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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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☐
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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Boston Properties, Inc.
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Delaware
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04-2473675
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(State or other jurisdiction of incorporation or organization)
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(I.R.S. Employer Identification Number)
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Boston Properties Limited Partnership
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Delaware
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04-3372948
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(State or other jurisdiction of incorporation or organization)
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(I.R.S. Employer Identification Number)
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Securities registered pursuant to Section 12(b) of the Act:
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Registrant
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Boston Properties, Inc.
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Common Stock, par value $.01 per share
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BXP
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New York Stock Exchange
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Boston Properties, Inc.
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Depository Shares Each Representing 1/100th of a share
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BXP PRB
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New York Stock Exchange
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of 5.25% Series B Cumulative Redeemable Preferred Stock, par value $0.01 per share
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Securities registered pursuant to Section 12(g) of the Act:
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Registrant
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Title of each class
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Boston Properties Limited Partnership
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Units of Limited Partnership
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enhances investors’ understanding of BXP and BPLP by enabling investors to view the business as a whole in the same manner as management views and operates the business;
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eliminates duplicative disclosure and provides a more concise and readable presentation because a substantial portion of the disclosure applies to both BXP and BPLP; and
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creates time and cost efficiencies through the preparation of one combined report instead of two separate reports.
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Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities;
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Item 6. Selected Financial Data;
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Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations includes information specific to each entity, where applicable;
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Item 7. Liquidity and Capital Resources includes separate reconciliations of amounts to each entity’s financial statements, where applicable;
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Item 8. Financial Statements and Supplementary Data which includes the following specific disclosures for BXP and BPLP:
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Item 15. Financial Statement Schedule—Schedule 3.
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ITEM NO.
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DESCRIPTION
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PAGE NO.
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1.
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1A.
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1B.
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7.
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7A.
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9A.
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9B.
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10.
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12.
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13.
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14.
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15.
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16.
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177 office properties (including nine properties under construction/redevelopment);
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twelve retail properties;
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six residential properties (including two properties under construction); and
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one hotel.
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to target a few carefully selected geographic markets—Boston, Los Angeles, New York, San Francisco and Washington, DC—and to be one of the leading, if not the leading, developers, owners and managers in each of those markets with a full-service office in each market providing property management, leasing, development, construction and legal expertise. We select markets and submarkets with a diverse economic base and a deep pool of prospective tenants in various industries and where tenants have demonstrated a preference for high-quality office buildings and other facilities. Additionally, our markets have historically been able to recruit new talent to them and as such created job growth that results in growth in rental rates and occupancy over time. We have explored, and may continue to explore for future investment, select domestic and international markets that exhibit these same traits;
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to emphasize markets and submarkets within those markets where the difficulty of receiving the necessary approvals for development and the necessary financing constitute high barriers to the creation of new supply, and where skill, financial strength and diligence are required to successfully develop, finance and manage high-quality office, research and development space, as well as selected retail and residential space;
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to take on complex, technically challenging development projects, leveraging the skills of our management team to successfully develop, acquire or reposition properties that other organizations may not have the capacity or resources to pursue;
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to own and develop high-quality real estate designed to meet the demands of today’s tenants who require sophisticated telecommunications and related infrastructure, support services, sustainable features and amenities, and to manage those facilities so as to become the landlord of choice for both existing and prospective clients;
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to opportunistically acquire assets that increase our market share in the markets in which we have chosen to concentrate, as well as potential new markets, which exhibit an opportunity to improve returns through repositioning (through a combination of capital improvements and shift in marketing strategy), changes in management focus and leasing;
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to explore joint venture opportunities with existing property owners located in desirable locations, who seek to benefit from the depth of development and management expertise we are able to provide and our access to capital, and/or to explore joint venture opportunities with strategic institutional partners, leveraging our skills as developers, owners and managers of Class A office space and mixed-use complexes;
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to pursue on a selective basis the sale of properties or interests therein, including core properties, to either (1) take advantage of the demand for our premier properties and realize the value we have created or (2) pare from our portfolio properties that we believe have slower future growth potential;
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to seek third-party development contracts to enable us to retain and utilize our existing development and construction management staff, especially when our internal development is less active or when new development is less-warranted due to market conditions; and
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to enhance our capital structure through our access to a variety of sources of capital and proactively manage our debt expirations. In the current economic climate with relatively low interest rates we have and will continue to attempt to lower the cost of our debt capital and seek opportunities to lock in such low rates through early debt repayment, refinancings and interest rate hedges.
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our control of sites (including sites under contract or option to acquire) in our markets that could support approximately 15.5 million additional square feet of new office, retail and residential development;
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our reputation gained through 50 years of successful operations and the stability and strength of our existing portfolio of properties;
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our relationships with leading national corporations, universities and public institutions, including government agencies, seeking new facilities and development services;
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our relationships with nationally recognized financial institutions that provide capital to the real estate industry;
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our track record and reputation for executing acquisitions efficiently provide comfort to domestic and foreign institutions, private investors and corporations who seek to sell commercial real estate in our market areas;
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our ability to act quickly on due diligence and financing;
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our relationships with institutional buyers and sellers of high-quality real estate assets;
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our ability to procure entitlements from multiple municipalities to develop sites and attract land owners to sell or partner with us; and
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our relationship with domestic and foreign investors who seek to partner with companies like ours.
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Development in selected submarkets. We believe the selected development of well-positioned office buildings, residential buildings and mixed-use complexes may be justified in our markets. We believe in acquiring land after taking into consideration timing factors relating to economic cycles and in response to market conditions that allow for its development at the appropriate time. While we purposely concentrate in markets with high barriers-to-entry, we have demonstrated throughout our 50-year history, an ability to make carefully timed land acquisitions in submarkets where we can become one of the market leaders in establishing rent and other business terms. We believe that there are opportunities at key locations in our existing and other markets for a well-capitalized developer to acquire land with development potential.
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Acquisition of assets and portfolios of assets from institutions or individuals. We believe that due to our size, management strength and reputation, we are well positioned to acquire portfolios of assets or individual properties from institutions or individuals if valuations meet our criteria. In addition, we believe that our market knowledge and our liquidity and access to capital may provide us with a competitive advantage when pursuing acquisitions. Opportunities to acquire properties may also come through the purchase of first mortgage or mezzanine debt. We are also able to appeal to sellers wishing to contribute on a tax-deferred basis their ownership of property for equity in a diversified real estate operating company that offers liquidity through access to the public equity markets in addition to a quarterly distribution. Our ability to offer common and preferred units of limited partnership in BPLP to sellers who would otherwise recognize a taxable gain upon a sale of assets for cash or BXP’s common stock may facilitate this type of transaction on a tax-efficient basis. Recent Treasury regulations may limit certain of the tax benefits previously available to sellers in these transactions.
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Acquisition of underperforming assets and portfolios of assets. We believe that because of our in-depth market knowledge and development experience in each of our markets, our national reputation with brokers, financial institutions, owners of real estate and others involved in the real estate market and our access to competitively-priced capital, we are well-positioned to identify and acquire existing, underperforming properties for competitive prices and to add significant additional value to such properties through our effective marketing strategies, repositioning/redevelopment expertise and a responsive property management program.
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Cultivate existing submarkets and long-term relationships with credit tenants. In choosing locations for our properties, we have paid particular attention to transportation and commuting patterns, physical environment, adjacency to established business centers and amenities, proximity to sources of business growth and other local factors.
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Directly manage our office properties to maximize the potential for tenant retention. We provide property management services ourselves, rather than contracting for this service, to maintain awareness of and responsiveness to tenant needs. We and our properties also benefit from cost efficiencies produced by an experienced work force attentive to preventive maintenance and energy management and from our continuing programs to assure that our property management personnel at all levels remain aware of their important role in tenant relations. In addition, we reinvest in our properties by adding new services and amenities that are desirable to our tenants.
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Replace tenants quickly at best available market terms and lowest possible transaction costs. We believe that we are well-positioned to attract new tenants and achieve relatively high rental and occupancy rates as a result of our well-located, well-designed and well-maintained properties, our reputation for high-quality building services and responsiveness to tenants, and our ability to offer expansion and relocation alternatives within our submarkets.
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Extend terms of existing leases to existing tenants prior to expiration. We have also successfully structured early tenant renewals, which have reduced the cost associated with lease downtime while securing the tenancy of our highest quality credit-worthy tenants on a long-term basis and enhancing relationships.
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Re-development of existing assets. We believe the select re-development of assets within our portfolio, where through the ability to increase the building size and/or to increase cash flow and generate appropriate returns on incremental investment after consideration of the asset’s current and future cash flows, may be desirable. This generally occurs in situations in which we are able to increase the building’s size, improve building systems and sustainability features, and/or add tenant amenities, thereby increasing tenant demand, generating acceptable returns on incremental investment and enhancing the long-term value of the property and the company. In the past, we have been particularly successful at gaining local government approval for increased density at several of our assets, providing the opportunity to enhance value at a particular location. Our strong regional relationships and recognized re-development expertise have enabled us to capitalize on unique build-to-suit opportunities. We intend to seek and expect to continue to be presented with such opportunities in the near term allowing us to earn attractive returns on these development opportunities through multiple business cycles.
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(1)
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Full 2019 calendar year energy and water data will not be available to be assured by a third party until March 31, 2020. 2018 is the most recent year for which complete energy and water data is available and assured by a third party.
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(2)
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The charts reflect the performance of our occupied and actively-managed office building portfolio in Boston, Los Angeles, New York, San Francisco and Washington, DC. Occupied office buildings are buildings with no more than 50% vacancy. Actively-managed buildings are buildings where we have operational control of building system performance and investment decisions. At the end of the 2018 calendar year, this included 97 buildings totaling 39.2 million gross square feet.
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(3)
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Floor area is considered to have complete energy consumption data coverage when energy consumption data (i.e., energy types and amounts consumed) is obtained by us for all types of energy consumed in the relevant floor area during the calendar year, regardless of when such data was obtained.
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(4)
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The scope of energy includes energy purchased from sources external to us and our tenants or produced by us or our tenants and energy from all sources, including fuel, gas, electricity and steam. Energy use intensity (kBtu/SF) has been weather normalized.
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(5)
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Water sources include surface water (including water from wetlands, rivers, lakes and oceans), groundwater, rainwater collected directly and stored by the registrant, wastewater obtained from other entities, municipal water supplies or supply from other water utilities.
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Independent Director
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Audit
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Compensation
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Nominating and
Corporate Governance
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Kelly A. Ayotte
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X
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Bruce W. Duncan
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(1)
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X
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Karen E. Dykstra
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X
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Carol B. Einiger
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X
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Diane J. Hoskins
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X
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Joel I. Klein (2)
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Matthew J. Lustig
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X
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(1)
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David A. Twardock
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(1)
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X
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William H. Walton III
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X
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The Board of Directors has adopted charters for each of its Audit, Compensation and Nominating and Corporate Governance Committees. A copy of each of these charters is available on our website at http://www.bxp.com under the heading “Corporate Governance” and subheading “Committees and Charters.”
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The Board of Directors has adopted Corporate Governance Guidelines, a copy of which is available on our website at http://www.bxp.com under the heading “Corporate Governance” and subheading “Governance Guidelines.”
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The Board of Directors has adopted a Code of Business Conduct and Ethics, which governs business decisions made and actions taken by BXP’s directors, officers and employees. A copy of this code is available on our website at http://www.bxp.com under the heading “Corporate Governance” and subheading “Code of Conduct and Ethics.” BXP intends to disclose on this website any amendment to, or waiver of, any provisions of this Code applicable to the directors and executive officers of BXP that would otherwise be required to be disclosed under the rules of the SEC or the New York Stock Exchange.
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The Board of Directors has established an ethics reporting system that employees may use to anonymously report possible violations of the Code of Business Conduct and Ethics, including concerns regarding questionable accounting, internal accounting controls or auditing matters, by telephone or over the internet.
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The Board of Directors has adopted a Policy on our Political Spending, a copy of which is available on our website at http://www.bxp.com under the heading “Corporate Governance” and subheading “Policy on Political Spending.”
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For tax years beginning before January 1, 2026, non-corporate taxpayers are permitted to take a 20% deduction for certain pass-through business income, including dividends received from REITs that are not designated as capital gain dividends or qualified dividend income, subject to certain limitations. The maximum U.S. federal income tax rate for individuals has been reduced from 39.6% to 37%.
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The maximum U.S. federal income tax rate for corporations has been reduced from 35% to 21%, and the alternative minimum tax has been eliminated for corporations, which would generally reduce the amount of U.S. federal income tax payable by our taxable REIT subsidiaries and by us to the extent we were subject corporate U.S. federal income tax (for example, if we distributed less than 100% of our taxable income or recognized built-in gains in assets acquired from C corporations). In addition, the maximum withholding rate on distributions by us to non-U.S. stockholders that are treated as attributable to gain from the sale or exchange of a U.S. real property interest was reduced from 35% to 21%.
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Certain new limitations on the deductibility of interest expense now apply, which limitations may affect the deductibility of interest paid or accrued by us or our taxable REIT subsidiaries. Alternatively, we may be able to avoid the new limitations on interest expense by irrevocably electing to treat an investment as an “electing real property trade or business.” As a consequence of making such election, we would be required to use an alternative depreciation system with generally longer recovery periods. We have made this election for our own leasing business and will determine whether to make such election for any investment held through an entity we control.
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Certain new limitations on net operating losses now apply, which limitations may affect net operating losses generated by us or our taxable REIT subsidiaries.
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New accounting rules generally require us to recognize certain income items for federal income tax purposes no later than when we take the item into account for financial statement purposes, which may accelerate our recognition of certain income items.
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downturns in the national, regional and local economic conditions (particularly increases in unemployment);
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competition from other office, hotel, retail and residential buildings;
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local real estate market conditions, such as oversupply or reduction in demand for office, hotel, retail or residential space;
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changes in interest rates and availability of financing;
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vacancies, changes in market rental rates and the need to periodically repair, renovate and re-let space;
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changes in space utilization by our tenants due to technology, economic conditions and business culture;
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increased operating costs, including insurance expense, utilities, real estate taxes, state and local taxes and heightened security costs;
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civil disturbances, earthquakes and other natural disasters or terrorist acts or acts of war which may result in uninsured or underinsured losses or decrease the desirability to our tenants in impacted locations;
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significant expenditures associated with each investment, such as debt service payments, real estate taxes (including reassessments and changes in tax laws), insurance and maintenance costs which are generally not reduced when circumstances cause a reduction in revenues from a property;
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declines in the financial condition of our tenants and our ability to collect rents from our tenants; and
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decreases in the underlying value of our real estate.
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we may be unable to proceed with the development of properties because we cannot obtain financing on favorable terms or at all;
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we may incur construction costs for a development project that exceed our original estimates due to increases in interest rates and increased materials, labor, leasing or other costs, which could make completion of the project less profitable because market rents may not increase sufficiently to compensate for the increase in construction costs;
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we may be unable to obtain, or face delays in obtaining, required zoning, land-use, building, occupancy, and other governmental permits and authorizations, which could result in increased costs and could require us to abandon our activities entirely with respect to a project;
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we may abandon development opportunities after we begin to explore them and as a result we may lose deposits or fail to recover expenses already incurred;
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we may expend funds on and devote management’s time to projects that we do not complete;
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we may be unable to complete construction and/or leasing of a property on schedule or at all; and
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we may suspend development projects after construction has begun due to changes in economic conditions or other factors, and this may result in the write-off of costs, payment of additional costs or increases in overall costs when the development project is restarted.
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we may lease developed properties at rental rates that are less than the rates projected at the time we decide to undertake the development;
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operating expenses and construction costs may be greater than projected at the time of development, resulting in our investment being less profitable than we expected; and
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occupancy rates and rents at newly developed properties may fluctuate depending on a number of factors, including market and economic conditions, and may result in our investments being less profitable than we expected or not profitable at all.
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the third party may be unable to make full and timely payments of interest and principal on the loan when due;
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if the third-party buyer to whom we provide seller financing and utilizes the assets as collateral does not manage the property well, or the property otherwise fails to meet financial projections, performs poorly or declines in value, then the buyer may not have the funds or ability to raise new debt with which to make required payments of interest and principal to us;
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if we loan funds to a joint venture, and the joint venture is unable to make required payments of interest or principal, or both, or there are disagreements with respect to the repayment of the loan or other matters, then we could have a resulting dispute with our partner(s), and such a dispute could harm our relationship(s) with our partner(s) and cause delays in developing or selling the property or the failure to properly manage the property; and
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if we loan funds to a joint venture and the joint venture is unable to make required payments of interest and principal, or both, then we may exercise remedies available to us in the joint venture agreement that could allow us to increase our ownership interest or our control over major decisions, or both, which could result in an unconsolidated joint venture becoming consolidated with our financial statement; doing so could require us to reallocate the purchase price among the various asset and liability components and this could result in material changes to our reported results of operations and financial condition.
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the financial condition of our tenants, many of which are media and technology, financial, government, legal and other professional firms, may be adversely affected, which may result in tenant defaults under leases due to bankruptcy, lack of liquidity, lack of funding, operational failures or for other reasons;
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significant job losses in the financial and professional services industries may occur, which may decrease demand for our office space, causing market rental rates and property values to be negatively impacted;
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our ability to borrow on terms and conditions that we find acceptable, or at all, may be limited, which could reduce our ability to pursue acquisition and development opportunities and refinance existing debt, reduce our returns from our acquisition and development activities and increase our future interest expense;
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reduced values of our properties may limit our ability to dispose of assets at attractive prices or to obtain debt financing secured by our properties and may reduce the availability of unsecured loans;
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the value and liquidity of our short-term investments and cash deposits could be reduced as a result of a deterioration of the financial condition of the institutions that hold our cash deposits or the institutions or assets in which we have made short-term investments, a dislocation of the markets for our short-term investments, increased volatility in market rates for such investments or other factors;
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one or more lenders under our line of credit could refuse to fund their financing commitment to us or could fail and we may not be able to replace the financing commitment of any such lenders on favorable terms, or at all; and
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to the extent we enter into derivative financial instruments, one or more counterparties to our derivative financial instruments could default on their obligations to us, or could fail, increasing the risk that we may not realize the benefits of these instruments.
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(1)
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Except for the Series B Cumulative Redeemable Preferred Stock, which have been valued at the liquidation preference of $2,500 per share, values are based on the closing price per share of BXP’s Common Stock on February 21, 2020 of $145.78.
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(2)
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Includes 1,354,111 LTIP Units (including 105,080 2012 OPP Units, 64,468 2013 MYLTIP Units, 23,100 2014 MYLTIP Units, 28,724 2015 MYLTIP Units, 90,255 2016 MYLTIP Units and 123,979 2017 MYLTIP Units), but excludes an aggregate of 760,207 MYLTIP Units granted between 2018 and 2020.
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even if we enter into an acquisition agreement for a property, we may be unable to complete that acquisition after making a non-refundable deposit and incurring certain other acquisition-related costs;
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we may be unable to obtain or assume financing for acquisitions on favorable terms or at all;
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acquired properties may fail to perform as expected;
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the actual costs of repositioning, redeveloping or maintaining acquired properties may be greater than our estimates;
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the acquisition agreement will likely contain conditions to closing, including completion of due diligence investigations to our satisfaction or other conditions that are not within our control, which may not be satisfied;
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acquired properties may be located in new markets, either within or outside the United States, where we may face risks associated with a lack of market knowledge or understanding of the local economy, lack of business relationships in the area, costs associated with opening a new regional office and unfamiliarity with local governmental and permitting procedures;
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we may acquire real estate through the acquisition of the ownership entity subjecting us to the risks of that entity; and
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we may be unable to quickly and efficiently integrate new acquisitions, particularly acquisitions of portfolios of properties, into our existing operations, and this could have an adverse effect on our results of operations and financial condition.
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liabilities for clean-up of undisclosed environmental contamination;
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claims by tenants, vendors or other persons against the former owners of the properties;
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liabilities incurred in the ordinary course of business; and
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claims for indemnification by general partners, directors, officers and others indemnified by the former owners of the properties.
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we may be unable to acquire a desired property because of competition from other well-capitalized real estate investors, including publicly traded and private REITs, institutional investment funds and other real estate investors; and
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even if we are able to acquire a desired property, competition from other real estate investors may significantly increase the purchase price.
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we could become engaged in a dispute with any of our joint venture partners that might affect our ability to develop, finance or operate a property and could lead to the sale of either parties’ ownership interest or the property;
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some of our joint ventures are subject to debt and in the current credit markets the refinancing of such debt may require equity capital calls;
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our joint venture partners may default on their obligations necessitating that we fulfill their obligation ourselves;
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our joint venture partners may have different objectives than we have regarding the appropriate timing and terms of any sale or refinancing of properties or the commencement of development activities;
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our joint venture partners may be structured differently than us for tax purposes and this could create conflicts of interest;
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our joint venture partners may have competing interests in our markets that could create conflicts of interest;
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our joint ventures may be unable to repay any amounts that we may loan to them; and
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our joint venture agreements may contain provisions limiting the liquidity of our interest for sale or sale of the entire asset.
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our hotel property competes for guests with other hotels, a number of which may have greater marketing and financial resources than our hotel-operating business partners;
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if there is an increase in operating costs resulting from inflation and other factors, our hotel-operating business partners may not be able to offset such increase by increasing room rates;
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our hotel property is subject to the fluctuating and seasonal demands of business travelers and tourism; and
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our hotel property is subject to general and local economic and social conditions that may affect demand for travel in general, including war and terrorism.
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direct obligations issued by the U.S. Treasury;
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obligations issued or guaranteed by the U.S. Government or its agencies;
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taxable municipal securities;
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obligations (including certificates of deposit) of banks and thrifts;
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commercial paper and other instruments consisting of short-term U.S. dollar denominated obligations issued by corporations and banks;
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repurchase agreements collateralized by corporate and asset-backed obligations;
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both registered and unregistered money market funds; and
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other highly rated short-term securities.
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properly manage and maintain the asbestos;
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notify and train those who may come into contact with asbestos; and
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undertake special precautions, including removal or other abatement, if asbestos would be disturbed during renovation or demolition of a building.
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the environmental assessments and updates did not identify or properly address all potential environmental liabilities;
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a prior owner created a material environmental condition that is not known to us or the independent consultants preparing the assessments;
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new environmental liabilities have developed since the environmental assessments were conducted; and
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future uses or conditions such as changes in applicable environmental laws and regulations could result in environmental liability for us.
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disrupt the proper functioning of our networks and systems and therefore our operations and/or those of certain of our tenants;
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result in misstated financial reports, violations of loan covenants, missed reporting deadlines and/or missed permitting deadlines;
|
•
|
result in our inability to properly monitor our compliance with the rules and regulations regarding BXP’s qualification as a REIT;
|
•
|
result in the unauthorized access to, and destruction, loss, theft, misappropriation or release of, proprietary, confidential, sensitive or otherwise valuable information of ours or others, which others could use to compete against us or which could expose us to damage claims by third-parties for disruptive, destructive or otherwise harmful purposes and outcomes;
|
•
|
result in our inability to maintain the building systems relied upon by our tenants for the efficient use of their leased space;
|
•
|
require significant management attention and resources to remedy any damages that result;
|
•
|
subject us to claims for breach of contract, damages, credits, penalties or termination of leases or other agreements; and
|
•
|
damage our reputation among our tenants and investors generally.
|
•
|
BXP would not be allowed a deduction for dividends paid to stockholders in computing its taxable income and would be subject to federal income tax at regular corporate rates;
|
•
|
BXP also could be subject to the federal alternative minimum tax for tax years ending before January 1, 2018 and possibly increased state and local taxes; and
|
•
|
unless BXP is entitled to relief under statutory provisions, BXP could not elect to be subject to tax as a REIT for four taxable years following the year during which it was disqualified.
|
•
|
delay or prevent a change of control over BXP or a tender offer, even if such action might be beneficial to BXP’s stockholders; and
|
•
|
limit BXP’s stockholders’ opportunity to receive a potential premium for their shares of common stock over then-prevailing market prices.
|
•
|
holders of partnership interests in BPLP, including BXP, must vote on the matter;
|
•
|
BXP must vote its partnership interests in the same proportion as its stockholders voted on the transaction; and
|
•
|
the result of the vote of holders of partnership interests in BPLP must be such that had such vote been a vote of stockholders, the business combination would have been approved.
|
•
|
the extent of investor interest in our securities;
|
•
|
the general reputation of REITs and the attractiveness of our equity securities in comparison to other equity securities, including securities issued by other real estate-based companies;
|
•
|
our underlying asset value;
|
•
|
investor confidence in the stock and bond markets, generally;
|
•
|
national economic conditions;
|
•
|
changes in tax laws;
|
•
|
our financial performance;
|
•
|
changes in our credit ratings; and
|
•
|
general stock and bond market conditions, including changes in interest rates.
|
Properties
|
|
Location
|
|
% Leased as of
December 31, 2019 (1) |
|
|
|
Number
of
Buildings
|
|
Net
Rentable
Square Feet
|
|
|
|||
Office
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
767 Fifth Avenue (The GM Building) (60% ownership)
|
|
New York, NY
|
|
89.9
|
%
|
|
|
|
1
|
|
|
1,968,613
|
|
|
|
200 Clarendon Street
|
|
Boston, MA
|
|
96.7
|
%
|
|
|
|
1
|
|
|
1,766,534
|
|
|
|
399 Park Avenue
|
|
New York, NY
|
|
89.1
|
%
|
|
|
|
1
|
|
|
1,575,809
|
|
|
|
601 Lexington Avenue (55% ownership) (2)
|
|
New York, NY
|
|
100.0
|
%
|
|
|
|
1
|
|
|
1,444,272
|
|
|
|
Salesforce Tower
|
|
San Francisco, CA
|
|
99.3
|
%
|
|
|
|
1
|
|
|
1,420,682
|
|
|
|
Times Square Tower (55% ownership)
|
|
New York, NY
|
|
94.7
|
%
|
|
|
|
1
|
|
|
1,248,902
|
|
|
|
100 Federal Street (55% ownership)
|
|
Boston, MA
|
|
98.2
|
%
|
|
|
|
1
|
|
|
1,238,461
|
|
|
|
800 Boylston Street - The Prudential Center
|
|
Boston, MA
|
|
98.2
|
%
|
|
|
|
1
|
|
|
1,235,538
|
|
|
|
Colorado Center (50% ownership) (3)
|
|
Santa Monica, CA
|
|
100.0
|
%
|
|
|
|
6
|
|
|
1,128,600
|
|
|
|
Santa Monica Business Park (55% ownership) (3)
|
|
Santa Monica, CA
|
|
93.5
|
%
|
|
|
|
14
|
|
|
1,102,191
|
|
|
|
599 Lexington Avenue
|
|
New York, NY
|
|
98.2
|
%
|
|
|
|
1
|
|
|
1,062,916
|
|
|
|
Bay Colony Corporate Center
|
|
Waltham, MA
|
|
85.8
|
%
|
|
|
|
4
|
|
|
999,131
|
|
|
|
250 West 55th Street
|
|
New York, NY
|
|
98.6
|
%
|
|
|
|
1
|
|
|
966,965
|
|
|
|
Embarcadero Center Four
|
|
San Francisco, CA
|
|
97.9
|
%
|
|
|
|
1
|
|
|
940,890
|
|
|
|
111 Huntington Avenue - The Prudential Center
|
|
Boston, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
860,455
|
|
|
|
Embarcadero Center One
|
|
San Francisco, CA
|
|
91.1
|
%
|
|
|
|
1
|
|
|
822,122
|
|
|
|
Atlantic Wharf Office (55% ownership)
|
|
Boston, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
793,823
|
|
|
|
Embarcadero Center Two
|
|
San Francisco, CA
|
|
94.9
|
%
|
|
|
|
1
|
|
|
791,712
|
|
|
|
Embarcadero Center Three
|
|
San Francisco, CA
|
|
98.5
|
%
|
|
|
|
1
|
|
|
783,120
|
|
|
|
Metropolitan Square (20% ownership) (3)
|
|
Washington, DC
|
|
59.0
|
%
|
|
|
|
1
|
|
|
641,814
|
|
|
|
Capital Gallery
|
|
Washington, DC
|
|
96.5
|
%
|
|
|
|
1
|
|
|
631,131
|
|
|
|
South of Market
|
|
Reston, VA
|
|
93.1
|
%
|
|
|
|
3
|
|
|
623,271
|
|
|
|
Mountain View Research Park
|
|
Mountain View, CA
|
|
90.1
|
%
|
|
|
|
15
|
|
|
542,289
|
|
|
|
901 New York Avenue (25% ownership) (3)
|
|
Washington, DC
|
|
72.6
|
%
|
|
|
|
1
|
|
|
539,817
|
|
|
|
Reservoir Place
|
|
Waltham, MA
|
|
89.6
|
%
|
|
|
|
1
|
|
|
526,985
|
|
|
|
680 Folsom Street
|
|
San Francisco, CA
|
|
100.0
|
%
|
|
|
|
2
|
|
|
524,793
|
|
|
|
601 and 651 Gateway (4)
|
|
South San Francisco, CA
|
|
74.5
|
%
|
|
|
|
2
|
|
|
509,899
|
|
|
|
101 Huntington Avenue - The Prudential Center
|
|
Boston, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
506,476
|
|
|
|
Fountain Square
|
|
Reston, VA
|
|
76.4
|
%
|
|
|
|
2
|
|
|
498,260
|
|
|
|
145 Broadway
|
|
Cambridge, MA
|
|
98.4
|
%
|
|
|
|
1
|
|
|
483,482
|
|
|
|
601 Massachusetts Avenue
|
|
Washington, DC
|
|
98.9
|
%
|
|
|
|
1
|
|
|
478,818
|
|
|
|
Properties
|
|
Location
|
|
% Leased as of
December 31, 2019 (1) |
|
|
|
Number
of
Buildings
|
|
Net
Rentable
Square Feet
|
|
|
|||
2200 Pennsylvania Avenue
|
|
Washington, DC
|
|
100.0
|
%
|
|
|
|
1
|
|
|
458,831
|
|
|
|
One Freedom Square
|
|
Reston, VA
|
|
92.7
|
%
|
|
|
|
1
|
|
|
432,585
|
|
|
|
Two Freedom Square
|
|
Reston, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
421,757
|
|
|
|
Market Square North (50% ownership) (3)
|
|
Washington, DC
|
|
79.5
|
%
|
|
|
|
1
|
|
|
417,768
|
|
|
|
880 & 890 Winter Street
|
|
Waltham, MA
|
|
84.1
|
%
|
|
|
|
2
|
|
|
392,400
|
|
|
|
The Hub on Causeway - Podium (50% ownership) (3)
|
|
Boston, MA
|
|
91.3
|
%
|
|
|
|
1
|
|
|
382,497
|
|
|
|
140 Kendrick Street
|
|
Needham, MA
|
|
100.0
|
%
|
|
|
|
3
|
|
|
380,987
|
|
|
|
One and Two Discovery Square
|
|
Reston, VA
|
|
97.2
|
%
|
|
|
|
2
|
|
|
366,990
|
|
|
|
888 Boylston Street - The Prudential Center
|
|
Boston, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
363,320
|
|
|
|
Weston Corporate Center
|
|
Weston, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
356,995
|
|
|
|
510 Madison Avenue
|
|
New York, NY
|
|
96.4
|
%
|
|
|
|
1
|
|
|
355,083
|
|
|
|
One Reston Overlook
|
|
Reston, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
319,519
|
|
|
|
535 Mission Street
|
|
San Francisco, CA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
307,235
|
|
|
|
Waltham Weston Corporate Center
|
|
Waltham, MA
|
|
91.6
|
%
|
|
|
|
1
|
|
|
301,607
|
|
|
|
Wisconsin Place Office
|
|
Chevy Chase, MD
|
|
90.0
|
%
|
|
|
|
1
|
|
|
299,186
|
|
|
|
230 CityPoint
|
|
Waltham, MA
|
|
89.9
|
%
|
|
|
|
1
|
|
|
296,212
|
|
|
|
Reston Corporate Center
|
|
Reston, VA
|
|
100.0
|
%
|
|
|
|
2
|
|
|
261,046
|
|
|
|
355 Main Street
|
|
Cambridge, MA
|
|
96.3
|
%
|
|
|
|
1
|
|
|
259,640
|
|
|
|
Democracy Tower
|
|
Reston, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
259,441
|
|
|
|
611 Gateway (4)
|
|
South San Francisco, CA
|
|
71.4
|
%
|
|
|
|
1
|
|
|
258,031
|
|
|
|
New Dominion Technology Park - Building Two (5)
|
|
Herndon, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
257,400
|
|
|
|
1330 Connecticut Avenue
|
|
Washington, DC
|
|
91.7
|
%
|
|
|
|
1
|
|
|
254,011
|
|
|
|
10 CityPoint
|
|
Waltham, MA
|
|
98.1
|
%
|
|
|
|
1
|
|
|
241,199
|
|
|
|
New Dominion Technology Park - Building One (5)
|
|
Herndon, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
235,201
|
|
|
|
510 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
234,160
|
|
|
|
500 North Capitol Street, N.W. (30% ownership) (3)
|
|
Washington, DC
|
|
98.5
|
%
|
|
|
|
1
|
|
|
230,860
|
|
|
|
90 Broadway
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
223,771
|
|
|
|
3625-3635 Peterson Way (6)
|
|
Santa Clara, CA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
218,366
|
|
|
|
255 Main Street
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
215,394
|
|
|
|
77 CityPoint
|
|
Waltham, MA
|
|
91.9
|
%
|
|
|
|
1
|
|
|
209,708
|
|
|
|
Sumner Square
|
|
Washington, DC
|
|
91.8
|
%
|
|
|
|
1
|
|
|
208,892
|
|
|
|
University Place
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
195,282
|
|
|
|
300 Binney Street
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
195,191
|
|
|
|
North First Business Park (6)
|
|
San Jose, CA
|
|
81.1
|
%
|
|
|
|
5
|
|
|
190,636
|
|
|
|
150 Broadway
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
177,226
|
|
|
|
191 Spring Street
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
170,997
|
|
|
|
Lexington Office Park
|
|
Lexington, MA
|
|
72.7
|
%
|
|
|
|
2
|
|
|
166,775
|
|
|
|
206 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
161,763
|
|
|
|
210 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
159,468
|
|
|
|
Kingstowne Two
|
|
Alexandria, VA
|
|
63.3
|
%
|
|
|
|
1
|
|
|
156,089
|
|
|
|
105 Broadway
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
152,664
|
|
|
|
212 Carnegie Center
|
|
Princeton, NJ
|
|
67.5
|
%
|
|
|
|
1
|
|
|
151,547
|
|
|
|
Kingstowne One
|
|
Alexandria, VA
|
|
89.6
|
%
|
|
|
|
1
|
|
|
151,483
|
|
|
|
Properties
|
|
Location
|
|
% Leased as of
December 31, 2019 (1) |
|
|
|
Number
of
Buildings
|
|
Net
Rentable
Square Feet
|
|
|
|||
214 Carnegie Center
|
|
Princeton, NJ
|
|
52.2
|
%
|
|
|
|
1
|
|
|
146,979
|
|
|
|
2440 West El Camino Real
|
|
Mountain View, CA
|
|
87.2
|
%
|
|
|
|
1
|
|
|
141,392
|
|
|
|
506 Carnegie Center
|
|
Princeton, NJ
|
|
66.0
|
%
|
|
|
|
1
|
|
|
140,312
|
|
|
|
200 West Street (7)
|
|
Waltham, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
134,917
|
|
|
|
Two Reston Overlook
|
|
Reston, VA
|
|
75.3
|
%
|
|
|
|
1
|
|
|
134,615
|
|
|
|
508 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
134,433
|
|
|
|
202 Carnegie Center
|
|
Princeton, NJ
|
|
93.5
|
%
|
|
|
|
1
|
|
|
134,381
|
|
|
|
804 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
130,000
|
|
|
|
Annapolis Junction Building Seven (50% ownership) (3)
|
|
Annapolis, MD
|
|
100.0
|
%
|
|
|
|
1
|
|
|
127,229
|
|
|
|
Annapolis Junction Building Eight (50% ownership) (3)
|
|
Annapolis, MD
|
|
—%
|
|
|
|
|
1
|
|
|
125,685
|
|
|
|
504 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
121,990
|
|
|
|
101 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
121,620
|
|
|
|
502 Carnegie Center
|
|
Princeton, NJ
|
|
94.8
|
%
|
|
|
|
1
|
|
|
121,460
|
|
|
|
701 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
120,000
|
|
|
|
Annapolis Junction Building Six (50% ownership) (3)
|
|
Annapolis, MD
|
|
75.2
|
%
|
|
|
|
1
|
|
|
119,339
|
|
|
|
1265 Main Street (50% ownership) (3)
|
|
Waltham, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
114,969
|
|
|
|
7601 Boston Boulevard
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
114,028
|
|
|
|
201 Spring Street
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
106,300
|
|
|
|
7435 Boston Boulevard
|
|
Springfield, VA
|
|
83.4
|
%
|
|
|
|
1
|
|
|
103,557
|
|
|
|
104 Carnegie Center
|
|
Princeton, NJ
|
|
55.1
|
%
|
|
|
|
1
|
|
|
102,830
|
|
|
|
103 Carnegie Center
|
|
Princeton, NJ
|
|
69.8
|
%
|
|
|
|
1
|
|
|
96,332
|
|
|
|
8000 Grainger Court
|
|
Springfield, VA
|
|
—%
|
|
|
|
|
1
|
|
|
88,775
|
|
|
|
33 Hayden Avenue
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
80,872
|
|
|
|
7500 Boston Boulevard
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
79,971
|
|
|
|
7501 Boston Boulevard
|
|
Springfield VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
75,756
|
|
|
|
Reservoir Place North
|
|
Waltham, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
73,258
|
|
|
|
105 Carnegie Center
|
|
Princeton, NJ
|
|
56.3
|
%
|
|
|
|
1
|
|
|
69,955
|
|
|
|
32 Hartwell Avenue
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
69,154
|
|
|
|
250 Binney Street
|
|
Cambridge, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
67,362
|
|
|
|
302 Carnegie Center
|
|
Princeton, NJ
|
|
89.3
|
%
|
|
|
|
1
|
|
|
64,926
|
|
|
|
195 West Street
|
|
Waltham, MA
|
|
—%
|
|
|
|
|
1
|
|
|
63,500
|
|
|
|
7450 Boston Boulevard
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
62,402
|
|
|
|
7374 Boston Boulevard
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
57,321
|
|
|
|
100 Hayden Avenue
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
55,924
|
|
|
|
181 Spring Street
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
55,793
|
|
|
|
8000 Corporate Court
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
52,539
|
|
|
|
211 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
1
|
|
|
47,025
|
|
|
|
7451 Boston Boulevard
|
|
Springfield, VA
|
|
67.4
|
%
|
|
|
|
1
|
|
|
45,615
|
|
|
|
7300 Boston Boulevard
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
32,000
|
|
|
|
92 Hayden Avenue
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
31,100
|
|
|
|
17 Hartwell Avenue
|
|
Lexington, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
30,000
|
|
|
|
453 Ravendale Drive
|
|
Mountain View, CA
|
|
85.8
|
%
|
|
|
|
1
|
|
|
29,620
|
|
|
|
7375 Boston Boulevard
|
|
Springfield, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
26,865
|
|
|
|
690 Folsom Street
|
|
San Francisco, CA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
26,080
|
|
|
|
201 Carnegie Center
|
|
Princeton, NJ
|
|
100.0
|
%
|
|
|
|
—
|
|
|
6,500
|
|
|
|
Properties
|
|
Location
|
|
% Leased as of
December 31, 2019 (1) |
|
|
|
Number
of
Buildings
|
|
Net
Rentable
Square Feet
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Subtotal for Office Properties
|
|
93.0
|
%
|
|
|
|
168
|
|
|
43,991,665
|
|
|
|
||
Retail
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Prudential Center (retail shops)
|
|
Boston, MA
|
|
99.0
|
%
|
|
|
|
1
|
|
|
595,212
|
|
|
|
Fountain Square Retail
|
|
Reston, VA
|
|
90.1
|
%
|
|
|
|
1
|
|
|
220,503
|
|
|
|
Kingstowne Retail
|
|
Alexandria, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
88,288
|
|
|
|
Santa Monica Business Park Retail (55% ownership) (3)
|
|
Santa Monica, CA
|
|
92.3
|
%
|
|
|
|
7
|
|
|
74,242
|
|
|
|
Star Market at the Prudential Center
|
|
Boston, MA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
57,235
|
|
|
|
The Point
|
|
Waltham, MA
|
|
84.7
|
%
|
|
|
|
1
|
|
|
16,300
|
|
|
|
Subtotal for Retail Properties
|
|
96.6
|
%
|
|
|
|
12
|
|
|
1,051,780
|
|
|
|
||
Residential Properties
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Signature at Reston (508 units)
|
|
Reston, VA
|
|
78.0
|
%
|
|
(8)
|
|
1
|
|
|
517,783
|
|
|
|
The Avant at Reston Town Center (359 units)
|
|
Reston, VA
|
|
90.0
|
%
|
|
(9)
|
|
1
|
|
|
355,374
|
|
|
|
Proto Kendall Square (280 units)
|
|
Cambridge, MA
|
|
97.1
|
%
|
|
(9)
|
|
1
|
|
|
166,717
|
|
|
|
The Lofts at Atlantic Wharf (86 units)
|
|
Boston, MA
|
|
96.5
|
%
|
|
(9)
|
|
1
|
|
|
87,097
|
|
|
|
Subtotal for Residential Properties
|
|
87.1
|
%
|
|
|
|
4
|
|
|
1,126,971
|
|
|
(10)
|
||
Hotel Property
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Boston Marriott Cambridge (437 rooms)
|
|
Cambridge, MA
|
|
83.8
|
%
|
|
(11)
|
|
1
|
|
|
334,260
|
|
|
(12)
|
Subtotal for Hotel Property
|
|
|
|
83.8
|
%
|
|
|
|
1
|
|
|
334,260
|
|
|
|
Subtotal for In-Service Properties
|
|
93.0
|
%
|
|
|
|
185
|
|
|
46,504,676
|
|
|
|
||
Properties Under Construction/Redevelopment (13)
|
|
|
|
|
|
|
|
|
|
|
|||||
Office
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
17Fifty Presidents Street
|
|
Reston, VA
|
|
100.0
|
%
|
|
|
|
1
|
|
|
276,000
|
|
|
|
20 CityPoint
|
|
Waltham, MA
|
|
63.0
|
%
|
|
|
|
1
|
|
|
211,000
|
|
|
|
Dock 72 (50% ownership) (3)
|
|
Brooklyn, NY
|
|
33.0
|
%
|
|
|
|
1
|
|
|
670,000
|
|
|
|
325 Main Street
|
|
Cambridge, MA
|
|
90.0
|
%
|
|
|
|
1
|
|
|
420,000
|
|
|
|
100 Causeway Street (50% ownership) (3)
|
|
Boston, MA
|
|
94.0
|
%
|
|
|
|
1
|
|
|
632,000
|
|
|
|
7750 Wisconsin Avenue (Marriott International Headquarters) (50% ownership) (3)
|
|
Bethesda, MD
|
|
100.0
|
%
|
|
|
|
1
|
|
|
734,000
|
|
|
|
Reston Gateway
|
|
Reston, VA
|
|
80.0
|
%
|
|
|
|
2
|
|
|
1,062,000
|
|
|
|
2100 Pennsylvania Avenue
|
|
Washington, DC
|
|
61.0
|
%
|
|
|
|
1
|
|
|
469,000
|
|
|
|
Redevelopment
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
One Five Nine East 53rd Street (55% ownership) (14)
|
|
New York, NY
|
|
96.0
|
%
|
|
|
|
—
|
|
|
220,000
|
|
|
|
200 West Street (15)
|
|
Waltham, MA
|
|
—
|
%
|
|
|
|
—
|
|
|
126,000
|
|
|
|
Residential
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Hub50House (The Hub on Causeway - Residential) (440 units) (50% ownership) (3)
|
|
Boston, MA
|
|
37.0
|
%
|
|
|
|
1
|
|
|
320,000
|
|
|
|
The Skylyne (MacArthur Station Residences) (402 units) (16)
|
|
Oakland, CA
|
|
—
|
%
|
|
|
|
1
|
|
|
324,000
|
|
|
|
Properties
|
|
Location
|
|
% Leased as of
December 31, 2019 (1) |
|
|
|
Number
of
Buildings
|
|
Net
Rentable
Square Feet
|
|
|
|||
Subtotal for Properties Under Construction/Redevelopment
|
|
76.0
|
%
|
|
(17)
|
|
11
|
|
|
5,464,000
|
|
|
|
||
Total Portfolio
|
|
|
|
|
|
|
|
196
|
|
|
51,968,676
|
|
|
|
(1)
|
Represents signed leases for in-service properties which revenue recognition has commenced in accordance with accounting principles generally accepted in the United States (“GAAP”).
|
(2)
|
Excludes the portion that was removed from the in-service portfolio during the third quarter of 2016 as part of a planned redevelopment.
|
(3)
|
Property is an unconsolidated joint venture.
|
(4)
|
On January 28, 2020, we entered into a joint venture with a third party and contributed these properties (See Note 19 to the Consolidated Financial Statements).
|
(5)
|
On February 20, 2020, we completed the sale of this property (See Note 19 to the Consolidated Financial Statements).
|
(6)
|
Property is held for redevelopment.
|
(7)
|
Excludes the portion that was removed from the in-service portfolio during the third quarter of 2019 as part of a planned redevelopment.
|
(8)
|
This project was completed and fully placed in-service on June 7, 2018 and is still in its initial lease-up period. Percentage leased is not included in the calculation of the Total Portfolio occupancy rate for In-Service Properties as of December 31, 2019.
|
(9)
|
Percentage leased is not included in the calculation of the Total Portfolio occupancy rate for In-Service Properties as of December 31, 2019.
|
(10)
|
Includes 74,865 square feet of retail space which is approximately 97.0% leased as of December 31, 2019. Note that this amount is not included in the calculation of the Total Portfolio occupancy rate for In-Service Properties as of December 31, 2019.
|
(11)
|
Represents the weighted-average room occupancy for the year ended December 31, 2019. Note that this amount is not included in the calculation of the Total Portfolio occupancy rate for In-Service Properties as of December 31, 2019.
|
(12)
|
Includes 4,260 square feet of retail space which is 100% leased as of December 31, 2019. Note that this amount is not included in the calculation of the Total Portfolio occupancy rate for In-Service Properties as of December 31, 2019.
|
(13)
|
Represents percentage leased as of February 21, 2020, including leases with future commencement dates.
|
(14)
|
The low-rise portion of 601 Lexington Avenue.
|
(15)
|
Represents a portion of the property under redevelopment for conversion to laboratory space.
|
(16)
|
This project is subject to a 99-year ground lease (including extension options) with an option to purchase in the future.
|
(17)
|
Excludes residential units.
