EX-99.1 3 dex991.txt EXHIBIT 99.1 Carr America(R) America's Workplace(R) [PICTURE] [PICTURE] [PICTURE] Supplemental Operating and Financial Data For the Quarter Ended March 31, 2003 All dollar amounts shown in this report are in U.S. dollars. This supplemental Operating and Financial Data is not an offer to sell or solicitation to buy any securities of the Company. Any offers to sell or solicitations to buy any securities of the Company shall be made by means of a prospectus. TABLE OF CONTENTS
PAGE ---- CORPORATE OVERVIEW The Company ................................................................ 1 Board of Directors / Executive Officers / Research Coverage ................ 2 Regional Offices / Investor Relations / Information Requests ............... 3 FINANCIAL HIGHLIGHTS Key Quarterly Financial Data ............................................... 4-6 Same Store Results and Analysis ............................................ 7 Financial Ratios ........................................................... 8 Share and Operating Partnership Unit Data .................................. 9 Debt Capitalization Summary ................................................ 10-11 Corporate Investment Information ........................................... 12 Unconsolidated Equity Investments .......................................... 13 SEGMENT ANALYSIS Core Operating Properties ------------------------- Current Summary of Operating Properties ................................... 14-17 Occupancy Summary and Lease Roll-over Schedule ............................. 18-19 Operating Portfolio Lease Economics ........................................ 20 Top 25 Tenants by Rent ..................................................... 21 Development ----------- Development Activity by Market ............................................. 22 Land Held for Development Schedule ......................................... 23
THE COMPANY CarrAmerica Realty Corporation (the "Company") is a self-administered and self-managed equity real estate investment trust ("REIT"), organized under the laws of Maryland, which owns, develops, acquires and operates office properties. The Company's office properties are located primarily in 12 suburban markets across the United States. CURRENT PORTFOLIO (consolidated, stabilized; as of 3/31/03) 262 Properties 20.5 Million Square Feet (consolidated/unconsolidated; as of 3/31/03) 298 Properties 25.4 Million Square Feet CARRAMERICA MISSION STATEMENT Our primary goal is to excel in meeting the needs of our customers by providing built environments of the highest quality and services that continue to set new standards of excellence. The core values that infuse our efforts are quality, integrity, a sense of community and a genuine commitment to people. UNSECURED SENIOR DEBT RATINGS Fitch: BBB Moody's: Baa2 Standard & Poor's: BBB WEIGHTED AVERAGE OCCUPANCY (stabilized) 90.4% Consolidated Properties 91.0% All Properties REGIONAL DISTRIBUTION (stabilized; as of 3/31/03) Based on Based on Square NOI Footage ------------- --------------- Pacific region 55.1% 50.6% Eastern region 28.6% 26.3% Central region 9.0% 13.0% Mountain region 7.3% 10.1% MARKETS (stabilized; as of 3/31/03) % of NOI % of Sq. Ft. -------- ----------- San Francisco Bay Area 31.4 26.9 Washington DC Metro 23.6 17.2 Southern California 14.5 15.0 Seattle/Portland 9.2 8.7 Salt Lake City/Phoenix 5.0 5.7 Atlanta 5.0 9.1 Chicago 4.1 6.0 Dallas 3.4 4.9 Denver 2.3 4.4 Austin 1.5 2.1 -------- ----------- 100.0 100.0 -------- ----------- BOARD OF DIRECTORS Thomas A. Carr Chairman of the Board and Chief Executive Officer CarrAmerica Realty Corporation Andrew F. Brimmer President Brimmer & Company Inc. Oliver T. Carr, Jr. Chairman of the Board The Oliver Carr Company Philip L. Hawkins President and Chief Operating Officer CarrAmerica Realty Corporation Timothy Howard Executive Vice President and Chief Financial Officer Fannie Mae Robert E. Torray Chairman Robert E. Torray & Co., Inc. Wesley S. Williams, Jr. Partner Covington & Burling EXECUTIVE OFFICERS Thomas A. Carr Chief Executive Officer Philip L. Hawkins President and Chief Operating Officer Stephen E. Riffee Chief Financial Officer Karen B. Dorigan Chief Investment Officer Linda A. Madrid Managing Director, General Counsel and Corporate Secretary RESEARCH COVERAGE(1) David Aubuchon A.G. Edwards (314) 955-5452 Lee Schalop/Alexis Hughes Bank of America Securities (212) 847-5677/(212) 847-5705 Louis Taylor Deutsche Banc Alex. Brown (212) 469-4912 Christopher Haley/Donald Fandetti First Union (443)263-6773/(443) 263-6537 David Kostin Goldman, Sachs & Company (212) 902-6781 John Lutzius/Elizabeth Morse Green Street Advisors (949) 640-8780 David Fick/Ken Weinberg Legg Mason Wood Walker (410) 454-5018/(410) 454-5175 David Harris Lehman Brothers (212) 526-5702 Steve Sakwa/Brian Legg Merrill Lynch & Company, Inc. (212) 449-0335/(212) 449-1153 Greg Whyte Morgan Stanley Dean Witter (212) 761-6331 Jim Sullivan Prudential Securities (212) 778-2515 Jonathan Litt/Gary Boston Salomon Smith Barney (212) 816-0231/(212) 816-1383 (1)Carramerica Realty Corp. is followed by the analyst(s) listed above. Please note that any opinions, estimates or forecasts regarding Carramerica Realty Corp.'s performance made by these analysts are theirs alone and do not represent opinions, forecasts or predictions of Carramerica Realty Corp. or its management. Carramerica Realty Corp. does not by its reference above or distribution imply its endorsement of or concurrence with such information, conclusions or recommendations. 2 CORPORATE HEADQUARTERS 1850 K Street, N.W. Suite 500 Washington, D.C. 20006 (202) 729-1700 REGIONAL OFFICES Atlanta, Georgia J. Thad Ellis, Regional Managing Director Austin, Texas Jeffrey S. Pace, Regional Managing Director Chicago, Illinois Gerald J. O'Malley, Regional Managing Director Dallas, Texas William Vanderstraaten, Regional Managing Director Denver, Colorado Robert Milkovich, Regional Managing Director Northern California Christopher Peatross, Regional Managing Director Phoenix, Arizona Robert Milkovich, Regional Managing Director Salt Lake City Robert Milkovich, Regional Managing Director Seattle/Portland Clete Casper, Regional Managing Director Southern California Malcolm O'Donnell, Regional Managing Director Washington, D.C. John Donovan, Regional Managing Director STOCK EXCHANGE LISTINGS New York Stock Exchange TRADING SYMBOL CRE INVESTOR RELATIONS CarrAmerica Realty Corporation 1850 K Street, N.W. Washington, D.C. 20006 Telephone: (202) 729-1700 Fax: (202) 729-1060 CONTACT Stephen M. Walsh Senior Vice President, Capital Markets Telephone: (202) 729-1764 E-mail: swalsh@carramerica.com INFORMATION REQUEST To request a standard Investor Relations package, Annual Report, or to be added to our mailing or fax list, please contact or address an e-mail to: Investor Relations at (202) 729-7518 Or 1 (800) 417-2277 swalsh@carramerica.com CarrAmerica. PLEASE VISIT OUR CORPORATE WEB SITE AT: www.carramerica.com 3 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Key Quarterly Financial Data
