Boston Properties, Inc. | |||||||||||
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) | |||||||||
Boston Properties Limited Partnership | |||||||||||
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
Registrant | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | |||||||||||||||||
Boston Properties, Inc. |
Exhibit No. | Description | |||||||
*99.1 | ||||||||
*99.2 | ||||||||
*101.SCH | Inline XBRL Taxonomy Extension Schema Document. | |||||||
*101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document. | |||||||
*101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document. | |||||||
*101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document. | |||||||
*104 | Cover Page Interactive Data File (formatted as Inline XBRL with applicable taxonomy extension information contained in Exhibits 101.*). |
BOSTON PROPERTIES, INC. | |||||
By: | /s/ MICHAEL E. LABELLE | ||||
Michael E. LaBelle | |||||
Executive Vice President, Chief Financial Officer | |||||
and Treasurer | |||||
BOSTON PROPERTIES LIMITED PARTNERSHIP | |||||
By: Boston Properties, Inc., its General Partner | |||||
By: | /s/ MICHAEL E. LABELLE | ||||
Michael E. LaBelle | |||||
Executive Vice President, Chief Financial Officer | |||||
and Treasurer |
Corporate Headquarters | Trading Symbol | Investor Relations | Inquiries | ||||||||
800 Boylston Street | BXP | Boston Properties, Inc. | Inquiries should be directed to | ||||||||
Suite 1900 | 800 Boylston Street, Suite 1900 | Michael E. LaBelle | |||||||||
Boston, MA 02199 | Stock Exchange Listing | Boston, MA 02199 | Executive Vice President, Chief Financial Officer | ||||||||
www.bxp.com | New York Stock Exchange | investors.bxp.com | at 617.236.3352 or | ||||||||
(t) 617.236.3300 | investorrelations@bxp.com | mlabelle@bxp.com | |||||||||
(t) 617.236.3429 | |||||||||||
![]() | Q3 2021 | ||||
Table of contents |
Page | |||||
OVERVIEW | |||||
Company Profile | |||||
Guidance and assumptions | |||||
FINANCIAL INFORMATION | |||||
Financial Highlights | |||||
Consolidated Balance Sheets | |||||
Consolidated Income Statements | |||||
Funds From Operations (FFO) | |||||
Funds Available for Distribution (FAD) | |||||
Net Operating Income (NOI) | |||||
Same Property Net Operating Income (NOI) by Reportable Segment | |||||
Capital Expenditures, Tenant Improvement Costs and Leasing Commissions | |||||
Acquisitions and Dispositions | |||||
DEVELOPMENT ACTIVITY | |||||
Construction in Progress | |||||
Land Parcels and Purchase Options | |||||
LEASING ACTIVITY | |||||
Leasing Activity | |||||
PROPERTY STATISTICS | |||||
Portfolio Overview | |||||
Residential and Hotel Performance | |||||
In-Service Property Listing | |||||
Top 20 Tenants Listing and Portfolio Tenant Diversification | |||||
Occupancy by Location | |||||
DEBT AND CAPITALIZATION | |||||
Capital Structure | |||||
Debt Analysis | |||||
Senior Unsecured Debt Covenant Compliance Ratios | |||||
Net Debt to EBITDAre | |||||
Debt Ratios | |||||
JOINT VENTURES | |||||
Consolidated Joint Ventures | |||||
Unconsolidated Joint Ventures | |||||
LEASE EXPIRATION ROLL-OUT | |||||
Total In-Service Properties | |||||
Boston | |||||
Los Angeles | |||||
New York | |||||
San Francisco | |||||
Washington, DC | |||||
CBD | |||||
Suburban | |||||
RESEARCH COVERAGE, DEFINITIONS AND RECONCILIATIONS | |||||
Research Coverage | |||||
Definitions | |||||
Reconciliations | |||||
Consolidated Income Statement - Prior Year | |||||
![]() | Q3 2021 | ||||
Company profile |
Fiscal Year-End | December 31 | ||||
Total Properties (includes unconsolidated joint ventures and properties under development/redevelopment) | 202 | ||||
Total Square Feet (includes unconsolidated joint ventures and properties under development/redevelopment) | 52.5 million | ||||
Common shares outstanding, plus common units and LTIP units (other than unearned Multi-Year Long-Term Incentive Program (MYLTIP) Units) on an as-converted basis 1, 2 | 173.7 million | ||||
Closing Price, at the end of the quarter | $108.35 per share | ||||
Dividend - Quarter/Annualized | $0.98/$3.92 per share | ||||
Dividend Yield | 3.6% | ||||
Consolidated Market Capitalization 2 | $32.2 billion | ||||
BXP’s Share of Market Capitalization 2, 3 | $32.3 billion | ||||
Senior Debt Ratings | BBB+ (S&P); Baa1 (Moody’s) |
Board of Directors | Management | |||||||||||||
Joel I. Klein | Chairman of the Board | Owen D. Thomas | Chief Executive Officer | |||||||||||
Owen D. Thomas | Chief Executive Officer | Douglas T. Linde | President | |||||||||||
Douglas T. Linde | President | Raymond A. Ritchey | Senior Executive Vice President | |||||||||||
Kelly A. Ayotte | Chair of Compensation Committee | Michael E. LaBelle | Executive Vice President, Chief Financial Officer and Treasurer | |||||||||||
Bruce W. Duncan | Bryan J. Koop | Executive Vice President, Boston Region | ||||||||||||
Karen E. Dykstra | John F. Powers | Executive Vice President, New York Region | ||||||||||||
Carol B. Einiger | Robert E. Pester | Executive Vice President, San Francisco Region | ||||||||||||
Diane J. Hoskins | Chair of Sustainability Committee | Jonathan D. Lange | Senior Vice President, Los Angeles Region | |||||||||||
Matthew J. Lustig | Chair of Nominating & Corporate Governance Committee | Peter V. Otteni | Senior Vice President, Co-Head of the Washington, DC Region | |||||||||||
John J. Stroman | Senior Vice President, Co-Head of the Washington, DC Region | |||||||||||||
David A. Twardock | Chair of Audit Committee | Frank D. Burt | Senior Vice President, Chief Legal Officer | |||||||||||
William H. Walton, III | Donna D. Garesche | Senior Vice President, Chief Human Resources Officer | ||||||||||||
Michael R. Walsh | Senior Vice President, Chief Accounting Officer | |||||||||||||
James J. Whalen | Senior Vice President, Chief Information & Technology Officer |
![]() | Q3 2021 | ||||
Guidance and assumptions |
Full Year 2021 | Full Year 2022 | |||||||||||||||||||||||||||||||
Low | High | Low | High | |||||||||||||||||||||||||||||
Projected EPS (diluted) | $ | 3.11 | $ | 3.13 | $ | 2.97 | $ | 3.17 | ||||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||||||
Projected Company share of real estate depreciation and amortization | 4.14 | 4.14 | 4.28 | 4.28 | ||||||||||||||||||||||||||||
