714 | |||||
Tenant relationship value | 121,094 | (32,895 | ) | 88,199 | ||||||||
Above market leases acquired | 29,337 | (14,101 | ) | 15,236 | ||||||||
Total | $ | 330,887 | $ | (112,738 | ) | $ | 218,149 | |||||
Below market leases acquired | $ | 103,825 | $ | (36,544 | ) | $ | 67,281 | |||||
December 31, 2006 | ||||||||||||
Accumulated | Deferred Costs, | |||||||||||
Total Cost | Amortization | net | ||||||||||
In-place lease value | $ | 207,513 | $ | (52,293 | ) | $ | 155,220 | |||||
Tenant relationship value | 124,605 | (19,572 | ) | 105,033 | ||||||||
Above market leases acquired | 32,667 | (11,669 | ) | 20,998 | ||||||||
Total | $ | 364,785 | $ | (83,534 | ) | $ | 281,251 | |||||
Below market leases acquired | $ | 118,536 | $ | (26,009 | ) | $ | 92,527 | |||||
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Assets | Liabilities | |||||||
2008 | $ | 48,725 | $ | 14,904 | ||||
2009 | 42,377 | 11,984 | ||||||
2010 | 35,344 | 9,567 | ||||||
2011 | 27,358 | 7,841 | ||||||
2012 | 21,067 | 6,899 | ||||||
Thereafter | 43,278 | 16,086 | ||||||
Total | $ | 218,149 | $ | 67,281 | ||||
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Effective | ||||||||||||||||
December 31, | December 31, | Interest | Maturity | |||||||||||||
Property / Location | 2007 | 2006 | Rate | Date | ||||||||||||
Interstate Center | $ | — | $ | 552 | 6.19% | Mar-07 | ||||||||||
The Bluffs | — | 10,700 | 6.00% | (a) | Apr-07 | |||||||||||
Pacific Ridge | — | 14,500 | 6.00% | (a) | Apr-07 | |||||||||||
Pacific View/Camino | — | 26,000 | 6.00% | (a) | Apr-07 | |||||||||||
Computer Associates Building | — | 31,000 | 6.00% | (a) | Apr-07 | |||||||||||
Presidents Plaza | — | 30,900 | 6.00% | (a) | Apr-07 | |||||||||||
440 & 442 Creamery Way | — | 5,421 | 8.55% | May-07 | ||||||||||||
Grande A | — | 59,513 | 7.48% | Jul-07 | ||||||||||||
Grande B | — | 77,535 | 7.48% | Jul-07 | ||||||||||||
481 John Young Way | — | 2,294 | 8.40% | Dec-07 | ||||||||||||
400 Commerce Drive | 11,575 | 11,797 | 7.12% | Jun-08 | ||||||||||||
Two Logan Square | 70,124 | 71,348 | 5.78% | (a) | Jul-09 | |||||||||||
200 Commerce Drive | 5,765 | 5,841 | 7.12% | (a) | Jan-10 | |||||||||||
1333 Broadway | 23,997 | 24,418 | 5.18% | (a) | May-10 | |||||||||||
The Ordway | 45,509 | 46,199 | 7.95% | (a) | Aug-10 | |||||||||||
World Savings Center | 27,142 | 27,524 | 7.91% | (a) | Nov-10 | |||||||||||
Plymouth Meeting Exec. | 43,470 | 44,103 | 7.00% | (a) | Dec-10 | |||||||||||
Four Tower Bridge | 10,518 | 10,626 | 6.62% | Feb-11 | ||||||||||||
Arboretum I, II, III & V | 22,225 | 22,750 | 7.59% | Jul-11 | ||||||||||||
Midlantic Drive/Lenox Drive/DCC I | 61,276 | 62,678 | 8.05% | Oct-11 | ||||||||||||
Research Office Center | 41,527 | 42,205 | 7.64% | (a) | Oct-11 | |||||||||||
Concord Airport Plaza | 37,570 | 38,461 | 7.20% | (a) | Jan-12 | |||||||||||
Six Tower Bridge | 14,472 | 14,744 | 7.79% | Aug-12 | ||||||||||||
Newtown Square/Berwyn Park/Libertyview | 62,125 | 63,231 | 7.25% | May-13 | ||||||||||||
Coppell Associates | 3,512 | 3,737 | 6.89% | Dec-13 | ||||||||||||
Southpoint III | 4,426 | 4,949 | 7.75% | Apr-14 | ||||||||||||
Tysons Corner | 100,000 | 100,000 | 4.84% | (a) | Aug-15 | |||||||||||
Coppell Associates | 16,600 | 16,600 | 5.75% | Feb-16 | ||||||||||||
Principal balance outstanding | 601,833 | 869,626 | ||||||||||||||
Plus: unamortized fixed-rate debt premiums, net | 10,065 | 14,294 | ||||||||||||||
Total mortgage indebtedness | $ | 611,898 | $ | 883,920 | ||||||||||||
UNSECURED DEBT: | ||||||||||||||||
Sweep Agreement Line | 10,727 | — | Libor + 0.75% | Mar-08 | ||||||||||||
Private Placement Notes due 2008 | 113,000 | 113,000 | 4.34% | Dec-08 | ||||||||||||
2009 Three Year Notes | — | 300,000 | Libor + 0.45% | Apr-09 | ||||||||||||
2009 Five Year Notes | 275,000 | 275,000 | 4.62% | Nov-09 | ||||||||||||
Bank Term Loan | 150,000 | — | Libor + 0.80% | Oct-10 | ||||||||||||
2010 Five Year Notes | 300,000 | 300,000 | 5.61% | Dec-10 | ||||||||||||
Line-of-Credit | 120,000 | 60,000 | Libor + 0.725% | Jun-11 | ||||||||||||
3.875% Exchangeable Notes | 345,000 | 345,000 | 3.87% | Oct-11 | ||||||||||||
2012 Six Year Notes | 300,000 | 300,000 | 5.77% | Apr-12 | ||||||||||||
2014 Ten Year Notes | 250,000 | 250,000 | 5.53% | Nov-14 | ||||||||||||
2016 Ten Year Notes | 250,000 | 250,000 | 5.95% | Apr-16 | ||||||||||||
2017 Ten Year Notes | 300,000 | — | 5.72% | May-17 | ||||||||||||
Indenture IA (Preferred Trust I) | 27,062 | 27,062 | Libor + 1.25% | Mar-35 | ||||||||||||
Indenture IB (Preferred Trust I) | 25,774 | 25,774 | Libor + 1.25% | Apr-35 | ||||||||||||
Indenture II (Preferred Trust II) | 25,774 | 25,774 | Libor + 1.25% | Jul-35 | ||||||||||||
Principal balance outstanding | 2,492,337 | 2,271,610 | ||||||||||||||
Plus: unamortized fixed-rate debt discounts, net | (3,266 | ) | (3,300 | ) | ||||||||||||
Total unsecured indebtedness | $ | 2,489,071 | $ | 2,268,310 | ||||||||||||
Total Debt Obligations | $ | 3,100,969 | $ | 3,152,230 | ||||||||||||
(b) | Loans were assumed upon acquisition of the related property. Interest rates presented above reflect the market rate at the time of acquisition. |
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2008 | $ | 146,005 | ||
2009 | 354,955 | |||
2010 | 600,189 | |||
2011 | 597,261 | |||
2012 | 351,053 | |||
Thereafter | 1,044,707 | |||
Total principal payments | $ | 3,094,170 | ||
Net unamortized premiums/discounts | 6,799 | |||
Outstanding indebtedness | $ | 3,100,969 | ||
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December 31, 2007 | December 31, 2006 | |||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||
Amount | Value | Amount | Value | |||||||||||||
Mortgage payable, net of premiums | $ | 611,898 | $ | 597,287 | $ | 888,470 | $ | 859,490 | ||||||||
Unsecured Notes payable, net of discounts | $ | 2,129,734 | $ | 1,996,475 | $ | 1,829,701 | $ | 1,826,357 |
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Trade Date | Notional Amount | All-in Rate | ||||||
July 10, 2007 | $50.0 million | 4.984 | % | |||||
July 18, 2007 | $50.0 million | 4.915 | % | |||||
July 20, 2007 | $25.0 million | 4.848 | % | |||||
July 25, 2007 | $25.0 million | 4.780 | % |
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Years Ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
Revenue: | ||||||||||||
Rents | $ | 12,844 | $ | 84,064 | $ | 25,750 | ||||||
Tenant reimbursements | 1,531 | 6,967 | 1,503 | |||||||||
Termination fees | — | 529 | — | |||||||||
Other | 214 | 1,151 | 49 | |||||||||
Total revenue | 14,589 | 92,711 | 27,302 | |||||||||
Expenses: | ||||||||||||
Property operating expenses | 5,013 | 33,660 | 9,691 | |||||||||
Real estate taxes | 1,644 | 10,921 | 3,140 | |||||||||
Depreciation & amortization | 4,748 | 34,706 | 5,882 | |||||||||
Total operating expenses | 11,405 | 79,287 | 18,713 | |||||||||
Operating income | 3,184 | 13,424 | 8,589 | |||||||||
Interest income | — | 13 | 6 | |||||||||
Interest expense | — | (840 | ) | (445 | ) | |||||||
Income from discontinued operations before gain on sale of interests in real estate and minority interest | 3,184 | 12,597 | 8,150 | |||||||||
Net gain on sale of interests in real estate | 25,743 | 20,243 | 2,196 | |||||||||
Minority interest - partners’ share of net gain on sale | — | (1,757 | ) | — | ||||||||
Minority interest - partners’ share of consolidated real estate venture | — | (482 | ) | — | ||||||||
Income from discontinued operations | $ | 28,927 | $ | 30,601 | $ | 10,346 | ||||||
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For the years ended December 31, | ||||||||||||||||||||||||
