-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, JZ/D3mLMBOQL51J5XlW2e5A26QKT8b1ADICyxUGWH8Nez9KogZjXlD5FruAcjmGA yZ/QJBbktnv4p2Wc3qJG/Q== 0000950133-96-002869.txt : 19961220 0000950133-96-002869.hdr.sgml : 19961220 ACCESSION NUMBER: 0000950133-96-002869 CONFORMED SUBMISSION TYPE: 8-K/A PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19961210 ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19961219 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: CARRAMERICA REALTY CORP CENTRAL INDEX KEY: 0000893577 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 521796339 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K/A SEC ACT: 1934 Act SEC FILE NUMBER: 001-11706 FILM NUMBER: 96682980 BUSINESS ADDRESS: STREET 1: 1700 PENNSYLVANIA AVE N W CITY: WASHINGTON STATE: DC ZIP: 20006 BUSINESS PHONE: 2026247500 MAIL ADDRESS: STREET 1: 1700 PENNSYLVANIA AVENUE STREET 2: SUITE 700 CITY: WASHINGTON STATE: DC ZIP: 20006 FORMER COMPANY: FORMER CONFORMED NAME: CARR REALTY CORP DATE OF NAME CHANGE: 19940218 8-K/A 1 FORM 8-K/A DATED 12-19-96 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K/A AMENDMENT TO APPLICATION OR REPORT FILED PURSUANT TO SECTION, 12, 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 CARRAMERICA REALTY CORPORATION (formerly Carr Realty Corporation) (Exact name of registrant as specified in its charter) Amendment No. 1 The undersigned registrant hereby amends Item 7(b) of its Current Report on Form 8-K filed with the Commission on November 15, 1996 as set forth in the pages attached hereto to file an unaudited pro forma condensed consolidated balance sheet and statement of operations reflecting the acquisition by registrant of the NELO/Orchard Portfolio, comprised of 21 office properties in North San Jose, California, for an aggregate purchase price of approximately $124 million, including the assumption of approximately $41 million in debt. Date: December 19, 1996 CARRAMERICA REALTY CORPORATION By: /s/ Brian K. Fields ------------------------ Chief Financial Officer 2 ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS. (b) Pro forma financial information. CarrAmerica Realty Corporation hereby amends Item 7(b) of its Current Report on Form 8-K filed with the Commission on November 15, 1996 as set forth in the pages attached hereto to file an unaudited pro forma condensed consolidated balance sheet and statement of operations reflecting the acquisition by registrant of the NELO/Orchard Portfolio, comprised of 21 properties containing an aggregate of approximately 1 million square feet located in North San Jose, California. 3 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET (In thousands) On November 6, 1996, CarrAmerica Realty Corporation (the Company) acquired 21 buildings, containing a total of approximately 1,014,000 square feet of office space, referred to as the NELO/Orchard Portfolio, in the North San Jose, California sub-market of the area commonly referred to as Silcon Valley. The aggregate purchase price for the NELO/Orchard Portfolio was approximately $124 million, and was paid through a combination of cash, the assumption of approximately $41 million in debt, and approximately $7 million in other liabilities. In October 1996, the Company consummated an offering of Series A Cumulative Convertible Preferred Shares that raised net proceeds of approximately $43 million. The net proceeds of the October offering were used to pay down indebtedness under its line of credit, thereby increasing the Company's borrowing capacity. This unaudited pro forma Condensed Consolidated Balance Sheet is presented as if the aforementioned transactions had been consummated on September 30, 1996. In management's opinion, all adjustments necessary to reflect the effects of the aforementioned transactions have been made. This unaudited pro forma Condensed Consolidated Balance Sheet is not necessarily indicative of what the Company's actual financial position would have been at September 30, 1996, had the transactions occurred on that date, nor does it purport to represent the future financial position of the Company.
