☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Maryland | 98-1141883 | |
(State or other jurisdiction | (I.R.S. Employer | |
of incorporation or organization) | Identification No.) |
Title of Each Class | Trading Symbol(s) | Name of each Exchange on Which Registered | ||
Common Stock, $0.01 par value 6.625% Series A Cumulative Redeemable Preferred Stock, $0.01 par value per share | “CIO” “CIO.PrA” | New York Stock Exchange New York Stock Exchange |
Large accelerated filer | ☐ | Accelerated filer | ☒ | |||
Non-accelerated filer | ☐ | Smaller reporting company | ☐ | |||
Emerging growth company | ☐ |
1 | ||||
1 | ||||
2 | ||||
3 | ||||
4 | ||||
5 | ||||
6 | ||||
September 30, 2022 | December 31, 2021 | |||||||
Assets | ||||||||
Real estate properties | ||||||||
Land | $ | 200,686 | $ | 204,801 | ||||
Building and improvement | 1,233,713 | 1,244,177 | ||||||
Tenant improvement | 134,785 | 119,011 | ||||||
Furniture, fixtures and equipment | 673 | 664 | ||||||
1,569,857 | 1,568,653 | |||||||
Accumulated depreciation | (178,237 | ) | (157,356 | ) | ||||
1,391,620 | 1,411,297 | |||||||
Cash and cash equivalents | 22,012 | 21,321 | ||||||
Restricted cash | 19,669 | 20,945 | ||||||
Rents receivable, net | 39,700 | 30,415 | ||||||
Deferred leasing costs, net | 22,060 | 20,327 | ||||||
Acquired lease intangible assets, net | 58,580 | 68,925 | ||||||
Other assets | 30,638 | 28,283 | ||||||
Total Assets | $ | 1,584,279 | $ | 1,601,513 | ||||
Liabilities and Equity | ||||||||
Liabilities: | ||||||||
Debt | $ | 676,116 | $ | 653,648 | ||||
Accounts payable and accrued liabilities | 38,091 | 27,101 | ||||||
Deferred rent | 8,921 | 11,600 | ||||||
Tenant rent deposits | 7,014 | 6,165 | ||||||
Acquired lease intangible liabilities, net | 9,602 | 10,872 | ||||||
Other liabilities | 20,199 | 21,532 | ||||||
Total Liabilities | 759,943 | 730,918 | ||||||
Commitments and Contingencies (Note 9) | ||||||||
Equity: | ||||||||
6.625% Series A Preferred stock, $0.01 par value per share, 5,600,000 shares authorized, 4,480,000 issued and outstanding as of September 30, 2022 and December 31, 2021 | 112,000 | 112,000 | ||||||
Common stock, $0.01 par value, 100,000,000 shares authorized, 39,718,767 and 43,554,375 shares issued and outstanding as of September 30, 2022 and December 31, 2021 | 397 | 435 | ||||||
Additional paid-in capital | 435,086 | 482,061 | ||||||
Retained earnings | 273,843 | 275,502 | ||||||
Accumulated other comprehensive income/(loss) | 2,819 | (382 | ) | |||||
Total Stockholders’ Equity | 824,145 | 869,616 | ||||||
Non-controlling interests in properties | 191 | 979 | ||||||
Total Equity | 824,336 | 870,595 | ||||||
Total Liabilities and Equity | $ | 1,584,279 | $ | 1,601,513 | ||||
March 31, 2023 | December 31, 2022 | |||||||
Assets | ||||||||
Real estate properties | ||||||||
Land | $ | 199,537 | $ | 199,537 | ||||
Building and improvement | 1,217,036 | 1,215,000 | ||||||
Tenant improvement | 142,188 | 139,365 | ||||||
Furniture, fixtures and equipment | 689 | 689 | ||||||
1,559,450 | 1,554,591 | |||||||
Accumulated depreciation | (186,143 | ) | (175,720 | ) | ||||
1,373,307 | 1,378,871 | |||||||
Cash and cash equivalents | 35,854 | 28,187 | ||||||
Restricted cash | 16,385 | 16,075 | ||||||
Rents receivable, net | 46,758 | 44,429 | ||||||
Deferred leasing costs, net | 21,841 | 21,989 | ||||||
Acquired lease intangible assets, net | 52,692 | 55,438 | ||||||
Other assets | 29,039 | 29,450 | ||||||
Total Assets | $ | 1,575,876 | $ | 1,574,439 | ||||
Liabilities and Equity | ||||||||
Liabilities: | ||||||||
Debt | $ | 708,481 | $ | 690,099 | ||||
Accounts payable and accrued liabilities | 29,527 | 35,753 | ||||||
Deferred rent | 8,869 | 9,147 | ||||||
Tenant rent deposits | 7,177 | 7,040 | ||||||
Acquired lease intangible liabilities, net | 8,781 | 9,150 | ||||||
Other liabilities | 21,522 | 20,076 | ||||||
Total Liabilities | 784,357 | 771,265 | ||||||
Commitments and Contingencies (Note 9) | ||||||||
Equity: | ||||||||
6.625% Series A Preferred stock, $0.01 par value per share, 5,600,000 shares authorized, 4,480,000 issued and outstanding as of March 31, 2023 and December 31, 2022 | 112,000 | 112,000 | ||||||
Common stock, $0.01 par value, 100,000,000 shares authorized, 39,938,451 and 39,718,767 shares issued and outstanding as of March 31, 2023 and December 31, 2022 | 399 | 397 | ||||||
Additional paid-in capital | 435,626 | 436,161 | ||||||
Retained earnings | 242,318 | 251,542 | ||||||
Accumulated other comprehensive income | 789 | 2,731 | ||||||
Total Stockholders’ Equity | 791,132 | 802,831 | ||||||
Non-controlling interests in properties | 387 | 343 | ||||||
Total Equity | 791,519 | 803,174 | ||||||
Total Liabilities and Equity | $ | 1,575,876 | $ | 1,574,439 | ||||
Three Months Ended March 31, | ||||||||
2023 | 2022 | |||||||
Rental and other revenues | $ | 45,957 | $ | 44,852 | ||||
Operating expenses: | ||||||||
Property operating expenses | 17,720 | 16,489 | ||||||
General and administrative | 3,765 | 3,456 | ||||||
Depreciation and amortization | 15,304 | 15,815 | ||||||
Total operating expenses | 36,789 | 35,760 | ||||||
Operating income | 9,168 | 9,092 | ||||||
Interest expense: | ||||||||
Contractual interest expense | (7,972 | ) | (5,747 | ) | ||||
Amortization of deferred financing costs and debt fair value | (323 | ) | (312 | ) | ||||
(8,295 | ) | (6,059 | ) | |||||
Net gain on sale of real estate property | — | 21,658 | ||||||
Net income | 873 | 24,691 | ||||||
Less: | ||||||||
Net income attributable to non-controlling interests in properties | (169 | ) | (171 | ) | ||||
Net income attributable to the Company | 704 | 24,520 | ||||||
Preferred stock distributions | (1,855 | ) | (1,855 | ) | ||||
