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Segment Information
 9 Months Ended
Sep. 30, 2024
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
11. Segment Information
The following tables present reconciliations of Net Income (Loss) Attributable to BXP, Inc. to the Company’s share of Net Operating Income and Net Income (Loss) Attributable to Boston Properties Limited Partnership to the Company’s share of Net Operating Income for the three and nine months ended September 30, 2024 and 2023.
BXP
 Three months ended September 30,Nine months ended September 30,
2024202320242023
(in thousands)
Net income (loss) attributable to BXP, Inc.$83,628 $(111,826)$243,126 $70,290 
Add:
Noncontrolling interest—common units of the Operating Partnership
9,587 (12,626)28,596 8,642 
Noncontrolling interests in property partnerships15,237 20,909 50,283 59,337 
Interest expense163,194 147,812 474,727 424,492 
Impairment loss— — 13,615 — 
Net operating income from unconsolidated joint ventures31,919 39,165 98,936 122,175 
Depreciation and amortization expense222,890 207,435 661,148 618,746 
Transaction costs188 751 890 1,970 
Payroll and related costs from management services contracts
3,649 3,906 12,090 13,750 
General and administrative expense33,352 31,410 127,479 131,387 
Less:
Net operating income attributable to noncontrolling interests in property partnerships
44,487 50,047 138,448 145,102 
Unrealized gain (loss) on non-real estate investment94 (51)548 332 
Gains (losses) from investments in securities2,198 (925)4,785 2,311 
Interest and other income (loss)14,430 20,715 39,747 48,999 
Gains on sales of real estate517 517 517 517 
Income (loss) from unconsolidated joint ventures(7,011)(247,556)6,376 (261,793)
Direct reimbursements of payroll and related costs from management services contracts
3,649 3,906 12,090 13,750 
Development and management services revenue6,770 9,284 19,276 28,122 
Company’s share of Net Operating Income$498,510 $490,999 $1,489,103 $1,473,449 
BPLP
 Three months ended September 30,Nine months ended September 30,
 2024202320242023
(in thousands)
Net income (loss) attributable to Boston Properties Limited Partnership $94,919 $(122,696)$276,826 $84,232 
Add:
Noncontrolling interests in property partnerships15,237 20,909 50,283 59,337 
Interest expense163,194 147,812 474,727 424,492 
Impairment loss— — 13,615 — 
Net operating income from unconsolidated joint ventures31,919 39,165 98,936 122,175 
Depreciation and amortization expense221,186 205,679 656,044 613,446 
Transaction costs188 751 890 1,970 
Payroll and related costs from management services contracts
3,649 3,906 12,090 13,750 
General and administrative expense33,352 31,410 127,479 131,387 
Less:
Net operating income attributable to noncontrolling interests in property partnerships
44,487 50,047 138,448 145,102 
Unrealized gain (loss) on non-real estate investment94 (51)548 332 
Gains (losses) from investments in securities2,198 (925)4,785 2,311 
Interest and other income (loss)14,430 20,715 39,747 48,999 
Gains on sales of real estate517 517 517 517 
Income (loss) from unconsolidated joint ventures(7,011)(247,556)6,376 (261,793)
Direct reimbursements of payroll and related costs from management services contracts
3,649 3,906 12,090 13,750 
Development and management services revenue6,770 9,284 19,276 28,122 
Company’s share of Net Operating Income$498,510 $490,999 $1,489,103 $1,473,449 
Net operating income (“NOI”) is a non-GAAP financial measure equal to net income (loss) attributable to BXP, Inc. and net income (loss) attributable to Boston Properties Limited Partnership, as applicable, the most directly comparable GAAP financial measures, plus (1) net income (loss) attributable to noncontrolling interests, interest expense, impairment loss, depreciation and amortization expense, transaction costs, payroll and related costs from management services contracts and corporate general and administrative expense less (2) unrealized gain (loss) 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 (loss) attributable to BXP, Inc. and net income (loss) 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 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 loss from early extinguishment of debt, unrealized gain (loss) on derivative instruments, gain on sale / consolidation, gain on investment, and impairment losses on investments, all 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, impairment loss, depreciation and amortization expense, transaction costs, payroll and related costs from management services contracts, corporate general and administrative expense, unrealized gain (loss) 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 Office (which includes office, life sciences and retail), Residential and Hotel.
Information by geographic area and property type (dollars in thousands):
For the three months ended September 30, 2024:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue: (1)
Office$300,613 $18,661 $258,295 $128,929 $10,821 $104,290 $821,609 
Residential4,219 — — 3,152 — 4,746 12,117 
Hotel15,082 — — — — — 15,082 
Total319,914 18,661 258,295 132,081 10,821 109,036 848,808 
% of Grand Totals37.69 %2.20 %30.43 %15.56 %1.27 %12.85 %100.00 %
Rental Expenses:
Office107,876 7,344 111,419 52,410 3,382 39,478 321,909 
Residential1,621 — — 2,346 — 2,021 5,988 
Hotel9,833 — — — — — 9,833 
Total119,330 7,344 111,419 54,756 3,382 41,499 337,730 
% of Grand Totals35.34 %2.17 %32.99 %16.21 %1.00 %12.29 %100.00 %
Net operating income$200,584 $11,317 $146,876 $77,325 $7,439 $67,537 $511,078 
% of Grand Totals39.25 %2.21 %28.74 %15.13 %1.46 %13.21 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(10,823)— (33,664)— — — (44,487)
Add: Company’s share of net operating income from unconsolidated joint ventures9,099 6,835 3,472 4,285 1,899 6,329 31,919 
Company’s share of net operating income$198,860 $18,152 $116,684 $81,610 $9,338 $73,866 $498,510 
% of Grand Totals39.89 %3.64 %23.41 %16.37 %1.87 %14.82 %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.
