Attached files
| file | filename |
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| 8-K - 8-K - COLUMBIA PROPERTY TRUST, INC. | cxp-20210429.htm |
| EX-99.1 - PRESS RELEASE - COLUMBIA PROPERTY TRUST, INC. | ex991earningsreleaseq12021.htm |
Supplemental Information 2021
Introduction Executive Summary 3 Company Profile & Investor Contacts 4 Capitalization Analysis & Research Coverage 5 2021 Guidance 6 Financial Information Consolidated Balance Sheet - GAAP 7 Elements of Pro-Rata Balance Sheet - CXP's Interest in Unconsolidated Joint Ventures 8 Consolidated Statements of Operations - GAAP 9 Elements of Pro-Rata Statement of Operations - CXP's Interest in Unconsolidated Joint Ventures 10 11 Net Operating Income 12 Management Fee Income 13 Capital Expenditure Summary 14 Debt Overview 15 Debt Covenant Compliance 16 Debt Maturities 17 Summary of Unconsolidated Joint Ventures 18 Operational & Portfolio Information Property Overview - Gross Real Estate Assets, Net Operating Income & Annualized Lease Revenue 19 Property Overview - Square Feet & Occupancy 20 Occupancy Summary 21 Leasing Summary 22 Lease Expiration Schedule 23 Lease Expiration by Market 24 Top 20 Tenants & Tenant Industry Profile 25 Transaction Activity (1/1/19 - 4/29/21) 26 - 27 Development Projects 28 Additional Information 29 Reconciliation of Cash Flows From Operations to Adjusted Funds From Operations (AFFO) 29 30 30 31 32 Definitions 33 Forward Looking Statements: Supplemental Information - Q1 2021 2 This supplemental package contains certain statements that may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “anticipate,” “estimate,” “believe,” “continue,” or other similar words. These forward-looking statements include information about possible or assumed future results of the business and our financial condition, liquidity, results of operations, future plans, and objectives. They also include, among other things, statements regarding subjects that are forward-looking by their nature, such as, our business and financial strategy; our guidance and underlying assumptions; expectations on timing of completion of announced acquisitions; expectations on occupancy rates and additional growth in same store net operating income; the impact of the COVID-19 pandemic on our results of operations; our ability to obtain future financing; future acquisitions and dispositions of operating assets; future repurchases of common stock; and market and industry trends. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date this supplemental package is published, and which are subject to certain risks and uncertainties which could cause actual results to differ materially from those projected or anticipated. These risks and uncertainties include, without limitation: risks affecting the real estate industry and the office sector, in particular (such as the inability to enter into new leases, dependence on tenants' financial condition, and competition from other owners of real estate); risks relating to lease terminations, lease defaults, or changes in the financial condition of our tenants, particularly by a significant tenant; risks relating to our ability to maintain and increase property occupancy rates and rental rates; adverse economic or real estate market developments in our target markets; the risks of pandemics or other public health emergencies, including the continued spread and impact of, and the governmental and third -party response to, the COVID-19 pandemic; the impact of social distancing, shelter-in-place, border closings, travel restrictions, remote work requirements and similar governmental and private measures taken to combat the spread of COVID-19; future developments involving our strategic alternatives review process and the receipt of an unsolicited, non-binding proposal to acquire us, as well as costs, expenses and disruption associated with such strategic alternatives review process, proposal and threatened proxy contest; risks relating to the use of debt to fund acquisitions; availability and terms of financing; the ability to refinance indebtedness as it comes due; sensitivity of our operations and financing arrangements to fluctuations in interest rates; reductions in asset valuations and related impairment charges; risks relating to construction, development, and redevelopment activities; risks associated with joint ventures, including disagreements with, or misconduct by, joint venture partners; risks relating to repositioning our portfolio; risks relating to reduced demand for, or over supply of, office space in our markets; risks relating to acquisition and disposition activities; the ability to successfully integrate our operations and employees in connection with the acquisition of Normandy Real Estate Management, LLC (“Normandy”); the ability to realize anticipated benefits and synergies of the acquisition of Normandy; risks associated with our ability to continue to qualify as a real estate investment trust (“REIT”); risks associated with possible cybersecurity attacks against us or any of our tenants; potential liability for uninsured losses and environmental contamination; potential adverse impact of market interest rates on the market price for our securities; and risks associated with our dependence on key personnel whose continued service is not guaranteed. We do not intend to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise. For additional risks and uncertainties that may cause actual results to differ from expectation, see our Annual Report on Form 10-K for the year ended December 31, 2020, and subsequently filed periodic reports. On the Cover: 315 Park Avenue South, New York. Columbia Property Trust, Inc. Table of Contents Normalized Funds From Operations (NFFO) & Adjusted Funds From Operations (AFFO) Reconciliation of Net Income to Normalized Funds From Operations (NFFO) Reconciliation of Net Income to Net Operating Income (based on cash rents), and Same Store Net Operating Income (based on cash rents) - wholly-owned properties Reconciliation of Net Income to Net Operating Income (based on GAAP rents), and Same Store Net Operating Income (based on GAAP rents) - wholly-owned properties Reconciliation of Net Operating Income (based on GAAP rents) to Net Operating Income (based on cash rents) Reconciliation of Funds From Operations (FFO) to Adjusted Funds From Operations (AFFO)
Columbia Property Trust, Inc. Q1 2021 Executive Summary Supplemental Information – Q1 2021 3 Financial Highlights & Guidance: • For the first quarter of 2021, net income was $0.4 million, or $0.00 per diluted share (page 9), Normalized FFO (NFFO)(1) was $40.7 million, or $0.35 per diluted share/unit (page 11), cash flows from operations were $19.2 million (page 29), Adjusted FFO (AFFO)(1) was $36.4 million (page 11), and same store net operating income(1) (based on cash rents) increased 4.8% (page 12). Transactional and Operational Highlights: • We have collected 97.6% (98.4% office tenants) of our first quarter rents, executed deferral agreements on another 0.2%, and are continuing to monitor the COVID-19 pandemic and its impact on our business, tenants, and industry as a whole. • As of March 31, 2021, our portfolio is 94.0% leased and 93.6% occupied (page 20). We leased 69,000 square feet during the quarter with positive GAAP and cash rent releasing spreads of 17.0% and 13.2%, respectively (page 22). This includes 47,000 square feet in the San Francisco market at double-digit positive cash rent releasing spreads. Capital Structure: • On April 8, 2021, we announced that our Board had commenced a thorough review of the Company's business, strategies, and positioning, including undertaking a comprehensive strategic alternatives review process that will include outreach to, and identification of, potential transaction counterparties. There is no deadline or definitive timetable set for completion of this review, and there is no assurance that this process will result in any transaction, including a sale of the Company, privatization, or entry into a business combination. During the first quarter, we have incurred $2.4 million in strategic review costs related to this process. • As of March 31, 2021, we had access to $526 million of additional borrowings under our Revolving Credit Facility (page 15), and cash on hand of $62.8 million (pages 7 and 8). • As of March 31, 2021, our net debt(2) to real estate asset ratio was 32.2% (page 15), with no mortgage debt on any of our consolidated properties. • We paid a quarterly dividend of $0.21 per share ($0.84 annualized) (page 5). (1) For definitions and reconciliations of these non-GAAP financial metrics to the most directly comparable financial measures calculated and presented in accordance with GAAP, see pages 29 - 33. (2) Net debt is calculated by reducing our debt balance for cash on hand.
E. Nelson Mills Chief Executive Officer, President and Director James A. Fleming Jeffrey K. Gronning Kevin A. Hoover Amy C. Tabb Paul H. Teti Executive Vice President Executive Vice President Executive Vice President Executive Vice President Executive Vice President Chief Financial Officer Chief Investment Officer Portfolio Management Business Development National Real Estate & Innovation Operations David T. Cheikin David S. Dowdney Travis W. Feehan Wendy W. Gill Patrick J. Keeley Senior Vice President Senior Vice President Senior Vice President Senior Vice President Senior Vice President New York West Coast Transactions Chief Accounting Officer Washington, D.C. Eric S. Rubin Stephen K. Smith Stephen P. Trapp Elka L. Wilson Senior Vice President Senior Vice President Senior Vice President Senior Vice President CREM & Northeast Property Management Construction Corporate Operations Real Estate Carmen M. Bowser John L. Dixon David B. Henry Murray J. McCabe E. Nelson Mills Independent Director Independent Director Independent Director Independent Director Chief Executive Officer President Constance B. Moore Michael S. Robb Thomas G. Wattles Francis ("Finn") X. Wentworth Independent Director Independent Director Independent Director Non-Executive Director Chair Shareholder Services Corporate Counsel T 855-347-0042 (toll free) King & Spalding LLP F 816-701-7629 1180 Peachtree Street E shareholders@columbia.reit Atlanta, GA 30309 T 404-572-4600 www.kslaw.com Supplemental Information - Q1 2021 4 Matt W. Stover Vice President - Finance & Investor Relations T 404-465-2227 E Matt.Stover@columbia.reit Board of Directors James A. Fleming Executive Vice President & Chief Financial Officer Investor Relations T 404-465-2126 E Jim.Fleming@columbia.reit Company Overview Executive and Senior Management Columbia Property Trust, Inc. Company Profile & Investor Contacts Columbia Property Trust (NYSE: CXP) creates value through owning, operating and developing Class-A office buildings in New York, San Francisco, Washington D.C., and Boston. The Columbia team is deeply experienced in transactions, asset management and repositioning, leasing, development, and property management. It employs these competencies to grow value across its high-quality, well-leased portfolio of 15 operating properties that contain 6.2 million rentable square feet, as well as four properties under development or redevelopment, and also has approximately 8.0 million square feet under management for private investors and third parties. Columbia has investment-grade ratings from both Moody’s and S&P Global Ratings. For more information, please visit www.columbia.reit. When evaluating the Company’s performance and capital resources, management considers the financial impact of investments held directly and through subsidiaries. This report includes financial and operating information of our wholly-owned investments, and of our proportional interests in investments owned through consolidated and unconsolidated subsidiaries as appropriate. We calculate Funds From Operations (“FFO”) based on amounts attributable to our common stockholders, which includes earnings from investments owned directly, and our proportional share of earnings from investments owned through consolidated and unconsolidated subsidiaries. We recognize that proportional financial data may not depict all of the legal and economic implications of our interests in partially owned subsidiaries.
