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EX-99.2 - MACK-CALI REALTY CORP. - EXHIBIT 99.2 - MACK CALI REALTY CORPex992.htm
8-K - MACK-CALI REALTY CORP. - 8-K - MACK CALI REALTY CORPform8k.htm

 
 

 






















THIRD QUARTER 2012


Supplemental Operating and Financial Data










This Supplemental Operating and Financial Data is not an offer to sell or solicitation to buy any securities of the Company.  Any offers to sell or solicitations of the Company shall be made by means of a prospectus.  The information in this Supplemental Package must be read in conjunction with, and is modified in its entirety by, the Quarterly Report on Form 10-Q (the “10-Q”) filed by the Company for the same period with the Securities and Exchange Commission (the “SEC”) and all of the Company’s other public filings with the SEC (the “Public Filings”).  In particular, the financial information contained herein is subject to and qualified by reference to the financial statements contained in the 10-Q, the footnotes thereto and the limitations set forth therein.  Investors may not rely on the Supplemental Package without reference to the 10-Q and the Public Filings.  Any investors’ receipt of, or access to, the information contained herein is subject to this qualification.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
 

 


INDEX

 
PAGE(S)
I.  COMPANY BACKGROUND
 
· About the Company / Other Corporate Data
5
· Board of Directors / Executive Officers
6
· Equity Research Coverage /Company Contact Information
7
   
II.  FINANCIAL HIGHLIGHTS
 
· Quarterly Summary / Roseland Transaction
9
· Equity Activity / Dividends
10
· Leasing
10 – 11
· Information About FFO
12
· Key Financial Data
13
· Same-Store Results and Analysis
14
· Unconsolidated Joint Ventures Summary
15 – 17
· Select Financial Ratios
18
· Debt Analysis:
 
· Debt Breakdown / Future Repayments
19
· Debt Maturities
20
· Debt Detail
21
   
III.  FINANCIAL INFORMATION
 
· Consolidated Statements of Operations
23
· Consolidated Balance Sheets
24
· Consolidated Statement of Changes in Equity
25
· Statements of Funds from Operations
26
· Statements of Funds from Operations Per Diluted Share
27
· Reconciliation of Basic-to-Diluted Shares/Units
28
   
IV.  VALUE CREATION PIPELINE
 
· Properties Commencing Initial Operations / Summary of Construction Projects
30
· Rental Property Sales/Dispositions / Rental Property Held for Sale
31
· Summary of Land Parcels
32
· Roseland Transaction Information
33 – 36
   
V.  PORTFOLIO/ LEASING STATISTICS
 
· Leasing Statistics
38 – 43
· Market Diversification (MSAs)
44
· Industry Diversification (Top 30 Tenant Industries)
45
· Consolidated Portfolio Analyses:
 
Breakdown by:
 
(a) Number of Properties
46
(b) Square Footage
47
(c) Base Rental Revenue
48
(d) Percentage Leased
49
· Consolidated Property Listing (by Property Type)
50 – 59
· Significant Tenants (Top 50 Tenants)
60 – 61
· Schedules of Lease Expirations (by Property Type)
62 – 66
   



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
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DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS

The Company considers portions of this information to be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended.  The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 21E of such act.  Such forward-looking statements relate to, without limitation, our future economic performance, plans and objectives for future operations and projections of revenue and other financial items.  Forward-looking statements can be identified by the use of words such as “may,” “will,” “plan,” “potential,” “should,” “expect,” “anticipate,” “estimate,” “continue” or comparable terminology.  Forward-looking statements are inherently subject to risks and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate.  Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, the Company can give no assurance that such expectations will be achieved.  Future events and actual results, financial and otherwise, may differ materially from the results discussed in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements.

Among the factors about which the Company has made assumptions are:

· 
risks and uncertainties affecting the general economic climate and conditions, which in turn may have a negative effect on the fundamentals of the Company’s business and the financial condition of the Company’s tenants;
   
· 
the value of the Company’s real estate assets, which may limit the Company’s ability to dispose of assets at attractive prices or obtain or maintain debt financing secured by the Company’s properties or on an unsecured basis;
   
· 
the extent of any tenant bankruptcies or of any early lease terminations;
   
· 
the Company’s ability to lease or re-lease space at current or anticipated rents;
   
· 
changes in the supply of and demand for office, office/flex and industrial/warehouse properties;
   
· 
changes in interest rate levels and volatility in the securities markets;
   
· 
changes in operating costs;
   
· 
the Company’s ability to obtain adequate insurance, including coverage for terrorist acts;
   
· 
the availability of financing on attractive terms or at all, which may adversely impact the Company’s ability to pursue acquisition and development opportunities and refinancing existing debt and the Company’s future interest expense;
   
· 
changes in governmental regulation, tax rates and similar matters; and
   
· 
other risks associated with the development and acquisition of properties, including risks that the development may not be completed on schedule, that the tenants will not take occupancy or pay rent, or that development or operating costs may be greater than anticipated.
 

For further information on factors which could impact us and the statements contained herein, you are advised to consider the “Risk Factors” contained in the Company’s Annual Report on Form 10-K, as may be supplemented or amended in the Company’s Quarterly Reports on Form 10-Q, which are incorporated herein by reference.  The Company assumes no obligation to update and supplement forward-looking statements that become untrue because of subsequent events, new information or otherwise.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
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I.  COMPANY BACKGROUND
 
 
 
 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
4

 


I.  COMPANY BACKGROUND


About the Company

Mack-Cali Realty Corporation (NYSE: CLI) is one of the largest real estate investment trusts (REITs) in the United States with a total market capitalization of $4.6 billion at September 30, 2012.  Mack-Cali has been involved in all aspects of commercial real estate development, management and ownership for over 60 years and has been a publicly-traded REIT since 1994.  Mack-Cali owns or has interests in 276 properties, primarily class A office and office/flex buildings, totaling approximately 32.2 million square feet, serving as home to over 2,000 tenants.  The properties are located primarily in suburban markets of the Northeast, many with adjacent, Company-controlled developable land sites able to accommodate up to 11.5 million square feet of additional commercial space.

History

Established over 60 years ago, in 1994 the New Jersey-based firm, Cali Realty, became a publicly traded company listed on the New York Stock Exchange under the ticker symbol CLI.  Through combinations with some of the top companies in the real estate industry—most notably New Jersey-based Mack Company and Westchester, New York-based Robert Martin Company—Mack-Cali has become one of the leading real estate companies in the country.

Strategy

Mack-Cali’s strategy is to be a significant real estate owner and operator in its core, high-barriers-to-entry markets, primarily in the Northeast.

Summary
(as of September 30, 2012)

Corporate Headquarters
Edison, New Jersey
Fiscal Year-End
12/31
Total Properties
276
Total Square Feet
32.2 million square feet
Geographic Diversity
Five states and the District of Columbia
New Jersey Presence
23.0 million square feet
Northeast Presence
32.2 million square feet
Common Shares and
 
Units Outstanding
100.0 million
Dividend-- Quarter/Annualized
$0.45/$1.80
Dividend Yield
6.8%
Total Market Capitalization
$4.6 billion
Senior Debt Rating
BBB (S&P and Fitch);
 
Baa2 (Moody’s)


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
5

 



Board of Directors

William L. Mack, Chairman of the Board
 
Alan S. Bernikow
Alan G. Philibosian
 
Kenneth M. Duberstein
Irvin D. Reid
 
Nathan Gantcher
Vincent Tese
 
Mitchell E. Hersh
Roy J. Zuckerberg
 
David S. Mack
 
 
   







Executive Officers
 
 
Mitchell E. Hersh, President and Chief Executive Officer
 
Barry Lefkowitz, Executive Vice President and Chief Financial Officer
 
Roger W. Thomas, Executive Vice President, General Counsel and Secretary
 
Anthony Krug, Chief Accounting Officer
 
 

 







Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
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Equity Research Coverage


Bank of America Merrill Lynch
James C. Feldman
(646) 855-5808
ISI Group
Steve Sakwa
(212) 446-9462
Barclays Capital
Ross Smotrich
(212) 526-2306
J.P. Morgan
Anthony Paolone
(212) 622-6682
Citigroup
Michael Bilerman
(212) 816-1383
KeyBanc Capital Markets
Jordan Sadler
(917) 368-2280
Cowen and Company
James Sullivan
(646) 562-1380
Stifel, Nicolaus & Company, Inc.
John W. Guinee, III
(443) 224-1307
Deutsche Bank North America
John N. Perry
(212) 250-4912
UBS Investment Research
Ross T. Nussbaum
(212) 713-2484
Green Street Advisors
Michael Knott
(949) 640-8780
 
   






Company Contact Information

Mack-Cali Realty Corporation
Investor Relations Department
343 Thornall Street
Edison, New Jersey 08837-2206
Phone:  (732) 590-1000
Web:      www.mack-cali.com
Fax:       (732) 205-8237
E-mail:   investorrelations@mack-cali.com



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
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II.  FINANCIAL HIGHLIGHTS









Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
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II.  FINANCIAL HIGHLIGHTS

Quarterly Summary


The following is a summary of the Company’s recent activity:

Funds from operations (FFO) available to common shareholders for the quarter ended September 30, 2012 amounted to $65.0 million, or $0.65 per share.  For the nine months ended September 30, 2012, FFO available to common shareholders equaled $201.6 million, or $2.01 per share.

Net income available to common shareholders for the third quarter 2012 equaled $14.3 million, or $0.16 per share.  For the nine months ended September 30, 2012, net income available to common shareholders amounted to $50.1 million, or $0.57 per share.

Total revenues for the third quarter 2012 were $173.2 million.  For the nine months ended September 30, 2012, total revenues amounted to $534.7 million.

All per share amounts presented above are on a diluted basis.

The Company had 87,821,885 shares of common stock, and 12,177,122 common operating partnership units outstanding as of September 30, 2012.  The Company had a total of 99,999,007 common shares/common units outstanding at September 30, 2012.

As of September 30, 2012, the Company had total indebtedness of approximately $2.0 billion, with a weighted average annual interest rate of 6.19 percent.

The Company had a debt-to-undepreciated assets ratio of 34.4 percent at September 30, 2012.  The Company had an interest coverage ratio of 3.1 times for the quarter ended September 30, 2012.

In July, the Company entered into a ground lease with Wegmans Food Markets, Inc. at its undeveloped site in Hanover Township, New Jersey.  Subject to receiving all necessary governmental approvals, Wegmans intends to construct a store of approximately 140,000 square feet on a finished pad to be delivered by the Company in the first quarter of 2014.  The Company expects to incur costs of approximately $12.1 million for the construction of the finished pad (of which the Company has incurred $0.5 million through September 30, 2012).


Roseland Transaction

In October, the Company acquired the real estate development and management businesses of Roseland Partners, L.L.C., a premier multi-family residential community developer and operator in the Northeast, and Roseland’s interests in six operating multi-family properties totaling 1,769 apartments, one condo-residential property totaling four units and four commercial properties totaling approximately 212,000 square feet, 13 in-process development projects, which include nine multi-family properties totaling 2,149 apartments, two garages totaling 1,591 parking spaces and two retail properties totaling approximately 35,400 square feet, and interests or options in land parcels which may support approximately 5,980 apartments, approximately 736,000 square feet of commercial space, and a 321-key hotel. The locations of the properties extend from New Jersey to Massachusetts. The majority of the properties are located in New Jersey, in particular, at its flagship development at Port Imperial in Weehawken and West New York, in addition to the Jersey City Waterfront and other urban in-fill and transit-oriented locations.

The Roseland business and real property interests were acquired for aggregate consideration of up to $134.6 million, subject to adjustment, consisting of $115.0 million in cash and approximately $4.0 million of assumed debt at closing and an additional earn-out of up to $15.6 million in cash over the next three years, under certain conditions.  During the three-year earn-out period, each of Roseland’s principals, Marshall Tycher, Brad Klatt and Carl Goldberg, will serve as co-presidents of Roseland Management Services, L.P., a newly formed wholly owned subsidiary of Mack-Cali, pursuant to employment agreements executed at closing. Mitchell E. Hersh, President and Chief Executive Officer of Mack-Cali Realty Corporation, also assumed the role of Chairman and Chief Executive of Roseland Management Services, L.P.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
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The transaction was financed through a combination of cash on hand and borrowings under the Company’s $600 million unsecured revolving credit facility.


Equity Activity

In September, the Company’s Board of Directors authorized a share repurchase program under which the Company may purchase up to $150 million of the Company’s outstanding Common Stock. Purchases may be made from time to time in open market transactions or through privately negotiated transactions.


Dividends

In September, the Company’s Board of Directors declared a cash dividend of $0.45 per common share (indicating an annual rate of $1.80 per common share) for the third quarter 2012, which was paid on October 12, 2012 to shareholders of record as of October 3, 2012.


Leasing

Mack-Cali’s consolidated in-service portfolio was 87.5 percent leased at September 30, 2012, as compared to 87.6 percent leased at June 30, 2012.

For the quarter ended September 30, 2012, the Company executed 121 leases at its consolidated in-service portfolio totaling 932,990 square feet, consisting of 511,963 square feet of office space, 343,824 square feet of office/flex space and 77,203 square feet of industrial/warehouse space.  Of these totals, 373,177 square feet were for new leases and 559,813 square feet were for lease renewals and other tenant retention transactions.

Highlights of the quarter’s leasing transactions include:

NORTHERN NEW JERSEY:
-  
NICE Systems Inc., a provider of software solutions, signed a new lease for 34,416 square feet at Mack-Cali Centre VI, 461 From Road in Paramus.  The 253,554 square-foot office building is 40.8 percent leased.

-  
DSM Services USA, Inc., a life sciences and materials company, signed a new lease for 31,899 square feet at 8 Campus Drive in Parsippany.  The 215,265 square-foot office building, located in Mack-Cali Business Campus, is 48.0 percent leased.

-  
ORBCOMM Inc., a global satellite data communications company, signed a new lease for 31,159 square feet at Mack-Cali Centre V, 395 W. Passaic Street in Rochelle Park.  The 100,589 square-foot office building is 65.3 percent leased.

-  
MCI Communications Services, Inc., a global telecommunications company, signed a renewal for 20,698 square feet at 101 Hudson Street in Jersey City.  The 1,246,283 square-foot office building is 89.0 percent leased.

-  
ProSight Specialty Insurance, an insurance holding company, signed a lease expanding their current space by 16,721 square feet at 412 Mt. Kemble Avenue in Morris Township.  The 475,100 square-foot office building is 67.9 percent leased.

-  
Manfrotto Distribution, Inc., an importer and distributor of imaging-related products, signed a new lease for 16,009 square feet at 10 Mountainview Road in Upper Saddle River.  The 192,000 square-foot office building is 82.4 percent leased.

WESTCHESTER COUNTY, NEW YORK:
-  
United Parcel Service, Inc. signed a renewal for the entire 77,200 square-foot 3 Warehouse Lane in Elmsford.  The industrial/warehouse building is located in Elmsford Distribution Center.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
10

 

CSC Holdings, Inc., the parent company of Cablevision Systems, a global telecommunications and media company, signed a renewal for 38,900 square feet at 6 Executive Plaza in Yonkers.  The 80,000 square-foot office/flex building, located in South Westchester Executive Park, is 100 percent leased.

-  
The Artina Group, Inc., a manufacturer of software compatible forms for business printing, signed a relocation and extension of 19,250 square feet at 250 Clearbrook Road in Elmsford.

-  
Also at 250 Clearbrook Road, General Phosphorix LLC, a distributor of novel beverages, signed transactions totaling 18,250 square feet representing a 15,350 square-foot renewal and a 2,900 square-foot expansion. The 155,000 square-foot office/flex building, located in Cross Westchester Executive Park, is 94.5 percent leased.

-  
Phoenix Fitness Ventures, Inc. dba Court Sports, a fitness health club, signed a new lease for 17,863 square feet at 150 Clearbrook Road in Elmsford.  The 74,900 square-foot office/flex building, located in Cross Westchester Executive Park, is 99.3 percent leased.

CONNECTICUT:
-  
FedEx Ground Package System, Inc. signed a lease extension for the entire 66,000 square feet at 600 West Avenue in Stamford Executive Park in Stamford.

SUBURBAN PHILADELPHIA:
-  
Cort Business Services Corp., a Berkshire Hathaway Inc. company and a provider of furniture rental and services, signed a renewal for 46,880 square feet at 31 Twosome Drive in Moorestown, NJ.  The 84,200 square-foot office/flex building, located in Moorestown West Corporate Center, is 100 percent leased.

Additionally, RGN, a subsidiary of HQ Global Workplaces, LLC, signed new leases totaling 110,242 square feet at the following locations:
-  
13,503 square feet at 999 Riverview Drive in Totowa, NJ.  The 56,066 square-foot office building, located at Mack-Cali Commercenter, is 89.2 percent leased.
-  
16,332 square feet at 233 Mount Airy Road in Basking Ridge, NJ.  The 66,000 square-foot office building is 24.7 percent leased.
-  
15,512 square feet at 30 Knightsbridge Road in Piscataway, NJ.  30 Knightsbridge Road is a four-building office complex totaling 680,350 square feet and is 91.0 percent leased.
-  
12,370 square feet at Mack-Cali Woodbridge at 581 Main Street in Woodbridge, NJ.  The 200,000 square-foot office building is 99.3 percent leased.
-  
9,797 square feet at 20 Commerce Drive in Cranford, NJ.  The 176,600 square-foot office building, located in Cranford Business Park, is 99.4 percent leased.
-  
14,811 square feet at 7 Skyline Drive in Hawthorne, NY.  The 109,000 square-foot office building, located in Mid-Westchester Executive Park, is 82.0 percent leased.
-  
14,112 square feet at Five Sentry Park West in Blue Bell, PA.  The 38,400 square-foot office building is 68.3 percent leased.
-  
13,805 square feet at 400 Rella Boulevard in Suffern, NY.  The 180,000 square-foot office building is 93.6 percent leased.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
11

 

Information About FFO

Funds from operations (“FFO”) is defined as net income (loss) before noncontrolling interest of unitholders, computed in accordance with generally accepted accounting principles (“GAAP”), excluding gains (or losses) from extraordinary items, sales of depreciable rental property, and impairments related to depreciable rental property, plus real estate-related depreciation and amortization.  The Company believes that FFO per share is helpful to investors as one of several measures of the performance of an equity REIT.  The Company further believes that as FFO per share excludes the effect of depreciation, gains (or losses) from sales of properties and impairments related to depreciable rental property (all of which are based on historical costs which may be of limited relevance in evaluating current performance), FFO per share can facilitate comparison of operating performance between equity REITs.

