2015 Q1 Supplemental Information ®
Introduction Management & Investor Contacts 3 Company Overview 4 Capitalization Analysis & Research Coverage 5 2015 Guidance 6 Select Performance Information 7 Financial Information Consolidated Balance Sheet 8 Consolidated Statements of Operations 9 Discontinued Operations Statement of Income 10 11 Net Operating Income 12 Debt Overview 13 Debt Covenant Compliance 14 Debt Maturities 15 Operational & Portfolio Information Property Overview 16 Market Summary 17 Top 20 Tenants & Tenant Industry Profile 18 Lease Expiration Schedule 19 Lease Expiration by Market 20 Leasing Summary 21 Occupancy Summary 22 Capital Expenditure Summary 23 Transaction Activity 24 Appendix 25 Net Operating Income and Same Store Net Operating Income - Cash Basis (Reconciliation to Net Income) 26 Net Operating Income and Same Store Net Operating Income - GAAP Basis (Reconciliation to Net Income) 27 Definitions 28 Forward Looking Statements: Supplemental Information - Q1 2015 2 Columbia Property Trust, Inc. Table of Contents This supplemental package contains certain statements that may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “anticipate,” “estimate,” “believe,” “continue,” or other similar words. Readers are cautioned not to place undue reliance on these forward-looking statements, including our 2015 guidance, which speak only as of the date this supplemental package is published, and which are subject to certain risks and uncertainties which could cause actual results to differ materially from those projected or anticipated. These risks and uncertainties include, without limitation: general risks affecting the real estate industry (including, without limitation, the inability to enter into or renew leases, dependence on tenants’ financial condition, and competition from other owners and operators of real estate); adverse economic or real estate developments in the company’s target markets; risks associated with the availability and terms of financing, the use of debt to fund acquisitions, and the ability to refinance indebtedness as it comes due; reductions in asset valuations and related impairment charges; risks associated with downturns in foreign, domestic and local economies, changes in interest rates; potential liability for uninsured losses and environmental contamination; risks associated with the company’s potential failure to qualify as a REIT under the Internal Revenue Code of 1986, as amended, and possible adverse changes in tax and environmental laws; and risks associated with the company’s dependence on key personnel whose continued service is not guaranteed. We do not intend to publicly update or revise any forward- looking statements, whether as a result of new information, future events, or otherwise. For additional risks and uncertainties that would cause actual results to differ materially from those presented in our forward-looking statements see our Annual Report on Form 10-K for the year ended December 31, 2014 and subsequently filed periodic reports. On the Cover: Left - 315 Park Avenue South in New York, NY; Middle - 116 Huntington Avenue in Boston, MA; Right - 650 California Street in San Francisco, CA. Normalized Funds From Operations - NFFO Adjusted Funds From Operations - AFFO (Reconciliation to Net Income)
Corporate One Glenlake Parkway, Suite 1200 Atlanta, Georgia 30328 404.465.2200 www.columbiapropertytrust.com Executive and Senior Management E. Nelson Mills James A. Fleming Chief Executive Officer, Executive Vice President President and Director Chief Financial Officer Drew Cunningham David Dowdney Wendy Gill Kevin Hoover Senior Vice President Senior Vice President Senior Vice President Senior Vice President Real Estate Operations Western Region Corporate Operations and Real Estate Transactions Chief Accounting Officer Board of Directors Charles R. Brown Richard W. Carpenter Bud Carter John L. Dixon Murray J. McCabe Independent Director Independent Director Independent Director Independent Director Independent Director Chairman E. Nelson Mills Michael S. Robb George W. Sands Neil H. Strickland Thomas G. Wattles Chief Executive Officer Independent Director Independent Director Independent Director Independent Director President Corporate Counsel King & Spalding LLP 1180 Peachtree Street Atlanta, GA 30309 T 404-572-4600 www.kslaw.com Investor Relations Shareholder Services James A. Fleming T 855-347-0042 (toll free) Executive Vice President & Chief Financial Officer F 816-701-7629 T 404-465-2126 E shareholders@columbiapropertytrust.com E Jim.Fleming@columbiapropertytrust.com Tripp Sullivan SCR Partners, LLC T 615-760-1104 E TSullivan@SCR-ir.com Supplemental Information - Q1 2015 3 Columbia Property Trust, Inc. Management & Investor Contacts
Unaudited As of Period End 3/31/2015 Select Portfolio Statistics Number of Properties / Buildings 39 / 55 Office Rentable Square Footage (in thousands) 16,272 Percent Leased 92.3% Percent Occupied 91.2% Percentage of Properties Multi-Tenant / Single (1) 72% / 28% Office Percentage of Portfolio (2) 98% Numbers of Markets / States (3) 15 / 13 Percentage of Portfolio Central Business District / Suburban (1) 60% / 40% Weighted Average Tenant Credit Rating (1) (4) A- Weighted Average Lease Term Remaining (1) 5.6 Years Balance Sheet ($ in thousands) Gross Real Estate Assets (5) 5,792,468 Gross Real Estate Assets - Unencumbered (5) (6) 3,803,931 Total Gross Debt 2,135,015 Percentage of Gross Real Estate Assets - Unencumbered / Gross Real Estate Assets 65.7% Total Gross Debt / Gross Real Estate Assets 36.9% Rating / Outlook Standard & Poor's BBB- / Positive Moody's Baa2 / Stable Number of Employees 98 (1) Based on Annualized Lease Revenue (ALR). (2) Based on square feet. (3) Includes Washington, D.C. 4 Columbia Property Trust, Inc. Company Overview Supplemental Information - Q1 2015 (6) Unencumbered assets are those not subject to mortgage debt. (4) Based on rated tenants. (5) Gross Real Estate Assets includes (i) land, (ii) building and improvements, (iii) intangible lease assets, (iv) construction in progress, (v) intangible lease origination costs, less (vi) intangible lease liabilities. Columbia Property Trust, Inc. (the "Company") is a fully integrated office REIT with a focus on investing in and managing high quality commercial office properties in primary U.S. markets nationwide. As of March 31, 2015, the Company owned controlling interests in 38 office properties and one hotel, which included 55 operational buildings. These office properties comprised approximately 16.3 million square feet of commercial space and are located in 12 states and the District of Columbia. Of the office properties, 37 are wholly owned and one is owned through a consolidated subsidiary. As of March 31, 2015, the office properties were 92.3% leased. The Company is based in Atlanta, GA. For more information about Columbia Property Trust, please visit our website at www.columbiapropertytrust.com. This data supplements the information provided in our reports filed with the Securities and Exchange Commission and should be reviewed in conjunction with such filings.
