FOURTH QUARTER 2013


Supplemental Operating and Financial Data









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 of the Company shall be made by means of a prospectus. The information in this Supplemental Package must be read in conjunction with, and is modified in its entirety by, the Annual Report on Form 10-K (the “10-K”) filed by the Company for the same period with the Securities and Exchange Commission (the “SEC”) and all of the Company’s other public filings with the SEC (the “Public Filings”). In particular, the financial information contained herein is subject to and qualified by reference to the financial statements contained in the 10-K, the footnotes thereto and the limitations set forth therein. Investors may not rely on the Supplemental Package without reference to the 10-K and the Public Filings. Any investors’ receipt of, or access to, the information contained herein is subject to this qualification.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
 

 


 
INDEX

 
PAGE(S)
I.  COMPANY BACKGROUND
 
· About the Company / Other Corporate Data
5
· Board of Directors / Executive Officers
6
· Equity Research Coverage / Company Contact Information
7
   
II.  FINANCIAL HIGHLIGHTS
 
· Quarterly Summary / Acquisitions
9
· Sales
10
· Leasing
10-11
· Information About FFO
11
· Key Financial Data
12
· Same-Store Results and Analysis
13
· Unconsolidated Joint Ventures Summary
14 – 16
· Unconsolidated Joint Ventures Financial Information
17 – 19
· Select Financial Ratios
20
· Debt Analysis:
 
· Debt Breakdown / Future Repayments
21
· Debt Maturities
22
· Debt Detail
23
   
III.  FINANCIAL INFORMATION
 
· Consolidated Statements of Operations
25
· Consolidated Balance Sheets
26
· Consolidated Statement of Changes in Equity
27
· Statements of Funds from Operations
28
· Statements of Funds from Operations Per Diluted Share
29
· Reconciliation of Basic-to-Diluted Shares/Units
30
   
IV.  VALUE CREATION PIPELINE
 
· Operating Property Acquisitions / Properties Commencing Initial Operations
32
· Acquisition Property Profiles
33-34
· Summary of In-Process Development Projects
35
· Rental Property Sales / Dispositions / Rental Property Held for Sale
36
· Summary of Land Parcels
37
   
V.  PORTFOLIO/ LEASING STATISTICS
 
· Leasing Statistics
39 – 44
· Market Diversification (MSAs)
45
· Industry Diversification (Top 30 Tenant Industries)
46
· Consolidated Portfolio Analyses:
 
Breakdown by:
 
(a) Number of Properties
47
(b) Square Footage
48
(c) Base Rental Revenue
49
(d) Percentage Leased
50
· Consolidated Property Listing (by Property Type)
51 – 58
· Significant Tenants (Top 50 Tenants)
59 – 60
· Schedules of Lease Expirations (by Property Type)
61 – 65
   





Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
2

 

DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS

The Company considers portions of this information to be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 21E of such act.  Such forward-looking statements relate to, without limitation, our future economic performance, plans and objectives for future operations and projections of revenue and other financial items. Forward-looking statements can be identified by the use of words such as “may,” “will,” “plan,” “potential,” “projected,” “should,” “expect,” “anticipate,” “estimate,” “continue” or comparable terminology. Forward-looking statements are inherently subject to risks and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, the Company can give no assurance that such expectations will be achieved. Future events and actual results, financial and otherwise, may differ materially from the results discussed in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements.

Among the factors about which the Company has made assumptions are:

· 
risks and uncertainties affecting the general economic climate and conditions, which in turn may have a negative effect on the fundamentals of the Company’s business and the financial condition of the Company’s tenants and residents;
   
· 
the value of the Company’s real estate assets, which may limit the Company’s ability to dispose of assets at attractive prices or obtain or maintain debt financing secured by the Company’s properties or on an unsecured basis;
   
· 
the extent of any tenant bankruptcies or of any early lease terminations;
   
· 
the Company’s ability to lease or re-lease space at current or anticipated rents;
   
· 
changes in the supply of and demand for our properties;
   
· 
changes in interest rate levels and volatility in the securities markets;
   
· 
changes in operating costs;
   
· 
the Company’s ability to obtain adequate insurance, including coverage for terrorist acts;
   
· 
the availability of financing on attractive terms or at all, which may adversely impact the Company’s ability to pursue acquisition and development opportunities and refinance existing debt and the Company’s future interest expense;
   
· 
changes in governmental regulation, tax rates and similar matters; and
   
· 
other risks associated with the development and acquisition of properties, including risks that the development may not be completed on schedule, that the tenants or residents will not take occupancy or pay rent, or that development or operating costs may be greater than anticipated.
 

For further information on factors which could impact us and the statements contained herein, you are advised to consider the “Risk Factors” contained in the Company’s Annual Report on Form 10-K, as may be supplemented or amended in the Company’s Quarterly Reports on Form 10-Q, which are incorporated herein by reference. The Company assumes no obligation to update and supplement forward-looking statements that become untrue because of subsequent events, new information or otherwise.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
3

 











I.  COMPANY BACKGROUND


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
4

 


I.  COMPANY BACKGROUND


About the Company

Mack-Cali Realty Corporation (NYSE: CLI) is one of the largest real estate investment trusts (REITs) in the United States with a total market capitalization of $4.6 billion at December 31, 2013. Mack-Cali has been involved in all aspects of commercial real estate development, management, and ownership for over 60 years and has been a publicly traded REIT since 1994. At December 31, 2013 Mack-Cali owned or had interests in 279 properties consisting of 267 office and office/flex properties totaling approximately 31.0 million square feet of commercial space and 12 multi-family rental properties containing over 3,600 residential units, all located in the Northeast, as well as land to accommodate up to 8.4 million square feet of additional commercial space and 5,824 multi-family apartment units – in addition to hotel development.

History

Established over 60 years ago, in 1994 the New Jersey-based firm, Cali Realty, became a publicly traded company listed on the New York Stock Exchange under the ticker symbol CLI. Through combinations with some of the top companies in the real estate industry—most notably New Jersey-based Mack Company and Westchester, New York-based Robert Martin Company—Mack-Cali has become one of the leading real estate companies in the country.

Strategy

Mack-Cali’s strategy is to be a significant real estate owner and operator in its core, high-barriers-to-entry markets, primarily in the Northeast.

Summary
(as of December 31, 2013)

Corporate Headquarters
Edison, New Jersey
Fiscal Year-End
12/31
Total Properties
279
Total Commercial Square Feet / Multi-family Units
31.0 million commercial square feet and 3,678 multi-family residential units
Geographic Diversity
Seven states and the District of Columbia
New Jersey Presence
21.8 million square feet of commercial space and 1,877 multi-family residential units
Northeast Presence
31.0 million square feet of commercial space and 3,678 multi-family residential units
Common Shares and
 
Units Outstanding
100.1 million
Dividend-- Quarter/Annualized
$0.30/$1.20
Dividend Yield
5.6%
Total Market Capitalization
$4.6 billion
Senior Debt Rating
BBB (S&P and Fitch);
 
Baa2 (Moody’s)


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
5

 



Board of Directors

William L. Mack, Chairman of the Board
 
Alan S. Bernikow
David S. Mack
 
Kenneth M. Duberstein
Alan G. Philibosian
 
Nathan Gantcher
Irvin D. Reid
 
Mitchell E. Hersh
Vincent Tese
 
Jonathan Litt
 
Roy J. Zuckerberg
   







Executive Officers
 
 
Mitchell E. Hersh, President and Chief Executive Officer
 
 
Anthony Krug, Chief Accounting Officer  
 
 

 
 

 

 

 




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
6

 


Equity Research Coverage


Bank of America Merrill Lynch
James C. Feldman
(646) 855-5808
ISI Group
Steve Sakwa
(212) 446-9462
Barclays Capital
Ross Smotrich
(212) 526-2306
J.P. Morgan
Anthony Paolone
(212) 622-6682
Citigroup
Michael Bilerman
(212) 816-1383
KeyBanc Capital Markets
Jordan Sadler
(917) 368-2280
Cowen and Company
James Sullivan
(646) 562-1380
Stifel, Nicolaus & Company, Inc.
John W. Guinee, III
(443) 224-1307
Deutsche Bank North America
Vin Chao
(212) 250-6799
UBS Investment Research
Ross T. Nussbaum
(212) 713-2484
Green Street Advisors
Michael Knott
(949) 640-8780
 
   






Company Contact Information

Mack-Cali Realty Corporation
Investor Relations Department
343 Thornall Street
Edison, New Jersey 08837-2206
Phone:   (732) 590-1000
Web:      www.mack-cali.com
Fax:        (732) 205-8237
E-mail:   investorrelations@mack-cali.com



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
7

 











II.  FINANCIAL HIGHLIGHTS









Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
8

 

II.  FINANCIAL HIGHLIGHTS

Quarterly Summary

The following is a summary of the Company’s recent activity:

Funds from operations (FFO) for the quarter ended December 31, 2013 amounted to $52.1 million, or $0.52 per share. For the year ended December 31, 2013, FFO equaled $237.4 million, or $2.38 per share.

Net loss to common shareholders for the fourth quarter 2013 equaled $54.2 million, or $0.62 per share. The results for fourth quarter included $63.7 million, or $0.64 per share, of losses, net, on disposition of rental property and impairments. For the year ended December 31, 2013, net loss to common shareholders amounted to $14.9 million, or $0.17 per share. The results for the year included $51.3 million, or $0.51 per share, of losses, net, on disposition of rental property and impairments.

Total revenues for the fourth quarter 2013 were $165.3 million. For the year ended December 31, 2013, total revenues amounted to $667.0 million.

For the three months and year ended December 31, 2013, the Company recorded impairment charges of $62.2 million and $110.9 million, respectively, on certain office properties located in New Jersey, New York and Connecticut. For the three months and year ended December 31, 2013, the Company had realized gains (losses) and unrealized losses on disposition of rental property and impairments, net of $(1.6 million) and $59.5 million, respectively.

All per share amounts presented above are on a diluted basis.

The Company had 88,247,591 shares of common stock, and 11,864,775 common operating partnership units outstanding as of December 31, 2013. The Company had a total of 100,112,366 common shares/common units outstanding at December 31, 2013.

As of December 31, 2013, the Company had total indebtedness of approximately $2.4 billion, with a weighted average annual interest rate of 5.62 percent.

The Company had a debt-to-undepreciated assets ratio of 39.9 percent at December 31, 2013. The Company had an interest coverage ratio of 2.7 times for the quarter ended December 31, 2013.

Acquisitions

In November, the Company acquired the two-building, 159-unit multi-family property known as Park Square in Rahway, New Jersey, which includes a parking garage and approximately 6,000 square feet of retail space. The property was acquired for approximately $46.4 million. The multi-family property consists of one- and two-bedroom luxury apartments ranging from 800 to 1,480 square feet. The property is 91 percent leased.

In December, the Company in a joint venture partnership with Keystone Property Group and Parkway Corporation, acquired a 33 percent interest in 100 Independence Mall West for $2.8 million. The $40.5 million, nine-story, approximately 340,000 rentable square-foot class A office building is prominently located in one of Philadelphia’s most desirable office submarkets directly across from the historic Liberty Bell, the National Constitution Center, and Independence National Park. The building is 97.4 percent leased. Following the acquisition, the joint venture is planning to redevelop the property, which will include common area upgrades and a 110-space parking garage at the property’s lower level.

Also in December, the Company acquired Riverwatch Commons and Richmond Court in New Brunswick, New Jersey. The three-building, 200-unit rental community was acquired for approximately $41.0 million. The luxury properties consist of studio, one-, and two-bedroom units ranging in size from 623 to 950 square feet. The properties are 95 percent leased.

Also in December, the Company, through a joint venture with Fisher Brothers, acquired a 50 percent interest in a luxury multi-family project, currently under construction at 701 2nd Street, NE in Washington, D.C. The 377-unit project will include approximately 25,000 square feet of retail space and a 309-space underground parking garage. The Company acquired its 50 percent interest in the project for approximately $46.5 million. The venture has 20-year construction loan of $100.7 million with a balance of $24.6 million as of December 31, 2013. It is expected that the project will be completed by mid-2015. The Mack-Cali/Fisher Brothers joint venture includes specific provisions, including a right of first offer on all development deals in the D.C. metro area that involve either party, with specific qualifications on any properties in Arlington County, Virginia.
 



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
9

 
 
 
 
Sales

In February 2014, the Company entered into agreements to form various joint ventures with Keystone Property Group to facilitate the sale of 15 of its office buildings located in northern New Jersey, New York and Connecticut. Pursuant to the agreements, the portfolio, which totals approximately 2.3 million square feet, will be sold for approximately $230.8 million, including $201.7 million in cash with the balance in the form of senior and subordinated equity.

Through its partnerships with Keystone, Mack-Cali will participate in management and construction fees for the portfolio and a percentage of value creation above certain hurdle rates, and retain a senior pari-passu equity position at three of the properties located in Elmsford, New York. As part of the transaction, Mack-Cali and Keystone will jointly provide leasing representation for the portfolio.

The consummation of the transaction between Mack-Cali and Keystone is subject to customary due diligence and the waiver of or non-exercise of certain rights of first offer with respect to most of the properties in the portfolio by certain third parties. Mack-Cali anticipates that most, if not all, of these rights will be waived or not exercised, but no assurances can be given to that effect.

In 2012 and 2013, the Company sold to Keystone 20 office properties and three land parcels located in suburban Philadelphia submarkets, in similar type transactions.

Leasing

Mack-Cali’s consolidated in-service portfolio was 86.1 percent leased at December 31, 2013, unchanged from September 30, 2013.

For the quarter ended December 31, 2013, the Company executed 116 leases at its consolidated in-service portfolio totaling 718,588 square feet, consisting of 522,735 square feet of office space and 195,853 square feet of office/flex space. Of these totals, 305,044 square feet were for new leases and 413,544 square feet were for lease renewals and other tenant retention transactions.

For the year ended December 31, 2013, the Company executed 565 leases at its consolidated in-service portfolio totaling 4,040,008 square feet, consisting of 3,015,374 square feet of office space, 942,319 square feet of office/flex space and 82,315 square feet of industrial/warehouse space. Of these totals, 1,218,057 square feet were for new leases and 2,821,951 square feet were for lease renewals and other tenant retention transactions.

Highlights of the quarter’s leasing transactions include:

NORTHERN NEW JERSEY:
-  
Franklin Credit Management Corporation, a specialty consumer finance company, renewed 33,866 square feet at 101 Hudson Street in Jersey City. The 1,246,283 square-foot office building is 83.4 percent leased.

-  
Law firm Walder, Hayden & Brogan, P.A. renewed 22,495 square feet at 5 Becker Farm Road in Roseland. The 118,343 square-foot office building, located in 280 Corporate Center is 84.7 percent leased.

CENTRAL NEW JERSEY:
-  
Gannett Satellite Information Network, Inc., a provider of newspaper publishing services, signed a new lease for 66,999 square feet at 3600 Route 66 in Neptune. The 180,000 square-foot office building is 100 percent leased.

-  
Groundwater & Environmental Services, Inc., a provider of environmental consulting, engineering, and technical field services, renewed 30,070 square feet at 1340 Campus Parkway in Wall Township. The 72,502 square-foot office/flex building, located in Monmouth Shores Corporate Park, is 100 percent leased.

-  
Herbert L. Jamison & Co., L.L.C., a full-service insurance brokerage firm, signed a new lease for 24,838 square feet at 20 Commerce Drive in Cranford. The 176,600 square-foot office building, located in Cranford Business Park, is 99.3 percent leased.
 
-  
WBI Investments, Inc., a provider of institutional and private client wealth management solutions, signed a new lease for 19,220 square feet at One River Centre, 331 Newman Springs Road, Building One, in Middletown. The 122,594 square-foot office building is 96.1 percent leased.

WESTCHESTER COUNTY, NEW YORK:
-  
Montefiore Medical Center signed a new lease for 28,430 square feet at 4 Executive Plaza in Yonkers. The 80,000 square-foot office/flex building, located in South Westchester Executive Park, is 100 percent leased.

CONNECTICUT:
-  
Solais Lighting, Inc., a designer and manufacturer of LED lamps and fixtures, signed a new lease for 21,957 square feet at 650 West Avenue in Stamford. The 40,000 square-foot office/flex building, located in Stamford Executive Park, is 54.9 percent leased.

MARYLAND:
-  
Bozzuto & Associates, Inc., a diversified residential real estate company, signed an expansion for 30,519 square feet at 6406 Ivy Lane in Greenbelt. The 163,857 square-foot office building, located in Capital Office Park, is 77 percent leased.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
10

 

Information About FFO

Funds from operations (“FFO”) is defined as net income (loss) before noncontrolling interest of unitholders, computed in accordance with generally accepted accounting principles (“GAAP”), excluding gains (or losses) from extraordinary items, sales of depreciable rental property, and impairments related to depreciable rental property, plus real estate-related depreciation and amortization. The Company believes that FFO per share is helpful to investors as one of several measures of the performance of an equity REIT. The Company further believes that as FFO per share excludes the effect of depreciation, gains (or losses) from sales of properties and impairments related to depreciable rental property (all of which are based on historical costs which may be of limited relevance in evaluating current performance), FFO per share can facilitate comparison of operating performance between equity REITs.

FFO per share should not be considered as an alternative to net income available to common shareholders per share as an indication of the Company’s performance or to cash flows as a measure of liquidity. FFO per share presented herein is not necessarily comparable to FFO per share presented by other real estate companies due to the fact that not all real estate companies use the same definition. However, the Company’s FFO per share is comparable to the FFO per share of real estate companies that use the current definition of the National Association of Real Estate Investment Trusts (“NAREIT”). A reconciliation of net income per share to FFO per share is included in the financial tables on page 29.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
11

 

Key Financial Data


 
      As of or for the three months ended   
 
12/31/13
9/30/13
6/30/13
3/31/13
12/31/12
Shares and Units:
         
Common Shares Outstanding
88,247,591
88,021,807
88,004,354
87,923,776
87,536,292
Common Units Outstanding
11,864,775
11,987,175
12,003,241
12,081,440
12,141,836
Combined Shares and Units
100,112,366
100,008,982
100,007,595
100,005,216
99,678,128
Weighted Average- Basic (a)
99,806,029
99,787,129
99,779,978
99,766,701
99,695,353
Weighted Average- Diluted (b)
 
99,806,029
99,787,129
99,779,978
99,849,397
99,695,353
Common Share Price ($’s):
         
At the end of the period
21.48
21.94
24.49
28.61
26.11
High during period
22.49
25.13
29.39
29.03
28.16
Low during period
19.05
20.60
22.59
25.78
24.37
           
Market Capitalization:
         
($’s in thousands, except ratios)
         
Market Value of Equity (c)
2,205,697
2,250,247
2,505,823
2,917,514
2,663,758
Total Debt
2,362,766
2,368,681
2,369,153
2,296,687
2,204,389
Total Market Capitalization
4,568,463
4,618,928
4,874,976
5,214,201
4,868,147
Total Debt/ Total Market
  Capitalization
51.72%
51.28%
48.60%
44.05%
45.28%
           
Financials:
         
($’s in thousands, except ratios and
   per share amounts)
         
Total Assets
4,515,328
4,609,263
4,638,064
4,585,269
4,526,045
Gross Book Value of Real Estate Assets
5,129,933
5,113,940
5,422,418
5,607,617
5,525,015
Total Liabilities
2,596,873
2,598,601
2,602,972
2,547,913
2,457,538
Total Equity
1,918,455
2,010,662
2,035,092
2,037,356
2,068,507
Total Revenues
165,267
162,505
168,346
170,913
164,341
Capitalized Interest
2,623
3,514
3,281
3,467
2,916
Scheduled Principal Amortization
939
1,017
808
1,065
1,342
Interest Coverage Ratio
2.65
2.85
3.08
3.11
3.22
Fixed Charge Coverage Ratio
2.38
2.48
2.72
2.70
2.81
Net Income (Loss)
(61,770)
3,439
26,184
13,089
(10,585)
Net Income (Loss) Available to Common Shareholders
(54,179)
4,643
23,071
11,556
(9,227)
Earnings per Share—diluted
(0.62)
0.05
0.26
0.13
(0.11)
FFO per Share—diluted (d)
0.52
0.57
0.65
0.63
0.66
Dividends Declared per Share
0.30
0.30
0.30
0.45
0.45
FFO Payout Ratio—diluted (d)
57.46%
52.42%
45.93%
71.28%
68.65%
           
Portfolio Size:
         
Properties
279
275
273
279
278
Total Commercial Square Footage
31,002,668
30,657,119
30,584,290
31,591,672
31,691,682
Commercial Sq. Ft. Leased at End of Period (e) (f)
86.1%
86.1%
86.2%
86.0%
87.2%
Apartment Units
3,678
3,319
3,319
2,907
1,769
           

(a)  
Calculated based on weighted average common shares outstanding, assuming redemption of operating partnership common units into common shares.
(b)  
Calculated based on shares and units included in basic per share/unit computation, plus dilutive Common Stock Equivalents (i.e. convertible preferred units, options and warrants).
(c)  
Includes any outstanding preferred units presented on a converted basis into common units and noncontrolling interests in consolidated joint ventures.
(d)  
Funds from Operations (“FFO”) is calculated in accordance with the definition of the National Association of Real Estate Investment Trusts (NAREIT). See “Information About FFO” on page 11.
(e)  
Percentage leased includes leases in effect as of the period end date, some of which have commencement dates in the future and leases that expire at the period end date.
(f)  
Reflects square feet leased at the Company’s consolidated in-service portfolio, excluding in-service development properties in lease up (if any).


