Cover Page
Cover Page - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Jan. 28, 2020 | Jun. 30, 2019 | |
Entity Information [Line Items] | ||||
Document Type | 10-K | |||
Document Annual Report | true | |||
Document Transition Report | false | |||
Document Period End Date | Dec. 31, 2019 | |||
Entity File Number | 1-14023 | |||
Entity Registrant Name | Corporate Office Properties Trust | |||
Entity Incorporation, State or Country Code | MD | |||
Entity Tax Identification Number | 23-2947217 | |||
Entity Address, Address Line One | 6711 Columbia Gateway Drive | |||
Entity Address, Address Line Two | Suite 300 | |||
Entity Address, City or Town | Columbia | |||
Entity Address, State or Province | MD | |||
Entity Address, Postal Zip Code | 21046 | |||
City Area Code | 443 | |||
Local Phone Number | 285-5400 | |||
Title of 12(b) Security | Common Shares of beneficial interest, $0.01 par value | |||
Trading Symbol | OFC | |||
Security Exchange Name | NYSE | |||
Entity Well-known Seasoned Issuer | Yes | |||
Entity Voluntary Filers | No | |||
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 Public Float | $ 2,600 | |||
Entity Common Stock, Shares Outstanding | 112,082,315 | |||
Entity Central Index Key | 0000860546 | |||
Amendment Flag | false | |||
Current Fiscal Year End Date | --12-31 | |||
Document Fiscal Year Focus | 2019 | |||
Document Fiscal Period Focus | FY | |||
Documents Incorporated by Reference [Text Block] | This report also includes separate sections under Part II, Item 9A. Controls and Procedures and separate Exhibit 31 and Exhibit 32 certifications for each of COPT and COPLP to establish that the Chief Executive Officer and the Chief Financial Officer of each entity have made the requisite certifications and that COPT and COPLP are compliant with Rule 13a-15 and Rule 15d-14 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and 18 U.S.C. §1350. | |||
Corporate Office Properties, L.P | ||||
Entity Information [Line Items] | ||||
Document Type | 10-K | |||
Document Period End Date | Dec. 31, 2019 | |||
Entity File Number | 333-189188 | |||
Entity Registrant Name | Corporate Office Properties, L.P. | |||
Entity Incorporation, State or Country Code | DE | |||
Entity Tax Identification Number | 23-2930022 | |||
Entity Well-known Seasoned Issuer | Yes | |||
Entity Voluntary Filers | No | |||
Entity Current Reporting Status | Yes | |||
Entity Interactive Data Current | Yes | |||
Entity Filer Category | Non-accelerated Filer | |||
Entity Small Business | false | |||
Entity Emerging Growth Company | false | |||
Entity Shell Company | false | |||
Entity Public Float | $ 27.7 | |||
Entity Central Index Key | 0001577966 | |||
Amendment Flag | false | |||
Current Fiscal Year End Date | --12-31 | |||
Document Fiscal Year Focus | 2019 | |||
Document Fiscal Period Focus | FY | |||
Common Units | Corporate Office Properties, L.P | ||||
Entity Information [Line Items] | ||||
Percentage ownership in operating partnership | 98.70% | 98.80% |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Properties, net: | ||
Operating properties, net | $ 2,772,647 | $ 2,847,265 |
Projects in development or held for future development | 568,239 | 403,361 |
Total properties, net | 3,340,886 | 3,250,626 |
Property - finance right-of-use assets | 41,654 | |
Cash and cash equivalents | 14,733 | 8,066 |
Investment in unconsolidated real estate joint ventures | 51,949 | 39,845 |
Accounts receivable | 35,444 | 26,277 |
Deferred rent receivable | 87,736 | 89,350 |
Intangible assets on real estate acquisitions, net | 27,392 | 43,470 |
Deferred leasing costs, net (accumulated amortization of $33,782 and $31,994, respectively) | 58,392 | 50,191 |
Investing receivables | 73,523 | 56,982 |
Prepaid expenses and other assets, net | 96,076 | 91,198 |
Total assets | 3,854,453 | 3,656,005 |
Liabilities: | ||
Debt, net | 1,831,139 | 1,823,909 |
Accounts payable and accrued expenses | 148,746 | 92,855 |
Rents received in advance and security deposits | 33,620 | 30,079 |
Dividends and distributions payable | 31,263 | 30,856 |
Deferred revenue associated with operating leases | 7,361 | 9,125 |
Property - operating lease liabilities | 17,317 | |
Interest rate derivatives | 25,682 | 5,459 |
Other liabilities | 10,649 | 10,414 |
Total liabilities | 2,105,777 | 2,002,697 |
Commitments and contingencies (Note 19) | ||
Redeemable noncontrolling interests | 29,431 | 26,260 |
Corporate Office Properties Trust’s shareholders’ equity: | ||
Common Shares of beneficial interest | 1,121 | 1,102 |
Additional paid-in capital | 2,481,558 | 2,431,355 |
Cumulative distributions in excess of net income | (778,275) | (846,808) |
Accumulated other comprehensive loss | (25,444) | (238) |
Total Corporate Office Properties Trust’s shareholders’ equity | 1,678,960 | 1,585,411 |
Noncontrolling interests in subsidiaries: | ||
Common units in COPLP | 19,597 | 19,168 |
Preferred units in COPLP | 8,800 | 8,800 |
Other consolidated entities | 11,888 | 13,669 |
Noncontrolling interests in subsidiaries | 40,285 | 41,637 |
Total equity | 1,719,245 | 1,627,048 |
Total liabilities, redeemable noncontrolling interests and equity | 3,854,453 | 3,656,005 |
Corporate Office Properties, L.P | ||
Properties, net: | ||
Operating properties, net | 2,772,647 | 2,847,265 |
Projects in development or held for future development | 568,239 | 403,361 |
Total properties, net | 3,340,886 | 3,250,626 |
Cash and cash equivalents | 14,733 | 8,066 |
Investment in unconsolidated real estate joint ventures | 51,949 | 39,845 |
Accounts receivable | 35,444 | 26,277 |
Deferred rent receivable | 87,736 | 89,350 |
Intangible assets on real estate acquisitions, net | 27,392 | 43,470 |
Deferred leasing costs, net (accumulated amortization of $33,782 and $31,994, respectively) | 58,392 | 50,191 |
Investing receivables | 73,523 | 56,982 |
Prepaid expenses and other assets, net | 93,016 | 87,330 |
Total assets | 3,851,393 | 3,652,137 |
Liabilities: | ||
Debt, net | 1,831,139 | 1,823,909 |
Accounts payable and accrued expenses | 148,746 | 92,855 |
Rents received in advance and security deposits | 33,620 | 30,079 |
Dividends and distributions payable | 31,263 | 30,856 |
Deferred revenue associated with operating leases | 7,361 | 9,125 |
Interest rate derivatives | 25,682 | 5,459 |
Other liabilities | 7,589 | 6,546 |
Total liabilities | 2,102,717 | 1,998,829 |
Commitments and contingencies (Note 19) | ||
Redeemable noncontrolling interests | 29,431 | 26,260 |
Corporate Office Properties Trust’s shareholders’ equity: | ||
Common Shares of beneficial interest | 1,724,159 | 1,604,655 |
Accumulated other comprehensive loss | (25,648) | (121) |
Total Corporate Office Properties Trust’s shareholders’ equity | 1,707,311 | 1,613,334 |
Noncontrolling interests in subsidiaries: | ||
Noncontrolling interests in subsidiaries | 11,934 | 13,714 |
Total equity | 1,719,245 | 1,627,048 |
Total liabilities, redeemable noncontrolling interests and equity | 3,851,393 | 3,652,137 |
Corporate Office Properties, L.P | Limited Partner | ||
Corporate Office Properties Trust’s shareholders’ equity: | ||
Preferred units held by limited partner, 352,000 preferred units outstanding at December 31, 2019 and 2018 | 8,800 | 8,800 |
Property | ||
Properties, net: | ||
Property - operating right-of-use assets | 27,864 | |
Property - finance right-of-use assets | 40,458 | |
Liabilities: | ||
Property - operating lease liabilities | 17,317 | $ 0 |
Property | Corporate Office Properties, L.P | ||
Properties, net: | ||
Property - operating right-of-use assets | 27,864 | |
Property - finance right-of-use assets | 40,458 | |
Liabilities: | ||
Property - operating lease liabilities | $ 17,317 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accumulated amortization of deferred leasing costs | $ 33,782 | $ 31,994 |
Common Shares of beneficial interest, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common Shares of beneficial interest, shares authorized | 150,000,000 | 150,000,000 |
Common Shares of beneficial interest, shares issued | 112,068,705 | 110,241,868 |
Common Shares of beneficial interest, shares outstanding | 112,068,705 | 110,241,868 |
Corporate Office Properties, L.P | ||
Accumulated amortization of deferred leasing costs | $ 33,782 | $ 31,994 |
General Partner | Corporate Office Properties, L.P | ||
Common Shares of beneficial interest, shares outstanding | 112,068,705 | 110,241,868 |
Limited Partner | Corporate Office Properties, L.P | ||
Preferred Units, Outstanding | 352,000 | 352,000 |
Common Shares of beneficial interest, shares outstanding | 1,482,425 | 1,332,886 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Revenues | ||||
Lease revenue | $ 522,472 | $ 512,327 | $ 504,889 | |
Construction contract and other service revenues | 113,763 | 60,859 | 102,840 | |
Total revenues | 641,226 | 578,112 | 612,820 | |
Operating expenses | ||||
Property operating expenses | 198,143 | 201,035 | 190,964 | |
Depreciation and amortization associated with real estate operations | 137,069 | 137,116 | 134,228 | |
Construction contract and other service expenses | 109,962 | 58,326 | 99,618 | |
Impairment losses | 329 | 2,367 | 15,123 | |
General, administrative and leasing expenses | 35,402 | 28,900 | 30,837 | |
Business development expenses and land carry costs | 4,239 | 5,840 | 6,213 | |
Total operating expenses | 485,144 | 433,584 | 476,983 | |
Interest expense | (71,052) | (75,385) | (76,983) | |
Interest and other income | 7,894 | 4,358 | 6,318 | |
Gain on sales of real estate | 105,230 | 2,340 | 9,890 | |
Loss on early extinguishment of debt | 0 | (258) | (513) | |
Income before equity in income of unconsolidated entities and income taxes | 198,154 | 75,583 | 74,549 | |
Equity in income of unconsolidated entities | 1,633 | 2,697 | 1,490 | |
Income tax benefit (expense) | 217 | 363 | (1,098) | |
Net income | 200,004 | 78,643 | 74,941 | |
Net income attributable to noncontrolling interests: | ||||
Common units in COPLP | (2,363) | (1,742) | (1,890) | |
Preferred units in COPLP | (564) | (660) | (660) | |
Other consolidated entities | (5,385) | (3,940) | (3,646) | |
Net income attributable to COPT/COPLP | 191,692 | 72,301 | 68,745 | |
Preferred share/ unit dividends/ distributions | 0 | 0 | (6,219) | |
Issuance costs associated with redeemed preferred shares | 0 | 0 | (6,847) | |
Net income attributable to COPT/COPLP common shareholders | $ 191,692 | $ 72,301 | $ 55,679 | |
Earnings per common share: | ||||
Net income attributable to COPT/COPLP common shareholders - basic (in dollars per share/unit) | [1] | $ 1.72 | $ 0.69 | $ 0.56 |
Net income attributable to COPT/COPLP common shareholders - diluted (in dollars per share/unit) | [1] | $ 1.71 | $ 0.69 | $ 0.56 |
Corporate Office Properties, L.P | ||||
Revenues | ||||
Lease revenue | $ 522,472 | $ 512,327 | $ 504,889 | |
Construction contract and other service revenues | 113,763 | 60,859 | 102,840 | |
Total revenues | 641,226 | 578,112 | 612,820 | |
Operating expenses | ||||
Property operating expenses | 198,143 | 201,035 | 190,964 | |
Depreciation and amortization associated with real estate operations | 137,069 | 137,116 | 134,228 | |
Construction contract and other service expenses | 109,962 | 58,326 | 99,618 | |
Impairment losses | 329 | 2,367 | 15,123 | |
General, administrative and leasing expenses | 35,402 | 28,900 | 30,837 | |
Business development expenses and land carry costs | 4,239 | 5,840 | 6,213 | |
Total operating expenses | 485,144 | 433,584 | 476,983 | |
Interest expense | (71,052) | (75,385) | (76,983) | |
Interest and other income | 7,894 | 4,358 | 6,318 | |
Gain on sales of real estate | 105,230 | 2,340 | 9,890 | |
Loss on early extinguishment of debt | 0 | (258) | (513) | |
Income before equity in income of unconsolidated entities and income taxes | 198,154 | 75,583 | 74,549 | |
Equity in income of unconsolidated entities | 1,633 | 2,697 | 1,490 | |
Income tax benefit (expense) | 217 | 363 | (1,098) | |
Net income | 200,004 | 78,643 | 74,941 | |
Net income attributable to noncontrolling interests in consolidated entities | (5,385) | (3,940) | (3,646) | |
Net income attributable to noncontrolling interests: | ||||
Net income attributable to COPT/COPLP | 194,619 | 74,703 | 71,295 | |
Preferred share/ unit dividends/ distributions | (564) | (660) | (6,879) | |
Issuance costs associated with redeemed preferred shares | 0 | 0 | (6,847) | |
Net income attributable to COPT/COPLP common shareholders | $ 194,055 | $ 74,043 | $ 57,569 | |
Earnings per common share: | ||||
Net income attributable to COPT/COPLP common shareholders - basic (in dollars per share/unit) | [2] | $ 1.72 | $ 0.69 | $ 0.56 |
Net income attributable to COPT/COPLP common shareholders - diluted (in dollars per share/unit) | [2] | $ 1.71 | $ 0.69 | $ 0.56 |
Other property revenue | ||||
Revenues | ||||
Total revenues | $ 4,991 | $ 4,926 | $ 5,091 | |
Other property revenue | Corporate Office Properties, L.P | ||||
Revenues | ||||
Total revenues | $ 4,991 | $ 4,926 | $ 5,091 | |
[1] | Basic and diluted earnings per common share are calculated based on amounts attributable to common shareholders of Corporate Office Properties Trust. | |||
[2] | Basic and diluted earnings per common unit are calculated based on amounts attributable to common unitholders of Corporate Office Properties, L.P. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Net income | $ 200,004 | $ 78,643 | $ 74,941 |
Other comprehensive (loss) income | |||
Unrealized (loss) gain on interest rate derivatives | (24,321) | (2,373) | 684 |
(Gain) loss on interest rate derivatives recognized in interest expense | (1,415) | (407) | 3,304 |
Equity in other comprehensive income of equity method investee | 199 | 210 | 39 |
Other comprehensive (loss) income | (25,537) | (2,570) | 4,027 |
Comprehensive income | 174,467 | 76,073 | 78,968 |
Comprehensive income attributable to noncontrolling interests | (7,981) | (6,453) | (6,325) |
Comprehensive income attributable to COPT | 166,486 | 69,620 | 72,643 |
Corporate Office Properties, L.P | |||
Net income | 200,004 | 78,643 | 74,941 |
Other comprehensive (loss) income | |||
Unrealized (loss) gain on interest rate derivatives | (24,321) | (2,373) | 684 |
(Gain) loss on interest rate derivatives recognized in interest expense | (1,415) | (407) | 3,304 |
Equity in other comprehensive income of equity method investee | 199 | 210 | 39 |
Other comprehensive (loss) income | (25,537) | (2,570) | 4,027 |
Comprehensive income | 174,467 | 76,073 | 78,968 |
Comprehensive income attributable to noncontrolling interests | (5,375) | (3,940) | (3,646) |
Comprehensive income attributable to COPT | $ 169,092 | $ 72,133 | $ 75,322 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Forward Equity Sale Agreement | Common Stock At-the-Market Program | Preferred Shares | Preferred SharesPreferred Shares | Common Shares | Common SharesForward Equity Sale Agreement | Common SharesCommon Stock At-the-Market Program | Additional Paid-in Capital | Additional Paid-in CapitalForward Equity Sale Agreement | Additional Paid-in CapitalCommon Stock At-the-Market Program | Cumulative Distributions in Excess of Net Income | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests | Corporate Office Properties, L.P | Corporate Office Properties, L.PForward Equity Sale Agreement | Corporate Office Properties, L.PCommon Stock At-the-Market Program | Corporate Office Properties, L.PCommon Shares | Corporate Office Properties, L.PCommon SharesForward Equity Sale Agreement | Corporate Office Properties, L.PCommon SharesCommon Stock At-the-Market Program | Corporate Office Properties, L.PAccumulated Other Comprehensive Income (Loss) | Corporate Office Properties, L.PNoncontrolling Interests | Corporate Office Properties, L.PLimited Partner | Corporate Office Properties, L.PLimited PartnerPreferred Shares | Corporate Office Properties, L.PGeneral Partner | Corporate Office Properties, L.PGeneral PartnerPreferred Shares |
Balance at Dec. 31, 2016 | $ 1,612,777 | $ 172,500 | $ 985 | $ 2,116,581 | $ (747,825) | $ (1,731) | $ 72,267 | $ 1,612,777 | $ 1,419,710 | $ (1,854) | $ 13,621 | $ 8,800 | $ 172,500 | |||||||||||||
Balance (in units/ shares) at Dec. 31, 2016 | 102,089,042 | |||||||||||||||||||||||||
Balance (preferred units) at Dec. 31, 2016 | 352,000 | 6,900,000 | ||||||||||||||||||||||||
Increase (Decrease) in Shareholders' Equity | ||||||||||||||||||||||||||
Redemption of preferred shares/units | (6,900,000) | (6,900,000) | ||||||||||||||||||||||||
Redemption of preferred shares/units | (172,500) | (172,500) | 6,847 | (6,847) | (172,500) | $ (172,500) | ||||||||||||||||||||
Conversion of common units to common shares | 0 | 3 | 4,633 | (4,636) | ||||||||||||||||||||||
Common shares issued during the period (in units/shares) | 1,678,913 | 591,042 | 1,678,913 | 591,042 | ||||||||||||||||||||||
Common shares issued during the period | $ 49,944 | $ 19,668 | 17 | $ 6 | 49,927 | $ 19,662 | 49,944 | $ 19,668 | $ 49,944 | $ 19,668 | ||||||||||||||||
Exercise of share options (in units/shares) | 5,000 | 5,000 | ||||||||||||||||||||||||
Exercise of share options | $ 150 | 150 | 150 | $ 150 | ||||||||||||||||||||||
Share-based compensation | $ 6,095 | 2 | 6,093 | 6,095 | $ 6,095 | |||||||||||||||||||||
Share-based compensation (in shares/units) | 179,180 | 179,180 | ||||||||||||||||||||||||
Redemption of vested equity awards | $ (1,973) | (1,973) | (1,973) | $ (1,973) | ||||||||||||||||||||||
Adjustments to noncontrolling interests resulting from changes in ownership of COPLP | 0 | (1,486) | 1,486 | |||||||||||||||||||||||
Comprehensive income | 76,630 | 68,745 | 3,898 | 3,987 | 76,630 | 64,416 | 4,027 | 1,308 | $ 660 | 6,219 | ||||||||||||||||
Dividends/Distributions | (116,158) | (116,158) | (120,480) | (113,601) | $ (660) | $ (6,219) | ||||||||||||||||||||
Distributions to owners of common and preferred units in COPLP | (4,322) | (4,322) | ||||||||||||||||||||||||
Distributions to noncontrolling interests in other consolidated entities | (2,617) | (2,617) | (2,617) | (2,617) | ||||||||||||||||||||||
Adjustment to arrive at fair value of redeemable noncontrolling interests | 626 | 626 | 626 | 626 | ||||||||||||||||||||||
Tax loss from share-based compensation | $ (13) | (13) | (13) | $ (13) | ||||||||||||||||||||||
Balance (preferred units) at Dec. 31, 2017 | 352,000 | 0 | ||||||||||||||||||||||||
Balance (in units/ shares) at Dec. 31, 2017 | 101,292,299 | 104,543,177 | ||||||||||||||||||||||||
Balance at Dec. 31, 2017 | $ 1,468,307 | 0 | 1,013 | 2,201,047 | (802,085) | 2,167 | 66,165 | 1,468,307 | $ 1,445,022 | 2,173 | 12,312 | $ 8,800 | $ 0 | |||||||||||||
Increase (Decrease) in Shareholders' Equity | ||||||||||||||||||||||||||
Cumulative effect of accounting change for adoption of hedge accounting guidance | 0 | (276) | 276 | (276) | 276 | 0 | ||||||||||||||||||||
Balance as adjusted | 1,468,307 | 0 | 1,013 | 2,201,047 | (802,361) | 2,443 | 66,165 | $ 1,444,746 | 2,449 | 12,312 | 8,800 | $ 0 | ||||||||||||||
Conversion of common units to common shares | 0 | 19 | 27,394 | (27,413) | ||||||||||||||||||||||
Redemption of common units (in units) | (13,377) | |||||||||||||||||||||||||
Redemption of common units | (339) | (339) | (339) | $ (339) | ||||||||||||||||||||||
Common shares issued during the period (in units/shares) | 5,907,000 | 991,664 | 5,907,000 | 991,664 | ||||||||||||||||||||||
Common shares issued during the period | $ 172,294 | $ 29,732 | $ 59 | $ 10 | $ 172,235 | $ 29,722 | 172,294 | $ 29,732 | $ 172,294 | $ 29,732 | ||||||||||||||||
Share-based compensation | $ 6,963 | 1 | 6,962 | 6,963 | $ 6,963 | |||||||||||||||||||||
Share-based compensation (in shares/units) | 146,290 | 146,290 | ||||||||||||||||||||||||
Redemption of vested equity awards | $ (1,702) | (1,702) | (1,702) | $ (1,702) | ||||||||||||||||||||||
Adjustments to noncontrolling interests resulting from changes in ownership of COPLP | 0 | (2,466) | 2,466 | |||||||||||||||||||||||
Comprehensive income | 73,550 | 72,301 | (2,681) | 3,930 | 73,550 | 74,043 | (2,570) | 1,417 | 660 | |||||||||||||||||
Dividends/Distributions | (116,748) | (116,748) | (119,905) | (119,245) | $ (660) | |||||||||||||||||||||
Distributions to owners of common and preferred units in COPLP | (3,157) | (3,157) | ||||||||||||||||||||||||
Distributions to noncontrolling interests in other consolidated entities | (15) | (15) | (15) | (15) | ||||||||||||||||||||||
Adjustment to arrive at fair value of redeemable noncontrolling interests | $ (1,837) | (1,837) | (1,837) | $ (1,837) | ||||||||||||||||||||||
Balance (preferred units) at Dec. 31, 2018 | 352,000 | 352,000 | 0 | |||||||||||||||||||||||
Balance (in units/ shares) at Dec. 31, 2018 | 110,241,868 | 111,574,754 | 1,332,886 | 110,241,868 | ||||||||||||||||||||||
Balance at Dec. 31, 2018 | $ 1,627,048 | 0 | 1,102 | 2,431,355 | (846,808) | (238) | 41,637 | 1,627,048 | $ 1,604,655 | (121) | 13,714 | $ 8,800 | $ 0 | |||||||||||||
Increase (Decrease) in Shareholders' Equity | ||||||||||||||||||||||||||
Conversion of common units to common shares | 0 | 1 | 1,585 | (1,586) | ||||||||||||||||||||||
Redemption of common units (in units) | (924) | |||||||||||||||||||||||||
Redemption of common units | $ (25) | (25) | (25) | $ (25) | ||||||||||||||||||||||
Common shares issued during the period (in units/shares) | 1,000 | 1,614,087 | 1,000 | 1,614,087 | ||||||||||||||||||||||
Common shares issued during the period | $ 29 | $ 46,454 | $ 16 | 29 | $ 46,438 | 29 | $ 46,454 | $ 29 | $ 46,454 | |||||||||||||||||
Share-based compensation | $ 7,456 | 2 | 6,131 | 1,323 | 7,456 | $ 7,456 | ||||||||||||||||||||
Share-based compensation (in shares/units) | 106,711 | 362,213 | ||||||||||||||||||||||||
Redemption of vested equity awards | $ (2,064) | (2,064) | (2,064) | $ (2,064) | ||||||||||||||||||||||
Adjustments to noncontrolling interests resulting from changes in ownership of COPLP | 0 | (167) | 167 | |||||||||||||||||||||||
Comprehensive income | 170,632 | 191,692 | (25,206) | 4,146 | 170,632 | 194,055 | (25,527) | 1,540 | 564 | |||||||||||||||||
Dividends/Distributions | (123,159) | (123,159) | (125,216) | (124,652) | $ (564) | |||||||||||||||||||||
Distributions to owners of common and preferred units in COPLP | (2,057) | (2,057) | ||||||||||||||||||||||||
Contributions from noncontrolling interests in other consolidated entities | 2,570 | 2,570 | 2,570 | 2,570 | ||||||||||||||||||||||
Distributions to noncontrolling interests in other consolidated entities | (5,890) | (5,890) | (5,890) | (5,890) | ||||||||||||||||||||||
Adjustment to arrive at fair value of redeemable noncontrolling interests | $ (1,749) | (1,749) | (1,749) | $ (1,749) | ||||||||||||||||||||||
Balance (preferred units) at Dec. 31, 2019 | 352,000 | 352,000 | 0 | |||||||||||||||||||||||
Balance (in units/ shares) at Dec. 31, 2019 | 112,068,705 | 113,551,130 | 1,482,425 | 112,068,705 | ||||||||||||||||||||||
Balance at Dec. 31, 2019 | $ 1,719,245 | $ 0 | $ 1,121 | $ 2,481,558 | $ (778,275) | $ (25,444) | $ 40,285 | $ 1,719,245 | $ 1,724,159 | $ (25,648) | $ 11,934 | $ 8,800 | $ 0 |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - shares | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 | |
Balance (in units/ shares) | 112,068,705 | 110,241,868 | 101,292,299 | 98,498,651 |
Conversion of common units to common shares (in shares/units) | 105,039 | 1,904,615 | 339,513 | |
Common shares issued during the period (in units/shares) | 1,000 | |||
Exercise of share options (in units/shares) | 5,000 | |||
Share-based compensation (in shares/units) | 106,711 | 146,290 | 179,180 | |
Forward Equity Sale Agreement | ||||
Common shares issued during the period (in units/shares) | 1,614,087 | 5,907,000 | 1,678,913 | |
Common Stock At-the-Market Program | ||||
Common shares issued during the period (in units/shares) | 991,664 | 591,042 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities | |||
Revenues from real estate operations received | $ 530,280 | $ 528,066 | $ 510,551 |
Construction contract and other service revenues received | 94,677 | 33,579 | 102,531 |
Property operating expenses paid | (196,611) | (197,647) | (186,577) |
Construction contract and other service expenses paid | (96,789) | (79,386) | (82,707) |
General, administrative, leasing, business development and land carry costs paid | (29,347) | (27,006) | (32,673) |
Interest expense paid | (67,475) | (72,460) | (73,079) |
Lease incentives paid | (9,482) | (7,679) | (9,725) |
Income taxes paid | 0 | (21) | (31) |
Other | 3,305 | 3,036 | 1,831 |
Net cash provided by operating activities | 228,558 | 180,482 | 230,121 |
Cash flows from investing activities | |||
Development and redevelopment of properties | (394,444) | (159,994) | (200,504) |
Tenant improvements on operating properties | (23,809) | (35,098) | (33,409) |
Other capital improvements on operating properties | (24,659) | (24,223) | (22,882) |
Proceeds from property dispositions | |||
Distribution from unconsolidated real estate joint venture following contribution of properties | 201,499 | 0 | 0 |
Sale of properties | 108,128 | 0 | 180,839 |
Distributions from unconsolidated real estate joint ventures | 22,426 | 1,942 | 1,874 |
Investing receivables funded | (11,180) | (97) | (588) |
Leasing costs paid | (16,825) | (10,926) | (14,581) |
Other | 849 | (4,522) | (112) |
Net cash used in investing activities | (138,015) | (232,918) | (89,363) |
Proceeds from debt | |||
Revolving Credit Facility | 409,000 | 381,000 | 352,000 |
Other debt proceeds | 43,615 | 13,406 | 0 |
Repayments of debt | |||
Revolving Credit Facility | (445,000) | (294,000) | (226,000) |
Scheduled principal amortization | (4,310) | (4,240) | (4,062) |
Other debt repayments | (77) | (100,000) | (200,000) |
Deferred financing costs paid | (448) | (8,292) | (500) |
Payments on finance lease liabilities | (223) | (15,379) | 0 |
Net proceeds from issuance of common shares | 46,415 | 202,065 | 69,534 |
Redemption of preferred shares | 0 | 0 | (199,083) |
Common share/unit dividends/distributions paid | (122,657) | (114,286) | (109,174) |
Preferred share/unit dividends/distributions paid | 0 | 0 | (9,305) |
Distributions paid to noncontrolling interests in COPLP | (2,166) | (3,699) | (4,426) |
Distributions paid to redeemable noncontrolling interests | (1,659) | (1,382) | (8,215) |
Distributions paid to noncontrolling interests in other consolidated entities | (5,890) | (16) | (2,617) |
Redemption of vested equity awards | (2,064) | (1,702) | (1,973) |
Other | 1,101 | (3,920) | 5,275 |
Net cash (used in) provided by financing activities | (84,363) | 49,555 | (338,546) |
Net increase (decrease) in cash and cash equivalents and restricted cash | 6,180 | (2,881) | (197,788) |
Cash and cash equivalents and restricted cash | |||
Beginning of year | 11,950 | 14,831 | 212,619 |
End of year | 18,130 | 11,950 | 14,831 |
Reconciliation of net income to net cash provided by operating activities: | |||
Net income | 200,004 | 78,643 | 74,941 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and other amortization | 138,903 | 139,063 | 136,501 |
Impairment losses | 329 | 2,367 | 15,116 |
Amortization of deferred financing costs and net debt discounts | 3,639 | 3,393 | 4,307 |
Increase in deferred rent receivable | (4,091) | (4,621) | (2,651) |
Gain on sales of real estate | (105,230) | (2,340) | (9,890) |
Share-based compensation | 6,714 | 6,376 | 5,615 |
Other | (6,022) | (2,733) | (4,216) |
Changes in operating assets and liabilities: | |||
(Increase) decrease in accounts receivable | (7,141) | 5,673 | 2,783 |
(Increase) decrease in prepaid expenses and other assets, net | (22,457) | (987) | 7,219 |
Increase (decrease) in accounts payable, accrued expenses and other liabilities | 20,369 | (49,179) | 4,309 |
Increase (decrease) in rents received in advance and security deposits | 3,541 | 4,827 | (3,913) |
Net cash provided by operating activities | 228,558 | 180,482 | 230,121 |
Reconciliation of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents and restricted cash | 18,130 | 14,831 | 14,831 |
Supplemental schedule of non-cash investing and financing activities: | |||
Increase (decrease) in accrued capital improvements, leasing and other investing activity costs | 35,913 | 6,570 | (10,654) |
Finance right-of-use asset contributed by noncontrolling interest in joint venture | 2,570 | 0 | 0 |
Operating right-of-use assets obtained in exchange for operating lease liabilities | 840 | 0 | 0 |
Finance right-of-use asset obtained in exchange for finance lease liability | 0 | 0 | 16,127 |
Non-cash changes from property dispositions: | |||
Contribution of properties to unconsolidated real estate joint venture | 158,542 | 0 | 0 |
Investment in unconsolidated real estate joint venture retained in disposition | 34,506 | 0 | 0 |
Non-cash changes from recognition of property sale previously accounted for as financing arrangement: | |||
Decrease in assets held for sale, net | 0 | (42,226) | 0 |
Decrease in deferred property sale | 0 | 43,377 | 0 |
(Decrease) increase in fair value of derivatives applied to accumulated other comprehensive income and noncontrolling interests | (25,817) | 2,915 | 3,845 |
Equity in other comprehensive income of an equity method investee | 199 | 210 | 39 |
Decrease in noncontrolling interests and increase in shareholders’ equity in connection with the conversion of common units into common shares | 1,586 | 27,413 | 4,636 |
Adjustments to noncontrolling interests resulting from changes in COPLP ownership | 167 | 2,466 | 1,486 |
Increase (decrease) in redeemable noncontrolling interests and decrease (increase) in equity to carry redeemable noncontrolling interests at fair value | 1,749 | 1,837 | (626) |
Corporate Office Properties, L.P | |||
Cash flows from operating activities | |||
Revenues from real estate operations received | 530,280 | 528,066 | 510,551 |
Construction contract and other service revenues received | 94,677 | 33,579 | 102,531 |
Property operating expenses paid | (196,611) | (197,647) | (186,577) |
Construction contract and other service expenses paid | (96,789) | (79,386) | (82,707) |
General, administrative, leasing, business development and land carry costs paid | (29,347) | (27,006) | (32,673) |
Interest expense paid | (67,475) | (72,460) | (73,079) |
Lease incentives paid | (9,482) | (7,679) | (9,725) |
Income taxes paid | 0 | (21) | (31) |
Other | 3,305 | 3,036 | 1,831 |
Net cash provided by operating activities | 228,558 | 180,482 | 230,121 |
Cash flows from investing activities | |||
Development and redevelopment of properties | (394,444) | (159,994) | (200,504) |
Tenant improvements on operating properties | (23,809) | (35,098) | (33,409) |
Other capital improvements on operating properties | (24,659) | (24,223) | (22,882) |
Proceeds from property dispositions | |||
Distribution from unconsolidated real estate joint venture following contribution of properties | 201,499 | 0 | 0 |
Sale of properties | 108,128 | 0 | 180,839 |
Distributions from unconsolidated real estate joint ventures | 22,426 | 1,942 | 1,874 |
Investing receivables funded | (11,180) | (97) | (588) |
Leasing costs paid | (16,825) | (10,926) | (14,581) |
Other | 849 | (4,522) | (112) |
Net cash used in investing activities | (138,015) | (232,918) | (89,363) |
Proceeds from debt | |||
Revolving Credit Facility | 409,000 | 381,000 | 352,000 |
Other debt proceeds | 43,615 | 13,406 | 0 |
Repayments of debt | |||
Revolving Credit Facility | (445,000) | (294,000) | (226,000) |
Scheduled principal amortization | (4,310) | (4,240) | (4,062) |
Other debt repayments | (77) | (100,000) | (200,000) |
Deferred financing costs paid | (448) | (8,292) | (500) |
Payments on finance lease liabilities | (223) | (15,379) | 0 |
Net proceeds from issuance of common shares | 46,415 | 202,065 | 69,534 |
Redemption of preferred shares | 0 | 0 | (199,083) |
Common share/unit dividends/distributions paid | (124,171) | (117,325) | (112,940) |
Preferred share/unit dividends/distributions paid | (652) | (660) | (9,965) |
Distributions paid to noncontrolling interests in COPLP | (5,890) | (16) | (2,617) |
Distributions paid to redeemable noncontrolling interests | (1,659) | (1,382) | (8,215) |
Redemption of vested equity awards | (2,064) | (1,702) | (1,973) |
Other | 1,101 | (3,920) | 5,275 |
Net cash (used in) provided by financing activities | (84,363) | 49,555 | (338,546) |
Net increase (decrease) in cash and cash equivalents and restricted cash | 6,180 | (2,881) | (197,788) |
Cash and cash equivalents and restricted cash | |||
Beginning of year | 11,950 | 14,831 | 212,619 |
End of year | 18,130 | 11,950 | 14,831 |
Reconciliation of net income to net cash provided by operating activities: | |||
Net income | 200,004 | 78,643 | 74,941 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and other amortization | 138,903 | 139,063 | 136,501 |
Impairment losses | 329 | 2,367 | 15,116 |
Amortization of deferred financing costs and net debt discounts | 3,639 | 3,393 | 4,307 |
Increase in deferred rent receivable | (4,091) | (4,621) | (2,651) |
Gain on sales of real estate | (105,230) | (2,340) | (9,890) |
Share-based compensation | 6,714 | 6,376 | 5,615 |
Other | (6,022) | (2,733) | (4,216) |
Changes in operating assets and liabilities: | |||
(Increase) decrease in accounts receivable | (7,141) | 5,673 | 2,783 |
(Increase) decrease in prepaid expenses and other assets, net | (23,255) | (1,735) | 6,398 |
Increase (decrease) in accounts payable, accrued expenses and other liabilities | 21,167 | (48,431) | 5,130 |
Increase (decrease) in rents received in advance and security deposits | 3,541 | 4,827 | (3,913) |
Net cash provided by operating activities | 228,558 | 180,482 | 230,121 |
Reconciliation of cash and cash equivalents and restricted cash: | |||
Cash and cash equivalents and restricted cash | 11,950 | 14,831 | 14,831 |
Supplemental schedule of non-cash investing and financing activities: | |||
Increase (decrease) in accrued capital improvements, leasing and other investing activity costs | 35,913 | 6,570 | (10,654) |
Finance right-of-use asset contributed by noncontrolling interest in joint venture | 2,570 | 0 | 0 |
Operating right-of-use assets obtained in exchange for operating lease liabilities | 840 | 0 | 0 |
Finance right-of-use asset obtained in exchange for finance lease liability | 0 | 0 | 16,127 |
Non-cash changes from property dispositions: | |||
Contribution of properties to unconsolidated real estate joint venture | 158,542 | 0 | 0 |
Investment in unconsolidated real estate joint venture retained in disposition | 34,506 | 0 | 0 |
Non-cash changes from recognition of property sale previously accounted for as financing arrangement: | |||
Decrease in assets held for sale, net | 0 | (42,226) | 0 |
Decrease in deferred property sale | 0 | 43,377 | 0 |
(Decrease) increase in fair value of derivatives applied to accumulated other comprehensive income and noncontrolling interests | (25,817) | 2,915 | 3,845 |
Equity in other comprehensive income of an equity method investee | 199 | 210 | 39 |
Increase (decrease) in redeemable noncontrolling interests and decrease (increase) in equity to carry redeemable noncontrolling interests at fair value | $ 1,749 | $ 1,837 | $ (626) |
Organization
Organization | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization Corporate Office Properties Trust (“COPT”) and subsidiaries (collectively, the “Company”) is a fully-integrated and self-managed real estate investment trust (“REIT”). Corporate Office Properties, L.P. (“COPLP”) and subsidiaries (collectively, the “Operating Partnership”) is the entity through which COPT, the sole general partner of COPLP, conducts almost all of its operations and owns almost all of its assets. Unless otherwise expressly stated or the context otherwise requires, “we”, “us” and “our” as used herein refer to each of the Company and the Operating Partnership. We own, manage, lease, develop and selectively acquire office and data center properties. The majority of our portfolio is in locations that support the United States Government (“USG”) and its contractors, most of whom are engaged in national security, defense and information technology (“IT”) related activities servicing what we believe are growing, durable, priority missions (“Defense/IT Locations”). We also own a portfolio of office properties located in select urban/urban-like submarkets in the Greater Washington, DC/Baltimore region with durable Class-A office fundamentals and characteristics (“Regional Office”). As of December 31, 2019 , our properties included the following (all references to number of properties, square footage, acres and megawatts are unaudited): • 170 properties totaling 19.2 million square feet comprised of 15.4 million square feet in 148 office properties and 3.7 million square feet in 22 single-tenant data center shell properties (“data center shells”). We owned 15 of these data center shells through unconsolidated real estate joint ventures; • a wholesale data center with a critical load of 19.25 megawatts; • 14 properties under development or redevelopment ( ten office properties and four data center shells) that we estimate will total approximately 2.5 million square feet upon completion, including one partially-operational property; and • approximately 900 acres of land controlled for future development that we believe could be developed into approximately 11.3 million square feet and 43 acres of other land. COPLP owns real estate directly and through subsidiary partnerships and limited liability companies (“LLCs”). In addition to owning real estate, COPLP also owns subsidiaries that provide real estate services such as property management, development and construction services primarily for our properties but also for third parties. Some of these services are performed by a taxable REIT subsidiary (“TRS”). Equity interests in COPLP are in the form of common and preferred units. As of December 31, 2019 , COPT owned 98.7% of the outstanding COPLP common units (“common units”); the remaining common units and all of the outstanding COPLP preferred units (“preferred units”) were owned by third parties. Common units not owned by COPT carry certain redemption rights. The number of common units owned by COPT is equivalent to the number of outstanding common shares of beneficial interest (“common shares”) of COPT, and the entitlement of common units to quarterly distributions and payments in liquidation is substantially the same as that of COPT common shareholders. In the case of any series of preferred units held by COPT, there would be a series of preferred shares of beneficial interest (“preferred shares”) in COPT that is equivalent in number and carries substantially the same terms as such series of COPLP preferred units. COPT’s common shares are publicly traded on the New York Stock Exchange (“NYSE”) under the ticker symbol “OFC”. Because COPLP is managed by COPT, and COPT conducts substantially all of its operations through COPLP, we refer to COPT’s executive officers as COPLP’s executive officers; similarly, although COPLP does not have a board of trustees, we refer to COPT’s Board of Trustees as COPLP’s Board of Trustees. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The COPT consolidated financial statements include the accounts of COPT, the Operating Partnership, their subsidiaries and other entities in which COPT has a majority voting interest and control. The COPLP consolidated financial statements include the accounts of COPLP, its subsidiaries and other entities in which COPLP has a majority voting interest and control. We also consolidate certain entities when control of such entities can be achieved through means other than voting rights (“variable interest entities” or “VIEs”) if we are deemed to be the primary beneficiary of such entities. We eliminate all intercompany balances and transactions in consolidation. We use the equity method of accounting when we own an interest in an entity and can exert significant influence over but cannot control the entity’s operations. We discontinue equity method accounting if our investment in an entity (and net advances) is reduced to zero unless we have guaranteed obligations of the entity or are otherwise committed to provide further financial support for the entity. When we own an equity investment in an entity and cannot exert significant influence over its operations, we measure the investment at fair value, with changes recognized through net income. For an investment without a readily determinable fair value, we measure the investment at cost, less any impairments, plus or minus changes resulting from observable price changes for an identical or similar investment of the same issuer. Use of Estimates in the Preparation of Financial Statements We make estimates and assumptions when preparing financial statements under generally accepted accounting principles (“GAAP”). These estimates and assumptions affect various matters, including: • the reported amounts of assets and liabilities in our consolidated balance sheets at the dates of the financial statements; • the disclosure of contingent assets and liabilities at the dates of the financial statements; and • the reported amounts of revenues and expenses in our consolidated statements of operations during the reporting periods. Significant estimates are inherent in the presentation of our financial statements in a number of areas, including the evaluation of the collectability of accounts and deferred rent receivable, the determination of estimated useful lives of assets, the determination of lease terms, the evaluation of impairment of long-lived assets, the amount of impairment losses recognized, the allocation of property acquisition costs, the amount of revenue recognized relating to tenant improvements, the level of expense recognized in connection with share-based compensation and the determination of accounting method for investments. Actual results could differ from these and other estimates. Properties We report properties to be developed or held and used in operations at our depreciated cost, reduced for impairment losses. The predevelopment stage of the development or redevelopment of an operating property includes efforts and related costs to secure land control and zoning, evaluate feasibility and complete other initial tasks that are essential to development. We capitalize direct and indirect project costs (including related compensation and other indirect costs), interest expense and real estate taxes associated with properties, or portions thereof, undergoing development and redevelopment activities. In capitalizing interest expense, if there is a specific borrowing for a property undergoing development and redevelopment activities, we apply the interest rate of that borrowing to the average accumulated expenditures that do not exceed such borrowing; for the portion of expenditures exceeding any such specific borrowing, we apply our weighted average interest rate on other borrowings to the expenditures. We continue to capitalize costs while development or redevelopment activities are underway until a property becomes “operational,” which occurs when lease terms commence (generally when the tenant has control of the leased space and we have delivered the premises to the tenant as required under the terms of such lease), but no later than one year after the cessation of major construction activities. When leases commence on portions of a newly-developed or redeveloped property in the period prior to one year from the cessation of major construction activities, we consider that property to be “partially operational.” When a property is partially operational, we allocate the costs associated with the property between the portion that is operational and the portion under development. We start depreciating newly-developed and redeveloped properties as they become operational. Most of our leases involve some form of improvements to leased space. When we are required to provide improvements under the terms of a lease, we determine whether the improvements constitute landlord assets or tenant assets. If the improvements are landlord assets, we capitalize the cost of the improvements and recognize depreciation expense associated with such improvements over the shorter of the useful life of the assets or the term of the lease and recognize any payments from the tenant as rental revenue over the term of the lease. If the improvements are tenant assets, we defer the cost of improvements funded by us as a lease incentive asset and amortize it as a reduction of rental revenue over the term of the lease. In determining whether improvements constitute landlord or tenant assets, we consider numerous factors, including: whether the improvements are unique to the tenant or reusable by other tenants; whether the tenant is permitted to alter or remove the improvements without our consent or without compensating us for any lost fair value; whether the ownership of the improvements remains with us or remains with the tenant at the end of the lease term; and whether the economic substance of the lease terms is properly reflected. We depreciate our fixed assets using the straight-line method over their estimated useful lives as follows: Estimated Useful Lives Buildings and building improvements 10-40 years Land improvements 10-20 years Tenant improvements on operating properties Shorter of remaining useful lives of assets or related lease term Equipment and personal property 3-10 years When we dispose of, or classify as held for sale, a component or group of components that represents a strategic shift having a major effect on our operations and financial results (such as a major geographical area of operations, a major line of business or a major equity method investment), we classify the associated results of operations as discontinued operations. We had no properties newly classified as discontinued operations in the last three years. Sales of Interests in Properties We recognize gains from sales of interests in properties using the full accrual method, provided that various criteria relating to the terms of sale and any subsequent involvement by us with the real estate sold are met. Impairment of Properties We assess the asset groups associated with each of our properties, including operating properties, properties in development, land held for future development, related intangible assets, right-of-use assets, deferred rents receivable and lease liabilities for indicators of impairment quarterly or when circumstances indicate that an asset group may be impaired. If our analyses indicate that the carrying values of certain properties’ asset groups may be impaired, we perform a recovery analysis for such asset groups. For properties to be held and used, we analyze recoverability based on the estimated undiscounted future cash flows expected to be generated from the operations and eventual disposition of the properties over, in most cases, a ten-year holding period. If we believe it is more likely than not that we will dispose of the properties earlier, we analyze recoverability using a probability weighted analysis of the estimated undiscounted future cash flows expected to be generated from the operations and eventual disposition of the properties over the various possible holding periods. If the analysis indicates that the carrying value of a tested property’s asset group is not recoverable from its estimated future cash flows, the property’s asset group is written down to the property’s estimated fair value and an impairment loss is recognized. If and when our plans change, we revise our recoverability analyses to use the cash flows expected from the operations and eventual disposition of such property using holding periods that are consistent with our revised plans. Changes in holding periods may require us to recognize significant impairment losses. Fair values are estimated based on contract prices, indicative bids, discounted cash flow analyses, yield analyses or comparable sales analyses. Estimated cash flows used in our impairment analyses are based on our plans for the property and our views of market and economic conditions. The estimates consider items such as current and future market rental and occupancy rates, estimated operating and capital expenditures and recent sales data for comparable properties; most of these items are influenced by market data obtained from real estate leasing and brokerage firms and our direct experience with the properties and their markets. When we determine that a property is held for sale, we stop depreciating the property and estimate the property’s fair value, net of selling costs; if we then determine that the estimated fair value, net of selling costs, is less than the net book value of the property’s asset group, we recognize an impairment loss equal to the difference and reduce the net book value of the property’s asset group. For periods in which a property is classified as held for sale, we classify the assets of the property’s asset group as held for sale on our consolidated balance sheet for such periods. Acquisition of Operating Properties Upon completion of operating property acquisitions, we allocate the purchase price to tangible and intangible assets and liabilities associated with such acquisitions based on our estimates of their fair values. We determine these fair values by using market data and independent appraisals available to us and making numerous estimates and assumptions. We allocate operating property acquisitions to the following components: • properties based on a valuation performed under the assumption that the property is vacant upon acquisition (the “if-vacant value”). The if-vacant value is allocated between land and buildings or, in the case of properties under development, development in progress. We also allocate additional amounts to properties for in-place tenant improvements based on our estimate of improvements per square foot provided under market leases that would be attributable to the remaining non-cancelable terms of the respective leases; • above- and below-market lease intangible assets or liabilities based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between: (1) the contractual amounts to be received pursuant to the in-place leases; and (2) our estimate of fair market lease rates for the corresponding space, measured over a period equal to the remaining non-cancelable term of the lease. The capitalized above- and below-market lease values are amortized as adjustments to rental revenue over the remaining lease terms of the respective leases, and to renewal periods in the case of below-market leases; • in-place lease value based on our estimates of: (1) the present value of additional income to be realized as a result of leases being in place on the acquired properties; and (2) costs to execute similar leases. Our estimate of additional income to be realized includes carrying costs, such as real estate taxes, insurance and other operating expenses, and revenues during the expected lease-up periods considering current market conditions. Our estimate of costs to execute similar leases includes leasing commissions, legal and other related costs; • tenant relationship value based on our evaluation of the specific characteristics of each tenant’s lease and our overall relationship with that respective tenant. Characteristics we consider in determining these values include the nature and extent of our existing business relationships with the tenant, growth prospects for developing new business with the tenant, the tenant’s credit quality and expectations of lease renewals, among other factors; and • above- and below-market cost arrangements (such as real estate tax treaties or above- or below-market ground leases) based on the present value of the expected benefit from any such arrangements in place on the property at the time of acquisition. Property Right-of-Use Assets We lease land underlying certain properties that we are operating or developing from third parties. In determining operating right-of-use assets and lease liabilities for our existing operating leases upon our adoption of the new lease guidance discussed below, as well as for new operating leases in the current period, we were required to estimate an appropriate incremental borrowing rate on a fully-collateralized basis for the terms of the leases. Since the terms under our ground leases are significantly longer than the terms of borrowings available to us on a fully-collateralized basis, our estimate of this rate requires significant judgment, and considers factors such as interest rates available to us on a fully-collateralized basis for shorter-termed debt and U.S. Treasury rates. Cash and Cash Equivalents Cash and cash equivalents include all cash and liquid investments that mature three months or less from when they are purchased. Cash equivalents are reported at cost, which approximates fair value. We maintain our cash in bank accounts in amounts that may exceed Federally insured limits at times. We have not experienced any losses in these accounts in the past and believe that we are not exposed to significant credit risk because our accounts are deposited with major financial institutions. Investments in Marketable Securities We classify marketable securities as trading securities when we have the intent to sell such securities in the near term, and classify other marketable securities as available-for-sale securities. We determine the appropriate classification of investments in marketable securities at the acquisition date and re-evaluate the classification at each balance sheet date. We report investments in marketable securities classified as trading securities at fair value (which is included in the line entitled “Prepaid expenses and other assets, net” on our consolidated balance sheets), with unrealized gains and losses recognized through earnings; on our consolidated statements of cash flows, we classify cash flows from these securities as operating activities. Accounts and Deferred Rents Receivable and Investing Receivables We evaluate our receivables from customers and borrowers for collectability and recognize estimated credit losses on these receivables. We use judgment in estimating these losses based primarily upon the payment history and credit status of the entities associated with the individual receivables. We write off receivables when we believe the facts and circumstances indicate that continued pursuit of collection is no longer warranted. When cash is received in connection with receivables for which we have previously recognized credit losses, we recognize reductions in our credit losses. For lease revenue, if collectability is not probable, revenue recognized is limited to the lesser of revenue that would have been recognized if collectability was probable or lease payments collected. Losses on lease revenue receivables are presented on our consolidated statements of operation with property operating expenses for years prior to January 1, 2019, when we adopted new lease