BOSTON PROPERTIES INC
For the period ended Mar 31, 2024. Filed May 10, 2024.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2024 · Filed May 10, 2024
Extracted filing text, with the paragraph anchors used by the comparison.
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Item 1. Financial Statements (unaudited)
| BOSTON PROPERTIES, INC.CONSOLIDATED BALANCE SHEETS(unaudited and in thousands, except for share and par value amounts) | ||
|---|---|---|
| March 31, 2024 | December 31, 2023 | |
| ASSETS | ||
| Real estate, at cost (amounts related to variable interest entities (“VIEs”) of $7,376,175 and $7,054,075 at March 31, 2024 and December 31, 2023, respectively) | $27,063,048 | $26,749,209 |
| Right of use assets - finance leases (amounts related to VIEs of $21,000 and $21,000 at March 31, 2024 and December 31, 2023, respectively) | 401,486 | 401,680 |
| Right of use assets - operating leases (amounts related to VIEs of $154,217 and $158,885 at March 31, 2024 and December 31, 2023, respectively) | 344,255 | 324,298 |
| Less: accumulated depreciation (amounts related to VIEs of $(1,538,940) and $(1,501,483) at March 31, 2024 and December 31, 2023, respectively) | (7,040,501) | (6,881,728) |
| Total real estate | 20,768,288 | 20,593,459 |
| Cash and cash equivalents (amounts related to VIEs of $298,548 and $245,317 at March 31, 2024 and December 31, 2023, respectively) | 701,695 | 1,531,477 |
| Cash held in escrows (amounts related to VIEs of $4,839 and $22,160 at March 31, 2024 and December 31, 2023, respectively) | 64,939 | 81,090 |
| Investments in securities | 37,184 | 36,337 |
| Tenant and other receivables, net (amounts related to VIEs of $27,792 and $27,987 at March 31, 2024 and December 31, 2023, respectively) | 94,115 | 122,407 |
| Note receivable, net | 2,274 | 1,714 |
| Related party note receivable, net | 88,789 | 88,779 |
| Sales-type lease receivable, net | 13,943 | 13,704 |
| Accrued rental income, net (amounts related to VIEs of $409,628 and $401,159 at March 31, 2024 and December 31, 2023, respectively) | 1,390,217 | 1,355,212 |
| Deferred charges, net (amounts related to VIEs of $194,489 and $175,383 at March 31, 2024 and December 31, 2023, respectively) | 818,424 | 760,421 |
| Prepaid expenses and other assets (amounts related to VIEs of $45,672 and $11,824 at March 31, 2024 and December 31, 2023, respectively) | 146,286 | 64,230 |
| Investments in unconsolidated joint ventures | 1,399,824 | 1,377,319 |
| Total assets | $25,525,978 | $26,026,149 |
| LIABILITIES AND EQUITY | ||
| Liabilities: | ||
| Mortgage notes payable, net (amounts related to VIEs of $3,278,396 and $3,277,185 at March 31, 2024 and December 31, 2023, respectively) | $4,368,367 | $4,166,379 |
| Unsecured senior notes, net | 9,794,527 | 10,491,617 |
| Unsecured line of credit | — | — |
| Unsecured term loan, net | 1,199,430 | 1,198,301 |
| Lease liabilities - finance leases (amounts related to VIEs of $20,831 and $20,794 at March 31, 2024 and December 31, 2023, respectively) | 415,888 | 417,961 |
| Lease liabilities - operating leases (amounts related to VIEs of $148,706 and $145,826 at March 31, 2024 and December 31, 2023, respectively) | 377,667 | 350,391 |
| Accounts payable and accrued expenses (amounts related to VIEs of $112,385 and $59,667 at March 31, 2024 and December 31, 2023, respectively) | 374,681 | 458,329 |
| Dividends and distributions payable | 172,154 | 171,176 |
| Accrued interest payable | 119,573 | 133,684 |
| Other liabilities (amounts related to VIEs of $105,786 and $115,275 at March 31, 2024 and December 31, 2023, respectively) | 417,978 | 445,947 |
| Total liabilities | 17,240,265 | 17,833,785 |
| BOSTON PROPERTIES, INC.CONSOLIDATED BALANCE SHEETS(unaudited and in thousands, except for share and par value amounts) | ||
