ATLANTA--(BUSINESS WIRE)--
Columbia Property Trust, Inc. (NYSE: CXP) reported financial results
today for the second quarter ended June 30, 2016.
Highlights:
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For the second quarter of 2016, our Net Income per diluted share was
$0.11 and our Normalized Funds from Operations (NFFO)(1)
per diluted share was $0.48. Cash flows from operations were $46.6
million and Adjusted Funds from Operations were $41.0 million.
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We completed 604,000 square feet of leasing during the second quarter
of 2016, including a 390,000-square-foot, 30-year, full-building lease
with NYU's Langone Medical Center at 222 East 41st Street in Midtown
Manhattan.
-
We continued our non-core dispositions with the sale of 800 North
Frederick in Suburban Maryland for $48 million. Total dispositions in
2016 are expected to generate proceeds of $700 million to $1 billion.
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We repaid $39 million of mortgage notes secured by the SanTan
Corporate Center buildings, leaving only five mortgages in the entire
portfolio.
"We have continued to increase our leasing momentum in the second
quarter, beginning with the 30-year lease with NYU’s Langone Medical
Center for all of 222 E. 41st Street in New York followed by a
market-defining deal for the top two floors at 315 Park Avenue South and
an 89-month extension with Toyota Financial Services at SanTan Corporate
Center in Phoenix," said Nelson Mills, President and CEO.
"We have completed one additional disposition since the end of the first
quarter and continue to make significant progress toward completing our
other targeted property sales in line with our expected pricing range.
With our properties in Dallas and Denver being marketed for sale and
generating strong interest, and our Phoenix asset now positioned to go
to market, we expect to have a portfolio deriving more than 70% of its
revenues from high-barrier markets in the very near future."
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(1)
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Non-GAAP financial measure. See Definitions and reconciliation
between GAAP and non-GAAP financial measures or additional
information, including the specific reasons why we provide these
non-GAAP financial measures.
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Disposition Activity:
In July, we sold 800 North Frederick in suburban Maryland for gross
proceeds of $48 million.
We are under contract to sell the 961,000-square-foot 80 Park Plaza
property in Newark and we are under contract, subject to completion of
due diligence, to sell the 1.3 million-square-foot Key Center Tower and
the 400-room Key Center Marriott in Cleveland.
We have recently begun marketing efforts for the 267,000-square-foot
SanTan Corporate Center in Phoenix, the 478,000-square-foot South
Jamaica Street property in Denver, and the 310,000-square-foot Sterling
Commerce property in Dallas. Based on our current expectations, but
taking into account the inherent uncertainty of asset sale timing, we
have updated our disposition guidance for the year to a range of $700
million to $1 billion of gross proceeds, with $235 million completed to
date.
Financing Activity:
In June, using borrowings on the revolving credit facility, we repaid
the $39 million SanTan Corporate Center mortgage notes. Proceeds from
the sale of 800 North Frederick in July were used to reduce borrowings
on our revolving credit facility subsequent to period end.
Portfolio Highlights:
During the second quarter, we entered into leases for an aggregate of
604,000 rentable square feet. Our second quarter leasing activity
included 449,000 square feet of new leases, with an average lease term
of approximately 31 years, and 155,000 square feet of renewal leases,
with an average lease term of approximately seven years.
As of June 30, 2016, our portfolio of 26 office properties was 90.6%
leased and 86.8% occupied compared with 92.1% leased and 90.9% occupied
as of June 30, 2015, and 92.4% leased and 91.7% occupied as of March 31,
2016.
For leases executed during the quarter, we experienced a 15.7% increase
in rental rates on a GAAP basis and an 17.7% decrease in rental rates on
a cash basis, primarily due to the 30-year, full-building lease at 222
East 41st Street in Midtown Manhattan.
Financial Results:
Net Income Attributable to Common Stockholders was $13.3 million, or
$0.11 per diluted share, for the second quarter of 2016, compared with
$8.7 million, or $0.07 per diluted share, for the second quarter of 2015.