FFO per share should not be considered as an alternative to net income available to common shareholders per share as an indication of the Company’s performance or to cash flows as a measure of liquidity.  FFO per share presented herein is not necessarily comparable to FFO per share presented by other real estate companies due to the fact that not all real estate companies use the same definition.  However, the Company’s FFO per share is comparable to the FFO per share of real estate companies that use the current definition of the National Association of Real Estate Investment Trusts (“NAREIT”).  A reconciliation of net income per share to FFO per share is included in the financial tables on page 27.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
12

 

Key Financial Data


     
As of or for the three months ended
 
 
9/30/12
6/30/12
3/31/12
12/31/11
9/30/11
Shares and Units:
         
Common Shares Outstanding
87,821,885
87,819,278
87,811,226
87,799,479
87,141,716
Common Units Outstanding
12,177,122
12,177,122
12,187,122
12,197,122
12,771,105
Combined Shares and Units
99,999,007
99,996,400
99,998,348
99,996,601
99,912,821
Preferred Shares Outstanding
0
0
0
0
10,000
Weighted Average- Basic (a)
100,003,034
99,999,564
99,992,282
99,869,353
99,818,419
Weighted Average- Diluted (b)
 
100,074,809
100,068,762
100,062,203
99,939,994
99,916,948
Common Share Price ($’s):
         
At the end of the period
26.60
29.07
28.82
26.69
26.75
High during period
29.45
29.37
29.80
28.91
34.77
Low during period
26.31
26.37
25.68
23.71
25.70
           
Market Capitalization:
         
($’s in thousands, except ratios)
         
Market Value of Equity (c)
2,661,629
2,908,635
2,883,784
2,670,846
2,699,699
Total Debt
1,970,254
1,929,596
1,940,715
1,914,215
1,886,500
Total Market Capitalization
4,631,883
4,838,231
4,824,499
4,585,061
4,586,199
Total Debt/ Total Market
  Capitalization
42.54%
39.88%
40.23%
41.75%
41.13%
           
Financials:
         
($’s in thousands, except ratios and
   per share amounts)
         
Total Assets
4,269,573
4,270,207
4,299,434
4,295,759
4,309,872
Gross Book Value of Real Estate Assets
5,295,248
5,269,762
5,226,792
5,279,770
5,253,281
Total Liabilities
2,191,345
2,163,930
2,160,211
2,141,759
2,131,451
Total Equity
2,078,228
2,106,277
2,139,223
2,154,000
2,178,421
Total Revenues
173,212
178,462
182,980
177,971
175,437
Capitalized Interest
888
305
230
205
122
Scheduled Principal Amortization
1,201
503
829
785
752
Interest Coverage Ratio
3.13
2.96
3.43
3.14
3.32
Fixed Charge Coverage Ratio
2.92
2.88
3.31
3.03
3.16
Net Income
16,176
11,411
29,267
18,438
24,083
Net Income Available to Common Shareholders
14,281
10,101
25,767
16,122
20,500
Earnings per Share—diluted
0.16
0.11
0.29
0.18
0.24
FFO per Share—diluted (d)
0.65
0.62
0.74
0.68
0.73
Dividends Declared per Share
0.45
0.45
0.45
0.45
0.45
FFO Payout Ratio—diluted (d)
69.27%
72.55%
60.46%
66.08%
61.64%
           
Portfolio Size:
         
Properties
276
277
277
278
278
Total Square Footage
32,192,587
32,240,287
32,240,287
32,414,411
32,414,411
Sq. Ft. Leased at End of Period (e) (f)
87.5%
87.6%
87.9%
88.3%
88.2%
           

(a)  
Calculated based on weighted average common shares outstanding, assuming redemption of operating partnership common units into common shares.
(b)  
Calculated based on shares and units included in basic per share/unit computation, plus dilutive Common Stock Equivalents (i.e. convertible preferred units, options and warrants).
(c)  
Includes any outstanding preferred units presented on a converted basis into common units and noncontrolling interests in consolidated joint ventures.
(d)  
Funds from Operations (“FFO”) is calculated in accordance with the definition of the National Association of Real Estate Investment Trusts (NAREIT).  See “Information About FFO” on page 12.
(e)  
Percentage leased includes leases in effect as of the period end date, some of which have commencement dates in the future and leases that expire at the period end date.
(f)  
Reflects square feet leased at the Company’s consolidated in-service portfolio, excluding in-service development properties in lease up (if any).


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
13

 

Same Store Results and Analysis
(dollars in thousands)


   
For the three months ended
September 30,
         
%
 
   
2012
   
2011
   
Change
   
Change
 
                         
Total Property Revenues
  $ 169,996     $ 170,887     $ (891 )     (0.5 )
                                 
Real Estate Taxes
    22,255       14,200       8,055       56.7  
Utilities
    17,859       19,845       (1,986 )     (10.0 )
Operating Services
    27,131       27,033       98       0.4  
Total Property Expenses:
    67,245       61,078       6,167       10.1  
                                 
GAAP Net Operating Income
    102,751       109,809       (7,058 )     (6.4 )
                                 
Less: straight-lining of rents adj.
    1,716       2,053       (337 )     (16.4 )
                                 
Net Operating Income
  $ 101,035     $ 107,756     $ (6,721 )     (6.2 )
                                 
Percentage Leased at
  Period End
    87.7 %     88.6 %                
                                 
Total Properties:
    264                          
                                 
Total Square Footage:
    30,754,754                          
                                 




   
For the nine months ended
September 30,
         
%
 
   
2012
   
2011
   
Change
   
Change
 
                         
Total Property Revenues
  $ 508,891     $ 519,392     $ (10,501 )     (2.0 )
                                 
Real Estate Taxes
    70,051       63,121       6,930       11.0  
Utilities
    48,405       56,244       (7,839 )     (13.9 )
Operating Services
    79,990       86,017       (6,027 )     (7.0 )
Total Property Expenses:
    198,446       205,382       (6,936 )     (3.4 )
                                 
GAAP Net Operating Income
    310,445       314,010       (3,565 )     (1.1 )
                                 
Less: straight-lining of rents adj.
    4,607       4,730       (123 )     (2.6 )
                                 
Net Operating Income
  $ 305,838     $ 309,280     $ (3,442 )     (1.1 )
                                 
Percentage Leased at
  Period End
    87.6 %     88.6 %                
                                 
Total Properties:
    263                          
                                 
Total Square Footage:
    30,550,697                          
                                 



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
14

 



Unconsolidated Joint Ventures Summary

 
Breakdown of Unconsolidated Joint Ventures
 

As of September 30, 2012

Joint Venture Name
Property
Number of
Buildings
Location
Percent Leased
Square
Feet
Company’s
Effective
Ownership %
Office Properties:
           
Red Bank Corporate Plaza
Red Bank Corporate Plaza
1
Red Bank, NJ
100.0%
92,878
50.0%
Gramercy Portfolio
Bellemead Portfolio
4
New Jersey
48.8%
466,508
n/a
12 Vreeland Realty L.L.C.
12 Vreeland Road
1
Florham Park, NJ
100.0%
139,750
50.0%
Gale Jefferson L.L.C.
One Jefferson Road
1
Parsippany, NJ
100.0%
100,010
8.33%
             
Hotel:
           
Harborside South Pier
Hyatt Regency Jersey City on the Hudson
1
Jersey City, NJ
n/a
350 rooms
50.0%
             
Land:
           
Plaza VIII and IX Associates, L.L.C.
Vacant land/parking
n/a
Jersey City, NJ
n/a
n/a
50.0%
Boston-Downtown Crossing
Downtown Crossing
1
Boston, MA
n/a
multi-use
15.0%
             
Other:
           
Stamford SM L.L.C.
Senior Mezzanine Loan
n/a
Stamford, CT
n/a
n/a
80.0%



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
15

 

 
Unconsolidated Joint Venture Financial Information
 

The following is a summary of the financial position of the unconsolidated joint ventures in which the Company had investment interests as of September 30, 2012 and December 31, 2011 (dollars in thousands):
 

 
   
September 30, 2012
 
   
Plaza
VIII & IX
Associates
   
Harborside
South Pier
   
Red Bank
Corporate
Plaza
   
Gramercy
Agreement
   
12
Vreeland
   
Boston-
Downtown
Crossing
   
Gale
Jefferson
   
Stamford
SM LLC
   
Combined
Total
 
Assets:
                                                     
Rental property, net
  $ 7,875     $ 56,265     $ 22,353     $ 38,267     $ 14,046       --       --       --     $ 138,806  
Loan receivable
    --       --       --       --       --       --       --     $ 41,610       41,610  
Other assets
    1,478       14,623       3,301       5,680       1,356     $ 46,198     $ 2,673       227       75,536  
Total assets
  $ 9,353     $ 70,888     $ 25,654     $ 43,947     $ 15,402     $ 46,198     $ 2,673     $ 41,837     $ 255,952  
Liabilities and partners’/members'
 capital (deficit):
                                                                       
Mortgages, loans
 payable and
 other obligations
    --     $ 69,405     $ 17,542     $ 50,978       --       --       --       --     $ 137,925  
Other liabilities
  $ 530       5,814       309       935     $ 725       --       --       --       8,313  
Partners’/members’
 capital (deficit)
    8,823       (4,331 )     7,803       (7,966 )     14,677     $ 46,198     $ 2,673     $ 41,837       109,714  
Total liabilities and
 partners’/members’
 capital (deficit)
  $ 9,353     $ 70,888     $ 25,654     $ 43,947     $ 15,402     $ 46,198     $ 2,673     $ 41,837     $ 255,952  
Company’s
 investments in
 unconsolidated
 joint ventures, net
  $ 4,334     $ (960 )   $ 3,804       --     $ 10,837     $ 13,006     $ 1,068     $ 33,470     $ 65,559  



   
December 31, 2011
 
   
Plaza
VIII & IX
Associates
   
Harborside
South Pier
   
Red Bank
Corporate
Plaza
   
Gramercy
Agreement
   
12
Vreeland
   
Boston-
Downtown
Crossing
   
Gale
Jefferson
   
Stamford
SM LLC
   
Combined
Total
 
Assets:
                                                     
Rental property, net
  $ 8,335     $ 59,733     $ 22,903     $ 39,276     $ 13,122       --       --       --     $ 143,369  
Other assets
    933       12,840       2,909       5,669       521     $ 46,121     $ 2,927       --       71,920  
Total assets
  $ 9,268     $ 72,573     $ 25,812     $ 44,945     $ 13,643     $ 46,121     $ 2,927       --     $ 215,289  
Liabilities and partners’/members'
 capital (deficit):
                                                                       
Mortgages, loans
 payable and
 other obligations
    --     $ 70,690     $ 18,100     $ 50,978     $ 1,207       --       --       --     $ 140,975  
Other liabilities
  $ 531       4,982       117       1,086       168       --       --       --       6,884  
Partners’/members’
 capital (deficit)
    8,737       (3,099 )     7,595       (7,119 )     12,268     $ 46,121     $ 2,927       --       67,430  
Total liabilities and
 partners’/members’
 capital (deficit)
  $ 9,268     $ 72,573     $ 25,812     $ 44,945     $ 13,643     $ 46,121     $ 2,927       --     $ 215,289  
Company’s
 investments in
 unconsolidated
 joint ventures, net
  $ 4,291     $ (343 )   $ 3,676       --     $ 10,233     $ 13,005     $ 1,153       --     $ 32,015  


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
16

 

The following is a summary of the results of operations of the unconsolidated joint ventures for the period in which the Company had investment interests during the three months ended September 30, 2012 and 2011 (dollars in thousands):


   
Three Months Ended September 30, 2012
 
   
Plaza
VIII & IX
Associates
   
Harborside
South Pier
   
Red Bank
Corporate
Plaza
   
Gramercy
Agreement
   
12
Vreeland
   
Boston-
Downtown
Crossing
   
Gale
Jefferson
   
Stamford
SM LLC
   
Combined
Total
 
Total revenues
  $ 259     $ 12,214     $ 851     $ 1,742     $ 1,012       --     $ 68     $ 1,165     $ 17,311  
Operating and other
    (62 )     (7,600 )     (247 )     (942 )     (291 )   $ (21 )     --       (6 )     (9,169 )
Depreciation and
 amortization
    (154 )     (1,366 )     (228 )     (596 )     (153 )     --       --       --       (2,497 )
Interest expense
    --       (1,089 )     (188 )     (389 )     (9 )     --       --       --       (1,675 )
 
Net income
  $ 43     $ 2,159     $ 188     $ (185 )   $ 559     $ (21 )   $ 68     $ 1,159     $ 3,970  
Company’s equity in earnings (loss) of  unconsolidated joint ventures
  $ 21     $ 1,080     $ 94       --     $ 279     $ (6 )   $ 23     $ 927     $ 2,418  


   
Three Months Ended September 30, 2011
 
   
Plaza
VIII & IX
Associates
   
Harborside
South Pier
   
Red Bank
Corporate
Plaza
   
Gramercy
Agreement
   
12
Vreeland
   
Boston-
Downtown
Crossing
   
Gale
Jefferson
   
Stamford
SM LLC
   
Combined
Total
 
Total revenues
  $ 272     $ 9,558     $ 832     $ 1,340     $ 663       --     $ 75       --     $ 12,740  
Operating and other
    (58 )     (6,296 )     (231 )     (968 )     (93 )   $ (362 )     --       --       (8,008 )
Depreciation and
 amortization
    (154 )     (1,415 )     (226 )     (449 )     (261 )     --       --       --       (2,505 )
Interest expense
    --       (1,112 )     (167 )     (384 )     (41 )     --       --       --       (1,704 )
 
Net income
  $ 60     $ 735     $ 208     $ (461 )   $ 268     $ (362 )   $ 75       --     $ 523  
Company’s equity in earnings (loss) of  unconsolidated joint ventures
  $ 31     $ 361     $ 104       --     $ 134     $ (115 )   $ 24       --     $ 539  


The following is a summary of the results of operations of the unconsolidated joint ventures for the period in which the Company had investment interests during the nine months ended September 30, 2012 and 2011 (dollars in thousands):


   
Nine Months Ended September 30, 2012
 
   
Plaza
VIII & IX
Associates
   
Harborside
South Pier
   
Red Bank
Corporate
Plaza
   
Gramercy
Agreement
   
12
Vreeland
   
Boston-
Downtown
Crossing
   
Gale
Jefferson
   
Stamford
SM LLC
   
Combined
Total
 
Total revenues
  $ 723     $ 31,281     $ 2,497     $ 4,640     $ 2,258       --     $ 197     $ 2,773     $ 44,369  
Operating and other
    (177 )     (20,045 )     (663 )     (2,822 )     (579 )   $ (1,110 )     --       (32 )     (25,428 )
Depreciation and
 amortization
    (460 )     (4,179 )     (684 )     (1,502 )     (460 )     --       --       --       (7,285 )
Interest expense
    --       (3,289 )     (553 )     (1,163 )     (12 )     --       --       --       (5,017 )
 
Net income
  $ 86     $ 3,768     $ 597     $ (847 )   $ 1,207     $ (1,110 )   $ 197     $ 2,741     $ 6,639  
Company’s equity in earnings (loss) of  unconsolidated joint ventures
  $ 43     $ 1,884     $ 298       --     $ 603     $ (333 )   $ 63     $ 2,193     $ 4,751  


   
Nine Months Ended September 30, 2011
 
   
Plaza
VIII & IX
Associates
   
Harborside
South Pier
   
Red Bank
Corporate
Plaza
   
Gramercy
Agreement
   
12
Vreeland
   
Boston-
Downtown
Crossing
   
Gale
Jefferson
   
Stamford
SM LLC
   
Combined
Total
 
Total revenues
  $ 721     $ 28,008     $ 2,424     $ 4,674     $ 1,653       --     $ 217       --     $ 37,697  
Operating and other
    (160 )     (18,860 )     (601 )     (2,860 )     (145 )   $ (1,113 )     --       --       (23,739 )
Depreciation and
 amortization
    (460 )     (4,254 )     (677 )     (1,781 )     (892 )     --       --       --       (8,064 )
Interest expense
    --       (3,357 )     (376 )     (1,167 )     (129 )     --       --       --       (5,029 )
 
Net income
  $ 101     $ 1,537     $ 770     $ (1,134 )   $ 487     $ (1,113 )   $ 217       --     $ 865  
Company’s equity in earnings (loss) of  unconsolidated joint ventures
  $ 51     $ 768     $ 385       --     $ 243     $ (340 )   $ 67       --     $ 1,174  



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
17

 


Select Financial Ratios


Ratios Computed For Industry
September 30,
 
Comparisons:
2012
2011
 
 
Financial Position Ratios:
 
Total Debt/ Total Book
   Capitalization
   (Book value) (%)
46.15%
43.20%
 
   
Total Debt/ Total Market
   Capitalization
   (Market value) (%)
42.54%
36.05%
 
   
Total Debt/ Total Undepreciated
   Assets (%)
34.41%
33.05%
 
   
Secured Debt/ Total Undepreciated
   Assets (%)
12.31%
13.11%
 
 
 
 
 
 
Three Months Ended
September 30,
          Nine Months Ended
          September 30,
 
2012
2011
2012
2011
 
Operational Ratios:
 
Interest Coverage
   (Funds from Operations+Interest
    Expense)/Interest Expense (x)
3.13
3.32
3.17
3.23
   
Debt Service Coverage
   (Funds from Operations +
   Interest Expense)/(Interest Expense
   + Principal Amort.) (x)
3.01
3.24
3.09
3.17
   
Fixed Charge Coverage
   (Funds from Operations +
   Interest Expense)/(Interest Expense
   + Capitalized Interest+Pref. Div.
   +Prin. Amort.+Ground Lease
   Payments)(x)
2.92
3.16
3.04
3.08
   
FFO Payout
   (Dividends Declared/Funds from
   Operations) (%)
69.27%
61.64%
67.02%
63.59%
 

 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
18

 


 
 
Debt Analysis
 
(as of September 30, 2012)


 
Debt Breakdown
 
(dollars in thousands)

 
Balance
% of Total
Weighted Average
Interest Rate (a)
 
Weighted Average Maturity in Years
Fixed Rate Unsecured Debt and
  Other Obligations
$1,198,314
60.82%
5.70%
 
4.94
Fixed Rate Secured Debt
693,940
35.22%
7.55%
 
4.98
Variable Rate Secured Debt
11,000
0.56%
2.23%
 
0.25
Variable Rate Unsecured Debt
67,000
3.40%
1.48%
(b)
3.06
 
Totals/Weighted Average:
$1,970,254
100.00%
6.19%
 
4.86

(a)  
The actual weighted average LIBOR rate for the Company’s outstanding variable rate debt was 0.23 percent as of September 30, 2012.
(b)  
Excludes amortized deferred financing costs pertaining to the Company’s unsecured revolving credit facility which amounted to $0.7 million for the quarter ended September 30, 2012.
 