|
|
|
December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
Percentage leased (1)
|
|
93.0
|
%
|
|
91.4
|
%
|
|
90.7
|
%
|
|
90.2
|
%
|
|
91.4
|
%
|
|||||
Average annualized revenue per square foot (2)
|
|
|
$69.72
|
|
|
|
$66.63
|
|
|
|
$63.66
|
|
|
|
$62.54
|
|
|
|
$60.89
|
|
(1)
|
Represents signed leases, excluding hotel and residential properties, for which revenue recognition has commenced in accordance with GAAP.
|
(2)
|
Represents the monthly contractual base rents and recoveries from tenants under existing leases as of December 31, 2019, 2018, 2017, 2016 and 2015 multiplied by twelve. These annualized amounts are before rent abatements and include expense reimbursements, which may be estimates as of such date. The aggregate amounts of rent abatements per square foot under existing leases as of December 31, 2019, 2018, 2017, 2016 and 2015 for the succeeding twelve-month period were $1.70, $0.97, $1.67, $1.18 and $0.60, respectively.
|
|
|
Tenant
|
|
Square Feet
|
|
|
|
% of In-Service Portfolio
|
||
1.
|
|
U.S. Government
|
|
1,387,368
|
|
|
(1)
|
|
3.07
|
%
|
2.
|
|
salesforce.com
|
|
885,738
|
|
|
|
|
1.96
|
%
|
3.
|
|
Arnold & Porter Kaye Scholer
|
|
804,200
|
|
|
|
|
1.78
|
%
|
4.
|
|
Biogen
|
|
772,212
|
|
|
|
|
1.71
|
%
|
5.
|
|
WeWork
|
|
734,515
|
|
|
(2)
|
|
1.63
|
%
|
6.
|
|
Akamai Technologies
|
|
671,210
|
|
|
|
|
1.49
|
%
|
7.
|
|
Kirkland & Ellis
|
|
645,130
|
|
|
(3)
|
|
1.43
|
%
|
8.
|
|
Wellington Management
|
|
628,336
|
|
|
(4)
|
|
1.39
|
%
|
9.
|
|
Bank of America
|
|
618,908
|
|
|
(5)
|
|
1.37
|
%
|
10.
|
|
Ropes & Gray
|
|
539,467
|
|
|
|
|
1.20
|
%
|
11.
|
|
Shearman & Sterling
|
|
506,237
|
|
|
(6)
|
|
1.12
|
%
|
12.
|
|
Google
|
|
476,285
|
|
|
|
|
1.06
|
%
|
13.
|
|
Weil Gotshal & Manges
|
|
469,763
|
|
|
(7)
|
|
1.04
|
%
|
14.
|
|
O’Melveny & Myers
|
|
458,399
|
|
|
(8)
|
|
1.02
|
%
|
15.
|
|
Snap
|
|
386,302
|
|
|
(9)
|
|
0.86
|
%
|
16.
|
|
Ann Inc. (fka Ann Taylor Corp.)
|
|
368,463
|
|
|
(10)
|
|
0.82
|
%
|
17.
|
|
Bechtel Corporation
|
|
365,606
|
|
|
|
|
0.81
|
%
|
18.
|
|
Blue Cross Blue Shield
|
|
347,618
|
|
|
|
|
0.77
|
%
|
19.
|
|
Mass Financial Services
|
|
336,981
|
|
|
|
|
0.75
|
%
|
20.
|
|
Finnegan Henderson Farabow
|
|
321,798
|
|
|
(11)
|
|
0.71
|
%
|
(1)
|
Includes 157,029 square feet of space in properties in which we have a 50% interest.
|
(2)
|
Includes 221,607 and 226,493 square feet of space in properties in which we have a 50% and 20% interest, respectively.
|
(3)
|
Includes 584,138 square feet of space in a property in which we have a 55% interest.
|
(4)
|
Includes 618,297 square feet of space in properties in which we have a 55% interest.
|
(5)
|
Includes 50,887 and 540,555 square feet of space n properties in which we have a 60% and 55% interest, respectively
|
(6)
|
Includes 43,661 square feet of space in a property in which we have a 50% interest.
|
(7)
|
Includes 441,616 and 28,147 square feet of space in properties in which we have a 60% and 55% interest, respectively.
|
(8)
|
Includes 304,619 square feet of space in a property in which we have a 55% interest.
|
(9)
|
Includes 386,302 square feet of space in properties in which we have a 55% interest.
|
(10)
|
Includes 351,865 square feet of space in a property in which we have a 55% interest.
|
(11)
|
Includes 251,941 square feet of space in a property in which we have a 25% interest.
|
Sector
|
% of In-Service Portfolio
|
Media & Technology
|
29%
|
Legal Services
|
18%
|
Financial Services - all other
|
13%
|
Other Professional Services
|
9%
|
Financial Services - commercial and investment banking
|
7%
|
Real Estate & Insurance
|
6%
|
Retail
|
6%
|
Government / Public Administration
|
4%
|
Manufacturing
|
4%
|
Other
|
4%
|
Year of Lease Expiration
|
|
Rentable Square Feet Subject to Expiring Leases
|
|
Current Annualized Contractual Rent Under Expiring Leases Without Future Step-Ups (3)
|
|
Current Annualized Contractual Rent Under Expiring Leases Without Future Step-Ups p.s.f. (3)
|
|
Current Annualized Contractual Rent Under Expiring Leases With Future Step-Ups (4)
|
|
Current Annualized Contractual Rent Under Expiring Leases With Future Step-Ups p.s.f. (4)
|
|
Percentage of Total Square Feet
|
||||||||||
2019 (5)
|
|
68,540
|
|
|
|
$3,453,938
|
|
|
|
$50.39
|
|
|
|
$3,453,938
|
|
|
|
$50.39
|
|
|
0.15
|
%
|
2020
|
|
2,995,401
|
|
|
166,021,728
|
|
|
55.43
|
|
|
168,815,044
|
|
|
56.36
|
|
|
6.64
|
%
|
||||
2021
|
|
3,250,457
|
|
|
184,136,598
|
|
|
56.65
|
|
|
188,866,373
|
|
|
58.10
|
|
|
7.20
|
%
|
||||
2022
|
|
3,000,032
|
|
|
198,857,226
|
|
|
66.29
|
|
|
201,635,554
|
|
|
67.21
|
|
|
6.65
|
%
|
||||
2023
|
|
2,185,651
|
|
|
150,167,410
|
|
|
68.71
|
|
|
161,262,374
|
|
|
73.78
|
|
|
4.84
|
%
|
||||
2024
|
|
3,638,013
|
|
|
229,171,879
|
|
|
62.99
|
|
|
240,776,440
|
|
|
66.18
|
|
|
8.06
|
%
|
||||
2025
|
|
2,611,465
|
|
|
168,851,778
|
|
|
64.66
|
|
|
186,914,235
|
|
|
71.57
|
|
|
5.79
|
%
|
||||
2026
|
|
3,296,431
|
|
|
266,086,676
|
|
|
80.72
|
|
|
289,154,142
|
|
|
87.72
|
|
|
7.31
|
%
|
||||
2027
|
|
2,118,228
|
|
|
146,581,523
|
|
|
69.20
|
|
|
166,426,392
|
|
|
78.57
|
|
|
4.69
|
%
|
||||
2028
|
|
2,679,079
|
|
|
183,296,314
|
|
|
68.42
|
|
|
210,390,846
|
|
|
78.53
|
|
|
5.94
|
%
|
||||
Thereafter
|
|
16,124,682
|
|
|
1,216,366,302
|
|
|
75.44
|
|
|
1,517,817,212
|
|
|
94.13
|
|
|
35.74
|
%
|
(1)
|
Includes 100% of unconsolidated joint venture properties. Does not include residential units or the hotel.
|
(2)
|
Does not include data for leases expiring in a particular year when leases for the same space have already been signed with replacement tenants with future commencement dates. In those cases, the data is included in the year in which the future lease with the replacement tenant expires.
|
(3)
|
Represents the monthly contractual base rent and recoveries from tenants under existing leases as of December 31, 2019 multiplied by twelve. This amount reflects total rent before any rent abatements and includes expense reimbursements, which may be estimates as of such date.
|
(4)
|
Represents the monthly contractual base rent under expiring leases with future contractual increases upon expiration and recoveries from tenants under existing leases as of December 31, 2019 multiplied by twelve. This amount reflects total rent before any rent abatements and includes expense reimbursements, which may be estimates as of such date.
|
(5)
|
Represents leases that expired on December 31, 2019.
|
|
|
As of the year ended December 31,
|
||||||||||||||||||||||
|
|
2014
|
|
2015
|
|
2016
|
|
2017
|
|
2018
|
|
2019
|
||||||||||||
Boston Properties, Inc.
|
|
$
|
100.00
|
|
|
$
|
102.13
|
|
|
$
|
102.85
|
|
|
$
|
108.92
|
|
|
$
|
97.06
|
|
|
$
|
122.38
|
|
S&P 500 Index
|
|
$
|
100.00
|
|
|
$
|
101.38
|
|
|
$
|
113.51
|
|
|
$
|
138.29
|
|
|
$
|
132.23
|
|
|
$
|
173.86
|
|
Equity REIT Index
|
|
$
|
100.00
|
|
|
$
|
102.83
|
|
|
$
|
111.70
|
|
|
$
|
121.39
|
|
|
$
|
116.48
|
|
|
$
|
149.86
|
|
Office REIT Index
|
|
$
|
100.00
|
|
|
$
|
100.29
|
|
|
$
|
113.49
|
|
|
$
|
119.45
|
|
|
$
|
102.13
|
|
|
$
|
134.22
|
|
Period
|
|
(a)
Total Number of Shares of Common Stock
Purchased
|
|
(b)
Average Price Paid per Common Share
|
|
(c)
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
|
|
(d)
Maximum Number (or Approximate Dollar Value) of Shares that May Yet be Purchased
|
|||
October 1, 2019 - October 31, 2019
|
|
—
|
|
|
$
|
—
|
|
|
N/A
|
|
N/A
|
November 1, 2019 - November 30, 2019
|
|
63
|
|
(1)
|
0.01
|
|
|
N/A
|
|
N/A
|
|
December 1, 2019 - December 31, 2019
|
|
—
|
|
|
—
|
|
|
N/A
|
|
N/A
|
|
Total
|
|
63
|
|
|
$
|
0.01
|
|
|
N/A
|
|
N/A
|
(1)
|
Represents shares of restricted common stock of BXP repurchased in connection with the termination of an employee’s employment with BXP. Under the terms of the applicable restricted stock award agreement, the shares were repurchased by BXP at a price of $0.01 per share, which was the amount originally paid by such employee for such shares.
|
Period
|
|
(a)
Total Number of Units
Purchased
|
|
(b)
Average Price Paid per Unit
|
|
(c)
Total Number of Units Purchased as Part of Publicly Announced Plans or Programs
|
|
(d)
Maximum Number (or Approximate Dollar Value) of Units that May Yet be Purchased
|
|||
October 1, 2019 - October 31, 2019
|
|
—
|
|
|
$
|
—
|
|
|
N/A
|
|
N/A
|
November 1, 2019 - November 30, 2019
|
|
215
|
|
(1)
|
0.18
|
|
|
N/A
|
|
N/A
|
|
December 1, 2019 - December 31, 2019
|
|
—
|
|
|
—
|
|
|
N/A
|
|
N/A
|
|
Total
|
|
215
|
|
|
$
|
0.18
|
|
|
N/A
|
|
N/A
|
(1)
|
Includes 63 common units previously held by BXP that were redeemed in connection with the repurchase of shares of restricted common stock of BXP in connection with the termination of an employee’s employment with BXP and 152 LTIP units that were repurchased by BPLP in connection with the termination of certain employees’ employment with BXP.
|
|
|
For the year ended December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands, except per share data)
|
||||||||||||||||||
Statement of Operations Information:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total revenue
|
|
$
|
2,960,562
|
|
|
$
|
2,717,076
|
|
|
$
|
2,602,076
|
|
|
$
|
2,550,820
|
|
|
$
|
2,490,821
|
|
Expenses:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Rental operating
|
|
1,050,010
|
|
|
979,151
|
|
|
929,977
|
|
|
889,768
|
|
|
872,252
|
|
|||||
Hotel operating
|
|
34,004
|
|
|
33,863
|
|
|
32,059
|
|
|
31,466
|
|
|
32,084
|
|
|||||
General and administrative
|
|
140,777
|
|
|
121,722
|
|
|
113,715
|
|
|
105,229
|
|
|
96,319
|
|
|||||
Payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Transaction costs
|
|
1,984
|
|
|
1,604
|
|
|
668
|
|
|
2,387
|
|
|
1,259
|
|
|||||
Depreciation and amortization
|
|
677,764
|
|
|
645,649
|
|
|
617,547
|
|
|
694,403
|
|
|
639,542
|
|
|||||
Total expenses
|
|
1,914,925
|
|
|
1,791,579
|
|
|
1,693,966
|
|
|
1,723,253
|
|
|
1,641,456
|
|
|||||
Other income (expense):
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income from unconsolidated joint ventures
|
|
46,592
|
|
|
2,222
|
|
|
11,232
|
|
|
8,074
|
|
|
22,770
|
|
|||||
Gain on sale of investment in unconsolidated joint venture
|
|
—
|
|
|
—
|
|
|
—
|
|
|
59,370
|
|
|
—
|
|
|||||
Gains on sales of real estate
|
|
709
|
|
|
182,356
|
|
|
7,663
|
|
|
80,606
|
|
|
375,895
|
|
|||||
Interest and other income
|
|
18,939
|
|
|
10,823
|
|
|
5,783
|
|
|
7,230
|
|
|
6,777
|
|
|||||
Gains (losses) from investments in securities
|
|
6,417
|
|
|
(1,865
|
)
|
|
3,678
|
|
|
2,273
|
|
|
(653
|
)
|
|||||
Gains (losses) from early extinguishments of debt
|
|
(29,540
|
)
|
|
(16,490
|
)
|
|
496
|
|
|
(371
|
)
|
|
(22,040
|
)
|
|||||
Impairment losses
|
|
(24,038
|
)
|
|
(11,812
|
)
|
|
—
|
|
|
(1,783
|
)
|
|
—
|
|
|||||
Losses from interest rate contracts
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(140
|
)
|
|
—
|
|
|||||
Interest expense
|
|
(412,717
|
)
|
|
(378,168
|
)
|
|
(374,481
|
)
|
|
(412,849
|
)
|
|
(432,196
|
)
|
|||||
Net income
|
|
651,999
|
|
|
712,563
|
|
|
562,481
|
|
|
569,977
|
|
|
799,918
|
|
|||||
Net income attributable to noncontrolling interests
|
|
(130,465
|
)
|
|
(129,716
|
)
|
|
(100,042
|
)
|
|
(57,192
|
)
|
|
(216,812
|
)
|
|||||
Net income attributable to Boston Properties, Inc.
|
|
521,534
|
|
|
582,847
|
|
|
462,439
|
|
|
512,785
|
|
|
583,106
|
|
|||||
Preferred dividends
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
|
$
|
511,034
|
|
|
$
|
572,347
|
|
|
$
|
451,939
|
|
|
$
|
502,285
|
|
|
$
|
572,606
|
|
Basic earnings per common share attributable to Boston Properties, Inc.:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income
|
|
$
|
3.31
|
|
|
$
|
3.71
|
|
|
$
|
2.93
|
|
|
$
|
3.27
|
|
|
$
|
3.73
|
|
Weighted average number of common shares outstanding
|
|
154,582
|
|
|
154,427
|
|
|
154,190
|
|
|
153,715
|
|
|
153,471
|
|
|||||
Diluted earnings per common share attributable to Boston Properties, Inc.:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income
|
|
$
|
3.30
|
|
|
$
|
3.70
|
|
|
$
|
2.93
|
|
|
$
|
3.26
|
|
|
$
|
3.72
|
|
Weighted average number of common and common equivalent shares outstanding
|
|
154,883
|
|
|
154,682
|
|
|
154,390
|
|
|
153,977
|
|
|
153,844
|
|
|
|
December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands)
|
||||||||||||||||||
Balance Sheet information:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Real estate, gross
|
|
$
|
22,889,010
|
|
|
$
|
21,649,896
|
|
|
$
|
21,096,642
|
|
|
$
|
20,147,263
|
|
|
$
|
19,481,535
|
|
Real estate, net
|
|
17,622,212
|
|
|
16,752,119
|
|
|
16,507,008
|
|
|
15,925,028
|
|
|
15,555,641
|
|
|||||
Cash and cash equivalents
|
|
644,950
|
|
|
543,359
|
|
|
434,767
|
|
|
356,914
|
|
|
723,718
|
|
|||||
Total assets (1)
|
|
21,284,905
|
|
|
20,256,477
|
|
|
19,372,233
|
|
|
18,851,643
|
|
|
18,351,486
|
|
|||||
Total indebtedness (1)
|
|
11,811,806
|
|
|
11,007,757
|
|
|
10,271,611
|
|
|
9,796,133
|
|
|
9,188,543
|
|
|||||
Redeemable deferred stock units
|
|
8,365
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Stockholders’ equity attributable to Boston Properties, Inc.
|
|
5,684,687
|
|
|
5,883,171
|
|
|
5,813,957
|
|
|
5,786,295
|
|
|
5,709,435
|
|
|||||
Equity noncontrolling interests
|
|
2,329,549
|
|
|
2,330,797
|
|
|
2,288,499
|
|
|
2,145,629
|
|
|
2,177,492
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
For the year ended December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands, except per share and percentage data)
|
||||||||||||||||||
Other Information:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Funds from Operations attributable to Boston Properties, Inc. common shareholders (2)
|
|
$
|
1,085,844
|
|
|
$
|
974,489
|
|
|
$
|
959,412
|
|
|
$
|
927,747
|
|
|
$
|
823,715
|
|
Dividends declared per share (3)
|
|
3.83
|
|
|
3.50
|
|
|
3.05
|
|
|
2.70
|
|
|
3.85
|
|
|||||
Cash flows provided by operating activities (4)
|
|
1,181,165
|
|
|
1,150,245
|
|
|
911,979
|
|
|
1,034,548
|
|
|
817,898
|
|
|||||
Cash flows used in investing activities (4)
|
|
(1,015,091
|
)
|
|
(1,098,876
|
)
|
|
(882,044
|
)
|
|
(1,337,347
|
)
|
|
(711,980
|
)
|
|||||
Cash flows provided by (used in) financing activities (4)
|
|
(113,379
|
)
|
|
82,453
|
|
|
55,346
|
|
|
(74,621
|
)
|
|
(1,558,810
|
)
|
|||||
Total square feet at end of year (including development projects)
|
|
51,969
|
|
|
51,586
|
|
|
50,339
|
|
|
47,704
|
|
|
46,495
|
|
|||||
In-service percentage leased at end of year
|
|
93.0
|
%
|
|
91.4
|
%
|
|
90.7
|
%
|
|
90.2
|
%
|
|
91.4
|
%
|
(1)
|
On January 1, 2016, we adopted Accounting Standards Update (“ASU”) 2015-03 and retrospectively applied the guidance to our Mortgage Notes Payable and Unsecured Senior Notes for all periods presented. Unamortized deferred financing costs, with the exception of December 31, 2019, 2018, 2017 and 2016, were previously included in Total Assets totaling approximately $28.0 million are now included in Total Indebtedness as of December 31, 2015.
|
(2)
|
Pursuant to the revised definition of Funds from Operations adopted by the Board of Governors of Nareit, we calculate Funds from Operations, or “FFO,” for BXP by adjusting net income attributable to Boston Properties, Inc. common shareholders (computed in accordance with GAAP) for gains (or losses) from sales of properties, impairment losses on depreciable real estate consolidated on BXP’s balance sheet, impairment losses on our investments in unconsolidated joint ventures driven by a measurable decrease in the fair value of depreciable real estate held by the unconsolidated joint ventures and our share of real estate-related depreciation and amortization. FFO is a non-GAAP financial measure. We believe the presentation of FFO, combined with the presentation of required GAAP financial measures, has improved the understanding of operating results of REITs among the investing public and has helped make comparisons of REIT operating results more meaningful. Management generally considers FFO to be a useful measure for understanding and comparing BXP’s operating results because, by excluding gains and losses related to sales of previously depreciated operating real estate assets, impairment losses and real estate asset depreciation and amortization (which can differ across owners of similar assets in similar condition based on historical cost accounting and useful life estimates), FFO can help investors compare the operating performance of a company’s real estate across reporting periods and to the operating performance of other companies. Amount represents BXP’s share, which was 89.77%, 89.83%, 89.82%, 89.70% and 89.68% for the years ended December 31, 2019, 2018, 2017, 2016 and 2015, respectively, after allocation to the noncontrolling interests.
|
(3)
|
Includes a special dividend of $1.25 per share paid on January 28, 2016 to shareholders of record as of the close of business on December 31, 2015.
|
(4)
|
On January 1, 2018, we adopted ASU 2016-15 and ASU 2016-18 and retrospectively applied the guidance to our Consolidated Statements of Cash Flows for all periods presented. The adoption of ASU 2016-15 and ASU 2016-18 required us to include Cash Held in Escrows with Cash and Cash Equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the Consolidated Statements of Cash Flows and required us to classify debt prepayment and extinguishment costs as a component of financing activities instead of as a component of operating activities in our Consolidated Statements of Cash Flows resulting in changes to the reported amounts of cash flows provided by (used in) operating, investing and financing activities.
|
|
|
For the year ended December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands, except per unit data)
|
||||||||||||||||||
Statement of Operations Information:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total revenue
|
|
$
|
2,960,562
|
|
|
$
|
2,717,076
|
|
|
$
|
2,602,076
|
|
|
$
|
2,550,820
|
|
|
$
|
2,490,821
|
|
Expenses:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Rental operating
|
|
1,050,010
|
|
|
979,151
|
|
|
929,977
|
|
|
889,768
|
|
|
872,252
|
|
|||||
Hotel operating
|
|
34,004
|
|
|
33,863
|
|
|
32,059
|
|
|
31,466
|
|
|
32,084
|
|
|||||
General and administrative
|
|
140,777
|
|
|
121,722
|
|
|
113,715
|
|
|
105,229
|
|
|
96,319
|
|
|||||
Payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Transaction costs
|
|
1,984
|
|
|
1,604
|
|
|
668
|
|
|
2,387
|
|
|
1,259
|
|
|||||
Depreciation and amortization
|
|
669,956
|
|
|
637,891
|
|
|
609,407
|
|
|
682,776
|
|
|
631,549
|
|
|||||
Total expenses
|
|
1,907,117
|
|
|
1,783,821
|
|
|
1,685,826
|
|
|
1,711,626
|
|
|
1,633,463
|
|
|||||
Other income (expense):
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income from unconsolidated joint ventures
|
|
46,592
|
|
|
2,222
|
|
|
11,232
|
|
|
8,074
|
|
|
22,770
|
|
|||||
Gain on sale of investment in unconsolidated joint venture
|
|
—
|
|
|
—
|
|
|
—
|
|
|
59,370
|
|
|
—
|
|
|||||
Gains on sales of real estate
|
|
858
|
|
|
190,716
|
|
|
8,240
|
|
|
82,775
|
|
|
377,093
|
|
|||||
Interest and other income
|
|
18,939
|
|
|
10,823
|
|
|
5,783
|
|
|
7,230
|
|
|
6,777
|
|
|||||
Gains (losses) from investments in securities
|
|
6,417
|
|
|
(1,865
|
)
|
|
3,678
|
|
|
2,273
|
|
|
(653
|
)
|
|||||
Gains (losses) from early extinguishments of debt
|
|
(29,540
|
)
|
|
(16,490
|
)
|
|
496
|
|
|
(371
|
)
|
|
(22,040
|
)
|
|||||
Impairment losses
|
|
(22,272
|
)
|
|
(10,181
|
)
|
|
—
|
|
|
(1,783
|
)
|
|
—
|
|
|||||
Losses from interest rate contracts
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(140
|
)
|
|
—
|
|
|||||
Interest expense
|
|
(412,717
|
)
|
|
(378,168
|
)
|
|
(374,481
|
)
|
|
(412,849
|
)
|
|
(432,196
|
)
|
|||||
Net income
|
|
661,722
|
|
|
730,312
|
|
|
571,198
|
|
|
583,773
|
|
|
809,109
|
|
|||||
Net income attributable to noncontrolling interests:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Noncontrolling interests in property partnerships
|
|
(71,120
|
)
|
|
(62,909
|
)
|
|
(47,832
|
)
|
|
2,068
|
|
|
(149,855
|
)
|
|||||
Noncontrolling interest-redeemable preferred units
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6
|
)
|
|||||
Net income attributable to Boston Properties Limited Partnership
|
|
590,602
|
|
|
667,403
|
|
|
523,366
|
|
|
585,841
|
|
|
659,248
|
|
|||||
Preferred distributions
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
|
$
|
580,102
|
|
|
$
|
656,903
|
|
|
$
|
512,866
|
|
|
$
|
575,341
|
|
|
$
|
648,748
|
|
Basic earnings per common unit attributable to Boston Properties Limited Partnership:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income
|
|
$
|
3.37
|
|
|
$
|
3.82
|
|
|
$
|
2.99
|
|
|
$
|
3.36
|
|
|
$
|
3.79
|
|
Weighted average number of common units outstanding
|
|
172,200
|
|
|
171,912
|
|
|
171,661
|
|
|
171,361
|
|
|
171,139
|
|
|||||
Diluted earnings per common unit attributable to Boston Properties Limited Partnership:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net income
|
|
$
|
3.36
|
|
|
$
|
3.81
|
|
|
$
|
2.98
|
|
|
$
|
3.35
|
|
|
$
|
3.78
|
|
Weighted average number of common and common equivalent units outstanding
|
|
172,501
|
|
|
172,167
|
|
|
171,861
|
|
|
171,623
|
|
|
171,512
|
|
|
|
December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands)
|
||||||||||||||||||
Balance Sheet information:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Real estate, gross
|
|
$
|
22,493,789
|
|
|
$
|
21,251,540
|
|
|
$
|
20,685,164
|
|
|
$
|
19,733,872
|
|
|
$
|
19,061,141
|
|
Real estate, net
|
|
17,330,881
|
|
|
16,451,065
|
|
|
16,188,205
|
|
|
15,597,508
|
|
|
15,214,325
|
|
|||||
Cash and cash equivalents
|
|
644,950
|
|
|
543,359
|
|
|
434,767
|
|
|
356,914
|
|
|
723,718
|
|
|||||
Total assets (1)
|
|
20,993,574
|
|
|
19,955,423
|
|
|
19,053,430
|
|
|
18,524,123
|
|
|
18,010,170
|
|
|||||
Total indebtedness (1)
|
|
11,811,806
|
|
|
11,007,757
|
|
|
10,271,611
|
|
|
9,796,133
|
|
|
9,188,543
|
|
|||||
Noncontrolling interests
|
|
2,468,753
|
|
|
2,000,591
|
|
|
2,292,263
|
|
|
2,262,040
|
|
|
2,286,689
|
|
|||||
Redeemable deferred stock units
|
|
8,365
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Boston Properties Limited Partnership partners’ capital
|
|
3,525,463
|
|
|
4,200,878
|
|
|
3,807,630
|
|
|
3,811,717
|
|
|
3,684,522
|
|
|||||
Noncontrolling interests in property partnerships
|
|
1,728,689
|
|
|
1,711,445
|
|
|
1,683,760
|
|
|
1,530,647
|
|
|
1,574,400
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
For the year ended December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands, except per unit and percentage data)
|
||||||||||||||||||
Other Information:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Funds from operations attributable to Boston Properties Limited Partnership common unitholders (2)
|
|
$
|
1,209,601
|
|
|
$
|
1,084,827
|
|
|
$
|
1,068,119
|
|
|
$
|
1,034,251
|
|
|
$
|
918,543
|
|
Distributions per common unit (3)
|
|
3.83
|
|
|
3.50
|
|
|
3.05
|
|
|
2.70
|
|
|
3.85
|
|
|||||
Cash flows provided by operating activities (4)
|
|
1,181,165
|
|
|
1,150,245
|
|
|
911,979
|
|
|
1,034,548
|
|
|
817,898
|
|
|||||
Cash flows used in investing activities (4)
|
|
(1,015,091
|
)
|
|
(1,098,876
|
)
|
|
(882,044
|
)
|
|
(1,337,347
|
)
|
|
(711,980
|
)
|
|||||
Cash flows provided by (used in) financing activities (4)
|
|
(113,379
|
)
|
|
82,453
|
|
|
55,346
|
|
|
(74,621
|
)
|
|
(1,558,810
|
)
|
|||||
Total square feet at end of year (including development projects)
|
|
51,969
|
|
|
51,586
|
|
|
50,339
|
|
|
47,704
|
|
|
46,495
|
|
|||||
In-service percentage leased at end of year
|
|
93.0
|
%
|
|
91.4
|
%
|
|
90.7
|
%
|
|
90.2
|
%
|
|
91.4
|
%
|
(1)
|
On January 1, 2016, we adopted Accounting Standards Update (“ASU”) 2015-03 and retrospectively applied the guidance to our Mortgage Notes Payable and Unsecured Senior Notes for all periods presented. Unamortized deferred financing costs, with the exception of December 31, 2019, 2018, 2017 and 2016, were previously included in Total Assets totaling approximately $28.0 million are now included in Total Indebtedness as of December 31, 2015.
|
(2)
|
Pursuant to the revised definition of Funds from Operations adopted by the Board of Governors of Nareit, we calculate Funds from Operations, or “FFO,” for BPLP by adjusting net income attributable to Boston Properties Limited Partnership common unitholders (computed in accordance with GAAP) for gains (or losses) from sales of properties, impairment losses on depreciable real estate consolidated on BPLP’s balance sheet, impairment losses on our investments in unconsolidated joint ventures driven by a measurable decrease in the fair value of depreciable real estate held by the unconsolidated joint ventures and our share of real estate-related depreciation and amortization. FFO is a non-GAAP financial measure. We believe the presentation of FFO, combined with the presentation of required GAAP financial measures, has improved the understanding of operating results of REITs among the investing public and has helped make comparisons of REIT operating results more meaningful. Management generally considers FFO to be useful measures for understanding and comparing BPLP’s operating results because, by excluding gains and losses related to sales of previously depreciated operating real estate assets, impairment losses and real estate asset depreciation and amortization (which can differ across owners of similar assets in similar condition based on historical cost accounting and useful life estimates), FFO can help investors compare the operating performance of a company’s real estate across reporting periods and to the operating performance of other companies.
|
(3)
|
Includes a special distribution of $1.25 per common unit paid on January 28, 2016 to unitholders of record as of the close of business on December 31, 2015.
|
(4)
|
On January 1, 2018, we adopted ASU 2016-15 and ASU 2016-18 and retrospectively applied the guidance to our Consolidated Statements of Cash Flows for all periods presented. The adoption of ASU 2016-15 and ASU 2016-18 required us to include Cash Held in Escrows with Cash and Cash Equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the Consolidated Statements of Cash Flows and required us to classify debt prepayment and extinguishment costs as a component of financing activities instead of as a component of operating activities in our Consolidated Statements of Cash Flows resulting in changes to the reported amounts of cash flows provided by (used in) operating, investing and financing activities.
|
•
|
if there is a negative change in the economy, including, but not limited to, a reversal of current job growth trends and an increase in unemployment, it could have a negative effect on the following, among other things:
|
•
|
the fundamentals of our business, including overall market occupancy, tenant space utilization and rental rates;
|
•
|
the financial condition of our tenants, many of which are financial, legal, media/telecommunication, technology and other professional firms, our lenders, counterparties to our derivative financial instruments and institutions that hold our cash balances and short-term investments, which may expose us to increased risks of default by these parties; and
|
•
|
the value of our real estate assets, which may limit our ability to dispose of assets at attractive prices or obtain or maintain debt financing secured by our properties or on an unsecured basis;
|
•
|
volatile or adverse global economic and political conditions, health crises and dislocations in the credit markets could adversely affect our access to cost-effective capital and have a resulting material adverse effect on our business opportunities, results of operations and financial condition;
|
•
|
general risks affecting the real estate industry (including, without limitation, the inability to enter into or renew leases, tenant space utilization, dependence on tenants’ financial condition, and competition from other developers, owners and operators of real estate);
|
•
|
failure to manage effectively our growth and expansion into new markets and sub-markets or to integrate acquisitions and developments successfully;
|
•
|
the ability of our joint venture partners to satisfy their obligations;
|
•
|
risks and uncertainties affecting property development and construction (including, without limitation, construction delays, increased construction costs, cost overruns, inability to obtain necessary permits, tenant accounting considerations that may result in negotiated lease provisions that limit a tenant’s liability during construction, and public opposition to such activities);
|
•
|
risks associated with the availability and terms of financing and the use of debt to fund acquisitions and developments or refinance existing indebtedness, including the impact of higher interest rates on the cost and/or availability of financing;
|
•
|
risks associated with forward interest rate contracts and the effectiveness of such arrangements;
|
•
|
risks associated with downturns in the national and local economies, increases in interest rates, and volatility in the securities markets;
|
•
|
risks associated with actual or threatened terrorist attacks;
|
•
|
costs of compliance with the Americans with Disabilities Act and other similar laws;
|
•
|
potential liability for uninsured losses and environmental contamination;
|
•
|
risks associated with the physical effects of climate change;
|
•
|
risks associated with security breaches through cyber attacks, cyber intrusions or otherwise, as well as other significant disruptions of our information technology (IT) networks and related systems, which support our operations and our buildings;
|
•
|
risks associated with BXP’s potential failure to qualify as a REIT under the Internal Revenue Code of 1986, as amended;
|
•
|
possible adverse changes in tax and environmental laws;
|
•
|
the impact of newly adopted accounting principles on our accounting policies and on period-to-period comparisons of financial results;
|
•
|
risks associated with possible state and local tax audits; and
|
•
|
risks associated with our dependence on key personnel whose continued service is not guaranteed.
|
•
|
our understanding of tenants’ short- and long-term space utilization and amenity needs in the local markets;
|
•
|
our reputation as a premier developer, owner and manager of primarily Class A office properties;
|
•
|
our financial strength and our ability to maintain high building standards;
|
•
|
our focus on developing and operating in a sustainable and responsible manner; and
|
•
|
our relationships with local brokers.
|
•
|
ensuring tenant satisfaction;
|
•
|
leasing available space in our in-service and development properties, as well as proactively focusing on future lease expirations;
|
•
|
completing the construction of our development properties;
|
•
|
continuing and completing the redevelopment and repositioning of several key properties to increase future revenue and asset values over the long-term;
|
•
|
maintaining discipline in our underwriting of investment opportunities;
|
•
|
managing our near-term debt maturities and maintaining our conservative balance sheet; and
|
•
|
actively managing our operations in a sustainable and responsible manner.
|
|
|
Year Ended December 31, 2019
|
||
|
|
Total Square Feet
|
||
Vacant space available at the beginning of the period
|
|
3,859,897
|
|
|
Property dispositions/properties taken out of service (1)
|
|
(662,790
|
)
|
|
Vacant space in properties acquired
|
|
70,954
|
|
|
Properties placed (and partially placed) in-service (2)
|
|
1,219,535
|
|
|
Leases expiring or terminated during the period
|
|
5,442,229
|
|
|
Total space available for lease
|
|
9,929,825
|
|
|
1st generation leases
|
|
1,741,018
|
|
|
2nd generation leases with new tenants
|
|
2,618,560
|
|
|
2nd generation lease renewals
|
|
2,435,077
|
|
|
Total space leased (3)
|
|
6,794,655
|
|
|
Vacant space available for lease at the end of the period
|
|
3,135,170
|
|
|
|
|
|
||
Leases executed during the period, in square feet (4)
|
|
7,623,836
|
|
|
|
|
|
||
Second generation leasing information: (5)
|
|
|
||
Leases commencing during the period, in square feet
|
|
5,053,637
|
|
|
Weighted Average Lease Term
|
|
114 Months
|
|
|
Weighted Average Free Rent Period
|
|
93 Days
|
|
|
Total Transaction Costs Per Square Foot (6)
|
|
|
$82.12
|
|
Increase in Gross Rents (7)
|
|
17.19
|
%
|
|
Increase in Net Rents (8)
|
|
26.19
|
%
|
(1)
|
Total square feet of available space associated with properties taken out of service during the year ended December 31, 2019 consists of 109,658 square feet at 325 Main Street and 104,084 square feet at 200 West Street. Total square feet of available space associated with property dispositions during the year ended December 31, 2019 consists of 85,019 square feet at 2600 Tower Oaks Boulevard, 64,140 square feet at 164 Lexington Road, 50,150 square feet at 540 Madison Avenue and 249,739 square feet at One Tower Center.
|
(2)
|
Total square feet of properties placed (and partially placed) in-service during the year ended December 31, 2019 consists of 131,949 at 20 CityPoint, 382,497 at The Hub on Causeway - Podium, 221,607 at Dock 72 and 483,482 at 145 Broadway.
|
(3)
|
Represents leases for which lease revenue recognition has commenced in accordance with GAAP during the year ended December 31, 2019.
|
(4)
|
Represents leases executed during the year ended December 31, 2019 for which we either (1) commenced lease revenue recognition in such period or (2) will commence lease revenue recognition in subsequent periods, in accordance with GAAP, and includes leases at properties currently under development. The total square feet of leases executed and recognized in the year ended December 31, 2019 is 888,950.
|
(5)
|
Second generation leases are defined as leases for space that had previously been leased by us. Of the 5,053,637 square feet of second generation leases that commenced during the year ended December 31, 2019, leases for 4,172,378 square feet were signed in prior periods.
|
(6)
|
Total transaction costs include tenant improvements and leasing commissions, but exclude free rent concessions and other inducements in accordance with GAAP.
|
(7)
|
Represents the increase in gross rent (base rent plus expense reimbursements) on the new versus expired leases on the 3,995,351 square feet of second generation leases that had been occupied within the prior 12 months for the year ended December 31, 2019; excludes leases that management considers temporary because the tenant is not expected to occupy the space on a long-term basis.
|
(8)
|
Represents the increase in net rent (gross rent less operating expenses) on the new versus expired leases on the 3,995,351 square feet of second generation leases that had been occupied within the prior 12 months for the year ended December 31, 2019; excludes leases that management considers temporary because the tenant is not expected to occupy the space on a long-term basis.
|
•
|
review relevant financial information, including:
|
•
|
financial ratios;
|
•
|
net worth;
|
•
|
revenue;
|
•
|
cash flows;
|
•
|
leverage; and
|
•
|
liquidity;
|
•
|
evaluate the depth and experience of the tenant’s management team; and
|
•
|
assess the strength/growth of the tenant’s industry.
|
(1)
|
acceptable-risk tenants;
|
(2)
|
the tenant’s credit is such that we may require collateral, in which case we:
|
•
|
may require a security deposit; and/or
|
•
|
may reduce upfront tenant improvement investments; or
|
(3)
|
the tenant’s credit is below our acceptable parameters.
|
|
|
For the year ended December 31,
|
||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
|
|
(in thousands)
|
||||||||||
Net income attributable to Boston Properties, Inc.
|
|
$
|
521,534
|
|
|
$
|
582,847
|
|
|
$
|
462,439
|
|
Straight-line rent and net “above-” and “below-market” rent adjustments
|
|
(65,111
|
)
|
|
(53,080
|
)
|
|
(77,801
|
)
|
|||
Book/Tax differences from depreciation and amortization
|
|
125,281
|
|
|
109,756
|
|
|
142,234
|
|
|||
Book/Tax differences from interest expense
|
|
—
|
|
|
(18,190
|
)
|
|
(18,136
|
)
|
|||
Book/Tax differences on gains/(losses) from capital transactions
|
|
51,555
|
|
|
(26,428
|
)
|
|
1,123
|
|
|||
Book/Tax differences from stock-based compensation
|
|
49,123
|
|
|
48,817
|
|
|
37,990
|
|
|||
Tangible Property Regulations
|
|
(148,157
|
)
|
|
(128,639
|
)
|
|
(116,265
|
)
|
|||
Other book/tax differences, net
|
|
(15,221
|
)
|
|
56,870
|
|
|
33,411
|
|
|||
Taxable income
|
|
$
|
519,004
|
|
|
$
|
571,953
|
|
|
$
|
464,995
|
|
|
|
For the year ended December 31,
|
||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
|
|
(in thousands)
|
||||||||||
Net income attributable to Boston Properties Limited Partnership
|
|
$
|
590,602
|
|
|
$
|
667,403
|
|
|
$
|
523,366
|
|
Straight-line rent and net “above-” and “below-market” rent adjustments
|
|
(72,687
|
)
|
|
(59,199
|
)
|
|
(86,773
|
)
|
|||
Book/Tax differences from depreciation and amortization
|
|
124,108
|
|
|
109,673
|
|
|
144,436
|
|
|||
Book/Tax differences from interest expense
|
|
—
|
|
|
(20,287
|
)
|
|
(20,227
|
)
|
|||
Book/Tax differences on gains/(losses) from capital transactions
|
|
56,955
|
|
|
5,762
|
|
|
784
|
|
|||
Book/Tax differences from stock-based compensation
|
|
54,838
|
|
|
54,445
|
|
|
42,371
|
|
|||
Tangible Property Regulations
|
|
(165,395
|
)
|
|
(143,468
|
)
|
|
(129,673
|
)
|
|||
Other book/tax differences, net
|
|
(20,177
|
)
|
|
70,003
|
|
|
37,607
|
|
|||
Taxable income
|
|
$
|
568,244
|
|
|
$
|
684,332
|
|
|
$
|
511,891
|
|
|
|
Total Property Portfolio
|
|||||||||||||
|
|
2019
|
|
2018
|
|
Increase/
(Decrease) |
|
%
Change |
|||||||
Net Income Attributable to Boston Properties, Inc. Common Shareholders
|
|
$
|
511,034
|
|
|
$
|
572,347
|
|
|
$
|
(61,313
|
)
|
|
(10.71
|
)%
|
Preferred dividends
|
|
10,500
|
|
|
10,500
|
|
|
—
|
|
|
—
|
%
|
|||
Net Income Attributable to Boston Properties, Inc.