accounting guidance, and as reductions in lease revenue thereafter. We evaluate the collectability of both interest and principal of loans whenever events or changes in circumstances indicate such amounts may not be recoverable. A loan is impaired when it is probable that we will be unable to collect all amounts due according to the existing contractual terms. When a loan is impaired, the amount of the loss accrual is calculated by comparing the carrying amount of the investment to the present value of expected future cash flows discounted at the loan’s effective interest rate and the value of any collateral under such loan. Interest on impaired loans is recognized when received in cash. Intangible Assets and Deferred Revenue on Real Estate Acquisitions We amortize the intangible assets and deferred revenue on real estate acquisitions discussed above as follows: Asset Type Amortization Period Above- and below-market leases Related lease terms In-place lease value Related lease terms Tenant relationship value Estimated period of time that tenant will lease space in property Above- and below-market cost arrangements Term of arrangements We recognize the amortization of acquired above- and below-market leases as adjustments to rental revenue. We recognize the amortization of above- and below-market cost arrangements as adjustments to property operating expenses. We recognize the amortization of other intangible assets on property acquisitions as amortization expense. Deferred Leasing Costs We defer costs incurred to obtain new tenant leases or extend existing tenant leases; our deferral of costs included related non-incremental compensation costs until January 1, 2019, when we adopted new lease accounting guidance. We amortize these costs evenly over the lease terms. We classify leasing costs paid as an investing activity on our statements of cash flows since such costs are necessary in order for us to generate long-term future cash flows from our properties. When tenant leases are terminated early, we expense any unamortized deferred leasing costs associated with those leases over the shortened term of the lease. Deferred Financing Costs We defer costs of financing arrangements and recognize these costs as interest expense over the related debt terms on a straight-line basis, which approximates the amortization that would occur under the effective interest method of amortization. We expense any unamortized loan costs when loans are retired early. We present deferred costs of financing arrangements as a direct deduction from the related debt liability, except for costs attributable to line-of-credit arrangements and interest rate derivatives, which we present in the balance sheet in the line entitled “prepaid expenses and other assets, net”. Interest Rate Derivatives Our primary objectives in using interest rate derivatives are to add stability to interest expense and to manage exposure to interest rate movements. To accomplish this objective, we use interest rate swaps as part of our interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for our making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. We use interest rate swaps to hedge the cash flows associated with interest rates on variable-rate debt borrowings. We also use forward-starting interest rate swaps to hedge the cash flows associated with interest rates on forecasted fixed-rate borrowings. We recognize all derivatives as assets or liabilities on our consolidated balance sheet at fair value. Prior to our adoption of guidance issued by the Financial Accounting Standards Board (“FASB”) effective January 1, 2018, we: deferred only the effective portion of changes in fair value of the designated cash flow hedges to accumulated other comprehensive income (“AOCI”) or loss (“AOCL”), reclassifying such deferrals to interest expense as interest expense was recognized on the hedged forecasted transactions; and recognized the ineffective portion of the change in fair value of interest rate derivatives directly in interest expense. Effective January 1, 2018, we defer all changes in the fair value of designated cash flow hedges to AOCI or AOCL, reclassifying such deferrals to interest expense as interest expense is recognized on the hedged forecasted transactions. When an interest rate swap designated as a cash flow hedge no longer qualifies for hedge accounting and the hedged transactions are probable not to occur, we recognize changes in fair value of the hedge previously deferred to AOCI or AOCL, along with any changes in fair value occurring thereafter, through earnings. We do not use interest rate derivatives for trading or speculative purposes. We manage counter-party risk by only entering into contracts with major financial institutions based upon their credit ratings and other risk factors. We use standard market conventions and techniques such as discounted cash flow analysis, option pricing models, replacement cost and termination cost in computing the fair value of derivatives at each balance sheet date. We made an accounting policy election to use an exception provided for in the applicable accounting guidance with respect to measuring counterparty credit risk for derivative instruments; this election enables us to measure the fair value of groups of assets and liabilities associated with derivative instruments consistently with how market participants would price the net risk exposure as of the measurement date. Noncontrolling Interests COPT’s consolidated noncontrolling interests are comprised of interests in COPLP not owned by COPT (discussed further in Note 14) and interests in consolidated real estate joint ventures not owned by us (discussed further in Note 6). COPLP’s consolidated noncontrolling interests are comprised primarily of interests in our consolidated real estate joint ventures. Also included in COPLP’s consolidated noncontrolling interests are interests in several real estate entities owned directly by COPT, or a wholly owned subsidiary of COPT, that generally do not exceed 1% of interests in such entities. We evaluate whether noncontrolling interests are subject to redemption features outside of our control. We classify noncontrolling interests that are currently redeemable for cash at the option of the holders or are probable of becoming redeemable as redeemable noncontrolling interests in the mezzanine section of our consolidated balance sheets; we adjust these interests each period to the greater of their fair value or carrying amount (initial amount as adjusted for allocations of income and losses and contributions and distributions), with a corresponding offset to additional paid-in capital on COPT’s consolidated balance sheets or common units on COPLP’s balance sheet. Our other noncontrolling interests are reported in the equity section of our consolidated balance sheets. Revenue Recognition Lease and Other Property Revenue We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. These leases usually include options under which the tenant may renew its lease based on market rates at the time of renewal, which are then typically subject to further negotiation. These leases occasionally provide the tenant with an option to terminate its lease early usually for a defined termination fee. Most of our lease revenue is from fixed contractual payments defined under the lease that, in most cases, escalate annually over the term of the lease. Our lease revenue also includes variable lease payments predominantly for tenant reimbursements of property operating expenses and lease termination fees. Property operating expense reimbursement structures vary, with some tenants responsible for all of a property’s expenses, while others are responsible for their share of a property’s expense only to the extent such expenses exceed amounts defined in the lease (which are derived from the property’s historical expense levels). Lease termination fees in most cases result from a tenant’s exercise of an existing right under a lease. Our leases of properties as lessor reflected herein are classified as operating leases. We recognize minimum rents on operating leases, net of abatements, on a straight-line basis over the term of tenant leases. A lease term commences when: (1) the tenant has control of the leased space (legal right to use the property); and (2) we have delivered the premises to the tenant as required under the terms of such lease. The term of a lease includes the noncancellable periods of the lease along with periods covered by: (1) a tenant option to extend the lease if the tenant is reasonably certain to exercise that option; (2) a tenant option to terminate the lease if the tenant is reasonably certain not to exercise that option; and (3) an option to extend (or not to terminate) the lease in which exercise of the option is controlled by us as the lessor. When assessing the expected lease end date, we use judgment in contemplating the significance of: any penalties a tenant may incur should it choose not to exercise any existing options to extend the lease or exercise any existing options to terminate the lease; and economic incentives for the tenant based on any existing contract, asset, entity or market-based factors in the lease. While a significant portion of our portfolio is leased to the USG, and the majority of those leases consist of a series of one -year renewal options, or provide for early termination rights, we have concluded that exercise of existing renewal options, or continuation of such leases without exercising early termination rights, is reasonably certain for most of these leases. We report the amount by which our minimum rental revenue recognized on a straight-line basis under leases exceeds the contractual rent billings associated with such leases as deferred rent receivable on our consolidated balance sheets. Amounts by which our minimum rental revenue recognized on a straight-line basis under leases are less than the contractual rent billings associated with such leases are reported in liabilities as deferred revenue associated with operating leases on our consolidated balance sheets. In connection with a tenant’s entry into, or modification of, a lease, if we make cash payments to, or on behalf of, the tenant for purposes other than funding the construction of landlord assets, we defer the amount of such payments as lease incentives. As discussed above, when we are required to provide improvements under the terms of a lease, we determine whether the improvements constitute landlord assets or tenant assets; if the improvements are tenant assets, we defer the cost of improvements funded by us as a lease incentive asset. We amortize lease incentives as a reduction of rental revenue over the term of the lease. If collectability under a lease is not probable, revenue recognized is limited to the lesser of revenue that would have been recognized if collectability was probable or lease payments collected. We recognize lease revenue associated with tenant expense recoveries in the same periods in which we incur the related expenses, including tenant reimbursements of property taxes, utilities and other property operating expenses. We recognize fees received for lease terminations as revenue and write off against such revenue any (1) deferred rents receivable, and (2) deferred revenue, lease incentives and intangible assets that are amortizable into rental revenue associated with the leases; the resulting net amount is the net revenue from the early termination of the leases. When a tenant’s lease for space in a property is terminated early but the tenant continues to lease such space under a new or modified lease in the property, the net revenue from the early termination of the lease is recognized evenly over the remaining life of the new or modified lease in place on that property. Construction Contract and Other Service Revenues We enter into construction contracts to complete various design and construction services primarily for our USG tenants. The revenues and expenses from these services consist primarily of subcontracted costs that are reimbursed to us by our customers along with a fee. These services are an ancillary component of our overall operations, with small operating margins relative to the revenue. We review each contract to determine the performance obligations and allocate the transaction price based on the standalone selling price, as discussed further below. We recognize revenue under these contracts as services are performed in an amount that reflects the consideration we expect to receive in exchange for those services. Our performance obligations are satisfied over time as work progresses. Revenue recognition is determined using the input method based on costs incurred as of a point in time relative to the total estimated costs at completion to measure progress toward satisfying our performance obligations. We believe incurred costs of work performed best depicts the transfer of control of the services being transferred to the customer. In determining whether the performance obligations of each construction contract should be accounted for separately versus together, we consider numerous factors that may require significant judgment, including: whether the components contracted are substantially the same with the same pattern of transfer; whether the customer could contract with another party to perform construction based on our design project; and whether the customer can elect not to move forward after the design phase of the contract. Most of our contracts have a single performance obligation as the promise to transfer the services is not separately identifiable from other obligations in the contracts and, therefore, are not distinct. Some contracts have multiple performance obligations, most commonly due to having distinct project phases for design and construction for which our customer is making decisions and managing separately. In these cases, we allocate the transaction price between these performance obligations based on the relative standalone selling prices, which we determine by evaluating: the relative costs of each performance obligation; the expected operating margins (which typically do not vary significantly between obligations); and amounts set forth in the contracts for each obligation. Contract modifications, such as change orders, are routine for our construction contracts and are generally determined to be additions to the existing performance obligations because they would have been part of the initial performance obligations if they were identified at the initial contract date. We have three main types of compensation arrangements for our construction contracts: guaranteed maximum price (“GMP”); firm fixed price (“FFP”); and cost-plus fee. • GMP contracts provide for revenue equal to costs incurred plus a fee equal to a percentage of such costs, up to a maximum contract amount. We generally enter into GMP contracts for projects that are significant in nature based on the size of the project and total fees, and for which the full scope of the project has not been determined as of the contract date. GMP contracts are lower risk to us than FFP contracts since the costs and revenue move proportionately to one another. • FFP contracts provide for revenue equal to a fixed fee. These contracts are typically lower in value and scope relative to GMP contracts, and are generally entered into when the scope of the project is well defined. Typically, we assume more risk with FFP contracts than GMP contracts since the revenue is fixed and we could realize losses or less than expected profits if we incur more costs than originally estimated. However, these types of contracts offer the opportunity for additional profits when we complete the work for less than originally estimated. • Cost-plus fee contracts provide for revenue equal to costs incurred plus a fee equal to a percentage of such costs but, unlike GMP contracts, do not have a maximum contract amount. Similar to GMP contracts, cost-plus fee contracts are low risk to us since the costs and revenue move proportionately to one another. Construction contract cost estimates are based primarily on contracts in place with subcontractors to complete most of the work, but may also include assumptions, such |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Accounting standards define fair value as the exit price, or the amount that would be received upon sale of an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The standards also establish a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability developed based on market data obtained from sources independent of us. Unobservable inputs are inputs that reflect our assumptions about the factors market participants would use in valuing the asset or liability developed based upon the best information available in the circumstances. The hierarchy of these inputs is broken down into three levels: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 inputs include (1) quoted prices for similar assets or liabilities in active markets, (2) quoted prices for identical or similar assets or liabilities in inactive markets and (3) inputs (other than quoted prices) that are observable for the asset or liability, either directly or indirectly; and Level 3 inputs are unobservable inputs for the asset or liability. Categorization within the valuation hierarchy is based upon the lowest level of input that is most significant to the fair value measurement. Recurring Fair Value Measurements COPT has a non-qualified elective deferred compensation plan for Trustees and certain members of our management team that permits participants to defer up to 100% of their compensation on a pre-tax basis and receive a tax-deferred return on such deferrals. The assets held in the plan (comprised primarily of mutual funds and equity securities) and the corresponding liability to the participants are measured at fair value on a recurring basis on COPT’s consolidated balance sheets using quoted market prices, as are other marketable securities that we hold. The balance of the plan, which was fully funded, totaled $3.1 million as of December 31, 2019 and $3.9 million as of December 31, 2018 , and is included in the line entitled “prepaid expenses and other assets, net” on COPT’s consolidated balance sheets. The offsetting liability associated with the plan is adjusted to fair value at the end of each accounting period based on the fair value of the plan assets and reported in other liabilities on COPT’s consolidated balance sheets. The assets of the plan are classified in Level 1 of the fair value hierarchy, while the offsetting liability is classified in Level 2 of the fair value hierarchy. The fair values of our interest rate derivatives are determined using widely accepted valuation techniques, including a discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate market data and implied volatilities in such interest rates. While we determined that the majority of the inputs used to value our derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with our interest rate derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default. However, as of December 31, 2019 and 2018 , we assessed the significance of the impact of the credit valuation adjustments on the overall valuation of our derivatives and determined that these adjustments are not significant. As a result, we determined that our interest rate derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. The carrying values of cash and cash equivalents, restricted cash, accounts receivable, other assets (excluding investing receivables) and accounts payable and accrued expenses are reasonable estimates of their fair values because of the short maturities of these instruments. The fair values of our investing receivables, as disclosed in Note 8, were based on the discounted estimated future cash flows of the loans (categorized within Level 3 of the fair value hierarchy); the discount rates used approximate current market rates for loans with similar maturities and credit quality, and the estimated cash payments include scheduled principal and interest payments. For our disclosure of debt fair values in Note 10, we estimated the fair value of our unsecured senior notes based on quoted market rates for publicly-traded debt (categorized within Level 2 of the fair value hierarchy) and estimated the fair value of our other debt based on the discounted estimated future cash payments to be made on such debt (categorized within Level 3 of the fair value hierarchy); the discount rates used approximate current market rates for loans, or groups of loans, with similar maturities and credit quality, and the estimated future payments include scheduled principal and interest payments. Fair value estimates are made as of a specific point in time, are subjective in nature and involve uncertainties and matters of significant judgment. Settlement at such fair value amounts may not be possible and may not be a prudent management decision. For additional fair value information, refer to Note 8 for investing receivables, Note 10 for debt and Note 11 for interest rate derivatives. COPT and Subsidiaries The tables below set forth financial assets and liabilities of COPT and subsidiaries that are accounted for at fair value on a recurring basis as of December 31, 2019 and 2018 and the hierarchy level of inputs used in measuring their respective fair values under applicable accounting standards (in thousands): Description Quoted Prices in Significant Other Significant Inputs (Level 3) Total December 31, 2019: Assets: Marketable securities in deferred compensation plan (1) Mutual funds $ 3,035 $ — $ — $ 3,035 Other 25 — — 25 Interest rate derivatives (1) — 23 — 23 Total assets $ 3,060 $ 23 $ — $ 3,083 Liabilities: Deferred compensation plan liability (2) $ — $ 3,060 $ — $ 3,060 Interest rate derivatives — 25,682 — 25,682 Total liabilities $ — $ 28,742 $ — $ 28,742 December 31, 2018: Assets: Marketable securities in deferred compensation plan (1) Mutual funds $ 3,819 $ — $ — $ 3,819 Other 49 — — 49 Interest rate derivatives (1) — 5,617 — 5,617 Total assets $ 3,868 $ 5,617 $ — $ 9,485 Liabilities: Deferred compensation plan liability (2) $ — $ 3,868 $ — $ 3,868 Interest rate derivatives — 5,459 — 5,459 Total liabilities $ — $ 9,327 $ — $ 9,327 (1) Included in the line entitled “prepaid expenses and other assets, net” on COPT ’ s consolidated balance sheet. (2) Included in the line entitled “other liabilities” on COPT ’ s consolidated balance sheet. COPLP and Subsidiaries The tables below set forth financial assets and liabilities of COPLP and subsidiaries that are accounted for at fair value on a recurring basis as of December 31, 2019 and 2018 and the hierarchy level of inputs used in measuring their respective fair values under applicable accounting standards (in thousands): Description Quoted Prices in Significant Other Significant Inputs (Level 3) Total December 31, 2019: Assets: Interest rate derivatives (1) $ — $ 23 $ — $ 23 Liabilities: Interest rate derivatives $ — $ 25,682 $ — $ 25,682 December 31, 2018: Assets: Interest rate derivatives (1) $ — $ 5,617 $ — $ 5,617 Liabilities: Interest rate derivatives $ — $ 5,459 $ — $ 5,459 (1) Included in the line entitled “prepaid expenses and other assets, net” on COPLP ’ s consolidated balance sheet. 2019 Nonrecurring Fair Value Measurements In the third quarter of 2019, we determined that the carrying amount of land held in Frederick, Maryland would not be recovered from its eventual disposition. As a result, we recognized an impairment loss of $327,000 in order to adjust the land to its estimated fair value. This land was sold in the fourth quarter of 2019. 2017 Nonrecurring Fair Value Measurements As part of our closing process for each quarter in 2017, we conducted our review of our portfolio of long-lived assets to be held and used for indicators of impairment and found there to be no impairment losses in the first, second and third quarters. In the fourth quarter of 2017, our assessment of weakening leasing prospects and expected enduring vacancy in our Aberdeen, Maryland (“Aberdeen”) portfolio indicated that these properties could be impaired. We performed recovery analyses on the properties considering weakening tenant demand, high vacancy and low investor demand for office properties in the surrounding submarkets and concluded that the carrying values of these properties were not likely to be recovered from the expected undiscounted cash flows from the operation and eventual disposition of these properties. Accordingly, we recognized $9.0 million of impairment losses on the operating properties in Aberdeen (included in our Other segment). In addition, and also considering these conditions, we determined that we would not likely recover the carrying amount of land in this submarket and recognized a $4.7 million impairment loss on it. We previously recognized impairment losses on these properties in 2016. We determined that the declines in values that have occurred since the initial losses were recognized were due to declining market conditions. For the respective quarters in 2017, we also performed recoverability analyses for our properties classified as held for sale, which resulted in impairment losses of $1.6 million in the second quarter of 2017. These impairment losses were primarily on properties in White Marsh, Maryland (“White Marsh”) (included in our Regional Office and Other segments) that we reclassified to held for sale during the period and adjusted to fair value less costs to sell. These properties were sold in the third quarter of 2017. Changes in the expected future cash flows due to changes in our plans for specific properties (especially our expected holding period) could result in the recognition of impairment losses. In addition, because properties held for sale are carried at the lower of carrying value or estimated fair values less costs to sell, declines in their estimated fair values due to market conditions and other factors could result in the recognition of impairment losses. |
Properties, Net
Properties, Net | 12 Months Ended |
Dec. 31, 2019 | |
Real Estate [Abstract] | |
Properties, Net | Properties, Net Operating properties, net consisted of the following (in thousands): December 31, 2019 2018 Land $ 472,976 $ 503,274 Buildings and improvements 3,306,791 3,241,894 Less: Accumulated depreciation (1,007,120 ) (897,903 ) Operating properties, net $ 2,772,647 $ 2,847,265 2019 Dispositions In 2019, we sold, through a series of transactions, a 90% interest in nine recently-developed data center shells in Northern Virginia based on an aggregate property value of property value of $345.1 million , retaining a 10% interest in the properties through BREIT COPT DC JV LLC (“BREIT-COPT”), a newly-formed joint venture. The transactions for seven of these properties were completed on June 20, 2019 and the remaining two properties on December 5, 2019. Our partner in the joint venture acquired the 90% interest from us for $310.6 million . We account for our interest in the joint venture using the equity method of accounting as described further in Note 6. We recognized a gain on sale of $105.2 million . 2019 Development Activities In 2019, we placed into service 1.1 million square feet in nine newly-developed properties and 85,000 square feet in one partially-operational property under redevelopment. As of December 31, 2019 , we had 13 properties under development, or which we were contractually committed to develop, that we estimate will total 2.3 million square feet upon completion and one partially-operational property under redevelopment that we estimate will total 106,000 square feet upon completion. 2018 Dispositions In 2018, we sold 11751 Meadowville Lane, an operating property totaling 193,000 square feet in Chester, Virginia (in our Data Center Shells sub-segment). We contractually closed on the sale of this property on October 27, 2017 for $44.0 million . We provided a financial guaranty to the buyer under which we provided an indemnification for up to $20 million in losses it could incur related to a potential defined capital event occurring on the property; our financial guaranty to the buyer expired on October 1, 2018, resulting in no losses to us. We accounted for this transaction as a financing arrangement. Accordingly, we did not recognize the sale of this property for accounting purposes until the expiration of the guaranty on October 1, 2018. In the fourth quarter of 2018, we recognized a gain on this sale of $1.5 million . 2018 Development Activities In 2018 , we placed into service 666,000 square feet in six newly-developed properties (including two partially- operational properties), 22,000 square feet in one redeveloped property and land under a long-term contract. In the fourth quarter of 2018, we abandoned plans to redevelop a property in our Fort Meade/BW Corridor sub-segment after we completed leasing on the property that did not require any redevelopment. Accordingly, we recognized an impairment loss of $2.4 million representing pre-development costs associated with the property. 2017 Dispositions In 2017, we sold the following operating properties (dollars in thousands): Project Name City, State Segment Date of Sale Number of Properties Total Rentable Square Feet Transaction Value Gain on Sale 3120 Fairview Park Drive Falls Church, VA Northern Virginia Defense/IT 2/15/2017 1 190,000 $ 39,000 $ — 1334 Ashton Road Hanover, MD Fort Meade/BW Corridor 6/9/2017 1 37,000 2,300 — White Marsh Properties (1) White Marsh, MD Regional Office and Other 7/28/2017 8 412,000 47,500 1,180 201 Technology Drive Lebanon, VA Data Center Shells 10/27/2017 1 103,000 29,500 3,625 7320 Parkway Drive Hanover, MD Fort Meade/BW Corridor 12/15/2017 1 57,000 7,529 831 12 799,000 $ 125,829 $ 5,636 (1) This sale also included land. We also sold other land for $14.3 million and recognized a gain on sale of $4.2 million . 2017 Development Activities In 2017, we placed into service 1.1 million square feet in eight newly-developed properties (including a partially- operational property) and 94,000 square feet in three |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | Leases Lessor Arrangements We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. As of December 31, 2019 , these leases, which may encompass all, or a portion of, a property, had remaining terms spanning from one month to 15 years and averaging approximately five years . Our lease revenue is comprised of: fixed lease revenue, including contractual rent billings under leases recognized on a straight-line basis over lease terms and amortization of lease incentives and above- and below- market lease intangibles; and variable lease revenue, including tenant expense recoveries, lease termination revenue and other revenue from tenants that is not fixed under the lease. The table below sets forth our allocation of lease revenue recognized between fixed and variable lease revenue (in thousands): Lease revenue For the Year Ended December 31, 2019 Fixed $ 412,342 Variable 110,130 $ 522,472 A significant concentration of our lease revenue in 2019 was earned from our largest tenant, the USG, including 34% of our total lease revenue and 25% of our fixed lease revenue. Our lease revenue from the USG was earned primarily from properties in the Fort Meade/BW Corridor, Lackland Air Force Base and Northern Virginia Defense/IT reportable sub-segments (see Note 16). Fixed contractual payments due under our property leases were as follows (in thousands): Year Ending December 31, December 31, 2019 2020 $ 388,310 2021 336,482 2022 299,356 2023 245,661 2024 195,246 Thereafter 474,741 $ 1,939,796 Lessee Arrangements We lease land underlying certain properties that we are operating or developing from third parties. These ground leases have long durations with remaining terms ranging from 29 years (excluding extension options) to 96 years . As of December 31, 2019 , our balance sheet included $68.3 million in right-of-use assets associated with ground leases that included: • $37.8 million for land on which we are developing an office property in Washington, DC through our Stevens Investors, LLC joint venture, virtually all of the rent on which was previously paid. This lease has a 96 -year remaining term, and we possess a bargain purchase option that we expect to exercise in 2020; • $10.3 million for land underlying operating office properties in Washington, DC under two leases with remaining terms of approximately 80 years ; • $6.5 million for land underlying a parking garage in Baltimore, Maryland under a lease with a remaining term of 29 years and an option to renew for an additional 49 years that was included in the term used in determining the asset balance; • $6.6 million for land in a research park in College Park, Maryland under four leases through our M Square Associates, LLC joint venture all of the rent on which was previously paid. These leases had remaining terms ranging from 63 to 74 years ; • $4.8 million for land in a business park in Huntsville, Alabama under 10 leases through our LW Redstone Company, LLC joint venture, with remaining terms ranging from 43 to 51 years and options to renew for an additional 25 years that were not included in the term used in determining the asset balance; and • $2.3 million for other land underlying operating properties in our Fort Meade/BW Corridor sub-segment under two leases with remaining terms of approximately 48 years all of the rent on which was previously paid. As of December 31, 2019 , our balance sheet also included right-of-use lease assets totaling $1.2 million in connection with vehicles and office equipment that we lease from third parties. Our right-of-use assets consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Right-of-use assets Operating leases - Property Property - operating right-of-use assets $ 27,864 Finance leases Property Property - finance right-of-use assets 40,458 Vehicles and office equipment Prepaid expenses and other assets, net 1,196 Total finance lease right-of-use assets 41,654 Total right-of-use assets $ 69,518 Lease liabilities consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Lease liabilities Operating leases - Property Property - operating lease liabilities $ 17,317 Finance leases Other liabilities 1,116 Total lease liabilities $ 18,433 The table below sets forth the weighted average terms and discount rates of our leases as of December 31, 2019 : Weighted average remaining lease term Operating leases 68 years Finance leases 1 year Weighted average discount rate Operating leases 7.33 % Finance leases 3.11 % The table below presents our total lease cost (in thousands): Lease cost Statement of Operations Location For the Year Ended December 31, 2019 Operating lease cost Property leases Property operating expenses $ 1,699 Vehicles and office equipment General, administrative and leasing expenses 69 Finance lease cost Amortization of vehicles and office equipment right-of-use assets General, administrative and leasing expenses 457 Amortization of property right-of-use assets Property operating expenses 30 Interest on lease liabilities Interest expense 13 $ 2,268 The table below presents the effect of lease payments on our consolidated statement of cash flows (in thousands): Supplemental cash flow information For the Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 1,004 Operating cash flows for financing leases $ 13 Financing cash flows for financing leases $ 223 Payments on leases as of December 31, 2019 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2020 $ 1,140 $ 862 $ 2,002 2021 1,146 202 1,348 2022 1,164 64 1,228 2023 1,169 — 1,169 2024 1,173 — 1,173 Thereafter 100,609 — 100,609 Total lease payments 106,401 1,128 107,529 Less: Amount representing interest (89,084 ) (12 ) (89,096 ) Lease liability $ 17,317 $ 1,116 $ 18,433 Future minimum rental payments on leases as of December 31, 2018 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2019 $ 1,101 $ 219 $ 1,320 2020 1,110 844 1,954 2021 1,094 184 1,278 2022 1,115 49 1,164 2023 1,119 — 1,119 Thereafter 83,373 — 83,373 Total lease payments $ 88,912 1,296 90,208 Less: Amount representing interest N/A (24 ) (24 ) Total N/A $ 1,272 $ 90,184 |
Leases | Leases Lessor Arrangements We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. As of December 31, 2019 , these leases, which may encompass all, or a portion of, a property, had remaining terms spanning from one month to 15 years and averaging approximately five years . Our lease revenue is comprised of: fixed lease revenue, including contractual rent billings under leases recognized on a straight-line basis over lease terms and amortization of lease incentives and above- and below- market lease intangibles; and variable lease revenue, including tenant expense recoveries, lease termination revenue and other revenue from tenants that is not fixed under the lease. The table below sets forth our allocation of lease revenue recognized between fixed and variable lease revenue (in thousands): Lease revenue For the Year Ended December 31, 2019 Fixed $ 412,342 Variable 110,130 $ 522,472 A significant concentration of our lease revenue in 2019 was earned from our largest tenant, the USG, including 34% of our total lease revenue and 25% of our fixed lease revenue. Our lease revenue from the USG was earned primarily from properties in the Fort Meade/BW Corridor, Lackland Air Force Base and Northern Virginia Defense/IT reportable sub-segments (see Note 16). Fixed contractual payments due under our property leases were as follows (in thousands): Year Ending December 31, December 31, 2019 2020 $ 388,310 2021 336,482 2022 299,356 2023 245,661 2024 195,246 Thereafter 474,741 $ 1,939,796 Lessee Arrangements We lease land underlying certain properties that we are operating or developing from third parties. These ground leases have long durations with remaining terms ranging from 29 years (excluding extension options) to 96 years . As of December 31, 2019 , our balance sheet included $68.3 million in right-of-use assets associated with ground leases that included: • $37.8 million for land on which we are developing an office property in Washington, DC through our Stevens Investors, LLC joint venture, virtually all of the rent on which was previously paid. This lease has a 96 -year remaining term, and we possess a bargain purchase option that we expect to exercise in 2020; • $10.3 million for land underlying operating office properties in Washington, DC under two leases with remaining terms of approximately 80 years ; • $6.5 million for land underlying a parking garage in Baltimore, Maryland under a lease with a remaining term of 29 years and an option to renew for an additional 49 years that was included in the term used in determining the asset balance; • $6.6 million for land in a research park in College Park, Maryland under four leases through our M Square Associates, LLC joint venture all of the rent on which was previously paid. These leases had remaining terms ranging from 63 to 74 years ; • $4.8 million for land in a business park in Huntsville, Alabama under 10 leases through our LW Redstone Company, LLC joint venture, with remaining terms ranging from 43 to 51 years and options to renew for an additional 25 years that were not included in the term used in determining the asset balance; and • $2.3 million for other land underlying operating properties in our Fort Meade/BW Corridor sub-segment under two leases with remaining terms of approximately 48 years all of the rent on which was previously paid. As of December 31, 2019 , our balance sheet also included right-of-use lease assets totaling $1.2 million in connection with vehicles and office equipment that we lease from third parties. Our right-of-use assets consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Right-of-use assets Operating leases - Property Property - operating right-of-use assets $ 27,864 Finance leases Property Property - finance right-of-use assets 40,458 Vehicles and office equipment Prepaid expenses and other assets, net 1,196 Total finance lease right-of-use assets 41,654 Total right-of-use assets $ 69,518 Lease liabilities consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Lease liabilities Operating leases - Property Property - operating lease liabilities $ 17,317 Finance leases Other liabilities 1,116 Total lease liabilities $ 18,433 The table below sets forth the weighted average terms and discount rates of our leases as of December 31, 2019 : Weighted average remaining lease term Operating leases 68 years Finance leases 1 year Weighted average discount rate Operating leases 7.33 % Finance leases 3.11 % The table below presents our total lease cost (in thousands): Lease cost Statement of Operations Location For the Year Ended December 31, 2019 Operating lease cost Property leases Property operating expenses $ 1,699 Vehicles and office equipment General, administrative and leasing expenses 69 Finance lease cost Amortization of vehicles and office equipment right-of-use assets General, administrative and leasing expenses 457 Amortization of property right-of-use assets Property operating expenses 30 Interest on lease liabilities Interest expense 13 $ 2,268 The table below presents the effect of lease payments on our consolidated statement of cash flows (in thousands): Supplemental cash flow information For the Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 1,004 Operating cash flows for financing leases $ 13 Financing cash flows for financing leases $ 223 Payments on leases as of December 31, 2019 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2020 $ 1,140 $ 862 $ 2,002 2021 1,146 202 1,348 2022 1,164 64 1,228 2023 1,169 — 1,169 2024 1,173 — 1,173 Thereafter 100,609 — 100,609 Total lease payments 106,401 1,128 107,529 Less: Amount representing interest (89,084 ) (12 ) (89,096 ) Lease liability $ 17,317 $ 1,116 $ 18,433 Future minimum rental payments on leases as of December 31, 2018 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2019 $ 1,101 $ 219 $ 1,320 2020 1,110 844 1,954 2021 1,094 184 1,278 2022 1,115 49 1,164 2023 1,119 — 1,119 Thereafter 83,373 — 83,373 Total lease payments $ 88,912 1,296 90,208 Less: Amount representing interest N/A (24 ) (24 ) Total N/A $ 1,272 $ 90,184 |
Leases | Leases Lessor Arrangements We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. As of December 31, 2019 , these leases, which may encompass all, or a portion of, a property, had remaining terms spanning from one month to 15 years and averaging approximately five years . Our lease revenue is comprised of: fixed lease revenue, including contractual rent billings under leases recognized on a straight-line basis over lease terms and amortization of lease incentives and above- and below- market lease intangibles; and variable lease revenue, including tenant expense recoveries, lease termination revenue and other revenue from tenants that is not fixed under the lease. The table below sets forth our allocation of lease revenue recognized between fixed and variable lease revenue (in thousands): Lease revenue For the Year Ended December 31, 2019 Fixed $ 412,342 Variable 110,130 $ 522,472 A significant concentration of our lease revenue in 2019 was earned from our largest tenant, the USG, including 34% of our total lease revenue and 25% of our fixed lease revenue. Our lease revenue from the USG was earned primarily from properties in the Fort Meade/BW Corridor, Lackland Air Force Base and Northern Virginia Defense/IT reportable sub-segments (see Note 16). Fixed contractual payments due under our property leases were as follows (in thousands): Year Ending December 31, December 31, 2019 2020 $ 388,310 2021 336,482 2022 299,356 2023 245,661 2024 195,246 Thereafter 474,741 $ 1,939,796 Lessee Arrangements We lease land underlying certain properties that we are operating or developing from third parties. These ground leases have long durations with remaining terms ranging from 29 years (excluding extension options) to 96 years . As of December 31, 2019 , our balance sheet included $68.3 million in right-of-use assets associated with ground leases that included: • $37.8 million for land on which we are developing an office property in Washington, DC through our Stevens Investors, LLC joint venture, virtually all of the rent on which was previously paid. This lease has a 96 -year remaining term, and we possess a bargain purchase option that we expect to exercise in 2020; • $10.3 million for land underlying operating office properties in Washington, DC under two leases with remaining terms of approximately 80 years ; • $6.5 million for land underlying a parking garage in Baltimore, Maryland under a lease with a remaining term of 29 years and an option to renew for an additional 49 years that was included in the term used in determining the asset balance; • $6.6 million for land in a research park in College Park, Maryland under four leases through our M Square Associates, LLC joint venture all of the rent on which was previously paid. These leases had remaining terms ranging from 63 to 74 years ; • $4.8 million for land in a business park in Huntsville, Alabama under 10 leases through our LW Redstone Company, LLC joint venture, with remaining terms ranging from 43 to 51 years and options to renew for an additional 25 years that were not included in the term used in determining the asset balance; and • $2.3 million for other land underlying operating properties in our Fort Meade/BW Corridor sub-segment under two leases with remaining terms of approximately 48 years all of the rent on which was previously paid. As of December 31, 2019 , our balance sheet also included right-of-use lease assets totaling $1.2 million in connection with vehicles and office equipment that we lease from third parties. Our right-of-use assets consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Right-of-use assets Operating leases - Property Property - operating right-of-use assets $ 27,864 Finance leases Property Property - finance right-of-use assets 40,458 Vehicles and office equipment Prepaid expenses and other assets, net 1,196 Total finance lease right-of-use assets 41,654 Total right-of-use assets $ 69,518 Lease liabilities consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Lease liabilities Operating leases - Property Property - operating lease liabilities $ 17,317 Finance leases Other liabilities 1,116 Total lease liabilities $ 18,433 The table below sets forth the weighted average terms and discount rates of our leases as of December 31, 2019 : Weighted average remaining lease term Operating leases 68 years Finance leases 1 year Weighted average discount rate Operating leases 7.33 % Finance leases 3.11 % The table below presents our total lease cost (in thousands): Lease cost Statement of Operations Location For the Year Ended December 31, 2019 Operating lease cost Property leases Property operating expenses $ 1,699 Vehicles and office equipment General, administrative and leasing expenses 69 Finance lease cost Amortization of vehicles and office equipment right-of-use assets General, administrative and leasing expenses 457 Amortization of property right-of-use assets Property operating expenses 30 Interest on lease liabilities Interest expense 13 $ 2,268 The table below presents the effect of lease payments on our consolidated statement of cash flows (in thousands): Supplemental cash flow information For the Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 1,004 Operating cash flows for financing leases $ 13 Financing cash flows for financing leases $ 223 Payments on leases as of December 31, 2019 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2020 $ 1,140 $ 862 $ 2,002 2021 1,146 202 1,348 2022 1,164 64 1,228 2023 1,169 — 1,169 2024 1,173 — 1,173 Thereafter 100,609 — 100,609 Total lease payments 106,401 1,128 107,529 Less: Amount representing interest (89,084 ) (12 ) (89,096 ) Lease liability $ 17,317 $ 1,116 $ 18,433 Future minimum rental payments on leases as of December 31, 2018 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2019 $ 1,101 $ 219 $ 1,320 2020 1,110 844 1,954 2021 1,094 184 1,278 2022 1,115 49 1,164 2023 1,119 — 1,119 Thereafter 83,373 — 83,373 Total lease payments $ 88,912 1,296 90,208 Less: Amount representing interest N/A (24 ) (24 ) Total N/A $ 1,272 $ 90,184 |
Real Estate Joint Ventures
Real Estate Joint Ventures | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Real Estate Joint Ventures | Real Estate Joint Ventures Consolidated Real Estate Joint Ventures We consolidate the real estate joint ventures described below because of our: (1) power to direct the matters that most significantly impact their activities, including development, leasing and management of the properties developed by the VIEs; and (2) right to receive returns on our fundings and, in many cases, the obligation to fund the activities of the ventures to the extent that third-party financing is not obtained, both of which could be potentially significant to the VIEs. The table below sets forth information pertaining to our investments in consolidated real estate joint ventures as of December 31, 2019 (dollars in thousands): Nominal Ownership % December 31, 2019 (1) Date Acquired Total Assets Encumbered Assets Total Liabilities Entity Location LW Redstone Company, LLC 3/23/2010 85% Huntsville, Alabama $ 249,875 $ 73,911 $ 73,083 M Square Associates, LLC 6/26/2007 50% College Park, Maryland 87,915 63,895 56,028 Stevens Investors, LLC 8/11/2015 95% Washington, DC 126,603 126,112 56,268 $ 464,393 $ 263,918 $ 185,379 (1) Excludes amounts eliminated in consolidation. Each of these joint ventures are engaged in the development and operation of real estate. With regard to these joint ventures: • for LW Redstone Company, LLC, we anticipate funding certain infrastructure costs (up to a maximum of $76.0 million excluding accrued interest thereon) due to be reimbursed by the City of Huntsville as discussed further in Note 8. We had advanced $49.0 million to the City through December 31, 2019 to fund such costs. We also expect to fund additional development costs through equity contributions to the extent that third party financing is not obtained. Our partner was credited with a $9.0 million capital account upon formation and is not required to make equity contributions. While net cash flow distributions to the partners vary depending on the source of the funds distributed, cash flows are generally distributed as follows: • cumulative preferred returns on capital invested to fund the project’s infrastructure costs on a pro rata basis to us and our partner; • cumulative preferred returns on our capital invested to fund the project’s vertical construction; • return of our invested capital; • return of our partner’s capital; • any remaining residual 85% to us and 15% to our partner. Our partner has the right to require us to acquire its interest for fair value beginning in March 2020; accordingly, we classify the fair value of our partner’s interest as redeemable noncontrolling interests in the mezzanine section of our consolidated balance sheets. We have the right to acquire our partner’s interest at fair value upon the earlier of five years following the project’s achievement of a construction commencement threshold of 4.4 million square feet or March 2040; the project had achieved approximately 1.5 million square feet of construction commencement through December 31, 2019 . Our partner has the right to receive some or all of the consideration for the acquisition of its interests in the form of common units in COPLP; • for M Square Associates, LLC, net cash flows of this entity are distributed to the partners as follows: (1) member loans and accrued interest; (2) our preferred return and capital contributions used to fund infrastructure costs; (3) the partners’ preferred returns and capital contributions used to fund all other costs, including the base land value credit, in proportion to the accrued returns and capital accounts; and (4) residual amounts distributed 50% to each member; and • for Stevens Investors, LLC, net cash flows of this entity will be distributed to the partners as follows: (1) member loans and accrued interest; (2) pro rata return of the partners’ capital; (3) pro rata return of the partners’ respective unpaid preferred returns; and (4) varying splits of 85% to 60% to us and the balance to our partners as we reach specified return hurdles. Our partners have the right to require us to acquire some or all of their interests for fair value for a defined period of time following the property’s development completion (expected to occur in 2021) and stabilization (as defined in the operating agreement) of the joint venture’s office property; accordingly, we classify the fair value of our partners’ interest as redeemable noncontrolling interests in the mezzanine section of our consolidated balance sheets. We and our partners each have the right to acquire each other’s interests at fair value upon the second anniversary of the property’s stabilization date (as defined in the operating agreement). Our partners have the right to receive some or all of the consideration for the acquisition of their interests in the form of common units in COPLP. We disclose the activity of our redeemable noncontrolling interests in Note 12. The ventures discussed above include only ones in which parties other than COPLP and COPT own interests. Unconsolidated Real Estate Joint Ventures The table below sets forth information pertaining to our investments in unconsolidated real estate joint ventures accounted for using the equity method of accounting (dollars in thousands): Date Acquired Nominal Ownership % Number of Properties Carrying Value of Investment (1) Entity December 31, 2019 December 31, 2018 GI-COPT DC Partnership LLC 7/21/2016 50% 6 $ 37,816 $ 39,845 BREIT COPT DC JV LLC 6/20/2019 10% 9 14,133 — 15 $ 51,949 $ 39,845 (1) Included in the line entitled “investment in unconsolidated real estate joint ventures” on our consolidated balance sheets. These joint ventures operate triple-net leased, single-tenant data center shell properties in Northern Virginia. With regard to these joint ventures: • for GI-COPT DC Partnership LLC, under the terms of the joint venture agreement, we and our partner receive returns in proportion to our investments in the joint venture; and • for BREIT-COPT, as described further in Note 4, in 2019, we sold a 90% interest in nine triple-net leased, single-tenant data center shell properties in Northern Virginia and retained a 10% interest in the properties through the joint venture. We concluded that the joint venture is a variable interest entity. Under the terms of the joint venture agreement, we and our partner receive returns in proportion to our investments, and our maximum exposure to losses is limited to our investment, subject to certain indemnification obligations with respect to nonrecourse debt secured by the properties. The nature of our involvement in the activities of the joint venture does not give us power over decisions that significantly affect its economic performance. |
