Exhibit 99.2
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Supplemental Operating and Financial Information Fourth Quarter 2004 |
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Table of Contents |
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Corporate Information |
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Selected Financial Data |
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Company Overview |
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AmeriVest Properties Inc. is a real estate investment trust (REIT) which owns and operates commercial office buildings in selected markets catering to small and medium size businesses. At December 31, 2004, AmeriVest owned 30 properties totaling 2,732,957 square feet located in Colorado, Texas, Arizona and Indiana. The Company’s core portfolio (which excludes assets it owns less than 100% and smaller office buildings primarily leased to the State of Texas) included 16 properties totaling 2,450,854 square feet located in metropolitan Denver, Dallas, Phoenix and Indianapolis. |
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Strategy |
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We believe that office space for small to medium size businesses is a large and underserved market. According to a study compiled by the Office of Advocacy of the U.S. Small Business Administration, 89% of all U.S. businesses employed fewer than 20 employees. As a result, we believe that many businesses have office space requirements of no more than 4,000 square feet. |
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Small to medium size businesses often have specific needs and limitations that are different from larger businesses. For example, small and medium size businesses generally cannot afford large corporate staffs to manage their office leasing requirements. These businesses have needs similar to larger firms, such as access to cutting edge technology, conference facilities, high quality telecommunications services and other amenities, but may not have a comparable budget. Our strategy is to focus on providing an office product targeted to this large market and its unmet needs in a cost effective manner. The key elements of our strategy include: |
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| Provide a superior, consistent product - We seek to provide a level of amenities for small and medium size businesses in our office properties that usually only larger companies would be able to obtain, such as conference rooms with the latest telecommunication and presentation equipment, and high levels of common area and tenant finish, including well-designed, pre-built move-in ready space. |
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| Simplify the leasing process - Our leasing process is designed to meet the unique needs of a small to medium size customer base through our “no hassle” leasing philosophy which reduces the per lease cost for us and the customer. |
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| Provide a high level of service - With our deliberate focus on small and medium size businesses, we have developed a positive, service-oriented approach specifically tailored for our customer base. |
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| Target select cities - We target cities that have excellent small business growth demographics, where we hope to build meaningful multi-property portfolios over both the near and long term. |
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As a result of our focused strategy, we believe that our properties provide office space that is particularly attractive for small and medium size businesses. By executing on our strategy, we believe we have been able to maintain high occupancy rates while still maintaining strong rent per square foot trends in our core markets as compared to the general office market. |
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Directors and Executive Officers |
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Name |
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| Initial Date as Director |
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William T. Atkins |
| Chief Executive Officer, Director and Chairman of the Board |
| 1999 |
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Charles K. Knight |
| President, Chief Operating Officer and Director |
| 1999 |
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Kathryn L. Hale |
| Chief Financial Officer and Secretary |
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John B. Greenman |
| Chief Investment Officer and Vice President |
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Patrice Derrington |
| Outside Director |
| 2003 |
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Harry P. Gelles |
| Outside Director |
| 2000 |
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Alexander S. Hewitt |
| Director and Vice Chairman |
| 2004 |
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Robert W. Holman, Jr. |
| Lead Outside Director |
| 2001 |
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John A. Labate |
| Outside Director |
| 1995 |
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Jerry J. Tepper |
| Outside Director |
| 2000 |
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Corporate Headquarters |
| Investor Relations |
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1780 South Bellaire Street |
| Kim P. Boswood |
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Suite 100 |
| (303) 297-1800 x 118 |
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Denver, Colorado 80222 |
| kimb@amvproperties.com |
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(303) 297-1800 |
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Stock Exchange |
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American Stock Exchange |
| AMV |
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| As of and for the three months ended |
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| 12/31/2004 |
| 9/30/2004 |
| 6/30/2004 |
| 3/31/2004 |
| 12/31/2003 |
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Operating Data |
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Real estate operating revenue (1) |
| $ | 12,644 |
| $ | 11,435 |
| $ | 11,403 |
| $ | 9,594 |
| $ | 8,669 |
