Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2022 | Jul. 22, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-11312 | |
Entity Registrant Name | COUSINS PROPERTIES INC | |
Entity Incorporation, State or Country Code | GA | |
Entity Tax Identification Number | 58-0869052 | |
Entity Address, Address Line One | 3344 Peachtree Road NE | |
Entity Address, Address Line Two | Suite 1800 | |
Entity Address, City or Town | Atlanta | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 30326-4802 | |
City Area Code | 404 | |
Local Phone Number | 407-1000 | |
Title of 12(b) Security | Common Stock, $1 par value per share | |
Trading Symbol | CUZ | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 151,434,281 | |
Entity Central Index Key | 0000025232 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Real estate assets: | ||
Operating properties, net of accumulated depreciation of $971,023 and $874,988 in 2022 and 2021, respectively | $ 6,630,212 | $ 6,506,910 |
Projects under development | 90,622 | 174,803 |
Land | 157,680 | 157,681 |
Total properties | 6,878,514 | 6,839,394 |
Cash and cash equivalents | 4,057 | 8,937 |
Restricted cash | 1,231 | 1,231 |
Accounts receivable | 9,688 | 12,553 |
Deferred rents receivable | 166,654 | 154,866 |
Investment in unconsolidated joint ventures | 103,215 | 77,811 |
Intangible assets, net | 151,550 | 168,553 |
Other assets, net | 65,215 | 48,689 |
Total assets | 7,380,124 | 7,312,034 |
Liabilities: | ||
Notes payable | 2,305,637 | 2,237,509 |
Accounts payable and accrued expenses | 208,417 | 224,523 |
Deferred income | 75,226 | 74,515 |
Intangible liabilities, net | 57,327 | 63,223 |
Other liabilities | 100,822 | 111,864 |
Total liabilities | 2,747,429 | 2,711,634 |
Commitments and contingencies | ||
Stockholders' investment: | ||
Common stock, $1 par value per share, 300,000,000 shares authorized, 154,024,945 and 151,272,969 shares issued and outstanding in 2022 and 2021, respectively | 154,025 | 151,273 |
Additional paid-in capital | 5,627,133 | 5,549,308 |
Treasury stock at cost, 2,584,933 shares in 2022 and 2021 | (148,473) | (148,473) |
Distributions in excess of cumulative net income | (1,020,590) | (985,338) |
Total stockholders' investment | 4,612,095 | 4,566,770 |
Nonredeemable noncontrolling interests | 20,600 | 33,630 |
Total equity | 4,632,695 | 4,600,400 |
Total liabilities and equity | $ 7,380,124 | $ 7,312,034 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Accumulated depreciation on operating properties | $ 971,023 | $ 874,988 |
Common stock, par value (in usd per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (in shares) | 154,024,945 | 151,272,969 |
Common stock, shares outstanding (in shares) | 154,024,945 | 151,272,969 |
Treasury stock, shares (in shares) | 2,584,933 | 2,584,933 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenues: | ||||
Total Revenues | $ 185,680 | $ 186,637 | $ 372,578 | $ 376,187 |
Expenses: | ||||
Rental property operating expenses | 62,216 | 63,716 | 127,093 | 130,111 |
Reimbursed expenses | 677 | 398 | 1,037 | 766 |
General and administrative expenses | 6,996 | 7,313 | 15,059 | 14,046 |
Interest expense | 16,549 | 16,656 | 32,074 | 33,864 |
Depreciation and amortization | 69,861 | 71,456 | 140,605 | 142,326 |
Other | 425 | 824 | 646 | 1,414 |
Total costs and expenses | 156,724 | 160,363 | 316,514 | 322,527 |
Income from unconsolidated joint ventures | 5,280 | 1,795 | 6,404 | 3,698 |
Gain on sales of investments in unconsolidated joint ventures | 0 | 0 | 0 | 39 |
Gain (loss) on investment property transactions | 28 | (9) | (41) | (26) |
Loss on extinguishment of debt | (100) | 0 | (100) | 0 |
Net income | 34,164 | 28,060 | 62,327 | 57,371 |
Net loss (income) attributable to noncontrolling interests | (112) | 93 | (291) | (108) |
Net income available to common stockholders | $ 34,052 | $ 28,153 | $ 62,036 | $ 57,263 |
Net income per common share — basic (in usd per share) | $ 0.23 | $ 0.19 | $ 0.42 | $ 0.39 |
Net income per common share — diluted (in usd per share) | $ 0.23 | $ 0.19 | $ 0.42 | $ 0.39 |
Weighted average shares — basic (in shares) | 148,837 | 148,665 | 148,788 | 148,644 |
Weighted average shares — diluted (in shares) | 149,142 | 148,740 | 149,090 | 148,716 |
Rental property revenues | ||||
Revenues: | ||||
Total Revenues | $ 183,174 | $ 181,766 | $ 366,401 | $ 366,573 |
Fee income | ||||
Revenues: | ||||
Total Revenues | 2,305 | 4,803 | 3,693 | 9,332 |
Other | ||||
Revenues: | ||||
Total Revenues | $ 201 | $ 68 | $ 2,484 | $ 282 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Treasury Stock | Distributions in Excess of Net Income | Stockholders’ Investment | Nonredeemable Noncontrolling Interests |
Beginning balance at Dec. 31, 2020 | $ 4,495,538 | $ 151,149 | $ 5,542,762 | $ (148,473) | $ (1,078,304) | $ 4,467,134 | $ 28,404 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 57,371 | 57,263 | 57,263 | 108 | |||
Common stock issued pursuant to stock based compensation | 552 | 126 | 426 | 552 | |||
Amortization of stock based compensation, net of forfeitures | 3,146 | (2) | 3,148 | 3,146 | |||
Contributions from nonredeemable noncontrolling interests | 3,382 | 3,382 | |||||
Distributions to nonredeemable noncontrolling interests | (353) | (353) | |||||
Common dividends | (92,232) | (92,232) | (92,232) | ||||
Ending balance at Jun. 30, 2021 | 4,467,404 | 151,273 | 5,546,336 | (148,473) | (1,113,273) | 4,435,863 | 31,541 |
Beginning balance at Mar. 31, 2021 | 4,481,248 | 151,240 | 5,543,549 | (148,473) | (1,095,361) | 4,450,955 | 30,293 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 28,060 | 28,153 | 28,153 | (93) | |||
Common stock issued pursuant to stock based compensation | 1,335 | 35 | 1,300 | 1,335 | |||
Amortization of stock based compensation, net of forfeitures | 1,485 | (2) | 1,487 | 1,485 | |||
Contributions from nonredeemable noncontrolling interests | 1,687 | 1,687 | |||||
Distributions to nonredeemable noncontrolling interests | (346) | (346) | |||||
Common dividends | (46,065) | (46,065) | (46,065) | ||||
Ending balance at Jun. 30, 2021 | 4,467,404 | 151,273 | 5,546,336 | (148,473) | (1,113,273) | 4,435,863 | 31,541 |
Beginning balance at Dec. 31, 2021 | 4,600,400 | 151,273 | 5,549,308 | (148,473) | (985,338) | 4,566,770 | 33,630 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 62,327 | 62,036 | 62,036 | 291 | |||
Common stock issued under the ATM, net of issuance costs | 103,107 | 2,632 | 100,475 | 103,107 | |||
Common stock issued pursuant to stock based compensation | 610 | 120 | 490 | 610 | |||
Amortization of stock based compensation, net of forfeitures | 4,502 | 4,498 | 4 | 4,502 | |||
Purchase of interest in consolidated joint venture | (43,387) | (27,638) | (27,638) | (15,749) | |||
Contributions from nonredeemable noncontrolling interests | 2,520 | 2,520 | |||||
Distributions to nonredeemable noncontrolling interests | (92) | (92) | |||||
Common dividends | (97,292) | (97,292) | (97,292) | ||||
Ending balance at Jun. 30, 2022 | 4,632,695 | 154,025 | 5,627,133 | (148,473) | (1,020,590) | 4,612,095 | 20,600 |
Beginning balance at Mar. 31, 2022 | 4,582,645 | 151,349 | 5,550,718 | (148,473) | (1,005,951) | 4,547,643 | 35,002 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 34,164 | 34,052 | 34,052 | 112 | |||
Common stock issued under the ATM, net of issuance costs | 103,107 | 2,632 | 100,475 | 103,107 | |||
Common stock issued pursuant to stock based compensation | 1,540 | 44 | 1,496 | 1,540 | |||
Amortization of stock based compensation, net of forfeitures | 2,086 | 2,082 | 4 | 2,086 | |||
Purchase of interest in consolidated joint venture | (43,387) | (27,638) | (27,638) | (15,749) | |||
Contributions from nonredeemable noncontrolling interests | 1,241 | 1,241 | |||||
Distributions to nonredeemable noncontrolling interests | (6) | (6) | |||||
Common dividends | (48,695) | (48,695) | (48,695) | ||||
Ending balance at Jun. 30, 2022 | $ 4,632,695 | $ 154,025 | $ 5,627,133 | $ (148,473) | $ (1,020,590) | $ 4,612,095 | $ 20,600 |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Common dividends (in usd per share) | $ 0.32 | $ 0.31 | $ 0.64 | $ 0.62 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 62,327 | $ 57,371 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Gain on sales of investment in unconsolidated joint ventures | 0 | (39) |
Loss on investment property transactions | 41 | 26 |
Depreciation and amortization | 140,605 | 142,326 |
Amortization of deferred financing costs and premium on notes payable | (130) | (272) |
Equity-classified stock-based compensation expense, net of forfeitures | 5,292 | 4,487 |
Effect of non-cash adjustments to rental revenues | (17,961) | (18,378) |
Income from unconsolidated joint ventures | (6,404) | (3,698) |
Operating distributions from unconsolidated joint ventures | 3,161 | 7,677 |
Loss on extinguishment of debt | 100 | 0 |
Changes in other operating assets and liabilities: | ||
Change in receivables and other assets, net | (2,463) | (3,383) |
Change in operating liabilities, net | (26,879) | (18,427) |
Net cash provided by operating activities | 157,689 | 167,690 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Proceeds from investment property sales, net | 0 | 127,023 |
Proceeds from sale of interest in unconsolidated joint ventures, net | 0 | 43 |
Property acquisition, development, and tenant asset expenditures | (172,206) | (116,009) |
Return of capital distributions from unconsolidated joint venture | 10,752 | 25,955 |
Contributions to unconsolidated joint ventures | (31,892) | (656) |
Net cash provided by (used in) investing activities | (193,346) | 36,356 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from credit facility | 269,500 | 192,000 |
Repayment of credit facility | (192,000) | (392,400) |
Repayment of notes payable | (8,436) | (8,102) |
Common stock issued under the ATM | 101,668 | 0 |
Payment of deferred financing costs | (5,299) | (3,014) |
Contributions from nonredeemable noncontrolling interests | 2,520 | 3,382 |
Distributions to nonredeemable noncontrolling interests | (92) | (353) |
Common dividends paid | (93,697) | (90,649) |
Purchase of partners' interest in consolidated joint venture | (43,387) | 0 |
Issuance of term loan | 0 | 350,000 |
Repayment of term loan | 0 | (250,000) |
Net cash provided by (used in) financing activities | 30,777 | (199,136) |
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH | (4,880) | 4,910 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT BEGINNING OF PERIOD | 10,168 | 6,138 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT END OF PERIOD | $ 5,288 | $ 11,048 |
Description of Business and Bas
Description of Business and Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION | DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Description of Business : Cousins Properties Incorporated (“Cousins”), a Georgia corporation, is a self-administered and self-managed real estate investment trust (“REIT”). Cousins conducts substantially all of its operations through Cousins Properties LP ("CPLP"). Cousins owns in excess of 99% of CPLP, and CPLP is consolidated with Cousins for financial reporting purposes. CPLP also owns Cousins TRS Services LLC ("CTRS"), a taxable entity that owns and manages its own real estate portfolio and performs certain real estate-related services for other parties. Cousins, CPLP, CTRS, and their subsidiaries (collectively, the “Company”) develop, acquire, lease, manage, and own primarily Class A office properties and mixed-use developments in the Sun Belt markets of the United States with a focus on Atlanta, Austin, Charlotte, Phoenix, Tampa, Dallas, and Nashville. Cousins has elected to be taxed as a REIT and intends to, among other things, distribute at least 100% of its net taxable income to stockholders, thereby eliminating any liability for federal income taxes under current law. Therefore, the results included herein do not include a federal income tax provision for Cousins. As of June 30, 2022, the Company's portfolio of real estate assets consisted of interests in 18.7 million square feet of office space and 620,000 square feet of other space. Basis of Presentation: The condensed consolidated financial statements are unaudited and were prepared by the Company in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, these financial statements reflect all adjustments necessary (which adjustments are of a normal and recurring nature) for the fair presentation of the Company's financial position as of June 30, 2022 and the results of operations for the three and six months ended June 30, 2022 and 2021. The results of operations for the three and six months ended June 30, 2022 are not necessarily indicative of results expected for the full year. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been omitted pursuant to the rules and regulations of the SEC. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021. The accounting policies employed are substantially the same as those shown in note 2 to the consolidated financial statements included therein. For the three and six months ended June 30, 2022 and 2021, there were no items of other comprehensive income. Therefore, the Company did not present comprehensive income. The Company evaluates all partnerships, joint ventures, and other arrangements with variable interests to determine if the entity or arrangement qualifies as a variable interest entity ("VIE"), as defined in the Financial Accounting Standard Board's ("FASB") Accounting Standards Codification ("ASC"). If the entity or arrangement qualifies as a VIE and the Company is determined to be the primary beneficiary, the Company is required to consolidate the assets, liabilities, and results of operations of the VIE. At June 30, 2022, the Company had no investments or interests in any VIEs. |