Unaudited ($ in thousands except for per-share data and percentages) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Common Stock Data Weighted-Average Shares Outstanding - Basic 124,903 124,868 124,863 124,860 124,851 Weighted-Average Shares Outstanding - Diluted 124,935 124,944 124,938 124,919 124,887 High Closing Price 27.67 25.79 26.09 29.13 27.73 Low Closing Price 24.08 23.80 23.85 26.01 23.12 Average Closing Price 25.59 25.15 25.37 27.24 25.15 Closing Price (as of period end) 27.02 25.35 23.87 26.01 27.25 Dividends / Share (annualized) 1.20 1.20 1.20 1.20 1.20 Dividend Yield (annualized) (1) 4.4% 4.7% 5.0% 4.6% 4.4% Common Shares Outstanding (1) 125,077 124,973 124,969 124,966 124,964 Market Value of Common Shares (1) 3,379,581 3,168,066 2,983,010 3,250,366 3,405,269 Total Market Capitalization (1) (2) 5,514,596 4,848,950 4,823,834 4,887,010 4,894,721 Equity Research Coverage Evercore ISI Goldman Sachs & Co. JMP Securities Morgan Stanley Sheila McGrath Brad Burke Mitch Germain Vance Edelson 212-497-0882 917-343-2082 212-906-3546 212-761-4000 Oppenheimer & Co Wunderlich Securities, Inc. Steve Manaker Craig Kucera 212-667-5950 540-277-3366 Debt Research Coverage J.P. Morgan Securities Mark Streeter 212-834-5086 Rating Agencies Moody's Investor Services Standard & Poor's Lori Marks Jaime Gitler 212-553-1098 212-438-5049 (2) Market value of shares plus gross debt as of quarter end. Supplemental Information - Q1 2015 5 (1) Based on closing price and ending shares for the last trading day of quarter. Three Months Ended Columbia Property Trust, Inc. Capitalization Analysis & Research Coverage
Unaudited Per share Low High Net Income 0.17$ 0.23$ Real Estate Depreciation & Amortization 1.66 1.66 Funds From Operations 1.83$ 1.89$ Acquisition Costs 0.02 0.02 Normalized Funds From Operations 1.85$ 1.91$ 2015 Portfolio Assumptions Leased percentage at year end: 91% to 93% GAAP Straight Line Rental Income: $14M to $17M General & Administrative: $31M to $33M 2015 Transaction Assumptions Dispositions: $500M to $600M Acquisitions: $588M (Completed January 2015) 2015 Other Assumptions Weighted-average common shares outstanding - diluted: 125M 6 Columbia Property Trust, Inc. 2015 Guidance Twelve Months Ended 12/31/2015 Investor Conference Call and Webcast: The Company will host a conference call and live audio webcast, both open for the general public to hear, on Friday, May 1, 2015, at 10:00 a.m. ET to discuss financial results, business highlights and provide a Company update. The number to call for this interactive teleconference is (212) 231-2929. A replay of the conference call will be available through May 8, 2015, by dialing (800) 633-8284 or (402) 977-9140 and entering the confirmation number, 21765935. NOTE: These estimates reflect management's view of current market conditions and incorporate certain economic and operational assumptions and projections. This annual guidance includes the continued repositioning of the portfolio based on the above assumptions. Actual results could differ from these estimates. Note that individual quarters may fluctuate on both a cash basis and an GAAP basis due to the timing of dispositions, lease commencements and expirations, the timing of repairs and maintenance, capital expenditures, capital markets activities and one-time revenue or expense events. In addition, the Company's guidance is based on information available to management as of the date of this release. Supplemental Information - Q1 2015
Unaudited ($ in thousands except for square feet, per-share data, net rent, percentages and ratios) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Operating Information Percent Leased (as of period end) (page 22) 92.3% 93.3% 93.5% 93.5% 92.4% New Leases - Square Feet (page 21) 190,099 134,072 78,043 129,729 17,395 Renewal Leases - Square Feet (page 21) 40,050 189,393 44,986 63,558 442,646 Rental Income (page 9) 112,809 105,215 104,938 103,821 100,567 Total Revenues (page 9) 147,543 137,891 136,981 136,757 129,168 Straight Line Rent (page 11) 3,937 2,288 2,195 1,789 2,090 Total Operating Expenses (page 9) 122,007 119,512 112,153 110,532 109,731 Recurring Capital (page 23) 13,147 20,937 10,491 11,203 19,344 Non-Recurring Capital (page 23) 10,755 5,141 7,917 13,776 1,846 Cash NOI (page 12) 85,001 80,940 86,125 86,783 83,249 Adjusted EBITDA (page 26) 84,769 79,444 81,984 84,006 78,869 Net Income (page 9) 5,598 56,226 24,988 8,021 3,400 Net Income per Share - Basic & Diluted 0.04 0.45 0.20 0.06 0.03 Normalized FFO (page 11) 65,296 61,360 64,102 66,595 63,103 Normalized FFO per Share - Basic & Diluted 0.52 0.49 0.51 0.53 0.51 AFFO (page 11) 46,238 35,108 49,400 56,034 41,273 AFFO per Share - Basic & Diluted 0.37 0.28 0.40 0.45 0.33 Dividends 37,523 37,491 37,492 37,490 37,489 Dividends per Share 0.30 0.30 0.30 0.30 0.30 Balance Sheet Information (as of period end) Gross Real Estate Assets (1) 5,792,468 5,216,396 5,497,405 5,274,020 5,077,919 Total Assets 5,157,608 4,738,878 4,883,587 4,681,371 4,548,130 Net Debt (2) 2,102,533 1,530,276 1,793,510 1,586,366 1,402,202 Gross Debt 2,135,015 1,680,884 1,840,824 1,636,644 1,489,452 Ratios NOI Margin (3) 62.1% 62.2% 65.2% 65.5% 66.4% Fixed Charge Coverage Ratio (4) 4.16 4.28 4.52 4.74 4.71 Net Debt (Average) to Adjusted EBITDA (5) 5.87 4.82 5.47 4.72 4.44 Gross Debt / Gross Real Estate Assets (as of period end) 36.9% 32.2% 33.5% 31.0% 29.3% Normalized FFO Payout Ratio (6) 57.5% 61.1% 58.5% 56.3% 59.4% AFFO Payout Ratio (7) 81.2% 106.8% 75.9% 66.9% 90.8% (3) NOI margin is calculated as GAAP NOI divided by total GAAP revenues for continuing and discontinued operations. (6) Calculated as dividends divided by Normalized FFO for the quarter. (7) Calculated as dividends divided by AFFO for the quarter. Supplemental Information - Q1 2015 7 Columbia Property Trust, Inc. Select Performance Information NOTE: This section includes non-GAAP financial measures, which are accompanied by what we consider the most directly comparable financial measures calculated and presented in accordance with GAAP. Quantitative reconciliations of the differences between the non-GAAP financial measures presented and the most directly comparable GAAP financial measures are shown on pages 25, 26 & 27. A description of the non-GAAP financial measures we present and a statement of the reasons why management believes the non-GAAP measures provide useful information to investors about the Company's financial condition and results of operations can be found on page 28. (1) Gross Real Estate Assets includes (i) land, (ii) building and improvements, (iii) intangible lease assets, (iv) construction in progress, (v) intangible lease origination costs, less (vi) intangible lease liabilities. (2) Net debt is calculated as the total principal amount of debt outstanding less cash and cash equivalents and discount on bonds payable. (4) Fixed charge coverage is calculated as Adjusted EBITDA divided by the sum of interest expense, principal amortization, and capitalized interest. Three Months Ended (5) Net debt is calculated as the quarterly average of principal debt outstanding less cash and cash equivalents and discount on bonds payable. Prior to first quarter 2015, net debt is calculated as of the last day of the quarter. Adjusted EBITDA is annualized for purposes of the calculation.
