0001037540 12/31 2023 Q1 false 0.01 156,835,488 0001043121 12/31 10-Q 3/31/2023 2023 Q1 false 89.4 six P3Y0M0D P3Y0M0D P3Y0M0D 0001037540 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-01-01 2023-03-31 0001037540 2023-04-28 xbrli:shares iso4217:USD xbrli:shares 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-01-01 2023-03-31 xbrli:pure 0001037540 srt:ApartmentBuildingMember 2023-03-31 bxp:Real_Estate_Properties 0001037540 us-gaap:VariableInterestEntityPrimaryBeneficiaryMember 2023-03-31 iso4217:USD 0001037540 us-gaap:VariableInterestEntityPrimaryBeneficiaryMember 2022-12-31 0001037540 2023-03-31 0001037540 2022-12-31 0001037540 2022-01-01 2022-03-31 0001037540 bxp:ParkingandOtherMember 2023-01-01 2023-03-31 0001037540 bxp:ParkingandOtherMember 2022-01-01 2022-03-31 0001037540 srt:HotelMember 2023-01-01 2023-03-31 0001037540 srt:HotelMember 2022-01-01 2022-03-31 0001037540 us-gaap:ManagementServiceMember 2023-01-01 2023-03-31 0001037540 us-gaap:ManagementServiceMember 2022-01-01 2022-03-31 0001037540 us-gaap:RealEstateOtherMember 2023-01-01 2023-03-31 0001037540 us-gaap:RealEstateOtherMember 2022-01-01 2022-03-31 0001037540 us-gaap:CommonStockMember 2022-12-31 0001037540 us-gaap:AdditionalPaidInCapitalMember 2022-12-31 0001037540 us-gaap:RetainedEarningsMember 2022-12-31 0001037540 us-gaap:TreasuryStockMember 2022-12-31 0001037540 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2022-12-31 0001037540 us-gaap:NoncontrollingInterestMember 2022-12-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember 2022-12-31 0001037540 us-gaap:CommonStockMember 2023-01-01 2023-03-31 0001037540 us-gaap:AdditionalPaidInCapitalMember 2023-01-01 2023-03-31 0001037540 us-gaap:NoncontrollingInterestMember 2023-01-01 2023-03-31 0001037540 us-gaap:RetainedEarningsMember 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember 2023-01-01 2023-03-31 0001037540 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-01-01 2023-03-31 0001037540 us-gaap:CommonStockMember 2023-03-31 0001037540 us-gaap:AdditionalPaidInCapitalMember 2023-03-31 0001037540 us-gaap:RetainedEarningsMember 2023-03-31 0001037540 us-gaap:TreasuryStockMember 2023-03-31 0001037540 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-03-31 0001037540 us-gaap:NoncontrollingInterestMember 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember 2023-03-31 0001037540 us-gaap:CommonStockMember 2021-12-31 0001037540 us-gaap:AdditionalPaidInCapitalMember 2021-12-31 0001037540 us-gaap:RetainedEarningsMember 2021-12-31 0001037540 us-gaap:TreasuryStockMember 2021-12-31 0001037540 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2021-12-31 0001037540 us-gaap:NoncontrollingInterestMember 2021-12-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember 2021-12-31 0001037540 2021-12-31 0001037540 us-gaap:CommonStockMember 2022-01-01 2022-03-31 0001037540 us-gaap:AdditionalPaidInCapitalMember 2022-01-01 2022-03-31 0001037540 us-gaap:NoncontrollingInterestMember 2022-01-01 2022-03-31 0001037540 us-gaap:RetainedEarningsMember 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember 2022-01-01 2022-03-31 0001037540 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2022-01-01 2022-03-31 0001037540 us-gaap:CommonStockMember 2022-03-31 0001037540 us-gaap:AdditionalPaidInCapitalMember 2022-03-31 0001037540 us-gaap:RetainedEarningsMember 2022-03-31 0001037540 us-gaap:TreasuryStockMember 2022-03-31 0001037540 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2022-03-31 0001037540 us-gaap:NoncontrollingInterestMember 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember 2022-03-31 0001037540 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:VariableInterestEntityPrimaryBeneficiaryMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:VariableInterestEntityPrimaryBeneficiaryMember 2022-12-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-12-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:ParkingandOtherMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:ParkingandOtherMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember srt:HotelMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember srt:HotelMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:ManagementServiceMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:ManagementServiceMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:RealEstateOtherMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:RealEstateOtherMember 2022-01-01 2022-03-31 0001037540 us-gaap:GeneralPartnerMember 2022-12-31 0001037540 us-gaap:LimitedPartnerMember 2022-12-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-12-31 0001037540 bxp:CapitalMember 2022-12-31 0001037540 bxp:NoncontrollinginterestRedeemablepartnershipunitsMember 2022-12-31 0001037540 us-gaap:GeneralPartnerMember 2023-01-01 2023-03-31 0001037540 us-gaap:LimitedPartnerMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-01-01 2023-03-31 0001037540 bxp:CapitalMember 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestRedeemablepartnershipunitsMember 2023-01-01 2023-03-31 0001037540 us-gaap:GeneralPartnerMember 2023-03-31 0001037540 us-gaap:LimitedPartnerMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-03-31 0001037540 bxp:CapitalMember 2023-03-31 0001037540 bxp:NoncontrollinginterestRedeemablepartnershipunitsMember 2023-03-31 0001037540 us-gaap:GeneralPartnerMember 2021-12-31 0001037540 us-gaap:LimitedPartnerMember 2021-12-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2021-12-31 0001037540 bxp:CapitalMember 2021-12-31 0001037540 bxp:NoncontrollinginterestRedeemablepartnershipunitsMember 2021-12-31 0001037540 us-gaap:LimitedPartnerMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-01-01 2022-03-31 0001037540 bxp:CapitalMember 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestRedeemablepartnershipunitsMember 2022-01-01 2022-03-31 0001037540 us-gaap:GeneralPartnerMember 2022-01-01 2022-03-31 0001037540 us-gaap:GeneralPartnerMember 2022-03-31 0001037540 us-gaap:LimitedPartnerMember 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-03-31 0001037540 bxp:CapitalMember 2022-03-31 0001037540 bxp:NoncontrollinginterestRedeemablepartnershipunitsMember 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2021-12-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-01-01 2022-12-31 utr:Y 0001037540 bxp:A2012OPPUnitsAndVestedMYLTIPsMember 2023-01-01 2023-03-31 0001037540 us-gaap:CommercialRealEstateMember 2023-03-31 utr:sqft 0001037540 us-gaap:ConstructionInProgressMember 2023-03-31 0001037540 srt:OfficeBuildingMember 2023-03-31 0001037540 srt:OfficeBuildingMember us-gaap:ConstructionInProgressMember 2023-03-31 0001037540 srt:RetailSiteMember 2023-03-31 0001037540 srt:RetailSiteMember us-gaap:ConstructionInProgressMember 2023-03-31 0001037540 us-gaap:ConstructionInProgressMember srt:ApartmentBuildingMember 2023-03-31 0001037540 srt:HotelMember 2023-03-31 0001037540 us-gaap:VariableInterestEntityPrimaryBeneficiaryMember us-gaap:CommercialRealEstateMember 2023-03-31 0001037540 us-gaap:CarryingReportedAmountFairValueDisclosureMember 2023-03-31 0001037540 us-gaap:EstimateOfFairValueFairValueDisclosureMember 2023-03-31 0001037540 us-gaap:CarryingReportedAmountFairValueDisclosureMember 2022-12-31 0001037540 us-gaap:EstimateOfFairValueFairValueDisclosureMember 2022-12-31 0001037540 bxp:TwoNineZeroBinneyMember 2023-01-05 0001037540 bxp:ThreeZeroZeroBinneyStreetMember 2023-01-30 0001037540 bxp:ThreeZeroZeroBinneyStreetMember us-gaap:ConstructionInProgressMember 2023-01-30 0001037540 bxp:ThreeZeroZeroBinneyStreetMember 2023-01-01 2023-03-31 0001037540 bxp:SquareFourZeroSevenLimitedPartnershipMember 2023-01-01 2023-03-31 0001037540 bxp:SquareFourZeroSevenLimitedPartnershipMember 2023-03-31 0001037540 bxp:SquareFourZeroSevenLimitedPartnershipMember 2022-12-31 0001037540 bxp:BPCRFMetropolitanSquareLLCMember 2023-01-01 2023-03-31 0001037540 bxp:BPCRFMetropolitanSquareLLCMember 2023-03-31 0001037540 bxp:BPCRFMetropolitanSquareLLCMember 2022-12-31 0001037540 bxp:BpCrfNineZeroOneNewYorkAvenueLlcMember 2023-01-01 2023-03-31 0001037540 bxp:BpCrfNineZeroOneNewYorkAvenueLlcMember 2023-03-31 0001037540 bxp:BpCrfNineZeroOneNewYorkAvenueLlcMember 2022-12-31 0001037540 bxp:WpProjectDeveloperLlcMember 2023-01-01 2023-03-31 0001037540 bxp:WpProjectDeveloperLlcMember 2023-03-31 0001037540 bxp:WpProjectDeveloperLlcMember 2022-12-31 0001037540 bxp:FiveZeroZeroNorthCapitolLlcMember 2023-01-01 2023-03-31 0001037540 bxp:FiveZeroZeroNorthCapitolLlcMember 2023-03-31 0001037540 bxp:FiveZeroZeroNorthCapitolLlcMember 2022-12-31 0001037540 bxp:FivezerooneKStreetLLCMember 2023-01-01 2023-03-31 0001037540 bxp:FivezerooneKStreetLLCMember 2023-03-31 0001037540 bxp:FivezerooneKStreetLLCMember 2022-12-31 0001037540 bxp:PodiumDeveloperLLCMember 2023-01-01 2023-03-31 0001037540 bxp:PodiumDeveloperLLCMember 2023-03-31 0001037540 bxp:PodiumDeveloperLLCMember 2022-12-31 0001037540 bxp:ResidentialTowerDeveloperLLCMember 2023-01-01 2023-03-31 0001037540 bxp:ResidentialTowerDeveloperLLCMember 2023-03-31 0001037540 bxp:ResidentialTowerDeveloperLLCMember 2022-12-31 0001037540 bxp:HotelTowerDeveloperLLCMember 2023-01-01 2023-03-31 0001037540 bxp:HotelTowerDeveloperLLCMember 2023-03-31 0001037540 bxp:HotelTowerDeveloperLLCMember 2022-12-31 0001037540 bxp:OfficeTowerDeveloperLLCMember 2023-01-01 2023-03-31 0001037540 bxp:OneHundredCausewayStreetMember 2023-03-31 0001037540 bxp:OneHundredCausewayStreetMember 2022-12-31 0001037540 bxp:OneTwoSixFiveMainOfficeJVLLCMember 2023-01-01 2023-03-31 0001037540 bxp:OneTwoSixFiveMainOfficeJVLLCMember 2023-03-31 0001037540 bxp:OneTwoSixFiveMainOfficeJVLLCMember 2022-12-31 0001037540 bxp:BNYTowerHoldingsLLCMember 2023-01-01 2023-03-31 0001037540 bxp:BNYTowerHoldingsLLCMember 2023-03-31 0001037540 bxp:BNYTowerHoldingsLLCMember 2022-12-31 0001037540 bxp:CAColoradoCenterLLCMember 2023-01-01 2023-03-31 0001037540 bxp:CAColoradoCenterLLCMember 2023-03-31 0001037540 bxp:CAColoradoCenterLLCMember 2022-12-31 0001037540 bxp:SevensevenfivezeroWisconsinAvenueLLCMember 2023-01-01 2023-03-31 0001037540 bxp:SevensevenfivezeroWisconsinAvenueLLCMember 2023-03-31 0001037540 bxp:SevensevenfivezeroWisconsinAvenueLLCMember 2022-12-31 0001037540 bxp:ThreeHudsonBoulevardMember 2023-01-01 2023-03-31 0001037540 bxp:ThreeHudsonBoulevardMember 2023-03-31 0001037540 bxp:ThreeHudsonBoulevardMember 2022-12-31 0001037540 bxp:SantaMonicaBusinessParkMember 2023-01-01 2023-03-31 0001037540 bxp:SantaMonicaBusinessParkMember 2023-03-31 0001037540 bxp:SantaMonicaBusinessParkMember 2022-12-31 0001037540 bxp:PlatformSixteenMember 2023-01-01 2023-03-31 0001037540 bxp:PlatformSixteenMember 2023-03-31 0001037540 bxp:PlatformSixteenMember 2022-12-31 0001037540 bxp:GatewayCommonsComplexMember 2023-01-01 2023-03-31 0001037540 bxp:GatewayCommonsComplexMember 2023-03-31 0001037540 bxp:GatewayCommonsComplexMember 2022-12-31 0001037540 bxp:RosecransSepulvedaPartnersFourLLCMember 2023-01-01 2023-03-31 0001037540 bxp:RosecransSepulvedaPartnersFourLLCMember 2023-03-31 0001037540 bxp:RosecransSepulvedaPartnersFourLLCMember 2022-12-31 0001037540 bxp:SafecoPlazaREITLLCMember 2023-01-01 2023-03-31 0001037540 bxp:SafecoPlazaREITLLCMember 2023-03-31 0001037540 bxp:SafecoPlazaREITLLCMember 2022-12-31 0001037540 bxp:ThreeSixZeroPASHoldcoLLCMember 2023-01-01 2023-03-31 0001037540 bxp:ThreeSixZeroPASHoldcoLLCMember 2023-03-31 0001037540 bxp:ThreeSixZeroPASHoldcoLLCMember 2022-12-31 0001037540 bxp:PRIIBXPRestonGatewayLLCMember 2023-01-01 2023-03-31 0001037540 bxp:PRIIBXPRestonGatewayLLCMember 2023-03-31 0001037540 bxp:PRIIBXPRestonGatewayLLCMember 2022-12-31 0001037540 bxp:A751GatewayHoldingsLLCMember 2023-01-01 2023-03-31 0001037540 bxp:A751GatewayHoldingsLLCMember 2023-03-31 0001037540 bxp:A751GatewayHoldingsLLCMember 2022-12-31 0001037540 bxp:TwoZeroZeroFifthAvenueJVLLCMember 2023-01-01 2023-03-31 0001037540 bxp:TwoZeroZeroFifthAvenueJVLLCMember 2023-03-31 0001037540 bxp:TwoZeroZeroFifthAvenueJVLLCMember 2022-12-31 0001037540 bxp:ABXPWorldgateInvestmentsLLCMember 2023-01-01 2023-03-31 0001037540 bxp:ABXPWorldgateInvestmentsLLCMember 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember 2022-12-31 0001037540 bxp:BpCrfNineZeroOneNewYorkAvenueLlceconomicpercentageMemberMember 2023-03-31 0001037540 bxp:BpCrfNineZeroOneNewYorkAvenueLlceconomicpercentageMemberMember 2022-12-31 0001037540 bxp:EntityOwningLandAndInfrastructureOfProjectMember 2023-03-31 bxp:payments 0001037540 bxp:CompanysShareMember bxp:SafecoPlazaREITLLCMember 2023-03-31 0001037540 bxp:CompanysShareMember bxp:SafecoPartnerEntityOneMember 2023-03-31 0001037540 bxp:CompanysShareMember bxp:SafecoPartnerEntityTwoMember 2023-03-31 0001037540 bxp:CompanysShareMember bxp:ThreeSixZeroPASHoldcoLLCMember 2023-03-31 0001037540 bxp:CompanysShareMember bxp:ThreeSixZeroPASHoldcoLLCIndirectOwnershipMember 2023-03-31 0001037540 bxp:CompanysShareMember bxp:ThreeSixZeroParkAvenueSouthPartnersEntityOneMember 2023-03-31 0001037540 bxp:CompanysShareMember bxp:ThreeSixZeroParkAvenueSouthPartnersEntityTwoMember 2023-03-31 0001037540 bxp:JointVenturePartnerMember bxp:ThreeSixZeroPASHoldcoLLCMember us-gaap:ScenarioPlanMember 2023-03-31 0001037540 bxp:JointVenturePartnerMember bxp:PRIIBXPRestonGatewayLLCMember us-gaap:ScenarioPlanMember 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember 2022-12-31 0001037540 bxp:UnconsolidatedJointVenturesMember 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember 2022-01-01 2022-03-31 0001037540 bxp:ColoradoCenterMember bxp:UnconsolidatedJointVenturesMember 2023-01-01 2023-03-31 0001037540 bxp:ColoradoCenterMember bxp:UnconsolidatedJointVenturesMember 2022-01-01 2022-03-31 0001037540 us-gaap:UnconsolidatedPropertiesMember bxp:WorldgateDriveMember 2023-01-31 0001037540 us-gaap:UnconsolidatedPropertiesMember bxp:WorldgateDriveMember 2023-01-31 2023-01-31 bxp:Building bxp:Vehicles utr:acre 0001037540 bxp:A2023UnsecuredTermLoanMember 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember srt:MinimumMember 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember 2023-01-04 2023-01-04 utr:M 0001037540 bxp:UnsecuredTermLoanMember 2023-01-04 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember us-gaap:FederalFundsEffectiveSwapRateMember 2023-01-04 2023-01-04 utr:Rate 0001037540 bxp:A2023UnsecuredTermLoanMember us-gaap:SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember 2023-01-04 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember us-gaap:BaseRateMember srt:MinimumMember 2023-01-04 2023-01-04 0001037540 srt:MaximumMember bxp:A2023UnsecuredTermLoanMember us-gaap:BaseRateMember 2023-01-04 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember bxp:AdjustedTermSecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember srt:MinimumMember 2023-01-04 2023-01-04 0001037540 srt:MaximumMember bxp:A2023UnsecuredTermLoanMember bxp:AdjustedTermSecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember 2023-01-04 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember us-gaap:BaseRateMember 2023-01-04 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember bxp:AdjustedTermSecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember 2023-01-04 2023-01-04 0001037540 bxp:A2023UnsecuredTermLoanMember bxp:AdjustedTermSecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember 2023-03-31 2023-03-31 0001037540 bxp:A2023UnsecuredTermLoanMember 2023-03-31 0001037540 bxp:SevenSixSevenVentureLlcMember 2023-03-31 0001037540 us-gaap:ResidentialRealEstateMember us-gaap:ScenarioPlanMember 2023-03-31 0001037540 srt:OfficeBuildingMember us-gaap:ScenarioPlanMember 2023-03-31 0001037540 bxp:SixZeroOneLexingtonAvenueMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:OpUnitsMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:LTIPUnitsMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:A2012OPPAnd20132020MYLTIPMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:TwoThousandTwentyOneMYLTIPSMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:MYLTIPTwoThousandTwentyTwoMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:MYLTIPTwoThousandTwentyThreeMember 2023-03-31 0001037540 bxp:OpUnitsMember 2023-01-01 2023-03-31 0001037540 bxp:ConversionOf2012OPPUnitsAndMYLTIPSMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:MYLTIPMember 2023-01-01 2023-03-31 0001037540 bxp:UnvestedMYLTIPUnitsMember 2023-03-31 0001037540 bxp:MYLTIPTwoThousandTwentyMember 2023-02-03 2023-02-03 0001037540 bxp:MYLTIPTwoThousandTwentyMember 2023-02-03 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:OpUnitsAndLTIPUnitsMember 2023-03-20 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:UnvestedMYLTIPUnitsMember 2023-03-20 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:OpUnitsAndLTIPUnitsMember 2023-01-30 2023-01-30 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:UnvestedMYLTIPUnitsMember 2023-01-30 2023-01-30 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:OpUnitsAndLTIPUnitsMember 2022-04-29 2022-04-29 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:UnvestedMYLTIPUnitsMember 2022-04-29 2022-04-29 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:OpUnitsAndLTIPUnitsMember 2022-01-28 2022-01-28 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:UnvestedMYLTIPUnitsMember 2022-01-28 2022-01-28 0001037540 bxp:OpUnitsMember 2023-03-31 0001037540 bxp:AtmProgramMember 2020-05-22 0001037540 bxp:AtmProgramMember 2020-05-22 2020-05-22 0001037540 bxp:AtmProgramMember 2017-06-02 0001037540 2023-02-01 2023-02-01 0001037540 2023-03-20 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-03-20 0001037540 2023-01-30 2023-01-30 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2023-01-30 2023-01-30 0001037540 2022-04-29 2022-04-29 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-04-29 2022-04-29 0001037540 2022-01-28 2022-01-28 0001037540 bxp:BostonPropertiesLimitedPartnershipMember 2022-01-28 2022-01-28 0001037540 us-gaap:MaterialReconcilingItemsMember 2023-01-01 2023-03-31 0001037540 us-gaap:MaterialReconcilingItemsMember 2022-01-01 2022-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember us-gaap:MaterialReconcilingItemsMember 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember us-gaap:MaterialReconcilingItemsMember 2022-01-01 2022-03-31 0001037540 us-gaap:MaterialReconcilingItemsMember bxp:NoncontrollinginterestpropertypartnershipsMember 2023-01-01 2023-03-31 0001037540 us-gaap:MaterialReconcilingItemsMember bxp:NoncontrollinginterestpropertypartnershipsMember 2022-01-01 2022-03-31 0001037540 us-gaap:MaterialReconcilingItemsMember us-gaap:ManagementServiceMember 2023-01-01 2023-03-31 0001037540 us-gaap:MaterialReconcilingItemsMember us-gaap:ManagementServiceMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:MaterialReconcilingItemsMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:MaterialReconcilingItemsMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:MaterialReconcilingItemsMember bxp:NoncontrollinginterestpropertypartnershipsMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:MaterialReconcilingItemsMember bxp:NoncontrollinginterestpropertypartnershipsMember 2022-01-01 2022-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:MaterialReconcilingItemsMember us-gaap:ManagementServiceMember 2023-01-01 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember us-gaap:MaterialReconcilingItemsMember us-gaap:ManagementServiceMember 2022-01-01 2022-03-31 0001037540 bxp:BostonMember 2023-01-01 2023-03-31 0001037540 bxp:LosAngelesMember 2023-01-01 2023-03-31 0001037540 stpr:NY 2023-01-01 2023-03-31 0001037540 bxp:SanFranciscoMember 2023-01-01 2023-03-31 0001037540 bxp:SeattleMember 2023-01-01 2023-03-31 0001037540 stpr:DC 2023-01-01 2023-03-31 0001037540 srt:HotelMember bxp:BostonMember 2023-01-01 2023-03-31 0001037540 srt:HotelMember bxp:LosAngelesMember 2023-01-01 2023-03-31 0001037540 srt:HotelMember stpr:NY 2023-01-01 2023-03-31 0001037540 bxp:SanFranciscoMember srt:HotelMember 2023-01-01 2023-03-31 0001037540 srt:HotelMember bxp:SeattleMember 2023-01-01 2023-03-31 0001037540 stpr:DC srt:HotelMember 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:BostonMember 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:LosAngelesMember 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember stpr:NY 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:SanFranciscoMember 2023-01-01 2023-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:SeattleMember 2023-01-01 2023-03-31 0001037540 stpr:DC bxp:NoncontrollinginterestpropertypartnershipsMember 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:BostonMember 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:LosAngelesMember 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember stpr:NY 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:SanFranciscoMember 2023-01-01 2023-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:SeattleMember 2023-01-01 2023-03-31 0001037540 stpr:DC bxp:UnconsolidatedJointVenturesMember 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember bxp:BostonMember 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember bxp:LosAngelesMember 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember stpr:NY 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember bxp:SanFranciscoMember 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember bxp:SeattleMember 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember stpr:DC 2023-01-01 2023-03-31 0001037540 bxp:CompanysShareMember 2023-01-01 2023-03-31 0001037540 bxp:BostonMember 2022-01-01 2022-03-31 0001037540 bxp:LosAngelesMember 2022-01-01 2022-03-31 0001037540 stpr:NY 2022-01-01 2022-03-31 0001037540 bxp:SanFranciscoMember 2022-01-01 2022-03-31 0001037540 bxp:SeattleMember 2022-01-01 2022-03-31 0001037540 stpr:DC 2022-01-01 2022-03-31 0001037540 srt:HotelMember bxp:BostonMember 2022-01-01 2022-03-31 0001037540 srt:HotelMember bxp:LosAngelesMember 2022-01-01 2022-03-31 0001037540 srt:HotelMember stpr:NY 2022-01-01 2022-03-31 0001037540 bxp:SanFranciscoMember srt:HotelMember 2022-01-01 2022-03-31 0001037540 srt:HotelMember bxp:SeattleMember 2022-01-01 2022-03-31 0001037540 stpr:DC srt:HotelMember 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:BostonMember 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:LosAngelesMember 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember stpr:NY 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:SanFranciscoMember 2022-01-01 2022-03-31 0001037540 bxp:NoncontrollinginterestpropertypartnershipsMember bxp:SeattleMember 2022-01-01 2022-03-31 0001037540 stpr:DC bxp:NoncontrollinginterestpropertypartnershipsMember 2022-01-01 2022-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:BostonMember 2022-01-01 2022-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:LosAngelesMember 2022-01-01 2022-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember stpr:NY 2022-01-01 2022-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:SanFranciscoMember 2022-01-01 2022-03-31 0001037540 bxp:UnconsolidatedJointVenturesMember bxp:SeattleMember 2022-01-01 2022-03-31 0001037540 stpr:DC bxp:UnconsolidatedJointVenturesMember 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember bxp:BostonMember 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember bxp:LosAngelesMember 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember stpr:NY 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember bxp:SanFranciscoMember 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember bxp:SeattleMember 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember stpr:DC 2022-01-01 2022-03-31 0001037540 bxp:CompanysShareMember 2022-01-01 2022-03-31 0001037540 bxp:MYLTIPTwoThousandTwentyThreeMember 2023-02-07 2023-02-07 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:MYLTIPTwoThousandTwentyThreeMember srt:MinimumMember 2023-02-07 0001037540 srt:MaximumMember bxp:BostonPropertiesLimitedPartnershipMember bxp:MYLTIPTwoThousandTwentyThreeMember 2023-02-07 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:TargetMember bxp:MYLTIPTwoThousandTwentyThreeMember 2023-02-07 0001037540 bxp:MYLTIPTwoThousandTwentyThreeMember 2023-02-07 0001037540 us-gaap:RestrictedStockMember 2023-03-31 0001037540 bxp:BostonPropertiesLimitedPartnershipMember bxp:MYLTIPTwoThousandTwentyThreeMember 2023-01-01 2023-03-31 0001037540 us-gaap:RestrictedStockMember 2023-01-01 2023-03-31 0001037540 bxp:LTIPand2014MYLTIPUnitsMember 2023-01-01 2023-03-31 0001037540 bxp:UnvestedRestrictedstockandLTIPUnitsMember 2023-01-01 2023-03-31 0001037540 us-gaap:RestrictedStockMember 2023-03-31 0001037540 bxp:LTIPUnitsMember 2023-01-01 2023-03-31 0001037540 bxp:LtipsincludingvestedMYLTIPSAndRestrictedStockMember 2023-03-31 0001037540 bxp:UnvestedMYLTIPUnitsMember 2023-03-31 0001037540 bxp:UnvestedMYLTIPUnitsMember 2023-01-01 2023-03-31 0001037540 bxp:SevenSevenFiveZeroWisconsinAvenueMember bxp:UnconsolidatedJointVenturesMember us-gaap:SubsequentEventMember 2023-04-21 0001037540 bxp:SevenSevenFiveZeroWisconsinAvenueMember bxp:UnconsolidatedJointVenturesMember us-gaap:SubsequentEventMember us-gaap:ExtendedMaturityMember 2023-04-21 2023-04-21 0001037540 bxp:SevenSevenFiveZeroWisconsinAvenueMember bxp:UnconsolidatedJointVenturesMember us-gaap:SubsequentEventMember us-gaap:ExtendedMaturityMember 2023-04-21 0001037540 bxp:SevenSevenFiveZeroWisconsinAvenueMember bxp:UnconsolidatedJointVenturesMember us-gaap:SubsequentEventMember 2023-06-01 2023-06-01 0001037540 bxp:SevenSevenFiveZeroWisconsinAvenueMember bxp:UnconsolidatedJointVenturesMember us-gaap:SubsequentEventMember 2023-04-21 2023-04-21 bxp:Year 0001037540 bxp:TwoOneZeroZeroPennsylvaniaAvenueMember us-gaap:SubsequentEventMember 2023-04-29 0001037540 us-gaap:InterestRateSwapMember 2023-05-02 2023-05-02 0001037540 us-gaap:InterestRateSwapMember 2023-05-02 0001037540 bxp:A2023UnsecuredTermLoanMember us-gaap:SubsequentEventMember 2023-05-02
Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended March 31, 2023
or

☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to
Commission File Number: 1-13087 (Boston Properties, Inc.)
Commission File Number: 0-50209 (Boston Properties Limited Partnership)

BOSTON PROPERTIES, INC.
BOSTON PROPERTIES LIMITED PARTNERSHIP
(Exact name of Registrants as specified in its charter)

Boston Properties, Inc. | Delaware | 04-2473675
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number)
Boston Properties Limited Partnership | Delaware | 04-3372948
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number)

Prudential Center, 800 Boylston Street, Suite 1900, Boston, Massachusetts 02199-8103
(Address of principal executive offices) (Zip Code)
(617) 236-3300
(Registrants’ telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Registrant |  | Title of each class |  | Trading Symbol(s) |  | Name of each exchange on which registered
Boston Properties, Inc. |  | Common Stock, par value $0.01 per share |  | BXP |  | New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Boston Properties, Inc.: Yes x No ☐ Boston Properties Limited Partnership: Yes x No ☐

Table of Contents
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Boston Properties, Inc.: Yes x No ☐ Boston Properties Limited Partnership: Yes x No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Boston Properties, Inc.:
Large accelerated filer x Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐
Boston Properties Limited Partnership:
Large accelerated filer ☐ Accelerated filer ☐ Non-accelerated filer x Smaller reporting company ☐ Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Boston Properties, Inc. ☐ Boston Properties Limited Partnership ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Boston Properties, Inc.: Yes ☐ No x Boston Properties Limited Partnership: Yes ☐ No x
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Boston Properties, Inc. | Common Stock, par value $0.01 per share | 156,835,488
(Registrant) | (Class) | (Outstanding on April 28, 2023)

Table of Contents
EXPLANATORY NOTE
This report combines the Quarterly Reports on Form 10-Q for the period ended March 31, 2023 of Boston Properties, Inc. and Boston Properties Limited Partnership. Unless stated otherwise or the context otherwise requires, references to “BXP” mean Boston Properties, Inc., a Delaware corporation and real estate investment trust (“REIT”), and references to “BPLP” and the “Operating Partnership” mean Boston Properties Limited Partnership, a Delaware limited partnership. BPLP is the entity through which BXP conducts substantially all of its business and owns, either directly or through subsidiaries, substantially all of its assets. BXP is the sole general partner and also a limited partner of BPLP. As the sole general partner of BPLP, BXP has exclusive control of BPLP’s day-to-day management. Therefore, unless stated otherwise or the context requires, references to the “Company,” “we,” “us” and “our” mean collectively BXP, BPLP and those entities/subsidiaries consolidated by BXP.
As of March 31, 2023, BXP owned an approximate 89.4% ownership interest in BPLP. The remaining approximate 10.6% interest was owned by limited partners. The other limited partners of BPLP (1) contributed their direct or indirect interests in properties to BPLP in exchange for common units or preferred units of limited partnership interest in BPLP or (2) received long-term incentive plan units of BPLP pursuant to BXP’s Stock Option and Incentive Plans, or both. Under the limited partnership agreement of BPLP, unitholders may present their common units of BPLP for redemption at any time (subject to restrictions agreed upon at the time of issuance of the units that may restrict such right for a period of time, generally one year from issuance). Upon presentation of a common unit for redemption, BPLP must redeem the unit for cash equal to the then value of a share of BXP’s common stock. In lieu of a cash redemption by BPLP, however, BXP may elect to acquire any common units so tendered by issuing shares of BXP common stock in exchange for the common units. If BXP so elects, its common stock will be exchanged for common units on a one-for-one basis. This one-for-one exchange ratio is subject to specified adjustments to prevent dilution. BXP generally expects that it will elect to issue its common stock in connection with each such presentation for redemption rather than having BPLP pay cash. With each such exchange or redemption, BXP’s percentage ownership in BPLP will increase. In addition, whenever BXP issues shares of its common stock other than to acquire common units of BPLP, BXP must contribute any net proceeds it receives to BPLP and BPLP must issue to BXP an equivalent number of common units of BPLP. This structure is commonly referred to as an umbrella partnership REIT, or UPREIT.
The Company believes that combining the Quarterly Reports on Form 10-Q of BXP and BPLP into this single report:
•enhances investors’ understanding of BXP and BPLP by enabling them to view the business as a whole in the same manner as management views and operates the business;
•eliminates duplicative disclosure and provides a more concise and readable presentation because a substantial portion of the disclosure applies to both BXP and BPLP; and
•creates time and cost efficiencies through the preparation of one combined report instead of two separate reports.
The Company believes it is important to understand the few differences between BXP and BPLP in the context of how BXP and BPLP operate as a consolidated company. The financial results of BPLP are consolidated into the financial statements of BXP. BXP does not have any other significant assets, liabilities or operations, other than its investment in BPLP, nor does it have employees of its own. BPLP, not BXP, generally executes all significant business relationships other than transactions involving the securities of BXP. BPLP holds substantially all of the assets of BXP, including ownership interests in subsidiaries and joint ventures. BPLP conducts the operations of the business and is structured as a partnership with no publicly traded equity. Except for the net proceeds from equity issuances by BXP, which are contributed to the capital of BPLP in exchange for common or preferred units of partnership in BPLP, as applicable, BPLP generates all remaining capital required by the Company’s business. These sources include working capital, net cash provided by operating activities, borrowings under its credit facilities, the issuance of secured and unsecured debt and equity securities and proceeds received from the disposition of certain properties and interests in joint ventures.
Shareholders’ equity, partners’ capital and noncontrolling interests are the main areas of difference between the consolidated financial statements of BXP and BPLP. The limited partners of BPLP are accounted for as partners’ capital in BPLP’s financial statements and as noncontrolling interests in BXP’s financial statements. The noncontrolling interests in BPLP’s financial statements include the interests of unaffiliated partners in various consolidated partnerships. The noncontrolling interests in BXP’s financial statements include the same

Table of Contents
noncontrolling interests in BPLP and limited partners of BPLP. The differences between shareholders’ equity and partners’ capital result from differences in the equity issued by each of BXP and BPLP.
In addition, the consolidated financial statements of BXP and BPLP differ in total real estate assets resulting from previously applied acquisition accounting by BXP for the issuance of common stock in connection with non-sponsor redemptions of common units of BPLP. This accounting resulted in a step-up of the real estate assets of BXP at the time of such redemptions, resulting in a difference between the net real estate of BXP as compared to BPLP of approximately $248.0 million, or 1.3% at March 31, 2023, and a corresponding difference in depreciation expense, impairment losses and gains on sales of real estate upon the sale of these properties having an allocation of the real estate step-up. The acquisition accounting was nullified on a prospective basis beginning in 2009 as a result of the Company’s adoption of a new accounting standard requiring any subsequent redemptions to be accounted for solely as an equity transaction.
To help investors better understand the key differences between BXP and BPLP, the following items in this report present information separately for BXP and BPLP:
• Item 1. Financial Statements (unaudited), which includes the following specific disclosures for BXP and BPLP:
• Note 3. Real Estate;
• Note 9. Stockholders’ Equity / Partners’ Capital;
• Note 10. Segment Information; and
• Note 11. Earnings Per Share / Common Unit
• Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations and Liquidity and Capital Resources, includes information specific to each entity, where applicable.
This report also includes separate Part I - Item 4. Controls and Procedures and Part II - Item 2. Unregistered Sales of Equity Securities and Use of Proceeds sections for each of BXP and BPLP, as well as separate Exhibits 31 and 32 certifications for each of BXP and BPLP.