Intangible Assets on Real Estat
Intangible Assets on Real Estate Acquisitions | 12 Months Ended |
Dec. 31, 2019 | |
Intangible Assets on Real Estate Acquisitions | |
Intangible Assets on Real Estate Acquisitions | Intangible Assets on Real Estate Acquisitions Intangible assets on real estate acquisitions consisted of the following (in thousands): December 31, 2019 December 31, 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount In-place lease value $ 131,975 $ 120,894 $ 11,081 $ 132,276 $ 117,520 $ 14,756 Tenant relationship value 59,131 43,544 15,587 60,028 39,703 20,325 Above-market leases 13,718 13,318 400 13,841 13,164 677 Below-market cost arrangements (1) — — — 8,880 1,507 7,373 Other 1,333 1,009 324 1,333 994 339 $ 206,157 $ 178,765 $ 27,392 $ 216,358 $ 172,888 $ 43,470 (1) These assets pertain to ground leases. Upon our adoption of lease accounting guidance effective January 1, 2019, the net carrying amount was reclassified to property operating lease right-of-use assets associated with these leases. Amortization of the intangible asset categories set forth above totaled $ 8.7 million in 2019, $ 15.6 million in 2018 and $19.3 million in 2017 . The approximate weighted average amortization periods of the categories set forth above follow: in-place lease value: seven years ; tenant relationship value: eight years ; above-market leases: eight years ; and other: 23 years . The approximate weighted average amortization period for all of the categories combined is eight years . The estimated amortization (to amortization associated with real estate operations, rental revenue and property operating expenses) associated with the intangible asset categories set forth above for the next five years is: $5.2 million for 2020 ; $5.0 million for 2021 ; $3.5 million for 2022 ; $3.1 million for 2023 ; and $2.5 million for 2024 |
Investing Receivables
Investing Receivables | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Investing Receivables | Investing Receivables Investing receivables, including accrued interest thereon, consisted of the following (in thousands): December 31, 2019 2018 Notes receivable from City of Huntsville $ 59,427 $ 53,961 Other investing loans receivable 14,096 3,021 $ 73,523 $ 56,982 Our notes receivable from the City of Huntsville funded infrastructure costs in connection with our LW Redstone Company, LLC joint venture (see Note 6) and carry an interest rate of 9.95% . These notes and the accrued and unpaid interest thereon, which is compounded annually on March 1, will be repaid using the real estate taxes generated by the properties developed by the joint venture. When these tax revenues are sufficient to cover the debt service on a certain increment of municipal bonds, the City of Huntsville will be required to issue bonds to repay the notes and the accrued and unpaid interest thereon. Each note has a maturity date of the earlier of 30 years from the date issued or the expiration of the tax increment district comprising the developed properties in 2045. Our other investing loans receivable carry an interest rate of 8.0% and mature in 2020. We did not have an allowance for credit losses in connection with our investing receivables as of December 31, 2019 or December 31, 2018 . The fair value of these receivables was approximately $74 million as of December 31, 2019 and $58 million as of December 31, 2018 . |
Prepaid Expenses and Other Asse
Prepaid Expenses and Other Assets, Net | 12 Months Ended |
Dec. 31, 2019 | |
Prepaid Expense and Other Assets [Abstract] | |
Prepaid Expenses and Other Assets, Net | Prepaid Expenses and Other Assets, Net Prepaid expenses and other assets, net consisted of the following (in thousands): December 31, 2019 2018 Lease incentives, net $ 28,433 $ 21,258 Prepaid expenses 18,835 25,658 Construction contract costs in excess of billings 17,223 3,189 Furniture, fixtures and equipment, net (1) 7,823 8,630 Non-real estate equity investments 6,705 5,940 Deferred financing costs, net (2) 3,633 4,733 Restricted cash 3,397 3,884 Deferred tax asset, net 2,328 2,084 Interest rate derivatives 23 5,617 Other assets 4,616 6,337 Total for COPLP and subsidiaries 93,016 87,330 Marketable securities in deferred compensation plan 3,060 3,868 Total for COPT and subsidiaries $ 96,076 $ 91,198 (1) Includes $1.2 million in finance right-of-use assets as of December 31, 2019 . (2) Represents deferred costs, net of accumulated amortization, attributable to our Revolving Credit Facility and interest rate derivatives. Deferred tax asset, net reported above includes the following tax effects of temporary differences and carry forwards of our TRS (in thousands): December 31, 2019 2018 Operating loss carry forward $ 2,885 $ 4,354 Property (77 ) 427 Share-based compensation — 28 Accrued payroll — 2 Valuation allowance (480 ) (2,727 ) Deferred tax asset, net $ 2,328 $ 2,084 We recognize a valuation allowance on our deferred tax asset if we believe all or some portion of the asset may not be realized. An increase or decrease in the valuation allowance resulting from a change in circumstances that causes a change in our judgment about the realizability of our deferred tax asset is included in income. The decrease in deferred tax asset valuation allowance reflected above was due to higher projected taxable income in our TRS resulting from certain construction projects. We believe it is more likely than not that the results of future operations in our TRS will generate sufficient taxable income to realize our December 31, 2019 net deferred tax asset. |
Debt, Net
Debt, Net | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt, Net | Debt, Net Debt Summary Our debt consisted of the following (dollars in thousands): Carrying Value (1) as of December 31, 2019 December 31, December 31, Stated Interest Rates Scheduled Maturity Mortgage and Other Secured Debt: Fixed rate mortgage debt (2) $ 143,430 $ 147,141 3.82% - 4.62% (3) 2023-2026 Variable rate secured debt (4) 68,055 23,282 LIBOR + 1.45% to 2.35% (5) 2020-2026 Total mortgage and other secured debt 211,485 170,423 Revolving Credit Facility 177,000 213,000 LIBOR + 0.775% to 1.45% (6) March 2023 (7) Term Loan Facility (8) 248,706 248,273 LIBOR + 0.85% to 1.65% (9) 2022 Unsecured Senior Notes (10) 3.60%, $350,000 aggregate principal 348,431 347,986 3.60% (11) May 2023 5.25%, $250,000 aggregate principal 247,652 247,136 5.25% (12) February 2024 3.70%, $300,000 aggregate principal 299,324 298,815 3.70% (13) June 2021 5.00%, $300,000 aggregate principal 297,503 297,109 5.00% (14) July 2025 Unsecured note payable 1,038 1,167 0% (15) May 2026 Total debt, net $ 1,831,139 $ 1,823,909 (1) The carrying values of our debt other than the Revolving Credit Facility reflect net deferred financing costs of $5.8 million as of December 31, 2019 and $7.2 million as of December 31, 2018 . (2) Certain of the fixed rate mortgages carry interest rates that, upon assumption, were above or below market rates and therefore were recorded at their fair value based on applicable effective interest rates. The carrying values of these loans reflect net unamortized premiums totaling $217,000 as of December 31, 2019 and $281,000 as of December 31, 2018 . (3) The weighted average interest rate on our fixed rate mortgage debt was 4.16% as of December 31, 2019 . (4) Includes a construction loan with $64.9 million in remaining borrowing capacity as of December 31, 2019 . (5) The weighted average interest rate on our variable rate secured debt was 3.85% as of December 31, 2019 . (6) The weighted average interest rate on the Revolving Credit Facility was 2.70% as of December 31, 2019 . (7) The facility matures in March 2023, with the ability for us to further extend such maturity by two six -month periods at our option, provided that there is no default under the facility and we pay an extension fee of 0.075% of the total availability under the facility for each extension period. (8) As discussed below, we have the ability to borrow an additional $150.0 million in the aggregate under this facility, provided that there is no default under the facility and subject to the approval of the lenders. In addition, in connection with our Revolving Credit Facility, we have the ability to borrow up to $500.0 million under new term loans from the facility’s lender group provided that there is no default under the facility and subject to the approval of the lenders. (9) The interest rate on this loan was 2.94% as of December 31, 2019 . (10) Refer to the paragraphs below for further disclosure. (11) The carrying value of these notes reflects an unamortized discount totaling $1.1 million as of December 31, 2019 and $1.4 million as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 3.70% . (12) The carrying value of these notes reflects an unamortized discount totaling $2.1 million as of December 31, 2019 and $2.6 million as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 5.49% . (13) The carrying value of these notes reflects an unamortized discount totaling $534,000 as of December 31, 2019 and $943,000 as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 3.85% . (14) The carrying value of these notes reflects an unamortized discount totaling $2.1 million as of December 31, 2019 and $2.4 million as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 5.15% (15) This note carries an interest rate that, upon assumption, was below market rates and it therefore was recorded at its fair value based on applicable effective interest rates. The carrying value of this note reflects an unamortized discount totaling $223,000 as of December 31, 2019 and $294,000 as of December 31, 2018 . All debt is owed by COPLP. While COPT is not directly obligated by any debt, it has guaranteed COPLP’s Revolving Credit Facility, Term Loan Facilities and Unsecured Senior Notes. Certain of our debt instruments require that we comply with a number of restrictive financial covenants, including maximum leverage ratio, unencumbered leverage ratio, minimum fixed charge coverage, minimum unencumbered interest coverage ratio, minimum debt service and maximum secured indebtedness ratio. In addition, the terms of some of COPLP’s debt may limit its ability to make certain types of payments and other distributions to COPT in the event of default or when such payments or distributions may prompt failure of debt covenants. As of December 31, 2019 , we were compliant with these financial covenants. Our debt matures on the following schedule (in thousands): Year Ending December 31, December 31, 2019 2020 $ 16,156 2021 303,955 2022 301,341 2023 593,830 2024 279,683 Thereafter 347,842 Total $ 1,842,807 (1) (1) Represents scheduled principal amortization and maturities only and therefore excludes net discounts and deferred financing costs of $11.7 million . We capitalized interest costs of $10.8 million in 2019, $5.9 million in 2018 and $5.2 million in 2017 . The following table sets forth information pertaining to the fair value of our debt (in thousands): December 31, 2019 December 31, 2018 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Fixed-rate debt Unsecured Senior Notes $ 1,192,910 $ 1,227,441 $ 1,191,046 $ 1,219,603 Other fixed-rate debt 144,468 149,907 148,308 147,106 Variable-rate debt 493,761 495,962 484,555 486,497 $ 1,831,139 $ 1,873,310 $ 1,823,909 $ 1,853,206 Revolving Credit Facility On October 10, 2018, we entered into a credit agreement with a group of lenders to replace our existing unsecured revolving credit facility with a new facility (the prior facility and new facility are referred to collectively herein as our “Revolving Credit Facility”). The lenders’ aggregate commitment under the new facility is $800.0 million , with the ability for us to increase the lenders’ aggregate commitment to $1.25 billion , provided that there is no default under the facility and subject to the approval of the lenders. The new facility matures on March 10, 2023, with the ability for us to further extend such maturity by two six-month periods at our option, provided that there is no default under the facility and we pay an extension fee of 0.075% of the total availability under the facility for each extension period. The interest rate on the new facility is based on LIBOR plus 0.775% to 1.450% , as determined by the credit ratings assigned to COPLP by Standard & Poor’s Ratings Services, Moody’s Investors Service, Inc. or Fitch Ratings Ltd. (collectively, the “Ratings Agencies”). The new facility also carries a quarterly fee that is based on the lenders’ aggregate commitment under the facility multiplied by a per annum rate of 0.125% to 0.300% , as determined by the credit ratings assigned to COPLP by the Ratings Agencies. As of December 31, 2019 , the maximum borrowing capacity under this facility totaled $800.0 million , of which $623.0 million was available. Weighted average borrowings under our Revolving Credit Facility totaled $255.6 million in 2019 and $188.1 million in 2018 . The weighted average interest rate on our Revolving Credit Facility was 3.32% in 2019 and 3.08% in 2018 . Term Loan Facilities Our unsecured term loan facility originated in 2015 and was subsequently amended. We have the ability to borrow an additional $150.0 million under this facility provided that there is no default under the loan and subject to the approval of the lenders. The loan matures on December 17, 2022, and carries a variable interest rate based on the LIBOR rate (customarily the 30-day rate) plus 0.85% to 1.65% , as determined by the credit ratings assigned to COPLP by the Ratings Agencies. In addition to the term loan discussed above, we also had a term loan originating in 2012 on which we repaid $200.0 million in May 2017 and the remaining balance of $100.0 million in November 2018. In connection with our new Revolving Credit Facility discussed above, we have the ability to borrow up to $500.0 million under new term loans from the facility’s lender group provided that there is no default under the facility and subject to the approval of the lenders. Unsecured Senior Notes We may redeem our unsecured senior notes, in whole at any time or in part from time to time, at our option, at a redemption price equal to the greater of (1) the aggregate principal amount of the notes being redeemed or (2) the sum of the present values of the remaining scheduled payments of principal and interest thereon (not including any portion of such payments of interest accrued as of the date of redemption) discounted to its present value, on a semi-annual basis at an adjusted treasury rate plus a spread ( 30 basis points for the 3.60% Senior Notes, 40 basis points for the 5.25% Senior Notes, 25 basis points for the 3.70% Senior Notes and 45 basis points for the 5.00% Senior Notes), plus, in each case, accrued and unpaid interest thereon to the date of redemption. However, in each case, if this redemption occurs on or after three months prior to the maturity date, the redemption price will be equal to 100% of the principal amount of the notes being redeemed, plus accrued and unpaid interest thereon to, but not including, the applicable redemption date. These notes are unconditionally guaranteed by COPT. |
Interest Rate Derivatives
Interest Rate Derivatives | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Interest Rate Derivatives | Interest Rate Derivatives The following table sets forth the key terms and fair values of our interest rate swap derivatives, each of which was designated as a cash flow hedge of interest rate risk (dollars in thousands): Notional Amount Effective Date Expiration Date Fair Value at December 31, Fixed Rate Floating Rate Index 2019 2018 $ 12,438 (1) 1.390 % One-Month LIBOR 10/13/2015 10/1/2020 $ 23 $ 239 100,000 1.901 % One-Month LIBOR 9/1/2016 12/1/2022 (1,028 ) 1,968 100,000 1.905 % One-Month LIBOR 9/1/2016 12/1/2022 (1,037 ) 1,967 50,000 1.908 % One-Month LIBOR 9/1/2016 12/1/2022 (524 ) 971 11,200 (2) 1.678 % One-Month LIBOR 8/1/2019 8/1/2026 (20 ) — 75,000 3.176 % Three-Month LIBOR 6/30/2020 6/30/2030 (8,640 ) (2,676 ) 75,000 3.192 % Three-Month LIBOR 6/30/2020 6/30/2030 (8,749 ) (2,783 ) 75,000 2.744 % Three-Month LIBOR 6/30/2020 6/30/2030 (5,684 ) — 100,000 1.730 % One-Month LIBOR 9/1/2015 8/1/2019 — 472 $ (25,659 ) $ 158 (1) The notional amount of this instrument is scheduled to amortize to $12.1 million . (2) The notional amount of this instrument is scheduled to amortize to $10.0 million . The table below sets forth the fair value of our interest rate derivatives as well as their classification on our consolidated balance sheets (in thousands): Fair Value at December 31, Derivatives Balance Sheet Location 2019 2018 Interest rate swaps designated as cash flow hedges Prepaid expenses and other assets, net $ 23 $ 5,617 Interest rate swaps designated as cash flow hedges Interest rate derivatives (liabilities) $ (25,682 ) $ (5,459 ) The table below presents the effect of our interest rate derivatives on our consolidated statements of operations and comprehensive income (in thousands): Amount of (Loss) Gain Recognized in AOCI on Derivatives Amount of Gain (Loss) Reclassified from AOCI into Interest Expense on Statement of Operations For the Years Ended December 31, For the Years Ended December 31, Derivatives in Hedging Relationships 2019 2018 2017 2019 2018 2017 Interest rate derivatives $ (24,321 ) $ (2,373 ) $ 684 $ 1,415 $ 407 $ (3,304 ) Over the next 12 months, we estimate that approximately $2.6 million of losses will be reclassified from accumulated other comprehensive loss (“AOCL”) as an increase to interest expense. We have agreements with each of our interest rate derivative counterparties that contain provisions under which, if we default or are capable of being declared in default on defined levels of our indebtedness, we could also be declared in default on our derivative obligations. Failure to comply with the loan covenant provisions could result in our being declared in default on any derivative instrument obligations covered by the agreements. As of December 31, 2019 , we were not in default with any of these provisions. As of December 31, 2019 , the fair value of interest rate derivatives in a liability position related to these agreements was $25.7 million , excluding the effects of accrued interest and credit valuation adjustments. As of December 31, 2019 , we had not posted any collateral related to these agreements. If we breach any of these provisions, we could be required to settle our obligations under the agreements at their termination value, which was $25.8 million as of December 31, 2019 . |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2019 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interests | Redeemable Noncontrolling Interests As discussed further in Note 6, our partners in two real estate joint ventures, LW Redstone Company, LLC and Stevens Investors, LLC, have the right to require us to acquire their respective interests at fair value; accordingly, we classify the fair value of our partners’ interests as redeemable noncontrolling interests in the mezzanine section of our consolidated balance sheets. The table below sets forth the activity for these redeemable noncontrolling interests (in thousands): For the Years Ended December 31, 2019 2018 2017 Beginning balance $ 26,260 $ 23,125 $ 22,979 Contributions from noncontrolling interests — 186 — Distributions to noncontrolling interests (2,413 ) (1,411 ) (1,566 ) Net income attributable to noncontrolling interests 3,835 2,523 2,338 Adjustment to arrive at fair value of interests 1,749 1,837 (626 ) Ending balance $ 29,431 $ 26,260 $ 23,125 |
Equity - COPT and Subsidiaries
Equity - COPT and Subsidiaries | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Note [Abstract] | |
Equity - COPT and Subsidiaries | Equity - COPT and Subsidiaries Preferred Shares As of December 31, 2019 , COPT had 25.0 million preferred shares authorized and unissued at $0.01 par value per share. In 2017, COPT redeemed all of its outstanding preferred shares, including: • the 5.600% Series K Cumulative Redeemable Preferred Shares (the “Series K Preferred Shares”) redeemed effective January 21, 2017 at a price of $50.00 per share, or $26.6 million in the aggregate, plus accrued and unpaid dividends thereon through the date of redemption. Concurrently with this redemption, COPLP redeemed its Series K Preferred Units on the same terms; and • the 7.375% Series L Cumulative Preferred Shares (the “Series L Preferred Shares”) redeemed effective June 27, 2017 at a price of $25.00 per share, or $172.5 million in the aggregate, plus accrued and unpaid dividends thereon up to but not including the date of redemption. Concurrently with this redemption, COPLP redeemed its Series L Preferred Units on the same terms. We also recognized a $6.8 million decrease to net income available to common shareholders in 2017 pertaining to the original issuance costs incurred on the shares. Common Shares In September 2016, COPT established an at-the-market (“ATM”) stock offering program under which it may, from time to time, offer and sell common shares in “at the market” stock offerings having an aggregate gross sales price of up to $200.0 million (the “2016 ATM Program”). COPT issued the following common shares under this ATM program in 2018 and 2017: • 992,000 shares in 2018 at a weighted average price of $30.46 per share. Net proceeds from the shares issued totaled $29.8 million , after payment of $0.5 million in commissions to sales agents; and • 591,000 shares in 2017 at a weighted average price of $33.84 per share. Net proceeds from the shares issued totaled $19.7 million , after payment of $0.3 million in commissions to sales agents. COPT contributed the net proceeds from these issuances to COPLP in exchange for an equal number of units in COPLP. In November 2018, COPT replaced its 2016 ATM Program with a new program under which it may offer and sell common shares in at-the-market stock offerings having an aggregate gross sales price of up to $300 million (the “2018 ATM Program”). Under the 2018 ATM Program, COPT may also, at its discretion, sell common shares under forward equity sales agreements. As of December 31, 2019 , COPT has not issued any shares under the 2018 ATM Program. On November 2, 2017, COPT entered into forward equity sale agreements to issue 9.2 million common shares at an initial gross offering price of $285.2 million , or $31.00 per share, before underwriting discounts, commissions and offering expenses. The forward sale price received upon physical settlement of the agreements was subject to adjustment on a daily basis based on a floating interest rate factor equal to the overnight bank funding rate less a spread, and was decreased on each of certain dates specified in the agreements during the term of the agreements. COPT issued the following common shares under these forward equity sale agreements: • 1.6 million shares in 2019 for net proceeds of $46.5 million ; • 5.9 million shares in 2018 for net proceeds of $172.5 million ; and • 1.7 million shares in 2017 for net proceeds of $50.0 million . COPT contributed the net proceeds from these issuances to COPLP in exchange for an equal number of units in COPLP. COPT used its remaining capacity under these agreements in 2019. Certain holders of COPLP common units converted their units into COPT common shares on the basis of one common share for each common unit in the amount of 105,039 in 2019, 1.9 million in 2018 and 339,513 in 2017 . COPT declared dividends per common share of $1.10 in 2019, 2018 and 2017 . COPT pays dividends at the discretion of its Board of Trustees. COPT’s ability to pay cash dividends will be dependent upon: (1) the cash flow generated from our operations; (2) cash generated or used by our financing and investing activities; and (3) the annual distribution requirements under the REIT provisions of the Code described in Note 2 and such other factors as the Board of Trustees deems relevant. COPT’s ability to make cash dividends will also be limited by the terms of COPLP’s Partnership Agreement, as well as by limitations imposed by state law. In addition, COPT is prohibited from paying cash dividends in excess of the amount necessary for it to qualify for taxation as a REIT if a default or event of default exists pursuant to the terms of our Revolving Credit Facility; this restriction does not currently limit COPT’s ability to pay dividends, and COPT does not believe that this restriction is reasonably likely to limit its ability to pay future dividends because it expects to comply with the terms of our Revolving Credit Facility. See Note 15 for disclosure of common share activity pertaining to our share-based compensation plans. General Partner Preferred Units In 2017, COPLP redeemed all of the outstanding units of the following series of preferred units held by COPT: • the 5.600% Series K Preferred Units effective on January 21, 2017; and • the 7.375% Series L Cumulative Preferred Units on June 27, 2017 at a price of $25.00 per unit, or $172.5 million in the aggregate, plus accrued and unpaid distributions thereon through the date of redemption, and recognized a $6.8 million decrease to net income available to common unitholders pertaining to the units’ original issuance costs at the time of redemption. Following the completion of these redemptions in 2017, COPT held no preferred units in COPLP. Limited Partner Preferred Units COPLP has 352,000 Series I Preferred Units issued to an unrelated party that have an aggregate liquidation preference of $8.8 million ( $25.00 per unit), plus any accrued and unpaid distributions of return thereon. The owner of these units is entitled to a priority annual cumulative return equal to 3.5% of their liquidation preference. These units are convertible into common units on the basis of 0.5 common units for each Series I Preferred Unit; the resulting common units would then be exchangeable for COPT common shares in accordance with the terms of COPLP’s agreement of limited partnership. These units may be redeemed for cash by COPLP at COPLP’s option on or after January 1, 2020, provided that COPLP provides notice to the unit holder six months prior to the effective date of the redemption. The units’ terms also require COPLP to provide notice to the unit holder for defined periods of time in advance of the sale of certain property or repayment or refinancing of certain debt, after which, in certain instances, the unit holder would have the ability to require COPLP to redeem the units at their liquidation preference. The terms of these units were amended on July 31, 2019 to: • reduce, effective September 23, 2019, the priority annual cumulative return on these units from 7.5% of the units’ liquidation preference to 3.5% , and eliminate provisions for future increases previously in place; • extend the earliest date that COPLP could redeem the units to January 1, 2020; and • establish the notice provisions in advance of property sales and debt repayments or refinancing and related redemption requirements described above. Common Units COPT owned 98.7% of COPLP’s common units as of December 31, 2019 and 98.8% as of December 31, 2018 . In 2018 and 2017, COPT acquired additional common units through the following common share issuances under its 2016 ATM Program: • 992,000 shares in 2018 at a weighted average price of $30.46 per share. Net proceeds from the shares issued totaled $29.8 million , after payment of $0.5 million in commissions to sales agents; and • 591,000 shares in 2017 at a weighted average price of $33.84 per share. Net proceeds from the shares issued totaled $19.7 million , after payment of $0.3 million in commissions to sales agents. From 2017 through 2019, COPT also acquired additional common units through the following common share issuances under its forward equity sale agreements: • 1.6 million shares in 2019 for net proceeds of $46.5 million ; • 5.9 million shares in 2018 for net proceeds of $172.5 million ; and • 1.7 million shares in 2017 for net proceeds of $50.0 million . Limited partners in COPLP holding common units have the right to require COPLP to redeem all or a portion of their common units. COPLP (or COPT as the general partner) has the right, in its sole discretion, to deliver to such redeeming limited partners for each partnership unit either one COPT common share (subject to anti-dilution adjustment) or a cash payment equal to the then fair market value of such share (so adjusted) (based on the formula for determining such value set forth in the partnership agreement). Certain limited partners holding common units redeemed their units into common shares on the basis of one common share for each common unit in the amount of 105,039 in 2019, 1.9 million in 2018 and 339,513 in 2017 . In addition, we redeemed 924 common units in 2019 for $25,000 and 13,377 in 2018 for $339,000 . COPLP declared distributions per common unit of $1.10 in 2019, 2018 and 2017 . |
Equity - COPLP and Subsidiaries
Equity - COPLP and Subsidiaries | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Note [Abstract] | |
Equity - COPLP and Subsidiaries | Equity - COPT and Subsidiaries Preferred Shares As of December 31, 2019 , COPT had 25.0 million preferred shares authorized and unissued at $0.01 par value per share. In 2017, COPT redeemed all of its outstanding preferred shares, including: • the 5.600% Series K Cumulative Redeemable Preferred Shares (the “Series K Preferred Shares”) redeemed effective January 21, 2017 at a price of $50.00 per share, or $26.6 million in the aggregate, plus accrued and unpaid dividends thereon through the date of redemption. Concurrently with this redemption, COPLP redeemed its Series K Preferred Units on the same terms; and • the 7.375% Series L Cumulative Preferred Shares (the “Series L Preferred Shares”) redeemed effective June 27, 2017 at a price of $25.00 per share, or $172.5 million in the aggregate, plus accrued and unpaid dividends thereon up to but not including the date of redemption. Concurrently with this redemption, COPLP redeemed its Series L Preferred Units on the same terms. We also recognized a $6.8 million decrease to net income available to common shareholders in 2017 pertaining to the original issuance costs incurred on the shares. Common Shares In September 2016, COPT established an at-the-market (“ATM”) stock offering program under which it may, from time to time, offer and sell common shares in “at the market” stock offerings having an aggregate gross sales price of up to $200.0 million (the “2016 ATM Program”). COPT issued the following common shares under this ATM program in 2018 and 2017: • 992,000 shares in 2018 at a weighted average price of $30.46 per share. Net proceeds from the shares issued totaled $29.8 million , after payment of $0.5 million in commissions to sales agents; and • 591,000 shares in 2017 at a weighted average price of $33.84 per share. Net proceeds from the shares issued totaled $19.7 million , after payment of $0.3 million in commissions to sales agents. COPT contributed the net proceeds from these issuances to COPLP in exchange for an equal number of units in COPLP. In November 2018, COPT replaced its 2016 ATM Program with a new program under which it may offer and sell common shares in at-the-market stock offerings having an aggregate gross sales price of up to $300 million (the “2018 ATM Program”). Under the 2018 ATM Program, COPT may also, at its discretion, sell common shares under forward equity sales agreements. As of December 31, 2019 , COPT has not issued any shares under the 2018 ATM Program. On November 2, 2017, COPT entered into forward equity sale agreements to issue 9.2 million common shares at an initial gross offering price of $285.2 million , or $31.00 per share, before underwriting discounts, commissions and offering expenses. The forward sale price received upon physical settlement of the agreements was subject to adjustment on a daily basis based on a floating interest rate factor equal to the overnight bank funding rate less a spread, and was decreased on each of certain dates specified in the agreements during the term of the agreements. COPT issued the following common shares under these forward equity sale agreements: • 1.6 million shares in 2019 for net proceeds of $46.5 million ; • 5.9 million shares in 2018 for net proceeds of $172.5 million ; and • 1.7 million shares in 2017 for net proceeds of $50.0 million . COPT contributed the net proceeds from these issuances to COPLP in exchange for an equal number of units in COPLP. COPT used its remaining capacity under these agreements in 2019. Certain holders of COPLP common units converted their units into COPT common shares on the basis of one common share for each common unit in the amount of 105,039 in 2019, 1.9 million in 2018 and 339,513 in 2017 . COPT declared dividends per common share of $1.10 in 2019, 2018 and 2017 . COPT pays dividends at the discretion of its Board of Trustees. COPT’s ability to pay cash dividends will be dependent upon: (1) the cash flow generated from our operations; (2) cash generated or used by our financing and investing activities; and (3) the annual distribution requirements under the REIT provisions of the Code described in Note 2 and such other factors as the Board of Trustees deems relevant. COPT’s ability to make cash dividends will also be limited by the terms of COPLP’s Partnership Agreement, as well as by limitations imposed by state law. In addition, COPT is prohibited from paying cash dividends in excess of the amount necessary for it to qualify for taxation as a REIT if a default or event of default exists pursuant to the terms of our Revolving Credit Facility; this restriction does not currently limit COPT’s ability to pay dividends, and COPT does not believe that this restriction is reasonably likely to limit its ability to pay future dividends because it expects to comply with the terms of our Revolving Credit Facility. See Note 15 for disclosure of common share activity pertaining to our share-based compensation plans. General Partner Preferred Units In 2017, COPLP redeemed all of the outstanding units of the following series of preferred units held by COPT: • the 5.600% Series K Preferred Units effective on January 21, 2017; and • the 7.375% Series L Cumulative Preferred Units on June 27, 2017 at a price of $25.00 per unit, or $172.5 million in the aggregate, plus accrued and unpaid distributions thereon through the date of redemption, and recognized a $6.8 million decrease to net income available to common unitholders pertaining to the units’ original issuance costs at the time of redemption. Following the completion of these redemptions in 2017, COPT held no preferred units in COPLP. Limited Partner Preferred Units COPLP has 352,000 Series I Preferred Units issued to an unrelated party that have an aggregate liquidation preference of $8.8 million ( $25.00 per unit), plus any accrued and unpaid distributions of return thereon. The owner of these units is entitled to a priority annual cumulative return equal to 3.5% of their liquidation preference. These units are convertible into common units on the basis of 0.5 common units for each Series I Preferred Unit; the resulting common units would then be exchangeable for COPT common shares in accordance with the terms of COPLP’s agreement of limited partnership. These units may be redeemed for cash by COPLP at COPLP’s option on or after January 1, 2020, provided that COPLP provides notice to the unit holder six months prior to the effective date of the redemption. The units’ terms also require COPLP to provide notice to the unit holder for defined periods of time in advance of the sale of certain property or repayment or refinancing of certain debt, after which, in certain instances, the unit holder would have the ability to require COPLP to redeem the units at their liquidation preference. The terms of these units were amended on July 31, 2019 to: • reduce, effective September 23, 2019, the priority annual cumulative return on these units from 7.5% of the units’ liquidation preference to 3.5% , and eliminate provisions for future increases previously in place; • extend the earliest date that COPLP could redeem the units to January 1, 2020; and • establish the notice provisions in advance of property sales and debt repayments or refinancing and related redemption requirements described above. Common Units COPT owned 98.7% of COPLP’s common units as of December 31, 2019 and 98.8% as of December 31, 2018 . In 2018 and 2017, COPT acquired additional common units through the following common share issuances under its 2016 ATM Program: • 992,000 shares in 2018 at a weighted average price of $30.46 per share. Net proceeds from the shares issued totaled $29.8 million , after payment of $0.5 million in commissions to sales agents; and • 591,000 shares in 2017 at a weighted average price of $33.84 per share. Net proceeds from the shares issued totaled $19.7 million , after payment of $0.3 million in commissions to sales agents. From 2017 through 2019, COPT also acquired additional common units through the following common share issuances under its forward equity sale agreements: • 1.6 million shares in 2019 for net proceeds of $46.5 million ; • 5.9 million shares in 2018 for net proceeds of $172.5 million ; and • 1.7 million shares in 2017 for net proceeds of $50.0 million . Limited partners in COPLP holding common units have the right to require COPLP to redeem all or a portion of their common units. COPLP (or COPT as the general partner) has the right, in its sole discretion, to deliver to such redeeming limited partners for each partnership unit either one COPT common share (subject to anti-dilution adjustment) or a cash payment equal to the then fair market value of such share (so adjusted) (based on the formula for determining such value set forth in the partnership agreement). Certain limited partners holding common units redeemed their units into common shares on the basis of one common share for each common unit in the amount of 105,039 in 2019, 1.9 million in 2018 and 339,513 in 2017 . In addition, we redeemed 924 common units in 2019 for $25,000 and 13,377 in 2018 for $339,000 . COPLP declared distributions per common unit of $1.10 in 2019, 2018 and 2017 . |
Share-Based Compensation and Ot
Share-Based Compensation and Other Compensation Matters | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Compensation and Other Compensation Matters | Share-Based Compensation and Other Compensation Matters Share-Based Compensation Plans In May 2017, COPT adopted the 2017 Omnibus Equity and Incentive Plan (the “2017 Plan”) following the approval of such plan by our common shareholders. COPT may issue equity-based awards under this plan to officers, employees, non-employee trustees and any other key persons of us and our subsidiaries, as defined in the plan. The plan provides for a maximum of 3.4 million common shares in COPT to be issued in the form of options, share appreciation rights, restricted share unit awards, restricted share awards, unrestricted share awards, dividend equivalent rights and other equity-based awards and for the granting of cash-based awards. In November 2018, we amended the 2017 Plan to provide for the future grant of awards in the form of PIUs; PIUs are a special class of common unit structured to qualify as “profit interests” for tax purposes which are similar to restricted shares and PSUs, except that upon vesting recipients will receive common units in COPLP. This plan expires on May 11, 2027. In May 2010, COPT adopted the Amended and Restated 2008 Omnibus Equity and Incentive Plan following the approval of such plan by our common shareholders. This plan, which was replaced by the 2017 Plan, provided for the award of options, share appreciation rights, deferred share awards, restricted share awards, unrestricted share awards, performance shares, dividend equivalent rights and other equity-based awards and for the granting of cash-based awards. Awards under these plans to nonemployee Trustees generally vest on the first anniversary of the grant date provided that the Trustee remains in his or her position. Awards granted to employees vest based on increments and over periods of time set forth under the terms of the respective awards provided that the employees remain employed by us. Options expire ten years after the date of grant. Shares for each of the share-based compensation plans are issued under registration statements on Form S-8 that became effective upon filing with the Securities and Exchange Commission. In connection with awards of common shares granted by COPT under such share-based compensation plans, COPLP issues to COPT an equal number of equity instruments with identical terms. The table below sets forth our reporting for share based compensation cost (in thousands): For the Years Ended December 31, 2019 2018 2017 General, administrative and leasing expenses $ 5,748 $ 5,415 $ 4,649 Property operating expenses 966 961 966 Capitalized to development activities 742 587 480 Share-based compensation cost $ 7,456 $ 6,963 $ 6,095 The amounts included in our consolidated statements of operations for share-based compensation reflected an estimate of pre-vesting forfeitures of 0% for PSUs, PIUs and deferred share awards and 0% to 7% for restricted shares. As of December 31, 2019 , unrecognized compensation costs related to unvested awards included: • $6.5 million on restricted shares expected to be recognized over a weighted average period of approximately two years ; • $1.6 million on performance-based PIUs (“PB-PIUs”) expected to be recognized over a weighted average performance period of approximately two years ; • $1.1 million on time-based PIUs (“TB-PIUs”) expected to be recognized over a weighted average performance period of approximately two years ; • $630,000 on PSUs expected to be recognized over a weighted average performance period of approximately one year ; and • $33,000 on deferred share awards expected to be recognized through May 2020. Our TRS is subject to Federal and state income taxes. We realized a windfall tax loss of $13,000 in 2017 on options exercised and vesting restricted shares in connection with employees of that subsidiary. Restricted Shares The following table summarizes restricted shares under the share-based compensation plans for 2017 , 2018 and 2019: Shares Weighted Average Grant Date Fair Value Unvested as of December 31, 2016 371,247 $ 26.20 Granted 239,479 33.84 Forfeited (27,056 ) 27.80 Vested (158,044 ) 26.27 Unvested as of December 31, 2017 425,626 30.37 Granted 219,716 25.62 Forfeited (25,419 ) 30.02 Vested (181,238 ) 29.49 Unvested as of December 31, 2018 438,685 28.38 Granted 195,520 26.56 Forfeited (56,341 ) 29.44 Vested (185,001 ) 28.01 Unvested as of December 31, 2019 392,863 $ 27.49 Unvested shares as of December 31, 2019 that are expected to vest 363,773 $ 27.50 The aggregate intrinsic value of restricted shares that vested was $4.9 million in 2019, $4.6 million in 2018 and $5.3 million in 2017 . PIUs Commencing in 2019, we offered our executives and Trustees the opportunity to select PIUs as a form of long-term compensation in lieu of, or in combination with, other forms of share-based compensation awards (restricted shares, deferred share awards and PSUs). Our executives and certain of our Trustees selected PIUs as their form of share-based compensation for their 2019 grants. We granted two forms of PIUs: TB-PIUs; and PB-PIUs. TB-PIUs are subject to forfeiture restrictions until the end of the requisite service period, at which time the TB-PIUs automatically convert into vested PIUs. PB-PIUs are subject to a market condition in that the number of earned awards are determined at the end of the performance period (as described further below) and then settled in vested PIUs. Vested PIUs carry substantially the same rights to redemption and distributions as non-PIU common units. TB-PIUs In 2019, our executives and certain non-employee Trustees were granted a total of 61,820 TB-PIUs with an aggregate grant date fair value of $1.6 million (weighted average of $26.01 per TB-PIU). TB-PIUs granted to executives vest in equal one-third increments over a three -year period beginning on the date of grant. TB-PIUs granted to non-employee Trustees vest on the first anniversary of the grant date, provided that the Trustee remains in his or her position. Prior to vesting, TB-PIUs carry substantially the same rights to distributions as non-PIU common units but carry no redemption rights. PB-PIUs On January 1, 2019, we granted our executives 193,682 PB-PIUs with a three -year performance period concluding on the earlier of December 31, 2021 or the date of: (1) termination by us without cause, death or disability of the executive or constructive discharge of the executive (collectively, “qualified termination”); or (2) a sale event. The number of earned awards at the end of the performance period will be determined based on the percentile rank of COPT’s total shareholder return relative to a peer group of companies, as set forth in the following schedule: Percentile Rank Earned Awards Payout % 75th or greater 100% of PB-PIUs granted 50th (target) 50% of PB-PIUs granted 25th 25% of PB-PIUs granted Below 25th 0% of PB-PIUs granted If the percentile rank exceeds the 25th percentile and is between two of the percentile ranks set forth in the table above, then the percentage of the earned awards will be interpolated between the ranges set forth in the table above to reflect any performance between the listed percentiles. During the performance period, PB-PIUs carry rights to distributions equal to 10% of the distribution rights of non-PIU common units but carry no redemption rights. At the end of the performance period, we will settle the award by issuing vested PIUs equal to the number of earned awards in settlement of the award plan and paying cash equal to the excess, if any, of: the aggregate distributions that would have been paid with respect to vested PIUs issued in settlement of the earned awards through the date of settlement had such vested PIUs been issued on the grant date; over the aggregate distributions made on the PB-PIUs during the performance period. If a performance period ends due to a sale event or qualified termination, the number of earned awards is prorated based on the portion of the three -year performance period that has elapsed. If employment is terminated by the employee or by us for cause, all PB-PIUs are forfeited. These PB-PIUs had an aggregate grant date fair value of $2.4 million ( $12.47 per PB-PIU) which is being recognized over the performance period. The grant date fair value was computed using a Monte Carlo model that included the following assumptions: baseline common share value of $21.03 ; expected volatility for common shares of 21.0% ; and a risk-free interest rate of 2.51% . PSUs We made the following grants of PSUs to executives from 2015 through 2018 (dollars in thousands): Grant Date Number of PSUs Granted Performance Period Commencement Date Performance Period End Date Grant Date Fair Value Number of PSUs Outstanding as of December 31, 2019 3/5/2015 45,656 1/1/2015 12/31/2017 $ 1,678 — 3/1/2016 26,299 1/1/2016 12/31/2018 $ 1,005 — 1/1/2017 39,351 1/1/2017 12/31/2019 $ 1,415 39,351 1/1/2018 59,110 1/1/2018 12/31/2020 $ 1,890 59,110 In 2017, we also modified certain provisions of the PSUs granted in 2015, 2016 and 2017, resulting in incremental compensation cost totaling $236,000 based on the difference between the pre-modification and post-modification award fair values on the date of modification. The PSUs each have three-year performance periods concluding on the earlier of the respective performance period end dates set forth above or the date of: (1) termination by us without cause, death or disability of the executive or constructive discharge of the executive (collectively, “qualified termination”); or (2) a sale event. The number of PSUs earned (“earned PSUs”) at the end of the performance period will be determined based on the percentile rank of COPT’s total shareholder return relative to a peer group of companies, as set forth in the following schedule: Percentile Rank Earned PSUs Payout % 75th or greater 200% of PSUs granted 50th (target) 100% of PSUs granted 25th 50% of PSUs granted Below 25th 0% of PSUs granted If the percentile rank exceeds the 25th percentile and is between two of the percentile ranks set forth in the table above, then the percentage of the earned PSUs will be interpolated between the ranges set forth in the table above to reflect any performance between the listed percentiles. At the end of the performance period, we will settle the award by issuing fully-vested COPT shares equal to the number of earned PSUs in settlement of the award plan and either: • for awards granted January 1, 2017 and prior thereto, issuing fully-vested COPT shares equal to the aggregate dividends that would have been paid with respect to the common shares issued in settlement of the earned PSUs through the date of settlement had such shares been issued on the grant date, divided by the share price on such settlement date, as defined under the terms of the agreement; or • for awards issued subsequent to January 1, 2017, paying cash equal to the aggregate dividends that would have been paid with respect to the common shares issued in settlement of the earned PSUs through the date of settlement had such shares been issued on the grant date. If a performance period ends due to a sale event or qualified termination, the number of earned PSUs is prorated based on the portion of the three-year performance period that has elapsed. If employment is terminated by the employee or by us for cause, all PSUs are forfeited. PSUs do not carry voting rights. Based on COPT’s total shareholder return relative to its peer group of companies: • for the 2015 PSUs issued to executives that vested on December 31, 2017, we issued 13,328 common shares in settlement of the PSUs on February 22, 2018; and • for the 2016 PSUs issued to executives that vested on December 31, 2018, we issued 44,757 common shares in settlement of the PSUs on January 18, 2019. We computed grant date fair values for PSUs using Monte Carlo models and are recognizing these values over the performance periods. The grant date fair value and certain of the assumptions used in the Monte Carlo models for the PSUs granted in 2017 and 2018 are set forth below: Grant Date Grant Date Fair Value Per Share Baseline Common Share Value Expected Volatility of Common Shares Risk-free Interest Rate 1/1/2017 $ 38.43 $ 31.22 19.0 % 1.47 % 1/1/2018 $ 31.97 $ 29.20 17.0 % 2.04 % Deferred Share Awards We made the following grants of deferred share awards to nonemployee members of our Board of Trustees in 2017 , 2018 and 2019 (dollars in thousands, except per share data): Year of Grant Number of Deferred Share Awards Granted Aggregate Grant Date Fair Value Grant Date Fair Value Per Share 2017 10,032 $ 326 $ 32.47 2018 13,832 $ 388 $ 28.08 2019 3,432 $ 95 $ 27.60 Deferred share awards vest on the first anniversary of the grant date, provided that the Trustee remains in his or her position. We settle deferred share awards by issuing an equivalent number of common shares upon vesting of the awards or a later date elected by the Trustee (generally upon cessation of being a Trustee). We issued the following common shares in settlement of deferred shares in 2017 , 2018 and 2019 (dollars in thousands, except per share data): For the Years Ended December 31, 2019 2018 2017 Number of common shares issued 3,097 5,515 15,590 Grant date fair value per share $ 26.77 $ 29.32 $ 26.89 Aggregate intrinsic value $ 86 $ 154 $ 508 Options We have not issued options since 2009, and all of our options were vested and fully expensed prior to 2018. The table below sets forth information regarding our outstanding options as of the following dates (dollars in thousands, except per share data): Options Outstanding and Exercisable Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Term (in Years) Aggregate Intrinsic Value December 31, 2016 201,100 $ 43.35 1 $ 31 December 31, 2017 60,000 $ 35.17 1 $ — December 31, 2018 30,000 $ 32.52 0.4 $ — December 31, 2019 — N/A N/A N/A The aggregate intrinsic value of options exercised was $18,000 |
Information by Business Segment