|---|---|---|
| March 31, 2024 | December 31, 2023 | |
| Commitments and contingencies (See Note 8) | ||
| Redeemable deferred stock units— 124,656 and 119,471 units outstanding at redemption value at March 31, 2024 and December 31, 2023, respectively | 8,141 | 8,383 |
| 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, none issued or outstanding | — | — |
| Common stock, $0.01 par value, 250,000,000 shares authorized, 157,128,071 and 157,019,766 issued and 157,049,171 and 156,940,866 outstanding at March 31, 2024 and December 31, 2023, respectively | 1,570 | 1,569 |
| Additional paid-in capital | 6,752,648 | 6,715,149 |
| Dividends in excess of earnings | (890,177) | (816,152) |
| Treasury common stock at cost, 78,900 shares at March 31, 2024 and December 31, 2023 | (2,722) | (2,722) |
| Accumulated other comprehensive loss | (3,620) | (21,147) |
| Total stockholders’ equity attributable to Boston Properties, Inc. | 5,857,699 | 5,876,697 |
| Noncontrolling interests: | ||
| Common units of Boston Properties Limited Partnership | 684,969 | 666,580 |
| Property partnerships | 1,734,904 | 1,640,704 |
| Total equity | 8,277,572 | 8,183,981 |
| Total liabilities and equity | $25,525,978 | $26,026,149 |
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited and in thousands, except for per share amounts)
| Three months ended March 31, | ||
|---|---|---|
| 2024 | 2023 | |
| Revenue | ||
| Lease | $788,590 | $756,875 |
| Parking and other | 32,216 | 24,009 |
| Hotel | 8,186 | 8,101 |
| Development and management services | 6,154 | 8,980 |
| Direct reimbursements of payroll and related costs from management services contracts | 4,293 | 5,235 |
| Total revenue | 839,439 | 803,200 |
| Expenses | ||
| Operating | ||
| Rental | 314,157 | 291,308 |
| Hotel | 6,015 | 6,671 |
| General and administrative | 50,018 | 55,802 |
| Payroll and related costs from management services contracts | 4,293 | 5,235 |
| Transaction costs | 513 | 911 |
| Depreciation and amortization | 218,716 | 208,734 |
| Total expenses | 593,712 | 568,661 |
| Other income (expense) | ||
| Income (loss) from unconsolidated joint ventures | 19,186 | (7,569) |
| Interest and other income (loss) | 14,529 | 10,941 |
| Gains from investments in securities | 2,272 | 1,665 |
| Unrealized gain on non-real estate investment | 396 | 259 |
| Impairment loss | (13,615) | — |
| Interest expense | (161,891) | (134,207) |
| Net income | 106,604 | 105,628 |
| Net income attributable to noncontrolling interests | ||
| Noncontrolling interests in property partnerships | (17,221) | (18,660) |
| Noncontrolling interest—common units of the Operating Partnership | (9,500) | (9,078) |
| Net income attributable to Boston Properties, Inc. | $79,883 | $77,890 |
| Basic earnings per common share attributable to Boston Properties, Inc. | ||
| Net income | $0.51 | $0.50 |
| Weighted average number of common shares outstanding | 156,983 | 156,803 |
| Diluted earnings per common share attributable to Boston Properties, Inc. | ||
| Net income | $0.51 | $0.50 |
| Weighted average number of common and common equivalent shares outstanding | 157,132 | 157,043 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited and in thousands)
| Three months ended March 31, | ||
|---|---|---|
| 2024 | 2023 | |
| Net income | $106,604 | $105,628 |
| Other comprehensive income: | ||
| Effective portion of interest rate contracts | 16,351 | (6,538) |
| Amortization of interest rate contracts (1) | 3,360 | 1,675 |
| Other comprehensive income (loss) | 19,711 | (4,863) |
| Comprehensive income | 126,315 | 100,765 |
| Net income attributable to noncontrolling interests | (26,721) | (27,738) |
| Other comprehensive (income) loss attributable to noncontrolling interests | (2,184) | 368 |
