EPS of $0.31
FFO per Share, as Adjusted for Comparability, of $0.65
4.8% FFO per Share Growth Year-over-Year
Met Midpoint of Guidance
Reiterates Midpoint of 2025 FFO per Share Guidance of $2.66
Implies 3.5% FFO per Share Growth for the Year
Continued Strong Occupancy and Leased Levels
Defense/IT Portfolio 95.3% Occupied and 96.6% Leased
Occupancy Rate Exceeded 94% for 9 Consecutive Quarters
Same Property Cash NOI Increased 7.1%
Reiterates Midpoint of Same Property Cash NOI Guidance for the Year of 2.75%
Committed $52 million of Capital to New Investment in Huntsville
$308 million of Active Developments (756,000 SF) are 62% Leased
Excellent Leasing to Start the Year
Total Leasing of 647,000 SF
120,000 SF of Vacancy Leasing
On Track to Achieve/Exceed Annual Target of 400,000 SF
Tenant Retention of 75%
On Track to Achieve Annual Goal of 75%-85%
89,000 SF of Investment Leasing
COLUMBIA, Md.–(BUSINESS WIRE)–COPT Defense Properties (“COPT Defense” or the “Company”) (NYSE: CDP) announced results for the first quarter ended March 31, 2025.
Management Comments
Stephen E. Budorick, COPT Defense’s President & Chief Executive Officer, commented, “Our Defense/IT investment strategy, which concentrates our portfolio near priority U.S. defense installations, generated strong results in the first quarter with FFO per share at the midpoint of our guidance range, despite incurring higher than expected net weather-related expenses. Our performance year-to-date is tracking according to plan and we are reiterating the midpoint of our 2025 FFO per share guidance range at $2.66, which implies 3.5% year-over-year growth.
In terms of our leasing achievements, we are off to a great start, as we have executed 179,000 square feet of vacancy leasing and over 100,000 square feet of investment leasing year-to-date, while maintaining a strong tenant retention rate of 75%. Our Defense/IT Portfolio was 95.3% occupied and 96.6% leased at quarter-end, and marked nine consecutive quarters in which our occupancy rate exceeded 94%, highlighting the strength and durability of our portfolio.
In terms of external growth, we commenced construction on a 150,000 square foot development at Redstone Gateway in order to capture near-term demand, as we only have 37,000 square feet of inventory across our entire 2.5 million square foot Huntsville portfolio.
Our actual and expected performance led our Board of Trustees to approve a 3.4% increase in our quarterly dividend in February, which marks our third consecutive annual increase, amounting to a 10.9% cumulative increase since 2022. Looking forward, we continue to anticipate compound annual FFO per share growth of roughly 4% between 2023 to 2026.”
Financial Highlights
1st Quarter Financial Results:
> Diluted earnings per share (“EPS”) was $0.31 for the quarter ended March 31, 2025, compared to $0.29 for the quarter ended March 31, 2024.
> Diluted funds from operations per share (“FFOPS”), as calculated in accordance with Nareit’s definition and as adjusted for comparability, was $0.65 for the quarter ended March 31, 2025, compared to $0.62 for the quarter ended March 31, 2024.
Operating Performance Highlights
Operating Portfolio Summary:
> At March 31, 2025, the Company’s 24.5 million square foot total portfolio was 93.6% occupied and 95.1% leased, which includes the 22.6 million square foot Defense/IT Portfolio that was 95.3% occupied and 96.6% leased.
> During the quarter ended March 31, 2025, the Company placed into service 10,000 square feet of development that was 100% leased.
Same Property Performance:
> At March 31, 2025, the Company’s 23.9 million square foot Same Property portfolio was 94.1% occupied and 95.2% leased.
> The Company’s Same Property cash NOI increased 7.1% in the quarter ended March 31, 2025, compared to the same period in 2024.
Leasing:
> Total Square Feet Leased: For the quarter ended March 31, 2025, the Company leased 647,000 square feet, including 438,000 square feet of renewals, 120,000 square feet of vacancy leasing, and 89,000 square feet of investment leasing.
> Tenant Retention Rates: During the quarter ended March 31, 2025, the Company renewed 74.9% of expiring square feet in its total portfolio, all of which was in the Defense/IT Portfolio.