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General and administrative expenses |
| 1,348 |
| 1,106 |
| 984 |
| 933 |
| 1,171 |
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G&A as a percentage of revenue |
| 10.7 | % | 9.7 | % | 8.6 | % | 9.7 | % | 13.5 | % | ||||||||||||||||||||||||||||
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Loss Per Share |
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Net loss |
| $ | (3,678 | ) | $ | (1,302 | ) | $ | (548 | ) | $ | (375 | ) | $ | (1,251 | ) | |||||||||||||||||||||||
Loss per share - basic |
| (0.15 | ) | (0.05 | ) | (0.02 | ) | (0.02 | ) | (0.07 | ) | ||||||||||||||||||||||||||||
Loss per share - diluted |
| (0.15 | ) | (0.05 | ) | (0.02 | ) | (0.02 | ) | (0.07 | ) | ||||||||||||||||||||||||||||
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Funds from Operations (FFO) (2) |
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FFO |
| $ | 654 |
| $ | 2,351 |
| $ | 2,796 |
| $ | 1,878 |
| $ | 1,317 |
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FFO per share - basic |
| 0.03 |
| 0.10 |
| 0.12 |
| 0.11 |
| 0.08 |
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FFO per share - diluted |
| 0.03 |
| 0.10 |
| 0.12 |
| 0.11 |
| 0.07 |
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Balance Sheet Data |
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Net investment in real estate |
| $ | 330,814 |
| $ | 301,152 |
| $ | 277,569 |
| $ | 259,921 |
| $ | 223,894 |
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Total assets |
| 347,954 |
| 317,767 |
| 294,877 |
| 275,911 |
| 240,500 |
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Total liabilities |
| 252,904 |
| 216,074 |
| 188,824 |
| 166,477 |
| 170,396 |
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Minority interest |
| 1,580 |
| 1,671 |
| 1,775 |
| 1,836 |
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Total stockholders’ equity |
| 93,470 |
| 100,022 |
| 104,278 |
| 107,598 |
| 70,104 |
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Common Stock Data |
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Common shares outstanding |
| 23,982,233 |
| 23,948,056 |
| 23,928,849 |
| 23,859,639 |
| 17,401,309 |
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Weighted average shares - basic |
| 23,959,656 |
| 23,934,094 |
| 23,898,957 |
| 17,567,414 |
| 17,383,652 |
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Weighted average shares - diluted |
| 24,076,729 |
| 24,050,124 |
| 24,011,520 |
| 17,721,219 |
| 17,633,834 |
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Closing share price |
| $ | 6.40 |
| $ | 6.68 |
| $ | 5.89 |
| $ | 6.75 |
| $ | 7.18 |
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Share price range for period (high - low) |
| $ | 7.30 - | $ | 6.26 |
| $ | 6.83 - | $ | 5.88 |
| $ | 6.93 - |
$ | 5.48 |
| $ | 7.64 - | $ | 6.40 |
| $ | 6.50 - | $ | 7.21 |
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Dividends declared per share |
| $ | 0.13 |
| $ | 0.13 |
| $ | 0.13 |
| $ | 0.13 |
| $ | 0.13 |
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Annualized dividend yield |
| 8.1 | % | 7.8 | % | 8.8 | % | 7.7 | % | 7.2 | % | ||||||||||||||||||||||||||||
Market value of common equity |
| $ | 153,486 |
| $ | 159,973 |
| $ | 140,941 |
| $ | 161,053 |
| $ | 124,941 |
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Total liabilities |
| 252,904 |
| 216,074 |
| 188,824 |
| 166,477 |
| 170,396 |
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Total market capitalization |
| $ | 406,390 |
| $ | 376,047 |
| $ | 329,765 |
| $ | 327,530 |
| $ | 295,337 |
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Property Data |
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Properties owned |
| 30 |
| 29 |
| 28 |
| 27 |
| 30 |
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Rentable square feet |
| 2,732,957 |
| 2,628,044 |
| 2,480,232 |
| 2,365,640 |
| 2,222,079 |
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Occupancy |
| 88.3 | % | 86.2 | % | 85.1 | % | 84.5 | % | 84.2 | % | ||||||||||||||||||||||||||||
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(1) Excludes the revenues of assets classified as held of resale (Texas Bank Buildings - sold March 16, 2004). |
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(2) See page 6 for a reconciliation of FFO from net loss and a comparison of FFO per share to loss per share, the most directly comparable GAAP measures. FFO is not intended to be a measure of cash flow or liquidity. FFO was negatively impacted for the quarter ended December 31, 2004 as a result of an approximately $1.2 million impairment associated with the Texas State Buildings. For FFO purposes, the impairment is not added back to the Company’s net loss as specified by the NAREIT White Paper. |
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| Three months ended December 31, |
| Twelve months ended December 31, |
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| 2003 |
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| 2003 |
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Real Estate Operating Revenue |
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Rental revenue |
| $ | 12,643,553 |
| $ | 8,669,240 |
| $ | 45,075,225 |
| $ | 28,793,825 |
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Real Estate Operating Expenses |
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Property operating expenses - |
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Operating expenses |
| 3,648,818 |
| 2,598,197 |
| 13,476,493 |
| 7,822,693 |
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Real estate taxes |
| 1,719,960 |
| 1,292,680 |
| 5,829,535 |
| 3,639,508 |
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General and administrative expenses |
| 1,347,938 |
| 1,170,315 |
| 4,370,403 |
| 3,526,097 |
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Interest expense |
| 3,820,749 |
| 2,430,114 |
| 12,443,610 |
| 7,747,017 |
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Depreciation and amortization expense |
| 4,423,826 |
| 2,513,239 |
| 14,387,431 |
| 6,892,207 |
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Impairment of investment in real estate |
| 1,160,000 |
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| 1,160,000 |
| 1,465,932 |
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Other expense - pursuit costs (1) |