Projected Company share of (gains)/losses on sales of real estate | (0.75) | (0.75) | — | — | ||||||||||||||||||||||||||||
Projected FFO per share (diluted) | $ | 6.50 | $ | 6.52 | $ | 7.25 | $ | 7.45 |
Full Year 2021 | Full Year 2022 | ||||||||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||||||||
Operating property activity: | |||||||||||||||||||||||||||||
Average In-service portfolio occupancy | 88.00 | % | 89.00 | % | 88.00 | % | 90.00 | % | |||||||||||||||||||||
Increase in BXP’s Share of Same Property net operating income (excluding termination income) | 5.00 | % | 6.00 | % | 2.00 | % | 3.50 | % | |||||||||||||||||||||
Increase in BXP’s Share of Same Property net operating income - cash (excluding termination income) | 4.00 | % | 5.00 | % | 5.50 | % | 6.50 | % | |||||||||||||||||||||
BXP’s Share of Non Same Properties’ incremental contribution to net operating income over prior year (excluding asset sales) | $ | 26,000 | $ | 28,000 | $ | 72,000 | $ | 80,000 | |||||||||||||||||||||
BXP’s Share of incremental net operating income related to asset sales over prior year | $ | (15,000) | $ | (13,000) | $ | (11,000) | $ | (9,000) | |||||||||||||||||||||
BXP’s Share of straight-line rent and fair value lease revenue (non-cash revenue) | $ | 115,000 | $ | 120,000 | $ | 90,000 | $ | 115,000 | |||||||||||||||||||||
Termination income | $ | 12,000 | $ | 13,000 | $ | — | $ | 4,000 | |||||||||||||||||||||
Other revenue (expense): | |||||||||||||||||||||||||||||
Development and management services revenue | $ | 25,000 | $ | 26,000 | $ | 22,000 | $ | 28,000 | |||||||||||||||||||||
General and administrative expense 1 | $ | (148,000) | $ | (147,000) | $ | (157,000) | $ | (151,000) | |||||||||||||||||||||
Net interest expense 2 | $ | (469,000) | $ | (466,000) | $ | (415,000) | $ | (405,000) | |||||||||||||||||||||
Noncontrolling interest: | |||||||||||||||||||||||||||||
Noncontrolling interest in property partnerships’ share of FFO | $ | (141,000) | $ | (139,000) | $ | (147,000) | $ | (143,000) |
![]() | Q3 2021 | ||||
Financial highlights |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Net income attributable to Boston Properties, Inc. | $ | 108,297 | $ | 111,703 | ||||||||||
Net income attributable to Boston Properties, Inc. per share - diluted | $ | 0.69 | $ | 0.71 | ||||||||||
FFO attributable to Boston Properties, Inc. 1 | $ | 270,477 | $ | 268,642 | ||||||||||
Diluted FFO per share 1 | $ | 1.73 | $ | 1.72 | ||||||||||
Dividends per common share | $ | 0.98 | $ | 0.98 | ||||||||||
Funds available for distribution to common shareholders and common unitholders (FAD) 2 | $ | 236,608 | $ | 178,341 | ||||||||||
Selected items: | ||||||||||||||
Revenue | $ | 730,056 | $ | 713,807 | ||||||||||
Recoveries from tenants | $ | 107,766 | $ | 100,433 | ||||||||||
Service income from tenants | $ | 1,874 | $ | 1,516 | ||||||||||
BXP’s Share of revenue 3 | $ | 696,313 | $ | 683,273 | ||||||||||
BXP’s Share of straight-line rent 3 | $ | 35,811 | $ | 30,855 | ||||||||||
BXP’s Share of fair value lease revenue 3, 4 | $ | 1,793 | $ | 1,193 | ||||||||||
BXP’s Share of termination income 3 | $ | 1,847 | $ | 6,067 | ||||||||||
Ground rent expense | $ | 3,249 | $ | 3,261 | ||||||||||
Capitalized interest | $ | 11,586 | $ | 13,014 | ||||||||||
Capitalized wages | $ | 3,366 | $ | 3,459 | ||||||||||
Loss from unconsolidated joint ventures | $ | (5,597) | $ | (1,373) | ||||||||||
BXP’s share of FFO from unconsolidated joint ventures 5 | $ | 12,206 | $ | 13,977 | ||||||||||
Net income attributable to noncontrolling interests in property partnerships | $ | 18,971 | $ | 17,164 | ||||||||||
FFO attributable to noncontrolling interests in property partnerships 6 | $ | 35,744 | $ | 34,277 | ||||||||||
Balance Sheet items: | ||||||||||||||
Above-market rents (included within Prepaid Expenses and Other Assets) | $ | 1,906 | $ | 2,207 | ||||||||||
Below-market rents (included within Other Liabilities) | $ | 24,823 | $ | 26,271 | ||||||||||
Accrued rental income liability (included within Other Liabilities) | $ | 132,580 | $ | 136,085 | ||||||||||
Ratios: | ||||||||||||||
Interest Coverage Ratio (excluding capitalized interest) 7 | 3.79 | 3.84 | ||||||||||||
Interest Coverage Ratio (including capitalized interest) 7 | 3.37 | 3.37 | ||||||||||||
Fixed Charge Coverage Ratio 7 | 2.94 | 2.83 | ||||||||||||
BXP’s Share of Net Debt to BXP’s Share of EBITDAre (Annualized) 8 | 7.70 | 7.44 | ||||||||||||
Change in BXP’s Share of Same Store Net Operating Income (NOI) (excluding termination income) 9 | 7.4 | % | 8.9 | % | ||||||||||
Change in BXP’s Share of Same Store NOI (excluding termination income) - cash 9 | 9.2 | % | 7.5 | % | ||||||||||
FAD Payout Ratio 2 | 71.97 | % | 95.47 | % | ||||||||||
Operating Margins [(rental revenue - rental expense)/rental revenue] | 63.9 | % | 64.6 | % | ||||||||||
Occupancy of In-Service Properties | 88.4 | % | 88.6 | % | ||||||||||
Capitalization: | ||||||||||||||
Consolidated Debt | $ | 13,378,350 | $ | 12,536,065 | ||||||||||
BXP’s Share of Debt 10 | $ | 13,477,453 | $ | 12,534,659 | ||||||||||
Consolidated Market Capitalization | $ | 32,196,903 | $ | 32,436,223 | ||||||||||
Consolidated Debt/Consolidated Market Capitalization | 41.55 | % | 38.65 | % | ||||||||||
BXP’s Share of Market Capitalization 10 | $ | 32,296,006 | $ | 32,434,817 | ||||||||||
BXP’s Share of Debt/BXP’s Share of Market Capitalization 10 | 41.73 | % | 38.65 | % |
![]() | Q3 2021 | ||||
Consolidated Balance Sheets |
30-Sep-21 | 30-Jun-21 | |||||||||||||
ASSETS | ||||||||||||||
Real estate | $ | 22,088,835 | $ | 22,012,095 | ||||||||||
Construction in progress | 1,054,531 | 908,061 | ||||||||||||
Land held for future development | 568,034 | 497,019 | ||||||||||||
Right of use assets - finance leases | 237,845 | 237,765 | ||||||||||||
Right of use assets - operating leases | 170,085 | 170,331 | ||||||||||||
Less accumulated depreciation | (5,850,397) | (5,752,818) | ||||||||||||
Total real estate | 18,268,933 | 18,072,453 | ||||||||||||
Cash and cash equivalents | 1,002,728 | 557,307 | ||||||||||||
Cash held in escrows | 79,193 | 79,973 | ||||||||||||
Investments in securities | 41,517 | 41,476 | ||||||||||||
Tenant and other receivables, net | 61,269 | 58,624 | ||||||||||||
Related party note receivable, net | 78,144 | 77,872 | ||||||||||||
Notes receivable, net | 19,297 | 19,087 | ||||||||||||