Information by Business Segment | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Information by Business Segment | Information by Business Segment We have the following reportable segments: Defense/IT Locations; Regional Office; Wholesale Data Center; and Other. We also report on Defense/IT Locations sub-segments, which include the following: Fort George G. Meade and the Baltimore/Washington Corridor (referred to herein as “Fort Meade/BW Corridor”); Northern Virginia Defense/IT Locations; Lackland Air Force Base (in San Antonio); locations serving the U.S. Navy (“Navy Support Locations”), which included properties proximate to the Washington Navy Yard, the Naval Air Station Patuxent River in Maryland and the Naval Surface Warfare Center Dahlgren Division in Virginia; Redstone Arsenal (in Huntsville); and data center shells (properties leased to tenants to be operated as data centers in which the tenants generally fund the costs for the power, fiber connectivity and data center infrastructure). As of December 31, 2019 , 2018 and 2017, our Regional Office segment included properties located in select urban/urban-like submarkets in the Greater Washington, DC/Baltimore region with durable Class-A office fundamentals and characteristics; during 2017, this segment also included suburban properties not meeting these characteristics that were since disposed. We measure the performance of our segments through the measure we define as net operating income from real estate operations (“NOI from real estate operations”), which includes: real estate revenues and property operating expenses; and the net of revenues and property operating expenses of real estate operations owned through unconsolidated real estate joint ventures (“UJVs”) that is allocable to COPT’s ownership interest (“UJV NOI allocable to COPT”). Amounts reported for segment assets represent long-lived The following table reconciles our segment revenues to total revenues as reported on our consolidated statements of operations (in thousands): For the Years Ended December 31, 2019 2018 2017 Segment revenues from real estate operations $ 527,463 $ 517,253 $ 509,980 Construction contract and other service revenues 113,763 60,859 102,840 Total revenues $ 641,226 $ 578,112 $ 612,820 The following table reconciles UJV NOI allocable to COPT to equity in income of unconsolidated entities as reported on our consolidated statements of operations (in thousands): For the Years Ended December 31, 2019 2018 2017 UJV NOI allocable to COPT $ 5,705 $ 4,818 $ 4,805 Less: Income from UJV allocable to COPT attributable to depreciation and amortization expense and interest expense (4,065 ) (3,314 ) (3,310 ) Add: Equity in (loss) income of unconsolidated non-real estate entities (7 ) 1,193 (5 ) Equity in income of unconsolidated entities $ 1,633 $ 2,697 $ 1,490 As previously discussed, we provide real estate services such as property management, development and construction services primarily for our properties but also for third parties. The primary manner in which we evaluate the operating performance of our service activities is through a measure we define as net operating income from service operations (“NOI from service operations”), which is based on the net of revenues and expenses from these activities. Construction contract and other service revenues and expenses consist primarily of subcontracted costs that are reimbursed to us by the customer along with a management fee. The operating margins from these activities are small relative to the revenue. We believe NOI from service operations is a useful measure in assessing both our level of activity and our profitability in conducting such operations. The table below sets forth the computation of our NOI from service operations (in thousands): For the Years Ended December 31, 2019 2018 2017 Construction contract and other service revenues $ 113,763 $ 60,859 $ 102,840 Construction contract and other service expenses (109,962 ) (58,326 ) (99,618 ) NOI from service operations $ 3,801 $ 2,533 $ 3,222 The following table reconciles our NOI from real estate operations for reportable segments and NOI from service operations to net income as reported on our consolidated statements of operations (in thousands): For the Years Ended December 31, 2019 2018 2017 NOI from real estate operations $ 335,025 $ 321,036 $ 323,821 NOI from service operations 3,801 2,533 3,222 Interest and other income 7,894 4,358 6,318 Gain on sales of real estate 105,230 2,340 9,890 Equity in income of unconsolidated entities 1,633 2,697 1,490 Income tax benefit (expense) 217 363 (1,098 ) Depreciation and other amortization associated with real estate operations (137,069 ) (137,116 ) (134,228 ) Impairment losses (329 ) (2,367 ) (15,123 ) General, administrative and leasing expenses (35,402 ) (28,900 ) (30,837 ) Business development expenses and land carry costs (4,239 ) (5,840 ) (6,213 ) Interest expense (71,052 ) (75,385 ) (76,983 ) Less: UJV NOI allocable to COPT included in equity in income of unconsolidated entities (5,705 ) (4,818 ) (4,805 ) Loss on early extinguishment of debt — (258 ) (513 ) Net income $ 200,004 $ 78,643 $ 74,941 The following table reconciles our segment assets to the consolidated total assets of COPT and subsidiaries (in thousands): As of December 31, 2019 2018 Segment assets $ 3,024,958 $ 3,084,862 Operating properties lease liabilities included in segment assets 17,317 — Non-operating property assets 621,630 410,671 Other assets 190,548 160,472 Total COPT consolidated assets $ 3,854,453 $ 3,656,005 The accounting policies of the segments are the same as those used to prepare our consolidated financial statements. In the segment reporting presented above, we did not allocate interest expense, depreciation and amortization, impairment losses, gain on sales of real estate, loss on early extinguishment of debt and equity in income of unconsolidated entities not included in NOI to our real estate segments since they are not included in the measure of segment profit reviewed by management. We also did not allocate general, administrative and leasing expenses, business development expenses and land carry costs, interest and other income, income taxes and noncontrolling interests because these items represent general corporate or non-operating property items not attributable to segments. |
Construction Contract and Other
Construction Contract and Other Service Revenues | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Construction Contract and Other Service Revenues | Construction Contract and Other Service Revenues We disaggregate our construction contract and other service revenues by compensation arrangement and by service type as we believe it best depicts the nature, timing and uncertainty of our revenue. The table below reports construction contract and other service revenues by compensation arrangement (in thousands): For the Years Ended December 31, 2019 2018 2017 Construction contract revenue: GMP $ 67,708 $ 34,050 $ 78,401 FFP 10,688 20,327 22,607 Cost-plus fee 34,386 5,540 801 Other 981 942 1,031 $ 113,763 $ 60,859 $ 102,840 The table below reports construction contract and other service revenues by service type (in thousands): For the Years Ended December 31, 2019 2018 2017 Construction contract revenue: Construction $ 112,170 $ 57,986 $ 94,471 Design 612 1,931 7,338 Other 981 942 1,031 $ 113,763 $ 60,859 $ 102,840 We derived 74% of our construction contract revenue from the USG in 2019, 95% in 2018 and 98% in 2017 . We recognized revenue of $53,000 , $349,000 and $586,000 in 2019, 2018 and 2017 , respectively, from performance obligations satisfied (or partially satisfied) in previous periods. Accounts receivable related to our construction contract services is included in accounts receivable, net on our consolidated balance sheets. The beginning and ending balances of accounts receivable related to our construction contracts were as follows (in thousands): For the Years Ended December 31, 2019 2018 Beginning balance $ 6,701 $ 4,577 Ending balance $ 12,378 $ 6,701 Contract assets, which we refer to herein as construction contract costs in excess of billings, are included in prepaid expenses and other assets, net reported on our consolidated balance sheets. The beginning and ending balances of our contract assets were as follows (in thousands): For the Years Ended December 31, 2019 2018 Beginning balance $ 3,189 $ 4,884 Ending balance $ 17,223 $ 3,189 Contract liabilities are included in other liabilities reported on our consolidated balance sheets. Changes in contract liabilities were as follows (in thousands): For the Years Ended December 31, 2019 2018 Beginning balance $ 568 $ 27,402 Ending balance $ 1,184 $ 568 Portion of beginning balance recognized in revenue during the year $ 446 $ 27,296 The change in the contract liabilities balance reported above for 2018 was due primarily to our satisfaction of performance obligations during the period on a contract on which we previously received advance payments from a customer. Revenue allocated to the remaining performance obligations under existing contracts as of December 31, 2019 that will be recognized as revenue in future periods was $79.0 million , approximately $29 million of which we expect to recognize in 2020. We have no deferred incremental costs incurred to obtain or fulfill our construction contracts or other service revenues, and had no impairment losses on construction contracts receivable or unbilled construction revenue in 2019, 2018 and 2017 . |
Earnings Per Share ("EPS") and
Earnings Per Share ("EPS") and Earnings Per Unit (“EPU”) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share (“EPS”) and Earnings Per Unit (“EPU”) | Earnings Per Share (“EPS”) and Earnings Per Unit (“EPU”) COPT and Subsidiaries EPS We present both basic and diluted EPS. We compute basic EPS by dividing net income available to common shareholders allocable to unrestricted common shares under the two-class method by the weighted average number of unrestricted common shares outstanding during the period. Our computation of diluted EPS is similar except that: • the denominator is increased to include: (1) the weighted average number of potential additional common shares that would have been outstanding if securities that are convertible into common shares were converted; and (2) the effect of dilutive potential common shares outstanding during the period attributable to COPT’s forward equity sale agreements, redeemable noncontrolling interests and our share-based compensation using the treasury stock or if-converted methods; and • the numerator is adjusted to add back any changes in income or loss that would result from the assumed conversion into common shares that we add to the denominator. Summaries of the numerator and denominator for purposes of basic and diluted EPS calculations are set forth below (in thousands, except per share data): For the Years Ended December 31, 2019 2018 2017 Numerator: Net income attributable to COPT $ 191,692 $ 72,301 $ 68,745 Preferred share dividends — — (6,219 ) Issuance costs associated with redeemed preferred shares — — (6,847 ) Income attributable to share-based compensation awards (656 ) (462 ) (449 ) Numerator for basic EPS on net income attributable to COPT common shareholders $ 191,036 $ 71,839 $ 55,230 Redeemable noncontrolling interests 132 — — Income attributable to share-based compensation awards 33 — — Numerator for diluted EPS on net income attributable to COPT common shareholders $ 191,201 $ 71,839 $ 55,230 Denominator (all weighted averages): Denominator for basic EPS (common shares) 111,196 103,946 98,969 Dilutive effect of redeemable noncontrolling interests 119 — — Dilutive effect of share-based compensation awards 308 134 132 Dilutive effect of forward equity sale agreements — 45 54 Denominator for diluted EPS (common shares) 111,623 104,125 99,155 Basic EPS $ 1.72 $ 0.69 $ 0.56 Diluted EPS $ 1.71 $ 0.69 $ 0.56 Our diluted EPS computations do not include the effects of the following securities since the conversions of such securities would increase diluted EPS for the respective periods (in thousands): Weighted Average Shares Excluded from Denominator for the Years Ended December 31, 2019 2018 2017 Conversion of common units 1,299 2,468 3,362 Conversion of redeemable noncontrolling interests 896 936 689 Conversion of Series I preferred units 176 176 176 The following securities were also excluded from the computation of diluted EPS because their effect was antidilutive: • weighted average shares related to COPT’s forward equity sale agreements of 376,000 for 2019; • weighted average restricted shares and deferred share awards of 441,000 for 2019, 452,000 for 2018 and 433,000 for 2017 ; • weighted average options of 12,000 for 2019, 42,000 for 2018 and 70,000 for 2017 ; and • weighted average unvested PIUs of 51,000 for 2019. COPLP and Subsidiaries EPU We present both basic and diluted EPU. We compute basic EPU by dividing net income available to common unitholders allocable to unrestricted common units under the two-class method by the weighted average number of unrestricted common units outstanding during the period. Our computation of diluted EPU is similar except that: • the denominator is increased to include: (1) the weighted average number of potential additional common units that would have been outstanding if securities that are convertible into our common units were converted; and (2) the effect of dilutive potential common units outstanding during the period attributable to COPT’s forward equity sale agreements, redeemable noncontrolling interests and our share-based compensation using the treasury stock or if-converted methods; and • the numerator is adjusted to add back any changes in income or loss that would result from the assumed conversion into common units that we add to the denominator. Summaries of the numerator and denominator for purposes of basic and diluted EPU calculations are set forth below (in thousands, except per unit data): For the Years Ended December 31, 2019 2018 2017 Numerator: Net income attributable to COPLP $ 194,619 $ 74,703 $ 71,295 Preferred unit distributions (564 ) (660 ) (6,879 ) Issuance costs associated with redeemed preferred units — — (6,847 ) Income attributable to share-based compensation awards (785 ) (462 ) (449 ) Numerator for basic EPU on net income attributable to COPLP common unitholders 193,270 73,581 57,120 Redeemable noncontrolling interests 132 — — Income attributable to share-based compensation awards 33 — — Numerator for diluted EPU on net income attributable to COPLP common unitholders $ 193,435 $ 73,581 $ 57,120 Denominator (all weighted averages): Denominator for basic EPU (common units) 112,495 106,414 102,331 Dilutive effect of redeemable noncontrolling interests 119 — — Dilutive effect of share-based compensation awards 308 134 132 Dilutive effect of forward equity sale agreements — 45 54 Denominator for diluted EPU (common units) 112,922 106,593 102,517 Basic EPU $ 1.72 $ 0.69 $ 0.56 Diluted EPU $ 1.71 $ 0.69 $ 0.56 Our diluted EPU computations do not include the effects of the following securities since the conversions of such securities would increase diluted EPU for the respective periods (in thousands): Weighted Average Units Excluded from Denominator for the Years Ended December 31, 2019 2018 2017 Conversion of redeemable noncontrolling interests 896 936 689 Conversion of Series I preferred units 176 176 176 The following securities were also excluded from the computation of diluted EPU because their effect was antidilutive: • weighted average shares related to COPT’s forward equity sale agreements of 376,000 for 2019; • weighted average restricted units and deferred share awards of 441,000 for 2019, 452,000 for 2018 and 433,000 for 2017 ; • weighted average options of 12,000 for 2019, 42,000 for 2018 and 70,000 for 2017 ; and • weighted average unvested PIUs of 51,000 for 2019. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation and Claims In the normal course of business, we are subject to legal actions and other claims. We record losses for specific legal proceedings and claims when we determine that a loss is probable and the amount of loss can be reasonably estimated. As of December 31, 2019, management believes that it is reasonably possible that we could recognize a loss of up to $3 million for certain municipal tax claims. While we do not believe this loss would materially affect our financial position or liquidity, it could be material to our results of operations. Management believes that it is also reasonably possible that we could incur losses pursuant to other such claims but do not believe such losses would materially affect our financial position, liquidity or results of operations. Our assessment of the potential outcomes of these matters involves significant judgment and is subject to change based on future developments. Environmental We are subject to various Federal, state and local environmental regulations related to our property ownership and operation. We have performed environmental assessments of our properties, the results of which have not revealed any environmental liability that we believe would have a materially adverse effect on our financial position, operations or liquidity. In connection with a lease and subsequent sale in 2008 and 2010 of three properties in Dayton, New Jersey, we agreed to provide certain environmental indemnifications limited to $19 million in the aggregate. We have insurance coverage in place to mitigate much of any potential future losses that may result from these indemnification agreements. Tax Incremental Financing Obligation Anne Arundel County, Maryland issued tax incremental financing bonds to third-party investors in order to finance public improvements needed in connection with our project known as the National Business Park. These bonds had a remaining principal balance of approximately $34 million as of December 31, 2019 . The real estate taxes on increases in assessed values post-bond issuance of properties in development districts encompassing the National Business Park are transferred to a special fund pledged to the repayment of the bonds. While we are obligated to fund, through a special tax, any future shortfalls between debt service of the bonds and real estate taxes available to repay the bonds, as of December 31, 2019 , we do not expect any such future fundings will be required. Contractual Obligations We had amounts remaining to be incurred under various contractual obligations as of December 31, 2019 that included the following (excluding amounts incurred and therefore reflected as liabilities reported on our consolidated balance sheets): • development and redevelopment obligations of $200.7 million ; • tenant and other building improvements of $58.8 million ; • third party construction obligations of $16.5 million ; and • other obligations of $1.5 million . |
Quarterly Data (Unaudited)
Quarterly Data (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Data (Unaudited) | Quarterly Data (Unaudited) The tables below set forth selected quarterly information for the years ended December 31, 2019 and 2018 (in thousands, except per share/unit data). For the Year Ended December 31, 2019 For the Year Ended December 31, 2018 First Quarter Second Quarter Third Quarter Fourth Quarter First Quarter Second Quarter Third Quarter Fourth Quarter COPT and Subsidiaries Revenues $ 148,940 $ 175,070 $ 159,431 $ 157,785 $ 155,476 $ 146,743 $ 137,411 $ 138,482 Net income $ 22,318 $ 109,563 $ 23,246 $ 44,877 $ 18,780 $ 21,085 $ 20,322 $ 18,456 Net income attributable to noncontrolling interests (1,459 ) (2,772 ) (1,989 ) (2,092 ) (1,630 ) (1,651 ) (1,625 ) (1,436 ) Net income attributable to COPT common shareholders $ 20,859 $ 106,791 $ 21,257 $ 42,785 $ 17,150 $ 19,434 $ 18,697 $ 17,020 Basic EPS $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 Diluted EPS $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 COPLP and Subsidiaries Revenues $ 148,940 $ 175,070 $ 159,431 $ 157,785 $ 155,476 $ 146,743 $ 137,411 $ 138,482 Net income $ 22,318 $ 109,563 $ 23,246 $ 44,877 $ 18,780 $ 21,085 $ 20,322 $ 18,456 Net income attributable to noncontrolling interests (1,037 ) (1,268 ) (1,565 ) (1,515 ) (921 ) (878 ) (1,080 ) (1,061 ) Net income attributable to COPLP 21,281 108,295 21,681 43,362 17,859 20,207 19,242 17,395 Preferred unit distributions (165 ) (165 ) (157 ) (77 ) (165 ) (165 ) (165 ) (165 ) Net income attributable to COPLP common unitholders $ 21,116 $ 108,130 $ 21,524 $ 43,285 $ 17,694 $ 20,042 $ 19,077 $ 17,230 Basic EPU $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 Diluted EPU $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 |
Schedule III - Real Estate and
Schedule III - Real Estate and Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract] | |
Schedule III-Real Estate and Accumulated Depreciation | Schedule III—Real Estate and Accumulated Depreciation December 31, 2019 (Dollars in thousands) Initial Cost Gross Amounts Carried At Close of Period Property (Type) (1) Location Encumbrances (2) Land Building and Land Improvements Costs Capitalized Subsequent to Acquisition Land Building and Land Improvements Total (3) Accumulated Depreciation (4) Year Built or Renovated Date Acquired (5) 100 Light Street (O) Baltimore, MD $ 47,529 $ 26,715 $ 59,177 $ 12,989 $ 26,715 $ 72,166 $ 98,881 $ (16,790 ) 1973/2011 8/7/2015 100 Secured Gateway (O) Huntsville, AL — — 25,763 — — 25,763 25,763 — (7) 3/23/2010 1000 Redstone Gateway (O) Huntsville, AL 10,035 — 20,533 5 — 20,538 20,538 (3,492 ) 2013 3/23/2010 1100 Redstone Gateway (O) Huntsville, AL 10,598 — 19,593 6 — 19,599 19,599 (2,926 ) 2014 3/23/2010 114 National Business Parkway (O) Annapolis Junction, MD — 364 3,109 223 364 3,332 3,696 (1,491 ) 2002 6/30/2000 1200 Redstone Gateway (O) Huntsville, AL 12,242 — 22,389 — — 22,389 22,389 (3,384 ) 2013 3/23/2010 1201 M Street (O) Washington, DC — — 49,785 8,879 — 58,664 58,664 (16,924 ) 2001 9/28/2010 1201 Winterson Road (O) Linthicum, MD — 2,130 17,007 669 2,130 17,676 19,806 (5,073 ) 1985/2017 4/30/1998 1220 12th Street, SE (O) Washington, DC — — 42,464 8,093 — 50,557 50,557 (15,746 ) 2003 9/28/2010 1243 Winterson Road (L) Linthicum, MD — 630 — — 630 — 630 — (6) 12/19/2001 131 National Business Parkway (O) Annapolis Junction, MD — 1,906 7,623 4,120 1,906 11,743 13,649 (7,074 ) 1990 9/28/1998 132 National Business Parkway (O) Annapolis Junction, MD — 2,917 12,259 4,669 2,917 16,928 19,845 (9,958 ) 2000 5/28/1999 133 National Business Parkway (O) Annapolis Junction, MD — 2,517 10,068 5,607 2,517 15,675 18,192 (10,005 ) 1997 9/28/1998 134 National Business Parkway (O) Annapolis Junction, MD — 3,684 7,517 4,952 3,684 12,469 16,153 (6,727 ) 1999 11/13/1998 1340 Ashton Road (O) Hanover, MD — 905 3,620 1,821 905 5,441 6,346 (3,100 ) 1989 4/28/1999 13450 Sunrise Valley Road (O) Herndon, VA — 1,386 5,576 4,591 1,386 10,167 11,553 (5,741 ) 1998 7/25/2003 13454 Sunrise Valley Road (O) Herndon, VA — 2,847 11,986 8,670 2,847 20,656 23,503 (11,121 ) 1998 7/25/2003 135 National Business Parkway (O) Annapolis Junction, MD — 2,484 9,750 6,196 2,484 15,946 18,430 (9,584 ) 1998 12/30/1998 1362 Mellon Road (O) Hanover, MD — 950 3,864 271 950 4,135 5,085 (578 ) 2006 2/10/2006 13857 McLearen Road (O) Herndon, VA — 3,507 30,177 4,142 3,507 34,319 37,826 (11,745 ) 2007 7/11/2012 140 National Business Parkway (O) Annapolis Junction, MD — 3,407 24,167 1,734 3,407 25,901 29,308 (10,247 ) 2003 12/31/2003 141 National Business Parkway (O) Annapolis Junction, MD — 2,398 9,538 4,828 2,398 14,366 16,764 (8,605 ) 1990 9/28/1998 14280 Park Meadow Drive (O) Chantilly, VA — 3,731 15,953 4,809 3,731 20,762 24,493 (8,630 ) 1999 9/29/2004 1460 Dorsey Road (L) Hanover, MD — 1,577 75 — 1,577 75 1,652 — (6) 2/28/2006 14840 Conference Center Drive (O) Chantilly, VA — 1,572 8,175 5,060 1,572 13,235 14,807 (6,626 ) 2000 7/25/2003 14850 Conference Center Drive (O) Chantilly, VA — 1,615 8,358 3,781 1,615 12,139 13,754 (6,788 ) 2000 7/25/2003 14900 Conference Center Drive (O) Chantilly, VA — 3,436 14,402 7,880 3,436 22,282 25,718 (12,059 ) 1999 7/25/2003 1501 South Clinton Street (O) Baltimore, MD — 27,964 51,990 18,470 27,964 70,460 98,424 (25,079 ) 2006 10/27/2009 15049 Conference Center Drive (O) Chantilly, VA — 4,415 20,365 16,525 4,415 36,890 41,305 (15,930 ) 1997 8/14/2002 15059 Conference Center Drive (O) Chantilly, VA — 5,753 13,615 4,190 5,753 17,805 23,558 (9,374 ) 2000 8/14/2002 1550 West Nursery Road (O) Linthicum, MD — 14,071 16,930 — 14,071 16,930 31,001 (5,942 ) 2009 10/28/2009 1560 West Nursery Road (O) Linthicum, MD — 1,441 113 — 1,441 113 1,554 (16 ) 2014 10/28/2009 1610 West Nursery Road (O) Linthicum, MD — 259 246 — 259 246 505 (17 ) 2016 4/30/1998 Initial Cost Gross Amounts Carried At Close of Period Property (Type) (1) Location Encumbrances (2) Land Building and Land Improvements Costs Capitalized Subsequent to Acquisition Land Building and Land Improvements Total (3) Accumulated Depreciation (4) Year Built or Renovated Date Acquired (5) 1616 West Nursery Road (O) Linthicum, MD — 393 3,323 — 393 3,323 3,716 (183 ) 2017 4/30/1998 1622 West Nursery Road (O) Linthicum, MD — 393 2,542 — 393 2,542 2,935 (180 ) 2016 4/30/1998 16442 Commerce Drive (O) Dahlgren, VA — 613 2,582 960 613 3,542 4,155 (1,735 ) 2002 12/21/2004 16480 Commerce Drive (O) Dahlgren, VA — 1,856 7,425 1,894 1,856 9,319 11,175 (3,928 ) 2000 12/28/2004 16501 Commerce Drive (O) Dahlgren, VA — 522 2,090 1,033 522 3,123 3,645 (1,255 ) 2002 12/21/2004 16539 Commerce Drive (O) Dahlgren, VA — 688 2,860 2,188 688 5,048 5,736 (2,692 ) 1990 12/21/2004 16541 Commerce Drive (O) Dahlgren, VA — 773 3,094 2,367 773 5,461 6,234 (2,408 ) 1996 12/21/2004 16543 Commerce Drive (O) Dahlgren, VA — 436 1,742 802 436 2,544 2,980 (1,131 ) 2002 12/21/2004 1751 Pinnacle Drive (O) McLean, VA — 10,486 42,339 33,115 10,486 75,454 85,940 (35,552 ) 1989/1995 9/23/2004 1753 Pinnacle Drive (O) McLean, VA — 8,275 34,353 22,407 8,275 56,760 65,035 (22,899 ) 1976/2004 9/23/2004 206 Research Boulevard (O) Aberdeen, MD — — — — — — — — 2012 9/14/2007 209 Research Boulevard (O) Aberdeen, MD — 134 1,711 276 134 1,987 2,121 (487 ) 2010 9/14/2007 210 Research Boulevard (O) Aberdeen, MD — 113 1,402 204 113 1,606 1,719 (400 ) 2010 9/14/2007 2100 L Street (O) Washington, DC 47,068 19,024 60,822 — 19,024 60,822 79,846 — (7) 8/11/2015 2100 Rideout Road (O) Huntsville, AL — — 6,951 2,881 — 9,832 9,832 (1,304 ) 2016 3/23/2010 22289 Exploration Drive (O) Lexington Park, MD — 1,422 5,719 1,924 1,422 7,643 9,065 (3,869 ) 2000 3/24/2004 22299 Exploration Drive (O) Lexington Park, MD — 1,362 5,791 2,911 1,362 8,702 10,064 (4,357 ) 1998 3/24/2004 22300 Exploration Drive (O) Lexington Park, MD — 1,094 5,038 2,729 1,094 7,767 8,861 (3,115 ) 1997 11/9/2004 22309 Exploration Drive (O) Lexington Park, MD — 2,243 10,419 7,986 2,243 18,405 20,648 (7,511 ) 1984/1997 3/24/2004 23535 Cottonwood Parkway (O) California, MD — 692 3,051 648 692 3,699 4,391 (1,861 ) 1984 3/24/2004 250 W Pratt St (O) Baltimore, MD — 8,057 34,588 14,833 8,057 49,421 57,478 (12,629 ) 1985 3/19/2015 2500 Riva Road (O) Annapolis, MD — 2,791 12,146 1 2,791 12,147 14,938 (12,146 ) 2000 3/4/2003 2600 Park Tower Drive (O) Vienna, VA — 20,293 34,443 1,859 20,293 36,302 56,595 (5,932 ) 1999 4/15/2015 2691 Technology Drive (O) Annapolis Junction, MD — 2,098 17,334 5,565 2,098 22,899 24,997 (11,271 ) 2005 5/26/2000 2701 Technology Drive (O) Annapolis Junction, MD — 1,737 15,266 5,530 1,737 20,796 22,533 (11,505 ) 2001 5/26/2000 2711 Technology Drive (O) Annapolis Junction, MD — 2,251 21,611 2,847 2,251 24,458 26,709 (12,920 ) 2002 11/13/2000 2720 Technology Drive (O) Annapolis Junction, MD — 3,863 29,272 2,167 3,863 31,439 35,302 (12,354 ) 2004 1/31/2002 2721 Technology Drive (O) Annapolis Junction, MD — 4,611 14,597 3,205 4,611 17,802 22,413 (9,741 ) 2000 10/21/1999 2730 Hercules Road (O) Annapolis Junction, MD — 8,737 31,612 8,709 8,737 40,321 49,058 (21,502 ) 1990 9/28/1998 30 Light Street (O) Baltimore, MD 3,998 — 12,101 867 — 12,968 12,968 (1,503 ) 2009 8/7/2015 300 Sentinel Drive (O) Annapolis Junction, MD — 1,517 59,165 1,756 1,517 60,921 62,438 (14,803 ) 2009 11/14/2003 302 Sentinel Drive (O) Annapolis Junction, MD — 2,648 29,687 901 2,648 30,588 33,236 (9,224 ) 2007 11/14/2003 304 Sentinel Drive (O) Annapolis Junction, MD — 3,411 24,917 1,966 3,411 26,883 30,294 (9,807 ) 2005 11/14/2003 306 Sentinel Drive (O) Annapolis Junction, MD — 3,260 22,592 2,487 3,260 25,079 28,339 (8,174 ) 2006 11/14/2003 308 Sentinel Drive (O) Annapolis Junction, MD — 1,422 26,208 2,354 1,422 28,562 29,984 (6,123 ) 2010 11/14/2003 310 Sentinel Way (O) Annapolis Junction, MD — 2,372 41,160 — 2,372 41,160 43,532 (3,968 ) 2016 11/14/2003 310 The Bridge Street (O) Huntsville, AL — 261 26,531 4,916 261 31,447 31,708 (9,962 ) 2009 8/9/2011 312 Sentinel Way (O) Annapolis Junction, MD — 3,138 27,797 — 3,138 27,797 30,935 (3,694 ) 2014 11/14/2003 Initial Cost Gross Amounts Carried At Close of Period Property (Type) (1) Location Encumbrances (2) Land Building and Land Improvements Costs Capitalized Subsequent to Acquisition Land Building and Land Improvements Total (3) Accumulated Depreciation (4) Year Built or Renovated Date Acquired (5) 314 Sentinel Way (O) Annapolis Junction, MD — 1,254 7,741 — 1,254 7,741 8,995 (1,014 ) 2008 11/14/2003 316 Sentinel Way (O) Annapolis Junction, MD — 2,748 38,156 157 2,748 38,313 41,061 (7,446 ) 2011 11/14/2003 318 Sentinel Way (O) Annapolis Junction, MD — 2,185 28,426 560 2,185 28,986 31,171 (9,949 ) 2005 11/14/2003 320 Sentinel Way (O) Annapolis Junction, MD — 2,067 21,623 65 2,067 21,688 23,755 (6,482 ) 2007 11/14/2003 322 Sentinel Way (O) Annapolis Junction, MD — 2,605 22,827 1,900 2,605 24,727 27,332 (7,808 ) 2006 11/14/2003 324 Sentinel Way (O) Annapolis Junction, MD — 1,656 23,018 — 1,656 23,018 24,674 (5,380 ) 2010 6/29/2006 4000 Market Street (O) Huntsville, AL — — 9,187 — — 9,187 9,187 (162 ) 2018 3/23/2010 410 National Business Parkway (O) Annapolis Junction, MD — 1,831 23,257 1,705 1,831 24,962 26,793 (4,101 ) 2012 6/29/2006 4100 Market Street (O) Huntsville, AL — — 7,998 — — 7,998 7,998 (102 ) 2019 3/23/2010 420 National Business Parkway (O) Annapolis Junction, MD — 2,370 27,751 132 2,370 27,883 30,253 (4,046 ) 2013 6/29/2006 430 National Business Parkway (O) Annapolis Junction, MD — 1,852 21,563 396 1,852 21,959 23,811 (4,265 ) 2011 6/29/2006 44408 Pecan Court (O) California, MD — 817 1,583 1,706 817 3,289 4,106 (1,374 ) 1986 3/24/2004 44414 Pecan Court (O) California, MD — 405 1,619 1,071 405 2,690 3,095 (1,328 ) 1986 3/24/2004 44417 Pecan Court (O) California, MD — 434 3,822 180 434 4,002 4,436 (1,815 ) 1989/2015 3/24/2004 44420 Pecan Court (O) California, MD — 344 890 291 344 1,181 1,525 (486 ) 1989 11/9/2004 44425 Pecan Court (O) California, MD — 1,309 3,506 2,217 1,309 5,723 7,032 (3,068 ) 1997 5/5/2004 45310 Abell House Lane (O) California, MD — 2,272 13,808 533 2,272 14,341 16,613 (2,848 ) 2011 8/30/2010 4600 River Road (O) College Park, MD — 30 8,345 — 30 8,345 8,375 — (7) 1/29/2008 46579 Expedition Drive (O) Lexington Park, MD — 1,406 5,796 2,145 1,406 7,941 9,347 (3,931 ) 2002 3/24/2004 46591 Expedition Drive (O) Lexington Park, MD — 1,200 7,199 2,112 1,200 9,311 10,511 (3,443 ) 2005 3/24/2004 4851 Stonecroft Boulevard (O) Chantilly, VA — 1,878 11,558 38 1,878 11,596 13,474 (4,407 ) 2004 8/14/2002 540 National Business Parkway (O) Annapolis Junction, MD — 2,035 31,249 — 2,035 31,249 33,284 (1,723 ) 2017 6/29/2006 5520 Research Park Drive (O) Catonsville, MD — — 20,072 1,530 — 21,602 21,602 (5,549 ) 2009 4/4/2006 5522 Research Park Drive (O) Catonsville, MD — — 4,550 836 — 5,386 5,386 (1,456 ) 2007 3/8/2006 5801 University Research Court (O) College Park, MD 11,200 — 17,429 — — 17,429 17,429 (706 ) 2018 1/29/2008 5825 University Research Court (O) College Park, MD 20,450 — 22,771 1,329 — 24,100 24,100 (6,399 ) 2008 1/29/2008 5850 University Research Court (O) College Park, MD 21,636 — 31,906 405 — 32,311 32,311 (8,025 ) 2008 1/29/2008 6000 Redstone Gateway (O) Huntsville, AL — — 508 — — 508 508 — (7) 3/23/2010 6700 Alexander Bell Drive (O) Columbia, MD — 1,755 7,019 8,186 1,755 15,205 16,960 (8,193 ) 1988 5/14/2001 6708 Alexander Bell Drive (O) Columbia, MD — 897 12,644 1,618 897 14,262 15,159 (4,393 ) 1988/2016 5/14/2001 6711 Columbia Gateway Drive (O) Columbia, MD — 2,683 23,239 1,557 2,683 24,796 27,479 (8,399 ) 2006-2007 9/28/2000 6716 Alexander Bell Drive (O) Columbia, MD — 1,242 4,969 4,544 1,242 9,513 10,755 (5,829 ) 1990 12/31/1998 6721 Columbia Gateway Drive (O) Columbia, MD — 1,753 34,090 131 1,753 34,221 35,974 (9,234 ) 2009 9/28/2000 6724 Alexander Bell Drive (O) Columbia, MD — 449 5,039 2,165 449 7,204 7,653 (3,200 ) 2001 5/14/2001 6731 Columbia Gateway Drive (O) Columbia, MD — 2,807 19,098 5,340 2,807 24,438 27,245 (12,123 ) 2002 3/29/2000 6740 Alexander Bell Drive (O) Columbia, MD — 1,424 5,696 3,441 1,424 9,137 10,561 (6,055 ) 1992 12/31/1998 6741 Columbia Gateway Drive (O) Columbia, MD — 675 1,711 169 675 1,880 2,555 (580 ) 2008 9/28/2000 6750 Alexander Bell Drive (O) Columbia, MD — 1,263 12,461 4,976 1,263 17,437 18,700 (10,076 ) 2001 12/31/1998 Initial Cost Gross Amounts Carried At Close of Period Property (Type) (1) Location Encumbrances (2) Land Building and Land Improvements Costs Capitalized Subsequent to Acquisition Land Building and Land Improvements Total (3) Accumulated Depreciation (4) Year Built or Renovated Date Acquired (5) 6760 Alexander Bell Drive (O) Columbia, MD — 890 3,561 3,901 890 7,462 8,352 (4,585 ) 1991 12/31/1998 6940 Columbia Gateway Drive (O) Columbia, MD — 3,545 9,916 7,974 3,545 17,890 21,435 (9,882 ) 1999 11/13/1998 6950 Columbia Gateway Drive (O) Columbia, MD — 3,596 26,846 3,220 3,596 30,066 33,662 (11,307 ) 1998/2019 (7) 10/22/1998 7000 Columbia Gateway Drive (O) Columbia, MD — 3,131 12,103 7,443 3,131 19,546 22,677 (8,231 ) 1999 5/31/2002 7005 Columbia Gateway Drive (L) Columbia, MD — 3,036 747 — 3,036 747 3,783 — (6) 6/26/2014 7015 Albert Einstein Drive (O) Columbia, MD — 2,058 6,093 3,319 2,058 9,412 11,470 (4,165 ) 1999 12/1/2005 7061 Columbia Gateway Drive (O) Columbia, MD — 729 3,094 2,379 729 5,473 6,202 (3,215 ) 2000 8/30/2001 7063 Columbia Gateway Drive (O) Columbia, MD — 902 3,684 3,416 902 7,100 8,002 (4,004 ) 2000 8/30/2001 7065 Columbia Gateway Drive (O) Columbia, MD — 919 3,763 3,095 919 6,858 7,777 (4,428 ) 2000 8/30/2001 7067 Columbia Gateway Drive (O) Columbia, MD — 1,829 11,823 5,116 1,829 16,939 18,768 (8,069 ) 2001 8/30/2001 7125 Columbia Gateway Drive (O) Columbia, MD — 20,487 46,994 21,053 20,487 68,047 88,534 (25,351 ) 1973/1999 6/29/2006 7130 Columbia Gateway Drive (O) Columbia, MD — 1,350 4,359 2,859 1,350 7,218 8,568 (3,621 ) 1989 9/19/2005 7134 Columbia Gateway Drive (O) Columbia, MD — 704 4,700 436 704 5,136 5,840 (1,666 ) 1990/2016 9/19/2005 7138 Columbia Gateway Drive (O) Columbia, MD — 1,104 3,518 2,843 1,104 6,361 7,465 (3,864 ) 1990 9/19/2005 7142 Columbia Gateway Drive (O) Columbia, MD — 1,342 7,148 2,608 1,342 9,756 11,098 (3,516 ) 1994/2018 9/19/2005 7150 Columbia Gateway Drive (O) Columbia, MD — 1,032 3,429 813 1,032 4,242 5,274 (1,673 ) 1991 9/19/2005 7150 Riverwood Drive (O) Columbia, MD — 1,821 4,388 1,854 1,821 6,242 8,063 (2,799 ) 2000 1/10/2007 7160 Riverwood Drive (O) Columbia, MD — 2,732 7,006 3,124 2,732 10,130 12,862 (4,336 ) 2000 1/10/2007 7170 Riverwood Drive (O) Columbia, MD — 1,283 3,096 2,243 1,283 5,339 6,622 (2,295 ) 2000 1/10/2007 7175 Riverwood Drive (O) Columbia, MD — 1,788 7,269 — 1,788 7,269 9,057 (1,116 ) 1996/2013 7/27/2005 7200 Redstone Gateway (O) Huntsville, AL 5,932 — 8,348 88 — 8,436 8,436 (1,175 ) 2013 3/23/2010 7200 Riverwood Drive (O) Columbia, MD — 4,089 22,630 4,538 4,089 27,168 31,257 (11,823 ) 1986 10/13/1998 7205 Riverwood Drive (O) Columbia, MD — 1,367 21,419 — 1,367 21,419 22,786 (3,452 ) 2013 7/27/2005 7272 Park Circle Drive (O) Hanover, MD — 1,479 6,300 4,578 1,479 10,878 12,357 (4,955 ) 1991/1996 1/10/2007 7318 Parkway Drive (O) Hanover, MD — 972 3,888 1,319 972 5,207 6,179 (2,740 ) 1984 4/16/1999 7400 Redstone Gateway (O) Huntsville, AL 6,506 — 9,223 82 — 9,305 9,305 (1,044 ) 2015 3/23/2010 7467 Ridge Road (O) Hanover, MD — 1,565 3,116 4,954 1,565 8,070 9,635 (3,456 ) 1990 4/28/1999 7500 Advanced Gateway (O) Huntsville, AL — — 7,195 — — 7,195 7,195 — (7) 3/23/2010 7600 Advanced Gateway (O) Huntsville, AL — — 2,543 — — 2,543 2,543 — (7) 3/23/2010 7740 Milestone Parkway (O) Hanover, MD 17,352 3,825 34,176 1,009 3,825 35,185 39,010 (8,311 ) 2009 7/2/2007 7770 Backlick Road (O) Springfield, VA — 6,387 76,663 283 6,387 76,946 83,333 (12,966 ) 2012 3/10/2010 7880 Milestone Parkway (O) Hanover, MD — 4,857 25,913 247 4,857 26,160 31,017 (2,695 ) 2015 9/17/2013 8000 Rideout Road (O) Huntsville, AL — — 2,564 — — 2,564 2,564 — (7) 3/23/2010 8600 Advanced Gateway (O) Huntsville, AL — — 4,931 — — 4,931 4,931 — (7) 3/23/2010 8621 Robert Fulton Drive (O) Columbia, MD — 2,317 12,642 6,428 2,317 19,070 21,387 (5,755 ) 2005-2006 6/10/2005 8661 Robert Fulton Drive (O) Columbia, MD — 1,510 3,764 2,956 1,510 6,720 8,230 (3,240 ) 2002 12/30/2003 8671 Robert Fulton Drive (O) Columbia, MD — 1,718 4,280 4,306 1,718 8,586 10,304 (4,366 ) 2002 12/30/2003 870 Elkridge Landing Road (O) Linthicum, MD — 2,003 9,442 9,333 2,003 18,775 20,778 (10,533 ) 1981 8/3/2001 Initial Cost Gross Amounts Carried At Close of Period Property (Type) (1) Location Encumbrances (2) Land Building and Land Improvements Costs Capitalized Subsequent to Acquisition Land Building and Land Improvements Total (3) Accumulated Depreciation (4) Year Built or Renovated Date Acquired (5) 8800 Redstone Gateway (O) Huntsville, AL — — 17,730 — — 17,730 17,730 (58 ) 2019 3/23/2010 891 Elkridge Landing Road (O) Linthicum, MD — 1,165 4,772 3,483 1,165 8,255 9,420 (4,921 ) 1984 7/2/2001 901 Elkridge Landing Road (O) Linthicum, MD — 1,156 4,437 3,864 1,156 8,301 9,457 (4,321 ) 1984 7/2/2001 911 Elkridge Landing Road (O) Linthicum, MD — 1,215 4,861 2,970 1,215 7,831 9,046 (4,481 ) 1985 4/30/1998 938 Elkridge Landing Road (O) Linthicum, MD — 922 4,748 1,516 922 6,264 7,186 (3,022 ) 1984 7/2/2001 939 Elkridge Landing Road (O) Linthicum, MD — 939 3,756 4,438 939 8,194 9,133 (5,028 ) 1983 4/30/1998 9651 Hornbaker Road (D) Manassas, VA — 6,050 250,355 5,582 6,050 255,937 261,987 (61,123 ) 2010 9/14/2010 Arundel Preserve (L) Hanover, MD — 13,352 9,683 — 13,352 9,683 23,035 — (6) 7/2/2007 BLC 1 (O) Northern Virginia — 12,026 18,175 — 12,026 18,175 30,201 (696 ) 2018 12/28/2017 BLC 2 (O) Northern Virginia — 12,026 17,929 — 12,026 17,929 29,955 (655 ) 2018 12/28/2017 Canton Crossing Land (L) Baltimore, MD — 17,285 8,322 — 17,285 8,322 25,607 — (6) 10/27/2009 Canton Crossing Util Distr Ctr (O) Baltimore, MD — 6,100 10,450 1,727 6,100 12,177 18,277 (5,651 ) 2006 10/27/2009 Columbia Gateway - Southridge (L) Columbia, MD — 6,387 3,722 — 6,387 3,722 10,109 — (6) 9/20/2004 Dahlgren Technology Center (L) Dahlgren, VA — 978 178 — 978 178 1,156 — (6) 3/16/2005 Expedition VII (L) Lexington Park, MD — 705 730 — 705 730 1,435 — (6) 3/24/2004 IN 1 (O) Northern Virginia — 1,815 15,955 — 1,815 15,955 17,770 (336 ) 2019 8/31/2016 IN 2 (O) Northern Virginia — 2,627 28,527 — 2,627 28,527 31,154 (364 ) 2019 8/31/2016 M Square Research Park (L) College Park, MD — — 1,632 — — 1,632 1,632 — (6) 1/29/2008 MP 1 (O) Northern Virginia — 9,426 29,508 — 9,426 29,508 38,934 (490 ) 2019 11/20/2017 MP 2 (O) Northern Virginia — 9,426 28,843 — 9,426 28,843 38,269 (685 ) 2018 11/20/2017 MR Land (L) Northern Virginia — 9,038 407 — 9,038 407 9,445 — (6) 11/8/2018 National Business Park North (L) Annapolis Junction, MD — 28,843 46,879 — 28,843 46,879 75,722 — (6) 6/29/2006 North Gate Business Park (L) Aberdeen, MD — 1,755 5 — 1,755 5 1,760 — (6) 9/14/2007 Northwest Crossroads (L) San Antonio, TX — 7,430 847 — 7,430 847 8,277 — (6) 1/20/2006 NOVA Office A (O) (8) Chantilly, VA — 2,096 46,849 — 2,096 46,849 48,945 (5,751 ) 2015 7/18/2002 NOVA Office B (O) (8) Chantilly, VA — 739 38,376 — 739 38,376 39,115 (2,754 ) 2016 7/18/2002 NOVA Office C (O) (8) Chantilly, VA — 5,604 9,191 — 5,604 9,191 14,795 — (7) 7/18/2002 NOVA Office D (O) (8) Chantilly, VA — 6,587 40,518 — 6,587 40,518 47,105 (2,433 ) 2017 7/2/2013 Oak Grove A (O) Northern Virginia — 12,866 16,554 — 12,866 16,554 29,420 — (7) 11/1/2018 Oak Grove B (O) Northern Virginia — 12,866 26,518 — 12,866 26,518 39,384 — 2019 11/1/2018 Oak Grove Phase II (L) Northern Virginia — 23,483 8,942 — 23,483 8,942 32,425 — (6) 11/1/2018 Old Annapolis Road (O) Columbia, MD — 1,637 5,500 6,710 1,637 12,210 13,847 (4,380 ) 1974/1985 12/14/2000 P2 A (O) Northern Virginia — 19,514 27,096 — 19,514 27,096 46,610 — (7) 5/2/2019 P2 B (O) Northern Virginia — 25,621 6,494 — 25,621 6,494 32,115 — (7) 5/2/2019 P2 C (O) Northern Virginia — 17,137 1,591 — 17,137 1,591 18,728 — (7) 5/2/2019 Paragon Park (L) Northern Virginia — — 78 — — 78 78 — (6) 5/8/2017 Patriot Ridge (L) Springfield, VA — 18,517 14,530 — 18,517 14,530 33,047 — (6) 3/10/2010 Project EX (O) (9) Confidential-USA — 8,959 16,525 — 8,959 16,525 25,484 (279 ) 2018 7/16/2008 Initial Cost Gross Amounts Carried At Close of Period Property (Type) (1) Location Encumbrances (2) Land Building and Land Improvements Costs Capitalized Subsequent to Acquisition Land Building and Land Improvements Total (3) Accumulated Depreciation (4) Year Built or Renovated Date Acquired (5) Redstone Gateway (L) Huntsville, AL — — 21,472 — — 21,472 21,472 — (6) 3/23/2010 Sentry Gateway (L) San Antonio, TX — 4,052 1,833 — 4,052 1,833 5,885 — (6) 3/30/2005 Sentry Gateway - T (O) San Antonio, TX — 14,020 38,804 13 14,020 38,817 52,837 (12,502 ) 1982/2008 3/30/2005 Sentry Gateway - V (O) San Antonio, TX — — 1,066 — — 1,066 1,066 (295 ) 2007 3/30/2005 Sentry Gateway - W (O) San Antonio, TX — — 1,884 71 — 1,955 1,955 (496 ) 2009 3/30/2005 Sentry Gateway - X (O) San Antonio, TX — 1,964 21,178 — 1,964 21,178 23,142 (4,846 ) 2010 1/20/2006 Sentry Gateway - Y (O) San Antonio, TX — 1,964 21,298 — 1,964 21,298 23,262 (4,875 ) 2010 1/20/2006 Sentry Gateway - Z (O) San Antonio, TX — 1,964 30,573 — 1,964 30,573 32,537 (3,673 ) 2015 6/14/2005 SP Manassas (L) Manassas, VA — 8,156 94 — 8,156 94 8,250 — (6) 2/6/2015 Westfields - Park Center (L) Chantilly, VA — 10,815 6,019 — 10,815 6,019 16,834 — (6) 7/2/2013 Westfields Corporate Center (L) Chantilly, VA — 7,141 1,576 — 7,141 1,576 8,717 — (6) 1/27/2005 Other Developments, including intercompany eliminations (V) Various — — 530 258 — 788 788 (79 ) Various Various $ 214,546 $ 735,948 $ 3,124,706 $ 487,352 $ 735,948 $ 3,612,058 $ 4,348,006 $ (1,007,120 ) (1) A legend for the Property Type follows: (O) = Office or Data Center Shell Property; (L) = Land held or pre-development; (D) = Wholesale Data Center; and (V) = Various. (2) Excludes our Revolving Credit Facility of $177.0 million , term loan facilities of $248.7 million , unsecured senior notes of $1.2 billion , unsecured notes payable of $1.0 million , and deferred financing costs, net of premiums, on the remaining loans of $3.1 million . (3) The aggregate cost of these assets for Federal income tax purposes was approximately $3.4 billion as of December 31, 2019 . (4) The estimated lives over which depreciation is recognized follow: Building and land improvements: 10 - 40 years; and tenant improvements: related lease terms. (5) The acquisition date of multi-parcel properties reflects the date of the earliest parcel acquisition. The acquisition date of properties owned through real estate joint ventures reflects the date of the formation of the joint venture. (6) Held as of December 31, 2019 . (7) Under development or redevelopment as of December 31, 2019 . (8) The carrying amounts of these properties exclude allocated costs of the garage being constructed to support the properties. (9) This property represents land under a long-term contract. The following table summarizes our changes in cost of properties for the years ended December 31, 2019, 2018 and 2017 (in thousands): 2019 2018 2017 Beginning balance $ 4,148,529 $ 3,980,813 $ 3,874,715 Improvements and other additions 480,418 224,524 259,548 Sales (1) (242,497 ) (53,547 ) (138,216 ) Impairments (329 ) (2,493 ) (15,116 ) Other dispositions (340 ) (768 ) (118 ) Reclassification to right-of use asset (37,775 ) — — Ending balance $ 4,348,006 $ 4,148,529 $ 3,980,813 The following table summarizes our changes in accumulated depreciation for the same time periods (in thousands): 2019 2018 2017 Beginning balance $ 897,903 $ 801,038 $ 715,951 Depreciation expense 117,973 112,610 107,772 Sales (1) (8,416 ) (14,845 ) (22,567 ) Impairments — (132 ) — Other dispositions (340 ) (768 ) (118 ) Ending balance $ 1,007,120 $ 897,903 $ 801,038 (1) Includes our sale, through a series of transactions, of ownership interests in data center shells through a newly-formed unconsolidated real estate joint venture in 2019, as described in Note 4 to our consolidated financial statements. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The COPT consolidated financial statements include the accounts of COPT, the Operating Partnership, their subsidiaries and other entities in which COPT has a majority voting interest and control. The COPLP consolidated financial statements include the accounts of COPLP, its subsidiaries and other entities in which COPLP has a majority voting interest and control. We also consolidate certain entities when control of such entities can be achieved through means other than voting rights (“variable interest entities” or “VIEs”) if we are deemed to be the primary beneficiary of such entities. We eliminate all intercompany balances and transactions in consolidation. We use the equity method of accounting when we own an interest in an entity and can exert significant influence over but cannot control the entity’s operations. We discontinue equity method accounting if our investment in an entity (and net advances) is reduced to zero unless we have guaranteed obligations of the entity or are otherwise committed to provide further financial support for the entity. |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements We make estimates and assumptions when preparing financial statements under generally accepted accounting principles (“GAAP”). These estimates and assumptions affect various matters, including: • the reported amounts of assets and liabilities in our consolidated balance sheets at the dates of the financial statements; • the disclosure of contingent assets and liabilities at the dates of the financial statements; and • the reported amounts of revenues and expenses in our consolidated statements of operations during the reporting periods. |
Properties | Properties We report properties to be developed or held and used in operations at our depreciated cost, reduced for impairment losses. The predevelopment stage of the development or redevelopment of an operating property includes efforts and related costs to secure land control and zoning, evaluate feasibility and complete other initial tasks that are essential to development. We capitalize direct and indirect project costs (including related compensation and other indirect costs), interest expense and real estate taxes associated with properties, or portions thereof, undergoing development and redevelopment activities. In capitalizing interest expense, if there is a specific borrowing for a property undergoing development and redevelopment activities, we apply the interest rate of that borrowing to the average accumulated expenditures that do not exceed such borrowing; for the portion of expenditures exceeding any such specific borrowing, we apply our weighted average interest rate on other borrowings to the expenditures. We continue to capitalize costs while development or redevelopment activities are underway until a property becomes “operational,” which occurs when lease terms commence (generally when the tenant has control of the leased space and we have delivered the premises to the tenant as required under the terms of such lease), but no later than one year after the cessation of major construction activities. When leases commence on portions of a newly-developed or redeveloped property in the period prior to one year from the cessation of major construction activities, we consider that property to be “partially operational.” When a property is partially operational, we allocate the costs associated with the property between the portion that is operational and the portion under development. We start depreciating newly-developed and redeveloped properties as they become operational. Most of our leases involve some form of improvements to leased space. When we are required to provide improvements under the terms of a lease, we determine whether the improvements constitute landlord assets or tenant assets. If the improvements are landlord assets, we capitalize the cost of the improvements and recognize depreciation expense associated with such improvements over the shorter of the useful life of the assets or the term of the lease and recognize any payments from the tenant as rental revenue over the term of the lease. If the improvements are tenant assets, we defer the cost of improvements funded by us as a lease incentive asset and amortize it as a reduction of rental revenue over the term of the lease. In determining whether improvements constitute landlord or tenant assets, we consider numerous factors, including: whether the improvements are unique to the tenant or reusable by other tenants; whether the tenant is permitted to alter or remove the improvements without our consent or without compensating us for any lost fair value; whether the ownership of the improvements remains with us or remains with the tenant at the end of the lease term; and whether the economic substance of the lease terms is properly reflected. We depreciate our fixed assets using the straight-line method over their estimated useful lives as follows: Estimated Useful Lives Buildings and building improvements 10-40 years Land improvements 10-20 years Tenant improvements on operating properties Shorter of remaining useful lives of assets or related lease term Equipment and personal property 3-10 years When we dispose of, or classify as held for sale, a component or group of components that represents a strategic shift having a major effect on our operations and financial results (such as a major geographical area of operations, a major line of business or a major equity method investment), we classify the associated results of operations as discontinued operations. We had no properties newly classified as discontinued operations in the last three years. |
Sale of Interest In Properties | Sales of Interests in Properties |
Impairment of Properties | Impairment of Properties We assess the asset groups associated with each of our properties, including operating properties, properties in development, land held for future development, related intangible assets, right-of-use assets, deferred rents receivable and lease liabilities for indicators of impairment quarterly or when circumstances indicate that an asset group may be impaired. If our analyses indicate that the carrying values of certain properties’ asset groups may be impaired, we perform a recovery analysis for such asset groups. For properties to be held and used, we analyze recoverability based on the estimated undiscounted future cash flows expected to be generated from the operations and eventual disposition of the properties over, in most cases, a ten-year holding period. If we believe it is more likely than not that we will dispose of the properties earlier, we analyze recoverability using a probability weighted analysis of the estimated undiscounted future cash flows expected to be generated from the operations and eventual disposition of the properties over the various possible holding periods. If the analysis indicates that the carrying value of a tested property’s asset group is not recoverable from its estimated future cash flows, the property’s asset group is written down to the property’s estimated fair value and an impairment loss is recognized. If and when our plans change, we revise our recoverability analyses to use the cash flows expected from the operations and eventual disposition of such property using holding periods that are consistent with our revised plans. Changes in holding periods may require us to recognize significant impairment losses. Fair values are estimated based on contract prices, indicative bids, discounted cash flow analyses, yield analyses or comparable sales analyses. Estimated cash flows used in our impairment analyses are based on our plans for the property and our views of market and economic conditions. The estimates consider items such as current and future market rental and occupancy rates, estimated operating and capital expenditures and recent sales data for comparable properties; most of these items are influenced by market data obtained from real estate leasing and brokerage firms and our direct experience with the properties and their markets. When we determine that a property is held for sale, we stop depreciating the property and estimate the property’s fair value, net of selling costs; if we then determine that the estimated fair value, net of selling costs, is less than the net book value of the property’s asset group, we recognize an impairment loss equal to the difference and reduce the net book value of the property’s asset group. For periods in which a property is classified as held for sale, we classify the assets of the property’s asset group as held for sale on our consolidated balance sheet for such periods. |
Acquisition of Operating Properties | Acquisition of Operating Properties Upon completion of operating property acquisitions, we allocate the purchase price to tangible and intangible assets and liabilities associated with such acquisitions based on our estimates of their fair values. We determine these fair values by using market data and independent appraisals available to us and making numerous estimates and assumptions. We allocate operating property acquisitions to the following components: • properties based on a valuation performed under the assumption that the property is vacant upon acquisition (the “if-vacant value”). The if-vacant value is allocated between land and buildings or, in the case of properties under development, development in progress. We also allocate additional amounts to properties for in-place tenant improvements based on our estimate of improvements per square foot provided under market leases that would be attributable to the remaining non-cancelable terms of the respective leases; • above- and below-market lease intangible assets or liabilities based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between: (1) the contractual amounts to be received pursuant to the in-place leases; and (2) our estimate of fair market lease rates for the corresponding space, measured over a period equal to the remaining non-cancelable term of the lease. The capitalized above- and below-market lease values are amortized as adjustments to rental revenue over the remaining lease terms of the respective leases, and to renewal periods in the case of below-market leases; • in-place lease value based on our estimates of: (1) the present value of additional income to be realized as a result of leases being in place on the acquired properties; and (2) costs to execute similar leases. Our estimate of additional income to be realized includes carrying costs, such as real estate taxes, insurance and other operating expenses, and revenues during the expected lease-up periods considering current market conditions. Our estimate of costs to execute similar leases includes leasing commissions, legal and other related costs; • tenant relationship value based on our evaluation of the specific characteristics of each tenant’s lease and our overall relationship with that respective tenant. Characteristics we consider in determining these values include the nature and extent of our existing business relationships with the tenant, growth prospects for developing new business with the tenant, the tenant’s credit quality and expectations of lease renewals, among other factors; and • above- and below-market cost arrangements (such as real estate tax treaties or above- or below-market ground leases) based on the present value of the expected benefit from any such arrangements in place on the property at the time of acquisition. |
Property Right-of-Use Assets | Property Right-of-Use Assets |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include all cash and liquid investments that mature three months or less from when they are purchased. Cash equivalents are reported at cost, which approximates fair value. We maintain our cash in bank accounts in amounts that may exceed Federally insured limits at times. We have not experienced any losses in these accounts in the past and believe that we are not exposed to significant credit risk because our accounts are deposited with major financial institutions. |
