ATLANTA--(BUSINESS WIRE)--
Cousins Properties Incorporated (NYSE:CUZ):
Highlights
-
Funds From Operations was $0.25 per share, adjusting for special items
FFO was $0.15 per share.
-
Completed the sale of Cousins Properties Services for a gain of $7.4
million.
-
Acquired 2100 Ross Avenue in Dallas, Texas.
-
Commenced operations at Emory Point in Atlanta, Georgia and Mahan
Village in Tallahassee, Florida.
-
Same property net operating income increased 4.1% for the first nine
months of 2012.
Cousins Properties Incorporated (NYSE:CUZ) today reported its results of
operations for the quarter ended September 30, 2012.
“It was an active and productive third quarter, with the execution of
several encouraging transactions and another solid performance for the
core operating portfolio,” said Larry Gellerstedt, CEO of Cousins. “We
remain focused on simplifying the platform, leasing vacant space, and
sourcing additional investment opportunities.”
Portfolio Activity
-
Leased 175,000 square feet of office space and 119,000 square feet of
retail space.
-
The office and retail portfolios finished the quarter 91% and 89%
leased, respectively, on a same property basis.
-
Subsequent to quarter end, executed 25,000 square feet of additional
leases at Promenade in Atlanta, Georgia, bringing the property to 72%
leased.
Transaction Activity
-
Completed the sale of Cousins Properties Services, a business unit
providing third-party services to owners of Class A office buildings,
to Cushman & Wakefield.
-
Acquired 2100 Ross Avenue, a 67% leased, 844,000-square-foot, Class-A
office tower located in the Arts District submarket of Dallas, Texas,
for cash of $59.2 million or $70 per square-foot.
-
Commenced operations at Emory Point, a mixed-use development comprised
of 443 apartments and 80,000 square feet of retail space, located
adjacent to Emory University in Atlanta, Georgia.
-
Commenced operations at Mahan Village, a 147,000-square-foot
grocery-anchored retail center development in Tallahassee, Florida.
-
Entered into agreements to sell Avenue Webb Gin and Avenue Forsyth,
two retail lifestyle centers in Atlanta, Georgia.
-
Subsequent to quarter end, completed the sale of Cosmopolitan Center,
an office complex in Atlanta, Georgia slated for re-development, for
$7.0 million.
Financial Results
FFO was $25.7 million, or $0.25 per share, for the third quarter of 2012
compared with $14.3 million, or $0.14 per share, for the third quarter
of 2011. FFO was $52.3 million, or $0.50 per share, for the nine months
ended September 30, 2012, compared with $33.3 million, or $0.32 per
share, for the same period in 2011.
Net income available to common stockholders was $9.4 million, or $0.09
per share, for the third quarter of 2012 compared with net income
available of $188,000, or $0.00 per share, for the third quarter of
2011. Net income available was $2.7 million, or $0.03 per share, for the
nine months ended September 30, 2012, compared with net loss available
of ($12.4) million, or ($0.12) per share, for the same period in 2011.
During the third quarter of 2012, the Company recorded several special
items in FFO. These items included a $7.4 million gain on the sale of
Cousins Properties Services and income of $3.4 million associated with a
participation interest in a previously completed development in Austin,
Texas. Additionally, the Company completed a strategic re-organization
which generated $574,000 in severance expense in the third quarter of
2012 and is expected to generate additional severance expense in the
fourth quarter of 2012. As a result of this re-organization, the Company
anticipates a reduction in general and administrative expenses for 2013.