Columbia Property Trust, Inc. Unaudited (in thousands) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Assets: Real estate assets, at cost: Land 912,035$ 785,101$ 789,967$ 749,068$ 703,552$ Buildings and improvements 4,083,182 3,686,529 3,676,473 3,662,480 3,575,295 Buildings and improvements, accumulated depreciation (693,780) (660,098) (630,114) (641,687) (631,773) Intangible lease asset 608,689 560,890 561,859 578,162 578,797 Intangible lease asset, accumulated amortization (316,720) (313,822) (302,713) (308,341) (307,524) Construction in progress 27,201 17,962 16,479 18,943 10,480 Real estate assets held for sale - - 257,768 64,336 - Real estate assets held for sale, accumulated depreciation - - (46,637) (14,527) - Total real estate assets 4,620,607$ 4,076,562$ 4,323,082$ 4,108,434$ 3,928,827$ Cash and cash equivalents 31,236 149,790 46,433 49,334 86,243 Tenant receivables, net of allowance for doubtful accounts 10,859 6,945 8,200 7,154 8,140 Straight line rent receivable 121,098 116,489 113,645 117,991 116,343 Prepaid expenses and other assets 29,728 52,143 28,320 27,974 39,969 Deferred financing costs, less accumulated amortization 10,653 8,426 9,334 9,527 9,588 Intangible lease origination costs 326,355 325,154 329,538 355,393 360,080 Intangible lease origination costs, accumulated amortization (220,596) (219,626) (216,091) (221,615) (219,623) Deferred lease costs 147,006 139,584 131,511 138,736 128,679 Deferred lease costs, accumulated amortization (39,338) (36,589) (34,238) (33,096) (30,116) Investment in development authority bonds 120,000 120,000 120,000 120,000 120,000 Other assets held for sale - - 37,484 5,835 - Other assets held for sale, accumulated amortization - - (13,631) (4,296) - Total assets 5,157,608$ 4,738,878$ 4,883,587$ 4,681,371$ 4,548,130$ Liabilities: Line of credit and notes payable 1,535,015$ 1,430,884$ 1,590,824$ 1,386,644$ 1,239,452$ Bonds payable 600,000 250,000 250,000 250,000 250,000 Discount on bonds payable (1,246) (818) (881) (944) (1,007) 97,973 106,276 100,911 98,737 90,096 Deferred income 25,688 24,753 26,478 24,353 24,628 Intangible lease liabilities 164,994 159,240 159,241 155,014 150,285 Intangible lease liabilities, accumulated amortization (86,922) (84,935) (80,043) (78,945) (79,502) Obligations under capital leases 120,000 120,000 120,000 120,000 120,000 Liabilities held for sale - - 5,469 5,046 - Liabilities held for sale, accumulated amortization - - (2,432) (3,719) - Total liabilities 2,455,502$ 2,005,400$ 2,169,567$ 1,956,186$ 1,793,952$ Equity: Common stock 1,250$ 1,249$ 1,249$ 1,249$ 1,249$ Additional paid in capital 4,602,201 4,601,808 4,601,363 4,600,874 4,600,355 Cumulative distributions in excess of earnings (1,899,536) (1,867,611) (1,886,346) (1,873,842) (1,844,373) Other comprehensive loss (1,809) (1,968) (2,246) (3,096) (3,053) Total equity 2,702,106$ 2,733,478$ 2,714,020$ 2,725,185$ 2,754,178$ Total liabilities and equity 5,157,608$ 4,738,878$ 4,883,587$ 4,681,371$ 4,548,130$ Supplemental Information - Q1 2015 8 As of Period End Accounts payable, accrued expenses, and accrued capital expenditures Consolidated Balance Sheet
Unaudited (in thousands, except per-share amounts) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Revenues: Rental income 112,809$ 105,215$ 104,938$ 103,821$ 100,567$ Tenant reimbursements 28,249 24,847 23,861 22,934 23,733 Hotel income 4,993 5,587 6,732 6,505 4,061 Other property income (1) 353 413 573 359 360 Lease termination income (2) 1,139 1,829 877 3,138 447 Total revenues 147,543$ 137,891$ 136,981$ 136,757$ 129,168$ Operating expenses: Property operating costs 49,754 44,766 41,144 38,832 38,980 Hotel operating costs 4,591 4,923 5,039 4,689 4,141 Asset and property management fees 397 612 682 675 289 Depreciation 34,007 30,313 29,980 30,169 27,304 Amortization 23,219 20,625 19,476 20,221 18,521 Impairment loss on real estate assets - 10,148 - 1,432 13,550 General and administrative 8,044 8,081 7,836 8,412 6,946 Acquisition fees and expenses 1,995 44 7,996 6,102 - Total operating expenses 122,007$ 119,512$ 112,153$ 110,532$ 109,731$ Operating income 25,536$ 18,379$ 24,828$ 26,225$ 19,437$ Other income (expense): Interest expense (19,684) (17,868) (17,473) (17,060) (16,110) Capital lease obligation interest expense (1,800) (1,800) (1,800) (1,800) (1,800) Development authority bond income 1,800 1,800 1,800 1,800 1,800 Interest and other income 33 60 3 2 10 Interest rate swap valuation adjustment 1,315 1,322 1,300 1,227 1,097 Interest expense associated with interest rate swaps (1,321) (1,330) (1,328) (1,332) (1,327) Loss on early extinguishment of debt (477) (23) - - - Total other income (expense) (20,134)$ (17,839)$ (17,498)$ (17,163)$ (16,330)$ 5,402$ 540$ 7,330$ 9,062$ 3,107$ Income tax (expense) benefit 196 (246) (409) (351) 344 5,598$ 294$ 6,921$ 8,711$ 3,451$ Gain on sale of real estate assets - 56,668 18,607 - - Income from continuing operations 5,598$ 56,962$ 25,528$ 8,711$ 3,451$ Discontinued operations: Operating income (loss) - (87) (540) (40) 277 Gain (loss) from sale of discontinued operations - (649) - (650) (328) Loss from discontinued operations -$ (736)$ (540)$ (690)$ (51)$ 5,598$ 56,226$ 24,988$ 8,021$ 3,400$ 124,903 124,868 124,863 124,860 124,851 0.04$ 0.45$ 0.20$ 0.06$ 0.03$ 124,935 124,944 124,938 124,919 124,887 0.04$ 0.45$ 0.20$ 0.06$ 0.03$ (1) Other property income includes (i) property management fee income, (ii) cafeteria revenue and (iii) fitness center revenue. Supplemental Information - Q1 2015 9 Columbia Property Trust, Inc. Consolidated Statements of Operations (3) Includes nonrecurring fees incurred under the consulting and transition services agreements which were terminated at expiration effective (2) Includes adjustments for straight-line rent related to lease terminations. Net income per share - basic Net income Weighted-average common shares outstanding - basic Weighted-average common shares outstanding - diluted Net income per share - diluted Three Months Ended Income before income tax (expense) benefit and gains on sale of real estate assets Income from continuing operations before gains on sale of real estate assets
Unaudited (in thousands, except per-share amounts) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Revenues: Rental income -$ -$ -$ 1$ 3$ Tenant reimbursements - - 15 151 (51) Total revenues -$ -$ 15$ 152$ (48)$ Operating expenses: Property operating costs - 8 7 82 (347) Asset and property management fees - - - - 7 General and administrative - 79 548 110 18 Total operating expenses -$ 87$ 555$ 192$ (322)$ Operating income (loss) -$ (87)$ (540)$ (40)$ 274$ Other income (expense): Interest and other income - - - - 3 Total other income (expense) -$ -$ -$ -$ 3$ Income (loss) before income tax (expense) benefit -$ (87)$ (540)$ (40)$ 277$ Income tax benefit - - - - - Operating income (loss) from discontinued operations -$ (87)$ (540)$ (40)$ 277$ Gain (loss) on disposition of discontinued operations - (649) - (650) (328) Gain (loss) from sale of discontinued operations -$ (649)$ -$ (650)$ (328)$ Loss from discontinued operations -$ (736)$ (540)$ (690)$ (51)$ 124,903 124,868 124,863 124,860 124,851 -$ (0.01)$ (0.00)$ (0.01)$ (0.00)$ 124,935 124,944 124,938 124,919 124,887 -$ (0.01)$ (0.00)$ (0.01)$ (0.00)$ Supplemental Information - Q1 2015 10 Columbia Property Trust, Inc. Loss per share - diluted Three Months Ended Weighted-average common shares outstanding - basic Loss per share - basic Discontinued Operations Statement of Income Weighted-average common shares outstanding - diluted
Unaudited (in thousands, except per-share amounts) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Net Operating Income - Cash Basis 85,001$ 80,940$ 86,125$ 86,783$ 83,249$ Lease termination income (1) 1,139 1,254 (181) 6,314 181 General and administrative (G&A) (8,044) (8,081) (7,836) (8,412) (6,946) Shelf registration costs - - 269 - - Stock based compensation expense in G&A (2) 1,014 464 488 516 507 Straight-line rent receivable write-off in G&A (3) 6 203 - 114 - Interest expense - cash (net) (19,927) (18,410) (18,017) (17,617) (16,700) Income tax (expense) benefit 196 (246) (409) (351) 344 Discontinued operations adjustments - (79) (548) (110) (18) Recurring capital expenditures (4) (13,147) (20,937) (10,491) (11,203) (19,344) AFFO 46,238$ 35,108$ 49,400$ 56,034$ 41,273$ AFFO per share (basic) 0.37$ 0.28$ 0.40$ 0.45$ 0.33$ AFFO per share (diluted) 0.37$ 0.28$ 0.40$ 0.45$ 0.33$ Additional amortization of lease assets (liabilities) (5) 2,742 2,555 931 924 276 Straight-line rental income (6) 3,937 2,660 3,253 (1,501) 2,356 Gain on interest rate swaps 1,315 1,322 1,300 1,227 1,097 Stock based compensation expense in G&A (2) (1,014) (464) (488) (516) (507) Non-cash interest expense (7) (1,069) (758) (785) (776) (736) Total other non-cash adjustments 5,911 5,315 4,211 (642) 2,486 Recurring capital expenditures (4) 13,147 20,937 10,491 11,203 19,344 Normalized