Accrued rental income, net | 1,203,840 | 1,172,411 | ||||||||||||
Deferred charges, net | 622,807 | 627,338 | ||||||||||||
Prepaid expenses and other assets | 97,560 | 46,946 | ||||||||||||
Investments in unconsolidated joint ventures | 1,373,522 | 1,305,589 | ||||||||||||
Total assets | $ | 22,848,810 | $ | 22,059,076 | ||||||||||
LIABILITIES AND EQUITY | ||||||||||||||
Liabilities: | ||||||||||||||
Mortgage notes payable, net | $ | 2,898,699 | $ | 2,901,709 | ||||||||||
Unsecured senior notes, net | 10,479,651 | 9,634,356 | ||||||||||||
Unsecured line of credit | — | — | ||||||||||||
Lease liabilities - finance leases | 243,562 | 243,381 | ||||||||||||
Lease liabilities - operating leases | 204,137 | 226,594 | ||||||||||||
Accounts payable and accrued expenses | 331,687 | 305,969 | ||||||||||||
Dividends and distributions payable | 169,739 | 169,718 | ||||||||||||
Accrued interest payable | 87,408 | 107,386 | ||||||||||||
Other liabilities | 370,403 | 370,990 | ||||||||||||
Total liabilities | 14,785,286 | 13,960,103 | ||||||||||||
Commitments and contingencies | — | — | ||||||||||||
Redeemable deferred stock units | 8,775 | 8,980 | ||||||||||||
Equity: | ||||||||||||||
Stockholders’ equity attributable to Boston Properties, Inc.: | ||||||||||||||
Excess stock, $0.01 par value, 150,000,000 shares authorized, none issued or outstanding | — | — | ||||||||||||
Common stock, $0.01 par value, 250,000,000 shares authorized, 156,285,391 and 156,214,859 issued and 156,206,491 and 156,135,959 outstanding at September 30, 2021 and June 30, 2021, respectively | 1,562 | 1,561 | ||||||||||||
Additional paid-in capital | 6,415,802 | 6,405,916 | ||||||||||||
Dividends in excess of earnings | (657,021) | (612,247) | ||||||||||||
Treasury common stock at cost, 78,900 shares at September 30, 2021 and June 30, 2021 | (2,722) | (2,722) | ||||||||||||
Accumulated other comprehensive loss | (40,803) | (43,166) | ||||||||||||
Total stockholders’ equity attributable to Boston Properties, Inc. | 5,716,818 | 5,749,342 | ||||||||||||
Noncontrolling interests: | ||||||||||||||
Common units of the Operating Partnership | 609,830 | 615,308 | ||||||||||||
Property partnerships | 1,728,101 | 1,725,343 | ||||||||||||
Total equity | 8,054,749 | 8,089,993 | ||||||||||||
Total liabilities and equity | $ | 22,848,810 | $ | 22,059,076 |
![]() | Q3 2021 | ||||
Consolidated Income Statements |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Revenue | ||||||||||||||
Lease | $ | 692,260 | $ | 684,025 | ||||||||||
Parking and other | 21,266 | 17,864 | ||||||||||||
Insurance proceeds 1 | 2,241 | 418 | ||||||||||||
Hotel revenue | 5,189 | 1,561 | ||||||||||||
Development and management services | 6,094 | 7,284 | ||||||||||||
Direct reimbursements of payroll and related costs from management services contracts | 3,006 | 2,655 | ||||||||||||
Total revenue | 730,056 | 713,807 | ||||||||||||
Expenses | ||||||||||||||
Operating | 124,153 | 117,769 | ||||||||||||
Real estate taxes | 131,718 | 130,440 | ||||||||||||
Demolition costs | 169 | 92 | ||||||||||||
Restoration expenses related to insurance claim 1 | 2,241 | 402 | ||||||||||||
Hotel operating | 3,946 | 1,996 | ||||||||||||
General and administrative 2 | 34,560 | 38,405 | ||||||||||||
Payroll and related costs from management services contracts | 3,006 | 2,655 | ||||||||||||
Transaction costs | 1,888 | 751 | ||||||||||||
Depreciation and amortization | 179,412 | 183,838 | ||||||||||||
Total expenses | 481,093 | 476,348 | ||||||||||||
Other income (expense) | ||||||||||||||
Loss from unconsolidated joint ventures | (5,597) | (1,373) | ||||||||||||
Gains on sales of real estate | 348 | 7,756 | ||||||||||||
Gains (losses) from investments in securities 2 | (190) | 2,275 | ||||||||||||
Interest and other income (loss) | 1,520 | 1,452 | ||||||||||||
Interest expense | (105,794) | (106,319) | ||||||||||||
Net income | 139,250 | 141,250 | ||||||||||||
Net income attributable to noncontrolling interests | ||||||||||||||
Noncontrolling interest in property partnerships | (18,971) | (17,164) | ||||||||||||
Noncontrolling interest - common units of the Operating Partnership 3 | (11,982) | (12,383) | ||||||||||||
Net income attributable to Boston Properties, Inc. | $ | 108,297 | $ | 111,703 | ||||||||||
INCOME PER SHARE OF COMMON STOCK (EPS) | ||||||||||||||
Net income attributable to Boston Properties, Inc. per share - basic | $ | 0.69 | $ | 0.72 | ||||||||||
Net income attributable to Boston Properties, Inc. per share - diluted | $ | 0.69 | $ | 0.71 |
![]() | Q3 2021 | ||||
Funds from operations (FFO) 1 |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Net income attributable to Boston Properties, Inc. | $ | 108,297 | $ | 111,703 | ||||||||||
Add: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership | 11,982 | 12,383 | ||||||||||||
Noncontrolling interests in property partnerships | 18,971 | 17,164 | ||||||||||||
Net income | 139,250 | 141,250 | ||||||||||||
Add: | ||||||||||||||
Depreciation and amortization expense | 179,412 | 183,838 | ||||||||||||
Noncontrolling interests in property partnerships' share of depreciation and amortization 2 | (16,773) | (17,113) | ||||||||||||
BXP's share of depreciation and amortization from unconsolidated joint ventures 3 | 17,803 | 15,350 | ||||||||||||
Corporate-related depreciation and amortization | (443) | (444) | ||||||||||||
Less: | ||||||||||||||
Gains on sales of real estate | 348 | 7,756 | ||||||||||||
Noncontrolling interests in property partnerships | 18,971 | 17,164 | ||||||||||||
FFO attributable to the Operating Partnership (including Boston Properties, Inc.) (Basic FFO) | 299,930 | 297,961 | ||||||||||||
Less: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership’s share of FFO | 29,453 | 29,319 | ||||||||||||
FFO attributable to Boston Properties, Inc. | $ | 270,477 | $ | 268,642 | ||||||||||
Boston Properties, Inc.’s percentage share of Basic FFO | 90.18 | % | 90.16 | % | ||||||||||
Noncontrolling interest’s - common unitholders percentage share of Basic FFO | 9.82 | % | 9.84 | % | ||||||||||
Basic FFO per share | $ | 1.73 | $ | 1.72 | ||||||||||
Weighted average shares outstanding - basic | 156,183 | 156,107 | ||||||||||||
Diluted FFO per share | $ | 1.73 | $ | 1.72 | ||||||||||