Table of Contents
BOSTON PROPERTIES, INC. AND BOSTON PROPERTIES LIMITED PARTNERSHIP
FORM 10-Q
for the quarter ended March 31, 2023
TABLE OF CONTENTS

|  | Page
PART I. FINANCIAL INFORMATION |
ITEM 1. | Financial Statements (unaudited) | 1
Boston Properties, Inc. |
| a) Consolidated Balance Sheets as of March 31, 2023 and December 31, 2022 | 1
| b) Consolidated Statements of Operations for the three months ended March 31, 2023 and 2022 | 3
| c) Consolidated Statements of Comprehensive Income for the three months ended March 31, 2023 and 2022 | 4
| d) Consolidated Statements of Equity for the three months ended March 31, 2023 and 2022 | 5
| e) Consolidated Statements of Cash Flows for the three months ended March 31, 2023 and 2022 | 6
Boston Properties Limited Partnership |
| a) Consolidated Balance Sheets as of March 31, 2023 and December 31, 2022 | 8
| b) Consolidated Statements of Operations for the three months ended March 31, 2023 and 2022 | 10
| c) Consolidated Statements of Comprehensive Income for the three months ended March 31, 2023 and 2022 | 11
| d) Consolidated Statements of Capital and Noncontrolling Interests for the three months ended March 31, 2023 and 2022 | 12
| e) Consolidated Statements of Cash Flows for the three months ended March 31, 2023 and 2022 | 13
Boston Properties, Inc. and Boston Properties Limited Partnership |
| Notes to the Consolidated Financial Statements | 15
ITEM 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations | 34
ITEM 3. | Quantitative and Qualitative Disclosures about Market Risk | 71
ITEM 4. | Controls and Procedures | 71
PART II. OTHER INFORMATION |
ITEM 1. | Legal Proceedings | 73
ITEM 1A. | Risk Factors | 73
ITEM 2. | Unregistered Sales of Equity Securities and Use of Proceeds | 73
ITEM 3. | Defaults Upon Senior Securities | 74
ITEM 4. | Mine Safety Disclosures | 74
ITEM 5. | Other Information | 74
ITEM 6. | Exhibits | 75
SIGNATURES | 76

Table of Contents
PART I. FINANCIAL INFORMATION
ITEM 1—Financial Statements.

BOSTON PROPERTIES, INC. CONSOLIDATED BALANCE SHEETS (unaudited and in thousands, except for share and par value amounts)
|  | March 31, 2023 |  | December 31, 2022
ASSETS |  |  |  |
Real estate, at cost (amounts related to variable interest entities (“VIEs”) of $6,832,119 and $6,789,029 at March 31, 2023 and December 31, 2022, respectively) |  | $ | 25,559,720 |  |  | $ | 25,389,663 |
Right of use assets - finance leases (amounts related to VIEs of $21,000 and $21,000 at March 31, 2023 and December 31, 2022, respectively) |  | 237,503 |  |  | 237,510 |
Right of use assets - operating leases |  | 166,699 |  |  | 167,351 |
Less: accumulated depreciation (amounts related to VIEs of $(1,405,167) and $(1,381,401) at March 31, 2023 and December 31, 2022, respectively) |  | (6,424,547) |  |  | (6,298,082) |
Total real estate |  | 19,539,375 |  |  | 19,496,442 |
Cash and cash equivalents (amounts related to VIEs of $233,981 and $259,658 at March 31, 2023 and December 31, 2022, respectively) |  | 918,952 |  |  | 690,333 |
Cash held in escrows |  | 45,330 |  |  | 46,479 |
Investments in securities |  | 32,099 |  |  | 32,277 |
Tenant and other receivables, net (amounts related to VIEs of $13,108 and $16,521 at March 31, 2023 and December 31, 2022, respectively) |  | 85,603 |  |  | 81,389 |
Related party note receivable, net |  | 78,544 |  |  | 78,576 |
Sales-type lease receivable, net |  | 13,028 |  |  | 12,811 |
Accrued rental income, net (amounts related to VIEs of $375,008 and $367,138 at March 31, 2023 and December 31, 2022, respectively) |  | 1,297,767 |  |  | 1,276,580 |
Deferred charges, net (amounts related to VIEs of $172,077 and $176,597 at March 31, 2023 and December 31, 2022, respectively) |  | 720,174 |  |  | 733,282 |
Prepaid expenses and other assets (amounts related to VIEs of $40,737 and $11,647 at March 31, 2023 and December 31, 2022, respectively) |  | 141,933 |  |  | 43,589 |
Investments in unconsolidated joint ventures |  | 1,752,617 |  |  | 1,715,911 |
Total assets |  | $ | 24,625,422 |  |  | $ | 24,207,669 |
LIABILITIES AND EQUITY |  |  |  |
Liabilities: |  |  |  |
Mortgage notes payable, net (amounts related to VIEs of $3,273,553 and $3,272,368 at March 31, 2023 and December 31, 2022, respectively) |  | $ | 3,273,553 |  |  | $ | 3,272,368 |
Unsecured senior notes, net |  | 10,240,967 |  |  | 10,237,968 |
Unsecured line of credit |  | — |  |  | — |
Unsecured term loan, net |  | 1,194,916 |  |  | 730,000 |
Lease liabilities - finance leases (amounts related to VIEs of $20,641 and $20,604 at March 31, 2023 and December 31, 2022, respectively) |  | 250,567 |  |  | 249,335 |
Lease liabilities - operating leases |  | 204,435 |  |  | 204,686 |
Accounts payable and accrued expenses (amounts related to VIEs of $37,595 and $29,466 at March 31, 2023 and December 31, 2022, respectively) |  | 397,798 |  |  | 417,545 |
Dividends and distributions payable |  | 171,427 |  |  | 170,643 |
Accrued interest payable |  | 114,400 |  |  | 103,774 |
Other liabilities (amounts related to VIEs of $114,694 and $114,232 at March 31, 2023 and December 31, 2022, respectively) |  | 465,276 |  |  | 450,918 |
Total liabilities |  | 16,313,339 |  |  | 15,837,237 |
Commitments and contingencies (See Note 7) |  |  |  |
Redeemable deferred stock units— 103,454 and 97,853 units outstanding at redemption value at March 31, 2023 and December 31, 2022, respectively |  | 5,599 |  |  | 6,613 |

1

Table of Contents

BOSTON PROPERTIES, INC. CONSOLIDATED BALANCE SHEETS (unaudited and in thousands, except for share and par value amounts)
|  | March 31, 2023 |  | December 31, 2022
Equity: |  |  |  |
Stockholders’ equity attributable to Boston Properties, Inc.: |  |  |  |
Excess stock, $0.01 par value, 150,000,000 shares authorized, none issued or outstanding |  | — |  |  | — |
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none issued or outstanding |  | — |  |  | — |
Common stock, $0.01 par value, 250,000,000 shares authorized, 156,908,693 and 156,836,767 issued and 156,829,793 and 156,757,867 outstanding at March 31, 2023 and December 31, 2022, respectively |  | 1,568 |  |  | 1,568 |
Additional paid-in capital |  | 6,549,314 |  |  | 6,539,147 |
Dividends in excess of earnings |  | (467,159) |  |  | (391,356) |
Treasury common stock at cost, 78,900 shares at March 31, 2023 and December 31, 2022 |  | (2,722) |  |  | (2,722) |
Accumulated other comprehensive loss |  | (18,214) |  |  | (13,718) |
Total stockholders’ equity attributable to Boston Properties, Inc. |  | 6,062,787 |  |  | 6,132,919 |
Noncontrolling interests: |  |  |  |
Common units of Boston Properties Limited Partnership |  | 691,627 |  |  | 683,583 |
Property partnerships |  | 1,552,070 |  |  | 1,547,317 |
Total equity |  | 8,306,484 |  |  | 8,363,819 |
Total liabilities and equity |  | $ | 24,625,422 |  |  | $ | 24,207,669 |

The accompanying notes are an integral part of these consolidated financial statements.
2

Table of Contents
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited and in thousands, except for per share amounts)

| Three months ended March 31, |  |
| 2023 |  | 2022 |  |  |  |  |  |
Revenue |  |  |  |  |  |  |  |  |
Lease | $ | 756,875 |  |  | $ | 718,120 |  |  |  |  |  |  |
Parking and other | 24,009 |  |  | 21,734 |  |  |  |  |  |  |
Hotel | 8,101 |  |  | 4,557 |  |  |  |  |  |  |
Development and management services | 8,980 |  |  | 5,831 |  |  |  |  |  |  |
Direct reimbursements of payroll and related costs from management services contracts | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
Total revenue | 803,200 |  |  | 754,307 |  |  |  |  |  |  |
Expenses |  |  |  |  |  |  |  |  |
Operating |  |  |  |  |  |  |  |  |
Rental | 291,308 |  |  | 270,255 |  |  |  |  |  |  |
Hotel | 6,671 |  |  | 4,840 |  |  |  |  |  |  |
General and administrative | 55,802 |  |  | 43,194 |  |  |  |  |  |  |
Payroll and related costs from management services contracts | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
Transaction costs | 911 |  |  | — |  |  |  |  |  |  |
Depreciation and amortization | 208,734 |  |  | 177,624 |  |  |  |  |  |  |
Total expenses | 568,661 |  |  | 499,978 |  |  |  |  |  |  |
Other income (expense) |  |  |  |  |  |  |  |  |
Income (loss) from unconsolidated joint ventures | (7,569) |  |  | 2,189 |  |  |  |  |  |  |
Gains on sales of real estate | — |  |  | 22,701 |  |  |  |  |  |  |
Interest and other income (loss) | 10,941 |  |  | 1,228 |  |  |  |  |  |  |
Gains (losses) from investments in securities | 1,665 |  |  | (2,262) |  |  |  |  |  |  |
Unrealized gain on non-real estate investment | 259 |  |  | — |  |  |  |  |  |  |
Interest expense | (134,207) |  |  | (101,228) |  |  |  |  |  |  |
Net income | 105,628 |  |  | 176,957 |  |  |  |  |  |  |
Net income attributable to noncontrolling interests |  |  |  |  |  |  |  |  |
Noncontrolling interests in property partnerships | (18,660) |  |  | (17,549) |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership | (9,078) |  |  | (16,361) |  |  |  |  |  |  |
Net income attributable to Boston Properties, Inc. | $ | 77,890 |  |  | $ | 143,047 |  |  |  |  |  |  |
Basic earnings per common share attributable to Boston Properties, Inc. |  |  |  |  |  |  |  |  |
Net income | $ | 0.50 |  |  | $ | 0.91 |  |  |  |  |  |  |
Weighted average number of common shares outstanding | 156,803 |  |  | 156,650 |  |  |  |  |  |  |
Diluted earnings per common share attributable to Boston Properties, Inc. |  |  |  |  |  |  |  |  |
Net income | $ | 0.50 |  |  | $ | 0.91 |  |  |  |  |  |  |
Weighted average number of common and common equivalent shares outstanding | 157,043 |  |  | 157,004 |  |  |  |  |  |  |

The accompanying notes are an integral part of these consolidated financial statements.
3

Table of Contents
BOSTON PROPERTIES, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited and in thousands)

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
Net income |  | $ | 105,628 |  |  | $ | 176,957 |  |  |  |  |  |  |
Other comprehensive income: |  |  |  |  |  |  |  |  |  |
Effective portion of interest rate contracts |  | (6,538) |  |  | 7,565 |  |  |  |  |  |  |
Amortization of interest rate contracts (1) |  | 1,675 |  |  | 1,676 |  |  |  |  |  |  |
Other comprehensive income (loss) |  | (4,863) |  |  | 9,241 |  |  |  |  |  |  |
Comprehensive income |  | 100,765 |  |  | 186,198 |  |  |  |  |  |  |
Net income attributable to noncontrolling interests |  | (27,738) |  |  | (33,910) |  |  |  |  |  |  |
Other comprehensive (income) loss attributable to noncontrolling interests |  | 368 |  |  | (1,064) |  |  |  |  |  |  |
Comprehensive income attributable to Boston Properties, Inc. |  | $ | 73,395 |  |  | $ | 151,224 |  |  |  |  |  |  |

_______________
(1)Amounts reclassified from comprehensive income primarily to interest expense within Boston Properties, Inc.’s Consolidated Statements of Operations.
The accompanying notes are an integral part of these consolidated financial statements.
4

Table of Contents

BOSTON PROPERTIES, INC. CONSOLIDATED STATEMENTS OF EQUITY (unaudited and in thousands)
| Common Stock |  | Additional Paid-in Capital |  | Dividends in Excess of Earnings |  | Treasury Stock, at cost |  | Accumulated Other Comprehensive Loss |  | Noncontrolling Interests - Common Units |  | Noncontrolling Interests - Property Partnerships |  | Total
| Shares |  | Amount |
Equity, December 31, 2022 | 156,758 |  |  | $ | 1,568 |  |  | $ | 6,539,147 |  |  | $ | (391,356) |  |  | $ | (2,722) |  |  | $ | (13,718) |  |  | $ | 683,583 |  |  | $ | 1,547,317 |  |  | $ | 8,363,819 |
Redemption of operating partnership units to common stock | 5 |  |  | — |  |  | 195 |  |  | — |  |  | — |  |  | — |  |  | (195) |  |  | — |  |  | — |
Allocated net income for the period | — |  |  | — |  |  | — |  |  | 77,890 |  |  | — |  |  | — |  |  | 9,078 |  |  | 18,660 |  |  | 105,628 |
Dividends/distributions declared | — |  |  | — |  |  | — |  |  | (153,693) |  |  | — |  |  | — |  |  | (18,361) |  |  | — |  |  | (172,054) |
Shares issued pursuant to stock purchase plan | 9 |  |  | — |  |  | 586 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 586 |
Net activity from stock option and incentive plan | 58 |  |  | — |  |  | 3,448 |  |  | — |  |  | — |  |  | — |  |  | 23,971 |  |  | — |  |  | 27,419 |
Contributions from noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 7,555 |  |  | 7,555 |
Distributions to noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (21,606) |  |  | (21,606) |
Effective portion of interest rate contracts | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (5,870) |  |  | (668) |  |  | — |  |  | (6,538) |
Amortization of interest rate contracts | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,374 |  |  | 157 |  |  | 144 |  |  | 1,675 |
Reallocation of noncontrolling interest | — |  |  | — |  |  | 5,938 |  |  | — |  |  | — |  |  | — |  |  | (5,938) |  |  | — |  |  | — |
Equity, March 31, 2023 | 156,830 |  |  | $ | 1,568 |  |  | $ | 6,549,314 |  |  | $ | (467,159) |  |  | $ | (2,722) |  |  | $ | (18,214) |  |  | $ | 691,627 |  |  | $ | 1,552,070 |  |  | $ | 8,306,484 |
Equity, December 31, 2021 | 156,545 |  |  | $ | 1,565 |  |  | $ | 6,497,730 |  |  | $ | (625,891) |  |  | $ | (2,722) |  |  | $ | (36,662) |  |  | $ | 642,655 |  |  | $ | 1,556,553 |  |  | $ | 8,033,228 |
Redemption of operating partnership units to common stock | 141 |  |  | 2 |  |  | 5,026 |  |  | — |  |  | — |  |  | — |  |  | (5,028) |  |  | — |  |  | — |
Allocated net income for the period | — |  |  | — |  |  | — |  |  | 143,047 |  |  | — |  |  | — |  |  | 16,361 |  |  | 17,549 |  |  | 176,957 |
Dividends/distributions declared | — |  |  | — |  |  | — |  |  | (153,577) |  |  | — |  |  | — |  |  | (17,920) |  |  | — |  |  | (171,497) |
Shares issued pursuant to stock purchase plan | 5 |  |  | — |  |  | 600 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 600 |
Net activity from stock option and incentive plan | 21 |  |  | — |  |  | (133) |  |  | — |  |  | — |  |  | — |  |  | 19,054 |  |  | — |  |  | 18,921 |
Contributions from noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 849 |  |  | 849 |
Distributions to noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (26,640) |  |  | (26,640) |
Effective portion of interest rate contracts | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 6,800 |  |  | 765 |  |  | — |  |  | 7,565 |
Amortization of interest rate contracts | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,377 |  |  | 155 |  |  | 144 |  |  | 1,676 |
Reallocation of noncontrolling interest | — |  |  | — |  |  | 6,440 |  |  | — |  |  | — |  |  | — |  |  | (6,440) |  |  | — |  |  | — |
Equity, March 31, 2022 | 156,712 |  |  | $ | 1,567 |  |  | $ | 6,509,663 |  |  | $ | (636,421) |  |  | $ | (2,722) |  |  | $ | (28,485) |  |  | $ | 649,602 |  |  | $ | 1,548,455 |  |  | $ | 8,041,659 |

The accompanying notes are an integral part of these consolidated financial statements.
5

Table of Contents

BOSTON PROPERTIES, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited and in thousands)
| Three months ended March 31, |  |
| 2023 |  | 2022 |  |
Cash flows from operating activities: |  |  |  |  |
Net income | $ | 105,628 |  |  | $ | 176,957 |  |  |
Adjustments to reconcile net income to net cash provided by operating activities: |  |  |  |  |
Depreciation and amortization | 208,734 |  |  | 177,624 |  |  |
Amortization of right of use assets - operating leases | 652 |  |  | 529 |  |  |
Non-cash compensation expense | 26,262 |  |  | 21,235 |  |  |
Loss (income) from unconsolidated joint ventures | 7,569 |  |  | (2,189) |  |  |
Distributions of net cash flow from operations of unconsolidated joint ventures | 5,996 |  |  | 6,385 |  |  |
Losses (gains) from investments in securities | (1,665) |  |  | 2,262 |  |  |
Allowance for current expected credit losses | 45 |  |  | (234) |  |  |
Non-cash portion of interest expense | 7,387 |  |  | 5,960 |  |  |
Gains on sales of real estate | — |  |  | (22,701) |  |  |
Unrealized gain on non-real estate investment | (259) |  |  | — |  |  |
Change in assets and liabilities: |  |  |  |  |
Tenant and other receivables, net | 7,518 |  |  | 17,635 |  |  |
Notes receivable, net | — |  |  | (8) |  |  |
Accrued rental income, net | (18,619) |  |  | (29,567) |  |  |
Prepaid expenses and other assets | (97,762) |  |  | (71,731) |  |  |
Lease liabilities - operating leases | (251) |  |  | 116 |  |  |
Accounts payable and accrued expenses | (8,505) |  |  | (31,800) |  |  |
Accrued interest payable | 10,626 |  |  | (3,933) |  |  |
Other liabilities | 16,565 |  |  | (12,146) |  |  |
Tenant leasing costs | (35,911) |  |  | (14,904) |  |  |
Total adjustments | 128,382 |  |  | 42,533 |  |  |
Net cash provided by operating activities | 234,010 |  |  | 219,490 |  |  |
Cash flows from investing activities: |  |  |  |  |
Acquisitions of real estate | — |  |  | (3,580) |  |  |
Construction in progress | (119,682) |  |  | (100,313) |  |  |
Building and other capital improvements | (39,100) |  |  | (26,811) |  |  |
Tenant improvements | (67,175) |  |  | (55,168) |  |  |
Proceeds from sales of real estate | — |  |  | 35,397 |  |  |
Capital contributions to unconsolidated joint ventures | (60,745) |  |  | (26,293) |  |  |
Capital distributions from unconsolidated joint ventures | — |  |  | 20,095 |  |  |
Investment in non-real estate investments | (733) |  |  | — |  |  |
Investments in securities, net | 1,843 |  |  | 5,338 |  |  |
Net cash used in investing activities | (285,592) |  |  | (151,335) |  |  |
Cash flows from financing activities: |  |  |  |  |
Borrowings on unsecured line of credit | — |  |  | 190,000 |  |  |
Repayments of unsecured line of credit | — |  |  | (80,000) |  |  |
Borrowings on unsecured term loan | 1,200,000 |  |  | — |  |  |
Repayment of unsecured term loan | (730,000) |  |  | — |  |  |
Deferred financing costs | (6,213) |  |  | (359) |  |  |
Net activity from equity transactions | 586 |  |  | (332) |  |  |
Dividends and distributions | (171,270) |  |  | (170,488) |  |  |

6

Table of Contents

BOSTON PROPERTIES, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited and in thousands)
| Three months ended March 31, |  |
| 2023 |  | 2022 |  |
Contributions from noncontrolling interests in property partnerships | 7,555 |  |  | 849 |  |  |
Distributions to noncontrolling interests in property partnerships | (21,606) |  |  | (26,640) |  |  |
Net cash provided by (used in) financing activities | 279,052 |  |  | (86,970) |  |  |
Net increase (decrease) in cash and cash equivalents and cash held in escrows | 227,470 |  |  | (18,815) |  |  |
Cash and cash equivalents and cash held in escrows, beginning of period | 736,812 |  |  | 501,158 |  |  |
Cash and cash equivalents and cash held in escrows, end of period | $ | 964,282 |  |  | $ | 482,343 |  |  |
Reconciliation of cash and cash equivalents and cash held in escrows: |  |  |  |  |
Cash and cash equivalents, beginning of period | $ | 690,333 |  |  | $ | 452,692 |  |  |
Cash held in escrows, beginning of period | 46,479 |  |  | 48,466 |  |  |
Cash and cash equivalents and cash held in escrows, beginning of period | $ | 736,812 |  |  | $ | 501,158 |  |  |
Cash and cash equivalents, end of period | $ | 918,952 |  |  | $ | 436,271 |  |  |
Cash held in escrows, end of period | 45,330 |  |  | 46,072 |  |  |
Cash and cash equivalents and cash held in escrows, end of period | $ | 964,282 |  |  | $ | 482,343 |  |  |
Supplemental disclosures: |  |  |  |  |
Cash paid for interest | $ | 125,698 |  |  | $ | 111,904 |  |  |
Interest capitalized | $ | 10,589 |  |  | $ | 13,740 |  |  |
Non-cash investing and financing activities: |  |  |  |  |
Write-off of fully depreciated real estate | $ | (56,391) |  |  | $ | (34,946) |  |  |
Change in real estate included in accounts payable and accrued expenses | $ | 11,692 |  |  | $ | 16,907 |  |  |
Dividends and distributions declared but not paid | $ | 171,427 |  |  | $ | 170,869 |  |  |
Conversions of noncontrolling interests to stockholders’ equity | $ | 195 |  |  | $ | 5,028 |  |  |
Issuance of restricted securities to employees and non-employee directors | $ | 46,516 |  |  | $ | 46,082 |  |  |

The accompanying notes are an integral part of these consolidated financial statements.
7

Table of Contents

BOSTON PROPERTIES LIMITED PARTNERSHIP CONSOLIDATED BALANCE SHEETS (unaudited and in thousands, except for unit amounts)
|  | March 31, 2023 |  | December 31, 2022
ASSETS |  |  |  |
Real estate, at cost (amounts related to variable interest entities (“VIEs”) of $6,832,119 and $6,789,029 at March 31, 2023 and December 31, 2022, respectively) |  | $ | 25,193,455 |  |  | $ | 25,022,149 |
Right of use assets - finance leases (amounts related to VIEs of $21,000 and $21,000 at March 31, 2023 and December 31, 2022, respectively) |  | 237,503 |  |  | 237,510 |
Right of use assets - operating leases |  | 166,699 |  |  | 167,351 |
Less: accumulated depreciation (amounts related to VIEs of $(1,405,167) and $(1,381,401) at March 31, 2023 and December 31, 2022, respectively) |  | (6,306,326) |  |  | (6,180,474) |
Total real estate |  | 19,291,331 |  |  | 19,246,536 |
Cash and cash equivalents (amounts related to VIEs of $233,981 and $259,658 at March 31, 2023 and December 31, 2022, respectively) |  | 918,952 |  |  | 690,333 |
Cash held in escrows |  | 45,330 |  |  | 46,479 |
Investments in securities |  | 32,099 |  |  | 32,277 |
Tenant and other receivables, net (amounts related to VIEs of $13,108 and $16,521 at March 31, 2023 and December 31, 2022, respectively) |  | 85,603 |  |  | 81,389 |
Related party note receivable, net |  | 78,544 |  |  | 78,576 |
Sales-type lease receivable, net |  | 13,028 |  |  | 12,811 |
Accrued rental income, net (amounts related to VIEs of $375,008 and $367,138 at March 31, 2023 and December 31, 2022, respectively) |  | 1,297,767 |  |  | 1,276,580 |
Deferred charges, net (amounts related to VIEs of $172,077 and $176,597 at March 31, 2023 and December 31, 2022, respectively) |  | 720,174 |  |  | 733,282 |
Prepaid expenses and other assets (amounts related to VIEs of $40,737 and $11,647 at March 31, 2023 and December 31, 2022, respectively) |  | 141,933 |  |  | 43,589 |
Investments in unconsolidated joint ventures |  | 1,752,617 |  |  | 1,715,911 |
Total assets |  | $ | 24,377,378 |  |  | $ | 23,957,763 |
LIABILITIES AND CAPITAL |  |  |  |
Liabilities: |  |  |  |
Mortgage notes payable, net (amounts related to VIEs of $3,273,553 and $3,272,368 at March 31, 2023 and December 31, 2022, respectively) |  | $ | 3,273,553 |  |  | $ | 3,272,368 |
Unsecured senior notes, net |  | 10,240,967 |  |  | 10,237,968 |
Unsecured line of credit |  | — |  |  | — |
Unsecured term loan, net |  | 1,194,916 |  |  | 730,000 |
Lease liabilities - finance leases (amounts related to VIEs of $20,641 and $20,604 at March 31, 2023 and December 31, 2022, respectively) |  | 250,567 |  |  | 249,335 |
Lease liabilities - operating leases |  | 204,435 |  |  | 204,686 |
Accounts payable and accrued expenses (amounts related to VIEs of $37,595 and $29,466 at March 31, 2023 and December 31, 2022, respectively) |  | 397,798 |  |  | 417,545 |
Dividends and distributions payable |  | 171,427 |  |  | 170,643 |
Accrued interest payable |  | 114,400 |  |  | 103,774 |
Other liabilities (amounts related to VIEs of $114,694 and $114,232 at March 31, 2023 and December 31, 2022, respectively) |  | 465,276 |  |  | 450,918 |
Total liabilities |  | 16,313,339 |  |  | 15,837,237 |
Commitments and contingencies (See Note 7) |  |  |  |
Redeemable deferred stock units— 103,454 and 97,853 units outstanding at redemption value at March 31, 2023 and December 31, 2022, respectively |  | 5,599 |  |  | 6,613 |

8

Table of Contents

BOSTON PROPERTIES LIMITED PARTNERSHIP CONSOLIDATED BALANCE SHEETS (unaudited and in thousands, except for unit amounts)
|  | March 31, 2023 |  | December 31, 2022
Noncontrolling interests: |  |  |  |
Redeemable partnership units— 16,527,638 and 16,531,172 common units and 2,131,785 and 1,679,175 long term incentive units outstanding at redemption value at March 31, 2023 and December 31, 2022, respectively |  | 1,074,648 |  |  | 1,280,886 |
Capital: |  |  |  |
Boston Properties Limited Partnership partners’ capital— 1,754,892 and 1,749,682 general partner units and 155,074,901 and 155,008,185 limited partner units outstanding at March 31, 2023 and December 31, 2022, respectively |  | 5,449,936 |  |  | 5,299,428 |
Accumulated other comprehensive loss |  | (18,214) |  |  | (13,718) |
Total partners’ capital |  | 5,431,722 |  |  | 5,285,710 |
Noncontrolling interests in property partnerships |  | 1,552,070 |  |  | 1,547,317 |
Total capital |  | 6,983,792 |  |  | 6,833,027 |
Total liabilities and capital |  | $ | 24,377,378 |  |  | $ | 23,957,763 |

The accompanying notes are an integral part of these consolidated financial statements.
9

Table of Contents
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited and in thousands, except for per unit amounts)

| Three months ended March 31, |  |
| 2023 |  | 2022 |  |  |  |  |  |
Revenue |  |  |  |  |  |  |  |  |
Lease | $ | 756,875 |  |  | $ | 718,120 |  |  |  |  |  |  |
Parking and other | 24,009 |  |  | 21,734 |  |  |  |  |  |  |
Hotel | 8,101 |  |  | 4,557 |  |  |  |  |  |  |
Development and management services | 8,980 |  |  | 5,831 |  |  |  |  |  |  |
Direct reimbursements of payroll and related costs from management services contracts | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
Total revenue | 803,200 |  |  | 754,307 |  |  |  |  |  |  |
Expenses |  |  |  |  |  |  |  |  |
Operating |  |  |  |  |  |  |  |  |
Rental | 291,308 |  |  | 270,255 |  |  |  |  |  |  |
Hotel | 6,671 |  |  | 4,840 |  |  |  |  |  |  |
General and administrative | 55,802 |  |  | 43,194 |  |  |  |  |  |  |
Payroll and related costs from management services contracts | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
Transaction costs | 911 |  |  | — |  |  |  |  |  |  |
Depreciation and amortization | 206,872 |  |  | 175,886 |  |  |  |  |  |  |
Total expenses | 566,799 |  |  | 498,240 |  |  |  |  |  |  |
Other income (expense) |  |  |  |  |  |  |  |  |
Income (loss) from unconsolidated joint ventures | (7,569) |  |  | 2,189 |  |  |  |  |  |  |
Gains on sales of real estate | — |  |  | 23,384 |  |  |  |  |  |  |
Interest and other income (loss) | 10,941 |  |  | 1,228 |  |  |  |  |  |  |
Gains (losses) from investments in securities | 1,665 |  |  | (2,262) |  |  |  |  |  |  |
Unrealized gain on non-real estate investment | 259 |  |  | — |  |  |  |  |  |  |
Interest expense | (134,207) |  |  | (101,228) |  |  |  |  |  |  |
Net income | 107,490 |  |  | 179,378 |  |  |  |  |  |  |
Net income attributable to noncontrolling interests |  |  |  |  |  |  |  |  |
Noncontrolling interests in property partnerships | (18,660) |  |  | (17,549) |  |  |  |  |  |  |
Net income attributable to Boston Properties Limited Partnership | $ | 88,830 |  |  | $ | 161,829 |  |  |  |  |  |  |
Basic earnings per common unit attributable to Boston Properties Limited Partnership |  |  |  |  |  |  |  |  |
Net income | $ | 0.51 |  |  | $ | 0.93 |  |  |  |  |  |  |
Weighted average number of common units outstanding | 174,652 |  |  | 174,276 |  |  |  |  |  |  |
Diluted earnings per common unit attributable to Boston Properties Limited Partnership |  |  |  |  |  |  |  |  |
Net income | $ | 0.51 |  |  | $ | 0.93 |  |  |  |  |  |  |
Weighted average number of common and common equivalent units outstanding | 174,892 |  |  | 174,630 |  |  |  |  |  |  |

The accompanying notes are an integral part of these consolidated financial statements.
10

Table of Contents
BOSTON PROPERTIES LIMITED PARTNERSHIP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited and in thousands)

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
Net income |  | $ | 107,490 |  |  | $ | 179,378 |  |  |  |  |  |  |
Other comprehensive income: |  |  |  |  |  |  |  |  |  |
Effective portion of interest rate contracts |  | (6,538) |  |  | 7,565 |  |  |  |  |  |  |
Amortization of interest rate contracts (1) |  | 1,675 |  |  | 1,676 |  |  |  |  |  |  |
Other comprehensive income (loss) |  | (4,863) |  |  | 9,241 |  |  |  |  |  |  |
Comprehensive income |  | 102,627 |  |  | 188,619 |  |  |  |  |  |  |
Comprehensive income attributable to noncontrolling interests |  | (18,804) |  |  | (17,693) |  |  |  |  |  |  |
Comprehensive income attributable to Boston Properties Limited Partnership |  | $ | 83,823 |  |  | $ | 170,926 |  |  |  |  |  |  |

_______________
(1)Amounts reclassified from comprehensive income primarily to interest expense within Boston Properties Limited Partnership’s Consolidated Statements of Operations.
The accompanying notes are an integral part of these consolidated financial statements.
11

