Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | 2-May-14 | |
Entity Information [Line Items] | ' | ' |
Entity Registrant Name | 'DUKE REALTY CORP | ' |
Entity Central Index Key | '0000783280 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 329,489,363 |
Subsidiary of Common Parent [Member] | ' | ' |
Entity Information [Line Items] | ' | ' |
Entity Registrant Name | 'DUKE REALTY LIMITED PARTNERSHIP/ | ' |
Entity Central Index Key | '0001003410 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Land and improvements | $1,457,690 | $1,438,007 |
Buildings and tenant improvements | 5,605,272 | 5,531,726 |
Construction in progress | 277,398 | 256,895 |
Investments in and advances to unconsolidated companies | 336,060 | 342,947 |
Undeveloped land | 570,718 | 590,052 |
Real estate investment property, at cost, total | 8,247,138 | 8,159,627 |
Accumulated depreciation | -1,419,088 | -1,368,406 |
Net real estate investments | 6,828,050 | 6,791,221 |
Real estate investments and other assets held-for-sale | 34,826 | 57,466 |
Cash and cash equivalents | 19,474 | 19,275 |
Accounts receivable, net of allowance | 34,763 | 26,173 |
Straight-line rent receivable, net of allowance | 126,286 | 118,251 |
Receivables on construction contracts, including retentions | 27,833 | 19,209 |
Deferred financing costs, net of accumulated amortization | 33,764 | 36,250 |
Deferred leasing and other costs, net of accumulated amortization | 457,508 | 466,979 |
Escrow deposits and other assets | 204,859 | 217,790 |
Total Assets | 7,767,363 | 7,752,614 |
LIABILITIES AND EQUITY | ' | ' |
Secured debt | 1,077,468 | 1,100,124 |
Unsecured debt | 3,065,742 | 3,066,252 |
Unsecured line of credit | 180,000 | 88,000 |
Long-term debt, total | 4,323,210 | 4,254,376 |
Liabilities related to real estate investments held-for-sale | 179 | 2,075 |
Construction payables and amounts due subcontractors, including retentions | 72,695 | 69,380 |
Accrued real estate taxes | 77,169 | 74,696 |
Accrued interest | 36,468 | 52,824 |
Other accrued expenses | 52,118 | 67,495 |
Other liabilities | 138,598 | 142,589 |
Tenant security deposits and prepaid rents | 50,264 | 44,550 |
Total Liabilities | 4,750,701 | 4,707,985 |
Equity | ' | ' |
Preferred shares | 428,926 | 447,683 |
Common shares | 3,285 | 3,264 |
Additional paid-in capital | 4,649,914 | 4,620,964 |
Accumulated other comprehensive income | 3,832 | 4,119 |
Distributions in excess of net income | -2,100,245 | -2,062,787 |
Total shareholders' equity | 2,985,712 | 3,013,243 |
Noncontrolling interests | 30,950 | 31,386 |
Total Equity | 3,016,662 | 3,044,629 |
Total Liabilities and Equity | 7,767,363 | 7,752,614 |
Subsidiary of Common Parent [Member] | ' | ' |
ASSETS | ' | ' |
Land and improvements | 1,457,690 | 1,438,007 |
Buildings and tenant improvements | 5,605,272 | 5,531,726 |
Construction in progress | 277,398 | 256,895 |
Investments in and advances to unconsolidated companies | 336,060 | 342,947 |
Undeveloped land | 570,718 | 590,052 |
Real estate investment property, at cost, total | 8,247,138 | 8,159,627 |
Accumulated depreciation | -1,419,088 | -1,368,406 |
Net real estate investments | 6,828,050 | 6,791,221 |
Real estate investments and other assets held-for-sale | 34,826 | 57,466 |
Cash and cash equivalents | 19,474 | 19,275 |
Accounts receivable, net of allowance | 34,763 | 26,173 |
Straight-line rent receivable, net of allowance | 126,286 | 118,251 |
Receivables on construction contracts, including retentions | 27,833 | 19,209 |
Deferred financing costs, net of accumulated amortization | 33,764 | 36,250 |
Deferred leasing and other costs, net of accumulated amortization | 457,508 | 466,979 |
Escrow deposits and other assets | 204,859 | 217,790 |
Total Assets | 7,767,363 | 7,752,614 |
LIABILITIES AND EQUITY | ' | ' |
Secured debt | 1,077,468 | 1,100,124 |
Unsecured debt | 3,065,742 | 3,066,252 |
Unsecured line of credit | 180,000 | 88,000 |
Long-term debt, total | 4,323,210 | 4,254,376 |
Liabilities related to real estate investments held-for-sale | 179 | 2,075 |
Construction payables and amounts due subcontractors, including retentions | 72,695 | 69,380 |
Accrued real estate taxes | 77,169 | 74,696 |
Accrued interest | 36,468 | 52,824 |
Other accrued expenses | 52,362 | 67,739 |
Other liabilities | 138,598 | 142,589 |
Tenant security deposits and prepaid rents | 50,264 | 44,550 |
Total Liabilities | 4,750,945 | 4,708,229 |
Equity | ' | ' |
Common equity | 2,556,883 | 2,565,370 |
Preferred equity | 428,926 | 447,683 |
General Partners' equity | 2,985,809 | 3,013,053 |
Limited Partners' common equity | 19,662 | 20,158 |
Accumulated other comprehensive income | 3,832 | 4,119 |
Total partners' equity | 3,009,303 | 3,037,330 |
Noncontrolling interests | 7,115 | 7,055 |
Total Equity | 3,016,418 | 3,044,385 |
Total Liabilities and Equity | $7,767,363 | $7,752,614 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Accounts receivable, allowance | $1,888 | $1,576 |
Straight-line rent receivable, allowance | 6,404 | 9,350 |
Deferred financing costs, accumulated amortization | 39,553 | 37,016 |
Deferred leasing and other costs, accumulated amortization | 305,316 | 394,049 |
Preferred shares, par value | $0.01 | $0.01 |
Preferred shares, shares authorized | 5,000,000 | 5,000,000 |
Preferred shares, shares issued | 1,716,000 | 1,791,000 |
Preferred shares, shares outstanding | 1,716,000 | 1,791,000 |
Common shares, par value | $0.01 | $0.01 |
Common shares, shares authorized | 400,000,000 | 400,000,000 |
Common shares, shares issued | 328,480,000 | 326,399,000 |
Common shares, shares outstanding | 328,480,000 | 326,399,000 |
Subsidiary of Common Parent [Member] | ' | ' |
Accounts receivable, allowance | 1,888 | 1,576 |
Straight-line rent receivable, allowance | 6,404 | 9,350 |
Deferred financing costs, accumulated amortization | 39,553 | 37,016 |
Deferred leasing and other costs, accumulated amortization | $305,316 | $394,049 |
Common equity, General Partner Units issued | 328,480,000 | 326,399,000 |
Common equity, General Partner Units outstanding | 328,480,000 | 326,399,000 |
Preferred Units, Issued | 1,716,000 | 1,791,000 |
Preferred Units, Outstanding | 1,716,000 | 1,791,000 |
Limited Partner Units issued | 4,387,000 | 4,387,000 |
Limited Partner Units outstanding | 4,387,000 | 4,387,000 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations and Comprehensive Income (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Revenues: | ' | ' |
Rental and related revenue | $237,350 | $209,879 |
General contractor and service fee revenue | 55,820 | 47,404 |
Revenues, total | 293,170 | 257,283 |
Expenses: | ' | ' |
Rental expenses | 50,267 | 38,861 |
Real estate taxes | 32,467 | 29,040 |
General contractor and other services expenses | 47,271 | 38,341 |
Depreciation and amortization | 98,059 | 92,993 |
Costs and expenses, total | 228,064 | 199,235 |
Other operating activities: | ' | ' |
Equity in earnings (loss) of unconsolidated companies | 2,321 | 49,378 |
Gain on sale of properties | 15,853 | 168 |
Earnings from sales of land | 152 | 0 |
Undeveloped land carrying costs | -2,124 | -2,198 |
Other Operating Income (Expense), Net | -92 | -68 |
General and administrative expenses | -14,694 | -13,145 |
Other Operating Activities, Net | 1,416 | 34,135 |
Operating income | 66,522 | 92,183 |
Other income (expenses): | ' | ' |
Interest and other income, net | 351 | 153 |
Interest expense | -55,257 | -57,181 |
Acquisition-related activity | -14 | 643 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 11,602 | 35,798 |
Income Tax Expense (Benefit) | -2,674 | 0 |
Income (loss) from continuing operations | 8,928 | 35,798 |
Discontinued operations: | ' | ' |
Income (loss) before gain on sales | -132 | -629 |
Gain on sale of depreciable properties | 16,775 | 8,954 |
Income (loss) from discontinued operations | 16,643 | 8,325 |
Net income (loss) | 25,571 | 44,123 |
Dividends on preferred shares/units | -7,037 | -9,550 |
Adjustments for redemption of preferred shares/units | 483 | -5,932 |
Net (income) loss attributable to noncontrolling interests | -334 | -598 |
Net income (loss) attributable to common shareholders/unitholders | 18,683 | 28,043 |
Basic net income (loss) per common share/unit: | ' | ' |
Continuing operations attributable to common shareholders/unitholders | $0.01 | $0.06 |
Discontinued operations attributable to common shareholders/unitholders | $0.05 | $0.03 |
Total | $0.06 | $0.09 |
Diluted net income (loss) per common share/unit: | ' | ' |
Continuing operations attributable to common shareholders/unitholders | $0.01 | $0.06 |
Discontinued operations attributable to common shareholders/unitholders | $0.05 | $0.03 |
Total | $0.06 | $0.09 |
Weighted average number of common shares/units outstanding | 327,106 | 314,936 |
Weighted average number of common shares/units and potential dilutive securities | 331,716 | 319,571 |
Comprehensive income (loss): | ' | ' |
Net income (loss) | 25,571 | 44,123 |
Other comprehensive income: | ' | ' |
Amortization of interest contracts | -287 | 457 |
Other | 0 | 80 |
Total other comprehensive income | -287 | 537 |
Comprehensive income (loss) | 25,284 | 44,660 |
Subsidiary of Common Parent [Member] | ' | ' |
Revenues: | ' | ' |
Rental and related revenue | 237,350 | 209,879 |
General contractor and service fee revenue | 55,820 | 47,404 |
Revenues, total | 293,170 | 257,283 |
Expenses: | ' | ' |
Rental expenses | 50,267 | 38,861 |
Real estate taxes | 32,467 | 29,040 |
General contractor and other services expenses | 47,271 | 38,341 |
Depreciation and amortization | 98,059 | 92,993 |
Costs and expenses, total | 228,064 | 199,235 |
Other operating activities: | ' | ' |
Equity in earnings (loss) of unconsolidated companies | 2,321 | 49,378 |
Gain on sale of properties | 15,853 | 168 |
Earnings from sales of land | 152 | 0 |
Undeveloped land carrying costs | -2,124 | -2,198 |
Other Operating Income (Expense), Net | -92 | -68 |
General and administrative expenses | -14,694 | -13,145 |
Other Operating Activities, Net | 1,416 | 34,135 |
Operating income | 66,522 | 92,183 |
Other income (expenses): | ' | ' |
Interest and other income, net | 351 | 153 |
Interest expense | -55,257 | -57,181 |
Acquisition-related activity | -14 | 643 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 11,602 | 35,798 |
Income Tax Expense (Benefit) | -2,674 | 0 |
Income (loss) from continuing operations | 8,928 | 35,798 |
Discontinued operations: | ' | ' |
Income (loss) before gain on sales | -132 | -629 |
Gain on sale of depreciable properties | 16,775 | 8,954 |
Income (loss) from discontinued operations | 16,643 | 8,325 |
Net income (loss) | 25,571 | 44,123 |
Dividends on preferred shares/units | -7,037 | -9,550 |
Adjustments for redemption of preferred shares/units | 483 | -5,932 |
Noncontrolling Interest in Net Income (Loss) Joint Venture Partners, NonRedeemable | -84 | -206 |
Net income (loss) attributable to common shareholders/unitholders | 18,933 | 28,435 |
Basic net income (loss) per common share/unit: | ' | ' |
Continuing operations attributable to common shareholders/unitholders | $0.01 | $0.06 |
Discontinued operations attributable to common shareholders/unitholders | $0.05 | $0.03 |
Total | $0.06 | $0.09 |