2007 | 2006 | 2005 | ||||||||||||||||||||||
Basic | Diluted | Basic | Diluted | Basic | Diluted | |||||||||||||||||||
Income from continuing operations | $ | 29,672 | $ | 29,672 | $ | (19,975 | ) | $ | (19,975 | ) | $ | 33,667 | $ | 33,667 | ||||||||||
Income from discontinued operations | 28,927 | 28,927 | 30,601 | 30,601 | 10,346 | 10,346 | ||||||||||||||||||
Income allocated to Preferred Units | (7,992 | ) | (7,992 | ) | (7,992 | ) | (7,992 | ) | (7,992 | ) | (7,992 | ) | ||||||||||||
$ | 50,607 | $ | 50,607 | $ | 2,634 | $ | 2,634 | $ | 36,021 | $ | 36,021 | |||||||||||||
Weighted-average common partnership units outstanding | 91,170,209 | 91,170,209 | 93,703,601 | 93,703,601 | 57,852,842 | 57,852,842 | ||||||||||||||||||
Options, warrants and unvested restricted stock | — | 49,128 | — | 518,524 | — | 258,320 | ||||||||||||||||||
Total weighted-average units outstanding | 91,170,209 | 91,219,337 | 93,703,601 | �� | 94,222,125 | 57,852,842 | 58,111,162 | |||||||||||||||||
Earnings per Common Partnership Unit | ||||||||||||||||||||||||
Continuing operations | $ | 0.24 | $ | 0.24 | $ | (0.30 | ) | $ | (0.30 | ) | $ | 0.44 | $ | 0.44 | ||||||||||
Discontinued operations | 0.32 | 0.32 | 0.33 | 0.32 | 0.18 | 0.18 | ||||||||||||||||||
Total | $ | 0.56 | $ | 0.55 | $ | 0.03 | $ | 0.03 | $ | 0.62 | $ | 0.62 | ||||||||||||
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Weighted | Weighted Average | |||||||||||||||
Average | Remaining Contractual | Aggregate Intrinsic | ||||||||||||||
Shares | Exercise Price | Term (in years) | Value (in 000’s) | |||||||||||||
Outstanding at January 1, 2007 | 1,286,075 | $ | 26.45 | 1.50 | $ | 8,739 | ||||||||||
Exercised | (198,495 | ) | $ | 28.80 | 0.87 | $ | 1,171 | |||||||||
Forfeited | (17,481 | ) | — | — | — | |||||||||||
Outstanding at December 31, 2007 | 1,070,099 | $ | 26.13 | 0.54 | $ | (8,775 | ) | |||||||||
Vested at December 31, 2007 (1) | 1,070,099 | $ | 26.13 | 0.54 | $ | (8,775 | ) | |||||||||
Exercisable at December 31, 2007 (1) | 1,070,099 | $ | 26.13 | 0.54 | $ | (8,775 | ) |
(1) | There were 825,389 options that expired unexercised on January 1, 2008. |
Years ended December 31, | ||||||||||||||||||||||||
2006 | 2005 | |||||||||||||||||||||||
Weighted | Weighted | |||||||||||||||||||||||
Average | Average | |||||||||||||||||||||||
Weighted | Remaining | Weighted | Remaining | |||||||||||||||||||||
Average | Contractual | Average | Contractual | |||||||||||||||||||||
Exercise | Term | Exercise | Term | |||||||||||||||||||||
Shares | Price | (in Years) | Shares | Price | (in Years) | |||||||||||||||||||
Outstanding at beginning of year | 1,276,722 | $ | 26.82 | 2,008,022 | $ | 26.89 | ||||||||||||||||||
Prentiss options converted to Company options as part of the Prentiss acquisition (See Note 3) | 496,037 | $ | 22.00 | — | — | |||||||||||||||||||
Exercised | (486,684 | ) | $ | 22.88 | (705,678 | ) | $ | 26.94 | ||||||||||||||||
Forfeited/Expired | — | — | (25,622 | ) | $ | 28.80 | ||||||||||||||||||
Outstanding at end of year | 1,286,075 | $ | 26.45 | 1.50 | 1,276,722 | $ | 26.82 | 1.97 | ||||||||||||||||
Exercisable at end of year | 1,286,075 | $ | 26.45 | 1,276,722 | $ | 26.82 | ||||||||||||||||||
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Shares | Weighted Average Grant Date Fair value | |||||||
Non-vested at January 1, 2007 | 338,860 | $ | 28.23 | |||||
Granted | 227,709 | 34.94 | ||||||
Vested | (107,143 | ) | 26.45 | |||||
Forfeited | (50,144 | ) | 32.28 | |||||
Non-vested at December 31, 2007 | 409,282 | $ | 31.91 | |||||
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Years ended December 31, | ||||||||||||
2007 | 2006 | 2005 (a) | ||||||||||
Common Partnership Unit Distributions: | ||||||||||||
Total distributions per unit | $ | 1.76 | $ | 1.76 | $ | 1.78 | ||||||
Preferred Unit Distributions: | ||||||||||||
Total distributions declared | $ | 7,992,000 | $ | 7,992,000 | $ | 7,992,000 |
(a) | Includes a $0.02 special distribution declared in December 2005 for unitholders of record for the period January 1, 2006 through January 4, 2006 (pre-Prentiss merger period). |
Unrealized Gains | Cash Flow | Accumulated Other | ||||||||||
(Losses) on Securities | Hedges | Comprehensive Loss | ||||||||||
Balance at January 1, 2005 | $ | 16 | $ | (3,146 | ) | $ | (3,130 | ) | ||||
Change during year | 241 | (713 | ) | (472 | ) | |||||||
Settlement of treasury locks | — | 240 | 240 | |||||||||
Reclassification adjustments for losses reclassified into operations | (257 | ) | 450 | 193 | ||||||||
Balance at December 31, 2005 | — | (3,169 | ) | (3,169 | ) | |||||||
Change during year | — | 1,331 | 1,331 | |||||||||
Minority interest — consolidated real estate venture partner’s share of unrealized (gains)/losses on derivative financial instruments | — | (302 | ) | (302 | ) | |||||||
Settlement of forward starting swaps | — | 3,266 | 3,266 | |||||||||
Reclassification adjustments for (gains) losses reclassified into operations | 328 | 122 | 450 | |||||||||
Balance at December 31, 2006 | 328 | 1,248 | 1,576 | |||||||||
Change during year | — | (3,600 | ) | (3,600 | ) | |||||||
Minority interest — consolidated real estate venture partner’s share of unrealized (gains)/losses on derivative financial instruments | — | — | — | |||||||||
Settlement of treasury locks | — | (3,860 | ) | (3,860 | ) | |||||||
Settlement of forward starting swaps | — | 1,148 | 1,148 | |||||||||
Reclassification adjustments for (gains) losses reclassified into operations | (585 | ) | 3,436 | 2,851 | ||||||||
Balance at December 31, 2007 | $ | (257 | ) | $ | (1,628 | ) | $ | (1,885 | ) | |||
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New Jersey | Richmond, | California - | California - | Metropolitan, | ||||||||||||||||||||||||||||||||
Pennsylvania | /Delaware | Virginia | North | South | D.C. | Southwest | Corporate | Total | ||||||||||||||||||||||||||||
2007: | ||||||||||||||||||||||||||||||||||||
Real estate investments, at cost: | ||||||||||||||||||||||||||||||||||||
Operating properties | $ | 1,682,839 | $ | 663,503 | $ | 348,310 | $ | 472,818 | $ | 106,303 | $ | 1,302,833 | $ | 236,957 | $ | — | $ | 4,813,563 | ||||||||||||||||||
Developed land and construction-in-progress | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 402,270 | $ | 402,270 | ||||||||||||||||||
Total revenue | $ | 275,626 | $ | 120,461 | $ | 39,140 | $ | 64,989 | $ | 13,565 | $ | 134,596 | $ | 37,855 | $ | (2,260 | ) | $ | 683,972 | |||||||||||||||||
Property operating expenses and real estate taxes | 104,393 | 53,382 | 14,445 | 26,565 | 5,571 | 47,032 | 16,440 | (3,442 | ) | 264,386 | ||||||||||||||||||||||||||
Net operating income | $ | 171,233 | $ | 67,079 | $ | 24,695 | $ | 38,424 | $ | 7,994 | $ | 87,564 | $ | 21,415 | $ | 1,182 | $ | 419,586 | ||||||||||||||||||
2006: | ||||||||||||||||||||||||||||||||||||
Real estate investments, at cost: | ||||||||||||||||||||||||||||||||||||
Operating properties | $ | 1,814,592 | $ | 681,574 | $ | 244,592 | $ | 414,856 | $ | 118,265 | $ | 1,265,818 | $ | 387,608 | $ | — | $ | 4,927,305 | ||||||||||||||||||
Developed land and construction-in-progress | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 328,119 | $ | 328,119 | ||||||||||||||||||
Total revenue | $ | 246,422 | $ | 117,548 | $ | 33,317 | $ | 60,679 | $ | 14,326 | $ | 119,807 | $ | 33,586 | $ | 4,600 | $ | 630,285 | ||||||||||||||||||
Property operating expenses and real estate taxes | 99,085 | 49,871 | 12,441 | 24,494 | 5,435 | 39,981 | 11,951 | 149 | 243,407 | |||||||||||||||||||||||||||