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
12

 


Same Store Results and Analysis
(dollars in thousands)


 
  For the three months ended
December 31,
 
 
%
 
2013
2012
Change
Change
         
Total Property Revenues
$151,445
$153,564
$(2,119)
(1.4)
         
Real Estate Taxes
22,538
22,082
456
2.1
Utilities
15,200
13,622
1,578
11.6
Operating Services
28,565
26,432
2,133
8.1
Total Property Expenses:
66,303
62,136
4,167
6.7
         
GAAP Net Operating Income
85,142
91,428
(6,286)
(6.9)
         
Less: straight-lining of rents adj.
363
4,409
(4,046)
(91.8)
         
Net Operating Income
$84,779
$87,019
$(2,240)
(2.6)
         
Percentage Leased at
  Period End
85.9%
87.0%
   
         
Total Properties:
240
     
         
Total Square Footage:
27,748,345
     
         



 
  For the year ended
December 31,
 
 
%
 
2013
2012
Change
Change
         
Total Property Revenues
$604,939
$617,793
$(12,854)
(2.1)
         
Real Estate Taxes
83,491
86,659
(3,168)
(3.7)
Utilities
62,570
58,267
4,303
7.4
Operating Services
104,341
98,855
5,486
5.5
Total Property Expenses:
250,402
243,781
6,621
2.7
         
GAAP Net Operating Income
354,537
374,012
(19,475)
(5.2)
         
Less: straight-lining of rents adj.
8,731
9,752
(1,021)
(10.5)
         
Net Operating Income
$345,806
$364,260
$(18,454)
(5.1)
         
Percentage Leased at
  Period End
85.9%
87.0%
   
         
Total Properties:
240
     
         
Total Square Footage:
27,748,345
     
         





Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
13

 

Unconsolidated Joint Ventures Summary
(as of December 31, 2013)

Breakdown of Unconsolidated Joint Ventures
(dollars in thousands)

Joint Venture Name
Property
Location
# of
Properties
Year
Built
Percent
Occupied
# of
Apartment
Units
Revenue
Per
Unit (a)
Operating Multi-family Residential:
             
Marbella RoseGarden, L.L.C.
Marbella
Jersey City, NJ
1
2003
96.0%
412
$2,733
RoseGarden Monaco, L.L.C.
Monaco (North and South)
Jersey City, NJ
1
2011
95.0%
523
3,136
Rosewood Morristown, L.L.C.
Metropolitan at 40 Park
Morristown, NJ
1
2010
97.0%
130
3,207
Rosewood Lafayette Holdings, L.L.C.
Highlands at Morristown Station
Morristown, NJ
1
2009
96.1%
217
2,487
PruRose Port Imperial South 15 LLC
RiversEdge at Port Imperial
Weehawken, NJ
1
2009
95.5%
236
3,063
Overlook Ridge JV, L.L.C.
Quarrystone
Malden, MA
1
2008
96.7%
251
2,072
Crystal House Apartments Investors LLC
Crystal House
Arlington, VA
1
1962
84.8%
(p)
828
1,951
 
Total Operating Multi-family Residential:
7
 
92.3%
2,597
$2,534

Joint Venture Name
Property
Location
# of
Properties
Year
Built
Percent
Leased
Square
Feet
 
Operating Commercial:
             
Roseland/North Retail, L.L.C.
Riverwalk at Port Imperial
West New York, NJ
1
2008
64.0%
30,745
 
BNES Associates III
Offices at Crystal Lake
West Orange, NJ
1
2003
100.0%
106,345
 
Red Bank Corporate Plaza
Red Bank Corporate Plaza
Red Bank, NJ
1
2007
100.0%
92,878
 
12 Vreeland Realty L.L.C.
12 Vreeland Road
Florham Park, NJ
1
1984
100.0%
139,750
 
Rosewood Morristown, L.L.C.
Shops at 40 Park
Morristown, NJ
1
2010
60.4%
50,973
 
Keystone Property Group
Suburban Philadelphia
Suburban Philadelphia, PA
17
Various
84.6%
1,842,820
 
KPG-P 100 IMW JV, LLC
100 Independence Mall West
Philadelphia, PA
1
1965
97.4%
339,615
 
 
Total Operating Commercial:
23
   
2,603,126
 

Joint Venture Name
Property
Location
# of
Properties
Year
Built
 
Number
of
Rooms
 
Hotel:
             
Harborside South Pier
Hyatt Regency Jersey City on the Hudson
Jersey City, NJ
1
2002
 
350
 

Joint Venture Name
Property
Location
       
Other Investment:
           
Stamford SM L.L.C.
Senior Mezzanine Loan
Stamford, CT
       

Joint Venture Name
Property
Location
Estimated
Initial
Delivery
Date
 
Potential
Apartment
Units
 
In-Process Development Projects:
           
PruRose Riverwalk G, L.L.C.
RiverTrace at Port Imperial
West New York, NJ
4Q-2013
 
316
 
Elmajo Urban Renewal Associates, L.L.C.
Lincoln Harbor
Weehawken, NJ
1Q-2014
 
355
 
Overlook Ridge JV 2C/3B, L.L.C.
Overlook Ridge 2C & 3B
Malden, MA
1Q-2014
 
371
 
Portside Master Company, LLC
Portside at Pier One – Bldg 7
East Boston, MA
3Q-2014
 
176
 
RiverPark at Harrison I Urban Renewal LLC
RiverPark at Harrison
Harrison, NJ
4Q-2014
 
141
 
Prurose Port Imperial South 13, LLC
Port Imperial Building 13
Weehawken, NJ
1Q-2015
 
280
 
Estuary Urban Renewal Unit B, LLC
Lincoln Harbor (Bldg B)
Weehawken, NJ
1Q-2015
 
227
 
Capitol Place Mezz LLC
Station Townhouses
Washington, D.C.
1Q-2015
 
377
 
Rosewood Morristown, L.L.C.
Lofts at 40 Park
Morristown, NJ
3Q-2015
 
59
 
RoseGarden Marbella South, L.L.C.
Marbella II
Jersey City, NJ
4Q-2015
 
311
 
Roseland/Port Imperial Partners, L.P.
Riverwalk C
West New York, NJ
2Q-2016
 
363
 
 
Total In-Process Development Projects:
 
2,976
 

Joint Venture Name
Property
Location
 
Potential
Apartment
Units
Potential
Commercial
Square Feet
 
Land:
           
Hillsborough 206 Holdings, L.L.C.
Hillsborough 206
Hillsborough, NJ
 
n/a
160,000
 
RoseGarden Monaco, L.L.C.
San Remo Land
Jersey City, NJ
 
300
n/a
 
Grand Jersey Waterfront URA, L.L.C.
Liberty Landing
Jersey City, NJ
 
1,000
n/a
 
RiverPark at Harrison I, L.L.C.
RiverPark at Harrison 5-8
Harrison, NJ
 
141
n/a
 
Plaza VIII and IX Associates, L.L.C.
Vacant land/parking
Jersey City, NJ
 
n/a
1,225,000
 
Overlook Ridge, L.L.C.
Overlook Ridge Land
Malden/Revere, MA
 
896
160,000
 
Overlook Ridge JV, L.L.C.
Overlook Phase III
Malden, MA
 
240
n/a
 
Roseland/Port Imperial Partners, L.P.
Port Imperial North
West New York, NJ
 
836
n/a
 
Crystal House Apartments Investors LLC
Crystal House
Arlington, VA
 
295
n/a
 
 
Total Land:
3,708
1,545,000
 

See footnotes on page 16.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
14

 

Breakdown of Unconsolidated Joint Ventures
(dollars in thousands)
(continued)

Joint Venture Name
Property
Company’s
Effective
Ownership %
 
Net Operating Income (b)
 
Property Debt
 
Preferred
3 Mos
12/31/13
12 Mos
12/31/13
Balance
 
Maturity
Date
Interest
Rate
Capital
Balance (c)
 
Return
Rate
Investor
Operating Multi-family Residential:
                             
Marbella RoseGarden, L.L.C.
Marbella
24.27%
 
$  2,073
$  8,760
 
$  95,000
 
05/01/18
4.99%
 
$     7,567
 
9.50%
Prudential
RoseGarden Monaco, L.L.C.
Monaco (North and South)
15.00%
 
3,185
12,805
 
165,000
 
02/01/21
4.19%
 
79,952
 
9.00%
Prudential
Rosewood Morristown, L.L.C.
Metropolitan at 40 Park
12.50%
 
673
2,702
 
38,600
 
09/01/20
3.25%
 
20,275
(d)
9.00%
Prudential
Rosewood Lafayette Holdings, L.L.C.
Highlands at Morristown Station
25.00%
 
966
3,962
 
39,373
 
07/01/15
4.00%
 
31,991
 
9.00%
Prudential
PruRose Port Imperial South 15 LLC
RiversEdge at Port Imperial
50.00%
(e)
1,111
4,278
 
57,500
 
09/01/20
4.32%
 
39,068
 
9.00%
Prudential
Overlook Ridge JV, L.L.C.
Quarrystone
25.00%
 
891
3,597
 
69,805
 
03/15/16
(f)
 
18,829
(g)
15.00%
Lennar
Crystal House Apartments Investors LLC
Crystal House
25.00%
 
2,750
8,292
(h)
165,000
 
03/19/20
3.17%
 
--
 
--
--
 
Total Operating Multi-family Residential:
   
$11,649
$44,396
 
$630,278
       
$197,682
     

Joint Venture Name
Property
Company’s
Effective
Ownership %
 
Net Operating Income (b)
 
Property Debt
 
Preferred
3 Mos
12/31/13
12 Mos
12/31/13
Balance
 
Maturity
Date
Interest
Rate
Capital
Balance (c)
 
Return
Rate
Investor
Operating Commercial:
                             
Roseland/North Retail, L.L.C.
Riverwalk at Port Imperial
20.00%
 
$       71
$     180
 
--
 
--
--
 
$6,040
 
9.00%
Prudential
BNES Associates III
Offices at Crystal Lake
31.25%
 
374
1,121
 
$    7,351
 
11/01/23
4.76%
 
--
 
--
--
Red Bank Corporate Plaza
Red Bank Corporate Plaza
50.00%
 
544
2,377
 
16,612
 
05/17/16
L+3.00%
(i)
--
 
--
--
12 Vreeland Realty L.L.C.
12 Vreeland Road
50.00%
 
362
820
 
15,421
 
07/01/23
2.87%
 
--
 
--
--
Rosewood Morristown, L.L.C.
Shops at 40 Park
12.50%
 
129
482
 
6,500
 
08/28/18
3.63%
 
--
(d)
9.00%
Prudential
Keystone Property Group
Suburban Philadelphia
(q)
 
1,698
4,319
 
199,860
 
(r)
(r)
 
42,423
 
15.00%
KPG
KPG-P 100 IMW JV, LLC
MC 100 IMW Holding
33.33%
 
378
378
 
61,500
 
09/09/16
L+7.00%
 
--
 
--
--
 
Total Operating Commercial:
   
$  3,556
$  9,677
 
$307,244
       
$  48,463
     

Joint Venture Name
Property
Company’s
Effective
Ownership %
 
Net Operating Income (b)
 
Property Debt
 
Preferred
3 Mos
12/31/13
12 Mos
12/31/13
Balance
 
Maturity
Date
Interest
Rate
 
Capital
Balance (c)
 
Return
Rate
Investor
 
Hotel:
                               
Harborside South Pier
Hyatt Regency Jersey City on the Hudson
50.00%
 
$  4,726
$14,586
 
$  62,810
 
11/05/16
6.15%
(j)
--
 
--
--
 

Joint Venture Name
Property
Company’s
Effective
Ownership %
 
Net Operating Income (b)
 
Property Debt
 
Preferred
 
3 Mos
12/31/13
12 Mos
12/31/13
Balance
 
Maturity
Date
Interest
Rate
 
Capital
Balance (c)
 
Return
Rate
Investor
Other Investment:
                             
Stamford SM L.L.C.
Senior Mezzanine Loan
80.00%
 
$  1,143
$  4,649
 
--
 
--
--
 
--
 
--
--

Joint Venture Name
Property
Company’s
Effective
Ownership %
     
Property Debt
 
Preferred
   
Balance
 
Maturity
Date
Interest
Rate
Capital
Balance (c)
 
Return
Rate
Investor
In-Process Development Projects:
                             
PruRose Riverwalk G, L.L.C.
RiverTrace at Port Imperial
25.00%
       
$  65,203
 
07/15/21
6.00%
 
$  41,846
 
7.75%
UBS
Elmajo Urban Renewal Associates, L.L.C.
Lincoln Harbor
7.50%
       
53,196
 
06/27/16
L+2.10%
 
57,722
 
8.50%
Hartz
Overlook Ridge JV 2C/3B, L.L.C.
Overlook Ridge 2C & 3B
25.00%
       
22,744
 
12/28/15
L+2.50%
(k)
25,370
 
6.50%
UBS
Prurose Port Imperial South 13, LLC
Port Imperial Building 13
20.00%
(e)
     
6,432
 
06/27/16
L+2.15%
(l)
45,999
(m)
9.00%
Prudential
Portside Master Company, LLC
Portside at Pier One – Bldg 7
38.25%
       
1,346
 
12/05/15
L+2.50%
 
24,930
 
9.00%
Prudential
RiverPark at Harrison I Urban Renewal LLC
RiverPark at Harrison
36.00%
       
3,352
 
06/27/16
L+2.35%
 
--
 
--
--
Estuary Urban Renewal Unit B, LLC
Lincoln Harbor (Bldg B)
7.50%
       
7,801
 
01/25/17
L+2.10%
 
31,648
 
8.50%
Hartz
RoseGarden Marbella South, L.L.C.
Marbella II
24.27%
       
6,369
 
03/30/17
L+2.25%
 
12,163
(n)
9.00%
Prudential
Rosewood Morristown, L.L.C.
Lofts at 40 Park
25.00%
       
1,117
 
09/30/14
L+2.50%
 
--
 
--
--
Roseland/Port Imperial Partners, L.P.
Riverwalk C
20.00%
       
--
 
--
--
 
22,660
(o)
10.00%
Prudential
Capitol Place Mezz LLC
Station Townhouses
50.00%
       
24,627
 
07/01/33
4.82%
 
--
 
--
--
 
Total In-Process Development Projects:
         
$192,187
       
$262,338
     

Joint Venture Name
Property
Company’s
Effective
Ownership %
     
Property Debt
 
Preferred
 
   
Balance
 
Maturity
Date
Interest
Rate
 
Capital
Balance (c)
 
Return
Rate
Investor
Land:
                             
Hillsborough 206 Holdings, L.L.C.
Hillsborough 206
50.00%
       
--
 
--
--
 
--
 
--
--
RoseGarden Monaco, L.L.C.
San Remo Land
41.67%
       
--
 
--
--
 
--
 
--
--
Grand Jersey Waterfront URA, L.L.C.
Liberty Landing
50.00%
       
--
 
--
--
 
--
 
--
--
RiverPark at Harrison I, L.L.C.
RiverPark at Harrison 5-8
Land Option
       
--
 
--
--
 
--
 
--
--
Plaza VIII and IX Associates, L.L.C.
Vacant land/parking
50.00%
       
--
 
--
--
 
--
 
--
--
Overlook Ridge, L.L.C.
Overlook Ridge Land
50.00%
       
$  16,627
 
03/02/14
L+3.50%
 
--
 
--
--
Overlook Ridge JV, L.L.C.
Overlook Phase III
50.00%
       
5,632
 
04/14/15
L+2.50%
 
--
 
--
--
Roseland/Port Imperial Partners, L.P.
Port Imperial North
20.00%
       
--
 
--
--
 
--
 
--
--
Crystal House Apartments Investors LLC
Crystal House Land
50.00%
       
--
 
--
--
 
--
 
--
--
 
Total Land
           
$  22,259
               
 
See footnotes on page 16.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
15

 


Breakdown of Unconsolidated Joint Ventures

(continued)

Footnotes for pages 14 and 15:

(a)  
Total apartment revenue for the quarter ended December 31, 2013 divided by the average percent leased for the quarter ended December 31, 2013, divided by the number of units and divided by 3.
(b)  
Net operating income equals total property revenues less real estate taxes, utilities and operating expenses.
(c)  
Includes capital account balance and accrued unpaid preferred return where applicable.
(d)  
Capital balances apply to both properties. Capital balance does not include $695 capital account held by Rosewood Morristown, L.L.C.
(e)  
A third party has a 20 percent economic interest in net company distributions.
(f)  
The senior loan, with a balance of $52,805 bears interest at LIBOR + 2.00 percent and the junior loan, with a balance of $17,000, bears interest at LIBOR + 0.90 percent.
(g)  
Includes a priority partnership loan which has an accrued interest balance of $15,398 as of December 31, 2013.
(h)  
Includes results from acquisition date March 2013 forward.
(i)  
On September 22, 2011, the venture entered into an interest rate swap agreement with a commercial bank. The swap agreement fixes the all-in rate to 3.99375 percent per annum on an initial notional amount of $13.65 million and then adjusting in accordance with an amortization schedule, which is effective from October 17, 2011 through loan maturity.
(j)  
The venture also has a loan with a balance of $4,624 with the City of Jersey City, provided by the U.S. Department of Housing and Urban Development, which bears interest at fixed rates ranging from 6.09 percent to 6.62 percent and matures in August 1, 2020.
(k)  
On January 18, 2013, Overlook Apartments Investors entered into an interest rate swap agreement with a commercial bank. The swap agreement fixes the all-in rate to 3.0875 percent per annum on an initial notional amount of $1.84 million and then adjusting in accordance with an amortization schedule, which is effective from September 3, 2013 to November 2, 2015.
(l)  
On December 28, 2012, PruRose 13 entered into an interest rate swap agreement with a commercial bank. The swap agreement fixes the all-in rate to 2.79 percent per annum on an initial notional amount of $1.62 million and then adjusting in accordance with an amortization schedule, which is effective from July 1, 2013 to January 1, 2016.
(m)  
Capital balance does not include MCRC land capital amount of $1,834 and accrued return balance of $174 as of December 31, 2013.
(n)  
Does not include MC Roseland Marbella South, L.L.C. capital amount of $3,708 and accrued return balance of $118.
(o)  
Does not include MCRC capital account of $35 and accrued return balance of $2.
(p)  
Occupancy for Crystal House reflects 50 vacant units that are undergoing renovation. Excluding these units, percent occupied for Crystal House and Total Operating Multi-Family was 90.2 percent and 94.1 percent, respectively. Excluding Crystal House, average portfolio occupancy was 95.8 percent.
(q)  
The Company’s equity interests in the joint ventures will be subordinated to affiliates of the Keystone Property Group receiving a 15 percent internal rate of return (“IRR”) after which the Company will receive a ten percent IRR on its subordinate equity of $22.2 million and then all profit will be split equally.
(r)  
Principal balance of $127,600 bears interest at 5.114 percent and matures in August 27, 2023; principal balance of $61,835 bears interest at rates ranging from L+5.0 percent to L+5.75 percent and matures in August 27, 2016; principal balance of $10,425 bears interest at L+6.0 percent and matures in August 27, 2015.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
16

 

Unconsolidated Joint Venture Financial Information

The following is a summary of the financial position of the unconsolidated joint ventures in which the Company had investment interests as of December 31, 2013 and 2012, respectively: (dollars in thousands)

 
December 31,
 
2013
2012
Assets:
   
Rental property, net
$ 736,331
$ 180,254
Loan receivable
45,050
42,276
Other assets
544,761
311,847
Total assets
$ 1,326,142
$ 534,377
Liabilities and partners’/
   
members’ capital:
   
Mortgages and loans payable
$ 637,708
$ 168,908
Other liabilities
81,305
12,141
Partners’/members’ capital
607,129
353,328
Total liabilities and
partners'/members’ capital
$ 1,326,142
$ 534,377

The following is a summary of the Company’s investment in unconsolidated joint ventures as of December 31, 2013 and 2012, respectively: (dollars in thousands)

 
December 31,
Entity
2013
2012
     
Plaza VIII & IX Associates, L.L.C.
$ 3,702
$ 4,321
South Pier at Harborside
--
(a)
(1,225)
Red Bank Corporate Plaza, L.L.C.
4,046
3,876
12 Vreeland Associates, L.L.C.
5,514
12,840
Boston Downtown Crossing
--
13,012
Gale Jefferson L.L.C.
--
1,029
Stamford SM LLC
36,258
34,006
Marbella RoseGarden, L.L.C.
15,797
16,918
RoseGarden Monaco Holdings, L.L.C.
3,201
4,761
Rosewood Lafayette Holdings, L.L.C.
857
1,988
PruRose Port Imperial South 15, LLC
--
606
Rosewood Morristown, L.L.C.
6,455
7,091
Overlook Ridge JV, L.L.C.
--
31
Overlook Ridge, L.L.C.
--
--
Overlook Ridge JV 2C/3B, L.L.C.
--
179
Roseland/North Retail, L.L.C.
1,930
2,161
BNES Associates III
1,753
1,955
Portside Master Company, L.L.C.
3,207
3,651
PruRose Port Imperial South 13, LLC
2,206
2,920
Roseland/Port Imperial Partners, L.P.
2,068
2,582
RoseGarden Marbella South, L.L.C.
7,567
6,182
PruRose Riverwalk G, L.L.C.
3,117
4,136
Elmajo Urban Renewal Associates, LLC
203
629
Estuary Urban Renewal Unit B, LLC
24
220
RiverPark at Harrison I, L.L.C.
3,655
2,606
150 Main Street, L.L.C. (b)
--
2,395
RoseGarden Monaco, L.L.C.
1,224
1,165
Hillsborough 206 Holdings, L.L.C.
1,962
1,967
Grand Jersey Waterfront Urban Renewal Associates, L.L.C.
337
337
Crystal House Apartments Investors LLC
26,838
--
KPG-P 100 IMW JV, LLC
1,887
--
Capitol Place Mezz LLC
46,628
--
Other
693
--
 