Diluted net income (loss) per common share/unit: | ' | ' |
Continuing operations attributable to common shareholders/unitholders | $0.01 | $0.06 |
Discontinued operations attributable to common shareholders/unitholders | $0.05 | $0.03 |
Total | $0.06 | $0.09 |
Weighted average number of common shares/units outstanding | 331,493 | 319,341 |
Weighted average number of common shares/units and potential dilutive securities | 331,716 | 319,571 |
Comprehensive income (loss): | ' | ' |
Net income (loss) | 25,571 | 44,123 |
Other comprehensive income: | ' | ' |
Amortization of interest contracts | -287 | 457 |
Other | 0 | 80 |
Total other comprehensive income | -287 | 537 |
Comprehensive income (loss) | $25,284 | $44,660 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Cash flows from operating activities: | ' | ' |
Net income (loss) | $25,571 | $44,123 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ' | ' |
Depreciation of buildings and tenant improvements | 71,393 | 70,548 |
Amortization of deferred leasing and other costs | 26,871 | 29,232 |
Amortization of deferred financing costs | 2,499 | 3,507 |
Straight-line rental income and expense, net | -5,974 | -4,839 |
Gain on acquisitions | 0 | -962 |
Gains on land and depreciated property sales | -30,106 | -9,122 |
Third-party construction contracts, net | 411 | 11,138 |
Other accrued revenues and expenses, net | -33,911 | -26,261 |
Operating distributions received in excess of (less than) equity in earnings from unconsolidated companies | 2,383 | -43,930 |
Net cash provided by operating activities | 59,137 | 73,434 |
Cash flows from investing activities: | ' | ' |
Development of real estate investments | -105,413 | -103,684 |
Acquisition of real estate investments and related intangible assets | -17,224 | -35,495 |
Acquisition of undeveloped land | -2,270 | -5,149 |
Second generation tenant improvements, leasing costs and building improvements | -19,631 | -17,119 |
Other deferred leasing costs | -8,706 | -11,079 |
Other assets | 5,539 | -5,124 |
Proceeds from land and depreciated property sales, net | 70,673 | 61,931 |
Capital distributions from unconsolidated companies | 2,546 | 89,237 |
Capital contributions and advances to unconsolidated companies | -420 | -4,846 |
Net cash provided by (used for) investing activities | -74,906 | -31,328 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of common shares, net | 23,783 | 574,685 |
Payments for redemption/repurchase of preferred shares/units | -17,656 | -177,955 |
Proceeds from unsecured debt | 0 | 250,000 |
Payments on unsecured debt | -511 | -480 |
Proceeds from secured debt financings | 0 | 1,933 |
Payments on secured indebtedness including principal amortization | -21,471 | -17,486 |
Borrowings (payments) on line of credit, net | 92,000 | -285,000 |
Distributions to common shareholders/unitholders | -55,596 | -54,678 |
Distributions to preferred shareholders/unitholders | -7,140 | -9,550 |
Distributions to Noncontrolling Interest, Net | -770 | -961 |
Change in book overdrafts | 3,629 | -45,272 |
Deferred financing costs | -300 | -4,064 |
Net cash provided by (used for) financing activities | 15,968 | 231,172 |
Net increase (decrease) in cash and cash equivalents | 199 | 273,278 |
Cash and cash equivalents at beginning of period | 19,275 | 33,889 |
Cash and cash equivalents at end of period | 19,474 | 307,167 |
Noncash investing and financing activities: | ' | ' |
Assumption of indebtedness and other liabilities in real estate acquisitions | 76 | 50 |
Carrying amount of pre-existing ownership interest in acquired property | 0 | 630 |
Conversion of Limited Partner Units to common shares | 0 | 337 |
Subsidiary of Common Parent [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income (loss) | 25,571 | 44,123 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ' | ' |
Depreciation of buildings and tenant improvements | 71,393 | 70,548 |
Amortization of deferred leasing and other costs | 26,871 | 29,232 |
Amortization of deferred financing costs | 2,499 | 3,507 |
Straight-line rental income and expense, net | -5,974 | -4,839 |
Gain on acquisitions | 0 | -962 |
Gains on land and depreciated property sales | -30,106 | -9,122 |
Third-party construction contracts, net | 411 | 11,138 |
Other accrued revenues and expenses, net | -33,911 | -26,232 |
Operating distributions received in excess of (less than) equity in earnings from unconsolidated companies | 2,383 | -43,930 |
Net cash provided by operating activities | 59,137 | 73,463 |
Cash flows from investing activities: | ' | ' |
Development of real estate investments | -105,413 | -103,684 |
Acquisition of real estate investments and related intangible assets | -17,224 | -35,495 |
Acquisition of undeveloped land | -2,270 | -5,149 |
Second generation tenant improvements, leasing costs and building improvements | -19,631 | -17,119 |
Other deferred leasing costs | -8,706 | -11,079 |
Other assets | 5,539 | -5,124 |
Proceeds from land and depreciated property sales, net | 70,673 | 61,931 |
Capital distributions from unconsolidated companies | 2,546 | 89,237 |
Capital contributions and advances to unconsolidated companies | -420 | -4,846 |
Net cash provided by (used for) investing activities | -74,906 | -31,328 |
Cash flows from financing activities: | ' | ' |
Contributions from the General Partner | 23,783 | 574,685 |
Payments for redemption/repurchase of preferred shares/units | -17,656 | -177,955 |
Proceeds from unsecured debt | 0 | 250,000 |
Payments on unsecured debt | -511 | -480 |
Proceeds from secured debt financings | 0 | 1,933 |
Payments on secured indebtedness including principal amortization | -21,471 | -17,486 |
Borrowings (payments) on line of credit, net | 92,000 | -285,000 |
Distributions to common shareholders/unitholders | -56,342 | -55,458 |
Distributions to preferred shareholders/unitholders | -7,140 | -9,550 |
Distributions to Noncontrolling Interest, Net | -24 | -210 |
Change in book overdrafts | 3,629 | -45,272 |
Deferred financing costs | -300 | -4,064 |
Net cash provided by (used for) financing activities | 15,968 | 231,143 |
Net increase (decrease) in cash and cash equivalents | 199 | 273,278 |
Cash and cash equivalents at beginning of period | 19,275 | 33,889 |
Cash and cash equivalents at end of period | 19,474 | 307,167 |
Noncash investing and financing activities: | ' | ' |
Assumption of indebtedness and other liabilities in real estate acquisitions | 76 | 50 |
Carrying amount of pre-existing ownership interest in acquired property | 0 | 630 |
Conversion of Limited Partner Units to common shares | $0 | $337 |
Consolidated_Statement_of_Chan
Consolidated Statement of Changes in Equity (USD $) | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Distributions in Excess of Net Income [Member] | Non-controlling Interest [Member] | Subsidiary of Common Parent [Member] | Subsidiary of Common Parent [Member] | Subsidiary of Common Parent [Member] | Subsidiary of Common Parent [Member] | Subsidiary of Common Parent [Member] | Subsidiary of Common Parent [Member] | Subsidiary of Common Parent [Member] |
In Thousands, unless otherwise specified | Preferred Stock [Member] | Common Stock [Member] | Limited Partner [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Non-controlling Interest [Member] | Stockholders' Equity, Total [Member] | ||||||||
Beginning Balance - Partnership at Dec. 31, 2013 | ' | ' | ' | ' | ' | ' | ' | $3,044,385 | $447,683 | $2,565,370 | $20,158 | $4,119 | $7,055 | $3,037,330 |
Beginning Balance - General Partner at Dec. 31, 2013 | 3,044,629 | 447,683 | 3,264 | 4,620,964 | 4,119 | -2,062,787 | 31,386 | ' | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net Income | 25,571 | ' | ' | ' | ' | 25,237 | 334 | 25,571 | 7,037 | 18,200 | 250 | ' | 84 | 25,487 |
Other comprehensive income | -287 | ' | ' | ' | -287 | ' | ' | -287 | ' | ' | ' | -287 | ' | -287 |
Issuance of common shares | 23,783 | ' | 14 | 23,769 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital contribution from the General Partner | ' | ' | ' | ' | ' | ' | ' | 23,783 | ' | 23,783 | ' | ' | ' | 23,783 |
Stock based compensation plan activity | 4,025 | ' | 7 | 4,563 | ' | -545 | ' | 4,025 | ' | 4,025 | ' | ' | ' | 4,025 |
Distributions to preferred shareholders/unitholders | -7,037 | ' | ' | ' | ' | -7,037 | ' | -7,037 | -7,037 | ' | ' | ' | ' | -7,037 |
Repurchase of preferred shares/units | -17,656 | -18,757 | ' | 618 | ' | 483 | ' | -17,656 | -18,757 | 1,101 | ' | ' | ' | -17,656 |
Partners' Capital Account, Distributions | ' | ' | ' | ' | ' | ' | ' | -56,342 | ' | -55,596 | -746 | ' | ' | -56,342 |
Distributions to common shareholders | -55,596 | ' | ' | ' | ' | -55,596 | ' | ' | ' | ' | ' | ' | ' | ' |
Distributions to noncontrolling interests, net | -770 | ' | ' | ' | ' | ' | -770 | -24 | ' | ' | ' | ' | -24 | ' |
Ending Balance - Partnership at Mar. 31, 2014 | ' | ' | ' | ' | ' | ' | ' | 3,016,418 | 428,926 | 2,556,883 | 19,662 | 3,832 | 7,115 | 3,009,303 |
Ending Balance - General Partner at Mar. 31, 2014 | $3,016,662 | $428,926 | $3,285 | $4,649,914 | $3,832 | ($2,100,245) | $30,950 | ' | ' | ' | ' | ' | ' | ' |
Consolidated_Statement_of_Chan1
Consolidated Statement of Changes in Equity (Parenthetical) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Distributions to common shareholders, per share | $0.17 |
Subsidiary of Common Parent [Member] | ' |
Distributions to Partners, per Common Unit | $0.17 |
General_Basis_of_Presentation_
General Basis of Presentation (Notes) | 3 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
General Basis of Presentation | ' |
General Basis of Presentation | |
The interim consolidated financial statements included herein have been prepared by Duke Realty Corporation (the "General Partner") and Duke Realty Limited Partnership (the "Partnership"). In this Report, unless the context indicates otherwise, the terms "Company," "we," "us" and "our" refer to the General Partner and the Partnership, collectively, and those entities owned or controlled by the General Partner and/or the Partnership. The 2013 year-end consolidated balance sheet data included in this Quarterly Report on Form 10-Q (this "Report") was derived from the audited financial statements in the combined Annual Report on Form 10-K of the General Partner and the Partnership for the year ended December 31, 2013, but does not include all disclosures required by accounting principles generally accepted in the United States of America ("GAAP"). The financial statements have been prepared in accordance with GAAP for interim financial information and in accordance with Rule 10-01 of Regulation S-X of the Securities Exchange Act of 1934, as amended. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and revenue and expenses during the reporting period. Our actual results could differ from those estimates and assumptions. These financial statements should be read in conjunction with Management's Discussion and Analysis of Financial Condition and Results of Operations included herein and the consolidated financial statements and notes thereto included in the combined Annual Report on Form 10-K of the General Partner and the Partnership for the year ended December 31, 2013. | |
