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 Exhibit 99.2

 


Disclaimers

 

 

 

Forward-looking Statement

We make statements in this Supplemental Information Package that are considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and are including this statement in this Supplemental Information Package for purposes of complying with those safe harbor provisions.  These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made.  Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation: risks associated with our dependence on the U.S. Government and its agencies for substantially all of our revenues; risks associated with ownership and development of real estate; the risk of decreased rental rates or increased vacancy rates; loss of key personnel; the continuing adverse impact of the novel coronavirus (COVID-19) on the U.S., regional and global economies and the financial condition and results of operations of the Company; general volatility of the capital and credit markets and the market price of our common stock; the risk we may lose one or more major tenants; difficulties in completing and successfully integrating acquisitions; failure of acquisitions or development projects to occur at anticipated levels or to yield anticipated results; risks associated with our joint venture activities; risks associated with actual or threatened terrorist attacks; intense competition in the real estate market that may limit our ability to attract or retain tenants or re-lease space; insufficient amounts of insurance or exposure to events that are either uninsured or underinsured; uncertainties and risks related to adverse weather conditions, natural disasters and climate change; exposure to liability relating to environmental and health and safety matters; limited ability to dispose of assets because of the relative illiquidity of real estate investments and the nature of our assets; exposure to litigation or other claims; risks associated with breaches of our data security; risks associated with our indebtedness; and other risks and uncertainties detailed in the “Risk Factors” section of our Form 10-K for the year ended December 31, 2021, filed with the Securities and Exchange Commission, or the SEC, on February 28, 2022, in the “Risk Factors” section of our Form 10-Q for the quarter ended June 30, 2022, to be filed with the SEC on or about August 2, 2022 and the factors included under the heading “Risk Factors” in our other public filings. In addition, our qualification as a real estate investment trust involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, or the Code, and depends on our ability to meet the various requirements imposed by the Code through actual operating results, distribution levels and diversity of stock ownership. We assume no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

Ratings

Ratings are not recommendations to buy, sell or hold the Company’s securities.

The following discussion related to the consolidated financial statements of the Company should be read in conjunction with the financial statements for the quarter ended June 30, 2022 that will be released in our Form 10-Q to be filed with the SEC on or about August 2, 2022.

 

2


Supplemental Definitions

 

 

 

This section contains definitions of certain non-GAAP financial measures and other terms that the Company uses in this Supplemental Information Package and, where applicable, the reasons why management believes these non-GAAP financial measures provide useful information to investors about the Company’s financial condition and results of operations and the other purposes for which management uses the measures. These measures should not be considered in isolation or as a substitute for measures of performance in accordance with GAAP. Additional detail can be found in the Company’s most recent quarterly report on Form 10-Q and the Company’s most recent annual report on Form 10-K, as well as other documents filed with or furnished to the SEC from time to time. We present certain financial information and metrics “at Easterly’s Share,” which is calculated on an entity-by-entity basis. “At Easterly’s Share” information, which we also refer to as being “at share,” “pro rata,” “our pro rata share” or “our share” is not, and is not intended to be, a presentation in accordance with GAAP.

 

Annualized lease income is defined as the annualized contractual base rent for the last month in a specified period, plus the annualized straight-line rent adjustments for the last month in such period and the annualized net expense reimbursements earned by us for the last month in such period.

Cash Available for Distribution (CAD) is a non-GAAP financial measure that is not intended to represent cash flow for the period and is not indicative of cash flow provided by operating activities as determined under GAAP. CAD is calculated in accordance with the current Nareit definition as FFO minus normalized recurring real estate-related expenditures and other non-cash items, nonrecurring expenditures and the unconsolidated real estate venture’s allocated share of these adjustments. CAD is presented solely as a supplemental disclosure because the Company believes it provides useful information regarding the Company’s ability to fund its dividends. Because all companies do not calculate CAD the same way, the presentation of CAD may not be comparable to similarly titled measures of other companies.

Cash fixed charge coverage ratio is calculated as EBITDA divided by the sum of principal amortization and interest expense, excluding amortization of premiums / discounts and deferred financing fees, for the most recent quarter.

Cash interest coverage ratio is calculated as EBITDA divided by interest expense, excluding amortization of premiums / discounts and deferred financing fees, for the most recent quarter.

EBITDA is calculated as the sum of net income (loss) before interest expense, taxes, depreciation and amortization, (gain) loss on the sale of operating properties, and the unconsolidated real estate venture’s allocated share of these adjustments. EBITDA is not intended to represent cash flow for the period, is not presented as an alternative to operating income as an indicator of operating performance, should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP, is not indicative of operating income or cash provided by operating activities as determined under GAAP and may be presented on a pro forma basis. EBITDA is presented solely as a supplemental disclosure with respect to liquidity because the Company believes it provides useful information regarding the Company's ability to service or incur debt. Because all companies do not calculate EBITDA the same way, the presentation of EBITDA may not be comparable to similarly titled measures of other companies.

Fully diluted basis assumes the exchange of all outstanding common units representing limited partnership interests in the Company’s operating partnership, or common units, the full vesting of all shares of restricted stock, and the exchange of all earned and vested LTIP units in the Company’s operating partnership for shares of common stock on a one-for-one basis, which is not the same as the meaning of “fully diluted” under GAAP.

Funds From Operations (FFO) is defined, in accordance with the Nareit FFO White Paper - 2018 Restatement, as net income (loss), calculated in accordance with GAAP, excluding depreciation and amortization related to real estate, gains and losses from the sale of certain real estate assets, gains and losses from change in control and impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. FFO includes the Company’s share of FFO generated by unconsolidated affiliates. FFO

3


Supplemental Definitions

 

 

is a widely recognized measure of REIT performance. Although FFO is a non-GAAP financial measure, the Company believes that information regarding FFO is helpful to shareholders and potential investors.

Funds From Operations, as Adjusted (FFO, as Adjusted) adjusts FFO to present an alternative measure of our operating performance, which, when applicable, excludes the impact of acquisition costs, straight-line rent, amortization of above-/below-market leases, amortization of deferred revenue (which results from landlord assets funded by tenants), non-cash interest expense, non-cash compensation, depreciation of non-real estate assets, other non-cash items, and the unconsolidated real estate venture’s allocated share of these adjustments. By excluding these income and expense items from FFO, as Adjusted, the Company believes it provides useful information as these items have no cash impact. In addition, by excluding acquisition related costs the Company believes FFO, as Adjusted provides useful information that is comparable across periods and more accurately reflects the operating performance of the Company’s properties. Certain prior year amounts have been updated to conform to the current year FFO, as Adjusted definition.

Net Operating Income (NOI) and Cash NOI. NOI is calculated as net income adjusted to exclude depreciation and amortization, acquisition costs, corporate general and administrative costs, interest expense, gains or losses from sales of property, and the unconsolidated real estate venture’s allocated share of these adjustments. Cash NOI excludes from NOI straight-line rent, amortization of above-/below-market leases, amortization of deferred revenue (which results from landlord assets funded by tenants), and the unconsolidated real estate venture’s allocated share of these adjustments. NOI and Cash NOI presented by the Company may not be comparable to NOI and Cash NOI reported by other REITs that define NOI and Cash NOI differently. The Company believes that NOI and Cash NOI provide investors with useful measures of the operating performance of our properties. NOI and Cash NOI should not be considered an alternative to net income as an indication of our performance or to cash flows as a measure of the Company's liquidity or its ability to make distributions. Certain prior year amounts have been updated to conform to the current year Cash NOI definition.

Net Debt and Adjusted Net Debt. Net Debt represents our consolidated debt and our share of unconsolidated debt adjusted to exclude our share of unamortized premiums and discounts and deferred financing fees, less our share of cash and cash equivalents and property acquisition closing escrow, net of deposit. By excluding these items, the result provides an estimate of the contractual amount of borrowed capital to be repaid, net of cash available to repay it. The Company believes this calculation constitutes a beneficial supplemental non-GAAP financial disclosure to investors in understanding its financial condition. Adjusted Net Debt is Net Debt reduced by 1) for each project under construction or in design, the lesser of i) outstanding lump-sum reimbursement amounts and ii) the cost to date, 2) 40% times the amount by which the cost to date exceeds total lump-sum reimbursement amounts for each project under construction or in design and 3) outstanding lump-sum reimbursement amounts for projects previously completed. These adjustments are made to 1) remove the estimated portion of each project under construction, in design or previously completed that has been financed with debt which may be repaid with outstanding cost reimbursement payments from the US Government and 2) remove the estimated portion of each project under construction or in design, in excess of total lump-sum reimbursements, that has been financed with debt but has not yet produced earnings. See page 22 for further information. The Company’s method of calculating Net Debt and Adjusted Net Debt may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs.