Unaudited ($ & shares in thousands except for per-share data and percentages) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Common Stock Data Weighted-Average Shares Outstanding - Basic 114,115 113,926 113,925 113,903 114,471 Weighted-Average Shares/Units Outstanding - Diluted (1) 117,851 117,213 117,189 117,167 116,925 High Closing Price $17.78 $14.87 $13.42 $15.92 $22.47 Low Closing Price $13.49 $10.43 $10.54 $10.97 $8.00 Average Closing Price $14.78 $12.70 $11.93 $13.17 $18.76 Closing Price (as of period end) $17.10 $14.11 $10.91 $13.14 $12.50 Dividends / Share (annualized) $0.84 $0.84 $0.84 $0.84 $0.84 Dividend Yield (annualized) (2) 4.9% 6.0% 7.7% 6.4% 6.7% Shares/Units Outstanding (2) 118,114 117,717 117,729 117,728 117,677 Market Value of Shares/Units (2) $2,019,749 $1,660,987 $1,284,423 $1,546,946 $1,470,963 Total Market Capitalization (2) (3) $3,587,454 $3,212,213 $3,224,217 $3,483,593 $3,402,512 Common Stock Repurchases Shares Purchased - - - - 1,194 Weighted-Average Price Per Share - - - - $19.47 Total Value of Shares Purchased - - - - $23,252 Equity Research Coverage BMO Capital Markets Inc. Evercore ISI Goldman Sachs Morgan Stanley John P. Kim Sheila McGrath Rick Skidmore Vikram Malhotra 212-885-4115 212-497-0882 801-741-5459 212-761-7064 SunTrust Robinson Humphrey Michael R. Lewis 212-319-5659 Debt Research Coverage J.P. Morgan Securities Wells Fargo Mark Streeter Thierry Perrein 212-834-5086 704-410-3262 Rating Agencies Moody's Investor Services S&P Global Ratings Lori Marks Fernanda Hernandez 212-553-1098 212-438-1347 (3) Market value of shares/units plus gross debt as of quarter end. Supplemental Information - Q1 2021 5 Columbia Property Trust, Inc. Capitalization Analysis & Research Coverage Three Months Ended (2) Based on closing price and ending shares/units for the last trading day of quarter. (1) Amounts include OP units of 3.244 million, 3.264 million, 3.264 million, 3.264 million, and 3.264 million, respectively.
Unaudited Per share Low High Net income ($0.07) ($0.02) Real estate depreciation & amortization 1.15 1.17 Funds From Operations $1.08 $1.15 0.05 0.05 Strategic review costs 0.10 0.10 Normalized Funds From Operations $1.23 $1.30 2021 Portfolio Assumptions l Same Store NOI - Cash -3% to -5% l Leased percentage at year end: 90% - 95% l G&A expense - corporate (2) l Weighted-average fully-diluted shares outstanding (3): 118M Supplemental Information - Q1 2021 6 (3) Fully-diluted WASO includes 3.244 million of time-based preferred OP units. (1) Related primarily to Normandy acquisition that was completed on January 24, 2020. NOTE: These estimates reflect management's view of current market conditions and incorporate certain economic and operational assumptions and projections, including assumed impacts on our business from the COVID-19 pandemic. This annual guidance includes the continued repositioning of the portfolio based on the above assumptions. Actual results could differ from these estimates. In particular, the extent to which the COVID-19 pandemic ultimately impacts the Company’s business is uncertain and depends on numerous evolving factors which are difficult to predict, including the duration and scope of the pandemic and of actions taken in response to it and the availability and effectiveness of vaccines or other treatments. Actual results could be materially impacted by the COVID-19 pandemic in ways that the Company’s management could not foresee or predict at this time. Individual quarters may also fluctuate on both a cash basis and a GAAP basis due to the timing of dispositions, lease commencements and expirations, the timing of repairs and maintenance, capital expenditures, capital markets activities and one-time revenue or expense events. In addition, the Company's guidance is based on information available to management as of the date of this release. See "Forward Looking Statements" on page 2 for more information on risks and uncertainties that the Company faces. Columbia Property Trust, Inc. 2021 Guidance Twelve Months Ending 12/31/2021 $33M - $35M Investor Conference Call and Webcast: The Company will host a conference call and live audio webcast, both open for the general public to hear, on Thursday, April 29, 2021, at 5:00 p.m. ET to discuss financial results and business highlights. The number to call for this interactive teleconference is (825) 312-2053 and entering the conference ID, 7877257. A webcast of the call will also be available at the company's website, www.columbia.reit. Non-cash compensation expense - OP units (1) (2) Excludes strategic review costs.
Columbia Property Trust, Inc. Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Assets: Real estate assets, at cost: Land (1) 809,843$ 809,843$ 809,843$ 870,352$ 870,352$ Buildings and improvements (1) 1,843,239 1,841,447 1,826,234 2,015,194 2,007,788 Buildings and improvements, accumulated depreciation (318,017) (303,764) (288,522) (315,457) (298,089) Intangible lease asset 101,633 104,022 107,882 112,755 118,076 Intangible lease asset, accumulated amortization (57,970) (57,947) (58,005) (58,853) (60,794) Construction in progress (2) 99,729 83,943 79,628 70,019 65,592 Real estate assets held for sale - - 254,549 - - Real estate assets held for sale, accumulated depreciation - - (46,071) - - Total real estate assets 2,478,457$ 2,477,544$ 2,685,538$ 2,694,010$ 2,702,925$ Operating lease assets 38,737 39,165 39,529 29,897 30,090 Investment in unconsolidated joint ventures (page 8) 1,295,419 1,295,800 1,084,987 1,088,126 1,087,694 Cash and cash equivalents 27,093 61,882 272,790 277,677 292,814 Tenant receivables, net of allowance for doubtful accounts 3,320 2,540 2,403 4,230 4,322 Straight line rent receivable 75,744 74,051 78,374 83,239 80,935 Prepaid expenses and other assets 39,718 42,285 33,105 39,243 29,133 Intangible lease origination costs 55,814 56,612 57,714 58,585 60,338 Intangible lease origination costs, accumulated amortization (35,662) (35,161) (34,376) (33,679) (33,952) Deferred lease costs 90,489 90,469 89,300 99,391 100,848 Deferred lease costs, accumulated amortization (19,737) (18,669) (17,701) (18,836) (17,962) Other assets held for sale - - 18,544 - - Other assets held for sale, accumulated amortization - - (2,957) - - Goodwill - - 63,806 63,806 63,806 Total assets 4,049,392$ 4,086,518$ 4,371,056$ 4,385,689$ 4,400,991$ Liabilities: Line of credit and notes payable 574,000$ 560,000$ 951,000$ 951,000$ 951,000$ Bonds payable 700,000 700,000 700,000 700,000 700,000 Discount and fees on notes and bonds payable (5,015) (5,367) (5,713) (6,065) (6,411) Operating lease liabilities 1,801 2,185 2,487 2,783 2,887 82,333 91,493 92,149 93,122 90,291 Distributions payable - 24,038 - - - Deferred income 16,315 16,155 14,075 17,658 18,593 Intangible lease liabilities 21,281 23,287 27,733 32,266 36,287 Intangible lease liabilities, accumulated amortization (7,582) (8,867) (11,038) (13,577) (16,043) Liabilities held for sale - - 4,790 - - Liabilities held for sale, accumulated amortization - - (718) - - Total liabilities 1,383,133$ 1,402,924$ 1,774,765$ 1,777,187$ 1,776,604$ Equity: Common stock 1,149$ 1,145$ 1,145$ 1,145$ 1,144$ Additional paid in capital 4,377,157 4,376,116 4,373,425 4,371,233 4,369,155 Cumulative distributions in excess of earnings (1,773,457) (1,749,811) (1,824,741) (1,806,071) (1,787,119) Other comprehensive loss (13,704) (18,201) (20,341) (21,985) (20,509) Total Columbia Property Trust, Inc. stockholders' equity 2,591,145$ 2,609,249$ 2,529,488$ 2,544,322$ 2,562,671$ Noncontrolling interest in Columbia Operating Partnership 70,307 69,414 61,761 59,020 56,465 Noncontrolling interest in consolidated joint venture 4,807 4,931 5,042 5,160 5,251 Total equity 2,666,259$ 2,683,594$ 2,596,291$ 2,608,502$ 2,624,387$ Total liabilities and equity 4,049,392$ 4,086,518$ 4,371,056$ 4,385,689$ 4,400,991$ Supplemental Information - Q1 2021 7 Consolidated Balance Sheet - GAAP As of Period End Accounts payable, accrued expenses, and accrued capital expenditures (1) As of March 31, 2021, the following amounts relate to the redevelopment of 149 Madison and 101 Franklin, respectively: $59.1 million and $57.1 million in land; $29.0 million and $149.4 million in buildings and improvements. (2) As of March 31, 2020, the following amounts relate to the redevelopment of 149 Madison, 101 Franklin and 80 M Street, respectively: $33.4 million, $15.3 million, and $29.7 million in construction in progress.