Table of Contents

BOSTON PROPERTIES LIMITED PARTNERSHIP CONSOLIDATED STATEMENTS OF CAPITAL AND NONCONTROLLING INTERESTS (unaudited and in thousands)
| Units |  | Capital |  |
| General Partner |  | Limited Partner |  | Partners’ Capital (General and Limited Partners) |  | Accumulated Other Comprehensive Loss |  | Noncontrolling Interests - Property Partnerships |  | Total Capital |  | Noncontrolling Interests - Redeemable Partnership Units
Equity, December 31, 2022 | 1,750 |  |  | 155,008 |  |  | $ | 5,299,428 |  |  | $ | (13,718) |  |  | $ | 1,547,317 |  |  | $ | 6,833,027 |  |  | $ | 1,280,886 |
Net activity from contributions and unearned compensation | 5 |  |  | 62 |  |  | 4,032 |  |  | — |  |  | — |  |  | 4,032 |  |  | 23,973 |
Allocated net income for the period | — |  |  | — |  |  | 79,752 |  |  | — |  |  | 18,660 |  |  | 98,412 |  |  | 9,078 |
Distributions | — |  |  | — |  |  | (153,693) |  |  | — |  |  | — |  |  | (153,693) |  |  | (18,361) |
Conversion of redeemable partnership units | — |  |  | 5 |  |  | 195 |  |  | — |  |  | — |  |  | 195 |  |  | (195) |
Adjustment to reflect redeemable partnership units at redemption value | — |  |  | — |  |  | 220,222 |  |  | — |  |  | — |  |  | 220,222 |  |  | (220,222) |
Effective portion of interest rate contracts | — |  |  | — |  |  | — |  |  | (5,870) |  |  | — |  |  | (5,870) |  |  | (668) |
Amortization of interest rate contracts | — |  |  | — |  |  | — |  |  | 1,374 |  |  | 144 |  |  | 1,518 |  |  | 157 |
Contributions from noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | 7,555 |  |  | 7,555 |  |  | — |
Distributions to noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | (21,606) |  |  | (21,606) |  |  | — |
Equity, March 31, 2023 | 1,755 |  |  | 155,075 |  |  | $ | 5,449,936 |  |  | $ | (18,214) |  |  | $ | 1,552,070 |  |  | $ | 6,983,792 |  |  | $ | 1,074,648 |
Equity, December 31, 2021 | 1,746 |  |  | 154,799 |  |  | $ | 4,173,290 |  |  | $ | (36,662) |  |  | $ | 1,556,553 |  |  | $ | 5,693,181 |  |  | $ | 2,078,603 |
Net activity from contributions and unearned compensation | — |  |  | 25 |  |  | 467 |  |  | — |  |  | — |  |  | 467 |  |  | 19,054 |
Allocated net income for the period | — |  |  | — |  |  | 145,468 |  |  | — |  |  | 17,549 |  |  | 163,017 |  |  | 16,361 |
Distributions | — |  |  | — |  |  | (153,577) |  |  | — |  |  | — |  |  | (153,577) |  |  | (17,920) |
Conversion of redeemable partnership units | 3 |  |  | 138 |  |  | 5,028 |  |  | — |  |  | — |  |  | 5,028 |  |  | (5,028) |
Adjustment to reflect redeemable partnership units at redemption value | — |  |  | — |  |  | (255,844) |  |  | — |  |  | — |  |  | (255,844) |  |  | 255,844 |
Effective portion of interest rate contracts | — |  |  | — |  |  | — |  |  | 6,800 |  |  | — |  |  | 6,800 |  |  | 765 |
Amortization of interest rate contracts | — |  |  | — |  |  | — |  |  | 1,377 |  |  | 144 |  |  | 1,521 |  |  | 155 |
Contributions from noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | 849 |  |  | 849 |  |  | — |
Distributions to noncontrolling interests in property partnerships | — |  |  | — |  |  | — |  |  | — |  |  | (26,640) |  |  | (26,640) |  |  | — |
Equity, March 31, 2022 | 1,749 |  |  | 154,962 |  |  | $ | 3,914,832 |  |  | $ | (28,485) |  |  | $ | 1,548,455 |  |  | $ | 5,434,802 |  |  | $ | 2,347,834 |

The accompanying notes are an integral part of these consolidated financial statements.
12

Table of Contents

BOSTON PROPERTIES LIMITED PARTNERSHIP CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited and in thousands)
| Three months ended March 31, |  |
| 2023 |  | 2022 |  |
Cash flows from operating activities: |  |  |  |  |
Net income | $ | 107,490 |  |  | $ | 179,378 |  |  |
Adjustments to reconcile net income to net cash provided by operating activities: |  |  |  |  |
Depreciation and amortization | 206,872 |  |  | 175,886 |  |  |
Amortization of right of use assets - operating leases | 652 |  |  | 529 |  |  |
Non-cash compensation expense | 26,262 |  |  | 21,235 |  |  |
Loss (income) from unconsolidated joint ventures | 7,569 |  |  | (2,189) |  |  |
Distributions of net cash flow from operations of unconsolidated joint ventures | 5,996 |  |  | 6,385 |  |  |
Losses (gains) from investments in securities | (1,665) |  |  | 2,262 |  |  |
Allowance for current expected credit losses | 45 |  |  | (234) |  |  |
Non-cash portion of interest expense | 7,387 |  |  | 5,960 |  |  |
Gains on sales of real estate | — |  |  | (23,384) |  |  |
Unrealized gain on non-real estate investment | (259) |  |  | — |  |  |
Change in assets and liabilities: |  |  |  |  |
Tenant and other receivables, net | 7,518 |  |  | 17,635 |  |  |
Notes receivable, net | — |  |  | (8) |  |  |
Accrued rental income, net | (18,619) |  |  | (29,567) |  |  |
Prepaid expenses and other assets | (97,762) |  |  | (71,731) |  |  |
Lease liabilities - operating leases | (251) |  |  | 116 |  |  |
Accounts payable and accrued expenses | (8,505) |  |  | (31,800) |  |  |
Accrued interest payable | 10,626 |  |  | (3,933) |  |  |
Other liabilities | 16,565 |  |  | (12,146) |  |  |
Tenant leasing costs | (35,911) |  |  | (14,904) |  |  |
Total adjustments | 126,520 |  |  | 40,112 |  |  |
Net cash provided by operating activities | 234,010 |  |  | 219,490 |  |  |
Cash flows from investing activities: |  |  |  |  |
Acquisitions of real estate | — |  |  | (3,580) |  |  |
Construction in progress | (119,682) |  |  | (100,313) |  |  |
Building and other capital improvements | (39,100) |  |  | (26,811) |  |  |
Tenant improvements | (67,175) |  |  | (55,168) |  |  |
Proceeds from sales of real estate | — |  |  | 35,397 |  |  |
Capital contributions to unconsolidated joint ventures | (60,745) |  |  | (26,293) |  |  |
Capital distributions from unconsolidated joint ventures | — |  |  | 20,095 |  |  |
Investment in non-real estate investments | (733) |  |  | — |  |  |
Investments in securities, net | 1,843 |  |  | 5,338 |  |  |
Net cash used in investing activities | (285,592) |  |  | (151,335) |  |  |
Cash flows from financing activities: |  |  |  |  |
Borrowings on unsecured line of credit | — |  |  | 190,000 |  |  |
Repayments of unsecured line of credit | — |  |  | (80,000) |  |  |
Borrowings on unsecured term loan | 1,200,000 |  |  | — |  |  |
Repayment of unsecured term loan | (730,000) |  |  | — |  |  |
Deferred financing costs | (6,213) |  |  | (359) |  |  |

13

Table of Contents

BOSTON PROPERTIES LIMITED PARTNERSHIP CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited and in thousands)
| Three months ended March 31, |  |
| 2023 |  | 2022 |  |
Net activity from equity transactions | 586 |  |  | (332) |  |  |
Distributions | (171,270) |  |  | (170,488) |  |  |
Contributions from noncontrolling interests in property partnerships | 7,555 |  |  | 849 |  |  |
Distributions to noncontrolling interests in property partnerships | (21,606) |  |  | (26,640) |  |  |
Net cash provided by (used in) financing activities | 279,052 |  |  | (86,970) |  |  |
Net increase (decrease) in cash and cash equivalents and cash held in escrows | 227,470 |  |  | (18,815) |  |  |
Cash and cash equivalents and cash held in escrows, beginning of period | 736,812 |  |  | 501,158 |  |  |
Cash and cash equivalents and cash held in escrows, end of period | $ | 964,282 |  |  | $ | 482,343 |  |  |
Reconciliation of cash and cash equivalents and cash held in escrows: |  |  |  |  |
Cash and cash equivalents, beginning of period | $ | 690,333 |  |  | $ | 452,692 |  |  |
Cash held in escrows, beginning of period | 46,479 |  |  | 48,466 |  |  |
Cash and cash equivalents and cash held in escrows, beginning of period | $ | 736,812 |  |  | $ | 501,158 |  |  |
Cash and cash equivalents, end of period | $ | 918,952 |  |  | $ | 436,271 |  |  |
Cash held in escrows, end of period | 45,330 |  |  | 46,072 |  |  |
Cash and cash equivalents and cash held in escrows, end of period | $ | 964,282 |  |  | $ | 482,343 |  |  |
Supplemental disclosures: |  |  |  |  |
Cash paid for interest | $ | 125,698 |  |  | $ | 111,904 |  |  |
Interest capitalized | $ | 10,589 |  |  | $ | 13,740 |  |  |
Non-cash investing and financing activities: |  |  |  |  |
Write-off of fully depreciated real estate | $ | (55,142) |  |  | $ | (34,946) |  |  |
Change in real estate included in accounts payable and accrued expenses | $ | 11,692 |  |  | $ | 16,907 |  |  |
Distributions declared but not paid | $ | 171,427 |  |  | $ | 170,869 |  |  |
Conversions of redeemable partnership units to partners’ capital | $ | 195 |  |  | $ | 5,028 |  |  |
Issuance of restricted securities to employees and non-employee directors | $ | 46,516 |  |  | $ | 46,082 |  |  |

The accompanying notes are an integral part of these consolidated financial statements.
14

Table of Contents
BOSTON PROPERTIES, INC. AND BOSTON PROPERTIES LIMITED PARTNERSHIP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1. Organization
BXP is a fully integrated, self-administered and self-managed REIT. BXP is the sole general partner of BPLP, its operating partnership, and at March 31, 2023 owned an approximate 89.4% (89.6% at December 31, 2022) general and limited partnership interest in BPLP. Unless stated otherwise or the context requires, the “Company” refers to BXP and its subsidiaries, including BPLP and its consolidated subsidiaries. Partnership interests in BPLP include:
•common units of partnership interest (also referred to as “OP Units”) and
•long term incentive units of partnership interest (also referred to as “LTIP Units”)
Unless specifically noted otherwise, all references to OP Units exclude units held by BXP. A holder of an OP Unit may present the OP Unit to BPLP for redemption at any time (subject to restrictions agreed upon at the time of issuance of OP Units to particular holders that may restrict such redemption right for a period of time, generally one year from issuance). Upon presentation of an OP Unit for redemption, BPLP is obligated to redeem the OP Unit for cash equal to the value of a share of common stock of BXP (“Common Stock”). In lieu of such cash redemption, BXP may elect to acquire the OP Unit for one share of Common Stock. Because the number of shares of Common Stock outstanding at all times equals the number of OP Units that BXP owns, one share of Common Stock is generally the economic equivalent of one OP Unit, and the quarterly distribution that may be paid to the holder of an OP Unit equals the quarterly dividend that may be paid to the holder of a share of Common Stock.
The Company uses LTIP Units as a form of time-based, restricted equity compensation and as a form of performance-based equity compensation for employees, and has previously granted LTIP Units in the form of (1) 2012 outperformance plan awards (“2012 OPP Units”) and (2) 2013 - 2023 multi-year, long-term incentive program awards (also referred to as “MYLTIP Units”), each of which, upon the satisfaction of certain performance-based and time-based vesting conditions, is convertible into one OP Unit. The three-year measurement periods for the 2012 OPP Units and the 2013 - 2020 MYLTIP Units have ended and BXP’s total stockholder return (“TSR”) was sufficient for employees to earn and therefore become eligible to vest in a portion of the awards. Unless and until they are earned, the rights, preferences and privileges of the 2021 - 2023 MYLTIP Units differ from other LTIP Units granted to employees (including the 2012 OPP Units and the 2013 - 2020 MYLTIP Units, which have been earned). Therefore, unless specifically noted otherwise, all references to LTIP Units exclude the 2021 - 2023 MYLTIP Units. LTIP Units (including the earned 2012 OPP Units and the earned 2013 - 2020 MYLTIP Units), whether vested or not, will receive the same quarterly per unit distributions as OP Units, which equal per share dividends on Common Stock (See Notes 8 and 12).
Properties
At March 31, 2023, the Company owned or had joint venture interests in a portfolio of 192 commercial real estate properties (the “Properties”) aggregating approximately 54.5 million net rentable square feet of primarily premier workplaces, including 15 properties under construction/redevelopment totaling approximately 4.0 million net rentable square feet. At March 31, 2023, the Properties consisted of:
•171 office and life sciences properties (including 12 properties under construction/redevelopment);
•14 retail properties (including two properties under construction/redevelopment);
•six residential properties (including one property under construction); and
•one hotel.
The Company considers premier workplaces to be well-located buildings that are modern structures or have been modernized to compete with newer buildings and professionally managed and maintained. As such, these properties attract high-quality tenants and command upper-tier rental rates.
2. Summary of Significant Accounting Policies
BXP does not have any other significant assets, liabilities or operations, other than its investment in BPLP, nor does it have employees of its own. BPLP, not BXP, generally executes all significant business relationships other than transactions involving securities of BXP. All majority-owned subsidiaries and joint ventures over which the Company has financial and operating control and variable interest entities (“VIEs”) in which the Company has determined it is the primary beneficiary are included in the consolidated financial statements. All significant
15

Table of Contents
intercompany balances and transactions have been eliminated in consolidation. The Company accounts for all other unconsolidated joint ventures using the equity method of accounting. Accordingly, the Company’s share of the earnings of these joint ventures and companies is included in consolidated net income.
The accompanying interim financial statements are unaudited; however, the financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and in conjunction with the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, they do not include all of the disclosures required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting solely of normal recurring matters) necessary for a fair statement of the financial statements for these interim periods have been included. The results of operations for the interim periods are not necessarily indicative of the results to be obtained for other interim periods or for the full fiscal year. The year-end consolidated balance sheet data was derived from audited financial statements, but does not include all disclosure required by GAAP. These financial statements should be read in conjunction with the Company’s financial statements and notes thereto contained in the Company’s Annual Report in the Company’s Form 10-K for its fiscal year ended December 31, 2022.
The Company bases its estimates on historical experience and on various other assumptions that it considers to be reasonable under the circumstances, including the impact of extraordinary events such as the coronavirus (“COVID-19”) pandemic, the results of which form the basis for making significant judgments about the carrying values of assets and liabilities, assessments of future collectability, and other areas of the financial statements that are impacted by the use of estimates. Actual results may differ from these estimates under different assumptions or conditions.
Variable Interest Entities (VIEs)
Consolidated VIEs are those for which the Company is considered to be the primary beneficiary of a VIE. The primary beneficiary is the entity that has a controlling financial interest in the VIE, which is defined by the entity having both of the following characteristics: (1) the power to direct the activities that, when taken together, most significantly impact the VIE’s performance and (2) the obligation to absorb losses or the right to receive the returns from the VIE that could potentially be significant to the VIE. The assets of each VIE are only available to satisfy such VIE's respective liabilities. The Company has determined that it is the primary beneficiary for six of the seven entities that are VIEs as of March 31, 2023.
Consolidated Variable Interest Entities
As of March 31, 2023, BXP has identified six consolidated VIEs, including BPLP. Excluding BPLP, the VIEs consisted of the following five in-service properties: 767 Fifth Avenue (the General Motors Building), Times Square Tower, 601 Lexington Avenue, Atlantic Wharf Office Building and 100 Federal Street.
The Company consolidates these VIEs because it is the primary beneficiary. The third parties’ interests in these consolidated entities (excluding BPLP’s interest) are reflected as noncontrolling interests in property partnerships in the accompanying consolidated financial statements (See Note 8).
In addition, BXP’s only significant asset is its investment in BPLP and, consequently, substantially all of BXP’s assets and liabilities are the assets and liabilities of BPLP.
Variable Interest Entities Not Consolidated
As of March 31, 2023, the Company has determined that the Platform 16 Holdings LP joint venture is a VIE. The Company does not consolidate this entity as the Company does not have the power to direct the activities that, when taken together, most significantly impact the VIE’s performance and, therefore, the Company is not considered to be the primary beneficiary.
Fair Value of Financial Instruments
The Company follows the authoritative guidance for fair value measurements when valuing its financial instruments for disclosure purposes. The table below presents for March 31, 2023 and December 31, 2022, the financial instruments that are being valued for disclosure purposes as well as the Level at which they are categorized (as defined in Accounting Standards Codification (“ASC”) 820 “Fair Value Measurements and Disclosures”).
16

Table of Contents

Financial Instrument | Level
Unsecured senior notes (1) | Level 1
Related party note receivable | Level 3
Sales-type lease receivable | Level 3
Mortgage notes payable | Level 3
Unsecured line of credit | Level 3
Unsecured term loan | Level 3

_______________
(1)If trading volume for the period is low, the valuation could be categorized as Level 2.
Because the Company’s valuations of its financial instruments are based on the above Levels and involve the use of estimates, the actual fair values of its financial instruments may differ materially from those estimates.
In addition, the Company’s estimated fair values for these instruments as of the end of the applicable reporting period are not projections of, nor necessarily indicative of, estimated or actual fair values in future reporting periods.
The following table presents the aggregate carrying value of the Company’s related party note receivable, net, sales-type lease receivable, net, mortgage notes payable, net, unsecured senior notes, net, unsecured line of credit and unsecured term loan, net and the Company’s corresponding estimate of fair value as of March 31, 2023 and December 31, 2022 (in thousands):

| March 31, 2023 |  | December 31, 2022
| Carrying Amount |  | Estimated Fair Value |  | Carrying Amount |  | Estimated Fair Value
Related party note receivable, net | $ | 78,544 |  |  | $ | 79,472 |  |  | $ | 78,576 |  |  | $ | 79,220 |
Sales-type lease receivable, net | 13,028 |  |  | 13,086 |  |  | 12,811 |  |  | 13,045 |
Total | $ | 91,572 |  |  | $ | 92,558 |  |  | $ | 91,387 |  |  | $ | 92,265 |
Mortgage notes payable, net | $ | 3,273,553 |  |  | $ | 2,826,826 |  |  | $ | 3,272,368 |  |  | $ | 2,744,479 |
Unsecured senior notes, net | 10,240,967 |  |  | 8,759,487 |  |  | 10,237,968 |  |  | 9,135,512 |
Unsecured line of credit | — |  |  | — |  |  | — |  |  | — |
Unsecured term loan, net | 1,194,916 |  |  | 1,200,000 |  |  | 730,000 |  |  | 730,000 |
Total | $ | 14,709,436 |  |  | $ | 12,786,313 |  |  | $ | 14,240,336 |  |  | $ | 12,609,991 |

3. Real Estate
BXP
Real estate consisted of the following at March 31, 2023 and December 31, 2022 (in thousands):

|  | March 31, 2023 |  | December 31, 2022
Land |  | $ | 5,189,287 |  |  | $ | 5,189,811 |
Right of use assets - finance leases |  | 237,503 |  |  | 237,510 |
Right of use assets - operating leases |  | 166,699 |  |  | 167,351 |
Land held for future development (1) |  | 626,137 |  |  | 721,501 |
Buildings and improvements |  | 15,783,962 |  |  | 15,820,724 |
Tenant improvements |  | 3,291,322 |  |  | 3,200,743 |
Furniture, fixtures and equipment |  | 50,242 |  |  | 50,310 |
Construction in progress |  | 618,770 |  |  | 406,574 |
Total |  | 25,963,922 |  |  | 25,794,524 |
Less: Accumulated depreciation |  | (6,424,547) |  |  | (6,298,082) |
|  | $ | 19,539,375 |  |  | $ | 19,496,442 |

_______________
(1)Includes pre-development costs.
17

Table of Contents
BPLP
Real estate consisted of the following at March 31, 2023 and December 31, 2022 (in thousands):

|  | March 31, 2023 |  | December 31, 2022
Land |  | $ | 5,094,578 |  |  | $ | 5,095,102 |
Right of use assets - finance leases |  | 237,503 |  |  | 237,510 |
Right of use assets - operating leases |  | 166,699 |  |  | 167,351 |
Land held for future development (1) |  | 626,137 |  |  | 721,501 |
Buildings and improvements |  | 15,512,406 |  |  | 15,547,919 |
Tenant improvements |  | 3,291,322 |  |  | 3,200,743 |
Furniture, fixtures and equipment |  | 50,242 |  |  | 50,310 |
Construction in progress |  | 618,770 |  |  | 406,574 |
Total |  | 25,597,657 |  |  | 25,427,010 |
Less: Accumulated depreciation |  | (6,306,326) |  |  | (6,180,474) |
|  | $ | 19,291,331 |  |  | $ | 19,246,536 |

_______________
(1)Includes pre-development costs.
Developments/Redevelopments
On January 5, 2023, the Company commenced the development of 290 Binney Street, an approximately 566,000 net rentable square foot laboratory/life sciences project in Cambridge, Massachusetts. Concurrent with the commencement of this project, the Kendall Center Blue Parking Garage was taken out of service and demolished to support the development of this project. 290 Binney Street is 100% pre-leased to AstraZeneca.
On January 30, 2023, the Company commenced the redevelopment of 300 Binney Street at Kendall Center in Cambridge, Massachusetts. 300 Binney Street consisted of an approximately 195,000 net rentable square foot premier workplace that is being redeveloped into approximately 236,000 net rentable square feet of laboratory/life sciences space. BXP and BPLP recognized approximately $11.0 million of depreciation expense during the three months ended March 31, 2023 associated with the acceleration of depreciation on the assets being removed from service and demolished as part of the redevelopment of the property. The project is 100% pre-leased to the Broad Institute.
4. Leases
The Company estimates the collectability of its accrued rent and accounts receivable balances related to lease revenue. When evaluating the collectability of these accrued rent and accounts receivable balances, management considers tenant creditworthiness, current economic trends, including the impact of the COVID-19 pandemic on tenants’ businesses, and changes in tenants’ payment patterns, on a lease-by-lease basis. If the Company determines that the accrued rent and/or accounts receivable balances are no longer probable of collection then the balances are written-off and the lease is recognized on a cash basis.
If applicable, information related to write-offs of accrued rent, net balances and accounts receivable, net balances and reinstatements of accrued rent balances for the Company’s unconsolidated joint ventures can be found in Note 5.
18

Table of Contents
Lessor
The following table summarizes the components of lease revenue recognized for its operating and sales-type leases during the three months ended March 31, 2023 and 2022 included within the Company's Consolidated Statements of Operations (in thousands):

|  | Three months ended March 31, |  |
Lease Revenue |  | 2023 |  | 2022 |  |  |  |
Fixed contractual payments |  | $ | 621,646 |  |  | $ | 599,607 |  |  |  |  |
Variable lease payments |  | 135,003 |  |  | 118,513 |  |  |  |  |
Sales-type lease income |  | 226 |  |  | — |  |  |  |  |
|  | $ | 756,875 |  |  | $ | 718,120 |  |  |  |  |

5. Investments in Unconsolidated Joint Ventures
The investments in unconsolidated joint ventures consist of the following at March 31, 2023 and December 31, 2022:

|  |  |  |  |  | Carrying Value of Investment (1)
Entity |  | Properties |  | Nominal % Ownership |  | March 31, 2023 |  | December 31, 2022
|  |  |  |  |  | (in thousands)
Square 407 Limited Partnership |  | Market Square North |  | 50.00 | % |  | $ | (6,097) |  |  | $ | (6,198) |
BP/CRF Metropolitan Square LLC |  | Metropolitan Square |  | 20.00 | % |  | (38,782) |  |  | (37,629) |
901 New York, LLC |  | 901 New York Avenue |  | 25.00 | % | (2) | (12,311) |  |  | (12,493) |
WP Project Developer LLC |  | Wisconsin Place Land and Infrastructure |  | 33.33 | % | (3) | 31,723 |  |  | 31,971 |
500 North Capitol Venture LLC |  | 500 North Capitol Street, NW |  | 30.00 | % |  | (8,941) |  |  | (9,185) |
501 K Street LLC |  | 1001 6th Street |  | 50.00 | % | (4) | 43,661 |  |  | 42,922 |
Podium Developer LLC |  | The Hub on Causeway - Podium |  | 50.00 | % |  | 45,622 |  |  | 46,839 |
Residential Tower Developer LLC |  | Hub50House |  | 50.00 | % |  | 42,046 |  |  | 45,414 |
Hotel Tower Developer LLC |  | The Hub on Causeway - Hotel Air Rights |  | 50.00 | % |  | 12,582 |  |  | 12,366 |
Office Tower Developer LLC |  | 100 Causeway Street |  | 50.00 | % |  | 59,811 |  |  | 59,716 |
1265 Main Office JV LLC |  | 1265 Main Street |  | 50.00 | % |  | 3,605 |  |  | 3,465 |
BNY Tower Holdings LLC |  | Dock 72 |  | 50.00 | % | (5) | (15,362) |  |  | (19,921) |
CA-Colorado Center, LLC |  | Colorado Center |  | 50.00 | % |  | 234,635 |  |  | 233,862 |
7750 Wisconsin Avenue LLC |  | 7750 Wisconsin Avenue |  | 50.00 | % |  | 51,549 |  |  | 52,152 |
BP-M 3HB Venture LLC |  | 3 Hudson Boulevard |  | 25.00 | % |  | 115,966 |  |  | 116,397 |
SMBP Venture LP |  | Santa Monica Business Park |  | 55.00 | % |  | 161,786 |  |  | 164,735 |
Platform 16 Holdings LP |  | Platform 16 |  | 55.00 | % | (6) | 171,010 |  |  | 158,109 |
Gateway Portfolio Holdings LLC |  | Gateway Commons |  | 50.00 | % |  | 337,535 |  |  | 324,038 |
Rosecrans-Sepulveda Partners 4, LLC |  | Beach Cities Media Campus |  | 50.00 | % |  | 26,987 |  |  | 27,000 |
Safeco Plaza REIT LLC |  | Safeco Plaza |  | 33.67 | % | (7) | 68,196 |  |  | 69,785 |
360 PAS Holdco LLC |  | 360 Park Avenue South |  | 42.21 | % | (8) | 116,828 |  |  | 114,992 |
PR II/BXP Reston Gateway LLC |  | Reston Next Residential |  | 20.00 | % | (9) | 11,431 |  |  | 11,351 |
751 Gateway Holdings LLC |  | 751 Gateway |  | 49.00 | % |  | 85,430 |  |  | 80,714 |
200 Fifth Avenue JV LLC |  | 200 Fifth Avenue |  | 26.69 | % |  | 114,919 |  |  | 120,083 |
ABXP Worldgate Investments LLC |  | 13100 and 13150 Worldgate Drive |  | 50.00 | % |  | 17,295 |  |  | N/A
|  |  |  |  |  | $ | 1,671,124 |  |  | $ | 1,630,485 |

19

Table of Contents
_______________
(1)Investments with deficit balances aggregating approximately $81.5 million and $85.4 million at March 31, 2023 and December 31, 2022, respectively, are included within Other Liabilities in the Company’s Consolidated Balance Sheets.
(2)The Company’s economic ownership has increased based on the achievement of certain return thresholds. At March 31, 2023 and December 31, 2022, the Company’s economic ownership was approximately 50%.
(3)The Company’s wholly-owned subsidiary that owns Wisconsin Place Office also owns a 33.33% interest in the joint venture entity that owns the land, parking garage and infrastructure of the project.
(4)Under the joint venture agreement for this land parcel, the partner will be entitled to up to two additional payments from the venture based on increases in total entitled square footage of the project in excess of 520,000 square feet and achieving certain project returns at stabilization.
(5)This property includes net equity balances from the amenity joint venture.
(6)This entity is a VIE (See Note 2).
(7)The Company’s ownership includes (1) a 33.0% direct interest in the joint venture, and (2) an additional 1% interest in each of the two entities through which each partner owns its interest in the joint venture.
(8)The Company’s ownership includes (1) a 35.79% direct interest in the joint venture, (2) an additional 5.837% indirect ownership in the joint venture, and (3) an additional 1% interest in each of the two entities through which each partner owns its interest in the joint venture. The Company’s partners will fund required capital until their aggregate investment is approximately 58% of all capital contributions; thereafter, the partners will fund required capital according to their percentage interests.
(9)The Company’s partner will fund required capital until its aggregate investment is approximately 80% of all capital contributions; thereafter, the partners will fund required capital according to their percentage interests.
Certain of the Company’s unconsolidated joint venture agreements include provisions whereby, at certain specified times, each partner has the right to initiate a purchase or sale of its interest in the joint ventures. Under certain of the Company’s joint venture agreements, if certain return thresholds are achieved, the partners or the Company will be entitled to an additional promoted interest or payments.
The combined summarized balance sheets of the Company’s unconsolidated joint ventures are as follows:

| March 31, 2023 |  | December 31, 2022
| (in thousands)
ASSETS |  |  |
Real estate and development in process, net (1) | $ | 6,649,580 |  |  | $ | 6,537,554 |
Other assets | 755,055 |  |  | 756,786 |
Total assets | $ | 7,404,635 |  |  | $ | 7,294,340 |
LIABILITIES AND MEMBERS’/PARTNERS’ EQUITY |  |  |
Mortgage and notes payable, net | $ | 4,037,789 |  |  | $ | 4,022,746 |
Other liabilities (2) | 723,660 |  |  | 716,271 |
Members’/Partners’ equity | 2,643,186 |  |  | 2,555,323 |
Total liabilities and members’/partners’ equity | $ | 7,404,635 |  |  | $ | 7,294,340 |
Company’s share of equity | $ | 1,271,419 |  |  | $ | 1,238,929 |
Basis differentials (3) | 399,705 |  |  | 391,556 |
Carrying value of the Company’s investments in unconsolidated joint ventures (4) | $ | 1,671,124 |  |  | $ | 1,630,485 |

_______________
(1)At March 31, 2023 and December 31, 2022, this amount included right of use assets - finance leases totaling approximately $248.9 million. At March 31, 2023 and December 31, 2022, this amount included right of use assets - operating leases totaling approximately $20.9 million and $21.2 million, respectively.
(2)At March 31, 2023 and December 31, 2022, this amount included lease liabilities - finance leases totaling approximately $381.0 million and $382.2 million, respectively. At March 31, 2023 and December 31, 2022, this amount included lease liabilities - operating leases totaling approximately $30.5 million.
(3)This amount represents the aggregate difference between the Company’s historical cost basis and the basis reflected at the joint venture level, which is typically amortized over the life of the related assets and liabilities. Basis differentials result from impairments of investments, acquisitions through joint ventures with no change in control and upon the transfer of assets that were previously owned by the Company into a joint venture. In addition, certain acquisition, transaction and other costs may not be reflected in the net assets at the joint venture level. The majority of the Company’s basis differences are as follows:
20

Table of Contents

| March 31, 2023 |  | December 31, 2022
Property | (in thousands)
Colorado Center | $ | 301,097 |  |  | $ | 301,820 |
200 Fifth Avenue | 99,381 |  |  | 94,497 |
Gateway Commons | 47,707 |  |  | 47,808 |
Dock 72 | (98,120) |  |  | (98,980) |

These basis differentials (excluding land) will be amortized over the remaining lives of the related assets and liabilities.
(4)Investments with deficit balances aggregating approximately $81.5 million and $85.4 million at March 31, 2023 and December 31, 2022, respectively, are reflected within Other Liabilities in the Company’s Consolidated Balance Sheets.
The combined summarized statements of operations of the Company’s unconsolidated joint ventures are as follows:

| Three months ended March 31, |  |
| 2023 |  | 2022 |  |  |  |  |  |
| (in thousands)
Total revenue (1) | $ | 151,423 |  |  | $ | 124,491 |  |  |  |  |  |  |
Expenses |  |  |  |  |  |  |  |  |
Operating | 57,206 |  |  | 45,641 |  |  |  |  |  |  |
Transaction costs | 74 |  |  | — |  |  |  |  |  |  |
Depreciation and amortization | 49,978 |  |  | 44,664 |  |  |  |  |  |  |
Total expenses | 107,258 |  |  | 90,305 |  |  |  |  |  |  |
Other income (expense) |  |  |  |  |  |  |  |  |
Loss from early extinguishment of debt | — |  |  | (1,327) |  |  |  |  |  |  |
Interest expense | (57,250) |  |  | (30,373) |  |  |  |  |  |  |
Unrealized loss on derivative instruments | (10,610) |  |  | — |  |  |  |  |  |  |
Net income (loss) | $ | (23,695) |  |  | $ | 2,486 |  |  |  |  |  |  |
Company’s share of net income (loss) | $ | (6,902) |  |  | $ | 3,394 |  |  |  |  |  |  |
Basis differential (2) | (667) |  |  | (1,205) |  |  |  |  |  |  |
Income (loss) from unconsolidated joint ventures | $ | (7,569) |  |  | $ | 2,189 |  |  |  |  |  |  |

_______________
(1)Includes straight-line rent adjustments of approximately $6.3 million and $27.5 million for the three months ended March 31, 2023 and 2022, respectively.
(2)Includes straight-line rent adjustments of approximately $0.3 million and $0.1 million for the three months ended March 31, 2023 and 2022, respectively. Also includes net above-/below-market rent adjustments of approximately $0.2 million and $0.1 million for the three months ended March 31, 2023 and 2022, respectively.
On January 31, 2023, the Company acquired a 50% interest in a joint venture that owns 13100 and 13150 Worldgate Drive located in Herndon, Virginia for a gross purchase price of approximately $17.0 million. The acquisition was completed with available cash. 13100 and 13150 Worldgate Drive consists of two vacant office buildings aggregating approximately 350,000 rentable square feet and a 1,200-space structured parking deck situated on a 10-acre site. The joint venture intends to redevelop the property for residential use. There can be no assurance that the joint venture will commence the development as currently contemplated or at all.
6. Debt
Unsecured Term Loan
On January 4, 2023, BPLP entered into a credit agreement that provided for a $1.2 billion unsecured term loan facility (the “2023 Unsecured Term Loan”). Under the credit agreement, BPLP may, at any time prior to the maturity date, increase total commitments by up to an additional $300.0 million in aggregate principal amount by increasing
21