 

 

 

 

 

 

4


Table of Contents

 

 

 

 

 

Overview

 

 

 

 

 

Corporate Information and Analyst Coverage

 

6

 

 

 

Executive Summary

 

7

 

 

 

Corporate Financials

 

 

 

 

 

Balance Sheets

 

8

 

 

 

Income Statements

 

9

 

 

 

Net Operating Income

 

10

 

 

 

EBITDA, FFO and CAD

 

11

 

 

 

Unconsolidated Real Estate Venture

 

12

 

 

 

Debt

 

 

 

 

 

Debt Schedules

 

14

 

 

 

Debt Maturities

 

15

 

 

 

Properties

 

 

 

 

 

Leased Operating Property Overview

 

16

 

 

 

Tenants

 

20

 

 

 

Lease Expirations

 

22

 

 

 

Summary of Re/Development Projects

 

23

 

 

 

 

 

5


Corporate Information and Analyst Coverage

 

 

 

 

Corporate Information

 

 

 

 

Corporate Headquarters

Stock Exchange Listing

Information Requests

Investor Relations

2001 K Street NW

New York Stock Exchange

Please contact ir@easterlyreit.com

Lindsay Winterhalter,

Suite 775 North

 

or 202-596-3947 to request an

Supervisory VP,

Washington, DC 20006

Ticker

Investor Relations package

Investor Relations

202-595-9500

DEA

 

& Operations

 

Executive Team

 

Board of Directors

 

William Trimble III, CEO

Darrell Crate, Chairman

William Binnie, Lead Independent Director

Emil Henry Jr.

Michael Ibe, Vice-Chairman and EVP

Meghan Baivier, CFO & COO

Darrell Crate

Michael Ibe

Mark Bauer, EVP

Ronald Kendall, EVP

Cynthia Fisher

Tara Innes

Andrew Pulliam, EVP

Allison Marino, CAO

Scott Freeman

William Trimble III

 

 

Equity Research Coverage

 

 

 

 

 

Citigroup

Raymond James & Associates

RBC Capital Markets

Michael Bilerman / Michael A. Griffin

Bill Crow

Michael Carroll

212-816-1383 / 212-816-5871

727-567-2594

440-715-2649

 

 

 

Jefferies

Truist Securities

Compass Point Research & Trading, LLC

Jonathan Petersen / Peter Abramowitz

Michael R. Lewis

Merrill Ross

212-284-1705 / 212-336-7241

212-319-5659

202-534-1392

 

 

 

BMO Capital Markets

 

 

John P. Kim

 

 

212-885-4115

 

 

 

Any opinions, estimates, forecasts or predictions regarding Easterly Government Properties, Inc.’s performance made by these analysts are theirs alone and do not represent opinions, estimates, forecasts or predictions of Easterly Government Properties, Inc. or its management. Easterly Government Properties, Inc. does not by its reference above or distribution imply its endorsement of or concurrence with such opinions, estimates, forecasts or predictions.

 

 

6


Executive Summary

(In thousands, except share and per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Outstanding Classes of Stock and Partnership Units - Fully Diluted Basis

 

At June 30, 2022

 

 

Earnings

 

 

Three months ended

June 30, 2022

 

 

Three months ended

June 30, 2021

 

Common shares

 

 

90,772,706

 

 

Net income available to Easterly Government Properties, Inc.

 

$

7,197

 

 

$

8,201

 

Unvested restricted shares

 

 

43,916

 

 

Net income available to Easterly Government Properties, Inc.

 

 

 

 

 

 

 

 

Common partnership and vested LTIP units

 

 

12,032,018

 

 

per share:

 

 

 

 

 

 

 

 

 

Total - fully diluted basis

 

 

102,848,640

 

 

Basic

 

 

$

0.08

 

 

$

0.10

 

 

 

 

 

 

 

Diluted

 

 

$

0.08

 

 

$

0.10

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Market Capitalization

 

At June 30, 2022

 

 

Net income

 

 

$

8,130

 

 

$

9,254

 

Price of Common Shares

 

$

19.04

 

 

Net income, per share - fully diluted basis

 

 

$

0.08

 

 

$

0.10

 

Total equity market capitalization - fully diluted basis

 

$

1,958,238

 

 

Funds From Operations (FFO)

 

 

$

33,353

 

 

$

31,226

 

Net Debt

 

 

1,333,163

 

 

FFO, per share - fully diluted basis

 

 

$

0.33

 

 

$

0.33

 

Total enterprise value

 

$

3,291,401

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FFO, as Adjusted

 

 

$

33,661

 

 

$

29,182

 

 

 

 

 

 

 

FFO, as Adjusted, per share - fully diluted basis

 

 

$

0.33

 

 

$

0.31

 

Ratios

 

At June 30, 2022

 

 

 

 

 

 

 

 

 

 

 

 

Net debt to total enterprise value

 

 

40.5

%

 

Cash Available for Distribution (CAD)

 

 

$

29,548

 

 

$

23,226

 

Net debt to annualized quarterly EBITDA

 

 

7.4

x

 

 

 

 

 

 

 

 

 

 

 

Adjusted Net Debt to annualized quarterly pro forma EBITDA

 

 

7.2

x

 

Liquidity

 

 

 

 

 

 

At June 30, 2022

 

Cash interest coverage ratio

 

 

4.0

x

 

Cash and cash equivalents

 

 

 

 

 

 

$

8,418

 

Cash fixed charge coverage ratio

 

 

3.6

x

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available under $450 million senior unsecured revolving credit facility(1)

 

 

$

307,125

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)Revolving credit facility has an accordion feature that provides additional capacity, subject to the satisfaction of customary terms and conditions, of up to $250 million, for a total revolving credit facility size of not more than $700 million.

 

7


Balance Sheets

(Unaudited, in thousands, except share amounts)

 

 

 

 

 

 

June 30, 2022

 

 

December 31, 2021

 

Assets

 

 

 

 

 

 

 

 

Real estate properties, net

 

$

2,464,280

 

 

$

2,399,188

 

Cash and cash equivalents

 

 

8,259

 

 

 

11,132

 

Restricted cash

 

 

9,785

 

 

 

9,011

 

Tenant accounts receivable

 

 

57,120

 

 

 

58,733

 

Investment in unconsolidated real estate venture

 

 

182,343

 

 

 

131,840

 

Intangible assets, net

 

 

183,088

 

 

 

186,307

 

Interest rate swaps

 

 

2,710

 

 

 

-

 

Prepaid expenses and other assets

 

 

33,465

 

 

 

29,901

 

Total assets

 

$

2,941,050

 

 

$

2,826,112

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

Revolving credit facility

 

 

142,750

 

 

 

14,500

 

Term loan facilities, net

 

 

248,779

 

 

 

248,579

 

Notes payable, net

 

 

695,819

 

 

 

695,589

 

Mortgage notes payable, net

 

 

249,450

 

 

 

252,421

 

Intangible liabilities, net

 

 

20,257

 

 

 

19,718

 

Deferred revenue

 

 

85,756

 

 

 

87,134

 

Interest rate swaps

 

 

-

 

 

 

5,700

 

Accounts payable, accrued expenses and other liabilities

 

 

56,244

 

 

 

60,890

 

Total liabilities

 

 

1,499,055

 

 

 

1,384,531

 

 

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

Common stock, par value $0.01, 200,000,000 shares authorized,

 

 

 

 

 

 

 

 

90,816,622 and 90,147,868 shares issued and outstanding at

June 30, 2022 and December 31, 2021, respectively.

 

 

908

 

 

 

901

 

Additional paid-in capital

 

 

1,621,288

 

 

 

1,604,712

 

Retained earnings

 

 

76,561

 

 

 

62,023

 

Cumulative dividends

 

 

(427,851

)

 

 

(379,895

)

Accumulated other comprehensive income (loss)

 

 

2,393

 

 

 

(5,072

)

Total stockholders' equity

 

 

1,273,299

 

 

 

1,282,669

 

Non-controlling interest in Operating Partnership

 

 

168,696

 

 

 

158,912

 

Total equity

 

 

1,441,995

 

 

 

1,441,581

 

Total liabilities and equity

 

$

2,941,050

 

 

$

2,826,112

 

 

 

8


Income Statements

(Unaudited, in thousands, except share and per share amounts)

 

 

 

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30, 2022

 

 

June 30, 2021

 

 

June 30, 2022

 

 

June 30, 2021

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rental income

 

$

71,156

 

 

$

66,095

 

 

$

141,595

 

 

$

130,274

 

Tenant reimbursements

 

 

916

 

 

 

1,899

 

 

 

2,060

 

 

 

2,219

 

Asset management income

 

 

317

 

 

 

-

 

 

 

565

 

 

 

-

 

Other income

 

 

368

 

 

 

620

 

 

 

839

 

 

 

1,122

 

Total revenues

 

 

72,757

 

 

 

68,614

 

 

 

145,059

 

 

 

133,615

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Property operating

 

 

15,551

 

 

 

14,296

 

 

 

31,009

 

 

 

26,390

 

Real estate taxes

 

 

7,851

 

 

 

7,553

 

 

 

15,677

 

 

 

14,839

 

Depreciation and amortization

 

 

24,343

 

 

 

22,525

 

 

 

48,502

 

 

 

44,850

 

Acquisition costs

 

 

302

 

 

 

483

 

 

 

664

 

 

 

970

 

Corporate general and administrative

 

 

5,966

 

 

 

5,768

 

 

 

11,949

 

 

 

11,576

 

Total expenses

 

 

54,013

 

 

 

50,625

 

 

 

107,801

 

 

 

98,625

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from unconsolidated real estate venture

 

 

825

 

 

 

-

 

 

 

1,456

 

 

 

-

 

Interest expense, net

 

 

(11,439

)

 

 

(9,265

)

 

 

(22,321

)

 

 

(18,386

)

Gain on sale of operating property

 

 

-

 

 

 

530

 

 

 

-

 

 

 

530

 

Net income

 

 

8,130

 

 

 

9,254

 

 

 

16,393

 

 

 

17,134

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-controlling interest in Operating Partnership

 

 

(933

)

 

 

(1,053

)

 

 

(1,855

)

 

 

(1,942

)

Net income available to Easterly Government

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Properties, Inc.