Weighted average shares outstanding - diluted | 156,598 | 156,519 |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Basic FFO | $ | 299,930 | $ | 297,961 | ||||||||||
Add: | ||||||||||||||
Effect of dilutive securities - stock-based compensation | — | — | ||||||||||||
Diluted FFO | 299,930 | 297,961 | ||||||||||||
Less: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership’s share of diluted FFO | 29,393 | 29,259 | ||||||||||||
Boston Properties, Inc.’s share of Diluted FFO | $ | 270,537 | $ | 268,702 |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Shares/units for Basic FFO | 173,194 | 173,150 | ||||||||||||
Add: | ||||||||||||||
Effect of dilutive securities - stock-based compensation (shares/units) | 415 | 412 | ||||||||||||
Shares/units for Diluted FFO | 173,609 | 173,562 | ||||||||||||
Less: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership’s share of Diluted FFO (shares/units) | 17,011 | 17,043 | ||||||||||||
Boston Properties, Inc.’s share of shares/units for Diluted FFO | 156,598 | 156,519 | ||||||||||||
Boston Properties, Inc.’s percentage share of Diluted FFO | 90.20 | % | 90.18 | % |
![]() | Q3 2021 | ||||
Funds available for distributions (FAD) 1 |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Net income attributable to Boston Properties, Inc. | $ | 108,297 | $ | 111,703 | ||||||||||
Add: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership | 11,982 | 12,383 | ||||||||||||
Noncontrolling interests in property partnerships | 18,971 | 17,164 | ||||||||||||
Net income | 139,250 | 141,250 | ||||||||||||
Add: | ||||||||||||||
Depreciation and amortization expense | 179,412 | 183,838 | ||||||||||||
Noncontrolling interests in property partnerships’ share of depreciation and amortization 2 | (16,773) | (17,113) | ||||||||||||
BXP’s share of depreciation and amortization from unconsolidated joint ventures 3 | 17,803 | 15,350 | ||||||||||||
Corporate-related depreciation and amortization | (443) | (444) | ||||||||||||
Less: | ||||||||||||||
Gains on sales of real estate | 348 | 7,756 | ||||||||||||
Noncontrolling interests in property partnerships | 18,971 | 17,164 | ||||||||||||
Basic FFO | 299,930 | 297,961 | ||||||||||||
Add: | ||||||||||||||
BXP’s Share of lease transaction costs that qualify as rent inducements 1, 4 | 3,379 | (132) | ||||||||||||
BXP’s Share of hedge amortization 1 | 1,446 | 1,446 | ||||||||||||
BXP’s Share of straight-line ground rent expense adjustment 1, 5 | 996 | 698 | ||||||||||||
Stock-based compensation | 8,440 | 13,993 | ||||||||||||
Non-real estate depreciation | 443 | 444 | ||||||||||||
Unearned portion of capitalized fees from consolidated joint ventures 6 | 2,207 | 603 | ||||||||||||
Less: | ||||||||||||||
BXP’s Share of straight-line rent 1 | 35,811 | 30,855 | ||||||||||||
BXP’s Share of fair value lease revenue 1, 7 | 1,793 | 1,193 | ||||||||||||
BXP’s Share of 2nd generation tenant improvements and leasing commissions 1 | 25,826 | 82,476 | ||||||||||||
BXP’s Share of maintenance capital expenditures 1, 8 | 16,800 | 22,145 | ||||||||||||
Hotel improvements, equipment upgrades and replacements | 3 | 3 | ||||||||||||
Funds available for distribution to common shareholders and common unitholders (FAD) (A) | $ | 236,608 | $ | 178,341 | ||||||||||
Distributions to common shareholders and unitholders (excluding any special distributions) (B) | $ | 170,286 | $ | 170,266 | ||||||||||
FAD Payout Ratio1 (B÷A) | 71.97 | % | 95.47 | % |
![]() | Q3 2021 | ||||
Reconciliation of net income attributable to Boston Properties, Inc. common shareholders to BXP’s Share of same property net operating income (NOI) |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Sep-20 | |||||||||||||
Net income attributable to Boston Properties, Inc. common shareholders | $ | 108,297 | $ | 89,854 | ||||||||||
Preferred dividends | — | 2,625 | ||||||||||||
Net income attributable to Boston Properties, Inc. | 108,297 | 92,479 | ||||||||||||
Net income attributable to noncontrolling interests: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership | 11,982 | 10,020 | ||||||||||||
Noncontrolling interest in property partnerships | 18,971 | 15,561 | ||||||||||||
Net income | 139,250 | 118,060 | ||||||||||||
Add: | ||||||||||||||
Interest expense | 105,794 | 110,993 | ||||||||||||
Depreciation and amortization expense | 179,412 | 166,456 | ||||||||||||
Transaction costs | 1,888 | 307 | ||||||||||||
Payroll and related costs from management services contracts | 3,006 | 2,896 | ||||||||||||
General and administrative expense | 34,560 | 27,862 | ||||||||||||
Less: | ||||||||||||||
Interest and other income (loss) | 1,520 | (45) | ||||||||||||
Gains (losses) from investments in securities | (190) | 1,858 | ||||||||||||
Gains (losses) on sales of real estate | 348 | (209) | ||||||||||||
Loss from unconsolidated joint ventures | (5,597) | (6,873) | ||||||||||||
Direct reimbursements of payroll and related costs from management services contracts | 3,006 | 2,896 | ||||||||||||
Development and management services revenue | 6,094 | 7,281 | ||||||||||||
Net Operating Income (NOI) | 458,729 | 421,666 | ||||||||||||
Add: | ||||||||||||||
BXP’s share of NOI from unconsolidated joint ventures 1 | 24,266 | 24,938 | ||||||||||||
Less: | ||||||||||||||
Partners’ share of NOI from consolidated joint ventures (after income allocation to private REIT shareholders) 2 | 47,800 | 42,160 | ||||||||||||
BXP’s Share of NOI | 435,195 | 404,444 | ||||||||||||
Less: | ||||||||||||||
Termination income | 1,874 | 3,406 | ||||||||||||
BXP’s share of termination income from unconsolidated joint ventures 1 | (17) | — | ||||||||||||
Add: | ||||||||||||||
Partners’ share of termination income (loss) from consolidated joint ventures 2 | 10 | 556 | ||||||||||||
BXP’s Share of NOI (excluding termination income) | $ | 433,348 | $ | 401,594 | ||||||||||
Net Operating Income (NOI) | $ | 458,729 | $ | 421,666 | ||||||||||
Less: | ||||||||||||||
Termination income | 1,874 | 3,406 | ||||||||||||
NOI from non Same Properties (excluding termination income) 3 | 5,227 | 1,842 | ||||||||||||
Same Property NOI (excluding termination income) | 451,628 | 416,418 | ||||||||||||
Less: | ||||||||||||||
Partners’ share of NOI from consolidated joint ventures (excluding termination income and after income allocation to private REIT shareholders) 2 | 47,790 | 41,604 | ||||||||||||
Add: | ||||||||||||||