Normalized FFO was $58.9 million, or $0.48 per diluted share, for the
second quarter of 2016, compared with $66.3 million, or $0.53 per
diluted share, in the prior-year period.
Cash flows from operations were $46.6 million for the second quarter of
2016, compared with $64.4 million in the prior-year period. AFFO(1)
was $41.0 million for the second quarter of 2016, compared with $45.8
million in the prior-year period.
NOI(1) for the second quarter of 2016 decreased 10.4% based
on GAAP rents and decreased 10.5% based on cash rents compared with the
prior-year period, primarily due to selling 11 properties on July 1,
2015. Same store NOI(1) for the second quarter of 2016
increased 2.5% based on GAAP rents and increased 2.6% based on cash
rents compared with the prior year period.
Our FFO(1) for the second quarter and our NOI(1) for 222 East
41st Street both included a termination fee of $6.2 million related to
Jones Day. This termination fee is in lieu of rent for the four months
of July through October.
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(1)
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Non-GAAP financial measure. See Definitions and reconciliation
between GAAP and non-GAAP financial measures or additional
information, including the specific reasons why we provide these
non-GAAP financial measures.
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Distributions:
For the second quarter of 2016, we paid a dividend of $37.0 million,
which was $0.30 per share, or an annualized rate of $1.20 per share. The
dividend was paid on June 15, 2016, to stockholders of record as of June
1, 2016.
Share Repurchases:
During the second quarter, we did not make any share repurchases under
our $200 million share repurchase program. Since the inception of the
program in September 2015, we have acquired 1.8 million shares at an
average price of $22.60, for a total expenditure of $41.3 million.
Guidance for 2016:
For the year ending December 31, 2016, the Company raised its guidance
range for Normalized FFO of $1.57 to $1.62 per diluted share, and for
Net Income in the range of $0.19 to $0.24 per diluted share.
A reconciliation of projected Net Income Available to Common
Stockholders per diluted share to projected FFO and Normalized FFO per
diluted share is provided as follows:
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Full Year
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2016 Range
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Low
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High
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Net income
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$
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0.19
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$
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0.24
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Add: Real estate depreciation & amortization
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1.38
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1.38
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FFO
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1.57
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1.62
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Adjustments
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—
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—
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Normalized FFO
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$
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1.57
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$
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1.62
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Our guidance for 2016 is based on the following assumptions for our
portfolio:
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Leased percentage at year end 2016 of 90% to 92%
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GAAP straight-line rental income of $16 million to $24 million
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G&A of $32 million to $34 million
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Dispositions of $700 million to $1 billion ($235 million sold to date)
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Acquisitions of $200 million to $400 million
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Weighted average diluted share count of 123.5 million (excludes impact
of share repurchases after July 28, 2016)
Jim Fleming, Executive Vice President and Chief Financial Officer,
added, "Our financial results for the quarter were solid, which reflects
the increasing quality of our assets and the ability of our experienced
local teams to drive results in our key markets. We have updated our
2016 FFO guidance to take into account our recent leasing success as
well as our planned disposition activity. We are creating an
increasingly well-positioned, growth-oriented office REIT, and we are
very pleased with the results."
These estimates reflect management’s view of current market conditions
and incorporate certain economic and operational assumptions and
projections. This annual guidance includes the continued enhancement of
the portfolio based on the above assumptions. Actual results could
differ from these estimates. Note that individual quarters may fluctuate
on both a cash basis and a GAAP basis due to the timing of acquisitions
and dispositions, lease commencements and expirations, the timing of
repairs and maintenance, capital expenditures, capital markets
activities and one-time revenue or expense events. In addition, the
Company’s guidance is based on information available to management as of
the date of this release.
Investor Conference Call and Webcast:
We will host a conference call and live audio webcast, both open for the
general public to hear, later today at 5:00 p.m. ET to discuss quarterly
financial results and business highlights. The number to call for this
interactive teleconference is (412) 542-4180. A replay of the conference
call will be available through August 5, 2016, by dialing (877) 344-7529
and entering the confirmation number, 10088145.
