Property Dispositions and Assets Held for Sale

12 Months Ended

Dec. 31, 2012

Property Dispositions and Assets Held for Sale

Property Dispositions and Assets Held for Sale

4. Property Dispositions and Assets Held for Sale

        In October 2012, we entered into an agreement to sell the property located at 44 West 55^th Street for $6.3 million. This transaction closed on February 6, 2013.

        In February 2012, we sold our leased fee interest at 292 Madison Avenue for $85.0 million. We recognized a gain of $6.6 million on the sale which is net of a $1.5 million employee compensation award, accrued in connection with the realization of this investment gain as a bonus to certain employees that were instrumental in realizing the gain on this sale.

        In May 2011, we sold our 359,000 square foot (unaudited) property located at 28 West 44^th Street for $161.0 million. We recognized a gain of $46.1 million on the sale.

        In September 2010, we sold our 292,000 square foot (unaudited) property located at 19 West 44^th Street in Manhattan for $123.2 million. We recognized a gain on the sale of approximately $35.5 million which is net of a $0.5 million employee compensation award, accrued in connection with the realization of this investment gain as a bonus to certain employees that were instrumental in realizing the gain on this sale.

        Discontinued operations includes the results of operations of real estate assets sold prior to, or held for sale as of December 31, 2012. This includes 19 West 44^th Street, which was sold in September 2010, 28 West 44^th Street, which was sold in May 2011, 292 Madison Avenue, which was sold in February 2012, and 44 West 55^th Street, which is held for sale.

        The following table summarizes income from discontinued operations for the years ended December 31, 2012, 2011 and 2010, respectively (amounts in thousands).

	Year Ended December 31,
	2012		2011		2010
Revenues
Rental revenue	$	3,357	$	12,636	$	22,912
Escalation and reimbursement revenues		31		873		4,683
Other income		8,189		60		881
Total revenues		11,577		13,569		28,476
Operating expense		714		1,654		7,403
Real estate taxes		95		1,033		4,776
Transaction related costs		160		—		—
Interest expense, net of interest income		1,410		4,253		2,998
Amortization of deferred financing costs		—		172		883
Depreciation and amortization		82		676		5,326
Marketing, general and administrative and transaction related costs		—		1		26
Total expenses		2,461		7,789		21,412
Net income from discontinued operations	$	9,116	$	5,780	$	7,064