> Rent Spreads and Average Escalations on Renewing Leases: For the quarter ended March 31, 2025, straight-line rents on renewals increased 8.2% and cash rents on renewed space decreased 0.9% while annual escalations on renewing leases averaged 2.6%.
> Lease Terms: In the quarter ended March 31, 2025, lease terms averaged 3.4 years on renewing leases, 7.1 years on vacancy leasing, and 10.5 years on investment leasing.
Investment Activity Highlights
> Development Pipeline: The Company’s development pipeline consists of five properties totaling 756,000 square feet that were 62% leased as of April 14, 2025. These projects represent a total estimated investment of $308 million, of which $91 million was spent as of March 31, 2025.
Balance Sheet and Capital Transaction Highlights
> For the quarter ended March 31, 2025, the Company’s adjusted EBITDA fixed charge coverage ratio was 4.7x.
> At March 31, 2025, the Company’s net debt to in-place adjusted EBITDA ratio was 6.1x and its net debt adjusted for fully-leased investment properties to in-place adjusted EBITDA ratio was 6.0x.
> At March 31, 2025, and including the effect of interest rate swaps, the Company’s weighted average effective interest rate on its consolidated debt portfolio was 3.4% with a weighted average maturity of 4.5 years, and 98% of the Company’s debt was subject to fixed interest rates.
Associated Supplemental Presentation
Prior to the call, the Company will post a slide presentation to accompany management’s prepared remarks for its first quarter 2025 conference call; the presentation can be viewed and downloaded from the ‘Financial Info – Financial Results’ section of COPT Defense’s Investors website: https://investors.copt.com/financial-information/financial-results
2025 Guidance
Management is narrowing its full-year guidance for diluted EPS and diluted FFOPS, per Nareit and as adjusted for comparability of $1.27-$1.35 and $2.62-$2.70, respectively to new ranges of $1.28-$1.34 and $2.63-$2.69, respectively. Management is establishing second quarter guidance for diluted EPS and diluted FFOPS per Nareit and as adjusted for comparability at $0.31-$0.33 and $0.65-$0.67, respectively. Reconciliations of projected diluted EPS to projected diluted FFOPS, in accordance with Nareit and as adjusted for comparability are as follows:
|
Reconciliation of Diluted EPS to FFOPS, per Nareit, and As Adjusted for Comparability |
|
Quarter Ending |
|
Year Ending |
||||||||
|
|
Low |
|
High |
|
Low |
|
High |
|||||
|
Diluted EPS |
|
$ |
0.31 |
|
$ |
0.33 |
|
$ |
1.28 |
|
$ |
1.34 |
|
Real estate-related depreciation and amortization |
|
|
0.34 |
|
|
0.34 |
|
|
1.35 |
|
|
1.35 |
|
Diluted FFOPS, Nareit definition and as adjusted for comparability |
|
$ |
0.65 |
|
$ |
0.67 |
|
$ |
2.63 |
|
$ |
2.69 |
The Company detailed its initial full year guidance, with supporting assumptions, in a separate press release issued February 6, 2025; that release can be found in the ‘News & Events – Press Releases’ section of COPT Defense’s Investors website: https://investors.copt.com/news-events/press-releases
Conference Call Information
Management will discuss first quarter 2025 results on its conference call tomorrow at 12:00 p.m. Eastern Time, details of which are listed below:
|
Conference Call Date: |
Tuesday, April 29, 2025 |
|
|
Time: |
12:00 p.m. Eastern Time |
Participants must register for the conference call at the link below to receive the dial-in number and personal pin. Registering only takes a few moments and provides direct access to the conference call without waiting for an operator. You may register at any time, including up to and after the call start time: https://register-conf.media-server.com/register/BIcd5f0d58372b4632aafb741d70095683
The conference call will also be available via live webcast in the ‘News & Events – IR Calendar’ section of COPT Defense’s Investors website: https://investors.copt.com/news-events/ir-calendar
Replay Information
A replay of the conference call will be immediately available via webcast only on COPT Defense’s Investors website and will be maintained on the website for approximately 90 days after the conference call.