FFO 65,296$ 61,360$ 64,102$ 66,595$ 63,103$ Normalized FFO per share (basic) 0.52$ 0.49$ 0.51$ 0.53$ 0.51$ Normalized FFO per share (diluted) 0.52$ 0.49$ 0.51$ 0.53$ 0.51$ 124,903 124,868 124,863 124,860 124,851 124,935 124,944 124,938 124,919 124,887 Supplemental Information - Q1 2015 11 Columbia Property Trust, Inc. Weighted-average common shares outstanding - basic Weighted-average common shares outstanding - diluted Normalized Funds From Operations - NFFO (7) This item represents amortization of financing costs paid in connection with executing our debt instruments, and the accretion of premiums (and amortization of discounts) on certain of our debt instruments. GAAP requires these items to be recognized over the remaining term of the respective debt instrument, which may not correlate with the ongoing operations of our real estate portfolio. (6) Prior to first quarter 2015, adjustments for straight-line rent related to lease terminations were included. (1) Effective January 1, 2015, lease termination income is presented on an accrual basis. Prior to that date, lease termination income is presented on a cash basis. (4) See page 28 of this supplemental report for a description of Recurring Capital Expenditures. (5) GAAP implicitly assumes that the value of intangible lease assets (liabilities) diminishes predictably over time and, thus, requires these charges to be recognized ratably over the respective lease terms. Such intangible lease assets (liabilities) arise from the allocation of acquisition price related to direct costs associated with obtaining a new tenant, the value of opportunity costs associated with lost rentals, the value of tenant relationships, and the value of effective rental rates of in-place leases that are above or below market rates of comparable leases at the time of acquisition. Like real estate values, market lease rates in aggregate have historically risen or fallen with local market conditions. (2) This item represents the noncash impact of compensation expense related to stock grants under our 2013 Long-Term Incentive Plan within general and administrative expense. (3) Includes adjustments for straight line-rent related to lease terminations within general and administrative expense. Three Months Ended
Unaudited (in thousands) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 GAAP Basis Revenues: Rental Income 93,059$ 94,415$ 93,857$ 92,924$ 92,874$ Tenant Reimbursements 25,294 23,926 23,430 21,969 22,880 Hotel Income 4,993 5,587 6,732 6,505 4,061 Other Property Income 349 406 573 359 361 Total Revenues 123,695$ 124,334$ 124,592$ 121,757$ 120,176$ Operating Expenses: Property Operating Costs (41,627) (41,087) (39,070) (36,805) (37,782) Hotel Operating Costs (4,591) (4,923) (5,039) (4,689) (4,141) Total Operating Expenses (46,218)$ (46,010)$ (44,109)$ (41,494)$ (41,923)$ Net Operating Income GAAP - Same Store 77,477$ 78,324$ 80,483$ 80,263$ 78,253$ Net Operating Income from: Acquisitions (1) 14,186 7,234 3,136 1,869 - Dispositions (2) 17 175 5,658 7,532 7,487 Net Operating Income GAAP - Total 91,680$ 85,733$ 89,277$ 89,664$ 85,740$ Cash Basis Revenues: Rental Income 90,524$ 92,102$ 91,500$ 90,622$ 90,059$ Tenant Reimbursements 25,294 23,926 23,430 21,969 22,880 Hotel Income 4,993 5,587 6,732 6,505 4,061 Other Property Income 349 405 573 359 362 Total Revenues 121,160$ 122,020$ 122,235$ 119,455$ 117,362$ Operating Expenses: Property Operating Costs (41,116) (40,338) (38,321) (36,056) (37,033) Hotel Operating Costs (4,591) (4,923) (5,039) (4,689) (4,141) Total Operating Expenses (45,707)$ (45,261)$ (43,360)$ (40,745)$ (41,174)$ Net Operating Income Cash - Same Store 75,453$ 76,759$ 78,875$ 78,710$ 76,188$ Net Operating Income from: Acquisitions (1) 9,531 4,009 1,807 943 - Dispositions (2) 17 172 5,443 7,130 7,061 Net Operating Income Cash - Total 85,001$ 80,940$ 86,125$ 86,783$ 83,249$ Reconciliation of GAAP to Cash Net Operating Income Net Operating Income GAAP - Total 91,680$ 85,733$ 89,277$ 89,664$ 85,740$ Less amounts included in GAAP basis rental income: Straight-line rental inc. (excluding lease terminations) (3,937) (2,288) (2,195) (1,789) (2,090) Net effect of above/(below) lease market amortization (2,742) (2,505) (957) (1,092) (401) Net Operating Income Cash - Total 85,001$ 80,940$ 86,125$ 86,783$ 83,249$ Supplemental Information - Q1 2015 12 Columbia Property Trust, Inc. (1) Includes the following acquisitions: 315 Park Avenue South, 1881 Campus Commons, 116 Huntington Avenue, 650 California Street, and 221 Main Street. Three Months Ended (2) Includes the following dispositions: Lenox Park Buildings, 9 Technology Drive, 7031 Columbia Gateway Drive, 200 South Orange, and 160 Park Avenue. Net Operating Income
Unaudited ($ in thousands) (at 3/31/2015) Debt Instrument - Secured Maturity Rate Rate Type Balance % of Total Debt Mortgage Notes 333 Market Street (1) July-15 4.75% Fixed 206,625$ 9.7% SanTan Corporate Center October-16 5.83% Fixed 39,000 1.8% 221 Main Street May-17 3.95% Fixed 73,000 3.4% 100 East Pratt (2) June-17 5.08% Fixed 105,000 4.9% 215 Diehl Road July-17 5.55% Fixed 21,000 1.0% 263 Shuman Boulevard July-17 5.55% Fixed 49,000 2.3% One Glenlake Parkway December-18 5.80% Fixed 31,390 1.5% 650 California Street July-19 3.60% Fixed 130,000 6.1% Market Square July-23 5.07% Fixed 325,000 15.2% Weighted Average / Secured - Mortgage Notes 4.1 Years 4.81% 980,015$ 45.9% Debt Instrument - Unsecured Maturity Rate Rate Type Balance % of Total Debt Bank Facilities $450 Million Term Loan (3) February-16 2.07% Fixed 450,000$ 21.1% $500 Million Revolving Credit Facility (4) August-17 LIBOR + 110 bps Floating 105,000 4.9% Weighted Average / Bank Facilities 1.1 Years 1.95% 555,000$ 26.0% Senior Notes $250 Million Notes @ 5.875% April-18 5.88% Fixed 250,000 11.7% $350 Million Notes @ 4.150% April-25 4.15% Fixed 350,000 16.4% Weighted Average / Senior Notes 7.1 Years 4.87% 600,000$ 28.1% Weighted Average / Unsecured 4.2 Years 3.47% 1,155,000$ 54.1% Weighted Average / Total Debt 4.2 Years 4.09% 2,135,015$ 100.0% Weighted Ave Maturity Weighted Ave Rate - Qtr Balance % of Total Debt 4.3 Years 4.22% 2,030,015$ 95.1% 2.4 Years 1.44% 105,000 4.9% Total 4.2 Years 4.09% 2,135,015$ 100.0% Supplemental Information - Q1 2015 13 (4) The Revolving Credit Facility ($500MM) bears interest at a rate based on, at the option of Columbia Property Trust, LIBOR for seven days, one-, two-, three-, or six-month periods, plus an applicable margin ranging from 1.00% to 1.70% based on credit rating, or the alternate base rate which is the greater of (a) Prime Rate, (b) Fed Funds plus 1/2 of 1%, and (c) the Libor Rate plus 1%, plus an applicable margin ranging from 0.00% to 0.70% based on credit rating. This facility carries one 1-year extension option. (2) Loan is eligible for repayment without penalty beginning July 11, 2015. (1) Columbia Property Trust is party to an interest rate swap agreement, which effectively fixes its interest rate on the 333 Market Street Building mortgage note at 4.75% per annum and terminates on July 1, 2015. This interest rate swap agreement does not qualify for hedge accounting treatment; therefore, changes in fair value are recorded as a gain or loss on interest rate swaps in our consolidated statements of operations. (3) Columbia Property Trust is party to an interest rate swap agreement, which effectively fixes its interest rate on the $450 Million Term Loan at 2.07% per annum and terminates on February 3, 2016. The spread over the swapped rate is based on the company's credit rating with a range from 1.15% to 1.95%. This interest rate swap agreement qualifies for hedge accounting treatment; therefore, changes in fair value are recorded as a market value adjustment to interest rate swap in our consolidated statements of other comprehensive income. This loan carries two 1-year extension options. Columbia Property Trust, Inc. Fixed Rate Debt Floating Rate Debt Fixed and Floating Rate Debt Analysis Debt Overview