The live audio webcast of the Company's quarterly conference call will
be available online in the Investor Relations section of the Company's
website at ColumbiaPropertyTrust.com.
The online replay will be available in the Investor Relations section of
the Company's website shortly after the call and archived for
approximately twelve months following the call.
About Columbia Property Trust
Columbia Property Trust (NYSE: CXP) owns and operates Class-A office
buildings in competitive, primarily CBD locations, and over half our
investments are in high-barrier-to-entry, primary markets. Our $5
billion portfolio includes 25 office properties containing 12.7 million
square feet and one hotel, concentrated in San Francisco, New York, and
Washington, D.C. For more information about Columbia, which carries an
investment-grade rating from both Moody’s and Standard & Poor’s, please
visit www.ColumbiaPropertyTrust.com.
Definitions:
Funds from Operations - FFO, as defined by the National
Association of Real Estate Investment Trusts (NAREIT), represents net
income (computed in accordance with GAAP), plus depreciation of real
estate assets and amortization of lease-related costs, excluding gains
(losses) on sales of real estate and impairment losses on real estate
assets. The Company computes FFO in accordance with NAREIT's definition,
which may differ from the methodology for calculating FFO, or similarly
titled measures, used by other companies and this may not be comparable
to those presentations. We consider FFO an appropriate supplemental
performance measure given its wide use by and relevance to investors and
analysts. FFO, reflecting the assumption that real estate asset values
rise or fall with market conditions, principally adjusts for the effects
of GAAP depreciation and amortization of real estate assets, which
assume that the value of real estate diminishes predictably over time.
Normalized FFO - We calculate Normalized FFO by starting with
FFO, as defined by NAREIT, and adjusting for certain items that are not
reflective of our core operations, including: (i) real estate
acquisition-related costs, (ii) listing costs, (iii) loss on interest
rate swaps and (iv) loss on early extinguishment of debt. Such items
create significant earnings volatility. We believe Normalized FFO
provides a meaningful measure of our operating performance and more
predictability regarding future earnings potential. Normalized FFO is a
non-GAAP financial measure and should not be viewed as an alternative
measurement of our operating performance to net income; therefore, it
should not be compared to other REITs' equivalent to Normalized FFO.
Adjusted Funds from Operations - AFFO is calculated by
adjusting Cash Flow from Operations to exclude (i) changes in assets and
liabilities resulting from timing differences (ii) additional
amortization of lease assets (liabilities), (iii) straight-line rental
income, (iv) gain (loss) on interest rate swaps, (v) recurring capital
expenditures, and adding back (vi) stock based compensation expense and
(vii) non-cash interest expense. Because AFFO adjusts for income and
expenses that we believe are not reflective of our core operations, we
believe AFFO provides useful supplemental information. AFFO is a
non-GAAP financial measure and should not be viewed as an alternative
measurement of our operating performance to net cash flows from
operating activities or net income.
EBITDA - EBITDA is defined as net income before interest,
taxes, depreciation and amortization. We believe EBITDA is a reasonable
measure of our liquidity. EBITDA is a non-GAAP financial measure and
should not be viewed as an alternative measurement of cash flows from
operating activities or other GAAP basis liquidity measures. Other REITs
may calculate EBITDA differently and our calculation should not be
compared to that of other REITs.
Adjusted EBITDA -Adjusted EBITDA is defined as net income
before interest, taxes, depreciation and amortization and incrementally
removing any impairment losses, gains or losses from sales of property,
real estate acquisition-related costs, discontinued operations
adjustments, or other extraordinary items. We do not include impairment
losses in this measure because we feel these types of losses create
volatility in our earnings and make it difficult to determine the
earnings generated by our ongoing business. We believe adjusted EBITDA
is a reasonable measure of our liquidity. Adjusted EBITDA is a non-GAAP
financial measure and should not be viewed as an alternative measurement
of cash flows from operating activities or other GAAP basis liquidity
measures. Other REITs may calculate adjusted EBITDA differently and our
calculation should not be compared to that of other REITs.
