Condensed consolidating financial information (Notes)

12 Months Ended

Dec. 31, 2013

Condensed Consolidated Financial Information [Abstract]

Condensed consolidating financial information

Condensed consolidating financial information

Alexandria Real Estate Equities, Inc. (the “Issuer”) has sold certain debt securities registered under the Securities Act, as amended, that are fully and unconditionally guaranteed by Alexandria Real Estate Equities, L.P. (the “LP”), an indirectly 100% owned subsidiary of the Issuer. The Company’s other subsidiaries, including, but not limited to, the subsidiaries that own substantially all of its real estate (collectively, the “Combined Non-Guarantor Subsidiaries”) will not provide a guarantee of such securities, including the subsidiaries that are partially or 100% owned by the LP. The following condensed consolidating financial information presents the condensed consolidating balance sheets as of December 31, 2013 and 2012, and the condensed consolidating statements of income, comprehensive income, and cash flows for the years ended December 31, 2013, 2012, and 2011, for the Issuer, the guarantor subsidiary (the LP), the Combined Non-Guarantor Subsidiaries, the eliminations necessary to arrive at the information for Alexandria Real Estate Equities, Inc. on a consolidated basis, and consolidated amounts. In presenting the condensed consolidating financial statements, the equity method of accounting has been applied to (i) the Issuer’s interests in the Guarantor Subsidiary and the Combined Non-Guarantor Subsidiaries, (ii) the Guarantor Subsidiary’s interests in the Combined Non-Guarantor Subsidiaries, and (iii) the Combined Non-Guarantor Subsidiaries’ interests in the Guarantor Subsidiary, where applicable, even though all such subsidiaries meet the requirements to be consolidated under GAAP. All intercompany balances and transactions between the Issuer, the Guarantor Subsidiary, and the Combined Non-Guarantor Subsidiaries have been eliminated, as shown in the column “Eliminations.” All assets and liabilities have been allocated to the Issuer, the Guarantor Subsidiary, and the Combined Non-Guarantor Subsidiaries generally based on legal entity ownership.

Condensed Consolidating Balance Sheet

as of December 31, 2013

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)		Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)		Combined Non- Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Investments in real estate, net	$	—	$	—	$	6,776,914	$	—		$	6,776,914
Cash and cash equivalents	14,790		—		42,906		—			57,696
Restricted cash	55		—		27,654		—			27,709
Tenant receivables	—		—		9,918		—			9,918
Deferred rent	—		—		190,425		—			190,425
Deferred leasing and financing costs, net	36,901		—		155,757		—			192,658
Investments	—		10,868		129,420		—			140,288
Investments in and advances to affiliates	6,299,551		5,823,058		119,421		(12,242,030		)	—
Other assets	20,226		—		113,930		—			134,156
Total assets	$	6,371,523	$	5,833,926	$	7,566,345	$	(12,242,030	)	$	7,529,764
Liabilities, Noncontrolling Interests, and Equity
Secured notes payable	$	—	$	—	$	708,831	$	—		$	708,831
Unsecured senior notes payable	1,048,230		—		—		—			1,048,230
Unsecured senior line of credit	204,000		—		—		—			204,000
Unsecured senior bank term loans	1,100,000		—		—		—			1,100,000
Accounts payable, accrued expenses, and tenant security deposits	48,373		—		386,969		—			435,342
Dividends payable	54,131		—		289		—			54,420
Total liabilities	2,454,734		—		1,096,089		—			3,550,823
Redeemable noncontrolling interests	—		—		14,444		—			14,444
Alexandria Real Estate Equities, Inc.’s stockholders’ equity	3,916,789		5,833,926		6,408,104		(12,242,030		)	3,916,789
Noncontrolling interests	—		—		47,708		—			47,708
Total equity	3,916,789		5,833,926		6,455,812		(12,242,030		)	3,964,497
Total liabilities, noncontrolling interests, and equity	$	6,371,523	$	5,833,926	$	7,566,345	$	(12,242,030	)	$	7,529,764