For the three months ended September 30, 2023:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue: (1)
Office$276,153 $— $268,680 $135,839 $13,660 $91,488 $785,820 
Residential4,198 — — 3,214 — 4,377 11,789 
Hotel13,484 — — — — — 13,484 
Total293,835 — 268,680 139,053 13,660 95,865 811,093 
% of Grand Totals36.23 %— %33.13 %17.14 %1.68 %11.82 %100.00 %
Rental Expenses:
Office97,358 — 107,462 50,450 2,971 36,213 294,454 
Residential1,629 — — 2,221 — 1,888 5,738 
Hotel9,020 — — — — — 9,020 
Total108,007 — 107,462 52,671 2,971 38,101 309,212 
% of Grand Totals34.94 %— %34.75 %17.03 %0.96 %12.32 %100.00 %
Net operating income$185,828 $— $161,218 $86,382 $10,689 $57,764 $501,881 
% of Grand Totals37.03 %— %32.12 %17.21 %2.13 %11.51 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(11,786)— (38,261)— — — (50,047)
Add: Company’s share of net operating income from unconsolidated joint ventures7,946 12,508 3,938 4,023 1,874 8,876 39,165 
Company’s share of net operating income$181,988 $12,508 $126,895 $90,405 $12,563 $66,640 $490,999 
% of Grand Totals37.07 %2.55 %25.84 %18.41 %2.56 %13.57 %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.
For the nine months ended September 30, 2024:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue: (1)
Office$866,431 $57,534 $780,909 $393,252 $32,251 $312,298 $2,442,675 
Residential12,687 — — 10,428 — 13,912 37,027 
Hotel38,080 — — — — — 38,080 
Total917,198 57,534 780,909 403,680 32,251 326,210 2,517,782 
% of Grand Totals36.42 %2.29 %31.02 %16.03 %1.28 %12.96 %100.00 %
Rental Expenses:
Office321,955 20,678 327,376 148,020 9,753 118,285 946,067 
Residential4,757 — — 6,733 — 5,923 17,413 
Hotel25,687 — — — — — 25,687 
Total352,399 20,678 327,376 154,753 9,753 124,208 989,167 
% of Grand Totals35.62 %2.09 %33.10 %15.64 %0.99 %12.56 %100.00 %
Net operating income$564,799 $36,856 $453,533 $248,927 $22,498 $202,002 $1,528,615 
% of Grand Totals36.96 %2.41 %29.67 %16.28 %1.47 %13.21 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(32,803)— (105,645)— — — (138,448)
Add: Company’s share of net operating income from unconsolidated joint ventures26,547 21,118 12,614 13,850 5,713 19,094 98,936 
Company’s share of net operating income$558,543 $57,974 $360,502 $262,777 $28,211 $221,096 $1,489,103 
% of Grand Totals37.51 %3.89 %24.21 %17.65 %1.89 %14.85 %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.
For the nine months ended September 30, 2023:
BostonLos AngelesNew YorkSan FranciscoSeattleWashington, DCTotal
Rental Revenue: (1)
Office$815,568 $— $789,851 $408,173 $44,978 $272,872 $2,331,442 
Residential12,371 — — 10,720 — 12,677 35,768 
Hotel35,554 — — — — — 35,554 
Total863,493 — 789,851 418,893 44,978 285,549 2,402,764 
% of Grand Totals35.95 %— %32.87 %17.43 %1.87 %11.88 %100.00 %
Rental Expenses:
Office293,004 — 312,895 144,732 9,013 105,908 865,552 
Residential4,782 — — 6,609 — 5,593 16,984 
Hotel23,852 — — — — — 23,852 
Total321,638 — 312,895 151,341 9,013 111,501 906,388 
% of Grand Totals35.49 %— %34.52 %16.70 %0.99 %12.30 %100.00 %
Net operating income$541,855 $— $476,956 $267,552 $35,965 $174,048 $1,496,376 
% of Grand Totals36.22 %— %31.87 %17.88 %2.40 %11.63 %100.00 %
Less: Net operating income attributable to noncontrolling interests in property partnerships(33,946)— (111,156)— — — (145,102)
Add: Company’s share of net operating income from unconsolidated joint ventures25,294 38,501 10,951 10,819 5,598 31,012 122,175 
Company’s share of net operating income$533,203 $38,501 $376,751 $278,371 $41,563 $205,060 $1,473,449 
% of Grand Totals36.19 %2.61 %25.57 %18.89 %2.82 %13.92 %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.