Definitions
For definitions of certain terms used in this press release, please refer to the information furnished in the Company’s Supplemental Information Package furnished on a Form 8-K which can be found on its website (www.copt.com). Reconciliations of non-GAAP measures to the most directly comparable GAAP measures are included in the attached tables.
About COPT Defense
COPT Defense, an S&P MidCap 400 Company, is a self-managed REIT focused on owning, operating and developing properties in locations proximate to, or sometimes containing, key U.S. Government (“USG”) defense installations and missions (referred to as its Defense/IT Portfolio). The Company’s tenants include the USG and their defense contractors, who are primarily engaged in priority national security activities, and who generally require mission-critical and high security property enhancements. As of March 31, 2025, the Company’s Defense/IT Portfolio of 198 properties, including 24 owned through unconsolidated joint ventures, encompassed 22.6 million square feet and was 96.6% leased.
Forward-Looking Information
This press release may contain “forward-looking” statements, as defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, that are based on the Company’s current expectations, estimates and projections about future events and financial trends affecting the Company. Forward-looking statements can be identified by the use of words such as “may,” “will,” “should,” “could,” “believe,” “anticipate,” “expect,” “estimate,” “plan” or other comparable terminology. Forward-looking statements are inherently subject to risks and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate. Although the Company believes that the expectations, estimates and projections reflected in such forward-looking statements are based on reasonable assumptions at the time made, the Company can give no assurance that these expectations, estimates and projections will be achieved. Future events and actual results may differ materially from those discussed in the forward-looking statements and the Company undertakes no obligation to update or supplement any forward-looking statements.
The areas of risk that may affect these expectations, estimates and projections include, but are not limited to, those risks described in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
Source: COPT Defense Properties
|
COPT Defense Properties Summary Financial Data (unaudited) (dollars and shares in thousands, except per share data) |
|||||||
|
|
For the Three Months Ended |
||||||
|
|
|
2025 |
|
|
|
2024 |
|
|
Revenues |
|
|
|
||||
|
Lease revenue |
$ |
175,308 |
|
|
$ |
165,433 |
|
|
Other property revenue |
|
2,289 |
|
|
|
1,230 |
|
|
Construction contract and other service revenues |
|
10,259 |
|
|
|
26,603 |
|
|
Total revenues |
|
187,856 |
|
|
|
193,266 |
|
|
Operating expenses |
|
|
|
||||
|
Property operating expenses |
|
72,040 |
|
|
|
66,746 |
|
|
Depreciation and amortization associated with real estate operations |
|
39,359 |
|
|
|
38,351 |
|
|
Construction contract and other service expenses |
|
9,705 |
|
|
|
26,007 |
|
|
General and administrative expenses |
|
8,148 |
|
|
|
8,378 |
|
|
Leasing expenses |
|
2,999 |
|
|
|
2,187 |
|
|
Business development expenses and land carry costs |
|
1,009 |
|
|
|
1,182 |
|
|
Total operating expenses |