| 323,376 |
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| 323,626 |
| 1,650 |
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Total operating expenses |
| 16,444,667 |
| 10,004,545 |
| 51,991,098 |
| 31,095,104 |
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Loss From Continuing Operations |
| (3,801,114 | ) | (1,335,305 | ) | (6,915,873 | ) | (2,301,279 | ) | ||||
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Other Income/(Loss) |
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Interest income |
| 31,621 |
| 12,283 |
| 87,016 |
| 73,470 |
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Equity in loss of affiliate |
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| (16,502 | ) | (18,076 | ) | (54,953 | ) | ||||
Minority interest (2) |
| 91,034 |
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| 256,246 |
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Total other income/(loss) |
| 122,655 |
| (4,219 | ) | 325,186 |
| 18,517 |
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Loss Before Discontinued Operations |
| (3,678,459 | ) | (1,339,524 | ) | (6,590,687 | ) | (2,282,762 | ) | ||||
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Net Earnings from Discontinued Operations |
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| 87,659 |
| 687,735 |
| 302,342 |
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Net Loss |
| $ | (3,678,459 | ) | $ | (1,251,865 | ) | $ | (5,902,952 | ) | $ | (1,980,420 | ) |
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Loss Per Share |
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Basic |
| $ | (0.15 | ) | $ | (0.07 | ) | $ | (0.26 | ) | $ | (0.13 | ) |
Diluted |
| $ | (0.15 | ) | $ | (0.07 | ) | $ | (0.26 | ) | $ | (0.13 | ) |
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Weighted Average Common Shares Outstanding |
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Basic |
| 23,959,656 |
| 17,383,652 |
| 22,348,811 |
| 14,686,369 |
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Diluted |
| 23,959,656 |
| 17,383,652 |
| 22,348,811 |
| 14,686,369 |
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Reconcilation to Funds from Operations (FFO): (3) |
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Net Loss |
| $ | (3,678,459 | ) | $ | (1,251,865 | ) | $ | (5,902,952 | ) | $ | (1,980,420 | ) |
Depreciation and amortization expense |
| 4,332,521 |
| 2,569,314 |
| 14,157,113 |
| 7,108,783 |
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Gain on sale |
| — |
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| (574,276 | ) | — |
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FFO |
| $ | 654,062 |
| $ | 1,317,449 |
| $ | 7,679,885 |
| $ | 5,128,363 |
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Funds from Operations per share - diluted |
| $ | 0.03 |
| $ | 0.07 |
| $ | 0.34 |
| $ | 0.34 |
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(1) Represents costs which were previously capitalized in connection with anticipated acquisitions. These pursuits were terminated in the fourth quarter of 2004 and all previously capitalized costs associated with these acquisitions were expensed. At December 31, 2004, the Company has no pursuit costs included in its balance sheet. |
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(2) As a result of adopting FIN 46R, “Consolidation of Variable Interest Entities (VIE)”, the Company consolidated the operations of an entity management identified as a VIE in which the Company is the primary beneficiary. The Company recognizes minority interest equal to third party voting interests on the VIE’s reported earnings or loss. |
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(3) See page 6. |
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| Three months ended December 31, (1) |
| Twelve months ended December 31, (2) |
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Real Estate Operating Revenue |
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Rental revenue |
| $ | 7,671,921 |
| $ | 7,644,286 |
| $ | 27,635 |
| 0.4 | % | $ | 19,938,153 |
| $ | 19,834,615 |
| $ | 103,538 |
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Real Estate Operating Expenses |
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Property operating expenses - |
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Operating expenses |
| 2,168,435 |
| 2,177,491 |
| 9,056 |
| 0.4 | % | 5,334,853 |
| 5,007,279 |
| (327,574 | ) | -6.5 | % | ||||||
Real estate taxes |
| 944,694 |
| 818,573 |
| (126,121 | ) | -15.4 | % | 2,523,671 |
| 2,641,773 |
| 118,102 |
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Total property operating expenses |
| 3,113,129 |
| 2,996,064 |
| (117,065 | ) | -3.9 | % | 7,858,524 |
| 7,649,052 |
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Net Operating Income (3) |
| $ | 4,558,792 |
| $ | 4,648,222 |
| $ | (89,430 | ) | -1.9 | % | $ | 12,079,629 |
| $ | 12,185,563 |
| $ | (105,934 | ) | -0.9 | % |
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Average rent per sq. foot at December 31, |
| $ | 20.70 |
| $ | 21.13 |
| $ | (0.43 | ) | -2.0 | % | $ | 19.91 |
| $ | 20.84 |
| $ | (0.93 | ) | -4.5 | % |
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Occupancy at December 31, |
| 88.7 | % | 86.2 | % |
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| 2.5 | % | 92.2 | % | 88.9 | % |
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| 3.3 | % |
(1) Includes the following properties, which were operational during the entire three months ended December 31, 2003 and 2004: |
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Property |
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Sheridan Center |
| 139,578 |
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AmeriVest Plaza at Inverness |
| 118,720 |
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Arrowhead Fountains |
| 96,090 |
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Kellogg Building |
| 110,852 |
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Keystone Office Park |
| 114,822 |
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Parkway Centre II |
| 151,968 |
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Centerra |
| 186,582 |
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Chateau Plaza |
| 171,294 |
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Southwest Gas Building |