Net (loss)/income attributable to common stockholders | $ | (1,151 | ) | $ | 22,665 | |||
Net (loss)/income per common share: | ||||||||
Basic | $ | (0.03 | ) | $ | 0.52 | |||
Diluted | $ | (0.03 | ) | $ | 0.51 | |||
Weighted average common shares outstanding: | ||||||||
Basic | 39,873 | 43,554 | ||||||
Diluted | 39,873 | 44,406 | ||||||
Dividend distributions declared per common share | $ | 0.20 | $ | 0.20 | ||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Rental and other revenues | $ | 45,522 | $ | 44,889 | $ | 135,871 | $ | 124,369 | ||||||||
Operating expenses: | ||||||||||||||||
Property operating expenses | 17,412 | 15,180 | 50,736 | 43,477 | ||||||||||||
General and administrative | 3,506 | 7,900 | 10,575 | 13,768 | ||||||||||||
Depreciation and amortization | 15,555 | 14,648 | 47,072 | 44,017 | ||||||||||||
Total operating expenses | 36,473 | 37,728 | 108,383 | 101,262 | ||||||||||||
Operating income | 9,049 | 7,161 | 27,488 | 23,107 | ||||||||||||
Interest expense: | ||||||||||||||||
Contractual interest expense | (6,582 | ) | (5,650 | ) | (18,311 | ) | (17,533 | ) | ||||||||
Amortization of deferred financing costs and debt fair value | (303 | ) | (267 | ) | (917 | ) | (869 | ) | ||||||||
(6,885 | ) | (5,917 | ) | (19,228 | ) | (18,402 | ) | |||||||||
Net gain on sale of real estate property | — | — | 21,658 | 47,400 | ||||||||||||
Net income | 2,164 | 1,244 | 29,918 | 52,105 | ||||||||||||
Less: | ||||||||||||||||
Net income attributable to non-controlling interests in properties | (175 | ) | (378 | ) | (510 | ) | (760 | ) | ||||||||
Net income attributable to the Company | 1,989 | 866 | 29,408 | 51,345 | ||||||||||||
Preferred stock distributions | (1,855 | ) | (1,855 | ) | (5,565 | ) | (5,565 | ) | ||||||||
Net income/(loss) attributable to common stockholders | $ | 134 | $ | (989 | ) | $ | 23,843 | $ | 45,780 | |||||||
Net income/(loss) per common share: | ||||||||||||||||
Basic | $ | 0.00 | $ | (0.02 | ) | $ | 0.56 | $ | 1.05 | |||||||
Diluted | $ | 0.00 | $ | (0.02 | ) | $ | 0.55 | $ | 1.04 | |||||||
Weighted average common shares outstanding: | ||||||||||||||||
Basic | 41,351 | 43,554 | 42,838 | 43,478 | ||||||||||||
Diluted | 42,125 | 43,554 | 43,663 | 44,091 | ||||||||||||
Dividend distributions declared per common share | $ | 0.20 | $ | 0.15 | $ | 0.60 | $ | 0.45 | ||||||||
Three Months Ended March 31, | ||||||||
2023 | 2022 | |||||||
Net income | $ | 873 | $ | 24,691 | ||||
Other comprehensive (loss)/income: | ||||||||
Unrealized cash flow hedge (loss)/gain | (1,465 | ) | 1,614 | |||||
Amounts reclassified to interest expense | (477 | ) | 140 | |||||
Other comprehensive (loss)/income | (1,942 | ) | 1,754 | |||||
Comprehensive (loss)/income | (1,069 | ) | 26,445 | |||||
Less: | ||||||||
Comprehensive income attributable to non-controlling interests in properties | (169 | ) | (171 | ) | ||||
Comprehensive (loss)/income attributable to the Company | $ | (1,238 | ) | $ | 26,274 | |||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Net income | $ | 2,164 | $ | 1,244 | $ | 29,918 | $ | 52,105 | ||||||||
Other comprehensive income: | ||||||||||||||||
Unrealized cash flow hedge gain/(loss) | 1,055 | (22 | ) | 3,119 | 458 | |||||||||||
Amounts reclassified to interest expense | (121 | ) | 150 | 82 | 439 | |||||||||||
Other comprehensive income | 934 | 128 | 3,201 | 897 | ||||||||||||
Comprehensive income | 3,098 | 1,372 | 33,119 | 53,002 | ||||||||||||
Less: | ||||||||||||||||
Comprehensive income attributable to non-controlling interests in properties | (175 | ) | (378 | ) | (510 | ) | (760 | ) | ||||||||
Comprehensive income attributable to the Company | $ | 2,923 | $ | 994 | $ | 32,609 | $ | 52,242 | ||||||||
Number of shares of preferred stock | Preferred stock | Number of shares of common stock | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive (loss)/income | Total stockholders’ equity | Non-controlling interests in properties | Total equity | |||||||||||||||||||||||||||||||
Balance—December 31, 2021 | 4,480 | $ | 112,000 | 43,554 | $ | 435 | $ | 482,061 | $ | 275,502 | $ | (382 | ) | $ | 869,616 | $ | 979 | $ | 870,595 | |||||||||||||||||||||
Restricted stock award grants and vesting | — | — | — | — | 972 | (68 | ) | — | 904 | — | 904 | |||||||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (8,711 | ) | — | (8,711 | ) | — | (8,711 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Contributions | — | — | — | — | — | — | — | — | 3 | 3 | ||||||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (254 | ) | (254 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 24,520 | — | 24,520 | 171 | 24,691 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 1,754 | 1,754 | — | 1,754 | ||||||||||||||||||||||||||||||
Balance—March 31, 2022 | 4,480 | $ | 112,000 | 43,554 | $ | 435 | $ | 483,033 | $ | 289,388 | $ | 1,372 | $ | 886,228 | $ | 899 | $ | 887,127 | ||||||||||||||||||||||
Restricted stock award grants and vesting | — | — | 171 | 2 | 1,020 | (117 | ) | — | 905 | — | 905 | |||||||||||||||||||||||||||||
Common stock repurchased | — | — | (395 | ) | (4 | ) | (4,996 | ) | — | — | (5,000 | ) | — | (5,000 | ) | |||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (8,580 | ) | — | (8,580 | ) | — | (8,580 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (180 | ) | (180 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 2,899 | — | 2,899 | 164 | 3,063 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 513 | 513 | — | 513 | ||||||||||||||||||||||||||||||
Balance—June 30, 2022 | 4,480 | $ | 112,000 | 43,330 | $ | 433 | $ | 479,057 | $ | 281,735 | $ | 1,885 | $ | 875,110 | $ | 883 | $ | 875,993 | ||||||||||||||||||||||
Restricted stock award grants and vesting | — | — | — | — | 1,075 | (83 | ) | — | 992 | — | 992 | |||||||||||||||||||||||||||||