 

 
Future Repayments
 
(dollars in thousands)

Period
Scheduled
Amortization
Principal
Maturities
Total
Weighted Average Interest Rate of
Future Repayments (a)
 
October 1 – December 31, 2012
$ 2,738
$ 11,000
$ 13,738
3.33%
 
2013
11,264
104,229
115,493
5.06%
 
2014
10,468
335,257
345,725
6.82%
 
2015
8,941
217,000
225,941
4.24%
(b)
2016
8,753
273,120
281,873
7.16%
 
Thereafter
26,993
979,562
1,006,555
6.39%
 
Sub-total
69,157
1,920,168
1,989,325
   
Adjustment for unamortized debt discount/premium and mark-to-market, net, as of September 30, 2012
(19,071)
--
(19,071)
   
 
Totals/Weighted Average:
$ 50,086
$1,920,168
$1,970,254
6.19%
 

(a)  
The actual weighted average LIBOR rate for the Company’s outstanding variable rate debt was 0.23 percent as of September 30, 2012.
(b)  
Excludes amortized deferred financing costs pertaining to the Company’s unsecured revolving credit facility which amounted to $0.7 million for the quarter ended September 30, 2012.


 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
19

 


 
Debt Maturities
 
(dollars in thousands)

 
October 1 –
December 31,
2012
2013
2014
2015
2016
2017
2018
2019
2020 and
Beyond
TOTALS
Secured Debt:
                   
One Grande Commons
$11,000
               
$11,000
9200 Edmonston Road
 
$4,229
             
4,229
6305 Ivy Lane
   
$5,726
           
5,726
6301 Ivy Lane
   
5,320
           
5,320
35 Waterview
   
18,185
           
18,185
6 Becker, 85 Livingston,
75 Livingston, & 20 Waterview
   
65,035
           
65,035
4 Sylvan Way
   
14,575
           
14,575
10 Independence
   
16,924
           
16,924
395 West Passaic
   
9,492
           
9,492
4 Becker
       
$40,432
       
40,432
5 Becker
       
14,574
       
14,574
210 Clay
       
14,267
       
14,267
51 Imclone
       
3,847
       
3,847
Prudential Portfolio
         
$141,151
     
141,151
23 Main Street
           
$26,566
   
26,566
Harborside Plaza 5
           
204,970
   
204,970
100 Walnut Avenue
             
$17,281
 
17,281
One River Center
             
39,586
 
39,586
581 Main Street
               
$ 8
8
Total Secured Debt:
$11,000
$4,229
$135,257
--
$73,120
$141,151
$231,536
$56,867
$ 8
$653,168
                     
Unsecured Debt:
                   
Unsecured credit facility
     
$67,000
         
$67,000
4.600% unsecured notes
 due 6/13
 
$100,000
             
100,000
5.125% unsecured notes
 due 2/14
   
$200,000
           
200,000
5.125% unsecured notes
 due 1/15
     
150,000
         
150,000
5.80% unsecured notes
 due 1/16
       
$200,000
       
200,000
7.75% unsecured notes
 due 8/19
             
$250,000
 
250,000
4.50% unsecured notes
 due 4/22
               
$300,000
300,000
Total Unsecured Debt:
--
$100,000
$200,000
$217,000
$200,000
--
--
$250,000
$300,000
$1,267,000
                     
Total Debt:
$11,000
$104,229
$335,257
$217,000
$273,120
$141,151
$231,536
$306,867
$300,008
$1,920,168


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
20

 


 
Debt Detail
 
(dollars in thousands)

 
 
Property Name
Lender
Effective
Interest
Rate
   
September 30,
December 31,
Date of
Maturity
 
2012
2011
Senior Unsecured Notes: (a)
         
5.250%, Senior Unsecured Notes
public debt
5.457%
--
$99,988
--
(b)
6.150%, Senior Unsecured Notes
public debt
6.894%
--
94,438
--
(c)
5.820%, Senior Unsecured Notes
public debt
6.448%
--
25,972
--
(d)
4.600%, Senior Unsecured Notes
public debt
4.742%
$ 99,980
99,958
06/15/13
 
5.125%, Senior Unsecured Notes
public debt
5.110%
200,330
200,509
02/15/14
 
5.125%, Senior Unsecured Notes
public debt
5.297%
149,786
149,717
01/15/15
 
5.800%, Senior Unsecured Notes
public debt
5.806%
200,256
200,313
01/15/16
 
7.750%, Senior Unsecured Notes
public debt
8.017%
248,532
248,372
08/15/19
 
4.500%, Senior Unsecured Notes
public debt
4.612%
299,430
--
04/18/22
 
Total Senior Unsecured Notes:
   
$1,198,314
$1,119,267
 

Revolving Credit Facilities:
Unsecured Facility (e)
20 Lenders
LIBOR +1.250%
$67,000
$ 55,500
10/21/15
(f)
Total Revolving Credit Facilities:
   
$67,000
$ 55,500
   

Property Mortgages: (g)
2200 Renaissance Boulevard
Wachovia CMBS
5.888%
--
$              16,171
--
(h)
Soundview Plaza
Morgan Stanley Mortgage Capital
6.015%
--
15,531
--
(i)
One Grande Commons
Capital One Bank
LIBOR+2.00%
$ 11,000
                11,000
12/31/12
(j)
9200 Edmonston Road
Principal Commercial Funding, L.L.C.
5.534%
4,349
4,479
05/01/13
 
6305 Ivy Lane
John Hancock Life Ins. Co.
5.525%
6,064
6,245
01/01/14
 
395 West Passaic
State Farm Life Ins. Co.
6.004%
10,396
10,781
05/01/14
 
6301 Ivy Lane
John Hancock Life Ins. Co.
5.520%
5,739
5,899
07/01/14
 
35 Waterview
Wachovia CMBS
6.348%
18,826
19,051
08/11/14
 
6 Becker, 85 Livingston,
75 Livingston & 20 Waterview
Wachovia CMBS
10.220%
62,867
62,127
08/11/14
 
4 Sylvan
Wachovia CMBS
10.190%
14,473
14,438
08/11/14
 
10 Independence
Wachovia CMBS
12.440%
16,161
15,908
08/11/14
 
4 Becker
Wachovia CMBS
9.550%
38,148
37,769
05/11/16
 
5 Becker
Wachovia CMBS
12.830%
12,391
12,056
05/11/16
 
210 Clay
Wachovia CMBS
13.420%
12,162
11,844
05/11/16
 
51 Imclone
Wachovia CMBS
8.390%
3,880
3,886
05/11/16
 
Various (k)
Prudential Insurance
6.332%
149,715
150,000
01/15/17
 
23 Main Street
JPMorgan CMBS
5.587%
30,586
31,002
09/01/18
 
Harborside Plaza 5
The Northwestern Mutual Life Insurance Co. & New York Life Insurance Co.
6.842%
229,281
231,603
11/01/18
 
100 Walnut Avenue
Guardian Life Ins. Co.
7.311%
19,080
19,241
02/01/19
 
One River Center (l)
Guardian Life Ins. Co.
7.311%
43,710
44,079
02/01/19
 
581 Main Street (m)
Valley National Bank
6.935%
   (n)
16,112
16,338
07/01/34
 
Total Mortgages, Loans Payable and Other Obligations:
 
$704,940
$739,448
 
 
Total Debt:
   
$1,970,254
$1,914,215
 

(a)  
Interest rate for unsecured notes reflects effective rate of debt, including cost of terminated treasury lock agreements (if any), offering and other transaction costs and the discount/premium on the notes, as applicable.
(b)  
These notes were paid at maturity, primarily from borrowing on the Company’s unsecured revolving credit facility.
(c)  
On May 25, 2012, the Company redeemed $94.9 million principal amount of its 6.15 percent senior unsecured notes due December 15, 2012 (the “2002 Notes”).  The redemption price, including a make-whole premium, was 103.19 percent of the principal amount of the 2002 Notes, plus accrued and unpaid interest up to the redemption date.  The Company funded the redemption price, including accrued and unpaid interest, of approximately $100.5 million from borrowing on its unsecured revolving credit facility, as well as cash on hand.  In connection with the redemption, the Company recorded approximately $3.3 million as a loss from early extinguishment debt (including the write-off of unamortized deferred financing costs).
(d)  
On May 25, 2012, the Company redeemed $26.1 million principal amount of its 5.82 percent senior unsecured notes due March 15, 2013 (the “2003 Notes”). The redemption price, including a make-whole premium, was 103.87 percent of the principal amount of the 2003 Notes, plus accrued and unpaid interest up to the redemption date. The Company funded the redemption price, including accrued and unpaid interest, of approximately $27.4 million from borrowing on its unsecured revolving credit facility, as well as cash on hand. In connection with the redemption, the Company recorded approximately $1.1 million as a loss from early extinguishment of debt (including the write-off of unamortized deferred financing costs).
(e)  
Total borrowing capacity under this facility is $600 million.
(f)  
On October 21, 2011, the Company amended and restated its unsecured revolving credit facility with a group of 20 lenders.  The $600 million facility is expandable to $1 billion and matures in October 2015.  It has a one-year extension option with the payment of a 20 basis point fee.  The interest rate and facility fee are subject to adjustment, on a sliding scale, based upon the Operating Partnership's unsecured debt ratings.
(g)  
Effective interest rate for mortgages, loans payable and other obligations reflects effective rate of debt, including deferred financing costs, comprised of the cost of terminated treasury lock agreements (if any), debt initiation costs, mark-to market adjustment of acquired debt and other transaction costs, as applicable.
(h)  
On March 28, 2012, the Company transferred the deed for 2200 Renaissance Boulevard to the lender in satisfaction of its obligations.
(i)  
On September 4, 2012, the Company repaid this mortgage loan at par, using borrowings under the Company’s unsecured revolving credit facility.
(j)  
The mortgage loan has two one-year extension options, subject to certain conditions and the payment of a fee.
(k)  
Mortgage is collateralized by seven properties.  The Operating Partnership has agreed, subject to certain conditions, to guarantee repayment of a portion of the loan.
(l)  
Mortgage is collateralized by the three properties compromising One River Center.
(m)  
The Operating Partnership has agreed, subject to certain conditions, to guarantee repayment of a portion of the loan.
(n)  
The coupon interest rate will be reset at the end of year 10 (2019) and year 20 (2029) at 225 basis points over the 10-year treasury yield 45 days prior to the reset dates with a minimum rate of 6.875 percent.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
21

 











III. FINANCIAL INFORMATION



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
22

 


III.  FINANCIAL INFORMATION

Mack-Cali Realty Corporation and Subsidiaries
Consolidated Statements of Operations
(in thousands, except per share amounts) (unaudited)

   
Three Months Ended
September 30,
   
Nine Months Ended
September 30,
 
Revenues
 
2012
   
2011
   
2012
   
2011
 
Base rents
  $ 146,424     $ 148,268     $ 443,709     $ 443,971  
Escalations and recoveries from tenants
    21,925       21,323       62,862       72,251  
Construction services
    1,169       2,359       9,235       8,984  
Real estate services
    1,285       1,353       3,606       3,737  
Other income
    2,409       2,134       15,242       9,875  
Total revenues
    173,212       175,437       534,654       538,818  
                                 
Expenses
                               
Real estate taxes
    22,258       14,261       70,061       63,189  
Utilities
    17,859       19,845       48,405       56,244  
Operating services
    27,643       27,604       82,092       86,217  
Direct construction costs
    979       2,290       8,594       8,656  
General and administrative
    12,638       8,675       35,343       26,507  
Depreciation and amortization
    47,829       48,082       143,642       143,635  
Total expenses
    129,206       120,757       388,137       384,448  
Operating income
    44,006       54,680       146,517       154,370  
                                 
Other (Expense) Income
                               
Interest expense
    (30,510 )     (31,041 )     (92,784 )     (92,849 )
Interest and other investment income
    7       9       27       29  
Equity in earnings (loss) of unconsolidated joint ventures
    2,418       539       4,751       1,174  
Loss from early extinguishment of debt
    --       --       (4,415 )     --  
Total other (expense) income
    (28,085 )     (30,493 )     (92,421 )     (91,646 )
Income from continuing operations
    15,921       24,187       54,096       62,724  
Discontinued Operations:
                               
Income (loss) from discontinued operations
    243       (104 )     368       225  
Realized gains (losses) and unrealized losses on disposition of rental property, net
    12       --       2,390       --  
Total discontinued operations, net
    255       (104 )     2,758       225  
Net income
    16,176       24,083       56,854       62,949  
Noncontrolling interest in consolidated joint ventures
    85       96       256       308  
Noncontrolling interest in Operating Partnership
    (1,949 )     (3,028 )     (6,624 )     (8,001 )
Noncontrolling interest in discontinued operations
    (31 )     13       (337 )     (30 )
Preferred stock dividends
    --       (664 )     --       (1,664 )
Net income available to common shareholders
  $ 14,281     $ 20,500     $ 50,149     $ 53,562  
                                 
Basic earnings per common share:
                               
Income from continuing operations
  $ 0.16     $ 0.24     $ 0.54     $ 0.63  
Discontinued operations
    --       --       0.03       --  
Net income available to common shareholders
  $ 0.16     $ 0.24     $ 0.57     $ 0.63  
                                 
Diluted earnings per common share:
                               
Income from continuing operations
  $ 0.16     $ 0.24     $ 0.54     $ 0.62  
Discontinued operations
    --       --       0.03       --  
Net income available to common shareholders
  $ 0.16     $ 0.24     $ 0.57     $ 0.62  
                                 
Basic weighted average shares outstanding
    87,826       87,019       87,814       85,649  
                                 
Diluted weighted average shares outstanding
    100,075       99,917       100,071       98,631  



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
23

 

Mack-Cali Realty Corporation and Subsidiaries
Consolidated Balance Sheets
(in thousands, except per share amounts) (unaudited)



   
September 30,
   
December 31,
 
   
2012
   
2011
 
Assets
           
Rental property
           
Land and leasehold interests
  $ 765,742     $ 773,026  
Buildings and improvements
    3,995,933       4,001,943  
Tenant improvements
    483,955       500,336  
Furniture, fixtures and equipment
    2,994       4,465  
      5,248,624       5,279,770  
Less – accumulated depreciation and amortization
    (1,455,420 )     (1,409,163 )
      3,793,204       3,870,607  
Rental property held for sale, net
    18,404       --  
Net investment in rental property
    3,811,608       3,870,607  
Cash and cash equivalents
    21,543       20,496  
Investments in unconsolidated joint ventures
    65,559       32,015  
Unbilled rents receivable, net
    136,689       134,301  
Deferred charges and other assets, net
    206,434       210,470  
Restricted cash
    19,717       20,716  
Accounts receivable, net of allowance for doubtful accounts
               
of $2,948 and $2,697
    8,023       7,154  
                 
Total assets
  $ 4,269,573     $ 4,295,759  
                 
Liabilities and Equity
               
Senior unsecured notes
  $ 1,198,314     $ 1,119,267  
Revolving credit facility
    67,000       55,500  
Mortgages, loans payable and other obligations
    704,940       739,448  
Dividends and distributions payable
    45,000       44,999  
Accounts payable, accrued expenses and other liabilities
    106,377       100,480  
Rents received in advance and security deposits
    50,546       53,019  
Accrued interest payable
    19,168       29,046  
Total liabilities
    2,191,345       2,141,759  
Commitments and contingencies
               
                 
Equity:
               
Mack-Cali Realty Corporation stockholders’ equity:
               
Common stock, $0.01 par value, 190,000,000 shares authorized,
               
87,821,885 and 87,799,479 shares outstanding
    878       878  
Additional paid-in capital
    2,538,729       2,536,184  
Dividends in excess of net earnings
    (715,903 )     (647,498 )
Total Mack-Cali Realty Corporation stockholders’ equity
    1,823,704       1,889,564  
                 
Noncontrolling interest in subsidiaries:
               
Operating Partnership
    252,869       262,499  
Consolidated joint ventures
    1,655       1,937  
Total noncontrolling interests in subsidiaries
    254,524       264,436  
                 
Total equity
    2,078,228       2,154,000  
                 
Total liabilities and equity
  $ 4,269,573     $ 4,295,759  



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
24

 


Mack-Cali Realty Corporation and Subsidiaries
Consolidated Statement of Changes in Equity
(in thousands) (unaudited)




           
           
   
Additional
Dividends in
Noncontrolling
 
 
Common Stock
Paid-In
Excess of
Interests
Total
 
Shares
Par Value
Capital
Net Earnings
in Subsidiaries
Equity
Balance at January 1, 2012
87,800
$878
$2,536,184
$(647,498)
$264,436
$2,154,000
Net income
--
--
--
50,149
6,705
56,854
Common stock dividends
--
--
--
(118,554)
--
(118,554)
Common unit distributions
--
--
--
--
(16,444)
(16,444)
Decrease in noncontrolling interest
--
--
--
--
(26)
(26)
   Redemption of common units
           
  for common stock
20
--
429
--
(429)
--
Shares issued under Dividend
           
  Reinvestment and Stock
           
  Purchase Plan
7
--
186
--
--
186
 Cancellation of shares
(5)
--
(126)
--
--
(126)
Stock compensation
--
--
2,338
--
--
2,338
Rebalancing of ownership percentage
           
  between parent and subsidiaries
--
--
(282)
--
282
--
Balance at September 30, 2012
87,822
$878
$2,538,729
$(715,903)
$254,524
$2,078,228



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
25

 

Mack-Cali Realty Corporation and Subsidiaries
Statements of Funds from Operations
(in thousands, except per share/unit amounts) (unaudited)


             
   
Three Months Ended
September 30,
   
Nine Months Ended
September 30,
 
   
2012
   
2011
   
2012
   
2011
 
Net income available to common shareholders
  $ 14,281     $ 20,500     $ 50,149     $ 53,562  
Add: Noncontrolling interest in Operating Partnership
    1,949       3,028       6,624       8,001  
 Noncontrolling interest in discontinued operations
    31       (13 )     337       30  
 Real estate-related depreciation and amortization on continuing operations (a)
    48,750       49,018       146,405       146,508  
Real estate-related depreciation and amortization on discontinued operations
    13       416       441       1,279  
Deduct: Discontinued operations – Realized (gains) losses and unrealized losses on disposition of rental property, net
    (12 )     --       (2,390 )     --  
Funds from operations available to common shareholders (b)
  $ 65,012     $ 72,949     $ 201,566     $ 209,380  
                                 
