ATLANTA--(BUSINESS WIRE)--
Cousins Properties Incorporated (NYSE:CUZ):
Highlights
-
Funds From Operations for the quarter was $0.11 per share.
-
Acquired 5.3 million square-foot office portfolio in Texas.
-
Issued 69 million shares of common stock.
-
Sold the majority of remaining retail assets.
-
Increased same property net operating income for the third quarter
4.5% over prior year.
Cousins Properties Incorporated (NYSE:CUZ) today reported its results of
operations for the quarter ended September 30, 2013.
“The team has worked extremely hard over the past 24 months to transform
the company,” said Larry Gellerstedt, President and Chief Executive
Officer of Cousins. “This quarter marked an inflection point in that
transformation, with a compelling portfolio acquisition in Texas - the
largest in our history - and the disposition of our lifestyle and power
center holdings. With significant value creation opportunities in our
existing portfolio and in the development pipeline, we are well
positioned for a strong 2014.”
Portfolio Activity
-
Leased or renewed 338,000 square feet of space.
-
Weighted average occupancy for the quarter was 90% on a same property
basis, up from 88% in the prior year.
Transaction Activity
- Acquired Greenway Plaza, a 4.3 million square-foot, 10 building office
portfolio in Houston, Texas, and 777 Main, a 980,000 square-foot
office tower in Fort Worth, Texas. Total purchase price for these
assets was $1.1 billion.
-
Completed a public offering of 69 million shares of common stock at
$10.00 per share, generating net proceeds of $661.3 million.
-
Sold Tiffany Springs MarketCenter for $53.5 million, generating a gain
of $3.7 million.
-
Sold the Company’s interest in CP Venture Two LLC and CP Venture Five
LLC in a transaction that valued its interest at $57.4 million prior
to allocation of property level debt, generating a gain of $37.0
million.
-
Sold the Company’s interest in CF Murfreesboro Associates in a
transaction that valued its interest in The Avenue Murfreesboro at
$82.0 million prior to allocation of property level debt, generating a
gain of $23.5 million.
-
Closed a non-recourse mortgage loan on Promenade with a principal
balance of $114.0 million, a fixed interest rate of 4.27%, and a term
of 9 years.
-
Closed a non-recourse mortgage loan on Post Oak Central with a
principal balance of $188.8 million, a fixed interest rate of 4.26%,
and a term of 7 years.
-
Subsequent to quarter end, the Company formed EP II LLC, an
unconsolidated joint venture, for the purpose of developing and
operating the second phase of the Emory Point mixed-use property in
Atlanta, Georgia. The second phase will consist of 307 apartments and
43,000 square feet of retail space with a total projected cost of
$73.3 million.
Financial Results
FFO was $17.2 million, or $0.11 per share, for the third quarter of 2013
compared with $25.7 million, or $0.25 per share, for the third quarter
of 2012. FFO was $42.8 million, or $0.33 per share, for the nine months
ended September 30, 2013, compared with $52.3 million, or $0.50 per
share, for the same period in 2012.
Net income available to common stockholders was $59.4 million, or $0.36
per share, for the third quarter of 2013, compared with net income
available of $9.4 million, or $0.09 per share, for the third quarter of
2012. Net income available was $107.0 million, or $0.83 per share, for
the nine months ended September 30, 2013, compared with $2.7 million, or
$0.03 per share, for the same period in 2012.
During the third quarter of 2013, the Company recorded several special
items in FFO. These items included acquisition and related costs in the
third quarter of 2013 associated with the purchase of Greenway Plaza and
777 Main of $6.8 million, which included $2.6 million in costs
associated with a term loan that was never utilized. In addition, the
Company recognized an additional gain of $4.5 million associated with
the third quarter 2012 sale of its third party management business. The
amount of this additional gain was based on revenues generated by this
business in the twelve months following the closing of the transaction.