| Comprehensive income attributable to Boston Properties, Inc. | $97,410 | $73,395 |
(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 EQUITY (unaudited and in thousands) | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Common 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, 2023 | 156,941 | $1,569 | $6,715,149 | $(816,152) | $(2,722) | $(21,147) | $666,580 | $1,640,704 | $8,183,981 |
| Redemption of operating partnership units to common stock | 36 | 1 | 1,302 | — | — | — | (1,303) | — | — |
| Allocated net income for the period | — | — | — | 79,883 | — | — | 9,500 | 17,221 | 106,604 |
| Dividends/distributions declared | — | — | — | (153,908) | — | — | (18,864) | — | (172,772) |
| Shares issued pursuant to stock purchase plan | 8 | — | 600 | — | — | — | — | — | 600 |
| Net activity from stock option and incentive plan | 64 | — | 2,262 | — | — | — | 14,269 | — | 16,531 |
| Proceeds from sale of interest in property partnerships and contributions from noncontrolling interests in property partnerships | — | — | 46,082 | — | — | — | — | 96,860 | 142,942 |
| Distributions to noncontrolling interests in property partnerships | — | — | — | — | — | — | — | (20,025) | (20,025) |
| Effective portion of interest rate contracts | — | — | — | — | — | 14,646 | 1,705 | — | 16,351 |
| Amortization of interest rate contracts | — | — | — | — | — | 2,881 | 335 | 144 | 3,360 |
| Reallocation of noncontrolling interest | — | — | (12,747) | — | — | — | 12,747 | — | — |
| Equity, March 31, 2024 | 157,049 | $1,570 | $6,752,648 | $(890,177) | $(2,722) | $(3,620) | $684,969 | $1,734,904 | $8,277,572 |
| Equity, December 31, 2022 | 156,758 | $1,568 | $6,539,147 | $(391,356) | $(2,722) | $(13,718) | $683,583 | $1,547,317 | $8,363,819 |
| Redemption of operating partnership units to common stock | 5 | — | 195 | — | — | — | (195) | — | — |
| Allocated net income for the period | — | — | — | 77,890 | — | — | 9,078 | 18,660 | 105,628 |
| Dividends/distributions declared | — | — | — | (153,693) | — | — | (18,361) | — | (172,054) |
| Shares issued pursuant to stock purchase plan | 9 | — | 586 | — | — | — | — | — | 586 |
| Net activity from stock option and incentive plan | 58 | — | 3,448 | — | — | — | 23,971 | — | 27,419 |
| Contributions from noncontrolling interests in property partnerships | — | — | — | — | — | — | — | 7,555 | 7,555 |
| Distributions to noncontrolling interests in property partnerships | — | — | — | — | — | — | — | (21,606) | (21,606) |
| Effective portion of interest rate contracts | — | — | — | — | — | (5,870) | (668) | — | (6,538) |
| Amortization of interest rate contracts | — | — | — | — | — | 1,374 | 157 | 144 | 1,675 |
| Reallocation of noncontrolling interest | — | — | 5,938 | — | — | — | (5,938) | — | — |
| Equity, March 31, 2023 | 156,830 | $1,568 | $6,549,314 | $(467,159) | $(2,722) | $(18,214) | $691,627 | $1,552,070 | $8,306,484 |
| BOSTON PROPERTIES, INC.CONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited and in thousands) | ||
|---|---|---|
| Three months ended March 31, | ||
| 2024 | 2023 | |
| Cash flows from operating activities: | ||
| Net income | $106,604 | $105,628 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Depreciation and amortization | 218,716 | 208,734 |
| Impairment loss | 13,615 | — |
| Amortization of right of use assets - operating leases | 1,441 | 652 |
| Non-cash compensation expense | 18,873 | 26,262 |
| (Income) loss from unconsolidated joint ventures | (19,186) | 7,569 |
| Distributions of net cash flow from operations of unconsolidated joint ventures | 8,643 | 5,996 |
| Gains from investments in securities | (2,272) | (1,665) |
| Allowance for current expected credit losses (gains) | 4 | 45 |
| Non-cash portion of interest expense | 12,109 | 7,387 |
| Unrealized (gain) loss on non-real estate investment | (396) | (259) |