Condensed Consolidating Balance Sheet

as of December 31, 2012

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)		Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)		Combined Non- Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Investments in real estate, net	$	38,616	$	—	$	6,385,962	$	—		$	6,424,578
Cash and cash equivalents	98,567		1,914		40,490		—			140,971
Restricted cash	52		—		39,895		—			39,947
Tenant receivables	1		—		8,448		—			8,449
Deferred rent	1,876		—		168,520		—			170,396
Deferred leasing and financing costs, net	31,373		—		128,675		—			160,048
Investments	—		12,591		102,457		—			115,048
Investments in and advances to affiliates	5,833,368		5,358,882		110,101		(11,302,351		)	—
Intercompany note receivable	3,021		—		—		(3,021		)	—
Other assets	17,613		—		73,066		—			90,679
Total assets	$	6,024,487	$	5,373,387	$	7,057,614	$	(11,305,372	)	$	7,150,116
Liabilities, Noncontrolling Interests, and Equity
Secured notes payable	$	—	$	—	$	716,144	$	—		$	716,144
Unsecured senior notes payable	549,805		—		—		—			549,805
Unsecured senior line of credit	566,000		—		—		—			566,000
Unsecured senior bank term loans	1,350,000		—		—		—			1,350,000
Accounts payable, accrued expenses, and tenant security deposits	75,728		—		347,980		—			423,708
Dividends payable	41,103		—		298		—			41,401
Intercompany notes payable	—		—		3,021		(3,021		)	—
Total liabilities	2,582,636		—		1,067,443		(3,021		)	3,647,058
Redeemable noncontrolling interests	—		—		14,564		—			14,564
Alexandria Real Estate Equities, Inc.’s stockholders’ equity	3,441,851		5,373,387		5,928,964		(11,302,351		)	3,441,851
Noncontrolling interests	—		—		46,643		—			46,643
Total equity	3,441,851		5,373,387		5,975,607		(11,302,351		)	3,488,494
Total liabilities, noncontrolling interests, and equity	$	6,024,487	$	5,373,387	$	7,057,614	$	(11,305,372	)	$	7,150,116

Condensed Consolidating Statement of Income

for the Year Ended December 31, 2013

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non- Guarantor Subsidiaries		Eliminations			Consolidated
Revenues:
Rental	$	—		$	—		$	467,764	$	—		$	467,764
Tenant recoveries	—			—			150,095		—			150,095
Other income	10,423			(74		)	15,912		(12,969		)	13,292
Total revenues	10,423			(74		)	633,771		(12,969		)	631,151
Expenses:
Rental operations	—			—			189,039		—			189,039
General and administrative	43,528			—			17,961		(12,969		)	48,520
Interest	43,284			—			24,668		—			67,952
Depreciation and amortization	5,907			—			183,216		—			189,123
Loss on early extinguishment of debt	1,992			—			—		—			1,992
Total expenses	94,711			—			414,884		(12,969		)	496,626
(Loss) income from continuing operations before equity in earnings of affiliates	(84,288		)	(74		)	218,887		—			134,525
Equity in earnings of affiliates	220,158			205,993			4,067		(430,218		)	—
Income from continuing operations	135,870			205,919			222,954		(430,218		)	134,525
Income from discontinued operations	347			—			553		—			900
Gain on sale of land parcel	—			—			4,824		—			4,824
Net income	136,217			205,919			228,331		(430,218		)	140,249
Net income attributable to noncontrolling interests	—			—			4,032		—			4,032
Dividends on preferred stock	25,885			—			—		—			25,885
Net income attributable to unvested restricted stock awards	1,581			—			—		—			1,581
Net income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders	$	108,751		$	205,919		$	224,299	$	(430,218	)	$	108,751

Condensed Consolidating Statement of Income

for the Year Ended December 31, 2012

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)		Combined Non- Guarantor Subsidiaries		Eliminations			Consolidated
Revenues:
Rental	$	—		$	—	$	422,793	$	—		$	422,793
Tenant recoveries	—			—		133,280		—			133,280
Other income	6,891			1,292		23,294		(13,053		)	18,424
Total revenues	6,891			1,292		579,367		(13,053		)	574,497
Expenses:
Rental operations	—			—		172,756		—			172,756
General and administrative	44,306			3		16,491		(13,053		)	47,747
Interest	46,677			—		22,507		—			69,184
Depreciation and amortization	5,384			—		180,303		—			185,687
Impairment of land parcel	—			—		2,050		—			2,050
Loss on early extinguishment of debt	2,225			—		—		—			2,225
Total expenses	98,592			3		394,107		(13,053		)	479,649
(Loss) income from continuing operations before equity in earnings of affiliates	(91,701		)	1,289		185,260		—			94,848
Equity in earnings of affiliates	194,566			183,139		3,638		(381,343		)	—
Income from continuing operations	102,865			184,428		188,898		(381,343		)	94,848
(Loss) income from discontinued operations	(739		)	—		9,555		—			8,816
Gain on sale of land parcel	—			—		1,864		—			1,864
Net income	102,126			184,428		200,317		(381,343		)	105,528
Net income attributable to noncontrolling interests	—			—		3,402		—			3,402
Dividends on preferred stock	27,328			—		—		—			27,328
Preferred stock redemption charge	5,978			—		—		—			5,978
Net income attributable to unvested restricted stock awards	1,190			—		—		—			1,190
Net income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders	$	67,630		$	184,428	$	196,915	$	(381,343	)	$	67,630