| 146,048 |
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Financial Plaza |
| 310,838 |
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Total |
| 1,546,792 |
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(2) Includes the following properties, which were operational during the entire twelve months ended December 31, 2003 and 2004: |
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Sheridan Center |
| 139,578 |
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AmeriVest Plaza at Inverness |
| 118,720 |
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Arrowhead Fountains |
| 96,090 |
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Kellogg Building |
| 110,852 |
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Parkway Centre II |
| 151,968 |
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Centerra |
| 186,582 |
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Chateau Plaza |
| 171,294 |
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Total |
| 975,084 |
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(3) See page 6 for a reconciliation of Same Store Net Operating Income to Loss from Continuing Operations. |
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Funds from Operations - |
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Funds from Operations (FFO) is a non-GAAP financial measure. We believe FFO, as defined by the Board of Governors of the National Association of Real Estate Investment Trusts (NAREIT) in the October 1999 White Paper (amended in April 2002), to be an appropriate measure of performance for an equity REIT, for reasons, and subject to the qualifications, specified in the paragraphs entitled “Non-GAAP Financial Measures” below. The following table reflects the reconciliation of FFO from net loss and a comparison of FFO per share to loss per share, the most directly comparable GAAP measures: |
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| Three months ended |
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| 12/31/2004 |
| 9/30/2004 |
| 6/30/2004 |
| 3/31/2004 |
| 12/31/2003 |
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|
| (amounts in thousands, except share, per share and property data) |
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Funds from Operations (FFO) - |
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Net loss |
| $ | (3,678 | ) | $ | (1,302 | ) | $ | (548 | ) | $ | (375 | ) | $ | (1,252 | ) | |||||||||||||
Depreciation and amortization expense |
| 4,332 |
| 3,653 |
| 3,344 |
| 2,805 |
| 2,546 |
| ||||||||||||||||||
Share of depreciation and amortization expense of unconsolidated affiliate |
| — |
| — |
| — |
| 22 |
| 23 |
| ||||||||||||||||||
Gain on sale |
| — |
| — |
| — |
| (574 | ) | — |
| ||||||||||||||||||
FFO |
| $ | 654 |
| $ | 2,351 |
| $ | 2,796 |
| $ | 1,878 |
| $ | 1,317 |
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Loss per share - diluted |
| $ | (0.15 | ) | $ | (0.05 | ) | $ | (0.02 | ) | $ | (0.02 | ) | $ | (0.07 | ) | |||||||||||||
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FFO per share - diluted |
| $ | 0.03 |
| $ | 0.10 |
| $ | 0.12 |
| $ | 0.11 |
| $ | 0.07 |
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Common Stock Data - |
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Weighted average shares - diluted |
| 24,076,729 |
| 24,050,124 |
| 24,011,520 |
| 17,721,219 |
| 17,633,834 |
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Non-GAAP Financial Measures - Funds from Operations (FFO) is a non-GAAP financial measure. FFO is defined as net income or loss, computed in accordance with generally accepted accounting principles (GAAP), excluding gains or losses from sale of properties, plus real estate related depreciation and amortization and after adjustments for unconsolidated partnerships and joint ventures. We believe that FFO is helpful to investors as a measure of the performance of an equity REIT because, it facilitates an understanding of the operations performance of its properties without giving effect to real estate depreciation and amortization, which assume that the value of real estate assets diminishes predictably over time. Since real estate values have historically risen or fallen with market conditions, we believe that FFO provides a more meaningful and accurate indication of our performance. We compute FFO in accordance with standards established by the Board of Governors of the National Association of Real Estate Investment Trusts (NAREIT), which may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current NAREIT definition or that interpret the current NAREIT definition differently than we do. FFO does not represent cash generated from operating activities determined by GAAP and should not be considered as an alternative to net income or loss (determined in accordance with GAAP) as an indication of our financial performance or to cash flows from operating activities (determined in accordance with GAAP) as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs, including our ability to make cash distributions. FFO may include funds that may not be available for our management’s discretionary use due to requirements to conserve funds for capital expenditures, debt repayments, debt repayments property acquisitions and other commitments and uncertainties. |
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Same Store Property Net Operating Income - |
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Net Operating Income (NOI) is defined as rental revenues less property operating expenses. We rely on NOI for assessing property performance. We also believe Same Store Property NOI is a valuable means of comparing period-to-period property performance. The following is a reconciliation of Same Store Property NOI to Loss From Continuing Operations: |
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| Three months ended December 31, |
| Twelve months ended December 31, |
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|
| 2004 |
| 2003 |
| 2004 |
| 2003 |
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| (amounts in thousands) |
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| ||||||||||||||||||||
Same Store Property NOI |
| $ | 4,559 |
| $ | 4,648 |
| $ | 12,080 |
| $ | 12,186 |
| ||||||||||||||||
Non Same Store Property NOI |
| 2,393 |
| 130 |
| 13,365 |
| 5,144 |