| Change in assets and liabilities: | ||
| Tenant and other receivables, net | 29,454 | 7,518 |
| Accrued rental income, net | (35,945) | (18,619) |
| Prepaid expenses and other assets | (74,705) | (97,762) |
| Right of use assets - operating lease | (750) | — |
| Lease liabilities - operating leases | (1,241) | (251) |
| Accounts payable and accrued expenses | (20,725) | (8,505) |
| Accrued interest payable | (14,171) | 10,626 |
| Other liabilities | (12,846) | 16,565 |
| Tenant leasing costs | (29,627) | (35,911) |
| Total adjustments | 90,991 | 128,382 |
| Net cash provided by operating activities | 197,595 | 234,010 |
| Cash flows from investing activities: | ||
| Construction in progress | (181,636) | (119,682) |
| Building and other capital improvements | (32,087) | (39,100) |
| Tenant improvements | (53,377) | (67,175) |
| Acquisition of real estate (net of cash received upon consolidation) | 6,086 | — |
| Capital contributions to unconsolidated joint ventures | (26,457) | (60,745) |
| Investment in non-real estate investments | — | (733) |
| Issuance of note receivables (including related party) | (573) | — |
| Investments in securities, net | 1,425 | 1,843 |
| Net cash used in investing activities | (286,619) | (285,592) |
| Cash flows from financing activities: | ||
| Repayments of mortgage notes payable | (804) | — |
| Repayment / redemption of unsecured senior notes | (700,000) | — |
| Borrowings on unsecured term loan | — | 1,200,000 |
| Payments on finance lease obligations | (3,160) | — |
| Repayment of unsecured term loan | — | (730,000) |
| Deferred financing costs | (108) | (6,213) |
| Net activity from equity transactions | (2,136) | 586 |
| Dividends and distributions | (171,794) | (171,270) |
| BOSTON PROPERTIES, INC.CONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited and in thousands) | ||
|---|---|---|
| Three months ended March 31, | ||
| 2024 | 2023 | |
| Proceeds from sale of interest in property partnerships and contributions from noncontrolling interests in property partnerships | 141,118 | 7,555 |
| Distributions to noncontrolling interests in property partnerships | (20,025) | (21,606) |
| Net cash provided by (used in) financing activities | (756,909) | 279,052 |
| Net increase (decrease) in cash and cash equivalents and cash held in escrows | (845,933) | 227,470 |
| Cash and cash equivalents and cash held in escrows, beginning of period | 1,612,567 | 736,812 |
| Cash and cash equivalents and cash held in escrows, end of period | $766,634 | $964,282 |
| Reconciliation of cash and cash equivalents and cash held in escrows: | ||
| Cash and cash equivalents, beginning of period | $1,531,477 | $690,333 |
| Cash held in escrows, beginning of period | 81,090 | 46,479 |
| Cash and cash equivalents and cash held in escrows, beginning of period | $1,612,567 | $736,812 |
| Cash and cash equivalents, end of period | $701,695 | $918,952 |
| Cash held in escrows, end of period | 64,939 | 45,330 |
| Cash and cash equivalents and cash held in escrows, end of period | $766,634 | $964,282 |
| Supplemental disclosures: | ||
| Cash paid for interest | $180,717 | $125,698 |
| Interest capitalized | $9,381 | $10,589 |
| Non-cash investing and financing activities: | ||
| Write-off of fully depreciated real estate | $(27,993) | $(56,391) |
| Change in real estate included in accounts payable and accrued expenses | $(48,518) | $11,692 |
| Right of use assets obtained in exchange for lease liabilities - operating lease | $25,637 | $— |
| Non-cash distributions to noncontrolling interests in property, net | $52,786 | $— |
| Capitalized operating lease costs | $7,548 | $— |
| Investment in unconsolidated joint ventures eliminated upon consolidation | $(11,834) | $— |
| Mortgage note payable recorded upon consolidation | $207,093 | $— |