Transactions with Norfolk South
Transactions with Norfolk Southern Railway Company | 6 Months Ended |
Jun. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
TRANSACTIONS WITH NORFOLK SOUTHERN RAILWAY COMPANY | TRANSACTIONS WITH NORFOLK SOUTHERN RAILWAY COMPANY On March 1, 2019, the Company entered into a series of agreements and executed related transactions with Norfolk Southern Railway Company (“NS”) as follows: • Sold land to NS for $52.5 million. • Executed a Development Agreement with NS whereby the Company receives fees totaling $5.0 million in consideration for development services for NS’s corporate headquarters that has been constructed on the land sold to NS. • Executed a Consulting Agreement with NS whereby the Company receives fees totaling $32.0 million in consideration for consulting services for NS’s corporate headquarters. The Development Agreement and Consulting Agreement are collectively referred to below as the “Fee Agreements.” • Purchased a building from NS (“Promenade Central”) for $82.0 million subject to a three-year market rate lease with NS that covered the entire building and expired December 31, 2021. The Company sold the land to NS for $5.0 million above its carrying amount, which included $37.0 million of land purchased in 2018, $6.5 million of land purchased in 2019, and $4.0 million of site preparation work. The Company purchased Promenade Central from NS for an amount it determined to be $10.3 million below the building’s fair value. |
Real Estate
Real Estate | 6 Months Ended |
Jun. 30, 2022 | |
Real Estate [Abstract] | |
REAL ESTATE | REAL ESTATE Acquisitions On March 12, 2021, a 95% owned consolidated joint venture acquired a 0.24 acre land parcel in Atlanta for a gross purchase price of $8.0 million. On April 21, 2022, the Company purchased its partner's 10% joint venture interest in HICO Avalon, LLC and HICO Avalon II, LLC, which consisted of the 8000 and 10000 Avalon office properties. This transaction did not result in a change in control and any difference between the purchase price of $43.4 million, which included a promote to our partner related to increases in fair value in excess of cost, and the $15.7 million book value of the outside partner's non-controlling interest is recorded as additional paid in capital in the equity section of the Company's consolidated balance sheet. The Company's consolidated basis in Avalon's assets and liabilities was unchanged by this transaction. Dispositions On April 7, 2021, the Company sold Burnett Plaza in Fort Worth for a gross sales price of $137.5 million and recorded a loss of $19,000. Impairment The Company tests buildings held for investment, by disposal groups, for impairment whenever changes in circumstances indicate a disposal group’s carrying value may not be recoverable. The test is conducted using undiscounted cash flows for the shorter of the building’s estimated hold period or its remaining useful life. When testing for recoverability of value of buildings held for investment, projected cash flows are used over its expected hold period. If the expected hold period includes some likelihood of shorter-term hold period from a potential sale, the probability of a sale is layered into the analysis. If any building's held-for-investment analysis were to fail the impairment test, its book value would be written down to its then current estimated fair value, before any selling expense, and that building would continue to depreciate over its remaining useful life. None of the Company’s held-for-investment buildings were impaired during any periods presented in the accompanying statement of operations while under the held-for-investment classification. The Company also reviews held-for-sale assets, if any, for impairments. If book value is in excess of estimated fair value less estimated selling costs, we impair those assets to fair value less estimated selling costs. There were no held-for-sale buildings impaired during any periods presented in the accompanying statements of operations. The Company also reviews land and projects under development for impairment whenever changes in circumstances indicate the assets' carrying value may not be recoverable. None of the Company's investments in land or projects under development were impaired during any periods presented in the accompanying statement of operations. The Company may record impairment charges in future periods if the economy and the office industry weakens, the operating results of individual buildings are materially different from our forecasts, or we shorten our contemplated hold period for any operating buildings. |
Investment in Unconsolidated Jo
Investment in Unconsolidated Joint Ventures | 6 Months Ended |
Jun. 30, 2022 | |
Equity Method Investments and Joint Ventures [Abstract] | |
INVESTMENT IN UNCONSOLIDATED JOINT VENTURES | INVESTMENT IN UNCONSOLIDATED JOINT VENTURES The following information summarizes financial data and principal activities of the Company's unconsolidated joint ventures. The information included in the following table entitled summary of financial position is as of June 30, 2022 and December 31, 2021 (in thousands). SUMMARY OF FINANCIAL POSITION Total Assets Total Debt Total Equity (Deficit) Company's Investment 2022 2021 2022 2021 2022 2021 2022 2021 Operating Properties: AMCO 120 WT Holdings, LLC $ 83,357 $ 83,546 $ — $ — $ 81,795 $ 82,739 $ 15,116 $ 15,347 Carolina Square Holdings LP 109,891 113,011 132,012 132,654 (36,021) (34,066) (16,927) (1) (15,786) (1) Crawford Long - CPI, LLC 25,564 24,709 63,744 64,566 (39,897) (40,221) (19,235) (1) (19,356) (1) Under Development: Neuhoff Holdings LLC 248,003 133,691 43,648 28,390 162,511 93,218 83,805 47,529 Land: 715 Ponce Holdings LLC 8,274 8,150 — — 8,248 8,150 4,219 4,165 HICO Victory Center LP 150 16,421 — — 150 15,962 75 10,723 Other: Other — 518 — — — 11 — 47 $ 475,239 $ 380,046 $ 239,404 $ 225,610 $ 176,786 $ 125,793 $ 67,053 $ 42,669 (1) Negative bases are included in deferred income on the consolidated balance sheets. The information included in the summary of operations table is for the six months ended June 30, 2022 and 2021 (in thousands). SUMMARY OF OPERATIONS Total Revenues Net Income (Loss) Company's Income (Loss) 2022 2021 2022 2021 2022 2021 Operating Properties: AMCO 120 WT Holdings, LLC $ 5,160 $ 4,140 $ 1,397 $ (116) $ 271 $ (29) Carolina Square Holdings LP 7,860 8,789 722 1,518 304 704 Crawford Long - CPI, LLC 6,480 6,369 2,324 2,028 1,091 935 Under Development: Neuhoff Holdings LLC 69 — 58 — 29 — Land: 715 Ponce Holdings LLC 138 — 99 — 49 — HICO Victory Center LP 72 164 6,853 164 4,557 84 Other: Other 28 13,946 (12) 4,304 103 2,004 $ 19,807 $ 33,408 $ 11,441 $ 7,898 $ 6,404 $ 3,698 On June 30, 2022, HICO Victory Center LP sold a 3.0 acre land parcel, in Uptown Dallas, held in an unconsolidated joint venture for a gross price of $23.1 million. The Company's share of the gain from the transaction was $4.5 million and is included in income from unconsolidated joint ventures on the statements of operations. In March 2021, Carolina Square Holdings LP ("Carolina Square"), a 50% owned joint venture with NR 123 Franklin LLC ("Northwood Ravin"), issued a non-recourse mortgage note with a principal balance of $135.7 million. Proceeds from the issuance of this mortgage note were used to repay in full its $77.5 million construction loan that was set to mature May 1, 2021 and to make a pro-rata distribution of $26.0 million to each partner. The mortgage loan bears interest at the London Interbank Offered Rate ("LIBOR") plus 1.80% and matures on March 18, 2026. |
Intangible Assets and Liabiliti
Intangible Assets and Liabilities | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS AND LIABILITIES | INTANGIBLE ASSETS AND LIABILITIES At June 30, 2022 and December 31, 2021, intangible assets included the following (in thousands): 2022 2021 In-place leases, net of accumulated amortization of $129,933 and $134,930 in 2022 and 2021, respectively $ 115,148 $ 129,538 Below-market ground lease, net of accumulated amortization of $1,660 and $1,449 in 2022 and 2021, respectively 17,593 17,804 Above-market rents, net of accumulated amortization of $24,097 and $25,423 in 2022 and 2021, respectively 17,135 19,537 Goodwill 1,674 1,674 $ 151,550 $ 168,553 At June 30, 2022 and December 31, 2021, intangible liabilities included the following (in thousands): 2022 2021 Below-market rents, net of accumulated amortization of $48,426 and $55,079 in 2022 and 2021, respectively $ 57,327 $ 63,223 Aggregate net amortization expense related to intangible assets and liabilities for the three and six months ended June 30, 2022 was $5.5 million and $11.1 million, respectively. Aggregate net amortization expense related to intangible assets and liabilities for the three and six months ended June 30, 2021 was $8.3 million and $16.3 million, respectively. Over the next five years and thereafter, aggregate amortization of these intangible assets and liabilities is anticipated to be as follows (in thousands): In-Place Below-Market Ground Lease Above-Market Rents Below-Market 2022 (six months) $ 12,775 $ 200 $ 2,144 $ (5,116) 2023 23,101 400 3,771 (9,629) 2024 19,116 400 3,009 (8,908) 2025 15,387 400 2,015 (8,347) 2026 12,097 400 1,592 (6,594) Thereafter 32,672 15,793 4,604 (18,733) $ 115,148 $ 17,593 $ 17,135 $ (57,327) The carrying amount of goodwill did not change during the three and six months ended June 30, 2022 and 2021. |
Other Assets
Other Assets | 6 Months Ended |
Jun. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
OTHER ASSETS | OTHER ASSETS Other assets on the consolidated balance sheets as of June 30, 2022 and December 31, 2021 included the following (in thousands): 2022 2021 Predevelopment costs $ 28,595 $ 20,677 Furniture, fixtures and equipment and other deferred costs, net of accumulated depreciation of $20,198 and $18,560 in 2022 and 2021, respectively 12,536 13,772 Prepaid expenses and other assets 11,333 6,998 Lease inducements, net of accumulated amortization of $4,399 and $3,721 in 2022 and 2021, respectively 6,851 5,735 Credit Facility deferred financing costs, net of accumulated amortization of $6,734 and $5,976 in 2022 and 2021, respectively 5,900 1,507 $ 65,215 $ 48,689 Predevelopment costs represent amounts that are capitalized related to predevelopment projects that the Company determined are probable of future development. Lease inducements are incentives paid to tenants in conjunction with leasing space, such as moving costs, sublease arrangements of prior space, and other costs. These amounts are amortized into rental revenues over the individual underlying lease terms. |
Notes Payable