| ||||||||||||||||||||
General and administrative expenses |
| (1,348 | ) | (1,170 | ) | (4,370 | ) | (3,526 | ) | ||||||||||||||||||||
Interest expense |
| (3,821 | ) | (2,430 | ) | (12,444 | ) | (7,747 | ) | ||||||||||||||||||||
Depreciation and amortization expense |
| (4,424 | ) | (2,513 | ) | (14,387 | ) | (6,892 | ) | ||||||||||||||||||||
Impairment of investment in real estate |
| (1,160 | ) | — |
| (1,160 | ) | (1,466 | ) | ||||||||||||||||||||
Loss from Continuing Operations |
| $ | (3,801 | ) | $ | (1,335 | ) | $ | (6,916 | ) | $ | (2,301 | ) | ||||||||||||||||
6
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|
| December 31, 2004 |
| December 31, 2003 |
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| ||||||
Assets |
|
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|
| ||||||
Investment in real estate - |
|
|
|
|
| ||||||
Land |
| $ | 58,338,781 |
| $ | 28,838,214 |
| ||||
Buildings and improvements |
| 256,128,341 |
| 184,519,890 |
| ||||||
Furniture, fixtures and equipment |
| 1,451,152 |
| 799,730 |
| ||||||
Tenant improvements |
| 15,157,570 |
| 6,144,440 |
| ||||||
Tenant leasing commissions |
| 3,101,178 |
| 1,061,160 |
| ||||||
Intangible assets |
| 23,019,763 |
| 11,468,120 |
| ||||||
Assets - held for sale |
| — |
| 3,196,877 |
| ||||||
Less: accumulated depreciation and amortization |
| (26,383,036 | ) | (12,134,025 | ) | ||||||
Net investment in real estate |
| 330,813,749 |
| 223,894,406 |
| ||||||
|
|
|
|
|
| ||||||
Cash and cash equivalents |
| 1,859,660 |
| 1,477,585 |
| ||||||
Escrow deposits |
| 7,726,652 |
| 5,778,427 |
| ||||||
Investment in affiliate |
| — |
| 1,364,032 |
| ||||||
Due from related party |
| — |
| 3,371,526 |
| ||||||
Due from affiliate |
| — |
| 262,347 |
| ||||||
Accounts receivable, net |
| 671,251 |
| 296,377 |
| ||||||
Deferred rents receivable |
| 3,430,609 |
| 1,401,455 |
| ||||||
Deferred financing costs, net |
| 2,927,696 |
| 2,301,043 |
| ||||||
Prepaid expenses and other assets |
| 524,072 |
| 353,264 |
| ||||||
Total assets |
| $ | 347,953,689 |
| $ | 240,500,462 |
| ||||
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|
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| ||||||
Liabilities |
|
|
|
|
| ||||||
Secured mortgage loans and notes payable |
| $ | 211,729,328 |
| $ | 143,087,936 |
| ||||
Unsecured line of credit |
| 24,857,063 |
| 15,149,725 |
| ||||||
Liabilities - held for sale |
| — |
| 1,296,049 |
| ||||||
Accounts payable and accrued expenses |
| 4,524,282 |
| 2,736,657 |
| ||||||
Accrued real estate taxes |
| 4,486,712 |
| 3,169,183 |
| ||||||
Prepaid rents, deferred revenue and security deposits |
| 4,190,202 |
| 2,694,335 |
| ||||||
Dividends payable |
| 3,116,130 |
| 2,262,170 |
| ||||||
Total liabilities |
| 252,903,717 |
| 170,396,055 |
| ||||||
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|
|
|
|
| ||||||
Minority Interest |
| 1,580,057 |
| — |
| ||||||
|
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| ||||||
Stockholders’ Equity |
|
|
|
|
| ||||||
Preferred stock, $.001 par value |
|
|
|
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| ||||||
Authorized - 5,000,000 shares |
|
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| ||||||
Issued and outstanding - none |
| — |
| — |
| ||||||
|
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|
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| ||||||
Common stock, $.001 par value |
|
|
|
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| ||||||
Authorized - 75,000,000 shares |
|
|
|
|
| ||||||
Issued and outstanding - 23,982,233 and 17,401,309 shares, respectively |
| 23,982 |
| 17,401 |
| ||||||
Capital in excess of par value |
| 132,585,840 |
| 91,706,371 |
| ||||||
Distributions in excess of accumulated earnings |
| (39,139,907 | ) | (21,619,365 | ) | ||||||
Total stockholders’ equity |
| 93,469,915 |
| 70,104,407 |
| ||||||
Total liabilities and stockholders’ equity |
| $ | 347,953,689 |
| $ | 240,500,462 |
| ||||
7
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|
| December 31, 2004 |
| December 31, 2003 |
| |||||||||||||||||||||
Lender |
| Mortgaged Property |
| Maturity Date |
| Principal Balance |
| Interest Rate (1) |
| Principal Balance |
| Interest Rate (1) |
| |||||||||||||||
Fixed Rate - |
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| |||||||||||||||
Teachers Insurance and Annuity Association of America |
| AmeriVest Plaza at Inverness |
| 1/10/2006 |
| $ | 14,412,347 |
| 7.90 | % | $ | 14,572,888 |
| 7.90 | % | |||||||||||||
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Greenwich Capital Financial Products |
| Parkway Centre II Centerra Southwest Gas Building |
| 10/1/2008 |
| 38,115,018 |
| 5.13 | % | 38,876,849 |
| 5.13 | % | |||||||||||||||
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Metropolitan Life Insurance Company |
| Parkway Centre III |
| 9/10/2009 |
| 15,154,645 |
| 4.47 | % | — |
| — |
| |||||||||||||||
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Allstate Life Insurance Company |
| Financial Plaza |
| 10/5/2010 |
| 24,173,324 |
| 5.25 | % | 24,669,760 |
| 5.25 | % | |||||||||||||||
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Southern Farm Bureau Life Insurance Company |
| Scottsdale Norte |
| 4/1/2011 |
| 6,568,596 |
| 7.90 | % | 6,625,460 |
| 7.90 | % | |||||||||||||||
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| |||||||||||||||
J. P. Morgan Chase |
| Hackberry View - 1st |
| 9/1/2012 |
| 11,424,345 |
| 6.57 | % | — |
| — |
| |||||||||||||||
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J. P. Morgan Chase |
| Hackberry View - 2nd (2) |
| 9/1/2012 |
| 967,654 |
| 8.00 | % | — |
| — |
| |||||||||||||||
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| |||||||||||||||
Teachers Insurance and Annuity Association of America |
| Sheridan Center Arrowhead Fountains Kellogg Building |
| 1/1/2013 |
| 28,852,678 |
| 7.40 | % | 29,309,686 |
| 7.40 | % | |||||||||||||||
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|
|
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|
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| |||||||||||||||
Allstate Life Insurance Company |
| Camelback - 1st |
| 9/5/2014 |
| 15,928,449 |
| 5.82 | % | — |
| — |
| |||||||||||||||
|
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|
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|
|
| |||||||||||||||
Allstate Life Insurance Company |