Net operating income | $ | 147,337 | $ | 67,677 | $ | 20,876 | $ | 36,185 | $ | 8,891 | $ | 79,826 | $ | 21,635 | $ | 4,451 | $ | 386,878 | ||||||||||||||||||
2005: | ||||||||||||||||||||||||||||||||||||
Total revenue | $ | 215,840 | $ | 117,606 | $ | 29,794 | $ | — | $ | — | $ | — | $ | — | $ | 1,195 | $ | 364,435 | ||||||||||||||||||
Property operating expenses and real estate taxes | 84,110 | 47,242 | 11,732 | — | — | — | — | (1,366 | ) | 141,718 | ||||||||||||||||||||||||||
Net operating income | $ | 131,730 | $ | 70,364 | $ | 18,062 | $ | — | $ | — | $ | — | $ | — | $ | 2,561 | $ | 222,717 | ||||||||||||||||||
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Year Ended December 31, | ||||||||||||
2007 | 2006 | 2005 | ||||||||||
(amounts in thousands) | ||||||||||||
Consolidated net operating income (loss) | $ | 419,586 | $ | 386,878 | $ | 222,717 | ||||||
Less: | ||||||||||||
Interest expense | (162,675 | ) | (171,177 | ) | (70,380 | ) | ||||||
Deferred financing costs | (4,496 | ) | (4,607 | ) | (3,540 | ) | ||||||
Loss on settlement of treasury lock agreements | (3,698 | ) | — | — | ||||||||
Depreciation and amortization | (242,312 | ) | (230,710 | ) | (106,175 | ) | ||||||
Administrative expenses | (28,182 | ) | (29,644 | ) | (17,982 | ) | ||||||
Minority interest — partners’ share of consolidated real estate ventures | (465 | ) | 270 | (154 | ) | |||||||
Plus: | ||||||||||||
Interest income | 4,040 | 9,513 | 1,370 | |||||||||
Equity in income of real estate ventures | 6,955 | 2,165 | 3,171 | |||||||||
Net gain on sales of interests in depreciated real estate | 40,498 | — | — | |||||||||
Net gain on sales of interests in undepreciated real estate | 421 | 14,190 | 4,640 | |||||||||
Gain on termination of purchase contract | — | 3,147 | — | |||||||||
Income (loss) from continuing operations | 29,672 | (19,975 | ) | 33,667 | ||||||||
Income (loss) from discontinued operations | 28,927 | 30,601 | 10,346 | |||||||||
Net income (loss) | $ | 58,599 | $ | 10,626 | $ | 44,013 | ||||||
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Year | Minimum Rent | |||
2008 | $ | 515,156 | ||
2009 | 467,402 | |||
2010 | 402,579 | |||
2011 | 337,340 | |||
2012 | 277,940 | |||
Thereafter | 1,323,580 |
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2008 | $ | 1,736 | ||
2009 | 1,986 | |||
2010 | 2,318 | |||
2011 | 2,318 | |||
2012 | 2,318 | |||
Thereafter | 291,420 |
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1st | 2nd | 3rd | 4th | |||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
2007: | ||||||||||||||||
Total revenue | $ | 165,429 | $ | 166,637 | $ | 177,748 | $ | 174,158 | ||||||||
Net income | 20,147 | 1,168 | 2,383 | 34,901 | ||||||||||||
Income (loss) allocated to Common Partnership Units | 18,149 | (830 | ) | 385 | 32,903 | |||||||||||
Basic earnings (loss) per Common Partnership Units | $ | 0.20 | $ | (0.01 | ) | $ | — | $ | 0.36 | |||||||
Diluted earnings (loss) per Common Partnership Units | $ | 0.19 | $ | (0.01 | ) | $ | — | $ | 0.36 | |||||||
2006: | ||||||||||||||||
Total revenue | $ | 146,749 | $ | 153,347 | $ | 164,284 | $ | 165,905 | ||||||||
Net income (loss) | (2,850 | ) | (12,171 | ) | 496 | 25,151 | ||||||||||
Income (loss) allocated to Common Partnership Units | (4,848 | ) | (14,169 | ) | (1,502 | ) | 23,153 | |||||||||
Basic earnings (loss) per Common Partnership Units | $ | (0.05 | ) | $ | (0.15 | ) | $ | (0.02 | ) | $ | 0.25 | |||||
Diluted earnings (loss) per Common Partnership Units | $ | (0.05 | ) | $ | (0.15 | ) | $ | (0.02 | ) | $ | 0.25 |
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Balance at | Balance | |||||||||||||||
Beginning | at End | |||||||||||||||
Description | of Period | Additions | Deductions (2) | of Period | ||||||||||||
Allowance for doubtful accounts: | ||||||||||||||||
Year ended December 31, 2007 | $ | 9,311 | $ | 2,147 | $ | 1,296 | $ | 10,162 | ||||||||
Year ended December 31, 2006 (1) | $ | 4,877 | $ | 4,434 | $ | — | $ | 9,311 | ||||||||
Year ended December 31, 2005 | $ | 4,085 | $ | 792 | $ | — | $ | 4,877 | ||||||||
(1) | The 2006 additions includes $3.5 million of current year expense and $0.9 million of allowances against receivables assumed in the Prentiss acquisition. | |
(2) | Deductions represent amounts that the Company had fully reserved for in prior periods and pursuit of collection of such amounts was ceased during the period. |
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Schedule III
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||
CALIFORNIA NORTH | ||||||||||||||||||||||||||||||||||||||||||
1 Kaiser Plaza | Oakland | CA | 48,359 | 15,034 | 107,422 | 3,748 | 15,318 | 110,886 | 126,204 | 6,801 | 1978 | 2006 | 46 | |||||||||||||||||||||||||||||
2101 Webster Street | Oakland | CA | 23,950 | 13,051 | 89,728 | 2,753 | 13,298 | 92,235 | 105,532 | 7,075 | 1985 | 2006 | 44 | |||||||||||||||||||||||||||||
155 Grand Avenue | Oakland | CA | — | 13,556 | 54,266 | 2 | 13,556 | 54,268 | 67,824 | 822 | 1990 | 2007 | 40 | |||||||||||||||||||||||||||||
1901 Harrison Street | Oakland | CA | 29,046 | 5,442 | 59,920 | 1,065 | 5,545 | 60,882 | 66,427 | 2,954 | 1985 | 2006 | 48 | |||||||||||||||||||||||||||||
1333 Broadway | Oakland | CA | — | 4,519 | 35,235 | 3,700 | 4,781 | 38,673 | 43,454 | 2,412 | 1972 | 2006 | 40 | |||||||||||||||||||||||||||||
1200 Concord Avenue | Concord | CA | 19,826 | 6,395 | 24,664 | 629 | 6,515 | 25,173 | 31,688 | 3,268 | 1984 | 2006 | 34 | |||||||||||||||||||||||||||||
1220 Concord Avenue | Concord | CA | 19,834 | 6,476 | 24,966 | 242 | 6,476 | 25,208 | 31,683 | 3,360 | 1984 | 2006 | 34 | |||||||||||||||||||||||||||||
CALIFORNIA SOUTH | ||||||||||||||||||||||||||||||||||||||||||
5780 & 5790 Fleet Street | Carlsbad | CA | — | 7,073 | 22,907 | 3,211 | 7,516 | 25,675 | 33,191 | 1,871 | 1999 | 2006 | 55 | |||||||||||||||||||||||||||||
16870 W Bernardo Drive | San Diego | CA | — | 2,979 | 15,896 | 1,818 | 3,154 | 17,539 | 20,693 | 1,316 | 2002 | 2006 | 56 | |||||||||||||||||||||||||||||
5900 & 5950 La Place Court | Carlsbad | CA | — | 3,706 | 11,185 | 1,547 | 3,955 | 12,483 | 16,438 | 1,008 | 1988 | 2006 | 48 | |||||||||||||||||||||||||||||
5963 La Place Court | Carlsbad | CA | — | 2,824 | 9,413 | 1,595 | 2,999 | 10,833 | 13,832 | 722 | 1987 | 2006 | 55 | |||||||||||||||||||||||||||||
5973 Avenida Encinas | Carlsbad | CA | — | 2,121 | 8,361 | 1,163 | 2,256 | 9,389 | 11,645 | 890 | 1986 | 2006 | 45 | |||||||||||||||||||||||||||||
2035 Corte Del Nogal | Carlsbad | CA | — | 3,261 | 6,077 | 1,164 | 3,499 | 7,003 | 10,502 | 729 | 1991 | 2006 | 39 | |||||||||||||||||||||||||||||
METROPOLITAN WASHINGTON, D.C. | ||||||||||||||||||||||||||||||||||||||||||
1676 International Drive | Mclean | VA | 63,259 | 18,437 | 97,538 | 1,013 | 18,785 | 98,203 | 116,988 | 4,590 | 1999 | 2006 | 55 | |||||||||||||||||||||||||||||
2340 Dulles Corner Boulevard | Herndon | VA | — | 16,345 | 65,379 | 14,950 | 16,467 | 80,206 | 96,674 | 3,652 | 1987 | 2006 | 40 | |||||||||||||||||||||||||||||
2291 Wood Oak Drive | Herndon | VA | — | 8,243 | 52,413 | 7,018 | 8,782 | 58,892 | 67,674 | 7,483 | 1999 | 2006 | 55 | |||||||||||||||||||||||||||||
7101 Wisconsin Avenue | Bethesda | MD | — | 9,634 | 48,402 | 3,542 | 9,816 | 51,762 | 61,577 | 3,287 | 1975 | 2006 | 45 | |||||||||||||||||||||||||||||
3130 Fairview Park Drive | Falls Church | VA | — | 6,576 | 51,605 | 1,539 | 6,700 | 53,020 | 59,720 | 2,656 | 1999 | 2006 | 53 | |||||||||||||||||||||||||||||