Company's investment in unconsolidated joint ventures
$ 181,129
$ 132,339
(a)  
The negative investment balance for this joint venture of $1,706,000 at December 31, 2013 was included in accounts payable, accrued expenses and other liabilities.
(b)  
As of August 22, 2013, the Company is consolidating this joint venture.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
17

 

The following is a summary of the results of operations of the unconsolidated joint ventures for the period in which the Company had investment interests for the three months and years ended December 31, 2013 and 2012, respectively: (dollars in thousands)

 
Three Months Ended
December 31,
Year Ended
December 31,
 
2013
2012
2013
2012
         
Total revenues
$94,276
$ 23,814
$256,026
$68,183
Operating and other expenses
(77,941)
(11,580)
(215,830)
(37,008)
Depreciation and amortization
(9,795)
(2,854)
(34,525)
(10,139)
Interest expense
(6,959)
(1,758)
(16,215)
(6,775)
 
Net (loss) income
$(419)
$   7,622
$(10,544)
$14,261


The following is a summary of the Company’s equity in earnings (loss) of unconsolidated joint ventures for the three months and years ended December 31, 2013 and 2012, respectively: (dollars in thousands)

 
Three Months Ended
December 31,
Year Ended
December 31,
Entity
2013
2012
2013
2012
   
Plaza VIII & IX Associates, L.L.C.
$ 47
$(13)
$ 99
$ 30
South Pier at Harborside
1,139
484
2,519
2,368
Red Bank Corporate Plaza, L.L.C.
66
62
372
360
12 Vreeland Associates, L.L.C.
75
(176)
74
427
Boston Downtown Crossing
(2)
(125)
644
(458)
Gale Jefferson L.L.C.
--
18
69
81
Stamford SM LLC
915
885
3,719
3,078
Marbella RoseGarden, L.L.C.
(94)
13
(540)
13
RoseGarden Monaco Holdings, L.L.C.
(323)
(311)
(1,560)
(311)
Rosewood Lafayette Holdings, L.L.C.
(262)
(197)
(1,131)
(197)
PruRose Port Imperial South 15, LLC
--
(533)
(606)
(533)
Rosewood Morristown, L.L.C.
(115)
(25)
(509)
(25)
Overlook Ridge JV, L.L.C.
(212)
--
(212)
--
Overlook Ridge, L.L.C.
--
--
--
--
Overlook Ridge JV 2C/3B, L.L.C.
90
(11)
293
(11)
Roseland/North Retail, L.L.C.
(37)
(80)
(230)
(80)
BNES Associates III
92
(323)
(14)
(323)
Portside Master Company, L.L.C.
(198)
(5)
(421)
(5)
PruRose Port Imperial South 13, LLC
(205)
(87)
(664)
(87)
Roseland/Port Imperial Partners, L.P.
(740)
--
(740)
--
RoseGarden Marbella South, L.L.C.
--
(13)
(57)
(13)
PruRose Riverwalk G, L.L.C.
(409)
(142)
(985)
(142)
Elmajo Urban Renewal Associates, LLC
(90)
(83)
(345)
(83)
Estuary Urban Renewal Unit B, LLC
(49)
--
(157)
--
RiverPark at Harrison I, L.L.C.
--
--
--
--
RoseGarden Monaco, L.L.C.
--
--
--
--
Hillsborough 206 Holdings, L.L.C.
(35)
--
(35)
--
Grand Jersey Waterfront Urban Renewal Associates, L.L.C.
(77)
--
(77)
--
Crystal House Apartments Investors LLC
32
--
(2,639)
--
KPG-P 100 IMW JV, LLC
(913)
--
(913)
--
Capitol Place Mezz LLC
--
--
--
--
Other
1,037
--
1,719
--
 
Company's equity in (loss) earnings of unconsolidated joint ventures
$    (268)
$(662)
$(2,327)
$4,089



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
18

 

The following is a summary of the Company’s funds from operations of unconsolidated joint ventures for the three months and years ended December 31, 2013 and 2012, respectively: (dollars in thousands)


 
Three Months Ended
December 31,
Year Ended
December 31,
Entity
2013
2012
2013
2012
   
Plaza VIII & IX Associates, L.L.C.
$          53  
$ 64
$ 334
$ 337
South Pier at Harborside
1,868
1,211
5,437
5,184
Red Bank Corporate Plaza, L.L.C.
183
177
837
818
12 Vreeland Associates, L.L.C.
181
(100)
410
734
Boston Downtown Crossing
(2)
(125)
644
(458)
Gale Jefferson, L.L.C.
--
44
69
178
Stamford SM LLC
915
885
3,719
3,078
Marbella RoseGarden, L.L.C.
214
308
1,054
308
RoseGarden Monaco Holdings, L.L.C.
(42)
(40)
(155)
(40)
Rosewood Lafayette Holdings, L.L.C.
(17)
15
(22)
15
PruRose Port Imperial South 15, LLC
--
(9)
101
(9)
Rosewood Morristown, L.L.C.
(5)
73
20
73
Overlook Ridge JV, L.L.C.
(212)
--
(212)
--
Overlook Ridge, L.L.C.
--
--
--
--
Overlook Ridge JV 2C/3B, L.L.C.
90
(11)
293
(11)
Roseland/North Retail, L.L.C.
(6)
(45)
(45)
(45)
BNES Associates III
84
(219)
438
(219)
Portside Master Company, L.L.C.
(198)
(5)
(421)
(5)
PruRose Port Imperial South 13, LLC
(205)
(87)
(664)
(87)
Roseland/Port Imperial Partners, L.P.
(740)
--
(740)
--
RoseGarden Marbella South, L.L.C.
--
(13)
(57)
(13)
PruRose Riverwalk G, L.L.C.
(371)
(142)
(947)
(142)
Elmajo Urban Renewal Associates, LLC
(90)
(83)
(345)
(83)
Estuary Urban Renewal Unit B, LLC
(49)
--
(157)
--
RiverPark at Harrison I, L.L.C.
--
--
--
--
150 Main Street, L.L.C.
--
--
--
--
RoseGarden Monaco, L.L.C.
--
--
--
--
Hillsborough 206 Holdings, L.L.C.
(35)
--
(35)
--
Grand Jersey Waterfront Urban Renewal Associates, L.L.C.
(77)
--
(77)
--
Crystal House Apartments Investors LLC
325
--
1,059
--
KPG-P 100 IMW JV, LLC
(802)
--
(802)
--
Capitol Place Mezz LLC
--
--
--
--
Other
1,037
--
1,719
--
 
Company's funds from operations of unconsolidated joint ventures
$     2,099  
$ 1,898
$11,455  
$ 9,613



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
19

 


Select Financial Ratios


Ratios Computed For Industry
December 31,
 
Comparisons:
2013
2012
 
 
Financial Position Ratios:
 
Total Debt/ Total Book
   Capitalization
   (Book value) (%)
52.33%
48.70%
 
   
Total Debt/ Total Market
   Capitalization
   (Market value) (%)
51.72%
45.28%
 
   
Total Debt/ Total Undepreciated
   Assets (%)
39.94%
36.71%
 
   
Secured Debt/ Total Undepreciated
   Assets (%)
12.61%
12.62%
 
 
 
 
 
 
Three Months Ended
December 31,
Year Ended
December 31,
 
2013
2012
2013
2012
 
Operational Ratios:
 
Interest Coverage
   (Funds from Operations+Interest
    Expense)/Interest Expense (x)
2.65
3.22
2.92
3.19
   
Debt Service Coverage
   (Funds from Operations +
   Interest Expense)/(Interest Expense
   + Principal Amort.) (x)
2.57
3.08
2.83
3.09
   
Fixed Charge Coverage
   (Funds from Operations +
   Interest Expense)/(Interest Expense
   + Capitalized Interest+Pref. Div.
   +Prin. Amort.+Ground Lease
   Payments)(x)
2.38
2.81
2.57
2.98
   
FFO Payout
   (Dividends Declared/Funds from
   Operations) (%)
57.46%
68.65%
56.74%
67.42%
 

 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
20

 


 
 
Debt Analysis
 
(as of December 31, 2013)


 
Debt Breakdown
 
(dollars in thousands)

 
Balance
% of Total
Weighted Average
Interest Rate (a)
 
Weighted Average Maturity in Year
Fixed Rate Unsecured Debt and
  Other Obligations
$1,616,575
68.42%
4.95%
 
4.94
Fixed Rate Secured Debt
665,963
28.19%
7.60%
 
3.36
Variable Rate Secured Debt
80,228
3.39%
2.73%
 
1.04
 
Totals/Weighted Average:
$2,362,766
100.00%
5.62%
(b)
4.36

(a)  
The actual weighted average LIBOR rate for the Company’s outstanding variable rate debt was 0.18 percent as of December 31, 2013, plus the applicable spread.
(b)  
Excludes amortized deferred financing costs pertaining to the Company’s unsecured revolving credit facility which amounted to $3.0 million for the year ended December 31, 2013.
 

 

 
Future Repayments
 
(dollars in thousands)

Period
Scheduled
Amortization
Principal
Maturities
Total
Weighted Average Interest Rate of
Future Repayments (a)
 
2014
$ 10,163
$370,596
$380,759
6.53%
 
2015
8,551
193,278
201,829
4.65%
 
2016
8,389
269,273
277,662
7.14%
 
2017
6,423
391,151
397,574
4.12%
 
2018
5,996
231,536
237,532
6.70%
 
Thereafter
198
885,345
885,543
5.41%
 
Sub-total
39,720
2,341,179
2,380,899
   
Adjustment for unamortized debt discount/premium and mark-to-market, net, as of December 31, 2013
(18,133)
--
(18,133)
   
 
Totals/Weighted Average:
$ 21,587
$2,341,179
$2,362,766
5.62%
 

(a)  
The actual weighted average LIBOR rate for the Company’s outstanding variable rate debt was 0.18 percent as of December 31, 2013, plus the applicable spread.

 

 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
21

 


 
Debt Maturities
 
(dollars in thousands)

 
2014
2015
2016
2017
2018
2019
2020
2021
2022 and
Beyond
TOTALS
Secured Debt:
                   
Port Imperial South 4/5
$36,950
               
$36,950
9200 Edmonston Road
4,116
               
4,116
6301 Ivy Lane
5,320
               
5,320
35 Waterview
18,185
               
18,185
6 Becker, 85 Livingston,
75 Livingston, & 20 Waterview
65,035
               
65,035
4 Sylvan Way
14,575
               
14,575
10 Independence
16,924
               
16,924
395 West Passaic
9,491
               
9,491
Port Imperial South
 
$43,278
             
43,278
4 Becker
   
$40,432
           
40,432
5 Becker
   
14,574
           
14,574
210 Clay
   
14,267
           
14,267
Prudential Portfolio
     
$141,151
         
141,151
23 Main Street
       
$26,566
       
26,566
Harborside Plaza 5
       
204,970
       
204,970
100 Walnut Avenue
         
$17,280
     
17,280
One River Center
         
39,586
     
39,586
233 Canoe Brook Road
         
3,479
     
3,479
Total Secured Debt:
$170,596
$43,278
$69,273
$141,151
$231,536
$60,345
--
--
--
$716,179
                     
Unsecured Debt:
                   
Unsecured credit facility
                 
--
5.125% unsecured notes
 due 2/14
$200,000
               
$200,000
5.125% unsecured notes
 due 1/15
 
$150,000
             
150,000
5.80% unsecured notes
 due 1/16
   
$200,000
           
200,000
2.50% unsecured notes
 due 12/17
     
$250,000
         
250,000
7.75% unsecured notes
 due 8/19
         
$250,000
     
250,000
4.50% unsecured notes
 due 4/22
               
$300,000
300,000
3.15% unsecured notes
 due 5/23
               
275,000
275,000
Total Unsecured Debt:
$200,000
$150,000
$200,000
$250,000
--
$250,000
--
--
$575,000
$1,625,000
                     
Total Debt:
$370,596
$193,278
$269,273
$391,151
$231,536
$310,345
--
--
$575,000
$2,341,179


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
22

 


 
Debt Detail
 
(dollars in thousands)

 
 
Property Name
Lender
Effective
Interest
Rate
   
December 31,
Date of
Maturity
 
2013
2012
Senior Unsecured Notes: (a)
         
4.600%, Senior Unsecured Notes
public debt
4.742%
--
$99,987
--
(b)
5.125%, Senior Unsecured Notes
public debt
5.110%
$200,030
200,270
02/15/14
 (c)
5.125%, Senior Unsecured Notes
public debt
5.297%
149,902
149,810
01/15/15
 
5.800%, Senior Unsecured Notes
public debt
5.806%
200,161
200,237
01/15/16
 
2.500%, Senior Unsecured Notes
public debt
2.803%
248,855
248,560
12/15/17
 
7.750%, Senior Unsecured Notes
public debt
8.017%
248,799
248,585
08/15/19
 
4.500%, Senior Unsecured Notes
public debt
4.612%
299,505
299,445
04/18/22
 
3.150%, Senior Unsecured Notes
public debt
3.517%
269,323
--
05/15/23
 
Total Senior Unsecured Notes:
   
$1,616,575
$1,446,894
 

Revolving Credit Facilities:
Unsecured Facility (d)
17 Lenders
LIBOR +1.100%
--
--
07/31/17
 
Total Revolving Credit Facilities:
   
--
--
   

Property Mortgages: (e)
51 Imclone
Wells Fargo CMBS
8.390%
--
$ 3,878
--
(f)
6305 Ivy Lane
RGA Reinsurance Company
5.525%
--
5,984
--
(g)
9200 Edmonston Road
Principal Commercial Funding, L.L.C.
5.534%
$ 4,115
4,305
05/01/13
(h)
Port Imperial South 4/5
Wells Fargo Bank N.A.
LIBOR+3.50%
36,950
34,889
03/30/14
 
395 West Passaic
State Farm Life Ins. Co.
6.004%
9,719
10,231
05/01/14
 
6301 Ivy Lane
RGA Reinsurance Company
5.520%
5,447
5,667
07/01/14
 
35 Waterview
Wells Fargo CMBS
6.348%
18,417
18,746
08/11/14
 
6 Becker, 85 Livingston,
75 Livingston & 20 Waterview (i) (j)
Wells Fargo CMBS
10.220%
64,233
63,126
08/11/14
 
4 Sylvan (i)
Wells Fargo CMBS
10.190%
14,538
14,485
08/11/14
 
10 Independence (i)
Wells Fargo CMBS
12.440%
16,638
16,251
08/11/14
 
Port Imperial South
Wells Fargo Bank N.A.
LIBOR+1.75%
43,278
42,168
09/19/15
 
4 Becker (i)
Wells Fargo CMBS
9.550%
38,820
38,274
05/11/16
 
5 Becker (i)
Wells Fargo CMBS
12.830%
13,092
12,507
05/11/16
(k)
210 Clay (i)
Wells Fargo CMBS
13.420%
12,767
12,275
05/11/16
 
Various (l)
Prudential Insurance
6.332%
147,477
149,281
01/15/17
 
23 Main Street
JPMorgan CMBS
5.587%
29,843
30,395
09/01/18
 
Harborside Plaza 5
The Northwestern Mutual Life Insurance
Co. & New York Life Insurance Co.
6.842%
225,139
228,481
11/01/18
 
233 Canoe Brook Road
The Provident Bank
4.375%
3,877
3,945
02/01/19
 
100 Walnut Avenue
Guardian Life Ins. Co.
7.311%
18,792
19,025
02/01/19
 
One River Center (m)
Guardian Life Ins. Co.
7.311%
43,049
43,582
02/01/19
 
Total Mortgages, Loans Payable and Other Obligations:
 
$746,191
$757,495
 
 
Total Debt:
   
$2,362,766
$2,204,389
 

(a)  
Includes the cost of terminated treasury lock agreements (if any), offering and other transaction costs and the discount/premium on the notes, as applicable.
(b)  
These notes were paid at maturity using available cash.
(c)
These notes were paid at maturity using available cash and borrowing on the Company's unsecured revolving credit facility.
(d)  
Total borrowing capacity under this facility is $600 million. On July 16, 2013, the Company amended and restated its unsecured revolving credit facility with a group of 17 lenders.  The $600 million facility is expandable to $1 billion and matures in July 2017. It has two six month extension options each requiring the payment of a 7.5 basis point fee. The interest rate on outstanding borrowings (not electing the Company’s competitive bid feature) and the facility fee on the current borrowing capacity payable quarterly in arrears are based upon the Operating Partnership’s unsecured debt ratings.
(e)  
Effective interest rate for mortgages, loans payable and other obligations reflects effective rate of debt, including deferred financing costs, comprised of the cost of terminated treasury lock agreements (if any), debt initiation costs, mark-to market adjustment of acquired debt and other transaction costs, as applicable.
(f)  
With the sale of the property on May 31, 2013, the mortgage was satisfied by the Company. The Company incurred $0.7 million in costs for the debt satisfaction, which was included in discontinued operations: loss from early extinguishment of debt for the year ended December 31, 2013.
(g)  
On October 1, 2013, the Company repaid the mortgage loan at par, using available cash.  The original maturity date was January 1, 2014.
(h)  
The lease with the tenant occupying 100 percent of the building expired on January 9, 2013 and the tenant continues to occupy the building on a month-to-month basis. The mortgage loan matured on May 1, 2013 and was not repaid. The Company received a notice of default from the lender on July 17, 2013. The Company has requested a modification of the loan terms and is also in discussions regarding a deed-in-lieu of foreclosure with the lender.
(i)  
As the Company estimated that the carrying values of these properties may not be recoverable over their anticipated holding periods, the Company recorded impairment charges on these properties.
(j)  
Mortgage is cross collateralized by the four properties.
(k)  
The cash flow from this property is insufficient to cover operating costs and debt service.  Consequently, the Company notified the lender and suspended debt service payments in August 2013. The Company has begun discussions with the lender regarding a modification of loan terms and began remitting available cash flow to the lender effective August 2013.
(l)  
Mortgage is collateralized by seven properties. The Operating Partnership has agreed, subject to certain conditions, to guarantee repayment of a portion of the loan.
(m)  
Mortgage is collateralized by the three properties comprising One River Center.
  