| Camelback - 2nd |
| 9/5/2014 |
| 4,977,640 |
| 5.82 | % | — |
| — |
| |||||||||||||||
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| |||||||||||||||
Security Life of Denver Insurance Company |
| Keystone Office Park - 1st |
| 5/1/2022 |
| 4,236,333 |
| 8.00 | % | 4,334,828 |
| 8.00 | % | |||||||||||||||
|
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|
|
|
|
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|
|
| |||||||||||||||
Security Life of Denver Insurance Company |
| Keystone Office Park - 2nd |
| 5/1/2022 |
| 474,284 |
| 8.63 | % | 485,638 |
| 8.63 | % | |||||||||||||||
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| |||||||||||||||
GEMSA |
| Hampton Court |
| 11/1/2007 |
| 7,900,000 |
| 5.48 | % | — |
| — |
| |||||||||||||||
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|
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| |||||||||||||||
Transatlantic Capital Company, LLC (3) |
| Texas State Buildings |
| 8/1/2028 |
| 5,579,891 |
| 7.66 | % | 5,660,436 |
| 7.66 | % | |||||||||||||||
|
|
|
| Subtotal |
| $ | 178,765,204 |
| 6.14 | % | $ | 124,535,545 |
| 6.39 | % | |||||||||||||
|
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| |||||||||||||||
Variable Rate - |
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| |||||||||||||||
KeyBank National Association - |
| Chateau Plaza |
| 11/12/2005 |
| $ | 32,900,000 |
| 4.96 | % | $ | 18,470,020 |
| 3.90 | % | |||||||||||||
Senior Secured Line of Credit |
| Greenhill Park |
|
|
|
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KeyBank National Association - |
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| |||||||||||||||
Unsecured Line of Credit |
| Unsecured |
| 11/12/2007 |
| 24,857,063 |
| 5.63 | % | 15,149,725 |
| 5.17 | % | |||||||||||||||
|
|
|
| Subtotal |
| $ | 57,757,063 |
| 5.25 | % | $ | 33,619,745 |
| 4.47 | % | |||||||||||||
|
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| |||||||||||||||
Other notes payable - |
|
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| |||||||||||||||
Lease Capital Corporation |
| Phone system |
| 10/31/2007 |
| 64,124 |
| 11.11 | % | 82,371 |
| 11.11 | % | |||||||||||||||
|
|
|
| Subtotal |
| 64,124 |
| 11.11 | % | 82,371 |
| 11.11 | % | |||||||||||||||
Total debt, excluding “liabilities - held for sale’ |
| $ | 236,586,391 |
| 5.92 | % | $ | 158,237,661 |
| 5.98 | % | |||||||||||||||||
|
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|
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| |||||||||||||||
Liabilities - held for sale |
|
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| |||||||||||||||
Jefferson Pilot |
| Texas Bank Buildings |
|
|
| $ | — |
| — |
| $ | 1,296,049 |
| 9.00 | % | |||||||||||||
Total including mortgage loan included in ‘liabilities - held for sale’ |
| $ | 236,586,391 |
| 5.89 | % | $ | 159,533,710 |
| 6.01 | % | |||||||||||||||||
Scheduled maturities (for the years ended December 31,) - |
|
| ||||||
2005 |
|
|
|
|
| 36,061,458 |
| |
2006 |
|
|
|
|
| 17,416,022 |
| |
2007 |
|
|
|
|
| 36,125,664 |
| |
2008 |
|
|
|
|
| 38,166,576 |
| |
2009 |
|
|
|
|
| 15,644,670 |
| |
Thereafter |
|
|
|
|
| 93,172,001 |
| |
Total |
|
|
|
|
| $ | 236,586,391 |
|
Debt information, including ‘liabilites - held for sale’ (for the twelve months ended December 31, 2004) - |
|
| ||||||
Additions |
|
|
|
|
| $ | 140,726,910 |
|
Repayments |
|
|
|
|
| (61,264,964 | ) | |
Scheduled principal payments |
|
|
|
|
| (2,409,265 | ) | |
Net change in mortgage payable |
|
|
|
|
| $ | 77,052,681 |
|
(1) Interest only, does not include amortization of deferred financing costs or unused facility fees. |
|
|
|
(2) The amount recorded reflects a net present value calculation based on a fair market value rate of 8%. The actual loan balance assumed was $697,847 at an interest rate of 15%. |
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(3) On March 2, 2005, the Company completed a Deed-in-Lieu Agreement to return these properties to the lender. |
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8
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|
|
| December 31, 2004 |
| December 31, 2003 |
| ||||||
Building / Location |
| Year Acquired |
| Rentable Area (1) |
| Occupancy Rate (2) |
| Average Rent Per SF (3) |
| Occupancy Rate (2) |
| Average Rent Per SF (3) |
| ||
Same Store - |
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| ||
Southwest Gas Building |
|
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|
| ||
Phoenix, AZ |
| 2003 |
| 146,048 |
| 87.1 | % | $ | 22.64 |
| 80.4 | % | $ | 22.10 |
|
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|
| ||
Chateau Plaza |
|
|
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|
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|
|
|
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|
| ||
Dallas, TX |
| 2002 |
| 171,294 |
| 99.5 | % | 23.42 |
| 100.0 | % | 22.70 |
| ||
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|
| ||
Centerra |
|
|
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|
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|
|
|
|
|
| ||
Denver, CO |
| 2002 |
| 186,582 |
| 85.2 | % | 18.09 |
| 72.9 | % | 19.89 |
| ||
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|
| ||
Parkway Centre II |
|
|
|
|
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|
|
|
|
|
|
|
| ||
Plano, TX |
| 2002 |
| 151,968 |
| 94.8 | % | 19.01 |
| 95.4 | % | 20.61 |
| ||
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|
| ||
Kellogg Building |
|
|
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|
|
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|
|
|
|
|
| ||
Littleton, CO |
| 2001 |
| 110,852 |
| 93.0 | % | 19.56 |
| 85.8 | % | 21.04 |
| ||
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|
|
|
|
|
|
|
|
|
|
|
| ||
Arrowhead Fountains |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Peoria, AZ |
| 2001 |
| 96,090 |
| 100.0 | % | 21.85 |
| 100.0 | % | 21.85 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
AmeriVest Plaza at Inverness |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Englewood, CO |
| 2001 |
| 118,720 |
| 93.9 | % | 21.03 |
| 91.3 | % | 23.10 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Sheridan Center |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Denver, CO |
| 2000 |
| 139,578 |
| 82.0 | % | 15.94 |