Condensed Consolidating Statement of Income

for the Year Ended December 31, 2011

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non- Guarantor Subsidiaries		Eliminations			Consolidated
Revenues:
Rental	$	—		$	—		$	404,815	$	—		$	404,815
Tenant recoveries	—			—			126,205		—			126,205
Other income	8,356			(452		)	10,676		(12,820		)	5,760
Total revenues	8,356			(452		)	541,696		(12,820		)	536,780
Expenses:
Rental operations	—			—			157,634		—			157,634
General and administrative	36,263			17			17,652		(12,820		)	41,112
Interest	38,582			—			24,791		—			63,373
Depreciation and amortization	3,256			—			147,650		—			150,906
Loss on early extinguishment of debt	6,485			—			—		—			6,485
Total expenses	84,586			17			347,727		(12,820		)	419,510
(Loss) income from continuing operations before equity in earnings of affiliates	(76,230		)	(469		)	193,969		—			117,270
Equity in earnings of affiliates	202,829			192,143			3,793		(398,765		)	—
Income from continuing operations	126,599			191,674			197,762		(398,765		)	117,270
Income from discontinued operations	4,819			—			13,258		—			18,077
Gain on sale of land parcel	—			—			46		—			46
Net income	131,418			191,674			211,066		(398,765		)	135,393
Net income attributable to noncontrolling interests	—			—			3,975		—			3,975
Dividends on preferred stock	28,357			—			—		—			28,357
Net income attributable to unvested restricted stock awards	1,088			—			—		—			1,088
Net income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders	$	101,973		$	191,674		$	207,091	$	(398,765	)	$	101,973

Condensed Consolidating Statement of Comprehensive Income

for the Year Ended December 31, 2013

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)		Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non- Guarantor Subsidiaries			Eliminations			Consolidated
Net income	$	136,217	$	205,919		$	228,331		$	(430,218	)	$	140,249
Other comprehensive income:
Unrealized (losses) gains on marketable securities:
Unrealized holding (losses) gains arising during the period	—		(438		)	1,738			—			1,300
Reclassification adjustment for losses (gains) included in net income	—		148			(1,331		)	—			(1,183		)
Unrealized (losses) gains on marketable securities	—		(290		)	407			—			117
Unrealized gains on interest rate swaps:
Unrealized interest rate swap gains arising during the period	1,918		—			—			—			1,918
Reclassification adjustment for amortization of interest expense included in net income	15,422		—			—			—			15,422
Unrealized gains on interest rate swaps	17,340		—			—			—			17,340
Foreign currency translation losses	—		—			(28,912		)	—			(28,912		)
Total other comprehensive income (loss)	17,340		(290		)	(28,505		)	—			(11,455		)
Comprehensive income	153,557		205,629			199,826			(430,218		)	128,794
Less: comprehensive income attributable to noncontrolling interests	—		—			(3,948		)	—			(3,948		)
Comprehensive income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders	$	153,557	$	205,629		$	195,878		$	(430,218	)	$	124,846