|
|
521,534
|
|
|
582,847
|
|
|
(61,313
|
)
|
|
(10.52
|
)%
|
|||
Net Income Attributable to Noncontrolling Interests:
|
|
|
|
|
|
|
|
|
|||||||
Noncontrolling interest—common units of the Operating Partnership
|
|
59,345
|
|
|
66,807
|
|
|
(7,462
|
)
|
|
(11.17
|
)%
|
|||
Noncontrolling interests in property partnerships
|
|
71,120
|
|
|
62,909
|
|
|
8,211
|
|
|
13.05
|
%
|
|||
Net Income
|
|
651,999
|
|
|
712,563
|
|
|
(60,564
|
)
|
|
(8.50
|
)%
|
|||
Other Expenses:
|
|
|
|
|
|
|
|
|
|||||||
Add:
|
|
|
|
|
|
|
|
|
|||||||
Interest expense
|
|
412,717
|
|
|
378,168
|
|
|
34,549
|
|
|
9.14
|
%
|
|||
Losses from early extinguishments of debt
|
|
29,540
|
|
|
16,490
|
|
|
13,050
|
|
|
79.14
|
%
|
|||
Impairment losses
|
|
24,038
|
|
|
11,812
|
|
|
12,226
|
|
|
103.50
|
%
|
|||
Other Income:
|
|
|
|
|
|
|
|
|
|||||||
Less:
|
|
|
|
|
|
|
|
|
|||||||
Gains (losses) from investments in securities
|
|
6,417
|
|
|
(1,865
|
)
|
|
8,282
|
|
|
444.08
|
%
|
|||
Interest and other income
|
|
18,939
|
|
|
10,823
|
|
|
8,116
|
|
|
74.99
|
%
|
|||
Gains on sales of real estate
|
|
709
|
|
|
182,356
|
|
|
(181,647
|
)
|
|
(99.61
|
)%
|
|||
Income from unconsolidated joint ventures
|
|
46,592
|
|
|
2,222
|
|
|
44,370
|
|
|
1,996.85
|
%
|
|||
Other Expenses:
|
|
|
|
|
|
|
|
|
|||||||
Add:
|
|
|
|
|
|
|
|
|
|||||||
Depreciation and amortization expense
|
|
677,764
|
|
|
645,649
|
|
|
32,115
|
|
|
4.97
|
%
|
|||
Transaction costs
|
|
1,984
|
|
|
1,604
|
|
|
380
|
|
|
23.69
|
%
|
|||
Payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
796
|
|
|
8.30
|
%
|
|||
General and administrative expense
|
|
140,777
|
|
|
121,722
|
|
|
19,055
|
|
|
15.65
|
%
|
|||
Other Revenue:
|
|
|
|
|
|
|
|
|
|||||||
Less:
|
|
|
|
|
|
|
|
|
|||||||
Direct reimbursements of payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
796
|
|
|
8.30
|
%
|
|||
Development and management services revenue
|
|
40,039
|
|
|
45,158
|
|
|
(5,119
|
)
|
|
(11.34
|
)%
|
|||
Net Operating Income
|
|
$
|
1,826,123
|
|
|
$
|
1,649,314
|
|
|
$
|
176,809
|
|
|
10.72
|
%
|
|
|
Total Property Portfolio
|
|||||||||||||
|
|
2019
|
|
2018
|
|
Increase/
(Decrease) |
|
%
Change |
|||||||
Net Income Attributable to Boston Properties Limited Partnership Common Unitholders
|
|
$
|
580,102
|
|
|
$
|
656,903
|
|
|
$
|
(76,801
|
)
|
|
(11.69
|
)%
|
Preferred distributions
|
|
10,500
|
|
|
10,500
|
|
|
—
|
|
|
—
|
%
|
|||
Net Income Attributable to Boston Properties Limited Partnership
|
|
590,602
|
|
|
667,403
|
|
|
(76,801
|
)
|
|
(11.51
|
)%
|
|||
Net Income Attributable to Noncontrolling Interests:
|
|
|
|
|
|
|
|
|
|||||||
Noncontrolling interests in property partnerships
|
|
71,120
|
|
|
62,909
|
|
|
8,211
|
|
|
13.05
|
%
|
|||
Net Income
|
|
661,722
|
|
|
730,312
|
|
|
(68,590
|
)
|
|
(9.39
|
)%
|
|||
Other Expenses:
|
|
|
|
|
|
|
|
|
|||||||
Add:
|
|
|
|
|
|
|
|
|
|||||||
Interest expense
|
|
412,717
|
|
|
378,168
|
|
|
34,549
|
|
|
9.14
|
%
|
|||
Losses from early extinguishments of debt
|
|
29,540
|
|
|
16,490
|
|
|
13,050
|
|
|
79.14
|
%
|
|||
Impairment losses
|
|
22,272
|
|
|
10,181
|
|
|
12,091
|
|
|
118.76
|
%
|
|||
Other Income:
|
|
|
|
|
|
|
|
|
|||||||
Less:
|
|
|
|
|
|
|
|
|
|||||||
Gains (losses) from investments in securities
|
|
6,417
|
|
|
(1,865
|
)
|
|
8,282
|
|
|
444.08
|
%
|
|||
Interest and other income
|
|
18,939
|
|
|
10,823
|
|
|
8,116
|
|
|
74.99
|
%
|
|||
Gains on sales of real estate
|
|
858
|
|
|
190,716
|
|
|
(189,858
|
)
|
|
(99.55
|
)%
|
|||
Income from unconsolidated joint ventures
|
|
46,592
|
|
|
2,222
|
|
|
44,370
|
|
|
1,996.85
|
%
|
|||
Other Expenses:
|
|
|
|
|
|
|
|
|
|||||||
Add:
|
|
|
|
|
|
|
|
|
|||||||
Depreciation and amortization expense
|
|
669,956
|
|
|
637,891
|
|
|
32,065
|
|
|
5.03
|
%
|
|||
Transaction costs
|
|
1,984
|
|
|
1,604
|
|
|
380
|
|
|
23.69
|
%
|
|||
Payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
796
|
|
|
8.30
|
%
|
|||
General and administrative expense
|
|
140,777
|
|
|
121,722
|
|
|
19,055
|
|
|
15.65
|
%
|
|||
Other Revenue:
|
|
|
|
|
|
|
|
|
|||||||
Less:
|
|
|
|
|
|
|
|
|
|||||||
Direct reimbursements of payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
796
|
|
|
8.30
|
%
|
|||
Development and management services revenue
|
|
40,039
|
|
|
45,158
|
|
|
(5,119
|
)
|
|
(11.34
|
)%
|
|||
Net Operating Income
|
|
$
|
1,826,123
|
|
|
$
|
1,649,314
|
|
|
$
|
176,809
|
|
|
10.72
|
%
|
|
Same Property Portfolio
|
|
Properties
Acquired Portfolio |
|
Properties
Placed In-Service Portfolio |
|
Properties in
Development or
Redevelopment
Portfolio
|
|
Properties Sold Portfolio
|
|
Total Property Portfolio
|
||||||||||||||||||||||||||||||||||||||||||||||||||
|
2019
|
|
2018
|
|
Increase/
(Decrease)
|
|
%
Change
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
|
Increase/
(Decrease) |
|
%
Change |
||||||||||||||||||||||||||||||
|
(dollars in thousands)
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rental Revenue: (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||||||||
Lease Revenue (Excluding Termination Income)
|
$
|
2,533,364
|
|
|
$
|
2,386,764
|
|
|
$
|
146,600
|
|
|
6.14
|
%
|
|
$
|
4,920
|
|
|
$
|
—
|
|
|
$
|
154,836
|
|
|
$
|
46,451
|
|
|
$
|
10,368
|
|
|
$
|
18,847
|
|
|
$
|
2,986
|
|
|
$
|
23,849
|
|
|
$
|
2,706,474
|
|
|
$
|
2,475,911
|
|
|
$
|
230,563
|
|
|
9.31
|
%
|
Termination Income
|
15,399
|
|
|
6,248
|
|
|
9,151
|
|
|
146.46
|
%
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5
|
|
|
(196
|
)
|
|
1,952
|
|
|
15,203
|
|
|
8,205
|
|
|
6,998
|
|
|
85.29
|
%
|
||||||||||||||
Lease Revenue
|
2,548,763
|
|
|
2,393,012
|
|
|
155,751
|
|
|
6.51
|
%
|
|
4,920
|
|
|
—
|
|
|
154,836
|
|
|
46,451
|
|
|
10,368
|
|
|
18,852
|
|
|
2,790
|
|
|
25,801
|
|
|
2,721,677
|
|
|
2,484,116
|
|
|
237,561
|
|
|
9.56
|
%
|
||||||||||||||
Parking and Other
|
101,738
|
|
|
104,783
|
|
|
(3,045
|
)
|
|
(2.91
|
)%
|
|
—
|
|
|
—
|
|
|
1,056
|
|
|
736
|
|
|
127
|
|
|
88
|
|
|
36
|
|
|
936
|
|
|
102,957
|
|
|
106,543
|
|
|
(3,586
|
)
|
|
(3.37
|
)%
|
||||||||||||||
Total Rental Revenue (1)
|
2,650,501
|
|
|
2,497,795
|
|
|
152,706
|
|
|
6.11
|
%
|
|
4,920
|
|
|
—
|
|
|
155,892
|
|
|
47,187
|
|
|
10,495
|
|
|
18,940
|
|
|
2,826
|
|
|
26,737
|
|
|
2,824,634
|
|
|
2,590,659
|
|
|
233,975
|
|
|
9.03
|
%
|
||||||||||||||
Real Estate Operating Expenses
|
962,151
|
|
|
921,405
|
|
|
40,746
|
|
|
4.42
|
%
|
|
1,989
|
|
|
—
|
|
|
58,559
|
|
|
21,889
|
|
|
8,820
|
|
|
8,599
|
|
|
2,506
|
|
|
14,654
|
|
|
1,034,025
|
|
|
966,547
|
|
|
67,478
|
|
|
6.98
|
%
|
||||||||||||||
Net Operating Income, Excluding Residential and Hotel
|
1,688,350
|
|
|
1,576,390
|
|
|
111,960
|
|
|
7.10
|
%
|
|
2,931
|
|
|
—
|
|
|
97,333
|
|
|
25,298
|
|
|
1,675
|
|
|
10,341
|
|
|
320
|
|
|
12,083
|
|
|
1,790,609
|
|
|
1,624,112
|
|
|
166,497
|
|
|
10.25
|
%
|
||||||||||||||
Residential Net Operating Income (Loss) (2)
|
9,846
|
|
|
10,121
|
|
|
(275
|
)
|
|
(2.72
|
)%
|
|
—
|
|
|
—
|
|
|
11,083
|
|
|
(174
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20,929
|
|
|
9,947
|
|
|
10,982
|
|
|
110.41
|
%
|
||||||||||||||
Hotel Net Operating Income (2)
|
14,585
|
|
|
15,255
|
|
|
(670
|
)
|
|
(4.39
|
)%
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14,585
|
|
|
15,255
|
|
|
(670
|
)
|
|
(4.39
|
)%
|
||||||||||||||
Net Operating Income
|
$
|
1,712,781
|
|
|
$
|
1,601,766
|
|
|
$
|
111,015
|
|
|
6.93
|
%
|
|
$
|
2,931
|
|
|
$
|
—
|
|
|
$
|
108,416
|
|
|
$
|
25,124
|
|
|
$
|
1,675
|
|
|
$
|
10,341
|
|
|
$
|
320
|
|
|
$
|
12,083
|
|
|
$
|
1,826,123
|
|
|
$
|
1,649,314
|
|
|
$
|
176,809
|
|
|
10.72
|
%
|
(1)
|
Rental Revenue is equal to Revenue less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Revenue per the Consolidated Statements of Operations, excluding the residential and hotel revenue that is noted below. Upon the adoption of ASU-2016-02 “Leases” on January 1, 2019, service income from tenants is included in Lease revenue. Prior to adoption, these amounts were included in the line item for Development and Management Services Revenue. We use Rental Revenue internally as a performance measure and in calculating other non-GAAP financial measures (e.g., NOI), which provides investors with information regarding our performance that is not immediately apparent from the comparable non-GAAP measures and allows investors to compare operating performance between periods.
|
(2)
|
For a detailed discussion of NOI, including the reasons management believes NOI is useful to investors, see page 71. Residential Net Operating Income for the year ended December 31, 2019 and 2018 are comprised of Residential Revenue of $36,914 and $22,551 less Residential Expenses of $15,985 and $12,604, respectively. Hotel Net Operating Income for the year ended December 31, 2019 and 2018 are comprised of Hotel Revenue of $48,589 and $49,118 less Hotel Expenses of $34,004 and $33,863, respectively, per the Consolidated Statements of Operations.
|
|
|
|
|
Square Feet
|
|
Rental Revenue
|
|
Real Estate Operating Expenses
|
|||||||||||||||||||||
Name
|
|
Date acquired
|
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
||||||||||||||
|
|
|
|
|
|
(dollars in thousands)
|
|||||||||||||||||||||||
880 and 890 Winter Street
|
|
August 27, 2019
|
|
392,400
|
|
|
$
|
4,920
|
|
|
$
|
—
|
|
|
$
|
4,920
|
|
|
$
|
1,989
|
|
|
$
|
—
|
|
|
$
|
1,989
|
|
|
|
|
|
392,400
|
|
|
$
|
4,920
|
|
|
$
|
—
|
|
|
$
|
4,920
|
|
|
$
|
1,989
|
|
|
$
|
—
|
|
|
$
|
1,989
|
|
|
|
Quarter Initially Placed In-Service
|
|
Quarter Fully Placed In-Service
|
|
|
|
Rental Revenue
|
|
Real Estate Operating Expenses
|
|||||||||||||||||||||
Name
|
|
|
|
Square Feet
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
|||||||||||||||
|
|
|
|
|
|
|
|
(dollars in thousands)
|
|||||||||||||||||||||||
Office
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
191 Spring Street
|
|
Fourth Quarter, 2017
|
|
Fourth Quarter, 2018
|
|
170,997
|
|
|
$
|
7,721
|
|
|
$
|
4,917
|
|
|
$
|
2,804
|
|
|
$
|
2,077
|
|
|
$
|
1,723
|
|
|
$
|
354
|
|
Salesforce Tower
|
|
Fourth Quarter, 2017
|
|
Fourth Quarter, 2018
|
|
1,420,682
|
|
|
137,184
|
|
|
42,270
|
|
|
94,914
|
|
|
54,687
|
|
|
20,166
|
|
|
34,521
|
|
||||||
20 CityPoint
|
|
Second Quarter, 2019
|
|
N/A
|
|
211,000
|
|
|
3,320
|
|
|
—
|
|
|
3,320
|
|
|
1,048
|
|
|
—
|
|
|
1,048
|
|
||||||
145 Broadway
|
|
Fourth Quarter, 2019
|
|
Fourth Quarter, 2019
|
|
483,482
|
|
|
7,667
|
|
|
—
|
|
|
7,667
|
|
|
747
|
|
|
—
|
|
|
747
|
|
||||||
Total Office
|
|
|
|
|
|
2,286,161
|
|
|
155,892
|
|
|
47,187
|
|
|
108,705
|
|
|
58,559
|
|
|
21,889
|
|
|
36,670
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Residential
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Signature at Reston
|
|
First Quarter, 2018
|
|
Second Quarter, 2018
|
|
517,783
|
|
|
11,421
|
|
|
3,879
|
|
|
7,542
|
|
|
6,302
|
|
|
4,510
|
|
|
1,792
|
|
||||||
Proto Kendall Square
|
|
Second Quarter, 2018
|
|
Third Quarter, 2018
|
|
166,717
|
|
|
8,930
|
|
|
1,944
|
|
|
6,986
|
|
|
2,966
|
|
|
1,487
|
|
|
1,479
|
|
||||||
Total Residential
|
|
|
|
|
|
684,500
|
|
|
20,351
|
|
|
5,823
|
|
|
14,528
|
|
|
9,268
|
|
|
5,997
|
|
|
3,271
|
|
||||||
|
|
|
|
|
|
2,970,661
|
|
|
$
|
176,243
|
|
|
$
|
53,010
|
|
|
$
|
123,233
|
|
|
$
|
67,827
|
|
|
$
|
27,886
|
|
|
$
|
39,941
|
|
|
|
|
|
|
|
Rental Revenue
|
|
Real Estate Operating Expenses
|
|||||||||||||||||||||
Name
|
|
Date Commenced Development / Redevelopment
|
|
Square Feet
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
|||||||||||||
|
|
|
|
|
|
(dollars in thousands)
|
|||||||||||||||||||||||
One Five Nine East 53rd Street
|
|
August 19, 2016
|
|
220,000
|
|
|
$
|
3,736
|
|
|
$
|
3,472
|
|
|
$
|
264
|
|
|
$
|
1,999
|
|
|
$
|
1,702
|
|
|
$
|
297
|
|
325 Main Street (1)
|
|
May 9, 2019
|
|
115,000
|
|
|
(704
|
)
|
|
5,864
|
|
|
(6,568
|
)
|
|
2,128
|
|
|
1,841
|
|
|
287
|
|
||||||
200 West Street (2)
|
|
September 30, 2019
|
|
261,000
|
|
|
7,463
|
|
|
9,604
|
|
|
(2,141
|
)
|
|
4,693
|
|
|
5,056
|
|
|
(363
|
)
|
||||||
|
|
|
|
596,000
|
|
|
$
|
10,495
|
|
|
$
|
18,940
|
|
|
$
|
(8,445
|
)
|
|
$
|
8,820
|
|
|
$
|
8,599
|
|
|
$
|
221
|
|
(1)
|
Rental revenue for the year ended December 31, 2019 includes the acceleration and write-off of straight-line rent associated with the early termination of a lease at this property. Real estate operating expenses for the year ended December 31, 2019 includes approximately $1.5 million of demolition costs.
|
(2)
|
Rental revenue and real estate operating expenses for the year ended December 31, 2019 are related to the entire building. The redevelopment is a conversion of a 126,000 square foot portion of the property to laboratory space.
|
|
|
|
|
|
|
|
|
Rental Revenue
|
|
Real Estate Operating Expenses
|
|||||||||||||||||||||
Name
|
|
Date Sold
|
|
Property Type
|
|
Square Feet
|
|
2019
|
|
2018
|
|
Change
|
|
2019
|
|
2018
|
|
Change
|
|||||||||||||
|
|
|
|
|
|
|
|
(dollars in thousands)
|
|||||||||||||||||||||||
500 E Street, S.W.
|
|
January 9, 2018
|
|
Office
|
|
262,000
|
|
|
$
|
—
|
|
|
$
|
270
|
|
|
$
|
(270
|
)
|
|
$
|
—
|
|
|
$
|
129
|
|
|
$
|
(129
|
)
|
91 Hartwell Avenue
|
|
May 24, 2018
|
|
Office
|
|
119,000
|
|
|
—
|
|
|
1,224
|
|
|
(1,224
|
)
|
|
—
|
|
|
654
|
|
|
(654
|
)
|
||||||
Quorum Office Park
|
|
September 27, 2018
|
|
Office
|
|
268,000
|
|
|
—
|
|
|
3,348
|
|
|
(3,348
|
)
|
|
—
|
|
|
1,818
|
|
|
(1,818
|
)
|
||||||
1333 New Hampshire Avenue (1)
|
|
November 30, 2018
|
|
Office
|
|
315,000
|
|
|
—
|
|
|
14,407
|
|
|
(14,407
|
)
|
|
—
|
|
|
5,180
|
|
|
(5,180
|
)
|
||||||
Tower Oaks
|
|
December 20, 2018
|
|
Land
|
|
N/A
|
|
|
—
|
|
|
255
|
|
|
(255
|
)
|
|
—
|
|
|
207
|
|
|
(207
|
)
|
||||||
2600 Tower Oaks Boulevard
|
|
January 24, 2019
|
|
Office
|
|
179,000
|
|
|
159
|
|
|
2,763
|
|
|
(2,604
|
)
|
|
189
|
|
|
1,974
|
|
|
(1,785
|
)
|
||||||
One Tower Center
|
|
June 3, 2019
|
|
Office
|
|
410,000
|
|
|
2,605
|
|
|
4,470
|
|
|
(1,865
|
)
|
|
2,078
|
|
|
4,411
|
|
|
(2,333
|
)
|
||||||
164 Lexington Road
|
|
June 28, 2019
|
|
Office
|
|
64,000
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
82
|
|
|
170
|
|
|
(88
|
)
|
||||||
Washingtonian North
|
|
December 20, 2019
|
|
Land
|
|
N/A
|
|
|
62
|
|
|
—
|
|
|
62
|
|
|
157
|
|
|
111
|
|
|
46
|
|
||||||
|
|
|
|
|
|
1,617,000
|
|
|
$
|
2,826
|
|
|
$
|
26,737
|
|
|
$
|
(23,911
|
)
|
|
$
|
2,506
|
|
|
$
|
14,654
|
|
|
$
|
(12,148
|
)
|
(1)
|
Rental revenue includes termination income of approximately $2.0 million for the year ended December 31, 2018.
|
|
|
The Lofts at Atlantic Wharf
|
|
The Avant at Reston Town Center
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
Percentage
Change |
|
2019
|
|
2018
|
|
Percentage
Change |
||||||||||
Average Monthly Rental Rate (1)
|
|
$
|
4,482
|
|
|
$
|
4,272
|
|
|
4.9
|
%
|
|
$
|
2,417
|
|
|
$
|
2,411
|
|
|
0.2
|
%
|
Average Rental Rate Per Occupied Square Foot
|
|
$
|
4.95
|
|
|
$
|
4.74
|
|
|
4.4
|
%
|
|
$
|
2.64
|
|
|
$
|
2.65
|
|
|
(0.4
|
)%
|
Average Physical Occupancy (2)
|
|
95.1
|
%
|
|
93.9
|
%
|
|
1.3
|
%
|
|
92.0
|
%
|
|
93.6
|
%
|
|
(1.7
|
)%
|
||||
Average Economic Occupancy (3)
|
|
95.2
|
%
|
|
93.5
|
%
|
|
1.8
|
%
|
|
91.6
|
%
|
|
92.9
|
%
|
|
(1.4
|
)%
|
(1)
|
Average Monthly Rental Rate is calculated as the average of the quotients obtained by dividing (A) rental revenue as determined in accordance with GAAP, by (B) the number of occupied units for each month within the applicable fiscal period.
|
(2)
|
Average Physical Occupancy is defined as (1) the average number of occupied units divided by (2) the total number of units, expressed as a percentage.
|
(3)
|
Average Economic Occupancy is defined as (1) total possible revenue less vacancy loss divided by (2) total possible revenue, expressed as a percentage. Total possible revenue is determined by valuing average occupied units at contract rates and average vacant units at Market Rents. Vacancy loss is determined by valuing vacant units at current Market Rents. By measuring vacant units at their Market Rents, Average Economic Occupancy takes into account the fact that units of different sizes and locations within a residential property have different economic impacts on a residential property’s total possible gross revenue. Market Rents used by us in calculating Economic Occupancy are based on the current market rates set by the managers of our residential properties based on their experience in renting their residential property’s units and publicly available market data. Trends in market rents for a region as reported by
|
|
|
2019
|
|
2018
|
|
Percentage
Change
|
|||||
Occupancy
|
|
83.8
|
%
|
|
84.6
|
%
|
|
(0.9
|
)%
|
||
Average daily rate
|
|
$
|
281.15
|
|
|
$
|
282.54
|
|
|
(0.5
|
)%
|
REVPAR
|
|
$
|
235.64
|
|
|
$
|
239.07
|
|
|
(1.4
|
)%
|
Portfolio
|
|
Depreciation and Amortization for the year ended December 31,
|
||||||||||
2019
|
|
2018
|
|
Change
|
||||||||
|
|
(in thousands)
|
||||||||||
Same Property Portfolio
|
|
$
|
614,538
|
|
|
$
|
616,419
|
|
|
$
|
(1,881
|
)
|
Properties Placed in-Service Portfolio
|
|
46,320
|
|
|
18,447
|
|
|
27,873
|
|
|||
Properties Acquired Portfolio
|
|
3,449
|
|
|
—
|
|
|
3,449
|
|
|||
Properties in Development or Redevelopment Portfolio (1)
|
|
12,381
|
|
|
2,912
|
|
|
9,469
|
|
|||
Properties Sold Portfolio
|
|
1,076
|
|
|
7,871
|
|
|
(6,795
|
)
|
|||
|
|
$
|
677,764
|
|
|
$
|
645,649
|
|
|
$
|
32,115
|
|
(1)
|
On May 9, 2019, we commenced development of 325 Main Street in Cambridge, Massachusetts (See Note 3 to the Consolidated Financial Statements). As a result, during the year ended December 31, 2019, we recorded approximately $9.9 million of accelerated depreciation expense for the demolition of the building, of which approximately $0.4 million related to the step-up of real estate assets.
|
Portfolio
|
|
Depreciation and Amortization for the year ended December 31,
|
||||||||||
2019
|
|
2018
|
|
Change
|
||||||||
|
|
(in thousands)
|
||||||||||
Same Property Portfolio
|
|
$
|
607,109
|
|
|
$
|
608,661
|
|
|
$
|
(1,552
|
)
|
Properties Placed in-Service Portfolio
|
|
46,320
|
|
|
18,447
|
|
|
27,873
|
|
|||
Properties Acquired Portfolio
|
|
3,449
|
|
|
—
|
|
|
3,449
|
|
|||
Properties in Development or Redevelopment Portfolio (1)
|
|
12,002
|
|
|
2,912
|
|
|
9,090
|
|
|||
Properties Sold Portfolio
|
|
1,076
|
|
|
7,871
|
|
|
(6,795
|
)
|
|||
|
|
$
|
669,956
|
|
|
$
|
637,891
|
|
|
$
|
32,065
|
|
(1)
|
On May 9, 2019, we commenced development of 325 Main Street in Cambridge, Massachusetts (See Note 3 to the Consolidated Financial Statements). As a result, during the year ended December 31, 2019, we recorded approximately $9.5 million of accelerated depreciation expense for the demolition of the building.
|
Name
|
|
Date Sold
|
|
Property Type
|
|
Square Feet
|
|
Sale Price
|
|
Net Cash Proceeds
|
|
Gain (Loss) on Sale of Real Estate
|
|
|||||||
|
|
|
|
|
|
|
|
(dollars in millions)
|
|
|||||||||||
2019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
2600 Tower Oaks Boulevard
|
|
January 24, 2019
|
|
Office
|
|
179,000
|
|
|
$
|
22.7
|
|
|
$
|
21.4
|
|
|
$
|
(0.6
|
)
|
|
One Tower Center
|
|
June 3, 2019
|
|
Office
|
|
410,000
|
|
|
38.0
|
|
|
36.6
|
|
|
(0.8
|
)
|
|
|||
164 Lexington Road
|
|
June 28, 2019
|
|
Office
|
|
64,000
|
|
|
4.0
|
|
|
3.8
|
|
|
2.5
|
|
|
|||
Washingtonian North
|
|
December 20, 2019
|
|
Land
|
|
N/A
|
|
|
7.8
|
|
|
7.3
|
|
|
(0.1
|
)
|
|
|||
|
|
|
|
|
|
|
|
$
|
72.5
|
|
|
$
|
69.1
|
|
|
$
|
1.0
|
|
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
500 E Street, S.W.
|
|
January 9, 2018
|
|
Office
|
|
262,000
|
|
|
$
|
118.6
|
|
|
$
|
116.1
|
|
|
$
|
96.4
|
|
|
91 Hartwell Avenue
|
|
May 24, 2018
|
|
Office
|
|
119,000
|
|
|
22.2
|
|
|
21.7
|
|
|
15.5
|
|
|
|||
Quorum Office Park
|
|
September 27, 2018
|
|
Office
|
|
268,000
|
|
|
35.3
|
|
|
34.3
|
|
|
7.9
|
|
|
|||
1333 New Hampshire Avenue
|
|
November 30, 2018
|
|
Office
|
|
315,000
|
|
|
142.0
|
|
|
133.7
|
|
|
44.4
|
|
|
|||
Tower Oaks
|
|
December 20, 2018
|
|
Land
|
|
N/A
|
|
|
46.0
|
|
|
25.9
|
|
|
15.7
|
|
|
|||
|
|
|
|
|
|
|
|
|
$
|
364.1
|
|
|
$
|
331.7
|
|
|
$
|
179.9
|
|
(2)
|
(1)
|
Excludes approximately $0.3 million of losses on sales of real estate recognized during the year ended December 31, 2019 related to loss amounts from sales of real estate occurring in prior years.
|
(2)
|
Excludes approximately $2.6 million of gains on sales of real estate recognized during the year ended December 31, 2018 related to gain amounts from sales of real estate occurring in prior years.
|
Name
|
|
Date Sold
|
|
Property Type
|
|
Square Feet
|
|
Sale Price
|
|
Net Cash Proceeds
|
|
Gain (Loss) on Sale of Real Estate
|
|
||||||||
|
|
|
|
|
|
|
|
(dollars in millions)
|
|
||||||||||||
2019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
2600 Tower Oaks Boulevard
|
|
January 24, 2019
|
|
Office
|
|
179,000
|
|
|
$
|
22.7
|
|
|
$
|
21.4
|
|
|
$
|
(0.6
|
)
|
|
|
One Tower Center
|
|
June 3, 2019
|
|
Office
|
|
410,000
|
|
|
38.0
|
|
|
36.6
|
|
|
(0.8
|
)
|
|
||||
164 Lexington Road
|
|
June 28, 2019
|
|
Office
|
|
64,000
|
|
|
4.0
|
|
|
3.8
|
|
|
2.6
|
|
|
||||
Washingtonian North
|
|
December 20, 2019
|
|
Land
|
|
N/A
|
|
|
7.8
|
|
|
7.3
|
|
|
(0.1
|
)
|
|
||||
|
|
|
|
|
|
|
|
$
|
72.5
|
|
|
$
|
69.1
|
|
|
$
|
1.1
|
|
(1
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
500 E Street, S.W.
|
|
January 9, 2018
|
|
Office
|
|
262,000
|
|
|
$
|
118.6
|
|
|
$
|
116.1
|
|
|
$
|
98.9
|
|
|
|
91 Hartwell Avenue
|
|
May 24, 2018
|
|
Office
|
|
119,000
|
|
|
22.2
|
|
|
21.7
|
|
|
15.9
|
|
|
||||
Quorum Office Park
|
|
September 27, 2018
|
|
Office
|
|
268,000
|
|
|
35.3
|
|
|
34.3
|
|
|
9.2
|
|
|
||||
1333 New Hampshire Avenue
|
|
November 30, 2018
|
|
Office
|
|
315,000
|
|
|
142.0
|
|
|
133.7
|
|
|
48.4
|
|
|
||||
Tower Oaks
|
|
December 20, 2018
|
|
Land
|
|
N/A
|
|
|
46.0
|
|
|
25.9
|
|
|
15.7
|
|
|
||||
|
|
|
|
|
|
|
|
|
$
|
364.1
|
|
|
$
|
331.7
|
|
|
$
|
188.1
|
|
(2)
|
(1)
|
Excludes approximately $0.3 million of losses on sales of real estate recognized during the year ended December 31, 2019 related to loss amounts from sales of real estate occurring in prior years.
|
(2)
|
Excludes approximately $2.6 million of gains on sales of real estate recognized during the year ended December 31, 2018 related to gain amounts from sales of real estate occurring in prior years.
|
Component
|
|
Change in interest expense for the year ended
December 31, 2019 compared to December 31, 2018 |
||
|
|
(in thousands)
|
||
Increases to interest expense due to:
|
|
|
||
Issuance of $1 billion in aggregate principal of 4.500% senior notes due 2028 on November 28, 2018
|
|
$
|
41,141
|
|
Decrease in capitalized interest related to development projects
|
|
18,656
|
|
|
Issuance of $850 million in aggregate principal of 3.400% senior notes due 2029 on June 21, 2019
|
|
15,320
|
|
|
Increase in interest due to finance leases
|
|
7,801
|
|
|
Issuance of $700 million in aggregate principal of 2.900% senior notes due 2030 on September 3, 2019
|
|
6,661
|
|
|
Utilization of the 2017 Credit Facility
|
|
3,636
|
|
|
Total increases to interest expense
|
|
93,215
|
|
|
Decreases to interest expense due to:
|
|
|
||
Redemption of $700 million in aggregate principal of 5.875% senior notes due 2019 on December 13, 2018
|
|
(39,124
|
)
|
|
Redemption of $700 million in aggregate principal of 5.625% senior notes due 2020 on September 18, 2019
|
|
(11,286
|
)
|
|
Increase in capitalized interest related to development projects that had finance leases
|
|
(7,801
|
)
|
|
Other interest expense (excluding senior notes)
|
|
(455
|
)
|
|
Total decreases to interest expense
|
|
(58,666
|
)
|
|
Total change in interest expense
|
|
$
|
34,549
|
|
Property
|
|
Noncontrolling Interests in Property Partnerships for the year ended December 31,
|
||||||||||
2019
|
|
2018
|
|
Change
|
||||||||
|
|
(in thousands)
|
||||||||||
Salesforce Tower (1)
|
|
$
|
116
|
|
|
$
|
(439
|
)
|
|
$
|
555
|
|
767 Fifth Avenue (the General Motors Building)
|
|
2,638
|
|
|
1,791
|
|
|
847
|
|
|||
Times Square Tower
|
|
27,146
|
|
|
26,997
|
|
|
149
|
|
|||
601 Lexington Avenue
|
|
19,143
|
|
|
18,802
|
|
|
341
|
|
|||
100 Federal Street (2)
|
|
12,614
|
|
|
6,350
|
|
|
6,264
|
|
|||
Atlantic Wharf Office Building
|
|
9,463
|
|
|
9,408
|
|
|
55
|
|
|||
|
|
$
|
71,120
|
|
|
$
|
62,909
|
|
|
$
|
8,211
|
|
(1)
|
On April 1, 2019, we acquired our partner’s 5% interest. See Note 10 to the Consolidated Financial Statements.
|
(2)
|
The increase was primarily due to an increase in lease revenue from our tenants.
|
•
|
fund normal recurring expenses;
|
•
|
meet debt service and principal repayment obligations;
|
•
|
fund development/redevelopment costs;
|
•
|
fund capital expenditures, including major renovations, tenant improvements and leasing costs;
|
•
|
fund planned and possible acquisitions of properties, either directly or indirectly through the acquisition of equity interests therein;
|
•
|
fund dividend requirements on BXP’s Series B Preferred Stock; and
|
•
|
make the minimum distribution required to enable BXP to maintain its REIT qualification under the Internal Revenue Code of 1986, as amended.
|
•
|
cash flow from operations;
|
•
|
distribution of cash flows from joint ventures;
|
•
|
cash and cash equivalent balances;
|
•
|
BPLP’s 2017 Credit Facility and other short-term bridge facilities;
|
•
|
construction loans;
|
•
|
long-term secured and unsecured indebtedness (including unsecured exchangeable indebtedness);
|
•
|
sales of real estate; and
|
•
|
issuances of BXP equity securities and/or additional preferred or common units of partnership interest in BPLP.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financings
|
|
|
|
|
|
|||||||||||||||
Construction Properties
|
|
Estimated Stabilization Date
|
|
Location
|
|
# of Buildings
|
|
Estimated Square Feet
|
|
Investment to Date (1)(2)(3)
|
|
Estimated Total Investment (1)(2)
|
|
Total Available (1)
|
|
Outstanding at 12/31/2019 (1)
|
|
Estimated Future Equity Requirement (1)(2)(4)
|
|
Percentage Leased (5)
|
|
|||||||||||||
Office
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
17Fifty Presidents Street
|
|
Second Quarter, 2020
|
|
Reston, VA
|
|
1
|
|
|
276,000
|
|
|
$
|
118,441
|
|
|
$
|
142,900
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
24,459
|
|
|
100
|
%
|
|
20 CityPoint
|
|
First Quarter, 2021
|
|
Waltham, MA
|
|
1
|
|
|
211,000
|
|
|
77,966
|
|
|
97,000
|
|
|
—
|
|
|
—
|
|
|
19,034
|
|
|
63
|
%
|
(6)
|
|||||
Dock 72 (50% ownership)
|
|
Third Quarter, 2021
|
|
Brooklyn, NY
|
|
1
|
|
|
670,000
|
|
|
195,908
|
|
|
243,150
|
|
|
125,000
|
|
|
86,887
|
|
|
9,129
|
|
|
33
|
%
|
(7)
|
|||||
325 Main Street
|
|
Third Quarter, 2022
|
|
Cambridge, MA
|
|
1
|
|
|
420,000
|
|
|
89,099
|
|
|
418,400
|
|
|
—
|
|
|
—
|
|
|
329,301
|
|
|
90
|
%
|
|
|||||
100 Causeway Street (50% ownership)
|
|
Third Quarter, 2022
|
|
Boston, MA
|
|
1
|
|
|
632,000
|
|
|
114,584
|
|
|
267,300
|
|
|
200,000
|
|
|
40,553
|
|
|
—
|
|
|
94
|
%
|
|
|||||
7750 Wisconsin Avenue (Marriott International Headquarters) (50% ownership)
|
|
Third Quarter, 2022
|
|
Bethesda, MD
|
|
1
|
|
|
734,000
|
|
|
94,978
|
|
|
198,900
|
|
|
127,500
|
|
|
32,228
|
|
|
8,650
|
|
|
100
|
%
|
|
|||||
Reston Gateway
|
|
Fourth Quarter, 2023
|
|
Reston, VA
|
|
2
|
|
|
1,062,000
|
|
|
159,881
|
|
|
715,300
|
|
|
—
|
|
|
—
|
|
|
555,419
|
|
|
80
|
%
|
|
|||||
2100 Pennsylvania Avenue
|
|
Third Quarter, 2024
|
|
Washington, DC
|
|
1
|
|
|
469,000
|
|
|
66,400
|
|
|
356,100
|
|
|
—
|
|
|
—
|
|
|
289,700
|
|
|
61
|
%
|
|
|||||
Total Office Properties under Construction
|
|
|
|
|
|
9
|
|
|
4,474,000
|
|
|
$
|
917,257
|
|
|
$
|
2,439,050
|
|
|
$
|
452,500
|
|
|
$
|
159,668
|
|
|
$
|
1,235,692
|
|
|
78
|
%
|
|
Residential
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Hub50House (The Hub on Causeway - Residential) (440 units) (50% ownership)
|
|
Fourth Quarter, 2021
|
|
Boston, MA
|
|
1
|
|
|
320,000
|
|
|
$
|
134,853
|
|
|
$
|
153,500
|
|
|
$
|
90,000
|
|
|
$
|
70,594
|
|
|
$
|
—
|
|
|
37
|
%
|
(8)
|
The Skylyne (MacArthur Station Residences) (402 units)
|
|
Fourth Quarter, 2021
|
|
Oakland, CA
|
|
1
|
|
|
324,000
|
|
|
197,383
|
|
|
263,600
|
|
|
—
|
|
|
—
|
|
|
66,217
|
|
|
—
|
|
(9)
|
|||||
Total Residential Properties under Construction
|
|
|
|
2
|
|
|
644,000
|
|
|
$
|
332,236
|
|
|
$
|
417,100
|
|
|
$
|
90,000
|
|
|
$
|
70,594
|
|
|
$
|
66,217
|
|
|
37
|
%
|
|
||
Redevelopment Properties
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
One Five Nine East 53rd Street (55% ownership)
|
|
Third Quarter, 2020
|
|
New York, NY
|
|
—
|
|
|
220,000
|
|
|
$
|
132,008
|
|
|
$
|
150,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
17,992
|
|
|
96
|
%
|
(10)
|
200 West Street
|
|
Fourth Quarter, 2021
|
|
Waltham, MA
|
|
—
|
|
|
126,000
|
|
|
2,104
|
|
|
47,800
|
|
|
—
|
|
|
—
|
|
|
45,696
|
|
|
—
|
%
|
(11)
|
|||||
Total Redevelopment Properties under Construction
|
|
—
|
|
|
346,000
|
|
|
134,112
|
|
|
197,800
|
|
|
—
|
|
|
—
|
|
|
63,688
|
|
|
61
|
%
|
|
|||||||||
Total Properties under Construction and Redevelopment
|
|
11
|
|
|
5,464,000
|
|
|
$
|
1,383,605
|
|
|
$
|
3,053,950
|
|
|
$
|
542,500
|
|
|
$
|
230,262
|
|
|
$
|
1,365,597
|
|
|
76
|
%
|
(12)
|
(1)
|
Represents our share.
|
(2)
|
Investment to Date, Estimated Total Investment and Estimated Future Equity Requirement all include our share of acquisition expenses, as applicable, and reflect our share of the estimated net revenue/expenses that we expect to incur prior to stabilization of the project, including any amounts actually received or paid through December 31, 2019.
|
(3)
|
Includes approximately $103.5 million of unpaid but accrued construction costs and leasing commissions.
|
(4)
|
Excludes approximately $103.5 million of unpaid but accrued construction costs and leasing commissions.
|
(5)
|
Represents percentage leased as of February 21, 2020, including leases with future commencement dates.
|
(6)
|
This property is 65% placed in-service as of December 31, 2019.
|
(7)
|
This property is 34% placed in-service as of December 31, 2019.
|
(8)
|
This property is 43% placed in-service as of December 31, 2019.
|
(9)
|
This development is subject to a 99-year ground lease (including extension options) with an option to purchase in the future.
|
(10)
|
The low-rise portion of 601 Lexington Avenue.
|
(11)
|
Represents a portion of the property under redevelopment for conversion to laboratory space.
|
(12)
|
Percentage leased excludes residential units.
|
|
Year ended December 31,
|
||||||||||
2019
|
|
2018
|
|
Increase
(Decrease) |
|||||||
(in thousands)
|
|||||||||||
Net cash provided by operating activities
|
$
|
1,181,165
|
|
|
$
|
1,150,245
|
|
|
$
|
30,920
|
|
Net cash used in investing activities
|
(1,015,091
|
)
|
|
(1,098,876
|
)
|
|
83,785
|
|
|||
Net cash (used in) provided by financing activities
|
(113,379
|
)
|
|
82,453
|
|
|
(195,832
|
)
|
|
Year ended December 31,
|
||||||
|
2019
|
|
2018
|
||||
|
(in thousands)
|
||||||
Acquisitions of real estate (1)
|
$
|
(149,031
|
)
|
|
$
|
—
|
|
Construction in progress (2)
|
(546,060
|
)
|
|
(694,791
|
)
|
||
Building and other capital improvements
|
(180,556
|
)
|
|
(189,771
|
)
|
||
Tenant improvements
|
(251,831
|
)
|
|
(210,034
|
)
|
||
Right of use assets - finance leases
|
(5,152
|
)
|
|
—
|
|
||
Proceeds from sales of real estate (3)
|
90,824
|
|
|
455,409
|
|
||
Capital contributions to unconsolidated joint ventures (4)
|
(87,392
|
)
|
|
(345,717
|
)
|
||
Capital distributions from unconsolidated joint ventures (5)
|
136,807
|
|
|
—
|
|
||
Cash and cash equivalents deconsolidated
|
(24,112
|
)
|
|
—
|
|
||
Deposit on capital lease
|
—
|
|
|
(13,615
|
)
|
||
Issuance of related party note receivable (6)
|
—
|
|
|
(80,000
|
)
|
||
Issuance of note receivable (7)
|
—
|
|
|
(19,455
|
)
|
||
Proceeds from note receivable (7)
|
3,544
|
|
|
—
|
|
||
Investments in securities, net
|
(2,132
|
)
|
|
(902
|
)
|
||
Net cash used in investing activities
|
$
|
(1,015,091
|
)
|
|
$
|
(1,098,876
|
)
|
(1)
|
On January 10, 2019, we acquired land parcels at our Carnegie Center property located in Princeton, New Jersey for a gross purchase price of approximately $51.5 million, which includes an aggregate of approximately $8.6 million of additional amounts that are payable in the future to the seller upon the development or sale of each of the parcels. The land parcels will support approximately 1.7 million square feet of development.
|
(2)
|
Construction in progress for the year ended December 31, 2019 includes ongoing expenditures associated with Salesforce Tower, which was placed in-service during the year ended December 31, 2018 and 20 CityPoint and 145 Broadway, which were placed in-service during the year ended December 31, 2019. In addition, we incurred costs associated with our continued development/redevelopment of One Five Nine East 53rd Street, 17Fifty Presidents Street, Reston Gateway, 2100 Pennsylvania Avenue, 200 West Street, The Skylyne (MacArthur Station Residences) and 325 Main Street.
|
(3)
|
On January 24, 2019, we completed the sale of our 2600 Tower Oaks Boulevard property located in Rockville, Maryland for a gross sale price of approximately $22.7 million. Net cash proceeds totaled approximately $21.4 million, resulting in a loss on sale of real estate totaling approximately $0.6 million. 2600 Tower Oaks Boulevard is an approximately 179,000 net rentable square foot Class A office property.
|
(4)
|
Capital contributions to unconsolidated joint ventures for the year ended December 31, 2019 consisted primarily of cash contributions of approximately $45.0 million, $20.4 million, $12.8 million and $7.2 million to our Hub on Causeway, 3 Hudson Boulevard, Dock 72 and Metropolitan Square joint ventures, respectively.
|
(5)
|
Capital distributions from unconsolidated joint ventures for the year ended December 31, 2019 consisted of (1) cash distributions totaling approximately $104.1 million from our 540 Madison Avenue joint venture resulting from the net proceeds from the sale of the property, (2) a cash distribution totaling approximately $17.6 million from our 100 Causeway Street joint venture resulting from the proceeds from the construction loan financing and (3) a cash distribution totaling approximately $15.1 million from our 7750 Wisconsin Avenue joint venture resulting from the proceeds from the construction loan financing.
|
(6)
|
Issuance of related party note receivable consisted of the $80.0 million of mortgage financing that we provided to our unconsolidated joint venture that owns 3 Hudson Boulevard in New York City. The financing bears interest at a variable rate equal to LIBOR plus 3.50% per annum and matures on July 13, 2023, with extension options, subject to certain conditions.
|
(7)
|
Issuance of note receivable consisted of the $21.0 million of seller financing provided by us to the buyer in connection with the sale of land at our Tower Oaks property located in Rockville, Maryland, which is collateralized by a portion of the land parcel, bears interest at an effective rate of 1.92% per annum and matures on December 20, 2021.
|
|
|
December 31, 2019
|
|
||||||||
|
|
Shares / Units Outstanding
|
|
Common Stock Equivalent
|
|
Equivalent Value (1)
|
|
||||
Common Stock
|
|
154,790
|
|
|
154,790
|
|
|
$
|
21,339,349
|
|
|
Common Operating Partnership Units
|
|
17,908
|
|
|
17,908
|
|
|
2,468,797
|
|
(2)
|
|
5.25% Series B Cumulative Redeemable Preferred Stock
|
|
80
|
|
|
—
|
|
|
200,000
|
|
|
|
Total Equity
|
|
|
|
172,698
|
|
|
$
|
24,008,146
|
|
|
|
|
|
|
|
|
|
|
|
||||
Consolidated Debt
|
|
|
|
|
|
$
|
11,811,806
|
|
|
||
Add:
|
|
|
|
|
|
|
|
||||
BXP’s share of unconsolidated joint venture debt (3)
|
|
|
|
|
|
980,110
|
|
|
|||
Subtract:
|
|
|
|
|
|
|
|
||||
Partners’ share of Consolidated Debt (4)
|
|
|
|
|
|
(1,199,854
|
)
|
|
|||
BXP’s Share of Debt
|
|
|
|
|
|
$
|
11,592,062
|
|
|
||
|
|
|
|
|
|
|
|
||||
Consolidated Market Capitalization
|
|
|
|
|
|
$
|
35,819,952
|
|
|
||
BXP’s Share of Market Capitalization
|
|
|
|
|
|
$
|
35,600,208
|
|
|
||
Consolidated Debt/Consolidated Market Capitalization
|
|
|
|
|
|
32.98
|
%
|
|
|||
BXP’s Share of Debt/BXP’s Share of Market Capitalization
|
|
|
|
|
|
32.56
|
%
|
|
(1)
|
Except for the Series B Cumulative Redeemable Preferred Stock, which is valued at the liquidation preference of $2,500 per share, values are based on the closing price per share of BXP’s Common Stock on December 31, 2019 of $137.86.
|
(2)
|
Includes long-term incentive plan units (including 2012 OPP Units, 2013 MYLTIP Units, 2014 MYLTIP Units, 2015 MYLTIP Units and 2016 MYLTIP Units), but excludes MYLTIP Units granted between 2017 and 2019.
|
(3)
|
See page 101 for additional information.
|
(4)
|
See page 93 for additional information.
|
(i)
|
the number of outstanding shares of common stock of BXP,
|
(ii)
|
the number of outstanding OP Units in BPLP (excluding OP Units held by BXP),
|
(iii)
|
the number of OP Units issuable upon conversion of all outstanding LTIP Units, assuming all conditions have been met for the conversion of the LTIP Units, and
|
(iv)
|
the number of OP Units issuable upon conversion of 2012 OPP Units, 2013 MYLTIP Units, 2014 MYLTIP Units, 2015 MYLTIP Units and 2016 MYLTIP Units that were issued in the form of LTIP Units; plus
|
|
December 31,
|
||||||
|
2019
|
|
2018
|
||||
|
(dollars in thousands)
|
||||||
Debt Summary:
|
|
|
|
||||
Balance
|
|
|
|
||||
Fixed rate mortgage notes payable, net
|
$
|
2,922,408
|
|
|
$
|
2,964,572
|
|
Unsecured senior notes, net
|
8,390,459
|
|
|
7,544,697
|
|
||
Unsecured line of credit
|
—
|
|
|
—
|
|
||
Unsecured term loan, net
|
498,939
|
|
|
498,488
|
|
||
Consolidated Debt
|
11,811,806
|
|
|
11,007,757
|
|
||
Add:
|
|
|
|
||||
BXP’s share of unconsolidated joint venture debt, net (1)
|
980,110
|
|
|
890,574
|
|
||
Subtract:
|
|
|
|
||||
Partners’ share of consolidated mortgage notes payable, net (2)
|
(1,199,854
|
)
|
|
(1,204,774
|
)
|
||
BXP’s Share of Debt
|
$
|
11,592,062
|
|
|
$
|
10,693,557
|
|
|
|
|
|
||||
|
December 31,
|
||||||
|
2019
|
|
2018
|
||||
Consolidated Debt Financing Statistics:
|
|
|
|
||||
Percent of total debt:
|
|
|
|
||||
Fixed rate
|
95.78
|
%
|
|
95.47
|
%
|
||
Variable rate
|
4.22
|
%
|
|
4.53
|
%
|
||
Total
|
100.00
|
%
|
|
100.00
|
%
|
||
GAAP Weighted-average interest rate at end of period:
|
|
|
|
||||
Fixed rate
|
3.80
|
%
|
|
4.01
|
%
|
||
Variable rate
|
2.75
|
%
|
|
3.36
|
%
|
||
Total
|
3.75
|
%
|
|
3.99
|
%
|
||
Coupon/Stated Weighted-average interest rate at end of period:
|
|
|
|
||||
Fixed rate
|
3.69
|
%
|
|
3.91
|
%
|
||
Variable rate
|
2.66
|
%
|
|
3.27
|
%
|
||
Total
|
3.65
|
%
|
|
3.88
|
%
|
||
Weighted-average maturity at end of period (in years):
|
|
|
|
||||
Fixed rate
|
6.0
|
|
|
6.1
|
|
||
Variable rate
|
2.3
|
|
|
3.3
|
|
||
Total
|
5.9
|
|
|
6.0
|
|
(1)
|
See page 101 for additional information.