The Company also recorded a charge of $488,000 on its investment in
Verde Realty as a result of Verde’s recently announced merger. The
completion of this merger is currently anticipated to close in the
fourth quarter of 2012 and will result in the complete liquidation of
the Company’s investment in Verde. The following table reconciles FFO to
FFO before these special items for the three months ended September 30,
2012:
|
| |
|
|
Actual
|
|
|
Per
|
| | | | | ($000) | | |
Share
|
| | | | | | | |
|
|
FFO
| | | | |
$
|
25,685
| | | |
$
|
0.25
| |
| |
Gain on sale of Cousins Properties Services
| | | |
(7,384
|
)
| | | |
(0.07
|
)
|
| |
Participation interest income
| | | |
(3,366
|
)
| | | |
(0.03
|
)
|
| |
Severance/reorganization expenses
| | | |
574
| | | | |
0.01
| |
| |
Verde charge
| | |
|
488
|
| | |
|
0.00
|
|
|
FFO before special items
| | |
$
|
15,997
|
| | |
$
|
0.15
|
|
| | | | | | | |
|
Investor Conference Call and Webcast
The Company will conduct a conference call at 10:00 a.m. (Eastern Time)
on Wednesday, October 31, 2012, to discuss the results of the quarter
ended September 30, 2012. The number to call for this interactive
teleconference is (212) 231-2905.
A replay of the conference call will be available for 14 days by dialing
(402) 977-9140 and entering the passcode 21607107. The replay can be
accessed on the Company’s website, www.cousinsproperties.com,
through the “Q3 2012 Cousins Properties Incorporated Earnings Conference
Call” link on the Investor Relations page.
Cousins Properties Incorporated is a leading diversified real estate
company with extensive experience in development, acquisition,
financing, management and leasing. Based in Atlanta, the Company
actively invests in office and retail projects. Since its founding in
1958, Cousins has developed 20 million square feet of office space and
20 million square feet of retail space. Cousins has built and maintained
an industry-wide reputation for innovative and sustainable developments,
premium management services and top quality leadership. The Company
creates and maintains value in real estate assets for the benefit of
shareholders, and partners. Cousins Properties is a fully integrated
equity real estate investment trust (REIT) and trades on the New York
Stock Exchange under the symbol CUZ.
The Consolidated Statements of Operations, Consolidated Balance Sheets
and a schedule entitled Funds From Operations, which reconciles Net
Income (Loss) Available to FFO, and a schedule entitled Same Property
Information, which reconciles same property net operating income to
rental property revenues and rental property expenses, are attached to
this press release. More detailed information on Net Income (Loss)
Available and FFO results is included in the “Net Income and Funds From
Operations – Supplemental Detail” schedule, which is included along with
other supplemental information in the Company’s Current Report on Form
8-K, which the Company is furnishing to the Securities and Exchange
Commission (“SEC”), and, which can be viewed through the “Supplemental
Information” and “SEC Filings” links on the “Investor Information &
Filings” link of the Investor Relations page of the Company’s website at www.cousinsproperties.com.
This information may also be obtained by calling the Company’s Investor
Relations Department at (404) 407-1984.
Certain matters discussed in this news release are forward-looking
statements within the meaning of the federal securities laws and are
subject to uncertainties and risk. These include, but are not limited
to, availability and terms of capital and financing; national and local
economic conditions; the real estate industry in general and in specific
markets; the potential for recognition of additional impairments due to
continued adverse market and economic conditions or changes in Company
business and financial strategy; leasing risks; loss of key personnel;
potential acquisitions, new investments and/or dispositions; the failure
of purchase, sale or other contracts to ultimately close; the financial
condition of existing tenants; competition from other developers or
investors; the risks associated with real estate development and
acquisitions; the availability of buyers and adequate pricing if the
Company intends to liquidate certain assets; rising interest and
insurance rates; the availability of sufficient development or
investment opportunities; environmental matters; the financial condition
and liquidity of, or disputes with, joint venture partners; any failure
to comply with debt covenants under credit agreements; any failure to
continue to qualify for taxation as a real estate investment trust and
other risks detailed from time to time in the Company’s filings with the
Securities and Exchange Commission, including those described in Part I,
Item 1A of the Company’s Annual Report on Form 10-K for the year ended
December 31, 2011. The words “believes,” “expects,” “anticipates,”
“estimates,” ”plans,” “may,” “intend,” “will” or similar expressions are
intended to identify forward-looking statements. Although the Company
believes that its plans, intentions and expectations reflected in any
forward-looking statement are reasonable, the Company can give no
assurance that such plans, intentions or expectations will be achieved.