Net Operating Income (based on cash rents) -NOI based on cash
rents is defined as Adjusted EBITDA adjusted for (i) portfolio general
and administrative expense, (ii) interest rate swap valuation
adjustments, (iii) interest expense associated with interest rates
swaps, (iv) non-cash property operations, (v) straight-line rental
income, and (vi) net effect of above/(below) market amortization. The
company uses this measure to assess its operating results and believes
it is important in assessing operating performance. NOI - cash rents is
a non-GAAP measure which does not have any standard meaning prescribed
by GAAP and therefore may not be comparable to similar measures
presented by other companies.
Net Operating Income (based on GAAP Rents) -NOI based on GAAP
rents is defined as Adjusted EBITDA adjusted for (i) portfolio general
and administrative expense, (ii) interest rate swap valuation
adjustments, and (iii) interest expense associated with interest rates
swaps. The company uses this measure to assess its operating results and
believes it is important in assessing operating performance. NOI - GAAP
rents is a non-GAAP measure which does not have any standard meaning
prescribed by GAAP and therefore may not be comparable to similar
measures presented by other companies.
Forward-Looking Statements:
Certain statements contained in this press release other than historical
facts may be considered forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. We intend for all such forward-looking
statements to be covered by the applicable safe harbor provisions for
forward-looking statements contained in those acts. Such statements
include, in particular, statements about our plans, strategies,
guidance, and prospects and are subject to certain risks and
uncertainties, including known and unknown risks, which could cause
actual results to differ materially from those projected or anticipated.
Therefore, such statements are not intended to be a guarantee of our
performance in future periods. Such forward-looking statements can
generally be identified by our use of forward-looking terminology such
as "may," "will," "expect," "intend," "anticipate," "estimate,"
"believe," "continue," or other similar words. Readers are cautioned not
to place undue reliance on these forward-looking statements, which speak
only as of the date of this press release. We make no representations or
warranties (express or implied) about the accuracy of any such
forward-looking statements contained in this press release, and we do
not intend to publicly update or revise any forward-looking statements,
whether as a result of new information, future events, or otherwise.
Any such forward-looking statements are subject to risks, uncertainties,
and other factors and are based on a number of assumptions involving
judgments with respect to, among other things, future economic,
competitive, and market conditions, all of which are difficult or
impossible to predict accurately. To the extent that our assumptions
differ from actual conditions, our ability to accurately anticipate
results expressed in such forward-looking statements, including our
ability to generate positive cash flow from operations, make
distributions to stockholders, and maintain the value of our real estate
properties, may be significantly hindered. See Item 1A in the Company's
most recently filed Annual Report on Form 10-K for the year ended
December 31, 2015 and subsequently filed periodic reports for a
discussion of some of the risks and uncertainties that could cause
actual results to differ materially from those presented in our
forward-looking statements. The risk factors described in our Annual
Report are not the only ones we face, but do represent those risks and
uncertainties that we believe are material to us. Additional risks and
uncertainties not currently known to us or that we currently deem
immaterial may also harm our business.
Management's Quotes:
Quotes attributed to management within this document reflect
management's beliefs at the time of release.
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COLUMBIA PROPERTY TRUST, INC.