Columbia Property Trust, Inc. Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Assets: Real estate assets, at cost: Land (2) 344,389$ 344,389$ 311,109$ 311,109$ 311,109$ Buildings and improvements (2) 930,522 928,260 847,198 846,481 845,971 Buildings and improvements, accumulated depreciation (117,376) (109,620) (101,972) (95,620) (88,857) Intangible lease asset 42,628 42,726 42,717 43,402 44,125 Intangible lease asset, accumulated amortization (19,722) (18,584) (17,368) (16,607) (15,879) Construction in progress (2) 73,380 67,615 57,769 50,937 44,622 Total real estate assets 1,253,821$ 1,254,786$ 1,139,453$ 1,139,702$ 1,141,091$ Operating lease assets 55,766 56,538 57,340 58,142 58,944 Cash and cash equivalents 35,695 32,178 29,523 27,158 23,526 Tenant receivables, net of allowance for doubtful accounts 727 1,266 806 1,820 1,727 Straight line rent receivable 29,432 29,867 24,000 23,337 23,098 Prepaid expenses and other assets 5,595 5,021 5,962 7,764 6,588 Intangible lease origination costs 30,357 30,388 30,485 30,699 30,916 Intangible lease origination costs, accumulated amortization (13,975) (13,168) (12,331) (11,630) (10,939) Deferred lease costs 28,162 27,996 25,042 25,113 24,050 Deferred lease costs, accumulated amortization (10,496) (9,767) (9,002) (8,473) (7,738) Total assets 1,415,084$ 1,415,105$ 1,291,278$ 1,293,632$ 1,291,263$ Liabilities: Line of credit and notes payable 293,705$ 291,226$ 288,794$ 285,646$ 280,549$ Fees on notes payable (590) (805) (1,120) (1,634) (2,143) Operating lease liabilities 169,633 169,006 168,408 167,810 167,213 14,891 16,778 13,310 16,391 17,999 Deferred income 7,134 8,572 5,451 6,026 5,653 Intangible lease liabilities 35,788 35,845 36,545 38,156 39,824 Intangible lease liabilities, accumulated amortization (18,191) (17,193) (15,961) (15,901) (15,929) Total liabilities 502,370$ 503,429$ 495,427$ 496,494$ 493,166$ Total equity 912,714$ 911,676$ 795,851$ 797,138$ 798,097$ Basis differences, net of $11,243 of accumulated amortization (3) 382,133 383,535 288,098 290,562 288,919 572 589 1,038 426 678 Investment in unconsolidated joint ventures (page 7) 1,295,419$ 1,295,800$ 1,084,987$ 1,088,126$ 1,087,694$ -$ Supplemental Information - Q1 2021 8 (3) Reflects differences between historical costs recorded at the joint venture level and CXP's investment in the joint ventures. Basis differences result from differences in the timing of acquisition of interests in the joint venture, and formation costs incurred by CXP, and are amortized to income (loss) from unconsolidated joint ventures over the life of the related asset or liability. Elements of Pro-Rata Balance Sheet - CXP's Interest in Unconsolidated Joint Ventures (1) As of Period End Accounts payable, accrued expenses, and accrued capital expenditures (1) Reflects CXP's ownership share of assets and liabilities for properties held in unconsolidated joint ventures (see page 18). (2) As of March 31, 2020, the following amounts relate to the development of 799 Broadway and Terminal Warehouse, respectively: $72.6 million and $13.3 million in land, $0 million and $62.2 million in buildings and improvements, and $54.3 million and $15.1 million in construction in progress. Investment in unconsolidated Real Estate Services Joint Ventures
Unaudited (in thousands, except per-share amounts) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Revenues: Lease revenues (1) 54,309$ 52,730$ 72,452$ 68,924$ 68,007$ 10,079 10,127 9,632 10,447 8,240 Other property income (1) - - - - 7 Total revenues 64,388$ 62,857$ 82,084$ 79,371$ 76,254$ Operating expenses: Property operating costs 20,828 21,541 22,021 21,220 22,697 Depreciation 16,531 15,367 17,378 17,379 18,330 Amortization 4,844 6,868 9,584 7,405 6,721 Impairment loss on goodwill (2) - 63,806 - - - General and administrative 7,945 6,405 8,325 7,964 9,424 Strategic review costs 2,356 - - - - Non-cash compensation expense - OP units 1,831 3,190 3,190 3,155 2,358 Management fee expense 9,269 7,522 7,785 9,231 6,945 Acquisition and restructuring costs - 6,174 391 358 12,081 Total operating expenses 63,604$ 130,873$ 68,674$ 66,712$ 78,556$ Other income (expense): Interest expense (7,536) (8,363) (9,483) (9,522) (9,555) Interest and other income (239) (81) (123) (154) (158) Income tax expense 329 760 (383) 185 2,243 Income from unconsolidated joint ventures (p. 10) 7,107 2,098 2,002 1,890 2,656 Gain on sale of real estate assets - 175,272 - 17 13,344 Total other income (expense) (339)$ 169,686$ (7,987)$ (7,584)$ 8,530$ Net income (loss) 445$ 101,670$ 5,423$ 5,075$ 6,228$ (97) (2,838) (191) (126) (71) 129 136 135 136 133 477$ 98,968$ 5,367$ 5,085$ 6,290$ 114,115 113,926 113,925 113,903 114,471 0.00$ 0.87$ 0.05$ 0.04$ 0.05$ 117,851 117,213 113,925 113,903 114,486 0.00$ 0.87$ 0.05$ 0.04$ 0.05$ Supplemental Information - Q1 2021 9 Columbia Property Trust, Inc. Consolidated Statements of Operations - GAAP Three Months Ended Management fee revenues Less: Net income attributable to non-controlling interest in the Operating Partnership Less: Net loss attributable to non-controlling interest in consolidated joint venture Net income (loss) attributable to CXP stockholders (1) Lease revenues include base rent, tenant reimbursements, and lease termination income ($6.4 million - Q3 '20, $6.8 million - Q2 '20). Weighted-average common shares outstanding - basic Net income (loss) per share - basic Weighted-average common shares outstanding - diluted (3) Net income (loss) per share - diluted (2) Reflects the write-off of the goodwill recorded in connection with the Normandy acquisition in January due to the near-term effects of COVID-19. (3) Beginning in Q4 ’20, time-based preferred OP units are included in the calculation of fully diluted WASO (3.244 million - Q1 '21, 3.264 million - Q4 '20).
Unaudited (in thousands, except per-share amounts) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Revenues: Lease revenues (2) 32,763$ 33,384$ 29,070$ 29,412$ 29,273$ Total revenues 32,763$ 33,384$ 29,070$ 29,412$ 29,273$ Operating expenses: Property operating costs 9,025 14,107 12,133 11,763 11,588 Asset management fee expense 614 625 509 507 510 Depreciation 10,153 10,283 8,680 9,188 8,741 Amortization 4,584 5,012 4,115 4,296 4,056 General and administrative 139 103 95 62 200 Total operating expenses 24,515$ 30,130$ 25,532$ 25,816$ 25,095$ Other income (expense): Interest expense (1,709) (1,705) (2,334) (2,224) (1,914) (Gain) loss on interest rate cap - - (9) (4) 13 Interest and other income 7 7 1 14 44 Total other income (expense) (1,702)$ (1,698)$ (2,342)$ (2,214)$ (1,857)$ 6,546$ 1,556$ 1,196$ 1,382$ 2,321$ Income tax benefit (expense) (4) (3) (3) (6) (7) 565 545 809 514 342 7,107$ 2,098$ 2,002$ 1,890$ 2,656$ Supplemental Information - Q1 2021 10 (1) Reflects CXP's ownership share of revenues, expenses and amortization of basis differences (see page 8, footnote 3) for properties held in unconsolidated joint ventures (see page 18). Columbia Property Trust, Inc. Elements of Pro-Rata Statement of Operations - CXP's Interest in Unconsolidated Joint Ventures (1) Three Months Ended Income before income tax expense Income from unconsolidated joint ventures (p. 9) (2) Lease revenues include base rent and tenant reimbursements. Income from unconsolidated Real Estate Services Joint Ventures (3) (3) See Management Fee Income schedule on page 13.
Unaudited (in thousands, except per-share amounts) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net Operating Income (based on GAAP rents) 57,214$ 50,462$ 67,366$ 65,356$ 63,009$ Management fee revenues 10,079 10,127 9,632 10,447 8,240 Income from unconsolidated Real Estate Services Joint Ventures (1) 565 545 809 514 342 General and administrative (7,945) (6,405) (8,325) (7,964) (9,424) (9,269) (7,522) (7,785) (9,231) (6,945) Interest expense (net) (7,774) (8,444) (9,607) (9,676) (9,713) Income tax expense 329 760 (383) 185 2,243 (2,455) (2,425) (2,936) (2,782) (2,589) Normalized FFO 40,744$ 37,098$ 48,771$ 46,849$ 45,163$ Normalized FFO per share/unit (Basic) 0.35$ 0.32$ 0.42$ 0.40$ 0.39$ Normalized FFO per share/unit (Diluted) 0.35$ 0.32$ 0.42$ 0.40$ 0.39$ Net Operating Income (based on cash rents) 54,698$ 50,244$ 58,164$ 59,582$ 56,351$ Management fee revenues 10,079 10,127 9,632 10,447 8,240 Income from unconsolidated Real Estate Services Joint Ventures (1) 565 545 809 514 342 General and administrative (7,945) (6,405) (8,325) (7,964) (9,424) Strategic review costs (2,356) - - - - Management fee expense (9,269) (7,522) (7,785) (9,231) (6,945) Non-cash operating lease expense in G&A (50) (33) (30) (30) (30) Non-cash compensation expense - stock (2) 2,314 2,282 2,197 2,081 1,989 Interest expense - cash (net) (6,892) (7,680) (8,771) (8,806) (8,910) Income tax expense 329 760 (383) 185 2,243 Market value adjustment to investment in Real Estate Funds (239) (121) (192) (227) (160) (2,849) (2,818) (3,181) (3,036) (2,917) Maintenance capital (3) (4) (1,984) (5,824) (3,194) (2,138) (8,192) AFFO 36,401$ 33,555$ 38,941$ 41,377$ 32,587$ 117,359 117,190 117,189 117,167 116,910 117,851 117,213 117,189 117,167 116,925 Supplemental Information - Q1 2021 11 (4) Includes CXP's ownership share of capital expenditures for properties held in joint ventures. (3) See page 33 of this supplemental report for a description of Maintenance Capital and page 14 for a detail of all capital expenditures. (2) This item represents the noncash impact of compensation expense related to stock grants under our 2013 Long-Term Incentive Plan within general and administrative expense. Weighted-average common shares/units outstanding - Diluted Note - For definitions and reconciliations of these non-GAAP financial metrics, see pages 29 - 33. (1) Reflects CXP's pro rata share of Management Fee Revenues earned by unconsolidated Real Estate Services JVs, which are recorded in Equity in Earnings of Unconsolidated JVs. Columbia Property Trust, Inc. Normalized Funds From Operations (NFFO) & Adjusted Funds From Operations (AFFO) Three Months Ended Weighted-average common shares/units outstanding - Basic Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in income (loss) from unconsolidated joint ventures Management fee expense
Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net Operating Income (based on GAAP rents) Same Store (wholly-owned properties) Revenues: Lease Revenues (1) 54,309$ 52,114$ 58,218$ 61,149$ 57,487$ Other Property Income - - - - 7 Total Revenues 54,309$ 52,114$ 58,218$ 61,149$ 57,494$ Total Operating Expenses (20,794) (21,328) (19,559) (18,620) (19,151) 33,515$ 30,786$ 38,659$ 42,529$ 38,343$ 23,774$ 18,761$ 19,297$ 20,013$ 20,607$ Same Store NOI (based on GAAP rents) 57,289$ 49,547$ 57,956$ 62,542$ 58,950$ Net Operating Income from: Acquisitions / Development (4), (5) (76) 726 7,003 540 51 Dispositions (6) 1 189 2,407 2,274 4,008 Net Operating Income (based on GAAP rents) 57,214$ 50,462$ 67,366$ 65,356$ 63,009$ Net Operating Income (based on cash rents) Same Store (wholly-owned properties) Revenues: Lease Revenues (1) 52,105$ 53,507$ 52,065$ 57,376$ 52,783$ Other Property Income - - - - 7 Total Revenues 52,105$ 53,507$ 52,065$ 57,376$ 52,790$ Total Operating Expenses (20,699) (21,233) (19,454) (18,498) (19,032) 31,406$ 32,274$ 32,611$ 38,878$ 33,758$ 23,436$ 18,022$ 17,136$ 18,468$ 18,552$ Same Store NOI (based on cash rents) 54,842$ 50,296$ 49,747$ 57,346$ 52,310$ Same Store NOI - % Change (same quarter prior year) 4.8% Net Operating Income from: Acquisitions / Development (4), (5) (145) (234) 6,333 (74) (71) Dispositions (6) 1 182 2,084 2,310 4,112 Net Operating Income (based on cash rents) 54,698$ 50,244$ 58,164$ 59,582$ 56,351$ Supplemental Information - Q1 2021 12 (4) No properties have been acquired since January 1, 2020. Same Store Net Operating Income (based on cash rents) CXP Ownership of Properties in Unconsolidated Joint Ventures (3) Same Store Net Operating Income (based on cash rents) wholly-owned properties (2) (6) Reflects activity for the following properties sold since January 1, 2020, for all periods presented: 221 Main Street (45% share), Pasadena Corporate Park, and Cranberry Woods Drive. Note - For definitions and reconciliations of these non-GAAP financial metrics, see pages 29 - 33. (3) Reflects CXP's ownership share of NOI for properties held in unconsolidated joint ventures (see page 18). (2) Reflects NOI from properties that were wholly-owned for the entirety of the periods presented. (1) Lease revenues include base rent and tenant reimbursements; and lease termination income. (5) Reflects activity for the following development projects, for all periods presented: 149 Madison Avenue, 799 Broadway (49.7%), 101 Franklin (92.5%), and Terminal Warehouse (8.65%). Same Store Net Operating Income (based on GAAP rents) wholly-owned properties (2) Same Store Net Operating Income (based on GAAP rents) CXP Ownership of Properties in Unconsolidated Joint Ventures (3) Columbia Property Trust, Inc. Net Operating Income Three Months Ended
Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Fee Revenue: 6,063$ 6,663$ 6,074$ 6,098$ 5,103$ 565 545 809 514 342 4,016 3,464 3,558 4,349 3,137 Subtotal 10,644$ 10,672$ 10,441$ 10,961$ 8,582$ Fee Expenses: 5,253$ 4,058$ 4,227$ 4,882$ 3,808$ 4,016 3,464 3,558 4,349 3,137 Subtotal 9,269$ 7,522$ 7,785$ 9,231$ 6,945$ Management Fee Income 1,375$ 3,150$ 2,656$ 1,730$ 1,637$ Supplemental Information - Q1 2021 13 Management fees - consolidated (1) Management fees - unconsolidated (2) (2) Reflects CXP’s pro rata share of net management fee income earned through its interest in unconsolidated Real Estate Services Joint Ventures. (3) Reflects reimbursements of salaries and insurance costs from third-party properties and properties owned by unconsolidated joint ventures. Columbia Property Trust, Inc. Management Fee Income (1) Amounts include fees paid by unconsolidated joint ventures (at CXP's share) of $1.5 million (Q1 '21), $1.5 million (Q4 '20), $1.0 million (Q3 '20), $1.3 million (Q2 '20), and $1.1 million (Q1 '20). Reimbursements - consolidated (3) Management expenses Reimbursed salaries and admin costs Three Months Ended
Unaudited ($ in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Maintenance Building Capital 1,187$ 3,410$ 1,618$ 1,004$ 1,776$ Tenant Improvements 147 502 1,299 669 2,602 Leasing Commissions 535 848 171 332 2,269 Other Leasing Costs (2) 115 1,064 106 133 1,545 Total - Maintenance 1,984$ 5,824$ 3,194$ 2,138$ 8,192$ Investment Building Capital 3,765$ 2,055$ 5,990$ 1,382$ 3,713$ Tenant Improvements 621 5,465 (75) (150) 3,031 Leasing Commissions 1 428 - 642 157 Other Leasing Costs (2) - - - 335 (147) Development Projects (see page 28) 149 Madison Avenue (3) 2,763 2,782 (4,212) (4) 5,110 4,498 799 Broadway (5) 4,587 4,785 5,136 4,971 9,030 101 Franklin (6) 2,768 2,074 1,996 2,452 3,087 80 M Street (7) 9,992 5,767 6,301 2,356 6,428 Terminal Warehouse (8) 1,989 2,822 2,046 1,126 197 Total - Investment 26,486$ 26,178$ 17,182$ 18,224$ 29,994$ Maintenance & Investment Building Capital 4,952$ 5,465$ 7,608$ 2,386$ 5,489$ Tenant Improvements 768 5,967 1,224 519 5,633 Leasing Commissions 536 1,276 171 974 2,426 Other Leasing Costs (2) 115 1,064 106 468 1,398 Development Projects 22,099 18,230 11,267 16,015 23,240 Total - Maintenance & Investment 28,470$ 32,002$ 20,376$ 20,362$ 38,186$ Supplemental Information - Q1 2021 14 NOTE: See page 33 of this supplemental report for a description of Maintenance and Investment Capital. Columbia Property Trust, Inc. Capital Expenditure Summary (1) Capital Expenditures Three Months Ended (1) Includes CXP's ownership share of capital expenditures for properties held in joint ventures. (3) Amounts include capitalized interest of $0.9 million, $0.9 million, $0.8 million, $0.8 million, and $0.9 million, respectively. (5) Amounts include capitalized interest of $1.2 million, $1.2 million, $1.1 million, $1.1 million and $1.1 million, respectively. (2) Tenant allowances that cover soft costs are accrued as Other Leasing Costs at lease execution. If used to fund hard costs, they are reclassified to Tenant Improvements as incurred. (6) Amounts include capitalized interest of $1.7 million, $1.6 million, $1.4 million, $1.4 million, and $1.7 million, respectively. (7) Amounts include capitalized interest of $111,000, $71,000, $45,000, $34,000, and $17,000, respectively. (8) Amounts include capitalized interest of $0.8 million, $0.8 million, $0.3 million, $0.4 million, and $0, respectively. (4) Includes $6.5 million WeWork capital obligation relieved by lease termination.
Unaudited ($ in thousands) (at 3/31/2021) Debt Instrument - Secured Maturity Rate Rate Type Balance % of Total Debt Mortgage Debt - Unconsolidated JV Terminal Warehouse May-21 LIBOR + 340 bps Floating 55,837$ (1) 3.6% 799 Broadway - Construction Loan October-21 LIBOR + 425 bps Floating 72,118 (2) 4.6% Market Square July-23 5.07% Fixed 165,750 (3) 10.6% Weighted Average / Secured - Mortgage Notes 1.4 Years 5.23% 293,705$ 18.8% Debt Instrument - Unsecured Maturity Rate Rate Type Balance % of Total Debt Bank Facilities $150 Million Term Loan July-22 3.07% Fixed (4) 150,000$ 9.6% $650 Million Revolving Credit Facility January-23 LIBOR + 90 bps Floating (5) 124,000 7.9% $300 Million Term Loan January-24 2.55% Fixed (6) 300,000 19.1% Weighted Average / Bank Facilities 2.2 Years 2.35% 574,000$ 36.6% Bonds $350 Million @ 4.150% April-25 4.15% Fixed 350,000$ 22.3% $350 Million @ 3.650% August-26 3.65% Fixed 350,000 22.3% Weighted Average / Bonds 4.7 Years 3.90% 700,000$ 44.6% Weighted Average / Unsecured 3.6 Years 3.20% 1,274,000$ 81.2% Weighted Average / Total Debt 3.2 Years 3.58% (7) 1,567,705$ 100.0% Debt - consolidated 1,274,000$ Debt - unconsolidated 293,705 Total Debt 1,567,705$ Weighted Ave Maturity Weighted Ave Rate - Qtr Balance % of Total Debt 3.6 Years 3.64% 1,315,750$ 83.9% 1.1 Years 3.25% 251,955 16.1% Total 3.2 Years 3.58% (7) 1,567,705$ 100.0% 7.5x 32.2% (3) Reflects 51% of the mortgage balance of the Market Square Joint Venture. (8) Net debt is calculated by reducing our debt balance for cash on hand. Supplemental Information - Q1 2021 15 (7) During first quarter of 2021, CXP's share of interest expense and capitalized interest were $9.2 million and $4.4 million, respectively. Debt Ratios Fixed and Floating Rate Debt Analysis Fixed Rate Debt Floating Rate Debt (5) The Revolving Credit Facility ($650MM) bears interest at a rate based on, at the option of Columbia Property Trust, LIBOR for seven days, one-, two-, three-, or six- month periods, plus an applicable margin ranging from 0.775% to 1.45% based on credit rating, or the alternate base rate which is the greater of (a) Prime Rate, (b) Fed Funds plus 1/2 of 1%, and (c) the Libor Rate for a one-month period plus 1%, plus an applicable margin ranging from 0.00% to 0.45% based on credit rating. This facility carries two six-month extension options. (1) Reflects 8.65% of the Terminal Warehouse Joint Venture loan balance. The interest-only loan has a total capacity of $650 million and carries two extension options for a total possible extension period of eight months, to January 24, 2022. The loan is subject to an interest rate agreement with a LIBOR floor of 2.28% and a cap of 3.50%. Net Debt (Average) to Adjusted EBITDAre - Q1 2021 (8) Net Debt to Gross Real Estate Assets - 3/31/21 (8) (2) Reflects 49.7% of the 799 Broadway Joint Venture construction loan balance. The loan has a total capacity of $187 million, carries two, one-year extension options, and is subject to an interest rate agreement with a LIBOR floor of 1.00% and a cap of 4.00%. (4) Columbia Property Trust is party to an interest rate swap agreement, which effectively fixes its interest rate on the $150 Million Term Loan at 3.07% per annum and terminates on July 29, 2022. The spread of 1.10% over the swapped rate is based on the company's credit rating. This interest rate swap agreement qualifies for hedge accounting treatment; therefore, changes in fair value are recorded as a market value adjustment to interest rate swap in the accompanying consolidated statement of other comprehensive income. (6) Effective August 13, 2019, Columbia Property Trust is party to an interest rate swap agreement, which effectively fixes its interest rate on the $300 Million Term Loan at 2.55% per annum and terminates on August 13, 2024. The spread of 1.00% over the swapped rate is based on the company's credit rating. This interest rate swap agreement qualifies for hedge accounting treatment; therefore, changes in fair value are recorded as a market value adjustment to interest rate swap in the accompanying consolidated statement of other comprehensive income. Columbia Property Trust, Inc. Debt Overview
Unaudited (at 3/31/2021) Bond Covenant Compliance Metric Actual (3/31/21) Debt to Total Asset Value Ratio Max 60% 29.2% Interest Coverage Ratio Min 1.50x 3.14x Secured Debt to Total Asset Value Ratio Max 40% 0.0% Maintenance of Total Unencumbered Assets Min 150% 240.9% Term Loan / Revolving Credit Facility Covenant Compliance Metric Actual (3/31/21) Debt to Total Asset Value Ratio Max 60% 39.3% Fixed Charge Coverage Ratio Min 1.50x 3.50x Secured Debt to Total Asset Value Ratio Max 40% 7.3% Unsecured Debt to Unencumbered Asset Value Ratio Max 60% 47.6% Unencumbered Interest Coverage Ratio Min 1.75x 3.64x Supplemental Information - Q1 2021 16 Columbia Property Trust, Inc. Debt Covenant Compliance
Unaudited ($ in thousands) (at 3/31/2021) Secured Unsecured Unsecured % of Interest % of Gross Mortgage Debt Bank Facilities Bonds Total Debt Total Debt Rate (1) Real Estate Assets 127,955$ - - 127,955 8.2% 5.44% 2.7% - 150,000 - 150,000 9.6% 3.07% 3.2% 165,750 124,000 - 289,750 18.5% 3.33% 6.2% - 300,000 - 300,000 19.1% 2.55% 6.4% - - 350,000 350,000 22.3% 4.15% 7.5% - - 350,000 350,000 22.3% 3.65% 7.5% 293,705$ 574,000$ 700,000$ 1,567,705$ 100.0% 3.58% 33.5% 18.8% 36.6% 44.6% Supplemental Information - Q1 2021 17 2022 2023 (1) Weighted average. Includes effective rates on variable rate loans swapped to fixed. Columbia Property Trust, Inc. Debt Maturities Maturity 2025 2026 Total % of Total Debt 2021 2024 $128 $166 $150 $300 $124 $350 $350 $0 $100 $200 $300 $400 $500 2021 2022 2023 2024 2025 2026 Maturity Schedule ($M) Mortgage Debt - JV Term Loans Line of Credit Bonds 4.15% 3.07% 3.65% 3.33% 5.44% 2.55%
Unaudited ($ in thousands) (at 3/31/2021) CXP Ownership Market Square 51% 133,726$ (1) 333 Market Street 55% 264,483 University Circle 55% 275,867 114 5th Avenue 49.5% 75,367 1800 M Street 55% 225,888 221 Main Street 55% (2) 217,057 799 Broadway 49.7% (3) 55,888 (4) Terminal Warehouse 8.65% (3) 46,571 (5) Real Estate Services Joint Ventures Various 572 Investment in Unconsolidated Joint Ventures (page 8) 1,295,419$ (6) Supplemental Information - Q1 2021 18 (6) Includes basis differences (see footnote 3 page 8). (4) 799 Broadway Joint Venture holds a construction loan with a balance of $145.1 million. CXP's ownership share is $72.1 million (see page 15). Columbia Property Trust, Inc. Summary of Unconsolidated Joint Ventures Investment in Unconsolidated Joint Venture (1) Market Square Joint Venture holds a $325 million mortgage note. CXP's ownership share is $165.8 million (see page 15). Property (5) Terminal Warehouse Joint Venture holds a $645.5 million mortgage note. CXP's ownership share is $55.8 million (see page 15). (3) CXP owns the following additional interests in properties owned by unconsolidated joint ventures through its interest in Normandy Real Estate Fund IV, L.P.: 799 Broadway (0.64%) and Terminal Warehouse (0.06%). (2) A 45% ownership interest was sold within the Allianz joint venture on October 8, 2020 (see page 27).