| Real estate and intangibles recorded upon consolidation | $(220,015) | $— |
| Dividends and distributions declared but not paid | $172,154 | $171,427 |
| Conversions of noncontrolling interests to stockholders’ equity | $1,303 | $195 |
| Issuance of restricted securities to employees and non-employee directors | $41,989 | $46,516 |
| BOSTON PROPERTIES LIMITED PARTNERSHIPCONSOLIDATED BALANCE SHEETS(unaudited and in thousands, except for unit amounts) | ||
|---|---|---|
| March 31, 2024 | December 31, 2023 | |
| ASSETS | ||
| Real estate, at cost (amounts related to variable interest entities (“VIEs”) of $7,376,175 and $7,054,075 at March 31, 2024 and December 31, 2023, respectively) | $26,696,783 | $26,382,944 |
| Right of use assets - finance leases (amounts related to VIEs of $21,000 and $21,000 at March 31, 2024 and December 31, 2023, respectively) | 401,486 | 401,680 |
| Right of use assets - operating leases (amounts related to VIEs of $154,217 and $158,885 at March 31, 2024 and December 31, 2023, respectively) | 344,255 | 324,298 |
| Less: accumulated depreciation (amounts related to VIEs of $(1,538,940) and $(1,501,483) at March 31, 2024 and December 31, 2023, respectively) | (6,915,437) | (6,758,361) |
| Total real estate | 20,527,087 | 20,350,561 |
| Cash and cash equivalents (amounts related to VIEs of $298,548 and $245,317 at March 31, 2024 and December 31, 2023, respectively) | 701,695 | 1,531,477 |
| Cash held in escrows (amounts related to VIEs of $4,839 and $22,160 at December 31, 2023 and December 31, 2022, respectively) | 64,939 | 81,090 |
| Investments in securities | 37,184 | 36,337 |
| Tenant and other receivables, net (amounts related to VIEs of $27,792 and $27,987 at March 31, 2024 and December 31, 2023, respectively) | 94,115 | 122,407 |
| Note receivable, net | 2,274 | 1,714 |
| Related party note receivable, net | 88,789 | 88,779 |
| Sales-type lease receivable, net | 13,943 | 13,704 |
| Accrued rental income, net (amounts related to VIEs of $409,628 and $401,159 at March 31, 2024 and December 31, 2023, respectively) | 1,390,217 | 1,355,212 |
| Deferred charges, net (amounts related to VIEs of $194,489 and $175,383 at March 31, 2024 and December 31, 2023, respectively) | 818,424 | 760,421 |
| Prepaid expenses and other assets (amounts related to VIEs of $45,672 and $11,824 at March 31, 2024 and December 31, 2023, respectively) | 146,286 | 64,230 |
| Investments in unconsolidated joint ventures | 1,399,824 | 1,377,319 |
| Total assets | $25,284,777 | $25,783,251 |
| LIABILITIES AND CAPITAL | ||
| Liabilities: | ||
| Mortgage notes payable, net (amounts related to VIEs of $3,278,396 and $3,277,185 at March 31, 2024 and December 31, 2023, respectively) | $4,368,367 | $4,166,379 |
| Unsecured senior notes, net | 9,794,527 | 10,491,617 |
| Unsecured line of credit | — | — |
| Unsecured term loan, net | 1,199,430 | 1,198,301 |
| Lease liabilities - finance leases (amounts related to VIEs of $20,831 and $20,794 at March 31, 2024 and December 31, 2023, respectively) | 415,888 | 417,961 |
| Lease liabilities - operating leases (amounts related to VIEs of $148,706 and $145,826 at March 31, 2024 and December 31, 2023, respectively) | 377,667 | 350,391 |
| Accounts payable and accrued expenses (amounts related to VIEs of $112,385 and $59,667 at March 31, 2024 and December 31, 2023, respectively) | 374,681 | 458,329 |
| Dividends and distributions payable | 172,154 | 171,176 |
| Accrued interest payable | 119,573 | 133,684 |
| Other liabilities (amounts related to VIEs of $105,786 and $115,275 at March 31, 2024 and December 31, 2023, respectively) | 417,978 | 445,947 |
| Total liabilities | 17,240,265 | 17,833,785 |
| Commitments and contingencies (See Note 8) | ||