CONSOLIDATED BALANCE
SHEETS
(in thousands, except share and per-share amounts)
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(Unaudited)
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June 30,
2016
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December 31,
2015
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Assets:
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Real estate assets, at cost:
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Land
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$
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844,495
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$
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896,467
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Buildings and improvements, less accumulated depreciation of
$603,088 and $613,639, as of June 30, 2016 and December 31, 2015,
respectively
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2,741,929
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2,897,431
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Intangible lease assets, less accumulated amortization of $235,121
and $250,085, as of June 30, 2016 and December 31, 2015, respectively
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236,580
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259,136
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Construction in progress
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14,176
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31,847
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Real estate assets held for sale, less accumulated depreciation and
amortization of $9,897 as of June 30, 2016
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43,246
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—
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Total real estate assets
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3,880,426
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4,084,881
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Investment in unconsolidated joint venture
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123,919
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118,695
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Cash and cash equivalents
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23,803
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32,645
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Tenant receivables, net of allowance for doubtful accounts of $614
and $8 as of June 30, 2016 and December 31, 2015, respectively
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11,210
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11,670
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Straight-line rent receivable
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113,921
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109,062
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Prepaid expenses and other assets
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35,230
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|
|
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35,848
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Intangible lease origination costs, less accumulated amortization of
$161,994 and $181,482, as of June 30, 2016 and December 31, 2015,
respectively
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65,775
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77,190
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Deferred lease costs, less accumulated amortization of $41,626 and
$40,817, as of June 30, 2016 and December 31, 2015, respectively
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87,182
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88,127
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Investment in development authority bonds
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120,000
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120,000
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Other assets held for sale
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10
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—
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Total assets
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$
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4,461,476
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$
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4,678,118
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Liabilities:
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Line of credit and notes payable, net of unamortized deferred
financing costs of $3,675 and $4,492, as of June 30, 2016 and
December 31, 2015, respectively
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$
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1,056,690
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$
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1,130,571
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Bonds payable, net of discounts of $870 and $1,020 and unamortized
deferred financing costs of $3,311 and $3,721, as of June 30, 2016
and December 31, 2015, respectively
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595,819
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|
|
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595,259
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Accounts payable, accrued expenses, and accrued capital expenditures
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|
86,010
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|
|
|
|
98,759
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Dividends payable
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—
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|
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|
37,354
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Deferred income
|
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23,793
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|
|
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|
24,814
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|
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Intangible lease liabilities, less accumulated amortization of
$85,547 and $81,496, as of June 30, 2016 and December 31, 2015,
respectively
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49,396
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|
|
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|
57,167
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Obligations under capital leases
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120,000
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|
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120,000
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Liabilities held for sale
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|
132
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—
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Total liabilities
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1,931,840
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|
2,063,924
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Commitments and Contingencies
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—
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—
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Equity:
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Common stock, $0.01 par value, 225,000,000 shares authorized,
123,463,608 and 124,363,073 shares issued and outstanding as of June
30, 2016 and December 31, 2015, respectively
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1,234
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|
|
|
|
1,243
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|
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Additional paid-in capital
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|
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|
4,564,729
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|
|
|
|
4,588,303
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Cumulative distributions in excess of earnings
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(2,027,012
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)
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|
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(1,972,916
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)
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Cumulative other comprehensive loss
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(9,315
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)
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|
|
(2,436
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)
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Total equity
|
|
|
|
2,529,636
|
|
|
|
|
2,614,194
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Total liabilities and equity
|
|
|
$
|
4,461,476
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|
|
$
|
4,678,118
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COLUMBIA PROPERTY TRUST, INC.