|
133,260 |
|
|
|
142,851 |
|
|
Interest expense |
|
(20,504 |
) |
|
|
(20,767 |
) |
|
Interest and other income, net |
|
1,568 |
|
|
|
4,122 |
|
|
Gain on sales of real estate |
|
300 |
|
|
|
— |
|
|
Income before equity in income of unconsolidated entities and income taxes |
|
35,960 |
|
|
|
33,770 |
|
|
Equity in income of unconsolidated entities |
|
371 |
|
|
|
69 |
|
|
Income tax expense |
|
(103 |
) |
|
|
(168 |
) |
|
Net income |
|
36,228 |
|
|
|
33,671 |
|
|
Net income attributable to noncontrolling interests |
|
|
|
||||
|
Common units in the Operating Partnership (“OP”) |
|
(726 |
) |
|
|
(608 |
) |
|
Other consolidated entities |
|
(762 |
) |
|
|
(454 |
) |
|
Net income attributable to common shareholders |
$ |
34,740 |
|
|
$ |
32,609 |
|
|
|
|
|
|
||||
|
Earnings per share (“EPS”) computation |
|
|
|
||||
|
Numerator for diluted EPS |
|
|
|
||||
|
Net income attributable to common shareholders |
$ |
34,740 |
|
|
$ |
32,609 |
|
|
Amount allocable to share-based compensation awards |
|
(143 |
) |
|
|
(129 |
) |
|
Numerator for diluted EPS |
$ |
34,597 |
|
|
$ |
32,480 |
|
|
Denominator |
|
|
|
||||
|
Weighted average common shares – basic |
|
112,383 |
|
|
|
112,231 |
|
|
Dilutive effect of share-based compensation awards |
|
643 |
|
|
|
509 |
|
|
Weighted average common shares – diluted |
|
113,026 |
|
|
|
112,740 |
|
|
Diluted EPS |
$ |
0.31 |
|
|
$ |
0.29 |
|
|
COPT Defense Properties Summary Financial Data (unaudited) (in thousands, except per share data) |
|||||||
|
|
For the Three Months Ended |
||||||
|
|
|
2025 |
|
|
|
2024 |
|
|
Net income |
$ |
36,228 |
|
|
$ |
33,671 |
|
|
Real estate-related depreciation and amortization |
|
39,359 |
|
|
|
38,351 |
|
|
Gain on sales of real estate |
|
(300 |
) |
|
|
— |
|
|
Depreciation and amortization on unconsolidated real estate JVs |
|
741 |
|
|
|
777 |
|
|
Funds from operations (“FFO”) |
|
76,028 |
|
|
|
72,799 |
|
|
FFO allocable to other noncontrolling interests |
|
(1,158 |
) |
|
|
(836 |
) |
|
Basic FFO allocable to share-based compensation awards |
|
(530 |
) |
|
|
(587 |
) |
|
Basic FFO available to common share and common unit holders (“Basic FFO”) |
|
74,340 |
|
|
|
71,376 |
|
|
Redeemable noncontrolling interest |
|
— |
|
|
|
469 |
|
|
Diluted FFO adjustments allocable to share-based compensation awards |
|
53 |
|
|
|
47 |
|
|
Diluted FFO available to common share and common unit holders (“Diluted FFO”) |
|
74,393 |
|
|
|
71,892 |
|
|
Executive transition costs |
|
— |
|
|
|
77 |
|
|
Diluted FFO available to common share and common unit holders, as adjusted for comparability |
|
74,393 |
|
|
|
71,969 |
|
|
Straight line rent adjustments and lease incentive amortization |
|
(1,699 |
) |
|
|
3,473 |
|
|
Amortization of intangibles and other assets included in net operating income (“NOI”) |
|
162 |
|
|
|
122 |
|
|
Share-based compensation, net of amounts capitalized |
|
2,854 |
|
|
|
2,645 |
|
|
Amortization of deferred financing costs |
|
667 |
|
|
|
685 |
|
|
Amortization of net debt discounts, net of amounts capitalized |
|
1,051 |
|
|
|
1,014 |
|
|
Replacement capital expenditures |
|
(21,464 |
) |
|
|
(20,776 |
) |
|
Other |
|
81 |
|
|
|
137 |
|
|
Diluted adjusted funds from operations available to common share and common unit holders (“Diluted AFFO”) |
$ |
56,045 |
|
|
$ |
59,269 |
|