The General Partner was formed in 1985, and we believe that it qualifies as a real estate investment trust ("REIT") under the provisions of the Internal Revenue Code of 1986, as amended (the "Code"). The Partnership was formed on October 4, 1993, when the General Partner contributed all of its properties and related assets and liabilities, together with the net proceeds from an offering of additional shares of its common stock, to the Partnership. Simultaneously, the Partnership completed the acquisition of Duke Associates, a full-service commercial real estate firm operating in the Midwest whose operations began in 1972. | |
The General Partner is the sole general partner of the Partnership, owning approximately 98.7% of the common partnership interests of the Partnership ("General Partner Units") at March 31, 2014. The remaining 1.3% of the common partnership interests ("Limited Partner Units" and, together with the General Partner Units, the "Common Units") are owned by limited partners. As the sole general partner of the Partnership, the General Partner has full, exclusive and complete responsibility and discretion in the day-to-day management and control of the Partnership. The General Partner and the Partnership are operated as one enterprise. The management of the General Partner consists of the same members as the management of the Partnership. As the sole general partner with control of the Partnership, the General Partner consolidates the Partnership for financial reporting purposes, and the General Partner does not have any significant assets other than its investment in the Partnership. Therefore, the assets and liabilities of the General Partner and the Partnership are substantially the same. | |
Limited Partners have the right to redeem their Limited Partner Units, subject to certain restrictions. Pursuant to the Fourth Amended and Restated Agreement of Limited Partnership, as amended (the "Partnership Agreement"), the General Partner is obligated to redeem the Limited Partner Units in shares of its common stock, unless it determines in its reasonable discretion that the issuance of shares of its common stock could cause it to fail to qualify as a REIT. Each Limited Partner Unit shall be redeemed for one share of the General Partner's common stock, or, in the event that the issuance of shares could cause the General Partner to fail to qualify as a REIT, cash equal to the fair market value of one share of the General Partner's common stock at the time of redemption, in each case, subject to certain adjustments described in the Partnership Agreement. The Limited Partner Units are not required, per the terms of the Partnership Agreement, to be redeemed in registered shares of the General Partner. The General Partner also owns preferred partnership interests in the Partnership ("Preferred Units"). | |
We own and operate a portfolio primarily consisting of industrial, office and medical office properties and provide real estate services to third-party owners. Substantially all of our Rental Operations (see Note 10) are conducted through the Partnership. We conduct our Service Operations (see Note 10) through Duke Realty Services, LLC, Duke Realty Services Limited Partnership and Duke Construction Limited Partnership ("DCLP"), which are consolidated entities that are 100% owned by a combination of the General Partner and the Partnership. DCLP is owned through a taxable REIT subsidiary. The consolidated financial statements include our accounts and the accounts of our majority-owned or controlled subsidiaries. |
New_Accounting_Pronouncement_N
New Accounting Pronouncement (Notes) | 3 Months Ended |
Mar. 31, 2014 | |
New Accounting Pronouncement [Abstract] | ' |
New Accounting Pronouncements, Policy [Policy Text Block] | ' |
2. New Accounting Pronouncement | |
In April 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity ("ASU 2014-08"). Under ASU 2014-08, only disposals representing a strategic shift in operations (for example, a disposal of a major geographic area or a major line of business) will be presented as discontinued operations, while significant continuing involvement with such dispositions will no longer preclude discontinued operations classification. As current GAAP generally requires companies that sell a single investment property to report the sale as a discontinued operation, the implementation of ASU 2014-08 will result in us reporting only sales that represent strategic shifts in operations as discontinued operations. ASU 2014-08 will also require additional disclosures for discontinued operations as well as for material property dispositions that do not meet the new criteria for discontinued operation classification. | |
ASU 2014-08 is effective for fiscal years beginning on or after December 15, 2014, with early adoption permitted only for disposals or classifications as held for sale that have not been reported in financial statements previously issued or available for issuance. It is our intention to adopt ASU 2014-08 during the three-month period ended June 30, 2014. |
Reclassifications
Reclassifications | 3 Months Ended |
Mar. 31, 2014 | |
Reclassifications [Abstract] | ' |
Reclassifications | ' |
Reclassifications | |
Certain amounts in the accompanying consolidated financial statements for 2013 have been reclassified to conform to the 2014 consolidated financial statement presentation. |
Variable_Interest_Entities
Variable Interest Entities | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | ' | |||||||
Consolidation Policy for VIEs | ' | |||||||
Variable Interest Entities | ||||||||
At March 31, 2014, there were two unconsolidated joint ventures that met the criteria to be considered variable interest entities ("VIEs"). These two unconsolidated joint ventures were formed with the sole purpose of developing, constructing, leasing, marketing and selling or operating properties. The business activities of these unconsolidated joint ventures have been financed through a combination of equity contributions, partner/member loans, and third-party debt that is guaranteed by a combination of us and the other partner/member of each entity. All significant decisions for these unconsolidated joint ventures, including those decisions that most significantly impact each venture's economic performance, require unanimous approval of each joint venture's partners or members. In certain cases, these decisions also require lender approval. Unanimous approval requirements for these unconsolidated joint ventures include entering into new leases, setting annual operating budgets, selling underlying properties, and incurring additional indebtedness. Because no single entity exercises control over the decisions that most significantly affect each joint venture's economic performance, we determined there to be no individual primary beneficiary and that the equity method of accounting is appropriate. | ||||||||
The following table provides a summary of the carrying value in our consolidated balance sheet, as well as our maximum loss exposure under guarantees for the two unconsolidated subsidiaries that we have determined to be VIEs at March 31, 2014 (in millions): | ||||||||
Carrying Value | Maximum Loss Exposure | |||||||
Investment in unconsolidated companies | $ | 5.2 | $ | 5.2 | ||||
Guarantee obligations (1) | $ | (18.4 | ) | $ | (112.8 | ) | ||
-1 | We are party to guarantees of the third-party debt of these joint ventures, and our maximum loss exposure is equal to the maximum monetary obligation pursuant to the guarantee agreements. We have also recorded a liability for our probable future obligation under a guarantee to the lender of one of these ventures, which is included within the carrying value of our guarantee obligations. Pursuant to an agreement with the lender, we may make partner loans to this joint venture that will reduce our maximum guarantee obligation on a dollar-for-dollar basis. The carrying value of our recorded guarantee obligations is included in other liabilities in our Consolidated Balance Sheets. | |||||||
Our maximum loss exposure for guarantees of joint venture indebtedness, including guarantees of the debt of joint ventures that are not VIEs, totaled $196.4 million at March 31, 2014 |
Acquisitions_and_Dispositions
Acquisitions and Dispositions | 3 Months Ended | |||
Mar. 31, 2014 | ||||
Business Combinations [Abstract] | ' | |||
Acquisitions and Dispositions | ' | |||
Acquisitions and Dispositions | ||||
2014 Acquisitions | ||||
We acquired one operating property, an industrial building in Atlanta, Georgia, during the three months ended March 31, 2014. The following table summarizes the fair value of amounts recognized for each major class of asset and liability (in thousands) for this acquisition: | ||||
Real estate assets | $ | 15,972 | ||
Lease related intangible assets | 1,578 | |||
Total acquired assets | 17,550 | |||
Other liabilities | 76 | |||
Total assumed liabilities | 76 | |||
Fair value of acquired net assets | $ | 17,474 | ||
The lease in the acquired property had a remaining life at acquisition of approximately 3.8 years. | ||||
Acquisition-Related Activity | ||||
The acquisition-related activity in our Consolidated Statements of Operations and Comprehensive Income for the three months ended March 31, 2014 and 2013 consisted of transaction costs related to completed acquisitions, which are expensed as incurred, as well as gains or losses related to acquisitions where we had a pre-existing non-controlling ownership interest. We expensed $14,000 and $319,000, respectively, for acquisition-related transaction costs incurred in the three months ended March 31, 2014 and 2013. During the three months ended March 31, 2013, we also recognized a gain of $962,000 on the pre-existing ownership interest that we held in an industrial property we acquired in that period. | ||||
Dispositions | ||||
We disposed of certain consolidated income-producing real estate assets and undeveloped land and received net cash proceeds of $70.7 million and $61.9 million during the three months ended March 31, 2014 and 2013, respectively. | ||||
Income tax expense from continuing operations of $2.7 million was the result of the sale of a property that was partially owned by our taxable REIT subsidiary but, due to continuing involvement in managing the property, was not classified as a discontinued operation. Income tax expense included in discontinued operations of $3.0 million was also the result of the sale of a property that was partially owned by our taxable REIT subsidiary where we have no continuing involvement. |
Indebtedness
Indebtedness | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Indebtedness | ' | |||||||||||||||||||||||||||
Indebtedness | ||||||||||||||||||||||||||||
All debt is held directly or indirectly by the Partnership. The General Partner does not have any indebtedness, but does guarantee all of the unsecured debt of the Partnership. The following table summarizes the book value and changes in the fair value of our debt for the three months ended March 31, 2014 (in thousands): | ||||||||||||||||||||||||||||
Book Value | Book Value | Fair Value | Issuances and | Payments/Payoffs | Adjustments | Fair Value | ||||||||||||||||||||||