Condensed Consolidating Statement of Comprehensive Income

for the Year Ended December 31, 2012

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non- Guarantor Subsidiaries			Eliminations			Consolidated
Net income	$	102,126		$	184,428		$	200,317		$	(381,343	)	$	105,528
Other comprehensive income:
Unrealized (losses) gains on marketable securities:
Unrealized holding (losses) gains arising during the period	—			(319		)	1,309			—			990
Reclassification adjustment for losses (gains) included in net income	—			155			(3,506		)	—			(3,351		)
Unrealized losses on marketable securities	—			(164		)	(2,197		)	—			(2,361		)
Unrealized gains on interest rate swaps:
Unrealized interest rate swap losses arising during the period	(9,990		)	—			—			—			(9,990		)
Reclassification adjustment for amortization of interest expense included in net income	22,309			—			—			—			22,309
Unrealized gains on interest rate swaps	12,319			—			—			—			12,319
Foreign currency translation losses	—			—			(318		)	—			(318		)
Total other comprehensive income (loss)	12,319			(164		)	(2,515		)	—			9,640
Comprehensive income	114,445			184,264			197,802			(381,343		)	115,168
Less: comprehensive income attributable to noncontrolling interests	—			—			(3,364		)	—			(3,364		)
Comprehensive income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders	$	114,445		$	184,264		$	194,438		$	(381,343	)	$	111,804

Condensed Consolidating Statement of Comprehensive Income

for the Year Ended December 31, 2011

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)		Combined Non- Guarantor Subsidiaries			Eliminations			Consolidated
Net income	$	131,418		$	191,674	$	211,066		$	(398,765	)	$	135,393
Other comprehensive income:
Unrealized gains (losses) on marketable securities:
Unrealized holding gains arising during the period	—			148		90			—			238
Reclassification adjustment for losses (gains) included in net income	—			28		(2,589		)	—			(2,561		)
Unrealized gains (losses) on marketable securities	—			176		(2,499		)	—			(2,323		)
Unrealized gains on interest rate swaps:
Unrealized interest rate swap losses arising during the period	(9,630		)	—		—			—			(9,630		)
Reclassification adjustment for amortization of interest expense included in net income	21,457			—		—			—			21,457
Unrealized gains on interest rate swaps	11,827			—		—			—			11,827
Foreign currency translation losses	—			—		(25,605		)	—			(25,605		)
Total other comprehensive income (loss)	11,827			176		(28,104		)	—			(16,101		)
Comprehensive income	143,245			191,850		182,962			(398,765		)	119,292
Less: comprehensive income attributable to noncontrolling interests	—			—		(4,050		)	—			(4,050		)
Comprehensive income attributable to Alexandria Real Estate Equities, Inc.’s common stockholders	$	143,245		$	191,850	$	178,912		$	(398,765	)	$	115,242

Condensed Consolidating Statement of Cash Flows

for the Year Ended December 31, 2013

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating Activities
Net income	$	136,217		$	205,919		$	228,331		$	(430,218	)	$	140,249
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	5,907			—			184,871			—			190,778
Loss on early extinguishment of debt	1,992			—			—			—			1,992
Gain on sale of land parcel	—			—			(4,824		)	—			(4,824		)
Loss on sale of real estate	—			—			121			—			121
Amortization of loan fees and costs	6,914			—			3,022			—			9,936
Amortization of debt premiums/discounts	111			—			418			—			529
Amortization of acquired below market leases	—			—			(3,316		)	—			(3,316		)
Deferred rent	(82		)	—			(27,853		)	—			(27,935		)
Stock compensation expense	15,552			—			—			—			15,552
Equity in (income) loss related to subsidiaries	(220,158		)	(205,993		)	(4,067		)	430,218			—
Investment gains	—			(3		)	(7,047		)	—			(7,050		)
Investment losses	—			78			1,402			—			1,480
Changes in operating assets and liabilities:
Restricted cash	(2		)	—			901			—			899
Tenant receivables	—			—			(1,519		)	—			(1,519		)
Deferred leasing costs	(37		)	—			(54,788		)	—			(54,825		)
Other assets	(5,606		)	—			(692		)	—			(6,298		)
Intercompany receivables and payables	3,021			—			(3,021		)	—			—
Accounts payable, accrued expenses, and tenant security deposits	(13,485		)	—			70,443			—			56,958
Net cash (used in) provided by operating activities	(69,656		)	1			382,382			—			312,727
Investing Activities
Proceeds from sale of properties	10,796			—			143,172			—			153,968
Additions to properties	—			—			(593,389		)	—			(593,389		)
Purchase of properties	—			—			(122,069		)	—			(122,069		)
Change in restricted cash related to construction projects	—			—			7,655			—			7,655
Contributions to unconsolidated real estate entity	—			—			(17,987		)	—			(17,987		)
Investments in subsidiaries	(236,218		)	(276,022		)	(13,445		)	525,685			—
Additions to investments	—			—			(36,078		)	—			(36,078		)
Proceeds from sales of investments	—			1,018			15,507			—			16,525
Net cash (used in) provided by investing activities	$	(225,422	)	$	(275,004	)	$	(616,634	)	$	525,685		$	(591,375	)