 

$

7,197

 

 

$

8,201

 

 

$

14,538

 

 

$

15,192

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to Easterly Government

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Properties, Inc. per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.08

 

 

$

0.10

 

 

$

0.16

 

 

$

0.18

 

Diluted

 

$

0.08

 

 

$

0.10

 

 

$

0.16

 

 

$

0.18

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average common shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

90,751,351

 

 

 

83,817,680

 

 

 

90,452,594

 

 

 

82,973,705

 

Diluted

 

 

91,083,980

 

 

 

84,247,285

 

 

 

90,799,647

 

 

 

83,398,931

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income, per share - fully diluted basis

 

$

0.08

 

 

$

0.10

 

 

$

0.16

 

 

$

0.18

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

fully diluted basis

 

 

102,545,589

 

 

 

94,664,559

 

 

 

102,044,603

 

 

 

93,662,392

 

 

 

 

 

9


Net Operating Income

(Unaudited, in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

 

June 30, 2022

 

 

June 30, 2021

 

 

June 30, 2022

 

 

June 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

8,130

 

 

$

9,254

 

 

$

16,393

 

 

$

17,134

 

 

Depreciation and amortization

 

 

24,343

 

 

 

22,525

 

 

 

48,502

 

 

 

44,850

 

 

Acquisition costs

 

 

302

 

 

 

483

 

 

 

664

 

 

 

970

 

 

Corporate general and administrative

 

 

5,966

 

 

 

5,768

 

 

 

11,949

 

 

 

11,576

 

 

Interest expense

 

 

11,439

 

 

 

9,265

 

 

 

22,321

 

 

 

18,386

 

 

Gain on sale of operating property

 

 

-

 

 

 

(530

)

 

 

-

 

 

 

(530

)

 

Unconsolidated real estate venture allocated share of above adjustments

 

 

1,191

 

 

 

-

 

 

 

2,107

 

 

 

-

 

 

Net Operating Income

 

 

51,371

 

 

 

46,765

 

 

 

101,936

 

 

 

92,386

 

 

Adjustments to Net Operating Income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Straight-line rent and other non-cash adjustments

 

 

411

 

 

 

(1,406

)

 

 

(598

)

 

 

(2,799

)

 

Amortization of above-/below-market leases

 

 

(743

)

 

 

(1,225

)

 

 

(1,604

)

 

 

(2,511

)

 

Amortization of deferred revenue

 

 

(1,443

)

 

 

(1,398

)

 

 

(2,841

)

 

 

(2,819

)

 

Unconsolidated real estate venture allocated share of above adjustments

 

 

(416

)

 

 

-

 

 

 

(754

)

 

 

-

 

 

Cash Net Operating Income

 

$

49,180

 

 

$

42,736

 

 

$

96,139

 

 

$

84,257

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

10


EBITDA, FFO and CAD

(Unaudited, in thousands, except share and per share amounts)

 

 

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30, 2022

 

 

June 30, 2021

 

 

June 30, 2022

 

 

June 30, 2021

 

Net income

 

$

8,130

 

 

$

9,254

 

 

$

16,393

 

 

$

17,134

 

Depreciation and amortization

 

 

24,343

 

 

 

22,525

 

 

 

48,502

 

 

 

44,850

 

Interest expense

 

 

11,439

 

 

 

9,265

 

 

 

22,321

 

 

 

18,386

 

Tax expense

 

 

174

 

 

 

177

 

 

 

225

 

 

 

311

 

Gain on sale of operating property

 

 

-

 

 

 

(530

)

 

 

-

 

 

 

(530

)

Unconsolidated real estate venture allocated share of above adjustments

 

 

1,181

 

 

 

-

 

 

 

2,109

 

 

 

-

 

EBITDA

 

$

45,267

 

 

$

40,691

 

 

$

89,550

 

 

$

80,151

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro forma adjustments(1)

 

 

910

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro forma EBITDA

 

$

46,177

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

8,130

 

 

$

9,254

 

 

$

16,393

 

 

$

17,134

 

Depreciation of real estate assets

 

 

24,096

 

 

 

22,502

 

 

 

48,008

 

 

 

44,820

 

Gain on sale of operating property

 

 

-

 

 

 

(530

)

 

 

-

 

 

 

(530

)

Unconsolidated real estate venture allocated share of above adjustments

 

 

1,127

 

 

 

-

 

 

 

2,005

 

 

 

-

 

FFO

 

$

33,353

 

 

$

31,226

 

 

$

66,406

 

 

$

61,424

 

Adjustments to FFO:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Acquisition costs

 

 

302

 

 

 

483

 

 

 

664

 

 

 

970

 

Straight-line rent and other non-cash adjustments

 

 

451

 

 

 

(1,324

)

 

 

(531

)

 

 

(2,737

)

Amortization of above-/below-market leases

 

 

(743

)

 

 

(1,225

)

 

 

(1,604

)

 

 

(2,511

)

Amortization of deferred revenue

 

 

(1,443

)

 

 

(1,398

)

 

 

(2,841

)

 

 

(2,819

)

Non-cash interest expense

 

 

235

 

 

 

364

 

 

 

460

 

 

 

727

 

Non-cash compensation

 

 

1,637

 

 

 

1,033

 

 

 

3,266

 

 

 

2,367

 

Depreciation of non-real estate assets

 

 

247

 

 

 

23

 

 

 

494

 

 

 

30

 

Unconsolidated real estate venture allocated share of above adjustments

 

 

(378

)

 

 

-

 

 

 

(677

)

 

 

-

 

FFO, as Adjusted

 

$

33,661

 

 

$

29,182

 

 

$

65,637

 

 

$

57,451

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FFO, per share - fully diluted basis

 

$

0.33

 

 

$

0.33

 

 

$

0.65

 

 

$

0.66

 

FFO, as Adjusted, per share - fully diluted basis

 

$

0.33

 

 

$

0.31

 

 

$

0.64

 

 

$

0.61

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FFO, as Adjusted

 

$

33,661

 

 

$

29,182

 

 

$

65,637

 

 

$

57,451

 

Acquisition costs

 

 

(302

)

 

 

(483

)

 

 

(664

)

 

 

(970

)

Principal amortization

 

 

(1,328

)

 

 

(946

)

 

 

(2,628

)

 

 

(1,886

)

Maintenance capital expenditures

 

 

(1,972

)

 

 

(3,762

)

 

 

(2,906

)

 

 

(5,012

)

Contractual tenant improvements

 

 

(511

)

 

 

(765

)

 

 

(1,128

)

 

 

(1,927

)

Unconsolidated real estate venture allocated share of above adjustments

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Cash Available for Distribution (CAD)

 

$

29,548

 

 

$

23,226

 

 

$

58,311

 

 

$

47,656

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding - fully diluted basis

 

 

102,545,589

 

 

 

94,664,559

 

 

 

102,044,603

 

 

 

93,662,392

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)Pro forma assuming a full quarter of operations from the four properties acquired in the second quarter of 2022.

11


Unconsolidated Real Estate Venture

(Unaudited, in thousands)

 

 

 

Balance Sheet Information

Balance Sheet

 

 

Easterly's Share(2)

 

 

June 30, 2022

 

 

June 30, 2022

 

Real estate properties - net

$

284,552

 

 

$

150,813

 

Total assets

 

350,902

 

 

 

185,978

 

Total liabilities

 

7,490

 

 

 

3,970

 

Total preferred stockholders' equity

 

75

 

 

 

40

 

Total common stockholders' equity

 

343,337

 

 

 

181,968

 

Basis difference(1)

 

-

 

 

 

375

 

Total equity

$

343,412

 

 

$

182,343

 

(1)This amount represents the aggregate difference between the Company’s historical cost basis and basis reflected at the joint venture level.

(2)We own 53.0% of the properties through the unconsolidated joint venture.