Columbia Property Trust, Inc. Property Overview - Gross Real Estate Assets, Net Operating Income & Annualized Lease Revenue Unaudited ($ in thousands) (at 3/31/2021) CXP Ownership Secured Market Share Debt? 229 West 43rd Street New York, NY 100% 514,048$ 36,038$ 5,872$ 6,071$ 315 Park Avenue South New York, NY 100% 407,997 29,866 3,922 4,204 249 West 17th Street New York, NY 100% 348,970 26,386 5,637 4,958 95 Columbus Jersey City, NJ 100% 211,796 24,829 4,178 3,870 218 West 18th Street New York, NY 100% 181,854 14,058 2,664 1,551 114 5th Avenue New York, NY 49.5% 211,637 (2) 17,925 (2) 5,219 (2) 6,392 (2) 149 Madison Avenue New York, NY 100% 121,460 - (3) (32) (32) 799 Broadway New York, NY 49.7% (4) Yes 131,418 (2) - (3) (19) (2) (19) (2) 101 Franklin (f/k/a 250 Church St) New York, NY 92.5% (4) 221,818 (5) - (3) (6) (6) Terminal Warehouse New York, NY 8.65% (4) Yes 104,254 (2) - (3) (18) (2) (87) (2) Subtotal - New York 2,455,252 53% 149,102 27,417 26,902 650 California Street San Francisco, CA 100% 342,764 37,971 4,831 4,742 333 Market Street San Francisco, CA 55% 276,496 (2) 14,877 (2) (6) 4,738 (2) 3,270 (2) 221 Main Street San Francisco, CA 55% 212,763 (2) 18,810 (2) 3,105 (2) 2,955 (2) University Circle East Palo Alto, CA 55% 287,765 (2) 23,939 (2) 3,881 (2) 4,054 (2) 201 California Street San Francisco, CA 100% 249,319 18,483 3,384 2,625 Subtotal - San Francisco 1,369,107 29% 114,080 19,939 17,646 Market Square Washington, D.C. 51% Yes 311,811 (2) 28,275 (2) 3,527 (2) 3,663 (2) 1800 M Street Washington, D.C. 55% 242,719 (2) 20,542 (2) 3,304 (2) 3,102 (2) 80 M Street Washington, D.C. 100% 136,704 11,531 1,338 1,471 Subtotal - Washington, D.C. 691,234 15% 60,348 8,169 8,236 116 Huntington Avenue Boston, MA 100% 144,439 3% 16,523 2,186 2,411 Corporate & Other 7,808 - (497) (7) (497) (7) Total - All Properties 4,667,840$ 340,053$ 57,214$ 54,698$ Total - Consolidated Properties 2,888,977$ 215,685$ 33,477$ 31,368$ Total - CXP Share of Properties in Unconsolidated Joint Ventures 1,778,863$ 124,368$ 23,737$ 23,330$ Supplemental Information - Q1 2021 Gross Annualized Income - Q1 2021 Income - Q1 2021 Net Operating Net Operating Real Estate Lease (based on (based on Property Assets (1) Revenue (ALR) GAAP rents) cash rents) (4) CXP owns the following additional interests in properties through its interest in Normandy Real Estate Fund IV, L.P.: 799 Broadway (0.64%), 101 Franklin Street (0.15%), and Terminal Warehouse (0.06%). (7) Includes portfolio operating costs and, when applicable, net operating income for previously sold properties. 19 (1) Gross Real Estate Assets includes (i) land, (ii) building and improvements, (iii) intangible lease assets, (iv) construction in progress, and (v) intangible lease origination costs, less (vi) intangible lease liabilities. Excludes right of use assets and lease liabilities (2) Reflects CXP's ownership share in the property which is held in an unconsolidated joint venture, including any basis differences (page 8). (3) Excluded as the property is currently under redevelopment / development. (6) Reimbursements are excluded, as operating expenses, except for insurance expense, are paid directly by the tenant. (5) Reflects 100% of the property, which is owned by a consolidated joint venture in which CXP owns a 92.5% interest.
Columbia Property Trust, Inc. Property Overview - Square Feet & Occupancy Unaudited (SF in thousands) (at 3/31/2021) CXP Ownership Market Share 229 West 43rd Street New York, NY 100% 482 423 87.8% 87.8% 87.8% 315 Park Avenue South New York, NY 100% 332 323 97.3% 97.3% 97.3% 249 West 17th Street New York, NY 100% 281 278 98.9% 98.9% 98.9% 95 Columbus Jersey City, NJ 100% 630 624 99.0% 99.0% 99.0% 218 West 18th Street New York, NY 100% 166 166 100.0% 100.0% 80.7% 114 5th Avenue New York, NY 49.5% 174 (2) 174 (2) 100.0% 100.0% 100.0% 149 Madison Avenue New York, NY 100% - (3) - (3) - (3) - (3) - (3) 799 Broadway New York, NY 49.7% (4) - (3) - (3) - (3) - (3) - (3) 101 Franklin (f/k/a 250 Church St) New York, NY 92.5% (4) - (3) - (3) - (3) - (3) - (3) Terminal Warehouse New York, NY 8.65% (4) - (3) - (3) - (3) - (3) - (3) Subtotal - New York 2,065 1,988 96.3% 96.3% 94.7% 650 California Street San Francisco, CA 100% 471 449 95.3% 92.1% 89.9% 333 Market Street San Francisco, CA 55% 361 (2) 361 (2) 100.0% 100.0% 100.0% 221 Main Street San Francisco, CA 55% 212 (2) 205 (2) 96.7% 96.7% 95.5% University Circle East Palo Alto, CA 55% 249 (2) 202 (2) 81.1% 81.1% 80.6% 201 California Street San Francisco, CA 100% 257 212 82.5% 82.5% 78.7% Subtotal - San Francisco 1,550 1,429 92.2% 91.2% 89.7% Market Square Washington, D.C. 51% 344 (2) 307 (2) 89.2% 89.2% 85.1% 1800 M Street Washington, D.C. 55% 311 (2) 303 (2) 97.4% 97.4% 97.4% 80 M Street Washington, D.C. 100% 242 (5) 205 84.7% 84.7% 84.7% Subtotal - Washington, D.C. 897 815 90.9% 90.9% 89.4% 116 Huntington Avenue Boston, MA 100% 272 263 96.7% 96.7% 96.7% Total - All Properties 4,784 4,495 94.0% 93.6% 92.2% Total - All Properties (at 100%) 6,219 (6) 5,844 (6) Supplemental Information - Q1 2021 20 Percent Leased Commenced Occupancy Average Economic Occupancy (1) Rentable Leased (6) Includes 100% of properties held in joint ventures. Property Square Feet Square Feet (1) Measured based on the total square feet of leases that have commenced and are billing rents to tenants, divided by total rentable square feet. Reflects monthly average for the quarter. (2) Reflects CXP's ownership share in the property which is held in an unconsolidated joint venture. (3) Excluded as the property is currently under redevelopment / development. (5) Temporarily reduced building rentable square footage for the 7th floor which was removed from service during the first quarter 2020 upon commencement of the vertical expansion project. (4) CXP owns the following additional interests in properties through its interest in Normandy Real Estate Fund IV, L.P.: 799 Broadway (0.64%), 101 Franklin Street (0.15%), and Terminal Warehouse (0.06%).