The Company also incurred separation expenses of $520,000 during the
third quarter primarily related to the sale of its retail assets. FFO
before these special items for the three months ended September 30, 2013
was $0.12 per share. The following table reconciles FFO to FFO before
these special items for the three months ended September 30, 2013:
|
|
|
Actual
|
|
|
|
Per
|
| | |
($000)
| | | |
Share
|
|
FFO
| | |
$
|
17,226
| | | | |
$
|
0.11
| |
| Texas acquisition and related costs
| | |
6,838
| | | | |
0.04
| |
|
Gain on sale of third party business
| | |
(4,531
|
)
| | | |
(0.03
|
)
|
|
Separation expenses
| | |
520
|
| | | |
—
|
|
|
FFO before special items
| | |
$
|
20,053
|
| | | |
$
|
0.12
|
|
| | | | | | | | | | |
|
Investor Conference Call and Webcast
The Company will conduct a conference call at 11:00 a.m. (Eastern Time)
on Thursday, October 31, 2013, to discuss the results of the quarter
ended September 30, 2013. The number to call for this interactive
teleconference is (212) 231-2908.
A replay of the conference call will be available for 14 days by dialing
(402) 977-9140 and entering the passcode 21675999. The replay can be
accessed on the Company's website, www.cousinsproperties.com,
through the “Q3 2013 Cousins Properties Incorporated Earnings Conference
Call” link on the Investor Relations page.
Cousins Properties Incorporated is a fully integrated, self-administered
and self-managed real estate investment trust (REIT). The Company, based
in Atlanta, GA, primarily invests in Class-A office towers located in
high growth Sunbelt markets, with a focus on Georgia, Texas and North
Carolina.
The Consolidated Statements of Operations, Consolidated Balance Sheets,
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, the availability and terms of capital and financing; the ability to
refinance indebtedness as it matures; failure of purchase, sale or other
contracts to ultimately close; the availability of buyers and adequate
pricing with respect to the disposition of assets; risks and
uncertainties related to national and local economic conditions, the
real estate industry in general and in specific markets, and the
commercial markets in particular; market conditions and changes to the
Company's strategy with regard to land and other non-core holdings that
require impairment losses to be recognized; the effects of the sale of
the Company's third party management business; leasing risks, including
the ability to obtain new tenants or renew expiring tenants on favorable
terms, and the ability to lease newly developed, recently acquired or
current vacant space; financial condition of existing tenants;
volatility in interest rates and insurance rates; the availability of
sufficient investment opportunities; competition from other developers
or investors; the risks associated with real estate developments and
acquisitions (such as construction delays, cost overruns and leasing
risk); loss of key personnel; potential liability for uninsured losses,
condemnation or environmental issues; potential liability for a failure
to meet regulatory requirements; the financial condition and liquidity