12


Unconsolidated Real Estate Venture

(Unaudited, in thousands)

 

 

 

 

Income Statement Information

Three Months Ended

 

 

Easterly's Share(1)

 

 

Six Months Ended

 

 

Easterly's Share(1)

 

 

June 30, 2022

 

 

June 30, 2022

 

 

June 30, 2022

 

 

June 30, 2022

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rental income

$

5,965

 

 

$

3,161

 

 

$

10,662

 

 

$

5,651

 

Other income

 

-

 

 

 

-

 

 

 

1

 

 

 

1

 

Total Revenues

 

5,965

 

 

 

3,161

 

 

 

10,663

 

 

 

5,652

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Property operating

 

956

 

 

 

505

 

 

 

1,667

 

 

 

883

 

Real estate taxes

 

890

 

 

 

472

 

 

 

1,711

 

 

 

907

 

Depreciation and amortization

 

2,158

 

 

 

1,144

 

 

 

3,845

 

 

 

2,038

 

Asset management fees

 

317

 

 

 

168

 

 

 

565

 

 

 

299

 

Corporate general and administrative

 

47

 

 

 

25

 

 

 

47

 

 

 

25

 

Total expenses

 

4,368

 

 

 

2,314

 

 

 

7,835

 

 

 

4,152

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense - net

 

(41

)

 

 

(22

)

 

 

(82

)

 

 

(44

)

Net income

$

1,556

 

 

$

825

 

 

$

2,746

 

 

$

1,456

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

2,158

 

 

 

1,144

 

 

 

3,845

 

 

 

2,038

 

Interest expense - net

 

41

 

 

 

22

 

 

 

82

 

 

 

44

 

Tax expense

 

29

 

 

 

15

 

 

 

51

 

 

 

27

 

EBITDA

$

3,784

 

 

$

2,006

 

 

$

6,724

 

 

$

3,565

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro forma adjustments(2)

 

409

 

 

 

217

 

 

 

 

 

 

 

 

 

Pro forma EBITDA

$

4,193

 

 

$

2,223

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

$

1,556

 

 

$

825

 

 

$

2,746

 

 

$

1,456

 

Depreciation of real estate assets

 

2,126

 

 

 

1,127

 

 

 

3,783

 

 

 

2,005

 

FFO

$

3,682

 

 

$

1,952

 

 

$

6,529

 

 

$

3,461

 

Adjustments to FFO:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Straight-line rent and other non-cash adjustments

 

(785

)

 

 

(416

)

 

 

(1,422

)

 

 

(754

)

Non-cash interest expense

 

41

 

 

 

22

 

 

 

82

 

 

 

44

 

Depreciation of non-real estate assets

 

32

 

 

 

17

 

 

 

62

 

 

 

33

 

FFO, as Adjusted

$

2,970

 

 

$

1,575

 

 

$

5,251

 

 

$

2,784

 

Cash Available for Distribution (CAD)

$

2,970

 

 

$

1,575

 

 

$

5,251

 

 

$

2,784

 

(1)We own 53.0% of the properties through the unconsolidated joint venture.

(2)Pro forma assuming a full quarter of operations from the two unconsolidated joint venture properties acquired in the second quarter of 2022.

13


Debt Schedules

(Unaudited, in thousands)

 

 

 

Debt Instrument

Maturity Date

 

 

June 30, 2022

Interest Rate

 

June 30, 2022

Balance(1)

 

June 30, 2022

Percent of

Total Indebtedness

 

Unsecured debt

 

 

 

 

 

 

 

 

 

 

 

 

 

Revolving Credit facility

23-Jul-25(2)

 

 

LIBOR + 125bps

 

$

142,750

 

10.6%

 

2016 Term Loan facility

29-Mar-24

 

 

2.67%(3)

 

 

100,000

 

7.5%

 

2018 Term Loan facility

23-Jul-26

 

 

3.91%(4)

 

 

150,000

 

11.2%

 

2017 Series A Senior Notes

25-May-27

 

 

4.05%

 

 

95,000

 

7.1%

 

2017 Series B Senior Notes

25-May-29

 

 

4.15%

 

 

50,000

 

3.7%

 

2017 Series C Senior Notes

25-May-32

 

 

4.30%

 

 

30,000

 

2.2%

 

2019 Series A Senior Notes

12-Sep-29

 

 

3.73%

 

 

85,000

 

6.3%

 

2019 Series B Senior Notes

12-Sep-31

 

 

3.83%

 

 

100,000

 

7.5%

 

2019 Series C Senior Notes

12-Sep-34

 

 

3.98%

 

 

90,000

 

6.7%

 

2021 Series A Senior Notes

14-Oct-28

 

 

2.62%

 

 

50,000

 

3.7%

 

2021 Series B Senior Notes

14-Oct-30

 

 

2.89%

 

 

200,000

 

14.9%

 

Total unsecured debt

6.3 years

 

 

3.40%

 

$

1,092,750

 

81.4%

 

 

(wtd-avg maturity)

 

 

(wtd-avg rate)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured mortgage debt

 

 

 

 

 

 

 

 

 

 

 

 

 

DEA - Pleasanton

18-Oct-23

 

 

LIBOR + 150bps

 

$

15,700

 

1.2%

 

VA - Golden

1-Apr-24

 

 

5.00%

 

 

8,723

 

0.7%

 

MEPCOM - Jacksonville

14-Oct-25

 

 

4.41%

 

 

6,163

 

0.5%

 

USFS II - Albuquerque

14-Jul-26

 

 

4.46%

 

 

14,306

 

1.1%

 

ICE - Charleston

15-Jan-27

 

 

4.21%

 

 

14,140

 

1.1%

 

VA - Loma Linda

6-Jul-27

 

 

3.59%

 

 

127,500

 

9.5%

 

CBP - Savannah

10-Jul-33

 

 

3.40%

 

 

10,799

 

0.8%

 

USCIS - Kansas City

6-Aug-24

 

 

3.68%

 

 

51,500

 

3.7%

 

Total secured mortgage debt

4.2 years

 

 

3.69%

 

$

248,831

 

18.6%

 

 

(wtd-avg maturity)

 

 

(wtd-avg rate)

 

 

 

 

 

 

 

Debt Statistics

June 30, 2022

 

 

 

 

 

 

 

 

June 30, 2022

 

Variable rate debt - unhedged

$

158,450

 

 

% Variable rate debt - unhedged

 

 

11.8

%

Fixed rate debt

 

1,183,131

 

 

% Fixed rate debt

 

 

88.2

%

Total Debt(1)

$

1,341,581

 

 

 

 

 

 

 

 

 

 

 

Less: cash and cash equivalents

 

(8,418

)

 

Weighted average maturity

 

 

6.0

years

Net Debt

$

1,333,163

 

 

Weighted average interest rate

 

 

3.5

%

Less: adjustment for development projects(5)

 

(12,387

)

 

 

 

 

 

 

 

 

 

 

Adjusted Net Debt

$

1,320,776

 

 

 

 

 

 

 

 

 

 

 

(1)Excludes unamortized premiums / discounts and deferred financing fees.

(2)Revolving credit facility has two six-month as-of-right extension options, subject to certain conditions and the payment of an extension fee.

(3)Calculated based on two interest rate swaps with an aggregate notional value of $100.0 million, which effectively fix the interest rate at 2.67% annually based on the Company’s current consolidated leverage ratio.

(4)Calculated based on four interest rate swaps with an aggregate notional value of $150.0 million, which effectively fix the interest rate at 3.91% annually based on the Company’s current consolidated leverage ratio. The four interest rate swaps mature on June 19, 2023, which is not coterminous with the maturity date of 2018 term loan facility.

(5)See definition of Adjusted Net Debt on Page 4.

14


Debt Maturities

(Unaudited, in thousands)

 

 

 

 

 

 

Secured Debt

 

 

Unsecured Debt

 

 

 

 

 

 

 

 

 

 

 

 

 

Year

 

Scheduled

Amortization

 

 

Scheduled

Maturities

 

 

Scheduled

Maturities

 

 

Total

 

 

Percentage of

Debt Maturing

 

 

Weighted Average

Interest Rate of

Scheduled Maturities

 

2022

 

$

2,670

 

 

$

-

 

 

$

-

 

 

$

2,670

 

 

 

0.2

%

 

 

-

 

2023

 

 

5,585

 

 

 

15,700

 

 

 

-

 

 

 

21,285

 

 

 

1.6

%

 

 

2.56

%

2024

 

 

5,731

 

 

 

59,895

 

 

 

100,000

 

 

 

165,626

 

 

 

12.4

%

 

 

3.12

%

2025

 

 

5,633

 

 

 

1,917

 

 

 

142,750

 

 

 

150,300

 

 

 

11.2

%

 

 

2.71

%

2026

 

 

3,686

 

 

 

6,368

 

 

 

150,000

 

 

 

160,054

 

 

 

11.9

%

 

 

3.96

%

2027

 

 

1,093

 

 

 

134,640

 

 

 

95,000

 

 

 

230,733

 

 

 

17.2

%

 

 

3.81

%

2028

 

 

983

 

 

 

-

 

 

 

50,000

 

 

 

50,983

 

 

 

3.8

%

 

 

2.62

%

2029

 

 

1,016

 

 

 

-

 

 

 

135,000

 

 

 

136,016

 

 

 

10.1

%

 

 

3.89

%

2030

 

 

1,049

 

 

 

-

 

 

 

200,000

 

 

 

201,049

 

 

 

15.0

%

 

 

2.89

%

2031

 

 

1,081

 

 

 

-

 

 

 

100,000

 

 

 

101,081

 

 

 

7.5

%

 