Condensed Consolidating Statement of Cash Flows (continued)

for the Year Ended December 31, 2013

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Financing Activities
Borrowings from secured notes payable	$	—		$	—		$	28,489		$	—		$	28,489
Repayments of borrowings from secured notes payable	—			—			(36,219		)	—			(36,219		)
Proceeds from issuance of senior notes payable	498,561			—			—			—			498,561
Principal borrowings from unsecured senior line of credit	729,000			—			—			—			729,000
Repayments of borrowings from unsecured senior line of credit	(1,091,000		)	—			—			—			(1,091,000		)
Repayments of unsecured senior bank term loans	(250,000		)	—			—			—			(250,000		)
Repurchase of unsecured senior convertible notes	(384		)	—			—			—			(384		)
Transfer to/from parent company	—			273,089			252,596			(525,685		)	—
Change in restricted cash related to financings	(1		)	—			2,547			—			2,546
Deferred financing costs paid	(14,383		)	—			(5,545		)	—			(19,928		)
Proceeds from common stock offerings	534,469			—			—			—			534,469
Dividends paid on common stock	(169,076		)	—			—			—			(169,076		)
Dividends paid on preferred stock	(25,885		)	—			—			—			(25,885		)
Distributions to redeemable noncontrolling interests	—			—			(1,191		)	—			(1,191		)
Distributions to noncontrolling interests	—			—			(1,812		)	—			(1,812		)
Net cash provided by (used in) financing activities	211,301			273,089			238,865			(525,685		)	197,570
Effect of foreign exchange rate changes on cash and cash equivalents	—			—			(2,197		)	—			(2,197		)
Net (decrease) increase in cash and cash equivalents	(83,777		)	(1,914		)	2,416			—			(83,275		)
Cash and cash equivalents at beginning of period	98,567			1,914			40,490			—			140,971
Cash and cash equivalents at end of period	$	14,790		$	—		$	42,906		$	—		$	57,696
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest, net of interest capitalized	$	37,073		$	—		$	22,784		$	—		$	59,857
Non-Cash Investing Activities
Note receivable from sale of real estate	$	29,820		$	—		$	9,000		$	—		$	38,820
Change in accrued capital expenditures	$	—		$	—		$	(21,310	)	$	—		$	(21,310	)

Condensed Consolidating Statement of Cash Flows

for the Year Ended December 31, 2012

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating Activities
Net income	$	102,126		$	184,428		$	200,317		$	(381,343	)	$	105,528
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	6,490			—			185,515			—			192,005
Loss on early extinguishment of debt	2,225			—			—			—			2,225
Gain on sale of land parcel	—			—			(1,864		)	—			(1,864		)
Gain on sale of real estate	—			—			(1,564		)	—			(1,564		)
Impairment of real estate	6,400			—			5,000			—			11,400
Impairment of land parcel	—			—			2,050			—			2,050
Amortization of loan fees and costs	9,204			—			628			—			9,832
Amortization of debt premiums/discounts	114			—			397			—			511
Amortization of acquired above and below market leases	—			—			(3,200		)	—			(3,200		)
Deferred rent	(224		)	—			(28,232		)	—			(28,456		)
Stock compensation expense	14,160			—			—			—			14,160
Equity in (income) loss related to subsidiaries	(194,566		)	(183,139		)	(3,638		)	381,343			—
Investment gains	—			(1,510		)	(13,508		)	—			(15,018		)
Investment losses	—			221			2,416			—			2,637
Changes in operating assets and liabilities:
Restricted cash	(12		)	—			(249		)	—			(261		)
Tenant receivables	11			—			(992		)	—			(981		)
Deferred leasing costs	(305		)	—			(44,794		)	—			(45,099		)
Other assets	1,329			—			(5,398		)	—			(4,069		)
Intercompany receivables and payables	(826		)	—			826			—			—
Accounts payable, accrued expenses, and tenant security deposits	6,172			—			59,525			—			65,697
Net cash (used in) provided by operating activities	(47,702		)	—			353,235			—			305,533
Investing Activities
Proceeds from sale of properties	—			—			36,179			—			36,179
Additions to properties	(1,313		)	—			(547,717		)	—			(549,030		)
Purchase of properties	—			—			(42,171		)	—			(42,171		)
Change in restricted cash related to construction projects	—			—			(9,377		)	—			(9,377		)
Distribution from unconsolidated real estate entity	—			—			22,250			—			22,250
Contributions to unconsolidated real estate entity	—			—			(6,700		)	—			(6,700		)
Investments in subsidiaries	(197,665		)	(158,022		)	(1,179		)	356,866			—
Additions to investments	—			(353		)	(35,941		)	—			(36,294		)
Proceeds from sales of investments	—			2,600			24,443			—			27,043
Net cash (used in) provided by investing activities	$	(198,978	)	$	(155,775	)	$	(560,213	)	$	356,866		$	(558,100	)