| Redeemable deferred stock units— 124,656 and 119,471 units outstanding at redemption value at March 31, 2024 and December 31, 2023, respectively | 8,141 | 8,383 |
| BOSTON PROPERTIES LIMITED PARTNERSHIPCONSOLIDATED BALANCE SHEETS(unaudited and in thousands, except for unit amounts) | ||
|---|---|---|
| March 31, 2024 | December 31, 2023 | |
| Noncontrolling interests: | ||
| Redeemable partnership units— 16,492,171 and 16,508,277 common units and 2,666,636 and 2,065,861 long term incentive units outstanding at redemption value at March 31, 2024 and December 31, 2023, respectively | 1,300,409 | 1,347,575 |
| Capital: | ||
| Boston Properties Limited Partnership partners’ capital— 1,762,080 and 1,755,150 general partner units and 155,287,091 and 155,185,716 limited partner units outstanding at March 31, 2024 and December 31, 2023, respectively | 5,004,678 | 4,973,951 |
| Accumulated other comprehensive loss | (3,620) | (21,147) |
| Total partners’ capital | 5,001,058 | 4,952,804 |
| Noncontrolling interests in property partnerships | 1,734,904 | 1,640,704 |
| Total capital | 6,735,962 | 6,593,508 |
| Total liabilities and capital | $25,284,777 | $25,783,251 |
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited and in thousands, except for per unit amounts)
| Three months ended March 31, | ||
|---|---|---|
| 2024 | 2023 | |
| Revenue | ||
| Lease | $788,590 | $756,875 |
| Parking and other | 32,216 | 24,009 |
| Hotel | 8,186 | 8,101 |
| Development and management services | 6,154 | 8,980 |
| Direct reimbursements of payroll and related costs from management services contracts | 4,293 | 5,235 |
| Total revenue | 839,439 | 803,200 |
| Expenses | ||
| Operating | ||
| Rental | 314,157 | 291,308 |
| Hotel | 6,015 | 6,671 |
| General and administrative | 50,018 | 55,802 |
| Payroll and related costs from management services contracts | 4,293 | 5,235 |
| Transaction costs | 513 | 911 |
| Depreciation and amortization | 217,019 | 206,872 |
| Total expenses | 592,015 | 566,799 |
| Other income (expense) | ||
| Income (loss) from unconsolidated joint ventures | 19,186 | (7,569) |
| Interest and other income (loss) | 14,529 | 10,941 |
| Gains from investments in securities | 2,272 | 1,665 |
| Unrealized gain on non-real estate investment | 396 | 259 |
| Impairment loss | (13,615) | — |
| Interest expense | (161,891) | (134,207) |
| Net income | 108,301 | 107,490 |
| Net income attributable to noncontrolling interests | ||
| Noncontrolling interests in property partnerships | (17,221) | (18,660) |
| Net income attributable to Boston Properties Limited Partnership | $91,080 | $88,830 |
| Basic earnings per common unit attributable to Boston Properties Limited Partnership | ||
| Net income | $0.52 | $0.51 |
| Weighted average number of common units outstanding | 175,255 | 174,652 |
| Diluted earnings per common unit attributable to Boston Properties Limited Partnership | ||
| Net income | $0.52 | $0.51 |
| Weighted average number of common and common equivalent units outstanding | 175,404 | 174,892 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited and in thousands)
| Three months ended March 31, | ||
|---|---|---|
| 2024 | 2023 | |
| Net income | $108,301 | $107,490 |
| Other comprehensive income: | ||
| Effective portion of interest rate contracts | 16,351 | (6,538) |
| Amortization of interest rate contracts (1) | 3,360 | 1,675 |
| Other comprehensive income (loss) | 19,711 | (4,863) |
| Comprehensive income | 128,012 | 102,627 |
| Comprehensive income attributable to noncontrolling interests | (17,365) | (18,804) |
| Comprehensive income attributable to Boston Properties Limited Partnership | $110,647 | $83,823 |
(1)Amounts reclassified from comprehensive income primarily to interest expense within Boston Properties Limited Partnership’s Consolidated Statements of Operations.