at 12/31/13 | at 3/31/14 | at 12/31/13 | Assumptions | to Fair Value | at 3/31/14 | |||||||||||||||||||||||
Fixed rate secured debt | $ | 1,081,035 | $ | 1,058,485 | $ | 1,145,717 | $ | — | $ | (21,365 | ) | $ | 11,244 | $ | 1,135,596 | |||||||||||||
Variable rate secured debt | 19,089 | 18,983 | 19,089 | — | (106 | ) | — | 18,983 | ||||||||||||||||||||
Unsecured debt | 3,066,252 | 3,065,742 | 3,250,518 | — | (511 | ) | 39,208 | 3,289,215 | ||||||||||||||||||||
Unsecured line of credit | 88,000 | 180,000 | 88,383 | 92,000 | — | 468 | 180,851 | |||||||||||||||||||||
Total | $ | 4,254,376 | $ | 4,323,210 | $ | 4,503,707 | $ | 92,000 | $ | (21,982 | ) | $ | 50,920 | $ | 4,624,645 | |||||||||||||
Secured Debt | ||||||||||||||||||||||||||||
Because our fixed rate secured debt is not actively traded in any marketplace, we utilized a discounted cash flow methodology to determine its fair value. Accordingly, we calculated fair value by applying an estimate of the current market rate to discount the debt's remaining contractual cash flows. Our estimate of a current market rate, which is the most significant input in the discounted cash flow calculation, is intended to replicate debt of similar maturity and loan-to-value relationship. The estimated rates ranged from 3.40% to 4.40%, depending on the attributes of the specific loans. The current market rates we utilized were internally estimated; therefore, we have concluded that our determination of fair value for our fixed rate secured debt was primarily based upon Level 3 inputs. | ||||||||||||||||||||||||||||
During the three months ended March 31, 2014, we repaid one secured loan, totaling $18.1 million. The loan had a stated interest rate of 5.14%. | ||||||||||||||||||||||||||||
Unsecured Debt | ||||||||||||||||||||||||||||
At March 31, 2014, with the exception of one variable rate term note that was issued in March 2013, all of our unsecured debt bore interest at fixed rates and primarily consisted of unsecured notes that are publicly traded. We utilized broker estimates in estimating the fair value of our fixed rate unsecured debt. Our unsecured notes are thinly traded and, in certain cases, the broker estimates were not based upon comparable transactions. The broker estimates took into account any recent trades within the same series of our fixed rate unsecured debt, comparisons to recent trades of other series of our fixed rate unsecured debt, trades of fixed rate unsecured debt from companies with profiles similar to ours, as well as overall economic conditions. We reviewed these broker estimates for reasonableness and accuracy, considering whether the estimates were based upon market participant assumptions within the principal and most advantageous market and whether any other observable inputs would be more accurate indicators of fair value than the broker estimates. We concluded that the broker estimates were representative of fair value. We have determined that our estimation of the fair value of our fixed rate unsecured debt was primarily based upon Level 3 inputs. The estimated trading values of our fixed rate unsecured debt, depending on the maturity and coupon rates, ranged from 96.00% to 124.00% of face value. | ||||||||||||||||||||||||||||
We utilize a discounted cash flow methodology in order to estimate the fair value of our $250.0 million variable rate term loan. The net present value of the difference between future contractual interest payments and future interest payments based on our estimate of a current market rate represents the difference between the book value and the fair value. Our estimate of a current market rate was based on estimated market spreads and the quoted yields on federal government treasury securities with similar maturity dates. Our estimate of the current market rate for our variable rate term loan was 1.36% and was based primarily upon Level 3 inputs. | ||||||||||||||||||||||||||||
The indentures (and related supplemental indentures) governing our outstanding series of notes also require us to comply with financial ratios and other covenants regarding our operations. We were in compliance with all such covenants at March 31, 2014. | ||||||||||||||||||||||||||||
Unsecured Line of Credit | ||||||||||||||||||||||||||||
Our unsecured line of credit at March 31, 2014 is described as follows (in thousands): | ||||||||||||||||||||||||||||
Description | Maximum | Maturity Date | Outstanding | |||||||||||||||||||||||||
Capacity | Balance at | |||||||||||||||||||||||||||
March 31, 2014 | ||||||||||||||||||||||||||||
Unsecured Line of Credit - Partnership | $ | 850,000 | Dec-15 | $ | 180,000 | |||||||||||||||||||||||
The Partnership's unsecured line of credit has an interest rate on borrowings of LIBOR plus 1.25% (equal to 1.41% for outstanding borrowings at March 31, 2014) and a maturity date of December 2015. Subject to certain conditions, the terms also include an option to increase the facility by up to an additional $400.0 million, for a total of up to $1.25 billion. This line of credit provides us with an option to obtain borrowings from financial institutions that participate in the line at rates that may be lower than the stated interest rate, subject to certain restrictions. | ||||||||||||||||||||||||||||
This line of credit contains financial covenants that require us to meet certain financial ratios and defined levels of performance, including those related to fixed charge coverage, unsecured interest expense coverage and debt-to-asset value (with asset value being defined in the Partnership's unsecured line of credit agreement). At March 31, 2014, we were in compliance with all covenants under this line of credit. | ||||||||||||||||||||||||||||
To the extent that there are outstanding borrowings, we utilize a discounted cash flow methodology in order to estimate the fair value of our unsecured line of credit. The net present value of the difference between future contractual interest payments and future interest payments based on our estimate of a current market rate represents the difference between the book value and the fair value. Our estimate of a current market rate is based upon the rate, considering current market conditions and our specific credit profile, at which we estimate we could obtain similar borrowings. The current market rate of 1.41% that we utilized was internally estimated; therefore, we have concluded that our determination of fair value for our unsecured line of credit was primarily based upon a Level 3 input. |
Shareholders_Equity
Shareholders' Equity | 3 Months Ended |
Mar. 31, 2014 | |
Stockholders' Equity Note [Abstract] | ' |
Shareholders' Equity | ' |
Shareholders' Equity of the General Partner and Partners' Capital of the Partnership | |
General Partner | |
In the first three months of 2014, pursuant to the share repurchase plan approved by our board of directors, the General Partner repurchased 750,243 preferred shares from among our three outstanding series. The preferred shares repurchased had a total redemption value of approximately $18.8 million and were repurchased for $17.7 million. In conjunction with the repurchases, approximately $618,000 of initial issuance costs, the ratable portion of such costs associated with the repurchased shares, were charged against income attributable to common shareholders. An adjustment of approximately $483,000 was included as an increase to income attributable to common shareholders. | |
During the three months ended March 31, 2014, the General Partner issued 1.4 million common shares pursuant to its at the market equity program, generating gross proceeds of approximately $24.1 million and, after deducting commissions and other costs, net proceeds of approximately $23.8 million. The proceeds from these offerings were used for general corporate purposes, which include the funding of development costs. | |
Partnership | |
For each common share or preferred share that the General Partner issues, the Partnership issues a corresponding General Partner Unit or Preferred Unit, as applicable, to the General Partner in exchange for the contribution of the proceeds from the stock issuance. Similarly, when the General Partner redeems or repurchases common shares or preferred shares, the Partnership redeems the corresponding Common Units or Preferred Units held by the General Partner at the same price. |
Related_Party_Transactions
Related Party Transactions | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Related Party Transactions [Abstract] | ' | ||||||||
Related Party Transactions | ' | ||||||||
Related Party Transactions | |||||||||
We provide property management, asset management, leasing, construction and other tenant-related services to unconsolidated companies in which we have equity interests. We recorded the corresponding fees based on contractual terms that approximate market rates for these types of services and have eliminated our ownership percentage of these fees in the consolidated financial statements. The following table summarizes the fees earned from these companies, prior to elimination, for the three months ended March 31, 2014 and 2013, respectively (in thousands): | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Management fees | $ | 2,219 | $ | 2,456 | |||||
Leasing fees | 344 | 555 | |||||||
Construction and development fees | 965 | 1,067 | |||||||
Net_Income_Loss_Per_Common_Sha
Net Income (Loss) Per Common Share | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Net Income (Loss) Per Common Share | ' | ||||||||
Net Income (Loss) Per Common Share or Common Unit | |||||||||
Basic net income (loss) per common share or Common Unit is computed by dividing net income (loss) attributable to common shareholders or common unitholders, less dividends or distributions on share-based awards expected to vest (referred to as "participating securities" and primarily composed of unvested restricted stock units), by the weighted average number of common shares or Common Units outstanding for the period. | |||||||||
Diluted net income (loss) per common share is computed by dividing the sum of basic net income (loss) attributable to common shareholders and the noncontrolling interest in earnings allocable to Limited Partner Units (to the extent the Limited Partner Units are dilutive) by the sum of the weighted average number of common shares outstanding and, to the extent they are dilutive, Units outstanding and any potential dilutive securities for the period. Diluted net income (loss) per Common Unit is computed by dividing the basic net income (loss) attributable to common unitholders by the sum of the weighted average number of Common Units outstanding and any potential dilutive securities for the period. The following table reconciles the components of basic and diluted net income per common share or Common Unit for the three months ended March 31, 2014 and 2013, respectively (in thousands): | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
General Partner | |||||||||
Net income attributable to common shareholders | $ | 18,683 | $ | 28,043 | |||||
Less: Dividends on participating securities | (645 | ) | (688 | ) | |||||
Basic net income attributable to common shareholders | 18,038 | 27,355 | |||||||