196/198 Van Buren Street | Herndon | VA | — | 7,931 | 43,812 | 6,887 | 8,348 | 50,282 | 58,630 | 3,713 | 1991 | 2006 | 53 | |||||||||||||||||||||||||||||
2251 Corporate Park Drive | Herndon | VA | — | 11,472 | 45,893 | 30 | 11,472 | 45,923 | 57,395 | 1,339 | 2000 | 2006 | 40 | |||||||||||||||||||||||||||||
1900 Gallows Road | Vienna | VA | — | 7,797 | 47,817 | 874 | 7,944 | 48,544 | 56,488 | 3,218 | 1989 | 2006 | 52 | |||||||||||||||||||||||||||||
2355 Dulles Corner Boulevard | Herndon | VA | — | 10,365 | 43,876 | 593 | 10,365 | 44,469 | 54,834 | 2,001 | 1988 | 2006 | 40 | |||||||||||||||||||||||||||||
2411 Dulles Corner Park | Herndon | VA | — | 7,279 | 46,340 | 586 | 7,417 | 46,789 | 54,205 | 3,188 | 1990 | 2006 | 50 | |||||||||||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | — | 5,918 | 40,981 | 656 | 6,050 | 41,506 | 47,556 | 2,243 | 1988 | 2006 | 51 | |||||||||||||||||||||||||||||
13880 Dulles Corner Lane | Herndon | VA | — | 7,236 | 39,213 | 395 | 7,373 | 39,470 | 46,843 | 2,337 | 1997 | 2006 | 55 | |||||||||||||||||||||||||||||
2121 Cooperative Way | Herndon | VA | — | 5,598 | 38,639 | 710 | 5,795 | 39,152 | 44,946 | 2,254 | 2000 | 2006 | 54 | |||||||||||||||||||||||||||||
6600 Rockledge Drive | Bethesda | MD | — | — | 37,421 | 6,303 | — | 43,725 | 43,725 | 1,654 | 1981 | 2006 | 50 | |||||||||||||||||||||||||||||
8260 Greensboro Drive | Mclean | VA | 34,063 | 7,952 | 33,964 | 645 | 8,102 | 34,459 | 42,561 | 2,150 | 1980 | 2006 | 52 | |||||||||||||||||||||||||||||
2201 Cooperative Way | Herndon | VA | — | 4,809 | 34,093 | 333 | 4,809 | 34,426 | 39,236 | 2,976 | 1990 | 2006 | 54 | |||||||||||||||||||||||||||||
2273 Research Boulevard | Rockville | MD | 15,285 | 5,167 | 31,110 | 2,890 | 5,237 | 33,929 | 39,166 | 2,140 | 1999 | 2006 | 45 | |||||||||||||||||||||||||||||
8521 Leesburg Pike | Vienna | VA | — | 4,316 | 30,885 | 668 | 4,397 | 31,472 | 35,869 | 2,052 | 1984 | 2006 | 51 | |||||||||||||||||||||||||||||
2275 Research Boulevard | Rockville | MD | 15,240 | 5,059 | 29,668 | 966 | 5,154 | 30,539 | 35,693 | 1,896 | 1990 | 2006 | 45 | |||||||||||||||||||||||||||||
1880 Campus Commons Drive | Reston | VA | — | 6,164 | 28,114 | 86 | 6,281 | 28,083 | 34,364 | 1,223 | 1985 | 2006 | 52 | |||||||||||||||||||||||||||||
2277 Research Boulevard | Rockville | MD | 14,181 | 4,649 | 26,952 | (251 | ) | 4,733 | 26,616 | 31,350 | 1,215 | 1986 | 2006 | 45 | ||||||||||||||||||||||||||||
7735 Old Georgetown Road | Bethesda | MD | — | 4,370 | 23,192 | (76 | ) | 4,453 | 23,034 | 27,487 | 1,372 | 1997 | 2006 | 45 | ||||||||||||||||||||||||||||
12015 Lee Jackson Memorial Highway | Fairfax | VA | — | 3,770 | 22,895 | 819 | 3,842 | 23,643 | 27,484 | 1,616 | 1985 | 2006 | 42 | |||||||||||||||||||||||||||||
11720 Beltsville Drive | Beltsville | MD | — | 3,831 | 16,661 | 4,891 | 3,904 | 21,479 | 25,382 | 1,434 | 1987 | 2006 | 46 | |||||||||||||||||||||||||||||
13825 Sunrise Valley Drive | Herndon | VA | — | 3,794 | 19,365 | 197 | 3,866 | 19,491 | 23,357 | 2,180 | 1989 | 2006 | 46 | |||||||||||||||||||||||||||||
11781 Lee Jackson Memorial Highway | Fairfax | VA | — | 3,246 | 19,836 | 176 | 3,307 | 19,951 | 23,259 | 1,532 | 1982 | 2006 | 40 | |||||||||||||||||||||||||||||
11700 Beltsville Drive | Beltsville | MD | — | 2,808 | 12,081 | 635 | 2,863 | 12,661 | 15,524 | 829 | 1981 | 2006 | 46 | |||||||||||||||||||||||||||||
4401 Fair Lakes Court | Fairfax | VA | — | 1,569 | 11,982 | (81 | ) | 1,599 | 11,872 | 13,471 | 599 | 1988 | 2006 | 52 | ||||||||||||||||||||||||||||
11710 Beltsville Drive | Beltsville | MD | — | 2,278 | 11,100 | (867 | ) | 2,321 | 10,190 | 12,511 | 651 | 1987 | 2006 | 46 | ||||||||||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | — | 733 | 4,939 | (32 | ) | 733 | 4,906 | 5,640 | 230 | 1988 | 2006 | 51 | ||||||||||||||||||||||||||||
3141 Fairview Park Drive | Falls Church | VA | — | 297 | 1,964 | 0 | 297 | 1,964 | 2,261 | 80 | 1988 | 2006 | 51 | |||||||||||||||||||||||||||||
11740 Beltsville Drive | Bethesda | MD | — | 198 | 870 | 18 | 202 | 884 | 1,086 | 23 | 1987 | 2006 | 46 | |||||||||||||||||||||||||||||
PENNSYLVANIA | ||||||||||||||||||||||||||||||||||||||||||
2929 Arch Street | Philadelphia | PA | — | — | 208,570 | 12,901 | — | 221,471 | 221,471 | 15,903 | 2005 | N/A | 40 | |||||||||||||||||||||||||||||
130 North 18th Street | Philadelphia | PA | — | 14,496 | 107,736 | 5,375 | 14,473 | 113,134 | 127,607 | 13,985 | 1998 | 2004 | 23 | |||||||||||||||||||||||||||||
100 North 18th Street | Philadelphia | PA | 71,564 | 16,066 | 100,255 | 4,676 | 16,066 | 104,931 | 120,997 | 12,388 | 1988 | 2004 | 33 | |||||||||||||||||||||||||||||
150 Radnor Chester Road | Radnor | PA | — | 11,925 | 36,986 | 9,248 | 11,897 | 46,262 | 58,159 | 6,204 | 1983 | 2004 | 29 | |||||||||||||||||||||||||||||
555 Lancaster Avenue | Radnor | PA | — | 8,014 | 16,508 | 25,073 | 8,609 | 40,985 | 49,595 | 3,720 | 1973 | 2004 | 24 | |||||||||||||||||||||||||||||
201 King of Prussia Road | Radnor | PA | — | 8,956 | 29,811 | 5,854 | 8,949 | 35,671 | 44,621 | 4,931 | 2001 | 2004 | 25 | |||||||||||||||||||||||||||||
401 Plymouth Road | Plymouth Meeting | PA | — | 6,198 | 16,131 | 15,998 | 6,199 | 32,129 | 38,327 | 6,028 | 2001 | 2000 | 40 | |||||||||||||||||||||||||||||
One Radnor Corporate Center | Radnor | PA | — | 7,323 | 28,613 | (43 | ) | 7,323 | 28,570 | 35,893 | 3,891 | 1998 | 2004 | 29 | ||||||||||||||||||||||||||||
Four Radnor Corporate Center | Radnor | PA | — | 5,406 | 21,390 | 7,731 | 5,705 | 28,822 | 34,527 | 3,895 | 1995 | 2004 | 30 | |||||||||||||||||||||||||||||
Five Radnor Corporate Center | Radnor | PA | — | 6,506 | 25,525 | 1,835 | 6,578 | 27,288 | 33,866 | 3,046 | 1998 | 2004 | 38 | |||||||||||||||||||||||||||||
101 West Elm Street | W. Conshohocken | PA | — | 6,251 | 25,209 | 1,192 | 6,251 | 26,401 | 32,652 | 1,781 | 1999 | 2005 | 40 | |||||||||||||||||||||||||||||
Three Radnor Corporate Center | Radnor | PA | — | 4,773 | 17,961 | 787 | 4,791 | 18,730 | 23,521 | 2,476 | 1998 | 2004 | 29 | |||||||||||||||||||||||||||||
400 Berwyn Park | Berwyn | PA | — | 2,657 | 4,462 | 15,922 | 2,657 | 20,384 | 23,041 | 4,524 | 1999 | 1999 | 40 | |||||||||||||||||||||||||||||
555 Croton Road | King of Prussia | PA | — | 4,486 | 17,943 | 478 | 4,486 | 18,422 | 22,907 | 3,351 | 1999 | 2001 | 40 | |||||||||||||||||||||||||||||
640 Freedom Business Center | King Of Prussia | PA | — | 4,222 | 16,891 | 1,644 | 4,222 | 18,535 | 22,757 | 5,963 | 1991 | 1998 | 40 | |||||||||||||||||||||||||||||
630 Allendale Road | King of Prussia | PA | — | 2,836 | 4,028 | 15,509 | 2,636 | 19,737 | 22,373 | 5,713 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||
101 Lindenwood Drive | Malvern | PA | — | 4,152 | 16,606 | 1,496 | 4,152 | 18,103 | 22,254 | 3,547 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||
52 Swedesford Square | East Whiteland Twp. | PA | — | 4,241 | 16,579 | 263 | 4,241 | 16,842 | 21,083 | 4,382 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
Two Radnor Corporate Center | Radnor | PA | — | 3,937 | 15,484 | 1,265 | 3,942 | 16,743 | 20,686 | 2,195 | 1998 | 2004 | 29 |
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Schedule III
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||
600 West Germantown Pike | Plymouth Meeting | PA | 11,441 | 3,652 | 15,288 | 1,470 | 3,652 | 16,758 | 20,410 | 2,698 | 1986 | 2002 | 40 | |||||||||||||||||||||||||||||
620 West Germantown Pike | Plymouth Meeting | PA | 11,212 | 3,572 | 14,435 | 1,938 | 3,572 | 16,373 | 19,945 | 3,103 | 1990 | 2002 | 40 | |||||||||||||||||||||||||||||