 

3.83

%

2032

 

 

1,116

 

 

 

-

 

 

 

30,000

 

 

 

31,116

 

 

 

2.3

%

 

 

4.30

%

2033

 

 

668

 

 

 

-

 

 

 

-

 

 

 

668

 

 

 

0.1

%

 

 

-

 

2034

 

 

-

 

 

 

-

 

 

 

90,000

 

 

 

90,000

 

 

 

6.7

%

 

 

3.98

%

Total

 

$

30,311

 

 

$

218,520

 

 

$

1,092,750

 

 

$

1,341,581

 

 

 

100.0

%

 

 

 

 

 

 

 

 

 

15


Leased Operating Property Overview

(As of June 30, 2022, unaudited)

 

 

 

 

 

Property Name

 

Location

 

Property Type

 

Tenant

Lease

Expiration

Year

 

Year Built /

Renovated

 

Leased

Square

Feet

 

 

Annualized

Lease

Income

 

 

Percentage

of Total

Annualized

Lease

Income

 

 

Annualized

Lease

Income per

Leased

Square Foot

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wholly Owned U.S. Government Leased Properties

 

VA - Loma Linda

 

Loma Linda, CA

 

Outpatient Clinic

 

2036

 

2016

 

 

327,614

 

 

$

16,475,732

 

 

 

5.4

%

 

$

50.29

 

USCIS - Kansas City

 

Lee's Summit, MO

 

Office/Warehouse

 

2042(1)

 

1969 / 1999

 

 

489,316

 

 

 

11,604,014

 

 

 

3.8

%

 

 

23.71

 

JSC - Suffolk

 

Suffolk, VA

 

Office

 

2028(2)

 

1993 / 2004

 

 

403,737

 

 

 

8,310,226

 

 

 

2.7

%

 

 

20.58

 

Various GSA - Buffalo

 

Buffalo, NY

 

Office

 

2036

 

2004

 

 

270,809

 

 

 

7,070,734

 

 

 

2.3

%

 

 

26.11

 

IRS - Fresno

 

Fresno, CA

 

Office

 

2033

 

2003

 

 

180,481

 

 

 

6,957,301

 

 

 

2.3

%

 

 

38.55

 

FBI - Salt Lake

 

Salt Lake City, UT

 

Office

 

2032

 

2012

 

 

169,542

 

 

 

6,890,852

 

 

 

2.2

%

 

 

40.64

 

Various GSA - Chicago

 

Des Plaines, IL

 

Office

 

2023

 

1971 / 1999

 

 

202,185

 

 

 

6,812,395

 

 

 

2.2

%

 

 

33.69

 

Various GSA - Portland

 

Portland, OR

 

Office

 

2025(3)

 

2002

 

 

210,239

 

 

 

6,600,241

 

 

 

2.1

%

 

 

31.39

 

PTO - Arlington

 

Arlington, VA

 

Office

 

2035

 

2009

 

 

190,546

 

 

 

6,059,382

 

 

 

2.0

%

 

 

31.80

 

VA - San Jose

 

San Jose, CA

 

Outpatient Clinic

 

2038

 

2018

 

 

90,085

 

 

 

5,719,264

 

 

 

1.9

%

 

 

63.49

 

EPA - Lenexa

 

Lenexa, KS

 

Office

 

2027(2)

 

2007 / 2012

 

 

169,585

 

 

 

5,603,247

 

 

 

1.8

%

 

 

33.04

 

FBI - San Antonio

 

San Antonio, TX

 

Office

 

2025

 

2007

 

 

148,584

 

 

 

5,189,147

 

 

 

1.7

%

 

 

34.92

 

FBI - Tampa

 

Tampa, FL

 

Office

 

2040

 

2005

 

 

138,000

 

 

 

5,057,412

 

 

 

1.6

%

 

 

36.65

 

FDA - Alameda

 

Alameda, CA

 

Laboratory

 

2039

 

2019

 

 

69,624

 

 

 

4,667,346

 

 

 

1.5

%

 

 

67.04

 

FEMA - Tracy

 

Tracy, CA

 

Warehouse

 

2038

 

2018

 

 

210,373

 

 

 

4,611,775

 

 

 

1.5

%

 

 

21.92

 

FBI - Omaha

 

Omaha, NE

 

Office

 

2024

 

2009

 

 

112,196

 

 

 

4,431,693

 

 

 

1.4

%

 

 

39.50

 

TREAS - Parkersburg

 

Parkersburg, WV

 

Office

 

2041

 

2004 / 2006

 

 

182,500

 

 

 

4,299,472

 

 

 

1.4

%

 

 

23.56

 

EPA - Kansas City

 

Kansas City, KS

 

Laboratory

 

2042

 

2003

 

 

71,979

 

 

 

4,291,659

 

 

 

1.4

%

 

 

59.62

 

FBI / DEA - El Paso

 

El Paso, TX

 

Office/Warehouse

 

2028

 

1998 - 2005

 

 

203,683

 

 

 

4,125,896

 

 

 

1.3

%

 

 

20.26

 

FBI - Pittsburgh

 

Pittsburgh, PA

 

Office

 

2027

 

2001

 

 

100,054

 

 

 

4,059,046

 

 

 

1.3

%

 

 

40.57

 

VA - South Bend

 

Mishakawa, IN

 

Outpatient Clinic

 

2032

 

2017

 

 

86,363

 

 

 

4,000,046

 

 

 

1.3

%

 

 

46.32

 

FDA - Lenexa

 

Lenexa, KS

 

Laboratory

 

2040

 

2020

 

 

59,690

 

 

 

3,966,224

 

 

 

1.3

%

 

 

66.45

 

DOI - Billings

 

Billings, MT

 

Office/Warehouse

 

2033

 

2013

 

 

149,110

 

 

 

3,886,057

 

 

 

1.3

%

 

 

26.06

 

USCIS - Lincoln

 

Lincoln, NE

 

Office

 

2025

 

2005

 

 

137,671

 

 

 

3,879,753

 

 

 

1.3

%

 

 

28.18

 

VA - Mobile

 

Mobile, AL

 

Outpatient Clinic

 

2033

 

2018

 

 

79,212

 

 

 

3,835,525

 

 

 

1.2

%

 

 

48.42

 

FBI - New Orleans

 

New Orleans, LA

 

Office

 

2029(4)

 

1999 / 2006

 

 

137,679

 

 

 

3,667,889

 

 

 

1.2

%

 

 

26.64

 

DOT - Lakewood

 

Lakewood, CO

 

Office

 

2024

 

2004

 

 

122,225

 

 

 

3,638,432

 

 

 

1.2

%

 

 

29.77

 

FBI - Knoxville

 

Knoxville, TN

 

Office

 

2025

 

2010

 

 

99,130

 

 

 

3,504,570

 

 

 

1.1

%

 

 

35.35

 

FBI - Birmingham

 

Birmingham, AL

 

Office

 

2042

 

2005

 

 

96,278

 

 

 

3,433,823

 

 

 

1.1

%

 

 

35.67

 

ICE - Charleston

 

North Charleston, SC

 

Office

 

2027

 

1994 / 2012

 

 

65,124

 

 

 

3,301,630

 

 

 

1.1

%

 

 

50.70

 

VA - Chico

 

Chico, CA

 

Outpatient Clinic

 

2034

 

2019

 

 

51,647

 

 

 

3,258,331

 

 

 

1.1

%

 

 

63.09

 

FBI - Richmond

 

Richmond, VA

 

Office

 

2041

 

2001

 

 

96,607

 

 

 

3,252,338

 

 

 

1.1

%

 

 

33.67

 

USFS II - Albuquerque

 

Albuquerque, NM

 

Office

 

2026(2)

 

2011

 

 

98,720

 

 

 

3,141,254

 

 

 

1.0

%

 

 

31.82

 

USFS I - Albuquerque

 

Albuquerque, NM

 

Office

 

2026

 

2006

 

 

92,455

 

 

 

3,100,080

 

 

 

1.0

%

 

 

33.53

 

DEA - Vista

 

Vista, CA

 

Laboratory

 

2035

 

2002

 

 

52,293

 

 

 

3,067,840

 

 

 

1.0

%

 

 

58.67

 

FDA - College Park

 

College Park, MD

 

Laboratory

 

2029

 

2004

 

 

80,677

 

 

 

3,060,351

 

 

 

1.0

%

 

 

37.93

 

USCIS - Tustin

 

Tustin, CA

 

Office

 

2034

 

1979 / 2019

 

 

66,818

 

 

 

3,042,740

 

 

 

1.0

%

 

 

45.54

 

 

16


Leased Operating Property Overview (Cont.)

(As of June 30, 2022, unaudited)

 

 

 

Property Name

 

Location

 

Property Type

 

Tenant

Lease

Expiration

Year

 

Year Built /

Renovated

 

Leased

Square

Feet

 

 

Annualized

Lease

Income

 

 

Percentage

of Total

Annualized

Lease

Income

 

 

Annualized

Lease

Income per

Leased

Square Foot

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wholly Owned U.S. Government Leased Properties (Cont.)