Investments in Marketable Securities | Investments in Marketable Securities We classify marketable securities as trading securities when we have the intent to sell such securities in the near term, and classify other marketable securities as available-for-sale securities. We determine the appropriate classification of investments in marketable securities at the acquisition date and re-evaluate the classification at each balance sheet date. We report investments in marketable securities classified as trading securities at fair value (which is included in the line entitled “Prepaid expenses and other assets, net” on our consolidated balance sheets), with unrealized gains and losses recognized through earnings; on our consolidated statements of cash flows, we classify cash flows from these securities as operating activities. |
Accounts and Deferred Rents Receivable and Investing Receivables | Accounts and Deferred Rents Receivable and Investing Receivables We evaluate our receivables from customers and borrowers for collectability and recognize estimated credit losses on these receivables. We use judgment in estimating these losses based primarily upon the payment history and credit status of the entities associated with the individual receivables. We write off receivables when we believe the facts and circumstances indicate that continued pursuit of collection is no longer warranted. When cash is received in connection with receivables for which we have previously recognized credit losses, we recognize reductions in our credit losses. For lease revenue, if collectability is not probable, revenue recognized is limited to the lesser of revenue that would have been recognized if collectability was probable or lease payments collected. Losses on lease revenue receivables are presented on our consolidated statements of operation with property operating expenses for years prior to January 1, 2019, when we adopted new lease accounting guidance, and as reductions in lease revenue thereafter. We evaluate the collectability of both interest and principal of loans whenever events or changes in circumstances indicate such amounts may not be recoverable. A loan is impaired when it is probable that we will be unable to collect all amounts due according to the existing contractual terms. When a loan is impaired, the amount of the loss accrual is calculated by comparing the carrying amount of the investment to the present value of expected future cash flows discounted at the loan’s effective interest rate and the value of any collateral under such loan. Interest on impaired loans is recognized when received in cash. |
Intangible Assets and Deferred Revenue on Real Estate Acquisitions | Intangible Assets and Deferred Revenue on Real Estate Acquisitions We amortize the intangible assets and deferred revenue on real estate acquisitions discussed above as follows: Asset Type Amortization Period Above- and below-market leases Related lease terms In-place lease value Related lease terms Tenant relationship value Estimated period of time that tenant will lease space in property Above- and below-market cost arrangements Term of arrangements We recognize the amortization of acquired above- and below-market leases as adjustments to rental revenue. We recognize the amortization of above- and below-market cost arrangements as adjustments to property operating expenses. We recognize the amortization of other intangible assets on property acquisitions as amortization expense. |
Deferred Leasing and Financing Costs, Net | Deferred Leasing Costs We defer costs incurred to obtain new tenant leases or extend existing tenant leases; our deferral of costs included related non-incremental compensation costs until January 1, 2019, when we adopted new lease accounting guidance. We amortize these costs evenly over the lease terms. We classify leasing costs paid as an investing activity on our statements of cash flows since such costs are necessary in order for us to generate long-term future cash flows from our properties. When tenant leases are terminated early, we expense any unamortized deferred leasing costs associated with those leases over the shortened term of the lease. Deferred Financing Costs We defer costs of financing arrangements and recognize these costs as interest expense over the related debt terms on a straight-line basis, which approximates the amortization that would occur under the effective interest method of amortization. We expense any unamortized loan costs when loans are retired early. We present deferred costs of financing arrangements as a direct deduction from the related debt liability, except for costs attributable to line-of-credit arrangements and interest rate derivatives, which we present in the balance sheet in the line entitled “prepaid expenses and other assets, net”. |
Interest Rate Derivatives | Interest Rate Derivatives Our primary objectives in using interest rate derivatives are to add stability to interest expense and to manage exposure to interest rate movements. To accomplish this objective, we use interest rate swaps as part of our interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for our making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. We use interest rate swaps to hedge the cash flows associated with interest rates on variable-rate debt borrowings. We also use forward-starting interest rate swaps to hedge the cash flows associated with interest rates on forecasted fixed-rate borrowings. We recognize all derivatives as assets or liabilities on our consolidated balance sheet at fair value. Prior to our adoption of guidance issued by the Financial Accounting Standards Board (“FASB”) effective January 1, 2018, we: deferred only the effective portion of changes in fair value of the designated cash flow hedges to accumulated other comprehensive income (“AOCI”) or loss (“AOCL”), reclassifying such deferrals to interest expense as interest expense was recognized on the hedged forecasted transactions; and recognized the ineffective portion of the change in fair value of interest rate derivatives directly in interest expense. Effective January 1, 2018, we defer all changes in the fair value of designated cash flow hedges to AOCI or AOCL, reclassifying such deferrals to interest expense as interest expense is recognized on the hedged forecasted transactions. When an interest rate swap designated as a cash flow hedge no longer qualifies for hedge accounting and the hedged transactions are probable not to occur, we recognize changes in fair value of the hedge previously deferred to AOCI or AOCL, along with any changes in fair value occurring thereafter, through earnings. We do not use interest rate derivatives for trading or speculative purposes. We manage counter-party risk by only entering into contracts with major financial institutions based upon their credit ratings and other risk factors. We use standard market conventions and techniques such as discounted cash flow analysis, option pricing models, replacement cost and termination cost in computing the fair value of derivatives at each balance sheet date. We made an accounting policy election to use an exception provided for in the applicable accounting guidance with respect to measuring counterparty credit risk for derivative instruments; this election enables us to measure the fair value of groups of assets and liabilities associated with derivative instruments consistently with how market participants would price the net risk exposure as of the measurement date. |
Noncontrolling Interests | Noncontrolling Interests COPT’s consolidated noncontrolling interests are comprised of interests in COPLP not owned by COPT (discussed further in Note 14) and interests in consolidated real estate joint ventures not owned by us (discussed further in Note 6). COPLP’s consolidated noncontrolling interests are comprised primarily of interests in our consolidated real estate joint ventures. Also included in COPLP’s consolidated noncontrolling interests are interests in several real estate entities owned directly by COPT, or a wholly owned subsidiary of COPT, that generally do not exceed 1% of interests in such entities. We evaluate whether noncontrolling interests are subject to redemption features outside of our control. We classify noncontrolling interests that are currently redeemable for cash at the option of the holders or are probable of becoming redeemable as redeemable noncontrolling interests in the mezzanine section of our consolidated balance sheets; we adjust these interests each period to the greater of their fair value or carrying amount (initial amount as adjusted for allocations of income and losses and contributions and distributions), with a corresponding offset to additional paid-in capital on COPT’s consolidated balance sheets or common units on COPLP’s balance sheet. Our other noncontrolling interests are reported in the equity section of our consolidated balance sheets. |
Revenue Recognition | Revenue Recognition Lease and Other Property Revenue We lease real estate properties, comprised primarily of office properties and data center shells, to third parties. These leases usually include options under which the tenant may renew its lease based on market rates at the time of renewal, which are then typically subject to further negotiation. These leases occasionally provide the tenant with an option to terminate its lease early usually for a defined termination fee. Most of our lease revenue is from fixed contractual payments defined under the lease that, in most cases, escalate annually over the term of the lease. Our lease revenue also includes variable lease payments predominantly for tenant reimbursements of property operating expenses and lease termination fees. Property operating expense reimbursement structures vary, with some tenants responsible for all of a property’s expenses, while others are responsible for their share of a property’s expense only to the extent such expenses exceed amounts defined in the lease (which are derived from the property’s historical expense levels). Lease termination fees in most cases result from a tenant’s exercise of an existing right under a lease. Our leases of properties as lessor reflected herein are classified as operating leases. We recognize minimum rents on operating leases, net of abatements, on a straight-line basis over the term of tenant leases. A lease term commences when: (1) the tenant has control of the leased space (legal right to use the property); and (2) we have delivered the premises to the tenant as required under the terms of such lease. The term of a lease includes the noncancellable periods of the lease along with periods covered by: (1) a tenant option to extend the lease if the tenant is reasonably certain to exercise that option; (2) a tenant option to terminate the lease if the tenant is reasonably certain not to exercise that option; and (3) an option to extend (or not to terminate) the lease in which exercise of the option is controlled by us as the lessor. When assessing the expected lease end date, we use judgment in contemplating the significance of: any penalties a tenant may incur should it choose not to exercise any existing options to extend the lease or exercise any existing options to terminate the lease; and economic incentives for the tenant based on any existing contract, asset, entity or market-based factors in the lease. While a significant portion of our portfolio is leased to the USG, and the majority of those leases consist of a series of one -year renewal options, or provide for early termination rights, we have concluded that exercise of existing renewal options, or continuation of such leases without exercising early termination rights, is reasonably certain for most of these leases. We report the amount by which our minimum rental revenue recognized on a straight-line basis under leases exceeds the contractual rent billings associated with such leases as deferred rent receivable on our consolidated balance sheets. Amounts by which our minimum rental revenue recognized on a straight-line basis under leases are less than the contractual rent billings associated with such leases are reported in liabilities as deferred revenue associated with operating leases on our consolidated balance sheets. In connection with a tenant’s entry into, or modification of, a lease, if we make cash payments to, or on behalf of, the tenant for purposes other than funding the construction of landlord assets, we defer the amount of such payments as lease incentives. As discussed above, when we are required to provide improvements under the terms of a lease, we determine whether the improvements constitute landlord assets or tenant assets; if the improvements are tenant assets, we defer the cost of improvements funded by us as a lease incentive asset. We amortize lease incentives as a reduction of rental revenue over the term of the lease. If collectability under a lease is not probable, revenue recognized is limited to the lesser of revenue that would have been recognized if collectability was probable or lease payments collected. We recognize lease revenue associated with tenant expense recoveries in the same periods in which we incur the related expenses, including tenant reimbursements of property taxes, utilities and other property operating expenses. We recognize fees received for lease terminations as revenue and write off against such revenue any (1) deferred rents receivable, and (2) deferred revenue, lease incentives and intangible assets that are amortizable into rental revenue associated with the leases; the resulting net amount is the net revenue from the early termination of the leases. When a tenant’s lease for space in a property is terminated early but the tenant continues to lease such space under a new or modified lease in the property, the net revenue from the early termination of the lease is recognized evenly over the remaining life of the new or modified lease in place on that property. Construction Contract and Other Service Revenues We enter into construction contracts to complete various design and construction services primarily for our USG tenants. The revenues and expenses from these services consist primarily of subcontracted costs that are reimbursed to us by our customers along with a fee. These services are an ancillary component of our overall operations, with small operating margins relative to the revenue. We review each contract to determine the performance obligations and allocate the transaction price based on the standalone selling price, as discussed further below. We recognize revenue under these contracts as services are performed in an amount that reflects the consideration we expect to receive in exchange for those services. Our performance obligations are satisfied over time as work progresses. Revenue recognition is determined using the input method based on costs incurred as of a point in time relative to the total estimated costs at completion to measure progress toward satisfying our performance obligations. We believe incurred costs of work performed best depicts the transfer of control of the services being transferred to the customer. In determining whether the performance obligations of each construction contract should be accounted for separately versus together, we consider numerous factors that may require significant judgment, including: whether the components contracted are substantially the same with the same pattern of transfer; whether the customer could contract with another party to perform construction based on our design project; and whether the customer can elect not to move forward after the design phase of the contract. Most of our contracts have a single performance obligation as the promise to transfer the services is not separately identifiable from other obligations in the contracts and, therefore, are not distinct. Some contracts have multiple performance obligations, most commonly due to having distinct project phases for design and construction for which our customer is making decisions and managing separately. In these cases, we allocate the transaction price between these performance obligations based on the relative standalone selling prices, which we determine by evaluating: the relative costs of each performance obligation; the expected operating margins (which typically do not vary significantly between obligations); and amounts set forth in the contracts for each obligation. Contract modifications, such as change orders, are routine for our construction contracts and are generally determined to be additions to the existing performance obligations because they would have been part of the initial performance obligations if they were identified at the initial contract date. We have three main types of compensation arrangements for our construction contracts: guaranteed maximum price (“GMP”); firm fixed price (“FFP”); and cost-plus fee. • GMP contracts provide for revenue equal to costs incurred plus a fee equal to a percentage of such costs, up to a maximum contract amount. We generally enter into GMP contracts for projects that are significant in nature based on the size of the project and total fees, and for which the full scope of the project has not been determined as of the contract date. GMP contracts are lower risk to us than FFP contracts since the costs and revenue move proportionately to one another. • FFP contracts provide for revenue equal to a fixed fee. These contracts are typically lower in value and scope relative to GMP contracts, and are generally entered into when the scope of the project is well defined. Typically, we assume more risk with FFP contracts than GMP contracts since the revenue is fixed and we could realize losses or less than expected profits if we incur more costs than originally estimated. However, these types of contracts offer the opportunity for additional profits when we complete the work for less than originally estimated. • Cost-plus fee contracts provide for revenue equal to costs incurred plus a fee equal to a percentage of such costs but, unlike GMP contracts, do not have a maximum contract amount. Similar to GMP contracts, cost-plus fee contracts are low risk to us since the costs and revenue move proportionately to one another. Construction contract cost estimates are based primarily on contracts in place with subcontractors to complete most of the work, but may also include assumptions, such as performance of subcontractors and cost and availability of materials, to project the outcome of future events over the course of the project. We review and update these estimates regularly as a significant change could affect the profitability of our construction contracts. We recognize adjustments in estimated profit on contracts under the cumulative catch-up method as the modification does not create a new performance obligation. Under this method, the impact of the adjustment on profit recorded to date on a contract is recognized in the period the adjustment is identified. Revenue and profit in future periods are recognized using the adjusted estimate. If at any time the estimate of contract profitability indicates an anticipated loss on the contract, we recognize the total loss in the quarter it is identified. Our timing of revenue recognition for construction contracts generally differs from the timing of invoicing to customers. We recognize such revenue as we satisfy our performance obligations. Payment terms and conditions vary by contract type. Under most of our contracts, we bill customers monthly, as work progresses, in accordance with the contract terms, with payment due in 30 days , although customers occasionally pay in advance of services being provided. We have determined that our contracts generally do not include a significant financing component. The primary purpose of the timing of our invoicing is for convenience, not to receive financing from our customers or to provide customers with financing. Additionally, the timing of transfer of the services is often at the discretion of the customer. Under most of our contracts, we bill customers one month subsequent to revenue recognition, resulting in contract assets representing unbilled construction revenue. Our contract liabilities consist of advance payments from our customers or billings in excess of construction contract revenue recognized. |
Expense Classification | Expense Classification We classify as property operating expense costs incurred for property taxes, ground rents, utilities, property management, insurance, repairs and exterior and interior maintenance, as well as associated labor and indirect costs attributable to these costs. We classify as general, administrative and leasing expenses costs incurred for corporate-level management, public company administration, asset management, leasing, investor relations, marketing and corporate-level insurance (including general business and director and officers) and leasing prospects, as well as associated labor and indirect costs attributable to these expenses. |
Share-Based Compensation | Share-Based Compensation We issue four forms of share-based compensation: restricted COPT common shares (“restricted shares”), deferred share awards (also known as restricted share units), performance share units (also known as performance share awards) (“PSUs”) and profit interest units (“PIUs”) (time-based and performance-based). We also issued options to purchase COPT common shares (“options”) in prior years. We account for share-based compensation in accordance with authoritative guidance provided by the FASB that establishes standards for the accounting for transactions in which an entity exchanges its equity instruments for goods or services, focusing primarily on accounting for transactions in which an entity obtains employee services in share-based payment transactions. The guidance requires us to measure the cost of employee services received in exchange for an award of equity instruments based generally on the fair value of the award on the grant date; such cost is then recognized over the period during which the employee is required to provide service in exchange for the award. No compensation cost is recognized for equity instruments for which employees do not render the requisite service. The guidance also requires that share-based compensation be computed based on awards that are ultimately expected to vest; as a result, future forfeitures of awards are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. If an award is voluntarily cancelled by an employee, we recognize the previously unrecognized cost associated with the original award on the date of such cancellation. We capitalize costs associated with share-based compensation attributable to employees engaged in development and redevelopment activities. We compute the fair value of restricted shares, time-based PIUs and deferred share awards based on the fair value of COPT common shares on the grant date. We compute the fair value of PSUs and performance-based PIUs using a Monte Carlo model. Significant assumptions used for that model include the following: the baseline common share value is the market value on the grant date; the risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant; and expected volatility is based on historical volatility of COPT’s common shares. |
Income Taxes | Income Taxes COPT elected to be treated as a REIT under Sections 856 through 860 of the Internal Revenue Code. To qualify as a REIT, COPT must meet a number of organizational and operational requirements, including a requirement that it distribute at least 90% of the Company’s adjusted taxable income to its shareholders. As a REIT, COPT generally will not be subject to Federal income tax on taxable income that it distributes to its shareholders. If COPT fails to qualify as a REIT in any tax year, it will be subject to Federal income tax on its taxable income at regular corporate rates and may not be able to qualify as a REIT for four subsequent tax years. COPLP is a limited partnership and is not subject to federal income tax. Its partners are required to report their respective share of the Operating Partnership’s taxable income on their respective tax returns. COPT’s share of the Operating Partnership’s taxable income is reported on COPT’s income tax return. For Federal income tax purposes, dividends to shareholders may be characterized as ordinary income, capital gains or return of capital. The characterization of dividends paid on COPT’s common and preferred shares during each of the last three years was as follows: Common Shares Preferred Shares For the Years Ended December 31, For the Years Ended December 31, 2019 2018 2017 2019 2018 2017 Ordinary income 54.4 % 83.1 % 86.5 % N/A N/A 100.0 % Return of capital 45.6 % 16.9 % 13.5 % N/A N/A 0.0 % While the dividends allocated to each of the above years for Federal income tax purposes included dividends paid on COPT’s common shares during each of those years, the dividends allocated to 2019 for Federal income tax purposes also included dividends paid on January 15, 2020 (with a record date of December 31, 2019). We distributed all of COPT’s REIT taxable income in 2019 , 2018 and 2017 and, as a result, did not incur Federal income tax in those years. The net basis of our consolidated assets and liabilities for tax reporting purposes was approximately $52 million higher than the amount reported on our consolidated balance sheet as of December 31, 2019 which was primarily related to differences in basis for net properties, intangible assets on property acquisitions and deferred rent receivable. We are subject to certain state and local income and franchise taxes. The expense associated with these state and local taxes is included in general and administrative expense and property operating expenses on our consolidated statements of operations. We did not separately state these amounts on our consolidated statements of operations because they are insignificant. |
Reclassification | Reclassification We reclassified certain amounts from prior periods to conform to the current period presentation of our consolidated financial statements with no effect on previously reported net income or equity, including reclassifications of our revenue from real estate operations in connection with our adoption of new lease guidance described below. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2016, the FASB issued guidance setting forth principles for the recognition, measurement, presentation and disclosure of leases. This guidance requires lessees to apply a dual approach, classifying leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase of the leased asset by the lessee. The resulting classification determines whether the lease expense is recognized based on an effective interest method or straight-line basis over the term of the lease. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. This guidance requires lessors of real estate to account for leases using an approach substantially equivalent to guidance previously in place for operating leases, direct financing leases and sales-type leases. We adopted this guidance on January 1, 2019 using a modified retrospective transition approach under which we elected to apply the guidance effective January 1, 2019 and not adjust prior comparative reporting periods (except for our presentation of lease revenue discussed below). We elected to apply a package of practical expedients that enabled us to carry forward upon adoption our historical assessments of: expired or existing leases regarding their lease classification and deferred recognition of non-incremental direct leasing costs; and whether any expired or existing contracts are, or contain, leases. We also elected a practical expedient that enabled us to avoid the need to assess whether expired or existing land easements not previously accounted for as leases are, or contain, a lease. In addition, we elected a practical expedient for our rental properties (as lessor) to avoid separating non-lease components that otherwise would need to be accounted for under the recently-adopted revenue accounting guidance (such as tenant reimbursements of property operating expenses) from the associated lease component since (1) the non-lease components have the same timing and pattern of transfer as the associated lease component and (2) the lease component, if accounted for separately, would be classified as an operating lease; this enables us to account for the combination of the lease component and non-lease components as an operating lease since the lease component is the predominant component of the combined components. Below is a summary of the primary changes in our accounting and reporting that resulted from our adoption of this guidance: • Property leases in which we are the lessor: ◦ Deferral of non-incremental leasing costs: For new or extended tenant leases, we no longer defer recognition of non-incremental leasing costs that we would have deferred under prior accounting guidance; these deferrals totaled $1.2 million in 2018 and $1.1 million in 2017. ◦ Change in presentation of revenue: Due to our adoption of the practical expedient discussed above to not separate non-lease component revenue from the associated lease component, we are aggregating revenue from our lease components and non-lease components (comprised predominantly of tenant operating expense reimbursements) into the line entitled “lease revenue.” We are reporting other revenue from our properties in the line entitled “other property revenue.” We recast prior periods for these changes in presentation. ◦ Changes in assessment of lease revenue collectability: Changes in our assessment of lease revenue collectability that previously would have resulted in charges to bad debt expense under prior guidance are being recognized as an adjustment to rental revenue under the new guidance. Such amounts recognized by us in prior periods were not significant. ◦ Operating expenses paid directly by tenants to third parties: Operating expenses paid directly by tenants to third parties (primarily for real estate taxes) and revenue associated with such tenant payments that would have been recognized under prior guidance will no longer be reported on our Statement of Operations. Such amounts recognized by us in prior periods were not significant. • Leases in which we are the lessee (the most significant of which are ground leases): ◦ Balance sheet presentation of property operating lease right-of-use assets: Upon adoption on January 1, 2019, we recognized property right-of-use assets and offsetting lease liabilities for existing operating leases totaling $16 million for the present value of minimum lease payments under these leases, and also reclassified an additional $11 million in amounts previously presented elsewhere on our balance sheet in connection with these leases to the right-of-use assets. We will recognize additional right-of-use assets and lease liabilities as we enter into new operating leases. ◦ Balance sheet presentation of property finance lease right-of-use assets: Property right-of-use assets of finance leases that previously were presented as properties under prior guidance are being presented as property finance right-of-use assets under the new guidance. As a result, we reclassified $38 million in assets from properties to property finance right-of-use assets upon adoption on January 1, 2019. ◦ Segment assets: We changed our definition of segment assets used for our reportable segments to include property right-of-use assets associated with operating properties, net of related lease liabilities. In June 2016, the FASB issued guidance that changes how entities measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The guidance replaces the current incurred loss model with an expected loss approach, resulting in a more timely recognition of such losses. The guidance applies to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables (excluding ones arising from operating leases), loans, held-to-maturity debt securities, net investments in leases and off-balance-sheet credit exposures (e.g. loan commitments and guarantees). Under the new guidance, we will recognize an estimate of our expected credit losses on these asset types as an allowance, as the guidance requires that financial assets be measured on an amortized cost basis and be presented at the net amount expected to be collected. Upon adoption, our most significant assets within the scope of this guidance were our investing receivables and receivables and contract assets associated with our non-USG construction contracts. We adopted this guidance effective January 1, 2020 using a modified retrospective transition approach under which we apply the guidance effective January 1, 2020, with a cumulative-effect adjustment as of such date, and do not adjust prior comparative reporting periods. Upon adoption, we recognized an allowance for expected credit losses on these assets with an offset to retained earnings that did not have a material impact on our consolidated financial statements. Following adoption, our consolidated statements of operations will reflect adjustments for any changes in our expected credit losses. In August 2018, the FASB issued guidance that modifies disclosure requirements for fair value measurements. We adopted this guidance effective January 1, 2020. The resulting changes in disclosure will not have a material impact on our consolidated financial statements. In August 2018, the FASB issued guidance that aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. FASB guidance did not previously address the accounting for such implementation costs. We adopted this guidance effective January 1, 2020. Our adoption of this guidance did not have a material impact on our consolidated financial statements. |
Fair Value Measurement |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of the estimated useful lives of fixed assets | We depreciate our fixed assets using the straight-line method over their estimated useful lives as follows: Estimated Useful Lives Buildings and building improvements 10-40 years Land improvements 10-20 years Tenant improvements on operating properties Shorter of remaining useful lives of assets or related lease term Equipment and personal property 3-10 years |
Schedule of amortization of intangible assets and deferred revenue | We amortize the intangible assets and deferred revenue on real estate acquisitions discussed above as follows: Asset Type Amortization Period Above- and below-market leases Related lease terms In-place lease value Related lease terms Tenant relationship value Estimated period of time that tenant will lease space in property Above- and below-market cost arrangements Term of arrangements |
Schedule of characterization of dividends declared on common and preferred shares | The characterization of dividends paid on COPT’s common and preferred shares during each of the last three years was as follows: Common Shares Preferred Shares For the Years Ended December 31, For the Years Ended December 31, 2019 2018 2017 2019 2018 2017 Ordinary income 54.4 % 83.1 % 86.5 % N/A N/A 100.0 % Return of capital 45.6 % 16.9 % 13.5 % N/A N/A 0.0 % |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value assets and liabilities measured on recurring basis | The tables below set forth financial assets and liabilities of COPT and subsidiaries that are accounted for at fair value on a recurring basis as of December 31, 2019 and 2018 and the hierarchy level of inputs used in measuring their respective fair values under applicable accounting standards (in thousands): Description Quoted Prices in Significant Other Significant Inputs (Level 3) Total December 31, 2019: Assets: Marketable securities in deferred compensation plan (1) Mutual funds $ 3,035 $ — $ — $ 3,035 Other 25 — — 25 Interest rate derivatives (1) — 23 — 23 Total assets $ 3,060 $ 23 $ — $ 3,083 Liabilities: Deferred compensation plan liability (2) $ — $ 3,060 $ — $ 3,060 Interest rate derivatives — 25,682 — 25,682 Total liabilities $ — $ 28,742 $ — $ 28,742 December 31, 2018: Assets: Marketable securities in deferred compensation plan (1) Mutual funds $ 3,819 $ — $ — $ 3,819 Other 49 — — 49 Interest rate derivatives (1) — 5,617 — 5,617 Total assets $ 3,868 $ 5,617 $ — $ 9,485 Liabilities: Deferred compensation plan liability (2) $ — $ 3,868 $ — $ 3,868 Interest rate derivatives — 5,459 — 5,459 Total liabilities $ — $ 9,327 $ — $ 9,327 (1) Included in the line entitled “prepaid expenses and other assets, net” on COPT ’ s consolidated balance sheet. (2) Included in the line entitled “other liabilities” on COPT ’ s consolidated balance sheet. COPLP and Subsidiaries The tables below set forth financial assets and liabilities of COPLP and subsidiaries that are accounted for at fair value on a recurring basis as of December 31, 2019 and 2018 and the hierarchy level of inputs used in measuring their respective fair values under applicable accounting standards (in thousands): Description Quoted Prices in Significant Other Significant Inputs (Level 3) Total December 31, 2019: Assets: Interest rate derivatives (1) $ — $ 23 $ — $ 23 Liabilities: Interest rate derivatives $ — $ 25,682 $ — $ 25,682 December 31, 2018: Assets: Interest rate derivatives (1) $ — $ 5,617 $ — $ 5,617 Liabilities: Interest rate derivatives $ — $ 5,459 $ — $ 5,459 (1) Included in the line entitled “prepaid expenses and other assets, net” on COPLP ’ s consolidated balance sheet. |
Properties, Net (Tables)
Properties, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Real Estate [Abstract] | |
Schedule of operating properties, net | Operating properties, net consisted of the following (in thousands): December 31, 2019 2018 Land $ 472,976 $ 503,274 Buildings and improvements 3,306,791 3,241,894 Less: Accumulated depreciation (1,007,120 ) (897,903 ) Operating properties, net $ 2,772,647 $ 2,847,265 |
Schedule of operating property dispositions | In 2017, we sold the following operating properties (dollars in thousands): Project Name City, State Segment Date of Sale Number of Properties Total Rentable Square Feet Transaction Value Gain on Sale 3120 Fairview Park Drive Falls Church, VA Northern Virginia Defense/IT 2/15/2017 1 190,000 $ 39,000 $ — 1334 Ashton Road Hanover, MD Fort Meade/BW Corridor 6/9/2017 1 37,000 2,300 — White Marsh Properties (1) White Marsh, MD Regional Office and Other 7/28/2017 8 412,000 47,500 1,180 201 Technology Drive Lebanon, VA Data Center Shells 10/27/2017 1 103,000 29,500 3,625 7320 Parkway Drive Hanover, MD Fort Meade/BW Corridor 12/15/2017 1 57,000 7,529 831 12 799,000 $ 125,829 $ 5,636 (1) This sale also included land. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Operating Lease Revenue Recognized | The table below sets forth our allocation of lease revenue recognized between fixed and variable lease revenue (in thousands): Lease revenue For the Year Ended December 31, 2019 Fixed $ 412,342 Variable 110,130 $ 522,472 |
Fixed Contractual Payments Due | Fixed contractual payments due under our property leases were as follows (in thousands): Year Ending December 31, December 31, 2019 2020 $ 388,310 2021 336,482 2022 299,356 2023 245,661 2024 195,246 Thereafter 474,741 $ 1,939,796 |
Right-of-Use Assets and Lease Liabilities | Our right-of-use assets consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Right-of-use assets Operating leases - Property Property - operating right-of-use assets $ 27,864 Finance leases Property Property - finance right-of-use assets 40,458 Vehicles and office equipment Prepaid expenses and other assets, net 1,196 Total finance lease right-of-use assets 41,654 Total right-of-use assets $ 69,518 Lease liabilities consisted of the following (in thousands): Leases Balance Sheet Location December 31, 2019 Lease liabilities Operating leases - Property Property - operating lease liabilities $ 17,317 Finance leases Other liabilities 1,116 Total lease liabilities $ 18,433 |
Lease Costs | The table below sets forth the weighted average terms and discount rates of our leases as of December 31, 2019 : Weighted average remaining lease term Operating leases 68 years Finance leases 1 year Weighted average discount rate Operating leases 7.33 % Finance leases 3.11 % The table below presents our total lease cost (in thousands): Lease cost Statement of Operations Location For the Year Ended December 31, 2019 Operating lease cost Property leases Property operating expenses $ 1,699 Vehicles and office equipment General, administrative and leasing expenses 69 Finance lease cost Amortization of vehicles and office equipment right-of-use assets General, administrative and leasing expenses 457 Amortization of property right-of-use assets Property operating expenses 30 Interest on lease liabilities Interest expense 13 $ 2,268 The table below presents the effect of lease payments on our consolidated statement of cash flows (in thousands): Supplemental cash flow information For the Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 1,004 Operating cash flows for financing leases $ 13 Financing cash flows for financing leases $ 223 |
Finance Lease, Liability, Maturity | Payments on leases as of December 31, 2019 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2020 $ 1,140 $ 862 $ 2,002 2021 1,146 202 1,348 2022 1,164 64 1,228 2023 1,169 — 1,169 2024 1,173 — 1,173 Thereafter 100,609 — 100,609 Total lease payments 106,401 1,128 107,529 Less: Amount representing interest (89,084 ) (12 ) (89,096 ) Lease liability $ 17,317 $ 1,116 $ 18,433 Future minimum rental payments on leases as of December 31, 2018 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2019 $ 1,101 $ 219 $ 1,320 2020 1,110 844 1,954 2021 1,094 184 1,278 2022 1,115 49 1,164 2023 1,119 — 1,119 Thereafter 83,373 — 83,373 Total lease payments $ 88,912 1,296 90,208 Less: Amount representing interest N/A (24 ) (24 ) Total N/A $ 1,272 $ 90,184 |
Lessee, Liability, Maturity | Payments on leases as of December 31, 2019 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2020 $ 1,140 $ 862 $ 2,002 2021 1,146 202 1,348 2022 1,164 64 1,228 2023 1,169 — 1,169 2024 1,173 — 1,173 Thereafter 100,609 — 100,609 Total lease payments 106,401 1,128 107,529 Less: Amount representing interest (89,084 ) (12 ) (89,096 ) Lease liability $ 17,317 $ 1,116 $ 18,433 Future minimum rental payments on leases as of December 31, 2018 were due as follows (in thousands): Year Ending December 31, Operating leases Finance leases Total 2019 $ 1,101 $ 219 $ 1,320 2020 1,110 844 1,954 2021 1,094 184 1,278 2022 1,115 49 1,164 2023 1,119 — 1,119 Thereafter 83,373 — 83,373 Total lease payments $ 88,912 1,296 90,208 Less: Amount representing interest N/A (24 ) (24 ) Total N/A $ 1,272 $ 90,184 |
Real Estate Joint Ventures (Tab
Real Estate Joint Ventures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of information related to investments in consolidated real estate joint ventures | The table below sets forth information pertaining to our investments in consolidated real estate joint ventures as of December 31, 2019 (dollars in thousands): Nominal Ownership % December 31, 2019 (1) Date Acquired Total Assets Encumbered Assets Total Liabilities Entity Location LW Redstone Company, LLC 3/23/2010 85% Huntsville, Alabama $ 249,875 $ 73,911 $ 73,083 M Square Associates, LLC 6/26/2007 50% College Park, Maryland 87,915 63,895 56,028 Stevens Investors, LLC 8/11/2015 95% Washington, DC 126,603 126,112 56,268 $ 464,393 $ 263,918 $ 185,379 (1) Excludes amounts eliminated in consolidation. |
Schedule of information related to investments in unconsolidated real estate joint ventures | The table below sets forth information pertaining to our investments in unconsolidated real estate joint ventures accounted for using the equity method of accounting (dollars in thousands): Date Acquired Nominal Ownership % Number of Properties Carrying Value of Investment (1) Entity December 31, 2019 December 31, 2018 GI-COPT DC Partnership LLC 7/21/2016 50% 6 $ 37,816 $ 39,845 BREIT COPT DC JV LLC 6/20/2019 10% 9 14,133 — 15 $ 51,949 $ 39,845 (1) Included in the line entitled “investment in unconsolidated real estate joint ventures” on our consolidated balance sheets. |
Intangible Assets on Real Est_2
Intangible Assets on Real Estate Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Intangible Assets on Real Estate Acquisitions | |
Schedule of intangible assets on real estate acquisitions | Intangible assets on real estate acquisitions consisted of the following (in thousands): December 31, 2019 December 31, 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount In-place lease value $ 131,975 $ 120,894 $ 11,081 $ 132,276 $ 117,520 $ 14,756 Tenant relationship value 59,131 43,544 15,587 60,028 39,703 20,325 Above-market leases 13,718 13,318 400 13,841 13,164 677 Below-market cost arrangements (1) — — — 8,880 1,507 7,373 Other 1,333 1,009 324 1,333 994 339 $ 206,157 $ 178,765 $ 27,392 $ 216,358 $ 172,888 $ 43,470 (1) These assets pertain to ground leases. Upon our adoption of lease accounting guidance effective January 1, 2019, the net carrying amount was reclassified to property operating lease right-of-use assets associated with these leases. |
Investing Receivables (Tables)
Investing Receivables (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Schedule of investing receivables | Investing receivables, including accrued interest thereon, consisted of the following (in thousands): December 31, 2019 2018 Notes receivable from City of Huntsville $ 59,427 $ 53,961 Other investing loans receivable 14,096 3,021 $ 73,523 $ 56,982 |
Prepaid Expenses and Other As_2
Prepaid Expenses and Other Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Prepaid Expense and Other Assets [Abstract] | |
Schedule of prepaid expenses and other assets | Prepaid expenses and other assets, net consisted of the following (in thousands): December 31, 2019 2018 Lease incentives, net $ 28,433 $ 21,258 Prepaid expenses 18,835 25,658 Construction contract costs in excess of billings 17,223 3,189 Furniture, fixtures and equipment, net (1) 7,823 8,630 Non-real estate equity investments 6,705 5,940 Deferred financing costs, net (2) 3,633 4,733 Restricted cash 3,397 3,884 Deferred tax asset, net 2,328 2,084 Interest rate derivatives 23 5,617 Other assets 4,616 6,337 Total for COPLP and subsidiaries 93,016 87,330 Marketable securities in deferred compensation plan 3,060 3,868 Total for COPT and subsidiaries $ 96,076 $ 91,198 (1) Includes $1.2 million in finance right-of-use assets as of December 31, 2019 . (2) Represents deferred costs, net of accumulated amortization, attributable to our Revolving Credit Facility and interest rate derivatives. |
Schedule of tax effects of temporary differences and carry forwards in net deferred tax assets | Deferred tax asset, net reported above includes the following tax effects of temporary differences and carry forwards of our TRS (in thousands): December 31, 2019 2018 Operating loss carry forward $ 2,885 $ 4,354 Property (77 ) 427 Share-based compensation — 28 Accrued payroll — 2 Valuation allowance (480 ) (2,727 ) Deferred tax asset, net $ 2,328 $ 2,084 |
Debt, Net (Tables)
Debt, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of debt | Our debt consisted of the following (dollars in thousands): Carrying Value (1) as of December 31, 2019 December 31, December 31, Stated Interest Rates Scheduled Maturity Mortgage and Other Secured Debt: Fixed rate mortgage debt (2) $ 143,430 $ 147,141 3.82% - 4.62% (3) 2023-2026 Variable rate secured debt (4) 68,055 23,282 LIBOR + 1.45% to 2.35% (5) 2020-2026 Total mortgage and other secured debt 211,485 170,423 Revolving Credit Facility 177,000 213,000 LIBOR + 0.775% to 1.45% (6) March 2023 (7) Term Loan Facility (8) 248,706 248,273 LIBOR + 0.85% to 1.65% (9) 2022 Unsecured Senior Notes (10) 3.60%, $350,000 aggregate principal 348,431 347,986 3.60% (11) May 2023 5.25%, $250,000 aggregate principal 247,652 247,136 5.25% (12) February 2024 3.70%, $300,000 aggregate principal 299,324 298,815 3.70% (13) June 2021 5.00%, $300,000 aggregate principal 297,503 297,109 5.00% (14) July 2025 Unsecured note payable 1,038 1,167 0% (15) May 2026 Total debt, net $ 1,831,139 $ 1,823,909 (1) The carrying values of our debt other than the Revolving Credit Facility reflect net deferred financing costs of $5.8 million as of December 31, 2019 and $7.2 million as of December 31, 2018 . (2) Certain of the fixed rate mortgages carry interest rates that, upon assumption, were above or below market rates and therefore were recorded at their fair value based on applicable effective interest rates. The carrying values of these loans reflect net unamortized premiums totaling $217,000 as of December 31, 2019 and $281,000 as of December 31, 2018 . (3) The weighted average interest rate on our fixed rate mortgage debt was 4.16% as of December 31, 2019 . (4) Includes a construction loan with $64.9 million in remaining borrowing capacity as of December 31, 2019 . (5) The weighted average interest rate on our variable rate secured debt was 3.85% as of December 31, 2019 . (6) The weighted average interest rate on the Revolving Credit Facility was 2.70% as of December 31, 2019 . (7) The facility matures in March 2023, with the ability for us to further extend such maturity by two six -month periods at our option, provided that there is no default under the facility and we pay an extension fee of 0.075% of the total availability under the facility for each extension period. (8) As discussed below, we have the ability to borrow an additional $150.0 million in the aggregate under this facility, provided that there is no default under the facility and subject to the approval of the lenders. In addition, in connection with our Revolving Credit Facility, we have the ability to borrow up to $500.0 million under new term loans from the facility’s lender group provided that there is no default under the facility and subject to the approval of the lenders. (9) The interest rate on this loan was 2.94% as of December 31, 2019 . (10) Refer to the paragraphs below for further disclosure. (11) The carrying value of these notes reflects an unamortized discount totaling $1.1 million as of December 31, 2019 and $1.4 million as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 3.70% . (12) The carrying value of these notes reflects an unamortized discount totaling $2.1 million as of December 31, 2019 and $2.6 million as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 5.49% . (13) The carrying value of these notes reflects an unamortized discount totaling $534,000 as of December 31, 2019 and $943,000 as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 3.85% . (14) The carrying value of these notes reflects an unamortized discount totaling $2.1 million as of December 31, 2019 and $2.4 million as of December 31, 2018 . The effective interest rate under the notes, including amortization of the issuance costs, was 5.15% (15) This note carries an interest rate that, upon assumption, was below market rates and it therefore was recorded at its fair value based on applicable effective interest rates. The carrying value of this note reflects an unamortized discount totaling $223,000 as of December 31, 2019 and $294,000 as of December 31, 2018 . |
Schedule of debt maturities | Our debt matures on the following schedule (in thousands): Year Ending December 31, December 31, 2019 2020 $ 16,156 2021 303,955 2022 301,341 2023 593,830 2024 279,683 Thereafter 347,842 Total $ 1,842,807 (1) (1) Represents scheduled principal amortization and maturities only and therefore excludes net discounts and deferred financing costs of $11.7 million . |
Schedule of the fair value of debt | The following table sets forth information pertaining to the fair value of our debt (in thousands): December 31, 2019 December 31, 2018 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Fixed-rate debt Unsecured Senior Notes $ 1,192,910 $ 1,227,441 $ 1,191,046 $ 1,219,603 Other fixed-rate debt 144,468 149,907 148,308 147,106 Variable-rate debt 493,761 495,962 484,555 486,497 $ 1,831,139 $ 1,873,310 $ 1,823,909 $ 1,853,206 |
Interest Rate Derivatives (Tabl
Interest Rate Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of key terms and fair values of interest rate swap derivatives | The following table sets forth the key terms and fair values of our interest rate swap derivatives, each of which was designated as a cash flow hedge of interest rate risk (dollars in thousands): Notional Amount Effective Date Expiration Date Fair Value at December 31, Fixed Rate Floating Rate Index 2019 2018 $ 12,438 (1) 1.390 % One-Month LIBOR 10/13/2015 10/1/2020 $ 23 $ 239 100,000 1.901 % One-Month LIBOR 9/1/2016 12/1/2022 (1,028 ) 1,968 100,000 1.905 % One-Month LIBOR 9/1/2016 12/1/2022 (1,037 ) 1,967 50,000 1.908 % One-Month LIBOR 9/1/2016 12/1/2022 (524 ) 971 11,200 (2) 1.678 % One-Month LIBOR 8/1/2019 8/1/2026 (20 ) — 75,000 3.176 % Three-Month LIBOR 6/30/2020 6/30/2030 (8,640 ) (2,676 ) 75,000 3.192 % Three-Month LIBOR 6/30/2020 6/30/2030 (8,749 ) (2,783 ) 75,000 2.744 % Three-Month LIBOR 6/30/2020 6/30/2030 (5,684 ) — 100,000 1.730 % One-Month LIBOR 9/1/2015 8/1/2019 — 472 $ (25,659 ) $ 158 (1) The notional amount of this instrument is scheduled to amortize to $12.1 million . (2) The notional amount of this instrument is scheduled to amortize to $10.0 million . |
Schedule of fair value and balance sheet classification of interest rate derivatives | The table below sets forth the fair value of our interest rate derivatives as well as their classification on our consolidated balance sheets (in thousands): Fair Value at December 31, Derivatives Balance Sheet Location 2019 2018 Interest rate swaps designated as cash flow hedges Prepaid expenses and other assets, net $ 23 $ 5,617 Interest rate swaps designated as cash flow hedges Interest rate derivatives (liabilities) $ (25,682 ) $ (5,459 ) |
Schedule of effect of interest rate derivatives on consolidated statements of operations and comprehensive income | The table below presents the effect of our interest rate derivatives on our consolidated statements of operations and comprehensive income (in thousands): Amount of (Loss) Gain Recognized in AOCI on Derivatives Amount of Gain (Loss) Reclassified from AOCI into Interest Expense on Statement of Operations For the Years Ended December 31, For the Years Ended December 31, Derivatives in Hedging Relationships 2019 2018 2017 2019 2018 2017 Interest rate derivatives $ (24,321 ) $ (2,373 ) $ 684 $ 1,415 $ 407 $ (3,304 ) |
Redeemable Noncontrolling Int_2
Redeemable Noncontrolling Interests (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Noncontrolling Interest [Abstract] | |
Schedule of activity for redeemable noncontrolling interest | The table below sets forth the activity for these redeemable noncontrolling interests (in thousands): For the Years Ended December 31, 2019 2018 2017 Beginning balance $ 26,260 $ 23,125 $ 22,979 Contributions from noncontrolling interests — 186 — Distributions to noncontrolling interests (2,413 ) (1,411 ) (1,566 ) Net income attributable to noncontrolling interests 3,835 2,523 2,338 Adjustment to arrive at fair value of interests 1,749 1,837 (626 ) Ending balance $ 29,431 $ 26,260 $ 23,125 |