Table of Contents
the existing 2023 Unsecured Term Loan or incurring one or more additional term loans, in each case, subject to syndication of the increase and other conditions. The 2023 Unsecured Term Loan matures on May 16, 2024, with one 12-month extension option, subject to customary conditions. Upon entry into the credit agreement, BPLP exercised its option to draw $1.2 billion under the 2023 Unsecured Term Loan, a portion of which was used to repay in full the $730.0 million outstanding under its prior unsecured credit agreement (the “2022 Unsecured Term Loan”), which was scheduled to mature on May 16, 2023. There was no prepayment penalty associated with the repayment of the 2022 Unsecured Term Loan.
At BPLP’s option, loans under the 2023 Unsecured Term Loan will bear interest at a rate per annum equal to (1) a base rate equal to the greatest of (a) the Federal Funds rate plus 0.5%, (b) the administrative agent’s prime rate, (c) Term SOFR for a one-month period plus 1.00%, and (d) 1.00%, in each case, plus a margin ranging from 0 to 60 basis points based on BPLP’s credit rating; or (2) a rate equal to adjusted Term SOFR with a one-month period plus a margin ranging from 75 to 160 basis points based on BPLP’s credit rating. Based on BPLP’s credit rating upon entry into the credit agreement, the base rate margin is 0 basis points and the Term SOFR margin is 0.85%. As of March 31, 2023, the 2023 Unsecured Term Loan bears interest at a rate equal to adjusted Term SOFR plus 0.85% (See Note 13). At March 31, 2023, BPLP had $1.2 billion outstanding under the 2023 Unsecured Term Loan.
7. Commitments and Contingencies
General
In the normal course of business, the Company guarantees its performance of services or indemnifies third parties against its negligence. In addition, in the normal course of business, the Company guarantees to certain tenants the obligations of its subsidiaries for the payment of tenant improvement allowances and brokerage commissions in connection with their leases and limited costs arising from delays in delivery of their premises.
The Company had letter of credit and performance obligations related to lender and development requirements that total approximately $25.7 million at March 31, 2023.
Certain of the Company’s joint venture agreements include provisions whereby, at certain specified times, each partner has the right to initiate a purchase or sale of its interest in the joint ventures. From time to time, under certain of the Company’s joint venture agreements, if certain return thresholds are achieved, either the Company or its partners may be entitled to an additional promoted interest or payments.
From time to time, the Company (or ventures in which the Company has an ownership interest) has agreed, and may in the future agree, to (1) guarantee portions of the principal, interest and other amounts in connection with their borrowings, (2) provide customary environmental indemnifications and nonrecourse carve-outs (e.g., guarantees against fraud, misrepresentation and bankruptcy) in connection with their borrowings and (3) provide guarantees to lenders, tenants and other third parties for the completion of development projects. The Company has agreements with its outside or joint venture partners whereby the partners agree to reimburse the joint venture for their share of any payments made under the guarantee. In some cases, the Company earns a fee from the applicable joint venture for providing the guarantee.
In connection with the refinancing of 767 Fifth Avenue’s (the General Motors Building) secured loan by the Company’s consolidated joint venture entity, 767 Venture, LLC, the Company guaranteed the consolidated entity’s obligation to fund various reserves for tenant improvement costs and allowances, leasing commissions and free rent obligations in lieu of cash deposits. As of March 31, 2023, the maximum funding obligation under the guarantee was approximately $12.5 million. The Company earns a fee from the joint venture for providing the guarantee and has an agreement with the outside partners to reimburse the joint venture for their share of any payments made under the guarantee. As of March 31, 2023, no amounts related to the guarantee were recorded as liabilities in the Company’s consolidated financial statements.
In connection with the development of the Company’s 290 Binney Street project located in Cambridge, Massachusetts, which commenced on January 5, 2023 (see Note 3), the Cambridge Zoning Ordinance requires that a building permit for the construction of a residential project of at least 400,000 square feet be issued prior to or concurrently with the issuance of a building permit for the commercial building. 290 Binney Street and the residential project are components of the Company’s future life sciences development project located in the heart of Kendall Square in Cambridge, Massachusetts, proposed to ultimately consist of two premier workplace properties aggregating approximately 1.1 million rentable square feet of life sciences space and the approximately 400,000 square foot residential building. The commencement of construction of each phase of the overall project is subject
22

Table of Contents
to various conditions, some of which are not within the Company’s control. There can be no assurance that the conditions will be satisfied or that the Company will commence the development of the remaining phases on the terms and schedule currently contemplated or at all.
Insurance
The Company’s property insurance program per occurrence limits are $1.0 billion for its portfolio insurance program, including coverage for acts of terrorism other than nuclear, biological, chemical or radiological terrorism (“Terrorism Coverage”). The Company also carries $1.35 billion of property insurance in excess of the $1.0 billion of coverage in the Company’s property insurance program for 601 Lexington Avenue, New York, New York, consisting of $750 million of property and Terrorism Coverage in excess of the Company’s property insurance program and $600 million of Terrorism Coverage only in excess of the $1.75 billion of coverage. Certain properties, including the General Motors Building located at 767 Fifth Avenue in New York, New York (“767 Fifth Avenue”), are currently insured in separate insurance programs. The property insurance program per occurrence limits for 767 Fifth Avenue are $1.625 billion, including Terrorism Coverage. The Company also currently carries nuclear, biological, chemical and radiological terrorism insurance coverage for acts of terrorism certified under the Federal Terrorism Risk Insurance Act (as amended, “TRIA”) (“NBCR Coverage”), which is provided by IXP as a direct insurer, for the properties in the Company’s portfolio, including 767 Fifth Avenue, but excluding certain other properties owned in joint ventures with third parties or which the Company manages. The per occurrence limit for NBCR Coverage is $1.0 billion. Under TRIA, after the payment of the required deductible and coinsurance, the NBCR Coverage provided by IXP is backstopped by the Federal Government if the aggregate industry insured losses resulting from a certified act of terrorism exceed a “program trigger.” The program trigger is $200 million, the coinsurance is 20% and the deductible is 20% of the premiums earned by the insurer for the year prior to a claim. If the Federal Government pays out for a loss under TRIA, it is mandatory that the Federal Government recoup the full amount of the loss from insurers offering TRIA coverage after the payment of the loss pursuant to a formula in TRIA. The Company may elect to terminate the NBCR Coverage if the Federal Government seeks recoupment for losses paid under TRIA, if TRIA is not extended after its expiration on December 31, 2027, if there is a change in its portfolio or for any other reason. The Company intends to continue to monitor the scope, nature and cost of available terrorism insurance.
The Company also currently carries earthquake insurance on its properties located in areas known to be subject to earthquakes. Specifically, the Company currently carries earthquake insurance which covers its San Francisco and Los Angeles regions with a $330 million per occurrence limit, and a $330 million annual aggregate limit, $30 million of which is provided by IXP, as a direct insurer. This insurance is subject to a deductible in the amount of 5% of the value of the affected property. In addition, the Company currently carries earthquake insurance which covers its Seattle region with a $110 million per occurrence limit, and a $110 million annual aggregate limit. This insurance is subject to a deductible in the amount of 2% of the value of the affected property. The amount of the Company’s earthquake insurance coverage may not be sufficient to cover losses from earthquakes. In addition, the amount of earthquake coverage could impact the Company’s ability to finance properties subject to earthquake risk. The Company may discontinue earthquake insurance or change the structure of its earthquake insurance program on some or all of its properties in the future if the premiums exceed the Company’s estimation of the value of the coverage.
IXP, a captive insurance company which is a wholly-owned subsidiary of the Company, acts as a direct insurer with respect to a portion of the Company’s earthquake insurance coverage for its Greater San Francisco and Los Angeles properties and the Company’s NBCR Coverage. Insofar as the Company owns IXP, it is responsible for its liquidity and capital resources, and the accounts of IXP are part of the Company’s consolidated financial statements. In particular, if a loss occurs which is covered by the Company’s NBCR Coverage but is less than the applicable program trigger under TRIA, IXP would be responsible for the full amount of the loss without any backstop by the Federal Government. IXP would also be responsible for any recoupment charges by the Federal Government in the event losses are paid out and its insurance policy is maintained after the payout by the Federal Government. If the Company experiences a loss and IXP is required to pay under its insurance policy, the Company would ultimately record the loss to the extent of the required payment. Therefore, insurance coverage provided by IXP should not be considered as the equivalent of third-party insurance, but rather as a modified form of self-insurance. In addition, BPLP has issued a guarantee to cover liabilities of IXP in the amount of $20.0 million.
The Company continues to monitor the state of the insurance market in general, and the scope and costs of coverage for acts of terrorism, earthquakes and pandemics, in particular, but the Company cannot anticipate what coverage will be available on commercially reasonable terms in future policy years. There are other types of losses, such as from wars, for which the Company cannot obtain insurance at all or at a reasonable cost. With respect to
23

Table of Contents
such losses and losses from acts of terrorism, earthquakes, pandemics or other catastrophic events, if the Company experiences a loss that is uninsured or that exceeds policy limits, the Company could lose the capital invested in the damaged properties, as well as the anticipated future revenues from those properties. Depending on the specific circumstances of each affected property, it is possible that the Company could be liable for mortgage indebtedness or other obligations related to the property. Any such loss could materially and adversely affect the Company’s business and financial condition and results of operations.
8. Noncontrolling Interests
Noncontrolling interests relate to the interests in BPLP not owned by BXP and interests in consolidated property partnerships not wholly-owned by the Company. As of March 31, 2023, the noncontrolling interests in BPLP consisted of 16,527,638 OP Units, 2,131,785 LTIP Units (including 514,854 LTIP Units earned by employees under the Company’s multi-year long-term incentive awards granted between 2012 and 2020 (i.e., 2012 OPP and 2013 - 2020 MYLTIP awards)), 350,989 2021 MYLTIP Units, 253,453 2022 MYLTIP Units and 322,053 2023 MYLTIP Units held by parties other than BXP.
Noncontrolling Interest—Common Units
During the three months ended March 31, 2023, 5,188 OP Units were presented by the holders for redemption (including an aggregate of 5,188 OP Units issued upon conversion of LTIP Units, 2012 OPP Units and MYLTIP Units) and were redeemed by BXP in exchange for an equal number of shares of Common Stock.
At March 31, 2023, BPLP had outstanding 350,989 2021 MYLTIP Units, 253,453 2022 MYLTIP Units and 322,053 2023 MYLTIP Units. Prior to the end of the respective three-year performance period for each plan, holders of MYLTIP Units are entitled to receive per unit distributions equal to one-tenth (10%) of the regular quarterly distributions payable on an OP Unit, but will not be entitled to receive any special distributions. After the three-year performance period for each plan has ended, (1) the number of MYLTIP Units, both vested and unvested, that MYLTIP award recipients have earned, if any, based on the establishment of a performance pool, will be entitled to receive distributions in an amount per unit equal to distributions, both regular and special, payable on an OP Unit and (2) with respect to the 2021 - 2023 MYLTIP, the Company will make a “catch-up” cash payment on the MYLTIP Units that are ultimately earned in an amount equal to the regular and special dividends, if any, declared during the performance period on Common Stock, less the distributions actually paid during the performance period on all of the awarded 2021 - 2023 MYLTIP Units.
On February 3, 2023, the measurement period for the Company’s 2020 MYLTIP awards ended and, based on BXP’s relative TSR performance, the final payout was determined to be 50% of target, or an aggregate of approximately $3.8 million (after giving effect to employee separations). As a result, an aggregate of 152,460 2020 MYLTIP Units that had been previously granted were automatically forfeited.
The following table presents BPLP’s distributions on the OP Units and LTIP Units (including the 2012 OPP Units, 2013 - 2019 MYLTIP Units and, after the February 3, 2023 measurement date, the 2020 MYLTIP Units) and its distributions on the 2020 MYLTIP Units (prior to the February 3, 2023 measurement date) and 2021 - 2023 MYLTIP Units (after the February 7, 2023 issuance date of the 2023 MYLTIP Units) that occurred during the three months ended March 31, 2023:

Record Date |  | Payment Date |  | Distributions per OP Unit and LTIP Unit |  | Distributions per MYLTIP Unit
March 31, 2023 |  | April 28, 2023 |  | $0.98 |  |  | $0.098 |
December 30, 2022 |  | January 30, 2023 |  | $0.98 |  |  | $0.098 |

24

Table of Contents
The following table presents BPLP’s distributions on the OP Units and LTIP Units (including the 2012 OPP Units, 2013 - 2018 MYLTIP Units and, after the February 4, 2022 measurement date, the 2019 MYLTIP Units) and its distributions on the 2019 MYLTIP Units (prior to the February 4, 2022 measurement date) and 2020 - 2022 MYLTIP Units (after the February 1, 2022 issuance date of the 2022 MYLTIP Units) that occurred during the three months ended March 31, 2022:

Record Date |  | Payment Date |  | Distributions per OP Unit and LTIP Unit |  | Distributions per MYLTIP Unit
March 31, 2022 |  | April 29, 2022 |  | $0.98 |  |  | $0.098 |
December 31, 2021 |  | January 28, 2022 |  | $0.98 |  |  | $0.098 |

A holder of an OP Unit may present the OP Unit to BPLP for redemption at any time (subject to restrictions agreed upon at the time of issuance of OP Units to particular holders that may restrict such redemption right for a period of time, generally one year from issuance). Upon presentation of an OP Unit for redemption, BPLP must redeem the OP Unit for cash equal to the then value of a share of Common Stock of BXP. BXP may, in its sole discretion, elect to assume and satisfy the redemption obligation by paying either cash or issuing one share of Common Stock. The value of the OP Units (other than OP Units owned by BXP), and LTIP Units (including the 2012 OPP Units and 2013 - 2020 MYLTIP Units), assuming in each case that all conditions had been met for the conversion thereof, had all of such units been redeemed at March 31, 2023 was approximately $1.1 billion based on the last reported price of a share of Common Stock on the New York Stock Exchange of $54.12 per share on March 31, 2023.
Noncontrolling Interests—Property Partnerships
The noncontrolling interests in property partnerships consist of the outside equity interests in ventures that are consolidated with the financial results of the Company because the Company exercises control over the entities that own the properties. The equity interests in these ventures that are not owned by the Company, totaling approximately $1.6 billion and $1.5 billion a t March 31, 2023 and December 31, 2022, respectively, are included in Noncontrolling Interests—Property Partnerships on the accompanying Consolidated Balance Sheets.
9. Stockholders’ Equity / Partners’ Capital
As of March 31, 2023, BXP had 156,829,793 shares of Common Stock outstanding.
As of March 31, 2023, BXP owned 1,754,892 general partnership units and 155,074,901 limited partnership units in BPLP.
On May 22, 2020, BXP renewed its “at the market” (“ATM”) stock offering program through which it may sell from time to time up to an aggregate of $600.0 million of its Common Stock through sales agents over a three-year period. Under the ATM stock offering program, BXP may also engage in forward sale transactions with affiliates of certain sales agents for the sale of its Common Stock on a forward basis. This program replaced BXP’s prior $600.0 million ATM stock offering program that was scheduled to expire on June 2, 2020. BXP intends to use the net proceeds from any offering for general business purposes, which may include investment opportunities and debt reduction. No shares of Common Stock have been issued under this ATM stock offering program.
During the three months ended March 31, 2023, BXP did not issue any shares of Common Stock upon the exercise of options to purchase Common Stock. As a result of the exercise period ending on February 1, 2023, 49,359 options were forfeited.
During the three months ended March 31, 2023, BXP issued 5,188 shares of Common Stock in connection with the redemption of an equal number of redeemable OP Units from limited partners.
The following table presents BXP’s dividends per share and BPLP’s distributions per OP Unit and LTIP Unit paid or declared in 2023 and during the three months ended March 31, 2022:
25

Table of Contents

Record Date |  | Payment Date |  | Dividend (Per Share) |  | Distribution (Per Unit)
March 31, 2023 |  | April 28, 2023 |  | $0.98 |  |  | $0.98 |
December 30, 2022 |  | January 30, 2023 |  | $0.98 |  |  | $0.98 |
March 31, 2022 |  | April 29, 2022 |  | $0.98 |  |  | $0.98 |
December 31, 2021 |  | January 28, 2022 |  | $0.98 |  |  | $0.98 |

10. Segment Information
The following tables present reconciliations of Net Income Attributable to Boston Properties, Inc. to the Company’s share of Net Operating Income and Net Income Attributable to Boston Properties Limited Partnership to the Company’s share of Net Operating Income for the three months ended March 31, 2023 and 2022.
BXP

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
|  | (in thousands)
Net income attributable to Boston Properties, Inc. |  | $ | 77,890 |  |  | $ | 143,047 |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership |  | 9,078 |  |  | 16,361 |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  |  |  |  |  |
Interest expense |  | 134,207 |  |  | 101,228 |  |  |  |  |  |  |
Net operating income from unconsolidated joint ventures |  | 40,756 |  |  | 37,321 |  |  |  |  |  |  |
Depreciation and amortization expense |  | 208,734 |  |  | 177,624 |  |  |  |  |  |  |
Transaction costs |  | 911 |  |  | — |  |  |  |  |  |  |
Payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
General and administrative expense |  | 55,802 |  |  | 43,194 |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |
Net operating income attributable to noncontrolling interests in property partnerships |  | 47,097 |  |  | 47,055 |  |  |  |  |  |  |
Unrealized gain on non-real estate investment |  | 259 |  |  | — |  |  |  |  |  |  |
Gains (losses) from investments in securities |  | 1,665 |  |  | (2,262) |  |  |  |  |  |  |
Interest and other income (loss) |  | 10,941 |  |  | 1,228 |  |  |  |  |  |  |
Gains on sales of real estate |  | — |  |  | 22,701 |  |  |  |  |  |  |
Income (loss) from unconsolidated joint ventures |  | (7,569) |  |  | 2,189 |  |  |  |  |  |  |
Direct reimbursements of payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
Development and management services revenue |  | 8,980 |  |  | 5,831 |  |  |  |  |  |  |
Company’s share of Net Operating Income |  | $ | 484,665 |  |  | $ | 459,582 |  |  |  |  |  |  |

26

Table of Contents
BPLP

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
|  | (in thousands)
Net income attributable to Boston Properties Limited Partnership |  | $ | 88,830 |  |  | $ | 161,829 |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  |  |  |  |  |
Interest expense |  | 134,207 |  |  | 101,228 |  |  |  |  |  |  |
Net operating income from unconsolidated joint ventures |  | 40,756 |  |  | 37,321 |  |  |  |  |  |  |
Depreciation and amortization expense |  | 206,872 |  |  | 175,886 |  |  |  |  |  |  |
Transaction costs |  | 911 |  |  | — |  |  |  |  |  |  |
Payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
General and administrative expense |  | 55,802 |  |  | 43,194 |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |
Net operating income attributable to noncontrolling interests in property partnerships |  | 47,097 |  |  | 47,055 |  |  |  |  |  |  |
Unrealized gain on non-real estate investment |  | 259 |  |  | — |  |  |  |  |  |  |
Gains (losses) from investments in securities |  | 1,665 |  |  | (2,262) |  |  |  |  |  |  |
Interest and other income (loss) |  | 10,941 |  |  | 1,228 |  |  |  |  |  |  |
Gains on sales of real estate |  | — |  |  | 23,384 |  |  |  |  |  |  |
Income (loss) from unconsolidated joint ventures |  | (7,569) |  |  | 2,189 |  |  |  |  |  |  |
Direct reimbursements of payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  |  |  |  |  |
Development and management services revenue |  | 8,980 |  |  | 5,831 |  |  |  |  |  |  |
Company’s share of Net Operating Income |  | $ | 484,665 |  |  | $ | 459,582 |  |  |  |  |  |  |

Net operating income (“NOI”) is a non-GAAP financial measure equal to net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership, as applicable, the most directly comparable GAAP financial measures, plus (1) net income attributable to noncontrolling interests, interest expense, depreciation and amortization expense, transaction costs, payroll and related costs from management services contracts and corporate general and administrative expense less (2) unrealized gain on non-real estate investment, gains (losses) from investments in securities, interest and other income (loss), gains on sales of real estate, income (loss) from unconsolidated joint ventures, direct reimbursements of payroll and related costs from management services contracts and development and management services revenue. The Company believes NOI is useful to investors as a performance measure and believes it provides useful information to investors regarding its results of operations and financial condition because, when compared across periods, it reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and development activity on an unleveraged basis, providing perspective not immediately apparent from net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership. For example, interest expense is not necessarily linked to the operating performance of a real estate asset and is often incurred at the corporate level as opposed to the property level. Similarly, interest expense may be incurred at the property level even though the financing proceeds may be used at the corporate level (e.g., used for other investment activity). In addition, depreciation and amortization expense, because of historical cost accounting and useful life estimates, may distort operating performance measures at the property level. NOI presented by the Company may not be comparable to NOI reported by other REITs or real estate companies that define NOI differently.
The Company’s internal reporting utilizes its share of NOI, which includes its share of NOI from consolidated and unconsolidated joint ventures, which is a non-GAAP financial measure that is calculated as the consolidated amount, plus the Company’s share of the amount from the Company’s unconsolidated joint ventures (calculated based upon the Company’s economic percentage ownership interest and, in some cases, after priority allocations), less the Company’s partners’ share of the amount from the Company’s consolidated joint ventures (calculated
27

Table of Contents
based upon the partners’ economic percentage ownership interests and, in some cases, after priority allocations, income allocation to private REIT shareholders and their share of fees due to the Company). The Company’s share of NOI from unconsolidated joint ventures, as defined above, also does not include its share of losses from early extinguishment of debt from unconsolidated joint ventures and unrealized loss on derivative instruments, both of which are included within Income (Loss) From Unconsolidated Joint Ventures in the Company’s Consolidated Statements of Operations. Management utilizes its share of NOI in assessing its performance as the Company has several significant joint ventures and, in some cases, the Company exercises significant influence over, but does not control, the joint venture, in which case GAAP requires that the Company account for the joint venture entity using the equity method of accounting and the Company does not consolidate it for financial reporting purposes. In other cases, GAAP requires that the Company consolidate the venture even though the Company’s partner(s) owns a significant percentage interest. As a result, the presentations of the Company’s share of NOI should not be considered a substitute for, and should only be considered together with and as a supplement to, the Company’s financial information presented in accordance with GAAP.
Asset information by segment is not reported because the Company does not use this measure to assess performance. Therefore, depreciation and amortization expense is not allocated among segments. Interest expense, depreciation and amortization expense, transaction costs, payroll and related costs from management services contracts, corporate general and administrative expense, unrealized gain on non-real estate investment, gains (losses) from investments in securities, interest and other income (loss), gains on sales of real estate, income (loss) from unconsolidated joint ventures, direct reimbursements of payroll and related costs from management services contracts and development and management services revenue are not included in NOI and are provided as reconciling items to the Company’s reconciliations of its share of NOI to net income.
The Company’s segments are based on the Company’s method of internal reporting which classifies its operations by geographic area. The Company’s segments by geographic area are Boston, Los Angeles, New York, San Francisco, Seattle and Washington, DC. The Company also presents information for each segment by property type, including Premier Workplace (which includes office, life sciences and retail), Residential and Hotel.
28

Table of Contents
Information by geographic area and property type (dollars in thousands):
For the three months ended March 31, 2023:

| Boston |  | Los Angeles |  | New York |  | San Francisco |  | Seattle |  | Washington, DC |  | Total
Rental Revenue: (1) |  |  |  |  |  |  |  |  |  |  |  |  |
Premier Workplace | $ | 269,951 |  |  | $ | — |  |  | $ | 258,192 |  |  | $ | 136,093 |  |  | $ | 14,258 |  |  | $ | 90,664 |  |  | $ | 769,158 |
Residential | 4,049 |  |  | — |  |  | — |  |  | 3,642 |  |  | — |  |  | 4,035 |  |  | 11,726 |
Hotel | 8,101 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 8,101 |
Total | 282,101 |  |  | — |  |  | 258,192 |  |  | 139,735 |  |  | 14,258 |  |  | 94,699 |  |  | 788,985 |
% of Grand Totals | 35.76 | % |  | — | % |  | 32.72 | % |  | 17.71 | % |  | 1.81 | % |  | 12.00 | % |  | 100.00 | %
Rental Expenses: |  |  |  |  |  |  |  |  |  |  |  |  |
Premier Workplace | 100,049 |  |  | — |  |  | 102,485 |  |  | 46,085 |  |  | 2,960 |  |  | 34,266 |  |  | 285,845 |
Residential | 1,552 |  |  | — |  |  | — |  |  | 2,173 |  |  | — |  |  | 1,738 |  |  | 5,463 |
Hotel | 6,671 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 6,671 |
Total | 108,272 |  |  | — |  |  | 102,485 |  |  | 48,258 |  |  | 2,960 |  |  | 36,004 |  |  | 297,979 |
% of Grand Totals | 36.34 | % |  | — | % |  | 34.39 | % |  | 16.20 | % |  | 0.99 | % |  | 12.08 | % |  | 100.00 | %
Net operating income | $ | 173,829 |  |  | $ | — |  |  | $ | 155,707 |  |  | $ | 91,477 |  |  | $ | 11,298 |  |  | $ | 58,695 |  |  | $ | 491,006 |
% of Grand Totals | 35.41 | % |  | — | % |  | 31.71 | % |  | 18.63 | % |  | 2.30 | % |  | 11.95 | % |  | 100.00 | %
Less: Net operating income attributable to noncontrolling interests in property partnerships | (10,817) |  |  | — |  |  | (36,280) |  |  | — |  |  | — |  |  | — |  |  | (47,097) |
Add: Company’s share of net operating income from unconsolidated joint ventures | 8,577 |  |  | 13,225 |  |  | 3,650 |  |  | 3,464 |  |  | 1,846 |  |  | 9,994 |  |  | 40,756 |
Company’s share of net operating income | $ | 171,589 |  |  | $ | 13,225 |  |  | $ | 123,077 |  |  | $ | 94,941 |  |  | $ | 13,144 |  |  | $ | 68,689 |  |  | $ | 484,665 |
% of Grand Totals | 35.41 | % |  | 2.73 | % |  | 25.39 | % |  | 19.59 | % |  | 2.71 | % |  | 14.17 | % |  | 100.00 | %

_______________
(1)Rental Revenue is equal to Total Revenue per the Company’s Consolidated Statements of Operations, less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Contracts Revenue per the Consolidated Statements of Operations.
29

Table of Contents
For the three months ended March 31, 2022:

| Boston |  | Los Angeles |  | New York |  | San Francisco |  | Seattle |  | Washington, DC |  | Total
Rental Revenue: (1) |  |  |  |  |  |  |  |  |  |  |  |  |
Premier Workplace | $ | 242,078 |  |  | $ | — |  |  | $ | 256,870 |  |  | $ | 132,375 |  |  | $ | — |  |  | $ | 95,565 |  |  | $ | 726,888 |
Residential | 3,596 |  |  | — |  |  | — |  |  | 2,391 |  |  | — |  |  | 6,979 |  |  | 12,966 |
Hotel | 4,557 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 4,557 |
Total | 250,231 |  |  | — |  |  | 256,870 |  |  | 134,766 |  |  | — |  |  | 102,544 |  |  | 744,411 |
% of Grand Totals | 33.61 | % |  | — | % |  | 34.51 | % |  | 18.10 | % |  | — | % |  | 13.78 | % |  | 100.00 | %
Rental Expenses: |  |  |  |  |  |  |  |  |  |  |  |  |
Premier Workplace | 90,528 |  |  | — |  |  | 96,340 |  |  | 43,408 |  |  | — |  |  | 33,547 |  |  | 263,823 |
Residential | 1,437 |  |  | — |  |  | — |  |  | 1,868 |  |  | — |  |  | 3,127 |  |  | 6,432 |
Hotel | 4,840 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 4,840 |
Total | 96,805 |  |  | — |  |  | 96,340 |  |  | 45,276 |  |  | — |  |  | 36,674 |  |  | 275,095 |
% of Grand Totals | 35.19 | % |  | — | % |  | 35.02 | % |  | 16.46 | % |  | — | % |  | 13.33 | % |  | 100.00 | %
Net operating income | $ | 153,426 |  |  | $ | — |  |  | $ | 160,530 |  |  | $ | 89,490 |  |  | $ | — |  |  | $ | 65,870 |  |  | $ | 469,316 |
% of Grand Totals | 32.69 | % |  | — | % |  | 34.21 | % |  | 19.07 | % |  | — | % |  | 14.03 | % |  | 100.00 | %
Less: Net operating income attributable to noncontrolling interests in property partnerships | (11,735) |  |  | — |  |  | (35,320) |  |  | — |  |  | — |  |  | — |  |  | (47,055) |
Add: Company’s share of net operating income (loss) from unconsolidated joint ventures | 9,693 |  |  | 13,757 |  |  | (156) |  |  | 3,181 |  |  | 1,955 |  |  | 8,891 |  |  | 37,321 |
Company’s share of net operating income | $ | 151,384 |  |  | $ | 13,757 |  |  | $ | 125,054 |  |  | $ | 92,671 |  |  | $ | 1,955 |  |  | $ | 74,761 |  |  | $ | 459,582 |
% of Grand Totals | 32.94 | % |  | 2.99 | % |  | 27.21 | % |  | 20.16 | % |  | 0.43 | % |  | 16.27 | % |  | 100.00 | %

_______________
(1)Rental Revenue is equal to Total Revenue per the Company’s Consolidated Statements of Operations, less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Contracts Revenue per the Consolidated Statements of Operations.
11. Earnings Per Share / Common Unit
BXP
The following table provides a reconciliation of both the net income attributable to Boston Properties, Inc. and the number of common shares used in the computation of basic earnings per share (“EPS”), which is calculated by dividing net income attributable to Boston Properties, Inc. by the weighted-average number of common shares outstanding during the period. Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are also participating securities. As such, unvested restricted common stock of BXP and BPLP’s LTIP Units, 2012 OPP Units and MYLTIP Units are considered participating securities. Participating securities are included in the computation of basic EPS of BXP using the two-class method. Participating securities are included in the computation of diluted EPS of BXP using the if-converted method if the impact is dilutive. Because the 2012 OPP Units and 2013 - 2020 MYLTIP Units required, and the 2021 - 2023 MYLTIP Units require, BXP to outperform absolute and/or relative return thresholds, unless such thresholds have been met by the end of the applicable reporting period, BXP excludes such units from the diluted EPS calculation. Other potentially dilutive common shares, including stock options, restricted stock and other securities of BPLP that are exchangeable for BXP’s Common Stock, and the related impact on earnings, are considered when calculating diluted EPS.
30

Table of Contents

| Three months ended March 31, 2023
| Income (Numerator) |  | Shares (Denominator) |  | Per Share Amount
| (in thousands, except for per share amounts)
Basic Earnings: |  |  |  |  |
Net income attributable to Boston Properties, Inc. | $ | 77,890 |  |  | 156,803 |  |  | $ | 0.50 |
Effect of Dilutive Securities: |  |  |  |  |
Stock Based Compensation | — |  |  | 240 |  |  | — |
Diluted Earnings: |  |  |  |  |
Net income attributable to Boston Properties, Inc. | $ | 77,890 |  |  | 157,043 |  |  | $ | 0.50 |
| Three months ended March 31, 2022
| Income (Numerator) |  | Shares (Denominator) |  | Per Share Amount
| (in thousands, except for per share amounts)
Basic Earnings: |  |  |  |  |
Net income attributable to Boston Properties, Inc. | $ | 143,047 |  |  | 156,650 |  |  | $ | 0.91 |
Effect of Dilutive Securities: |  |  |  |  |
Stock Based Compensation | — |  |  | 354 |  |  | — |
Diluted Earnings: |  |  |  |  |
Net income attributable to Boston Properties, Inc. | $ | 143,047 |  |  | 157,004 |  |  | $ | 0.91 |

BPLP
The following table provides a reconciliation of both the net income attributable to Boston Properties Limited Partnership and the number of common units used in the computation of basic earnings per common unit, which is calculated by dividing net income attributable to Boston Properties Limited Partnership by the weighted-average number of common units outstanding during the period. Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are also participating securities. As such, unvested restricted common stock of BXP and BPLP’s LTIP Units, 2012 OPP Units and MYLTIP Units are considered participating securities. Participating securities are included in the computation of basic earnings per common unit using the two-class method. Participating securities are included in the computation of diluted earnings per common unit using the if-converted method if the impact is dilutive. Because the 2012 OPP Units and 2013 - 2020 MYLTIP Units required, and the 2021 - 2023 MYLTIP Units require, BXP to outperform absolute and/or relative return thresholds, unless such thresholds have been met by the end of the applicable reporting period, BPLP excludes such units from the diluted earnings per common unit calculation. Other potentially dilutive common units and the related impact on earnings are considered when calculating diluted earnings per common unit. Included in the number of units (the denominator) below are approximately 17,849,000 and 17,626,000 redeemable common units for the three months ended March 31, 2023 and 2022, respectively.
31

Table of Contents

| Three months ended March 31, 2023
| Income (Numerator) |  | Units (Denominator) |  | Per Unit Amount
| (in thousands, except for per unit amounts)
Basic Earnings: |  |  |  |  |
Net income attributable to Boston Properties Limited Partnership | $ | 88,830 |  |  | 174,652 |  |  | $ | 0.51 |
Effect of Dilutive Securities: |  |  |  |  |
Stock Based Compensation | — |  |  | 240 |  |  | — |
Diluted Earnings: |  |  |  |  |
Net income attributable to Boston Properties Limited Partnership | $ | 88,830 |  |  | 174,892 |  |  | $ | 0.51 |
| Three months ended March 31, 2022
| Income (Numerator) |  | Units (Denominator) |  | Per Unit Amount
| (in thousands, except for per unit amounts)
Basic Earnings: |  |  |  |  |
Net income attributable to Boston Properties Limited Partnership common unitholders | $ | 161,829 |  |  | 174,276 |  |  | $ | 0.93 |
Effect of Dilutive Securities: |  |  |  |  |
Stock Based Compensation | — |  |  | 354 |  |  | — |
Diluted Earnings: |  |  |  |  |
Net income attributable to Boston Properties Limited Partnership | $ | 161,829 |  |  | 174,630 |  |  | $ | 0.93 |

12. Stock Option and Incentive Plan
On January 25, 2023, BXP’s Compensation Committee approved the grant of 2023 MYLTIP awards under the Boston Properties, Inc. 2021 Stock Incentive Plan (the “2021 Plan”) to certain executive officers of BXP, effective February 7, 2023. The 2023 MYLTIP awards consist of two, equally weighted (50% each) components that utilize BXP’s TSR over a three-year measurement period as the performance metric.
Total earned awards under the 2023 MYLTIP, if any, will equal the sum of the number of LTIP Units earned under the first and second components and will range from zero to a maximum of 322,053 LTIP Units with a target of approximately 161,026 LTIP Units and linear interpolation between zero and maximum. Earned awards (if any) will vest 100% on February 6, 2026, but, in general, may not be converted, redeemed, sold or otherwise transferred for one additional year thereafter. The 2023 MYLTIP awards are in the form of LTIP Units issued on the grant date, and they are subject to forfeiture to the extent awards are not earned. Prior to the performance measurement date holders of the 2023 MYLTIP Units are only entitled to one-tenth (10%) of the regular quarterly distributions payable on common partnership units. Following the completion of the three-year performance period, the Company will also make a “catch-up” cash payment on the 2023 MYLTIP Units that are ultimately earned in an amount equal to the regular and special distributions, if any, declared during the performance period on BXP’s Common Stock, less the distributions actually paid to holders of 2023 MYLTIP Units during the performance period on all of the awarded 2023 MYLTIP Units. Under ASC 718 “Compensation - Stock Compensation,” the 2023 MYLTIP awards have an aggregate value of approximately $13.1 million, which amount will generally be amortized into earnings under the graded vesting method.
On February 3, 2023, the measurement period for the Company’s 2020 MYLTIP awards ended and, based on BXP’s relative TSR performance, the final payout was determined to be 50% of target, or an aggregate of approximately $3.8 million (after giving effect to employee separations). As a result, an aggregate of 152,460 2020 MYLTIP Units that had been previously granted were automatically forfeited.
During the three months ended March 31, 2023, BXP issued 66,634 shares of restricted common stock and BPLP issued 403,446 LTIP Units and 322,053 2023 MYLTIP Units to employees and non-employee directors under
32