Noncontrolling interest in earnings of common unitholders | 250 | 392 | |||||||
Diluted net income attributable to common shareholders | $ | 18,288 | $ | 27,747 | |||||
Weighted average number of common shares outstanding | 327,106 | 314,936 | |||||||
Weighted average Limited Partner Units outstanding | 4,387 | 4,405 | |||||||
Other potential dilutive shares | 223 | 230 | |||||||
Weighted average number of common shares and potential dilutive securities | 331,716 | 319,571 | |||||||
Partnership | |||||||||
Net income attributable to common unitholders | $ | 18,933 | $ | 28,435 | |||||
Less: Distributions on participating securities | (645 | ) | (688 | ) | |||||
Basic and diluted net income attributable to common unitholders | $ | 18,288 | $ | 27,747 | |||||
Weighted average number of Common Units outstanding | 331,493 | 319,341 | |||||||
Other potential dilutive units | 223 | 230 | |||||||
Weighted average number of Common Units and potential dilutive securities | 331,716 | 319,571 | |||||||
Substantially all potential shares related to our stock-based compensation plans are anti-dilutive for all periods presented. The following table summarizes the data that is excluded from the computation of net income per common share or Common Unit as a result of being anti-dilutive (in thousands): | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
General Partner and Partnership | |||||||||
Potential dilutive shares or units: | |||||||||
Anti-dilutive outstanding potential shares or units under fixed stock option and other stock-based compensation plans | 1,215 | 1,378 | |||||||
Outstanding participating securities | 3,841 | 4,078 | |||||||
Segment_Reporting
Segment Reporting | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Segment Reporting [Abstract] | ' | ||||||||
Segment Reporting | ' | ||||||||
Segment Reporting | |||||||||
Reportable Segments | |||||||||
We have four reportable operating segments at March 31, 2014, the first three of which consist of the ownership and rental of (i) industrial, (ii) office and (iii) medical office real estate investments. The operations of our industrial, office and medical office properties, along with our retail properties, are collectively referred to as "Rental Operations." Our retail properties, as well as any other properties not included in our reportable segments, do not by themselves meet the quantitative thresholds for separate presentation as a reportable segment and are referred to as non-reportable Rental Operations. The fourth reportable segment consists of various real estate services such as property management, asset management, maintenance, leasing, development, general contracting and construction management to third-party property owners and joint ventures, and is collectively referred to as "Service Operations." Our reportable segments offer different products or services and are managed separately because each segment requires different operating strategies and management expertise. | |||||||||
Revenues by Reportable Segment | |||||||||
The following table shows the revenues for each of the reportable segments, as well as a reconciliation to consolidated revenues, for the three months ended March 31, 2014 and 2013, respectively (in thousands): | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Revenues | |||||||||
Rental Operations: | |||||||||
Industrial | $ | 134,002 | $ | 114,700 | |||||
Office | 66,972 | 61,197 | |||||||
Medical Office | 33,310 | 30,484 | |||||||
Non-reportable Rental Operations | 2,087 | 2,301 | |||||||
Service Operations | 55,820 | 47,404 | |||||||
Total segment revenues | 292,191 | 256,086 | |||||||
Other revenue | 979 | 1,197 | |||||||
Consolidated revenue from continuing operations | 293,170 | 257,283 | |||||||
Discontinued operations | 1,368 | 16,404 | |||||||
Consolidated revenue | $ | 294,538 | $ | 273,687 | |||||
Supplemental Performance Measure | |||||||||
In prior periods, we evaluated the profitability of our reportable segments using net earnings excluding depreciation and other items that were not allocated to our operating segments. As the result of a recent shift in the focus of our executive management team on the metrics used to evaluate the performance of, and to allocate resources among, our reportable segments, we have elected to change our segment measurement of profitability beginning with the period ended March 31, 2014. We have also revised prior period information in order to provide period-over-period comparability. Property level net operating income, on a cash basis (“PNOI”) is the supplemental performance measure that we now use to evaluate the performance of, and to allocate resources among, the real estate investments in the reportable and operating segments that comprise our Rental Operations. PNOI excludes certain items such as straight-line rental income and expense, lease buyout revenues, and the amortization of lease concessions and above and below market rents (collectively referred to as "Rental Operations revenues and expenses excluded from PNOI," as shown in the table below). Additionally, we do not allocate interest expense, depreciation expense and certain other non-property specific revenues and expenses (collectively referred to as "Non-Segment Items," as shown in the table below) to our individual operating segments. | |||||||||
We evaluate the performance of our Service Operations reportable segment using net income or loss, as allocated to that segment ("Earnings from Service Operations"). | |||||||||
The following table shows a reconciliation of our segment-level measures of profitability to consolidated income from continuing operations before income taxes for the three months ended March 31, 2014 and 2013, respectively (in thousands and excluding discontinued operations): | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
PNOI | |||||||||
Industrial | $ | 91,909 | $ | 81,279 | |||||
Office | 36,264 | 36,816 | |||||||
Medical Office | 20,577 | 16,502 | |||||||
Non-reportable Rental Operations | 1,105 | 971 | |||||||
Total PNOI | 149,855 | 135,568 | |||||||
Earnings from Service Operations | 8,549 | 9,063 | |||||||
Rental Operations revenues and expenses excluded from PNOI: | |||||||||
Straight-line rental income and expense, net | 6,463 | 4,270 | |||||||
Revenues related to lease buyouts | 2,695 | 1,993 | |||||||
Amortization of lease concessions and above and below market rents | (2,467 | ) | (1,897 | ) | |||||
Intercompany rents and other adjusting items | (1,142 | ) | (1,034 | ) | |||||
PNOI from sold properties included in continuing operations | (96 | ) | 2,767 | ||||||
Non-Segment Items: | |||||||||
Equity in earnings of unconsolidated companies | 2,321 | 49,378 | |||||||
Interest expense | (55,257 | ) | (57,181 | ) | |||||
Depreciation expense | (98,059 | ) | (92,993 | ) | |||||
Gain on sale of properties | 15,853 | 168 | |||||||
Interest and other income, net | 351 | 153 | |||||||
Other operating expenses | (92 | ) | (68 | ) | |||||
General and administrative expenses | (14,694 | ) | (13,145 | ) | |||||
Gain on land sales | 152 | — | |||||||
Undeveloped land carrying costs | (2,124 | ) | (2,198 | ) | |||||
Acquisition-related activity | (14 | ) | 643 | ||||||
Other non-segment revenues and expenses, net | (692 | ) | 311 | ||||||
Income from continuing operations before income taxes | $ | 11,602 | $ | 35,798 | |||||
The most comparable GAAP measure to PNOI is income from continuing operations before income taxes. PNOI excludes expenses that materially impact our overall results of operations and, therefore, should not be considered as a substitute for income from continuing operations before income taxes or any other measures derived in accordance with GAAP. Furthermore, PNOI may not be comparable to other similarly titled measures of other companies. | |||||||||
Assets by Reportable Segment | |||||||||
The assets for each of the reportable segments at March 31, 2014 and December 31, 2013 were as follows (in thousands): | |||||||||
March 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Assets | |||||||||
Rental Operations: | |||||||||
Industrial | $ | 4,438,376 | $ | 4,414,740 | |||||
Office | 1,527,997 | 1,524,501 | |||||||
Medical Office | 1,155,112 | 1,170,420 | |||||||
Non-reportable Rental Operations | 79,899 | 81,056 | |||||||
Service Operations | 151,724 | 145,222 | |||||||
Total segment assets | 7,353,108 | 7,335,939 | |||||||
Non-segment assets | 414,255 | 416,675 | |||||||
Consolidated assets | $ | 7,767,363 | $ | 7,752,614 | |||||
Discontinued_Operations_and_As
Discontinued Operations and Assets Held for Sale | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||
Discontinued Operations and Assets Held for Sale | ' | ||||||||
Discontinued Operations and Assets Held for Sale | |||||||||
The following table illustrates the number of sold or held-for-sale properties included in, or excluded from, discontinued operations: | |||||||||
Held for Sale at March 31, 2014 | Sold in 2014 | Sold in 2013 | Total | ||||||
Industrial | 2 | 9 | 6 | 17 | |||||
Office | 0 | 0 | 12 | 12 | |||||
Medical Office | 1 | 1 | 6 | 8 | |||||
Retail | 0 | 0 | 1 | 1 | |||||
Total properties included in discontinued operations | 3 | 10 | 25 | 38 | |||||
Properties excluded from discontinued operations | 0 | 1 | 13 | 14 | |||||
Total properties sold or classified as held-for-sale | 3 | 11 | 38 | 52 | |||||
We allocate interest expense to discontinued operations and have included such interest expense in computing income from discontinued operations. Interest expense allocable to discontinued operations includes interest on any secured debt for properties included in discontinued operations and an allocable share of our consolidated unsecured interest expense for unencumbered properties. The allocation of unsecured interest expense to discontinued operations was based upon the gross book value of the unencumbered real estate assets included in discontinued operations as it related to the total gross book value of our unencumbered real estate assets. | |||||||||
The following table illustrates the operations of the buildings reflected in discontinued operations for the three months ended March 31, 2014 and 2013, respectively (in thousands): | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Revenues | $ | 1,368 | $ | 16,404 | |||||
Operating expenses | (913 | ) | (5,986 | ) | |||||
Depreciation and amortization | (205 | ) | (6,787 | ) | |||||
Operating income | 250 | 3,631 | |||||||
Interest expense | (382 | ) | (4,260 | ) | |||||
Loss before gain on sales | (132 | ) | (629 | ) | |||||
Gain on sale of depreciable properties | 19,752 | 8,954 | |||||||
Income from discontinued operations before income taxes | 19,620 | 8,325 | |||||||
Income tax expense | (2,977 | ) | — | ||||||
Income from discontinued operations | $ | 16,643 | $ | 8,325 | |||||
The income tax expense included in discontinued operations during the three months ended March 31, 2014 was triggered by the sale of a property that was partially owned by our taxable REIT subsidiary. | |||||||||