Share-Based Compensation and _2
Share-Based Compensation and Other Compensation Matters (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Reporting for share-based compensation expense | The table below sets forth our reporting for share based compensation cost (in thousands): For the Years Ended December 31, 2019 2018 2017 General, administrative and leasing expenses $ 5,748 $ 5,415 $ 4,649 Property operating expenses 966 961 966 Capitalized to development activities 742 587 480 Share-based compensation cost $ 7,456 $ 6,963 $ 6,095 |
Summary of restricted share transactions under the entity's share-based compensation plans | The following table summarizes restricted shares under the share-based compensation plans for 2017 , 2018 and 2019: Shares Weighted Average Grant Date Fair Value Unvested as of December 31, 2016 371,247 $ 26.20 Granted 239,479 33.84 Forfeited (27,056 ) 27.80 Vested (158,044 ) 26.27 Unvested as of December 31, 2017 425,626 30.37 Granted 219,716 25.62 Forfeited (25,419 ) 30.02 Vested (181,238 ) 29.49 Unvested as of December 31, 2018 438,685 28.38 Granted 195,520 26.56 Forfeited (56,341 ) 29.44 Vested (185,001 ) 28.01 Unvested as of December 31, 2019 392,863 $ 27.49 Unvested shares as of December 31, 2019 that are expected to vest 363,773 $ 27.50 |
Schedule of PSU's Granted | We made the following grants of PSUs to executives from 2015 through 2018 (dollars in thousands): Grant Date Number of PSUs Granted Performance Period Commencement Date Performance Period End Date Grant Date Fair Value Number of PSUs Outstanding as of December 31, 2019 3/5/2015 45,656 1/1/2015 12/31/2017 $ 1,678 — 3/1/2016 26,299 1/1/2016 12/31/2018 $ 1,005 — 1/1/2017 39,351 1/1/2017 12/31/2019 $ 1,415 39,351 1/1/2018 59,110 1/1/2018 12/31/2020 $ 1,890 59,110 |
Schedule of payouts for defined performance under performance-based awards of share-based compensation | The number of earned awards at the end of the performance period will be determined based on the percentile rank of COPT’s total shareholder return relative to a peer group of companies, as set forth in the following schedule: Percentile Rank Earned Awards Payout % 75th or greater 100% of PB-PIUs granted 50th (target) 50% of PB-PIUs granted 25th 25% of PB-PIUs granted Below 25th 0% of PB-PIUs granted Percentile Rank Earned PSUs Payout % 75th or greater 200% of PSUs granted 50th (target) 100% of PSUs granted 25th 50% of PSUs granted Below 25th 0% of PSUs granted |
Schedule of assumptions used in Monte Carlo models for PSUs | The grant date fair value and certain of the assumptions used in the Monte Carlo models for the PSUs granted in 2017 and 2018 are set forth below: Grant Date Grant Date Fair Value Per Share Baseline Common Share Value Expected Volatility of Common Shares Risk-free Interest Rate 1/1/2017 $ 38.43 $ 31.22 19.0 % 1.47 % 1/1/2018 $ 31.97 $ 29.20 17.0 % 2.04 % |
Deferred share awards | We made the following grants of deferred share awards to nonemployee members of our Board of Trustees in 2017 , 2018 and 2019 (dollars in thousands, except per share data): Year of Grant Number of Deferred Share Awards Granted Aggregate Grant Date Fair Value Grant Date Fair Value Per Share 2017 10,032 $ 326 $ 32.47 2018 13,832 $ 388 $ 28.08 2019 3,432 $ 95 $ 27.60 |
Deferred share awards vested activity | We issued the following common shares in settlement of deferred shares in 2017 , 2018 and 2019 (dollars in thousands, except per share data): For the Years Ended December 31, 2019 2018 2017 Number of common shares issued 3,097 5,515 15,590 Grant date fair value per share $ 26.77 $ 29.32 $ 26.89 Aggregate intrinsic value $ 86 $ 154 $ 508 |
Summary of options outstanding | The table below sets forth information regarding our outstanding options as of the following dates (dollars in thousands, except per share data): Options Outstanding and Exercisable Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Term (in Years) Aggregate Intrinsic Value December 31, 2016 201,100 $ 43.35 1 $ 31 December 31, 2017 60,000 $ 35.17 1 $ — December 31, 2018 30,000 $ 32.52 0.4 $ — December 31, 2019 — N/A N/A N/A |
Information by Business Segme_2
Information by Business Segment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of segment financial information for real estate operations | The table below reports segment financial information for our reportable segments (in thousands): Operating Property Segments Defense/Information Technology Locations Fort Meade/BW Corridor Northern Virginia Defense/IT Lackland Air Force Base Navy Support Locations Redstone Arsenal Data Center Shells Total Defense/IT Locations Regional Office Operating Wholesale Data Center Other Total Year Ended December 31, 2019 Revenues from real estate operations $ 252,781 $ 55,742 $ 51,140 $ 32,659 $ 16,593 $ 26,571 $ 435,486 $ 59,611 $ 29,405 $ 2,961 $ 527,463 Property operating expenses (82,815 ) (19,779 ) (29,042 ) (13,579 ) (6,626 ) (1,962 ) (153,803 ) (29,682 ) (13,213 ) (1,445 ) (198,143 ) UJV NOI allocable to COPT — — — — — 5,705 5,705 — — — 5,705 NOI from real estate operations $ 169,966 $ 35,963 $ 22,098 $ 19,080 $ 9,967 $ 30,314 $ 287,388 $ 29,929 $ 16,192 $ 1,516 $ 335,025 Additions to long-lived assets $ 34,618 $ 9,326 $ — $ 8,912 $ 1,548 $ — $ 54,404 $ 20,925 $ 893 $ 128 $ 76,350 Transfers from non-operating properties $ 18,606 $ 4,548 $ 10,781 $ — $ 33,606 $ 159,472 $ 227,013 $ — $ (1,012 ) $ — $ 226,001 Segment assets at December 31, 2019 $ 1,280,656 $ 396,914 $ 146,592 $ 184,257 $ 138,501 $ 279,099 $ 2,426,019 $ 392,319 $ 202,935 $ 3,685 $ 3,024,958 Year Ended December 31, 2018 Revenues from real estate operations $ 248,927 $ 53,518 $ 46,286 $ 31,927 $ 14,745 $ 25,650 $ 421,053 $ 61,181 $ 31,892 $ 3,127 $ 517,253 Property operating expenses (82,975 ) (20,330 ) (26,888 ) (13,536 ) (6,050 ) (3,225 ) (153,004 ) (30,253 ) (16,342 ) (1,436 ) (201,035 ) UJV NOI allocable to COPT — — — — — 4,818 4,818 — — — 4,818 NOI from real estate operations $ 165,952 $ 33,188 $ 19,398 $ 18,391 $ 8,695 $ 27,243 $ 272,867 $ 30,928 $ 15,550 $ 1,691 $ 321,036 Additions to long-lived assets $ 38,612 $ 7,956 $ — $ 6,535 $ 573 $ — $ 53,676 $ 19,730 $ 856 $ 480 $ 74,742 Transfers from non-operating properties $ 35,648 $ 10,231 $ 14,718 $ (116 ) $ 4,167 $ 99,191 $ 163,839 $ — $ 2,304 $ — $ 166,143 Segment assets at December 31, 2018 $ 1,279,571 $ 399,339 $ 139,731 $ 188,911 $ 108,010 $ 353,165 $ 2,468,727 $ 395,380 $ 216,640 $ 4,115 $ 3,084,862 Year Ended December 31, 2017 Revenues from real estate operations $ 245,613 $ 47,118 $ 47,209 $ 29,540 $ 14,322 $ 24,320 $ 408,122 $ 68,262 $ 28,875 $ 4,721 $ 509,980 Property operating expenses (80,697 ) (16,938 ) (27,812 ) (12,619 ) (5,783 ) (2,709 ) (146,558 ) (28,982 ) (13,551 ) (1,873 ) (190,964 ) UJV NOI allocable to COPT — — — — — 4,805 4,805 — — — 4,805 NOI from real estate operations $ 164,916 $ 30,180 $ 19,397 $ 16,921 $ 8,539 $ 26,416 $ 266,369 $ 39,280 $ 15,324 $ 2,848 $ 323,821 Additions to long-lived assets $ 26,659 $ 8,115 $ 71 $ 8,451 $ 1,056 $ — $ 44,352 $ 25,299 $ 3,580 $ 110 $ 73,341 Transfers from non-operating properties $ 43,370 $ 48,328 $ — $ 474 $ 2,159 $ 107,854 $ 202,185 $ — $ 8 $ 18 $ 202,211 Segment assets at December 31, 2017 $ 1,263,567 $ 402,076 $ 128,755 $ 194,476 $ 108,119 $ 301,996 $ 2,398,989 $ 400,512 $ 224,422 $ 4,082 $ 3,028,005 |
Schedule of reconciliation of segment revenues to total revenues | The following table reconciles our segment revenues to total revenues as reported on our consolidated statements of operations (in thousands): For the Years Ended December 31, 2019 2018 2017 Segment revenues from real estate operations $ 527,463 $ 517,253 $ 509,980 Construction contract and other service revenues 113,763 60,859 102,840 Total revenues $ 641,226 $ 578,112 $ 612,820 |
Reconciliation of UJV NOI allocable to COPT to equity in income of unconsolidated entities | The following table reconciles UJV NOI allocable to COPT to equity in income of unconsolidated entities as reported on our consolidated statements of operations (in thousands): For the Years Ended December 31, 2019 2018 2017 UJV NOI allocable to COPT $ 5,705 $ 4,818 $ 4,805 Less: Income from UJV allocable to COPT attributable to depreciation and amortization expense and interest expense (4,065 ) (3,314 ) (3,310 ) Add: Equity in (loss) income of unconsolidated non-real estate entities (7 ) 1,193 (5 ) Equity in income of unconsolidated entities $ 1,633 $ 2,697 $ 1,490 |
Schedule of computation of net operating income from service operations | The table below sets forth the computation of our NOI from service operations (in thousands): For the Years Ended December 31, 2019 2018 2017 Construction contract and other service revenues $ 113,763 $ 60,859 $ 102,840 Construction contract and other service expenses (109,962 ) (58,326 ) (99,618 ) NOI from service operations $ 3,801 $ 2,533 $ 3,222 |
Schedule of reconciliation of net operating income from real estate operations and service operations to net income | The following table reconciles our NOI from real estate operations for reportable segments and NOI from service operations to net income as reported on our consolidated statements of operations (in thousands): For the Years Ended December 31, 2019 2018 2017 NOI from real estate operations $ 335,025 $ 321,036 $ 323,821 NOI from service operations 3,801 2,533 3,222 Interest and other income 7,894 4,358 6,318 Gain on sales of real estate 105,230 2,340 9,890 Equity in income of unconsolidated entities 1,633 2,697 1,490 Income tax benefit (expense) 217 363 (1,098 ) Depreciation and other amortization associated with real estate operations (137,069 ) (137,116 ) (134,228 ) Impairment losses (329 ) (2,367 ) (15,123 ) General, administrative and leasing expenses (35,402 ) (28,900 ) (30,837 ) Business development expenses and land carry costs (4,239 ) (5,840 ) (6,213 ) Interest expense (71,052 ) (75,385 ) (76,983 ) Less: UJV NOI allocable to COPT included in equity in income of unconsolidated entities (5,705 ) (4,818 ) (4,805 ) Loss on early extinguishment of debt — (258 ) (513 ) Net income $ 200,004 $ 78,643 $ 74,941 |
Schedule of reconciliation of segment assets to total assets | The following table reconciles our segment assets to the consolidated total assets of COPT and subsidiaries (in thousands): As of December 31, 2019 2018 Segment assets $ 3,024,958 $ 3,084,862 Operating properties lease liabilities included in segment assets 17,317 — Non-operating property assets 621,630 410,671 Other assets 190,548 160,472 Total COPT consolidated assets $ 3,854,453 $ 3,656,005 |
Construction Contract and Oth_2
Construction Contract and Other Service Revenues (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The table below reports construction contract and other service revenues by compensation arrangement (in thousands): For the Years Ended December 31, 2019 2018 2017 Construction contract revenue: GMP $ 67,708 $ 34,050 $ 78,401 FFP 10,688 20,327 22,607 Cost-plus fee 34,386 5,540 801 Other 981 942 1,031 $ 113,763 $ 60,859 $ 102,840 The table below reports construction contract and other service revenues by service type (in thousands): For the Years Ended December 31, 2019 2018 2017 Construction contract revenue: Construction $ 112,170 $ 57,986 $ 94,471 Design 612 1,931 7,338 Other 981 942 1,031 $ 113,763 $ 60,859 $ 102,840 |
Schedule of Accounts Receivable | The beginning and ending balances of accounts receivable related to our construction contracts were as follows (in thousands): For the Years Ended December 31, 2019 2018 Beginning balance $ 6,701 $ 4,577 Ending balance $ 12,378 $ 6,701 |
Contract with Customer, Asset and Liability | Contract assets, which we refer to herein as construction contract costs in excess of billings, are included in prepaid expenses and other assets, net reported on our consolidated balance sheets. The beginning and ending balances of our contract assets were as follows (in thousands): For the Years Ended December 31, 2019 2018 Beginning balance $ 3,189 $ 4,884 Ending balance $ 17,223 $ 3,189 Contract liabilities are included in other liabilities reported on our consolidated balance sheets. Changes in contract liabilities were as follows (in thousands): For the Years Ended December 31, 2019 2018 Beginning balance $ 568 $ 27,402 Ending balance $ 1,184 $ 568 Portion of beginning balance recognized in revenue during the year $ 446 $ 27,296 |
Earnings Per Share ("EPS") an_2
Earnings Per Share ("EPS") and Earnings Per Unit (“EPU”) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Summary of calculation of numerator and denominator in basic and diluted earnings per share | Summaries of the numerator and denominator for purposes of basic and diluted EPS calculations are set forth below (in thousands, except per share data): For the Years Ended December 31, 2019 2018 2017 Numerator: Net income attributable to COPT $ 191,692 $ 72,301 $ 68,745 Preferred share dividends — — (6,219 ) Issuance costs associated with redeemed preferred shares — — (6,847 ) Income attributable to share-based compensation awards (656 ) (462 ) (449 ) Numerator for basic EPS on net income attributable to COPT common shareholders $ 191,036 $ 71,839 $ 55,230 Redeemable noncontrolling interests 132 — — Income attributable to share-based compensation awards 33 — — Numerator for diluted EPS on net income attributable to COPT common shareholders $ 191,201 $ 71,839 $ 55,230 Denominator (all weighted averages): Denominator for basic EPS (common shares) 111,196 103,946 98,969 Dilutive effect of redeemable noncontrolling interests 119 — — Dilutive effect of share-based compensation awards 308 134 132 Dilutive effect of forward equity sale agreements — 45 54 Denominator for diluted EPS (common shares) 111,623 104,125 99,155 Basic EPS $ 1.72 $ 0.69 $ 0.56 Diluted EPS $ 1.71 $ 0.69 $ 0.56 Summaries of the numerator and denominator for purposes of basic and diluted EPU calculations are set forth below (in thousands, except per unit data): For the Years Ended December 31, 2019 2018 2017 Numerator: Net income attributable to COPLP $ 194,619 $ 74,703 $ 71,295 Preferred unit distributions (564 ) (660 ) (6,879 ) Issuance costs associated with redeemed preferred units — — (6,847 ) Income attributable to share-based compensation awards (785 ) (462 ) (449 ) Numerator for basic EPU on net income attributable to COPLP common unitholders 193,270 73,581 57,120 Redeemable noncontrolling interests 132 — — Income attributable to share-based compensation awards 33 — — Numerator for diluted EPU on net income attributable to COPLP common unitholders $ 193,435 $ 73,581 $ 57,120 Denominator (all weighted averages): Denominator for basic EPU (common units) 112,495 106,414 102,331 Dilutive effect of redeemable noncontrolling interests 119 — — Dilutive effect of share-based compensation awards 308 134 132 Dilutive effect of forward equity sale agreements — 45 54 Denominator for diluted EPU (common units) 112,922 106,593 102,517 Basic EPU $ 1.72 $ 0.69 $ 0.56 Diluted EPU $ 1.71 $ 0.69 $ 0.56 |
Schedule of securities excluded from computation of diluted earnings per share | Our diluted EPS computations do not include the effects of the following securities since the conversions of such securities would increase diluted EPS for the respective periods (in thousands): Weighted Average Shares Excluded from Denominator for the Years Ended December 31, 2019 2018 2017 Conversion of common units 1,299 2,468 3,362 Conversion of redeemable noncontrolling interests 896 936 689 Conversion of Series I preferred units 176 176 176 Our diluted EPU computations do not include the effects of the following securities since the conversions of such securities would increase diluted EPU for the respective periods (in thousands): Weighted Average Units Excluded from Denominator for the Years Ended December 31, 2019 2018 2017 Conversion of redeemable noncontrolling interests 896 936 689 Conversion of Series I preferred units 176 176 176 |
Quarterly Data (Unaudited) (Tab
Quarterly Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of selected quarterly information | The tables below set forth selected quarterly information for the years ended December 31, 2019 and 2018 (in thousands, except per share/unit data). For the Year Ended December 31, 2019 For the Year Ended December 31, 2018 First Quarter Second Quarter Third Quarter Fourth Quarter First Quarter Second Quarter Third Quarter Fourth Quarter COPT and Subsidiaries Revenues $ 148,940 $ 175,070 $ 159,431 $ 157,785 $ 155,476 $ 146,743 $ 137,411 $ 138,482 Net income $ 22,318 $ 109,563 $ 23,246 $ 44,877 $ 18,780 $ 21,085 $ 20,322 $ 18,456 Net income attributable to noncontrolling interests (1,459 ) (2,772 ) (1,989 ) (2,092 ) (1,630 ) (1,651 ) (1,625 ) (1,436 ) Net income attributable to COPT common shareholders $ 20,859 $ 106,791 $ 21,257 $ 42,785 $ 17,150 $ 19,434 $ 18,697 $ 17,020 Basic EPS $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 Diluted EPS $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 COPLP and Subsidiaries Revenues $ 148,940 $ 175,070 $ 159,431 $ 157,785 $ 155,476 $ 146,743 $ 137,411 $ 138,482 Net income $ 22,318 $ 109,563 $ 23,246 $ 44,877 $ 18,780 $ 21,085 $ 20,322 $ 18,456 Net income attributable to noncontrolling interests (1,037 ) (1,268 ) (1,565 ) (1,515 ) (921 ) (878 ) (1,080 ) (1,061 ) Net income attributable to COPLP 21,281 108,295 21,681 43,362 17,859 20,207 19,242 17,395 Preferred unit distributions (165 ) (165 ) (157 ) (77 ) (165 ) (165 ) (165 ) (165 ) Net income attributable to COPLP common unitholders $ 21,116 $ 108,130 $ 21,524 $ 43,285 $ 17,694 $ 20,042 $ 19,077 $ 17,230 Basic EPU $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 Diluted EPU $ 0.19 $ 0.95 $ 0.19 $ 0.38 $ 0.17 $ 0.19 $ 0.18 $ 0.16 |
Organization (Details)
Organization (Details) - Dec. 31, 2019 ft² in Millions | ft² | property | MW | a |
Operating properties | ||||
Investments in real estate | ||||
Number of real estate properties | 170 | |||
Area of real estate property (in sqft or acres) | ft² | 19.2 | |||
Operating properties | Office Properties | ||||
Investments in real estate | ||||
Number of real estate properties | 148 | |||
Area of real estate property (in sqft or acres) | ft² | 15.4 | |||
Operating properties | Single-tenant data centers | ||||
Investments in real estate | ||||
Number of real estate properties | 22 | |||
Area of real estate property (in sqft or acres) | ft² | 3.7 | |||
Operating Wholesale Data Center | ||||
Investments in real estate | ||||
Critical load (in megawatts) | MW | 19.25 | |||
Properties under development or redevelopment | ||||
Investments in real estate | ||||
Number of real estate properties | 14 | |||
Area of real estate property (in sqft or acres) | ft² | 2.5 | |||
Properties under development or redevelopment | Office Properties | ||||
Investments in real estate | ||||
Number of real estate properties | 10 | |||
Properties under development or redevelopment | Single-tenant data centers | ||||
Investments in real estate | ||||
Number of real estate properties | 4 | |||
Properties under development or redevelopment | Partially operational properties | ||||
Investments in real estate | ||||
Number of real estate properties | 1 | |||
Land controlled for future development | ||||
Investments in real estate | ||||
Area of real estate property (in sqft or acres) | 11.3 | 900 | ||
Other land | ||||
Investments in real estate | ||||
Area of real estate property (in sqft or acres) | a | 43 | |||
Unconsolidated Real Estate Joint Ventures | ||||
Investments in real estate | ||||
Number of real estate properties | 15 | |||
Unconsolidated Real Estate Joint Ventures | Operating properties | Single-tenant data centers | ||||
Investments in real estate | ||||
Number of real estate properties | 15 |
Organization (Details 2)
Organization (Details 2) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Corporate Office Properties, L.P | Common Units | ||
Forms of ownership in Operating Partnership and ownership percentage by the entity | ||
Percentage ownership in operating partnership | 98.70% | 98.80% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Properties | |
Period after the cessation of major construction activities for considering property as operational if leases have not commenced earlier (in years) | 1 year |
Period after the cessation of major construction activities for considering property as partially operational if leases have commenced earlier (in years) | 1 year |
Property, Plant and Equipment [Line Items] | |
Period used recovery analysis for long-lived assets to be held and used that may be impaired (in years) | 10 years |
Minimum | Buildings and improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Minimum | Land improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Minimum | Equipment and personal property | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Maximum | Buildings and improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 40 years |
Maximum | Land improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 20 years |
Maximum | Equipment and personal property | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details 2) | 12 Months Ended |
Dec. 31, 2019form | |
Share-Based Compensation | |
Number of forms of share based compensation plans | 4 |
Corporate Office Properties, L.P | |
Noncontrolling Interest [Abstract] | |
Interests in several real estate entities owned directly by COPT | 1.00% |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Details 3) | Dec. 31, 2019 |
United States Government | |
Lessor, Lease, Description [Line Items] | |
Renewal term | 1 year |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Details 4) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Line Items] | |||
Approximate amount by which basis of assets and liabilities for tax reporting purposes is higher (lower) than amount reported on consolidated balance sheet | $ 52 | ||
Common Shares | |||
Income Tax Disclosure [Line Items] | |||
Ordinary income (as a percent) | 54.40% | 83.10% | 86.50% |
Return of capital (as a percent) | 45.60% | 16.90% | 13.50% |
Preferred Shares | |||
Income Tax Disclosure [Line Items] | |||
Ordinary income (as a percent) | 100.00% | ||
Return of capital (as a percent) | 0.00% |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Details 5) - USD ($) $ in Millions | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Deferred non-incremental lease cost | $ 1.2 | $ 1.1 | |
Operating Lease, Right-of-use Assets | Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Effect of new accounting principle | $ 11 | ||
Operating Lease, Right-of-use Assets | Property | Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Effect of new accounting principle | 16 | ||
Finance Lease, Right-of Use Assets | Property | Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Effect of new accounting principle | 38 | ||
Lease Liability | Property | Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Effect of new accounting principle | 16 | ||
Total Properties, Net | Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Effect of new accounting principle | $ (38) |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Sep. 30, 2019 | Dec. 31, 2017 | Jun. 30, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Assets and liabilities measured at fair value on a recurring basis | ||||||
Marketable securities in deferred compensation plan | $ 3,060 | $ 3,868 | ||||
Impairment losses | $ 329 | 2,367 | $ 15,116 | |||
Fair Value, Recurring | Deferred Compensation, Excluding Share-based Payments and Retirement Benefits | Trustees and Management | ||||||
Assets and liabilities measured at fair value on a recurring basis | ||||||
Maximum percentage of participants' compensation which is deferrable (as a percent) | 100.00% | |||||
Marketable securities in deferred compensation plan | $ 3,100 | $ 3,900 | ||||
Fair Value, Nonrecurring | Frederick, Maryland | ||||||
Assets and liabilities measured at fair value on a recurring basis | ||||||
Impairment losses | $ 327 | |||||
Other | Fair Value, Nonrecurring | Aberdeen, Maryland | ||||||
Assets and liabilities measured at fair value on a recurring basis | ||||||
Impairment losses | $ 9,000 | |||||
Land in Development or held-for-future Development | Fair Value, Nonrecurring | Aberdeen, Maryland | ||||||
Assets and liabilities measured at fair value on a recurring basis | ||||||
Impairment losses | $ 4,700 | |||||
Held-for-sale | Fair Value, Nonrecurring | White Marsh, Maryland | ||||||
Assets and liabilities measured at fair value on a recurring basis | ||||||
Impairment losses | $ 1,600 |
Fair Value Measurements (Detail
Fair Value Measurements (Details 2) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Marketable securities in deferred compensation plan | $ 3,060 | $ 3,868 |
Fair value measurement on a recurring basis | ||
Assets: | ||
Interest rate derivatives | 23 | 5,617 |
Total assets | 3,083 | 9,485 |
Liabilities: | ||
Deferred compensation plan liability | 3,060 | 3,868 |
Interest rate derivatives | 25,682 | 5,459 |
Total liabilities | 28,742 | 9,327 |
Fair value measurement on a recurring basis | Mutual funds | ||
Assets: | ||
Marketable securities in deferred compensation plan | 3,035 | 3,819 |
Fair value measurement on a recurring basis | Other | ||
Assets: | ||
Marketable securities in deferred compensation plan | 25 | 49 |
Fair value measurement on a recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Interest rate derivatives | 0 | 0 |
Total assets | 3,060 | 3,868 |
Liabilities: | ||
Deferred compensation plan liability | 0 | 0 |
Interest rate derivatives | 0 | 0 |
Total liabilities | 0 | 0 |
Fair value measurement on a recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mutual funds | ||
Assets: | ||
Marketable securities in deferred compensation plan | 3,035 | 3,819 |
Fair value measurement on a recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other | ||
Assets: | ||
Marketable securities in deferred compensation plan | 25 | 49 |
Fair value measurement on a recurring basis | Significant Other Observable Inputs(Level 2) | ||
Assets: | ||
Interest rate derivatives | 23 | 5,617 |
Total assets | 23 | 5,617 |
Liabilities: | ||
Deferred compensation plan liability | 3,060 | 3,868 |
Interest rate derivatives | 25,682 | 5,459 |
Total liabilities | 28,742 | 9,327 |
Fair value measurement on a recurring basis | Significant Other Observable Inputs(Level 2) | Mutual funds | ||
Assets: | ||
Marketable securities in deferred compensation plan | 0 | 0 |
Fair value measurement on a recurring basis | Significant Other Observable Inputs(Level 2) | Other | ||
Assets: | ||
Marketable securities in deferred compensation plan | 0 | 0 |
Fair value measurement on a recurring basis | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Interest rate derivatives | 0 | 0 |
Total assets | 0 | 0 |
Liabilities: | ||
Deferred compensation plan liability | 0 | 0 |
Interest rate derivatives | 0 | 0 |
Total liabilities | 0 | 0 |
Fair value measurement on a recurring basis | Significant Unobservable Inputs (Level 3) | Mutual funds | ||
Assets: | ||
Marketable securities in deferred compensation plan | 0 | 0 |
Fair value measurement on a recurring basis | Significant Unobservable Inputs (Level 3) | Other | ||
Assets: | ||
Marketable securities in deferred compensation plan | 0 | 0 |
Corporate Office Properties, L.P | Fair value measurement on a recurring basis | ||
Assets: | ||
Interest rate derivatives | 23 | 5,617 |
Liabilities: | ||
Interest rate derivatives | 25,682 | 5,459 |
Corporate Office Properties, L.P | Fair value measurement on a recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Interest rate derivatives | 0 | 0 |
Liabilities: | ||
Interest rate derivatives | 0 | 0 |
Corporate Office Properties, L.P | Fair value measurement on a recurring basis | Significant Other Observable Inputs(Level 2) | ||
Assets: | ||
Interest rate derivatives | 23 | 5,617 |
Liabilities: | ||
Interest rate derivatives | 25,682 | 5,459 |
Corporate Office Properties, L.P | Fair value measurement on a recurring basis | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Interest rate derivatives | 0 | 0 |
Liabilities: | ||
Interest rate derivatives | $ 0 | $ 0 |
Properties, Net (Details)
Properties, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Properties | ||||
Gross | $ 4,348,006 | $ 4,148,529 | $ 3,980,813 | $ 3,874,715 |
Operating properties, net | 2,772,647 | 2,847,265 | ||
Operating properties, net | ||||
Properties | ||||
Less: accumulated depreciation | (1,007,120) | (897,903) | ||
Operating properties, net | 2,772,647 | 2,847,265 | ||
Operating properties, net | Land | ||||
Properties | ||||
Gross | 472,976 | 503,274 | ||
Operating properties, net | Buildings and improvements | ||||
Properties | ||||
Gross | $ 3,306,791 | $ 3,241,894 |
Properties, Net (Narrative) (De
Properties, Net (Narrative) (Details) ft² in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2018USD ($)ft²property | Dec. 31, 2019USD ($)ft²property | Dec. 31, 2018USD ($)ft²property | Dec. 31, 2017USD ($)ft²property | Dec. 05, 2019property | Jun. 20, 2019property | Oct. 27, 2017USD ($)ft² | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Impairment charges | $ 329,000 | $ 2,367,000 | $ 15,116,000 | ||||
Newly-developed properties placed in service | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 6 | 9 | 6 | 8 | |||
Area of real estate property (in sqft or acres) | ft² | 666 | 1,100 | 666 | 1,100 | |||
Redeveloped Property Placed in Service, Partially-Operational | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 1 | ||||||
Area of real estate property (in sqft or acres) | ft² | 85 | ||||||
Properties under development or Contractually Commited for Construction | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 13 | ||||||
Area of real estate property (in sqft or acres) | ft² | 2,300 | ||||||
Properties Under Or Approved For Redevelopment, Partially-Operational | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 1 | ||||||
Area of real estate property (in sqft or acres) | ft² | 106 | ||||||
Newly-developed properties placed in service, partially operational | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 2 | 2 | |||||
Newly redeveloped properties placed In service | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 1 | 1 | 3 | ||||
Area of real estate property (in sqft or acres) | ft² | 22 | 22 | 94 | ||||
Disposed of by sale | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Number of real estate properties | property | 12 | ||||||
Transaction Value | $ 125,829,000 | ||||||
Gain (loss) on disposal | $ 5,636,000 | ||||||
Area of real estate property (in sqft or acres) | ft² | 799 | ||||||
Proceeds from sale of land held-for-investment | $ 14,300,000 | ||||||
Gains on sale of other land | $ 4,200,000 | ||||||
Fort Meade/BW Corridor sub-segment | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Impairment charges | $ 2,400,000 | ||||||
BREIT COPT DC JV LLC | Variable Interest Entity, Not Primary Beneficiary | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Ownership percentage | 10.00% | ||||||
Data Center Shells in Northern Virginia | Disposed of by sale | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Ownership percentage sold | 90.00% | ||||||
Number of real estate properties | property | 9 | 2 | 7 | ||||
Transaction Value | $ 345,100,000 | ||||||
Proceeds from divestiture of businesses | 310,600,000 | ||||||
Gain (loss) on disposal | $ 105,200,000 | ||||||
Data Center Shells in Chester, Virginia | Disposed of by sale | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Transaction Value | $ 44,000,000 | ||||||
Gain (loss) on disposal | $ 1,500,000 | ||||||
Area of real estate property (in sqft or acres) | ft² | 193 | ||||||
Maximum exposure | $ 20,000,000 |
Properties, Net (Details 2)
Properties, Net (Details 2) - Disposed of by sale ft² in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($)ft²property | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Properties | property | 12 |
Total Rentable Square Feet | ft² | 799 |
Transaction Value | $ 125,829 |
Gain on Sale | $ 5,636 |
3120 Fairview Park Drive | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Properties | property | 1 |
Total Rentable Square Feet | ft² | 190 |
Transaction Value | $ 39,000 |
Gain on Sale | $ 0 |
1334 Ashton Road | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Properties | property | 1 |
Total Rentable Square Feet | ft² | 37 |
Transaction Value | $ 2,300 |
Gain on Sale | $ 0 |
White Marsh, Maryland | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Properties | property | 8 |
Total Rentable Square Feet | ft² | 412 |
Transaction Value | $ 47,500 |
Gain on Sale | $ 1,180 |
201 Technology Drive | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Properties | property | 1 |
Total Rentable Square Feet | ft² | 103 |
Transaction Value | $ 29,500 |
Gain on Sale | $ 3,625 |
7320 Parkway Drive | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Number of Properties | property | 1 |
Total Rentable Square Feet | ft² | 57 |
Transaction Value | $ 7,529 |
Gain on Sale | $ 831 |
Leases (Details)
Leases (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Lessor, Lease, Description [Line Items] | |
Average term of contract | 5 years |
Minimum | |
Lessor, Lease, Description [Line Items] | |
Term of contract | 1 month |
Maximum | |
Lessor, Lease, Description [Line Items] | |
Term of contract | 15 years |
Leases (Details 1)
Leases (Details 1) - United States Government - Concentration risk | 12 Months Ended |
Dec. 31, 2019 | |
Lease Revenue, Risk Benchmark | |
Concentration Risk [Line Items] | |
Percentage of revenue | 34.00% |
Fixed Lease Revenue Benchmark | |
Concentration Risk [Line Items] | |
Percentage of revenue | 25.00% |
Leases (Details 2)
Leases (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Leases [Abstract] | |||
Fixed | $ 412,342 | ||
Variable | 110,130 | ||
Lease revenue | 522,472 | $ 512,327 | $ 504,889 |
Lease Payments to be Received | |||
2020 | 388,310 | ||
2021 | 336,482 | ||
2022 | 299,356 | ||
2023 | 245,661 | ||
2024 | 195,246 | ||
Thereafter | 474,741 | ||
Operating Lease Payments to be Received | $ 1,939,796 |
Leases (Details 3)
Leases (Details 3) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($)Lease | |
Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Right-of-use asset | $ 68.3 |
Vehicles and office equipment | |
Lessee, Lease, Description [Line Items] | |
Lessee, Right-of-use asset | $ 1.2 |
Minimum | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 29 years |
Maximum | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 96 years |
Washington DC | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 80 years |
Lessee, Right-of-use asset | $ 10.3 |
Lessee, Number of lease contracts | Lease | 2 |
Baltimore, Maryland | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 29 years |
Lessee, Right-of-use asset | $ 6.5 |
Lessee, Renewal term | 49 years |
Stevens Investors, LLC | Washington DC | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 96 years |
Lessee, Right-of-use asset | $ 37.8 |
M Square Associates, LLC | College Park, Maryland | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Right-of-use asset | $ 6.6 |
Lessee, Number of lease contracts | Lease | 4 |
M Square Associates, LLC | College Park, Maryland | Minimum | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 63 years |
M Square Associates, LLC | College Park, Maryland | Maximum | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 74 years |
LW Redstone Company, LLC | Huntsville, Alabama | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Right-of-use asset | $ 4.8 |
Lessee, Number of lease contracts | Lease | 10 |
Lessee, Renewal term | 25 years |
LW Redstone Company, LLC | Huntsville, Alabama | Minimum | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 43 years |
LW Redstone Company, LLC | Huntsville, Alabama | Maximum | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 51 years |
Fort Meade/BW Corridor | Land | |
Lessee, Lease, Description [Line Items] | |
Lessee, Remaining term of contract | 48 years |
Lessee, Right-of-use asset | $ 2.3 |
Lessee, Number of lease contracts | Lease | 2 |
Leases (Details 4)
Leases (Details 4) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Lessee, Lease, Description [Line Items] | ||
Finance right-of-use assets | $ 41,654 | |
Total right-of-use assets | 69,518 | |
Property - operating lease liabilities | 17,317 | |
Finance leases | 1,116 | |
Total lease liabilities | 18,433 | $ 90,184 |
Property | ||
Lessee, Lease, Description [Line Items] | ||
Property - operating right-of-use assets | 27,864 | |
Finance right-of-use assets | 40,458 | |
Property - operating lease liabilities | 17,317 | $ 0 |
Property | Property - operating right-of-use assets | ||
Lessee, Lease, Description [Line Items] | ||
Property - operating right-of-use assets | 27,864 | |
Property | Property - finance right-of-use assets | ||
Lessee, Lease, Description [Line Items] | ||
Finance right-of-use assets | 40,458 | |
Vehicles and office equipment | Prepaid expenses and other assets, net | ||
Lessee, Lease, Description [Line Items] | ||
Finance right-of-use assets | $ 1,196 |
Leases (Details 5)
Leases (Details 5) | Dec. 31, 2019 |
Leases [Abstract] | |
Operating leases, Weighted average remaining lease term | 68 years |
Finance leases, Weighted average remaining lease term | 1 year |
Operating lease, Weighted average discount rate | 7.33% |
Finance lease, Weighted average discount rate | 3.11% |
Leases (Details 6)
Leases (Details 6) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Lessee, Lease, Description [Line Items] | |
Lease costs | $ 2,268 |
Property operating expenses | |
Lessee, Lease, Description [Line Items] | |
Operating lease cost | 1,699 |
Finance lease right-of use amortization | 30 |
General, Administrative and Leasing Expense | |
Lessee, Lease, Description [Line Items] | |
Operating lease cost | 69 |
Finance lease right-of use amortization | 457 |
Interest Expense | |
Lessee, Lease, Description [Line Items] | |
Interest on lease liabilities | $ 13 |
Leases (Details 7)
Leases (Details 7) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Leases [Abstract] | |||
Operating cash flows for operating leases | $ 1,004 | ||
Operating cash flows for financing leases | 13 | ||
Financing cash flows for financing leases | $ 223 | $ 15,379 | $ 0 |
Leases (Details 8)
Leases (Details 8) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Operating Leases, After Adoption of 842: | ||
2020 | $ 1,140 | |
2021 | 1,146 | |
2022 | 1,164 | |
2023 | 1,169 | |
2024 | 1,173 | |
Thereafter | 100,609 | |
Total lease payments | 106,401 | |
Less: Amount representing interest | (89,084) | |
Lease liability | 17,317 | |
Finance Leases, After Adoption of 842: | ||
2020 | 862 | |
2021 | 202 | |
2022 | 64 | |
2023 | 0 | |
2024 | 0 | |
Thereafter | 0 | |
Total lease payments | 1,128 | |
Less: Amount representing interest | (12) | |
Lease liability | 1,116 | |
Operating Leases, Before Adoption of 842: | ||
2020 | $ 1,101 | |
2020 | 1,110 | |
2021 | 1,094 | |
2022 | 1,115 | |
2023 | 1,119 | |
Thereafter | 83,373 | |
Total lease payments | 88,912 | |
Finance Leases, Before Adoption of 842: | ||
2019 | 219 | |
2020 | 844 | |
2021 | 184 | |
2022 | 49 | |
2023 | 0 | |
Thereafter | 0 | |
Total lease payments | 1,296 | |
Less: Amount representing interest | (24) | |
Total | 1,272 | |
Total | ||
Total, year 1 | 2,002 | 1,320 |
Total, year 2 | 1,348 | 1,954 |
Total, year 3 | 1,228 | 1,278 |
Total, year 4 | 1,169 | 1,164 |
Total, year 5 | 1,173 | 1,119 |
Thereafter | 100,609 | 83,373 |
Total lease payments | 107,529 | 90,208 |
Less: Amount representing interest | (89,096) | (24) |
Total lease liabilities | $ 18,433 | $ 90,184 |
Real Estate Joint Ventures (Det
Real Estate Joint Ventures (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019USD ($)ft²property | Dec. 05, 2019property | Jun. 20, 2019property | Dec. 31, 2017property | |
Consolidated real estate joint ventures | ||||
Investments in consolidated real estate joint ventures | ||||
Total Assets | $ 464,393 | |||
Encumbered Assets | 263,918 | |||
Total Liabilities | $ 185,379 | |||
Stevens Investors, LLC | Primary Beneficiary | ||||
Investments in consolidated real estate joint ventures | ||||
Nominal Ownership % | 95.00% | |||
Total Assets | $ 126,603 | |||
Encumbered Assets | 126,112 | |||
Total Liabilities | $ 56,268 | |||
Stevens Investors, LLC | Minimum | ||||
Investments in consolidated real estate joint ventures | ||||
Percentage of residual distributable cash flows in excess of unpaid cumulative preferred returns and return of invested capital entitled to the company | 60.00% | |||
LW Redstone Company, LLC | ||||
Investments in consolidated real estate joint ventures | ||||
Partner's capital account upon formation | $ 9,000 | |||
Percentage of residual distributable cash flows in excess of unpaid cumulative preferred returns and return of invested capital entitled to the company | 85.00% | |||
Percentage of residual distributable cash flows in excess of unpaid cumulative preferred returns and return of invested capital entitled to the entity's partners | 15.00% | |||
Number of years following construction commencement threshold achievement before partner's interest can be purchased at fair value | 5 years | |||
Construction commencement threshold (in square feet) | ft² | 4,400,000 | |||
Construction commencement completed (in sqft) | ft² | 1,500,000 | |||
LW Redstone Company, LLC | Primary Beneficiary | ||||
Investments in consolidated real estate joint ventures | ||||
Nominal Ownership % | 85.00% | |||
Total Assets | $ 249,875 | |||
Encumbered Assets | 73,911 | |||
Total Liabilities | 73,083 | |||
LW Redstone Company, LLC | Maximum | ||||
Investments in consolidated real estate joint ventures | ||||
Infrastructure costs anticipated to be funded by entity for reimbursement by the City of Huntsville (in dollars) | $ 76,000 | |||
Percentage of residual distributable cash flows in excess of unpaid cumulative preferred returns and return of invested capital entitled to the company | 85.00% | |||
LW Redstone Company, LLC | Notes receivable from City of Huntsville | ||||
Investments in consolidated real estate joint ventures | ||||
Infrastructure costs funded to date for reimbursement by the City of Huntsville | $ 49,000 | |||
M Square Associates, LLC | ||||
Investments in consolidated real estate joint ventures | ||||
Percentage of residual amounts distributed to each member | 50.00% | |||
M Square Associates, LLC | Primary Beneficiary | ||||
Investments in consolidated real estate joint ventures | ||||
Nominal Ownership % | 50.00% | |||
Total Assets | $ 87,915 | |||
Encumbered Assets | 63,895 | |||
Total Liabilities | $ 56,028 | |||
Disposed of by sale | ||||
Investments in consolidated real estate joint ventures | ||||
Number of real estate properties | property | 12 | |||
BREIT COPT DC JV LLC | Variable Interest Entity, Not Primary Beneficiary | ||||
Investments in consolidated real estate joint ventures | ||||
Ownership percentage | 10.00% | |||
Data Center Shells in Northern Virginia | Disposed of by sale | ||||
Investments in consolidated real estate joint ventures | ||||
Ownership percentage sold | 90.00% | |||
Number of real estate properties | property | 9 | 2 | 7 |
Real Estate Joint Ventures (D_2
Real Estate Joint Ventures (Details 2) $ in Thousands | Dec. 31, 2019USD ($)property | Dec. 31, 2018USD ($) |
Unconsolidated Real Estate Joint Ventures | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of real estate properties | property | 15 | |
Real estate equity method investments | $ | $ 51,949 | $ 39,845 |
GI-COPT DC Partnership LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage | 50.00% | |
Number of real estate properties | property | 6 | |
Real estate equity method investments | $ | $ 37,816 | 39,845 |
Variable Interest Entity, Not Primary Beneficiary | BREIT COPT DC JV LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage | 10.00% | |
Number of real estate properties | property | 9 | |
Real estate equity method investments | $ | $ 14,133 | $ 0 |
Intangible Assets on Real Est_3
Intangible Assets on Real Estate Acquisitions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Intangible assets on real estate acquisitions | |||
Gross Carrying Amount | $ 206,157 | $ 216,358 | |
Accumulated Amortization | 178,765 | 172,888 | |
Net Carrying Amount | 27,392 | 43,470 | |
Amortization of the intangible assets | $ 8,700 | 15,600 | $ 19,300 |
Weighted average amortization period of intangible assets | 8 years | ||
Estimated future amortization expense associated with the intangible asset categories for the next five years | |||
2020 | $ 5,200 | ||
2021 | 5,000 | ||
2022 | 3,500 | ||
2023 | 3,100 | ||
2024 | 2,500 | ||
In-place lease value | |||
Intangible assets on real estate acquisitions | |||
Gross Carrying Amount | 131,975 | 132,276 | |
Accumulated Amortization | 120,894 | 117,520 | |
Net Carrying Amount | $ 11,081 | 14,756 | |
Weighted average amortization period of intangible assets | 7 years | ||
Tenant relationship value | |||
Intangible assets on real estate acquisitions | |||
Gross Carrying Amount | $ 59,131 | 60,028 | |
Accumulated Amortization | 43,544 | 39,703 | |
Net Carrying Amount | $ 15,587 | 20,325 | |
Weighted average amortization period of intangible assets | 8 years | ||
Above-market leases | |||
Intangible assets on real estate acquisitions | |||
Gross Carrying Amount | $ 13,718 | 13,841 | |
Accumulated Amortization | 13,318 | 13,164 | |
Net Carrying Amount | $ 400 | 677 | |
Weighted average amortization period of intangible assets | 8 years | ||
Below-market cost arrangements | |||
Intangible assets on real estate acquisitions | |||
Gross Carrying Amount | $ 0 | 8,880 | |
Accumulated Amortization | 0 | 1,507 | |
Net Carrying Amount | 0 | 7,373 | |
Other | |||
Intangible assets on real estate acquisitions | |||
Gross Carrying Amount | 1,333 | 1,333 | |
Accumulated Amortization | 1,009 | 994 | |
Net Carrying Amount | $ 324 | $ 339 | |
Weighted average amortization period of intangible assets | 23 years |
Investing Receivables (Details)
Investing Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Investing receivables | $ 73,523 | $ 56,982 |
Investing Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Fair value of investing receivables | 74,000 | 58,000 |
Notes receivable from City of Huntsville | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Investing receivables | $ 59,427 | 53,961 |
Notes receivable from City of Huntsville | LW Redstone Company, LLC | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Stated interest rate | 9.95% | |
Note receivable, term | 30 years | |
Other investing loans receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Investing receivables | $ 14,096 | $ 3,021 |
Stated interest rate | 8.00% |
Prepaid Expenses and Other As_3
Prepaid Expenses and Other Assets, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||||
Restricted cash | $ 3,397 | $ 3,884 | $ 2,570 | $ 2,756 |
Marketable securities in deferred compensation plan | 3,060 | 3,868 | ||
Total for COPT and subsidiaries | 96,076 | 91,198 | ||
Finance right-of-use assets | 41,654 | |||
Corporate Office Properties, L.P | ||||
Property, Plant and Equipment [Line Items] | ||||
Lease incentives, net | 28,433 | 21,258 | ||
Prepaid expenses | 18,835 | 25,658 | ||
Construction contract costs in excess of billings | 17,223 | 3,189 | ||
Furniture, fixtures and equipment, net | 7,823 | 8,630 | ||
Non-real estate equity investments | 6,705 | 5,940 | ||
Deferred financing costs, net | 3,633 | 4,733 | ||
Restricted cash | 3,397 | 3,884 | $ 2,570 | $ 2,756 |
Deferred tax asset, net | 2,328 | 2,084 | ||
Interest rate derivatives | 23 | 5,617 | ||
Other assets | 4,616 | 6,337 | ||
Total for COPT and subsidiaries | 93,016 | $ 87,330 | ||
Furniture, Fixtures and Equipment, Net | ||||
Property, Plant and Equipment [Line Items] | ||||
Finance right-of-use assets | $ 1,200 |
Prepaid Expenses and Other As_4
Prepaid Expenses and Other Assets, Net (Details 2) - TRS - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Tax Credit Carryforward [Line Items] | ||
Operating loss carry forward | $ 2,885 | $ 4,354 |
Property | (77) | |
Property | 427 | |
Share-based compensation | 0 | 28 |
Accrued payroll | 0 | 2 |
Valuation allowance | (480) | (2,727) |
Deferred tax asset, net | $ 2,328 | $ 2,084 |
Debt, Net (Details)
Debt, Net (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt | ||
Carrying Value | $ 1,831,139,000 | $ 1,823,909,000 |
Revolving Credit Facility | ||
Debt | ||
Carrying Value | $ 177,000,000 | 213,000,000 |
Weighted average interest rate | 2.70% | |
Aggregate additional borrowing capacity | $ 500,000,000 | |
Term Loan Facilities | ||
Debt | ||
Carrying Value | 248,706,000 | 248,273,000 |
Aggregate additional borrowing capacity | $ 150,000,000 | |
Interest rate | 2.94% | |
Unsecured note payable | ||
Debt | ||
Carrying Value | $ 1,038,000 | 1,167,000 |
Interest rate | 0.00% | |
Unamortized discount included in carrying value | $ 223,000 | 294,000 |
London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | Minimum | ||
Debt | ||
Variable rate, spread | 0.775% | |
London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | Maximum | ||
Debt | ||
Variable rate, spread | 1.45% | |
London Interbank Offered Rate (LIBOR) | Term Loan Facilities | Minimum | ||
Debt | ||
Variable rate, spread | 0.85% | |
London Interbank Offered Rate (LIBOR) | Term Loan Facilities | Maximum | ||
Debt | ||
Variable rate, spread | 1.65% | |
Mortgage and other secured debt | ||
Debt | ||
Carrying Value | $ 211,485,000 | 170,423,000 |
Mortgage and other secured debt | Fixed rate mortgage debt | ||
Debt | ||
Carrying Value | 143,430,000 | 147,141,000 |
Unamortized premium included in carrying value | $ 217,000 | 281,000 |
Weighted average interest rate | 4.16% | |
Mortgage and other secured debt | Fixed rate mortgage debt | Minimum | ||
Debt | ||
Interest rate | 3.82% | |
Mortgage and other secured debt | Fixed rate mortgage debt | Maximum | ||
Debt | ||
Interest rate | 4.62% | |
Mortgage and other secured debt | Variable rate secured loans | ||
Debt | ||
Carrying Value | $ 68,055,000 | 23,282,000 |
Weighted average interest rate | 3.85% | |
Mortgage and other secured debt | London Interbank Offered Rate (LIBOR) | Variable rate secured loans | Minimum | ||
Debt | ||
Variable rate, spread | 1.45% | |
Mortgage and other secured debt | London Interbank Offered Rate (LIBOR) | Variable rate secured loans | Maximum | ||
Debt | ||
Variable rate, spread | 2.35% | |
Mortgage and other secured debt | London Interbank Offered Rate (LIBOR) | Construction Loan Payable | ||
Debt | ||
Remaining borrowing capacity | $ 64,900,000 | |
Senior Notes | 3.60%, $350,000 aggregate principal | ||
Debt | ||
Carrying Value | 348,431,000 | 347,986,000 |
Debt instrument, face amount | $ 350,000,000 | |
Interest rate | 3.60% | |
Unamortized discount included in carrying value | $ 1,100,000 | 1,400,000 |
Effective interest rate on debt (as a percent) | 3.70% | |
Senior Notes | 5.25%, $250,000 aggregate principal | ||
Debt | ||
Carrying Value | $ 247,652,000 | 247,136,000 |
Debt instrument, face amount | $ 250,000,000 | |
Interest rate | 5.25% | |
Unamortized discount included in carrying value | $ 2,100,000 | 2,600,000 |
Effective interest rate on debt (as a percent) | 5.49% | |
Senior Notes | 3.70%, $300,000 aggregate principal | ||
Debt | ||
Carrying Value | $ 299,324,000 | 298,815,000 |
Debt instrument, face amount | $ 300,000,000 | |
Interest rate | 3.70% | |
Unamortized discount included in carrying value | $ 534,000 | 943,000 |
Effective interest rate on debt (as a percent) | 3.85% | |
Senior Notes | 5.00%, $300,000 aggregate principal | ||
Debt | ||
Carrying Value | $ 297,503,000 | 297,109,000 |
Debt instrument, face amount | $ 300,000,000 | |
Interest rate | 5.00% | |
Unamortized discount included in carrying value | $ 2,100,000 | 2,400,000 |
Effective interest rate on debt (as a percent) | 5.15% | |
Loans Payable | ||
Debt | ||
Deferred financing costs, net | $ 5,800,000 | $ 7,200,000 |
Debt, Net (Details 2)
Debt, Net (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule on basis of which debt matures | |||
2020 | $ 16,156 | ||
2021 | 303,955 | ||
2022 | 301,341 | ||
2023 | 593,830 | ||
2024 | 279,683 | ||
Thereafter | 347,842 | ||
Total | 1,842,807 | ||
Net discounts and deferred financing costs | 11,700 | ||
Capitalized interest costs | $ 10,800 | $ 5,900 | $ 5,200 |
Debt, Net (Details 3)
Debt, Net (Details 3) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Carrying Amount | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 1,831,139 | $ 1,823,909 |
Carrying Amount | Unsecured Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 1,192,910 | 1,191,046 |
Carrying Amount | Other fixed-rate debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | 144,468 | 148,308 |
Carrying Amount | Variable-rate debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | 493,761 | 484,555 |
Estimated Fair Value | ||
Debt Instrument [Line Items] | ||
Long-term debt | 1,873,310 | 1,853,206 |
Estimated Fair Value | Unsecured Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 1,227,441 | 1,219,603 |
Estimated Fair Value | Other fixed-rate debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | 149,907 | 147,106 |
Estimated Fair Value | Variable-rate debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 495,962 | $ 486,497 |
Debt, Net (Details 4)
Debt, Net (Details 4) | Oct. 10, 2018USD ($) | Dec. 17, 2015 | Nov. 30, 2018USD ($) | May 31, 2017USD ($) | Dec. 31, 2019USD ($)extension | Dec. 31, 2018USD ($) |
Term Loan Facility Originating 2012 | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of term loan | $ 100,000,000 | $ 200,000,000 | ||||
Term Loan Facilities | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate additional borrowing capacity | $ 150,000,000 | |||||
Interest rate | 2.94% | |||||
Minimum | Term Loan Facilities | London Interbank Offered Rate (LIBOR) | ||||||
Debt Instrument [Line Items] | ||||||
Variable rate, spread | 0.85% | |||||
Maximum | Term Loan Facilities | London Interbank Offered Rate (LIBOR) | ||||||
Debt Instrument [Line Items] | ||||||
Variable rate, spread | 1.65% | |||||
Revolving Credit Facility | Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Weighted average borrowings | $ 255,600,000 | $ 188,100,000 | ||||
Weighted average interest rate | 3.32% | 3.08% | ||||
Line of Credit | Revolving Credit Facility | ||||||
Debt Instrument [Line Items] | ||||||
Current borrowing capacity | $ 800,000,000 | $ 800,000,000 | ||||
Maximum availability | $ 1,250,000,000 | |||||
Number of extensions | extension | 2 | |||||
Extension option period | 6 months | |||||
Line of credit facility, extension fee | 0.075% | |||||
Remaining borrowing capacity | $ 623,000,000 | |||||
Line of Credit | Revolving Credit Facility | Minimum | London Interbank Offered Rate (LIBOR) | ||||||
Debt Instrument [Line Items] | ||||||