|
(2)
|
See page 93 for additional information.
|
Properties
|
|
Stated
Interest Rate
|
|
GAAP
Interest Rate (1)
|
|
Stated
Principal Amount
|
|
Deferred Financing Costs, Net
|
|
Carrying Amount
|
|
Carrying Amount (Partners’ Share)
|
|
|
|
Maturity Date
|
||||||||||
|
|
(dollars in thousands)
|
||||||||||||||||||||||||
Wholly-owned
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
University Place
|
|
6.94
|
%
|
|
6.99
|
%
|
|
$
|
3,623
|
|
|
$
|
(21
|
)
|
|
$
|
3,602
|
|
|
N/A
|
|
|
|
|
August 1, 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Consolidated Joint Ventures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
767 Fifth Avenue (the General Motors Building)
|
|
3.43
|
%
|
|
3.64
|
%
|
|
2,300,000
|
|
|
(25,972
|
)
|
|
2,274,028
|
|
|
$
|
909,704
|
|
|
(2)(3)(4)
|
|
June 9, 2027
|
|||
601 Lexington Avenue
|
|
4.75
|
%
|
|
4.79
|
%
|
|
645,531
|
|
|
(753
|
)
|
|
644,778
|
|
|
290,150
|
|
|
(5)
|
|
April 10, 2022
|
||||
|
|
|
|
|
|
2,945,531
|
|
|
(26,725
|
)
|
|
2,918,806
|
|
|
1,199,854
|
|
|
|
|
|
||||||
Total
|
|
|
|
|
|
$
|
2,949,154
|
|
|
$
|
(26,746
|
)
|
|
$
|
2,922,408
|
|
|
$
|
1,199,854
|
|
|
|
|
|
(1)
|
GAAP interest rate differs from the stated interest rate due to the inclusion of the amortization of financing charges and the effects of hedging transactions (if any).
|
(2)
|
The mortgage loan requires interest only payments with a balloon payment due at maturity.
|
(3)
|
This property is owned by a consolidated entity in which we have a 60% interest. The partners’ share of the carrying amount has been adjusted for basis differentials.
|
(4)
|
In connection with the refinancing of the loan, we guaranteed the consolidated entity’s obligation to fund various reserves for tenant improvement costs and allowances, leasing commissions and free rent obligations in lieu of cash deposits. As of December 31, 2019, the maximum funding obligation under the guarantee was approximately $70.2 million. We earn a fee from the joint venture for providing the guarantee and have an agreement with our partners to reimburse the joint venture for their share of any payments made under the guarantee (See Note 9 to the Consolidated Financial Statements).
|
(5)
|
This property is owned by a consolidated entity in which we have a 55% interest.
|
|
Principal Payments
|
||
Year
|
(in thousands)
|
||
2020
|
$
|
17,168
|
|
2021
|
17,276
|
|
|
2022
|
614,710
|
|
|
2023
|
—
|
|
|
2024
|
—
|
|
|
Thereafter
|
2,300,000
|
|
|
|
$
|
2,949,154
|
|
|
|
Year ended December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands)
|
||||||||||||||||||
Net income attributable to Boston Properties, Inc. common shareholders
|
|
$
|
511,034
|
|
|
$
|
572,347
|
|
|
$
|
451,939
|
|
|
$
|
502,285
|
|
|
$
|
572,606
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred dividends
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|||||
Noncontrolling interest—common units of the Operating Partnership
|
|
59,345
|
|
|
66,807
|
|
|
52,210
|
|
|
59,260
|
|
|
66,951
|
|
|||||
Noncontrolling interest—redeemable preferred units of the Operating Partnership
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|||||
Noncontrolling interests in property partnerships
|
|
71,120
|
|
|
62,909
|
|
|
47,832
|
|
|
(2,068
|
)
|
|
149,855
|
|
|||||
Net income
|
|
651,999
|
|
|
712,563
|
|
|
562,481
|
|
|
569,977
|
|
|
799,918
|
|
|||||
Add:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization
|
|
677,764
|
|
|
645,649
|
|
|
617,547
|
|
|
694,403
|
|
|
639,542
|
|
|||||
Noncontrolling interests in property partnerships’ share of depreciation and amortization
|
|
(71,389
|
)
|
|
(73,880
|
)
|
|
(78,190
|
)
|
|
(107,087
|
)
|
|
(90,832
|
)
|
|||||
BXP’s share of depreciation and amortization from unconsolidated joint ventures
|
|
58,451
|
|
|
54,352
|
|
|
34,262
|
|
|
26,934
|
|
|
6,556
|
|
|||||
Corporate-related depreciation and amortization
|
|
(1,695
|
)
|
|
(1,634
|
)
|
|
(1,986
|
)
|
|
(1,568
|
)
|
|
(1,503
|
)
|
|||||
Impairment losses
|
|
24,038
|
|
|
11,812
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Less:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Gains on sales of real estate
|
|
709
|
|
|
182,356
|
|
|
7,663
|
|
|
80,606
|
|
|
375,895
|
|
|||||
Gain on sale of investment in unconsolidated joint venture (1)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
59,370
|
|
|
—
|
|
|||||
Gains on sales of real estate included within income from unconsolidated joint ventures (2)
|
|
47,238
|
|
|
8,270
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Noncontrolling interests in property partnerships (3)
|
|
71,120
|
|
|
62,909
|
|
|
47,832
|
|
|
(2,068
|
)
|
|
48,737
|
|
|||||
Noncontrolling interest—redeemable preferred units of the Operating Partnership
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|||||
Preferred dividends
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|||||
Funds from Operations (FFO) attributable to the Operating Partnership common unitholders (including Boston Properties, Inc.)
|
|
1,209,601
|
|
|
1,084,827
|
|
|
1,068,119
|
|
|
1,034,251
|
|
|
918,543
|
|
|||||
Less:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Noncontrolling interest—common units of the Operating Partnership’s share of funds from operations
|
|
123,757
|
|
|
110,338
|
|
|
108,707
|
|
|
106,504
|
|
|
94,828
|
|
|||||
Funds from Operations attributable to Boston Properties, Inc. common shareholders
|
|
$
|
1,085,844
|
|
|
$
|
974,489
|
|
|
$
|
959,412
|
|
|
$
|
927,747
|
|
|
$
|
823,715
|
|
Our percentage share of Funds from Operations—basic
|
|
89.77
|
%
|
|
89.83
|
%
|
|
89.82
|
%
|
|
89.70
|
%
|
|
89.68
|
%
|
|||||
Weighted average shares outstanding—basic
|
|
154,582
|
|
|
154,427
|
|
|
154,190
|
|
|
153,715
|
|
|
153,471
|
|
(1)
|
The gain on sale of investment in unconsolidated joint venture consists of the gain on sale of a 31% interest in Metropolitan Square. We continue to own a 20% interest in the joint venture.
|
(2)
|
Consists of the portion of income from unconsolidated joint ventures related to the gain on sale of real estate associated with the sale of 540 Madison Avenue for the year ended December 31, 2019 and the gain on the distribution of Annapolis Junction Building One for the year ended December 31, 2018.
|
(3)
|
For the year ended December 31, 2015, excludes the noncontrolling interests in property partnerships’ share of a gain on sale of real estate totaling approximately $101.1 million.
|
|
|
For the years ended December 31,
|
|||||||||||||||||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||
|
|
(in thousands)
|
|||||||||||||||||||||||||||||||||
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|||||||||||||||
Basic Funds from Operations
|
|
$
|
1,209,601
|
|
|
172,200
|
|
|
$
|
1,084,827
|
|
|
171,912
|
|
|
$
|
1,068,119
|
|
|
171,661
|
|
|
$
|
1,034,251
|
|
|
171,361
|
|
|
$
|
918,543
|
|
|
171,139
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Stock based compensation
|
|
—
|
|
|
301
|
|
|
—
|
|
|
255
|
|
|
—
|
|
|
200
|
|
|
—
|
|
|
262
|
|
|
—
|
|
|
373
|
|
|||||
Diluted Funds from Operations
|
|
$
|
1,209,601
|
|
|
172,501
|
|
|
$
|
1,084,827
|
|
|
172,167
|
|
|
$
|
1,068,119
|
|
|
171,861
|
|
|
$
|
1,034,251
|
|
|
171,623
|
|
|
$
|
918,543
|
|
|
171,512
|
|
Less: Noncontrolling interest—common units of the Operating Partnership’s share of diluted Funds from Operations
|
|
123,541
|
|
|
17,618
|
|
|
110,175
|
|
|
17,485
|
|
|
108,580
|
|
|
17,471
|
|
|
106,341
|
|
|
17,646
|
|
|
94,622
|
|
|
17,668
|
|
|||||
Diluted Funds from Operations attributable to Boston Properties, Inc. (1)
|
|
$
|
1,086,060
|
|
|
154,883
|
|
|
$
|
974,652
|
|
|
154,682
|
|
|
$
|
959,539
|
|
|
154,390
|
|
|
$
|
927,910
|
|
|
153,977
|
|
|
$
|
823,921
|
|
|
153,844
|
|
(1)
|
BXP’s share of diluted Funds from Operations was 89.79%, 89.84%, 89.83%, 89.72% and 89.70% for the years ended December 31, 2019, 2018, 2017, 2016 and 2015, respectively.
|
|
|
Year ended December 31,
|
||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
||||||||||
|
|
(in thousands)
|
||||||||||||||||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
|
$
|
580,102
|
|
|
$
|
656,903
|
|
|
$
|
512,866
|
|
|
$
|
575,341
|
|
|
$
|
648,748
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred distributions
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|||||
Noncontrolling interest—redeemable preferred units
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|||||
Noncontrolling interests in property partnerships
|
|
71,120
|
|
|
62,909
|
|
|
47,832
|
|
|
(2,068
|
)
|
|
149,855
|
|
|||||
Net income
|
|
661,722
|
|
|
730,312
|
|
|
571,198
|
|
|
583,773
|
|
|
809,109
|
|
|||||
Add:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Real estate depreciation and amortization
|
|
669,956
|
|
|
637,891
|
|
|
609,407
|
|
|
682,776
|
|
|
631,549
|
|
|||||
Noncontrolling interests in property partnerships’ share of depreciation and amortization
|
|
(71,389
|
)
|
|
(73,880
|
)
|
|
(78,190
|
)
|
|
(107,087
|
)
|
|
(90,832
|
)
|
|||||
BPLP’s share of depreciation and amortization from unconsolidated joint ventures
|
|
58,451
|
|
|
54,352
|
|
|
34,262
|
|
|
26,934
|
|
|
6,556
|
|
|||||
Corporate-related depreciation and amortization
|
|
(1,695
|
)
|
|
(1,634
|
)
|
|
(1,986
|
)
|
|
(1,568
|
)
|
|
(1,503
|
)
|
|||||
Impairment losses
|
|
22,272
|
|
|
10,181
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Less:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Gains on sales of real estate
|
|
858
|
|
|
190,716
|
|
|
8,240
|
|
|
82,775
|
|
|
377,093
|
|
|||||
Gain on sale of investment in unconsolidated joint venture (1)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
59,370
|
|
|
—
|
|
|||||
Gains on sales of real estate included within income from unconsolidated joint ventures (2)
|
|
47,238
|
|
|
8,270
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Noncontrolling interests in property partnerships (3)
|
|
71,120
|
|
|
62,909
|
|
|
47,832
|
|
|
(2,068
|
)
|
|
48,737
|
|
|||||
Noncontrolling interest—redeemable preferred units
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|||||
Preferred distributions
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|||||
Funds from operations attributable to Boston Properties Limited Partnership common unitholders (4)
|
|
$
|
1,209,601
|
|
|
$
|
1,084,827
|
|
|
$
|
1,068,119
|
|
|
$
|
1,034,251
|
|
|
$
|
918,543
|
|
Weighted average units outstanding—basic
|
|
172,200
|
|
|
171,912
|
|
|
171,661
|
|
|
171,361
|
|
|
171,139
|
|
(1)
|
The gain on sale of investment in unconsolidated joint venture consists of the gain on sale of a 31% interest in Metropolitan Square. We continue to own a 20% interest in the joint venture.
|
(2)
|
Consists of the portion of income from unconsolidated joint ventures related to the gain on sale of real estate associated with the sale of 540 Madison Avenue for the year ended December 31, 2019 and the gain on the distribution of Annapolis Junction Building One for the year ended December 31, 2018.
|
(3)
|
For the year ended December 31, 2015, excludes the noncontrolling interests in property partnerships’ share of a gain on sale of real estate totaling approximately $101.1 million.
|
(4)
|
Our calculation includes OP Units and vested LTIP Units (including vested 2012 OPP Units, vested 2013 MYLTIP Units, vested 2014 MYLTIP Units, vested 2015 MYLTIP Units and vested 2016 MYLTIP Units).
|
|
|
For the years ended December 31,
|
|||||||||||||||||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||
|
|
(in thousands)
|
|||||||||||||||||||||||||||||||||
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|
Income
(Numerator)
|
|
Shares/Units
(Denominator)
|
|||||||||||||||
Basic Funds from Operations
|
|
$
|
1,209,601
|
|
|
172,200
|
|
|
$
|
1,084,827
|
|
|
171,912
|
|
|
$
|
1,068,119
|
|
|
171,661
|
|
|
$
|
1,034,251
|
|
|
171,361
|
|
|
$
|
918,543
|
|
|
171,139
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Stock based compensation
|
|
—
|
|
|
301
|
|
|
—
|
|
|
255
|
|
|
—
|
|
|
200
|
|
|
—
|
|
|
262
|
|
|
—
|
|
|
373
|
|
|||||
Diluted Funds from Operations
|
|
$
|
1,209,601
|
|
|
172,501
|
|
|
$
|
1,084,827
|
|
|
172,167
|
|
|
$
|
1,068,119
|
|
|
171,861
|
|
|
$
|
1,034,251
|
|
|
171,623
|
|
|
$
|
918,543
|
|
|
171,512
|
|
|
|
Payments Due by Period
|
||||||||||||||||||||||||||
|
|
Total
|
|
2020
|
|
2021
|
|
2022
|
|
2023
|
|
2024
|
|
Thereafter
|
||||||||||||||
|
|
(in thousands)
|
||||||||||||||||||||||||||
Contractual Obligations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Long-term debt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Mortgage debt (1)
|
|
$
|
3,605,835
|
|
|
$
|
126,581
|
|
|
$
|
125,811
|
|
|
$
|
703,301
|
|
|
$
|
78,890
|
|
|
$
|
78,890
|
|
|
$
|
2,492,362
|
|
Unsecured senior notes (1)
|
|
10,244,731
|
|
|
301,188
|
|
|
1,133,656
|
|
|
266,125
|
|
|
1,733,344
|
|
|
892,050
|
|
|
5,918,368
|
|
|||||||
Unsecured line of credit / term loan (1) (2)
|
|
530,681
|
|
|
13,300
|
|
|
13,300
|
|
|
504,081
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Ground leases
|
|
630,617
|
|
|
10,050
|
|
|
24,973
|
|
|
18,041
|
|
|
10,322
|
|
|
9,277
|
|
|
557,954
|
|
|||||||
Tenant obligations (3)
|
|
643,511
|
|
|
493,140
|
|
|
97,836
|
|
|
20,938
|
|
|
21,166
|
|
|
10,431
|
|
|
—
|
|
|||||||
Construction contracts on development projects
|
|
1,334,235
|
|
|
548,681
|
|
|
432,963
|
|
|
322,951
|
|
|
29,337
|
|
|
303
|
|
|
—
|
|
|||||||
Finance leases
|
|
1,458,470
|
|
|
834
|
|
|
5,960
|
|
|
10,208
|
|
|
9,708
|
|
|
48,518
|
|
|
1,383,242
|
|
|||||||
Other obligations
|
|
4,514
|
|
|
4,507
|
|
|
7
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Total Contractual Obligations
|
|
$
|
18,452,594
|
|
|
$
|
1,498,281
|
|
|
$
|
1,834,506
|
|
|
$
|
1,845,645
|
|
|
$
|
1,882,767
|
|
|
$
|
1,039,469
|
|
|
$
|
10,351,926
|
|
(1)
|
Amounts include principal and interest payments.
|
(2)
|
Interest payments are calculated using the December 31, 2019 interest rate of 2.66%.
|
(3)
|
Committed tenant-related obligations based on executed leases as of December 31, 2019 (tenant improvements and lease commissions).
|
Properties
|
|
Venture Ownership %
|
|
Stated Interest Rate
|
|
GAAP Interest Rate (1)
|
|
Stated Principal Amount
|
|
Deferred Financing Costs, Net
|
|
Carrying Amount
|
|
Carrying Amount (Our share)
|
|
|
|
Maturity Date
|
|||||||||||
|
|
(dollars in thousands)
|
|||||||||||||||||||||||||||
Santa Monica Business Park
|
|
55
|
%
|
|
4.06
|
%
|
|
4.24
|
%
|
|
$
|
300,000
|
|
|
$
|
(2,917
|
)
|
|
$
|
297,083
|
|
|
$
|
163,396
|
|
|
(2)(3)
|
|
July 19, 2025
|
Market Square North
|
|
50
|
%
|
|
4.85
|
%
|
|
4.91
|
%
|
|
116,181
|
|
|
(63
|
)
|
|
116,118
|
|
|
58,059
|
|
|
|
|
October 1, 2020
|
||||
Annapolis Junction Building Six
|
|
50
|
%
|
|
3.76
|
%
|
|
3.91
|
%
|
|
12,536
|
|
|
(20
|
)
|
|
12,516
|
|
|
6,258
|
|
|
(4)
|
|
November 17, 2020
|
||||
Annapolis Junction Building Seven and Eight
|
|
50
|
%
|
|
4.19
|
%
|
|
4.30
|
%
|
|
34,793
|
|
|
(7
|
)
|
|
34,786
|
|
|
17,393
|
|
|
(5)
|
|
March 6, 2020
|
||||
1265 Main Street
|
|
50
|
%
|
|
3.77
|
%
|
|
3.84
|
%
|
|
38,160
|
|
|
(334
|
)
|
|
37,826
|
|
|
18,913
|
|
|
|
|
January 1, 2032
|
||||
Colorado Center
|
|
50
|
%
|
|
3.56
|
%
|
|
3.58
|
%
|
|
550,000
|
|
|
(782
|
)
|
|
549,218
|
|
|
274,609
|
|
|
(2)
|
|
August 9, 2027
|
||||
Dock 72
|
|
50
|
%
|
|
4.02
|
%
|
|
5.16
|
%
|
|
173,773
|
|
|
(3,362
|
)
|
|
170,411
|
|
|
85,206
|
|
|
(2)(6)
|
|
December 18, 2020
|
||||
The Hub on Causeway - Podium
|
|
50
|
%
|
|
4.06
|
%
|
|
4.55
|
%
|
|
158,648
|
|
|
(1,718
|
)
|
|
156,930
|
|
|
78,465
|
|
|
(2)(7)
|
|
September 6, 2021
|
||||
Hub50House
|
|
50
|
%
|
|
3.77
|
%
|
|
4.06
|
%
|
|
141,187
|
|
|
(1,190
|
)
|
|
139,997
|
|
|
69,999
|
|
|
(2)(8)
|
|
April 19, 2022
|
||||
100 Causeway Street
|
|
50
|
%
|
|
3.31
|
%
|
|
3.52
|
%
|
|
81,105
|
|
|
(3,106
|
)
|
|
77,999
|
|
|
39,000
|
|
|
(2)(9)
|
|
September 5, 2023
|
||||
7750 Wisconsin Avenue (Marriott International Headquarters)
|
|
50
|
%
|
|
3.07
|
%
|
|
3.62
|
%
|
|
64,456
|
|
|
(4,641
|
)
|
|
59,815
|
|
|
29,908
|
|
|
(2)(10)
|
|
April 26, 2023
|
||||
500 North Capitol Street, NW
|
|
30
|
%
|
|
4.15
|
%
|
|
4.20
|
%
|
|
105,000
|
|
|
(202
|
)
|
|
104,798
|
|
|
31,439
|
|
|
(2)
|
|
June 6, 2023
|
||||
901 New York Avenue
|
|
25
|
%
|
|
3.61
|
%
|
|
3.69
|
%
|
|
225,000
|
|
|
(892
|
)
|
|
224,108
|
|
|
56,027
|
|
|
|
|
January 5, 2025
|
||||
3 Hudson Boulevard
|
|
25
|
%
|
|
5.34
|
%
|
|
5.42
|
%
|
|
80,000
|
|
|
(224
|
)
|
|
79,776
|
|
|
19,944
|
|
|
(2)(11)
|
|
July 13, 2023
|
||||
Metropolitan Square
|
|
20
|
%
|
|
5.75
|
%
|
|
5.81
|
%
|
|
157,505
|
|
|
(33
|
)
|
|
157,472
|
|
|
31,494
|
|
|
|
|
May 5, 2020
|
||||
Total
|
|
|
|
|
|
|
|
$
|
2,238,344
|
|
|
$
|
(19,491
|
)
|
|
$
|
2,218,853
|
|
|
$
|
980,110
|
|
|
|
|
|
(1)
|
GAAP interest rate differs from the stated interest rate due to the inclusion of the amortization of financing charges, which includes mortgage recording fees.
|
(2)
|
The loan requires interest only payments with a balloon payment due at maturity.
|
(3)
|
The loan bears interest at a variable rate equal to LIBOR plus 1.28% per annum and matures on July 19, 2025. A subsidiary of the joint venture entered into interest rate swap contracts with notional amounts aggregating $300.0 million through April 1, 2025, resulting in a fixed rate of approximately 4.063% per annum through the expiration of the interest rate swap contracts.
|
(4)
|
The loan bears interest at a variable rate equal to LIBOR plus 2.00% per annum and matures on November 17, 2020.
|
(5)
|
The loan bears interest at a variable rate equal to LIBOR plus 2.35% per annum and matures on March 6, 2020.
|
(6)
|
The construction financing has a borrowing capacity of $250.0 million. The construction financing bears interest at a variable rate equal to LIBOR plus 2.25% per annum and matures on December 18, 2020, with two, one-year extension options, subject to certain conditions.
|
(7)
|
The construction financing had a borrowing capacity of $204.6 million. On September 16, 2019, the joint venture paid down the construction loan principal balance in the amount of approximately $28.8 million, reducing the borrowing capacity to $175.8 million. The construction financing bears interest at a variable rate equal to LIBOR plus 2.25% per annum and matures on September 6, 2021, with two, one-year extension options, subject to certain conditions.
|
(8)
|
The construction financing has a borrowing capacity of $180.0 million. The construction financing bears interest at a variable rate equal to LIBOR plus 2.00% per annum and matures on April 19, 2022, with two, one-year extension options, subject to certain conditions.
|
(9)
|
The construction financing has a borrowing capacity of $400.0 million. The construction financing bears interest at a variable rate equal to LIBOR plus 1.50% per annum (LIBOR plus 1.375% per annum upon stabilization, as defined in the loan agreement) and matures on September 5, 2023, with two, one-year extension options, subject to certain conditions.
|
(10)
|
The construction financing has a borrowing capacity of $255.0 million. The construction financing bears interest at a variable rate equal to LIBOR plus 1.25% per annum and matures on April 26, 2023, with two, one-year extension options, subject to certain conditions.
|
(11)
|
We provided $80.0 million of mortgage financing to the joint venture. The loan bears interest at a variable rate equal to LIBOR plus 3.50% per annum and matures on July 13, 2023, with extension options, subject to certain conditions. The loan has been reflected as Related Party Note Receivable on our Consolidated Balance Sheets.
|
|
2020
|
|
2021
|
|
2022
|
|
2023
|
|
2024
|
|
2025+
|
|
Total
|
|
Estimated
Fair Value
|
|||||||||||||||||
|
(dollars in thousands)
Mortgage debt, net
|
|||||||||||||||||||||||||||||||
Fixed Rate
|
$
|
13,327
|
|
|
$
|
13,440
|
|
|
$
|
611,132
|
|
|
$
|
(3,494
|
)
|
|
$
|
(3,494
|
)
|
|
$
|
2,291,497
|
|
|
$
|
2,922,408
|
|
|
$
|
2,984,956
|
|
|
GAAP Average Interest Rate
|
5.07
|
%
|
|
4.98
|
%
|
|
4.79
|
%
|
|
—
|
%
|
|
—
|
%
|
|
3.64
|
%
|
|
3.90
|
%
|
|
|
||||||||||
Variable Rate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
|
Unsecured debt, net
|
|||||||||||||||||||||||||||||||
Fixed Rate
|
$
|
(10,278
|
)
|
|
$
|
840,467
|
|
|
$
|
(9,071
|
)
|
|
$
|
1,492,010
|
|
|
$
|
693,287
|
|
|
$
|
5,384,044
|
|
|
$
|
8,390,459
|
|
|
$
|
8,826,375
|
|
|
GAAP Average Interest Rate
|
—
|
%
|
|
4.29
|
%
|
|
—
|
%
|
|
3.73
|
%
|
|
3.92
|
%
|
|
3.67
|
%
|
|
3.76
|
%
|
|
|
||||||||||
Variable Rate
|
(460
|
)
|
|
(451
|
)
|
|
499,850
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
498,939
|
|
|
500,561
|
|
|||||||||
Total Debt
|
$
|
2,589
|
|
|
$
|
853,456
|
|
—
|
|
$
|
1,101,911
|
|
|
$
|
1,488,516
|
|
|
$
|
689,793
|
|
|
$
|
7,675,541
|
|
|
$
|
11,811,806
|
|
|
$
|
12,311,892
|
|
|
|
|
|
|
Page
|
|
|
|
Boston Properties, Inc.
|
|
|
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
|
|
Boston Properties Limited Partnership
|
|
|
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
|
|
|
||
|
|
|
Boston Properties, Inc.
|
|
|
|
||
|
|
|
Boston Properties Limited Partnership
|
|
|
|
BOSTON PROPERTIES, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except for share and par value amounts)
|
||||||||
|
|
December 31,
2019 |
|
December 31,
2018 |
||||
ASSETS
|
|
|
|
|
||||
Real estate, at cost (amounts related to variable interest entities (“VIEs”) of $6,497,031 and $7,481,015 at December 31, 2019 and 2018, respectively)
|
|
$
|
22,502,976
|
|
|
$
|
21,649,896
|
|
Right of use assets - finance leases (amount related to VIEs of $21,000 at December 31, 2019)
|
|
237,394
|
|
|
—
|
|
||
Right of use assets - operating leases
|
|
148,640
|
|
|
—
|
|
||
Less: accumulated depreciation (amounts related to VIEs of $(1,058,495) and $(965,500) at December 31, 2019 and 2018, respectively)
|
|
(5,266,798
|
)
|
|
(4,897,777
|
)
|
||
Total real estate
|
|
17,622,212
|
|
|
16,752,119
|
|
||
Cash and cash equivalents (amounts related to VIEs of $280,033 and $296,806 at December 31, 2019 and 2018, respectively)
|
|
644,950
|
|
|
543,359
|
|
||
Cash held in escrows
|
|
46,936
|
|
|
95,832
|
|
||
Investments in securities
|
|
36,747
|
|
|
28,198
|
|
||
Tenant and other receivables, net (amounts related to VIEs of $28,918 and $15,519 at December 31, 2019 and 2018, respectively)
|
|
112,807
|
|
|
86,629
|
|
||
Related party note receivable
|
|
80,000
|
|
|
80,000
|
|
||
Note receivable
|
|
15,920
|
|
|
19,468
|
|
||
Accrued rental income, net (amounts related to VIEs of $298,318 and $272,466 at December 31, 2019 and 2018, respectively)
|
|
1,038,788
|
|
|
934,896
|
|
||
Deferred charges, net (amounts related to VIEs of $214,769 and $263,402 at December 31, 2019 and 2018, respectively)
|
|
689,213
|
|
|
678,724
|
|
||
Prepaid expenses and other assets (amounts related to VIEs of $20,931 and $26,513 at December 31, 2019 and 2018, respectively)
|
|
41,685
|
|
|
80,943
|
|
||
Investments in unconsolidated joint ventures
|
|
955,647
|
|
|
956,309
|
|
||
Total assets
|
|
$
|
21,284,905
|
|
|
$
|
20,256,477
|
|
LIABILITIES AND EQUITY
|
|
|
|
|
||||
Liabilities:
|
|
|
|
|
||||
Mortgage notes payable, net (amounts related to VIEs of $2,918,806 and $2,929,326 at December 31, 2019 and 2018, respectively)
|
|
$
|
2,922,408
|
|
|
$
|
2,964,572
|
|
Unsecured senior notes, net
|
|
8,390,459
|
|
|
7,544,697
|
|
||
Unsecured line of credit
|
|
—
|
|
|
—
|
|
||
Unsecured term loan, net
|
|
498,939
|
|
|
498,488
|
|
||
Lease liabilities - finance leases (amount related to VIEs of $20,189 at December 31, 2019)
|
|
224,042
|
|
|
—
|
|
||
Lease liabilities - operating leases
|
|
200,180
|
|
|
—
|
|
||
Accounts payable and accrued expenses (amounts related to VIEs of $45,777 and $75,786 at December 31, 2019 and 2018, respectively)
|
|
377,553
|
|
|
276,645
|
|
||
Dividends and distributions payable
|
|
170,713
|
|
|
165,114
|
|
||
Accrued interest payable
|
|
90,016
|
|
|
89,267
|
|
||
Other liabilities (amounts related to VIEs of $140,110 and $200,344 at December 31, 2019 and 2018, respectively)
|
|
387,994
|
|
|
503,726
|
|
||
Total liabilities
|
|
13,262,304
|
|
|
12,042,509
|
|
||
Commitments and contingencies
|
|
—
|
|
|
—
|
|
||
|
|
|
|
|
||||
Redeemable deferred stock units— 60,676 units outstanding at redemption value at December 31, 2019
|
|
8,365
|
|
|
—
|
|
BOSTON PROPERTIES, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except for share and par value amounts)
|
||||||||
|
|
December 31,
2019 |
|
December 31,
2018 |
||||
Equity:
|
|
|
|
|
||||
Stockholders’ equity attributable to Boston Properties, Inc.:
|
|
|
|
|
||||
Excess stock, $0.01 par value, 150,000,000 shares authorized, none issued or outstanding
|
|
—
|
|
|
—
|
|
||
Preferred stock, $0.01 par value, 50,000,000 shares authorized;
|
|
|
|
|
||||
5.25% Series B cumulative redeemable preferred stock, $0.01 par value, liquidation preference $2,500 per share, 92,000 shares authorized, 80,000 shares issued and outstanding at December 31, 2019 and December 31, 2018
|
|
200,000
|
|
|
200,000
|
|
||
Common stock, $0.01 par value, 250,000,000 shares authorized, 154,869,198 and 154,537,378 issued and 154,790,298 and 154,458,478 outstanding at December 31, 2019 and December 31, 2018, respectively
|
|
1,548
|
|
|
1,545
|
|
||
Additional paid-in capital
|
|
6,294,719
|
|
|
6,407,623
|
|
||
Dividends in excess of earnings
|
|
(760,523
|
)
|
|
(675,534
|
)
|
||
Treasury common stock at cost, 78,900 shares at December 31, 2019 and December 31, 2018
|
|
(2,722
|
)
|
|
(2,722
|
)
|
||
Accumulated other comprehensive loss
|
|
(48,335
|
)
|
|
(47,741
|
)
|
||
Total stockholders’ equity attributable to Boston Properties, Inc.
|
|
5,684,687
|
|
|
5,883,171
|
|
||
Noncontrolling interests:
|
|
|
|
|
||||
Common units of Boston Properties Limited Partnership
|
|
600,860
|
|
|
619,352
|
|
||
Property partnerships
|
|
1,728,689
|
|
|
1,711,445
|
|
||
Total equity
|
|
8,014,236
|
|
|
8,213,968
|
|
||
Total liabilities and equity
|
|
$
|
21,284,905
|
|
|
$
|
20,256,477
|
|
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands, except for per share amounts)
|
||||||||||
Revenue
|
|
|
|
|
|
||||||
Lease
|
$
|
2,758,014
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Base rent
|
—
|
|
|
2,103,723
|
|
|
2,049,368
|
|
|||
Recoveries from tenants
|
—
|
|
|
402,066
|
|
|
367,500
|
|
|||
Parking and other
|
103,534
|
|
|
107,421
|
|
|
105,000
|
|
|||
Hotel revenue
|
48,589
|
|
|
49,118
|
|
|
45,603
|
|
|||
Development and management services
|
40,039
|
|
|
45,158
|
|
|
34,605
|
|
|||
Direct reimbursements of payroll and related costs from management services contracts
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
Total revenue
|
2,960,562
|
|
|
2,717,076
|
|
|
2,602,076
|
|
|||
Expenses
|
|
|
|
|
|
||||||
Operating
|
|
|
|
|
|
||||||
Rental
|
1,050,010
|
|
|
979,151
|
|
|
929,977
|
|
|||
Hotel
|
34,004
|
|
|
33,863
|
|
|
32,059
|
|
|||
General and administrative
|
140,777
|
|
|
121,722
|
|
|
113,715
|
|
|||
Payroll and related costs from management services contracts
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
Transaction costs
|
1,984
|
|
|
1,604
|
|
|
668
|
|
|||
Depreciation and amortization
|
677,764
|
|
|
645,649
|
|
|
617,547
|
|
|||
Total expenses
|
1,914,925
|
|
|
1,791,579
|
|
|
1,693,966
|
|
|||
Other income (expense)
|
|
|
|
|
|
||||||
Income from unconsolidated joint ventures
|
46,592
|
|
|
2,222
|
|
|
11,232
|
|
|||
Gains on sales of real estate
|
709
|
|
|
182,356
|
|
|
7,663
|
|
|||
Interest and other income
|
18,939
|
|
|
10,823
|
|
|
5,783
|
|
|||
Gains (losses) from investments in securities
|
6,417
|
|
|
(1,865
|
)
|
|
3,678
|
|
|||
Impairment losses
|
(24,038
|
)
|
|
(11,812
|
)
|
|
—
|
|
|||
Interest expense
|
(412,717
|
)
|
|
(378,168
|
)
|
|
(374,481
|
)
|
|||
(Losses) gains from early extinguishments of debt
|
(29,540
|
)
|
|
(16,490
|
)
|
|
496
|
|
|||
Net income
|
651,999
|
|
|
712,563
|
|
|
562,481
|
|
|||
Net income attributable to noncontrolling interests
|
|
|
|
|
|
||||||
Noncontrolling interests in property partnerships
|
(71,120
|
)
|
|
(62,909
|
)
|
|
(47,832
|
)
|
|||
Noncontrolling interest—common units of the Operating Partnership
|
(59,345
|
)
|
|
(66,807
|
)
|
|
(52,210
|
)
|
|||
Net income attributable to Boston Properties, Inc.
|
521,534
|
|
|
582,847
|
|
|
462,439
|
|
|||
Preferred dividends
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
511,034
|
|
|
$
|
572,347
|
|
|
$
|
451,939
|
|
Basic earnings per common share attributable to Boston Properties, Inc. common shareholders:
|
|
|
|
|
|
||||||
Net income
|
$
|
3.31
|
|
|
$
|
3.71
|
|
|
$
|
2.93
|
|
Weighted average number of common shares outstanding
|
154,582
|
|
|
154,427
|
|
|
154,190
|
|
|||
Diluted earnings per common share attributable to Boston Properties, Inc. common shareholders:
|
|
|
|
|
|
||||||
Net income
|
$
|
3.30
|
|
|
$
|
3.70
|
|
|
$
|
2.93
|
|
Weighted average number of common and common equivalent shares outstanding
|
154,883
|
|
|
154,682
|
|
|
154,390
|
|
|
|
For the year ended December 31,
|
||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
|
|
(in thousands)
|
||||||||||
Net income
|
|
$
|
651,999
|
|
|
$
|
712,563
|
|
|
$
|
562,481
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
||||||
Effective portion of interest rate contracts
|
|
(6,751
|
)
|
|
(3,096
|
)
|
|
(6,133
|
)
|
|||
Amortization of interest rate contracts (1)
|
|
6,664
|
|
|
6,664
|
|
|
6,033
|
|
|||
Other comprehensive income (loss)
|
|
(87
|
)
|
|
3,568
|
|
|
(100
|
)
|
|||
Comprehensive income
|
|
651,912
|
|
|
716,131
|
|
|
562,381
|
|
|||
Net income attributable to noncontrolling interests
|
|
(130,465
|
)
|
|
(129,716
|
)
|
|
(100,042
|
)
|
|||
Other comprehensive income (loss) attributable to noncontrolling interests
|
|
(507
|
)
|
|
(880
|
)
|
|
1,922
|
|
|||
Comprehensive income attributable to Boston Properties, Inc.
|
|
$
|
520,940
|
|
|
$
|
585,535
|
|
|
$
|
464,261
|
|
(1)
|
Amounts reclassified from comprehensive income primarily to interest expense within Boston Properties, Inc.’s Consolidated Statements of Operations.