The income tax expense from continuing operations of $2.7 million for the three months ended March 31, 2014, as presented in the Consolidated Statements of Operations and Comprehensive Income, was related to the sale of another property that was partially owned by our taxable REIT subsidiary but, due to continuing involvement in managing the property, was not classified as a discontinued operation. | |||||||||
Dividends or distributions on preferred shares or Preferred Units and adjustments for the redemption or repurchase of preferred shares or Preferred Units are allocated entirely to continuing operations for both the General Partner and the Partnership. | |||||||||
Allocation of Noncontrolling Interests - General Partner | |||||||||
The following table illustrates the General Partner's share of the income (loss) attributable to common shareholders from continuing operations and discontinued operations, reduced by the allocation of income or loss between continuing and discontinued operations to the Limited Partner Units, for the three months ended March 31, 2014 and 2013, respectively (in thousands): | |||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Income from continuing operations attributable to common shareholders | $ | 2,260 | $ | 19,833 | |||||
Income from discontinued operations attributable to common shareholders | 16,423 | 8,210 | |||||||
Net income attributable to common shareholders | $ | 18,683 | $ | 28,043 | |||||
Allocation of Noncontrolling Interests - Partnership | |||||||||
Substantially all of the income from discontinued operations for all periods presented in the Partnership's Consolidated Statements of Operations and Comprehensive Income is attributable to the common unitholders. | |||||||||
Properties Held for Sale | |||||||||
At March 31, 2014, we classified three in-service properties as held-for-sale, which were included in discontinued operations, due to our intention and ability to sell these properties in the second quarter of 2014. The following table illustrates aggregate balance sheet information of these properties at March 31, 2014 (in thousands): | |||||||||
31-Mar-14 | |||||||||
Real estate investment, net | $ | 29,316 | |||||||
Other assets | 5,510 | ||||||||
Total assets held-for-sale | $ | 34,826 | |||||||
Accrued expenses | $ | 132 | |||||||
Other liabilities | 47 | ||||||||
Total liabilities held-for-sale | $ | 179 | |||||||
Subsequent_Events
Subsequent Events | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Subsequent Events [Abstract] | ' | |||||
Subsequent Events | ' | |||||
Subsequent Events | ||||||
Declaration of Dividends/Distributions | ||||||
The General Partner's board of directors declared the following dividends/distributions at its regularly scheduled board meeting held on April 30, 2014: | ||||||
Class of stock/units | Quarterly Amount per Share or Unit | Record Date | Payment Date | |||
Common | $0.17 | May 15, 2014 | May 30, 2014 | |||
Preferred (per depositary share or unit): | ||||||
Series J | $0.41 | May 15, 2014 | May 30, 2014 | |||
Series K | $0.41 | May 15, 2014 | May 30, 2014 | |||
Series L | $0.41 | May 15, 2014 | May 30, 2014 | |||
Amendments to Articles of Incorporation - General Partner | ||||||
At the annual meeting of the General Partner’s shareholders, held on April 30, 2014, the shareholders approved an increase in the number of authorized shares of the General Partner’s common stock from 400 million to 600 million and the establishment of certain detailed stock ownership and transfer restrictions intended to enable the General Partner to better protect its status as a REIT. |
Variable_Interest_Entities_Tab
Variable Interest Entities (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | ' | |||||||
Balances Related to Joint Ventures | ' | |||||||
Carrying Value | Maximum Loss Exposure | |||||||
Investment in unconsolidated companies | $ | 5.2 | $ | 5.2 | ||||
Guarantee obligations (1) | $ | (18.4 | ) | $ | (112.8 | ) | ||
-1 | We are party to guarantees of the third-party debt of these joint ventures, and our maximum loss exposure is equal to the maximum monetary obligation pursuant to the guarantee agreements. We have also recorded a liability for our probable future obligation under a guarantee to the lender of one of these ventures, which is included within the carrying value of our guarantee obligations. Pursuant to an agreement with the lender, we may make partner loans to this joint venture that will reduce our maximum guarantee obligation on a dollar-for-dollar basis. The carrying value of our recorded guarantee obligations is included in other liabilities in our Consolidated Balance Sheets. |
Acquisitions_and_Dispositions_
Acquisitions and Dispositions (Tables) (Other Two Thousand Fourteen Acquisitions [Member] [Domain] [Member] [Member]) | 3 Months Ended | |||
Mar. 31, 2014 | ||||
Other Two Thousand Fourteen Acquisitions [Member] [Domain] [Member] [Member] | ' | |||
Summary of Allocation of Fair Value of Amounts Recognized | ' | |||
Real estate assets | $ | 15,972 | ||
Lease related intangible assets | 1,578 | |||
Total acquired assets | 17,550 | |||
Other liabilities | 76 | |||
Total assumed liabilities | 76 | |||
Fair value of acquired net assets | $ | 17,474 | ||
Indebtedness_Tables
Indebtedness (Tables) | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Fair Value, Liabilities Measured on a Recurring Basis, Disclosure Only | ' | |||||||||||||||||||||||||||
Book Value | Book Value | Fair Value | Issuances and | Payments/Payoffs | Adjustments | Fair Value | ||||||||||||||||||||||
at 12/31/13 | at 3/31/14 | at 12/31/13 | Assumptions | to Fair Value | at 3/31/14 | |||||||||||||||||||||||
Fixed rate secured debt | $ | 1,081,035 | $ | 1,058,485 | $ | 1,145,717 | $ | — | $ | (21,365 | ) | $ | 11,244 | $ | 1,135,596 | |||||||||||||
Variable rate secured debt | 19,089 | 18,983 | 19,089 | — | (106 | ) | — | 18,983 | ||||||||||||||||||||
Unsecured debt | 3,066,252 | 3,065,742 | 3,250,518 | — | (511 | ) | 39,208 | 3,289,215 | ||||||||||||||||||||
Unsecured line of credit | 88,000 | 180,000 | 88,383 | 92,000 | — | 468 | 180,851 | |||||||||||||||||||||
Total | $ | 4,254,376 | $ | 4,323,210 | $ | 4,503,707 | $ | 92,000 | $ | (21,982 | ) | $ | 50,920 | $ | 4,624,645 | |||||||||||||
Unsecured Line of Credit | ' | |||||||||||||||||||||||||||
Description | Maximum | Maturity Date | Outstanding | |||||||||||||||||||||||||
Capacity | Balance at | |||||||||||||||||||||||||||
March 31, 2014 | ||||||||||||||||||||||||||||
Unsecured Line of Credit - Partnership | $ | 850,000 | Dec-15 | $ | 180,000 | |||||||||||||||||||||||
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Related Party Transactions [Abstract] | ' | ||||||||
Schedule of Fees Earned from Related Parties | ' | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Management fees | $ | 2,219 | $ | 2,456 | |||||
Leasing fees | 344 | 555 | |||||||
Construction and development fees | 965 | 1,067 | |||||||
Net_Income_Loss_Per_Common_Sha1
Net Income (Loss) Per Common Share (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Reconciling the Components of Basic and Diluted Net Income (Loss) per Common Share | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
General Partner | |||||||||
Net income attributable to common shareholders | $ | 18,683 | $ | 28,043 | |||||
Less: Dividends on participating securities | (645 | ) | (688 | ) | |||||
Basic net income attributable to common shareholders | 18,038 | 27,355 | |||||||
Noncontrolling interest in earnings of common unitholders | 250 | 392 | |||||||
Diluted net income attributable to common shareholders | $ | 18,288 | $ | 27,747 | |||||
Weighted average number of common shares outstanding | 327,106 | 314,936 | |||||||
Weighted average Limited Partner Units outstanding | 4,387 | 4,405 | |||||||
Other potential dilutive shares | 223 | 230 | |||||||
Weighted average number of common shares and potential dilutive securities | 331,716 | 319,571 | |||||||
Partnership | |||||||||
Net income attributable to common unitholders | $ | 18,933 | $ | 28,435 | |||||
Less: Distributions on participating securities | (645 | ) | (688 | ) | |||||
Basic and diluted net income attributable to common unitholders | $ | 18,288 | $ | 27,747 | |||||
Weighted average number of Common Units outstanding | 331,493 | 319,341 | |||||||
Other potential dilutive units | 223 | 230 | |||||||
Weighted average number of Common Units and potential dilutive securities | 331,716 | 319,571 | |||||||
Computation of Anti-Dilutive Common Share | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
General Partner and Partnership | |||||||||
Potential dilutive shares or units: | |||||||||
Anti-dilutive outstanding potential shares or units under fixed stock option and other stock-based compensation plans | 1,215 | 1,378 | |||||||
Outstanding participating securities | 3,841 | 4,078 | |||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Segment Reporting [Abstract] | ' | ||||||||
Reconciliation of Revenue from Segments to Consolidated | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Revenues | |||||||||
Rental Operations: | |||||||||
Industrial | $ | 134,002 | $ | 114,700 | |||||
Office | 66,972 | 61,197 | |||||||
Medical Office | 33,310 | 30,484 | |||||||
Non-reportable Rental Operations | 2,087 | 2,301 | |||||||
Service Operations | 55,820 | 47,404 | |||||||
Total segment revenues | 292,191 | 256,086 | |||||||
Other revenue | 979 | 1,197 | |||||||
Consolidated revenue from continuing operations | 293,170 | 257,283 | |||||||
Discontinued operations | 1,368 | 16,404 | |||||||
Consolidated revenue | $ | 294,538 | $ | 273,687 | |||||
Summary of Net Operation Income | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
PNOI | |||||||||
Industrial | $ | 91,909 | $ | 81,279 | |||||
Office | 36,264 | 36,816 | |||||||
Medical Office | 20,577 | 16,502 | |||||||
Non-reportable Rental Operations | 1,105 | 971 | |||||||
Total PNOI | 149,855 | 135,568 | |||||||
Earnings from Service Operations | 8,549 | 9,063 | |||||||
Rental Operations revenues and expenses excluded from PNOI: | |||||||||
Straight-line rental income and expense, net | 6,463 | 4,270 | |||||||
Revenues related to lease buyouts | 2,695 | 1,993 | |||||||
Amortization of lease concessions and above and below market rents | (2,467 | ) | (1,897 | ) | |||||
Intercompany rents and other adjusting items | (1,142 | ) | (1,034 | ) | |||||
PNOI from sold properties included in continuing operations | (96 | ) | 2,767 | ||||||
Non-Segment Items: | |||||||||
Equity in earnings of unconsolidated companies | 2,321 | 49,378 | |||||||
Interest expense | (55,257 | ) | (57,181 | ) | |||||
Depreciation expense | (98,059 | ) | (92,993 | ) | |||||
Gain on sale of properties | 15,853 | 168 | |||||||
Interest and other income, net | 351 | 153 | |||||||
Other operating expenses | (92 | ) | (68 | ) | |||||
General and administrative expenses | (14,694 | ) | (13,145 | ) | |||||
Gain on land sales | 152 | — | |||||||
Undeveloped land carrying costs | (2,124 | ) | (2,198 | ) | |||||
Acquisition-related activity | (14 | ) | 643 | ||||||
Other non-segment revenues and expenses, net | (692 | ) | 311 | ||||||
Income from continuing operations before income taxes | $ | 11,602 | $ | 35,798 | |||||
Reportable Segments Consolidated Assets | ' | ||||||||
March 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Assets | |||||||||
Rental Operations: | |||||||||