Such forward-looking statements are based on current expectations and
speak as of the date of such statements. The Company undertakes no
obligation to publicly update or revise any forward-looking statement,
whether as a result of future events, new information or otherwise,
except as required under U.S. federal securities laws.
|
|
| |
| |
| |
| |
| COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES |
| CONSOLIDATED STATEMENTS OF OPERATIONS |
|
(unaudited, in thousands, except per share amounts)
|
| | | | | | | | |
|
| | | Three Months Ended
September 30, | | Nine Months Ended September 30, |
| | | 2012 | | 2011 | | 2012 | | 2011 |
| REVENUES: | | | | | | | | | |
|
Rental property revenues
| | | $ | 32,592 | | |
$
|
27,022
| | | $ | 92,846 | | |
$
|
78,802
| |
|
Fee income
| | | | 7,343 | | | |
3,909
| | | | 12,985 | | | |
10,729
| |
|
Residential lot and outparcel sales
| | | | 732 | | | |
165
| | | | 2,216 | | | |
410
| |
|
Other
| | |
| 3,061 |
| |
|
447
|
| |
| 4,587 |
| |
|
6,154
|
|
| | |
| 43,728 |
| |
|
31,543
|
| |
| 112,634 |
| |
|
96,095
|
|
| | | | | | | | |
|
| COSTS AND EXPENSES: | | | | | | | | | |
|
Rental property operating expenses
| | | | 14,400 | | | |
11,775
| | | | 39,595 | | | |
33,658
| |
|
Residential lot and outparcel cost of sales
| | | | 354 | | | |
158
| | | | 1,334 | | | |
303
| |
|
General and administrative expenses
| | | | 5,255 | | | |
4,295
| | | | 17,523 | | | |
17,828
| |
|
Interest expense
| | | | 5,793 | | | |
6,601
| | | | 17,936 | | | |
21,503
| |
|
Reimbursed expenses
| | | | 1,235 | | | |
1,866
| | | | 3,968 | | | |
4,749
| |
|
Depreciation and amortization
| | | | 11,567 | | | |
8,719
| | | | 32,526 | | | |
25,562
| |
|
Impairment loss
| | | | 488 | | | |
-
| | | | 488 | | | |
3,508
| |
|
Separation expenses
| | | | 574 | | | |
15
| | | | 866 | | | |
193
| |
|
Other
| | |
| 2,257 |
| |
|
773
|
| |
| 3,504 |
| |
|
4,760
|
|
| | |
| 41,923 |
| |
|
34,202
|
| |
| 117,740 |
| |
|
112,064
|
|
| | | | | | | | |
|
| LOSS ON EXTINGUISHMENT OF DEBT | | |
| - |
| |
|
(74
|
)
| |
| (94 | ) | |
|
(74
|
)
|
| | | | | | | | |
|
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE TAXES,
UNCONSOLIDATED JOINT VENTURES AND SALE OF INVESTMENT PROPERTIES | | | | 1,805 | | | |
(2,733
|
)
| | | (5,200 | ) | | |
(16,043
|
)
|
| | | | | | | | |
|
| BENEFIT (PROVISION) FOR INCOME TAXES FROM OPERATIONS | | | | (60 | ) | | |
180
| | | | (120 | ) | | |
217
| |
| | | | | | | | |
|
| INCOME FROM UNCONSOLIDATED JOINT VENTURES | | |
| 2,269 |
| |
|
2,660
|
| |
| 14,217 |
| |
|
7,468
|
|
| | | | | | | | |
|
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE GAIN ON SALE OF
INVESTMENT PROPERTIES | | | | 4,014 | | | |
107
| | | | 8,897 | | | |
(8,358
|
)
|
| | | | | | | | |
|
| GAIN ON SALE OF INVESTMENT PROPERTIES | | |
| 60 |
| |
|
59
|
| |
| 146 |
| |
|
177
|
|
| | | | | | | | |
|
| INCOME (LOSS) FROM CONTINUING OPERATIONS | | | | 4,074 | | | |
166
| | | | 9,043 | | | |
(8,181
|
)
|
| | | | | | | | |
|
| INCOME (LOSS) FROM DISCONTINUED OPERATIONS: | | | | | | | | | |
|
Income (loss) from discontinued operations
| | | | 1,760 | | | |
2,619
| | | | (5,093 | ) | | |
6,503