Diluted weighted average shares/units outstanding (c)
    100,075       99,917       100,071       98,631  
                                 
Funds from operations per share/unit – diluted
  $ 0.65     $ 0.73     $ 2.01     $ 2.12  
                                 
Dividends declared per common share
  $ 0.45     $ 0.45     $ 1.35     $ 1.35  
                                 
Dividend payout ratio:
                               
     Funds from operations-diluted
    69.27 %     61.64 %     67.02 %     63.59 %
                                 
Supplemental Information:
                               
  Non-incremental revenue generating capital expenditures:
                               
     Building improvements
  $ 9,040     $ 6,847     $ 19,361     $ 15,105  
     Tenant improvements and leasing commissions (d)
  $ 15,107     $ 12,225     $ 36,202     $ 31,667  
  Straight-line rent adjustments (e)
  $ 1,733     $ 2,098     $ 4,913     $ 6,889  
  Amortization of (above)/below market lease intangibles, net
  $ 335     $ 393     $ 1,040     $ 950  
   

(a) Includes the Company’s share from unconsolidated joint ventures of $974 and $1,047 for the three months ended September 30, 2012 and 2011, respectively, and $2,963 and $3,215 for the nine months ended September 30, 2012 and 2011, respectively.
(b) Funds from operations is calculated in accordance with the definition of FFO of the National Association of Real Estate Investment Trusts (NAREIT).  See “Information About FFO” on page 12.
(c) Calculated based on weighted average common shares outstanding, assuming redemption of Operating Partnership common units into common shares (12,177 and 12,799 shares for the three months ended September 30, 2012 and 2011, respectively, and 12,184 and 12,863 shares for the nine months ended September 30, 2012 and 2011, respectively), plus dilutive Common Stock Equivalents (i.e. stock options).  See reconciliation of basic to diluted shares/units on page 28.
(d) Excludes expenditures for tenant spaces that have not been owned for at least a year or were vacant for more than a year.
(e) Includes the Company’s share from unconsolidated joint ventures of $17 and $45 for the three months ended September 30, 2012 and 2011, respectively, and $50 and $154 for the nine months ended September 30, 2012 and 2011, respectively.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
26

 

Mack-Cali Realty Corporation and Subsidiaries
Statements of Funds from Operations Per Diluted Share
 (amounts are per diluted share, except share count in thousands) (unaudited)


 
Three Months Ended
September 30,
Nine Months Ended
September 30,
 
 
2012
2011
2012
2011
Net income available to common shareholders
$0.16
$0.24
$0.57
$0.62
Add:  Real estate-related depreciation and amortization on continuing operations (a)
0.49
0.49
1.46
1.49
Real estate-related depreciation and amortization on
discontinued operations
--
--
--
0.01
Deduct: Realized (gains) losses and unrealized losses on disposition of rental property, net
--
--
(0.02)
--
 
Funds from operations available to common shareholders (b)
$0.65
$0.73
$2.01
$2.12
Diluted weighted average shares/units outstanding (c)
100,075
99,917
100,071
98,631

(a) Includes the Company’s share from unconsolidated joint ventures of $0.01 and $0.01 for the three months ended September 30, 2012 and 2011, respectively, and $0.03 and $0.03 for the nine months ended September 30, 2012 and 2011, respectively.
(b) Funds from operations is calculated in accordance with the definition of FFO of the National Association of Real Estate Investment Trusts (NAREIT).  See “Information About FFO” on page 12.
(c) Calculated based on weighted average common shares outstanding, assuming redemption of Operating Partnership common units into common shares (12,177 and 12,799 shares for the three months ended September 30, 2012 and 2011, respectively, and 12,184 and 12,863 shares for the nine months ended September 30, 2012 and 2011, respectively), plus dilutive Common Stock Equivalents (i.e. stock options).  See reconciliation of basic to diluted shares/units on page 28.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
27

 


Mack-Cali Realty Corporation and Subsidiaries
Reconciliation of Basic-to-Diluted Shares/Units
(in thousands)



The following schedule reconciles the Company’s basic weighted average shares outstanding to basic and diluted weighted average shares/units outstanding for the purpose of calculating FFO per share:

 
Three Months Ended
Nine Months Ended
 
September 30,
September 30,
 
2012
2011
2012
2011
Basic weighted average shares outstanding:
87,826
87,019
87,814
85,649
Add: Weighted average common units
12,177
12,799
12,184
12,864
Basic weighted average shares/units:
100,003
99,818
99,998
98,513
Add: Stock options
--
15
--
30
Restricted Stock Awards
72
84
73
88
 
Diluted weighted average shares/units outstanding:
100,075
99,917
100,071
98,631



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
28

 











IV.  VALUE CREATION PIPELINE




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
29

 

IV. VALUE CREATION PIPELINE

Properties Commencing Initial Operations
(dollars in thousands)


For the nine months ended September 30, 2012

None.


For the year ended December 31, 2011

 
Date
 
Property/Address
 
Location
# of
Bldgs.
Rentable
Square Feet
Investment by
Company (a)
5/01/11
55 Corporate Drive
Bridgewater, New Jersey
1
204,057
$48,070
 
Total Properties Commencing Initial Operations
 
1
 
204,057
 
$48,070

(a)  
Amount is as of December 31, 2011.



Summary of Construction Projects
(dollars in thousands)


Project
Location
Type of Space
Estimated
Placed in
Service
Date
Number
Of
Buildings
Square
Feet
Costs
Incurred
Through
9/30/12
Total
Estimated
Costs
Current
% Leased
Wholly Owned:
               
14 Sylvan Way
Parsippany, NJ
Office
2013-1Q
1
203,000
$30,735
$53,504
100.0%
 
Total
     
1
203,000
$30,735
$53,504
100.0%



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
30

 

Rental Property Sales/Dispositions
(dollars in thousands)


For the nine months ended September 30, 2012


 
Date
 
Address
 
Location
# of
Bldgs.
Rentable
Square Feet
Realized
Gains/(loss)
Office:
         
3/28/12
2200 Renaissance Boulevard
King of Prussia, Pennsylvania
1
174,124
$ 4,511
7/25/12
95 Chestnut Ridge Road
Montvale, New Jersey
1
47,700
12
 
Total Office Properties:
 
2
221,824
$ 4,523




For the year ended December 31, 2011

None.






Rental Property Held For Sale
(dollars in thousands)
 
 
At September 30, 2012


Property/Address
Location
# of
Bldgs.
Rentable
Square
Feet
Net Book
Value
at 9/30/12
Office:
       
224 Strawbridge Drive
Moorestown, Burlington County, NJ (a)
1
74,000
$ 5,549
228 Strawbridge Drive
Moorestown, Burlington County, NJ (a)
1
74,000
6,231
232 Strawbridge Drive
Moorestown, Burlington County, NJ (a)
1
74,258
6,624
 
Total Office Properties
 
3
222,258
$ 18,404

(a)  
At June 30, 2012, the Company recognized a valuation allowance of $1.6 million on these properties.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
31

 

Summary of Land Parcels


Site
Town/City
State
Acres
Development
Potential
(Sq. Ft.)
Type of Space
Horizon Center
Hamilton Township
NJ
5.3
68,000
Office/Flex/Retail
3 & 5 AAA Drive (a)
Hamilton Township
NJ
17.5
112,000
Office
6 AAA Drive
Hamilton Township
NJ
2.4
32,000
Office
2 South Gold Drive (b)
Hamilton Township
NJ
9.5
75,000
Office
Plaza VIII and IX Associates, L.L.C. (c)
Jersey City
NJ
3.6
1,225,000
Office
Harborside Financial Center (d)
Jersey City
NJ
6.5
3,113,500
Office
One Newark Center (c)
Newark
NJ
1.0
400,000
Office
Mack-Cali Business Campus
Parsippany & Hanover
NJ
20.0
150,000
Office/Retail
3 Campus Drive
Parsippany
NJ
10.0
124,000
Office
Mack-Cali Commercenter
Totowa
NJ
5.8
30,000
Office/Flex
Princeton Metro
West Windsor
NJ
10.0
97,000
Office
Princeton Overlook II
West Windsor
NJ
10.0
149,500
Office
Mack-Cali Princeton Executive Park
West Windsor
NJ
59.9
760,000
Office/Hotel
Meadowlands Xanadu (c)
East Rutherford
NJ
13.8
1,760,000
Office
Meadowlands Xanadu (c)
East Rutherford
NJ
3.2
500,000
Hotel
(e)
Elmsford Distribution Center (f)
Elmsford
NY
14.5
100,000
Warehouse
Mid-Westchester Executive Park
Hawthorne
NY
7.2
82,250
Office/Flex
South Westchester Executive Park (f)
Yonkers
NY
52.4
350,000
Office/Flex
South Westchester Executive Park
Yonkers
NY
2.7
50,000
Office/Flex
Airport Business Center
Lester
PA
12.6
135,000
Office
Rose Tree Corporate Center
Media
PA
2.3
15,200
Office
Capital Office Park
Greenbelt
MD
42.8
595,000
Office
Eastpoint II
Lanham
MD
4.8
122,000
Office/Hotel
Downtown Crossing (c)
Boston
MA
1.5
1,481,000
Mixed-Use
 
Total:
   
319.3
11,526,450
 

(a)  
This land parcel also includes an existing office building totaling 35,270 square feet.
(b)  
This land parcel also includes an existing office building totaling 33,962 square feet.
(c)  
Land owned or controlled by joint venture in which Mack-Cali is an equity partner.
(d)  
In addition, there are 21 acres of riparian property.
(e)  
Hotel project can comprise up to 520 rooms.
(f)  
Mack-Cali holds an option to purchase this land.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
32

 

Roseland Transaction

Overall Summary
(dollars in thousands)

As of September 30, 2012


Property Type
# of
Properties
# of
Apartment
Units
Commercial
Square
Feet
# of
Hotel
Rooms
Garage
Parking
Spaces
Existing
Debt
Balance
Preferred
Capital Balance
Allocated
Purchase
Price (a)
                 
Operating multi-family
6
1,769
--
--
--
$475,435
$ 197,404
$ 32,586
                 
Operating commercial
4
--
212,145
--
--
12,017
5,055
7,692
                 
In-process development projects (b)
13
2,149
--
--
1,591
45,419
112,739
29,692
                 
Land parcels (b)
--
5,980
736,000
321
--
74,559
75,083
38,187
                 
Management companies
--
--
--
--
--
--
--
6,859
 
Total
23
9,898
948,145
321
1,591
$607,430
$ 390,281
$115,016

(a)  
Represents initial consideration before any earn out consideration or purchase accounting adjustment.
(b)  
Number of apartment units, commercial square feet, hotel rooms and garage parking spaces are estimates.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
33

 

Roseland Transaction

Summary of Operating Properties
(dollars in thousands)

As of September 30, 2012

Property
Location
Year
Built
# of
Properties
Percent
Leased
# of
Apartment
Units
Square
Feet (a)
Revenue
Per Unit (b)
Existing Debt
 
Preferred
Roseland
Effective
Ownership
Allocated
Purchase
Price (c)
   
Balance
Maturity
Date
Interest
Rate
 
Capital
Balance
 
Return
Rate
Investor
 
                                     
Operating Multi-family:
                                 
Marbella
Jersey City, NJ
2003
1
98.80%
412
369,607
$2,522
$95,000
5/01/18
4.990%
 
$7,567
9.50%
Prudential
24.27%
$17,052
 
Monaco (North and South)
Jersey City, NJ
2011
1
98.50%
523
477,254
2,903 (i)
165,000
2/01/21
4.190%
 
78,637
9.00%
Prudential
15.00%
5,073
 
Metropolitan at 40 Park
Morristown, NJ
2010
1
98.50%
130
124,232
2,931
            48,535 (d) (e)
2/08/13
L+275
 
14,619
9.00%
Prudential
12.50%
7,137
(f)
Highlands at Morristown Station
Morristown, NJ
2009
1
95.40%
217
185,733
2,364
40,000
7/01/15
4.000%
 
30,447
8.00% (g)
Prudential
25.00%
2,185
 
Riversedge at Port Imperial
Weehawken, NJ
2009
1
99.20%
236
214,402
2,933
57,000
6/30/13
L+235
 
37,002
9.00%
Prudential
40.00%
1,139
 
Quarrystone
Malden, MA
2008
1
96.80%
251
278,657
1,886
69,900
11/14/12
L+325
 
29,132
15.95%
Lennar
25.00%
-
 
Total operating multi-family
   
6
 
1,769
1,649,885
 
$475,435
     
$197,404
     
$32,586
 
                                   
Operating Commercial:
                                 
Shops at 40 Park
Morristown, NJ
2010
1
39.00%
 
50,771
 
(d) (e)
           
12.50%
 
(f)
Condos at 40 Park (for sale)
Morristown, NJ
2010
-
4 Condos
 
-
 
(e)
           
25.00%
 
(f)
Riverwalk at Port Imperial
West New York, NJ
2006
1
58.00%
 
35,829
         
$5,055
9.00%
 
20.00%
$2,241
 
Offices at Crystal Lake
West Orange, NJ
2001
1
100.00%
 
106,345
 
8,055
11/01/23
4.760%
       
31.25%
2,478
 
233 Canoe Brook (h)
Short Hills, NJ
1961
1
100.00%
 
19,200
 
3,962
2/01/19
4.375%
       
100.00%
2,973
 
Total operating commercial
   
4
   
212,145
 
$12,017
     
$5,055
     
$7,692
 
                                   
Total
   
10
 
1,769
1,862,030
 
$487,452
     
$202,459
     
$40,278
 

(a)  
Certain multi-family properties have small retail components which are excluded from square feet.
(b)  
Total apartment revenue for the twelve months ended September 30, 2012 divided by the average percent leased for the twelve months ended September 30, 2012, divided by the number of units and divided by 12.
(c)  
Represents initial consideration before any earn out consideration or purchase accounting adjustments.
(d)  
Existing debt balance of $48.5 million is secured by both of these properties.
(e)  
There is a partner note associated with the land acquisition.  As of September 30, 2012, the balance was $3.9 million, accrues interest at 8.0 percent and is priority to member distributions.
(f)  
Allocated purchase price of $7.1 million is attributed to four projects (including one in-process development).
(g)  
Rate increases to 9.0 percent on December 24, 2012.
(h)  
This property is 100 percent occupied by Roseland as its headquarters.
(i)  
Property was in lease up during the twelve months ended September 30, 2012.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
34

 

Roseland Transaction

Summary of In-Process Development Projects
(dollars in thousands)

As of September 30, 2012

Property
Location
# of
Properties
# of
Apartment
Units (a)
Square
Feet (a)
Garage
Parking
Spaces (a)
Estimated
Start
Date
Estimated
Completion
Date
Existing Debt
 
Preferred
Roseland
Effective
Ownership
Allocated
Purchase
Price (b)
 
Balance
Maturity
Date
Interest
Rate
 
Capital
Balance
Return
Rate
Investor
                                   
In-Process Multi-family:
                                 
Rivertrace at Port Imperial
West New York, NJ
1
316
294,532
 
Started
4Q-14
$11,761
7/15/21
6.000%
 
$37,996
7.75%
UBS
25.00%
$3,028
 
Lincoln Harbor
Weehawken, NJ
1
356
327,738
 
Started
2Q-15
       
46,560
8.50%
Hartz
7.50%
710
 
Port Imperial Building 13
Weehawken, NJ
1
280
256,860
 
4Q-12
3Q-15
       
24,578 (c)
9.00%
Prudential
16.00%
1,639
 
Marbella II
Jersey City, NJ
1
311
277,827
 
4Q-12
3Q-15
       
2,795
9.00%
Prudential
24.27%
5,672
 
Lofts at 40 Park
Morristown, NJ
1
91
79,835
 
1Q-13
4Q-14
             
25.00%
-
(d)
Riverpark at Harrison I
Harrison, NJ
1
141
121,680
 
4Q-12
4Q-14
1,117
9/30/13
L+300
       
36.00%
2,580
 
Glenmark at Tuckahoe
Eastchester, NJ
1
108
106,091
 
4Q-12
4Q-14
             
26.25%
2,134
 
Portside at Pier One – Bldg 7
East Boston, MA
1
176
158,919
 
4Q-12
3Q-14
       
465
9.00%
Prudential
38.25%
2,576
 
Overlook Ridge – 2C & 3B
Malden/Revere, MA
1
370
340,721
 
4Q-12
1Q-16
       
345 (e)
(f)
UBS
25.00%
-
 
Total in process multi-family:
 
9
2,149
1,964,203
     
$12,878
     
$112,739
     
$18,339
 
                                   
In-Process Commercial:
                                 
Port Imperial 4/5 Garage/Retail
Weehawken, NJ
2
 
17,795 (g)
850
Started
4Q-12
$32,541
9/30/13
L+350
       
(h)
8,660
 
Port Imperial 1/3 Garage/Retail
Weehawken, NJ
2
 
17,614 (g)
741
2Q-13
3Q-14
             
33.00%
2,693
 
Total in-process commercial:
 
4
 
35,409
1,591
   
$32,541
             
$11,353
 
                                   
 
Total
 
13
2,149
1,999,612
1,591
   
$45,419
     
$112,739
     
$29,692
 

(a)  
Number of apartment units, square feet and garage parking spaces are estimates.
(b)  
Represents initial consideration before any earn out consideration or purchase accounting adjustments.
(c)  
Roseland has $651,290 of preferred capital which is pari passu with a portion of the preferred investor’s capital.
(d)  
Allocated purchase price of $7.1 million is attributed to four projects (including three operating properties).
(e)  
Roseland has $345,128 of preferred capital which is pari passu with a portion of the preferred investor’s capital.
(f)  
UBS has 6.5 percent preference on operating cash flow and a 9.0 percent IRR on a capital event.
(g)  
Retail square feet only.
(h)  
Roseland effective ownership is 34.1 percent for the garage and 43.75 percent for the retail.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
35

 

Roseland Transaction

Summary of Land Parcels
(dollars in thousands)

As of September 30, 2012

Site
Location
# of
Apartment
Units (a)
 
Square
Feet (a)
# of
Hotel
Rooms (a)
Existing Debt
 
Preferred
Roseland
Effective
Ownership
Allocated
Purchase
Price (b)
 
Balance
Maturity
Date
Interest
Rate
 
Capital
Balance
 
Return
Rate
Investor
 
                               
Port Imperial North
West New York, NJ
836
           
$55,206
 (c)
 
Prudential
20.00%
$1,678
 
Riverwalk C
West New York, NJ
363
           
19,877
 
10.00%
Prudential
20.00%
856
 
Lincoln Harbor II
Weehawken, NJ
228
                   
7.50%
218
 
Port Imperial South
Weehawken, NJ
1,148
416,000
321
$41,951
3/23/13
L+275
 
(d)
   
Romulus
50.00%
30,016
Hillsborough 206
Hillsborough, NJ
 
160,000
                 
50.00%
1,962
 
San Remo
Jersey City, NJ
300
                   
41.67%
1,151
 
Liberty Landing
Jersey City, NJ
1,000
   
600
7/15/13
4.000%
         
50.00%
   
Morris Township
Morris Township, NJ
80
                   
Land Option
   
Freehold
Freehold, NJ
360
                   
Land Option
   
Riverpark at Harrison 5-8
Harrison, NJ
141
                   
Land Option
   
Overlook Ridge
Malden/Revere, MA
896
160,000
 
26,637
3/02/14
L+350
 
(e)
   
Rowe
50.00%
 
LR Overlook Phase III
Malden, MA
240
   
5,371
12/14/12
L+400
         
50.00%
   
Portside at Pier One 1-6
East Boston, MA
388
                   
85.00%
2,306
 
                               
Total
 
5,980
736,000
321
$74,559
     
$75,083
       
$38,187
 

(a)  
Number of apartment units, square feet and hotel rooms are estimates.
(b)  
Represents initial consideration before any earn out consideration or purchase accounting adjustments.
(c)  
Roseland has $5,888,311 of preferred capital which is pari passu with a portion of the preferred investor’s capital.
(d)  
Represents non-interest bearing priority land capital account.  Each developed asset type has a distinct Tier I (100 percent Romulus) and Tier II (75 percent Romulus / 25 percent Roseland) structure prior to the 50/50 ownership split and is currently estimated that Tier I payments total $17.6 million and Tier II payments total $44.6 million, ($33.4 million to Romulus and $11.2 million to Roseland).
(e)  
These parcels have priority land capital accounts allocated approximately 97 percent to Rowe and 3 percent to Roseland.  The priority calculation is $20,000 per apartment and $20 per commercial square feet and is currently estimated to be $21.1 million.  Upon a parcel being transferred to a venture, the priority payment accrues at 8.0 percent.






Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
36

 












V.  PORTFOLIO/ LEASING STATISTICS




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
37

 


V.  PORTFOLIO/ LEASING STATISTICS

Leasing Statistics
(For the three months ended September 30, 2012)
 
Consolidated In-Service Portfolio
 
 
SUMMARY OF SPACE LEASED
 

     
LEASING ACTIVITY
     
 
 
 
Market
Sq. Ft.
Leased
6/30/12
Leased
Sq. Ft.
Acquired/Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased 9/30/12 (c)
Pct.
Leased
9/30/12
Pct.
Leased
6/30/12
                 
  Northern NJ
12,560,743
 -
(354,961)
243,146
(111,815)
12,448,928
86.1%
86.6%
  Central NJ
5,105,124
-
(54,489)
142,924
88,435
5,193,559
90.0%
88.4%
  Westchester Co., NY
4,379,887
-
(328,010)
286,741
(41,269)
4,338,618
90.6%
91.5%
  Manhattan
500,961
-
-
-
-
500,961
95.5%
95.5%
  Sub. Philadelphia
2,943,214
-
(155,025)
144,516
(10,509)
2,932,705
87.4%
87.7%
  Fairfield, CT
513,830
-
(79,131)
74,948
(4,183)
509,647
85.3%
86.0%
  Washington, DC/MD
1,009,344
-
(29,795)
24,231
(5,564)
1,003,780
77.6%
78.1%
  Rockland Co., NY
152,983
-
(1,057)
16,484
15,427
168,410
93.6%
85.0%
 
Totals
27,166,086
-
(1,002,468)
932,990
(69,478)
27,096,608
87.5%
87.6%
                 

 
 
 
RECONCILIATION OF TOTAL PROPERTY SQUARE FOOTAGE
 

   
Total sq. ft. as of June 30, 2012
31,024,712
    Total sq. ft. of properties added/sold this period
(47,700)
Total sq. ft. as of September 30, 2012
30,977,012
   


(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
Includes leases expiring September 30, 2012 aggregating 113,335 square feet for which no new leases were signed.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
38

 

 
Leasing Statistics
 
(For the three months ended September 30, 2012)
 
Consolidated In-Service Portfolio (continued)
 
 
DETAIL OF TRANSACTION ACTIVITY
 
 

 
Detail by Market
Market
Property Type
#  of
Trans-
actions
Total
Sq. Ft.
Sq. Ft.
New
Leases
Sq. Ft.
Renewed And
Other
Retained (a)
Wtd.
Avg.
Term
(Yrs.)
Wtd.
Avg.
Base
Rent (b)
Leasing
Costs Per
Sq. Ft. Per
Year (c)
 
                   
Northern NJ
Office
29
243,146
179,368
63,778
7.4
24.94
4.44
 
Central NJ
Office
26
132,468
88,156
44,312
7.3
17.99
4.46
 
 
Office/Flex
2
10,456
1,560
8,896
5.2
20.97
2.35
 
Westchester Co., NY
Office
14
37,755
25,710
12,045
6.3
19.26
3.45
 
 
Office/Flex
13
171,783
23,083
148,700
4.8
16.74
0.78
 
 
Industrial/Warehouse
1
77,203
-
77,203
5.0
6.76
0.20
 
Sub. Philadelphia
Office
9
48,931
15,185
33,746
5.4
20.03
3.95
 
 
Office/Flex
7
95,585
18,435
77,150
4.8
8.59
1.17
 
Fairfield Co., CT
Office
4
8,948
1,355
7,593
2.5
20.93
2.37
 
 
Office/Flex
1
66,000
-
66,000
3.0
13.77
0.20
 
Washington, DC/MD
Office
13
24,231
3,841
20,390
3.5
23.68
3.05
 
Rockland Co., NY
Office
2
16,484
16,484
-
9.8
13.59
4.10
 
                   
Totals
 
121
932,990
373,177
559,813
5.9
17.67
3.03
 
                   
Detail by Property Type
                 
 
Office
97
511,963
330,099
181,864
6.9
21.75
4.28
 
 
Office/Flex
23
343,824
43,078
300,746
4.5
14.03
0.88
 
 
Industrial/Warehouse
1
77,203
-
77,203
5.0
6.76
0.20
 
                   
Totals
 
121
932,990
373,177
559,813
5.9
17.67
3.03
 
                   
Tenant Retention:
Leases Retained
59.1%
             
 
Sq. Ft. Retained
55.8%
             
   


(a)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(b)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(c)  
Represents estimated workletter costs of $12,727,696 and commissions of $3,802,740 committed, but not necessarily expended, during the period for second generation space aggregating 932,348 square feet.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
39

 

Leasing Statistics
(For the three months ended September 30, 2012)
 
Unconsolidated Joint Venture Properties
 
 
SUMMARY OF SPACE LEASED
 

     
LEASING ACTIVITY
     
Market
Sq. Ft.
Leased
6/30/12
Leased
Sq. Ft.
Acquired/
Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased
9/30/12
Pct.
Leased
9/30/12
Pct.
Leased
6/30/12
                 
   Northern NJ
726,746
  -
(7,447)
-
(7,447)
719,299
80.2%
81.1%
   Central NJ
242,669
 -
(3,297)
7,759
4,462
247,131
77.4%
76.0%
                 
Totals
969,415
-
(10,744)
7,759
(2,985)
966,430
79.5%
79.7%
                 

 
RECONCILIATION OF TOTAL PROPERTY SQUARE FOOTAGE
 

   
Total sq. ft. as of June 30, 2012
1,215,575
    Total sq. ft. of properties added/sold this period
-
Total sq. ft. as of September 30, 2012
1,215,575
   

 

 
 
DETAIL OF TRANSACTION ACTIVITY
 

Detail by Market
Market
#  of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed
And
Other
Retained (c)
Wtd. Avg.
Term
(Yrs.)
Wtd. Avg.
Base
Rent (d)
Leasing
Costs  Per
Sq. Ft. Per
Year (e)
               
Northern NJ
-
-
-
-
-
-
-
   Central NJ
2
7,759
1,465
6,294
2.8
19.70
3.20
               
Totals
2
7,759
1,465
6,294
2.8
19.70
3.20
               

(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(d)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(e)  
Represents estimated workletter costs of $37,285 and commissions of $31,252 committed, but not necessarily expended, during the period for second generation space aggregating 7,759 square feet.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
40

 

Leasing Statistics
(For the nine months ended September 30, 2012)
 
Consolidated In-Service Portfolio
 
 
SUMMARY OF SPACE LEASED
 

     
LEASING ACTIVITY
     
 
 
 
Market
Sq. Ft.
Leased
12/31/11
Leased
Sq. Ft.
Acquired/Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased
9/30/12 (c)
Pct.
Leased
9/30/12
Pct.
Leased
12/31/11
                 
  Northern NJ
12,771,180
 -
(1,327,439)
1,005,187
(322,252)
12,448,928
86.1%
88.0%
  Central NJ
5,166,040
-
(426,201)
453,720
27,519
5,193,559
90.0%
89.5%
  Westchester Co., NY
4,397,432
-
(809,808)
750,994
(58,814)
4,338,618
90.6%
91.8%
  Manhattan
500,961
-
-
-
-
500,961
95.5%
95.5%
  Sub. Philadelphia
3,068,115
(77,106)
(561,285)
502,981
(58,304)
2,932,705
87.4%
86.9%
  Fairfield, CT
507,737
-
(102,760)
104,670
1,910
509,647
85.3%
84.9%
  Washington, DC/MD
984,751
-
(109,387)
128,416
19,029
1,003,780
77.6%
76.2%
  Rockland Co., NY
155,967
-
(11,643)
24,086
12,443
168,410
93.6%
86.6%
 
Totals
27,552,183
(77,106)
(3,348,523)
2,970,054
(378,469)
27,096,608
87.5%
88.3%
                 

 
 
 
RECONCILIATION OF TOTAL PROPERTY SQUARE FOOTAGE
 

   
Total sq. ft. as of December 31, 2011
31,198,836
    Total sq. ft. of properties added/sold this period
(221,824)
Total sq. ft. as of September 30, 2012
30,977,012
   


(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
Includes leases expiring September 30, 2012 aggregating 113,335 square feet for which no new leases were signed.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
41

 

 
Leasing Statistics
 
(For the nine months ended September 30, 2012)
 
Consolidated In-Service Portfolio (continued)
 
 
DETAIL OF TRANSACTION ACTIVITY
 
 

 
Detail by Market
Market
Property Type
#  of
Trans-
actions
Total
Sq. Ft.
Sq. Ft.
New
Leases
Sq. Ft.
Renewed And
Other
Retained (a)
Wtd.
Avg.
Term
(Yrs.)
Wtd.
Avg.
Base
Rent (b)
Leasing
Costs Per
Sq. Ft. Per
Year (c)
 
                   
Northern NJ
Office
110
997,587
490,700
506,887
7.6
27.08
4.19
 
 
Office/Flex
1
7,600
-
7,600
3.3
14.30
1.60
 
Central NJ
Office
72
360,419
162,701
197,718
5.7
22.13
3.98
 
 
Office/Flex
9
93,301
4,289
89,012
3.3
16.87
0.98
 
Westchester Co., NY
Office
56
211,782
47,271
164,511
5.5
24.69
3.11
 
 
Office/Flex
50
462,009
104,631
357,378
5.0
16.93
1.76
 
 
Industrial/Warehouse
1
77,203
-
77,203
5.0
6.76
0.20
 
Sub. Philadelphia
Office
45
239,511
61,550
177,961
3.6
23.44
3.51
 
 
Office/Flex
22
263,470
49,655
213,815
4.0
9.83
1.18
 
Fairfield Co., CT
Office
11
38,670
26,157
12,513
3.6
19.54
3.13
 
 
Office/Flex
1
66,000
-
66,000
3.0
13.77
0.20
 
Washington, DC/MD
Office
41
128,416
38,348
90,068
4.5
27.59
4.22
 
Rockland Co., NY
Office
7
24,086
17,318
6,768
7.4
16.35
3.75
 
                   
Totals
 
426
2,970,054
1,002,620
1,967,434
5.7
21.57
3.32
 
                   
Detail by Property Type
                 
 
Office
342
2,000,471
844,045
1,156,426
6.3
25.26
3.99
 
 
Office/Flex
83
892,380
158,575
733,805
4.3
14.57
1.46
 
 
Industrial/Warehouse
1
77,203
-
77,203
5.0
6.76
0.20
 
                   
Totals
 
426
2,970,054
1,002,620
1,967,434
5.7
21.57
3.32
 
                   
Tenant Retention:
Leases Retained
66.4%
             
 
Sq. Ft. Retained
58.8%
             
   


(a)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(b)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(c)  
Represents estimated workletter costs of $38,986,157 and commissions of $16,598,194 committed, but not necessarily expended, during the period for second generation space aggregating 2,958,171 square feet.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
42

 

Leasing Statistics
(For the nine months ended September 30, 2012)
 
Unconsolidated Joint Venture Properties
 
 
SUMMARY OF SPACE LEASED
 

     
LEASING ACTIVITY
     
Market
Sq. Ft.
Leased
12/31/11
Leased
Sq. Ft.
Acquired/ Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased 9/30/12
Pct.
Leased
9/30/12
Pct.
Leased
12/31/11
                 
   Northern NJ
729,722
-
(77,096)
66,673
(10,423)
719,299
80.2%
81.4%
   Central NJ
246,978
-
(10,396)
10,549
153
247,131
77.4%
77.4%
                 
Totals
976,700
-
(87,492)
77,222
(10,270)
966,430
79.5%
80.3%
                 

 
RECONCILIATION OF TOTAL PROPERTY SQUARE FOOTAGE
 

   
Total sq. ft. as of December 31, 2011
1,215,575
    Total sq. ft. of properties added/sold this period
-
Total sq. ft. as of September 30, 2012
1,215,575
   

 

 
 
DETAIL OF TRANSACTION ACTIVITY
 

Detail by Market
Market
#  of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed
And
Other
Retained (c)
Wtd. Avg.
Term
(Yrs.)
Wtd. Avg.
Base
Rent (d)
Leasing
Costs  Per
Sq. Ft. Per
Year (e)
               
Northern NJ
3
66,673
6,094
60,579
8.4
25.85
2.69
   Central NJ
4
10,549
1,465
9,084
3.0
19.78
3.22
               
Totals
7
77,222
7,559
69,663
7.6
25.02
2.72
               

(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(d)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(e)  
Represents estimated workletter costs of $728,331 and commissions of $871,339 committed, but not necessarily expended, during the period for second generation space aggregating 77,222 square feet.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
43

 

Market Diversification

The following table lists the Company’s markets (MSAs), based on annualized contractual base rent of the Consolidated Properties:


Market (MSA)
Annualized
Base Rental
Revenue
($) (a) (b) (c)
Percentage of
Company
Annualized Base
Rental Revenue (%)
Total
Property Size
Rentable
Area (b) (c)
Percentage of
Rentable Area (%)
Newark, NJ (Essex-Morris-Union Counties)
136,114,737
22.2
6,495,715
21.1
Jersey City, NJ
115,289,693
18.9
4,317,978
13.9
Westchester-Rockland, NY
89,293,479
14.6
4,968,420
16.0
Bergen-Passaic, NJ
78,383,306
12.8
4,525,854
14.6
Philadelphia, PA-NJ
51,284,904
8.4
3,355,870
10.8
Middlesex-Somerset-Hunterdon, NJ
43,846,854
7.2
2,320,685
7.5
Washington, DC-MD-VA-WV
28,434,796
4.7
1,292,807
4.2
Monmouth-Ocean, NJ
25,118,189
4.1
1,620,863
5.2
Trenton, NJ
18,885,479
3.1
956,597
3.1
New York (Manhattan)
14,570,606
2.4
524,476
1.7
Stamford-Norwalk, CT
9,882,598
1.6
597,747
1.9
         
Totals
611,104,641
100.0
30,977,012
100.0
         

(a)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012, annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(b)  
Includes leases in effect as of the period end date, some of which have commencement dates in the future, and leases expiring September 30, 2012 aggregating 113,335 square feet and representing annualized rent of $2,659,320 for which no new leases were signed.
(c)  
Includes office, office/flex, industrial/warehouse and stand-alone retail tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants. Some tenants have multiple leases.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
44

 

Industry Diversification

The following table lists the Company’s 30 largest industry classifications based on annualized contractual base rent of the Consolidated Properties:

Industry Classification (a)
Annualized
Base Rental
Revenue
($) (b) (c) (d)
Percentage of
Company
Annualized Base
Rental Revenue (%)
Square
Feet Leased
(c) (d)
Percentage of
Total Company
Leased
Sq. Ft. (%)
Securities, Commodity Contracts & Other Financial
86,437,980
14.2
3,149,150
11.9
Insurance Carriers & Related Activities
62,020,786
10.2
2,416,976
9.2
Manufacturing
52,823,337
8.7
2,609,470
9.8
Telecommunications
37,982,125
6.2
1,988,932
7.5
Legal Services
36,684,820
6.0
1,394,325
5.2
Credit Intermediation & Related Activities
32,138,727
5.3
1,123,016
4.2
Health Care & Social Assistance
31,977,376
5.2
1,515,868
5.7
Computer System Design Svcs.
26,388,510
4.3
1,274,429
4.8
Accounting/Tax Prep.
22,519,358
3.7
862,084
3.2
Wholesale Trade
19,440,155
3.2
1,339,786
5.0
Scientific Research/Development
19,400,805
3.2
644,237
2.4
Architectural/Engineering
16,908,605
2.8
729,062
2.7
Admin & Support, Waste Mgt. & Remediation Svcs.
16,271,784
2.7
764,013
2.9
Public Administration
15,619,830
2.6
605,361
2.3
Management/Scientific
13,871,759
2.3
561,637
2.1
Real Estate & Rental & Leasing
12,347,919
2.0
645,635
2.4
Arts, Entertainment & Recreation
12,062,952
2.0
717,680
2.7
Accommodation & Food Services
11,885,319
1.9
503,934
1.9
Other Services (except Public Administration)
11,608,590
1.9
473,807
1.8
Advertising/Related Services
9,020,003
1.5
344,507
1.3
Other Professional
8,093,260
1.3
361,353
1.4
Retail Trade
7,494,797
1.2
442,574
1.7
Construction
6,246,483
1.0
320,550
1.2
Data Processing Services
6,174,989
1.0
240,815
0.9
Information Services
5,723,008
0.9
231,470
0.9
Transportation
5,637,358
0.9
298,036
1.1
Broadcasting
5,084,892
0.8
185,449
0.7
Utilities
4,511,068
0.7
184,709
0.7
Educational Services
3,917,714
0.6
195,910
0.7
Publishing Industries
2,908,724
0.5
149,760
0.6
Other
7,901,608
1.2
323,585
1.1
         
Totals
611,104,641
100.0
26,598,120
100.0

(a)  
The Company’s tenants are classified according to the U.S. Government’s North American Industrial Classification System (NAICS).
(b)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012, annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(c)  
Includes office, office/flex, industrial/warehouse and stand-alone retail tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants. Some tenants have multiple leases.
(d)  
Includes leases in effect as of the period end date, some of which have commencement dates in the future, and leases expiring September 30, 2012 aggregating 113,335 square feet and representing annualized rent of $2,659,320 for which no new leases were signed.





Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
45

 


 
Consolidated Portfolio Analysis (a)
 
(as of September 30, 2012)
 

Breakdown by Number of Properties
 

PROPERTY TYPE:
 
STATE
Office
% of
Total
Office/Flex
% of
Total
Industrial/
Warehouse
% of
Total
Stand-
Alone
Retail
% of
Total
Land
Leases
% of
Total
TOTALS
By State
 
% of
Total
New Jersey
111
41.6%
49
18.4%
--
--
--
--
--
--
160
60.0%
New York
21
7.9%
41
15.4%
6
2.2%
2
0.7 %
2
0.7%
72
26.9%
Pennsylvania
17
6.4%
--
--
--
--
--
--
--
--
17
6.4%
Connecticut
2
0.7%
5
1.9%
--
--
--
--
--
--
7
2.6%
Wash., D.C./
   Maryland
 
10
 
3.7%
 
--
 
--
 
--
 
--
 
--
 
--
1
 
0.4%
 
11
 
4.1%
TOTALS
    By Type:
 
161
 
60.3%
 
95
 
35.7%
 
6
 
2.2%
 
2
 
0.7%
 
3
 
1.1%
 
267
 
100.0%

 
(a)  
Excludes 9 properties, aggregating approximately 1.2 million square feet, which are not consolidated by the Company.
 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
46

 


 
Consolidated Portfolio Analysis (a)
 
(as of September 30, 2012)
 

Breakdown by Square Footage

PROPERTY TYPE:
 
STATE
Office
% of
Total
Office/Flex
% of
Total
Industrial/
Warehouse
% of
Total
Stand-
Alone
Retail
% of
Total
TOTALS By
State
% of
Total
New Jersey
19,552,417
63.1%
2,189,531
7.0%
--
--
--
--
21,741,948
70.1%
New York
2,739,384
8.8%
2,348,812
7.6%
387,400
1.3%
17,300
0.1%
5,492,896
17.8%
Pennsylvania
1,851,614
6.0%
--
--
--
--
--
--
1,851,614
6.0%
Connecticut
324,747
1.0%
273,000
0.9%
--
--
--
--
597,747
1.9%
Wash., D.C./
   Maryland
 
1,292,807
 
4.2%
 
--
 
--
 
--
 
--
 
--
 
--
 
1,292,807
 
4.2%
TOTALS
    By Type:
 
25,760,969
 
83.1%
 
4,811,343
 
15.5%
 
387,400
 
1.3%
 
17,300
 
0.1%
 
30,977,012
 
100.0%

 
      (a)Excludes 9 properties, aggregating approximately 1.2 million square feet, which are not consolidated by the Company.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
47

 


 
Consolidated Portfolio Analysis (a)
 
(Year ended September 30, 2012)
 

Breakdown by Base Rental Revenue (b)
(Dollars in thousands)

PROPERTY TYPE:
 
STATE
Office
% of
Total
Office/
Flex
% of
Total
Indust./
Ware-
house
% of
Total
Stand-
Alone
Retail
% of
Total
Land
Leases
% of
Total
TOTALS
    By State
% of
Total
                         
New Jersey
$403,600
67.6%
$17,417
2.9%
--
--
--
--
--
--
$421,017
70.5%
New York
61,965
10.4%
34,231
5.7%
$4,474
0.8%
$484
0.1%
 $333
0.1%
101,487
17.1%
Pennsylvania
38,197
6.4%
--
--
--
--
--
--
--
--
38,197
6.4%
Connecticut
5,500
0.9%
4,346
0.7%
--
--
--
--
--
--
9,846
1.6%
Wash., D.C./
   Maryland
26,455
4.4%
--
--
--
--
--
--
153
--
26,608
 
4.4%
TOTALS
   By Type:
$535,717
89.7%
$55,994
9.3%
$4,474
0.8%
$484
0.1%
 $486
0.1%
$597,155
100.0%
 
(a)  
Excludes 9 properties, aggregating approximately 1.2 million square feet, which are not consolidated by the Company.
(b)  
Total base rent for the 12 months ended September 30, 2012, determined in accordance with GAAP.  Substantially all of the leases provide for annual base rents plus recoveriesand escalation charges based upon the tenants’ proportionate share of and/or increases in real estate taxes and certain costs, as defined, and the pass through of charges for electrical usage.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
48

 


Consolidated Portfolio Analysis (a) (b)
(as of September 30, 2012)
 
Breakdown by Percentage Leased
 

PROPERTY TYPE:
STATE
Office
Office/Flex
Industrial/Warehouse
Stand-Alone Retail
WEIGHTED AVG.
By State
New Jersey
87.1%
87.2%
--
--
87.1%
New York
87.4%
94.4%
97.8%
100.0%
91.2%
Pennsylvania
87.9%
--
--
--
87.9%
Connecticut
72.9%
100.0%
--
--
85.3%
Washington, D.C./ Maryland
77.6%
--
--
--
77.6%
 
WEIGHTED AVG. By Type:
 
86.6%
 
91.5%
 
97.8%
 
100.0%
 
87.5%

(a)  
Excludes 9 properties, aggregating approximately 1.2 million square feet, which are not consolidated by the Company, and parcels of land leased to others.
(b)  
Percentage leased includes all leases in effect as of the period end date, some of which have commencement dates in the future as well as leases expiring September 30, 2012 aggregating 113,335 square feet for which no new leases were signed.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
49

 

Property Listing
 
Office Properties
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
BERGEN COUNTY, NEW JERSEY
           
Fair Lawn
           
17-17 Route 208 North                                                 
1987
143,000
97.3
2,885
0.48
20.73
Fort Lee
           
One Bridge Plaza                                                 
1981
200,000
92.5
4,688
0.79
25.34
2115 Linwood Avenue                                                 
1981
68,000
74.2
868
0.15
17.20
Little Ferry
           
200 Riser Road                                                 
1974
286,628
100.0
2,321
0.39
8.10
Lyndhurst
           
210 Clay Avenue                                                 
1981
121,203
90.9
2,470
0.41
22.42
Montvale
           
135 Chestnut Ridge Road                                                 
1981
66,150
76.4
815
0.14
16.13
Paramus
           
15 East Midland Avenue                                                 
1988
259,823
80.5
4,326
0.72
20.68
140 East Ridgewood Avenue                                                 
1981
239,680
91.9
4,833
0.81
21.94
461 From Road                                                 
1988
253,554
40.8
3,302
0.55
31.92
650 From Road                                                 
1978
348,510
70.7
6,087
1.02
24.70
61 South Paramus Road (e)                                                 
1985
269,191
60.8
4,479
0.75
27.37
Rochelle Park
           
120 West Passaic Street                                                 
1972
52,000
99.6
1,474
0.25
28.46
365 West Passaic Street                                                 
1976
212,578
85.3
3,930
0.66
21.67
395 West Passaic Street                                                 
1979
100,589
65.3
1,041
0.17
15.85
Upper Saddle River
           
1 Lake Street                                                 
1973/94
474,801
100.0
7,465
1.25
15.72
10 Mountainview Road                                                 
1986
192,000
82.4
3,157
0.53
19.95
Woodcliff Lake
           
400 Chestnut Ridge Road                                                 
1982
89,200
100.0
1,951
0.33
21.87
470 Chestnut Ridge Road                                                 
1987
52,500
100.0
1,248
0.21
23.77
530 Chestnut Ridge Road                                                 
1986
57,204
80.2
757
0.13
16.50
50 Tice Boulevard                                                 
1984
235,000
85.9
5,462
0.91
27.06
300 Tice Boulevard                                                 
1991
230,000
100.0
6,005
1.01
26.11
             
BURLINGTON COUNTY, NEW JERSEY
           
Moorestown
           
224 Strawbridge Drive (f)                                                 
1984
74,000
55.3
1,094
0.18
26.73
228 Strawbridge Drive (f)                                                 
1984
74,000
100.0
1,919
0.32
25.93
232 Strawbridge Drive (f)                                                 
1986
74,258
28.9
448
0.08
20.88
             
ESSEX COUNTY, NEW JERSEY
           
Millburn
           
150 J.F. Kennedy Parkway                                                 
1980
247,476
92.7
7,319
1.23
31.90
Roseland
           
4 Becker Farm Road                                                 
1983
281,762
95.5
6,809
1.14
25.30
5 Becker Farm Road                                                 
1982
118,343
92.6
2,374
0.40
21.66
6 Becker Farm Road                                                 
1982
129,732
78.3
2,573
0.43
25.33
101 Eisenhower Parkway                                                 
1980
237,000
84.6
4,935
0.83
24.61
103 Eisenhower Parkway                                                 
1985
151,545
65.7
2,252
0.38
22.62
105 Eisenhower Parkway                                                 
2001
220,000
94.9
5,090
0.85
24.38
75 Livingston Avenue                                                 
1985
94,221
64.2
1,126
0.19
18.61
85 Livingston Avenue                                                 
1985
124,595
84.8
2,712
0.45
25.67


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
50

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
HUDSON COUNTY, NEW JERSEY
           
Jersey City
           
Harborside Financial Center Plaza 1
1983
400,000
100.0
11,312
1.89
28.28
Harborside Financial Center Plaza 2
1990
761,200
97.5
18,411
3.08
24.81
Harborside Financial Center Plaza 3
1990
725,600
94.8
19,549
3.27
28.42
Harborside Financial Center Plaza 4-A
2000
207,670
100.0
6,389
1.07
30.77
Harborside Financial Center Plaza 5
2002
977,225
84.8
34,335
5.76
41.43
101 Hudson Street                                                 
1992
1,246,283
89.0
29,333
4.91
26.45
             
MERCER COUNTY, NEW JERSEY
           
Hamilton Township
           
3 AAA Drive                                                 
1981
35,270
89.7
588
0.10
18.59
600 Horizon Drive                                                 
2002
95,000
100.0
1,419
0.24
14.94
700 Horizon Drive                                                 
2007
120,000
100.0
2,459
0.41
20.49
2 South Gold Drive                                                 
1974
33,962
61.6
218
0.04
10.42
Princeton
           
103 Carnegie Center                                                 
1984
96,000
92.4
2,066
0.35
23.29
2 Independence Way                                                 
1981
67,401
100.0
1,531
0.26
22.71
3 Independence Way                                                 
1983
111,300
94.0
1,946
0.33
18.60
100 Overlook Center                                                 
1988
149,600
89.6
3,859
0.65
28.79
5 Vaughn Drive                                                 
1987
98,500
90.2
2,258
0.38
25.41
             
MIDDLESEX COUNTY, NEW JERSEY
           
East Brunswick
           
377 Summerhill Road                                                 
1977
40,000
100.0
372
0.06
9.30
Edison
           
343 Thornall Street (c)                                              
1991
195,709
87.2
3,489
0.58
20.44
Piscataway
           
30 Knightsbridge Road, Bldg. 3
1977
160,000
100.0
2,445
0.41
15.28
30 Knightsbridge Road, Bldg. 4
1977
115,000
100.0
1,757
0.29
15.28
30 Knightsbridge Road, Bldg. 5
1977
332,607
89.5
5,113
0.86
17.18
30 Knightsbridge Road, Bldg. 6
1977
72,743
63.8
230
0.04
4.96
Plainsboro
           
500 College Road East (e)                                                 
1984
158,235
82.9
2,743
0.46
20.91
Woodbridge
           
581 Main Street                                                 
1991
200,000
99.3
4,947
0.83
24.91
             
MONMOUTH COUNTY, NEW JERSEY
           
Freehold
           
2 Paragon Way                                                 
1989
44,524
47.2
434
0.07
20.65
3 Paragon Way                                                 
1991
66,898
74.8
799
0.13
15.97
4 Paragon Way                                                 
2002
63,989
30.8
530
0.09
26.89
100 Willow Brook Road                                                 
1988
60,557
57.4
727
0.12
20.92
Holmdel
           
23 Main Street                                                 
1977
350,000
100.0
4,012
0.67
11.46
Middletown
           
One River Centre Bldg. 1                                                 
1983
122,594
86.1
2,867
0.48
27.16
One River Centre Bldg. 2                                                 
1983
120,360
91.5
2,590
0.43
23.52
One River Centre Bldg. 3 and 4
1984
214,518
93.3
4,512
0.76
22.54
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
51

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
Neptune
           
3600 Route 66                                                 
1989
180,000
100.0
2,400
0.40
13.33
Wall Township
           
1305 Campus Parkway                                                 
1988
23,350
68.5
383
0.06
23.95
1350 Campus Parkway                                                 
1990
79,747
99.9
1,031
0.17
12.94
             
MORRIS COUNTY, NEW JERSEY
           
Florham Park
           
325 Columbia Turnpike                                                 
1987
168,144
100.0
3,810
0.64
22.66
Morris Plains
           
250 Johnson Road                                                 
1977
75,000
100.0
1,514
0.25
20.19
201 Littleton Road                                                 
1979
88,369
77.7
744
0.12
10.84
Morris Township
           
412 Mt. Kemble Avenue                                                 
1986
475,100
67.9
6,347
1.06
19.67
Parsippany
           
4 Campus Drive                                                 
1983
147,475
77.9
2,111
0.35
18.38
6 Campus Drive                                                 
1983
148,291
78.2
3,025
0.51
26.09
7 Campus Drive                                                 
1982
154,395
78.0
2,558
0.43
21.24
8 Campus Drive                                                 
1987
215,265
48.0
4,256
0.71
41.19
9 Campus Drive                                                 
1983
156,495
43.4
1,704
0.29
25.09
4 Century Drive                                                 
1981
100,036
62.5
1,121
0.19
17.93
5 Century Drive                                                 
1981
79,739
52.0
892
0.15
21.51
6 Century Drive                                                 
1981
100,036
58.0
501
0.08
8.63
2 Dryden Way                                                 
1990
6,216
100.0
99
0.02
15.93
4 Gatehall Drive                                                 
1988
248,480
98.8
6,339
1.06
25.82
2 Hilton Court                                                 
1991
181,592
100.0
6,529
1.09
35.95
1633 Littleton Road                                                 
1978
57,722
100.0
1,131
0.19
19.59
600 Parsippany Road                                                 
1978
96,000
90.4
1,599
0.27
18.43
1 Sylvan Way                                                 
1989
150,557
96.0
3,581
0.60
24.78
4 Sylvan Way                                                 
1984
105,135
100.0
1,929
0.32
18.35
5 Sylvan Way                                                 
1989
151,383
89.0
3,790
0.63
28.13
7 Sylvan Way                                                 
1987
145,983
100.0
3,272
0.55
22.41
22 Sylvan Way                                                 
2009
249,409
100.0
6,327
1.06
25.37
20 Waterview Boulevard                                                 
1988
225,550
93.8
4,994
0.84
23.60
35 Waterview Boulevard                                                 
1990
172,498
93.8
4,249
0.71
26.26
5 Wood Hollow Road                                                 
1979
317,040
88.1
5,839
0.98
20.90
             
PASSAIC COUNTY, NEW JERSEY
           
Clifton
           
777 Passaic Avenue                                                 
1983
75,000
65.2
1,148
0.19
23.48
Totowa
           
999 Riverview Drive                                                 
1988
56,066
89.2
682
0.11
13.64
             
SOMERSET COUNTY, NEW JERSEY
           
Basking Ridge
           
222 Mt. Airy Road                                                 
1986
49,000
100.0
1,079
0.18
22.02
233 Mt. Airy Road                                                 
1987
66,000
24.7
246
0.04
15.09
Bernards
           
106 Allen Road                                                 
2000
132,010
93.9
2,538
0.43
20.47
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
52

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
Branchburg
           
51 Imclone Drive                                              
1986
63,213
100.0
537
0.09
8.50
Bridgewater
           
55 Corporate Drive                                                 
2011
204,057
100.0
4,815
0.81
23.60
440 Route 22 East                                                 
1990
198,376
93.4
4,484
0.75
24.20
721 Route 202/206 
1989
192,741
92.1
3,890
0.65
21.91
Warren
           
10 Independence Boulevard                                                 
1988
120,528
86.3
2,667
0.45
25.64
             
UNION COUNTY, NEW JERSEY
           
Clark
           
100 Walnut Avenue                                                 
1985
182,555
100.0
4,692
0.79
25.70
Cranford
           
6 Commerce Drive                                                 
1973
56,000
86.7
1,005
0.17
20.70
11 Commerce Drive                                                 
1981
90,000
95.0
2,162
0.36
25.29
12 Commerce Drive                                                 
1967
72,260
84.7
923
0.15
15.08
14 Commerce Drive                                                 
1971
67,189
85.2
1,182
0.20
20.65
20 Commerce Drive                                                 
1990
176,600
99.4
4,071
0.68
23.19
25 Commerce Drive                                                 
1971
67,749
86.8
1,370
0.23
23.30
65 Jackson Drive                                                 
1984
82,778
84.4
1,586
0.27
22.70
New Providence
           
890 Mountain Avenue                                                 
1977
80,000
72.6
993
0.17
17.10
             
Total New Jersey Office
 
19,552,417
87.1
403,600
67.61
23.69
             
NEW YORK COUNTY, NEW YORK
           
New York
           
125 Broad Street                                                 
1970
524,476
95.5
15,286
2.56
30.52
             
ROCKLAND COUNTY, NEW YORK
           
Suffern
           
400 Rella Boulevard                                                 
1988
180,000
93.6
3,647
0.61
21.65
WESTCHESTER COUNTY, NEW YORK
           
Elmsford
           
100 Clearbrook Road (c)                                                 
1975
60,000
83.3
1,010
0.17
20.21
101 Executive Boulevard                                                 
1971
50,000
0.0
73
0.01
0.00
555 Taxter Road                                                 
1986
170,554
76.8
3,117
0.52
23.80
565 Taxter Road                                                 
1988
170,554
84.5
3,516
0.59
24.40
570 Taxter Road                                                 
1972
75,000
67.3
1,285
0.22
25.46
Hawthorne
           