of, or disputes with, joint venture partners; any failure to comply with
debt covenants under credit agreements; and 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,
2012 and the Current Report on Form 8-K filed on July 29, 2013. 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, |
| | | | 2013 | | | 2012 | | | 2013 | | | 2012 |
| REVENUES: | | | | | | | | | | | | |
|
Rental property revenues
| | | $ | 49,208 | | | |
$
|
31,125
| | | | $ | 122,686 | | | |
$
|
88,347
| |
|
Fee income
| | | | 2,420 | | | | |
7,343
| | | | | 8,932 | | | | |
12,985
| |
|
Land sales
| | | | 155 | | | | |
732
| | | | | 1,551 | | | | |
2,216
| |
|
Other
| | |
| 292 |
| | |
|
86
|
| | |
| 2,960 |
| | |
|
1,612
|
|
| | | |
| 52,075 |
| | |
|
39,286
|
| | |
| 136,129 |
| | |
|
105,160
|
|
| | | | | | | | | | | | |
|
| COSTS AND EXPENSES: | | | | | | | | | | | | |
|
Rental property operating expenses
| | | | 22,730 | | | | |
13,946
| | | | | 57,135 | | | | |
38,317
| |
|
Reimbursed expenses
| | | | 1,097 | | | | |
1,235
| | | | | 4,365 | | | | |
3,968
| |
|
General and administrative expenses
| | | | 6,635 | | | | |
6,399
| | | | | 17,257 | | | | |
18,668
| |
|
Land cost of sales
| | | | 147 | | | | |
354
| | | | | 1,543 | | | | |
1,333
| |
|
Interest expense
| | | | 5,149 | | | | |
5,793
| | | | | 14,325 | | | | |
17,936
| |
|
Depreciation and amortization
| | | | 19,003 | | | | |
10,542
| | | | | 46,243 | | | | |
30,338
| |
|
Separation expenses
| | | | 520 | | | | |
574
| | | | | 520 | | | | |
866
| |
|
Acquisition costs
| | | | 6,859 | | | | |
350
| | | | | 7,427 | | | | |
495
| |
|
Other
| | |
| 925 |
| | |
|
1,252
|
| | |
| 1,715 |
| | |
|
2,351
|
|
| | | |
| 63,065 |
| | |
|
40,445
|
| | |
| 150,530 |
| | |
|
114,272
|
|
| | | | | | | | | | | | |
|
| LOSS ON EXTINGUISHMENT OF DEBT | | |
| - |
| | |
|
-
|
| | |
| - |
| | |
|
(94
|
)
|
| | | | | | | | | | | | |
|
LOSS FROM CONTINUING OPERATIONS BEFORE TAXES, UNCONSOLIDATED
JOINT VENTURES AND SALE OF INVESTMENT PROPERTIES | | | | (10,990 | ) | | | |
(1,159
|
)
| | | | (14,401 | ) | | | |
(9,206
|
)
|
| | | | | | | | | | | | |
|
| PROVISION FOR INCOME TAXES FROM OPERATIONS | | | | (1 | ) | | | |
(60
|
)
| | | | (3 | ) | | | |
(120
|
)
|
| | | | | | | | | | | | |
|
| INCOME FROM UNCONSOLIDATED JOINT VENTURES | | |
| 63,078 |
| | |
|
2,269
|
| | |
| 65,862 |
| | |
|
14,217
|
|
| | | | | | | | | | | | |
|
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE GAIN ON SALE OF
INVESTMENT PROPERTIES | | | | 52,087 | | | | |
1,050
| | | | | 51,458 | | | | |
4,891
| |
| | | | | | | | | | | | |
|
| GAIN ON SALE OF INVESTMENT PROPERTIES | | |
| 3,801 |
| | |
|
60
|
| | |
| 61,384 |
| | |
|
146
|
|
| | | | | | | | | | | | |
|
| INCOME FROM CONTINUING OPERATIONS | | | | 55,888 | | | | |
1,110
| | | | | 112,842 | | | | |
5,037
| |
| | | | | | | | | | | | |
|
| INCOME (LOSS) FROM DISCONTINUED OPERATIONS: | | | | | | | | | | | | |
|
Income (loss) from discontinued operations
| | | | 803 | | | | |
4,724
| | | | | 1,394 | | | | |
(1,087
|
)
|
|
Gain on sale of discontinued operations
| | |
| 8,346 |
| | |
|
7,444
|
| | |
| 8,527 |
| | |
|
8,204
|