Common stock repurchased | — | — | (3,612 | ) | (36 | ) | (45,046 | ) | — | — | (45,082 | ) | — | (45,082 | ) | |||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (7,943 | ) | — | (7,943 | ) | — | (7,943 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Contributions | — | — | — | — | — | — | — | — | 27 | 27 | ||||||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (894 | ) | (894 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 1,989 | — | 1,989 | 175 | 2,164 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 934 | 934 | — | 934 | ||||||||||||||||||||||||||||||
Balance—September 30, 2022 | 4,480 | $ | 112,000 | 39,718 | $ | 397 | $ | 435,086 | $ | 273,843 | $ | 2,819 | $ | 824,145 | $ | 191 | $ | 824,336 | ||||||||||||||||||||||
Number of shares of preferred stock | Preferred stock | Number of shares of common stock | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income | Total stockholders’ equity | Non-controlling interests in properties | Total equity | |||||||||||||||||||||||||||||||
Balance—December 31, 2022 | 4,480 | $ | 112,000 | 39,718 | $ | 397 | $ | 436,161 | $ | 251,542 | $ | 2,731 | $ | 802,831 | $ | 343 | $ | 803,174 | ||||||||||||||||||||||
Restricted stock award grants and vesting | — | — | 220 | 2 | (535 | ) | (85 | ) | — | (618 | ) | — | (618 | ) | ||||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (7,988 | ) | — | (7,988 | ) | — | (7,988 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Contributions | — | — | — | — | — | — | — | — | 110 | 110 | ||||||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (235 | ) | (235 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 704 | — | 704 | 169 | 873 | ||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | — | — | (1,942 | ) | (1,942 | ) | — | (1,942 | ) | |||||||||||||||||||||||||||
Balance—March 31, 2023 | 4,480 | $ | 112,000 | 39,938 | $ | $ | 435,626 | $ | $ | 789 | $ | 791,132 | $ | 387 | $ | 791,519 | ||||||||||||||||||||||||
Number of shares of preferred stock | Preferred stock | Number of shares of common stock | Common stock | Additional paid-in capital | Accumulated deficit | Accumulated other comprehensive loss | Total stockholders’ equity | Non-controlling interests in properties | Total equity | |||||||||||||||||||||||||||||||
Balance—December 31, 2020 | 4,480 | $ | 112,000 | 43,397 | $ | 433 | $ | 479,411 | $ | (172,958 | ) | $ | (1,960 | ) | $ | 416,926 | $ | 949 | $ | 417,875 | ||||||||||||||||||||
Restricted stock award grants and vesting | — | — | — | — | 695 | (50 | ) | — | 645 | — | 645 | |||||||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (6,510 | ) | — | (6,510 | ) | — | (6,510 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (220 | ) | (220 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 48,817 | — | 48,817 | 192 | 49,009 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 669 | 669 | — | 669 | ||||||||||||||||||||||||||||||
Balance—March 31, 2021 | 4,480 | $ | 112,000 | 43,397 | $ | 433 | $ | 480,106 | $ | (132,556 | ) | $ | (1,291 | ) | $ | 458,692 | $ | 921 | $ | 459,613 | ||||||||||||||||||||
Restricted stock award grants and vesting | — | — | 157 | 2 | 523 | (76 | ) | — | 449 | — | 449 | |||||||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (6,533 | ) | — | (6,533 | ) | — | (6,533 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Contributions | — | — | — | — | — | — | — | — | 2 | 2 | ||||||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (204 | ) | (204 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 1,662 | — | 1,662 | 190 | 1,852 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 100 | 100 | — | 100 | ||||||||||||||||||||||||||||||
Balance—June 30, 2021 | 4,480 | $ | 112,000 | 43,554 | $ | 435 | $ | 480,629 | $ | (139,358 | ) | $ | (1,191 | ) | $ | 452,515 | $ | 909 | $ | 453,424 | ||||||||||||||||||||
Restricted stock award grants and vesting | — | — | — | — | 716 | (50 | ) | — | 666 | — | 666 | |||||||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (6,533 | ) | — | (6,533 | ) | — | (6,533 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Contributions | — | — | — | — | — | — | — | — | 10 | 10 | ||||||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (536 | ) | (536 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 866 | — | 866 | 378 | 1,244 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 128 | 128 | — | 128 | ||||||||||||||||||||||||||||||
Balance—September 30, 2021 | 4,480 | $ | 112,000 | 43,554 | $ | 435 | $ | 481,345 | $ | (146,930 | ) | $ | (1,063 | ) | $ | 445,787 | $ | 761 | $ | 446,548 | ||||||||||||||||||||
Number of shares of preferred stock | Preferred stock | Number of shares of common stock | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive (loss)/income | Total stockholders’ equity | Non-controlling interests in properties | Total equity | |||||||||||||||||||||||||||||||
Balance—December 31, 2021 | 4,480 | $ | 112,000 | 43,554 | $ | 435 | $ | 482,061 | $ | $ | (382 | ) | $ | 869,616 | $ | 979 | $ | 870,595 | ||||||||||||||||||||||
Restricted stock award grants and vesting | — | — | — | — | 972 | (68 | ) | — | 904 | — | 904 | |||||||||||||||||||||||||||||
Common stock dividend distribution declared | — | — | — | — | — | (8,711 | ) | — | (8,711 | ) | — | (8,711 | ) | |||||||||||||||||||||||||||
Preferred stock dividend distribution declared | — | — | — | — | — | (1,855 | ) | — | (1,855 | ) | — | (1,855 | ) | |||||||||||||||||||||||||||
Contributions | — | — | — | — | — | — | — | — | 3 | 3 | ||||||||||||||||||||||||||||||
Distributions | — | — | — | — | — | — | — | — | (254 | ) | (254 | ) | ||||||||||||||||||||||||||||