Unaudited (at 3/31/2015) Bond Covenant Compliance (As defined in Indentures) Metric Actual (3/31/15) Aggregate Debt Test Max 60% 36% Debt Service Test Min 1.50x 3.80x Secured Debt Test Max 40% 16% Maintenance of Total Unencumbered Assets Min 150% 340% Term Loan / Revolving Credit Facility Covenant Compliance (As defined in Credit Agreement) Metric Actual (3/31/15) Secured Debt To Total Asset Value Ratio Max 40% 19% Interest Coverage Ratio (adjusted EBITDA) Min 1.75x 3.57x Debt to Total Asset Value Ratio Max 50% 41% Unencumbered Interest Coverage Ratio Min 2.00x 6.16x Unencumbered Asset Coverage Ratio Min 2.00x 2.90 Supplemental Information - Q1 2015 14 Columbia Property Trust, Inc. Debt Covenant Compliance
Unaudited ($ in thousands) (at 3/31/2015) Secured Debt Unsecured Debt Unsecured Debt Total Debt % of Weighted Average % of Gross Mortgage Notes Bank Facilities Senior Notes Balance Total Debt Rate - Qtr (1) Real Estate Assets 206,625$ -$ -$ 206,625$ 9.7% 4.75% 3.6% 39,000 450,000 - 489,000 22.9% 2.37% 8.4% 248,000 105,000 - 353,000 16.5% 3.86% 6.1% 31,390 - 250,000 281,390 13.2% 5.87% 5.0% 130,000 - - 130,000 6.1% 3.60% 2.2% 325,000 - - 325,000 15.2% 5.07% 5.6% - - 350,000 350,000 16.4% 4.15% 6.0% 980,015$ 555,000$ 600,000$ 2,135,015$ 100.0% 4.09% 36.9% 45.9% 26.0% 28.1% Supplemental Information - Q1 2015 15 Columbia Property Trust, Inc. 2018 2019 2023 2025 Maturity Year 2015 2016 2017 (1) Includes effective rates on variable rate loans swapped to fixed. Debt Maturities % of Total Debt Total $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Maturity Schedule Mortgage Debt Term Loan Line of Credit Bonds 5.87% 2.37% 3.86% 5.07% 3.60% 4.15% 4.75%
Unaudited (SF & $ in thousands) (at 3/31/2015) Market Ownership % Secured Debt? Annualized Lease Revenue (ALR) % of ALR ALR / Leased S.F. Rentable S.F. Leased S.F. % Leased UNIVERSITY CIRCLE AVENUE San Francisco, CA 100% 34,778$ 6.5% 77.98$ 451 446 98.9% 333 MARKET STREET San Francisco, CA 100% Yes 24,416 4.6% 37.16 657 657 100.0% 650 CALIFORNIA STREET San Francisco, CA 100% Yes 21,005 3.9% 50.49 478 416 87.0% 221 MAIN STREET San Francisco, CA 100% Yes 19,409 3.6% 53.03 388 366 94.3% Subtotal - San Francisco 99,608 18.6% 52.84 1,974 1,885 95.5% MARKET SQUARE Washington, D.C. 100% Yes 50,858 9.5% 80.86 686 629 91.7% 80 M STREET Washington, D.C. 100% 13,198 2.5% 53.22 285 248 87.0% 1881 CAMPUS COMMONS Washington, D.C. 100% 6,032 1.1% 30.93 245 195 79.6% Subtotal - Washington, D.C. 70,088 13.1% 65.38 1,216 1,072 88.2% 222 EAST 41ST STREET New York, NY 100% 28,657 5.3% 80.95 372 354 95.2% 315 PARK AVENUE SOUTH New York, NY 100% 22,590 4.2% 73.58 327 307 93.9% Subtotal - New York 51,247 9.5% 77.53 699 661 94.6% INTERNATIONAL FINANCIAL TOWER Northern New Jersey 100% 23,052 4.3% 37.12 630 621 98.6% 80 PARK PLAZA Northern New Jersey 100% 19,874 3.7% 20.68 961 961 100.0% 180 PARK AVENUE Northern New Jersey 100% 4,387 0.8% 27.42 224 160 71.4% 170 PARK AVENUE Northern New Jersey 100% - 0.0% - 145 - 0.0% Subtotal - Northern New Jersey 47,313 8.8% 27.16 1,960 1,742 88.9% 5 HOUSTON CENTER Houston, TX 100% 25,922 4.8% 49.85 581 520 89.5% ENERGY CENTER I Houston, TX 100% 12,850 2.4% 38.70 332 332 100.0% 515 POST OAK Houston, TX 100% 3,524 0.7% 25.17 275 140 50.9% Subtotal - Houston 42,296 7.9% 42.64 1,188 992 83.5% KEY CENTER TOWER Cleveland, OH 100% 39,032 7.3% 32.45 1,276 1,203 94.3% KEY CENTER MARRIOTT (HOTEL) Cleveland, OH 100% - 0.0% - - - 0.0% Subtotal - Cleveland 39,032 7.3% 32.45 1,276 1,203 94.3% LINDBERGH CENTER Atlanta, GA 100% 21,708 4.0% 22.73 955 955 100.0% THREE GLENLAKE PARKWAY Atlanta, GA 100% 7,331 1.4% 20.65 355 355 100.0% ONE GLENLAKE PARKWAY Atlanta, GA 100% Yes 5,716 1.1% 25.29 348 226 64.9% Subtotal - Atlanta 34,755 6.5% 22.63 1,658 1,536 92.6% 100 EAST PRATT Baltimore, MD 100% Yes 26,036 4.9% 40.37 653 645 98.8% 1580 WEST NURSERY ROAD Baltimore, MD 100% 8,048 1.5% 25.55 315 315 100.0% Subtotal - Baltimore 34,084 6.4% 35.50 968 960 99.2% ACXIOM Chicago, IL 100% 7,002 1.3% 21.75 322 322 100.0% 263 SHUMAN BOULEVARD Chicago, IL 100% Yes 6,615 1.2% 18.69 354 354 100.0% HIGHLAND LANDMARK III Chicago, IL 100% 5,610 1.0% 30.99 273 181 66.3% THE CORRIDORS III Chicago, IL 100% 5,359 1.0% 25.40 222 211 95.0% 215 DIEHL ROAD Chicago, IL 100% Yes 4,081 0.8% 25.19 162 162 100.0% 544 LAKEVIEW Chicago, IL 100% (1) 1,652 0.3% 23.27 139 71 51.1% BANNOCKBURN LAKE III Chicago, IL 100% - 0.0% - 106 - 0.0% Subtotal - Chicago 30,319 5.6% 23.30 1,578 1,301 82.4% 550 KING STREET BUILDINGS Boston, MA 100% 10,717 2.0% 21.87 490 490 100.0% 116 HUNTINGTON AVENUE Boston, MA 100% 9,803 1.8% 46.46 271 211 77.9% ROBBINS ROAD Boston, MA 100% 9,544 1.8% 20.84 458 458 100.0% Subtotal - Boston 30,064 5.6% 25.94 1,219 1,159 95.1% CRANBERRY WOODS DRIVE Pittsburgh, PA 100% 15,336 2.9% 18.61 824 824 100.0% SOUTH JAMAICA STREET Denver, CO 100% 13,064 2.4% 27.33 478 478 100.0% PASADENA CORPORATE PARK Los Angeles, CA 100% 7,897 1.5% 31.84 264 248 93.9% STERLING COMMERCE Dallas, TX 100% 7,881 1.5% 25.42 310 310 100.0% 800 NORTH FREDERICK Suburban Maryland 100% 7,219 1.3% 18.37 393 393 100.0% SANTAN CORPORATE CENTER Phoenix, AZ 100% Yes 6,095 1.1% 24.00 267 254 95.1% Total - All Properties 536,298$ 100.0% 35.71$ 16,272 15,018 92.3% Supplemental Information - Q1 2015 16 (1) 544 Lakeview is owned through a subsidiary in which Columbia Property Trust holds a 50% ownership interest, and holds a 100% economic interest. Property Columbia Property Trust, Inc. Property Overview
Unaudited (SF & $ in thousands) (at 3/31/2015) State Number of Properties Annualized Lease Revenue (ALR) % of ALR Rentable Square Footage Leased Square Footage % Leased San Francisco CA 4 99,608$ 18.6% 1,974 1,885 95.5% Washington, D.C. DC 3 70,088 13.1% 1,216 1,072 88.2% New York NY 2 51,247 9.5% 699 661 94.6% Northern New Jersey NJ 4 47,313 8.8% 1,960 1,742 88.9% Houston TX 3 42,296 7.9% 1,188 992 83.5% Cleveland OH 2 39,032 7.3% 1,276 1,203 94.3% Atlanta GA 3 34,755 6.5% 1,658 1,536 92.6% Baltimore MD 2 34,084 6.4% 968 960 99.2% Chicago IL 7 30,319 5.6% 1,578 1,301 82.4% Boston MA 3 30,064 5.6% 1,219 1,159 95.1% Pittsburgh PA 1 15,336 2.9% 824 824 100.0% Denver CO 1 13,064 2.4% 478 478 100.0% Los Angeles CA 1 7,897 1.5% 264 248 93.9% Dallas TX 1 7,881 1.5% 310 310 100.0% Suburban Maryland MD 1 7,219 1.3% 393 393 100.0% Phoenix AZ 1 6,095 1.1% 267 254 95.1% Total 39 536,298$ 100.0% 16,272 15,018 92.3% Supplemental Information - Q1 2015 17 Columbia Property Trust, Inc. Geography Market Summary 18.6% 13.1% 9.5% 8.8% 7.9% 7.3% 6.5% 6.4% 5.6% 5.6% 10.7% Market Distribution by Annualized Lease Revenue San Francisco Boston New York Chicago Other Washington, D.C. Baltimore Atlanta Houston Cleveland Northern New Jersey
Unaudited (SF & $ in thousands) (at 3/31/2015) Tenant Credit Rating (1) Number of Properties Annualized Lease Revenue (ALR) % of ALR Leased Square Footage % of Leased Square Footage Wtg Ave Remaining Lease Term Years (2) Jones Day Not Rated 1 28,124$ 5.2% 353 2.4% 1.6 Wells Fargo Bank N.A. AA- 3 28,092 5.2% 699 4.7% 10.5 AT&T Corporation/AT&T Services BBB+ 1 21,708 4.0% 955 6.4% 5.8 Credit Suisse A 2 21,074 3.9% 297 2.0% 2.4 IBM AA- 4 20,824 3.9% 977 6.5% 3.1 Keybank National Association A- 1 20,062 3.7% 676 4.5% 10.7 PSEG Services Corporation BBB+ 1 19,874 3.7% 961 6.4% 14.5 Pershing LLC A+ 1 17,161 3.2% 471 3.1% 6.3 T Rowe Price Associates Inc. Not Rated 1 15,454 2.9% 425 2.8% 12.8 Westinghouse Electric Company BBB 1 15,336 2.9% 824 5.5% 10.2 CH2M Hill, Inc. Not Rated 1 13,064 2.4% 478 3.2% 2.5 Foster Wheeler BBB- 1 12,850 2.4% 332 2.2% 3.4 Alcatel-Lucent B- 1 9,544 1.8% 458 3.0% 1.8 Fulbright & Jaworski Not Rated 1 9,039 1.7% 127 0.8% 0.3 Newell Rubbermaid, Inc. BBB- 2 8,799 1.6% 411 2.7% 5.6 Northrop Grumman Systems Corporation BBB+ 1 8,048 1.5% 316 2.1% 2.5 DLA Piper US, LLP Not Rated 1 7,930 1.5% 119 0.8% 3.3 Shearman & Sterling Not Rated 1 7,263 1.4% 93 0.6% 1.0 Acxiom/May and Speh Inc BB 1 7,002 1.3% 322 2.1% 6.7 OfficeMax B- 1 6,615 1.2% 354 2.4% 2.2 Subtotal - Top 20 297,863$ 55.4% 9,648 64.2% 6.1 All other 238,435 44.6% 5,370 35.8% 5.1 Total 536,298$ 100.0% 15,018 100.0% 5.6 (1) Credit rating may reflect the credit rating of the parent or a guarantor. Only the Standard & Poor's credit rating has been provided. (2) Based on Annualized Lease Revenue. Supplemental Information - Q1 2015 18 Columbia Property Trust, Inc. Top 20 Tenants & Tenant Industry Profile 16.6% 13.0% 9.4% 8.6% 7.2% 6.3% 5.4% 4.4% 3.1% 2.5% 23.5% Tenant Industry Profile (2) Services - Legal Services Fire - Depository Institutions Trans & Util - Communication Services - Business Services Trans & Util - Electric, Gas, And Sanitary Services Services - Engineering & Management Services Manf. - Industrial Machinery And Equipment Manf. - Transportation Equipment Fire - Security And Commodity Brokers Retail - Miscellaneous Retail Other