1 Skyline Drive                                                 
1980
20,400
99.0
357
0.06
17.68
2 Skyline Drive                                                 
1987
30,000
100.0
543
0.09
18.10
7 Skyline Drive                                                 
1987
109,000
82.0
2,298
0.38
25.71
17 Skyline Drive (e)                                                 
1989
85,000
100.0
1,690
0.28
19.88
19 Skyline Drive                                                 
1982
248,400
100.0
4,036
0.68
16.25
Tarrytown
           
200 White Plains Road                                                 
1982
89,000
78.8
1,736
0.29
24.75
220 White Plains Road                                                 
1984
89,000
79.2
1,610
0.27
22.84
White Plains
           
1 Barker Avenue                                                 
1975
68,000
99.8
1,804
0.30
26.58
3 Barker Avenue                                                 
1983
65,300
92.1
1,558
0.26
25.91


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
53

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
50 Main Street                                                 
1985
309,000
83.8
8,300
1.39
32.05
11 Martine Avenue                                                 
1987
180,000
79.3
4,368
0.73
30.60
1 Water Street                                                 
1979
45,700
78.6
1,052
0.18
29.29
Yonkers
           
1 Executive Boulevard                                                 
1982
112,000
100.0
2,936
0.49
26.21
3 Executive Boulevard                                                 
1987
58,000
100.0
1,743
0.29
30.05
             
Total New York Office
 
2,739,384
87.4
61,965
10.37
25.88
             
CHESTER COUNTY, PENNSYLVANIA
           
Berwyn
           
1000 Westlakes Drive                                                 
1989
60,696
69.5
873
0.15
20.70
1055 Westlakes Drive                                                 
1990
118,487
79.1
2,109
0.35
22.50
1205 Westlakes Drive                                                 
1988
130,265
99.1
2,988
0.50
23.15
1235 Westlakes Drive                                                 
1986
134,902
86.5
2,825
0.47
24.21
             
DELAWARE COUNTY, PENNSYLVANIA
           
Lester
           
100 Stevens Drive                                                 
1986
95,000
100.0
2,771
0.46
29.17
200 Stevens Drive                                                 
1987
208,000
100.0
6,088
1.02
29.27
300 Stevens Drive                                                 
1992
68,000
100.0
1,423
0.24
20.93
Media
           
1400 Providence Road – Center I
1986
100,000
98.5
2,085
0.35
21.17
1400 Providence Road – Center II
1990
160,000
100.0
3,583
0.60
22.39
             
MONTGOMERY COUNTY, PENNSYLVANIA
           
Bala Cynwyd
           
150 Monument Road                                                 
1981
125,783
86.7
2,645
0.44
24.25
Blue Bell
           
4 Sentry Park                                                 
1982
63,930
83.5
1,044
0.17
19.56
5 Sentry Park East                                                 
1984
91,600
58.5
1,175
0.20
21.93
5 Sentry Park West                                                 
1984
38,400
68.3
253
0.04
9.65
16 Sentry Park West                                                 
1988
93,093
100.0
2,282
0.38
24.51
18 Sentry Park West                                                 
1988
95,010
75.4
2,257
0.38
31.51
Lower Providence
           
1000 Madison Avenue                                                 
1990
100,700
77.1
1,221
0.20
15.73
Plymouth Meeting
           
1150 Plymouth Meeting Mall                                                 
1970
167,748
78.1
2,575
0.43
19.65
             
Total Pennsylvania Office
 
1,851,614
87.9
38,197
6.38
23.48
             
FAIRFIELD COUNTY, CONNECTICUT
           
Norwalk
           
40 Richards Avenue                                                 
1985
145,487
59.5
1,861
0.31
21.50
Stamford
           
1266 East Main Street                                                 
1984
179,260
83.7
3,639
0.61
24.25
             
Total Connecticut Office
 
324,747
72.9
5,500
0.92
23.25
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
54

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
WASHINGTON, D.C.
           
1201 Connecticut Avenue, NW
1940
169,549
99.0
6,316
1.06
37.63
1400 L Street, NW                                                 
1987
159,000
100.0
5,616
0.94
35.32
             
Total District of Columbia Office
 
328,549
99.5
11,932
2.00
36.51
             
PRINCE GEORGE’S COUNTY, MARYLAND
           
Greenbelt
           
9200 Edmonston Road                                                 
1973
38,690
100.0
910
0.15
23.52
6301 Ivy Lane                                                 
1979
112,003
76.6
2,004
0.34
23.36
6303 Ivy Lane                                                 
1980
112,047
85.6
2,363
0.40
24.64
6305 Ivy Lane                                                 
1982
112,022
97.8
1,867
0.31
17.04
6404 Ivy Lane                                                 
1987
165,234
70.5
2,349
0.39
20.16
6406 Ivy Lane                                                 
1991
163,857
13.2
0
0.00
0.00
6411 Ivy Lane                                                 
1984
138,405
69.1
2,117
0.35
22.14
Lanham
           
4200 Parliament Place                                                 
1989
122,000
92.9
2,913
0.49
25.70
             
Total Maryland Office
 
964,258
70.2
14,523
2.43
21.45
             
             
TOTAL OFFICE PROPERTIES
 
25,760,969
86.6
535,717
89.71
24.02
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
55

 


Property Listing
 
Office/Flex Properties
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
BURLINGTON COUNTY, NEW JERSEY
           
Burlington
           
3 Terri Lane                                                 
1991
64,500
85.8
553
0.09
9.99
5 Terri Lane                                                 
1992
74,555
100.0
629
0.11
8.44
Moorestown
           
2 Commerce Drive                                                 
1986
49,000
75.6
214
0.04
5.78
101 Commerce Drive                                                 
1988
64,700
100.0
275
0.05
4.25
102 Commerce Drive                                                 
1987
38,400
87.5
233
0.04
6.93
201 Commerce Drive                                                 
1986
38,400
50.0
103
0.02
5.36
202 Commerce Drive                                                 
1988
51,200
91.8
225
0.04
4.79
1 Executive Drive                                                 
1989
20,570
90.8
127
0.02
6.80
2 Executive Drive                                                 
1988
60,800
65.8
296
0.05
7.40
101 Executive Drive                                                 
1990
29,355
99.7
297
0.05
10.15
102 Executive Drive                                                 
1990
64,000
100.0
474
0.08
7.41
225 Executive Drive                                                 
1990
50,600
79.1
260
0.04
6.50
97 Foster Road                                                 
1982
43,200
100.0
171
0.03
3.96
1507 Lancer Drive                                                 
1995
32,700
100.0
61
0.01
1.87
1245 North Church Street                                                 
1998
52,810
100.0
291
0.05
5.51
1247 North Church Street                                                 
1998
52,790
80.7
295
0.05
6.92
1256 North Church Street                                                 
1984
63,495
100.0
471
0.08
7.42
840 North Lenola Road                                                 
1995
38,300
100.0
370
0.06
9.66
844 North Lenola Road                                                 
1995
28,670
100.0
188
0.03
6.56
915 North Lenola Road                                                 
1998
52,488
100.0
293
0.05
5.58
2 Twosome Drive                                                 
2000
48,600
100.0
217
0.04
4.47
30 Twosome Drive                                                 
1997
39,675
100.0
301
0.05
7.59
31 Twosome Drive                                                 
1998
84,200
100.0
430
0.07
5.11
40 Twosome Drive                                                 
1996
40,265
86.6
237
0.04
6.80
41 Twosome Drive                                                 
1998
43,050
66.9
200
0.03
6.94
50 Twosome Drive                                                 
1997
34,075
100.0
256
0.04
7.51
             
GLOUCESTER COUNTY, NEW JERSEY
           
West Deptford
           
1451 Metropolitan Drive                                                 
1996
21,600
100.0
120
0.02
5.56
             
MERCER COUNTY, NEW JERSEY
           
Hamilton Township
           
100 Horizon Center Boulevard
1989
13,275
100.0
64
0.01
4.82
200 Horizon Drive                                                 
1991
45,770
100.0
681
0.11
14.88
300 Horizon Drive                                                 
1989
69,780
49.3
457
0.08
13.28
500 Horizon Drive                                                 
1990
41,205
93.8
587
0.10
15.19
             
MONMOUTH COUNTY, NEW JERSEY
           
Wall Township
           
1325 Campus Parkway                                                 
1988
35,000
100.0
642
0.11
18.34
1340 Campus Parkway                                                 
1992
72,502
100.0
934
0.16
12.88
1345 Campus Parkway                                                 
1995
76,300
100.0
1,049
0.18
13.75
1433 Highway 34                                                 
1985
69,020
60.5
496
0.08
11.88
1320 Wyckoff Avenue                                                 
1986
20,336
100.0
222
0.04
10.92
1324 Wyckoff Avenue                                                 
1987
21,168
81.5
175
0.03
10.14
             
             
             
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
56

 


Property Listing
 
Office/Flex Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
PASSAIC COUNTY, NEW JERSEY
           
Totowa
           
1 Center Court                                                 
1999
38,961
100.0
594
0.10
15.25
2 Center Court                                                 
1998
30,600
62.8
229
0.04
11.92
11 Commerce Way                                                 
1989
47,025
66.7
439
0.07
14.00
20 Commerce Way                                                 
1992
42,540
61.1
264
0.04
10.16
29 Commerce Way                                                 
1990
48,930
20.4
335
0.06
33.56
40 Commerce Way                                                 
1987
50,576
86.3
553
0.09
12.67
45 Commerce Way                                                 
1992
51,207
100.0
519
0.09
10.14
60 Commerce Way                                                 
1988
50,333
89.1
557
0.09
12.42
80 Commerce Way                                                 
1996
22,500
100.0
310
0.05
13.78
100 Commerce Way                                                 
1996
24,600
100.0
338
0.06
13.74
120 Commerce Way                                                 
1994
9,024
100.0
97
0.02
10.75
140 Commerce Way                                                 
1994
26,881
89.3
288
0.05
12.00
             
Total New Jersey Office/Flex
 
2,189,531
87.2
17,417
2.94
9.12
             
WESTCHESTER COUNTY, NEW YORK
           
Elmsford
           
11 Clearbrook Road                                                 
1974
31,800
100.0
387
0.06
12.17
75 Clearbrook Road                                                 
1990
32,720
100.0
267
0.04
8.16
125 Clearbrook Road                                                 
2002
33,000
100.0
726
0.12
22.00
150 Clearbrook Road                                                 
1975
74,900
99.3
840
0.14
11.29
175 Clearbrook Road                                                 
1973
98,900
100.0
1,477
0.25
14.93
200 Clearbrook Road                                                 
1974
94,000
99.8
1,209
0.20
12.89
250 Clearbrook Road                                                 
1973
155,000
94.5
1,160
0.19
7.92
50 Executive Boulevard                                                 
1969
45,200
64.5
384
0.06
13.17
77 Executive Boulevard                                                 
1977
13,000
100.0
244
0.04
18.77
85 Executive Boulevard                                                 
1968
31,000
86.2
499
0.08
18.67
300 Executive Boulevard                                                 
1970
60,000
100.0
759
0.13
12.65
350 Executive Boulevard                                                 
1970
15,400
99.4
138
0.02
9.02
399 Executive Boulevard                                                 
1962
80,000
100.0
1,038
0.17
12.98
400 Executive Boulevard                                                 
1970
42,200
78.0
616
0.10
18.71
500 Executive Boulevard                                                 
1970
41,600
100.0
754
0.13
18.13
525 Executive Boulevard                                                 
1972
61,700
100.0
981
0.16
15.90
1 Westchester Plaza                                                 
1967
25,000
81.6
333
0.06
16.32
2 Westchester Plaza                                                 
1968
25,000
100.0
546
0.09
21.84
3 Westchester Plaza                                                 
1969
93,500
97.9
1,031
0.17
11.26
4 Westchester Plaza                                                 
1969
44,700
100.0
687
0.12
15.37
5 Westchester Plaza                                                 
1969
20,000
100.0
250
0.04
12.50
6 Westchester Plaza                                                 
1968
20,000
89.8
262
0.04
14.59
7 Westchester Plaza                                                 
1972
46,200
100.0
676
0.11
14.63
8 Westchester Plaza                                                 
1971
67,200
100.0
758
0.13
11.28
Hawthorne
           
200 Saw Mill River Road                                                 
1965
51,100
94.7
628
0.11
12.98
4 Skyline Drive                                                 
1987
80,600
100.0
1,513
0.25
18.77
5 Skyline Drive                                                 
1980
124,022
96.1
1,454
0.24
12.20
6 Skyline Drive                                                 
1980
44,155
100.0
629
0.11
14.25
8 Skyline Drive                                                 
1985
50,000
85.4
941
0.16
22.04
10 Skyline Drive                                                 
1985
20,000
100.0
395
0.07
19.75
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
57

 


Property Listing
 
Office/Flex Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
11 Skyline Drive (e)                                                 
1989
45,000
100.0
942
0.16
20.93
12 Skyline Drive (e)                                                 
1999
46,850
68.5
592
0.10
18.45
15 Skyline Drive (e)                                                 
1989
55,000
18.7
951
0.16
92.46
Yonkers
           
100 Corporate Boulevard                                                 
1987
78,000
98.3
1,447
0.24
18.87
200 Corporate Boulevard South
1990
84,000
100.0
1,604
0.27
19.10
4 Executive Plaza                                                 
1986
80,000
100.0
1,352
0.23
16.90
6 Executive Plaza                                                 
1987
80,000
100.0
1,544
0.26
19.30
1 Odell Plaza                                                 
1980
106,000
92.5
1,177
0.20
12.00
3 Odell Plaza                                                 
1984
71,065
100.0
1,596
0.27
22.46
5 Odell Plaza                                                 
1983
38,400
99.6
650
0.11
17.00
7 Odell Plaza                                                 
1984
42,600
99.6
794
0.13
18.71
             
Total New York Office/Flex
 
2,348,812
94.4
34,231
5.72
15.44
             
FAIRFIELD COUNTY, CONNECTICUT
           
Stamford
           
419 West Avenue                                                 
1986
88,000
100.0
1,576
0.26
17.91
500 West Avenue                                                 
1988
25,000
100.0
423
0.07
16.92
550 West Avenue                                                 
1990
54,000
100.0
991
0.17
18.35
600 West Avenue                                                 
1999
66,000
100.0
670
0.11
10.15
650 West Avenue                                                 
1998
40,000
100.0
686
0.11
17.15
             
Total Connecticut Office/Flex
 
273,000
100.0
4,346
0.72
15.92
             
             
TOTAL OFFICE/FLEX PROPERTIES
 
4,811,343
91.5
55,994
9.38
12.72
             


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
58

 


Property Listing
 
Industrial/Warehouse, Retail and Land Properties
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
9/30/12
 (%) (a)
2012
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2012
Base Rent
%
2012
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
             
WESTCHESTER COUNTY, NEW YORK
           
Elmsford
           
1 Warehouse Lane (e)                                                 
1957
6,600
100.0
100
0.02
15.15
2 Warehouse Lane (e)                                                 
1957
10,900
100.0
159
0.03
14.59
3 Warehouse Lane (e)                                                 
1957
77,200
100.0
372
0.06
4.82
4 Warehouse Lane (e)                                                 
1957
195,500
96.7
2,326
0.39
12.30
5 Warehouse Lane (e)                                                 
1957
75,100
97.1
979
0.16
13.43
6 Warehouse Lane (e)                                                 
1982
22,100
100.0
538
0.09
24.34
             
Total Industrial/Warehouse Properties
 
387,400
97.8
4,474
0.75
11.81
             
WESTCHESTER COUNTY, NEW YORK
           
Tarrytown
           
230 White Plains Road                                                 
1984
9,300
100.0
179
0.03
19.25
Yonkers
           
2 Executive Boulevard                                                 
1986
8,000
100.0
305
0.05
38.13
             
Total Retail Properties
 
17,300
100.0
484
0.08
27.98
             
WESTCHESTER COUNTY, NEW YORK
           
Elmsford
           
700 Executive Boulevard                                                 
--
--
--
148
0.02
--
Yonkers
           
1 Enterprise Boulevard                                                 
--
--
--
185
0.03
--
             
Total New York Land Leases
 
--
--
333
0.05
--
             
PRINCE GEORGE’S COUNTY, MARYLAND
           
Greenbelt
           
Capital Office Park Parcel A                                                 
--
--
--
153
0.03
--
             
Total Maryland Land Leases
 
--
--
153
0.03
--
             
Total Land Leases
 
--
--
486
0.08
--
             
 
TOTAL PROPERTIES
 
30,977,012
87.5
597,155
(g)
100.00
22.04

(a)  
Percentage leased includes all leases in effect as of the period end date, some of which have commencement dates in the future and leases expiring September 30, 2012 aggregating 113,335 square feet (representing 0.4 percent of the Company’s total net rentable square footage) for which no new leases were signed.
(b)  
Total base rent for the 12 months ended September 30, 2012, determined in accordance with generally accepted accounting principles (“GAAP”).  Substantially all of the leases provide for annual base rents plus recoveries and escalation charges based upon the tenant’s proportionate share of and/or increases in real estate taxes and certain operating costs, as defined, and the pass through of charges for electrical usage.
(c)  
Excludes space leased by the Company.
(d)  
Base rent for the 12 months ended September 30, 2012, divided by net rentable square feet leased at September 30, 2012.
(e)  
This property is located on land leased by the Company.
(f)  
This property was identified as held for sale by the Company as of September 30, 2012 and is classified as discontinued operations in the financial statements.
(g)  
Includes $3,461 pertaining to properties held for sale, which are classified as discontinued operations in the financial statements.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
59

 


Significant Tenants


The following table sets forth a schedule of the Company’s 50 largest tenants for the Consolidated Properties as of September 30, 2012, based upon annualized base rental revenue:
 