|
Diluted FFO per share |
$ |
0.65 |
|
|
$ |
0.62 |
|
|
Diluted FFO per share, as adjusted for comparability |
$ |
0.65 |
|
|
$ |
0.62 |
|
|
Dividends/distributions per common share/unit |
$ |
0.305 |
|
|
$ |
0.295 |
|
|
COPT Defense Properties Summary Financial Data (unaudited) (Dollars and shares in thousands, except per share data) |
|||||||
|
|
March 31, |
|
December 31, |
||||
|
Balance Sheet Data |
|
|
|
||||
|
Properties, net of accumulated depreciation |
$ |
3,643,482 |
|
|
$ |
3,630,526 |
|
|
Total assets |
$ |
4,250,311 |
|
|
$ |
4,254,191 |
|
|
Debt per balance sheet |
$ |
2,412,670 |
|
|
$ |
2,391,755 |
|
|
Total liabilities |
$ |
2,688,481 |
|
|
$ |
2,693,624 |
|
|
Redeemable noncontrolling interest |
$ |
23,539 |
|
|
$ |
23,974 |
|
|
Total equity |
$ |
1,538,291 |
|
|
$ |
1,536,593 |
|
|
Debt to assets |
|
56.8 |
% |
|
|
56.2 |
% |
|
Net debt to adjusted book |
|
40.7 |
% |
|
|
40.4 |
% |
|
|
|
|
|
||||
|
Defense/IT Portfolio Data (as of period end) |
|
|
|
||||
|
Number of operating properties |
|
198 |
|
|
|
197 |
|
|
Total operational square feet (in thousands) |
|
22,560 |
|
|
|
22,549 |
|
|
% Occupied |
|
95.3 |
% |
|
|
95.4 |
% |
|
% Leased |
|
96.6 |
% |
|
|
96.7 |
% |
|
|
For the Three Months Ended |
||||||
|
|
2025 |
|
|
|
2024 |
|
|
|
GAAP |
|
|
|
||||
|
Payout ratio |
|
|
|
||||
|
Net income |
|
97.2 |
% |
|
|
100.7 |
% |
|
Debt ratios |
|
|
|
||||
|
Net income to interest expense ratio |
1.8x |
|
1.6x |
||||
|
Debt to net income ratio |
16.6x |
|
17.9x |
||||
|
Non-GAAP |
|
|
|
||||
|
Payout ratios |
|
|
|
||||
|
Diluted FFO |
|
47.0 |
% |
|
|
46.8 |
% |
|
Diluted FFO, as adjusted for comparability |
|
47.0 |
% |
|
|
46.7 |
% |
|
Diluted AFFO |
|
62.4 |
% |
|
|
56.8 |
% |
|
Debt ratios |
|
|
|
||||
|
Adjusted EBITDA fixed charge coverage ratio |
4.7x |
|
4.5x |
||||
|
Net debt to in-place adjusted EBITDA ratio |
6.1x |
|
6.1x |
||||
|
Net debt adj. for fully-leased investment properties to in-place adj. EBITDA ratio |
6.0x |
|
6.0x |
||||
|
|
|
|
|
||||
|
Reconciliation of denominators for per share measures |
|
|
|||||
|
Denominator for diluted EPS |
|
113,026 |
|
|
|
112,740 |
|
|
Weighted average common units |
|
2,047 |
|
|
|
1,625 |
|
|
Redeemable noncontrolling interest |
|
— |
|
|
|
947 |
|
|
Denominator for diluted FFO per share and as adjusted for comparability |
|
115,073 |
|
|
|
115,312 |
|
|
COPT Defense Properties Summary Financial Data (unaudited) (in thousands) |
|||||||
|
For the Three Months |
|||||||
|
|
|
2025 |
|
|
|
2024 |
|
|
Numerators for Payout Ratios |
|
|
|
||||
|
Dividends on unrestricted common and deferred shares |
$ |
34,318 |
|
|
$ |
33,143 |
|
|
Distributions on unrestricted common units |
|
661 |
|
|
|
500 |
|
|
Dividends and distributions on restricted shares and units |
|
236 |
|
|
|
267 |
|
|
Total dividends and distributions for GAAP payout ratio |
|
35,215 |
|
|
|
33,910 |
|
|
Dividends and distributions on antidilutive shares and units |
|
(237 |
) |
|
|
(266 |
) |
|
Dividends and distributions for non-GAAP payout ratios |
$ |
34,978 |
|
|
$ |
33,644 |
|
|
|
|
|
|
||||
|
Reconciliation of net income to earnings before interest, income taxes, depreciation and amortization for real estate (“EBITDAre”), adjusted EBITDA and in-place adjusted EBITDA |
|
|
|
||||
|
Net income |
$ |
36,228 |
|
|
$ |
33,671 |
|