 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
23

 











III. FINANCIAL INFORMATION



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
24

 

III.  FINANCIAL INFORMATION

Mack-Cali Realty Corporation and Subsidiaries
Consolidated Statements of Operations
(in thousands, except per share amounts) (unaudited)

   
Three Months Ended
December 31,
   
Year Ended
December 31,
 
Revenues
 
2013
   
2012
   
2013
   
2012
 
Base rents
  $ 136,222     $ 133,902     $ 540,165     $ 535,822  
Escalations and recoveries from tenants
    18,641       17,995       72,758       74,535  
Construction services
    --       4,321       15,650       13,557  
Real estate services
    6,847       5,088       26,935       8,606  
Parking income
    2,209       1,468       6,840       6,021  
Other income
    1,348       1,567       4,683       12,091  
Total revenues
    165,267       164,341       667,031       650,632  
                                 
Expenses
                               
Real estate taxes
    23,519       22,095       85,574       86,683  
Utilities
    15,552       13,622       63,622       58,267  
Operating services
    28,791       25,147       105,278       97,005  
Direct construction costs
    --       4,052       14,945       12,647  
Real estate services expenses
    6,907       2,204       22,716       3,746  
General and administrative
    10,447       12,514       47,682       47,664  
Depreciation and amortization
    47,666       43,637       182,766       174,333  
Impairments
    62,153       9,845       110,853       9,845  
Total expenses
    195,035       133,116       633,436       490,190  
Operating income (loss)
    (29,768)       31,225       33,595       160,442  
                                 
Other (Expense) Income
                               
Interest expense
    (31,626 )     (29,500 )     (123,701 )     (122,039 )
Interest and other investment income
    1,616       7       2,903       34  
Equity in earnings (loss) of unconsolidated joint ventures
    (268)       (662 )     (2,327 )     4,089  
Loss from early extinguishment of debt
    (156 )     (545 )     (156 )     (4,960 )
Total other (expense) income
    (30,434 )     (30,700 )     (123,281 )     (122,876 )
Income (loss) from continuing operations
    (60,202 )     525       (89,686 )     37,566  
Discontinued Operations:
                               
Income from discontinued operations
    (9 )     4,455       11,811       21,878  
Loss from early extinguishment of debt
    --       --       (703 )     --  
Realized gains (losses) and unrealized losses on disposition of rental property and impairments, net
    (1,559 )     (15,565 )     59,520       (13,175 )
Total discontinued operations, net
    (1,568 )     (11,110 )     70,628       8,703  
Net income (loss)
    (61,770 )     (10,585 )     (19,058 )     46,269  
Noncontrolling interest in consolidated joint ventures
    237       74       2,199       330  
Noncontrolling interest in Operating Partnership
    7,167       (73 )     10,459       (4,619 )
Noncontrolling interest in discontinued operations
    187       1,357       (8,509 )     (1,058 )
Net income (loss) available to common shareholders
  $ (54,179 )   $ (9,227 )   $ (14,909 )   $ 40,922  
                                 
Basic earnings per common share:
                               
Income (loss) from continuing operations
  $ (0.60 )   $ 0.01     $ (0.88 )   $ 0.38  
Discontinued operations
    (0.02 )     (0.12 )     0.71       0.09  
Net income (loss) available to common shareholders
  $ (0.62 )   $ (0.11 )   $ (0.17 )   $ 0.47  
                                 
Diluted earnings per common share:
                               
Income (loss) from continuing operations
  $ (0.60 )   $ 0.01     $ (0.88 )   $ 0.38  
Discontinued operations
    (0.02 )     (0.12 )     0.71       0.09  
Net income (loss) available to common shareholders
  $ (0.62 )   $ (0.11 )   $ (0.17 )   $ 0.47  
                                 
Basic weighted average shares outstanding
    87,877       87,527       87,762       87,742  
                                 
Diluted weighted average shares outstanding
    99,806       99,766       99,785       99,996  



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
25

 

Mack-Cali Realty Corporation and Subsidiaries
Consolidated Balance Sheets
(in thousands, except per share amounts)



   
December 31,
 
   
2013
   
2012
 
Assets
           
Rental property
           
Land and leasehold interests
  $ 750,658     $ 782,315  
Buildings and improvements
    3,915,800       4,104,472  
Tenant improvements
    456,003       489,608  
Furniture, fixtures and equipment
    7,472       3,041  
      5,129,933       5,379,436  
Less – accumulated depreciation and amortization
    (1,400,988 )     (1,478,214 )
      3,728,945       3,901,222  
Rental property held for sale, net
    --       60,863  
Net investment in rental property
    3,728,945       3,962,085  
Cash and cash equivalents
    221,706       58,245  
Investments in unconsolidated joint ventures
    181,129       132,339  
Unbilled rents receivable, net
    136,304       139,984  
Deferred charges, goodwill  and other assets
    218,519       204,874  
Restricted cash
    19,794       19,339  
Accounts receivable, net of allowance for doubtful accounts
               
of $2,832 and $2,614
    8,931       9,179  
                 
Total assets
  $ 4,515,328     $ 4,526,045  
                 
Liabilities and Equity
               
Senior unsecured notes
  $ 1,616,575     $ 1,446,894  
Mortgages, loans payable and other obligations
    746,191       757,495  
Dividends and distributions payable
    29,938       44,855  
Accounts payable, accrued expenses and other liabilities
    121,286       124,822  
Rents received in advance and security deposits
    53,730       55,917  
Accrued interest payable
    29,153       27,555  
Total liabilities
    2,596,873       2,457,538  
Commitments and contingencies
               
                 
Equity:
               
Mack-Cali Realty Corporation stockholders’ equity:
               
Common stock, $0.01 par value, 190,000,000 shares authorized,
               
88,247,591 and 87,536,292 shares outstanding
    882       875  
Additional paid-in capital
    2,539,326       2,530,621  
Dividends in excess of net earnings
    (897,849 )     (764,522 )
Total Mack-Cali Realty Corporation stockholders’ equity
    1,642,359       1,766,974  
                 
Noncontrolling interest in subsidiaries:
               
Operating Partnership
    220,813       245,091  
Consolidated joint ventures
    55,283       56,442  
Total noncontrolling interests in subsidiaries
    276,096       301,533  
                 
Total equity
    1,918,455       2,068,507  
                 
Total liabilities and equity
  $ 4,515,328     $ 4,526,045  



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
26

 


Mack-Cali Realty Corporation and Subsidiaries
Consolidated Statement of Changes in Equity
(in thousands) (unaudited)




           
           
   
Additional
Dividends in
Noncontrolling
 
 
Common Stock
Paid-In
Excess of
Interests
Total
 
Shares
Par Value
Capital
Net Earnings
in Subsidiaries
Equity
Balance at January 1, 2013
87,536
$875
$2,530,621
$(764,522)
$301,533
$2,068,507
Net income (loss)
--
--
--
(14,909)
(4,149)
(19,058) 
Common stock dividends
--
--
--
(118,418)
--
(118,418)
Common unit distributions
--
--
--
--
(16,193)
(16,193)
Increase in noncontrolling interests
--
--
--
--
1,040
1,040  
   Redemption of common units
           
  for common stock
277
3
5,475
--
(5,478)
--
Shares issued under Dividend
           
  Reinvestment and Stock Purchase Plan
10
--
243
--
--
243
Stock compensation
425
4
2,330
--
--
2,334
Rebalancing of ownership percentage
           
  between parent and subsidiaries
--
--
657 
--
(657)
--
Balance at December 31, 2013
88,248
$882
$2,539,326
$(897,849)
$276,096
$1,918,455





Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
27

 

Mack-Cali Realty Corporation and Subsidiaries
Statements of Funds from Operations
(in thousands, except per share/unit amounts) (unaudited)


             
   
Three Months Ended
December 31,
   
Year Ended
December 31,
 
   
2013
   
2012
   
2013
   
2012
 
Net income (loss) available to common shareholders
  $ (54,179 )   $ (9,227 )   $ (14,909 )   $ 40,922  
Add: Noncontrolling interest in Operating Partnership
    (7,167 )     73       (10,459 )     4,619  
Noncontrolling interest in discontinued operations
    (187 )     (1,357 )     8,509       1,058  
Real estate-related depreciation and amortization on continuing operations (a)
    49,929       46,120       194,741       179,581  
Real estate-related depreciation and amortization on discontinued operations
    --       4,379       8,218       17,764  
Impairments
    62,153       18,245       134,704       18,245  
Deduct: Discontinued operations - Realized (gains) losses and unrealized losses on disposition of rental property and impairments, net
    1,559       7,165       (83,371 )     4,775  
Funds from operations (b)
  $ 52,108     $ 65,398     $ 237,433     $ 266,964  
                                 
Diluted weighted average shares/units outstanding (c)
    99,806       99,766       99,785       99,996  
                                 
Funds from operations per share/unit – diluted
  $ 0.52     $ 0.66     $ 2.38     $ 2.67  
                                 
Dividends declared per common share
  $ 0.30     $ 0.45     $ 1.35     $ 1.80  
                                 
Dividend payout ratio:
                               
     Funds from operations-diluted
    57.46 %     68.65 %     56.74 %     67.42 %
                                 
Supplemental Information:
                               
  Non-incremental revenue generating capital expenditures:
                               
     Building improvements
  $ 3,790     $ 9,772     $ 15,266     $ 29,133  
     Tenant improvements and leasing commissions (d)
  $ 15,262     $ 13,783     $ 52,123     $ 49,985  
  Straight-line rent adjustments (e)
  $ 1,645     $ 4,396     $ 11,817     $ 9,790  
  Amortization of (above)/below market lease intangibles, net (f)
  $ 185     $ 526     $ 2,179     $ 1,566  
   

(a) Includes the Company’s share from unconsolidated joint ventures of $2,366 and $2,560 for the three months ended December 31, 2013 and 2012, respectively, and $13,783 and $5,524 for the years ended December 31, 2013 and 2012, respectively. Excludes non-real estate-related depreciation and amortization of $65 and $75 for the three months ended December 31, 2013 and 2012, respectively, and $287 and $276 for the years ended December 31, 2013 and 2012, respectively.
(b) Funds from operations is calculated in accordance with the definition of FFO of the National Association of Real Estate Investment Trusts (NAREIT). See “Information About FFO” on page 11.
(c) Calculated based on weighted average common shares outstanding, assuming redemption of Operating Partnership common units into common shares (11,929 and 12,168 shares for the three months ended December 31, 2013 and 2012, respectively, and 12,023 and 12,180 for the years ended December 31, 2013 and 2012, respectively), plus dilutive Common Stock Equivalents (i.e. stock options). See reconciliation of basic to diluted shares/units on page 30.
(d) Excludes expenditures for tenant spaces that have not been owned for at least a year or were vacant for more than a year.
(e) Includes the Company’s share from unconsolidated joint ventures of $(52) and $(13) for the three months ended December 31, 2013 and 2012, respectively, and $32 and $37 for the years ended December 31, 2013 and 2012, respectively.
(f) Includes the Company’s share from unconsolidated joint ventures of $124 and $194 for the three months ended December 31, 2013 and 2012, respectively, and $703 and $194 for the years ended December 31, 2013 and 2012, respectively.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
28

 

Mack-Cali Realty Corporation and Subsidiaries
Statements of Funds from Operations Per Diluted Share
(amounts are per diluted share, except share count in thousands) (unaudited)


             
   
Three Months Ended
December 31,
   
Year Ended
December 31,
 
   
2013
   
2012
   
2013
   
2012
 
Net income (loss) available to common shareholders
  $ (0.62 )   $ (0.11 )   $ (0.17 )   $ 0.47  
Add: Real estate-related depreciation and amortization on continuing operations (a)
    0.50       0.46       1.95       1.80  
Real estate-related depreciation and amortization on discontinued operations
    --       0.04       0.08       0.18  
Impairments
    0.62       0.18       1.35       0.18  
Deduct: Discontinued operations - Realized (gains) losses and unrealized losses on disposition of rental property and impairments, net
    0.02       0.07       (0.84 )     0.05  
Noncontrolling interest/rounding adjustment
    --       0.02       0.01       (0.01 )
 
Funds from operations (b)
  $ 0.52     $ 0.66     $ 2.38     $ 2.67  
Diluted weighted average shares/units outstanding (c)
    99,806       99,766       99,785       99,996  

(a) Includes the Company’s share from unconsolidated joint ventures of $0.03 and $0.03 for the three months ended December 31, 2013 and 2012, respectively, and $0.14 and $0.06 for the years ended December 31, 2013 and 2012, respectively.
(b) Funds from operations is calculated in accordance with the definition of FFO of the National Association of Real Estate Investment Trusts (NAREIT). See “Information About FFO” on page 11.
(c) Calculated based on weighted average common shares outstanding, assuming redemption of Operating Partnership common units into common shares (11,929 and 12,168 shares for the three months ended December 31, 2013 and 2012, respectively, and 12,023 and 12,180 for the years ended December 31, 2013 and 2012, respectively), plus dilutive Common Stock Equivalents (i.e. stock options). See reconciliation of basic to diluted shares/units on page 30.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
29

 


Mack-Cali Realty Corporation and Subsidiaries
Reconciliation of Basic-to-Diluted Shares/Units
(in thousands)



The following schedule reconciles the Company’s basic weighted average shares outstanding to basic and diluted weighted average shares/units outstanding for the purpose of calculating FFO per share:

 
Three Months Ended
Year Ended
 
December 31,
December 31,
 
2013
2012
2013
2012
Basic weighted average shares outstanding:
87,877
87,527
87,762
87,742
Add: Weighted average common units
11,929
12,168
12,023
12,180
Basic weighted average shares/units:
99,806
99,695
99,785
99,922
Restricted Stock Awards
--
71
--
74
 
Diluted weighted average shares/units outstanding:
99,806
99,766
99,785
99,996



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
30

 











IV.  VALUE CREATION PIPELINE




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
31

 

IV. VALUE CREATION PIPELINE

Operating Property Acquisitions
(dollars in thousands)


 
For the year ended December 31, 2013

Acquisition
Date
Property
Location
# of
Properties
# of
Apartment Units
Commercial
Square Feet
Investment
By Company
 
Consolidated Multi-Family Rental:
             
01/18/13
Alterra at Overlook Ridge 1A
Revere, Massachusetts
1
310
 
$61,250
(a)
04/04/13
Alterra at Overlook Ridge 1B
Revere, Massachusetts
1
412
 
87,950
(a)
11/20/13
Park Square
Rahway, New Jersey
1
159
 
46,376
(b)
12/19/13
Richmond Court/Riverwatch Commons
New Brunswick, New Jersey
2
200
 
40,983
(c)
Total Consolidated
   
5
1,081
 
$236,559
 
               
Unconsolidated Multi-Family Rental:
             
03/21/13
Crystal House (d)
Arlington, Virginia
1
828
 
$30,210
 
Unconsolidated Commercial:
             
12/09/13
100 Independence Mall West (e)
Philadelphia, PA
1
--
339,615
2,800
 
Total Unconsolidated
   
2
828
339,615
$33,010
 
 
Total
   
7
1,909
339,615
$269,569
 

(a)  
The acquisition cost was funded primarily through borrowings under the Company’s unsecured revolving credit facility.
(b)  
The acquisition cost consisted of $43.4 million in cash consideration and future purchase price earn out payment obligations, subject to conditions related to a real estate tax appeal, recorded at fair value of $3.0 million at closing. $42.6 million of the cash consideration was funded from funds held by a qualified intermediary, which were proceeds from the Company’s prior property sales. The remaining cash consideration was funded primarily from available cash on hand. $2.6 million of the earn-out obligation amount was paid in January 2014, with the remaining balance still potentially payable in the future.
(c)  
$12.7 million of the acquisition cost was funded from funds held by a qualified intermediary, which were proceeds from the Company’s prior property sales. The remaining acquisition cost was funded primarily from available cash on hand.
(d)  
The Company holds a 25 percent interest in this property. The joint venture acquired the property, which is encumbered by a $165 million mortgage loan, for approximately $262.5 million.
(e)  
The Company holds a 33 percent interest in this property. The joint venture acquired the property, which is encumbered by a $61.5 million mortgage loan, for approximately $40.5 million. As part of a more than $20 million reinvestment strategy for this property, the joint venture is planning upgrades to the building’s common areas, as well as build-out offices and the conversion of approximately 55,000 square feet of lower-level space into a 110-space parking garage.


For the year ended December 31, 2012

None.



Properties Commencing Initial Operations
(dollars in thousands, except per square foot)

For the year ended December 31, 2013

Date
Property/Address
Location
Type
# of
Properties
Rentable
Square
Feet
Garage
Parking
Spaces
Development
Costs Incurred
By Company
 
Development
Cost Per
Square Foot
                   
06/05/13
14 Sylvan Way
Parsippany, New Jersey
Office
1
203,506
--
$ 51,611
 (a)
$ 254
08/01/13
Port Imperial South 4/5
Weehawken, New Jersey
Parking/Retail
1
16,736
850
71,040
 (b)
n/a
                   
Total Properties Commencing Initial Operations:
 
2
220,242
850
$122,651
   

(a)  
Development costs included approximately $13.0 million in land costs and $4.3 million in leasing costs. Amounts are as of December 31, 2013.
(b)  
Development costs included approximately $13.1 million in land costs. Amounts are as of December 31, 2013.


For the year ended December 31, 2012

None.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
32

 

Acquisition Property Profile

   
   
Property Name:
Park Square
   
Product Type:
Multi-family residential
   
Location:
Rahway, New Jersey
   
Description:
One, 5-story and one, 4-story multi-family residential buildings
   
Size:
159 apartment units and 5,934 square feet of commercial retail space
   
Year Constructed:
2011
   
Closing Date:
November 20, 2013
   
Acquisition Cost:
$46.4 million
   
Funding Source:
Funded from funds held by qualified intermediary and available cash on hand.
   
Percentage Leased:
Multi-family: 91.2%
 
Retail: 100.0%
   



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
33

 

Acquisition Property Profile

   
   
Property Name:
Richmond Court and Riverwatch Commons
   
Number of Properties:
2
   
Product Type:
Multi-family residential
   
Location:
New Brunswick, New Jersey
   
Description:
One, 5-story and two, 3-story multi-family residential buildings
   
Size:
200 total apartment units
   
Year Constructed:
1995 and 1997
   
Closing Date:
December 19, 2013
   
Acquisition Cost:
$41.0 million
   
Funding Source:
Funded from funds held by qualified intermediary and available cash on hand.
   
Percentage Leased:
95.0%
   



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
34

 

Summary of In-Process Development Projects
(dollars in thousands)

As of December 31, 2013

Property
Location
Type
# of
Apartment
Units (a)
Commercial
Square
Feet (a)
Costs
Incurred
Through
12/31/13
Total
Estimated
Costs
Garage
Parking
Spaces (a)
Estimated
Initial Delivery
Date
Consolidated:
               
Port Imperial 1/3 Garage/Retail
Weehawken, NJ
Garage/retail
--
17,614
$1,250
$40,000
741
1Q-2015
Wegmans Food Markets
Hanover, NJ
Retail pad
--
--
4,254
15,700
--
4Q-2014
Glenmark at Tuckahoe
Eastchester, NY
Multi-family rental
108
--
9,087
46,000
--
1Q-2016
Total Consolidated
   
108
17,614
$14,591
$101,700
741
 
                 
Unconsolidated:
               
RiverTrace at Port Imperial
West New York, NJ
Multi-family rental
316
 
$103,268
$118,100
--
4Q-2013
Lincoln Harbor (Bldg A&C)
Weehawken, NJ
Multi-family rental
355
 
106,805
136,800
--
1Q-2014
Overlook Ridge – 2C & 3B
Malden/Revere, MA
Multi-family rental
371
 
49,347
79,400
--
1Q-2014
Portside at Pier One – Bldg 7
East Boston, MA
Multi-family rental
176
 
27,194
66,300
--
3Q-2014
RiverPark at Harrison
Harrison, NJ
Multi-family rental
141
 
7,435
27,900
--
4Q-2014
Port Imperial Building 13
Weehawken, NJ
Multi-family rental
280
 
33,595
96,400
--
1Q-2015
Lincoln Harbor (Bldg B)
Weehawken, NJ
Multi-family rental
227
 
36,905
82,700
--
1Q-2015
Station Townhouses
Washington, D.C.
Multi-family rental
377
 
38,500
121,000
--
1Q-2015
Lofts at 40 Park
Morristown, NJ
Multi-family rental
59
 
1,580
18,700
--
3Q-2015
Marbella II
Jersey City, NJ
Multi-family rental
311
 
21,713
132,100
--
4Q-2015
Riverwalk C
West New York, NJ
Multi-family rental
363
 
18,528
141,000
--
2Q-2016
Total Unconsolidated
   
2,976
 
$444,870
$1,020,400
   
 
Total
   
3,084
17,614
$459,461
$1,122,100
741
 

(a)  
Number of apartment units, commercial square feet and garage parking spaces are estimates.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
35

 

Rental Property Sales/Dispositions
(dollars in thousands)


For the year ended December 31, 2013

Sale
Date
Property/Address
Location
# of
Properties
Rentable
Square Feet
Net Sales
Proceeds
 
Net Realized
Gain/(Losses) (a)
Capitalization
Rate (b)
 
                   
04/10/13
19 Skyline Drive (c)
Hawthorne, New York
1
248,400
$16,131
 
$ 126
(7.90)%
(h)
04/26/13
55 Corporate Drive
Bridgewater, New Jersey
1
204,057
70,967
 
19,659
6.25%
 
05/02/13
200 Riser Road
Little Ferry, New Jersey
1
286,628
31,775
 
16,923
7.38%
 
05/13/13
777 Passaic Avenue
Clifton, New Jersey
1
75,000
5,640
 
1,927
7.36%
 
05/30/13
16 and 18 Sentry Parkway West (d)
Blue Bell, Pennsylvania
2
188,103
19,041
 
(680)
15.60%
 
05/31/13
51 Imclone Drive (e)
Branchburg, New Jersey
1
63,213
6,101
 
823
8.66%
 
06/28/13
40 Richards Avenue
Norwalk, Connecticut
1
145,487
15,858
 
(1,169)
5.24%
 
07/10/13
106 Allen Road
Bernards Township, New Jersey
1
132,010
17,677
 
2,596
3.70%
 
08/27/13
Pennsylvania office portfolio (f) (g)
Suburban Philadelphia, Pennsylvania
15
1,663,511
207,425
 
43,166
9.90%
 
                   
Total Property Sales:
 
24
3,006,409
$390,615
(i) 
$83,371
   

(a)  
This amount, net of impairment charges recorded in 2013 of $23.9 million on certain of the properties prior to their sale (per Note [f] below), comprises the $59.5 million of realized gains (losses) and unrealized losses on disposition of rental property and impairments, net, for the year ended December 31, 2013.
(b)  
Capitalization rate is calculated by dividing the projected net operating income for the 12 months forward from the closing date by the gross sales price.
(c)  
The Company recognized a valuation allowance of $7.1 million on this property at December 31, 2012. In connection with the sale, the Company provided an interest-free note receivable to the buyer of $5 million (with a net present value of $3.7 million at closing) which matures in 2023 and requires monthly payments of principal.
(d)  
The Company recorded an $8.4 million impairment charge on these properties December 31, 2012. The Company has retained a subordinated interest in these properties.
(e)  
The property was encumbered by a mortgage which was satisfied by the Company at the time of the sale. The Company incurred $0.7 million in costs for the debt satisfaction, which was included in discontinued operations: loss from early retirement of debt for the year ended December 31, 2013.
(f)  
In order to reduce the carrying value of five of the properties to their estimated fair market values, the Company recorded impairment charges of $23.9 million at June 30, 2013. The fair value used in the impairment charges was based on the purchase and sale agreement for the properties ultimately sold.
(g)  
The Company completed the sale of this office portfolio and three developable land parcels for approximately $233 million: $201 million in cash ($55.3 million of which was held by a qualified intermediary until such funds were used in acquisitions), a $10 million mortgage on one of the properties ($8 million of which was funded at closing) and subordinated equity interests in each of the properties being sold with capital accounts aggregating $22 million. Net sale proceeds from the sale aggregated $207 million which was comprised of the $233 million gross sales price less the subordinated equity interests of $22 million and $4 million in closing costs.  The purchasers of the Pennsylvania office portfolio are joint ventures formed between the Company and affiliates of the Keystone Property Group (the “Keystone Affiliates”).  The mortgage loan has a term of two years with a one year extension option and bears interest at LIBOR plus six percent.  The Company's equity interests in the joint ventures will be subordinated to Keystone Affiliates receiving a 15 percent internal rate of return (“IRR”) after which the Company will receive a ten percent IRR on its subordinated equity and then all profit will be split equally.  In connection with these partial sale transactions, because the buyer receives a preferential return, the Company only recognized profit to the extent that they received net proceeds in excess of their entire carrying value of the properties, effectively reflecting their retained subordinate equity interest at zero. As part of the transaction, the Company has rights to own, after zoning-approval-subdivision, land at the 150 Monument Road property located in Bala Cynwyd, Pennsylvania, for a contemplated multi-family residential development.
(h)  
This property was vacant when sold.
(i)
This amount excludes approximately $0.5 million of net closing prorations and related adjustments received from sellers at closing.

