Annual report pursuant to Section 13 and 15(d)

Nature of Business (Tables)

v2.4.1.9
Nature of Business (Tables)
12 Months Ended
Dec. 31, 2014
Nature Of Business [Abstract]  
Schedule of Dispositions
During the three years ended December 31, 2014, we sold the following properties (in thousands):
Disposition Date
Property
Type
Gain on Sale
January 21, 2014
Medical Office Portfolio Transactions III & IV (1)
Medical Office
$
105,985

May 2, 2014
5740 Columbia Road
Retail
570

 
 
Total 2014
$
106,555

 
 
 
 
March 19, 2013
Atrium Building
Office
$
3,195

November 2013
Medical Office Portfolio Transactions I & II (2)
Medical Office / Office
18,949

 
 
Total 2013
$
22,144

 
 
 
 
August 31, 2012
1700 Research Boulevard
Office
$
3,724

December 20, 2012
Plumtree Medical Center
Medical Office
1,400

 
 
Total 2012
$
5,124

(1) Woodburn Medical Park I and II and Prosperity Medical Center I, II and III.

(2) 2440 M Street, 15001 Shady Grove Road, 15505 Shady Grove Road, 19500 at Riverside Park (formerly Lansdowne Medical Office Building), 9707 Medical Center Drive, CentreMed I and II, 8301 Arlington Boulevard, Sterling Medical Office Building, Shady Grove Medical Village II, Alexandria Professional Center, Ashburn Farm Office Park I, Ashburn Farm Office Park II, Ashburn Farm Office Park III, Woodholme Medical Office Building, two office properties (6565 Arlington Boulevard and Woodholme Center) and undeveloped land at 4661 Kenmore Avenue.
Income from properties classified as discontinued operations for the three years ended December 31, 2014 was as follows (in thousands):
 
Year Ending December 31,
 
2014
 
2013
 
2012
Revenues
$
892

 
$
45,791

 
$
54,344

Property expenses
(346
)
 
(17,039
)
 
(18,273
)
Real estate impairment

 

 
(2,097
)
Depreciation and amortization

 
(12,161
)
 
(18,827
)
Interest expense

 
(1,196
)
 
(4,331
)
 
$
546

 
$
15,395

 
$
10,816

The cost of our real estate portfolio under development or held for future development as of December 31, 2014 and 2013 is as follows (in thousands):
 
December 31,
 
2014
 
2013
Office
$
36,379

 
$
12,175

Retail
500

 
495

Multifamily
39,356

 
48,645

 
$
76,235

 
$
61,315

Income from properties classified as discontinued operations by property for the three years ended December 31, 2014 was as follows (in thousands):
 
 
 
Year Ending December 31,
Property
Segment
 
2014
 
2013
 
2012
1700 Research Boulevard
Office
 
$

 
$

 
$
225

Plumtree Medical Center
Medical Office
 

 

 
197

Atrium Building
Office
 

 
185

 
1,063

Medical Office Portfolio
Medical/Office
 
546

 
15,210

 
9,331

 
 
 
$
546

 
$
15,395

 
$
10,816

We sold or classified as held for sale the following properties during the three years ended December 31, 2014:
Property
 
Type
 
Rentable
Square Feet
(unaudited)
 
Contract
Sales Price
(in thousands)
 
Gain on Sale
(in thousands)
Medical Office Portfolio Transactions III & IV (1)
 
Medical Office
 
427,000

 
193,561

 
$
105,985

5740 Columbia Road (2)
 
Retail
 
3,000

 
1,600

 
570

 
 
Total 2014
 
430,000

 
$
195,161

 
$
106,555

 
 
 
 
 
 
 
 
 
Atrium Building
 
Office
 
79,000

 
$
15,750

 
$
3,195

Medical Office Portfolio Transactions I & II
 
Medical Office / Office
 
1,093,000

 
307,189

 
18,949

 
 
Total 2013
 
1,172,000

 
$
322,939

 
$
22,144

 
 
 
 
 
 
 
 
 
1700 Research Boulevard
 
Office
 
101,000

 
$
14,250

 
$
3,724

Plumtree Medical Center
 
Medical Office
 
33,000

 
8,750

 
1,400

 
 
Total 2012
 
134,000

 
$
23,000

 
$
5,124

(1) These properties were initially classified as held for sale during 2013.
(2) The property is classified as continuing operations in accordance with ASU No. 2014-08 (see note 2). All other listed properties are classified as discontinued operations in accordance with ASC 205-10, "Discontinued Operations."
Taxable Percentage of Dividends Paid
The following is a breakdown of the taxable percentage of our dividends for these years ended December 31, 2014, 2013 and 2012, (unaudited):
 
2014
 
2013
 
2012
Ordinary income
40
%
 
62
%
 
72
%
Return of capital
52
%
 
38
%
 
26
%
Qualified dividends
%
 
%
 
%
Unrecaptured Section 1250 gain
8
%
 
%
 
2
%
Capital gain
%
 
%
 
%