Notes Payable | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | NOTES PAYABLE The following table summarizes the terms of notes payable outstanding at June 30, 2022 and December 31, 2021 ($ in thousands): Description Interest Rate (1) Maturity (2) 2022 2021 Unsecured Notes: Term Loan, Unsecured 2.63% 2024 $ 350,000 $ 350,000 Credit Facility, Unsecured 2.40% 2027 306,000 228,500 2019 Senior Notes, Unsecured 3.95% 2029 275,000 275,000 2017 Senior Notes, Unsecured 3.91% 2025 250,000 250,000 2019 Senior Notes, Unsecured 3.86% 2028 250,000 250,000 2019 Senior Notes, Unsecured 3.78% 2027 125,000 125,000 2017 Senior Notes, Unsecured 4.09% 2027 100,000 100,000 1,656,000 1,578,500 Secured Mortgage Notes: Fifth Third Center 3.37% 2026 131,934 133,672 Colorado Tower 3.45% 2026 110,862 112,150 Terminus 100 5.25% 2023 109,953 111,678 Promenade Tower 4.27% 2022 87,224 89,052 Domain 10 3.75% 2024 75,475 76,412 Terminus 200 3.79% 2023 71,640 72,561 Legacy Union One 4.24% 2023 66,000 66,000 653,088 661,525 $ 2,309,088 $ 2,240,025 Unamortized premium 1,995 3,910 Unamortized loan costs (5,446) (6,426) Total Notes Payable $ 2,305,637 $ 2,237,509 (1) Interest rate as of June 30, 2022. (2) Weighted average maturity of notes payable outstanding at June 30, 2022 was 3.9 years. Credit Facility Through May 2, 2022, the Company had a $1 billion senior unsecured line of credit (the "Credit Facility") that was scheduled to mature on January 3, 2023. The Credit Facility contained financial covenants that required, among other things, the maintenance of unencumbered interest coverage ratio of at least 1.75x; a fixed charge coverage ratio of at least 1.50x; a secured leverage ratio of no more than 40%; and an overall leverage ratio of no more than 60%. The Credit Facility also contained customary representations and warranties and affirmative and negative covenants, as well as customary events of default. The interest rate applicable to the Credit Facility varied according to the Company's leverage ratio and was, at the election of the Company, determined based on either (1) LIBOR plus a spread of between 1.05% and 1.45%, or (2) the greater of Bank of America's prime rate, the federal funds rate plus 0.50%, or the one-month LIBOR plus 1.0% (the "Base Rate"), plus a spread of between 0.10% and 0.45%, based on leverage. The Company's Credit Facility provided for alternate interest rate calculations based on metrics other than LIBOR, such as the Secured Overnight Financing Rate ("SOFR"), if LIBOR was no longer widely available. On May 2, 2022, the Company entered into a Fifth Amended and Restated Credit Agreement (the "New Facility") under which the Company may borrow up to $1 billion if certain conditions are satisfied. The New Facility recasts the Credit Facility by, among other things, extending the maturity date from January 3, 2023, to April 30, 2027, and reducing certain per annum variable interest rate spreads and other fees. The New Facility contains financial covenants consistent with those of the Credit Facility, with the exception of an increase in the secured leverage ratio to no more than 50%. The interest rate applicable to the New Facility varies according to the Company's leverage ratio and may, at the election of the Company, be determined based on either (1) the Daily or Term SOFR, plus a SOFR adjustment of 0.10% ("Adjusted SOFR") and a spread of between 0.90% and 1.40%, or (2) the greater of Bank of America's prime rate, the federal funds rate plus 0.50%, Term SOFR, plus a SOFR adjustment of 0.10% and 1.00%, or 1.00%, plus a spread of between 0.00% and 0.40%, based on leverage. At June 30, 2022, the New Facility's spread over Adjusted SOFR was 0.90%. The amount that the Company may draw under the New Facility is a defined calculation based on the Company's unencumbered assets and other factors. The total available borrowing capacity under the New Facility was $694.0 million at June 30, 2022. The amounts outstanding under the New Facility may be accelerated upon the occurrence of any events of default. The Company is in compliance with all covenants of the New Facility. Term Loan On June 28, 2021, the Company entered into an Amended and Restated Term Loan Agreement (the "Term Loan") that amended the former term loan agreement. Under the Term Loan, the Company has borrowed $350 million that matures on August 30, 2024 with options to, on up to four successive occasions, extend the maturity date for an additional 180 days. The Term Loan has financial covenants consistent with those of the New Facility, with the exception of a secured leverage ratio of no more than 40%. The interest rate applicable to the Term Loan varies according to the Company’s leverage ratio and may, at the election of the Company, be determined based on either (1) the Eurodollar Rate Loans plus a spread of between 1.05% and 1.65%, (2) the current LIBOR Daily Floating plus a spread of between 1.05% and 1.65%, or (3) the interest rate applicable to Base Rate Loans plus a spread of between 0.05% and 0.65%. At June 30, 2022, the Term Loan's spread over LIBOR was 1.05%. The Company is in compliance with all covenants of the Term Loan. The Term Loan provides for alternate interest rate calculations based on metrics other than LIBOR, such as SOFR, if LIBOR is no longer widely available or should the alternative interest rate prove more favorable. Unsecured Senior Notes The Company has unsecured senior notes of $1.0 billion that were funded in five tranches. The first tranche of $100 million is due in 2027 and has a fixed annual interest rate of 4.09%. The second tranche of $250 million is due in 2025 and has a fixed annual interest rate of 3.91%. The third tranche of $125 million is due in 2027 and has a fixed annual interest rate of 3.78%. The fourth tranche of $250 million is due in 2028 and has a fixed annual interest rate of 3.86%. The fifth tranche of $275 million is due in 2029 and has a fixed annual interest rate of 3.95%. The unsecured senior notes contain financial covenants that are consistent with those of our Credit Facility. The senior notes also contain customary representations and warranties and affirmative and negative covenants, as well as customary events of default. The Company is in compliance with all covenants of the unsecured senior notes. Secured Mortgage Notes As of June 30, 2022, the Company had $653.1 million outstanding on seven non-recourse mortgage notes. All interest rates on the secured mortgage notes are fixed. Assets with depreciated carrying values of $1.1 billion were pledged as security, respectively, on these mortgage notes payable. Other Debt Information At June 30, 2022 and December 31, 2021, the estimated fair value of the Company’s notes payable was $2.2 billion and $2.3 billion, respectively, calculated by discounting the debt's remaining contractual cash flows at estimated rates at which similar loans could have been obtained at June 30, 2022 and December 31, 2021. The estimate of the current market rate, which is the most significant input in the discounted cash flow calculation, is intended to replicate debt of similar maturity and loan-to-value relationship. These fair value calculations are considered to be Level 2 under the guidelines as set forth in ASC 820, as the Company utilizes market rates for similar type loans from third party brokers. For the three and six months ended June 30, 2022 and 2021, interest expense was recorded as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Total interest incurred $ 20,140 $ 18,075 $ 39,116 $ 36,595 Interest capitalized (3,591) (1,419) (7,042) (2,731) Total interest expense $ 16,549 $ 16,656 $ 32,074 $ 33,864 |
Other Liabilities
Other Liabilities | 6 Months Ended |
Jun. 30, 2022 | |
Other Liabilities Disclosure [Abstract] | |
OTHER LIABILITIES | OTHER LIABILITIES Other liabilities on the consolidated balance sheets as of June 30, 2022 and December 31, 2021 included the following (in thousands): 2022 2021 Ground lease liability $ 49,386 $ 49,470 Prepaid rent 31,307 37,174 Security deposits 13,831 12,875 Restricted stock unit liability 1,123 7,314 Other liabilities 5,175 5,031 $ 100,822 $ 111,864 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Commitments The Company had outstanding performance bonds totaling $692,000 at June 30, 2022. As a lessor, the Company had $200.2 million in future obligations under leases to fund tenant improvements and other future construction obligations at June 30, 2022. Litigation The Company is subject to various legal proceedings, claims, and administrative proceedings arising in the ordinary course of business, some of which are expected to be covered by liability insurance. Management makes assumptions and estimates concerning the likelihood and amount of any potential loss relating to these matters using the latest information available. The Company records a liability for litigation if an unfavorable outcome is probable and the amount of loss or range of loss can be reasonably estimated. If an unfavorable outcome is probable and a reasonable estimate of the loss is a range, the Company accrues the best estimate within the range. If no amount within the range is a better estimate than any other amount, the Company accrues the minimum amount within the range. If an unfavorable outcome is probable but the amount of the loss cannot be reasonably estimated, the Company discloses the nature of the litigation and indicates that an estimate of the loss or range of loss cannot be made. If an unfavorable outcome is reasonably possible and the estimated loss is material, the Company discloses the nature and estimate of the possible loss of the litigation. The Company does not disclose information with respect to litigation where an unfavorable outcome is considered to be remote or where the estimated loss would not be material. Based on current expectations, such matters, both individually and in the aggregate, are not expected to have a material adverse effect on the liquidity, results of operations, business, or financial condition of the Company. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
STOCKHOLDERS' EQUITY | STOCKHOLDERS' EQUITYIn the third quarter of 2021, the Company entered into an Equity Distribution Agreement with six financial institutions known as an at-the-market stock offering program ("ATM program"), under which the Company may offer and sell shares of its common stock from time to time in "at-the-market" offerings with an aggregate gross sales price of up to $500 million. In connection with the ATM program, Cousins may, at its discretion, enter into forward equity sale agreements. The use of a forward equity sale agreement ("Forward Sales") would allow the Company to lock in a share price on the sale of shares of its common stock at the time the agreement is executed, but defer receiving the proceeds from the sale of shares until a later date, allowing the Company to better align such funding with its capital needs. Sales of shares of Cousins' stock through its banking relationships, if any, are made in amounts and at times to be determined by Cousins from time to time, but the Company has no obligation to sell any of the shares in the offering and may suspend sales in connection with the offering at any time. Sales of Cousins' common stock under Forward Sales, if undertaken, meet the derivatives and hedging guidance scope exception as the contracts are related to the Company's own stock. On June 29, 2022 the Company issued 2.6 million shares of common stock that had been executed under Forward Sales at an average price of $39.92 per share for gross proceeds of $105.1 million. To date the Company has issued 2.6 million shares under the ATM program and has generated cash proceeds of $101.4 million, net of $1.1 million of compensation to be paid with respect to such Forward Sales, $1.7 million of dividends owed during the period the Forward Sales were outstanding, and $900,000 of other transaction related costs. To the extent, prior to settlement, shares sold under Forward Sales were potentially dilutive during the period under the treasury stock method, the impact of such dilution is disclosed in the calculation included in Note 13. The Company did not have any outstanding Forward Sales for the sale of its common stock as of June 30, 2022. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE RECOGNITION | REVENUE RECOGNITION The Company categorizes its primary sources of revenue into revenue from contracts with customers and other revenue accounted for as leases under ASC 842 as follows: • Rental property revenues consist of (1) contractual revenues from leases recognized on a straight-line basis over the term of the respective lease; (2) percentage rents recognized once a specified sales target is achieved; (3) parking revenues; (4) termination fees; and (5) the reimbursement of the tenants' share of real estate taxes, insurance, and other operating expenses. The Company's leases typically include renewal options and are classified and accounted for as operating leases. Rental property revenues are accounted for in accordance with the guidance set forth in ASC 842. • Fee income consists of development fees, management fees, and leasing fees earned from unconsolidated joint ventures and from third parties. Fee income is accounted for in accordance with the guidance set forth in ASC 606. For the three and six months ended June 30, 2022, the Company recognized rental property revenues of $183.2 million and $366.4 million, respectively, of which $50.2 million and $103.0 million, respectively, represented variable rental revenue. For the three and six months ended June 30, 2021, the Company recognized rental property revenues of $181.8 million and $366.6 million, respectively, of which $48.2 million and $96.0 million, respectively, represented variable rental revenue. For the three and six months ended June 30, 2022, the Company recognized fee and other revenue of $2.5 million and $6.2 million, respectively. For the three and six months ended June 30, 2021, the Company recognized fee and other revenue of $4.9 million and $9.6 million, respectively. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION The Company maintains the Cousins Properties Incorporated 2019 Omnibus Incentive Stock Plan (the "2019 Plan") and the 2021 Employee Stock Purchase Plan ("ESPP") under which the Company has several types of stock-based compensation — restricted stock and restricted stock units ("RSUs") for key employees, and the opportunity for all employees to purchase Company stock through the ESPP. The Company's compensation expense for the three and six months ended June 30, 2022 relates to restricted stock and RSUs awarded in 2022, 2021, 2020, and 2019 and the ESPP. Compensation expense for the three and six months ended June 30, 2021 relates to restricted stock and RSUs awarded in 2021, 2020, 2019, and 2018. Restricted stock, the 2022 RSUs, 2021 RSUs, and the 2020 RSUs are equity-classified awards (settled in shares of the Company) for which compensation expense per share is fixed. The 2019 and 2018 RSUs are liability-classified awards (settled in cash) for which the expense fluctuates from period to period dependent, in part, on the Company's stock price. For the three and six months ended June 30, 2022 and 2021, stock-based compensation expense, net of forfeitures, was recorded as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Equity-classified awards: Restricted stock $ 789 $ 682 $ 1,569 $ 1,314 Market-based RSUs 936 586 2,148 1,359 Performance-based RSUs 312 218 684 474 Director grants 369 223 701 229 Employee Stock Purchase Plan 42 — 94 — Total equity-classified award expense, net of forfeitures 2,448 1,709 5,196 3,376 Liability-classified awards Time-vested RSUs (152) 211 (20) 373 Dividend equivalent units 4 26 19 52 Market-based RSUs — 657 — 770 Performance-based RSUs — 151 — 257 Total liability-classified award expense, net of forfeitures (148) 1,045 (1) 1,452 Total stock-based compensation expense, net of forfeitures $ 2,300 $ 2,754 $ 5,195 $ 4,828 Information on the Company's stock compensation plan, including information on the Company's equity-classified and liability-classified awards is discussed in note 15 of the notes to consolidated financial statements in the Company's Annual Report on Form 10-K for the year ended December 31, 2021. Grants of Equity-Classified Awards Under the 2019 Plan, in June 2022, the Company granted 44,549 shares of stock with a grant date value of $1.5 million to independent members of the Company's board of directors (the "Board") for their service as members of the Board. These shares vested on the issuance date, and the Company records the related expense over the directors' one year service period. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30, 2022 and 2021 (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Earnings per common share - basic: Numerator: Net income $ 34,164 $ 28,060 $ 62,327 $ 57,371 Net income attributable to noncontrolling interests in CPLP from continuing operations (6) (5) (12) (11) Net income attributable to other noncontrolling interests (106) 98 (279) (97) Net income available to common stockholders $ 34,052 $ 28,153 $ 62,036 $ 57,263 Denominator: Weighted average common shares - basic 148,837 148,665 148,788 148,644 Net income per common share - basic $ 0.23 $ 0.19 $ 0.42 $ 0.39 Earnings per common share - diluted: Numerator: Net income $ 34,164 $ 28,060 $ 62,327 $ 57,371 Net income attributable to other noncontrolling interests (106) 98 (279) (97) Net income available for common stockholders before allocation of net income attributable to noncontrolling interests in CPLP $ 34,058 $ 28,158 $ 62,048 $ 57,274 Denominator: Weighted average common shares - basic 148,837 148,665 148,788 148,644 Add: Potential dilutive common shares - stock options — — — 2 Potential dilutive common shares - restricted stock units, less shares assumed purchased at market price 280 50 277 45 Weighted average units of CPLP convertible into common shares 25 25 25 25 Weighted average common shares - diluted 149,142 148,740 149,090 148,716 Net income per common share - diluted $ 0.23 $ 0.19 $ 0.42 $ 0.39 Anti-dilutive stock options represent stock options whose exercise price exceeds the average market value of the Company's stock and are excluded from the calculation of diluted earnings per share. There were no anti-dilutive stock options for the three and six months ended June 30, 2022 and 2021. The treasury stock method resulted in no dilution related to the Forward Sales outstanding during the three and six months ended June 30, 2022 under the Company's ATM program or from shares expected to be issued under the ESPP. |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows - Supplemental Information | 6 Months Ended |
Jun. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
CONSOLIDATED STATEMENTS OF CASH FLOWS - SUPPLEMENTAL INFORMATION | CONSOLIDATED STATEMENTS OF CASH FLOWS - SUPPLEMENTAL INFORMATION Supplemental information related to the cash flows, including significant non-cash activity affecting the consolidated statement of cash flows, for the six months ended June 30, 2022 and 2021 is as follows (in thousands): 2022 2021 Interest paid $ 29,456 $ 34,159 Income taxes paid (1) — 155 Non-Cash Activity: Transfers from projects under development to operating properties 141,349 — Transfer from operating properties and related assets and liabilities to assets and — 249,365 Common stock dividends declared and accrued 48,522 46,152 (1) This represents state income taxes paid in conjunction with gains from sales transactions. The following table provides a reconciliation of cash, cash equivalents, and restricted cash recorded on the consolidated balance sheets to cash, cash equivalents, and restricted cash in the consolidated statements of cash flows (in thousands): June 30, 2022 December 31, 2021 Cash and cash equivalents $ 4,057 $ 8,937 Restricted cash 1,231 1,231 Total cash, cash equivalents, and restricted cash $ 5,288 $ 10,168 |
Reportable Segments
Reportable Segments | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
REPORTABLE SEGMENTS | REPORTABLE SEGMENTS The Company's segments are based on the method of internal reporting, which classifies operations by property type and geographical region. The segments by property type are Office and Non-Office. The segments by geographical region are Atlanta, Austin, Charlotte, Dallas, Phoenix, Tampa, and other markets. Included in other markets are properties located in Chapel Hill, Houston, Nashville, and Fort Worth (sold in April 2021). Included in Non-Office are retail and apartments in Chapel Hill and Atlanta, as well as the College Street Garage in Charlotte. In the third quarter of 2021, with the sale of the Company's One South at the Plaza office property, the Company reassessed the segment for the College Street Garage and began to treat it as Non-Office for all periods presented. These reportable segments represent an aggregation of operating segments reported to the Chief Operating Decision Maker based on similar economic characteristics that include the type of property and the geographical location. Each segment includes both consolidated operations and the Company's share of joint venture operations. Company management evaluates the performance of its reportable segments based in part on net operating income (“NOI”). NOI represents rental property revenues, less termination fees, less rental property operating expenses. NOI is not a measure of cash flows or operating results as measured by GAAP, is not indicative of cash available to fund cash needs, and should not be considered an alternative to cash flows as a measure of liquidity. All companies may not calculate NOI in the same manner. The Company considers NOI to be an appropriate supplemental measure to net income as it helps both management and investors understand the core operations of the Company's operating assets. NOI excludes fee income, other revenue, corporate general and administrative expenses, reimbursed expenses, interest expense, depreciation and amortization, impairments, gains/loss on sales of real estate, gain/loss on extinguishment of debt, transaction costs, and other non-operating items. Segment net income, amount of capital expenditures, and total assets are not presented in the following tables because management does not utilize these measures when analyzing its segments or when making resource allocation decisions. Information on the Company's segments along with a reconciliation of NOI to net income for the three and six months ended June 30, 2022 and 2021 are as follows (in thousands): Three Months Ended June 30, 2022 Office Non-Office Total Revenues: Atlanta $ 68,860 $ 439 $ 69,299 Austin 59,054 — 59,054 Charlotte 13,929 1,301 15,230 Dallas 4,132 — 4,132 Phoenix 13,533 — 13,533 Tampa 17,216 — 17,216 Other markets 7,622 1,180 8,802 Total segment revenues 184,346 2,920 187,266 Less: Company's share of rental property revenues from unconsolidated joint ventures (2,473) (1,619) (4,092) Total rental property revenues $ 181,873 $ 1,301 $ 183,174 Three Months Ended June 30, 2021 Office Non-Office Total Revenues: Atlanta $ 65,626 $ 396 $ 66,022 Austin 59,677 — 59,677 Charlotte 21,884 591 22,475 Dallas 4,531 — 4,531 Phoenix 12,482 — 12,482 Tampa 14,165 — 14,165 Other markets 9,026 1,530 10,556 Total segment revenues 187,391 2,517 189,908 Less: Company's share of rental property revenues from unconsolidated joint ventures (6,216) (1,926) (8,142) Total rental property revenues $ 181,175 $ 591 $ 181,766 Six Months Ended June 30, 2022 Office Non-Office Total Revenues: Atlanta $ 136,875 $ 861 $ 137,736 Austin 120,278 — 120,278 Charlotte 27,433 2,286 29,719 Dallas 8,328 — 8,328 Phoenix 26,963 — 26,963 Tampa 34,140 — 34,140 Other markets 14,949 2,539 17,488 Total segment revenues 368,966 5,686 374,652 Less: Company's share of rental property revenues from unconsolidated joint ventures (4,851) (3,400) (8,251) Total rental property revenues $ 364,115 $ 2,286 $ 366,401 Six Months Ended June 30, 2021 Office Non-Office Total Revenues: Atlanta $ 130,502 $ 670 $ 131,172 Austin 117,710 — 117,710 Charlotte 43,051 1,152 44,203 Dallas 9,014 — 9,014 Phoenix 25,220 — 25,220 Tampa 28,736 — 28,736 Other markets 23,123 2,775 25,898 Total segment revenues 377,356 4,597 381,953 Less: Company's share of rental property revenues from unconsolidated joint ventures (11,935) (3,445) (15,380) Total rental property revenues $ 365,421 $ 1,152 $ 366,573 NOI by reportable segment for the three and six months ended June 30, 2022 and 2021 are as follows (in thousands): Three Months Ended June 30, 2022 Office Non-Office Total Net Operating Income: Atlanta $ 46,506 $ 250 $ 46,756 Austin 36,565 — 36,565 Charlotte 10,246 972 11,218 Dallas 3,191 — 3,191 Phoenix 9,868 — 9,868 Tampa 10,643 — 10,643 Other markets 4,145 665 4,810 Total Net Operating Income $ 121,164 $ 1,887 $ 123,051 Three Months Ended June 30, 2021 Office Non-Office Total Net Operating Income: Atlanta $ 43,115 $ 159 $ 43,274 Austin 35,955 — 35,955 Charlotte 15,688 175 15,863 Dallas 3,571 — 3,571 Phoenix 8,928 — 8,928 Tampa 8,919 — 8,919 Other markets 5,254 941 6,195 Total Net Operating Income $ 121,430 $ 1,275 $ 122,705 Six Months Ended June 30, 2022 Office Non-Office Total Net Operating Income: Atlanta $ 90,679 $ 485 $ 91,164 Austin 72,932 — 72,932 Charlotte 20,258 1,615 21,873 Dallas 6,498 — 6,498 Phoenix 18,843 — 18,843 Tampa 21,334 — 21,334 Other markets 8,440 1,574 10,014 Total Net Operating Income $ 238,984 $ 3,674 $ 242,658 Six Months Ended June 30, 2021 Office Non-Office Total Net Operating Income: Atlanta $ 86,218 $ 253 $ 86,471 Austin 70,232 — 70,232 Charlotte 30,685 435 31,120 Dallas 7,122 — 7,122 Phoenix 17,953 — 17,953 Tampa 18,321 — 18,321 Other markets 12,795 1,815 14,610 Total Net Operating Income $ 243,326 $ 2,503 $ 245,829 The following reconciles Net Operating Income to net income for each of the periods presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Net Operating Income $ 123,051 $ 122,705 $ 242,658 $ 245,829 Net operating income from unconsolidated joint ventures (2,542) (5,437) (5,261) (10,191) Fee income 2,305 4,803 3,693 9,332 Termination fee income 449 782 1,911 824 Other income 201 68 2,484 282 Reimbursed expenses (677) (398) (1,037) (766) General and administrative expenses (6,996) (7,313) (15,059) (14,046) Interest expense (16,549) (16,656) (32,074) (33,864) Depreciation and amortization (69,861) (71,456) (140,605) (142,326) Other expenses (425) (824) (646) (1,414) Income from unconsolidated joint ventures 5,280 1,795 6,404 3,698 Gain on sales of investments in unconsolidated joint ventures — — — 39 Gain (loss) on investment property transactions 28 (9) (41) (26) Loss on extinguishment of debt (100) $ — (100) — Net income $ 34,164 $ 28,060 $ 62,327 $ 57,371 |