Unaudited (SF & $ in thousands) (at 3/31/2015) Expiring Annualized Lease Revenue (ALR) % of ALR Expiring Expiring Rentable Square Footage % of Rentable Square Footage Expiring -$ 0.0% 1,254 7.7% 24,679 4.6% 669 4.1% 67,218 12.5% 1,347 8.3% 89,193 16.6% 2,734 16.8% 44,724 8.3% 998 6.1% 17,925 3.4% 429 2.6% 40,636 7.6% 1,299 8.0% 64,828 12.1% 2,060 12.7% 30,461 5.7% 839 5.2% 26,564 5.0% 695 4.3% 10,076 1.9% 220 1.3% 19,355 3.6% 938 5.8% 31,267 5.8% 855 5.2% 238 0.0% 4 0.0% 15,483 2.9% 425 2.6% 53,651 10.0% 1,506 9.3% 536,298$ 100.0% 16,272 100.0% Supplemental Information - Q1 2015 19 Columbia Property Trust, Inc. NOTE: Expirations that have been renewed are reflected above based on the renewal expiration date. Vacant 2015 2016 2017 Year 2018 2019 2020 2021 2022 Lease Expiration Schedule 2023 2029+ Total 2024 2025 2026 2027 2028 4.6% 12.5% 16.6% 8.3% 3.4% 7.6% 12.1% 5.7% 5.0% 1.9% 3.6% 5.8% 0.0% 2.9% 10.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029+ Lease Expiration Schedule % of ALR Expiring
Columbia Property Trust, Inc. Unaudited (in thousands, except square footage & percentages) Geography Expiring Square Footage Expiring ALR (1) Expiring Square Footage Expiring ALR (1) Expiring Square Footage Expiring ALR (1) Expiring Square Footage Expiring ALR (1) San Francisco 25,893 1,052$ 11,751 510$ 6,873 332$ 46,759 2,950$ Washington, D.C. - - 127,804 9,092 5,104 267 - - New York 24,624 1,579 - - - - - - Northern New Jersey 3,471 269 - - 136,565 1,276 442 24 Houston - - - - - - - - Cleveland 45,304 1,009 198,381 8,358 - - - - Atlanta 3,815 104 - - 6,450 188 - - Baltimore - - 7,986 312 - - - - Chicago - - - - 36,415 1,151 - - Boston - - - - 2,179 94 - - Pittsburgh - - - - - - - - Denver - - - - - - - - Los Angeles 7,642 294 - - - - - - Dallas - - - - - - - - Suburban Maryland - - - - - - - - Phoenix 16,790 472 - - 2,339 60 - - Total 127,539 4,779$ 345,922 18,272$ 195,925 3,368$ 47,201 2,974$ % of Total Portfolio 0.8% 0.9% 2.1% 3.4% 1.2% 0.6% 0.3% 0.6% Supplemental Information - Q1 2015 20 Three Months Ended Lease Expiration by Market (1) Expiring ALR is calculated as expiring square footage multiplied by the gross rent per square foot of the tenant currently leasing the space. 06/30/15 09/30/15 12/31/15 03/31/16
Unaudited, Weighted average unless otherwise noted 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Number of Leases 1 6 6 7 4 Square Feet of Leasing 40,050 189,393 44,986 63,558 442,646 Lease Term (months) 52 157 158 81 166 Cash Rent Releasing Spread 46.6% -0.8% 40.1% -1.4% -20.8% GAAP Rent Releasing Spread 69.4% 6.5% 49.5% 12.2% -5.9% Tenant Improvements per Square Foot 7.50 91.41 82.84 43.48 29.74 Leasing Commissions per Square Foot 12.00 44.50 3.58 30.10 12.97 Total per Square Foot 19.50$ 135.91$ 86.42$ 73.58$ 42.71$ Tenant Improvements per Square Foot per Year of Lease Term 1.72 7.01 6.29 6.46 2.16 Leasing Commissions per Square Foot per Year of Lease Term 2.76 3.41 0.27 4.48 0.94 Total per Square Foot per Year 4.48$ 10.42$ 6.56$ 10.94$ 3.10$ 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Number of Leases 4 6 8 9 1 Square Feet of Leasing 53,924 38,361 71,756 125,189 2,758 Lease Term (months) 100 89 93 126 65 Tenant Improvements per Square Foot 62.88 57.07 56.97 48.59 7.00 Leasing Commissions per Square Foot 18.31 20.20 20.69 19.06 21.55 Total per Square Foot 81.19$ 77.27$ 77.66$ 67.65$ 28.55$ Tenant Improvements per Square Foot per Year of Lease Term 7.52 7.70 7.37 4.62 1.29 Leasing Commissions per Square Foot per Year of Lease Term 2.19 2.72 2.68 1.81 3.98 Total per Square Foot per Year 9.71$ 10.42$ 10.04$ 6.43$ 5.27$ 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Number of Leases 4 7 1 2 4 Square Feet of Leasing 136,175 95,711 6,287 4,540 14,637 Lease Term (months) 129 103 88 42 104 Cash Rent Releasing Spread 64.3% 6.2% 187.5% 1.0% 8.7% GAAP Rent Releasing Spread 85.3% 14.6% 225.1% 14.0% 20.4% Tenant Improvements per Square Foot 77.07 43.24 53.33 9.72 37.50 Leasing Commissions per Square Foot 35.73 28.42 20.00 12.25 22.10 Total per Square Foot 112.80$ 71.66$ 73.33$ 21.97$ 59.60$ Tenant Improvements per Square Foot per Year of Lease Term 7.16 5.02 7.27 2.77 4.33 Leasing Commissions per Square Foot per Year of Lease Term 3.32 3.30 2.73 3.49 2.55 Total per Square Foot per Year 10.48$ 8.32$ 10.00$ 6.26$ 6.88$ 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Number of Leases 9 19 15 18 9 Square Feet of Leasing 230,149 323,465 123,029 193,287 460,041 Lease Term (months) 113 141 117 111 164 Cash Rent Releasing Spread 61.3% 0.7% 58.7% -1.2% -20.1% GAAP Rent Releasing Spread 82.7% 8.2% 71.6% 12.3% -5.3% Tenant Improvements per Square Foot 65.03 79.44 66.60 46.31 29.79 Leasing Commissions per Square Foot 29.35 39.53 14.15 22.36 13.22 Total per Square Foot 94.38$ 118.97$ 80.75$ 68.67$ 43.01$ Tenant Improvements per Square Foot per Year of Lease Term 6.30 6.50 6.97 5.18 2.22 Leasing Commissions per Square Foot per Year of Lease Term 2.96 3.30 1.80 2.73 1.01 Total per Square Foot per Year 9.26$ 9.80$ 8.77$ 7.91$ 3.23$ (1) Includes executed leases that have not yet commenced for space covered by an existing lease. Supplemental Information - Q1 2015 21 Total Leases Renewal Leases New Leases (Space Vacant > 1 Year) New Leases (Space Vacant < 1 Year) (1) Columbia Property Trust, Inc. Three Months Ended Three Months Ended Three Months Ended Three Months Ended Leasing Summary
Unaudited (SF & $ in thousands, except net rent) (at 3/31/15) Rentable Leased Percent Square Footage Square Footage Leased As of December 31, 2014 15,428 14,394 93.3% Portfolio Activity (1) Acquisitions: 315 Park Avenue South 327 307 93.9% 1881 Campus Commons 245 191 78.0% 116 Huntington Avenue 271 211 77.8% Subtotal 16,271 15,103 92.8% Leasing Activity New Leases (2) 1 137 Lease Expirations/Early Terminations (222) Net Absorption 1 (85) As of March 31, 2015 16,272 15,018 92.3% (1) As of acquisition date. Supplemental Information - Q1 2015 22 (2) New leasing activity for space that was either vacant at the beginning of the quarter or that became available due to expiration/termination of an existing tenant. Columbia Property Trust, Inc. Occupancy Summary 92.4% 93.5% 93.5% 93.3% 92.3% 50% 60% 70% 80% 90% 100% 3/31/14 6/30/14 9/30/14 12/31/14 3/31/15 Percent Leased
Unaudited ($ in thousands) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Recurring 2,156$ 4,999$ 3,926$ 3,268$ 7,150$ Non-Recurring 3,977 815 1,616 2,419 130 Building Capital 6,133$ 5,814$ 5,542$ 5,687$ 7,280$ Recurring 7,366$ 4,350$ 5,294$ 6,512$ 1,811$ Non-Recurring 2,567 7,068 5,685 2,683 584 Tenant Improvements 9,933$ 11,418$ 10,979$ 9,195$ 2,395$ Recurring 2,824$ 7,166$ 1,456$ 709$ 5,964$ Non-Recurring 1,327 1,208 834 2,619 1,053 Leasing Commissions 4,151$ 8,374$ 2,290$ 3,328$ 7,017$ Recurring 801$ 4,422$ (185)$ 714$ 4,419$ Non-Recurring 2,884 (3,950) (218) 6,055 79 Other Leasing Costs 3,685$ 472$ (403)$ 6,769$ 4,498$ Total Recurring 13,147$ 20,937$ 10,491$ 11,203$ 19,344$ Total Non-Recurring 10,755 5,141 7,917 13,776 1,846 Total Capital Expenditures 23,902$ 26,078$ 18,408$ 24,979$ 21,190$ NOTE: See page 28 of this supplemental report for a description of Recurring and Non-Recurring Capital Expenditures. Supplemental Information - Q1 2015 23 Capital Expenditures Three Months Ended Columbia Property Trust, Inc. Capital Expenditure Summary