Partners’ share of NOI from non Same Properties from consolidated joint ventures (excluding termination income and after income allocation to private REIT shareholders) 3 | 1,502 | (70) | ||||||||||||
BXP’s share of NOI from unconsolidated joint ventures (excluding termination income) 1 | 24,283 | 24,938 | ||||||||||||
Less: | ||||||||||||||
BXP’s share of NOI from non Same Properties from unconsolidated joint ventures (excluding termination income) 3 | 1,827 | 1,394 | ||||||||||||
BXP’s Share of Same Property NOI (excluding termination income) | $ | 427,796 | $ | 398,288 |
![]() | Q3 2021 | ||||
Reconciliation of net income attributable to Boston Properties, Inc. common shareholders to BXP’s Share of same property net operating income (NOI) - cash |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Sep-20 | |||||||||||||
Net income attributable to Boston Properties, Inc. common shareholders | $ | 108,297 | $ | 89,854 | ||||||||||
Preferred dividends | — | 2,625 | ||||||||||||
Net income attributable to Boston Properties, Inc. | 108,297 | 92,479 | ||||||||||||
Net income attributable to noncontrolling interests: | ||||||||||||||
Noncontrolling interest - common units of the Operating Partnership | 11,982 | 10,020 | ||||||||||||
Noncontrolling interest in property partnerships | 18,971 | 15,561 | ||||||||||||
Net income | 139,250 | 118,060 | ||||||||||||
Add: | ||||||||||||||
Interest expense | 105,794 | 110,993 | ||||||||||||
Depreciation and amortization expense | 179,412 | 166,456 | ||||||||||||
Transaction costs | 1,888 | 307 | ||||||||||||
Payroll and related costs from management services contracts | 3,006 | 2,896 | ||||||||||||
General and administrative expense | 34,560 | 27,862 | ||||||||||||
Less: | ||||||||||||||
Interest and other income (loss) | 1,520 | (45) | ||||||||||||
Gains (losses) from investments in securities | (190) | 1,858 | ||||||||||||
Gains (losses) on sales of real estate | 348 | (209) | ||||||||||||
Loss from unconsolidated joint ventures | (5,597) | (6,873) | ||||||||||||
Direct reimbursements of payroll and related costs from management services contracts | 3,006 | 2,896 | ||||||||||||
Development and management services revenue | 6,094 | 7,281 | ||||||||||||
Net Operating Income (NOI) | 458,729 | 421,666 | ||||||||||||
Less: | ||||||||||||||
Straight-line rent | 36,675 | 46,713 | ||||||||||||
Fair value lease revenue | 1,408 | (662) | ||||||||||||
Termination income | 1,874 | 3,406 | ||||||||||||
Add: | ||||||||||||||
Straight-line ground rent expense adjustment 1 | 748 | 799 | ||||||||||||
Lease transaction costs that qualify as rent inducements 2 | 4,090 | 3,966 | ||||||||||||
NOI - cash (excluding termination income) | 423,610 | 376,974 | ||||||||||||
Less: | ||||||||||||||
NOI - cash from non Same Properties (excluding termination income) 3 | 3,732 | 1,542 | ||||||||||||
Same Property NOI - cash (excluding termination income) | 419,878 | 375,432 | ||||||||||||
Less: | ||||||||||||||
Partners’ share of NOI - cash from consolidated joint ventures (excluding termination income and after income allocation to private REIT shareholders) 4 | 45,150 | 35,318 | ||||||||||||
Add: | ||||||||||||||
Partners’ share of NOI - cash from non Same Properties from consolidated joint ventures (excluding termination income and after income allocation to private REIT shareholders) 3 | 1,075 | (64) | ||||||||||||
BXP’s share of NOI - cash from unconsolidated joint ventures (excluding termination income) 5 | 21,619 | 22,288 | ||||||||||||
Less: | ||||||||||||||
BXP’s share of NOI - cash from non Same Properties from unconsolidated joint ventures (excluding termination income) 3 | 1,634 | (124) | ||||||||||||
BXP’s Share of Same Property NOI - cash (excluding termination income) | $ | 395,788 | $ | 362,462 |
![]() | Q3 2021 | ||||
Same property net operating income (NOI) by reportable segment |
Office 1 | Hotel & Residential | ||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | $ | % | Three Months Ended | $ | % | ||||||||||||||||||||||||||||||||||||||||||
30-Sep-21 | 30-Sep-20 | Change | Change | 30-Sep-21 | 30-Sep-20 | Change | Change | ||||||||||||||||||||||||||||||||||||||||
Rental Revenue 2 | $ | 696,372 | $ | 668,369 | $ | 15,276 | $ | 9,784 | |||||||||||||||||||||||||||||||||||||||
Less: Termination income | 1,874 | 2,715 | — | 691 | |||||||||||||||||||||||||||||||||||||||||||
Rental revenue (excluding termination income) 2 | 694,498 | 665,654 | $ | 28,844 | 4.3 | % | 15,276 | 9,093 | $ | 6,183 | 68.0 | % | |||||||||||||||||||||||||||||||||||
Less: Operating expenses and real estate taxes | 249,844 | 250,951 | (1,107) | (0.4) | % | 8,302 | 7,378 | 924 | 12.5 | % | |||||||||||||||||||||||||||||||||||||
NOI (excluding termination income) 2, 3 | $ | 444,654 | $ | 414,703 | $ | 29,951 | 7.2 | % | $ | 6,974 | $ | 1,715 | $ | 5,259 | 306.6 | % | |||||||||||||||||||||||||||||||
Rental revenue (excluding termination income) 2 | $ | 694,498 | $ | 665,654 | $ | 28,844 | 4.3 | % | $ | 15,276 | $ | 9,093 | $ | 6,183 | 68.0 | % | |||||||||||||||||||||||||||||||
Less: Straight-line rent and fair value lease revenue | 36,596 | 45,598 | (9,002) | (19.7) | % | (8) | 153 | (161) | (105.2) | % | |||||||||||||||||||||||||||||||||||||
Add: Lease transaction costs that qualify as rent inducements 4 | 4,042 | 3,966 | 76 | 1.9 | % | 48 | — | 48 | 100.0 | % | |||||||||||||||||||||||||||||||||||||
Subtotal | 661,944 | 624,022 | 37,922 | 6.1 | % | 15,332 | 8,940 | 6,392 | 71.5 | % | |||||||||||||||||||||||||||||||||||||
Less: Operating expenses and real estate taxes | 249,844 | 250,951 | (1,107) | (0.4) | % | 8,302 | 7,378 | 924 | 12.5 | % | |||||||||||||||||||||||||||||||||||||
Add: Straight-line ground rent expense 5 | 748 | 799 | (51) | (6.4) | % | — | — | — | — | % | |||||||||||||||||||||||||||||||||||||
NOI - cash (excluding termination income) 2, 3 | $ | 412,848 | $ | 373,870 | $ | 38,978 | 10.4 | % | $ | 7,030 | $ | 1,562 | $ | 5,468 | 350.1 | % | |||||||||||||||||||||||||||||||
Consolidated Total 1 (A) | BXP’s share of Unconsolidated Joint Ventures (B) | ||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | $ | % | Three Months Ended | $ | % | ||||||||||||||||||||||||||||||||||||||||||
30-Sep-21 | 30-Sep-20 | Change | Change | 30-Sep-21 | 30-Sep-20 | Change | Change | ||||||||||||||||||||||||||||||||||||||||