630 West Germantown Pike | Plymouth Meeting | PA | 11,060 | 3,558 | 14,743 | 1,383 | 3,558 | 16,125 | 19,684 | 2,700 | 1988 | 2002 | 40 | |||||||||||||||||||||||||||||
610 West Germantown Pike | Plymouth Meeting | PA | 11,083 | 3,651 | 14,514 | 1,488 | 3,651 | 16,001 | 19,653 | 2,639 | 1987 | 2002 | 40 | |||||||||||||||||||||||||||||
300 Berwyn Park | Berwyn | PA | 12,375 | 2,206 | 13,422 | 3,196 | 2,206 | 16,618 | 18,824 | 5,604 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||
200 Barr Harbour Drive | Conshohocken | PA | 14,472 | 2,827 | 15,525 | (148 | ) | 2,827 | 15,377 | 18,204 | 4,992 | 1999 | 2004 | 40 | ||||||||||||||||||||||||||||
1050 Westlakes Drive | Berwyn | PA | — | 2,611 | 10,445 | 5,001 | — | 18,057 | 18,057 | 2,841 | 1984 | 1999 | 40 | |||||||||||||||||||||||||||||
1 West Elm Street | W. Conshohocken | PA | — | 3,557 | 14,249 | — | 3,557 | 14,249 | 17,806 | 802 | 1999 | 2005 | 40 | |||||||||||||||||||||||||||||
181 Washington Street | Conshohocken | PA | 10,518 | 2,672 | 14,221 | 241 | 2,673 | 14,462 | 17,134 | 5,430 | 1998 | 2004 | 40 | |||||||||||||||||||||||||||||
620 Freedom Business Center | King Of Prussia | PA | — | 2,770 | 11,014 | 3,188 | 2,770 | 14,202 | 16,972 | 4,123 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
1000 First Avenue | King Of Prussia | PA | — | 2,772 | 10,936 | 2,272 | 2,772 | 13,208 | 15,980 | 3,311 | 1980 | 1998 | 40 | |||||||||||||||||||||||||||||
301 Lindenwood Drive | Malvern | PA | — | 2,729 | 10,915 | 2,301 | 2,729 | 13,216 | 15,945 | 2,644 | 1984 | 2001 | 40 | |||||||||||||||||||||||||||||
1060 First Avenue | King Of Prussia | PA | — | 2,712 | 10,953 | 1,890 | 2,712 | 12,843 | 15,555 | 3,383 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||
1020 First Avenue | King Of Prussia | PA | — | 2,168 | 8,576 | 4,755 | 2,168 | 13,331 | 15,499 | 2,690 | 1984 | 1998 | 40 | |||||||||||||||||||||||||||||
1040 First Avenue | King Of Prussia | PA | — | 2,860 | 11,282 | 1,041 | 2,860 | 12,323 | 15,183 | 3,488 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||
595 East Swedesford Road | Wayne | PA | — | 2,729 | 10,917 | 1,482 | 2,729 | 12,398 | 15,128 | 1,245 | 1998 | 2003 | 40 | |||||||||||||||||||||||||||||
630 Freedom Business Center | King Of Prussia | PA | — | 2,773 | 11,144 | 993 | 2,773 | 12,137 | 14,910 | 3,561 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||
100 Brandywine Boulevard | Newtown | PA | — | 1,784 | 9,811 | 3,007 | 1,784 | 12,818 | 14,602 | 2,541 | 2002 | 2000 | 40 | |||||||||||||||||||||||||||||
1200 Swedesford Road | Berwyn | PA | 4,427 | 2,595 | 11,809 | 1 | 2,595 | 11,809 | 14,405 | 324 | 1994 | 2001 | 40 | |||||||||||||||||||||||||||||
980 Harvest Drive | Blue Bell | PA | — | 2,079 | 7,821 | 4,235 | 2,079 | 12,056 | 14,135 | 2,133 | 1988 | 2002 | 40 | |||||||||||||||||||||||||||||
170 Radnor Chester Road | Radnor | PA | — | 2,514 | 8,147 | 3,446 | 2,509 | 11,598 | 14,107 | 1,106 | 1983 | 2004 | 25 | |||||||||||||||||||||||||||||
920 Harvest Drive | Blue Bell | PA | — | 2,433 | 9,738 | 1,573 | 2,433 | 11,312 | 13,744 | 3,225 | 1990 | 1998 | 40 | |||||||||||||||||||||||||||||
200 Berwyn Park | Berwyn | PA | 9,250 | 1,533 | 9,460 | 1,935 | 1,533 | 11,395 | 12,928 | 3,791 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||
1180 Swedesford Road | Berwyn | PA | — | 2,086 | 8,342 | 1,191 | 2,086 | 9,533 | 11,619 | 1,798 | 1987 | 2001 | 40 | |||||||||||||||||||||||||||||
575 East Swedesford Road | Wayne | PA | — | 2,178 | 8,712 | 456 | 2,178 | 9,168 | 11,346 | 1,060 | 1985 | 2003 | 40 | |||||||||||||||||||||||||||||
130 Radnor Chester Road | Radnor | PA | — | 2,573 | 8,338 | 163 | 2,567 | 8,506 | 11,074 | 846 | 1983 | 2004 | 25 | |||||||||||||||||||||||||||||
610 Freedom Business Center | King Of Prussia | PA | — | 2,017 | 8,070 | 542 | 2,017 | 8,612 | 10,629 | 2,529 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||
565 East Swedesford Road | Wayne | PA | — | 1,872 | 7,489 | 868 | 1,872 | 8,357 | 10,229 | 1,072 | 1984 | 2003 | 40 | |||||||||||||||||||||||||||||
1160 Swedesford Road | Berwyn | PA | — | 1,781 | 7,124 | 1,269 | 1,781 | 8,394 | 10,174 | 1,604 | 1986 | 2001 | 40 | |||||||||||||||||||||||||||||
100 Berwyn Park | Berwyn | PA | 6,765 | 1,180 | 7,290 | 1,557 | 1,180 | 8,847 | 10,027 | 3,102 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||
925 Harvest Drive | Blue Bell | PA | — | 1,671 | 6,606 | 1,114 | 1,671 | 7,720 | 9,391 | 2,189 | 1990 | 1998 | 40 | |||||||||||||||||||||||||||||
14 Campus Boulevard | Newtown Square | PA | 5,026 | 2,244 | 4,217 | 2,694 | 2,244 | 6,911 | 9,155 | 914 | 1998 | 1998 | 40 | |||||||||||||||||||||||||||||
426 Lancaster Avenue | Devon | PA | — | 1,689 | 6,756 | 369 | 1,689 | 7,126 | 8,814 | 2,108 | 1990 | 1998 | 40 | |||||||||||||||||||||||||||||
650 Park Avenue | King Of Prussia | PA | — | 1,916 | 4,378 | 2,502 | 1,916 | 6,880 | 8,796 | 2,215 | 1968 | 1998 | 40 | |||||||||||||||||||||||||||||
1100 Cassett Road | Berwyn | PA | — | 1,695 | 6,779 | (0 | ) | 1,695 | 6,779 | 8,474 | 1,144 | 1997 | 2001 | 40 | ||||||||||||||||||||||||||||
500 North Gulph Road | King Of Prussia | PA | — | 1,303 | 5,201 | 1,386 | 1,303 | 6,587 | 7,890 | 2,393 | 1979 | 1996 | 40 | |||||||||||||||||||||||||||||
855 Springdale Drive | Exton | PA | — | 838 | 3,370 | 3,501 | 838 | 6,870 | 7,709 | 1,423 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||
2930 Chestnut Street | Philadelphia | PA | — | — | 7,688 | 0 | — | 7,688 | 7,688 | 96 | #N/A | 2007 | 40 | |||||||||||||||||||||||||||||
2240/2250 Butler Pike | Plymouth Meeting | PA | — | 1,104 | 4,627 | 1,558 | 1,104 | 6,185 | 7,289 | 2,235 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||
One Progress Drive | Horsham | PA | — | 1,399 | 5,629 | 230 | 1,399 | 5,859 | 7,258 | 2,075 | 1986 | 1996 | 40 | |||||||||||||||||||||||||||||
412 Creamery Way | Exton | PA | — | 1,195 | 4,779 | 911 | 1,195 | 5,690 | 6,885 | 1,279 | 1999 | 2001 | 40 | |||||||||||||||||||||||||||||
429 Creamery Way | Exton | PA | — | 1,368 | 5,471 | 19 | 1,368 | 5,490 | 6,858 | 934 | 1996 | 2001 | 40 | |||||||||||||||||||||||||||||
585 East Swedesford Road | Wayne | PA | — | 1,350 | 5,401 | 32 | 1,350 | 5,433 | 6,783 | 569 | 1998 | 2003 | 40 | |||||||||||||||||||||||||||||
741 First Avenue | King Of Prussia | PA | — | 1,287 | 5,151 | 219 | 1,287 | 5,369 | 6,657 | 1,661 | 1966 | 1998 | 40 | |||||||||||||||||||||||||||||
875 First Avenue | King Of Prussia | PA | — | 618 | 2,473 | 3,257 | 618 | 5,729 | 6,348 | 1,661 | 1966 | 1998 | 40 | |||||||||||||||||||||||||||||
17 Campus Boulevard | Newtown Square | PA | 4,914 | 1,108 | 5,155 | 46 | 1,108 | 5,201 | 6,309 | 1,597 | 2001 | 1997 | 40 | |||||||||||||||||||||||||||||
440 Creamery Way | Exton | PA | — | 982 | 3,927 | 1,313 | 982 | 5,240 | 6,222 | 875 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||
479 Thomas Jones Way | Exton | PA | — | 1,075 | 4,299 | 679 | 1,075 | 4,979 | 6,053 | 1,096 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||
11 Campus Boulevard | Newtown Square | PA | 4,498 | 1,112 | 4,067 | 825 | 1,112 | 4,892 | 6,004 | 1,104 | 1998 | 1999 | 40 | |||||||||||||||||||||||||||||
620 Allendale Road | King Of Prussia | PA | — | 1,020 | 3,839 | 989 | 1,020 | 4,828 | 5,848 | 2,009 | 1961 | 1998 | 40 | |||||||||||||||||||||||||||||
500 Enterprise Drive | Horsham | PA | — | 1,303 | 5,188 | (659 | ) | 1,303 | 4,529 | 5,832 | 1,545 | 1990 | 1996 | 40 | ||||||||||||||||||||||||||||
15 Campus Boulevard | Newtown Square | PA | 5,622 | 1,164 | 3,896 | 672 | 1,164 | 4,568 | 5,732 | 769 | 2002 | 2000 | 40 | |||||||||||||||||||||||||||||