Description of Business and B_2
Description of Business and Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation: The condensed consolidated financial statements are unaudited and were prepared by the Company in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, these financial statements reflect all adjustments necessary (which adjustments are of a normal and recurring nature) for the fair presentation of the Company's financial position as of June 30, 2022 and the results of operations for the three and six months ended June 30, 2022 and 2021. The results of operations for the three and six months ended June 30, 2022 are not necessarily indicative of results expected for the full year. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been omitted pursuant to the rules and regulations of the SEC. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021. The accounting policies employed are substantially the same as those shown in note 2 to the consolidated financial statements included therein. |
Investment in Unconsolidated _2
Investment in Unconsolidated Joint Ventures (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Summary of Financial Data and Principal Activities of Unconsolidated Joint Ventures | The following information summarizes financial data and principal activities of the Company's unconsolidated joint ventures. The information included in the following table entitled summary of financial position is as of June 30, 2022 and December 31, 2021 (in thousands). SUMMARY OF FINANCIAL POSITION Total Assets Total Debt Total Equity (Deficit) Company's Investment 2022 2021 2022 2021 2022 2021 2022 2021 Operating Properties: AMCO 120 WT Holdings, LLC $ 83,357 $ 83,546 $ — $ — $ 81,795 $ 82,739 $ 15,116 $ 15,347 Carolina Square Holdings LP 109,891 113,011 132,012 132,654 (36,021) (34,066) (16,927) (1) (15,786) (1) Crawford Long - CPI, LLC 25,564 24,709 63,744 64,566 (39,897) (40,221) (19,235) (1) (19,356) (1) Under Development: Neuhoff Holdings LLC 248,003 133,691 43,648 28,390 162,511 93,218 83,805 47,529 Land: 715 Ponce Holdings LLC 8,274 8,150 — — 8,248 8,150 4,219 4,165 HICO Victory Center LP 150 16,421 — — 150 15,962 75 10,723 Other: Other — 518 — — — 11 — 47 $ 475,239 $ 380,046 $ 239,404 $ 225,610 $ 176,786 $ 125,793 $ 67,053 $ 42,669 (1) Negative bases are included in deferred income on the consolidated balance sheets. The information included in the summary of operations table is for the six months ended June 30, 2022 and 2021 (in thousands). SUMMARY OF OPERATIONS Total Revenues Net Income (Loss) Company's Income (Loss) 2022 2021 2022 2021 2022 2021 Operating Properties: AMCO 120 WT Holdings, LLC $ 5,160 $ 4,140 $ 1,397 $ (116) $ 271 $ (29) Carolina Square Holdings LP 7,860 8,789 722 1,518 304 704 Crawford Long - CPI, LLC 6,480 6,369 2,324 2,028 1,091 935 Under Development: Neuhoff Holdings LLC 69 — 58 — 29 — Land: 715 Ponce Holdings LLC 138 — 99 — 49 — HICO Victory Center LP 72 164 6,853 164 4,557 84 Other: Other 28 13,946 (12) 4,304 103 2,004 $ 19,807 $ 33,408 $ 11,441 $ 7,898 $ 6,404 $ 3,698 |
Intangible Assets and Liabili_2
Intangible Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | At June 30, 2022 and December 31, 2021, intangible assets included the following (in thousands): 2022 2021 In-place leases, net of accumulated amortization of $129,933 and $134,930 in 2022 and 2021, respectively $ 115,148 $ 129,538 Below-market ground lease, net of accumulated amortization of $1,660 and $1,449 in 2022 and 2021, respectively 17,593 17,804 Above-market rents, net of accumulated amortization of $24,097 and $25,423 in 2022 and 2021, respectively 17,135 19,537 Goodwill 1,674 1,674 $ 151,550 $ 168,553 |
Schedule of Intangible Liabilities | At June 30, 2022 and December 31, 2021, intangible liabilities included the following (in thousands): 2022 2021 Below-market rents, net of accumulated amortization of $48,426 and $55,079 in 2022 and 2021, respectively $ 57,327 $ 63,223 |
Aggregate amortization of intangible assets and liabilities | Over the next five years and thereafter, aggregate amortization of these intangible assets and liabilities is anticipated to be as follows (in thousands): In-Place Below-Market Ground Lease Above-Market Rents Below-Market 2022 (six months) $ 12,775 $ 200 $ 2,144 $ (5,116) 2023 23,101 400 3,771 (9,629) 2024 19,116 400 3,009 (8,908) 2025 15,387 400 2,015 (8,347) 2026 12,097 400 1,592 (6,594) Thereafter 32,672 15,793 4,604 (18,733) $ 115,148 $ 17,593 $ 17,135 $ (57,327) |
Other Assets (Tables)
Other Assets (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets | Other assets on the consolidated balance sheets as of June 30, 2022 and December 31, 2021 included the following (in thousands): 2022 2021 Predevelopment costs $ 28,595 $ 20,677 Furniture, fixtures and equipment and other deferred costs, net of accumulated depreciation of $20,198 and $18,560 in 2022 and 2021, respectively 12,536 13,772 Prepaid expenses and other assets 11,333 6,998 Lease inducements, net of accumulated amortization of $4,399 and $3,721 in 2022 and 2021, respectively 6,851 5,735 Credit Facility deferred financing costs, net of accumulated amortization of $6,734 and $5,976 in 2022 and 2021, respectively 5,900 1,507 $ 65,215 $ 48,689 |
Notes Payable (Tables)
Notes Payable (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Summary of Terms of Notes Payable | The following table summarizes the terms of notes payable outstanding at June 30, 2022 and December 31, 2021 ($ in thousands): Description Interest Rate (1) Maturity (2) 2022 2021 Unsecured Notes: Term Loan, Unsecured 2.63% 2024 $ 350,000 $ 350,000 Credit Facility, Unsecured 2.40% 2027 306,000 228,500 2019 Senior Notes, Unsecured 3.95% 2029 275,000 275,000 2017 Senior Notes, Unsecured 3.91% 2025 250,000 250,000 2019 Senior Notes, Unsecured 3.86% 2028 250,000 250,000 2019 Senior Notes, Unsecured 3.78% 2027 125,000 125,000 2017 Senior Notes, Unsecured 4.09% 2027 100,000 100,000 1,656,000 1,578,500 Secured Mortgage Notes: Fifth Third Center 3.37% 2026 131,934 133,672 Colorado Tower 3.45% 2026 110,862 112,150 Terminus 100 5.25% 2023 109,953 111,678 Promenade Tower 4.27% 2022 87,224 89,052 Domain 10 3.75% 2024 75,475 76,412 Terminus 200 3.79% 2023 71,640 72,561 Legacy Union One 4.24% 2023 66,000 66,000 653,088 661,525 $ 2,309,088 $ 2,240,025 Unamortized premium 1,995 3,910 Unamortized loan costs (5,446) (6,426) Total Notes Payable $ 2,305,637 $ 2,237,509 (1) Interest rate as of June 30, 2022. (2) Weighted average maturity of notes payable outstanding at June 30, 2022 was 3.9 years. |
Summary of Interest Recorded | For the three and six months ended June 30, 2022 and 2021, interest expense was recorded as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Total interest incurred $ 20,140 $ 18,075 $ 39,116 $ 36,595 Interest capitalized (3,591) (1,419) (7,042) (2,731) Total interest expense $ 16,549 $ 16,656 $ 32,074 $ 33,864 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Summary of Other Liabilities | Other liabilities on the consolidated balance sheets as of June 30, 2022 and December 31, 2021 included the following (in thousands): 2022 2021 Ground lease liability $ 49,386 $ 49,470 Prepaid rent 31,307 37,174 Security deposits 13,831 12,875 Restricted stock unit liability 1,123 7,314 Other liabilities 5,175 5,031 $ 100,822 $ 111,864 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Stock-based Compensation Expense, Net of Forfeitures | For the three and six months ended June 30, 2022 and 2021, stock-based compensation expense, net of forfeitures, was recorded as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Equity-classified awards: Restricted stock $ 789 $ 682 $ 1,569 $ 1,314 Market-based RSUs 936 586 2,148 1,359 Performance-based RSUs 312 218 684 474 Director grants 369 223 701 229 Employee Stock Purchase Plan 42 — 94 — Total equity-classified award expense, net of forfeitures 2,448 1,709 5,196 3,376 Liability-classified awards Time-vested RSUs (152) 211 (20) 373 Dividend equivalent units 4 26 19 52 Market-based RSUs — 657 — 770 Performance-based RSUs — 151 — 257 Total liability-classified award expense, net of forfeitures (148) 1,045 (1) 1,452 Total stock-based compensation expense, net of forfeitures $ 2,300 $ 2,754 $ 5,195 $ 4,828 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30, 2022 and 2021 (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Earnings per common share - basic: Numerator: Net income $ 34,164 $ 28,060 $ 62,327 $ 57,371 Net income attributable to noncontrolling interests in CPLP from continuing operations (6) (5) (12) (11) Net income attributable to other noncontrolling interests (106) 98 (279) (97) Net income available to common stockholders $ 34,052 $ 28,153 $ 62,036 $ 57,263 Denominator: Weighted average common shares - basic 148,837 148,665 148,788 148,644 Net income per common share - basic $ 0.23 $ 0.19 $ 0.42 $ 0.39 Earnings per common share - diluted: Numerator: Net income $ 34,164 $ 28,060 $ 62,327 $ 57,371 Net income attributable to other noncontrolling interests (106) 98 (279) (97) Net income available for common stockholders before allocation of net income attributable to noncontrolling interests in CPLP $ 34,058 $ 28,158 $ 62,048 $ 57,274 Denominator: Weighted average common shares - basic 148,837 148,665 148,788 148,644 Add: Potential dilutive common shares - stock options — — — 2 Potential dilutive common shares - restricted stock units, less shares assumed purchased at market price 280 50 277 45 Weighted average units of CPLP convertible into common shares 25 25 25 25 Weighted average common shares - diluted 149,142 148,740 149,090 148,716 Net income per common share - diluted $ 0.23 $ 0.19 $ 0.42 $ 0.39 |
Consolidated Statements of Ca_3
Consolidated Statements of Cash Flows - Supplemental Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Information Related to Cash Flows | Supplemental information related to the cash flows, including significant non-cash activity affecting the consolidated statement of cash flows, for the six months ended June 30, 2022 and 2021 is as follows (in thousands): 2022 2021 Interest paid $ 29,456 $ 34,159 Income taxes paid (1) — 155 Non-Cash Activity: Transfers from projects under development to operating properties 141,349 — Transfer from operating properties and related assets and liabilities to assets and — 249,365 Common stock dividends declared and accrued 48,522 46,152 (1) This represents state income taxes paid in conjunction with gains from sales transactions. |
Schedule of Reconciliation of Cash, Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents, and restricted cash recorded on the consolidated balance sheets to cash, cash equivalents, and restricted cash in the consolidated statements of cash flows (in thousands): June 30, 2022 December 31, 2021 Cash and cash equivalents $ 4,057 $ 8,937 Restricted cash 1,231 1,231 Total cash, cash equivalents, and restricted cash $ 5,288 $ 10,168 |
Schedule of Reconciliation of Cash, Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents, and restricted cash recorded on the consolidated balance sheets to cash, cash equivalents, and restricted cash in the consolidated statements of cash flows (in thousands): June 30, 2022 December 31, 2021 Cash and cash equivalents $ 4,057 $ 8,937 Restricted cash 1,231 1,231 Total cash, cash equivalents, and restricted cash $ 5,288 $ 10,168 |
Reportable Segments (Tables)