($ and shares in thousands) 3/31/03 12/31/02 9/30/02 6/30/02 3/31/02 ------------------------------------------------------------------------------------- Shares and Units: ---------------- Common Shares 51,851 51,836 53,131 53,116 52,760 Outstanding OP Units (a) 5,570 5,579 5,708 5,704 5,882 Combined Shares and OP Units (a) 57,421 57,415 58,839 58,820 58,642 Weighted Average - Basic 51,608 52,817 53,124 53,015 52,326 Weighted Average - Adjusted 51,936 53,727 53,818 54,316 59,700 Share Price: ------------ At the End of the Period $ 25.35 $ 25.05 $ 25.17 $ 30.85 $ 31.41 High During Period 25.60 27.30 30.75 33.30 31.76 Low During Period 23.25 21.94 24.00 29.74 29.10 Capitalization Summary: ----------------------- Market Value of Common Equity $ 1,455,622 $ 1,438,246 $ 1,480,978 $ 1,814,597 $ 1,841,945 Preferred Equity 200,634 254,518 260,707 379,525 400,000 Total Debt (f) 1,675,310 1,607,356 1,569,826 1,401,910 1,417,276 Total Market Capitalization 3,331,566 3,300,120 3,311,511 3,596,032 3,659,221 Total Debt/Total Market Capitalization 50.3% 48.7% 47.4% 39.0% 38.7% Financial Information: ---------------------- Total Assets $ 2,798,635 $ 2,815,705 $ 2,812,209 $ 2,750,884 $ 2,771,262 Book Value of Real Estate Assets (before accumulated depreciation) 3,072,957 3,065,392 3,012,611 2,964,435 2,944,629 Total Liabilities 1,795,263 1,741,692 1,664,936 1,519,583 1,514,715 Total Minority Interest (including OP) 76,144 76,222 77,962 80,622 79,598 Total Shareholders' Equity 927,228 997,791 1,043,714 1,150,679 1,176,949 Total Operating Revenues 133,358 137,937 133,208 126,381 130,202 Property NOI 83,429 85,389 83,657 81,438 82,881 Property Operating Margin 65.3% 65.4% 65.5% 64.4% 63.7% EBITDA (e) 80,123 82,167 81,630 82,977 81,920 Interest Coverage Ratio (b,e,g) 3.1 3.3 3.3 3.4 3.4 Interest Coverage Ratio (c,e,g) 3.1 3.2 3.3 3.3 3.2 Fixed Charge Coverage Ratio (b,e,g) 2.3 2.4 2.3 2.3 2.2 Fixed Charge Coverage Ratio (c,e,g) 2.3 2.3 2.3 2.2 2.1 Adjusted Funds From Operations (d) 50,081 51,904 46,936 40,483 48,112 Dividends Declared 0.5000 0.5000 0.5000 0.5000 0.5000 FFO Payout Ratio - Adjusted (h) 57.5% 56.8% 57.5% 66.7% 61.7% EPS Payout Ratio (h) 192.3% 147.1% 65.8% 238.1% 294.1% Net-Straight Line Revenue/Expense Adjustment 2,153 2,583 2,211 2,229 2,903 Portfolio Size (including unconsolidated properties): ----------------------------------------------------- Buildings 298 296 294 290 290 Total Square Footage (in thousands) 25,392 25.207 24,874 24,982 24,969 Current Weighted Average Occupancy 91.0% 92.3% 92.7% 93.9% 94.2%
(a) Operating partnership. (b) Excluding capitalized interest. (c) Including capitalized interest. (d) Represents adjusted Funds from Operations (FFO). Funds from operations is defined as net income (loss), excluding gains (losses) on sales of property, plus depreciation and amortization of assets and after adjustments for unconsolidated partnerships and joint ventures. Adjusted funds from operations is computed to reflect all operating partnership units as if they were converted to common shares for any period in which they are not antidulitive. (e) Excludes $2,400 and $6,293 of HQ lease guarantees in the first quarter and second quarter, respectively, of 2002. See page 6 for reconciliation of EBITDA to net income. (f) Excludes bond issue costs and discounts and fair value of interest rate swap. (g) Refer to page 8 for definintion. (h) Refer to page 6 for calculation of these amounts. 4 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Key Quarterly Financial Data - Reconciliation of Non-GAAP Financial Measures Reconciliation of Adjusted Funds from Operations to Net Income
Quarter Ended ------------------------------------------------------------------------------- (In thousands) 03/31/2003 12/31/2002 09/30/2002 06/30/2002 03/31/2002 ------------------------------------------------------------------------------- Net income $ 18,971 $ 23,501 $ 48,119 $ 20,185 $ 17,500 Adjustments: Depreciation and amortization 33,343 35,745 32,331 33,266 35,903 Minority interest 2,796 2,329 (36) (1,576) 2,397 Gain (loss) on sale of property and other provisions, net 277 (4,099) (7,042) (2,875) 860 Gain on sale of discontinued operations - - (19,085) - - Preferred stock dividends (5,306) (5,572) (7,351) (8,517) (8,548) ------------------------------------------------------------------------------- Adjusted funds from operations/1/ $ 50,081 $ 51,904 $ 46,936 $ 40,483 $ 48,112 ===============================================================================
We believe that adjusted funds from operations is helpful to investors as a measure of our performance. Adjusted FFO excludes various items included in net income that do not relate to or are not indicative of our operating performance, such as gains and losses on sales of real estate and real estate related depreciation and amortization, which can make periodic analyses of operating performance more difficult to compare. We also believe that adjusted FFO provides investors with an indication of our ability to incur and service debt, to make capital expenditures and to fund other cash needs. Reconciliation of Adjusted Funds from Operations per Share to Diluted Earnings per Share from Continuing Operations
Quarter Ended --------------------------------------------------------------------------------------- (In thousands) 03/31/2003 12/31/2002 09/30/2002 06/30/2002 03/31/2002 --------------------------------------------------------------------------------------- Diluted net income per share $ 0.26 $ 0.34 $ 0.76 $ 0.21 $ 0.17 Add: Depreciation and amortization 0.57 0.66 0.60 0.61 0.60 Less: Gain (loss) on sale of property and other provisions, net - (0.08) (0.13) (0.05) (0.01) Minority interest adjustment (0.03) (0.03) - (0.02) (0.03) Gain on sale of discontinued operations - - (0.36) - - Adjustment for share difference/2/ 0.07 (0.01) - - 0.08 --------------------------------------------------------------------------------------- Adjusted funds from operations per share/1/ $ 0.87 $ 0.88 $ 0.87 $ 0.75 $ 0.81 =======================================================================================
/1/ Funds from operations is defined as net income (loss), excluding gains (losses) on sales of property, plus depreciation and amortization of assets and after adjustments for unconsolidated partnerships and joint venture. Adjusted funds from operations is computed to reflect all operating partnership units as if they were converted to common shares for any period in which they are not antidilutive. /2/ Operating partnership units are considered to be converted to common shares for any period in which they are not antidilutive. Adjusted FFO per share may include operating partnership units in periods which operating partnership units are antidilutive for EPS purposes. 5 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Key Quarterly Financial Data - Reconciliation of Non-GAAP Financial Measures (con't) Reconciliation of EBITDA to Net Income
Quarter Ended --------------------------------------------------------------------------- (In thousands) 03/31/2003 12/31/2002 09/30/2002 06/30/2002 03/31/2002 --------------------------------------------------------------------------- EBITDA $ 80,123 $ 82,167 $ 81,630 $ 82,977 $ 81,920 Add: Gain (loss) on sale of assets and other provisions, net (277) 4,099 26,129 2,875 (860) Less: Interest (25,537) (25,445) (24,456) (24,442) (24,388) Taxes (252) (57) (106) (61) (33) Depreciation and amortization (32,010) (34,082) (29,965) (31,487) (34,116) Minority interest (3,076) (2,681) (5,113) (3,384) (2,623) essention investment impairment - (500) - - - HQ lease guarantees - - - (6,293) (2,400) -------------------------------------------------------------------------- Net income $ 18,971 $ 23,501 $ 48,119 $ 20,185 $ 17,500 ==========================================================================
We believe that EBITDA is helpful as an alternative measure of operating performance due the significant nature of our long-lived assets and can be used to measure our ability to service debt, fund capital expenditures and expand our business. EBITDA excludes non cash charges such as depreciation and amortization as well as the interest cost associated with financing activities. It also excludes taxes. Secured Property Net Operating Income/EBITDA
Quarter Ended --------------------------------------------------------------------------- (In thousands except ratio) 03/31/2003 12/31/2002 09/30/2002 06/30/2002 03/31/2002 --------------------------------------------------------------------------- Secured Property NOI $ 19,243 $ 20,035 $ 25,556 $ 24,241 $ 23,858 Total EBITDA 80,123 82,167 81,630 82,977 81,920 Secured Property NOI/Total EBITDA 24.0% 24.4% 31.3% 29.2% 29.1%
Secured property NOI is computed as rental revenue less property operating expenses and real estate taxes from only those properties with mortgage debt. See the table above for reconciliation of EBITDA to net income.