| 82.7 | % | 16.36 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Keystone Office Park |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Indianapolis, IN |
| 1999/2003 |
| 114,822 |
| 76.8 | % | 17.69 |
| 86.4 | % | 17.71 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Greenhill Park |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Addison, TX |
| 2003 |
| 247,264 |
| 77.0 | % | 17.71 |
| 76.7 | % | 18.84 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Scottsdale Norte |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Scottsdale, AZ |
| 2003 |
| 78,811 |
| 94.4 | % | 22.74 |
| 80.9 | % | 23.16 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Financial Plaza |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Mesa, AZ |
| 2003 |
| 310,838 |
| 83.0 | % | 23.51 |
| 80.5 | % | 23.02 |
| ||
|
| Subtotal |
| 1,872,867 |
| 87.4 | % | $ | 20.44 |
| 84.7 | % | $ | 20.93 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
2004 Acquisitions - |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Hackberry View |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Irving, TX |
| 2004 |
| 114,598 |
| 100.0 | % | 19.78 |
| N/A |
| N/A |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Camelback Lakes |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Phoenix, AZ |
| 2004 |
| 203,179 |
| 98.9 | % | 21.97 |
| N/A |
| N/A |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Parkway Centre III |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Plano, TX |
| 2004 |
| 152,027 |
| 93.8 | % | 20.94 |
| N/A |
| N/A |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Hampton Court |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Dallas, TX |
| 2004 |
| 108,183 |
| 100.0 | % | 21.13 |
| N/A |
| N/A |
| ||
|
| Subtotal |
| 577,987 |
| 98.0 | % | $ | 21.11 |
| N/A |
| N/A |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Joint Ventures - |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Panorama Falls (4) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Englewood, CO |
| 2000 |
| 59,561 |
| 64.8 | % | 19.84 |
| 78.0 | % | 19.01 |
| ||
|
| Subtotal |
| 59,561 |
| 64.8 | % | $ | 19.84 |
| 78.0 | % | $ | 19.01 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Non-Core - |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Texas Bank Buildings (5) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Texas |
| 1998 |
| N/A |
| N/A |
| N/A |
| 100.0 | % | $ | 15.88 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Texas State Buildings (6) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Texas |
| 1997/1998 |
| 222,542 |
| 77.1 | % | 9.06 |
| 76.8 | % | 9.00 |
| ||
|
| Subtotal |
| 222,542 |
| 77.1 | % | $ | 9.06 |
| 81.7 | % | $ | 10.79 |
|
|
| Total |
| 2,732,957 | % | 88.3 |
| $ | 19.78 |
| 84.2 | % | $ | 19.63 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes office space but excludes storage, telecommunications and garage space. |
|
|
|
(2) Includes approximately 73,000 square feet (2.7% of total rentable area) that has been leased but is not yet occupied and approximately 28,000 square feet (1.0% of total rentable area) that is leased but has been vacated. Excludes approximately 9,000 square feet (0.3% of total rentable area) that expired on or about December 31, 2004. |
|
|
|
(3) Annualized cash basis revenue divided by leased area. |
|
|
|
(4) 20% of the property is owned by AmeriVest and 80% of the property is owned by one other investor as tenants in common. Beginning March 31, 2004, the balance sheet and results of operations for this joint venture are included in the Company’s consolidated financial statements. |
|
|
|
(5) These buildings were sold March 16, 2004. |
|
|
|
(6) On March 2, 2005, the Company completed a Deed-in-Lieu Agreement to return these properties to the lender. |
|
9
|
| |||||||||
| ||||||||||
|
| |||||||||
The following schedules detail the tenant (1) lease expirations for our 100%-owned properties (2) at December 31, 2004 in total and by geographic region: |
| |||||||||
|
|
|
|
|
|
|
|
|
| |
Consolidated |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Year |
| Number of Leases |
| Square Footage |
| Annual Revenue (3) |
| Percentage of Total Annual Revenue |
| |
2005 |
| 112 |
| 542,290 |
| 10,911,933 |
| 23.9 | % | |
2006 |
| 102 |
| 319,957 |
| 6,044,542 |
| 13.2 | % | |
2007 |
| 110 |
| 460,815 |
| 9,370,199 |
| 20.5 | % | |
2008 |
| 63 |
| 234,456 |
| 4,645,345 |
| 10.2 | % | |
2009 |
| 56 |
| 328,665 |
| 7,042,497 |
| 15.4 | % | |
2010 |
| 28 |
| 262,297 |
| 4,853,171 |
| 10.6 | % | |
2011 |
| 10 |
| 70,272 |
| 1,389,027 |
| 3.0 | % | |
2012 |
| 4 |
| 48,185 |
| 1,050,633 |
| 2.3 | % | |
2013 |
| — |
| — |
| — |
| — |
| |
2014 |
| 2 |
| 24,062 |
| 320,480 |
| 0.7 | % | |
2015 |
| 3 |
| 7,884 |
| 109,706 |
| 0.2 | % | |
Total |
| 490 |
| 2,298,883 |
| $ | 45,737,533 |
| 100.0 | % |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Denver |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Year |
| Number of Leases |
| Square Footage |
| Annual Revenue (3) |
| Percentage of Total Annual Revenue |
| |
2005 |
| 59 |
| 131,091 |
| 2,783,771 |
| 33.1 | % | |
2006 |
| 46 |
| 65,629 |
| 1,173,997 |
| 14.0 | % | |
2007 |
| 46 |
| 80,501 |
| 1,456,313 |
| 17.3 | % | |
2008 |
| 26 |
| 76,332 |
| 1,433,640 |
| 17.1 | % | |
2009 |
| 19 |
| 44,560 |
| 795,196 |
| 9.5 | % | |
2010 |
| 4 |
| 12,929 |
| 220,421 |
| 2.6 | % | |
2011 |
| 3 |
| 11,223 |
| 197,196 |
| 2.3 | % | |
2012 |
| — |
| — |
| — |
| — |
| |
2013 |
| — |
| — |
| — |
| — |
| |
2014 |
| 1 |
| 19,798 |
| 235,200 |
| 2.8 | % | |
2015 |
| 3 |
| 7,884 |
| 109,706 |
| 1.3 | % | |
Total |
| 207 |
| 449,947 |
| $ | 8,405,440 |
| 100.0 | % |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Phoenix |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Year |
| Number of Leases |
| Square Footage |
| Annual Revenue (3) |
| Percentage of Total Annual Revenue |
| |
2005 |
| 19 |
| 101,945 |
| 2,291,613 |
| 13.6 | % | |
2006 |
| 27 |
| 113,237 |
| 2,587,773 |
| 15.4 | % | |
2007 |
| 33 |
| 155,561 |
| 3,507,098 |
| 20.8 | % | |
2008 |
| 15 |
| 52,691 |
| 1,218,714 |
| 7.2 | % | |
2009 |
| 21 |
| 163,976 |
| 3,901,457 |
| 23.2 | % | |
2010 |
| 9 |
| 109,717 |
| 2,341,045 |
| 13.9 | % | |
2011 |
| 2 |
| 19,119 |
| 437,497 |
| 2.6 | % | |
2012 |
| 1 |
| 24,444 |
| 546,610 |
| 3.2 | % | |
2013 |
| — |
| — |
| — |
| — |
| |
2014 |
| — |
| — |
| — |
| — |
| |
2015 |
| — |
| — |
| — |
| — |
| |
Total |
| 127 |
| 740,690 |