| |
|
Gain on sale of discontinued operations
| | |
| 7,444 |
| |
|
2,821
|
| |
| 8,204 |
| |
|
2,437
|
|
| | |
| 9,204 |
| |
|
5,440
|
| |
| 3,111 |
| |
|
8,940
|
|
| | | | | | | | |
|
| NET INCOME | | | | 13,278 | | | |
5,606
| | | | 12,154 | | | |
759
| |
| NET LOSS (INCOME) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | | |
| (608 | ) | |
|
(2,192
|
)
| |
| 259 |
| |
|
(3,454
|
)
|
| | | | | | | | |
|
| NET INCOME (LOSS) ATTRIBUTABLE TO CONTROLLING INTEREST | | | | 12,670 | | | |
3,414
| | | | 12,413 | | | |
(2,695
|
)
|
| | | | | | | | |
|
| DIVIDENDS TO PREFERRED STOCKHOLDERS | | |
| (3,226 | ) | |
|
(3,226
|
)
| |
| (9,680 | ) | |
|
(9,680
|
)
|
| | | | | | | | |
|
| NET INCOME (LOSS) AVAILABLE TO COMMON STOCKHOLDERS | | | $ | 9,444 |
| |
$
|
188
|
| | $ | 2,733 |
| |
$
|
(12,375
|
)
|
| | | | | | | | |
|
| PER COMMON SHARE INFORMATION - BASIC AND DILUTED: | | | | | | | | | |
|
Income (loss) from continuing operations attributable to controlling
interest
| | | $ | - | | |
$
|
(0.05
|
)
| | $ | - | | |
$
|
(0.21
|
)
|
|
Income from discontinued operations
| | |
| 0.09 |
| |
|
0.05
|
| |
| 0.03 |
| |
|
0.09
|
|
|
Net income (loss) available to common stockholders
| | | $ | 0.09 |
| |
$
|
0.00
|
| | $ | 0.03 |
| |
$
|
(0.12
|
)
|
| | | | | | | | |
|
| WEIGHTED AVERAGE SHARES - BASIC | | |
| 104,193 |
| |
|
103,715
|
| |
| 104,120 |
| |
|
103,631
|
|
| WEIGHTED AVERAGE SHARES - DILUTED | | |
| 104,203 |
| |
|
103,715
|
| |
| 104,125 |
| |
|
103,631
|
|
| DIVIDENDS PER COMMON SHARE | | | $ | 0.045 |
| |
$
|
0.045
|
| | $ | 0.135 |
| |
$
|
0.135
|
|
|
|
| |
| |
| |
| |
| COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES |
| FUNDS FROM OPERATIONS |
| FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2012 AND 2011 |
|
(Unaudited, in thousands, except per share amounts)
|
| | | | | | | | |
|
| | | | | | | | |
|
| | | Three Months Ended | | Nine Months Ended |
| | | September 30, | | September 30, |
| | | 2012 | | 2011 | | 2012 | | 2011 |
| | | | | | | | |
|
| Net Income (Loss) Available to Common Stockholders | | | $ | 9,444 | | | $ | 188 | | | $ | 2,733 | | | $ | (12,375 | ) |
|
Depreciation and amortization:
| | | | | | | | | |
|
Consolidated properties
| | | |
11,567
| | | |
8,719
| | | |
32,526
| | | |
25,562
| |
|
Discontinued properties
| | | |
2,575
| | | |
4,650
| | | |
8,622
| | | |
14,721
| |
|
Share of unconsolidated joint ventures
| | | |
2,480
| | | |
2,444
| | | |
7,646
| | | |
7,790
| |
|
Depreciation of furniture, fixtures and equipment:
| | | | | | | | | |
|
Consolidated properties
| | | |
(256
|
)
| | |
(388
|
)
| | |
(843
|
)
| | |
(1,323
|
)
|
|
Discontinued properties
| | | |
-
| | | |
-
| | | |
-
| | | |
-
| |
|
Share of unconsolidated joint ventures
| | | |
(5
|
)
| | |
(5
|
)
| | |
(15
|
)
| | |
(15
|
)
|
Impairment loss on depreciable investment property net of amounts
attributable to noncontrolling interests
| | | |
-
| | | |
-
| | | |
10,190
| | | |
-
| |
|
(Gain) loss on sale of investment properties:
| | | | | | | | | |
|
Consolidated properties including amounts attributable to
noncontrolling interests
| | | |
(60
|
)
| | |
(59
|
)
| | |
(146
|
)