Table of Contents
the 2021 Plan. Employees and non-employee directors paid $0.01 per share of restricted common stock and $0.25 per LTIP Unit and 2023 MYLTIP Unit. When issued, LTIP Units are not economically equivalent in value to a share of Common Stock, but over time can increase in value to one-for-one parity with Common Stock if there is sufficient appreciation in the value of the Company’s assets. The aggregate value of the LTIP Units is included in noncontrolling interests in the Consolidated Balance Sheets of BXP and BPLP. A substantial majority of the grants of restricted common stock and LTIP Units to employees vest in four equal annual installments. Restricted common stock is measured at fair value on the date of grant based on the number of shares granted and the closing price of BXP’s Common Stock on the date of grant as quoted on the New York Stock Exchange. Such value is recognized as an expense ratably over the corresponding employee service period. The shares of restricted common stock granted during the three months ended March 31, 2023 were valued at approximately $5.0 million. The LTIP Units granted were valued at approximately $28.1 million using a Monte Carlo simulation method model. Because the 2012 OPP Units and 2013 - 2023 MYLTIP Units are subject to both a service condition and a market condition, the Company recognizes the related compensation expense under the graded vesting attribution method. Under the graded vesting attribution method, each portion of the award that vests at a different date is accounted for as a separate award and recognized over the period appropriate to that portion so that the compensation cost for each portion should be recognized in full by the time that portion vests. The Company recognizes forfeitures as they occur on its awards of stock-based compensation. Dividends paid on both vested and unvested shares of restricted stock are charged directly to Dividends in Excess of Earnings in Boston Properties, Inc.’s Consolidated Balance Sheets and Partners’ Capital in Boston Properties Limited Partnership’s Consolidated Balance Sheets. Aggregate stock-based compensation expense associated with restricted stock, LTIP Units and MYLTIP Units was approximately $25.9 million and $20.9 million for the three months ended March 31, 2023 and 2022, respectively. At March 31, 2023, there was (1) an aggregate of approximately $36.0 million of unrecognized compensation expense related to unvested restricted stock, LTIP Units and 2020 MYLTIP Units and (2) an aggregate of approximately $9.1 million of unrecognized compensation expense related to unvested 2021 - 2023 MYLTIP Units that is expected to be recognized over a weighted-average period of approximately 2.4 years.
13. Subsequent Events
On April 21, 2023, a joint venture in which BXP has a 50% interest exercised an option to extend by one year the maturity date of its $252.6 million construction loan collateralized by its 7750 Wisconsin Avenue property. The completed 734,000 square foot build-to-suit, premier workplace is located in Bethesda, Maryland and is 100% leased to an affiliate of Marriott International, Inc. Effective June 1, 2023, the financing will bear interest at a variable rate equal to Term SOFR plus 1.35% per annum and will now mature on April 26, 2024, with a one-year extension option, subject to certain conditions.
On April 29, 2023, the Company completed and fully placed in-service 2100 Pennsylvania Avenue, a premier workplace project with approximately 480,000 net rentable square feet located in Washington, DC.
On May 02, 2023, BPLP executed interest rate swaps in notional amounts aggregating $1.2 billion. These interest rate swaps were entered into to fix Term SOFR under for BPLP’s 2023 Unsecured Term Loan at a weighted-average rate of 4.6420% for the period commencing on May 4, 2023 and ending on May 16, 2024. Based on BPLP’s credit rating as of May 2, 2023, the interest rate for the 2023 Unsecured Term Loan would be 5.592% (See Note 6).
33

Table of Contents
ITEM 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations.
The following discussion should be read in conjunction with the financial statements and notes thereto appearing elsewhere in this report.
This Quarterly Report on Form 10-Q, including the documents incorporated by reference, contain forward-looking statements within the meaning of the federal securities laws, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and we are including this statement for purposes of complying with those safe harbor provisions, in each case, to the extent applicable. The forward-looking statements are contained principally, but not only, under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” We caution investors that forward-looking statements are based on current beliefs, expectations of future events and assumptions made by, and information currently available to, our management. When used, the words “anticipate,” “believe,” “budget,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “should,” “will” and similar expressions that do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties and assumptions and are not guarantees of future performance or occurrences, which may be affected by known and unknown risks, trends, uncertainties and factors that are, in some cases, beyond our control. If one or more of these known or unknown risks or uncertainties materialize, or if underlying assumptions prove incorrect, actual results may vary materially from those expressed or implied by the forward-looking statements. We caution you that, while forward-looking statements reflect our good-faith beliefs when we make them, they are not guarantees of future performance or occurrences and are impacted by actual events when they occur after we make such statements. Accordingly, investors should use caution in relying on forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.
The most significant factors that may cause actual results to differ materially from those expressed or implied by the forward-looking statements include the risks and uncertainties related to the impact of changes in general economic and capital market conditions, including continued inflation, increasing interest rates, supply chain disruptions, labor market disruptions, dislocation and volatility in capital markets, and potential longer-term changes in consumer and client behavior resulting from the severity and duration of any downturn in the U.S. or global economy, sustained changes in client preferences and space utilization, as well as the other important factors below and the risks described in (i) our Annual Report on Form 10-K for the fiscal year ended December 31, 2022 including those described under the caption “Risk Factors,” (ii) our subsequent filings under the Exchange Act and (iii) the risk factors set forth in this Form 10-Q in Part II, Item 1A, if any.
Some of the risks and uncertainties that may cause our actual results, performance or achievements to differ materially from those expressed or implied by forward-looking statements include, among others, the following:
•volatile or adverse global economic and geopolitical conditions, health crises, dislocations in the credit markets and potential financial contagion from recent or future failures of banking institutions could adversely affect economic conditions and/or restrict our access to cost-effective capital, which could have a material adverse effect on our business opportunities, results of operations and financial condition;
•general risks affecting the real estate industry (including, without limitation, the inability to enter into or renew leases, changes in client preferences and space utilization, dependence on clients’ financial condition, and competition from other developers, owners and operators of real estate);
•the impact of geopolitical conflicts, including the ongoing war in Ukraine;
•the immediate and long-term impact of the outbreak of a highly infectious or contagious disease, such as COVID-19, on our and our clients’ financial condition, results of operations and cash flows (including the impact of actions taken to contain the outbreak or mitigate its impact, the direct and indirect economic effects of the outbreak and containment measures on our clients, and the ability of our clients to successfully operate their businesses);
•failure to manage effectively our growth and expansion into new markets and sub-markets or to integrate acquisitions and developments successfully;
•the ability of our joint venture partners to satisfy their obligations;
•risks and uncertainties affecting property development and construction (including, without limitation, continued inflation, supply chain disruptions, labor shortages, construction delays,
34

Table of Contents
increased construction costs, cost overruns, inability to obtain necessary permits, client accounting considerations that may result in negotiated lease provisions that limit a client’s liability during construction, and public opposition to such activities);
•risks associated with the availability and terms of financing and the use of debt to fund acquisitions and developments or refinance existing indebtedness, including the impact of higher interest rates on the cost and/or availability of financing;
•risks associated with forward interest rate contracts and derivatives and the effectiveness of such arrangements;
•risks associated with actual or threatened terrorist attacks;
•costs of compliance with the Americans with Disabilities Act and other similar laws;
•potential liability for uninsured losses and environmental contamination;
•risks associated with climate change and severe weather events, as well as the regulatory efforts intended to reduce the effects of climate change;
•risks associated with security breaches through cyber attacks, cyber intrusions or otherwise, as well as other significant disruptions of our information technology (IT) networks and related systems, which support our operations and our buildings;
•risks associated with BXP’s potential failure to qualify as a REIT under the Internal Revenue Code of 1986, as amended;
•possible adverse changes in tax and environmental laws;
•the impact of newly adopted accounting principles on our accounting policies and on period-to-period comparisons of financial results;
•risks associated with possible state and local tax audits; and
•risks associated with our dependence on key personnel whose continued service is not guaranteed.
The risks set forth above are not exhaustive. Other sections of this report may include additional factors that could adversely affect our business and financial performance. Moreover, we operate in a very competitive and rapidly changing environment. New risk factors emerge from time to time and it is not possible for management to predict all risk factors, nor can we assess the impact of all risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. Investors should also refer to our most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q for future periods and Current Reports on Form 8-K as we file them with the SEC, and to other materials we may furnish to the public from time to time through Current Reports on Form 8-K or otherwise, for a discussion of risks and uncertainties that may cause actual results, performance or achievements to differ materially from those expressed or implied by forward-looking statements. We expressly disclaim any responsibility to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events, or otherwise, and you should not rely upon these forward-looking statements after the date of this report.
Overview
BXP is one of the largest publicly traded office real estate investment trusts (REITs) (based on total market capitalization as of March 31, 2023) in the U.S. that develops, owns, and manages primarily premier workplaces. Our properties are concentrated in six dynamic gateway markets in the U.S. - Boston, Los Angeles, New York, San Francisco, Seattle, and Washington, DC. BPLP is the entity through which BXP conducts substantially all of its business and owns (either directly or through subsidiaries) substantially all of its assets. We generate revenue and cash primarily by leasing premier workplaces to our clients. When making leasing decisions, we consider, among other things, the creditworthiness of the client and the industry in which it conducts business, the length of the lease, the rental rate to be paid at inception and throughout the lease term, the amount of any security deposit or letter of credit posted by the client, the costs of tenant improvements, free rent periods and other landlord concessions, anticipated operating expenses and real estate taxes, current and anticipated vacancy in our properties and the market overall (including sublease space), current and expected future demand for the space, the impact of other clients’ expansion rights and general economic factors.
35

Table of Contents
Our core strategy has always been to develop, acquire and manage premier workplaces in gateway markets with high barriers-to-entry and attractive demand drivers, and to focus on executing long-term leases with financially strong clients. Our client base is diverse across market sectors. As of March 31, 2023, the weighted-average lease term for our in-place leases based on square feet, including those signed by our unconsolidated joint ventures but excluding residential units, was approximately 7.6 years. The weighted-average lease term for our 20 largest clients, based on leased square footage, was approximately 10.4 years as of March 31, 2023.
To be successful in any leasing environment, we believe we must consider all aspects of the client-landlord relationship. In this regard, we believe that our competitive leasing advantage is based on the following attributes:
•our understanding of our client’s short- and long-term space utilization and amenity needs in the local markets;
•our track record of developing and operating premier workplaces in a sustainable and responsible manner;
•our reputation as a high-quality developer, owner and manager of premier workplaces in our markets;
•our financial strength and our ability to maintain high building standards; and
•our relationships with local brokers.
Outlook
Although we are not in a recession (traditionally defined as negative GDP growth), the effects of a cooling economy are evident. According to FactSet, the S&P 500 is reporting a year-over-year decline in earnings of more than 3% for the first quarter of 2023, which would mark the second straight quarter the index has reported a decline in earnings. With slowing growth, some companies are announcing corporate layoffs and reducing headcount, focusing on cost reductions and taking more time to make leasing decisions, leasing less space, offering space they have for sublease or taking a combination of one or more of the foregoing actions.
With more challenging economic conditions, the return-to-office trend continues to improve. Companies in a variety of industries, including major technology companies, are increasing the days that workers on hybrid schedules are required to come into the office and reinforcing the importance of in-person interactions as a key contributor to overall success.
The premier workplace segment continues to outperform the broader office market, in both vacancy and net absorption, as companies see an opportunity to upgrade their workplaces as a method of attracting their workforces back to the office and recruiting new employees. Throughout our portfolio, there has been a slow but steady increase in the number of unique occupants that are in our offices each month.
The evolving operating environment impacts various aspects of our operating activities as:
•labor market conditions shift, resulting in increasing employer demands for mandatory in-person workdays;
•volatility in the capital markets, on the heels of recent bank failures, have driven companies to be more reticent in capital outlays, including capital required for leasing new space;
•our capital costs have increased due to higher interest rates and credit spreads, and private market debt financing, both for construction and existing assets, is significantly more challenging to arrange; and
•construction costs have increased for new development and, although the costs for our active development pipeline are, at this stage, relatively fixed, the cost of potential future developments continues to increase.
In light of the foregoing, we believe we are positioning ourselves for success, notwithstanding the uncertain trajectory of the U.S. and global economies, by managing our leverage while continuing to selectively invest (including through both acquisitions and developments) in premier workplace opportunities. We remain focused on the following strategies:
•continuing to embrace our leadership position in the premier workplace segment and leveraging our strength in portfolio quality, client relationships, development skills, market penetration and sustainability to profitably build market share. Premier workplaces, the preferred choice for our current and prospective clients, are gaining market share compared to general office space and demonstrating the highest
36

Table of Contents
occupancy, net absorption levels and rental rates in the central business districts (“CBDs”) in markets where we operate;
•leasing available space in our in-service and development properties, as well as proactively focusing on future lease expirations;
•completing the construction and leasing of our development properties;
•pursuing attractive asset class adjacencies where we have a track record of success, such as life sciences and residential development;
•continuing to raise the bar in the quality of our portfolio and actively recycling capital by selling assets, subject to market conditions, which have been, and may continue to be, negatively impacted by a slowdown in the capital markets and the limited availability of private market debt financing;
•actively managing our operations in a sustainable and responsible manner; and
•prioritizing risk management by actively managing liquidity, investing more extensively with joint venture partners to manage our debt levels, and being highly selective in new investment commitments.
The following is an overview of leasing and investment activity in the first quarter of 2023.
Leasing Activity and Occupancy
In the first quarter of 2023, we signed approximately 660,500 square feet of leases with a weighted-average lease term of approximately 7.7 years.
The overall occupancy of our in-service premier workplace and retail properties was 88.6% at March 31, 2023, remaining flat from December 31, 2022. We define occupancy as space with signed leases for which revenue recognition has commenced in accordance with GAAP. Inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP, our in-service premier workplace and retail properties would be approximately 91.0% leased at March 31, 2023.
The macroeconomic environment has resulted in softening demand in all of our markets. While property tours continue and leases under negotiation move forward, there is less urgency from clients to make new commitments. Potential clients touring space acknowledge that economic uncertainty is impacting space decisions. We have factored in the impacts of a slower economy, softer business performance, and reduced demand for space into our leasing expectations for the remainder of 2023. We expect the bulk of our leasing in 2023 will continue to come from small- and medium-sized professional and financial services firms.
Investment Activity
We continually evaluate current and prospective markets for possible acquisitions of “value-add” assets that require lease-up or repositioning, and acquisitions that are otherwise consistent with our long-term strategy of owning, managing, developing, and improving premier workplaces in each of our chosen markets. Additional new acquisition opportunities will likely increase in this environment, and we remain committed to developing and acquiring assets to enhance our long-term growth and to meet client demand solely focused on premier workplaces, life sciences, and residential development.
Consistent with this strategy, in the first quarter of 2023, we completed the acquisition of a 50% interest in a joint venture that owns 13100 and 13150 Worldgate Drive located in Herndon, Virginia for a gross purchase price of approximately $17.0 million. The acquisition was completed with available cash. The joint venture intends to redevelop the property for residential use. There can be no assurance that the joint venture will commence the development as currently contemplated or at all.
Also in the first quarter of 2023, we further expanded our life sciences portfolio in Cambridge, Massachusetts, the largest cluster of life sciences companies and research space in the U.S., by commencing the development/redevelopment of two fully pre-leased projects:
•290 Binney Street, an approximately 566,000 square foot laboratory/life sciences property, which is 100% pre-leased to AstraZeneca for a lease term of 15 years.
•300 Binney Street, an approximately 195,000 net rentable square foot premier workplace that is being redeveloped into approximately 236,000 net rentable square feet of laboratory/life sciences space, which is 100% pre-leased to the Broad Institute for a lease term of 15 years.
37

Table of Contents
As of March 31, 2023, our development/redevelopment pipeline consisted of 15 properties that, when completed, we expect will total approximately 4.0 million net rentable square feet. Our share of the estimated total cost for these projects is approximately $3.3 billion, of which approximately $1.9 billion remains to be invested. The commercial space in the pipeline, which excludes View Boston at The Prudential Center and Reston Next Residential, is 52% pre-leased as of April 28, 2023.
As we continue to focus on new investments to drive future growth, we regularly review our portfolio to identify properties as potential sales candidates that either no longer fit within our portfolio strategy or could attract premium pricing in the current market. However, the asset sale market for all real estate asset classes has slowed dramatically with the increase in interest rates and transaction volume for office assets in the U.S. declined materially in the first quarter of 2023.
A brief overview of each of our markets follows.
Boston
During the first quarter of 2023, we executed approximately 182,000 square feet of leases and approximately 290,000 square feet of leases commenced in the Boston region. Approximately 137,000 square feet of the leases that commenced had been vacant for less than one year and represent an increase in net rental obligations of approximately 36% over the prior leases.
As of March 31, 2023, our Boston CBD in-service portfolio was approximately 94% occupied and approximately 97% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
Our approximately 2.5 million square foot in-service premier workplace portfolio in Cambridge was approximately 98% occupied as of March 31, 2023.
As of March 31, 2023, our Route 128-Mass Turnpike portfolio is comprised of approximately 4.8 million square feet and was approximately 81% occupied and approximately 82% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
Los Angeles
Our Los Angeles (“LA”) in-service portfolio of approximately 2.3 million square feet is currently focused in West LA and includes Colorado Center, an approximately 1.1 million square foot property of which we own 50%, and Santa Monica Business Park, a 21-building, approximately 1.2 million square foot property of which we own 55%. As of March 31, 2023, our LA in-service properties were approximately 86% occupied.
New York
During the first quarter of 2023, we executed approximately 120,000 square feet of leases in the New York region and approximately 249,000 square feet of leases commenced. Approximately 192,000 square feet of the leases that commenced in the first quarter had been vacant for less than one year and they represent a decrease in net rental obligations of approximately 9% over the prior leases. As of March 31, 2023, our New York CBD in-service portfolio was approximately 89% occupied and approximately 93% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
San Francisco
During the first quarter of 2023, we executed approximately 84,000 square feet of leases and approximately 61,000 square feet of leases commenced in the San Francisco region. Approximately 43,000 square feet of leases that commenced had been vacant for less than one year and represent an increase in net rental obligations of approximately 6% over the prior leases.
As of March 31, 2023, our San Francisco CBD in-service properties were approximately 89% occupied and approximately 90% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
Seattle
Our Seattle in-service portfolio includes Safeco Plaza, an approximately 779,000 square foot property of which we own 33.67%, and Madison Centre, an approximately 755,000 square foot property. As of March 31, 2023, our
38

Table of Contents
Seattle in-service properties were approximately 88% occupied and approximately 91% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
Washington, DC
During the first quarter of 2023, we executed approximately 249,000 square feet of leases and approximately 118,000 square feet of leases commenced in the Washington, DC region. Approximately 78,000 square feet of the leases that commenced had been vacant for less than one year and represent a decrease in net rental obligations of approximately 47% over the prior leases. The large decrease in net rental obligations is due to the restructuring of an approximately 68,950 square foot lease with a theater client in Springfield, Virginia. Excluding the theater lease, the decrease in net rental obligations is approximately 9% over the prior leases. As of March 31, 2023, our Washington, DC CBD in-service properties were approximately 87% occupied and approximately 89% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
A significant component of our Washington, DC regional portfolio is in Reston Town Center, an award-winning mixed-use development in Northern Virginia. Reston is a hub for technology, cloud services, cybersecurity and defense intelligence companies. As of March 31, 2023, our Reston, Virginia properties were approximately 89% occupied and approximately 94% leased (inclusive of vacant space with signed leases that have not yet commenced in accordance with GAAP).
Leasing Statistics
The table below details the leasing activity, including 100% of the unconsolidated joint ventures, that commenced during the three months ended March 31, 2023:

|  | Three months ended March 31, 2023 |  |
|  | (Square Feet)
Vacant space available at the beginning of the period |  | 5,610,777 |  |  |
Property dispositions/properties taken out of service (1) |  | (333,277) |  |  |
Leases expiring or terminated during the period |  | 1,067,880 |  |  |
Total space available for lease |  | 6,345,380 |  |  |
1 st generation leases |  | — |  |  |
2 nd generation leases with new clients |  | 432,003 |  |  |
2 nd generation lease renewals |  | 343,442 |  |  |
Total space leased (2) |  | 775,445 |  |  |
Vacant space available for lease at the end of the period |  | 5,569,935 |  |  |
Leases executed during the period, in square feet (3) |  | 660,480 |  |  |
Second generation leasing information: (4) |  |  |  |
Leases commencing during the period, in square feet |  | 775,445 |  |  |
Weighted Average Lease Term |  | 90 Months |  |
Weighted Average Free Rent Period |  | 175 Days |  |
Total Transaction Costs Per Square Foot (5) |  | $72.81 |  |  |
Increase in Gross Rents (6) |  | 0.60 | % |  |
Increase in Net Rents (7) |  | 0.81 | % |  |

__________________
(1)Total vacant square feet of properties taken out of service during the three months ended March 31, 2023 consists of 195,191 square feet at 300 Binney Street, 55,852 square feet at 420 Bedford Street, 57,045 square feet at 430 Bedford Street and 25,189 square feet at 2098 Gaither Road.
(2)Represents leases for which lease revenue recognition has commenced in accordance with GAAP during the three months ended March 31, 2023.
39

Table of Contents
(3)Represents leases executed during the three months ended March 31, 2023 for which we either (1) commenced lease revenue recognition in such period or (2) will commence lease revenue recognition in subsequent periods, in accordance with GAAP, and includes leases at properties currently under development. The total square feet of leases e xecuted and recognized during the three months ended March 31, 2023 is 186,898 square feet.
(4)Second generation leases are defined as leases for space that has previously been leased by us. Of the 775,445 square feet of second generation leases that commenced during the three months ended March 31, 2023, leases for 588,547 square feet were signed in prior periods.
(5)Total transaction costs include tenant improvements and leasing commissions but exclude free rent concessions and other inducements in accordance with GAAP.
(6)Represents the increase in gross rent (base rent plus expense reimbursements) on the new versus expired leases on the 505,482 square feet of second generation leases that had been occupied within the prior 12 months for the three months ended March 31, 2023; excludes leases that management considers temporary because the client is not expected to occupy the space on a long-term basis. Includes the renewal of a 68,950 square foot lease with a theater client. Excluding this renewal, the increase in second generation gross rent is 3.87%.
(7)Represents the increase in net rent (gross rent less operating expenses) on the new versus expired leases on the 505,482 square feet of second generation leases that had been occupied within the prior 12 months for the three months ended March 31, 2023. Includes the renewal of a 68,950 square foot lease with a theater client. Excluding this renewal, the increase in second generation net rent is 6.37%.
Transactions during the three months ended March 31, 2023 included the following:
Development/Redevelopment activities
•On January 5, 2023, we commenced the development of 290 Binney Street, an approximately 566,000 net rentable square foot laboratory/life sciences project in Cambridge, Massachusetts. Concurrent with the commencement of this project, the Kendall Center Blue Parking Garage was taken out of service and demolished to support the development of this project. 290 Binney Street is 100% pre-leased to AstraZeneca.
•On January 30, 2023, we commenced the redevelopment of 300 Binney Street at Kendall Center in Cambridge, Massachusetts. 300 Binney Street consisted of an approximately 195,000 net rentable square foot premier workplace that is being redeveloped into approximately 236,000 net rentable square feet of laboratory/life sciences space. BXP and BPLP recognized approximately $11.0 million of depreciation expense during the three months ended March 31, 2023 associated with the acceleration of depreciation on the assets being removed from service and demolished as part of the redevelopment of the property. The project is 100% pre-leased to the Broad Institute.
Unconsolidated joint venture activity
•On January 31, 2023, we acquired a 50% interest in a joint venture that owns 13100 and 13150 Worldgate Drive located in Herndon, Virginia for a gross purchase price of approximately $17.0 million. The acquisition was completed with available cash. 13100 and 13150 Worldgate Drive consists of two vacant office buildings aggregating approximately 350,000 rentable square feet and a 1,200-space structured parking deck situated on a 10-acre site. The joint venture intends to redevelop the property for residential use. There can be no assurance that the joint venture will commence the development as currently contemplated or at all.
Debt activity
•On January 4, 2023, BPLP entered into a credit agreement that provided for a $1.2 billion unsecured term loan facility (the “2023 Unsecured Term Loan”). Under the credit agreement, BPLP may, at any time prior to the maturity date, increase total commitments by up to an additional $300.0 million in aggregate principal amount by increasing the existing 2023 Unsecured Term Loan or incurring one or more additional term loans, in each case, subject to syndication of the increase and other conditions. The 2023 Unsecured Term Loan matures on May 16, 2024, with one 12-month extension option, subject to customary conditions. Upon entry into the credit agreement, BPLP exercised its option to draw $1.2 billion under the 2023 Unsecured Term Loan, a portion of which was used to repay in full the $730.0 million outstanding under its prior unsecured credit agreement (the “2022 Unsecured Term Loan”), which was scheduled to mature on May 16, 2023. There was no prepayment penalty associated with the repayment of the 2022 Unsecured Term Loan.
40

Table of Contents
Transactions completed subsequent to March 31, 2023 included the following:
•On April 21, 2023, a joint venture in which we have a 50% interest exercised an option to extend by one year the maturity date of its $252.6 million construction loan collateralized by its 7750 Wisconsin Avenue property. The completed 734,000 square foot build-to-suit, premier workplace is located in Bethesda, Maryland and is 100% leased to an affiliate of Marriott International, Inc. Effective June 1, 2023, the financing will bear interest at a variable rate equal to Term SOFR plus 1.35% per annum and will now mature on April 26, 2024, with a one-year extension option, subject to certain conditions.
•On April 29, 2023, we completed and fully placed in-service 2100 Pennsylvania Avenue, a premier workplace project with approximately 480,000 net rentable square feet located in Washington, DC.
•On May 02, 2023, BPLP executed interest rate swaps in notional amounts aggregating $1.2 billion. These interest rate swaps were entered into to fix Term SOFR under for BPLP’s 2023 Unsecured Term Loan at a weighted-average rate of 4.6420% for the period commencing on May 4, 2023 and ending on May 16, 2024. Based on BPLP’s credit rating as of May 2, 2023, the interest rate for the 2023 Unsecured Term Loan would be 5.592%.
Critical Accounting Estimates
Management’s Discussion and Analysis of Financial Condition and Results of Operations discuss our Consolidated Financial Statements, which have been prepared in accordance with generally accepted accounting principles (“GAAP”). The preparation of these financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results may differ from those estimates and assumptions.
Our Annual Report on Form 10-K for the year ended December 31, 2022 contains a discussion of our critical accounting estimates. There have been no significant changes in our critical accounting estimates since the year ended December 31, 2022.
Results of Operations for the Three Months Ended March 31, 2023 and 2022
Net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership decreased approximately $65.2 million and $73.0 million, respectively, for the three months ended March 31, 2023 compared to 2022, as detailed in the following tables and for the reasons discussed below under the heading “Comparison of the three months ended March 31, 2023 to the three months ended March 31, 2022” within “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations.”
The following are reconciliations of Net Income Attributable to Boston Properties, Inc. to Net Operating Income and Net Income Attributable to Boston Properties Limited Partnership to Net Operating Income for the three months ended March 31, 2023 and 2022. For a detailed discussion of net operating income (“NOI”), including the reasons management believes NOI is useful to investors, see page 43.
41

Table of Contents
BXP

|  | Three months ended March 31,
|  | 2023 |  | 2022 |  | Increase/ (Decrease) |  | % Change
|  | (in thousands)
Net Income Attributable to Boston Properties, Inc. |  | $ | 77,890 |  |  | $ | 143,047 |  |  | $ | (65,157) |  |  | (45.55) | %
Net Income Attributable to Noncontrolling Interests: |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership |  | 9,078 |  |  | 16,361 |  |  | (7,283) |  |  | (44.51) | %
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  | 1,111 |  |  | 6.33 | %
Net Income |  | 105,628 |  |  | 176,957 |  |  | (71,329) |  |  | (40.31) | %
Other Expenses: |  |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |
Interest expense |  | 134,207 |  |  | 101,228 |  |  | 32,979 |  |  | 32.58 | %
Other Income: |  |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |
Unrealized gain on non-real estate investment |  | 259 |  |  | — |  |  | 259 |  |  | 100.00 | %
Gains (losses) from investments in securities |  | 1,665 |  |  | (2,262) |  |  | 3,927 |  |  | 173.61 | %
Interest and other income (loss) |  | 10,941 |  |  | 1,228 |  |  | 9,713 |  |  | 790.96 | %
Gains on sales of real estate |  | — |  |  | 22,701 |  |  | (22,701) |  |  | (100.00) | %
Income (loss) from unconsolidated joint ventures |  | (7,569) |  |  | 2,189 |  |  | (9,758) |  |  | (445.77) | %
Other Expenses: |  |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |
Depreciation and amortization expense |  | 208,734 |  |  | 177,624 |  |  | 31,110 |  |  | 17.51 | %
Transaction costs |  | 911 |  |  | — |  |  | 911 |  |  | 100.00 | %
Payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  | 1,170 |  |  | 28.78 | %
General and administrative expense |  | 55,802 |  |  | 43,194 |  |  | 12,608 |  |  | 29.19 | %
Other Revenue: |  |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |
Direct reimbursements of payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  | 1,170 |  |  | 28.78 | %
Development and management services revenue |  | 8,980 |  |  | 5,831 |  |  | 3,149 |  |  | 54.00 | %
Net Operating Income |  | $ | 491,006 |  |  | $ | 469,316 |  |  | $ | 21,690 |  |  | 4.62 | %

42

Table of Contents
BPLP

|  | Three months ended March 31,
|  | 2023 |  | 2022 |  | Increase/ (Decrease) |  | % Change
|  | (in thousands)
Net Income Attributable to Boston Properties Limited Partnership |  | $ | 88,830 |  |  | $ | 161,829 |  |  | $ | (72,999) |  |  | (45.11) | %
Net Income Attributable to Noncontrolling Interests: |  |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  | 1,111 |  |  | 6.33 | %
Net Income |  | 107,490 |  |  | 179,378 |  |  | (71,888) |  |  | (40.08) | %
Other Expenses: |  |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |
Interest expense |  | 134,207 |  |  | 101,228 |  |  | 32,979 |  |  | 32.58 | %
Other Income: |  |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |
Unrealized gain on non-real estate investment |  | 259 |  |  | — |  |  | 259 |  |  | 100.00 | %
Gains (losses) from investments in securities |  | 1,665 |  |  | (2,262) |  |  | 3,927 |  |  | 173.61 | %
Interest and other income (loss) |  | 10,941 |  |  | 1,228 |  |  | 9,713 |  |  | 790.96 | %
Gains on sales of real estate |  | — |  |  | 23,384 |  |  | (23,384) |  |  | (100.00) | %
Income (loss) from unconsolidated joint ventures |  | (7,569) |  |  | 2,189 |  |  | (9,758) |  |  | (445.77) | %
Other Expenses: |  |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |
Depreciation and amortization expense |  | 206,872 |  |  | 175,886 |  |  | 30,986 |  |  | 17.62 | %
Transaction costs |  | 911 |  |  | — |  |  | 911 |  |  | 100.00 | %
Payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  | 1,170 |  |  | 28.78 | %
General and administrative expense |  | 55,802 |  |  | 43,194 |  |  | 12,608 |  |  | 29.19 | %
Other Revenue: |  |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |
Direct reimbursements of payroll and related costs from management services contracts |  | 5,235 |  |  | 4,065 |  |  | 1,170 |  |  | 28.78 | %
Development and management services revenue |  | 8,980 |  |  | 5,831 |  |  | 3,149 |  |  | 54.00 | %
Net Operating Income |  | $ | 491,006 |  |  | $ | 469,316 |  |  | $ | 21,690 |  |  | 4.62 | %

At March 31, 2023 and 2022, we owned or had joint venture interests in a portfolio of 192 and 201 commercial real estate properties, respectively (in each case, the “Total Property Portfolio”). As a result of changes within our Total Property Portfolio, the financial data presented below shows significant changes in revenue and expenses from period-to-period. Accordingly, we do not believe that our period-to-period financial data with respect to the Total Property Portfolio provides a complete understanding of our operating results. Therefore, the comparison of operating results for the three months ended March 31, 2023 and 2022 show separately the changes attributable to the properties that were owned by us and in-service throughout each period compared (the “Same Property Portfolio”) and the changes attributable to the properties included in the Acquired, Placed In-Service, Development or Redevelopment or Sold Portfolios.
In our analysis of operating results, particularly to make comparisons of net operating income between periods more meaningful, it is important to provide information for properties that were in-service and owned by us throughout each period presented. We refer to properties acquired or placed in-service prior to the beginning of the earliest period presented and owned by us and in-service through the end of the latest period presented as our Same Property Portfolio. The Same Property Portfolio therefore excludes properties acquired, placed in-service or in or held for development or redevelopment after the beginning of the earliest period presented or disposed of prior to the end of the latest period presented.
NOI is a non-GAAP financial measure equal to net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership, as applicable, the most directly comparable GAAP financial measures, plus (1) net income attributable to noncontrolling interests, interest expense, depreciation and amortization expense, transaction costs, payroll and related costs from management services contracts and
43

Table of Contents
corporate general and administrative expense less (2) unrealized gain on non-real estate investment, gains (losses) from investments in securities, interest and other income (loss), gains on sales of real estate, income (loss) from unconsolidated joint ventures, direct reimbursements of payroll and related costs from management services contracts and development and management services revenue. We use NOI internally as a performance measure and believe it provides useful information to investors regarding our results of operations and financial condition because, when compared across periods, it reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and development activity on an unleveraged basis, providing perspective not immediately apparent from net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership. For example, interest expense is not necessarily linked to the operating performance of a real estate asset and is often incurred at the corporate level as opposed to the property level. Similarly, interest expense may be incurred at the property level even though the financing proceeds may be used at the corporate level (e.g., used for other investment activity). In addition, depreciation and amortization expense, because of historical cost accounting and useful life estimates, may distort operating performance measures at the property level. NOI presented by us may not be comparable to NOI reported by other REITs or real estate companies that define NOI differently.
We believe that in order to understand our operating results, NOI should be examined in conjunction with net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership as presented in our Consolidated Financial Statements. NOI should not be considered as a substitute for net income attributable to Boston Properties, Inc. or net income attributable to Boston Properties Limited Partnership (determined in accordance with GAAP) or any other GAAP financial measures and should only be considered together with and as a supplement to our financial information prepared in accordance with GAAP.
The gains on sales of real estate and depreciation expense may differ between BXP and BPLP as a result of previously applied acquisition accounting by BXP for the issuance of common stock in connection with non-sponsor redemptions of common units of limited partnership interest of BPLP (“OP Units”). This accounting resulted in a step-up of the real estate assets at BXP that was allocated to certain properties. The difference between the real estate assets of BXP as compared to BPLP for certain properties having an allocation of the real estate step-up will result in a corresponding difference in gains on sales of real estate and depreciation expense when those properties are sold. For additional information see the Explanatory Note that follows the cover page of this Quarterly Report on Form 10-Q.
Comparison of the three months ended March 31, 2023 to the three months ended March 31, 2022
The table below shows selected operating information for the Same Property Portfolio and the Total Property Portfolio. The Same Property Portfolio consists of 126 properties totaling approximately 38.2 million net rentable square feet, excluding unconsolidated joint ventures. The Same Property Portfolio includes properties acquired or placed in-service on or prior to January 1, 2022 and owned and in-service through March 31, 2023. The Total Property Portfolio includes the effects of the other properties either acquired, placed in-service, in or held for development or redevelopment after January 1, 2022 or disposed of on or prior to March 31, 2023. This table includes a reconciliation from the Same Property Portfolio to the Total Property Portfolio by also providing information for the three months ended March 31, 2023 and 2022 with respect to the properties that were acquired, placed in-service, in or held for development or redevelopment or sold.
44

