Exhibit 99.1
AmeriVest Properties Announces Fourth Quarter 2003 Occupancy and Other
Information
DENVER--(BUSINESS WIRE)--Feb. 13, 2004--AmeriVest Properties Inc.
(AMEX:AMV) announced today property occupancy information as of
December 31, 2003. At December 31, 2003, portfolio occupancy was
84.2%, compared to 88.0% at December 31, 2002, and 86.8% at September
30, 2003. "Same-store" occupancy (buildings owned for the entire year)
was 88.9%, compared to 89.9% at the end of 2002. This decrease in
occupancy reflects ongoing challenges in AmeriVest's core markets.
"Although we are never satisfied with a portfolio occupancy rate
of less than 90%, we are very pleased that our same-store occupancies
and average rent declined only 1% during an extremely difficult year
for office leasing. We are also pleased to have acquired four quality
buildings in Phoenix and Dallas during the year, which we hope to
reposition for our target small-business customers during 2004. We
continue to see increased activity and leasing momentum in all our
markets and remain confident that our focus on providing the best
office space for small- and medium-size companies in markets
well-positioned for long-term growth will result in higher occupancies
over the long term," said Charles Knight, President and Chief
Operating Officer of AmeriVest.
AmeriVest also noted that during the fourth quarter of 2003, it
incurred additional unbudgeted corporate and operating charges of
approximately $600,000 related to recruiting, severance and other
personnel expenses, rent and bad debt write-offs related to tenants
going out of business and adjustments for unanticipated property tax
and utility increases. On February 26, 2004, the Company intends to
release its financial results for the fourth quarter and year ended
December 31, 2003.
Company Information
AmeriVest Properties Inc., with its principal office in Denver,
Colorado, provides Smart Space for Small Business(SM) in Denver,
Phoenix, Dallas, and Indianapolis through the acquisition,
repositioning and operation of multi-tenant office buildings in those
markets. To receive AmeriVest's latest news and information, visit our
website at www.amvproperties.com.
In addition to historical information, this press release contains
forward-looking statements and information under the federal
securities laws. These statements are based on expectations, estimates
and projections about the industry and markets in which AmeriVest
operates, management's beliefs and assumptions made by management.
While AmeriVest management believes the assumptions underlying its
forward-looking statements and information are reasonable, such
information is necessarily subject to uncertainties and may involve
certain risks, many of which are difficult to predict and are beyond
management's control. As such, these statements and information are
not guarantees of future performance, and actual operating results may
differ materially from what is expressed or forecasted in this press
release. In particular, the factors that could cause actual operating
results to differ materially include, without limitation, continued
qualification as a real estate investment trust, the effects of
general and local economic and market conditions, competition,
regulatory changes, the ability to enter into new leases or renew
leases on favorable terms, dependence on tenants' financial condition,
the uncertainties of real estate development and acquisition activity,
development and construction costs, insurance risks, the costs and
availability of financing, potential liability relating to
environmental matters and liquidity of real estate investments and
other risks and uncertainties detailed in AmeriVest's 2002 Annual
Report on Form 10-KSB and from time to time in the Company's filings
with the Securities and Exchange Commission.
AmeriVest Properties Inc. Property Occupancy Information
At December 31, At December 31,
2003: 2002:
--------------- ---------------
Building/ Year Rentable Occupancy Average Occupancy Average
Location Acquired Area(1) Rate(2) Rent Per Rate(2) Rent Per
SF(3) SF(3)
-------- -------- -------- -------- -------- -------- --------
Same-Store:
Chateau Plaza
Dallas, TX 2002 171,294 100.0% $22.70 97.6% $22.79
Centerra
Denver, CO 2002 186,377 72.9% 19.89 68.1% 20.78
Parkway Centre II
Dallas, TX 2002 151,968 95.4% 20.61 97.9% 20.84
Kellogg Building
Littleton, CO 2001 111,580 85.8% 21.04 98.6% 21.92
Arrowhead
Fountains
Peoria, AZ 2001 96,092 100.0% 21.85 100.0% 21.41
AmeriVest Plaza
at Inverness
Englewood, CO 2001 118,720 91.3% 23.10 99.2% 23.57
Sheridan Center
Denver, CO 2000 140,162 82.7% 16.36 79.5% 15.83
------- ------- ------- ------- -------
Subtotal 976,193 88.9% $20.84 89.9% $21.13
------- ------- ------- ------- -------
2003 Acquisitions and Developments:
Greenhill Park
Dallas, TX 2003 251,917 76.7% $18.84 N/A N/A
Scottsdale Norte
Scottsdale, AZ 2003 79,223 80.9% 23.16 N/A N/A
Financial Plaza
Mesa, AZ 2003 310,828 80.5% 23.02 N/A N/A
Keystone Office
Park(4)
Indianapolis,
IN 1999/2003 114,060 86.4% 17.71 97.1% $17.33
Southwest Gas
Building
Phoenix, AZ 2003 147,660 80.4% 22.10 N/A N/A
------- ------- ------- ------- -------
Subtotal 903,688 80.2% $21.05 N/A N/A
------- ------- ------- ------- -------
Joint Ventures:
Panorama Falls(5)
Englewood, CO 2000 59,561 78.0% $19.01 70.8% $19.15
------- ------- ------- ------- -------
Subtotal 59,561 78.0% $19.01 70.8% $19.15
------- ------- ------- ------- -------
Non-Core:
Texas Bank
Buildings(6)
Texas 1998 60,095 100.0% $15.88 97.4% $16.00
Texas State
Buildings(7)
Texas 1997-98 222,542 76.8% 9.00 77.7% 9.05
------- ------- ------- ------- -------
Subtotal 282,637 81.7% $10.79 81.9% $10.81
------- ------- ------- ------- -------
Total 2,222,079 84.2% $19.63 88.0% $18.86
========= ======= ======= ======= =======
(1) Includes office space but excludes storage, telecommunications
and garage space.
(2) Includes space leased but not yet occupied.
(3) Annualized base rent divided by leased rentable area.
(4) A fourth building was constructed during 2003, as such 2002 is
not comparable.
(5) 20% of the property is owned by AmeriVest and 80% of the
property is owned by Freemark Abbey Panorama, LLC as tenants
in common.
(6) Buildings leased approximately 63% to Bank of America, with
the remainder leased to a number of small- and medium-size
tenants.
(7) 11 of 13 buildings are leased primarily to various agencies of
the State of Texas. The Clint, Texas, and Paris, Texas,
buildings are currently vacant.
CONTACT: AmeriVest Properties Inc., Denver
Investor Relations:
Kim P. Boswood, 303-297-1800 ext. 118
kim@amvproperties.com