Real Estate Properties (Tables)

12 Months Ended

Dec. 31, 2020

Real Estate [Abstract]

Summary of Properties Disposed and Income Statement Information for Properties Included in Discontinued Operations

During the year ended December 31, 2020, we sold the following properties, which did not represent strategic shifts under ASC Topic 2015 (dollars in thousands):

Property	Date Sold	Number of Properties	Number of Buildings	Square Footage	Gross Sale Price(1)		Gain on Sale
109 Brookline Avenue	February 2020	1	1	285,556	$	270,000	$	225,190
333 108th Avenue NE(2)	March 2020	1	1	435,406	401,500		194,662
Georgetown-Green and Harris Buildings	May 2020	1	2	240,475	85,000		24,916
		3	4	961,437	$	756,500	$	444,768

(1)Gross sale price is before transfer taxes and credits, such as capital costs, contractual lease costs and rent abatements.

(2)The sale represents an individually significant disposition. The operating results of this property are included in continuing operations for all periods presented through the date of sale. Net income related to this property was $193.4 million, of which $194.7 million related to the gain on sale, $14.2 million and $12.8 million for the years ended December 31, 2020, 2019 and 2018, respectively.

During the year ended December 31, 2019, we sold the following properties, which did not represent strategic shifts under ASC Topic 2015 (dollars in thousands):

Property	Date Sold	Number of Properties	Number of Buildings	Square Footage	Gross Sale Price(1)		Gain on Sale
1735 Market Street(2)	March 2019	1	1	1,286,936	$	451,600	$	192,985
600 108th Avenue NE(3)	April 2019	1	1	254,510	195,000		149,009
Research Park(4)	June 2019	1	4	1,110,007	165,500		78,158
		3	6	2,651,453	$	812,100	$	420,152

(1)Gross sale price is before transfer taxes and credits, such as capital costs, contractual lease costs and rent abatements.

(2)Certain of our subsidiaries sold 100.0% of the equity interests in the fee simple owner of this property. The sale represents an individually significant disposition. The operating results of this property are included in continuing operations for all periods presented through the date of sale. Net income related to this property was $0.1 million, $197.5 million, of which $193.0 million related to the gain on sale, and $8.5 million for the years ended December 31, 2020, 2019 and 2018 respectively.

(3)The property includes an office building and additional development rights.

(4)There was consideration of $2.0 million being held in escrow related to the sale of this property. In June 2020, these proceeds were released to the Company, and we recorded an additional $2.0 million gain on the sale for the year ended December 31, 2020.

During the year ended December 31, 2018, we sold the following properties, which did not represent strategic shifts under ASC Topic 2015 (dollars in thousands):

Property	Date Sold	Number of Properties	Number of Buildings	Square Footage	Gross Sale Price(1)		Gain (Loss) on Sale
1600 Market Street	February 2018	1	1	825,968	$	160,000	$	54,599
600 West Chicago Avenue(2)	February 2018	1	2	1,561,477	510,000		107,790
5073, 5075, & 5085 S. Syracuse Street	March 2018	1	1	248,493	115,186		42,762
1601 Dry Creek Drive	May 2018	1	1	552,865	68,500		26,979
777 East Eisenhower Parkway	August 2018	1	1	290,530	29,500		5,308
8750 Bryn Mawr Avenue	September 2018	1	2	636,078	141,000		15,194
97 Newberry Road	December 2018	1	1	289,386	7,100		(1,174)
		7	9	4,404,797	$	1,031,286	$	251,458

(1)Gross sale price is before transfer taxes and credits, such as capital costs, contractual lease costs and rent abatements.

(2)The sale represents an individually significant disposition. The operating results of this property are included in continued operations for all periods presented through the date of sale. Net income for this property was $0.3 million, $0.3 million and $110.6 million, of which $107.8 million related to the gain on sale, for the years ended December 31, 2020, 2019 and 2018, respectively.

Schedule of Future Minimum Lease Payments, Excluding Tenant Reimbursement Revenue, Scheduled to be Received

The future minimum lease payments, excluding tenant reimbursement revenue, scheduled to be received by us during the current terms of our leases as of December 31, 2020 are as follows (in thousands):

2021	$	35,796
2022	34,511
2023	32,300
2024	25,799
2025	22,144
Thereafter	68,183
	$	218,733

Schedule of Rental Revenue

Rental revenue consists of the following (in thousands):

	December 31,
	2020		2019		2018
Lease payments	$	40,514	$	81,698	$	129,539
Variable lease payments	21,620		35,171		54,829
Rental revenue	$	62,134	$	116,869	$	184,368