 

OSHA - Sandy

 

Sandy, UT

 

Laboratory

 

2024(5)

 

2003

 

 

75,000

 

 

 

3,039,951

 

 

 

1.0

%

 

 

40.53

 

VA - Orange

 

Orange, CT

 

Outpatient Clinic

 

2034

 

2019

 

 

56,330

 

 

 

2,918,411

 

 

 

0.9

%

 

 

51.81

 

VA - Indianapolis

 

Brownsburg, IN

 

Outpatient Clinic

 

2041

 

2021

 

 

80,000

 

 

 

2,913,914

 

 

 

0.9

%

 

 

36.42

 

JUD - Del Rio

 

Del Rio, TX

 

Courthouse/Office

 

2024

 

1992 / 2004

 

 

89,880

 

 

 

2,791,775

 

 

 

0.9

%

 

 

31.06

 

ICE - Albuquerque

 

Albuquerque, NM

 

Office

 

2027

 

2011

 

 

71,100

 

 

 

2,789,429

 

 

 

0.9

%

 

 

39.23

 

DEA - Pleasanton

 

Pleasanton, CA

 

Laboratory

 

2035

 

2015

 

 

42,480

 

 

 

2,716,215

 

 

 

0.9

%

 

 

63.94

 

JUD - El Centro

 

El Centro, CA

 

Courthouse/Office

 

2034

 

2004

 

 

43,345

 

 

 

2,701,670

 

 

 

0.9

%

 

 

62.33

 

FBI - Mobile

 

Mobile, AL

 

Office

 

2029(2)

 

2001

 

 

76,112

 

 

 

2,681,962

 

 

 

0.9

%

 

 

35.24

 

SSA - Charleston

 

Charleston, WV

 

Office

 

2024(2)

 

1959 / 2000

 

 

110,000

 

 

 

2,648,898

 

 

 

0.9

%

 

 

24.08

 

FBI - Albany

 

Albany, NY

 

Office

 

2036

 

1998

 

 

69,476

 

 

 

2,611,361

 

 

 

0.8

%

 

 

37.59

 

DEA - Sterling

 

Sterling, VA

 

Laboratory

 

2037

 

2001

 

 

49,692

 

 

 

2,605,686

 

 

 

0.8

%

 

 

52.44

 

DEA - Upper Marlboro

 

Upper Marlboro, MD

 

Laboratory

 

2037

 

2002

 

 

50,978

 

 

 

2,508,422

 

 

 

0.8

%

 

 

49.21

 

USAO - Louisville

 

Louisville, KY

 

Office

 

2031

 

2011

 

 

60,000

 

 

 

2,506,169

 

 

 

0.8

%

 

 

41.77

 

TREAS - Birmingham

 

Birmingham, AL

 

Office

 

2029

 

2014

 

 

83,676

 

 

 

2,487,887

 

 

 

0.8

%

 

 

29.73

 

DHA - Aurora

 

Aurora, CO

 

Office

 

2034

 

1998 / 2018

 

 

101,285

 

 

 

2,392,674

 

 

 

0.8

%

 

 

23.62

 

DEA - Dallas Lab

 

Dallas, TX

 

Laboratory

 

2022

 

2001

 

 

49,723

 

 

 

2,356,701

 

 

 

0.8

%

 

 

47.40

 

NARA - Broomfield

 

Broomfield, CO

 

Office/Warehouse

 

2032

 

2012

 

 

161,730

 

 

 

2,346,885

 

 

 

0.8

%

 

 

14.51

 

JUD - Charleston

 

Charleston, SC

 

Courthouse/Office

 

2040

 

1999

 

 

52,339

 

 

 

2,333,282

 

 

 

0.8

%

 

 

44.58

 

FBI - Little Rock

 

Little Rock, AR

 

Office

 

2022

 

2001

 

 

102,377

 

 

 

2,316,507

 

 

 

0.8

%

 

 

22.63

 

DEA - Dallas

 

Dallas, TX

 

Office

 

2041

 

2001

 

 

71,827

 

 

 

2,263,430

 

 

 

0.7

%

 

 

31.51

 

Various GSA - Cleveland

 

Brooklyn Heights, OH

 

Office

 

2031

 

1981 / 2021

 

 

61,384

 

 

 

2,229,291

 

 

 

0.7

%

 

 

36.32

 

CBP - Savannah

 

Savannah, GA

 

Laboratory

 

2033

 

2013

 

 

35,000

 

 

 

2,227,652

 

 

 

0.7

%

 

 

63.65

 

MEPCOM - Jacksonville

 

Jacksonville, FL

 

Office

 

2025

 

2010

 

 

30,000

 

 

 

2,215,373

 

 

 

0.7

%

 

 

73.85

 

DOE - Lakewood

 

Lakewood, CO

 

Office

 

2029

 

1999

 

 

115,650

 

 

 

2,126,332

 

 

 

0.7

%

 

 

18.39

 

NWS - Kansas City

 

Kansas City, MO

 

Office

 

2033(2)

 

1998 / 2020

 

 

94,378

 

 

 

2,114,807

 

 

 

0.7

%

 

 

22.41

 

JUD - Jackson

 

Jackson, TN

 

Courthouse/Office

 

2023(2)

 

1998

 

 

73,397

 

 

 

2,071,774

 

 

 

0.7

%

 

 

28.23

 

DEA - Santa Ana

 

Santa Ana, CA

 

Office

 

2024

 

2004

 

 

39,905

 

 

 

1,933,254

 

 

 

0.6

%

 

 

48.45

 

DEA - North Highlands

 

Sacramento, CA

 

Office

 

2033

 

2002

 

 

37,975

 

 

 

1,919,640

 

 

 

0.6

%

 

 

50.55

 

NPS - Omaha

 

Omaha, NE

 

Office

 

2024

 

2004

 

 

62,772

 

 

 

1,802,036

 

 

 

0.6

%

 

 

28.71

 

ICE - Otay

 

San Diego, CA

 

Office

 

2022

 

2001

 

 

47,919

 

 

 

1,761,864

 

 

 

0.6

%

 

 

36.77

 

VA - Golden

 

Golden, CO

 

Office/Warehouse

 

2026

 

1996 / 2011

 

 

56,753

 

 

 

1,735,882

 

 

 

0.6

%

 

 

30.59

 

CBP - Sunburst

 

Sunburst, MT

 

Office

 

2028

 

2008

 

 

33,000

 

 

 

1,641,202

 

 

 

0.5

%

 

 

49.73

 

USCG - Martinsburg

 

Martinsburg, WV

 

Office

 

2027

 

2007

 

 

59,547

 

 

 

1,640,946

 

 

 

0.5

%

 

 

27.56

 

JUD - Aberdeen

 

Aberdeen, MS

 

Courthouse/Office

 

2025

 

2005

 

 

46,979

 

 

 

1,552,942

 

 

 

0.5

%

 

 

33.06

 

VA - Charleston

 

North Charleston, SC

 

Warehouse

 

2040

 

2020

 

 

97,718

 

 

 

1,539,323

 

 

 

0.5

%

 

 

15.75

 

GSA - Clarksburg

 

Clarksburg, WV

 

Office

 

2024(2)

 

1999

 

 

63,750

 

 

 

1,498,199

 

 

 

0.5

%

 

 

23.50

 

DEA - Birmingham

 

Birmingham, AL

 

Office

 

2023

 

2005

 

 

35,616

 

 

 

1,392,673

 

 

 

0.5

%

 

 

39.10

 

 

17


Leased Operating Property Overview (Cont.)

(As of June 30, 2022, unaudited)

 

 

 

Property Name

 

Location

 

Property Type

 

Tenant

Lease

Expiration

Year

 

Year Built /

Renovated

 

Leased

Square

Feet

 

 

Annualized

Lease

Income

 

 

Percentage

of Total

Annualized

Lease

Income

 

 

Annualized

Lease

Income per

Leased

Square Foot

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wholly Owned U.S. Government Leased Properties (Cont.)