Table of Contents

| Same Property Portfolio |  | Properties Acquired Portfolio |  | Properties Placed In-Service Portfolio |  | Properties in or Held for Development or Redevelopment Portfolio |  | Properties Sold Portfolio |  | Total Property Portfolio
| 2023 |  | 2022 |  | Increase/ (Decrease) |  | % Change |  | 2023 |  | 2022 |  | 2023 |  | 2022 |  | 2023 |  | 2022 |  | 2023 |  | 2022 |  | 2023 |  | 2022 |  | Increase/ (Decrease) |  | % Change
| (dollars in thousands)
Rental Revenue: (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Lease Revenue (Excluding Termination Income) | $ | 687,679 |  |  | $ | 677,524 |  |  | $ | 10,155 |  |  | 1.50 | % |  | $ | 23,426 |  |  | $ | — |  |  | $ | 33,930 |  |  | $ | 6,890 |  |  | $ | 123 |  |  | $ | 5,218 |  |  | $ | 342 |  |  | $ | 13,742 |  |  | $ | 745,500 |  |  | $ | 703,374 |  |  | $ | 42,126 |  |  | 5.99 | %
Termination Income | 195 |  |  | 2,078 |  |  | (1,883) |  |  | (90.62) | % |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 195 |  |  | 2,078 |  |  | (1,883) |  |  | (90.62) | %
Lease Revenue | 687,874 |  |  | 679,602 |  |  | 8,272 |  |  | 1.22 | % |  | 23,426 |  |  | — |  |  | 33,930 |  |  | 6,890 |  |  | 123 |  |  | 5,218 |  |  | 342 |  |  | 13,742 |  |  | 745,695 |  |  | 705,452 |  |  | 40,243 |  |  | 5.70 | %
Parking and Other Revenue | 22,389 |  |  | 18,720 |  |  | 3,669 |  |  | 19.60 | % |  | 950 |  |  | — |  |  | 127 |  |  | — |  |  | (3) |  |  | 2,437 |  |  | — |  |  | 279 |  |  | 23,463 |  |  | 21,436 |  |  | 2,027 |  |  | 9.46 | %
Total Rental Revenue (1) | 710,263 |  |  | 698,322 |  |  | 11,941 |  |  | 1.71 | % |  | 24,376 |  |  | — |  |  | 34,057 |  |  | 6,890 |  |  | 120 |  |  | 7,655 |  |  | 342 |  |  | 14,021 |  |  | 769,158 |  |  | 726,888 |  |  | 42,270 |  |  | 5.82 | %
Real Estate Operating Expenses | 269,871 |  |  | 255,164 |  |  | 14,707 |  |  | 5.76 | % |  | 3,950 |  |  | — |  |  | 8,800 |  |  | 2,114 |  |  | 3,142 |  |  | 2,329 |  |  | 82 |  |  | 4,216 |  |  | 285,845 |  |  | 263,823 |  |  | 22,022 |  |  | 8.35 | %
Net Operating Income (Loss), Excluding Residential and Hotel | 440,392 |  |  | 443,158 |  |  | (2,766) |  |  | (0.62) | % |  | 20,426 |  |  | — |  |  | 25,257 |  |  | 4,776 |  |  | (3,022) |  |  | 5,326 |  |  | 260 |  |  | 9,805 |  |  | 483,313 |  |  | 463,065 |  |  | 20,248 |  |  | 4.37 | %
Residential Net Operating Income (2) | 6,263 |  |  | 4,843 |  |  | 1,420 |  |  | 29.32 | % |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,691 |  |  | 6,263 |  |  | 6,534 |  |  | (271) |  |  | (4.15) | %
Hotel Net Operating Income (Loss) (2) | 1,430 |  |  | (283) |  |  | 1,713 |  |  | 605.30 | % |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,430 |  |  | (283) |  |  | 1,713 |  |  | 605.30 | %
Net Operating Income (Loss) | $ | 448,085 |  |  | $ | 447,718 |  |  | $ | 367 |  |  | 0.08 | % |  | $ | 20,426 |  |  | $ | — |  |  | $ | 25,257 |  |  | $ | 4,776 |  |  | $ | (3,022) |  |  | $ | 5,326 |  |  | $ | 260 |  |  | $ | 11,496 |  |  | $ | 491,006 |  |  | $ | 469,316 |  |  | $ | 21,690 |  |  | 4.62 | %

_______________
(1)Rental Revenue is equal to Revenue less Development and Management Services Revenue and Direct Reimbursements of Payroll and Related Costs from Management Services Revenue per the Consolidated Statements of Operations, excluding the residential and hotel revenue that is noted below. We use Rental Revenue internally as a performance measure and in calculating other non-GAAP financial measures (e.g., NOI), which provides investors with information regarding our performance that is not immediately apparent from the comparable non-GAAP measures and allows investors to compare operating performance between periods.
(2)For a detailed discussion of NOI, including the reasons management believes NOI is useful to investors, see page 43. Residential Net Operating Income for the three months ended March 31, 2023 and 2022 is comprised of Residential Revenue of $11,726 and $12,966 less Residential Expenses of $5,463 and $6,432, respectively. Hotel Net Operating Income (Loss) for the three months ended March 31, 2023 and 2022 is comprised of Hotel Revenue of $8,101 and $4,557 less Hotel Expenses of $6,671 and $4,840, respectively, per the Consolidated Statements of Operations.
45

Table of Contents
Same Property Portfolio
Lease Revenue (Excluding Termination Income)
Lease revenue (excluding termination income) from the Same Property Portfolio increased by approximately $10.2 million for the three months ended March 31, 2023 compared to 2022. The increase was a result of our average revenue per square foot increasing by approximately $2.25, contributing approximately $19.9 million, partially offset by an approximately $9.7 million decrease due to our average occupancy decreasing from 91.7% to 90.4%.
Termination Income
Termination income decreased by approximately $1.9 million for the three months ended March 31, 2023 compared to 2022.
Termination income for the three months ended March 31, 2023 related to seven clients across the Same Property Portfolio and totaled approximately $0.2 million, which was primarily related to clients that terminated leases early in New York City.
Termination income for the three months ended March 31, 2022 related to ten clients across the Same Property Portfolio and totaled approximately $1.5 million, which was primarily related to clients that terminated leases early in San Francisco. In addition, we received a distribution from our unsecured credit claim against Lehman Brothers, Inc. of approximately $0.6 million.
Parking and Other Revenue
Parking and other revenue increased by approximately $3.7 million for the three months ended March 31, 2023 compared to 2022. Parking revenue increased by approximately $3.8 million and was partially offset by a decrease in other revenue of approximately $0.1 million. The increase in parking revenue was primarily due to an increase in transient and monthly parking.
Real Estate Operating Expenses
Real estate operating expenses from the Same Property Portfolio increased by approximately $14.7 million, or 5.8%, for the three months ended March 31, 2023 compared to 2022, due primarily to an increase in real estate taxes of approximately $7.2 million, or 5.8%, and other real estate operating expenses of $7.5 million, or 5.8%. The increase in real estate taxes was primarily in the Boston region.
Properties Acquired Portfolio
The table below lists the properties acquired between January 1, 2022 and March 31, 2023. Rental revenue and real estate operating expenses increased by approximately $24.4 million and $4.0 million, respectively, for the three months ended March 31, 2023 compared to 2022, as detailed below.

|  |  |  | Square Feet |  | Rental Revenue |  | Real Estate Operating Expenses
Name |  | Date acquired |  |  | 2023 |  | 2022 |  | Change |  | 2023 |  | 2022 |  | Change
|  |  |  |  |  | (dollars in thousands)
Madison Centre |  | May 17, 2022 |  | 754,988 |  |  | $ | 14,258 |  |  | $ | — |  |  | $ | 14,258 |  |  | $ | 2,960 |  |  | $ | — |  |  | $ | 2,960 |
125 Broadway |  | September 16, 2022 |  | 271,000 |  |  | 10,118 |  |  | — |  |  | 10,118 |  |  | 990 |  |  | — |  |  | 990 |
|  |  |  | 1,025,988 |  |  | $ | 24,376 |  |  | $ | — |  |  | $ | 24,376 |  |  | $ | 3,950 |  |  | $ | — |  |  | $ | 3,950 |

Properties Placed In-Service Portfolio
The table below lists the properties that were placed in-service or partially placed in-service between January 1, 2022 and March 31, 2023. Rental revenue and real estate operating expenses from our Properties Placed In-Service Portfolio increased by approximately $27.2 million and $6.7 million, respectively, for the three months ended March 31, 2023 compared to 2022, as detailed below.
46

Table of Contents

|  | Quarter Initially Placed In-Service |  | Quarter Fully Placed In-Service |  |  |  | Rental Revenue |  | Real Estate Operating Expenses |
Name |  |  |  | Square Feet |  | 2023 |  | 2022 |  | Change |  | 2023 |  | 2022 |  | Change |
|  |  |  |  |  |  |  | (dollars in thousands) |
Reston Next |  | Fourth Quarter, 2021 |  | Fourth Quarter, 2022 |  | 1,063,236 |  |  | $ | 11,335 |  |  | $ | 6,890 |  |  | $ | 4,445 |  |  | $ | 3,880 |  |  | $ | 2,114 |  |  | $ | 1,766 |  |
325 Main Street |  | Second Quarter, 2022 |  | Second Quarter, 2022 |  | 414,565 |  |  | 11,526 |  |  | — |  |  | 11,526 |  |  | 1,858 |  |  | — |  |  | 1,858 |  |
2100 Pennsylvania Avenue (1) |  | Second Quarter, 2022 |  | N/A |  | 480,000 |  |  | 5,141 |  |  | — |  |  | 5,141 |  |  | 1,727 |  |  | — |  |  | 1,727 |  |
880 Winter Street (2) |  | Third Quarter, 2022 |  | Fourth Quarter, 2022 |  | 243,618 |  |  | 6,055 |  |  | — |  |  | 6,055 |  |  | 1,335 |  |  | — |  |  | 1,335 |  |
|  |  |  |  |  | 2,201,419 |  |  | $ | 34,057 |  |  | $ | 6,890 |  |  | $ | 27,167 |  |  | $ | 8,800 |  |  | $ | 2,114 |  |  | $ | 6,686 |  |

______________
(1)See Note 13 to the Consolidated Financial Statements.
(2)Conversion of a 224,000 square foot office property located in Waltham, Massachusetts to laboratory space.
Properties in or Held for Development or Redevelopment Portfolio
The table below lists the properties that were in or held for development or redevelopment between January 1, 2022 and March 31, 2023. Rental revenue from our Properties in or Held for Development or Redevelopment Portfolio decreased by approximately $7.5 million and real estate operating expenses from our Properties in or Held for Development or Redevelopment Portfolio increased by approximately $0.8 million, for the three months ended March 31, 2023 compared to 2022, as detailed below.

|  |  |  |  |  | Rental Revenue |  | Real Estate Operating Expenses
Name |  | Date Commenced or Held for Development / Redevelopment |  | Square Feet |  | 2023 |  | 2022 |  | Change |  | 2023 |  | 2022 |  | Change
|  |  |  |  |  | (dollars in thousands)
140 Kendrick Street - Building A |  | July 1, 2022 |  | 104,000 |  |  | $ | — |  |  | $ | 1,103 |  |  | $ | (1,103) |  |  | $ | — |  |  | $ | 337 |  |  | $ | (337) |
760 Boylston Street |  | September 12, 2022 |  | 118,000 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 221 |  |  | (221) |
105 Carnegie Center |  | November 30, 2022 |  | 73,000 |  |  | — |  |  | 304 |  |  | (304) |  |  | — |  |  | 234 |  |  | (234) |
2096 Gaither Road |  | December 1, 2022 |  | 50,000 |  |  | — |  |  | 53 |  |  | (53) |  |  | 34 |  |  | 93 |  |  | (59) |
RTC Next-Hotel (1) |  | December 19, 2022 |  | N/A |  | 201 |  |  | — |  |  | 201 |  |  | 2 |  |  | — |  |  | 2 |
Kendall Center Blue Parking Garage (2) |  | January 4, 2023 |  | N/A |  | 25 |  |  | 2,439 |  |  | (2,414) |  |  | 2,277 |  |  | 324 |  |  | 1,953 |
300 Binney Street |  | January 30, 2023 |  | 236,000 |  |  | (900) |  |  | 2,927 |  |  | (3,827) |  |  | 117 |  |  | 462 |  |  | (345) |
Lexington Office Park (3) |  | March 31, 2023 |  | 166,779 |  |  | 629 |  |  | 684 |  |  | (55) |  |  | 611 |  |  | 592 |  |  | 19 |
2098 Gaither Road (3) |  | March 31, 2023 |  | 50,000 |  |  | 165 |  |  | 145 |  |  | 20 |  |  | 101 |  |  | 66 |  |  | 35 |
|  |  |  | 797,779 |  |  | $ | 120 |  |  | $ | 7,655 |  |  | $ | (7,535) |  |  | $ | 3,142 |  |  | $ | 2,329 |  |  | $ | 813 |

______________
(1)On December 19, 2022, this lease was reclassified as a sales-type lease.
(2)The Kendall Center Blue Parking Garage was taken out of service on January 4, 2023 to support the development of 290 Binney Street. Real estate operating expenses for the three months ended March 31, 2023 included approximately $2.3 million of demolition costs.
(3)Lexington Office Park and 2098 Gaither Road are no longer considered “in-service” as each property’s occupied percentage is below 50% and we are no longer actively leasing the properties in anticipation of a future development/redevelopment.
47

Table of Contents
Properties Sold Portfolio
The table below lists the properties we sold between January 1, 2022 and March 31, 2023. Rental revenue and real estate operating expenses from our Properties Sold Portfolio decreased by approximately $16.6 million and $5.4 million, respectively, for the three months ended March 31, 2023 compared to 2022, as detailed below.

|  |  |  |  |  |  |  | Rental Revenue |  | Real Estate Operating Expenses
Name |  | Date Sold |  | Property Type |  | Square Feet |  | 2023 |  | 2022 |  | Change |  | 2023 |  | 2022 |  | Change
|  |  |  |  |  |  |  | (dollars in thousands)
Office |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
195 West Street |  | March 31, 2022 |  | Office |  | 63,500 |  |  | $ | — |  |  | $ | 749 |  |  | $ | (749) |  |  | $ | — |  |  | $ | 242 |  |  | $ | (242) |
Virginia 95 Office Park |  | June 15, 2022 |  | Office/Flex |  | 733,421 |  |  | — |  |  | 2,836 |  |  | (2,836) |  |  | — |  |  | 962 |  |  | (962) |
601 Massachusetts Avenue |  | August 30, 2022 |  | Office |  | 478,667 |  |  | — |  |  | 10,436 |  |  | (10,436) |  |  | — |  |  | 3,012 |  |  | (3,012) |
|  |  |  |  |  | 1,275,588 |  |  | — |  |  | 14,021 |  |  | (14,021) |  |  | — |  |  | 4,216 |  |  | (4,216) |
Residential |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
The Avant at Reston Town Center (1) |  | November 8, 2022 |  | Residential |  | 329,195 |  |  | 342 |  |  | 2,938 |  |  | (2,596) |  |  | 82 |  |  | 1,247 |  |  | (1,165) |
Total Residential |  |  |  |  |  | 329,195 |  |  | 342 |  |  | 2,938 |  |  | (2,596) |  |  | 82 |  |  | 1,247 |  |  | (1,165) |
|  |  |  |  |  | 1,604,783 |  |  | $ | 342 |  |  | $ | 16,959 |  |  | $ | (16,617) |  |  | $ | 82 |  |  | $ | 5,463 |  |  | $ | (5,381) |

______________
(1)We retained and continue to own approximately 26,000 square feet of ground-level retail space. Rental Revenue and Real Estate Operating Expenses for the three months ended March 31, 2023 represent the ground-level retail space. Rental Revenue and Real Estate Operating Expenses for the three months ended March 31, 2022 represent the entire property and not just the portion sold.
Residential Net Operating Income
Net operating income for our residential same properties increased by approximately $1.4 million for the three months ended March 31, 2023 compared to 2022.
The following reflects our occupancy and rate information for our residential same properties for the three months ended March 31, 2023 and 2022.

|  | Average Monthly Rental Rate (1) |  | Average Rental Rate Per Occupied Square Foot |  | Average Physical Occupancy (2) |  | Average Economic Occupancy (3)
Name |  | 2023 | 2022 | Change (%) |  | 2023 | 2022 | Change (%) |  | 2023 | 2022 | Change (%) |  | 2023 | 2022 | Change (%)
Proto Kendall Square |  | $ | 3,002 |  | $ | 2,743 |  | 9.4 | % |  | $ | 5.52 |  | $ | 5.04 |  | 9.5 | % |  | 95.4 | % | 93.6 | % | 1.9 | % |  | 94.8 | % | 93.1 | % | 1.8 | %
The Lofts at Atlantic Wharf |  | $ | 4,428 |  | $ | 3,933 |  | 12.6 | % |  | $ | 4.91 |  | $ | 4.36 |  | 12.6 | % |  | 95.4 | % | 96.1 | % | (0.7) | % |  | 95.4 | % | 95.6 | % | (0.2) | %
Signature at Reston |  | $ | 2,677 |  | $ | 2,580 |  | 3.8 | % |  | $ | 2.77 |  | $ | 2.66 |  | 4.1 | % |  | 93.7 | % | 94.2 | % | (0.5) | % |  | 93.1 | % | 93.5 | % | (0.4) | %
The Skylyne |  | $ | 3,445 |  | $ | 3,342 |  | 3.1 | % |  | $ | 4.38 |  | $ | 4.03 |  | 8.7 | % |  | 91.5 | % | 71.5 | % | 28.0 | % |  | 89.3 | % | 68.6 | % | 30.2 | %

_______________
(1)Average Monthly Rental Rate is calculated as the average of the quotients obtained by dividing (A) rental revenue as determined in accordance with GAAP, by (B) the number of occupied units for each month within the applicable fiscal period.
(2)Average Physical Occupancy is defined as (1) the average number of occupied units divided by (2) the total number of units, expressed as a percentage.
(3)Average Economic Occupancy is defined as (1) total possible revenue less vacancy loss divided by (2) total possible revenue, expressed as a percentage. Total possible revenue is determined by valuing average occupied units at contract rates and average vacant units at Market Rents. Vacancy loss is determined by valuing vacant units at current Market Rents. By measuring vacant units at their Market Rents, Average Economic Occupancy takes into account the fact that units of different sizes and locations within a residential property have different economic impacts on a residential property’s total possible gross revenue. Market Rents used by us in calculating Economic Occupancy are based on the current market rates set by the managers of our residential properties based on their experience in renting their residential property’s units and publicly available market data. Actual market rents and trends in such rents for a region as reported by others may vary materially from Market Rents used by us. Market Rents for a period are based on the average Market Rents during that period and do not reflect any impact for cash concessions.
48

Table of Contents
Hotel Net Operating Income (Loss)
The Boston Marriott Cambridge hotel had net operating income of approximately $1.4 million for the three months ended March 31, 2023, representing an increase of approximately $1.7 million compared to the three months ended March 31, 2022.
The following reflects our occupancy and rate information for the Boston Marriott Cambridge hotel for the three months ended March 31, 2023 and 2022.

|  | 2023 |  | 2022 |  | Change (%)
Occupancy |  | 61.3 | % |  | 40.4 | % |  | 51.7 | %
Average daily rate |  | $ | 261.52 |  |  | $ | 266.10 |  |  | (1.7) | %
REVPAR |  | $ | 160.41 |  |  | $ | 91.38 |  |  | 75.5 | %

Other Operating Revenue and Expense Items
Development and Management Services Revenue
Development and management services revenue increased by approximately $3.1 million for the three months ended March 31, 2023 compared to 2022. Development services revenue and management services revenue increased by approximately $0.9 million and $2.2 million, respectively. The increase in development management services revenue was primarily related to an increase in development fees from unconsolidated joint ventures in the San Francisco and Washington, DC regions. The increase in management services revenue was primarily related to an increase in property management fees earned from an unconsolidated joint venture in New York City and a third-party owned building in the Washington, DC region and asset management fees earned from an unconsolidated joint venture in the Los Angeles region.
General and Administrative Expense
General and administrative expense increased by approximately $12.6 million for the three months ended March 31, 2023 compared to 2022 primarily due to increases in compensation expense and other general and administrative expenses of approximately $11.6 million and $1.0 million, respectively. The increase in compensation expense was related to (1) an approximately $4.0 million increase in the value of our deferred compensation plan and (2) an approximately $7.6 million increase in other compensation expenses, primarily due to age-based vesting. The increase in other general and administrative expenses was primarily related to an increase in professional fees.
Wages directly related to the development of rental properties are capitalized and included in real estate assets on our Consolidated Balance Sheets and amortized over the useful lives of the applicable asset or lease term. Capitalized wages for the three months ended March 31, 2023 and 2022 were approximately $4.5 million and $4.0 million, respectively. These costs are not included in the general and administrative expenses discussed above.
Transaction Costs
Transaction costs increased by approximately $0.9 million for the three months ended March 31, 2023 compared to 2022 due primarily to costs incurred in connection with the pursuit and formation of new joint ventures. In general, transaction costs relating to the formation of new joint ventures and the pursuit of other transactions are expensed as incurred.
Depreciation and Amortization Expense
Depreciation expense may differ between BXP and BPLP as a result of previously applied acquisition accounting by BXP for the issuance of common stock in connection with non-sponsor OP Unit redemptions by BPLP. This accounting resulted in a step-up of the real estate assets at BXP that was allocated to certain properties. The difference between the real estate assets of BXP as compared to BPLP for certain properties having an allocation of the real estate step-up will result in a corresponding difference in depreciation expense. For additional information see the Explanatory Note that immediately follows the cover page of this Quarterly Report on Form 10-Q.
49

Table of Contents
BXP
Depreciation and amortization expense increased by approximately $31.1 million for the three months ended March 31, 2023 compared to 2022, as detailed below.

Portfolio |  | Depreciation and Amortization for the three months ended March 31,
2023 |  | 2022 |  | Change
|  | (in thousands)
Same Property Portfolio |  | $ | 169,106 |  |  | $ | 168,572 |  |  | $ | 534 |
Properties Acquired Portfolio |  | 15,856 |  |  | — |  |  | 15,856 |
Properties Placed In-Service Portfolio |  | 10,974 |  |  | 3,012 |  |  | 7,962 |
Properties in Development or Redevelopment Portfolio (1) |  | 12,686 |  |  | 2,804 |  |  | 9,882 |
Properties Sold Portfolio |  | 112 |  |  | 3,236 |  |  | (3,124) |
|  | $ | 208,734 |  |  | $ | 177,624 |  |  | $ | 31,110 |

______________
(1)During the three months ended March 31, 2023, the Kendall Center Blue Parking Garage was taken out of service and demolished to support the development of 290 Binney Street, an approximately 566,000 net rentable square foot laboratory/life sciences project in Cambridge, Massachusetts. As a result, during the three months ended March 31, 2023, we recorded approximately $0.8 million of accelerated depreciation expense for the demolition of the garage, of which approximately $0.2 million related to the step-up of real estate assets.
BPLP
Depreciation and amortization expense increased by approximately $31.0 million for the three months ended March 31, 2023 compared to 2022, as detailed below.

Portfolio |  | Depreciation and Amortization for the three months ended March 31,
2023 |  | 2022 |  | Change
|  | (in thousands)
Same Property Portfolio |  | $ | 167,424 |  |  | $ | 166,834 |  |  | $ | 590 |
Properties Acquired Portfolio |  | 15,856 |  |  | — |  |  | 15,856 |
Properties Placed In-Service Portfolio |  | 10,974 |  |  | 3,012 |  |  | 7,962 |
Properties in Development or Redevelopment Portfolio (1) |  | 12,506 |  |  | 2,804 |  |  | 9,702 |
Properties Sold Portfolio |  | 112 |  |  | 3,236 |  |  | (3,124) |
|  | $ | 206,872 |  |  | $ | 175,886 |  |  | $ | 30,986 |

______________
(1)During the three months ended March 31, 2023, the Kendall Center Blue Parking Garage was taken out of service and demolished to support the development of 290 Binney Street, an approximately 566,000 net rentable square foot laboratory/life sciences project in Cambridge, Massachusetts. As a result, during the three months ended March 31, 2023, we recorded approximately $0.6 million of accelerated depreciation expense for the demolition of the garage.
Direct Reimbursements of Payroll and Related Costs From Management Services Contracts and Payroll and Related Costs From Management Service Contracts
We have determined that amounts reimbursed for payroll and related costs received from third parties in connection with management services contracts should be reflected on a gross basis instead of on a net basis as we have determined that we are the principal under these arrangements. We anticipate that these two financial statement line items will generally offset each other.
Other Income and Expense Items
Income (loss) from Unconsolidated Joint Ventures
For the three months ended March 31, 2023 compared to 2022, income (loss) from unconsolidated joint ventures decreased by approximately $9.8 million due primarily to an increase in interest expense due to increasing interest rates on variable rate debt.
50

Table of Contents
Gains on Sales of Real Estate
Gains on sales of real estate may differ between BXP and BPLP as a result of previously applied acquisition accounting by BXP for the issuance of common stock in connection with non-sponsor OP Unit redemptions by BPLP. This accounting resulted in a step-up of the real estate assets at BXP that was allocated to certain properties. The difference between the real estate assets of BXP as compared to BPLP for certain properties having an allocation of the real estate step-up will result in a corresponding difference in the gains on sales of real estate when those properties are sold. For additional information, see the Explanatory Note that immediately follows the cover page of this Quarterly Report on Form 10-Q.
BXP
Gains on sales of real estate decreased by approximately $22.7 million for the three months ended March 31, 2023 compared to 2022. During the three months ended March 31, 2022, we recognized a gain of approximately $22.7 million related to the sale of 195 West Street in Waltham, Massachusetts.
BPLP
Gains on sales of real estate decreased by approximately $23.4 million for the three months ended March 31, 2023 compared to 2022. During the three months ended March 31, 2022, we recognized a gain of approximately $23.4 million related to the sale of 195 West Street in Waltham, Massachusetts.
Interest and Other Income (Loss)
Interest and other income (loss) increased by approximately $9.7 million for the three months ended March 31, 2023 compared to 2022, due primarily to an increase of approximately $10.1 million in interest income due to increased interest earned on our deposits.
Gains (Losses) from Investments in Securities
Gains (losses) from investments in securities for the three months ended March 31, 2023 and 2022 related to investments that we have made to reduce our market risk relating to deferred compensation plans that we maintain for BXP’s officers and former non-employee directors. Under the deferred compensation plans, each officer or non-employee director who is eligible to participate is permitted to defer a portion of the officer’s current income or the non-employee director’s compensation on a pre-tax basis and receive a tax-deferred return on these deferrals based on the performance of specific investments selected by the officer or non-employee director. In order to reduce our market risk relating to these plans, we typically acquire, in a separate account that is not restricted as to its use, similar or identical investments as those selected by each officer or non-employee director. This enables us to generally match our liabilities to BXP’s officers or former non-employee directors under our deferred compensation plans with equivalent assets and thereby limit our market risk. The performance of these investments is recorded as gains (losses) from investments in securities. During the three months ended March 31, 2023 and 2022, we recognized gains (losses) of approximately $1.7 million and $(2.3) million, respectively, on these investments. By comparison, our general and administrative expense increased (decreased) by approximately $1.7 million and $(2.3) million during the three months ended March 31, 2023 and 2022, respectively, as a result of increases (decreases) in our liability under our deferred compensation plans that was associated with the performance of the specific investments selected by officers and former non-employee directors of BXP participating in the plans.
Unrealized Gain on Non-Real Estate Investment
During the year ended December 31, 2022, we began investing in non-real estate investments, which are primarily environmentally-focused investment funds. As a result, for the three months ended March 31, 2023, we recognized an unrealized gain of $0.3 million due to the observable changes in the fair value of the investments.
Interest Expense
Interest expense increased by approximately $33.0 million for the three months ended March 31, 2023 compared to 2022, as detailed below.
51

Table of Contents

Component |  | Change in interest expense for the three months ended March 31, 2023 compared to March 31, 2022
|  | (in thousands)
Increases to interest expense due to: |  |
Increase in interest associated with unsecured term loan |  | $ | 16,210 |
Issuance of $750 million in aggregate principal of 6.750% senior notes due 2027 on November 17, 2022 |  | 12,675 |
Increase in interest due to finance lease for one in-service property |  | 1,894 |
Amortization expense of financing fees primarily related to unsecured term loan |  | 1,386 |
Decrease in capitalized interest related to development projects |  | 1,308 |
Other interest expense (excluding senior notes) |  | 44 |
Total increases to interest expense |  | 33,517 |
Decrease to interest expense due to: |  |
Decrease in interest associated with unsecured credit facilities |  | (538) |
Total decrease to interest expense |  | (538) |
Total change in interest expense |  | $ | 32,979 |

Interest expense directly related to the development of rental properties is capitalized and included in real estate assets on our Consolidated Balance Sheets and amortized over the useful lives of the real estate or lease term. As portions of properties are placed in-service, we cease capitalizing interest on that portion and interest is then expensed. Interest capitalized for the three months ended March 31, 2023 and 2022 was approximately $10.6 million and $13.7 million, respectively. These costs are not included in the interest expense referenced above.
At March 31, 2023, our variable rate debt consisted of BPLP’s $1.5 billion unsecured credit facility (the “Revolving Facility”) and $1.2 billion 2023 Unsecured Term Loan. For a summary of our consolidated debt as of March 31, 2023 and March 31, 2022 refer to the heading “Liquidity and Capital Resources—Debt Financing” within “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations.”
Noncontrolling Interests in Property Partnerships
Noncontrolling interests in property partnerships increased by approximately $1.1 million for the three months ended March 31, 2023 compared to 2022, as detailed below.