|
Interest expense |
|
20,504 |
|
|
|
20,767 |
|
|
Income tax expense |
|
103 |
|
|
|
168 |
|
|
Real estate-related depreciation and amortization |
|
39,359 |
|
|
|
38,351 |
|
|
Other depreciation and amortization |
|
542 |
|
|
|
608 |
|
|
Gain on sales of real estate |
|
(300 |
) |
|
|
— |
|
|
Adjustments from unconsolidated real estate JVs |
|
1,518 |
|
|
|
1,671 |
|
|
EBITDAre |
|
97,954 |
|
|
|
95,236 |
|
|
Credit loss expense |
|
515 |
|
|
|
22 |
|
|
Business development expenses |
|
593 |
|
|
|
630 |
|
|
Executive transition costs |
|
57 |
|
|
|
430 |
|
|
Net gain on other investments |
|
— |
|
|
|
(477 |
) |
|
Adjusted EBITDA |
|
99,119 |
|
|
|
95,841 |
|
|
Pro forma NOI adjustment for property changes within period |
|
786 |
|
|
|
813 |
|
|
Change in collectability of deferred rental revenue |
|
1,232 |
|
|
|
— |
|
|
In-place adjusted EBITDA |
$ |
101,137 |
|
|
$ |
96,654 |
|
|
|
|
|
|
||||
|
Reconciliations of tenant improvements and incentives, building improvements and leasing costs for operating properties to replacement capital expenditures |
|
|
|
||||
|
Tenant improvements and incentives |
$ |
13,758 |
|
|
$ |
12,776 |
|
|
Building improvements |
|
1,872 |
|
|
|
4,953 |
|
|
Leasing costs |
|
3,461 |
|
|
|
3,590 |
|
|
Net additions to tenant improvements and incentives |
|
3,538 |
|
|
|
316 |
|
|
Excluded building improvements |
|
(201 |
) |
|
|
(818 |
) |
|
Excluded leasing costs |
|
(964 |
) |
|
|
(41 |
) |
|
Replacement capital expenditures |
$ |
21,464 |
$ |
20,776 |
|||
|
COPT Defense Properties Summary Financial Data (unaudited) (in thousands) |
|||||||
|
|
For the Three Months Ended |
||||||
|
|
|
2025 |
|
|
|
2024 |
|
|
Reconciliation of interest expense to the denominator for fixed charge coverage-Adjusted EBITDA |
|
|
|
||||
|
Interest expense |
$ |
20,504 |
|
|
$ |
20,767 |
|
|
Less: Amortization of deferred financing costs |
|
(667 |
) |
|
|
(685 |
) |
|
Less: Amortization of net debt discounts, net of amounts capitalized |
|
(1,051 |
) |
|
|
(1,014 |
) |
|
COPT Defense’s share of interest expense of unconsolidated real estate JVs, excluding amortization of deferred financing costs and net debt premium and gain or loss on interest rate derivatives |
|
752 |
|
|
|
804 |
|
|
Scheduled principal amortization |
|
461 |
|
|
|
769 |
|
|
Capitalized interest |
|
927 |
|
|
|
589 |
|
|
Denominator for fixed charge coverage-Adjusted EBITDA |
$ |
20,926 |
|
|
$ |
21,230 |
|
|
|
|
|
|
||||
|
Reconciliation of net income to NOI from real estate operations, same property NOI from real estate operations and same property cash NOI from real estate operations |
|
|
|
||||
|
Net income |
$ |
36,228 |
|
|
$ |
33,671 |
|
|
Construction contract and other service revenues |
|
(10,259 |
) |
|
|
(26,603 |
) |
|
Depreciation and other amortization associated with real estate operations |
|
39,359 |
|
|
|
38,351 |
|
|
Construction contract and other service expenses |
|
9,705 |
|
|
|
26,007 |
|
|
General and administrative expenses |
|
8,148 |
|
|
|
8,378 |
|
|
Leasing expenses |
|
2,999 |
|
|
|
2,187 |
|
|
Business development expenses and land carry costs |
|
1,009 |
|
|
|
1,182 |
|
|
Interest expense |
|
20,504 |
|
|
|
20,767 |
|
|
Interest and other income, net |
|
(1,568 |
) |
|
|
(4,122 |
) |
|
Gain on sales of real estate |
|
(300 |
) |
|
|
— |
|
|