Variable rate, spread | 0.775% | |||||
Commitment fee percentage | 0.125% | |||||
Line of Credit | Revolving Credit Facility | Maximum | London Interbank Offered Rate (LIBOR) | ||||||
Debt Instrument [Line Items] | ||||||
Variable rate, spread | 1.45% | |||||
Commitment fee percentage | 0.30% | |||||
Unsecured Debt | Term Credit Facility Effective Deember 2015 | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate additional borrowing capacity | $ 150,000,000 | |||||
Unsecured Debt | Minimum | Term Credit Facility Effective Deember 2015 | London Interbank Offered Rate (LIBOR) | ||||||
Debt Instrument [Line Items] | ||||||
Variable rate, spread | 0.85% | |||||
Unsecured Debt | Maximum | Term Credit Facility Effective Deember 2015 | London Interbank Offered Rate (LIBOR) | ||||||
Debt Instrument [Line Items] | ||||||
Variable rate, spread | 1.65% | |||||
Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Redemption price | 100.00% | |||||
Senior Notes | 3.60% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Loan amount | $ 350,000,000 | |||||
Interest rate | 3.60% | |||||
Senior Notes | 3.60% Senior Notes | Adjusted Treasury | ||||||
Debt Instrument [Line Items] | ||||||
Basis points used in determining redemption price prior to maturity | 0.30% | |||||
Senior Notes | 5.250% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Loan amount | $ 250,000,000 | |||||
Interest rate | 5.25% | |||||
Senior Notes | 5.250% Senior Notes | Adjusted Treasury | ||||||
Debt Instrument [Line Items] | ||||||
Basis points used in determining redemption price prior to maturity | 0.40% | |||||
Senior Notes | 3.70% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Loan amount | $ 300,000,000 | |||||
Interest rate | 3.70% | |||||
Senior Notes | 3.70% Senior Notes | Adjusted Treasury | ||||||
Debt Instrument [Line Items] | ||||||
Basis points used in determining redemption price prior to maturity | 0.25% | |||||
Senior Notes | 5.0% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Loan amount | $ 300,000,000 | |||||
Interest rate | 5.00% | |||||
Senior Notes | 5.0% Senior Notes | Adjusted Treasury | ||||||
Debt Instrument [Line Items] | ||||||
Basis points used in determining redemption price prior to maturity | 0.45% |
Interest Rate Derivatives (Deta
Interest Rate Derivatives (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivatives in Hedging Relationships | |||
Amount of (Loss) Gain Recognized in AOCI on Derivatives | $ (24,321) | $ (2,373) | $ 684 |
Amount of Gain (Loss) Reclassified from AOCI into Interest Expense on Statement of Operations | 1,415 | 407 | (3,304) |
Interest rate swaps | Interest Expense | |||
Derivatives in Hedging Relationships | |||
Amount of Gain (Loss) Reclassified from AOCI into Interest Expense on Statement of Operations | 1,415 | 407 | $ (3,304) |
Interest rate swaps | Prepaid expenses and other assets, net | |||
Fair value of interest rate derivatives and balance sheet classification | |||
Interest rate swaps designated as cash flow hedges | 23 | 5,617 | |
Interest rate swaps | Interest rate derivatives (liabilities) | |||
Fair value of interest rate derivatives and balance sheet classification | |||
Interest rate swaps designated as cash flow hedges | (25,682) | (5,459) | |
Designated | |||
Fair values of interest rate swap derivatives | |||
Fair value of interest rate swaps | (25,659) | 158 | |
Designated | Interest rate swaps | |||
Derivatives in Hedging Relationships | |||
Approximate amount of gains (losses) to be reclassified from AOCL to interest expense over the next 12 months | (2,600) | ||
Fair value of derivative liability | 25,700 | ||
Settlement amount of derivative obligation at termination value | 25,800 | ||
Designated | Interest rate swap, effective October 13, 2015 | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 12,438 | ||
Fixed Rate | 1.39% | ||
Fair value of interest rate swaps | $ 23 | 239 | |
Notional amount after scheduled amortization | 12,100 | ||
Designated | Interest rate swap, effective September 1, 2016, swap one | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 100,000 | ||
Fixed Rate | 1.901% | ||
Fair value of interest rate swaps | $ (1,028) | 1,968 | |
Designated | Interest rate swap, effective September 1, 2016, swap two | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 100,000 | ||
Fixed Rate | 1.905% | ||
Fair value of interest rate swaps | $ (1,037) | 1,967 | |
Designated | Interest rate swap, effective September 1, 2016, swap three | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 50,000 | ||
Fixed Rate | 1.908% | ||
Fair value of interest rate swaps | $ (524) | 971 | |
Designated | Interest rate swap, effective August 1, 2019 | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 11,200 | ||
Fixed Rate | 1.678% | ||
Fair value of interest rate swaps | $ (20) | 0 | |
Notional amount after scheduled amortization | 10,000 | ||
Designated | Interest rate swap, effective June 30, 2020, swap one | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 75,000 | ||
Fixed Rate | 3.176% | ||
Fair value of interest rate swaps | $ (8,640) | (2,676) | |
Designated | Interest rate swap, effective June 30, 2020, swap two | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 75,000 | ||
Fixed Rate | 3.192% | ||
Fair value of interest rate swaps | $ (8,749) | (2,783) | |
Designated | Interest rate swap, effective June 30, 2020, swap three | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 75,000 | ||
Fixed Rate | 2.744% | ||
Fair value of interest rate swaps | $ (5,684) | 0 | |
Designated | Interest rate swap, effective date September 1, 2015 | |||
Fair values of interest rate swap derivatives | |||
Notional Amount | $ 100,000 | ||
Fixed Rate | 1.73% | ||
Fair value of interest rate swaps | $ 0 | $ 472 |
Redeemable Noncontrolling Int_3
Redeemable Noncontrolling Interests (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($)joint_venture | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Noncontrolling Interest [Abstract] | |||
Number of joint ventures with redeemable noncontrolling interests | joint_venture | 2 | ||
Redeemable Noncontrolling Interest [Roll Forward] | |||
Beginning balance | $ 26,260 | $ 23,125 | $ 22,979 |
Contributions from noncontrolling interests | 0 | 186 | 0 |
Distributions to noncontrolling interests | (2,413) | (1,411) | (1,566) |
Net income attributable to noncontrolling interests | 3,835 | 2,523 | 2,338 |
Adjustment to arrive at fair value of interests | 1,749 | 1,837 | (626) |
Ending balance | $ 29,431 | $ 26,260 | $ 23,125 |
Equity - COPT and Subsidiaries
Equity - COPT and Subsidiaries (Details) - USD ($) | Nov. 02, 2017 | Jun. 27, 2017 | Jan. 21, 2017 | Nov. 30, 2018 | Sep. 30, 2016 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Preferred Stock | ||||||||
Stock redeemed or called during period value | $ 172,500,000 | |||||||
Common Shares | ||||||||
Number of common shares for each converted common unit (in shares) | 1 | |||||||
Number of operating partnerships units converted into common shares (in units) | 105,039 | 1,904,615 | 339,513 | |||||
Dividends declared per common share (in dollars per share) | $ 1.10 | $ 1.10 | $ 1.10 | |||||
Preferred Shares | ||||||||
Preferred Stock | ||||||||
Number of preferred shares authorized | 25,000,000 | |||||||
Number of preferred shares of beneficial interest authorized (in dollars per share) | $ 0.01 | |||||||
Series K Preferred Shares | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 5.60% | |||||||
Series L | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 7.375% | |||||||
Preferred stock redemption premium | $ 6,800,000 | |||||||
2016 ATM Program | ||||||||
Common Shares | ||||||||
Shares issued to the public | 992,000 | 591,000 | ||||||
Issuance of stock, weighted average price per share (in dollars per share) | $ 30.46 | $ 33.84 | ||||||
Net proceeds from issuance of shares after underwriting discounts and commissions but before offering expenses | $ 29,800,000 | $ 19,700,000 | ||||||
Payments of stock issuance costs | $ 500,000 | $ 300,000 | ||||||
2016 ATM Program | Common Shares | ||||||||
Common Shares | ||||||||
At-market-stock, offering program established, aggregate value | $ 200,000,000 | |||||||
Shares issued to the public | 992,000 | 591,000 | ||||||
Issuance of stock, weighted average price per share (in dollars per share) | $ 30.46 | $ 33.84 | ||||||
Net proceeds from issuance of shares after underwriting discounts and commissions but before offering expenses | $ 29,800,000 | $ 19,700,000 | ||||||
Payments of stock issuance costs | $ 500,000 | $ 300,000 | ||||||
2018 ATM Program | Common Shares | ||||||||
Common Shares | ||||||||
At-market-stock, offering program established, aggregate value | $ 300,000,000 | |||||||
Forward Equity Sale Agreement | Common Shares | ||||||||
Common Shares | ||||||||
Shares issued to the public | 1,600,000 | 5,900,000 | 1,700,000 | |||||
Net proceeds from issuance of shares after underwriting discounts and commissions but before offering expenses | $ 46,500,000 | $ 172,500,000 | $ 50,000,000 | |||||
Forward equity sale agreement (in shares) | 9,200,000 | |||||||
Net proceeds from issuance of shares before underwriting discounts, commission and offering expenses | $ 285,200,000 | |||||||
Initial gross offering price per share (in dollars per share) | $ 31 | |||||||
Corporate Office Properties, L.P | ||||||||
Preferred Stock | ||||||||
Stock redeemed or called during period value | $ 172,500,000 | |||||||
Common Shares | ||||||||
Number of common shares for each converted common unit (in shares) | 1 | 1 | 1 | |||||
Number of operating partnerships units converted into common shares (in units) | 105,039 | 1,900,000 | 339,513 | |||||
Dividends declared per common share (in dollars per share) | $ 1.10 | $ 1.10 | $ 1.10 | |||||
Corporate Office Properties, L.P | Series K Preferred Shares | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 5.60% | |||||||
Preferred stock, redemption price per share (in dollars per share) | $ 50 | |||||||
Stock redeemed or called during period value | $ 26,600,000 | |||||||
Corporate Office Properties, L.P | Series L | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 7.375% | |||||||
Preferred stock, redemption price per share (in dollars per share) | $ 25 | |||||||
Stock redeemed or called during period value | $ 172,500,000 | |||||||
Preferred stock redemption premium | $ 6,800,000 |
Equity - COPLP and Subsidiari_2
Equity - COPLP and Subsidiaries (Details) - USD ($) $ / shares in Units, $ in Thousands | Sep. 23, 2019 | Sep. 22, 2019 | Jul. 31, 2019 | Jun. 27, 2017 | Jan. 21, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Preferred Stock | ||||||||
Stock redeemed or called during period value | $ 172,500 | |||||||
Preferred units in COPLP | $ 8,800 | $ 8,800 | ||||||
Common Shares | ||||||||
Number of common shares for each converted common unit (in shares) | 1 | |||||||
Number of operating partnerships units converted into common shares (in units) | 105,039 | 1,904,615 | 339,513 | |||||
Redemption of common units | $ 25 | $ 339 | ||||||
Dividends declared per common share (in dollars per share) | $ 1.10 | $ 1.10 | $ 1.10 | |||||
2016 ATM Program | ||||||||
Common Shares | ||||||||
Shares issued to the public | 992,000 | 591,000 | ||||||
Issuance of stock, weighted average price per share (in dollars per share) | $ 30.46 | $ 33.84 | ||||||
Net proceeds from issuance of shares after underwriting discounts and commissions but before offering expenses | $ 29,800 | $ 19,700 | ||||||
Payments of stock issuance costs | $ 500 | $ 300 | ||||||
Common Shares | 2016 ATM Program | ||||||||
Common Shares | ||||||||
Shares issued to the public | 992,000 | 591,000 | ||||||
Issuance of stock, weighted average price per share (in dollars per share) | $ 30.46 | $ 33.84 | ||||||
Net proceeds from issuance of shares after underwriting discounts and commissions but before offering expenses | $ 29,800 | $ 19,700 | ||||||
Payments of stock issuance costs | $ 500 | $ 300 | ||||||
Common Shares | Forward Equity Sale Agreement | ||||||||
Common Shares | ||||||||
Shares issued to the public | 1,600,000 | 5,900,000 | 1,700,000 | |||||
Net proceeds from issuance of shares after underwriting discounts and commissions but before offering expenses | $ 46,500 | $ 172,500 | $ 50,000 | |||||
Series K Preferred Shares | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 5.60% | |||||||
Series L | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 7.375% | |||||||
Issuance costs associated with redeemed preferred shares | 6,800 | |||||||
Corporate Office Properties, L.P | ||||||||
Preferred Stock | ||||||||
Stock redeemed or called during period value | $ 172,500 | |||||||
Common Shares | ||||||||
Number of common shares for each converted common unit (in shares) | 1 | 1 | 1 | |||||
Number of operating partnerships units converted into common shares (in units) | 105,039 | 1,900,000 | 339,513 | |||||
Redemption of common units | $ 25 | $ 339 | ||||||
Dividends declared per common share (in dollars per share) | $ 1.10 | $ 1.10 | $ 1.10 | |||||
Corporate Office Properties, L.P | Common Shares | ||||||||
Common Shares | ||||||||
Stock redeemed or called during period (in units/ shares) | 924 | 13,377 | ||||||
Redemption of common units | $ 25 | $ 339 | ||||||
Corporate Office Properties, L.P | Common Units | ||||||||
Common Shares | ||||||||
Percentage ownership in operating partnership | 98.70% | 98.80% | ||||||
Stock redeemed or called during period (in units/ shares) | 924 | 13,377 | ||||||
Redemption of common units | $ 25 | $ 339 | ||||||
Corporate Office Properties, L.P | Conversion of Series I preferred units | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 3.50% | 7.50% | ||||||
Limited partners' capital account, units outstanding | 352,000 | |||||||
Preferred units in COPLP | $ 8,800 | |||||||
Preferred stock, liquidation preference per share | $ 25 | |||||||
Limited partner preferred units conversion rate to shares | 0.5 | |||||||
Unitholder notification period prior to redemption | 6 months | |||||||
Corporate Office Properties, L.P | Series K Preferred Shares | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 5.60% | |||||||
Preferred stock, redemption price per share (in dollars per share) | $ 50 | |||||||
Stock redeemed or called during period value | $ 26,600 | |||||||
Corporate Office Properties, L.P | Series L | ||||||||
Preferred Stock | ||||||||
Annual dividend yield | 7.375% | |||||||
Preferred stock, redemption price per share (in dollars per share) | $ 25 | |||||||
Stock redeemed or called during period value | $ 172,500 | |||||||
Issuance costs associated with redeemed preferred shares | $ 6,800 |
Share-Based Compensation and _3
Share-Based Compensation and Other Compensation Matters (Narrative) (Details) $ / shares in Units, $ in Thousands | Jan. 01, 2019USD ($)$ / sharesshares | Mar. 01, 2016USD ($)shares | Mar. 05, 2015USD ($)shares | Dec. 31, 2019USD ($)formrankPercentile_Rank$ / sharesshares | Dec. 31, 2018USD ($)$ / sharesshares | Dec. 31, 2017USD ($)$ / sharesshares | May 31, 2017shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares exercised (in shares) | shares | 5,000 | ||||||
Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Expiration period | 10 years | ||||||
Decrease in tax benefit from share-based compensation | $ 13 | ||||||
Aggregate intrinsic value of options exercised | 18 | ||||||
Shares exercised (in shares) | shares | 0 | 0 | |||||
Performance Shares, Profit Interest Units and Deferred Share Awards [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Estimated pre-vesting forfeitures | 0.00% | ||||||
Performance share units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation cost | $ 630 | ||||||
Expected weighted average period during which unrecognized compensation cost will be recognized | 1 year | ||||||
Incremental grant date fair value | 236 | ||||||
The number of percentile ranks to fall between to earn interpolated PSUs between such percentile ranks, conditioned on the percentile rank exceeding 25% | Percentile_Rank | 2 | ||||||
Performance period of the award | 3 years | ||||||
Restricted shares | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation cost | $ 6,500 | ||||||
Expected weighted average period during which unrecognized compensation cost will be recognized | 2 years | ||||||
Aggregate intrinsic value | $ 4,900 | $ 4,600 | $ 5,300 | ||||
Stock awards granted (in shares or units) | shares | 195,520 | 219,716 | 239,479 | ||||
Grant date fair value (in dollars per share) | $ / shares | $ 26.56 | $ 25.62 | $ 33.84 | ||||
Restricted shares | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Estimated pre-vesting forfeitures | 0.00% | ||||||
Restricted shares | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Estimated pre-vesting forfeitures | 7.00% | ||||||
Performance-based PIUs | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation cost | $ 1,600 | ||||||
Expected weighted average period during which unrecognized compensation cost will be recognized | 2 years | ||||||
Percentile ranks to fall between for PIUs | rank | 2 | ||||||
Time-based PIUs | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation cost | $ 1,100 | ||||||
Expected weighted average period during which unrecognized compensation cost will be recognized | 2 years | ||||||
Stock awards granted (in shares or units) | shares | 61,820 | ||||||
Grant date fair value | $ 1,600 | ||||||
Grant date fair value (in dollars per share) | $ / shares | $ 26.01 | ||||||
Vesting period | 3 years | ||||||
Award vesting rights | 33.33% | ||||||
Deferred Share Awards | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation cost | $ 33 | ||||||
Aggregate intrinsic value | $ 86 | $ 154 | $ 508 | ||||
Stock awards granted (in shares or units) | shares | 3,432 | 13,832 | 10,032 | ||||
Grant date fair value | $ 95 | $ 388 | $ 326 | ||||
Grant date fair value (in dollars per share) | $ / shares | $ 27.60 | $ 28.08 | $ 32.47 | ||||
Profit Interest Units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of forms of executive compensation | form | 2 | ||||||
2017 Omnibus Equity and Incentive Plan | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common shares of beneficial interest authorized to be issued | shares | 3,400,000 | ||||||
2019 PIU Grants | Performance-based PIUs | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock awards granted (in shares or units) | shares | 193,682 | ||||||
Grant date fair value | $ 2,400 | ||||||
Grant date fair value (in dollars per share) | $ / shares | $ 12.47 | ||||||
Performance period of the award | 3 years | ||||||
Vesting period | 3 years | ||||||
Percent of award distribution rights | 10.00% | ||||||
Baseline Common Share Value (in dollars per share) | $ / shares | $ 21.03 | ||||||
Expected volatility of common shares (as a percent) | 21.00% | ||||||
Risk-free interest rate (as a percent) | 2.51% | ||||||
2015 PSU Grants | Performance share units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock awards granted (in shares or units) | shares | 45,656 | ||||||
Grant date fair value | $ 1,678 | ||||||
2015 PSU Grants | Performance share units | Officer | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares issued for PSU awards vested in period (in shares) | shares | 13,328 | ||||||
2016 PSU Grants | Performance share units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock awards granted (in shares or units) | shares | 26,299 | ||||||
Grant date fair value | $ 1,005 | ||||||
2016 PSU Grants | Performance share units | Officer | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares issued for PSU awards vested in period (in shares) | shares | 44,757 |
Share-Based Compensation and _4
Share-Based Compensation and Other Compensation Matters (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-Based Compensation | |||
Share-based compensation cost | $ 7,456 | $ 6,963 | $ 6,095 |
General, administrative and leasing expenses | |||
Share-Based Compensation | |||
Share-based compensation cost | 5,748 | 5,415 | 4,649 |
Property operating expenses | |||
Share-Based Compensation | |||
Share-based compensation cost | 966 | 961 | 966 |
Property operating expenses | |||
Share-Based Compensation | |||
Share-based compensation cost | $ 742 | $ 587 | $ 480 |
Share-Based Compensation and _5
Share-Based Compensation and Other Compensation Matters (Details 2) - Restricted shares - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Shares | |||
Unvested at the beginning of the period (in shares) | 438,685 | 425,626 | 371,247 |
Stock awards granted (in shares or units) | 195,520 | 219,716 | 239,479 |
Forfeited (in shares) | (56,341) | (25,419) | (27,056) |
Vested (in shares) | (185,001) | (181,238) | (158,044) |
Unvested at the end of the period (in shares) | 392,863 | 438,685 | 425,626 |
Restricted shares expected to vest (in shares) | 363,773 | ||
Weighted Average Grant Date Fair Value | |||
Unvested at the beginning of the period (in dollars per share) | $ 28.38 | $ 30.37 | $ 26.20 |
Grant date fair value (in dollars per share) | 26.56 | 25.62 | 33.84 |
Forfeited (in dollars per share) | 29.44 | 30.02 | 27.80 |
Vested (in dollars per share) | 28.01 | 29.49 | 26.27 |
Unvested at the end of the period (in dollars per share) | 27.49 | $ 28.38 | $ 30.37 |
Restricted shares expected to vest (in dollars per share) | $ 27.50 |
Share-Based Compensation and _6
Share-Based Compensation and Other Compensation Matters (Details 3) - Performance share units - USD ($) $ in Thousands | Jan. 01, 2018 | Jan. 01, 2017 | Mar. 01, 2016 | Mar. 05, 2015 | Dec. 31, 2019 |
2015 PSU Grants | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock awards granted (in shares or units) | 45,656 | ||||
Grant date fair value | $ 1,678 | ||||
Unvested at the end of the period (in shares) | 0 | ||||
2016 PSU Grants | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock awards granted (in shares or units) | 26,299 | ||||
Grant date fair value | $ 1,005 | ||||
Unvested at the end of the period (in shares) | 0 | ||||
2017 PSU Grants | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock awards granted (in shares or units) | 39,351 | ||||
Grant date fair value | $ 1,415 | ||||
Unvested at the end of the period (in shares) | 39,351 | ||||
2018 PSU Grants | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock awards granted (in shares or units) | 59,110 | ||||
Grant date fair value | $ 1,890 | ||||
Unvested at the end of the period (in shares) | 59,110 |
Share-Based Compensation and _7
Share-Based Compensation and Other Compensation Matters (Details 4) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Performance-based PIUs | |||
Potential earned payout for defined levels of performance under awards | |||
Earned payout (as a percent of PSUs/ PIUs granted) on 75th or greater percentile rank | 100.00% | ||
Earned payout (as a percent of PSUs/ PIUs granted) on 50th percentile rank (target) | 50.00% | ||
Earned payout (as a percent of PSUs/ PIUs granted) on 25th percentile rank | 25.00% | ||
Performance share units/ PB PIUs granted on percentile rank below 25th (as a percent) | 0.00% | ||
Performance share units | |||
Potential earned payout for defined levels of performance under awards | |||
Earned payout (as a percent of PSUs/ PIUs granted) on 75th or greater percentile rank | 200.00% | ||
Earned payout (as a percent of PSUs/ PIUs granted) on 50th percentile rank (target) | 100.00% | ||
Earned payout (as a percent of PSUs/ PIUs granted) on 25th percentile rank | 50.00% | ||
Performance share units/ PB PIUs granted on percentile rank below 25th (as a percent) | 0.00% | ||
Performance share units | 2017 PSU Grants | |||
Assumptions used to value stock awards | |||
Grant date fair value (in dollars per share) | $ 38.43 | ||
Baseline Common Share Value (in dollars per share) | $ 31.22 | ||
Expected Volatility of Common Shares | 19.00% | ||
Risk-free Interest Rate | 1.47% | ||
Performance share units | 2018 PSU Grants | |||
Assumptions used to value stock awards | |||
Grant date fair value (in dollars per share) | $ 31.97 | ||
Baseline Common Share Value (in dollars per share) | $ 29.20 | ||
Expected Volatility of Common Shares | 17.00% | ||
Risk-free Interest Rate | 2.04% |
Share-Based Compensation and _8
Share-Based Compensation and Other Compensation Matters (Details 5) - Deferred Share Awards - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Deferred Share Awards Granted (in shares or units) | 3,432 | 13,832 | 10,032 |
Aggregate Grant Date Fair Value | $ 95 | $ 388 | $ 326 |
Grant Date Fair Value Per Share (in dollars per share) | $ 27.60 | $ 28.08 | $ 32.47 |
Number of common shares issued (in shares) | 3,097 | 5,515 | 15,590 |
Grant date fair value (in dollars per share) | $ 26.77 | $ 29.32 | $ 26.89 |
Aggregate intrinsic value | $ 86 | $ 154 | $ 508 |
Share-Based Compensation and _9
Share-Based Compensation and Other Compensation Matters (Details 6) - Options - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options Outstanding and Exercisable (in shares) | 30,000 | 60,000 | 201,100 | 0 |
Weighted Average Exercise Price Per Share (in dollars per share) | $ 32.52 | $ 35.17 | $ 43.35 | |
Weighted Average Remaining Contractual Term (years) | 12 days | 1 year | 1 year | |
Aggregate Intrinsic Value | $ 0 | $ 0 | $ 31 |
Information by Business Segme_3
Information by Business Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | $ 157,785 | $ 159,431 | $ 175,070 | $ 148,940 | $ 138,482 | $ 137,411 | $ 146,743 | $ 155,476 | $ 641,226 | $ 578,112 | $ 612,820 |
Property operating expenses | 198,143 | 201,035 | 190,964 | ||||||||
UJV NOI allocable to COPT | 5,705 | 4,818 | 4,805 | ||||||||
Segment assets | 3,854,453 | 3,656,005 | 3,854,453 | 3,656,005 | |||||||
Segment assets | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 3,024,958 | 3,084,862 | 3,024,958 | 3,084,862 | |||||||
Real estate operations | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 527,463 | 517,253 | 509,980 | ||||||||
Property operating expenses | 198,143 | 201,035 | 190,964 | ||||||||
UJV NOI allocable to COPT | 5,705 | 4,818 | 4,805 | ||||||||
NOI from real estate operations | 335,025 | 321,036 | 323,821 | ||||||||
Additions to long-lived assets | 76,350 | 74,742 | 73,341 | ||||||||
Transfers from non-operating properties | 226,001 | 166,143 | 202,211 | ||||||||
Real estate operations | Defense/Information Technology Locations | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 435,486 | 421,053 | 408,122 | ||||||||
Property operating expenses | 153,803 | 153,004 | 146,558 | ||||||||
UJV NOI allocable to COPT | 5,705 | 4,818 | 4,805 | ||||||||
NOI from real estate operations | 287,388 | 272,867 | 266,369 | ||||||||
Additions to long-lived assets | 54,404 | 53,676 | 44,352 | ||||||||
Transfers from non-operating properties | 227,013 | 163,839 | 202,185 | ||||||||
Real estate operations | Defense/Information Technology Locations | Fort Meade/BW Corridor | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 252,781 | 248,927 | 245,613 | ||||||||
Property operating expenses | 82,815 | 82,975 | 80,697 | ||||||||
NOI from real estate operations | 169,966 | 165,952 | 164,916 | ||||||||
Additions to long-lived assets | 34,618 | 38,612 | 26,659 | ||||||||
Transfers from non-operating properties | 18,606 | 35,648 | 43,370 | ||||||||
Real estate operations | Defense/Information Technology Locations | Northern Virginia Defense/IT | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 55,742 | 53,518 | 47,118 | ||||||||
Property operating expenses | 19,779 | 20,330 | 16,938 | ||||||||
NOI from real estate operations | 35,963 | 33,188 | 30,180 | ||||||||
Additions to long-lived assets | 9,326 | 7,956 | 8,115 | ||||||||
Transfers from non-operating properties | 4,548 | 10,231 | 48,328 | ||||||||
Real estate operations | Defense/Information Technology Locations | Lackland Air Force Base | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 51,140 | 46,286 | 47,209 | ||||||||
Property operating expenses | 29,042 | 26,888 | 27,812 | ||||||||
NOI from real estate operations | 22,098 | 19,398 | 19,397 | ||||||||
Additions to long-lived assets | 0 | 0 | 71 | ||||||||
Transfers from non-operating properties | 10,781 | 14,718 | 0 | ||||||||
Real estate operations | Defense/Information Technology Locations | Navy Support Locations | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 32,659 | 31,927 | 29,540 | ||||||||
Property operating expenses | 13,579 | 13,536 | 12,619 | ||||||||
NOI from real estate operations | 19,080 | 18,391 | 16,921 | ||||||||
Additions to long-lived assets | 8,912 | 6,535 | 8,451 | ||||||||
Transfers from non-operating properties | 0 | (116) | 474 | ||||||||
Real estate operations | Defense/Information Technology Locations | Redstone Arsenal | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 16,593 | 14,745 | 14,322 | ||||||||
Property operating expenses | 6,626 | 6,050 | 5,783 | ||||||||
NOI from real estate operations | 9,967 | 8,695 | 8,539 | ||||||||
Additions to long-lived assets | 1,548 | 573 | 1,056 | ||||||||
Transfers from non-operating properties | 33,606 | 4,167 | 2,159 | ||||||||
Real estate operations | Defense/Information Technology Locations | Data Center Shells | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 26,571 | 25,650 | 24,320 | ||||||||
Property operating expenses | 1,962 | 3,225 | 2,709 | ||||||||
UJV NOI allocable to COPT | 5,705 | 4,818 | 4,805 | ||||||||
NOI from real estate operations | 30,314 | 27,243 | 26,416 | ||||||||
Additions to long-lived assets | 0 | 0 | 0 | ||||||||
Transfers from non-operating properties | 159,472 | 99,191 | 107,854 | ||||||||
Real estate operations | Regional Office | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 59,611 | 61,181 | 68,262 | ||||||||
Property operating expenses | 29,682 | 30,253 | 28,982 | ||||||||
NOI from real estate operations | 29,929 | 30,928 | 39,280 | ||||||||
Additions to long-lived assets | 20,925 | 19,730 | 25,299 | ||||||||
Transfers from non-operating properties | 0 | 0 | 0 | ||||||||
Real estate operations | Operating Wholesale Data Center | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 29,405 | 31,892 | 28,875 | ||||||||
Property operating expenses | 13,213 | 16,342 | 13,551 | ||||||||
NOI from real estate operations | 16,192 | 15,550 | 15,324 | ||||||||
Additions to long-lived assets | 893 | 856 | 3,580 | ||||||||
Transfers from non-operating properties | (1,012) | 2,304 | 8 | ||||||||
Real estate operations | Other | |||||||||||
Segment financial information for real estate operations | |||||||||||
Revenues from real estate operations | 2,961 | 3,127 | 4,721 | ||||||||
Property operating expenses | 1,445 | 1,436 | 1,873 | ||||||||
NOI from real estate operations | 1,516 | 1,691 | 2,848 | ||||||||
Additions to long-lived assets | 128 | 480 | 110 | ||||||||
Transfers from non-operating properties | 0 | 0 | 18 | ||||||||
Real estate operations | Segment assets | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 3,024,958 | 3,084,862 | 3,024,958 | 3,084,862 | 3,028,005 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 2,426,019 | 2,468,727 | 2,426,019 | 2,468,727 | 2,398,989 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | Fort Meade/BW Corridor | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 1,280,656 | 1,279,571 | 1,280,656 | 1,279,571 | 1,263,567 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | Northern Virginia Defense/IT | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 396,914 | 399,339 | 396,914 | 399,339 | 402,076 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | Lackland Air Force Base | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 146,592 | 139,731 | 146,592 | 139,731 | 128,755 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | Navy Support Locations | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 184,257 | 188,911 | 184,257 | 188,911 | 194,476 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | Redstone Arsenal | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 138,501 | 108,010 | 138,501 | 108,010 | 108,119 | ||||||
Real estate operations | Segment assets | Defense/Information Technology Locations | Data Center Shells | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 279,099 | 353,165 | 279,099 | 353,165 | 301,996 | ||||||
Real estate operations | Segment assets | Regional Office | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 392,319 | 395,380 | 392,319 | 395,380 | 400,512 | ||||||
Real estate operations | Segment assets | Operating Wholesale Data Center | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | 202,935 | 216,640 | 202,935 | 216,640 | 224,422 | ||||||
Real estate operations | Segment assets | Other | |||||||||||
Segment financial information for real estate operations | |||||||||||
Segment assets | $ 3,685 | $ 4,115 | $ 3,685 | $ 4,115 | $ 4,082 |
Information by Business Segme_4
Information by Business Segment (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of segment revenues to total revenues | |||||||||||
Construction contract and other service revenues | $ 113,763 | $ 60,859 | $ 102,840 | ||||||||
Total revenues | $ 157,785 | $ 159,431 | $ 175,070 | $ 148,940 | $ 138,482 | $ 137,411 | $ 146,743 | $ 155,476 | 641,226 | 578,112 | 612,820 |
Reconciliation of Operatiing Income from Unconsolidated Joint Ventures to Equity Method Investments [Abstract] | |||||||||||
UJV NOI allocable to COPT | 5,705 | 4,818 | 4,805 | ||||||||
Less: Income from UJV allocable to COPT attributable to depreciation and amortization expense and interest expense | (4,065) | (3,314) | (3,310) | ||||||||
Add: Equity in (loss) income of unconsolidated non-real estate entities | (7) | 1,193 | (5) | ||||||||
Equity in income of unconsolidated entities | 1,633 | 2,697 | 1,490 | ||||||||
Computation of net operating income from service operations | |||||||||||
Construction contract and other service revenues | 113,763 | 60,859 | 102,840 | ||||||||
Construction contract and other service expenses | (109,962) | (58,326) | (99,618) | ||||||||
Real estate operations | |||||||||||
Reconciliation of segment revenues to total revenues | |||||||||||
Total revenues | 527,463 | 517,253 | 509,980 | ||||||||
Reconciliation of Operatiing Income from Unconsolidated Joint Ventures to Equity Method Investments [Abstract] | |||||||||||
UJV NOI allocable to COPT | 5,705 | 4,818 | 4,805 | ||||||||
Service operations | |||||||||||
Computation of net operating income from service operations | |||||||||||
NOI from service operations | $ 3,801 | $ 2,533 | $ 3,222 |
Information by Business Segme_5
Information by Business Segment (Details 3) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment financial information for real estate operations | |||
Interest and other income | $ 7,894 | $ 4,358 | $ 6,318 |
Gain on sales of real estate | 105,230 | 2,340 | 9,890 |
Equity in income of unconsolidated entities | 1,633 | 2,697 | 1,490 |
Income tax benefit (expense) | 217 | 363 | (1,098) |
Depreciation and other amortization associated with real estate operations | (137,069) | (137,116) | (134,228) |
Impairment losses | (329) | (2,367) | (15,123) |
General, administrative and leasing expenses | (35,402) | (28,900) | (30,837) |
Business development expenses and land carry costs | (4,239) | (5,840) | (6,213) |
Interest expense | (71,052) | (75,385) | (76,983) |
Less: UJV NOI allocable to COPT included in equity in income of unconsolidated entities | (5,705) | (4,818) | (4,805) |
Loss on early extinguishment of debt | 0 | 258 | 513 |
Net income | 200,004 | 78,643 | 74,941 |
Real estate operations | |||
Segment financial information for real estate operations | |||
NOI from real estate operations | 335,025 | 321,036 | 323,821 |
Less: UJV NOI allocable to COPT included in equity in income of unconsolidated entities | $ (5,705) | $ (4,818) | $ (4,805) |
Information by Business Segme_6
Information by Business Segment (Details 4) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Reconciliation of segment assets to total assets | ||
Total COPT consolidated assets | $ 3,854,453 | $ 3,656,005 |
Operating properties lease liabilities included in segment assets | 17,317 | |
Segment assets | ||
Reconciliation of segment assets to total assets | ||
Total COPT consolidated assets | 3,024,958 | 3,084,862 |
Operating properties lease liabilities included in segment assets | 17,317 | 0 |
Non-operating property assets | ||
Reconciliation of segment assets to total assets | ||
Total COPT consolidated assets | 621,630 | 410,671 |
Other assets | ||
Reconciliation of segment assets to total assets | ||
Total COPT consolidated assets | $ 190,548 | $ 160,472 |
Construction Contract and Oth_3
Construction Contract and Other Service Revenues (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | $ 113,763 | $ 60,859 | $ 102,840 |
Construction | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | 112,170 | 57,986 | 94,471 |
Design | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | 612 | 1,931 | 7,338 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | 981 | 942 | 1,031 |
GMP | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | 67,708 | 34,050 | 78,401 |
FFP | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | 10,688 | 20,327 | 22,607 |
Cost-plus fee | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | 34,386 | 5,540 | 801 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Construction contract and other service revenues | $ 981 | $ 942 | $ 1,031 |
Construction Contract and Oth_4
Construction Contract and Other Service Revenues (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Construction contract revenue | Revenue from Contract with Customer Benchmark | Concentration risk | United States Government | |||
Concentration Risk [Line Items] | |||
Percentage of revenue | 74.00% | 95.00% | 98.00% |
Construction Contract and Oth_5
Construction Contract and Other Service Revenues (Narrative 1) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Construction contract revenue | |||
Disaggregation of Revenue [Line Items] | |||
Performance obligations satisfied or already satisfied | $ 53 | $ 349 | $ 586 |
Construction Contract and Oth_6
Construction Contract and Other Service Revenues (Narrative 2) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligations | $ 79 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligations | $ 29 |
Disaggregation of Revenue [Line Items] | |
Expected timing | 1 year |
Construction Contract and Oth_7
Construction Contract and Other Service Revenues (Details 3) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Change in Accounts Receivable | ||
Beginning balance | $ 26,277 | |
Ending balance | 35,444 | $ 26,277 |
Construction contract revenue | ||
Change in Accounts Receivable | ||
Beginning balance | 6,701 | 4,577 |
Ending balance | 12,378 | 6,701 |
Change in Contract with Customer, Asset | ||
Beginning balance | 3,189 | 4,884 |
Ending balance | 17,223 | 3,189 |
Change in Contract with Customer, Liability | ||
Beginning balance | 568 | 27,402 |
Ending balance | 1,184 | 568 |
Portion of beginning balance recognized in revenue during the year | $ 446 | $ 27,296 |
Earnings Per Share ("EPS") an_3
Earnings Per Share ("EPS") and Earnings Per Unit (“EPU”) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||||
Numerator: | ||||||||||||||
Net income attributable to COPT/COPLP | $ 191,692 | $ 72,301 | $ 68,745 | |||||||||||
Preferred share/ unit dividends/ distributions | 0 | 0 | (6,219) | |||||||||||
Issuance costs associated with redeemed preferred shares | 0 | 0 | (6,847) | |||||||||||
Income attributable to share-based compensation awards | (656) | (462) | (449) | |||||||||||
Numerator for basic EPS on net income attributable to COPT/COPLP common shareholders/unitholders | 191,036 | 71,839 | 55,230 | |||||||||||
Redeemable noncontrolling interests | 132 | 0 | 0 | |||||||||||
Income attributable to share-based compensation awards | 33 | 0 | 0 | |||||||||||
Numerator for diluted EPS on net income attributable to COPT/COPLP common shareholders/unitholders | $ 191,201 | $ 71,839 | $ 55,230 | |||||||||||
Denominator (all weighted averages): | ||||||||||||||
Denominator for basic EPS (common shares/units) | 111,196 | 103,946 | 98,969 | |||||||||||
Dilutive effect of redeemable noncontrolling interests (common shares/units) | 119 | 0 | 0 | |||||||||||
Dilutive effect of share-based compensation awards (common shares/units) | 308 | 134 | 132 | |||||||||||
Dilutive effect of forward equity sale agreements (common shares/units) | 0 | 45 | 54 | |||||||||||
Denominator for diluted EPS (common shares/units) | 111,623 | 104,125 | 99,155 | |||||||||||
Basic earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.72 | [1] | $ 0.69 | [1] | $ 0.56 | [1] |
Diluted earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.71 | [1] | $ 0.69 | [1] | $ 0.56 | [1] |
Corporate Office Properties, L.P | ||||||||||||||
Numerator: | ||||||||||||||
Net income attributable to COPT/COPLP | $ 43,362 | $ 21,681 | $ 108,295 | $ 21,281 | $ 17,395 | $ 19,242 | $ 20,207 | $ 17,859 | $ 194,619 | $ 74,703 | $ 71,295 | |||
Preferred share/ unit dividends/ distributions | $ (77) | $ (157) | $ (165) | $ (165) | $ (165) | $ (165) | $ (165) | $ (165) | (564) | (660) | (6,879) | |||
Issuance costs associated with redeemed preferred shares | 0 | 0 | (6,847) | |||||||||||
Income attributable to share-based compensation awards | (785) | (462) | (449) | |||||||||||
Numerator for basic EPS on net income attributable to COPT/COPLP common shareholders/unitholders | 193,270 | 73,581 | 57,120 | |||||||||||
Redeemable noncontrolling interests | 132 | 0 | 0 | |||||||||||
Income attributable to share-based compensation awards | 33 | 0 | 0 | |||||||||||
Numerator for diluted EPS on net income attributable to COPT/COPLP common shareholders/unitholders | $ 193,435 | $ 73,581 | $ 57,120 | |||||||||||
Denominator (all weighted averages): | ||||||||||||||
Denominator for basic EPS (common shares/units) | 112,495 | 106,414 | 102,331 | |||||||||||
Dilutive effect of redeemable noncontrolling interests (common shares/units) | 119 | 0 | 0 | |||||||||||
Dilutive effect of share-based compensation awards (common shares/units) | 308 | 134 | 132 | |||||||||||
Dilutive effect of forward equity sale agreements (common shares/units) | 0 | 45 | 54 | |||||||||||
Denominator for diluted EPS (common shares/units) | 112,922 | 106,593 | 102,517 | |||||||||||
Basic earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.72 | [2] | $ 0.69 | [2] | $ 0.56 | [2] |
Diluted earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.71 | [2] | $ 0.69 | [2] | $ 0.56 | [2] |
[1] | Basic and diluted earnings per common share are calculated based on amounts attributable to common shareholders of Corporate Office Properties Trust. | |||||||||||||
[2] | Basic and diluted earnings per common unit are calculated based on amounts attributable to common unitholders of Corporate Office Properties, L.P. |
Earnings Per Share ("EPS") an_4
Earnings Per Share ("EPS") and Earnings Per Unit (“EPU”) (Details 2) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Conversion of common units | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 1,299,000 | 2,468,000 | 3,362,000 |
Conversion of redeemable noncontrolling interests | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 896,000 | 936,000 | 689,000 |
Conversion of Series I preferred units | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 176,000 | 176,000 | 176,000 |
Forward Equity Sale Agreement | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 376,000 | ||
Weighted average restricted shares/units and deferred share awards | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 441,000 | 452,000 | 433,000 |
Weighted average stock options | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 12,000 | 42,000 | 70,000 |
Unvested PIUs | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 51,000 | ||
Corporate Office Properties, L.P | Conversion of redeemable noncontrolling interests | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 896,000 | 936,000 | 689,000 |
Corporate Office Properties, L.P | Conversion of Series I preferred units | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 176,000 | 176,000 | 176,000 |
Corporate Office Properties, L.P | Weighted average restricted shares/units and deferred share awards | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 441,000 | 452,000 | 433,000 |
Corporate Office Properties, L.P | Weighted average stock options | |||
Antidilutive securities | |||
Weighted average antidilutive securities excluded from computation of diluted earnings per share (in shares/units) | 12,000 | 42,000 | 70,000 |
Commitments and Contingencies
Commitments and Contingencies (Details) $ in Millions | Dec. 31, 2019USD ($)property |
Commitments and Contingencies | |
Estimate of possible loss | $ 3 |
Environmental Indemnity Agreement | |
Number of lease properties which were provided environmental indemnifications | property | 3 |
Maximum environmental indemnification to the tenant against consequential damages after acquisition of property | $ 19 |
Development and Redevelopment Obligations | |
Environmental Indemnity Agreement | |
Contractual obligation | 200.7 |
Tenant and Other Capital Improvements | |
Environmental Indemnity Agreement | |
Contractual obligation | 58.8 |
Third Party Construction | |
Environmental Indemnity Agreement | |
Contractual obligation | 16.5 |
Other Obligations | |
Environmental Indemnity Agreement | |
Contractual obligation | 1.5 |
Payment Guarantee | Anne Arundel County, Maryland | Tax Incremental Financing Bond | |
Environmental Indemnity Agreement | |
Contractual obligation | $ 34 |
Quarterly Data (Unaudited) (Det
Quarterly Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||||
Quarterly Data [Line Items] | ||||||||||||||
Total revenues | $ 157,785 | $ 159,431 | $ 175,070 | $ 148,940 | $ 138,482 | $ 137,411 | $ 146,743 | $ 155,476 | $ 641,226 | $ 578,112 | $ 612,820 | |||
Net income | 44,877 | 23,246 | 109,563 | 22,318 | 18,456 | 20,322 | 21,085 | 18,780 | 200,004 | 78,643 | 74,941 | |||
Net income attributable to noncontrolling interests | (2,092) | (1,989) | (2,772) | (1,459) | (1,436) | (1,625) | (1,651) | (1,630) | ||||||
Net income attributable to COPT/COPLP | 191,692 | 72,301 | 68,745 | |||||||||||
Preferred unit distributions | 0 | 0 | (6,219) | |||||||||||
Net income attributable to COPT/COPLP common shareholders | $ 42,785 | $ 21,257 | $ 106,791 | $ 20,859 | $ 17,020 | $ 18,697 | $ 19,434 | $ 17,150 | $ 191,692 | $ 72,301 | $ 55,679 | |||
Basic earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.72 | [1] | $ 0.69 | [1] | $ 0.56 | [1] |
Diluted earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.71 | [1] | $ 0.69 | [1] | $ 0.56 | [1] |
Corporate Office Properties, L.P | ||||||||||||||
Quarterly Data [Line Items] | ||||||||||||||
Total revenues | $ 157,785 | $ 159,431 | $ 175,070 | $ 148,940 | $ 138,482 | $ 137,411 | $ 146,743 | $ 155,476 | $ 641,226 | $ 578,112 | $ 612,820 | |||
Net income | 44,877 | 23,246 | 109,563 | 22,318 | 18,456 | 20,322 | 21,085 | 18,780 | 200,004 | 78,643 | 74,941 | |||
Net income attributable to noncontrolling interests | (1,515) | (1,565) | (1,268) | (1,037) | (1,061) | (1,080) | (878) | (921) | (5,385) | (3,940) | (3,646) | |||
Net income attributable to COPT/COPLP | 43,362 | 21,681 | 108,295 | 21,281 | 17,395 | 19,242 | 20,207 | 17,859 | 194,619 | 74,703 | 71,295 | |||
Preferred unit distributions | (77) | (157) | (165) | (165) | (165) | (165) | (165) | (165) | (564) | (660) | (6,879) | |||
Net income attributable to COPT/COPLP common shareholders | $ 43,285 | $ 21,524 | $ 108,130 | $ 21,116 | $ 17,230 | $ 19,077 | $ 20,042 | $ 17,694 | $ 194,055 | $ 74,043 | $ 57,569 | |||
Basic earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.72 | [2] | $ 0.69 | [2] | $ 0.56 | [2] |
Diluted earnings per common share/unit (in dollars per share/unit) | $ 0.38 | $ 0.19 | $ 0.95 | $ 0.19 | $ 0.16 | $ 0.18 | $ 0.19 | $ 0.17 | $ 1.71 | [2] | $ 0.69 | [2] | $ 0.56 | [2] |
[1] | Basic and diluted earnings per common share are calculated based on amounts attributable to common shareholders of Corporate Office Properties Trust. | |||||||||||||
[2] | Basic and diluted earnings per common unit are calculated based on amounts attributable to common unitholders of Corporate Office Properties, L.P. |
Schedule III - Real Estate an_2
Schedule III - Real Estate and Accumulated Depreciation (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Real Estate and Accumulated Depreciation | ||||
Encumbrances | $ 214,546 | |||
Initial Cost | ||||
Land | 735,948 | |||
Building and Land Improvements | 3,124,706 | |||
Costs Capitalized Subsequent to Acquisition | 487,352 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 735,948 | |||
Building and Land Improvements | 3,612,058 | |||
Total | 4,348,006 | $ 4,148,529 | $ 3,980,813 | $ 3,874,715 |
Accumulated Depreciation | (1,007,120) | (897,903) | $ (801,038) | $ (715,951) |
Additional information | ||||
Debt, net | 1,831,139 | 1,823,909 | ||
Net discounts and deferred financing costs | 11,700 | |||
Aggregate cost of assets for federal income tax purposes | $ 3,400,000 | |||
Buildings improvements | Minimum | ||||
Additional information | ||||
Estimated lives over which depreciation is recognized | 10 years | |||
Buildings improvements | Maximum | ||||
Additional information | ||||
Estimated lives over which depreciation is recognized | 40 years | |||
Revolving Credit Facility | ||||
Additional information | ||||
Debt, net | $ 177,000 | 213,000 | ||
Term Loan Facilities | ||||
Additional information | ||||
Debt, net | 248,706 | $ 248,273 | ||
Unsecured Senior Notes | ||||
Additional information | ||||
Debt, net | 1,200,000 | |||
Unsecured notes payable | ||||
Additional information | ||||
Debt, net | 1,000 | |||
Fixed rate mortgage loans | ||||
Additional information | ||||
Net discounts and deferred financing costs | 3,100 | |||
100 Light Street | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 47,529 | |||
Initial Cost | ||||
Land | 26,715 | |||
Building and Land Improvements | 59,177 | |||
Costs Capitalized Subsequent to Acquisition | 12,989 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 26,715 | |||
Building and Land Improvements | 72,166 | |||
Total | 98,881 | |||
Accumulated Depreciation | (16,790) | |||
100 Secured Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 25,763 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 25,763 | |||
Total | 25,763 | |||
1000 Redstone Gateway | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 10,035 | |||
Initial Cost | ||||
Building and Land Improvements | 20,533 | |||
Costs Capitalized Subsequent to Acquisition | 5 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 20,538 | |||
Total | 20,538 | |||
Accumulated Depreciation | (3,492) | |||
1100 Redstone Gateway | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 10,598 | |||
Initial Cost | ||||
Building and Land Improvements | 19,593 | |||
Costs Capitalized Subsequent to Acquisition | 6 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 19,599 | |||
Total | 19,599 | |||
Accumulated Depreciation | (2,926) | |||
114 National Business Parkway | ||||
Initial Cost | ||||
Land | 364 | |||
Building and Land Improvements | 3,109 | |||
Costs Capitalized Subsequent to Acquisition | 223 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 364 | |||
Building and Land Improvements | 3,332 | |||
Total | 3,696 | |||
Accumulated Depreciation | (1,491) | |||
1200 Redstone Gateway | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 12,242 | |||
Initial Cost | ||||
Building and Land Improvements | 22,389 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 22,389 | |||
Total | 22,389 | |||
Accumulated Depreciation | (3,384) | |||
1201 M Street | ||||
Initial Cost | ||||
Building and Land Improvements | 49,785 | |||
Costs Capitalized Subsequent to Acquisition | 8,879 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 58,664 | |||
Total | 58,664 | |||
Accumulated Depreciation | (16,924) | |||
1201 Winterson Road | ||||
Initial Cost | ||||
Land | 2,130 | |||
Building and Land Improvements | 17,007 | |||
Costs Capitalized Subsequent to Acquisition | 669 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,130 | |||
Building and Land Improvements | 17,676 | |||
Total | 19,806 | |||
Accumulated Depreciation | (5,073) | |||
1220 12th Street, SE | ||||
Initial Cost | ||||
Building and Land Improvements | 42,464 | |||
Costs Capitalized Subsequent to Acquisition | 8,093 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 50,557 | |||
Total | 50,557 | |||
Accumulated Depreciation | (15,746) | |||
1243 Winterson Road | ||||
Initial Cost | ||||
Land | 630 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 630 | |||
Total | 630 | |||
131 National Business Parkway | ||||
Initial Cost | ||||
Land | 1,906 | |||
Building and Land Improvements | 7,623 | |||
Costs Capitalized Subsequent to Acquisition | 4,120 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,906 | |||
Building and Land Improvements | 11,743 | |||
Total | 13,649 | |||
Accumulated Depreciation | (7,074) | |||
132 National Business Parkway | ||||
Initial Cost | ||||
Land | 2,917 | |||
Building and Land Improvements | 12,259 | |||
Costs Capitalized Subsequent to Acquisition | 4,669 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,917 | |||
Building and Land Improvements | 16,928 | |||
Total | 19,845 | |||
Accumulated Depreciation | (9,958) | |||
133 National Business Parkway | ||||
Initial Cost | ||||
Land | 2,517 | |||
Building and Land Improvements | 10,068 | |||
Costs Capitalized Subsequent to Acquisition | 5,607 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,517 | |||
Building and Land Improvements | 15,675 | |||
Total | 18,192 | |||
Accumulated Depreciation | (10,005) | |||
134 National Business Parkway | ||||
Initial Cost | ||||
Land | 3,684 | |||
Building and Land Improvements | 7,517 | |||
Costs Capitalized Subsequent to Acquisition | 4,952 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,684 | |||
Building and Land Improvements | 12,469 | |||
Total | 16,153 | |||
Accumulated Depreciation | (6,727) | |||
1340 Ashton Road | ||||
Initial Cost | ||||
Land | 905 | |||
Building and Land Improvements | 3,620 | |||
Costs Capitalized Subsequent to Acquisition | 1,821 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 905 | |||
Building and Land Improvements | 5,441 | |||
Total | 6,346 | |||
Accumulated Depreciation | (3,100) | |||
13450 Sunrise Valley Road | ||||
Initial Cost | ||||
Land | 1,386 | |||
Building and Land Improvements | 5,576 | |||
Costs Capitalized Subsequent to Acquisition | 4,591 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,386 | |||
Building and Land Improvements | 10,167 | |||
Total | 11,553 | |||
Accumulated Depreciation | (5,741) | |||
13454 Sunrise Valley Road | ||||
Initial Cost | ||||
Land | 2,847 | |||
Building and Land Improvements | 11,986 | |||
Costs Capitalized Subsequent to Acquisition | 8,670 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,847 | |||
Building and Land Improvements | 20,656 | |||
Total | 23,503 | |||
Accumulated Depreciation | (11,121) | |||