Property |  | Noncontrolling Interests in Property Partnerships for the three months ended March 31,
2023 |  | 2022 |  | Change
|  | (in thousands)
767 Fifth Avenue (the General Motors Building) |  | $ | 2,403 |  |  | $ | 3,037 |  |  | $ | (634) |
Times Square Tower |  | 5,683 |  |  | 5,300 |  |  | 383 |
601 Lexington Avenue (1) |  | 4,011 |  |  | 2,279 |  |  | 1,732 |
100 Federal Street |  | 2,812 |  |  | 3,163 |  |  | (351) |
Atlantic Wharf Office Building |  | 3,751 |  |  | 3,770 |  |  | (19) |
|  | $ | 18,660 |  |  | $ | 17,549 |  |  | $ | 1,111 |

_______________
(1)The increase was primarily attributable to an increase in lease revenue from our clients.
Noncontrolling Interest—Common Units of the Operating Partnership
For BXP, noncontrolling interest—common units of the Operating Partnership decreased by approximately $7.3 million for the three months ended March 31, 2023 compared to 2022 due primarily to a decrease in allocable income, which included recognizing a greater gain on sales of real estate during 2022. Due to our ownership structure, there is no corresponding line item on BPLP’s financial statements.
52

Table of Contents
Liquidity and Capital Resources
General
Our principal liquidity needs for the next twelve months and beyond are to:
•fund normal recurring expenses;
•meet debt service and principal repayment obligations and balloon payments on maturing debt, including $500 million of 3.125% unsecured senior notes due September 1, 2023 and $700 million of 3.800% unsecured senior notes due February 1, 2024;
•fund development and redevelopment costs;
•fund capital expenditures, including major renovations, tenant improvements and leasing costs;
•fund pending and possible acquisitions of properties, either directly or indirectly through the acquisition of equity interests therein; and
•make the minimum distribution required to enable BXP to maintain its REIT qualification under the Internal Revenue Code of 1986, as amended.
We expect to satisfy these needs using one or more of the following:
•cash flow from operations;
•distribution of cash flows from joint ventures;
•cash and cash equivalent balances;
•borrowings under BPLP’s Revolving Facility, unsecured term loans, short-term bridge facilities and construction loans;
•long-term secured and unsecured indebtedness (including unsecured exchangeable indebtedness);
•sales of real estate and interests in joint ventures owning real estate;
•private equity sources, including through our Strategic Capital Program (“SCP”) with large institutional investors; and
•issuances of BXP equity securities and/or preferred or common units of partnership interests in BPLP.
We draw on multiple financing sources to fund our long-term capital needs. We expect to fund our current development/redevelopment properties primarily with our available cash balances, construction loans, unsecured term loans, proceeds from asset sales and BPLP’s Revolving Facility. We use BPLP’s Revolving Facility primarily as a bridge facility to fund acquisition opportunities, refinance outstanding indebtedness and meet short-term development and working capital needs. Although we may seek to fund our development projects with construction loans, which may require guarantees by BPLP, the financing for each particular project ultimately depends on several factors, including, among others, the project’s size and duration, the extent of pre-leasing, our available cash and access to cost effective capital at the given time.
53

Table of Contents
The following table presents information on properties under construction/redevelopment as of March 31, 2023 (dollars in thousands):

|  |  |  |  |  |  |  |  |  |  |  |  |  | Financings |  |  |  |  |
Construction/Redevelopment Properties |  | Estimated Stabilization Date |  | Location |  | # of Buildings |  | Estimated Square Feet |  | Investment to Date (1)(2)(3) |  | Estimated Total Investment (1)(2) |  | Total Available (1) |  | Outstanding at March 31, 2023 (1) |  | Estimated Future Equity Requirement (1)(2)(4) |  | Percentage Leased (5) |
Office |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
140 Kendrick - Building A (Redevelopment) |  | Third Quarter, 2023 |  | Needham, MA |  | 1 |  | 104,000 |  |  | $ | 19,133 |  |  | $ | 26,600 |  |  | $ | — |  |  | $ | — |  |  | $ | 7,467 |  |  | 100 | % |
2100 Pennsylvania Avenue |  | Third Quarter, 2024 |  | Washington, DC |  | 1 |  | 480,000 |  |  | 334,638 |  |  | 375,900 |  |  | — |  |  | — |  |  | 41,262 |  |  | 84 | % | (6)
360 Park Avenue South (42% ownership) |  | Fourth Quarter, 2025 |  | New York, NY |  | 1 |  | 450,000 |  |  | 206,950 |  |  | 248,000 |  |  | 92,774 |  |  | 89,677 |  |  | 37,953 |  |  | — | % | (7)
Reston Next Office Phase II |  | Second Quarter, 2025 |  | Reston, VA |  | 1 |  | 90,000 |  |  | 29,578 |  |  | 61,000 |  |  | — |  |  | — |  |  | 31,422 |  |  | — | % |
Platform 16 Building A (55% ownership) |  | Fourth Quarter, 2026 |  | San Jose, CA |  | 1 |  | 389,500 |  |  | 93,161 |  |  | 231,900 |  |  | — |  |  | — |  |  | 138,739 |  |  | — | % | (8)
Total Office Properties under Construction/Redevelopment |  | 5 |  | 1,513,500 |  |  | 683,460 |  |  | 943,400 |  |  | 92,774 |  |  | 89,677 |  |  | 256,843 |  |  | 34 | % |
Laboratory/Life Sciences |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
751 Gateway (49% ownership) |  | Second Quarter, 2024 |  | South San Francisco, CA |  | 1 |  | 231,000 |  |  | 95,636 |  |  | 127,600 |  |  | — |  |  | — |  |  | 31,964 |  |  | 100 | % |
103 CityPoint |  | Third Quarter, 2024 |  | Waltham, MA |  | 1 |  | 113,000 |  |  | 60,312 |  |  | 115,100 |  |  | — |  |  | — |  |  | 54,788 |  |  | — | % |
180 CityPoint |  | Fourth Quarter, 2024 |  | Waltham, MA |  | 1 |  | 329,000 |  |  | 168,668 |  |  | 274,700 |  |  | — |  |  | — |  |  | 106,032 |  |  | 43 | % |
300 Binney Street |  | First Quarter, 2025 |  | Cambridge, MA |  | 1 |  | 236,000 |  |  | 14,914 |  |  | 210,200 |  |  | — |  |  | — |  |  | 195,286 |  |  | 100 | % |
105 Carnegie Center (Redevelopment) |  | Second Quarter, 2025 |  | Princeton, NJ |  | 1 |  | 73,000 |  |  | 1,030 |  |  | 40,600 |  |  | — |  |  | — |  |  | 39,570 |  |  | — | % |
651 Gateway (50% ownership) (Redevelopment) |  | Fourth Quarter, 2025 |  | South San Francisco, CA |  | 1 |  | 327,000 |  |  | 46,074 |  |  | 146,500 |  |  | — |  |  | — |  |  | 100,426 |  |  | 7 | % |
290 Binney Street |  | Second Quarter, 2026 |  | Cambridge, MA |  | 1 |  | 566,000 |  |  | 124,026 |  |  | 1,185,200 |  |  | — |  |  | — |  |  | 1,061,174 |  |  | 100 | % |
Total Laboratory/Life Sciences Properties under Construction/Redevelopment | 7 |  | 1,875,000 |  | 510,660 |  |  | 2,099,900 |  | — |  |  | — |  |  | 1,589,240 |  |  | 64 | % |
Residential |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Reston Next Residential (508 units) (20% ownership) |  | Second Quarter, 2026 |  | Reston, VA |  | 1 |  | 417,000 |  |  | 11,509 |  |  | 47,700 |  |  | 28,000 |  |  | 5,045 |  |  | 13,236 |  |  | — | % |
Total Residential Properties under Construction |  |  |  | 1 |  | 417,000 |  |  | 11,509 |  |  | 47,700 |  |  | 28,000 |  |  | 5,045 |  |  | 13,236 |  |  | — |  |
Retail |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
760 Boylston Street (Redevelopment) |  | Second Quarter, 2024 |  | Boston, MA |  | 1 |  | 118,000 |  |  | 4,047 |  |  | 43,800 |  |  | — |  |  | — |  |  | 39,753 |  |  | 100 | % |
Reston Next Retail |  | Fourth Quarter, 2025 |  | Reston, VA |  | 1 |  | 33,000 |  |  | 18,495 |  |  | 26,600 |  |  | — |  |  | — |  |  | 8,105 |  |  | — | % |
Total Retail Properties under Construction/Redevelopment |  | 2 |  | 151,000 |  |  | 22,542 |  |  | 70,400 |  |  | — |  |  | — |  |  | 47,858 |  |  | 78 | % |
Other |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
View Boston Observatory at The Prudential Center (Redevelopment) |  | N/A |  | Boston, MA |  | — |  | 59,000 |  |  | 161,945 |  |  | 182,300 |  |  | — |  |  | — |  |  | 20,355 |  |  | N/A | (9)
Total Properties under Construction/Redevelopment |  | 15 |  | 4,015,500 |  |  | $ | 1,390,116 |  |  | $ | 3,343,700 |  |  | $ | 120,774 |  |  | $ | 94,722 |  |  | $ | 1,927,532 |  |  | 52 | % | (10)

___________
(1)Represents our share.
54

Table of Contents
(2)Each of Investment to Date, Estimated Total Investment and Estimated Future Equity Requirement represent our share of acquisition expenses, as applicable, and reflect our share of the estimated net revenue/expenses that we expect to incur prior to stabilization of the project, including any amounts actually received or paid through March 31, 2023.
(3)Includes approximately $174.1 million of unpaid but accrued construction costs and leasing commissions.
(4)Excludes approximately $174.1 million of unpaid but accrued construction costs and leasing commissions.
(5)Represents percentage leased as of April 28, 2023, including leases with future commencement dates.
(6)The property was 64% placed in-service as of March 31, 2023. See Note 13 to the Consolidated Financial Statements.
(7)Investment to Date includes all related costs incurred prior to the contribution of the property by us to the joint venture on December 15, 2021 totaling approximately $107 million and our proportionate share of the loan. Our joint venture partners will fund required capital until their aggregate investment is approximately 58% of all capital contributions; thereafter, the joint venture partners will fund required capital according to their percentage interests.
(8)Estimated total investment represents the costs to complete Building A, a 389,500 square foot building, and Building A’s proportionate share of land and garage costs. In conjunction with the construction of Building A, garage and site work will be completed for Phase II, which will support approximately 700,000 square feet of development in two office buildings, budgeted to be an incremental $118 million remaining to spend.
(9)We expect to place this project in-service and open to the public in the second quarter of 2023.
(10)Percentage leased excludes the residential property and the View Boston Observatory at The Prudential Center (redevelopment) at 800 Boylston Street - The Prudential Center.
55

Table of Contents
Lease revenue (which includes recoveries from clients), other income from operations, available cash balances, proceeds from mortgage financings and offerings of unsecured indebtedness, draws on BPLP’s Revolving Facility, and funding from institutional private equity partners are the principal sources of capital that we use to fund operating expenses, debt service, maintenance and repositioning capital expenditures, tenant improvements and the minimum distribution required to enable BXP to maintain its REIT qualification. We seek to maximize income from our existing properties by maintaining quality standards for our properties that promote high occupancy rates and permit increases in rental rates while reducing client turnover and controlling operating expenses. Our sources of revenue also include third-party fees generated by our property management, leasing, development and construction businesses, as well as the sale of assets from time to time. We believe these sources of capital will continue to provide the funds necessary for our short-term liquidity needs. Material adverse changes in one or more sources of capital may adversely affect our net cash flows.
We expect our primary uses of capital over the next twelve months will be to fund the continuation and completion of our current and committed development and redevelopment projects, repay debt maturities (as discussed below), service the interest payments on our outstanding indebtedness, and satisfy our REIT distribution requirements.
As of March 31, 2023, we had 15 properties under development or redevelopment. Our share of the estimated total cost for these projects is approximately $3.3 billion, of which approximately $1.9 billion remains to be funded with equity through 2026. In the first quarter of 2023, we commenced the development/redevelopment of:
•290 Binney Steet in Cambridge, Massachusetts, an approximately 566,000 net rentable square foot laboratory/life sciences project. The project has a total budget of approximately $1.2 billion and is expected to be completed in 2026. The project is 100% pre-leased to AstraZeneca.
•300 Binney Street in Cambridge, Massachusetts. The redevelopment of this approximately 195,000 net rentable square foot property into an approximately 236,000 net rentable square foot laboratory/life sciences property has a total budgeted cost of $210.2 million. This project is 100% pre-leased to the Broad Institute.
On January 4, 2023, we entered into the 2023 Unsecured Term Loan, which provided for a $1.2 billion unsecured term loan facility that matures in May 2024, with one, twelve-month extension, subject to the satisfaction of customary conditions. Upon entry into the credit agreement, we borrowed the full $1.2 billion available under the 2023 Unsecured Term Loan, a portion of which was used to repay in full the $730.0 million 2022 Unsecured Term Loan, which was scheduled to mature on May 16, 2023.
After repayment of the 2022 Unsecured Term Loan on January 4, 2023, our remaining 2023 and 2024 debt maturities include (1) $500.0 million aggregate principal amount of BPLP’s 3.125% senior unsecured notes, which mature on September 1, 2023, (2) $700.0 million aggregate principal amount of BPLP’s 3.800% senior unsecured notes, which mature on February 1, 2024 and (3) the $1.2 billion 2023 Unsecured Term Loan (unless extended as noted above). In our unconsolidated joint venture portfolio, after extending the construction loan collateralized by 7750 Wisconsin Avenue in April 2023 (see Note 13 to the Consolidated Financial Statements), we have approximately $481.2 million (our share) of debt maturing through 2024. We expect to fund 2023 and 2024 debt maturities using available cash balances, proceeds from asset sales, draws on BPLP’s Revolving Facility, and/or through refinancings using secured debt, unsecured debt or both. We expect our quarterly interest expense will increase moderately for the remainder of 2023 compared to the first quarter of 2023 primarily due to the cessation of capitalized interest on our 2023 development deliveries.
As of April 28, 2023, we had available cash of approximately $670.2 million (of which approximately $99.9 million is attributable to our consolidated joint venture partners). Our liquidity and capital resources depend on a wide range of factors, and we believe that our access to capital and our strong liquidity, including the approximately $1.5 billion available under BPLP’s Revolving Facility and our available cash, as of April 28, 2023, are sufficient to fund our remaining capital requirements on existing development and redevelopment projects, fund acquisitions, repay our maturing indebtedness when due (if not refinanced), satisfy our REIT distribution requirements and still allow us to act opportunistically on attractive investment opportunities.
We may seek to enhance our liquidity to fund our current and future development activity, pursue additional attractive investment opportunities and refinance or repay indebtedness. Depending on interest rates, the overall conditions in the debt and public and private equity markets, and our leverage at the time, we may decide to access one or more of these capital sources. Doing so may result in us carrying additional cash and cash equivalents
56

Table of Contents
pending our use of the proceeds, which could increase our net interest expense or be dilutive to our earnings, or both.
We have not sold any shares under BXP’s $600.0 million “at the market” equity offering program, which is scheduled to expire on May 22, 2023. We expect to replace the “at the market” equity offering program prior to its expiration.
REIT Tax Distribution Considerations
Dividend
BXP as a REIT is subject to a number of organizational and operational requirements, including a requirement that BXP currently distribute at least 90% of its annual taxable income (excluding capital gains and with certain other adjustments). Our policy is for BXP to distribute at least 100% of its taxable income, including capital gains, to avoid paying federal tax. Common and LTIP unitholders (other than unearned MYLTIP units) of limited partnership interest in BPLP receive the same total distribution per unit.
BXP’s Board of Directors will continue to evaluate BXP’s dividend rate in light of our actual and projected taxable income (including gains on sales), liquidity requirements and other circumstances, and there can be no assurance that the future dividends declared by BXP’s Board of Directors will not differ materially from the current quarterly dividend amount.
Sales
To the extent that we sell assets at a gain and cannot efficiently use the proceeds in a tax deferred manner for either our development activities or attractive acquisitions, BXP would, at the appropriate time, decide whether it is better to declare a special dividend, adopt a stock repurchase program, reduce indebtedness or retain the cash for future investment opportunities. Such a decision will depend on many factors including, among others, the timing, availability and terms of development and acquisition opportunities, our then-current and anticipated leverage, the cost and availability of capital from other sources, the price of BXP’s common stock and REIT distribution requirements. At a minimum, we expect that BXP would distribute at least that amount of proceeds necessary for BXP to avoid paying corporate level tax on the applicable gains realized from any asset sales.
From time to time in select cases, whether due to a change in use, structuring issues to comply with applicable REIT regulations or other reasons, we may sell an asset that is held by a taxable REIT subsidiary (“TRS”). Such a sale by a TRS would be subject to federal and local taxes.
Cash Flow Summary
The following summary discussion of our cash flows is based on the Consolidated Statements of Cash Flows and is not meant to be an all-inclusive discussion of the changes in our cash flows for the periods presented below.
Cash and cash equivalents and cash held in escrows aggregated approximately $964.3 million and $482.3 million at March 31, 2023 and 2022, respectively, representing an increase of approximately $482.0 million. The following table sets forth changes in cash flows:

| Three months ended March 31,
2023 |  | 2022 |  | Change
(in thousands)
Net cash provided by operating activities | $ | 234,010 |  |  | $ | 219,490 |  |  | $ | 14,520 |
Net cash used in investing activities | (285,592) |  |  | (151,335) |  |  | (134,257) |
Net cash provided by (used in) financing activities | 279,052 |  |  | (86,970) |  |  | 366,022 |

Our principal source of cash flow is related to the operation of our properties. The weighted-average term of our in-place leases, including leases signed by our unconsolidated joint ventures, excluding residential units, was approximately 7.6 years as of March 31, 2023, with occupancy rates historically in the range of 88% to 94%. Generally, our properties generate a relatively consistent stream of cash flow that provides us with resources to pay operating expenses, debt service and fund regular quarterly dividend and distribution payment requirements. In addition, over the past several years, we have raised capital through the sale of some of our properties and through secured and unsecured borrowings.
57

Table of Contents
Cash is used in investing activities to fund acquisitions, development, net investments in unconsolidated joint ventures and maintenance and repositioning capital expenditures. We selectively invest in new projects that enable us to take advantage of our development, leasing, financing and property management skills and invest in existing buildings to enhance or maintain our market position. Cash used in investing activities for the three months ended March 31, 2023 and March 31, 2022 is detailed below:

| Three months ended March 31,
| 2023 |  | 2022
| (in thousands)
Acquisitions of real estate | $ | — |  |  | $ | (3,580) |
Construction in progress (1) | (119,682) |  |  | (100,313) |
Building and other capital improvements | (39,100) |  |  | (26,811) |
Tenant improvements | (67,175) |  |  | (55,168) |
Proceeds from the sales of real estate (2) | — |  |  | 35,397 |
Capital contributions to unconsolidated joint ventures (3) | (60,745) |  |  | (26,293) |
Capital distributions from unconsolidated joint ventures (4) | — |  |  | 20,095 |
Investment in non-real estate investments | (733) |  |  | — |
Investments in securities, net | 1,843 |  |  | 5,338 |
Net cash used in investing activities | $ | (285,592) |  |  | $ | (151,335) |

Cash used in investing activities changed primarily due to the following:
(1)Construction in progress for the three months ended March 31, 2023 included ongoing expenditures associated with 2100 Pennsylvania Avenue, which was partially placed in-service during the three months ended March 31, 2023. In addition, we incurred costs associated with our continued development/redevelopment of 180 CityPoint, View Boston Observatory at The Prudential Center, 103 CityPoint, Reston Next Office Phase II, 140 Kendrick Street Building A, 760 Boylston Street, 105 Carnegie Center, 290 Binney Street and 300 Binney Street.
Construction in progress for the three months ended March 31, 2022 included ongoing expenditures associated with Reston Next, which is partially placed in-service. In addition, we incurred costs associated with our continued development/redevelopment of 325 Main Street, 2100 Pennsylvania Avenue, 180 CityPoint, View Boston Observatory at The Prudential Center, 880 Winter Street and 103 CityPoint.
(2)On March 31, 2022, we completed the sale of 195 West Street located in Waltham, Massachusetts for a gross sale price of $37.7 million. Net cash proceeds totaled approximately $35.4 million, resulting in a gain on sale of real estate totaling approximately $22.7 million for BXP and approximately $23.4 million for BPLP. 195 West Street is an approximately 63,500 net rentable square foot premier workplace.
(3)Capital contributions to unconsolidated joint ventures for the three months ended March 31, 2023 consisted primarily of cash contributions of approximately $17.3 million, $15.6 million, $11.6 million, $6.5 million and $4.0 million to our Worldgate Drive, Gateway Commons, Platform 16, Dock 72 and 751 Gateway joint ventures, respectively. On January 31, 2023, we entered into a new joint venture for 13100 and 13150 Worldgate Drive located in Herndon, Virginia.
Capital contributions to unconsolidated joint ventures for the three months ended March 31, 2022 consisted primarily of cash contributions of approximately $14.1 million and $7.9 million to our Gateway Commons and Platform 16 joint ventures, respectively.
(4)Capital distributions from unconsolidated joint ventures for the three months ended March 31, 2022 consisted primarily of a cash distribution totaling approximately $20.1 million from our Metropolitan Square joint venture resulting from the excess proceeds from the refinancing of the mortgage and mezzanine loans on the property.
Cash provided by financing activities for the three months ended March 31, 2023 totaled approximately $279.1 million. This amount consisted primarily of borrowings under the 2023 Unsecured Term Loan, partially offset by the repayment of our 2022 Unsecured Term Loan and payment of our regular dividends and distributions to our
58

Table of Contents
shareholders and unitholders and distributions to noncontrolling interests in property partnerships. Future debt payments are discussed below under the heading “Debt Financing.”
Capitalization
The following table presents Consolidated Market Capitalization and BXP’s Share of Market Capitalization, as well as the corresponding ratios of Consolidated Debt to Consolidated Market Capitalization and BXP’s Share of Debt to BXP’s Share of Market Capitalization (in thousands except for percentages):

|  | March 31, 2023 |
|  | Shares / Units Outstanding |  | Common Stock Equivalent |  | Equivalent Value (1) |
Common Stock |  | 156,830 |  |  | 156,830 |  |  | $ | 8,487,640 |  |
Common Operating Partnership Units |  | 18,659 |  |  | 18,659 |  |  | 1,009,825 |  | (2)
Total Equity |  |  |  | 175,489 |  |  | $ | 9,497,465 |  |
Consolidated Debt |  |  |  |  |  | $ | 14,709,436 |  |
Add: |  |  |  |  |  |  |
BXP’s share of unconsolidated joint venture debt (3) |  |  |  |  |  | 1,604,852 |  |
Subtract: |  |  |  |  |  |  |
Partners’ share of Consolidated Debt (4) |  |  |  |  |  | (1,358,881) |  |
BXP’s Share of Debt |  |  |  |  |  | $ | 14,955,407 |  |
Consolidated Market Capitalization |  |  |  |  |  | $ | 24,206,901 |  |
BXP’s Share of Market Capitalization |  |  |  |  |  | $ | 24,452,872 |  |
Consolidated Debt/Consolidated Market Capitalization |  |  |  |  |  | 60.77 | % |
BXP’s Share of Debt/BXP’s Share of Market Capitalization |  |  |  |  |  | 61.16 | % |

_______________
(1)Values are based on the closing price per share of BXP’s Common Stock on the New York Stock Exchange on March 31, 2023 of $54.12.
(2)Includes long-term incentive plan units (including 2012 OPP Units and 2013 - 2020 MYLTIP Units) but excludes the 2021 - 2023 MYLTIP Units because the three-year performance periods had not ended as of March 31, 2023.
(3)See page 64 for additional information.
(4)See page 63 for additional information.
Consolidated Debt to Consolidated Market Capitalization Ratio is a measure of leverage commonly used by analysts in the REIT sector. We present this measure as a percentage and it is calculated by dividing (A) our consolidated debt by (B) our consolidated market capitalization, which is the market value of our outstanding equity securities plus our consolidated debt. Consolidated market capitalization is the sum of:
(1) our consolidated debt; plus
(2) the product of (x) the closing price per share of BXP Common Stock on March 31, 2023, as reported by the New York Stock Exchange, multiplied by (y) the sum of:
(i) the number of outstanding shares of Common Stock of BXP,
(ii) the number of outstanding OP Units in BPLP (excluding OP Units held by BXP),
(iii) the number of OP Units issuable upon conversion of all outstanding LTIP Units, assuming all conditions have been met for the conversion of the LTIP Units, and
(iv) the number of OP Units issuable upon conversion of 2012 OPP Units, and 2013 - 2020 MYLTIP Units that were issued in the form of LTIP Units.
59

Table of Contents
The calculation of consolidated market capitalization does not include LTIP Units issued in the form of MYLTIP Awards unless and until certain performance thresholds are achieved and they are earned. Because their three-year performance periods have not yet ended, 2021 - 2023 MYLTIP Units are not included in this calculation as of March 31, 2023.
We also present BXP’s Share of Market Capitalization and BXP’s Share of Debt/BXP’s Share of Market Capitalization, which are calculated in the same manner, except that BXP’s Share of Debt is utilized instead of our consolidated debt in both the numerator and the denominator. BXP’s Share of Debt is defined as our consolidated debt plus our share of debt from our unconsolidated joint ventures (calculated based upon our ownership percentage), minus our partners’ share of debt from our consolidated joint ventures (calculated based upon the partners’ percentage ownership interests adjusted for basis differentials). Management believes that BXP’s Share of Debt provides useful information to investors regarding our financial condition because it includes our share of debt from unconsolidated joint ventures and excludes our partners’ share of debt from consolidated joint ventures, in each case presented on the same basis. We have several significant joint ventures and presenting various measures of financial condition in this manner can help investors better understand our financial condition and/or results of operations after taking into account our economic interest in these joint ventures. We caution investors that the ownership percentages used in calculating BXP’s Share of Debt may not completely and accurately depict all of the legal and economic implications of holding an interest in a consolidated or unconsolidated joint venture. For example, in addition to partners’ interests in profits and capital, venture agreements vary in the allocation of rights regarding decision making (both for routine and major decisions), distributions, transferability of interests, financing and guarantees, liquidations and other matters. Moreover, in some cases we exercise significant influence over, but do not control, the joint venture in which case GAAP requires that we account for the joint venture entity using the equity method of accounting and we do not consolidate it for financial reporting purposes. In other cases, GAAP requires that we consolidate the venture even though our partner(s) own(s) a significant percentage interest. As a result, management believes that the presentation of BXP’s Share of a financial measure should not be considered a substitute for, and should only be considered with and as a supplement to our financial information presented in accordance with GAAP.
We present these supplemental ratios because our degree of leverage could affect our ability to obtain additional financing for working capital, capital expenditures, acquisitions, development or other general corporate purposes and because different investors and lenders consider one or both of these ratios. Investors should understand that these ratios are, in part, a function of the market price of the common stock of BXP and as such will fluctuate with changes in such price, and they do not necessarily reflect our capacity to incur additional debt to finance our activities or our ability to manage our existing debt obligations. However, for a company like BXP, whose assets are primarily income-producing real estate, these ratios may provide investors with an alternate indication of leverage, so long as they are evaluated along with the ratio of indebtedness to other measures of asset value used by financial analysts and other financial ratios, as well as the various components of our outstanding indebtedness.
For a discussion of our unconsolidated joint venture indebtedness, see “Liquidity and Capital Resources—Investment in Unconsolidated Joint Ventures - Secured Debt” w ithin “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations” and for a discussion of our consolidated joint venture indebtedness see “Liquidity and Capital Resources—Mortgage Notes Payable” within “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations.”
Debt Financing
As of March 31, 2023, we had approximately $14.7 billion of outstanding consolidated indebtedness, representing approximately 60.77% of our Consolidated Market Capitalization as calculated above consisting of approximately (1) $10.2 billion (net of discount and deferred financing fees) in publicly traded unsecured senior notes having a GAAP weighted-average interest rate of 3.69% per annum and maturities in 2023 through 2033, (2) $3.3 billion (net of deferred financing fees) of property-specific mortgage debt having a GAAP weighted-average interest rate of 3.42% per annum and a weighted-average term of 5.6 years and (3) $1.2 billion outstanding under BPLP’s 2023 Unsecured Term Loan that matures on May 16, 2024.
The table below summarizes the aggregate carrying value of our mortgage notes payable and BPLP’s unsecured senior notes, unsecured line of credit, and unsecured term loan, as well as Consolidated Debt Financing Statistics at March 31, 2023 and March 31, 2022.
60

Table of Contents

| March 31,
| 2023 |  | 2022
| (dollars in thousands)
Debt Summary: |  |  |
Balance |  |  |
Fixed rate mortgage notes payable, net | $ | 3,273,553 |  |  | $ | 3,268,745 |
Unsecured senior notes, net | 10,240,967 |  |  | 9,486,379 |
Unsecured line of credit | — |  |  | 255,000 |
Unsecured term loan, net | 1,194,916 |  |  | — |
Consolidated Debt | 14,709,436 |  |  | 13,010,124 |
Add: |  |  |
BXP’s share of unconsolidated joint venture debt, net (1) | 1,604,852 |  |  | 1,425,290 |
Subtract: |  |  |
Partners’ share of consolidated mortgage notes payable, net (2) | (1,358,881) |  |  | (1,356,905) |
BXP’s Share of Debt | $ | 14,955,407 |  |  | $ | 13,078,509 |
| March 31,
| 2023 |  | 2022
Consolidated Debt Financing Statistics: |  |  |
Percent of total debt: |  |  |
Fixed rate | 91.88 | % |  | 98.04 | %
Variable rate | 8.12 | % |  | 1.96 | %
Total | 100.00 | % |  | 100.00 | %
GAAP Weighted-average interest rate at end of period: |  |  |
Fixed rate | 3.62 | % |  | 3.43 | %
Variable rate | 5.87 | % |  | 1.13 | %
Total | 3.81 | % |  | 3.39 | %
Coupon/Stated Weighted-average interest rate at end of period: |  |  |
Fixed rate | 3.51 | % |  | 3.32 | %
Variable rate | 5.49 | % |  | 1.02 | %
Total | 3.67 | % |  | 3.28 | %
Weighted-average maturity at end of period (in years): |  |  |
Fixed rate | 5.4 |  |  | 6.4 |
Variable rate | 1.1 |  |  | 4.2 |
Total | 5.0 |  |  | 6.3 |

_______________
(1)See page 64 for additional information.
(2)See page 63 for additional information.
Unsecured Credit Facility
On June 15, 2021, BPLP amended and restated its prior credit facility (as amended and restated, the “2021 Credit Facility”). The 2021 Credit Facility provides for borrowings of up to $1.5 billion through the Revolving Facility, subject to customary conditions. Among other things, the 2021 Credit Facility (1) extended the maturity date from April 24, 2022 to June 15, 2026, (2) eliminated the $500.0 million delayed draw facility (3) reduced the per annum variable interest rates on borrowings and (4) added a sustainability-linked pricing component. Under the 2021 Credit Facility, BPLP may increase the total commitment by up to $500.0 million by increasing the amount of the Revolving Facility and/or by incurring one or more term loans, in each case, subject to syndication of the increase and other conditions. Based on BPLP’s March 31, 2023 credit rating, (1) the applicable Eurocurrency and LIBOR Daily Floating Rate margins are 0.775%, (2) the alternate base rate margin is zero basis points and (3) the facility fee is 0.15% per annum. The 2021 Credit Facility includes provisions which allow LIBOR Daily Floating Rate to be switched to SOFR.
61

Table of Contents
At March 31, 2023, BPLP had no borrowings under its Revolving Facility and outstanding letters of credit totaling approximately $6.4 million, with the ability to borrow approximately $1.5 billion. At April 28, 2023, BPLP had no borrowings under its Revolving Facility and outstanding letters of credit totaling approximately $6.4 million, with the ability to borrow approximately $1.5 billion.
Unsecured Term Loan
On January 4, 2023, BPLP entered into the 2023 Unsecured Term Loan, which provided for a single borrowing
of up to $1.2 billion. Under the credit agreement, BPLP may, at any time prior to the maturity date, increase total commitments by up to an additional $300.0 million in aggregate principal amount by increasing the existing 2023 Unsecured Term Loan or incurring one or more additional term loans, in each case, subject to syndication of the increase and other conditions. The 2023 Unsecured Term Loan matures on May 16, 2024, with one 12-month extension option, subject to customary conditions.
At BPLP’s option, loans under the 2023 Unsecured Term Loan will bear interest at a rate per annum equal to (1) a base rate equal to the greatest of (a) the Federal Funds rate plus 0.5%, (b) the administrative agent’s prime rate, (c) Term SOFR for a one-month period plus 1.00%, and (d) 1.00%, in each case, plus a margin ranging from 0 to 60 basis points based on BPLP’s credit rating; or (2) a rate equal to adjusted Term SOFR with a one-month period plus a margin ranging from 75 to 160 basis points based on BPLP’s credit rating.
On January 4, 2023, upon entry into the credit agreement, BPLP exercised its option to draw $1.2 billion under the 2023 Unsecured Term Loan, a portion of which was used to repay in full the 2022 Unsecured Term Loan, which was scheduled to mature on May 16, 2023. There was no prepayment penalty associated with the repayment of the 2022 Unsecured Term Loan.
As of March 31, 2023, the 2023 Unsecured Term Loan bears interest at a rate equal to adjusted Term SOFR plus 0.85% per annum based on BPLP’s current credit rating at March 31, 2023 (See Note 13 to the Consolidated Financial Statements). At March 31, 2023, BPLP had $1.2 billion outstanding under the 2023 Unsecured Term Loan.
Unsecured Senior Notes
The following summarizes the unsecured senior notes outstanding as of March 31, 2023 (dollars in thousands):

| Coupon/Stated Rate |  | Effective Rate(1) |  | Principal Amount |  | Maturity Date(2)
10.5 Year Unsecured Senior Notes | 3.125 | % |  | 3.279 | % |  | $ | 500,000 |  |  | September 1, 2023 |
10.5 Year Unsecured Senior Notes | 3.800 | % |  | 3.916 | % |  | 700,000 |  |  | February 1, 2024 |
7 Year Unsecured Senior Notes | 3.200 | % |  | 3.350 | % |  | 850,000 |  |  | January 15, 2025 |
10 Year Unsecured Senior Notes | 3.650 | % |  | 3.766 | % |  | 1,000,000 |  |  | February 1, 2026 |
10 Year Unsecured Senior Notes | 2.750 | % |  | 3.495 | % |  | 1,000,000 |  |  | October 1, 2026 |
5 Year Unsecured Senior Notes | 6.750 | % |  | 6.924 | % |  | 750,000 |  |  | December 1, 2027 |
10 Year Unsecured Senior Notes | 4.500 | % |  | 4.628 | % |  | 1,000,000 |  |  | December 1, 2028 |
10 Year Unsecured Senior Notes | 3.400 | % |  | 3.505 | % |  | 850,000 |  |  | June 21, 2029 |
10.5 Year Unsecured Senior Notes | 2.900 | % |  | 2.984 | % |  | 700,000 |  |  | March 15, 2030 |
10.75 Year Unsecured Senior Notes | 3.250 | % |  | 3.343 | % |  | 1,250,000 |  |  | January 30, 2031 |
11 Year Unsecured Senior Notes | 2.550 | % |  | 2.671 | % |  | 850,000 |  |  | April 1, 2032 |
12 Year Unsecured Senior Notes | 2.450 | % |  | 2.524 | % |  | 850,000 |  |  | October 1, 2033 |
Total principal |  |  |  |  | 10,300,000 |  |  |  |
Less: |  |  |  |  |  |  |  |
Net unamortized discount |  |  |  |  | 13,339 |  |  |  |
Deferred financing costs, net |  |  |  |  | 45,694 |  |  |  |
Total |  |  |  |  | $ | 10,240,967 |  |  |  |

62

Table of Contents
_______________
(1)Yield on issuance date including the effects of discounts on the notes, settlements of interest rate contracts and the amortization of financing costs.
(2)No principal amounts are due prior to maturity.
The indenture relating to the unsecured senior notes contains certain financial restrictions and requirements, including (1) a leverage ratio not to exceed 60%, (2) a secured debt leverage ratio not to exceed 50%, (3) an interest coverage ratio of greater than 1.50, and (4) an unencumbered asset value of not less than 150% of unsecured debt. At March 31, 2023, BPLP was in compliance with each of these financial restrictions and requirements.
Mortgage Notes Payable
The following represents the outstanding principal balances due under the mortgage notes payable at March 31, 2023:

Properties |  | Stated Interest Rate |  | GAAP Interest Rate (1) |  | Stated Principal Amount |  | Deferred Financing Costs, Net |  | Carrying Amount |  | Carrying Amount (Partners’ Share) |  |  |  | Maturity Date
|  | (dollars in thousands)
Consolidated Joint Ventures |  |  |  |  |  |  |  |  |  |  |  |  |  |
767 Fifth Avenue (the General Motors Building) |  | 3.43 | % |  | 3.64 | % |  | $ | 2,300,000 |  |  | $ | (14,616) |  |  | $ | 2,285,384 |  |  | $ | 914,205 |  |  | (2)(3)(4) |  | June 9, 2027
601 Lexington Avenue |  | 2.79 | % |  | 2.93 | % |  | 1,000,000 |  |  | (11,831) |  |  | 988,169 |  |  | 444,676 |  |  | (2)(5) |  | January 9, 2032
Total |  |  |  |  |  | $ | 3,300,000 |  |  | $ | (26,447) |  |  | $ | 3,273,553 |  |  | $ | 1,358,881 |  |  |  |  |

_______________
(1)GAAP interest rate differs from the stated interest rate due to the inclusion of the amortization of financing charges and the effects of hedging transactions (if any).
(2)The mortgage loan requires interest only payments with a balloon payment due at maturity.
(3)This property is owned by a consolidated entity in which we have a 60% interest. The partners’ share of the carrying amount has been adjusted for basis differentials.
(4)In connection with the refinancing of the loan, we guaranteed the consolidated entity’s obligation to fund various reserves for tenant improvement costs and allowances, leasing commissions and free rent obligations in lieu of cash deposits. As of March 31, 2023, the maximum funding obligation under the guarantee was approximately $12.5 million. We earn a fee from the joint venture for providing the guarantee and have an agreement with our partners to reimburse the joint venture for their share of any payments made under the guarantee (See Note 7 to the Consolidated Financial Statements).
(5)This property is owned by a consolidated entity in which we have a 55% interest.
Investment in Unconsolidated Joint Ventures - Secured Debt
We have investments in unconsolidated joint ventures with our effective ownership interests ranging from 20% to 55%. Seventeen of these ventures have mortgage indebtedness. We exercise significant influence over, but do not control, these entities. As a result, we account for them using the equity method of accounting. See also Note 5 to the Consolidated Financial Statements. At March 31, 2023, the aggregate carrying amount of debt, including both our and our partners’ share, incurred by these ventures was approximately $4.0 billion (of which our proportionate share is approximately $1.6 billion). The table below summarizes the outstanding debt of these joint venture properties at March 31, 2023. In addition to other guarantees specifically noted in the table, we have agreed to customary environmental indemnifications and nonrecourse carve-outs (e.g., guarantees against fraud, misrepresentation and bankruptcy) as well as the completion of development projects on certain of the loans.
63