Quarter Ended --------------------------------------------------------------------------- 03/31/2003 12/31/2002 09/30/2002 06/30/2002 03/31/2002 --------------------------------------------------------------------------- Calculation of Adjusted FFO Payout Ratio Dividends per share $ 0.50 $ 0.50 $ 0.50 $ 0.50 $ 0.50 FFO per adjusted share 0.87 0.88 0.87 0.75 0.81 Adjusted FFO Payout Ratio 57.5% 56.8% 57.5% 66.7% 61.7% Calculation of EPS Payout Ratio Dividends per share $ 0.50 $ 0.50 $ 0.50 $ 0.50 $ 0.50 EPS per diluted share 0.26 0.34 0.76 0.21 0.17 EPS Payout Ratio 192.3% 147.1% 65.8% 238.1% 294.1%
We believe that adjusted FFO payout ratio is helpful as one indicator of our ability to make our dividend payments through the cash items that comprise a part of our income from operations. As a real estate investment trust, the Company is required to payout 90% of its taxable income to shareholders. Adjusted FFO Payout Ratio is computed as dividends per share divided by adjusted FFO per share. EPS Payout Ratio is computed as dividends per share divided by EPS. Refer to table on page 5 for reconciliation of adjusted FFO per share to EPS. 6 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Same Store Operating Property Results (In thousands) Three Months Ended % March 31, Change ---------------------------- ---------- 2003 2002 ----------- ----------- Real estate operating revenue $ 120,954 $ 121,989 -0.8% Real estate operating expenses 40,671 40,236 1.1% ----------- ----------- Total real estate operating income - GAAP basis $ 80,283 $ 81,753 -1.8% =========== =========== Straight-line rent adjustment 1,623 2,424 -33.0% ----------- ----------- Total real estate operating income - Cash basis $ 78,660 $ 79,329 -0.8% =========== =========== YTD average occupancy 91.1% 94.2% -3.1% =========== =========== Same store square footage 19,438,786 =========== 7 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Financial Ratios -------------------------------------------------------------------------------- Financial Position Ratios for Operations: March 31, Dec. 31, 2003 2002 ----------- ---------- Total Debt/Total Capitalization (Book Value)(1) 61.7% 59.2% Total Debt/Total Capitalization (Market)(2) 50.3% 48.7% Operating Ratios for Operations: Three Months Ended March 31, ------------------------- 2003 2002 -------- -------- Secured Property Net Operating Income/EBITDA(3) 24.0% 29.1% Interest Coverage (4) Excluding capitalized interest 3.14 3.36 Including capitalized interest 3.09 3.24 Fixed Charge Coverage(5) Excluding capitalized interest 2.31 2.16 Including capitalized interest 2.28 2.11 Adjusted FFO Payout Ratio (6) 57.5% 61.7% G&A as a % of Revenue (7) 7.6% 8.2% NOTES: (1) Total debt excluding unamortized bond discount and fair market value of interest rate swaps divided by total debt excluding unamortized bond discount and fair market value of interest rate swaps plus stockholders' equity, minority interest, rents received in advance and security deposits. (2) Total debt excluding unamortized bond discount and fair market value of interest rate swaps divided by market value of common stock (total common shares outstanding at quarter end times closing market price at quarter end) plus preferred equity liquidation value and total debt excluding unamortized bond discount and fair market value of interest rate swaps. (3) See page 6 for a reconciliation of EBITDA to net income and the computation of these amounts. Secured property net operating income is rental revenue less property operating expenses and real estate taxes from only those properties with mortgage debt. (4) Calculated as net income less interest expense (including or excluding capitalized interest), income tax expense, depreciation and amortization expense, minority interest, obligations under lease guarantees and gain (loss) on sale of assets and other provisions, net divided by interest expense (including or excluding capitalized interest). (5) Calculated as net income less interest expense (including or excluding capitalized interest), income tax expense, depreciation and amortization expense, minority interest, obligations under lease guarantees and gain (loss) on sale of assets and other provisions, net divided by principal mortgage debt payments plus preferred dividends and interest expense (including or excluding capitalized interest). (6) Dividends divided by adjusted funds from operations (net income (loss), excluding gains (losses) on sales of property, plus depreciation and amortization of assets and after adjustments for unconsolidated partnerships and joint venture). See page 5 for a reconciliation of adjusted funds from operations to net income. (7) General and administrative expense divided by revenue plus interest income and equity on earnings in consolidated entities. 8 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Share and Operating Partnership Unit Data -------------------------------------------------------------------------------- The following table sets forth the Common and Series A Preferred shares of the Company and dividend and non-dividend paying operating partnership units outstanding at March 31, 2003 and December 31, 2002, and the weighted average Common and Series A Preferred shares of the Company and dividend and non-dividend paying operating partnership units outstanding for the quarter ended March 31, 2003 and 2002. The non-dividend paying units are not entitled to any distributions until they convert into dividend paying units on fixed dates in the future.