Net income | — | — | — | — | — | 24,520 | — | 24,520 | 171 | 24,691 | ||||||||||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | 1,754 | 1,754 | — | 1,754 | ||||||||||||||||||||||||||||||
Balance—March 31, 2022 | 4,480 | $ | 112,000 | 43,554 | $ | 435 | $ | 483,033 | $ | 289,388 | $ | 1,372 | $ | 886,228 | $ | 899 | $ | 887,127 | ||||||||||||||||||||||
Nine Months Ended September 30, | ||||||||
2022 | 2021 | |||||||
Cash Flows from Operating Activities: | ||||||||
Net income | $ | 29,918 | $ | 52,105 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 47,072 | 44,017 | ||||||
Amortization of deferred financing costs and debt fair value | 917 | 869 | ||||||
Amortization of above and below market leases | 70 | 281 | ||||||
Straight-line rent/expense | (6,697 | ) | 428 | |||||
Non-cash stock compensation | 2,887 | 1,976 | ||||||
Receipts from sales-type lease | 43,549 | — | ||||||
Net gain on sale of real estate property | (21,658 | ) | (47,400 | ) | ||||
Changes in non-cash working capital: | ||||||||
Rents receivable, net | (3,895 | ) | 635 | |||||
Other assets | (158 | ) | (560 | ) | ||||
Accounts payable and accrued liabilities | 6,977 | 8,558 | ||||||
Deferred rent | (2,679 | ) | 3,468 | |||||
Tenant rent deposits | 849 | 1,354 | ||||||
Net Cash Provided By Operating Activities | 97,152 | 65,731 | ||||||
Cash Flows (to)/from Investing Activities: | ||||||||
Additions to real estate properties | (28,533 | ) | (12,431 | ) | ||||
Acquisition of real estate | — | (43,256 | ) | |||||
Net proceeds from sale of real estate | — | 122,103 | ||||||
Deferred leasing costs | (7,698 | ) | (6,830 | ) | ||||
Net Cash (Used In)/Provided By Investing Activities | (36,231 | ) | 59,586 | |||||
Cash Flows to Financing Activities: | ||||||||
Proceeds from borrowings | 82,000 | 106,000 | ||||||
Repayment of borrowings | (60,472 | ) | (180,806 | ) | ||||
Dividend distributions paid to stockholders | (31,567 | ) | (25,117 | ) | ||||
Repurchases of common stock | (50,082 | ) | — | |||||
Distributions to non-controlling interests in properties | (1,328 | ) | (960 | ) | ||||
Shares withheld for payment of taxes on restricted stock unit vesting | (87 | ) | (216 | ) | ||||
Contributions from non-controlling interests in properties | 30 | 12 | ||||||
Net Cash Used In Financing Activities | (61,506 | ) | (101,087 | ) | ||||
Net (Decrease)/ Increase in Cash, Cash Equivalents and Restricted Cash | (585 | ) | 24,230 | |||||
Cash, Cash Equivalents and Restricted Cash, Beginning of Period | 42,266 | 45,951 | ||||||
Cash, Cash Equivalents and Restricted Cash, End of Period | $ | 41,681 | $ | 70,181 | ||||
Reconciliation of Cash, Cash Equivalents and Restricted Cash: | ||||||||
Cash and Cash Equivalents, End of Period | 22,012 | 17,697 | ||||||
Restricted Cash, End of Period | 19,669 | 52,484 | ||||||
Cash, Cash Equivalents and Restricted Cash, End of Period | $ | 41,681 | $ | 70,181 | ||||
Supplemental Disclosures of Cash Flow Information: | ||||||||
Cash paid for interest | $ | 16,660 | $ | 17,568 | ||||
Purchase of additions in real estate properties included in accounts payable | $ | 10,568 | $ | 4,804 | ||||
Purchase of deferred leasing costs included in accounts payable | $ | 1,904 | $ | 1,351 |
Three Months Ended March 31, | ||||||||
2023 | 2022 | |||||||
Cash Flows from Operating Activities: | ||||||||
Net income | $ | 873 | $ | 24,691 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 15,304 | 15,815 | ||||||
Amortization of deferred financing costs and debt fair value | 323 | 312 | ||||||
Amortization of above and below market leases | 9 | 63 | ||||||
Straight-line rent/expense | (2,801 | ) | (2,050 | ) | ||||
Non-cash stock compensation | 1,024 | 904 | ||||||
Net gain on sale of real estate property | — | (21,658 | ) | |||||
Changes in non-cash working capital: | ||||||||
Rents receivable, net | 539 | (3,844 | ) | |||||
Other assets | (282 | ) | 534 | |||||
Accounts payable and accrued liabilities | (965 | ) | 35 | |||||
Deferred rent | (278 | ) | (436 | ) | ||||
Tenant rent deposits | 137 | 293 | ||||||
Net Cash Provided By Operating Activities | 13,883 | 14,659 | ||||||
Cash Flows to Investing Activities: | ||||||||
Additions to real estate properties | (11,383 | ) | (6,476 | ) | ||||
Net proceeds from sale of real estate | — | 1,000 | ||||||
Deferred leasing costs | (1,037 | ) | (1,423 | ) | ||||
Net Cash Used In Investing Activities | (12,420 | ) | (6,899 | ) | ||||
Cash Flows from/(to) Financing Activities: | ||||||||
Debt issuance and extinguishment costs | (236 | ) | — | |||||
Proceeds from borrowings | 25,000 | 14,000 | ||||||
Repayment of borrowings | (6,683 | ) | (5,564 | ) | ||||
Dividend distributions paid to stockholders | (9,799 | ) | (10,566 | ) | ||||
Distributions to non-controlling interests in properties | (235 | ) | (254 | ) | ||||
Shares withheld for payment of taxes on restricted stock unit vesting | (1,643 | ) | — | |||||
Contributions from non-controlling interests in properties | 110 | 3 | ||||||
Net Cash Provided By/(Used In) Financing Activities | 6,514 | (2,381 | ) | |||||
Net Increase in Cash, Cash Equivalents and Restricted Cash | 7,977 | 5,379 | ||||||
Cash, Cash Equivalents and Restricted Cash, Beginning of Period | 44,262 | 42,266 | ||||||
Cash, Cash Equivalents and Restricted Cash, End of Period | $ | 52,239 | $ | 47,645 | ||||
Reconciliation of Cash, Cash Equivalents and Restricted Cash: | ||||||||
Cash and Cash Equivalents, End of Period | 35,854 | 26,742 | ||||||
Restricted Cash, End of Period | 16,385 | 20,903 | ||||||
Cash, Cash Equivalents and Restricted Cash, End of Period | $ | 52,239 | $ | 47,645 | ||||
Supplemental Disclosures of Cash Flow Information: | ||||||||
Cash paid for interest | $ | 7,256 | $ | 5,374 | ||||