At September 30, 1996 (Unaudited) ----------------------------------------------------------------- Pro Forma Adjustments ----------------------------------- Series A Acquisition of Perferred Stock NELO/Orchard Pro Forma Historical (A) Offering (B) Portfolio (C) Consolidated --------------- ----------------- ---------------- ----------------- ASSETS Rental property, net $ 906,342 $ - $ 123,850 (1) $ 1,030,192 Development property 40,449 - - 40,449 Restricted and unrestricted cash 22,882 - - 22,882 Other assets 74,235 - (1,200)(2) 73,035 --------------- ----------------- ---------------- ----------------- Total assets $ 1,043,908 $ - $ 122,650 $ 1,166,558 =============== ================= ================ ================= LIABILITIES Mortgages and notes payable $ 426,069 $ (42,915) $ 115,480 (3) $ 498,634 Other liabilities 20,480 - 7,170 (4) 27,650 --------------- ----------------- ---------------- ----------------- Total liabilities 446,549 (42,915) 122,650 526,284 Minority interest 51,611 - - 51,611 STOCKHOLDERS' EQUITY Preferred stock - 17 - 17 Common stock 355 - - 355 Additional paid-in capital 588,684 42,898 - 631,582 Dividends in excess of earnings (43,291) - - (43,291) --------------- ----------------- ---------------- ----------------- Total stockholders' equity 545,748 42,915 - 588,663 --------------- ----------------- ---------------- ----------------- Total liabilities and stockholders equity $ 1,043,908 $ - $ 122,650 $ 1,166,558 =============== ================= ================ =================
Notes: (A) Reflects the Company's historical consolidated balance sheet as of September 30, 1996. (B) Reflects the issuance of 1,740,000 Series A Cumulative Convertible Preferred Shares at the price of $25 per share. Transaction costs of $585 were incurred. The Company used all of the proceeds to pay down amounts outstanding under its Line of Credit. (C) Reflects the following pro forma adjustments related to the NELO/Orchard Portfolio: (1) total acquisiton costs of $123,850; (2) use of the Company's purchase deposit of $1,200 (3) the assumption of existing debt ($40,927) and a draw on the Line of Credit ($74,553); and (4) the assumption of other liabilities ($7,170). EX-99 2 PRO FORMA FINANCIAL INFORMATION 1 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data)
For the nine months ended September 30, 1996 (Unaudited) ----------------------------------------------------------------- Pro Forma Adjustments ------------------------------- Series A Acquisition of Preferred Stock NELO/Orchard Pro Forma Historical (A) Offering (B) Portfolio (C) Consolidated -------------- --------------- --------------- ------------- Real estate operating revenue: Rental revenue $ 100,639 $ - $ 8,589 (1) $ 109,228 Real estate service income 9,265 - - 9,265 -------------- ------------- ------------- -------------- Total revenues 109,904 - 8,589 118,493 -------------- ------------- ------------- -------------- Real estate operating expenses: Property operating expenses 33,371 - 2,333 (1) $ 35,704 Interest expense 21,857 (2,413) 6,726 (2) 26,170 General and administrative 10,661 - - 10,661 Depreciation and amortization 25,744 - 1,836 (3) 27,580 -------------- ------------- ------------- -------------- Total operating expenses 91,633 (2,413) 10,895 100,115 -------------- ------------- ------------- -------------- Real estate operating income 18,271 2,413 (2,306) 18,378 Other operating income (expense) 1,610 - - 1,610 -------------- ------------- ------------- -------------- Income before minority interest 19,881 2,413 (2,306) 19,988 -------------- ------------- ------------- -------------- Minority interest (3,895) - - (3,895) -------------- ------------- ------------- -------------- Income from continuing operations $ 15,986 $ 2,413 $ (2,306) $ 16,093 ============== ============= ============= ============== Earnings per common share from continuing operations (D) $ 0.70 $ 0.63 ============== ==============
For the year ended December 31, 1995 (Unaudited) ----------------------------------------------------------------- Pro Forma Adjustments --------------------------------- Series A Acquisition of Preferred Stock NELO/Orchard Pro Forma Historical (A) Offering (B) Portfolio (C) Consolidated -------------- --------------- --------------- -------------- Real estate operating revenue: Rental revenue $ 89,539 $ - $ 10,407 (1) $ 99,946 Real estate service income 11,315 - - 11,315 -------------- ------------- ------------- ------------- Total revenues 100,854 - 10,407 111,261 -------------- ------------- ------------- ------------- Real estate operating expenses: Property operating expenses 31,579 - 3,302 (1) 34,881 Interest expense 21,873 (3,349) 9,195 (2) 27,719 General and administrative 10,711 - - 10,711 Depreciation and amortization 18,495 - 2,448 (3) 20,943 -------------- ------------- ------------- ------------- Total operating expenses 82,658 (3,349) 14,945 94,254 -------------- ------------- ------------- ------------- Real estate operating income 18,196 3,349 (4,538) 17,007 Other operating income (expense) (912) - - (912) -------------- ------------- ------------- ------------- Income before minority interest 17,284 3,349 (4,538) 16,095 -------------- ------------- ------------- ------------- Minority interest (5,217) - - (5,217) -------------- ------------- ------------- ------------- Income from continuing operations $ 12,067 $ 3,349 $ (4,538) $ 10,878 ============== ============= ============= ============= Earnings per common share from continuing operations (D) $ 0.90 $ 0.67 ============== =============
2 CARRAMERICA REALTY CORPORATION AND SUBSIDIARIES NOTES TO PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS For the Nine Months Ended September 30, 1996 and the Year Ended December 31, 1995 (Unaudited) Adjustments (dollars in thousands): (A) Reflects the Company's historical consolidated statements of operations for the nine months ended September 30, 1996 and the year ended December 31, 1995. (B) Pro forma adjustment reflects the reduction in interest expense associated with the pay down of amounts outstanding under its line of credit with the proceeds from the Series A Preferred Stock Offering. (C) Pro forma adjustments for the purchase of the NELO/Orchard Portfolio reflect: (1) the historical operating activity of the properties acquired; (2) the additional interest expense on the line of credit ($4,194 of interest costs for the nine months ended September 30, 1996 and $5,819 of interest costs in 1995) and interest expense on debt assumed ($2,532 for the nine months ended September 30, 1996 and $3,376 in 1995); and (3) the depreciation expense for the acquisition based on the new accounting basis for the rental property acquired. (D) Based upon 27,723,006 and 18,156,687 pro forma shares of Common Stock outstanding and common stock equivalents on a weighted average basis during the nine months ended September 30, 1996 and the year ended December 31, 1995, respectively. Net income and weighted average shares outstanding have been adjusted for certain minority interests which have a dilutive effect on earnings per share. -----END PRIVACY-ENHANCED MESSAGE-----