 

DEA - Albany

 

Albany, NY

 

Office

 

2025

 

2004

 

 

31,976

 

 

 

1,379,850

 

 

 

0.4

%

 

 

43.15

 

USAO - Springfield

 

Springfield, IL

 

Office

 

2038

 

2002

 

 

43,600

 

 

 

1,372,735

 

 

 

0.4

%

 

 

31.48

 

DEA - Riverside

 

Riverside, CA

 

Office

 

2032

 

1997

 

 

34,354

 

 

 

1,278,254

 

 

 

0.4

%

 

 

37.21

 

SSA - Dallas

 

Dallas, TX

 

Office

 

2035

 

2005

 

 

27,200

 

 

 

1,036,871

 

 

 

0.3

%

 

 

38.12

 

HRSA - Baton Rouge

 

Baton Rouge, LA

 

Office

 

2040

 

1981 / 2020

 

 

27,569

 

 

 

945,283

 

 

 

0.3

%

 

 

34.29

 

VA - Baton Rouge

 

Baton Rouge, LA

 

Outpatient Clinic

 

2024

 

2004

 

 

30,000

 

 

 

821,612

 

 

 

0.3

%

 

 

27.39

 

ICE - Louisville

 

Louisville, KY

 

Office

 

2036

 

2011

 

 

17,420

 

 

 

820,941

 

 

 

0.3

%

 

 

47.13

 

ICE - Pittsburgh

 

Pittsburgh, PA

 

Office

 

2032

 

2004

 

 

25,369

 

 

 

803,239

 

 

 

0.3

%

 

 

31.66

 

JUD - South Bend

 

South Bend, IN

 

Courthouse/Office

 

2027

 

1996 / 2011

 

 

30,119

 

 

 

784,341

 

 

 

0.3

%

 

 

26.04

 

DEA - San Diego

 

San Diego, CA

 

Warehouse

 

2032

 

1999

 

 

16,100

 

 

 

551,697

 

 

 

0.2

%

 

 

34.27

 

SSA - San Diego

 

San Diego, CA

 

Office

 

2032

 

2003

 

 

10,059

 

 

 

433,097

 

 

 

0.1

%

 

 

43.06

 

DEA - Bakersfield

 

Bakersfield, CA

 

Office

 

2038

 

2000

 

 

9,800

 

 

 

401,991

 

 

 

0.1

%

 

 

41.02

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Subtotal

 

 

 

 

 

 

 

 

 

 

8,305,490

 

 

$

281,838,047

 

 

 

91.6

%

 

$

33.93

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wholly Owned Privately Leased Property

 

501 East Hunter Street - Lummus Corporation

 

Lubbock, TX

 

Warehouse/Distribution

 

2028(5)

 

2013

 

 

70,078

 

 

 

410,344

 

 

 

0.1

%

 

 

5.86

 

Subtotal

 

 

 

 

 

 

 

 

 

 

70,078

 

 

$

410,344

 

 

 

0.1

%

 

$

5.86

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Wholly Owned Properties Total / Weighted Average

 

 

 

 

8,375,568

 

 

$

282,248,391

 

 

 

91.7

%

 

$

33.70

 

 


18


Leased Operating Property Overview (Cont.)

(As of June 30, 2022, unaudited)

 

 

 

Property Name

 

Location

 

Property Type

 

Tenant

Lease

Expiration

Year

 

Year Built /

Renovated

 

Leased

Square

Feet

 

 

Annualized

Lease

Income

 

 

Percentage

of Total

Annualized

Lease

Income

 

 

Annualized

Lease

Income per

Leased

Square Foot

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S Government Leased to Unconsolidated Real Estate Venture

 

VA - San Antonio(6)

 

San Antonio, TX

 

Outpatient Clinic

 

2041

 

2021

 

 

226,148

 

 

 

9,589,161

 

 

 

3.1

%

 

 

42.40

 

VA - Chattanooga(6)

 

Chattanooga, TN

 

Outpatient Clinic

 

2035

 

2020

 

 

94,566

 

 

 

4,154,710

 

 

 

1.3

%

 

 

43.93

 

VA - Lubbock(6)(7)

 

Lubbock, TX

 

Outpatient Clinic

 

2040

 

2020

 

 

120,916

 

 

 

3,961,655

 

 

 

1.3

%

 

 

32.76

 

VA - Marietta(6)

 

Marietta, GA

 

Outpatient Clinic

 

2041

 

2021

 

 

76,882

 

 

 

3,816,412

 

 

 

1.2

%

 

 

49.64

 

VA - Birmingham(6)

 

Irondale, AL

 

Outpatient Clinic

 

2041

 

2021

 

 

77,128

 

 

 

3,105,255

 

 

 

1.0

%

 

 

40.26

 

VA - Lenexa(6)

 

Lenexa, KS

 

Outpatient Clinic

 

2041

 

2021

 

 

31,062

 

 

 

1,298,203

 

 

 

0.4

%

 

 

41.79

 

Subtotal

 

 

 

 

 

 

 

 

 

 

626,702

 

 

$

25,925,396

 

 

 

8.3

%

 

$

41.37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total / Weighted Average

 

 

9,002,270

 

 

$

308,173,787

 

 

 

100.0

%

 

$

34.23

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total / Weighted Average at Easterly's Share

 

 

 

 

 

 

8,707,719

 

 

$

295,988,850

 

 

 

 

 

 

$

33.99

 

(1)316,318 square feet leased to U.S. Citizenship and Immigration Services ("USCIS") will expire on February 19, 2042 and contains two five-year renewal options.

(2)Lease contains one five-year renewal option.

(3)37,811 square feet leased to the U.S. Army Corps of Engineers ("ACOE") will expire on February 19, 2025 and contains two five-year renewal options. 21,646 square feet leased to the Federal Bureau of Investigation ("FBI") will expire on December 31, 2024 and contains two five-year renewal options. 4,846 square feet leased to the Department of Energy ("DOE") will expire on April 14, 2023 and contains two five-year renewal options.

(4)Lease contains one ten-year renewal option.

(5)Lease contains two five-year renewal options.

(6)We own 53.0% of the property through an unconsolidated joint venture.

(7)Asset is subject to a ground lease where we are the lessee.

 

 

 

19


Tenants

(As of June 30, 2022, unaudited)

 

 

 

 

Tenant

 

Weighted

Average

Remaining

Lease Term(1)

 

 

Leased

Square Feet

 

 

Percentage

of Leased

Square Feet

 

 

Annualized

Lease Income

 

 

Percentage

of Total

Annualized

Lease

Income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Government

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Department of Veteran Affairs ("VA")

 

 

15.1

 

 

 

1,693,668

 

 

 

18.8

%

 

$

71,689,281

 

 

 

23.2

%

Federal Bureau of Investigation ("FBI")

 

 

8.6

 

 

 

1,501,720

 

 

 

16.7

%

 

 

50,432,083

 

 

 

16.3

%

Drug Enforcement Administration ("DEA")

 

 

9.7

 

 

 

601,497

 

 

 

6.7

%

 

 

26,114,699

 

 

 

8.5

%

U.S. Citizenship and Immigration Services ("USCIS")

 

 

14.3

 

 

 

520,807

 

 

 

5.8

%

 

 

14,653,255

 

 

 

4.8

%

Judiciary of the U.S. ("JUD")

 

 

5.9

 

 

 

336,059

 

 

 

3.7

%

 

 

12,235,784

 

 

 

4.0

%

Food and Drug Administration ("FDA")

 

 

13.6

 

 

 

209,991

 

 

 

2.3

%

 

 

11,693,921

 

 

 

3.8

%

Immigration and Customs Enforcement ("ICE")

 

 

5.7

 

 

 

245,894

 

 

 

2.7

%

 

 

10,172,275

 

 

 

3.3

%

Environmental Protection Agency ("EPA")

 

 

9.7

 

 

 

241,564

 

 

 

2.7

%

 

 

9,894,906

 

 

 

3.2

%

Internal Revenue Service ("IRS")

 

 

11.1

 

 

 

233,387

 

 

 

2.6

%

 

 

8,328,293

 

 

 

2.7

%

U.S. Joint Staff Command ("JSC")

 

 

5.9

 

 

 

403,737

 

 

 

4.5

%

 

 

8,310,226

 

 

 

2.7

%

Bureau of the Fiscal Service ("BFS")

 

 

15.2

 

 

 

266,176

 

 

 

3.0

%

 

 

6,787,359

 

 

 

2.2

%

Federal Aviation Administration ("FAA")

 

 

1.3

 

 

 

194,540

 

 

 

2.2

%

 

 

6,547,118

 

 

 

2.1

%

U.S. Forest Service ("USFS")

 

 

3.9

 

 

 

191,175

 

 

 

2.1

%

 

 

6,241,334

 

 

 

2.0

%

Patent and Trademark Office ("PTO")

 

 

12.5

 

 

 

190,546

 

 

 

2.1

%

 

 

6,059,382

 

 

 

2.0

%

Social Security Administration ("SSA")

 

 

4.2

 

 

 

189,276

 

 

 

2.1

%

 

 

5,106,316

 

 

 

1.7

%

Federal Emergency Management Agency ("FEMA")

 

 

16.3

 

 

 

210,373

 

 

 

2.3

%

 

 

4,611,775

 

 

 

1.5

%

U.S. Attorney Office ("USAO")

 

 

11.5

 

 

 

110,008

 

 

 

1.2

%

 

 

4,029,489

 

 

 

1.3

%

Department of Transportation ("DOT")

 

 

2.1

 

 

 

129,659

 

 

 

1.4

%

 

 

3,894,496

 

 

 

1.3

%

Customs and Border Protection ("CBP")

 

 

8.8

 

 

 

68,000

 

 

 

0.8

%

 

 

3,868,854

 

 

 

1.3

%

Occupational Safety and Health Administration ("OSHA")

 

 

1.6

 

 

 

75,000

 

 

 

0.8

%

 

 

3,039,951

 

 

 

1.0

%

Defense Health Agency ("DHA")

 

 

11.8

 

 

 

101,285

 

 

 

1.1

%

 

 

2,392,674

 

 

 

0.8

%

National Archives and Records Administration ("NARA")

 

 

9.9

 

 

 

161,730

 

 

 

1.8

%

 

 

2,346,885

 

 

 

0.8

%

Department of Energy ("DOE")

 

 

7.1

 

 

 

120,496

 

 

 

1.3

%

 

 

2,246,152

 

 

 

0.7

%

Military Entrance Processing Command ("MEPCOM")

 

 

3.2

 

 

 

30,000

 

 

 

0.3

%

 

 

2,215,373

 

 

 

0.7

%

U.S. Department of Agriculture ("USDA")

 

 

5.1

 

 

 

67,902

 

 

 

0.8

%

 

 

2,132,111

 

 

 

0.7

%

National Weather Service ("NWS")

 

 

11.5

 

 

 

94,378

 

 

 

1.0

%

 

 

2,114,807

 

 

 

0.7

%

Bureau of Indian Affairs ("BIA")

 

 

10.0

 

 

 

78,184

 

 

 

0.9

%

 

 

2,092,738

 

 

 

0.7

%

Bureau of Reclamation ("BOR")

 

 

10.8

 

 

 

69,518

 

 

 

0.8

%

 

 

1,811,756

 

 

 

0.6

%

National Park Service ("NPS")

 

 

2.0

 

 

 

62,772

 

 

 

0.7

%

 

 

1,802,036

 

 

 

0.6

%

 

 

 

 

 

20


Tenants (Cont.)