| $ | 16,831,807 |
| 100.0 | % |
10
|
|
|
|
|
|
|
|
|
| |
Dallas |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Year |
| Number of Leases |
| Square Footage |
| Annual Revenue (3) |
| Percentage of Total Annual Revenue |
| |
2005 |
| 23 |
| 220,706 |
| 4,961,132 |
| 28.4 | % | |
2006 |
| 16 |
| 61,935 |
| 1,295,286 |
| 7.4 | % | |
2007 |
| 26 |
| 213,698 |
| 4,213,590 |
| 24.1 | % | |
2008 |
| 19 |
| 100,978 |
| 1,917,122 |
| 11.0 | % | |
2009 |
| 11 |
| 107,658 |
| 2,139,739 |
| 12.2 | % | |
2010 |
| 10 |
| 88,723 |
| 1,711,667 |
| 9.8 | % | |
2011 |
| 3 |
| 31,020 |
| 649,671 |
| 3.7 | % | |
2012 |
| 3 |
| 23,741 |
| 504,023 |
| 2.9 | % | |
2013 |
| — |
| — |
| — |
| — |
| |
2014 |
| 1 |
| 4,264 |
| 85,280 |
| 0.5 | % | |
2015 |
| — |
| — |
| — |
| — |
| |
Total |
| 112 |
| 852,723 |
| $ | 17,477,510 |
| 100.0 | % |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Indianapolis |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Year |
| Number of Leases |
| Square Footage |
| Annual Revenue (3) |
| Percentage of Total Annual Revenue |
| |
2005 |
| 9 |
| 16,789 |
| 290,306 |
| 20.0 | % | |
2006 |
| 9 |
| 30,358 |
| 551,016 |
| 37.9 | % | |
2007 |
| 5 |
| 11,055 |
| 193,198 |
| 13.3 | % | |
2008 |
| 3 |
| 4,455 |
| 75,869 |
| 5.2 | % | |
2009 |
| 5 |
| 12,471 |
| 206,105 |
| 14.2 | % | |
2010 |
| 1 |
| 5,343 |
| 96,174 |
| 6.6 | % | |
2011 |
| 1 |
| 2,400 |
| 41,400 |
| 2.8 | % | |
2012 |
| — |
| — |
| — |
| — |
| |
2013 |
| — |
| — |
| — |
| — |
| |
2014 |
| — |
| — |
| — |
| — |
| |
2015 |
| — |
| — |
| — |
| — |
| |
Total |
| 33 |
| 82,871 |
| $ | 1,454,068 |
| 100.0 | % |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Non-core (4) |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
Year |
| Number of Leases |
| Square Footage |
| Annual Revenue (3) |
| Percentage of Total Annual Revenue |
| |
2005 |
| 2 |
| 71,759 |
| 585,111 |
| 37.3 | % | |
2006 |
| 4 |
| 48,798 |
| 436,470 |
| 27.8 | % | |
2007 |
| — |
| — |
| — |
| — |
| |
2008 |
| — |
| — |
| — |
| — |
| |
2009 |
| — |
| — |
| — |
| — |
| |
2010 |
| 4 |
| 45,585 |
| 483,864 |
| 30.8 | % | |
2011 |
| 1 |
| 6,510 |
| 63,263 |
| 4.0 | % | |
2012 |
| — |
| — |
| — |
| — |
| |
2013 |
| — |
| — |
| — |
| — |
| |
2014 |
| — |
| — |
| — |
| — |
| |
2015 |
| — |
| — |
| — |
| — |
| |
Total |
| 11 |
| 172,652 |
| $ | 1,568,708 |
| 100.0 | % |
|
|
|
|
|
|
|
|
|
|
(1) Excludes Kellogg Executive Suite and month-to-month tenants. |
|
|
|
(2) Does not include Panorama Falls. |
|
|
|
(3) Represents the annual base rent and excludes any adjustments for straight-line rent or expense recoveries. |
|
|
|
(4) On March 2, 2005, the Company completed a Deed-in-Lieu Agreement to return these properties to the lender. |
|
11
|
| |||||||||||||||||||
| ||||||||||||||||||||
|
| |||||||||||||||||||
Geographic Distribution |
| |||||||||||||||||||
|
| |||||||||||||||||||
The following chart illustrates the geographic distribution of our 100%-owned core properties (1) by square footage at December 31, 2004: |
| |||||||||||||||||||
|
| |||||||||||||||||||
| ||||||||||||||||||||
|
| |||||||||||||||||||
Portfolio by Lease Size (1) |
| |||||||||||||||||||
|
| |||||||||||||||||||
Lease Size |
| Occupied Area |
| % of Occupied Area |
| Number of Leases |
| % of Total Leases |
| |||||||||||
2,500 square feet and under |
| 346,510 |
| 16.3 | % | 259 |
| 54.1 | % | |||||||||||
2,501 to 5,000 square feet |
| 402,911 |
| 18.9 | % | 114 |
| 23.8 | % | |||||||||||
5,001 to 10,000 square feet |
| 450,805 |
| 21.2 | % | 65 |
| 13.6 | % | |||||||||||
10,001 to 25,000 square feet |
| 525,880 |
| 24.7 | % | 33 |
| 6.9 | % | |||||||||||
25,001 to 50,000 square feet |
| 164,145 |
| 7.7 | % | 5 |
| 1.0 | % | |||||||||||
50,000 square feet and greater |
| 235,980 |
| 11.2 | % | 3 |
| 0.6 | % | |||||||||||
|
| 2,126,231 |
| 100.0 | % | 479 |
| 100.0 | % | |||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Ten Largest Customers |
| |||||||||||||||||||
|
| |||||||||||||||||||
Tenant Name |
| Tenant Industry |
| Market |
| Lease Expiration |
| Square Feet |
| Annualized Rent (2) |
| % of Total Consolidated Annual Revenue (2) |
| |||||||
Dean Foods Company |
| Wholesale trade/manufacturing |
| Dallas, TX |
| 12/31/05 |
| 120,607 |
| 2,820,066 |
| 6.2 | % | |||||||
Southwest Gas Corporation |
| Energy |
| Phoenix, AZ |
| 8/31/09 |
| 60,046 |
| 1,501,150 |
| 3.3 | % | |||||||
Capstar Radio Operating Co. |
| Entertainment |
| Phoenix, AZ |
| 5/31/10 |
| 55,327 |
| 1,106,540 |
| 2.4 | % | |||||||
Hewitt Associates L.L.C. |
| Consulting/business services |
| Dallas, TX |
| 1/31/10 |
| 43,137 |
| 938,230 |
| 2.1 | % | |||||||
First Health Group Corp. |
| Healthcare |
| Phoenix, AZ |
| 4/30/05 |
| 36,833 |
| 791,910 |
| 1.7 | % | |||||||
Humana Health Plan, Inc. |
| Healthcare |
| Phoenix, AZ |
| 3/14/06 |
| 29,848 |
| 597,830 |
| 1.3 | % | |||||||
DNA Productions |
| Computer systems and software |
| Dallas, TX |
| 6/30/09 |
| 28,570 |
| 582,131 |
| 1.3 | % | |||||||
Allied Solutions |
| Financial services - insurance |
| Dallas, TX |
| 12/31/09 |
| 25,757 |
| 450,747 |
| 1.0 | % | |||||||
Schlumberger Technology Corp. |
| Energy |
| Dallas, TX |
| 7/31/07 |
| 24,606 |
| 472,284 |
| 1.0 | % | |||||||
Vision Offices Mesa, L.L.C. |
| Consulting/business services |
| Phoenix, AZ |
| 10/31/12 |
| 24,444 |
| 546,610 |
| 1.2 | % | |||||||
|
|
|
|
|
|
|
| 449,175 |
| 9,807,498 |
| 21.4 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Tenant Diversification by Industry |
| |||||||||||||||||||
The following table categorizes the leased area of our 100%-owned core properties (1) by our tenant’s industry at December 31, 2004: |
| |||||||||||||||||||
Wholesale trade and manufacturing |
| 11.0 | % |
Healthcare |
| 10.1 | % |
Consulting and business services |
| 9.8 | % |
Real estate |
| 9.7 | % |
Financial services - advisement and brokerage |
| 7.3 | % |
Financial services - mortgage |
| 6.7 | % |
Financial services - insurance |
| 6.7 | % |
Legal |
| 6.5 | % |
Computer systems and software |
| 6.5 | % |
Energy |
| 5.8 | % |
Travel, entertainment and food service |
| 3.9 | % |
Telecommunications |
| 3.4 | % |
Accounting |
| 2.8 | % |
Financial services - banking |
| 2.6 | % |
Other |
| 7.2 | % |
(1) Does not include the Texas State Buildings or Panorama Falls. |
|
|
|
(2) Represents the annual base rent and excludes any adjustments for straight-line rent or expense recoveries. |
|
12