Unaudited ($ in thousands) (at 3/31/2015) Acquisitions Location Acquisition Date Percent Ownership Purchase Price Rentable Square Footage $ / SF % Leased at Acquisition 315 PARK AVENUE SOUTH New York, NY 1/7/2015 100.0% 372,000$ 326,812 1,138$ 93.9% 1881 CAMPUS COMMONS Reston, VA 1/7/2015 100.0% 64,000 244,565 262 78.0% Subtotal (2 Property Portfolio) 436,000$ 571,377 763$ 116 HUNTINGTON AVENUE Boston, MA 1/8/2015 100.0% 152,000 270,943 561 77.8% 650 CALIFORNIA STREET San Francisco, CA 9/9/2014 100.0% 310,200 478,392 648 88.1% 221 MAIN STREET San Francisco, CA 4/22/2014 100.0% 228,800 387,943 590 82.8% TOTAL 1,127,000$ 1,708,655 Dispositions Location Disposition Date Percent Ownership Sale Price Rentable Square Footage $ / SF % Leased at Disposition LENOX PARK BUILDINGS Atlanta, GA 10/3/2014 100.0% 290,000$ 1,040,327 279$ 100.0% 9 TECHNOLOGY DRIVE Boston, MA 8/22/2014 100.0% 47,000 250,813 187 100.0% 7031 COLUMBIA GATEWAY DRIVE Baltimore, MD 7/1/2014 100.0% 59,509 247,624 240 100.0% 200 SOUTH ORANGE Orlando, FL 6/30/2014 100.0% 18,800 128,296 147 100.0% 160 PARK AVENUE Northern New Jersey 6/4/2014 100.0% 10,200 240,274 42 0.0% 2500 WINDY RIDGE PARKWAY Atlanta, GA 11/5/2013 100.0% 315,918 100.0% 4200 WILDWOOD PARKWAY Atlanta, GA 11/5/2013 100.0% 265,078 100.0% 4100 - 4300 WILDWOOD PARKWAY Atlanta, GA 11/5/2013 100.0% 250,000 80.0% 120 EAGLE ROCK Northern New Jersey 11/5/2013 100.0% 177,820 35.4% 919 HIDDEN RIDGE Dallas, TX 11/5/2013 100.0% 253,340 100.0% 4300 CENTREWAY PLACE Dallas, TX 11/5/2013 100.0% 139,445 94.3% ONE CENTURY PLACE Nashville, TN 11/5/2013 100.0% 538,790 95.2% STERLING COMMERCE CENTER Columbus, OH 11/5/2013 100.0% 322,679 100.0% CHASE CENTER BUILDING Columbus, OH 11/5/2013 100.0% 388,669 100.0% 4241 IRWIN SIMPSON Cincinnati, OH 11/5/2013 100.0% 223,533 100.0% 8990 DUKE ROAD Cincinnati, OH 11/5/2013 100.0% 78,240 100.0% 11200 WEST PARKLAND AVENUE Milwaukee, WI 11/5/2013 100.0% 229,627 100.0% COLLEGE PARK PLAZA Indianapolis, IN 11/5/2013 100.0% 179,460 79.9% 1200 MORRIS DRIVE Philadelphia, PA 11/5/2013 100.0% 114,071 100.0% 13655 RIVERPORT DRIVE St. Louis, MO 11/5/2013 100.0% 188,500 100.0% 15815 25TH AVENUE WEST Seattle, WA 11/5/2013 100.0% 87,385 100.0% 16201 25TH AVENUE WEST Seattle, WA 11/5/2013 100.0% 68,962 0.0% 333 & 777 REPUBLIC DRIVE Detroit, MI 11/5/2013 100.0% 169,200 100.0% Subtotal (18 Property Portfolio) 521,500 3,990,717 131 DVINTSEV Moscow, Russia 3/21/2013 100.0% 67,500 144,863 466 93.1% TOTAL 1,014,509$ 6,042,914 Supplemental Information - Q1 2015 24 (1) Property acquired subsequent to quarter end. Unless explicitly stated, operational and portfolio information contained in this supplement does not reflect this transaction. Columbia Property Trust, Inc. Transaction Activity Property Name Property Name
Unaudited (in thousands, except per-share amounts) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Net Income 5,598$ 56,226$ 24,988$ 8,021$ 3,400$ Depreciation of real estate assets 34,007 30,313 29,980 30,169 27,304 Amortization of lease-related costs 23,219 20,625 19,476 20,221 18,521 (Gain) loss on sale of real estate assets - discontinued operations - 649 - 650 328 Gain on sale of real estate assets - continuing operations - (56,668) (18,607) - - Impairment loss on real estate assets - 10,148 - 1,432 13,550 FFO 62,824$ 61,293$ 55,837$ 60,493$ 63,103$ Real estate acquisition-related costs 1,995 44 7,996 6,102 - Shelf registration costs - - 269 - - Loss on early extinguishment of debt 477 23 - - - Normalized FFO 65,296$ 61,360$ 64,102$ 66,595$ 63,103$ Normalized FFO per share (basic) 0.52$ 0.49$ 0.51$ 0.53$ 0.51$ Normalized FFO per share (diluted) 0.52$ 0.49$ 0.51$ 0.53$ 0.51$ Additional amortization of lease assets (liabilities) (1) (2,742) (2,555) (931) (924) (276) Straight-line rental income (2) (3,937) (2,660) (3,253) 1,501 (2,356) Gain on interest rate swaps (1,315) (1,322) (1,300) (1,227) (1,097) Stock based compensation expense in G&A (3) 1,014 464 488 516 507 Non-cash interest expense (4) 1,069 758 785 776 736 Total other non-cash adjustments (5,911) (5,315) (4,211) 642 (2,486) Recurring capital expenditures (5) (13,147) (20,937) (10,491) (11,203) (19,344) AFFO 46,238$ 35,108$ 49,400$ 56,034$ 41,273$ AFFO per share (basic) 0.37$ 0.28$ 0.40$ 0.45$ 0.33$ AFFO per share (diluted) 0.37$ 0.28$ 0.40$ 0.45$ 0.33$ 124,903 124,868 124,863 124,860 124,851 124,935 124,944 124,938 124,919 124,887 (5) See page 28 of this supplemental report for a description of Recurring Capital Expenditures. Supplemental Information - Q1 2015 25 Columbia Property Trust, Inc. Adjusted Funds From Operations - AFFO (Reconciliation to Net Income) (4) This item represents amortization of financing costs paid in connection with executing our debt instruments, and the accretion of premiums (and amortization of discounts) on certain of our debt instruments. GAAP requires these items to be recognized over the remaining term of the respective debt instrument, which may not correlate with the ongoing operations of our real estate portfolio. Three Months Ended (1) GAAP implicitly assumes that the value of intangible lease assets (liabilities) diminishes predictably over time and, thus, requires these charges to be recognized ratably over the respective lease terms. Such intangible lease assets (liabilities) arise from the allocation of acquisition price related to direct costs associated with obtaining a new tenant, the value of opportunity costs associated with lost rentals, the value of tenant relationships, and the value of effective rental rates of in-place leases that are above or below market rates of comparable leases at the time of acquisition. Like real estate values, market lease rates in aggregate have historically risen or fallen with local market conditions. (3) This item represents the noncash impact of compensation expense related to stock granted under our 2013 Long-Term Incentive Plan. (2) Prior to first quarter 2015, adjustments for straight-line rent related to lease terminations were included. Weighted-average common shares outstanding - basic Weighted-average common shares outstanding - diluted
Unaudited (in thousands) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Net Income 5,598$ 56,226$ 24,988$ 8,021$ 3,400$ Interest expense (net) 21,469 19,638 19,273 18,860 17,910 Interest income from development authority bonds (1,800) (1,800) (1,800) (1,800) (1,800) Income tax expense (benefit) (196) 246 409 351 (344) Depreciation 34,007 30,313 29,980 30,169 27,304 Amortization 23,219 20,625 19,476 20,221 18,521 EBITDA 82,297$ 125,248$ 92,326$ 75,822$ 64,991$ Impairment loss - 10,148 - 1,432 13,550 Gain on sale of real estate assets - (56,668) (18,607) - - Shelf registration costs - - 269 - - Real estate acquisition-related costs 1,995 44 7,996 6,102 - Loss on early extinguishment of debt 477 23 - - - Discontinued operations adjustments - 649 - 650 328 Adjusted EBITDA 84,769$ 79,444$ 81,984$ 84,006$ 78,869$ General and administrative 8,044 8,081 7,836 8,412 6,946 Shelf registration costs in G&A - - (269) - - Interest rate swap valuation adjustment (1,315) (1,322) (1,300) (1,227) (1,097) Interest expense associated with interest rate swaps 1,321 1,330 1,328 1,332 1,327 Lease termination income (1) (1,139) (1,829) (877) (3,138) (447) Straight line rental income (3,937) (2,288) (2,195) (1,789) (2,090) Net effect of above/(below) market amortization (2,742) (2,505) (957) (1,092) (402) Non-cash property operations - (50) 27 169 125 Operating loss from discontinued operations - cash basis - 79 548 110 18 Net Operating Income - Cash Basis 85,001$ 80,940$ 86,125$ 86,783$ 83,249$ Less Net Operating Income from: Acquisitions (2) (9,531) (4,009) (1,807) (943) - Dispositions (3) (17) (172) (5,443) (7,130) (7,061) Same Store NOI - Cash Basis 75,453$ 76,759$ 78,875$ 78,710$ 76,188$ Supplemental Information - Q1 2015 26 Columbia Property Trust, Inc. Net Operating Income and Same Store Net Operating Income - Cash Basis (Reconciliation to Net Income) (3) Includes the following dispositions: Lenox Park Buildings, 9 Technology Drive, 7031 Columbia Gateway Drive, 200 South Orange, and 160 Park Avenue. (1) Includes adjustments for straight-line rent related to lease terminations. Three Months Ended (2) Includes the following acquisitions: 315 Park Avenue South, 1881 Campus Commons, 116 Huntington Avenue, 650 California Street, and 221 Main Street.