Industrial | $ | 4,438,376 | $ | 4,414,740 | |||||
Office | 1,527,997 | 1,524,501 | |||||||
Medical Office | 1,155,112 | 1,170,420 | |||||||
Non-reportable Rental Operations | 79,899 | 81,056 | |||||||
Service Operations | 151,724 | 145,222 | |||||||
Total segment assets | 7,353,108 | 7,335,939 | |||||||
Non-segment assets | 414,255 | 416,675 | |||||||
Consolidated assets | $ | 7,767,363 | $ | 7,752,614 | |||||
Discontinued_Operations_and_As1
Discontinued Operations and Assets Held for Sale (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||
Table Illustration of Number of Properties in Discontinued Operations | ' | ||||||||
Held for Sale at March 31, 2014 | Sold in 2014 | Sold in 2013 | Total | ||||||
Industrial | 2 | 9 | 6 | 17 | |||||
Office | 0 | 0 | 12 | 12 | |||||
Medical Office | 1 | 1 | 6 | 8 | |||||
Retail | 0 | 0 | 1 | 1 | |||||
Total properties included in discontinued operations | 3 | 10 | 25 | 38 | |||||
Properties excluded from discontinued operations | 0 | 1 | 13 | 14 | |||||
Total properties sold or classified as held-for-sale | 3 | 11 | 38 | 52 | |||||
Table Illustration of Discontinued Operations in Statement of Operations | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Revenues | $ | 1,368 | $ | 16,404 | |||||
Operating expenses | (913 | ) | (5,986 | ) | |||||
Depreciation and amortization | (205 | ) | (6,787 | ) | |||||
Operating income | 250 | 3,631 | |||||||
Interest expense | (382 | ) | (4,260 | ) | |||||
Loss before gain on sales | (132 | ) | (629 | ) | |||||
Gain on sale of depreciable properties | 19,752 | 8,954 | |||||||
Income from discontinued operations before income taxes | 19,620 | 8,325 | |||||||
Income tax expense | (2,977 | ) | — | ||||||
Income from discontinued operations | $ | 16,643 | $ | 8,325 | |||||
Allocation of Common Shareholders' Income (Loss) Between Continuing and Discontinued Operations | ' | ||||||||
Three Months Ended March 31, | |||||||||
2014 | 2013 | ||||||||
Income from continuing operations attributable to common shareholders | $ | 2,260 | $ | 19,833 | |||||
Income from discontinued operations attributable to common shareholders | 16,423 | 8,210 | |||||||
Net income attributable to common shareholders | $ | 18,683 | $ | 28,043 | |||||
Schedule of Discontinued Operations, Properties Held-for-Sale, Aggregate Balance Sheet Information [Table Text Block] | ' | ||||||||
The following table illustrates aggregate balance sheet information of these properties at March 31, 2014 (in thousands): | |||||||||
31-Mar-14 | |||||||||
Real estate investment, net | $ | 29,316 | |||||||
Other assets | 5,510 | ||||||||
Total assets held-for-sale | $ | 34,826 | |||||||
Accrued expenses | $ | 132 | |||||||
Other liabilities | 47 | ||||||||
Total liabilities held-for-sale | $ | 179 | |||||||
Subsequent_Events_Tables
Subsequent Events (Tables) | 3 Months Ended | |||||
Mar. 31, 2014 | ||||||
Subsequent Events [Abstract] | ' | |||||
Schedule of Dividends Declared | ' | |||||
Class of stock/units | Quarterly Amount per Share or Unit | Record Date | Payment Date | |||
Common | $0.17 | May 15, 2014 | May 30, 2014 | |||
Preferred (per depositary share or unit): | ||||||
Series J | $0.41 | May 15, 2014 | May 30, 2014 | |||
Series K | $0.41 | May 15, 2014 | May 30, 2014 | |||
Series L | $0.41 | May 15, 2014 | May 30, 2014 |
General_Basis_of_Presentation_1
General Basis of Presentation (Details) | 3 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 98.70% |
Limited Liability Company (LLC) or Limited Partnership (LP), Members or Limited Partners, Ownership Interest | 1.30% |
Variable_Interest_Entities_Bal
Variable Interest Entities (Balances Related to Joint Ventures) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2014 |
entities | |
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | ' |
Number of Unconsolidated Joint Ventures Considered Variable Interest Entities | 2 |
Carrying Value of Investment in Unconsolidated Companies | $5.20 |
Maximum Loss Exposure From Investment In Unconsolidated VIEs | 5.2 |
Carrying Value of Guarantee Obligations | -18.4 |
Maximum Loss Exposure from Guarantee Obligations | -112.8 |
Guarantor Obligations, Maximum Exposure, Undiscounted | $196.40 |
Acquisitions_and_Dispositions_1
Acquisitions and Dispositions (Narrative) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Proceeds from land and depreciated property sales, net | $70,673,000 | $61,931,000 |
Business Combination, Acquisition Related Costs | 14,000 | 319,000 |
Gain Loss On Business Combinations Excluding Acquisitions Costs | ' | -962,000 |
Income Tax Expense (Benefit) | 2,674,000 | 0 |
Discontinued Operation, Tax Effect of Discontinued Operation | $2,977,000 | $0 |
Other Two Thousand Fourteen Acquisitions [Member] [Domain] [Member] [Member] | ' | ' |
Weighted average remaining life of property (years) | '3 years 9 months 29 days | ' |
Atlanta Georgia [Member] | Industrial [Member] | Other Two Thousand Fourteen Acquisitions [Member] [Domain] [Member] [Member] | ' | ' |
Number of real estate properties acquired | 1 | ' |
Acquisitions_and_Dispositions_2
Acquisitions and Dispositions (Summary of Allocation of Fair Value of Amounts Recognized) (Details) (Other Two Thousand Fourteen Acquisitions [Member] [Domain] [Member], USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Other Two Thousand Fourteen Acquisitions [Member] [Domain] [Member] | ' |
Real estate assets | $15,972 |
Lease related intangible assets | 1,578 |
Total acquired assets | 17,550 |
Other liabilities | 76 |
Total assumed liabilities | 76 |
Fair value of acquired assets | $17,474 |
Indebtedness_Summary_of_Book_V
Indebtedness (Summary of Book Value and Changes in Fair Value of Debt) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 |
Book value | $4,323,210 | $4,254,376 |
Fair value | 4,624,645 | 4,503,707 |
Issuances and assumptions | 92,000 | ' |
Payments/Payoffs | -21,982 | ' |
Adjustments to fair value | 50,920 | ' |
Fixed Rate Secured Debt [Member] | ' | ' |
Book value | 1,058,485 | 1,081,035 |
Fair value | 1,135,596 | 1,145,717 |
Issuances and assumptions | 0 | ' |
Payments/Payoffs | -21,365 | ' |
Adjustments to fair value | 11,244 | ' |
Variable Rate Secured Debt [Member] | ' | ' |
Book value | 18,983 | 19,089 |
Fair value | 18,983 | 19,089 |
Issuances and assumptions | 0 | ' |
Payments/Payoffs | -106 | ' |
Adjustments to fair value | 0 | ' |
Unsecured Debt [Member] | ' | ' |
Book value | 3,065,742 | 3,066,252 |
Fair value | 3,289,215 | 3,250,518 |
Issuances and assumptions | 0 | ' |
Payments/Payoffs | -511 | ' |
Adjustments to fair value | 39,208 | ' |
Line of Credit [Member] | ' | ' |
Book value | 180,000 | 88,000 |
Fair value | 180,851 | 88,383 |
Issuances and assumptions | 92,000 | ' |
Payments/Payoffs | 0 | ' |
Adjustments to fair value | $468 | ' |
Indebtedness_Secured_Debt_Deta
Indebtedness Secured Debt (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Debt Instrument [Line Items] | ' | ' |
Repayments of Secured Debt | $21,471 | $17,486 |
Fixed Rate Secured Debt [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt Instrument, Interest Rate, Effective Percentage Rate Range, Minimum | 3.40% | ' |
Debt Instrument, Interest Rate, Effective Percentage Rate Range, Maximum | 4.40% | ' |
number of secured loans repaid | 1 | ' |
Repayments of Secured Debt | $18,100 | ' |
Repaid Debt, Weighted Average Interest Rate | 5.14% | ' |
Indebtedness_Unsecured_Debt_De
Indebtedness Unsecured Debt (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | Variable Rate UnSecured Debt [Member] [Member] | Fixed Rate Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ' | ' | ' | ' |
Number of Variable Rate Unsecured Loans | ' | ' | 1 | ' |
Debt Instrument, Estimated Trading Values, Percent of Face Value, Minimum | ' | ' | ' | 96.00% |
Debt Instrument, Estimated Trading Values, Percent of Face Value, Maximum | ' | ' | ' | 124.00% |
Long-term Debt | $4,323,210 | $4,254,376 | $250,000 | ' |
Debt Instrument, Interest Rate, Effective Percentage | ' | ' | 1.36% | ' |
Debt Instrument, Covenant Compliance | ' | ' | ' | 'We were in compliance with all such covenants at March 31, 2014 |
Indebtedness_Unsecured_Line_of
Indebtedness (Unsecured Line of Credit) (Details) (Unsecured Line of Credit DRLP [Member], USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Line of Credit Facility, Maximum Borrowing Capacity | $1,250,000,000 |
Line of Credit Facility, Covenant Compliance | 'we were in compliance with all covenants under this line of credit. |
Current Market Rate Of Unsecured Lines Of Credit | 1.41% |
Borrowing capacity of unsecured line of credit | 850,000,000 |
Maturity date | 1-Dec-15 |
Line of Credit Facility Increase | 400,000,000 |
Line of credit balance | $180,000,000 |
London Interbank Offered Rate (LIBOR) [Member] | ' |
Debt Instrument, Description of Variable Rate Basis | 'LIBOR |
Debt Instrument, Basis Spread on Variable Rate | 1.25% |
Line of Credit Facility, Interest Rate at Period End | 1.41% |
Shareholders_Equity_Preferred_
Shareholders' Equity Preferred Stock (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Class of Stock [Line Items] | ' | ' |
Payments for Repurchase of Redeemable Preferred Stock | $17,656,000 | $177,955,000 |
Other Preferred Stock Dividends and Adjustments | 483,000 | -5,932,000 |
Cumulative Preferred Stock [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Stock Repurchased During Period, Shares | 750,243 | ' |
Stock Repurchased During Period, Value | 18,800,000 | ' |
Payments for Repurchase of Redeemable Preferred Stock | 17,700,000 | ' |
Issuance Costs [Member] | Cumulative Preferred Stock [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Other Preferred Stock Dividends and Adjustments | -618,000 | ' |
Gain (Loss) Repurchase of Redeemable Preferred Shares (Member) | Cumulative Preferred Stock [Member] | ' | ' |
Class of Stock [Line Items] | ' | ' |
Other Preferred Stock Dividends and Adjustments | $483,000 | ' |
Shareholders_Equity_Shareholde
Shareholders' Equity Shareholders' Equity (Details) (USD $) | 3 Months Ended | |
In Thousands, except Share data in Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Issuance of common shares | $23,783 | $574,685 |
At-the-market equity issuance [Member] | ' | ' |
Stock Issued During Period, Shares, New Issues | 1.4 | ' |
Issuance of common shares | 23,800 | ' |
At-the-market equity issuance [Member] | Gross Proceeds [Member] | ' | ' |
Issuance of common shares | $24,100 | ' |
Related_Party_Transactions_Sch
Related Party Transactions (Schedule of Fees Earned from Related Parties) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Management Fees [Member] | ' | ' |
Revenue from related party transactions | $2,219 | $2,456 |
Leasing Fees [Member] | ' | ' |
Revenue from related party transactions | 344 | 555 |
Construction and Development Fees [Member] | ' | ' |
Revenue from related party transactions | $965 | $1,067 |
Net_Income_Loss_Per_Common_Sha2
Net Income (Loss) Per Common Share Reconciling the Components of Basic and Diluted Net Income (Loss) per Common Share (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' |
Net income (loss) attributable to common shareholders/unitholders | $18,683 | $28,043 |
Less: Dividends on Participating Securities | -645 | -688 |