Purchase of additions in real estate properties included in accounts payable | $ | 7,811 | $ | 10,465 | ||||
Purchase of deferred leasing costs included in accounts payable | $ | 1,207 | $ | 3,627 |
5910 Pacific Center and 9985 Pacific Heights | ||||
Land | $ | 37,294 | ||
Building and improvement | 2,979 | |||
Tenant improvement | 917 | |||
Lease intangible assets | 2,469 | |||
Other assets | 19 | |||
Accounts payable and other liabilities | (319 | ) | ||
Lease intangible liabilities | (103 | ) | ||
Net assets acquired | $ | 43,256 | ||
Lease Intangible Assets | Lease Intangible Liabilities | |||||||||||||||||||||||||||
September 30, 2022 | Above Market Leases | In Place Leases | Leasing Commissions | Total | Below Market Leases | Below Market Ground Lease | Total | |||||||||||||||||||||
Cost | $ | 19,478 | $ | 80,788 | $ | 35,710 | $ | 135,976 | $ | (16,531 | ) | $ | (138 | ) | $ | (16,669 | ) | |||||||||||
Accumulated amortization | (9,298 | ) | (50,044 | ) | (18,054 | ) | (77,396 | ) | 7,016 | 51 | 7,067 | |||||||||||||||||
$ | 10,180 | $ | 30,744 | $ | 17,656 | $ | 58,580 | $ | (9,515 | ) | $ | (87 | ) | $ | (9,602 | ) | ||||||||||||
Lease Intangible Assets | Lease Intangible Liabilities | |||||||||||||||||||||||||||
March 31, 2023 | Above Market Leases | In Place Leases | Leasing Commissions | Total | Below Market Leases | Below Market Ground Lease | Total | |||||||||||||||||||||
Cost | $ | 18,793 | $ | 77,530 | $ | 33,698 | $ | 130,021 | $ | (15,091 | ) | $ | (138 | ) | $ | (15,229 | ) | |||||||||||
Accumulated amortization | (9,447 | ) | (50,218 | ) | (17,664 | ) | (77,329 | ) | 6,395 | 53 | 6,448 | |||||||||||||||||
$ | 9,346 | $ | 27,312 | $ | 16,034 | $ | 52,692 | $ | (8,696 | ) | $ | (85 | ) | $ | (8,781 | ) | ||||||||||||
Lease Intangible Assets | Lease Intangible Liabilities | |||||||||||||||||||||||||||
December 31, 2022 | Above Market Leases | In Place Leases | Leasing Commissions | Total | Below Market Leases | Below Market Ground Lease | Total | |||||||||||||||||||||
Cost | $ | 18,793 | $ | 78,720 | $ | 34,123 | $ | 131,636 | $ | (15,682 | ) | $ | (138 | ) | $ | (15,820 | ) | |||||||||||
Accumulated amortization | (9,069 | ) | (49,772 | ) | (17,357 | ) | (76,198 | ) | 6,618 | 52 | 6,670 | |||||||||||||||||
$ | 9,724 | $ | 28,948 | $ | 16,766 | $ | 55,438 | $ | (9,064 | ) | $ | (86 | ) | $ | (9,150 | ) | ||||||||||||
Lease Intangible Assets | Lease Intangible Liabilities | |||||||||||||||||||||||||||
December 31, 2021 | Above Market Leases | In Place Leases | Leasing Commissions | Total | Below Market Leases | Below Market Ground Lease | Total | |||||||||||||||||||||
Cost | $ | 21,147 | $ | 93,761 | $ | 39,345 | $ | 154,253 | $ | (16,743 | ) | $ | (138 | ) | $ | (16,881 | ) | |||||||||||
Accumulated amortization | (9,627 | ) | (56,987 | ) | (18,714 | ) | (85,328 | ) | 5,961 | 48 | 6,009 | |||||||||||||||||
$ | 11,520 | $ | 36,774 | $ | 20,631 | $ | 68,925 | $ | (10,782 | ) | $ | (90 | ) | $ | (10,872 | ) | ||||||||||||
2022 | $ | 2,542 | ||
2023 | 9,027 | |||
2024 | 6,695 | |||
2025 | 6,507 | |||
2026 | 6,461 | |||
Thereafter | 17,746 | |||
$ | 48,978 | |||
2023 | $ | 6,484 | ||
2024 | 6,660 | |||
2025 | 6,479 | |||
2026 | 6,490 | |||
2027 | 5,217 | |||
Thereafter | 12,581 | |||
$ | 43,911 | |||
Property | September 30, 2022 | December 31, 2021 | Interest Rate as of September 30, 2022 (1) | Maturity | March 31, 2023 | December 31, 2022 | Interest Rate as of March 31, 2023 (1) | Maturity | ||||||||||||||||||||||||
Unsecured Credit Facility | $ | 185,000 | $ | 142,000 | LIBOR +1.30 | % (2) | November 2025 | $ | 195,713 | $ | 200,500 | SOFR +1.40 | % (2) | November 2025 | ||||||||||||||||||
Term Loan | 50,000 | 50,000 | LIBOR +1.25 | % (2) | September 2024 | 50,000 | 50,000 | SOFR +1.35 | % (2) | September 2024 | ||||||||||||||||||||||
Term Loan (5) | 25,000 | — | SOFR +2.10 | % (2) | January 2026 | |||||||||||||||||||||||||||
Mission City | 47,000 | 47,000 | 3.78 | % | November 2027 | 46,646 | 46,859 | 3.78 | % | November 2027 | ||||||||||||||||||||||
Canyon Park (5) | 39,853 | 40,381 | 4.30 | % | March 2027 | |||||||||||||||||||||||||||
Canyon Park (6) | 39,490 | 39,673 | 4.30 | % | March 2027 | |||||||||||||||||||||||||||
Circle Point | 39,598 | 39,650 | 4.49 | % | September 2028 | 39,280 | 39,440 | 4.49 | % | September 2028 | ||||||||||||||||||||||
190 Office Center | 39,071 | 39,581 | 4.79 | % | October 2025 | |||||||||||||||||||||||||||
190 Office Center (7) | 38,711 | 38,894 | 4.79 | % | October 2025 | |||||||||||||||||||||||||||
SanTan | 32,309 | 32,807 | 4.56 | % | March 2027 | 31,968 | 32,140 | 4.56 | % | March 2027 | ||||||||||||||||||||||
Intellicenter | 31,447 | 31,883 | 4.65 | % | October 2025 | 31,141 | 31,297 | 4.65 | % | October 2025 | ||||||||||||||||||||||
The Quad | 30,600 | 30,600 | 4.20 | % | September 2028 | 30,600 | 30,600 | 4.20 | % | September 2028 | ||||||||||||||||||||||
2525 McKinnon | 27,000 | 27,000 | 4.24 | % | April 2027 | |||||||||||||||||||||||||||
FRP Collection | 26,974 | 27,535 | 3.10 | % | September 2023 | 26,592 | 26,784 | 3.10 | % | September 2023 | ||||||||||||||||||||||
Greenwood Blvd | 21,263 | 21,396 | 3.15 | % | December 2025 | |||||||||||||||||||||||||||
Cascade Station (8) | 21,089 | 21,192 | 4.55 | % | May 2024 | |||||||||||||||||||||||||||
5090 N. 40 th St | 20,701 | 20,810 | 3.92 | % | January 2027 | |||||||||||||||||||||||||||
AmberGlen | 20,000 | 20,000 | 3.69 | % | May 2027 | |||||||||||||||||||||||||||
Central Fairwinds | 16,163 | 16,273 | 3.15 | % | June 2024 | |||||||||||||||||||||||||||
FRP Ingenuity Drive (9) | 16,088 | 16,165 | 4.44 | % | December 2024 | |||||||||||||||||||||||||||
Carillon Point | 14,668 | 14,773 | 3.10 | % | October 2023 | |||||||||||||||||||||||||||
Total Principal | 712,113 | 693,796 | ||||||||||||||||||||||||||||||