| | |
(177
|
)
|
|
Discontinued properties
| | | |
(7,444
|
)
| | |
(1,240
|
)
| | |
(8,204
|
)
| | |
(856
|
)
|
|
Share of unconsolidated joint ventures
| | | |
-
| | | |
-
| | | |
(7,509
|
)
| | |
-
| |
|
Gain on sale of third party management and leasing business
| | | |
7,384
| | | |
-
| | | |
7,384
| | | |
-
| |
|
Other
| | |
|
-
|
| |
|
-
|
| |
|
(59
|
)
| |
|
-
|
|
| | | | | | | | |
|
| Funds From Operations Available to Common Stockholders | | | $ | 25,685 |
| | $ | 14,309 |
| | $ | 52,325 |
| | $ | 33,327 |
|
| | | | | | | | |
|
| | | | | | | | |
|
| Per Common Share - Basic and Diluted: | | | | | | | | | |
| | | | | | | | |
|
| Net Income (Loss) Available | | | $ | 0.09 |
| | $ | 0.00 |
| | $ | 0.03 |
| | $ | (0.12 | ) |
| | | | | | | | |
|
| Funds From Operations | | | $ | 0.25 |
| | $ | 0.14 |
| | $ | 0.50 |
| | $ | 0.32 |
|
| | | | | | | | |
|
| Weighted Average Shares - Basic | | |
| 104,193 |
| |
| 103,715 |
| |
| 104,120 |
| |
| 103,631 |
|
| Weighted Average Shares - Diluted | | |
| 104,203 |
| |
| 103,718 |
| |
| 104,125 |
| |
| 103,642 |
|
| | | | | | | | |
|
The table above shows Funds From Operations Available to Common
Stockholders (“FFO”) and the related reconciliation to Net Income
(Loss) Available to Common Stockholders for Cousins Properties
Incorporated and Subsidiaries. The Company calculated FFO in
accordance with the National Association of Real Estate Investment
Trusts' ("NAREIT") definition, which is net income (loss)
available to common stockholders (computed in accordance with
accounting principles generally accepted in the United States
("GAAP")), excluding extraordinary items, cumulative effect of
change in accounting principle and gains or losses from sales of
depreciable property, plus depreciation and amortization of real
estate assets, and after adjustments for unconsolidated
partnerships and joint ventures to reflect FFO on the same basis.
FFO is used by industry analysts and investors as a supplemental
measure of an equity REIT’s operating performance. Historical cost
accounting for real estate assets implicitly assumes that the
value of real estate assets diminishes predictably over
time. Since real estate values instead have historically risen or
fallen with market conditions, many industry investors and
analysts have considered presentation of operating results for
real estate companies that use historical cost accounting to be
insufficient by themselves. Thus, NAREIT created FFO as a
supplemental measure of REIT operating performance that excludes
historical cost depreciation, among other items, from GAAP net
income. Management believes that the use of FFO, combined with
the required primary GAAP presentations, has been fundamentally
beneficial, improving the understanding of operating results of
REITs among the investing public and making comparisons of REIT
operating results more meaningful. Company management evaluates
operating performance in part based on FFO. Additionally, the
Company uses FFO along with other measures, to assess performance
in connection with evaluating and granting incentive compensation
to its officers and other key employees.