| BOSTON PROPERTIES LIMITED PARTNERSHIPCONSOLIDATED STATEMENTS OF CAPITAL AND NONCONTROLLING INTERESTS(unaudited and in thousands) | |||||||
|---|---|---|---|---|---|---|---|
| Units · Capital | |||||||
| General Partner | Limited Partner | Partners’ Capital (General and Limited Partners) | AccumulatedOtherComprehensive Loss | NoncontrollingInterests - Property Partnerships | Total Capital | Noncontrolling Interests - Redeemable Partnership Units | |
| Equity, December 31, 2023 | 1,755 | 155,185 | $4,973,951 | $(21,147) | $1,640,704 | $6,593,508 | $1,347,575 |
| Net activity from contributions and unearned compensation | 5 | 68 | 2,862 | — | — | 2,862 | 14,269 |
| Allocated net income for the period | — | — | 81,580 | — | 17,221 | 98,801 | 9,500 |
| Distributions | — | — | (153,908) | — | — | (153,908) | (18,864) |
| Conversion of redeemable partnership units | 2 | 34 | 1,303 | — | — | 1,303 | (1,303) |
| Adjustment to reflect redeemable partnership units at redemption value | — | — | 52,808 | — | — | 52,808 | (52,808) |
| Effective portion of interest rate contracts | — | — | — | 14,646 | — | 14,646 | 1,705 |
| Amortization of interest rate contracts | — | — | — | 2,881 | 144 | 3,025 | 335 |
| Proceeds from sale of interest in property partnerships and contributions from noncontrolling interests in property partnerships | — | — | 46,082 | — | 96,860 | 142,942 | — |
| Distributions to noncontrolling interests in property partnerships | — | — | — | — | (20,025) | (20,025) | — |
| Equity, March 31, 2024 | 1,762 | 155,287 | $5,004,678 | $(3,620) | $1,734,904 | $6,735,962 | $1,300,409 |
| Equity, December 31, 2022 | 1,750 | 155,008 | $5,299,428 | $(13,718) | $1,547,317 | $6,833,027 | $1,280,886 |
| Net activity from contributions and unearned compensation | 5 | 62 | 4,032 | — | — | 4,032 | 23,973 |
| Allocated net income for the period | — | — | 79,752 | — | 18,660 | 98,412 | 9,078 |
| Distributions | — | — | (153,693) | — | — | (153,693) | (18,361) |
| Conversion of redeemable partnership units | — | 5 | 195 | — | — | 195 | (195) |
| Adjustment to reflect redeemable partnership units at redemption value | — | — | 220,222 | — | — | 220,222 | (220,222) |
| Effective portion of interest rate contracts | — | — | — | (5,870) | — | (5,870) | (668) |
| Amortization of interest rate contracts | — | — | — | 1,374 | 144 | 1,518 | 157 |
| Contributions from noncontrolling interests in property partnerships | — | — | — | — | 7,555 | 7,555 | — |
| Distributions to noncontrolling interests in property partnerships | — | — | — | — | (21,606) | (21,606) | — |
| Equity, March 31, 2023 | 1,755 | 155,075 | $5,449,936 | $(18,214) | $1,552,070 | $6,983,792 | $1,074,648 |
| BOSTON PROPERTIES LIMITED PARTNERSHIPCONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited and in thousands) | ||
|---|---|---|
| Three months ended March 31, | ||
| 2024 | 2023 | |
| Cash flows from operating activities: | ||
| Net income | $108,301 | $107,490 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Depreciation and amortization | 217,019 | 206,872 |
| Impairment loss | 13,615 | — |
| Amortization of right of use assets - operating leases | 1,441 | 652 |
| Non-cash compensation expense | 18,873 | 26,262 |
| (Income) loss from unconsolidated joint ventures | (19,186) | 7,569 |
| Distributions of net cash flow from operations of unconsolidated joint ventures | 8,643 | 5,996 |
| Gains from investments in securities | (2,272) | (1,665) |
| Allowance for current expected credit losses (gains) | 4 | 45 |
| Non-cash portion of interest expense | 12,109 | 7,387 |
| Unrealized gain on non-real estate investment | (396) | (259) |
| Change in assets and liabilities: | ||
| Tenant and other receivables, net | 29,454 | 7,518 |
| Accrued rental income, net | (35,945) | (18,619) |
| Prepaid expenses and other assets | (74,705) | (97,762) |
| Right of use assets - operating lease | (750) | — |