Deferred financing costs, net | (3,786 | ) | (3,887 | ) | ||||||||||||||||||||||||||||
Unamortized fair value adjustments | 154 | 190 | ||||||||||||||||||||||||||||||
Total | $ | 708,481 | $ | 690,099 | ||||||||||||||||||||||||||||
Property | September 30, 2022 | December 31, 2021 | Interest Rate as of September 30, 2022 (1) | Maturity | ||||||||||
2525 McKinnon | 27,000 | 27,000 | 4.24 | % | April 2027 | |||||||||
Greenwood Blvd | 21,529 | 21,920 | 3.15 | % | December 2025 | |||||||||
Cascade Station | 21,291 | 21,581 | 4.55 | % | May 2024 | |||||||||
5090 N. 40 th St | 20,917 | 21,233 | 3.92 | % | January 2027 | |||||||||
AmberGlen | 20,000 | 20,000 | 3.69 | % | May 2027 | |||||||||
Central Fairwinds | 16,383 | 16,707 | 3.15 | % | June 2024 | |||||||||
FRP Ingenuity Drive (6) | 16,240 | 16,457 | 4.44 | % | December 2024 | |||||||||
Carillon Point | 14,877 | 15,185 | 3.10 | % | October 2023 | |||||||||
Lake Vista Pointe ( 7 ) | — | 17,018 | — | — | ||||||||||
Total Principal | 680,089 | 658,538 | ||||||||||||
Deferred financing costs, net | (4,198 | ) | (5,223 | ) | ||||||||||
Unamortized fair value adjustments | 225 | 333 | ||||||||||||
Total | $ | 676,116 | $ | 653,648 | ||||||||||
(1) | All interest rates are fixed interest rates with the exception of the Unsecured Credit Facility |
(2) | As of |
(3) |
12 months at the Company’s option upon meeting certain conditions. The Unsecured Credit Facility requires the Company to maintain a fixed charge coverage ratio of no less than 1.50x. |
(4) | Borrowings under the $50 million term loan bear interest at a rate equal to the daily-simple SOFR rate plus a margin of between 135 to 225 basis points depending upon the Company’s consolidated leverage ratio. The SOFR component of the borrowing rate is effectively fixed by a $50 million interest rate swap. |
(5) | On January 5, 2023, the Company entered into a second amendment to its amended and restated credit agreement, dated November 16, 2021 (as amended, the “Amended and Restated Credit Agreement”) for the Unsecured Credit Facility and entered into a three-year |
(6) | The mortgage loan anticipated repayment date (“ARD”) is March 1, 2027. The final scheduled maturity date can be extended up to 5 years beyond the ARD. If the loan is not paid off at ARD, the loan’s interest rate shall be adjusted to the greater of (i) the initial interest rate plus 200 basis points or (ii) the yield on the five year “on the run” treasury reported by Bloomberg market data service plus 450 basis points. |
In the fourth quarter of 2022, a ‘cash-sweep period’ began for the 190 Office Center loan due to the non-renewal of the minimum square footage of a major tenant in the building. Under a‘cash-sweep period’ , property cash flows are directed into lender-controlled restricted cash accounts to fund property operations until certain thresholds are met. As of March 31, 2023 and December 31, 2022, total restricted cash for the property was $3.4 million and $3.8 million, respectively. |
(8) | In the first quarter of 2023, 0.7 million.a ‘cash-sweep period’ began for the Cascade Station loan due to the non-renewal of a major tenant’s leased space in the building. As of March 31, 2023, total restricted cash for the property was $ |
(9) | As of September 30, 2022, the Debt Service Coverage Ratio (“DSCR”) covenant for FRP Ingenuity Drive was not met, which triggered a 2.8 million and $2.6 million, respectively. |
2022 | $ | 1,623 | ||
2023 | 48,150 | |||
2024 | 108,480 | |||
2025 | 276,997 | |||
2026 | 4,536 | |||
Thereafter | 240,303 | |||
$ | 680,089 | |||
2023 | $ | 46,084 | ||
2024 | 108,480 | |||
2025 | 287,710 | |||
2026 | 29,416 | |||
2027 | 176,303 | |||
Thereafter | 64,120 | |||
$ | 712,113 | |||
Notional Value | Effective Date | Maturity Date | Fair Value Assets/(Liabilities) | |||||||||||||||||
March 31, 2023 | December 31, 2022 | |||||||||||||||||||
Interest Rate Swap | $ | 50,000 | September 2019 | September 2024 | $ | 2,241 | $ | 2,731 | ||||||||||||
Interest Rate Swap | 25,000 | January 2023 | January 2026 | (94 | ) | — | ||||||||||||||
Interest Rate Swap | 140,000 | March 2023 | November 2025 | (1,358 | ) | — | ||||||||||||||
$ | 215,000 | $ | 789 | $ | 2,731 | |||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | Three Months Ended March 31, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | |||||||||||||||||||
Fixed payments | $ | 39,117 | $ | 38,963 | $ | 115,746 | $ | 106,825 | $ | 38,914 | $ | 38,320 | ||||||||||||
Variable payments | 6,067 | 5,868 | 18,687 | 17,404 | 6,743 | 6,440 | ||||||||||||||||||
$ | 45,184 | $ | 44,831 | $ | 134,433 | $ | 124,229 | $ 45,657 | $ | 44,760 | ||||||||||||||
2022 | $ | 31,795 | ||||||
2023 | 121,218 | $ | 94,066 | |||||
2024 | 111,347 | 118,908 | ||||||
2025 | 99,896 | 107,742 | ||||||
2026 | 91,616 | 98,598 | ||||||
2027 | 82,242 | |||||||
Thereafter | 285,667 | 223,165 | ||||||
$ | 741,539 | $ | 724,721 | |||||
September 30, 2022 | December 31, 2021 | March 31, 2023 | December 31, 2022 | |||||||||||||
Right-of-use | $ | 13,734 | $ | 14,114 | ||||||||||||
Right-of-use | $ | 12,825 | $ | 12,935 | ||||||||||||
Lease liability – operating leases | $ | 8,937 | $ | 9,160 | $ | 8,738 | $ | 8,802 | ||||||||
Right-of-use | $ | 10,117 | $ | 10,308 | ||||||||||||
Right-of-use | $ | 9,991 | $ | 10,054 | ||||||||||||
Lease liability – financing leases | $ | 1,463 | $ | 1,425 | $ | 1,491 | $ | 1,475 |
Operating Leases | Financing Leases | |||||||
2022 | $ | 83 | $ | 9 | ||||
2023 | 836 | 12 | ||||||
2024 | 770 | 7 | ||||||
2025 | 770 | 8 | ||||||
2026 | 724 | 8 | ||||||
Thereafter | 27,151 | 6,946 | ||||||
Total future minimum lease payments | 30,334 | 6,990 | ||||||
Discount | (21,397 | ) | (5,527 | ) | ||||