300 Lindenwood Drive | Malvern | PA | — | 848 | 3,394 | 1,316 | 849 | 4,710 | 5,558 | 652 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||
436 Creamery Way | Exton | PA | — | 994 | 3,978 | 583 | 994 | 4,560 | 5,555 | 789 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||
751-761 Fifth Avenue | King Of Prussia | PA | — | 1,097 | 4,391 | 31 | 1,097 | 4,422 | 5,519 | 1,298 | 1967 | 1998 | 40 | |||||||||||||||||||||||||||||
467 Creamery Way | Exton | PA | — | 906 | 3,623 | 882 | 906 | 4,505 | 5,411 | 826 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||
Philadelphia Marine Center | Philadelphia | PA | — | 532 | 2,196 | 2,680 | 628 | 4,780 | 5,408 | 755 | Various | 1998 | 40 | |||||||||||||||||||||||||||||
600 Park Avenue | King Of Prussia | PA | — | 1,012 | 4,048 | 336 | 1,012 | 4,384 | 5,396 | 1,203 | 1964 | 1998 | 40 | |||||||||||||||||||||||||||||
100 Arrandale Boulevard | Exton | PA | — | 970 | 3,878 | 274 | 970 | 4,152 | 5,122 | 691 | 1997 | 2001 | 40 | |||||||||||||||||||||||||||||
442 Creamery Way | Exton | PA | — | 894 | 3,576 | 391 | 894 | 3,967 | 4,861 | 835 | 1991 | 2001 | 40 | |||||||||||||||||||||||||||||
1700 Paoli Pike | Malvern | PA | — | 458 | 559 | 3,746 | 488 | 4,275 | 4,763 | 1,063 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||
18 Campus Boulevard | Newtown Square | PA | 3,168 | 787 | 3,312 | 571 | 787 | 3,883 | 4,670 | 1,354 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||
2260 Butler Pike | Plymouth Meeting | PA | — | 661 | 2,727 | 1,092 | 662 | 3,818 | 4,480 | 1,262 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||
120 West Germantown Pike | Plymouth Meeting | PA | — | 685 | 2,773 | 887 | 685 | 3,661 | 4,345 | 1,552 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||
486 Thomas Jones Way | Exton | PA | — | 806 | 3,256 | 194 | 806 | 3,450 | 4,256 | 1,306 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||
457 Creamery Way | Exton | PA | — | 777 | 3,107 | 306 | 777 | 3,413 | 4,190 | 679 | 1990 | 2001 | 40 | |||||||||||||||||||||||||||||
680 Allendale Road | King Of Prussia | PA | — | 689 | 2,756 | 678 | 689 | 3,434 | 4,123 | 1,267 | 1962 | 1998 | 40 | |||||||||||||||||||||||||||||
7130 Ambassador Drive | Allentown | PA | — | 761 | 3,046 | 160 | 761 | 3,206 | 3,967 | 780 | 1991 | 1999 | 40 | |||||||||||||||||||||||||||||
1336 Enterprise Drive | West Goshen | PA | — | 731 | 2,946 | 51 | 731 | 2,997 | 3,728 | 995 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||
456 Creamery Way | Exton | PA | — | 635 | 2,548 | (48 | ) | 635 | 2,500 | 3,135 | 885 | 1987 | 1996 | 40 | ||||||||||||||||||||||||||||
140 West Germantown Pike | Plymouth Meeting | PA | — | 481 | 1,976 | 475 | 482 | 2,450 | 2,932 | 994 | 1984 | 1996 | 40 | |||||||||||||||||||||||||||||
468 Thomas Jones Way | Exton | PA | — | 526 | 2,112 | 163 | 527 | 2,274 | 2,801 | 843 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||
100 Lindenwood Drive | Malvern | PA | — | 473 | 1,892 | 376 | 473 | 2,268 | 2,741 | 622 | 1985 | 2001 | 40 |
F - 93
Table of Contents
Schedule III
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||
630 Clark Avenue | King Of Prussia | PA | — | 547 | 2,190 | 0 | 547 | 2,190 | 2,737 | 643 | 1960 | 1998 | 40 | |||||||||||||||||||||||||||||
481 John Young Way | Exton | PA | — | 496 | 1,983 | 0 | 496 | 1,984 | 2,479 | 335 | 1997 | 2001 | 40 | |||||||||||||||||||||||||||||
640 Allendale Road | King of Prussia | PA | — | 439 | 432 | 1,480 | 439 | 1,912 | 2,351 | 327 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||
660 Allendale Road | King of Prussia | PA | — | 396 | 3,343 | (1,637 | ) | 396 | 1,706 | 2,102 | 745 | 1962 | 1998 | 40 | ||||||||||||||||||||||||||||
200 Lindenwood Drive | Malvern | PA | — | 324 | 1,295 | 242 | 324 | 1,537 | 1,861 | 382 | 1984 | 2001 | 40 | |||||||||||||||||||||||||||||
351 Plymouth Road | Plymouth Meeting | PA | — | 1,043 | 555 | — | 1,043 | 555 | 1,598 | 38 | N/A | 2000 | 40 | |||||||||||||||||||||||||||||
748 Springdale Drive | Exton | PA | — | 236 | 931 | 275 | 236 | 1,206 | 1,442 | 387 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||
111 Arrandale Road | Exton | PA | — | 262 | 1,048 | 125 | 262 | 1,173 | 1,435 | 198 | 1996 | 2001 | 40 | |||||||||||||||||||||||||||||
922 Swedesford Road | Berwyn | PA | — | 218 | — | — | 218 | — | 218 | — | N/A | N/A | 40 | |||||||||||||||||||||||||||||
NEW JERSEY/DELAWARE | ||||||||||||||||||||||||||||||||||||||||||
50 East State Street | Trenton | NJ | — | 8,926 | 35,735 | 1,987 | 8,926 | 37,723 | 46,648 | 10,866 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||
33 West State Street | Trenton | NJ | — | 6,016 | 24,091 | 27 | 6,016 | 24,119 | 30,134 | 7,019 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
920 North King Street | Wilmington | DE | — | 6,141 | 21,140 | 438 | 6,141 | 21,578 | 27,719 | 2,834 | 1989 | 2004 | 30 | |||||||||||||||||||||||||||||
1009 Lenox Drive | Lawrenceville | NJ | — | 4,876 | 19,284 | 3,326 | 5,057 | 22,430 | 27,486 | 7,222 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||
525 Lincoln Drive West | Marlton | NJ | — | 3,727 | 17,620 | 2,647 | 3,727 | 20,267 | 23,994 | 3,513 | 1986 | 2004 | 40 | |||||||||||||||||||||||||||||
300 Delaware Avenue | Wilmington | DE | — | 6,368 | 13,739 | 1,513 | 6,369 | 15,251 | 21,620 | 2,404 | 1989 | 2004 | 23 | |||||||||||||||||||||||||||||
989 Lenox Drive | Lawrenceville | NJ | — | 3,701 | 14,802 | 1,390 | 3,812 | 16,081 | 19,893 | 1,744 | 1984 | 2003 | 40 | |||||||||||||||||||||||||||||
700 East Gate Drive | Mt. Laurel | NJ | — | 3,569 | 14,436 | 1,565 | 3,569 | 16,001 | 19,570 | 4,513 | 1984 | 1998 | 40 | |||||||||||||||||||||||||||||
10000 Midlantic Drive | Mt. Laurel | NJ | — | 3,206 | 12,857 | 2,442 | 3,206 | 15,298 | 18,505 | 4,879 | 1990 | 1997 | 40 | |||||||||||||||||||||||||||||
Main Street — Plaza 1000 | Voorhees | NJ | — | 2,732 | 10,942 | 4,274 | 2,732 | 15,216 | 17,948 | 5,626 | 1988 | 1997 | 40 | |||||||||||||||||||||||||||||
2000 Lenox Drive | Lawrenceville | NJ | 13,236 | 2,291 | 12,221 | 3,155 | 2,648 | 15,019 | 17,667 | 5,115 | 2000 | 2000 | 40 | |||||||||||||||||||||||||||||
One Righter Parkway | Wilmington | DE | 9,853 | 2,545 | 10,195 | 4,820 | 2,545 | 15,015 | 17,560 | 4,415 | 1989 | 1996 | 40 | |||||||||||||||||||||||||||||
993 Lenox Drive | Lawrenceville | NJ | 11,379 | 2,811 | 17,996 | (5,155 | ) | 2,922 | 12,729 | 15,652 | 4,067 | 1985 | 1998 | 40 | ||||||||||||||||||||||||||||
15000 Midlantic Drive | Mt. Laurel | NJ | — | 3,061 | 12,254 | 170 | 3,061 | 12,424 | 15,485 | 4,008 | 1991 | 1997 | 40 | |||||||||||||||||||||||||||||
100 Brandywine Boulevard | Newtown | PA | — | 1,784 | 9,811 | 3,007 | 1,784 | 12,818 | 14,602 | 2,541 | 2002 | 2000 | 40 | |||||||||||||||||||||||||||||
1400 Howard Boulevard | Mt. Laurel | NJ | — | 443 | — | 13,014 | 1,447 | 12,009 | 13,457 | 375 | 2005 | 2000 | 40 | |||||||||||||||||||||||||||||
997 Lenox Drive | Lawrenceville | NJ | 9,277 | 2,410 | 9,700 | 1,191 | 2,507 | 10,794 | 13,301 | 3,101 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||
1000 Howard Boulevard | Mt. Laurel | NJ | — | 2,297 | 9,288 | 1,316 | 2,297 | 10,604 | 12,901 | 3,778 | 1988 | 1997 | 40 | |||||||||||||||||||||||||||||
1120 Executive Boulevard | Marlton | NJ | — | 2,074 | 8,415 | 2,238 | 2,074 | 10,652 | 12,727 | 3,423 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||
220 Lake Drive East | Cherry Hill | NJ | — | 2,144 | 8,798 | 1,063 | 2,144 | 9,862 | 12,005 | 1,865 | 1988 | 2001 | 40 | |||||||||||||||||||||||||||||
400 Commerce Drive | Newark | DE | 11,575 | 2,528 | 9,220 | 86 | 2,528 | 9,306 | 11,834 | 1,699 | 1997 | 2002 | 40 | |||||||||||||||||||||||||||||