For the year ended December 31, 2012

 
Date
 
Address
 
Location
# of
Properties
Rentable
Square Feet
Net Sales
Proceeds
Net Realized
Gain/(Losses)
 
Capitalization
Rate (a)
 
Office:
               
03/28/12
2200 Renaissance Boulevard
King of Prussia, Pennsylvania
1
174,124
n/a
$4,511
(b)
n/a
 
07/25/12
95 Chestnut Ridge Road
Montvale, New Jersey
1
47,700
$4,014
(487)
 
(7.30)%
(c)
11/06/12
Strawbridge Drive
Moorestown, New Jersey
3
222,258
19,391
(1,719)
 
8.00%
 
 
Total Office Properties:
 
5
444,082
$23,405
$2,305
     

(a)  
Capitalization rate is calculated by dividing the projected net operating income for the 12 months forward from the closing date by the gross sales price.
(b)  
On March 28, 2012, the Company transferred the deed for this property to the lender in satisfaction of its mortgage obligations. Excludes $9.5 million of unrealized loss on this property recognized by the Company in 2010.
(c)  
This property was vacant when sold.



Rental Property Held For Sale
(dollars in thousands)

At December 31, 2013

None.





Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
36

 

Summary of Land Parcels

Property
Location
State
Acres (a)
# of
Apartment
Units (a)
Potential
Commercial
Square Feet (a)
Type of Space
Office:
           
Capital Office Park
Greenbelt
MD
42.8
 
595,000
Office
Eastpoint II
Lanham
MD
4.8
 
122,000
Office/Hotel
3 & 5 AAA Drive (b)
Hamilton Township
NJ
17.5
 
112,000
Office
6 AAA Drive
Hamilton Township
NJ
2.4
 
32,000
Office
2 South Gold Drive (c)
Hamilton Township
NJ
9.5
 
75,000
Office
Hillsborough 206 (d)
Hillsborough
NJ
28.1
 
160,000
Office
Plaza VIII and IX Associates, L.L.C. (d)
Jersey City
NJ
3.6
 
1,225,000
Office
Harborside (e)
Jersey City
NJ
6.5
 
3,113,500
Office/Multi-family
One Newark Center (d)
Newark
NJ
1.0
 
400,000
Office
3 Campus Drive
Parsippany
NJ
10.0
 
124,000
Office
Mack-Cali Business Campus
Parsippany & Hanover
NJ
20.0
 
150,000
Office/Retail
Princeton Metro
West Windsor
NJ
10.0
 
97,000
Office
Princeton Overlook II
West Windsor
NJ
10.0
 
149,500
Office
Mack-Cali Princeton Executive Park
West Windsor
NJ
59.9
 
760,000
Office/Hotel
Total Office:
   
226.1
 
7,115,000
 
             
Office/Flex:
           
Horizon Center
Hamilton Township
NJ
5.3
 
68,000
Office/Flex/Retail
Mack-Cali Commercenter
Totowa
NJ
5.8
 
30,000
Office/Flex
Mid-Westchester Executive Park
Hawthorne
NY
7.2
 
82,250
Office/Flex
South Westchester Executive Park (f)
Yonkers
NY
52.4
 
350,000
Office/Flex
South Westchester Executive Park
Yonkers
NY
2.7
 
50,000
Office/Flex
Total Office/Flex:
   
73.4
 
580,250
 
             
Multi-Family Residential:
           
LR Overlook Phase III (d)
Malden
MA
5.7
240
 
Multi-Family rental
Freehold (h)
Freehold
NJ
20.9
360
 
Multi-Family rental
RiverPark at Harrison 5-8 (d)
Harrison
NJ
6.5
141
 
Multi-Family rental
San Remo (d)
Jersey City
NJ
2.5
300
 
Multi-Family rental
Liberty Landing (d)
Jersey City
NJ
21.0
1,000
 
Multi-Family rental
Wayne (h)
Wayne
NJ
10.3
220
 
Multi-Family rental
Port Imperial North (d)
West New York
NJ
17.4
836
 
Multi-Family rental
Crystal House (d)
Arlington
VA
4.0
295
 
Multi-Family rental
Total Multi-Family Residential:
   
88.3
3,392
   
             
Mixed-Use:
           
Portside at Pier One 1-6 (d)
East Boston
MA
11.2
388
63,000
Mixed-Use
Overlook Ridge Land (d)
Malden & Revere
MA
32.9
896
160,000
Mixed-Use
Port Imperial South (g)
Weehawken
NJ
17.1
1,148
416,000
Mixed-Use
Total Mixed-Use
   
61.2
2,432
639,000
 
             
Industrial/Warehouse:
           
Elmsford Distribution Center (f)
Elmsford
NY
14.5
 
100,000
Industrial/Warehouse
Total Warehouse:
   
14.5
 
100,000
 
             
 
Total
   
463.5
5,824
8,434,250
 

(a)  
Number of apartment units, square feet, hotel rooms and acres are subject to change.
(b)  
This land parcel also includes an existing office building totaling 35,270 square feet.
(c)  
This land parcel also includes an existing office building totaling 33,962 square feet.
(d)  
Land owned or controlled by joint venture in which Mack-Cali is an equity partner.
(e)  
The Company intends to develop a 763 unit multi-family property on a portion of this land through a joint venture. In addition, there are 21 acres of riparian property.
(f)  
Mack-Cali holds an option to purchase this land.
(g)  
Project is projected to include a 375-room hotel, which in October the venture signed a contract to sell for $24 million.
(h)  
Land under contract.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
37

 











V.  PORTFOLIO/ LEASING STATISTICS




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
38

 

 
V.  PORTFOLIO/ LEASING STATISTICS

Leasing Statistics
(For the three months ended December 31, 2013)
 
Consolidated Commercial In-Service Portfolio
 
 
SUMMARY OF SPACE LEASED
 

     
LEASING ACTIVITY
     
 
 
 
Market
Sq. Ft.
Leased
9/30/13
Leased
Sq. Ft.
Acquired/Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased
12/31/13 (c)
Pct.
Leased
12/31/13
Pct.
Leased
9/30/13
                 
  Northern NJ
11,836,160
-
(237,096)
274,141
37,045
11,873,205
83.0%
82.7%
  Central NJ
4,840,278
5,934
(217,026)
210,834
(6,192)
4,840,020
90.0%
90.1%
  Westchester Co., NY
4,062,122
-
(109,259)
124,809
15,550
4,077,672
89.8%
89.5%
  Manhattan
524,476
-
-
-
-
524,476
100.0%
100.0%
  Sub. Philadelphia
1,164,248
-
(71,225)
26,135
(45,090)
1,119,158
87.3%
90.8%
  Fairfield, CT
418,843
-
(63,098)
28,957
(34,141)
384,702
85.1%
92.6%
  Washington, DC/MD
1,065,961
-
(33,082)
51,033
17,951
1,083,912
83.8%
82.5%
  Rockland Co., NY
154,950
-
(2,679)
2,679
-
154,950
86.1%
86.1%
 
Totals
24,067,038
5,934
(733,465)
718,588
(14,877)
24,058,095
86.1%
86.1%
                 

 
RECONCILIATION OF TOTAL PROPERTY SQUARE FOOTAGE
 

   
Total sq. ft. as of September 30, 2013
27,951,851
    Total sq. ft. of properties added this period
5,934
Total sq. ft. as of December 31, 2013
27,957,785
   

(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
Includes leases expiring December 31, 2013 aggregating 690,895 square feet for which no new leases were signed.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
39

 

 
Leasing Statistics
 
(For the three months ended December 31, 2013)
 
Consolidated Commercial In-Service Portfolio (continued)
 
 
DETAIL OF TRANSACTION ACTIVITY
 
 

 
Detail by Market
Market
Property Type
# of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed And
Other
Retained (a)
Wtd.
Avg.
Term
(Yrs.)
Wtd.
Avg.
Base
Rent (b)
Leasing
Costs Per
 Sq. Ft. Per
Year (c)
 
                   
Northern NJ
Office
41
260,655
79,604
181,051
6.1
27.87
4.00
 
 
Office/Flex
3
13,486
5,407
8,079
3.4
15.51
1.46
 
Central NJ
Office
25
175,684
125,261
50,423
8.3
23.71
4.73
 
 
Office/Flex
3
35,150
2,351
32,799
1.4
16.67
1.95
 
Westchester Co., NY
Office
15
32,684
16,620
16,064
5.1
25.67
4.13
 
 
Office/Flex
13
92,125
41,080
51,045
4.4
16.47
2.57
 
Sub. Philadelphia
Office/Flex
3
26,135
-
26,135
2.2
10.57
0.35
 
Fairfield Co., CT
Office/Flex
2
28,957
28,957
-
5.5
12.62
2.93
 
Washington, DC/MD
Office
10
51,033
5,764
45,269
7.9
22.49
4.86
 
Rockland Co., NY
Office
1
2,679
-
2,679
1.0
23.91
0.20
 
                   
Totals
 
116
718,588
305,044
413,544
6.0
22.87
4.06
 
                   
Detail by Property Type
                 
 
Office
92
522,735
227,249
295,486
6.9
25.79
4.39
 
 
Office/Flex
24
195,853
77,795
118,058
3.7
15.08
2.36
 
                   
Totals
 
116
718,588
305,044
413,544
6.0
22.87
4.06
 
                   
Tenant Retention:
Leases Retained
66.1%
             
 
Sq. Ft. Retained
56.4%
             
   


(a)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(b)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(c)  
Represents estimated workletter costs of $12,803,110 and commissions of $4,803,856 committed, but not necessarily expended, during the period for second generation space aggregating 718,588 square feet.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
40

 

Leasing Statistics
(For the three months ended December 31, 2013)
 
Unconsolidated Commercial Joint Venture Properties
 
 
SUMMARY OF SPACE LEASED
 
           
LEASING ACTIVITY
     
Market
Inventory
9/30/13
Inventory
Acquired/
Disposed
Inventory
12/31/13
Sq. Ft.
Leased
9/30/13
Leased
Sq. Ft.
Acquired/
Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased
12/31/13
Pct.
Leased
12/31/13
Pct.
Leased
9/30/13
                       
   Northern NJ
662,524
-
662,524
650,908
-
(34,505)
34,505
-
650,908
98.2%
98.2%
   Central NJ
92,878
-
92,878
92,878
-
-
-
-
92,878
100.0%
100.0%
   Sub. Philadelphia
1,842,820
 
1,842,820
1,585,525
-
(75,540)
48,617
(26,923)
1,558,602
84.6%
86.0%
   CBD Philadelphia
-
339,615
339,615
-
330,952
-
-
-
330,952
97.4%
-
                       
Totals
2,598,222
339,615
2,937,837
2,329,311
330,952
(110,045)
83,122
(26,923)
2,633,340
89.6%
89.7%
                       

DETAIL OF TRANSACTION ACTIVITY

Detail by Market
 
 
Market
# of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed
And Other
Retained (c)
Wtd. Avg.
Term
(Yrs.)
Wtd. Avg.
Base
Rent (d)
Leasing
Costs  Per
Sq. Ft. Per
Year (e)
               
Northern NJ
2
34,505
26,074
8,431
8.6
31.30
5.02
   Central NJ
-
-
-
-
-
-
-
Sub. Philadelphia
15
48,617
14,560
34,057
2.7
19.92
2.68
CBD Philadelphia
-
-
-
-
-
-
-
               
Totals
17
83,122
40,634
42,488
5.1
24.64
4.31
               
 
Unconsolidated Retail Joint Venture Properties
 
 
SUMMARY OF SPACE LEASED
 
           
LEASING ACTIVITY
     
Market
Inventory
9/30/13
Inventory
Acquired/
Disposed
Inventory
12/31/13
Sq. Ft.
Leased
9/30/13
Leased
Sq. Ft.
Acquired/
Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased
12/31/13
Pct.
Leased
12/31/13
Pct.
Leased
9/30/13
                       
   Northern NJ
81,516
-
81,516
49,464
-
-
-
-
49,464
60.7%
60.7%
                       

DETAIL OF TRANSACTION ACTIVITY

 
None.

(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(d)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(e)  
Represents estimated workletter costs of $891,300 and commissions of $659,024 committed, but not necessarily expended, during the period for second generation space aggregating 49,630 square feet.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
41

 


Leasing Statistics
(For the year ended December 31, 2013)
 
Consolidated Commercial In-Service Portfolio
 
 
SUMMARY OF SPACE LEASED
 

     
LEASING ACTIVITY
     
 
 
 
Market
Sq. Ft.
Leased
12/31/12
Leased
Sq. Ft.
Acquired/Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased 12/31/13 (c)
Pct.
Leased
12/31/13
Pct.
Leased
12/31/12
                 
  Northern NJ
12,240,291
(134,196)
(1,455,259)
1,222,369
(232,890)
11,873,205
83.0%
84.6%
  Central NJ
5,199,678
(334,965)
(1,298,889)
1,274,196
(24,693)
4,840,020
90.0%
90.1%
  Westchester Co., NY
4,329,834
-
(1,178,272)
926,110
(252,162)
4,077,672
89.8%
90.4%
  Manhattan
524,476
-
(22,255)
22,255
-
524,476
100.0%
100.0%
  Sub. Philadelphia
2,822,395
(1,573,379)
(442,392)
312,534
(129,858)
1,119,158
87.3%
90.1%
  Fairfield, CT
509,647
(104,637)
(88,584)
68,276
(20,308)
384,702
85.1%
85.3%
  Washington, DC/MD
1,010,753
-
(113,319)
186,478
73,159
1,083,912
83.8%
78.2%
  Rockland Co., NY
168,410
 -
(41,250)
27,790
(13,460)
154,950
86.1%
93.6%
 
Totals
26,805,484
(2,147,177)
(4,640,220)
4,040,008
(600,212)
24,058,095
86.1%
87.2%
                 

 
RECONCILIATION OF TOTAL PROPERTY SQUARE FOOTAGE
 

   
Total sq. ft. as of December 31, 2012
30,754,754
    Total sq. ft. of properties added this period
209,440
    Total sq. ft. of properties sold this period
(3,006,409)
Total sq. ft. as of December 31, 2013
27,957,785
   


(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
Includes leases expiring December 31, 2013 aggregating 690,895 square feet for which no new leases were signed.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
42

 

 
Leasing Statistics
 
(For the year ended December 31, 2013)
 
Consolidated Commercial In-Service Portfolio (continued)
 
 
DETAIL OF TRANSACTION ACTIVITY
 
 

 
Detail by Market
Market
Property Type
#  of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed And
Other
Retained (a)
Wtd.
Avg.
Term
 (Yrs.)
Wtd.
Avg.
Base
Rent (b)
Leasing
Costs Per
Sq. Ft. Per
Year (c)
 
                   
Northern NJ
Office
153
1,138,727
339,488
799,239
5.4
25.19
3.72
 
 
Office/Flex
9
83,642
36,264
47,378
3.8
16.88
0.98
 
Central NJ
Office
126
1,165,274
375,919
789,355
5.7
22.04
3.74
 
 
Office/Flex
14
108,922
24,769
84,153
2.2
16.07
2.58
 
Westchester Co., NY
Office
68
339,364
99,099
240,265
4.9
23.35
2.36
 
 
Office/Flex
78
504,431
115,104
389,327
4.1
16.51
2.21
 
 
Industrial/Warehouse
8
82,315
24,354
57,961
5.0
17.77
1.52
 
Manhattan
Office
1
22,255
22,255
-
15.8
35.37
6.35
 
Sub. Philadelphia
Office
31
107,716
21,678
86,038
4.4
23.29
3.48
 
 
Office/Flex
21
204,818
19,505
185,313
2.8
11.24
0.71
 
Fairfield Co., CT
Office
8
27,770
1,363
26,407
6.9
19.43
2.00
 
 
Office/Flex
3
40,506
28,957
11,549
4.5
14.76
2.99
 
Washington, DC/MD
Office
35
186,478
104,595
81,883
7.6
22.29
5.27
 
Rockland Co., NY
Office
10
27,790
4,707
23,083
6.6
23.70
2.46
 
                   
Totals
 
565
4,040,008
1,218,057
2,821,951
5.1
21.48
3.39
 
                   
Detail by Property Type
                 
 
Office
432
3,015,374
969,104
2,046,270
5.6
23.52
3.74
 
 
Office/Flex
125
942,319
224,599
717,720
3.6
15.27
1.90
 
 
Industrial/Warehouse
8
82,315
24,354
57,961
5.0
17.77
1.52
 
                   
Totals
 
565
4,040,008
1,218,057
2,821,951
5.1
21.48
3.39
 
                   
Tenant Retention:
Leases Retained
64.2%
             
 
Sq. Ft. Retained
60.8%
             
   


(a)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(b)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(c)  
Represents estimated workletter costs of $49,689,756 and commissions of $20,724,400 committed, but not necessarily expended, during the period for second generation space aggregating 4,036,388 square feet.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
43

 

Leasing Statistics
(For the year ended December 31, 2013)
 
Unconsolidated Commercial Joint Venture Properties
 
 
SUMMARY OF SPACE LEASED
 
           
LEASING ACTIVITY
     
Market
Inventory
12/31/12
Inventory
Acquired/
Disposed
Inventory
12/31/13
Sq. Ft.
Leased
12/31/12
Leased
Sq. Ft.
Acquired/
Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased
12/31/13
Pct.
Leased
12/31/13
Pct.
Leased
12/31/12
                       
   Northern NJ
762,534
(100,010)
662,524
752,111
(100,010)
(39,452)
38,259
(1,193)
650,908
98.2%
98.6%
   Central NJ
92,878
-
92,878
92,878
-
-
-
-
92,878
100.0%
100.0%
   Sub. Philadelphia
-
1,842,820
1,842,820
-
1,582,180
(88,146)
64,568
(23,578)
1,558,602
84.6%
-
   CBD Philadelphia
-
339,615
339,615
-
330,952
-
-
-
330,952
97.4%
-
                       
Totals
855,412
2,082,425
2,937,837
844,989
1,813,122
(127,598)
102,827
(24,771)
2,633,340
89.6%
98.8%
                       

DETAIL OF TRANSACTION ACTIVITY
 
Unconsolidated Retail Joint Venture Properties
 
Detail by Market
 
 
Market
# of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed
And Other
Retained (c)
Wtd. Avg.
Term
(Yrs.)
Wtd. Avg.
Base
Rent (d)
Leasing
 Costs  Per
 Sq. Ft. Per
Year (e)
               
Northern NJ
3
38,259
29,828
8,431
8.3
31.21
5.18
   Central NJ
-
-
-
-
-
-
-
   Sub Philadelphia
20
64,568
21,351
43,217
2.7
21.10
2.40
   CBD Philadelphia
-
-
-
-
-
-
-
               
Totals
23
102,827
51,179
51,648
4.8
24.86
4.10
               
 
SUMMARY OF SPACE LEASED
 
           
LEASING ACTIVITY
     
Market
Inventory
12/31/12
Inventory
Acquired/Disposed
Inventory
12/31/13
Sq. Ft.
Leased
12/31/12
Leased
Sq. Ft.
Acquired/
Sold (a)
Expiring/
Adjustment
Sq. Ft. (b)
Incoming
Sq. Ft.
Net
Leasing
Activity
Sq. Ft.
Leased 12/31/13
Pct.
Leased
12/31/13
Pct.
Leased
12/31/12
                       
   Northern NJ
81,516
-
81,516
37,634
-
-
11,830
11,830
49,464
60.7%
46.2%
                       

DETAIL OF TRANSACTION ACTIVITY
Detail by Market
 
 
Market
# of
Trans-
actions
Total
Sq. Ft.
Sq. Ft. New
Leases
Sq. Ft.
Renewed
And Other
Retained (c)
Wtd. Avg.
Term (Yrs.)
Wtd. Avg.
Base
Rent (d)
Leasing Costs  Per Sq. Ft. Per Year (f)
               
   Northern NJ
2
11,830
11,830
-
10.2
21.25
N/A
               

(a)  
Net gain/loss of leased square footage through properties sold, acquired or placed in service during the period.
(b)  
Represents the square footage of expiring leases and leases scheduled to expire in the future for which new leases or renewals were signed during the period, as well as internal administrative adjustments.
(c)  
“Other Retained” transactions include existing tenants’ expansions and relocations within the same building.
(d)  
Equals triple net rent plus common area costs and real estate taxes, as applicable.
(e)  
Represents estimated workletter costs of $1,008,875 and commissions of $712,489 committed, but not necessarily expended, during the period for second generation space aggregating 62,544 square feet.
(f)  
Represents estimated workletter and commission costs committed, but not necessarily expended, during the period for second generation space.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
44

 

Market Diversification


The following table lists the Company’s markets (MSAs), based on annualized commercial contractual base rent of the Consolidated Commercial Properties:


Market (MSA)
Annualized
Base Rental
Revenue
($) (a) (b) (c)
Percentage of
Company
Annualized Commercial Base
Rental Revenue (%)
Total
Property Size
Rentable
Area (b) (c)
Percentage of
Rentable Area
 (%)
Newark, NJ (Essex-Morris-Union Counties)
131,247,818
23.6
6,705,155
24.0
Jersey City, NJ
119,154,659
21.4
4,317,978
15.4
Westchester-Rockland, NY
84,548,441
15.2
4,720,020
16.9
Bergen-Passaic, NJ
74,919,144
13.5
4,164,226
14.9
Middlesex-Somerset-Hunterdon, NJ
36,868,137
6.6
1,921,405
6.9
Washington, DC-MD-VA-WV
30,410,283
5.5
1,292,807
4.6
Monmouth-Ocean, NJ
27,027,761
4.9
1,620,863
5.8
Trenton, NJ
19,096,527
3.4
956,597
3.4
New York (Manhattan)
17,801,543
3.2
524,476
1.9
Philadelphia, PA-NJ
7,654,198
1.4
1,281,998
4.6
Stamford-Norwalk, CT
7,398,502
1.3
452,260
1.6
         
Totals
556,127,013
100.0
27,957,785
100.0
         

(a)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014, annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(b)  
Includes leases in effect as of the period end date, some of which have commencement dates in the future, and leases expiring December 31, 2013 aggregating 690,895 square feet and representing annualized rent of $18,327,124 for which no new leases were signed.
(c)  
Includes office, office/flex, industrial/warehouse and stand-alone retail tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants. Some tenants have multiple leases.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
45

 

Industry Diversification

The following table lists the Company’s 30 largest industry classifications based on annualized commercial contractual base rent of the Consolidated Commercial Properties:

Industry Classification (a)
Annualized
Base Rental
Revenue
($) (b) (c) (d)
Percentage of
Company
Annualized Commercial Base
Rental Revenue (%)
Square
Feet Leased
(c) (d)
Percentage of
Total Company
Commercial Leased
Sq. Ft. (%)
Securities, Commodity Contracts & Other Financial
80,976,442
14.5
2,677,486
11.5
Insurance Carriers & Related Activities
53,388,975
9.6
2,021,162
8.6
Manufacturing
43,575,930
7.8
2,013,067
8.5
Telecommunications
35,027,444
6.3
1,802,655
7.7
Legal Services
34,713,162
6.2
1,334,625
5.7
Credit Intermediation & Related Activities
31,440,298
5.7
1,047,287
4.4
Computer System Design Svcs.
23,247,706
4.2
1,037,064
4.4
Health Care & Social Assistance
22,342,732
4.0
1,198,587
5.1
Architectural/Engineering
19,914,256
3.6
791,357
3.4
Accounting/Tax Prep.
19,798,190
3.6
776,943
3.3
Wholesale Trade
19,002,383
3.4
1,296,343
5.5
Scientific Research/Development
15,337,503
2.8
500,459
2.1
Public Administration
14,220,198
2.6
531,562
2.3
Accommodation & Food Services
12,684,035
2.3
529,671
2.2
Admin & Support, Waste Mgt. & Remediation Services
12,466,636
2.2
597,385
2.5
Arts, Entertainment & Recreation
12,168,272
2.2
714,653
3.0
Management/Scientific
11,528,424
2.1
445,481
1.9
Other Services (except Public Administration)
11,378,363
2.0
442,748
1.9
Other Professional
11,338,020
2.0
501,388
2.1
Real Estate & Rental & Leasing
9,858,614
1.8
526,308
2.2
Advertising/Related Services
8,344,128
1.5
306,778
1.3
Retail Trade
7,120,785
1.3
425,506
1.8
Construction
6,397,034
1.2
327,087
1.4
Data Processing Services
5,737,091
1.0
226,372
1.0
Transportation
5,598,131
1.0
288,848
1.2
Broadcasting
5,123,321
0.9
183,395
0.8
Utilities
4,882,993
0.9
203,471
0.9
Publishing Industries
4,473,940
0.8
221,364
0.9
Information Services
4,267,505
0.8
161,873
0.7
Educational Services
2,811,580
0.5
146,330
0.6
Other
6,962,922
1.2
273,678
1.1
         
Totals
556,127,013
100.0
23,550,933
100.0

(a)  
The Company’s tenants are classified according to the U.S. Government’s North American Industrial Classification System (NAICS).
(b)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014, annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(c)  
Includes office, office/flex, industrial/warehouse and stand-alone retail tenants only. Excludes leases for amenity, retail, parking and month-to-month tenants. Some tenants have multiple leases.
(d)  
Includes leases in effect as of the period end date, some of which have commencement dates in the future, and leases expiring December 31, 2013 aggregating 690,895 square feet and representing annualized rent of $18,327,124 for which no new leases were signed.





Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
46

 


 
Consolidated Portfolio Analysis (a)
 
(as of December 31, 2013)
 

Breakdown by Number of Properties
 

PROPERTY TYPE:
 
STATE
Office
% of
Total
Office/Flex
% of
Total
Industrial/
Warehouse
% of
Total
Stand-
Alone
Retail
% of
Total
Land
Leases
% of
Total
Multi-
Family
% of
Total
Totals
By State
 
% of
Total
New Jersey
104
42.1%
49
19.9%
--
--
1
0.4%
--
--
3
1.2%
157
63.6%
New York
20
8.1%
41
16.6%
6
2.4%
2
0.8 %
2
0.8%
--
--
71
28.7%
Connecticut
1
0.4%
5
2.0%
--
--
--
--
--
--
--
--
6
2.4%
Wash., D.C./
   Maryland
 
10
 
4.1%
 
--
 
--
 
--
 
--
 
--
 
--
1
 
0.4%
--
--
 
11
 
4.5%
Massachusetts
--
--
--
--
--
--
--
--
--
--
2
0.8%
2
0.8%
TOTALS
    By Type:
 
135
 
54.7%
 
95
 
38.5%
 
6
 
2.4%
 
3
 
1.2%
 
3
 
1.2%
5
2.0%
 
247
 
100.0%

 
(a)  
Excludes 32 properties, aggregating approximately 3.0 million commercial square feet and 2,597 apartments units, which are not consolidated by the Company.
 


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
47

 


 
Consolidated Portfolio Analysis (a)
 
(as of December 31, 2013)
 

Breakdown by Square Footage for Commercial Properties

PROPERTY TYPE:
 
STATE
Office
% of
Total
Office/Flex
% of
Total
Industrial/
Warehouse
% of
Total
Stand-Alone Retail
% of
Total
Totals
By State
% of
Total
New Jersey
18,772,757
67.1%
2,189,531
7.8%
--
--
16,736
0.1%
20,979,024
75.0%
New York
2,490,984
8.9%
2,348,812
8.4%
387,400
1.4%
17,300
0.1%
5,244,496
18.8%
Connecticut
179,260
0.6%
273,000
1.0%
--
--
--
--
452,260
1.6%
Wash., D.C./
   Maryland
 
1,292,807
 
4.6%
 
--
 
--
 
--
 
--
 
--
 
--
 
1,292,807
 
4.6%
TOTALS
    By Type:
 
22,735,808
 
81.2%
 
4,811,343
 
17.2%
 
387,400
 
1.4%
 
34,036
 
0.2%
 
27,968,587
 
100.0%

 
(a)  
Excludes five consolidated multi-family properties, aggregating 1,081 apartment units; as well as 32 properties, aggregating approximately 3.0 million commercial square feet and 2,597 apartment units, which are not consolidated by the Company.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
48

 


 
Consolidated Portfolio Analysis (a)
 
(Year ended December 31, 2013)
 

Breakdown by Base Rental Revenue (b)
(Dollars in thousands)

PROPERTY TYPE:
 
STATE
Office
% of
Total
Office/
Flex
% of
Total
Indust./
Ware-house
% of
Total
Stand-
Alone
Retail
% of
Total
Land
Leases
% of
Total
Multi-
Family
% of
Total
Totals
By State
% of Total
                             
New Jersey
$379,542
70.3%
$17,304
3.2%
--
--
--
--
--
--
$ 538
0.1%
$397,384
73.6%
New York
57,996
10.7%
33,872
6.3%
$3,720
0.7%
$484
0.1%
$334
0.1%
--
--
96,406
17.9%
Connecticut
3,476
0.6%
4,183
0.8%
--
--
--
--
--
--
--
--
7,659
1.4%
Wash., D.C./
   Maryland
28,054
5.2%
--
--
--
--
--
--
153
--
   
28,207
 
5.2%
Massachusetts
--
--
--
--
--
--
--
--
--
--
10,509
1.9%
10,509
1.9%
TOTALS
   By Type:
$469,068
86.8%
$55,359
10.3%
$3,720
0.7%
$484
0.1%
$487
0.1%
$11,047
2.0%
$540,165
100.0%

(a)  Excludes 32 properties, aggregating approximately 3.0 million commercial square feet and 2,597 apartment units, which are not consolidated by the Company.
(b)  
Total base rent for the year ended December 31, 2013, determined in accordance with GAAP. Substantially all of the commercial leases provide for annual base rents plus recoveries and escalation charges based upon the tenants’ proportionate share of and/or increases in real estate taxes and certain costs, as defined, and the pass through of charges for electrical usage.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
49

 


Consolidated Portfolio Analysis (a) (b)
(as of December 31, 2013)
 
Breakdown by Percentage Leased for Commercial Properties
 

PROPERTY TYPE:
STATE
Office
Office/Flex
Industrial/Warehouse
Stand-Alone Retail
WEIGHTED AVG.
By State
New Jersey
84.8%
87.5%
--
52.2%
85.1%
New York
87.7%
94.4%
86.7%
100.0%
90.7%
Connecticut
81.4%
87.5%
--
--
85.1%
Washington, D.C./ Maryland
83.8%
--
--
--
83.8%
 
WEIGHTED AVG. By Type:
 
85.0%
 
90.9%
 
86.7%
 
76.5%
 
86.1%

(a)  
Excludes five consolidated multi-family properties, aggregating 1,081 apartment units; as well as 32 properties, aggregating approximately 3.0 million commercial square feet and 2,597 apartment units, which are not consolidated by the Company, and parcels of land leased to others.
(b)  
Percentage leased includes all commercial leases in effect as of the period end date, some of which have commencement dates in the future as well as leases expiring December 31, 2013 aggregating 690,895 square feet for which no new leases were signed.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
50

 

Property Listing
 
Office Properties
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
BERGEN COUNTY, NEW JERSEY
             
Fair Lawn
             
17-17 Route 208 North                                                 
1987
143,000
88.5
2,610
0.48
20.62
17.15
Fort Lee
             
One Bridge Plaza                                                 
1981
200,000
93.6
4,633
0.86
24.75
19.73
2115 Linwood Avenue                                                 
1981
68,000
58.6
966
0.18
24.24
20.28
Lyndhurst
             
210 Clay Avenue                                                 
1981
121,203
84.2
2,422
0.45
23.73
23.17
Montvale
             
135 Chestnut Ridge Road                                                 
1981
66,150
66.6
958
0.18
21.75
18.43
Paramus
             
15 East Midland Avenue                                                 
1988
259,823
80.5
4,614
0.85
22.06
20.98
140 East Ridgewood Avenue                                                 
1981
239,680
92.3
5,032
0.93
22.75
19.94
461 From Road                                                 
1988
253,554
40.6
2,453
0.45
23.83
20.99
650 From Road                                                 
1978
348,510
82.4
5,668
1.05
19.74
17.00
61 South Paramus Road (f)                                                 
1985
269,191
58.6
4,568
0.85
28.96
25.17
Rochelle Park
             
120 West Passaic Street                                                 
1972
52,000
99.6
1,495
0.28
28.87
26.76
365 West Passaic Street                                                 
1976
212,578
86.1
3,711
0.69
20.28
17.79
395 West Passaic Street                                                 
1979
100,589
54.7
1,214
0.22
22.06
18.48
Upper Saddle River
             
1 Lake Street                                                 
1973/94
474,801
100.0
7,465
1.38
15.72
15.72
10 Mountainview Road                                                 
1986
192,000
85.3
3,114
0.58
19.01
16.71
Woodcliff Lake
             
400 Chestnut Ridge Road                                                 
1982
89,200
100.0
1,950
0.36
21.86
16.32
470 Chestnut Ridge Road                                                 
1987
52,500
100.0
1,200
0.22
22.86
15.10
530 Chestnut Ridge Road                                                 
1986
57,204
100.0
1,081
0.20
18.90
17.53
50 Tice Boulevard                                                 
1984
235,000
87.2
5,442
1.01
26.56
23.29
300 Tice Boulevard                                                 
1991
230,000
96.9
6,041
1.12
27.11
24.60
               
ESSEX COUNTY, NEW JERSEY
             
Millburn
             
150 J.F. Kennedy Parkway                                                 
1980
247,476
77.6
4,786
0.89
24.92
21.66
Borough of Roseland
             
4 Becker Farm Road                                                 
1983
281,762
94.9
6,956
1.29
26.01
24.10
5 Becker Farm Road                                                 
1982
118,343
84.7
1,871
0.35
18.67
16.49
6 Becker Farm Road                                                 
1982
129,732
78.3
2,575
0.48
25.35
23.91
101 Eisenhower Parkway                                                 
1980
237,000
85.8
4,763
0.88
23.42
19.90
103 Eisenhower Parkway                                                 
1985
151,545
79.4
2,286
0.42
19.00
15.01
105 Eisenhower Parkway                                                 
2001
220,000
50.2
3,142
0.58
28.45
19.33
75 Livingston Avenue                                                 
1985
94,221
64.2
1,283
0.24
21.21
17.99
85 Livingston Avenue                                                 
1985
124,595
81.8
2,603
0.48
25.54
23.78
               
HUDSON COUNTY, NEW JERSEY
             
Jersey City
             
Harborside Plaza 1                                                 
1983
400,000
100.0
11,317
2.10
28.29
24.64
Harborside Plaza 2                                                 
1990
761,200
96.9
19,364
3.58
26.25
23.48
Harborside Plaza 3                                                 
1990
725,600
78.4
19,400
3.59
34.10
30.68
Harborside Plaza 4A                                                 
2000
207,670
100.0
6,606
1.22
31.81
27.02
Harborside Plaza 5                                                 
2002
977,225
87.2
31,042
5.75
36.43
32.00
101 Hudson Street                                                 
1992
1,246,283
83.4
28,549
5.29
27.47
25.23
               
MERCER COUNTY, NEW JERSEY
             
Hamilton Township
             
3 AAA Drive                                                 
1981
35,270
72.2
598
0.11
23.48
17.20
600 Horizon Drive                                                 
2002
95,000
100.0
1,191
0.22
12.54
11.74
700 Horizon Drive                                                 
2007
120,000
100.0
2,459
0.46
20.49
18.33
2 South Gold Drive                                                 
1974
33,962
61.6
440
0.08
21.03
17.78
               


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
51

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
Princeton
             
103 Carnegie Center                                                 
1984
96,000
87.9
2,202
0.41
26.09
21.78
2 Independence Way                                                 
1981
67,401
100.0
1,532
0.28
22.73
22.17
3 Independence Way                                                 
1983
111,300
69.5
1,979
0.37
25.58
19.17
100 Overlook Center                                                 
1988
149,600
89.6
3,731
0.69
27.83
24.99
5 Vaughn Drive                                                 
1987
98,500
99.1
2,288
0.42
23.44
19.31
               
MIDDLESEX COUNTY, NEW JERSEY
             
East Brunswick
             
377 Summerhill Road                                                 
1977
40,000
100.0
372
0.07
9.30
8.98
Edison
             
343 Thornall Street (c)                                              
1991
195,709
93.8
3,368
0.62
18.35
15.27
Piscataway
             
30 Knightsbridge Road, Bldg. 3
1977
160,000
100.0
2,183
0.40
13.64
13.64
30 Knightsbridge Road, Bldg. 4
1977
115,000
100.0
1,570
0.29
13.65
13.65
30 Knightsbridge Road, Bldg. 5
1977
332,607
92.9
5,356
0.99
17.33
13.49
30 Knightsbridge Road, Bldg. 6
1977
72,743
63.8
240
0.04
5.17
4.12
Plainsboro
             
500 College Road East (f)                                                 
1984
158,235
85.1
3,011
0.56
22.36
17.55
Woodbridge
             
581 Main Street                                                 
1991
200,000
95.4
4,870
0.90
25.52
21.77
               
MONMOUTH COUNTY, NEW JERSEY
             
Freehold
             
2 Paragon Way                                                 
1989
44,524
50.5
458
0.08
20.37
16.59
3 Paragon Way                                                 
1991
66,898
88.2
987
0.18
16.73
14.39
4 Paragon Way                                                 
2002
63,989
30.8
456
0.08
23.14
22.78
100 Willow Brook Road                                                 
1988
60,557
57.4
766
0.14
22.04
19.56
Holmdel
             
23 Main Street                                                 
1977
350,000
100.0
4,012
0.74
11.46
8.63
Middletown
             
One River Centre Bldg. 1                                                 
1983
122,594
96.1
2,625
0.49
22.28
18.74
One River Centre Bldg. 2                                                 
1983
120,360
84.9
2,635
0.49
25.79
22.71
One River Centre Bldg. 3 and 4
1984
214,518
93.3
4,347
0.80
21.72
20.17
Neptune
             
3600 Route 66                                                 
1989
180,000
100.0
1,862
0.34
10.34
8.12
Wall Township
             
1305 Campus Parkway                                                 
1988
23,350
92.4
417
0.08
19.33
16.96
1350 Campus Parkway                                                 
1990
79,747
99.9
1,035
0.19
12.99
12.28
               
MORRIS COUNTY, NEW JERSEY
             
Florham Park
             
325 Columbia Turnpike                                                 
1987
168,144
100.0
3,944
0.73
23.46
19.52
Morris Plains
             
250 Johnson Road                                                 
1977
75,000
100.0
1,514
0.28
20.19
18.69
201 Littleton Road                                                 
1979
88,369
75.4
1,286
0.24
19.30
15.05
Morris Township
             
412 Mt. Kemble Avenue                                                 
1986
475,100
61.2
7,041
1.30
24.22
17.61
Parsippany
             
4 Campus Drive                                                 
1983
147,475
76.6
2,317
0.43
20.51
16.13
6 Campus Drive                                                 
1983
148,291
78.2
2,629
0.49
22.67
19.09
7 Campus Drive                                                 
1982
154,395
86.3
2,570
0.48
19.29
15.78
8 Campus Drive                                                 
1987
215,265
65.8
2,945
0.55
20.79
18.62
9 Campus Drive                                                 
1983
156,495
30.8
1,151
0.21
23.88
20.46
4 Century Drive                                                 
1981
100,036
48.8
1,098
0.20
22.49
18.44
5 Century Drive                                                 
1981
79,739
52.0
896
0.17
21.61
16.57
6 Century Drive                                                 
1981
100,036
58.0
1,091
0.20
18.80
15.24
2 Dryden Way                                                 
1990
6,216
100.0
99
0.02
15.93
14.64
4 Gatehall Drive                                                 
1988
248,480
82.0
5,851
1.08
28.72
23.84


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
52

 


Property Listing
 
Office Properties
(continued)
 
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
2 Hilton Court                                                 
1991
181,592
100.0
6,529
1.21
35.95
32.59
1633 Littleton Road                                                 
1978
57,722
100.0
1,131
0.21
19.59
19.59
600 Parsippany Road                                                 
1978
96,000
91.3
1,647
0.30
18.79
15.15
1 Sylvan Way                                                 
1989
150,557
96.0
4,089
0.76
28.29
22.64
4 Sylvan Way                                                 
1984
105,135
100.0
1,496
0.28
14.23
13.69
5 Sylvan Way                                                 
1989
151,383
86.7
3,807
0.70
29.01
26.77
7 Sylvan Way                                                 
1987
145,983
0.0
1,634
0.30
0.00
0.00
14 Sylvan Way (g)                                                 
2013
203,506
100.0
2,897
0.54
24.74
22.48
22 Sylvan Way                                                 
2009
249,409
100.0
6,327
1.17
25.37
22.98
20 Waterview Boulevard                                                 
1988
225,550
93.8
4,782
0.89
22.60
20.15
35 Waterview Boulevard                                                 
1990
172,498
92.8
4,186
0.77
26.15
23.65
5 Wood Hollow Road                                                 
1979
317,040
95.2
6,133
1.14
20.32
16.03
               
PASSAIC COUNTY, NEW JERSEY
             
Totowa
             
999 Riverview Drive                                                 
1988
56,066
91.8
804
0.15
15.62
12.71
               
SOMERSET COUNTY, NEW JERSEY
             
Basking Ridge
             
222 Mt. Airy Road                                                 
1986
49,000
100.0
1,079
0.20
22.02
18.18
233 Mt. Airy Road                                                 
1987
66,000
67.5
133
0.02
2.99
1.91
Bridgewater
             
440 Route 22 East                                                 
1990
198,376
95.5
4,695
0.87
24.78
21.36
721 Route 202/206 
1989
192,741
98.6
4,272
0.79
22.48
16.15
Warren
             