(In thousands) CarrAmerica Realty Corporation CarrAmerica Series A Realty Corporation Convertible Dividend Paying Non-Dividend Common Shares Preferred Shares Units Paying Units Outstanding Outstanding (a) Outstanding (b) Outstanding -------------------- ------------------ --------------- ----------- Outstanding as of March 31, 2003 51,851 - 5,570 89 December 31, 2002 51,836 - 5,579 89 Weighted average for the three months ended March 31, 2003 51,811 - 5,575 89 2002 52,326 12 5,754 179
Notes: (a) Series A Preferred shares were convertible into common shares on a one-for-one basis. Balance of shares were converted in the first quarter of 2002. (b) Operating partnership Units are convertible into cash or common shares on a one-for-one basis. (c) The Company has the following Cumulative Redeemable Preferred shares outstanding as of March 31, 2003 which are not included in the table above: Series B 889,017 Shares Series C 5,431,320 Shares Series D 1,705,010 Shares 9 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Debt Capitalization Summary -------------------------------------------------------------------------------- ($ in thousands)
Principal Interest Maturity Description of Notes/Lender Property Outstanding Rate Date --------------------------- -------- ------------- ---- ---- Sun Life Assurance Company of Canada Tract 17/Canyon Park Commons 4,574 9.13% 01-Dec-04 UBS Mortgage Finance Inc. U.S. West 12,022 7.92% 01-Dec-05 UBS Mortgage Finance Inc. U.S. West 3,585 7.92% 01-Dec-05 UBS Mortgage Finance Inc. U.S. West 5,378 7.92% 01-Dec-05 UBS Mortgage Finance Inc. U.S. West 5,378 7.92% 01-Dec-05 Salomon Brothers Redmond East 25,538 8.38% 01-Jan-06 State Farm Peterson (Note 2) 17,703 7.20% 01-Jan-06 Farm Bureau Life Insurance Co. Wateridge Pavilion 3,222 8.25% 01-Nov-06 Teachers Ins. and Ann. Assoc. of Amer. Wasatch Corporate Center 11,701 8.15% 02-Jan-07 Metropolitan Life Insurance Company 2600 West Olive 18,591 6.75% 01-Jan-09 Midland Loan Services Palomar Oaks 9,409 8.85% 01-Apr-09 Northwest Mutual 1255 23rd St (Note 1) 178,984 8.12% 01-Apr-09 Northwest Mutual 1730 Penn, I Square (Note 1) 37,317 8.12% 01-Apr-09 New York Life Insurance South Coast 14,575 7.13% 10-Jun-09 Business Men's Assurance Co. Sorenson - Bus. Men's Assur. 1,992 7.75% 01-Jul-11 Berkshire Life Insurance Co. Sorenson - Berkshire 1,461 8.88% 01-May-17 Aid Association for Lutherans 1747 Penn 13,519 9.50% 10-Jul-17 Aid Association for Lutherans 900 19th St/Pres. Plaza (Note 3) 14,789 8.25% 15-Jul-19 TransAmerica Life Insurance 1775 Penn 11,572 7.63% 01-Sep-09 --------- $ 391,310 ========= -------------------------------------------------------------------------------------------------------------------- ($ in thousands) Principal Maturity ----------------------------------------------------------------------------- 2008 & Description of Notes/Lender 2003 2004 2005 2006 2007 Thereafter --------------------------- ---- ---- ---- ---- ---- ---------- Sun Life Assurance Company of Canada 229 4,345 - - - - UBS Mortgage Finance Inc. 3,004 4,363 4,655 - - - UBS Mortgage Finance Inc. 850 1,291 1,444 - - - UBS Mortgage Finance Inc. 1,275 1,936 2,167 - - - UBS Mortgage Finance Inc. 1,275 1,936 2,167 - - - Salomon Brothers 393 569 24,576 - - - State Farm 654 929 16,120 - - - Farm Bureau Life Insurance Co. 56 80 87 2,999 - - Teachers Ins. and Ann. Assoc. of Amer. 205 293 318 10,885 - - Metropolitan Life Insurance Company 206 292 313 334 358 17,088 Midland Loan Services 148 213 233 255 278 8,282 Northwest Mutual 1,995 2,921 3,176 3,440 3,730 163,722 Northwest Mutual 417 609 662 717 778 34,134 New York Life Insurance 190 270 290 312 335 13,178 Business Men's Assurance Co. 133 190 205 222 240 1,002 Berkshire Life Insurance Co. 41 58 64 70 76 1,152 Aid Association for Lutherans 345 500 549 604 663 10,858 Aid Association for Lutherans 336 481 523 567 616 12,266 TransAmerica Life Insurance 105 150 162 175 188 10,792 ----------------------------------------------------------------------------- $ 11,857 $ 21,426 $ 57,711 $ 20,580 $ 7,262 $ 272,474 ========= ========= ========= ========= ========= =========
Note 1: Secured by International Square, 1730 Pennsylvania Avenue and 1255 23rd Street. Note 2: Secured by Century Springs West, Glenridge, Midori, Lakewood and Parkwood. Note 3: Holder has right to call loan any time after 8/1/04 with 6 months notice. Borrower can prepay any time after 7/1/04 without penalty. 10 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Debt Capitalization Summary - continued ------------------------------------------------------------------------------- ($ In thousands)
Unsecured Bonds Payable ----------------------- Principal Maturity ------------------------------------------------------- Principal Interest Maturity Outstanding Rate Date 2003 2004 2005 2006 ----------- ---- ---- ---- ---- ---- ---- 7.200% Notes due 2004* $ 150,000 7.200% 01-Jul-04 $ - $ 150,000 $ - $ - ----------- ----------- ----------- ----------- ----------- 7.375% Notes due 2007 $ 125,000 7.375% 01-Jul-07 $ - $ - $ - $ - ----------- ----------- ----------- ----------- ----------- 6.625% Notes due 2005 $ 100,000 6.625% 01-Mar-05 $ - $ - $ 100,000 $ - ----------- ----------- ----------- ----------- ----------- 6.875% Notes due 2008 $ 100,000 6.875% 01-Mar-08 $ - $ - $ - $ - ----------- ----------- ----------- ----------- ----------- 7.125% Notes due 2012 $ 400,000 7.125% 15-Jan-12 $ - $ - $ - $ - ----------- ----------- ----------- ----------- ----------- 5.261% Notes due 2007 $ 50,000 5.261% 30-Nov-07 $ - $ - $ - $ - ----------- ----------- ----------- ----------- ----------- 5.250% Notes due 2007* $ 175,000 5.250% 30-Nov-07 $ - $ - $ - $ - ----------- ----------- ----------- ----------- ----------- ------------------------------ 2008 & 2007 Thereafter ---- ---------- 7.200% Notes due 2004* $ - $ - ------------ ------------ 7.375% Notes due 2007 $ 125,000 $ - ------------ ------------ 6.625% Notes due 2005 $ - $ - ------------ ------------ 6.875% Notes due 2008 $ - $ 100,000 ------------ ------------ 7.125% Notes due 2012 $ - $ 400,000 ------------ ------------ 5.261% Notes due 2007 $ 50,000 $ - ------------ ------------ 5.250% Notes due 2007* $ 175,000 $ - ------------ ------------