Table of Contents

Properties |  | Nominal % Ownership |  | Stated Interest Rate |  | GAAP Interest Rate (1) |  | Stated Principal Amount |  |  | Deferred Financing Costs, Net |  | Carrying Amount |  | Carrying Amount (Our share) |  |  |  | Maturity Date
|  | (dollars in thousands)
Santa Monica Business Park |  | 55.00 | % |  | 4.06 | % |  | 4.23 | % |  | $ | 300,000 |  |  |  | $ | (1,223) |  |  | $ | 298,777 |  |  | $ | 164,327 |  |  | (2)(4) |  | July 19, 2025
Market Square North |  | 50.00 | % |  | 6.92 | % |  | 7.10 | % |  | 125,000 |  |  |  | (597) |  |  | 124,403 |  |  | 62,202 |  |  | (2)(3) (5) |  | November 10, 2025
1265 Main Street |  | 50.00 | % |  | 3.77 | % |  | 3.84 | % |  | 35,357 |  |  |  | (243) |  |  | 35,114 |  |  | 17,557 |  |  |  |  | January 1, 2032
Colorado Center |  | 50.00 | % |  | 3.56 | % |  | 3.59 | % |  | 550,000 |  |  |  | (781) |  |  | 549,219 |  |  | 274,610 |  |  | (2) |  | August 9, 2027
Dock 72 |  | 50.00 | % |  | 7.13 | % |  | 7.39 | % |  | 198,383 |  |  |  | (1,272) |  |  | 197,111 |  |  | 98,555 |  |  | (2)(6) |  | December 18, 2025
The Hub on Causeway - Podium |  | 50.00 | % |  | 6.89 | % |  | 7.06 | % |  | 174,329 |  |  |  | (135) |  |  | 174,194 |  |  | 87,097 |  |  | (2)(7) |  | September 6, 2023
Hub50House |  | 50.00 | % |  | 4.43 | % |  | 4.51 | % |  | 185,000 |  |  |  | (1,257) |  |  | 183,743 |  |  | 91,871 |  |  | (2)(8) |  | June 17, 2032
100 Causeway Street |  | 50.00 | % |  | 6.03 | % |  | 6.24 | % |  | 337,604 |  |  |  | (362) |  |  | 337,242 |  |  | 168,621 |  |  | (2)(3) (9) |  | September 5, 2023
7750 Wisconsin Avenue (Marriott International Headquarters) |  | 50.00 | % |  | 5.77 | % |  | 6.32 | % |  | 251,542 |  |  |  | (116) |  |  | 251,426 |  |  | 125,713 |  |  | (2)(3) (10) |  | April 26, 2023
360 Park Avenue South |  | 42.21 | % |  | 7.11 | % |  | 7.56 | % |  | 212,668 |  |  |  | (1,707) |  |  | 210,961 |  |  | 89,047 |  |  | (2)(3) (11) |  | December 14, 2024
Safeco Plaza |  | 33.67 | % |  | 4.82 | % |  | 4.96 | % |  | 250,000 |  |  |  | (1,162) |  |  | 248,838 |  |  | 83,784 |  |  | (2)(12) |  | September 1, 2026
500 North Capitol Street, NW |  | 30.00 | % |  | 4.15 | % |  | 4.20 | % |  | 105,000 |  |  |  | (10) |  |  | 104,990 |  |  | 31,497 |  |  | (2) |  | June 6, 2023
200 Fifth Avenue |  | 26.69 | % |  | 4.34 | % |  | 5.60 | % |  | 600,000 |  |  |  | (9,424) |  |  | 590,576 |  |  | 149,196 |  |  | (2)(13) |  | November 24, 2028
901 New York Avenue |  | 25.00 | % |  | 3.61 | % |  | 3.69 | % |  | 211,039 |  |  |  | (313) |  |  | 210,726 |  |  | 52,682 |  |  |  |  | January 5, 2025
3 Hudson Boulevard |  | 25.00 | % |  | 8.06 | % |  | 8.14 | % |  | 80,000 |  |  |  | (16) |  |  | 79,984 |  |  | 19,996 |  |  | (2)(3) (14) |  | July 13, 2023
Metropolitan Square |  | 20.00 | % |  | 7.25 | % |  | 8.03 | % |  | 420,000 |  |  |  | (3,342) |  |  | 416,658 |  |  | 83,332 |  |  | (2)(3) (15) |  | April 9, 2024
Reston Next Residential |  | 20.00 | % |  | 6.55 | % |  | 6.87 | % |  | 25,223 |  |  |  | (1,396) |  |  | 23,827 |  |  | 4,765 |  |  | (2)(3) (16) |  | May 13, 2026
Total |  |  |  |  |  |  |  | $ | 4,061,145 |  |  |  | $ | (23,356) |  |  | $ | 4,037,789 |  |  | $ | 1,604,852 |  |  |  |  |

_______________
(1)GAAP interest rate differs from the stated interest rate due to the inclusion of the amortization of financing charges, which includes mortgage recording fees.
(2)The loan requires interest only payments with a balloon payment due at maturity.
(3)The loan includes certain extension options, subject to certain conditions.
(4)The loan bears interest at a variable rate equal to SOFR plus 1.38% per annum. A subsidiary of the joint venture entered into interest rate swap contracts with notional amounts aggregating $300.0 million through April 1, 2025, resulting in a fixed rate of approximately 4.059% per annum through the expiration of the interest rate swap contracts.
(5)The loan bears interest at a variable rate equal to the greater of (1) the sum of (x) SOFR and (y) 2.41% or (2) 2.80% per annum.
(6)The construction financing bears interest at a variable rate equal to (1) the greater of (x) SOFR or (y) 0.25%, plus (2) 2.50% per annum.
(7)The construction financing bears interest at a variable rate equal to LIBOR plus 2.25% per annum.
(8)The loan bears interest at a variable rate equal to SOFR plus 1.35% per annum. The joint venture entered into interest rate swap contracts with notional amounts aggregating $185.0 million through April 10, 2032, resulting in a fixed rate of approximately 4.432% per annum through the expiration of the interest rate swap contracts.
(9)The construction financing bears interest at a variable rate equal to LIBOR plus 1.50% per annum (LIBOR plus 1.375% per annum upon stabilization, as defined in the loan agreement).
(10)The construction financing bears interest at a variable rate equal to LIBOR plus 1.25% per annum. The maturity date of the loan has been extended to April 26, 2024 (See Note 13 to the Consolidated Financial Statements).
(11)The loan bears interest at a variable rate equal to Adjusted Term SOFR plus 2.40% per annum. The spread on the variable rate may be reduced, subject to certain conditions.
(12)The loan bears interest at a variable rate equal to the greater of (x) 2.35% or (y) SOFR plus 2.32% per annum. The joint venture entered into an interest rate cap agreement with a financial institution to limit its exposure to
64

Table of Contents
increases in the SOFR rate at a cap of 2.50% per annum on a notional amount of $250.0 million through September 1, 2023.
(13)The loan bears interest at a variable rate equal to LIBOR plus 1.30% per annum. The joint venture entered into interest rate swap contracts with notional amounts aggregating $600.0 million through June 2028, resulting in a fixed rate of approximately 4.34% per annum through the expiration of the interest rate swap contracts. In addition to items noted in footnote one above, the GAAP interest rate includes the adjustment required to reflect the loan at fair value upon acquisition.
(14)We provided $80.0 million of mortgage financing to the joint venture. The loan bears interest at a variable rate equal to LIBOR plus 3.50% per annum. The loan has been reflected as Related Party Note Receivable, Net on our Consolidated Balance Sheets. As of March 31, 2023, the loan has approximately $21.0 million of accrued interest due at the maturity date.
(15)The indebtedness consists of (x) a $305.0 million mortgage loan payable which bears interest at a variable rate equal to SOFR plus approximately 1.81%, and (y) a $115.0 million mezzanine note payable which bears interest at a variable rate equal to SOFR plus 5.25%. The joint venture entered into an interest rate cap agreement with a financial institution to limit its exposure to increases in the SOFR rate at a cap of 4.50% per annum on a notional amount of $420.0 million through April 15, 2024.
(16)The construction financing has a borrowing capacity of $140.0 million. The construction financing bears interest at a variable rate equal to SOFR plus 2.00% per annum.
State and Local Tax Matters
Because BXP is organized and qualifies as a REIT, it is generally not subject to federal income taxes, but is subject to certain state and local taxes. In the normal course of business, certain entities through which we own real estate either have undergone, or are currently undergoing, tax audits or other inquiries. Although we believe that we have substantial arguments in favor of our position in the ongoing audits, in some instances there is no controlling precedent or interpretive guidance on the specific point at issue. Collectively, tax deficiency notices received to date from the jurisdictions conducting the ongoing audits have not been material. However, there can be no assurance that future audits will not occur with increased frequency or that the ultimate result of such audits will not have a material adverse effect on our results of operations.
Insurance
For information concerning our insurance program, see Note 7 to the Consolidated Financial Statements.
Funds from Operations
Pursuant to the revised definition of Funds from Operations adopted by the Board of Governors of the National Association of Real Estate Investment Trusts (“Nareit”), we calculate Funds from Operations, or “FFO,” for each of BXP and BPLP by adjusting net income (loss) attributable to Boston Properties, Inc. and net income (loss) attributable to Boston Properties Limited Partnership (computed in accordance with GAAP), respectively, for gains (or losses) from sales of properties, impairment losses on depreciable real estate consolidated on our balance sheet, impairment losses on our investments in unconsolidated joint ventures driven by a measurable decrease in the fair value of depreciable real estate held by the unconsolidated joint ventures and our share of real estate-related depreciation and amortization. FFO is a non-GAAP financial measure. We believe the presentation of FFO, combined with the presentation of required GAAP financial measures, improves the understanding of operating results of REITs among the investing public and helps make comparisons of REIT operating results more meaningful. Management generally considers FFO to be useful measures for understanding and comparing our operating results because, by excluding gains and losses related to sales of previously depreciated operating real estate assets, impairment losses and real estate asset depreciation and amortization (which can differ across owners of similar assets in similar condition based on historical cost accounting and useful life estimates), FFO can help investors compare the operating performance of a company’s real estate across reporting periods and to the operating performance of other companies.
Our computation of FFO may not be comparable to FFO reported by other REITs or real estate companies that do not define the term in accordance with the current Nareit definition or that interpret the current Nareit definition differently. We believe that in order to facilitate a clear understanding of our operating results, FFO should be examined in conjunction with net income attributable to Boston Properties, Inc. and net income attributable to Boston Properties Limited Partnership as presented in our Consolidated Financial Statements. FFO should not be considered as a substitute for net income attributable to Boston Properties, Inc. or net income attributable to Boston Properties Limited Partnership (determined in accordance with GAAP) or any other GAAP financial measures and should only be considered together with and as a supplement to our financial information prepared in accordance with GAAP.
65

Table of Contents
BXP
The following table presents a reconciliation of net income attributable to Boston Properties, Inc. to FFO attributable to Boston Properties, Inc. for the three months ended March 31, 2023 and 2022:

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
|  | (in thousands)
Net income attributable to Boston Properties, Inc. |  | $ | 77,890 |  |  | $ | 143,047 |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership |  | 9,078 |  |  | 16,361 |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  |  |  |  |  |
Net income |  | 105,628 |  |  | 176,957 |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |  |  |
Depreciation and amortization |  | 208,734 |  |  | 177,624 |  |  |  |  |  |  |
Noncontrolling interests in property partnerships’ share of depreciation and amortization |  | (17,711) |  |  | (17,653) |  |  |  |  |  |  |
BXP’s share of depreciation and amortization from unconsolidated joint ventures |  | 25,645 |  |  | 22,044 |  |  |  |  |  |  |
Corporate-related depreciation and amortization |  | (469) |  |  | (404) |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |
Gains on sales of real estate |  | — |  |  | 22,701 |  |  |  |  |  |  |
Unrealized gain on non-real estate investment |  | 259 |  |  | — |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  |  |  |  |  |
Funds from Operations (FFO) attributable to the Operating Partnership |  | 302,908 |  |  | 318,318 |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership’s share of funds from operations |  | 30,957 |  |  | 32,182 |  |  |  |  |  |  |
Funds from Operations attributable to Boston Properties, Inc. |  | $ | 271,951 |  |  | $ | 286,136 |  |  |  |  |  |  |
Our percentage share of Funds from Operations—basic |  | 89.78 | % |  | 89.89 | % |  |  |  |  |  |
Weighted average shares outstanding—basic |  | 156,803 |  |  | 156,650 |  |  |  |  |  |  |

66

Table of Contents
The following tables presents a reconciliation of net income attributable to Boston Properties, Inc. to Diluted FFO attributable to Boston Properties, Inc. for income (numerator) and shares/units (denominator) for the three months ended March 31, 2023 and 2022:

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
|  | (in thousands)
Net income attributable to Boston Properties, Inc. |  | $ | 77,890 |  |  | $ | 143,047 |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership |  | 9,078 |  |  | 16,361 |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  |  |  |  |  |
Net income |  | 105,628 |  |  | 176,957 |  |  |  |  |  |  |
Add: |  |  |  |  |  |  |  |  |  |
Depreciation and amortization |  | 208,734 |  |  | 177,624 |  |  |  |  |  |  |
Noncontrolling interests in property partnerships’ share of depreciation and amortization |  | (17,711) |  |  | (17,653) |  |  |  |  |  |  |
BXP’s share of depreciation and amortization from unconsolidated joint ventures |  | 25,645 |  |  | 22,044 |  |  |  |  |  |  |
Corporate-related depreciation and amortization |  | (469) |  |  | (404) |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |
Gains on sales of real estate |  | — |  |  | 22,701 |  |  |  |  |  |  |
Unrealized gain on non-real estate investment |  | 259 |  |  | — |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  | 18,660 |  |  | 17,549 |  |  |  |  |  |  |
Funds from Operations (FFO) attributable to the Operating Partnership |  | 302,908 |  |  | 318,318 |  |  |  |  |  |  |
Effect of Dilutive Securities: |  |  |  |  |  |  |  |  |  |
Stock based compensation |  | — |  |  | — |  |  |  |  |  |  |
Diluted FFO |  | 302,908 |  |  | 318,318 |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership’s share of diluted FFO |  | 30,927 |  |  | 32,118 |  |  |  |  |  |  |
Diluted FFO attributable to Boston Properties, Inc. (1) |  | $ | 271,981 |  |  | $ | 286,200 |  |  |  |  |  |  |

___________
(1)BXP’s share of diluted Funds from Operations was 89.79% and 89.91% for the three months ended March 31, 2023 and 2022, respectively.

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
|  | shares/units (in thousands) |  |
Basic Funds from Operations |  | 174,652 |  |  | 174,276 |  |  |  |  |  |  |  |  |  |  |  |  |
Effect of Dilutive Securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Stock based compensation |  | 240 |  |  | 354 |  |  |  |  |  |  |  |  |  |  |  |  |
Diluted Funds from Operations |  | 174,892 |  |  | 174,630 |  |  |  |  |  |  |  |  |  |  |  |  |
Less: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Noncontrolling interest—common units of the Operating Partnership’s share of diluted Funds from Operations |  | 17,849 |  |  | 17,626 |  |  |  |  |  |  |  |  |  |  |  |  |
Diluted Funds from Operations attributable to Boston Properties, Inc. (1) |  | 157,043 |  |  | 157,004 |  |  |  |  |  |  |  |  |  |  |  |  |

_______________
(1)BXP’s share of diluted Funds from Operations was 89.79% and 89.91% for the three months ended March 31, 2023 and 2022, respectively.
67

Table of Contents
BPLP
The following table presents a reconciliation of net income attributable to Boston Properties Limited Partnership to FFO attributable to Boston Properties Limited Partnership for the three months ended March 31, 2023 and 2022:

|  |  |  | Three months ended March 31,
|  |  |  |  |  |  |  | 2023 |  | 2022
|  |  |  |  |  |  |  | (in thousands)
Net income attributable to Boston Properties Limited Partnership |  |  |  |  |  |  |  | $ | 88,830 |  |  | $ | 161,829 |
Add: |  |  |  |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  |  |  |  |  |  |  | 18,660 |  |  | 17,549 |
Net income |  |  |  |  |  |  |  | 107,490 |  |  | 179,378 |
Add: |  |  |  |  |  |  |  |  |  |
Depreciation and amortization |  |  |  |  |  |  |  | 206,872 |  |  | 175,886 |
Noncontrolling interests in property partnerships’ share of depreciation and amortization |  |  |  |  |  |  |  | (17,711) |  |  | (17,653) |
BXP’s share of depreciation and amortization from unconsolidated joint ventures |  |  |  |  |  |  |  | 25,645 |  |  | 22,044 |
Corporate-related depreciation and amortization |  |  |  |  |  |  |  | (469) |  |  | (404) |
Less: |  |  |  |  |  |  |  |  |  |
Gains on sales of real estate |  |  |  |  |  |  |  | — |  |  | 23,384 |
Unrealized gain on non-real estate investment |  |  |  |  |  |  |  | 259 |  |  | — |
Noncontrolling interests in property partnerships |  |  |  |  |  |  |  | 18,660 |  |  | 17,549 |
Funds from Operations attributable to Boston Properties Limited Partnership (1) |  |  |  |  |  |  |  | $ | 302,908 |  |  | $ | 318,318 |
Weighted average shares outstanding—basic |  |  |  |  |  |  |  | 174,652 |  |  | 174,276 |

_______________
(1)Our calculation includes OP Units and vested LTIP Units (including vested 2012 OPP Units and vested 2013 - 2020 MYLTIP Units).
68

Table of Contents
The following tables presents a reconciliation of net income attributable to Boston Properties Limited Partnership to Diluted FFO attributable to Boston Properties Limited Partnership for income (numerator) and shares/units (denominator) for the three months ended March 31, 2023 and 2022:

|  |  |  | Three months ended March 31,
|  |  |  |  |  |  |  | 2023 |  | 2022
|  |  |  |  |  |  |  | (in thousands)
Net income attributable to Boston Properties Limited Partnership |  |  |  |  |  |  |  | $ | 88,830 |  |  | $ | 161,829 |
Add: |  |  |  |  |  |  |  |  |  |
Noncontrolling interests in property partnerships |  |  |  |  |  |  |  | 18,660 |  |  | 17,549 |
Net income |  |  |  |  |  |  |  | 107,490 |  |  | 179,378 |
Add: |  |  |  |  |  |  |  |  |  |
Depreciation and amortization |  |  |  |  |  |  |  | 206,872 |  |  | 175,886 |
Noncontrolling interests in property partnerships’ share of depreciation and amortization |  |  |  |  |  |  |  | (17,711) |  |  | (17,653) |
BXP’s share of depreciation and amortization from unconsolidated joint ventures |  |  |  |  |  |  |  | 25,645 |  |  | 22,044 |
Corporate-related depreciation and amortization |  |  |  |  |  |  |  | (469) |  |  | (404) |
Less: |  |  |  |  |  |  |  |  |  |
Gains on sales of real estate |  |  |  |  |  |  |  | — |  |  | 23,384 |
Unrealized gain on non-real estate investment |  |  |  |  |  |  |  | 259 |  |  | — |
Noncontrolling interests in property partnerships |  |  |  |  |  |  |  | 18,660 |  |  | 17,549 |
Funds from Operations attributable to Boston Properties Limited Partnership (1) |  |  |  |  |  |  |  | 302,908 |  |  | 318,318 |
Effect of Dilutive Securities: |  |  |  |  |  |  |  |  |  |
Stock based compensation |  |  |  |  |  |  |  | — |  |  | — |
Diluted Funds from Operations attributable to Boston Properties Limited Partnership |  |  |  |  |  |  |  | $ | 302,908 |  |  | $ | 318,318 |

_______________
(1)Our calculation includes OP Units and vested LTIP Units (including vested 2012 OPP Units and vested 2013 - 2020 MYLTIP Units).

|  | Three months ended March 31, |  |
|  | 2023 |  | 2022 |  |  |  |  |  |
|  | shares/units (in thousands) |  |
Basic Funds from Operations |  | 174,652 |  |  | 174,276 |  |  |  |  |  |  |  |  |  |  |  |  |
Effect of Dilutive Securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Stock based compensation |  | 240 |  |  | 354 |  |  |  |  |  |  |  |  |  |  |  |  |
Diluted Funds from Operations |  | 174,892 |  |  | 174,630 |  |  |  |  |  |  |  |  |  |  |  |  |

Material Cash Commitments
We have various service contracts with vendors related to our property management. In addition, we have certain other contracts we enter into in the ordinary course of business that may extend beyond one year. These contracts include terms that provide for cancellation with insignificant or no cancellation penalties. Contract terms are generally between three and five years.
During the three months ended March 31, 2023, we paid approximately $103.1 million to fund tenant-related obligations, including tenant improvements and leasing commissions.
In addition, during the three months ended March 31, 2023, we and our unconsolidated joint venture partners incurred approximately $61.9 million of new client-related obligations associated with approximately 643,000 square feet of second generation leases, or approximately $96 per square foot. We signed approximately 17,500 square feet of first generation leases. The client-related obligations for the development properties are included within the projects’ “Estimated Total Investment” referred to in “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources.” In aggregate during the first quarter of
69

Table of Contents
2023, we signed leases for approximately 660,500 million square feet of space and incurred aggregate client-related obligations of approximately $66.2 million, or approximately $100 per square foot.
70

Table of Contents
ITEM 3—Quantitative and Qualitative Disclosures about Market Risk.
The following table presents the aggregate carrying value of our mortgage notes payable, net, unsecured senior notes, net, unsecured line of credit, unsecured term loans, net and our corresponding estimate of fair value as of March 31, 2023. As of March 31, 2023, approximately $13.5 billion of these borrowings bore interest at fixed rates and therefore the fair value of these instruments is affected by changes in the market interest rates. As of March 31, 2023, the weighted-average interest rate on our variable rate debt was 5.49% per annum. The following table presents our aggregate debt obligations with corresponding weighted-average GAAP interest rates sorted by maturity date.
The table below does not include our unconsolidated joint venture debt. For a discussion concerning our unconsolidated joint venture debt, see Note 5 to the Consolidated Financial Statements and “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Investment in Unconsolidated Joint Ventures - Secured Debt.”

| 2023 |  | 2024 |  | 2025 |  | 2026 |  | 2027 |  | 2028+ |  | Total |  | Estimated Fair Value
| (dollars in thousands) Mortgage debt, net
Fixed Rate | $ | (3,632) |  |  | $ | (4,843) |  |  | $ | (4,843) |  |  | $ | (4,843) |  |  | $ | 2,297,138 |  |  | $ | 994,576 |  |  | $ | 3,273,553 |  |  | $ | 2,826,826 |
GAAP Average Interest Rate | — | % |  | — | % |  | — | % |  | — | % |  | 3.64 | % |  | 2.93 | % |  | 3.42 | % |  |
Variable Rate | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
| Unsecured debt, net
Fixed Rate | $ | 499,660 |  |  | $ | 699,332 |  |  | $ | 847,777 |  |  | $ | 1,991,157 |  |  | $ | 743,895 |  |  | $ | 5,459,146 |  |  | $ | 10,240,967 |  |  | $ | 8,759,487 |
GAAP Average Interest Rate | 3.28 | % |  | 3.92 | % |  | 3.35 | % |  | 3.63 | % |  | 6.92 | % |  | 3.33 | % |  | 3.69 | % |  |
Variable Rate | — |  |  | 1,194,916 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,194,916 |  |  | 1,200,000 |
Total Debt | $ | 496,028 |  |  | $ | 1,889,405 |  |  | $ | 842,934 |  |  | $ | 1,986,314 |  |  | $ | 3,041,033 |  |  | $ | 6,453,722 |  |  | $ | 14,709,436 |  |  | $ | 12,786,313 |

At March 31, 2023, the weighted-average coupon/stated rates on the fixed rate debt stated above was 3.51% per annum. At March 31, 2023, our outstanding variable rate debt totaled $1.2 billion. At March 31, 2023, the coupon/stated rate on our variable rate debt was approximately 5.49% per annum. If market interest rates on our variable rate debt had been 100 basis points greater, total interest expense would have increased approximately $3.0 million for the three months ended March 31, 2023.
The fair value amounts were determined solely by considering the impact of hypothetical interest rates on our financial instruments. Due to the uncertainty of specific actions, we may undertake to minimize possible effects of market interest rate increases, this analysis assumes no changes in our financial structure.
We expect that all LIBOR settings relevant to us will cease to be published or will no longer be representative after June 30, 2023. The discontinuation of LIBOR will not affect our ability to borrow or maintain already outstanding borrowings or hedging transactions, but if our contracts indexed to LIBOR are converted to SOFR, the differences between LIBOR and SOFR, plus the recommended spread adjustment, could result in interest or hedging costs that are greater than if LIBOR remained available. Additionally, although SOFR is the recommended replacement rate, it is also possible that lenders may instead choose alternative replacements that may differ from LIBOR in ways similar to SOFR or in ways that would result in greater interest or hedging costs for us. It is not yet possible to predict the magnitude of LIBOR’s end on our borrowing costs given the remaining uncertainty about which rates will replace LIBOR. As of March 31, 2023, each of the agreements governing our variable rate debt, for our consolidated debt, either have been transitioned to SOFR or provide for the replacement of LIBOR if it becomes unavailable during the term of such agreement.
ITEM 4—Controls and Procedures.
Boston Properties, Inc.
(a) Evaluation of Disclosure Controls and Procedures. As of the end of the period covered by this report, our management, with the participation of Boston Properties, Inc.’s Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer (Principal Financial Officer), evaluated the effectiveness of our disclosure controls and
71

Table of Contents
procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended). Based upon that evaluation, Boston Properties, Inc.’s Chief Executive Officer and Chief Financial Officer concluded that these disclosure controls and procedures were effective as of the end of the period covered by this report.
(b) Changes in Internal Control Over Financial Reporting. No change in Boston Properties, Inc.’s internal control over financial reporting (as defined in Rule 13a-15(f) under the Securities Exchange Act of 1934, as amended) occurred during the first quarter of our fiscal year ending December 31, 2023 that has materially affected, or is reasonably likely to materially affect, Boston Properties, Inc.’s internal control over financial reporting.
Boston Properties Limited Partnership
(a) Evaluation of Disclosure Controls and Procedures. As of the end of the period covered by this report, the management of Boston Properties, Inc., the sole general partner of Boston Properties Limited Partnership, with the participation of its Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer (Principal Financial Officer), evaluated the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended). Based upon that evaluation, the Chief Executive Officer and Chief Financial Officer of Boston Properties, Inc. concluded that these disclosure controls and procedures were effective as of the end of the period covered by this report.
(b) Changes in Internal Control Over Financial Reporting. No change in its internal control over financial reporting (as defined in Rule 13a-15(f) under the Securities Exchange Act of 1934, as amended) occurred during the first quarter of our fiscal year ending December 31, 2023 that has materially affected, or is reasonably likely to materially affect, its internal control over financial reporting.
72

Table of Contents
PART II. OTHER INFORMATION
ITEM 1—Legal Proceedings.
We are subject to legal proceedings and claims that arise in the ordinary course of business. These matters are generally covered by insurance. Management believes that the final outcome of such matters will not have a material adverse effect on our financial position, results of operations or liquidity.
ITEM 1A—Risk Factors.
Except to the extent factual information disclosed elsewhere in this Quarterly Report on Form 10-Q relates to such risk factors (including, without limitation, the matters discussed in Part I, “Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations”), there were no material changes to the risk factors disclosed in Part I, “Item 1A. Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2022.
ITEM 2—Unregistered Sales of Equity Securities and Use of Proceeds
Boston Properties, Inc.
(a)None.
(b)Not Applicable.
(c)Issuer Purchases of Equity Securities.

Period |  | (a) Total Number of Shares of Common Stock Purchased |  |  | (b) Average Price Paid per Common Share |  | (c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs |  | (d) Maximum Number (or Approximate Dollar Value) of Shares that May Yet be Purchased
January 1, 2023 – January 31, 2023 |  | 7,533 |  | (1) |  | $ | 71.20 |  |  | N/A |  | N/A
February 1, 2023 – February 28, 2023 |  | 1,165 |  | (1) |  | $ | 75.48 |  |  | N/A |  | N/A
March 1, 2023 – March 31, 2023 |  | — |  |  |  | $ | — |  |  | N/A |  | N/A
Total |  | 8,698 |  |  |  | $ | 71.77 |  |  | N/A |  | N/A

___________
(1)Represents common stock of BXP surrendered by employees to BXP to satisfy such employees’ tax withholding obligations in connection with the vesting of restricted common stock.
Boston Properties Limited Partnership
(a)Each time BXP issues shares of common stock (other than in exchange for common units when such common units are presented for redemption), it contributes the proceeds of such issuance to BPLP in return for an equivalent number of partnership units with rights and preferences analogous to the shares issued. During the three months ended March 31, 2023, in connection with issuances of common stock by BXP pursuant to issuances of restricted common stock to employees under the Boston Properties, Inc. 2021 Stock Incentive Plan and purchases of common stock under the Boston Properties, Inc. 1999 Employee Stock Purchase Plan, BPLP issued an aggregate of 75,436 common units to BXP in exchange for approximately $0.5 million, the aggregate proceeds of such common stock issuances to BXP. Such units were issued in reliance on an exemption from registration under Section 4(a)(2) of the Securities Act of 1933, as amended.
(b)Not Applicable.
(c)Issuer Purchases of Equity Securities.
73

Table of Contents

Period | (a) Total Number of Units Purchased |  | (b) Average Price Paid per Unit | (c) Total Number of Units Purchased as Part of Publicly Announced Plans or Programs | (d) Maximum Number (or Approximate Dollar Value) of Units that May Yet be Purchased
January 1, 2023 – January 31, 2023 | 7,533 |  | (1) | $ | 71.20 |  | N/A | N/A
February 1, 2023 – February 28, 2023 | 153,625 |  | (2) | $ | 0.82 |  | N/A | N/A
March 1, 2023 – March 31, 2023 | — |  |  | $ | — |  | N/A | N/A
Total | 161,158 |  |  | $ | 4.11 |  | N/A | N/A

___________
(1)Represents common stock of BXP surrendered by employees to BXP to satisfy such employees’ tax withholding obligations in connection with the vesting of restricted common stock.
(2)Includes 152,460 2020 MYLTIP units. The measurement period for such 2020 MYLTIP units ended on February 3, 2023 and BXP’s total return to stockholders was sufficient for employees to earn and therefore become eligible to vest in a portion of the 2020 MYLTIP units. Under the terms of the applicable 2020 MYLTIP award agreements, 152,460 unearned 2020 MYLTIP units were repurchased at a price of $0.25 per 2020 MYLTIP unit, which was the amount originally paid by each employee for the units. Also includes 1,165 common units previously held by BXP that were redeemed in connection with the surrender of shares of restricted common stock of BXP by employees to BXP to satisfy such employees’ tax withholding obligations in connection with the vesting of restricted common stock.
ITEM 3—Defaults Upon Senior Securities.
None.
ITEM 4—Mine Safety Disclosures.
None.
ITEM 5—Other Information.
(a)None.
(b)None.
74

Table of Contents
ITEM 6—Exhibits.
(a)Exhibits

10.1 |  | — | Credit Agreement, dated as of January 4, 2023, among Boston Properties Limited Partnership and the lenders identified therein. (Incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K of Boston Properties, Inc. and Boston Properties Limited Partnership filed on January 9, 2023.)
10.2* | — | Second Amended and Restated Employment Agreement, dated February 28, 2023, by and between Raymond A. Ritchey and Boston Properties, Inc. (Incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K of Boston Properties, Inc. and Boston Properties Limited Partnership filed on February 28, 2023.)
31.1 |  | — | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Boston Properties, Inc. (Filed herewith.)
31.2 |  | — | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Boston Properties, Inc. (Filed herewith.)
31.3 |  | — | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Boston Properties Limited Partnership. (Filed herewith.)
31.4 |  | — | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Boston Properties Limited Partnership. (Filed herewith.)
32.1 |  | — | Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes Oxley Act of 2002 for Boston Properties, Inc. (Furnished herewith.)
32.2 |  | — | Certification of Chief Financial Officer pursuant to Section 906 of the Sarbanes Oxley Act of 2002 for Boston Properties, Inc. (Furnished herewith.)
32.3 |  | — | Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes Oxley Act of 2002 for Boston Properties Limited Partnership. (Furnished herewith.)
32.4 |  | — | Certification of Chief Financial Officer pursuant to Section 906 of the Sarbanes Oxley Act of 2002 for Boston Properties Limited Partnership. (Furnished herewith.)
101.SCH | — | Inline XBRL Taxonomy Extension Schema Document. (Filed herewith.)
101.CAL | — | Inline XBRL Taxonomy Extension Calculation Linkbase Document. (Filed herewith.)
101.LAB | — | Inline XBRL Taxonomy Extension Label Linkbase Document. (Filed herewith.)
101.PRE | — | Inline XBRL Taxonomy Extension Presentation Linkbase Document. (Filed herewith.)
101.DEF | — | Inline XBRL Taxonomy Extension Definition Linkbase Document. (Filed herewith.)
104 |  | — | Cover Page Interactive Data File (formatted as Inline XBRL with applicable taxonomy extension information contained in Exhibits 101*.). (Filed herewith.)

_____________
* Indicates management contract or compensatory plan or arrangement required to be filed or incorporated by reference as an exhibit to this Form 10-Q pursuant to Item 6 of Form 10-Q.
75

Table of Contents
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

| BOSTON PROPERTIES, INC.
May 3, 2023 |  | /s/ M ICHAEL R. W ALSH
|  | Michael R. Walsh
|  | Chief Accounting Officer (duly authorized officer and principal accounting officer)

76

Table of Contents
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

| BOSTON PROPERTIES LIMITED PARTNERSHIP
| By: Boston Properties, Inc., its General Partner
May 3, 2023 |  | /s/ M ICHAEL R. W ALSH
|  | Michael R. Walsh
|  | Chief Accounting Officer (duly authorized officer and principal accounting officer)

77