|
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(in thousands)
|
||||||||||||||||||||||||||||||||||||||
|
Common Stock
|
|
Preferred Stock
|
|
Additional Paid-in Capital
|
|
Dividends in Excess of Earnings
|
|
Treasury Stock,
at cost
|
|
Accumulated Other Comprehensive Loss
|
|
Noncontrolling Interests - Common Units
|
|
Noncontrolling Interests - Property Partnerships
|
|
Total
|
|||||||||||||||||||||
|
Shares
|
|
Amount
|
|
|
|||||||||||||||||||||||||||||||||
Equity, December 31, 2016
|
153,790
|
|
|
1,538
|
|
|
$
|
200,000
|
|
|
$
|
6,333,424
|
|
|
$
|
(693,694
|
)
|
|
$
|
(2,722
|
)
|
|
$
|
(52,251
|
)
|
|
$
|
614,982
|
|
|
$
|
1,530,647
|
|
|
$
|
7,931,924
|
|
|
Cumulative effect of a change in accounting principle
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(272
|
)
|
|
—
|
|
|
—
|
|
|
(1,763
|
)
|
|
—
|
|
|
(2,035
|
)
|
|||||||||
Redemption of operating partnership units to common stock
|
495
|
|
|
5
|
|
|
—
|
|
|
16,911
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(16,916
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Allocated net income for the year
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
462,439
|
|
|
—
|
|
|
—
|
|
|
52,210
|
|
|
47,832
|
|
|
562,481
|
|
|||||||||
Dividends/distributions declared
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(480,816
|
)
|
|
—
|
|
|
—
|
|
|
(54,494
|
)
|
|
—
|
|
|
(535,310
|
)
|
|||||||||
Shares issued pursuant to stock purchase plan
|
6
|
|
|
—
|
|
|
—
|
|
|
795
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
795
|
|
|||||||||
Net activity from stock option and incentive plan
|
34
|
|
|
—
|
|
|
—
|
|
|
3,899
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
33,393
|
|
|
—
|
|
|
37,292
|
|
|||||||||
Contributions from noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
161,585
|
|
|
161,585
|
|
|||||||||
Distributions to noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(54,176
|
)
|
|
(54,176
|
)
|
|||||||||
Effective portion of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,305
|
)
|
|
(375
|
)
|
|
(2,453
|
)
|
|
(6,133
|
)
|
|||||||||
Amortization of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,127
|
|
|
581
|
|
|
325
|
|
|
6,033
|
|
|||||||||
Reallocation of noncontrolling interest
|
—
|
|
|
—
|
|
|
—
|
|
|
22,879
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(22,879
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Equity, December 31, 2017
|
154,325
|
|
|
1,543
|
|
|
200,000
|
|
|
6,377,908
|
|
|
(712,343
|
)
|
|
(2,722
|
)
|
|
(50,429
|
)
|
|
604,739
|
|
|
1,683,760
|
|
|
8,102,456
|
|
|||||||||
Cumulative effect of a change in accounting principle
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,933
|
|
|
—
|
|
|
—
|
|
|
563
|
|
|
—
|
|
|
5,496
|
|
|||||||||
Redemption of operating partnership units to common stock
|
83
|
|
|
2
|
|
|
—
|
|
|
2,878
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(2,880
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Allocated net income for the year
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
582,847
|
|
|
—
|
|
|
—
|
|
|
66,807
|
|
|
62,909
|
|
|
712,563
|
|
|||||||||
Dividends/distributions declared
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(550,971
|
)
|
|
—
|
|
|
—
|
|
|
(62,731
|
)
|
|
—
|
|
|
(613,702
|
)
|
|||||||||
Shares issued pursuant to stock purchase plan
|
6
|
|
|
—
|
|
|
—
|
|
|
797
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
797
|
|
|||||||||
Net activity from stock option and incentive plan
|
44
|
|
|
—
|
|
|
—
|
|
|
1,729
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
36,861
|
|
|
—
|
|
|
38,590
|
|
|||||||||
Contributions from noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
46,701
|
|
|
46,701
|
|
|||||||||
Distributions to noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(82,501
|
)
|
|
(82,501
|
)
|
|||||||||
Effective portion of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(2,781
|
)
|
|
(315
|
)
|
|
—
|
|
|
(3,096
|
)
|
|||||||||
Amortization of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,469
|
|
|
619
|
|
|
576
|
|
|
6,664
|
|
|||||||||
Reallocation of noncontrolling interest
|
—
|
|
|
—
|
|
|
—
|
|
|
24,311
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(24,311
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Equity, December 31, 2018
|
154,458
|
|
|
1,545
|
|
|
200,000
|
|
|
6,407,623
|
|
|
(675,534
|
)
|
|
(2,722
|
)
|
|
(47,741
|
)
|
|
619,352
|
|
|
1,711,445
|
|
|
8,213,968
|
|
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(in thousands)
|
||||||||||||||||||||||||||||||||||||||
|
Common Stock
|
|
Preferred Stock
|
|
Additional Paid-in Capital
|
|
Dividends in Excess of Earnings
|
|
Treasury Stock,
at cost
|
|
Accumulated Other Comprehensive Loss
|
|
Noncontrolling Interests - Common Units
|
|
Noncontrolling Interests - Property Partnerships
|
|
Total
|
|||||||||||||||||||||
|
Shares
|
|
Amount
|
|
|
|||||||||||||||||||||||||||||||||
Cumulative effect of a change in accounting principle
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,864
|
)
|
|
—
|
|
|
—
|
|
|
(445
|
)
|
|
(70
|
)
|
|
(4,379
|
)
|
|||||||||
Redemption of operating partnership units to common stock
|
145
|
|
|
2
|
|
|
—
|
|
|
4,883
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,885
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Allocated net income for the year
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
521,534
|
|
|
—
|
|
|
—
|
|
|
59,345
|
|
|
71,120
|
|
|
651,999
|
|
|||||||||
Dividends/distributions declared
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(602,659
|
)
|
|
—
|
|
|
—
|
|
|
(69,234
|
)
|
|
—
|
|
|
(671,893
|
)
|
|||||||||
Shares issued pursuant to stock purchase plan
|
6
|
|
|
—
|
|
|
—
|
|
|
688
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
688
|
|
|||||||||
Net activity from stock option and incentive plan
|
181
|
|
|
1
|
|
|
—
|
|
|
8,771
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
36,228
|
|
|
—
|
|
|
45,000
|
|
|||||||||
Sale of an interest in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,216
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,216
|
|
|
—
|
|
|||||||||
Acquisition of noncontrolling interest in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
(162,462
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(24,501
|
)
|
|
(186,963
|
)
|
|||||||||
Contributions from noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
35,816
|
|
|
35,816
|
|
|||||||||
Distributions to noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(69,913
|
)
|
|
(69,913
|
)
|
|||||||||
Effective portion of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6,060
|
)
|
|
(691
|
)
|
|
—
|
|
|
(6,751
|
)
|
|||||||||
Amortization of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,466
|
|
|
622
|
|
|
576
|
|
|
6,664
|
|
|||||||||
Reallocation of noncontrolling interest
|
—
|
|
|
—
|
|
|
—
|
|
|
39,432
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(39,432
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Equity, December 31, 2019
|
154,790
|
|
|
$
|
1,548
|
|
|
$
|
200,000
|
|
|
$
|
6,294,719
|
|
|
$
|
(760,523
|
)
|
|
$
|
(2,722
|
)
|
|
$
|
(48,335
|
)
|
|
$
|
600,860
|
|
|
$
|
1,728,689
|
|
|
$
|
8,014,236
|
|
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|||||||||||
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Cash flows from operating activities:
|
|
|
|
|
|
||||||
Net income
|
$
|
651,999
|
|
|
$
|
712,563
|
|
|
$
|
562,481
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
||||||
Depreciation and amortization
|
677,764
|
|
|
645,649
|
|
|
617,547
|
|
|||
Amortization of right-of-use assets - operating leases
|
2,412
|
|
|
—
|
|
|
—
|
|
|||
Impairment losses
|
24,038
|
|
|
11,812
|
|
|
—
|
|
|||
Non-cash compensation expense
|
40,958
|
|
|
40,117
|
|
|
35,361
|
|
|||
Income from unconsolidated joint ventures
|
(46,592
|
)
|
|
(2,222
|
)
|
|
(11,232
|
)
|
|||
Distributions of net cash flow from operations of unconsolidated joint ventures
|
17,155
|
|
|
6,703
|
|
|
26,858
|
|
|||
(Gains) losses from investments in securities
|
(6,417
|
)
|
|
1,865
|
|
|
(3,678
|
)
|
|||
Non-cash portion of interest expense
|
22,254
|
|
|
21,303
|
|
|
(1,284
|
)
|
|||
Settlement of accreted debt discount on redemption of unsecured senior notes
|
(763
|
)
|
|
(483
|
)
|
|
(1,980
|
)
|
|||
Losses (gains) from early extinguishments of debt
|
29,540
|
|
|
16,490
|
|
|
(496
|
)
|
|||
Gains on sales of real estate
|
(709
|
)
|
|
(182,356
|
)
|
|
(7,663
|
)
|
|||
Change in assets and liabilities:
|
|
|
|
|
|
||||||
Tenant and other receivables, net
|
(24,876
|
)
|
|
29,204
|
|
|
2,433
|
|
|||
Note receivable
|
4
|
|
|
(13
|
)
|
|
—
|
|
|||
Accrued rental income, net
|
(56,817
|
)
|
|
(43,662
|
)
|
|
(58,355
|
)
|
|||
Prepaid expenses and other assets
|
2,965
|
|
|
12,472
|
|
|
51,425
|
|
|||
Lease liabilities - operating leases
|
1,616
|
|
|
—
|
|
|
—
|
|
|||
Accounts payable and accrued expenses
|
12,627
|
|
|
1,353
|
|
|
10,482
|
|
|||
Accrued interest payable
|
858
|
|
|
5,237
|
|
|
(160,521
|
)
|
|||
Other liabilities
|
(49,569
|
)
|
|
4,955
|
|
|
(44,970
|
)
|
|||
Tenant leasing costs
|
(117,282
|
)
|
|
(130,742
|
)
|
|
(104,429
|
)
|
|||
Total adjustments
|
529,166
|
|
|
437,682
|
|
|
349,498
|
|
|||
Net cash provided by operating activities
|
1,181,165
|
|
|
1,150,245
|
|
|
911,979
|
|
|||
Cash flows from investing activities:
|
|
|
|
|
|
||||||
Acquisitions of real estate
|
(149,031
|
)
|
|
—
|
|
|
(15,953
|
)
|
|||
Construction in progress
|
(546,060
|
)
|
|
(694,791
|
)
|
|
(608,404
|
)
|
|||
Building and other capital improvements
|
(180,556
|
)
|
|
(189,771
|
)
|
|
(222,482
|
)
|
|||
Tenant improvements
|
(251,831
|
)
|
|
(210,034
|
)
|
|
(205,331
|
)
|
|||
Right of use assets - finance leases
|
(5,152
|
)
|
|
—
|
|
|
—
|
|
|||
Proceeds from sales of real estate
|
90,824
|
|
|
455,409
|
|
|
29,810
|
|
|||
Capital contributions to unconsolidated joint ventures
|
(87,392
|
)
|
|
(345,717
|
)
|
|
(109,015
|
)
|
|||
Capital distributions from unconsolidated joint ventures
|
136,807
|
|
|
—
|
|
|
251,000
|
|
|||
Cash and cash equivalents deconsolidated
|
(24,112
|
)
|
|
—
|
|
|
—
|
|
|||
Deposit on capital lease
|
—
|
|
|
(13,615
|
)
|
|
—
|
|
|||
Issuance of related party note receivable
|
—
|
|
|
(80,000
|
)
|
|
—
|
|
|||
Issuance of note receivable
|
—
|
|
|
(19,455
|
)
|
|
—
|
|
|||
Proceeds from note receivable
|
3,544
|
|
|
—
|
|
|
—
|
|
|||
Investments in securities, net
|
(2,132
|
)
|
|
(902
|
)
|
|
(1,669
|
)
|
|||
Net cash used in investing activities
|
(1,015,091
|
)
|
|
(1,098,876
|
)
|
|
(882,044
|
)
|
|||
|
|
|
|
|
|
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|||||||||||
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Cash flows from financing activities:
|
|
|
|
|
|
||||||
Proceeds from mortgage notes payable
|
—
|
|
|
—
|
|
|
2,300,000
|
|
|||
Repayments of mortgage notes payable
|
(46,173
|
)
|
|
(18,634
|
)
|
|
(1,317,653
|
)
|
|||
Proceeds from unsecured senior notes
|
1,548,106
|
|
|
996,410
|
|
|
847,935
|
|
|||
Redemption of unsecured senior notes
|
(699,237
|
)
|
|
(699,517
|
)
|
|
(848,020
|
)
|
|||
Borrowings on unsecured line of credit
|
380,000
|
|
|
745,000
|
|
|
580,000
|
|
|||
Repayments of unsecured line of credit
|
(380,000
|
)
|
|
(790,000
|
)
|
|
(535,000
|
)
|
|||
Proceeds from unsecured term loan
|
—
|
|
|
500,000
|
|
|
—
|
|
|||
Repayments of mezzanine notes payable
|
—
|
|
|
—
|
|
|
(306,000
|
)
|
|||
Repayments of outside members’ notes payable
|
—
|
|
|
—
|
|
|
(70,424
|
)
|
|||
Payments on finance lease obligations
|
(502
|
)
|
|
—
|
|
|
—
|
|
|||
Payments on capital lease obligations
|
—
|
|
|
(1,353
|
)
|
|
(493
|
)
|
|||
Payments on real estate financing transactions
|
—
|
|
|
(960
|
)
|
|
(2,840
|
)
|
|||
Deposit on mortgage note payable interest rate lock
|
—
|
|
|
—
|
|
|
(23,200
|
)
|
|||
Return of deposit on mortgage note payable interest rate lock
|
—
|
|
|
—
|
|
|
23,200
|
|
|||
Deferred financing costs
|
(13,213
|
)
|
|
(8,362
|
)
|
|
(50,705
|
)
|
|||
Debt prepayment and extinguishment costs
|
(28,716
|
)
|
|
(15,973
|
)
|
|
(12,784
|
)
|
|||
Net proceeds from equity transactions
|
13,710
|
|
|
(730
|
)
|
|
241
|
|
|||
Dividends and distributions
|
(666,294
|
)
|
|
(587,628
|
)
|
|
(526,578
|
)
|
|||
Contributions from noncontrolling interests in property partnerships
|
35,816
|
|
|
46,701
|
|
|
52,009
|
|
|||
Distributions to noncontrolling interests in property partnerships
|
(69,913
|
)
|
|
(82,501
|
)
|
|
(54,342
|
)
|
|||
Acquisition of noncontrolling interest in property partnership
|
(186,963
|
)
|
|
—
|
|
|
—
|
|
|||
Net cash (used in) provided by financing activities
|
(113,379
|
)
|
|
82,453
|
|
|
55,346
|
|
|||
Net increase in cash and cash equivalents and cash held in escrows
|
52,695
|
|
|
133,822
|
|
|
85,281
|
|
|||
Cash and cash equivalents and cash held in escrows, beginning of year
|
639,191
|
|
|
505,369
|
|
|
420,088
|
|
|||
Cash and cash equivalents and cash held in escrows, end of year
|
$
|
691,886
|
|
|
$
|
639,191
|
|
|
$
|
505,369
|
|
|
|
|
|
|
|
||||||
Reconciliation of cash and cash equivalents and cash held in escrows:
|
|
|
|
|
|
||||||
Cash and cash equivalents, beginning of period
|
$
|
543,359
|
|
|
$
|
434,767
|
|
|
$
|
356,914
|
|
Cash held in escrows, beginning of period
|
95,832
|
|
|
70,602
|
|
|
63,174
|
|
|||
Cash and cash equivalents and cash held in escrows, beginning of period
|
$
|
639,191
|
|
|
$
|
505,369
|
|
|
$
|
420,088
|
|
|
|
|
|
|
|
||||||
Cash and cash equivalents, end of period
|
$
|
644,950
|
|
|
$
|
543,359
|
|
|
$
|
434,767
|
|
Cash held in escrows, end of period
|
46,936
|
|
|
95,832
|
|
|
70,602
|
|
|||
Cash and cash equivalents and cash held in escrows, end of period
|
$
|
691,886
|
|
|
$
|
639,191
|
|
|
$
|
505,369
|
|
|
|
|
|
|
|
||||||
Supplemental disclosures:
|
|
|
|
|
|
||||||
Cash paid for interest
|
$
|
439,059
|
|
|
$
|
416,019
|
|
|
$
|
598,486
|
|
Interest capitalized
|
$
|
54,911
|
|
|
$
|
65,766
|
|
|
$
|
61,070
|
|
|
|
|
|
|
|
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|||||||||||
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Non-cash investing and financing activities:
|
|
|
|
|
|
||||||
Write-off of fully depreciated real estate
|
$
|
(129,831
|
)
|
|
$
|
(135,431
|
)
|
|
$
|
(124,891
|
)
|
Change in real estate included in accounts payable and accrued expenses
|
$
|
89,245
|
|
|
$
|
(44,866
|
)
|
|
$
|
27,978
|
|
Real estate acquired through capital lease
|
$
|
—
|
|
|
$
|
12,397
|
|
|
$
|
28,962
|
|
Right-of-use assets obtained in exchange for lease liabilities
|
$
|
287,540
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Prepaid rent reclassified to right of use asset
|
$
|
15,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Building and other capital improvements deconsolidated
|
$
|
(12,767
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Right of use asset - finance lease deconsolidated
|
$
|
(135,004
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Investment in unconsolidated joint venture recorded on deconsolidation
|
$
|
29,246
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Lease liability - finance lease deconsolidated
|
$
|
119,534
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Outside members’ notes payable contributed to noncontrolling interests in property partnerships
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
109,576
|
|
Dividends and distributions declared but not paid
|
$
|
170,713
|
|
|
$
|
165,114
|
|
|
$
|
139,040
|
|
Conversions of noncontrolling interests to stockholders’ equity
|
$
|
4,885
|
|
|
$
|
2,880
|
|
|
$
|
16,916
|
|
Issuance of restricted securities to employees and directors
|
$
|
37,622
|
|
|
$
|
37,052
|
|
|
$
|
35,989
|
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED BALANCE SHEETS
(in thousands, except for unit amounts)
|
||||||||
|
|
December 31,
2019 |
|
December 31,
2018 |
||||
ASSETS
|
|
|
|
|
||||
Real estate, at cost (amounts related to variable interest entities (“VIEs”) of $6,497,031 and $7,481,015 at December 31, 2019 and 2018, respectively)
|
|
$
|
22,107,755
|
|
|
$
|
21,251,540
|
|
Right of use assets - finance leases (amount related to VIEs of $21,000 at December 31, 2019)
|
|
237,394
|
|
|
—
|
|
||
Right of use assets - operating leases
|
|
148,640
|
|
|
—
|
|
||
Less: accumulated depreciation (amounts related to VIEs of $(1,058,495) and $(965,500) at December 31, 2019 and 2018, respectively)
|
|
(5,162,908
|
)
|
|
(4,800,475
|
)
|
||
Total real estate
|
|
17,330,881
|
|
|
16,451,065
|
|
||
Cash and cash equivalents (amounts related to VIEs of $280,033 and $296,806 at December 31, 2019 and 2018, respectively)
|
|
644,950
|
|
|
543,359
|
|
||
Cash held in escrows
|
|
46,936
|
|
|
95,832
|
|
||
Investments in securities
|
|
36,747
|
|
|
28,198
|
|
||
Tenant and other receivables, net (amounts related to VIEs of $28,918 and $15,519 at December 31, 2019 and 2018, respectively)
|
|
112,807
|
|
|
86,629
|
|
||
Related party note receivable
|
|
80,000
|
|
|
80,000
|
|
||
Note receivable
|
|
15,920
|
|
|
19,468
|
|
||
Accrued rental income, net (amounts related to VIEs of $298,318 and $272,466 at December 31, 2019 and 2018, respectively)
|
|
1,038,788
|
|
|
934,896
|
|
||
Deferred charges, net (amounts related to VIEs of $214,769 and $263,402 at December 31, 2019 and 2018, respectively)
|
|
689,213
|
|
|
678,724
|
|
||
Prepaid expenses and other assets (amounts related to VIEs of $20,931 and $26,513 at December 31, 2019 and 2018, respectively)
|
|
41,685
|
|
|
80,943
|
|
||
Investments in unconsolidated joint ventures
|
|
955,647
|
|
|
956,309
|
|
||
Total assets
|
|
$
|
20,993,574
|
|
|
$
|
19,955,423
|
|
LIABILITIES AND CAPITAL
|
|
|
|
|
||||
Liabilities:
|
|
|
|
|
||||
Mortgage notes payable, net (amounts related to VIEs of $2,918,806 and $2,929,326 at December 31, 2019 and 2018, respectively)
|
|
$
|
2,922,408
|
|
|
$
|
2,964,572
|
|
Unsecured senior notes, net
|
|
8,390,459
|
|
|
7,544,697
|
|
||
Unsecured line of credit
|
|
—
|
|
|
—
|
|
||
Unsecured term loan, net
|
|
498,939
|
|
|
498,488
|
|
||
Lease liabilities - finance leases (amount related to VIEs of $20,189 at December 31, 2019)
|
|
224,042
|
|
|
—
|
|
||
Lease liabilities - operating leases
|
|
200,180
|
|
|
—
|
|
||
Accounts payable and accrued expenses (amounts related to VIEs of $45,777 and $75,786 at December 31, 2019 and 2018, respectively)
|
|
377,553
|
|
|
276,645
|
|
||
Dividends and distributions payable
|
|
170,713
|
|
|
165,114
|
|
||
Accrued interest payable
|
|
90,016
|
|
|
89,267
|
|
||
Other liabilities (amounts related to VIEs of $140,110 and $200,344 at December 31, 2019 and 2018, respectively)
|
|
387,994
|
|
|
503,726
|
|
||
Total liabilities
|
|
13,262,304
|
|
|
12,042,509
|
|
||
|
|
|
|
|
||||
Commitments and contingencies
|
|
—
|
|
|
—
|
|
||
|
|
|
|
|
||||
Redeemable deferred stock units— 60,676 units outstanding at redemption value at December 31, 2019
|
|
8,365
|
|
|
—
|
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED BALANCE SHEETS
(in thousands, except for unit amounts)
|
||||||||
|
|
December 31,
2019 |
|
December 31,
2018 |
||||
Noncontrolling interests:
|
|
|
|
|
||||
Redeemable partnership units—16,764,466 and 16,783,558 common units and 1,143,215 and 991,577 long term incentive units outstanding at redemption value at December 31, 2019 and December 31, 2018, respectively
|
|
2,468,753
|
|
|
2,000,591
|
|
||
Capital:
|
|
|
|
|
||||
5.25% Series B cumulative redeemable preferred units, liquidation preference $2,500 per unit, 80,000 units issued and outstanding at December 31, 2019 and December 31, 2018
|
|
193,623
|
|
|
193,623
|
|
||
Boston Properties Limited Partnership partners’ capital—1,726,980 and 1,722,336 general partner units and 153,063,318 and 152,736,142 limited partner units outstanding at December 31, 2019 and December 31, 2018, respectively
|
|
3,380,175
|
|
|
4,054,996
|
|
||
Accumulated other comprehensive loss
|
|
(48,335
|
)
|
|
(47,741
|
)
|
||
Total partners’ capital
|
|
3,525,463
|
|
|
4,200,878
|
|
||
Noncontrolling interests in property partnerships
|
|
1,728,689
|
|
|
1,711,445
|
|
||
Total capital
|
|
5,254,152
|
|
|
5,912,323
|
|
||
Total liabilities and capital
|
|
$
|
20,993,574
|
|
|
$
|
19,955,423
|
|
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands, except for per unit amounts)
|
||||||||||
Revenue
|
|
|
|
|
|
||||||
Lease
|
$
|
2,758,014
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Base rent
|
—
|
|
|
2,103,723
|
|
|
2,049,368
|
|
|||
Recoveries from tenants
|
—
|
|
|
402,066
|
|
|
367,500
|
|
|||
Parking and other
|
103,534
|
|
|
107,421
|
|
|
105,000
|
|
|||
Hotel revenue
|
48,589
|
|
|
49,118
|
|
|
45,603
|
|
|||
Development and management services
|
40,039
|
|
|
45,158
|
|
|
34,605
|
|
|||
Direct reimbursements of payroll and related costs from management services contracts
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
Total revenue
|
2,960,562
|
|
|
2,717,076
|
|
|
2,602,076
|
|
|||
Expenses
|
|
|
|
|
|
||||||
Operating
|
|
|
|
|
|
||||||
Rental
|
1,050,010
|
|
|
979,151
|
|
|
929,977
|
|
|||
Hotel
|
34,004
|
|
|
33,863
|
|
|
32,059
|
|
|||
General and administrative
|
140,777
|
|
|
121,722
|
|
|
113,715
|
|
|||
Payroll and related costs from management services contracts
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
Transaction costs
|
1,984
|
|
|
1,604
|
|
|
668
|
|
|||
Depreciation and amortization
|
669,956
|
|
|
637,891
|
|
|
609,407
|
|
|||
Total expenses
|
1,907,117
|
|
|
1,783,821
|
|
|
1,685,826
|
|
|||
Other income (expense)
|
|
|
|
|
|
||||||
Income from unconsolidated joint ventures
|
46,592
|
|
|
2,222
|
|
|
11,232
|
|
|||
Gains on sales of real estate
|
858
|
|
|
190,716
|
|
|
8,240
|
|
|||
Interest and other income
|
18,939
|
|
|
10,823
|
|
|
5,783
|
|
|||
Gains (losses) from investments in securities
|
6,417
|
|
|
(1,865
|
)
|
|
3,678
|
|
|||
Impairment losses
|
(22,272
|
)
|
|
(10,181
|
)
|
|
—
|
|
|||
Interest expense
|
(412,717
|
)
|
|
(378,168
|
)
|
|
(374,481
|
)
|
|||
(Losses) gains from early extinguishments of debt
|
(29,540
|
)
|
|
(16,490
|
)
|
|
496
|
|
|||
Net income
|
661,722
|
|
|
730,312
|
|
|
571,198
|
|
|||
Net income attributable to noncontrolling interests
|
|
|
|
|
|
||||||
Noncontrolling interests in property partnerships
|
(71,120
|
)
|
|
(62,909
|
)
|
|
(47,832
|
)
|
|||
Net income attributable to Boston Properties Limited Partnership
|
590,602
|
|
|
667,403
|
|
|
523,366
|
|
|||
Preferred distributions
|
(10,500
|
)
|
|
(10,500
|
)
|
|
(10,500
|
)
|
|||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
580,102
|
|
|
$
|
656,903
|
|
|
$
|
512,866
|
|
Basic earnings per common unit attributable to Boston Properties Limited Partnership
|
|
|
|
|
|
||||||
Net income
|
$
|
3.37
|
|
|
$
|
3.82
|
|
|
$
|
2.99
|
|
Weighted average number of common units outstanding
|
172,200
|
|
|
171,912
|
|
|
171,661
|
|
|||
Diluted earnings per common unit attributable to Boston Properties Limited Partnership
|
|
|
|
|
|
||||||
Net income
|
$
|
3.36
|
|
|
$
|
3.81
|
|
|
$
|
2.98
|
|
Weighted average number of common and common equivalent units outstanding
|
172,501
|
|
|
172,167
|
|
|
171,861
|
|
|
|
For the year ended December 31,
|
||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
|||||||||||
Net income
|
|
$
|
661,722
|
|
|
$
|
730,312
|
|
|
$
|
571,198
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
||||||
Effective portion of interest rate contracts
|
|
(6,751
|
)
|
|
(3,096
|
)
|
|
(6,133
|
)
|
|||
Amortization of interest rate contracts (1)
|
|
6,664
|
|
|
6,664
|
|
|
6,033
|
|
|||
Other comprehensive income (loss)
|
|
(87
|
)
|
|
3,568
|
|
|
(100
|
)
|
|||
Comprehensive income
|
|
661,635
|
|
|
733,880
|
|
|
571,098
|
|
|||
Comprehensive income attributable to noncontrolling interests
|
|
(71,696
|
)
|
|
(63,485
|
)
|
|
(45,704
|
)
|
|||
Comprehensive income attributable to Boston Properties Limited Partnership
|
|
$
|
589,939
|
|
|
$
|
670,395
|
|
|
$
|
525,394
|
|
(1)
|
Amounts reclassified from comprehensive income primarily to interest expense within Boston Properties Limited Partnership’s Consolidated Statements of Operations.
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED STATEMENTS OF CAPITAL AND NONCONTROLLING INTERESTS
(in thousands)
|
|||||||||||||||||||||||||||||
|
Units
|
|
Capital
|
|
|
||||||||||||||||||||||||
|
General Partner
|
|
Limited Partner
|
|
Partners’ Capital (General and Limited Partners)
|
|
Preferred Units
|
|
Accumulated
Other
Comprehensive Loss
|
|
Noncontrolling
Interests - Property Partnerships
|
|
Total Capital
|
|
Noncontrolling interests - Redeemable Partnership Units
|
||||||||||||||
|
|
|
|
||||||||||||||||||||||||||
Equity, December 31, 2016
|
1,718
|
|
|
152,072
|
|
|
$
|
3,670,345
|
|
|
$
|
193,623
|
|
|
$
|
(52,251
|
)
|
|
$
|
1,530,647
|
|
|
$
|
5,342,364
|
|
|
$
|
2,262,040
|
|
Cumulative effect of a change in accounting principle
|
—
|
|
|
—
|
|
|
(272
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(272
|
)
|
|
(1,763
|
)
|
||||||
Contributions
|
—
|
|
|
40
|
|
|
4,937
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,937
|
|
|
31,743
|
|
||||||
Allocated net income for the period
|
—
|
|
|
—
|
|
|
460,656
|
|
|
10,500
|
|
|
—
|
|
|
47,832
|
|
|
518,988
|
|
|
52,210
|
|
||||||
Distributions
|
—
|
|
|
—
|
|
|
(470,316
|
)
|
|
(10,500
|
)
|
|
—
|
|
|
—
|
|
|
(480,816
|
)
|
|
(54,494
|
)
|
||||||
Unearned compensation
|
—
|
|
|
—
|
|
|
(243
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(243
|
)
|
|
1,650
|
|
||||||
Conversion of redeemable partnership units
|
2
|
|
|
494
|
|
|
16,916
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,916
|
|
|
(16,916
|
)
|
||||||
Adjustment to reflect redeemable partnership units at redemption value
|
—
|
|
|
—
|
|
|
(17,587
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(17,587
|
)
|
|
17,587
|
|
||||||
Effective portion of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,305
|
)
|
|
(2,453
|
)
|
|
(5,758
|
)
|
|
(375
|
)
|
||||||
Amortization of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,127
|
|
|
325
|
|
|
5,452
|
|
|
581
|
|
||||||
Contributions from noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
161,585
|
|
|
161,585
|
|
|
—
|
|
||||||
Distributions to noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(54,176
|
)
|
|
(54,176
|
)
|
|
—
|
|
||||||
Equity, December 31, 2017
|
1,720
|
|
|
152,606
|
|
|
3,664,436
|
|
|
193,623
|
|
|
(50,429
|
)
|
|
1,683,760
|
|
|
5,491,390
|
|
|
2,292,263
|
|
||||||
Cumulative effect of a change in accounting principle
|
—
|
|
|
—
|
|
|
4,933
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,933
|
|
|
563
|
|
||||||
Contributions
|
1
|
|
|
49
|
|
|
1,642
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,642
|
|
|
34,680
|
|
||||||
Allocated net income for the period
|
—
|
|
|
—
|
|
|
590,096
|
|
|
10,500
|
|
|
—
|
|
|
62,909
|
|
|
663,505
|
|
|
66,807
|
|
||||||
Distributions
|
—
|
|
|
—
|
|
|
(540,471
|
)
|
|
(10,500
|
)
|
|
—
|
|
|
—
|
|
|
(550,971
|
)
|
|
(62,731
|
)
|
||||||
Unearned compensation
|
—
|
|
|
—
|
|
|
884
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
884
|
|
|
2,181
|
|
||||||
Conversion of redeemable partnership units
|
1
|
|
|
81
|
|
|
2,880
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,880
|
|
|
(2,880
|
)
|
||||||
Adjustment to reflect redeemable partnership units at redemption value
|
—
|
|
|
—
|
|
|
330,596
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
330,596
|
|
|
(330,596
|
)
|
||||||
Effective portion of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(2,781
|
)
|
|
—
|
|
|
(2,781
|
)
|
|
(315
|
)
|
||||||
Amortization of interest rate contracts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,469
|
|
|
576
|
|
|
6,045
|
|
|
619
|
|
||||||
Contributions from noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
46,701
|
|
|
46,701
|
|
|
—
|
|
||||||
Distributions to noncontrolling interests in property partnerships
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(82,501
|
)
|
|
(82,501
|
)
|
|
—
|
|
||||||
Equity, December 31, 2018
|
1,722
|
|
|
152,736
|
|
|
4,054,996
|
|
|
193,623
|
|
|
(47,741
|
)
|
|
1,711,445
|
|
|
5,912,323
|
|
|
2,000,591
|
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|||||||||||
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Cash flows from operating activities:
|
|
|
|
|
|
||||||
Net income
|
$
|
661,722
|
|
|
$
|
730,312
|
|
|
$
|
571,198
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
||||||
Depreciation and amortization
|
669,956
|
|
|
637,891
|
|
|
609,407
|
|
|||
Amortization of right-of-use assets - operating leases
|
2,412
|
|
|
—
|
|
|
—
|
|
|||
Impairment losses
|
22,272
|
|
|
10,181
|
|
|
—
|
|
|||
Non-cash compensation expense
|
40,958
|
|
|
40,117
|
|
|
35,361
|
|
|||
Income from unconsolidated joint ventures
|
(46,592
|
)
|
|
(2,222
|
)
|
|
(11,232
|
)
|
|||
Distributions of net cash flow from operations of unconsolidated joint ventures
|
17,155
|
|
|
6,703
|
|
|
26,858
|
|
|||
(Gains) losses from investments in securities
|
(6,417
|
)
|
|
1,865
|
|
|
(3,678
|
)
|
|||
Non-cash portion of interest expense
|
22,254
|
|
|
21,303
|
|
|
(1,284
|
)
|
|||
Settlement of accreted debt discount on redemption of unsecured senior notes
|
(763
|
)
|
|
(483
|
)
|
|
(1,980
|
)
|
|||
Losses (gains) from early extinguishments of debt
|
29,540
|
|
|
16,490
|
|
|
(496
|
)
|
|||
Gains on sales of real estate
|
(858
|
)
|
|
(190,716
|
)
|
|
(8,240
|
)
|
|||
Change in assets and liabilities:
|
|
|
|
|
|
||||||
Tenant and other receivables, net
|
(24,876
|
)
|
|
29,204
|
|
|
2,433
|
|
|||
Note receivable
|
4
|
|
|
(13
|
)
|
|
—
|
|
|||
Accrued rental income, net
|
(56,817
|
)
|
|
(43,662
|
)
|
|
(58,355
|
)
|
|||
Prepaid expenses and other assets
|
2,965
|
|
|
12,472
|
|
|
51,425
|
|
|||
Lease liabilities - operating leases
|
1,616
|
|
|
—
|
|
|
—
|
|
|||
Accounts payable and accrued expenses
|
12,627
|
|
|
1,353
|
|
|
10,482
|
|
|||
Accrued interest payable
|
858
|
|
|
5,237
|
|
|
(160,521
|
)
|
|||
Other liabilities
|
(49,569
|
)
|
|
4,955
|
|
|
(44,970
|
)
|
|||
Tenant leasing costs
|
(117,282
|
)
|
|
(130,742
|
)
|
|
(104,429
|
)
|
|||
Total adjustments
|
519,443
|
|
|
419,933
|
|
|
340,781
|
|
|||
Net cash provided by operating activities
|
1,181,165
|
|
|
1,150,245
|
|
|
911,979
|
|
|||
Cash flows from investing activities:
|
|
|
|
|
|
||||||
Acquisitions of real estate
|
(149,031
|
)
|
|
—
|
|
|
(15,953
|
)
|
|||
Construction in progress
|
(546,060
|
)
|
|
(694,791
|
)
|
|
(608,404
|
)
|
|||
Building and other capital improvements
|
(180,556
|
)
|
|
(189,771
|
)
|
|
(222,482
|
)
|
|||
Tenant improvements
|
(251,831
|
)
|
|
(210,034
|
)
|
|
(205,331
|
)
|
|||
Right of use assets - finance leases
|
(5,152
|
)
|
|
—
|
|
|
—
|
|
|||
Proceeds from sales of real estate
|
90,824
|
|
|
455,409
|
|
|
29,810
|
|
|||
Capital contributions to unconsolidated joint ventures
|
(87,392
|
)
|
|
(345,717
|
)
|
|
(109,015
|
)
|
|||
Capital distributions from unconsolidated joint ventures
|
136,807
|
|
|
—
|
|
|
251,000
|
|
|||
Cash and cash equivalents deconsolidated
|
(24,112
|
)
|
|
—
|
|
|
—
|
|
|||
Deposit on capital lease
|
—
|
|
|
(13,615
|
)
|
|
—
|
|
|||
Issuance of related party note receivable
|
—
|
|
|
(80,000
|
)
|
|
—
|
|
|||
Issuance of note receivable
|
—
|
|
|
(19,455
|
)
|
|
—
|
|
|||
Proceeds from note receivable
|
3,544
|
|
|
—
|
|
|
—
|
|
|||
Investments in securities, net
|
(2,132
|
)
|
|
(902
|
)
|
|
(1,669
|
)
|
|||
Net cash used in investing activities
|
(1,015,091
|
)
|
|
(1,098,876
|
)
|
|
(882,044
|
)
|
|||
|
|
|
|
|
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|||||||||||
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Cash flows from financing activities:
|
|
|
|
|
|
||||||
Proceeds from mortgage notes payable
|
—
|
|
|
—
|
|
|
2,300,000
|
|
|||
Repayments of mortgage notes payable
|
(46,173
|
)
|
|
(18,634
|
)
|
|
(1,317,653
|
)
|
|||
Proceeds from unsecured senior notes
|
1,548,106
|
|
|
996,410
|
|
|
847,935
|
|
|||
Redemption/repurchase of unsecured senior notes
|
(699,237
|
)
|
|
(699,517
|
)
|
|
(848,020
|
)
|
|||
Borrowings on unsecured line of credit
|
380,000
|
|
|
745,000
|
|
|
580,000
|
|
|||
Repayments of unsecured line of credit
|
(380,000
|
)
|
|
(790,000
|
)
|
|
(535,000
|
)
|
|||
Proceeds from unsecured term loan
|
—
|
|
|
500,000
|
|
|
—
|
|
|||
Repayments of mezzanine notes payable
|
—
|
|
|
—
|
|
|
(306,000
|
)
|
|||
Repayments of outside members’ notes payable
|
—
|
|
|
—
|
|
|
(70,424
|
)
|
|||
Payments on finance lease obligations
|
(502
|
)
|
|
(1,353
|
)
|
|
(493
|
)
|
|||
Payments on real estate financing transactions
|
—
|
|
|
(960
|
)
|
|
(2,840
|
)
|
|||
Deposit on mortgage note payable interest rate lock
|
—
|
|
|
—
|
|
|
(23,200
|
)
|
|||
Return of deposit on mortgage note payable interest rate lock
|
—
|
|
|
—
|
|
|
23,200
|
|
|||
Deferred financing costs
|
(13,213
|
)
|
|
(8,362
|
)
|
|
(50,705
|
)
|
|||
Debt prepayment and extinguishment costs
|
(28,716
|
)
|
|
(15,973
|
)
|
|
(12,784
|
)
|
|||
Net proceeds from equity transactions
|
13,710
|
|
|
(730
|
)
|
|
241
|
|
|||
Distributions
|
(666,294
|
)
|
|
(587,628
|
)
|
|
(526,578
|
)
|
|||
Contributions from noncontrolling interests in property partnerships
|
35,816
|
|
|
46,701
|
|
|
52,009
|
|
|||
Distributions to noncontrolling interests in property partnerships
|
(69,913
|
)
|
|
(82,501
|
)
|
|
(54,342
|
)
|
|||
Acquisition of noncontrolling interest in property partnership
|
(186,963
|
)
|
|
—
|
|
|
—
|
|
|||
Net cash (used in) provided by financing activities
|
(113,379
|
)
|
|
82,453
|
|
|
55,346
|
|
|||
Net increase in cash and cash equivalents and cash held in escrows
|
52,695
|
|
|
133,822
|
|
|
85,281
|
|
|||
Cash and cash equivalents and cash held in escrows, beginning of year
|
639,191
|
|
|
505,369
|
|
|
420,088
|
|
|||
Cash and cash equivalents and cash held in escrows, end of year
|
$
|
691,886
|
|
|
$
|
639,191
|
|
|
$
|
505,369
|
|
|
|
|
|
|
|
||||||
Reconciliation of cash and cash equivalents and cash held in escrows:
|
|
|
|
|
|
||||||
Cash and cash equivalents, beginning of period
|
$
|
543,359
|
|
|
$
|
434,767
|
|
|
$
|
356,914
|
|
Cash held in escrows, beginning of period
|
95,832
|
|
|
70,602
|
|
|
63,174
|
|
|||
Cash and cash equivalents and cash held in escrows, beginning of period
|
$
|
639,191
|
|
|
$
|
505,369
|
|
|
$
|
420,088
|
|
|
|
|
|
|
|
||||||
Cash and cash equivalents, end of period
|
$
|
644,950
|
|
|
$
|
543,359
|
|
|
$
|
434,767
|
|
Cash held in escrows, end of period
|
46,936
|
|
|
95,832
|
|
|
70,602
|
|
|||
Cash and cash equivalents and cash held in escrows, end of period
|
$
|
691,886
|
|
|
$
|
639,191
|
|
|
$
|
505,369
|
|
|
|
|
|
|
|
||||||
Supplemental disclosures:
|
|
|
|
|
|
||||||
Cash paid for interest
|
$
|
439,059
|
|
|
$
|
416,019
|
|
|
$
|
598,486
|
|
Interest capitalized
|
$
|
54,911
|
|
|
$
|
65,766
|
|
|
$
|
61,070
|
|
|
|
|
|
|
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|||||||||||
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Non-cash investing and financing activities:
|
|
|
|
|
|
||||||
Write-off of fully depreciated real estate
|
$
|
(129,253
|
)
|
|
$
|
(135,431
|
)
|
|
$
|
(123,714
|
)
|
Change in real estate included in accounts payable and accrued expenses
|
$
|
89,245
|
|
|
$
|
(44,866
|
)
|
|
$
|
27,978
|
|
Real estate acquired through capital lease
|
$
|
—
|
|
|
$
|
12,397
|
|
|
$
|
28,962
|
|
Right-of-use assets obtained in exchange for lease liabilities
|
$
|
287,540
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Prepaid rent reclassified to right of use asset
|
$
|
15,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Building and other capital improvements deconsolidated
|
$
|
(12,767
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Right of use asset - finance lease deconsolidated
|
$
|
(135,004
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Investment in unconsolidated joint venture recorded on deconsolidation
|
$
|
29,246
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Lease liability - finance lease deconsolidated
|
$
|
119,534
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Outside members’ notes payable contributed to noncontrolling interests in property partnerships
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
109,576
|
|
Distributions declared but not paid
|
$
|
170,713
|
|
|
$
|
165,114
|
|
|
$
|
139,040
|
|
Conversions of redeemable partnership units to partners’ capital
|
$
|
4,885
|
|
|
$
|
2,880
|
|
|
$
|
16,916
|
|
Issuance of restricted securities to employees and directors
|
$
|
37,622
|
|
|
$
|
37,052
|
|
|
$
|
35,989
|
|
•
|
common units of partnership interest (also referred to as “OP Units”),
|
•
|
long term incentive units of partnership interest (also referred to as “LTIP Units”), and
|
•
|
preferred units of partnership interest (also referred to as “Preferred Units”).
|
•
|
177 office properties (including nine properties under construction/redevelopment);
|
•
|
twelve retail properties;
|
•
|
six residential properties (including two properties under construction); and
|
•
|
one hotel.
|
Land improvements
|
|
25 to 40 years
|
Buildings and improvements
|
|
10 to 40 years
|
Tenant improvements
|
|
Shorter of useful life or terms of related lease
|
Furniture, fixtures, and equipment
|
|
3 to 7 years
|
|
|
Acquired Above-Market Lease Intangibles
|
|
Acquired Below-Market Lease Intangibles
|
||||
2020
|
|
$
|
5,440
|
|
|
$
|
10,673
|
|
2021
|
|
3,054
|
|
|
6,455
|
|
||
2022
|
|
357
|
|
|
5,699
|
|
||
2023
|
|
183
|
|
|
5,558
|
|
||
2024
|
|
135
|
|
|
4,043
|
|
|
December 31, 2019
|
|
December 31, 2018
|
||||||||||||
|
Carrying
Amount
|
|
Estimated
Fair Value
|
|
Carrying
Amount
|
|
Estimated
Fair Value
|
||||||||
Related party note receivable
|
$
|
80,000
|
|
|
$
|
81,931
|
|
|
$
|
80,000
|
|
|
$
|
80,000
|
|
Note receivable
|
15,920
|
|
|
14,978
|
|
|
19,468
|
|
|
19,468
|
|
||||
Total
|
$
|
95,920
|
|
|
$
|
96,909
|
|
|
$
|
99,468
|
|
|
$
|
99,468
|
|
|
|
|
|
|
|
|
|
||||||||
Mortgage notes payable, net
|
$
|
2,922,408
|
|
|
$
|
2,984,956
|
|
|
$
|
2,964,572
|
|
|
$
|
2,903,925
|
|
Unsecured senior notes, net
|
8,390,459
|
|
|
8,826,375
|
|
|
7,544,697
|
|
|
7,469,338
|
|
||||
Unsecured line of credit
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Unsecured term loan, net
|
498,939
|
|
|
500,561
|
|
|
498,488
|
|
|
500,783
|
|
||||
Total
|
$
|
11,811,806
|
|
|
$
|
12,311,892
|
|
|
$
|
11,007,757
|
|
|
$
|
10,874,046
|
|
•
|
the interpolated rates from yields on outstanding U.S. Treasury issuances for up to 30 years and for years 31 and beyond, longer-term publicly traded educational institution debt issued by high credit quality educational institutions with maturity dates up to 2116,
|
•
|
observable mortgage rates spread over U.S. Treasury issuances, and
|
•
|
unlevered property yields and discount rates.
|
Lease costs
|
|
|
||
Operating lease costs
|
|
$
|
14,573
|
|
Finance lease costs
|
|
|
||
Amortization of right of use asset (1)
|
|
$
|
29
|
|
Interest on lease liabilities (2)
|
|
$
|
47
|
|
(1)
|
The finance leases relate to either land, buildings or assets that remain in development. For land leases classified as finance leases because of a purchase option that the Company views as an economic incentive, the Company follows its existing policy and does not depreciate land because it is assumed to have an indefinite life. For all other finance leases, the Company would amortize the right of use asset over the shorter of the useful life of the asset or the lease term. If the finance lease relates to a property under development, the amortization of the right of use asset may be eligible for capitalization. For assets under development, depreciation may commence once the asset is placed in-service and depreciation would be recognized in accordance with the Company’s policy.
|
(2)
|
Three of the finance leases relate to assets under development and as such, the entire interest amount was capitalized.
|
|
December 31, 2019
|
|
Other information
|
|
|
Weighted-average remaining lease term (in years)
|
|
|
Operating leases
|
51
|
|
Finance leases
|
71
|
|
Weighted-average discount rate
|
|
|
Operating leases
|
5.7
|
%
|
Finance leases
|
6.2
|
%
|
Years Ending December 31,
|
(in thousands)
|
||
2019
|
$
|
11,425
|
|
2020
|
18,425
|
|
|
2021
|
25,310
|
|
|
2022
|
8,894
|
|
|
2023
|
9,084
|
|
|
Thereafter
|
567,232
|
|
Years Ending December 31,
|
(in thousands)
|
||
2019
|
$
|
1,441
|
|
2020
|
12,682
|
|
|
2021
|
2,123
|
|
|
2022
|
1,253
|
|
|
2023
|
944
|
|
|
Thereafter
|
73,241
|
|
|
Total expected minimum lease payments
|
91,684
|
|
|
Interest portion
|
(27,497
|
)
|
|
Present value of expected net minimum lease payments
|
$
|
64,187
|
|
|
Operating
|
|
Finance
|
||||
2020
|
$
|
10,050
|
|
|
$
|
834
|
|
2021
|
24,973
|
|
|
5,960
|
|
||
2022
|
18,041
|
|
|
10,208
|
|
||
2023
|
10,322
|
|
|
9,708
|
|
||
2024 (1)
|
9,277
|
|
|
48,518
|
|
||
Thereafter
|
557,954
|
|
|
1,383,242
|
|
||
Total lease payments
|
630,617
|
|
|
1,458,470
|
|
||
Less: interest portion
|
(430,437
|
)
|
|
(1,234,428
|
)
|
||
Present value of lease payments
|
$
|
200,180
|
|
|
$
|
224,042
|
|
(1)
|
Finance lease payments in 2024 include approximately $38.7 million related to a purchase option that the Company is reasonably certain it will exercise.
|
Lease Revenue
|
|
|
||
Fixed contractual payments
|
|
$
|
2,261,260
|
|
Variable lease payments
|
|
496,754
|
|
|
|
|
$
|
2,758,014
|
|
|
|
For the year ended December 31,
|
|||||||||||||||||||
|
|
2019
|
|
2018
|
|
2017
|
|||||||||||||||
|
|
Per Share
|
|
%
|
|
Per Share
|
|
%
|
|
Per Share
|
|
%
|
|||||||||
Ordinary income
|
|
$
|
2.99
|
|
|
94.84
|
%
|
|
$
|
2.79
|
|
|
78.17
|
%
|
|
$
|
2.86
|
|
|
98.29
|
%
|
Capital gain income
|
|
0.16
|
|
|
5.16
|
%
|
|
0.78
|
|
|
21.83
|
%
|
|
0.05
|
|
|
1.71
|
%
|
|||
Total
|
|
$
|
3.15
|
|
(1)
|
100.00
|
%
|
|
$
|
3.57
|
|
(2)
|
100.00
|
%
|
|
$
|
2.91
|
|
(3)
|
100.00
|
%
|
(1)
|
The fourth quarter 2019 regular quarterly dividend was $0.98 per common share of which approximately $0.04 per common share was allocable to 2019 and approximately $0.94 per common share is allocable to 2020.
|
(2)
|
The fourth quarter 2018 regular quarterly dividend was $0.95 per common share of which approximately $0.69 per common share was allocable to 2018 and approximately $0.26 per common share is allocable to 2019.
|
(3)
|
The fourth quarter 2017 regular quarterly dividend was $0.80 per common share of which approximately $0.47 per common share was allocable to 2017 and approximately $0.33 per common share is allocable to 2018.
|
|
|
2019
|
|
2018
|
||||
Land
|
|
$
|
5,111,606
|
|
|
$
|
5,072,568
|
|
Right of use assets - finance leases
|
|
237,394
|
|
|
—
|
|
||
Right of use assets - operating leases
|
|
148,640
|
|
|
—
|
|
||
Land held for future development (1)
|
|
254,828
|
|
|
200,498
|
|
||
Buildings and improvements
|
|
13,646,054
|
|
|
13,356,751
|
|
||
Tenant improvements
|
|
2,656,439
|
|
|
2,396,932
|
|
||
Furniture, fixtures and equipment
|
|
44,313
|
|
|
44,351
|
|
||
Construction in progress
|
|
789,736
|
|
|
578,796
|
|
||
Total
|
|
22,889,010
|
|
|
21,649,896
|
|
||
Less: Accumulated depreciation
|
|
(5,266,798
|
)
|
|
(4,897,777
|
)
|
||
|
|
$
|
17,622,212
|
|
|
$
|
16,752,119
|
|
(1)
|
Includes pre-development costs.
|
|
|
2019
|
|
2018
|
||||
Land
|
|
$
|
5,011,153
|
|
|
$
|
4,971,475
|
|
Right of use assets - finance leases
|
|
237,394
|
|
|
—
|
|
||
Right of use assets - operating leases
|
|
148,640
|
|
|
—
|
|
||
Land held for future development (1)
|
|
254,828
|
|
|
200,498
|
|
||
Buildings and improvements
|
|
13,351,286
|
|
|
13,059,488
|
|
||
Tenant improvements
|
|
2,656,439
|
|
|
2,396,932
|
|
||
Furniture, fixtures and equipment
|
|
44,313
|
|
|
44,351
|
|
||
Construction in progress
|
|
789,736
|
|
|
578,796
|
|
||
Total
|
|
22,493,789
|
|
|
21,251,540
|
|
||
Less: Accumulated depreciation
|
|
(5,162,908
|
)
|
|
(4,800,475
|
)
|
||
|
|
$
|
17,330,881
|
|
|
$
|
16,451,065
|
|
(1)
|
Includes pre-development costs.
|
Period from January 24, 2019 through December 31, 2019
|
$
|
17,918
|
|
2020
|
109,460
|
|
|
Total expected minimum lease payments
|
127,378
|
|
|
Interest portion
|
(4,815
|
)
|
|
Present value of expected net lease payments
|
$
|
122,563
|
|
Period from July 16, 2019 through December 31, 2019
|
$
|
—
|
|
2020
|
—
|
|
|
2021
|
3,863
|
|
|
2022
|
8,576
|
|
|
2023
|
8,669
|
|
|
Thereafter
|
1,358,518
|
|
|
Total expected minimum lease payments
|
1,379,626
|
|
|
Interest portion
|
(1,214,649
|
)
|
|
Present value of expected net lease payments
|
$
|
164,977
|
|
Land
|
$
|
29,510
|
|
Building and improvements
|
59,788
|
|
|
Tenant improvements
|
6,024
|
|
|
In-place lease intangibles
|
11,494
|
|
|
Above-market lease intangibles
|
246
|
|
|
Below-market lease intangibles
|
(1,092
|
)
|
|
Net assets acquired
|
$
|
105,970
|
|
|
Acquired In-Place
Lease Intangibles
|
|
Acquired Above-Market
Lease Intangibles
|
|
Acquired Below-
Market Lease Intangibles
|
||||||
Period from August 27, 2019 through December 31, 2019
|
$
|
1,801
|
|
|
$
|
28
|
|
|
$
|
(226
|
)
|
2020
|
4,485
|
|
|
80
|
|
|
(599
|
)
|
|||
2021
|
2,391
|
|
|
80
|
|
|
(237
|
)
|
|||
2022
|
1,121
|
|
|
43
|
|
|
(30
|
)
|
|||
2023
|
179
|
|
|
15
|
|
|
—
|
|
|||
2024
|
60
|
|
|
—
|
|
|
—
|
|
|
|
2019
|
|
2018
|
||||
Leasing costs, including lease related intangibles
|
|
$
|
1,155,958
|
|
|
$
|
1,191,297
|
|
Financing costs
|
|
12,728
|
|
|
12,796
|
|
||
|
|
1,168,686
|
|
|
1,204,093
|
|
||
Less: Accumulated amortization
|
|
(479,473
|
)
|
|
(525,369
|
)
|
||
|
|
$
|
689,213
|
|
|
$
|
678,724
|
|
|
|
|
|
|
|
Carrying Value of Investment (1)
|
|||||||
Entity
|
|
Properties
|
|
Nominal %
Ownership
|
|
December 31,
2019 |
|
December 31,
2018 |
|||||
|
|
|
|
|
|
(in thousands)
|
|||||||
Square 407 Limited Partnership
|
|
Market Square North
|
|
50.0
|
%
|
|
$
|
(4,872
|
)
|
|
$
|
(6,424
|
)
|
BP/CRF Metropolitan Square, LLC
|
|
Metropolitan Square
|
|
20.0
|
%
|
|
9,134
|
|
|
2,644
|
|
||
901 New York, LLC
|
|
901 New York Avenue
|
|
25.0
|
%
|
(2)
|
(12,113
|
)
|
|
(13,640
|
)
|
||
WP Project Developer LLC
|
|
Wisconsin Place Land and Infrastructure
|
|
33.3
|
%
|
(3)
|
36,789
|
|
|
38,214
|
|
||
Annapolis Junction NFM LLC
|
|
Annapolis Junction
|
|
50.0
|
%
|
(4)
|
25,391
|
|
|
25,268
|
|
||
540 Madison Venture LLC
|
|
540 Madison Avenue
|
|
60.0
|
%
|
(5)
|
2,953
|
|
|
66,391
|
|
||
500 North Capitol Venture LLC
|
|
500 North Capitol Street, NW
|
|
30.0
|
%
|
|
(5,439
|
)
|
|
(5,026
|
)
|
||
501 K Street LLC
|
|
1001 6th Street
|
|
50.0
|
%
|
(6)
|
42,496
|
|
|
42,557
|
|
||
Podium Developer LLC
|
|
The Hub on Causeway - Podium
|
|
50.0
|
%
|
|
49,466
|
|
|
69,302
|
|
||
Residential Tower Developer LLC
|
|
Hub50House
|
|
50.0
|
%
|
|
55,092
|
|
|
47,505
|
|
||
Hotel Tower Developer LLC
|
|
The Hub on Causeway - Hotel Air Rights
|
|
50.0
|
%
|
|
9,883
|
|
|
3,022
|
|
||
Office Tower Developer LLC
|
|
100 Causeway Street
|
|
50.0
|
%
|
|
56,606
|
|
|
23,804
|
|
||
1265 Main Office JV LLC
|
|
1265 Main Street
|
|
50.0
|
%
|
|
3,780
|
|
|
3,918
|
|
||
BNY Tower Holdings LLC
|
|
Dock 72
|
|
50.0
|
%
|
|
94,804
|
|
|
82,520
|
|
||
BNYTA Amenity Operator LLC
|
|
Dock 72
|
|
50.0
|
%
|
|
—
|
|
|
N/A
|
|
||
CA-Colorado Center Limited Partnership
|
|
Colorado Center
|
|
50.0
|
%
|
|
252,069
|
|
|
253,495
|
|
||
7750 Wisconsin Avenue LLC
|
|
7750 Wisconsin Avenue
|
|
50.0
|
%
|
|
56,247
|
|
|
69,724
|
|
||
BP-M 3HB Venture LLC
|
|
3 Hudson Boulevard
|
|
25.0
|
%
|
|
67,499
|
|
|
46,993
|
|
||
SMBP Venture LP
|
|
Santa Monica Business Park
|
|
55.0
|
%
|
|
163,937
|
|
|
180,952
|
|
||
Platform 16 Holdings LP
|
|
Platform 16
|
|
55.0
|
%
|
(7)
|
29,501
|
|
|
N/A
|
|
||
|
|
|
|
|
|
$
|
933,223
|
|
|
$
|
931,219
|
|
(1)
|
Investments with deficit balances aggregating approximately $22.4 million and $25.1 million at December 31, 2019 and 2018, respectively, are included within Other Liabilities in the Company’s Consolidated Balance Sheets.