*See Hedging Below
Unsecured Line of Credit ------------------------ Amount Amount Outstanding Outstanding Available Interest Maturity Beginning End Lender Commitment Rate Date of Year Advances Repayments of Period ------ ---------- ---- ---- ------- -------- ---------- --------- JP Morgan Chase $ 500,000 L+.700% 28-Jun-04 $ 88,000 $ 172,000 $ 76,000 $ 184,000
Notional Maturity Hedging Instruments Amount Terms Date Reset ------------------- ----------- ----- ---- ----- Interest rate swap $ 150,000 6ML+2.72% 01-Jul-04 Arrears Interest rate cap $ 97,000 1ML capped at 01-Sep-04 Prompt 6.75% Interest rate swap $ 175,000 6ML+1.40% 30-Nov-07 Arrears
Bond Covenants Actual Requirement -------------- ------ ----------- Consolidated income available for debt service 2.72 **1.50 Total indebtedness to total assets 49.3% *60% Total secured debt to total assets 11.5% *40% Unencumbered assets to unsecured indebtedness 199.6% **150%
* Denotes Less Than ** Denotes Greater Than 11 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Investment Balances
Investment Balance as of Accounting Percentage March 31, 2003 Method Ownership ($000) --------------- ---------------- ------------------ Carr Office Park LLC Equity 35% 51,730 575 7th Street Equity 30% 22,715 1919 Pennsylvania Assoc. Equity 49% 16,852 1717 Pennsylvania Equity 50% 9,421 1201 F Street Equity 35% 9,231 300 W. Sixth Street Equity 20% 7,857 Custer Court Equity 49% 3,104 AgilQuest Cost 18% 2,759 WCM JV Equity 16% 1,687 CC JM II Equity 50% 1,651 essention Cost 19% 1,204 ------------------ 128,211 ==================
12 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Unconsolidated Equity Investments As of and for the three months ended March 31, 2003 --------------------------------------------------------------------------------
Carr 1717 Custer 300 W. Office 1919 575 ($ in thousands) CC JM Penn Court 1201 F St. Sixth St. Park WCM JV Assoc. Seventh ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Equity Investment/1/ 1,801 9,439 2,745 10,040 6,950 73,512 1,473 17,564 16,672 Loans Payable/2/ 9,479 11,881 3,709 13,674 9,750 77,412 - 39,628 11,818 Percentage Ownership 50% 50% 49% 35% 20% 35% 16% 49% 30% Total revenue 1,304 1,967 314 2,761 2,679 17,354 359 4,618 - ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Expenses Operating expenses 398 795 163 981 1,145 6,564 55 1,748 - Interest expense 335 394 112 685 819 3,890 - 1,489 - Depreciation/ amortization 290 555 134 631 836 4,842 155 702 - ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Total expenses 1,023 1,744 409 2,297 2,800 15,296 210 3,939 - ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Net income 281 223 (95) 464 (121) 2,058 149 679 - ========== ========== ========== ========== ========== ========== ========== ========== ========== CarrAmerica's share of net net income 141 112 (47) 162 (24) 720 24 333 - Adjustments/3/ - - - - - (94) - - - ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- Equity in earnings 141 112 (47) 162 (24) 626 24 333 - ========== ========== ========== ========== ========== ========== ========== ========== ==========
/1/ CarrAmerica's share of the investee's equity /2/ CarrAmerica's percentage of investee's debt /3/ Adjustments made to investee's net income for equity in earnings 13 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Current Summary of Portfolio Operating Properties As Of March 31, 2003
Net Rentable Area in Number Square Percent of Feet/(1)/ Leased/(2)/ Buildings ------------- ------------ ------------ Consolidated Properties EAST REGION Downtown Washington, D.C.: International Square 1,014,914 97.3% 3 900 19th Street 101,215 100.0% 1 2550 M Street 192,393 100.0% 1 1730 Pennsylvania Avenue 229,292 98.7% 1 1255 23rd Street 306,395 96.9% 1 1747 Pennsylvania Avenue 151,997 100.0% 1 1775 Pennsylvania Avenue 143,857 98.6% 1 Suburban Washington, D.C.: One Rock Spring Plaza 205,721 100.0% 1 Sunrise Corporate Center 260,253 100.0% 3 Reston Crossing East & West 327,788 100.0% 2 TransPotomac V Plaza 97,006 96.7% 1 Canal Center 492,001 90.8% 4 ------------- ------------ ------------ Washington, D.C. Subtotal 3,522,832 97.4% 20 Atlanta, GA: Glenridge 63,494 98.4% 1 Century Springs West 95,206 72.2% 1 Holcomb Place 72,827 88.4% 1 Midori 100,195 51.1% 1 Parkwood 150,270 99.8% 1 Lakewood 80,768 32.4% 1 The Summit 179,085 86.4% 1 Spalding Ridge 127,833 87.2% 1 2400 Lake Park Drive 103,460 76.2% 1 680 Engineering Drive 62,154 61.5% 1 Embassy Row 465,835 85.0% 3 Embassy 100, 500 190,470 100.0% 2 Waterford Centre 83,170 52.6% 1 The Forum 90,462 100.0% 1 ------------- ------------ ------------ Atlanta Subtotal 1,865,229 81.9% 17 ------------- ------------ ------------ East Region Subtotal: 5,388,061 92.0% 37 26.3% PACIFIC REGION Southern California, Orange County/Los Angeles: Scenic Business Park 138,076 87.0% 4 Harbor Corporate Park 151,234 79.6% 4 Plaza PacifiCare 104,377 100.0% 1 Katella Corporate Center 80,609 100.0% 1 Warner Center 343,486 82.2% 12 South Coast Executive Center 161,787 61.0% 2 Warner Premier 61,210 87.3% 1 Von Karman 104,138 84.1% 1 2600 W. Olive 144,831 100.0% 1 Bay Technology Center 107,481 84.6% 2 Pacific Corporate Plaza 1,2, & 3 125,268 96.5% 3 Alton Deere Plaza 182,183 74.9% 6 Westlake Spectrum 108,084 78.7% 2 ------------- ------------ ------------ Orange County/Los Angeles Subtotal 1,812,764 84.2% 40
14 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Current Summary of Portfolio Operationg Properties As Of March 31, 2003