Unaudited (SF in thousands) (at 3/31/2021) Rentable Leased Percent Square Footage (1) Square Footage (1) Leased As of December 31, 2020 4,780 4,571 95.6% Leasing Activity New Leases (2) 4 19 Lease Expirations/Early Terminations - (95) Net Absorption 4 (76) As of March 31, 2021 4,784 4,495 94.0% Supplemental Information - Q1 2021 21 Columbia Property Trust, Inc. Occupancy Summary (1) (1) Excludes 149 Madison, 799 Broadway, 101 Franklin, Terminal Warehouse, and 80 M Street (expansion space and 7th floor) which are currently under redevelopment / development. (2) New leasing activity for space that was either vacant at the beginning of the quarter or that became available due to expiration/termination of an existing lease. 97.6% 97.2% 96.3% 95.6% 94.0% 85% 90% 95% 100% 3/31/20 6/30/20 9/30/20 12/31/20 3/31/21 Percent Leased
Unaudited (weighted average unless otherwise noted) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Renewal Leases Number of Leases 6 3 3 3 2 Square Feet of Leasing (at 100%) 47,498 17,267 15,057 76,257 18,585 Square Feet of Leasing (at CXP's share) (1) 38,646 9,282 10,374 46,137 17,115 Lease Term (months) 44 71 63 69 75 Tenant Improvements per Square Foot 12.96 40.00 15.50 29.62 34.28 Leasing Commissions per Square Foot 16.80 30.81 24.83 20.10 18.79 Total per Square Foot 29.76$ 70.81$ 40.33$ 49.72$ 53.07$ Tenant Improvements per Square Foot per Year of Lease Term 3.55 6.74 2.97 5.14 5.50 Leasing Commissions per Square Foot per Year of Lease Term 4.60 5.19 4.76 3.49 3.01 Total per Square Foot per Year 8.15$ 11.93$ 7.73$ 8.63$ 8.51$ Cash Rent Releasing Spread (2) 0.7% 3.3% 0.8% 12.6% 18.3% GAAP Rent Releasing Spread (2) 5.8% 18.7% 5.6% 28.5% 42.4% New Leases (Space Vacant > 1 Year) Number of Leases - - - 1 3 Square Feet of Leasing (at 100%) - - - 5,150 66,284 Square Feet of Leasing (at CXP's share) (1) - - - 2,833 64,588 Lease Term (months) - - - 121 191 Tenant Improvements per Square Foot - - - 90.00 125.41 Leasing Commissions per Square Foot - - - 31.76 68.70 Total per Square Foot -$ -$ -$ 121.76$ 194.11$ Tenant Improvements per Square Foot per Year of Lease Term - - - 8.93 7.89 Leasing Commissions per Square Foot per Year of Lease Term - - - 3.15 4.32 Total per Square Foot per Year -$ -$ -$ 12.08$ 12.21$ New Leases (Space Vacant < 1 Year) (3) Number of Leases 2 2 - 1 3 Square Feet of Leasing (at 100%) 21,530 17,002 - 5,583 40,956 Square Feet of Leasing (at CXP's share) (1) 18,855 15,842 - 3,071 37,961 Lease Term (months) 65 76 - 121 126 Tenant Improvements per Square Foot 53.79 62.77 - 75.00 58.90 Leasing Commissions per Square Foot 20.57 45.63 - 36.86 51.08 Total per Square Foot 74.36$ 108.40$ -$ 111.86$ 109.98$ Tenant Improvements per Square Foot per Year of Lease Term 9.90 9.87 - 7.44 5.61 Leasing Commissions per Square Foot per Year of Lease Term 3.79 7.18 - 3.66 4.86 Total per Square Foot per Year 13.69$ 17.05$ -$ 11.10$ 10.47$ Cash Rent Releasing Spread (2) 21.2% 5.3% - 5.6% 6.7% GAAP Rent Releasing Spread (2) 24.1% 21.2% - 26.0% 9.0% Total Leases Number of Leases 8 5 3 5 8 Square Feet of Leasing (at 100%) 69,028 34,269 15,057 86,990 125,825 Square Feet of Leasing (at CXP's share) (1) 57,501 25,124 10,374 52,041 119,664 Lease Term (months) 57 75 63 76 162 Tenant Improvements per Square Foot 37.89 57.25 15.50 36.67 97.82 Leasing Commissions per Square Foot 19.10 42.04 24.83 22.10 59.33 Total per Square Foot 56.99$ 99.29$ 40.33$ 58.77$ 157.15$ Tenant Improvements per Square Foot per Year of Lease Term 5.63 8.72 2.97 5.48 6.82 Leasing Commissions per Square Foot per Year of Lease Term 4.33 6.44 4.76 3.48 4.31 Total per Square Foot per Year 9.96$ 15.16$ 7.73$ 8.96$ 11.13$ Cash Rent Releasing Spread (2) 13.2% 4.8% 0.8% 12.0% 9.1% GAAP Rent Releasing Spread (2) 17.0% 20.6% 5.6% 28.3% 16.0% (3) Includes executed leases that have not yet commenced for space covered by an existing lease. Supplemental Information - Q1 2021 22 Columbia Property Trust, Inc. Leasing Summary Three Months Ended (2) Spread calculation is based on the change in net rent (base rent plus reimbursements less operating expenses) for square feet of leasing (at 100% ownership). (1) Reflects CXP's ownership share for properties held in joint ventures.
Unaudited (SF & $ in thousands) (at 3/31/2021) Expiring Annualized Lease Revenue (ALR) % of ALR Expiring Expiring Rentable Square Footage % of Rentable Square Footage Expiring -$ 0.0% 289 6.0% 22,108 6.5% 358 7.5% 23,013 6.8% 315 6.6% 36,821 10.8% 429 9.0% 22,073 6.5% 235 4.9% 53,768 15.8% 645 13.5% 43,656 12.9% 749 15.6% 15,038 4.4% 177 3.7% 8,528 2.5% 99 2.1% 18,914 5.6% 240 5.0% 44,623 13.1% 496 10.4% 3,449 1.0% 39 0.8% 3,425 1.0% 42 0.9% 17,653 5.2% 237 4.9% 7,443 2.2% 71 1.5% 19,541 5.7% 363 7.6% 340,053$ 100.0% 4,784 100.0% Supplemental Information - Q1 2021 23 Vacant Columbia Property Trust, Inc. Lease Expiration Schedule Year 2032 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2033 2034 2035+ Total NOTE: Expirations that have been renewed are reflected above based on the renewal expiration date. 6.5% 6.8% 10.8% 6.5% 15.8% 12.9% 4.4% 2.5% 5.6% 13.1% 1.0% 1.0% 5.2% 2.2% 5.7% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035+ Lease Expiration Schedule % of ALR Expiring
Columbia Property Trust, Inc. Unaudited (SF & $ in thousands) Current Per Current Per Current Per Period ALR (2) SF ALR (2) SF ALR (2) SF Q2 2021 - - - 1 151 151.00 3 241 80.33 Q3 2021 175 6,490 37.09 86 8,365 97.27 35 3,148 89.94 Q4 2021 - - - 9 1,013 112.56 24 1,297 54.04 Total - 2021 175 6,490 37.09 96 9,529 99.26 62 4,686 75.58 Q1 2022 - - - 7 596 85.14 20 1,738 86.90 Q2 2022 32 2,601 81.28 15 1,337 89.13 12 868 72.33 Q3 2022 51 4,145 81.27 20 2,027 101.35 11 719 65.36 Q4 2022 - - - 13 1,214 93.38 59 3,417 57.92 Total - 2022 83 6,746 81.28 55 5,174 94.07 102 6,742 66.10 76 6,162 81.08 203 20,801 102.47 80 5,497 68.71 36 4,055 112.64 153 14,637 95.67 29 2,335 80.52 336 28,878 85.95 165 15,749 95.45 128 8,182 63.92 1,282 96,771 75.48 757 48,190 63.66 414 32,906 79.48 Total 1,988 149,102$ 75.00$ 1,429 114,080$ 79.83$ 815 60,348$ 74.05$ Current Per Current Per Period ALR (2) SF ALR (2) SF Q2 2021 5 266 53.20 9 658 73.11 Q3 2021 11 599 54.45 307 18,602 60.59 Q4 2021 9 538 59.78 42 2,848 67.81 Total - 2021 25 1,403 56.12 358 22,108 61.75 Q1 2022 20 1,243 62.15 47 3,577 76.11 Q2 2022 29 1,607 55.41 88 6,413 72.88 Q3 2022 21 1,204 57.33 103 8,095 78.59 Q4 2022 5 297 59.40 77 4,928 64.00 Total - 2022 75 4,351 58.01 315 23,013 73.06 70 4,361 62.30 429 36,821 85.83 17 1,046 61.53 235 22,073 93.93 16 959 59.94 645 53,768 83.36 60 4,403 73.38 2,513 182,270 72.53 Total 263 16,523$ 62.83$ 4,495 340,053$ 75.65$ (1) Reflects CXP's ownership share for properties held in joint ventures. (2) Expiring ALR is calculated as expiring square footage multiplied by the gross rent per square foot of the tenant currently leasing the space. Supplemental Information - Q1 2021 24 Thereafter SFSF SF All Markets 2023 2024 2025 Lease Expiration by Market New York (1) San Francisco (1) Washington, D.C. (1) Expiring Expiring 2024 Thereafter Boston SF Expiring 2025 2023 Expiring SF Expiring
Unaudited (SF & $ in thousands) (at 3/31/2021) Tenant Credit Rating (1) Number of Properties Annualized Lease Revenue (ALR) (2) % of ALR Leased Square Footage % of Leased Square Footage Remaining Lease Term Years (3) Twitter BB+ 2 21,161$ 6.2% 230 5.1% 8.7 Pershing LLC A 1 18,258 5.4% 471 10.5% 10.6 Yahoo! / Verizon Corporate Services BBB+ 1 16,651 4.9% 193 4.3% 4.3 Wells Fargo Bank N.A. A+ 3 16,117 4.8% 371 8.3% 5.3 Snap Inc. Not Rated 1 13,328 3.9% 154 3.4% 11.8 Amazon AA- 2 9,765 2.9% 88 2.0% 4.9 DocuSign, Inc. Not Rated 1 7,953 2.3% 84 1.9% 3.3 DLA Piper US, LLP Not Rated 1 7,908 2.3% 65 1.5% 2.3 Affirm, Inc. Not Rated 1 7,331 2.2% 89 2.0% 5.0 WeWork Companies Inc. CCC+ 2 7,179 2.1% 129 2.9% 10.0 Room & Board Not Rated 1 6,201 1.8% 60 1.3% 13.6 Quality Technology Services BB- 1 5,436 1.6% 128 2.8% 5.5 Gemini Trust Company, LLC Not Rated 1 4,860 1.4% 51 1.1% 8.2 Pitchbook Not Rated 1 4,736 1.4% 51 1.1% 8.9 BDG Media, Inc. Not Rated 1 4,552 1.4% 51 1.1% 7.6 ORC International Not Rated 1 4,468 1.3% 57 1.3% 4.3 Oracle America, Inc. A+ 1 4,145 1.2% 51 1.1% 1.3 Edison Electric Institute Not Rated 1 3,547 1.0% 40 0.9% 9.2 Mastercard International A+ 1 3,310 1.0% 38 0.8% 3.8 Equinox Not Rated 1 3,300 1.0% 44 1.0% 16.0 Subtotal - Top 20 170,206$ 50.1% 2,445 54.4% 7.3 All other 169,847 49.9% 2,050 45.6% 4.4 Total 340,053$ 100.0% 4,495 100.0% 5.9 (1) Credit rating may reflect the credit rating of the parent or a guarantor. Only the S&P Global Ratings credit rating has been provided. (2) Includes CXP's ownership share of ALR for properties held in joint ventures. (3) Weighted average based on CXP's share of Annualized Lease Revenue. Supplemental Information - Q1 2021 25 Columbia Property Trust, Inc. Top 20 Tenants & Tenant Industry Profile 30% 12% 8%8% 5% 4% 4% 3% 2% 2% 22% Tenant Industry Profile (2) Business Services Depository Institutions Legal Services Printing & Publishing Holding & Other Investment Offices Engineering and Management Services Security and Commodity Brokers Computer Services Other Real Estate Nondepository Institutions
Unaudited ($ in thousands) Acquisitions Location Acquisition Date Percent Ownership Purchase Price Rentable Square Footage $ / SF % Leased at Acquisition 201 California Street San Francisco, CA 12/9/2019 100% 238,900$ 252,183 947$ 98.8% Total - Acquisitions (excluding Joint Ventures) 238,900$ 252,183 Location Closing Date % Purchased Purchase Value @ 100% Approximate Developable Square Footage Expected Delivery Date New York, NY 3/13/2020 8.65% 1,088,500$ 1,230,000 Q1 2023 New York, NY 12/2/2019 92.5% 205,500 235,000 TBD Total - Joint Ventures (Development) 1,294,000$ 1,465,000 Supplemental Information - Q1 2021 26 101 Franklin Street (f/k/a 250 Church Street) Terminal Warehouse Columbia Property Trust, Inc. Transaction Activity (1/1/19 - 4/29/21) - Acquisitions Property Name Property Purchased for Development in Joint Venture