Rental Revenue 2 | $ | 711,648 | $ | 678,153 | $ | 37,933 | $ | 39,390 | |||||||||||||||||||||||||||||||||||||||
Less: Termination income | 1,874 | 3,406 | (17) | — | |||||||||||||||||||||||||||||||||||||||||||
Rental revenue (excluding termination income) 2 | 709,774 | 674,747 | $ | 35,027 | 5.2 | % | 37,950 | 39,390 | $ | (1,440) | (3.7) | % | |||||||||||||||||||||||||||||||||||
Less: Operating expenses and real estate taxes | 258,146 | 258,329 | (183) | (0.1) | % | 15,494 | 15,846 | (352) | (2.2) | % | |||||||||||||||||||||||||||||||||||||
NOI (excluding termination income) 2, 3 | $ | 451,628 | $ | 416,418 | $ | 35,210 | 8.5 | % | $ | 22,456 | $ | 23,544 | $ | (1,088) | (4.6) | % | |||||||||||||||||||||||||||||||
Rental revenue (excluding termination income) 2 | $ | 709,774 | $ | 674,747 | $ | 35,027 | 5.2 | % | $ | 37,950 | $ | 39,390 | $ | (1,440) | (3.7) | % | |||||||||||||||||||||||||||||||
Less: Straight-line rent and fair value lease revenue | 36,588 | 45,751 | (9,163) | (20.0) | % | 2,838 | 1,004 | 1,834 | 182.7 | % | |||||||||||||||||||||||||||||||||||||
Add: Lease transaction costs that qualify as rent inducements 4 | 4,090 | 3,966 | 124 | 3.1 | % | 367 | (128) | 495 | 386.7 | % | |||||||||||||||||||||||||||||||||||||
Subtotal | $ | 677,276 | $ | 632,962 | 44,314 | 7.0 | % | 35,479 | 38,258 | (2,779) | (7.3) | % | |||||||||||||||||||||||||||||||||||
Less: Operating expenses and real estate taxes | 258,146 | 258,329 | (183) | (0.1) | % | 15,494 | 15,846 | (352) | (2.2) | % | |||||||||||||||||||||||||||||||||||||
Add: Straight-line ground rent expense 5 | 748 | 799 | (51) | (6.4) | % | — | — | — | — | % | |||||||||||||||||||||||||||||||||||||
NOI - cash (excluding termination income) 2, 3 | $ | 419,878 | $ | 375,432 | $ | 44,446 | 11.8 | % | $ | 19,985 | $ | 22,412 | $ | (2,427) | (10.8) | % | |||||||||||||||||||||||||||||||
Partners’ share of Consolidated Joint Ventures (C) | BXP’s Share 3, 6, 7, 8 | ||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | $ | % | Three Months Ended | $ | % | ||||||||||||||||||||||||||||||||||||||||||
30-Sep-21 | 30-Sep-20 | Change | Change | 30-Sep-21 | 30-Sep-20 | Change | Change | ||||||||||||||||||||||||||||||||||||||||
Rental Revenue 2 | $ | 75,191 | $ | 71,395 | $ | 674,390 | $ | 646,148 | |||||||||||||||||||||||||||||||||||||||
Less: Termination income | 10 | 556 | 1,847 | 2,850 | |||||||||||||||||||||||||||||||||||||||||||
Rental revenue (excluding termination income) 2 | 75,181 | 70,839 | $ | 4,342 | 6.1 | % | 672,543 | 643,298 | $ | 29,245 | 4.5 | % | |||||||||||||||||||||||||||||||||||
Less: Operating expenses and real estate taxes | 28,893 | 29,165 | (272) | (0.9) | % | 244,747 | 245,010 | (263) | (0.1) | % | |||||||||||||||||||||||||||||||||||||
NOI (excluding termination income) 2, 3 | $ | 46,288 | $ | 41,674 | $ | 4,614 | 11.1 | % | $ | 427,796 | $ | 398,288 | $ | 29,508 | 7.4 | % | |||||||||||||||||||||||||||||||
Rental revenue (excluding termination income) 2 | $ | 75,181 | $ | 70,839 | $ | 4,342 | 6.1 | % | $ | 672,543 | $ | 643,298 | $ | 29,245 | 4.5 | % | |||||||||||||||||||||||||||||||
Less: Straight-line rent and fair value lease revenue | 3,291 | 7,165 | (3,874) | (54.1) | % | 36,135 | 39,590 | (3,455) | (8.7) | % | |||||||||||||||||||||||||||||||||||||
Add: Lease transaction costs that qualify as rent inducements 4 | 1,078 | 873 | 205 | 23.5 | % | 3,379 | 2,965 | 414 | 14.0 | % | |||||||||||||||||||||||||||||||||||||
Subtotal | 72,968 | 64,547 | 8,421 | 13.0 | % | 639,787 | 606,673 | 33,114 | 5.5 | % | |||||||||||||||||||||||||||||||||||||
Less: Operating expenses and real estate taxes | 28,893 | 29,165 | (272) | (0.9) | % | 244,747 | 245,010 | (263) | (0.1) | % | |||||||||||||||||||||||||||||||||||||
Add: Straight-line ground rent expense 5 | — | — | — | — | % | 748 | 799 | (51) | (6.4) | % | |||||||||||||||||||||||||||||||||||||
NOI - cash (excluding termination income) 2, 3 | $ | 44,075 | $ | 35,382 | $ | 8,693 | 24.6 | % | $ | 395,788 | $ | 362,462 | $ | 33,326 | 9.2 | % |
![]() | Q3 2021 | ||||
Same property net operating income (NOI) by reportable segment (continued) |
![]() | Q3 2021 | ||||
Capital expenditures, tenant improvement costs and leasing commissions |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Maintenance capital expenditures | $ | 17,779 | $ | 23,851 | ||||||||||
Planned capital expenditures associated with acquisition properties | — | — | ||||||||||||
Repositioning capital expenditures | — | (10) | ||||||||||||
Hotel improvements, equipment upgrades and replacements | 3 | 3 | ||||||||||||
Subtotal | 17,782 | 23,844 | ||||||||||||
Add: | ||||||||||||||
BXP’s share of maintenance capital expenditures from unconsolidated joint ventures (JVs) | 192 | 380 | ||||||||||||
BXP’s share of planned capital expenditures associated with acquisition properties from unconsolidated JVs | 786 | 1,156 | ||||||||||||
BXP’s share of repositioning capital expenditures from unconsolidated JVs | — | — | ||||||||||||
Less: | ||||||||||||||
Partners’ share of maintenance capital expenditures from consolidated JVs | 1,171 | 2,086 | ||||||||||||
Partners’ share of planned capital expenditures associated with acquisition properties from consolidated JVs | — | — | ||||||||||||
Partners’ share of repositioning capital expenditures from consolidated JVs | — | — | ||||||||||||
BXP’s Share of Capital Expenditures 1 | $ | 17,589 | $ | 23,294 |
Three Months Ended | ||||||||||||||
30-Sep-21 | 30-Jun-21 | |||||||||||||
Square feet | 718,572 | 1,354,986 | ||||||||||||
Tenant improvements and lease commissions PSF | $ | 43.95 | $ | 74.26 |
![]() | Q3 2021 | ||||
Acquisitions and dispositions |
Investment | ||||||||||||||||||||||||||||||||||||||||||||
Property | Location | Date Acquired | Square Feet | Initial | Anticipated Future | Total | In-service Leased (%) | |||||||||||||||||||||||||||||||||||||
153 & 211 Second Avenue | Waltham, MA | June 2, 2021 | 136,882 | $ | 100,176 | $ | 5,000 | $ | 105,176 | 100.0 | % | |||||||||||||||||||||||||||||||||
Shady Grove Bio+Tech Campus 1 | Rockville, MD | August 2, 2021 | 233,452 | 116,500 | — | 116,500 | 64.4 | % | ||||||||||||||||||||||||||||||||||||
Safeco Plaza 2 | Seattle, WA | September 1, 2021 | 765,139 | 465,000 | 40,000 | 505,000 | 90.9 | % | ||||||||||||||||||||||||||||||||||||