Net Rentable Area in Number Square Percent of Feet/(1)/ Leased/(2)/ Buildings --------------- ------------ ------------ Southern California, San Diego: Del Mar Corporate Plaza 123,142 100.0% 2 Wateridge Pavilion 62,194 89.4% 1 Towne Center Technology Park 1, 2, 3 182,120 100.0% 3 Lightspan 64,800 100.0% 1 La Jolla Spectrum 1 & 2 156,653 100.0% 2 Palomar Oaks Technology Park 170,357 83.1% 6 Jaycor 105,358 100.0% 1 Highlands Corporate Center 205,191 91.8% 5 11119 Torrey Pines Road 76,701 100.0% 1 Carroll Vista I & II 107,579 100.0% 3 --------------- ----------- ------------ San Diego Subtotal 1,254,095 95.8% 25 Northern California, San Francisco Bay Area: CarrAmerica Corporate Center 1,004,679 96.6% 7 Valley Business Park I 67,784 91.4% 2 Bayshore Centre 2 94,874 100.0% 1 Rincon Centre 201,178 88.4% 3 Valley Centre II 212,082 100.0% 4 Valley Office Centre 68,881 87.7% 2 Valley Centre 102,291 100.0% 2 Valley Business Park II 166,928 80.8% 6 Rio Robles 368,178 62.2% 7 First Street Technology Center 67,582 100.0% 1 Baytech Business Park 300,000 100.0% 4 3571 North First Street 116,000 100.0% 1 San Mateo Center I 72,137 28.6% 1 Oakmead West Land A-G 425,981 100.0% 7 San Mateo II & III 141,440 75.8% 2 Hacienda West 207,224 95.9% 2 Sunnyvale Technology Center 165,520 100.0% 5 Clarify Corporate Center 1, 2, 3, 4 258,048 100.0% 4 Valley Technology Center 1, 2, 3, 4, 5, 6 & 7 460,590 100.0% 7 Golden Gateway Commons 276,361 91.8% 3 Techmart Commerce Center 266,705 88.9% 1 Fremont Technology Park 1, 2, 3 139,304 100.0% 3 Mountain View Gateway Center 236,400 100.0% 2 Stanford Research Park 89,595 100.0% 2 --------------- ----------- ------------ San Francisco Subtotal 5,509,762 92.9% 79 Portland, OR: Sunset Corporate Park 132,531 60.0% 3 Rock Creek Corp Center 142,662 100.0% 3 --------------- ----------- ------------ Portland Subtotal 275,193 80.7% 6 Seattle, WA: Redmond East 396,497 89.7% 10 Redmond Hilltop B & C 90,880 100.0% 2 Canyon Park 316,667 98.7% 6 Willow Creek 96,179 100.0% 1 Willow Creek Corp. Center 1, 2, 3, 4, 5, & 6 328,537 65.4% 6 Canyon Park Commons 1, 2, 4 176,846 100.0% 3 Canyon Park Commons 95,290 100.0% 1 --------------- ----------- ------------ Seattle Subtotal 1,500,896 89.4% 29 --------------- ----------- ------------ Pacific Region Subtotal 10,352,710 91.3% 179 50.5%
15 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Current Summary of Portfolio Operationg Properties As Of March 31, 2003
Net Rentable Area in Number Square Percent of Feet/(1)/ Leased/(2)/ Buildings --------------- ------------ ------------ CENTRAL REGION Austin, TX: City View Centre 137,218 62.2% 3 City View Centre 128,716 100.0% 1 Tower of the Hills 166,149 100.0% 2 --------------- ------------ ------------ Austin Subtotal 432,083 88.0% 6 Chicago, IL: Parkway North I 252,207 84.3% 1 Unisys 368,653 64.7% 2 The Crossings 295,186 78.1% 1 Bannockburn I & II 209,950 86.0% 2 Bannockburn IV 108,801 92.3% 1 -------------- ----------- ------------ Chicago Subtotal 1,234,797 78.0% 7 Dallas, TX: Cedar Maple Plaza 112,995 95.1% 3 Quorum North 116,192 88.9% 1 Quorum Place 178,684 68.6% 1 Tollway Plaza 1, 2 359,903 95.8% 2 Two Mission Park 77,593 69.9% 1 5000 Quorum 162,155 88.0% 1 -------------- ----------- ------------ Dallas Subtotal 1,007,522 86.9% 9 -------------- ----------- ------------ Central Region Subtotal 2,674,402 82.9% 22 13.1% MOUNTAIN REGION Denver, CO: Harlequin Plaza 327,907 97.3% 2 Quebec Court I 130,000 100.0% 1 Quebec Court II 157,294 100.0% 1 Quebec Centre 106,865 92.0% 3 Dry Creek 2 & 3 185,957 67.3% 2 -------------- ----------- ------------ Denver Subtotal 908,023 91.3% 9 -------------- ----------- ------------ Phoenix, AZ: Qwest Communications 532,506 100.0% 4 Salt Lake City, UT: Sorenson Research Park 282,944 84.5% 5 Wasatch Corporate Center 178,231 78.2% 3 Wasatch Corporate Center 18 49,566 62.1% 1 Sorenson X 41,288 100.0% 1 Creekside I & II 78,000 100.0% 1 -------------- ----------- ------------ Salt Lake City Subtotal 630,029 83.9% 11 -------------- ----------- ------------ Mountain Region Subtotal 2,070,558 91.3% 24 10.1% TOTAL CONSOLIDATED PROPERTIES: 20,485,731 262 100.0% WEIGHTED AVERAGE 90.4%
16 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Current Summary of Portfolio Operating Properties As of March 31, 2003
Company's Net Rentable Effective Area in Number Property Square Percent of Property Ownership Feet/(1)/ Leased/(2)/ Buildings -------- --------- ------------ ----------- --------- Unconsolidated Properties Washington, D.C.: 1919 Pennsylvania Avenue 49.0% 328,667 99.5% 1 2025 M Street 49.0% 245,303 99.5% 1 1201 F Street 35.0% 226,922 99.6% 1 Bond Building 15.0% 162,182 100.0% 1 1717 Pennsylvania Avenue 50.0% 236,455 100.0% 1 Booz-Allen & Hamilton Building 50.0% 222,989 100.0% 1 Portland, OR: GM Call Center 16.2% 103,279 100.0% 1 Chicago Market Office: Parkway 3, 4, 5, 6, 10 35.0% 646,232 97.6% 5 Dallas Market Office: Royal Ridge Phase II, A,B 35.0% 505,386 92.5% 4 Custer Court 49.0% 120,838 44.7% 1 Austin Market Office: 300 W. 6th Street 20.0% 446,391 66.9% 1 Riata Corporate 35.0% 673,622 98.6% 8 Riata Crossing 35.0% 324,056 100.0% 4 Denver Market Office: Panorama I, II, III, V, VIII, X 35.0% 664,050 94.7% 6 TOTAL UNCONSOLIDATED PROPERTIES: 4,906,372 36 WEIGHTED AVERAGE 93.5% ALL OPERATING PROPERTIES TOTAL: 25,392,103 298 WEIGHTED AVERAGE 91.0%
/(1)/ Includes office, retail and parking space but excludes storage space. /(2)/ Includes space for leases that have been executed and have commenced as of Mar. 31, 2003. 17 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Lease Rollover Schedule - Stabilized Properties --------------------------------------------------------------------------------