Reportable Segments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Reconciliation of Revenue from Segments to Consolidated | Segment net income, amount of capital expenditures, and total assets are not presented in the following tables because management does not utilize these measures when analyzing its segments or when making resource allocation decisions. Information on the Company's segments along with a reconciliation of NOI to net income for the three and six months ended June 30, 2022 and 2021 are as follows (in thousands): Three Months Ended June 30, 2022 Office Non-Office Total Revenues: Atlanta $ 68,860 $ 439 $ 69,299 Austin 59,054 — 59,054 Charlotte 13,929 1,301 15,230 Dallas 4,132 — 4,132 Phoenix 13,533 — 13,533 Tampa 17,216 — 17,216 Other markets 7,622 1,180 8,802 Total segment revenues 184,346 2,920 187,266 Less: Company's share of rental property revenues from unconsolidated joint ventures (2,473) (1,619) (4,092) Total rental property revenues $ 181,873 $ 1,301 $ 183,174 Three Months Ended June 30, 2021 Office Non-Office Total Revenues: Atlanta $ 65,626 $ 396 $ 66,022 Austin 59,677 — 59,677 Charlotte 21,884 591 22,475 Dallas 4,531 — 4,531 Phoenix 12,482 — 12,482 Tampa 14,165 — 14,165 Other markets 9,026 1,530 10,556 Total segment revenues 187,391 2,517 189,908 Less: Company's share of rental property revenues from unconsolidated joint ventures (6,216) (1,926) (8,142) Total rental property revenues $ 181,175 $ 591 $ 181,766 Six Months Ended June 30, 2022 Office Non-Office Total Revenues: Atlanta $ 136,875 $ 861 $ 137,736 Austin 120,278 — 120,278 Charlotte 27,433 2,286 29,719 Dallas 8,328 — 8,328 Phoenix 26,963 — 26,963 Tampa 34,140 — 34,140 Other markets 14,949 2,539 17,488 Total segment revenues 368,966 5,686 374,652 Less: Company's share of rental property revenues from unconsolidated joint ventures (4,851) (3,400) (8,251) Total rental property revenues $ 364,115 $ 2,286 $ 366,401 Six Months Ended June 30, 2021 Office Non-Office Total Revenues: Atlanta $ 130,502 $ 670 $ 131,172 Austin 117,710 — 117,710 Charlotte 43,051 1,152 44,203 Dallas 9,014 — 9,014 Phoenix 25,220 — 25,220 Tampa 28,736 — 28,736 Other markets 23,123 2,775 25,898 Total segment revenues 377,356 4,597 381,953 Less: Company's share of rental property revenues from unconsolidated joint ventures (11,935) (3,445) (15,380) Total rental property revenues $ 365,421 $ 1,152 $ 366,573 |
Reconciliation of NOI to Net Income Available to Common Stockholders | NOI by reportable segment for the three and six months ended June 30, 2022 and 2021 are as follows (in thousands): Three Months Ended June 30, 2022 Office Non-Office Total Net Operating Income: Atlanta $ 46,506 $ 250 $ 46,756 Austin 36,565 — 36,565 Charlotte 10,246 972 11,218 Dallas 3,191 — 3,191 Phoenix 9,868 — 9,868 Tampa 10,643 — 10,643 Other markets 4,145 665 4,810 Total Net Operating Income $ 121,164 $ 1,887 $ 123,051 Three Months Ended June 30, 2021 Office Non-Office Total Net Operating Income: Atlanta $ 43,115 $ 159 $ 43,274 Austin 35,955 — 35,955 Charlotte 15,688 175 15,863 Dallas 3,571 — 3,571 Phoenix 8,928 — 8,928 Tampa 8,919 — 8,919 Other markets 5,254 941 6,195 Total Net Operating Income $ 121,430 $ 1,275 $ 122,705 Six Months Ended June 30, 2022 Office Non-Office Total Net Operating Income: Atlanta $ 90,679 $ 485 $ 91,164 Austin 72,932 — 72,932 Charlotte 20,258 1,615 21,873 Dallas 6,498 — 6,498 Phoenix 18,843 — 18,843 Tampa 21,334 — 21,334 Other markets 8,440 1,574 10,014 Total Net Operating Income $ 238,984 $ 3,674 $ 242,658 Six Months Ended June 30, 2021 Office Non-Office Total Net Operating Income: Atlanta $ 86,218 $ 253 $ 86,471 Austin 70,232 — 70,232 Charlotte 30,685 435 31,120 Dallas 7,122 — 7,122 Phoenix 17,953 — 17,953 Tampa 18,321 — 18,321 Other markets 12,795 1,815 14,610 Total Net Operating Income $ 243,326 $ 2,503 $ 245,829 The following reconciles Net Operating Income to net income for each of the periods presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Net Operating Income $ 123,051 $ 122,705 $ 242,658 $ 245,829 Net operating income from unconsolidated joint ventures (2,542) (5,437) (5,261) (10,191) Fee income 2,305 4,803 3,693 9,332 Termination fee income 449 782 1,911 824 Other income 201 68 2,484 282 Reimbursed expenses (677) (398) (1,037) (766) General and administrative expenses (6,996) (7,313) (15,059) (14,046) Interest expense (16,549) (16,656) (32,074) (33,864) Depreciation and amortization (69,861) (71,456) (140,605) (142,326) Other expenses (425) (824) (646) (1,414) Income from unconsolidated joint ventures 5,280 1,795 6,404 3,698 Gain on sales of investments in unconsolidated joint ventures — — — 39 Gain (loss) on investment property transactions 28 (9) (41) (26) Loss on extinguishment of debt (100) $ — (100) — Net income $ 34,164 $ 28,060 $ 62,327 $ 57,371 |
Description of Business and B_3
Description of Business and Basis of Presentation - Description of Business (Details) ft² in Thousands | 6 Months Ended |
Jun. 30, 2022 ft² | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Distribution of taxable income to qualify as REIT, percentage | 100% |
Portfolio of real estate assets, office space area | 18,700 |
Portfolio of real estate assets, retail space area | 620 |
CPLP | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |
Percentage of partnership units owned by the company (more than) | 99% |
Transactions with Norfolk Sou_2
Transactions with Norfolk Southern Railway Company (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Mar. 01, 2019 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Assets | $ 7,380,124,000 | $ 7,380,124,000 | $ 7,312,034,000 | |||||
Deferred income | 75,226,000 | 75,226,000 | 74,515,000 | |||||
NS | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Contract price that is expected to be recognized as revenue | $ 52,300,000 | |||||||
Revenue recognized | 1,400,000 | $ 4,200,000 | 2,200,000 | $ 7,900,000 | ||||
Deferred income | $ 0 | 0 | $ 1,800,000 | |||||
Contract with customer, liability, revenue recognized | $ 1,000,000 | |||||||
Promenade Central | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Assets | 92,300,000 | |||||||
Land | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Property purchased | $ 6,500,000 | $ 37,000,000 | ||||||
Site Preparation Work | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Property purchased | 4,000,000 | |||||||
NS | Promenade Central | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Purchase of a building | $ 82,000,000 | |||||||
Lease term | 3 years | |||||||
Discount on service contract price | $ 10,300,000 | |||||||
Gain or loss on derecognition of non financial asset fair value | 0 | |||||||
Consideration for the various services component | 52,300,000 | |||||||
NS | Fees for development services | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Contract fees | 5,000,000 | |||||||
NS | Fees for consulting services | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Contract fees | 32,000,000 | |||||||
NS | Development agreement | Promenade Central | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Cash consideration for various services contract | 5,000,000 | |||||||
NS | Consulting agreement | Promenade Central | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Cash consideration for various services contract | 32,000,000 | |||||||
NS | Land | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Proceeds from sale of property | 52,500,000 | |||||||
Gain from sale of property | 5,000,000 | |||||||
NS | Land | Promenade Central | ||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||
Cash consideration for various services contract | $ 5,000,000 |
Real Estate (Details)
Real Estate (Details) $ in Thousands | 6 Months Ended | ||||
Apr. 21, 2022 USD ($) | Apr. 07, 2021 USD ($) | Mar. 12, 2021 USD ($) a | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Payments to acquire interest in joint venture | $ 31,892 | $ 656 | |||
Burnett Plaza | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Sales price | $ 137,500 | ||||
Loss from sale of property | $ 19 | ||||
Atlanta Land Purchase | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Ownership percentage of partner in joint venture | 95% | ||||
Area of property | a | 0.24 | ||||
Payments to acquire businesses, gross | $ 8,000 | ||||
HICO Avalon, LLC And HICO Avalon II | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Ownership percentage of partner in joint venture | 10% | ||||
Payments to acquire interest in joint venture | $ 43,400 | ||||
Book value of non-controlling interest | $ 15,700 |
Investment in Unconsolidated _3
Investment in Unconsolidated Joint Ventures - Summary of Financial Position and Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | $ 7,380,124 | $ 7,380,124 | $ 7,312,034 | ||
Total Equity (Deficit) | 4,612,095 | 4,612,095 | 4,566,770 | ||
Income Statement [Abstract] | |||||
Total Revenues | 185,680 | $ 186,637 | 372,578 | $ 376,187 | |
Net Income (Loss) | 34,052 | $ 28,153 | 62,036 | 57,263 | |
Equity Method Investment, Nonconsolidated Investee or Group of Investees | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 475,239 | 475,239 | 380,046 | ||
Total Debt | 239,404 | 239,404 | 225,610 | ||
Total Equity (Deficit) | 176,786 | 176,786 | 125,793 | ||
Company's Investment | 67,053 | 67,053 | 42,669 | ||
Income Statement [Abstract] | |||||
Total Revenues | 19,807 | 33,408 | |||
Net Income (Loss) | 11,441 | 7,898 | |||
Company's Income (Loss) from Investment | 6,404 | 3,698 | |||
AMCO 120 WT Holdings, LLC | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 83,357 | 83,357 | 83,546 | ||
Total Debt | 0 | 0 | 0 | ||
Total Equity (Deficit) | 81,795 | 81,795 | 82,739 | ||
Company's Investment | 15,116 | 15,116 | 15,347 | ||
Income Statement [Abstract] | |||||
Total Revenues | 5,160 | 4,140 | |||
Net Income (Loss) | 1,397 | (116) | |||
Company's Income (Loss) from Investment | 271 | (29) | |||
Carolina Square Holdings LP | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 109,891 | 109,891 | 113,011 | ||
Total Debt | 132,012 | 132,012 | 132,654 | ||
Total Equity (Deficit) | (36,021) | (36,021) | (34,066) | ||
Company's Investment | (16,927) | (16,927) | (15,786) | ||
Income Statement [Abstract] | |||||
Total Revenues | 7,860 | 8,789 | |||
Net Income (Loss) | 722 | 1,518 | |||
Company's Income (Loss) from Investment | 304 | 704 | |||
Crawford Long - CPI, LLC | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 25,564 | 25,564 | 24,709 | ||
Total Debt | 63,744 | 63,744 | 64,566 | ||
Total Equity (Deficit) | (39,897) | (39,897) | (40,221) | ||
Company's Investment | (19,235) | (19,235) | (19,356) | ||
Income Statement [Abstract] | |||||
Total Revenues | 6,480 | 6,369 | |||
Net Income (Loss) | 2,324 | 2,028 | |||
Company's Income (Loss) from Investment | 1,091 | 935 | |||
Neuhoff Holdings LLC | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 248,003 | 248,003 | 133,691 | ||
Total Debt | 43,648 | 43,648 | 28,390 | ||
Total Equity (Deficit) | 162,511 | 162,511 | 93,218 | ||
Company's Investment | 83,805 | 83,805 | 47,529 | ||
Income Statement [Abstract] | |||||
Total Revenues | 69 | 0 | |||
Net Income (Loss) | 58 | 0 | |||
Company's Income (Loss) from Investment | 29 | 0 | |||
715 Ponce Holdings LLC | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 8,274 | 8,274 | 8,150 | ||
Total Debt | 0 | 0 | 0 | ||
Total Equity (Deficit) | 8,248 | 8,248 | 8,150 | ||
Company's Investment | 4,219 | 4,219 | 4,165 | ||
Income Statement [Abstract] | |||||
Total Revenues | 138 | 0 | |||
Net Income (Loss) | 99 | 0 | |||
Company's Income (Loss) from Investment | 49 | 0 | |||
HICO Victory Center LP | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 150 | 150 | 16,421 | ||
Total Debt | 0 | 0 | 0 | ||
Total Equity (Deficit) | 150 | 150 | 15,962 | ||
Company's Investment | 75 | 75 | 10,723 | ||
Income Statement [Abstract] | |||||
Total Revenues | 72 | 164 | |||
Net Income (Loss) | 6,853 | 164 | |||
Company's Income (Loss) from Investment | 4,557 | 84 | |||
Other | |||||
Equity Method Investment Summarized Financial Information Financial Position [Abstract] | |||||
Total Assets | 0 | 0 | 518 | ||
Total Debt | 0 | 0 | 0 | ||
Total Equity (Deficit) | 0 | 0 | 11 | ||
Company's Investment | $ 0 | 0 | $ 47 | ||
Income Statement [Abstract] | |||||
Total Revenues | 28 | 13,946 | |||
Net Income (Loss) | (12) | 4,304 | |||
Company's Income (Loss) from Investment | $ 103 | $ 2,004 |
Investment in Unconsolidated _4
Investment in Unconsolidated Joint Ventures - Narrative (Details) $ in Thousands | 1 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 USD ($) a | Mar. 31, 2021 USD ($) | Jun. 30, 2022 USD ($) a | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||||
Notes payable | $ 2,305,637 | $ 2,305,637 | $ 2,237,509 | ||
Repayments of notes payable | $ 8,436 | $ 8,102 | |||
Carolina Square Holdings LP | Mortgages | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Notes payable | $ 135,700 | ||||
Carolina Square Holdings LP | Mortgages | LIBOR | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Basis spread on variable rate | 1.80% | ||||
Carolina Square Holdings LP | Construction Loan | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Repayments of notes payable | $ 77,500 | ||||
Pro-rata distribution | $ 26,000 | ||||
Carolina Square Holdings LP | NR 123 Franklin LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage of partner in joint venture | 50% | ||||