|
(2)
|
The Company’s economic ownership has increased based on the achievement of certain return thresholds.
|
(3)
|
The Company’s wholly-owned subsidiary that owns Wisconsin Place Office also owns a 33.3% interest in the joint venture entity that owns the land, parking garage and infrastructure of the project.
|
(4)
|
The joint venture owns three in-service buildings and two undeveloped land parcels.
|
(5)
|
The property was sold on June 27, 2019. As of December 31, 2019, the investment is comprised of undistributed cash. See note below for additional details.
|
(6)
|
Under the joint venture agreement for this land parcel, the partner will be entitled to up to two additional payments from the venture based on increases in total entitled square footage of the project above 520,000 square feet and achieving certain project returns at stabilization.
|
(7)
|
This entity is a VIE (See Note 1).
|
|
December 31,
2019 |
|
December 31,
2018 |
||||
|
(in thousands)
|
||||||
ASSETS
|
|
|
|
||||
Real estate and development in process, net (1)
|
$
|
3,904,400
|
|
|
$
|
3,545,906
|
|
Other assets
|
502,706
|
|
|
543,512
|
|
||
Total assets
|
$
|
4,407,106
|
|
|
$
|
4,089,418
|
|
LIABILITIES AND MEMBERS’/PARTNERS’ EQUITY
|
|
|
|
||||
Mortgage and notes payable, net
|
$
|
2,218,853
|
|
|
$
|
2,017,609
|
|
Other liabilities (2)
|
749,675
|
|
|
582,006
|
|
||
Members’/Partners’ equity
|
1,438,578
|
|
|
1,489,803
|
|
||
Total liabilities and members’/partners’ equity
|
$
|
4,407,106
|
|
|
$
|
4,089,418
|
|
Company’s share of equity
|
$
|
591,905
|
|
|
$
|
622,498
|
|
Basis differentials (3)
|
341,318
|
|
|
308,721
|
|
||
Carrying value of the Company’s investments in unconsolidated joint ventures (4)
|
$
|
933,223
|
|
|
$
|
931,219
|
|
(1)
|
At December 31, 2019, this amount includes right of use assets - finance leases and right of use assets - operating leases totaling approximately $383.9 million and $12.1 million, respectively.
|
(2)
|
At December 31, 2019, this amount includes lease liabilities - finance leases and lease liabilities - operating leases totaling approximately $510.8 million and $17.3 million, respectively.
|
(3)
|
This amount represents the aggregate difference between the Company’s historical cost basis and the basis reflected at the joint venture level, which is typically amortized over the life of the related assets and liabilities. Basis differentials result from impairments of investments, acquisitions through joint ventures with no change in control and upon the transfer of assets that were previously owned by the Company into a joint venture. In addition, certain acquisition, transaction and other costs may not be reflected in the net assets at the joint venture level. At December 31, 2019 and 2018, there was an aggregate basis differential of approximately $311.3 million and $316.7 million, respectively, between the carrying value of the Company’s investment in the joint venture that owns Colorado Center and the joint venture’s basis in the assets and liabilities, which differential (excluding land) shall be amortized over the remaining lives of the related assets and liabilities.
|
(4)
|
Investments with deficit balances aggregating approximately $22.4 million and $25.1 million at December 31, 2019 and 2018, respectively, have been reflected within Other Liabilities in the Company’s Consolidated Balance Sheets.
|
|
For the year ended December 31,
|
||||||||||
|
2019
|
|
2018
|
|
2017
|
||||||
|
(in thousands)
|
||||||||||
Total revenue (1)
|
$
|
322,817
|
|
|
$
|
271,951
|
|
|
$
|
222,517
|
|
Expenses
|
|
|
|
|
|
||||||
Operating
|
122,992
|
|
|
106,610
|
|
|
90,542
|
|
|||
Transaction costs
|
1,000
|
|
|
—
|
|
|
—
|
|
|||
Depreciation and amortization (2)
|
102,296
|
|
|
103,079
|
|
|
57,079
|
|
|||
Total expenses
|
226,288
|
|
|
209,689
|
|
|
147,621
|
|
|||
Other income (expense)
|
|
|
|
|
|
||||||
Gains on sales of real estate (3)
|
32,706
|
|
|
16,951
|
|
|
—
|
|
|||
Interest expense
|
(84,409
|
)
|
|
(71,308
|
)
|
|
(46,371
|
)
|
|||
Net income
|
$
|
44,826
|
|
|
$
|
7,905
|
|
|
$
|
28,525
|
|
|
|
|
|
|
|
||||||
Company’s share of net income
|
$
|
24,423
|
|
|
$
|
8,084
|
|
|
$
|
18,439
|
|
Basis differential (3)(4)
|
22,169
|
|
|
(5,862
|
)
|
|
(7,207
|
)
|
|||
Income from unconsolidated joint ventures
|
$
|
46,592
|
|
|
$
|
2,222
|
|
|
$
|
11,232
|
|
(1)
|
Includes straight-line rent adjustments of approximately $32.4 million, $15.9 million and $21.7 million for the years ended December 31, 2019, 2018 and 2017, respectively.
|
(2)
|
During the year ended December 31, 2018, the joint venture that owns Metropolitan Square in Washington, DC, commenced a renovation project and recorded accelerated depreciation expense of approximately $22.4 million related to the remaining book value of the assets to be replaced. The Company’s share of the accelerated depreciation expense totaled approximately $4.5 million.
|
(3)
|
For the year ended December 31, 2019, represents the gain on sale of 540 Madison Avenue recognized by the joint venture, as described below. During 2008, the Company recognized an other-than-temporary impairment loss on its investment in the unconsolidated joint venture resulting in a basis differential between the carrying value of the Company’s investment in the joint venture and the joint venture’s basis in the assets and liabilities of the property. As a result of the historical basis difference, the Company recognized a gain on sale of real estate totaling approximately $47.2 million for the year ended December 31, 2019, which consists of its share of the gain on sale reported by the joint venture as well as an adjustment for the basis differential. The gain on sale of real estate is included in Income from Unconsolidated Joint Ventures in the Company’s Consolidated Statements of Operations.
|
(4)
|
Includes straight-line rent adjustments of approximately $2.1 million, $2.4 million and $1.9 million for the years ended December 31, 2019, 2018 and 2017, respectively. Also includes net above-/below-market rent adjustments of approximately $1.7 million, $1.6 million and $2.9 million for the years ended December 31, 2019, 2018 and 2017, respectively.
|
|
Principal Payments
|
||
2020
|
$
|
17,168
|
|
2021
|
17,276
|
|
|
2022
|
614,710
|
|
|
2023
|
—
|
|
|
2024
|
—
|
|
|
Thereafter
|
2,300,000
|
|
|
Total aggregate principal payments
|
2,949,154
|
|
|
Deferred financing costs, net
|
(26,746
|
)
|
|
Total carrying value of mortgage notes payable, net
|
$
|
2,922,408
|
|
|
Coupon/
Stated Rate
|
|
Effective
Rate(1)
|
|
Principal
Amount
|
|
Maturity Date(2)
|
||||
10 Year Unsecured Senior Notes
|
4.125
|
%
|
|
4.289
|
%
|
|
$
|
850,000
|
|
|
May 15, 2021
|
11 Year Unsecured Senior Notes
|
3.850
|
%
|
|
3.954
|
%
|
|
1,000,000
|
|
|
February 1, 2023
|
|
10.5 Year Unsecured Senior Notes
|
3.125
|
%
|
|
3.279
|
%
|
|
500,000
|
|
|
September 1, 2023
|
|
10.5 Year Unsecured Senior Notes
|
3.800
|
%
|
|
3.916
|
%
|
|
700,000
|
|
|
February 1, 2024
|
|
7 Year Unsecured Senior Notes
|
3.200
|
%
|
|
3.350
|
%
|
|
850,000
|
|
|
January 15, 2025
|
|
10 Year Unsecured Senior Notes
|
3.650
|
%
|
|
3.766
|
%
|
|
1,000,000
|
|
|
February 1, 2026
|
|
10 Year Unsecured Senior Notes
|
2.750
|
%
|
|
3.495
|
%
|
|
1,000,000
|
|
|
October 1, 2026
|
|
10 Year Unsecured Senior Notes
|
4.500
|
%
|
|
4.628
|
%
|
|
1,000,000
|
|
|
December 1, 2028
|
|
10 Year Unsecured Senior Notes
|
3.400
|
%
|
|
3.505
|
%
|
|
850,000
|
|
|
June 21, 2029
|
|
10.5 Year Unsecured Senior Notes
|
2.900
|
%
|
|
2.984
|
%
|
|
700,000
|
|
|
March 15, 2030
|
|
Total principal
|
|
|
|
|
8,450,000
|
|
|
|
|||
Net unamortized discount
|
|
|
|
|
(17,451
|
)
|
|
|
|||
Deferred financing costs, net
|
|
|
|
|
(42,090
|
)
|
|
|
|||
Total
|
|
|
|
|
$
|
8,390,459
|
|
|
|
(1)
|
Yield on issuance date including the effects of discounts on the notes, settlements of interest rate contracts and the amortization of financing costs.
|
(2)
|
No principal amounts are due prior to maturity.
|
Record Date
|
|
Payment Date
|
|
Distributions per OP Unit and LTIP Unit
|
|
Distributions per MYLTIP Unit
|
||||
December 31, 2019
|
|
January 30, 2020
|
|
|
$0.98
|
|
|
|
$0.098
|
|
September 30, 2019
|
|
October 31, 2019
|
|
|
$0.95
|
|
|
|
$0.095
|
|
June 28, 2019
|
|
July 31, 2019
|
|
|
$0.95
|
|
|
|
$0.095
|
|
March 29, 2019
|
|
April 30, 2019
|
|
|
$0.95
|
|
|
|
$0.095
|
|
December 31, 2018
|
|
January 30, 2019
|
|
|
$0.95
|
|
|
|
$0.095
|
|
Record Date
|
|
Payment Date
|
|
Distributions per OP Unit and LTIP Unit
|
|
Distributions per MYLTIP Unit
|
||||
December 31, 2018
|
|
January 30, 2019
|
|
|
$0.95
|
|
|
|
$0.095
|
|
September 28, 2018
|
|
October 31, 2018
|
|
|
$0.95
|
|
|
|
$0.095
|
|
June 29, 2018
|
|
July 31, 2018
|
|
|
$0.80
|
|
|
|
$0.080
|
|
March 29, 2018
|
|
April 30, 2018
|
|
|
$0.80
|
|
|
|
$0.080
|
|
December 29, 2017
|
|
January 30, 2018
|
|
|
$0.80
|
|
|
|
$0.080
|
|
Record Date
|
|
Payment Date
|
|
Dividend (Per Share)
|
|
|
Distribution (Per Unit)
|
|
||
December 31, 2019
|
|
January 30, 2020
|
|
|
$0.98
|
|
|
|
$0.98
|
|
September 30, 2019
|
|
October 31, 2019
|
|
|
$0.95
|
|
|
|
$0.95
|
|
June 28, 2019
|
|
July 31, 2019
|
|
|
$0.95
|
|
|
|
$0.95
|
|
March 29, 2019
|
|
April 30, 2019
|
|
|
$0.95
|
|
|
|
$0.95
|
|
|
|
|
|
|
|
|
||||
December 31, 2018
|
|
January 30, 2019
|
|
|
$0.95
|
|
|
|
$0.95
|
|
September 28, 2018
|
|
October 31, 2018
|
|
|
$0.95
|
|
|
|
$0.95
|
|
June 29, 2018
|
|
July 31, 2018
|
|
|
$0.80
|
|
|
|
$0.80
|
|
March 29, 2018
|
|
April 30, 2018
|
|
|
$0.80
|
|
|
|
$0.80
|
|
December 29, 2017
|
|
January 30, 2018
|
|
|
$0.80
|
|
|
|
$0.80
|
|
Record Date
|
|
Payment Date
|
|
Dividend (Per Share)
|
|
|
February 4, 2020
|
|
February 18, 2020
|
|
|
$32.8125
|
|
November 1, 2019
|
|
November 15, 2019
|
|
|
$32.8125
|
|
August 2, 2019
|
|
August 15, 2019
|
|
|
$32.8125
|
|
May 3, 2019
|
|
May 15, 2019
|
|
|
$32.8125
|
|
|
|
|
|
|
||
February 4, 2019
|
|
February 15, 2019
|
|
|
$32.8125
|
|
November 2, 2018
|
|
November 15, 2018
|
|
|
$32.8125
|
|
August 3, 2018
|
|
August 15, 2018
|
|
|
$32.8125
|
|
May 4, 2018
|
|
May 15, 2018
|
|
|
$32.8125
|
|
February 2, 2018
|
|
February 15, 2018
|
|
|
$32.8125
|
|
Years Ending December 31,
|
(in thousands)
|
||
2019
|
$
|
2,088,171
|
|
2020
|
2,106,963
|
|
|
2021
|
2,015,031
|
|
|
2022
|
1,838,699
|
|
|
2023
|
1,736,636
|
|
|
Thereafter
|
12,295,464
|
|
Years Ending December 31,
|
(in thousands)
|
||
2020
|
$
|
2,205,675
|
|
2021
|
2,222,643
|
|
|
2022
|
2,126,968
|
|
|
2023
|
2,068,871
|
|
|
2024
|
1,974,144
|
|
|
Thereafter
|
13,892,504
|
|
|
|
Year ended December 31,
|
||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
|
|
(in thousands)
|
||||||||||
Net income attributable to Boston Properties, Inc. common shareholders
|
|
$
|
511,034
|
|
|
$
|
572,347
|
|
|
$
|
451,939
|
|
Add:
|
|
|
|
|
|
|
||||||
Preferred dividends
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|||
Noncontrolling interest—common units of the Operating Partnership
|
|
59,345
|
|
|
66,807
|
|
|
52,210
|
|
|||
Noncontrolling interests in property partnerships
|
|
71,120
|
|
|
62,909
|
|
|
47,832
|
|
|||
Interest expense
|
|
412,717
|
|
|
378,168
|
|
|
374,481
|
|
|||
Losses (gains) from early extinguishments of debt
|
|
29,540
|
|
|
16,490
|
|
|
(496
|
)
|
|||
Impairment losses
|
|
24,038
|
|
|
11,812
|
|
|
—
|
|
|||
Net operating income from unconsolidated joint ventures
|
|
97,716
|
|
|
79,893
|
|
|
64,008
|
|
|||
Depreciation and amortization expense
|
|
677,764
|
|
|
645,649
|
|
|
617,547
|
|
|||
Transaction costs
|
|
1,984
|
|
|
1,604
|
|
|
668
|
|
|||
Payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
General and administrative expense
|
|
140,777
|
|
|
121,722
|
|
|
113,715
|
|
|||
Less:
|
|
|
|
|
|
|
||||||
Net operating income attributable to noncontrolling interests in property partnerships
|
|
183,989
|
|
|
177,365
|
|
|
174,245
|
|
|||
Gains (losses) from investments in securities
|
|
6,417
|
|
|
(1,865
|
)
|
|
3,678
|
|
|||
Interest and other income
|
|
18,939
|
|
|
10,823
|
|
|
5,783
|
|
|||
Gains on sales of real estate
|
|
709
|
|
|
182,356
|
|
|
7,663
|
|
|||
Income from unconsolidated joint ventures
|
|
46,592
|
|
|
2,222
|
|
|
11,232
|
|
|||
Direct reimbursements of payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
Development and management services revenue
|
|
40,039
|
|
|
45,158
|
|
|
34,605
|
|
|||
Company’s share of Net Operating Income
|
|
$
|
1,739,850
|
|
|
$
|
1,551,842
|
|
|
$
|
1,495,198
|
|
|
Year ended December 31,
|
|||||||||||
|
|
2019
|
|
2018
|
|
2017
|
||||||
|
|
(in thousands)
|
||||||||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
|
$
|
580,102
|
|
|
$
|
656,903
|
|
|
$
|
512,866
|
|
Add:
|
|
|
|
|
|
|
||||||
Preferred distributions
|
|
10,500
|
|
|
10,500
|
|
|
10,500
|
|
|||
Noncontrolling interests in property partnerships
|
|
71,120
|
|
|
62,909
|
|
|
47,832
|
|
|||
Interest expense
|
|
412,717
|
|
|
378,168
|
|
|
374,481
|
|
|||
Losses (gains) from early extinguishments of debt
|
|
29,540
|
|
|
16,490
|
|
|
(496
|
)
|
|||
Impairment losses
|
|
22,272
|
|
|
10,181
|
|
|
—
|
|
|||
Net operating income from unconsolidated joint ventures
|
|
97,716
|
|
|
79,893
|
|
|
64,008
|
|
|||
Depreciation and amortization expense
|
|
669,956
|
|
|
637,891
|
|
|
609,407
|
|
|||
Transaction costs
|
|
1,984
|
|
|
1,604
|
|
|
668
|
|
|||
Payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
General and administrative expense
|
|
140,777
|
|
|
121,722
|
|
|
113,715
|
|
|||
Less:
|
|
|
|
|
|
|
||||||
Net operating income attributable to noncontrolling interests in property partnerships
|
|
183,989
|
|
|
177,365
|
|
|
174,245
|
|
|||
Gains (losses) from investments in securities
|
|
6,417
|
|
|
(1,865
|
)
|
|
3,678
|
|
|||
Interest and other income
|
|
18,939
|
|
|
10,823
|
|
|
5,783
|
|
|||
Gains on sales of real estate
|
|
858
|
|
|
190,716
|
|
|
8,240
|
|
|||
Income from unconsolidated joint ventures
|
|
46,592
|
|
|
2,222
|
|
|
11,232
|
|
|||
Direct reimbursements of payroll and related costs from management services contracts
|
|
10,386
|
|
|
9,590
|
|
|
—
|
|
|||
Development and management services revenue
|
|
40,039
|
|
|
45,158
|
|
|
34,605
|
|
|||
Company’s share of Net Operating Income
|
|
$
|
1,739,850
|
|
|
$
|
1,551,842
|
|
|
$
|
1,495,198
|
|
|
Boston
|
|
Los Angeles
|
|
New York
|
|
San Francisco
|
|
Washington, DC
|
|
Total
|
||||||||||||
Rental Revenue: (1)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Office
|
$
|
895,098
|
|
|
$
|
—
|
|
|
$
|
1,011,912
|
|
|
$
|
533,189
|
|
|
$
|
384,435
|
|
|
$
|
2,824,634
|
|
Residential
|
13,786
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
23,128
|
|
|
36,914
|
|
||||||
Hotel
|
48,589
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
48,589
|
|
||||||
Total
|
957,473
|
|
|
—
|
|
|
1,011,912
|
|
|
533,189
|
|
|
407,563
|
|
|
2,910,137
|
|
||||||
% of Grand Totals
|
32.90
|
%
|
|
—
|
%
|
|
34.78
|
%
|
|
18.32
|
%
|
|
14.00
|
%
|
|
100.00
|
%
|
||||||
Rental Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Office
|
322,282
|
|
|
—
|
|
|
389,532
|
|
|
177,994
|
|
|
144,217
|
|
|
1,034,025
|
|
||||||
Residential
|
5,071
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,914
|
|
|
15,985
|
|
||||||
Hotel
|
34,004
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,004
|
|
||||||
Total
|
361,357
|
|
|
—
|
|
|
389,532
|
|
|
177,994
|
|
|
155,131
|
|
|
1,084,014
|
|
||||||
% of Grand Totals
|
33.34
|
%
|
|
—
|
%
|
|
35.93
|
%
|
|
16.42
|
%
|
|
14.31
|
%
|
|
100.00
|
%
|
||||||
Net operating income
|
$
|
596,116
|
|
|
$
|
—
|
|
|
$
|
622,380
|
|
|
$
|
355,195
|
|
|
$
|
252,432
|
|
|
$
|
1,826,123
|
|
% of Grand Totals
|
32.64
|
%
|
|
—
|
%
|
|
34.09
|
%
|
|
19.45
|
%
|
|
13.82
|
%
|
|
100.00
|
%
|
||||||
Less: Net operating income attributable to noncontrolling interests in property partnerships
|
(40,109
|
)
|
|
—
|
|
|
(143,432
|
)
|
|
(448
|
)
|
|
—
|
|
|
(183,989
|
)
|
||||||
Add: Company’s share of net operating income from unconsolidated joint ventures
|
5,494
|
|
|
61,338
|
|
|
4,174
|
|
|
—
|
|
|
26,710
|
|
|
97,716
|
|
||||||
Company’s share of net operating income
|
$
|
561,501
|
|
|
$
|
61,338
|
|
|
$
|
483,122
|
|
|
$
|
354,747
|
|
|
$
|
279,142
|
|
|
$
|
1,739,850
|
|
% of Grand Totals
|
32.27
|
%
|
|
3.53
|
%
|
|
27.77
|
%
|
|
20.39
|
%
|
|
16.04
|
%
|
|
100.00
|
%
|
(1)
|
Rental Revenue is equal to Total Revenue per the Company’s Consolidated Statements of Operations, less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Contracts Revenue per the Consolidated Statements of Operations.
|
|
Boston
|
|
Los Angeles
|
|
New York
|
|
San Francisco
|
|
Washington, DC
|
|
Total
|
||||||||||||
Rental Revenue: (1)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Office
|
$
|
838,341
|
|
|
$
|
—
|
|
|
$
|
959,050
|
|
|
$
|
397,180
|
|
|
$
|
396,088
|
|
|
$
|
2,590,659
|
|
Residential
|
6,694
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15,857
|
|
|
22,551
|
|
||||||
Hotel
|
49,118
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
49,118
|
|
||||||
Total
|
894,153
|
|
|
—
|
|
|
959,050
|
|
|
397,180
|
|
|
411,945
|
|
|
2,662,328
|
|
||||||
% of Grand Totals
|
33.59
|
%
|
|
—
|
%
|
|
36.02
|
%
|
|
14.92
|
%
|
|
15.47
|
%
|
|
100.00
|
%
|
||||||
Rental Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Office
|
315,653
|
|
|
—
|
|
|
377,992
|
|
|
130,016
|
|
|
142,886
|
|
|
966,547
|
|
||||||
Residential
|
3,632
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
8,972
|
|
|
12,604
|
|
||||||
Hotel
|
33,863
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
33,863
|
|
||||||
Total
|
353,148
|
|
|
—
|
|
|
377,992
|
|
|
130,016
|
|
|
151,858
|
|
|
1,013,014
|
|
||||||
% of Grand Totals
|
34.86
|
%
|
|
—
|
%
|
|
37.32
|
%
|
|
12.83
|
%
|
|
14.99
|
%
|
|
100.00
|
%
|
||||||
Net operating income
|
$
|
541,005
|
|
|
$
|
—
|
|
|
$
|
581,058
|
|
|
$
|
267,164
|
|
|
$
|
260,087
|
|
|
$
|
1,649,314
|
|
% of Grand Totals
|
32.80
|
%
|
|
—
|
%
|
|
35.23
|
%
|
|
16.20
|
%
|
|
15.77
|
%
|
|
100.00
|
%
|
||||||
Less: Net operating income attributable to noncontrolling interests in property partnerships
|
(33,862
|
)
|
|
—
|
|
|
(143,562
|
)
|
|
59
|
|
|
—
|
|
|
(177,365
|
)
|
||||||
Add: Company’s share of net operating income from unconsolidated joint ventures
|
2,866
|
|
|
42,750
|
|
|
6,590
|
|
|
—
|
|
|
27,687
|
|
|
79,893
|
|
||||||
Company’s share of net operating income
|
$
|
510,009
|
|
|
$
|
42,750
|
|
|
$
|
444,086
|
|
|
$
|
267,223
|
|
|
$
|
287,774
|
|
|
$
|
1,551,842
|
|
% of Grand Totals
|
32.86
|
%
|
|
2.75
|
%
|
|
28.63
|
%
|
|
17.22
|
%
|
|
18.54
|
%
|
|
100.00
|
%
|
(1)
|
Rental Revenue is equal to total Revenue per the Company’s Consolidated Statements of Operations, less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Contracts Revenue per the Consolidated Statements of Operations.
|
|
Boston
|
|
Los Angeles
|
|
New York
|
|
San Francisco
|
|
Washington, DC
|
|
Total
|
||||||||||||
Rental Revenue: (1)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Office
|
$
|
776,279
|
|
|
$
|
—
|
|
|
$
|
969,371
|
|
|
$
|
345,519
|
|
|
$
|
414,103
|
|
|
$
|
2,505,272
|
|
Residential
|
4,745
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
11,851
|
|
|
16,596
|
|
||||||
Hotel
|
45,603
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
45,603
|
|
||||||
Total
|
826,627
|
|
|
—
|
|
|
969,371
|
|
|
345,519
|
|
|
425,954
|
|
|
2,567,471
|
|
||||||
% of Grand Totals
|
32.20
|
%
|
|
—
|
%
|
|
37.75
|
%
|
|
13.46
|
%
|
|
16.59
|
%
|
|
100.00
|
%
|
||||||
Rental Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Office
|
301,097
|
|
|
—
|
|
|
372,810
|
|
|
105,253
|
|
|
144,515
|
|
|
923,675
|
|
||||||
Residential
|
2,044
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,258
|
|
|
6,302
|
|
||||||
Hotel
|
32,059
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
32,059
|
|
||||||
Total
|
335,200
|
|
|
—
|
|
|
372,810
|
|
|
105,253
|
|
|
148,773
|
|
|
962,036
|
|
||||||
% of Grand Totals
|
34.84
|
%
|
|
—
|
%
|
|
38.76
|
%
|
|
10.94
|
%
|
|
15.46
|
%
|
|
100.00
|
%
|
||||||
Net operating income
|
$
|
491,427
|
|
|
$
|
—
|
|
|
$
|
596,561
|
|
|
$
|
240,266
|
|
|
$
|
277,181
|
|
|
$
|
1,605,435
|
|
% of Grand Totals
|
30.61
|
%
|
|
—
|
%
|
|
37.15
|
%
|
|
14.97
|
%
|
|
17.27
|
%
|
|
100.00
|
%
|
||||||
Less: Net operating income attributable to noncontrolling interests in property partnerships
|
(31,857
|
)
|
|
—
|
|
|
(142,916
|
)
|
|
528
|
|
|
—
|
|
|
(174,245
|
)
|
||||||
Add: Company’s share of net operating income from unconsolidated joint ventures
|
1,962
|
|
|
26,816
|
|
|
8,832
|
|
|
—
|
|
|
26,398
|
|
|
64,008
|
|
||||||
Company’s share of net operating income
|
$
|
461,532
|
|
|
$
|
26,816
|
|
|
$
|
462,477
|
|
|
$
|
240,794
|
|
|
$
|
303,579
|
|
|
$
|
1,495,198
|
|
% of Grand Totals
|
30.87
|
%
|
|
1.79
|
%
|
|
30.94
|
%
|
|
16.10
|
%
|
|
20.30
|
%
|
|
100.00
|
%
|
(1)
|
Rental Revenue is equal to total Revenue per the Company’s Consolidated Statements of Operations, less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Contracts Revenue per the Consolidated Statements of Operations.
|
|
For the Year Ended December 31, 2019
|
|||||||||
|
Income
(Numerator)
|
|
Shares
(Denominator)
|
|
Per Share
Amount
|
|||||
|
(in thousands, except for per share amounts)
|
|||||||||
Basic Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
511,034
|
|
|
154,582
|
|
|
$
|
3.31
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|||||
Stock Based Compensation
|
—
|
|
|
301
|
|
|
(0.01
|
)
|
||
Diluted Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
511,034
|
|
|
154,883
|
|
|
$
|
3.30
|
|
|
|
|
|
|
|
|||||
|
For the Year ended December 31, 2018
|
|||||||||
|
Income
(Numerator)
|
|
Shares
(Denominator)
|
|
Per Share
Amount
|
|||||
|
(in thousands, except for per share amounts)
|
|||||||||
Basic Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
572,347
|
|
|
154,427
|
|
|
$
|
3.71
|
|
Allocation of undistributed earnings to participating securities
|
(101
|
)
|
|
—
|
|
|
—
|
|
||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
572,246
|
|
|
154,427
|
|
|
$
|
3.71
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|||||
Stock Based Compensation
|
—
|
|
|
255
|
|
|
(0.01
|
)
|
||
Diluted Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
572,246
|
|
|
154,682
|
|
|
$
|
3.70
|
|
|
|
|
|
|
|
|||||
|
For the Year ended December 31, 2017
|
|||||||||
|
Income
(Numerator)
|
|
Shares
(Denominator)
|
|
Per Share
Amount
|
|||||
|
(in thousands, except for per share amounts)
|
|||||||||
Basic Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
451,939
|
|
|
154,190
|
|
|
$
|
2.93
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|||||
Stock Based Compensation
|
—
|
|
|
200
|
|
|
—
|
|
||
Diluted Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties, Inc. common shareholders
|
$
|
451,939
|
|
|
154,390
|
|
|
$
|
2.93
|
|
|
|
|
|
|
|
|
For the Year Ended December 31, 2019
|
|||||||||
|
Income
(Numerator)
|
|
Units
(Denominator)
|
|
Per Unit
Amount
|
|||||
|
(in thousands, except for per unit amounts)
|
|||||||||
Basic Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
580,102
|
|
|
172,200
|
|
|
$
|
3.37
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|||||
Stock Based Compensation
|
—
|
|
|
301
|
|
|
(0.01
|
)
|
||
Diluted Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
580,102
|
|
|
172,501
|
|
|
$
|
3.36
|
|
|
For the Year ended December 31, 2018
|
|||||||||
|
Income
(Numerator)
|
|
Units
(Denominator)
|
|
Per Unit
Amount
|
|||||
|
(in thousands, except for per unit amounts)
|
|||||||||
Basic Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
656,903
|
|
|
171,912
|
|
|
$
|
3.82
|
|
Allocation of undistributed earnings to participating securities
|
(113
|
)
|
|
—
|
|
|
—
|
|
||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
656,790
|
|
|
171,912
|
|
|
$
|
3.82
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|||||
Stock Based Compensation
|
—
|
|
|
255
|
|
|
(0.01
|
)
|
||
Diluted Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
656,790
|
|
|
172,167
|
|
|
$
|
3.81
|
|
|
|
|
|
|
|
|
For the Year ended December 31, 2017
|
|||||||||
|
Income
(Numerator)
|
|
Units
(Denominator)
|
|
Per Unit
Amount
|
|||||
|
(in thousands, except for per unit amounts)
|
|||||||||
Basic Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
512,866
|
|
|
171,661
|
|
|
$
|
2.99
|
|
Effect of Dilutive Securities:
|
|
|
|
|
|
|||||
Stock Based Compensation
|
—
|
|
|
200
|
|
|
(0.01
|
)
|
||
Diluted Earnings:
|
|
|
|
|
|
|||||
Net income attributable to Boston Properties Limited Partnership common unitholders
|
$
|
512,866
|
|
|
171,861
|
|
|
$
|
2.98
|
|
|
|
|
|
|
|
|
|
Shares
|
|
Weighted-Average
Exercise Price
|
|||
Outstanding at December 31, 2016
|
|
547,129
|
|
|
$
|
96.38
|
|
Exercised
|
|
(6,688
|
)
|
|
$
|
99.15
|
|
Outstanding at December 31, 2017
|
|
540,441
|
|
|
$
|
96.35
|
|
Exercised
|
|
—
|
|
|
$
|
—
|
|
Outstanding at December 31, 2018
|
|
540,441
|
|
|
$
|
96.35
|
|
Exercised
|
|
(145,088
|
)
|
|
$
|
96.27
|
|
Outstanding at December 31, 2019
|
|
395,353
|
|
|
$
|
96.37
|
|
Options Outstanding
|
|
Options Exercisable
|
||||||||||||
Number Outstanding at 12/31/19
|
|
Weighted-Average Remaining
Contractual Life
|
|
Exercise Price
|
|
Number Exercisable at 12/31/19
|
|
Exercise Price
|
||||||
81,458
|
|
|
1.1 years
|
|
$
|
86.86
|
|
|
81,458
|
|
|
$
|
86.86
|
|
54,282
|
|
|
3.3 years
|
|
$
|
95.69
|
|
|
54,282
|
|
|
$
|
95.69
|
|
142,422
|
|
|
3.1 years
|
|
$
|
98.46
|
|
|
142,422
|
|
|
$
|
98.46
|
|
117,191
|
|
|
2.1 years
|
|
$
|
100.77
|
|
|
117,191
|
|
|
$
|
100.77
|
|
|
|
2019 Quarter Ended
|
||||||||||||||
|
|
March 31,
|
|
June 30,
|
|
September 30,
|
|
December 31,
|
||||||||
|
|
(in thousands, except for per share amounts)
|
||||||||||||||
Total revenue
|
|
$
|
725,767
|
|
|
$
|
733,741
|
|
|
$
|
743,553
|
|
|
$
|
757,501
|
|
Net income
|
|
$
|
131,159
|
|
|
$
|
203,461
|
|
|
$
|
141,370
|
|
|
$
|
176,009
|
|
Net income attributable to Boston Properties, Inc. common shareholders
|
|
$
|
98,105
|
|
|
$
|
164,318
|
|
|
$
|
107,771
|
|
|
$
|
140,824
|
|
Income attributable to Boston Properties, Inc. per share—basic
|
|
$
|
0.63
|
|
|
$
|
1.06
|
|
|
$
|
0.70
|
|
|
$
|
0.91
|
|
Income attributable to Boston Properties, Inc. per share—diluted
|
|
$
|
0.63
|
|
|
$
|
1.06
|
|
|
$
|
0.70
|
|
|
$
|
0.91
|
|
|
|
2018 Quarter Ended
|
||||||||||||||
|
|
March 31,
|
|
June 30,
|
|
September 30,
|
|
December 31,
|
||||||||
|
|
(in thousands, except for per share amounts)
|
||||||||||||||
Total revenue
|
|
$
|
661,151
|
|
|
$
|
664,484
|
|
|
$
|
686,284
|
|
|
$
|
705,157
|
|
Net income
|
|
$
|
216,312
|
|
|
$
|
160,565
|
|
|
$
|
150,445
|
|
|
$
|
185,241
|
|
Net income attributable to Boston Properties, Inc. common shareholders
|
|
$
|
176,021
|
|
|
$
|
128,681
|
|
|
$
|
119,118
|
|
|
$
|
148,529
|
|
Income attributable to Boston Properties, Inc. per share—basic
|
|
$
|
1.14
|
|
|
$
|
0.83
|
|
|
$
|
0.77
|
|
|
$
|
0.96
|
|
Income attributable to Boston Properties, Inc. per share—diluted
|
|
$
|
1.14
|
|
|
$
|
0.83
|
|
|
$
|
0.77
|
|
|
$
|
0.96
|
|
|
|
2019 Quarter Ended
|
||||||||||||||
|
|
March 31,
|
|
June 30,
|
|
September 30,
|
|
December 31,
|
||||||||
|
|
(in thousands, except for per unit amounts)
|
||||||||||||||
Total revenue
|
|
$
|
725,767
|
|
|
$
|
733,741
|
|
|
$
|
743,553
|
|
|
$
|
757,501
|
|
Net income
|
|
$
|
134,837
|
|
|
$
|
205,822
|
|
|
$
|
143,212
|
|
|
$
|
177,851
|
|
Net income attributable to Boston Properties Limited Partnership common unitholders
|
|
$
|
113,382
|
|
|
$
|
185,715
|
|
|
$
|
122,117
|
|
|
$
|
158,888
|
|
Income attributable to Boston Properties Limited Partnership per unit—basic
|
|
$
|
0.66
|
|
|
$
|
1.08
|
|
|
$
|
0.71
|
|
|
$
|
0.92
|
|
Income attributable to Boston Properties Limited Partnership per unit—diluted
|
|
$
|
0.66
|
|
|
$
|
1.08
|
|
|
$
|
0.71
|
|
|
$
|
0.92
|
|
|
|
2018 Quarter Ended
|
||||||||||||||
|
|
March 31,
|
|
June 30,
|
|
September 30,
|
|
December 31,
|
||||||||
|
|
(in thousands, except for per unit amounts)
|
||||||||||||||
Total revenue
|
|
$
|
661,151
|
|
|
$
|
664,484
|
|
|
$
|
686,284
|
|
|
$
|
705,157
|
|
Net income
|
|
$
|
220,766
|
|
|
$
|
162,986
|
|
|
$
|
153,676
|
|
|
$
|
192,884
|
|
Net income attributable to Boston Properties Limited Partnership common unitholders
|
|
$
|
200,907
|
|
|
$
|
145,961
|
|
|
$
|
136,201
|
|
|
$
|
173,834
|
|
Income attributable to Boston Properties Limited Partnership per unit—basic
|
|
$
|
1.17
|
|
|
$
|
0.85
|
|
|
$
|
0.79
|
|
|
$
|
1.01
|
|
Income attributable to Boston Properties Limited Partnership per unit—diluted
|
|
$
|
1.17
|
|
|
$
|
0.85
|
|
|
$
|
0.79
|
|
|
$
|
1.01
|
|
Plan category
|
|
Number of securities to be issued upon exercise of outstanding options, warrants and rights
|
|
|
Weighted-average exercise price of outstanding options, warrants and rights
|
|
|
Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a))
|
|
||||||||
|
|
(a)
|
|
|
(b)
|
|
|
(c)
|
|
||||||||
Equity compensation plans approved by security holders (1)
|
|
3,876,539
|
|
|
(2)
|
$
|
96.37
|
|
|
(2)
|
8,465,049
|
|
(3)
|
||||
Equity compensation plans not approved by security holders (4)
|
|
N/A
|
|
|
|
N/A
|
|
|
|
85,347
|
|
|
|||||
Total
|
|
3,876,539
|
|
|
|
$
|
96.37
|
|
|
|
8,550,396
|
|
|
(1)
|
Includes information related to BXP’s 1997 Plan and 2012 Plan.
|
(2)
|
Includes (a) 395,353 shares of common stock issuable upon the exercise of outstanding options (all of which are vested and exercisable), (b) 1,143,215 long term incentive units (LTIP units) (375,679 of which are vested) that, upon the satisfaction of certain conditions, are convertible into common units, which may be presented to BPLP for redemption and acquired by BXP for shares of its common stock, (c) 1,325,445 common units issued upon conversion of LTIP units, which may be presented to BPLP for redemption and acquired by BXP for shares of its common stock, (d) 394,921 2017 MYLTIP Awards that, upon the satisfaction of certain conditions, are convertible into common units, which may be presented to BPLP for redemption and acquired by BXP for shares of its common stock, (e) 336,195 2018 MYLTIP Awards that, upon the satisfaction of certain conditions, are convertible into common units, which may be presented to BPLP for redemption and acquired by BXP for shares of its common stock, (f) 220,734 2019 MYLTIP Awards that, upon the satisfaction of certain conditions, are convertible into common units, which may be presented to BPLP for redemption and acquired by BXP for shares of its common stock and (g) 60,676 deferred stock units which were granted pursuant to elections by certain of BXP’s non-employee directors to defer all cash compensation to be paid to such directors and to receive their deferred cash compensation in shares of BXP’s common stock upon their retirement from its Board of Directors.
|
(3)
|
Represents awards available for issuance under BXP’s 2012 Plan. “Full-value” awards (i.e., awards other than stock options) are multiplied by a 2.32 conversion ratio to calculate the number of shares available under the 2012 Plan that are used for each full-value award, as opposed to a 1.0 conversion ratio for each stock option awarded under the 2012 Plan.
|
(4)
|
Includes information related to the 1999 Non-Qualified Employee Stock Purchase Plan (ESPP). The ESPP was adopted by the Board of Directors of BXP on October 29, 1998. The ESPP has not been approved by BXP’s stockholders. The ESPP is available to all our employees that are employed on the first day of the purchase period. Under the ESPP, each eligible employee may purchase shares of our common stock at semi-annual intervals each year at a purchase price equal to 85% of the average closing prices of our common stock on the New York Stock Exchange during the last ten business days of the purchase period. Each eligible employee may contribute no more than $10,000 per year to purchase our common stock under the ESPP.
|
Boston Properties, Inc.