Condensed Consolidating Statement of Cash Flows (continued)

for the Year Ended December 31, 2012

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Financing Activities
Borrowings from secured notes payable	$	—		$	—	$	17,810		$	—		$	17,810
Repayments of borrowings from secured notes payable	—			—		(26,367		)	—			(26,367		)
Proceeds from issuance of unsecured senior notes payable	544,650			—		—			—			544,650
Principal borrowings from unsecured senior line of credit	847,147			—		—			—			847,147
Repayments of borrowings from unsecured senior line of credit	(651,147		)	—		—			—			(651,147		)
Repayment of unsecured senior bank term loan	(250,000		)	—		—			—			(250,000		)
Repurchase of unsecured senior convertible notes	(84,801		)	—		—			—			(84,801		)
Redemption of Series C Cumulative Redeemable Preferred Stock	(129,638		)	—		—			—			(129,638		)
Proceeds from issuance of Series E Cumulative Redeemable Preferred Stock	124,868			—		—			—			124,868
Transfer to/from parent company	—			157,689		199,177			(356,866		)	—
Change in restricted cash related to financings	—			—		(7,428		)	—			(7,428		)
Deferred financing costs paid	(10,180		)	—		(3,045		)	—			(13,225		)
Proceeds from common stock offering	97,890			—		—			—			97,890
Proceeds from exercise of stock options	155			—		—			—			155
Dividends paid on common stock	(126,498		)	—		—			—			(126,498		)
Dividends paid on preferred stock	(27,819		)	—		—			—			(27,819		)
Distributions to redeemable noncontrolling interests	—			—		(1,249		)	—			(1,249		)
Redemption of redeemable noncontrolling interests	12			—		(462		)	—			(450		)
Contributions by noncontrolling interests	—			—		1,875			—			1,875
Distributions to noncontrolling interests	—			—		(913		)	—			(913		)
Net cash provided by (used in) financing activities	334,639			157,689		179,398			(356,866		)	314,860
Effect of foreign exchange rate changes on cash and cash equivalents	—			—		139			—			139
Net increase (decrease) in cash and cash equivalents	87,959			1,914		(27,441		)	—			62,432
Cash and cash equivalents at beginning of period	10,608			—		67,931			—			78,539
Cash and cash equivalents at end of period	$	98,567		$	1,914	$	40,490		$	—		$	140,971
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest, net of interest capitalized	$	39,298		$	—	$	13,263		$	—		$	52,561
Non-Cash Investing Activities
Note receivable from sale of real estate	$	—		$	—	$	6,125		$	—		$	6,125
Write-off of fully amortized improvements	$	—		$	—	$	(17,730	)	$	—		$	(17,730	)
Change in accrued capital expenditures	$	(2,000	)	$	—	$	48,087		$	—		$	46,087