Uptown Dallas Land | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Area of property | a | 3 | 3 | |||
Sales price | $ 23,100 | $ 23,100 | |||
Gain from sale of property | $ 4,500 |
Intangible Assets and Liabili_3
Intangible Assets and Liabilities - Intangible Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Goodwill | $ 1,674 | $ 1,674 |
Total intangible assets | 151,550 | 168,553 |
In-Place Leases | ||
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | 129,933 | 134,930 |
Finite-lived intangible assets, net | 115,148 | 129,538 |
Below-Market Ground Lease | ||
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | 1,660 | 1,449 |
Finite-lived intangible assets, net | 17,593 | 17,804 |
Above-Market Rents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | 24,097 | 25,423 |
Finite-lived intangible assets, net | $ 17,135 | $ 19,537 |
Intangible Assets and Liabili_4
Intangible Assets and Liabilities - Intangible Liabilities (Details) - Below-Market Rents - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | $ (48,426) | $ (55,079) |
Finite-lived intangible liabilities, net | $ 57,327 | $ 63,223 |
Intangible Assets and Liabili_5
Intangible Assets and Liabilities - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Net amortization expense of intangible assets and liabilities | $ 5.5 | $ 16.3 | $ 11.1 | $ 8.3 |
Intangible Assets and Liabili_6
Intangible Assets and Liabilities - Intangibles - Future Amortization (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Below-Market Rents | ||
Future Amortization of Intangible Liabilities: | ||
2022 (six months) | $ (5,116) | |
2023 | (9,629) | |
2024 | (8,908) | |
2025 | (8,347) | |
2026 | (6,594) | |
Thereafter | (18,733) | |
Finite-lived intangible liabilities, net | (57,327) | $ (63,223) |
In-Place Leases | ||
Future Amortization of Intangible Assets: | ||
2022 (six months) | 12,775 | |
2023 | 23,101 | |
2024 | 19,116 | |
2025 | 15,387 | |
2026 | 12,097 | |
Thereafter | 32,672 | |
Finite-lived intangible assets, net | 115,148 | 129,538 |
Below-Market Ground Lease | ||
Future Amortization of Intangible Assets: | ||
2022 (six months) | 200 | |
2023 | 400 | |
2024 | 400 | |
2025 | 400 | |
2026 | 400 | |
Thereafter | 15,793 | |
Finite-lived intangible assets, net | 17,593 | 17,804 |
Above-Market Rents | ||
Future Amortization of Intangible Assets: | ||
2022 (six months) | 2,144 | |
2023 | 3,771 | |
2024 | 3,009 | |
2025 | 2,015 | |
2026 | 1,592 | |
Thereafter | 4,604 | |
Finite-lived intangible assets, net | $ 17,135 | $ 19,537 |
Other Assets - Schedule of Othe
Other Assets - Schedule of Other Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Accumulated depreciation of furniture, fixtures and equipment, leasehold improvements, and other deferred costs | $ 20,198 | $ 18,560 |
Accumulated amortization of lease inducements | 4,399 | 3,721 |
Accumulated amortization of line of credit deferred financing costs | 6,734 | 5,976 |
Predevelopment costs | 28,595 | 20,677 |
Furniture, fixtures and equipment and other deferred costs, net of accumulated depreciation of $20,198 and $18,560 in 2022 and 2021, respectively | 12,536 | 13,772 |
Prepaid expenses and other assets | 11,333 | 6,998 |
Lease inducements, net of accumulated amortization of $4,399 and $3,721 in 2022 and 2021, respectively | 6,851 | 5,735 |
Credit Facility deferred financing costs, net of accumulated amortization of $6,734 and $5,976 in 2022 and 2021, respectively | 5,900 | 1,507 |
Total other assets | $ 65,215 | $ 48,689 |
Notes Payable - Terms of Notes
Notes Payable - Terms of Notes Payable (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | ||
Notes payable, gross | $ 2,309,088 | $ 2,240,025 |
Unamortized premium | 1,995 | 3,910 |
Unamortized loan costs | (5,446) | (6,426) |
Total Notes Payable | $ 2,305,637 | 2,237,509 |
Weighted average maturity of notes payable | 3 years 10 months 24 days | |
Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Notes payable, gross | $ 1,656,000 | 1,578,500 |
Term Loan, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.63% | |
Notes payable, gross | $ 350,000 | 350,000 |
Credit Facility, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.40% | |
Notes payable, gross | $ 306,000 | 228,500 |
Senior Notes, Unsecured | 2019 Senior Notes, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.95% | |
Notes payable, gross | $ 275,000 | 275,000 |
Senior Notes, Unsecured | 2017 Senior Notes, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.91% | |
Notes payable, gross | $ 250,000 | 250,000 |
Senior Notes, Unsecured | 2019 Senior Notes, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.86% | |
Notes payable, gross | $ 250,000 | 250,000 |
Senior Notes, Unsecured | 2019 Senior Notes, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.78% | |
Notes payable, gross | $ 125,000 | 125,000 |
Senior Notes, Unsecured | 2017 Senior Notes, Unsecured | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.09% | |
Notes payable, gross | $ 100,000 | 100,000 |
Secured Mortgage Notes | ||
Debt Instrument [Line Items] | ||
Notes payable, gross | $ 653,088 | 661,525 |
Secured Mortgage Notes | Fifth Third Center | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.37% | |
Notes payable, gross | $ 131,934 | 133,672 |
Secured Mortgage Notes | Colorado Tower | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.45% | |
Notes payable, gross | $ 110,862 | 112,150 |
Secured Mortgage Notes | Terminus 100 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.25% | |
Notes payable, gross | $ 109,953 | 111,678 |
Secured Mortgage Notes | Promenade Tower | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.27% | |
Notes payable, gross | $ 87,224 | 89,052 |
Secured Mortgage Notes | Domain 10 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.75% | |
Notes payable, gross | $ 75,475 | 76,412 |
Secured Mortgage Notes | Terminus 200 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.79% | |
Notes payable, gross | $ 71,640 | 72,561 |
Secured Mortgage Notes | Legacy Union One | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.24% | |
Notes payable, gross | $ 66,000 | $ 66,000 |
Notes Payable - Credit Facility
Notes Payable - Credit Facility (Details) - Credit Facility | 4 Months Ended | 6 Months Ended | |
May 02, 2022 USD ($) | May 01, 2022 USD ($) | Jun. 30, 2022 USD ($) | |
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 1,000,000,000 | $ 1,000,000,000 | |
Minimum fixed charge coverage ratio | 1.50 | ||
Variable rate | 1% | ||
Available borrowing capacity | $ 694,000,000 | ||
Federal Funds Rate | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.50% | 0.50% | |
One-month LIBOR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1% | ||
Adjusted SOFR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.10% | ||
SOFR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.90% | ||
Term SOFR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1% | ||
Minimum | |||
Line of Credit Facility [Line Items] | |||
Minimum unencumbered interest coverage ratio | 1.75 | ||
Minimum | LIBOR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1.05% | ||
Minimum | Base Rate | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0% | 0.10% | |
Minimum | SOFR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.90% | ||
Maximum | |||
Line of Credit Facility [Line Items] | |||
Secured leverage ratio | 50% | 40% | |
Leverage ratio | 60% | ||
Maximum | LIBOR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1.45% | ||
Maximum | Base Rate | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.40% | 0.45% | |
Maximum | SOFR | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1.40% |
Notes Payable - Term Loan (Deta
Notes Payable - Term Loan (Details) - Term Loan - Term Loan, Unsecured $ in Millions | May 02, 2022 | Jun. 28, 2021 USD ($) extension |
Debt Instrument [Line Items] | ||
Debt amount | $ | $ 350 | |
Number of extension options | extension | 4 | |
Extension term | 180 days | |
LIBOR | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.05% | |
Minimum | Eurodollar | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.05% | |
Minimum | LIBOR | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.05% | |
Minimum | Base Rate | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.05% | |
Maximum | ||
Debt Instrument [Line Items] | ||
Secured leverage ratio | 40% | |
Maximum | Eurodollar | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.65% | |
Maximum | LIBOR | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.65% | |
Maximum | Base Rate | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.65% |
Notes Payable - Unsecured Senio
Notes Payable - Unsecured Senior Notes (Details) - Unsecured Senior Notes $ in Millions | Jun. 30, 2022 USD ($) tranche |
Debt Instrument [Line Items] | |
Debt amount | $ 1,000 |
Number of tranches | tranche | 5 |
4.09% Senior Notes, Unsecured | |
Debt Instrument [Line Items] | |
Debt amount | $ 100 |
Interest rate | 4.09% |
3.91% Senior Notes, Unsecured | |
Debt Instrument [Line Items] | |
Debt amount | $ 250 |
Interest rate | 3.91% |
3.78% Senior Notes, Unsecured | |
Debt Instrument [Line Items] | |
Debt amount | $ 125 |
Interest rate | 3.78% |
3.86% Senior Notes, Unsecured | |
Debt Instrument [Line Items] | |
Debt amount | $ 250 |
Interest rate | 3.86% |
3.95% Senior Notes, Unsecured | |
Debt Instrument [Line Items] | |
Debt amount | $ 275 |
Interest rate | 3.95% |
Notes Payable - Secured Mortgag
Notes Payable - Secured Mortgage Notes (Details) $ in Thousands | Jun. 30, 2022 USD ($) debt_instrument | Dec. 31, 2021 USD ($) |
Debt Instrument [Line Items] | ||
Long-term debt | $ 2,309,088 | $ 2,240,025 |
Secured Mortgage Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 653,088 | $ 661,525 |
Number of non-recourse mortgage loans | debt_instrument | 7 | |
Collateral amount | $ 1,100,000 |
Notes Payable - Other Debt Info
Notes Payable - Other Debt Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |||||
Notes payable, fair value | $ 2,200,000 | $ 2,200,000 | $ 2,300,000 | ||
Total interest incurred | 20,140 | $ 18,075 | 39,116 | $ 36,595 | |
Interest capitalized | (3,591) | (1,419) | (7,042) | (2,731) | |
Total interest expense | $ 16,549 | $ 16,656 | $ 32,074 | $ 33,864 |
Other Liabilities (Details)
Other Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Other Liabilities Disclosure [Abstract] | ||
Ground lease liability | $ 49,386 | $ 49,470 |
Prepaid rent | 31,307 | 37,174 |
Security deposits | 13,831 | 12,875 |
Restricted stock unit liability | 1,123 | 7,314 |
Other liabilities | 5,175 | 5,031 |
Total other liabilities | $ 100,822 | $ 111,864 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Outstanding letters of credit and performance bonds | $ 692 |
Future obligations under leases to fund tenant improvements and other future construction obligations | $ 200,200 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) $ / shares in Units, $ in Thousands, shares in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 29, 2022 USD ($) $ / shares shares | Sep. 30, 2021 USD ($) financial_institution | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) shares | |
Subsidiary, Sale of Stock [Line Items] | |||||
Sale of stock, number of participating financial institutions | financial_institution | 6 | ||||
Common stock issued under the ATM | $ 101,668 | $ 0 | |||
Dividends owed | 48,522 | $ 46,152 | $ 48,522 | ||
ATM Program | |||||
Subsidiary, Sale of Stock [Line Items] | |||||
Sale of stock, shares issued (in shares) | shares | 2.6 | ||||
Common stock issued under the ATM | $ 101,400 | ||||
Payments of stock issuance costs | 1,100 | ||||
Dividends owed | $ 1,700 | 1,700 | |||
Other transaction related costs | $ 900 | ||||
ATM Program | Common Stock | |||||
Subsidiary, Sale of Stock [Line Items] | |||||
Sale of stock, consideration received on transaction | $ 105,100 | ||||
Average price (in dollars per share) | $ / shares | $ 39.92 | ||||
Sale of stock, shares issued (in shares) | shares | 2.6 | ||||
ATM Program | Maximum | |||||
Subsidiary, Sale of Stock [Line Items] | |||||
Sale of stock, consideration received on transaction | $ 500,000 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 185,680 | $ 186,637 | $ 372,578 | $ 376,187 |
Rental property revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 183,174 | 181,766 | 366,401 | 366,573 |
Variable rental revenue | 50,200 | 48,200 | 103,000 | 96,000 |
Fees and other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 2,500 | $ 4,900 | $ 6,200 | $ 9,600 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Expense, Net of Forfeitures (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | $ 2,300 | $ 2,754 | $ 5,195 | $ 4,828 |