Management believes that FFO before special items provides
analysts and investors with appropriate information related to its
core operations and for the comparability of the results of its
operations with other real estate companies.
|
| | | | | | | | |
|
|
|
| |
| |
| COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES |
| CONSOLIDATED BALANCE SHEETS |
|
(in thousands, except share and per share amounts)
|
| | | | |
|
| | | | |
|
| | | | |
|
| | | September 30, 2012 | | December 31, 2011 |
ASSETS | | |
(unaudited)
| | |
| PROPERTIES: | | | | | |
Operating properties, net of accumulated depreciation of $247,774
and $289,473 in 2012 and 2011, respectively
| | | $ | 674,615 | | |
$
|
884,652
| |
|
Projects under development
| | | | 24,668 | | | |
11,325
| |
|
Land held
| | | | 51,217 | | | |
54,132
| |
|
Residential lots
| | | | 11,965 | | | |
13,195
| |
|
Other
| | |
| 431 |
| |
|
637
|
|
|
Total properties
| | | | 762,896 | | | |
963,941
| |
| | | | |
|
| | | | |
|
OPERATING PROPERTIES AND RELATED ASSETS HELD FOR SALE, net
of accumulated depreciation of $46,936 in 2012
| | | | 174,054 | | | |
-
| |
| | | | |
|
| CASH AND CASH EQUIVALENTS | | | | 5,469 | | | |
4,858
| |
| RESTRICTED CASH | | | | 2,749 | | | |
4,929
| |
NOTES AND ACCOUNTS RECEIVABLE, net of allowance fordoubtful
accounts of $1,207 and $5,100 in 2012 and 2011, respectively | | | | 11,163 | | | |
11,359
| |
| DEFERRED RENTS RECEIVABLE | | | | 37,840 | | | |
37,141
| |
| INVESTMENT IN UNCONSOLIDATED JOINT VENTURES | | | | 139,782 | | | |
160,587
| |
| OTHER ASSETS | | |
| 65,148 |
| |
|
52,720
|
|
| | | | |
|
| TOTAL ASSETS | | | $ | 1,199,101 |
| |
$
|
1,235,535
|
|
| | | | |
|
LIABILITIES AND EQUITY | | | | | |
| NOTES PAYABLE | | | $ | 518,630 | | |
$
|
539,442
| |
| ACCOUNTS PAYABLE AND OTHER LIABILITIES | | | | 40,073 | | | |
38,592
| |
| DEFERRED INCOME | | |
| 12,498 |
| |
|
17,343
|
|
| TOTAL LIABILITIES | | | | 571,201 | | | |
595,377
| |
| | | | |
|
| COMMITMENTS AND CONTINGENT LIABILITIES | | | | | |
| | | | |
|
| REDEEMABLE NONCONTROLLING INTERESTS | | | | - | | | |
2,763
| |
| | | | |
|
| STOCKHOLDERS’ INVESTMENT: | | | | | |
|
Preferred stock, 20,000,000 shares authorized, $1 par value:
| | | | | |
7.75% Series A cumulative redeemable preferred stock, $25
liquidation preference; 2,993,090 shares issued and outstanding in
2012 and 2011
| | | | 74,827 | | | |
74,827
| |
7.50% Series B cumulative redeemable preferred stock, $25
liquidation preference; 3,791,000 shares issued and outstanding in
2012 and 2011
| | | | 94,775 | | | |
94,775
| |
Common stock, $1 par value, 250,000,000 shares authorized,
107,705,782 and 107,272,078 shares issued in 2012 and 2011,
respectively
| | | | 107,706 | | | |
107,272
| |
|
Additional paid-in capital
| | | | 689,194 | | | |
687,835
| |
|
Treasury stock at cost, 3,570,082 shares in 2012 and 2011
| | | | (86,840 | ) | | |
(86,840
|
)
|
|
Distributions in excess of cumulative net income
| | |
| (285,508 | ) | |
|
(274,177
|
)
|
| | | | |
|
| TOTAL STOCKHOLDERS’ INVESTMENT | | | | 594,154 | | | |
603,692
| |
| | | | |
|
|
Nonredeemable noncontrolling interests
| | |
| 33,746 |
| |
|
33,703
|
|
| TOTAL EQUITY | | |
| 627,900 |
| |
|
637,395
|
|
| | | | |
|
| TOTAL LIABILITIES AND EQUITY | | | $ | 1,199,101 |
| |
$
|
1,235,535
|
|
|
| |
| |
| |
| COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES |
| SAME PROPERTY INFORMATION |
| FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2012 AND 2011 |
|
(Unaudited, in thousands)
|
|
|
| | | | | | | |
| | | | | | | | |
|
| | | Three Months Ended | | Nine Months Ended |
| | | September 30, | | September 30, |
| | | 2012 | | 2011 | | 2012 | | 2011 |
| | | | | | | | |
|
| Net Operating Income - Consolidated Properties | | | | | | | | | |
|
Rental property revenues
| | |
$
|
32,592
| |
$
|
27,022
| |
$
|
92,846
| |
$
|
78,802
|
|
Rental property expenses
| | |
|
14,400
| |
|
11,775
| |
|
39,595
| |
|
33,658
|
| Net Operating Income - Consolidated Properties | | | | 18,192 | | | 15,247 | | | 53,251 | | | 45,144 |
| | | | | | | | |
|
| Net Operating Income - Discontinued Operations | | | | | | | | | |
|
Rental property revenues
| | | |
5,055
| | |
10,519
| | |
18,968
| | |
31,720
|
|
Rental property expenses
| | |
|
1,508
| |
|
4,391
| |
|
6,001
| |
|
12,237
|
| Net Operating Income - Discontinued Operations | | | | 3,547 | | | 6,128 | | | 12,967 | | | 19,483 |
| | | | | | | | |
|
| Net Operating Income - Unconsolidated Joint Ventures | | |
| 2,670 | |
| 2,647 | |
| 7,944 | |
| 7,938 |
| Total Net Operating Income | | | $ | 24,409 | | $ | 24,022 | | $ | 74,162 | | $ | 72,565 |
| | | | | | | | |
|
| Net Operating Income: | | | | | | | | | |
|
Same property
| | | |
24,446
| | |
23,752
| | |
73,385
| | |
70,512
|
|
Non-same property
| | |
|
3,174
| |
|
3,675
| |
|
10,920
| |
|
12,138
|
| Net Operating Income | | | $ | 27,620 | | $ | 27,426 | | $ | 84,305 | | $ | 82,650 |
| | | | | | | | |
|
This schedule shows same property net operating income and the
related reconciliation to rental property revenues and rental
property expenses. Net Operating Income is used by industry
analysts, investors and Company management to measure operating
performance of the Company’s properties. Net Operating Income,
which is rental property revenues less rental property operating
expenses, excludes certain components from net income in order to
provide results that are more closely related to a property’s
results of operations. Certain items, such as interest expense,
while included in FFO and net income, do not affect the operating
performance of a real estate asset and are often incurred at the
corporate level as opposed to the property level. As a result,
management uses only those income and expense items that are
incurred at the property level to evaluate a property’s
performance. Depreciation and amortization are also excluded from
Net Operating Income. Additionally, appraisals of real estate are
based on the value of an income stream before interest and
depreciation. Same Property Net Operating Income includes those
office and retail properties that have been fully operational in
each of the comparable reporting periods. Same Property Net
Operating Income allows analysts, investors and management to
analyze continuing operations and evaluate the growth trend of the
Company’s portfolio.
|
Cousins Properties Incorporated
Gregg D. Adzema, 404-407-1116
Executive
Vice President and Chief Financial Officer
greggadzema@cousinsproperties.com
or
Cameron
Golden, 404-407-1984
Vice President, Investor Relations and
Corporate
Communications
camerongolden@cousinsproperties.com
Source: Cousins Properties Incorporated