135 National Business Parkway | ||||
Initial Cost | ||||
Land | 2,484 | |||
Building and Land Improvements | 9,750 | |||
Costs Capitalized Subsequent to Acquisition | 6,196 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,484 | |||
Building and Land Improvements | 15,946 | |||
Total | 18,430 | |||
Accumulated Depreciation | (9,584) | |||
1362 Mellon Road | ||||
Initial Cost | ||||
Land | 950 | |||
Building and Land Improvements | 3,864 | |||
Costs Capitalized Subsequent to Acquisition | 271 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 950 | |||
Building and Land Improvements | 4,135 | |||
Total | 5,085 | |||
Accumulated Depreciation | (578) | |||
13857 McLearen Road | ||||
Initial Cost | ||||
Land | 3,507 | |||
Building and Land Improvements | 30,177 | |||
Costs Capitalized Subsequent to Acquisition | 4,142 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,507 | |||
Building and Land Improvements | 34,319 | |||
Total | 37,826 | |||
Accumulated Depreciation | (11,745) | |||
140 National Business Parkway | ||||
Initial Cost | ||||
Land | 3,407 | |||
Building and Land Improvements | 24,167 | |||
Costs Capitalized Subsequent to Acquisition | 1,734 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,407 | |||
Building and Land Improvements | 25,901 | |||
Total | 29,308 | |||
Accumulated Depreciation | (10,247) | |||
141 National Business Parkway | ||||
Initial Cost | ||||
Land | 2,398 | |||
Building and Land Improvements | 9,538 | |||
Costs Capitalized Subsequent to Acquisition | 4,828 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,398 | |||
Building and Land Improvements | 14,366 | |||
Total | 16,764 | |||
Accumulated Depreciation | (8,605) | |||
14280 Park Meadow Drive | ||||
Initial Cost | ||||
Land | 3,731 | |||
Building and Land Improvements | 15,953 | |||
Costs Capitalized Subsequent to Acquisition | 4,809 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,731 | |||
Building and Land Improvements | 20,762 | |||
Total | 24,493 | |||
Accumulated Depreciation | (8,630) | |||
1460 Dorsey Road | ||||
Initial Cost | ||||
Land | 1,577 | |||
Building and Land Improvements | 75 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,577 | |||
Building and Land Improvements | 75 | |||
Total | 1,652 | |||
14840 Conference Center Drive | ||||
Initial Cost | ||||
Land | 1,572 | |||
Building and Land Improvements | 8,175 | |||
Costs Capitalized Subsequent to Acquisition | 5,060 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,572 | |||
Building and Land Improvements | 13,235 | |||
Total | 14,807 | |||
Accumulated Depreciation | (6,626) | |||
14850 Conference Center Drive | ||||
Initial Cost | ||||
Land | 1,615 | |||
Building and Land Improvements | 8,358 | |||
Costs Capitalized Subsequent to Acquisition | 3,781 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,615 | |||
Building and Land Improvements | 12,139 | |||
Total | 13,754 | |||
Accumulated Depreciation | (6,788) | |||
14900 Conference Center Drive | ||||
Initial Cost | ||||
Land | 3,436 | |||
Building and Land Improvements | 14,402 | |||
Costs Capitalized Subsequent to Acquisition | 7,880 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,436 | |||
Building and Land Improvements | 22,282 | |||
Total | 25,718 | |||
Accumulated Depreciation | (12,059) | |||
1501 South Clinton Street | ||||
Initial Cost | ||||
Land | 27,964 | |||
Building and Land Improvements | 51,990 | |||
Costs Capitalized Subsequent to Acquisition | 18,470 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 27,964 | |||
Building and Land Improvements | 70,460 | |||
Total | 98,424 | |||
Accumulated Depreciation | (25,079) | |||
15049 Conference Center Drive | ||||
Initial Cost | ||||
Land | 4,415 | |||
Building and Land Improvements | 20,365 | |||
Costs Capitalized Subsequent to Acquisition | 16,525 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 4,415 | |||
Building and Land Improvements | 36,890 | |||
Total | 41,305 | |||
Accumulated Depreciation | (15,930) | |||
15059 Conference Center Drive | ||||
Initial Cost | ||||
Land | 5,753 | |||
Building and Land Improvements | 13,615 | |||
Costs Capitalized Subsequent to Acquisition | 4,190 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 5,753 | |||
Building and Land Improvements | 17,805 | |||
Total | 23,558 | |||
Accumulated Depreciation | (9,374) | |||
1550 West Nursery Road | ||||
Initial Cost | ||||
Land | 14,071 | |||
Building and Land Improvements | 16,930 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 14,071 | |||
Building and Land Improvements | 16,930 | |||
Total | 31,001 | |||
Accumulated Depreciation | (5,942) | |||
1560 West Nursery Road | ||||
Initial Cost | ||||
Land | 1,441 | |||
Building and Land Improvements | 113 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,441 | |||
Building and Land Improvements | 113 | |||
Total | 1,554 | |||
Accumulated Depreciation | (16) | |||
1610 West Nursery Road | ||||
Initial Cost | ||||
Land | 259 | |||
Building and Land Improvements | 246 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 259 | |||
Building and Land Improvements | 246 | |||
Total | 505 | |||
Accumulated Depreciation | (17) | |||
1616 West Nursery Road | ||||
Initial Cost | ||||
Land | 393 | |||
Building and Land Improvements | 3,323 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 393 | |||
Building and Land Improvements | 3,323 | |||
Total | 3,716 | |||
Accumulated Depreciation | (183) | |||
1622 West Nursery Road | ||||
Initial Cost | ||||
Land | 393 | |||
Building and Land Improvements | 2,542 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 393 | |||
Building and Land Improvements | 2,542 | |||
Total | 2,935 | |||
Accumulated Depreciation | (180) | |||
16442 Commerce Drive | ||||
Initial Cost | ||||
Land | 613 | |||
Building and Land Improvements | 2,582 | |||
Costs Capitalized Subsequent to Acquisition | 960 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 613 | |||
Building and Land Improvements | 3,542 | |||
Total | 4,155 | |||
Accumulated Depreciation | (1,735) | |||
16480 Commerce Drive | ||||
Initial Cost | ||||
Land | 1,856 | |||
Building and Land Improvements | 7,425 | |||
Costs Capitalized Subsequent to Acquisition | 1,894 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,856 | |||
Building and Land Improvements | 9,319 | |||
Total | 11,175 | |||
Accumulated Depreciation | (3,928) | |||
16501 Commerce Drive | ||||
Initial Cost | ||||
Land | 522 | |||
Building and Land Improvements | 2,090 | |||
Costs Capitalized Subsequent to Acquisition | 1,033 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 522 | |||
Building and Land Improvements | 3,123 | |||
Total | 3,645 | |||
Accumulated Depreciation | (1,255) | |||
16539 Commerce Drive | ||||
Initial Cost | ||||
Land | 688 | |||
Building and Land Improvements | 2,860 | |||
Costs Capitalized Subsequent to Acquisition | 2,188 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 688 | |||
Building and Land Improvements | 5,048 | |||
Total | 5,736 | |||
Accumulated Depreciation | (2,692) | |||
16541 Commerce Drive | ||||
Initial Cost | ||||
Land | 773 | |||
Building and Land Improvements | 3,094 | |||
Costs Capitalized Subsequent to Acquisition | 2,367 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 773 | |||
Building and Land Improvements | 5,461 | |||
Total | 6,234 | |||
Accumulated Depreciation | (2,408) | |||
16543 Commerce Drive | ||||
Initial Cost | ||||
Land | 436 | |||
Building and Land Improvements | 1,742 | |||
Costs Capitalized Subsequent to Acquisition | 802 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 436 | |||
Building and Land Improvements | 2,544 | |||
Total | 2,980 | |||
Accumulated Depreciation | (1,131) | |||
1751 Pinnacle Drive | ||||
Initial Cost | ||||
Land | 10,486 | |||
Building and Land Improvements | 42,339 | |||
Costs Capitalized Subsequent to Acquisition | 33,115 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 10,486 | |||
Building and Land Improvements | 75,454 | |||
Total | 85,940 | |||
Accumulated Depreciation | (35,552) | |||
1753 Pinnacle Drive | ||||
Initial Cost | ||||
Land | 8,275 | |||
Building and Land Improvements | 34,353 | |||
Costs Capitalized Subsequent to Acquisition | 22,407 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 8,275 | |||
Building and Land Improvements | 56,760 | |||
Total | 65,035 | |||
Accumulated Depreciation | (22,899) | |||
206 Research Boulevard | ||||
Initial Cost | ||||
Land | 0 | |||
Building and Land Improvements | 0 | |||
Costs Capitalized Subsequent to Acquisition | 0 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 0 | |||
Building and Land Improvements | 0 | |||
Total | 0 | |||
Accumulated Depreciation | 0 | |||
209 Research Boulevard | ||||
Initial Cost | ||||
Land | 134 | |||
Building and Land Improvements | 1,711 | |||
Costs Capitalized Subsequent to Acquisition | 276 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 134 | |||
Building and Land Improvements | 1,987 | |||
Total | 2,121 | |||
Accumulated Depreciation | (487) | |||
210 Research Boulevard | ||||
Initial Cost | ||||
Land | 113 | |||
Building and Land Improvements | 1,402 | |||
Costs Capitalized Subsequent to Acquisition | 204 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 113 | |||
Building and Land Improvements | 1,606 | |||
Total | 1,719 | |||
Accumulated Depreciation | (400) | |||
2100 L Street | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 47,068 | |||
Initial Cost | ||||
Land | 19,024 | |||
Building and Land Improvements | 60,822 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 19,024 | |||
Building and Land Improvements | 60,822 | |||
Total | 79,846 | |||
2100 Rideout Road | ||||
Initial Cost | ||||
Land | 0 | |||
Building and Land Improvements | 6,951 | |||
Costs Capitalized Subsequent to Acquisition | 2,881 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 0 | |||
Building and Land Improvements | 9,832 | |||
Total | 9,832 | |||
Accumulated Depreciation | (1,304) | |||
22289 Exploration Drive | ||||
Initial Cost | ||||
Land | 1,422 | |||
Building and Land Improvements | 5,719 | |||
Costs Capitalized Subsequent to Acquisition | 1,924 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,422 | |||
Building and Land Improvements | 7,643 | |||
Total | 9,065 | |||
Accumulated Depreciation | (3,869) | |||
22299 Exploration Drive | ||||
Initial Cost | ||||
Land | 1,362 | |||
Building and Land Improvements | 5,791 | |||
Costs Capitalized Subsequent to Acquisition | 2,911 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,362 | |||
Building and Land Improvements | 8,702 | |||
Total | 10,064 | |||
Accumulated Depreciation | (4,357) | |||
22300 Exploration Drive | ||||
Initial Cost | ||||
Land | 1,094 | |||
Building and Land Improvements | 5,038 | |||
Costs Capitalized Subsequent to Acquisition | 2,729 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,094 | |||
Building and Land Improvements | 7,767 | |||
Total | 8,861 | |||
Accumulated Depreciation | (3,115) | |||
22309 Exploration Drive | ||||
Initial Cost | ||||
Land | 2,243 | |||
Building and Land Improvements | 10,419 | |||
Costs Capitalized Subsequent to Acquisition | 7,986 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,243 | |||
Building and Land Improvements | 18,405 | |||
Total | 20,648 | |||
Accumulated Depreciation | (7,511) | |||
23535 Cottonwood Parkway | ||||
Initial Cost | ||||
Land | 692 | |||
Building and Land Improvements | 3,051 | |||
Costs Capitalized Subsequent to Acquisition | 648 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 692 | |||
Building and Land Improvements | 3,699 | |||
Total | 4,391 | |||
Accumulated Depreciation | (1,861) | |||
250 W Pratt St | ||||
Initial Cost | ||||
Land | 8,057 | |||
Building and Land Improvements | 34,588 | |||
Costs Capitalized Subsequent to Acquisition | 14,833 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 8,057 | |||
Building and Land Improvements | 49,421 | |||
Total | 57,478 | |||
Accumulated Depreciation | (12,629) | |||
2500 Riva Road | ||||
Initial Cost | ||||
Land | 2,791 | |||
Building and Land Improvements | 12,146 | |||
Costs Capitalized Subsequent to Acquisition | 1 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,791 | |||
Building and Land Improvements | 12,147 | |||
Total | 14,938 | |||
Accumulated Depreciation | (12,146) | |||
2600 Park Tower Drive | ||||
Initial Cost | ||||
Land | 20,293 | |||
Building and Land Improvements | 34,443 | |||
Costs Capitalized Subsequent to Acquisition | 1,859 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 20,293 | |||
Building and Land Improvements | 36,302 | |||
Total | 56,595 | |||
Accumulated Depreciation | (5,932) | |||
2691 Technology Drive | ||||
Initial Cost | ||||
Land | 2,098 | |||
Building and Land Improvements | 17,334 | |||
Costs Capitalized Subsequent to Acquisition | 5,565 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,098 | |||
Building and Land Improvements | 22,899 | |||
Total | 24,997 | |||
Accumulated Depreciation | (11,271) | |||
2701 Technology Drive | ||||
Initial Cost | ||||
Land | 1,737 | |||
Building and Land Improvements | 15,266 | |||
Costs Capitalized Subsequent to Acquisition | 5,530 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,737 | |||
Building and Land Improvements | 20,796 | |||
Total | 22,533 | |||
Accumulated Depreciation | (11,505) | |||
2711 Technology Drive | ||||
Initial Cost | ||||
Land | 2,251 | |||
Building and Land Improvements | 21,611 | |||
Costs Capitalized Subsequent to Acquisition | 2,847 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,251 | |||
Building and Land Improvements | 24,458 | |||
Total | 26,709 | |||
Accumulated Depreciation | (12,920) | |||
2720 Technology Drive | ||||
Initial Cost | ||||
Land | 3,863 | |||
Building and Land Improvements | 29,272 | |||
Costs Capitalized Subsequent to Acquisition | 2,167 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,863 | |||
Building and Land Improvements | 31,439 | |||
Total | 35,302 | |||
Accumulated Depreciation | (12,354) | |||
2721 Technology Drive | ||||
Initial Cost | ||||
Land | 4,611 | |||
Building and Land Improvements | 14,597 | |||
Costs Capitalized Subsequent to Acquisition | 3,205 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 4,611 | |||
Building and Land Improvements | 17,802 | |||
Total | 22,413 | |||
Accumulated Depreciation | (9,741) | |||
2730 Hercules Road | ||||
Initial Cost | ||||
Land | 8,737 | |||
Building and Land Improvements | 31,612 | |||
Costs Capitalized Subsequent to Acquisition | 8,709 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 8,737 | |||
Building and Land Improvements | 40,321 | |||
Total | 49,058 | |||
Accumulated Depreciation | (21,502) | |||
30 Light Street | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 3,998 | |||
Initial Cost | ||||
Land | 0 | |||
Building and Land Improvements | 12,101 | |||
Costs Capitalized Subsequent to Acquisition | 867 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 0 | |||
Building and Land Improvements | 12,968 | |||
Total | 12,968 | |||
Accumulated Depreciation | (1,503) | |||
300 Sentinel Drive | ||||
Initial Cost | ||||
Land | 1,517 | |||
Building and Land Improvements | 59,165 | |||
Costs Capitalized Subsequent to Acquisition | 1,756 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,517 | |||
Building and Land Improvements | 60,921 | |||
Total | 62,438 | |||
Accumulated Depreciation | (14,803) | |||
302 Sentinel Drive | ||||
Initial Cost | ||||
Land | 2,648 | |||
Building and Land Improvements | 29,687 | |||
Costs Capitalized Subsequent to Acquisition | 901 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,648 | |||
Building and Land Improvements | 30,588 | |||
Total | 33,236 | |||
Accumulated Depreciation | (9,224) | |||
304 Sentinel Drive | ||||
Initial Cost | ||||
Land | 3,411 | |||
Building and Land Improvements | 24,917 | |||
Costs Capitalized Subsequent to Acquisition | 1,966 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,411 | |||
Building and Land Improvements | 26,883 | |||
Total | 30,294 | |||
Accumulated Depreciation | (9,807) | |||
306 Sentinel Drive | ||||
Initial Cost | ||||
Land | 3,260 | |||
Building and Land Improvements | 22,592 | |||
Costs Capitalized Subsequent to Acquisition | 2,487 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,260 | |||
Building and Land Improvements | 25,079 | |||
Total | 28,339 | |||
Accumulated Depreciation | (8,174) | |||
308 Sentinel Drive | ||||
Initial Cost | ||||
Land | 1,422 | |||
Building and Land Improvements | 26,208 | |||
Costs Capitalized Subsequent to Acquisition | 2,354 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,422 | |||
Building and Land Improvements | 28,562 | |||
Total | 29,984 | |||
Accumulated Depreciation | (6,123) | |||
310 Sentinel Way | ||||
Initial Cost | ||||
Land | 2,372 | |||
Building and Land Improvements | 41,160 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,372 | |||
Building and Land Improvements | 41,160 | |||
Total | 43,532 | |||
Accumulated Depreciation | (3,968) | |||
310 The Bridge Street | ||||
Initial Cost | ||||
Land | 261 | |||
Building and Land Improvements | 26,531 | |||
Costs Capitalized Subsequent to Acquisition | 4,916 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 261 | |||
Building and Land Improvements | 31,447 | |||
Total | 31,708 | |||
Accumulated Depreciation | (9,962) | |||
312 Sentinel Way | ||||
Initial Cost | ||||
Land | 3,138 | |||
Building and Land Improvements | 27,797 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,138 | |||
Building and Land Improvements | 27,797 | |||
Total | 30,935 | |||
Accumulated Depreciation | (3,694) | |||
314 Sentinel Way | ||||
Initial Cost | ||||
Land | 1,254 | |||
Building and Land Improvements | 7,741 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,254 | |||
Building and Land Improvements | 7,741 | |||
Total | 8,995 | |||
Accumulated Depreciation | (1,014) | |||
316 Sentinel Way | ||||
Initial Cost | ||||
Land | 2,748 | |||
Building and Land Improvements | 38,156 | |||
Costs Capitalized Subsequent to Acquisition | 157 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,748 | |||
Building and Land Improvements | 38,313 | |||
Total | 41,061 | |||
Accumulated Depreciation | (7,446) | |||
318 Sentinel Way | ||||
Initial Cost | ||||
Land | 2,185 | |||
Building and Land Improvements | 28,426 | |||
Costs Capitalized Subsequent to Acquisition | 560 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,185 | |||
Building and Land Improvements | 28,986 | |||
Total | 31,171 | |||
Accumulated Depreciation | (9,949) | |||
320 Sentinel Way | ||||
Initial Cost | ||||
Land | 2,067 | |||
Building and Land Improvements | 21,623 | |||
Costs Capitalized Subsequent to Acquisition | 65 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,067 | |||
Building and Land Improvements | 21,688 | |||
Total | 23,755 | |||
Accumulated Depreciation | (6,482) | |||
322 Sentinel Way | ||||
Initial Cost | ||||
Land | 2,605 | |||
Building and Land Improvements | 22,827 | |||
Costs Capitalized Subsequent to Acquisition | 1,900 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,605 | |||
Building and Land Improvements | 24,727 | |||
Total | 27,332 | |||
Accumulated Depreciation | (7,808) | |||
324 Sentinel Way | ||||
Initial Cost | ||||
Land | 1,656 | |||
Building and Land Improvements | 23,018 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,656 | |||
Building and Land Improvements | 23,018 | |||
Total | 24,674 | |||
Accumulated Depreciation | (5,380) | |||
4000 Market Street | ||||
Initial Cost | ||||
Building and Land Improvements | 9,187 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 9,187 | |||
Total | 9,187 | |||
Accumulated Depreciation | (162) | |||
410 National Business Parkway | ||||
Initial Cost | ||||
Land | 1,831 | |||
Building and Land Improvements | 23,257 | |||
Costs Capitalized Subsequent to Acquisition | 1,705 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,831 | |||
Building and Land Improvements | 24,962 | |||
Total | 26,793 | |||
Accumulated Depreciation | (4,101) | |||
4100 Market Street | ||||
Initial Cost | ||||
Building and Land Improvements | 7,998 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 7,998 | |||
Total | 7,998 | |||
Accumulated Depreciation | (102) | |||
420 National Business Parkway | ||||
Initial Cost | ||||
Land | 2,370 | |||
Building and Land Improvements | 27,751 | |||
Costs Capitalized Subsequent to Acquisition | 132 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,370 | |||
Building and Land Improvements | 27,883 | |||
Total | 30,253 | |||
Accumulated Depreciation | (4,046) | |||
430 National Business Parkway | ||||
Initial Cost | ||||
Land | 1,852 | |||
Building and Land Improvements | 21,563 | |||
Costs Capitalized Subsequent to Acquisition | 396 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,852 | |||
Building and Land Improvements | 21,959 | |||
Total | 23,811 | |||
Accumulated Depreciation | (4,265) | |||
44408 Pecan Court | ||||
Initial Cost | ||||
Land | 817 | |||
Building and Land Improvements | 1,583 | |||
Costs Capitalized Subsequent to Acquisition | 1,706 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 817 | |||
Building and Land Improvements | 3,289 | |||
Total | 4,106 | |||
Accumulated Depreciation | (1,374) | |||
44414 Pecan Court | ||||
Initial Cost | ||||
Land | 405 | |||
Building and Land Improvements | 1,619 | |||
Costs Capitalized Subsequent to Acquisition | 1,071 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 405 | |||
Building and Land Improvements | 2,690 | |||
Total | 3,095 | |||
Accumulated Depreciation | (1,328) | |||
44417 Pecan Court | ||||
Initial Cost | ||||
Land | 434 | |||
Building and Land Improvements | 3,822 | |||
Costs Capitalized Subsequent to Acquisition | 180 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 434 | |||
Building and Land Improvements | 4,002 | |||
Total | 4,436 | |||
Accumulated Depreciation | (1,815) | |||
44420 Pecan Court | ||||
Initial Cost | ||||
Land | 344 | |||
Building and Land Improvements | 890 | |||
Costs Capitalized Subsequent to Acquisition | 291 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 344 | |||
Building and Land Improvements | 1,181 | |||
Total | 1,525 | |||
Accumulated Depreciation | (486) | |||
44425 Pecan Court | ||||
Initial Cost | ||||
Land | 1,309 | |||
Building and Land Improvements | 3,506 | |||
Costs Capitalized Subsequent to Acquisition | 2,217 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,309 | |||
Building and Land Improvements | 5,723 | |||
Total | 7,032 | |||
Accumulated Depreciation | (3,068) | |||
45310 Abell House Lane | ||||
Initial Cost | ||||
Land | 2,272 | |||
Building and Land Improvements | 13,808 | |||
Costs Capitalized Subsequent to Acquisition | 533 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,272 | |||
Building and Land Improvements | 14,341 | |||
Total | 16,613 | |||
Accumulated Depreciation | (2,848) | |||
4600 River Road | ||||
Initial Cost | ||||
Land | 30 | |||
Building and Land Improvements | 8,345 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 30 | |||
Building and Land Improvements | 8,345 | |||
Total | 8,375 | |||
46579 Expedition Drive | ||||
Initial Cost | ||||
Land | 1,406 | |||
Building and Land Improvements | 5,796 | |||
Costs Capitalized Subsequent to Acquisition | 2,145 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,406 | |||
Building and Land Improvements | 7,941 | |||
Total | 9,347 | |||
Accumulated Depreciation | (3,931) | |||
46591 Expedition Drive | ||||
Initial Cost | ||||
Land | 1,200 | |||
Building and Land Improvements | 7,199 | |||
Costs Capitalized Subsequent to Acquisition | 2,112 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,200 | |||
Building and Land Improvements | 9,311 | |||
Total | 10,511 | |||
Accumulated Depreciation | (3,443) | |||
4851 Stonecroft Boulevard | ||||
Initial Cost | ||||
Land | 1,878 | |||
Building and Land Improvements | 11,558 | |||
Costs Capitalized Subsequent to Acquisition | 38 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,878 | |||
Building and Land Improvements | 11,596 | |||
Total | 13,474 | |||
Accumulated Depreciation | (4,407) | |||
540 National Business Parkway | ||||
Initial Cost | ||||
Land | 2,035 | |||
Building and Land Improvements | 31,249 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,035 | |||
Building and Land Improvements | 31,249 | |||
Total | 33,284 | |||
Accumulated Depreciation | (1,723) | |||
5520 Research Park Drive | ||||
Initial Cost | ||||
Building and Land Improvements | 20,072 | |||
Costs Capitalized Subsequent to Acquisition | 1,530 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 21,602 | |||
Total | 21,602 | |||
Accumulated Depreciation | (5,549) | |||
5522 Research Park Drive | ||||
Initial Cost | ||||
Building and Land Improvements | 4,550 | |||
Costs Capitalized Subsequent to Acquisition | 836 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 5,386 | |||
Total | 5,386 | |||
Accumulated Depreciation | (1,456) | |||
5801 University Research Court | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 11,200 | |||
Initial Cost | ||||
Building and Land Improvements | 17,429 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 17,429 | |||
Total | 17,429 | |||
Accumulated Depreciation | (706) | |||
5825 University Research Court | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 20,450 | |||
Initial Cost | ||||
Building and Land Improvements | 22,771 | |||
Costs Capitalized Subsequent to Acquisition | 1,329 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 24,100 | |||
Total | 24,100 | |||
Accumulated Depreciation | (6,399) | |||
5850 University Research Court | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 21,636 | |||
Initial Cost | ||||
Building and Land Improvements | 31,906 | |||
Costs Capitalized Subsequent to Acquisition | 405 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 32,311 | |||
Total | 32,311 | |||
Accumulated Depreciation | (8,025) | |||
6000 Redstone Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 508 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 508 | |||
Total | 508 | |||
6700 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 1,755 | |||
Building and Land Improvements | 7,019 | |||
Costs Capitalized Subsequent to Acquisition | 8,186 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,755 | |||
Building and Land Improvements | 15,205 | |||
Total | 16,960 | |||
Accumulated Depreciation | (8,193) | |||
6708 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 897 | |||
Building and Land Improvements | 12,644 | |||
Costs Capitalized Subsequent to Acquisition | 1,618 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 897 | |||
Building and Land Improvements | 14,262 | |||
Total | 15,159 | |||
Accumulated Depreciation | (4,393) | |||
6711 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 2,683 | |||
Building and Land Improvements | 23,239 | |||
Costs Capitalized Subsequent to Acquisition | 1,557 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,683 | |||
Building and Land Improvements | 24,796 | |||
Total | 27,479 | |||
Accumulated Depreciation | (8,399) | |||
6716 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 1,242 | |||
Building and Land Improvements | 4,969 | |||
Costs Capitalized Subsequent to Acquisition | 4,544 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,242 | |||
Building and Land Improvements | 9,513 | |||
Total | 10,755 | |||
Accumulated Depreciation | (5,829) | |||
6721 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 1,753 | |||
Building and Land Improvements | 34,090 | |||
Costs Capitalized Subsequent to Acquisition | 131 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,753 | |||
Building and Land Improvements | 34,221 | |||
Total | 35,974 | |||
Accumulated Depreciation | (9,234) | |||
6724 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 449 | |||
Building and Land Improvements | 5,039 | |||
Costs Capitalized Subsequent to Acquisition | 2,165 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 449 | |||
Building and Land Improvements | 7,204 | |||
Total | 7,653 | |||
Accumulated Depreciation | (3,200) | |||
6731 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 2,807 | |||
Building and Land Improvements | 19,098 | |||
Costs Capitalized Subsequent to Acquisition | 5,340 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,807 | |||
Building and Land Improvements | 24,438 | |||
Total | 27,245 | |||
Accumulated Depreciation | (12,123) | |||
6740 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 1,424 | |||
Building and Land Improvements | 5,696 | |||
Costs Capitalized Subsequent to Acquisition | 3,441 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,424 | |||
Building and Land Improvements | 9,137 | |||
Total | 10,561 | |||
Accumulated Depreciation | (6,055) | |||
6741 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 675 | |||
Building and Land Improvements | 1,711 | |||
Costs Capitalized Subsequent to Acquisition | 169 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 675 | |||
Building and Land Improvements | 1,880 | |||
Total | 2,555 | |||
Accumulated Depreciation | (580) | |||
6750 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 1,263 | |||
Building and Land Improvements | 12,461 | |||
Costs Capitalized Subsequent to Acquisition | 4,976 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,263 | |||
Building and Land Improvements | 17,437 | |||
Total | 18,700 | |||
Accumulated Depreciation | (10,076) | |||
6760 Alexander Bell Drive | ||||
Initial Cost | ||||
Land | 890 | |||
Building and Land Improvements | 3,561 | |||
Costs Capitalized Subsequent to Acquisition | 3,901 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 890 | |||
Building and Land Improvements | 7,462 | |||
Total | 8,352 | |||
Accumulated Depreciation | (4,585) | |||
6940 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 3,545 | |||
Building and Land Improvements | 9,916 | |||
Costs Capitalized Subsequent to Acquisition | 7,974 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,545 | |||
Building and Land Improvements | 17,890 | |||
Total | 21,435 | |||
Accumulated Depreciation | (9,882) | |||
6950 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 3,596 | |||
Building and Land Improvements | 26,846 | |||
Costs Capitalized Subsequent to Acquisition | 3,220 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,596 | |||
Building and Land Improvements | 30,066 | |||
Total | 33,662 | |||
Accumulated Depreciation | (11,307) | |||
7000 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 3,131 | |||
Building and Land Improvements | 12,103 | |||
Costs Capitalized Subsequent to Acquisition | 7,443 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,131 | |||
Building and Land Improvements | 19,546 | |||
Total | 22,677 | |||
Accumulated Depreciation | (8,231) | |||
7005 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 3,036 | |||
Building and Land Improvements | 747 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,036 | |||
Building and Land Improvements | 747 | |||
Total | 3,783 | |||
7015 Albert Einstein Drive | ||||
Initial Cost | ||||
Land | 2,058 | |||
Building and Land Improvements | 6,093 | |||
Costs Capitalized Subsequent to Acquisition | 3,319 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,058 | |||
Building and Land Improvements | 9,412 | |||
Total | 11,470 | |||
Accumulated Depreciation | (4,165) | |||
7061 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 729 | |||
Building and Land Improvements | 3,094 | |||
Costs Capitalized Subsequent to Acquisition | 2,379 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 729 | |||
Building and Land Improvements | 5,473 | |||
Total | 6,202 | |||
Accumulated Depreciation | (3,215) | |||
7063 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 902 | |||
Building and Land Improvements | 3,684 | |||
Costs Capitalized Subsequent to Acquisition | 3,416 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 902 | |||
Building and Land Improvements | 7,100 | |||
Total | 8,002 | |||
Accumulated Depreciation | (4,004) | |||
7065 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 919 | |||
Building and Land Improvements | 3,763 | |||
Costs Capitalized Subsequent to Acquisition | 3,095 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 919 | |||
Building and Land Improvements | 6,858 | |||
Total | 7,777 | |||
Accumulated Depreciation | (4,428) | |||
7067 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 1,829 | |||
Building and Land Improvements | 11,823 | |||
Costs Capitalized Subsequent to Acquisition | 5,116 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,829 | |||
Building and Land Improvements | 16,939 | |||
Total | 18,768 | |||
Accumulated Depreciation | (8,069) | |||
7125 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 20,487 | |||
Building and Land Improvements | 46,994 | |||
Costs Capitalized Subsequent to Acquisition | 21,053 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 20,487 | |||
Building and Land Improvements | 68,047 | |||
Total | 88,534 | |||
Accumulated Depreciation | (25,351) | |||
7130 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 1,350 | |||
Building and Land Improvements | 4,359 | |||
Costs Capitalized Subsequent to Acquisition | 2,859 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,350 | |||
Building and Land Improvements | 7,218 | |||
Total | 8,568 | |||
Accumulated Depreciation | (3,621) | |||
7134 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 704 | |||
Building and Land Improvements | 4,700 | |||
Costs Capitalized Subsequent to Acquisition | 436 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 704 | |||
Building and Land Improvements | 5,136 | |||
Total | 5,840 | |||
Accumulated Depreciation | (1,666) | |||
7138 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 1,104 | |||
Building and Land Improvements | 3,518 | |||
Costs Capitalized Subsequent to Acquisition | 2,843 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,104 | |||
Building and Land Improvements | 6,361 | |||
Total | 7,465 | |||
Accumulated Depreciation | (3,864) | |||
7142 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 1,342 | |||
Building and Land Improvements | 7,148 | |||
Costs Capitalized Subsequent to Acquisition | 2,608 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,342 | |||
Building and Land Improvements | 9,756 | |||
Total | 11,098 | |||
Accumulated Depreciation | (3,516) | |||
7150 Columbia Gateway Drive | ||||
Initial Cost | ||||
Land | 1,032 | |||
Building and Land Improvements | 3,429 | |||
Costs Capitalized Subsequent to Acquisition | 813 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,032 | |||
Building and Land Improvements | 4,242 | |||
Total | 5,274 | |||
Accumulated Depreciation | (1,673) | |||
7150 Riverwood Drive | ||||
Initial Cost | ||||
Land | 1,821 | |||
Building and Land Improvements | 4,388 | |||
Costs Capitalized Subsequent to Acquisition | 1,854 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,821 | |||
Building and Land Improvements | 6,242 | |||
Total | 8,063 | |||
Accumulated Depreciation | (2,799) | |||
7160 Riverwood Drive | ||||
Initial Cost | ||||
Land | 2,732 | |||
Building and Land Improvements | 7,006 | |||
Costs Capitalized Subsequent to Acquisition | 3,124 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,732 | |||
Building and Land Improvements | 10,130 | |||
Total | 12,862 | |||
Accumulated Depreciation | (4,336) | |||
7170 Riverwood Drive | ||||
Initial Cost | ||||
Land | 1,283 | |||
Building and Land Improvements | 3,096 | |||
Costs Capitalized Subsequent to Acquisition | 2,243 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,283 | |||
Building and Land Improvements | 5,339 | |||
Total | 6,622 | |||
Accumulated Depreciation | (2,295) | |||
7175 Riverwood Drive | ||||
Initial Cost | ||||
Land | 1,788 | |||
Building and Land Improvements | 7,269 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,788 | |||
Building and Land Improvements | 7,269 | |||
Total | 9,057 | |||
Accumulated Depreciation | (1,116) | |||
7200 Redstone Gateway | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 5,932 | |||
Initial Cost | ||||
Building and Land Improvements | 8,348 | |||
Costs Capitalized Subsequent to Acquisition | 88 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 8,436 | |||
Total | 8,436 | |||
Accumulated Depreciation | (1,175) | |||
7200 Riverwood Drive | ||||
Initial Cost | ||||
Land | 4,089 | |||
Building and Land Improvements | 22,630 | |||
Costs Capitalized Subsequent to Acquisition | 4,538 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 4,089 | |||
Building and Land Improvements | 27,168 | |||
Total | 31,257 | |||
Accumulated Depreciation | (11,823) | |||
7205 Riverwood Drive | ||||
Initial Cost | ||||
Land | 1,367 | |||
Building and Land Improvements | 21,419 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,367 | |||
Building and Land Improvements | 21,419 | |||
Total | 22,786 | |||
Accumulated Depreciation | (3,452) | |||
7272 Park Circle Drive | ||||
Initial Cost | ||||
Land | 1,479 | |||
Building and Land Improvements | 6,300 | |||
Costs Capitalized Subsequent to Acquisition | 4,578 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,479 | |||
Building and Land Improvements | 10,878 | |||
Total | 12,357 | |||
Accumulated Depreciation | (4,955) | |||
7318 Parkway Drive | ||||
Initial Cost | ||||
Land | 972 | |||
Building and Land Improvements | 3,888 | |||
Costs Capitalized Subsequent to Acquisition | 1,319 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 972 | |||
Building and Land Improvements | 5,207 | |||
Total | 6,179 | |||
Accumulated Depreciation | (2,740) | |||
7400 Redstone Gateway | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 6,506 | |||
Initial Cost | ||||
Building and Land Improvements | 9,223 | |||
Costs Capitalized Subsequent to Acquisition | 82 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 9,305 | |||
Total | 9,305 | |||
Accumulated Depreciation | (1,044) | |||
7467 Ridge Road | ||||
Initial Cost | ||||
Land | 1,565 | |||
Building and Land Improvements | 3,116 | |||
Costs Capitalized Subsequent to Acquisition | 4,954 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,565 | |||
Building and Land Improvements | 8,070 | |||
Total | 9,635 | |||
Accumulated Depreciation | (3,456) | |||
7500 Advanced Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 7,195 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 7,195 | |||
Total | 7,195 | |||
7600 Advanced Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 2,543 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 2,543 | |||
Total | 2,543 | |||
7740 Milestone Parkway | ||||
Real Estate and Accumulated Depreciation | ||||
Encumbrances | 17,352 | |||
Initial Cost | ||||
Land | 3,825 | |||
Building and Land Improvements | 34,176 | |||
Costs Capitalized Subsequent to Acquisition | 1,009 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 3,825 | |||
Building and Land Improvements | 35,185 | |||
Total | 39,010 | |||
Accumulated Depreciation | (8,311) | |||
7770 Backlick Road | ||||
Initial Cost | ||||
Land | 6,387 | |||
Building and Land Improvements | 76,663 | |||
Costs Capitalized Subsequent to Acquisition | 283 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 6,387 | |||
Building and Land Improvements | 76,946 | |||
Total | 83,333 | |||
Accumulated Depreciation | (12,966) | |||
7880 Milestone Parkway | ||||
Initial Cost | ||||
Land | 4,857 | |||
Building and Land Improvements | 25,913 | |||
Costs Capitalized Subsequent to Acquisition | 247 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 4,857 | |||
Building and Land Improvements | 26,160 | |||
Total | 31,017 | |||
Accumulated Depreciation | (2,695) | |||
8000 Rideout Road | ||||
Initial Cost | ||||
Building and Land Improvements | 2,564 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 2,564 | |||
Total | 2,564 | |||
8600 Advanced Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 4,931 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 4,931 | |||
Total | 4,931 | |||
8621 Robert Fulton Drive | ||||
Initial Cost | ||||
Land | 2,317 | |||
Building and Land Improvements | 12,642 | |||
Costs Capitalized Subsequent to Acquisition | 6,428 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,317 | |||
Building and Land Improvements | 19,070 | |||
Total | 21,387 | |||
Accumulated Depreciation | (5,755) | |||
8661 Robert Fulton Drive | ||||
Initial Cost | ||||
Land | 1,510 | |||
Building and Land Improvements | 3,764 | |||
Costs Capitalized Subsequent to Acquisition | 2,956 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,510 | |||
Building and Land Improvements | 6,720 | |||
Total | 8,230 | |||
Accumulated Depreciation | (3,240) | |||
8671 Robert Fulton Drive | ||||
Initial Cost | ||||
Land | 1,718 | |||
Building and Land Improvements | 4,280 | |||
Costs Capitalized Subsequent to Acquisition | 4,306 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,718 | |||
Building and Land Improvements | 8,586 | |||
Total | 10,304 | |||
Accumulated Depreciation | (4,366) | |||
870 Elkridge Landing Road | ||||
Initial Cost | ||||
Land | 2,003 | |||
Building and Land Improvements | 9,442 | |||
Costs Capitalized Subsequent to Acquisition | 9,333 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,003 | |||
Building and Land Improvements | 18,775 | |||
Total | 20,778 | |||
Accumulated Depreciation | (10,533) | |||
8800 Redstone Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 17,730 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 17,730 | |||
Total | 17,730 | |||
Accumulated Depreciation | (58) | |||
891 Elkridge Landing Road | ||||
Initial Cost | ||||
Land | 1,165 | |||
Building and Land Improvements | 4,772 | |||
Costs Capitalized Subsequent to Acquisition | 3,483 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,165 | |||
Building and Land Improvements | 8,255 | |||
Total | 9,420 | |||
Accumulated Depreciation | (4,921) | |||
901 Elkridge Landing Road | ||||
Initial Cost | ||||
Land | 1,156 | |||
Building and Land Improvements | 4,437 | |||
Costs Capitalized Subsequent to Acquisition | 3,864 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,156 | |||
Building and Land Improvements | 8,301 | |||
Total | 9,457 | |||
Accumulated Depreciation | (4,321) | |||
911 Elkridge Landing Road | ||||
Initial Cost | ||||
Land | 1,215 | |||
Building and Land Improvements | 4,861 | |||
Costs Capitalized Subsequent to Acquisition | 2,970 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,215 | |||
Building and Land Improvements | 7,831 | |||
Total | 9,046 | |||
Accumulated Depreciation | (4,481) | |||
938 Elkridge Landing Road | ||||
Initial Cost | ||||
Land | 922 | |||
Building and Land Improvements | 4,748 | |||
Costs Capitalized Subsequent to Acquisition | 1,516 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 922 | |||
Building and Land Improvements | 6,264 | |||
Total | 7,186 | |||
Accumulated Depreciation | (3,022) | |||
939 Elkridge Landing Road | ||||
Initial Cost | ||||
Land | 939 | |||
Building and Land Improvements | 3,756 | |||
Costs Capitalized Subsequent to Acquisition | 4,438 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 939 | |||
Building and Land Improvements | 8,194 | |||
Total | 9,133 | |||
Accumulated Depreciation | (5,028) | |||
9651 Hornbaker Road | ||||
Initial Cost | ||||
Land | 6,050 | |||
Building and Land Improvements | 250,355 | |||
Costs Capitalized Subsequent to Acquisition | 5,582 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 6,050 | |||
Building and Land Improvements | 255,937 | |||
Total | 261,987 | |||
Accumulated Depreciation | (61,123) | |||
Arundel Preserve | ||||
Initial Cost | ||||
Land | 13,352 | |||
Building and Land Improvements | 9,683 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 13,352 | |||
Building and Land Improvements | 9,683 | |||
Total | 23,035 | |||
BLC 1 | ||||
Initial Cost | ||||
Land | 12,026 | |||
Building and Land Improvements | 18,175 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 12,026 | |||
Building and Land Improvements | 18,175 | |||
Total | 30,201 | |||
Accumulated Depreciation | (696) | |||
BLC 2 | ||||
Initial Cost | ||||
Land | 12,026 | |||
Building and Land Improvements | 17,929 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 12,026 | |||
Building and Land Improvements | 17,929 | |||
Total | 29,955 | |||
Accumulated Depreciation | (655) | |||
Canton Crossing Land | ||||
Initial Cost | ||||
Land | 17,285 | |||
Building and Land Improvements | 8,322 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 17,285 | |||
Building and Land Improvements | 8,322 | |||
Total | 25,607 | |||
Canton Crossing Util Distr Ctr | ||||
Initial Cost | ||||
Land | 6,100 | |||
Building and Land Improvements | 10,450 | |||
Costs Capitalized Subsequent to Acquisition | 1,727 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 6,100 | |||
Building and Land Improvements | 12,177 | |||
Total | 18,277 | |||
Accumulated Depreciation | (5,651) | |||
Columbia Gateway - Southridge | ||||
Initial Cost | ||||
Land | 6,387 | |||
Building and Land Improvements | 3,722 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 6,387 | |||
Building and Land Improvements | 3,722 | |||
Total | 10,109 | |||
Dahlgren Technology Center | ||||
Initial Cost | ||||
Land | 978 | |||
Building and Land Improvements | 178 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 978 | |||
Building and Land Improvements | 178 | |||
Total | 1,156 | |||
Expedition VII | ||||
Initial Cost | ||||
Land | 705 | |||
Building and Land Improvements | 730 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 705 | |||
Building and Land Improvements | 730 | |||
Total | 1,435 | |||
IN 1 | ||||
Initial Cost | ||||
Land | 1,815 | |||
Building and Land Improvements | 15,955 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,815 | |||
Building and Land Improvements | 15,955 | |||
Total | 17,770 | |||
Accumulated Depreciation | (336) | |||
IN 2 | ||||
Initial Cost | ||||
Land | 2,627 | |||
Building and Land Improvements | 28,527 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,627 | |||
Building and Land Improvements | 28,527 | |||
Total | 31,154 | |||
Accumulated Depreciation | (364) | |||
M Square Research Park | ||||
Initial Cost | ||||
Building and Land Improvements | 1,632 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 1,632 | |||
Total | 1,632 | |||
MP 1 | ||||
Initial Cost | ||||
Land | 9,426 | |||
Building and Land Improvements | 29,508 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 9,426 | |||
Building and Land Improvements | 29,508 | |||
Total | 38,934 | |||
Accumulated Depreciation | (490) | |||
MP 2 | ||||
Initial Cost | ||||
Land | 9,426 | |||
Building and Land Improvements | 28,843 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 9,426 | |||
Building and Land Improvements | 28,843 | |||
Total | 38,269 | |||
Accumulated Depreciation | (685) | |||
MR Land | ||||
Initial Cost | ||||
Land | 9,038 | |||
Building and Land Improvements | 407 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 9,038 | |||
Building and Land Improvements | 407 | |||
Total | 9,445 | |||
National Business Park North | ||||
Initial Cost | ||||
Land | 28,843 | |||
Building and Land Improvements | 46,879 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 28,843 | |||
Building and Land Improvements | 46,879 | |||
Total | 75,722 | |||
North Gate Business Park | ||||
Initial Cost | ||||
Land | 1,755 | |||
Building and Land Improvements | 5 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,755 | |||
Building and Land Improvements | 5 | |||
Total | 1,760 | |||
Northwest Crossroads | ||||
Initial Cost | ||||
Land | 7,430 | |||
Building and Land Improvements | 847 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 7,430 | |||
Building and Land Improvements | 847 | |||
Total | 8,277 | |||
NOVA Office A | ||||
Initial Cost | ||||
Land | 2,096 | |||
Building and Land Improvements | 46,849 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 2,096 | |||
Building and Land Improvements | 46,849 | |||
Total | 48,945 | |||
Accumulated Depreciation | (5,751) | |||
NOVA Office B | ||||
Initial Cost | ||||
Land | 739 | |||
Building and Land Improvements | 38,376 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 739 | |||
Building and Land Improvements | 38,376 | |||
Total | 39,115 | |||
Accumulated Depreciation | (2,754) | |||
Nova Office C | ||||
Initial Cost | ||||
Land | 5,604 | |||
Building and Land Improvements | 9,191 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 5,604 | |||
Building and Land Improvements | 9,191 | |||
Total | 14,795 | |||
NOVA Office D | ||||
Initial Cost | ||||
Land | 6,587 | |||
Building and Land Improvements | 40,518 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 6,587 | |||
Building and Land Improvements | 40,518 | |||
Total | 47,105 | |||
Accumulated Depreciation | (2,433) | |||
Oak Grove A | ||||
Initial Cost | ||||
Land | 12,866 | |||
Building and Land Improvements | 16,554 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 12,866 | |||
Building and Land Improvements | 16,554 | |||
Total | 29,420 | |||
Oak Grove B | ||||
Initial Cost | ||||
Land | 12,866 | |||
Building and Land Improvements | 26,518 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 12,866 | |||
Building and Land Improvements | 26,518 | |||
Total | 39,384 | |||
Oak Grove Phase II | ||||
Initial Cost | ||||
Land | 23,483 | |||
Building and Land Improvements | 8,942 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 23,483 | |||
Building and Land Improvements | 8,942 | |||
Total | 32,425 | |||
Old Annapolis Road | ||||
Initial Cost | ||||
Land | 1,637 | |||
Building and Land Improvements | 5,500 | |||
Costs Capitalized Subsequent to Acquisition | 6,710 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,637 | |||
Building and Land Improvements | 12,210 | |||
Total | 13,847 | |||
Accumulated Depreciation | (4,380) | |||
P2 A | ||||
Initial Cost | ||||
Land | 19,514 | |||
Building and Land Improvements | 27,096 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 19,514 | |||
Building and Land Improvements | 27,096 | |||
Total | 46,610 | |||
P2 B | ||||
Initial Cost | ||||
Land | 25,621 | |||
Building and Land Improvements | 6,494 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 25,621 | |||
Building and Land Improvements | 6,494 | |||
Total | 32,115 | |||
P2 C | ||||
Initial Cost | ||||
Land | 17,137 | |||
Building and Land Improvements | 1,591 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 17,137 | |||
Building and Land Improvements | 1,591 | |||
Total | 18,728 | |||
Paragon Park | ||||
Initial Cost | ||||
Building and Land Improvements | 78 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 78 | |||
Total | 78 | |||
Patriot Ridge | ||||
Initial Cost | ||||
Land | 18,517 | |||
Building and Land Improvements | 14,530 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 18,517 | |||
Building and Land Improvements | 14,530 | |||
Total | 33,047 | |||
Project EX | ||||
Initial Cost | ||||
Land | 8,959 | |||
Building and Land Improvements | 16,525 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 8,959 | |||
Building and Land Improvements | 16,525 | |||
Total | 25,484 | |||
Accumulated Depreciation | (279) | |||
Redstone Gateway | ||||
Initial Cost | ||||
Building and Land Improvements | 21,472 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 21,472 | |||
Total | 21,472 | |||
Sentry Gateway | ||||
Initial Cost | ||||
Land | 4,052 | |||
Building and Land Improvements | 1,833 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 4,052 | |||
Building and Land Improvements | 1,833 | |||
Total | 5,885 | |||
Sentry Gateway - T | ||||
Initial Cost | ||||
Land | 14,020 | |||
Building and Land Improvements | 38,804 | |||
Costs Capitalized Subsequent to Acquisition | 13 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 14,020 | |||
Building and Land Improvements | 38,817 | |||
Total | 52,837 | |||
Accumulated Depreciation | (12,502) | |||
Sentry Gateway - V | ||||
Initial Cost | ||||
Building and Land Improvements | 1,066 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 1,066 | |||
Total | 1,066 | |||
Accumulated Depreciation | (295) | |||
Sentry Gateway - W | ||||
Initial Cost | ||||
Building and Land Improvements | 1,884 | |||
Costs Capitalized Subsequent to Acquisition | 71 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 1,955 | |||
Total | 1,955 | |||
Accumulated Depreciation | (496) | |||
Sentry Gateway - X | ||||
Initial Cost | ||||
Land | 1,964 | |||
Building and Land Improvements | 21,178 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,964 | |||
Building and Land Improvements | 21,178 | |||
Total | 23,142 | |||
Accumulated Depreciation | (4,846) | |||
Sentry Gateway - Y | ||||
Initial Cost | ||||
Land | 1,964 | |||
Building and Land Improvements | 21,298 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,964 | |||
Building and Land Improvements | 21,298 | |||
Total | 23,262 | |||
Accumulated Depreciation | (4,875) | |||
Sentry Gateway - Z | ||||
Initial Cost | ||||
Land | 1,964 | |||
Building and Land Improvements | 30,573 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 1,964 | |||
Building and Land Improvements | 30,573 | |||
Total | 32,537 | |||
Accumulated Depreciation | (3,673) | |||
SP Manassas | ||||
Initial Cost | ||||
Land | 8,156 | |||
Building and Land Improvements | 94 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 8,156 | |||
Building and Land Improvements | 94 | |||
Total | 8,250 | |||
Westfields - Park Center | ||||
Initial Cost | ||||
Land | 10,815 | |||
Building and Land Improvements | 6,019 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 10,815 | |||
Building and Land Improvements | 6,019 | |||
Total | 16,834 | |||
Westfields Corporate Center | ||||
Initial Cost | ||||
Land | 7,141 | |||
Building and Land Improvements | 1,576 | |||
Gross Amounts Carried At Close of Period | ||||
Land | 7,141 | |||
Building and Land Improvements | 1,576 | |||
Total | 8,717 | |||
Other Developments, including intercompany eliminations | ||||
Initial Cost | ||||
Building and Land Improvements | 530 | |||
Costs Capitalized Subsequent to Acquisition | 258 | |||
Gross Amounts Carried At Close of Period | ||||
Building and Land Improvements | 788 | |||
Total | 788 | |||
Accumulated Depreciation | $ (79) |
Schedule III - Real Estate an_3
Schedule III - Real Estate and Accumulated Depreciation (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Changes in cost of properties | |||
Beginning balance | $ 4,148,529 | $ 3,980,813 | $ 3,874,715 |
Improvements and other additions | 480,418 | 224,524 | 259,548 |
Sales | (242,497) | (53,547) | (138,216) |
Impairments | (329) | (2,493) | (15,116) |
Other dispositions | (340) | (768) | (118) |
Reclassification to right-of use asset | (37,775) | 0 | 0 |
Ending balance | 4,348,006 | 4,148,529 | 3,980,813 |
Changes in accumulated depreciation | |||
Beginning balance | 897,903 | 801,038 | 715,951 |
Depreciation expense | 117,973 | 112,610 | 107,772 |
Sales | (8,416) | (14,845) | (22,567) |
Impairments | 0 | (132) | 0 |
Other dispositions | (340) | (768) | (118) |
Ending balance | $ 1,007,120 | $ 897,903 | $ 801,038 |