Equity-classified awards: | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 2,448 | 1,709 | 5,196 | 3,376 |
Restricted stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 789 | 682 | 1,569 | 1,314 |
Market-based RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 936 | 586 | 2,148 | 1,359 |
Performance-based RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 312 | 218 | 684 | 474 |
Director grants | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 369 | 223 | 701 | 229 |
Employee Stock Purchase Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 42 | 0 | 94 | 0 |
Liability-classified awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | (148) | 1,045 | (1) | 1,452 |
Time-vested RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | (152) | 211 | (20) | 373 |
Dividend equivalent units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 4 | 26 | 19 | 52 |
Market-based RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | 0 | 657 | 0 | 770 |
Performance-based RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense, net of forfeitures | $ 0 | $ 151 | $ 0 | $ 257 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - Equity-classified awards: - Independent Board Of Directors $ in Millions | 1 Months Ended |
Jun. 30, 2022 USD ($) shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares and targeted units granted (in shares) | shares | 44,549 |
Shares and targeted units granted | $ | $ 1.5 |
Service period | 1 year |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator: | ||||
Net income | $ 34,164 | $ 28,060 | $ 62,327 | $ 57,371 |
Net income available to common stockholders | $ 34,052 | $ 28,153 | $ 62,036 | $ 57,263 |
Denominator: | ||||
Weighted average common shares - basic (in shares) | 148,837,000 | 148,665,000 | 148,788,000 | 148,644,000 |
Net income per common share — basic (in usd per share) | $ 0.23 | $ 0.19 | $ 0.42 | $ 0.39 |
Numerator: | ||||
Net income | $ 34,164 | $ 28,060 | $ 62,327 | $ 57,371 |
Net income available for common stockholders before allocation of net income attributable to noncontrolling interests in CPLP | $ 34,058 | $ 28,158 | $ 62,048 | $ 57,274 |
Denominator: | ||||
Weighted average shares — basic (in shares) | 148,837,000 | 148,665,000 | 148,788,000 | 148,644,000 |
Add: | ||||
Weighted average units of CPLP convertible into common shares (in shares) | 25,000 | 25,000 | 25,000 | 25,000 |
Weighted average common shares - diluted (in shares) | 149,142,000 | 148,740,000 | 149,090,000 | 148,716,000 |
Net income per common share — diluted (in usd per share) | $ 0.23 | $ 0.19 | $ 0.42 | $ 0.39 |
Stock Options | ||||
Add: | ||||
Potential dilutive common shares - stock options (in shares) | 0 | 0 | 0 | 2,000 |
Antidilutive securities (in shares) | 0 | 0 | 0 | 0 |
RSU | ||||
Add: | ||||
Potential dilutive common shares - stock options (in shares) | 280,000 | 50,000 | 277,000 | 45,000 |
CPLP | ||||
Numerator: | ||||
Net income attributable to other noncontrolling interests | $ (6) | $ (5) | $ (12) | $ (11) |
Numerator: | ||||
Net income attributable to other noncontrolling interests | (6) | (5) | (12) | (11) |
Other Noncontrolling Interests | ||||
Numerator: | ||||
Net income attributable to other noncontrolling interests | (106) | 98 | (279) | (97) |
Numerator: | ||||
Net income attributable to other noncontrolling interests | $ (106) | $ 98 | $ (279) | $ (97) |
Consolidated Statements of Ca_4
Consolidated Statements of Cash Flows - Supplemental Information - Supplemental Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Supplemental Cash Flow Elements [Abstract] | ||
Interest paid | $ 29,456 | $ 34,159 |
Income taxes paid | 0 | 155 |
Non-Cash Activity: | ||
Transfers from projects under development to operating properties | 141,349 | 0 |
Transfer from operating properties and related assets and liabilities to assets and liabilities of real estate assets held for sale | 0 | 249,365 |
Common stock dividends declared and accrued | $ 48,522 | $ 46,152 |
Consolidated Statements of Ca_5
Consolidated Statements of Cash Flows - Supplemental Information - Reconciliation of Cash (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 4,057 | $ 8,937 | ||
Restricted cash | 1,231 | 1,231 | ||
Total cash, cash equivalents, and restricted cash | $ 5,288 | $ 10,168 | $ 11,048 | $ 6,138 |
Reportable Segments - Segment R
Reportable Segments - Segment Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Total Revenues | $ 185,680 | $ 186,637 | $ 372,578 | $ 376,187 |
Rental property revenues | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 183,174 | 181,766 | 366,401 | 366,573 |
Rental property revenues | Office | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 181,873 | 181,175 | 364,115 | 365,421 |
Rental property revenues | Non-Office | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 1,301 | 591 | 2,286 | 1,152 |
Rental property revenues | Operating segments | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 187,266 | 189,908 | 374,652 | 381,953 |
Rental property revenues | Operating segments | Atlanta | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 69,299 | 66,022 | 137,736 | 131,172 |
Rental property revenues | Operating segments | Austin | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 59,054 | 59,677 | 120,278 | 117,710 |
Rental property revenues | Operating segments | Charlotte | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 15,230 | 22,475 | 29,719 | 44,203 |
Rental property revenues | Operating segments | Dallas | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 4,132 | 4,531 | 8,328 | 9,014 |
Rental property revenues | Operating segments | Phoenix | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 13,533 | 12,482 | 26,963 | 25,220 |
Rental property revenues | Operating segments | Tampa | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 17,216 | 14,165 | 34,140 | 28,736 |
Rental property revenues | Operating segments | Other markets | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 8,802 | 10,556 | 17,488 | 25,898 |
Rental property revenues | Operating segments | Office | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 184,346 | 187,391 | 368,966 | 377,356 |
Rental property revenues | Operating segments | Office | Atlanta | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 68,860 | 65,626 | 136,875 | 130,502 |
Rental property revenues | Operating segments | Office | Austin | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 59,054 | 59,677 | 120,278 | 117,710 |
Rental property revenues | Operating segments | Office | Charlotte | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 13,929 | 21,884 | 27,433 | 43,051 |
Rental property revenues | Operating segments | Office | Dallas | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 4,132 | 4,531 | 8,328 | 9,014 |
Rental property revenues | Operating segments | Office | Phoenix | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 13,533 | 12,482 | 26,963 | 25,220 |
Rental property revenues | Operating segments | Office | Tampa | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 17,216 | 14,165 | 34,140 | 28,736 |
Rental property revenues | Operating segments | Office | Other markets | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 7,622 | 9,026 | 14,949 | 23,123 |
Rental property revenues | Operating segments | Non-Office | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 2,920 | 2,517 | 5,686 | 4,597 |
Rental property revenues | Operating segments | Non-Office | Atlanta | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 439 | 396 | 861 | 670 |
Rental property revenues | Operating segments | Non-Office | Austin | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 0 | 0 | 0 | 0 |
Rental property revenues | Operating segments | Non-Office | Charlotte | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 1,301 | 591 | 2,286 | 1,152 |
Rental property revenues | Operating segments | Non-Office | Dallas | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 0 | 0 | 0 | 0 |
Rental property revenues | Operating segments | Non-Office | Phoenix | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 0 | 0 | 0 | 0 |
Rental property revenues | Operating segments | Non-Office | Tampa | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 0 | 0 | 0 | 0 |
Rental property revenues | Operating segments | Non-Office | Other markets | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 1,180 | 1,530 | 2,539 | 2,775 |
Rental property revenues | Segment reconciling items | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | (4,092) | (8,142) | (8,251) | (15,380) |
Rental property revenues | Segment reconciling items | Office | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | (2,473) | (6,216) | (4,851) | (11,935) |
Rental property revenues | Segment reconciling items | Non-Office | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | $ (1,619) | $ (1,926) | $ (3,400) | $ (3,445) |
Reportable Segments - Net Opera
Reportable Segments - Net Operating Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net Operating Income | $ 123,051 | $ 122,705 | $ 242,658 | $ 245,829 |
Atlanta | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 46,756 | 43,274 | 91,164 | 86,471 |
Austin | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 36,565 | 35,955 | 72,932 | 70,232 |
Charlotte | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 11,218 | 15,863 | 21,873 | 31,120 |
Dallas | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 3,191 | 3,571 | 6,498 | 7,122 |
Phoenix | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 9,868 | 8,928 | 18,843 | 17,953 |
Tampa | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 10,643 | 8,919 | 21,334 | 18,321 |
Other markets | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 4,810 | 6,195 | 10,014 | 14,610 |
Office | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 121,164 | 121,430 | 238,984 | 243,326 |
Office | Atlanta | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 46,506 | 43,115 | 90,679 | 86,218 |
Office | Austin | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 36,565 | 35,955 | 72,932 | 70,232 |
Office | Charlotte | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 10,246 | 15,688 | 20,258 | 30,685 |
Office | Dallas | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 3,191 | 3,571 | 6,498 | 7,122 |
Office | Phoenix | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 9,868 | 8,928 | 18,843 | 17,953 |
Office | Tampa | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 10,643 | 8,919 | 21,334 | 18,321 |
Office | Other markets | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 4,145 | 5,254 | 8,440 | 12,795 |
Non-Office | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 1,887 | 1,275 | 3,674 | 2,503 |
Non-Office | Atlanta | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 250 | 159 | 485 | 253 |
Non-Office | Austin | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 0 | 0 | 0 | 0 |
Non-Office | Charlotte | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 972 | 175 | 1,615 | 435 |
Non-Office | Dallas | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 0 | 0 | 0 | 0 |
Non-Office | Phoenix | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 0 | 0 | 0 | 0 |
Non-Office | Tampa | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | 0 | 0 | 0 | 0 |
Non-Office | Other markets | ||||
Segment Reporting Information [Line Items] | ||||
Net Operating Income | $ 665 | $ 941 | $ 1,574 | $ 1,815 |
Reportable Segments - Reconcili
Reportable Segments - Reconciliation of Net Income to Net Operating Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net Operating Income | $ 123,051 | $ 122,705 | $ 242,658 | $ 245,829 |
Net operating income from unconsolidated joint ventures | (2,542) | (5,437) | (5,261) | (10,191) |
Total Revenues | 185,680 | 186,637 | 372,578 | 376,187 |
Reimbursed expenses | (677) | (398) | (1,037) | (766) |
General and administrative expenses | (6,996) | (7,313) | (15,059) | (14,046) |
Interest expense | (16,549) | (16,656) | (32,074) | (33,864) |
Depreciation and amortization | (69,861) | (71,456) | (140,605) | (142,326) |
Other expenses | (425) | (824) | (646) | (1,414) |
Income from unconsolidated joint ventures | 5,280 | 1,795 | 6,404 | 3,698 |
Gain on sales of investments in unconsolidated joint ventures | 0 | 0 | 0 | 39 |
Gain (loss) on investment property transactions | 28 | (9) | (41) | (26) |
Loss on extinguishment of debt | (100) | 0 | (100) | 0 |
Net income | 34,164 | 28,060 | 62,327 | 57,371 |
Fee income | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 2,305 | 4,803 | 3,693 | 9,332 |
Termination fee income | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | 449 | 782 | 1,911 | 824 |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenues | $ 201 | $ 68 | $ 2,484 | $ 282 |