| Lease liabilities - operating leases | (1,241) | (251) |
| Accounts payable and accrued expenses | (20,725) | (8,505) |
| Accrued interest payable | (14,171) | 10,626 |
| Other liabilities | (12,846) | 16,565 |
| Tenant leasing costs | (29,627) | (35,911) |
| Total adjustments | 89,294 | 126,520 |
| Net cash provided by operating activities | 197,595 | 234,010 |
| Cash flows from investing activities: | ||
| Construction in progress | (181,636) | (119,682) |
| Building and other capital improvements | (32,087) | (39,100) |
| Tenant improvements | (53,377) | (67,175) |
| Acquisition of real estate (net of cash received upon consolidation) | 6,086 | — |
| Capital contributions to unconsolidated joint ventures | (26,457) | (60,745) |
| Investment in non-real estate investments | — | (733) |
| Issuance of note receivables (including related party) | (573) | — |
| Investments in securities, net | 1,425 | 1,843 |
| Net cash used in investing activities | (286,619) | (285,592) |
| Cash flows from financing activities: | ||
| Repayments of mortgage notes payable | (804) | — |
| Repayment / redemption of unsecured senior notes | (700,000) | — |
| Borrowings on unsecured term loan | — | 1,200,000 |
| Payments on finance lease obligations | (3,160) | — |
| Repayment of unsecured term loan | — | (730,000) |
| Deferred financing costs | (108) | (6,213) |
| Net activity from equity transactions | (2,136) | 586 |
| BOSTON PROPERTIES LIMITED PARTNERSHIPCONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited and in thousands) | ||
|---|---|---|
| Three months ended March 31, | ||
| 2024 | 2023 | |
| Distributions | (171,794) | (171,270) |
| Proceeds from sale of interest in property partnerships and contributions from noncontrolling interests in property partnerships | 141,118 | 7,555 |
| Distributions to noncontrolling interests in property partnerships | (20,025) | (21,606) |
| Net cash provided by (used in) financing activities | (756,909) | 279,052 |
| Net increase (decrease) in cash and cash equivalents and cash held in escrows | (845,933) | 227,470 |
| Cash and cash equivalents and cash held in escrows, beginning of period | 1,612,567 | 736,812 |
| Cash and cash equivalents and cash held in escrows, end of period | $766,634 | $964,282 |
| Reconciliation of cash and cash equivalents and cash held in escrows: | ||
| Cash and cash equivalents, beginning of period | $1,531,477 | $690,333 |
| Cash held in escrows, beginning of period | 81,090 | 46,479 |
| Cash and cash equivalents and cash held in escrows, beginning of period | $1,612,567 | $736,812 |
| Cash and cash equivalents, end of period | $701,695 | $918,952 |
| Cash held in escrows, end of period | 64,939 | 45,330 |
| Cash and cash equivalents and cash held in escrows, end of period | $766,634 | $964,282 |
| Supplemental disclosures: | ||
| Cash paid for interest | $180,717 | $125,698 |
| Interest capitalized | $9,381 | $10,589 |
| Non-cash investing and financing activities: | ||
| Write-off of fully depreciated real estate | $(27,993) | $(55,142) |
| Change in real estate included in accounts payable and accrued expenses | $(48,518) | $11,692 |
| Right of use assets obtained in exchange for lease liabilities - operating lease | $25,637 | $— |
| Non-cash distributions to noncontrolling interests in property, net | $52,786 | $— |
| Capitalized operating lease costs | $7,548 | $— |
| Investment in unconsolidated joint ventures eliminated upon consolidation | $(11,834) | $— |
| Mortgage notes payable recorded upon consolidation | $207,093 | $— |
| Real estate and intangibles recorded upon consolidation | $(220,015) | $— |
| Distributions declared but not paid | $172,154 | $171,427 |
| Conversions of redeemable partnership units to partners’ capital | $1,303 | $195 |
| Issuance of restricted securities to employees and non-employee directors | $41,989 | $46,516 |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.