Schedule 3 - Real Estate and Accumulated Depreciation
December 31, 2019
(dollars in thousands)
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property Name
|
|
Type
|
|
Location
|
|
Encumbrances
|
|
Original
|
|
Costs
Capitalized
Subsequent
to
Acquisition
|
|
Land and Improvements
|
|
Building and
Improvements
|
|
Land
Held for
Development
|
|
Development
and
Construction
in Progress
|
|
Total
|
|
Accumulated
Depreciation
|
|
Year(s) Built/
Renovated
|
|
Year(s) Acquired
|
|
Depreciable
Lives (Years)
|
||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
Land
|
|
Building
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||
Kingstowne Towne Center
|
|
Office
|
|
Alexandria, VA
|
|
—
|
|
|
18,021
|
|
|
109,038
|
|
|
3,376
|
|
|
18,062
|
|
|
112,373
|
|
|
—
|
|
|
—
|
|
|
130,435
|
|
|
44,294
|
|
|
2003-2006
|
|
2007
|
|
(1)
|
||||||||||||||
One Freedom Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
9,929
|
|
|
84,504
|
|
|
34,372
|
|
|
11,293
|
|
|
117,512
|
|
|
—
|
|
|
—
|
|
|
128,805
|
|
|
59,006
|
|
|
2000
|
|
2003
|
|
(1)
|
||||||||||||||
Capital Gallery
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
4,725
|
|
|
29,565
|
|
|
88,704
|
|
|
8,662
|
|
|
114,332
|
|
|
—
|
|
|
—
|
|
|
122,994
|
|
|
71,631
|
|
|
1981/2006
|
|
2007
|
|
(1)
|
||||||||||||||
Weston Corporate Center
|
|
Office
|
|
Weston, MA
|
|
—
|
|
|
25,753
|
|
|
92,312
|
|
|
(123
|
)
|
|
25,854
|
|
|
92,088
|
|
|
—
|
|
|
—
|
|
|
117,942
|
|
|
29,227
|
|
|
2010
|
|
2001
|
|
(1)
|
||||||||||||||
Two Freedom Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
13,930
|
|
|
77,739
|
|
|
23,209
|
|
|
15,420
|
|
|
99,458
|
|
|
—
|
|
|
—
|
|
|
114,878
|
|
|
50,668
|
|
|
2001
|
|
2003
|
|
(1)
|
||||||||||||||
One and Two Reston Overlook
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
16,456
|
|
|
66,192
|
|
|
24,181
|
|
|
16,179
|
|
|
90,650
|
|
|
—
|
|
|
—
|
|
|
106,829
|
|
|
51,503
|
|
|
1999
|
|
2000
|
|
(1)
|
||||||||||||||
Discovery Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
11,198
|
|
|
71,782
|
|
|
20,905
|
|
|
12,533
|
|
|
91,352
|
|
|
—
|
|
|
—
|
|
|
103,885
|
|
|
43,619
|
|
|
2001
|
|
2003
|
|
(1)
|
||||||||||||||
140 Kendrick Street
|
|
Office
|
|
Needham, MA
|
|
—
|
|
|
18,095
|
|
|
66,905
|
|
|
17,574
|
|
|
19,092
|
|
|
83,482
|
|
|
—
|
|
|
—
|
|
|
102,574
|
|
|
35,721
|
|
|
2000
|
|
2004
|
|
(1)
|
||||||||||||||
355 Main Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
18,863
|
|
|
53,346
|
|
|
27,582
|
|
|
21,173
|
|
|
78,618
|
|
|
—
|
|
|
—
|
|
|
99,791
|
|
|
26,439
|
|
|
1981/1996/2013
|
|
2006
|
|
(1)
|
||||||||||||||
880 & 890 Winter Street
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
29,510
|
|
|
65,812
|
|
|
—
|
|
|
29,510
|
|
|
65,812
|
|
|
—
|
|
|
—
|
|
|
95,322
|
|
|
1,458
|
|
|
1998-1999
|
|
2019
|
|
(1)
|
||||||||||||||
10 CityPoint
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
1,953
|
|
|
85,752
|
|
|
4,697
|
|
|
2,290
|
|
|
90,112
|
|
|
—
|
|
|
—
|
|
|
92,402
|
|
|
10,928
|
|
|
2016
|
|
1997
|
|
(1)
|
||||||||||||||
90 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
19,104
|
|
|
52,078
|
|
|
19,857
|
|
|
20,785
|
|
|
70,254
|
|
|
—
|
|
|
—
|
|
|
91,039
|
|
|
23,621
|
|
|
1983/1998/2013
|
|
2006
|
|
(1)
|
||||||||||||||
230 CityPoint
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
13,189
|
|
|
49,823
|
|
|
22,057
|
|
|
13,807
|
|
|
71,262
|
|
|
—
|
|
|
—
|
|
|
85,069
|
|
|
29,255
|
|
|
1992
|
|
2005
|
|
(1)
|
||||||||||||||
77 CityPoint
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
13,847
|
|
|
60,383
|
|
|
10,556
|
|
|
14,023
|
|
|
70,763
|
|
|
—
|
|
|
—
|
|
|
84,786
|
|
|
27,172
|
|
|
2008
|
|
2001
|
|
(1)
|
||||||||||||||
Waltham Weston Corporate Center
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
10,385
|
|
|
60,694
|
|
|
13,165
|
|
|
11,097
|
|
|
73,147
|
|
|
—
|
|
|
—
|
|
|
84,244
|
|
|
35,567
|
|
|
2003
|
|
1999
|
|
(1)
|
||||||||||||||
3625-3635 Peterson Way
|
|
Office
|
|
Santa Clara, CA
|
|
—
|
|
|
63,206
|
|
|
14,879
|
|
|
752
|
|
|
63,206
|
|
|
14,879
|
|
|
752
|
|
|
—
|
|
|
78,837
|
|
|
11,172
|
|
|
1979
|
|
2016
|
|
(1)
|
||||||||||||||
2440 West El Camino Real
|
|
Office
|
|
Mountain View, CA
|
|
—
|
|
|
16,741
|
|
|
51,285
|
|
|
5,454
|
|
|
16,741
|
|
|
56,739
|
|
|
—
|
|
|
—
|
|
|
73,480
|
|
|
13,090
|
|
|
1987/2003
|
|
2011
|
|
(1)
|
||||||||||||||
191 Spring Street
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
2,850
|
|
|
59,751
|
|
|
7,695
|
|
|
3,151
|
|
|
67,145
|
|
|
—
|
|
|
—
|
|
|
70,296
|
|
|
21,917
|
|
|
1971/1995/2018
|
|
1997
|
|
(1)
|
||||||||||||||
300 Binney Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
18,080
|
|
|
51,262
|
|
|
140
|
|
|
18,080
|
|
|
51,402
|
|
|
—
|
|
|
—
|
|
|
69,482
|
|
|
11,146
|
|
|
2013
|
|
2009
|
|
(1)
|
||||||||||||||
Wisconsin Place
|
|
Office
|
|
Chevy Chase, MD
|
|
—
|
|
|
—
|
|
|
53,349
|
|
|
14,924
|
|
|
—
|
|
|
68,273
|
|
|
—
|
|
|
—
|
|
|
68,273
|
|
|
25,934
|
|
|
2009
|
|
2004
|
|
(1)
|
||||||||||||||
Reston Corporate Center
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
9,135
|
|
|
50,857
|
|
|
6,236
|
|
|
10,148
|
|
|
56,080
|
|
|
—
|
|
|
—
|
|
|
66,228
|
|
|
29,860
|
|
|
1984
|
|
1998
|
|
(1)
|
||||||||||||||
New Dominion Technology Park, Bldg. Two
|
|
Office
|
|
Herndon, VA
|
|
—
|
|
|
5,584
|
|
|
51,868
|
|
|
4,157
|
|
|
6,510
|
|
|
55,099
|
|
|
—
|
|
|
—
|
|
|
61,609
|
|
|
26,894
|
|
|
2004
|
|
1998
|
|
(1)
|
||||||||||||||
255 Main Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
134
|
|
|
25,110
|
|
|
34,124
|
|
|
548
|
|
|
58,820
|
|
|
—
|
|
|
—
|
|
|
59,368
|
|
|
33,543
|
|
|
1987
|
|
1997
|
|
(1)
|
||||||||||||||
University Place
|
|
Office
|
|
Cambridge, MA
|
|
3,602
|
|
|
—
|
|
|
37,091
|
|
|
16,001
|
|
|
7,418
|
|
|
45,674
|
|
|
—
|
|
|
—
|
|
|
53,092
|
|
|
29,423
|
|
|
1985
|
|
1998
|
|
(1)
|
||||||||||||||
New Dominion Technology Park, Bldg. One
|
|
Office
|
|
Herndon, VA
|
|
—
|
|
|
3,880
|
|
|
43,227
|
|
|
3,927
|
|
|
4,583
|
|
|
46,451
|
|
|
—
|
|
|
—
|
|
|
51,034
|
|
|
29,141
|
|
|
2001
|
|
1998
|
|
(1)
|
||||||||||||||
Sumner Square
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
624
|
|
|
28,745
|
|
|
21,344
|
|
|
3,535
|
|
|
47,178
|
|
|
—
|
|
|
—
|
|
|
50,713
|
|
|
27,093
|
|
|
1985
|
|
1999
|
|
(1)
|
||||||||||||||
200 West Street
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
16,148
|
|
|
24,983
|
|
|
8,211
|
|
|
16,813
|
|
|
30,425
|
|
|
—
|
|
|
2,104
|
|
|
49,342
|
|
|
17,001
|
|
|
1999
|
|
1997
|
|
(1)
|
||||||||||||||
North First Business Park
|
|
Office
|
|
San Jose, CA
|
|
—
|
|
|
23,398
|
|
|
13,069
|
|
|
4,571
|
|
|
23,377
|
|
|
17,661
|
|
|
—
|
|
|
—
|
|
|
41,038
|
|
|
16,411
|
|
|
1981
|
|
2007
|
|
(1)
|
||||||||||||||
150 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
850
|
|
|
25,042
|
|
|
8,540
|
|
|
1,323
|
|
|
33,109
|
|
|
—
|
|
|
—
|
|
|
34,432
|
|
|
19,875
|
|
|
1999
|
|
1997
|
|
(1)
|
||||||||||||||
105 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
1,299
|
|
|
12,943
|
|
|
11,406
|
|
|
2,395
|
|
|
23,253
|
|
|
—
|
|
|
—
|
|
|
25,648
|
|
|
11,870
|
|
|
1990
|
|
1997
|
|
(1)
|
||||||||||||||
Lexington Office Park
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
998
|
|
|
1,426
|
|
|
18,547
|
|
|
1,264
|
|
|
19,707
|
|
|
—
|
|
|
—
|
|
|
20,971
|
|
|
14,312
|
|
|
1982
|
|
1997
|
|
(1)
|
||||||||||||||
201 Spring Street
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
2,849
|
|
|
15,303
|
|
|
1,172
|
|
|
3,124
|
|
|
16,200
|
|
|
—
|
|
|
—
|
|
|
19,324
|
|
|
8,587
|
|
|
1997
|
|
1997
|
|
(1)
|
||||||||||||||
The Point
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
6,395
|
|
|
10,040
|
|
|
421
|
|
|
6,492
|
|
|
10,364
|
|
|
—
|
|
|
—
|
|
|
16,856
|
|
|
1,349
|
|
|
2015
|
|
2007
|
|
(1)
|
||||||||||||||
33 Hayden Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
266
|
|
|
3,234
|
|
|
12,898
|
|
|
425
|
|
|
15,973
|
|
|
—
|
|
|
—
|
|
|
16,398
|
|
|
5,678
|
|
|
1979
|
|
1997
|
|
(1)
|
||||||||||||||
690 Folsom Street
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
3,219
|
|
|
11,038
|
|
|
1,157
|
|
|
3,219
|
|
|
12,195
|
|
|
—
|
|
|
—
|
|
|
15,414
|
|
|
2,284
|
|
|
2015
|
|
2012
|
|
(1)
|
Boston Properties, Inc.
Schedule 3 - Real Estate and Accumulated Depreciation
December 31, 2019
(dollars in thousands)
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property Name
|
|
Type
|
|
Location
|
|
Encumbrances
|
|
Original
|
|
Costs
Capitalized
Subsequent
to
Acquisition
|
|
Land and Improvements
|
|
Building and
Improvements
|
|
Land
Held for
Development
|
|
Development
and
Construction
in Progress
|
|
Total
|
|
Accumulated
Depreciation
|
|
Year(s) Built/
Renovated
|
|
Year(s) Acquired
|
|
Depreciable
Lives (Years)
|
||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
Land
|
|
Building
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||
92-100 Hayden Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
594
|
|
|
6,748
|
|
|
7,529
|
|
|
802
|
|
|
14,069
|
|
|
—
|
|
|
—
|
|
|
14,871
|
|
|
12,041
|
|
|
1985
|
|
1997
|
|
(1)
|
||||||||||||||
181 Spring Street
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
1,066
|
|
|
9,520
|
|
|
2,177
|
|
|
1,160
|
|
|
11,603
|
|
|
—
|
|
|
—
|
|
|
12,763
|
|
|
5,597
|
|
|
1999
|
|
1997
|
|
(1)
|
||||||||||||||
195 West Street
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
1,611
|
|
|
6,652
|
|
|
4,218
|
|
|
1,858
|
|
|
10,623
|
|
|
—
|
|
|
—
|
|
|
12,481
|
|
|
8,352
|
|
|
1990
|
|
1997
|
|
(1)
|
||||||||||||||
7501 Boston Boulevard, Building Seven
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
665
|
|
|
9,273
|
|
|
816
|
|
|
791
|
|
|
9,963
|
|
|
—
|
|
|
—
|
|
|
10,754
|
|
|
5,393
|
|
|
1997
|
|
1997
|
|
(1)
|
||||||||||||||
7435 Boston Boulevard, Building One
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
392
|
|
|
3,822
|
|
|
4,983
|
|
|
659
|
|
|
8,538
|
|
|
—
|
|
|
—
|
|
|
9,197
|
|
|
6,344
|
|
|
1982
|
|
1997
|
|
(1)
|
||||||||||||||
7450 Boston Boulevard, Building Three
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
1,165
|
|
|
4,681
|
|
|
2,591
|
|
|
1,430
|
|
|
7,007
|
|
|
—
|
|
|
—
|
|
|
8,437
|
|
|
3,575
|
|
|
1987
|
|
1998
|
|
(1)
|
||||||||||||||
32 Hartwell Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
168
|
|
|
1,943
|
|
|
6,115
|
|
|
314
|
|
|
7,912
|
|
|
—
|
|
|
—
|
|
|
8,226
|
|
|
1,975
|
|
|
1968/1979/1987
|
|
1997
|
|
(1)
|
||||||||||||||
250 Binney Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
110
|
|
|
4,483
|
|
|
3,593
|
|
|
273
|
|
|
7,913
|
|
|
—
|
|
|
—
|
|
|
8,186
|
|
|
5,829
|
|
|
1983
|
|
1997
|
|
(1)
|
||||||||||||||
8000 Grainger Court, Building Five
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
366
|
|
|
4,282
|
|
|
3,198
|
|
|
601
|
|
|
7,245
|
|
|
—
|
|
|
—
|
|
|
7,846
|
|
|
5,752
|
|
|
1984
|
|
1997
|
|
(1)
|
||||||||||||||
453 Ravendale Drive
|
|
Office
|
|
Mountain View, CA
|
|
—
|
|
|
5,477
|
|
|
1,090
|
|
|
676
|
|
|
5,477
|
|
|
1,766
|
|
|
—
|
|
|
—
|
|
|
7,243
|
|
|
690
|
|
|
1977
|
|
2012
|
|
(1)
|
||||||||||||||
7300 Boston Boulevard, Building Thirteen
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
608
|
|
|
4,773
|
|
|
1,007
|
|
|
661
|
|
|
5,727
|
|
|
—
|
|
|
—
|
|
|
6,388
|
|
|
1,984
|
|
|
2002
|
|
1997
|
|
(1)
|
||||||||||||||
17 Hartwell Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
26
|
|
|
150
|
|
|
6,064
|
|
|
65
|
|
|
6,175
|
|
|
—
|
|
|
—
|
|
|
6,240
|
|
|
1,966
|
|
|
1968
|
|
1997
|
|
(1)
|
||||||||||||||
7601 Boston Boulevard, Building Eight
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
200
|
|
|
878
|
|
|
5,060
|
|
|
551
|
|
|
5,587
|
|
|
—
|
|
|
—
|
|
|
6,138
|
|
|
4,689
|
|
|
1986
|
|
1997
|
|
(1)
|
||||||||||||||
7500 Boston Boulevard, Building Six
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
138
|
|
|
3,749
|
|
|
1,640
|
|
|
367
|
|
|
5,160
|
|
|
—
|
|
|
—
|
|
|
5,527
|
|
|
4,237
|
|
|
1985
|
|
1997
|
|
(1)
|
||||||||||||||
8000 Corporate Court, Building Eleven
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
136
|
|
|
3,071
|
|
|
1,596
|
|
|
774
|
|
|
4,029
|
|
|
—
|
|
|
—
|
|
|
4,803
|
|
|
3,191
|
|
|
1989
|
|
1997
|
|
(1)
|
||||||||||||||
7375 Boston Boulevard, Building Ten
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
23
|
|
|
2,685
|
|
|
1,032
|
|
|
93
|
|
|
3,647
|
|
|
—
|
|
|
—
|
|
|
3,740
|
|
|
2,606
|
|
|
1988
|
|
1997
|
|
(1)
|
||||||||||||||
7374 Boston Boulevard, Building Four
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
241
|
|
|
1,605
|
|
|
1,828
|
|
|
398
|
|
|
3,276
|
|
|
—
|
|
|
—
|
|
|
3,674
|
|
|
2,779
|
|
|
1984
|
|
1997
|
|
(1)
|
||||||||||||||
7451 Boston Boulevard, Building Two
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
249
|
|
|
1,542
|
|
|
1,667
|
|
|
613
|
|
|
2,845
|
|
|
—
|
|
|
—
|
|
|
3,458
|
|
|
2,610
|
|
|
1982
|
|
1997
|
|
(1)
|
||||||||||||||
Signature at Reston
|
|
Residential
|
|
Reston, VA
|
|
—
|
|
|
27,076
|
|
|
190,580
|
|
|
393
|
|
|
27,076
|
|
|
190,973
|
|
|
—
|
|
|
—
|
|
|
218,049
|
|
|
8,773
|
|
|
2018
|
|
2013
|
|
(1)
|
||||||||||||||
Proto Kendall Square
|
|
Residential
|
|
Cambridge, MA
|
|
—
|
|
|
9,243
|
|
|
127,248
|
|
|
2,939
|
|
|
9,245
|
|
|
130,185
|
|
|
—
|
|
|
—
|
|
|
139,430
|
|
|
4,566
|
|
|
2018
|
|
2015
|
|
(1)
|
||||||||||||||
The Avant at Reston Town Center
|
|
Residential
|
|
Reston, VA
|
|
—
|
|
|
20,350
|
|
|
91,995
|
|
|
830
|
|
|
20,350
|
|
|
92,825
|
|
|
—
|
|
|
—
|
|
|
113,175
|
|
|
14,728
|
|
|
2014
|
|
2010
|
|
(1)
|
||||||||||||||
The Lofts at Atlantic Wharf
|
|
Residential
|
|
Boston, MA
|
|
—
|
|
|
3,529
|
|
|
54,891
|
|
|
1,897
|
|
|
3,529
|
|
|
56,788
|
|
|
—
|
|
|
—
|
|
|
60,317
|
|
|
12,639
|
|
|
2011
|
|
2007
|
|
(1)
|
||||||||||||||
Boston Marriott Cambridge
|
|
Hotel
|
|
Cambridge, MA
|
|
—
|
|
|
478
|
|
|
37,918
|
|
|
35,813
|
|
|
1,201
|
|
|
73,008
|
|
|
—
|
|
|
—
|
|
|
74,209
|
|
|
46,605
|
|
|
1986/2017
|
|
1997
|
|
(1)
|
||||||||||||||
Kendall Center Green Garage
|
|
Garage
|
|
Cambridge, MA
|
|
—
|
|
|
—
|
|
|
35,035
|
|
|
7,329
|
|
|
103
|
|
|
42,261
|
|
|
—
|
|
|
—
|
|
|
42,364
|
|
|
13,512
|
|
|
1984
|
|
2006
|
|
(1)
|
||||||||||||||
Kendall Center Yellow Garage
|
|
Garage
|
|
Cambridge, MA
|
|
—
|
|
|
1,256
|
|
|
15,697
|
|
|
1,552
|
|
|
1,434
|
|
|
17,071
|
|
|
—
|
|
|
—
|
|
|
18,505
|
|
|
6,031
|
|
|
2006
|
|
2004
|
|
(1)
|
||||||||||||||
Kendall Center Blue Garage
|
|
Garage
|
|
Cambridge, MA
|
|
—
|
|
|
1,163
|
|
|
11,633
|
|
|
2,151
|
|
|
1,579
|
|
|
13,368
|
|
|
—
|
|
|
—
|
|
|
14,947
|
|
|
9,728
|
|
|
1990
|
|
1997
|
|
(1)
|
||||||||||||||
The Skylyne (MacArthur Station Residences)
|
|
Development
|
|
Oakland, CA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
226,526
|
|
|
29,807
|
|
|
—
|
|
|
—
|
|
|
196,719
|
|
|
226,526
|
|
|
—
|
|
|
N/A
|
|
N/A
|
|
N/A
|
||||||||||||||
2100 Pennsylvania Avenue
|
|
Development
|
|
Washington, DC
|
|
—
|
|
|
—
|
|
|
—
|
|
|
224,380
|
|
|
185,129
|
|
|
—
|
|
|
—
|
|
|
39,251
|
|
|
224,380
|
|
|
1,024
|
|
|
N/A
|
|
N/A
|
|
N/A
|
||||||||||||||
Reston Gateway
|
|
Development
|
|
Reston, VA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
150,632
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
150,632
|
|
|
150,632
|
|
|
—
|
|
|
N/A
|
|
1998
|
|
N/A
|
||||||||||||||
17Fifty Presidents Street
|
|
Development
|
|
Reston, VA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
99,816
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
99,816
|
|
|
99,816
|
|
|
—
|
|
|
N/A
|
|
2013
|
|
N/A
|
(1)
|
Depreciation of the buildings and improvements are calculated over lives ranging from the life of the lease to 40 years.
|
(2)
|
Includes unamortized deferred financing costs totaling approximately $(26.7) million.
|
(3)
|
Includes Right of Use Assets - Finance Leases and Right of Use Assets - Operating Leases of approximately $214,091 and $148,640, respectively.
|
(4)
|
Includes Right of Use Assets - Finance Leases of approximately $23,303.
|
(5)
|
Includes pre-development costs.
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Real Estate:
|
|
|
|
|
|
|
||||||
Balance at the beginning of the year
|
|
$
|
21,605,545
|
|
|
$
|
21,058,714
|
|
|
$
|
20,114,576
|
|
Additions to/improvements of real estate
|
|
1,671,898
|
|
|
1,043,379
|
|
|
1,099,286
|
|
|||
Assets sold/written-off
|
|
(432,746
|
)
|
|
(496,548
|
)
|
|
(155,148
|
)
|
|||
Balance at the end of the year
|
|
$
|
22,844,697
|
|
|
$
|
21,605,545
|
|
|
$
|
21,058,714
|
|
Accumulated Depreciation:
|
|
|
|
|
|
|
||||||
Balance at the beginning of the year
|
|
$
|
4,871,102
|
|
|
$
|
4,566,570
|
|
|
$
|
4,201,891
|
|
Depreciation expense
|
|
564,938
|
|
|
533,342
|
|
|
497,059
|
|
|||
Assets sold/written-off
|
|
(196,861
|
)
|
|
(228,810
|
)
|
|
(132,380
|
)
|
|||
Balance at the end of the year
|
|
$
|
5,239,179
|
|
|
$
|
4,871,102
|
|
|
$
|
4,566,570
|
|
Boston Properties Limited Partnership
Schedule 3—Real Estate and Accumulated Depreciation
December 31, 2019
(dollars in thousands)
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
Original
|
|
Costs
Capitalized
Subsequent
to
Acquisition
|
|
Land and
Improvements
|
|
Building
and
Improvements
|
|
Land Held
for Development
|
|
Development
and
Construction
in Progress
|
|
Total
|
|
Accumulated
Depreciation
|
|
Year(s) Built/
Renovated
|
|
Year(s) Acquired
|
|
Depreciable
Lives
(Years)
|
||||||||||||||||||||||||||
Property Name
|
|
Type
|
|
Location
|
|
Encumbrances
|
|
Land
|
|
Building
|
|
|||||||||||||||||||||||||||||||||||||||||||
767 Fifth Avenue (the General Motors Building)
|
|
Office
|
|
New York, NY
|
|
$
|
2,274,028
|
|
|
$
|
1,796,252
|
|
|
$
|
1,532,654
|
|
|
$
|
202,612
|
|
|
$
|
1,796,252
|
|
|
$
|
1,735,266
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,531,518
|
|
|
$
|
313,158
|
|
|
1968/2019
|
|
2013
|
|
(1)
|
||||
Prudential Center
|
|
Office
|
|
Boston, MA
|
|
—
|
|
|
92,077
|
|
|
948,357
|
|
|
496,088
|
|
|
100,540
|
|
|
1,433,306
|
|
|
2,676
|
|
|
—
|
|
|
1,536,522
|
|
|
580,797
|
|
|
1965/1993/2002/2016-2017
|
|
1998/1999/2000
|
|
(1)
|
||||||||||||||
Embarcadero Center
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
179,697
|
|
|
847,410
|
|
|
352,847
|
|
|
180,420
|
|
|
1,199,534
|
|
|
—
|
|
|
—
|
|
|
1,379,954
|
|
|
617,163
|
|
|
1970/1989
|
|
1998-1999
|
|
(1)
|
||||||||||||||
399 Park Avenue
|
|
Office
|
|
New York, NY
|
|
—
|
|
|
339,200
|
|
|
700,358
|
|
|
240,911
|
|
|
339,200
|
|
|
941,269
|
|
|
—
|
|
|
—
|
|
|
1,280,469
|
|
|
343,191
|
|
|
1961/2018
|
|
2002
|
|
(1)
|
||||||||||||||
601 Lexington Avenue
|
|
Office
|
|
New York, NY
|
|
644,778
|
|
|
241,600
|
|
|
494,782
|
|
|
417,816
|
|
|
279,281
|
|
|
661,822
|
|
|
—
|
|
|
213,095
|
|
|
1,154,198
|
|
|
280,028
|
|
|
1977/1997
|
|
2001
|
|
(1)
|
||||||||||||||
Salesforce Tower
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
200,349
|
|
|
946,205
|
|
|
—
|
|
|
200,349
|
|
|
946,205
|
|
|
—
|
|
|
—
|
|
|
1,146,554
|
|
|
38,727
|
|
|
2018
|
|
2013
|
|
(1)
|
||||||||||||||
200 Clarendon Street and Garage
|
|
Office
|
|
Boston, MA
|
|
—
|
|
|
219,543
|
|
|
667,884
|
|
|
210,160
|
|
|
250,134
|
|
|
829,529
|
|
|
17,924
|
|
|
—
|
|
|
1,097,587
|
|
|
214,533
|
|
|
1976
|
|
2010
|
|
(1)
|
||||||||||||||
250 West 55th Street
|
|
Office
|
|
New York, NY
|
|
—
|
|
|
285,263
|
|
|
603,167
|
|
|
51,928
|
|
|
285,263
|
|
|
655,095
|
|
|
—
|
|
|
—
|
|
|
940,358
|
|
|
116,857
|
|
|
2014
|
|
2007
|
|
(1)
|
||||||||||||||
100 Federal Street
|
|
Office
|
|
Boston, MA
|
|
—
|
|
|
131,067
|
|
|
435,954
|
|
|
102,984
|
|
|
131,067
|
|
|
538,938
|
|
|
—
|
|
|
—
|
|
|
670,005
|
|
|
122,799
|
|
|
1971-1975/2017
|
|
2012
|
|
(1)
|
||||||||||||||
Times Square Tower
|
|
Office
|
|
New York, NY
|
|
—
|
|
|
165,413
|
|
|
380,438
|
|
|
75,243
|
|
|
159,694
|
|
|
461,400
|
|
|
—
|
|
|
—
|
|
|
621,094
|
|
|
207,272
|
|
|
2004
|
|
2000
|
|
(1)
|
||||||||||||||
Carnegie Center
|
|
Office
|
|
Princeton, NJ
|
|
—
|
|
|
142,666
|
|
|
316,856
|
|
|
137,317
|
|
|
90,498
|
|
|
451,661
|
|
|
54,680
|
|
|
—
|
|
|
596,839
|
|
|
204,380
|
|
|
1983-2016
|
|
1998/1999/2000/2007/2014/2017/2019
|
|
(1)
|
||||||||||||||
Atlantic Wharf
|
|
Office
|
|
Boston, MA
|
|
—
|
|
|
63,988
|
|
|
454,537
|
|
|
18,709
|
|
|
63,988
|
|
|
473,246
|
|
|
—
|
|
|
—
|
|
|
537,234
|
|
|
131,828
|
|
|
2011
|
|
2007
|
|
(1)
|
||||||||||||||
510 Madison Avenue
|
|
Office
|
|
New York, NY
|
|
—
|
|
|
103,000
|
|
|
253,665
|
|
|
25,495
|
|
|
103,000
|
|
|
279,160
|
|
|
—
|
|
|
—
|
|
|
382,160
|
|
|
72,213
|
|
|
2012
|
|
2010
|
|
(1)
|
||||||||||||||
Fountain Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
56,853
|
|
|
306,298
|
|
|
12,140
|
|
|
56,853
|
|
|
318,438
|
|
|
—
|
|
|
—
|
|
|
375,291
|
|
|
78,498
|
|
|
1986-1990
|
|
2012
|
|
(1)
|
||||||||||||||
599 Lexington Avenue
|
|
Office
|
|
New York, NY
|
|
—
|
|
|
81,040
|
|
|
100,507
|
|
|
161,330
|
|
|
81,040
|
|
|
261,837
|
|
|
—
|
|
|
—
|
|
|
342,877
|
|
|
176,101
|
|
|
1986
|
|
1997
|
|
(1)
|
||||||||||||||
680 Folsom Street
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
72,545
|
|
|
219,766
|
|
|
7,907
|
|
|
72,545
|
|
|
227,673
|
|
|
—
|
|
|
—
|
|
|
300,218
|
|
|
46,777
|
|
|
2014
|
|
2012
|
|
(1)
|
||||||||||||||
2200 Pennsylvania Avenue
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
—
|
|
|
183,541
|
|
|
113,627
|
|
|
109,038
|
|
|
188,130
|
|
|
—
|
|
|
—
|
|
|
297,168
|
|
|
59,190
|
|
|
2011
|
|
2008
|
|
(1)
|
||||||||||||||
145 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
121
|
|
|
273,013
|
|
|
23,043
|
|
|
23,164
|
|
|
273,013
|
|
|
—
|
|
|
—
|
|
|
296,177
|
|
|
1,511
|
|
|
2019
|
|
1997
|
|
(1)
|
||||||||||||||
South of Market and Democracy Tower
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
13,603
|
|
|
237,479
|
|
|
26,079
|
|
|
13,603
|
|
|
263,558
|
|
|
—
|
|
|
—
|
|
|
277,161
|
|
|
99,406
|
|
|
2008-2009
|
|
2003
|
|
(1)
|
||||||||||||||
601 Massachusetts Avenue
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
95,310
|
|
|
165,173
|
|
|
3,933
|
|
|
95,310
|
|
|
169,106
|
|
|
—
|
|
|
—
|
|
|
264,416
|
|
|
24,502
|
|
|
2016
|
|
2008
|
|
(1)
|
||||||||||||||
Bay Colony Corporate Center
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
18,789
|
|
|
148,451
|
|
|
80,077
|
|
|
18,789
|
|
|
228,528
|
|
|
—
|
|
|
—
|
|
|
247,317
|
|
|
79,824
|
|
|
1985-1989
|
|
2011
|
|
(1)
|
||||||||||||||
Gateway Center
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
28,255
|
|
|
139,245
|
|
|
55,402
|
|
|
29,029
|
|
|
193,873
|
|
|
—
|
|
|
—
|
|
|
222,902
|
|
|
104,993
|
|
|
1984/1986/2002
|
|
1999
|
|
(1)
|
||||||||||||||
535 Mission Street
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
40,933
|
|
|
148,378
|
|
|
3,276
|
|
|
40,933
|
|
|
151,654
|
|
|
—
|
|
|
—
|
|
|
192,587
|
|
|
26,293
|
|
|
2015
|
|
2013
|
|
(1)
|
||||||||||||||
Mountain View Research Park
|
|
Office
|
|
Mountain View, CA
|
|
—
|
|
|
95,066
|
|
|
68,373
|
|
|
12,704
|
|
|
95,066
|
|
|
81,077
|
|
|
—
|
|
|
—
|
|
|
176,143
|
|
|
19,807
|
|
|
1977-1981/2007-2013
|
|
2013
|
|
(1)
|
||||||||||||||
Reservoir Place
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
18,605
|
|
|
104,124
|
|
|
49,643
|
|
|
19,089
|
|
|
153,283
|
|
|
—
|
|
|
—
|
|
|
172,372
|
|
|
69,794
|
|
|
1955/1987/2017
|
|
1997/1998
|
|
(1)
|
||||||||||||||
1330 Connecticut Avenue
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
25,982
|
|
|
82,311
|
|
|
32,234
|
|
|
25,982
|
|
|
114,545
|
|
|
—
|
|
|
—
|
|
|
140,527
|
|
|
31,553
|
|
|
1984/2018
|
|
2004
|
|
(1)
|
||||||||||||||
Kingstowne Towne Center
|
|
Office
|
|
Alexandria, VA
|
|
—
|
|
|
18,021
|
|
|
109,038
|
|
|
3,212
|
|
|
18,021
|
|
|
112,250
|
|
|
—
|
|
|
—
|
|
|
130,271
|
|
|
44,258
|
|
|
2003-2006
|
|
2007
|
|
(1)
|
||||||||||||||
One Freedom Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
9,929
|
|
|
84,504
|
|
|
28,735
|
|
|
9,883
|
|
|
113,285
|
|
|
—
|
|
|
—
|
|
|
123,168
|
|
|
57,516
|
|
|
2000
|
|
2003
|
|
(1)
|
||||||||||||||
Weston Corporate Center
|
|
Office
|
|
Weston, MA
|
|
—
|
|
|
25,753
|
|
|
92,312
|
|
|
(123
|
)
|
|
25,854
|
|
|
92,088
|
|
|
—
|
|
|
—
|
|
|
117,942
|
|
|
29,227
|
|
|
2010
|
|
2001
|
|
(1)
|
||||||||||||||
Capital Gallery
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
4,725
|
|
|
29,565
|
|
|
78,573
|
|
|
6,128
|
|
|
106,735
|
|
|
—
|
|
|
—
|
|
|
112,863
|
|
|
68,953
|
|
|
1981/2006
|
|
2007
|
|
(1)
|
||||||||||||||
Two Freedom Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
13,930
|
|
|
77,739
|
|
|
16,997
|
|
|
13,866
|
|
|
94,800
|
|
|
—
|
|
|
—
|
|
|
108,666
|
|
|
49,028
|
|
|
2001
|
|
2003
|
|
(1)
|
Boston Properties Limited Partnership
Schedule 3—Real Estate and Accumulated Depreciation
December 31, 2019
(dollars in thousands)
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
Original
|
|
Costs
Capitalized
Subsequent
to
Acquisition
|
|
Land and
Improvements
|
|
Building
and
Improvements
|
|
Land Held
for Development
|
|
Development
and
Construction
in Progress
|
|
Total
|
|
Accumulated
Depreciation
|
|
Year(s) Built/
Renovated
|
|
Year(s) Acquired
|
|
Depreciable
Lives
(Years)
|
||||||||||||||||||||||||||
Property Name
|
|
Type
|
|
Location
|
|
Encumbrances
|
|
Land
|
|
Building
|
|
|||||||||||||||||||||||||||||||||||||||||||
One and Two Reston Overlook
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
16,456
|
|
|
66,192
|
|
|
19,763
|
|
|
15,074
|
|
|
87,337
|
|
|
—
|
|
|
—
|
|
|
102,411
|
|
|
50,336
|
|
|
1999
|
|
2000
|
|
(1)
|
||||||||||||||
355 Main Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
18,863
|
|
|
53,346
|
|
|
27,284
|
|
|
21,098
|
|
|
78,395
|
|
|
—
|
|
|
—
|
|
|
99,493
|
|
|
26,362
|
|
|
1981/1996/2013
|
|
2006
|
|
(1)
|
||||||||||||||
140 Kendrick Street
|
|
Office
|
|
Needham, MA
|
|
—
|
|
|
18,095
|
|
|
66,905
|
|
|
13,584
|
|
|
18,095
|
|
|
80,489
|
|
|
—
|
|
|
—
|
|
|
98,584
|
|
|
34,667
|
|
|
2000
|
|
2004
|
|
(1)
|
||||||||||||||
Discovery Square
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
11,198
|
|
|
71,782
|
|
|
15,360
|
|
|
11,146
|
|
|
87,194
|
|
|
—
|
|
|
—
|
|
|
98,340
|
|
|
42,152
|
|
|
2001
|
|
2003
|
|
(1)
|
||||||||||||||
880 & 890 Winter Street
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
29,510
|
|
|
65,812
|
|
|
—
|
|
|
29,510
|
|
|
65,812
|
|
|
—
|
|
|
—
|
|
|
95,322
|
|
|
1,458
|
|
|
1998-1999
|
|
2019
|
|
(1)
|
||||||||||||||
10 CityPoint
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
1,953
|
|
|
85,752
|
|
|
4,534
|
|
|
2,127
|
|
|
90,112
|
|
|
—
|
|
|
—
|
|
|
92,239
|
|
|
10,928
|
|
|
2016
|
|
1997
|
|
(1)
|
||||||||||||||
90 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
19,104
|
|
|
52,078
|
|
|
19,678
|
|
|
20,741
|
|
|
70,119
|
|
|
—
|
|
|
—
|
|
|
90,860
|
|
|
23,581
|
|
|
1983/1998/2013
|
|
2006
|
|
(1)
|
||||||||||||||
77 CityPoint
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
13,847
|
|
|
60,383
|
|
|
10,451
|
|
|
13,997
|
|
|
70,684
|
|
|
—
|
|
|
—
|
|
|
84,681
|
|
|
27,148
|
|
|
2008
|
|
2001
|
|
(1)
|
||||||||||||||
230 CityPoint
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
13,189
|
|
|
49,823
|
|
|
20,440
|
|
|
13,403
|
|
|
70,049
|
|
|
—
|
|
|
—
|
|
|
83,452
|
|
|
28,831
|
|
|
1992
|
|
2005
|
|
(1)
|
||||||||||||||
Waltham Weston Corporate Center
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
10,385
|
|
|
60,694
|
|
|
10,178
|
|
|
10,350
|
|
|
70,907
|
|
|
—
|
|
|
—
|
|
|
81,257
|
|
|
34,777
|
|
|
2003
|
|
1999
|
|
(1)
|
||||||||||||||
3625-3635 Peterson Way
|
|
Office
|
|
Santa Clara, CA
|
|
—
|
|
|
63,206
|
|
|
14,879
|
|
|
752
|
|
|
63,206
|
|
|
14,879
|
|
|
752
|
|
|
—
|
|
|
78,837
|
|
|
11,172
|
|
|
1979
|
|
2016
|
|
(1)
|
||||||||||||||
2440 West El Camino Real
|
|
Office
|
|
Mountain View, CA
|
|
—
|
|
|
16,741
|
|
|
51,285
|
|
|
5,454
|
|
|
16,741
|
|
|
56,739
|
|
|
—
|
|
|
—
|
|
|
73,480
|
|
|
13,090
|
|
|
1987/2003
|
|
2011
|
|
(1)
|
||||||||||||||
191 Spring Street
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
2,850
|
|
|
59,751
|
|
|
7,063
|
|
|
2,850
|
|
|
66,814
|
|
|
—
|
|
|
—
|
|
|
69,664
|
|
|
21,801
|
|
|
1971/1995/2018
|
|
1997
|
|
(1)
|
||||||||||||||
300 Binney Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
18,080
|
|
|
51,262
|
|
|
140
|
|
|
18,080
|
|
|
51,402
|
|
|
—
|
|
|
—
|
|
|
69,482
|
|
|
11,146
|
|
|
2013
|
|
2009
|
|
(1)
|
||||||||||||||
Wisconsin Place
|
|
Office
|
|
Chevy Chase, MD
|
|
—
|
|
|
—
|
|
|
53,349
|
|
|
14,924
|
|
|
—
|
|
|
68,273
|
|
|
—
|
|
|
—
|
|
|
68,273
|
|
|
25,934
|
|
|
2009
|
|
2004
|
|
(1)
|
||||||||||||||
Reston Corporate Center
|
|
Office
|
|
Reston, VA
|
|
—
|
|
|
9,135
|
|
|
50,857
|
|
|
3,625
|
|
|
9,496
|
|
|
54,121
|
|
|
—
|
|
|
—
|
|
|
63,617
|
|
|
29,170
|
|
|
1984
|
|
1998
|
|
(1)
|
||||||||||||||
New Dominion Technology Park, Bldg. Two
|
|
Office
|
|
Herndon, VA
|
|
—
|
|
|
5,584
|
|
|
51,868
|
|
|
412
|
|
|
5,574
|
|
|
52,290
|
|
|
—
|
|
|
—
|
|
|
57,864
|
|
|
25,900
|
|
|
2004
|
|
1998
|
|
(1)
|
||||||||||||||
255 Main Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
134
|
|
|
25,110
|
|
|
32,468
|
|
|
134
|
|
|
57,578
|
|
|
—
|
|
|
—
|
|
|
57,712
|
|
|
33,108
|
|
|
1987
|
|
1997
|
|
(1)
|
||||||||||||||
University Place
|
|
Office
|
|
Cambridge, MA
|
|
3,602
|
|
|
—
|
|
|
37,091
|
|
|
14,551
|
|
|
7,055
|
|
|
44,587
|
|
|
—
|
|
|
—
|
|
|
51,642
|
|
|
29,044
|
|
|
1985
|
|
1998
|
|
(1)
|
||||||||||||||
Sumner Square
|
|
Office
|
|
Washington, DC
|
|
—
|
|
|
624
|
|
|
28,745
|
|
|
19,264
|
|
|
3,015
|
|
|
45,618
|
|
|
—
|
|
|
—
|
|
|
48,633
|
|
|
26,547
|
|
|
1985
|
|
1999
|
|
(1)
|
||||||||||||||
New Dominion Technology Park, Bldg. One
|
|
Office
|
|
Herndon, VA
|
|
—
|
|
|
3,880
|
|
|
43,227
|
|
|
1,117
|
|
|
3,880
|
|
|
44,344
|
|
|
—
|
|
|
—
|
|
|
48,224
|
|
|
28,398
|
|
|
2001
|
|
1998
|
|
(1)
|
||||||||||||||
200 West Street
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
16,148
|
|
|
24,983
|
|
|
5,550
|
|
|
16,148
|
|
|
28,429
|
|
|
—
|
|
|
2,104
|
|
|
46,681
|
|
|
16,298
|
|
|
1999
|
|
1997
|
|
(1)
|
||||||||||||||
North First Business Park
|
|
Office
|
|
San Jose, CA
|
|
—
|
|
|
23,398
|
|
|
13,069
|
|
|
4,548
|
|
|
23,371
|
|
|
17,644
|
|
|
—
|
|
|
—
|
|
|
41,015
|
|
|
16,411
|
|
|
1981
|
|
2007
|
|
(1)
|
||||||||||||||
150 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
850
|
|
|
25,042
|
|
|
6,535
|
|
|
822
|
|
|
31,605
|
|
|
—
|
|
|
—
|
|
|
32,427
|
|
|
19,342
|
|
|
1999
|
|
1997
|
|
(1)
|
||||||||||||||
105 Broadway
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
1,299
|
|
|
12,943
|
|
|
9,300
|
|
|
1,868
|
|
|
21,674
|
|
|
—
|
|
|
—
|
|
|
23,542
|
|
|
11,312
|
|
|
1990
|
|
1997
|
|
(1)
|
||||||||||||||
Lexington Office Park
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
998
|
|
|
1,426
|
|
|
17,783
|
|
|
1,073
|
|
|
19,134
|
|
|
—
|
|
|
—
|
|
|
20,207
|
|
|
14,114
|
|
|
1982
|
|
1997
|
|
(1)
|
||||||||||||||
201 Spring Street
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
2,849
|
|
|
15,303
|
|
|
73
|
|
|
2,849
|
|
|
15,376
|
|
|
—
|
|
|
—
|
|
|
18,225
|
|
|
8,295
|
|
|
1997
|
|
1997
|
|
(1)
|
||||||||||||||
The Point
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
6,395
|
|
|
10,040
|
|
|
421
|
|
|
6,492
|
|
|
10,364
|
|
|
—
|
|
|
—
|
|
|
16,856
|
|
|
1,349
|
|
|
2015
|
|
2007
|
|
(1)
|
||||||||||||||
33 Hayden Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
266
|
|
|
3,234
|
|
|
12,261
|
|
|
266
|
|
|
15,495
|
|
|
—
|
|
|
—
|
|
|
15,761
|
|
|
5,510
|
|
|
1979
|
|
1997
|
|
(1)
|
||||||||||||||
690 Folsom Street
|
|
Office
|
|
San Francisco, CA
|
|
—
|
|
|
3,219
|
|
|
11,038
|
|
|
1,157
|
|
|
3,219
|
|
|
12,195
|
|
|
—
|
|
|
—
|
|
|
15,414
|
|
|
2,284
|
|
|
2015
|
|
2012
|
|
(1)
|
||||||||||||||
92-100 Hayden Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
594
|
|
|
6,748
|
|
|
6,800
|
|
|
619
|
|
|
13,523
|
|
|
—
|
|
|
—
|
|
|
14,142
|
|
|
11,847
|
|
|
1985
|
|
1997
|
|
(1)
|
||||||||||||||
181 Spring Street
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
1,066
|
|
|
9,520
|
|
|
1,800
|
|
|
1,066
|
|
|
11,320
|
|
|
—
|
|
|
—
|
|
|
12,386
|
|
|
5,498
|
|
|
1999
|
|
1997
|
|
(1)
|
||||||||||||||
195 West Street
|
|
Office
|
|
Waltham, MA
|
|
—
|
|
|
1,611
|
|
|
6,652
|
|
|
3,229
|
|
|
1,611
|
|
|
9,881
|
|
|
—
|
|
|
—
|
|
|
11,492
|
|
|
8,087
|
|
|
1990
|
|
1997
|
|
(1)
|
||||||||||||||
7501 Boston Boulevard, Building Seven
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
665
|
|
|
9,273
|
|
|
311
|
|
|
665
|
|
|
9,584
|
|
|
—
|
|
|
—
|
|
|
10,249
|
|
|
5,257
|
|
|
1997
|
|
1997
|
|
(1)
|
Boston Properties Limited Partnership
Schedule 3—Real Estate and Accumulated Depreciation
December 31, 2019
(dollars in thousands)
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
Original
|
|
Costs
Capitalized
Subsequent
to
Acquisition
|
|
Land and
Improvements
|
|
Building
and
Improvements
|
|
Land Held
for Development
|
|
Development
and
Construction
in Progress
|
|
Total
|
|
Accumulated
Depreciation
|
|
Year(s) Built/
Renovated
|
|
Year(s) Acquired
|
|
Depreciable
Lives
(Years)
|
||||||||||||||||||||||||||
Property Name
|
|
Type
|
|
Location
|
|
Encumbrances
|
|
Land
|
|
Building
|
|
|||||||||||||||||||||||||||||||||||||||||||
7435 Boston Boulevard, Building One
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
392
|
|
|
3,822
|
|
|
4,290
|
|
|
486
|
|
|
8,018
|
|
|
—
|
|
|
—
|
|
|
8,504
|
|
|
6,162
|
|
|
1982
|
|
1997
|
|
(1)
|
||||||||||||||
7450 Boston Boulevard, Building Three
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
1,165
|
|
|
4,681
|
|
|
2,177
|
|
|
1,327
|
|
|
6,696
|
|
|
—
|
|
|
—
|
|
|
8,023
|
|
|
3,462
|
|
|
1987
|
|
1998
|
|
(1)
|
||||||||||||||
32 Hartwell Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
168
|
|
|
1,943
|
|
|
5,529
|
|
|
168
|
|
|
7,472
|
|
|
—
|
|
|
—
|
|
|
7,640
|
|
|
1,819
|
|
|
1968/1979/1987
|
|
1997
|
|
(1)
|
||||||||||||||
250 Binney Street
|
|
Office
|
|
Cambridge, MA
|
|
—
|
|
|
110
|
|
|
4,483
|
|
|
2,939
|
|
|
110
|
|
|
7,422
|
|
|
—
|
|
|
—
|
|
|
7,532
|
|
|
5,660
|
|
|
1983
|
|
1997
|
|
(1)
|
||||||||||||||
8000 Grainger Court, Building Five
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
366
|
|
|
4,282
|
|
|
2,604
|
|
|
453
|
|
|
6,799
|
|
|
—
|
|
|
—
|
|
|
7,252
|
|
|
5,597
|
|
|
1984
|
|
1997
|
|
(1)
|
||||||||||||||
453 Ravendale Drive
|
|
Office
|
|
Mountain View, CA
|
|
—
|
|
|
5,477
|
|
|
1,090
|
|
|
676
|
|
|
5,477
|
|
|
1,766
|
|
|
—
|
|
|
—
|
|
|
7,243
|
|
|
690
|
|
|
1977
|
|
2012
|
|
(1)
|
||||||||||||||
7300 Boston Boulevard, Building Thirteen
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
608
|
|
|
4,773
|
|
|
795
|
|
|
608
|
|
|
5,568
|
|
|
—
|
|
|
—
|
|
|
6,176
|
|
|
1,928
|
|
|
2002
|
|
1997
|
|
(1)
|
||||||||||||||
17 Hartwell Avenue
|
|
Office
|
|
Lexington, MA
|
|
—
|
|
|
26
|
|
|
150
|
|
|
5,907
|
|
|
26
|
|
|
6,057
|
|
|
—
|
|
|
—
|
|
|
6,083
|
|
|
1,924
|
|
|
1968
|
|
1997
|
|
(1)
|
||||||||||||||
7601 Boston Boulevard, Building Eight
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
200
|
|
|
878
|
|
|
4,367
|
|
|
378
|
|
|
5,067
|
|
|
—
|
|
|
—
|
|
|
5,445
|
|
|
4,507
|
|
|
1986
|
|
1997
|
|
(1)
|
||||||||||||||
7500 Boston Boulevard, Building Six
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
138
|
|
|
3,749
|
|
|
1,107
|
|
|
234
|
|
|
4,760
|
|
|
—
|
|
|
—
|
|
|
4,994
|
|
|
4,097
|
|
|
1985
|
|
1997
|
|
(1)
|
||||||||||||||
8000 Corporate Court, Building Eleven
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
136
|
|
|
3,071
|
|
|
1,245
|
|
|
686
|
|
|
3,766
|
|
|
—
|
|
|
—
|
|
|
4,452
|
|
|
3,094
|
|
|
1989
|
|
1997
|
|
(1)
|
||||||||||||||
7375 Boston Boulevard, Building Ten
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
23
|
|
|
2,685
|
|
|
851
|
|
|
47
|
|
|
3,512
|
|
|
—
|
|
|
—
|
|
|
3,559
|
|
|
2,562
|
|
|
1988
|
|
1997
|
|
(1)
|
||||||||||||||
7374 Boston Boulevard, Building Four
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
241
|
|
|
1,605
|
|
|
1,445
|
|
|
303
|
|
|
2,988
|
|
|
—
|
|
|
—
|
|
|
3,291
|
|
|
2,681
|
|
|
1984
|
|
1997
|
|
(1)
|
||||||||||||||
7451 Boston Boulevard, Building Two
|
|
Office
|
|
Springfield, VA
|
|
—
|
|
|
249
|
|
|
1,542
|
|
|
1,354
|
|
|
535
|
|
|
2,610
|
|
|
—
|
|
|
—
|
|
|
3,145
|
|
|
2,526
|
|
|
1982
|
|
1997
|
|
(1)
|
||||||||||||||
Signature at Reston
|
|
Residential
|
|
Reston, VA
|
|
—
|
|
|
27,076
|
|
|
190,580
|
|
|
393
|
|
|
27,076
|
|
|
190,973
|
|
|
—
|
|
|
—
|
|
|
218,049
|
|
|
8,773
|
|
|
2018
|
|
2013
|
|
(1)
|
||||||||||||||
Proto Kendall Square
|
|
Residential
|
|
Cambridge, MA
|
|
—
|
|
|
9,243
|
|
|
127,248
|
|
|
2,939
|
|
|
9,245
|
|
|
130,185
|
|
|
—
|
|
|
—
|
|
|
139,430
|
|
|
4,566
|
|
|
2018
|
|
2015
|
|
(1)
|
||||||||||||||
The Avant at Reston Town Center
|
|
Residential
|
|
Reston, VA
|
|
—
|
|
|
20,350
|
|
|
91,995
|
|
|
830
|
|
|
20,350
|
|
|
92,825
|
|
|
—
|
|
|
—
|
|
|
113,175
|
|
|
14,728
|
|
|
2014
|
|
2010
|
|
(1)
|
||||||||||||||
The Lofts at Atlantic Wharf
|
|
Residential
|
|
Boston, MA
|
|
—
|
|
|
3,529
|
|
|
54,891
|
|
|
1,897
|
|
|
3,529
|
|
|
56,788
|
|
|
—
|
|
|
—
|
|
|
60,317
|
|
|
12,639
|
|
|
2011
|
|
2007
|
|
(1)
|
||||||||||||||
Boston Marriott Cambridge
|
|
Hotel
|
|
Cambridge, MA
|
|
—
|
|
|
478
|
|
|
37,918
|
|
|
32,922
|
|
|
478
|
|
|
70,840
|
|
|
—
|
|
|
—
|
|
|
71,318
|
|
|
45,842
|
|
|
1986/2017
|
|
1997
|
|
(1)
|
||||||||||||||
Kendall Center Green Garage
|
|
Garage
|
|
Cambridge, MA
|
|
—
|
|
|
—
|
|
|
35,035
|
|
|
6,915
|
|
|
—
|
|
|
41,950
|
|
|
—
|
|
|
—
|
|
|
41,950
|
|
|
13,404
|
|
|
1984
|
|
2006
|
|
(1)
|
||||||||||||||
Kendall Center Yellow Garage
|
|
Garage
|
|
Cambridge, MA
|
|
—
|
|
|
1,256
|
|
|
15,697
|
|
|
840
|
|
|
1,256
|
|
|
16,537
|
|
|
—
|
|
|
—
|
|
|
17,793
|
|
|
5,847
|
|
|
2006
|
|
2004
|
|
(1)
|
||||||||||||||
Kendall Center Blue Garage
|
|
Garage
|
|
Cambridge, MA
|
|
—
|
|
|
1,163
|
|
|
11,633
|
|
|
486
|
|
|
1,163
|
|
|
12,119
|
|
|
—
|
|
|
—
|
|
|
13,282
|
|
|
9,290
|
|
|
1990
|
|
1997
|
|
(1)
|
||||||||||||||
The Skylyne (MacArthur Station Residences)
|
|
Development
|
|
Oakland, CA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
226,526
|
|
|
29,807
|
|
|
—
|
|
|
—
|
|
|
196,719
|
|
|
226,526
|
|
|
—
|
|
|
N/A
|
|
N/A
|
|
N/A
|
||||||||||||||
2100 Pennsylvania Avenue
|
|
Development
|
|
Washington, DC
|
|
—
|
|
|
—
|
|
|
—
|
|
|
224,380
|
|
|
185,129
|
|
|
—
|
|
|
—
|
|
|
39,251
|
|
|
224,380
|
|
|
1,024
|
|
|
N/A
|
|
N/A
|
|
N/A
|
||||||||||||||
Reston Gateway
|
|
Development
|
|
Reston, VA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
150,632
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
150,632
|
|
|
150,632
|
|
|
—
|
|
|
N/A
|
|
1998
|
|
N/A
|
||||||||||||||
17Fifty Presidents Street
|
|
Development
|
|
Reston, VA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
99,816
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
99,816
|
|
|
99,816
|
|
|
—
|
|
|
N/A
|
|
2013
|
|
N/A
|
||||||||||||||
20 CityPoint
|
|
Development
|
|
Waltham, MA
|
|
—
|
|
|
4,721
|
|
|
52,039
|
|
|
20,007
|
|
|
4,721
|
|
|
52,039
|
|
|
—
|
|
|
20,007
|
|
|
76,767
|
|
|
1,136
|
|
|
N/A
|
|
2007
|
|
N/A
|
||||||||||||||
325 Main Street
|
|
Development
|
|
Cambridge, MA
|
|
—
|
|
|
174
|
|
|
—
|
|
|
68,710
|
|
|
772
|
|
|
—
|
|
|
—
|
|
|
68,112
|
|
|
68,884
|
|
|
—
|
|
|
N/A
|
|
1997
|
|
N/A
|
||||||||||||||
North First Master Plan
|
|
Land
|
|
San Jose, CA
|
|
—
|
|
|
35,004
|
|
|
—
|
|
|
3,932
|
|
|
—
|
|
|
—
|
|
|
38,936
|
|
|
—
|
|
|
38,936
|
|
|
—
|
|
|
N/A
|
|
2007
|
|
N/A
|
||||||||||||||
Plaza at Almaden
|
|
Land
|
|
San Jose, CA
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,889
|
|
|
—
|
|
|
—
|
|
|
34,889
|
|
|
—
|
|
|
34,889
|
|
|
—
|
|
|
N/A
|
|
2006
|
|
N/A
|
(1)
|
Depreciation of the buildings and improvements are calculated over lives ranging from the life of the lease to 40 years.