Total Acquisitions | 1,135,473 | $ | 681,676 | $ | 45,000 | $ | 726,676 | 86.6 | % |
Property | Location | Date Disposed | Square Feet | Gross Sales Price | Net Cash Proceeds | Book Gain | ||||||||||||||||||||||||||||||||||||||
Annapolis Junction Buildings Six and Seven 3 | Annapolis, MD | March 30, 2021 | 246,568 | $ | 65,948 | $ | 17,600 | $ | 10,257 | |||||||||||||||||||||||||||||||||||
6595 Springfield Center Drive 4 | Springfield, VA | December 13, 2018 | N/A | N/A | N/A | 8,104 | ||||||||||||||||||||||||||||||||||||||
Total Dispositions | 246,568 | $ | 65,948 | $ | 17,600 | $ | 18,361 |
![]() | Q3 2021 | ||||
Construction in progress |
Actual/Estimated | BXP’s share | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Initial Occupancy | Stabilization Date | Square Feet | Investment to Date 2 | Estimated Total Investment 2 | Total Financing | Amount Drawn at 9/30/2021 | Estimated Future Equity Requirement 2 | Percentage Leased 3 | Percentage placed in-service 4 | Net Operating Income (Loss) 5 (BXP’s share) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Construction Properties | Location | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Office | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
325 Main Street | Q3 2022 | Q3 2022 | Cambridge, MA | 420,000 | $ | 283,920 | $ | 418,400 | $ | — | $ | — | $ | 134,480 | 90 | % | — | % | N/A | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
100 Causeway Street (50% ownership) | Q3 2021 | Q3 2022 | Boston, MA | 632,000 | 229,627 | 267,300 | 200,000 | 148,603 | — | 95 | % | 79 | % | $ | 47 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
7750 Wisconsin Avenue (Marriott International Headquarters) (50% ownership) | Q1 2022 | Q1 2022 | Bethesda, MD | 734,000 | 168,945 | 198,900 | 127,500 | 104,036 | 6,491 | 100 | % | — | % | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reston Next 6 | Q4 2021 | Q4 2023 | Reston, VA | 1,062,000 | 507,726 | 715,300 | — | — | 207,574 | 85 | % | — | % | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2100 Pennsylvania Avenue | Q3 2022 | Q3 2024 | Washington, DC | 480,000 | 209,193 | 356,100 | — | — | 146,907 | 56 | % | — | % | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Office Properties under Construction | 3,328,000 | 1,399,411 | 1,956,000 | 327,500 | 252,639 | 495,452 | 87 | % | 15 | % | 47 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lab/Life Sciences | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
200 West Street (Redevelopment) 7 | Q4 2021 | Q4 2021 | Waltham, MA | 138,000 | 29,340 | 47,800 | — | — | $ | 18,460 | 100 | % | — | % | N/A | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
880 Winter Street (Redevelopment) | Q1 2023 | Q2 2024 | Waltham, MA | 224,000 | 6,964 | 108,000 | — | — | 101,036 | 17 | % | — | % | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
751 Gateway (49% ownership) | Q1 2023 | Q3 2024 | South San Francisco, CA | 229,000 | 28,723 | 127,600 | — | — | 98,877 | — | % | — | % | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
180 CityPoint | Q1 2024 | Q4 2024 | Waltham, MA | 329,000 | 41,442 | 274,700 | — | — | 233,258 | — | % | — | % | N/A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Lab/Life Sciences Properties under Construction | 920,000 | 106,469 | 558,100 | — | — | 451,631 | 19 | % | — | % | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
View Boston Observatory at The Prudential Center (Redevelopment) | Q2 2023 | N/A | Boston, MA | 59,000 | 45,158 | 182,300 | — | — | 137,142 | N/A | — | % | N/A | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Properties Under Construction | 4,307,000 | $ | 1,551,038 | $ | 2,696,400 | $ | 327,500 | $ | 252,639 | $ | 1,084,225 | 72 | % | 8 | 12 | % | $ | 47 |
Actual/Estimated | BXP’s share | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Estimated Total Investment 2 | Amount Drawn at 9/30/2021 | Estimated Future Equity Requirement 2 | Net Operating Income (Loss) 5 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Initial Occupancy | Stabilization Date | Square feet | Investment to Date 2 | Total Financing | Percentage Leased 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Location | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
One Five Nine East 53rd (55% Ownership) | Q1 2021 | Q1 2021 | New York, NY | 220,000 | $ | 144,402 | $ | 150,000 | $ | — | $ | — | $ | 5,598 | 96 | % | $ | 3,261 | |||||||||||||||||||||||||||||||||||||||||||||||
Total Projects Fully Placed In-Service | 220,000 | $ | 144,402 | $ | 150,000 | $ | — | $ | — | $ | 5,598 | 96 | % | $ | 3,261 |
![]() | Q3 2021 | ||||
Land parcels and purchase options |
Location | Approximate Developable Square Feet 1 | |||||||
Reston, VA 2 | 2,938,000 | |||||||
San Jose, CA 3 | 2,199,000 | |||||||
New York, NY (25% Ownership) | 2,000,000 | |||||||
Princeton, NJ | 1,650,000 | |||||||
San Jose, CA (55% Ownership) | 1,078,000 | |||||||
San Francisco, CA | 850,000 | |||||||
Santa Clara, CA | 632,000 | |||||||
Washington, DC (50% ownership) | 520,000 | |||||||
Springfield, VA | 422,000 | |||||||
South San Francisco, CA (50% Ownership) | 411,000 | |||||||
Waltham, MA | 396,000 | |||||||
Dulles, VA | 310,000 | |||||||
El Segundo, CA (50% Ownership) | 275,000 | |||||||
Rockville, MD 3, 4 | 202,000 | |||||||
Total | 13,883,000 |
Location | Approximate Developable Square Feet 1 | |||||||
Cambridge, MA | 1,400,000 | |||||||
Boston, MA | 1,300,000 | |||||||
Waltham, MA 5 | 1,200,000 | |||||||
Total | 3,900,000 |
![]() | Q3 2021 | ||||
Leasing activity |
Net (increase)/decrease in available space (SF) | Total | ||||
Vacant space available at the beginning of the period | 5,186,818 | ||||
Add: | |||||
Properties acquired vacant space 1 | 143,848 | ||||
Properties placed (and partially placed) in-service 2 | 503,024 | ||||
Leases expiring or terminated during the period | 862,505 | ||||
Total space available for lease | 6,696,195 | ||||
1st generation leases | 585,933 | ||||
2nd generation leases with new tenants | 407,240 | ||||
2nd generation lease renewals | 311,332 | ||||
Total space leased | 1,304,505 | ||||
Vacant space available for lease at the end of the period | 5,391,690 | ||||
Net (increase)/decrease in available space | (204,872) | ||||
Second generation leasing information: 3 | |||||
Leases commencing during the period (SF) | 718,572 | ||||
Weighted average lease term (months) | 58 | ||||