Unaudited ($ in thousands) Dispositions Location Disposition Date Percent Ownership Gross Sale Price Rentable Square Footage $ / SF % Leased at Disposition Pasadena Corporate Park Los Angeles, CA 3/31/2020 100% 78,000$ 261,677 298 94.3% Cranberry Woods Drive Pittsburgh, PA 1/16/2020 100% 180,000 823,979 218 100.0% Lindbergh Center Atlanta, GA 9/26/2019 100% 187,000 1,105,000 169 98.8% One & Three Glenlake Atlanta, GA 4/15/2019 100% 227,500 710,832 320 100.0% Total - Dispositions (excluding Joint Ventures) 672,500$ 2,901,488 Location Closing Date % Sold / Retained Contributed Value @ 100% Rentable Square Footage $ / SF % Leased at Closing Date 221 Main Street San Francisco, CA 10/8/2020 45% / 55% 400,000$ 383,882 1,042 97.4% Total - Joint Ventures 400,000$ 383,882 Supplemental Information - Q1 2021 27 Columbia Property Trust, Inc. Transaction Activity (1/1/19 - 4/29/21) - Dispositions Property Name Property Contributed to Joint Venture
Unaudited ($ in thousands) CXP Approximate Estimated Project / Ownership Square Project Initial % Location Share (1) Feet Start Occupancy Leased 100% 121,000 Q4 2017 TBD 0% 49.7% 182,000 Q4 2018 Q4 2021 0% 100% 105,000 Q2 2020 Q2 2022 57% 92.5% 235,000 TBD TBD 0% 8.65% 1,230,000 Q2 2021 Q1 2023 0% Project / Location Equity Debt Total Equity Debt Total Equity Debt Total 121,460$ -$ 121,460$ TBD TBD TBD TBD TBD TBD 51,962$ 72,118$ 124,080$ 6,641$ 20,821$ 27,462$ 58,603$ 92,939$ 151,542$ 32,928$ -$ 32,928$ 62,872$ -$ 62,872$ 95,800$ -$ 95,800$ 209,701$ -$ 209,701$ TBD TBD TBD TBD TBD TBD 47,156$ 55,837$ 102,993$ 9,930$ 49,150$ 59,080$ 57,086$ 104,987$ 162,073$ Supplemental Information - Q1 2021 28 (1) CXP owns the following additional interests in properties through its interest in Normandy Real Estate Fund IV, L.P.: 799 Broadway (0.64%), 101 Franklin Street (0.15%), and Terminal Warehouse (0.06%). Terminal Warehouse Redevelopment New York, NY 149 Madison Avenue Redevelopment New York, NY 799 Broadway New York, NY 80 M Street Vertical Expansion Washington, D.C. 101 Franklin Street (f/k/a 250 Church St) Redevelopment New York, NY Terminal Warehouse Redevelopment New York, NY CXP Share Balance at 3/31/21 Remainder to Complete (estimated) Total Investment Columbia Property Trust, Inc. 101 Franklin Street (f/k/a 250 Church St) Redevelopment New York, NY 149 Madison Avenue Redevelopment New York, NY 799 Broadway New York, NY Development Projects 80 M Street Vertical Expansion Washington, D.C.
Unaudited (in thousands, except per-share amounts) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net income (loss) attributable to CXP stockholders 477$ 98,968$ 5,367$ 5,085$ 6,290$ Depreciation 16,531 15,367 17,378 17,379 18,330 Amortization 4,844 6,868 9,584 7,405 6,721 14,737 15,295 12,795 13,484 12,797 Gain on sale of real estate assets - (175,272) - (17) (13,344) FFO 36,589$ (38,774)$ 45,124$ 43,336$ 30,794$ - - 9 4 (13) Acquisition and restructuring costs - 6,174 391 358 12,081 Strategic review costs 2,356 - - - - Non-cash compensation expense - OP units 1,831 3,190 3,190 3,155 2,358 (129) (136) (134) (130) (128) Impairment loss on goodwill - 63,806 - - - 97 2,838 191 126 71 Normalized FFO 40,744$ 37,098$ 48,771$ 46,849$ 45,163$ Normalized FFO per share/unit (Basic) 0.35$ 0.32$ 0.42$ 0.40$ 0.39$ Normalized FFO per share/unit (Diluted) 0.35$ 0.32$ 0.42$ 0.40$ 0.39$ 117,359 117,190 117,189 117,167 116,910 117,851 117,213 117,189 117,167 116,925 Unaudited (in thousands, except per-share amounts) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net Cash Provided by Operating Activities 19,241$ 24,390$ 35,655$ 28,228$ 16,147$ 21,043 15,309 12,127 12,923 13,125 Distributions from unconsolidated joint ventures (7,750) (7,363) (5,044) (7,042) (6,996) Net changes in operating assets and liabilities 6,090 3,925 (801) 9,276 6,892 Non-cash compensation expense in acquisition costs - (2,935) (1) (1) (310) Acquisition and restructuring costs - 6,174 391 358 12,081 Market value adjustment to investment in Real Estate Funds (239) (121) (192) (227) (160) Maintenance capital (1) (2) (1,984) (5,824) (3,194) (2,138) (8,192) AFFO 36,401$ 33,555$ 38,941$ 41,377$ 32,587$ 117,359 117,190 117,189 117,167 116,910 117,851 117,213 117,189 117,167 116,925 Supplemental Information - Q1 2021 29 Weighted-average common shares/units outstanding - Basic Weighted-average common shares/units outstanding - Diluted (1) See page 33 of this supplemental report for a description of Maintenance Capital and page 14 for more details on capital expenditures. (2) Reflects CXP's ownership share of capital expenditures for properties held in joint ventures. Weighted-average common shares/units outstanding - Diluted Reconciliation of Cash Flows From Operations to Adjusted Funds From Operations (AFFO) Three Months Ended Adjustments included in income (loss) from unconsolidated joint ventures Weighted-average common shares/units outstanding - Basic Columbia Property Trust, Inc. Reconciliation of Net Income to Normalized Funds From Operations (NFFO) Three Months Ended Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in net loss attributable to non-controlling interest in consolidated joint venture Adjustments included in net income attributable to non-controlling interest in the Operating Partnership
Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net Operating Income (based on GAAP rents) 57,214$ 50,462$ 67,366$ 65,356$ 63,009$ Straight-line rental income, net (wholly-owned) (1,600) 3,577 (5,045) (2,183) (3,275) Straight-line rental income, net (joint venture) 1,397 1,045 516 843 559 Above/below market lease amortization, net (wholly-owned) (509) (2,105) (1,722) (1,390) (1,391) Above/below market lease amortization, net (joint venture) (1,804) (2,735) (2,951) (3,044) (2,551) Net Operating Income (based on cash rents) 54,698$ 50,244$ 58,164$ 59,582$ 56,351$ Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 FFO 36,589$ (38,774)$ 45,124$ 43,336$ 30,794$ - - 9 4 (13) (129) (136) (134) (130) (128) 97 2,838 191 126 71 Acquisition and restructuring costs - 6,174 391 358 12,081 Strategic review costs 2,356 - - - - Impairment loss on goodwill - 63,806 - - - Non-cash compensation expense - OP units 1,831 3,190 3,190 3,155 2,358 Normalized FFO 40,744$ 37,098$ 48,771$ 46,849$ 45,163$ Above/below market lease amortization, net (509) (2,105) (1,722) (1,390) (1,391) Straight-line rental income, net (1,600) 3,577 (5,045) (2,183) (3,275) Strategic review costs (2,356) - - - - Non-cash compensation expense - stock 2,314 2,282 2,197 2,081 1,989 Non-cash interest expense 643 643 643 643 643 Non-cash operating lease expense - G&A (50) (32) (30) (30) (37) (801) (2,084) (2,679) (2,455) (2,313) Total other non-cash adjustments (2,359) 2,281 (6,636) (3,334) (4,384) Maintenance capital (1) (2) (1,984) (5,824) (3,194) (2,138) (8,192) AFFO 36,401$ 33,555$ 38,941$ 41,377$ 32,587$ 117,359 117,190 117,189 117,167 116,910 117,851 117,213 117,189 117,167 116,925 Supplemental Information - Q1 2021 30 Columbia Property Trust, Inc. Reconciliation of Net Operating Income (based on GAAP rents) to Net Operating Income (based on cash rents) Three Months Ended Reconciliation of Funds From Operations (FFO) to Adjusted Funds From Operations (AFFO) Other non-cash adjustments included in income (loss) from unconsolidated joint ventures Weighted-average common shares/units outstanding - Basic Weighted-average common shares/units outstanding - Diluted Three Months Ended (1) See page 33 of this supplemental report for a description of Maintenance Capital and page 14 for more details on capital expenditures. (2) Reflects CXP's ownership share of capital expenditures for properties held in joint ventures. Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in net loss attributable to non-controlling interest in consolidated joint venture Adjustments included in net income attributable to non-controlling interest in the Operating Partnership
Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net income (loss) attributable to CXP stockholders 477$ 98,968$ 5,367$ 5,085$ 6,290$ Interest expense (net) 7,535 8,323 9,415 9,449 9,553 Income tax expense (329) (760) 383 (185) (2,243) Depreciation 16,531 15,367 17,378 17,379 18,330 Amortization 4,844 6,868 9,584 7,405 6,721 16,443 16,996 15,140 15,704 14,661 EBITDA 45,501$ 145,762$ 57,267$ 54,837$ 53,312$ Gain on sale of real estate assets - (175,272) - (17) (13,344) EBITDAre 45,501$ (29,510)$ 57,267$ 54,820$ 39,968$ Acquisition and restructuring costs - 6,174 391 358 12,081 Strategic review costs 2,356 - - - - Non-cash compensation expense - OP units 1,831 3,190 3,190 3,155 2,358 Impairment loss on goodwill - 63,806 - - - (129) (136) (134) (130) (128) 97 2,838 191 126 71 Adjusted EBITDAre 49,656$ 46,362$ 60,905$ 58,329$ 54,350$ Management fee revenues (10,079) (10,127) (9,632) (10,447) (8,240) Management fee revenues - unconsolidated (1) (565) (545) (809) (514) (342) General and administrative 7,945 6,405 8,325 7,964 9,424 Management fee expense 9,269 7,522 7,785 9,231 6,945 Straight line rental income (net) (1,600) 3,577 (5,045) (2,183) (3,275) Above/below market lease amortization, net (509) (2,105) (1,722) (1,390) (1,391) Market value adjustment to investment in Real Estate Funds 239 121 192 227 160 342 (966) (1,835) (1,635) (1,280) Net Operating Income (based on cash rents) 54,698$ 50,244$ 58,164$ 59,582$ 56,351$ (23,436) (18,022) (17,136) (18,468) (18,552) Less Net Operating Income from: Acquisitions / Development (3), (4) 145 234 (6,333) 74 71 Dispositions (5) (1) (182) (2,084) (2,310) (4,112) 31,406$ 32,274$ 32,611$ 38,878$ 33,758$ Supplemental Information - Q1 2021 31 (1) Reflects CXP's pro rata share of Management Fee Revenues earned by unconsolidated Real Estate Services JVs, which are recorded in Equity in Earnings of Unconsolidated JVs. (6) Reflects NOI from properties that were wholly-owned for the entirety of the periods presented. (2) Reflects CXP's ownership share of NOI for properties held in unconsolidated joint ventures (see page 18). (3) No properties have been acquired since January 1, 2020. Columbia Property Trust, Inc. Reconciliation of Net Income to Net Operating Income (based on cash rents), and Same Store Net Operating Income (based on cash rents) - wholly-owned properties Three Months Ended Same Store Net Operating Income (based on cash rents) wholly-owned properties (6) Same Store Net Operating Income (based on cash rents) CXP Ownership of Properties in Unconsolidated Joint Ventures (2) Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in income (loss) from unconsolidated joint ventures (5) Reflects activity for the following properties sold since January 1, 2020, for all periods presented: 221 Main Street (45% share), Pasadena Corporate Park, and Cranberry Woods Drive. Adjustments included in net loss attributable to non-controlling interest in consolidated joint venture (4) Reflects activity for the following development projects, for all periods presented: 149 Madison Avenue, 799 Broadway (49.7%), 101 Franklin (92.5%), and Terminal Warehouse (8.65%). Adjustments included in net income attributable to non-controlling interest in the Operating Partnership