Current YTD Aug/ Vacant Region/Market Sq. Feet Occupancy Occupancy Sq. Feet 2003 2004 2005 2006 ------------- -------- --------- --------- -------- ---- ---- ---- ---- PACIFIC REGION San Francisco Bay Area 5,509,762 92.9% 93.2% 389,256 531,851 585,016 825,110 1, 004,200 Orange County/Los Angeles 1,812,764 86.6% 86.4% 242,930 122,945 289,618 171,194 294,361 Seattle 1,500,896 89.4% 93.9% 158,617 209,592 193,355 365,479 102,210 San Diego 1,254,095 95.8% 95.8% 52,318 126,244 190,808 125,042 182,047 Portland 275,193 80.7% 80.7% 53,069 9,703 31,497 14,390 - MOUNTAIN REGION Denver 908,023 91.4% 91.7% 78,272 38,608 60,603 177,789 149,290 Phoenix 532,506 100.0% 100.0% - - - - - Salt Lake City 630,029 83.9% 85.7% 101,300 26,470 176,881 64,174 91,547 CENTRAL REGION Chicago 1,234,797 78.0% 81.0% 272,237 225,605 179,552 90,647 49,827 Dallas 1,007,522 86.8% 86.9% 132,502 227,581 123,427 98,271 49,230 Austin 432,083 88.0% 88.0% 51,809 6,383 269,657 7,387 18,270 EAST REGION Washington, DC Downtown Properties 2,140,063 98.1% 97.7% 41,619 36,146 58,594 602,453 369,750 Suburban Properties 1,382,769 96.5% 96.1% 48,484 74,694 124,378 277,371 72,693 Atlanta 1,865,229 81.9% 81.6% 338,285 248,364 167,484 90,972 68,288 Total 20,485,731 90.4% 91.0% 1,960,698 1 ,884,186 2,450,870 2,910,279 2,451,713 2013 & Region/Market 2007 2008 2009 2010 2011 2012 Thereafter ------------- ---- ---- ---- ---- ---- ---- ---------- PACIFIC REGION San Francisco Bay Area 581,193 690,718 409,331 183,653 - 307,756 1,678 Orange County/Los Angeles 366,045 200,039 17,029 25,428 18,830 30,402 33,943 Seattle 33,401 37,286 325,264 - - - 75,692 San Diego 31,261 - 84,949 97,054 - 287,478 76,894 Portland 122,127 - - 44,407 - - - MOUNTAIN REGION Denver 10,924 359,832 32,705 - - - - Phoenix 532,506 - - - - - - Salt Lake City 140,843 - - - - 28,814 - CENTRAL REGION Chicago 73,452 110,756 16,760 54,579 77,192 21,082 63,108 Dallas 131,863 164,264 69,517 4,278 6,589 - - Austin 51,541 - 27,036 - - - - EAST REGION Washington, DC Downtown Properties 281,941 216,284 86,474 33,251 3,528 239,237 170,786 Suburban Properties 147,311 54,492 372,409 95,761 67,901 47,275 - Atlanta 184,803 56,387 189,949 108,346 222,757 64,835 124,759 Total 2,689,211 1,890,058 1,631,423 646,757 396,797 1,026,879 546,860
Note: The Rollover Schedule has been adjusted in 2005 to reflect the approximate current expiration of approximately 472,000 square feet of leases with the International Monetary Fund (IMF) in the Downtown D.C. market. The leases include a provision that requires the IMF to give a minimum of 24 months notice with respect to vacating their leased space in the International Square property. To date, they have not given notice to vacate the property. 18 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Rent Rollover Schedule - Stabilized Properties --------------------------------------------------------------------------------
(in thousands) Region/Market 2003 2004 2005 2006 2007 2008 ------------- ---- ---- ---- ---- ---- ---- PACIFIC REGION San Francisco Bay Area $ 9,086,995 $14,255,570 $23,417,630 $24,709,868 $16,044,852 $15,042,055 Orange County/Los Angeles 2,561,626 6,688,003 3,907,827 7,752,887 5,487,054 3,192,743 Seattle 3,487,417 2,588,799 5,741,869 1,302,045 497,787 585,863 San Diego 2,783,903 3,604,494 3,776,812 4,082,296 547,233 - Portland 91,908 625,792 208,712 - 2,680,688 - MOUNTAIN REGION Denver 648,184 1,127,935 3,220,508 2,637,531 184,979 6,185,578 Phoenix - - - - 10,253,938 - Salt Lake City 403,265 2,707,098 1,061,778 1,090,972 1,895,992 - CENTRAL REGION Chicago 3,782,769 3,504,916 1,465,681 612,939 1,228,291 1,762,262 Dallas 5,057,147 2,797,371 2,143,474 1,043,016 2,495,463 3,629,580 Austin 116,195 4,589,270 169,338 332,122 644,852 - EAST REGION Washington, DC Downtown Properties 1,199,088 2,584,692 20,347,430 11,877,735 8,718,046 7,519,189 Suburban Properties 2,104,571 3,305,640 6,947,740 2,213,526 4,286,248 1,586,765 Atlanta 4,597,518 3,270,787 1,672,185 1,378,751 3,387,586 1,067,766 Total $35,920,586 $51,650,367 $74,080,984 $59,033,688 $58,353,009 $40,571,801 2013 & Region/Market 2009 2010 2011 2012 Thereafter ------------- ---- ---- ---- ---- ---------- PACIFIC REGION San Francisco Bay Area $ 8,037,030 $ 6,076,488 $ - $ 7,838,793 $ 53,096 Orange County/Los Angeles 347,392 487,566 273,412 - 907,360 Seattle 5,193,057 - - - 1,135,380 San Diego 2,614,644 2,965,045 - 5,284,453 3,231,393 Portland - 590,772 - - - MOUNTAIN REGION Denver 457,870 - - - - Phoenix - - - - - Salt Lake City - - - 459,583 - CENTRAL REGION Chicago 295,123 906,847 1,183,353 329,937 621,614 Dallas 1,433,007 85,560 158,136 - - Austin 477,996 - - - - EAST REGION Washington, DC Downtown Properties 2,869,010 1,297,026 131,005 8,165,341 5,951,800 Suburban Properties 7,669,261 2,737,960 1,945,257 1,377,286 - Atlanta 3,087,208 2,585,871 3,930,550 1,405,623 2,289,476 Total $32,481,598 $17,733,135 $ 7,621,713 $24,861,016 $14,190,119
Note: Represents rent rollover of minimum annualized base rent. Note: The Rollover Schedule has been adjusted in 2005 to reflect the approximate current expiration of approximately $15.5 million of leases with the International Monetary Fund (IMF) in the Downtown D.C. market. The leases include a provision that requires the IMF to give a minimum of 24 months notice with respect to vacating their leased space in the International Square property. To date, they have not given notice to vacate the property. 19 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Operating Portfolio Lease Economics
1st Quarter 2003 -------------------------------------------------------------------------------------------------------- Total New GAAP Prior GAAP % Change Ave. Lease Lease Tenant Total T/I's Executed Rental Rental In GAAP Term in Commissions Improvements and L/C's Market Sq. Ft. Rate Rate Rental Rate Years Per Sq. Ft. Per Sq. Ft. Per Sq. Ft. ------ ------- ---- ---- ----------- ----- ----------- ----------- ----------- Atlanta 67,709 17.70 20.52 -13.76% 3.93 2.49 6.39 8.88 Austin - - - - - - - - Chicago 182,805 22.99 25.35 -9.32% 6.23 7.37 15.64 23.01 Dallas 15,910 18.49 21.24 -12.95% 4.25 2.99 8.13 11.12 Denver 8,875 17.18 17.40 -1.25% 4.85 1.22 5.78 7.00 Los Angeles/Orange County 47,996 17.05 22.31 -23.58% 5.28 5.10 18.99 24.09 Portland - - - - - - - Salt Lake City 4,091 13.86 17.32 -19.98% 3.12 2.36 2.93 5.29 San Diego 17,059 31.41 36.47 -13.89% 2.67 4.65 12.26 16.91 San Francisco Bay 136,798 18.70 29.61 -36.83% 3.55 3.64 4.99 8.63 Seattle 42,960 21.57 23.45 -8.04% 4.99 - 7.40 7.40 Suburban Washington DC 13,432 29.83 26.30 13.43% 3.35 3.11 5.81 8.92 Downtown Washington DC 22,643 39.21 36.22 8.27% 6.95 8.76 33.79 42.55 Total 560,278 21.84 25.93 -15.77% 4.57 4.72 11.51 16.23