Basic Net Income (Loss) Attributable To Common Stockholders | 18,038 | 27,355 |
Noncontrolling Interest in Net Income (Loss) Operating Partnerships, Redeemable | 250 | 392 |
Diluted Net Income (Loss) Attributable to Common Stockholders | 18,288 | 27,747 |
Weighted average number of common shares/units outstanding | 327,106 | 314,936 |
Weighted Average Limited Partnership Units Outstanding | 4,387 | 4,405 |
Other potential dilutive shares/units | 223 | 230 |
Weighted average number of common shares/units and potential dilutive securities | 331,716 | 319,571 |
Subsidiary of Common Parent [Member] | ' | ' |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' |
Net income (loss) attributable to common shareholders/unitholders | 18,933 | 28,435 |
Less: Dividends on Participating Securities | -645 | -688 |
Basic Net Income (Loss) Attributable To Common Stockholders | $18,288 | $27,747 |
Weighted average number of common shares/units outstanding | 331,493 | 319,341 |
Other potential dilutive shares/units | 223 | 230 |
Weighted average number of common shares/units and potential dilutive securities | 331,716 | 319,571 |
Net_Income_Loss_Per_Common_Sha3
Net Income (Loss) Per Common Share (Computation of Anti-Dilutive Common Shares) (Details) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Stock Option [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive securities | 1,215 | 1,378 |
Participating Securities [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive securities | 3,841 | 4,078 |
Segment_Reporting_Summary_of_R
Segment Reporting Summary of Revenues (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Number of Reportable Segments | 4 | ' |
Rental and related revenue | $237,350 | $209,879 |
General contractor and service fee revenue | 55,820 | 47,404 |
Revenues | 293,170 | 257,283 |
Disposal Group, Including Discontinued Operation, Revenue | 1,368 | 16,404 |
Total Revenues Including Revenues Related To Discontinued Operations | 294,538 | 273,687 |
Operating Segments [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Revenues | 292,191 | 256,086 |
Operating Segments [Member] | Industrial [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Rental and related revenue | 134,002 | 114,700 |
Operating Segments [Member] | Office [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Rental and related revenue | 66,972 | 61,197 |
Operating Segments [Member] | Medical Office [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Rental and related revenue | 33,310 | 30,484 |
Operating Segments [Member] | All Other Segments [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Rental and related revenue | 2,087 | 2,301 |
Operating Segments [Member] | Service Operations [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
General contractor and service fee revenue | 55,820 | 47,404 |
Corporate, Non-Segment [Member] | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' |
Rental and related revenue | 979 | 1,197 |
Disposal Group, Including Discontinued Operation, Revenue | $1,368 | $16,404 |
Segment_Reporting_Summary_of_N
Segment Reporting (Summary of Net Operating Income (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Straight line rental income and expenses, net | ($5,974) | ($4,839) |
Income (Loss) from Equity Method Investments | 2,321 | 49,378 |
Interest expense | -55,257 | -57,181 |
Depreciation and amortization on continuing operations | -98,059 | -92,993 |
Gains on depreciated property sales on continuing operations | 15,853 | 168 |
Interest and other income, net | 351 | 153 |
Other Operating Income (Expense), Net | -92 | -68 |
General and administrative expenses | -14,694 | -13,145 |
Earnings from sales of land | 152 | 0 |
Undeveloped land carrying costs | -2,124 | -2,198 |
Acquisition-related activity | -14 | 643 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 11,602 | 35,798 |
Operating Segments [Member] | ' | ' |
Property Level Net Operating Income b Cash Basis | 149,855 | 135,568 |
Operating Segments [Member] | Industrial [Member] | ' | ' |
Property Level Net Operating Income b Cash Basis | 91,909 | 81,279 |
Operating Segments [Member] | Office [Member] | ' | ' |
Property Level Net Operating Income b Cash Basis | 36,264 | 36,816 |
Operating Segments [Member] | Medical Office [Member] | ' | ' |
Property Level Net Operating Income b Cash Basis | 20,577 | 16,502 |
Operating Segments [Member] | All Other Segments [Member] | ' | ' |
Property Level Net Operating Income b Cash Basis | 1,105 | 971 |
Operating Segments [Member] | Service Operations [Member] | ' | ' |
Service Operations Net Income (loss) | 8,549 | 9,063 |
Segment Reconciling Items [Member] | ' | ' |
Straight line rental income and expenses, net | 6,463 | 4,270 |
Revenues Related to Lease Buyouts | 2,695 | 1,993 |
Amortization of lease incentives and market rents | -2,467 | -1,897 |
Intercompany rents and other adjusting items | -1,142 | -1,034 |
Sold Properties Included in Continuing Operations Net Operating Income | -96 | 2,767 |
Corporate, Non-Segment [Member] | ' | ' |
Income (Loss) from Equity Method Investments | 2,321 | 49,378 |
Interest expense | -55,257 | -57,181 |
Depreciation and amortization on continuing operations | -98,059 | -92,993 |
Gains on depreciated property sales on continuing operations | 15,853 | 168 |
Interest and other income, net | 351 | 153 |
Other Operating Income (Expense), Net | -92 | -68 |
General and administrative expenses | -14,694 | -13,145 |
Earnings from sales of land | 152 | 0 |
Undeveloped land carrying costs | -2,124 | -2,198 |
Acquisition-related activity | -14 | 643 |
Other non-segment income | ($692) | $311 |
Segment_Reporting_Reportable_S
Segment Reporting (Reportable Segments Consolidated Assets) (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Total Assets | $7,767,363 | $7,752,614 |
Corporate, Non-Segment [Member] | ' | ' |
Total Assets | 414,255 | 416,675 |
Operating Segments [Member] | ' | ' |
Total Assets | 7,353,108 | 7,335,939 |
Operating Segments [Member] | Industrial [Member] | ' | ' |
Total Assets | 4,438,376 | 4,414,740 |
Operating Segments [Member] | Office [Member] | ' | ' |
Total Assets | 1,527,997 | 1,524,501 |
Operating Segments [Member] | Medical Office [Member] | ' | ' |
Total Assets | 1,155,112 | 1,170,420 |
Operating Segments [Member] | All Other Segments [Member] | ' | ' |
Total Assets | 79,899 | 81,056 |
Operating Segments [Member] | Service Operations [Member] | ' | ' |
Total Assets | $151,724 | $145,222 |
Discontinued_Operations_and_As2
Discontinued Operations and Assets Held for Sale (Table Illustration of Number of Properties in Discontinued Operations) (Details) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2014 | Dec. 31, 2013 | |
buildings | buildings | |
Number of properties held for sale in discontinued operations | 3 | ' |
Number of properties sold in discontinued operations | 10 | 25 |
Total number of properties in discontinued operations | 38 | ' |
Continuing Operations, Number of In-service Properties Held for Sale | 0 | ' |
Continuing Operations, Number of Real Estate Properties Sold | 1 | 13 |
Continuing Operations, Number of Real Estate Properties Sold or Classified as Held for Sale | 14 | ' |
Number of Real Estate Properties Held for Sale | 3 | ' |
Number of Real Estate Properties Sold | 11 | 38 |
Total Properties Sold or Classified as Held for Sale | 52 | ' |
Industrial [Member] | ' | ' |
Number of properties held for sale in discontinued operations | 2 | ' |
Number of properties sold in discontinued operations | 9 | 6 |
Total number of properties in discontinued operations | 17 | ' |
Office [Member] | ' | ' |
Number of properties held for sale in discontinued operations | 0 | ' |
Number of properties sold in discontinued operations | 0 | 12 |
Total number of properties in discontinued operations | 12 | ' |
Medical Office [Member] | ' | ' |
Number of properties held for sale in discontinued operations | 1 | ' |
Number of properties sold in discontinued operations | 1 | 6 |
Total number of properties in discontinued operations | 8 | ' |
Retail [Member] | ' | ' |
Number of properties held for sale in discontinued operations | 0 | ' |
Number of properties sold in discontinued operations | 0 | 1 |
Total number of properties in discontinued operations | 1 | ' |
Discontinued_Operations_and_As3
Discontinued Operations and Assets Held for Sale (Table Illustration of Discontinued Operations in Income Statement) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Discontinued Operations | ' | ' |
Revenues | $1,368 | $16,404 |
Operating Expenses | -913 | -5,986 |
Depreciation and amortization, discontinued operations | -205 | -6,787 |
Operating Income (Loss) | 250 | 3,631 |
Interest Expense | -382 | -4,260 |
Income (loss) before gain on sales | -132 | -629 |
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | 19,752 | 8,954 |
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax | 19,620 | 8,325 |
Discontinued Operation, Tax Effect of Discontinued Operation | -2,977 | 0 |
Income (loss) from discontinued operations | 16,643 | 8,325 |
Income Tax Expense (Benefit) | ($2,674) | $0 |
Discontinued_Operations_and_As4
Discontinued Operations and Assets Held for Sale (Allocation of Shareholders' Income (Loss) Between Continuing and Discontinued Operations) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Discontinued Operations | ' | ' |
Income (loss) from continuing operations attributable to common shareholders | $2,260 | $19,833 |
Income (loss) from discontinued operations attributable to common shareholders | 16,423 | 8,210 |
Net income (loss) attributable to common shareholders/unitholders | $18,683 | $28,043 |
Discontinued_Operations_and_As5
Discontinued Operations and Assets Held for Sale (Aggregate Balance Sheet of Properties Held for Sale Included in Discontinued Operations) (Details) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 |
buildings | |
Discontinued Operations | ' |
Discontinued Operation, Number of In-service Properties Held for Sale | 3 |
Real estate investment, net | $29,316 |
Other assets | 5,510 |
Total assets held-for-sale | 34,826 |
Accrued expenses | 132 |
Other liabilities | 47 |
Total liabilities held-for-sale | $179 |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Apr. 30, 2014 | Apr. 30, 2014 |
Declaration of Dividends [Member] | Declaration of Dividends [Member] | Declaration of Dividends [Member] | Declaration of Dividends [Member] | Declaration of Dividends [Member] | Prior to Increase Approved by Shareholders [Member] | After Increase Approved by Shareholders [Member] | |||
Common Stock [Member] | Series J Preferred Stock [Member] | Series K Preferred Stock [Member] | Series L Preferred Stock [Member] | ||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common Stock, Shares Authorized | 400,000,000 | 400,000,000 | ' | ' | ' | ' | ' | 400,000,000 | 600,000,000 |
Common stock dividends declared per share | ' | ' | ' | $0.17 | ' | ' | ' | ' | ' |
Preferred stock dividends declared per share | ' | ' | ' | ' | $0.41 | $0.41 | $0.41 | ' | ' |
Record date | ' | ' | ' | 15-May-14 | 15-May-14 | 15-May-14 | 15-May-14 | ' | ' |
Payment date | ' | ' | ' | 30-May-14 | 30-May-14 | 30-May-14 | 30-May-14 | ' | ' |
Declared date | ' | ' | 30-Apr-14 | ' | ' | ' | ' | ' | ' |