Total | $ | 8,937 | $ | 1,463 | ||||
Operating Leases | Financing Leases | |||||||
2023 | $ | 459 | $ | 5 | ||||
2024 | 770 | 7 | ||||||
2025 | 770 | 8 | ||||||
2026 | 724 | 8 | ||||||
2027 | 587 | 8 | ||||||
Thereafter | 26,563 | 6,938 | ||||||
Total future minimum lease payments | 29,873 | 6,974 | ||||||
Discount | (21,135 | ) | (5,483 | ) | ||||
Total | $ | 8,738 | $ | 1,491 | ||||
Number of RSUs | Number of Performance RSUs | |||||||
Outstanding at December 31, 2021 | 342,159 | 217,500 | ||||||
Granted | 237,986 | 90,000 | ||||||
Issuance of dividend equivalents | 3,902 | — | ||||||
Outstanding at March 31, 2022 | 584,047 | 307,500 | ||||||
Issuance of dividend equivalents | 7,451 | — | ||||||
Vested | (177,812 | ) | — | |||||
Outstanding at June 30, 2022 | 413,686 | 307,500 | ||||||
Issuance of dividend equivalents | 6,185 | — | ||||||
Outstanding at September 30, 2022 | 419,871 | 307,500 |
Number of RSUs | Number of Performance RSUs | |||||||
Outstanding at December 31, 2022 | 428,320 | 307,500 | ||||||
Granted | 198,022 | 214,888 | ||||||
Issuance of dividend equivalents | 9,485 | — | ||||||
Vested | (216,520 | ) | (97,500 | ) | ||||
Outstanding at March 31, 2023 | 419,307 | 424,888 |
Number of RSUs | Number of Performance RSUs | |||||||
Outstanding at December 31, 2020 | 332,435 | 97,500 | ||||||
Granted | 169,500 | 120,000 | ||||||
Issuance of dividend equivalents | 5,139 | — | ||||||
Outstanding at March 31, 2021 | 507,074 | 217,500 | ||||||
Issuance of dividend equivalents | 6,884 | — | ||||||
Vested | (177,038 | ) | — | |||||
Outstanding at June 30, 2021 | 336,920 | 217,500 | ||||||
Issuance of dividend equivalents | 3,963 | — | ||||||
Outstanding at September 30, 2021 | 340,883 | 217,500 |
Number of RSUs | Number of Performance RSUs | |||||||
Outstanding at December 31, 2021 | 342,159 | 217,500 | ||||||
Granted | 237,986 | 90,000 | ||||||
Issuance of dividend equivalents | 3,902 | — | ||||||
Outstanding at March 31, 2022 | 584,047 | 307,500 |
Units Granted | Fair Value (in thousands) | Weighted Average Grant Fair Value Per Share | ||||||||||||||
RSUs | Performance RSUs | |||||||||||||||
2023 | 198,022 | 214,888 | $ | 3,729 | $ | 9.03 | ||||||||||
2022 | 237,986 | 90,000 | 5,753 | 17.54 |
Units Granted | Fair Value (in thousands) | Weighted Average Grant Fair Value Per Share | ||||||||||||||
RSUs | Performance RSUs | |||||||||||||||
2022 | 237,986 | 90,000 | $ | 5,753 | $ | 17.54 | ||||||||||
2021 | 169,500 | 120,000 | 2,808 | 9.70 |
RSUs | Performance RSUs | Total | ||||||||||
2022 | $ | 652 | $ | 340 | $ | 992 | ||||||
2021 | 457 | 208 | 665 |
RSUs | Performance RSUs | Total | ||||||||||
2022 | $ | 1,902 | $ | 985 | $ | 2,887 | ||||||
2021 | 1,377 | 599 | 1,976 |
RSUs | Performance RSUs | Total | ||||||||||
2023 | $ | 643 | $ | 381 | $ | 1,024 | ||||||
2022 | 599 | 305 | 904 |
Metropolitan Area | Property | Economic Interest | NRA (000s Square Feet) | In Place Occupancy | Annualized Base Rent per Square Foot | Annualized Gross Rent per Square Foot (1) | Annualized Base Rent (2) ($000s) | Property | Economic Interest | NRA (000s Square Feet) | In Place Occupancy | Annualized Base Rent per Square Foot | Annualized Gross Rent per Square Foot (1) | Annualized Base Rent (2) ($000s) | ||||||||||||||||||||||||||||||||||||||
Phoenix, AZ | Block 23 | 100.0 | % | 307 | 94.0 | % | $ | 29.63 | $ | 31.88 | $ | 8,552 | Block 23 | 100.0 | % | 307 | 94.5 | % | $ | 30.02 | $ | 32.30 | $ | 8,706 | ||||||||||||||||||||||||||||
Pima Center | 100.0 | % | 272 | 43.7 | % | $ | 27.99 | $ | 27.99 | $ | 3,324 | Pima Center | 100.0 | % | 272 | 45.8 | % | $ | 29.06 | $ | 29.06 | $ | 3,618 | |||||||||||||||||||||||||||||
SanTan | 100.0 | % | 267 | 46.3 | % | $ | 31.60 | $ | 31.60 | $ | 3,899 | SanTan | 100.0 | % | 267 | 45.4 | % | $ | 31.98 | $ | 31.98 | $ | 3,871 | |||||||||||||||||||||||||||||
5090 N. 40 th St | 100.0 | % | 176 | 96.1 | % | $ | 31.93 | $ | 31.93 | $ | 5,386 | 5090 N. 40 th St | 100.0 | % | 176 | 68.1 | % | $ | 34.03 | $ | 34.03 | $ | 4,068 | |||||||||||||||||||||||||||||
Camelback Square | 100.0 | % | 172 | 77.9 | % | $ | 33.87 | $ | 33.87 | $ | 4,533 | Camelback Square | 100.0 | % | 172 | 84.4 | % | $ | 34.41 | $ | 34.41 | $ | 5,005 | |||||||||||||||||||||||||||||
The Quad | 100.0 | % | 163 | 100.0 | % | $ | 31.45 | $ | 31.76 | $ | 5,126 | The Quad | 100.0 | % | 163 | 100.0 | % | $ | 32.40 | $ | 32.72 | $ | 5,282 | |||||||||||||||||||||||||||||
Papago Tech | 100.0 | % | 163 | 86.1 | % | $ | 23.57 | $ | 23.57 | $ | 3,302 | Papago Tech | 100.0 | % | 163 | 88.7 | % | $ | 24.40 | $ | 24.40 | $ | 3,522 | |||||||||||||||||||||||||||||
Tampa, FL (17.5%) | Park Tower | 94.8 | % | 479 | 88.6 | % | $ | 27.45 | $ | 27.45 | $ | 11,643 | Park Tower | 94.8 | % | 478 | 89.0 | % | $ | 27.62 | $ | 27.62 | $ | 11,758 | ||||||||||||||||||||||||||||
City Center | 95.0 | % | 245 | 89.4 | % | $ | 27.24 | $ | 27.24 | $ | 5,956 | City Center | 95.0 | % | 244 | 85.5 | % | $ | 28.27 | $ | 28.27 | $ | 5,895 | |||||||||||||||||||||||||||||
Intellicenter | 100.0 | % | 204 | 100.0 | % | $ | 25.64 | $ | 25.64 | $ | 5,219 | Intellicenter | 100.0 | % | 204 | 100.0 | % | $ | 25.64 | $ | 25.64 | $ | 5,219 | |||||||||||||||||||||||||||||
Carillon Point | 100.0 | % | 124 | 100.0 | % | $ | 30.07 | $ | 30.07 | $ | 3,734 | Carillon Point | 100.0 | % | 124 | 100.0 | % | $ | 30.25 | $ | 30.25 | $ | 3,757 | |||||||||||||||||||||||||||||
Denver, CO | Denver Tech | 100.0 | % | 381 | 93.2 | % | $ | 24.10 | $ | 28.21 | $ | 8,465 | Denver Tech | 100.0 | % | 381 | 85.6 | % | $ | 24.29 | $ | 28.74 | $ | 7,731 | ||||||||||||||||||||||||||||
Circle Point | 100.0 | % | 272 | 82.6 | % | $ | 19.51 | $ | 33.38 | $ | 4,383 | Circle Point | 100.0 | % | 272 | 89.3 | % | $ | 19.84 | $ | 34.71 | $ | 4,816 | |||||||||||||||||||||||||||||