Unaudited (in thousands) 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net income (loss) attributable to CXP stockholders 477$ 98,968$ 5,367$ 5,085$ 6,290$ Interest expense (net) 7,535 8,323 9,415 9,449 9,553 Income tax expense (329) (760) 383 (185) (2,243) Depreciation 16,531 15,367 17,378 17,379 18,330 Amortization 4,844 6,868 9,584 7,405 6,721 16,443 16,996 15,140 15,704 14,661 EBITDA 45,501$ 145,762$ 57,267$ 54,837$ 53,312$ Gain on sale of real estate assets - (175,272) - (17) (13,344) EBITDAre 45,501$ (29,510)$ 57,267$ 54,820$ 39,968$ Acquisition and restructuring costs - 6,174 391 358 12,081 Strategic review costs 2,356 - - - - Non-cash compensation expense - OP units 1,831 3,190 3,190 3,155 2,358 Impairment loss on goodwill - 63,806 - - - (129) (136) (134) (130) (128) 97 2,838 191 126 71 Adjusted EBITDAre 49,656$ 46,362$ 60,905$ 58,329$ 54,350$ Management fee revenues (10,079) (10,127) (9,632) (10,447) (8,240) Management fee revenues - unconsolidated (1) (565) (545) (809) (514) (342) General and administrative 7,945 6,405 8,325 7,964 9,424 Management fee expense 9,269 7,522 7,785 9,231 6,945 Market value adjustment to investment in Real Estate Funds 239 121 192 227 160 749 724 600 566 712 Net Operating Income (based on GAAP rents) 57,214$ 50,462$ 67,366$ 65,356$ 63,009$ (23,774) (18,761) (19,297) (20,013) (20,607) Less Net Operating Income from: Acquisitions / Development (3), (4) 76 (726) (7,003) (540) (51) Dispositions (5) (1) (189) (2,407) (2,274) (4,008) 33,515$ 30,786$ 38,659$ 42,529$ 38,343$ (2) Reflects CXP's ownership share of NOI for properties held in unconsolidated joint ventures (see page 18). Supplemental Information - Q1 2021 32 (6) Reflects NOI from properties that were wholly-owned for the entirety of the periods presented. Columbia Property Trust, Inc. Reconciliation of Net Income to Net Operating Income (based on GAAP rents), and Same Store Net Operating Income (based on GAAP rents) - wholly-owned properties Three Months Ended Same Store Net Operating Income (based on GAAP rents) wholly-owned properties (6) Same Store Net Operating Income (based on GAAP rents) CXP Ownership of Properties in Unconsolidated Joint Ventures (2) Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in income (loss) from unconsolidated joint ventures Adjustments included in net loss attributable to non-controlling interest in consolidated joint venture (4) Reflects activity for the following development projects, for all periods presented: 149 Madison Avenue, 799 Broadway (49.7%), 101 Franklin (92.5%), and Terminal Warehouse (8.65%). (5) Reflects activity for the following properties sold since January 1, 2020, for all periods presented: 221 Main Street (45% share), Pasadena Corporate Park, and Cranberry Woods Drive. Adjustments included in net income attributable to non-controlling interest in the Operating Partnership (1) Reflects CXP's pro rata share of Management Fee Revenues earned by unconsolidated Real Estate Services JVs, which are recorded in Equity in Earnings of Unconsolidated JVs. (3) No properties have been acquired since January 1, 2020.
Supplemental Information - Q1 2021 33 EBITDA: EBITDA is defined as net income before interest, taxes, depreciation and amortization. We believe EBITDA is a reasonable measure of our liquidity. EBITDA is a non-GAAP financial measure and should not be viewed as an alternative measurement of cash flows from operating activities or other GAAP basis liquidity measures. Columbia Property Trust, Inc. Definitions - Non-GAAP Financial Measures Included in this supplemental report are non-GAAP financial measures, which are accompanied by what we consider the most directly comparable financial measures calculated and presented in accordance with GAAP. These measures include earnings (or components of earnings), as defined, from both continuing operations and discontinued operations. A description of the non-GAAP financial measures we present and a statement of the reasons why management believes the non-GAAP measures provide useful information to investors about the company's financial condition and results of operations can be found below. These non- GAAP measures should not be viewed as alternative measurements of our operating performance calculated in accordance with GAAP. Other companies may calculate these measures differently and our calculation should not be compared to that of other companies. Adjusted Funds From Operations (“AFFO”): AFFO is calculated by adjusting Cash Flow from Operations to exclude (i) changes in assets and liabilities resulting from timing differences in payments and receipts (ii) additional amortization of lease assets (liabilities), (iii) straight-line rental income, (iv) gain (loss) on interest rate swaps, (v) maintenance capital expenditures (see definition below), and adding back (vi) stock based compensation expense, (vii) non-cash interest expense and (viii) non-cash lease expenses. AFFO excludes revenues for deferred rental billings. Because AFFO adjusts for income and expenses that we believe are not reflective of our core operations, we believe AFFO provides useful supplemental information. Adjusted EBITDAre : Adjusted EBITDAre is defined as EBITDAre plus (minus) losses and gains on early extinguishment of debt, plus (minus) losses and gains from interest rate swaps, plus strategic review costs. EBITDAre : The Company computes EBITDAre in accordance with standards established by the National Association of Real Estate Investment Trusts, or NAREIT, which defines EBITDAre as net income (loss), plus interest expense, plus income tax expense, plus depreciation and amortization, plus (minus) losses and gains on the disposition of depreciated property, plus impairment write-downs of depreciated property and investments in unconsolidated joint ventures, plus adjustments to reflect the entity's share of EBITDAre of unconsolidated joint ventures. Annualized Lease Revenue (“ALR”): ALR is the sum of (i) annualized rental payments (defined as base rent plus operating expense reimbursements, excluding rental abatements) for executed and commenced leases as well as leases executed but not yet commenced for vacant space, and (ii) annualized parking revenues, payable either under the terms of an executed lease or vendor contract. ALR excludes rental payments for executed leases that have not yet commenced for space covered by an existing lease. Maintenance Capital: Capital expenditures incurred to maintain the building structure and functionality, and to lease space at our properties in their current condition. Maintenance capital excludes capital for recent acquisitions, first generation leasing, and all other types of Investment Capital, as defined below. Investment Capital: Capital expenditures incurred for development and redevelopment projects; to bring properties up to our ownership standards; to expand or repurpose building functionality; to increase property's revenue-generating capability; to lease space to first generation tenants; or to lease space that has been vacant for more than one year. All costs incurred within 36 months of acquisition are considered Investment Capital. We establish our ownership standards based on Class A office property characteristics typical for the respective local market, including level of finishes, systems, accessibility, and defined market presence. Funds From Operations (“FFO”): FFO, as defined by the National Association of Real Estate Investment Trusts (“NAREIT”), represents net income (computed in accordance with GAAP), plus depreciation of real estate assets and amortization of lease-related costs, excluding gains (losses) on sales of real estate and impairment losses on real estate assets. The Company computes FFO in accordance with NAREIT's definition, which may differ from the methodology for calculating FFO, or similarly titled measures, used by other companies and this may not be comparable to those presentations. We consider FFO an appropriate supplemental performance measure given its wide use by and relevance to investors and analysts. FFO, reflecting the assumption that real estate asset values rise or fall with market conditions, principally adjusts for the effects of GAAP depreciation and amortization of real estate assets, which assume that the value of real estate diminishes predictably over time. Normalized FFO: We calculate Normalized FFO by starting with FFO, as defined by NAREIT, and adjusting for certain items that are not reflective of our core operations, including: (i) losses and gains on interest rate swaps, (ii) losses and gains on early extinguishment of debt, and (iii) strategic review costs. Such items create significant earnings volatility. We believe Normalized FFO provides a meaningful measure of our operating performance and more predictability regarding future earnings potential. Net Operating Income (based on cash rents) (“NOI - cash rents”): NOI - cash rents is defined as Adjusted EBITDA adjusted for (i) portfolio general and administrative expense, (ii) interest rate swap valuation adjustments, (iii) interest expense associated with interest rates swaps, (iv) non-cash property operations, (v) straight-line rental income, and (vi) net effect of above/(below) market lease amortization. The company uses this measure to assess its operating results and believes it is important in assessing operating performance. Net Operating Income (based on GAAP rents) (“NOI - GAAP rents”): NOI - GAAP rents is defined as Adjusted EBITDA adjusted for (i) portfolio general and administrative expense, (ii) interest rate swap valuation adjustments, and (iii) interest expense associated with interest rates swaps. The company uses this measure to assess its operating results and believes it is important in assessing operating performance. Same Store Net Operating Income (“Same Store NOI”): Same Store NOI is calculated as the NOI attributable to the properties continuously owned and operating for the entirety of the reporting periods presented. We believe Same Store NOI is an important measure of comparison of our stabilized properties’ operating performance. Definitions - Other