CONSOLIDATED STATEMENTS
OF OPERATIONS
(in thousands, except per-share amounts)
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(Unaudited)
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Three Months Ended
June 30,
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2016
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2015
|
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Revenues:
|
|
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|
|
|
|
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Rental income
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$
|
93,567
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|
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$
|
112,916
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|
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Tenant reimbursements
|
|
|
|
18,708
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|
|
|
|
26,519
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|
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Hotel income
|
|
|
|
6,551
|
|
|
|
|
6,964
|
|
|
Other property income
|
|
|
|
9,104
|
|
|
|
|
1,725
|
|
|
|
|
|
|
127,930
|
|
|
|
|
148,124
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|
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Expenses:
|
|
|
|
|
|
|
|
Property operating costs
|
|
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|
40,242
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|
|
48,083
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Hotel operating costs
|
|
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|
5,038
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|
|
|
|
5,147
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|
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Asset and property management fees
|
|
|
|
341
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|
|
|
|
503
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|
|
Depreciation
|
|
|
|
28,450
|
|
|
|
|
33,813
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|
|
Amortization
|
|
|
|
14,932
|
|
|
|
|
23,738
|
|
|
General and administrative
|
|
|
|
7,761
|
|
|
|
|
7,080
|
|
|
|
|
|
|
96,764
|
|
|
|
|
118,364
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|
|
Real estate operating income
|
|
|
|
31,166
|
|
|
|
|
29,760
|
|
|
Other income (expense):
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
(17,380
|
)
|
|
|
|
(22,765
|
)
|
|
Interest and other income
|
|
|
|
1,808
|
|
|
|
|
1,807
|
|
|
Loss on interest rate swaps
|
|
|
|
—
|
|
|
|
|
(2
|
)
|
|
Loss on early extinguishment of debt
|
|
|
|
(92
|
)
|
|
|
|
—
|
|
|
|
|
|
|
(15,664
|
)
|
|
|
|
(20,960
|
)
|
|
Income before income taxes, unconsolidated joint venture, and
loss on sale of real estate
|
|
|
|
15,502
|
|
|
|
|
8,800
|
|
|
Income tax expense
|
|
|
|
(245
|
)
|
|
|
|
(91
|
)
|
|
Loss from unconsolidated joint venture
|
|
|
|
(1,952
|
)
|
|
|
|
—
|
|
|
Income before loss on sale of real estate
|
|
|
|
13,305
|
|
|
|
|
8,709
|
|
|
Loss on sale of real estate
|
|
|
|
(19
|
)
|
|
|
|
—
|
|
|
Net income
|
|
|
$
|
13,286
|
|
|
|
$
|
8,709
|
|
|
Per-share information – basic:
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
0.11
|
|
|
|
$
|
0.07
|
|
|
Weighted-average common shares outstanding – basic
|
|
|
|
123,206
|
|
|
|
|
124,925
|
|
|
Per-share information – diluted:
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
0.11
|
|
|
|
$
|
0.07
|
|
|
Weighted-average common shares outstanding – diluted
|
|
|
|
123,294
|
|
|
|
|
125,017
|
|
|
Dividends per share
|
|
|
$
|
0.30
|
|
|
|
$
|
0.30
|
|
|
|
|
|
|
|
|
|
|
|
COLUMBIA PROPERTY TRUST, INC.
FUNDS FROM OPERATIONS
AND NORMALIZED FUNDS FROM OPERATIONS
(in thousands, except
per-share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
|
|
2016
|
|
|
2015
|
|
Reconciliation of Net Income to Funds From Operations and
Normalized Funds From Operations:
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
13,286
|
|
|
$
|
8,709
|
|
Adjustments:
|
|
|
|
|
|
|
|
Depreciation of real estate assets
|
|
|
|
28,450
|
|
|
|
33,813
|
|
Amortization of lease-related costs
|
|
|
|
14,932
|
|
|
|
23,738
|
|
Depreciation and amortization included in loss from unconsolidated
joint venture
|
|
|
|
2,077
|
|
|
|
—
|
|
Loss on sale of real estate
|
|
|
|
19
|
|
|
|
—
|
|
FFO
|
|
|
|
58,764
|
|
|
|
66,260
|
|
Loss on early extinguishment of debt
|
|
|
|
92
|
|
|
|
—
|
|
Normalized FFO
|
|
|
|
58,856
|
|
|
|
66,260
|
|
Per-share information - basic
|
|
|
|
|
|
|
|
FFO per share
|
|
|
$
|
0.48
|
|
|
$
|
0.53
|
|
Normalized FFO per share
|
|
|
$
|
0.48
|
|
|
$
|
0.53
|
|
Weighted-average shares outstanding - basic
|
|
|
|
123,206
|
|
|
|
124,925
|
|
Per-share information - diluted
|
|
|
|
|
|
|
|
FFO per share
|
|
|
$
|
0.48
|
|
|
$
|
0.53
|
|
Normalized FFO per share
|
|
|
$
|
0.48
|
|
|
$
|
0.53
|
|
Weighted-average shares outstanding - diluted
|
|
|
|
123,294
|
|
|
|
125,017
|
|
|
|
|
|
|
|
|
|
|
COLUMBIA PROPERTY TRUST, INC.