|
| | | |
| 9,149 |
| | |
|
12,168
|
| | |
| 9,921 |
| | |
|
7,117
|
|
| | | | | | | | | | | | |
|
| NET INCOME (LOSS) | | | | 65,037 | | | | |
13,278
| | | | | 122,763 | | | | |
12,154
| |
| NET (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS | | |
| (3,879 | ) | | |
|
(608
|
)
| | |
| (4,901 | ) | | |
|
259
|
|
| | | | | | | | | | | | |
|
| NET INCOME (LOSS) ATTRIBUTABLE TO CONTROLLING INTEREST | | | | 61,158 | | | | |
12,670
| | | | | 117,862 | | | | |
12,413
| |
| | | | | | | | | | | | |
|
| PREFERRED SHARE ORIGINAL ISSUANCE COSTS | | | | - | | | | |
-
| | | | | (2,656 | ) | | | |
-
| |
| | | | | | | | | | | | |
|
| DIVIDENDS TO PREFERRED STOCKHOLDERS | | |
| (1,777 | ) | | |
|
(3,226
|
)
| | |
| (8,231 | ) | | |
|
(9,680
|
)
|
| | | | | | | | | | | | |
|
| NET INCOME (LOSS) AVAILABLE TO COMMON STOCKHOLDERS | | | $ | 59,381 |
| | |
$
|
9,444
|
| | | $ | 106,975 |
| | |
$
|
2,733
|
|
| | | | | | | | | | | | |
|
| PER COMMON SHARE INFORMATION - BASIC AND DILUTED: | | | | | | | | | | | | |
|
Income (loss) from continuing operations attributable to controlling
interest
| | | $ | 0.31 | | | |
$
|
(0.03
|
)
| | | $ | 0.75 | | | |
$
|
(0.04
|
)
|
|
Income (loss) from discontinued operations
| | | $ | 0.05 |
| | |
$
|
0.12
|
| | | $ | 0.08 |
| | |
$
|
0.07
|
|
|
Net income (loss) available to common stockholders
| | | $ | 0.36 |
| | |
$
|
0.09
|
| | | $ | 0.83 |
| | |
$
|
0.03
|
|
| | | | | | | | | | | | |
|
| WEIGHTED AVERAGE SHARES - BASIC | | |
| 163,426 |
| | |
|
104,193
|
| | |
| 128,953 |
| | |
|
104,120
|
|
| WEIGHTED AVERAGE SHARES - DILUTED | | |
| 163,603 |
| | |
|
104,203
|
| | |
| 129,121 |
| | |
|
104,125
|
|
| DIVIDENDS PER COMMON SHARE | | | $ | 0.045 |
| | |
$
|
0.045
|
| | | $ | 0.135 |
| | |
$
|
0.135
|
|
|
|
| |
|
| |
|
| |
|
| |
| COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES |
| FUNDS FROM OPERATIONS |
|
(unaudited; in thousands, except per share amounts)
|
| | | | | | | | | | | |
|
| | | Three Months Ended September 30, | | | Nine Months Ended September 30, |
| | | 2013 | | | 2012 | | | 2013 | | | 2012 |
| Net Income Available to Common Stockholders | | | $ | 59,381 | | | |
$
|
9,444
| | | | $ | 106,975 | | | |
$
|
2,733
| |
|
Depreciation and amortization of real estate assets:
| | | | | | | | | | | | |
|
Consolidated properties
| | | | 18,811 | | | | |
10,286
| | | | | 45,679 | | | | |
29,495
| |
|
Discontinued properties
| | | | — | | | | |
3,600
| | | | | 1,033 | | | | |
10,810
| |
|
Share of unconsolidated joint ventures
| | | | 3,079 | | | | |
2,475
| | | | | 10,450 | | | | |
7,631
| |
| | | | | | | | | | | | | | | | | | | |
|
Impairment loss on depreciable investment property, net of amounts
attributable to noncontrolling interests
| | | | — | | | | |
—
| | | | | — | | | | |
10,190
| |
|
Gain on sale of depreciated properties:
| | | | | | | | | | | | |
|
Consolidated properties
| | | | (3,643 | ) | | | |
(60
|
)
| | | | (60,709 | ) | | | |
(146
|
)
|
|
Discontinued properties
| | | | (3,371 | ) | | | |
(60
|
)
| | | | (3,552 | ) | | | |
(820
|
)
|
|
Share of unconsolidated joint ventures
| | | | (60,421 | ) | | | |
—
| | | | | (60,421 | ) | | | |