(As of June 30, 2022, unaudited)

 

 

 

 

Tenant

 

Weighted

Average

Remaining

Lease Term(1)

 

 

Leased

Square Feet

 

 

Percentage

of Leased

Square Feet

 

 

Annualized

Lease Income

 

 

Percentage

of Total

Annualized

Lease

Income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Government (Cont.)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General Services Administration - Other

 

 

3.2

 

 

 

54,803

 

 

 

0.6

%

 

 

1,710,797

 

 

 

0.6

%

U.S. Coast Guard ("USCG")

 

 

5.5

 

 

 

59,547

 

 

 

0.7

%

 

 

1,640,946

 

 

 

0.5

%

National Oceanic and Atmospheric Administration ("NOAA")

 

 

5.6

 

 

 

33,403

 

 

 

0.4

%

 

 

1,243,634

 

 

 

0.4

%

Small Business Administration ("SBA")

 

 

15.2

 

 

 

42,835

 

 

 

0.5

%

 

 

1,177,649

 

 

 

0.4

%

U.S. Army Corps of Engineers ("ACOE")

 

 

2.6

 

 

 

39,320

 

 

 

0.4

%

 

 

1,120,690

 

 

 

0.4

%

Health Resources and Services Administration ("HRSA")

 

 

18.1

 

 

 

27,569

 

 

 

0.3

%

 

 

945,283

 

 

 

0.3

%

Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF")

 

 

3.9

 

 

 

21,342

 

 

 

0.2

%

 

 

758,248

 

 

 

0.2

%

Office of the Field Solicitor ("OFC")

 

 

10.8

 

 

 

4,526

 

 

 

0.1

%

 

 

117,955

 

 

 

0.0

%

Office of the Special Trustee for American Indians ("OST")

 

 

10.8

 

 

 

3,359

 

 

 

0.0

%

 

 

87,541

 

 

 

0.0

%

U.S. Marshals Service ("USMS")

 

 

4.6

 

 

 

1,054

 

 

 

0.0

%

 

 

49,293

 

 

 

0.0

%

Department of Labor ("DOL")

 

 

1.6

 

 

 

1,004

 

 

 

0.0

%

 

 

23,592

 

 

 

0.0

%

U.S. Probation Office ("USPO")

 

 

1.6

 

 

 

452

 

 

 

0.0

%

 

 

10,630

 

 

 

0.0

%

Subtotal

 

 

10.2

 

 

 

8,688,556

 

 

 

96.4

%

 

$

301,751,587

 

 

 

98.0

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Private Tenants

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Private Tenants

 

 

2.6

 

 

 

79,521

 

 

 

0.9

%

 

$

2,056,209

 

 

 

0.7

%

CVS Health

 

 

2.9

 

 

 

60,324

 

 

 

0.7

%

 

 

1,276,148

 

 

 

0.4

%

ExamOne

 

 

1.9

 

 

 

50,105

 

 

 

0.6

%

 

 

993,129

 

 

 

0.3

%

St. Luke's Health System

 

 

4.5

 

 

 

32,043

 

 

 

0.4

%

 

 

962,869

 

 

 

0.3

%

Providence Health & Services

 

 

3.2

 

 

 

21,643

 

 

 

0.2

%

 

 

723,501

 

 

 

0.2

%

Lummus Corporation

 

 

6.1

 

 

 

70,078

 

 

 

0.8

%

 

 

410,344

 

 

 

0.1

%

Subtotal

 

 

3.6

 

 

 

313,714

 

 

 

3.6

%

 

$

6,422,200

 

 

 

2.0

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total / Weighted Average

 

 

9.9

 

 

 

9,002,270

 

 

 

100.0

%

 

$

308,173,787

 

 

 

100.0

%

(1)Weighted based on leased square feet.

 

21


Lease Expirations

(As of June 30, 2022, unaudited)

 

 

 

Year of Lease Expiration

 

Number of

Leases

Expiring

 

 

Leased Square

Footage

Expiring

 

 

Percentage of

Total Leased Square

Footage

Expiring

 

 

Annualized

Lease Income

Expiring

 

 

Percentage of

Total Annualized

Lease Income

Expiring

 

 

Annualized

Lease Income

per Leased

Square Foot Expiring

 

2022

 

5

 

 

 

194,985

 

 

 

2.2

%

 

$

6,240,908

 

 

 

2.0

%

 

$

32.01

 

2023

 

12

 

 

 

375,974

 

 

 

4.2

%

 

 

12,204,076

 

 

 

4.0

%

 

 

32.46

 

2024

 

12

 

 

 

790,700

 

 

 

8.8

%

 

 

24,481,894

 

 

 

7.9

%

 

 

30.96

 

2025

 

15

 

 

 

679,124

 

 

 

7.5

%

 

 

22,877,663

 

 

 

7.4

%

 

 

33.69

 

2026

 

5

 

 

 

294,245

 

 

 

3.3

%

 

 

9,328,986

 

 

 

3.0

%

 

 

31.70

 

2027

 

7

 

 

 

502,963

 

 

 

5.6

%

 

 

18,434,703

 

 

 

6.0

%

 

 

36.65

 

2028

 

9

 

 

 

794,819

 

 

 

8.8

%

 

 

17,064,413

 

 

 

5.5

%

 

 

21.47

 

2029

 

5

 

 

 

493,794

 

 

 

5.5

%

 

 

14,024,421

 

 

 

4.6

%

 

 

28.40

 

2030

 

0

 

 

 

-

 

 

 

0.0

%

 

 

-

 

 

 

0.0

%

 

 

-

 

2031

 

2

 

 

 

100,502

 

 

 

1.1

%

 

 

4,022,326

 

 

 

1.3

%

 

 

40.02

 

Thereafter

 

54

 

 

 

4,775,164

 

 

 

53.0

%

 

 

179,494,397

 

 

 

58.3

%

 

 

37.59

 

Total / Weighted Average

 

126

 

 

 

9,002,270

 

 

 

100.0

%

 

$

308,173,787

 

 

 

100.0

%

 

$

34.23

 

 

22


Summary of Re/Development Projects

(As of June 30, 2022, unaudited, in thousands, except square feet)

 

 

 

 

Projects Under Construction(1)

 

Property Name

 

Location

 

 

Property Type

 

 

Total Leased Square Feet

 

 

Lease Term

 

 

Anticipated Total Cost

 

 

Cost to Date

 

 

Total Lump-Sum Reimbursement

 

 

Anticipated Completion Date

 

 

Anticipated Lease Commencement

 

N/A

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

$

-

 

 

$

-

 

 

$

-

 

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Projects in Design(2)

 

 

 

 

 

 

 

 

 

Property Name

 

Location

 

 

Property Type

 

 

Total Estimated Leased Square Feet

 

 

Lease Term

 

 

Cost to Date

 

 

Anticipated Completion Date

 

 

Anticipated Lease Commencement

 

 

 

 

 

 

 

 

 

FDA - Atlanta

 

Atlanta, GA

 

 

Laboratory

 

 

 

162,000

 

 

20-Year

 

 

$

30,968

 

 

2Q 2025

 

 

2Q 2025

 

 

 

 

 

 

 

 

 

Total

 

 

 

 

 

 

 

 

 

 

162,000

 

 

 

 

 

 

$

30,968

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Projects Previously Completed with Outstanding Lump-Sum Reimbursements

 

 

 

 

 

 

 

 

 

Property Name

 

Location

 

 

Property Type

 

 

Total Leased Square Feet

 

 

Lease Term

 

 

Outstanding Lump-Sum Reimbursement(3)

 

 

Completion Date

 

 

Lease Commencement

 

 

 

 

 

 

 

 

 

N/A

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

$

-

 

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

(1)Includes properties under construction for which design is complete.

(2)Includes projects in the design phase for which project scope is not fully determined.

(3)Includes reimbursement of lump-sum tenant improvement costs and development fees.

 

23