10 Independence Boulevard                                                 
1988
120,528
92.6
2,627
0.49
23.54
22.51
               
UNION COUNTY, NEW JERSEY
             
Clark
             
100 Walnut Avenue                                                 
1985
182,555
89.8
4,531
0.84
27.64
23.96
Cranford
             
6 Commerce Drive                                                 
1973
56,000
95.3
1,094
0.20
20.50
18.19
11 Commerce Drive                                                 
1981
90,000
84.8
1,940
0.36
25.42
21.76
12 Commerce Drive                                                 
1967
72,260
84.7
923
0.17
15.08
13.07
14 Commerce Drive                                                 
1971
67,189
78.3
1,242
0.23
23.61
18.11
20 Commerce Drive                                                 
1990
176,600
99.3
3,486
0.65
19.88
17.28
25 Commerce Drive                                                 
1971
67,749
87.1
1,247
0.23
21.13
18.06
65 Jackson Drive                                                 
1984
82,778
49.6
1,066
0.20
25.96
18.88
New Providence
             
890 Mountain Avenue                                                 
1977
80,000
77.1
1,143
0.21
18.53
16.52
               
Total New Jersey Office
 
18,772,757
84.8
379,542
70.26
23.99
20.90
               
NEW YORK COUNTY, NEW YORK
             
New York
             
125 Broad Street                                                 
1970
524,476
100.0
16,082
2.98
30.66
26.24
               
ROCKLAND COUNTY, NEW YORK
             
Suffern
             
400 Rella Boulevard                                                 
1988
180,000
86.1
3,554
0.66
22.93
20.10
               
WESTCHESTER COUNTY, NEW YORK
             
Elmsford
             
100 Clearbrook Road (c)                                                 
1975
60,000
90.5
959
0.18
17.66
15.86
101 Executive Boulevard                                                 
1971
50,000
0.0
63
0.01
0.00
0.00
555 Taxter Road                                                 
1986
170,554
97.4
3,210
0.59
19.32
15.11
565 Taxter Road                                                 
1988
170,554
86.4
3,598
0.67
24.42
21.53
570 Taxter Road                                                 
1972
75,000
68.7
1,241
0.23
24.09
22.24
               


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
53

 


Property Listing
 
Office Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
Hawthorne
             
1 Skyline Drive                                                 
1980
20,400
99.0
328
0.06
16.24
15.80
2 Skyline Drive                                                 
1987
30,000
100.0
543
0.10
18.10
13.70
7 Skyline Drive                                                 
1987
109,000
79.9
2,096
0.39
24.07
19.12
17 Skyline Drive (f)                                                 
1989
85,000
100.0
1,721
0.32
20.25
19.84
Tarrytown
             
200 White Plains Road                                                 
1982
89,000
65.0
1,389
0.26
24.01
19.79
220 White Plains Road                                                 
1984
89,000
77.4
1,769
0.33
25.68
22.07
White Plains
             
1 Barker Avenue                                                 
1975
68,000
96.7
1,708
0.32
25.97
23.19
3 Barker Avenue                                                 
1983
65,300
92.7
1,402
0.26
23.16
21.64
50 Main Street                                                 
1985
309,000
87.6
8,376
1.55
30.94
26.50
11 Martine Avenue                                                 
1987
180,000
77.7
4,397
0.81
31.44
26.75
1 Water Street                                                 
1979
45,700
68.3
847
0.16
27.14
23.48
Yonkers
             
1 Executive Boulevard                                                 
1982
112,000
100.0
3,028
0.56
27.04
24.59
3 Executive Boulevard                                                 
1987
58,000
100.0
1,685
0.31
29.05
27.48
               
Total New York Office
 
2,490,984
87.7
57,996
10.75
26.53
22.96
               
FAIRFIELD COUNTY, CONNECTICUT
             
Stamford
             
1266 East Main Street                                                 
1984
179,260
81.4
3,476
0.64
23.82
19.47
               
Total Connecticut Office
 
179,260
81.4
3,476
0.64
23.82
19.47
               
WASHINGTON, D.C.
             
1201 Connecticut Avenue, NW
1940
169,549
88.8
6,832
1.26
45.38
40.33
1400 L Street, NW                                                 
1987
159,000
100.0
5,856
1.08
36.83
31.26
               
Total District of Columbia Office
 
328,549
94.2
12,688
2.34
40.99
35.67
               
PRINCE GEORGE’S COUNTY, MARYLAND
             
Greenbelt
             
9200 Edmonston Road                                                 
1973
38,690
100.0
1,061
0.20
27.42
27.42
6301 Ivy Lane                                                 
1979
112,003
73.6
1,695
0.31
20.56
17.97
6303 Ivy Lane                                                 
1980
112,047
85.6
2,361
0.44
24.62
21.49
6305 Ivy Lane                                                 
1982
112,022
82.2
1,973
0.37
21.43
18.62
6404 Ivy Lane                                                 
1987
165,234
73.2
2,703
0.50
22.35
17.25
6406 Ivy Lane                                                 
1991
163,857
77.0
534
0.10
4.23
3.19
6411 Ivy Lane                                                 
1984
138,405
74.2
2,155
0.40
20.98
17.26
Lanham
             
4200 Parliament Place                                                 
1989
122,000
94.6
2,884
0.53
24.99
22.97
               
Total Maryland Office
 
964,258
80.3
15,366
2.85
19.84
17.09
               
TOTAL OFFICE PROPERTIES
 
22,735,808
85.0
469,068
86.84
24.38
21.20
               


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
54

 


Property Listing
 
Office/Flex Properties
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
BURLINGTON COUNTY, NEW JERSEY
             
Burlington
             
3 Terri Lane                                                 
1991
64,500
71.1
446
0.08
9.73
8.50
5 Terri Lane                                                 
1992
74,555
100.0
607
0.11
8.14
6.29
Moorestown
             
2 Commerce Drive                                                 
1986
49,000
69.2
216
0.04
6.37
5.25
101 Commerce Drive                                                 
1988
64,700
100.0
275
0.05
4.25
3.85
102 Commerce Drive                                                 
1987
38,400
100.0
250
0.05
6.51
4.66
201 Commerce Drive                                                 
1986
38,400
25.0
67
0.01
6.98
5.10
202 Commerce Drive                                                 
1988
51,200
100.0
198
0.04
3.87
3.03
1 Executive Drive                                                 
1989
20,570
90.8
189
0.03
10.12
7.28
2 Executive Drive                                                 
1988
60,800
71.4
243
0.04
5.60
4.95
101 Executive Drive                                                 
1990
29,355
99.7
302
0.06
10.32
7.72
102 Executive Drive                                                 
1990
64,000
100.0
474
0.09
7.41
7.30
225 Executive Drive                                                 
1990
50,600
85.4
221
0.04
5.11
3.68
97 Foster Road                                                 
1982
43,200
100.0
170
0.03
3.94
2.99
1507 Lancer Drive                                                 
1995
32,700
100.0
147
0.03
4.50
3.46
1245 North Church Street                                                 
1998
52,810
65.1
236
0.04
6.86
5.88
1247 North Church Street                                                 
1998
52,790
80.7
322
0.06
7.56
6.20
1256 North Church Street                                                 
1984
63,495
100.0
477
0.09
7.51
6.60
840 North Lenola Road                                                 
1995
38,300
47.0
362
0.07
20.11
17.44
844 North Lenola Road                                                 
1995
28,670
100.0
203
0.04
7.08
5.65
915 North Lenola Road                                                 
1998
52,488
100.0
292
0.05
5.56
4.57
2 Twosome Drive                                                 
2000
48,600
100.0
404
0.07
8.31
7.45
30 Twosome Drive                                                 
1997
39,675
75.8
256
0.05
8.51
6.72
31 Twosome Drive                                                 
1998
84,200
100.0
429
0.08
5.10
4.52
40 Twosome Drive                                                 
1996
40,265
100.0
272
0.05
6.76
5.91
41 Twosome Drive                                                 
1998
43,050
100.0
240
0.04
5.57
4.88
50 Twosome Drive                                                 
1997
34,075
56.0
122
0.02
6.39
5.87
               
GLOUCESTER COUNTY, NEW JERSEY
             
West Deptford
             
1451 Metropolitan Drive                                                 
1996
21,600
100.0
120
0.02
5.56
5.28
               
MERCER COUNTY, NEW JERSEY
             
Hamilton Township
             
100 Horizon Center Boulevard
1989
13,275
100.0
207
0.04
15.59
8.29
200 Horizon Drive                                                 
1991
45,770
100.0
695
0.13
15.18
13.48
300 Horizon Drive                                                 
1989
69,780
53.2
517
0.10
13.93
10.24
500 Horizon Drive                                                 
1990
41,205
93.8
576
0.11
14.90
13.17
               
MONMOUTH COUNTY, NEW JERSEY
             
Wall Township
             
1325 Campus Parkway                                                 
1988
35,000
100.0
612
0.12
17.49
14.20
1340 Campus Parkway                                                 
1992
72,502
100.0
1,044
0.19
14.40
12.26
1345 Campus Parkway                                                 
1995
76,300
100.0
1,081
0.20
14.17
11.13
1433 Highway 34                                                 
1985
69,020
80.7
502
0.09
9.01
7.38
1320 Wyckoff Avenue                                                 
1986
20,336
100.0
222
0.04
10.92
8.36
1324 Wyckoff Avenue                                                 
1987
21,168
100.0
135
0.02
6.38
5.29
               
PASSAIC COUNTY, NEW JERSEY
             
Totowa
             
1 Center Court                                                 
1999
38,961
100.0
595
0.11
15.27
13.04
2 Center Court                                                 
1998
30,600
62.8
228
0.04
11.86
10.62
11 Commerce Way                                                 
1989
47,025
100.0
489
0.09
10.40
7.49
20 Commerce Way                                                 
1992
42,540
46.7
229
0.04
11.53
11.33
29 Commerce Way                                                 
1990
48,930
77.9
97
0.02
2.54
2.02
40 Commerce Way                                                 
1987
50,576
86.3
559
0.10
12.81
8.91
45 Commerce Way                                                 
1992
51,207
100.0
519
0.10
10.14
8.08
60 Commerce Way                                                 
1988
50,333
89.1
525
0.10
11.71
9.66


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
55

 


Property Listing
 
Office/Flex Properties
(continued)
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
80 Commerce Way                                                 
1996
22,500
88.6
254
0.05
12.74
10.28
100 Commerce Way                                                 
1996
24,600
88.0
278
0.05
12.84
10.44
120 Commerce Way                                                 
1994
9,024
100.0
101
0.02
11.19
9.42
140 Commerce Way                                                 
1994
26,881
99.5
299
0.06
11.18
9.42
               
Total New Jersey Office/Flex
 
2,189,531
87.5
17,304
3.20
9.03
7.44
               
WESTCHESTER COUNTY, NEW YORK
             
Elmsford
             
11 Clearbrook Road                                                 
1974
31,800
100.0
418
0.08
13.14
12.11
75 Clearbrook Road                                                 
1990
32,720
100.0
340
0.06
10.39
9.35
125 Clearbrook Road                                                 
2002
33,000
93.6
672
0.12
21.76
20.20
150 Clearbrook Road                                                 
1975
74,900
99.3
1,038
0.19
13.96
11.28
175 Clearbrook Road                                                 
1973
98,900
100.0
1,303
0.24
13.17
12.15
200 Clearbrook Road                                                 
1974
94,000
98.8
1,190
0.22
12.81
10.64
250 Clearbrook Road                                                 
1973
155,000
97.8
1,040
0.19
6.86
6.27
50 Executive Boulevard                                                 
1969
45,200
82.8
442
0.08
11.81
10.90
77 Executive Boulevard                                                 
1977
13,000
100.0
244
0.05
18.77
16.62
85 Executive Boulevard                                                 
1968
31,000
49.1
319
0.06
20.96
17.48
300 Executive Boulevard                                                 
1970
60,000
100.0
738
0.14
12.30
11.52
350 Executive Boulevard                                                 
1970
15,400
99.4
230
0.04
15.03
12.80
399 Executive Boulevard                                                 
1962
80,000
100.0
1,038
0.19
12.98
12.40
400 Executive Boulevard                                                 
1970
42,200
71.1
556
0.10
18.53
15.03
500 Executive Boulevard                                                 
1970
41,600
100.0
759
0.14
18.25
16.49
525 Executive Boulevard                                                 
1972
61,700
100.0
985
0.18
15.96
14.76
1 Westchester Plaza                                                 
1967
25,000
100.0
345
0.06
13.80
10.92
2 Westchester Plaza                                                 
1968
25,000
96.1
362
0.07
15.07
14.32
3 Westchester Plaza                                                 
1969
93,500
97.9
1,070
0.20
11.69
10.15
4 Westchester Plaza                                                 
1969
44,700
100.0
697
0.13
15.59
12.84
5 Westchester Plaza                                                 
1969
20,000
100.0
292
0.05
14.60
10.85
6 Westchester Plaza                                                 
1968
20,000
100.0
210
0.04
10.50
9.10
7 Westchester Plaza                                                 
1972
46,200
100.0
660
0.12
14.29
13.79
8 Westchester Plaza                                                 
1971
67,200
100.0
1,210
0.23
18.01
14.49
Hawthorne
             
200 Saw Mill River Road                                                 
1965
51,100
100.0
709
0.13
13.87
12.52
4 Skyline Drive                                                 
1987
80,600
93.0
1,408
0.26
18.78
15.82
5 Skyline Drive                                                 
1980
124,022
99.8
1,581
0.29
12.77
11.54
6 Skyline Drive                                                 
1980
44,155
72.8
576
0.11
17.92
12.47
8 Skyline Drive                                                 
1985
50,000
85.4
821
0.15
19.23
16.18
10 Skyline Drive                                                 
1985
20,000
100.0
392
0.07
19.60
16.35
11 Skyline Drive (f)                                                 
1989
45,000
100.0
979
0.18
21.76
21.38
12 Skyline Drive (f)                                                 
1999
46,850
71.7
518
0.10
15.42
12.21
15 Skyline Drive (f)                                                 
1989
55,000
18.7
196
0.04
19.06
17.89
Yonkers
             
100 Corporate Boulevard                                                 
1987
78,000
98.3
1,570
0.29
20.48
19.34
200 Corporate Boulevard South
1990
84,000
100.0
1,764
0.33
21.00
18.82
4 Executive Plaza                                                 
1986
80,000
100.0
1,238
0.23
15.48
13.94
6 Executive Plaza                                                 
1987
80,000
100.0
1,640
0.30
20.50
18.94
1 Odell Plaza                                                 
1980
106,000
100.0
1,505
0.28
14.20
12.91
3 Odell Plaza                                                 
1984
71,065
100.0
1,596
0.30
22.46
20.83
5 Odell Plaza                                                 
1983
38,400
99.6
648
0.12
16.94
14.85
7 Odell Plaza                                                 
1984
42,600
100.0
573
0.11
13.45
11.60
               
Total New York Office/Flex
 
2,348,812
94.4
33,872
6.27
15.27
13.56
               
FAIRFIELD COUNTY, CONNECTICUT
             
Stamford
             
419 West Avenue                                                 
1986
88,000
100.0
1,576
0.29
17.91
15.27


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
56

 


Property Listing
 
Office/Flex Properties (continued)
and Industrial/Warehouse, Retail Properties, and Land Leases
 
Property
Location
Year
Built
Net
Rentable
Area
(Sq. Ft.)
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Sq. Ft.
($) (c) (d)
2013
Average
Effective
Rent
Per Sq. Ft.
($) (c) (e)
               
500 West Avenue                                                 
1988
25,000
75.9
406
0.08
21.40
20.40
550 West Avenue                                                 
1990
54,000
81.3
937
0.17
21.34
20.34
600 West Avenue                                                 
1999
66,000
100.0
670
0.12
10.15
9.27
650 West Avenue                                                 
1998
40,000
54.9
594
0.11
27.05
25.55
               
Total Connecticut Office/Flex
 
273,000
87.5
4,183
0.77
17.51
15.90
               
TOTAL OFFICE/FLEX PROPERTIES
 
4,811,343
90.9
55,359
10.24
12.66
11.01
               
WESTCHESTER COUNTY, NEW YORK
             
Elmsford
             
1 Warehouse Lane (f)                                                 
1957
6,600
100.0
105
0.02
15.91
14.70
2 Warehouse Lane (f)                                                 
1957
10,900
100.0
159
0.03
14.59
14.04
3 Warehouse Lane (f)                                                 
1957
77,200
100.0
399
0.07
5.17
4.95
4 Warehouse Lane (f)                                                 
1957
195,500
74.7
1,610
0.30
11.02
8.92
5 Warehouse Lane (f)                                                 
1957
75,100
97.1
896
0.17
12.29
10.60
6 Warehouse Lane (f)                                                 
1982
22,100
100.0
551
0.10
24.93
24.12
               
Total Industrial/Warehouse Properties
 
387,400
86.7
3,720
0.69
11.08
9.65
               
HUDSON COUNTY, NEW JERSEY
             
Weehawken
             
500 Avenue at Port Imperial (g)
2013
16,736
52.2
--
--
--
--
               
Total New Jersey Retail
 
16,736
52.2
--
--
--
--
               
WESTCHESTER COUNTY, NEW YORK
             
Tarrytown
             
230 White Plains Road                                                 
1984
9,300
100.0
179
0.03
19.25
19.03
Yonkers
             
2 Executive Boulevard                                                 
1986
8,000
100.0
305
0.06
38.13
38.13
               
Total New York Retail Properties
 
17,300
100.0
484
0.09
27.98
27.86
               
Total Retail Properties
 
34,036
76.5
484
0.09
18.59
18.51
               
WESTCHESTER COUNTY, NEW YORK
             
Elmsford
             
700 Executive Boulevard                                                 
--
--
--
149
0.03
--
--
Yonkers
             
1 Enterprise Boulevard                                                 
--
--
--
185
0.03
--
--
               
Total New York Land Leases
 
--
--
334
0.06
--
--
               
PRINCE GEORGE’S COUNTY, MARYLAND
             
Greenbelt
             
Capital Office Park Parcel A                                                 
--
--
--
153
0.03
--
--
               
Total Maryland Land Leases
 
--
--
153
0.03
--
--
               
Total Land Leases
 
--
--
487
0.09
--
--
               
TOTAL COMMERCIAL PROPERTIES
 
27,968,587
86.1
529,118
97.95
22.05
19.18
               


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
57

 


Property Listing
 
Multi-Family Properties
 
MULTI-FAMILY
PROPERTIES
Year
Built
Net
Rentable
Commercial
Area
(Sq. Ft)
Commercial
Percentage
Leased
as of
12/31/13
(%) (a)
Number
of units
Percentage
Leased
as of
12/31/13
(%) (a)
2013
Base
Rent
($000’s)
(b) (c)
Percentage
of Total
2013
Base Rent
%
2013
Average
Base Rent
Per Unit
($) (c) (l)
2013
Average
Effective
Rent
Per Unit
($) (c)
                   
MIDDLESEX COUNTY, NEW JERSEY
New Brunswick
                 
Richmond Court (g) (h)
1997
--
--
82
97.6
52
0.01
1,521
1,521
Riverwatch Commons (g) (h)
1995
--
--
118
93.2
70
0.01
1,489
1,489
                   
UNION COUNTY, NEW JERSEY
Rahway
                 
Park Square (g) (i)
2011
5,934
100.0
159
91.2
416
0.08
2,078
2,078
                   
Total New Jersey Multi-Family
 
5,934
100.0
359
93.3
538
0.10
1,751
1,751
                   
SUFFOLK COUNTY, MASSACHUSETTS
Revere
                 
Alterra at Overlook Ridge 1A (g) (j)
2004
--
--
310
97.7
5,178
0.96
1,494
1,494
Alterra at Overlook Ridge 1B (g) (k)
2008
--
--
412
98.1
5,331
0.99
1,476
1,476
                   
Total Massachusetts Multi-Family
 
--
--
722
97.9
10,509
1.95
1,483
1,483
                   
Total Multi-Family Properties
 
5,934
100.0
1,081
96.4
11,047
2.05
1,570
1,570
 
TOTAL PROPERTIES
 
27,974,521
     
540,165
100.00
     
Footnotes to Property List (dollars in thousands, except per square foot amounts):

(a)  
Percentage leased includes all leases in effect as of the period end date, some of which have commencement dates in the future and leases expiring December 31, 2013 aggregating 690,895 square feet (representing 2.5 percent of the Company’s total net rentable square footage) for which no new leases were signed.
(b)  
Total base rent for 2013, determined in accordance with generally accepted accounting principles (“GAAP”). Substantially all of the commercial leases provide for annual base rents plus recoveries and escalation charges based upon the tenant’s proportionate share of and/or increases in real estate taxes and certain operating costs, as defined, and the pass through of charges for electrical usage. For the year ended December 31, 2013, total escalations and recoveries from tenants were: $63,114, or $3.34 per leased square foot, for office properties; $7,799, or $1.78 per leased square foot, for office/flex properties; and $1,847, or $5.36 per leased square foot, for other properties.
(c)  
Excludes space leased by the Company.
(d)  
Base rent for 2013 divided by net rentable commercial square feet leased at December 31, 2013.
(e)  
Total base rent for 2013 minus total 2013 amortization of tenant improvements, leasing commissions and other concessions and costs, determined in accordance with GAAP, divided by net rentable commercial square feet leased at December 31, 2013.
(f)  
This property is located on land leased by the Company.
(g)  
As this property was acquired, commenced initial operations or initially consolidated by the Company during the 12 months ended December 31, 2013, the amounts represented in 2013 base rent reflect only that portion of the year during which the Company owned or consolidated the property. Accordingly, these amounts may not be indicative of the property’s full year results.  For comparison purposes, the amounts represented in 2013 average base rent per sq. ft. and per unit for this property have been calculated by taking 2013 base rent for such property and annualizing these partial-year results, dividing such annualized amounts by the net rentable square feet leased or occupied units at December 31, 2013. These annualized per square foot and per unit amounts may not be indicative of the property’s results had the Company owned or consolidated the property for the entirety of the 12 months ended December 31, 2013.
(h)  
Acquired on December 19, 2013. Amounts reflect period of ownership.
(i)  
Acquired on November 20, 2013. Amounts reflect period of ownership.
(j)  
Acquired on January 18, 2013. Amounts reflect period of ownership.
(k)  
Acquired on April 4, 2013. Amounts reflect period of ownership.
(l)  
Annualized base rent for 2013 divided by units occupied at December 31, 2013, divided by 12.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
58

