PS BUSINESS PARKS, INC.
EXHIBIT 12
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Supplemental disclosure of Ratio of Funds from Operations ("FFO") to fixed
charges:
Three Months Ended
March 31,
--------------------------------------------
2000 1999
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FFO............................................................. $ 20,208,000 $ 18,390,000
Interest expense................................................ 374,000 909,000
Minority interest in income - preferred units................... 2,920,000 -
Preferred dividends............................................. 1,272,000 -
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Adjusted FFO available to cover fixed charges................... $ 24,774,000 $ 19,299,000
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Fixed charges (1)............................................... 772,000 1,094,000
Preferred distributions......................................... 4,192,000 -
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Combined fixed charges and preferred distributions.............. $ 4,964,000 $ 1,094,000
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Ratio of FFO to fixed charges................................... 32.09 17.64
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Ratio of FFO to combined fixed charges and preferred
distributions................................................... 4.99 17.64
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Years Ended December 31,
1999 1998 1997 1996 1995
---------------- --------------- --------------- ---------------- --------------
FFO................................ $ 76,353,000 $ 57,430,000 $ 17,597,000 $ 303,000 $ 720,000
Interest expense................... 3,153,000 2,361,000 1,000 - -
Minority interest in income -
preferred units.................... 4,156,000 - - - -
Preferred dividends................ 3,406,000 - - - -
---------------- --------------- --------------- ---------------- --------------
Adjusted FFO available to cover
fixed charges................... $ 87,068,000 $ 59,791,000 $ 17,598,000 $ 303,000 $ 720,000
================ =============== =============== =============== ===============
Fixed charges (1).................. $ 4,142,000 $ 2,629,000 $ 1,000 $ - $ -
Preferred distributions............ 7,562,000 - - - -
---------------- --------------- --------------- ---------------- --------------
Combined fixed charges and preferred
distributions................... $ 11,704,000 $ 2,629,000 $ 1,000 $ - $ -
================ =============== =============== ================ ==============
Ratio of FFO to fixed charges...... 21.02 22.74 17,598 N/A N/A
================ =============== =============== ================ ==============
Ratio of FFO to combined fixed
charges and preferred
distributions................... 7.44 22.74 17,598 N/A N/A
================ =============== =============== ================ ==============
(1) Fixed charges include interest expense plus capitalized interest.