1st Quarter 2002 ------------------------------------------------------------------------------------------------------ Total New GAAP Prior GAAP % Change Ave. Lease Lease Tenant Total T/I's Executed Rental Rental In GAAP Term in Commissions Improvements and L/C's Market Sq. Ft. Rate Rate Rental Rate Years Per Sq. Ft. Per Sq. Ft. Per Sq. Ft. ------ ------- ---- ---- ----------- ----- ----------- ----------- ----------- Atlanta 8,578 21.33 23.50 -9.20% 2.38 2.91 2.14 5.05 Austin 45,987 23.17 22.89 1.20% 5.00 4.57 18.54 23.11 Chicago 58,325 20.72 24.03 -13.80% 3.63 3.80 0.57 4.37 Dallas 16,827 19.72 21.65 -8.90% 2.65 3.24 3.04 6.28 Denver 13,556 18.72 22.59 -17.10% 3.83 0.29 2.12 2.41 Los Angeles/Orange County 34,722 22.36 24.22 -7.70% 4.08 3.66 16.36 20.02 Portland 13,909 17.65 19.18 -10.90% 2.54 - - - Salt Lake City 50,625 18.69 14.90 25.40% 2.00 - - - San Diego 14,772 34.49 26.93 28.10% 3.87 4.82 4.79 9.61 San Francisco Bay 87,680 24.39 30.05 -18.80% 4.25 6.99 11.92 18.91 Seattle 2,171 23.17 22.55 2.70% 3.00 - - - Suburban Washington DC - - - - - - - - Downtown Washington DC - - - - - - - - Total 347,152 22.06 23.26 -5.20% 3.68 3.82 7.68 11.50
20 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES 25 Largest Tenants - Based on Annualized Base Rent --------------------------------------------------------------------------------
Percentage Percentage of of Portfolio Occupied Annualized Square Square Tenant Rent Feet Feet --------------------------------------------- ----------------- -------------------- -------------- INTERNATIONAL MONETARY FUND 4.13 501,068 2.70 AT&T 2.47 631,335 3.41 QWEST COMMUNICATON 2.46 532,506 2.87 APPLIED MATERIALS,INC 2.39 425,981 2.30 PEOPLESOFT, INC. 2.06 215,323 1.16 NEXTEL COMMUNICATIONS, INC. 1.76 380,867 2.06 NORTEL NETWORKS, INC. 1.74 258,048 1.39 SUN MICROSYSTEMS, INC. 1.53 239,608 1.29 PATTON BOGGS, L.L.P 1.51 190,975 1.03 CITIGROUP 1.40 231,146 1.25 MERRILL LYNCH 1.27 127,736 0.69 GATEWAY, INC. 1.27 287,478 1.55 SOFTWARE AG OF NORTH AMERICA 1.21 209,521 1.13 LATTICE SEMICONDUCTOR CORP 1.19 216,650 1.17 SAFECO INSURANCE CO OF AMERICA 1.04 265,658 1.43 PACIFIC BELL MOBILE SERVICES 0.97 164,159 0.89 FEDERAL DEPOSIT INSURANCE CORP 0.97 121,793 0.66 SAFEWAY INC. 0.94 145,350 0.78 KING & SPALDING 0.84 88,655 0.48 KPMG L.L.P. 0.80 135,558 0.73 THE SCRIPPS RESEARCH INSTITUTE 0.78 76,894 0.42 BOSTON SCIENTIFIC 0.76 212,082 1.14 CHRONICLE OF HIGHER EDUCATION 0.72 90,416 0.49 STELLCOM, INC. 0.71 97,054 0.52 WALT DISNEY COMPANY 0.70 115,820 0.63 ----------------- -------------------- -------------- TOTAL 35.62 5,961,681 32.17 ================= ==================== ==============
21 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Current Development Activity by Market --------------------------------------------------------------------------------
Estimated Estimated Wholly Owned Property Construction Estimated Remaining Total Estimated % Currently Under Construction Start Completion Stabilization In Place Costs to Projected Stabilized Leased or @ March 31, 2003 Square Feet Date Date Date Dev Costs Complete Investment Return Committed ------------------------------------------------------------------------------------------------------------------------------------ Washington, DC 675 E Street/1/ - 4Q01 3Q03 n/a 6,565 13,371 19,936 n/a n/a --------- --------- --------- --------- --------- -----------
/1/ 675 E Street is a residential project with units for sale. There is no rentable square footage or yield based on income associated with this project.
Partially Owned Property Under Construction % @ March 31, 2003/2/ Ownership ------------------------------------------------------------------------------------------------------------------------------------ Washington, DC 575 7th Street 30% 476,551 3Q01 3Q03 3Q04 96,057 62,981 159,038 10.9% 54.4% ---------- --------- ---------- ---------- ------- -----------
/2/ Project yields represent Carr's yields, exclusive of fees. 22 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES Land Held for Future Development
Buildable Office Square Region/Property Market Acres Feet ---------------------------------------------- ----------------- ------------- ---------------- Wholly Owned Land ----------------- Pacific Region Canyon Pointe A-B Seattle, WA 10 173,760 Sunset Corporate Portland, OR 12 124,800 ------ ----------- Subtotal 22 298,560 Mountain Region Dry Creek Corporate Center Denver, CO 80 678,000 Sorenson Research Park XI Salt Lake City, UT 6 80,238 Wasatch 16 Salt Lake City, UT 5 80,238 Creekside 2 owned Salt Lake City, UT 6 78,000 Creekside 3 optioned Salt Lake City, UT 6 78,452 ------ ----------- Subtotal 103 994,928 Central Region Tollway Plaza III Dallas, TX 4 134,400 Royal Ridge IV & V Dallas, TX 29 417,000 ------ ----------- Subtotal 33 551,400 Eastern Region Peninsula Corporate Center 1-2/1/ Boca Raton, FL 20 221,350 Total 178 2,066,238 ====== =========== Partially Owned Land -------------------- Mountain Region Panorama IV Denver, CO 7 136,850 Panorama VI Denver, CO 9 129,898 Panorama VII Denver, CO 6 100,000 Panorama IX Denver, CO 6 125,490 ------ ----------- Subtotal 28 492,238 Central Region Riata 1 Austin, TX 4 61,585 Riata Crossing 4 Austin, TX 5 79,780 Riata Crossing 6 Austin, TX 8 49,702 Seven/Eight Parkway North Chicago, IL 11 250,567 Royal Ridge Bldgs 4-6 Dallas, TX 16 316,786 Royal Ridge Bldg 8 Dallas, TX 6 132,709 ------ ----------- 50 891,129 Total 78 1,383,367 ====== =========== Total All Land Held for Future Development or Sale 256 3,449,605 ====== ===========
/1/ Property currently held for sale 23 23