Equity in income of unconsolidated entities |
|
(371 |
) |
|
|
(69 |
) |
|
Unconsolidated real estate JVs NOI allocable to COPT Defense included in equity in income of unconsolidated entities |
|
1,889 |
|
|
|
1,740 |
|
|
Income tax expense |
|
103 |
|
|
|
168 |
|
|
NOI from real estate operations |
|
107,446 |
|
|
|
101,657 |
|
|
Non-Same Property NOI from real estate operations |
|
(3,170 |
) |
|
|
(545 |
) |
|
Same Property NOI from real estate operations |
|
104,276 |
|
|
|
101,112 |
|
|
Straight line rent adjustments and lease incentive amortization |
|
154 |
|
|
|
3,913 |
|
|
Amortization of acquired above- and below-market rents |
|
(69 |
) |
|
|
(69 |
) |
|
Lease termination fees, net |
|
(834 |
) |
|
|
(775 |
) |
|
Tenant funded landlord assets and lease incentives |
|
(3,105 |
) |
|
|
(10,364 |
) |
|
Cash NOI adjustments in unconsolidated real estate JVs |
|
(260 |
) |
|
|
(262 |
) |
|
Same Property Cash NOI from real estate operations |
$ |
100,162 |
|
|
$ |
93,555 |
|
|
COPT Defense Properties Summary Financial Data (unaudited) (in thousands) |
||||||||
|
|
|
March 31, |
|
December 31, |
||||
|
Reconciliation of total assets to adjusted book |
|
|
|
|
||||
|
Total assets |
|
$ |
4,250,311 |
|
|
$ |
4,254,191 |
|
|
Accumulated depreciation |
|
|
1,572,422 |
|
|
|
1,537,293 |
|
|
Accumulated amortization of intangibles on property acquisitions and deferred leasing costs |
|
|
227,122 |
|
|
|
228,154 |
|
|
COPT Defense’s share of liabilities of unconsolidated real estate JVs |
|
|
61,190 |
|
|
|
61,294 |
|
|
COPT Defense’s share of accumulated depreciation and amortization of unconsolidated real estate JVs |
|
|
13,616 |
|
|
|
12,817 |
|
|
Less: Property – operating lease liabilities |
|
|
(48,216 |
) |
|
|
(49,240 |
) |
|
Less: Property – finance lease liabilities |
|
|
(384 |
) |
|
|
(391 |
) |
|
Less: Cash and cash equivalents |
|
|
(24,292 |
) |
|
|
(38,284 |
) |
|
Less: COPT Defense’s share of cash of unconsolidated real estate JVs |
|
|
(1,766 |
) |
|
|
(2,053 |
) |
|
Adjusted book |
|
$ |
6,050,003 |
|
|
$ |
6,003,781 |
|
|
|
|
March 31, |
|
December 31, |
|
March 31, |
||||||
|
Reconciliation of debt to net debt and net debt adjusted for fully-leased investment properties |
|
|
|
|
|
|
||||||
|
Debt per balance sheet |
|
$ |
2,412,670 |
|
|
$ |
2,391,755 |
|
|
$ |
2,416,873 |
|
|
Net discounts and deferred financing costs |
|
|
21,886 |
|
|
|
23,262 |
|
|
|
27,358 |
|
|
COPT Defense’s share of unconsolidated JV gross debt |
|
|
53,750 |
|
|
|
53,750 |
|
|
|
52,819 |
|
|
Gross debt |
|
|
2,488,306 |
|
|
|
2,468,767 |
|
|
|
2,497,050 |
|
|
Less: Cash and cash equivalents |
|
|
(24,292 |
) |
|
|
(38,284 |
) |
|
|
(123,144 |
) |
|
Less: COPT Defense’s share of cash of unconsolidated real estate JVs |
|
|
(1,766 |
) |
|
|
(2,053 |
) |
|
|
(1,159 |
) |
|
Net debt |
|
|
2,462,248 |
|
|
|
2,428,430 |
|
|
|
2,372,747 |
|
|
Costs incurred on fully-leased development properties |
|
|
(27,499 |
) |
|
|
(18,774 |
) |
|
|
(43,034 |
) |
|
Costs incurred on fully-leased operating property acquisitions |
|
|
— |
|
|
|
(17,034 |
) |
|
|
— |
|
|
Net debt adjusted for fully-leased investment properties |
|
$ |
2,434,749 |
|
|
$ |
2,392,622 |
|
|
$ |
2,329,713 |
|
Contacts
IR Contacts:
Venkat Kommineni, CFA
443.285.5587
[email protected]
Michelle Layne
443.285.5452
[email protected]