Unaudited (in thousands) 3/31/2015 12/31/2014 9/30/2014 6/30/2014 3/31/2014 Net Income 5,598$ 56,226$ 24,988$ 8,021$ 3,400$ Interest expense (net) 21,469 19,638 19,273 18,860 17,910 Interest income from development authority bonds (1,800) (1,800) (1,800) (1,800) (1,800) Income tax expense (benefit) (196) 246 409 351 (344) Depreciation 34,007 30,313 29,980 30,169 27,304 Amortization 23,219 20,625 19,476 20,221 18,521 EBITDA 82,297$ 125,248$ 92,326$ 75,822$ 64,991$ Impairment loss - 10,148 - 1,432 13,550 Gain on sale of real estate assets - (56,668) (18,607) - - Shelf registration costs - - 269 - - Real estate acquisition-related costs 1,995 44 7,996 6,102 - Loss on early extinguishment of debt 477 23 - - - Discontinued operations adjustments - 649 - 650 328 Adjusted EBITDA 84,769$ 79,444$ 81,984$ 84,006$ 78,869$ General and administrative 8,044 8,081 7,836 8,412 6,946 Shelf registration costs in G&A - - (269) - - Interest rate swap valuation adjustment (1,315) (1,322) (1,300) (1,227) (1,097) Interest expense associated with interest rate swaps 1,321 1,330 1,328 1,332 1,327 Lease termination income (1) (1,139) (1,829) (877) (3,138) (447) Operating loss from discontinued operations - GAAP basis - 29 575 279 142 Net Operating Income - GAAP Basis 91,680$ 85,733$ 89,277$ 89,664$ 85,740$ Less Net Operating Income from: Acquisitions (2) (14,186) (7,234) (3,136) (1,869) - Dispositions (3) (17) (175) (5,658) (7,532) (7,487) Same Store NOI - GAAP Basis 77,477$ 78,324$ 80,483$ 80,263$ 78,253$ Supplemental Information - Q1 2015 27 Columbia Property Trust, Inc. (3) Includes the following dispositions: Lenox Park Buildings, 9 Technology Drive, 7031 Columbia Gateway Drive, 200 South Orange, 160 Park Avenue. (2) Includes the following acquisitions: 315 Park Avenue South, 1881 Campus Commons, 116 Huntington Avenue, 650 California Street, and 221 Main Street. Net Operating Income and Same Store Net Operating Income - GAAP Basis (Reconciliation to Net Income) Three Months Ended (1) Includes adjustments for straight-line rent related to lease terminations.
Supplemental Information - Q1 2015 28 GAAP Net Operating Income (“GAAP NOI”): GAAP NOI is defined as Adjusted EBITDA adjusted for (i) portfolio general and administrative expense, (ii) interest rate swap valuation adjustments, (iii) interest expense associated with interest rates swaps, (iv) GAAP lease termination income, (v) discontinued operations adjustments. The company uses this measure to assess its operating results and believes it is important in assessing operating performance. GAAP NOI is a non- GAAP measure which does not have any standard meaning prescribed by GAAP and therefore may not be comparable to similar measures presented by other companies. Recurring Capital Expenditures: Recurring Capital Expenditures are defined as capital expenditures incurred to maintain the building structure and functionality, and to lease space at our properties in their current condition. Recurring capital expenditures include building capital, tenant improvements, and leasing commissions. This measure excludes capital for first generation leasing and acquisitions. Non-Recurring Capital Expenditures : Non-Recurring Capital Expenditures are defined as capital expenditures incurred to repurpose a building and to lease space to first generation tenants. Capital expenditures that don’t meet the definition of “recurring capital expenditures” are also included in this measure. Same Store Net Operating Income (“Same Store NOI”): Same Store NOI is calculated as the NOI attributable to the properties owned or placed in service during the entire span of the current and prior year reporting periods. We believe Same Store NOI is an important measure of comparison of our stabilized properties’ operating performance. Other REITs may calculate Same Store NOI differently and our calculation should not be compared to that of other REITs. Cash Net Operating Income (“Cash NOI”): Cash NOI is defined as Adjusted EBITDA adjusted for (i) portfolio general and administrative expense, (ii) interest rate swap valuation adjustments, (iii) interest expense associated with interest rates swaps, (iv) GAAP lease termination income, (v) non-cash property operations, (vi) straight-line rental income, (vii) net effect of above/(below) market amortization, and (viii) discontinued operations adjustments. The company uses this measure to assess its operating results and believes it is important in assessing operating performance. Cash NOI is a non-GAAP measure which does not have any standard meaning prescribed by GAAP and therefore may not be comparable to similar measures presented by other companies. Included in this supplemental report are non-GAAP financial measures, which are accompanied by what we consider the most directly comparable financial measures calculated and presented in accordance with GAAP. These measures include earnings (or components of earnings), as defined, from both continuing operations and discontinued operations. A description of the non-GAAP financial measures we present and a statement of the reasons why management believes the non-GAAP measures provide useful information to investors about the company's financial condition and results of operations can be found below. Adjusted Funds From Operations (“AFFO”): AFFO is calculated by adjusting Normalized FFO to exclude (i) additional amortization of lease assets (liabilities), (ii) straight-line rental income, (iii) gain (loss) on interest rate swaps, (iv) recurring capital expenditures, and adding back (v) stock based compensation expense and (vi) non-cash interest expense. Because AFFO adjusts for income and expenses that we believe are not reflective of the sustainability of our ongoing operating performance, we believe AFFO provides useful supplemental information. AFFO is a non-GAAP financial measure and should not be viewed as an alternative measurement of our operating performance to net income, as an alternative to net cash flows from operating activities or as a measure of our liquidity. Annualized Lease Revenue (“ALR”): ALR is the sum of (i) annualized rental payments (defined as base rent plus operating expense reimbursements, excluding rental abatements) for executed and commenced leases as well as leases executed but not yet commenced for vacant space, and (ii) annualized parking revenues, payable either under the terms of an executed lease or vendor contract. ALR excludes rental payments for executed leases that have not yet commenced for space covered by an existing lease. Adjusted EBITDA: Adjusted EBITDA is defined as net income before interest, taxes, depreciation and amortization and incrementally removing any impairment losses, gains or losses from sales of property, real estate acquisition-related costs, discontinued operations adjustments, or other extraordinary items. We do not include impairment losses in this measure because we feel these types of losses create volatility in our earnings and make it difficult to determine the earnings generated by our ongoing business. We believe adjusted EBITDA is a reasonable measure of our liquidity. Adjusted EBITDA is a non-GAAP financial measure and should not be viewed as an alternative measurement of cash flows from operating activities or other GAAP basis liquidity measures. Other REITs may calculate adjusted EBITDA differently and our calculation should not be compared to that of other REITs. Columbia Property Trust, Inc. Definitions Funds From Operations (“FFO”): FFO, as defined by the National Association of Real Estate Investment Trusts (“NAREIT”), represents net income (computed in accordance with GAAP), plus depreciation of real estate assets and amortization of lease-related costs, excluding gains (losses) on sales of real estate and impairment losses on real estate assets. The Company computes FFO in accordance with NAREIT's definition, which may differ from the methodology for calculating FFO, or similarly titled measures, used by other companies and this may not be comparable to those presentations. We consider FFO an appropriate supplemental performance measure given its wide use by and relevance to investors and analysts. FFO, reflecting the assumption that real estate asset values rise or fall with market conditions, principally adjusts for the effects of GAAP depreciation and amortization of real estate assets, which assume that the value of real estate diminishes predictably over time. Normalized FFO: We calculate Normalized FFO by starting with FFO, as defined by NAREIT, and adjusting for (i) real estate acquisition-related costs, (ii) listing costs, and (iii) loss on early extinguishment of debt. Such items create significant earnings volatility. We believe Normalized FFO provides a meaningful measure of our operating performance and more predictability regarding future earnings potential. Normalized FFO is a non-GAAP financial measure and should not be viewed as an alternative measurement of our operating performance to net income; therefore, it should not be compared to other REITs' equivalent to Normalized FFO. EBITDA: EBITDA is defined as net income before interest, taxes, depreciation and amortization. We believe EBITDA is a reasonable measure of our liquidity. EBITDA is a non-GAAP financial measure and should not be viewed as an alternative measurement of cash flows from operating activities or other GAAP basis liquidity measures. Other REITs may calculate EBITDA differently and our calculation should not be compared to that of other REITs.