|
(2)
|
Includes unamortized deferred financing costs totaling approximately $(26.7) million.
|
(3)
|
Includes Right of Use Assets - Finance Leases and Right of Use Assets - Operating Leases of approximately $214,091 and $148,640, respectively.
|
(4)
|
Includes Right of Use Assets - Finance Leases of approximately $23,303.
|
(5)
|
Includes pre-development costs.
|
|
|
2019
|
|
2018
|
|
2017
|
||||||
Real Estate:
|
|
|
|
|
|
|
||||||
Balance at the beginning of the year
|
|
$
|
21,207,189
|
|
|
$
|
20,647,236
|
|
|
$
|
19,701,185
|
|
Additions to/improvements of real estate
|
|
1,671,898
|
|
|
1,043,379
|
|
|
1,099,286
|
|
|||
Assets sold/written-off
|
|
(429,611
|
)
|
|
(483,426
|
)
|
|
(153,235
|
)
|
|||
Balance at the end of the year
|
|
$
|
22,449,476
|
|
|
$
|
21,207,189
|
|
|
$
|
20,647,236
|
|
Accumulated Depreciation:
|
|
|
|
|
|
|
||||||
Balance at the beginning of the year
|
|
$
|
4,773,800
|
|
|
$
|
4,473,895
|
|
|
$
|
4,116,020
|
|
Depreciation expense
|
|
557,130
|
|
|
525,584
|
|
|
488,919
|
|
|||
Assets sold/written-off
|
|
(195,641
|
)
|
|
(225,679
|
)
|
|
(131,044
|
)
|
|||
Balance at the end of the year
|
|
$
|
5,135,289
|
|
|
$
|
4,773,800
|
|
|
$
|
4,473,895
|
|
|
|||
2.1
|
|
—
|
|
2.2
|
|
—
|
|
3.1
|
|
—
|
|
3.2
|
|
—
|
|
3.3
|
|
—
|
|
3.4
|
|
—
|
|
3.5
|
|
—
|
|
3.6
|
|
—
|
|
4.1
|
|
—
|
|
4.2
|
|
—
|
|
4.3
|
|
—
|
|
4.4
|
|
—
|
|
4.5
|
|
—
|
|
4.6
|
|
—
|
|
4.7
|
|
—
|
|
4.8
|
|
—
|
|
|||
4.9
|
|
—
|
|
4.10
|
|
—
|
|
4.11
|
|
—
|
|
4.12
|
|
—
|
|
4.13
|
|
—
|
|
4.14
|
|
—
|
|
10.1
|
|
—
|
|
10.2
|
|
—
|
|
10.3
|
|
—
|
|
10.4
|
|
—
|
|
10.5
|
|
—
|
|
10.6
|
|
—
|
|
10.7
|
|
—
|
|
|||
10.8*
|
|
—
|
|
10.9*
|
|
—
|
|
10.10*
|
|
—
|
|
10.11*
|
|
—
|
|
10.12*
|
|
—
|
|
10.13*
|
|
—
|
|
10.14*
|
|
—
|
|
10.15*
|
|
—
|
|
10.16*
|
|
—
|
|
10.17*
|
|
—
|
|
10.18*
|
|
—
|
|
10.19*
|
|
—
|
|
10.20*
|
|
—
|
|
10.21*
|
|
—
|
|
10.22*
|
|
—
|
|
10.23*
|
|
—
|
|
10.24*
|
|
—
|
|
10.25*
|
|
—
|
|
|||
10.26*
|
|
—
|
|
10.27*
|
|
—
|
|
10.28*
|
|
—
|
|
10.29*
|
|
—
|
|
10.30*
|
|
—
|
|
10.31*
|
|
—
|
|
10.32*
|
|
—
|
|
10.33*
|
|
—
|
|
10.34*
|
|
—
|
|
10.35*
|
|
—
|
|
10.36*
|
|
—
|
|
10.37*
|
|
—
|
|
10.38*
|
|
—
|
|
10.39*
|
|
—
|
|
10.40*
|
|
—
|
|
10.41*
|
|
—
|
|
10.42*
|
|
—
|
|
10.43*
|
|
—
|
|
|
|
|
|
BOSTON PROPERTIES, INC.
|
|
|
|
March 2, 2020
|
|
/s/ MICHAEL E. LABELLE
|
|
|
Michael E. LaBelle
|
|
|
Chief Financial Officer
|
|
|
(duly authorized officer and principal financial officer)
|
|
|
|
|
|
March 2, 2020
|
|
|
|
|
|
|
|
|
|
|
|
By:
|
|
/s/ OWEN D. THOMAS
|
|
|
|
|
Owen D. Thomas
Director, Chief Executive Officer and Principal Executive Officer
|
|
|
|
|
|
|
|
By:
|
|
/s/ DOUGLAS T. LINDE
|
|
|
|
|
Douglas T. Linde
Director and President
|
|
|
|
|
|
|
|
By:
|
|
/s/ KELLY A. AYOTTE
|
|
|
|
|
Kelly A. Ayotte
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ BRUCE W. DUNCAN
|
|
|
|
|
Bruce W. Duncan
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ KAREN E. DYKSTRA
|
|
|
|
|
Karen E. Dykstra
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ CAROL B. EINIGER
|
|
|
|
|
Carol B. Einiger
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ DIANE J. HOSKINS
|
|
|
|
|
Diane J. Hoskins
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ JOEL I. KLEIN
|
|
|
|
|
Joel I. Klein
Chairman of the Board
|
|
|
|
|
|
|
|
By:
|
|
/s/ MATTHEW J. LUSTIG
|
|
|
|
|
Matthew J. Lustig
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ DAVID A. TWARDOCK
|
|
|
|
|
David A. Twardock
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ WILLIAM H. WALTON, III
|
|
|
|
|
William H. Walton, III
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ MICHAEL E. LABELLE
|
|
|
|
|
Michael E. LaBelle
Executive Vice President, Chief Financial Officer and
Principal Financial Officer
|
|
|
|
|
|
|
|
By:
|
|
/s/ MICHAEL R. WALSH
|
|
|
|
|
Michael R. Walsh
Senior Vice President, Chief Accounting Officer and
Principal Accounting Officer
|
|
|
BOSTON PROPERTIES LIMITED PARTNERSHIP
|
|
|
By: Boston Properties, Inc., its General Partner
|
March 2, 2020
|
|
/s/ MICHAEL E. LABELLE
|
|
|
Michael E. LaBelle
|
|
|
Chief Financial Officer
(duly authorized officer and principal financial officer)
|
|
|
|
|
|
March 2, 2020
|
|
|
|
|
|
|
|
||
|
|
By:
|
|
/s/ OWEN D. THOMAS
|
|
|
|
|
Owen D. Thomas
Director, Chief Executive Officer and Principal Executive Officer
|
|
|
|
||
|
|
By:
|
|
/s/ DOUGLAS T. LINDE
|
|
|
|
|
Douglas T. Linde
Director and President
|
|
|
|
|
|
|
|
By:
|
|
/s/ KELLY A. AYOTTE
|
|
|
|
|
Kelly A. Ayotte
Director
|
|
|
|
||
|
|
By:
|
|
/s/ BRUCE W. DUNCAN
|
|
|
|
|
Bruce W. Duncan
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ KAREN E. DYKSTRA
|
|
|
|
|
Karen E. Dykstra
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ CAROL B. EINIGER
|
|
|
|
|
Carol B. Einiger
Director
|
|
|
|
||
|
|
By:
|
|
/s/ DIANE J. HOSKINS
|
|
|
|
|
Diane J. Hoskins
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ JOEL I. KLEIN
|
|
|
|
|
Joel I. Klein
Chairman of the Board
|
|
|
|
|
|
By:
|
|
/s/ MATTHEW J. LUSTIG
|
|
|
|
|
Matthew J. Lustig
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ DAVID A. TWARDOCK
|
|
|
|
|
David A. Twardock
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ WILLIAM H. WALTON, III
|
|
|
|
|
William H. Walton, III
Director
|
|
|
|
|
|
|
|
By:
|
|
/s/ MICHAEL E. LABELLE
|
|
|
|
|
Michael E. LaBelle
Executive Vice President, Chief Financial Officer and
Principal Financial Officer
|
|
|
|
|
|
|
|
By:
|
|
/s/ MICHAEL R. WALSH
|
|
|
|
|
Michael R. Walsh
Senior Vice President, Chief Accounting Officer and
Principal Accounting Officer
|
•
|
senior to all classes or series of BXP’s Common Stock and all classes or series of BXP’s capital stock now or hereafter authorized, issued or outstanding expressly designated as ranking junior to the Series B Preferred Stock;
|
•
|
on parity with any class or series of BXP’s capital stock expressly designated as ranking on parity with the Series B Preferred Stock; and
|
•
|
junior to any class or series of BXP’s capital stock expressly designated as ranking senior to the Series B Preferred Stock.
|
•
|
declare and pay or declare and set apart for payment of dividends, and will not declare and make any distribution of cash or other property, directly or indirectly, on or with respect to any shares of BXP’s Common Stock or shares of any other class or series of its capital stock ranking, as to dividends, on parity with or junior to the Series B Preferred Stock, for any period; or
|
•
|
redeem, purchase or otherwise acquire for any consideration, or make any other distribution of cash or other property, directly or indirectly, on or with respect to, or pay or make available any monies for a sinking fund for the redemption of, any of BXP’s Common Stock or shares of any other class or series of its capital stock ranking, as to dividends and upon liquidation, on parity with or junior to the Series B Preferred Stock.
|
•
|
dividends payable solely in BXP’s Common Stock or in shares of any other class or series of its capital stock ranking junior to the Series B Preferred Stock as to dividends and upon liquidation;
|
•
|
the conversion into or exchange for other shares of any class or series of its capital stock ranking junior to the Series B Preferred Stock as to dividends and upon liquidation;
|
•
|
the redemption, purchase or acquisition of shares of any class or series of its capital stock made for the purposes of and in compliance with requirements of an employee incentive, benefit or share purchase plan of BXP or any subsidiary;
|
•
|
other acquisitions of shares of BXP’s capital stock pursuant to provisions of BXP’s Charter; and
|
•
|
BXP’s purchase or acquisition of shares of any other class or series of its capital stock ranking on parity with the Series B Preferred Stock as to payment of dividends and upon liquidation pursuant to a purchase or exchange offer made on the same terms to holders of all outstanding shares of Series B Preferred Stock.
|
•
|
the person has direct ownership of the shares;
|
•
|
the person has indirect ownership of the shares taking into account the constructive ownership rules of Section 544 of the Code, as modified by Section 856(h)(1)(B) of the Code; or
|
•
|
the person would be deemed to beneficially own the shares pursuant to Rule 13d-3 under the Exchange Act.
|
•
|
15% Related Party Ownership Limit: BXP’s Charter provides that Mr. Mortimer B. Zuckerman, together with his heirs, legatees and devisees, and any other person who beneficially owns shares of BXP’s stock that are also deemed to be beneficially owned by Mr. Zuckerman or his heirs, legatees or devisees, are subject to an aggregate ownership limit with respect to each class or series of BXP’s stock of 15%. The heirs, legatees and devisees of Mr. Edward H. Linde, and any other person who beneficially owns shares of BXP’s stock that are also deemed to be beneficially owned by Mr. E. Linde’s heirs, legatees or devisees, are subject to an aggregate ownership limit with respect to each class or series of BXP’s stock of 15%.
|
•
|
15% Look-Through Entity Ownership Limit: Trusts described in Section 401(a) of the Code and exempt from tax under Section 501(a) of the Code, as modified by Section 856(h)(3) of the Code, and entities registered under the Investment Company Act of 1940 are subject to an ownership limit of 15%. These types of entities are among the entities that are not treated as stockholders under the requirement that not more than 50% in value of BXP’s outstanding stock be owned by five or fewer individuals during the last half of a taxable year other than BXP’s first year. Rather, the beneficial owners of these entities will be counted as stockholders for this purpose.
|
•
|
any person violating the ownership limit applicable to that person;
|
•
|
BXP’s stock being beneficially owned by fewer than 100 persons;
|
•
|
BXP being “closely held” within the meaning of Section 856(h) of the Code; or
|
•
|
BXP constructively owning 10% or more of one of its tenants,
|
•
|
the proceeds of the sale; or
|
•
|
the price paid by the original transferee-owner for the shares of stock that converted into Excess Stock in the purported transfer that triggered such conversion or, if the event that triggered the conversion of shares into Excess Stock was a gift or an event other than a transfer, the market price of the shares of BXP’s stock that converted into Excess Stock on the date of such event, which will be determined in the manner set forth in BXP’s Charter.
|
•
|
the price paid by the original transferee-owner for the shares of BXP’s stock that converted into Excess Stock in the purported transfer that triggered such conversion or, if the event that triggered the conversion of shares into Excess Stock was a gift or an event other than a transfer, the market price of the shares of BXP’s stock that converted into Excess Stock on the date of such event, which will be determined in the manner set forth in BXP’s Charter; or
|
•
|
the market price of BXP’s stock on the date BXP exercises its option to purchase, which will be determined in the manner set forth in BXP’s Charter.
|
•
|
before the date on which the person became an interested stockholder, the board of directors of the corporation approved either the business combination or the transaction which resulted in the person becoming an interested stockholder;
|
•
|
the interested stockholder owned at least 85% of the outstanding voting stock of the corporation at the time the transaction commenced, excluding stock held by directors who are also officers of the corporation and by employee stock plans that do not provide participants with the rights to determine confidentially whether shares held subject to the plan will be tendered in a tender or exchange offer; or
|
•
|
at or after the date on which the person became an interested stockholder, the business combination is approved by the board of directors and the holders of at least two-thirds of the voting stock of the corporation voting at a meeting, excluding the voting stock owned by the interested stockholder.
|
•
|
stockholder action;
|
•
|
the powers, election of, removal of and terms of directors;
|
•
|
limitation of liability; and
|
•
|
amendment of BXP’s Charter or By-laws.
|
•
|
BXP’s Charter is not amended in any respect by the merger;
|
•
|
each share of BXP’s stock outstanding prior to the merger is to be an identical share of stock following the merger; and
|
•
|
any shares of BXP’s Common Stock (together with any other securities convertible into shares of BXP’s Common Stock) to be issued or delivered as a result of the merger represent in the aggregate no more than 20% of the number of shares of BXP’s Common Stock outstanding immediately prior to the merger.
|
•
|
have owned shares of BXP’s Common Stock equal to at least 3% of the aggregate of the issued and outstanding shares of BXP’s Common Stock continuously for at least the prior three years;
|
•
|
represent that such shares were acquired in the ordinary course of business and not with the intent to change or influence control and that such stockholder or group does not presently have such intent; and
|
•
|
provide a notice requesting the inclusion of director nominees in BXP’s proxy materials and provide other required information to BXP not less than 120 days prior to the anniversary of the date of the proxy statement for the prior year’s annual meeting of stockholders (with adjustments if the date for the upcoming annual meeting of stockholders is more than 30 days before or more than 60 days after the anniversary date of the prior year’s annual meeting).
|
•
|
a change of control of BXP or of BPLP;
|
•
|
any amendment to BPLP’s Limited Partnership Agreement;
|
•
|
any waiver of the limitations on ownership contained in BXP’s Charter;
|
•
|
any merger, consolidation or sale of all or substantially all of the assets of BXP or of BPLP;
|
•
|
certain issuances of equity securities by BXP (but not including, among others, underwritten public offerings);
|
•
|
BXP or BPLP making a general assignment for the benefit of creditors or instituting any proceedings in bankruptcy or for the liquidation, dissolution, reorganization or winding up of either entity or consenting to the taking of any of these actions against either entity;
|
•
|
any amendment of BXP’s Charter;
|
•
|
BXP conducting business other than through BPLP or for either of them to engage in any business other than the ownership, construction, development, management and operation of commercial real estate properties; and
|
•
|
termination of BXP’s status as a REIT.
|
•
|
Vote Required to Dissolve the Partnership: Under BPLP’s Limited Partnership Agreement and Delaware law, BPLP may be dissolved only upon an election to dissolve by BXP, as general partner, and the affirmative consent of limited partners (including BXP) holding 85% of the Common OP Units.
|
•
|
Vote Required to Sell Assets or Merge: BXP, as general partner, has agreed in BPLP’s Limited Partnership Agreement not to engage in business combinations unless the limited partners of BPLP other than BXP who hold the remaining Common OP Units receive, or have the opportunity to receive, the same consideration for their partnership interests as holders of BXP’s Common Stock in the transaction. If these limited partners do not receive the same consideration, BXP cannot engage in the transaction unless 75% of these holders of Common OP Units vote to approve the transaction. In addition, BXP has agreed in BPLP’s Limited Partnership Agreement that it will not consummate business combinations in which it received the approval of the stockholders of BXP unless holders of Common OP Units are also allowed to vote and the transaction would have been approved had these holders of Common OP Units been able to vote as stockholders on the transaction. Therefore, if the stockholders of BXP approve a business combination that requires a vote of stockholders, BPLP’s Limited Partnership Agreement requires the following before BXP can consummate the transaction:
|
o
|
holders of Common OP Units (including BXP) vote on the matter;
|
o
|
BXP must vote its Common OP Units in the same proportion as its stockholders voted on the transaction; and
|
o
|
the result of this vote of holders of Common OP Units must be such that had the vote been a vote of stockholders, the business combination would have been approved.
|
By:
|
Boston Properties, Inc., its general partner
|
Entity Name
|
|
State of Organization
|
100 Federal JV LLC
|
|
Delaware
|
100 Federal Subsidiary REIT LLC
|
|
Delaware
|
100 Federal TRS LLC
|
|
Delaware
|
101 Carnegie Center Associates
|
|
New Jersey
|
1265 Main Office JV LLC
|
|
Delaware
|
1265 Main Office Subsidiary LLC
|
|
Delaware
|
1330 Connecticut Fitness Center TRS LLC
|
|
Delaware
|
17M Associates
|
|
District of Columbia
|
191 Spring Street Trust
|
|
Massachusetts
|
206 Associates Limited Partnership
|
|
New Jersey
|
210 Associates Limited Partnership
|
|
New Jersey
|
211 Associates Limited Partnership
|
|
New Jersey
|
30 Shattuck Road LLC
|
|
Delaware
|
347 Madison Avenue Venture, LLC
|
|
Delaware
|
399 Services LLC
|
|
Delaware
|
40-46 Harvard Street Trust
|
|
Massachusetts
|
500 North Capitol LLC
|
|
Delaware
|
500 North Capitol Venture LLC
|
|
Delaware
|
501 K Street LLC
|
|
Delaware
|
501 K Street Property Owner LLC
|
|
Delaware
|
540 Land Partners LLC
|
|
Delaware
|
540 Madison Partners LLC
|
|
Delaware
|
540 Madison Venture LLC
|
|
Delaware
|
601 Mass Fitness Center TRS LLC
|
|
Delaware
|
635 Mass Ave LLC
|
|
Delaware
|
767 Fifth Junior Mezz LLC
|
|
Delaware
|
767 Fifth Lender LLC
|
|
Delaware
|
767 Fifth Partners LLC
|
|
Delaware
|
767 Fifth Senior Mezz LLC
|
|
Delaware
|
767 Fifth TRS LLC
|
|
Delaware
|
767 Venture, LLC
|
|
Delaware
|
7750 Wisconsin Avenue LLC
|
|
Delaware
|
7750 Wisconsin Avenue Property Owner LLC
|
|
Delaware
|
90 Church Street Limited Partnership
|
|
Delaware
|
901 New York Avenue Fitness Center LLC
|
|
Delaware
|
901 New York LLC
|
|
Delaware
|
901 New York REIT LLC
|
|
Delaware
|
91 Hartwell Avenue Trust
|
|
Massachusetts
|
92 Hayden Avenue Trust
|
|
Massachusetts
|
AJ Lot 2R Financing LLC
|
|
Delaware
|
AJ Lot 2R LLC
|
|
Delaware
|
AJ Lot 3R Financing LLC
|
|
Delaware
|
AJ Lot 3R LLC
|
|
Delaware
|
Entity Name
|
|
State of Organization
|
AJ Lot 6 Financing LLC
|
|
Delaware
|
AJ Lot 6 LLC
|
|
Delaware
|
AJ Lot 7R LLC
|
|
Delaware
|
AJ Lot 8 LLC
|
|
Delaware
|
Annapolis Junction NFM LLC
|
|
Delaware
|
Atlantic Wharf JV LLC
|
|
Delaware
|
Atlantic Wharf Subsidiary REIT LLC
|
|
Delaware
|
Big Apple Associates Limited Partnership
|
|
Delaware
|
Block 4 LLC
|
|
Delaware
|
BNY Tower Associates LLC
|
|
Delaware
|
BNY Tower Holdings LLC
|
|
Delaware
|
BNYTA Amenity Operator LLC
|
|
Delaware
|
Boston Properties Limited Partnership
|
|
Delaware
|
Boston Properties LLC
|
|
Delaware
|
Boston Properties Management, Inc.
|
|
Delaware
|
Boston Properties Services, LLC
|
|
Delaware
|
Boston Properties TRS, Inc.
|
|
Delaware
|
BP 10 CityPoint Cafe LLC
|
|
Delaware
|
BP 103 Fourth Avenue LLC
|
|
Delaware
|
BP 111 Huntington Ave LLC
|
|
Delaware
|
BP 1265 Main LLC
|
|
Delaware
|
BP 1330 Connecticut Avenue LLC
|
|
Delaware
|
BP 1333 New Hampshire Avenue LLC
|
|
Delaware
|
BP 140 Kendrick Street Cafe LLC
|
|
Delaware
|
BP 140 Kendrick Street LLC
|
|
Delaware
|
BP 140 Kendrick Street Property LLC
|
|
Delaware
|
BP 17 Hartwell LLC
|
|
Delaware
|
BP 201 Spring Street LLC
|
|
Delaware
|
BP 230 City Point Cafe LLC
|
|
Delaware
|
BP 347 Madison Associates, LLC
|
|
Delaware
|
BP 347 Madison Developer LLC
|
|
Delaware
|
BP 399 Park Avenue LLC
|
|
Delaware
|
BP 3HB Developer LLC
|
|
Delaware
|
BP 3HB Lender LLC
|
|
Delaware
|
BP 3HB Member LLC
|
|
Delaware
|
BP 500 North Capitol LLC
|
|
Delaware
|
BP 501 K Street Member LLC
|
|
Delaware
|
BP 510 Madison Ave LLC
|
|
Delaware
|
BP 510 Madison HC LLC
|
|
Delaware
|
BP 510 Madison LLC
|
|
Delaware
|
BP 540 Madison LLC
|
|
Delaware
|
BP 599 Lexington Avenue LLC
|
|
Delaware
|
BP 767 Fifth LLC
|
|
Delaware
|
BP 888 Boylston LLC
|
|
Delaware
|
BP 99 Third Avenue LLC
|
|
Delaware
|
BP Atlantic Wharf Master Tenant LLC
|
|
Delaware
|
BP AW Garage LLC
|
|
Delaware
|
BP AW Retail LLC
|
|
Delaware
|
BP AW Tower Office LLC
|
|
Delaware
|
Entity Name
|
|
State of Organization
|
BP AW Waterfront Office LLC
|
|
Delaware
|
BP AWRR Trustee I LLC
|
|
Delaware
|
BP AWRR Trustee II LLC
|
|
Delaware
|
BP AWTO Trustee I LLC
|
|
Delaware
|
BP AWTO Trustee II LLC
|
|
Delaware
|
BP AWTO Trustee III LLC
|
|
Delaware
|
BP Bay Colony Cafe LLC
|
|
Delaware
|
BP Bay Colony HC LLC
|
|
Delaware
|
BP Bay Colony Holdings LLC
|
|
Delaware
|
BP Bay Colony LLC
|
|
Delaware
|
BP Bedford Street Cafe LLC
|
|
Delaware
|
BP Belvidere LLC
|
|
Delaware
|
BP Cambridge Center Residential LLC
|
|
Delaware
|
BP CGC II Retail Operator LLC
|
|
Delaware
|
BP CityPoint Association Member LLC
|
|
Delaware
|
BP Crane Meadow, L.L.C.
|
|
Delaware
|
BP East Garage LLC
|
|
Delaware
|
BP EC1 Holdings LLC
|
|
Delaware
|
BP EC2 Holdings LLC
|
|
Delaware
|
BP EC3 Holdings LLC
|
|
Delaware
|
BP EC4 Holdings LLC
|
|
Delaware
|
BP Federal Street LLLC
|
|
Delaware
|
BP Five CC LLC
|
|
Delaware
|
BP Four CC LLC
|
|
Delaware
|
BP Fourth Avenue Cafe LLC
|
|
Delaware
|
BP Fourth Avenue, LLC
|
|
Delaware
|
BP Hancock LLC
|
|
Delaware
|
BP Hancock Parking LLC
|
|
Delaware
|
BP Hartwell Avenue Cafe LLC
|
|
Delaware
|
BP Hayden Avenue Cafe LLC
|
|
Delaware
|
BP Hotel JV Member LLC
|
|
Delaware
|
BP Hotel LLC
|
|
Delaware
|
BP II LLC
|
|
Delaware
|
BP III LLC
|
|
Delaware
|
BP Jones Road Cafe LLC
|
|
Delaware
|
BP Kingstowne Office Building K LLC
|
|
Delaware
|
BP Kingstowne Office Building T LLC
|
|
Delaware
|
BP Kingstowne Theatre LLC
|
|
Delaware
|
BP LOP LLC
|
|
Delaware
|
BP Mall Road Cafe LLC
|
|
Delaware
|
BP Management, L.P.
|
|
Delaware
|
BP Market Square North GP LLC
|
|
Delaware
|
BP Mill Road Cafe LLC
|
|
Delaware
|
BP Navy Yard Member LLC
|
|
Delaware
|
BP Navy Yard TRS LLC
|
|
Delaware
|
BP New Dominion Technology Park II LLC
|
|
Delaware
|
BP New York LLC
|
|
Delaware
|
BP Office JV Member LLC
|
|
Delaware
|
Entity Name
|
|
State of Organization
|
BP Podium JV Member LLC
|
|
Delaware
|
BP Prospect Place LLC
|
|
Delaware
|
BP Prucenter Acquisition LLC
|
|
Delaware
|
BP Prucenter Development LLC
|
|
Delaware
|
BP Prucenter Exeter LLC
|
|
Delaware
|
BP Prucenter Fairfield LLC
|
|
Delaware
|
BP RB Developer LLC
|
|
Delaware
|
BP Realty New Jersey, LLC
|
|
New Jersey
|
BP Realty Washington LLC
|
|
Delaware
|
BP Reservoir Place Cafe LLC
|
|
Delaware
|
BP Reservoir Place Fitness LLC
|
|
Delaware
|
BP Reservoir Place LLC
|
|
Delaware
|
BP Residential JV Member LLC
|
|
Delaware
|
BP Reston Eastgate, LLC
|
|
Delaware
|
BP RTC Member LLC
|
|
Delaware
|
BP Russia Building LLC
|
|
Delaware
|
BP Russia Wharf LLC
|
|
Delaware
|
BP Services TRS LLC
|
|
Delaware
|
BP Seven Cambridge Center LLC
|
|
Delaware
|
BP Seventeen Cambridge Center LLC
|
|
Delaware
|
BP Spring Street Cafe LLC
|
|
Delaware
|
BP Supermarket LLC
|
|
Delaware
|
BP Third Avenue LLC
|
|
Delaware
|
BP Times Square Tower Mezzanine LLC
|
|
Delaware
|
BP West Street Cafe LLC
|
|
Delaware
|
BP Weston Quarry LLC
|
|
Delaware
|
BP Weston Quarry Residential LLC
|
|
Delaware
|
BP/CGCenter I LLC
|
|
Delaware
|
BP/CGCenter II LLC
|
|
Delaware
|
BP/CGCenter MM LLC
|
|
Delaware
|
BP/CRF 901 New York Avenue LLC
|
|
Delaware
|
BP/CRF Metropolitan Square LLC
|
|
Delaware
|
BP/DC 767 Fifth LLC
|
|
Delaware
|
BP/DC Properties, Inc.
|
|
Maryland
|
BP/DC REIT LLC
|
|
Delaware
|
BP/M 3HB Owner LLC
|
|
Delaware
|
BP-AJ LLC
|
|
Delaware
|
BPI EC4 LLC
|
|
Delaware
|
BPLP SMBP GP LLC
|
|
Delaware
|
BPLP SMBP LP LLC
|
|
Delaware
|
BP-M 3HB Holdco LLC
|
|
Delaware
|
BP-M 3HB Mezz LLC
|
|
Delaware
|
BP-M 3HB Venture LLC
|
|
Delaware
|
BPNS Garage General LLC
|
|
Delaware
|
BPNS Garage Limited LLC
|
|
Delaware
|
BPNS Hotel General LLC
|
|
Delaware
|
BPNS Hotel Limited LLC
|
|
Delaware
|
BPNS Office General LLC
|
|
Delaware
|
Entity Name
|
|
State of Organization
|
BPNS Office Limited LLC
|
|
Delaware
|
BPNS Podium General LLC
|
|
Delaware
|
BPNS Podium Limited LLC
|
|
Delaware
|
BPNS Residential General LLC
|
|
Delaware
|
BPNS Residential Limited LLC
|
|
Delaware
|
BNYTA Amenity Operator LLC
|
|
Delaware
|
BP-WP Project Developer Manager LLC
|
|
Delaware
|
BXP 17Fifty LLC
|
|
Delaware
|
BXP 2100 Penn LLC
|
|
Delaware
|
BXP 601 & 651 Gateway Center LP
|
|
Delaware
|
BXP 611 Gateway Center LP
|
|
Delaware
|
BXP 7750 Wisconsin Avenue LLC
|
|
Delaware
|
BXP Almaden Associates LP
|
|
Delaware
|
BXP Beach Cities LLC
|
|
Delaware
|
BXP California GP LLC
|
|
Delaware
|
BXP Carnegie Center LLC
|
|
Delaware
|
BXP Colorado GP LLC
|
|
Delaware
|
BXP Colorado LP LLC
|
|
Delaware
|
BXP Folsom-Hawthorne LP
|
|
Delaware
|
BXP Gateway GP LLC
|
|
Delaware
|
BXP Gateway Member LLC
|
|
Delaware
|
BXP Harrison LLC
|
|
Delaware
|
BXP MacArthur LLC
|
|
Delaware
|
BXP Mission 535 LP
|
|
Delaware
|
BXP North First LP
|
|
Delaware
|
BXP Peterson LP
|
|
Delaware
|
BXP Platform 16 GP LLC
|
|
Delaware
|
BXP Platform 16 LP LLC
|
|
Delaware
|
BXP Ravendale LP
|
|
Delaware
|
BXP Research Park LP
|
|
Delaware
|
BXP TB Development LLC
|
|
Delaware
|
BXP Transbay Management LLC
|
|
Delaware
|
BXP Waltham Woods LLC
|
|
Delaware
|
BXP West El Camino LP
|
|
Delaware
|
BXP Zanker Road LP
|
|
Delaware
|
CA-Colorado Center Limited Partnership
|
|
Delaware
|
CA-Colorado Center TRS LLC
|
|
Delaware
|
CA-Colorado Center, L.L.C.
|
|
Delaware
|
Cambridge Center North Trust
|
|
Massachusetts
|
Cambridge Center West Garage LLC
|
|
Delaware
|
Cambridge Center West Trust
|
|
Massachusetts
|
Carnegie 103 Associates, LLC
|
|
Delaware
|
Carnegie 214 Associates Limited Partnership
|
|
New Jersey
|
Carnegie 408 Associates, LLC
|
|
Delaware
|
Carnegie 504 Associates
|
|
New Jersey
|
Carnegie 506 Associates
|
|
New Jersey
|
Carnegie 508 Associates
|
|
New Jersey
|
Carnegie 510 Associates, L.L.C.
|
|
Delaware
|
Carnegie 804 Associates, LLC
|
|
Delaware
|
Entity Name
|
|
State of Organization
|
Carnegie Center Associates
|
|
New Jersey
|
Carnegie Center Cafes LLC
|
|
Delaware
|
Carnegie Center Fitness LLC
|
|
Delaware
|
CRF Met Square, LLC
|
|
Delaware
|
Discovery Square, L.L.C.
|
|
Delaware
|
Downtown Boston Properties Trust
|
|
Massachusetts
|
Elandzee Trust
|
|
Massachusetts
|
Eleven Cambridge Center Trust
|
|
Massachusetts
|
Embarcadero Center Associates
|
|
California
|
Embarcadero Center, Inc.
|
|
California
|
Four Embarcadero Center Venture
|
|
California
|
Fourteen Cambridge Center Trust
|
|
Massachusetts
|
Gateway Portfolio Holdings LLC
|
|
Delaware
|
Gateway Portfolio Member LLC
|
|
Delaware
|
Gladden Properties LLC
|
|
Delaware
|
Hayden Office Trust
|
|
Massachusetts
|
Hotel Tower Developer LLC
|
|
Delaware
|
Hotel Tower Owner GP, LLC
|
|
Delaware
|
Hotel Tower Owner, LP
|
|
Delaware
|
IXP, LLC
|
|
Vermont
|
Jones Road Development Associates LLC
|
|
Delaware
|
Lexreal Associates Limited Partnership
|
|
New York
|
LKE BP Fourth Avenue Limited Partnership
|
|
Massachusetts
|
Mall Road Trust
|
|
Massachusetts
|
Market Square North Associates Limited Partnership
|
|
Delaware
|
Market Square North Fitness Center LLC
|
|
Delaware
|
MBZ-Lex Trust
|
|
Massachusetts
|
Metropolitan Square Fitness Center TRS LLC
|
|
Delaware
|
Metropolitan Square REIT LLC
|
|
Delaware
|
Meushar Insurance IC, LLC
|
|
Vermont
|
MGA Virginia 85-1 Limited Partnership
|
|
Virginia
|
MGA Virginia 86-1 Limited Partnership
|
|
Virginia
|
MGA Virginia 86-2 Limited Partnership
|
|
Virginia
|
New Dominion Technology Corp.
|
|
Delaware
|
New Dominion Technology Park II LLC
|
|
Delaware
|
New Dominion Technology Park LLC
|
|
Delaware
|
No. 1 Times Square Development LLC
|
|
Delaware
|
No. 5 Times Square Development LLC
|
|
Delaware
|
NY 510 Junior Mezz Lender LLC
|
|
Delaware
|
NYXP, LLC
|
|
Vermont
|
Ocean View Development Company Limited Partnership
|
|
District of Columbia
|
Office Tower Developer LLC
|
|
Delaware
|
Office Tower Owner GP, LLC
|
|
Delaware
|
Office Tower Owner, LP
|
|
Delaware
|
One Cambridge Center Trust
|
|
Massachusetts
|
One Embarcadero Center Venture
|
|
California
|
One Freedom Square, L.L.C.
|
|
Delaware
|
One Tower Center Cafe LLC
|
|
Delaware
|
Platform 16 Developer LLC
|
|
Delaware
|
Entity Name
|
|
State of Organization
|
Platform 16 Holdings LP
|
|
Delaware
|
Platform 16 Sub LLC
|
|
Delaware
|
Platform 16 LLC
|
|
Delaware
|
Podium Developer LLC
|
|
Delaware
|
Podium Owner GP, LLC
|
|
Delaware
|
Podium Owner, LP
|
|
Delaware
|
Princeton 202 Associates Limited Partnership
|
|
New Jersey
|
Princeton Childcare Associates Limited Partnership
|
|
New Jersey
|
Residential Tower Developer LLC
|
|
Delaware
|
Residential Tower Owner GP, LLC
|
|
Delaware
|
Residential Tower Owner, LP
|
|
Delaware
|
Reston Corporate Center Limited Partnership
|
|
Virginia
|
Reston Gateway Condo A/B, LLC
|
|
Delaware
|
Reston Gateway Condo C, LLC
|
|
Delaware
|
Reston Gateway Condo D, LLC
|
|
Delaware
|
Reston Streets LLC
|
|
Delaware
|
Reston Town Center JV LLC
|
|
Delaware
|
Reston Town Center Office Park Phase One Limited Partnership
|
|
Virginia
|
Reston Town Center Property LLC
|
|
Delaware
|
Reston VA 939, L.L.C.
|
|
Delaware
|
RTC Gift Card LLC
|
|
Delaware
|
Russia Building TRS LLC
|
|
Delaware
|
School Street Associates Limited Partnership
|
|
District of Columbia
|
SCV Partners
|
|
New Jersey
|
SMBP LLC
|
|
Delaware
|
SMBP REIT LLC
|
|
Delaware
|
SMBP Venture LLC
|
|
Delaware
|
South of Market Garage LLC
|
|
Delaware
|
South of Market LLC
|
|
Delaware
|
South of Market Lot 16 LLC
|
|
Delaware
|
Springfield 6601 LLC
|
|
Delaware
|
Springfield Metro Center II, LLC
|
|
Delaware
|
Springfield Parcel C LLC
|
|
Delaware
|
Square 36 Office Joint Venture
|
|
District of Columbia
|
Square 407 Limited Partnership
|
|
District of Columbia
|
Square 54 Office Fitness TRS LLC
|
|
Delaware
|
Square 54 Office Owner LLC
|
|
Delaware
|
Square 54 Residential Owner LLC
|
|
Delaware
|
Stony Brook Associates LLC
|
|
Delaware
|
Ten Cambridge Center Trust
|
|
Massachusetts
|
The Atlantic Monthly Trust
|
|
Massachusetts
|
The Double B Partnership
|
|
Massachusetts
|
The Double B Trust
|
|
Massachusetts
|
The Metropolitan Square Associates LLC
|
|
District of Columbia
|
Three Cambridge Center Trust
|
|
Massachusetts
|
Three Embarcadero Center Venture
|
|
California
|
Times Square Tower Associates LLC
|
|
Delaware
|
Tower Oaks Financing LLC
|
|
Delaware
|
Tracer Lane Trust II
|
|
Massachusetts
|
Entity Name
|
|
State of Organization
|
Transbay Tower Holdings LLC
|
|
Delaware
|
Transbay Tower LLC
|
|
Delaware
|
Two Cambridge Center Trust
|
|
Massachusetts
|
Two Freedom Square, L.L.C.
|
|
Delaware
|
Washingtonian North Associates Limited Partnership
|
|
Maryland
|
Wisconsin Place Office LLC
|
|
Delaware
|
Wisconsin Place Office Manager LLC
|
|
Delaware
|
WP Project Developer LLC
|
|
Delaware
|
WP Trust
|
|
Massachusetts
|
Zee Bee Trust II
|
|
Massachusetts
|
Zee Em Trust II
|
|
Massachusetts
|
1.
|
I have reviewed this Annual Report on Form 10-K of Boston Properties, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
|
|
/s/ OWEN D. THOMAS
|
Owen D. Thomas
|
Chief Executive Officer
|
1.
|
I have reviewed this Annual Report on Form 10-K of Boston Properties, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
|
|
/s/ MICHAEL E. LABELLE
|
Michael E. LaBelle
|
Chief Financial Officer
|
1.
|
I have reviewed this Annual Report on Form 10-K of Boston Properties Limited Partnership;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
|
/s/ OWEN D. THOMAS
|
Owen D. Thomas
Chief Executive Officer of Boston Properties, Inc.
General Partner of Boston Properties Limited Partnership
|
1.
|
I have reviewed this Annual Report on Form 10-K of Boston Properties Limited Partnership;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
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(a)
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All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
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(b)
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Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
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/s/ MICHAEL E. LABELLE
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Michael E. LaBelle
Chief Financial Officer of Boston Properties, Inc.
General Partner of Boston Properties Limited Partnership
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/s/ OWEN D. THOMAS
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Owen D. Thomas
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Chief Executive Officer
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/s/ MICHAEL E. LABELLE
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Michael E. LaBelle
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Chief Financial Officer
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/s/ OWEN D. THOMAS
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Owen D. Thomas
Chief Executive Officer of Boston Properties, Inc.
General Partner of Boston Properties Limited Partnership
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/s/ MICHAEL E. LABELLE
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Michael E. LaBelle
Chief Financial Officer of Boston Properties, Inc.
General Partner of Boston Properties Limited Partnership
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