 

Significant Tenants


The following table sets forth a schedule of the Company’s 50 largest tenants for the Consolidated Commercial Properties as of December 31, 2013, based upon annualized base rental revenue:

 
Number
of
Properties
Annualized
Base Rental
Revenue ($) (a)
Percentage of
Company
Annualized Commercial Base
Rental Revenue (%)
Square
Feet
Leased
Percentage of
Total Company
Commercial Leased
Sq. Ft. (%)
Year of
Lease
Expiration
DB Services New Jersey, Inc.
2
12,335,217
2.3
409,166
1.8
2017
National Union Fire Insurance Company of Pittsburgh, PA
3
11,203,562
2.0
398,141
1.7
(b)
Wyndham Worldwide Operations
2
11,199,134
2.0
452,915
1.9
2029
Bank Of Tokyo-Mitsubishi FUJI, Ltd.
1
10,540,716
1.9
282,606
1.2
(c)
Forest Research Institute, Inc.
1
9,070,892
1.6
215,659
0.9
2017
United States of America-GSA
11
8,756,966
1.6
285,343
1.2
(d)
Prentice-Hall, Inc.
1
8,643,699
1.6
474,801
2.0
2014
New Cingular Wireless PCS, LLC
4
7,297,156
1.3
312,899
1.3
(e)
Montefiore Medical Center
7
7,074,148
1.3
312,824
1.3
(f)
ICAP Securities USA, LLC
1
6,904,128
1.2
159,834
0.7
2017
TD Ameritrade Online Holdings
1
6,229,711
1.1
188,776
0.8
2020
Daiichi Sankyo, Inc.
1
6,133,613
1.1
171,900
0.7
2022
Merrill Lynch Pierce Fenner
1
5,883,780
1.1
294,189
1.2
2017
AECOM Technology Corporation
2
5,258,602
0.9
162,346
0.7
(g)
HQ Global Workplaces, LLC
17
4,863,079
0.9
276,721
1.2
(h)
Vonage America, Inc.
1
4,340,000
0.8
350,000
1.5
2017
CohnReznick, LLP
2
4,333,954
0.8
155,056
0.7
(i)
AT&T Corp.
1
4,137,500
0.7
275,000
1.2
(j)
Morgan Stanley Smith Barney
3
3,884,880
0.7
125,145
0.5
(k)
Allstate Insurance Company
7
3,696,720
0.7
160,312
0.7
(l)
Arch Insurance Company
1
3,685,118
0.7
106,815
0.5
2024
SunAmerica Asset Management
1
3,167,756
0.6
69,621
0.3
2018
Tullett Prebon Holdings Corp.
1
3,127,970
0.6
100,759
0.4
2023
Alpharma, LLC
1
3,098,092
0.6
112,235
0.5
2018
Xand Operations, LLC
2
3,014,150
0.5
131,078
0.6
2024
E*Trade Financial Corporation
1
2,930,757
0.5
106,573
0.5
2022
Plymouth Rock Management Company of New Jersey
2
2,928,321
0.5
116,889
0.5
2020
Natixis North America, Inc.
1
2,823,569
0.5
89,907
0.4
2021
Continental Casualty Company
2
2,784,736
0.5
100,712
0.4
(m)
AAA Mid-Atlantic, Inc.
2
2,765,642
0.5
129,784
0.6
(n)
KPMG, LLP
2
2,736,214
0.5
121,490
0.5
(o)
Tradeweb Markets, LLC
1
2,711,760
0.5
64,976
0.3
2017
Connell Foley, LLP
2
2,657,218
0.5
97,822
0.4
2015
New Jersey Turnpike Authority
1
2,605,798
0.5
100,223
0.4
2017
Lowenstein Sandler LLP
1
2,516,264
0.5
98,677
0.4
2017
Savvis Communications Corporation
1
2,430,116
0.4
71,474
0.3
2015
Virgin Mobile USA, LP
1
2,427,776
0.4
93,376
0.4
2016
ASRC Aerospace Corporation
1
2,413,896
0.4
81,108
0.3
2014
UBS Financial Services, Inc.
3
2,391,327
0.4
82,413
0.3
(p)
Sony Music Entertainment
1
2,359,986
0.4
97,653
0.4
2014
T-Mobile USA, Inc.
1
2,339,254
0.4
105,135
0.4
2017
Qualcare Alliance Networks, Inc.
2
2,316,191
0.4
118,779
0.5
2021
Tower Insurance Company of New York
1
2,306,760
0.4
76,892
0.3
2023
Bozzuto & Associates, Inc.
1
2,301,992
0.4
104,636
0.4
2025
Rothstein, Kass & Company, P.C.
1
2,287,823
0.4
88,652
0.4
2017
The Louis Berger Group, Inc.
3
2,268,188
0.4
115,758
0.5
(q)
Movado Group, Inc.
1
2,261,498
0.4
98,326
0.4
2018
Norris, McLaughlin & Marcus, PA
1
2,259,738
0.4
86,913
0.4
2017
Bunge Management Services, Inc.
1
2,221,151
0.4
66,303
0.3
2020
Barr Laboratories, Inc.
1
2,209,107
0.4
89,510
0.4
2015
             
Totals
 
220,135,625
39.6
8,388,122
35.6
 

See footnotes on subsequent page.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
59

 


Significant Tenants

(Continued)

(a)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014, annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(b)  
281,023 square feet expire in 2018; 117,118 square feet expire in 2019.
(c)  
20,649 square feet expire in 2018; 24,607 square feet expire in 2019; 237,350 square feet expire in 2029.
(d)  
45,736 square feet expire in 2014; 182,458 square feet expire in 2015; 15,851 square feet expire in 2016; 21,596 square feet expire in 2022; 19,702 square feet expire in 2023.
(e)  
100,151 square feet expire in 2014; 212,748 square feet expire in 2018.
(f)  
21,110 square feet expire in 2014; 13,512 square feet expire in 2015; 7,200 square feet expire in 2016; 59,302 square feet expire in 2017; 36,385 square feet expire in 2018; 133,763 square feet expire in 2019; 8,600 square feet expire in 2020; 14,842 square feet expire in 2021; 9,610 square feet expire in 2022; 8,500 square feet expire in 2023.
(g)  
70,932 square feet expire in 2023; 91,414 square feet expire in 2029.
(h)  
22,279 square feet expire in 2015; 12,407 square feet expire in 2017; 19,190 square feet expire in 2018; 41,549 square feet expire in 2019; 21,008 square feet expire in 2020; 14,724 square feet expire in 2021; 36,158 square feet expire in 2023; 109,406 square feet expire in 2024.
(i)  
1,021 square feet expire in 2014; 154,035 square feet expire in 2020.
(j)  
115,000 square feet expire in 2016; 160,000 square feet expire in 2019.
(k)  
26,834 square feet expire in 2014; 29,654 square feet expire in 2015; 26,262 square feet expire in 2018; 42,395 square feet expire in 2026.
(l)  
4,456 square feet expire in 2014; 5,348 square feet expire in 2015; 4,014 square feet expire in 2016; 75,740 square feet expire in 2017; 70,754 square feet expire in 2018.
(m)  
19,416 square feet expire in 2016; 81,296 square feet expire in 2031.
(n)  
9,784 square feet expire in 2017; 120,000 square feet expire in 2022.
(o)  
10,877 square feet expire in 2014; 53,409 square feet expire in 2019; 57,204 square feet expire in 2020.
(p)  
42,360 square feet expire in 2016; 13,340 square feet expire in 2022; 26,713 square feet expire in 2024.
(q)  
7,426 square feet expire in 2017; 108,332 square feet expire in 2026.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
60

 

Schedule of Lease Expirations

All Consolidated Commercial Properties

 
The following table sets forth a schedule of lease expirations for the total of the Company’s office, office/flex, industrial/warehouse and stand-alone retail properties included in the Consolidated Commercial Properties beginning January 1, 2014, assuming that none of the tenants exercise renewal or termination options (with a breakdown by market for 2014 through 2016 only):
 

Year Of
Expiration/
Market
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
 Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2014 (c)
           
   Northern  NJ
117
1,416,811
6.0
36,328,229
25.64
6.5
   Central NJ
59
266,140
1.1
5,657,629
21.26
1.0
   Westchester Co., NY
89
373,548
1.6
8,622,120
23.08
1.6
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
11
107,465
0.5
784,488
7.30
0.1
   Fairfield, CT
8
33,420
0.1
639,511
19.14
0.1
   Washington, DC/MD
28
209,098
0.9
5,693,956
27.23
1.0
   Rockland Co., NY
5
10,295
(d)
249,103
24.20
(d)
TOTAL – 2014
317
2,416,777
10.2
57,975,036
23.99
10.3
             
             
2015
           
   Northern  NJ
108
1,353,219
5.8
30,435,261
22.49
5.5
   Central NJ
65
500,732
2.1
11,484,137
22.93
2.1
   Westchester Co., NY
77
404,489
1.7
8,414,856
20.80
1.5
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
27
253,913
1.1
1,845,999
7.27
0.3
   Fairfield, CT
9
101,473
0.4
2,512,822
24.76
0.5
   Washington, DC/MD
38
310,215
1.3
9,690,355
31.24
1.7
   Rockland Co., NY
2
32,311
0.1
775,464
24.00
0.1
TOTAL – 2015
326
2,956,352
12.5
65,158,894
22.04
11.7
             
             
2016
           
   Northern  NJ
108
922,299
3.9
23,927,917
25.94
4.3
   Central NJ
60
580,900
2.5
13,341,058
22.97
2.4
   Westchester Co., NY
86
489,307
2.1
9,787,424
20.00
1.8
   Manhattan
-
-
-
-
-
-
   Sub. Philadelphia
11
160,798
0.7
1,070,328
6.66
0.2
   Fairfield, CT
4
118,861
0.5
2,337,142
19.66
0.4
   Washington, DC/MD
27
102,590
0.4
2,668,920
26.02
0.5
   Rockland Co., NY
1
1,885
(d)
49,010
26.00
(d)
TOTAL – 2016
297
2,376,640
10.1
53,181,799
22.38
9.6
             

Schedule continued, with footnotes, on subsequent page.



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
61

 


Schedule of Lease Expirations

All Consolidated Commercial Properties (continued)

Year Of
Expiration
Number Of
Leases
Expiring (a)
 
 
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2017
256
3,549,374
15.1
84,330,886
23.76
15.2
             
2018
260
2,612,847
11.1
60,887,024
23.30
11.0
             
2019
181
1,974,538
8.4
42,534,953
21.54
7.7
             
2020
122
1,665,591
7.1
35,109,743
21.08
6.3
             
2021
83
1,280,764
5.4
33,109,697
25.85
6.0
             
2022
61
995,129
4.2
25,143,501
25.27
4.5
             
2023
39
1,059,601
4.5
26,923,060
25.41
4.8
             
2024
52
1,023,661
4.4
25,220,018
24.64
4.5
             
2025 and thereafter
34
1,639,659
7.0
46,552,402
28.39
8.4
Totals/
           
Weighted Average
2,028
23,550,933
(c) (e)
100.0
556,127,013
23.61
100.0

(a)  
Includes office, office/flex, industrial/warehouse and stand-alone retail property tenants only. Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014 annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(c)  
Includes leases expiring December 31, 2013 aggregating 690,895 square feet and representing annualized rent of $18,327,124 for which no new leases were signed.
(d)  
Represents 0.05% or less.
(e)  
Reconciliation to Company’s total net rentable square footage is as follows:

 
Square Feet
Square footage leased to commercial tenants
23,550,933
Square footage used for corporate offices, management offices,
 
building use, retail tenants, food services, other ancillary
 
service tenants and occupancy adjustments
507,162
Square footage unleased
3,899,690
Total net rentable square footage (does not include land leases)
27,957,785



Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
62

 

Schedule of Lease Expirations

Office Properties

The following table sets forth a schedule of lease expirations for the office properties beginning January 1, 2014, assuming that none of the tenants exercise renewal or termination options (with a breakdown by market for 2014 through 2016 only):

Year Of
Expiration/
Market
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2014 (c)
           
   Northern  NJ
108
1,322,633
7.1
35,047,187
26.50
7.1
   Central NJ
50
211,090
1.1
4,875,284
23.10
1.0
   Westchester Co., NY
58
174,061
0.9
4,999,380
28.72
1.0
   Manhattan
-
-
-
-
-
-
   Fairfield Co., CT
5
18,995
0.1
465,582
24.51
0.1
   Washington, DC/MD
28
209,098
1.1
5,693,956
27.23
1.2
   Rockland Co., NY
5
10,295
0.1
249,103
24.20
0.1
TOTAL – 2014
254
1,946,172
10.4
51,330,492
26.38
10.5
             
2015
           
   Northern  NJ
101
1,298,687
6.8
29,807,010
22.95
5.9
   Central NJ
55
421,028
2.2
10,430,203
24.77
2.1
   Westchester Co., NY
46
200,651
1.1
5,210,982
25.97
1.1
   Manhattan
-
-
-
-
-
-
   Fairfield Co., CT
7
52,996
0.3
1,531,733
28.90
0.3
   Washington, DC/MD
38
310,215
1.7
9,690,355
31.24
2.0
   Rockland Co., NY
2
32,311
0.2
775,464
24.00
0.2
TOTAL – 2015
249
2,315,888
12.3
57,445,747
24.81
11.6
             
2016
           
   Northern NJ
103
867,222
4.5
23,265,365
26.83
4.7
   Central NJ
51
466,109
2.5
11,570,870
24.82
2.3
   Westchester Co., NY
40
196,885
1.1
5,307,362
26.96
1.1
   Manhattan
-
-
-
-
-
-
   Fairfield Co., CT
3
30,861
0.2
765,462
24.80
0.2
   Washington, DC/MD
27
102,590
0.5
2,668,920
26.02
0.5
   Rockland Co., NY
1
1,885
(d)
49,010
26.00
(d)
TOTAL – 2016
225
1,665,552
8.8
43,626,989
26.19
8.8
             
2017
194
3,028,640
16.1
77,414,239
25.56
15.7
             
2018
184
1,841,388
9.8
51,365,466
27.89
10.4
             
2019
136
1,323,823
7.0
33,542,944
25.34
6.8
             
2020
98
1,345,267
7.1
31,014,538
23.05
6.3
             
2021
72
1,150,820
6.1
31,257,603
27.16
6.3
             
2022
55
928,102
4.9
24,227,280
26.10
4.9
             
2023
30
856,473
4.6
24,261,425
28.33
4.9
             
2024
40
874,987
4.6
22,808,629
26.07
4.6
             
2025 and thereafter
28
1,562,229
8.3
45,312,485
29.01
9.2
Totals/Weighted
  Average
1,565
18,839,341 (c)
100.0
493,607,837
26.20
100.0
(a)  
Includes office tenants only. Excludes leases for amenity, retail, parking and month-to-month tenants. Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014 annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.
(c)  
Includes leases expiring December 31, 2013 aggregating 606,551 square feet and representing annualized rent of $17,378,189 for which no new leases were signed.
(d)  
Represents 0.05% or less.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
63

 

Schedule of Lease Expirations

Office/Flex Properties

The following table sets forth a schedule of lease expirations for the office/flex properties beginning January 1, 2014, assuming that none of the tenants exercise renewal or termination options (with a breakdown by market for 2014 through 2016 only):
 

Year Of
Expiration/
Market
Number Of
Leases
Expiring (a)
 
 
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2014 (c)
           
   Northern  NJ
9
94,178
2.2
1,281,042
13.60
2.1
   Central NJ
7
53,190
1.2
741,685
13.94
1.3
   Westchester Co., NY
27
174,147
4.0
3,205,985
18.41
5.5
   Sub. Philadelphia
11
107,465
2.5
784,488
7.30
1.4
   Fairfield Co., CT
3
14,425
0.3
173,929
12.06
0.3
TOTAL – 2014
57
443,405
10.2
6,187,129
13.95
10.6
             
2015
           
   Northern  NJ
7
54,532
1.3
628,251
11.52
1.1
   Central NJ
8
76,690
1.8
982,234
12.81
1.7
   Westchester Co., NY
30
175,838
4.0
2,853,874
16.23
4.9
   Sub. Philadelphia
27
253,913
5.8
1,845,999
7.27
3.2
   Fairfield Co., CT
2
48,477
1.1
981,089
20.24
1.7
TOTAL – 2015
74
609,450
14.0
7,291,447
11.96
12.6
             
2016
           
   Northern  NJ
5
55,077
1.3
662,552
12.03
1.2
   Central NJ
8
113,731
2.6
1,746,332
15.35
3.0
   Westchester Co., NY
42
261,434
6.0
4,133,268
15.81
7.1
   Sub. Philadelphia
11
160,798
3.7
1,070,328
6.66
1.8
   Fairfield Co., CT
1
88,000
2.0
1,571,680
17.86
2.7
TOTAL – 2016
67
679,040
15.6
9,184,160
13.53
15.8
             
2017
62
520,734
12.0
6,916,647
13.28
11.9
             
2018
73
677,976
15.6
8,925,585
13.17
15.4
             
2019
42
606,270
13.9
8,199,608
13.52
14.1
             
2020
23
273,092
6.3
3,420,732
12.53
5.9
             
2021
11
129,944
3.0
1,852,094
14.25
3.2
             
2022
6
67,027
1.5
916,221
13.67
1.6
             
2023
7
127,407
2.9
1,783,271
14.00
3.1
             
2024
12
148,674
3.4
2,411,389
16.22
4.2
             
2025 and thereafter
5
69,430
1.6
947,917
13.65
1.6
Totals/Weighted
           
  Average
439
4,352,449
(c)
100.0
58,036,200
13.33
100.0

(a)
Includes office/flex tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014, annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above. Includes office/flex tenants only.  Excludes leases for amenity, retail, parking and month-to-month tenants.  Some tenants have multiple leases.
(c)  
Includes leases expiring December 31, 2013 aggregating 84,344 square feet and representing annualized rent of $948,935 for which no new leases were signed.




Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
64

 

Schedule of Lease Expirations

Industrial/Warehouse Properties

The following table sets forth a schedule of lease expirations for the industrial/warehouse properties beginning January 1, 2014, assuming that none of the tenants exercise renewal or termination options. All industrial/warehouse properties are located in the Westchester County, NY market:
 
Year Of
Expiration
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2014
3
16,040
4.9
241,755
15.07
6.3
             
2015
1
28,000
8.3
350,000
12.50
9.0
             
2016
4
30,988
9.2
346,794
11.19
8.9
             
2018
3
93,483
27.8
595,973
6.38
15.4
             
2019
3
44,445
13.2
792,401
17.83
20.4
             
2020
1
47,232
14.1
674,473
14.28
17.4
             
2023
2
75,721
22.5
878,364
11.60
22.6
Totals/Weighted
           
  Average
17
335,909
 
100.0
3,879,760
11.55
100.0

(a)  
Includes industrial/warehouse tenants only. Excludes leases for amenity, retail, parking and month-to-month industrial/warehouse tenants. Some tenants have multiple leases.
(b)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014, annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, the historical results may differ from those set forth above.

Stand-Alone Retail Properties

The following table sets forth a schedule of lease expirations for the stand-alone retail properties beginning January 1, 2014, assuming that none of the tenants exercise renewal or termination options. (with a breakdown by market for 2014 through 2016 only):
 
Year Of
Expiration
Number Of
Leases
Expiring (a)
Net Rentable
Area Subject
To Expiring
Leases
(Sq. Ft.)
Percentage Of
Total Leased
Square Feet
Represented By
Expiring
Leases (%)
Annualized
Base Rental
Revenue Under
Expiring
Leases ($) (b)
Average Annualized
Base Rent Per
Net Rentable
Square Foot
Represented
By Expiring
Leases ($)
Percentage Of
Annual Base
Rent Under
Expiring
Leases (%)
             
2014
           
   Central NJ
2
1,860
8.0
40,660
21.86
6.7
   Westchester Co., NY
1
9,300
40.0
175,000
18.82
29.0
TOTAL – 2014
3
11,160
48.0
215,660
19.32
35.7
             
2015
           
   Central NJ
2
3,014
13.0
71,700
23.79
11.9
   Westchester Co., NY
-
-
-
-
-
-
TOTAL – 2015
2
3,014
13.0
71,700
23.79
11.9
             
2016
           
   Central NJ
1
1,060
4.6
23,856
22.51
4.0
   Westchester Co., NY
-
-
-
-
-
-
TOTAL – 2016
1
1,060
4.6
23,856
22.51
4.0
             
2025 and thereafter
1
8,000
34.4
292,000
36.50
48.4
             
Totals/Weighted
           
  Average
7
23,234
100.0
603,216
25.96
100.0
(a)  
Includes stand-alone retail property tenants only.
(b)  
Annualized base rental revenue is based on actual December 2013 billings times 12. For leases whose rent commences after January 1, 2014 annualized base rental revenue is based on the first full month’s billing times 12. As annualized base rental revenue is not derived from historical GAAP results, historical results may differ from those set forth above.


Mack-Cali Realty Corporation
Supplemental Operating and Financial Data for the Quarter Ended December 31, 2013

 
 
65