Weighted average free rent period (days) | 124 | ||||
Total transaction costs per square foot 4 | $43.95 | ||||
Increase (decrease) in gross rents 5 | (9.42) | % | |||
Increase (decrease) in net rents 6 | (14.23) | % |
All leases (SF) | Incr (decr) in 2nd generation cash rents | Total square feet of leases executed in the quarter 8 | |||||||||||||||||||||||||||||||||
1st generation | 2nd generation | total 7 | gross 5 | net 6 | |||||||||||||||||||||||||||||||
Boston | 571,766 | 209,872 | 781,638 | 11.09 | % | 16.59 | % | 769,093 | |||||||||||||||||||||||||||
Los Angeles | — | 8,973 | 8,973 | (8.00) | % | (11.16) | % | 7,180 | |||||||||||||||||||||||||||
New York | 14,167 | 245,097 | 259,264 | (17.65) | % | (27.06) | % | 168,990 | |||||||||||||||||||||||||||
San Francisco | — | 91,359 | 91,359 | 7.19 | % | 9.44 | % | 185,253 | |||||||||||||||||||||||||||
Seattle | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Washington, DC | — | 163,271 | 163,271 | (14.64) | % | (21.87) | % | 301,301 | |||||||||||||||||||||||||||
Total / Weighted Average | 585,933 | 718,572 | 1,304,505 | (9.42) | % | (14.23) | % | 1,431,817 |
![]() | Q3 2021 | ||||
Portfolio overview |
Office | Retail | Residential | Hotel | Total | ||||||||||||||||||||||||||||
Boston | 13,720,696 | 1,058,690 | 550,114 | 330,000 | 15,659,500 | |||||||||||||||||||||||||||
Los Angeles | 2,181,670 | 124,932 | — | — | 2,306,602 | |||||||||||||||||||||||||||
New York | 11,328,824 | 417,849 | — | — | 11,746,673 | |||||||||||||||||||||||||||
San Francisco | 7,291,388 | 351,186 | 318,171 | — | 7,960,745 | |||||||||||||||||||||||||||
Seattle | 749,110 | 16,029 | — | — | 765,139 | |||||||||||||||||||||||||||
Washington, DC | 8,274,757 | 682,131 | 822,436 | — | 9,779,324 | |||||||||||||||||||||||||||
Total | 43,546,445 | 2,650,817 | 1,690,721 | 330,000 | 48,217,983 | |||||||||||||||||||||||||||
% of Total | 90.31 | % | 5.50 | % | 3.51 | % | 0.68 | % | 100.00 | % |
Office | Retail | Residential | Hotel 3 | Total | ||||||||||||||||||||||||||||
Consolidated | $ | 655,238 | $ | 50,402 | $ | 10,227 | $ | 5,089 | $ | 720,956 | ||||||||||||||||||||||
Less: | ||||||||||||||||||||||||||||||||
Partners’ share from consolidated joint ventures 4 | 68,008 | 8,943 | — | — | 76,951 | |||||||||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||||||
BXP’s share from unconsolidated joint ventures 5 | 38,933 | 2,185 | 1,923 | — | 43,041 | |||||||||||||||||||||||||||
BXP’s Share of Rental revenue 1 | $ | 626,163 | $ | 43,644 | $ | 12,150 | $ | 5,089 | $ | 687,046 | ||||||||||||||||||||||
% of Total | 91.14 | % | 6.35 | % | 1.77 | % | 0.74 | % | 100.00 | % |
CBD | Suburban | Total | |||||||||||||||
Boston | 26.66 | % | 7.78 | % | 34.44 | % | |||||||||||
Los Angeles | 2.79 | % | — | % | 2.79 | % | |||||||||||
New York | 26.71 | % | 2.05 | % | 28.76 | % | |||||||||||
San Francisco | 16.65 | % | 2.83 | % | 19.48 | % | |||||||||||
Seattle | 0.15 | % | — | % | 0.15 | % | |||||||||||
Washington, DC | 4.89 | % | 9.49 | % | 14.38 | % | |||||||||||
Total | 77.85 | % | 22.15 | % | 100.00 | % |
![]() | Q3 2021 | ||||
Residential and hotel performance |
Residential 1 | Hotel 2 | ||||||||||||||||||||||
Three Months Ended | Three Months Ended | ||||||||||||||||||||||
30-Sep-21 | 30-Jun-21 | 30-Sep-21 | 30-Jun-21 | ||||||||||||||||||||
Rental Revenue 3 | $ | 10,894 | $ | 9,763 | $ | 5,189 | $ | 1,561 | |||||||||||||||
Less: Operating expenses and real estate taxes | 6,045 | 5,928 | 3,946 | 1,996 | |||||||||||||||||||
Net Operating Income (Loss) (NOI) 3 | 4,849 | 3,835 | 1,243 | (435) | |||||||||||||||||||
Add: BXP’s share of NOI from unconsolidated joint ventures | 882 | 449 | N/A | N/A | |||||||||||||||||||
BXP’s Share of NOI 3 | $ | 5,731 | $ | 4,284 | $ | 1,243 | $ | (435) | |||||||||||||||
Rental Revenue 3 | $ | 10,894 | $ | 9,763 | $ | 5,189 | $ | 1,561 | |||||||||||||||
Less: Straight line rent and fair value lease revenue | (13) | 21 | 5 | (5) | |||||||||||||||||||
Add: Lease transaction costs that qualify as rent inducements | 48 | — | — | — | |||||||||||||||||||
Subtotal | 10,955 | 9,742 | 5,184 | 1,566 | |||||||||||||||||||
Less: Operating expenses and real estate taxes | 6,045 | 5,928 | 3,946 | 1,996 | |||||||||||||||||||
NOI - cash basis 3 | 4,910 | 3,814 | 1,238 | (430) | |||||||||||||||||||
Add: BXP’s share of NOI-cash from unconsolidated joint ventures | 882 | 449 | N/A | N/A | |||||||||||||||||||
BXP’s Share of NOI - cash basis 3 | $ | 5,792 | $ | 4,263 | $ | 1,238 | $ | (430) |
Residential Units | Three Months Ended | Percent Change | |||||||||||||||||||||
30-Sep-21 | 30-Sep-20 | ||||||||||||||||||||||
BOSTON | |||||||||||||||||||||||
Hub50House (50% ownership), Boston, MA 3 | 440 | ||||||||||||||||||||||
Average Monthly Rental Rate | $ | 3,360 | $ | 3,571 | (5.91) | % | |||||||||||||||||
Average Rental Rate Per Occupied Square Foot | $ | 4.69 | $ | 5.32 | (11.84) | % | |||||||||||||||||
Average Physical Occupancy | 87.50 | % | 45.08 | % | 94.10 | % | |||||||||||||||||
Average Economic Occupancy | 82.92 | % | 39.31 | % | 110.94 | % | |||||||||||||||||
Proto Kendall Square, Cambridge, MA 3, 4 | 280 | ||||||||||||||||||||||
Average Monthly Rental Rate | $ | 2,642 | $ | 2,676 | (1.27) | % | |||||||||||||||||
Average Rental Rate Per Occupied Square Foot | $ | 4.82 | $ | 4.91 | (1.83) | % | |||||||||||||||||
Average Physical Occupancy | 94.52 | % | 85.71 | % | 10.28 | % | |||||||||||||||||
Average Economic Occupancy | 93.90 | % | 83.13 | % | 12.96 | % | |||||||||||||||||
The Lofts at Atlantic Wharf, Boston, MA 3, 4 | 86 | ||||||||||||||||||||||
Average Monthly Rental Rate | $ | 3,747 | $ | 4,231 | (11.44) | % | |||||||||||||||||
Average Rental Rate Per Occupied Square Foot | $ | 4.17 | $ | 4.62 | (9.74) | % | |||||||||||||||||
Average Physical Occupancy | 96.51 | % | 80.23 | % | 20.29 | % | |||||||||||||||||
Average Economic Occupancy | 95.38 | % | 80.74 | % | 18.13 | % | |||||||||||||||||
Boston Marriott Cambridge (437 rooms), Cambridge, MA 2, 4 | N/A | ||||||||||||||||||||||
Average Occupancy | 49.40 | % | — | % | 100.00 | % | |||||||||||||||||
Average Daily Rate | $ | 222.31 | $ | — | 100.00 | % | |||||||||||||||||
Revenue Per Available Room | $ | 109.86 | $ | — | 100.00 | % | |||||||||||||||||
SAN FRANCISCO | |||||||||||||||||||||||
The Skylyne, Oakland, CA 3, 5 |