(7,509
|
)
|
|
Non-controlling interest related to the sale of depreciated
properties
| | | | 3,390 | | | | |
—
| | | | | 3,390 | | | | |
—
| |
|
Other
| | |
| — |
| | |
|
—
|
| | |
| — |
| | |
|
(59
|
)
|
| Funds From Operations Available to Common Stockholders | | | $ | 17,226 |
| | |
$
|
25,685
|
| | | $ | 42,845 |
| | |
$
|
52,325
|
|
| Per Common Share — Basic and Diluted: | | |
| | |
| | |
| | |
|
|
Net Income Available
| | | $ | 0.36 |
| | |
$
|
0.09
|
| | | $ | 0.83 |
| | |
$
|
0.03
|
|
|
Funds From Operations
| | | $ | 0.11 |
| | |
$
|
0.25
|
| | | $ | 0.33 |
| | |
$
|
0.50
|
|
| Weighted Average Shares — Basic | | |
| 163,426 |
| | |
|
104,193
|
| | |
| 128,953 |
| | |
|
104,120
|
|
| Weighted Average Shares — Diluted | | |
| 163,603 |
| | |
|
104,203
|
| | |
| 129,121 |
| | |
|
104,125
|
|
| | | | | | | | | | | |
|
|
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,
impairment losses on depreciable investment property 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, 2013 | | | December 31, 2012 |
ASSETS | | |
(unaudited)
| | | |
| PROPERTIES: | | | | | | |
|
Operating properties, net of accumulated depreciation of $235,349
and $255,128 in 2013 and 2012, respectively
| | | $ | 1,846,953 | | | |
$
|
669,652
| |
|
Projects under development, net of accumulated depreciation of $0
and $183 in 2013 and 2012, respectively
| | | | 14,576 | | | | |
25,209
| |
|
Land
| | | | 35,305 | | | | |
42,187
| |
|
Other
| | |
| - |
| | |
|
151
|
|
| |
Total properties
| | | | 1,896,834 | | | | |
737,199
| |
| | | | | | | |
|
OPERATING PROPERTIES AND RELATED ASSETS HELD FOR SALE, net
of accumulated depreciation of $2,947 in 2013 and 2012
| | | | 2,694 | | | | |
1,866
| |
| | | | | | | |
|
| CASH AND CASH EQUIVALENTS | | | | 5,408 | | | | |
176,892
| |
| RESTRICTED CASH | | | | 2,953 | | | | |
2,852
| |
NOTES AND ACCOUNTS RECEIVABLE, net of allowance for
doubtful accounts of $1,883 and $1,743 in 2013 and 2012,
respectively
| | | | 11,669 | | | | |
9,972
| |
| DEFERRED RENTS RECEIVABLE | | | | 37,140 | | | | |
39,378
| |
| INVESTMENT IN UNCONSOLIDATED JOINT VENTURES | | | | 98,183 | | | | |
97,868
| |
| OTHER ASSETS | | |
| 208,885 |
| | |
|
58,215
|
|
| | | | | | | |
|
| | TOTAL ASSETS | | | $ | 2,263,766 |
| | |
$
|
1,124,242
|
|
| | | | | | | |
|
LIABILITIES AND EQUITY | | | | | | |
| NOTES PAYABLE | | | $ | 642,834 | | | |
$
|
425,410
| |
| ACCOUNTS PAYABLE AND ACCRUED EXPENSES | | | | 53,095 | | | | |
34,751
| |
| DEFERRED INCOME | | | | 21,781 | | | | |
11,888
| |
| OTHER LIABILITIES | | |
| 80,826 |
| | |
|
9,240
|
|
| TOTAL LIABILITIES | | | | 798,536 | | | | |
481,289
| |
| | | | | | | |
|
| COMMITMENTS AND CONTINGENT LIABILITIES | | | | | | |
| | | | | | | |
|
| REDEEMABLE NONCONTROLLING INTERESTS | | | | - | | | | |
-
| |
| | | | | | | |
|
| STOCKHOLDERS’ INVESTMENT: | | | | | | |
|
Preferred stock, 20,000,000 shares authorized, $1 par value:
| | | | | | |
| |
7.75% Series A cumulative redeemable preferred stock, $25
liquidation preference; 0 and 2,993,090 shares issued and
outstanding in 2013 and 2012, respectively
| | | | - | | | | |
74,827
| |
| |
