PS BUSINESS PARKS, INC./MD - FORM 10-Q - EX-12

Exhibit 12

PS BUSINESS PARKS, INC.

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Unaudited, in thousands, except ratio data)



							For The Three Months
							Ended March 31,
							2017		2016
Net income							$	47,033	$	32,480
Interest expense								139		3,177
Earnings available to cover fixed charges							$	47,172	$	35,657
Fixed charges (1)							$	418	$	3,571
Preferred stock dividends								13,291		13,833
Combined fixed charges and preferred distributions							$	13,709	$	17,404
Ratio of earnings to fixed charges								112.9		10.0
Ratio of earnings to combined fixed charges and preferred distributions								3.4		2.0




	For the Years Ended December 31,
	2016		2015		2014		2013		2012
Income from continuing operations	$	144,984	$	148,970	$	204,700	$	116,144	$	94,395
Interest expense		5,568		13,270		13,509		16,074		20,618
Earnings from continuing operations available to
cover fixed charges	$	150,552	$	162,240	$	218,209	$	132,218	$	115,013
Fixed charges (1)	$	6,452	$	14,428	$	14,453	$	16,433	$	20,618
Preferred stock dividends		64,588		61,885		60,488		59,216		69,136
Preferred partnership distributions		—		—		—		—		323
Combined fixed charges and preferred distributions	$	71,040	$	76,313	$	74,941	$	75,649	$	90,077
Ratio of earnings from continuing operations to
fixed charges		23.3		11.2		15.1		8.0		5.6
Ratio of earnings from continuing operations to combined
fixed charges and preferred distributions		2.1		2.1		2.9		1.7		1.3

____________

(1)Fixed charges include interest expense and capitalized interest.

Exhibit 12

PS BUSINESS PARKS, INC.

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Unaudited, in thousands, except ratio data)

Supplemental Disclosure of Ratio of Funds from Operations (“FFO”) to Fixed Charges:



							For The Three Months
							Ended March 31,
							2017		2016
FFO							$	52,955	$	43,688
Interest expense								139		3,177
Preferred stock dividends								13,291		13,833
FFO available to cover fixed charges							$	66,385	$	60,698
Fixed charges (1)							$	418	$	3,571
Preferred stock dividends (2)								13,291		13,833
Combined fixed charges and preferred distributions paid							$	13,709	$	17,404
Ratio of available FFO to fixed charges								158.8		17.0
Ratio of available FFO to combined fixed charges and preferred distributions paid								4.8		3.5



	For the Years Ended December 31,
	2016		2015		2014		2013		2012
FFO	$	179,882	$	164,244	$	162,196	$	165,845	$	134,472
Interest expense		5,568		13,270		13,509		16,074		20,618
Net income allocable to noncontrolling interests —
preferred units		—		—		—		—		323
Preferred stock dividends		64,588		61,885		60,488		59,216		69,136
FFO available to cover fixed charges	$	250,038	$	239,399	$	236,193	$	241,135	$	224,549
Fixed charges (1)	$	6,452	$	14,428	$	14,453	$	16,433	$	20,618
Preferred stock dividends (2)		57,276		59,398		60,488		59,216		51,969
Preferred partnership distributions (2)		—		—		—		—		174
Combined fixed charges and preferred distributions paid	$	63,728	$	73,826	$	74,941	$	75,649	$	72,761
Ratio of available FFO to fixed charges		38.8		16.6		16.3		14.7		10.9
Ratio of available FFO to combined fixed charges and
preferred distributions paid		3.9		3.2		3.2		3.2		3.1

____________

(1)Fixed charges include interest expense and capitalized interest.

(2)Excludes the issuance costs related to the redemption of preferred equity.

PS BUSINESS PARKS, INC./MD - FORM 10-Q - EX-12 - April 28, 2017