457 Haddonfield Road | Cherry Hill | NJ | 10,505 | 2,142 | 9,120 | 391 | 2,142 | 9,511 | 11,653 | 3,538 | 1990 | 1996 | 40 | |||||||||||||||||||||||||||||
2000 Midlantic Drive | Mt. Laurel | NJ | 8,959 | 2,202 | 8,823 | 528 | 2,203 | 9,351 | 11,553 | 3,213 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||
1000 Atrium Way | Mt. Laurel | NJ | — | 2,061 | 8,180 | 1,143 | 2,061 | 9,323 | 11,384 | 2,956 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||
200 Lake Drive East | Cherry Hill | NJ | — | 2,069 | 8,275 | 894 | 2,069 | 9,169 | 11,238 | 1,781 | 1989 | 2001 | 40 | |||||||||||||||||||||||||||||
10 Lake Center Drive | Marlton | NJ | — | 1,880 | 7,521 | 1,515 | 1,880 | 9,035 | 10,916 | 1,730 | 1989 | 2001 | 40 | |||||||||||||||||||||||||||||
701 East Gate Drive | Mt. Laurel | NJ | — | 1,736 | 6,877 | 828 | 1,736 | 7,705 | 9,441 | 2,457 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
Two Righter Parkway | Wilmington | DE | — | 2,802 | 11,217 | (4,688 | ) | 2,802 | 6,529 | 9,331 | 41 | 1987 | 2001 | 40 | ||||||||||||||||||||||||||||
210 Lake Drive East | Cherry Hill | NJ | — | 1,645 | 6,579 | 827 | 1,645 | 7,407 | 9,051 | 1,405 | 1986 | 2001 | 40 | |||||||||||||||||||||||||||||
309 Fellowship Drive | Mt. Laurel | NJ | — | 1,518 | 6,154 | 1,205 | 1,518 | 7,359 | 8,877 | 2,545 | 1982 | 1998 | 40 | |||||||||||||||||||||||||||||
308 Harper Drive | Moorestown | NJ | — | 1,643 | 6,663 | 497 | 1,644 | 7,159 | 8,803 | 2,223 | 1976 | 1998 | 40 | |||||||||||||||||||||||||||||
305 Fellowship Drive | Mt. Laurel | NJ | — | 1,421 | 5,768 | 1,262 | 1,421 | 7,030 | 8,451 | 1,897 | 1980 | 1998 | 40 | |||||||||||||||||||||||||||||
307 Fellowship Drive | Mt. Laurel | NJ | — | 1,565 | 6,342 | 481 | 1,565 | 6,824 | 8,388 | 1,878 | 1981 | 1998 | 40 | |||||||||||||||||||||||||||||
303 Fellowship Drive | Mt. Laurel | NJ | — | 1,493 | 6,055 | 617 | 1,494 | 6,671 | 8,165 | 1,904 | 1979 | 1998 | 40 | |||||||||||||||||||||||||||||
1000 Lenox Drive | Lawrenceville | NJ | — | 1,174 | 4,696 | 2,163 | 1,226 | 6,806 | 8,033 | 1,390 | 1982 | 2002 | 40 | |||||||||||||||||||||||||||||
1000 Bishops Gate | Mt. Laurel | NJ | — | 934 | 6,287 | — | 953 | 6,812 | 7,764 | 927 | 2005 | 2000 | 40 | |||||||||||||||||||||||||||||
9000 Midlantic Drive | Mt. Laurel | NJ | 5,662 | 1,472 | 5,895 | 109 | 1,472 | 6,005 | 7,476 | 1,952 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||
6 East Clementon Road | Gibbsboro | NJ | — | 1,345 | 5,366 | 457 | 1,345 | 5,823 | 7,168 | 1,826 | 1980 | 1997 | 40 | |||||||||||||||||||||||||||||
100 Commerce Drive | Newark | DE | — | 1,160 | 4,633 | 1,156 | 1,160 | 5,789 | 6,949 | 1,970 | 1989 | 1997 | 40 | |||||||||||||||||||||||||||||
Three Greentree Centre | Marlton | NJ | — | 323 | 6,024 | 558 | 324 | 6,582 | 6,905 | 4,473 | 1984 | 1986 | 40 | |||||||||||||||||||||||||||||
200 Commerce Drive | Newark | DE | 5,765 | 911 | 4,414 | 1,018 | 911 | 5,432 | 6,343 | 1,004 | 1998 | 2002 | 40 | |||||||||||||||||||||||||||||
30 Lake Center Drive | Marlton | NJ | — | 1,043 | 4,171 | 932 | 1,043 | 5,104 | 6,146 | 865 | 1986 | 2001 | 40 | |||||||||||||||||||||||||||||
161 Gaither Drive | Mount Laurel | NJ | — | 1,016 | 4,064 | 585 | 1,016 | 4,649 | 5,665 | 817 | 1987 | 2001 | 40 | |||||||||||||||||||||||||||||
Two Greentree Centre | Marlton | NJ | — | 264 | 4,693 | 600 | 264 | 5,293 | 5,557 | 3,522 | 1983 | 1986 | 40 | |||||||||||||||||||||||||||||
One Greentree Centre | Marlton | NJ | — | 345 | 4,440 | 613 | 345 | 5,054 | 5,398 | 3,015 | 1982 | 1986 | 40 | |||||||||||||||||||||||||||||
Two Eves Drive | Marlton | NJ | — | 818 | 3,461 | 56 | 818 | 3,517 | 4,335 | 1,201 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||
Five Eves Drive | Marlton | NJ | — | 703 | 2,819 | 771 | 703 | 3,590 | 4,293 | 1,269 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||
4000 Midlantic Drive | Mt. Laurel | NJ | 2,911 | 714 | 5,085 | (1,524 | ) | 714 | 3,561 | 4,275 | 1,079 | 1998 | 1997 | 40 | ||||||||||||||||||||||||||||
20 East Clementon Road | Gibbsboro | NJ | — | 769 | 3,055 | 437 | 769 | 3,492 | 4,261 | 1,195 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||
8000 Lincoln Drive | Marlton | NJ | — | 606 | 2,887 | 659 | 606 | 3,545 | 4,152 | 1,405 | 1997 | 1996 | 40 | |||||||||||||||||||||||||||||
304 Harper Drive | Moorestown | NJ | — | 657 | 2,674 | 448 | 657 | 3,122 | 3,779 | 910 | 1975 | 1998 | 40 | |||||||||||||||||||||||||||||
Main Street — Piazza | Voorhees | NJ | — | 696 | 2,802 | 225 | 696 | 3,027 | 3,723 | 1,047 | 1990 | 1997 | 40 | |||||||||||||||||||||||||||||
815 East Gate Drive | Mt. Laurel | NJ | — | 636 | 2,584 | 307 | 636 | 2,891 | 3,527 | 796 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
Four B Eves Drive | Marlton | NJ | — | 588 | 2,369 | 381 | 588 | 2,749 | 3,338 | 921 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||
817 East Gate Drive | Mt. Laurel | NJ | — | 611 | 2,426 | 152 | 611 | 2,578 | 3,189 | 697 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
Four A Eves Drive | Marlton | NJ | — | 539 | 2,168 | 243 | 539 | 2,411 | 2,950 | 855 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||
Main Street — Promenade | Voorhees | NJ | — | 531 | 2,052 | 151 | 532 | 2,203 | 2,734 | 759 | 1988 | 1997 | 40 | |||||||||||||||||||||||||||||
10 Foster Avenue | Gibbsboro | NJ | — | 244 | 971 | 225 | 244 | 1,196 | 1,440 | 394 | 1983 | 1997 | 40 | |||||||||||||||||||||||||||||
7 Foster Avenue | Gibbsboro | NJ | — | 231 | 921 | 121 | 231 | 1,041 | 1,273 | 332 | 1983 | 1997 | 40 | |||||||||||||||||||||||||||||
305 Harper Drive | Moorestown | NJ | — | 223 | 913 | 0 | 223 | 913 | 1,136 | 248 | 1979 | 1998 | 40 | |||||||||||||||||||||||||||||
50 East Clementon Road | Gibbsboro | NJ | — | 114 | 964 | 3 | 114 | 967 | 1,081 | 293 | 1986 | 1997 | 40 | |||||||||||||||||||||||||||||
4 Foster Avenue | Gibbsboro | NJ | — | 183 | 726 | 84 | 183 | 811 | 993 | 279 | 1974 | 1997 | 40 |
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Schedule III
Gross Amount at Which Carried | ||||||||||||||||||||||||||||||||||||||||||
Initial Cost | December 31, 2007 | |||||||||||||||||||||||||||||||||||||||||
Net | ||||||||||||||||||||||||||||||||||||||||||
Improvements | Accumulated | |||||||||||||||||||||||||||||||||||||||||
(Retirements) | Depreciation at | |||||||||||||||||||||||||||||||||||||||||
Encumberances at | Building and | Since | Building and | December 31, | Year of | Year | Depreciable | |||||||||||||||||||||||||||||||||||
City | State | December 31, 2007 | Land | Improvements | Acquisition | Land | Improvements | Total (a) | 2007 (b) | Construction | Acquired | Life | ||||||||||||||||||||||||||||||
2 Foster Avenue | Gibbsboro | NJ | — | 185 | 730 | 42 | 185 | 772 | 957 | 246 | 1974 | 1997 | 40 | |||||||||||||||||||||||||||||
1 Foster Avenue | Gibbsboro | NJ | — | 93 | 364 | 63 | 93 | 428 | 520 | 129 | 1972 | 1997 | 40 | |||||||||||||||||||||||||||||
5 U.S. Avenue | Gibbsboro | NJ | — | 21 | 81 | 3 | 21 | 84 | 105 | 25 | 1987 | 1997 | 40 | |||||||||||||||||||||||||||||
5 Foster Avenue | Gibbsboro | NJ | — | 9 | 32 | 26 | 9 | 58 | 67 | 16 | 1968 | 1997 | 40 | |||||||||||||||||||||||||||||
SOUTHWEST | ||||||||||||||||||||||||||||||||||||||||||
1250 Capital of Texas Hwy South | Austin | TX | — | 5,152 | 37,928 | 3,512 | 5,250 | 41,343 | 46,593 | 3,024 | 1984 | 2006 | 52 | |||||||||||||||||||||||||||||
1301 Mopac Expressway | Austin | TX | — | 4,188 | 41,229 | 481 | 4,250 | 41,648 | 45,898 | 2,165 | 2001 | 2006 | 55 | |||||||||||||||||||||||||||||