Superior Pointe | 100.0 | % | 152 | 93.2 | % | $ | 18.78 | $ | 31.78 | $ | 2,667 | Superior Pointe | 100.0 | % | 152 | 81.7 | % | $ | 18.47 | $ | 31.47 | $ | 2,299 | |||||||||||||||||||||||||||||
Orlando, FL (12.0%) | Florida Research Park | 96.5 | % | 393 | 82.2 | % | $ | 25.56 | $ | 27.48 | $ | 8,184 | Florida Research Park | 96.6 | % | 397 | 88.0 | % | $ | 26.03 | $ | 27.77 | $ | 8,989 | ||||||||||||||||||||||||||||
Central Fairwinds | 97.0 | % | 168 | 94.6 | % | $ | 27.57 | $ | 27.57 | $ | 4,387 | Central Fairwinds | 97.0 | % | 168 | 89.0 | % | $ | 27.87 | $ | 27.87 | $ | 4,172 | |||||||||||||||||||||||||||||
Greenwood Blvd | 100.0 | % | 155 | 100.0 | % | $ | 24.25 | $ | 24.25 | $ | 3,760 | Greenwood Blvd | 100.0 | % | 155 | 100.0 | % | $ | 24.75 | $ | 24.75 | $ | 3,837 | |||||||||||||||||||||||||||||
Dallas, TX (9.8%) | 190 Office Center | 100.0 | % | 303 | 75.5 | % | $ | 27.11 | $ | 27.11 | $ | 6,210 | 190 Office Center | 100.0 | % | 303 | 77.5 | % | $ | 26.57 | $ | 26.57 | $ | 6,241 | ||||||||||||||||||||||||||||
The Terraces | 100.0 | % | 173 | 99.0 | % | $ | 38.45 | $ | 58.45 | $ | 6,569 | The Terraces | 100.0 | % | 173 | 99.0 | % | $ | 38.68 | $ | 58.68 | $ | 6,609 | |||||||||||||||||||||||||||||
2525 McKinnon | 100.0 | % | 111 | 94.8 | % | $ | 29.98 | $ | 48.98 | $ | 3,165 | 2525 McKinnon | 100.0 | % | 111 | 97.8 | % | $ | 30.27 | $ | 51.27 | $ | 3,298 | |||||||||||||||||||||||||||||
Raleigh, NC | Bloc 83 | 100.0 | % | 495 | 79.8 | % | $ | 37.32 | $ | 37.41 | $ | 14,752 | Bloc 83 | 100.0 | % | 495 | 83.5 | % | $ | 37.41 | $ | 37.63 | $ | 15,459 | ||||||||||||||||||||||||||||
Portland, OR (5.5%) | AmberGlen | 76.0 | % | 203 | 98.4 | % | $ | 23.55 | $ | 26.45 | $ | 4,695 | AmberGlen | 76.0 | % | 203 | 98.4 | % | $ | 23.78 | $ | 27.05 | $ | 4,741 | ||||||||||||||||||||||||||||
Cascade Station | 100.0 | % | 128 | 100.0 | % | $ | 28.82 | $ | 30.73 | $ | 3,691 | Cascade Station | 100.0 | % | 128 | 100.0 | % | $ | 29.22 | $ | 31.14 | $ | 3,743 | |||||||||||||||||||||||||||||
San Diego, CA (4.7%) | Mission City | 100.0 | % | 281 | 86.8 | % | $ | 38.40 | $ | 38.40 | $ | 9,374 | Mission City | 100.0 | % | 281 | 75.3 | % | $ | 39.21 | $ | 39.21 | $ | 8,301 | ||||||||||||||||||||||||||||
Seattle, WA (3.5%) | Canyon Park | 100.0 | % | 207 | 100.0 | % | $ | 23.17 | $ | 27.17 | $ | 4,791 | Canyon Park | 100.0 | % | 207 | 100.0 | % | $ | 23.86 | $ | 29.86 | $ | 4,934 | ||||||||||||||||||||||||||||
Total / Weighted Average – September 30, 2022 | 5,994 | 85.8 | % | $ | 28.40 | $ | 31.29 | $ | 145,767 | |||||||||||||||||||||||||||||||||||||||||||
Total / Weighted Average – March 31, 2023 (3) | Total / Weighted Average – March 31, 2023 (3) | 5,996 | 84.9 | % | $ | 28.71 | $ | 31.84 | $ | 145,871 | ||||||||||||||||||||||||||||||||||||||||||
(1) | Annualized gross rent per square foot includes adjustment for estimated expense reimbursements of triple net leases. |
(2) | Annualized base rent is calculated by multiplying (i) rental payments (defined as cash rents before abatements) for the month ended |
(3) | Averages weighted based on the property’s NRA, adjusted for occupancy. |
Payments Due by Period | Payments Due by Period | |||||||||||||||||||||||||||||||||||||||
Contractual Obligations | Total | 2022 | 2023-2024 | 2025-2026 | More than 5 years | Total | 2023 | 2024-2025 | 2026-2027 | More than 5 years | ||||||||||||||||||||||||||||||
Principal payments on mortgage loans | $ | 680,089 | $ | 1,623 | $ | 156,630 | $ | 281,533 | $ | 240,303 | $ | 712,113 | $ | 46,084 | $ | 396,190 | $ | 205,719 | $ | 64,120 | ||||||||||||||||||||
Interest payments (1) | 98,121 | 6,942 | 52,207 | 31,161 | 7,811 | 96,359 | 23,857 | 54,540 | 15,880 | 2,082 | ||||||||||||||||||||||||||||||
Tenant-related commitments | 18,026 | 17,138 | 888 | — | — | 14,723 | 14,723 | — | — | — | ||||||||||||||||||||||||||||||
Lease obligations | 37,324 | 92 | 1,625 | 1,510 | 34,097 | 36,847 | 464 | 1,555 | 1,327 | 33,501 | ||||||||||||||||||||||||||||||
Total | $ | 833,560 | $ | 25,795 | $ | 211,350 | $ | 314,204 | $ | 282,211 | $ | 860,042 | $ | 85,128 | $ | 452,285 | $ | 222,926 | $ | 99,703 | ||||||||||||||||||||
(1) | Contracted interest on the floating rate borrowings under our Unsecured Credit Facility was calculated based on the balance and interest rate at |
Issuer Purchases of Equity Securities (1) | ||||||||||||||||
Period | Total Number of Shares of Common Stock Purchased | Average Price Paid per Share of Common Stock Repurchased | Total Number of Shares of Common Stock Purchased as Part of Share Repurchase Plans | Approximate Dollar Value of Shares of Common Stock that May Yet Be Purchased Under the Share Repurchase Plans (2) (thousands) | ||||||||||||
July 1 – 31, 2022 | 1,624,589 | $ | 13.06 | 1,624,589 | $ | 23,787 | ||||||||||
August 1 – 31, 2022 | 927,285 | 12.95 | 927,285 | 11,781 | ||||||||||||
September 1 – 30, 2022 | 1,060,190 | 11.11 | 1,060,190 | — | ||||||||||||
Total | 3,612,064 | $ | 12.46 | 3,612,064 | $ | — | ||||||||||
101.INS | INLINE XBRL INSTANCE | ||
101.SCH | INLINE XBRL SCHEMA | ||
101.CAL | INLINE XBRL CALCULATION LINKBASE | ||
101.LAB | INLINE XBRL LABELS LINKBASE | ||
101.PRE | INLINE XBRL PRESENTATION LINKBASE | ||
101.DEF | INLINE XBRL DEFINITION LINKBASE | ||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) | ||
† | Filed herewith. | ||
Date: | ||||||
By: | /s/ James Farrar | |||||
James Farrar | ||||||
Chief Executive Officer and Director (Principal Executive Officer) | ||||||
Date: | ||||||
By: | /s/ Anthony Maretic | |||||
Anthony Maretic | ||||||
Chief Financial Officer, Secretary and Treasurer (Principal Financial Officer and Principal Accounting Officer) |