Number of
Properties
Annualized
Base Rental
Revenue ($) (a)
Percentage of
Company
Annualized Base
Rental Revenue (%)
Square
Feet
Leased
Percentage
Total Company
Leased Sq. Ft. (%)
Year of
Lease
Expiration
National Union Fire Insurance    Company of Pittsburgh, PA
3
13,777,628
2.3
468,085
1.8
(b)
DB Services New Jersey, Inc.
2
12,111,630
2.0
402,068
1.5
2017
New Cingular Wireless PCS, LLC
4
9,744,793
1.6
433,296
1.6
(c)
Keystone Mercy Health Plan
3
9,501,488
1.6
317,245
1.2
2020
Wyndham Worldwide Operations
2
9,465,635
1.5
395,392
1.5
(d)
United States of America-GSA
13
9,087,407
1.5
298,463
1.1
(e)
Forest Research Institute, Inc.
1
8,961,536
1.5
215,659
0.8
2017
Bank Of Tokyo-Mitsubishi UFJ, Ltd.
1
8,923,723
1.5
261,957
1.0
(f)
Prentice-Hall, Inc.
1
8,643,699
1.4
474,801
1.8
2014
ICAP Securities USA, LLC
1
6,601,073
1.1
159,834
0.6
2017
TD Ameritrade Online Holdings
1
6,165,233
1.0
188,776
0.7
2020
Daiichi Sankyo, Inc.
2
6,151,614
1.0
180,807
0.7
(g)
Merrill Lynch Pierce Fenner
1
5,883,780
1.0
294,189
1.1
2017
Montefiore Medical Center
6
5,730,031
0.9
256,292
1.0
(h)
HQ Global Workplaces, LLC
19
5,269,422
0.9
305,292
1.1
(i)
IBM Corporation
2
5,177,420
0.8
292,304
1.1
(j)
KPMG, LLP
3
5,103,709
0.8
187,536
0.7
(k)
Sanofi-Aventis U.S., Inc.
1
4,489,254
0.7
204,057
0.8
2026
J.H. Cohn, LLP
2
4,335,049
0.7
155,056
0.6
(l)
Vonage America, Inc.
1
4,256,000
0.7
350,000
1.3
2017
Allstate Insurance Company
8
4,166,459
0.7
184,763
0.7
(m)
AT&T Corp.
1
4,137,500
0.7
275,000
1.0
2014
Morgan Stanley Smith Barney
4
4,136,248
0.7
142,530
0.5
(n)
Arch Insurance Company
1
3,685,118
0.6
106,815
0.4
2024
Morgan Stanley & Co., Inc.
1
3,674,040
0.6
306,170
1.2
2013
Oppenheimer & Co., Inc.
1
3,269,465
0.5
118,871
0.4
(o)
Alpharma, LLC
1
3,053,604
0.5
112,235
0.4
2018
SunAmerica Asset Management
1
2,958,893
0.5
69,621
0.3
2018
E*Trade Financial Corporation
1
2,930,757
0.5
106,573
0.4
2022
United States Life Insurance Co.
1
2,880,000
0.5
180,000
0.7
2013
Plymouth Rock Management Company of New Jersey
2
2,870,142
0.5
116,889
0.4
2020
Natixis North America, Inc.
1
2,823,569
0.5
89,907
0.3
2021
Tullett Prebon Holdings Corp.
1
2,809,850
0.5
100,759
0.4
2023
Continental Casualty Company
2
2,784,736
0.5
100,712
0.4
(p)
AAA Mid-Atlantic, Inc.
2
2,758,793
0.5
129,784
0.5
(q)
Connell Foley, LLP
2
2,572,383
0.4
97,822
0.4
2015
Shaw Facilities, Inc.
2
2,560,205
0.4
113,625
0.4
2016
New Jersey Turnpike Authority
1
2,530,631
0.4
100,223
0.4
2017
Lowenstein Sandler, P.C.
1
2,491,594
0.4
98,677
0.4
2017
Tradeweb Markets, LLC
1
2,490,140
0.4
64,976
0.2
2017
Bunge Management Services, Inc.
1
2,458,765
0.4
66,303
0.2
2020
Movado Group, Inc.
1
2,449,828
0.4
90,050
0.3
2018
Savvis Communications Corporation
1
2,430,116
0.4
71,474
0.3
2015
Virgin Mobile USA, LP
1
2,427,776
0.4
93,376
0.4
2016
Credit Suisse (USA), Inc.
1
2,395,619
0.4
71,511
0.3
(r)
Sony Music Entertainment
1
2,359,986
0.4
97,653
0.4
2014
T-Mobile USA, Inc.
1
2,339,254
0.4
105,135
0.4
2014
ASRC Aerospace Corporation
1
2,316,667
0.4
81,108
0.3
2014
Qualcare Alliance Networks, Inc.
2
2,316,191
0.4
118,779
0.4
2021
Tower Insurance Company of New York
1
2,306,760
0.4
76,892
0.3
2023
             
Totals
 
234,765,213
38.8
9,329,342
35.1
 

See footnotes on subsequent page.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
60

 



Significant Tenants

(Continued)

(a)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after July 1, 2012, annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(b)  
69,944 square feet expire in 2012; 281,023 square feet expire in 2018; 117,118 square feet expire 2019.
(c)  
333,145 square feet expire in 2013; 72,385 square feet expire in 2014; 27,766 square feet expire in 2015.
(d)  
145,983 square feet expire in 2013; 249,409 square feet expire in 2029.
(e)  
67,167 square feet expire in 2013; 4,879 square feet expire in 2014; 180,729 square feet expire in 2015; 15,851 square feet expire in 2016; 8,241 square feet expire in 2017; 21,596 square feet expire in 2022.
(f)  
24,607 square feet expire in 2019; 237,350 square feet expire in 2029.
(g)  
8,907 square feet expire in 2013; 171,900 square feet expire in 2022.
(h)  
9,170 square feet expire in 2013; 5,850 square feet expire in 2014; 7,200 square feet expire in 2016; 30,872 square feet expire in 2017; 36,385 square feet expire in 2018; 133,763 square feet expire in 2019; 8,600 square feet expire in 2020; 14,842 square feet expire in 2021; 9,610 square feet expire in 2022.
(i)  
22,064 square feet expire in 2013; 22,279 square feet expire in 2015; 12,407 square feet expire in 2017; 33,649 square feet expire in 2018; 19,485 square feet expire in 2019; 21,008 square feet expire in 2020; 14,724 square feet expire in 2021; 36,158 square feet expire in 2023; 123,518 square feet expire in 2024.
(j)  
248,399 square feet expire in 2012; 43,905 square feet expire in 2013.
(k)  
77,381 square feet expire in 2012; 10,877 square feet expire in 2013; 53,409 square feet expire in 2019; 45,869 square feet expire in 2020.
(l)  
1,021 square feet expire in 2014; 154,035 square feet expire in 2020.
(m)  
29,005 square feet expire in 2013; 4,456 square feet expire in 2014; 5,348 square feet expire in 2015; 4,014 square feet expire in 2016; 90,334 square feet expire in 2017; 51,606 square feet expire in 2018.
(n)  
26,262 square feet expire in 2013; 26,834 square feet expire in 2014; 29,654 square feet expire in 2015; 36,998 square feet expire in 2016; 22,782 square feet expire in 2018.
(o)  
104,008 square feet expire in 2013; 14,863 square feet expire in 2017.
(p)  
19,416 square feet expire in 2016; 81,296 square feet expire in 2031.
(q)  
9,784 square feet expire in 2017; 120,000 square feet expire in 2022.
(r)  
7,098 square feet expire in 2013; 64,413 square feet expire in 2014.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
61

 


Schedule of Lease Expirations

All Consolidated Properties

 
The following table sets forth a schedule of lease expirations for the total of the Company’s office, office/flex, industrial/warehouse and stand-alone retail properties included in the Consolidated Properties beginning October 1, 2012, assuming that none of the tenants exercise renewal or termination options (with a breakdown by market for 2012 through 2014 only):
 

Year Of
Expiration/
Market
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
 Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2012 (c)
           
   Northern  NJ
34
377,192
1.5
9,701,337
25.72
1.5
   Central NJ
9
66,838
0.3
1,554,449
23.26
0.3
   Westchester Co., NY
7
20,734
0.1
447,381
21.58
0.1
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
7
36,242
0.1
591,630
16.32
0.1
   Fairfield, CT
1
7,000
(d)
63,000
9.00
(d)
   Washington, DC/MD
1
1,780
(d)
37,772
21.22
(d)
   Rockland Co., NY
1
203
(d)
5,400
26.60
(d)
TOTAL – 2012
60
509,989
2.0
12,400,969
24.32
2.0
             
             
2013
           
   Northern  NJ
110
885,731
3.2
22,106,721
24.96
3.5
   Central NJ
86
624,438
2.3
14,621,172
23.41
2.4
   Westchester Co., NY
115
866,032
3.3
16,054,231
18.54
2.6
   Manhattan
2
104,008
0.4
2,808,711
27.00
0.5
   Sub. Philadelphia
73
393,700
1.5
6,670,750
16.94
1.1
   Fairfield, CT
14
88,362
0.3
1,637,563
18.53
0.3
   Washington, DC/MD
25
119,447
0.5
2,917,863
24.43
0.5
   Rockland Co., NY
8
41,941
0.2
1,095,456
26.12
0.2
TOTAL – 2013
433
3,123,659
11.7
67,912,467
21.74
11.1
             
             
2014
           
   Northern  NJ
124
1,833,420
6.9
41,416,529
22.59
6.8
   Central NJ
55
439,033
1.7
8,973,490
20.44
1.5
   Westchester Co., NY
92
529,518
2.0
11,114,436
20.99
1.8
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
66
383,820
1.4
6,741,303
17.56
1.1
   Fairfield, CT
9
31,681
0.1
720,943
22.76
0.1
   Washington, DC/MD
30
169,852
0.6
4,708,260
27.72
0.8
   Rockland Co., NY
7
22,571
0.1
568,455
25.19
0.1
TOTAL – 2014
383
3,409,895
12.8
74,243,416
21.77
12.2
             

Schedule continued, with footnotes, on subsequent page.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
62

 


Schedule of Lease Expirations

All Consolidated Properties (continued)

Year Of
Expiration
Number Of
Leases
Expiring (a)
 
 
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2015
314
3,379,425
12.7
72,995,049
21.60
11.9
             
2016
275
2,637,808
9.9
57,911,733
21.95
9.5
             
2017
269
3,656,580
13.8
86,468,007
23.65
14.2
             
2018
190
2,256,297
8.5
54,434,498
24.13
8.9
             
2019
98
1,358,387
5.1
28,425,186
20.93
4.7
             
2020
89
1,419,171
5.3
33,260,748
23.44
5.4
             
2021
74
1,179,182
4.4
30,189,530
25.60
4.9
             
2022
53
1,116,417
4.2
26,265,201
23.53
4.3
             
2023 and thereafter
73
2,551,310
9.6
66,597,837
26.10
10.9
Totals/
           
Weighted Average
2,311
26,598,120
(c) (e)
100.0
611,104,641
22.98
100.0

(a)  
Includes office, office/flex, industrial/warehouse and stand-alone retail property tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012 annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(c)  
Includes leases expiring September 30, 2012 aggregating 113,335 square feet and representing annualized rent of $2,659,320 for which no new leases were signed.
(d)  
Represents 0.05% or less.
(e)  
Reconciliation to Company’s total net rentable square footage is as follows:

 
Square Feet
Square footage leased to commercial tenants
26,598,120
Square footage used for corporate offices, management offices,
 
building use, retail tenants, food services, other ancillary
 
service tenants and occupancy adjustments
498,488
Square footage unleased
3,880,404
Total net rentable square footage (does not include land leases)
30,977,012



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
63

 

Schedule of Lease Expirations

Office Properties

The following table sets forth a schedule of lease expirations for the office properties beginning October 1, 2012, assuming that none of the tenants exercise renewal or termination options (with a breakdown by market for 2012 through 2014 only):

Year Of
Expiration/
Market
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2012 (c)
           
   Northern  NJ
32
366,138
1.7
9,531,972
26.03
1.6
   Central NJ
9
66,838
0.3
1,554,449
23.26
0.3
   Westchester Co., NY
4
7,469
(d)
208,031
27.85
(d)
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
5
14,542
0.1
358,130
24.63
0.1
   Fairfield Co., CT
-
-
-
-
-
-
   Washington, DC/MD
1
1,780
(d)
37,772
21.22
(d)
   Rockland Co., NY
1
203
(d)
5,400
26.60
(d)
TOTAL – 2012
52
456,970
2.1
11,695,754
25.59
2.0
             
2013
           
   Northern  NJ
100
805,809
3.6
21,086,295
26.17
3.9
   Central NJ
77
552,187
2.5
13,708,852
24.83
2.5
   Westchester Co., NY
60
425,019
2.0
9,369,784
22.05
1.7
   Manhattan
2
104,008
0.5
2,808,711
27.00
0.5
   Sub. Philadelphia
52
227,272
1.0
5,427,574
23.88
1.0
   Fairfield Co., CT
10
19,799
0.1
466,457
23.56
0.1
   Washington, DC/MD
25
119,447
0.6
2,917,863
24.43
0.5
   Rockland Co., NY
8
41,941
0.2
1,095,456
26.12
0.2
TOTAL – 2013
334
2,295,482
10.5
56,880,992
24.78
10.4
             
2014
           
   Northern  NJ
119
1,777,260
8.1
40,680,331
22.89
7.5
   Central NJ
52
416,441
1.9
8,655,844
20.79
1.6
   Westchester Co., NY
47
215,679
1.0
5,708,779
26.47
1.0
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
52
239,355
1.1
5,685,299
23.75
1.0
   Fairfield Co., CT
7
24,256
0.1
595,014
24.53
0.1
   Washington, DC/MD
30
169,852
0.8
4,708,260
27.72
0.9
   Rockland Co., NY
7
22,571
0.1
568,455
25.19
0.1
TOTAL – 2014
314
2,865,414
13.1
66,601,982
23.24
12.2
             
2015
258
2,862,342
13.1
66,818,702
23.34
12.2
             
2016
217
2,040,337
9.4
49,528,328
24.27
9.0
             
2017
210
3,126,807
14.3
79,950,594
25.57
14.6
             
2018
144
1,691,566
7.8
47,571,967
28.12
8.7
             
2019
73
866,594
4.0
21,964,588
25.35
4.0
             
2020
76
1,227,833
5.6
31,020,591
25.26
5.7
             
2021
58
1,035,987
4.8
27,864,997
26.90
5.1
             
2022
48
1,053,875
4.8
25,437,249
24.14
4.6
             
2023 and thereafter
59
2,286,354
10.5
62,747,465
27.44
11.5
Totals/Weighted
  Average
1,843
21,809,561 (c)
100.0
548,083,209
25.13
100.0

(a)  
Includes office tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012 annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(c)  
Includes leases expiring September 30, 2012 aggregating 94,735 square feet and representing annualized rent of $2,354,820 for which no new leases were signed.
(d)  
Represents 0.05% or less.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
64

 


Schedule of Lease Expirations

Office/Flex Properties

The following table sets forth a schedule of lease expirations for the office/flex properties beginning October 1, 2012, assuming that none of the tenants exercise renewal or termination options (with a breakdown by market for 2012 through 2014 only):
 

Year Of
Expiration/
Market
Number Of
Leases
Expiring (a)
 
 
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2012 (c)
           
   Northern  NJ
2
11,054
0.2
169,365
15.32
0.2
   Central NJ
-
-
-
-
-
-
   Westchester Co., NY
3
13,265
0.2
239,350
18.04
0.4
   Sub. Philadelphia
2
21,700
0.5
233,500
10.76
0.4
   Fairfield Co., CT
1
7,000
0.2
63,000
9.00
0.1
TOTAL – 2012
8
53,019
1.1
705,215
13.30
1.1
             
2013
           
   Northern  NJ
10
79,922
1.8
1,020,426
12.77
1.7
   Central NJ
9
72,251
1.6
912,320
12.63
1.6
   Westchester Co., NY
44
228,829
5.2
4,308,171
18.83
7.4
   Sub. Philadelphia
21
166,428
3.8
1,243,176
7.47
2.1
   Fairfield Co., CT
4
68,563
1.6
1,171,106
17.08
2.0
TOTAL – 2013
88
615,993
14.0
8,655,199
14.05
14.8
             
2014
           
   Northern  NJ
5
56,160
1.3
736,198
13.11
1.4
   Central NJ
3
22,592
0.5
317,646
14.06
0.5
   Westchester Co., NY
41
273,994
6.2
4,580,731
16.72
7.8
   Sub. Philadelphia
14
144,465
3.3
1,056,004
7.31
1.8
   Fairfield Co., CT
2
7,425
0.2
125,929
16.96
0.2
TOTAL – 2014
65
504,636
11.5
6,816,508
13.51
11.7
             
2015
55
489,083
11.1
5,826,347
11.91
10.0
             
2016
54
566,483
12.9
8,041,561
14.20
13.8
             
2017
59
529,773
12.1
6,517,413
12.30
11.1
             
2018
45
487,528
11.1
6,499,177
13.33
11.1
             
2019
25
491,793
11.2
6,460,598
13.14
11.1
             
2020
13
191,338
4.4
2,240,157
11.71
3.8
             
2021
16
143,195
3.3
2,324,533
16.23
4.0
             
2022
5
62,542
1.4
827,952
13.24
1.4
             
2023 and thereafter
13
256,956
5.9
3,578,372
13.93
6.1
Totals/Weighted
           
  Average
446
4,392,339
(c)
100.0
58,493,032
13.32
100.0

(a)  
Includes office/flex tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012, annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above. Includes office/flex tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(c)  
Includes leases expiring September 30, 2012 aggregating 18,600 square feet and representing annualized rent of $304,500 for which no new leases were signed.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
65

 


Schedule of Lease Expirations

Industrial/Warehouse Properties

The following table sets forth a schedule of lease expirations for the industrial/warehouse properties beginning October 1, 2012, assuming that none of the tenants exercise renewal or termination options.  All industrial/warehouse properties are located in the Westchester County, NY market:
 
Year Of
Expiration
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2013
11
212,184
56.0
2,376,276
11.20
58.2
             
2014
3
30,545
8.1
649,926
21.28
15.9
             
2015
1
28,000
7.4
350,000
12.50
8.6
             
2016
4
30,988
8.2
341,844
11.03
8.4
             
2018
1
77,203
20.3
363,354
4.71
8.9
Totals/Weighted
           
  Average
20
378,920
 
100.0
4,081,400
10.77
100.0

(a)  
Includes industrial/warehouse tenants only.  Excludes leases for amenity, retail, parking and month-to-month industrial/warehouse tenants.  Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012, annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, the historical results may differ from those set forth above.


Stand-Alone Retail Properties

The following table sets forth a schedule of lease expirations for the stand-alone retail properties beginning October 1, 2012, assuming that none of the tenants exercise renewal or termination options.  All stand-alone retail properties are located in the Westchester County, NY market:
 

Year Of
Expiration
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2014
1
9,300
53.8
175,000
18.82
39.2
             
2023 and thereafter
1
8,000
46.2
272,000
34.00
60.8
Totals/Weighted
           
  Average
2
17,300
100.0
447,000
25.84
100.0

(a)  
Includes stand-alone retail property tenants only.
(b)  
Annualized base rental revenue is based on actual September 2012 billings times 12.  For leases whose rent commences after October 1, 2012 annualized base rental revenue is based on the first full month’s billing times 12.  As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended September 30, 2012

 
 
66