7.50% Series B cumulative redeemable preferred stock, $25
liquidation preference; 3,791,000 shares issued and outstanding in
2013 and 2012
| | | | 94,775 | | | | |
94,775
| |
|
Common stock, $1 par value, 250,000,000 shares authorized,
193,230,213 and 107,660,080 shares issued in 2013 and 2012,
respectively
| | | | 193,230 | | | | |
107,660
| |
|
Additional paid-in capital
| | | | 1,420,810 | | | | |
690,024
| |
|
Treasury stock at cost, 3,570,082 shares in 2013 and 2012
| | | | (86,840 | ) | | | |
(86,840
|
)
|
|
Distributions in excess of cumulative net income
| | |
| (158,308 | ) | | |
|
(260,104
|
)
|
| | | | | | | |
|
| | TOTAL STOCKHOLDERS’ INVESTMENT | | | | 1,463,667 | | | | |
620,342
| |
| | | | | | | |
|
|
Nonredeemable noncontrolling interests
| | |
| 1,563 |
| | |
|
22,611
|
|
| | TOTAL EQUITY | | |
| 1,465,230 |
| | |
|
642,953
|
|
| | | | | | | |
|
| | TOTAL LIABILITIES AND EQUITY | | | $ | 2,263,766 |
| | |
$
|
1,124,242
|
|
|
|
| |
|
| |
|
| |
| COUSINS PROPERTIES INCORPORATED AND SUBSIDIARIES |
| SAME PROPERTY INFORMATION |
|
(unaudited, in thousands)
|
| | | |
|
| | | | | | | |
| | | Three Months Ended September 30, |
| | Nine Months Ended September 30, |
| | | 2013 | | | 2012 | | | 2013 | | | 2012 |
|
Net Operating Income - Consolidated Properties | | | | | | | | | | | | |
|
Rental property revenues
| | | $ | 49,208 | | | |
$
|
31,125
| | | | $ | 122,686 | | | |
$
|
88,347
| |
|
Rental property expenses
| | |
| (22,730 | ) | | |
|
(13,946
|
)
| | |
| (57,135 | ) | | |
|
(38,317
|
)
|
| Net Operating Income - Consolidated Properties | | | | 26,478 | | | | |
17,179
| | | | | 65,551 | | | | |
50,030
| |
|
Net Operating Income - Discontinued Operations
| | | | | | | | | | | | |
|
Rental property revenues
| | | | 1,237 | | | | |
6,522
| | | | | 3,924 | | | | |
23,468
| |
|
Rental property expenses
| | |
| (423 | ) | | |
|
(1,962
|
)
| | |
| (1,470 | ) | | |
|
(7,280
|
)
|
| Net Operating Income - Discontinued Operations | | |
| 814 |
| | |
|
4,560
|
| | |
| 2,454 |
| | |
|
16,188
|
|
| Net Operating Income - Unconsolidated Joint Ventures | | |
| 7,538 |
| | |
|
5,881
|
| | |
| 21,567 |
| | |
|
18,083
|
|
| Total Net Operating Income | | | $ | 34,830 |
| | |
$
|
27,620
|
| | | $ | 89,572 |
| | |
$
|
84,301
|
|
| | | | | | | | | | | |
|
|
Net Operating Income:
| | | | | | | | | | | | |
|
Same Property
| | | $ | 15,173 | | | |
$
|
14,513
| | | | $ | 45,540 | | | |
$
|
43,329
| |
|
Non-Same Property
| | |
| 19,657 |
| | |
|
13,107
|
| | |
| 44,032 |
| | |
|
40,972
|
|
| Net Operating Income | | | $ | 34,830 |
| | |
$
|
27,620
|
| | | $ | 89,572 |
| | |
$
|
84,301
|
|
| | | | | | | | | | | |
|
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. Same Property Net Operating Income includes
those office properties that have been fully operational in each
of the comparable reporting periods. A fully operational property
is one that has achieved 90% economic occupancy for each of the
two periods presented or has been substantially complete and owned
by the Company for each of the two periods presented and the
preceding year. 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