1601 Mopac Expressway | Austin | TX | — | 3,538 | 34,346 | 2,267 | 3,605 | 36,547 | 40,151 | 2,524 | 2000 | 2006 | 54 | |||||||||||||||||||||||||||||
1501 South Mopac Expressway | Austin | TX | — | 3,698 | 34,912 | 1,150 | 3,768 | 35,992 | 39,759 | 3,433 | 1999 | 2006 | 53 | |||||||||||||||||||||||||||||
1221 Mopac Expressway | Austin | TX | — | 3,290 | 31,548 | 652 | 3,369 | 32,120 | 35,489 | 1,926 | 2001 | 2006 | 55 | |||||||||||||||||||||||||||||
1177 East Beltline Road | Coppell | TX | 20,112 | 1,516 | 14,895 | 8 | 1,517 | 14,903 | 16,420 | 1,246 | 1998 | 2006 | 42 | |||||||||||||||||||||||||||||
1801 Mopac Expressway | Austin | TX | — | 1,227 | 10,959 | 460 | 1,250 | 11,395 | 12,646 | 553 | 1999 | 2006 | 53 | |||||||||||||||||||||||||||||
RICHMOND | ||||||||||||||||||||||||||||||||||||||||||
600 East Main Street | Richmond | VA | — | 9,808 | 38,255 | 5,632 | 9,808 | 43,887 | 53,695 | 13,231 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
300 Arboretum Place | Richmond | VA | 13,513 | 5,450 | 21,892 | 1,864 | 5,450 | 23,757 | 29,206 | 7,061 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
7501 Boulders View Drive | Richmond | VA | — | 4,925 | 19,699 | 257 | 5,181 | 19,700 | 24,881 | 206 | 1990 | 2007 | 40 | |||||||||||||||||||||||||||||
7300 Beaufont Springs Drive | Richmond | VA | — | 4,922 | 19,689 | 251 | 5,172 | 19,690 | 24,862 | 205 | 2000 | 2007 | 40 | |||||||||||||||||||||||||||||
6800 Paragon Place | Richmond | VA | — | 4,552 | 18,414 | 236 | 4,552 | 18,650 | 23,202 | 626 | 1986 | 2006 | 40 | |||||||||||||||||||||||||||||
6802 Paragon Place | Richmond | VA | — | 2,917 | 11,454 | 2,530 | 2,917 | 13,984 | 16,901 | 2,665 | 1989 | 2002 | 40 | |||||||||||||||||||||||||||||
1025 Boulders Parkway | Richmond | VA | — | 2,824 | 11,297 | 251 | 3,074 | 11,298 | 14,372 | 118 | 1994 | 2007 | 40 | |||||||||||||||||||||||||||||
2100-2116 West Laburnam Avenue | Richmond | VA | — | 2,482 | 8,846 | 2,278 | 2,482 | 11,124 | 13,606 | 3,064 | 1976 | 1998 | 40 | |||||||||||||||||||||||||||||
7401 Beaufont Springs Drive | Richmond | VA | — | 2,599 | 10,396 | 251 | 2,849 | 10,397 | 13,246 | 108 | 1998 | 2007 | 40 | |||||||||||||||||||||||||||||
7325 Beaufont Springs Drive | Richmond | VA | — | 2,594 | 10,377 | 251 | 2,844 | 10,378 | 13,222 | 108 | 1999 | 2007 | 40 | |||||||||||||||||||||||||||||
9011 Arboretum Parkway | Richmond | VA | — | 1,857 | 7,702 | 892 | 1,857 | 8,594 | 10,451 | 2,228 | 1991 | 1998 | 40 | |||||||||||||||||||||||||||||
6806 Paragon Place | Richmond | VA | — | — | 10,288 | 0 | — | 10,288 | 10,288 | 415 | 2007 | 2005 | 40 | |||||||||||||||||||||||||||||
4805 Lake Brooke Drive | Glen Allen | VA | — | 1,640 | 6,567 | 1,312 | 1,640 | 7,879 | 9,519 | 2,023 | 1996 | 1998 | 40 | |||||||||||||||||||||||||||||
4364 South Alston Avenue | Durham | NC | — | 1,622 | 6,419 | 910 | 1,581 | 7,370 | 8,951 | 2,182 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||
2511 Brittons Hill Road | Richmond | VA | — | 1,202 | 4,820 | 1,863 | 1,202 | 6,683 | 7,885 | 1,762 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||
9100 Arboretum Parkway | Richmond | VA | 3,425 | 1,362 | 5,489 | 834 | 1,362 | 6,323 | 7,685 | 1,665 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
2812 Emerywood Parkway | Henrico | VA | — | 1,069 | 4,281 | 1,902 | 1,069 | 6,183 | 7,252 | 2,302 | 1980 | 1998 | 40 | |||||||||||||||||||||||||||||
9210 Arboretum Parkway | Richmond | VA | 2,840 | 1,110 | 4,474 | 581 | 1,110 | 5,055 | 6,165 | 1,551 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
100 Gateway Centre Parkway | Richmond | VA | — | 391 | 5,410 | 123 | 391 | 5,533 | 5,924 | 812 | 2001 | 1998 | 40 | |||||||||||||||||||||||||||||
1957 Westmoreland Street | Richmond | VA | — | 1,061 | 4,241 | 234 | 1,061 | 4,475 | 5,536 | 1,276 | 1975 | 1998 | 40 | |||||||||||||||||||||||||||||
2201-2245 Tomlynn Street | Richmond | VA | — | 1,020 | 4,067 | 391 | 1,020 | 4,458 | 5,478 | 1,255 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||
9200 Arboretum Parkway | Richmond | VA | 2,447 | 985 | 3,973 | 142 | 985 | 4,115 | 5,100 | 1,148 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
9211 Arboretum Parkway | Richmond | VA | — | 582 | 2,433 | 243 | 582 | 2,677 | 3,258 | 758 | 1991 | 1998 | 40 | |||||||||||||||||||||||||||||
2248 Dabney Road | Richmond | VA | — | 512 | 2,049 | 304 | 512 | 2,354 | 2,865 | 684 | 1989 | 1998 | 40 | |||||||||||||||||||||||||||||
2221-2245 Dabney Road | Richmond | VA | — | 530 | 2,123 | 176 | 530 | 2,299 | 2,829 | 659 | 1994 | 1998 | 40 | |||||||||||||||||||||||||||||
2244 Dabney Road | Richmond | VA | — | 550 | 2,203 | 37 | 550 | 2,240 | 2,790 | 617 | 1993 | 1998 | 40 | |||||||||||||||||||||||||||||
2212-2224 Tomlynn Street | Richmond | VA | — | 502 | 2,014 | 157 | 502 | 2,171 | 2,673 | 595 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||
2277 Dabney Road | Richmond | VA | — | 507 | 2,034 | 15 | 507 | 2,049 | 2,556 | 563 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
2161-2179 Tomlynn Street | Richmond | VA | — | 423 | 1,695 | 269 | 423 | 1,964 | 2,387 | 559 | 1985 | 1998 | 40 | |||||||||||||||||||||||||||||
2246 Dabney Road | Richmond | VA | — | 455 | 1,822 | 18 | 455 | 1,840 | 2,295 | 504 | 1987 | 1998 | 40 | |||||||||||||||||||||||||||||
2130-2146 Tomlynn Street | Richmond | VA | — | 353 | 1,416 | 288 | 353 | 1,704 | 2,057 | 571 | 1988 | 1998 | 40 | |||||||||||||||||||||||||||||
2256 Dabney Road | Richmond | VA | — | 356 | 1,427 | 271 | 356 | 1,698 | 2,054 | 469 | 1982 | 1998 | 40 | |||||||||||||||||||||||||||||
2251 Dabney Road | Richmond | VA | — | 387 | 1,552 | 111 | 387 | 1,662 | 2,050 | 503 | 1983 | 1998 | 40 | |||||||||||||||||||||||||||||
2120 Tomlynn Street | Richmond | VA | — | 281 | 1,125 | 251 | 281 | 1,377 | 1,657 | 417 | 1986 | 1998 | 40 | |||||||||||||||||||||||||||||
2240 Dabney Road | Richmond | VA | — | 264 | 1,059 | 10 | 264 | 1,069 | 1,334 | 293 | 1984 | 1998 | 40 | |||||||||||||||||||||||||||||
Total: | $ | 611,898 | $ | 720,198 | $ | 3,705,120 | $ | 387,701 | $ | 727,979 | $ | 4,085,584 | $ | 4,813,563 | $ | 558,908 | ||||||||||||||||||||||||||
F - 95
Table of Contents
(a) | Reconciliation of Real Estate: | |
The following table reconciles the real estate investments from January 1, 2005 to December 31, 2007 (in thousands): |
2007 | 2006 | 2005 | ||||||||||
Balance at beginning of year | $ | 4,927,305 | $ | 2,560,061 | $ | 2,483,134 | ||||||
Additions: | ||||||||||||
Acquisitions | 158,399 | 2,370,241 | 71,783 | |||||||||
Capital expenditures | 179,691 | 334,238 | 47,732 | |||||||||
Less: | ||||||||||||
Dispositions | (451,832 | ) | (229,824 | ) | (42,588 | ) | ||||||
Assets transferred to held-for-sale | — | (107,411 | ) | — | ||||||||
Balance at end of year | $ | 4,813,563 | $ | 4,927,305 | $ | 2,560,061 | ||||||
(b) | Reconciliation of Accumulated Depreciation: | |
The following table reconciles the accumulated depreciation on real estate investments from January 1, 2005 to December 31, 2007 (in thousands): |
2007 | 2006 | 2005 | ||||||||||
Balance at beginning of year | $ | 515,698 | $ | 390,333 | $ | 325,802 | ||||||
Additions: | ||||||||||||
Depreciation expense — continued operations | 167,160 | 162,503 | 78,465 | |||||||||
Depreciation expense — discontinued operations | 4,748 | 12,305 | 171 | |||||||||
Acquisitions | — | 1,037 | — | |||||||||
Less: | ||||||||||||
Dispositions | (128,698 | ) | (44,430 | ) | (14,105 | ) | ||||||
Assets transferred to held-for-sale | — | (6,050 | ) | — | ||||||||
Balance at end of year | $ | 558,908 | $ | 515,698 | $ | 390,333 | ||||||
F - 96