ADJUSTED FUNDS FROM
OPERATIONS
(in thousands, except per-share amounts)
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
|
|
2016
|
|
|
2015
|
|
Reconciliation of Cash Flows from Operations to Adjusted Funds
From Operations:
|
|
|
|
|
|
|
|
Cash flows from operating activities
|
|
|
$
|
46,598
|
|
|
|
$
|
64,406
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
Straight-line rental income - lease terminations
|
|
|
|
7,059
|
|
|
|
|
(3,003
|
)
|
|
Other non-cash adjustments related to the unconsolidated joint
venture, included in loss from unconsolidated joint venture
|
|
|
|
(238
|
)
|
|
|
|
—
|
|
|
Changes in current assets and liabilities
|
|
|
|
2,179
|
|
|
|
|
(562
|
)
|
|
Maintenance capital(1)
|
|
|
|
(14,575
|
)
|
|
|
|
(15,005
|
)
|
|
Adjusted FFO
|
|
|
$
|
41,023
|
|
|
|
$
|
45,836
|
|
|
|
|
|
|
|
|
|
|
(1) Maintenance capital is defined as Capital expenditures
incurred to maintain the building structure and functionality, and
to lease space at our properties in their current condition.
Maintenance capital excludes capital for recent acquisitions and
first generation leasing.
|
|
|
|
|
COLUMBIA PROPERTY TRUST, INC.
NET OPERATING INCOME
AND SAME STORE NET OPERATING INCOME (BASED ON GAAP RENTS)
(in
thousands)
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
|
|
2016
|
|
|
2015
|
|
Reconciliation of Net Income to Net Operating Income (based on
GAAP rents) and Same Store Net Operating Income (based on GAAP
rents):
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
13,286
|
|
|
|
$
|
8,709
|
|
|
Net interest expense
|
|
|
|
19,479
|
|
|
|
|
22,762
|
|
|
Interest income from development authority bonds
|
|
|
|
(1,800
|
)
|
|
|
|
(1,800
|
)
|
|
Income tax expense
|
|
|
|
247
|
|
|
|
|
91
|
|
|
Depreciation
|
|
|
|
30,076
|
|
|
|
|
33,813
|
|
|
Amortization
|
|
|
|
15,383
|
|
|
|
|
23,738
|
|
|
EBITDA
|
|
|
$
|
76,671
|
|
|
|
$
|
87,313
|
|
|
Loss on early extinguishment of debt
|
|
|
|
92
|
|
|
|
|
—
|
|
|
Loss on sale of real estate
|
|
|
|
19
|
|
|
|
|
—
|
|
|
Adjusted EBITDA
|
|
|
$
|
76,782
|
|
|
|
$
|
87,313
|
|
|
General and administrative
|
|
|
|
7,766
|
|
|
|
|
7,080
|
|
|
Interest rate swap valuation adjustment
|
|
|
|
—
|
|
|
|
|
(1,319
|
)
|
|
Interest expense associated with interest rate swaps
|
|
|
|
—
|
|
|
|
|
1,321
|
|
|
Net Operating Income (based on GAAP rents)
|
|
|
$
|
84,548
|
|
|
|
$
|
94,395
|
|
|
Net Operating Income from:
|
|
|
|
|
|
|
|
Acquisitions(1)
|
|
|
|
(6,458
|
)
|
|
|
|
—
|
|
|
Dispositions(2)
|
|
|
|
(14
|
)
|
|
|
|
(18,245
|
)
|
|
Same Store NOI (based on GAAP rents)(3)
|
|
|
$
|
78,076
|
|
|
|
$
|
76,150
|
|
|
|
|
|
|
|
|
|
|
(1) Reflects activity for the following property acquired since
April 1, 2015, for all periods presented: 229 West 43rd Street.
|
|
|
|
(2) Reflects activity for the following properties sold since April
1, 2015, for all periods presented: 100 East Pratt, 1881 Campus
Commons, Market Square (49%), 170 Park Avenue, 180 Park Avenue, 1580
West Nursery Road, Acxiom, Highland Landmark III, The Corridors III,
215 Diehl Road, 544 Lakeview, Bannockburn Lake III, 550 King Street,
and Robbins Road.
|
|
|
|
(3) Includes Columbia Property Trust's pro rata share (51%) in the
Market Square Joint Venture for all periods presented.
|
|
|
|
|
COLUMBIA PROPERTY TRUST, INC.