Condensed Consolidating Statement of Cash Flows

for the Year Ended December 31, 2011

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating Activities
Net income	$	131,418		$	191,674		$	211,066		$	(398,765	)	$	135,393
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	4,938			—			153,088			—			158,026
Loss on early extinguishment of debt	6,485			—			—			—			6,485
Gain on sale of land parcel	—			—			(46		)	—			(46		)
Impairment of real estate	—			—			994			—			994
Amortization of loan fees and costs	6,915			—			2,385			—			9,300
Amortization of debt premiums/discounts	3,534			—			285			—			3,819
Amortization of acquired above and below market leases	—			—			(9,332		)	—			(9,332		)
Deferred rent	100			—			(26,897		)	—			(26,797		)
Stock compensation expense	11,755			—			—			—			11,755
Equity in (income) loss related to subsidiaries	(202,829		)	(192,143		)	(3,793		)	398,765			—
Investment gains	—			(427		)	(4,419		)	—			(4,846		)
Investment losses	—			883			912			—			1,795
Changes in operating assets and liabilities:
Restricted cash	4			—			(469		)	—			(465		)
Tenant receivables	(12		)	—			(2,347		)	—			(2,359		)
Deferred leasing costs	(699		)	—			(55,527		)	—			(56,226		)
Other assets	2,550			—			(24,909		)	—			(22,359		)
Intercompany receivables and payables	(1,418		)	—			1,418			—			—
Accounts payable, accrued expenses, and tenant security deposits	6,274			—			35,549			—			41,823
Net cash (used in) provided by operating activities	(30,985		)	(13		)	277,958			—			246,960
Investing Activities
Proceeds from sale of properties	—			—			20,078			—			20,078
Additions to properties	(1,624		)	—			(428,414		)	—			(430,038		)
Purchase of properties	—			—			(305,030		)	—			(305,030		)
Change in restricted cash related to construction projects	—			—			(2,183		)	—			(2,183		)
Contributions to unconsolidated real estate entity	—			—			(5,256		)	—			(5,256		)
Investments in subsidiaries	(548,884		)	(477,482		)	(11,951		)	1,038,317			—
Additions to investments	—			(2,451		)	(25,548		)	—			(27,999		)
Proceeds from sales of investments	—			3,471			13,378			—			16,849
Net cash (used in) provided by investing activities	$	(550,508	)	$	(476,462	)	$	(744,926	)	$	1,038,317		$	(733,579	)

Condensed Consolidating Statement of Cash Flows (continued)

for the Year Ended December 31, 2011

(In thousands)

	Alexandria Real Estate Equities, Inc. (Issuer)			Alexandria Real Estate Equities, L.P. (Guarantor Subsidiary)			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Financing Activities
Repayments of borrowings from secured notes payable	$	—		$	—		$	(66,849	)	$	—		$	(66,849	)
Principal borrowings from unsecured senior line of credit	1,406,000			—			—			—			1,406,000
Repayments of borrowings from unsecured senior line of credit	(1,784,000		)	—			—			—			(1,784,000		)
Principal borrowings from unsecured senior bank term loan	1,350,000			—			—			—			1,350,000
Repayment of unsecured senior bank term loan	(500,000		)	—			—			—			(500,000		)
Repurchase of unsecured senior convertible notes	(221,439		)	—			—			—			(221,439		)
Transfer to/from parent company	—			475,873			562,444			(1,038,317		)	—
Change in restricted cash related to financings	—			—			7,311			—			7,311
Deferred financing costs paid	(25,493		)	—			(1,823		)	—			(27,316		)
Proceeds from common stock offering	451,539			—			—			—			451,539
Proceeds from exercise of stock options	2,117			—			—			—			2,117
Dividends paid on common stock	(106,889		)	—			—			—			(106,889		)
Dividends paid on preferred stock	(28,357		)	—			—			—			(28,357		)
Contributions by redeemable noncontrolling interests	—			—			9			—			9
Distributions to redeemable noncontrolling interests	—			—			(1,263		)	—			(1,263		)
Contributions by noncontrolling interests	—			—			1,000			—			1,000
Distributions to noncontrolling interests	—			—			(2,707		)	—			(2,707		)
Net cash provided by (used in) financing activities	543,478			475,873			498,122			(1,038,317		)	479,156
Effect of foreign exchange rate changes on cash and cash equivalents	—			—			(5,230		)	—			(5,230		)
Net (decrease) increase in cash and cash equivalents	(38,015		)	(602		)	25,924			—			(12,693		)
Cash and cash equivalents at beginning of period	48,623			602			42,007			—			91,232
Cash and cash equivalents at end of period	$	10,608		$	—		$	67,931		$	—		$	78,539
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest, net of interest capitalized	$	30,292		$	—		$	22,032		$	—		$	52,324
Changes in accrued capital expenditures	$	(987	)	$	—		$	4,479		$	—		$	3,492