NET OPERATING INCOME
AND SAME STORE NET OPERATING INCOME (BASED ON CASH RENTS)
(in
thousands)
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
|
|
2016
|
|
|
2015
|
|
Reconciliation of Net Income to Net Operating Income (based on
cash rents) and Same Store Net Operating Income (based on cash
rents):
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
13,286
|
|
|
|
$
|
8,709
|
|
|
Interest expense, net
|
|
|
|
19,479
|
|
|
|
|
22,762
|
|
|
Interest income from development authority bonds
|
|
|
|
(1,800
|
)
|
|
|
|
(1,800
|
)
|
|
Income tax expense
|
|
|
|
247
|
|
|
|
|
91
|
|
|
Depreciation
|
|
|
|
30,076
|
|
|
|
|
33,813
|
|
|
Amortization
|
|
|
|
15,383
|
|
|
|
|
23,738
|
|
|
EBITDA
|
|
|
$
|
76,671
|
|
|
|
$
|
87,313
|
|
|
Loss on early extinguishment of debt
|
|
|
|
92
|
|
|
|
|
—
|
|
|
Loss on sale of real estate
|
|
|
|
19
|
|
|
|
|
—
|
|
|
Adjusted EBITDA
|
|
|
$
|
76,782
|
|
|
|
$
|
87,313
|
|
|
General and administrative
|
|
|
|
7,766
|
|
|
|
|
7,080
|
|
|
Interest rate swap valuation adjustment
|
|
|
|
—
|
|
|
|
|
(1,319
|
)
|
|
Interest expense associated with interest rate swaps
|
|
|
|
—
|
|
|
|
|
1,321
|
|
|
Straight-line rental income
|
|
|
|
(3,764
|
)
|
|
|
|
(3,822
|
)
|
|
Net effect of above/(below) market amortization
|
|
|
|
(1,709
|
)
|
|
|
|
(2,210
|
)
|
|
Net operating income (based on cash rents)
|
|
|
$
|
79,075
|
|
|
|
$
|
88,363
|
|
|
Net Operating Income from:
|
|
|
|
|
|
|
|
Acquisitions(1)
|
|
|
|
(6,097
|
)
|
|
|
|
—
|
|
|
Dispositions(2)
|
|
|
|
(14
|
)
|
|
|
|
(17,239
|
)
|
|
Same store NOI (based on cash rents)(3)
|
|
|
$
|
72,964
|
|
|
|
$
|
71,124
|
|
|
|
|
|
|
|
|
|
|
(1) Reflects activity for the following property acquired since
April 1, 2015, for all periods presented: 229 West 43rd Street.
|
|
|
|
(2) Reflects activity for the following properties sold since April
1, 2015, for all periods presented: 100 East Pratt, 1881 Campus
Commons, Market Square (49%), 170 Park Avenue, 180 Park Avenue, 1580
West Nursery Road, Acxiom, Highland Landmark III, The Corridors III,
215 Diehl Road, 544 Lakeview, Bannockburn Lake III, 550 King Street,
and Robbins Road.
|
|
|
|
(3) Includes Columbia Property Trust's pro rata share (51%) in the
Market Square Joint Venture for all periods presented.
|
|
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20160728006509/en/
For Columbia Property Trust, Inc.
Media Contact:
Bud
Perrone, 212-843-8068
bperrone@rubenstein.com
or
Investor
Relations:
Matt Stover, 404-465-2227
IR@columbiapropertytrust.com
Source: Columbia Property Trust, Inc.